Return to Transcripts main page
Trading Resumes After Halt Over Virus Fears And Oil Price Plunge; Cruise Ship To Dock In California With Infected Passengers; Episcopalian Priest Becomes First Confirmed Case Of Coronavirus In Washington, D.C. Aired 2-2:30p ET
Aired March 9, 2020 - 14:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
BROOKE BALDWIN, CNN HOST: Here we go on this Monday afternoon. You're watching CNN. I'm Brooke Baldwin. Thank you for being here.
In just a couple of hours, U.S. markets are set to close after a jaw dropping session. It saw trading halted shortly after Wall Street opened for business. Stocks plunging over oil prices and intensifying fears over the coronavirus.
There are now more than 100,000 confirmed cases worldwide on every single continent except for Antarctica. Nearly, 4,000 are dead and there are signs of sustained person-to-person transmission.
So for those reasons, CNN is now calling the coronavirus outbreak a pandemic.
And let me show you these pictures. This is the scene out of Oakland, California where this cruise ship with at least 21 people who have tested positive for coronavirus is expected to dock soon.
Princess Cruises, the ship's operator says the process of disembarking these passengers will take place over the course of multiple days as several quarantine locations for those who are asymptomatic have been set up across the country.
And across the United States, more than 600 cases have been confirmed with at least eight states now declaring a state of emergency.
Well let's talk markets now. Rana Foroohar is the CNN global economic analyst and a global business editor and associate editor for "The Financial Times," Richard Quest, CNN's Business editor-at-large.
And starting with you, sir, the markets. Explain to the good folks watching why the trading halt.
RICHARD QUEST, CNN BUSINESS EDITOR-AT-LARGE: Trading halted because the market fell more -- the S&P 500 fell more than seven percent and under the circuit breaker rules, there is a halt in trading to allow classically pause for thought.
BALDWIN: Pause for thought.
QUEST: You know, to allow --
BALDWIN: What does that mean?
QUEST: Well, it means, you know, there's a panic. But let's stop trading so everybody can just see what's going on.
And when it started again, trading was down maybe six or five percent. So it worked. Now I hear you say, ah, but Richard, we're down over seven percent again.
BALDWIN: So why didn't we do it --
QUEST: On the Dow.
BALDWIN: Because now we wait until 13 --
QUEST: Thirteen percent. And by the way, you're on air until four o'clock Eastern Time.
BALDWIN: Four o'clock. Yes.
QUEST: If the market goes down the circuit breaker amounts after 3:25 Eastern, your carry on trading. So we could -- you know, the last hour is going to be chaotic at best, I suspect.
We're nearly down eight percent, 2,000 points, and it's because if you want the gut reason why, what started the fire today? The decision by Saudi Arabia to announce it's going to flood the world with oil.
That panicked everybody and the oil price fell 30 percent.
BALDWIN: Let's jump to that. Can you just explain what's going on here with the oil?
RANA FOROOHAR, CNN GLOBAL ECONOMIC ANALYST: Basically, it's a fistfight between the Saudis, the Russians and the U.S. is being pulled into it.
Saudi Arabia wanted there to be cuts in production so that the price of oil could go back up. That's what happens when there's a market panic. In an ideal world, which we are certainly not in, OPEC, plus Russia would come together and say, all right, we're going to halt production. We're going to artificially raise the price.
The Russians didn't want to play ball. So the Saudis said, okay, we'll drive the price down lower. Now, what's interesting here is that the U.S. shale industry, which has been a big driver of growth, big driver of jobs, is going to get caught in the middle because as prices plummet, the shale industry is going to be hit. That's going to ripple over into the stock market.
It is really a perfect storm.
BALDWIN: Which you notice while we're talking, it's now down 2,000 points and on the point of oil prices, so like the freaky silver lining is the fact that gas prices would actually go down, but it doesn't really matter, I guess, if no one is going anywhere.
FOROOHAR: I don't think it adds -- I mean, yes, and you know, again, in a normal world, hey, a gas price cut, that's great.
BALDWIN: But now it's like, I'm not going anywhere.
FOROOHAR: Not when your 401(k) is down. Not when nobody is traveling, not when the economy which is two-thirds consumer spending is not growing.
QUEST: Those who have got well-balanced 401(k) plans of which there are no one, because everybody goes into stocks is looking online today and seeing it down eight, nine, ten, twelve, fifteen percent. That creates something what we call the negative wealth effect. You don't feel wealthy.
Now, I don't care how low the oil price goes. If you don't feel wealthy, if you think things are going to get worse, you're not going to go on holiday, you're not going on a cruise anyway, because the State Department has told you don't take a cruise, you're going to stay at home.
And I think, not to be flippant in any shape or form, I think what you're seeing is the downward economic spiral, which is not predicated or altered by a lower cost of oil. By the way, we are just about to go down eight percent on the Dow.
BALDWIN: So, this is giving everyone massive jitters. We're all remembering back to the 2008 financial crisis, and then Austan Goolsbee, he was the head of President Obama's Council of Economic Advisers, he tweeted that the markets are more scared now than they were during the 2008 financial crisis.
Do you think -- do you agree with that?
FOROOHAR: Well, yes and no. I mean, look, 2008 was a complete shock. It was coming out of nowhere, but the Fed, the Central Bankers had the ammunition to fight it. And you had a government, frankly, that had a more coherent plan. They came together pretty quickly, not perfectly, but dealt with it.
Now, you've had 10 years of rates being low, you've had the Fed already using all their ammo. So what do we need? Well, we need a fiscal spending plan from the government. From this government?
You know, with the Democrats approving it, even if there was such a plan? I don't see that happening.
BALDWIN: Like some sort of stimulus, you don't see.
FOROOHAR: Exactly. Exactly.
QUEST: I think -- I'm not sure I agree with Goolsbee in the sense that, you know, yes, the Fed hasn't got the ammunition to fight the fire, but the network, the financial world is able to cope.
It's going to be nasty. It'll be ugly. But the banks are nowhere near as that.
FOROOHAR: The bank -- well, this is an important point. This is about corporate debt.
FOROOHAR: It is not a problem in the banking system. But that said, I think that you know, your point about the -- we've become so dependent on asset bubbles, we've become so dependent on the financial markets, we may see a recession and I actually think there's at least a 50/50 percent chance at this stage.
We may see a recession that's actually driven by the market rather than mainstream. That's an inversion. That's different.
QUEST: Because -- I know, you've got to move on, but because when you've got this sort of down eight percent, it's back to what I said. It's the wealth effect.
And suddenly, you know -- and let's face it. Let's look at California, the epicenter, although New York has more cases.
BALDWIN: Washington State, California, New York. Right.
QUEST: Right. Let's just wait until, God forbid, parts of the U.S. economy have to be restricted, parts of the country have to be restricted as part of a containment.
Now, you're really starting to look for a cascading economic effect.
BALDWIN: Let me read this piece of paper I was just handed. This is -- the White House has invited Wall Street executives, including bank CEOs to a meeting this week on coronavirus, according to an official familiar with the plans. So that's happening later this week.
FOROOHAR: Better late than never.
QUEST: But what for?
BALDWIN: Why are you laughing?
FOROOHAR: I mean, you know, because, frankly, we should have had a contingency plan in place for just a disaster like this all along.
I mean, why do we not have enough tests? Why are we so far behind other countries? Why do we have a patchy healthcare system that is about -- we're about to see the fragility in that and actually, that's going to have some interesting political ramifications when people in an overloaded healthcare system are getting sick.
And you know, that social safety net issue is going to be front and center I think in this.
BALDWIN: Okay, we're going to leave it. We're watching the markets. Rana and Richard, thank you so much. Again, watching for that 13 percent mark because that would be -- QUEST: If the 13 percent arrives between now and the end, I'm hiding
under the table.
BALDWIN: Here we go. I don't want you hiding. So stay below 13. Guys, I appreciate it very, very much.
Officials in California are about to receive thousands of people from that Grand Princess cruise ship that has been held off the coast near San Francisco for the last couple of days.
At least 21 people on board have tested positive for coronavirus, more than 2,000 passengers will either be transferred. They'll go to their home countries or depending on where they're from, different military bases across three states for this mandatory 14-day quarantine.
CNN's Dan Simon is at the Port of Oakland where the ship is expected to offload all of these passengers and Dan, you know, just also reading into the fine print on the story. Just back to the 21 people infected. Let's just remind people, that number could grow as that's 21 out of the 45 who were tested out of the thousands of people on this ship.
Just, you know, perspective on any word on their plan to dock.
DAN SIMON, CNN CORRESPONDENT: Well, you know, that's true what you're saying and the previous voyage, that number went up as well just within the past few days. Twelve people from the previous voyage have tested positive for coronavirus.
But I'm getting some real-time updates from people aboard the Grand Princess cruise ship that just passed under the famed Golden Gate Bridge and is making its way here to the Port of Oakland. It should be here, really within the next hour or so.
And there's going to be a very detailed process in terms of how you get these people off the ship and into quarantine. We're talking about 2,400 passengers and the way it's going to work, those who are most critically ill will of course, they'll get off the ship first and go to area hospitals.
And then California residents will be next. They'll go to the various military bases in the area, and then from there, international travelers and the rest of the folks from various states across the country.
Brooke, this has been really an ordeal for these passengers who have been essentially isolated in their rooms for about four days or so, really couldn't even go outside to get much fresh air.
I want you to listen now to the perspective from some of these passengers.
(BEGIN VIDEO CLIP)
JUSTINE GRIFFIN, GRAND PRINCESS PASSENGER: We were getting information more from the news than we are from the ship. It's just -- it's just really, really hard -- if we had realized this was going to happen, we wouldn't have come.
ARCHIE DILL, GRAND PRINCESS PASSENGER: It's not quite prison, but it's a lot like that. I don't know what to expect, you know, if they had a well-formed plan and let us know what was happening, that would be one thing. But right now, you know, you're looking at an uncertain destination.
(END VIDEO CLIP)
SIMON: Yes, they've really been in limbo. The good news is they're finally getting off the ship. The bad news is they've got 14 days in quarantine.
So, you know, still a tough ordeal ahead of them. They did get some welcome news last night, Brooke. It was expected, but welcome nonetheless. They will be entirely refunded for their time aboard the Grand Princess and they get a credit for a future cruise -- Brooke.
BALDWIN: I am sure they are really excited about jumping back on another cruise after this whole ordeal, being incredibly facetious. Dan Simon, we will keep an eye on that ship there as it heads your way to the Port of Oakland.
Meantime, if you consider all of the different groups, the clusters of this virus, it seems that the U.S. is about to enter the largest quarantine effort yet in this fight to mitigate further spread.
Lisa Monaco is a CNN senior national security analyst and former Homeland Security and Counterterrorism adviser in the Obama White House.
So Lisa, welcome back.
LISA MONACO, CNN SENIOR NATIONAL SECURITY ANALYST: Hi, Brooke. Good to be with you.
BALDWIN: Let's start with what we were just talking about with this this cruise. So it's heading into the Port of Oakland, and depending on where you're from, different folks will go to different bases, whether it's California, Texas, Georgia.
So I'm just curious from your perspective, why military bases are the safest place for quarantine? And then how they literally get these people, you know, from Point A to Points B, C and D and not expose anyone else in the process.
MONACO: So, Brooke, I think using the military bases makes a lot of sense. This is -- obviously, we have facilities and military has facilities all around the country, so you can place folks who are going to be in quarantine at those bases close to where they eventually will go home.
And, of course, the military bases that we have around the country are places that the military and our government can control who goes in who goes out.
So you have a set place that clearly has got enough infrastructure to accommodate what is, as you stated, you know, over 2,000 people who ultimately will have to be distributed around this network.
It is not uncommon, I think for, you know, the government to tap into military resources, if they if to in a crisis. So I'm not surprised to see the use of the military bases in this way.
BALDWIN: How do they keep other people from getting exposed?
MONACO: Well, look, I think what you'll see is -- and we haven't gotten a lot of information yet coming out about this is, but you're likely to see the same kind of playbook that we saw in use with the Diamond Princess ship.
Of course, that was a few weeks ago. The passengers coming off that ship that was quarantined off the Coast of Japan, they ultimately were flown here to this country in a charter flight, I believe, and then put into a military base in Riverside, California, and that was just about 150 people, I believe.
And at the time, it was the largest and first quarantine done in 50 years. So now, this quarantine and this effort is going to substantially outpace that one.
BALDWIN: Yes. Let's talk about the word pandemic, Lisa. We were just discussing at the top of the show, CNN is now definitively calling this a pandemic, the W.H.O., the World Health Organization is not declaring it a pandemic, but if they were to get there, what is your understanding of how that would change any official response?
MONACO: So look, I think that you're seeing a lot of discussion today about this epidemic versus pandemic. Let's just get some facts out on the table.
Obviously, an epidemic is something that has where you see the disease spread over one particular area or region. That's why we call the Ebola epidemic, an epidemic, not a pandemic, because you had sustained transmission in West Africa, but you really only had a few isolated cases in other countries.
Here, we've got cases in almost a hundred different countries. The definition of a pandemic, normally is when you have worldwide spread. So how it will affect the work that's going on?
You know, we had Tony Fauci, I think he was on CNN this morning, saying that whether you call it an epidemic or a pandemic won't change how they are responding, how the professionals in the public health community and across our government are responding. I think that makes sense, right.
You know, these are professionals who are going to go all out in the public health community and across the agencies who are working on this problem. Where I do think it makes a difference, though, what you call it and
being willing to stand up and call it what it is, is you give folks confidence that you are in fact being straight. That you're calling it what it is.
If it looks like you know, we're too worried to call it something that seems quite obvious, then I think we risk eroding confidence that we're being straight with the American public.
BALDWIN: Right. Transparency. Lastly, speaking of the government, we saw just in the course of today over, you know, however many hours, dozens of tweets from the President. Some with an optimistic outlook on coronavirus, but the response, you know, from this administration as a whole has been anything but aligned and I understand wanting to mitigate panic.
But Lisa, how much worse is it to your point about, you know, being transparent or not, how much worse is it to offer conflicting information?
MONACO: Look, it it's really dangerous, right? People need to know that they can look to their government and get clear, consistent and credible information. That's what we should expect from our leaders.
But in a pandemic, in a public health crisis, what you want to see is expert people coming out giving information. And so frankly, the White House and the President should just be relying on public health and medical experts to provide this information.
It does not help and in fact, it is counterproductive, and I think dangerous to have such mixed messages.
BALDWIN: Lisa Monaco, thank you very much for all your smart analysis in all of that.
How about this? Hundreds of churchgoers now are at risk and being urged to self-quarantine after this priest test positive for coronavirus. His assistant joins me next.
And a father defies in order to stay at home after his daughter has tested positive raising serious questions about how to keep this virus from spreading. How do you make people stay home?
And two lawmakers including Senator Ted Cruz are also under self- quarantine today after interacting with another man with the virus. What does this mean for Washington? Members of Congress?
You're watching CNN. I'm Brooke Baldwin. We will be right back.
BALDWIN: We are back. You're watching CNN. I'm Brooke Baldwin. An Episcopalian priest has become the first confirmed case of
coronavirus in the nation's capital. Washington, D.C. Mayor today called Reverend Timothy Cole patient one.
She is now directing hundreds of congregants over at Christ Church Georgetown to self-quarantine.
(BEGIN VIDEO CLIP)
MAYOR MURIEL BOWSER, WASHINGTON, D.C.: And as of late last night, D.C. Health is recommending that anyone who visited Christ Church Georgetown, either on February 24th or between February 28th and March 3rd, self-quarantine themselves at home for 14 days since the last time they visited the church.
All of the situations we've been talking about today involve self- quarantine. So it's a recommendation from D.O.H. that we expect people to follow.
(END VIDEO CLIP)
BALDWIN: Reverend Crystal Hardin is the Assistant to the Rector. Reverend Hardin, thank you so much for joining me.
REV. CRYSTAL HARDIN, ASSISTANT TO EPISCOPALIAN PRIEST WHO TESTED POSITIVE FOR CORONAVIRUS: Thank you for having me.
BALDWIN: So first things first, how is Reverend Cole feeling?
HARDIN: He is currently in stable condition and seems to be in good spirits. So I think that he is holding steady and doing well.
BALDWIN: And does he have any idea how he got it?
HARDIN: I do not believe that he does. I think that they are still working those channels and trying to figure out how he may have come into contact with the virus.
BALDWIN: And how about you, Reverend? How are you? Have you been tested?
HARDIN: So I have not been tested. I am in self-quarantine at my home? I was told that they didn't want to test me until I showed symptoms, if I showed symptoms, and so far I have absolutely no symptoms. I feel in good health.
I actually haven't been in contact with Father Tim since last Tuesday night. So at this point, things are looking fine for me.
BALDWIN: crossing our fingers for you, hoping and wishing you absolutely the best health. I'm wondering about Father Tim because, you know, you think, a church, I think a lot of, you know, kissing babies and shaking hands and sharing communion. I'm just -- you know -- which we appreciate. Right?
But at the same time, I'm just wondering, you know, can you describe the physical interactions he has had over the last couple of weeks?
HARDIN: Sure. So, yes, you know, we are a church and we are a very friendly community, a very loving community. And, you know, there are sort of built in practices to our liturgy that we -- that we love and hold dear that actually do involve physical contact. So that is all true.
Father Tim was, you know, aware that he was sort of recovering from a cold and so he definitely was taking his own precautions.
And also, as well as knowing that this coronavirus was probably coming our way. In general, we've been following guidance given to us by our diocese and the guidance at the C.D.C. about hand washing and limiting physical contact.
So we have been aware of it and last Sunday in particular -- the last Sunday that the church was operational, we followed those guidelines.
And so, you know, I think that we did the best that we could under the circumstances and Father Tim was obviously doing the best that he could as well.
BALDWIN: Final question for you because I can only imagine how many texts and phone calls you've been receiving, so, just taking this opportunity, what is your message to congregants who may be a little worried?
HARDIN: Sure. So yes, I've spoken with many congregants. Again, we have such a lovely community. They have been very supportive and encouraging and have reached out to me with their own concerns, but also just saying, we know that your -- we know what you're going through. Hang in there. We're here for you.
And so, you know, this is where our church community and the greater community shines. We've had so many neighboring churches, Episcopalian Churches from across the United States who contacted me and they have just been so incredibly generous with their support, and I can't thank them enough.
So I would say for congregants, read the guidelines, follow them. I know that right now, we've spoken with most of our parishioners and all seem to be following guidelines, self-quarantining, no one as of yet, appears to have symptoms, and so we're just we're keeping in contact with them and telling them to do what they do best, which is to take care of themselves and love their neighbors.
Check on those most vulnerable. You know, make sure that we're getting the word out and just keeping the faith because God is with us, even in the midst of this is. It is where honestly, God's presence --
BALDWIN: Love your neighbor. Just bring the Purell. Reverend Hardin.
HARDIN: That's right. Stay at home. Love your neighbors from home.
BALDWIN: Yes. Love your neighbor from home. Reverend Hardin, I appreciate you. Thank you very much.
HARDIN: Thank you, I appreciate it.
BALDWIN: A father is under fire for denying a self-quarantine order after his daughter test positive for the virus and now he may have put other parents and other children at risk.
We are also keeping an eye on that cruise ship is it approaches that port in Oakland, California. At least 21 people on board had tested positive for coronavirus. It is set to dock at any moment.