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U.S. Stocks Rebound After Rocky Week Fueled by Trade War; Senate Faces Midnight Deadline to Avoid Government Shutdown; Angry House Dems Slam Schumer's Support for GOP Spending Bill; Mark Carney Sworn in as Canada's New Prime Minister. Aired 2-2:30p ET

Aired March 14, 2025 - 14:00   ET

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

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[14:00:25]

BRIANNA KEILAR, CNN CO-ANCHOR OF "CNN NEWS CENTRAL": An overall rough week for investors. Stocks are bouncing back a bit today. The markets could end up having their worst losing streak though in months, a sell off caused by uncertainty around Trump's escalating trade war.

BORIS SANCHEZ, CNN CO-ANCHOR OF "CNN NEWS CENTRAL": The race to avoid a government shutdown at midnight is on. The Senate set to vote this afternoon on a Republican spending bill to keep the government open. Democratic leader Chuck Schumer announced he will now support the bill, but will enough of his colleagues follow his lead and get the plan passed? Plus, a milestone on the measles outbreak, in just three months, the U.S. has confirmed more infections this year than in awe of last year. We're following these major developing stories and many more, all coming in right here with "CNN News Central."

KEILAR: Right now, as you can see, U.S. stocks climbing after a pretty chaotic week fueled by President Trump's erratic global trade war. Wall Street's rebound happening as Congress appears poised to avert a costly government shutdown. CNN Business and Politics Correspondent Vanessa Yurkevich is with us. Vanessa, give us the latest.

VANESSA YURKEVICH, CNN BUSINESS AND POLITICS CORRESPONDENT: Yeah, you're seeing it right there. Markets really clawing back some of the losses from much of the week because it appears that we may be able to avert a government shutdown before the midnight deadline. But as you mentioned, much of the week, stocks were in the red, markets in the red, the S&P and Nasdaq on pace to have it -- have their worst month since 2022 and the Dow on track to have its worst month since 2023.

And this is all in the midst of Trump's trade war. If you just look at how markets have done since he was inaugurated, you can just see this steep drop off since what people were calling the Trump bump in December after he won the election. You see it right there on your screen, that very steep drop off, and then you -- if you look at it compared to his first term, it's going in the opposite direction.

First term, we had really, really strong stock market over those four years, but if you compare it to what you've seen just in the past couple weeks, just look at that line on the left-hand side of your screen there dropping off the screen practically. But it's important to note that there are conversations about a recession happening right now. President Trump was asked about this. At first, he said he couldn't rule it out, but then he said he doesn't -- he doesn't believe that the economy is headed for recession.

Goldman Sachs and JPMorgan though have revised their recession outlooks up to 20 percent and 40 percent, respectively. We also heard from Larry Summers, former U.S. Treasury Secretary, who actually had higher odds. Listen to what he had to say.

(BEGIN VIDEO CLIP)

LARRY SUMMERS, FORMER UNITED STATES SECRETARY OF THE TREASURY UNDER PRESIDENT CLINTON: I thought at the beginning of the year, before the president was inaugurated, that the risks of recession were 10 percent or 15 percent. I now think they're very close to half and rising every day. If we stay on the current policy path with the current policy approach, I think the odds of recession get to be very high.

(END VIDEO CLIP)

YURKEVICH: And just to remind our viewers that in 2022, many economists were predicting a recession that didn't end up coming to fruition. And a recession is two quarters of GDP growth that are in the negative. Obviously, we are waiting to see the readout from even just this first quarter, but we know, Brianna, that the Atlanta Fed projected that GDP would contract this quarter by 2.4 percent. So, some flashing signals that a recession could be on the horizon. However, we are really not there just yet, Brianna.

KEILAR: All right, Vanessa Yurkevich, thank you for that. Boris?

SANCHEZ: Now to Capitol Hill where we are watching for a key vote in the Senate and Democrats facing a tough decision, support a Republican spending plan they don't like or let the government shut down. They have until midnight tonight to figure it all out, or else the money will begin drying up. The Senate Minority Leader Chuck Schumer says he will be voting yes in a decision that's sparking anger and division within his own party. He says even though he doesn't like the measure, it's the best of two bad options.

The question now is, how will other Democrats vote? Will there be enough to get this thing passed? CNN Congressional Correspondent Lauren Fox's live for us on Capitol Hill. Lauren, what do the numbers look like?

[14:05:00]

LAUREN FOX, CNN CONGRESSIONAL CORRESPONDENT: Yeah, Boris, we are watching so closely this hour, specifically because this is when a procedural vote is going to take place on the Senate floor, and this is when you need at least eight Democrats to vote with Republicans to help advance this legislation. That's not the final vote, but it's the one that really counts today because it is the one that Democrats have to participate in if Congress is going to avert a government shutdown. As you noted, Chuck Schumer announced last night that he was going to support moving forward with this piece of legislation, but a lot of Democrats have already come out opposed to it, and that means that the view and number of Democrats that could possibly vote yes right now is sitting right around a dozen, actually fewer than a dozen. That gives you a sense of how tight this vote is going to be, and this is going to be highly watched, given the fact that there's so much progressive and base angst right now at Chuck Schumer.

I mean, lawmakers have been hearing from their constituents. Yesterday, one Senate office got more than 4,000 phone calls with constituents and other callers arguing that this Senator needed to vote against the spending bill. So, that just gives you a sense of how animated the base is at this moment and it really comes as House Democrats have largely also been unified against this piece of legislation and some have been highly critical of Schumer's decision yesterday. Another piece of frustration among rank and file Democrats is that everyone knew that this deadline was coming and in some ways, there's just frustration with the fact that Democrats in the Senate weren't ready to make a decision sooner than they did yesterday.

So, Chuck Schumer has announced that he is going to be supporting this, but whether or not party members vote with him, that's the big question. Boris?

SANCHEZ: We will be watching very closely. Thank you so much, Lauren Fox, for the update. Brianna?

KEILAR: With us now is Democratic Senator Richard Blumenthal of Connecticut. He says he will be voting no on this GOP funding measure, and as I said, you are a no, sir. Schumer is a yes. Does he have enough Democrats to pass this? Or are there enough No's like you to stop the funding bill from proceeding and shut down the government?

SEN. RICHARD BLUMENTHAL, (D-CT): I think it's likely to pass. I'm going to be a very strong no on this Republican funding proposal because it seeds such broad, unwarranted, unbridled discretion to President Trump, in effect creating a slush fund for him. And it slashes key programs like Veterans Healthcare and Community Service for Police and Fire and NIH research on Alzheimer's and cancer. It is a blatantly and strictly partisan Republican proposal barreled through the House without Democratic input, and my only opportunity to participate in this process is the vote I'm going to cast today against a measure that is very deeply harmful to the people of Connecticut and the country.

KEILAR: There is perhaps, I mean we're hearing Majority Leader Thune saying there may be amendment votes ahead of the final passage of the bill, including on a plan that many Democrats have talked about wanting, which is just a 30-day extension. I mean, we should be clear if there is that's -- that's not going to pass. But, Democrats obviously would like the chance to have a messaging vote on that. Do you think that's going to happen? And if it does, does that peel off Democrats? Is that why you're pretty convinced this is going to pass?

BLUMENTHAL: My hope is that we will have an opportunity to vote on a 30-day short-term continuing resolution, which is important because it would enable negotiation, bipartisan talks that were on the verge of success toward a real budget and appropriation law that preserves priorities. And I'm going to be offering not only that amendment, but also champion an amendment that will protect veterans programs from the kinds of cuts, freezes and firings that threaten to cripple veterans healthcare.

I'm the ranking member on the Veterans Affairs Committee, and I've offered legislation that would reverse many of these draconian indiscriminate cuts. I'm hoping for an amendment to be offered, which I will do on that as well, and a vote that will show Republicans are deeply hypocritical on these issues. But Brianna, I'm also prepared for the fight ahead and we need to redouble the fight because on the horizon, Republicans and Donald Trump and Elon Musk are threatening to slash Social Security, which they've called a Ponzi scheme, Medicaid and Medicare, and of course the continuing assault on our veterans.

KEILAR: I have to ask, you guys seem like, as a party there on the Hill, both within the Senate and just more broadly across both chambers, that you're very much in disarray.

[14:10:00]

Our Dana Bash reporting that your colleague, Senator Michael Bennet was very upset in a private meeting this week that he accused Democratic leadership in the Senate of having no strategy, no plan and no message. That was the quote on the spending bill. And then, we just got word that Hakeem Jeffries, Democratic leader in the House, was asked just moments ago if he has confidence in Schumer, and his answer was to say 'next question.' I mean, what do you say to the appearance of this disarray?

BLUMENTHAL: We need to be unified to redouble and triple our efforts in the streets, at town halls. I have held a couple of town halls, tough questions, but I'm not afraid to do those town halls as my Republicans apparently are -- and in the election that is coming literally this fall and the fall afterwards. So, we're going to be fighting against the slide toward tyranny that we see right now happening in real time, inflicting harm on real people, and that kind of unity is going to be tremendously important.

I'm going to be focused on the vote today, but there are tough fights ahead, and I'm voting no on this CR because of the harm it will do. And I think the American people are going to be seeing that harm and it's going to make them angry. And I'm hoping that anger can be translated into changes of policy because my Republican colleagues are going to feel it as well. They need to get some spine.

KEILAR: But in -- I hear -- sir, I hear you on that. But right now, constituents look at your party and they see you fighting each other, and they're looking for that unity that you're talking about, but they're not -- they're not getting it. It's not there. What do you say to those folks who are looking for leaders to be on the same page and to have a clear strategy because they're really -- we're getting clear signs that is not the case right now. BLUMENTHAL: I'll be very blunt, Brianna. Our focus needs to be on fighting those disastrous draconian policies that are inflicting harm on the American people and focusing on Republicans who are complicit or supporting those policies. And it can be the veterans who are suffering because they can't get healthcare or it's delayed or denied, their disability benefits under the PACT Act will be shortchanged and systematically inflicting that kind of harm. And I think we need to come together, no question about it, but also avoid being distracted by some of the kinds of complaints that we hear that may be well- founded about the predicament that we have, but be angry at that predicament and the choice that we have been made to take.

KEILAR: So, where are you placing responsibility for that on, for that sort of, if you guys are distracted --

BLUMENTHAL: That's --

KEILAR: Yeah. Who are you looking to --

BLUMENTHAL: The key question --

KEILAR: -- to be more the -- the key question to be more responsible for turning that around?

BLUMENTHAL: We need to focus on who has foisted this choice, two terrible alternatives on us, Republicans in the House, Republicans in the Senate, and we need to work to avoid that kind of choice in the future.

KEILAR: Do you need more from leadership though to do that?

BLUMENTHAL: We all need to be involved. It needs to engage us all. And I'm going to be talking to my constituents as well as others around the country about how we can come together because, literally, our democracy is at stake. The assault on veterans, on people across the country, and of course, on our courts, on our justice system, we need to avoid obeying in advance to this slide toward autocracy and tyranny.

KEILAR: Senator Blumenthal, thank you so much for being with us. We'll be looking towards the events of the day to see if this does pass.

BLUMENTHAL: Thank you, Brianna.

KEILAR: Thank you. Still to come, President Trump expected to outline his vision on crime and immigration in a speech at the Justice Department next hour. We are live from DOJ headquarters. Plus, for the first time in nearly a decade, Canada has a new prime minister. What it means for the trade war and President Trump's annexation talk. And then later, we are just two and a half months into 2025, but measles infections nationwide have already surpassed the total number of confirmed cases that we saw in all of last year. We have that and much more coming up on "CNN News Central."

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SANCHEZ: In the next hour, President Trump will deliver a rare political speech at the Department of Justice. It'll take place inside a building which pursued criminal investigations and prosecutions against him. Right now, we're monitoring live remarks from Trump's FBI Director Kash Patel at a department that's been shaken by firings, resignations, and dropped cases since Trump returned to the White House.

The White House is referring to today's address, a law and order speech. We're joined now by CNN's Paula Reid, who's at the Justice Department, monitoring these remarks.

[14:20:00]

Paula, what are we expecting to hear as we hear applause behind you from President Trump later today?

PAULA REID, CNN CHIEF LEGAL AFFAIRS CORRESPONDENT: Yeah, so far, FBI Director Kash Patel has gotten a few rounds of applause during his speech. He's effectively serving as the opening act for President Trump who will deliver an address here at 3:00 p.m. Now, it is unusual for the president to come to the Justice Department to give a speech, but I was here a decade ago when President Obama came here to deliver a speech.

What makes President Trump's appearance here, though, a little more significant, is that for much of the past eight years, he has faced federal criminal investigations from this institution. While he was not charged in the Mueller probe, he of course faced dozens of charges after he left office related to allegations. He tried to subvert the 2020 election and then the alleged mishandling of classified documents. And he has made no secret of how upset he is about those investigations.

Now, I will note right now, coming to the stage is his longtime criminal defense attorney and now Deputy Attorney General Todd Blanche. And we know when President Trump is upset about things, he tends to go off script. So the White House is saying this is going to be a speech about restoring law and order in the United States. And you can see, you may not be able to see actually, but there's some signs on the stage, that talk about fighting fentanyl, also some props on stage. These are the intended topics today.

But when the president feels passionately, he will sometimes go off script and we know he feels extremely passionately about how he has been treated by the Justice Department. So we'll be watching very closely today to see what his message is in looking at the crowd. It's a full house here. The Great Hall is filled to capacity. A lot of folks from other DOJ components, like the DEA, the ATF, also other law enforcement agencies, there are some families here, and top justice department officials. But we'll be watching very closely today to see what exactly the message is. Is it one about keeping America safe, or is it going to be about his grievances towards this institution? Boris? SANCHEZ: Paula Reid, live for us at DOJ. Thank you so much for giving us an update there. Again, we're anticipating comments from President Trump in the next hour. We will bring you those remarks live. Stay with "CNN News Central" back after a quick break.

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[14:27:03]

KEILAR: Canada has officially sworn in a new Prime Minister. Mark Carney, a central banker turned politician, took his oath earlier today after the resignation of Canada's longtime leader, Justin Trudeau. Trudeau, who spent more than nine years as Prime Minister, bid farewell and thanked Canadians on X, calling them the best country and the best people on earth. CNN's Paula Newton is here with more on this. So Paula, Carney's background is in finance. It's not in politics, much like Trump's when he first became U.S. president. What kind of leader is he expected to be and how can he handle this current trade crisis?

PAULA NEWTON, CNN CORRESPONDENT: Well, I think in certain levels, in terms of style, much differently than Justin Trudeau. I think right down to the dark blue suit and the gray tie that he wore today to be sworn in, Brianna, there really was a contrast. This is an economist. He is a serious man. He did, I will say, go out of his way to point out the similarities with Donald Trump, that he has cut big deals in real estate and that he did have some ties to the Trump Administration in its first instance.

I want you to listen now though to something that irks him and irks so many Canadians about the fact that the president continues to talk about the 51st state, and he explains why that will never happen. Listen.

(BEGIN VIDEO CLIP)

MARK CARNEY, CANADIAN PRIME MINISTER: I've been clear, personally, I've been clear, the ministers behind me, I think to an individual, when asked have been clear, that we will never, ever in any way, shape or form be part of the United States. America is not Canada. Look at the ceremony we just have. You could not have had that ceremony. You would not have that ceremony in America.

Look at the cabinet behind me. You would not have that cabinet in America. You do not have that cabinet in America. We are very fundamentally different country.

(END VIDEO CLIP)

NEWTON: Yeah, Brianna, before that, he actually said the words in terms of Canada becoming the 51st state. It's crazy. His point is crazy, that's it. Now, part of this is obviously due to the fact that we are likely to be in election campaign in Canada within the next few days. And this is really him standing up for nationalism, something that is definitely popular in Canada right now. But Brianna, you'll forgive the entire election campaign because some

days, it will seem as if everyone is campaigning against U.S. President Donald Trump and not against each other, the politicians that will be running within a just few days.

KEILAR: Yeah, that's certainly the case. So, he is now the first unelected prime minister in more than 40 years. That means he's not technically a part of Parliament. For those who are not intimately familiar with the Canadian political process, how does that impact his duties and how he can carry them out as prime minister?

NEWTON: It doesn't affect his duties at all, but we always revolve around this word mandate. What does mandate means? It means you want the people to elect you, so that you have the full power, the full backing of the Canadian people --