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New Storm Hits Sandy's Impact Zone; Dow's Biggest Plunge This Year; The Political Path forward; Rocky Mountain High; Reaching Across the Aisle; Bizarre Moments in Election Coverage; Pro Sports: No Changes on Pot

Aired November 08, 2012 - 09:00   ET

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

SOLEDAD O'BRIEN, CNN ANCHOR: Happy birthday to Richard Socarides in our last moment.

RICHARD SOCARIDES, CNN CONTRIBUTOR: Thank you.

O'BRIEN: Carol Costello now with "CNN NEWSROOM."

Hey, Carol. Good morning.

CAROL COSTELLO, CNN ANCHOR: God morning. And happy birthday. Thanks so much.

Stories we're watching right now in the NEWSROOM, a new wave of misery in the northeast. First hurricane force winds and floods, now snow.

(BEGIN VIDEO CLIP)

GOV. CHRIS CHRISTIE (R), NEW JERSEY: Finally got that final kind of forecast that I got last night, I said, I'm waiting for the locust and pestilence next. You know?

(END VIDEO CLIP)

COOPER: Could be at this rate. We'll take off the coast.

The big selloff. The morning-after when markets open minutes from now. Will Wall Street bounce back from its worst day in a year?

Then after one of the nastiest elections ever, can President Obama romance Republicans? Or are we destined for that fiscal cliff?

And got a joint? That phrase may not get you busted in two states. Pot is about to be legal, but don't light up just yet.

NEWSROOM starts now.

Good morning. Thank you so much for being with me. I'm Carol Costello. This hour, superstorm Sandy has a cold, cruel, cousin following in its footsteps. This is the -- this new storm is lashing the northeast with snow, rains and wind and hitting the very same areas struggling to recover from last week's devastation. Up to eight inches of snow in some areas and power outages from Delaware to Maine. The nor'easter is chewing into the coastline, and leaving hundreds of thousands without electricity and heat.

CNN meteorologist Rob Marciano is on New York's Staten Island, one of the hardest-hit areas from Sandy, where residents now face a whole new set of problems.

I just can't imagine the misery there, Rob.

ROB MARCIANO, AMS METEOROLOGIST: No. And you know, the people that live here, just trying to survive here, they couldn't believe what was happening last night as well. Snow is coming down, much more than we anticipated, as a matter of fact. We got probably four or five inches of it. The sun is trying to break through. So the snow is done. That's good.

But, you know, at this time during Sandy, the water was up and over my shoulders. So homes like this off their foundation if -- if their home was still standing, the bottom floor is completely gutted and it brought in actually dumpsters just to get rid of some of the stuff that's so badly damaged.

This street is just an absolute mess. Our satellite truck actually pumping some power into the Cameradas home who live here. Yesterday we caught up with Nick and Diane, and they kind go explain to me and our viewers exactly what they're dealing with and what they've gone through. Both physically and emotionally this week.

(BEGIN VIDEO CLIP)

NICK CAMERADA, STORM SURVIVOR: I went through the most pain that I ever went through in my whole life, from being electrocuted, trying to get back into my house, to watching -- all my possessions and my family practically almost dying.

DIANE CAMERADA, STORM SURVIVOR: And this has been a week from hell. I mean, you know, I'm grateful that I have my family.

(END VIDEO CLIP)

MARCIANO: I mean, they are just trying so hard to be positive but it's just very, very difficult. Both their vehicles were swept down the block. They're borrowing one from their neighbors. Update, they managed to sleep and survive the night last night. We talked to them this morning. But it was a cold one, Carol, even inside the house. Temperatures were below 40 degrees. So they're hoping this melts, we'll get warmer temperatures in here. But it has been a long almost week and a half now since Sandy came through. And this is not what -- at all what they needed for sure. Back to you.

COSTELLO: You're not kidding. So brutal.

Rob Marciano, thanks so much.

Across much of the region there are angry questions about whether poor people are being largely ignored while utility crews focus on wealthier neighborhoods. Here's an example for you in Brooklyn. Most of the 6,000 residents of a housing project in Red Hook still without heat, water and electricity. More than one week after superstorm Sandy hit. They say power has already been restored, though, to newer, trendier neighborhoods not far from them. And they say right now all they have is each other.

(BEGIN VIDEO CLIP)

TONI JONES JAMES, RED HOOK RESIDENT: Everybody just sticking together and everybody trying to do the best that they can. But we need help here in Red Hook, especially in the towers. You have shut ins. You have people that can't go to the bathroom, they can't wash themselves and it -- it's just so -- it's emotional for me to be right here. But it's all I have.

(END VIDEO CLIP)

COSTELLO: For residents of this building and many others, hallway lighting is now a series of tea lights lining the corridor. And before bed residents dress in several layers of clothing just to stay warm as the temperatures inside continue to drop.

We are just minutes away from the Opening Bell on Wall Street. Investors will weigh in on the biggest selloff in a year. The Dow closed down more than 300 points. And many of those same factors, concerns about the fiscal cliff will be in play again today.

CNN's Christine Romans is in New York. Things looking better this morning?

CHRISTINE ROMANS, CNN BUSINESS CORRESPONDENT: They are looking a little better this morning. We have futures up. And Dow futures are up about 40 points. So that's telling you that at least now investors don't think they need to pile on to the sales that they saw yesterday in the stock market and that also might be because you're starting to hear signs from Democrats and Republicans that, as Harry Reid says, we don't want to fight. We want to dance. It's more fun to dance than fight.

So we'll see if they can get some progress on the fiscal cliff.

Yesterday the biggest selloff for the Dow Jones Industrial Average in a year, more than 300 points down. And Carol, when you look within the sectors. There are certain sectors in the market that were moving probably in reaction to the presidential election. What do I mean?

Banks were down sharply. Remember the president has promised tighter regulation of banks. And they've been fighting against it and hoping for a Republican presidency. Insurers were down because insurance stocks are thinking well now Obamacare is set in stone. It is real and it's going to happen.

Coal stocks were down. For-profit education stocks were down and so were dividend-paying stocks. And as you know for some wealthier investors the president really wants to raise taxes on investment income, so that could hit those stocks there.

Also hospital stocks moved higher. And again it's that notion that now that the Supreme Court has spoken and, in fact, you have two terms of an Obama presidency, Obamacare is set in stone. Hospital stocks moved higher.

As I said it wasn't just a re-election selloff by any stretch of the imagination. It was Europe's financial crisis. We heard pessimistic words out of Europe. That was a big part of it. Actually started the selling. Fiscal cliff and the debt ceiling, Carol. The debt ceiling which of course gave birth to the dreaded fiscal cliff, we are going to be running up against the debt ceiling again in just a matter of weeks -- Carol.

COSTELLO: That just makes my whole body hurts. I think my brain explode.

ROMANS: Let's just dance and not fight.

(CROSSTALK)

COSTELLO: It is much more fun to dance. Isn't it? Well, see what happens. We'll see if they can dance together as Democrats and Republicans.

Christine Romans, live from New York for us this morning.

Today the man who plead guilty to trying to kill former Congresswoman Gabrielle Giffords will be sentenced and for the first time Giffords herself will come face-to-face with her attempted murderer.

Back in January of 2011 federal prosecutors say Jared Lochner opened fire during a meet and greet in Tucson, Arizona. Six people were killed, 13 injured including of course Giffords.

After a judge ruled Lochner was competent to stand trial, he wish to a plea deal with prosecutors In exchange for not receiving the death penalty. Giffords who did vote on election day, there you see here. She'll not speak today in court today but her -- but her husband Mark Kelly will as will the woman who grabbed the gun from Lochner during the shooting.

(BEGIN VIDEO CLIP)

PATRICIA MAISON, SHOOTING WITNESS: I just have to shake my head. I don't think you can words that can have a strong enough meaning, so I don't have any specific words for him.

(END VIDEO CLIP)

COSTELLO: Giffords resigned from Congress in January to focus on her recovery. He husband said they are both satisfied with the plea deal.

The California filmmaker behind an anti-Muslim that sparked riots across the Middle East is returning to prison. Mark Yuseff will spend one year behind bars for violating his probation by a bank fraud case. He used several fake names including one while shooting the "Innocence of Muslims."

That's so called film upset Muslims for depicting the Prophet Muhammad as a killer and child molester.

America made its choice on Tuesday, electing Barack Obama, but one young mother in Kenya is having it both ways. She's named her newborn twins Barack Obama and Mitt Romney.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE (Through Translator): I gave birth to twins and I decided to name them after Barack Obama and Mitt Romney. I named the first one Barack and the second one Mitt just like and Romney in the U.S. election.

(END VIDEO CLIP)

COSTELLO: We can only hope Congress can show such bipartisan love. And they will soon get their chance.

Dan Lothian at the White House. Dan, I understand -- isn't that cute?

How could I follow that, huh?

COSTELLO: I don't know. I just got to feel sorry for the newborn named Mitt because of course he lost the election, but maybe that won't resonate in Kenya. Let's hope so.

(LAUGHTER)

DAN LOTHIAN, CNN WHITE HOUSE CORRESPONDENT: Exactly, exactly.

COSTELLO: So but Mitt is an honorable, in Kenya, let's hope so.

LOTHIAN: Exactly. Exactly.

COSTELLO: So but Mitt is an honorable man. I'm not saying I take that against Mitt Romney the person. Let's talk about the president, though. He's already I'm some overtures to Republicans, what can you tell us.

LOTHIAN: That's right. Not just Republicans but Democrats as well. The president reaching out to Speaker Boehner by phone. Also Mitch McConnell in the Senate. And to Democratic leadership. The president telling them that he's committed to finding a bipartisan solution to some of the tough projects such as cutting taxes for middle class Americans, creating jobs.

What's unclear at this point is what else would the president do beyond making phone calls? Will he be inviting the leadership here into the White House? Will they be having retreats elsewhere?

What is clear is that already up on Capitol Hill, the leadership is wanting to get things done.

(BEGIN VIDEO CLIP)

REP. JOHN BOEHNER (R), HOUSE SPEAKER: There's an alternative to going over the fiscal cliff by working together and creating a fair, simpler cleaner tax code, we can give our country a stronger, healthier economy. A stronger economy means more revenue, which is what the president seeks.

SEN. HARRY REID (D), MAJORITY LEADER: This isn't something that I'm going to draw the lines in the sand, he's not going to draw any lines in the sand. I don't believe. And I think we need to work together.

(END VIDEO CLIP)

LOTHIAN: The president said that he believes the message Americans sent in the election is that they want members of Congress, both parties, to put aside their differences, to find areas of common ground. Of course, that's easier said than done. So we'll wait to see if the president can deliver on that, carol.

COSTELLO: OK. So should we expect a news conference soon with both the president and maybe -- oh, a Republican like John Boehner?

LOTHIAN: You know, we're -- we've been asking whether or not there will be a press conference happening any time soon. So far, no confirmation of that. But you look back over history. Former President Bush had a press conference about two days after he was re- elected, former President Bill Clinton had a press conference about three days after he was re-elected. So if history is repeated here, we expect that the president would, indeed, have a press conference some time soon but the White House not confirming that yet.

COSTELLO: All right. Dan Lothian, reporting live from the White House.

In the wake of his re-election, we're learning of another milestone for President Obama. He now holds the record for the most popular tweet ever. He took the title from none other than Justin Bieber.

President Obama posted this photo on Twitter and Facebook Tuesday night when his victory was certain. Now this image is the most retweeted and liked fophoto in social media history media history. More than 784,000 re-tweets on twitter and nearly four million likes on on Facebook.

Voters in two states say yes to pot. Marijuana is about to be legal in Colorado. Or is it? Does that mean you can light up on a park bench and nobody will bother you? We'll have answers for you.

(COMMERCIAL BREAK)

COSTELLO: It is 15 minutes past the hour. Time to check our top stories.

Syrian President Bashar al-Assad sending out a warning against any outside interference in his country's civil war. He says the cost of foreign invasion would be greater than the world can afford, creating a, quote, "domino effect from the Atlantic to Pacific Oceans." More than 32,000 people have been killed in Syria's conflict.

After being elected for a sixth term, Arizona Sheriff Joe Arpaio says he wants to meet with members of the Latino community. Arpaio, known for his tough stance on undocumented immigrants, is being sued by the ACLU and the Justice Department for racial discrimination and civil rights violations. Arpaio has denied those allegations.

In money news, Walmart is kicking off Black Friday deals even earlier this year. They're going to open at 8:00 pm on Thanksgiving instead of 10:00 pm. A Walmart executive said the change was made after customers told the world's largest retailer they wanted to shop and they wanted to go to bed earlier.

Take a look at these pictures. What happens? What appears to be a smashed car is actually 17 athletes and acrobats painted and twisted to look like a crash.

Why, you ask? Well, the video was part of an Australian Motor Safety Bureau ad campaign. The bureau says speeding is the number one road safety issue contributing to more than a third of fatal crashes over the last two years.

Colorado is about to give two meaning to the term Rocky Mountain High, people voted to change the state's constitution to allow marijuana for recreational use. Some specifics for you: users will have to be at least 21 years old and they can only have an ounce of marijuana or less. You will be able to grow, process, transport, even sell marijuana at the fees and taxes raised will go toward public schools.

That's not to say there will not be problems. Colorado's Governor John Hickenlooper says, quote, "The voters have spoken. And we have to respect their will. This will be a complicated process but we intend to follow through. That said, federal law still says marijuana is an illegal drug, so don't break out the Cheetos or Goldfish too quickly."

Oh, but there are those who are so ready for that. A lawyer who supports the marijuana industry sent the governor a special delivery of Cheetos and Goldfish.

Seriously, though, this is no joke because it's complicated.

Joining me now is Colorado Attorney General John Suthers.

Welcome.

JOHN SUTHERS (R), COLORADO ATTORNEY GENERAL: Good morning.

COSTELLO: Good morning. Thank you so much for being here.

You're on record against this, but say you'll respect what the voters decided. What will be the biggest challenge for you? SUTHERS: I think clearly it's the conflict between federal and state law. In 2005, in a case called Raich versus Gonzalez, the United States Supreme Court made it very clear that the federal government is free to enforce its anti-marijuana laws even in states that legalize it on a state level.

So, we really need to find out what the federal government's attitude is going to be towards Colorado's legalization attempt. Are they going to tolerate these large grow operations when we have learned from medical marijuana that that results in diversion to other states? We've traced medical marijuana from Colorado to 26 other states. If that continues, I'm not sure that the federal government is going to stand back and say, do what you want to do in Colorado.

COSTELLO: Yes. And I think you're right to be concerned. This is the statement we got from the DEA, the Drug Enforcement Agency. It says, quote, "The Drug Enforcement Administration's enforcement of the Controlled Substances Act remains unchanged. The Department of Justice is r reviewing ballot initiatives and we have no additional comment at this time." So, they're mulling things over.

I have a question, though. If it's against federal law to smoke marijuana, if I'm sitting on a park bench and I light up a joint and an FBI agent walks by, a federal enforcement official -- will he arrest me?

SUTHERS: No. You know, even though he technically could, the federal government has never been interested in prosecuting low-level possession. Even when I was U.S. attorney, I think we had 100-plant threshold. I suspect it's even higher now.

But I do think they are going to be concerned about -- you know, there's no residency requirements under this regime. So people can come into Colorado and buy it. Take it out of the state, and I'm just not sure how they're going to react to that.

The governor, myself, are going to be communicating with Attorney General Holder, the local U.S. attorney. And it will be interesting to see what they say, because we in Colorado really need to know that. People wanting to invest in these businesses need to know what the federal government's viewpoint is going to be.

COSTELLO: So you're going to have a rough couple months or maybe even a rough couple years?

SUTHERS: I suspect so.

COSTELLO: Well, we wish you luck. And thank you so much for joining this morning. We really appreciate it. Colorado's Attorney General John Suthers -- thanks so much.

SUTHERS: Thank you.

COSTELLO: Talk back question for you today, can President Obama romance Republicans? Facebook.com/CarolCNN.

(COMMERCIAL BREAK)

COSTELLO: Now is your chance to talk back on within of the big stories of the day. The question for you this morning: Can President Obama romance the Republicans?

Remember the 2012 election? Done! Next, now it's time to tackle the fiscal cliff, you know, the economic crisis that we're facing. Unless President Obama and the Republicans make some kind of deal. But, first, both sides first need to feel the political love. They're already flirting.

(BEGIN VIDEO CLIP)

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: Tonight, you voted for action, not politics as usual. You elected us to focus on your jobs, not ours. In the coming weeks and months, I am looking forward to reaching out and working with leaders of both parties to meet the challenges we can only solve together.

REP. JOHN BOEHNER (R-OH), SPEAKER OF THE HOUSE: The American people have spoken. They've re-elected President Obama and they've again re- elected a Republican majority in the House of Representatives.

If there's a mandate in yesterday's results, it's a mandate for us to find a way to work together on the solutions to the challenges that we all face as a nation.

(END VIDEO CLIP)

COSTELLO: Oh, but political love is fleeting between Democrats and Republicans, although partisan bromance is possible. Remember Ronald and Tip back when Reeboks and stone washed jeans were hip? So, why not John and Barack?

They tried. In 2011, they had a golf beer summit. That is, they played 18 holes and had a beer. Can you say quadruple bogey?

American voters hate the gridlock. They're saying, come on, fellows, bury the hatchet and show us the love, because love means never having to say you have fallen off a fiscal cliff.

Talk back today: Can Obama romance the Republicans? Facebook.com/CarolCNN, Facebook.com/CarolCNN. Your comments later this hour.

Markets opening minutes from now. Find out if Wall Street can recover after Wednesday's massive sell off.

(COMMERCIAL BREAK)

COSTELLO: Good morning to you. Thank you so much for being with us. I'm Carol Costello.

We're about one minute away from the opening bell of the New York Stock Exchange. Stocks looking slightly higher after yesterday's disturbingly massive sell-off. Alison Kosik is in New York.

So, things looking better?

ALISON KOSIK, CNN BUSINESS CORRESPONDENT: Carol, yes. You know, it is looking better. It looks like a much calmer day on Wall Street after the Dow's biggest sell off of the year. You know, those worries about Europe's debt crisis, those are responsible for part of the selling you saw yesterday. The other part was Wall Street kind of realizing that President Obama's re-election means there's going to be tougher regulation down the road for the financial industry.

Now, today, we got a sliver of better news out of Europe with the Greek parliament, agreeing to another round of spending cuts. And that means that Greece can get another round of international loans. That could keep stocks in the green today.

Now, here at home, investors are going through the latest weekly jobless claims report. What it showed was a job of 8,000 for first- time claims for unemployment benefits. But the thing with this reading, carol, take it with a grain of salt. It's kind of misleading, because a lot of people were busy dealing with hurricane Sandy last week to file new claims. Don't be surprised if those claims go up in the coming weeks to make up for that drop we saw last week.

Overall, though, it seems like the selling is done for now. Especially since the sell-off was so big yesterday, 312 points, y see some people buying into get those bargains.

So, there we go. Opening bell and stocks are starting off ever so slightly in the green and now the red. So much for that.

COSTELLO: Well, I know -- geez. I know you're going to keep an eye on it, so we'll keep an eye on it, too, throughout the hour.

I want to ask you, though, about McDonald's. It hasn't done this in almost 10 years.

KOSIK: Yes, we like to watch McDonald's because it's a great indicator of how just people are feeling. And we found out that McDonald's reported an almost 2 percent drop in sales in October. This is actually the first monthly decline in almost a decade.

You know, it's another sign that the European economy is slowing. But you also saw that sales fell in all regions, including right here in the U.S. So it could be a sign as well that competition is catching up to McDonald's after what's been a dominant nine-year run for the chain.

Burger King recently added coffee. Its answer to McDonald's success from the McCafe line. And today, Wendy's reported sales are up more than 4 percent last quarter.

You know what? This could be a wake-up call to McDonald's, time to step it up again to grab consumers again. COSTELLO: Healthier burgers.

KOSIK: Exactly. That could do it, maybe.

COSTELLO: Maybe. Veggie burgers. No, I don't think so.

KOSIK: Yes.

COSTELLO: Alison Kosik -- ew. Alison Kosik, thanks so much.

Other stories we're watching now in THE NEWSROOM:

Residents still powerless from superstorm Sandy are being hit again, this time by a nor'easter. Storms mix of heavy rain, wind and snow is a major setback for those still trying to dry out after massive flooding left by Sandy.

Nearly two months after that deadly attack in Benghazi, slain ambassador to Libya, Chris Stevens, will be honored pos posthumously with a Common Ground Award. It's for outstanding accomplishments in conflict resolution, negotiation, community and peace-building. Steven's sister, Ann, will accept the award. And Secretary of State Hillary Clinton is expected to speak at the event.

The University of Mississippi students were arrested after a rally protesting the reelection of President Obama got out of hand. Officials say the rally started small but soon grew to include about 400 demonstrators, some of them shouting profanities and racial slurs. The school's chancellor said he was ashamed that a few negative students have affected the school's reputation.

Election 2012 in the bag. Time to start fresh. Time to treat one another with respect. How about a little reaching out across the aisle?

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Is this your concession call or are you still busy watching FOX News?

UNIDENTIFIED MALE: No, no, this is my concession call. Congratulations, blah, blah, blah, you did it.

UNIDENTIFIED MALE: Hey now, everything OK? You seem a little down.

UNIDENTIFIED MALE: It's just I really wanted to be president. I was going to create 12 million jobs.

UNIDENTIFIED MALE: Well, look, buck up. You created one job except it was for me.

UNIDENTIFIED MALE: All right. Very funny. You got me.

You know, I can laugh at myself. Ha, ha, ha. You know what? I'm just going to focus on the good times.

Remember that first debate?

UNIDENTIFIED MALE: Yes. You remember right now?

UNIDENTIFIED MALE: Burn notice. That one hurt, ha, ha, ha.

UNIDENTIFIED MALE: Very good.

(END VIDEO CLIP)

COSTELLO: Seriously, though, Mitt Romney did call Barack Obama and the president at least talked about sitting down with Governor Romney to talk about moving the country forward. Now think about that. Obama, Romney, sitting down together, talking about the economy. Probably ain't going to happen.

But still CNN contributors Will Cain and Roland Martin are going to address that. They join me now.

Welcome, gentlemen.

WILL CAIN, CNN CONTRIBUTOR: Good morning, Carol.

ROLAND MARTIN, CNN CONTRIBUTOR: That was a funny skit.

COSTELLO: Wasn't it funny?

MARTIN: That was funny.

COSTELLO: I have this great idea, Roland. Why doesn't President Obama appoint Mitt Romney as his secretary of business?

CAIN: Right.

MARTIN: Seriously. Right. That's really going to happen.

First of all, we have a secretary of business. It's called the commerce secretary. Normally that's the person who handles that sort of stuff.

Look, bottom line is people keep talking about what President Barack Obama needs to do. Look, the fundamental problem with getting something done in Washington, D.C. is really not with President Obama. It's a question whether Speaker John Boehner can keep his Republican caucus under control.

The Tea Party members last time, most of them freshmen, scuttled a lot of things that could have been done. And so, that's the real issue.

I do believe the president and Speaker Boehner can have a good relationship, certainly much better than Senator McConnell. His press release on election night was pretty pathetic. But the question is: can Speaker Boehner get his own troops in line? That's the real, fundamental question he must be asking.

COSTELLO: But there is an argument to be made, Will, right, the president is -- he's supposed to lead the country, use his bully pulpit to get things done. Why can't he use his bully pulpit to bring the two sides together?

CAIN: Well, it depends on what his desire for that is, Carol. I mean, when you made the Mitt Romney suggestion, you heard Roland laugh and me say right, because he's not going to do that because he doesn't want to do that. By the way, Roland, he's going to create a new secretary of business he has talked about, some kind of business department above and beyond secretary of commerce. So, maybe there's a position there, but he's just not going to fill it with Mitt Romney.

Here's the deal, Carol. OK, this morning, there seems to be a love affair with the idea of compromise. Fine. OK? Fine. Bipartisanship.

But it can't mean what Roland just defined it to mean. It can't mean that people who have legitimate disagreement lay down their disagreement to the side that won the most recent election. That's not democracy. You don't win election, all of a sudden, everyone else has to agree with you.

MARTIN: That's not what I said.

CAIN: So, the idea of compromise can't be that John Boehner gets everybody in the House to say, OK, we have to do it Barack Obama's way. The idea is two sides come together to find the most reasonable thing they can agree upon.

The most -- I'm not going to filibuster here, Roland. The issue before was the fiscal cliff, it will be taxes. If we draw a line in the sand that it's all about taxes on the rich and not tax reform, we're going to have problems.

MARTIN: Carol, that's not what I said. The fundamental issue here is not a question of how can you not agree?

If we recall, all of the debates that took place when it came to the House Republicans, they didn't want to agree on anything. There was no desire. Remember that moment during the Republican debates when the question was asked if you could get 10 cuts for even one revenue increase, how many of you will go along with that? Nobody raised their hand. That's how the House Republicans conference acts.

All I'm simply saying is, the president and the Democrats have offered some concessions. But you've got to have somebody across the table who wants to go along with it. Hey, if you're in a marriage, it can't be a one-way street. You've got to have two people who want to make sure --

(CROSSTALK)

COSTELLO: And I've got to say, Will, during the campaign, President Obama made it very clear that he wants to raise taxes on the wealthiest Americans in this country. I don't think he's going to back off on that.

CAIN: No. Look, see, so my goal here isn't to say, you know, Republicans lesson from the last two days is draw the line in the sand, to hold fast to everything you've ever said. That's 10-1 was in a Republican primary debate. And it's not realistic, right? It's just not going to work, when you only own one house, the House of Representatives on the legislative side.

However, however, the issue is also that President Obama is going to find out very, very quickly the limits of closing a trillion plus dollar deficit by taxing the wealthy. That letting the Bush tax cuts expire on the wealthy will bring you back $80 billion a year.

So, the idea, by the way, that intransigence was just on the Republican side, Roland, is just historically false. Democrats didn't want anything -- although the president suggested he might touch entitlements. The Democrats on the left said, no way, we're not going to allow you to do that.

So, I would say in about two months, we're going to find out if compromise and bipartisanship is legitimately possible. Not just from the right, which I'm here to tell you, we'll find that out on the tax side. But on the left from entitlement entitlements, because taxes, by the way, that's just not going to get you there.

COSTELLO: I hope we find out in less than two months. Got to end it here, guys. Got to end it here. Roland Martin, Will Cain, thanks as usual.

As if raising all those kids wasn't enough, Brad Pitt is adding to his resume.

(COMMERCIAL BREAK)

COSTELLO: Victims of hurricane Sandy getting a boost from a couple of celebrities. Lady Gaga and Jerry Seinfeld, donating to the recovery from last week's superstorm.

A.J. Hammer is following that for us. Good morning.

A.J. HAMMER, "SHOWBIZ TONIGHT" HOST: Good morning, Carol.

Yes, in the case of Lady Gaga, she has just announced on Twitter that she is making a substantial cash donation. She's sending off a million bucks to the Red Cross to help victims of hurricane Sandy. Now, Gaga grew up in New York. She says she just wouldn't be the woman or the artist that she is today without the time she spent on the Lower East Side, in Harlem, the Bronx and Brooklyn. So, she says she wants to make the donation on behalf of her family with our deepest gratitude, New York, for raising us.

And Jerry Seinfeld donating all his income from his upcoming shows to the relief efforts, including performances in Brooklyn and Staten Island as well as a just announced show that's happening on December 19th in Long Island. Jerry is going to be donating the money to some local organizations helping people here in New York.

And, Carol, as you know, every penny makes a difference. So many people still suffering.

COSTELLO: You got that right.

Let's talk about Brad Pitt now, because I understand he's taking a break from those horrible Chanel ads.

(LAUGHTER)

HAMMER: Well, yes. He's always been one to explore his artistic side. That could include the Chanel ad. But now, he's apparently designing furniture with Pollaro Custom Furniture. His new collection is going to debut next week in Manhattan.

And it looks like Pitt has had a hand in some chairs, a table and a couple of other items. He's well known for long being into decorating and architecture. You might remember, his project to rebuild neighborhoods in New Orleans after Katrina involves some very unique and progressive designs.

He recently told "Architectural Digest" that he's been doodling ideas for buildings and furniture since the early 1990s. He says his exposure to Frank Lloyd Wright changed his life.

Now, Wright is not going to be in attendance for the show. But, you know, you bring up the Chanel ad, maybe they can talk him into doing a commercial for the furniture. In fact, do you have the Chanel ad cued up, Carol? Is there any way we can --

COSTELLO: We might have the Chanel ad.

HAMMER: Really?

COSTELLO: Can we see a little bit of it?

HAMMER: Just a little.

(BEGIN VIDEO CLIP)

BRAD PITT, ACTOR: It's not a journey. Every journey ends, but we go on. The world turns and we turn with it.

(END VIDEO CLIP)

HAMMER: Tables, chairs. Ottomans. I can hear the next commercial.

Hey, look, Chanel loves it every time we talk about it and we play it. Sort of the other end of the spectrum for Brad Pitt there.

COSTELLO: OK, I'm laughing too hard. A.J. Hammer, thanks so much.

HAMMER: You got it.

COSTELLO: A.J. will be with us next hour with more headlines.

A young star, this was a serious story. She's from TV's "Modern Family". She's being removed from her home because of allegations of abuse.

(COMMERCIAL BREAK)

COSTELLO: All right. Today's "Talk Back" question, "Can President Obama romance the Republicans?" And I must say I love your answer this morning.

This from Brian, "No, though it won't be for lack of trying. But an elephant will always act as an elephant no matter how many peanuts you give it."

This from Gary, "Why is it that President Obama should romance the Republicans? Don't you think it's time that the Republicans romance the American people?"

This from Franklin, "It's possible but it may be as hard as romancing the stone or is it a stone?"

This from Necca, "Our Congress both Republicans and Democrats alike need to take a trip to Colorado and have a sit down over the peace pipe."

This from Linda, "He shouldn't have to romance them. They should be the ones to work with him."

Keep the comments coming, Facebook.com/CarolCNN. Thank you as always for your comments.

Forty-seven minutes past the hour. Time to check our "Top Stories" today. Today the man accused of attempting to kill former Congresswoman Gabrielle Giffords will be sentenced. Jared Loughner killed six people, wounded 13 others when he opened fire at a rally in January of last year. Loughner reached a plea deal with prosecutors to avoid the death penalty.

Angry reaction in Greece to a new round of austerity measures about 70,000 People protested outside parliament before lawmakers approved the cuts. The cuts which include slashing paychecks and pensions are needed so that Greece can keep getting bailout funds.

A new legacy for former South African President Nelson Mandela, a picture of the apartheid icon is featured on bank notes launched this week by the nation. Mandela spent 27 years in prison fighting against the oppression of minorities in South Africa.

Women and younger adults could be misdiagnosing an important symptom related to heart attacks. A study done by the American Heart Association found that only half of women who visited their doctor with chest pain discomfort prior to a heart attack were not told symptoms could be related. According to researchers women tend to attribute the symptoms to stress, anxiety or indigestion.

(COMMERCIAL BREAK)

COSTELLO: During the non-stop election coverage some people on TV were in denial. Some were giddy, and some just had to go to the bathroom.

Here's CNN's Jeannie Moos with the most bizarre moments of election night.

(BEGIN VIDEO CLIP)

JEANNIE MOOS, CNN NATIONAL CORRESPONDENT (voice-over): if you missed the moment live, let's relive it.

UNIDENTIFIED FEMALE: President Obama has been re-elected.

WOLF BLITZER, CNN ANCHOR: President of the United States.

UNIDENTIFIED FEMALE: It was a hard-fought battle.

UNIDENTIFIED MALE: The Colbert Report is ready to project that CNN has projected that Animal Planet has predicted that the winner of the 2012 presidential election is Barack Obama.

MOOS: talk about a thoughtful pundit after painting a bleak picture of President Obama's second term, Fox commentator Dr. Charles Krauthammer joked --

CHARLES KRAUTHAMMER, FOX NEWS CONTRIBUTOR: So as a psychiatrist I will offer to write prescriptions for anybody who needs them right now.

MOOS: But Barack Obama supporters were ecstatic. CNN even cut away to some in Kenya. Speaking of which --

(on camera): -- what would election night be without a Donald Trump angle? After Mitt Romney's loss, Trump tweeted, "This election is a total sham and travesty. We should have a revolution in this country," which prompted NBC's Brian Williams to launch this zinger.

BRIAN WILLIAMS, NBC NEWS ANCHOR: Donald Trump who has driven well past the last exit to relevance.

MOOS: The exit for Mitt Romney was Ohio. After Fox News called Ohio for Obama, the network's own best known commentator objected.

KARL ROVE, FOX NEW CONTRIBUTOR: We've got to be careful about calling things.

UNIDENTIFIED FEMALE: That's awkward.

MOOS: Once Karl Rove questioned the call by Fox's Decision Desk, Megyn Kelly walked back there.

MEGYN KELLY, FOX NEWS ANCHOR: Whoa, careful.

MOOS: Live camera in tow.

KELLY: Keep coming. Here we go.

UNIDENTIFIED MALE: We're actually quite comfortable with the call in Ohio.

MOOS: But the anchor who got the most flack was ABC's Diane Sawyer. DIANE SAWYER, ABC NEWS ANCHOR: And can we have our music because this is another big one here.

MOOS: Viewers thought her delivery was strange. "I'll have what Diane Sawyer is having", tweeted singer Josh Groban (ph).

SAWYER: President Barack Obama has won Minnesota.

MOOS: Someone else tweeted, "And Diane Sawyer declares tonight's winner is Chardonnay." Officially ABC wouldn't comment but staffers suggest Diane was just exhausted from hurricane coverage and debate prep.

(on camera): And what's an anchor supposed to do when she gets a call of nature while she's in the middle of calling states?

RACHEL MADDOW, MSNBC NEWS: I came back from the bathroom and said that Colorado was still too close to call. Nobody told me while I was in the bathroom Colorado went for President Obama. Thanks, you guys. I really appreciate it.

MOOS: One thing networks don't project are bathroom breaks.

Jeanne Moos, CNN --

UNIDENTIFIED MALE: Good news for Mitt Romney, he has won tonight we're going to announce this right now, most of the confederacy.

MOOS: -- New York.

(END VIDEO CLIP)

COSTELLO: Ouch, ouch, ouch.

It is Gatorade used to have a slogan, if I could be like Mike, referring of course to Michael Jordan. But now Jordan's old teammate says President Obama's actually fits the bill. We'll the tell you what Scottie Pippen is saying about the President's basketball playing abilities.

(COMMERCIAL BREAK)

COSTELLO: Memo from pro sports leagues to their players -- marijuana is still a banned substance. Tuesday's votes in Colorado and Washington state to legalize the recreational use of marijuana prompted a swift response from sports organizations, the NFL, Major League Baseball, the NBA and the U.S. Olympic Committee, all said their drug policies remain the same.

When the Lakers added Dwight Howard to their roster they were expected to blow out other teams, blow them out of their buildings. Well, the season hasn't started out that way. Utah Jazz beat L.A. 95-86 last night sending the Lakers to a 1-4 record. Despite the poor start Lakers brass have given coach Mike Brown a vote of confidence. And Kobe Bryant is telling fans to chill out. Scottie Pippen sees one way that President Obama is just like Mike. Michael Jordan's former teammate took to the court with the President's team for his traditional election day basketball game. Pippen said no one wanted to hit Jordan back in the day and no one wants to hit the President now. As Pippen put it, when the President drives on the basket, the lane opens up wide enough for his motorcade to go through.

Indianapolis Colts are staying Chuck-strong for head coach Chuck Pagano as he battles leukemia while on leave from the team. Two dozen players got their head shaved this week in About two dozen players got their heads shaved this week in support of their coach. Pagano showed up in the Colts locker room on Sunday and showed up how much hair he lost due to chemotherapy. Surprising Colts with a 5-3 record take on Jacksonville tonight.

That's a quick look at sports for you.

The next hour of CNN NEWSROOM starts right now.

Stories we're watching right now in the NEWSROOM, a new wave of misery in the northeast. First Super Storm Sandy delivered hurricane force winds and floods. Today it's a nor'easter. Making a bad situation even worse.

Smoking pot used to get you busted but not so much anymore. Two states legalizing it. That's ok for one group of former law enforcement officers.

Forget getting up early, we're staying up late to get those black Friday sales. Wal-Mart says it will start those deals on Thanksgiving, even earlier.

And don't let the pig tails fool you. This gridiron girl knows how to play.