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Brexit Campaign Continues; Tokyo Criticizes North Korean Missile Launches; Wildfires in California; Latest on the Orlando Shooting Investigation; American Teenager Arrested for Attempting to Provide Material Support to ISIS; Clinton Attacks Trump on Economy. Aired 3-4a ET

Aired June 22, 2016 - 03:00   ET

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


(COMMERCIAL BREAK)

[03:00:00] ROSEMARY CHURCH, CNN NEWSROOM SHOW HOST: Final pitches advocates for and against saying in the E.U., a clash and a heated debate before Thursday's vote.

Unforgivable Tokyo heaps criticism on North Korea are great launches a pair of bad missiles within hours of each other.

And California burning, fast-moving fires forced hundreds of evacuate -- to evacuate their homes near Los Angeles.

Hello, and welcome to our viewers here in the United States and of course all around the world. Thanks for your company. I'm Rosemary Church. And this is CNN Newsroom.

And we are now in the final hours of campaigning on the question of whether the U.K. should stay in the European Union. The issue has divided the country with polls suggesting Thursday's vote is too close to call.

A record 46 and a half million people have registered to vote; both sides are trying to sway any undecided voters. And 6,000 people attended the final fiery debate Tuesday night at London's Wembley Arena.

On the leave side, former London Mayor Boris Johnson insisted that E.U. is bad for British business.

(BEGIN VIDEO CLIP)

BORIS JOHNSON, FORMER LONDON MAYOR: Can you believe that the remain side cannot think of a single one of the E.U.'s multitude of regulations that they would get rid of, not even the critical trials directive that prevents vital pharmacy to the work from being carried out.

The E.U. -- the E.U., is I'm afraid, is a job-destroying engine. You can see it all across Southern Europe.

(APPLAUSE)

And you can see it -- you can see it a lot in this country, as well.

(END VIDEO CLIP)

CHURCH: And on the remain side, Johnson's successor, London Mayor, Sadiq Khan says the experts agree Britain is better off in Europe and he challenge leave supporters to stay in fight for fair treatment from the E.U.

(BEGIN VIDEO CLIP)

SADIQ KHAN, LONDON MAYOR: In fact, all of them are saying we're safer together.

(APPLAUSE)

GISELA STUART, LABOUR M.P.: And all of them are also saying that as long as the European Union could sign to copy what nature does, if the companies across Europe are not paying their 2 percent of the GDP which is the NATO contribution, we will be weakening it.

(CROSSTALK)

KHAN: Well, stay and fight, don't quit. Why are you a quitter? We're better than that. We can do it.

(END VIDEO CLIP)

CHURCH: And our Phil Black joins us now from London with what's expected to be a long day of campaigning. So, Phil, it's the last day of campaigning. And Brits heard final pitches at Wembley Arena during that fiery debate.

How likely is it that undecided voters were swayed by what was said and what's expected to come out of campaigning the day before this vote?

PHIL BLACK, CNN CORRESPONDENT: Well, Rosemary, the performances on both sides you would have to say were pretty strong. But I think that if you're an undecided voter in Britain today that is still an awkward position to occupy. Because what came clear through that debate is that even now on the very eve of this huge political decision is that both sides are still disputing some very basic facts here.

Like how much money does Britain actually contribute to the European Union? How many laws come from Brussels and are enforced upon the British people? And that's before you even begin to consider far less predictable you would think less factual issues, like what will the impact of Brexit be on the British economy?

There is obviously enormous difference there as well. The remain camp believes that its got the economic argument sewn up, the support of a distinct majority of experts, individuals, organizations who all say there will be a huge economic hit.

The Brexit camp says, well, they say there is a conspiracy among interested individuals who have a vested interest in the status quo, or they simply dismiss the experts as people who have got it wrong before.

All of that, is still decided at this very late stage in the discussion. So, today, we will see more people on both sides continuing to press their case. We're not going to hear anything new, though, this has been going on for months.

The arguments, the themes, they are very well established. But the other point to consider here and it is important and again we saw it in the debate last night. People will not just be voting on factual issues. They will, or the economy, or these sorts of things.

There is an emotive element to this as well, and it does appear that the Brexit side, those encouraging Britain to leave the European Union are able to tap into a feeling, call it patriotism, nationalism, whatever you like.

[03:05:02] But although the crowd was rowdy across the board it was by far the rowdiest in response to arguments from the Brexit debaters, encouraging Britain to go it alone to back their own country, to show independence and to show that sort of positivity.

So, there is a lot to consider. And undecided voters, as I say, have a lot to think about in these final 24 hours, Rosemary.

CHURCH: Yes, and Phil, most assessments suggest that it's way too close to call. So, how -- how many Brits remain undecided at this stage and how soon will the results be revealed once this vote takes place.

BLACK: Difficult to put a precise number on the undecided. But what the polls have shown throughout is that the portion of the undecided vote is big enough to decide the ultimate result.

Now it's altruism of many types of political contest that the undecided voters will determine the outcome, but it does seem to be absolutely true in this case that those wavering few will determine the economic, the geopolitical direction of this country for decades to come.

The polling, the voting itself will close late tomorrow night. The voting -- the counting starts straight away. We'll continue through the night and all that means is that we should know come Friday morning whether or not Britain will remain in the European Union.

CHURCH: Indeed, we shall. Our Phil Black joining us live from London, just after eight o'clock in the morning there. Many thanks to you, Phil.

Well, Europe is looking on nervously as the Brexit vote fast approaches. CNN's Will Ripley went to the streets of Paris to see how Britain's neighbors feel.

WILL RIPLEY, CNN INTERNATIONAL CORRESPONDENT: Summer in the city of light means outdoor cafes, selfies on the Seine, strolls along the Saint-Louis. Most Parisians are not preoccupied with the looming Brexit vote, but some are nervous. (BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: I am a little bit worried about it, yes, I think it will be a pity if this cohesion would disappear.

UNIDENTIFIED MALE: I would like them to stay?

RIPLEY: Why.

UNIDENTIFIED MALE: More likely. Because even if it's difficult I think we build something very nice.

(END VIDEO CLIP)

RIPLEY: At newspaper kiosks, the headlines portray Europe and Britain as a marriage on the rocks. But at least on the continent, few seem ready to divorce.

Some of the French press think it's incredible Britain would even considering leaving the E.U., this is one of the more colorful headlines in illustrations here, it reads, the English? They're mad.

And the French economy minister told the newspaper Le Monde that Britain would quickly become a small isolated island.

(FOREIGN LANGUAGE)

RIPLEY: While Prime Minister Manuel Valls says Britain leaving the E.U. would be a terrible shock. At the Petit Palais, this statue of Winston Churchill pays tribute to his war-time leadership and vision of European family. But a family feud is deepening.

(BEGIN VIDEO CLIP)

DOMINIQUE MOISI, FRENCH POLITICAL SCIENTIST & WRITER: You don't want to see the disintegration of Europe and what it can lead to. We have a memory of the past.

(END VIDEO CLIP)

RIPLEY: French author and veteran commentator, Dominique Moisi says British voters have a huge responsibility.

(BEGIN VIDEO CLIP)

MOISI: The responsibility that goes much beyond Great Britain. Much beyond Europe. It is the west at large that is at stake.

(END VIDEO CLIP)

RIPLEY: This increasingly fractured Europe is reflected in the views of football fans here for Euro 2016. These men from Northern Ireland say they want the U.K. to leave.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Britain will be bullied by Europe, should we remain? Like an adulteress husband is taken back to the wife.

UNIDENTIFIED MALE: Northern Ireland and Britain or Britain more money and then we're getting of Europe.

(END VIDEO CLIP)

RIPLEY: German fans say they routing for Britain to remain.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: They have to take into account that the economic power will decrease, unemployment will increase.

UNIDENTIFIED MALE: Britain stay.

RIPLEY: Why?

UNIDENTIFIED MALE: Because it will be a disaster for whole Europe when they will be out.

(END VIDEO CLIP)

RIPLEY: By the end of this week, British football teams may still be in Europe, but their country could be on the way out.

Will Ripley, CNN, Paris.

CHURCH: And the global markets have kept an eye on the Brexit debate. We will check on just the European markets in a few moments.

And they can't vote yet, but some school children's grasp by Brexit may surprise you. That is later in the program.

Well, North Korea launched two intermediate range missiles from its eastern coast into the Sea of Japan. South Korea says the first one failed after flying 150 kilometers Wednesday morning.

The second missile is still being investigated. North Korea has tried to test this type of missile four other times since April.

And CNN's Paula Hancocks is Seoul, South Korea, she joins us now live. So, Paula, it is highly unusual, isn't it, to see North Korea test two missiles just within hours of each other.

[03:10:01] What is being said about that. And what more are we learning about what was achieved by these missile tests?

PAULA HANCOCKS, CNN CORRESPONDENT: Well, Rosemary, I think the second missile launch is what most people are looking at, at this point. The South Korean defense minister official saying that it flew around 450 -- 400 kilometers, 250 miles.

And certainly, that's further than we appear to have seen from these Musudan missiles in the past. They are intermediate range missiles, at the lower range they could hit South Korea, they could hit all of Japan. U.S. military bases there. At the higher range they could potentially hit U.S. military bases on

Guam. So, certainly 400 kilometers is not the full range but it is -- it is considered progress by many people.

We're hearing from Japan's military, as well. And one official saying that they are concerned by these launches. So certainly, the fact that many people are saying that even with failures North Korea is learning something does appear to be the case, that there does seem to be more progress in these Musudan missiles.

And of course these are mobile missiles which makes them even more of a concern to those in the neighborhood. Rosemary?

CHURCH: Yes, that certainly a worry. So, what is being the overall global reaction to this and how far away do authorities believe North Korea may be from its ultimate goal of establishing a delivery system for a nuclear weapon.

HANCOCKS: Well, it's a very difficult question to answer exactly how far it might be. But certainly the pace at which North Korea is testing these missiles at this point is far quicker than we have seen in the past.

When you look at the predecessor, the late Kim Jong-il, the South Korean Defense Minister told that in 18 years of his reign he had 18 missile tests. But when it comes to Kim Jong-un in just four years he's had about 27 missile test.

So, you can see the pace is increasing with this new North Korean leader. And certainly we've seen condemnation from Japan's Prime Minister, we've seen it from the South Korean side, Washington was very quick with its condemnation.

The State Department spokesperson saying that they condemn this and all of the missile tests because they're against the U.N. Security Council resolutions.

But also pointing out that they believe that this will rally the troops behind these sanction that have been passed in recent months against North Korea, that this just strengthen the international community's resolve to make sure those sanctions have an impact. Rosemary.

CHURCH: All right. Our Paula Hancocks there on top of this developing story from Seoul, South Korea, just after four o'clock there. Many thanks.

Turning to the race for the white house now. And a new CNN/ORC poll shows Hillary Clinton leads Donald Trump for president. But just slightly. Forty seven percent of registered voters surveyed said Clinton was their choice for president. Forty two percent say Trump is their man.

Meanwhile, the republican is in the middle of a cash crunch. On Tuesday, Trump said he is willing to spend his own money to fund his general election campaign if he has to. Jim Acosta has more.

JIM ACOSTA, CNN SENIOR WHITE HOUSE CORRESPONDENT: Despite a lifetime of cutting deals that made him billions of dollars, Donald Trump is so short of campaign cash GOP jaws are dropping. But don't worry, says Trump.

(BEGIN VIDEO CLIP)

DONALD TRUMP, (R) U.S. PRESIDENTIAL CANDIDATE: This weekend, we had a very big fundraising weekend, it's not revealed yet, but we raised a lot of money.

(END VIDEO CLIP)

ACOSTA: Still consider the numbers, according to federal campaign filings, Hillary Clinton finished the month of May with $42 million in the bank, Trump ended up with a tiny fraction of that hole, just $1.3 million.

Other glaring findings this month, 17 percent of the campaign spending was dished out to Trump-related entities, like when the campaign rent space from a Trump property for an event. And $35,000 went to something called 'Draper Sterling.'

And expenditure with the name reminiscent of the advertising agency and hit show "madman." Trump released a statement on his fundraising, noting his appeal to donors are just beginning, adding "if need be there could be unlimited cash on hand as I would put up my own money."

Earlier in the day, he blamed republicans who haven't rallied behind his campaign.

(BEGIN VIDEO CLIP)

TRUMP: If they don't want to come on, that they will probably eventually come on. Honestly, if they don't, it's just fine. I can win it either way.

(END VIDEO CLIP)

ACOSTA: Nothing to see here, added the RNC.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: I appreciate everyone's concern over the state of our party. We're doing just great.

(END VIDEO CLIP)

ACOSTA: Trump is signaling a more aggressive stage of the campaign is just ahead. His campaign is blasting out e-mails and hitting social media to counter Clinton's latest attacks. Responding faster than it has before.

(BEGIN VIDEO CLIP) TRUMP: And she's been there watching.

(END VIDEO CLIP)

ACOSTA: And Trump advisers are hopeful it is a change for the better. The firing of campaign manager Corey Lewandowski. The candidate was also out assuring support of Evangelical leaders gathered in New York.

(BEGIN VIDEO CLIP)

[03:15:10] TRUMP: The Christianity I have so much to it in so many ways, through life, through having incredible children to so many other things. But I also owe it from frankly standing here, because the Evangelical vote was mostly gotten by me.

(END VIDEO CLIP)

ACOSTA: And Donald Trump has a speech set for tomorrow aimed at Hillary Clinton right here in New York City. His campaign has also set up a web site called lyingcrookedhillary.com, but the campaign acknowledges it's not even ready yet and won't be up and running for a few days.

Jim Acosta, CNN, New York.

CHURCH: Up next, new details on the Orlando terror attack. What the gunman did in the hours before the shooting. And why it's raising questions about his bigger plan.

And scorch, record heat, winds, and droughts, fuelling dangerous fires in Southern California. What's next for the area, that's after the break.

(COMMERCIAL BREAK)

MICHAEL HOLMES, CNN CORRESPONDENT: Hello, everyone. I'm Michael Holmes. And this is your road to Rio update.

The International Olympic Committee paved the way for some Russian athletes to compete in Rio. Last week, the International Association of Athletic Federation banned Russia from competing for doping offenses. The IOF upheld that ban, but announced that individual athletes who could be cleared of doping by IAAF or a court of arbitration will be able to compete under the Russian flag.

World class track coach Jama Aden was arrested in a hotel in Spain, where he and 30 athletes on his training team were staying, police raiding the hotel as part of an anti-doping operation.

Aden who coaches the team at 1500 meter world record holder and other high profile athletes is charged with distributing and administering doping substances.

And Australian Olympic authority say they want greater security for their athletes in Rios, this after six-time Australian Paralympian Liesl Tesch and team member Sarah Ross were robbed at gunpoint in broad daylight.

Security remains a concern ahead of the games, some 20 masked gunmen raided a Rio hospital in a deadly shootout over the weekend.

That is your road to Rio update. I'm Michael Holmes.

[03:20:01] CHURCH: Investigators say Orlando gunman, Omar Mateen was inside the Pulse Nightclub several hours before the terror attack. They think he could have been checking the club's security.

Ed Lavandera has the latest.

ED LAVANDERA, CNN CORRESPONDENT: Omar Mateen was angry as he packed the bag with his guns and then made the two-hour drive from his home to the Pulse Nightclub in Orlando. That's what law enforcement sources say Noor Salman, Mateen's wife has told investigators.

Salman says she pleaded with Mateen not to leave and grabbed him by the arm. She says she didn't know he was planning to kill dozens of people at the club. She also never called police to report what was happening.

Law enforcement also says the day before the attack, Mateen purchased three plane tickets for himself, his wife and child to fly to California.

On Tuesday, Attorney General Loretta Lynch visited the shooting site but refused to say if criminal charges would be brought against Salman.

(BEGIN VIDEO CLIP)

LAVANDERA: Are you convinced that Omar Mateen's wife did not know about this attack, or should she have done more to stop it?

LORETTA LYNCH, U.S. ATTORNEY GENERAL: Well, we're not going to speak about anyone else's role in this right now while we are investigating the matter. We are trying to learn everything we can about Mateen and all the people in his ambit in the days and weeks and months leading up to this attack.

(END VIDEO CLIP)

LAVANDERA: The investigators are using Mateen's the cell phone and surveillance video inside the club to build a timeline of his movements in the hours before the deadly rampage.

Law enforcement sources tell CNN, Mateen showed up at the Pulse Nightclub earlier in the evening, paid the entry fee and obtained a wrist band. He may have been checking the building security that night.

Mateen left the club, came back two hours later and unleashed the violent shooting spree. Investigators are trying to figure out what Mateen was doing during those two hours.

(BEGIN VIDEO CLIP)

RON HOPPER, FBI ORLANDO ASSISTANT SPECIAL AGENT: That is why we're asking for anybody and everybody that had any contact with this individual to come forward so we can piece that information together.

(END VIDEO CLIP)

LAVANDERA: Attorney General Lynch says investigators are still working to determine whether Mateen acted out solely as a self- radicalized extremist or if he was driven by homophobia.

(BEGIN VIDEO CLIP)

LYNCH: We do feel that as we continue to build a timeline and a chronology and to build his life, that we will be able to determine this I cannot tell you definitively that we will ever narrow it down to one motivation.

(END VIDEO CLIP)

LAVANDERA: Investigators have finished collecting evidence at the Pulse Nightclub, the roads have opened up in a small memorial of flowers and tributes is already being left under the club's marquise.

Ed Lavandera, CNN, Orlando, Florida.

CHURCH: An American teenager is under arrest for attempting to provide material support to ISIS and travel overseas to join the terror organization.

FBI agents took Akram Musleh into custody in Indiana. They say he was trying to board a bus to New York where he had a scheduled flight to Morocco, and then was heading to ISIS-controlled territory. If convicted, the 18-year-old faces a maximum sentence of 20 years in prison and a $250,000 fine.

Well, let's check some other news now.

At least 25 people were killed when an arsenal of weapons and ammunition blew up in a town on Libya's Mediterranean Coast. And health officials says residents were fighting a rebel group for control of the stock pile when it exploded.

A women's group in India is demanding an apology for one of Bollywood's biggest stars. They're upset that Salman Khan said he felt like a raped woman during a film shoot.

He made that remark while talking about how difficult it was to film physically demanding scenes for his upcoming movie "Sultan". His father later tweeted that Khan did not intend to offend anyone.

Torrential rains have triggered flooding in Eastern China affecting more than seven million people. Thirty five residents have been killed and another 24 are listed as missing. The damage is estimated at $96 million. Well, let's turn now to the world of sport. And police used tear gas

to break up scuffling Euro 2016 fans before Poland games against Ukraine in Marseilles, France on Tuesday. Police say they arrested six people. Poland won the match, one-nil.

And in the Copa America semifinals, USA was no match for Argentina losing 4-nil. But at least one fan in Houston got what he came for before the start of the second half, he ran onto the pitch and hugged Lionel Messi.

Messi was a nice guy about it. He signed the fan's jersey before security escorted the intruder out.

Well, the International Olympic Committee says it is focused on keeping the Rio games free from doping. The group met in Switzerland Tuesday where it's announced its latest plan.

[03:25:00] World Sports Don Riddell breaks it all down.

DON RIDDELL, CNN WORLD SPORT ANCHOR: Just 45 days now until the start of the Olympics and it is far from clear who exactly is going to be competing. We already knew that Russian track and field athletes had been excluded.

And following an IOC meeting in Lausanne on Tuesday, that is possibly still the case. But it's quite possible that even more athletes could find themselves uninvited.

So, broken is Russia's anti-doping program, that Olympic organizers are now seriously worried about other athletes from Russia, and for that matter, Kenya who's own program has been declared non-compliant.

It means that every athlete from those countries has now had their Olympic plans thrown into chaos.

(BEGIN VIDEO CLIP)

THOMAS BACH, INTERNATIONAL OLYMPIC COMMITTEE PRESIDENT: Each athlete coming from these two countries will have to declare they're reachable by the respective international federation, following an individual procedure and an individual evaluation of the situation.

(END VIDEO CLIP)

RIDDELL: So, we're now talking about some 500 athletes who are back under the microscope and the governing bodies of 28 different sports have been charged with the responsibility of determining who is clean and who is not.

As the IOC president Thomas Bach just said, they will be evaluated individually. This is such a special measure because the IOC has such little faith in the testing programs in Russia and Kenya. And I repeat, there is barely a month to get this all sorted out.

In addition, the IOC (AUDIO GAP) has supported the IAAF stance on the track and field ban for Russia, but says that any of those athletes who can prove that they are clean will be allowed to the court of arbitration for sport will allowed to compete in Rio. And they say that they will be allowed to compete under the Russian flag, which was contrary to the IAAF position last week.

But there's also talk that a furious Russia would consider a total boycott as the games in Rio. But the Russian news agency task is quoting Russia's Olympic chief as saying that this won't happen.

However, they may consider legal action. The official response from the Russian ministry of sport is this, they say, quote, "We have long stated that individual athletes in Russia are willing to demonstrate their innocence and prove they are clean. Our Olympians are ready to go over and above all the normal anti-doping tests to show their commitment to clean and fair sports."

CHURCH: Don Riddell reporting there. We'll take a very short break here. But still to come, Hillary Clinton says Donald Trump's business experience will bankrupt the U.S. if he is president. Their latest war of words including new battling web sites when we come back.

Plus, as Europe waits anxiously for the coming Brexit vote, global markets are also getting the jitters. That story still to come. Stay with us.

[03:30:00] (COMMERCIAL BREAK)

NINA DOS SANTOS, CNN CORRESPPONDENT: It's the second time in just a month that she said that. Last time she made those comments, that's when the Federal Reserve decided to stand pass interest rates, remember that the Fed is already in that cycle of raising interest rates, the only major economy to do so at the moment.

And she said there was too much uncertainty these days to consider another rate hike for the month of June.

And Mario Draghi, the head of the ECB, just yesterday also was another one of those key central banks to say, well, look, we stand ready to act if there are any problems that come from a potential Brexit, if there is any risk to European assets, of course the Eurozone is a big trading partner of the U.K.

But just Janet Yellen refreshingly, both of these two characters said we just don't know where this is going to go.

CHURCH: All right. Thanks so much for that. Nina dos Santos joining us live from London, just after 8.30 in the morning there. Many thanks to you.

[03:35:01] And Wednesday is the last day for leave and remain supporters to sway undecided referendum voters.

Let's bring in Claire Emes for more details. She is the chief innovation officer for the market research company, Ipsos MORI. Thank you so much for being with us.

Now of course as we've said, most indications are as a result of polls that this is too close to call. But what's your research telling you and what impact might turnout have on the outcome here?

CLAIRE EMES, IPSOS MORI CHIEF INNOVATION OFFICER: Well, I mean, I think what's interesting if we look back over the last decade, the E.U. was not seen as something that most Brits really cared about. Between 2005 and 2015, only 5 percent of people were telling us that this was an issue that was important and facing Britain.

But we sort of have been whipped up into this sort of hysteria over the last few weeks and months. And it's now an increasingly difficult thing for us as pollsters to call.

Last week, we found that leave was slightly ahead. But polls are suggesting that there's been a sort of a bit of shift back towards remain this week.

When we asked people last week what they thought would actually happen as opposed to how they were going to vote, more people, 55 percent, said they thought we would remain in the E.U. But that's down from 75 percent in February.

CHURCH: Yes, it's interesting, and of course many people wondering what impact the tragic murder of British M.P. Jo Cox may have had on this change of tone and what seems to be this move only slightly perhaps toward the remain vote.

I want to talk to you about that aspect. And also the undecided voters. Because they are critical in this. This could change either way, right?

EMES: Yes, and it's very difficult to sort of pick -- sort of unpick what's happening. So, there is no doubt that the public doesn't like adversarial politics. They have been calling out for a long time for more considered opinions for more facts on the E.U.

And I think that the Farage is unveiling of his immigration post may have an impact the reaction to that. Clearly the tragic death of Jo Cox.

But also as we tend, as we get closer to the poll itself we tend to see more people starting to think a little bit more about how they're going to vote. And we saw a similar, a similar trend in the Scottish independence referendum, where as we get closer to the vote we thought that independence was sort of shifting ahead.

But actually when people got to the ballot box, these things get closer, the status quo start to look a little bit more attractive to people, sometimes we get a little bit risk reverse.

So, it's hard to say which of these things is actually causing this potential shift, but of course until tomorrow we won't know for sure.

CHURCH: Indeed, we shall have to wait until Thursday. Claire Emes, thank you so much for sharing some of your research and sentiment with us. We appreciate it.

EMES: Thank you. CHURCH: And to learn more about the U.K. referendum, head over to our

web site at cnn.com, that's where you can read about the leave and remain camps and their respective arguments.

And still to come, Hillary Clinton says Donald Trump will be disastrous for the U.S. economy. We will ask an expert if she has her facts right.

[03:40:00] (COMMERCIAL BREAK)

CHURCH: All right, let's return to the race for the White House now. Presumptive democratic nominee Hillary Clinton is tearing into Donald Trump's business failures, calling him a danger to the economy.

And a new report from Moody's Analytics predicts the U.S. would lose 3.5 million jobs if Trump becomes president.

Jeff Zeleny has more.

(BEGIN VIDEO CLIP)

HILLARY CLINTON, (D) U.S. PRESIDENTIAL CANDIDATE: We can't let him bankrupt America like we are one of his failed casinos.

(END VIDEO CLIP)

JEFF ZELENY, CNN SENIOR WASHINGTON CORRESPONDENT: Hillary Clinton delivering a blistering tick down of Donald Trump's business record.

(BEGIN VIDEO CLIP)

CLINTON: Just like he shouldn't have his finger on the button, he shouldn't have his hands on our economy.

(END VIDEO CLIP)

ZELENY: It's her latest effort to brand Trump as a dangerous menace, this time on the economy. She spoke from the floor of an auto plan in Ohio, a critical battleground, where she hopes to limit Trump's appeal to working class voters.

(BEGIN VIDEO CLIP)

CLINTON: Every day we see how reckless and careless Trump is. He is proud of it. Well, that is his choice, except when he is asking to be our president. Then it's our choice.

(END VIDEO CLIP)

ZELENY: Trump offering his real-time response on Twitter, refuting one point after another, "How can Hillary run the economy when she can't even send e-mails without putting entire nation at risk," he wrote.

As she tries defining him, the Clinton machine is overwhelming him at least in traditional metrics. First in fundraising, a staggering $42 million to $1.3 million in the bank. And an organization as seen by today's three-point attack. Her speech.

(BEGIN VIDEO CLIP)

CLINTON: He has written a lot of books about business. They all seem to end at chapter 11.

(END VIDEO CLIP)

ZELENY: Paired with a web video.

(BEGIN VIDEO CLIP)

MARCO RUBIO, FLORIDA SENATOR: You ever heard of Trump steaks?

TRUMP: You know what? You know what? Look at Trump steaks.

LINDSEY GRAHAM, FORMER SOUTH CAROLINA SENATOR: Whatever happened to Trump airlines.

(END VIDEO CLIP)

ZELENY: And a web site called the art of the steal.

(BEGIN VIDEO CLIP)

CLINTON: The United States of America doesn't do business Trump's way

(END VIDEO CLIP)

ZELENY: She's hoping this coordinated campaign will turn around numbers like this, Trump's lead by eight points on the economy. A new CNN/ORC poll finds. CNN has learned Clinton is narrowing her choices for a running mate, privately studying the records of handful of prospects, including Elizabeth Warren, Tim Kaine, and Julian Castro.

Her list is not limited to these three in a search for its secretive and intensifying, but publicly it's all Trump, seemingly taking delight in mocking him.

(BEGIN VIDEO CLIP)

CLINTON: Trump ties are made in China, Trump suits in Mexico, Trump furniture in Turkey, Trump picture frames in India. Trump barware in Slovenia, and I could go on and on but you get the idea. And I'd love for him to explain how all that fits with his talk about America first.

(END VIDEO CLIP)

ZELENY: Now Clinton delivered a point-by-point takedown of Trump's economic policies, but politics matters here as well. That's why she went hard after the fact that he did not use American workers as he made at least part of his fortune, that's key here in Ohio where these 18 electoral votes will be critical in a general matchup between Trump and Hillary Clinton.

Jeff Zeleny, CNN, Columbus, Ohio.

[03:45:02] CHURCH: Senator Elizabeth Warren is also piling on Donald Trump. In a new political ad she attacks Trump for refusing to release his tax returns. Take a look.

(BEGIN VIDEO CLIP)

ELIZABETH WARREN, U.S. SENATOR: Maybe he is just a lousy businessman who doesn't want you to find out that he is worth a whole lot less money than he claims.

We just really can't know for sure. But here's what we do know. The last time that Donald Trump's taxes were made public, it turned out that Donald Trump paid nothing in federal taxes. Zero.

(END VIDEO CLIP)

CHURCH: All right. Let's get more now from Rana Foroohar, CNN global economic analyst and author of the book "Makers and Takers." Thanks so much for being with us.

RANA FOROOHAR, CNN GLOBAL ECONOMIC ANALYST: Thanks for having me.

CHURCH: And of course, I do want to get to Trump's tax issue in just a moment. But first, Hillary Clinton bashed Donald Trump's business record Tuesday and said he would be a disaster for the U.S. economy. But you say she didn't go far enough. What do you mean by that?

FOROOHAR: Well, you know, I think that she did one thing of the two things she needs to do to really prove that she's the right person to be economic part of the presidency. She's made it clear just how bad Donald Trump's policies are, and many of them are very worrisome.

There is a new Moody's Analytics report out showing that if all of his proposals so far to cut taxes, many of the taxes that he would cut are on the rich would go through, then we would have slower growth, we would lose as many as $3.4 million jobs. Because he doesn't have adequate spending cuts to compensate for this.

So, basically what you end up is a lot more spending, a growing deficit, which is essentially Reaganomics on steroids. So, a very bad growth plan.

There's also this inflammatory trade rhetoric and so on. But what Hillary Clinton needs to do now is tell us not just why Donald Trump's ideas are bad, but why hers are good. And that's hopefully what she is going to roll out in the next few days and weeks, are more inspiring proposals about what the 21st century labor market it's going to look like.

How she is going to help protect Americans in the gig economy, how she is going to get people retrained for the kind of work that we need to do in the coming decade, in the century ahead.

That's what Americans I think really want to hear. That the one thing I have to criticize about the speech with it, it just didn't have that note of inspiration. That's really what she needs going forward, I think.

CHURCH: All right. And while Clinton was speaking, Trump was tweeting accusing Clinton...

(CROSSTALK)

FOROOHAR: Always.

CHURCH: ... of defrauding America when she was Secretary of State saying she used her position to get rich and was corrupt, dangerous and dishonest. What's your reaction to his comments there?

FOROOHAR: Oh, I think that's the usual sort of inflammatory stuff that we see. You know, Donald Trump has always a barrage of tweets when Hillary is speaking. Many of them are nonsensical.

I mean, the bottom line is that most of what she said in her, if not all of what she said in her speech was entirely factual. It's clear that a lot of his proposals are met with a lot of skepticism by most mainstream economists.

The question now is what is Hillary Clinton going to do to really turn the American economy that recovery that we have, which is the slowest the longest one in the post-World War II era into something more robust, I think that's what people want to hear now.

CHURCH: Let's just quickly go back to Trump's tax returns. Should we be seeing them by now as Elizabeth Warren suggests?

FOROOHAR: I think so. You know, it's completely a typical in the U.S. presidential campaign for a candidate to not release tax returns. I think Elizabeth Warren on to something when she, you know, passes these two ideas, maybe he is not making that much as we think he is, maybe he is not paying that much in taxes.

I mean, look at what happened in 2012 when Romney was pushed, it came out that in fact his tax returns were -- sorry, his tax rate was much lower than what many Americans that make very little money are paying.

So, I think that whatever it is, it's probably embarrassing, that's probably why he hasn't released it yet. But again, it's very a typical and I think it's going to hurt in this next round of the race.

CHURCH: And before we go I do want to ask you this, you have said that Clinton could benefit from Britain's vote on leaving the E.U. Thursday. What did you mean by that?

FOROOHAR: Well, I certainly don't want to see the kind of market chaos that I think could result in the short-term from the leave vote.

But I also think that in a situation like that it's possible that someone like Hillary Clinton will be perceived as being a more safe pair of hands, sort of a steady establishment leader, you know, that could buffer the sort of market reaction that you might see if there is a leave vote.

It's not something I'm hoping for, but it's possible.

CHURCH: All right. Rana Foroohar, always a pleasure to talk with you. Thanks so much.

FOROOHAR: And you.

CHURCH: Crews in Southern California are dealing with another raging wildfire. This one popped up in the San Gabriel Canyon and has already consumed about 1500 acres. Clouds of smoke could be seen from nearby Dodgers Stadium.

[03:50:01] Crews have the Sherpa fire 62 percent contained, but L.A. County fire officials say the fish fire is still growing.

Well, prepare to get schooled on the Brexit vote. When we return, these kids will explain some of the issues at the heart of the referendum. Back in a moment.

(COMMERCIAL BREAK)

MICHAEL HOLMES, CNN CORRESPONDENT: Hello, everyone. I'm Michael Holmes. And this is your road to Rio update.

The International Olympic Committee paved the way for some Russian athletes to compete in Rio.

Last week, the International Association of Athletic Federation banned Russia from competing for doping offenses. The IOF upheld that ban, but announced that individual athletes who could be cleared of doping by IAAF or a court of arbitration will be able to compete under the Russian flag.

World class track coach Jama Aden was arrested in a hotel in Spain, where he and 30 athletes on his training team were staying, police raiding the hotel as part of an anti-doping operation.

Aden who coaches the team at 1500 meter world record holder and other high profile athletes is charged with distributing and administering doping substances.

And Australian Olympic authority say they want greater security for their athletes in Rios, this after six-time Australian Paralympian Liesl Tesch and team member Sarah Ross were robbed at gunpoint in broad daylight.

Security remains a concern ahead of the games, some 20 masked gunmen raided a Rio hospital in a deadly shootout over the weekend.

That is your road to Rio update. I'm Michael Holmes.

(COMMERCIAL BREAK)

CHURCH: A federal judge in California says a latte lawsuit against Starbucks may continue. Two costumers claim the coffee giant under fill their popular drinks by about 25 percent. Starbucks says any reasonable customer would not be misled and that

the suit is without merit. Another lawsuit filed this year claims that Starbucks puts too much ice in its drinks so the customers get less liquid.

Well, the upcoming Brexit vote has passionate supporters in the leave and remain camps, but what do some of the U.K.'s youngest citizens think about the referendum. CNN ask them.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Do you know what Brexit is?

UNIDENTIFIED FEMALE: I'm not really sure.

UNIDENTIFIED MALE: Oh, it's like British exit.

[03:55:01] UNIDENTIFIED FEMALE: I think people will have a vote to see if we're going to go out of the E.U. or not.

UNIDENTIFIED FEMALE: Why do you think that Britain may want to leave the E.U.?

UNIDENTIFIED MALE: Migration. We should let people come in, and it looks Britain would be more multicultural.

UNIDENTIFIED FEMALE: You may want to be an independent country.

UNIDENTIFIED FEMALE: People could argue that, you know, we have in own parliament we have our own government. And that's been set up to decide our own laws.

UNIDENTIFIED FEMALE: How do you think a Brexit would affect you?

UNIDENTIFIED MALE: It may affect my holidays.

UNIDENTIFIED FEMALE: But now you could just book a ticket. And you could start packing.

UNIDENTIFIED FEMALE: Do you need to get a visa and everything.

UNIDENTIFIED MALE: I think the main reason it won't affect me in whole it is in sports.

UNIDENTIFIED MALE: Many there's other countries where they won't want to accept other people in the E.U.

UNIDENTIFIED FEMALE: I know not the people who come from different countries. I wouldn't want to leave it with them, so, yes.

UNIDENTIFIED FEMALE: So, should we stay or should we go?

UNIDENTIFIED FEMALE: I think we could trade freely inside the E.U. And I think our economy might suffer if we leave.

UNIDENTIFIED MALE: If we leave, we have the protection of all the other countries in the E.U.

UNIDENTIFIED FEMALE: Both of the (Inaudible) would be left.

UNIDENTIFIED FEMALE: OK. Brilliant. Thank you very, very much.

UNIDENTIFIED FEMALE: No, thanks. Huge.

UNIDENTIFIED FEMALE: That was fantastic.

(END VIDEO CLIP)

CHURCH: Some smart kids there, right? Thanks for your company. I'm Rosemary Church. Remember to connect with me any time on Twitter @rosemarycnn. I want to hear from you.

Early Start is next for our viewers here in North America, and for every else, stay tuned for more news with Max Foster in London. You have a great day.

[04:00:00] (COMMERCIAL BREAK)