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Police Say, Woman in Critical Condition After Stabbing Near U.C. Davis; Treasury Secretary Warns U.S. Could Run Out of Cash by June 1; Late-Night Hosts Speak Out in Support of Striking Writers. Aired 10-10:30a ET

Aired May 02, 2023 - 10:00   ET

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

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[10:00:00]

KATE BOLDUAN, CNN ANCHOR: Right now, students and staff at U.C. Davis, they are on high alert after three stabbing attacks near the campus, two of the victims have died, the latest on the search for a suspect.

JOHN BERMAN, CNN ANCHOR: More than 11,000 Hollywood writers now on strike after their union and the studios could not make a deal. How long this could last and what it means for the shows that you love.

SARA SIDNER, CNN ANCHOR: And the treasury secretary is warning the U.S. could default on its debt as soon as June 1st. Will a meeting between President Biden, House Speaker Kevin McCarthy lead to a deal finally? We are following these major developing stories and many more are all coming in right here to CNN News Central.

BOLDUAN: Police have now lifted a shelter in place notice for the U.C. Davis community, but the danger remains this morning still after a string of stabbings near campus. And this hour, we are getting new details about the latest attack. It happened late last night. And police say a woman is now in critical condition after being stabbed. This comes after a 50-year-old man was found dead last Thursday in a park about a mile-and-a-half from campus. Then on Saturday, a U.C. Davis student was stabbed to death at another park. Police have made no arrests or named any suspects.

CNN's Nick Watt, he is following the story and joining us now. Nick, what are police saying about this now?

NICK WATT, CNN NATIONAL CORRESPONDENT: Well, Kate, as you say, the danger remains. The police said that they have lifted that shelter in place order after, quote, officers have concluded their detailed search of Downtown Davis and were not able to locate the suspect. They're talking about the suspect in that stabbing just before Monday night, a woman said that she was stabbed through her tent in a transient camp. She is in the hospital in critical condition.

The suspect, police say, is a light-skinned man with curly hair wearing black Adidas pants and brown backpack. This rash of stabbings has really knocked the city of Davis. This place would normally expect maybe two murders in a whole year. They have had three stabbings, two dead in under a single week. The two people dead, David Breaux, 50 years old, apparently well-known around town, was an activist, pushed his message of peace, love and compassion to anyone who would listen. He was found dead Thursday in the city park. Then a 20-year-old computer science student Karim Abou Najm was stabbed to death, riding his bicycle through a park on his way home Saturday night after an awards ceremony.

Here is what his father had to say about his now dead son.

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MAJDI ABOU NAJM, SON STABBED TO DEATH NEAR U.C. DAVIS: He was just six weeks away from graduating. This was his last quarter. He was so proud and so happy and so thankful. He said, thanks, mom and dad, you paid all of my tuition. You did it.

(END VIDEO CLIP)

WATT: And he said that the family moved to California from Lebanon in 2018, hoping to find a place of safety. Now in Davis, kids are scared to go to class, scared to leave their homes while a murderer or murderers remain at large. And police are not officially connecting these incidents but they say that there are many things in common. The attacks were brutal and the suspect used a knife. Kate?

BOLDUAN: All right. Let's see what happens with this one today, and they are now searching for a suspect and they don't, as we know now, have any leads. Nick, thank you. John?

BERMAN: All right. Thanks, Kate.

We're joined now by former FBI Deputy Director Andrew McCabe. Andy, nice to see you. They have lifted the shelter in place order there. What does that tell you about what they think of the threat environment?

ANDREW MCCABE, CNN LAW ENFORCEMENT ANALYST: Well, John, it tells me that they have limited information with which to really focus the location of their investigation. A shelter in place is typically only enacted in a very specific location when you know that you have an offender on the loose committing crimes or, you know, hurting people.

[10:05:05]

Right now, they have got three separate crime scenes. We don't know if it is the same perpetrator, but they are spread out across maybe two miles or more across the city of Davis. You have three victims that are very, very differently described, a 50-year-old male, a 20-year- old male and then, of course, a female from overnight.

So, they are in a tough spot to maintain a shelter in place. They essentially have to spread out across the city with very little to work with. They (INAUDIBLE) better for the police to have the public that's circulating, that understands the description of this offender and might be able to provide them with some leads.

BERMAN: So, the FBI was called in pretty quickly and has been assisting. Is there anything to read into that?

MCCABE: Only the fact that the local police are somewhat desperate for investigative leads at this point. The FBI is always a great resource to bring in on these issues of kind of the manhunt sort of investigations, the times when you are really trying to identify a suspect. There are (INAUDIBLE) things the bureau can bring in terms of logistical and just human resources.

One of the primary areas of investigation I would expect in this case would be the location and acquisition and analysis of video capture. So, you have two of these occurred parks one in a different location in the city. You might have videos that captured people coming and going from those locations at various times. The bureau is particularly good at collecting those videos and analyzing them in a way that can point you towards a particular suspect.

We've also got behavioral science folks who can try to put together possible sketches of who might be involved in this sort of activity based upon the circumstances that we know from the three crime scenes. So there's a lot of ways that the FBI can help here.

BERMAN: What can the law enforcement do now? The basic question is what now? Just flood the zone with people on the streets? And what is the message -- should be the message to the public?

MCCABE: Well, first off, the message to the public should be that this person is armed and extremely dangerous. If you see anyone matching that description, stay away.

The second message is get that description out so people can protect themselves and also so they can contact the police when they see people who meet the description or maybe it reminds them of something that they saw back around the time that these offenses were committed. So, you establish that kind of the crowd sourcing of investigative leads. You really want all of the information pouring in as quickly as possible.

And then finally, just, obviously, see something, say something, but keep your wits about you. You have a very dangerous person who seems to have struck out randomly and in a very violent way against three very different victims. I think the people of the city of Davis are rightly very concerned right now.

BERMAN: Andrew McCabe, I appreciate your help on this. Thank you very much. Sara?

SIDNER: Severe hardship to American families harm, our global leadership position, raise questions about our ability to defend our national security interests. That is just a taste of what Treasury Secretary Yellen is warning will happen if America defaults on its debt, something she now says could happen as early as June 1st if Congress fails to increase the debt ceiling. The accelerated timetable increases pressure on President Biden and House Speaker Kevin McCarthy to reach a deal. The two men have agreed to meet one week from today.

CNN's Manu Raja is live on Capitol Hill with more. Manu, what are you hearing this morning about the debt ceiling?

MANU RAJU, CNN CHIEF CONGRESSIONAL CORRESPONDENT: Well, lawmakers are painting a rather grim picture of the possibility of getting a deal to avoid the nation's first ever default just in a matter of weeks, because Democrats and Republicans are on completely opposite sides of how this issue must be resolve this and the negotiations have yet to even take place.

We do expect a meeting to occur next week in the White House, President Biden inviting all four congressional leaders to the White House. Kevin McCarthy has accepted that invitation. But they start from a place, complete opposite sides. Republicans are making very clear there must be spending cuts, significant spending cuts attached to raising the national debt limit. Democrats on the opposite side, said that should not even be part of the discussion, which should be a clean debt ceiling increase, without any conditions whatsoever.

And despite this new warning from Janet Yellen, that there could be default by June 1st, earlier than most lawmakers expected, not much has changed.

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RAJU: Do you see any situation where Senate Republicans would come in and try to cut a deal here Democrats to avoid a default if the White House cannot get a deal with McCarthy?

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SEN. KEVIN CRAMER (R-ND): I don't. I think I just don't. I think Senate Republicans are convicted to the point that this is between the speaker and the president, and without them, there is nothing to talk about.

RAJU: If they don't get a deal, then what?

CRAMER: Well, then shame on Joe Biden for being the president that led the country into default.

UNIDENTIFIED MALE: I think it is really dangerous for the country to tie this to paying the country's debt that we have already incurred. I don't care who the administration is, whatever it is, this should not be part of it.

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RAJU: And the math is just a challenge here in the United States Senate. If the Democrats would try to move a debt creel increase to avoid the default, not include any conditions, they would be short of the 60 votes needed to overcome a filibuster attempt. They have 51 seats. Nine Republican senators would have to break ranks. The number two Senate Republican, John Thune, told me simply that would not happen in this -- any deal, and McCarthy's explicit blessing in order to get there. And also Republicans making clear they are simply not going to undercut Kevin McCarthy's position.

McCarthy himself making clear for months, including yesterday, that they will simply not just raise the national debt t limit, as the White House has insisted. So, how this gets resolved is anyone's question, but not question about this. This is the biggest fear of a potential default since 2011. That's when the time that the United States' credit was downgraded. Ultimately, they did reach a deal to raise the debt limit. Can they do it here? It's anyone's guess. Sara?

SIDNER: Manu Raju, thank you so much. I appreciate it. Kate?

BOLDUAN: Ahead on CNN News Central, an unspeakable tragedy in Oklahoma. Seven bodies have been discovered, among them two teenage girls who have been missing.

Plus, Hollywood writers, they are on strike right now after no deal was reached with studio and network executives over how to get paid in the era of streaming. T.V. viewers brace for impact.

And later, it was supposed to be the happiest day of Samantha Miller's life. But hours after she exchanged vows, the bride was struck and killed by an alleged drunk driver. A live report is coming up.

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BERMAN: On the radar this morning, authorities in Oklahoma say the remains of two missing teenagers are believed to be among seven bodies found on the property of a convicted sex offender. That sex offender, Jesse McFadden, was due to in court on the same day authorities made the discovery. His body was also found. The missing teens were last seen with him early Monday.

Maryland Senator Ben Cardin says he will not seek re-election to a fourth term next year. That will likely set up competitive primaries in the Democratic stronghold state. Cardin is the third Senate Democrat to announce retirement ahead of 2024.

A close call for a man and his young son off of the coast of Anna Maria Island in Florida.

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UNIDENTIFIED MALE: All right, buddy. You can climb up, okay? Dad, hold on, okay.

I got him. Come here. Now, give me this.

You are fine. You are okay, buddy.

UNIDENTIFIED MALE: He is coming up. He is coming up. I got you. I got you.

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BERMAN: They were swimming when they got swept away by a powerful rip current. You've got to be so careful. Sheriff's marine deputies spotted them and pulled them to safety. Sara?

SIDNER: This is just into CNN. The Labor Department has released what's called the jolts report from March. It details job openings, new hires, layoffs and separation. And it's the last major piece of data to drop before the Federal Reserve makes its latest policy move. And you know what that could mean.

CNN Chief Business Correspondent Christine Romans is here with more. That doesn't look good.

CHRISTINE ROMANS, CNN CHIEF BUSINESS CORRESPONDENT: No, a little bit of worry this morning ahead of that Fed meeting.

SIDNER: What does the report say?

ROMANS: So, we know that there a lot of job openings. When you talk to business owners, they've been saying, we can't find the workers.

So, before COVID, there were 7.2 million job openings. Last month, there were 9.6 million. That's still a big number, but the smallest in a couple of years. So, that is maybe some relief for the Fed that all of those rate hikes are taking a little bit of the froth out of the labor market, and the job market is getting a little bit more balanced.

Where do we see the fewer job openings? In transportation warehouses and utilities, professional and business services, health care services, these are places where you didn't have quite so many job openings this time around. And, again, that is a good sign. The labor market is not overheating. Bosses have been just frantic to try to get enough workers. This shows some relief on that front. So, that could mean the Fed's work, all those interest rate hikes are actually working in the economy to cool it off a little bit.

SIDNER: Inflation has come down, interest rate hikes might not go up?

ROMANS: I think we're going to look at hike and hold this week, hike another 25 basis points and then hold there to see if all that medicine is working in the economy.

SIDNER: It sounds like a football metaphor. Christine Romans, thank you for coming.

ROMANS: Or a T.V. banner.

SIDNER: It could be. Kate?

BOLDUAN: The Biden administration is facing some questions this morning after a New Jersey mayor who is Muslim was blocked from attending a White House celebration to mark the end of Ramadan. The mayor from Prospect Park, New Jersey, says that he was invited to the event two weeks ago as part of a group of Muslim-American elected officials from across the country.

CNN's Arlette Saenz is live at the White House. She has more information on this. And we know that this mayor spoke to CNN This Morning. What is he saying?

ARLETTE SAENZ, CNN WHITE HOUSE CORRESPONDENT: Well, Kate, Mayor Mohamed Khairullah says he has still not received an explanation from the White House or Secret Service for why he was denied entry into the Eid celebration here at the White House yesterday. But he has also told CNN, the mayor who is Muslim, that he believes that racial profiling prevented him from attending this event.

Now, typically, when someone is invited to the White House, they have to submit their credentialing information to a system that's known as the WAVES system here.

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Secret Service then evaluates it. And the mayor says that he submitted the information a few days ago, but it was not until 30 minutes before he was set to arrive that he learned he could not attend the event. Take a listen to a bit more of what he had to say this morning on CNN This Morning.

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MAYOR MOHAMED KHAIRULLAH, PROSPECT PARK, NEW JERSEY: At this point, we still did not receive any explanation or what happened as I received that call as I was entered D.C. And I was told by a staffer from the White House social events department that the Secret Service advised them that I cannot attend the event, and that the Secret Service did not provide them with an explanation.

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SAENZ: Now, the White House has not comment odd on this matter and referred all questions to the Secret Service. The chief communications officer for the Secret Service, Anthony Guglielmi, released a statement where he said, quote, while we regret any inconvenience this may have caused, unfortunately, we are not able to comment further on the specific protective means and methods used to conduct our security operations at the White House.

Of course, we are pressing the Secret Service for more details about what this process exactly entailed, but you have heard some condemnation from outside groups, including the New Jersey chapter of the Council of American-Islamic Relations. I want to read you a quote from them where they said that this was an affront to the Muslim community, someone said that a well-respected Muslim leader would effectively be disinvited from the White House Eid celebration just hours ahead of time is wholly unacceptable and insulting.

So, certainly, there are still many remaining questions about how exactly this entire situation shook out, and we should be hearing a bit more from the mayor later today when he attends a press conference in New Jersey.

BOLDUAN: Yes, unclear, though, if we are going to hear anymore explanation from the White House about this given that statement that you just had. Arlette, thank you. John?

BERMAN: Thanks, Kate.

A prominent Palestinian imprisoned in Israel dies after an 87-day hunger strike. Palestinians call it an assassination. Israel has a different view.

The writers who bring us so many great T.V. shows are now strike. What they want before agreeing to leave the picket line and what this means for your favorite shows.

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SIDNER: In California, the U.C. Davis community is on high alert this morning as authorities investigate a third stabbing near the university. Last night, a woman was attacked and stabbed multiple times at a transient camp near the campus. She remains in critical condition this morning. It follows two deadly stabbings since Thursday. The police have made no arrests or named any suspects as of this morning. I am now tossing this back to John.

BERMAN: Thank you very much. More than 11,000 members of the Writers' Guild of America are now on strike this morning, this after no deal was reached between union members and the studios before midnight. At the heart of negotiations is compensation for streaming shows.

This is the first major work stop in Hollywood in 15 years. The 2007 strike lasted 100 days and caused an estimated $2 billion in economic damage. Several of late night hosts spoke out in solidarity with the union last night, including Stephen Colbert, who took a moment to thank his writing staff.

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STEPHEN COLBERT, HOST, THE LATE SHOW WITH STEPHEN COLBERT: These people right here, these -- hello -- these are our writers. These people, these are our writers, and I will stick myself in there because I am WGA, too, and they are so important to the show. They write the monologue, the meanwhile, the cold open. And without these people, this show would be called the late show with a guy rambling about the Lord of the Rings and boats for an hour. But I also think that the writers' demands are not unreasonable.

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BERMAN: CNN's Oliver Darcy is with us now. Oliver, we mentioned the first strikes since 2007. This is way different environment in the entertainment industry.

OLIVER DARCY, CNN SENIOR MEDIA REPORTER: Yes, this is really about the future of the entertainment industry, and the writers are seeking to get some reassurances from those studios that the changing industry is going to be taken into account with their new contracts.

So, there are a few things here at play. One is the writers want some assurance that the artificial intelligence, which has really boiled up to become a major disruptor in the industry, that they are going to take them to account. So, they want some guidelines that, for instance, artificial intelligence is not going to be used by studios to start basically writing shows.

And then it's also about streaming. This is the big point here, is there are a number of things about streaming that has re-changed the industry that they want to take into account. For one, the residual fees, and these are the fees that writers earn after a show, let's say, like a Lost or House airs and then it re-airs and re-airs and re- airs on broadcast. Writers would earn these residual fees when that would happen.

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They say that on a per-episode basis, these fees have gone down in the era of streaming.