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First Move with Julia Chatterley
Russians on Cusp of taking a City for First Time in 8 Months; Parents Protest after Attacks on Schoolgirls; Miller: Chinese Consumer Spending in Services to Rise; Important Week Ahead for U.S. Investors; Gonsalves: I Wanted to show Love and Connection to Animals; Chris Rock Addresses Will Smith's Oscar Slap. Aired 9-10a ET
Aired March 06, 2023 - 09:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
[09:00:00]
(COMMERCIAL BREAK)
JULIA CHATTERLEY, CNNI HOST: A warm welcome to "First Move" and great to have you with us for a special Oscar week edition of the program "First
Move" is handing out its very own coveted statuettes this award season, including best leading man, Jerome Powell. The Fed Chair beginning two days
of testimony before Congress, this starts on Tuesday.
Investors hoping, he will clarify the Federal Reserve's rate hike path, good luck with that. The best economic picture goes to the U.S. labor
market for those blockbuster January jobs numbers. Economists say do not expect a repeat performance however, when new numbers drop this Friday.
And finally the award for best makeup goes to Wall Street stock markets making up lots of lost ground last week. Even in the face of continued
interest rate uncertainty tech leading the way in fact up more than 2.5 percent a bit U.S. centric. I have to say on those awards, but the award
fever on "First Move" does not end there.
Later on the program, we will hear from the Director and the Producer of the Oscar nominated short Docu film, The Elephant Whispers. As you may have
seen it on Netflix the story of a South Indian couple who adopt and raise and orphaned baby elephant Raghu the film delivering a powerful message
about the impact of climate change on animal populations and the critical need for greater conservation efforts a package and packed show indeed.
Let's begin with a look at global markets no elephant size gains so far at least, U.S. futures are currently high as you can see there, green arrows
in Europe too offer a mixed Asian handover stock and solid gains in South Korea and Japan but a sluggish start to the trading week for SHANGHAI.
As you can see they're down two tenths of 1 percent. Investors are reacting cautiously I think to Beijing's modest 5 percent economic growth target for
2023 and its goal to increase military spending by some 7 percent plus. All this unveiled at the ongoing Chinese National People's Congress will be
discussing all of this.
As well as President Xi's latest moves to shore up power with Leland Miller, the CEO of China's Beige Book, who of course, is the biggest
private data collected in China. So what they're seeing in terms of growth rebound, also going to be interesting too, plenty to come on the show.
But first, we do get and begin with the latest from Ukraine, where Russian forces are fighting to encircle the Eastern City of Bakhmut. This map helps
explain that the situation today as you can see Russian forces now have the city surrounded on three sides and are attacking Ukrainian forces from both
the air and the ground.
Kyiv vowing to continue to defend the city and to keep a key supply line open. Melissa Bell is in the capital for us. Melissa, Russia spent months
now trying to capture this particular region, even the U.S. Defense Secretary Lloyd Austin saying today and emphasizing the symbolic nature of
this fight rather than the strategic and operational value not to detract away from the work of forces there. Just talk us through the latest.
MELISSA BELL, CNN CORRESPONDENT: That's right, the American Defense Secretary speaking that symbolic value it is also of course at this stage,
Julia, about the amount of Ukrainian blood that has been spilt defending this city. But the message this morning very much that the Ukrainians
intend to keep on trying to buy time that's been the aim of the last few days and will be no doubt of the next few that every hour, every day that
they can hold on to it as an extra day.
We're not only they're preventing a westward move of Russian troops, but it is also about degrading the Russian war capability its men and its
equipment a meeting this morning here in Kyiv between President Zelenskyy and his defense staff suggesting that they're not only looking to hold it
but actually to send more men in.
(BEGIN VIDEOTAPE)
BELL (voice over): Ukrainian forces giving all they can to defend Bakhmut or what's left of it. After the longest battle of the war, one of the
oldest cities in the Donbas lies in ruins.
UNIDENTIFIED MALE: The Wagner orders no decisions were made regarding withdrawal from Bakhmut. There have been no tactical changes. We are
holding the defense.
BELL (voice over): Abandoned by more than 90 percent of its population over the course of the seven months, siege. Only those who couldn't leave before
are left. The intense fighting means that only 5 to 10 people a day can now be evacuated compared to the 500 to 600 a day when the evacuation started
at the end of February according to the city's Deputy Mayor.
[09:05:00]
The Russians throwing all they have at the city says the Deputy Mayor. Heavy artillery, mortar fire airstrikes and a substantial commitment of
ground forces both regular soldiers and Wagner mercenaries. But Russian advances have come at huge cost. Wave after wave of Russian soldiers have
been sent to their deaths.
And Ukraine has accused Russia of exaggerating its gains, claiming they still control one of the major highways into Bakhmut, a lifeline for
Ukrainian defenders, with one Ukrainian commander tweeting that there are many ways still to get into the city.
Analysts have questioned the strategic importance of Bakhmut, but that has not stopped Moscow's intense campaign to capture the city. Now Ukraine's
existential fight to keep it the unceasing bearers of artillery fire hasn't just killed or forced out most of the city's civilians.
It's taken a huge toll on Ukrainian soldiers too, as the battle turns to close quarters street fighting. But Ukraine continues its fierce fight for
victory, even as Russian forces continue to close in on a city that's already a byword for Ukrainian resilience on the battlefield.
(END VIDEOTAPE)
BELL: It's a tried and tested strategy of Ukrainian forces if you think back, Julia, last year, the fights for Severodonetsk listed chants holding
out in besieged cities for as long as they possibly can to wear down the Russian forces even as they prepare at the time. Successful counter
offensives that followed last August in Kharkiv and Kherson.
Even now as they hold on to Bakhmut, we know that a spring counter offensive is being carefully planned. The question is how much longer they
can hold on and how much more this battle is going to cost to all sides, Julia?
CHATTERLEY: Yes and appalling images that were showing there to your point. Melissa Bell, thank you so much for that. Around 5 percent, that's China's
target of GDP growth for this year, the lowest in decades, military spending is also up slightly on last year to 7.2 percent.
These are some of the early announcements from the country's annual legislative session of the National People's Congress. And Marc Stewart
have been watching all the details very closely a growth target of around 5 percent, maybe the lowest in decades.
But it's significantly higher than acknowledged what 3 percent growth that we saw from China in 2023. This year is clearly going to feel very
different and it's a different team managing the economy too.
MARC STEWART, CNN CORRESPONDENT: Indeed, Julia, I think one thing that we're looking for from Beijing is the shift in political leadership under
Xi Jinping. We could see wholesale changes in the figureheads of different departments, including those that dictate economic policy.
That could mean perhaps a new approach to regulation, a new approach to the west enter the U.S. That's something we're going to have to see in the next
few days. As you mentioned this revision of economic projections from 3 percent last year to 5 percent this year, I think you may have said it's
minus.
I've been hearing a lot of different opinions from economists on this, I heard from one economist who felt that it's very much a reflection of the
reality and where China is today, especially with its potential to spend or restrictions surrounding spending. Other economists though, feel that this
5 percent figure maybe a little bit conservative.
If you look at some of the data since the zero COVID policies were lifted, things actually may be a little bit more encouraging, especially when it
comes to spending. With all of that said China still does have a lot of challenges. It's still dealing with local governments that have a lot of
economic strain because of the lockdowns, the quarantine and the constant testing.
Young people are still looking for jobs and then we have this ongoing housing crisis in China. Also, you did mention an increase of 7.2 percent
in military spending. In many ways that is a reflection of the environment in the region.
For example, in Japan, where I live, we have also seen an increase in military spending because of perceived threats from places including North
Korea. Also late today, we heard from Taiwan's Defense Minister, he feels that this increase in spending from Beijing is perhaps an indication that
China may take military action against Taiwan, if it feels that it's necessary.
So that's where we stand right now, Julia. These next few days, with the People's Congress, in in Beijing will be very telling about both the
political and economic direction of China.
CHATTERLEY: Absolutely and you'll be there and watching it closely. And we'll continue to discuss it. You raised some great points, though, about
the scale of the growth that we see this year in particular and already the signs are incredibly strong.
[09:10:00]
I mean some of those survey readings in the manufacturing sector the strongest we've seen in 11 years. We're going to be discussing this later
on in the show with Leland Miller, the CEO of China's Beige Book for now. Marc, thank you so much for that. Marc Stewart there!
To Afghanistan now and her nation in the middle of its coldest winter in more than a decade extreme poverty and hunger has been made worse too by
Taliban policies that prevent aid agencies been doing more to help, as Anna Coren reports.
(BEGIN VIDEOTAPE)
ANNA COREN, CNN CORRESPONDENT (voice over): Fresh snow blankets the hilltops of Ghor province in central Afghanistan, creating the illusion of
a winter wonderland. But for those who live here there is no wonder let alone glimmer of hope. Simply staying alive is a daily struggle. For this
family, their young son lost that battle.
Now they huddled around his hillside grave, offering prayers to six-year- old Wahid who just days ago froze to death. I miss my brother and that is why I came to visit him at the graveyard she says. He here moved his family
to the township of Feroz Koh in Ghor looking for work as a laborer. But with an economic and humanitarian crisis, gripping Taliban controlled
Afghanistan; he wasn't able to make ends meet.
I had nothing to burn to keep the house warm, he explains. I checked on the children during the night and their bodies were numb. I realized my son had
died of frostbite. This is a photo of him last year he says and this is his dead body.
And unprecedentedly brutal winter has claimed countless Afghan lives this year, but so too has extreme poverty. This has been exacerbated by the
repercussions of the Taliban government's dystopian gender policies and the response by the international community. Almost a year ago, the Taliban
banned female secondary students from attending school that has morphed into a nationwide ban on all female education.
But it was the Taliban decision in December banning women from working for Non-Governmental Organizations that forced humanitarian aid groups to
abruptly halt or suspend operations.
JAN EGELAND, SECRETARY GENERAL, NORWEGIAN RUFUGEE COUNCIL: There is 28 million Afghans in desperate need at the moment. 28 million and we're not
even reaching a fraction of those.
COREN (voice over): The Norwegian Refugee Council says they normally help 700,000 Afghans each year, but their operation has been drastically pared
back. Its Secretary General recently traveled to Kabul pleading with the Taliban to allow female aid workers to return to work.
EGELAND: It's at its worst hour. It's never been as bad as it is now.
COREN (voice over): 35-year-old Sephora wipes away her tears as she grieves for her husband who perished from the cold also in Ghor province, father
and breadwinner for their eight children, the youngest, just two. Now she's wondering how to keep her family alive.
I have no education she says my children need food. What should I do? Three of her children are girls, including a 12-year-old - who knows all too well
what happens to poor young Afghan girls who reached puberty?
I'm worried that if we don't have food, my brothers were forced to sell or marry me under pressure she says. I don't want to get married. I'm a kid. I
don't want a husband. U.S. charity Too Young to Wed says it's been able to provide emergency aid for the family and many others. But Founder Stephanie
Sinclair says the avalanche of need is overwhelming and they're unable to help everyone.
STEPHANIE SINCLAIR, FOUNDER OF TOO YOUNG TO WED: To me it's unconscionable that the international community is not paying more attention to what's
happening to women and girls in Afghanistan. It is simply just inexcusable that we're not doing everything in our power to try to change the course of
what's happening there. We have to do better
COREN (voice over): And with the U.N. predicting two thirds of the population will require humanitarian aid this year. Afghan children like -
can only hope the world is listening. Anna Coren, CNN, Hong Kong.
(END VIDEOTAPE)
CHATTERLEY: Iran Supreme Leader Ayatollah Khamenei is calling the poisoning of hundreds of school girls across the country an "unforgivable crime".
That's not enough for furious parents, though, who are taking to the streets of Iran calling for action, as Nima Elbagir reports
(BEGIN VIDEOTAPE)
NIMA ELBAGIR, CNN CHIEF INTERNATIONAL INVESTIGATIVE CORRESPONDENT (voice over): Furious parents outside in Education Office in Tehran challenging
Iranian authorities desperate for answers.
[09:15:00]
UNIDENTIFIED FEMALE: Right now, my 8-year-old daughter is at home. I am scared. I am scared.
ELBAGIR (voice over): After what is believed to be the worst day of incidents of suspected poisonings at girl's schools. These videos were
filmed on Saturday which marks the start of the school week in Iran. For months now Iranian school girls and their families have been speaking out
about incidents of suspected poisoning.
The numbers of incidents reported to CNN in the dozens then over the weekend, dozens more. CNN was able to verify these new incidents using
video and witness testimony across 10 provinces. The U.S. and others are calling for Iran's Authorities to investigate these incidents.
But Speaking to CNN medical sources say they have been barred by hospital administrators from sharing details of symptoms and test results even with
the patient's parents. We dub this doctors voice for his safety.
UNIDENTIFIED MALE: I'm inside Iran, my phone is being monitored. I can't share any more with you.
ELBAGIR (voice over): Iran's Interior Minister after months of vague statements. Now says suspicious samples have been found and are being
assessed at laboratories parents, though say they don't trust authorities to investigate.
UNIDENTIFIED FEMALE: To hell with this country and its rulers, we would be better off without a leader. This is our country. They don't know what
they're doing. They don't even have medicine.
ELBAGIR (voice over): All the incidents begin in a similar manner as described to us by students and noxious smell and then.
UNIDENTIFIED FEMALE: I felt dizzy and fainted. I had dimness of vision and heart palpitations. All of us had identical symptoms, palpitations, my
hands and legs were numb and frozen. I was shaking; we had tears coming out of our eyes.
ELBAGIR (voice over): With no one so far held to account and parents no closer to answers, many continued to risk their lives to challenge Iran's
Authorities. Nima Elbagir, CNN, London.
(END VIDEOTAPE)
CHATTERLEY: OK, coming up here on "First Move". An Oscar nomination celebration, a powerful story of love between humans and these adorable
animals the creators of The Elephant Whispers is coming up later in the show.
(COMMERCIAL BREAK)
CHATTERLEY: Welcome back to "First Move", China's annual rubber stamp parliamentary session of the National People's Congress is now underway in
Beijing.
[09:20:00]
It confirms what seen as a major shake-up of the country's leadership including the team in charge of the economy. A group of Western educated
reform minded officials, including Premier Li Keqiang now replaced with President Xi Jinping's close associates.
The session already announcing a more modest growth target of around 5 percent this year and a slight rise in military spends, as we've already
discussed, joining us now there to give us more context, Leland Miller, the CEO of China Beige Book. Leland, great to have you on the show, as always!
We call it a rubber stamping of Xi Jinping's top picks, but they're also I think, considered those individuals that he trusts most. Does that mean
he's likely to take their opinion here their judgment, or does it remain Xi show?
LELAND MILLER, CEO OF CHINA BEIGE BOOK: Well, there is a consensus out there that because these are mostly Xi's acolytes or his - from past years
of governance, that suddenly he's going to open his ears and listen and govern in a more consensus based way.
I don't think there's any evidence that that's the case. Certainly, there's more possibility that he that he listens to them, because they are
loyalists. But look this is the Xi's show; you know if you look at how he has redefined the party, the government positions, the military. Even this
has been restructured in order to give the party but first and foremost, Xi control. So I wouldn't expect anyone to be governing China except Xi
Jinping anytime soon.
CHATTERLEY: What does this mean, though, in terms of policy, particularly as China emerges from zero COVID? Because if I look at the data so far, and
there's always the context of what we believe versus what we see, which is why you as the biggest private data collector in China is so important.
What are you seeing?
MILLER: Well, there was a weird expectation of the People's Congress would be used as a way of just, you know, ramping up growth in a massive way,
just a real focus on, you know, skyrocketing growth back to back to the old ways. That's not what this is about. This is a, you know, we're getting
back to business type of mentality; it's why the growth target disappointed a lot of people.
Look, you're going to have stronger growth in 2023, because, you know, firms are getting back to investing in borrowing and hiring. There's going
to probably be some measure of revenge, consumer spending, at least in services, and the numbers from 2022, were actually awful.
So even a moderate performance will show pretty strong levels of growth but I think it's a mistake to think that Xi Jinping looks back the last couple
of years, saw all the mistakes he made has rethought his way, you know, view of the world, and it's going to reprioritize, high levels of growth.
That's not where China is, that's not where the party is, they are going to deprioritize growth going forward. At the same time, 2023 is not going to
look too bad.
CHATTERLEY: There are many questions I could ask to follow that. Let's talk short term, and then we'll talk beyond 2023. I remember vividly in
conversations that we had last year, you were saying that firms were saying, look, we're not going to borrow, we're not going to invest, we're
not going to hire again, vitally important, until COVID is over. What are they telling you today? And how does the mood music?
MILLER: Well, look, COVID zero is over now. So all these firms, which did tell us they were not going to be involved, they were not going to
reactivate until COVID years over. Well, they're going to reactivate now. It was a mistake calling, you know what happened in November, December,
even January, a reopening because yet China had pulled off the COVID zero band aid, but firms were not reactivating.
What people were doing is getting sick. And so that has really been the dynamic December, January, February, you've seen some bounces in, you know,
in travel around Lunar New Year and hospitality and chain restaurants but the economy has not yet reactivated. When we get into March, definitely
April, you're going to start seeing a reactivation economy, you're going to see a cyclical bounce back firms will get back to business.
And so the second quarter should look very good. The question then will be at the second half of the year, if you've already got an organic recovery,
are they really going to want to layer policy support on top of that, thank you should be very skeptical that what their plan is.
CHATTERLEY: So don't expect stimulus and this is really needed. And what you're suggesting is it won't be. Use the term revenge spending and I spoke
to the Hong Kong stock exchange CEO in Davos, and he said the same. And I challenged that in some way just by saying, look, you have a high youth
unemployment rate in China at this moment.
Surely, that's going to make younger people a little bit more reticent to spend. There's also huge cultural differences between China and the United
States where we're clearly we've seen it and it's supported the economy and a relative lack of social safety net. How much revenge spending are we
really going to see?
MILLER: Well, I actually agree with that completely. I think that you should see, in the early months, there has been suppressed consumption for
a long time. So people who haven't able to travel for three years, they're going to start traveling around the country, people who haven't been able
to eat at a restaurant.
[09:25:00]
Well, they're going to start eating out a little bit, but I think you're absolutely right this idea that there's you know trillions of Yuan in
deposits that's been deposited in bank. They're going to immediately be pulled out so the Chinese consumers, Chinese households could spend.
I always have ever thought that was a pipe dream. So I think you're going to look at better consumption numbers in the early going, particularly in
certain services sub sectors. But yes, I think that's absolutely right. There's not a propensity to spend by Chinese consumers.
And I think that based on what they have seen the last several years; they're only going to be more restrained and more contemplative, about how
they spend their money.
CHATTERLEY: Someone who's pretty world renowned, I think, for investing in a frontier in emerging markets is Mark Mobius, the Founder of Mobius
Capital pockets and Mark partners. And he was quoted in an interview with Fox Business over the weekend suggesting that he can't get his money out of
China, and that investors need to be very cautious, particularly international investors.
He said that he has to provide paperwork for where this money came from over the last two decades. Leaving here are you hearing on the thing like
that, or concerns from international investors that, whereas they've had money there in the past, one, they can't get it out, or the very reticent
to put money back in even with the end of zero COVID?
MILLER: Well, I don't know why anyone would be keeping their money in China; it's a closed capital account to start with. And when the economy is
really bad when you know, leadership is worried about capital outflows. They crack down on these rules particularly hard.
So I don't know why Mobius keeps his money in China, that wouldn't be my pick. But look, you have to realize that the system they have will be
safeguarding the Chinese domestic financial system. And that means making sure capital outflows are not a problem.
So yes, we are hearing that in the worst the economic data, you know the more stringent they are? If things go really well in 2023 maybe they lead
up on some of this. But look, there's a reason it's called a closed economy.
CHATTERLEY: Yes, there are other ways to get Chinese exposure rather than directly investing in the country itself. What about beyond 2023, we're
clearly going to see a growth impulse, the base of 2022 is pretty miserable. So that's going to help them that the numbers, the economic
numbers this year shine, even what about 2024 and beyond?
MILLER: Well, that's right; the 2023 will look good, just by virtue of the fact that 2022 is so bad. So you'll see growth pop but that is not the
dynamic that long term investors should be looking at, you will see a cyclical bounce back in 2023. But the larger dynamic, the more important
trend is the long term structural slowdown.
That is not going away; it has been supported by what the party's saying. They're being very clear. They're de-prioritizing growth; they're walking
away from the old stimulus playbook. What they want to do is guide the country towards slower, hopefully healthier growth and more self-reliance
against policy pushes the United States you know that a ring fence advanced technology or investment flows from the country.
So there is not a return to some old paradigm of high levels of growth just because you see better levels of growth in 2023. 2023 will be a head fake
for investors going forward. 2024 and beyond, you're going to see much slower growth. And that is what the party is guiding the country to.
CHATTERLEY: Quality over quantity, they hope. Leland, great to have you with us thank you. Leland Miller, they're the CEO of China Beige Book. All
right, coming up pal payrolls prices, a consequential period getting underway on Wall Street, will it be peril or profits ahead? We'll discuss
next.
(COMMERCIAL BREAK)
[09:30:00]
CHATTERLEY: Welcome back to "First Move"! U.S. investors back at work this Monday. I hope everyone had a wonderful weekend. It was a birthday weekend
for my mother too. Happy birthday mom for Saturday! And from a birthday greeting to a very important meeting Fed Chair Jerome Powell's testimony
before Congress this week, just one of the many sizeable challenges for investors in the coming days lots of important jobs related data too on
Wall Street.
We call it perhaps the calm before the storm stocks modestly higher after a strong week of trade. Last week, Morgan Stanley's influential analyst
Michael Wilson, Mike Wilson, saying U.S. stocks still have room to run, at least in the short term.
And Christine Romans joins us now. Christine, great to have you with us. It's been referred to I think in certain quarters as hell week, simply
because the sheer quantity of data pretty hellish for consumers, one could argue too, because the data so resilient, it means the Federal Reserve have
to keep hiking rates.
CHRISTINE ROMANS, CNN CHIEF BUSINESS CORRESPONDENT: Yes, I mean, you look at the job market and how the consumer behaves and the Fed after eight rate
hikes will still have to keep going here. You know, I mean, those are two parts of the economy that have been bowed to all this pressure from the
Federal Reserve and these higher interest rates.
And this week, we're going to get so much information so I really wouldn't even know how to trade this week, to be quite honest, if I were a short
term investor, because you're going to have Powell testimony on Capitol Hill. Well, he'll likely be hammered for doing too much and hammered for
doing too little depending on who's doing the questioning there.
You're going to have all kinds of minor and major jobs data and the job number on Friday could show some still resilience in the U.S. labor market.
We also know we're going to hear a new jolts number and for worksite guests we know that means how many jobs are out there for every available worker,
and it's two to one. So it's a very tight labor market here still. So a pretty strong underlying situation for the Fed and Fed has been trying to
slow this thing down.
CHATTERLEY: Yes. And that two to one ratio, of course, allows workers to have the power to demand higher wages which feeds the inflationary picture
too. It's interesting because you and I the debate continues of a soft landing a hard landing in the economy and no landing at all, just growth
continues to go on.
I posed this question to Mark Zandi, the Chief Economist at Moody's and he said I'm not talking about a no landing; I'm talking about a slow session.
So going nowhere fast, but the noises from Federal Reserve Board members is look, we're going to have to continue to raise rates and despite popular
opinion that perhaps interest rates will come down quite quickly even when we get to the end of rate rises, they're going to stay high.
ROMANS: We'll look and Mark Zandi also makes a really good point I think in that for a year now you've been hearing people say we're recession is right
around the corner. And for a year they've been wrong right? The conventional wisdom has been wrong.
And so we don't really know what is around the corner? What we do know is that there's a lot of uncertainty here. There's more risk then we're
comfortable with and we've got an underlying - I find it fascinating that consumers is so strong here they consume your last gasp called it revenge
buying in the Chinese market. But I feel like that's a good word for what we're seeing here after the slowdown from COVID.
[09:35:00]
And now, people are spending on experiences, even with inflation, they continue to go out there and the job market is still strong and supporting
that spending for now. So I guess we just don't know what's around the corner. And that's what is so kind of maddening about this situation and
why this week, I think will be a hell week for investors, because you'll be able to read this data a lot of different ways, I bet.
CHATTERLEY: Yes. And that consumer question that built up the $2.5 trillion worth of, of cash that built up during the pandemic that people continue to
spend, except Christine, and you and I always do this. And I think it's vitally important to point out that for the lowest quintile of the economy,
perhaps even more in the United States, they're in recession.
They're already feeling it and the money that they've managed to build up if they've managed to build up any at all are spent. So we will have to be
careful of these aggregate numbers. And I banned it actually, while I was talking to Mark, no more aggregate.
ROMANS: I think it's a very good point. The bottom quintile is in a terrible position right now, especially since we've gone off this COVID
cliff of extra benefits to help people with their food stamps, SNAP benefits, as we call it with other help.
You know, to pay bills, those things have all expired, including tax breaks for a lot of folks who are the lowest earners. So that's all gone right?
And you still have inflation biting and not coming down very quickly. So a very, very good point to flag there.
CHATTERLEY: Yes, getting it squeezed on all sides. Christine Romans, thank you! And in other business news, Tesla shares lower in early trade down
around half a percent, the company cutting prices on two of its most expensive electric vehicles in the United States.
The price reductions include 4 percent of the performance version of the Model S to 9 percent, taken from the more expensive model X. And also
today, TikTok CEO speaks at Harvard University on the future of social media.
The speech comes ahead of his testimony this week before U.S. Congress in a few weeks' time actually. Two Senate members are set to introduce a bill
that would allow Washington to completely ban TikTok in the U.S. because of its ties to China.
OK, still to come on "First Move" Oscar boss for a beautiful baby elephant. I'll discuss brand new story with the producer and director of the elephant
whispers that's coming up after the break stay with us.
(COMMERCIAL BREAK)
[09:40:00]
CHATTERLEY: Welcome back to "First Move"! The role of indigenous peoples in protecting our planet cannot be underestimated. According to the World
Bank, they make up around 6 percent of the world's population but safeguard as much as 80 percent of the Earth's precious biodiversity.
Well, my next guests have made an acclaimed film that highlights the bond humans have with the Earth and the animals that inhabit it. The Elephant
Whisperer tells the story of "Bomman and Belli" a couple in South India who have devoted their lives to taking care of Ragu an orphaned baby elephant.
You can see him here; the buzz around the film has been widespread. It's also the first all-female led film from India, I believe. And now it's been
nominated for an Academy Award for Best Documentary Short. And while the film showcases a unique family dynamic, it also quietly highlights the
impact climate change is having on the Asian elephant population.
And I'm pleased to say joining us now the Director and Producer of the film Kartiki Gonsalves and Guneet Monga. Kartiki is the only South Asian Woman
Director nominated for Best Documentary Short this year.
Ladies welcome and huge congratulations, it's a huge moment for you. It's a huge moment, I think, for Indian film, but also for the elephant whispers
whose incredible work you documented and Guneet let's begin with you the message that you wanted this documentary to send.
GUNEET MONGA, PRODUCER "THE ELEPHANT WHISPERERS": For us, this is about conservation. This is about coexistence. It is about getting humans closer
to the animal world, because there is a way where there is coexistence between both of them. So we wanted to lean into that the emotional aspect
of the wild and the nature and the men with our own elephant whispers.
CHATTERLEY: Yes. And the debt we owe, I think, to indigenous peoples all over the world who protect all of that biodiversity and an ecosystem and
the animals for us. Kartiki that was what was so pivotal one of the things that were so pivotal about this for me, the cinematography is incredible.
You did such an amazing job with this. But also, this is so personal for you because it's the part of the world where you grew up.
KARTIKI GONSALVES, DIRECTOR "THE ELEPHANT WISHPERERS": Yes, it all began when I was driving on my way to form Ooty to Bangalore, and I saw this tiny
little elephant calf on the side of the road. And you had this little calf walking around holding onto Bomman's hand.
And I saw that there was this very special bond. So I pulled my car on the side, and I jumped out. And I went and joined them to the river. And they
were just splashing around in the water and were just really beautiful. I noticed that there was this unusual family dynamic that was there.
And during this time, I also realized that there was a bittersweet beginning to the story, because the Asian elephant is just losing its
habitat at a very rapid pace due to encroachment and climate change. In a fast developing country like India, there are roughly about 35,000 to
40,000 Asian elephants left, and the situation is very grim.
We're losing elephants at alarming rates due to poaching and human animal conflict. But I wanted the story to be positive. Why focus on all the
depressing parts when we were living in this beautiful place. And I think in this time, there are just so many stories of animals being killed,
species dine out.
And this was a positive story that highlights the beauty of man and animal working together. I believe coexistence is the way that we move forward
into the future. And only with mutual respect and cooperation, can we save the planet?
CHATTERLEY: Yes, I mean, the message is so important Kartiki. I think one of the things that - I could have imagined but I didn't realize until I
watch this is, how teen these gentle giants are when they're in this situation?
I mean, he's playful; he's naughty at times, there is this sort of parent child relationship with his parents and 'The Elephant Whisperers'. But
there's something critical to these elephants for the society there too. They are fundamental parts of the society.
GONSALVES: I'm hoping that people will be able to relate to Raghu so many films, so the danger of animals and I wanted to show the love and
connection to animals. The elephant is such a large animal and they need to be treated with respect.
But they're also loving and capable of lifelong bonds. They seem to have a sense of humor as well. And they have so many similar traits to humans, and
I hope that people will switch from seeing them as the other and start seeing them as one of us.
CHATTERLEY: Yes with spirituality in this too. Guneet if you can comment on this because Bomman isn't just an elephant projector. He's also a Hindu
priest and one of the quotes for me which really stood out this is God's presence in my life.
[09:45:00]
Without him we have nothing and he was referring to Raghu as providing that spirituality in that and that touch point, I think, with God.
MONGA: Yes, it is. For us also, it is a sacred bond. It is deeply spiritual, just watching the whole experience, and their work with Raghu
and with - their connection with each other. For us, also, this is absolutely a sacred bond between wild and human.
And, yes, he does look at it as a blessing from God. And there is just so beautiful things that Bomman says, like, you know, we get everything we
need from the jungle, and we take only as much as is sufficient.
Here also, whatever we need, we have put the concept of sufficiency is so important. And that's what the indigenous community really takes care of.
And, yes, we do have Ganesha as a Lord in India and they do pray and they do relate to blessings of elephant for their as that is the work that they
do, is working with elephants.
And this is the first time that this couple was able to protect a baby elephant and bring it back as Raghu was orphaned, and raise it well, to a
healthy elephant.
CHATTERLEY: And the story doesn't shy away from that it is a sort of a visual Safari and so beautiful in terms of the relationships but Kartiki,
you don't shy away from the fact that Raghu was orphaned and how he was orphaned?
GONSALVES: So it all went back when Raghu was orphaned he was actually in this small little village, and his mother got electrocuted and as they
wandered into a nearby village in search of food and water.
And I think this is one of the most prevalent examples of climate change in our day to day life. You had this wild herd that wandered into a nearby
village and searched food and water. And that's when she got electrocuted, and she died on the spot.
And you're you had baby Raghu, who was hanging around next to her body for many days, and posts that he went and moved off and he joined a herd of
cows where he started eating grass, and I think he was not able to get enough food because he didn't have the stomach of a cow.
And then after that, he sort of resorted to moving towards the local village where he started stealing fruits and vegetables from the local
shops nearby. And that's when he got attacked by stray dogs. And that's the reason he does not have a tail at this point.
And that's when the forest officers intervened and the local people. And that's when they realized that they couldn't actually take care of an
elephant calf. So they gave him some water, they had to dress his wounds.
And they call Bomman from the forest department to come over and to look after him. And after about a month or so after he got slightly more
recovered this when they took him back to the camp. And they also tried to reunite him with his herd during that time.
Because the forest department really looks at trying to reunite calves that are orphaned or abandoned, to try and find their wild herds and when
everything fails, is when they actually think about bringing the calf back to the camp.
CHATTERLEY: Yes, I knew he was three months old. And I know you were filming this for over a period of five years. It's just incredible. OK,
very quickly, because I have two minutes left. Fast forward to the moment and we showed the video in the tease where you realize that you had an
Academy Award or an Oscar Nomination and everyone's jumping around in huge excitement.
It's a huge moment for 'The Elephant Whisperers' Here we go. This is it. I love this. Tell me how this moment felt and what winning would feel like?
MONGA: I mean we're already so grateful. So grateful to be shortlisted, so grateful to be nominated we're so grateful to be here for the whole
experience. The film is live on Netflix; around the world people are watching it.
And we are getting fan out from around the world. It has been an experiment, it has been an exceptional experience of being here working on
it. Neil deGrasse Tyson hosted our screening in New York. It has been just incredible from strength to strength to strength.
I mean, if I feel like the elephants, God bless us and we do when it'll be historic. It's already historic for both of us. This is Kartiki's debut
film, and for both of us to be here it just very, very grateful the feeling is surreal and of gratitude.
CHATTERLEY: You're definitely flying the flag for India and female leadership in this case. Kartiki I have one minute left. How will this
feel? This is your debut? What a debut?
[09:50:00]
GONSALVES: Its absolute surreal, I think on behalf of a woman and our beautiful elephant friends Raghu and Namu. We're just absolutely thrilled
to receive this great honor. This is helping spread the message of the film and create more awareness empathy and connection to elephants and to other
living beings that we share our spaces with. And I'm just extremely grateful and thankful to Netflix for believing in the power of this
beautiful story.
CHATTERLEY: Yes, amen. The smile says to all. Good luck, guys! We're thinking of you. And I do recommend the documentaries you said on Netflix.
Kartiki and Guneet thank you so much, the Director and the Producer of "The Elephant Whisperers" there. Thank you.
GONSALVES: Thank you.
MONGA: Thank you.
CHATTERLEY: All right coming up, after the break, tackling racism, addiction and Will Smith infamous slap at last year's Oscars. Chris Rock
opens up in a live streaming special on Netflix. We've got the details after this.
(COMMERCIAL BREAK)
CHATTERLEY: Welcome back to "First Move"! The Actor and Comedian Chris Rock finally addressing that slap from Will Smith at last year's Academy Awards.
Remember that Rock was snapped after making jokes about Will Smith's Wife Jada Pinkett Smith. CNN's Stephanie Elam has more.
(BEGIN VIDEOTAPE)
CHRIS ROCK, COMEDIAN AND ACTOR: Have a try to do a show tonight without offending no body, OK? I'm going to try my best. You know what because you
never know who might get triggered?
STEPHANIE ELAM, CNN CORRESPONDENT (voice over): Chris Rock on stage and hitting back at Will Smith, nearly a year after the infamous Oscar slap.
ROCK: People say they always say words hurt. That's what they say. God wants you to say because words hurt. You know anybody that says words hurt
has never been punched in the face. Will Smith practices selective outrage.
ELAM (voice over): Rock suggesting Smith's response to his Oscars joke about wife Jada Pinkett Smith's hairstyle was more about their relationship
than him.
ROCK: His wife was her - son's friend. She heard him way more to hear me.
ELAM (voice over): Rock covered a wide range of topics, including addiction, abortion and racism, but left some of his sharpest lines for
Smith.
ROCK: You all know what happened to me getting smacked by Suge Smith. I love Will Smith my whole life I love to buy a whole life I root for this -
OK, and now I watch emancipation just to see him get what.
ELAM (voice over): Referring to Smith's role as an enslaved man in the period drama Emancipation. Smith, who has apologized publicly, has said he
worries this slap could impact Emancipation's success.
WILL SMITH, ACTOR: My behavior was unacceptable.
ELAM (voice over): Rock not holding back, ending the special with this final blow.
[09:55:00]
ROCK: How come you do not bet? I got parents. And you know what my parents taught me? Don't fight in front of white people.
ELAM (voice over): Stephanie Elam, CNN, Hollywood.
(END VIDEOTAPE)
CHATTERLEY: And finally, Toblerone wrappers are getting a facelift. And you can blame Swiss laws for the change. The image of the country's famous
Matterhorn Mountain Peak will disappear from the packaging.
That's because the company has moved some of its manufacturing out of Switzerland and off to Slovakia, and is no longer allowed to use certain
Swiss imagery in its marketing. It doesn't pass the swiftness test.
Also, the rappers now say established in Switzerland, rather than of Switzerland. As long as it stays the same I can live with that. Also that
mountain looks rather like any of those mountains in the Tetra Mountains I believe between Slovakia and Poland. But that wouldn't change a thing.
That's it for the show. If you've missed any of our interviews today, there will be on my Twitter and Instagram pages. Search for @jchatterleycnn. In
the meantime, "Connect the World" with Becky Anderson is up next, and I'll see you tomorrow.
(COMMERCIAL BREAK)
[10:00:00]
END
