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White House Credibility Crisis; Climate Change Culprit; North Korea's Nuclear Ambitions; Trump's First Six Months; Dow Hits Records; Trump Approval Hits New Low. Aired 8:30-9a ET

Aired August 08, 2017 - 08:30   ET

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

[08:30:00] REP. SEAN DUFFY (R), WISCONSIN: But this -- the Ways and Means Committee, the House and the Senate, have been working on this for years. But, you know, specifically, and like a laser for the last, you know, eight months, trying to plan for different alternatives that would happen with health care reform, whether it happened or not.

I think we're in a good place to get tax reform done. And if we get it done right, you are going to see our economy boom, better jobs, better paying jobs and more businesses coming back to our country, which is what Donald Trump -- which is what Donald Trump promised.

Can I make one other point? You can't deny Foxconn in Wisconsin. You have a $13 billion investment in our state. That's huge that Donald Trump is looking out for middle income Americans. You have Toyota and Mazda coming back to America. The kind of -- the kind of investment that you have never seen. These are jobs that Democrats said were gone and gone forever. Donald Trump is bringing back.

If you don't work in Wisconsin, if you don't live in Wisconsin, but you're in North Carolina, you still look at that and go, damn it, that's great. I love a president who's fighting for people in Wisconsin that are just like me, or you've got coal miners going back to work in West Virginia and Pennsylvania. This is a good thing for Trump and I would say these poll numbers don't count Donald Trump out.

CHRIS CUOMO, CNN ANCHOR: Sean Duffy, thank you very much for having you. Always a pleasure, congressman.

DUFFY: Thanks, Chris. Have a good one.

CUOMO: Alisyn.

ALISYN CAMEROTA, CNN ANCHOR: OK. So there's this new government climate change report and it contradicts what the president has said about climate change. So what will the Trump team do about approving this report for public release? We have Democratic Congressman Mike Quigley, next.

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[08:35:27] CAMEROTA: The impact of climate change is already being felt in the United States, and human activity is the primary culprit. This is according to a draft of a government report that's been obtained by "The New York Times." Many of the scientists involved in that report told "The New York Times" that they're concerned that that final version could somehow be suppressed by the Trump administration who doesn't believe in the findings.

So let's discuss with Democratic Congressman Mike Quigley. He's a member of the House Intelligence Committee.

Congressman, thanks so much for being here.

REP. MIKE QUIGLEY (D), ILLINOIS: Good morning. Thank you.

CAMEROTA: OK, so this new report is troubling and it has some ominous findings. It finds that the temperature is the highest it has been in 1,500 years. And it finds that the temperatures -- the spike in temperatures over the past decade they say can be attributable to human activity, at least by 50 percent. So this is not what the Trump administration has publicly said their philosophy is on climate change. The president has, at times, called it a hoax. At times he's said he's believed there's some human -- his word was connectivity. Scott Pruitt, the head of the EPA, has said that he's quite uncertain about human beings' role. What do you think the Trump administration is going to do with this new report?

QUIGLEY: Well, it wouldn't be a surprise if they attempted to suppress it, unfortunately. Look, it's a familiar pattern. As you suggested, during the campaign, the president called climate change a Chinese hoax. This in spite of the fact that beyond this individual study, there are over 12,000 peer-reviewed scientific studies that say that climate change is real and that man contributes to it. The Trump administration cannot be allowed to suppress pure science.

I challenge Secretary Pruitt to a public debate on climate change anytime, anyway he wants to do this. So I share these scientists' concern and it's our role to make sure the public knows what we're really dealing with here.

CAMEROTA: This draft report was signed off on by scientists at 13 federal agencies. So what if the Trump administration says, well, we'll release the report but these are all Obama-era scientists or these are all Democrats, or these are all liberals. I mean what's the Democratic responsible?

QUIGLEY: Yes, again, there's 12,000 worldwide scientific studies that say just the opposite of what the Trump administration is saying. They can't all be Democrats. And in the final analysis, Democrats and Republicans, as citizens, feel those effects of climate change and must act on a bipartisan way. It was indeed President Obama who said, this is the first generation to feel the rea impact of climate change, and the last generation that can start to do anything about it.

CAMEROTA: All right, let's move on to North Korea because there's breaking news on that front as well. The North Korean state-run media has just put out a statement from North Korea in response to the U.N. Security Council sanctioning that have been leveled against North Korea. They say that North Korea would take, quote, physical action in response to the United Nations Security Council's adoption of a new sanctions resolution. What does that mean to you?

QUIGLEY: Yes. It means that that fear defense system that we've been working on needs to be -- continue to be enhanced to protect our troops and our friends and allies to the south, as well as in Japan, and that we need to continue to work with all our allies and the 15 countries who voted with the United Nations this weekend to level sanctions against the North. So the process needs to move forward on a diplomatic basis and we need to ready the defenses for our allies and our own homeland.

CAMEROTA: But the sanctions, frankly, in the past couple of days, seem to have only made North Korea more bellicose in terms of them saying that their nuclear program will never be on the negotiating table and that they're threatening physical action. Well, what makes you think that sanctions are going to work?

QUIGLEY: Look, sanctions are our stronger tool that we have in the quiver and there's just not anything other than defending ourselves to do anything about this.

I think China can still do more with enhanced pressure. They are the country that is keeping North Korea afloat. We also have to tell Russia to stop trading with North Korea. Their amount of trade has increased dramatically in the last six months. Sometimes we're seeing Russia pick up where China has left off. So where China has actually done something, Russia has picked that up, giving North Korea the slack they need to move forward. So it is our most important tool despite the bellicose we hear from the north.

[08:40:20] CAMEROTA: You tweeted out today your assessments of President Trump's first 200 days in office. And I just want to read to people how you see it and fact-check a little bit of what you claim here. You say that he has abandoned the partisan promise to repeal the Affordable Care Act after many failed attempts. Now, of course he would say it was Congress' fault. He's not abandoned it. In fact, he's challenging Congress to come up with something. He's calling you guys out. He's saying that you all had seven years to figure out a replacement. So why are you pinning that on him?

QUIGLEY: Oh, we weren't trying to replace it, we were trying to enhance the ACA. And for six years since President Obama left office, all the Republicans have done is try to defund and repeal the act and not try and do anything about it until they got control of both houses of Congress and the White House. They have been unable to do anything since then because they know the American public supports this measure and doesn't want to defund Planned Parenthood or knock 20 million Americans off their health care.

If they want to come to us with a bipartisan approach to enhance the health care system and make sure it continues to work and not to undermine it through the appropriations process, for example, hey, we're willing to listen because all Americans deserve health care.

CAMEROTA: OK, Congressman Mike Quigley, thank you very much for your perspective on all of these things this morning.

QUIGLEY: Thank you.

CAMEROTA: Chris.

CUOMO: All right, investors appear to be on a roll on Wall Street. The Dow hit another record high. What is behind the momentum of the rally? How much of it is about politics? Next.

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[08:45:45] CAMEROTA: Time now for the "Five Things to Know for Your New Day."

A new CNN national poll has President Trump's approve at an all-time low, just 38 percent approving of the job that he's doing and only 24 percent say they trust what they hear from the Trump White House.

CUOMO: Strong pushback by North Korea over the U.N. vote to impose tough, new sanctions. The reclusive regime accusing the U.S. of trying to start a war, and insists its nuclear program will never be negotiable.

CAMEROTA: "The New York Times" obtained a draft report by scientists from 13 federal agencies that concludes the average temperature has risen drastically since 1980 and human activity has played a pivotal role.

CUOMO: President Trump meeting this afternoon with Health Secretary Tom Price to discuss the nation's opioid crisis. The president's commission on opioids is urging him to declare a public health emergency.

CAMEROTA: Taylor Swift getting ready to testify in a civil case pinning her against a Denver radio DJ. They are suing each other. Swift claims he groped her during a photo op. David Mueller says the allegation is false and it got him fired from his radio station, which was a CNN affiliate.

CUOMO: For more on the "Five Things to Know," you can go to cnn.com/newday for the latest.

CAMEROTA: OK, it's time for "CNN Money Now."

The Dow is on a run of record highs topping 20,000, 21,000, 22,000 just since January. Chief business correspondent Christine Roman is in our Money Center to tell us what's fueling the rally.

Christine.

CHRISTINE ROMANS, CNN CHIEF BUSINESS CORRESPONDENT: Hi, guys.

Well, the Dow hitting its ninth record close in a row. The Nasdaq and the S&P 500 also at or near record highs. All three, you can see them there, all three major indices are up double digits percentages this year. A fantastic return for investors.

Now the market's cheerleader in chief, President Trump, likes to take credit for these records. Yes, the promise of Trump era tax reform is import fuel for this rally. And while the president's agenda seems to have stalled, for now the economy is great for Wall Street. Goldilocks economic fundamentals that are just right for stocks. We're talking moderate growth, an improving labor market, a weaker dollar and big, fat corporate profits. Earnings this season are strong. Profits in 2017 are on track for their best growth in six years.

But are regular workers feeling these gains? Stock records are a measure of company's well-being, of course, not yours or mine. Workers, nearly half of Americans are not invested in the stock market. And meaningful growth in wages? Chris, we haven't seen that part of the economic recovery yet. Just about 2 percent, 2.5 percent wage growth, that's a problem in this economy.

CUOMO: And the president in the election said that was what part that mattered the most to him. Let's see what he does.

Christine, thank you.

All right, so President Trump facing an uphill battle in this CNN poll, especially where his credibility or lack thereof is concerned. The obstacles ahead in "The Bottom Line," next.

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[08:52:22] CUOMO: CNN's new national poll shows a very sobering reality for President Trump. Only one in four Americans say they trust most of what they hear coming out of the White House. Can the president get anything done with this kind of credibility crisis?

Let's get "The Bottom Line" from CNN political director David Chalian.

Good to have you and thank you for the right through on these numbers. Very helpful.

What do you make of that question?

DAVID CHALIAN, CNN POLITICAL DIRECTOR: I thought it was the most eye- popping number in the poll, quite frankly, just because this gets to the reality that we have not yet seen, an external crisis hitting this White House. And if you have that kind of credibility gap -- I mean that is the Trump trust deficit with the American people. That becoming a much stiffer, tougher challenge for the president when indeed he needs to communicate hugely important things to the American people.

CAMEROTA: David, it's interesting to dive in and look at the issues, issue by issue. So what he gets the highest marks on are national security and the economy. What he gets the lowest marks on there at the bottom, health care. Obviously that did not work. Taxes, which I guess Americans understand are inexorably linked to the health care plan. Foreign affairs, in terms of I suppose meeting with foreign leaders. Middle class, whether or not he's looking out for the middle class. Immigration. Then again the highest marks on the economy and national security. What are your thoughts? CHALIAN: Right. And even the economy he's, you know, it's close, but

he's under water there. Only national security is he right-side up. And, you know, obviously the economy, those middle-class numbers, that's the core of his promise.

What is amazing about that health care number, Alisyn, 31 percent approval on health car. I think that is going back throughout the entire administration of Barack Obama. He never was that low on approval of health care despite all the controversy surrounding Obamacare's passage and implementation.

CUOMO: Now, as predicted, the pushback by the president's supporters of these numbers are the main one-two punch. One, no polls are right anymore. Hillary Clinton was supposed to get 311 electoral votes. And the second one is, look at the rallies. The places where Trump is strong, they're still really strong. It just doesn't show up in national polls.

CHALIAN: The president himself was tweeting the latter excuse yesterday, not excuse but rationale, I guess, for believing the growing support among his base.

We don't see that, Chris. There's nowhere in this poll or other polls that support the notion that his base is actually growing, getting bigger and stronger. We see actually a little bit of erosion. That does not mean -- of course those rallies are big and those are diehard fans of the president that will be there. I don't know that we see evidence that they're bigger and stronger than they were during the campaign though either. So, yes, there are committed supporters who are going to show up and see the president. That is differ than a sample across the country.

[08:55:10] CAMEROTA: David, here's an interesting question that the pollsters ask because this goes right to the heart of President Trump's persona, that he's an excellent manager. He understands business. He would run the government like a business. Can President Trump manage government effectively was the question? Only 39 percent said yes. Fifty-nine percent said no. One more thing. Can President Trump bring the needed change? Today, only 43 percent say yes, 55 percent say no. How do you see it?

CHALIAN: And, Alisyn, that 43 percent number back in April at the 100 day mark, that was 48 percent thought he could bring needed change. So that is ticking down. And, to me, that's a core brand issue. Nobody knows branding better than Donald Trump. But he -- that is how he sold himself, an agent of change who can use his experience in the private sector and come in and bust heads in Washington and manage the government effectively. He is upside down in both right now. He's losing the sheen of a change agent with the American people. That is problematic because that goes to the core of what he promised on the campaign trail.

CUOMO: So let's posit that he could be a win or two away from a big pop in overall popularity. We've seen that. it's the silver lining to low numbers, right?

CHALIAN: Sure.

CUOMO: You do something good, you get a big pop, and then the story is the percentage change. However, when it comes to credibility, change isn't always that quick, especially when so much of it is self- emanating from the president and his social media feeds. He can say all he wants about what we cover. We cover what he says. And what he often says gets him in trouble. How do you fix that part?

CHALIAN: You are right, that is a tougher problem to fix. Now, his supporters will say, look, he wasn't perceived as all that trustworthy back in the fall and he won the election anyway. And so it's not necessarily a threshold issue. But, obviously, getting a big legislative victory would actually boost, at least among his core supporters where we're seeing some erosion, his numbers and probably help his numbers overall.

CAMEROTA: David Chalian, thank you very much for "The Bottom Line." Great to talk to you.

And CNN "NEWSROOM" with Poppy Harlow will begin after this very quick break.

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