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Biden Reacts To U.S. Economy Adding 517K Jobs In January; Biden: Unemployment Rate Lowest Since 1969; Biden: Do I Take The Blame For Inflation? No; Potential Trump Rivals A Plan As More Contenders Emerge; Judge Weighs If Murdaugh's Alleged Financial Crimes Are Admissible; GOP NJ Local Councilwoman Eunice Dwumfour Shot Killed In Her Car; Arctic Blast To Bring Life-Threatening Cold To North-East. 10:30-11a ET

Aired February 03, 2023 - 10:30   ET

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

[10:30:00]

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GOLODRYGA: Millions across the Northeast and New England are in for a brutal blast of arctic weather, today and tomorrow. An estimated 55 million people are under windchill alerts from Montana all the way to Maine.

SCIUTTO: All ready this morning, temperatures are dropping rapidly. Many major cities have already seen their highest for the day means there's only - one way to go. And that's down. New York City topped out at 35 degrees earlier this morning. It since already dropped to 24 degrees.

Temperatures across New England also plummeting. CNN's Athena Jones, she's in Boston right now. I wonder I mean, are you feeling that? Can you already feel the difference from a couple hours ago?

ATHENA JONES, CNN CORRESPONDENT: Hi, Jim. I can. The temperature's dropped about 10-12 degrees since we first started reporting earlier this morning. The feels like is around one degree, we're seeing negative one, negative two, one. So already quite low. And it is not even 11 o'clock.

So we know that these temperatures are going to continue to drop through the course of the day. It's the single digits by nightfall. And this is going to last about 36 hours or so. We're not of course talking just about Massachusetts. There are 15 million people under some sort of wind chill or wind advisory because it's not just these low, low temperatures that they themselves can set records.

It's also these wind chills. Here in Boston, you can see windchills--

SCIUTTO: Stand by Athena, if you can. We're going to go right now to President Biden commenting on today's job report. Let's listen in.

(BEGIN VIDEO CLIP)

JOE BIDEN, PRESIDENT OF THE UNITED STATESCIUTTO: Before I head to Philadelphia, I wanted to say a few words about, I think a strikingly good news that we just received. Next week, I'll be reporting on the State of the Union. But today, today I'm happy to report that the State of the Union and the state of our economy is strong.

[10:35:00]

We learned this morning that the economy as created 517,000 jobs just last month. More than half a million jobs in just the month of January and in addition. We also learned that half a million more jobs created last year than we thought. So the January report is updated. I mean, excuse me, the December report is updated. Add that all up, it means we created 12 million, 12 million jobs since I took office.

That means we have created more jobs in two years than any presidential term in any time in two years. That's the strongest two years of job growth in history by a longshot. As my dad used to say jobs about a lot more than a paycheck. It's about your dignity, and 12 million more Americans get up every morning, knowing they can provide for the families with the dignity and sense of self-worth that had been missing.

We also learned that the unemployment rate fell to 3.4 percent, 3.4 percent. That's the lowest in 54 years. In fact, the last time unemployment rate was that low was May of 1969. Think about that. And what's more, black and Hispanic unemployment are near record lows. This matters.

More working age folks coming into the labor market looking for jobs last month than have in a long while. That is remembering all the talk about no one looking for, we need more people coming into the market. Well, more people are coming into the market looking for jobs and getting job.

A positive sign for the health of the economy going forward. And even as the job market reaches historic highs, inflation continues to come down. Inflation has now fallen for six straight months. Gas prices are down more than $1.58 gallon since their peak. Food inflation is falling as well.

And inflation is coming down, take home pay for workers is going up. Real wages are up, wages for lower income, middle income workers have gone up even more. Couple that with a 2.9 percent economic growth last quarter and here's where we stand. The strongest job growth in history. The lowest unemployment rate in 54 years. Manufacturing rebounding in a faster rate than in the last 40 years.

Inflation coming down, real races - real wages going up but moderately going up, not going through the roof. The economy growing at a solid cliff. Put simply I would argue the Biden economic plan is working. For the past two years, we've heard a chorus of critics write off my economic plan.

They said it's just not possible to grow the economy from the bottom up and the middle out. They said we can't bring back American manufacturing. And they said we can't make things in America anymore. That somehow adding jobs was a bad thing. Well, or that the only way to slow down inflation was to destroy jobs. Well, today's data makes crystal clear, what I've always known in my gut. These critics and cynics are wrong. While we may face setbacks along the way and there will be some, there more work to do.

It's clear, our plan is working because of the grit and resolve of the American worker. We're going to keep lowering costs for families, from lowering cost in health care, prescription drugs, clean energy because we passed that legislation, we're going to be rolling it out this whole year.

We're going to keep seeing shovels hitting the ground all around the country to rebuild the infrastructure and supply chains, manufacturing more here at home. And communities across the country that were too easily written off for dead, we're going to not only see jobs coming back, but a sense of self-worth and pride coming back.

Nothing worse than when a city has a major manufacturer leave shutdown. And all of a sudden, your kid getting out of high school or college says Mom, I got to move. Nothing here for me anymore. Nothing here.

Well, I'm intent on changing that in the heartland as well. That's how we build an America where we all can take pride in working - working families have good jobs, and little more breathing room. And as the economy grows from the bottom up and the middle out, it's the my objective for the long haul. Trickle-down economics works for one group of Americans. It doesn't work for everybody.

And so this was all about. So I'm heading off to Philadelphia. And if you want to ask me a question about the economy, but I'm not going to answer any questions about anything else, because you're never will cover this.

REPORTER: Mr. President, do you take any blame for the inflation as the president?

BIDEN: Do I take any blame for inflation? No.

REPORTER: Why not?

BIDEN: Because it was already there when I got here, man. Remember what the economy was like when I got here? Jobs were hemorrhaging. Inflation was rising. We weren't manufacturing a damn thing here. We were in real economic difficulty. That's why I don't. Thank you.

(END VIDEO CLIP)

[10:40:00]

GOLODRYGA: Well, Jim, that is what I would call a victory lap taken by the President of the United States after a gangbusters jobs report, you know, beating expectations more than three times over. 517,000 jobs created in January, unemployment at a 54-year low. And there you heard him definitively saying he's going with his gut and his gut led him in the right direction thus far with the Biden economic plan. And he's taking no blame for inflation.

SCIUTTO: Yes, I'm sure we can expect a similar message on jobs at his State of the Union speech coming up, but as you said, right, he - he's saying it wasn't his fault, in effect, even though prices we should know, ticked up more speedily after he took office. So our Dana Bash, is here now, to comment on a number of things.

But - But I wonder, first, you're going to be covering State of the Union speech, something that'll be ammunition perhaps for the President, as he gives his message to Congress.

DANA BASH, CNN CHIEF POLITICAL CORRESPONDENT: Of course, and Bianna, you nailed it, as usual, calling it a victory lap. Of course, he's going to take a victory lap with, with job numbers like this. The fact that it is at an historic low when it comes to unemployment, and it is true that people want to make sure that they can get jobs.

The challenge for this administration has been over the past, you know, I guess, almost two years now, not necessarily the fact that it is hard for people to get jobs, the challenge has been, as we've been talking about the fact that it is hard for people to afford goods. And that's why that question to him about inflation is so key.

Now inflation has come down. And it has come down in a way that has given breathing room to families who need the basics like gasoline, like eggs, like milk. But the question is going to be whether or not the job numbers will send a signal to the Fed that they might have to tick up interest rates, which will change a lot of the of the very delicate dynamics of the economy right now, that will affect and do affect Americans in their everyday lives.

It's not to take away from these job numbers. They are a very big deal in covering campaigns for many, many years. I can tell you that on the campaign trail, everybody waits for the first Friday of the month to see where the job numbers are and how it will affect the political reality. And that is still the case. But there are so many other factors right now that are affecting the economy.

GOLODRYGA: And perhaps Dana, this doesn't increase the likelihood of that soft landing by the Fed this sort of just get it right to bring the economy down a bit, while avoiding a recession. It's hard to call this anywhere near a recession, with the unemployment rate as low as it is. But what really stood out to me and I'll highlight this, again, was the confidence that he exuded here in saying that he was right by going with his gut.

And you know, there were naysayers. within his own party, many top economists that said his plan would just spiral inflation out of control. Inflation is coming down the jobs market remains very hot. And obviously there were a lot of Republican detractors, too. How do Republicans respond to this number?

BASH: Well, it's very relevant to the debate and the negotiation that is happening right now here in Washington, which is about increasing the debt ceiling in order for America to pay its debts that have already been incurred.

And you saw Kevin McCarthy, the new Republican House Speaker at the White House this week, saying that we are not going to do anything with regard to that unless we cut spending because the Republican Party has refound religion on the debt and on lowering spending in a way that they didn't have during the Trump years when he was spending a lot of money, a lot of taxpayer money.

So that is irrelevant what you just said to what's happening now, because he is saying, look, yes, they did spend a lot of money in the first two years of the Biden administration with the Democrats in control of Congress. And, you know, no regrets, despite the argument that Republicans are making and are continuing to make in these future current negotiations.

SCIUTTO: All right, let's talk about the other side of the ticket. You've been reporting on the expanding Republican field in 2024. Trump has announced. Nikki Haley, February 15, discussions of when Mike Pence announces, and I wonder what this means for the field because it does show on the one hand that folks are willing to challenge Trump but there's also the argument he benefits from a split - a bigger field that would split the vote among Republicans who are against it.

BASH: Absolutely. All you have to do is look at 2016 to know that that is very, very true. He ran away with it but he ran away with it not with a big majority.

[10:45:00]

But you know, sometimes with 30 percent- 40 percent and that's because all of the other candidates were in the race for the for the Republican nomination and they split the vote. What is interesting about the faces that you have on the screen, there is Nikki Haley is going to announce, we expect, we're told later this month.

We just got word that Mike Pence is planning to go to her home state of South Carolina early next week to do an event there just maybe a couple of days before Nikki Haley makes an announcement. That is very much an indicator that he is trying to send a signal that her move is not going to affect his move.

SCIUTTO: Wow, shot across the bow, politically.

GOLODRYGA: Dana Bash, thank you.

BASH: Thanks guys.

GOLODRYGA: So much, as always. Good to see you.

BASH: You too.

SCIUTTO: Coming up next, a former colleague of Alex Murdaugh tells the court she confronted him about nearly $800,000 missing from their law firm the same day that his wife and son were killed, but so far, the jury has not yet heard that particular testimony. Details on whether that could change. (COMMERCIAL BREAK)

[10:50:00]

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GOLODRYGA: The judge in a double murder trial of Alex Murdaugh is weighing whether Murdaugh's alleged financial crimes should be allowed into evidence. Murdaugh has been charged in separate cases with 99 counts of various allegations of white collar theft and fraud.

Yesterday without the jury present, the CFO was of his former law firm testified that the same day Murdaugh's wife and son were killed, she had confronted Alex about $792,000 missing from the firm. Prosecutors allege Murdaugh killed them to distract from his alleged financial crimes.

Joining me now is Ashley Merchant, a criminal defense attorney. Ashley, great to have you on. So is the possible motive enough reason for the judge in this case to allow it into evidence?

ASHLEIGH MERCHANT, CRIMINAL DEFENSE ATTORNEY: Yes, it is. And I mean, that's what the state is arguing. They're arguing that they need this motive, they need to be able to show the jury why he would have done these killings. And it makes sense, if you think about it, a juror is not going to believe that someone just killed their wife and killed their son.

That doesn't make sense to jurors. And so the state really needs to be able to prove why he did it because the normal person just doesn't do that. And so I think that it's really important. The question, though, is whether or not that importance and how valuable it is to the state is outweighed by any prejudicial value.

And what that means is that means that the defense is obviously going to prejudice, the defense. This is obviously evidence of other acts. And so that's always going to be prejudicial. So what the judge has to decide is whether or not that outweighs how much the state needs it. And then, you know, once it comes in, is it really going to prove motive?

It seems kind of like a stretch to me to think that he would kill his family just to try and divert attention from some financial crimes.

GOLODRYGA: Yes. And we hear from his own defense that this shouldn't be admitted into court, because under South Carolina's rules of evidence, it doesn't allow the jury to consider prior of criminal misconduct. So do you think the judge is factoring that in as he's coming to a decision on this issue, particularly?

MERCHANT: Yes, he is. I think he's doing a weighing test. So he's trying to decide what weight to give each side and to decide what's fair. And the thing that he's really going to be looking at is whether or not his decision is going to be upheld on appeal.

Because if he lets this evidence in, and Mr. Murdaugh gets convicted, the appellate courts are going to review whether or not he should have let this evidence in, and it's going to be very powerful evidence, if he is - if he does allow it to come in in front of the jury.

GOLODRYGA: So if he does allow it to ultimately come in, will the testimony that he heard without the jury present from the former CFO of that law firm that he used to work at, will that testimony once again, will the jurors hear that testimony that the judge did?

MERCHANT: Yes, they will, they'll actually see that witness live. So it's sort of like a proffer that they did before, which is where you give the judge the testimony ahead of time. And so the state will be able to call those witnesses live and have them testify in front of the jury. And it'll probably add a couple of weeks of time to this trial. And that's always difficult for the defense.

Anytime a trial takes a lot of time, it's always very hard, because it makes the jury more likely to want to compromise and just go home.

GOLODRYGA: Well, that the trial is continuing this morning as we speak. Ashleigh Merchant, thank you. We appreciate your time.

MERCHANT: Thank you.

SCIUTTO: A New Jersey community is mourning the loss of a city council woman who was shot and killed in her car near her home. 30-year old Republican Councilwoman Eunice Dwumfour was killed Wednesday night. There she is. Last hour we spoke to a friend of the victim who says she saw her at the grocery store, the very same day she was killed.

(BEGIN VIDEO CLIP)

NEILA RODRIGUEZ, FRIEND OF EUNICE DWUMFOUR, NJ COUNCILWOMAN SHOT TO DEATH IN CAR: She didn't seem when I saw her, under any threat at that moment. I mean, she was very happy, very bubbly. She came to me, she spoke to me and the last words I remember her saying was, you know, God bless you, Pastor and I said to her I'll see you at the HRC meeting, tomorrow.

(END VIDEO CLIP)

SCIUTTO: Authorities have not named any suspects or a possible motive but New Jersey Governor Phil Murphy says this does not appear to be politically motivated.

GOLODRYGA: Yes, really tragic story for that community. Well, that is it for us this morning. Thank you so much for are watching us. I'm Bianna Golodryga.

SCIUTTO: And I'm Jim Sciutto. AT THIS HOUR with Kate Bolduan starts right after a quick break.

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