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Dow Plunges 1175 Points, Asian Markets Follow; Russia Investigation; Trump White House; Cape Town Water Crisis; Lawyers Reportedly Don't Want Trump To Talk To Mueller Because Of Trump's Habit Of Lying; Philadelphia Eagles Win First Super Bowl Title; Lindsey Vonn Features In Inspiring Super Bowl Ads; Nigerian Bobsled Team Ready For Winter Olympics. Aired 2-3a ET
Aired February 6, 2018 - 02:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
[02:00:00] JOHN VAUSE, CNN NEWSROOM HOST: This is CNN "Newsroom" live from Los Angeles. Ahead this hour, the Dow cliff dive (INAUDIBLE) effects on the largest one day point four in history now being felt in Asia.
Cape Town's "day zero" stretches to May but if there is no rain soon, the water will run out.
Plus, alongside the athletes in Pyeongchang, it seems the politicians are also flexing a little muscle at the Winter Olympics.
Welcome to our viewers all round the globe. Great to have you with us. I'm John Vause. This is the third hour of "Newsroom L.A."
The record slide in the U.S. stock market is sending shock waves around the world. The Dow closed down more than 1100 points Monday, the worst single day point drop ever. And now the Asia markets are following with big falls in Tokyo. You can see the Nikkei down by about five percent and Hang Seng in Hong Kong gone by about four and a half percent. Also big falls in Australia too.
Here's Monday's wild ride by the numbers. In the final hour trade, the Dow plunged nearly 1600 points before pulling back some of its loses. Still, job up only 40 percent since Donald Trump's election in November of 2016.
Well, joining us from London, Jasper Lawler, the head of research with the London Capital Group. And in Abu Dhabi, we have CNN's emerging markets editor, John Defterios. Jasper, as you came in the earliest, first to you.
Here's a good global assessment which we are getting from The New York Times on what's happening. The world's largest economies are all expanding, as the most important central bank, the United States Federal Reserve, is draining billions of dollars from the financial system and raising interest rates. And investors are concerned that tenuous signs of inflation could mean central banks around the world will start to remove their support even faster.
So essentially what we have here, Jasper, the prospect that low interest rates are coming to an end, the punchbowl we take it away, and nobody likes it.
JASPER LAWLER, HEAD OF RESEARCH, LONDON CAPITAL GROUP: It's ironic, isn't it? That actually the synchronized global growth which is obviously a great thing economically is proving not such a great thing for the stock market, because as you said, you hit the nail on the head, it's all about interest rates.
So, if we are seeing that acceleration in the economy, in the global economy, that necessarily brings about -- particularly when you have such tight markets, it necessarily brings about high wages, high inflation, and the Federal Reserve already raised a few times.
They're the head of the curve on that cycle of central banks pulling back that really accommodative policy. And it looks like they're probably going to go ahead and maybe hike interest rates four or more times this year.
Obviously, this rally that we have been undergoing in stock markets for the last few years, really going because without initial support from central banks buying bonds, cutting their interest rates quite down to zero, as you are saying, we are seeing probably the beginning of the end of that cycle.
VAUSE: And John, just to that point, is it sort of an overreaction here at this point? You know, interest rate increases have been expected for a very long time. They have been going on as Jasper just said. Interest rates (INAUDIBLE) going up eventually. But not just U.S. but around the world (INAUDIBLE).
JOHN DEFTERIOS, CNN EMERGING MARKETS EDITOR: Yes, indeed, John. In fact, we have been talking about an overvalued market worldwide for the last six months. But at the end of a cycle of stock market (INAUDIBLE) like this and even economic cycle which has lasted almost 10 years after the financial crisis in 2008 and nine, you need a trigger point and the trigger point was that employment report on Friday which showed wages rising 2.9 percent.
Now, by the way, that's a good thing for the American worker but is not a good thing for the central banks. To your point of the overreaction, we've had a loss of nearly seven and a half percent in Asian markets in the last 48 hours. That is a sharp sell off but in the context of what we've seen over the last year, the broader Asia- Pacific regions of 25 percent, Hong Kong still up better than 30 percent beside the sell off.
So, we knew the U.S. Federal Reserve is going to move on interest rates but this is almost a perfect storm. We are waiting to see the wage increases. Janet Yellin resigned as chair of the Federal Reserve. Her successor was sworn in yesterday.
[02:05:00] And we don't know what sort of policy he's going to take going forward. We know Donald Trump wants to get growth of up to four percent in 2018. That was the campaign promise right now. Last year, it was just 2.6 percent. That's decent growth. The inflationary pressures aren't there. Then if you look at Europe, we have an unemployment rate of 8.7 percent. It doubled the rate of the United States and inflation is just 1.3 percent. So in Europe and in Asia and here in the Middle East, we don't see the inflationary pressures. So this is a U.S.-led sell off. We need to correct the overseas markets obviously because of the rise that we have seen over the last 12 months.
To your point, I think it is an overreaction, but on market correction after a big bull run is not a bad thing despite the hysteria that big wild swing is on the industrial.
VAUSE: Jasper, last week, the U.S. Treasury released data which shows the U.S. government is on track to borrow almost trillion dollars this year. I think that will actually rise to over trillion dollars in the next couple of years and then beyond that probably, you know, to pay for the Trump tax cuts. (INAUDIBLE) playing into this in a general sense?
LAWLER: Well, I think that does will play into because initially what the market was doing when we are talking about that the tax cut and even now the words more along the lines of infrastructure spending was what that will do for economic growth.
And so, economic growth tends to be good for companies, tends to be good for the shares of those companies. But what was starting to poison now particularly via the bond market is probably that the -- you know, that's not going to -- particularly the tax plan, not going to help the coffers of the U.S. government actually the way they are going to have to pay for these tax cuts (INAUDIBLE) and also the infrastructure spending is issuing new debts.
So you got that complete misbalance in the market where the government is looking to issue more of these treasury bonds, yet we don't have the Federal Reserve buying as many as they were. They are now buying less -- they're actually selling -- they're one of the sellers in the market, selling off the large balances of bonds.
Suddenly after years of just having a big buyer facing the government of the Federal Reserve in the market buying a smaller supply of bonds, we're looking a flip switch scenario. And that's why we are seeing some of these key levels being breached, I think, with got markets spooked in the first place.
First it was the 2.6 percent level in 10-year U.S. Treasury, now we're about 3 percent level. I think if that goes, you know, that could be another trigger point for another worrying period in the market.
VAUSE: John, we're almost out of time, very quickly, the former FED chair, Alan Greenspan, he commented a few days ago. He said there is a bubble in stocks, there is a bubble in bonds. He is more worried about the bubble in bonds. Explain why that could be.
DEFTERIOS: Well, just to the point that Jasper was making, we are worried about higher interest rates going forward, John. But I was listening to Janet Yellin. She was indicating on her way out, that we are seeing bubbles forming in the equity markets. We have been talking about it for the last six months. Alan Greenspan is a very sanguine player. He suggests that we have bubbles in the property market and the stock market as well. To Jasper's point here, tax cuts, deregulation, and a potential infrastructure spent is good for corporate profit, but at some point, it leads to higher inflation and the central banks around the world have to respond and that's what we see today.
VAUSE: Like pouring gasoline on already roaring fire. Jasper and John, good to see you both, appreciate it.
U.S. President Donald Trump is upset, not tweeted anything about the Dow's fall, and he refused to answer questions about it, even though he's constantly taking credit every time the Dow has gone up since he's been in office.
(START VIDEO CLIP)
DONALD TRUMP, PRESIDENT OF THE UNITED STATES OF AMERICA: The stock market is at an all-time high.
Our stock market is at an all-time high.
You look at the stock market at an all-time high.
The stock market is at an all-time high.
The stock market is way up. We just setting a new high on the stock market again.
The stock market smashes one record high after another.
The stock market is setting records.
The stock market is shattering one record after another.
The stock market hit an all-time record high today.
The stock market is way up again today and we're setting a record literally all the time.
I told you, the stock market is hitting one all-time record after another.
(END VIDEO CLIP)
VAUSE: Joining us now, California talk radio host Ethan Bearman, conservative commentator and editor-in-chief of the Front Page Index Alexandra Datig, and senior reporter for Politico David Siders.
Alexandra, I would like to start with you, because the president was clearly responsible for the surging stock market. He simply -- he told me that. So why would he get (INAUDIBLE) since he came to office and when will he make a good backup because I'm going about my 401K?
ALEXANDRA DATIG, EDITOR-IN-CHIEF, FRONT PAGE INDEX: Was it him? Because it apparently wasn't some kind of algorithm or some kind of -- yes --
VAUSE: OK, so, there are other factors that make the stock market to go up and stock market to go down,
[02:10:00] I guess is what I'm getting to.
DATIG: Maybe it was the new FED chairman who got kind of -- you know, maybe it was that, you know.
VAUSE: (INAUDIBLE) you can say, yes.
DATIG: Could be. Could be.
VAUSE: (INAUDIBLE) is that, Alex, is there some fall out here for the president taking so much credit --
VAUSE: -- so long. Now there is correction underway.
DATIG: Yes, I mean, we have -- we were expecting it to keep going up. I mean, at some point, we were kind of waiting for it to come down.
VAUSE: Most of us.
DATIG: Everybody is a genius in a bull market, I heard today. I thought that was very quotable.
DATIG: Yes, I mean, I just -- you know, I kept going wow, got to keep going. I didn't think he was going to keep getting to this point, actually. So, I'm happy it did.
DATIG: Comes back.
DAVID SIDERS, SENIOR REPORTER, POLITICO: The fall out is what you just rolled on tape. Package that up and put that in an ad in 2018. I mean, that's the fall out. I think many politicians have the discipline to not entirely take credit for something that is beyond their control.
This is like the local police chief saying that crime rates coming down in the city is because of his department. You look at that, you know (INAUDIBLE) here, but when they do, it's devastating. And I think -- I think this is a problem for him if the downturn continues to go.
If this recovers in a couple of days, no problem at all for him.
VAUSE: Yes. But it seems, you know, we showed President Trump talking about performance of the stock market. He didn't talk about it on Monday. (START VIDEO CLIP)
UNIDENTIFIED MALE: (INAUDIBLE) stock market.
(END VIDEO CLIP)
VAUSE: Smiled and waved, just smiled and waved. You know, to your point, David, about president not taking credit for the stock market. Here's former press secretary for Barack Obama, Jay Carney. He tweeted, good time to recall that in the previous administration, we never boasted about the stock market, even though the Dow more than doubled on Obama's watch, because we knew two things. One, the stock market is not the economy. And two, if you claim the rise, you own the fall.
You know, Ethan, this seems like a no brainer. Eventually markets go up, they go down as well. Does this eventually, you know, change the president's behavior even if the market does come back?
ETHAN BEARMAN, CALIFORNIA TALK RADIO HOST: No, this will never change the president's behavior. This is the (INAUDIBLE) presidency especially when it comes to facts, in reality. And to David's point, discipline, where is that? Six a.m. today, I guess it was 4:11 a.m., he was on Twitter tweeting ridiculous things again. So, he is not going to own when it goes down, he will own it when it goes up, because reality doesn't actually matter.
VAUSE: Alex, it seems that Trump's supporters are OK with that. They are willing to give him credit for the increase in the stock market but he is not getting any blame when it falls. Like you said, (INAUDIBLE) out there. Is that how it works?
DATIG: Well, yes, I mean -- I think it's rational to think that the market is going to adjust. I don't think it's the president fault that the market has (INAUDIBLE).
VAUSE: Does he get the credit for going up?
DATIG: I think he does. I mean, he said -- you know.
VAUSE: It's (INAUDIBLE) for the president.
DATIG: Well, you know, I mean, he's an all business. He's an all business type of president. That's what people like me voted for. I mean, I voted for him because I want him to boost the economy. I want there to be, you know, better jobs and higher pay and less taxes.
BEARMAN: But the economy was already well on its way to recovery under Barack. It started in 2010. President Trump denied the unemployment numbers, told that they were fake, fake, fake until they continue to --
VAUSE: Positive numbers.
VAUSE: David, you know, this is a president who saw the down and the soaring stock market almost like a personal job approval rating.
SIDERS: I think that's exactly true. It's so interesting. I think there are a lot of voters who voted for him on economic reasons. So whatever else we might talk about today whether it's Russia or really anything, I mean, the economy is so fundamental.
And I think if the economy is showing numbers like this, when people go to the polls, it doesn't matter what the president says. And if the economy is up, it benefits him.
VAUSE: Yes. Let's jump and talk about what may or may not matter. Of course, we are about to get a lot more memos coming from Congress. Devin Nunes, the chairman of the House Intelligence Committee, is turning his sight on to the State Department, and House Intelligence Committee has voted to release the Democrat memo.
It now goes to the president. We will see whether he will declassify it like he did with Republican memo last week. Alex, there is no guarantee that the president will declassify the Democrat version of the Republican memo which goes into the FBI in the handling of the Russia investigation. Should that even be a question at this point, given that the president didn't even read the Republican memo and said there was 100 percent guarantee it would be released?
DATIG: You know, I think the memo should be released. The Democrat memo should be released. I am surprised that is not 200 pages and it's only 10 pages. But, you know, we've only seen about 10 percent of the situation unfold and I think we've seen a level of corruption in our government and our law enforcement, on our criminal justice system that that is appalling to me.
I think we are -- I am really concerned when -- when, you know, our most sacred institutions can be used against someone politically
[02:15:00] with unverified information. I think -- I think we're in deep waters and troubled times.
VAUSE: (INAUDIBLE) eye of the beholder. People read the state memo and they come over to tell you different interpretation. But when it comes to the Democrat version of it, even if the president declassifies it, Ethan, the Democrats still have their concerns. Listen to Adam Schiff.
(START VIDEO CLIP)
REP. ADAM SCHIFF (D), CALIFORNIA: We want to make sure that the White House does not redact our memo for political purposes and obviously that's a deep concern.
(END VIDEO CLIP)
VAUSE: So, Ethan, what are the chances the Democrat memo will be released clean just like the Republican memo?
BEARMAN: Interestingly enough, I am in the wager that it does come out clean and I am going to tell you why. VAUSE: Why?
BEARMAN: Because President Trump actually wants to use this as a weapon in his own way by saying, look at what I put out here, but remember we have several days delay between the release. One was the opening statement which was from the Republicans that was totally fact-free and absolutely had logical flaws across it. I read it moments after it came out and immediately.
Number five was clearly just unbelievable -- Papadopoulos, that investigation is going on. But besides that, this is going to come out free and clear because then the president can say look, I am further vindicating myself. It's all --
VAUSE: -- Democrat memo, right. OK, it is not even been a week since the president delivered his first state of the union address. To Congress, it went off apparently without a hitch, it was well received by many. That now seems overshadowed by memo and news about the Dow. But, you know, the president hasn't forgotten about the state of the union. He has not forgotten Democrats who did not stand and clap.
(START VIDEO CLIP)
TRUMP: You're up there. You've got half the room going totally crazy wild. They love everything. They want to do something great for our country. And you have the other side even on positive news, really positive news like that, they were like death and un-American. Un- American. Somebody said treasonous. I mean, yes, I guess, why not?
(END VIDEO CLIP)
VAUSE: David, you know, treasonous and un-American. Keep in mind, this is the president who said reporters were the enemy of the people. He questioned the authority and integrity of a federal judge. He is at war with the FBI because they are investigating him over Russia. This is not normal.
SIDERS: It suggests a lack of familiarity. I think state of the union addresses were typically the minority party or the party not in the president's party, is not applauding (INAUDIBLE. But what is striking about that remark is, he has a message to deliver.
Republicans want him to be talking about tax reform. They view this as positive, something that works for the party, and I have to think this is a miscalculation because talking about whether the president should be saying treasonous or not about people applauding is definitely off message.
VAUSE: Alex, not clapping the president is now treason?
DATIG: You know, I think the president is a little bit distracted right now with DACA and then legal immigration and things like that.
VAUSE: You think it will pass? DATIG: You know, I will give him -- I don't know. You know, treason is overthrowing the government. I don't think they're sitting there overthrowing the government. So, you know, some of his tweets are not -- you know, I am not going to say everything is rational that he does what he says, but, you know, being president of the United States is a very tough job.
VAUSE: Yes. And to David's point, state of the union address, you know, the party in power, the president's party, they rule (INAUDIBLE). You know, the party out of power at the White House, they sit there, look sullen. Let's take a look at what happened to President Obama during his time during a state of the union address.
(START VIDEO CLIP)
BARACK OBAMA, FORMER PRESIDENT OF THE UNITED STATES: The reforms I am proposing would not apply to those who are here illegal.
UNIDENTIFIED MALE (voice over): You lie!
OBAMA: Give small businesses the credit they need to stay afloat.
OBAMA: Each of these proposals deserves a vote in Congress.
(END VIDEO CLIP)
BEARMAN: I mean, this is the game that gets played at least the Democrats didn't call out every single (INAUDIBLE) that the president said during the state of the union, yelled out, you lie. I mean, I was actually waiting for that. Somebody to stand up and do it. Let's be blunt though.
One of the things that the Democrats have missed and I think that this is an opportunity especially on economic message, was hurting Hillary Clinton during her campaign. We do need to recognize and celebrate any time there is low unemployment and increase in wages and bonuses being paid. We don't have to credit President Trump for all of it, but we do need to celebrate when the American worker benefits.
VAUSE: I think the problem for the congressional black caucus was that the African-American unemployment rate in this country is so double, what it is, you know --
[02:20:00] VAUSE: -- and they believe (INAUDIBLE) celebrate even though it is coming down. But at that point, Ethan, Alex, and David, good to see you all, thank you. A short break here. When we come back, a small (INAUDIBLE) reprieve (INAUDIBLE) Cape Town. Ahead, a new prediction (INAUDIBLE) on when the taps will run dry.
VAUSE: To South Africa now where Cape Town is forecast to run dry a month later than first thought. Officials have pushed back the protection to "day zero" when the taps are expected to run dry from April 16th to May 11th. Residents are still required to limit their water use to try and make the most of dwindling supply.
City officials were able to buy a little more time because of a drop in water use from the agricultural sector. South Africa has been in drought now for three years. Let's go to Pedram Javaheri, a meteorologist, with more on this. Pedram?
PEDRAM JAVAHERI, CNN METEOROLOGIST AND WEATHER ANCHOR: As you said, you know, a little bit of breathing room here, and when you think about the agricultural industry as well, about 70 percent of our planet's fresh water supply is committed to the agriculture industry.
In fact, we break it down, it is about 20 percent to industry in general and then 10 percent for domestic use, 70 percent goes to the agricultural community and then you have (INAUDIBLE) 80 percent of water supply dedicated to them and the fresh water supply.
But the persistent pattern has really been the initial problem. High pressure in control, deflecting any storms, so we get storms that want to get close and one after the other, they push off just to the south and not much rainfalls from them.
And unfortunately, when you take a look at how things had played out, we have a healthy year in 2013, dropped at roughly at about 30 or 40 percent, cut that again by another 30 or 40 percent and had some of our driest years on record in the past several years. The reservoirs certainly not getting any replacement of water.
Now, the level since the restrictions have been in place and that means it is less than 50 liters of water per day in place for the communities across this region of West Cape and also Cape Town as well. Of course, we know the average person consumes upwards of seven times that amount.
You break this down, you take a family of four, very essentially only allotted to wash their hands twice per day for family of four, that gets you up to 50 liters that quickly. You see the break down and a lot of people of course have been taking baths as little as twice per week using buckets and towels, saving that water, using it for toilet to flush it only when necessary. So all of these restrictions really are incredible reality taking place across portions of South Africa.
Water has been really, really (INAUDIBLE) forecasting. Some element of good news when you look at the 70 forecast. We haven't seen this in weeks. Comes warm-up but look what happens Friday. The models have consistently pointed at a storm system (INAUDIBLE) potentially push through this high-pressure that we can do a little bit and bring some rainfall.
Now, it is not a significant amount of rainfall, anything absolutely will help, and we think upwards of maybe 25 millimeters, 30 millimeters tops could fall sometime between Friday into Saturday,
[02:25:00] be on that high-pressure build again, once again we go back to where we began with very dry conditions in the forecast. Now, with all that said, I want to bring in someone here to break down exactly what's going on, someone who is very close to what's happening across South Africa. Xanthea Limberg is joining us right now from Cape Town. She is a member of the city's mayoral community for water.
Thanks for making some time for us, Xanthea, and of course I know you are very busy these days, but, you know, of course we are very grateful to hear that "day zero" has been pushed back just a few weeks into May. Now, the story has really quickly captivated the world of interest when it comes to a major modern city that can arrive at a moment like this. Do you recall anything quite so expensive or really restrictive happening in Cape Town or any other major city?
XANTHEA LIMBERG, MAYORAL COMMITTEE MEMBER, CAPE TOWN: Cape Town has experienced droughts previously but not to this particularly (INAUDIBLE) severity of the drought is unprecedented, the worst in our recorded history. And therefore we obviously had to ensure we make all interventions possible to manage this particular drought.
The issue around rainfall is that it is still largely uncertain, which means we are all intensifying demand management interventions while working on augmentation schemes in order to introduce additional water supply into the system from alternative water resources as well. And that combination, we trust -- will ensure that we will be able to overcome this particular drought.
JAVAHERI: We know that some rain as I said is forecast later in the week. Is there really a scenario that you can think of that we can foresee (INAUDIBLE) potentially the fortune of the folks across Cape Town and pushing the water restrictions past May.
Of course, we saw that with the agricultural industry stepping up, reducing their consumption. Is there a scenario that could potentially continue to improve things beyond the agriculture industry has been able to do so far?
LIMBERG: Even though these rainfall schedules for this particular weekend, that rainfall is obviously greatly welcome. We are going to require at least three years of average levels of rainfall in order to completely surpass the impact of the drought. And so going forward, water restrictions are possibly going to be a permanent way of life here in Cape Town.
Demand from agriculture has declined which does provide us some relief as urban users, but this doesn't mean that we are out to the woods. We still have to collectively reduce our consumption. The city is also intensifying pressure reduction in our entire water reticulation system. We are still targeting high consumers in installing water to man management devices on those properties. Our enforcement efforts surround compliance with (INAUDIBLE) is ongoing. This is all obviously done while we are still working on augmenting our existing supply.
JAVAHERI: Xanthea, I know there are many concerns right now of course surrounding this story that is taking place there in Cape Town, but one of them is civil unrest and once water runs dry, what's the city going to do to prepare for that?
LIMBERG: The city obviously is planning for worst case scenario and we -- if our dam levels reached 13.5 percent, that is the trigger point for when we introduce water collection points. Approximately 200 of these water collection points will be set across Cape Town.
And obviously there is risk of unrest and so the South African Police Services as well as the South African Army Force have indicated that they will be convicting navy resources and additional capacity to manage a water collection scenario. We are however planning to ensure that we are complete for that worst case scenario but at the same time trying to ensure that we avoid reaching that point as well.
JAVAHERI: Xanthea Limberg, thank you so much for your time joining us here on CNN today.
VAUSE: OK, short break here. When we come back, could peace be a gold medal winner at the Winter Olympic Games? Next, what the top U.S. diplomat has to say about the chances of U.S.-North Korea talks.
Also ahead, long-running mystery of the death of Natalie Wood, now four decades into the past. Investigators say her husband, actor Robert Wagner, is a person of interest.
[02:32:00 VAUSE: You're watching CNN NEWSROOM live from Los Angeles. Thank you for staying with us. I'm John Vause. We'll take the headlines this hour. A record sell-off on Wall Street is taking a toll on financial markets in Asia. The Dow dropping all down 1100 points on Monday, the largest single-day point drop ever. Tokyo's Nikkei fail nearly five percent on Tuesday. Stocks in Hong Kong, Shanghai, and Australia also deep into negative territory.
Donald Trump's lawyers are reportedly advising not to talk to Special Counsel Robert Mueller in the Russia investigation. According to New York Times, their concern to President may get caught lying and then have to make charges of perjury. Mr. Trump has said topically he is really to speak with Mr. Mueller.
In Syria, the volunteer rescue group, the White Helmets says three of their volunteers have been wounded by the chlorine gas attack on Sunday night in rebel-held Idlib province. Activist have told CNN the gas was released from Syrian helicopters. The opposition Syrian National Coalition is demanding immediate action from the U.N.
The president of Maldives has declared a state of emergency amid power struggle between the Supreme Court and the government. He defined the court's order to release political prisoners and reinstate parliament members from the opposition. The Attorney General has warned that the court may move having the President impeached.
South Korea was calling the Winter Games the peace Olympics. North and South Korea are competing under one flag which is offering a glimmer of hope of maybe many times to come. U.S. Vice President Mike Pence will be at the opening ceremony. He was asked about a possible meeting with -- between the U.S. and the North Korea on the sidelines of the game. He said, well, we'll see. This is because the North Korean ceremonial head of state, Kim Jong-nam is also attending Friday's opening ceremony. However, Pence has made it clear his message will be to remind the world about the North's oppression and tyranny amid the intrigue and possible diplomacy and also the actual games themselves. Paula Hancocks is in Pyeongchang and she joins us now live with more. Hey, Paula.
PAULA HANCOCKS, CNN INTERNATIONAL CORRESPONDENT: Hi, John. Well, certainly we see a more unity between North and South Korea that we have seen for some time. The two sides haven't even talked for about two years before they decided to discuss coming to the Winter Olympics. Now, we know just within the next hour or so we're expecting a ferry load of 140 members of an orchestra supporting a start for that to arrive by ferry on the East Coast of South Korea. They will be performing at the Gangnam Art Center on February 8th and then also in Seoul next week. So, certainly, we are seeing some unity between the two Koreas. Also in the sporting sense, of course, that joint women's ice hockey team which not everybody appreciates. But it's not the first time that we've seen the two Koreas work out together at the opening ceremony.
Training the champions of the future.
[02:35:00] You may well be looking at a future Olympic speed skater for South Korea as so the boy is certainly being taught by the best. Former Olympics speed skater Bo-ra Lee. Lee competed in three Winter Games. In Turin 2006, she also let the joint North-South Korean delegation at the opening ceremony. Flying the unified flag alongside North Korean figure skater Han Jong-in.
As we were entering together she says and holding that flag, the traditional Korean folk song Arirang was playing. My heart was full, it was very touching. Sydney Summer Olympics in the year 2000, a joint delegation at the opening ceremony. Athens 2004, North and South Korean athletes again walk side by side.
And last year, the North Korea women's ice hockey team was cheered on hundreds of South Korea pro-unification supporters, again flying the unified flag. Sporting unity among enemy state is nothing new. The same with cultural exchanges, a North Korean orchestra will hold a concert here in Gangnam Art Center on February 8th.
There is a long history of cultural events managing to bridge gaps that politics never could. But of course, the question is, can it go beyond the artists, beyond the athletes. Is there enough momentum? The real change on the Korean peninsula. Many South Koreans think not. Protesting North Korea even being part of the games, the living soul is being jute giving something for nothing. As for Lee, she regret the moment of unity, let a little movement politically but hopes that 12 years on having a joint women ice hockey team compete at the Olympics could set the two Koreas on a different path.
HANCOCKS: Now, from a political sense we know that the South Korean President will meet the U.S. Vice President Thursday night. We don't know at this point whether there will be a meeting between Moon Jae and the President and Kim Yong-nam who will be representing the North Korean delegation. It would be very interesting if those two sat down. John?
VAUSE: And, you know, maybe this increase closeness and unity between, you know, the North and the South, the athletes, and the officials. But in a general sense, the best advice there might be to keep a distance from everyone else because of the outbreak and the very unpleasant norovirus.
HANCOCKS: Yes. This is something that happened over the last 25 or so, we know that 1200 security guards have been relieved from duty at this point as there was an outbreak of norovirus within them. Now, we know 41 of those were actually tested positive for norovirus have being treated. They have bought 900 more security guards in to try and reach that gap to make sure that there's no -- there's no issue with security. But certainly, it is a concern. They're bringing the CDC then to make sure that this is contained, to make sure that it's not going to spread any further. But as far as that concern, at this point, it was one of occasion they think they have it under control.
VAUSE: Guys, 1200 security officials relieved from duty, that's a significant number. Paula, good to see you. Thank you.
After almost 40 years there's new interest in the mysterious death of Hollywood star Natalie Woods. She's the actress best known for playing Maria in West Side Story. On November weekend back in 1981 though, she was on a yard with her husband Robert Wagner and their friend Christopher Walken also an actor. Wagner has said in the past he was jealous of Walken's relationship with his wife (INAUDIBLE) argue with both of them about it. He also said when he couldn't find his wife at the time, he'd assume she'd simply gone ashore. Woods' death was ruled an accident. And now authorities say Wagner's story just doesn't add up.
(BEGIN VIDEO CLIP)
LT. JOHN CORINA, L.A. COUNTY SHERIFF: Why is a person of interest because he's the last person with her before she went to water, right? So he's there, he's the last one with her and somehow she gets in the water. You can say, no, I don't want to talk to you, so --and that's his right, we then stand up and we tried to talk to him and so far he's didn't want to hear -- he doesn't want to talk to us.
(END VIDEO CLIP) VAUSE: Doesn't want to talk to us either. CNN reached out to Wagner and his representatives' comment, there was no response. Still to come here. Falcon Heavy, the world's most powerful just hours away from its biggest test in the air. Also, the legendary Paul Simon soon could fly in the way from the concert stage. Coming (INAUDIBLE)
[02:41:50] VAUSE: The legendary singer, songwriter Paul Simon has announced his final tour after 50 years on stage and boy is he tired. In a statement, Simon says, his performing career is coming to natural end. It feels exonerating and something of a relief. Paul raised the fame alongside Art Garfunkel on huge hits like The Sound of Silence. Elton John just recently announced he would no longer be hitting the tours. Secondly, he's having his last tour later this year. And Neil Diamond as well. (INAUDIBLE)
OK. Moving on. The world's most powerful rocket. (INAUDIBLE) on Tuesday, getting a look at what SpaceX hopes that launch will look like. Of course, being uncertainly here is that, you know, it could explode on takeoff because that seems to be play here with many of these SpaceX launches. But if it doesn't explode on takeoff, another day very soon will play inside the rocket. A Space Oddity will blast from the speakers of a cherry-red Tesla Roadster belonging to SpaceX chief Elon Musk, he's also the guy that sells flamethrowers in California. He rebuilt a -- reveal rather a dummy name Starman wearing a SpaceX suit will apparently be in the privacy. How clever. Thank you for watching CNN NEWSROOM live from Los Angeles. I'm John Vause. Please join us on Twitter @cnnnewsroomla about highlights and clips on our show. Stay tuned now for "WORLD SPORT". You're watching CNN.
[02:45:16] KATE RILEY, CNN INTERNATIONAL SPORTS ANCHOR: Welcome along to WORLD SPORT, I'm Kate Riley at CNN Center. We're going to start with the week of celebrations in Philadelphia. On Thursday, the Super Bowl LII champions will parade along the popular Broad Street and ending on the famous steps from the Rocky movie.
The team arrives on Monday afternoon in Philadelphia where they received a hero's welcome and showed off they're shiny new trophy. Schools in Philly have already giving kids the day off on Thursday so that the entire city can celebrate with the champs and also be there with the family.
All right, then, meanwhile, the star of the Super Bowl, calls to Nick Foles, he's the Eagle's backup quarterback who charges this season. Back to -- backup to franchise quarterback by the name of Carson Wentz. And not getting much of the looking, I wasn't for Wentz put into the (INAUDIBLE) the regular season. But Foles put his chances made the most that result to (INAUDIBLE) by leading the team to its first-ever Super Bowl win. Earlier, Foles headed Disney World in celebrated as the Super Bowl Most Valuable Player.
All right, then, we now going to be talking about this game for a very long time to come. And our reporters on the ground, still buzzing at us. Here's CNN Sports Coy Wire, played nine years in the NFL and he absolutely loves the outcome.
COY WIRE, CNN SPORTS ANCHOR: What an incredible Super Bowl it was here in Minneapolis. Yet the Philadelphia Eagles, the underdogs taken on the Kings, Tom Brady and the Patriots. The underdog mentality is embodied by the leader of this team, from backup to be the Super Bowl MVP. Nick Foles, it's been quite a journey for him.
Imagine, just a few years ago, you thinking about not play in the game anymore. And your wife is in the Mayo Clinic and she has a rare heart condition, and you propose to her there. Then, two days later, you get married on the Court House down the street. You've never been on a honeymoon. You've been through so much in your career, but now, your time has come. You take the center stage in front of the football world, and you maximize the moment.
Nick Foles, I had to catch up with him after the game and when I did, you could see that this was all just still so, so real.
NICK FOLES, FOOTBALL QUARTERBACK, PHILADELPHIA EAGLES, NATIONAL FOOTBALL LEAGUE: Yes, and so again, so much is going on right now but just being in this moment, being this guy. It was so OK when I get to be with my teammates, and family, and love ones. But right now, it's a little bit of chaos but --
DOUG PEDERSON, HEAD COACH, PHILADELPHIA EAGLES, NATIONAL FOOTBALL LEAGUE: This whole postseason, Nick has -- Nick has shown exactly who he is and what he can do, and what he's capable of doing, he's well deserved at the honor --
ZACH ERTZ, TIGHT END, PHILADELPHIA EAGLES, NATIONAL FOOTBALL LEAGUE: The stage was never too big for him all year. And he kind to did that same thing that we expected him to do tonight.
BRANDON GRAHAM, DEFENSIVE END, PHILADELPHIA EAGLES, NATIONAL FOOTBALL LEAGUE: I'm so happy for Nick Foles because, you know, a lot of guys give him a chance but he lit it up. And then, when details need to make it stop, we made a play to get of the field and win the game.
WIRE: I called up with Nick early in the week, I ask about his little 7-month old baby girl, Lily. There in the pink headphones covering her ears from all the noise and the cheers. I said, how does she changed the way you see the game? He said that she changes everything, I see my wife, Tori, in her eyes, and he started crying there. It was the last time you saw that.
This is a guy who takes Grad School Seminary classes, he wants to be a high school pastor one day. Well, Nick Foles has just answered the prayers of Philadelphia fans around the world. Creating magical moments here in Minneapolis where Super Bowl LII. My goodness, what if the game it was and what a cold time it was. I want to go, so I can go all out. I can't wait to get back into the studio with you.
RILEY: OK, you're not wrong. Coy, thank you very much, cross the phones. And one match to tell you about the English Premier League on Monday. And Antonio Conte, Chelsea's future is becoming bleaker by the match. They have an out sleep nightmare away to Watford.
Chelsea down to 10 men before halftime, where would they go from there late on the second half. They would grow level, thanks to Eden Hazard. The two minutes later, Watford went ahead until Daryl Janmaat, on home by Gerard Deulofeu, on another two goals for them in the last couple of minutes. On won and gone the night, Watford down six point plea of the Boston match. Chelsea thoughtful finish in some doubt along to Conte's future.
Coming up on the show, the American skier Lindsey Vonn missed the last Olympic due to injury. And now, she's at quite, she's on a mission to take gold of Pyeongchang Games.
[02:51:50] RILEY: Welcome back to the show. During the Super Bowl, of course, fans get to see some very creative advert. One of amazing was a short film promoting Lindsey Vonn at the Winter Game. To show the entire life story, the highs and the lows from the little kid on ski to the gold medals. The high-speed flashes as well as those mountain (INAUDIBLE).
Remember, she missed the last Olympic through injury and planning on going for gold again. So far, everything is looking good. Vonn won her prize on the World Cup Partenkirchen over weekend. And seems to be taking an exactly the right time of Pyeongchang. She now has 81 World Cup win, just six short of the old time record.
Well, the opening ceremony is on Friday. The game go actually start on Saturday but the action gets underway on Thursday with some of curling and ski jumping. Well, the scene is set, this is where the drama will unfold over the next few weeks. Dreams will be realized as well as we will have plenty of stories to share with you. Well, CNN and CNN Sports will have multiple crews on the ground. Of course, were very excited to be bringing you our coverage live from Pyeongchang.
Well, some of those dreams may come true for three Nigerian-American women. He will be making history at the Olympics. The team will be the first Nigerian athlete to compete at the Winter Games.
UNIDENTIFIED FEMALE: This is a pure fun.
UNIDENTIFIED FEMALE: That's how you live life.
AKUOMA OMEOGA, BOBSLEIGH TEAM, WINTER OLYMPICS: I'm Akuoma Omeoga.
SEUN ADIGUN, BOBSLEIGH TEAM, WINTER OLYMPICS: And I am Seun Adigun.
NGOZI ONWUMERI, BOBSLEIGH TEAM, WINTER OLYMPICS: I'm Ngozi Onwumeri.
BOBSLEIGH TEAM, NIGERIAN ATHLETES: And we are the Nigerian women's bobsled team, and this is our Africa.
ADIGUN: I am like the critical thinker, Ngozi is probably the more go with the flow, where is the come to kind to meet us in the middle.
ONWUMERI: I went to school at the University of Houston, where I'm in there for four years. I ran a post (INAUDIBLE) for Nigeria, one year. Just to compete on all-African games.
ADIGUN: And I also reps at the University of Houston, (INAUDIBLE). And then, coach there as well for five seasons after that. Wow, I was running for (INAUDIBLE) for Nigeria. And I competed in the 2012 Summer Olympics in the country (INAUDIBLE).
Basically, I was ill of sport for year, mess of brakemen for team USA. The sport was trying to grow and bringing more women. And it never had any representation from anybody from Africa. And so, there was also a discussion that I with Nigeria where they basically said, "There's an opportunity here for you to help change what it means to be a bobsled athlete for the concern of Africa? And in the sport itself, the humanitarian and the unity that this was something I had to do.
Being first generation here in the United States, we are first Nigerian, such the culture and the upbringing of the parents that raised. That's they have to mean it telling members here but we are raised there, we spent time there.
[02:54:52] ONWUMERI: We are -- you know, trying to be a positive poise for Nigeria. Showing people we're serious, we care about what we're doing and this is important to us.
That his date is going for her last round with there. Mayflower is the way the sled that I built when I was a brakeman in the U.S. team to help me stay in the loop with my training.
So, whenever I decided to start with Nigerian team, it just became the bobsled 101 tool. We spend a lot of time doing reps on the Mayflower.
UNIDENTIFIED FEMALE: That's it.
ONWUMERI: I think a big aspect of bobsled is mental. Then that's why we work on the Mayflower so much because a lot of that assimilation can get you in the right position to do all you might.
ADIGUN: When it's time for the season, it starts now we get the opportunity to get on that -- the real track. And that's one I really give to get in my element as a driver.
ONWUMERI: We can tell you all day like, "So, you need to ask him, (INAUDIBLE), that's not (INAUDIBLE). But now, you really have to like to get into the sled and see how it feels.
ADIGUN: The driver seat is more comfortable, I'll say that. Unless you crash, You know, when you crash, it was kind of a different ride. I started clean back to synergy, then, you think it off -- Ran outside, know like you got to be kidding me. The thing I think about the most is just take care of your break then, take care of them -- take care of them.
Just like with anything that's new and there's no real blueprint, you know there's going to be phases and stages where you might run into some walls or -- you know things might not go as plan. But, I think, overall is going to be a blessing to just see how things have evolved and the respect that we been able to sustain from everyone.
ONWUMERI: To be able to get recognition for this thing who's been extremely humbling.
OMEOGA: I'm excited to see what the future holds for, like Nigeria bobsled. Like with the Jamaican team, they had the legacy where they started bobsled 30 years ago, and it's still going on. So I'm hoping that Nigeria will actually be on the same type of pedestal.
ONWUMERI: We want to be able to be something that people can really be able to be proud of. So, even when we get to the Olympics, it's still like what happens next? And that's what life is about. Just always wanting to improve, always wanting to be better, always wanting to top your best self and keep on going.
RILEY: Yes, really love it. Good luck to them. That is it for much, thanks for watching. I'm Kate Riley, stay with CNN.
UNIDENTIFIED FEMALE: Asia market stumble following a disastrous day for the doubt.