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Early Start with John Berman and Zoraida Sambolin

Tornadoes Rock North Texas; Vienna Issues Warning to European Cities; Iraqi Forces Claim Key Victory in Ramadi; Trump Attacks Bill Clinton's Sexism; Two Killed By Chicago Police; Israeli-Palestinian Violence Erupts; Aired 4:30-5a ET

Aired December 28, 2015 - 04:30   ET

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

[04:30:03] MIGUEL MARQUEZ, CNN ANCHOR: We begin with brutal Christmas weather killing at least 43 people across the country. The state of Texas hit the hardest. Thousands of people there picking up the pieces this morning. Their lives shattered by devastating tornadoes.

Hundreds are huddled in shelters right now in the suburbs of Dallas. Homes, churches and businesses flattened by at least 11 reported tornadoes. One of them classified as an EF-4 packing winds up to 180 miles per hour. Eleven people including an infant killed. The damage still being calculated.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: It's the grace of God, man. I'm really grateful. You know, my wife works not that far from here. If I didn't call her, she'd be here right now and my kids will be here, too, so, you know, a lot of things.

UNIDENTIFIED MALE: I actually looked at the twister.

UNIDENTIFIED MALE: You looked at it. Describe it for me.

UNIDENTIFIED MALE: There's a dark funnel. It was just a big roar. It was really scary. It scared me. I mean, I don't scare that easy. But I was scared.

(END VIDEO CLIP)

MARQUEZ: Terrifying. The number of tornadoes that touched down and the death toll could climb higher. Many communities hit so hard Saturday night, authorities still haven't reached everyone.

We get more from CNN's Nick Valencia in Garland, Texas.

NICK VALENCIA, CNN NATIONAL CORRESPONDENT: Miguel and Christine, the damage in this areas affected by the tornadoes that ripped through the suburbs of Dallas has just been extraordinary. This is the closest that we've been allowed to get to the damage just about a quarter mile away. Road closures, police blocking roads has made it impassable to get to some of the hardest hit areas affected by this EF-4 tornado that ripped through here on Saturday night.

The force of which was so strong that it ripped -- ripped off the roofs in some of these apartment homes behind me. A storage facility with cars flipped over. Cars into the structures, into buildings. More than 600 structures have been affected as a result of these storms. And when you consider the force of that EF-4 tornado, up to 200 miles per hour coming through here, it's amazing that there weren't more lives lost.

At least 11 people killed as a result of this storm system that swept through here. Texas governor Greg Abbot declaring a disaster zone for four counties throughout the state of Texas. And we understand local authorities are still going door-to-door spending a significant portion of Sunday to make sure that everyone that was affected by these storms is accounted for -- Miguel, Christine.

CHRISTINE ROMANS, CNN ANCHOR: All right, Nick, thanks for that.

The governor of Missouri declaring a state of emergency. Storms packing torrential rain pummeling that state, triggering flash floods, road closures and evacuations. Authorities reporting more than 100 water rescues since Sunday morning. And with rivers expected to rise rapidly between now and New Year's, residents are being warned not to leave their homes.

Just take a look at the water levels in Springfield, Missouri. This Ford dealership and its inventory submerged. Highways and roads throughout Missouri impassable right now. Interstate-70 shut down through the heart of St. Charles County. Transportation officials say it is not expected to reopen in time for this morning's rush hour.

MARQUEZ: Yikes. Blowing snow causing big problems this weekend in Oklahoma. Take a look at the roads in Oklahoma City. Ice and snow triggering spinouts across the state. 60-mile-an-hour winds causing two-foot snow drifts in some places. At least 11 Oklahoma counties forced to shut roads and bridges because of flooding. Amazing.

ROMANS: To Mexico now, a winter storm there slamming southeastern Mexico. At least one person killed from exposure to the cold. Up to 20 inches of snow reported in some communities with the snow drifts 10 feet high. The National Guard called in to rescue stranded drivers. Look at that. The governor declaring a state of emergency there. Interstate-40 in Albuquerque shut down indefinitely.

MARQUEZ: Wow. Unbelievable. That's a major road.

ROMANS: Yes.

MARQUEZ: For the latest on the severe weather threat this morning, let's go straight to CNN Center and bring in CNN meteorologist Pedram Javaheri.

Pedram, what's going on up there?

(WEATHER REPORT)

[04:36:12] ROMANS: Pedram, I saw cherry blossoms yesterday. I'm not kidding. The weather has been so crazy on the East Coast. You know, no snow in this part of town. Let me ask you this. A lot of emergency management people are telling

us this morning if you have this dangerous weather, just stay home. This is not the day to try to battle the rush hour. Is that advice you give?

PEDRAM JAVAHERI, AMS METEOROLOGIST: I think that's absolutely the way to go. Yes. You know, when you're talking about 100 million people traveling according to AAA over this holiday weekend, you know, a lot of them had to be traveling either yesterday or today. And this is as bad a weather pattern as we've seen in a very long time. And unfortunately it comes in this time of year when it comes to holiday travel. So we're going to have to watch this very carefully, guys.

MARQUEZ: He's got his work cut out for him.

ROMANS: He sure does.

MARQUEZ: Good luck.

ROMANS: All right, Pedram Javaheri. Thanks. Keep us posted.

All right. Police in Vienna issuing warning to authorities in several European cities about possible terror attacks. They're not saying which European cities might be targeted only that the attacks would involve explosives or guns, and could occur between now and New Year's eve.

For latest on the threat, we go to -- live to London and bring in CNN's Robyn Kriel. They're taking this very seriously, aren't they?

ROBYN KRIEL, CNN CORRESPONDENT: They are taking this seriously, although it's just very generic threat warning a number of the cities across Europe have heightened their police presence on the ground and their security presence at key points. Guns and explosives warned that could be used between Christmas and New Year's Eve. So really this extremely high time for tourists as well as just activity in general on the streets and in key tourism areas. The festive season here in England.

Also warning that names of possible attackers were also given. However Vienna police saying that they have investigated this and haven't come up with any concrete results as of yet.

ROMANS: Robyn, do we know where this intelligence is coming from? And we know the European governments have been sharing a lot of intelligence in the last few weeks.

KRIEL: We do not know where this has come from. All it said on the alert was that it came from a friendly intelligence service. As you said, European governments really doing a lot better job of sharing intelligence, Interpol, et cetera. The U.S. has always been very informative with whatever intelligence it collects not only to Europe but other countries around the world facing similar terror threats such as East Africa. But yes, we are not sure exactly where this came from other than that it's friendly.

ROMANS: All right. Thank you so much for that, Robyn Kriel, in London for us this morning.

MARQUEZ: Now Iraqi Security Forces recapturing a key government facility from ISIS in Ramadi. Fighting reportedly fierce for several -- in the region for several days now. Iraqi officials insisting they now have control of the city. They're even predicting liberation of Mosul next.

Let's go live to Abu Dhabi and bring in CNN's Becky Anderson for the very latest.

Becky, Ramadi, such a strategically important city. It's been fought over for years. Even if the Iraqis can take it, can they hold it?

BECKY ANDERSON, CNN INTERNATIONAL ANCHOR: That's the big question, isn't it? As you rightly point, 60 kilometers west of Baghdad. This is the capital of Anbar Province.

And, Miguel, the government, the Iraqi government confident enough with its progress that it says it plans to have a flag raising ceremony later today. They are predicting the complete re-taking of Ramadi in the coming days. But the caveat here there are still some pockets of ISIS resistance, we are told. So security forces that are there are advancing slowly.

Why does this matter? Well, the retaking of Ramadi will be Iraqi army's single biggest victory over ISIS since the terror group swept through the country, you'll remember in 2014. This is a predominantly Sunni Arab city, I'd say about 60 miles west of Baghdad and it fell to ISIS in May and at the time you may remember after it was captured, U.S. Defense Secretary Ash Carter questioned the Iraqi army's will to fight. Importantly than victory in Ramadi will be seen as a test of Washington and Iraq's military strategy.

[04:40:08] Washington is providing the Iraqi army on the ground with U.S. air support and military advisers. And this has been a strategy much derided by those who want to see a ratcheting up of Washington's efforts and perhaps boots on the ground as well.

The other important point here, there is something like 6,000 to 9,000 Sunni tribal fighters supporting these efforts. And that is opposed to the controversial Iran-backed Shiite militia who have been used controversially in other operations. Again, this will be considered a solid achievement in it of itself.

Now the Iraqi government said that the next target in its sights is Mosul. This is the biggest population center under ISIS control either in Iraq or in Syria. And I think it is important to point out, too, Miguel, if that could prove a much tougher proposition. Back to you.

MARQUEZ: Yes. Indeed. It sounds like perhaps, hopefully, the Iraqi government is finally making some headway in repairing the damage with its own Sunni citizens. Thanks very much.

ROMANS: The leader of ISIS trying to rally his troops in the face of military setbacks in Iraq and Syria. An 24-minute audio message online reportedly made by Abu Bakr al-Baghdadi mocks the Western military coalition, threatens Israel and assures ISIS fighters they are, quote. "on the right path."

The voice on the recording also urges ISIS troops to be patient. If the voice on the recording actually is that man, al-Baghdadi there, it's the first time since May he has been heard from.

MARQUEZ: And a grim admission from top Afghan military officials. The Taliban is making a comeback and gaining ground. That assessment from Afghan's chief executive to his national security council. He says the Afghan military has failed to meet the people's expectations because it lacks discipline. Over 7,000 members of the Afghan Security Force have been killed by Taliban fighters this year.

ROMANS: All right. Time for an EARLY START on your money this Monday morning.

U.S. stock futures, they're a little bit lower right now as Wall Street comes back from the holiday break. Stocks climbed last week before they close early, of course, on Thursday. The Dow gained 2.5 percent but it has still been a tough December and a flat year.

So what's going to happen next year? Analysts polled by CNN Money expect bigger gains next year, although no double-digit rally. And Wall Street is betting certain stocks will tumble in the New Year. First up, GameStop, the video retailer has the most shortage stock on the market. That's because customers now download games and skip the store.

Next, Sanderson Farms. Like other chicken producers, Sanderson has been hurt by other countries banning U.S. poultry on bird flu fears. Wall Street betting on more outbreaks and more bans. And finally, Lumber Liquidators. The stock you might recall took a nosedive this year after a report its flooring has unsafe levels of formaldehyde. Investors don't expect a turnaround in that one next year. Basically a flat year for stock investors this year.

MARQUEZ: Not a happy year for the stock market.

ROMANS: But six good years before that.

MARQUEZ: But at least we're not -- we're not in the red so much.

ROMANS: There you go.

MARQUEZ: There you go.

Chicago's mayor calling for changes in the city's police department the day after officers shoot and killed two people. The overnight -- overnight developments coming up next.

(COMMERCIAL BREAK)

[04:46:24] ROMANS: All right. Welcome back to EARLY START.

The presidential candidates get back to business, the business of campaigning today after a holiday weekend respite. Republican frontrunner Donald Trump is once again in the spotlight. No surprise there. But his feud with Hillary Clinton is escalating. Trump suggesting it's open season on Bill Clinton as the former president gets ready to hit the campaign trail for his wife.

We get more this morning from CNN's Chris Frates.

CHRIS FRATES, CNN INVESTIGATIONS CORRESPONDENT: Hey, good morning, Christine and Miguel. The fight between Donald Trump and Hillary Clinton is getting increasingly personal, with the billionaire attacking Bill Clinton for sexism. Trump said in his tweet Saturday night attacking Bill Clinton, quote, "Penchant for sexism turned the tables on Hillary Clinton," because she used the same phrase to criticize Trump earlier in the week after he used a sexist vulgarity to describe Clinton's loss to Barack Obama in 2008.

(BEGIN VIDEO CLIP)

DONALD TRUMP (R), PRESIDENTIAL CANDIDATE: I think he is fair game because his presidency was really considered to be very troubled to put it mildly because of all of the things that she's talking to me about. I mean, she is mentioning sexism. I actually turned her exact words -- I don't know if you saw the following tweet. But I turned her exact words against her from that standpoint. Then she's got to be careful. You know, it's got to be fair.

And we all have to fight fairly and we have to fight, you know, for the good of the country, for the good of the people, for the good of everybody. But we have to fight fairly. And she is playing the woman's card and it's like, give me a break.

(END VIDEO CLIP)

FRATES: The chairwoman of the Democratic National Convention fired back saying Trump is practicing gutter politics and that the whole GOP field is following him down the sewer.

(BEGIN VIDEO CLIP)

REP. DEBBIE WASSERMAN-SCHULTZ, CHAIR, DEMOCRATIC NATIONAL COMMITTEE: It's really outrageous the depths and how low he has allowed the campaign to sink. And the rest of the Republican field, Andrea, is going along.

(END VIDEO CLIP)

FRATES: Trump's slam on Bill Clinton's marital infidelity and alleged sexual misconduct comes a week after the Democratic frontrunner announced that her husband will hit the campaign trail for her next month. And the attack appears to be a kind of preemptive strike on the man regarded by many as one of the country's best campaigners. It also suggests that Trump is feeling secure enough in his lead atop the GOP field to take on the leading Democrat. Trump and Clinton are neck and neck in a hypothetical match up. And of course it doesn't hurt that criticizing Clinton is also a very popular past time among Republican primary voters -- Christine, Miguel. MARQUEZ: They do like to take it out on the Clintons. Thank you

there, Chris Frates.

Donald Trump also taking aim at South Carolina Congressman Trey Gowdy blasting him for his expected endorsement of Republican rival Marco Rubio. After Gowdy announced plans to campaign with Rubio in Iowa this week, Trump ripped Gowdy for what he calls his failed role in the House Benghazi investigation.

(BEGIN VIDEO CLIP)

TRUMP: And I hope he does a better job than he did frankly in the Benghazi hearings because they were a total disaster. And I've been seeing on Twitter many, many people extremely angry about the whole thing because, you know, Marco has been very strong for amnesty and very weak at the border. And a lot of people are very upset with Trey Gowdy for doing that.

(END VIDEO CLIP)

ROMANS: Another one of Trump's GOP rival, Ted Cruz, has been rising in the polls and leading in Iowa. Cruz announcing a six-state, 36- county swing through the state after the new year. Chris Christie will be back in Iowa campaigning today, holding two town halls. Jeb Bush has three campaign events at home in Florida today before heading to New Hampshire on Tuesday.

On the Democratic side, Bernie Sanders begins a campaign -- his campaign out west this week with several stops in Las Vegas today before returning to Iowa.

MARQUEZ: Interesting. More and more interesting.

The Chicago Police Department and city's mayor under fire once again after an officer fatally shot two people this weekend while answering a domestic disturbance call.

[04:50:06] Demonstrators planned a march to city hall this morning demanding that Mayor Rahm Emanuel resign. Meanwhile, the medical examiner has ruled the deaths of 55-year-old Bettie Jones and 19-year- old Quintonio LeGrier homicides. Police officials admitting Jones was shot accidentally.

We get more from CNN's Ryan Young.

RYAN YOUNG, CNN NATIONAL CORRESPONDENT: Christine and Miguel, you have a community in Chicago that's very upset about another police- involved shooting. If you look right across the street, you can see where hundreds of people gathered on Sunday to talk about their pain over this last shooting. That's a memorial that's there for 55-year- old Bettie Jones. She was a grandmother and a mother of five. She was shot as police responded to a call about Quintonio Legrier.

He is a 19-year-old college student who apparently had a bat in his hand and his dad called 911 for help. When police arrived, they opened fire, killing the young man but also hitting the 55-year-old grandmother and mother of five. This community is very upset about this, outraged by another police shooting, wanting to know why a taser couldn't be used.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: Why do you got to shoot first and then ask questions later? It's ridiculous. Somebody needs to do something about this. This is ridiculous. What about the taser? Tase him down. Don't start shooting people. Innocent people.

(END VIDEO CLIP)

YOUNG: The Chicago Police Department has apologized for the shooting of Bettie Jones saying that was an accident. The other shooting, the 19-year-old, of course is under question.

There is a new procedure in the city of Chicago that officer who opened fire has now been put on 30 days desk duty as they evaluate this shooting. But a lot of questions here in the city obviously after the tumultuous month that they've had with all the protests and the calling for Rahm Emanuel to quit after the shooting death of Laquan McDonald that was caught on tape. A lot of questions really about what happens next here in the city -- Miguel and Christine.

ROMANS: All right. Ryan, thank you so much for that. Have you seen the "Star Wars" movie?

MARQUEZ: I have not.

ROMANS: Have you heard about it?

MARQUEZ: Don't say a word.

ROMANS: There's a little film called "Star Wars"?

MARQUEZ: What is that?

ROMANS: Took 12 days to reach a billion bucks. The force has official awakens the box office. How it is shattering records and why its reign is far from over. Next.

(COMMERCIAL BREAK)

[04:55:31] MARQUEZ: Welcome back. More unrest and violence in Israel this weekend. Israeli troops shooting and killing two Palestinians after they attacked and stabbed a soldier near a West Bank checkpoint. Earlier in the day another Israeli soldier was stabbed and wounded in Jerusalem.

CNN's Oren Liebermann tracking the latest developments live from Jerusalem this morning.

Oren, we thought the worst was behind us, but it seems violence is not letting up.

OREN LIEBERMANN, CNN INTERNATIONAL CORRESPONDENT: Yes, the pace of the attacks and the level of violence here in Israel, Jerusalem and the West Bank, not letting up at all. Especially not during the holiday season, not even when the beginning of Christianity in Bethlehem just a few miles from where I'm sitting right now.

What's interesting is Jerusalem, which had been quiet -- relative quiet, I should say, for weeks since the beginning of the violence October 1st is once again becoming a flash point. We saw a number of attacks here over recent weeks including one last week where two Israelis were killed just outside the Old City of Jerusalem. The other attack that came in the West Bank is also becoming another flash point in the northern West Bank just south of the city of Nablus. 2016 just a few days away here. That will begin the fourth straight month of violence here -- Miguel.

MARQUEZ: Now, Oren, switching topics real quick. ISIS leader Abu Bakr al-Baghdadi released a new audio recording. We believe it's him. He threatens Israel in it. Are officials there taking that seriously?

LIEBERMANN: Not really. They view it more as ISIS propaganda. They say ISIS is still at this point a fairly distant threat. Not one that's going to carry out an imminent attack or as Baghdadi says in the video surround Israel and liberate Jerusalem. So there hasn't been too much of a reaction or a concerned reaction about it just yet. Israel has arrested a few people here for spreading ISIS propaganda or they say for trying to go fight for ISIS but those numbers at this point still relative small.

MARQUEZ: All right, Oren Liebermann in for us in Israel. Thank you very much.

ROMANS: A top parliament official in Iran is blasting what he calls new discriminatory U.S. visa regulations. The official has reportedly written his counterparts in Europe, China and Russia urging them to oppose the new law which tightens visa-free travel to the U.S. for those who visited Iran claiming it violates the comprehensive nuclear deal.

MARQUEZ: And China's two-child policy, two-child policy, officially goes into effect January 1st. The National People's Congress approving the plan Sunday. The policy expected to impact over 100 million couples. The two children per couple initiative is designed to address the issue of China's rapidly aging population.

ROMANS: All right. About 58 minutes past the hour, let's get an EARLY START on your money. Stocks reopen today after a three-day Christmas break. So far U.S. stock futures pointing down a bit. Stocks climbed last week before closing early on Thursday. The Dow gained for the week 2.5 percent. But it's still been a tough December and a flat year.

Oil prices are also moving lower this morning. Down almost 2 percent to about $37 a barrel. The national average for a gallon of gas just under $2 today.

"The Force Awakens" made $1 billion at light speed. The new "Star Wars" movie passed the $1 billion mark just 12 days after its global release. That's a full day faster than the previous record holder "Jurassic World." The film just have the best Christmas Day box office ever and it led the box office again this weekend bringing in $153.5 million. Look, its reign is possible, the film hasn't even opened yet in China. The second biggest market.

The holidays are about giving and receiving and returning. Last year, 38 percent of people returned at least one holiday gift. So if you've made the moral decision to switch that -- to ditch the sweater, do it right. First, know your return window. It varies by retailer, sometimes by item. Many retailers have a strict time limit and require a receipt. So don't miss the chance.

Next, don't open a store credit card. Expect stores to push you to open a card this week. That extra 15 percent off is tempting, but don't do it. It can ding your credit score. If you have a lot of store credit cards, you look financially vulnerable. Finally, cash-in unwanted gift cards. There are plenty of sites that will buy them for 90 percent of their value or more depending on the store.

Do you know that a lot of people have gift cards just rolling around in their pocket, in the bottom of their hand bags, in their drawer? You can cash them out and payout a little.

MARQUEZ: I just want to know where I can return my lump of coal.

ROMANS: You got a lump of coal again this year?

MARQUEZ: Yes, well.

ROMANS: You know, you've got to get off the naughty list.

MARQUEZ: Well, but it's good for the heat, although we don't need it this year.

ROMANS: All right. You like to get on the naughty list. I know that.

MARQUEZ: Same to you here.

EARLY START continues right now.

ROMANS: Dozens dead as severe storms strike. Tornadoes, flooding, snow crippling cities across the country.

MARQUEZ: Chicago's mayor calling for changes in the city's police department the day after officers shoot and kill two people.

ROMANS: Donald Trump striking back at Hillary Clinton. This time taking some personal shots at her husband.