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Chris Christie Vs. Rand Paul; Letter to the Director; Home Prices Soar; Suspension Looming for A-Rod

Aired July 31, 2013 - 06:30   ET

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


MICHAELA PEREIRA, CNN ANCHOR: Once all of this technology is finalized, they're going to use similar collars and place them on free-roaming polar bears in the Arctic to see where they're going, their habits, their habitat, their fishing, to track where they're going. Very interesting study and use of technology and interesting to see things on the size of the polar bear's face.

CHRIS CUOMO, CNN ANCHOR: Wouldn't want that job.

PEREIRA: Put it on there? Yes, they have to work up to it. No, they worked up to it --

CUOMO: I'm sure. Still don't want that job.

PEREIRA: Put a leather strap around her neck and they just eventually work their way --

CUOMO: You go into the wild and the tranquillizer dart has worked, you can go up there now -- not a job I want.

KATE BOLDUAN, CNN ANCHOR: This is going to end horribly.

CUOMO: Only one outcome, bad.

BOLDUAN: All right, everybody. Let's get to our political gut check, all of the stories you need to know coming out of Washington and around the country.

First off, quite the war of words between two 2016 GOP hopefuls.

CNN's chief national correspondent John King is here to break it all down for us.

John, I think, before we talk about what's going on between Rand Paul and Chris Christie we have to listen to a little bit of what they're saying. All right. Let's take a listen.

(BEGIN VIDEO CLIP)

GOV. CHRIS CHRISTIE (R), NEW JERSEY: If Senator Paul wants to look at where he's going to cut spending to afford defense maybe he should look at cutting the pork barrel spending he brings home to Kentucky.

SEN. RAND PAUL (R), KENTUCKY: This is the king of bacon talking about bacon? You know, we have two military bases in Kentucky. And is Governor Christie recommending that we shut down our military bases?

(END VIDEO CLIP)

BOLDUAN: I mean, well, that's one way to put it I guess. What is going on between these two men?

JOHN KING, CNN CHIEF NATIONAL CORRESPONDENT: Is it July, almost August 2013 or are we in 2015-2016?

Look, you have two of the most colorful, confident and combative voices in the Republican Party, mano-a-mano. It's great politics and it's great theater. But, Kate and Chris, it's about something bigger than that, too.

Remember, the Republicans are out of power. They've lost the last two presidential elections. So you're trying to find out not only who you want as a leader but who you are as a party. What are they fighting about -- taxes and spending, pork barrel spending, money going back to the states.

And Rand Paul and Chris Christie in a big fight over the NSA surveillance program. Chris Christie says it's a good program, talks about the 9/11 victims in his state of New Jersey. Rand Paul says it's too much government. So they're having a big debate about the role of government, that is the debate the Republican Party is going to have heading into this next cycle. Two fascinating players.

BOLDUAN: They might need to have this debate going into the cycle but is it good for the party? Is it good politics to have it happen so publicly?

KING: Most Republicans would say yes actually. These are two pretty polite guys. You see them getting personal.

But, look, Chris Christie and Rand Paul, they are the two voices out there for 2016. They're not so much like Mitt Romney, right? They're not so much like John McCain.

It does tell you this, though. If you think about the big debates we had in the Romney primaries in the last election and the McCain primary the cycle before that, the Republican also have a spirited debate and you do raise a key question at what point can it become destructive to the party.

They have to deal with the immigration issue again. They have that dip (ph) with Latino voters. Taxes and spending.

Are the Republicans ready to nominate a Northeastern guy like a Chris Christie who conservatives think is soft on the social issues? But this is what happens when you're out of power, you have the philosophical, ideological and personal debate.

These are two guys leading it right now. This is just the beginning. This is not going to stop.

CUOMO: Certainly a good opportunity for Rand Paul because Chris Christie you have to believe is much higher in the pecking order than he is. So, for Christie to put him on equal footing with him, kind of nice.

Let me ask you something else, a little 2016 flashpoint. Benghazi, are you learning that there's a new push by Republicans for information into the investigation of this, right?

KING: We have, Chris. Just this morning, CNN has obtained a draft letter. It will be released later today or tomorrow.

Eight Republican lawmakers, four in the House and four in the Senate, sending a letter to the new FBI Director James Comey. The guy has been on the job a couple of days, and they're sending him a letter, demanding that within 30 days, he brief Congress. They want to know what's going on.

The Benghazi attacks, almost 11 months ago. We're approaching the year anniversary, September l1, 2012. Remember, Ambassador Chris Stevens, three other Americans killed in those attacks in a newsletter. These lawmakers say essentially that, you know, it's been more than 10 months since the attacks. We appear to be no closer to knowing who is responsible today than we were in early weeks following the attacks. This is simply unacceptable.

So pressure from the Republicans not only on the Obama administration but also on the new FBI director. And it is interesting, the FBI put up photos up on its Web sites of people of interest but they haven't arrested anybody.

And I'll tell you this, we've been working on a project at CNN for a special due out within a week or two, and Arwa Damon, our great correspondent, went back to Benghazi and she sat down with one of the people the FBI says a lead suspect for two hours. He says he's never been contacted by the Libyan government, never been contacted by the FBI. So, that is why you have this exasperation among some leading Republicans in the Congress.

BOLDUAN: And also why, when you hear from the administration or from Democrats that Republicans are on a witch hunt and they're just looking for a fight and they're just looking to blame the administration, when Arwa sits down with one of the lead suspects, those are legitimate questions that need to be asked and answered.

KING: There is no question, when it comes to the specifics of the investigation, there are some very legitimate questions to be answered. Now, part of this, the administration will tell you, the incompetence and unwillingness of the Libyan government to help with the investigation. Part of it also is the debate within the administration, Kate and Chris, about whether you go in and seize these guys as terrorists and try them using the military tribunals where the evidence are -- rules of evidence are much lower, or one of the reasons the FBI put those photos up there they're begging the Libyan people to get them some evidence so they can present a criminal case they can present in a federal court.

So, you have the age-old debate whether to do it in the federal court system or the military system, that's a factor as well.

BOLDUAN: It's always a question also, when do legitimate questions become a public relations political push. And that's always happened.

John thanks so much, great reporting. We'll talk to you soon.

CUOMO: All right. We're going to take a break.

Coming up on NEW DAY, the great American housing recovery. That's a good word. Prices are skyrocketing. So, the question for you is: should you be buying, selling or renting? What's the timing? We're going to tell you.

BOLDUAN: And cue the banjos. You don't want to miss what a quarter of a million people have witness on YouTube, a man and a dancing raccoon. What is going on?

(COMMERCIAL BREAK)

CUOMO: Welcome back to NEW DAY, everybody.

It is "Money Time". Home prices are climbing, that's the good news. What should we do with this information? If only someone could tell us.

Christine Romans -- Christine, tell us.

CHRISTINE ROMANS, CNN BUSINESS CORRESPONDENT: It's getting better, Chris. That's what's so exciting here. It's getting better and it's now a good time to buy a house.

It's a good time to sell a house because home prices are rising. This is over the past year, the 20-city index from Case-Shiller up 12 percent over the past year. The biggest gain in seven years, since March of 2006.

I want to show the hottest markets, some of the biggest increases. Prices up 20 percent to 25 percent in some towns. I mean, look at San Francisco, 25 percent, L.A., 19 percent, Vegas, Phoenix and over here, take a look at Atlanta -- up 20 percent the price year over year.

All real estate like politics is local. New York area up 3 percent, so you can see it depends on where you are. The parts of the country hardest hit by the housing collapse are the parts of the country seeing the very best increases in home prices and those home prices expected to gain next year, too.

These are happy housing headlines but the markets not back where it was. Prices down 24 percent since 2006. So you can see here if you bought a house anywhere from 2005, 2006, 2007, you're still looking at the happy housing headlines saying, whoa, I might still be underwater. What does this mean for mortgage rates? That's important, too.

Mortgage rates have been climbing recently 4.31 percent on the 30-year fixed rate. But, Chris, what's really interesting here, you can still take advantage of the low rates because the average since World War II is 6.5 percent. These are still very low rates. We expect them, I expect them to climb in the next year or two years. So this is still a good time to refinance if you can, still a good time to buy and sellers is a good time for you.

Kate?

BOLDUAN: Let's go around the world right now -- starting in Egypt, where supporters of ousted President Mohamed Morsy continue to defy the military, triggering fears of another bloody crackdown.

Reza Sayah has more from Cairo.

(BEGIN VIDEO CLIP)

REZA SAYAH, CNN INTERNATIONAL CORRESPONDENT: The European Union's Catherine Ashton trying to play the role of mediator in this conflict in Egypt, meeting yesterday with former President Mohamed Morsy and the military-backed government. But at least for now, neither side seems to be backing down.

Hours after the Morsy visit, Morsy supporters back on the street demonstrating again. The Muslim Brotherhood releasing a statement, restating their position. They still want Morsi back as president and they want a reversal to what they call a bloody military coup. No indication that the government is going to meet any of these demands. That's why these two sides still in a deadlock -- Kate.

(END VIDEO CLIP)

BOLDUAN: All right. Reza, thanks so much.

Now, talk about a shameless ratings grab. A new primetime show in Pakistan isn't giving away cars or cash, they're actually giving away babies. But there's more to this story.

Saima Mohsin brings us more from Islamabad.

(BEGIN VIDEO CLIP)

SAIMA MOHSIN, CNN INTERNATIONAL CORRESPONDENT: It's a TV moment that has pleased, surprised and shocked people across Pakistan the moment this man holds religious programs on live TV handed an abandoned baby over to a childless couple.

He says he's saving babies by giving them to a good home. The NGO involved says that they have vetted the couple and they were registered with them.

But the couple didn't know they were about to be given a baby on live TV.

Back to you, Kate.

(END VIDEO CLIP)

CUOMO: All right. Saima, thank you.

And while his country is being torn apart by a bloody civil war, Syrian President Bashar al Assad has found time to join Instagram.

More from Leone Lakhani in Abu Dhabi.

(BEGIN VIDEO CLIP)

LEONE LAKHANI, CNN INTERNATIONAL CORRESPONDENT: There are no ugly images of bloody battlefields or a civil war. Just portraits of a happy couple adoring each other and being adored by others. That's what you get on Syrian President Bashar al-Assad his new Instagram account. He's just opened it to boost his public profile. He's also on Facebook, Twitter and YouTube, and it's all part of his social media blitz.

Back to you, Kate.

(END VIDEOI CLIP)

BOLDUAN: All right, thank you.

CUOMO: All right. Coming up here on NEW DAY: A murder mystery developing at the University of Michigan. We want to pay attention to this. This promising medical student, people described him to go on as someone who would cure cancer. How did he wind up dead execution style? We'll talk to one of his friends.

PEREIRA: And later on this Wednesday, what every raccoon really needs a dance partner. Really? It's our today's must see moment on NEW DAY, coming up.

CUOMO: Raccoons, not friendly.

(COMMERCIAL BREAK)

PEREIRA: A possibility of our must-see moment today, we don't want people to think that this is something you should randomly start trying to do.

BOLDUAN: Or maybe you should.

PEREIRA: Most people should run away when a raccoon comes in in broad daylight, but self-described hillbilly Mark Browd (ph), no ordinary fella. He actually decided to dance with a quite -- how do you say -- large raccoon that wandered onto his porch. Apparently, it's quite familiar to him. They come by often.

The unlikely duo cut a rug to Aretha's classic "Chain of Fools." Come on. Maybe aptly picked song. Browd (ph) admits he's known the raccoon since he was just a little bitty fella.

CUOMO: So, is it his pet?

(CROSSTALK)

CUOMO: I think the raccoon is attacking him.

PEREIRA: It's not -- trust me, if that raccoon was attacking him.

BOLDUAN: This is hilarious.

CUOMO: Yes, but it's such a heavy raccoon. It may be the best they can do.

BOLDUAN: I'm guessing this is not the first time.

PEREIRA: No, no, no.

(CROSSTALK)

BOLDUAN: -- because they knew it's time to roll that music and roll that camera.

CUOMO: You see it just snap out --

(CROSSTALK)

(LAUGHTER)

CUOMO: That's right. It's one of those deals.

(LAUGHTER)

CUOMO: He's like a raccoon whisperer maybe. Maybe this is like some kind of snake charming dance with the undulation of his beard is mesmerizing.

(CROSSTALK)

PEREIRA: Right, exactly.

CUOMO: I'd like him to come over to my house and get rid of the raccoons I have attacking all my garbage pail.

(LAUGHTER)

PEREIRA: They just want to dance with you.

CUOMO: Yes, that's right.

(LAUGHTER)

(CROSSTALK)

(LAUGHTER)

BOLDUAN: Oh my gosh. All right. Good stuff.

Coming up next on NEW DAY, not good stuff, salad in a bag may be the source of stomach illness that's sickened hundreds of people nationwide. We're going to ask our doctor, Dr. Sanjay Gupta, about the outbreak and the investigation and what you need to know about it.

CUOMO: Plus, meet Meltdown Mike. State lawmaker now trying to take his unique brand of passion to Congress, but he's here first.

(COMMERCIAL BREAK)

(BEGIN VIDEOTAPE)

JIMMY FALLON, HOST, "LATE NIGHT WITH JIMMY FALLON": Everybody's weighing in on this now. Donald Trump, he said that there's something mentally wrong with Anthony Weiner.

(LAUGHTER)

FALLON: He said "That guy is dangerous. He's unstable and disgusting. So look for him next season on Celebrity Apprentice."

(LAUGHTER)

FALLON: And even Eliot Spitzer, former New York governor, Eliot Spitzer, who knows his way around a good scandal. Even Spitzer said that Weiner should drop out. If that weren't enough, Bill Clinton is piling on. He's saying that Weiner should drop out, too. At this point, Weiner's going to get a call as like "What are you doing, Weiner? There's no way you can win. You should drop out now."

(CHEERING AND APPLAUSE)

FALLON: "You have to do that, trust me."

(END VIDEOTAPE)

CUOMO: Very funny. So funny Fallon dominates today's "About Last Night."

BOLDUAN: He can do a lot of very good impressions.

CUOMO: He really is. He really is the man.

(LAUGHTER)

CUOMO: He's funny making that a laughing matter. I'll tell you what is in. What's happening in Major League Baseball, you know, a lot of fans out there, it's about to get real with the suspensions. Players suspected of performance-enhancing drugs are believed in the MLB, Major League Baseball, could announce suspensions at the end of the week. Who knows better than me?

Andy Scholes, that's who with the "Bleacher Report." No longer a rumor, right? Teams may be changed and soon.

ANDY SCHOLES, BLEACHER REPORT: Yes, guys. It looks like we now know who exactly is going to be suspended as a result of this investigation into the biogenesis clinic. According to multiple reports, Major League Baseball officials told the Players' Association that A-Rod along with eight other players will be suspended this week. Now, that number is significantly lower than what was originally suspected because investigators could not dig up enough evidence to warrant other suspensions. Now, according to reports, investigators did, however, gather overwhelming evidence for their case against A- Rod. The Yankees third baseman says he will appeal any punishment.

All right. Yesterday, a Miami judge ruled that Major League Baseball can sue the now closed biogenesis clinic for providing players PEDs. That's a big win for MLB because now they can use the legal system to force witnesses to give them information that will help them further build their case against A-Rod and other players.

All right. Arguably the biggest drawback from going to live sporting events are the long lines you have to wait in to get a beer and go to the bathroom. Guess what, now there's an app for that. The San Francisco 49ers are incorporating new technology into their new stadium that will allow you to get on your smartphone and see which beer stand and bathroom have the shortest lines.

And guys, as someone who goes to plenty of sporting events, I think this could be the greatest idea ever.

BOLDUAN: Best app ever created. That's why we normally use a tandem team system when we go to games, I'll be in one line. My husband will go to another line, and we'll do a race. Whoever gets first and then we run over the other one.

CUOMO: I respect that. Now, that's what marriage is all about.

BOLDUAN: That's right. Who can get to the beer line faster!

(LAUGHTER)

BOLDUAN: That's so much, Andy. I love that.

CUOMO: That is good stuff. If you don't have a spouse who wants to wait in two lines at once.

BOLDUAN: Correct.

All right. You hear the music. You know what that means, everybody. It's time for the "Rock Block," a quick round of the stories you're going to be talking about today. First up, Michaela.

PEREIRA: All right. Let's take a look in the papers. In "the Wall Street Journal," Big Apple restaurants can still sell big sugary soft drinks an appeals court upholding a lower court ruling that found the city's restrictions unconstitutional.

From "The New York Times," a quarter of a billion-dollar donation. Tiny center college in Kentucky receiving the record gift from the AUG and Brockman Charitable Trust. That money will be used to provide 40 scholarships a year.

And, from the "Cape Cod Times," a group of marine researchers kicking off a month-long study of great white sharks off the coast of Cape Cod. That includes tagging the animals. There's another job for you to volunteer for, Chris.

(LAUGHTER)

PEREIRA: Christine Romans with your business news.

CHRISTINE ROMANS, CNN BUSINESS CORRESPONDENT: I'm tugging your 401(k). Another big month for your 401(k). Futures pointing higher this morning. Stocks are up about four percent just this month. It's the last day of the month, of course, and that's the biggest gains since January.

Important news from the Federal Reserve coming up is the stimulus program coming to an end. We're looking for clues. We'll know more today.

And if you have Time Warner Cable, you got CBS back for now. After a brief blackout, the two companies are still working to negotiate a deal.

Let's get to Indra Petersons for the weather -- Indra.

INDRA PETERSONS, AMS METEOROLOGIST: Yes. The rain break is over for the southeast, all that warm moist air is still coming out of the gulf. Meaning, yes, anywhere from one to two inches of rain today around the gulf. And who doesn't love warm, humid air combined with rain in the summer time, right? Yes. Not a fun picture out there.

We are watching out anywhere from the Midwest stretching to the northeast. Today is the fast moving cold front that will bring showers in the Midwest today, and then eventually by Thursday, we'll be looking for the showers into the northeast. The upside of those temperatures still beautiful.

I mean, pretty mild anywhere on the lakes and today, in New York, about 83, Boston 78, Chicago, I think, has the best all. They're talking about temperatures just in the 70s. A gorgeous day.

BOLDUAN: Summertime in Chicago. You cannot beat it.

PETERSONS: True.

BOLDUAN: All right. Indra, thank you so much.

We're almost at the top of the hour, everyone, which means it's time for the top news.

(BEGIN VIDEOTAPE)

CUOMO: The culprit. Prepackaged salad linked to that mystery illness than sickened hundreds across 15 states, but why is the brand being kept from you?

BOLDUAN: Direct plea. Anthony Weiner now taking his message straight to voters in a new video message. So, what did he say when asked if he's still sending inappropriate text messages? PEREIRA: Medical student mystery. A college campus now in fear. Why was this promising med student gunned down in his room? Police are now in an all-out search for a killer.

CUOMO: Your NEW DAY starts right now.

ANNOUNCER: What you need to know.

UNIDENTIFIED FEMALE: We're going to pray for Kaylee and we're going to tell her to fight and that she would be OK.

ANNOUNCER: What you just have to see.

This is NEW DAY with Chris Cuomo, Kate Bolduan, and Michaela Pereira.

(END VIDEOTAPE)

CUOMO: Good morning, everybody. Welcome to NEW DAY. You are officially closer to the weekend because it is Wednesday, July 31st, seven o'clock in thing east. I'm Chris Cuomo.

BOLDUAN: Good morning, everyone. I'm Kate Bolduan. We're here with news anchor, Michaela Pereira. Coming up in this hour, a story we're following very closely here on NEW DAY. A 12-year-old girl, you see her right there, fighting for her life after contracting a rare but deadly brain-eating amoeba. How an experimental drug could save her life? That's just ahead.

CUOMO: And, he is an internet sensation, an Illinois lawmaker famous for his rants and a man after my own heart meet Meltdown Mike. Take a listen.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Not the American way! These damned guys all the damned time come out here and I got to try to figure out how to vote for my people!

(END VIDEO CLIP)

CUOMO: That's what I'm talking about. He's going to toss it, he's going to punch it, and he's going to throw it. I respect it. We're going to talk this morning with State Representative Mike Bost live right here on NEW DAY.

PEREIRA: I'll keep my paper away from you so you don't get violent.

CUOMO: I'm going to toss it.

(LAUGHTER)

PEREIRA: And also, get ready, we have acting royalty in the house today. Ladies and gentlemen clear the decks, Denzel Washington, the one and only, two-time Oscar winning actor, Tony Award winner, too, is here talking to us about his new movie "Two Guns." We cannot wait for this conversation. CUOMO: It's great. It's going to be great to see him, but let's start with the news here.