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Early Start with John Berman and Zoraida Sambolin

U.S. Looking for Support on Iraq; Team USA Advances in World Cup

Aired June 27, 2014 - 05:30   ET

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


CHRISTINE ROMANS, CNN ANCHOR: Happening now, U.S. Secretary of State John Kerry rounding up support to stop terrorists from taking over Iraq. But could Iraq's leader have his own plan in play one that doesn't involve the United States? We are live in Baghdad with the very latest.

JOHN BERMAN, CNN ANCHOR: Millions waking up to the threat of tornadoes, hail, flooding and it might not let up for days. Indra Petersons is here tracking what you need to know for this weekend.

ROMANS: Team USA living to fight another day in the World Cup. We are showing you what comes next.

Welcome back to EARLY START, I'm Christine Romans. I'm still kind of in a glow of the 12, you know.

BERMAN: That's right.

ROMANS: The new game yesterday.

BERMAN: But hide your waffles. That's a preview of what's coming next.

Thirty minutes past the hour. I'm John Berman. Great to see you this morning.

Happening today, Secretary of State John Kerry walking a fine diplomatic line as he tries to rally support for the embattled Iraqi government. The secretary is headed to Saudi Arabia today to meet with King Abdullah. This is his latest attempt to get the Persian Gulf nations, mostly Sunni nations, to stand up in the fight against ISIS. All this as Iran apparently dives deeper into the conflict sending military advisers to help the Iraqis.

And there is another sudden twist. The Iraqis now seeking help from Vladimir Putin and the Russians.

Nima Elbagir live in Baghdad with the latest.

Nima, this complicated situation only getting more complicated by the day.

NIMA ELBAGIR, CNN INTERNATIONAL CORRESPONDENT: Especially as the secretary of state is still in the process of trying to create some kind of consensus within Iraq's Persian Gulf Sunni Arab neighbors. But the reality is that what we're hearing from U.S. officials is that the U.S. really just cannot be seen to be backing a prime minister who has, on so many levels, been criticized for sectarianly divisive policies. So they're putting the brakes, somewhat, on any immediate military strikes.

They are waiting for the political process to take its course. But that is going to take some days, if not possibly even weeks. Parliament isn't going to even sit until Tuesday, John, so that pushes that timeframe back, all the while, ISIS are of course continuing the battle, continuing attempts to push towards the Iraqi capital.

Just yesterday, a suicide attack to the north of Baghdad killed 19 people and injured 41 others and came perilously close to one of the holiest of Shia shrines here in Iraq. And as you'll remember it was back in 2006 when the attack on Samarra kicked off some of the worst sectarian violence this country has seen. So that is always the concern when Sunni extremists get very close to these holy sites.

And it just gives you a sense of how Baghdad really is teetering on that knife edge while the consensus building is happening, while the political consensus they're attempting to pull that together, but the reality on the ground, John, that's not waiting for anyone.

BERMAN: And the reality in the air, Nima, as well with the Iraqi prime minister, Nuri al-Maliki saying he's going to buy Russian jets now because U.S. assistance is just too long in the coming.

ELBAGIR: Well, part of the issue is that the U.S. just doesn't have a very clear intelligence picture. That's the sense we're getting from our conversations with senior U.S. officials.

The U.S. military advisers are now here. They are now setting up that intelligence cooperation center. Well, we don't have specific locations but inside Iraq. And hopefully that will give them a better sense. But candidly, there are 10,000 or so ISIS fighters, that's the number we've been given, spread between Iraq and Syria. You would imagine they would be quite easy to find but what we're hearing is that there really is no fix on their location. And nobody as yet knows where to strike.

The Syrian government, however, doesn't seem to be held back by any compunctions. They are just carrying out cross-border raids and hitting where they think ISIS is. But some of the reports we're hearing from the ground are that that's causing quite a bit of civilian loss of life. So you get the sense, John, of such a delicate balancing act here. But all the while, the reality is hammering people over the head that ISIS is continuing to make gains -- John.

BERMAN: Nima Elbagir for us in Baghdad, this morning. Thanks so much, Nima.

ROMANS: All right. Congress will consider a request from President Obama for $500 million to send to Syrian rebels. The administration wants to green light the money to train and equip moderate Syrian opposition. It's part of the larger $1.5 billion initiative to help stabilize the region with help from Syria's neighbors. BERMAN: The price suspect to the deadly rampage on the U.S. mission

in Benghazi could be in the United States by this weekend. Ahmed Abu Khattala is crossing the Atlantic on the USS New York. He has spent about two weeks since his capture in Libya being interrogated by the FBI on the ship. He will eventually end up in Washington for trial.

ROMANS: A little known Senate procedural tactic is putting presidential recess appointments in jeopardy. So says the Supreme Court which unanimously ruled three appointments to the National Labor Relations Board were invalid. Justices ruled when the Senate convenes, even only for a few minutes every few days, it's not technically shut down so recess appointments aren't allowed. By that standard, the Senate has been in session since 2011.

BERMAN: Happening today, lawmakers heading for a firsthand look at the budding crisis along the Mexican border. Could be a booming crisis, not so much budding anymore. Representatives from Texas and Mississippi will tour a Border Patrol facility in Texas. They will meet with agents and volunteers and speak with children who have crossed into the U.S. illegally. There has been an epidemic of unaccompanied children crossing the border.

ROMANS: Also happening today a push for immigration reform by top officials in New York despite little hope for a deal. Advocates on both sides of the issue is likely dead until President Obama leaves office. The effort dwindled the opposition from House Republicans despite consensus for a deal among Senate negotiators.

I thought that was Myron Brilliant from the Chamber of Commerce, that's a big business lobby. And the Chamber of Commerce is actually optimistic about a deal.

(BEGIN VIDEO CLIP)

MYRON BRILLIANT, EXECUTIVE VICE PRESIDENT, U.S. CHAMBER OF COMMERCE: I absolutely do think immigration reform can get done whether it's piecemeal or comprehensive immigration reform. The country wants it. The president wants it. The business community wants it. Labor wants it. Religious groups want it. I think it can get done.

(END VIDEO CLIP)

ROMANS: Berman is shaking his head.

BERMAN: Well, the chamber wants it. He wants it.

ROMANS: Right.

BERMAN: And they're used to getting what they want, frankly, with the influence they have. But it doesn't seem to be going anywhere. It shows actually the disconnect between the business community and the new Republican movement in Congress. The Tea Party not so beholden to chamber money right now.

ROMANS: That's right.

BERMAN: And a lot of those groups not in favor of immigration reform at all. I would be shocked if something happens by December of --

ROMANS: It's interesting. You know when I talked to a senior White House official recently, too, and the Commerce secretary who said they think they can -- they don't think it's dead in the next two years, although outside Washington, people say immigration reform looks like it's really in trouble. Brilliant says there needed to be compromises. Compromises is what gets it -- that's what makes it not get done, right? Because everyone has different ideas of what -- of what they will accept, quite frankly.

BERMAN: Yes. But obviously very important in leadership and business.

ROMANS: Yes.

BERMAN: And also to solve some of the problems going on, on the border right now.

ROMANS: That's right.

BERMAN: Thirty-seven minutes past the hour. The process for the newly coverage under Obamacare being simplified. The government says most of the five million people who signed up online will be able to renew automatically. Much like workplace plans. Changes in the policy or subsidy changes will require action.

ROMANS: All right, time for an "EARLY START" on your money. European stocks are up this morning for the first time in six days. U.S. futures barely moving. It could be the summer of stupor. And there's no World Cup game to blame today. Home values have bounced back, but homebuyers have a big problem in some major markets. Other buyers are paying with cash.

Look at this. According to a brand new report from Zillow, Miami has more all-cash deals than any other market. Sixty-five percent of home sales in Miami are with cold, hard cash. In Tampa, a retiree haven, 57 percent of sales all cash.

All cash deals are more than half of home purchases in Detroit and Cincinnati.

It's remarkable because the housing market can't really recover completely and be more of a driver to the economy until first time home buyers are kind of back in the market. They're in much smaller percentage of sales. It's cash buyers, foreign cash buyers, people coming here to park their money in the U.S. and the U.S. housing market. It's investments and it's, you know, baby boomers who are buying their retirement homes but remarkable. How do you compete with that? You can't compete with that.

BERMAN: No. No. I'll tell you -- God bless them. I can't imagine going and say, here, I want to buy a house.

ROMANS: I know. I only got $20 in my purse.

BERMAN: All right, Team USA getting ready to take a bite out of Belgium. Imagine a waffle there, shriveling, scared waffle in the next round of the World Cup. The Americans made it out of the so- called group of death despite losing their final match to Germany.

ROMANS: They're saying that waffles are kind of empty calories. You know?

BERMAN: That's right.

ROMANS: Americans just --

BERMAN: We taunt your waffles.

ROMANS: So now it's winner go home. Sixteen teams moving on. The U.S. next plays, what, Tuesday.

Lara Baldesarra has a preview for us this morning from Brazil.

LARA BALDESARRA, CNN SPORTS CORRESPONDENT: Well, John, well, Christine, does it seems a little weird to you that we're all celebrating and happy after the USA lost? It does. It feels like -- feels a bit odd. But that loss to Germany did not matter. Because as we all know, the USA is progressing in the World Cup. They are staying alive. Their next fixture is the round of 16 fixture. That will be against Belgium.

Now Belgium is the dark horse of this tournament. This is the team that everybody said you need to keep your eye on. There's a lot of young players on this. In fact the average age of the squad is just 26 years old. This team is fast. They are physical. They are very good, very skilled players. But I think that the USA can definitely handle this Belgian team.

The one area that the American team will really have to concentrate on, that will be to breakthrough this Belgian defense. Belgium, they have only conceded one goal in their first three matches. That is pretty impressive. That goal, it was actually a penalty. So the USA certainly has their work cut out for them. But they made it through the group of death. So now anything seems doable.

They have surpassed all expectations. Jurgen Klinsmann knew that really he would be judged based on if this American squad, if he could get it out of the group of death, he did that. Everybody is over the moon about this. So now it is on to Belgium and the round of 16 in Salvador, which I will be right there covering and hopefully it won't be a horrible, horrible rainy day.

BERMAN: All right, thanks so much, Lara.

You know, Colin Sealer (ph), I mentioned they were playing Belgium next and people talk Belgium waffles. He suggests that from now on we call them freedom waffles.

(LAUGHTER)

BERMAN: Which I fully endorse.

ROMANS: Berman, you and your attacks against other countries.

BERMAN: You have to get into this.

ROMANS: You'll never be a State Department reporter now.

BERMAN: I know. Sad.

ROMANS: All right. All right. Forty minutes past the hour.

Police revealing new clues that could show a toddler's tragic death was not an accident.

BERMAN: Plus parts of the Midwest flooded. Battered by days of rain. And it is not over yet. Indra Petersons tracking severe storm that are here for the weekend.

(COMMERCIAL BREAK)

BERMAN: Internet searches now at the center of a Georgia investigation into the death of a toddler when his father appeared to leave him inside an SUV. Sources tell HLN, one of the father's computers contained a search asking how long it takes an animal to die in a hot car. The 33-year-old Justin Harris has pleaded not guilty to charges of murder and child cruelty.

ROMANS: The 12-year-old Detroit boy who turns up in his dad and stepmother's basement after being missing for almost two weeks, he's going to speak with investigators again today.

Charlie Botheull already met with police after talking with child psychologists. Michigan Police say they are not ruling out abuse. The boy now with his biological mother. His father discovered he was alive -- was found alive during an interview with HLN's Nancy Grace.

To the extreme weather, Texas has taken the brunt of major storms the last few days. A tornado blew through Harris County, winds reached 85 miles per hour ripping roofs from buildings.

BERMAN: Residents in St. Paul, Minnesota, might be ecstatic to see the Mississippi recedes. It was predicted to crest at more than 20 feet last night after causing a huge flooding. Governor Mark Dayton has declared a state of emergency for 35 counties.

ROMANS: A potentially dangerous weekend in store for many of you.

Indra Petersons has a look at the forecast this morning. It starts wet but it's an strong -- I think there's a strong finish for the east.

INDRA PETERSONS, AMS METEOROLOGIST: It's where you are. That is the key.

ROMANS: OK.

PETERSONS: Because we're going to talk about how much rain is going to be expected through the weekend starting with the Midwest. Not a good story here. Especially we talked about those rivers, more rain headed their way. Another about two to three inches. But that's kind of the little story. The bigger story in the Midwest is going to be the threat of severe weather that's kind of heading in the region. So once we get in the plains -- looks like our maps aren't working here too well.

We do have that threat for even tornadoes Midwest. That's going to be the big concern. We have an area of low pressure kind of cruising through that region. So with that, that is going to be triggering that threat for even some tornadoes.

There's that low pressure system right there as far as the severe weather threat itself. Let's kind of look at the cities here, Bismarck, all the way down to about Dodge City is where that biggest concern is going to be.

Now into the southeast, that's where we have that concern where all of that moisture is going to be out there. It's going to be fueling all of that moisture. That's going to be the hot and muggy condition. They're going to be continuing as we go through the weekend. As far as those temperatures 80 and 90. So yes, you're used to it. We're still talking about that pattern. But this is what we're talking about.

Yes, there's rain in the northeast. That's where the high pressure comes in, that's where the sunshine is and that's where the temperatures feel oh, so good, 80s, where they should be as long as it is dry. You know, yes, it's muggy, but when you look at the rest of the country, it's perfect.

BERMAN: Eighty is where it should be because that's where you happen to be. I like that.

PETERSONS: Exactly.

ROMANS: I know. When I look in the rear-view mirror in January, I don't complain even about muggy.

PETERSONS: Can you just stay below negative 40 in many places in January?

ROMANS: Yes. Thank you. Thank you.

BERMAN: She's scarred for life because of this (INAUDIBLE).

ROMANS: I know.

PETERSONS: Yes.

ROMANS: As are all of us.

BERMAN: All right. Let's take a look at what's coming up on "NEW DAY." Chris Cuomo is with us now.

Good morning, Chris.

ROMANS: Hello.

CHRIS CUOMO, CNN ANCHOR, NEW DAY: Lady, gentleman, good to see you both here on this Friday. I know thought I was going to say something else, Berman, but you were wrong.

All right. So we have news and some stories you just have to be following right now. This bizarre mystery in Detroit, you know, the father who learned that his missing son had been found, he learned on live TV. Turns out the kid was found in their own basement.

So how did this happen? There are now growing questions about the family. So the man's wife, who's the stepmother, not the son's biological mother, she's been arrested but on unrelated charges.

So what's going on and why hasn't either been allowed to see the boy since he was discovered down there? Nancy Grace broke the news to the father on her show. She'll be on to talk to us about it.

We're also following that just terrible story in Georgia about the child who's left in the car and die. They are piecing together the timeline. There are new clues to why this happened. A lot of people are rushing to judgment. We are not. We'll give you the latest information on that one.

And then we have good news. The U.S. is going to make it to the next round in the World Cup. I'm sure you know that because soccer has finally gripped America with the enthusiasm that it has shared around the world. So the team advances. Who do they play? What's going to happen?

We have one word. Tim Howard. He's here. The USA captain and goalkeeper.

ROMANS: That's two words.

CUOMO: No. You got to say it fast. Tim Howard. Don't let the math trip you up, Romans. He's going to be on the show to talk to us about the next round. And I must say, as humbling as it is, John Berman, line of the morning already, Belgium waffles called freedom waffles.

BERMAN: That wasn't me. It was a man on Twitter who tweeted me that.

CUOMO: It wasn't you?

BERMAN: It -- no.

CUOMO: I feel much better.

BERMAN: Colin Sealer on Twitter who came up with it. But I'm sticking with it, we'll have new freedom beer instead of Belgian, you know, pale ale.

ROMANS: So there you go.

BERMAN: It's got a stronger alcohol content.

CUOMO: That is Berman-esque genius. Better phrase.

ROMANS: Belgian beer I think has a really stronger alcohol content. Kind of --

(CROSSTALK)

BERMAN: You can't have a little bit too much of it before the game.

CUOMO: I'm going to try and kill beer for people by saying it has too much alcohol. Be quiet, Romans. Drink your beer and be quiet.

ROMANS: Don't --

(CROSSTALK)

CUOMO: She's trying to lean over but the baby is --

BERMAN: It's Friday, ladies and gentlemen.

CUOMO: Have a very good weekend. Berman is nervous. He's moving his hands. He's moving his hands. He's nervous.

BERMAN: We'll be right back.

(COMMERCIAL BREAK)

BERMAN: A couple reports from the CDC on alcohol abuse. A new study says one in 10 deaths among working age Americans are linked to excessive alcohol use. The study defined excessive drinking as eight or more drinks per week for women and more than 15 for men. The causes of death range from drunk-driving and chronic conditions caused by alcohol consumption.

ROMANS: Breaking overnight, troubled actor Shia LaBeouf arrested in New York City for an alleged violent outburst at a performance at the Broadway musical, "Cabaret." Police charged the 28-year-old with disorderly conduct and criminal trespass. They say the actor appeared drunk, smoking inside the theater and threatening officers and people outside.

BERMAN: Life is not a cabaret for Shia LaBeouf this morning.

ROMANS: No. No.

All right. Coming up, the price of an iPhone taking a dip at Wal-Mart stores. A big dip. We're going to get an early check of your money. That's next.

(COMMERCIAL BREAK)

ROMANS: We got time. Three minutes to the top of the hour. An EARLY START on your money now.

Wal-Mart is cutting iPhone prices today now with the two-year contract, iPhone 5s will be 99 bucks down from 149. And the 5c will cost 29 bucks down from 49 bucks. This is fueling speculation that Apple may be planning an iPhone launch before the fall. It will certainly drop prices to shoppers and consumer have been careful. Consumer spending rose less than expected in May.

Later this morning we're going to get a read on consumer confidence. A major priority for the White House is raising the minimum wage to $10.10 an hour. Ikea raised its wage to -- in the U.S. to $11 yesterday. Something that would put more money into the pockets of people living paycheck to paycheck. Not a good idea says the big business lobby the Chamber of Commerce.

(BEGIN VIDEO CLIP)

BRILLIANT: The economy is soft. We have grown, but we're not growing at the rate we need to. We need to grow 3 percent to 3.5 percent at least. We are not there. And if we are going to take measures that will perhaps restrain companies from hiring people, that's not good.

(END VIDEO CLIP)

ROMANS: Twenty-six states have already done it. They've raised the minimum wage above $7.25. We've seen companies do it one after another because they think it's good for their business or at least good for their image. And the White House says it's still pushing it for the next couple of years.

BERMAN: And the iPhone thing, big screens. They were talking about big screens.

ROMANS: I know. Big screens. So how big a screen will you get?

BERMAN: I don't know. It's a personal question.

All right. "NEW DAY" starts right now.

(BEGIN VIDEO CLIP)

NANCY GRACE, HLN HOST: We are getting reports that your son has been found in your basement. Mr. Botheull, are you --

CHARLIE BOTHUELL, FATHER OF BOY FOUND IN BASEMENT: What?

(END VIDEO CLIP)

CHRIS CUOMO, CNN ANCHOR: Under suspicion. New details in the missing boy found in the family basement. His father told about it on live TV. Now his wife, his stepmother, has been arrested, but on separate charges. So why are both being kept from the boy? We have the very latest.

KATE BOLDUAN, CNN ANCHOR: Dark twists in another shocking story. The father charged for leaving his son in a hot car causing his death may have been searching the Internet on the topic. The details ahead.

MICHAELA PEREIRA, CNN ANCHOR: They are in it. They lost the game, but survived the group of death. Team USA now advancing in the World Cup. The nation more excited than ever before. Team captain, goalkeeper, Tim Howard, joins us live.

CUOMO: Your NEW DAY starts right now.

ANNOUNCER: This is NEW DAY with Chris Cuomo, Kate Bolduan and Michaela Pereira.