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Stocks Plunge on New Fears; Attacks in Israel; Dow Plummets in Early Trading; GOP Presidential Hopefuls Continue Hammering President Obama; Knowing How to Predict and Avoid a Heart Attack: Breaking Down the Common Myths

Aired August 18, 2011 - 11:00   ET

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

FREDRICKA WHITFIELD, CNN ANCHOR: Live from Studio 7, I'm Fredericka Whitfield, in for Suzanne Malveaux.

Let's get you up to speed for this Thursday, the 18th of August.

Breaking news. Stock market investors jumped back on that roller-coaster today. And it has been a steep downhill ride all morning long on Wall Street. You see the Dow down more than 400 points right now.

CNN's Alison Kosik and CNNMoney.com's Paul La Monica join me.

Alison, you first. How big are these losses and what brought on this huge sell-off, anyway?

ALISON KOSIK, CNN BUSINESS CORRESPONDENT: Hey, Fredricka.

The losses are kind of holding steady. The Dow, down about 436 points. They're off their lows of this session, where we saw the Dow down as much as 500 points.

This is coming after Morgan Stanley kind of set off an alarm bell saying that the U.S. and Europe are looking like they're getting close to going into a recession. Morgan Stanley also downgrading its growth forecast globally for this year and next.

Also not helping, we got a bunch of economic reports here in the U.S., one on jobless claims, showing a rise in jobless claims. The jobs area, something that this economy really wants and needs at this point and not seeing.

We also got a very weak regional manufacturing report showing contraction and a weak housing report showing sales declined about 3.5 percent. See what you do when you lump all that together, you get a big sell-off, and that is what we're seeing right now -- Fredricka.

WHITFIELD: All right. And that's how it looks for the Dow.

Let's check out what the Nasdaq is looking like as well. Paul La Monica, assistant managing editor for CNNMoney.com, joining us.

So is this consistent all the way across the board? PAUL LA MONICA, ASSIST. MANAGING EDITOR, CNNMONEY.COM: Yes, the entire market is down. There really aren't any stocks that are bucking this bearish trend today. It's, as Alison mentioned, the fears about Europe, combined with more weak economic data in the U.S., and that's the recipe for a big plunge, especially after all the volatility we had last week.

WHITFIELD: So the fear gauge is certainly up, something like 30 percent, we heard, just last hour. How much is fear dictating these markets really completely?

LA MONICA: It's hard to say if it's really fear. You know, this still seems -- maybe I'm being naive, I hope not -- but this still seems a little bit different from 2008, when everyone was worried about the imminent collapse of major financial institutions. I don't think we're there yet. I hope we don't get there.

I think right now, it's really more a case of a lot of people wondering when these problems -- some of them can be solved. We're just waiting for actual solutions.

Europe, its leaders, have not done much to inspire confidence in, you know, the European economy. It's pretty similar to what's happened with the debt ceiling debate a few weeks ago in the U.S. I think a lot of this is politically driven more than economically driven, to be honest.

WHITFIELD: OK, Paul. We're going to do a little round robin here. We're going to check in with Carter Evans now at the Nasdaq.

So, Carter, I think it was you earlier who was reporting on this fear level being particularly high. How does the Nasdaq look right now, as well?

CARTER EVANS, CNN CORRESPONDENT: OK. Well, the Nasdaq -- let me show you, first and foremost here, the Nasdaq composite. This is an intraday chart.

You see it falling significantly right at the opening bell. Currently down 4.5 percent. So the Nasdaq has lost the most of all the major indices right now.

I think the main page of CNNMoney.com pretty much says it all today -- "Walloped!" I mean, look at that drop. Look at what we're seeing right now.

Come back out here, and I can show you, this is the VIX. It's the volatility index, commonly known around Wall Street as the fear gauge. It is up almost 30 percent today.

And if you take a look, Fredricka, at the 10 most active spots by volume on the Nasdaq 100 right now, you see a lot of them are tech companies here. These are companies that rely on people like us and businesses to buy stuff. And all of that, especially with the numbers that came in today, is in question. So the question for investors is, how do you price these companies now if it looks like consumers and businesses could pull back on their buying even further?

WHITFIELD: All right. Carter, thanks so much.

We're going to go overseas now. Richard Quest, joining us in London on the international markets.

So, Richard, as you get -- fix it right there -- I'm wondering, is it the case where people are kind of blaming it on Morgan Stanley for its dismal economic outlook for the global economy?

RICHARD QUEST, HOST, CNN INTERNATIONAL'S "QUEST MEANS BUSINESS": Well, obviously, since we are five hours in London ahead of you on the Eastern Coast, the Morgan Stanley report certainly gave the kick-down to the day. The jobless claims numbers in the U.S., the Philly Survey, that all added to the negative feedback loop of the market that you have been seeing for the past few hours.

And what we are seeing at the moment is -- going through those German numbers -- the German market off five percent. Similar number for Paris. London, slightly less.

I think what you have to bear in mind is that it is -- this hasn't happened overnight. This has been -- obviously we've had the volatility for the last two weeks. We come into this week with people feeling that things are not going well.

You get these bad pieces of economic news, not dramatic, not drastic, but they re-enforce the view, they destroy consumer confidence, and ultimately that's what we are seeing now. So each time we have days like this -- and this is really the problem. Each time we have days like this, it actually increases the chance of that double-dip recession because, basically, you and I and everybody else, we simply stop spending because we're too frightened.

WHITFIELD: Well, you know, you're underscoring it right there, this kind of ripple effect. But you have to wonder, you know, when you try to get to the beginning of that ripple, is it the U.S. economy, is it the European markets? What is at the core of this ripple effect?

QUEST: It's both. Absolutely both.

This comes on first. This comes on second. And they go backwards and forwards like a tennis game, throwing the ball from one side to the other, constantly re-enforcing the bad news.

Now, when does it come to an end? It comes to an end on two occasions -- when stocks are so cheap that people buy anyway, like fruit and veg in the market that you buy to make soup. Someone will always buy when it gets keep enough. Or when policymakers actually start doing something.

We know that works because it happened with the European Central Bank. It happened with the Fed, if you remember, just a couple of weeks ago. So, it does work, but at the moment, the options are few and far between, and policymakers seem to be -- seem to be somewhat paralyzed as to what to do next.

WHITFIELD: All right. Richard Quest, thanks so much. We'll check back with you and other members of our Money team throughout the morning as we continue to watch the markets.

Appreciate that.

(NEWSBREAK)

(COMMERCIAL BREAK)

WHITFIELD: All right. Welcome back to the NEWSROOM.

We're watching the markets. Take a look. CNNMoney.com, they're calling it "Walloped!" Global economic fears sending stocks spiraling. "It's a war zone," says one trader.

Take a look. The Dow, down 442 points.

Let's find out why, if we can, why the markets are in such turmoil today.

Alison Kosik is watching the numbers at the New York Stock Exchange.

So, Alison, is it the fear factor that's driving stocks down like this?

KOSIK: The fear factor, Fredricka, definitely playing a big role in today's trading. The Dow, down right now 445 points.

There's more talk of a recession, this time coming from Morgan Stanley, saying that the U.S. and Europe are dangerously close to another recession, possibly within the next year. That definitely set markets off.

And then, of course, we got a litany of bad economic data on jobless claims showing a jump there. On regional manufacturing, showing a contraction. And on home sales, showing that home sales fell another 3.5 percent.

So, when you lump all of that together, those are the reasons why today, at least, we are seeing a big sell-off -- Fredricka.

WHITFIELD: All right. Now let's shift gears just for a moment.

There's a report today that the Justice Department is investigating Standard & Poor's over those mortgage securities that led to the financial meltdown.

What more can you tell us about that?

KOSIK: Yes. When we were in the thick of the financial meltdown, in the recession, a lot of people were wondering, jeez, well, where were the credit agencies? All of these mortgage backed securities were rated AAA. So now, "The New York Times" is reporting that the Justice Department is looking into this question.

It wants to know if Standard & Poor's improperly rated these mortgage-backed securities, maybe rating them higher than they should have been. The Justice Department right now is not commenting, and Standard & Poor's has not returned our calls.

There are some allegations showing that there was some dissent in Standard & Poor's, that some people wanted to see a lower rating on these securities, but managers stopped them. Keep in mind that S&P does get paid for its ratings. So then there are also questions about a possible conflict of interest there -- Fredricka.

WHITFIELD: And so is this investigation a retaliation? I'm sure the question is being asked for it downgrading -- the S&P downgrading the U.S. credit rating.

KOSIK: Yes, the timing definitely is curious when you sit and think about it, but this investigation that the Justice Department has under way actually began before the downgrade actually happened. In fact, the government also sued Deutsche Bank over similar reasons for their investments in mortgage-backed securities.

And we've been hearing about this problem about mortgage-backed securities for a long time, and we know the government sometimes acts very slowly. So what you're seeing is maybe a catch-up here, not necessarily a witch hunt -- Fredricka.

WHITFIELD: All right. Alison Kosik, thanks so much. We'll be checking back with you throughout the morning on the markets. Appreciate that.

All right. Here's your chance to "Talk Back" now on one of the big stories of the day. The question this morning: Are Rick Perry's treason accusations against the Fed out of line?

Carol Costello joins us now from New York -- Carol.

CAROL COSTELLO, CNN CORRESPONDENT: Oh, it's a good question. Isn't it, Fredricka?

Again, the question today: Are Rick Perry's treason accusations against the Fed out of line?

I know, this whole treason thing has been dragging on for days now, and it won't die because Perry's critics won't let it and neither will he. The tough-talking Texan ain't backing down. He said it would be treasonous for Fed Chairman Ben Bernanke to continue printing money to play politics. And yesterday he upped to ante.

(BEGIN VIDEO CLIP)

GOV. RICK PERRY (R-TX), PRESIDENTIAL CANDIDATE: They should open their books up. Until they do that, I think there will continue to be questions about their activity and what their true goal is for the United States.

(END VIDEO CLIP)

COSTELLO: Critics are appalled. And that includes some Republicans. Tony Fratto, a former Bush White House spokesman, tweeted "Perry's remarks are inappropriate and un-presidential."

Although Perry has his supporters, too.

(BEGIN VIDEO CLIP)

TUCKER CARLSON, FOX NEWS ANALYST: The fundamental points he makes is totally true, actually. We are devaluing the currency. It's happening because of the Fed's policies, and it is benefiting, in a short-term way, I think, the White House.

(END VIDEO CLIP)

COSTELLO: Still, treason, as defined in Article III of the Constitution? If you don't have your pocket-size Constitution handy, this is what it says: "Levying war against them, or in adhering to their enemies, giving them aid and comfort," as in Benedict Arnold, who betrayed America during the Revolutionary War.

Fed Chair Ben Bernanke, the man running the Federal Reserve, which is basically the central bank for the country, is he conspiring against the United States?

So, the "Talk Back" question today: Are Rick Perry's treason accusations against the Fed out of line?

Facebook.com/CarolCNN. I'll read your comments later this hour.

WHITFIELD: All right. We'll be waiting for those. Thanks so much, Carol.

We're also keeping a close watch on the markets. You know by now the Dow, taking a big beating right now, down 478 points. This, not too far after that Morgan Stanley report that offers a rather dismal report on the global economy.

We'll have much more on the markets after this.

(COMMERCIAL BREAK)

WHITFIELD: All right. The markets taking a real beating. Take a look at the Dow, down 472 points, down more than four percent.

Our Carter Evans is at the Nasdaq.

Carter, give us an idea on how it looks right there from your vantage point.

EVANS: Well, you know, it's really not looking good, Fred, for the Nasdaq especially. I mean, take a look right now. This is our intraday chart, down 4.7 percent. A loss of 118 points. The Dow, currently down 4.2 percent. So we're kind of holding at these low levels that we've been seeing for the last 10 or 15 minutes or so.

As far as the most active decliners here on the Nasdaq, you're seeing nearly four or five percent across the board for some of the biggest tech names in the business. So why are these getting hammered so hard? Well, they make a lot of products that you and I buy. They make a lot of products that companies buy.

If you and I don't have jobs, if we're afraid to spend our money, if we can't afford them, if companies aren't expanding, buying those products, their production future is uncertain. That's the reason for the decline there.

I also wanted to show you the VIX. We call it the VIX. It's the fear index. It's really the volatility index here, and it's up almost 31 percent today. So that gives you an idea of how much fear is pushing this market today.

Finally, I wanted to show you the FTSE 100 in London, which is still trading, down almost five percent. And this is the DAX in Germany, down 5.6 percent right now.

So European losses leading the way down today. Lots of concerns about banking troubles over there.

WHITFIELD: Big concerns. All right. Carter Evans, thanks so much.

We're going to continue to watch the markets throughout the morning.

Meantime, other news.

A new outbreak of deadly violence in the Middle East. Attackers took aim today at targets in southern Israel, firing shots at a bus, assaulting soldiers, and firing mortars and an anti-tank missile. Israel says the attacks originated in Gaza.

CNN's Elise Labott is live from London.

So, Elise, how do these attacks stir things up potentially in the region?

ELISE LABOTT, CNN SR. STATE DEPARTMENT PRODUCER: Well, I think the fear is, Fred, that it is going to have an escalating violence. You know, it's been relatively calm in the region. There haven't been a lot of terrorist attacks.

And I think one of the main concerns not just in Israel, but in the United States, is that as we head towards the end of September, where the Palestinians are expected to seek independence at the U.N., that this could mess things up. And what you're going to see is an escalation of violence between Israelis and Palestinians. And that dim hope of peace talks is going to be even further than it is right now -- Fred.

WHITFIELD: So it's believed that those who opened up fire, those attackers, were considered terrorist cells from Sinai. So what would be the impact if that is indeed the case?

LABOTT: Well, I think there's going to be a lot of questions as to whether there are Palestinians cooperating with them. I think you've had this fragile peace between Israel and Egypt all these years. Now that President Hosni Mubarak, which was considered an ally of Israel, is gone, the military and the Israelis are really feeling their way.

And so I think this really makes that fragile peace between Israel and Egypt even more tenuous. And I think that the Egyptian military is going to be seeing what Israel is going to be doing on that Sinai. Are they going to be violating Egyptian sovereignty? I think there are a lot of concerns about that right now.

WHITFIELD: And then what, if anything, can the U.S. say or do as the U.N. gets prepared for a vote next month that could potentially recognize Palestinians as a new member?

LABOTT: Well, what they've been trying to do is trying to get the Israelis to accept come kind of formula that will get the Palestinians back to the table, such as if the Palestinians were to accept a Jewish state of Israel, that the Palestinians would actually abandon those efforts to seek independence at the U.N., put them off. But, really, it's been difficult for the U.S. to get the Israelis and the Palestinians to agree to sit at the table.

And as they move towards the United Nations in September, there's a lot of concern that any kind of hair trigger that this region is on right now could erupt and the Palestinians will seek independence. Obviously, that's not going to give them a state the next day. And the concern is there's going to be a lot of violence in the region.

WHITFIELD: Secretary of State Hillary Clinton today, earlier, talking about Syria, and now saying the Obama administration wants the Syrian president to step down. What risks, you know, are U.S. officials even considering at this point by asking him to resign, by being so outspoken on this?

LABOTT: Well, I think in the beginning, in March, when these protests started, the real concern was that if Assad stepped down, there would be a vacuum, there would be chaos in the region and Islamic extremism. I think they've calculated that the risk of him staying is even greater than the risk of him leaving.

And the more people that are being killed, the U.S. has come to the idea that the devil that you know isn't so much the devil that you don't know. And these brave Syrian protesters that are being killed on the streets of Syria really need to be supported.

And it's not just the United States, you have to remember. You saw these calls today from all European capitals, from the European Union, and especially Britain, France, and Germany, the Canadians. This is being very closely coordinated, Fred.

The Turks are meeting today, their national security council. They've been really growing frustrated with Syria. They've considered them an ally, and now they're starting to lose patience. And the Arabs, as well.

So I think this move today by the United States and Europe is really going to be followed by a lot more tough diplomatic action around the rest of the world. And I think the United States now feels that the risks of him staying are much more dangerous than the risk of him leaving.

WHITFIELD: All right. Elise Labott, thanks so much, joining us from London. Appreciate that.

All right. Looking for work and hoping for help? The Congressional Black Caucus holds a job fair in Atlanta. We'll talk live with one of the job seekers about what she wants Congress and the president to do.

(COMMERCIAL BREAK)

WHITFIELD: We continue to watch the markets take a tumble. The Dow down 457 points there.

Let's check in with our Alison Kosik in New York. Our Richard Quest will be joining us, as well, from London.

So, actually, let's begin with you, Richard.

While the markets opened just a short time ago here in the States and they started out strong by going down strong, you're five hours ahead, how are the European markets doing all day long there?

QUEST: They seem to have hit something of a plateau, down, of course -- 5 1/2 percent, 5 and change percent from the DAX. Similar number for the Paris market. And the British market, the London market off just slightly less than that.

All the markets -- I'm just looking at some numbers, we've just been working at. What are the falls from if you like the highest point seen in 2011? And it's interesting. The FTSE in London is off some 16 percent. The Dow in New York from its highest point this year back in May is off 14 percent.

But it's the German market -- how about this for bear territory? It's down 21 percent since the high point of this year.

And traditionally as Alison will remind us, you know, 10 percent one way or the other is a correction -- 20 percent is a bear market.

WHITFIELD: Wow! Well, in fact, you brought in Alison, let's bring her in from New York.

So, Alison, what sparked this slide at the onset? As soon as the markets opened, it was down. KOSIK: You know, this is the kind of market, Fredricka, that kind of shoots first and then asks questions later. So when they hear headlines out of Morgan Stanley that we're getting close to a recession both here and the U.S. -- both here and in Europe, that really sparks fear.

Also with Morgan Stanley downgrading the growth forecast, not just here in the U.S. but the Europe as well, showing we could be getting closer to a global recession. That sparks that knee-jerk reaction as well.

The good news is, is that we're leveling off the lows of the session. We were down for the Dow. The Dow was down as much as 500 points. We're now down 427.

You know, this isn't the kind of panic selling that some people may, you know, describe it as. It's kind of this sort of orderly selling that's going on. We're also seeing a flight to safety, gold is up 1 3/4 percent.

But that fear index, the fear in the market is very prevalent. That fear index is up 30 percent.

One other thing that really, really set the markets off today was this regional manufacturing survey. It showed a contraction.

One analyst who we talked with said this is really a reliable indicator that showed this really stunning movement in this manufacturing index was really just a plunge and it's a good indicator as to what else is going on in the broader manufacturing sector. That really spooked the markets, as well.

And this index, by the way, is for the month of August. So, it is very recent. That is really also what spooked investors today, Fredricka.

WHITFIELD: All right. Alison, thanks so much.

Paul La Monica, assistant managing editor for CNNMoney.com.

All right. Well, a lot of folks are worried about their 401(k)s when they see numbers like this. They're worried about the college savings plans. They're worried about the jobs outlooks, et cetera.

Help piece it all together for us.

LA MONICA: Yes, I think longer term, you know, don't do anything with your 401(k). That would really be the absolute wrong thing to do. Panic is not something that makes any sense whatsoever.

You know, what Alison just mentioned about the short term health of the U.S. economy that hits the nail on the head right now. That manufacturing report was not good.

And keep in mind -- it was only a few months ago that a lot of people were saying that we had a little bit of weakness in the economy but it would be temporary. A lot of it's was due maybe to the Japan earthquake in March.

But with each new number that we get that is not good, it makes it harder to just say, yes, it was all about the Japan earthquake and we're going to shrug this off and second half of the year is going to be great. It's not looking that way anymore.

WHITFIELD: So, if fear is in large part sort of dictating these numbers, what can be said and by whom can say it to try and encourage or kind allay those fears?

LA MONICA: That's really going to be difficult. I think the biggest problem right now that a lot of people I talk to that are invested in the markets is that there is no faith whatsoever in political leaders, in the U.S. or Europe, regardless of whether or not we are Democrat or Republican, left-leaning or right-leaning. It's just a real bad kind of circus right now in the U.S. --people bickering and not coming up with solutions for the job market.

Over in Europe, it seems that, you know, no one is really taking the debt problems there seriously enough. Everyone I speak to says they want a united front from Europe instead of all these fractured type of responses.

And that, I think, is really the big problem right now. In many respects, companies are sitting on the sidelines and they're saying that they're not going to invest until they see a more certain environment politically and that's both in Washington and in Europe.

WHITFIELD: Wow. Interesting. All right. Paul La Monica, thanks so much. Appreciate that.

We'll call upon you again soon. We're going to continue to watch the markets.

Looking for work and hoping for help, the Congressional Black Caucus holds a job fair in Atlanta. And we'll talk live with one of the job seekers about what she wants Congress and the president to do.

(COMMERCIAL BREAK)

WHITFIELD: All right. The U.S. markets getting walloped, say traders. The Dow down 418 points. We continue to watch.

And, of course, the dismal unemployment crisis does not help matters at all. And for many African-Americans, the numbers paint an even bleaker picture as it pertains to unemployment.

According to the U.S. Labor Department, the jobless rates for blacks in the U.S. is almost 16 percent compared to the overall rate of 9.1 percent.

Johanna Hill has been out of work for a year and a half now. She's at a job fair right here in Atlanta, sponsored by the Congressional Black Caucus.

Thanks so much for taking the time. I know you would rather be going to all the booths there to try and find a job.

So tell us a little bit at your situation. Why have you been out of work for a year and a half?

JOHANNA HILL, UNEMPLOYED FOR A YEAR-AND-A-HALF: Well, actually I was asked to leave employment from Fulton County Department of Family and Children Services. To date, I have yet to receive a reason.

That's one of the things, I think, the president, our government, especially maybe at the federal or state level should look into. People are being terminated unfairly, with no reason, no explanation, or anything. What they're quoting to us is a right to work state and stating that they can fire you or terminate you or end your employment for whatever reason, and they don't have to give you a reason.

So I think that -- that right to work law, what they claim, really should be investigated. I think it's unfair. You don't have a reason to terminate but because you can do so, you can do so. That's why a lot of us are out here, especially in the state of Georgia.

WHITFIELD: And so, while you still don't know why you were terminated, certainly you could have never known that trying to find a job would be this difficult. It's been a year and a half.

Give me an idea what that job search has been like. What's been happening when you've been reaching out to companies or trying to find employment?

HILL: Well, it's been horrendous. It's unbelievable. You -- I have gone all over Georgia, at least within the Atlanta metro area, looking for employment, any job fairs.

It's -- it's incredible. Even as we stand here today, I was out here at 6:00 this morning. I basically just got in the building. There's thousands, thousands of people that are unemployed.

It's very difficult to find employment. The employers say that they're hiring, but when you show up, they will, you know, explain to you to go online and complete the application.

You complete the application. I've even literally completed it and took it personally back to the employers and haven't heard anything.

No, I don't have a doctorate degree, but I do have enough skills to secure a job. So I don't understand.

I think another thing is, there's a lot of -- the unemployment rate that they're quoting, a lot of it is incorrect because they're not quoting the people -- they only are looking at the people who are receiving unemployment. Those people that the unemployment has been exhausted and they're not receiving anything. They're still unemployed but they're not being counted.

So, the true numbers of this unemployment rate is sort of a farce to me because it's not true. WHITFIELD: So, with all this confusion and this frustration, do you feel like there is something that Congress can do? Do you feel like there's something more that the president can do to help you and so many other millions of Americans who are in the same predicament?

HILL: Well, the biggest thing they can do is stop fighting. I mean, at this point, this job thing is affecting all of us. It doesn't matter, white, black, Republican, Democrat, Tea Party.

I mean, come on, guys. I mean, we're all adults here. I don't understand where all the bickering -- if we can't sit at a table and make a decision.

I mean, there's a lot of things that can be done. You can help the employers out. Maybe help the employers by funding certain programs to get the people back to work.

But all the fighting, no, we're not -- I can't see anything being done. We're going to have to continue to get out here like we do, go to the job fairs, follow up on interviews.

That's the only way.

Unless they're willing -- all parties are willing to sit down and talk to try to get some type of decision made. I mean, all the fighting, this is just crazy.

WHITFIELD: Johanna Hill, thanks so much for your time, all the best to you. We wish you the best of luck. And, hopefully, you're able to nail something down there. Any kind of hopeful leads at that job fair being held by the Congressional Black Caucus today here in Atlanta for you?

HILL: I'm sorry?

WHITFIELD: Are there any positive leads? Are you feeling confident about any leads there at the job fair?

HILL: So far, as I said, I waited over four hours to get in here so I just got in and CNN grabbed me. I do have an interview today with the city of East Point. So, hopefully, that will go well.

WHITFIELD: All right. We hope so. Fingers are crossed for you. Johanna hill, thanks so much.

Next hour, we're going to talk Congresswoman Maxine Waters. She's going to be talking about the bleak job scenario. She's going to talk also further about her comment asking the president to do more to try to help out the unemployment situation, particularly as it pertains to the African-American community.

We'll be right back.

(COMMERCIAL BREAK)

WHITFIELD: Today's stock market plunge is just another reminder economy is the number one issue in the presidential campaign.

Mark Preston, part of "The Best Political Team on Television" live from Portsmouth, New Hampshire.

So what are the candidates saying about economy and this latest plunge?

MARK PRESTON, CNN SENIOR POLITICAL EDITOR: Fred, as you said, all eyes are on Wall Street now trying to figure out what is going on with the markets. But it's here on streets such as Congress Street, ironically enough, here in downtown Portsmouth, where people are talking a issue number one, that's the economy, and they're talking about jobs.

Just a few hours ago, Rick Perry, the Texas governor who just got into the presidential race, was here at a cafe talking to voters. He turned to the owner at one point and said, look, this is going to be the issue we're going to be talking about all of the way through the election. I am going to be president.

I have to say that Mitt Romney was up at a steel plant yesterday. He was doing the same thing.

Now, Mitt Romney and the Texas governor Rick Perry, they seem to differ on who would be the best well suited to take care of the economy. But what they do both agree on is that they don't think President Obama is the one to do it, Fred.

WHITFIELD: So what at this point then? What kind of suggestions are any of these candidates giving as it pertains to these dismal reports on the global economy? It's not just the U.S. but the European markets that are all being effected as well.

PRESTON: We're not hearing anything, they're not reacting to what's happening in the markets today because it happened so quickly. Mitt Romney is down for the day, and Rick Perry is jumping around the state. What he's trying to do is they're trying to do retail politicking. They're not talking about the macro sense of what is happening in the now.

But what they are both saying is that they are both more equipped to create jobs here in the United States. You know, Mitt Romney has been very critical since day one since he announced he was running for president of the president's policies. And, of course, in the past week we've seen the same thing from Rick Perry. He's been very, very harsh regarding President Obama's policies.

So we will continue to hear this over the days and weeks to come. And certainly, this will be the number one issue heading into November of 2012, Fred.

WHITFIELD: All right. No doubt.

Mark Preston, thanks so much.

For the latest political news, you know exactly where to go, CNNPolitics.com.

A lot of folks would agree family is important. Straight ahead we'll tell you why family is really important when it comes to your heart.

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WHITFIELD: We're keeping a close watch on the markets. The Dow still plunging, down 400 points. Lots of insiders saying that the markets are getting wall walloped, but it's not just the U.S., it's the global economy taking a big hit as well.

All right, you have been sounding off on our "Talk Back" question. Carol Costello joins us with your responses now -- Carol.

COSTELLO: Hi, Fredricka.

The "Talk Back" question today: Are Rick Perry's treason accusations against the Fed out of line?

This from Tom, "I think people who don't fully understand the workings of the Fed should hold their tongue. Rick Perry included"

This one from Joseph, "Although I do not agree with Perry, the Federal Reserve is unconstitutional period. One reason our Founding Fathers rebelled from the crown is because they did not want a central banking system in America."

This from Sergio, "They are definitely out of line. Regardless of his disagreement with how things are done in Washington or the Fed, Mr. Perry needs to think before he speaks. He is not impressing anybody by acting this way. This is not the way to get to the White House."

And this from Scott, "Yes, not only are they out of line but they're inaccurate. This is not only unpresidential behavior but plain ignorance of what treason is. Thus, in my book, making him a non-candidate."

Keep the conversation flowing, Facebook.com/CarolCNN. I will be back with another "Talk Back" in another -- oh, 15 minutes or so.

WHITFIELD: We look forward to that. But before you go, here is proof that there's a lot of love out there, Carol. This next story is really showing the power of honesty.

In Japan, voluntaries and search crews going through the rubble after the tsunami found safes, personal safes from people's homes, and they actually turned them into the police. But that's not the most surprising part. Just how much money might have been in them? Do you want to guess?

Well, you don't have to, cause there is the full screen.

(LAUGHTER) WHITFIELD: Thirty million dollars in cash, according to Japan's national police agency. So police search for the safe's owners, and all 5,700 of them located. They went to the evacuation centers, they looked at the names on the change of address forms at the post offices and eventually they were able to return all of that money to the majority of the people.

COSTELLO: I know what you are going to ask next. Would that happen in the United States?

WHITFIELD: Need I ask?

COSTELLO: I think it would. I really do. If a horrible event --

WHITFIELD: Really?

COSTELLO: Yes, I still have faith in America, Fredricka.

WHITFIELD: Yes, I have faith in America, too, but I also know America and I feel like we don't have that same level of honesty.

COSTELLO: You are so cynical.

WHITFIELD: No, I am not cynical. I'm a realist.

Carol, thanks so much. I appreciate it.

All right, do you know the signs for a heart attack? Straight ahead, what you should and should not ignore. Dr. Sanjay Gupta is on the case.

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WHITFIELD: All right, to your health now. For his upcoming documentary, "THE LAST HEART ATTACK," CNN chief medical correspondent Dr. Sanjay Gupta has spent more than a year looking into heart disease. Along the way, he has uncovered a few common misconceptions about heart attacks.

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DR. SANJAY GUPTA, CNN CHIEF MEDICAL CORRESPONDENT: Fred, I'll tell you , there's plenty of misconceptions out there about heart disease. One of them that I think is really important to note is this idea that you can have a warning sign before you have a heart attack. In fact, for the majority of people that's not true. The heart problem comes literally out of the blue, there's no warning sign whatsoever and the first time they have chest pain is while they are having the heart attack.

Also, for a lot of people, the symptoms could be more vague. They feel a little more fatigued, they feel like something is just not quite right, and that could be signs that in fact they are starting to have a heart attack.

So point is, if you're worried about heart disease and having something unusual happening you should get that checked out.

Another myth has to do with your cholesterol number. This is something that people generally know about if they're worried about heart disease, they'll tell you what they're cholesterol number is. But consider this, that about a fifth of people that had heart attacks, in fact, had normal or low cholesterol numbers, LDL levels.

So this is an important point, is that cholesterol numbers alone don't give you enough information to try and determine your true heart disease risk. Doctors will now say there's a point of actually looking at your blood vessels trying to figure out are they becoming sort of laden with cholesterol, are they becoming laden with plaque. That's probably a more important indicator.

Also, keep in mind that it's not just the amount of cholesterol in your body, it also has to do with the size of the particles. Smaller particles, for example, can really get into the blood vessel wall and cause damage, larger particles not as much. So can have a high cholesterol and high particle level and that might not be as bad as having a low cholesterol and small particle levels. So something to keep in mind.

Also, family history, as I've learned, doesn't mean you are doomed. That's another myth. We know two things now. One is that you can literally change your genes, the way your genes are expressed in your body through some lifestyle changes.

And also, this idea that once you have plaque, it's there forever is also not true. There's plenty of evidence showing that diet alone can actually start to reverse heart disease.

So these are some of the -- some good news, I think, for people out there who are worried about heart disease. And also, some of the latest news on what we're doing to try and get to the point where we can have the last heart attack.

My doctors, incidentally, tell me after this whole journey, that I am heart attack-proof. I bet you want to learn that as well, and we'll have that for you.

Back to you for now.

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WHITFIELD: For more on your heart health, be sure to watch Dr. Sanjay's Gupta's report, "THE LAST HEART ATTACK," this Sunday night 8:00 Eastern right here on CNN. He talks to doctors on the cutting edge of heart disease prevention, including a former surgeon who has developed a radical diet he says can make anybody heart attack proof in a month.