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Americans Fear A Recession Is Coming; Florida Declares State Of Emergency; Asian Countries Dropping COVID-19 Restrictions. Aired 4-4:10a ET
Aired September 27, 2022 - 04:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
COY WIRE, CNN 10 ANCHOR: Hello, everyone. Hope you had a marvelous Monday. Like Miss Innes says from her 8th grade ELA class, it`s time to rise up and
make it a terrific Tuesday.
Welcome to CNN 10. I`m Coy. Grateful to be here with you.
Lots to get to so let`s go.
Last week, stocks worldwide reached a low not seen since 2020, a sign that the global economy is weakening. There are growing fears that this could
mean the start of a recession despite a strong job market.
Now, in economics a recession is a significant and widespread downturn in economic activity. And a popular rule of thumb for identifying a recession
is when there are two consecutive economic quarters of decline.
Forecasters are warning of serious economic hardship ahead. Banks are raising interest rates and that means money is more expensive to borrow for
both businesses and consumers. The Federal Reserve has raised rates in the hopes that consumers will spend less, which reduce the supply of money in
circulation. That would then lead to lower inflation and less economic activity. This is called cooling off the economy.
Economists say ideally the market will have a growth recession or a prolonged period of small growth and rising unemployment. The pain of this
type of recession is still significant but it doesn`t pull the entire economy into a major decline the way a full-blown recession would.
More now from CNN`s Brian Todd who explains what might happen to the global economy and how all of us might feel the effects.
BRIAN TODD, CNN CORRESPONDENT (voice-over): The stock market tumbles. Gas prices on average start to tick up after dropping for more than three
straight months. All coming with punishing interest rate hikes, the last one just announced by the Fed.
Its chairman saying he understands American sticker shot.
JEROME POWELL, CHAIR, FEDERAL RESERVE: We have got to get inflation behind us. I wish there were a painless way to do that.
TODD: But for many Americans, recession jitters have set in.
DYLAN RATIGAN, ECONOMIC ANALYST: American anxiety is high, obviously. It`s also self-fulfilling. So the more you think about it, the more you create
TODD: While no one knows for sure if there will be a recession, some analysts believe if it comes it will likely happen sometime next year as
the fallout from rising interest rates starts to affect American spending patterns. But for some, it feels like recession is already here.
Analyst Dylan Ratigan says the housing market is the factor which could have the biggest psychological effect on Americans and the news on that
front isn`t good. Mortgage rates continue to climb. More people are being priced out of the housing market, and home sales are declining.
RATIGAN: That creates a slowdown in how people feel which changes their behavior relative to travel, restaurant, shopping, under expressions of
TODD: Another contributor to the recession jitters, prices at the pump.
MARK ZANDI, CHIEF ECONONIST, MOODY`S ANALYTICS: Nothing is more important to the collective psyche into our perceptions of our own finances and the
economy`s performance than how much it costs us to fill our gasoline tank.
WIRE: Now, as we speak, a major hurricane is causing urgent evacuations in places not used to getting hit directly by a hurricane. When we produced
this show, it was a category one storm but it was expected to rapidly intensify possibly to a category 4 storm over the next couple of days.
Hurricane Ian is anticipated to cross over Cuba and make landfall on the west coast of Florida and the Florida Panhandle by midday Thursday. But
there`s a lot of uncertainty about the hurricane`s track and its intensity. Governor Ron DeSantis has declared a state of emergency for the entire fair
state of Florida with storm conditions, quote, projected to constitute a major disaster, unquote.
While all of Florida may feel some effects from the storm, the Tampa area could get its first direct hit from a hurricane since 1921. The mayor of
Tampa telling residents, if you can leave, leave now. Damaging winds and storm surge flooding would be the biggest concerns. Hurricane Ian is the
fifth hurricane of the Atlantic season.
CNN meteorologist Jennifer Gray tells us how these storms get their names.
JENNIFER GRAY, CNN METEOROLOGIST: Andrew, Katrina Harvey, Irma -- these are some hurricane names most of us will never forget. But naming
hurricanes has taken some trial and error, and some of the rules are still changing.
In the early days, military meteorologists used to name storms after their wives and girlfriends, but none of these names were made public. Then in
1950, everything changed. The U.S. weather bureau started naming storms. They began using the World War II phonic alphabet -- Abel, Baker, Charlie,
But this created confusion as well because every year, the storms were named the same. In 1953, the U.S. started using only female names. Then in
1979, we started alternating between men and women and we recycle that list every six years.
In the Atlantic Basin, now, we mostly use English, Spanish and French names. Storms are given short distinctive names to help communication and
avoid confusion. You can`t request a storm to be named after you and there are no storm names that begin with Q, U, X, Y or Z, frankly because there
just aren`t many names that start with those letters.
The naming process is handled by the United Nations World Meteorological Organization. A storm name will be retired if it`s too costly, deadly or
too inappropriate to be used again. In fact from 1953 to 2020, there have been 93 storm names retired, and just like each individual name, each storm
has its own personality.
(BEGIN VIDEO CLIP)
WIRE: Ten-second trivia time:
Roughly one-third of the earth`s land is covered by what continent?
Africa, Asia, North America or Europe?
If you said Asia, raise your hand. It`s the world`s largest continent, home to over 4.6 billion people.
(END VIDEO CLIP)
WIRE: After two and a half years of tight pandemic restrictions, some parts of Asia are beginning to reopen borders.
Japan, for example, is fully opening its doors to tourists on October 11th. Hong Kong and Taiwan are abandoning their mandatory hotel quarantine
policies. So far, mainland China continues to enforce its zero COVID policy, but there are some signs that those rules could change, too.
Let`s take a trip to Japan to get the full story from CNN international correspondent Michael Holmes.
MICHAEL HOLMES, CNN INTERNATIONAL CORRESPONDENT (voice-over): Soon, these streets of Tokyo could be filled with more visitors to the city as Japan
and many other places in Asia lift many of their remaining COVID-19 restrictions, in some cases, in place for more than two and a half years.
As of October 11, Japan will fully open to all tourists, not just those on guided tours or people who booked through registered travel agencies, who
started trickling in over the summer. It`s a sigh of relief for businesses, who rely on the income generated by the visitors.
Across Asia, coronavirus measures are being relaxed if not dropped to keep up with other countries who have already reopened, with the hope of
reviving economies battered by the pandemic.
The kingdom of Bhutan welcomed back a handful of tourists on Friday, the first in more than two years. But that`s now an even more expensive trip
for visitors, who will be charged a fee of $200 per night per person instead of the $65 fee in place for three decades.
Taiwan also following the trend by ending its mandatory COVID-19 quarantine for international travelers in mid-October.
And as of Monday, people arriving in Hong Kong will no longer have to undergo mandatory hotel quarantines, although they will have to self-
monitor for three days.
JEMMA ARMSTARON, HONG KONG RESIDENT/STUDENT: I was pretty happy because now my family can visit me and like, you know, that -- I haven`t seen them
in so long. So it would be great for them to come and visit finally.
HOLMES: It`s been a slow, staggered reopening for some Asian countries. But with the increased vaccination rates and lower numbers of deaths and
hospitalizations from COVID, the price of isolation just became too steep.
WIRE: All right. Warning, our story today that gets a out of is cuteness overload. Check out this baby elephant at the famous Whipsnade Zoo in
Bedfordshire, England, who was just named Nang Paya, the Thai word for queen. Is this the cutest darn thing you`ve ever seen?
Named after the late Queen Elizabeth II -- get this -- the queen once fed a banana to the calf`s mom on a trip to that zoo.
Now, here`s a totally irrelephant fun fact for you. Did you know that when baby elephants are born, they`re about three feet tall, weigh 265 pounds,
they can stand within minutes and walk within an hour? Elephant-astic.
Also fantastic, special shout out to Mrs. Nichols` government class at Chaparral High School in Scottsdale, Arizona. Thanks for subscribing and
commenting at youtube.com/CNN10. I`m Coy Wire. Have a wonderful one. Now go and make someone smile today.