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December Jobs Report; Rep. Anthony Brown (D-MD) is Interviewed about Iraq Withdrawal and Buttigieg Support; Probe into Clinton Winds Down; Prince Harry Defies Queen. Aired 9:30-10a ET

Aired January 10, 2020 - 09:30   ET

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

[09:30:00]

POPPY HARLOW, CNN ANCHOR: Holding steady at 3.5 percent.

Our chief business correspondent Christine Romans is here.

It's a solid number, but some questions on manufacturing.

CHRISTINE ROMANS, CNN CHIEF BUSINESS CORRESPONDENT: Yes. Yes, absolutely. I mean would call this another powerful year for the American job machine, 2.1 million jobs overall. You know, maybe a little bit of weakness heading into the end of the year, but, overall, another strong year. And 2.1 million net new jobs on the year.

Look at that chart very carefully. You can see that 2018, tax cuts probably fueled some jobs gains there. But this just -- this -- this year that's -- if you guys could forward to the total jobs added. There we -- next one. Well, whatever. The next one, the annual number shows you that this is basically kind of like what we've seen over the past ten years or so, certainly not as strong as 2014, 2015. So 2.1 million net new jobs added here.

The unemployment rate, 3.5 percent. You know, that's -- that's pretty low. The lowest since 1969. But you're not seeing the wages come in.

HARLOW: Yes.

ROMANS: A 2.9 percent wage growth at the end of the year. That's not really great.

Where's the hiring? Retail, health care. Some almost 400,000 health care jobs. I would caution all politicians who are talking about remaking, fixing or meddling in the health care system to note, this is a fifth of the American economy and a steady job creator every month.

Manufacturing, though, manufacturing is still a problem there, 12,000 jobs lost at the end of the year for manufacturing.

HARLOW: Romans, is this a -- is this a record for the Dow?

ROMANS: Almost. You're going to be there -- if it closes above here, it would be a record, 956 is the record high. And, look, you're only like 40 points away from 29,000 for the Dow Jones Industrial average. So this is -- I'm telling you, this is America inc., strong jobs growth --

HARLOW: Yes.

ROMANS: Record highs in stocks. But the wage growth isn't there and working Americans, I wonder if this is going to be a big conversation here in 2020 because you have 53 million Americans who make on average $18,000 a year. And these aren't teenagers. These are people in their prime working years who are only making $18,000 a year.

HARLOW: And only -- and as you often point out, only half of Americans have a penny in the stock market.

ROMANS: That's absolutely right.

HARLOW: That does not mean something for everyone.

ROMANS: That's absolutely right. Is America inc. the same as the working American inc. is the question here.

HARLOW: Yes, totally right.

ROMANS: I'm not sure.

HARLOW: Thanks, Romans.

ROMANS: You're welcome.

HARLOW: Appreciate it very, very much.

JIM SCIUTTO, CNN ANCHOR: Coming up, we have more news this hour. Iraqi leaders want American leaders to help them figure out a way to withdraw U.S. troops from Iraq. Is that serious? We're going to ask a lawmaker about that and more coming up.

(COMMERCIAL BREAK)

[09:36:40]

HARLOW: A big question right now, will the United States send a delegation to Iraq to plan the withdrawal of American troops? Hours ago, Iraq's prime minister asked the secretary of state to do just that.

With me now is Democratic Congressman Anthony Brown of Maryland. He serves on the Armed Services Committee, is a veteran of the Iraq War, served some 30 years, earned a Bronze Star.

So, sir, thank you for being here and for your service to this country.

REP. ANTHONY BROWN (D-MD): Thank you, Poppy. Great to be on with you this morning.

HARLOW: You've also given a major endorsement to Mayor Buttigieg in the 2020 race. So we will get to that.

But let's start with Iran and Iraq given this news.

We're going to hear from the secretary of state, Mike Pompeo, in just about an hour's time. Given this request from Iraq's prime minister, a U.S. ally, to withdraw, to send a team over to plan a withdrawal, what should the secretary of state do?

BROWN: Well, first of all, the United States has to respect the sovereign wishes of the Iraqis. But I think it's important to have a robust conversation about whether or not this is the appropriate time to withdraw U.S. forces from Iraq. Remember, our forces are there to help Iraq stabilize its governance, to establish civil society, to safeguard its communities, as well as the national security interests of the United States and our allies and partners.

I'm not sure we're quite there yet and I think Iraq is very much in unstable, if not almost failing government. So I would hope that in these conversations, yes, we respect the sovereignty of the Iraqi government and people, but that we press upon them the importance of our partnership and our presence.

HARLOW: Yes. You don't want to pull out right now, it sounds like.

BROWN: Not now. I mean, obviously, I want to get to a point, as do most Americans, where the United States no longer needs to be present in Iraq and Afghanistan, in Syria. I don't think we're there today when it comes to Iraq. But we need to move in that direction, and the decisions of late, for particularly last week's decision to assassinate General Soleimani, that doesn't help move us in the right direction. In fact, it hurts the relationship with Iraq and it only precipitates their decision, their demand to ask us to leave when it may not be the right time to do so.

HARLOW: The president, last night, said -- I'm going to play you what he said about why Soleimani was taken out and I'm going to follow that by the secretary of state saying something that seems to conflict with the president also last night. Here they are both.

(BEGIN VIDEO CLIP)

DONALD TRUMP, PRESIDENT OF THE UNITED STATES: We did it because they were looking to blow up our embassy.

Soleimani was actively planning new attacks, and he was looking very seriously at our embassies, and not just the embassy in Baghdad.

MIKE POMPEO, SECRETARY OF STATE: There is no doubt that there were a series of imminent attacks that were being plotted by Qasem Soleimani. We don't know precisely when, and we don't know precisely where, but it was real.

(END VIDEO CLIP)

HARLOW: The secretary of state says they don't know precisely when or where. The president was pretty precise in his comments. Who should the American people believe? You were at the Pompeo briefing.

BROWN: Right. The information that Secretary Pompeo just delivered, as you -- as you presented just a second ago, is the information that members of Congress got. They were very -- they lacked specifics in terms of time and manner and location of these imminent threats that left a lot of members of Congress disappointed. And the president's comments last night were really like out of left field.

[09:40:02]

We had never heard of that information during any briefings, either classified or unclassified.

So, once again, the president calls into question the credibility of himself and his administration.

HARLOW: So, congressman, you are the first African-American member of Congress to endorse Mayor Buttigieg in the 2020 race for the White House. Not only an endorsement. You're going to serve as the co-chair of his campaign. And I know that you did not come to this decision lightly. You spent two days with him, full days, in Iowa, spent a lot of time talking to him and assessing him as a man and him as a potential president.

The polling shows how much he has consistently struggled with African- American voters. Why did you back him, and why do you think he is still struggling to get the support of many African-Americans in this country?

BROWN: First of all, let me say I think that Pete Buttigieg will make an extraordinary commander in chief. He's got a very clear vision of the need for the United States to provide global leadership. He understands that, you know, the use of our military should be a last resort and that we need to invest more in the diplomatic corps, our development capabilities around the world to bring peace and stability around the world, which is only in the interests of the United States. His service in Afghanistan gives him a personal experience to what it means to send men and women in harm's way. So first of all, I think he'll make a great commander in chief.

Also, I credit his eight years of experience as a mayor. You know, I served as lieutenant governor in Maryland with a governor who had served as a mayor. And I understand and I have seen firsthand how that experience translates into good judgment, good decisions, the ability to bring people together to address difficult issues, whether it's housing, criminal justice, infrastructure investments. So I think that Pete has the experience to serve us both at home and abroad. And I'm very excited about his candidacy, and I look forward to working hard for him.

HARLOW: Congressman, I think you'll remember this moment in November when what was released were the findings of basically an internal study, or focus group, of black voters in South Carolina. It was commissioned by the Buttigieg campaign. And it found that his sexual orientation, him being gay, is a reason why he has struggled, especially with older African-American voters. Then Dana Bash asked House Majority Whip Jim Clyburn about that and if

he agrees that that's one of the reasons why he has struggled in that area.

Listen to what he said.

(BEGIN VIDEO CLIP)

DANA BASH, CNN ANCHOR: Are you saying for older African-Americans it is an issue?

REP. JIM CLYBURN (D- SC): Yes, it is. There's no question about that. I'm not going to sit here and tell you otherwise because I think everybody knows that's an issue. But I'm saying it's an issue, not the way it used to be.

(END VIDEO CLIP)

HARLOW: He noted his own grandson not only supports Buttigieg but is working and volunteering with them. But is he right? Is that an issue for the mayor?

BROWN: Look, I think the characteristics and -- of who we are as a people, whether it's sexual orientation, whether it's gender identity, whether it's race, quite frankly, whether it's geography, are going to influence how people perceive us and whether or not they accept us or not.

I think what I've noticed with Mayor Pete Buttigieg is as people get to know not just him as a person but perhaps even more importantly his position, his record, his vision for a stronger, better America, how we pick up the pieces after this failed Trump administration, people are going to respond favorably. I mean look at the beginning of 2019, in every community, Pete Buttigieg was registering near zero percent support. At the end of 2019, where he's campaigned, where people have gotten to know him, he's done exceedingly well.

HARLOW: I hear that. I just wonder as -- I mean I just looked up some polling from yesterday. In South Carolina he's still right about, you know, 4 percent. It's up two points there for him among black voters, but it's still not where I know the team wants it to be.

I ask you this because he's done a lot. He's spoken at predominantly black churches. He's met with black theologians. He's gone on the hugely popular radio show "The Breakfast Club" multiple times.

Do you think, as you become co-chair of the campaign, it is time for the campaign to think beyond sort of the typical ways to court the African-American vote?

BROWN: Yes, look, these are the challenges and opportunities that every campaign is presented with, how do you connect to voters, meet them where they are, and whether it's traditionally in an African- American church, whether it's on social media, door to door, on TV, these are all of the ways in which this campaign, and every campaign, is challenged with meeting voters. What I've seen with Pete Buttigieg is as he meets those voters where

they are, they listen to his message about all of us being in it together, rebuilding America, investing in education, infrastructure. He rolled out an infrastructure plan today. He's got a plan to empower the African-American and uplift communities of color. [09:45:00]

I think we're going to see the numbers move in a very positive direction for Pete Buttigieg.

HARLOW: We'll see where they go. It's nice to have you on. Thank you for your time and, again, for your service to this country, Congressman.

BROWN: Thanks, Poppy.

HARLOW: OK.

Jim.

SCIUTTO: Great to have him on the air. No question.

President Trump repeatedly says the Justice Department should investigate Hillary Clinton. Well, they did. Now it's over. What did they find? We'll tell you.

(COMMERCIAL BREAK)

HARLOW: The Justice Department's review of Hillary Clinton's business dealings, of course, review championed for years by President Trump and allies, is winding down.

[09:50:00]

SCIUTTO: Yes, and they didn't find much. Officials say they could not find enough evidence to warrant a criminal investigation.

CNN's Jessica Schneider following this.

So, Jessica, the president's talked about this, right wing media, et cetera, but not enough evidence, does that mean no evidence?

JESSICA SCHNEIDER, CNN JUSTICE CORRESPONDENT: Well, it means not enough evidence to open a criminal investigation. So this is not formally over, but really it is effectively closed.

And this has really has been a long and drawn out investigation. You know, it was back in November 2017 --

SCIUTTO: Yes.

SCHNEIDER: When then Attorney General Jeff Sessions appointed the U.S. attorney in Utah, John Huber, to look into these business dealings and the ties between Hillary Clinton and the Clinton Foundation.

SCIUTTO: Yes. SCHNEIDER: And really there were two main allegations here. First of all, that donors to the Clinton Foundation had perhaps received special treatment from Hillary Clinton, who was secretary of state at the time. And then also these claims regarding Uranium One. In particular, that Hillary Clinton had helped the Russian Atomic Energy Agency acquire Uranium One, that she -- that this agency had also donated to the Clinton Foundation.

SCIUTTO: Yes.

SCHNEIDER: But really, after these two plus years of probes and reviewing this, no evidence to open this criminal investigation has been found.

SCIUTTO: That, of course, didn't stop the president from repeatedly mentioning it.

It's not officially closed. They couldn't find any evidence. Is that unusual to kind of keep it punitively open there and is that a political decision or a legal decision?

SCHNEIDER: It may be. And this may be some of the early stages of not officially closing it yet, but, you know, this has been something that had been looked into before the U.S. attorney out in Utah had been appointed to look in this.

SCIUTTO: Yes.

SCHNEIDER: So he's been reviewing the evidence that had already sort of been gathered, talking to federal law enforcement officials, also reviewing documents. And what we've learned is that not enough has been gleaned here.

SCIUTTO: Yes.

SCHNEIDER: So, as you mentioned, this really shut -- effectively shuts down the president's arguments of lock her up. This also effectively shuts down Republicans who cried foul as to any business dealings that dealt with the Clinton Foundation and Hillary Clinton when she was secretary of state.

SCIUTTO: Yes.

SCHNEIDER: But, of course, the president has now turned his focus to another U.S. attorney out of Connecticut, John Durham, and his probes as to the origins of the FBI investigation.

SCIUTTO: Well, and also to another target, Joe Biden --

SCHNEIDER: Yes.

SCIUTTO: Who happens to be the current candidate against him for president. Wonder if that has an effect.

Jessica Schneider, thanks very much.

Poppy, back to you.

HARLOW: All right, switching gears totally here but this is captivating a lot of people, the royal drama taking a new turn. It seems Prince Harry directly defied the queen, his grandmother, Queen Elizabeth, when he made that stunning announcement about stepping back with Meghan Markle from royal life.

(COMMERCIAL BREAK)

[09:56:52]

SCIUTTO: Overseas, we've learned now that Prince Harry actually defied the queen's wishes by releasing his surprising announcement that he and Duchess Meghan will step back from their royal duties.

HARLOW: Now the queen is apparently meeting with officials and other senior royals to find, quote, workable solutions.

Let's go, once again, to our royal correspondent, Max Foster. He joins us now with more on this.

I mean if you thought it couldn't get more dramatic, it did overnight. What are you learning about the timing of this announcement and who -- you know, who was listened to and not?

MAX FOSTER, CNN ROYAL CORRESPONDENT: Ah, well, the queen basically said she was upset to her team and we now know that she was upset because she asked Prince Harry not to go ahead and publish this statement the other day and publish the website as well, and he went ahead with it anyway.

So there a real tension here. There's a red line in this country, you don't upset the queen. The prime minister, Downer (ph), learned that in recent months.

But what's interesting about what you were just saying about the teams trying to find a workable solution is that's really punchy statement when you think about it because we have a full sense on this website about how the Sussexs see their future role, and you've got Charles, William and the queen all together saying, now we want a workable solution, i.e., that is not a workable solution. This is not going to work. So now they're locked in negotiations to try to find a way forward.

HARLOW: Yes. Yes. Clearly. You're very good at reading the tea leaves and reading through the lines of the few words that the palace conveys.

Before you go, Prince Charles, do you have any sense of how he is taking the news?

FOSTER: Deeply disappointed. Also upset. It's his son and he's let down the family. He's undermined his mother, the head of state, the head of the family. It's a difficult situation. Prince Charles, according to the Sussexs, provides 95 percent of their income from his private income from a private estate. And they want to keep that. The issue here is, that it's very clear that none of this has been agreed. So Prince Charles could easily pull that money. We'll wait to hear what happens. The palace says they want all this wrapped up by the beginning of next week. So it could be pretty explosive next week, particularly if the Sussexs don't agree to compromise.

SCIUTTO: Yes, it feels like, you know, you're seeing some storylines stolen out of "Downton Abby" here.

Max Foster, we're going to stay on top of this story. Thanks very much.

HARLOW: It is the top of the hour. A big hour ahead. Good morning, everyone, I'm Poppy Harlow.

SCIUTTO: It is. And stand by for news this hour. I'm Jim Sciutto.

Minutes from now, we will hear from Secretary of State Mike Pompeo and Treasury Secretary Steve Mnuchin, live from the White House. This coming just hours after President Trump told us to expect new sanctions on Iran. Of course there are enormous sanctions on Iran already, unclear how they ratchet those up. They could also talk about Pompeo's conversation with Iraq's prime minister who asked Pompeo directly to start planning a safe withdrawal of U.S. troops from Iraq. Not clear how serious that is. Pompeo promised to follow up on that request but the State Department says this morning they would rather focus on the strategic partnership going forward and continuing, not a withdrawal of U.S. forces.

[10:00:06]

HARLOW: Meantime, those protests are continuing, look at that, those are the --