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Israel Buries Three Soldiers Killed Near Egypt Border; U.K. Phone Hacking Trial Resumes, Prince Harry On Stand; Heat Rally Past Nuggets To Even NBA Finals. Aired 5:30-6a ET
Aired June 05, 2023 - 05:30 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
[05:30:00]
RAHEL SOLOMON, CNN ANCHOR: All right, Clare. It certainly does seem like a new chapter in this war.
Clare Sebastian live for us in London. Thank you, Clare.
Israel, meantime, laying to rest three of its soldiers killed in a rare incident on the Sinai Peninsula along its border with Egypt. The two countries say they are working together to determine what happened in spite of conflicting counts. Israeli Prime Minister Benjamin Netanyahu is calling for a full investigation.
CNN's Hadas Gold joins us live from Jerusalem. Hadas, what do we know? I mean, how did this fight begin?
HADAS GOLD, CNN JERUSALEM CORRESPONDENT: Yes. This is a highly unusual incident on a border that compared to the other borders that Israel shares with other countries is relatively quiet and safe for drugs and weapons smuggling.
What we know is that Saturday morning, after two soldiers who were manning a guard post along the border -- when they didn't respond to a check-in that prompted backup to come check in on them and that's when these two soldiers' bodies were found shot to death. That triggered a manhunt. And then, Israeli soldiers encountered what turned out to be an Egyptian security officer and an ensuing gun battle. Both the Egyptian security officer and a third Israeli soldier were killed.
Now, Israeli officials believe that this Egyptian security officer crossed the border by using an emergency opening. It's a small -- probably two-meter by two-meter square in the fence that was actually held together only by those plastic rings that he -- so it's likely that he cut those open somehow with a knife, entered the territory, killed those two soldiers, and then he, of course, was ultimately killed.
Now, the Egyptian security officials say that this security personnel was chasing drug smugglers. He breached a security barrier and exchanged fire.
So slightly conflicting reports of what happened. There are still unanswered questions why if the security officer was chasing drug smugglers. Was he by himself? Why did he not notify Israeli officials about what he was doing? Because Egypt and Israel have peace? They work together to try to thwart drugs and weapon smugglings along this border.
Now, the officials from both countries say that they are cooperating together to find out exactly what happened in this situation. And it is clear from the messaging we're hearing from both sides they do not want this to turn into a bigger incident. We are hearing from the Israeli defense forces saying this is a very unusual incident that does not represent the relationship and joint action between the two countries -- Rahel.
SOLOMON: Hadas Gold live for us in Jerusalem. Hadas, thank you.
Quick hits around the globe right now.
Let's start in Peru where Peru says it will hand over Joran van der Sloot to U.S. custody on Thursday. He is the prime suspect in the disappearance of teenager Natalee Holloway and is set to stand trial for extorting her family.
One man and four children are dead after a tragic fishing trip in the eastern province of Quebec, Canada. Six others were rescued after they were caught in a rising tide in the St. Lawrence River.
And oil prices spike after Saudi Arabia said that it would cut production again by a million barrels a day for a month. This is going to start in July. The statement came after an OPEC meeting in Vienna on Sunday.
And coming up for us, Prince Harry back in London for a courtroom showdown. Plus, what it's going to cost you to get your hands on the new Apple headset. We'll tell you.
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[05:37:33]
SOLOMON: Welcome back, and here is today's fast-forward lookahead.
The FBI bringing an internal document to House oversight leaders on Capitol Hill today. Some Republicans expect it to shed light on a claim that then-Vice President Biden accepted a bribe.
Court proceedings resume today in the Pittsburgh synagogue mass shooting trial. Officers testified last week about the suspect, Robert Bowers, and taking him into custody. They say he wanted to be clear that he acted alone.
And in business news, Apple expected to unveil a mixed-reality headset that offers virtual and augmented reality at its developer event today. It would be Apple's hardware launch since the Apple watch and it's expected to cost a cool $3,000.
Happening now, court resuming in the U.K. phone hacking trial against the publisher of the Daily Mirror. Prince Harry is expected to take the stand as he and more than 100 other high-profile figures are suing Mirror Group Newspapers with accusations of hacking their phones as far back as 20 years ago.
CNN's Nada Bashir live outside the high court in London with more. So, Nada, what are we expecting in court today?
NADA BASHIR, CNN REPORTER: Well, look, the court here behind me will be hearing and considering this case over the next three days. Today we are expecting to hear those opening statements from both the claimants -- that is, of course, the more than 100 people suing the Mirror Group Newspapers as well as Prince Harry -- and, of course, the defendants representing Mirror Group Newspapers.
Now, as we know, those more than 100 claimants allege that the Mirror Group Newspapers used unlawful means, including phone hacking, in order to solicit personal, private details about these figures who are notable actors, celebrities, sports stars, and, of course, members of the royal family, in order to publish articles between 1991 and 2011 featuring these very private details.
Now, Prince Harry has been selected amongst four representatives of the claimants. He, himself, alleges that 140 articles published during this period using information solicited through those unlawful means, including phone hacking. Although at this stage, the court will only be considering 33 of those stories.
And this is an issue that is deeply important and deeply personal to the Duke of Sussex. He has expressed so in his books and there in the Netflix documentary he released alongside his wife Meghan Markle, the Duchess of Sussex. He has often expressed his wish to reform media practices. He alleges this has had a deep impact not only on his life -- his mental health -- but also that of his wife and family and, of course, his late mother, Princess Diana.
[05:40:14]
Now, Mirror Group Newspapers has contested these allegations. They say that their senior editors were not aware of any wrongdoing during this time and also, that some of these cases have been brought simply too late. But this is an issue that Prince Harry intends to see through in the courts. He has, so far, refused to settle this case with Mirror Group Newspapers.
And this is just one of several cases he is bringing against some of the British tabloids here that he alleges invaded his privacy during the course of that time period.
Now, we are expecting those opening statements today. Prince Harry is expected to make a stand in the court to deliver evidence although it's unclear which day he will appear. But we are anticipating that evidence session will take place tomorrow. It will be an interesting time.
All eyes will certainly be on the high court because, of course, this is a very different environment to what Prince Harry is used to. We've seen him speaking to journalists in the past. We've seen the Netflix documentary. But here, he will face the cross-examination of the court. It could be some pretty private details coming out in the court which may be a concern for the royal family -- Rahel.
SOLOMON: A lot more to come here.
Nada Bashir, thank you, live for us in London.
And back here in the U.S. and turning to sports, the Miami Heat caught fire at the right time, beating the Denver Nuggets in game two of the NBA Finals.
Coy Wire has this morning's Bleacher Report. Coy, long time no see. Good morning.
COY WIRE, CNN SPORTS CORRESPONDENT: I mean, these Miami Heat are balling like you. You were anchoring a show here --
SOLOMON: Oh, OK.
WIRE: -- in Miami yesterday and here you are in New York City doing your thing. Let's go.
SOLOMON: Hello. Good morning.
WIRE: All right. Miami -- they tied that series at one, Rahel, and now heading back to Miami for game three on Wednesday. And it took all heart, all gas, no brakes in an epic fourth quarter to rally back in game two.
But they got off to a rocky start in Denver. The Nuggets stealing the show in the first half on a 33-9 run. Max Strus whacks Jamal Murray in the head but he still throws down and tells Strus to get on up out of here afterwards.
How about Nikola Jokic, though? Seven-foot, 285 pounds of runaway walrus just rambling his way to 41 points, joining LeBron and Larry Bird as the only players with 500 points, 200 rebounds, and 150 assists in a single post-season.
But here come the Heat. They're unlikely heroes rising again. Duncan Robinson mean-mugging, scoring all 10 of his points in the fourth. Then Bam Adebayo with authority. After the game one loss, Jimmy Butler said they needed to pressure the rim -- attack more. Enough said.
But the Nuggets still had a chance with 15 seconds to go. No timeouts called. Murray just takes the shot and it doesn't drop.
Miami scores 36 in the fourth to win 111-108, pulling off their seventh double-digit comeback in this post-season. That ties for the most in any single playoffs in the last 25 years.
Here's Butler.
(BEGIN VIDEO CLIP)
JIMMY BUTLER, MIAMI HEAT FORWARD: We're not worried about what anybody thinks. We're so focused in on what we do well and who we are as a group that at the end of the day, that's what we fall back on -- make or miss shots.
We're going to be who we are because we're not worried about anybody else. That's how it's been all year long and that's not going to change. So, that's what I think it is. I think it's the I don't give a damn factor.
(END VIDEO CLIP)
WIRE: Woo wee.
Now, can the other Miami area team even up their playoff series at one? The Florida Panthers 0-1 to Vegas who got a stellar performance in the net from goalie Adin Hill in game one, but both teams know there's still plenty of series left to play.
(BEGIN VIDEO CLIP)
JONATHAN MARCHESSAULT, VEGAS GOLDEN KNIGHTS WINGER: We know that it doesn't mean anything winning one game in one series. So for us, the focus is on the next game and that's how we're going to approach every game.
RYAN LOMBERG, FLORIDA PANTHERS WINGER: We all dreamt about having this opportunity. For many of us it was pretty farfetched, so just -- you know, if you can't enjoy it you shouldn't be here.
(END VIDEO CLIP)
WIRE: Game two of the Stanley Cup Final tonight. The puck drops at 8:00 p.m. Eastern on TNT.
Finally, Rose Zhang making magic. Just two weeks after becoming the first-ever back-to-back NCAA champ. Go, Stanford. The 20-year-old goes out and wins the America's Open in a playoff. Zhang becomes the youngest winner on the LPGA Tour this year and the first to win in a professional debut on the tour since 1951.
Rose just as stunned as anyone.
(BEGIN VIDEO CLIP)
ROSE ZHANG, WON LPGA EVENT IN PRO DEBUT: No -- what is happening? I just can't believe it. It was just last week when I won NCAA's with my teammates and to turn pro and come out here, it's just been amazing. I've enjoyed the journey. Gilly was on my bag the whole time. I had so many cheers around me. All my friends and family. I'm just so thankful.
(END VIDEO CLIP)
WIRE: Look at that positive attitude -- that smile.
Some other Stanford alum named Tiger Woods tweeted, "Incredible few weeks for Rose Zhang. Defends her NCAA title and then wins in her pro debut. Go card!"
[05:45:01]
Rahel, what a journey it has been for that young rising star. And that smile -- well, that will lighten up her day, won't it?
SOLOMON: Love it -- incredible. And also, like, really reassuring to hear her say what is happening? So, you know, she's sort of just surprised by it all, too.
But Coy, really quickly, on yesterday's show we talked about -- we ran that sound bite from Jimmy Butler saying that he was going to go to the escape room with his kid. Maybe it worked.
WIRE: It worked.
SOLOMON: Maybe it worked.
WIRE: He reset. He cleansed those demons.
SOLOMON: Yes.
WIRE: And yes, what a --
SOLOMON: Great stuff.
WIRE: -- love from your daughter is always going to make it better -- a better time out next time.
SOLOMON: Touche.
Coy Wire, great to see you.
WIRE: All right.
SOLOMON: Thank you.
All right. Coming up on "CNN THIS MORNING" U.S. F-16 fighter jets scrambling to reach a small plane's unresponsive pilot so fast that they caused a sonic boom. What investigators are learning about the aircraft that ultimately crashed with no survivors.
And next, right here, grilling season set to be a bit more expensive this year. A look at soaring beef prices when we come back.
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[05:50:08]
SOLOMON: Welcome back.
And looking at markets around the world, let's start with Asian markets finishing higher. The Hang Seng more than two percent. The European markets mostly flat at this hour. Eurozone business growth slowed in May as factories really struggled in the region. Asian markets up this morning. European exchanges mixed, as I said.
On Wall Street, though, the picture is a bit more mixed. You can see Nasdaq futures are off -- let's call it one-third of a percent -- but Dow futures and the S&P are up fractionally.
Markets, though, are coming off a positive week after a strong jobs report and a critical debt ceiling agreement. The Dow and Nasdaq finishing two percent higher. The S&P notching its best week since March.
On inflation watch, meantime, gas prices held steady overnight at $3.52 (sic) per gallon.
Data on U.S. factory orders, consumer credit numbers, and weekly jobless claims all on tap this week. We'll also keep a close eye on Apple's annual developers conference that happens later today.
And while some products have gotten cheaper at the grocery store lately, Americans are still feeling inflation hit their wallets. According to the USDA, food prices are predicted to increase 6.2 percent in 2023. And one item in the spotlight, beef. A recent Wall Street Journal article noting that beef prices have climbed 20 percent since 2020 -- 20 percent -- and that they could go even higher.
Let's bring in Bernt Nelson. He's an economist at the American Farm Bureau Federation. Bernt, good morning and welcome to the program.
So you know this industry inside and out. Let's talk about beef prices first. What are the main causes that are increasing the price here?
BERNT NELSON, ECONOMIST, AMERICAN FARM BUREAU FEDERATION (via Webex by Cisco): So, to look at the price rises we've first got to start with supply and demand, and supplies have really tightened up in the last couple of years. We've had some profitability issues stemming from drought and inflation and they led us to where we're at today.
SOLOMON: I want to be clear when you say supply you mean supply of cows? I don't want to be dense but when you say we're having supply issues what exactly do you mean?
NELSON: So, the cattle supplies have tightened up. We had a lot of drought issues in the Southern Plains. Now this is -- these regions where you had a lot of drought are where about 65 percent of the cattle in the country come from.
Now, when cattle go through the process for market it takes about 18 to 24 months from start to finish. So 24 months later when these tighter supplies are starting to hit the markets we're seeing that combined with inflation, and that's why we're really seeing these prices increases.
SOLOMON: Yes. And we talk about inflation a lot from the perspective of consumers, understandably. But, Bernt, are ranchers feeling it just as much?
NELSON: So the cost of supplies to be a beef producer have gone up substantially with inflation. We had the -- you know, the Russian invasion of Ukraine. That pushed feed prices up early on -- a year back. And now here we are today. We're looking at drought issues kind of continuing in some core production regions, so supply costs like feed are way up for producers. This caused a profitability pinch.
So drought and profitability have caused a lot of guys to really burn into their equity that they've spent their entire lives building. And when this happens people start to get out while the going is good. So that's why we've had a lot of cattle going to market and a reduction in cattle supplies, which results in tighter beef supplies.
SOLOMON: Well, one thing that we know is that just when you look at the inflation reports that the government puts out it's not just beef prices that have gone up. Lots of other foods have gone up as well.
Now, we see sort of headline inflation, which has really cooled -- certainly, since the peak in June of last year. But do you expect this trend, at least in terms of the food prices going up -- do you expect that to continue?
NELSON: You know, for --in the short run, definitely. And beef prices have remained a little bit isolated compared to other food sources. Right now if we look at the price of ground beef we're up just about a percent. If you look at steak, it's up about 1.2 percent year-over- year in the last month.
But we've still seen these prices go up, especially going into grilling season. Memorial Day weekend really kicking that off. That's when demand really picks up as the temperatures start to go up. And we're seeing price increases as a result of those tighter supplies and increased demand going in seasonal.
SOLOMON: Yes. We know food prices can be quite volatile.
Bernt Nelson of the American Farm Bureau Federation, thank you for the time today. Great to have you.
NELSON: Thank you so much.
And our top of the morning now, the top movies at the box office.
(BEGIN VIDEO CLIP)
Clip from Sony Pictures Entertainment "Spider-Man: Across the Spider- Verse."
(END VIDEO CLIP)
SOLOMON: "Spider-Man: Across the Spider-Verse" is number one with the second-biggest opening weekend of any movie this year.
(BEGIN VIDEO CLIP)
Clip from Walt Disney Studios' "The Little Mermaid."
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[05:55:04]
SOLOMON: Disney's live-action remake of "The Little Mermaid" slips to number two in its second week.
(BEGIN VIDEO CLIP)
Clip from 20th Century Studios' "The Boogeyman."
(END VIDEO CLIP)
SOLOMON: And "The Boogeyman" from the mind of Stephen King debuts at number three.
"The Little Mermaid" still making quite a bit of news as Disney makes quite a bit of news as well.
Meantime, Republican presidential candidate Nikki Haley taking questions from Iowa voters last night in a CNN town hall. Coming up, the major takeaways from her answers on topics like Ukraine, crime, and abortion, coming up ahead.
And two warships from the U.S. and China nearly colliding in the Taiwan Strait. What it means as relations between the two countries remains at an all-time low. That's all coming up on "CNN THIS MORNING" and I will see you there.
[06:00:00]