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Trade Tensions Ease Between the U.S. and China; Hawaii`s Kilauea Volcano Brings New Threats; JCPenney Struggles to Survive
Aired May 22, 2018 - 04:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CARL AZUZ, CNN 10 ANCHOR: Welcome to CNN 10, where we explain global news in 10 minutes. My name is Carl Azuz. I`m happy to be your anchor.
Officials on two sides of the Pacific Ocean have put the brakes on a trade dispute between the United States and China. These two countries have the
two largest economies on the planet. They trade an incredible amount of goods with each other.
But last year, the U.S. sold $130 billion worth of goods to China and bought $506 billion in goods from China. And that deficit, that difference
is something that`s angered the Trump administration, which wants trade to be more level between the countries. So, the U.S. put tariffs or taxes on
certain imports from China, and China retaliated with tariffs of its own on the U.S.
Trade analysts were worried that this could lead to a trade war, when both sides try to hurt each other`s economy through increased tariffs which can
lead to increased prices. But now, the United States and China are saying they are trying to work things out.
China plans to significantly increase what it buys in U.S. goods and services. That was a main demand of the Trump administration. And both
sides say they`re not going to put any new tariffs on one another while they hold talks to form a new trade agreement.
They`re still some major issues that haven`t been resolved yet. For example, exactly how much more China plans to buy from the U.S. There`s
been some conflicting information on that.
And critics say their promise to work together more closely isn`t specific enough to guarantee things will get better. But at least tensions have
eased while the talks are going on.
(BEGIN VIDEO CLIP)
AZUZ (voice-over): Ten-second trivia:
What country has more historically active volcanoes than any other?
United States, Indonesia, Japan or Philippines?
According to the U.S. Geological Survey, there are more written accounts for eruptions in Indonesia than any other country.
(END VIDEO CLIP)
AZUZ: But a lot of international attention right now was centered on the Kilauea Volcano, located on Hawaii`s Big Island. It`s been erupting since
May 3rd. And residents for miles around the mountain are facing several threats from it. One new fissures keep opening up in the ground. There
are almost two dozen cracks in the earth at this point, spewing sulfur dioxide and lava.
One, lava bomb. A fragment of molten rock shot from a fissure hit a man in the leg while he was sitting on his porch. That caused the first serious
injury in this eruption.
Two, ash continues to spew from Kilauea Summit. One cloud boiled as high as 10,000 feet. Hawaii`s volcano observatory says more explosions are
possible at any time.
Three, lava is now flowing into the Pacific Ocean. That might not sound like a bad thing, as long as no boats are nearby. But when the molten rock
hits the cold sea water, it`s producing another hazard, something called laze.
SCOTT MCLEAN, CNN CORRESPONDENT: Seeing something like this is undoubtedly a once-in-a-lifetime experience for most people. But for people who live
here on the big island of Hawaii, they are happy that it`s only once in a lifetime, because this is a never-ending nightmare.
Let me show you what we`re seeing from our vantage point. This is where all of the lava is coming from. This is actually five fissures combined,
but it doesn`t look like cracks in the earth. It looks more like five out of control five hydrants.
Of course, that lava has to go somewhere, and so, it`s cascading this down this fast-moving lava flows and eventually it is reaching the ocean there,
that red steam over there in two different places. Now, from new pictures that we`re seeing, that those clouds, it may look like simple thing, but it
is much more nefarious than that. It is something called lava haze, or laze, and it is a mixture of sulfuric acid and tiny particles of glass. It
can be quite dangerous, at worst perhaps even deadly.
I want to show you one other thing. Right over there, this is a fissure that we`ve been watching now for the past eight nights in a row, and it may
look relatively benign, at least from this standpoint, but I can tell you, it is not. We were at a woman`s house maybe a quarter mile, maybe half a
mile away from there and the sheer force of that fissure, because there`s the odd explosion that happens maybe once or every minute or two, it
actually blow out two of her windows.
So, this is really, you know, nothing to think lightly of. It can potentially be quite hazardous. Now, if it`s not the lava that`s pushing
people out, it might be the gas. That is because geologists say that sulfur dioxide levels, they have actually tripled in recent days, creating
a lot of problems for people.
And one other thing to point out, and that is the explosions that we`re hearing, again, you can hear those explosions here, incredibly loud. The
explosions that we`re seeing at the summit of Kilauea have actually lessened, become less frequent and smaller in recent days. In fact, there
was one just about three hours ago that was quite small relatively.
That maybe good news from this time being, but it may also mean that a much bigger explosion could be coming.
PAUL R. LA MONICA, CNN MONEY CORRESPONDENT: JCPenney is in serious trouble. The company was once one of America`s leading retail chains. Who
hasn`t gotten more of their iconic Christmas catalogues in the mail?
But JCPenney, like struggling Sears, failed to adapt to consumer-changing taste. JCPenney is being hurt by the slow demise of many American malls.
Consumers are increasingly shopping on their phones, and while some retailers, Walmart, Best Buy and Macy`s come to mind, have embraced digital
commerce. JCPenney has been a laggard online. That`s big a reason why sales continue to fall, and the company keeps losing money.
JCPenney has already taken the painful step to cut more than 100 stores and layoff thousands of workers. Still, the share price has plunged to single
digits. That means JCPenney is literally what traders called a penny stock.
Investors are also worried about the fact that JCPenney is a pretty big debt load and not a lot of cash. JCPenney is trying to get back on track
by focusing on products like beauty goods, toys and appliances and not just clothing. But time maybe running out to save JCPenney.
AZUZ: The Asian island country of Singapore has been in the news lately because it`s the location of a planned summit between U.S. President Donald
Trump and North Korean leader Kim Jong-un.
But there`s another reason our friends at "Great Big Story" visited Singapore recently. They wanted to check out a manmade horticultural haven
known as Supertree Grove. Let`s go climbing.
REPORTER: Located in a waterfront park known as Gardens by the Bay is Supertree Grove.
This mechanical forest is a utopia for nature in a very urban location.
Supertree Grove was commissioned by the Singapore government with the intention of raising the quality of life for its residents by enhancing
greenery and flora in the city. This manmade mechanical forest consists of 18 supertrees. The trees range between 80 to 160 feet high, and are
connected by a walkway which allows visitors to cross between them and view the city from the treetops.
With their fixed trunks and network of thin neuron like branches, each tree acts as a vertical garden.
Over 160,000 varieties of orchids, ferns and other climbing plants have been planted in the trees. The trees also generate solar power. Eleven of
the trees are fitted with solar photovoltaic systems that convert sunlight into energy. This provides lighting that allows the trees to come alive at
night, making this an all-day, all season horticultural haven.
AZUZ: Usually, fast food restaurants compete with each, especially when they`re literally next door. But a Burger King in Massachusetts recently
asked out the girl next door. The restaurant posted the word "prom" on its sign and "Wendy`s" over social media, said that`d be OK as long as they
were home by 10:00.
Because the promposal was so public, Burger King went public with the result, too. Posting the words "she said yes".
But where are they going to eat? Offering to share of wafer could get a frosty reception, so could Dairy Queen, though we hear she`s pretty sweet.
Five Guys could be four too many. McDonald`s is their arches enemy. No one wants Papa John`s as a chaperone, so that`s Hardee`s is a good idea.
Maybe they`ll just take the Subway.
I`m Carl`s Jr. Azuz for CNN 10.