Return to Transcripts main page

CNN Newsroom

Obama Schedule Shuffled after Plane Problems; Ringo Starr Calls for Peace, Love on Birthday; Viewers Share Tips on Saving Money; John McCain Hires a New Political Director; Gardasil Having Bad Side Effects of Many Woman; Hot Rods are Baghdad's New Trend

Aired July 07, 2008 - 13:00   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


KYRA PHILLIPS, CNN ANCHOR: Jobs first, tax cuts, balanced budgets, college credits. The candidates take on a tanking economy, but they won't tell us how to cut $500 from our monthly budget. We will, though, right here in the CNN NEWSROOM.
Family honor and a daughter's murder. A father who'd arranged his daughter's marriage stands accused of killing her when she wanted out. We've got that story.

(MUSIC)

PHILLIPS: And what do you do -- or what do you get a Beatle who has everything for his 68th birthday? Ringo Starr wants a little peace and love. OK, a lot of peace and love. He's going to spend some of his big day with us.

Hello, everyone. I'm Kyra Phillips, live in New York. Don Lemon is in assignment, and you're in the CNN NEWSROOM.

A bit of an unexpected change of plans this hour for Democratic presidential candidate Barack Obama. While heading from Chicago to Charlotte, North Carolina, his plane made an unscheduled landing in St. Louis.

CNN producer Alex Marquardt is traveling with the Obama campaign. He's on the phone with us now from St. Louis.

So what happened, Alex?

ALEX MARQUARDT, CNN PRODUCER: Well, about half an hour into the flight from Chicago, taking off there was a little bit of turbulence but nothing -- nothing out of the ordinary.

But about half an hour in, a staffer came back to tell us that we weren't, in fact, going to Charlotte, that we were going to be diverted to St. Louis because of technical issues. Obviously, that raised some alarm bells. And so then we waited for the captain to speak to us, which he did moments later, telling us that on the takeoff there was a control ability issue that affected the pitch.

We obviously weren't aviation experts. Nerves were kind of running throughout the aircraft, but he assured us that this wasn't going to be an emergency landing, that we didn't need to assume the brace position, that he had full authority of the aircraft. We landed in St. Louis, and it was a very, very smooth landing.

PHILLIPS: All right. Two quick questions for you. First of all, will the presidential candidate continue to fly on this aircraft? Does everyone feel it's safe to do so?

MARQUARDT: Well, to tell you the truth, it seems like everything was OK. They told us that we were landing, that on descent that everything was working well but that we were landing just in case. And their technical -- their technicians, rather, are looking at the plane right now.

That said, we've been on the ground for about 45 minutes now. Obama has been taken to a nearby hotel. So it's unsure whether we'll continue on this plane. He canceled his event in Charlotte and is phoning it in. And he's likely to hold a press conference in St. Louis with a truncated version of his economic remarks, followed by some questions.

So it's really unclear as to what is going to happen. He did have fundraisers planned in Atlanta for tonight, and I'm told that they haven't been canceled. So right now, a lot is up in the air.

PHILLIPS: All right. So his economy speech, you're saying that he may do it from right there where you were or just with the press, not to the crowd?

MARQUARDT: Correct. We're still trying to figure out the details. The campaign is working to figure out the best way of going about this. Obviously, they want -- they want the press there. They want to make sure that we can -- we can carry it live. So it's likely not to be in front of the public, but just a bank of cameras.

He'll probably talk about what he was meant to talk about today, which was the economy, and then open up for some questions from reporters.

PHILLIPS: CNN producer Alex Marquardt. OK. We'll track it. Hope to hear from you and Barack Obama later on in the hour. Thanks, Alex.

And Republican John McCain is getting set to launch his Jobs First economic program. We're going to have live coverage of his speech in Denver coming up next hour right here in the NEWSROOM.

We're also taking an in-depth look at the economy here in the NEWSROOM today. Among other things, we're going to tell you how to recession-proof your life.

From the political front line to your bottom line, the economy is issue No. 1. Many Americans are seeing red, are in the red, and we're here to help. All day long, CNN will show you how to recession-proof your credit, your home, your job, your life. If you want to save $500 a month -- well, of course you do -- we're going to show you how.

And as you learn from us, we're going to learn from you. Send us your e-mails at money saving iReports. We want to get your ideas, your pictures.

But first off, are we really in a recession? The experts are divided, but the public not so much. In a new CNN/Opinion Research Corporation poll, 75 percent of Americans said the U.S. is in a recession. Thirty percent think it will last one to two years. Twenty-three percent think it will drag on even longer. Only two percent think it will last less -- less than six months.

Now, economic fears are being fueled, in part, by oil and gas prices. We've talked a lot about that. We're keeping an eye on Wall Street right now. Here's the big board. Dow Industrials down 11 -- or, I'm sorry, 113 points right now after a sharp drop in oil prices today, about $5 a barrel actually. Experts cite a stronger dollar and an apparent easing of tensions with Iran. They don't see a long-term trend in that direction, though.

And gas prices have set another record. The national average for regular: $4.11 a gallon. It's the tenth straight increase and the eighth straight record. Gas prices are up about 40 percent over a year ago.

And again, CNN is all about your budget and your bottom line today. We're going to show you how to recession-proof your life right here in the NEWSROOM and on CNNmoney.com. You can click on there, but more to come. First this.

Well, wind and fires, too extremes being closely watched on opposite coasts right now. The first hurricane of the Atlantic season is churning toward the Caribbean. Where could Bertha hit? Chad Myers is tracking it.

And in California cooler air is helping firefighters gain ground there. Hundreds of evacuees are back home, but wildfires are burning around Big Sur and father south, in Santa Barbara County. They are far from out of the woods right now.

And temperatures are about going -- well, I guess temperatures are about to go back up. Kara Finnstrom is on the fire lines there Goleta, California. Not far from Santa Barbara, our old stomping grounds there. Good to see you, Kara.

KARA FINNSTROM, CNN CORRESPONDENT: Hi, Kyra.

Well, this scene around me here gives you an idea just how powerful these California wildfires are. This one moving through and just torching everything in its path.

The good news is we did get a break from Mother Nature over the weekend. Some higher humidities, some lower temperatures allowed firefighters to get in and make serious headway.

Right now about 2,800 homes in this area remain threatened, they say. But they also stress they've been able to get in there and secure some of the areas around those homes, and that right now they say the northwesterly winds are kind of pushing this in a northwesterly direction away from homes and more towards some of that fresh forest fuel.

We did over the weekend take some shots of a very aggressive air attack that we want to share with you. Up to 15 tankers up in the air. A flight of helicopters all dropping hundreds of thousands of pounds of flame retardant. The purpose of that air attack is to take some of the heat out of that fire so ground crews could get in with their shovels and bulldozers and really start the task of trying to knock some of this fire out.

Right now, they tell us they've got this fire about 30 percent contained. So Kyra, they are cautiously optimistic, but as you mentioned, when we had a break from the weather earlier, higher temperatures expected tomorrow and Wednesday. So they're kind of bracing and waiting to see what comes next.

PHILLIPS: All right. We'll keep checking in with you, Kara Finnstrom there in Goleta, California. Appreciate it.

And folks in Crown King, Arizona, are heading home now. Flames forced them out last week. And firefighters managed to save most of the 400 homes and cabins in that historic mining community. They say that the wildfires should be fully contained by the end of the week.

Chad Myers, tell us what we can expect from Arizona to California to where else?

CHAD MYERS, CNN METEOROLOGIST: To Bertha.

PHILLIPS: To Bertha.

MYERS: Yes.

PHILLIPS: And the only Bertha I know are the golf clubs, and I'm really happy with those. But I'm not happy about this big Bertha coming through.

MYERS: But this one is just a fairway driver. He's not going to be a big Bertha. It's going to be another one.

PHILLIPS: OK. I love it. There we go -- that's how -- I love it. I love the analogy. Thank you.

MYERS: You're welcome.

All right. A little bit of wind across parts of California today, but a little bit is the great answer. And the highest gust I can find right now, eight miles per hour. Firefighters can handle that. It's when you get way above that, when you get above 15, the sparks continue to fly.

We will see heat watches and warnings across parts of the southwest again for the next couple of days. Vegas going to make a run at about 111 or so for today and tomorrow. It is just going to be really hot out there. And then you get away from the water, and then the temperatures go up again in California, well up into the 100- degree range. And here is Bertha. It's now a 90-mile-per-hour storm. It is a hurricane, but it's not going to hit anything except maybe Bermuda. That's on -- every single forecast has this storm missing the Caribbean, staying out there completely, turning on, churning up into the central Atlantic.

Well, if you think about the central Atlantic, what sits there? Yes, Bermuda. It's going to go around this high. It's going to make a big right-hand turn, and it's going to -- could -- it could be a big storm for Bermuda. We'll keep watching it for you, obviously.

Right now we're calling this a fish storm -- Kyra.

PHILLIPS: OK. Appreciate it.

Hey, you like the Beatles?

MYERS: Absolutely.

PHILLIPS: All right. You're going to love -- you know it's Ringo Starr's birthday?

MYERS: I did not know that.

PHILLIPS: OK. Hold on. We're going to wish him birthday -- happy birthday together.

So what did you wish for on your birthday? Well, today former Beatle drummer Ringo Starr turns 68. And he wants you to help him fulfill his birthday wish. It's simple, really. He just wants a little peace and love.

Ringo Starr joins me now live from Chicago.

Ringo, happy birthday.

RINGO STARR, MUSICIAN: Hey, thank you, peace and love.

PHILLIPS: Peace and love. Are these -- are these 500 of your best friends around you?

STARR: I'm not surprised. I mean, we mentioned it on the Internet. Larry has been a great supporter. It's actually gone worldwide because of him, England and France and so it's -- what can be wrong with peace and love, do you know what I'm saying?

PHILLIPS: Absolutely nothing wrong with that.

STARR: What a -- what a great birthday gift, and if he could pan around, you could see Chicago is full of peace and lovers.

PHILLIPS: So, Ringo, I'm curious, why -- why your 68th birthday, why ask for this today on this birthday?

STARR: Well, it was a good focal point. It was a good focus. You know, I've been doing interviews because I'm on tour with the old stars and the beautiful Barbara, and they said, "What do you want for your birthday?"

So I casually sort of said, "Well, it would be nice if everyone wanted peace and love," and it's turned into this. It's a happening.

PHILLIPS: So I want to know what your wish was last year and did that wish come true?

STARR: Well, I think last year was -- it was still a peace and love wish, but I did get some groovy presents.

PHILLIPS: How do you define -- how do you define a groovy present? That's what I want to know.

STARR: It's in a big box, and it has diamonds all over it.

PHILLIPS: You don't need any more rings, my friend. Do you have all your rings on right now?

STARR: I'm ring less right now. But we've got these, and we've got this, and we've got a peace and love band, so we're doing our best.

PHILLIPS: And you know what? You got the wedding band, too, which is the ultimate sign of love, right, Ringo?

STARR: What have I got?

PHILLIPS: You've got your wedding ring on, the ultimate sign of love.

STARR: I've got two on. I'm really committed.

PHILLIPS: All right. Someone else who is very committed and very committed to you is our dear Larry king. And he's on the line with us now.

Larry, are you with us?

LARRY KING, HOST, "LARRY KING LIVE": I'm right here, Kyra.

PHILLIPS: All right. So I'm told...

STARR: Hey, Larry.

PHILLIPS: Go ahead, Ringo.

KING: Ringo is going to be on...

STARR: If you could...

KING: We're talking at the same time. Ringo is going to be on our show tonight, and I always look forward to seeing him.

PHILLIPS: Ringo...

STARR: Larry, thanks for -- thanks for getting out of bed. PHILLIPS: Well, I'm told that Larry was actually going to sing happy birthday to you, Ringo.

STARR: Who is?

PHILLIPS: Larry.

STARR: Oh, great.

PHILLIPS; Larry, are you going to give him a little Beatles happy birthday?

KING: Do you want me to do that really?

PHILLIPS: Yes, come on, Larry.

STARR: Yes, Larry, Larry, open up. Happy birthday.

KING: All right groovy. I wish I had you drumming behind me.

PHILLIPS: Can you...

KING (singing): Happy birthday to you. Happy birthday to you. Happy birthday...

STARR: Larry King is singing "Happy Birthday."

KING (singing): ... dear Ringo. Peace and love and happy birthday to you

PHILLIPS: Oh, my God. Not bad. That was a first. I love it.

STARR: Larry, Larry, Larry.

KING: Yes.

STARR: Vegas is -- Vegas is waiting for you.

KING: I'll meet you there.

STARR: OK. Peace and love, God bless. Thank you.

KING: See you tonight.

STARR: I'll talk to you later. OK, thank you. Peace and love.

PHILLIPS: Larry, thank you. Everybody, lead them off, Ringo. Lead them off.

Don't forget to catch Larry King's interview tonight with Ringo. As you can see, Larry already did the singing. Who know? Maybe he'll give us a little more at 9 p.m. right here on CNN.

(MUSIC: "Happy Birthday" by the Beatles)

PHILLIPS: Well, straight ahead, new worries about the new vaccine for cervical cancer. Many women are complaining about side effects from the very serious, powerful medication.

And powerful explosions ripped through targets in Pakistan and Afghanistan. Dozens of people lose their lives there.

Also straight ahead, Northwest Airliner jetliner -- or Airlines jetliner, rather, on its way to Tampa gets its nose cone bashed in. Could a bird have actually landed and punched this pretty hard? Well, we're going to tell you, straight ahead.

(COMMERCIAL BREAK)

PHILLIPS: You're in the CNN NEWSROOM. I'm Kyra Phillips.

You can find almost anything for sale on eBay, but we found one item that might even tempt the devil.

(COMMERCIAL BREAK)

PHILLIPS: Well, as many as seven explosions ripped through the Pakistani port city of Karachi today. Police say that one person is dead. At least 30 people are hurt. Those blasts happened in both residential and commercial areas. No one has claimed responsibility at this point.

And yesterday a suicide bombing in the capital Islamabad. It killed 17 people, most of them police officers.

And a suicide bombing today in Afghanistan today killed at least 41 people, left more than 100 wounded. That blast ripped through the wall of the Indian embassy in Kabul. Afghan president Hamid Karzai blames Taliban militants, but the Taliban denies responsibility.

We're going to get a live report at the half hour from our senior international correspondent, Nic Robertson.

Now, all day today we're showing you how to recession-proof your life, but we want to caution you, despite the talk of the "R" word, the most recent numbers show the economy is still growing -- not much, but still growing.

The last recession was in the 1990s. It lasted eight months in 1990 and 1991. Unemployment peaked at 7.8 percent. Home prices in the top ten cities fell more than 8 percent, and the stock market dropped 21 percent.

A recession in the '70s lasted twice as long: 16 months between 1973 and 1975, and the Dow Jones Index dropped a breathtaking 40 percent. Unemployment spiked at more than 9 percent, and in 1974 we saw the inflation rate balloon to 11 percent.

OK. Enough of the numbers. We want to hear about your bottom line and your budget. So you've send us a wealth of iReports. Our Veronica De La Cruz joins us with some of them.

Hey, Veronica.

VERONICA DE LA CRUZ, CNN CORRESPONDENT: Hey, Kyra.

You know, day in and day out, we hear about the number of foreclosures going up, the cost of gas going up, maybe the price of food. So, Kyra, we wanted to hear from all of you out there to see how you are weathering these tough economic times.

You know, lots of people have started by changing their mode of transportation. Take a look at this. This is from Angie Harod (ph). She lives in Missouri. And get this, Kyra. She bought a Mini Cooper that she has lovingly named Anderson. Anderson Mini Cooper. Yes. Pretty cute.

She also says she focuses on little things like changing light bulbs to smart bulbs. She maps out her errands before she leaves the house. And that's going to help her save on gas.

Now in New York City, Tina Seal (ph), she has decided to leave her car at home and go public. And she urges everyone to join the commuters club. Here she is. She is buying a metro card. Maybe you've seen this before. This is the card that is used for New York's subway system. This is the machine where you'd buy that card.

And she says that she's also had to cut back on luxury items, and most of the time these days she just stays home.

And then Mark Struggs (ph) from Iowa shares his way of cutting back. Take a look at this. This is his new company car. He used to drive a Yukon to make his sales visits, Kyra. He makes a 700-mile trip, and in the Yukon it cost him more than $200 one way when it comes to the cost of gas. On this Harley, which he looks pretty cool on, right? -- on the Harley, guess how much he spends on gas?

PHILLIPS: I don't know. I'm just looking at the Harley thinking that would be pretty fun to jump on and go cross country right now.

DE LA CRUZ: Don't you think? Don't you think?

PHILLIPS: I'm a Harley kind of girl. I have to tell you.

DE LA CRUZ: You look like it. You'd look great on a Harley, Kyra.

He spends about $75 in gas now, in comparison. So this is how he is recession-proofing his life. Go ahead and let us know how you're recession-proofing yours. You can logon on to iReport.com -- Kyra.

PHILLIPS: Well, I was trying to think of a name for you. We had Anderson Cooper with the Mini Cooper. What about a De La Cruz Camry? Will that work?

DE LA CRUZ: No. A Camry? You get the Harley and I get the Camry?

PHILLIPS: I know -- well, I was thinking hybrid. I was thinking economically, you know, smart.

DE LA CRUZ: The DLC smart car. How about that?

PHILLIPS: OK. There we go. All right. And we'll work on the motorcycle. I'll come up with something. De La Cruz cruiser, something. All right. Thanks, Veronica.

DE LA CRUZ: I'll work on that, Kyra.

PHILLIPS: OK. Well, much more ahead as we recession-proof your life. We're going to tell you how to ease your credit crunch and hold onto your job. Plus, how to save 500 bucks a month. That's right, 500 bucks. And keep your job. Wow. You should stay tuned to CNN more often. You can't afford to miss it.

Now, Georgia police say that a dad killed his own daughter because she wanted a divorce. We're going to tell you how their culture comes into play in that case. Stay with us.

(COMMERCIAL BREAK)

PHILLIPS: Well, believe it or not, there's a lot you can do to recession-proof your finances. The most basic tip: stock up on emergency funds. You can never have too wide of a safety net. That's for sure.

And along those lines, slim down your debt. And for the long run, rebalance your investments. Many experts suggest that we venture carefully into international funds.

If you hate risks or if you're a bit of a worrier, choose bonds. They're typically a lot more stable.

Millions of people on the road this past holiday weekend surely felt the pain of those soaring gas prices. And today, there's another record high. Susan Lisovicz on the floor of the New York Stock Exchange.

Hey, Susan. Great to see you.

SUSAN LISOVICZ, CNN CORRESPONDENT: Great to see you, Kyra.

Well, let's dispense with the bad news first. AAA says gas prices are up for the tenth consecutive day. The record high, national average now stands at $4.11 a gallon.

And guess what? Gas prices are up 40 percent over the last year. Diesel prices also at a record high.

But check this out. Oil prices today are down more than $4. Check out this part of the big board. Mid column, midway down. CLQ stands for the active month's trading. Oil right now at $141 and change. Down $4.18. That was good. That was helping out stocks earlier in the session.

But then a Fed official said, "Oh, banking and housing could weaken the economy further," and what was a nice rally at the open is now a broad sell-off. The Dow down 110 points. The NASDAQ is down 20, Kyra.

PHILLIPS: Wow. And you want to wonder -- well, you wonder if there's any relief in sight for gas prices if they're going to change anywhere. I was driving cross country with my brother and his family in Oregon. And you know, every place we stopped, it was the difference of a couple cents.

LISOVICZ: Oh, yes. Well, you know, and one reason why is because some bulls say that $150-a-barrel oil could be very possible very soon.

But you know what a lot of folks don't know is that gas stations are suffering along with us. NPN (ph) says that 3,000 gas stations have closed this year and 3,000 closed last year. Why is that? Rising prices and declining sales. And you know what? Less competition is not good for the consumer either, Kyra.

PHILLIPS: So what do we do, because we can't stop driving?

LISOVICZ: Well, some of us can. You know, here in New York we can.

PHILLIPS: Here in New York we can, you're right. But everybody else across the country.

LISOVICZ: Let's help you recession-proof your life with gas prices.

First of all, if you have more than one car, certainly use the more fuel-efficient one. Gas prices at Watch.com (ph) reminds us drive 55 miles an -- 55 miles per hour.

And then finally, take the first spot you see in a parking lot. Don't look for a better one. Just park and go. Kyra, I think you're guilty of that one.

PHILLIPS: Yes, you are right.

All right. Susan Lisovicz, appreciate it. We'll be talking more about the recession-proofing our lives later in the next hour also. Thank you so much.

We're going to help you ease your credit crunch, as well, and make sure that you hold onto your job. Plus, save about 500 bucks a month. Do you think it's all impossible? Well, think again. We've got some good tips for you.

Now, the economy is issue No. 1 on the campaign trail, and today John McCain is out with a plan that he says will create new jobs. We're going to have live coverage of his speech in Denver. That will be in our next hour.

Also, we're keeping track of a developing story. Barack Obama's campaign plane made an unscheduled stop this morning in St. Louis after the pilot reported mechanical problems. We'll have the latest from there, as well. And it looks like somebody needs a nose job, because this is just plain wrong. What happened here? The bird, the plane, we'll try and figure it all out.

(COMMERCIAL BREAK)

PHILLIPS: Hello everyone, I'm Kyra Phillips live in New York. You're in the CNN NEWSROOM. Right now it's 1:30 Eastern time and these are some of the stories we're working on for you.

Barack Obama's supposed to speak in Charlotte, North Carolina, this afternoon. But he's not going to make it. His plane was diverted to St. Louis because of mechanical problems. Obama's campaign says he will deliver his speech on the economy to his traveling press corps instead.

And the economy also tops John McCain's agenda today. John McCain out with a plan that he says will create new jobs, cut taxes and boost trade. We're going to have live coverage of his speech in Denver, in our next hour.

And no claim of responsibility yet for a series of blasts in Karachi, Pakistan, today. Those explosions killed at least one person and wounded 35 others.

Now, as we mentioned, a suicide car bombing killed at least 41 people in the Afghan capital of Kabul, today. It happened outside the Indian Embassy.

Senior international correspondent Nic Robertson, has the latest for us.

(BEGIN VIDEOTAPE)

NIC ROBERTSON, CNN SR. INTERNATIONAL CORRESPONDENT (voice-over): As ambulances rushed to help the wounded, soldiers and police secure the area. The force of the blast so big ripping off the front of the Indian embassy. An attack apparently timed to be as deadly as possible. Early in the morning the lone suicide bomber driving a car packed with explosives into a crowd of people awaiting visas at the embassy gates. Not only the deadliest bombing in the Afghan capital this year, but a marked and significant departure from the usual coalition and Afghan security targets.

ABDUL HAKIN ASHIQ, AFGHAN INTERIOR MINISTRY SPOKESMAN (through translator): The Indian embassy was the exact target. The bomb was placed in a Corolla car and the suicide bomber who was inside the car, detonated himself in front of the Indian embassy gate.

ROBERTSON: More than 40 people killed. Among them, several Indian officials. Many, many Afghans wounded. Most taken to nearby hospitals where health facilities fall far below western standards. Doctors at one hospital so overwhelmed by the flood of injured, forced to turn some away.

DR. ASAD KHAN, JAMURIYAH HOSPITAL (through translator): We admitted 51 wounded and 3 dead bodies. Some of the wounded were in critical condition. We referred the wounded that had orthopedic injuries to Razia Axbar Kahn (ph) hospital.

ROBERTSON: Another blast over the weekend killed more than two dozen people, injured several others. The circumstances of their deaths proving far more controversial than the Indian embassy attack. These injured say they were on their way to a wedding early Sunday when attacked by coalition aircraft. Afghan officials say it's the second such case of civilian casualties from a coalition strike in as many days. Coalition officials say they are looking into the claims. In both cases they say militants were the targets. 15 killed in the bombing Friday.

(END VIDEOTAPE)

PHILLIPS: Now our senior international correspondent Nic Robertson, join us live from London. Nic, the Taliban deny responsibility. What do you make of that?

ROBERTSON: I don't think you can take it at face value, Keira.

I mean, look, the Taliban are not one homogeneous group for a start. We've seen them fight on the battlefield, where they fight perhaps two different groups side by side that won't even support each other or sometimes won't talk to each other. They have -- some of the groups have aims. So it's entirely possible that one Taliban group perpetrated the attack another Taliban group denies it.

And of course, there's a possibility that the Taliban may want to deny altogether. Why? Because there are so many civilian casualties and this works against the Taliban because they don't want to be seen killing so many civilians. They'd rather be seen as standing up to what they call the occupation and the Afghan forces there.

PHILLIPS: So, what do you think is the significance behind the Taliban's choice of target here?

ROBERTSON: You know, this really broadens out their scope of targets. Going for the Indian embassy is a real shot at India. The Taliban have long disliked India and India's involvement inside Afghanistan. Let's not forget. Before September the 11th, before the Taliban were kicked out of Afghanistan, their main enemy was the northern alliance. The northern alliance was supported by India.

So there's a long history of the Taliban disliking the Indian government. And many people in Afghanistan will point the fingers of blame for such attacks at Pakistan. Pakistan has a long history of enmity with India. So there are many reasons behind it. But, the fact that the Taliban should -- apparently the Taliban because it's got their (INAUDIBLE) should go after the Indian embassy is a real warning to other embassies and in particular, Indian interests in Afghanistan are really part of their target list now.

PHILLIPS: Being in India, I remember how powerful its military forces are. It was quite impressive. It will be interesting to follow. Nic Robertson, thanks so much.

Well, just when will U.S. troops leave Iraq? Iraqi Prime Minister Nuri al Maliki says that he's pushing for a short-term understanding with the U.S. instead of a formal agreement on the status of U.S. forces. Some type of agreement is needed to keep U.S. troops in Iraq after a U.N. mandate expires at the end of the year. Al Maliki says that his plan includes a formula for U.S. troops to withdraw. President Bush has said that he opposes a specific time table.

And for some personal business, then the opening of the G8 Summit in Japan today. President Bush had his first sit-down interview with the new Russian president. Mr. Bush called his counterpart as a smart guy. Medvedev referred to Mr. Bush as George. You can catch all the big developments in the first day of the G8 Summit in "THE SITUATION ROOM" with Wolf Blitzer at 4:00 p.m. Eastern.

Leading our political ticker, a new political director for John McCain's White House bid. Steve Schmidt, who now oversees campaign operations has tapped Rudy Giuliani's former campaign manager, Mike DuHaime, for the job. Until now, there's been no political director at the campaign headquarters. Instead, the Arizona senator relied on 11 regional managers. A plan that Republicans in and outside of the campaign consider pretty much unworkable.

Now, there's a big change in plans for Barack Obama's acceptance speech at the Democratic National Convention. He's going to deliver the address at Denver's Mile High Stadium instead of the much smaller convention hall. The stadium seats 75,000 people and convention organizers say that the move is a reflection of Obama's success in encouraging people to get involved in the election. And it will give a lot more first-time voters a chance to take part in the event, by the way.

You can check out our political ticker for all the latest campaign news. Just log on to CNNpolitics.com, your source for all things political.

Well, state flags are at half staff across North Carolina in remembrance of long-time Senator Jesse Helms. Live pictures now as his body is lying in repose today at a church in Raleigh so people can come and pay their respects. The controversial conservative, he died Friday at the age of 86. He spent 30 years in the U.S. Senate and his funeral and burial are scheduled for tomorrow.

A Northwest flight gets decked en route to Tampa. The damage looks a bit scary but the plane landed with no problem. Check out the nose cone there on that 757. It's all bashed in. Apparently airport officials claim that a bird hit the jet sometime after takeoff from Detroit. Northwest only saying that there was a minor maintenance issue.

And a family of a Pakistani descent living in Georgia, tried to keep many of their cultural traditions. And police say that led to the death of their daughter at the hands of her father yesterday. More now from Manuel Boraquiz (ph), from our affiliate WSB.

(BEGIN VIDEOTAPE)

MANUEL BORAQUIZ, WSB REPORTER (voice-over): It was just after 3:00 a.m. when officers arrived at the home on Utah Drive in Jonesboro. And soon discovered 25-year-old Sandela Kanwal, had been killed. They arrested her father Chaudhry Rashid, for the murder.

TIM OWENS, CLAYTON COUNTY, GA. POLICE: Apparently she and the father had argued over the marriage and the fact that it had been arranged. And at some point during the altercation, he did end up killing his daughter.

BORAQUIZ: Police say the family is from Pakistan. Her husband is in Chicago.

VERONDA LUCKETT, NEIGHBOR: They've always been relatively quiet.

BORAQUIZ: Word of the tragedy quickly spread through the neighborhood.

LUCKETT: There's two females that you would generally see there. And my heart goes out to whomever, whichever one it was. Because they seemed to be decent, lovely people.

BORAQUIZ: And although the concept of arranged marriage seems foreign to many here, it's not to one neighbor.

Anand Mehta is in a marriage that was arranged and has worked out. He says, although it's a tradition in some cultures, this is not how it's supposed to end .

ANAND MEHTA, NEIGHBOR: Something that my ethic background, I'm from India. So I know the values of the family, about arranged marriage and not having divorce and this and that. But values over life is not as important.

(END VIDEOTAPE)

PHILLIPS: Well, the father is scheduled to be making his first court appearance about right now.

And a popular new cancer vaccine under fire after 8 million girls and women in the U.S. have received it. New questions about the safety of Gardasil. Is it making people sick?

(COMMERCIAL BREAK)

PHILLIPS: Well, new worries for millions of girls and women who received the new vaccine designed to prevent cervical cancer, Gardasil. Many women are complaining about adverse side effects ranging from nausea to paralysis. And some are suing now.

Our medical correspondent Elizabeth Cohen is in Atlanta with the details. So Elizabeth, what exactly happened to these girls? ELIZABETH COHEN, CNN MEDICAL CORRESPONDENT: Well, Keira, I was on the phone last night with the mother of one of the two girls who have sued in federal court. And she says that her daughter, Jesalee Parsons was a perfectly healthy 13-year-old. Got the Gardasil shot. Within hours developed a fever and became ill and she developed in relatively short order, acute pancreatitis. She had to have two surgeries, had to have part of her pancreas was removed, was in and out of the hospital for many weeks. And still now, more than a year later, is not completely healthy.

Now, these two lawsuits are separate from the adverse event reports that you referred to. Those are people calling the FDA saying, hey I got Gardasil and something happened to me. They're not actually suing, but nearly 8,000 people have clan complained to the FDA about side effects.

Now, when I asked Merck about this, that's the company that makes Gardisal, they said, look, these could be coincidences. Just because you get a shot and then get sick, it doesn't mean that the shot caused it. Perhaps these people were going to get sick anyways -- Kyra.

PHILLIPS: All right. So what should women do that are taking it right now? Should -- is everybody saying don't go there?

COHEN: No, that's not at all what doctors are saying.

So, if you decide you want to get the shot for yourself or for your daughter, you should go to your doctor and say look, I want to talk about this, I've heard about these side effects and you want to weigh the pros and cons. Because of course, like any other drug, this drug has risks. One of the things to think about is that this vaccine is recommended routinely for 11 and 12-year-old girls. You can only get this virus when you're sexually active. So I know some mothers who have said to their pediatricians, look, my 11-year-old is not having sex. Is it possible to delay this shot?

PHILLIPS: OK Elizabeth Cohen, appreciate it. Thanks.

Well, third graders on cholesterol-lowering drugs. A leading pediatricians group actually thinks it's a good idea. For first time it's recommending that children as young as 8 be put on them. The American Academy of Pediatrics released the new guidelines today suggesting that the move could help ward off future heart problems. The group is also taking issue with whole-fat milk. It recommends that even 1-year-olds could benefit from the low-fat variety. Doctors say that mounting research shows that damage leading to heart disease begins early in life.

And when violence is a way of life in your city. How scary can a little speed be? CNN's Frederik Pleitgen runs with the Baghdad Hot- Rodders.

(BEGIN VIDEOTAPE)

FREDERIK PLEITGEN, CNN CORRESPONDENT (voice-over): On any given day, Baghdad traffic is dangerous, dense and dull. But there are those who dare to be different. Meet Baghdad's speed freaks. And their pimped up rides. Louai says his Trans Am is so fast he needs help from above.

(on camera): I see you have the Koran up here. Why is that?

LOUAI AL-AMEER, HOT-RODDER: To protect the car.

PLEITGEN: Protect the car? Because you drive so fast?

AL-AMEER: Yes, yes yes. I drive very fast.

PLEITGEN (voice-over): And then Louai lets me get behind the wheel.

(on camera): You can really feel the muscle of the car as you drive it down here. I think I might have to turn around somewhere. Think we're going right toward the checkpoint.

Hi, how are you doing? Everything okay?

UNIDENTIFIED MALE: Yes.

PLEITGEN: All right. They love the car.

(voice-over): And how about this 2005 Mustang or the 1998 Nissan? Car customizing was illegal under Saddam Hussein. And now that they have the freedom, the hot rodders say they are just getting started. Ali's Jafaar's body shop is the place to go for slick designs.

ALI JAFAAR, BODY SHOP OWNER (through translator): The strangest designs are drawings of girls on the sides of the cars, Ali Jafaar says. It is in black and white. Right now we can't do it in any other way.

PLEITGEN: Customized stickers are pretty much as flashy as it gets these days. But Ali Jafaar says the Baghdad car pimpers will catch on fast. Only a year ago driving cars like these would have been impossible in Baghdad and even today it's dangerous. With car jackers and armed militias still on the road.

Mustafa Dhiyaa says his Nissan is almost holy to him, a way to remember a friend killed in Baghdad's violence who shared his passion for automobiles. My friend died in a car bomb explosion, Mustafa says. And we always talked about this car so much. I really would have wanted him to see this car and ride with me.

Fred Pleitgen, CNN, Baghdad.

PHILLIPS: Well, if you're doing some soul searching, you might want to check out what this lady's selling. Her soul, on eBay. How do you ship something like that?

(COMMERCIAL BREAK)

PHILLIPS: A driver who is hyper about getting his money's worth. (BEGIN VIDEO CLIP)

MILES O'BRIEN, CNN CHIEF TECHNOLOGY & ENVIRONMENT CORRESPONDENT: He routinely gets 50 miles per gallon in his plain old Accord, twice what Honda promises.

(END VIDEO CLIP)

PHILLIPS: A lesson in stretching that gas to the max. Miles O'Brien taking in all the MPGs ahead in the CNN NEWSROOM.

But first, your job, your home, your credit, your retirement -- how can you recession-proof them all? Our personal finance editor, Gerri Willis, well she's got some tips on how to recession-proof our life.

Hoping that these will be easy tips.

GERRI WILLIS, CNN PERSONAL FINANCE EDITOR: Lots of steps.

PHILLIPS: Yes, right. It's probably don't spend, don't eat, don't drive, right?

WILLIS: Have no fun. Have no fun diet.

PHILLIPS: Have no life. Yes, exactly.

OK. Give us something --

WILLIS: I'm not going to be that bad.

(CROSSTALK)

WILLIS: OK. You need to tighten your belt just a little bit. Stop spending on crazy stuff you don't need.

PHILLIPS: Define crazy.

WILLIS: Well, different things for different people now, Kyra.

PHILLIPS: All right, OK.

WILLIS: All right. So you want to make sure you pay down that credit card debt. Average family has $9,200 worth of credit card debt. That's hundreds of dollars each and every year, just in the interest payment. So you want to make sure you pay attention to that. Make sure that you're showing your kids -- teens and tweens can send you over budget in a heartbeat. So show them what you are doing.

Maybe you are car-pooling it to work. Make sure they understand that. Show them the brown bag, because they need to pull in as well. But what you want to do here, make sure you do, is that you pull in some of that extra spending. You know how it is. It kind of gets out of control and then it builds on itself.

PHILLIPS: You bring up an interesting point about kids. My brother and sister-in-law are amazing with taking the kids to the thrift store and having them pick a book. And you know what? They are not spoiled kids. This is going to be my parental tip.

But seriously, you're so right. We don't have to give our kids every little thing. That is where it really adds up. I've noticed that.

WILLIS: Right. Let's blame the children.

PHILLIPS: Yes.

WILLIS: Someone else.

PHILLIPS: It's much easier because we still want our things.

OK, moving right along. I digress. Protecting our jobs. That is something that I think a lot of people are tuning in thinking, how can Gerri tell me how I can protect my job?

WILLIS: Well, the biggest threat of a recession is that you're going to lose your job because companies pull in the reigns, they cut headcount. What you need to do is think about how you keep that job, how you make yourself more important to the boss. The boss has to know your worth in the marketplace, understand that you are critical.

Look, if they've already taken layoffs at your place of business, step in, step into the breach. Try to help close that gap in terms of the work that is getting done. Make sure you are in touch with professional organizations that can help you out so that they know who you are, so that if the worst comes to the worst, well then, you have somebody that can give an assist.

Now, you've been saying all day, you need some kind of savings. I think that is absolutely true. Three months, six months, nine months worth of savings. Now I know that is hard right now with gas prices being what they are, but try to set something aside. It's better than nothing. If worst comes to worst, you have to be able to pay that mortgage month to month.

PHILLIPS: Yes, you bring up a good point up about work, too. You are only as good as your last day, right?

WILLIS: That's right.

PHILLIPS: Not that we write books we -- we always look for ways to enterprise.

WILLIS: Well, what you're saying there is actually an important point, and it's something that I try to do. You want more than one boss. You want to freelance, you want to do something else, so that if you do lose your primary job there are other people who are familiar with your work, who you can look to maybe hire you or give you more work to tide you over until you find a full time job.

PHILLIPS: Good tips. Protecting our retirement. That is always tricky. What do we invest in? What is safe? What is not safe? Is this the time to get risky?

WILLIS: Well, it is tough. And it's tough because there's one thing that we're ignoring today on recession-proofing your life -- that's high inflation. Inflation is through the roof. And that really impacts your investments.

It is particularly tough for bonds. So if you are a bond investor out there, you want to be careful. One thing to buy -- treasury inflation protected securities. The Treasury Department sells these. You can buy them with a credit card on a Web site operated by the Treasury Department -- treasurydirect.gov -- great place to go.

But this is a great time -- stocks have been anemic at best. It's a good time, if you have the money, to shop around for stocks. Make sure you're getting them at a good price. International very attractive right now.

PHILLIPS: All right. Gerri Willis, good stuff. We'll be talking about this all afternoon. Thank you so much. Appreciate it.

WILLIS: My pleasure.

PHILLIPS: The economy -- issue #1. And we're going to bring you all the latest financial news, weekdays at noon Eastern. You can catch Gerri on "ISSUE #1." It's info that you need on the mortgage meltdown, the credit crunch, much more. Look, she's even telling us how to protect our jobs. You can't beat that. "ISSUE #1" at noon Eastern time.

Meantime, CNN is all about your budget and bottom line today. We are showing you how to recession-proof your life right here in the NEWSROOM on and CNNMoney.com. You can click on there.

Now, a Texas screenplay writer might be getting a little carried away with her research. She is selling her soul on eBay. That is what her character is doing. So, Cary Crain (ph) is doing it, too. Her husband thinks that she's nuts. Crain would like to get at least 1,000 bucks for her soul. In return, she promises to transfer all of her creativity, her positive energy, to the winning bidder. It will be packaged in the magic eight ball that she has had since grade school. So far, by the way, nobody is buying it.

Well the hidden treasures of Afghanistan now for the first time on exhibit in D.C. Our Zain Verjee will take you on a tour right here in the CNN NEWSROOM.

(COMMERCIAL BREAK)

PHILLIPS: Well, our next story could be right out of the script for the latest Indiana Jones flick. But these once hidden treasures of Afghanistan are the real McCoy. Hidden for years, they are now on exhibit in Washington, D.C. CNN's Zain Verjee reprots.

(BEGIN VIDEOTAPE)

ZAIN VERJEE, CNN STATE DEPARTMENT CORRESPONDENT (on camera): You know, everyone is ga-ga about "Indiana Jones and the Crystal Skull" and -- his treasures, but do these beat that?

FREDRIK HIEBERT, NATIONAL GEOGRAPHIC: Oh, let me tell you -- the stories that those Afghan heroes have to tell -- 70 percent of the capital city of Afghanistan was ruined during the civil war. The museum was ruined. These guys had to live through all sorts of horrific things and yet, they kept this code of silence to preserve their own culture. I think that is magnificent.

VERJEE (voice-over): Those heroes preserved the treasures of their country's past. Kept the secret so well that they had to be cut free from their hiding place...

HIEBERT: They actually started to crack open the safes.

VERJEE: ... after they were rediscovered in the national palace.

HIEBERT: The boxes were opened and out came some fabulous treasures, treasures -- 2,000-year-old pieces of gold.

VERJEE: The priceless artifacts survived the Soviet invasion, the rise of the Taliban and the U.S.-led invasion.

(on camera): Lets' look at some of the gold. It always catches your eye.

HIEBERT: It catches everybody's imagination.

VERJEE (voice-over): Weapons sparkle like jewelry.

HIEBERT: It is remarkable that a nomad was wearing this much gold.

VERJEE (on camera): Today we think of a nomad as being pretty poor with some cattle. But these, the Afghan nomads at the time, were remarkably wealthy.

HIEBERT: These guys were doing very well. If you can imagine, 20,000 pieces of gold, that meant that every single one of these individuals, of the six individuals, was wearing about 20 pounds of gold.

VERJEE (voice-over): And a crown for a nomad princess.

HIEBERT: It's as if they were just freshly excavated. We get to see them for the very first time.

VERJEE: Zain Verjee, CNN, Washington.

(END VIDEOTAPE)