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Early Start with Rahel Solomon

U.S. Appeals Court Rejects Trump Request To Block Order Directing It To Facilitate Abrego Garcia's Return; Police: Two Dead, Five Others Shot At Florida State University; Trump: Fed Chair's Termination Can't Come Fast Enough; Rubio: U.S. should "Move On" If Peace Deal Not Reached Soon. Aired 5-5:30a ET

Aired April 18, 2025 - 05:00   ET

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

[05:00:23]

RAHEL SOLOMON, CNN ANCHOR: Good morning. And welcome to our viewers joining us from the U.S. and all around the world. I'm Rahel Solomon. It is Friday, April 18th, 5:00 a.m. here in New York.

And straight ahead on EARLY START:

(BEGIN VIDEO CLIP)

SEN. CHRIS VAN HOLLEN (D-MD): They're trying to make this case all about MS-13.

TOM HOMAN, BORDER CZAR: I think we did the right thing. I think he's where he should be.

DONALD TRUMP, PRESIDENT OF THE UNITED STATES: Over the next three or four weeks, I think maybe the whole thing could be concluded.

MARC STEWART, CNN CORRESPONDENT: It seems as though the optimism is not shared. It's not mirrored between D.C. and Beijing.

UNIDENTIFIED MALE: I remember looking outside and hearing five more shots go off.

NICK VALENCIA, CNN CORRESPONDENT: A heartbreaking tragedy on the campus of FSU. The big question remains here is the motive of this alleged gunman.

(END VIDEO CLIP)

(MUSIC)

SOLOMON: We are getting our first look at Kilmar Abrego Garcia since he was wrongly deported to a notorious prison in El Salvador. U.S. Senator Chris Van Hollen met with him in San Salvador on Thursday.

Speaking to reporters before the meeting, Van Hollen criticized the Trump administration's accusations against the Maryland man.

(BEGIN VIDEO CLIP) VAN HOLLEN: They're trying to make this case about. Bill Maher all about MS-13. When in fact, the judge in the case has said they've not provided substantial or any significant evidence to back up their claim.

(END VIDEO CLIP)

SOLOMON: U.S. Appeals Court is rejecting a new Trump administration request to block a judge's order directing it to facilitate Abrego Garcia's return. The court accusing the administration of trying to claim what it called a right to stash away U.S. residents in foreign prisons without, quote, the semblance of due process.

Now, the White House initially admitted that Abrego Garcia had been deported to El Salvador because of a clerical error. But recently, U.S. officials have begun denying that there was any mistake.

Trump's border czar told CNN that things have worked out just as they should have.

(BEGIN VIDEO CLIP)

TOM HOMAN, BORDER CZAR: I think he's a citizen of El Salvador. He's in El Salvador. He's home. He's a -- he's an illegal alien with a final order of removal. He's a MS-13 member, which is now classified as a terrorist. So, we removed the illegal alien MS-13 member who has a final order of removal issued by an immigration judge to his homeland.

I think we did the right thing. I think he's where he should be. And the order of withholding that everybody keeps talking about or withholding is you set aside because he is -- he's a designated terrorist. With which order withholding is meaningless, I believe, according to the attorneys.

And look, even if we even if he came back, people think he's going to be released and go back to -- no, he's going to be detained and he's going to be removed as per the order of removal, either to El Salvador or other country. So, this person has an order of removal. He's seen two different immigration judges and he's been ordered deported. Thats exactly what happened.

(END VIDEO CLIP)

SOLOMON: All right. New details are emerging about America's latest mass shooting. Two men were killed on Thursday and five people hospitalized with gunshot wounds. Active shooter alarms could be heard through the main Tallahassee campus, sending students, as we see here and staff running for safety.

One witness says that he didn't realize what was happening when he first heard the gunshots.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: The shots rang out and we were like, is that construction going on or what was what was happening? And so, he got up, looked out the window, and I remember looking outside and hearing five more shots go off. And I was like, what's going on? So, I saw kids running away from the Student Union, and I walked away from the window, and I walked back to the window and heard six or seven more shots ring out. And at that point we were like, okay, there's a shooting going on.

(END VIDEO CLIP)

SOLOMON: Suspected gunman is 20-year-old FSU student Phoenix Ikner, who was hospitalized after being shot by police. Officers say that his injuries are serious but not life threatening. And we're told that he's the son of a sheriffs deputy and used her handgun to carry out the shooting. No word this morning on a motive, but authorities say that three guns were found on campus after the attack.

And according to the gun violence archive, there have been 81 mass shootings in the U.S. so far this year. Thats defined as four or more people shot or killed in a single incident, not including the shooter. Six of those have been in Florida.

President Trump, meantime, threatening to remove the chair of the Federal Reserve. He is upset that Chair Powell hasn't acted more quickly to cut interest rates, and he bristled at Powell's warning that tariffs will lead to higher inflation and unemployment.

[05:05:04]

(BEGIN VIDEO CLIP)

TRUMP: I don't think he's doing the job. He's too late. Always too late. A little slow and I'm not happy with him. I let him know it. And, if I want him out, he'll be out of there real fast. Believe me.

(END VIDEO CLIP)

SOLOMON: Now, Trump actually nominated Powell as Fed chair during his first term in the White House, but he has been critical of Powell before.

Powell, for his part, said on Wednesday that he won't be swayed from doing his job.

(BEGIN VIDEO CLIP)

JEROME POWELL, FEDERAL RESERVE CHAIRMAN: -- by any political pressure. People can say whatever they want, that's fine. Thats not a problem. But we will do what we do strictly without consideration of political or any other extraneous factors.

(END VIDEO CLIP)

SOLOMON: President Trump, meantime sounding an optimistic tone and note about the prospects for making new trade deals with countries around the world within the next three to four weeks. On Thursday, he met with Italian Prime Minister Giorgia Meloni at the White House, making this prediction about negotiations with the E.U.

(BEGIN VIDEO CLIP)

TRUMP: Oh, there will be a trade deal 100 percent. Oh, why do you think there won't be? Of course there will be a trade deal. Very much. They want to make one very, very much. And we're going to make a trade deal. I fully expect it, but it will be a fair deal.

(END VIDEO CLIP)

SOLOMON: Later, while signing executive orders in the oval office, the president said that his administration is speaking directly with China about the tariffs. But he also refused to say whether he had personally spoken to Chinese President Xi Jinping.

(BEGIN VIDEO CLIP)

TRUMP: I think we're going to make a deal with China. We're going to make a deal with everybody. And if we don't make a deal, we'll just set a target and we'll -- that -- we'll live with that and it'll be fine.

REPORTER: How much time? How much time does it take?

TRUMP: I would -- I would think over the next three or four weeks, I think maybe the whole thing could be concluded.

(END VIDEO CLIP)

SOLOMON: Okay. Financial markets in the U.S. and Europe are closed today for Good Friday.

But let's take a look at where Asian markets stood. Shanghai Composite closed off about one tenth of a percent. Seoul and Nikkei up between half a percent to 1 percent in Japan.

We're also just learning that the U.S. is announcing plans to impose new fees on Chinese ships docking at American ports.

Let's go to Seoul now with CNNs Mike Valerio.

Mike, you just heard Trump there clearly sounding very confident about a deal with China, even, say -- saying it's going to be a good deal, very good deal with China.

But any sense of whether Beijing feels as optimistic as Trump does.

MIKE VALERIO, CNN CORRESPONDENT: Well, Rahel, the short answer is no. Beijing is not coming out with the same kind of rosy language that we hear from President Trump in the Oval Office. In fact, over the past hour and a half or so, we heard what one could describe as a level of dismay from Beijing about where things stand because of what you were just talking about. This is the headline that we're looking at, at this hour, as the sun begins to set here in Asia. A new proposal announced by the Trump administration -- and we stress proposal. Theres going to be public comment on May 8th in Washington, D.C. to slap Chinese-built or Chinese-owned ships with new fees when they dock at U.S. ports.

So, Beijing has said to our team in the region, it doesn't want to be provoked anymore. It wants to get this show on the road. This could really, and I stress, could be perceived as a provocation. So, let's hear from the ministry of foreign affairs talking about these new proposed fees on Chinese ships. And they're saying this is not going to help the American consumer at all. Let's listen.

(BEGIN VIDEO CLIP)

LIN JIAN, SPOKESMAN, CHINESE MINISTRY OF FOREIGN AFFAIRS (through translator): I would like to say again that such measures as imposing port fees and levying tariffs on cargo handling facilities hurts the U.S. itself as well as others. The move not only hikes global maritime shipping costs and disrupts the stability of global industrial supply chains, but also increases inflationary pressures in the U.S. and hurts the interests of American consumers and businesses.

(END VIDEO CLIP)

VALERIO: So, let's talk about parts of the plan. There are a couple of tentacles, but these are the main ones. So, it's going to be -- if this plan goes into effect. We're talking about the middle of October here, Rahel, $50 per net ton on Chinese built and owned ships. What's a net ton? It's the stuff minus the packaging, minus the cargo crates.

So, $50 per ton if you're just a Chinese built and owned ship. But if you're just a Chinese built ship, but if you're owned by like a Dutch company, for example, it's a lower amount, $18 per net ton. Just the stuff, $18 per net ton.

So again, you can see how this is another potentially perceived salvo from the United States towards Beijing.

But wrapping up here as were looking at South Korea and Japan, when we saw those markets, the Nikkei and the Kospi in the green, there seems to be optimism held that at least with American allies in the region, that they are on the right track towards a deal, Rahel.

SOLOMON: Oh, Mike, I love the way you -- you put it. Asia wants to get on -- or China wants to get on the road with it, get this show on the road.

[05:10:02]

I think a lot of people and many places around the world would like the two largest economies to get this show on the road.

Mike Valerio in Seoul, thank you so much. Good to see you.

All right. Well, the leaders of Canada's main political party squared off for their last debate of the election campaign on Thursday, each trying to prove that they have what it takes to stand up to Donald Trump. They sparred over domestic issues, over housing policies, the cost of living and energy proposals.

But it's really the U.S. president's tariffs and threats to annex Canada that have dominated the campaign. While all Canadian parties object to Trump's moves, they upended the opinion polls with liberal party leader and current prime minister, Mark Carney, now ahead in the race. His main competition, the conservatives, hope to regain the lead. Canada's general election takes place on April 28th.

All right. Still ahead for us. Why? The U.S. secretary of state says that President Trump should be ready to move on from peace efforts in Ukraine.

Plus, a warning from the head of the international monetary fund what she says about the growing tariff war, coming up.

(COMMERCIAL BREAK)

[05:15:32]

SOLOMON: Welcome back.

U.S. Secretary of State Marco Rubio says that Washington needs to be ready to, quote, move on if Russia and Ukraine cannot reach a peace agreement. He says that officials need to determine in a matter of days if an agreement is possible. Rubio spoke after talking with European and Ukrainian officials in Paris, reaching peace may be a long shot in Ukraine, which is reporting new deadly strikes overnight. Officials there say that those attacks killed five people, wounded more than 90 others. Rescuers say that people may be trapped under an apartment building hit by a Russian missile.

For more on this, let's welcome, Nic Robertson, who joins us live from London.

Nic, good morning to you.

We don't know the details of that peace plan that was discussed in Paris, but the U.S. State Department reports it received an encouraging reception. So, what then, do you make, Nic, of Rubio's comments now?

NIC ROBERTSON, CNN INTERNATIONAL DIPLOMATIC EDITOR: Yeah, the French were quite effusive about this meeting. In fact, Marco Rubio himself this morning during that conversation with reporters, spoke about the contribution, the positive contribution that had come from the European, French and German counterparts.

But the narrative that emerges, I think, from the secretary of state here is one that the United States and specifically, President Trump is getting impatient. He spoke about the 87 days that President Trump has -- has given high level attention and effort towards getting this ceasefire in Ukraine, and frankly, sounds as if he's somewhat frustrated that it's not moving along.

In fact, Marco Rubio said no one expects this to be done in 12 hours. Admittedly, President Trump had predicted he could do it in 24 hours. But now, it's been going on for a long time. And what Marco Rubio laid out here was that he and, Witkoff had laid out for their European and Ukrainian partners what he described as a broad framework of what a ceasefire might look like.

He wouldn't get into details about that. He was asked about security guarantees, which has been a big thing that Ukraine wants, and a big thing that several European partners want to provide, potentially troops on the ground in Ukraine to give Ukraine that sense of security once it goes into a permanent ceasefire situation.

Rubio again wouldn't be drawn on the details of that, but did say that everyone recognized that Ukraine needs to feel secure. But it had to be something that was going to work for all sides, which really gives the sense of understanding that this pressure from Russia not to have NATO boots on the ground, potentially not to have any European boots on the ground, still has some currency with -- with the United States. We're not getting, as you say, any details about it.

But that key thing, rubio stressing several times in this conversation with journalists that the United States wants answers and wants them soon. This is what he said.

(BEGIN VIDEO CLIP)

MARCO RUBIO, SECRETARY OF STATE: We need to figure out here now within a matter of days, whether this is doable in the short term, because if it's not, then I think we're just going to move on from our perspective, that the president feels very strongly about that.

(END VIDEO CLIP)

ROBERTSON: Yeah. And he mentioned there that it was necessary over this sort of holiday weekend for, you know, all parties here to take things back to their capitals to chew it over. You know, the Ukrainian delegation need to take it back to President Zelenskyy to get his consideration on it.

So, you get the sense here that there are details that haven't been shared before in this broad framework. Theres an expectation, Marco Rubio, said that there would be another meeting early next week and potentially here in London.

SOLOMON: Hmm. And, Nic, as talks clearly continue, so too does the fighting. What's the latest on the ground in Ukraine?

ROBERTSON: Yeah. This devastating attack in Kharkiv which has been -- which has borne the brunt of many Russian missile strikes. And this again into a civilian neighborhood. One person killed, 67 injured.

So, that gives you a sense of, you know, the not just the devastation of what these missiles can do, but the fact that its fallen in an area with a very high density of civilians. And this is one of the points that President Zelenskyy points to when the United States tries to put pressure on President Putin to give an unconditional ceasefire agreement, that Ukraine has already signed up to. President Zelenskyy says, look, this is Russia with no intention of

moving towards a ceasefire. In fact, it's actually, demonstratively increased its number of attacks against Ukraine and killing more civilians over the past couple of months than in previous months.

[05:20:04]

SOLOMON: Yeah, really underscores how far apart the sides are. Nic Robertson, thank you.

Hamas official says that the group is, quote, fully rejecting Israels ceasefire offer from earlier this week. Instead, the militants are calling for a comprehensive proposal to end the war. The rejection has prompted calls from the Israeli far right for an escalation of Israeli military action in Gaza. They're urging the prime minister to unleash, quote, hell.

The Israeli plan had called for a 45-day truce during which the two sides would aim to negotiate a permanent ceasefire. It did not guarantee an end to the war. Under the proposal, Hamas would release the remaining Israeli hostages in stages.

All right. We're going to take a quick break. But when we return, we'll preview a new report from the International Monetary Fund, as its chief warns that countries are being tested by what she calls the reboot of the global trading system.

We'll be right back.

(COMMERCIAL BREAK)

SOLOMON: Welcome back.

Financial markets were spooked after Donald Trump lashed out at Federal Reserve Chair Jerome Powell. The president saying Thursday that Powell's termination can't come fast enough. The head of Central Bank had warned on Wednesday about higher inflation and unemployment from the tariffs.

Nick Timiraos, "The Wall Street Journal" correspondent who first reported that Trump has been privately discussing firing Powell for months, told CNN that the guardrail here is the bond market.

(BEGIN VIDEO CLIP)

NICK TIMIRAOS, CHIEF ECONOMIC CORRESONDENT: Trump has done this before. He did it in his first term. The Fed chair, Jay Powell, is you know, he speaks in dry, understated tones. He doesn't -- he doesn't punch back. So he's almost a perfect scapegoat here.

And what's happening, you know, Powell dryly observed yesterday that tariffs are not going to be great for the economy in the short run. They're going to send up prices and they could weaken growth. We could have a recession. He didn't say that.

And so, it puts the Fed in a very difficult spot. The real guardrail here is the bond market. The bond market is what got Donald Trump to back down on tariffs one week ago. And the reaction of the market. I mean, you talk to people on Wall Street. They treat this as sort of a holy sacrosanct thing.

And if you're going to, you know, pull the Fed chair out of there, that's the sort of thing that you see in emerging markets. You see it in Turkey. Oh, I'll put my cousin in there. That's not the sort of thing that you want to do with a $30 trillion treasury debt.

(END VIDEO CLIP)

SOLOMON: Meantime, the head of the International Monetary Fund, joining economists and business leaders who have warned about the potential damage from Trump's tariffs. While speaking in Washington Thursday, she also stressed the importance of preserving central bank independence.

(BEGIN VIDEO CLIP)

KRISTALINA GEORGIEVA, MANAGING DIRECTOR, INTERNATIONAL MONETARY FUND: To protect price stability, monetary policy must remain agile and credible, supported by a strong commitment to central bank independence. Central bankers must keep an eagle eye on the data, including higher inflation expectations in some cases, or inflation dropping in others. In finance, strong regulation and supervision remain essential to keep banks safe, and rising risks from non-banks must be monitored and contained.

(END VIDEO CLIP)

SOLOMON: Okay, lets discuss her comments and bring in Jeffrey Kleintop, chief global investment strategist at Charles Schwab. He joins us live from Celebration, Florida.

Great to have you this morning, Jeff.

Your takeaways from Georgieva's comments. Were you surprised by the prediction of a downgrade but not a recession, considering all of the growing recession warnings from Wall Street?

JEFFREY KLEINTOP, CHIEF GLOBAL INVESTMENT STRATEGIST, CHARLES SCHWAB: Yeah. You know, we have to look back at the IMF's forecast. They -- it's a hard thing to do for sure, but they've forecast in the past an under they've underestimated the actual impact of crises in the past.

If we look at the pandemic, if we look at the Gulf War, the great financial crisis, the dotcom bubble bursting, they underestimated the impact of those shocks, not so much in the depth, although they did underestimate the depth by about half a percentage point. But they underestimated the duration. How long those shocks lingered by 2.7 percentage points of GDP over a four-year period of time.

Thats just something to keep in mind when we hear these forecasts of a downturn, but not a global recession.

SOLOMON: That's -- that's really interesting perspective. Thank you for sharing that. They'll put some -- some perspective. They'll put some numbers, some meat to the bones, if you will, to these predictions early next week. But we'll -- so we'll have a better sense then of their concerns.

But, Jeff, also looming over these meetings of the IMF and the World Bank, are these concerns about a potential U.S. withdrawal from some of these same very organizations?

KLEINTOP: That's right. So we've already heard from the Trump administration about withdrawing from some organizations, like the World Trade Organization, the World Health Organization, and of course, the Paris climate agreement.

In fact, in February, Trump signed an executive order asking the secretary of state to review U.S. participation in all intergovernmental organizations. And the findings are due by August. Any suggestion that the U.S. might back out of the World Bank or the IMF would raise questions about its funding.

Remember, the World Bank helps finance projects in emerging economies that may not otherwise be able to secure funding. If the U.S. were to withdraw, China would take Americas place as the largest stakeholder and gain even more influence in the emerging world.

SOLOMON: That's an interesting point.

Jeff, I want to play for you something the IMF managing director said, and get your perspective on the other side of it. Listen.

(BEGIN VIDEO CLIP

GEORGIEVA: Uncertainty is costly. The complexity of modern supply chains means imported inputs feed into a broad range of domestic.