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Early Start with John Berman and Zoraida Sambolin
Trade Tensions Between the U.S., China and Mexico Rattle Wall Street; Godzilla Takes Top Spot at Box Office; President Trump Travels to London for a 3-Day State Visit. Aired 5-5:30a ET
Aired June 03, 2019 - 05:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
[05:00:00] CHRISTINE ROMANS, CO-HOST, EARLY START: The International Air Transport Association expects the aviation industry will earn a$28 billion in profit this year, the lowest forecast for the industry since 2014. The trade group also expects airlines costs to grow 7.4 percent this year, mainly because of higher oil prices.
While the group didn't mention the Boeing 737 groundings in its forecast, the plane is still one of the industry's most important. Airlines continue to deal with cancelled flights because of the crisis which is hurting profits.
All right, there's a new king at the Box Office!
(BEGIN VIDEO CLIP)
UNIDENTIFIED MALE: Long live the king.
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ROMANS: Yes, "Godzilla" took the number one spot over the weekend, bringing in just over $49 million. The film beat out Disney's "Aladdin" and the Elton John's "Rocketman". The past few months have been great for Hollywood and one of the year's biggest films hasn't hit theaters yet.
And that will be July 19th, many industry analysts think it could be one of the highest grossing films of the year. And don't forget, there's another Disney film coming out later in the year, which is the "Star Wars" --
BORIS SANCHEZ, CO-HOST, EARLY START: Oh, that's right --
ROMANS: "The Rise of Skywalker".
SANCHEZ: The next trilogy also --
ROMANS: Yes --
SANCHEZ: On the way soon. Stay with us, EARLY START continues right now. President Trump just arrived in London after breaking diplomatic etiquette with remarks that risk insulting some of his royal hosts.
(BEGIN VIDEO CLIP) DONALD TRUMP, PRESIDENT OF THE UNITED STATES: There is no basis
whatsoever for impeachment. None.
(END VIDEO CLIP)
ROMANS: President Trump defiant as Congress returns to Washington today.
SANCHEZ: Booed. Two 2020 Democrats hearing it at their own convention. What each candidate said to set off the crowd.
ROMANS: Alarming, moments caught on camera right before a cruise ship slams into a smaller boat and the dock. Good morning, everyone, welcome to EARLY START, I'm Christine Romans.
SANCHEZ: Pleasure to see you as always --
ROMANS: Good to see you --
SANCHEZ: Christine, I'm Boris Sanchez in for Dave Briggs. It is Monday, June 3rd, about 5:02 a.m. in the East Coast. And we start with President Trump arriving in the U.K. in the last hour for a three-day state visit. Here's the president emerging from Air Force One with the first lady in the last hour.
He's already taken a sledge hammer to diplomatic etiquette, not only with remarks that risk insulting his royal host, but also by plunging deep into the U.K.'s messy political landscape. Before leaving Washington, Trump made these remarks about Brexiteer Boris Johnson, who's the frontrunner to become the next Prime Minister.
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TRUMP: Well, I may meet with him. He's been a friend of mine, he's been very nice, I have a very good relationship with him. I have a very good relationship with Nigel Farage, with many people over there and we'll see what happens.
(END VIDEO CLIP)
SANCHEZ: President Trump also getting into a spat with London Mayor Sadiq Khan after Khan put out an op-ed calling the president a global threat. Mr. Trump compared him to the mayor of New York.
(BEGIN VIDEO CLIP)
TRUMP: No, I don't think much of him. I think that he's the twin of de Blasio, except shorter.
(END VIDEO CLIP)
SANCHEZ: Before landing, President Trump sent out a pair of tweets attacking Khan, insulting his height among other things. Let's go now live to London and bring in CNN's Clarissa Ward. Clarissa, the timing of this trip, interesting for President Trump amid an ongoing difficulty in the Brexit negotiations and potentially a new Prime Minister coming soon.
CLARISSA WARD, CNN CHIEF INTERNATIONAL CORRESPONDENT: That's right, and I think that's exactly why here in the U.K., everyone is essentially girding themselves to see what will transpire during this three-day visit, what tweets will be tweeted by the president, whose feathers will be ruffled, which diplomatic protocols will be flouted.
As you mentioned, we've already seen some of that transpiring. We heard the tweet sent by the president just as he landed here in the U.K., calling the London Mayor Sadiq Khan, "a stone cold loser". He has also weighed in, as you mentioned, on the Brexit debate, criticizing Prime Minister Theresa May for her handling of the Brexit negotiations, calling for his friend, the Tory leader Boris Johnson to be potentially a good prime minister.
And also saying that far-right populist Brexiteer Nigel Farage who is something of a controversial character here in the U.K. to say the least, saying that he should have a more central role in the negotiations surrounding Brexit. So needless to say, he is not disappointed on that front.
[05:05:00] Now, he just arrived behind me in Winfield House. This is the embassy -- the U.S. Embassy residence of the U.S. Ambassador about 20 minutes ago, a number of helicopters in the air. He's expected to essentially take a rest for a few hours before heading over to Buckingham palace where there will be a welcoming ceremony.
He will have a private lunch with the queen and Prince Harry. But as you mentioned, there is already the risk that he may have offended Prince Harry for his comments about Prince Harry's wife; the Duchess of Sussex Meghan Markle of whom he said, I didn't know she was so nasty.
This was in an interview he did with the British tabloid, "The Sun", talking about Meghan Markle's comments some years ago that if President Trump was elected, she might stay in Canada. So certainly there are plenty of potential pitfalls along the way, Boris, but I think essentially this is a very important visit for a number of reasons specifically because the special relationship as it has come to be known is really challenged in a number of different ways.
And it's very important for the U.K. at this stage, given the uncertainty that faces it in a post-Brexit world to try to lock down some kind of a trade agreement with President Trump, and that's what politicians here will be trying to do. Boris and Christine.
SANCHEZ: Yes, very important issues underlying all the pageantry and the critique(ph). Thank you so much Clarissa Ward. Back in Washington this morning, Congress is back in session as impeachment talks ramp up. Before leaving for his state visit to the U.K., President Trump had this to say about the subject.
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TRUMP: There is no basis whatsoever for impeachment. none. There was no collusion, there was no obstruction, there was no crime. The crime was by the Democrats. The crime was by the Democrats. There is no legal basis for impeachment. It's a big witch hunt, everybody knows it, including the Democrats.
(END VIDEO CLIP)
SANCHEZ: For more on the impeachment push, here's Sarah Westwood reporting from the White House.
SARAH WESTWOOD, CNN WHITE HOUSE CORRESPONDENT: Boris and Christine, as talk about impeachment among Democrats grows louder, a new CNN poll shows that the public support for impeachment could also be on the rise. That poll found that 41 percent of people support removing the president. That's up from 37 percent, but the majority of people still oppose removing President Trump, 54 percent of people said they are opposed to impeachment.
Now, Democratic House Speaker Nancy Pelosi has been resisting calls within her caucus to start impeachment proceedings. She said on Saturday, the Democrats should continue their oversight, and that they should build an iron-clad case against President Trump. Take a listen.
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REP. NANCY PELOSI (D-CA): In the United States of America, no one is above the law, not even the president of the United States.
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WESTWOOD: And House Majority whip James Clyburn told CNN's Jake Tapper on Sunday that he believes the president will be impeached, but he thinks that there should first be a shift in public opinion. Take a listen to what he had to say on "STATE OF THE UNION".
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REP. JAMES CLYBURN (D-SC): We think that we have to bring the public along. We're not particularly interested in the Senate. We do believe that if we sufficiently, effectively educate the public, then we will have done our jobs, and we can move on an impeachment vote and it will stand.
(END VIDEO CLIP)
WESTWOOD: And special counsel Robert Mueller's emergence last week to emphasize that the obstruction part of his report does not exonerate President Trump and to announce his resignation from the Justice Department has fueled talk among Democrats of impeachment.
A growing number of Democratic lawmakers and 2020 presidential candidates and one lone Republican Congressman Justin Amash have expressed support for proceeding with impeachment based on what we already know from the Mueller report.
But other Democrats fear that moving too quickly while the majority of people oppose removing President Trump could ultimately backfire on Democrats and perhaps even help President Trump. Boris and Christine.
ROMANS: All right, Sarah at the White House, thank you for that. President Trump is weighing in on the Virginia Beach massacre. The president was asked Sunday if he would support restrictions to gun silencers like the one used by the gunman in Friday's deadly shooting.
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TRUMP: I don't like them at all.
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ROMANS: We now know the gunman resigned from his job as an engineer with the city before killing 12 people and wounding four others. According to a co-worker, the suspect was brushing his teeth in the men's room, and he was exchanging pleasantries with him moments before opening fire. Miguel Marquez has the latest.
MIGUEL MARQUEZ, CNN NATIONAL CORRESPONDENT: Christine, Boris, what may be most disturbing about this situation is that nothing seemed to push this individual over the edge into this. We know that he e- mailed his resignation the morning before all of this took place, but the city manager saying that he had not been fired, that there was no process for him to be fired underway.
[05:10:00] That there were no disciplinary issues that the department was dealing with, that he was in good standing with the department. This is the memorial, the official memorial. There's a couple of them around town right now that is now starting to grow here at the police station, not far from where all of this took place.
This is a sort of massive complex, government complex, the police departments here, two detectives were sitting at the police department when they heard that this was going on. One had the presence of mind to dawn a protective vest or protective gear as they rushed out the door. They engaged the suspect, the chief of police gives us a few more details.
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JAMES CERVERA, VIRGINIA BEACH POLICE: As the suspect was firing, he was moving. They were returning fire, and at one point, the suspect was firing through the door and through the wall at the officers and then the firing stopped. They eventually breached the door.
(END VIDEO CLIP)
MARQUEZ: So this memorial has been growing now for some time. There are now 12 crosses, the names of each of the victims, their pictures and people are signing the crosses. People coming here for a little bit of connection, essentially, dropping off flowers, taking a knee, saying a prayer, and hoping that this community can get beyond this.
Virginia Beach, Virginia, now on the grim list of U.S. cities that have suffered this sort of violence. Christine, Boris. ROMANS: It's just awful and our condolences to those 12 families
waking up this morning to a new reality. All right, 11 minutes past the hour, Wall Street bracing for the fallout from worsening global trade tensions. China retaliating with tariffs on $60 billion worth of U.S. exports, that went into effect Friday. These goods include cotton, machinery, grains and aircraft parts.
And investors are figuring Trump's threat of tariffs on Mexican goods will hurt American businesses and the economy. The unexpected expansion of tariffs also rattling Wall Street. You got futures down sharply here this morning. Again, global markets all down around the world, figuring a new week with new trade tensions. Here's what the president said about tariffs on Mexico on Sunday.
(BEGIN VIDEO CLIP)
TRUMP: Everyone's coming through Mexico, including drugs, including human trafficking, we're going to stop it or we're not going to do business, and that's going to be it. It's very simple. They're sending a big delegation right here to the White House on Wednesday, as I understand it, and we'll see what can be done. But if it's not done, you know what we're going to be doing, and I'm really OK with that.
(END VIDEO CLIP)
ROMANS: And the White House position is normal economic rules just don't apply in Trump's economy. The president's acting Chief of Staff Mick Mulvaney explained.
(BEGIN VIDEO CLIP)
MICK MULVANEY, ACTING CHIEF OF STAFF, WHITE HOUSE: We put tariffs on China, we're putting tariffs on Mexico and inflation is still under control. American consumers have gone to products that are made in the United States, for example, that don't carry those tariffs. We think the same thing will happen here and American consumers will not pay for the burden of these -- of these tariffs.
(END VIDEO CLIP)
ROMANS: Tensions with Mexico and China are not the only things keeping investors busy. Here on Friday, Trump announced the U.S. would remove India from a special trade program which exempted Indian goods from import tariffs last year. India is America's ninth largest trading partner, its population crucial for American businesses.
And in the front page of the "New York Times" today, a story from Maggie Haberman about aluminum, that the White House was considering tariffs on imported aluminum, that country has an exemption, but is a relatively small supplier of aluminum for United States, but ultimately decided not to do that.
Just the multiple fronts of the trade war is what really is rattling global investors here. SANCHEZ: Yes, the president trying to get access to all these foreign
markets, but we don't know what damage it's going to do to the American economy --
ROMANS: Right --
SANCHEZ: And so we showed you some footage from that California Democrats Convention, Nancy Pelosi getting big applause there, some Democrats not getting as warm a reception though.
Two 2020 candidates booed by fellow Democrats. We'll explain why next.
[05:15:00] (COMMERCIAL BREAK)
SANCHEZ: Talk about a tough crowd, listen as former Colorado Governor John Hickenlooper gets booed by delegates at the California Democratic Convention.
(BEGIN VIDEO CLIP)
JOHN HICKENLOOPER, FOMER COLORADO GOVERNOR: If we want to beat Donald Trump and achieve big progressive goals, socialism is not the answer.
(BOOING)
I was re-elected -- I was re-elected in a purple state in --
(BOOING)
(END VIDEO CLIP)
SANCHEZ: And former Maryland Congressman John Delaney also hearing the boo birds for his opposition to Medicare for all.
(BEGIN VIDEO CLIP)
JOHN DELANEY, FORMER CONGRESSMAN: Medicare for all may sound good, but it's actually not good policy, nor is it good politics.
(BOOING)
I'm telling you. I'm telling you. A hundred -- we should have universal healthcare.
(END VIDEO CLIP)
SANCHEZ: Notably, former Vice President Joe Biden did not attend the convention. He was criticized for skipping the event by Bernie Sanders.
ROMANS: An alarming scene in Venice, Italy. That is an out-of- control cruise ship crashing into a tourist boat, sending people on the duck, running for their lives. It happened Sunday in one of Venice's busiest canals. The operator of the cruise ship, the MSC Opera said in a statement the vessel experienced a technical issue while heading toward the terminal for mooring, officials with the local port authority say four people suffered minor injuries.
SANCHEZ: Well, if you counted the Golden State Warriors out after one game of the NBA finals, you may want to reconsider. Andy Scholes has this morning's "BLEACHER REPORT", next.
[05:20:00] (COMMERCIAL BREAK)
SANCHEZ: The NBA finals now knotted up at a game apiece after the Warriors stormed back to take game two. Andy Scholes has more on this morning's "BLEACHER REPORT", good morning Andy.
ANDY SCHOLES, CNN SPORTS REPORTER: Yes, good morning, Boris. You know, the Warriors coming through with a big win to pull even in the NBA finals. And the stars were out for game two. Former President Obama on hand, and he got a huge ovation when he was introduced mid game.
(WORLD SPORTS)
[05:25:00] SCHOLES: Now, before the game, Obama greeting Drake behind in the back, and then he ended up sitting with NBA Commissioner Adam Silver for all the action. Raptors, they were up by as many as 12 in the first half of this game. But the Warriors, you know, like they seem to always do, coming out with a huge third quarter, they started the period on an 18-0 run.
And then in the closing seconds, they were up by two. They were going to swing it around and find a wide open Andre Iguodala. He drains the three to seal the win. Now, Warriors take game two 109-104. Klay Thompson would leave the game with an injured hamstring, he was greeting his teammates in the hall way with Kevin Durant after the game, and Thompson said despite his injury, he's playing game three Wednesday night.
All right, Texas A&M with a comeback for the ages yesterday in a college baseball post-season. Taking on West Virginia in the Morgantown regional, the Aggies down by 8 runs in the seventh inning, but mounted a huge comeback in the 9th.
They are down by three, two outs, bases loaded, full count when Bryce Blaum connects for a walk-off grand slam. Aggies all go nuts, as you could see. Unfortunately for them, they had to play another game against Duke, and the Blue Devils would beat the Aggies 4-1 to win the region.
All right, Tiger Woods making a huge run on the final day at the Memorial. Tiger shooting a 5 under, 67 to finish in the top ten of the tournament. Now, this was his first tournament since missing the cut at the PGA championship. Next up for Tiger, has a U.S. Open next week at Pebble Beach. Tiger won the U.S. Open there back in 2000.
And finally, speaking of the Beach, that's where you'll find the only 41-year-old six-time Super Bowl champion getting ready for the upcoming season. Tom Brady posting this video of himself doing workouts on and near the beach. And Boris, can you imagine just walking on the beach in the Bahamas, and you're like, who is that wearing a football helmet and --
SANCHEZ: Yes, it's appropriate for the beach --
SCHOLES: Practicing -- oh, wait, it's Tom Brady!
SANCHEZ: Kick off only 98, 99 days away, thank you so much, Andy Scholes.
SCHOLES: All right.
ROMANS: All right, President Trump arriving in London and tweeting insults about London's mayor even before the plane landed. Live coverage, next.
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