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President Trump Orders Full Withdrawal From Syria, Declaring ISIS Defeated; Senate Passes Stopgap Spending Bill; Attorney General Nominee Barr: Mueller Obstruction Probe "Misconceived"; Trump Administration's Food Stamps Plan. Aired 5:30-6a ET
Aired December 20, 2018 - 05:30 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
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[05:30:50] (BEGIN VIDEO CLIP)
SEN. LINDSEY GRAHAM (R), SOUTH CAROLINA: This is a stain on the honor of the United States.
(END VIDEO CLIP)
DAVE BRIGGS, CNN ANCHOR: Even the president's closest allies are slamming the move to withdraw U.S. troops from Syria. Russia, Iran, and the Assad regime all in line to benefit.
ALISON KOSIK, CNN ANCHOR: A bill to fund the government until February passes the Senate, but did it deal a death blow to the president's border wall?
BRIGGS: Fatally misconceived. The man poised to oversee a Mueller probe had harsh words for the investigation a few months ago.
KOSIK: And the Dow now at its lowest point of the entire year. Investors spooked after another rate hike from the Fed.
Welcome back to EARLY START. I'm Alison Kosik. I'm sitting in for Christine Romans.
And those red arrows should begin the trading day, as well.
BRIGGS: Another negative day --
KOSIK: Yes.
BRIGGS: -- on what could be worst December since the Great Depression.
I'm Dave Briggs. Five thirty-one eastern time on a Thursday.
We start with President Trump's decision to order a full and rapid withdrawal of U.S. troops from Syria running into fierce resistance this morning.
In the words of one senior administration official, the "decision-by- tweet will recklessly put American and allied lives in danger around the world. A mistake of colossal proportions."
A U.S. Defense official tells CNN planning for the pullout is already underway.
Reactions to the president's move ranging from shock to outrage.
KOSIK: A group of Congressmen senators firing off a letter to Mr. Trump urging him to reconsider. They believe if there is a pullout, "any remnants of ISIS in Syria will surely renew and embolden their efforts in the region."
Top Republican senators not pleased about getting blindsided.
(BEGIN VIDEO CLIP)
GRAHAM: Now, we're dramatically less safe. This is an Obama-like move.
SEN. MARCO RUBIO (R), FLORIDA: It's a terrible mistake and unfortunately, I think we're going to pay a price for it if it's not reversed.
SEN. BOB CORKER (R), TENNESSEE: It's hard to imagine that any president would wake up and make this kind of decision with this little communication, with this little preparation.
SEN. JOHN CORNYN (R), TEXAS: Pulling the plug on these troops without giving due consideration to the consequences, I think is something that I don't think any of us what to do.
GRAHAM: To say they're defeated is an overstatement and is fake news. We have been dishonorable. This is a stain on the honor of the United States.
(END VIDEO CLIP)
BRIGGS: The president did not make himself available for questions about Syria on Wednesday. Instead, the White House released a video of Mr. Trump explaining why he made the move.
(BEGIN VIDEO CLIP)
DONALD TRUMP, PRESIDENT OF THE UNITED STATES: And we have won against ISIS. We've beaten them and we've beaten them badly. We've taken back the land and now it's time for our troops to come back home.
(END VIDEO CLIP)
BRIGGS: One problem -- the Defense Department disagrees. They released this statement. "The coalition has liberated the ISIS-held territory, but the campaign against ISIS is not over."
KOSIK: The White House cannot say how many troops will come home, what the time line is, or when other personnel will leave. An administration official referred questions to the Pentagon, but the Pentagon referred them back to the White House. BRIGGS: The president's order to withdraw all U.S. troops from Syria being met with near-universal condemnation and there are a lot of reasons why.
Nima Elbagir joins us live from London. Good morning to you, Nima.
You know, President Trump campaigned, calling President Obama the founder of ISIS for what he did pulling out of Iraq. What's reaction now to Trump's similar move?
NIMA ELBAGIR, CNN SENIOR INTERNATIONAL CORRESPONDENT: Well, most of the key allies in the anti-ISIS coalition are now disagreeing publicly with President Trump.
The U.K., first, and now France, more recently, saying it's just not true -- ISIS is not defeated -- and echoing much of the terminology that's been used by U.S. administration officials up until this point, which is that this campaign is about an enduring victory because what can't be allowed to happen or at least the agreement on what shouldn't be allowed to happen was that ISIS should not be allowed to reconstitute.
And it's been already a bit of a propaganda boost to the terror group because on the same day that the president announced the withdrawal of U.S. troops, ISIS were able to successfully detonate a bomb inside Raqqa.
[05:35:03] Now, of course, that doesn't mean that they are marching and newly-reformed, but it does speak to an ability to reconstitute and that is the worry. And that is the worry that the Secretary of Defense Gen. Mattis has consistently publicly spoken about.
But, of course, it's not just about ISIS. It's about the regional geopolitics. And that's something else that Gen. Mattis has been very concerned about is that if the U.S. withdraws from Syria, it cedes the territory to Iran. And that has been a bigger and broader concern for allies like Saudi Arabia, but even allies like the U.S. -- the U.K. and France.
And it also sends a bigger message and that's what everyone we're speaking to tells us. It sends the message that the U.S. cannot be relied on in the longer-term, Dave.
BRIGGS: That is the most important implication. Nima, thank you -- 10:35 there in London.
Back here, the Senate has passed a stopgap spending bill to prevent a partial government shutdown at midnight on Friday. The measure to fund the government through early February still needs House approval and the president's signature.
The deal kicks the can on critical issues like funding for the president's border wall, and that will be a tougher task for Republicans once Democrats take over the House next month. Any funding for a wall would have to go through Nancy Pelosi. Let's go live to Washington and bring in the editor and publisher of "Inside Elections," CNN political analyst Nathan Gonzales. Good to see you, sir.
KOSIK: Good morning, Nathan.
NATHAN GONZALES, CNN POLITICAL ANALYST, EDITOR AND PUBLISHER, INSIDE ELECTIONS: Good morning.
BRIGGS: Speaking of Nancy Pelosi, she was out at a bar last night celebrating Joe Crowley's farewell and he was singing some tunes. Let's play a little music for you.
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REP. JOE CROWLEY (D), NEW YORK: Singing "American Pie."
(END VIDEO CLIP)
BRIGGS: Crowley on stage; Pelosi down there, screen left, in the red.
I play that only because the day the music died, is it also the day the border wall died? And what are the political implications of that for President Trump?
GONZALES: Yes, I mean, I think it's a setback for President Trump but I don't think it's -- I don't think it's dead. I don't think he's done talking about it.
I think that maybe he just didn't want to fight about it over Christmas. He'd rather go to Mar-a-Lago and spend some -- spend a few days there and come back and start anew.
I think what's going to be different about this discussion when we have it a month from now is that Democrats are going to be in control of the House. And so, when we're talking about funding for the wall and who's for it and who's against it, he's going to have a Democratic House to blame. And it looks like both sides are digging in their heels.
BRIGGS: I got to cut you off. So, the Republicans didn't give him the wall. You say it's not dead even though Nancy Pelosi is the Speaker of the House?
Explain that to me. How is it alive?
GONZALES: Yes. I mean, I just -- it's not -- I think it's not -- it's still -- or it's not dead because if the president -- if it's on his mind -- he still is the most popular person within the Republican base, and for these members -- these Republican members that are going to feel pressure from their constituents or the voters, if the president wants it they're going to start hearing from them. But they're going to be out of power in the House and it's going to be -- it's going to be a lot more difficult.
KOSIK: Look, I have -- I have to -- BRIGGS: Just to talk about it.
KOSIK: I have to ask this, though. Back up to the reality T.V. crazy moment in the White House. Roll it.
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TRUMP: I am proud to shut down the government for border security, Chuck. I will take the mantle. I will be the one to shut it down.
(END VIDEO CLIP)
KOSIK: OK, he's going to be the one to shut it down.
So where is the political damage here? I mean, he vowed to shut down the government. Now, he's backing off. And, oh, never mind, the wall --
BRIGGS: Well, we --
KOSIK: -- despite --
BRIGGS: We still don't know. He hasn't signed it yet.
KOSIK: Right.
BRIGGS: It's got to go through the House --
KOSIK: True.
BRIGGS: -- and back to the president's desk. And, Mark Meadows, chairman of the House Freedom Caucus, is urging him not to sign it and says we're with you and the American people are with you.
Will he sign it?
GONZALES: Yes. I mean, I think until it's signed, sealed, and delivered, I think we can't -- we can't make any assumptions. It looks like it's on the -- it looks like it's on the right track.
I mean, before we got to this point of a shutdown I think it was interesting that both sides thought that they would benefit politically from a shutdown. So that's why I've been saying for months that I think that it was -- it was likely we had a least a short-term partial government shutdown because both sides think they're going to benefit from this.
And I think the president in that Oval Office, it was a little bit surreal. I think he so believes that he's on the right side of it that even if the government shuts down he's going to end up looking better and getting -- and politically benefitting from it.
BRIGGS: OK, let's talk about all the friendly fire regarding the decision to pull troops out of Syria. It's harder for me to find anyone that supports the president's decision, it appeared, against the entire national security apparatus. All Republicans in the Senate minus, probably, Rand Paul are against this move.
So it looks like a couple of significant pushbacks. Jamal Khashoggi, the war in Yemen, this decision to punt on the border wall.
How significant is the fallout for the president within his own party?
GONZALES: Well, I think what was interesting about the backlash on the Syria decision is that, first of all, it was a bipartisan agreement. It's tough to get bipartisan agreement on anything in Washington these days.
[05:40:04] But over the last two years, we've seen the Republicans who have publicly disapproved of the president have either been senators who are retiring and not running for reelection or senators who weren't up for reelection.
But in this coalition you had John Cornyn of Texas, Joni Ernst of Iowa, Tom Cotton of Arkansas, who are going to be up for reelection in 2020. And I think that they're risking a little bit of backlash from the president and those constituents that I talked about who are -- he -- the president is more popular with them than they are to the -- to these senators.
But I think that they so believe that this policy is wrong. I think they're probably trying to keep it based on policy and not make it this personal fight with the president. And I think that's what's interesting about this -- about this backlash.
BRIGGS: Who is with the president on this?
GONZALES: The president and the people within the walls -- some of the people within the walls of the White House. It's clear that not everyone in the -- within the administration --
BRIGGS: Yes.
GONZALES: -- in on board but, you know, if the president is pushing it he's going to -- you know, he's going to -- he's going to at least take the country that far as long as he can constitutionally get it done and move troops in a way that he needs to.
BRIGGS: Yes.
KOSIK: There are a whole lot of outspoken members of his own party and his administration saying otherwise.
BRIGGS: It could have significant long-term implications.
Nathan Gonzales, good to see you, sir.
KOSIK: Nathan, thanks.
GONZALES: Thank you.
KOSIK: The Dow tumbled to the lowest level of the year after the Federal Reserve voted to raise interest rates. Despite new signs of economic softening and weeks of market volatility, the Dow tumbled 352 points. That's 1 1/2 percent.
The sell-off left the Dow at its lowest level in 13 months, wiping out a 382-point rally that happened before the Fed's decision. The S&P 500 fell 1 1/2 percent. The Nasdaq lost more than two percent yesterday.
Central bankers unanimously agreeing to lift the federal funds rate to a range of 2 1/4 percent and 2 1/2 percent. Interest rates have increased seven times under President Trump. Four of those increases have happened under Fed chair J. Powell.
The president has repeatedly attacked Powell and blames rate hikes for some of the market's recent drops, but Powell is stressing the Fed is independent. "We're going to do our job the way we've always done them," he said yesterday. "Nothing will cause us to deviate from that."
The central bank now appears to be eyeing at least two more rate hikes in 2019 but investors were expecting a slower pace of increases -- the reason we saw that sell-off yesterday.
BRIGGS: All right.
A newly-released memo could complicate William Barr's nomination for attorney general. In a memo from June of this year to senior Justice officials, Barr writes special counsel Robert Mueller's obstruction investigation is, quote, "fatally misconceived" and that President Trump's interactions with ex-FBI director James Comey do not constitute obstruction of justice.
The fact that Barr weighed in on such a sensitive issued and would be poised to oversee Mueller's work could put his nomination in peril.
KOSIK: Barr, who was once A.G. for George H.W. Bush, also wrote that Trump asking Comey to let go of the Michael Flynn investigation, and then firing Comey, were both within his powers as head of the Executive Branch.
According to a Justice Department official, Barr's memo was unsolicited.
Deputy Attorney General Rod Rosenstein said this on Wednesday. Many people offer unsolicited advice and Barr's memo, quote, "has no impact on the investigation" -- though it certainly reads like it's a cover letter for a position.
BRIGGS: Well, you'd imagine Democrats will make an issue of it, asking him to pledge not to fire the special counsel. But ultimately, Republicans have the numbers -- 53 in the Senate. It would be hard to imagine any voting against that nomination.
KOSIK: All right.
Just into CNN, the Trump administration plans to make more people work for food stamps. More, next.
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[05:47:54] KOSIK: Welcome back.
Breaking overnight, North Korea says it will not denuclearize until the U.S. eliminates its own, quote, "nuclear threat." That's from commentary published by state media. It suggests one of the obstacles could be U.S. military assets in South Korea.
All of this will pose another big obstacle for the U.S. and Pyongyang. They've been deadlocked in talks about denuclearizing in exchange for sanctions relief.
Another summit between the president and Kim Jong Un has been rumored for early next year.
BRIGGS: The Trump administration planning to make more people work for food stamps. The agriculture department unveiling a proposal to expand requirements in an unprecedented move.
Officials have already started allowing states to mandate Medicaid recipients find employment. The food stamp program already requires non-disabled working-age adults without dependents to have jobs. States can now waive that requirement in areas where unemployment is at least 10 percent.
The proposed rule would make it harder for states to receive those waivers.
The Illinois attorney general says the state's six dioceses have failed to disclose accusations of sexual abuse against at least 500 priests and clergy members. Illinoisans diocese have publicly identified 185 clergy members who are credibly accused.
But state Attorney General Lisa Madigan says the accusations have not been adequately investigated. She says the church failed in its moral obligation to provide survivors, parishioners, and the public a complete and accurate accounting.
In a statement, the head of the Illinois Archdiocese says since 2002, all allegations have been reported.
KOSIK: Global markets are lower after the Federal Reserve voted to raise interest rates for the fourth time this year.
In Asia, markets closed in the red. The Nikkei fell close to three percent. The Shanghai fell half a percent, and the Hang Seng fell one percent.
European markets opened lower as trading began -- begins there.
On Wall Street, we are looking at red arrows to start the trading day.
The Dow tumbled to the lowest level of the year after the Fed's decision. The Dow declined 352 points or 1 1/2 percent. The sell-off left the Dow at a 13-month low, wiping out a 382-point rally that happened before the Fed announced its decision. [05:50:12] Yesterday, the S&P 500 fell 1 1/2 percent. The Nasdaq losing more than two percent.
FedEx is worried trade tensions between the U.S. and China could severely hurt business next year. The company dramatically cut its profit outlook for the fiscal year, lowering it to 10 percent.
FedEx ships goods for consumers and businesses all over the world. It's seen by investors as a bellwether of the economy but it's now saying that international business, especially in Europe -- it's really weakened significantly.
So to control costs, FedEx announcing it's going to offer buyouts to its U.S. employees and scale back hiring plans. It's also considering a buyout offer for international staff. But, FedEx is not saying how many jobs it's expecting to eliminate.
America's preeminent cigarette company looking beyond tobacco. Altria reportedly interested in buying a huge stake in e-cigarette maker Juul.
"The Wall Street Journal" reporting Wednesday Altria is seeking a 35 percent stake in Juul worth almost $13 billion. The investment would give Juul access to Altria's massive international distribution network.
Juul has come under intense regulatory scrutiny after teenagers have become addicted to its products. According to the National Youth Tobacco Survey, more than 75 percent of high school-age children say they have used e-cigarettes. That's troubling.
Altria recently invested $1.8 billion in Canadian cannabis company Cronos Group.
But I'll tell you what. If this means Juul is going to grow even more, that's worrisome as a parent.
BRIGGS: Yes, there were efforts to make it harder for young people to buy --
KOSIK: Right.
BRIGGS: -- and now, it would appear that would make it a lot easier.
All right, we'll be right back with EARLY START.
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[05:56:17] BRIGGS: Just in from Moscow, Russian President Vladimir Putin agrees with President Trump on withdrawing from Syria. Putin agrees ISIS has largely been defeated.
Speaking at his annual press conference in Moscow, Putin added if a decision to withdraw was made, and it is a correct one.
More on this ahead in "NEW DAY." KOSIK: A $1.1 million settlement for a Kansas man who spent 17 years in prison for a crime committed by a lookalike. Richard Jones was released last year. He was convicted in an aggravated robbery in 1999.
Jones had a solid alibi. He was at a birthday party where he was seen by several people. But he was charged with the crime anyway because he looked exactly like the man who eventually became the suspect, Ricky Amos.
The settlement was made under a new mistaken conviction law enacted by the Kansas legislature.
BRIGGS: Serious questions for a bank in Brooklyn, Ohio after a teller called police on a black man who was trying to cash his paycheck.
Paul McCowns doesn't usually do business with Huntington Bank but he followed protocol. He provided the tellers with two forms of I.D. and a fingerprint. The bank still declined to cash his check. As McCowns left, a bank teller called police and McCowns was detained.
(BEGIN VIDEO CLIP)
PAUL MCCOWNS, DETAINED FOR TRYING TO CASH PAYCHECK: It was highly embarrassing -- highly embarrassing. Whoever made that phone call, I feel as though that they were judging.
(END VIDEO CLIP)
BRIGGS: McCowns was released once officers reached his employer and confirmed with the account holder the check was valid.
The bank says there's been increased fraud in the area and tellers were being hypervigilant. They've released a statement apologizing to McCowns.
KOSIK: A bright light that lit up the Internet and the skies above Northern California last night was most likely a meteor. That's according to the National Weather Service.
An unusually bright smoke-like trail was spotted over the Lake Tahoe area. Speculation was the formations were related to a planned rocket launch at an Air Force base near Santa Barbara, but the launch was scrubbed due to booster complications.
BRIGGS: Aliens, no doubt.
KOSIK: Your imagination.
BRIGGS: I'm telling you, I see it.
Two thousand eighteen has been quite the year. If you want proof, James Corden provides it.
(BEGIN VIDEO CLIP) JAMES CORDEN, HOST, CBS "THE LATE LATE SHOW WITH JAMES CORDEN": Trump's time in office is approaching two years. Like Brett Kavanaugh, I need a few beers.
Dems took the House in a blue midterm wave, and Beto O'Rourke became our new fave.
Ruth Bader Ginsburg had a bad fall. The best-selling books were Trumpy tell-alls.
Roseanne had big ratings. "Avengers" were robbed. Banksy shredded a painting. Roseanne lost her job.
Donald had T.P. on his shoe. Melania doesn't really care, do you?
The Eagles from Philly beat Super Bowl odds. And for some reason, teens started eating Tide Pods.
A (INAUDIBLE) until we saw that giant cow.
Kylie Jenner made a billion in dough. Is it yanny or laurel, I still don't know.
Bieber loves Baldwin, Priyanka loves Nick. Kanye loves wearing a hat for this (bleep).
Idris Elba named sexiest man alive, but when they did the nominations, where the hell was I?
(END VIDEO CLIP)
BRIGGS: James Corden --
KOSIK: All the important headlines.
BRIGGS: -- for sexiest man in 2019.
KOSIK: All right, thanks for joining us. I'm Alison Kosik.
BRIGGS: I'm Dave Briggs. Here's "NEW DAY."
(BEGIN VIDEO CLIP)
TRUMP: We have won against ISIS. Now it's time for our troops to come back home.
GRAHAM: To say they're defeated is an overstatement and is fake news.
SEN. JOHN KENNEDY (R), LOUSIANA: I don't like spending a penny more than we have to in the Middle East.
REP. MARK MEADOWS (R-NC), CHAIRMAN, HOUSE FREEDOM CAUCUS: Mr. President, we're going to back you up if you veto this bill.
SEN. CHUCK SCHUMER (D-NY), SENATE MINORITY LEADER: Shutting down the government over Christmas is a terrible idea. REP. JIM JORDAN (R), OHIO: I'm sick of the games. Most importantly, the American people are sick of the games.
(END VIDEO CLIP)
ANNOUNCER: This is NEW DAY with Alisyn Camerota and John Berman.
ALISYN CAMEROTA, CNN ANCHOR: We want to welcome our viewers in the United States and around the world. This is NEW DAY. It is Thursday, December 20th, 6:00 here in New York.
John Berman is off enjoying his life, and John Avlon has pulled the --
