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CNN This Morning
Immigration Deal Dead on Arrival; Pakistan Carries out Strikes in Iran; Red Sea Disruptions; Jamie Dimon Comments on Politics; Princess Recovering and King Set for Surgery. Aired 6:30-7a ET
Aired January 18, 2024 - 06:30 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
[06:30:00]
ARLETTE SAENZ, CNN WHITE HOUSE CORRESPONDENT: And so this really speaks to the precarious nature of these talks right now. Even as you had congressional leaders coming out of that meeting with the president saying that it was productive and people expressing optimism, it's still unclear how the House would proceed as there are some hardliners who are simply pushing for much tougher border policy changes in order to pass that aid to Ukraine.
PHIL MATTINGLY, CNN ANCHOR: Yes, it's a huge, open question. It's like a Rubik's cube trying to put this thing together. I don't know how exactly they're going to do it.
Arlette Saenz for us.
POPPY HARLOW, CNN ANCHOR: Businesses sounding the alarm over attacks that continue on ships in the Red Sea. How this round-about route that vessels are being forced to take could mean higher costs for you soon.
MATTINGLY: And families of the Uvalde school shooting victims see a new report detailing what happened inside Robb Elementary. Why one parent walked out of a meeting with the attorney general.
(COMMERCIAL BREAK)
HARLOW: Well, this new overnight, the United States carrying out more air strikes in Yemen. The fourth round of strikes aimed at stopping Iran-backed Houthi militants from attacking ships in the Red Sea. And this comes as fears grow of the Israel/Hamas war and just widening this into a much broader conflict.
MATTINGLY: Now, hours before the new air strikes, the Houthis struck a U.S.-owned and operated vessel in the Gulf of Aden for the second time in a week. U.S. Central Command says no one was injured onboard and the ship was able to continue on its way. These strikes occurred on the same day the U.S. redesignated the Houthis as a specially designated global terrorist entity.
[06:35:03]
HARLOW: Also, in a significant development overnight, the United States not the only country striking back against Iran and its proxies. Just hours ago Pakistan carried out a series of strikes in Iran against what it is calling terrorist hideouts. And this comes a day after Iran launched an attack in Pakistan.
Our senior international correspondent Ivan Watson is following this.
Ivan, thank you very much for being with us.
There's been all this talk about, is there a regional conflict? There is.
IVAN WATSON, CNN SENIOR INTERNATIONAL CORRESPONDENT: Yes, and this -
HARLOW: And this really adds to it.
WATSON: I think this is perhaps one of the most unlikely flare-ups that I could have predicted, even at the beginning of the week when Pakistan and Iran, which were kind of getting along, they were scheduled to hold joint naval exercises. But Iran carried out its own deadly missile strikes starting Monday on northern Iraq, on Syria, and then Tuesday night on Pakistan. And it stunned the ruling establishment there. They said that at least two people were killed in what the Iranians said were missile strikes on a militant group that they accused of hiding out in Pakistan and carrying out attacks on Iran in the past.
So, the Pakistanis, they withdrew their ambassador from Tehran. They called this a violation of Pakistani airspace. They declared Iran's ambassador to Pakistan unwelcome. And just a few hours ago, the Pakistani military claimed responsibility for what it described as precision strikes into Iran against a different militant group that it accuses of carrying out attacks on Pakistan in the past.
The Iranian authorities say that killed at least nine people, including a number of children and women. They're demanding an answer.
Again, not what you could have predicted at the beginning of the week. Both of these neighbors are Islamic republics. Neither of them have relations with Israel. And suddenly this flare-up of tensions. A big question is, how will Iran respond to this? Does it really want to get into a dust-up with its much larger nuclear armed neighbor to the east?
Poppy. Phil.
HARLOW: Yes, that's the question.
Ivan, thank you very much for all that reporting.
MATTINGLY: Business leaders are increasingly sounding the alarm about how the unrest in the Middle East could impact their bottom line and possibly you, the consumer. The CEO of Maersk spoke to our Richard Quest about how long disruptions in the Red Sea could actually last.
(BEGIN VIDEO CLIP)
VINCENT CLERC, CEO, MAERSK: Initially we thought this was going to be a fairly short disruption. Now I think our best guess is more going towards month of disruption. And that means a lot more cost. (END VIDEO CLIP)
HARLOW: Richard Quest live with us from Davos.
You've had such interesting conversations there with business leaders. When I saw that you were speaking to Vincent Clerc, I was really interested because what Maersk has to do, if they have to go around the Cape of Good Hope, it takes two more weeks. Ultimately that means much more expensive things for us at home, right?
RICHARD QUEST, CNN BUSINESS EDITOR AT LARGE (ph): Yes. And the interesting reason is, not just that it takes that extra 10 to 14 days to go around, but it's what they do. Because if you think about the supply chain, and global supply chain, it's all now so finely tuned. So now ships are in the wrong place. They're taking longer. It costs more. And Vincent Clerc really goes through in a - in a very clear way exactly how that increased cost comes about.
(BEGIN VIDEO CLIP)
VINCENT CLERC, CEO, MAERSK: I think the level of threat today is really, really hard to assess on an objective basis. And I completely understand that. For us this is really about guaranteeing the safety of our crew, of our ships, and also of the cargo that our customers are trusting us with.
QUEST: So, you're going to have to take the long way around, which is down around - it adds about 10 to 14 days depending on the -- as I understand - please correct me.
CLERC: That about correct.
QUEST: But what does it add in terms of cost?
CLERC: So, actually the exact cost of it is something that is really unfolding and that we're trying to get our arms around. You have different levels of cost. The first one is, it takes about 8,000 miles more to get from China to the U.K. south of the horn. That takes these couple of weeks. That means that we have ships that suddenly have to sail full throttle. That means more emission, more fuel. It means also that they will not be, despite that, back on time in China. That means also the containers take a longer time to turn. So, you just have costs piling on here. And the longer this is going to lasts, the more this is going to cost.
(END VIDEO CLIP)
QUEST: The fascinating part of that is, they literally have to put their foot on the gas so that they can get there as quickly as they can, burn more fuel, and then hoof it back to China as quickly as possible.
Now, for the U.S., it's slightly different, in a way, because you're got the - you're going across the Pacific into the west coast, which, of course, will increase the cost because more will have to go that way. And then you land ship by train or by truck across the United States. All in all, it's not a disaster, it's not a calamity, but it's exactly what the global economy does not need at the moment when it's trying to bring down prices and make things easier.
[06:40:13]
HARLOW: Totally, after years of supply chain disruptions you've got this.
QUEST: Yes.
HARLOW: And everyone at home is going to start feeling it in cost.
Richard, thanks very much.
QUEST: Yes.
MATTINGLY: Well, Princess Kate is in the hospital after having surgery. Her father-in-law, King Charles, faces a health scare, too. Why the usually private royal family decided to go public with these conditions.
HARLOW: And one of the most influential CEOs in America talking with a warning to Democrats about demonizing the MAGA movement.
(BEGIN VIDEO CLIP)
JAMIE DIMON, CEO, JP MORGAN CHASE: I think this -- this negative talks about MAGA is going to hurt Biden's election campaign.
(END VIDEO CLIP)
HARLOW: You're going to hear a lot more candid talk from Jamie Dimon on that straight ahead.
(COMMERCIAL BREAK)
[06:45:44]
MATTINGLY: JP Morgan Chase CEO Jamie Dimon, he has thoughts, he often shares them, and this time he's warning Democrats this election cycle, watch what you say about Donald Trump and his supporters.
(BEGIN VIDEO CLIP)
JAMIE DIMON, CEO, JP MORGAN CHASE: I wish the Democrats would think a little more carefully when they talk about MAGA.
When people say MAGA, they're actually looking at people voting for Trump, and they think they're voting - and they're basically scapegoating them that you are like him. And -- but I don't think they're voting for Trump because of his family values. No, if you look - just take a step back. Be honest. He was kind of right about NATO. Kind of right about immigration. He grew the economy quite well.
And I don't like how he said things about Mexico.
UNIDENTIFIED MALE: I know.
DIMON: I don't like -- but he wasn't wrong about some of these critical issues. And that's why they're voting for him. And - and I think people should be a little more respectful of our fellow citizens. The Democrats have done a pretty good job with the deplorables, hugging onto their Bibles and they're beer and their guns. I mean, really? Can we just stop that stuff and actually grow up and treat other people with respect and listen to them a little bit? I think this -- this negative talk about MAGA is going to hurt Biden's election campaign.
(END VIDEO CLIP)
HARLOW: That was a really interesting moment for a number of reasons. One, because you rarely, if ever, hear CEOs of huge companies be that candid on politics. Two, because Jamie Dimon has been no defender of Donald Trump. You'll remember how he went after Trump's response to Charlottesville in 2017. Our reporting has been that he has been very impressed with Nikki Haley so far.
So, let's talk about this and the big picture. Back with us at the table we have Lee, Matt and Leah.
Thank you, guys, for being here.
Matt, let me just start with you on this.
What's so interesting about when Jamie Dimon talks about politics is he tells you what he really, really thinks. But the point he made there is, a lot of that Trump did proved, in his opinion, to be correct, even if you don't like some of the styles, some of the things that are said, et cetera, and beyond that. So, my question to you is, is that a warning that Democrats should heed and the Biden administration should heed about how you talk about supporters? That's really the message he was saying is, show respect when you talk about people who support Trump for these reasons.
MATT GORMAN, FORMER TIM SCOTT PRESIDENTIAL CAMPAIGN SENIOR ADVISOR: It's a warning politically to the Biden campaign and folks who support him and how they court possible independents and moderates. I think it's also a warning to the business world that you need to surround yourself with people who don't think exactly like you. You need to break out of your bubble a little bit. Because I think what we've seen this past year or so is too many corporations and companies walking headfirst into some bad PR or bad issues because they don't go around the table and talk to anyone who might have voted for Donald Trump or have any sort of favorable opinion to him and it can head off a lot of issues you've seen if you - if you just have a different perspective. If everyone sitting around this table thinks the exact same way you do, whether it's a boardroom or anything, that's a red flag that you need to bring in outside perspectives.
LEE CARTER, FORMER REPUBLICAN STRATEGIST AND POLLSTER: I mean, look, Jamie Dimon for president I think was the right message for him to be delivering.
HARLOW: I think Bill Ackman tried that.
CARTER: Yes, I think Jamie Dimon -
HARLOW: No, seriously, he did. Now he's moved on to how -
CARTER: No, he's - he's so right, right? When you think about the moment that Hillary Clinton lost the election in 2016, it was the moment that she called --
HARLOW: The deplorables.
CARTER: Basket full of depolorables. That was game over. When you go after the supporters instead of the candidate, big problems follow.
And let's not forget, Jamie Dimon is a CEO of a company where, in America, probably half of his clients voted for Donald Trump. And so he can't be to critical. He's got to understand this. he's got to have a message of unity in many ways. But I think he's absolutely right when he also - he also went on to talk about how we have to stop accusing (INAUDIBLE) of being like the former president instead of listening to their underlying concerns.
MAGA Republicans, Republicans at-large, have very valid concerns. They're concerned about the direction of the country. They're also, by the way, concerned about democracy. They're concerned about inflation, immigration, the economy. They're good people, many of them, and we're defining them by the worst attributes instead of the best. And I think that Jamie Dimon had a really valid point and Democrats would be wise to listen (ph).
MATTINGLY: And I think it's a good point. I think it's one that I think you could see reflected in a very different approach that you heard from the former president in Indianola, in Iowa, on Sunday.
Take a listen.
(BEGIN VIDEO CLIP)
DONALD TRUMP (R), FORMER U.S. PRESIDENT AND 2024 PRESIDENTIAL CANDIDATE: So we have to have fair and free elections or we don't have a country. But that's caucuses are your personal chance to score the ultimate victory over all of the liars, cheaters, thugs, perverts, frauds, crooks, freaks, creeps and other quite nice people.
[06:50:12]
That's a mouthful.
(END VIDEO CLIP)
MATTINGLY: I was being sarcastic there. Like, the - like, it's -- the thing that I don't understand about this, and I'm not criticizing Jamie Dimon or that view of what he's saying, or what you're saying about Hillary Clinton and the deplorables candidate (ph).
It's like Trump says awful things about Democrats and supporters of Joe Biden and supporters of Hillary Clinton and everything like that, way worse than deplorables or you don't like them, and no one seems to care. Like, what -- the deep offense that is taken when Hillary Clinton says deplorables or people call Donald Trump supporters MAGA people is not reflected. And I would like to know why.
LEAH WRIGHT RIGUEUR, CNN POLITICAL ANALYST AND HISTORIAN: We also - we also know that Joe Biden has actually been getting flak from - and really getting hit from Democrats, die hard Democrats, and progressives about being too soft, I think, on Donald Trump, which is interesting because the central part of the campaign has become this idea of Donald Trump is an existential threat to democracy.
What I think is interesting about Jamie Dimon's comments is that given that Jamei Dimon has been so critical of the past, why be about-face? Why in this moment? Why so rapidly, especially when he's spent the last three months really championing Nikki Haley and saying, this is somebody who is not chaotic, who is not, you know, spitting in people's faces and calling people names or calling for, you know, revenge politics as the front -- as a frontrunner of the party.
And I think part of what we have to look into is, what does Jamie Dimon see as the pathway forward? Is he - and I think one of the things he's identifying is that he thinks that Trump is going to be the frontrunner as - right?
HARLOW: He didn't say that.
RIGUEUR: He says that this is the person that is going to be the GOP nominee. And so I think as he's thinking about -- as we're thinking about, you know, how is he framing this, we have to remember that Jamie Dimon is trying to think about an entryway into this - a relationship with Trump.
HARLOW: But can I -
RIGUEUR: Right. Yes.
HARLOW: Can I ask you a question, and this is about separating the policies that he laid out there, whether it's with NATO, whether it's on immigration, economy, China, and the words the former president chooses to use, the way he does it. Do you see what I'm saying? Can you see a separation there or is it take it all or leave it all?
RIGUEUR: Well, I think Jamie Dimon says we should be able to separate. But I think that --
HARLOW: Right. That's what I'm asking.
RIGUEUR: But -
HARLOW: Go ahead.
RIGUEUR: But the problem is, is that with someone like Trump - and I'm not talking about his supporters, right? That's a -- that's a different conversation, I think. But with somebody like Trump, there is no separation. And I think it's very difficult, right, to essentially make an argument that is effectively white washing the president's kind of ideas and his policies. Like, his rhetoric is directly tied to policies.
And this was one of Jamie Dimon's central criticisms, right? As he says, well, you know, maybe Trump is right about immigration. Well, two years ago he's blasting the president for his stance on immigration and the way that he is talking about immigrants. So, you can't divorce the two. And it's something that I think has to be evaluated alongside, right, how we are thinking about running this argument about an existential threat to democracy.
MATTINGLY: I think it's a fascinating conversation.
HARLOW: Me, too.
MATTINGLY: That we should have a lot more.
HARLOW: Too bad we have commercials.
MATTINGLY: Ruining everything.
RIGUEUR: Got to pay the bills, guys.
MATTINGLY: And also DeSantis and those guys tried to run the policy -- Trump policy, not other Trump and --
HARLOW: Can't do it. Can't -
MATTINGLY: Not where the party's at right now.
HARLOW: Yes.
MATTINGLY: Lee, Matt, Leah, guys, thank you, as always.
HARLOW: So, today, a House committee holds a public hearing on that part of the plane on Alaska Airlines that just blew off. Next hour the chair of the NTSB is going to join us live before she testifies on Capitol Hill.
(COMMERCIAL BREAK)
[06:57:52]
HARLOW: This morning, two members of the British royal family are facing health issues. King Charles will be hospitalized next week for an enlarged prostate. His daughter-in-law, Catherine, the Princess of Wales, Princess Kate, in the hospital, recovering now from abdominal surgery.
MATTINGLY: Her last public appearance was on Christmas Day with Prince William and their children at Sandringham.
CNN's Max Foster has been following this, is always following this, joins us live from London.
Max, I'm fascinated. It's so rare for a royal family to disclose personal information like this. Why now? Why did this happen?
MAX FOSTER, CNN INTERNATIONAL ANCHOR AND ROYAL CORRESPONDENT: Well, I think in terms of Kate, she was in hospital. There was a public interest knowing she was in hospital. She might have seen -- been seen leaving the hospital. And, of course, we would have asked questions about why her engagements were being canceled. So, I think that was out of necessity.
Charles didn't necessarily have to reveal details of his enlarged prostate. But this from the palace. "In common with thousands of men each year, the king has sought treatment for an enlarged prostate. His majesty's condition is benign and will attend hospital next week for a corrective procedure. The king's public engagements will be postponed for a short period of recuperation." So, he had to let people know he was meeting -- he wasn't going. But a source also telling us that he wanted to encourage other men to have their prostates checked as well. So, I think there's a spirt of more openness, actually, around this monarchy because in the past we wouldn't have heard any medical details at all.
HARLOW: Yes, that's a great point. And both of them at the same time.
Do you have any update, Max, on how Princess Kate is doing, recovering?
FOSTER: We haven't had an update, which suggests things are going well. They said there wouldn't be an update until possibly she left hospital, or things took a turn for the worse.
The papers covering this. We do know that Kate is very keen to protect her kids from all of this, but it is all over the front of the papers. There you have it on "The Telegraph," in "The Mirror," I'll be there for you Kate. This is a reference to how William is also giving up his public diary (ph) to support the family. So, three royals effectively out of public action here. Let's pray that you're both OK. So, that's the headline in one paper.
[07:00:00]
Because I think people have been quite alarmed actually about the amount of recovery time that Kate needs from this. More than three months in total it could be.
