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18 Countries Issue Heat Warnings For Wednesday; Countries Sweltering Under Record High Temperature; U.S. House To Take Up Senate-Revised Tax & Spending Bill; Trump On Senate Passage: "Happy With The Result"; U.S. House To Take Up Senate-Revised Tax & Spending Bill; Jury Reaches Verdict In Four Of Five Federal Criminal Charges; Trump Visits Controversial Migrant Detention Site In Florida; Powell: Fed Would Have Cut Rates This Year If Not For Tariffs; Ukraine: Missile Factory Struck Deep Inside Russia; Buddhists Gather In India For Dalai Lama's 90th Birthday; Tesla Launches Limited Rollout Of Robotaxis In Austin; 20th Century Studios Announce Sequel For "The Devil Wears Prada". Aired 1-2a ET
Aired July 02, 2025 - 01:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
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JOHN VAUSE, CNN HOST: Record high temperatures across Europe as a heat wave settles in ahead this hour on CNN Newsroom.
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UNIDENTIFIED MALE: Sweating, you know, about three, four, five liters already this morning.
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VAUSE: They're sweating and sweltering across Europe, their first heat wave of the summer just a hint of what is yet to come.
(BEGIN VIDEO CLIP)
UNIDENTIFIED MALE: This teddy bear was hers. Now that in her purse are all that remain.
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VAUSE: Mid-talk of a looming Gaza ceasefire and Israeli airstrike leaves dozens dead.
(BEGIN VIDEO CLIP)
UNIDENTIFIED MALE: People get out, there's not much waiting for them other than alligators and pythons.
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VAUSE: And alligator Alcatraz, the Trump administration's new detention center in Florida designed to terrify undocumented immigrants. That's the point.
UNIDENTIFIED MALE: Live from Atlanta, this is CNN NEWSROOM with John Vause.
VAUSE: Hello, everyone. Much of Europe reigns in the midst of an early extreme heat wave, with both England and Spain coming off the warmest June ever. In London, players and fans enjoy the highest temperatures ever recorded at the south of Wimbledon. And in France, meteorologists believe Tuesday will go down in the history books. It's one of the 10 hottest days the country has ever recorded.
The hot day -- hot, dry conditions, rather, are fueling wildfires across the region. Two people were killed in wildfires in northwestern Spain. Fires have also been burning in France, Italy and parts of Turkey in recent days. Well, cooler weather is coming for northwestern Europe, at least 18 countries in the central and southern parts of the continent remain under heat warnings. CNN's Melissa Bell filed this report while sweltering in Paris.
MELISSA BELL, CNN CORRESPONDENT: This is one of Paris's main train stations, the Gare Saint-Lazare. And you can see people have come out to distribute water to passengers. But perhaps more importantly, in a bigger reflection of the impact of this heat wave on cities like Paris that are simply not used to coping with temperatures like this is that all the trains are now at a standstill and will be for the next several hours because we're told the heat has impacted the rail network. It is a reminder among so many others of some of these very difficult conditions being faced across Europe as a result of this heat wave, not just high temperatures of more than 140 degrees in many parts of Europe this Tuesday from Italy, Spain, Greece and France, but it is also that this heat wave which has come at an earlier time than many of the heat waves we've seen in previous years, 2023, '24 had already seen records set as experts told us this was the new normal, this time the heat has come earlier. And of course, that means greater risks and dangers.
Looking ahead, it has continues to be a very hot summer of wildfires and all the other difficulties linked to extreme heat conditions as Europe settles into what is in its new normal, Europe, which is currently the fastest warming continent in the world.
Melissa Bell, CNN, Paris.
VAUSE: Ralph Keeling is a geochemistry professor at the Scripps Institution of Oceanography at the University of California in San Diego. He joins us this hour from Cornwall in England. Thank you for getting up early.
RALPH KEELING, SCRIPPS INSTITUTION OF OCEANOGRAPHY, UC SAN DIEGO: Thanks for having me.
VAUSE: It's a pleasure. OK, so this extreme heat across Europe, it may be exceptional, it's not unprecedented, but this warning from the meteorological organization seems especially dire. Listen to this.
(BEGIN VIDEO CLIP) CLARE NULLIS, SPOKESPERSON, WORLD METEOROLOGICAL ORGANIZATION: Everybody is at risk. If you go out without water in the middle of the day to do jogging, have a neck, have a bike ride, you will probably have health problems or even die.
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VAUSE: You know, I hate the phrase the new normal, but this is how the new normal, exercising outdoors in summer can kill you. I know that's always been the case, but it seems sort of, you know, much more prevalent now.
KEELING: Yes, and it's beyond the new normal because the new normal keeps shifting every couple of years. So we're on a -- we're kind of on a roller coaster instead of a new normal at this point. And intense heat is part of what we're in for, unfortunately, and really dangerous intense heat in some places.
VAUSE: And how does this actually change the way we live? Because that's what it comes down to. Our lifestyle and the way we live is about to change dramatically or is changing.
KEELING: Well, it's, you know, everyone has different situations. It's going to be hard to generalize, but a lot of people are going to have to adapt by moving or changing how they cope with certain kinds of extreme weather events. And in the U.S. it's not just heat, it's a big one. And certainly in parts of Europe also is wildfire and the intended wildfire smoke. We've been seeing more and more wildfire smoke, and that has direct impacts on people's livelihoods.
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You're going to see people having trouble agriculture and farmers having trouble growing crops. There'll be, you know, long term investments that have been made in planting different kinds of fruit trees or other kinds of agriculture that's going to have trouble right here in Cornwall. They're having -- there's changes in the kinds of things people are catching. And right now there are lots of octopus on offer, strangely, which is -- which is not all bad, but it's -- I think it's a little bit strange for people.
VAUSE: Yes. Europe has taken a leading role in climate change mitigation as well as reduction of carbon emissions. But in the U.S., you know, the Trump administration is actively moving in the other direction. Notably in the budget bill, which looks like it's about to pass, they want to shut down the Mauna Loa Laboratory in Hawaii. That's where the Keeling Curve was born back in 1958.
It's the most conclusive evidence of human caused climate change which has ever been recorded. You know, that information is now available via other sources, but not the historic contest. So what is lost by closing down that lab? What would your father say, Charles David Keeling, about that decision?
KEELING: Well, I don't know if he would say much, but like me, he would be battling to do everything to make sure these records keep going. There -- it's not just that they're the longest records, they also provide a perspective on the present and where we're going that's more precise than other measurements in -- just simply because they have this kind of length and integrity. So they define the trajectory over decades like nothing else. So it's really important. And the trajectory of what is the trajectory of rising carbon dioxide, which is a major and in fact the major change of human induced climate change, tied to fossil fuel burning.
So it's kind of the bottom line on where we stand going forward.
VAUSE: We're also seeing, you know, budget cuts in other climate research mitigation areas in the U.S. You know, the Hurricane Hunter flights, which are still being funded, but the budget for the scientists to record and interpret the data from those flights, that's been cut. And a study which was published back in May found the Hurricane Hunter program improves accuracy of hurricane forecasts by up to 24 percent. So is that information, and is that data available anywhere else in the world or is the U.S. the only place where that information comes from?
KEELING: Well, I can't speak to the specific availability of that data set, but it's an example of just a blunt approach, not very thoughtful. I mean, a related, larger issue is the plan to completely shut down what's called the Ocean of -- Office of the -- Ocean and Atmospheric Research in NOAA. It's basically -- it basically the part of NOAA where actual research is being done as opposed to operational forecasting of weather or fish or oceans. And this is where all the different activities are being improved with new capability, new technology. It's where the scientists are engaged.
This is where the U.S. can establish leadership because of this kind of capability. So it's gutting that whole -- right now and that would just be absolutely devastating.
VAUSE: And just very quickly, we're almost out of time here. But like the cuts and the cutbacks in the United States, what impact will that have on all the work that's being done in Europe? Could it actually mitigate or essentially negate rather what's being done in Europe?
KEELING: Absolutely. I mean, the group that I work with very closely in the ocean of -- Ocean and Atmospheric Research, which does carbon dioxide and other greenhouse gas measurements, we do those measurements at my institution at the Scripps Institution of Oceanography at UC San Diego, but NOAA also has a larger program, and together the UCSD and NOAA programs really are the heart, basically the anchor of the global observations of these species. Other countries are making measurements, but they're more regional and they really depend on having this global backbone that would be lost if these cuts go through. So in order for the other countries to keep similar capabilities going forward, they're going to have to scramble in a big way and they can't really make up for what the U.S. has done. The U.S. has got to stay in this game for everybody's sake at this point.
VAUSE: We'll see what happens, Ralph. Thank you so much, Ralph Keeling from a storied family. Thank you, sir, for being with us. KEELING: Yes, thanks. Thanks for having me.
VAUSE: We've been here before, there are still no guarantees, but after 633 days of war in Gaza, it seems Israel and Hamas might just be ready to call a cease fire.
Word came from U.S. President Donald Trump that Israel has agreed to the terms for a 60 day truce, but Hamas remains an open question. The President has warned Hamas make a deal on his words, it will only get worse.
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The Israeli prime minister scheduled to be at the White House Monday to meet with President Trump.
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UNIDENTIFIED MALE: How firm are you going to be with Netanyahu about ending the war Gaza?
DONALD TRUMP, PRESIDENT OF THE UNITED STATES: Very firm and very firm. But he wants it too, I will say. He's coming here next week. He wants to end it too.
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VAUSE: Well, sources tell CNN the Israeli prime minister held a number of high level meetings Monday to either pursue a cease fire or ramp up the military offensive in Gaza. President Trump says he believes Netanyahu is ready to end the fighting, Israel's longest running war.
Well, after narrowly passing in the U.S. Senate, Donald Trump's budget bill now heads to the lower House. Once again, some Republican lawmakers are demanding changes. Senators approved the bill after a marathon voting session, more than 24 hours, apparently the longest ever. Vice President J.D. Vance was there to cast a tie breaking vote. House Republicans have a July 4th deadline this coming Friday imposed by the president to pass the bill. And senators made changes in the legislation, especially to the Medicaid requirements, adding additional funding for rural hospitals.
They also scrapped the last minute tax on future wind and solar energy projects. Now, whether or not the House approves of those changes is another question. Still, President Trump called the bill's passage music to his ears. More details now from CNN Senior White House Correspondent Kristen Holmes.
KRISTEN HOLMES, CNN SENIOR WHITE HOUSE CORRESPONDENT: After the bill got passed in the Senate by a narrow margin, President Trump and his allies are saying they are confident that this bill is going to get passed in the House. Take a listen to what he said earlier today.
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TRUMP: It's a great bill. There is something for everyone and I think it's going to go very nicely in the House. Actually, I think it will be easier in the House than it was in the Senate. We really were very, very cognizant of three things, Social Security, we're going to take care of it beautifully, Medicare and Medicaid, and we are going to save it.
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HOLMES: Now, according to a White House official, they believe this might be easier because they say they have effectively been whipping up House votes for weeks. They also say President Trump is deeply involved in this process, that he is calling these lawmakers directly. He's not just in touch with congressional leadership, but again, actually making these direct calls to various leaders, various lawmakers who might have problems or issues with the bill as it came back from the Senate. Again, they are being cautiously optimistic. They have reason to as well. What we have seen over the past six months is that essentially President Trump has been able to strong arm most things through Congress once he gets that them that far.
Now, I also spoke to a White House official who said they still believe that they can get this all done by that July 4th deadline, even though President Trump himself had seemed a little bit more willing to be flexible about that date. Right now, they say they are tracking this to be done and signed by July 4th.
Kristen Holmes, CNN, the White House.
VAUSE: Michael Genovese is the president of the Global Policy Institute at Loyola Marymount University. He's also the author of the "Modern Presidency, Six Debates that Define the Institution." He's with us this hour from Los Angeles.
Welcome back, sir. It's good to see you.
MICHAEL GENOVESE, POLITICAL ANALYST: Good to see you, John.
VAUSE: Thank you. Now, the last Republican holdout in the Senate, Lisa Murkowski, she managed to negotiate some good concessions for her state, Alaska. She admits there are still problems, though, with the bill. Here she is.
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SEN. LISA MURKOWSKI (R-AK): My hope is that the House is going to look at this and recognize that we're not there yet.
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VAUSE: So right now it's sort of an open question if the House will pass the bill unchanged as the president wants. It looks unlikely. But, you know, are there the votes? Here, we can listen to this.
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SEN. LINDSEY GRAHAM (R-SC): Do they have the votes to pass exactly what we did? I don't know. SEN. JOHN THUNE (R-SD): We'll see. I mean, you know how hard it was to pass.
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VAUSE: So why did Lisa Murkowski vote for a budget bill which she admits is not ready for prime time? And if the House does decide to amend the bill, does that essentially blow the whole thing up? Is that what she's depending on?
GENOVESE: Well, you know, she was able to extract from the White House some real promises. She put a lot of pressure on the White House, blackmailed them basically so they had to buy her vote. And it was very expensive. And she did a great job for her state. And that's why she voted for this bill that she thinks is not a good bill. And it's not a popular bill nationwide, it's a budget buster that's going to add $33 trillion to the deficit in the next decade.
It does have the tax cuts renewed from 2017. That's popular. But it will cut, in spite of what Donald Trump said in the clip you played, it will cut Medicaid, probably Medicare. It will cut the Affordable Care Act coverage. And so a lot of people are not going to be covered with insurance who are currently covered.
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It's going to cut the SNAP program, which is food support. It will increase funding for ICE and for Defense. Big Donald Trump issues, Big MAGA issues. And it's also going to increase the debt ceiling. So there's a little something for everyone and there's something everyone dislikes in it. There are a lot of broken promises in this from Donald Trump and a few kept promises.
VAUSE: What's interesting is that New York, I don't think is mentioned once in this bill, but Alaska gets 19 mentions, which is an indication of the deal Murkowski managed to get for her state.
Here's a little more now from the U.S. president. He's speaking after the Senate actually approved his Big Beautiful Bill.
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TRUMP: This bill has something for everybody by doing it this way. So we're happy about it. We're happy with the result.
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VAUSE: And just to your point, you know, the result is this massive cut to Medicaid, almost $1 trillion, the House version has $800 billion worth of cuts, so it's about the same reverses those Obama era Affordable Care Act subsidies. And what seems kind of really unusual or significant about this is most Americans don't really know what's coming their way. I mean, they're unaware of all the, you know, the nasties which are buried into this bill, what they're going to be hit with. There are clear winners and there are clear losers and it's coming and most people don't seem to realize that. GENOVESE: And a lot of the losers are going to be Trump space. Red states are going to be hurt by this. The MAGA vote is going to be hurt. The less educated and those who are lower income are going to be hurt. In effect, the Trump base will be hurt by this.
They have been incredibly loyal to him and I think he's counting on them biting the bullet and suffering through this. But you know, as the -- as the old saying goes, be careful what you wish for because Donald Trump may get this bill passed and it may be very, very bad for the Republicans come the midterms.
VAUSE: What is interesting is that budgets like this are statements of priorities in very real terms of dollars and numbers. So you know what the priorities of an administration is just by simply looking at their budget. And the priorities of this administration appears to be, you know, money for ICE and deportation while slashing the budget for FEMA. You know, there is increased, what, their subsidies for the fossil fuel industry, everything from climate change and research and mitigation, that gets slashed as well. I'm just curious, how many people actually did know they were voting for that during the campaign?
GENOVESE: Well, you know, Donald Trump put a good gloss on it and he's very good at that. He's a good salesman. He's had practice at it. And his MAGA base likes to buy what he's selling, literally and figuratively. But how many people know what's in the bill?
Many members of the House admitted that they didn't read the thousand pages of the bill before they voted for it. And so they're relying on their staff quite often. But more than that, Republicans are relying on Donald Trump. Will Donald Trump give them protection if they vote for something that is going to hurt people in their districts?
VAUSE: Yes. And seeing the choice was facing angry Donald Trump now or maybe angry voters at the midterms. And a lot of voters or lawmakers decided we'll face the angry voters in the midterm.
Michael, Genovese, thanks so much for being with us, sir. It's always good to see you.
GENOVESE: Thank you, John.
VAUSE: Take care.
We'll take a short break on CNN. When we come back, a partial verdict in the federal criminal trial of Sean "Diddy" Combs. Tell you what happened in court on Tuesday just ahead of what's going to happen on Wednesday, that's also ahead. Then the U.S. president and the governor of Florida both bragging about the deadly location of a new migrant detention center. Hear what human rights advocates have to say.
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VAUSE: Jury in the trial of entertainment mogul Sean "Diddy" Combs will continue deliberations Wednesday after reaching a verdict on four counts of sex trafficking and transportation to engage in prostitution but were unable to reach an agreement on the racketeering conspiracy count. CNN's Kara Scannell has more details now reporting in from New York.
KARA SCANNELL, CNN CORRESPONDENT: The jury in the Sean Combs sex trafficking trial reached a partial verdict on Tuesday. The jury said they could not reach unanimous decision on count one, that's a racketeering conspiracy charge. But they did reach unanimous decisions on sex trafficking counts and on the transportation to engage in prosecution. The scene inside the courtroom as this was unfolding, Combs was huddled around his attorneys. At one point, one of his lawyers walked over, took a copy of the handwritten note and brought it over to Combs with his lawyers circled around him tightly as they discussed what their next steps were.
The judge asked them what they wanted to do. And both the prosecution and Combs lawyers wanted the jurors to continue to deliberate. The judge brought them back in, instructed them that they should continue to deliberate, follow their duties and obligations. The juror said that they would be back at 9:00 a.m. on Wednesday to resume deliberations. If they're unable to make a decision on this, the judge could issue an Allen charge.
That's a more serious instruction, urging them to try to bridge the gap and reach unanimity on this remaining count. But as for now, the jury will be back inside the courtroom on Wednesday morning to continue their deliberations.
Kara Scannell, CNN, New York.
VAUSE: Earlier, I spoke with entertainment lawyer Lisa Bonner about this trial. I asked her what will happen if the jury remains deadlocked on that final count. Here's part of our conversation.
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LISA BONNER, ENTERTAINMENT ATTORNEY: Well, before they would -- the judge would declare a mistrial, the judge would go back to the jury and give what is called an Allen charge. It's basically the dynamite charge. They -- the judge only gives this in the instance that the jury is hopelessly deadlocked, meaning that he instructs the jury to go back into the deliberation room and to consider each person's point of view, the other opposing person's point of view, without abandoning your own beliefs. But the instance that they want to preserve is they want to preserve the right for appeal, because if you give this -- the Allen instructions too early, that could be a coercive element on appeal. So you don't want to give that too early, so they probably would not give that until Monday.
And it is important to remember, Thursday the courts are closed, and Friday is the official holiday. The judge did say if they want to come back and deliberate on Thursday, they could do that as well, but they could also wait till Monday. So we've got a little bit of time to go.
[01:25:11] VAUSE: They only deliberated for 13 hours, it seems kind of quick to get to the point where they have this unresolved differences.
BONNER: That is correct. That is why the judge basically told them, listen, we're not -- I'm not giving the Allen instructions yet. I'm just going to tell you to go back and just listen, talk to them and reconsider. We're not hopelessly deadlocked. You've only been deliberating a very short time.
So just go back and continue to deliberate. There is no Allen charge yet. So, it's a little bit early for that.
VAUSE: Yes, we know there is agreement -- there's a verdict on the four charges, we just don't know whether it's guilty or not guilty. And those charges include two counts of sex trafficking. And a guilty verdict here requires proof of force, fraud or coercion, which seems a pretty high bar. Is that the hardest of all of these charges to prove? And what does that say in relation to the racketeering charge, the fact that they can't agree on that one?
BONNER: OK, let's break down the counts one, two and three because they all involve an underlying element of sex trafficking. The RICO charge means that they -- that Sean Combs use his human and commercial resources in furtherance of the sex trafficking. So if you believe that that means that he used his assistance allegedly and his security guard and his chief of staff in furtherance of the elements of sex trafficking. Counts two and three are sex trafficking of Jane and Cassie. However, it is only Combs individually, no elements of the enterprise.
So that's where the RICO count one differs from counts two and three. They all involve sex trafficking, but count one involves RICO, meaning that he used the elements of his enterprise in furtherance of the elements of sex trafficking.
VAUSE: Lisa, thank you so much for being with us getting up there early in Thailand. Good to see you. Thank you.
BONNER: Thank you for having me.
VAUSE: Pleasure. Thank you.
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VAUSE: Still to come here on CNN, what the Fed chief has to say about Trump's tariffs and the impact on interest rates.
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JOHN VAUSE, CNN ANCHOR: Welcome back, everyone. You're watching CNN NEWSROOM. I'm John Vause.
Back now to one of the top stories we've been following out of Washington, where the latest version of a bill to fund President Trump's domestic agenda is set for another review by the Lower House.
This comes after a marathon session in the Senate where lawmakers added amendments to this massive bill. Vice President J.D. Vance cast the tie breaking vote Tuesday to move the bill forward.
Well, House Speaker Mike Johnson says a floor vote will come by Thursday at the latest. President Trump wants the bill on his desk by Friday, 4th of July. House Republicans can only afford to lose three votes for it to pass.
Well, the first detainees are set to arrive at a new controversial migrant detention facility in Florida. The Trump administration has dubbed it "Alligator Alcatraz". President Trump and Florida Governor Ron DeSantis toured the facility Tuesday. Both seemed to delight in the potential dangers of its location in the everglades surrounded by alligators.
Protesters say that's just another example of the Trump administrations inhumane policies towards undocumented migrants.
CNN's Isabel Rosales has the story.
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DONALD TRUMP, PRESIDENT OF THE UNITED STATES: We're going to teach them how to run away from an alligator, ok. If they escape prison, how to run away. Don't run in a straight line. Run like this. And you know what? Your chances go up about 1 percent.
ISABEL ROSALES, CNN CORRESPONDENT: President Trump attending the official opening of Florida's new immigration detention camp dubbed "Alligator Alcatraz".
This isolated airstrip transformed into a makeshift detention center deep in the heart of the Florida Everglades, born in part from a partnership between Florida Governor Ron DeSantis and the Trump administration. Governor DeSantis claims its unique security comes cheap.
GOV. RON DESANTIS (R-FL): If a criminal alien were to escape from here somehow, and I don't think they will, you've got nowhere to go. I mean, what are you going to do? Trudge through the swamp and dodge alligators on the way back to 50 -- 60 miles just to get to civilization? Not going to happen.
ROSALES; The governor stressed the facility is both temporary and necessary to alleviate jails overburdened by an influx of migrants detained amid Trump's immigration crackdowns.
Our camera toured the site showing bunk beds and cages under heavy duty tents and repurposed FEMA trailers marking the new holding cells built to hold 3,000 people with room for more, making it the largest detention center in the U.S.
It's outfitted with 28,000 feet of barbed wire, more than 200 surveillance cameras and staffed by over 400 security personnel. The annual price tag to run the facility -- $450 million, according to one DHS official.
TRUMP: In total, the average illegal alien costs American taxpayers an estimated $70,000. That's each $70,000. I think that number is even lower. If you care about balancing the budget, the single most impactful step we can take is to fully reverse the Biden migration invasion.
ROSALES: Critics call it a humanitarian and environmental disaster in the making.
ZAC COSNER, PROTESTER: This is an environmentally-destructive and spiritually poisonous prison camp that they want to construct on sacred land in sensitive habitat that cannot be allowed to stand.
RACHEL BASS, PROTESTER: It's going to be hard on the environment, and it's going to be hard on the people that are caged here.
ROSALES: Migrant advocates call the conditions inhumane.
THOMAS KENNEDY, SPOKESPERSON, FLORIDA IMMIGRANT COALITION: The fact that we're going to have 3,000 people detained in tents in the Everglades in the middle of the hot Florida summer during hurricane season, right? I mean this is a bad idea all around that needs to be opposed and stopped.
[01:34:41]
ROSALES: CNN reported last month using ICE data that fewer than 10 percent of migrants under ICE custody since October were there convicted of any sort of serious crimes. Things like murder, assault, robbery or rape.
And more than 75 percent of them had no conviction at all other than an immigration or traffic-related offense.
Isabel Rosales, CNN -- Ochopee, Florida.
(END VIDEOTAPE)
VAUSE: Interest rates in the U.S. would most likely be lower now, according to the chairman of the Federal Reserve, who adds any cuts were put on hold because of Donald Trump's sweeping tariffs and global trade war.
Jerome Powell says the Central Bank is focused on delivering economic stability for the benefit of all people, and will do so in a nonpolitical way. His comments come amid increasing pressure from Donald Trump to lower rates.
Here's CNN's Vanessa Yurkevich.
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VANESSA YURKEVICH, CNN BUSINESS AND POLITICS CORRESPONDENT: Yes. Jerome Powell was asked at this central banking forum really point blank whether or not President Trump's public pressure on him and the Federal Reserve to lower interest rates had made it harder for him to do his job.
And this is what he said, quote, "I'm very focused on just doing my job." So very much brushing off the president's comments of late.
And the president really has been putting this public pressure on Jerome Powell for months now to lower interest rates so much so that just on Monday, he wrote this handwritten note to Jerome Powell on a sheet of paper that had world central bank rates. And on the piece of paper, you can see that there are 34 countries that have interest rates lower than the United States.
And on this note, President Trump wrote essentially that Jerome Powell was costing the United States hundreds of billions of dollars and made the suggestion for the Federal Reserve to lower interest rates to 1 percent. Currently, interest rates are four times -- more than four times that.
But at this central banking forum, Jerome Powell was asked whether or not the fact that the Federal Reserve has not lowered interest rates had much to do with the trade war.
Here is what he said about that.
UNIDENTIFIED FEMALE: Chair, would the Fed have cut more by now if it weren't for the tariffs?
JEROME POWELL, CHAIRMAN, FEDERAL RESERVE: So I do think -- I think that's right. We're -- in effect, we went on hold when we -- when we saw the size of the tariffs and where and essentially all inflation forecasts for the United States went up materially as a consequence of the tariffs.
So we didn't overreact. In fact, we didn't react at all. We're simply taking some time.
YURKEVICH: Jerome Powell went on to say that the current interest rate levels are moderately restrictive. And that's by design, because the Federal Reserve is in wait-and-see mode to see if the tariffs start to show up in the economy.
Jerome Powell does believe that in -- that, excuse me -- that inflation will rise in the next few months. But he didn't go on to say that they would be making cuts in July. That was very much left open.
But he did say he believed that there would be cuts at some point this year. There are four more meetings this year.
There are some, though, within the Federal Reserve, people who vote on what to do with interest rates, who are saying that there should be a cut in July. One of those people is vice chair Michele Bowman, who said that if inflation pressures remain contained, that "I would support lowering the policy rate as soon as our next meeting." Those are her words.
And also, voting member Christopher Waller, who said that they're in a good spot now for bringing down rates. Now, investors on Wall Street, about 20 percent of them, believe that there will be a cut in July. The rest of the 80 percent think that it's unlikely.
Just one thing to keep an eye on is how much more pressure the president puts on Jerome Powell to lower interest rates. It has been a steady campaign, but Jerome Powell, for his part, saying he's very much focused on his job and keeping the independence of the Federal Reserve very much separate from the federal government.
Back to you.
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VAUSE: The Pentagon has paused some weapons shipments to Ukraine, including air defense missiles, which are crucial in defending against Russian airstrikes.
An administration official says the pause is the result of a month's long review by the Pentagon of international military assistance, and reflects the president's policies to put America's interests first. No word if military aid to any country besides Ukraine has been affected.
Ukraine has again carried out an airstrike deep inside Russian territory, hitting a factory believed to be producing missiles and drones more than 1,300 kilometers from the Ukrainian border.
CNN's Nick Paton Walsh has details.
(BEGIN VIDEOTAPE)
NICK PATON WALSH, CNN CHIEF INTERNATIONAL SECURITY CORRESPONDENT: These are indeed extraordinary images of panic around a Russian arms plant.
You can hear, in fact, the gunfire of what is likely to be security personnel shooting up at what they think are drones about to hit the area around them.
[01:39:46]
WALSH: But also it's extraordinary because of how deep inside Russia this was -- 800 miles inside -- hitting what a Ukraine security official tells CNN was a target they were aiming at -- the Kupol electromagnetic plant, which Ukraine says is responsible for the construction of tor missiles, Osa anti-missile systems and indeed the Garpiya (ph) attack drone used frequently across the front lines by Russia.
Russian officials, though, say that three people were killed in this attack and 35 injured. Unclear if they were civilians or people working at the factory plant itself.
But Izhevsk, where this attack occurred, so key to Russia's arms industry. But it comes at a time of bad news for Ukraine across the front lines, and indeed, suggestions today from some Ukrainian military bloggers that, in fact they've lost the largest amount of territory on the front lines in June for a number of months as Russia continues its slow incremental advances. Not quite the vast summer push that many had expected yet, but
suggestions Russia is amassing over 100,000 troops near the strategic eastern town of Pokrovsk, and possibly 50,000 near the northern Ukrainian city of Sumy.
Many deep concerns about what Russia's intentions may be in the weeks ahead, even if Ukraine is increasingly showing how deep inside Russian territory it can penetrate with some accuracy.
Nick Paton Walsh, CNN -- London.
(END VIDEOTAPE)
VAUSE: In a moment in northern India, there are celebrations for the Dalai Lama's 90th birthday, with some expectations he may in fact share some details of who he plans to be next time. More on that in a moment.
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VAUSE: Well, a birthday party 90 years in the making in northern India for the Dalai Lama. It's happening this weekend. And Buddhist monks and followers are gathering for a religious conference as well to mark the occasion.
The Dalai Lama could be sharing some clues about his spiritual successor, who he will be reincarnated as to lead the Buddhists around the world.
Live now to Beijing and CNN's Steven Jiang. This is not an area without complication, though.
[01:44:52]
STEVEN JIANG, CNN BEIJING BUREAU CHIEF: Yes, John, the Dalai Lama actually just announced he intends to continue a centuries' old spiritual tradition to reincarnate and saying that his -- a trust run by his office has the sole authority to decide his reincarnation.
Now he has also recently said that his reincarnation or successor will be born in the free world, meaning outside China. That's a notion very much rejected by the Communist authorities here in Beijing. They insist -- the Chinese officials insist they actually have the final say in deciding the next spiritual leader of Tibetan Buddhism.
So all of this is really setting things up for a new round of clashes between the Dalai Lama and the Communist authorities here ever since he fled his homeland back in 1959 after a failed uprising against Beijing's rule.
Now, the concern here, of course, is Beijing is going to deploy the same playbook it did back in the 1990s, when the second highest ranking figure in Tibetan Buddhism called Panchen Lama, died. Back then, the Dalai Lama, already in exile, actually picked a six-year-old boy in Tibet as the next Panchen Lama. But the boy was promptly taken away by Chinese authorities, and he has
never been seen again. Instead, Beijing installed its own choice to that position, and that person obviously has been toeing the party's official line, even though he is very much viewed as an impostor by the Dalai Lama and his supporters.
So this scenario is now feared to be repeated again after the passing of the Dalai Lama and the irony here, of course, John, is the Dalai Lama despite being called a hardcore separatist, has insisted for years that he does not seek independence for Tibet. Instead, he wants genuine autonomy.
That's actually a view not shared by many in the younger generation of Tibetan in Tibetan exile. So the -- all of that, of course, is going to have major implications for Tibet, Tibetan Buddhism and geopolitics, because as you -- as you can imagine, this could have really impact on China's domestic social stability as well as international image for years to come, John.
VAUSE: Well, you know, the Catholics had two popes at the same time at one point in history. So, you know, it happens. Steven, thank you. Steven Jiang in Beijing.
In a moment, Tesla has launched its first robotaxis, and fans are impressed with the technology. Safety advocates, though expressing some concern. Details in a moment.
[01:47:19]
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VAUSE: Tesla is rolling out its long-awaited for, much publicized robotaxi service. But for now only in one American city and only for a select group and with a Tesla employee riding in the front passenger seat.
CNN's Ed Lavandera has details reporting in from Texas.
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ED LAVANDERA, CNN NATIONAL CORRESPONDENT: Finding a Waymo driverless car in Austin is easy. Finding a Tesla with a driver even easier. But finding the new driverless Tesla robotaxis requires a little effort.
I don't think there was one.
So these Tesla robotaxis are allowed to operate in a very kind of fixed area of south Austin. So we're going to go out and travel the streets and see if we come across one.
Tesla has launched 10 to 20 robotaxis onto Austin's streets.
Theres the robotaxi.
So this is where the story might feel a little strange. We can't get in a robotaxi, so we followed it. The robotaxi isn't fully driverless yet. There's a Tesla employee in the passenger seat.
We watched the car navigate through traffic and make proper stops and turns.
Seems to be moving around quite smoothly, zigzagging through various parts of south Austin. But what is interesting is we actually haven't seen anyone get in it.
And there's a reason for that.
So not just anybody can jump into one of these Tesla robotaxis. In fact, the way the company rolled the taxis out was by inviting a group of social media influencers to town.
UNIDENTIFIED MALE: We have the very first robotaxi ride on the way to us.
UNIDENTIFIED MALE: We are going to keep you covered today on the Tesla robotaxi launch.
LAVANDERA: These are content creators that basically specialize in making Tesla videos, so they're enthusiasts about what the company is doing and given special access to the app to be able to ride around in these robotaxis.
This is Chris, he asked that we not use his last name. He posts videos under the handle Dirty Tesla.
CHRIS, SOCIAL MEDIA INFLUENCER: So let's hop in.
LAVANDERA: How do you think robotaxi did?
CHRIS: It did great. The car didn't do anything crazy, so I think they could probably start expanding pretty quick.
LAVANDERA: Chris says he took about 50 rides in three days and was impressed by a few moments.
CHRIS: It pulled over.
UNIDENTIFIED MALE: Yes, it pulled over.
CHRIS: The robotaxi just pulled over for the ambulance.
LAVANDERA: The robotaxi also navigated a construction zone.
UNIDENTIFIED MALE: We actually have to drive on the opposite side of the road.
LAVANDERA: There were a few weird moments, as Chris described it, like when he tried to end a ride early.
CHRIS: And right now the vehicle will pull over to the nearest safe location. Heck yes, let's do it.
LAVANDERA: The robotaxi stopped in the middle of the road. Chris says a remote operator had to correct the issue. The Tesla then moved to a safer drop off location.
CHRIS: The car is doing something wrong, then you need to talk about it and show it. But I think at the end of the day, Tesla, even if it's a minor issue or it's a major issue, people are going to talk about it.
LAVANDERA: Dan O'Dowd founded a watchdog group called The Dawn Project to make technology safer for humans. The group argues that Tesla's full self-driving software, which has been available for several years, is not safe enough.
DAN O'DOWD, THE DAWN PROJECT: We have over a thousand videos of these fails, and we've got them all categorized by running red lights, running stop signs, excessive speeding, slamming the brakes on for no reason.
LAVANDERA: O'Dowd's group simulated a child crossing the street by a school bus eight times.
The Dawn Project used a Tesla with what the company calls full self- driving, not a robo taxi. But the cars would use similar software technology.
The Tesla didn't stop in time on every single test. Tesla did not respond to any of our questions for this story.
[01:54:48]
LAVANDERA: We should point out that the company does make continuous software improvements, but for O'Dowd, the Tesla driverless technology puts lives at risk.
O'DOWD: They need to be off the road. Why would you allow it on the road while there are known severe bugs in the software?
LAVANDERA: The evolution of technology continues marching down the road with no driver behind the wheel.
Ed Lavandera, CNN -- Austin, Texas.
(END VIDEOTAPE)
(BEGIN VIDEO CLIP)
MERYL STREEP, ACTRESS: And it's sort of comical how you think that you've made a choice that exempts you from the fashion industry, when in fact, you're wearing a sweater that was selected for you by the people in this room from a pile of stuff.
(END VIDEO CLIP)
VAUSE: "The Devil Wears Prada" lives on. 20th Century Studios, announcing a sequel is in production. That's 19 years after the original release. The announcement comes at a historic moment within the fashion industry, which inspired the movie. Days ago, Anna Wintour stepped down from her almost four-decade long
career as editor in chief of "Vogue". Wintour is believed to have been the inspiration for Meryl Streep's iconic character, Miranda Priestly, who, by the way, will be back in the sequel along with Anne Hathaway, Stanley Tucci and [overtalking].
A New Jersey state senator is taking one of President Donald Trump's idea and running with it. State Senator Michael Tester has introduced a bill in the state legislature that would change the name of Delaware Bay to the Bay of New Jersey.
The Delaware Bay is an outlet of the Delaware River that sits between Delaware and New Jersey.
(BEGIN VIDEO CLIP)
DANIEL HART, DELAWARE RESIDENT: I don't even want New Jersey to be there. Let alone to rename the Delaware Bay. They want to name a little piece of land in their side, that's fine, but not the whole bay.
BOB WOOD, SLAUGHTER BEACH VICE MAYOR: I mean, you know, number one, the Delaware River feeds into the Delaware Bay. But the other problem with it is it's really expensive. If you're going to change the name of the Delaware bay, every map has to change. All the signage has to change.
(END VIDEO CLIP)
VAUSE: If this bill passes, the new name would be used on all state official documents, signs and web sites. And it really does matter.
Thank you for watching. I'm John Vause.
CNN NEWSROOM continues with my friend and colleague Rosemary Church after a short break.
See you right back here tomorrow.
[01:56:57]
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