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State of the Race with Kasie Hunt
Jordan says he won't Join TV Interview with Scalise, Hern; Biden to Add to Trump's Promised Border Wall; Biden to Expand Border Wall he's Long been against; Biden to Address September Jobs Report; Trump Endorses Jim Jordan for U.S. House Speaker; One More Thing. Aired 11a-12p ET
Aired October 06, 2023 - 11:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
[11:00:00]
(COMMERCIAL BREAK)
KASIE HUNT, CNN HOST, STATE OF THE RACE: Donald Trump backs Jim Jordan for Speaker in the race that might be televised. Candidates for Speaker the
House set for a joint interview on Monday. But CNN is learning so many House Republicans are furious about it. See how this plays out.
Plus, can the President sell voters on Bidenomics? We're waiting President Biden's speech on the better than expected jobs report, and I'll talk to
Republican Congressman Larry Bucshon who does he wants to be Speaker does Trump's endorsement matter and more that's ahead.
Hello, everyone. I'm Kasie Hunt to our viewers watching in the United States and around the world is 11 am here in Washington Friday, October 6.
Now been three days without a Speaker of the House. There are 101 days until the Iowa caucus and we are just 395 days from Election Day. This is
today's "State of the Race".
We are tracking new developments in the race to be the next House Speaker. Congressman Jim Jordan says he will not be participating in that joint
debate. We just mentioned with fellow Republicans Kevin Hearne and Steve Scalise on Monday because he wants to meet with the conference on Tuesday
first.
Scalise and Jordan have declared that they are running to replace Kevin McCarthy. And there's speculation that Hearn might also run. Jordan's
apparent withdrawal or at least rescheduling comes after some Republicans responded angrily to the news of the debate.
Words used to describe it to CNN include insanity, a circus, horrible idea, not productive. All of this, of course, coming after President Donald Trump
endorsed Jordan to be the next Speaker that came overnight. Trump called Jordan a STAR and said he'd be a great Speaker. Jordan spoke with CNN's
Manu Raju about being Trump's pick.
(BEGIN VIDEO CLIP)
REP. JIM JORDAN (R-OH): Look, I like the job I got now. I never wanted to do this job. But someone has to who can bring the team together and can go
communicate to the country and that's why I'm running.
MANU RAJU, CNN CHIEF CONGRESSIONAL CORRESPONDENT: What were your conversations like with Trump? I you know, given you got his endorsement
when what do you expect him to do to try to get you the votes in this race?
JORDAN: I appreciate the President's endorsement. He's the leader of the party is going to be our presidential nominee and I think he's going to be
our next President. So I appreciate that. But we're focused also on the key thing is our colleagues.
(END VIDEO CLIP)
HUNT: He is the leader of our party, Jordan on Trump. Here's what Scalise told Fox News about being passed over for the Trump endorsement.
(BEGIN VIDEO CLIP)
REP. STEVE SCALISE (R-LA): A lot of friendships in this race, a lot of folks that, you know, have been talking to other folks on the outside to
bring in to this race. There's a lot of interest in this race, you know, but at the end of the day, it's a lot of one on one conversation over the
last few days.
I've been having with my colleagues, and a lot of introspection about how we get things back on track the problems that we have internally. They
don't go away with a new Speaker. But the real question the members have is how do we get things back on track?
(END VIDEO CLIP)
HUNT: All right, let's dive into all of this with today's panel. Doug Heye Republican Strategist and Former Communications Director for the RNC,
Ashley Etienne is a Former Communications Director for Vice President Kamala Harris and then House Speaker Nancy Pelosi.
And Kristen Holmes is a CNN, U.S. National Correspondent, who we should note covers the Trump campaign, day in and day out, thank you guys for
being here on Friday. This story is I mean it's crazy. I don't really know what else to say about it. Kristen, let me start with you, because first of
all, Fox News is going to do this as they're calling it a joint interview.
But it feels like a debate. The reason these Republicans are angry about it is because it would pre-empt them being set to hear from these members
themselves behind closed doors, they want that prerogative I think we'll see how this plays out. But I don't think it's out of the realm of
possibility.
That basically it just gets pushed until later in the week, once many of these Republicans have had a chance to hear from them, themselves. But the
fact that it's happening at all is so Trumpian to me, right? Like the idea that all of a sudden the race for the Speaker of the House of
Representatives is something that we're going to see play out on television is crazy. And on top of it, you have the Trump endorsement.
KRISTEN HOLMES, CNN U.S. NATIONAL CORRESPONDENT: Yes. So I think actually, the first thing I thought was like, wow, they're really taking a page out
of Donald Trump's book here.
HUNT: Yes.
HOLMES: By making this a completely made for TV event. And that's really what Donald Trump is good at, you know, controlling the messaging,
controlling the narrative and trying to get as much media attention as possible. And we've seen a lot of that this week. I mean, earlier in the
week, he was clearly trying to take center stage with the court stuff going to camera every five minutes.
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And then the endorsed and all of the stuff leading up to it yesterday, I mean yesterday were truly chaotic. Trump interjecting himself into an
already tumultuous situation with the Republican caucus on Capitol Hill. And then essentially escalating it and saying that he might be willing to
serve as interim Speaker.
Keep in mind we've been talking to his advisors for the past five days who have said absolutely not he has no interest. He's not serious about this at
all. They didn't even know about that interview until after it came out. And then there was a lot of backpedaling them saying OK, or are we going to
the Capitol?
What's exactly going to happen here? So, really, this entire scene has turned into a Trumpian made for TV moments, and even the offer of doing
that debate seemed really out of the realm because it's not something you would normally say.
HUNT: No, absolutely not. These are normally closed, closed door negotiations, family discussions, I want to say your former boss used to
call him. Ashley, what do you make of this watching it from the outside? I mean, you've been in these kinds of rooms where these kinds of decisions
are made, obviously on the Democratic side. But this is unprecedented.
ASHLEY ETIENNE, FORMER COMMUNICATIONS DIRECTOR FOR VP HARRIS: I mean I love seeing this family drama spill out on TV. It's kind of exciting. I'm
getting my popcorn. But here's the reality is that you know, words like insane, crazy, that's come to define the republican conference on the House
side.
So this is music to Democrats ears. I mean, if I'm Mr. Jeffries, I'm micro targeting, those 15 to 18 Republicans who are in Biden seats, and really
driving that message within those district because, you know, one thing where I think we're missing here is Republicans are focused on who can get
to 218.
But the reality is how can they build a governing majority? And then how can they position themselves to win the House? My old boss, that was the
primary focus, she would say to members go in your district, you can badmouth me whatever you want. But what's most paramount is winning.
And that's what I think is getting lost in all of this drama and the chaos. And it's just creating an opportunity for Democrats to go in and make the
case that they're unable to govern. And it's just insanity.
HUNT: Doug?
DOUG HEYE, U.S. REPUBLICAN STRATEGIST: Yes, if this is a family discussion, it really goes back to mom and dad having the fight in front of the kids.
HUNT: Right, -- coming to Thanksgiving.
HEYE: Yes, that's always awkward and painful, but it's never televised. And so in doing this, it sends that message there. Sure, they'll talk about
what they've done and what they want to do. But the reality is they'll highlight for the entire country. We don't have a governing coalition, we
got our governing majority and we don't know what we're going to do yet.
And we're still trying to figure it out as we go along. And all of America can see that for themselves, this may benefit who ultimately emerge as a
Speaker, if it's one of those three, but for the conference itself, and for the party, bad idea.
HUNT: So let's talk about the Trump endorsement from I want to get you in on this, -- . But I want to start inside the Republican Conference first,
because when I woke up, this broke about midnight, which is way past my bedtime since I also hosted five in the morning. But I woke up and this had
happened and we're kind of trying to digest in real time.
OK, what does this mean? And, you know, having covered the House and Congress throughout the Trump administration, my gut was, well, there are
not very many members of the House Republican conference who will ever cross Trump in public. And that bodes very well for Jim Jordan's bid to be
Speaker of the House.
Because now you are crossing Trump, if you go down to the floor, and you vote for somebody other than Jim Jordan, on the floor of the House, what do
you think it does for Jordan's bid to get the top job?
HEYE: Well, what if he's the leader of the party, he had a chance to make an endorsement last week and failed to do so he could have prevented
potentially prevented all of this mess if he picked up the phone and called Matt Gaetz and said knock, get the hell off. You know, he likes to knock
people to hell around this would have been an opportunity.
So he's failed there. And there is disappointment within the conference on that. But on the other hand of it is this gives a lot of members cover. But
let's be mindful that the first vote is a private vote. And so we won't know --
HUNT: It's a secret ballot inside the House conference. But the thing is, on a secret ballot, I mean, you can say to anything to somebody's face and
then vote on a secret ballot the other way.
HEYE: The only vote you can depend on is somebody who tells you they're definitely not voting for you.
HUNT: Right.
ETIENNE: That was -- what Trump has to lose, right? If he goes down, he endorses Jordan and Jordan loses, then Trump actually loses.
HEYE: Yes.
ETIENNE: Right? And so I think that's a reality.
HOLMES: -- I spoke to Trump's allies about this morning. I mean, why you're starting because it seems like it's more risky. And they've actually
brought this up with some of his advisers like telling them that they didn't think it was a good idea. Anybody who Trump would sway probably was
already going to back Jordan.
So why get out there and put your neck out there. And I do want to say one thing about, you know, making the call last week to Matt Gaetz, because we
covered it extensively. I mean, I think what was so interesting is Trump was so clear, you know, from point A to point B that he was not going to
weigh in.
I mean, as this was unfolding, he's tweeting about the border wall. He's going up to cameras. McCarthy is out and he's posting about his trial that
he's doing, you know, it was so clear he was actively not involved.
[11:10:00]
And we're being told, oh, he doesn't want to wade into the drama. Well, now he's fully in the drama.
HEYE: Yes.
HOLMES: He clearly just didn't want to save Kevin McCarthy. And I think that just needs to be very clear that even if people around him are saying,
oh, no, it wasn't about Kevin McCarthy. It was about Kevin McCarthy because now he's endorsed and Borden.
HUNT: Yes. I mean, that's such a fascinating point, because I remember thinking that, you know, in the weeks that we're playing out, right before
McCarthy went down to Mar-a-Lago, I think everyone was thinking he's crossed Trump, if he ever wants to be Speaker.
He's not going to be able to and then the photo itself was interpreted as him trying to say, oh, I really want to be Speaker the House, I know, I
need you if I'm going to do that. And I actually thought may be Trump would derail him the first time around, but that's obviously not what happened.
Doug, quickly, Patrick McHenry, who is the temporary Speaker of the House, because he was put on a list by Kevin McCarthy when McCarthy first became
Speaker in a little known like rural provision after that was put in after 911. He is somebody who could be Speaker of the House, like he would know
how to do that job. He's been very close to McCarthy. He is actually well, like --
ETIENNE: Democrats like him as well.
HEYE: Yes.
HUNT: On the other side of the aisle, right. But there has been a little bit of chatter like, oh, maybe there are some people that are encouraging
him to run. Do you see that as being at all possible?
HEYE: You know quiet conversations are every Republican likes Patrick McHenry and respects Patrick McHenry, think he'd be a good Speaker. So yes,
he's gotten those calls. Is that a groundswell at this point? No, they're still looking at the top three candidates. Do one of those emerge and if
not, and all hell than really breaks loose? Obviously, Patrick McHenry, be one of the first people on that list.
HUNT: Do you think there's anyone else on a surprise list?
HEYE: Well, we found this out that there's a secret list. And I think there's going to be a very big, very secret list of potential Speakers as
well, if it's not one of these three.
ETIENNE: Interesting.
HUNT: Alright, last word?
ETIENNE: No. I mean, I think one thing that I'm hearing of the Republican caucus, Doug, I'd love to get your thoughts on this, that there's a silent
majority that doesn't want Donald Trump anywhere around this race.
HEYE: Oh, absolutely.
ETIENNE: Yes.
HUNT: Yes. I mean, that seems absolutely true. And yet -- they like a bunch of Republicans saying that they don't like what Donald Trump is doing for
like, how many years now? And then hitting primary, you know, an enormous amount.
ETIENNE: It just never comes to the pass you know --
HUNT: I mean it's crazy, right? I mean, really is it's in the moderates to Doug. I mean, we talked about oh we need to win over moderates here. The
reality is the moderates are the governing group, they have, you know, sort of gone by because they're not going to use the tactics that it would take
to blow it up.
HEYE: Right. And so often in reporting, we hear that House Republican moderates going to start flexing their muscles.
HUNT: Yes.
HEYE: The reality is they don't know where the House -- is. And we're going to see these stories next week. And are they going to do it this time? They
never really have before.
HUNT: Yes, well, of course, all of this is going to dictate. I mean, they have to hold on to these Biden seats to keep their majority. So whoever is
going to be Speaker, better be looking out for him or he's not going to be Speaker for very long. All right, coming up, President Biden is reversing
course on the wall that Donald Trump promised to build. Now Republican candidates for the White House are weighing in.
(COMMERCIAL BREAK)
[11:15:00]
(BEGIN VIDEO CLIP)
DONALD TRUMP, 45TH PRESIDENT OF UNITED STATES OF AMERICA: But we will build the wall, Mexico is going to pay for the wall.
(END VIDEO CLIP)
HUNT: That promise helped propel Donald Trump to the White House in 2016. But as we know, things didn't work out quite that way. The U.S.-Mexico
border is more than 1900 miles long and just over 430 miles of the wall were built during Trump's administration. As for Mexico paying for it,
here's Trump's current Republican rival, Chris Christie on CNN last night.
(BEGIN VIDEO CLIP)
CHRIS CHRISTIE, U.S. REPUBLICAN PRESIDENTIAL CANDIDATE: This is the guy who said he's going to build a big beautiful wall across the entire border and
Mexico hasn't paid the first peso towards it.
(END VIDEO CLIP)
HUNT: Trump did direct some 16 billion tax dollars to the project along with Congress. Now the Biden administration is responsible for spending it.
But let's remember this from candidate Joe Biden in 20 -- .
(BEGIN VIDEO CLIP)
JOE BIDEN, PRESIDENT OF THE UNITED STATES OF AMERICA: There will not be another foot of wall constructed on my administration.
(END VIDEO CLIP)
HUNT: Not another foot. But now the Biden administration is waving 26 federal laws to build additional border barriers in the Rio Grande Valley
on the border of Texas and Mexico. And many of those laws are intended to protect things like clean air, water and endangered species. President
Biden says he didn't have much of a choice.
(BEGIN VIDEO CLIP)
BIDEN: Border wall would want he was appropriate for the border wall. I tried to get them to re-appropriate, to redirect that money. They didn't
they wouldn't. And in the meantime, there's nothing under the law other than they have to use the money for what it was appropriate. I can't stop.
UNIDENTIFIED FEMALE: Do you believe the border wall works?
BIDEN: No.
(END VIDEO CLIP)
HUNT: Some Democrats are criticizing the Biden administration for going ahead with the wall while Republicans are of course continually accusing
the White House of being too lacks on immigration as border crossing surge. But as for American voters, a Washington Post ABC News poll from last week
says that just 23 percent approve of Biden's handling of immigration while 62 percent disapprove.
Doug Heye, Ashley Etienne back with me. And we also have CNN Political Analyst Laura Barron-Lopez she is White House Correspondent for PBS news
hour. Thank you all for being, thank you guys for being back. And, Laura, this immigration, obviously, it's always been something that is if not
central to presidential campaigns.
A significant piece of what's going on at least in the last few presidential races. But frankly, the politics around this issue have really
changed to the point that Biden administration is going ahead with this. They also made a critical change around what they're going to do about
Venezuelans across the United States saying that they're going to deport them back to their home countries. What is driving this?
LAURA BARRON-LOPEZ, CNN POLITICAL ANALYST: I mean, clearly, it's that President Biden, since he entered office has treated immigration in a
slightly different way than he campaigned on it, which is that when he was campaigning, he and the Vice President repeatedly said that they wanted to
make the process more humane.
And in some ways immigration advocates say that they have, but then they also kept in place the title 42 deportation policy that was started under
Trump for much longer than anyone, any Democrats expected them too.
[11:20:00]
They have resumed as you noted Kasie, the flights of Venezuelans back to Venezuela at all, well, also trying to open up more pathways for them to
stay and work permits. So when I talked to some of the immigration advocates, they said, look, it's this carrot and stick approach.
And that does have to do with the fact that the President is very aware of the politics around this issue, and knows that getting closer to the
election cycle, that to keep those more moderate or swing voters in his camp. This is how he's going to approach the border.
HUNT: Ashley, do agree with them? I mean, Democrat at the table, reminder - -
ETIENNE: -- America first. But nevertheless, I mean, the President, as he said, the President's hands were tied in this situation, there was really
nothing he could do. But as --
HUNT: But he did waive 26 laws, which I don't I mean, did they have to do that in order to spend this money? It's like they could have just not spent
the money.
ETIENNE: I mean you make a great point. But here's what it boils down to is. It's a really a double edged sword for the President, right? I mean,
he's getting criticism from the right, as well as from Democratic Mayors and Governors all over the country, about this situation being completely
out of hand.
And so I think by taking this action silenced some of that criticism, and as well as speak to some of these moderates, and independent voters who
want the President, take action on it. But the other part of this is that, you know, it opens him up to vulnerability within the Democratic Party.
And allies within the party who are saying that, you know, this is beneath the moral compass of the party. So, you know, I think it's again, it's a
double edged sword, his hands were tied, you know, I think, you know, well, --
HUNT: -- one second, Doug, because I want Ashley, you mentioned Governors, and there is a Democratic Governor in a blue state, J.B. Pritzker of
Illinois, who has been very frustrated with the White House in an ask pleading for help, really. He said that, I mean, he did blame border state
Governors for causing havoc in his city, take a look at what he had to say.
(BEGIN VIDEO CLIP)
J.B. PRITZKER, ILLINOIS GOVERNOR: That's one reason why you saw that letter. We wanted to make sure that there was a public statement out there
of many of the things that we've talked about in the past with the administration, but the things that we need right now we know that we're
starting to see more and more buses.
It is, as everybody should recall, let's not forget why we're seeing those buses. It's because there are these border politicians border, the borders
of the United States have politicians who want to cause havoc in the rest of the country.
(END VIDEO CLIP)
HUNT: OK, so he blames border politicians. But look, Doug, the reality is that border state Governors know what it's like to have to deal with this
problem.
HEYE: Yes.
HUNT: And this is actually forcing now blue state Governors to have to deal with this problem. And it's putting pressure on the White House.
HEYE: Yes, absolutely. It's very easy to be sanctimonious and talk about your sanctuary city, a sanctuary state until you have to deal with those
problems. So we see the Governor of Illinois, Democrat, Democratic Governor and Mayor in New York, they're dealing with this in a very real way.
And they're the only people they can really substantively talk to you to change this. Is the President, the White House, but if I'm a Republican
running for President, I see an opportunity here to finally use an issue against Donald Trump, if Joe Biden can make these waivers to laws to change
what's going on at the border.
Donald Trump could have done so as well. And if I'm Ron DeSantis, and I'm really stuck in the polls or Nikki Haley surging a little bit, use this
opportunity to go after the person you're --
HUNT: Well, it's funny. I have a sound bite from Ron DeSantis, I can show everyone. This is what he had to say about Donald Trump and immigration in
the border wall watch.
(BEGIN VIDEO CLIP)
RON DESANTIS, GOVERNOR OF FLORIDA: He said, with respect to build the wall and has Mexico pay for it, he actually dismissed that. He said there's no
way you could have done that. Mexico is just not going to give us money, what are you talking about? He said that, that was his core promise in
2016. And so, one, that bothered me because wait a minute, you go around saying it, and then do.
But two, you actually can get Mexico to pay for it. You impose fees on the remittances that people send back to Mexico, he could have done that, he
didn't. Every one of my promises, I delivered, I'm even going to deliver on Trump's promises for him. He couldn't do it I'm going to do it.
(END VIDEO CLIP)
HUNT: I guess he's assuming that everyone's sending money back to Mexico that nobody is actually an American citizen in that group, because that
would seem to me like Americans would be paying for the wall. But anyway, Ashley, you're about to jump.
ETIENNE: Yes, I know, I just think that the approach that the President is taking is really balanced. That's their position on it, right? They're
increasing enforcement while expanding legal pathways. But here's what this really boils down to. We can continue migration is a global problem.
HUNT: Yes.
ETIENNE: It's been a problem in the United States for decades upon decades, so we can continue to either weaponize the issue or either find some common
ground to work together in a bipartisan way, because the only way you're going to solve this is with legislation.
BARRON-LOPEZ: Yes. And Kasie, I think you and I both know that legislation is not going to happen anytime soon in Congress.
ETIENNE: -- they sent out about the infrastructure bill -- 30 years -- .
HUNT: We've been trying to do integration for decades.
[11:25:00]
BARRON-LOPEZ: They may not the first agenda item is trying to get government funding and potentially more Ukraine aid. So the fact that it
gives --
HUNT: -- some pretty basic reactions right now.
BARRON-LOPEZ: And yes it just seems highly unlikely that nearly impossible.
HUNT: I mean, Laura, the reality is, I mean, the rhetoric and the level of, you know, intensity of feeling around this issue has been going up. And
there is this emerging political reality that the White House is bowing to, that makes it harder for them to say the things that I think for all of us.
You know, who are, if we're thinking about it as being a human being first, are sympathizing with, empathizing with people who have lost their homes,
right? Democrats were kind of leading with that messaging in 2016, saying this is inhumane, we can't possibly do this.
But this is getting to be more and more difficult. And do you think that there is a path to figuring out how to solve this issue in a humane way? Or
are we going to be stuck in this, like vortex of, you know, accusations of xenophobia and racism, you know, for time eternal?
BARRON-LOPEZ: I think that for the foreseeable future, we will continue to see xenophobic attacks from primarily Republican candidates for President,
in the way that they talk about migration, and in the way that they call it an invasion. Repeatedly, that's from Texas Governor Greg Abbott.
That's from Ron DeSantis. And we know that similar language has also been used by mass shooters who repeat the great replacement theory, which is an
anti-Semitic racist theory that migrants are coming into the United States to replace white people and white culture.
But on the Democratic side, I think that the President can certainly and the Vice President can certainly attempt to talk about how they want to
make the system more humane. But the reality is, as Ashley said, right now, it's very much they continue on with a maybe more hardline harsh policy.
And then they open up work permits for Venezuelans, and then they try to launch a parole app, but then they also build a section of the border wall.
And I think that that's the way the administration is going to handle it from here on -- .
HUNT: I'm sure this is not going to be our last conversation about this issue as we cover the presidential race over the next year. All right,
President Biden is set to speak soon from the White House on the new jobs report. We are covering the impact it could have on you and the politics of
the economy coming up next.
(COMMERCIAL BREAK)
HUNT: Welcome back to "State of the Race". I'm Kasie Hunt live in Washington. We are expecting President Biden to speak any minute now. He's
going to address the September jobs report. I'm going to bring you that live as it happens. September's numbers show a very strong labor market
outperforming expectations.
[11:30:00]
The U.S. added more than 300,000 jobs, the highest mark since January and nearly double what economists had projected. Not everyone is celebrating,
though, that kind of upswing is more than the Fed bargained for as they try to cool inflation. Let's bring in CNN's Richard Quest who is live for us in
New York. Richard, it is wonderful to have you on the program.
RICHARD QUEST, CNN ANCHOR, QUEST MEANS BUSINESS: Thank you.
HUNT: I'm so honored to be part of the network that you've been a big leader for so long. And I'm thrilled to have you here to talk to you.
QUEST: -- yes.
HUNT: Let's talk a little bit about what this really means because the markets were not exactly celebrating when this news hit.
QUEST: No, because it really goes to the core, has the Fed done enough to bring inflation down to 2 percent? And today's number sort of says, no, you
haven't really, oh, you can fudge it and move it and look into this and the other. But the reality is, the mark, the economy is still running,
particularly on the jobs front, too hot.
And the unpalatable truth is that the only way you cool the economy and bring down inflation is to jack up rates and slow things down.
HUNT: Right.
QUEST: And my guess is that any fed Governor looking at this says we have more work to do.
HUNT: Right. So I want to show you and all of our viewers something that Jamie Dimon who you will know, CEO of one of the biggest banks here and
somebody that the markets look to said, he said it a few days ago, since the beginning of October. But basically he's telling everybody to be
prepared for 7 percent interest rates, take a look.
QUEST: Be prepared for higher rates and slower growth.
HUNT: Seven percent. Are we really going there? And how is that
QUEST: Well, I don't know when I said 5 percent, they said, are we going there? Yes, it's possible. You know, when I talk to my board, I say yes.
Can it go to 7 percent? The answer's yes. Are there factors that would drive it, you know, higher than, you know where it is today? You know, four
and a half, four, six, to four, seven to a 10 year bond now. Yes. Is supply and demand could push it? Yes. I'm just saying be prepared for it.
HUNT: What do you make on average?
QUEST: Right. Well, the important thing to talk about, he's not necessarily talking about the Fed funds rate going to 7 percent. He's talking about all
these other rates, the 10 year bond, the 30 year bond, because that is the relationship to your actual mortgage or your car loan at the lower end.
And so that's why I think 7 percent I would, I think it's highly unlikely that the Fed funds rate will go anywhere near 7 percent. But I think it's
entirely. Well, Jamie Dimon used the phrase possible; it's possible that we could hit rates at 7 percent.
But Kasie, the real issue here or the difficulty, the challenge is that there's an entire generation of people in this country and elsewhere, who
have no experience of rates beyond zero and 1 percent.
HUNT: Yes. I would be one of those people, Richard, I think because, you know, I snuck into the job market right before the Great Recession of 2008.
QUEST: And therefore, you have watched rates tank, you then saw them tickle up a bit, just in that medium term before COVID. And now they came back
again. But the norm, of course, is four, two, three 4 percent. I think it's highly unlikely that we will get to seven, eight, nine percent. There would
have to be something dramatically wrong with the economy before we were in terms of growth, before we will get to those sorts of levels. I do think
this longer for hire is the norm.
HUNT: All right. Richard Quest, thank you for that cheerful assessment in New York.
QUEST: Sorry.
HUNT: It's all right. I really appreciate you being here, sir. Come back soon. We're going to get back to our new our panel now, to talk a little
bit more about this because Ashley, so this is something that that the Biden team is running on, right. They're calling it they're using the
phrase Bidenomics. They're embracing it.
I think Republicans are turning around trying to use it against them. Because there is this dichotomy where you get these great numbers in the
labor market, but people don't seem to really be feeling it at home. People have a lot of economic anxiety. Why is that? And how do you think Democrats
address it?
ETIENNE: Well, I mean, you're absolutely right, that the president is going to run on his record. I mean, in his exceptional we've outpaced
expectations today with the job, job numbers. But also 13 million jobs created record unemployment, you know, and inflation is going down. So it's
a strong record to run on.
It's a great day relative in terms of the economy, our economy stronger than any other nation relative to any other nation. So that record is good.
Here's why I think it's not really sticking is because when we're talking about inflation is cooling, prices are not going down. I mean, like, gas is
still at 450 I mean, bread is still ridiculously high. Right and I make a reasonable one when I say if I --
HUNT: Everyone sitting at this table is wealthy, life standards.
ETIENNE: Absolutely.
HUNT: That most of -- fund those people.
ETIENNE: Absolutely. And still finding it hard but here's the thing it's what he's got to run on and it's strong, and I think he should. And just to
go back to Jamie Dimon, Jamie Dimon predicted that we'd be in a recession at this point and we're not.
[11:35:00]
You know, so I think the other thing is, is we learned some lessons from Donald Trump. You know, I think this is kind of provocative to say.
HUNT: Go ahead.
ETIENNE: Donald Trump is by far the best and most effective communicator I've seen in politics in my lifetime. I mean, incredibly right. He said
there was no such thing as fake news. You know, when he showed up on the scene, 20 percent of Americans believe that now 60 percent of Americans
believe that to be the game.
HUNT: And let's look at the number of Americans who think the election was stolen.
ETIENNE: Absolutely. So here's the key is we have to start telling people that the economy is doing well. We have not just from you, Kasie, I mean,
but the democratic apparatus has to continue to lean in, that the economy is doing strong, not just here, but relative to the rest of the world.
HUNT: Doug?
HEYE: The problem is you're trying then to convince people of something that they don't see.
ETIENNE: But it's real though unlike what Trump said.
HEYE: What's real to them is, when we're done, I'm going to go buy a sandwich, and that sandwich is going to cost me $15, that same sandwich at
the same place, it's great pastrami on rye cost $8 before COVID. And you know, what the interest rates, we see that people aren't buying cars, they
aren't buying homes, those big ticket things they can't afford, because of the interest rate. That's real life to them every day.
ETIENNE: Absolutely.
HUNT: Laura?
BARRON-LOPEZ: Yes, I think that look, the president, one thing, Democrats are frustrated by at least the ones I talked to you I don't know, if you
are actually. But about that they think the president could be out there more in a campaign capacity at this stage, which is right now, he's going
out there, and he's giving economic speeches, but in his presidential capacity.
He and the vice president are not necessarily going out there to campaign yet. And the campaign says that they won't be until early next year. And
so, that I think is part of potentially the messaging problem when trying to really communicate, look at all these jobs that everyone has wage growth
did go up, it cooled in this latest report, but it has gone up. And that is taking credit for it over and over again, which they haven't fully done.
HUNT: It's a really interesting point that you bring up. And Ashley, I kind of I'm interested to hear you to hear you answer Laura's question, because
I will say I've talked to Democrats who are kind of on the ground looking at this kind of thing. And they see Donald Trump moving up on Joe Biden, in
their private polling and a lot of its economic.
And they are confused as to why the White House is like, yes, we don't really need to put him out until March because that's when the general
election is really going to start, like what do you say to those critics?
ETIENNE: Well, I mean, I think the reality is the president can't do it alone. There's a huge democratic apparatus from the House to the Senate, to
the D, Triple C to the D and C.
HUNT: I mean are they making the right call keeping him out of it until March or early next year?
ETIENNE: No, I think the better call, though, is to put some resources behind this messaging, right.
HUNT: OK.
ETIENNE: If you're fundraising are off the charts, put some ads all over the place, especially in place where we're seeing the economy --
BARRON-LOPEZ: Gets out there.
ETIENNE: Yes, that's what I mean by Democratic apparatus has to get out there serving -- . But what I'm saying is resources, meaning ads, put ads
on television, put them in my feed, put them on the radio, so people can hear the message, not just from the president, but you need to circle them
with a message. And that's what I think is not being done yet. And where there's a lot of opportunity for the party.
HUNT: Do you think that works? I mean, I think the challenge, you know, the thing you mentioned Trump being a communicator, right? And he often says
things that aren't true, but that are easy for people to believe.
ETIENNE: Sure.
HUNT: Right. Like, do we think that the economic message that Democrats have, even though it is true is an easy one to believe?
HEYE: No, because it's mixed with inflation. But also, there's another reason that Joe Biden is not out there all the time. And that he can't be
if we're honest about that, if the number one thing that we hear and when it's not inflation, is about Joe Biden. That's the number one talks of
people.
HUNT: Talks in Doug's defense. The polls show that he is correct.
HEYE: Talk to a voter outside of Washington, DC, and the first thing they say about Joe Biden is his age, Republican Democrat independence. So that's
why he's not out there. Every time he's out there regardless of his message. He doesn't look great. Kamala is not popular either, right. This
is a real problem for this administration. They're not their own best advocates quite often.
HUNT: Which -- invokes, so you can go?
HEYE: Which was always invoked, so you can go?
ETIENNE: So which is why my argument is that you need to use a whole of democratic apparatus to really drive this message home, not just the
president, but I mean, on the on the age issue. You know, he's, I think what Donald Trump's three years younger, you know, unless -- as old.
HEYE: But Donald Trump is -- of energy. Joe Biden looks I watched.
ETIENNE: I thought Donald Trump just said he -- against Barack Obama recently, right? I mean, --
HUNT: Donald Trump is in everyone's age and show --
HEYE: It may be bad energy, but he's pure energy. And I watched Joe Biden speak earlier this week, and I thought, he really is sort of sleeping Joe.
That's not great.
BARRON-LOPEZ: I guess I just wonder if we've seen in the news a lot. CNN has reported some of this. All of these former generals that worked in the
Trump Administration, saying, Joe Biden is sharp; there's nothing to worry about. You can rest easy, and that they have great conversations and
meaningful and substantive, substantive conversations with him when they're talking to him.
So I guess I wonder is the campaign is Biden's campaign going to try to in any way shape or form push that out there, because those generals would
have a very different story about former president Donald Trump.
[11:40:00]
HUNT: Yes, we'll see they typically hesitate to get involved in politics. But there we are. Alright, thank you guys very much. Just ahead here on
"State of the Race", I'm going to talk with U.S. Congressman Larry Bouchard of Indiana as he weighs in on the race for Speaker.
(COMMERCIAL BREAK)
HUNT: All right, we're back now to the continuing story of dysfunction in the U.S. House and the battle for the speakership. Congressman Jim Jordan
of Ohio who just got a surprise endorsement from former President Donald Trump and House Majority Steve Scalise, the two top candidates here.
Joining me now to discuss is Republican House Representative Larry Bucshon from Indiana. Congressman, thank you so much for being here.
REP. LARRY BUCSHON (R-IN): Well, thanks for having me. I appreciate it.
HUNT: Yes, and so we have a lot to talk about today. Let's start big picture basics before we dig in. Have you, do you feel ready to say you're
going to support Jim Jordan or Steve Scalise for speaker?
BUCSHON: Yes, I've endorsed Majority Leader Steve Scalise. I think he'd be a great speaker, although I know Representative Jordan very well, he would
also be a great speaker. So I have confidence in both of our candidates. I think we're going to have a good forum next week amongst House Republicans
and pick our candidate for speaker.
HUNT: Does what former President Trump had to say his endorsement of Jim Jordan, did it make you consider changing your mind?
BUCSHON: No, I think this is a case that should be made amongst House Republicans. And so, you know, outside opinions like the presidents I
respect, however, I've known Steve Scalise for a long time, I've known Jim Jordan for a long time. And ultimately the decision will be made by House
Republicans, including myself.
And I think both candidates are trying to make their case for why they're the best suited to be the next Speaker of the House.
HUNT: So we learned today that Fox News had plan to hold a televised they're referring to it as a joint interview involving Scalise, Jordan and
Kevin Hern of Oklahoma, someone who's been discussed as a possible candidate but hasn't announced a run for speaker.
[11:45:00]
Do you think it would be wise for these candidates to participate in that interview before they have a chance to talk to Republicans behind closed
doors?
BUCSHON: No, I don't think it would be the right thing to do. And I think all of the potential participants are saying that now to House Republicans,
I, I understand why Fox News wants to have a forum. But we need to have a forum amongst ourselves on Tuesday first, before we go having any debate
public debates about who should be the next speaker.
So I think it's not a great idea. I think most of the candidates are probably not going to participate on an in a live debate on TV before they
talk to House Republicans on Tuesday.
HUNT: Would you have a problem with the forum going forward if it happens after that closed door meeting?
BUCSHON: Well, potentially, I mean, I think that will ultimately be up to the candidates, I think they can make their case to House Republicans
first, and then see where this goes. But ultimately, it's up to them. I'd prefer to keep it in house, honestly. And let's have a family discussion
within House Republicans.
Let's pick our speaker candidate, go to the House floor, and then unanimously, have House Republicans pick our speaker. And I think that next
speaker will do a tremendous job. Moving forward, I'm looking forward to that vote.
HUNT: Do you? Do you think would you or would you rather, are you considering asking the person that you support to change the rules around
the motion to vacate? Do you think one person should be able to demand that the speaker be vacate, be kicked out of his job the way that Kevin McCarthy
was?
BUCSHON: I don't actually; I do think the house rules are going to have to be changed. And we're having that discussion amongst Republicans. I think,
you know, that will take 218 votes of Republicans to change the rules. We're in the majority. And we set the initial rules.
But I think there's a groundswell of support, even amongst the people who voted to remove Speaker McCarthy on the House floor, that we should change
the rules and not make it so that one person can bring up a vacate vote. So I think I think that will happen. I think, I think there's going to be a,
you know, a family discussion, probably on Tuesday, and we'll move forward from there.
HUNT: Do you think that Matt Gaetz should remain a member of the Republican conference because there has been an effort by some to try and push them
out?
BUCSHON: You know, I don't think you can push people out of the Republican conference, because you disagree with him, even though this was a pretty
big disagreement. And I think that, you know, he has to be accountable to the constituents he represents in Florida. And, you know, somebody said the
other day that if we were going to kick people out of conference for big disagreements, we'd be doing this on a daily basis.
So --
HUNT: Well, but in fairness, I mean, no one has ever kicked a speaker out before, this has never happened in American history. So this is unique from
the other day to day disagreements.
BUCSHON: Yes, I would agree. I would agree with that. But I still think that, you know, we'll have that internal discussion, but at the end of the
day, we'll see where it goes. But you know there are some people pushing for that. I think we need to really proceed with caution.
And, you know, Matt needs to rejuvenate himself within the House Republicans and see where we go from here. But I just don't think it's a
great idea at this point. But, you know, that's not my decision. That's the decision of the House Republican Conference.
HUNT: Do you get the sense that the former House Speaker Kevin McCarthy is putting his thumb on the scale in this race? Is he or his allies
encouraging people to endorse either Jim Jordan or Steve Scalise at this point?
BUCSHON: You know, honestly, I have no idea. I haven't heard that. And I couldn't comment on it because I don't know if that's the case or not, I
really haven't heard anything. And of course, we hear all kinds of things, rumors out there as it relates to these types of leadership races.
But I really can't comment on that, because I just don't know whether or not there's any truth to that at all. It's even if it's just a rumor.
HUNT: All right. That's fair enough.
BUCSHON: Yes, I really can't say.
HUNT: You are in the closed door room. So I just want, I'm just curious if you maybe had heard something. My last question to you, do you think that
this, that if Jim Jordan who has been backed by Donald Trump and we know that many in the republican conference often have not wanted to buck Donald
Trump, especially in public?
If this leads to Jim Jordan becoming Speaker of the House, do you think Jim Jordan speakership in dangers, the House Republican majority?
BUCSHON: No, I don't, in fact, just the opposite, I think, you know, Jim Jordan has proven himself now. Since I've been in Congress, I first met Jim
Jordan when I got elected back in 2010, and came to the House Republican conference in January of 2011.
So I think there's a lot of confidence amongst the American people that people like Jim Jordan can lead the conservative policies that go forward I
mean, for the country. I think it depends on the district right. And it depends on the individual member and who the candidates are.
[11:50:00]
But no, I think in fact that Jim Jordan would be a great house speaker, as would Steve Scalise. And I don't think it endangers the majority at all. In
fact, I think it probably bolsters our chances.
HUNT: All right, Congressman Larry Bucshon from Indiana. Excuse me. Thank you so much for your time today.
BUCSHON: Thank you.
HUNT: All right. The battle in the house is top of mind for so many in U.S. politics, including one time presidential candidate Hillary Clinton. CNN's
Chief International Anchor, Christiane Amanpour spoke exclusively with the former Secretary of State, here's a preview of her interview.
(BEGIN VIDEO CLIP)
CHRISTIANE AMANPOUR, CNN CORRESPONDENT: So should the Democrats have saved him so to speak, should they have voted to keep him in?
HILLARY CLINTON, FORMER U.S. SECRETARY OF STATE: You know that was a very tough call for the Democratic caucus. But the problem was for them, as I
understand it; he was totally untrustworthy by any measure. He immediately after they did help him, keep the government open, as you know, began to
blame them for all kinds of, you know, extraneous matters.
And at some point, a leader who has lost all credibility in dealing with the opposition, where you want to have an open line of communication, you
want to be able to trust his word is going to, you know, ask for their help and not get it.
AMANPOUR: It said that the main contenders for his position are Jim Jordan, who you know very well from Benghazi.
CLINTON: Well, I don't know him well. I watched him and, you know, stared at him for 11 hours while they made stuff up about me. So I don't know him.
But I've seen him in action.
AMANPOUR: So what would it mean if he gets the speakership?
CLINTON: Well, I mean, he is one of the principal ringleaders of the circus that's been created in the Republican Party for the last several years. I
have no inside knowledge about what the Republicans will do, who they will end up voting for.
But when do they put the country first, they do not represent a majority of even the Republican Party when you look at the extremists in the house,
they certainly don't represent a majority of the country. And, you know, somebody has to stand up and say, enough, you know, we can have
disagreements. I'm all for that. I was in the Senate for eight years.
I work with a lot of Republicans and you know, oppose them when I didn't agree. But at some point, there needs to be a backlash against the control
that this small group of extremists have. And I don't know who will lead that but let's hope whoever becomes the new speaker will.
(END VIDEO CLIP)
HUNT: Christiane Amanpour's full interview with Hillary Clinton airs Monday on Amanpour, right here on CNN. We'll be right back.
(COMMERCIAL BREAK)
HUNT: Welcome back to "State of the Race". My panel rejoins me now. Before we go, we always want to ask them for one more thing on the campaign trail
or in Washington that they're watching for in the coming days. 30 seconds Doug, hi, what are you looking for?
HEYE: Your one truism in politics and staff should never be the story. We've learned today that the number two person who's now out at the Trump
campaign was at the Capitol on January 6, and told police officers that they should go hang themselves. This is infected throughout the Trump
campaign.
We've seen it obviously from the president himself. It goes all the way down, and we're going to see more of this as his campaign builds up.
HUTN: Yes, I mean, those officers were I mean, they protected me on January 6, so I'll leave it at that. Ashley?
ETIENNE: I raised the question that you raise. Where are the Republican centers, where are the moderates? There's no more Peter Kings in the
conference any longer. What happens? How did they assert themselves in the next week? That's what I'm looking at right now.
They've been very silent, but they need to become more vocal. The reality is, is if you're going to govern, the only way to do it is in a bipartisan
fashion. So where did they assert themselves? You know this my former boss, she used to provide room for them and elevate those moderates within the
party to keep the conference focused on winning.
[11:55:00]
If they lose their seats, you lose the house. That's got to be the paramount. So I'm just curious to see how they're going to serve
themselves. And the speaker race over the next week.
HUNT: Yes, me too. That's a good one. Laura?
BARRON-LOPEZ Mine, similar to Doug and that Donald Trump, the GOP front runner said this week that, "Migrants are poisoning the blood of our
country". And I spoke to a number of historians, I checked with them. They said that this echoes Nazi propaganda and Adolf Hitler's words himself,
when he wrote that Jews were, "Blood poisoning Germany". And again, I think we can expect to see much more of this as the campaign trial.
HUNT: Yes, I know. And to that point, I am looking to see what the Biden Administration, how they're going to evolve on this question of how they're
handling immigration policy, because we are seeing Donald Trump use more aggressive rhetoric. We are also seeing the Biden Administration take some
notable shifts as democratic governors in blue states and cities are raising questions about migration.
Alright, thank you all for being here today. I'm Kasie Hunt, that's "State of the Race" for today, Friday, October 6. You can always follow me on
Instagram and the platform formerly known as Twitter. Don't go anywhere. "One World" is up next.
(COMMERCIAL BREAK)
END
