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The Story Is with Elex Michaelson

U.S.-Iran Ceasefire on Shaky Ground Days Away from Talks; Iranians React to U.S.-Iran Two-Week Ceasefire Deal; Strait of Hormuz Uncertainty Tests Shaky Truce. U.S.-Iran Ceasefire on Shaky Ground Days Before Talks; Tackling the Crisis of Unhoused Veterans in the U.S. Aired 12-1a ET

Aired April 09, 2026 - 00:00   ET

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


[00:00:05]

ELEX MICHAELSON, CNN ANCHOR: I'm Elex Michaelson. Welcome to THE STORY IS live from Los Angeles. Here's a look at what's making news.

(BEGIN VIDEOTAPE)

MICHAELSON: THE STORY IS fragile ceasefire. The push to keep the peace as a new day begins in Iran.

THE STORY IS game-changer. Strategist Mike Murphy here live with how the war is impacting President Trump's political standing.

And THE STORY IS homelessness. CNN's Jake Tapper in Los Angeles with Mayor Karen Bass. The focus, homeless vets.

(END VIDEOTAPE)

ANNOUNCER: Live from Los Angeles, THE STORY IS with Elex Michelson.

MICHAELSON: It is 9:00 p.m. here in Burbank. It is 7:00 a.m. in Beirut, where a National Day of Mourning is now underway after Israel carried out what it calls the largest coordinated strike on Lebanon since the war began.

More than 100 sites hit in just 10 minutes. You're looking at live pictures right now from that new day in Beirut. Nearly 200 people were killed, almost 900 others wounded, according to the Lebanese Health Ministry. Lebanon's prime minister says the victims were peaceful, unarmed civilians. The U.N. Human Rights chief calling the bombardment a horrific amount of carnage that defies belief.

All of it came despite the fragile ceasefire with Iran. The U.S. and Israel insist the truce does not include Lebanon, but Iran says it does. A few hours ago came word that the Iranian proxy militia, Hezbollah, is now firing back at Israel for the first time since that ceasefire deal was reached. Iran says the attacks on Lebanon are a ceasefire violation, and that shipping through the Strait of Hormuz has now come to a stop.

Iran's parliament speaker is also accusing the U.S. of violating the agreement by failing to halt those strikes on Lebanon. The vice president of the United States, J.D. Vance, is dismissing that claim and says that negotiations are still progressing. He is set to lead a negotiating team for talks this weekend in Pakistan. He spoke about the proposals they've seen coming out of Iran.

(BEGIN VIDEO CLIP)

J.D. VANCE, VICE PRESIDENT OF THE UNITED STATES: There are three different 10-point proposals at least that I've seen floating around. The first 10-point proposal was something that was submitted, and we think, frankly, it was probably written by ChatGPT that was submitted to Steve Witkoff and Jared Kushner. That immediately went in the garbage and was rejected. There was a second 10-point proposal that was much more reasonable that was based on some back and forth between us, between the Pakistanis and the Iranians.

That is the 10-point proposal that the president was referencing in his Truth yesterday. And then, frankly, I've seen a third 10-point proposal that's even more maximalist than the first 10-point proposal that's been floating around various social media channels.

(END VIDEO CLIP)

MICHAELSON: So President Trump appears to be up late again. He just posted on Truth Social minutes ago, right around midnight Eastern, and he says, quote, "All U.S. ships, aircraft and military personnel with additional ammunition, weaponry and anything else that is appropriate and necessary for the lethal prosecution and destruction of an already substantially degraded enemy will remain in place in and around Iran until such a time as the real agreement reached is fully complied with.

"If for any reason it's not, which is highly unlikely, then the shooting starts bigger and better and stronger than anyone has ever seen before. It was agreed a long time ago and despite all the fake rhetoric to the contrary, no nuclear weapons and the Strait of Hormuz will be open and safe. In the meantime, our great military is loading up and resting. Looking forward actually to its next conquest." That's an interesting word choice. "America is back."

CNN's Ivan Watson is following the developments again for us right now.

Ivan, let's start with what is happening in Lebanon.

IVAN WATSON, CNN SENIOR INTERNATIONAL CORRESPONDENT: Right. Well, as you pointed out, the Lebanese prime minister has declared a National Day of Mourning after the single deadliest day of this round of hostilities. Hours after Iran and the U.S. had announced that they'd agreed to a two-week ceasefire, Israel carried out a massive bombardment, in the Israeli military's own words, the largest of this month-plus long conflict, hitting what it described as 100 targets that it claimed were military control centers of Hezbollah, and without really offering any evidence to back it up. And this is what it looked and felt like for civilian residents of the Lebanese capital. (BEGIN VIDEO CLIP)

RASHA FARRAN, RESIDENT OF DAMAGED BUILDING (through translator): We were sitting on the balcony when we heard three very loud booms, more than just a sonic boom. And then all of the smoke started coming into the house. That's when we knew it was a strike. A major strike.

ALI ISMAIL, OWNER OF DAMAGED STORE (through translator): We went outside and found them bringing down injured children, an elderly man and an elderly woman.

(END VIDEO CLIP)

[00:05:06]

WATSON: At least 182 people were killed, according to the Lebanese Ministry of Public Health. More than 890 wounded. There were calls from hospitals for donations of blood. The number of casualties was so massive. This is in downtown Beirut, just one of the areas that was bombed by the Israelis, who, again, argued that they had been targeting the Hezbollah militia.

But apparently one of the people who is narrowly missed was Belgium's foreign minister, who was visiting Beirut. And as he pointed out in this statement, he was going to commend the Lebanese president for being open to conducting possible ceasefire talks with Israel. And instead, he writes, "Israel launched, with no previous warning, one of the most massive strikes since the beginning of the hostilities, allegedly causing hundreds of civilian victims. We were at the embassy with my delegation, just a few hundred meters from where the missile struck. This must stop. The ceasefire between the U.S., Israel and Iran must include Lebanon."

Since this absolutely deadly day, you've had other countries, governments like Spain, Qatar, Turkey, France, the U.N. secretary general all condemning what they call is a violation of the ceasefire and the Israeli attacks. Meanwhile, the Trump administration is standing by its Israeli ally. Look -- listen to what the U.S. Vice President Vance had to say.

(BEGIN VIDEO CLIP)

VANCE: I think this comes from a legitimate misunderstanding. I think the Iranians thought that the ceasefire included Lebanon and it just didn't. The Israelis, as I understand it, again, I'm supposed to get a full report when I get on the plane, have actually offered to be frankly to check themselves a little bit in Lebanon because they want to make sure that our negotiation is successful.

(END VIDEO CLIP)

WATSON: The Iranian backed militia Hezbollah said that it had fired rockets overnight into Israel in retaliation for this day of deadly bombardment. Before the 182 people were killed on Wednesday, the death toll in Lebanon stood at 1,739 people killed, nearly 6,000 wounded, and among those killed by the Israeli bombardment were at least 130 children, Elex.

MICHAELSON: And Ivan, you know, is the Strait of Hormuz open, or is it not? Because we're getting conflicting reports? What's the real deal?

WATSON: Sure. Let's take a look first at a 24-hour timelapse of the ship tracking, and you'll see just how little traffic is moving through the Strait of Hormuz in the hours since the ceasefire was announced. And recall that it was supposed to call for reopening of commercial shipping. Then add to that the fact that a number of Iranian officials have accused Israel of violating the ceasefire. They claim that the ceasefire included Lebanon.

Also, the Pakistani prime minister, Pakistan, a key mediator of the ceasefire in the initial announcement, said that it would include Lebanon as well. The Islamic Revolutionary Guard Corps of Iran, the military, has announced that it is putting a pause to commercial shipping through the Strait of Hormuz due to what it claims is Israel's violation of the ceasefire, and that it only allowed two Iranian oil tankers, as well as a Chinese ship, to pass through at this time.

And I'll point out one final note. Iran's foreign minister issued a statement. He said that the terms of the ceasefire are clear and explicit. The U.S. must choose ceasefire or continued war via Israel. It cannot have both. Let's see what happens.

MICHAELSON: Ivan Watson, thank you for that. We will check back in with you in a little bit.

For now, though, let's bring into the conversation, Kim Ghattas, contributing editor with "The Financial Times," contributing writer at "The Atlantic" and author of "Black Wave: Saudi Arabia, Iran and the Rivalry that Unraveled the Middle East."

Welcome to the show. Thanks for being with us. I want to start just with the breaking news, actually, that we just got, this post from President Trump, describing the military as resting, looking forward actually to its next conquest. What do you make of that word, conquest?

KIM GHATTAS, AUTHOR, "BLACK WAVE": Well, we do know that not only is the American military keeping all its assets in place in the Middle East, but also that more U.S. military are being deployed to the region, including Marines, and they are due to arrive within a couple of weeks.

[00:10:02]

So from the get go, to me, the ceasefire agreement that happened yesterday seemed to me more like a reprieve, which everybody was eager to have for different reasons. And we'll have to see whether the negotiations, which are going to take place in Islamabad this weekend, will actually lead anywhere. The Vice President J.D. Vance will be there. There will be Iranian counterparts. But, again, from the get go, the gap was so big between even the statements about the ceasefire. You know, President Trump saying that Iran had agreed to the immediate

and complete and safe opening of the strait, whereas the Iranians were still saying that it would be the passage of ships would be made possible via coordination with Iran's armed forces, and that there would be technical delays even. So that did not sound like a complete and full opening of the strait.

You could argue that President Trump is putting pressure ahead of the negotiations. But again, the gaps between the two sides are so big and the lack of trust is now so deep, deep seated between the two sides historically, but also more recently, of course, between the Trump administration and the Iranians that I would like to be optimistic about the ceasefire holding and leading to something more durable, but unfortunately, I think the reality is that there will most likely be a resumption of the war, or maybe not at the same intensity, but a resumption of the fighting in the coming weeks.

MICHAELSON: Meaning the fighting continues in maybe two weeks or less, or some argument to say the fighting never stopped, including what we're seeing in Lebanon right now.

GHATTAS: Absolutely.

MICHAELSON: I mean, I know you're Lebanese. You know a lot of people in that region that are there right now. What do you make of what is happening in Lebanon and why it's happening in Lebanon?

GHATTAS: There is a disagreement about something that was very clearly stated in the Pakistani prime minister's message about the ceasefire, which is that Lebanon was included in the ceasefire. And what I think happened is that this was the agreement initially that the United States surely must have agreed to this draft of the statement that the prime minister of Pakistan put out.

Benjamin Netanyahu is not happy with the ceasefire that the U.S. has reached, a temporary ceasefire, not a durable ceasefire, and not on conditions that Israel can agree to either. They don't feel that they have, quote-unquote, "finished the job," whatever, whatever that means. And so they decided to continue with some strikes. They consulted the Trump administration or perhaps didn't.

And now, the vice president is saying that, you know, it was never included. Those strikes against Beirut, 100 strikes in less than 10 minutes in a country that is the size of Connecticut, were devastating. It was a day of carnage. I have friends who were affected. Buildings of friends of mine that were targeted for no apparent reason. Parents of friends who were killed, unfortunately.

And I want to point out something since we're talking about ceasefires that don't hold, and that can lead to renewed, sustained fighting or continued breaches of ceasefire. It's important to remember that there was a ceasefire in place between Lebanon and Israel over the last year and a half since the end of the last war between the two sides, since November 2024. That ceasefire was never respected by Israel.

Israel will say that Lebanon did not do its job to disarm Hezbollah, Iran's proxy in Lebanon. But it's very important to clarify and to point out that Israel continued to strike Lebanon throughout that alleged ceasefire. And I fear that we are going to see this scenario repeated now with Iran.

MICHAELSON: Yes, that concept that even though it's called a ceasefire doesn't mean that the fire ceases.

Kim Ghattas, thank you so much for your excellent insights. Joining us live tonight from New Hampshire.

French President Emmanuel Macron has condemned what he described as Israel's indiscriminate strikes in Lebanon on Wednesday. He says that he told both the U.S. and Iranian presidents that Lebanon must be fully covered by the ceasefire agreement. Those comments came as President Trump met with NATO chief Mark Rutte at the White House.

The White House says NATO allies were, quote, "tested and failed" when they did not join the conflict in the way that President Trump wanted. The NATO chief Rutte says that he understand Trump's disappointment, but that many European nations helped in other ways.

President Trump, however, continued to lash out following that meeting. He posted this writing in all caps. "NATO wasn't there when we needed them, and they won't be there if we need them again. Remember Greenland, that big, poorly run piece of ice?"

[00:15:05]

The NATO chief spoke about the situation with CNN's Jake Tapper.

(BEGIN VIDEO CLIP)

MARK RUTTE, NATO SECRETARY GENERAL: NATO allies are with him when it comes to the aims of taking out, as I said, degrading the nuclear and the ballistic missile capacity of the Iranians. This was --

(CROSSTALK)

JAKE TAPPER, CNN ANCHOR: Yes, but you guys -- the Europeans wanted to do it through diplomatic means.

RUTTE: Yes, I know, but we run the risk that this would lead into the North Korea moment where you talk so long that at a certain moment, it's beyond the point where you can still get this done because then they would get their hands on the nuclear capacity, and that is basically a big risk for Europe. It is existential for Israel. It is existential for the Middle East. So the whole world is safer by this president degrading those capabilities.

TAPPER: But there are a lot of --

RUTTE: This is by many in Europe acknowledged and they understand that continuing talking to get this done would have brought us potentially past that moment where we can still deal with it.

(END VIDEO CLIP) MICHAELSON: That clip from "THE LEAD WITH JAKE TAPPER."

The U.S. and Iran are both portraying the two-week ceasefire agreement as a victory. For now, the deal means an end to relentless strikes that have killed hundreds of Iranians. But the impact of the ceasefire and the war will stretch far beyond weeks into years, and potentially generations.

CNN's Leila Gharagozlou spoke with civilians in Iran to get their perspective.

(BEGIN VIDEOTAPE)

UNIDENTIFIED MALE: As the war went on, we realized that this war is really against Iran and not in a benefit -- for the benefit of Iran.

LEILA GHARAGOZLOU, CNN PRODUCER: In the final hours of his own deadline, President Donald Trump announced a two-week ceasefire with Iran. CNN spoke to some Iranians who have mixed feelings. We aren't disclosing their identities for their safety.

UNIDENTIFIED MALE: I feel relieved that the escalation did not happen. That the people of Iran will not suffer. This war has brought the sort of unity that we didn't have at the beginning of the war.

GHARAGOZLOU: The unity for many Iranians comes from their ability to survive the U.S. and Israeli military operation.

UNIDENTIFIED MALE: It's a different feeling and atmosphere from the days right after the 12-day war. When I speak to people today, there's a sense of pride in the country that we too were able to survive this war.

GHARAGOZLOU (voice-over): After nearly a month of attacks and promises of regime change by the U.S. and opposition groups, some feel that the war made the Iranian government stronger.

UNIDENTIFIED FEMALE: I feel that we, the regular normal people, are the ultimate losers in this. Nothing has changed. Everything is worse. I hope at least we get some sanctions relief. How are we even going to move on?

GHARAGOZLOU: There's also skepticism about whether ceasefire will even hold.

UNIDENTIFIED MALE: I hope the ceasefire is genuine and not a pretext to get all the ships out of the Persian Gulf and Strait of Hormuz and then to rearm and restart. The fact that J.D. Vance is involved and Mr. Ghalibaf is involved gives me hope that this will be a very, very serious discussions, not like the waste of time the previous times the U.S. used as a pretext.

GHARAGOZLOU (voice-over): For others, the war continues, while still under the current rule.

UNIDENTIFIED FEMALE: Honestly, unless there are big changes they make, I think we'll keep protesting because even if they stay for now, they have to eventually go. This can't continue.

GHARAGOZLOU (voice-over): As a fragile peace looks to take hold, some Iranians hold out hopes about the new faces in Iran's government.

UNIDENTIFIED MALE: I hope that the new leadership in Iran, which are -- is a lot more in touch with the younger generation, a lot more in tune with what's going on in the world, more open to the idea of being part of the rest of the world and participating in the global economy.

(END VIDEOTAPE)

MICHAELSON: Astronauts aboard NASA's Artemis II mission are preparing to return to Earth on Friday. In a few hours, the crew and flight control teams will begin preparing the cabin and studying entry procedures ahead of the planned splashdown off the coast of San Diego.

The astronauts started their day on Wednesday more than 200,000 miles from Earth, and more than 83,000 miles from the moon. As they make their way home, they reflect on how this mission has changed them.

(BEGIN VIDEO CLIP)

JEREMY HANSEN, CANADIAN SPACE AGENCY ASTRONAUT: We have seen just some extraordinary things, things that I thought we might see. They looked similar to what I thought they might look like and other things that I just had never even imagined. And those were different perspectives that we saw these things from. But I have to say, it hasn't changed my perspective or the perspective that I launched with.

The perspective I launched with was that we live on a fragile planet, in the vacuum and the void of space. We know this from science. We're very fortunate to live on Planet Earth.

(END VIDEO CLIP)

MICHAELSON: Friday evening, I'll be reporting live from San Diego for a special coverage as the crew splashes down and we'll have a special edition of THE STORY IS from there Friday night as well.

[00:20:10]

But coming up tonight, oil prices are fluctuating again and the fragile ceasefire between the U.S. and Iran. But Tehran is reportedly still holding oil shipments hostage in a key waterway near its shores. We'll talk your money, your gas prices next.

(COMMERCIAL BREAK)

MICHAELSON: Uncertainty in the Strait of Hormuz is putting the shaky ceasefire between the U.S. and Iran to the test. Earlier reports showed traffic starting to resume through the waterway that carries the one-fifth of the world's oil.

[00:25:03]

But Iran's Islamic Revolutionary Guard Corps later said shipping was stopped again, blaming Israel's continued military operations in Lebanon. The White House says it's a case of Iran saying one thing publicly, but doing another. And U.S. Vice President J.D. Vance says the ceasefire will end if the strait is not reopened.

Kristie Lu Stout is following this, and she joins us live from Hong Kong with the latest.

Kristie, when we talked to you yesterday, it was all about this global rally. Good news. Where are we at now?

KRISTIE LU STOUT, CNN CORRESPONDENT: Elex, after all the euphoria on Wednesday, it appears that reality is starting to sink in. If you look at the Asian markets, you'll see that they are trading lower, that after global markets on Wednesday soared. Investors had been riding high on the hopes of optimism, you know, optimism for a ceasefire. But that ceasefire has proven to be fragile.

It's also proven to be tested, with Iran saying that it has stopped transits through the vital Strait of Hormuz after what it calls a ceasefire violation by Israel and Lebanon. And there you have it. Take a look at the Asian trading day right now. On Wednesday the standouts in the region were the Seoul KOSPI, were the Japanese Nikkei, we're seeing losses there. The Nikkei down about nine-tenths of 1 percent. The Seoul KOSPI losing 1.62 percent.

The S&P/ASX 200 in Australia down two-tenths of 1 percent. And here in Hong Kong, the Hang Seng losing about a third of 1 percent. We're also keeping an eye on the price of oil. At my last check, it is on the rise. As you recall on Wednesday, oil fell to a five-year low, but the price of crude and the global benchmark index of crude is on the rise. And if we look at gas prices at the pump in the United States, we bring up the latest read from AAA. It's saying this, gas at the pump is currently at $4.16 a gallon.

All eyes right now are on the vital Strait of Hormuz, through which, before the war, some 20 percent of the world's energy would flow through in. And about 80 percent of that would head through here right in the region. But then we're hearing from Iran that they are stopping transits through this vital strait after what it reported as a ceasefire violation by Israel in Lebanon. So the entire shipping industry is on alert.

They say that they want answers and clarity in regards to the overall security situation, and also in terms of the practical matter of how do you broker a transit through the Strait of Hormuz during this very fragile two-week ceasefire? I've been speaking to experts in the shipping industry, and I want to share with you what I heard from Simon Kay. He's the global director of Reinsurance with North Standard.

This is a company that provides liability insurance for much of the world's shipping fleet. And he told me this, quote, "This is very much watch and wait. Each ship needs to get special dispensation to transit the strait. As a result of that, will there be a preference for Gulf States, U.S. ships or anyone else who backchannel through Tehran?" He adds, "and getting the ships out during a two-week period will be very difficult indeed."

And earlier this morning I was speaking to a Hong Kong based shipping CEO, and he told me he doesn't know who to pay bitcoin to. He has vessels still stuck in the Gulf. He says it's not like there's a public standard operating guideline about who to pay renminbi or crypto to. And after the ceasefire is announced, of course, we continue to monitor the marine traffic going through the Strait of Hormuz.

And as we've been reporting, Elex, as of Wednesday, according to Lloyd's List, only three vessels were tracked to make that crossing.

Back to you, Elex.

MICHAELSON: What a headline, Kristie. Essentially, I'm happy to pay the bribe, who do I give the money to? What else we'll do? We'll do the illegal stuff --

STOUT: Tell us who to pay the crypto to, because we don't know.

MICHAELSON: You? You? You? Who wants the money? Man, what a sad state of the world.

STOUT: But keep in mind, hundreds of vessels, hundreds of vessels are still stuck in the Gulf, with 20,000 seafarers still stranded.

MICHAELSON: Right.

STOUT: So, yes, there's ship owners, shipping CEOs across the world just waiting, saying, OK, you announced this. How is it going to work for us?

MICHAELSON: Well, and as you pointed out, these aren't speed boats. So this idea of two weeks may not be enough time for them because they move a lot slower than, you know, what you might see like out in the sea in Miami or something like that.

All right. Kristie Lu Stout, thank you.

STOUT: Exactly.

MICHAELSON: Thank you for your live reporting once again.

STOUT: Thank you.

MICHAELSON: So coming up, can anyone stop President Trump from doing whatever he wants in Iran? We're talking about the politics of all this, how this impacts Democrats, Republicans, the president, all of it. Mike Murphy, one of the smartest political minds out there, live on our set. And maybe we'll see about the smartest political. We'll be back with Mike right after this.

(COMMERCIAL BREAK)

ELEX MICHAELSON, CNN ANCHOR: Welcome back to THE STORY IS. I'm Elex Michaelson. Let's take a look at today's top stories. [00:34:20]

Israel is defending its ongoing operations in Lebanon and says it is not included in the Iran ceasefire. Lebanon's Health Ministry says nearly 200 people were killed, hundreds more wounded on Wednesday in what Israel is calling its largest coordinated strike since the war began.

The IDF says more than 100 sites were hit in just ten minutes.

Iran says the Strait of Hormuz is still closed, blaming Israel's military strikes in Lebanon. That announcement came after earlier reports showed traffic starting to resume in the strategic waterway.

The White House says President Trump will negotiate with Iran only if the strait is open.

Senate Democrats plan to force a vote next week to rein in President Trump's war powers. Keep in mind: three similar attempts have previously failed.

Top Senate Democrat Chuck Schumer says he informed the White House about he informed the White House about the upcoming vote after President Trump threatened to wipe out a, quote, "whole civilization."

He didn't do that. And that vote is going to fail again.

Let's talk about all this with Mike Murphy. He is the co-host of the "Hacks on Tap" podcast, co-director of the USC Center for the Political Future. A longtime Republican strategist, current independent, not a big fan of President Trump; hasn't been since the start.

Mike, welcome back to THE STORY IS. Great to see you.

MIKE MURPHY, REPUBLICAN STRATEGIST: It is good to be here, Elex. So, can I just, from the last segment, if some corrupt ship owners don't know who to send 2 million in crypto to: Mike Murphy. I'll be happy to take it. And I'll do what I can.

MICHAELSON: You'll take their money like a good consultant.

MURPHY: Absolutely, yes. Send it over.

MICHAELSON: Right on, baby. We don't always need results. Just send it here.

MURPHY: Right, right. We'll do our best. You know?

MICHAELSON: So that's -- that's the real spirit of "Hacks."

MURPHY: Couldn't believe that one.

MICHAELSON: So, let's talk about the politics of Iran.

MURPHY: Yes, absolutely. MICHAELSON: President Trump seems to be seeing his poll numbers go

down as -- the longer this war goes.

MURPHY: Yes, he's kind of in a vise, because when he was elected, he did it with kind of a deal with the American people, which is, look, we all know I'm kind of a jerk, but I can run the economy. Biden can't, Harris can't. So, give me a chance. And they bought it.

And so, what we've seen over the last six months, with the tariffs and inflation and everything, is his ratings on the economy are at the lowest they've ever been. He's down to about 32 percent of the people. So, that's really bad on the thing they elected him to do.

Then you add the war to this, a war of choice, not of necessity. People might argue it was necessary, but we chose to do it. He never really made a case for the war. And once it began, every couple of days, we got a different war aim: We need regime change. They're horrible people. We've got to get the thousand pounds of fissionable material you can make a nuclear bomb or several bombs out of. They have. We've got to take that back. We've got to take away their ability to attack their neighbors.

Well, here we are, 40 billion later. The regime is still in power. In fact, the new younger, maybe tougher guys are moving up, because we killed every -- or the Israelis.

MICHAELSON: We don't know that yet, but yes.

MURPHY: Yes, but you know, let's put it this way. The regime is still there. The nuclear material is still there. They can still lob 30,000 drones that we spend $4 million missiles to shoot down everywhere they want.

So, now there's a ceasefire from, you know, we're going to wipe out their civilization two days ago -- war crime. And now this. So, I just think it'll change tomorrow.

I think the political impact is people don't get it. They never heard an argument for this. And they can tell, because the president has this thing where he will say something, and I think he believes that makes it true, even though if its 180 degrees from two days ago. So, I think there's fatigue, confusion, and concern.

MICHAELSON: You've advised everybody. You've advised Republicans mostly. You've advised Democrats. You've advised independents. So, we want you to sort of give your -- your straightforward advice without the partisan spin --

MURPHY: Right, of course.

MICHAELSON: -- to -- to everybody. Let's start, though, with President Trump. You're advising President Trump --

MURPHY: Yes.

MICHAELSON: -- in his best interest. What's in his best interest to do politically now?

MURPHY: Well, the impractical thing is build a time machine and don't make this big mistake. But --

MICHAELSON: OK. Let's assume that doesn't happen.

MURPHY: Yes, that -- that probably doesn't work, unless Area 51 has something we don't know about.

MICHAELSON: Yes. Yes.

MURPHY: I would say declare victory. I mean, the ceasefire, even though there seems to be a lot of firing right now for a ceasefire --

MICHAELSON: Yes.

MURPHY: -- but if it can be worked out, the sooner he can have a strategic retreat out of this thing.

Because if he escalates, there's an old saying in security policy that, you know, we own the clock. They own the time. Because what are the Iranians going to lose? You know, there's not a lot more we can do without boots on the ground.

MICHAELSON: It's their country.

MURPHY: And politically. Yes.

MICHAELSON: Right.

MURPHY: And by the way, 90 million people, all mountainous. You know, the boots on the ground thing is a nightmare.

So, I would -- I would do what he's doing, which is retreat and declare victory. It's not a win, but it may make for a lesser loss.

MICHAELSON: Republicans going into the midterms. Your advice to Republicans in Congress?

MURPHY: I'm telling every member of Congress, the few that still talk to me is, when's your filing deadline for a primary? Because the minute that's past and you don't have somebody in an Uncle Sam suit running with Trump's support to kill you, run for the tall grass.

MICHAELSON: And what's the tall grass?

MURPHY: The tall grass is to get a little distance from the president, because otherwise you're -- you're -- you know, you may say the Atlantic is cold to swim in, but staying on the deck of the Titanic is not good either.

I mean, you see the special election we just had in Wisconsin. Democrats are running ten, 15 points above normal.

MICHAELSON: Yes.

MURPHY: So, there's a big wave coming and prepare for it.

MICHAELSON: Ten (UNINTELLIGIBLE), right?

MURPHY: Yes, yes. Well, Georgia and also the Wisconsin win on the Supreme Court races.

The Democrats have now won 13 or 14 specials in a row.

MICHAELSON: Yes.

MURPHY: So, if you're a member of Congress, you've got to prepare for an extremely tough environment coming, particularly on the economy. So, you develop your own argument.

[00:40:05]

MICHAELSON: And lastly, your advice to Democrats.

MURPHY: Put on an invisibility cloak and keep saying fire Trump on the economy. They don't -- voters don't need to hear where the voice is coming from.

Because if the Democrats make this a referendum on them, that is a huge win for Trump. And that's what the Trump campaign is desperately trying to do. They want to switch the topic. Referendum on Trump? Republican trouble. Referendum on Democrats? Trump comes back to life a little.

MICHAELSON: Democratic --

MURPHY: Yes.

MICHAELSON: -- social issues or other things that maybe don't poll well.

MURPHY: Yes. The Trump guys will do what the "R's" (ph) always did. They did back in my era, too.

Our first rule was when you're in a corner and losing, pick a culture war with the Democrats, and they will always fall for it. And Trump's going to try that next.

MICHAELSON: We'll see how disciplined both sides are.

MURPHY: Yes. And Democrats and discipline. We don't --

MICHAELSON: Well, President Trump, not exactly known for that either.

MURPHY: Right. Kind of a fair fight now.

MICHAELSON: Yes. All right. Mike Murphy, great to see you.

MURPHY: Thank you.

MICHAELSON: Check out "Hacks on Tap," one of my favorite podcasts out there. MURPHY: Oh, thanks.

MICHAELSON: You and David Axelrod, and Robert Gibbs, and Mike -- and John Heilemann and a whole cast of characters.

MURPHY: Axe and I are two old pols who are dear friends --

MICHAELSON: Yes.

MURPHY: -- despite fighting each other for 30 years. And we -- we kind of tell you what we think is really going on.

MICHAELSON: It's a great show. Thanks, Mike.

MURPHY: Thank you.

MICHAELSON: All right. Thousands of men and women who fought to protect the United States now need help. Just ahead, we'll meet military veterans who are struggling to find housing in one of America's biggest cities. Jake Tapper reports from here in Southern California and presses the mayor of Los Angeles, next.

(COMMERCIAL BREAK)

[00:46:10]

MICHAELSON: THE STORY IS homeless veterans in America. Many of the men and women who once served in uniform are now fighting for shelter at home.

More than 30,000 vets are currently homeless in the U.S. It's a crisis that plagues communities across the country.

CNNs Jake Tapper traveled here in Los Angeles, where Mayor Karen Bass says she's determined to end it.

(BEGIN VIDEOTAPE)

DAVID SINATRA, U.S. VETERAN: I didn't plan on being a homeless vet. Life just has a way of throwing things at you.

JAKE TAPPER, CNN ANCHOR (voice-over): That's David Sinatra, an army veteran who served in South Korea and Panama before life took an unexpected turn into homelessness.

SINATRA: I was living with my father in Pasadena in a two-bedroom, two-bath apartment, and then the news came that he was terminally ill.

I was also engaged at the time to be married to a beautiful woman named Cassandra Lynn. Cassandra died of a heart attack, and my dad, he passed away on my birthday. I knew I couldn't pay the rent by myself.

TAPPER (voice-over): Sinatra says the grief and emotional weight of losing his father and fiance just a few weeks apart, sent his life spiraling. SINATRA: That was a miserable time. People don't look at the homeless

the same way they look at other people. There's kind of a stigma attached to it.

TAPPER: They think, oh, that could never happen to me.

SINATRA: Yes.

TAPPER: Did you ever think that?

SINATRA: I never thought for a minute I'd be homeless.

TAPPER (voice-over): If you're curious about David Sinatra's last name. Yes, there's a connection to that famous other Sinatra, the one who was in the Rat Pack.

And for those wondering, because I've had a lot of people ask me, Frank Sinatra was my cousin.

TAPPER: Your grandfather was Frank Sinatra's cousin?

SINATRA: Yes. First cousin.

TAPPER: You've met Frank Sinatra?

SINATRA: Yes.

TAPPER: And he was at your grandfather's wedding?

SINATRA: He was best man at my grandparents' wedding.

TAPPER: That's incredible.

TAPPER (voice-over): According to the V.A., on any given night, more than 30,000 veterans experience homelessness across the United States, including approximately 3,000 in Los Angeles County alone.

SINATRA: This was my bed for over a year. I was miserable, but I had to do it. I used to look at my dog tags and say that I've come so far to go so low.

Now, life is good. I can't complain. I've got a roof over my head, thanks to the mayor and HACLA and all these developers that are working hard for us. It's great.

TAPPER (voice-over): Sinatra credits HACLA, the Housing Authority for the City of Los Angeles, as well as a new initiative from Mayor Karen Bass focused on housing homeless veterans with helping him find stability and dignity again.

I asked Mayor Bass about that outside the V.A. in West Los Angeles.

TAPPER: I know that the population of veterans who are homeless --

MAYOR KAREN BASS (D), LOS ANGELES: Right.

TAPPER: -- is just embarrassingly high in the United States, L.A. being no exception.

Here -- we're here in a V.A. center. There are some homes here for homeless veterans, and there's a new city initiative.

BASS: Right.

TAPPER: Right here on the side of this bus.

BASS: So, you know what? This is a perfect example. There's a lot of different categories of people who are unhoused. And this very street we're on, you know, several years ago, this street was lined. It was so sad. It was lined with American flags and tents. Veterans here. A couple of them even died on this street. And now they're moved inside.

TAPPER (voice-over): This is what this same street looked like just a few years ago. Dozens of tents lined up along the sidewalk, proudly displaying the flag, occupied by Americans who once bravely served their country.

BASS: The point of this program that we've launched is to let veterans know that we can house them now, and they can keep their health care. Veterans were hiding and choosing to be unhoused, because they were left with the choice.

[00:50:10]

TAPPER: Between health care and housing?

BASS: Yes. How crazy is that?

TAPPER: It sounds --

BASS: So, if you're a disabled veteran, we penalize you.

TAPPER: Sounds like Washington.

BASS: Exactly.

TAPPER (voice-over): This is the site of a new 53-unit affordable housing project for homeless veterans in West Los Angeles, expected to open later this year.

Mayor Bass's office says this is part of more than 6,000 units already underway, with tens of thousands more planned.

TAPPER: What does seeing a project like this mean?

SINATRA: It's inspiring. Homelessness with veterans was rampant, and it's great to see that we don't have any more tent cities in front of the V.A.

TAPPER: Tell me what you think about this program, what the mayor is doing here.

LUIS ORIHUELA, NAVY VETERAN: It's huge.

TAPPER (voice-over): That's Luis Oduola, another formerly homeless veteran who served in the Navy during Operation Desert Storm.

ORIHUELA: Whenever you lose your income ability, your earning ability, you feel like a failure as a -- as a -- as a provider, as a man.

The V.A. and health -- and HACLA helped me regain my self-identity and my being proud of myself, not ashamed of myself anymore.

I lived in a pickup truck. I lived in a vehicle. I would park on top of parking garages, because it's safer up high.

TAPPER (voice-over): Luis Orihuela and David Sinatra are among more than 750 veterans and their families the mayor's office says have been placed through the House Our Vets initiative.

But their stories are just a small part of a much larger crisis, with more than 70,000 people still experiencing homelessness in Los Angeles.

TAPPER: Tackling the incredibly challenging homelessness problem in L.A. is one of the reasons you ran in 2022.

BASS: That's right. That's right.

TAPPER: We checked in with you in 2024 when you were clearing out an encampment and bringing homeless people to these containers.

BASS: Mm-hm. That's right.

TAPPER: So where are we? Where is Los Angeles on tackling this problem?

BASS: Sure. Well, I -- I am glad to report, for the first time, we've actually had a decrease in homelessness. So, in the country, homelessness has increased 18 percent. Homelessness has decreased -- and I'm referring to encampments and street homelessness -- has decreased by about 18 percent.

TAPPER: Wow.

TAPPER (voice-over): Mayor Bass says progress is happening, but she acknowledges there is a lot more work to be done.

BASS: Part of this journey is not just getting people off the street, but it's transforming a very dysfunctional system that was put in place in a very, you know, unscientific manner over four decades and unraveling what the problems are and solving those problems.

Skid Row is still a huge problem, because we have thousands of people unhoused in a very small area. That is horrible. And we're working on that. But what you see around the city is far fewer encampments on streets like this.

TAPPER (voice-over): David Sinatra says for the first time in a long time, he's hopeful.

SINATRA: Got a lot of good friends that are still homeless, and they're struggling. They don't see any way out.

TAPPER: The mayor says she's going to end veteran homelessness in Los Angeles. Do you -- do you think she can do that?

SINATRA: I think she can. I'm seeing -- like I said, I'm seeing a lot of homeless vets get housed lately.

TAPPER: Yes.

SINATRA: So, it's -- the program's working.

TAPPER: Jake Tapper, CNN, Los Angeles.

(END VIDEOTAPE)

MICHAELSON: Our thanks to Jake. We'll be back with our top stories when THE STORY IS comes right back.

(COMMERCIAL BREAK)

[06:28:12]

(BEGIN VIDEO CLIP)

ROBERT F. KENNEDY JR., U.S. HEALTH AND HUMAN SERVICES SECRETARY: Now Americans have been told that we should trust the system, but our children are sicker, chronic diseases exploding, and the answers that we've been given aren't working. Many of us have come to the conclusion that government actually lies to us. I'm Robert F. Kennedy Jr., your HHS secretary. This podcast is about telling the truth, especially when it's uncomfortable.

(END VIDEO CLIP)

MICHAELSON: Health Secretary Robert F. Kennedy Jr. is launching a new podcast that he says will begin a new era of radical transparency in government. The series is set to launch next week. It will feature Kennedy, longtime activist, in conversation with doctors, scientists, and agency staff.

Critics say the show is another official channel to spread misinformation.

Next week, one lucky collector could nab this Pablo Picasso piece for just 100 euros. That's 116 bucks. The 1941 painting is worth $1.2 million, but it is being raffled off as part of a charity event to benefit France's largest Alzheimer's research foundation.

The disease affects more than 35 million people worldwide, and that number is expected to double every 20 years. In France, about 600 new cases are diagnosed every day.

Picasso's grandson spoke to CNN's Paula Newton about what this means to his family.

(BEGIN VIDEOTAPE) OLIVIER WIDMAIER PICASSO, GRANDSON OF PABLO PICASSO: -- people in a different way, which is more attractive, that, you know, the Alzheimer's disease is something that all of us will know one day for ourselves, for our siblings, family, or maybe with friends. And the research is not yet to the point to win the battle.

And the French Foundation against Alzheimer is working internationally with researchers and doctors to find solutions.

You know, my grandfather was a pioneer in many ways. He has totally changed the -- the work, the art of the 20th century. He has interest for different mediums --

(END VIDEOTAPE)