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Death Toll From Texas Floods Now At 104, 24 Still Missing; Trump Delays Reciprocal Tariffs Anew; Israeli P.M. Meets Trump, Tackles Gaza Peace Talks. Aired 3-4a ET
Aired July 08, 2025 - 03:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
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ROSEMARY CHURCH, CNN ANCHOR: Hello and welcome to our viewers joining us from all around the world and to everyone streaming us on CNN Max. I'm Rosemary Church. Just ahead.
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UNKNOWN: If we could have warned them, we would have done so. And we didn't even have a warning.
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CHURCH: Days after flash flooding killed more than 100 people in Texas, devastated residents are asking how this could have happened.
Donald Trump is warning other nations that time is running out to make a trade deal as he delays implementing his so-called reciprocal tariffs yet again.
And Israeli Prime Minister Benjamin Netanyahu meets with the U.S. President at the White House with an eye on getting the Gaza peace talks moving again.
UNKNOWN (voice-over): Live from Atlanta, this is "CNN Newsroom" with Rosemary Church.
CHURCH: And we begin in central Texas where search and rescue teams are continuing efforts to find any survivors. Days after flash floods devastated parts of the region. At least 24 people are still missing, including 10 campers and one counselor from Camp Mystic, the all-girls camp that was devastated by floodwaters. The camp sits along the Guadalupe River, which rose rapidly early Friday morning before many young campers could escape.
The camp has now confirmed that 27 of its campers and counselors were killed over the weekend. Texas officials say 104 people have been killed in the disaster overall.
The White House says U.S. President Donald Trump is planning to visit the disaster area possibly on Friday. This comes as federal and local officials face scrutiny for various parts of the disaster response and questions about why there wasn't an organized evacuation effort after the National Weather Service warning.
Texas Senator Ted Cruz spoke about that on Sunday.
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SEN. TED CRUZ (R-TX): I think we will have a reasonable conversation about, A, are there any ways to have earlier detection? And some of that, the limits of a flash flood, they're very difficult because they can arise so quickly.
But everyone would agree, in hindsight, if we could go back and do it again, we would evacuate particularly those in the most vulnerable areas.
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CHURCH: CNN's Isabel Rosales takes us through the timeline of the flash floods and how the extreme weather caught some Texas residents off guard.
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CRUZ: Texas is grieving right now.
ISABEL ROSALES, CNN CORRESPONDENT (voice-over): Grieving and bracing for more rain, as urgent rescues are still underway for dozens who are missing after the devastating floods that ravaged central Texas over the holiday weekend, bursting the seams of the Guadalupe River and taking the lives of at least 104 people, including 27 campers and counselors from a summer camp in Kerr County.
CRUZ: There's still 10 girls and one counselor from Camp Mystic that are not accounted for. And the pain and agony of not knowing your child's whereabouts, it's the worst thing imaginable.
ROSALES (voice-over): Four months of rain fell in a matter of hours, the destructive and fast-moving floodwater beginning just before sunrise on the 4th of July, the river rising 22 feet in just 30 minutes, taking everything in its path with it. And many are asking why alerts weren't received and evacuations didn't take place.
DALTON RICE, KERRVILLE CITY MANAGER: Well, evacuation is a delicate balance because if you evacuate too late, you then risk putting buses or cars or vehicles or campers on roads into low water areas trying to get them out, which then can make it even more challenging because these flash floods happen very quickly. It's very tough to make those calls because what we also don't want to do is cry wolf.
ROSALES (voice-over): But many families wishing they had taken that chance.
The timeline as we know it now, the first flood watch was issued on Thursday in the afternoon and in the early evening at 6:30 central time. Then the first emergency alert came out at 1:14 the morning of the 4th, and then again at 4:03 in the morning, just an hour before the river burst at around 5:00 in the morning. Then a second emergency alert was issued for Kerrville at 5:24 A.M. And then at 5:34, an emergency alert was issued for the Guadalupe River area.
But phone alerts were reportedly not received by some people in an area known to have spotty cell service, 19 different local and state agencies are working urgently to find those still missing. Some rescue teams using the aid of cadaver dogs in their search.
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A man in Center Point, Texas, heard the screams of a young woman who was clinging to a tree after being swept away in flood water from a camping site miles away with her family.
CARL JETER, CALLED FOR HELP FOR A STRANDED WOMAN: I didn't know that she was in a tree, but as it turned out, I finally spotted her in the tree and I began to yell back across to her that, hey, I see you, I'm going to get help.
ROSALES (voice-over): And many others have come out to volunteer their time in the search before the next rainfall comes.
MICHAEL GUYER, VOLUNTEER: I figured I can at least come and help relieve them of some stress and exhaustion. Now I know that up towards Hunt and everything, they're still expecting possibly more storm surges. So we have--
ROSALES: That's a big problem.
GUYER: Yes. And we have to be on the lookout for that too.
ROSALES: This is rough and rural terrain that volunteers and first responders are having to go over. Also, dangerous debris at points, if it's not the heavy tree limbs, then it's down barbed wire that people are stepping over. Even fire ants that I've seen fighting up the volunteers.
And take a look right over there. You see that? That is a paddle boat all the way up on that tree, a reminder of just how powerful these flood waters were and a reminder also to look up.
Isabel Rosales, CNN, Center Point, Texas.
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CHURCH: For more on this, I'm joined now by Geoff Cornish, an assistant chief video meteorologist with AccuWeather at State College, Pennsylvania. I appreciate you being with us.
GEOFF CORNISH, ACCUWEATHER METEOROLOGIST: Thank you so much for having me on.
CHURCH: Of course. And of course, tragically, these catastrophic flash floods have taken the lives of more than 100 people, many of them children. And now there are growing calls for accountability, with many asking why so many people were taken by surprise, even as flood watches were in effect, and why campers and residents along the riverbank were not evacuated earlier. What went wrong here?
CORNISH: This is a challenging problem. And I suspect that what complicated this the most was the timing. The fact that the flooding escalated rapidly between midnight and 4:30 a.m. There were flood watches issued as early as the preceding afternoon, Thursday afternoon at 1:48 p.m.
And a flood watch, just like a tornado watch or a severe thunderstorm watch, is kind of a heads up that the ingredients are in place for problems to develop. But that's not necessarily the take action notice, it's more the get ready to take action notice.
The take action notice is the warning, and a flash flood warning was issued by the National Weather Service at 1:14 a.m. AccuWeather issued a SkyGuard alert parallel to a flash flood warning at 12:44 a.m. And the National Weather Service's warning at 1:14 a.m. was still three hours before the deadly water rise.
So this was a case where people needed to evacuate, and it was highly inconvenient to do so in the middle of the night, but it needed to be done because it did cost people their lives. And awareness is low. Some of these areas may have had limited cell phone service, but the old-fashioned but still modern and effective NOAA weather radio system does cover this area very well.
Most of the county, most of Kerr County, Texas, is covered well by NOAA weather radio. There's actually a NOAA weather radio transmitter in Kerrville. So the good old-fashioned NOAA weather radio will wake you up, and you'll get that flash flood warning even if you're in the midst of your sleep.
Now, these children can't be held responsible, obviously, but there are adults who need to make those decisions. And this is profoundly difficult, whether it be at a camp for children or along an R.V. park or other private residents who happen to live along the water's edge. A very sad story at a very difficult time in the middle of the night.
CHURCH: Yes, I mean, it is. And when you think that alert, there was one that was upgraded at 4:03 in the morning. I mean, everyone's fast asleep at that time, aren't they? So is there any way of putting out these alerts and emergency warnings earlier than this?
CORNISH: The earlier you issue, the more warnings you'll have and the greater the number of false alarms will be on the map. And I think if we get inundated with too many false alarms, people will take less action. They'll just shrug the warnings away.
So I really think and I suspect that there may have been decision makers, I'm not positive, who received the flash flood warning. NOAA weather radio will wake you up if you're a decision maker involved with a summer camp.
Somebody has to be keeping a close eye on weather, just like you keep a close eye on security risks and other things that we look out for on the human side of these places. CHURCH: I mean, it makes weather radios imperative, doesn't it?
Because this part of Texas has a long history of flooding, and that is exactly why meteorologists refer to it as Flash Flood Alley.
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So where was the disconnect between the alerts and the officials who needed to get evacuation plans put in place, given even the mayor of Kerrville says he was caught off guard and did not receive any warnings? Where was the breakdown in communication?
CORNISH: I have a suspicion that not enough people have NOAA weather radios. That's my suspicion. I also think it's human nature to see that flash flood alert on your phone through the same system that issues tornado warnings or severe thunderstorm warnings or AMBER alerts.
People, we get notified a lot. And I realize that. So it's easy to shrug this off whenever you get an alert like that, assuming that the outcome of this flash flood warning may be similar to the preceding 10 or 12 or 18.
But we have to take these especially seriously, especially if you're the person responsible for the well-being of other people in your care.
So I don't know. And I'm sure there will be an investigation. I'm not -- I don't know exactly what went on at the camp or at the R.V. Park or, you know, in so many individually, privately owned homes along the water's edge, whether it be an Airbnb or what, on a major holiday weekend.
But again, it's important to take action when those flash flood warnings are issued, especially if you're in a floodplain.
CHURCH: Geoff Cornish, thank you so much for joining us. I appreciate it.
CORNISH: Thank you so much.
CHURCH: And we are continuing to learn more about the lives lost in the Texas floods. Here are some of the stories of those we know so far who have passed away.
Blair and Brooke Harber, 13 and 11 year old sisters, went missing during the flooding along with their grandparents. Their father confirmed their deaths, telling CNN that Blair was a gifted student with a generous and kind heart. He described Brooke as, quote, "a light in any room."
The girl's aunt told the "Houston Chronicle" their bodies were found holding hands. Their grandparents have not been located.
Eight year old Hadley Hannah was at Camp Mystic for the first time. Her mother says, quote, she seemed to be loving camp and described her as the most joyful, happy kid with a smile on her face. Jane Ragsdale was the director, co-owner and, quote, "heart and soul" of another all girls camp, Heart of the Hills in Hunt, Texas.
A statement from the camp says Ragsdale influenced countless lives and was the definition of strong and powerful. The daughter of Dr. Catherine Eads tells CNN her mother, quote, "lived a fulfilling life cut far too short. She was an incredible wife, daughter, mother, grandmother and person who spent her life helping kids."
Julian Ryan died trying to save his family when floodwaters filled their home. He punched out a window so they could climb onto the roof and in the process severed an artery in his arm. Emergency workers could not get to his home to save him.
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CHRISTINA WILSON, JULIAN RYAN'S FIANCE: He looked at me and the kids and my mother-in-law and he was sorry. I'm not going to make it. I love you all.
CONNIE SALAS, JULIAN RYAN'S SISTER: He's a hero and that will never go unnoticed.
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CHURCH: And we will, of course, bring you the stories of other victims as they become available.
Well, meanwhile, Tropical Depression Chantal has been wreaking havoc in the southeastern U.S. It's the first named storm of the Atlantic hurricane season to hit the U.S. after making landfall in South Carolina on Sunday. The storm has since turned north, moving deeper inland.
Heavy rain has caused dangerous flooding in North Carolina and strong winds are creating hazardous beach conditions for much of the eastern seaboard. Dozens of rescues have been reported in Chapel Hill and neighboring Durham County, some of the worst hit areas in North Carolina. A local river rose more than 20 feet or six meters in less than four hours.
While the storm has weakened, the National Hurricane Center warns the remnants of Chantal will impact coastal New England this week.
The U.S. President announces punishing new tariffs and once again pushes them back. The so-called reciprocal tariffs, due to take effect Wednesday, now have a new deadline of August 1st.
Donald Trump said they are, quote, "firm, but not 100 percent firm," indicating it's not too late for trade partners to negotiate. He also sent out a wave of letters warning of new tariff rates of up to 40 percent if no deals are reached.
The letters went out to major allies like Japan and South Korea, who will see their levies rise to 25 percent without new agreements. President Trump warned countries will see even higher tariff rates if they dare to retaliate.
The news caused Wall Street to take a dive on Monday. All three major indices ending sharply in the red.
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And here's a look at the U.S. futures. You can see the Dow down slightly, but S&P 500 futures up along with the Nasdaq futures, too. We'll see what happens in the coming hours.
I do want to bring in CNN's Marc Stewart now, who's live from Beijing. Good to see you again, Marc. So Wall Street didn't like President Trump's tariff threats on Monday, but that wasn't the case across Asia, was it? What's the latest on all this?
MARC STEWART, CNN CORRESPONDENT: Right, Rosemary, it's so interesting to see how different parts of the world have been reacting to this tariff announcement, as you mentioned, a very rough day yesterday in the United States.
One analyst suggesting that perhaps these tariff rates that were announced were higher than expected, and as we saw, a big decline. Yet here today in Asia, a bit stunning in the sense that we have been seeing a very strong trading day, pretty much in the green across the board.
This is despite the fact these tariffs in particular are being targeted toward Japan and South Korea, longtime American allies, nations that produce products that so many Americans depend on.
Of course, we have the automobile industry. But think about the electronics.
We have companies like L.G., Sony, Samsung that make things such as flat screen T.V.s, headphones, even washing machines. These are products that are going to cost more for the American consumer.
Certainly American consumers aren't going to like that. But for these companies here in Asia, it's also an additional strain. Yet we are seeing these gains.
What's the reason? I was talking to one economist earlier today who suggested the fact that President Trump is leaving the door open, leaving room for negotiations, is perhaps why we are seeing these encouraging signs. Nonetheless, it does create some stress for the Japanese and for the South Korean government.
We heard from the Japanese Prime Minister earlier. Let's listen to some of his remarks about the challenges ahead.
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SHIGERU ISHIBA, JAPANESE PRIME MINISTER (through translator): At the current time, there are some points on which the United States and Japan cannot reach agreements still remaining, and therefore no agreement has yet been made. This is because we, as the government of Japan, have avoided making easy concessions and have pursued robust talks, seeking what we ought to seek and defending what we ought to defend. (END VIDEO CLIP)
STEWART: So the hours ahead are going to be critical. Sometimes what happens in Asia sets the tone for the rest of the trading day in other parts of the rest of the globe.
Markets set to open very shortly in Europe. We'll have to see if the gains here extend over to the Atlantic Ocean side of things when markets in Europe open. And of course, Rosemary, the trading day in the U.S. still many hours away.
CHURCH: Indeed. We'll watch to see what happens. Marc Stewart brings that live report from Beijing, many thanks.
Well, momentum seems to be growing toward a ceasefire between Israel and Hamas. Why Monday's dinner at the White House is adding to the speculation. We'll go live to Abu Dhabi for the latest developments.
And President Trump issues blunt warnings about new tariffs after bumping back his deadline yet again. Back in just a moment.
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CHURCH: After months of halting progress and Israel's devastating bombardment of Gaza, the effort to reach a ceasefire between Israel and Hamas seems to be gaining traction. Following Monday's White House talks, Benjamin Netanyahu said he believed a very broad peace is possible in the region because of U.S. leadership.
But Netanyahu's lavish praise for Donald Trump did not stop there.
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BENJAMIN NETANYAHU, ISRAELI PRIME MINISTER: So I want to present to you, Mr. President, the letter I sent to the Nobel Prize Committee. It's nominating you for the Peace Prize, which is well-deserved and you should get it.
DONALD TRUMP, U.S. PRESIDENT: Thank you very much. This I didn't know. Well, thank you very much.
Coming from you in particular, this is very meaningful. Thank you very much, BiBi.
NETANYAHU: Thank you. Thank you for everything you do.
TRUMP: Thank you. It's a great honor.
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CHURCH: CNN's Paula Hancocks joins us now live from Abu Dhabi. So, Paula, what more can you tell us about Benjamin Netanyahu's talks with President Trump? And how is the Israeli Prime Minister keeping his far-right cabinet members on track with these renewed ceasefire talks?
PAULA HANCOCKS, CNN CORRESPONDENT: Well, Rosemary, this meeting between the two leaders was happening as these proximity talks are ongoing in Doha.
We did hear from the White House that the Middle East envoy, Steve Witkoff, is expected to head to the region later this week to join those talks. So suggesting that they are potentially moving forward at this point. Certainly, there does appear to be momentum.
But what we heard from the Israeli Prime Minister was, as you say, gushing praise for President Trump, but also looking at the wider region, saying that he believes there is a possibility for peace with all of Israel's neighbors.
Now, looking at Gaza itself, he was asked, or at least President Trump was asked by a reporter about his idea of moving all of the Palestinians out of Gaza and creating what he called a Riviera of the Middle East.
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Now, he passed that question directly on to Mr. Netanyahu, who said that he believed that President Trump had had very brave ideas. Let's listen to his exact words.
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NETANYAHU: Free choice. We're working with the United States very closely about finding countries that will seek to realize what they always say, that they want to give the Palestinians a better future. And those who and I think we're getting close to finding several countries.
And I think this will give, again, the freedom to choose. Palestinians should have it. And I hope that we can secure it close by.
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HANCOCKS: There are far-right elements within Netanyahu's coalition who do not want to see this ceasefire hostage deal being agreed in Doha. We heard from Itamar Ben-Gvir, one of the ministers, after the announcement of the death of five Israeli soldiers in northern Gaza on Monday, saying he believed that the delegation should return to Israel, that he said they should, those who killed Israeli soldiers should be starved to death and not revived by humanitarian aid.
So, Mr. Netanyahu, while being pressured by the U.S. President to agree to this ceasefire, also has pressure on the far right of his coalition, which, if they left, could potentially leave him in political limbo, saying that they don't want it to happen. And certainly we've seen that have significant influence on him in previous talks. So although there does appear to be momentum in these talks, they are by no means finalized at this point, Rosemary.
CHURCH: Alright, we'll see where they go. Paula Hancocks, joining us live from Abu Dhabi with that report. I appreciate it.
Well, before Monday's dinner with the Israeli Prime Minister, President Trump told reporters he plans to send additional defensive weapons to Ukraine. This despite an administration official announcing last week that the U.S. would be pausing weapons shipments following a review of military spending. Mr. Trump admitted Russia has been hitting Ukraine hard and said, quote, "they have to be able to defend themselves."
Well still to come, at least 28 children have died in the Texas floods in what's believed to be one of the deadliest disasters involving children in U.S. history. We will take a closer look at the lives lost. That's just ahead.
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CHURCH: Welcome back to "CNN Newsroom." I'm Rosemary Church. I want to check today's top stories for you.
President Trump is imposing new tariffs of up to 40 percent on 14 countries that trade with the U.S. Back in May, he said reciprocal tariffs would kick in this Wednesday. The White House says the new deadline is now August 1st.
A note of optimism following the Israeli Prime Minister's White House meeting with the U.S. President. Benjamin Netanyahu said he believes a very broad peace is possible through President Trump's leadership following their discussion on Monday. The White House said Trump's special envoy to the Middle East will be joining the negotiations in Qatar this week.
Texas officials report more than 100 people have died in the catastrophic flooding over the weekend, at least 24 remain missing across the affected areas. Texas Governor Greg Abbott says more than 20 state agencies are responding to the flooding. More rain is expected this week, but at the moment, the weather is not likely to present much of a flood threat.
Search-and-rescue teams in Texas are refusing to give up hope in their efforts to find survivors of this weekend's catastrophic flash floods. Meanwhile, communities are mourning for those who were lost, including 28 victims who were children.
CNN's Tom Foreman has more.
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TOM FOREMAN, CNN CORRESPONDENT (voice-over): In the wake of the rising Texas flood waters, the list of victims is growing. Especially at Camp Mystic, where more than two dozen campers and counselors die.
Lila Bonner was there enjoying the summer before third grade. Her parents wrote, "We ache with all who loved her." They say she was killed with her cabin mate and best friend Eloise Peck.
Her family says she loves spaghetti, dogs and animals.
A vigil was quickly called for Lenny McCown and Mary Stevens, two elementary school age victims from Austin. While elsewhere, families are mourning Renee Smallstra, Janie Hunt and Hadley Hannah, who was enjoying her first year at the camp. Her mom said she was the most joyful, happy kid.
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Anna Margaret Bellows came from Houston, Sarah Marsh came from near Birmingham. And camp owner Dick Eastland came to the rescue as hundreds of campers were pulled to safety. His grandson says Eastland lost his life trying to reach more, noting on Instagram, "If he wasn't going to die of natural causes, this was the only other way - saving the girls that he so loved and cared for."
UNKNOWN: I've lost two friends. We loved them. And they're gone.
FOREMAN (voice-over): The search for the flood victims is stretching over dozens of miles along rivers and creeks, through valleys and trees.
UNKNOWN: You've seen the debris fields here. I mean, there's probably people possibly buried in some of those debris fields. And it's going to take a long time to get those folks out.
FOREMAN (voice-over): Anywhere anyone might be.
TONIA FUCCI, FLOOD SURVIVOR: You just want them to be found for the sakes of the families. But you know, it's not going to be a good ending.
FOREMAN (voice-over): It was not good for the Harber family. Blair, 13 and Brooke, 11, disappeared along with their grandparents. The family says the girls were found holding hands in death, no word on the grandparents.
Jane Ragsdale was the owner of another nearby summer camp. It was empty, but she died there just the same.
GREG WHITE, FRIEND BILL HOUSTON MISSING IN FLOOD: The R.V. Park was just gone. Everything it was, you know, it's wasn't on this earth anymore.
FOREMAN (voice-over): Greg White's friend Bill Houston is nowhere to be found, although White says the body of Bill's dog Sage was discovered in the debris.
High school soccer coach Reese Zunker and his wife Paula were swept away. Psychologist and college professor Catherine Eads, too.
And even as some campers have ridden away from the calamity, singing songs of faith, sad search for more victims goes on.
Tom Forman, CNN.
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CHURCH: Well, President Trump's new tariffs against dozens of countries include some key U.S. allies and trading partners. Japan and South Korea will face 25 percent tariffs if new deals are not reached by next month.
On Monday, Trump posted a flurry of letters to world leaders on social media, warning of what's to come. New tariffs have a big impact on America's small business owners and consumers. The owner of a Japanese restaurant in Denver, Colorado, spoke to CNN about how Washington's trade policies affect industries like his.
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MASARU "MAS" TORITO, OWNER, KOKORO RESTAURANT: The approach of the administration is a game of chicken or rock, paper, scissors. But the impact that has on us as small businesses, it feels like Russian roulette and we're just waiting for the next pull of the trigger and for it to be the last one for all of us to shut our doors. So it's a hard time right now.
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CHURCH: Justin Wolfers is a professor of economics and public policy at the University of Michigan and a non-resident senior fellow with the Brookings Institution. He joins me now from Truro in Massachusetts. Good to have you with us.
JUSTIN WOLFERS, PROF. OF ECONOMICS AND PUBLIC POLICY, UNIVERSITY OF MICHIGAN: Likewise, Rosemary.
CHURCH: So after previously saying he would not extend the pause on his tariff deadline, President Trump did just that on Monday, extending it to August 1st instead of this coming Wednesday and also threatening new punishing tariffs for those countries that fail to make a deal. What's your response to all of this?
WOLFERS: Well, there's two ways of seeing today's news.
One is what you led with, which is the new July 7th. That was when the deadline was and everything was meant to be sorted out. All of a sudden became August 1st.
So to use the language folks have been using, that might lead you to say that's a TACO Tuesday. TACO, Trump Always Chickens Out. And he's just going to keep pushing this back.
I'm not so convinced that's what happened. I actually think what happened today might be called instead Tariff Tuesday.
See, Trump actually sent out 14 letters today to 14 countries outlining the tariffs that he intends to charge them. Those tariffs actually were remarkably similar to what he charged back on, listed back on Liberation Day. In fact, they're the exact same number, plus or minus a couple of
percentage points. It's like a gremlin got into their Excel spreadsheet or something.
So what he's signaling there is if he doesn't keep pushing this out, he really is serious about announcing the sort of punitive, destructive and incoherent tariffs that caused markets to melt down all the way back to Liberation Day.
The question he hasn't answered is, he put forward those tariffs, markets melted down. He backed off because he got convinced they're a bad idea. So what has he done? He took a 90-day pause and he's going to put him back on.
And the question that remains unanswered is, why do you think it's going to work this time, mate?
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CHURCH: So President Trump sent out those letters to 14 U.S. trading partners, you mentioned threatening new tariff rates of up to 40 percent if a deal isn't reached. And he shared those letters on social media. What's your view of his negotiating tactics with Japan, South Korea and other nations that receive these letters?
WOLFERS: Mate, what a wonderful word to call it, negotiation. I know, you know, sometimes my partner and I have had a few struggles in our relationship. And what we do is we sit down and we talk it out and we explore ways in which I can make her feel better and she can make me feel better.
And what we try and do as a couple is find ways we can enrich each other's lives and work better together than we could apart. And you might be wondering why I'm talking so much about my relationship. It's because trade relationships are very much like human relationships.
The idea with trade is to figure out, hey, what can I do for you that would make your life better? And in return, what could you do for me that would make my life better? But the important point in there is there's got to be a conversation.
There's got to be more than one person in the room. And to call a letter, a deal, I mean, I guess the United Postal Service, my postman came by today and he dropped off a deal from the electricity company.
But it wasn't much of a deal because it just tells me exactly what I have to pay. It's not a negotiation and no one's trying to make my life any richer at all.
CHURCH: And of course, so far, the Trump administration has made a trade deal with the U.K. and tentative deals with China and Vietnam. The E.U. could strike a deal in principle by Wednesday's deadline or previous deadline, and Canada could reach a deal by July 21st.
But the Trump administration's original goal of 90 deals in 90 days will not be achieved. So what was happening during this three month pause and why weren't more deals made?
WOLFERS: Yes, so in fact, Rosemary, I think you're a very generous grader. There's a framework.
So we had 90 days. We've got a framework with Britain, we have a framework with Vietnam.
What happened with China is not anything that makes life better than it was before Trump. It's that there was a de-escalation from some of the worst excesses of Trump's retaliation against China.
You mentioned Canada. Yes, we actually have a deal with Canada. It's called the U.S.-Canada Free Trade Agreement, USMCA.
One of the letters he sent out today was to Korea, imposing a 25 percent tariff on Korea. You know, someone in the White House should have reminded him we already have a deal with Korea.
It's called the Korea-U.S. Free Trade Agreement. And you might imagine, given the title of that agreement, it's actually a free trade agreement. There's nothing for Korea to give up.
They already let us sell whatever, almost whatever we want into Korea at a zero-tariff rate. So the language around this has nothing to do with reality whatsoever. There's been no deal making.
And the reason there's no deal making is, why would I give up something to get your signature on a piece of paper if your signature, if your word isn't worth anything? And that's what Trump keeps showing himself to do, to be, is his words not really worth much at all.
CHURCH: And Justin, as you mentioned, Wall Street didn't respond well to President Trump's comments and actions on Monday. What are the markets hoping to see in the hours and days ahead? And how will Main Street likely respond to this?
WOLFERS: Yes, so on Wall Street, I actually thought it was a relatively muted response. It was very negative. Markets didn't like it.
But I think in the back of their mind, they're convinced that this is TACO Trump. Again, remember, this is the idea that Trump Always Chickens Out. So if the guy announces something and they think there's an 80 percent chance that he's going to check it out, then they should respond as if there's an 80 percent chance he didn't announce anything, which would be why markets move so little in response.
So if it turns out he's going to stand by this, then I think you should expect Wall Street to look very, very unhappy and to see a lot of red ink over the next few days. If they're right, that he does chicken out, then maybe that'll help lead to something of a boost.
And as for Main Street, some people have been out there saying, you know, we haven't seen prices go up yet. But the thing to remember is we're still in the middle of a pause. We're not getting those punitively high tariffs yet. And in fact, we've extended the pause out to August 1st. So, you know,
given that the worst excesses of the tariffs haven't even been imposed for a single day yet, they keep being paused and then repaused. And so it's going to take some time before we see this in our everyday cost of living.
CHURCH: Justin Wolfers, a pleasure to have you on. Thanks for joining us.
WOLFERS: As always, Rosemary.
CHURCH: After numerous hints there might be new Jeffrey Epstein revelations from the U.S. Justice Department, it turns out there's no bombshell information that many of Donald Trump's supporters have been hoping for. That story when we return.
[03:45:05]
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CHURCH: Welcome back, everyone.
Well, some of Donald Trump's most loyal supporters were hoping his return to the White House would lead to bombshell new evidence being uncovered in the Jeffrey Epstein files.
[03:49:56]
They believed a new attorney general and new FBI director handpicked by President Trump would somehow reveal that Epstein was murdered or that the accused sex trafficker kept a list of high profile clients. But on Monday, the Trump Justice Department burst that bubble, debunking those conspiracy theories.
CNN's Evan Perez has details on that announcement.
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EVAN PEREZ, CNN SR. U.S. JUSTICE CORRESPONDENT: The Justice Department says it won't be releasing more documents from the investigation of accused sex trafficker Jeffrey Epstein, announcing that an exhaustive review found that Epstein committed suicide in jail in 2019 and that there's no evidence that he kept a so-called client list.
Well none of this is a surprise, except that for months, prominent MAGA influencers and Trump allies have fanned conspiracies about whether there was a cover-up keeping secret a list of prominent people who are possibly involved in some of Epstein's crimes and whether Epstein was murdered.
But now, in an unsigned memo, the Justice Department says this systematic review revealed no incriminating client list. There's also no credible evidence found that Epstein blackmailed prominent individuals as part of his actions. We did not uncover any evidence that would predicate an investigation against uncharged third parties. Now President Trump vowed that his administration would make public more documents from the Epstein investigation, as well as on the assassinations of John F. Kennedy and the Reverend Martin Luther King. Attorney General Pam Bondi, weeks after being confirmed, went to the White House for an event with MAGA influencers where they were given binders full of documents, most of which had been public for years. And the blowback was fierce, and Bandi ordered more documents would be released.
Now, FBI agents spent weeks working overnight shifts to review documents, and officials realized that much of what was being reviewed cannot be released under federal law, in part because it would re- victimize some of Epstein's victims.
Evan Perez, CNN, Washington.
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CHURCH: A picturesque village in the Swiss Alps lives under the looming threat of a rockslide. How residents are bracing for a potential catastrophe. We'll look at that after the break.
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CHURCH: Welcome back, everyone.
Well, parts of Europe are facing new wildfires fueled by hot, dry conditions in recent days. Crews in Spain have been battling a fire in the mountains of the Catalonia region. High winds hampered the firefighters on Monday, but the government hopes for better conditions today, nearby towns have been evacuated as a precaution.
[03:55:04]
A village in the Swiss Alps is on high alert as a towering mountain peak shows signs of instability, threatening to cause a dangerous rockslide. CNN's Allison Chinchar has more.
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ALLISON CHINCHAR, CNN METEOROLOGIST (voice-over): Nestled in the Swiss Alps, the village of Kandersteg lives under a looming threat. The peaks around them are shifting, and as permafrost melts and rocks weaken, Kandersteg waits, preparing for a potential collapse.
And their fears are not unfounded. Take a look at this.
In May, a neighboring village, Blatten, experienced a rockslide that covered the town in rocks and debris. Residents had been evacuated, although authorities say at least one man died.
RENE MAEDER, MAYOR OF KANDERSTEG (through translator): We have people here who work in Kandersteg and who come from Blatten and have lost everything they owned. It really gets under your skin. You're speechless when you see those images of the violence of nature.
CHINCHAR (voice-over): But Kandersteg's residents have managed to stay calm.
CELIA HILL-MCFERSEN, KANDERSTEG HOMEOWNER: They've made good preparations, I feel. So, you know, it's one of those things you don't know when and you don't know how much. So I don't worry too much.
CHINCHAR (voice-over): Kandersteg, which has a population of about 1300, has spent nearly $14 million on disaster prevention, according to its mayor. Researchers use drones, radar and GPS to check up on the peaks. And in the event of a major rock movement, residents should receive warning at least 48 hours in advance.
But the risk goes beyond just rock and ice.
YVES BUHLER, HEAD OF THE ALPINE REMOTE SENSING TEAM: The risk is that we have a big rock slide and the rock slide could go also into the lake and produce a big flood wave, which could produce a large debris flow going down to Kandersteg.
CHINCHAR (voice-over): And the mayor of Kandersteg warns that their nearby mountains are just one part of a much larger issue.
MAEDER (through translator): This problem will concern us in the coming decades throughout the Alpine region, from Austria to France, across the Alps and also in other mountain ranges. And we have to think about how we want to deal with it. And this is clearly a result of global warming for which we ourselves are responsible.
CHINCHAR (voice-over): Allison Chinchar, CNN.
(END VIDEOTAPE)
CHURCH: And thanks for spending part of your day with me, I'm Rosemary Church. "Amanpour" is next, then stay tuned for "Early Start" with M.J. Lee at 5 a.m. in New York, 10 a.m. in London. Enjoy the rest of your day.
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