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Peace Deal Far from Reality; War Affects World Economy; New Record for Mexico; Keir Starmer Facing By-Election; Trump Cancels Strikes, Touts New Deal With Iran; Low-Awaited World Cup Finally Begins In North Korea; Pope Leo Focuses on Migrant Crisis In Canary Islands. Aired 2-3a ET

Aired June 12, 2026 - 02:00   ET

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


[02:00:00]

(COMMERCIAL BREAK)

IVAN WATSON, CNN ANCHOR: Hello and welcome. I'm Ivan Watson broadcasting live from Hong Kong.

Ahead on CNN Newsroom. U.S. President Donald Trump says a deal to end the war with Iran is done. But Iranian sources say not so fast.

A glorious celebration, says Mexico defeats South Africa. The World Cup tournament is underway. And the future of the British prime minister's government could hang on the outcome of a single by- election.

UNKNOWN (voice-over): Live from Hong Kong, this is CNN Newsroom with Ivan Watson.

WATSON: So, deal or no deal? That's the question everyone seems to be asking after President Trump declared, we ended the war with Iran today. The president spent the early part of Thursday threatening to hit Iran very hard, even floating the idea of taking over parts of the country's oil infrastructure. And then the president canceled the strikes. He now claims a deal could be signed as soon as this weekend.

(BEGIN VIDEO CLIP)

DONALD TRUMP, PRESIDENT OF THE UNITED STATES OF AMERICA: I don't know if you heard, but we ended the war with Iran today and they have agreed never to have a nuclear weapon, something that we insisted on. That was the whole purpose. That was 95 percent of it. And they've done it in the most powerful way you can do it.

(END VIDEO CLIP)

WATSON: President Trump spoke with the Israeli Prime Minister after announcing the deal. An Israeli source tells CNN Benjamin Netanyahu was surprised by the news. A spokesperson for Iran's foreign ministry told state-run media that reports of a finalized agreement are merely speculation. CNN's Fred Pleitgen is in Iran, and we should note that CNN operates

in the country only with the permission of the government, but maintains full editorial control of its reports.

FREDERIK PLEITGEN, CNN SENIOR INTERNATIONAL CORRESPONDENT: While the Iranians acknowledge President Trump saying that he has cancelled military action against the country, there still is a good deal of distrust and skepticism. Iranian official and semi-official media is cautioning that so far, the country's top leadership has not yet officially signed off on any sort of draft agreement for a memorandum of understanding that would end the hostility between the two countries and at the same time pave the way for larger peace negotiations.

However, one of the things that officials here have been acknowledging over the past couple of days was that messages were still being exchanged back and forth and that some of the gaps had indeed been narrowed. At the same time, the Iranians are saying that any sort of military action now, any more bombardment, would completely kill any of that momentum.

The Iranians had also said that if the U.S. continues to strike this country, that there would be severe retaliation from its armed forces, and if there would have been a return to full-on war, that the Iranians would expand that war beyond the Gulf region, potentially to places like the region of the Red Sea and the Mediterranean as well.

Nevertheless, the Iranians have said that they prefer negotiations, they want a deal. However, the military here also says that they are prepared for any eventualities.

Fred Pleitgen, CNN, Zanjan, Iran.

WATSON: All right, CNN's Paula Hancocks is following developments from Abu Dhabi. Good to see you, Paula.

It's just after 10 a.m. there in the Emirate capital. Trump's announcement follows two days of Iran and the U.S. shooting at each other. And they've been any hostilities any incidents thus far this morning?

PAULA HANCOCKS, CNN CORRESPONDENT: Well, Ivan, since the U.S. president said that the planned strikes, the planned bombings were cancelled, we have not been seeing any kind of kinetic activity when it comes to the U.S. and Iran. Certainly a very different way to wake up for those in the region than it has been really for the past few days here in the Gulf.

[02:04:58]

Of course, the question now is, though, whether or not this is a deal that has been agreed by all sides. We have heard from the U.S. president that he believes the deal has been done. We have also heard from a number of different sources that progress has been made. We heard from U.S. officials that they believe that this delegation from Qatar that was in Tehran up until Thursday morning, so during the U.S. military strikes against the country as well, did make some progress.

They understand, according to a person familiar with this situation, that they narrowed some of the gaps, that some of the sticking points were dealt with. For example, the sequencing of financial relief for Iran. We know that Tehran wants billions of dollars of frozen assets to be unfrozen, which U.S. President Donald Trump has said is problematic. Also, we understand that this delegation has tried to hammer out a more cohesive way of the future discussions of the nuclear program.

Remember, this deal that President Trump is talking about is for a memorandum of understanding. This is so that the Strait of Hormuz will be open, so that the ceasefire will extend for a certain number of days, and that is when the hard work begins, when they discuss the nuclear program.

When it comes to what Tehran has said about the announcement by the U.S. president, This Foreign Ministry spokesperson has called it quote, "merely speculation," saying that Tehran hasn't made a final decision at this point but again acknowledging that the Qatari and the Pakistani mediators are still working to get this deal.

Also, one senior lawmaker has said that the probability of deception by Trump is high referring to this announcement and that really goes to the heart of the level of trust or distrust between these two countries. Twice there have been discussions and negotiations between the U.S. and Iran and twice the U.S. has struck Iran. And from the U.S. point of view, they say in the past that Iran has agreed to things that it has then turned back on. So really the level of trust between these two countries is close to zero. Ivan?

WATSON: Well, let's keep watching to see and we'll come back to you if there are any developments or incidents that I'm sure people across that region are hoping for a stop to the deadly munitions that have been flying through the air over the past 48 hours.

Paula Hancocks, live from Abu Dhabi, thank you very much.

Now joining me now from Berlin is Ali Fathollah-Nejad. He's the founder and director of the Center for Middle East and Global Order.

Thank you for joining me, Dr. Fathollah-Nejad.

You know, so many times we've heard President Trump say one thing and then the Iranians say something completely different. How are you reading the messaging coming back and forth right now?

ALI FATHOLLAH-NEJAD, FOUNDER AND DIRECTOR, CENTER FOR MIDDLE EAST AND GLOBAL ORDER: Well, I think there's also some suggestions from Iranian semi-official sources that an agreement on MOU may be imminent. There's also the account according to which the Qatari message that was delivered to Iran signaled that there was some U.S. back-paddling from earlier maximalist demands according to the Iranian version.

There is a hope from the Iranian side that they're going to get access to billions of dollars. There is also the talk that there is a 14- point plan of confidence building measures and which entails the core agreement on reopening of the Strait of Hormuz on sanctions waivers for Iranian oil exports on Iranian access to those billions of dollars. But then again, according to the same accounts, there may be some aspects of those 14 points that may still be controversial.

WATSON: There's so much posturing on both sides from both governments, but do you think that the current status quo of this very shaky ceasefire deal and these eruptions of violence, do you think that can be sustained much longer by either party?

FATHOLLAH-NEJAD: Well, I think the calculation from both sides is that a return to a full-fledged war would be too costly. There is obviously pressure on the Trump administration, not only domestically, but also regionally from Arab Gulf states and of course from the world economy. But also, there is also pressure piling up upon the Islamic Republic. After all, the U.S. naval blockade of Iranian ports has now reached has now led to a six-year low of Iranian oil exports.

[02:10:08]

So, the economic pressure on the Iranian regime has also been quite up recently.

WATSON: And beyond Iran and the pressure on the American economy, there's the global economy. I mean, the World Bank is predicting the slowest global economic growth this year since the COVID-19 pandemic, with global economic growth forecasted to be around 2.5 percent this year. That would be down from 2.9 percent in 2025.

So is everyone paying for this war? And who's being hurt the most outside of the U.S. and Iran and the countries around the Gulf that have been hit periodically?

FATHOLLAH-NEJAD: Well, because of many of the things that are produced in the Arab Gulf states that are also important for the international community, many countries, many poorer countries have suffered a lot. And even if we imagine that there are going to be an MOU between the United States and Iran signed tomorrow and we're going to see the reopening of the Strait of Hormuz, we will have to see the modus operandi of that reopening and also if we're going to see an MOU tomorrow, we're going to still have this cascade of different economic fallouts from this war still having important impacts, not only for months, but also maybe for one or two years at least on many countries on this globe because of those various cascading effects of this conflict.

WATSON: All right. Dr. Ali Fathollah-Nejad, thank you so much for sharing your analysis from Berlin.

FATHOLLAH-NEJAD: Thank you.

WATSON: All right, let's shift gears to the World Cup because the world was watching Mexico City earlier as the World Cup co-hosts overcame South Africa in the opening match. Wow, you can hear the crowd going wild there after a Mexico goal. Thousands had gathered in the city's famous Zocalo Plaza. The Mexicans won the opener 2-0. The Mexican president, Claudia Sheinbaum, who was at the match,

cheering on the team. And she's right there. You can see her there in the front of that video selfie that she looks like she's filming herself.

Now in the coming hours, co-host Canada is going to take on Bosnia and Herzegovina in Toronto. And Team USA will have its own home opener in Southern California.

CNN's Coy Wire has a preview.

COY WIRE, CNN SPORTS ANCHOR: Yes, I am here outside of the USA's World Cup practice facility. I was at their practice just a bit ago. Players chomping at the bit, talked to some of them, some of them saying that they are nervous and they're not afraid to say it.

This World Cup returns to a very different America than the one that visited when it was last hosted here in 1994. U.S. soccer back then actually had to pay players just so they could train together. There was no MLS, no soccer specific stadiums. There were no generation of kids growing up watching American stars compete some of Europe's most storied clubs like we have today.

Now, crowds are bigger, passion of fans is more palpable, the football IQ is higher, and those kids who grew up with World Cup dreams are now living and about to play in one right here on home soil. They are hyped.

CHRISTIAN PULISIC, U.S. MEN'S NATIONAL TEAM: Probably be looking up at my family and friends in the stands who've supported me throughout all this. So there'll be a lot of emotions. It'll be a proud moment representing the U.S. home soil in a World Cup. Very special.

SEBASTIAN BERHALTER, U.S. MEN'S NATIONAL TEAM: Very happy motion and if tears come, tears come. But yes, I can't wait for that moment.

WESTON MCKENNIE, U.S. MEN'S NATIONAL TEAM: Full circle moment because as a kid dreaming about being in that position wearing the crest and being able to hear the national anthem, I think it's something that. Yes, it makes dreams come true.

TIMOTHY WEAH, U.S. MEN'S NATIONAL TEAM: You get kind of nervous in that moment, but it's a great feeling. I can't wait.

UNKNOWN: Motivated, inspired, emotional. I'm sure there'll be a tear shed. It's huge honor.

UNKNOWN: L.A. is my hometown, and so being able to play in my hometown for World Cup, I mean, it just creates an unbelievable story.

UNKNOWN: Grateful for my family, everyone. They're going to be there, so that's going to be a special moment for me, for sure.

WIRE: All right, the U.S. have not reached a World Cup quarterfinal since 2002, but this group believes this tournament won't just be a soccer event, it'll be a moment changing how their country sees the game and how the rest of the world sees them.

[02:15:05]

America's World Cup journey begins against Paraguay right here in Los Angeles.

WATSON: All right. SpaceX is poised to make history with the largest IPO on record. Still to come, how much money the company is expected to raise with its debut on the stock market.

Plus, Britain's prime minister braces for a crucial by-election. It could hold the key to his political future. Stay with CNN.

(COMMERCIAL BREAK)

WATSON: Welcome back. On Wall Street, SpaceX is set to make history with the largest IPO on record. On Thursday, it sets its opening price at $135 a share. The space technology company said in its filing on Thursday that it plans to sell 556 million shares of common stock, generating some $75 billion. That would put the value of SpaceX at $1.77 trillion, making it one of the United States most valuable companies. The IPO would also make the company's CEO, Elon Musk, the world's first trillionaire. SpaceX is expected to debut on the NASDAQ Friday morning.

Meanwhile, environmental and conservation groups are suing to block a land swap that would give SpaceX more than 700 acres in South Texas. The lawsuit highlights the latest tension between the technology company and people living near its Texas Starbase. The groups hope to block the U.S. fish and wildlife service from swapping parts of a wildlife refuge with land SpaceX owns farther north. SpaceX declined to comment to Reuters on this story, but activists criticized the company.

(BEGIN VIDEO CLIP)

BEKAH HINOJOSA, CO-FOUNDER, SOUTH TEXAS ENVIRONMENTAL JUSTICE NETWORK: SpaceX always declines to comment. They live in secret in their gated company town of Starbase. They've actively policed the area and pushed people out from going to the beach. Yes, SpaceX is a terrible neighbor.

(END VIDEO CLIP)

WATSON: All right, a South Korean court has sentenced former President Yoon Suk Yeol to 30 more years in prison. He's accused of sending military drones to North Korea to justify his failed martial law declaration in 2024. He's already serving a life sentence for leading an insurrection during that time. Yoon has denied any wrongdoing, but the Seoul Central District Court found him guilty of abuse of power and aiding the enemy, saying he was involved in the planning of the drone incursion from day one.

To the U.K. now, that's where British Prime Minister Keir Starmer is taking what some are calling a political hammer blow at a time when he's fighting to keep his job. On Thursday, two top defense officials quit his government, including Defense Secretary John Healey. He says Mr. Starmer is not giving the armed forces the resources they need.

The resignations came just weeks after the U.K. Health Minister also called it quits. That's happening as Mr. Starmer is racing for a possible leadership challenge within his Labour Party. His would-be rival could emerge after next week's by-election in the city of Makerfield. Fourteen candidates, you see them there, are running in that race, including Manchester Mayor Andy Burnham, who's expected to challenge Mr. Starmer if he wins.

CNN's Nic Robertson has more.

NIC ROBERTSON, CNN INTERNATIONAL DIPLOMATIC EDITOR: Andy Burnham, the charismatic Manchester Mayor, is on a mission to become prime minister. And it's starting here in a local election in Makerfield, a northern working-class area.

(BEGIN VIDEO CLIP)

ANDY BURNHAM, MAYOR, GREATER MANCHESTER: Evening all, Friday evening in the Burnham campaign HQ at Stubshaw Cross. There they all are. Hard at work.

ROBERTSON: Burnham's folksy vibe in here is part of his political superpower and he's going to need it. This election is widely expected to be one of the most unconventional and consequential in a generation. This is where the story, so to speak, begins Downing Street two years ago. Keir no drama Starmer delivers a rollicking election victory, bringing his Labour Party to power, tossing out the Tories who'd torn through four prime ministers in three years. Expectations were Starmer would deliver stability. His massive mandate would bring change.

But the economy faltered. Missteps followed. Not least, Starmer appointing Peter Mandelson, a former friend of Jeffrey Epstein, to be his ambassador to the United States. When details of Mandelson's relationship with Epstein leaked last year, Starmer fired him. Mandelson denied wrongdoing. It cost Starmer credibility. Calls for a leadership change grew.

CHRIS CURTIS, MEMBER, LABOUR PARLIAMENT: People are starting to lose faith in that kind of mainstream politics in order to fix the problems that this country faces. They're doing it because for too long that kind of politics hasn't solved those problems.

[02:24:56]

ROBERTSON: Curtis, a former pollster and now a Labour MP once Starmer replaced, sees Makerfield as make or break for Labour. Their biggest challenge coming from the hard right. Reform party.

CURTIS: They are leading in the opinion polls at the moment but it's not just the fact that they could win the next general election and the polls show us that they could. It is just how disastrous I think they would be for the country if they did.

ROBERTSON: So back to Makerfield and Burnham's path to prime minister for the past 120 years voters here have always returned Labour MPs but this working-class community like so many across the country is giving up on the main political parties. The relatively untested new kids on the block, populist right-wing reform are surging where Starmer is stumbling.

The race so tight, reform leader, sometime Trump friend and Brexit cheerleader Nigel Farage is suddenly spending time in Makerfield trying to make sure his candidate, Rob Kenyon, wins.

NIGEL FARAGE, LEADER, REFORM UK: I'm thinking as many reforms supporters as possible will come and help him between now and June the 18th the date of this epic battle against Andy Burnham.

ROBERTSON: For Farage, Kenyon's victory in Makerfield would signal his and Reform's path to Downing Street isn't just a pipe dream. That U.K. politics is changed for good and a chance to realize reforms right- wing policies.

FARAGE: In his first act as Prime Minister, not a single unauthorized vessel crossing the English Channel.

BURNHAM: A vote for me in this by-election campaign is a vote to change Labour.

ROBERTSON: Burnham, by contrast, would shift his party and the U.K. the other direction, to the left.

BURNHAM: We just need to take stronger action to get the basics affordable for people back under public control.

ROBERTSON: At the moment, power sits with Labour. Over 400 MPs to Reforms VIII. But Makerfield is set to test who has their finger on the British pulse. A bellwether for the next general election.

Nic Robertson, CNN, Makerfield, England.

WATSON: Now CNN contacted the Green Party, the Conservatives, and the Liberal Democrats for comment. The Liberal Democrats said Labour Party infighting has undermined trust in politics, and that its candidate is standing in Makerfield to show voters what a committed local champion looks like, one who isn't caught up in national leadership ambitions.

Moving to the U.S. now, where President Trump has named his next pick to become the Director of National Intelligence. Jay Clayton was the head of the Securities and Exchange Commission during Trump's first term. He's now a federal prosecutor in New York.

Trump says he still plans to make Bill Pulte the acting intelligence chief despite bipartisan pushback on his lack of experience. Pulte has also come under criticism for bringing criminal referrals against a number of the president's perceived political enemies.

More protests are expected in Albania on Friday, just as the country's prime minister plans to hold a party rally in the capital. Protesters are furious over a plan to build a new luxury resort that's backed by President Donald Trump's family members. And as Isa Soares reports, the protesters' message is that their

country is not for sale.

ISA SOARES, CNN CORRESPONDENT: Thousands of people once again packing the streets of Tirana outside the office of the country's Prime Minister, Edi Rama. The message loud and clear. Their anger isn't going away. Albanians have been protesting for weeks against a planned luxury resort linked to U.S. President Donald Trump's daughter and son-in-law, Ivanka Trump and Jared Kushner that will transform uninhabited coastal land and protected wildlife areas into hotels, apartments and villas.

ARDIT CAMI, PROTESTER: No Albanian is going to afford 1, 2,000 euros a night. It doesn't make any sense. We also have no idea how this is supposed to benefit us.

SOARES: It's a movement that has grown in size and scope. That began with concerns about the environmental impact of the project. And has steamrolled into widespread anti-corruption protests with protesters demanding Rama's resignation. They say the government is selling the country to the highest bidder. And has passed laws to fast-track projects like this one and bypass environmental protections.

ANISA IBRAJ, PROTESTER (through translator): The project lacks transparency and we're all here for transparency. Until this is to us what kind of investment this is, we will continue to protest.

[02:29:54]

SOARES: The protests so far are not deterring Prime Minister Rama, who says the project will go ahead and be a big boost for tourism in the country. He says it will create jobs as the country continues its negotiations to join the European Union. But the European Commission is warning that Albania's luxury tourism goals could derail its biggest aspirations if its ecological policies don't align with the E.U.'s.

But Rama's more immediate problem is the thousands of protesters gathering daily in Tirana who say they won't back down until he is gone. A movement that began with preserving flamingos, now taking flight into something much broader.

GREISI MANI, PROTESTER: We are fed with the corruption here. We are supposed to be a new candidate country, but we lack basic services. Everybody has its own reasons. It has to come to an end, quite frankly.

Isa Soares, CNN.

WATSON: Coming up, President Trump says he's ended the war with war. But the response from Tehran doesn't quite line up with his assessment. We'll have the latest from the White House.

Plus, a look at day one at the World Cup. The opening ceremony, the action on the pitch and what we can expect from this tournament.

That's all up after the break.

(COMMERCIAL BREAK)

SOARES (voice-over): The protests so far not deterring Prime Minister Rama, who says the project will go ahead and be a big boost for tourism in the country.

[02:30:01]

He says it will create jobs as the country continues its negotiations to join the European Union.

But the European Commission is warning that Albania's luxury tourism goals could derail its biggest aspirations if its ecological policies don't align with the E.U.'s.

But Rama's more immediate problem is the thousands of protesters gathering daily in Tirana who say they won't back down until he is gone, a movement that began with preserving flamingos now taking flight into something much broader.

GREISI MANI, PROTESTER: We are fed with the corruption here. We are supposed to be a new candidate country, but we lack basic services. Everybody has its own reasons. It has to come to an end, quite frankly.

SOARES (voice-over): Isa Soares, CNN.

(END VIDEOTAPE)

IVAN WATSON, CNN ANCHOR: Coming up, President Trump says he's ended the war with Iran. But the response from Tehran doesn't quite line up with his assessment. We'll have the latest from the White House. Plus, a look at day one of the World Cup, the opening ceremony, the action on the pitch and what we can expect from this tournament. That's all up after the break.

(COMMERCIAL BREAK)

[02:35:48]

WATSON: Welcome back to the program.

Let's update our top story. President Trump is claiming, "We ended the war with Iran today," predicting a deal could be signed as soon as this weekend. But we've been here before plenty of times. And Iran's foreign ministry says there's no final agreement just yet.

CNN's senior White House correspondent Kristen Holmes reports.

(BEGIN VIDEOTAPE)

KRISTEN HOLMES, CNN SENIOR WHITE HOUSE CORRESPONDENT: President Trump on Thursday abruptly calling off strikes and bombing in Iran that he said were imminent for Thursday evening, saying that a deal or an agreement was close to being reached. He talked to reporters in the Oval Office, saying that it was a great

settlement and saying this about the potential deal.

DONALD TRUMP, PRESIDENT OF THE UNITED STATES: We just made a great settlement of the war with Iran, and we're going to be subject to finalization of documents, which should get done over the next few days, probably have a signing, maybe in Europe and, it's a great thing.

HOLMES: President Trump told reporters that he believed that this had been signed off on by the supreme leader in Iran, and noted that this time he believed that it was different. Now, just to be clear, we're not talking about an all over peace deal.

This is just a memorandum of understanding. It's essentially the beginning or the seed of of a peace deal that will eventually be worked out. He wouldn't put a timeline on just how long that would take, saying he knew that if he put a timeline on it that everyone would hold him to it, but that he hoped it would happen relatively quickly.

Now, in terms of actually signing this MOU, he said that he was hopeful that it would be signed as quickly as this weekend, that he would not be in attendance, but Vice President J.D. Vance, along with Steve Witkoff and Jared Kushner, would be there, that it could take place in Europe, for an example. That was one of the ideas that he had floated.

And he said as soon as this memorandum was signed that they would reopen the Strait of Hormuz. Obviously, this is something that people have been watching incredibly closely. As President Trump made this announcement, the markets spiked upwards.

Kristen Holmes, CNN, the White House.

(END VIDEOTAPE)

WATSON: All right, the World Cup is finally underway, and host countries Canada and the U.S. are getting ready to compete in the coming day. Canada will face off against Bosnia and Herzegovina in Toronto. But first, the Canadians will have an opening ceremony starring homegrown superstars Michael Buble and Alanis Morissette, or Alanis Morissette.

Later, Team USA will take on Paraguay. Both sides have been getting some practice in before the big showdown.

And the U.S. opening ceremony will feature Katy Perry, Future, and Lisa in what's being called Los Angeles Stadium.

Now, my next guest has covered many major sports tournaments, World Cups and Olympics, and she now hosts "The Sports Ambassador" podcast. Tracey Holmes is with us live from Sydney, Australia.

Great to see you, Tracey. How are you? TRACEY HOLMES, "THE SPORTS AMBASSADOR" HOST: I'm very well. Thanks, Ivan.

WATSON: I missed the opening ceremony in Mexico City. I read that it featured Shakira, Andrea Bocelli. Can you tell us about it? How was the show?

HOLMES: Look, I think there's no such thing as a FIFA opening ceremony without Shakira. I think she's appeared at the last three or four, maybe even more opening ceremonies of the FIFA World Cup. The reason why this one is very different is, as you mentioned in your intro, there's actually going to be three opening ceremonies. So the one we saw in Mexico, which kicked off the whole tournament, the biggest ever FIFA World Cup staged across three nations.

And then, of course, going into the games, the first games of the tournament featuring Mexico first up with a two-nil win over South Africa. And the excitement, I guess the buzz of the opening ceremony just continued through into that match. And we saw a capacity stadium, the biggest stadium that games will be played in for this tournament, and the crowd very supportive behind their home nation, throwing their paper sombreros the field and really celebrating the day in style.

[02:40:12]

So it got off to a very good start.

WATSON: All right. And can you take us through these first two matches? Mexico beating South Africa, but also South Korea just beat the Czech Republic. Did anything stand out from these first matches for you?

HOLMES: I think one of the interesting things was from the first match with Mexico and South Africa, there were three red cards. Now, that's almost unheard of. In fact, if you think back to the last tournament in Qatar 2022, in the entire tournament, there were only four red cards. So we've almost approached that on day one of the World Cup.

So maybe it's a sign that the referees have been instructed no rubbish at any of these games and come down hard on it at the start, so that we don't see any of that as tournament progresses. But it was a great win for Mexico.

Then going into the second game, as you mentioned, that was also incredible. South Korea coming from behind against Czechia. And remember, it wasn't just a capacity stadium in Guadalajara. There were also reports of 15,000 South Koreans in the center of Seoul watching on a big screen cheering their team on.

WATSON: Wow, I mean, just football mania.

So the stadiums so far look packed. I know there have been a lot of concerns and some criticism about the prices of the tickets for the World Cup matches. Is that overblown or is it still too early to say? HOLMES: It's probably too early to say. You mentioned previously that the other two hosts, Canada and the USA, will play their first matches tomorrow. We expect those, of course, to be sellout crowds with people supporting their home nations.

But I guess when we see some of the lesser teams competing and we see how many seats have been sold at those venues is when we get a proper gauge. But I know FIFA has not been concerned. They were also adamant in pointing out that the initial release of these tickets was very much within range, in fact, a lot cheaper than many Americans would expect to pay for a major event. They pay a lot more for other events that we're seeing taking place now, whether that's the NBA finals or whether you're talking about something like the NFL.

So they're confident, but it's the reselling of these tickets, which is highly legal in the USA that has bumped those prices up, which I think is just an example of, you know, demand, what is available and what people will pay. That's what's driving the prices up.

WATSON: And in our last 30 seconds, Tracey, I know this is the first time the World Cup has included 48 competing teams rather than 32 in the last tournament. Why?

HOLMES: Well, it's all about driving new markets, isn't it? It's tried to appeal to more people. There'll be upwards of 6 billion people who will watch this tournament. And it's all about the marketing dollar so that the money can then be reinvested back into these football nations around the world, all 211 of them. And we're also seeing new nations competing at the FIFA World Cup for the very first time.

WATSON: Tracy Holmes in Sydney, thank you so much. I learned a lot.

HOLMES: Thanks, Ivan.

WATSON: All right. Now this year's World Cup is the largest in history, with a record 48 countries competing in the tournament. But two Asian giants, China and India, will not be represented on the field.

And we take a look at the reasons why in this week's edition of "Meanwhile in Asia". That's a program that I'm hosting with my co-host Kunal Sehgal. You can see the full episode online at CNN.com or on the CNN YouTube channel. We also tell a story of a secret former CIA base that was used during the Vietnam War. So go check it out.

Now still to come, Pope Leo focuses on the human dignity of migrants on the last leg of his visit to Spain. And we will have a report from the Canary Islands. That's coming up after the break.

(COMMERCIAL BREAK)

[02:49:08]

WATSON: Welcome back. I'm Ivan Watson broadcasting live from Hong Kong. They're calling it the Swiss Brexit. Voters in Switzerland will decide

on Sunday whether to limit the country's population growth. They will vote on a proposal to cap the population at 10 million people. Switzerland's population stood at 9.1 million at the end of last year. Businesses warn the measure could restrict access to skilled labor and strain relations with the European Union, its biggest export market.

The migrant crisis was the priority of Pope Leo's visit to the Canary Islands. On Thursday, he called on leaders to treat all people with dignity. It was the final leg of his visit to Spain before he heads back to the Vatican in the coming hours.

More now from CNN's Christopher Lamb.

(BEGIN VIDEOTAPE)

CHRISTOPHER LAMB, CNN VATICAN CORRESPONDENT: Pope Leo standing shoulder to shoulder with immigrants at the last part of his visit to Spain, coming to the Canary Islands, which is a major entry point for new arrivals from parts of West Africa.

[02:50:10]

Pope Leo going to the port of Arguineguin, which is known as the Port of Shame because in 2020, migrants were found sleeping and living there in squalor. Pope Leo speaking to immigrants and those organizations helping them, saying that human dignity has no passport and does not lose its value when crossing a border.

Immigration for Leo, like his predecessor, Pope Francis, is a major priority.

Pope Leo also listening to the harrowing testimonies of those coming to the Canary Islands.

Now, Leo's visit to Spain has been historic. On Wednesday night, he took part in a spectacular event at the Sagrada Familia Basilica in Barcelona, blessing the new Tower of Jesus Christ, which makes it the tallest in the world and witnessing an extraordinary light and fireworks display. The Pope's visit to Spain has taken him to Madrid, to Barcelona and now finally to the Canary Islands where he will be focusing on the plight of immigrants and calling for greater action to be taken to support new arrivals.

Christopher Lamb, CNN, Los Palmas in Gran Canaria.

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WATSON: To Thailand now, where a princess is dead after spending nearly four years in a coma. Princess Pa, as she was known, was the eldest child of Thailand's king. The 47-year-old had been in the hospital since December 2022 after suddenly losing consciousness due to a heart condition. She had multiple health problems, health conditions.

Princess Pa studied law at Cornell University in the U.S., and she worked as a lawyer. She'll be remembered for her charity efforts to improve the lives of female prisoners and her diplomatic career.

Stay with CNN. We'll be right back after this break.

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WATSON: People in parts of Pakistan are enduring a brutal heat wave. The temperatures soared past 51 degrees Celsius, or nearly 124 degrees Fahrenheit, in several districts of Pakistan's southern Sindh province on Thursday.

[02:55:03]

The country's meteorological department forecasts extreme heat this week, warning temperatures could climb four to six degrees above normal in many areas.

All right, New York's Tribeca Film Festival has become the first major festival to accept, get this, a live action film generated by artificial intelligence. The two brothers who made Dreams of Violets have tech backgrounds. They say the film is about the large anti- government protests in Iran in January and other events over the last few decades. A.I. has been criticized over fears it could cost actors and writers their jobs.

But the brothers say it was used mainly to protect identities, generate video, and for switching the voices of some characters. Take a listen.

(BEGIN VIDEO CLIP)

ASH KOOSHA, FILMMAKER: It was quite shocking. We didn't think this is going to be accepted this far into the traditional legacy model. But when it did, it actually proved that point. And the story is more important than the way it's made. The way it's made is a discussion to be had.

For us, there is a process before making an A.I. film. First, you have to have a good intention to tell a story, not to just use the technology to make a point with the technology.

(END VIDEO CLIP)

WATSON: It was a grand fiesta in Mexico. That says the host team won the opening match of the 2026 World Cup with a 2-0 victory over South Africa. Traditional Mexican dancers greeted the more than 80,000 fans from both sides as they gathered at Mexico City's renovated Estadio Azteca for the first round of play in the expanded 48-team tournament that's set to last into July.

I just got Goosebumps listening to that. No World Cup matches are being played in London, but the city kicked off its celebrations with one of the most unforgettable songs associated with the sport of football on Thursday. And that was opera singer SeokJong Baek performing "Nessun dorma" from the terrace of the Royal Opera House in Covent Garden. He was joined by the Royal Opera Chorus decked out in football jerseys. The aria from Puccini's Turandot was performed at the 1990 World Cup by the legendary Italian tenor Luciano Pavarotti. Its climactic cry Vincero, meaning I will win, has been linked with football ever since.

All right, I'm Ivan Watson in Hong Kong. I'll be right back with you with more CNN NEWSROOM after this break.

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