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U.S. Jobs Report Due As New Trump Term gathers Pace; Canada Prepares for Economy with Tariffs, Opposition to U.S.; King Charles Launches Apple Music Show and Playlist. Aired 5:30-6a ET

Aired March 07, 2025 - 05:30   ET

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

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[05:30:52]

RAHEL SOLOMON, CNN ANCHOR: Welcome back. 5:30 here in New York. I'm Rahel Solomon. And here are some of the stories we're watching for you today.

Train travel from Paris to London and northern France has been suspended after an unexploded World War II bomb was found on tracks leading to France's busiest station, the Gare du Nord. Officials say that the bomb could be a serious threat, so until specialty units can remove it safely, no trains will run.

President Trump is once again delaying some tariffs on Mexico and Canada. For nearly a month, U.S. President's signed executive actions on Thursday halting the impending tariffs on products from countries under the existing free trade deal. The tariffs are now expected to go into effect on April 2nd, but the move does not affect existing or future tariffs on China.

President Trump also directing his cabinet to manage their own staffing cuts as questions mount about the Department of Government's Efficiency. President Trump making it clear that he wants them to use a scalpel, not a hatchet. Then he said that Elon Musk and his team can make decisions on hiring and firing government workers.

And later today, we get the first U.S. jobs report to cover a full month of President Trump's second term. Economists expect that it will show solid gains in jobs, as it's still too soon yet for DOGE's layoffs to show up in the data. But we can see those federal job cuts in a separate survey that came out on Thursday.

A spike in layoffs to levels not seen in the wake of -- not seen since the wake of the financial crisis in 2009. U.S. employers announcing 172,000 job cuts last month. That's according to Challenger, Gray & Christmas. That is double the tally reported one year ago. It is also the highest February total in 16 years.

All right, let's bring in Cory Stahle, an Economist at the Indeed Hiring Lab. He joins us now from Salt Lake City, Utah.

Cory, I don't know if you stayed up late or if you woke up really early, but we really appreciate having you here on a jobs Friday. So talk to us about the expectation. We know that Wall Street is expecting about 185,000 jobs being added in the month of February. That's pretty strong. Is that what you're also expecting? What are you seeing?

CORY STAHLE, ECONOMIST, INDEED HIRING LAB: Yeah, yeah, definitely. So woke up early, but I mean, anything for a jobs Friday, right? So really what we're expecting is to see, you know, some pretty solid growth. You know, it's something that in the last few months has really unfolded. You know, we saw a lot of slowing in the economy, you know, for several years. We started to see things stabilize, and I think a lot of that's going to continue this month as well. But we're also keeping our eye out for some potential signs of some stress emerging as well in this report.

SOLOMON: Yeah, I mean, to that point, you know, I love having Indeed. I love having companies that have this sort of insight into the labor market because you have a more unique perspective because of your work. Does a strong jobs number match what you're seeing in the data?

And the reason why I ask, because anecdotally, I've been hearing from a lot of people saying that they've actually been having a hard time. They've been applying for jobs for months, but they've been having a hard time finding work. So what are you seeing in your data?

STAHLE: Yeah, what we see in our data really is interesting. Really, it tells a story that overall, the U.S. labor market is still doing pretty well, right? Like still pretty solid, still pretty stable. But what's interesting is as you dive into the data separately, what you see is this is really a bifurcated labor market. There's a lot of opportunities for healthcare workers and workers kind of in these in- person type of jobs, whereas we've seen a lot of kind of the more knowledge worker, traditional white-collar jobs really pull back in the last couple of years at a greater degree. And so I think that's really how we balance these things.

We have, you know, strong jobs overall, but really your experience as a job seeker right now is going to depend largely on what type of work it is you do, because software development job postings are over 30% down from where they were before the pandemic. You know, whereas we've seen things like construction and manufacturing have actually held up pretty well. And so really, again, you know, kind of a bifurcated labor market right now and what we're seeing in job postings.

[05:35:00]

SOLOMON: Yeah, that is an interesting point because we sort of saw that bifurcation throughout the last four years, last few years at least as well, depending on what sector of the labor market you were in.

So Cory, what would you say, you're at a cocktail party, someone is looking for a job, what type of advice or tips do you share in terms of how best to position yourself in this market right now?

STAHLE: Yeah, I mean, really, I think one of the good things to remember with this is, you know, this is still the business cycle, right? We see things go up, we see things come down, you know, so certainly don't jump in and conclude and say, oh, we're going to, you know, move away from this certain field completely. But just maybe think about some of the traditional things that have always been suggested still hold here, you know, making sure your resume has been tailored to the job description.

You know, there's a lot of different A.I. technologies and things that job seekers can now use to make sure they're doing that well, make sure they're matching their cover letter to the job, you know, and really just making sure that they're making the value that they bring to that job clear to employers. Those are still going to be things that are going to help you stand out in today's labor market.

SOLOMON: And then just circling back to the doze of it all, I mean, when would you expect that to show up in the data and how much of a drag do you think that could be to the top line number? What are you watching there?

STAHLE: Yeah, so, I mean, I think, you know, as was kind of mentioned, we've already seen a little bit of that come out in the initial claims data and in the unemployment claims that I think as far as how long it's going to take to really start seeing some of that unfold in these jobs reports, we'll start to see a little bit next month in the report. Then from there, it'll probably take a little more time to continue to trickle through. Again, today's report is mostly looking at a period of time that happened before a lot of the cuts that we've seen.

And so not so much this month, but next month when we get up bright and early, we should hopefully start getting a better feeling for what's going on there.

And one of the things I love is as we watch the data, we can already start seeing some movements in job postings and we've already seen construction job postings pull back in the month of February by about 4%. But we also have seen loading and stocking warehouse jobs pick up by 8%.

And so, you know, I think as we start to think about, you know, what the implications of these policies are going to be, you know, we're really going to be able to, you know, find out pretty soon, but just maybe not this month.

SOLOMON: Yeah. And speaking of pretty soon, that jobs number being released in less than three hours at this point. So a happy jobs Friday to you, Cory Stahle. Thanks for starting it with us here at Early Start. Thank you.

All right. And President Trump establishing a strategic Bitcoin reserve by executive order on Thursday, the reserve will be established with Bitcoin forfeited to the government through legal proceedings. It comes as the White House is set to hold a crypto summit later today. It's another sign of support that the Trump administration is giving to the industry. It's also a sharp change from the scrutiny it faced under President Biden. President Trump said on Sunday on social media that the reserve would also hold other crypto tokens like Solana, XRP and Cardano.

Another setback for SpaceX, its Starship spacecraft exploded in its latest test flight Thursday. Video shows debris lighting up the sky over the Caribbean. SpaceX lost contact with the uncrewed vehicle a few minutes after liftoff. That's almost exactly what happened during the previous test flight in January.

That's when debris fell to earth on populated islands. The company says that it did make upgrades to that spacecraft to stop that happening again. The FAA has instructed SpaceX to carry out an accident investigation.

The U.S. relationship with Canada has taken a beating since President Donald Trump returned to the White House. Next, how Canadians find a future with their neighbors to the south, when we come back.

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[05:43:38]

SOLOMON: Welcome back. Donald Trump is pushing back the launch of some tariffs against Canada and Mexico until April. And the back and forth is giving Canadians some economic whiplash.

Now, they're trying to prepare for seemingly impending tariffs while also adjusting to a new and decidedly different relationship with the U.S. Our John King has more.

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JOHN KING, CNN HOST (voice over): This is American steel in Western Canada for custom finishes. One belt is to burn a few notches and drill a few holes, another to weld some angled braces. Soon, back a rail car and back across the border for an office project in Alaska. It is a partnership that supports 100 jobs here A.I. Industries in Surrey, British Columbia.

This is just one piece of nearly $800 billion a year in trade between the United States and Canada. Now, though, a partnership in peril because of President Trump's insistence on new tariffs.

KARIM WAIJI, CANADIAN RESIDENT: He wants to show that U.S. is strong and because I'm bigger than you are, I can bully you around and this is how I'm going to do it.

KING (voice over): Trump paused the tariffs Thursday, just two days after imposing them. Another about face. Yes, Waiji prefers no tariffs but he says weeks of threats and contradictions from Trump make it impossible to plan and are already hurting both economies.

WAIJI: Even with the threat of tariffs, prices have gone through the roof and they've gone higher. So, we're seeing right now when we're bidding a job today versus we're bidding it three months ago, our cost has gone up almost 15%.

[05:45:09]

KING (voice over): British Columbia is a living postcard. Scenic mountains and gorgeous waters. The importance of trade is everywhere you look. Canadian lumber waiting at rivers edge. Rail cars to carry Canadian crude oil, crops and more. The bustling Pacific rim Port of Vancouver.

PETER XOTTA, CEO, VANCOUVER FRASER PORT AUTHORITY: You watch it for eight hours. You'll see on average, we've got ten ships arriving and ten ships leaving. We did about 160 million tons of cargo last year, 75% of that is those bulk commodities -- grain, coal, potash, sulfur and other agricultural products, outbound.

KING (voice over): Peter Xotta is the port's CEO. He says shippers who normally plan six or nine months out are now taking things a few weeks at a time because Trump is so unpredictable. And he says Trump's threats and his tone leave Canada no choice but to find new markets, new partners.

XOTTA: It's been a wake-up call, right? It's been a wake-up call for Canadians that we need to figure out a way to not be as dependent.

KING (voice over): This rift goes beyond what Canadians see as Trump's bad math. They are furious at his bad manners, his constant insults, calling Canada the 51st state and its Prime Minister, governor.

DARRYL LAMB, CANADIAN RESIDENT: We've been in this together for a long time. We fought wars together. We went to Afghanistan. We did all this stuff together. Why? What are you doing here?

KING (voice over): Daryl Lamb is the brand manager at Legacy Liquors. Yes, This too, is a front in the new trade war.

LAMB: There's a Yellow Rose right there from Texas -- right there.

KING (on camera): So, is it popular?

LAMB: It is and if this goes into effect --

KING (on camera): You can't sell this.

LAMB: It'll be off the shelf. It's gone.

KING (voice over): Tito's Vodka too, also from Texas.

LAMB: Diagram of a trade war.

KING (voice over): The Premier of British Columbia says if Trump imposes tariffs, he will ban sales of alcohol from States that Trump won that also have a Republican governor.

LAMB: We've gone through this before with the Russian invasion of Ukraine. We were asked to remove all Russian products from our shelves. KING (voice over): Lamb says some customers rushed to stockpile American favorites, but others want all American products off the shelves.

KING (on camera): So mad at Trump for what he's saying about Canada that they're saying, get it out of here.

LAMB: Hundred percent, absolutely. I'm just worried about this eternal relationship that we've had for 200-plus years being soured for four.

KING (voice over): Vikram Vinayak is a short haul truck driver. Carrying berries destined for the United States on this run.

KING (on camera): What are other loads that are pretty typical?

VIKRAM VINAYAK, CANADIAN RESIDENT: Nursery, trees, auto parts, and produce. Sometimes we pick frozen fish.

KING (on camera): How much of your work or products that you know are going to end up in the United States? More than 80 to 90 percent of our loads are going to U.S.

KING (voice over): As many as five runs a day, 40 to 50 hours a week. But tariffs will cut shipments to the United States and cut Vinayak's hours.

KING (on camera): You have a wife and two daughters?

VINAYAK: Yes.

KING (on camera): And so what does that mean about planning? Thinking maybe we won't make a vacation or maybe we won't buy something, what is it?

VINAYAK: No, no, just planning is nothing. The main thing is how to get out of this situation by finding another job.

KING (on camera): Does that make you mad? You might have to find another job. Do you like this job?

VINAYAK: Yes, I love this job.

KING (voice over): One of many jobs now at risk because of a U.S.- Canada relationship, Trump just shifted into reverse.

John King, CNN. Surrey, British Columbia.

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SOLOMON: And still ahead for us, a playlist fit for a king. The British monarch assembling his favorite tunes to celebrate Commonwealth Day. We are live in London after this short break.

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[05:53:08] SOLOMON: King Charles is sharing his favorite music in a new broadcast show and playlist from Apple Music. The songs come from across the Commonwealth, and the show is scheduled to air on March 10th in honor of Commonwealth Day.

CNN's Royal Correspondent Max Foster live with us in London.

Max, this was not on my bucket list to be talking about this morning. So a pleasure to have you. What do we know about the project and the King's choice of music?

MAX FOSTER, CNN ROYAL CORRESPONDENT: Well, he has a very eclectic selection here. It's everything from, you know, 1930s crooners, Afrobeat stars. So we've got Bob Marley plays pretty high here. Kylie Minogue, Davido and Raye. What he said is he wanted to share songs which brought him joy. He says it brings joy to other people.

And as you say, this is about Commonwealth Day, a different way of presenting it. You're used to those concerts in Westminster Abbey where all the family turns up is very formal. He's trying to reach a broader audience.

He's trying to show, you know, he's inspired by artists from the Commonwealth, making himself relevant to the Commonwealth. There are some issues that we've reported on before. But I think it's just an interesting way of reaching out to the Commonwealth and sharing a bit of himself as well.

SOLOMON: Yeah. And is it one show, Max? Is it a series of shows? Because initially I thought, is this going to be sort of like the former President Barack Obama's partnerships with different streamers? I mean, what do we know about the actual project?

FOSTER: So it's not any sort of commercial agreement, the sort of thing that Harry and Meghan, for example, had with Netflix. It is, I think, just a different way of presenting Commonwealth, realizing that, you know, Apple has got this global audience. So it's -- we're learning more about it. They're dropping different bits of information, effectively, over the course of the day.

[05:55:03]

So it's essentially a show from Buckingham Palace where he talks to his players, but also, of course, he has access to people that you and I don't. He's met a lot of these stars and he gives some anecdotes about what it was like to meet them. He's met Kylie Minogue, for example. They've helped with his charities. And, you know, if you -- if you look back at his career, he has always, you know, loved music. He did the whole playlist for Harry and Meghan's wedding, for example. And that was pretty eclectic as well.

So it's a way of showing how he's been involved in music and there's lots of sort of charities that support music as well.

SOLOMON: Yeah, I thought it was so interesting. I mean, I am also a fan of the Afrobeat star Davido. So I didn't know that I had that in common with King Charles. But good to know this morning.

Max Foster, live in London. Thank you for being with us.

FOSTER: There you are.

SOLOMON: There we are. Good to have you, my friend.

All right. And good to have you as well. Thanks for joining us today. I'm Rahel Solomon, live in New York. CNN This Morning is next after a quick break. I'll see you next week.

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