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Trump Sparks Global Market Turmoil; Coming Together After Brutal Election; Hillary Clinton to Deliver Concession Speech; Mexico Reacts to Trump's Stunning Victory; Putin Congratulates Donald Trump on Win. Aired 9:30-10a ET

Aired November 09, 2016 - 09:30   ET

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

[09:30:01] ALISON KOSIK, CNN BUSINESS CORRESPONDENT: Wall Street doesn't necessarily like surprise. And secondly, Wall Street doesn't really understand what Donald Trump stands for. I'm talking about policy wise. He's unpredictable, his anti-trade stance worries many investors about how that's going to affect the U.S. economy. How that's going to affect countries globally.

So as investors wake up to sort of a new landscape, this is a new landscape where Donald Trump has kind of thrown out the playbook that Wall Street is kind of played by, and now there's really no sort of path forward as to what exactly will happen.

Case in point, there's been a lot of talk on the floor today as to whether the Fed will go ahead and raise interest rates as expected in December.

One thing to keep in mind, as we see the Dow begin the day in the red, obviously not as bad as we thought. Funny enough we do see the Dow now in positive territory. That volatility is something we can expect to run throughout the day. So one thing to keep in mind, though. Historically the day after presidential elections we do see the S&P 500 fall as we did case in point when President Obama won 2008, we did see the S&P 500 fall 5 percent -- Carol.

CAROL COSTELLO, CNN ANCHOR: All right. So, Rana, is this a temporary thing?

RANA FAROOHAR, CNN GLOBAL ECONOMIC ANALYST: You know, I think that it's going to be up and down. I think there's a few different things going on. The markets have gotten populism not just in the U.S. but in Europe and other places wrong almost always. The market didn't predict Brexit. They haven't predicted Trump. So the fact that you saw this big dip right after the victory was really not unexpected. And the fact that after we gave a reasonably pragmatic, even handed acceptance speech that you're seeing a little bit of recovery is also to be expected.

But I think what's going to happen is you are going to see increased volatility around any piece of bad news. If numbers come in, growth numbers from China that are soft, if there's a bad jobs report, if there's trouble in Europe, you're going to see investors everywhere react more strongly to that, because Donald Trump is a volatile character, he's an unpredictable character, and he's introduced a new element of unpredictability into the global markets right now.

COSTELLO: OK. So let's get down to brass tacks. So, Rana, the people who elected Mr. Trump feel they have been left behind in this improving economy. What will he do for them on day one?

FAROOHAR: Well, that's the big question. I mean, if he wanted to be smart, he would try and push through an infrastructure project because, frankly, you know, we saw in the rust belt states that the economy, the fact that people do feel left behind was a big issue for voters. But even when you go further up the food chain you don't have to be a working-class person to feel economic anxiety. There is a sense, anti-establishment sense not just in the U.S. but everywhere, that capitalism status quo isn't working. Globalism isn't working for a lot of people.

So putting people to work is going to be crucial. Getting an infrastructure program through, getting some tax reform would be great. But again, it's going to depend on who he appoints. Can he get smart advisers in? So far we just don't know much about who has really been advising him, how well, and what he believes. Is he going to be a demagogue? Is he going toe a pragmatic businessman?

COSTELLO: OK, what we do know, he says he's going to repeal Obamacare. You know, Republicans control both Houses of Congress, right? So it's likely Obamacare will be repealed? And then what happens?

FAROOHAR: Well, you know, you know in a long-term way I think the fact that we're moving away from Obamacare isn't actually a great thing for the economy. Obamacare has lots of problems. For sure. But getting more people covered with health insurance is a good thing for the economy because about a third of the people that cycle in and out of poverty in this country do so because of a health care emergency.

So I would like to hear what Trump's plans are around health care. I would like to hear something solid before we talk about repelling Obamacare. But more importantly I would like to hear what he is going to do to fund the tax cuts he's proposing. What kind of infrastructure projects he thinks he can get through. Real issues around trade policy, already you have a lot of emerging market leaders very worried about potential trade war which could have really devastating effects on the U.S. economy. And we've got to avoid that.

COSTELLO: So let's talk about renegotiating these trade deals like NAFTA. Is that a simple thing?

FAROOHAR: Oh, absolutely not. I mean, if you just think about how complicated it is to negotiate a trade deal, let alone getting out of one, you then have to deal with what will be repercussions be from other countries. You know, I think one thing that's going to be very interesting is what happens if Obama tries to in a lame duck session push forward Trans-Pacific Partnership trade, TPP partnership. Is Trump then going to use that as an opportunity to have a lot of populist rhetoric around trade but then provokes other countries to come in with tariff and trade barriers. Is that the beginning of a snowball cycle? These are the kind of

things he really needs to avoid. He's got to show that face that he showed a little bit in the acceptance speech and really work with some serious economic policy advisers, hopefully from both sides of the aisle, although I'm not holding my breath.

COSTELLO: So the Fed interest rate, and I want to direct this question to Alison Kosik.

Janet Yellen doesn't appear that she's going to raise it. Donald Trump has said he wants that interest rate raised. What do you think will happen?

KOSIK: Well, that's interesting that you ask that. I wish I had a crystal ball.

[09:35:01] That's what everybody here on the floor wants to know, as well. The idea when you raise the interest rates, the thinking is, you know, the economy is ready for but the thing is, with a President- elect Trump no one really knows what to expect policy wise with him.

Now the Fed is not supposed to be political. But many believe that in her decisions that Janet Yellen has been political in her decisions only because she was erring on the side of caution for the economy. So there's a lot of speculation as to whether or not there's going to be that interest rate hike. Many people already believe that needs to happen. That the economy is ready for it. That it's time to try to normalize those interest rates. But it's really anyone's guess what the Fed is going to do in a few weeks in December -- Carol.

COSTELLO: All right. Alison Kosik, Rana Faroohar, thanks so much.

Still to come in the NEWSROOM, after months of dividing, Trump's next big challenge, uniting.

(COMMERCIAL BREAK)

COSTELLO: Trump's win nothing short of decisive. Stunning and historic. Now the real work starts, and Mr. Trump knows it.

(BEGIN VIDEO CLIP)

[09:40:03] DONALD TRUMP (R), PRESIDENT-ELECT: Now it's time for America to bind the wounds of division. To all Republicans and Democrats and independents across this nation, I say it is time for us to come together as one united people.

(END VIDEO CLIP)

COSTELLO: While Trump supporters are celebrating, many who backed Clinton are completely devastated. This is what it looked like in Oakland, California. Protesters marching through the streets. They were maligning Mr. Trump's presidency, coming presidency, trash cans were set on fire. One person there even treated at the hospital after being hit by a car.

So how does Donald Trump begin to heal the divide in this country?

With me now to talk about that, CNN political commentator and Donald Trump supporter, Paris Dennard, Amanda Carpenter, former communications director for Senator Ted Cruz, and the Jeff Weaver, he's the former campaign manager for Bernie Sanders.

Welcome to all of you.

JEFF WEAVER, FORMER CAMPAIGN MANAGER FOR BERNIE SANDERS: Thank you, Carol.

COSTELLO: So, Paris, I will start with you.

PARIS DENNARD, TRUMP SUPPORTER: Yes.

COSTELLO: So, as Mr. Trump looks at what's happened in Oakland, California, overnight, what does he say? What does he say to heal? What does he say to stop it? Because you'd have to think there's more of that to come.

DENNARD: I would hope, Carol, that there's no more of that to come. I would hope that even if Secretary Clinton was elected that we wouldn't see things like that on the ground. But what I will say is that the one thing about America that there's always a peaceful transfer of power. So Mr. Trump has the authority and l believe he has the decisive victory and a mandate to now lead the nation, and talk about how he wants to make America great again.

Not just for people that supported him, but for people that are protesting and are upset in the community like we saw in Oakland. And I think his positive message of economic empowerment and job creation is going to help do that. But he's going to set the tone and I think he did an excellent job in doing that last night.

COSTELLO: Amanda?

AMANDA CARPENTER, FORMER COMMUNICATIONS DIRECTOR FOR SENATOR TED CRUZ: Now is the time for Republicans to help. Without a doubt, Donald Trump won fair and square last night. It was a huge victory for Republicans, even though they may not like how the gift was wrapped, it's time to accept it. Because now we have to start unifying the country. And other Republicans need to help, get on board and help communicate to the communities that Donald Trump may have offended along the way, and provide a better, more hopeful message.

There's no Donald Trump pivot coming. Let's just end this now. He is the person he always was and it is incumbent, there's a great responsibility for Republican leaders in Congress to step in the gap and provide a hopeful message that assures people that the Constitution is our guide, that provides justice and fairness to all, not just an elected man.

COSTELLO: So Hillary Clinton, she appears to be doing her part. She conceded last night. She called Mr. Trump.

WEAVER: Right. COSTELLO: She's going to give a speech later this morning. We just

got word she's going to thank her supporters and she's going to say it's time to move on.

Will Bernie Sanders be a part of the healing process as we go along?

WEAVER: Well, I think Bernie Sanders has, as we saw during the primary. He has been a voice for values that are shared by the majority of the American people, social and economic justice, dealing with wealth and income inequality in this country, and I think what you'll see from Bernie Sanders is what you've always seen from him which is principled opposition to policies that he believes are going to be harmful to working people like cutting tax -- same taxes for corporate --

COSTELLO: Will the Democrats become obstructionists, you know, kind of like the Republicans were accused of doing with President Obama?

WEAVER: I think the big losers last night were the Republican and Democratic establishments and I think there needs to be some real soul searching in the Democratic Party about its future going forward. We obviously suffered a very devastating loss last night. I think there's a lack of understanding by people in Washington about what's going on out in the real world. I think things certainly I saw during the primary campaign. Until Democrats do that I think they're going to have a difficult time.

COSTELLO: Do you think Bernie Sanders could have won?

WEAVER: I absolutely think he could have won. Yes, I do.

(LAUGHTER)

CARPENTER: I mean, that's the big story here, right? Isn't Hillary Clinton such a deeply flawed candidate that Donald Trump, even with all of his shortcomings when it comes to temperament and character, still won by such a convincing margin?

DENNARD: No.

CARPENTER: The Democratic team has been decimated. The legacy of Barack Obama is destruction of the Democratic Party and it has a lot to do with his policies. You can't -- all these Democrats tried to say Obamacare has been a big deal. I have to tell you, my family is on Obamacare. We have increases coming from $789 a month right now to $1200 next year. That pain is real and Republicans have a huge opportunity to fix these issues for the middle class. They cannot squander.

COSTELLO: I want to pause this conversation just a second because Jeff Zeleny is on the phone. He has more information about what Hillary Clinton is going to say in just about an hour's time.

Jeff, what do you have for us?

JEFF ZELENY, CNN SENIOR WASHINGTON CORRESPONDENT: Hey, Carol, we are outside the New Yorker Hotel in Midtown Manhattan and I can tell you there is a steady stream of campaign staffers and advisers, supporters and donors going into the hotel now. The campaign manager sent out a message this morning to all staff and a lot of supporters who were at that victory party last night to come to the speech this morning, that Secretary Clinton is scheduled to give around 10:30.

One aide told me that they wanted a supportive room, they wanted her to walk in a room filled with applause.

[09:45:03] So it is a sense of I guess a very smaller version of what her event would have been last night had she given her concession speech overnight at the Javits Center.

But, Carol, I can tell you there are long faces on many of the campaign staffers. Many are in disbelief. One told me this is brutal. Just brutal.

So, Carol, this is not something that they expected. Yes, Secretary Clinton was working on a speech, win or lose. But all candidates say that and she was, of course, focusing more on the speech that she thought she would be giving for victory. But that is not the case. She will be giving a speech today, concession speech that I'm told she will urge Democrats and call on Democrats to support this president, and work toward healing these divisions in the country from a very brutal, divisive campaign -- Carol.

COSTELLO: All right, Jeff Zeleny, many thanks.

And Paris, I think it's important that Hillary Clinton do that because I'm going to show our viewers some of the exit polling that we got from voters last night. So when asked about their feelings if Trump wins, 13 percent said excited, 27 percent said optimistic, 20 percent said concerned, 36 percent said scared. So when we add those two number together, 56 percent of voters say they were concerned or scared of a Trump presidency.

So that's just a tall order, and the American people are expecting big things from him. And you know all the things that he said previous to the big night last night, they still resonate in a lot of people's minds. So what should he say?

DENNARD: Yes. To your point I think Secretary Clinton does need to stand up because I think she was part of creating this narrative against him calling him a racist, a sexist, a bigot and all of those things. So I think it's incumbent upon her to heal the Democrat wounds. I think Bernie Sanders is going to do a great job in doing that to get millennials --

COSTELLO: It's incumbent on Hillary Clinton to do that?

DENNARD: It's incumbent upon Hillary Clinton to stand up and lead, and to do what they would have expected of Mr. Trump to do, which is unite --

COSTELLO: But Jeff is shaking his head over here.

DENNARD: But they don't want to hear that because look --

(CROSSTALK)

CARPENTER: No, be gracious. And I beg you, for unity in this country, I beg everyone supporting Donald Trump to be gracious and give Democrats time and space. We need it.

DENNARD: No, let me -- let me beg Republicans to be gracious to Mr. Trump and accept the fact that he had a decisive victory. And that you look at the exit polls --

CARPENTER: Yes, we did.

DENNARD: Eight percent --

CARPENTER: And it's that attitude by Republican Congress must hold him accountable as they would Hillary Clinton.

DENNARD: Eight percent African-American vote, 28 percent when it comes to -- the Latino vote. Now --

(CROSSTALK)

COSTELLO: That's not -- those are not very -- those are not very impressive.

CARPENTER: It isn't the majority, though. Just because the --

DENNARD: Those are not impressive numbers but -- we had people on this network saying he would get zero to 2 percent or no percent of the African-American vote, and they said that he would do horribly and do worse than Mitt Romney did. He did better on both accounts.

CARPENTER: But here's one --

DENNARD: And so this is the point. He won because people resonated and the American people connected with him and his message.

COSTELLO: What if Hillary Clinton wins the popular vote? Because she's ahead right now.

DENNARD: Right.

COSTELLO: So I'm just saying for the American psyche that enters into their psyche and it does matter. Right? So, again, is it really up to Hillary Clinton to heal the wounds?

DENNARD: It is.

COSTELLO: Or is it something that Donald Trump should say?

DENNARD: It is up to Secretary Clinton to go and right the wrongs that she did throughout this whole entire campaign --

CARPENTER: That is not -- that's not leadership. Leadership is not expecting the people you beat to come groveling to you. DENNARD: No --

CARPENTER: Leadership is extending an olive branch and asking you to come together in first 100 days so that Donald Trump actually has a mandate and doesn't squander it with pettiness and arrogance.

(CROSSTALK)

DENNARD: Well, he's not going to squander his mandate.

COSTELLO: Jeff?

WEAVER: Well, the reason people were -- the reason people were scared at the exit polls is because of things that Donald Trump said during the campaign.

DENNARD: And the scare monger that --

WEAVER: No one questions his legitimacy as president. He's been elected. I mean, it was the Trump campaign that was obviously questioning legitimacy of this election. Nobody on the Clinton side or the Democratic side was questioning the legitimacy of this election. So he's been elected, that's clear. Right? And everybody will support the president because that's what we do in America.

But that does not mean that we're going to go along in an unfailing, unprincipled way with all of the program that Donald Trump has laid out, whether it's tax cuts for corporations, deporting mass numbers of people, banning Muslims from coming into the country. The Democrats are not going to go along with that. Certainly you know --

COSTELLO: So how could the Democrats stop it? Because the Republicans control both Houses of Congress now.

WEAVER: Well, you know, I think there will be a bunch of Republicans who will opposed to it, as well. I think, you know, you got the great coalition on the hill. They're going to be bipartisan to try to stop some of these more dangerous initiatives.

(CROSSTALK)

CARPENTER: I hope that -- Trump uses his precious first 100 days to do things that will bring the Republican Party and the Democrats together do a tax reform bill. Do things that there is agreement on to show that you can get something done, but if -- it cannot be about personality anymore. I don't expect Donald Trump to change. Nobody should. The insults probably won't stop. But I really hope Republicans in Congress can show him a better way. Paul Ryan should be in the driver's seat. He has an agenda ready to go.

(CROSSTALK)

CARPENTER: I hope Donald Trump to lean on him and not try to scalp him.

DENNARD: That's what Speaker Ryan said, I am supporting Donald Trump for president because he's the only candidate that can help me advance an opportunity agenda. That's why the Senate majority leader Mitch McConnell said that he was supporting Mr. Trump because he knew especially when it comes to the Supreme Court nominations that he would appoint conservative judges.

[09:50:10] And so the Congress is going to work with Mr. Trump because they knew that he was the one that was going to be able to get this done.

COSTELLO: All right. I have to leave it there. Thanks so much. So I think this conversation has demonstrated we have a long way to go.

Paris Dennard, Amanda Carpenter, Jeff Weaver, thanks to all of you.

Still to come in the NEWSROOM, shockwaves as the world reacts of the news of President-elect Donald Trump. We'll take you live to Mexico and then to Russia.

(COMMERCIAL BREAK)

COSTELLO: The whole world was watching last night and this morning a string of global leaders congratulating Donald Trump after his stunning win. People around the world holding viewing parties. Some of them visibly upset and some of the deepest concerns being felt in Mexico right now.

So let's head to Mexico City right now. Ed Lavandera is there. Good morning.

ED LAVANDERA, CNN CORRESPONDENT: Good morning, Carol. As you might as well imagine, the news of Donald Trump being elected president of the United States has sent shockwaves through this country. Here in Mexico we have talked over the last few days where Hillary Clinton had an overwhelming amount of support, a lot of anger and distrust of Donald Trump.

You have seen this already emerging this morning as banking and finance officials here in the country move very quickly this morning to try to calm nerves and settle down expectations saying that the Mexican economy would be able to weather that because in the overnight hours, the value of the Mexican peso has dropped significantly once again with this news of Donald Trump being elected president.

[09:55:02] So the president of Mexico, Enrique Pena Nieto, sending out a statement of conciliation, saying he's willing to work with the -- with President-elect Donald Trump, but a former president, one that has been very involved in many ways in the U.S. presidential election over the last few months, former president, Vicente Fox, speaking much more candidly saying he was shocked by this news and that he finds that Donald Trump is ignorant about economic issues and once again, repeating that famous line that got him in a little bit of trouble several months ago where he said that Mexico would not, quote, "pay for that f'ing wall."

Vicente Fox repeating those -- that line once again here today already. So many people, in fact, one of the headlines here this morning, Carol, in the newspaper says, it's time to shake, like an earthquake. So this is a news that has really sent shockwaves through the Mexican community here and many people still trying to process and figure out what it's going to mean for them in the future as Donald Trump has talked about building the wall, tearing up the NAFTA trade agreement. Many people worried about what it will mean for the Mexican economy here in the months ahead -- Carol.

COSTELLO: All right. Ed Lavandera, reporting live from Mexico City. Thank you.

The Russian President Vladimir Putin, one of the first world leaders to congratulate Mr. Trump.

CNN's Matthew Chance live in Moscow. Hi, Matthew.

MATTHEW CHANCE, CNN SENIOR INTERNATIONAL CORRESPONDENT: Hey, Carol, that's right. It's potentially a pivotal moment in the relationship which has often been fraught between the United States and Russia. That relationship has really been bumping along some of its lowest points since the end of the Cold War over a range of issues like Syria, where Russia and the United States are effectively on opposite sides of the conflict.

Like Ukraine, like sanctions, like the recent allegations of Russia interfering through hack attacks in the U.S. election. When news filtered through to the Russian parliament, the state here, that Trump had emerged victorious, the whole kind of gallery broke out into applause. And so many Russians see Trump as someone who can really draw a line under the tensions of the past and create a new start in this relationship.

And you mentioned that Putin was one of the first leaders to congratulate Trump. That's true. And he made it clear what kind of relationship or how open he is to a new kind of relationship between the two countries.

(BEGIN VIDEO CLIP)

PRES. VLADIMIR PUTIN, RUSSIA (Through Translator): We have heard his electoral slogans when he was still a candidate. He spoke about resuming and restoring relations with Russia. We understand the way to that will be difficult, taking into account the current state of degradation of relations between Russia and the United States.

As I have repeatedly said, this is not our fault that Russia-U.S. relations are in this state. Russia is ready and wants to restore the full-fledged relations with the United States.

(END VIDEO CLIP)

CHANCE: Well, restoring that fully fledged relationship is not going to be easy. There's still lots of points of tension, of course, between the two countries. It's going to be very difficult to negotiate compromises on many of those issues but what may help is the apparent high esteem in which both leaders, you know, hold each other in. I mean, this idea of a bromance between Putin and Trump was a big issue during the election campaign, as you know. They both praised each other famously back in 2009. Hillary Clinton when she was secretary of state tried to reset the U.S. relationship with Russia and kind of failed. It's possible that Trump may have a better chance.

COSTELLO: So I think that some Americans are still a little worried because they believe that Russia was really behind somewhat of Hillary Clinton's demise, right, with the WikiLeaks thing. So is there any new information on that front, like how much Russia was involved in the American election?

CHANCE: Well, this is really interesting, because it's the shadow, I think, under which Donald Trump has been elected. These allegations that were made not just by the Clinton campaign, but by U.S. security officials as well. The FBI is investigating this about the role which Russia played through cyberattacks and trying to influence the outcome of this presidential vote.

There was hack attacks, there were data dumps, there were -- a troll army deployed effectively to nuance and manipulate the debate in Internet chat rooms. Did that have an actual effect on the outcome of this election? At the moment the Kremlin of course, as they have done throughout the course of the past several months, denied any connection with any kind of hack attacks but again, that question mark is still very much hanging over this presidential election -- Carol.

COSTELLO: All right. Matthew Chance reporting live for us from Moscow this morning, thinks so much.

The next hour of CNN NEWSROOM starts now.

And good morning. I'm Carol Costello live in Washington. Thank you so much for joining me.

Hillary Clinton just minutes from now delivering her concession speech in one of the most historic upsets in modern presidential history. She's due to speak at the bottom of the hour and of course we'll carry that live for you.