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The Story Is with Elex Michaelson
Trump Cancels Strikes, Touts New Deal with Iran; Mexico Triumph Over South Africa 2-0 in Opening Match; Trump Administration Pushes for More Drilling in California; Starmer Braces for By-Election Key to His Political Future; Pope Leo Focuses on Migrant Crisis in Canary Islands. Aired 12-1a ET
Aired June 12, 2026 - 00:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
BILL BRADLEY, FORMER NEW YORK KNICKS PLAYER: -- the same times.
[00:00:05]
LAURA COATES, CNN ANCHOR: Well, New Yorkers everywhere want to feel that taste, and they want to hear from you. I'm so glad you came. Bill Bradley, thank you.
BRADLEY: Thank you. I admire you so much and what you do. I really do.
COATES: Very sweet. I'm going to clip that and, like, send it to every New York Knick fan and just say, "See that?" Just saying. I'm a legit New Yorker now.
Bill Bradley, thank you so much.
BRADLEY: And you have my permission to do that.
COATES: Interview's over. We're done here. Thank you.
BRADLEY: Yay!
COATES: Thank you all for watching. THE STORY IS with Elex Michaelson is next.
ELEX MICHAELSON, CNN ANCHOR: I'm Elex Michaelson, live in Los Angeles. Welcome to THE STORY IS.
(BEGIN VIDEOTAPE)
MICHAELSON (voice-over): THE STORY IS President Trump teases a deal with Iran.
DONALD TRUMP, U.S. PRESIDENT: As soon as we sign, which could be soon. Very soon. Maybe over the weekend in Europe.
MICHAELSON (voice-over): But the Iranians say, not so fast.
THE STORY IS gas prices. I head to an oil platform off the California coast for an exclusive interview with two Trump cabinet members.
CHRIS WRIGHT, U.S. ENERGY SECRETARY: President Trump is for energy addition and energy dominance. Gavin Newsom is for energy, subtraction and energy submission.
MICHAELSON (voice-over): Secretary of Energy Chris Wright, Secretary of the Interior Doug Burgum.
THE STORY IS the World Cup is underway. Marcelo Balboa played on three U.S. World Cup teams. He's live in our studio.
(END VIDEOTAPE)
ANNOUNCER: Live from Los Angeles. THE STORY IS with Elex Michaelson
MICHAELSON: The top story is deal or no deal. That is the question everyone seems to be asking after President Trump declared we ended the war with Iran today.
The president spent the early part of the day threatening to hit Iran very hard tonight, even floating the possibility of taking over parts of the country's oil infrastructure.
Then, the president canceled the strikes. He now claims a deal could be signed as soon as this weekend to end the war and open up the Strait of Hormuz.
A spokesperson for Iran's Foreign Ministry told state-run media that reports of a finalized agreement are merely speculation, but that didn't stop the president from making this bold claim to a campaign tele rally.
(BEGIN VIDEO CLIP)
DONALD TRUMP, U.S. PRESIDENT (via phone): I don't know if you heard, but we ended the war with Iran today, and they have agreed never to have a nuclear weapon, something that we -- we insisted on. That was the whole purpose. That was the -- 95 percent of it. And they've done it in the most powerful way you can do it.
(END VIDEO CLIP)
MICHAELSON: CNN's Paula Hancocks following developments from Abu Dhabi. So, is any of that true that we just heard?
PAULA HANCOCKS, CNN INTERNATIONAL CORRESPONDENT: Well, Elex, here in the region, the first thing you do in the morning is pick up your phone and find out if it is war or peace.
We have been here before. We have heard the U.S. president claim that there has been a deal done, only for Tehran to throw doubt on it. So, it is a case of we have to wait and see.
What we're hearing from President Trump is that this is a final deal that has been agreed, not just between the U.S. and Iran, but also with Israel, the Gulf nations, who were very much affected by what has happened. And -- and Turkey, Egypt, Jordan, Pakistan, other countries involved, as well.
Now, what we've heard from a person familiar with this situation is that they believe what changed the situation and got through the last sticking points was the Qatari-Iran talks.
We know there was a Qatari delegation in Tehran that left Thursday morning, shortly after the -- the U.S. bombing finished. And they believe that they had narrowed some of the gaps when it came to how to talk about this future nuclear program and this deal, and how to -- to ease some of the financial restrictions on Tehran.
Of course, the problem is Tehran, at this point, has said that there isn't a deal that they haven't confirmed that there has been agreement.
We heard from the spokesperson of the Ministry of Foreign Affairs, and he says it's, quote, "merely speculation," that they haven't made a final decision yet.
He does, though, say that Qatar and -- and Pakistan are active as mediators, but again, blames the U.S. for moving the goalposts.
So, we've been in this situation before: a very definitive, positive tone from the U.S. president. Anything but from Tehran -- Elex.
MICHAELSON: Meanwhile, where -- where is Israel on all of this? Are they ready to end the war?
HANCOCKS: Well, certainly, from what we've seen, they -- they don't want to end the war in Lebanon. That's what we've been hearing from the Netanyahu administration.
[00:05:00]
Of course, we have also been hearing from the U.S. president that he calls the shots; that Israel will follow. We understand that President -- that Prime Minister Benjamin Netanyahu had a phone call with Trump after this -- this -- this announcement by him that the war was effectively ended.
And he said that he appreciates the final agreement will remove enriched uranium; will make sure there is no nuclear program; will make sure the missile production and program is limited; and the proxies would not be supported.
Now, of course, that goes a lot further than we have heard from the U.S. president. Many of those issues will be dealt with, not in this memorandum of agreement, but in the future discussions that are supposed to follow this memorandum.
We also understand from one source that Netanyahu was not even aware that this announcement was going to happen. In fact, Trump's Truth Social post happened as Netanyahu was in a security meeting, assuming that, potentially, this bombing that the U.S. president had -- had warned about was going to go ahead.
So, it certainly doesn't appear as though it has been a coordinated announcement by -- by President Trump and Prime Minister Netanyahu.
But publicly, at least, we're hearing from the prime minister's office that he is very appreciative of what President Trump has done and is, of course, hoping that the -- that the final agreement does include all those elements that I just mentioned -- Elex.
MICHAELSON: Of course, the start of this war had so much coordination between the U.S. and Israel. And interesting to see what
could -- could -- be the end of the war. We have to see.
Paula Hancocks for us in Abu Dhabi. Paula, thank you.
President Trump, meanwhile, has named his next pick to become the director of national intelligence. His name is Jim Clayton. He was the head of the Securities and Exchange Commission during Trump's first term. He's now a federal prosecutor in New York.
Trump says he still plans to make Bill Pulte the acting intelligence chief, despite bipartisan pushback on his lack of experience.
Pulte has also come under criticism for bringing criminal referrals against a number of the president's perceived political enemies.
U.S. authorities are investigating giant grass markings of the numbers 86-47 on the National Mall. Critics have used those numbers to signal opposition to President Trump, but his administration has interpreted that as a death threat.
The DOJ indicted former FBI Director James Comey in April for posting a picture on Instagram showing the numbers spelled out in seashells.
Footage from EarthCam shows 86-47 slowly appearing as, excuse me, dead grass on the National Mall over the course of a few days.
The U.S. Park Police say they have collected samples for testing.
Secretary of State Marco Rubio has compared the founding of the Ultimate Fighting Championship to the U.S. putting a man on the Moon.
Live pictures here of the White House, decked out to host a UFC fight on June 14. It's after midnight there, but quite a light show happening right now in Washington.
A news conference expected to be held on Friday at the Lincoln Memorial with UFC president and CEO Dana White, alongside fighter and podcast host Joe Rogan.
Rubio made the comparison during a speech at the State Department, after which he signed an agreement making the mixed martial arts company a tool for U.S. diplomacy.
In his speech, Rubio praised the UFC for its ability to unite people.
(BEGIN VIDEO CLIP)
MARCO RUBIO, U.S. SECRETARY OF STATE: When President Kennedy announced that we were going to put a man on the Moon and return him safely to the Earth, no one thought that was possible. And we did it. We are a nation founded on doing what no one else dared to do, and no
one else aspired to do. And at some level, that's what this whole company, what UFC has been.
(END VIDEO CLIP)
MICHAELSON: The World Cup is now officially underway and is about to be a party in the USA and Canada, when those two countries take the pitch in the coming day.
The Canadians will face off against Bosnia and Herzegovina in Toronto. But first, Canada will have an opening ceremony starring homegrown superstars Michael Buble and Alanis Morissette.
Later, Team USA will take on Paraguay. Both sides have been getting in some practice before the big showdown.
And the U.S. opening ceremony will feature Katy Perry, Future, and LISA in what's now being called Los Angeles Stadium. Sorry, SoFi, for all the money you've spent to have the naming rights there.
The world was watching Mexico City earlier as the host overcame South Africa in the opening match. Watch.
(BEGIN VIDEO CLIP)
(CHEERING)
(END VIDEO CLIP)
MICHAELSON: The crowd going wild after a Mexico goal. Thousands had gathered in the city's famous Zocalo Plaza. The Mexicans won the opener, two to nil.
The Mexican president, Claudia Sheinbaum, was the match cheering on the team.
CNN's Elizabeth Perez was in the stadium, and CNN's Valeria Leon was at the fan fest.
[00:10:05]
(BEGIN VIDEOTAPE)
ELIZABETH PEREZ, CNN CORRESPONDENT: Happy World Cup day from Mexico City, where the biggest soccer tournament has officially started, with the opening match between Mexico and South Africa.
A very special game, because it was a rematch of the 2010 World Cup opener in South Africa. The atmosphere inside and outside the stadium has been incredible. Shakira, Andrea Bocelli and J. Balvin perform at today's opening ceremony.
The first of three. The other two will be in Canada and the U.S. this Friday. And the World Cup is underway, and we will be following all the action. VALERIA LEON, CNN INTERNATIONAL CORRESPONDENT: Mexico City's iconic
Zocalo has transformed in this football temple. This is the largest of the tournament, big enough for 50,000 people.
Here, visitors from all over the world have brought their music, culture, traditions to celebrate this opening match, with thousands of Mexicans and, of course, tourists in this Mexico City.
(END VIDEOTAPE)
MICHAELSON: Joining me now live is the man known as the Iron Man of U.S. Men's national team. Marcelo Balboa played in three FIFA World Cups, including the last time the U.S. men hosted, back in 1994.
He's now an analyst for MLS on Apple TV. Marcelo, welcome to THE STORY IS for the first time.
MARCELO BALBOA, FORMER U.S. MEN'S SOCCER TEAM PLAYER: Thank you.
MICHAELSON: Here we are.
BALBOA: Here we go.
MICHAELSON: How does it feel? Like, it's starting?
BALBOA: Listen, it's about time. We wait every four years for this -- the biggest tournament in the world -- to see, maybe, a farewell of Messi and Ronaldo and maybe Neymar. But, you know, I think everybody is excited to have it for the second time.
MICHAELSON: Well, and -- and so you know.
Yes.
MICHAELSON: One of the very few people that know what it's like to play on the pitch representing Team USA in USA.
BALBOA: Yes.
MICHAELSON: What is that like? And how is it different? Because you've also played in World Cups that weren't here.
BALBOA: Listen, playing in a World Cup as a kid is a dream come true. That's something that most little kids who play soccer dream about.
But it's extra special when you get to play it in your own country because of the fact that it's -- it's 90,000 Americans.
I mean, in '94, soccer wasn't a huge sport yet. It was just starting to break out. But we saw guys, women, men: painted faces, painted bodies. And this is -- this is what we've been waiting for, for a long time.
MICHAELSON: Yes. We're looking at some pictures of you right now. An impressive mullet, by the way.
BALBOA: Thank you. I appreciate it.
MICHAELSON: It was really something
BALBOA: They made me put it in a ponytail.
MICHAELSON: We see other folks like Alexi Lalas in that picture right there.
BALBOA: Yes.
MICHAELSON: So, many household names that came from that particular tournament.
You guys all kind of got back together again.
BALBOA: Yes.
MICHAELSON: And got to visit with the U.S. team just last weekend.
BALBOA: Yes.
MICHAELSON: And spent time with the two of them. How do you size them up? What do you make of --
BALBOA: No, we don't size them up. We don't compare.
MICHAELSON: OK.
BALBOA: They're -- there's a different group.
MICHAELSON: No. But how do you -- how do you see them now? I mean, this --
BALBOA: Yes.
MICHAELSON: This was you guys on the field watching them in Chicago. What do you make of this current team? You know, the strengths, weaknesses, things to look for.
BALBOA: Strength is a team that goes forward. It's a team that's better when it's on the front foot. It's a team that likes to go forward. It's built to go forward.
On the back side, it doesn't offend great. We're a little slower in the back. Chris Richards is coming back from an injury. He's the main stable of that back line.
But listen, this is our team. We're going to back them for a month, and we hope that they get past a group. They get into a fourth game, a fifth game.
But this is a team that could surprise people. But they're not going to surprise people, because you've got players all over the world. Best leagues in Italy, England, Germany. They're playing everywhere.
So, to say it's a surprise if they got out of the group. No, we expect them to get out of the group now.
MICHAELSON: CNN's Coy Wire was out with them today as they were practicing in Irvine. Here's some of what he talked about with them.
(BEGIN VIDEO CLIP)
UNIDENTIFIED MALE: Probably be looking up at my family and friends in the stands who supported me throughout all of this. So, there'll be a lot of emotions. It'll be a proud moment. Representing the U.S., home soil in a World Cup. I mean, very special.
UNIDENTIFIED MALE: Very happy emotion. And you know, if tears come, tears come. But yes, I'm -- I can't wait for that moment.
UNIDENTIFIED MALE: Full-circle moment because, you know, as a kid dreaming about being in that position, wearing the crest and -- and being able to hear the national anthem, I think it's something, that yes, it makes dreams come true.
(END VIDEO CLIP)
MICHAELSON: You can relate to that.
BALBOA: Yes. So, when you walk out, when we walked out in Detroit, the hardest part was trying to control your emotions, because your heart's beating.
You walk out. It's full. You see Mom and Dad. You see your brother. You see people who have supported you your whole life.
So, the hard part is trying to get the emotion under control. And it will get -- Listen, you will see tears, because it's emotional. Your heart rate will be up to about 150 beats a minute, because it's going crazy.
Finally, when the whistle blows, you calm down, and you can play your game. But it's very emotional when you walk out and you know that all of these people are here to see you, because they want to see you succeed.
MICHAELSON: Was it emotional to get the gang back together from '94? What was that like being -- being back together and sort of reminiscing about how that really did change American soccer, including this generation that's now playing?
[00:15:04]
BALBOA: Yes, listen, it was -- it's always fun, because the older we get, the stories change, which is kind of fun. The stories always change a little bit.
But you know what? It was fun, because we had a goal. And our goal was to -- to make and to leave a foundation, be it because we knew from '94, once we were done, MLS was starting in '96. We were all going to be a part of it, because we all agreed that, if the league decided to go on, that we would all leave our club teams and we'd come back to help the league.
So, it's always emotional when you see your teammates. And some of these guys I haven't seen for 15, 20 years, so it's always fun to reminisce.
MICHAELSON: Yes, well, it was great to see all you guys back together. Thank you for helping make this a reality. You know, it -- one builds on the other. And have fun. You're going to be out there tomorrow night.
BALBOA: I will be out there. I'll be out there rooting, baby.
MICHAELSON: What's the score?
BALBOA: What's the score?
MICHAELSON: Tomorrow.
BALBOA: I have -- I have two-nothing, U.S., tomorrow.
MICHAELSON: All right. We'll see you tomorrow night in our postgame coverage.
BALBOA: All right.
MICHAELSON: If you were right. Thanks for coming in.
BALBOA: You're welcome.
MICHAELSON: All right. Of course, you can check out Marcelo also on CBS doing coverage, as well, throughout the tournament.
On Wall Street, SpaceX is set to make history with the largest IPO on record. On Thursday, it set its opening price at $135 a share.
The space technology company said in its filing on Thursday that it plans to sell 556 million shares of common stock, generating $75 billion. That would put the value of SpaceX at 1.7 trillion. That's "trillion" with a "T," making it one of the United States' most valuable companies.
The IPO would make the company CEO, Elon Musk, the first trillionaire in the history of the world. Richest guy on the planet, trillionaire.
SpaceX is expected to debut the NASDAQ Friday morning.
Hard to have a better day than Elon Musk tomorrow.
Take a look at this. Aerial video shows thick black smoke billowing from a massive warehouse fire in Tracy, California, which is about 60 miles East of San Francisco in the Bay Area.
Local media reports the roughly one-million-square-foot medical supply warehouse was completely engulfed in flames. Officials say the building's sprinkler system was not functioning when that fire broke out. Thankfully, amazingly, looking at that, no injuries reported.
With gas prices rising, the Trump administration is pushing to expand oil drilling off the coast of California. I spoke with some of the men leading the charge. Two different members of President Trump's cabinet, talking about why they believe this is so critical.
(BEGIN VIDEO CLIP)
WRIGHT: President Trump is for energy addition and energy dominance. Gavin Newsom is for energy subtraction and energy submission.
(END VIDEO CLIP)
(COMMERCIAL BREAK)
[00:22:09]
(BEGIN VIDEO CLIP)
BILL HOWARD, CHICAGO RESIDENT: Gas is through the roof. Things cost so much nowadays when it comes to groceries. I mean anywhere from eggs, milk, you know, just the borderline things to live nowadays.
LO ANDERSON, CITY UNIVERSITY OF NEW YORK STUDENT ENGAGEMENT COORDINATOR: To be honest, I feel like the statistics, while they are grave, are only capturing a slice of what's happening. I think it's actually much worse on people's pockets and practically in real time.
We're talking about students who have to choose between paying for the train, paying for their rent, and continuing on into the next semester.
(END VIDO CLIP)
MICHAELSON: You ask almost any American these days, and they'll tell you prices are going up. At the same time for many households, paychecks are not keeping pace.
That's putting more pressure on people's wallets.
New data shows inflation in the U.S. rose to 4.2 percent last month, its highest rate in three years. That could prompt the Federal Reserve to keep interest rates elevated or even raise them further, a move that President Trump has repeatedly opposed.
That increase is driven largely by the rising cost of oil, and after Wednesday night's U.S. strikes on Iran, Tehran says it is completely closing the Strait of Hormuz until further notice. That move could drive gas prices up even higher than they already are.
The national average is $4.13 a gallon. That's up from just below $3 a gallon before the start of the war. And as you can see, the price in California is now %5.80.
The Trump administration is using the war in Iran as motivation for a push to expand drilling and oil production here in California.
I recently traveled to Santa Barbara County for an exclusive look at that effort and the pushback to it.
(BEGIN VIDEOTAPE)
MICHAELSON (voice-over): We arrived by helicopter.
UNIDENTIFIED MALE: We're excited to get after it.
MICHAELSON (voice-over): For a firsthand look at a Sable Offshore oil platform located off the coast of Santa Barbara, California.
This pipeline is once again actively producing thousands of barrels of oil, due to an executive order issued by the Trump administration.
The state of California is suing to shut it down.
WRIGHT: President Trump is for energy addition and energy dominance. Gavin Newsom is for energy subtraction and energy submission.
MICHAELSON (voice-over): We speak exclusively with U.S. Energy Secretary Chris Wright and Interior Secretary Doug Burgum atop the Harmony oil platform at a moment when so many Americans are worried about higher gas prices.
DOUG BURGUM, U.S. INTERIOR SECRETARY: Seventy-two million cars could fill up their tank off the production coming from these platforms that are right here.
MICHAELSON (voice-over): Per AAA, California currently has the highest gas prices in the country, driven largely by environmental regulations and the nation's highest gas tax.
BURGUM: That's policy, including, you know, killing refineries, killing transmission lines, killing gas pipelines.
[00:25:02]
MICHAELSON (voice-over): On the helicopter ride to the platform, we see miles of deep blue ocean.
But back in 2015, the same waterway was coated black after that pipeline, operated by a different company at the time, ruptured, spilling an estimated 120,000 gallons of crude oil. All oil production stopped here for more than a decade.
ALEX KATZ, EXECUTIVE DIRECTOR, ENVIRONMENTAL DEFENSE CENTER: This is going to be a fight.
MICHAELSON (voice-over): Alex Katz is executive director of the Environmental Defense Center, which is suing to stop Sable.
MICHAELSON: Why do you oppose Sable?
KATZ: The problem with the pipeline is that it doesn't have an effective way of preventing corrosion. That's why it broke in the first place.
MICHAELSON (voice-over): After President Trump launched military action in Iran, and the Strait of Hormuz shut down, gas prices spiked.
The Trump administration ordered Sable's pipeline to start producing again by invoking the Defense Production Act, a law that gives the president emergency powers to influence domestic industries to help national defense.
MICHAELSON: You can see and hear that pumping is underway right now. Sable says, as soon as the Defense Production Act was invoked, they were ready to go.
MICHAELSON (voice-over): There's a sign at Sable that now reads, quote, "Wells flowing, sales meter rolling, American oil from American soil."
Sable is ramping up to produce 200,000 barrels of oil per day, according to the Department of Energy, which is a small offset compared to the 15 million barrels of oil per day lost for the global market in the strait since the war in Iran began.
MICHAELSON: Critics say you started a war that was unnecessary in Iran, and now you're able to give handouts to oil companies because of that. What do you say to that?
WRIGHT: The war in Iran is critical. This is how you end Iran's nuclear weapons program. And of course, this is not a handout. There's no federal money that's gone into this project at all.
MICHAELSON: Sable is going to make a lot of money off of this opening. No?
WRIGHT: The federal government is going to make a lot of money off this. Sable might make a lot of money on this. They spent two-thirds of billions of dollars to buy this option, to maybe make some money.
MICHAELSON (voice-over): Back on land, Katz is skeptical.
KATZ: This only benefits the executives in the oil industry who are friends with the Trump administration, and it puts everybody else in harm's way.
JIM FLORES, CEO, SABLE: We're not the enemy. Were the solution.
MICHAELSON (voice-over): Jim Flores is Sable CEO.
He tells me much of the oil from this pipeline is being used to fuel jets at Los Angeles International Airport. He says ensuring the pipeline's safety is his top priority.
FLORES: Oil production offshore, offshore California can be safe. It can be diligent. It needs to be regulated.
KATZ: As long as we have offshore drilling, we're going to have spills in the ocean. MICHAELSON (voice-over): California Governor Gavin Newsom's team calls
Secretary Wright a, quote, "shill" for the oil companies.
MICHAELSON: He would say, though, why shouldn't we invest in the energy of the future? Clean energy, green technology, instead of what he would call the energy of the past?
WRIGHT: Because we've spent $10 trillion of subsidized and mandated money globally in the last 20 years, and wind and solar are 3 percent, not 33 percent, of global energy, just a little over 3 percent in the United States.
MICHAELSON (voice-over): The Trump administration is currently considering a five-year plan to expand oil drilling off the California coast for the first time in decades.
BURGUM: President Trump on Drill Baby Drill means energy abundance. It means more energy.
WRIGHT: American oil and gas production practices are the cleanest and safest in the world. When you don't produce it here, it doesn't make demand for oil go away. It just means it's produced overseas.
(END VIDEOTAPE)
MICHAELSON: California Governor Gavin Newsom says President Trump illegally invoked the Defense Production Act to revive what Newsom calls a dirty offshore drilling platform.
But despite the lawsuits, Sable continues to produce more oil.
Is that a good thing or a bad thing? Our panel has different views on that. Areva Martin, Jennifer Horn here to debate that.
Plus, President Trump's possible deal with Iran. Their live back and forth, next.
(COMMERCIAL BREAK)
[00:33:47]
MICHAELSON: Our top story this hour: President Donald Trump has canceled planned military strikes on Iran, claiming that a deal to end the war could be signed as soon as this weekend.
But as CNN's Fred Pleitgen reports, Iranian officials have a different take.
And we should note that CNN operates in Iran only with the permission of the government but maintains full editorial control of its reports.
(BEGIN VIDEOTAPE)
FREDERIK PLEITGEN, CNN SENIOR INTERNATIONAL CORRESPONDENT: While the Iranians acknowledge President Trump saying that he has canceled military action against the country, there still is a good deal of distrust and skepticism. Iranian official and semiofficial media is cautioning that so far, the country's top leadership has not yet officially signed off on any sort of draft agreement for a memorandum of understanding that would end the hostility between the two countries and, at the same time, pave the way for larger peace negotiations.
However, one of the things that officials here have been acknowledging over the past couple of days was that messages were still being exchanged back and forth, and that some of the gaps had indeed been narrowed.
At the same time, the Iranians are saying that any sort of military action now, any more bombardment would completely kill any of that momentum.
The Iranians had also said that, if the U.S. continues to strike this country, that there would be severe retaliation from its armed forces.
[00:35:06]
And if there would have been a return to full-on war, that the Iranians would expand that war beyond the Gulf region, potentially to places like the region of the Red Sea and the mediterranean, as well.
Nevertheless, the Iranians have said that they prefer negotiations. They want a deal. However, the military here also says that they are prepared for any eventualities.
Fred Pleitgen, CNN, Zanjan, Iran.
(END VIDEOTAPE)
MICHAELSON: Now, to talk about it with our political panel. Joining me now is Areva Martin, civil rights attorney and legal affairs commentator, on the left. And on the right is Jennifer Horn, host of "The Morning Answer" on 870 AM here in Los Angeles.
Ladies, welcome back. Good to see both of you.
Jennifer, to you, this deal or no deal. We have counted at CNN. This is the 39th time that we've gone through this.
JENNIFER HORN, HOST, 870 AM's "THE MORNING ANSWER": Yes.
MICHAELSON: Do you think the 39th the charm?
HORN: That's what they say, isn't it? That's the old one. That's the old saying: 39 is the charm. Don't get us to 40, though.
No, look, I -- I think that what's happening with Iran right now is -- is still good news for the country. I think that we are in a safer place, because we have degredated [SIC] the military capacity of Iran.
I think that President Trump -- and look, I am frustrated like you. Back and forth. We have a deal. We don't have a deal. President Trump used what he does, which is his negotiating tactic,
saying he was going to target Kharg Island. And it now seems that they're back at the table again.
So, again, we have to see what happens. We don't have a crystal ball, but certainly this is textbook Trump: threaten and -- and try to get what you want out of these guys.
MICHAELSON: Let's hear from him.
(BEGIN VIDEO CLIP)
TRUMP: We just made a great settlement of the war with Iran. We'll probably have a signing, maybe in Europe. And it's a great thing. Stock markets up 1,000 points. That means they like the deal.
(END VIDEO CLIP)
MICHAELSON: Do you buy it?
AREVA MARTIN, CIVIL RIGHTS ATTORNEY AND LEGAL AFFAIRS COMMENTATOR: Not for one second. We have heard this so many times.
And I don't know. Jennifer, 39, is not usually a charm. So, this back and forth, this is a one-sided deal. This is a deal in Donald Trump's mind only.
We continuously hear him say there's a deal, and then we hear reports from Iran that they don't know what he's talking about.
And what we do know, unlike what you're saying, Jennifer, about being safer, the majority of Americans don't feel safer as a result of this war in Iran. The majority of Americans, this war continues to be incredibly unpopular.
And it goes against everything Donald Trump told his voters: I will not get this country into new wars. And here we are in a war that seemingly has no end.
MICHAELSON: And one of the reasons that the war has been especially unpopular is because it's raised people's gas prices, which is something that people see every single day.
It was interesting in our last segment, we showed going out to this oil platform in Santa Barbara County with the energy secretary. We look at the gas prices nationally: $4.13; here in California, $5.80, which is down from over six a few weeks ago, which is good news to see it coming down, but still very, very high.
Jennifer, what do you make of this idea of invoking the Defense Production Act to ramp up oil production?
This is, you know, an oil spill that happened in Santa Barbara ten years ago. Environmentalists say this is going to happen again. But the energy companies say, no, this is safe, and it's time to drill, baby, drill. HORN: Yes. And that's what I say. Drill, baby, drill.
As someone who lives in California and has been paying high gas prices for a long time, we can do it safer. We can do it cleaner than anywhere else in the world.
The fact that we depend, in California, specifically, on foreign oil, is a national security threat. That is a dangerous one, certainly.
And look, you've seen oil prices go down. The president has been getting tankers through. He talked about it this morning. He said he was getting tankers through the Strait of Hormuz, kind of under the guise of darkness.
The gas prices aren't going up. But I am all about unfurling the power of American energy because it is safer, it is cleaner. And when we can depend on ourselves, we don't have to rely on China, Iran or anyone else.
MICHAELSON: The secretary's argument, it's got to come from somewhere. So why not do it here?
MARTIN: Well, safer for whom is the question? We know in 2015, as you just said, there was a major oil spill with this company, killed --
MICHAELSON: A different company that ran it, but the same pipeline.
MARTIN: Same pipeline. Thank you for that correction.
MICHAELSON: Yes.
MARTIN: Sable didn't cause that -- that spill. But hundreds of thousands of gallons of oil were spilled along the Santa Barbara coastline, killing marine life, endangering the lives of people that live in Santa Barbara.
This company lives and operates out of Houston. So, the people in California don't want to be exposed to the kind of environmental issues that will be caused by this drilling.
And the experts have been pretty clear that this is not going to reduce substantially the gas prices in the state of California.
So, who is this going to benefit any -- other than the billionaire friends that continue to cozy up to Donald Trump? And this appears to be one of those deals, again, where the billionaires win, and the people lose.
MICHAELSON: You think that's -- you're shaking your head?
[00:40:02]
HORN: No, I don't think that's true at all. I think that everything that this administration is doing, when it comes to energy, is about taking care of the people. I think it is about making sure that gas prices are lower. And President Trump did run on the fact that he would get us separated
from dependence on China, which other presidents have seemed to lean into. We want to push ourselves away from.
We don't want to have to be dependent on Iran, Venezuela, or other places for oil. We need to depend on ourselves, and we need to do it in a way that is safe and good for the environment. These companies are capable of doing that.
MICHAELSON: President Trump is the president right now. We don't know who the president is going to be in 2029, but one of them may be in a box tomorrow.
So, the World Cup is getting underway. The first American game at SoFi Stadium here in Los Angeles. Governor Gavin Newsom and Secretary of State Marco Rubio are sitting in the same box.
What's that conversation going to be like? What do we think of that?
HORN: And just weeks ago, Gavin Newsom called Marco Rubio a fraud. So, wouldn't you like to be in the box as a fly on the wall to see how that goes?
Look, they're going to play nice. It's the World Cup. They're going to celebrate.
But it is interesting. This, I think, could be the potential matchup that we're going to see in 2028. Because you've got Marco Rubio, who is leading Republican voters with 35 percent of those who think they would vote for someone would vote for Rubio, followed by Vance.
The country, by the way, the Polymarkets at this moment, if we want to look at the betting markets, they've got Marco Rubio, J.D. Vance, and then Gavin Newsom. So, this could be really interesting to see how they might handle a debate stage.
MICHAELSON: Yes.
MARTIN: I think Jennifer and I agree on something.
HORN: Tell me.
MARTIN: We agree that these men are likely to play nicely in the sandbox.
Look, Gavin Newsom is welcoming the world to Los Angeles with the World Cup games, and he's going to show the world what a first-class city Los Angeles is, what a first-class state California is. So, I don't expect there to be many sparks. We can expect there to be some, probably, social media posts after the games.
But I think this is going to be an opportunity to showcase California and to show all the amazing things that the governor and the mayor of Los Angeles, in particular, have done to get this state and city ready for these games. MICHAELSON: So, this is video from Fan Fest, which is happening here
in Southern California. Today's game was Mexico. You do some great work with Special Needs Network, which you run, helping folks with neurodivergent issues.
You're partnering with the World Cup and with Metro. How's that working?
MARTIN: Super excited. We are going to be activating stations, metro stations throughout the county of Los Angeles. Ten activations.
So, when you go to these big watch parties, you're going to hopefully catch the train, get off your train. And right there at the train station will be these family-themed parties, these FIFA-themed parties, to get the crowd riled up as they get ready to watch these games.
MICHAELSON: And folks with --
MARTIN: Neurodivergent individuals will be operating these activations: serving food, cooking food, special flavors, sip and scoop. These are hospitality-driven, mission-driven food trucks and hospitality carts that Special Needs Networks runs throughout the county of Los Angeles.
So, we'll be out there showing the talent and ability of neurodiverse people.
MICHAELSON: I know you've been impressed by that work.
HORN: Absolutely. Areva does great work, and even though we disagree politically, I am such a fan of hers. Because she does great work and she definitely puts her time and her money where -- where everything lands. So good work.
MARTIN: Thank you.
MICHAELSON: We love that you love each other, and we love that you guys are sticking around. So, you'll be back with us in the next hour.
We want to take a live picture from Washington. This amazing image of the White House right now, and the lights for the UFC match, which I think evokes very different reactions from both of you. So, we will be debating that issue in the next hour when Areva and Jennifer rejoin us once again.
Thank you so much. We'll see you then.
But next here on THE STORY IS a power struggle is underway in the United Kingdom.
(BEGIN VIDEO CLIP)
NIC ROBERTSON, CNN INTERNATIONAL DIPLOMATIC EDITOR: Calls for a leadership change grew. CHRIS CURTIS, LABOUR PARLIAMENT MEMBER: People are starting to lose
faith in that kind of mainstream politics in order to fix the problems that this country faces.
(END VIDEO CLIP)
MICHAELSON: A key by-election in Northern England that could decide the fate of the prime minister, Keir Starmer. We take you there next.
(COMMERCIAL BREAK)
[00:48:46]
MICHAELSON: British Prime Minister Keir Starmer is taking what some are calling a political hammer blow at a time when he is fighting to keep his job.
On Thursday, two top defense officials quit his government, including his defense secretary, John Healey. He says that Mr. Starmer is not giving the armed forces the resources that they need.
Now that is happening as Mr. Starmer is bracing for a possible leadership challenge from his Labour Party. His would-be rival could emerge after next week by -- city by-election in the city of Makerfield.
Fourteen candidates are running in a race, including Manchester Mayor Andy Burnham, who's expected to challenge Mr. Starmer if he wins.
CNN's Nic Robertson is in England for us.
(BEGIN VIDEOTAPE)
ROBERTSON (voice-over): Andy Burnham, the charismatic Manchester mayor, is on a mission to become prime minister, and it's starting here in a local election in Makerfield, a Northern working-class area.
MAYOR ANDY BURNHAM, MANCHESTER: Evening, all. Friday evening in the Burnham campaign H.Q. at Stubbs Shawcross (ph). There they all are, hard -- hard at work.
ROBERTSON: Burnham's folksy vibe in here is part of his political superpower, and he's going to need it. This election is widely expected to be one of the most unconventional and consequential in a generation.
[00:50:10]
ROBERTSON (voice-over): This is where the story, so to speak, begins. Downing Street two years ago.
ROBERTSON: Keir "No Drama" Starmer delivers a rollicking election victory, bringing his Labour Party to power, tossing out the Tories, who'd torn through four prime ministers in three years.
Expectations were Starmer would deliver stability. His massive mandate would bring change.
But the economy faltered. Missteps followed, not least Starmer appointing Peter Mandelson, a former friend of Jeffrey Epstein, to be his ambassador to the United States.
ROBERTSON (voice-over): When details of Mandelson's relationship with Epstein leaked last year, Starmer fired him. Mandelson denied wrongdoing. It cost Starmer credibility. Calls for a leadership change grew.
CURTIS: People are starting to lose faith in that kind of mainstream politics in order to fix the problems that this country faces. They're doing it because for too long, that kind of politics hasn't solved those problems.
ROBERTSON (voice-over): Curtis, a former pollster and now a Labour M.P., wants Starmer replaced, sees Makerfield as make or break for Labour. Their biggest challenge coming from the hard-right Reform Party.
CURTIS: They are leading in the opinion polls at the moment. But it's not just the fact that they could win the next general election, and the polls show us that they could. It is just how disastrous I think they would be for the country if they did.
ROBERTSON: So, back to Makerfield and Burnham's path to prime minister. For the past 120 years, voters here have always returned Labour M.P.s.
But this working-class community, like so many across the country, is giving up on the main political parties. The relatively untested new kids on the block, populist right-wing Reform, are surging where Starmer is stumbling.
UNIDENTIFIED MALE: The proper local --
ROBERTSON (voice-over): The race so tight Reform leader, sometime Trump friend and Brexit cheerleader Nigel Farage is suddenly spending time in Makerfield, trying to make sure his candidate, Rob Kenyon, wins.
NIGEL FARAGE, LEADER, REFORM U.K.: I'm thinking as many Reform supporters as possible will come and help him between now and June the 18th, the date of this epic battle against Andy Burnham.
ROBERTSON (voice-over): For Farage, Kenyon's victory in Makerfield would signal his and Reform's path to Downing Street isn't just a pipe dream; that U.K. politics is changed for good; and a chance to realize Reform's right-wing policies.
UNIDENTIFIED MALE: In his first act as prime minister, not a single unauthorized vessel crossing the English Channel.
BURNHAM: A vote for me in this by-election campaign is a vote to change Labour.
ROBERTSON (voice-over): Burnham, by contrast, would shift his party and the U.K. the other direction: to the left.
BURNHAM: We just need to take stronger action to get the basics affordable for people back under public control.
ROBERTSON (voice-over): At the moment, power sits with Labour: over 400 M.P.'s to Reform's eight.
But Makerfield is set to test who has their finger on the British pulse, a bellwether for the next general election.
Nic Robertson, CNN, Makerfield, England
(END VIDEOTAPE)
MICHAELSON: CNN contacted the Green Party, the Conservatives, and the Liberal Democrats for comment. The Liberal Democrats said, quote, "Labour Party infighting has undermined trust in politics" and that its candidate is, quote, " standing in Makerfield to show voters what a committed local champion looks like -- one who isn't caught up in national leadership ambitions."
Steven Spielberg's newest movie, "Disclosure Day," is a science fiction thriller about aliens on Earth. We'll discuss the burning questions about life in outer space. Film critic Grae Drake joins me in our next hour.
But when we come back, our top stories. Stay with us.
(COMMERCIAL BREAK)
[00:58:41]
MICHAELSON: Take a look at this. Live pictures coming in from this massive warehouse fire in Tracy, California, which is about 60 miles East of San Francisco.
This is a medical supply warehouse, which is still completely engulfed in flames. This fire started around 1 p.m. this afternoon. It's now nearly 10 p.m. at night there; still burning right now.
About a million square feet. This is a medical supply warehouse. The building's sprinkler system was not functioning. As you can tell.
The good news here: no injuries. And also, amazingly, given the size of this fire, local officials say the air quality in the area is still safe.
But quite a fire fight on their hands for firefighters in Northern California right now.
Pope Leo is expected to return to the Vatican in the coming hours. During the final leg of his trip to Spain on Thursday, the pope focused on the migrant crisis in the Canary Islands. He called on leaders to treat all people there with dignity.
CNN's Christopher Lamb has more. (BEGIN VIDEOTAPE)
CHRISTOPHER LAMB, CNN VATICAN CORRESPONDENT: Pope Leo standing shoulder-to-shoulder with immigrants at the last part of his visit to Spain, coming to the Canary Islands, which is a major entry point for new arrivals from parts of West Africa.
Pope Leo going to the port of Arguineguin, which is known as the Port of Shame, because in 2020, migrants were found sleeping and living there in squalor.
