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Trump and His Allies Prepare to Retake Power, Carry Out His Agenda; Harris Concedes Election, But Not Fight That Fueled This Campaign; What Happens to Trump Legal Cases Now. Aired 7-7:30a ET

Aired November 07, 2024 - 07:00   ET

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

[07:00:00]

KATE BOLDUAN, CNN ANCHOR: President-elect Trump is ready to move and move quickly, especially when it comes to who's going with him when he heads back to Washington, even announcing some key positions within days.

SARA SIDNER, CNN ANCHOR: This morning, are all Trump's major legal troubles over? Special Counsel Jack Smith is in talks with DOJ leaders to wind down the two federal cases against Trump. What the president- elect's victory means to all his pending legal woes.

JOHN BERMAN, CNN ANCHOR: And Wall Street on standby. A major decision on a rate cut from the Federal Reserve this morning. How proposed Trump tariffs could impact their decision.

I'm John Berman with Kate Bolduan and Sarah Sidner. This is CNN News Central.

BOLDUAN: Happening now, quite a lot, a lot of phone calls, a lot of vetting, a lot of jockeying for position, and a lot of speculation. President-elect Donald Trump is preparing to head back to the White House and back into power. It is day two of Trump's 2025 transition and the political laundry list of things to do is right now quite long.

This morning, new cabinet names are being floated with almost everyone in the world wondering what will become of Donald Trump's day one promises, his legal cases and power in Congress. Balance of power in the House, still up for grabs. Will Republicans officially win enough outstanding races today? Will Republicans maintain power in the House, or something else? Will Democrats eke it out? We will see.

Alayna Treene leads us off from outside Mar-a-Lago at this hour. Alayna, Trump transition 2.0 now in full swing, you have a lot of new reporting coming out about what's being considered. What are you hearing?

ALAYNA TREENE, CNN REPORTER: That's right, we do. And look this is really ramped up in just the 24 hours or so since the race was called for Donald Trump. And, look, they have had discussions about who could potentially serve in certain roles before. It is very normal, obviously, for a presidential candidate, particularly in the general election, to have these conversations.

But I will say that prior to the election, Donald Trump has not really wanted to hear a lot of the names or make any decisions regarding a potential transition and who he would fill in key cabinet roles and in his White House and administration, and that's because he was very superstitious.

However, really since they saw that the race was going Donald Trump's way, even before it was called, you have heard many people, allies to Donald Trump, those who are currently working within his inner orbit, trying to pitch themselves for these key roles.

Now, I want to talk through the ones that we know that Donald Trump cares the most about. First of all, I think chief of staff, obviously, who is he going to surround himself with, really, his top person next to him in the White House. A lot of people have really pushed Susie Wiles, his campaign manager, for that role. However, I'm also told that some people have been telling Trump and others close to him that maybe they think she could serve better in a different role similar to what we saw Kellyanne Conway, his former 2016 campaign manager do in his first administration, which was take on some sort of counselor and senior advisor role.

We've also heard people like a Russ Vought be pitched. He's someone who worked as Donald Trump's former budget director but also ran the massive -- it was called the Center for Renewing America Policy Shop outside after the Trump administration had ended. Donald Trump has remained very close with him, and a couple other names being floated, like Brooke Rawlins, who runs the America First Policy Institute, and Bob Lighthizer, his former trade representative.

Now, another big name and another big role that we know Donald Trump wants to fill, that is attorney general. Donald Trump has said before that one of the greatest regrets that he had in his first administration was not filling his attorney general positions as well as he did. Remember, he had Jeff Sessions. He didn't make it in the end. Bill Barr was someone that him and Donald Trump really, you know, hit heads with, butted heads with and now is criticized greatly.

Some names we're hearing for that, Senator Mike Lee of Utah. We're also hearing Ken Paxton, the Texas attorney general who, like Trump, has also been impeached. We've also heard Matt Whitaker. He had served in an acting capacity in the attorney general.

Some other names floating around, and, again, I need to be clear here, Kate, that a lot of these names, this is very early on in the process.

[07:05:02]

They're really having these informal discussions with Donald Trump, but also the people they know that will be helping make these decisions.

BOLDUAN: And there are also other people that seem very clearly poised to be joining the administration at the same time, right? TREENE: There are. There's definitely some sense within Donald Trump's inner circle and from Trump himself, where he wants to reward the people who have been loyal to him, particularly over this last final stretch, the people who stayed with him and continue to support him following his departure from the White House, and then in the lead up to his campaign.

Names I'm hearing like that are people like Steve Witkoff, one of his major, major donors, but also a close friend of his. Very unclear what type of role he would serve, but I've been told that Donald Trump has said he wants someone like Witkoff, who has a vast business experience, to have some sort of role.

We also, of course, know that Donald Trump has consistently touted wanting to have Elon Musk and RFK Jr. serving some role as well. Elon Musk has really committed himself to this government efficiency program. He's expected to do something like that, even though Donald Trump has admitted that he would like him for a certain secretary position. He has said that Musk is not interested in that.

RFK Jr., for his part, is probably going to have some sort of role in health care. But we are told that as of now, a lot of people don't think he'll actually be the pick for the secretary of Health and Human Services. Kate?

BOLDUAN: Alayna Treene, thanks, Alayna. Sara?

SIDNER: All right. This morning, President Biden will address the nation for the first time since Trump's landslide win.

Let's bring in CNN White House correspondent Arlette Saenz. We heard from Harris conceding the race and President Biden did send out a statement, but we're going to hear from him today. What are we expecting?

ARLETTE SAENZ, CNN WHITE HOUSE CORRESPONDENT: Well, Sara, this speech will really give President Biden the opportunity to reflect publicly for the first time on the results of this election, as voters decided to send former President Donald Trump back to the White House. The president is likely to talk about the need for the country to move forward. We heard from him yesterday in a statement where he praised Vice President Kamala Harris, saying that she ran a historic campaign under extraordinary circumstances. But certainly, this will give Biden the first opportunity to really present his thoughts to the American people.

Now, last night, I'm told that the president did speak by phone with his staff here at the White House, where he had a message that they should be proud of what they have accomplished. The president, I'm told in this call, had said, quote, while I am sure you're all feeling a variety of emotion today. I hope there's one emotion you didn't lose sight of. That's pride, pride in everything we've accomplished. So, this could also be a chance for President Biden to tick through some of the initiatives that he believes could have lasting impact in this country. But we're told that the president will also have a big focus in his speech about the transition and the path forward. Advisers have said that the president is intent on ensuring there's a peaceful transfer of power, something that was not afforded to him back in 2020 when Trump was in the White House. President Biden has already spoken by phone with Trump to congratulate him and has invited him here to the White House. The two sides are working on trying to set a date for that meeting.

But another big question heading into the speech is whether President Biden will acknowledge or try to address what exactly went wrong for Democrats here. There has been a lot of soul searching, a lot of questions about strategy over the past 48 hours within the Democratic Party. And there's been a lot of blame heading towards President Biden's way. There are some who believe he should not have sought a second term to begin with. Of course, there are his own advisers who may feel otherwise.

But, certainly, this is something that Biden will have to face going forward at a time when he's facing this new reality that the man that he had once defeated is set to return for another four years here at the White House.

SIDNER: What are the Biden administration's plans? What are they prioritizing in the next couple of months?

SAENZ: Well, in that call with White House staff last night, I'm told White House Chief of Staff Jeff Zients told the team that they still have a lot of work to do over the coming weeks.

One thing that the administration will be focusing on is trying to safeguard some of those key Biden legacy items. They want to get more aid to Ukraine. They're also working to ensure they have rules and implementation for some of the laws that have been passed, things relating to climate and the environment as well as potentially trying to push through some additional judicial nominations.

Now, President Biden next week is set to attend a pair of summits, the G20 and the APEC, which will put him right in front of many of the world leaders who are also grappling now with the future of a Trump presidency. But the Biden team has made clear that they believe they have a lot of work to do in these closing weeks of his administration.

SIDNER: Arlette Saenz from the White House, thank you so much. John?

BERMAN: All right. While I concede this election, I do not concede the fight. The new message from Vice President Harris as questions swirl about what is next for her.

And this morning, we have new details on a potential public health agenda under Donald Trump led by vaccine skeptic RFK Jr.

[07:10:05]

And this morning, Trump's team increasing preparations for the mass detention of immigrants once he takes office. (COMMERCIAL BREAK)

BERMAN: In an emotional concession speech, Vice President Harris called for a peaceful, orderly transition, but vowed to keep fighting.

(BEGIN VIDEO CLIP)

KAMALA HARRIS, U.S. VICE PRESIDENT, DEMOCRATIC PRESIDENTIAL NOMINEE: A fundamental principle of American democracy is that when we lose an election, we accept the results.

While I concede this election, I do not concede the fight that fueled this campaign.

(END VIDEO CLIP)

BERMAN: Harris went on to tell supporters that it is time to roll up our sleeves.

CNN's Eva McKend, who covered the Harris campaign, is with us this morning. Good morning, Eva.

EVA MCKEND, CNN NATIONAL POLITICS CORRESPONDENT: Hi, John. The vice president urging supporters to hold the values that drove her campaign while bracing for the next Trump administration. It was a forward- looking speech where she sought to console her supporters about the direction of the country. But it was on the campaign trail where she often touted her love for Gen Z, and she had a special message for the young people who championed and worked on her campaign. Let's listen.

[07:15:00]

(BEGIN VIDEO CLIP)

HARRIS: To the young people who are watching, it is okay to feel sad and disappointed, but please know it's going to be okay. On the campaign. I would often say when we fight, we win. But here's the thing. Here's the thing. Sometimes the fight takes a while. That doesn't mean we won't win. That doesn't mean we won't win.

(END VIDEO CLIP)

MCKEND: And now the work of the transition begins. December 17th is the Electoral College vote. January 3rd, the new Congress will be seated, but the House Republican, with a Republican-led Senate, as the House continues to be counted. January 6th, the Electoral College votes are counted. Vice President Harris will, in fact, preside over that process. And then, of course, January 20th is the inauguration. John?

BERMAN: All right. Eva McKend, thank you very much for that. Kate?

BOLDUAN: This morning, new report, special counsel Jack Smith is in talks with Justice leadership over the legal cases against now President elect Donald Trump preparing to wind them down.

And Raygun, the viral Olympic break dancer, calling it quits.

(COMMERCIAL BREAK)

[07:20:00]

BOLDUAN: This morning, Special Counsel Jack Smith is in talks with Justice Department leadership about how to now wind down the federal cases that he's been leading against Donald Trump, now preparing to call it quits, really, after investigations that have stretched years.

Smith was first appointed as special counsel in November of 2022 to investigate Trump's efforts to overturn the 2020 election and also his mishandling of classified documents.

CNN's Zach Cohen is tracking this one from Washington. He's joining us now.

Zach, what could happen now to all to these ongoing cases?

ZACHARY COHEN, CNN NATIONAL SECURITY REPORTER: Yes, Kate. Trump has previously said that he would have these two federal cases dismissed once he took office. But we're told that that might not be necessary. He might not have to fire Jack Smith once he's in the White House, as he's briefly, previously claimed.

Smith and the Justice Department are in talks about winding these two cases down before Donald Trump is sworn in. This is something that we did see coming as this case has long been known that it would never go to trial. But now, Jack Smith, with Trump's ability to fire Jack Smith, he is preemptively going to take this case, pack it up, and go home. So, this does look like the end of both those federal cases for Donald Trump.

BOLDUAN: He also has dates on the calendar and some of them soon when it comes to his conviction in New York and what he's facing in Georgia. What happens to those?

COHEN: Yes, Kate. So, these are two both state level cases that Donald Trump does not have power over, but we're told that both these cases do remain uncertain. The future of them remains uncertain. In Georgia, that state level case revolves around the 2020 election and Donald Trump's alleged efforts to overturn his previous election loss.

That case has been on hold for months now as an appeals court is considering whether or not to disqualify Fulton County D.A. Fani Willis. There will be a hearing later this year on that issue and whether or not Fani Willis is disqualified could impact the future of this case. If she is removed, we're told that it's unlikely any other prosecutor will pick this up.

And even if she's allowed to remain on the case we're told that it's unclear if a judge will allow proceedings to continue while Donald Trump is president. So, this case really does look like it's going to remain in limbo, at least while Donald Trump is in office.

And in the hush money case, where Donald Trump was set to be sentenced later this month, Donald Trump's team is going to argue that that should not happen, basically saying that a president-elect cannot be sentenced. So, all these criminal cases impacted by that strategy by Trump's team, the delay, delay, delay, clearly, that's been successful.

BOLDUAN: Zach Cohen, thank you. Sara?

SIDNER: All right. What a former Trump aide who quit his first administration in protest is now urging Republicans to do now that Trump is the president-elect.

And an interest rate cut by the Fed could be imminent. But will new concerns about Donald Trump's economic proposals complicate their plan?

(COMMERCIAL BREAK)

[07:25:00]

SIDNER: New this morning, people with credit card debt or those looking to buy a home as well as investors are standing by to see if the Federal Reserve issues another rate cut.

During his campaign, Donald Trump repeatedly attacked the cost of living and promised to attack high prices and return inflation levels to where they were the last time he was in the White House. But experts say some of those promises could make inflation worse, depending on if he carries out some of his plans.

CNN's Matt Egan is joining me now with reporting on this morning. Matt, what can you tell us?

MATT EGAN, CNN REPORTER: Well, Sara, it looks like high inflation really played a central role in returning Donald Trump to the White House. Voters made clear that they are fed up, fed up with high prices at the supermarket, with high rates for car insurance, everything is else. A CNN exit poll found that about two thirds of Americans described the economy as not good or poor. Just 31 percent said excellent or good. And among those who gave the economy poor marks, they broke heavily in favor of Trump.

Now, we know that the rate of inflation is down. That's what economists and the Fed look at, but the level of prices is not. And that's what consumers think about. Each month, the typical U.S. household has to spend about $1,100 more than they did at the start of the Biden administration to buy the same basket of goods and services. Wages are up but not enough for far too many people.

Now, Trump has promised to confront inflation head on by really shaking things up. He's called for cutting red tape, tax cuts, mass deportations, and massive tariffs. The problem, though, is that a lot of mainstream economists, they warn that this Trump agenda is inflationary, perhaps very inflationary. In particular, deporting millions of undocumented workers, that's something that could end up depriving some industries of workers, causing them to raise wages and prices. And, yes, tariffs. I mean, tariffs are taxes on imports and often companies pass those costs along to consumers. The Peterson Institute has found that the typical U.S. household would face extra costs of at least $2,600 due to the Trump tariffs. And that doesn't even include likely retaliation from other countries.

Now, it's too early to know how many of Trump's campaign promises will actually become a reality. Perhaps he doesn't really plan to put tariffs on all $3 trillion of U.S. imports. But, Sara, how this plays out in the coming months will be crucial, because we know that inflation really haunted Vice President Harris and President Biden, and it could cost Trump too if he's not careful here.

SIDNER: What are we expecting, though, from the Fed? A lot of people watching that, looking at whether or not maybe they can buy a house if it goes down, or maybe their credit card debt goes down a bit.

[07:30:06]

What are you hearing?

EGAN: Well, Sara.