Now word overnight the next round of tariffs could escalate dramatically. Shifting blame. Heated statements and a 15,000 coat. A fast start to Paul Manaforts trial on financial crimes. Good morning, and welcome to early start. Im Laura Jarrett in for christine romans. Good to see you, my friend. Im dave briggs, wednesday, august 1st, already, if you can believe it. 5 00 a. M. In the east. We start with a chilling story for Many Americans this morning. A federal judge flocking a Government Settlement that would allow for 3d printable guns for sale. You could print out the instructions to guns on the internet, if you can believe it or not. This is a terrifying ordeal for many parents in this country who simply know that their kid could be printing that at the moment. Now, the founder of the Gun Rights GroupDefense Distributed says his companys site is going dark until he can review the judges order. Before the ruling came down, he spoke to cnns Laurie Segall
Get a jump on the days news with Christine Romans and Dave Briggs. Get this, a 15,000 jacket made of ostrich. On the flip side, manaforts attorneys will be mounting a dual defense. First, they say it was the russian Oligarchs Manafort worked for who actually demanded he pay into those secret accounts. And secondly, manaforts lawyers are trying to shift the blame to rick gates, saying it was gates who, of course, is manaforts former deputy whos already pleaded guilty to other charges. They say gates was really the one stealing and embezzling the money. So, of course, it was a lot packed into this first day of the trial with the white house continuing to distance itself from Paul Manafort and pointing out that these charges have nothing to do with manaforts time as Campaign Chairman for President Trump. Dave and laura . Okay, jessica, thank you. President trump putting a little physical distance between himself and the Mueller Investigation by campaigning for republican candidates in florida last night. Boy, did things get tense when his supporters fiercely heckled
over the past year about the dangers of family separation, but the head of i. C. E. s Enforcement Division had glowing words about Detention Centers where the government is housing children. I think the best way to describe them is to be more like a summer camp. These individuals have access to 24 7 food and water. They have educational opportunities. They have recreational opportunities, both structured as well as unstructured. That official essentially echoing words from Laura Ingraham on fox news. Officials at the hearing had few details to offer about plans Going Forward for reunifying the hundreds of children still separated from their parents. Facebook removing a network of suspected russianlinked accounts it says were organizing political events in the u. S. Its the most extensive effort to interfere in American Politics The Social Network has publicly disclosed ahead of the
midterms in november. The Social Media Giant trying to prevent a repeat of 2016 when accounts connected to a kremlinlinked troll group posed as americans on its platform. Asked by cnn to respond to the facebook reports, a russian official said she hopes materials will be presented to the russian side. Identification could take years, but this morning, remains believed to be americans from the korean war are being flown back home. Were live at the ceremony in south korea. So you have, your headphones, chair, new laptop with 24 7 tech support. Yep, thanks guys. I think he might need some support. Yes start them off right. With the School Supplies they need at low prices all summer long. Save 200 on this dell laptop at office depot officemax. Save 200 on this dell laptop another antiwrinkle cream in no hurry to make anything happen. Neutrogena® rapid Wrinkle Repair works in just one week. With the fastest Retinol Formula to visibly reduce wrinkles. Neutrogena®. Yogyoooogiiiiiii but when it comes to mortgages, hes less confident. Here, yogi. Fortunately, theres Rocket Mortgage by quicken loans. Apply simply. Understand fully. Mortgage confidently. Get approved in as few as 8 minutes. Maybellines fit me foundation. Fits skin tone and texture. Blurs pores. Controls shine. Our most diverse shades ever. Maybellines fit me matte poreless. Only from maybelline new york. Youll make my morning, buty the price ruin my day. Ou . Complicated relationship with milk . Pour on the lactaid, 100 real milk, just without that annoying lactose. Mmm, thats good. Live from Osan Air Base in south korea. Paula, i know youve been there for several hours. Bring us up to speed. Reporter well, laura, right now, the caskets are being loaded onto the c17 planes, which will then take the remains from the korean war to hawaii for identification. Six by six, these caskets are being put on to the c17s, and there are 55 in all. Officials tell us that from their initial observations and from past experience, that could well represent the remains of far more than 55 service members. Now, we have been hearing from those officials who have just had a couple of days to start the investigation process, Forensic Experts coming over here to Osan Air Base. They say that some of these remains are likely american. They say they do believe that they are likely from the korean war as well. So, certainly, what north korea has told the united states, at this point they say there is no
reason to disbelieve that, and they will have to, obviously, take months, potentially even years now to try and identify exactly who these remains belong to. Now, we do know also there was a dog tag within these remains that north korea gave to the United Nations command. The family has already been identified, and notified, were told. And that dog tag will be sold to that family within weeks. So at least one American Family today has some kind of closure, 65 years after the korean war finished, although Officials Say they dont know necessarily if his remains are alongside that dog tag. Back to you. 65 years. Paula, thank you so much for that reporting. A passenger and the pilot of an aeromexico jet are in critical but stable condition this morning following a crash in durango, mexico, tuesday. Aeromexico flight 2431 was headed to mexico city but went down after takeoff in a field
just beyond the runway. There were 99 passengers and 4 crew members on board. 49 people were hospitalized, but amazingly, no one died. Embray, the brazilian maker of the aircraft, says it is ready to assist mexican authorities in their investigations. Coming up, it was not a game, it was an absolute shame for the new york mets. Andy scholes with the gruesome details in the bleacher report, next. New laptop with 24 7 tech support. Yep, thanks guys. I think he might need some support. Yes start them off right. With the School Supplies they need at low prices all summer long. Save 200 on this dell laptop at office depot officemax. Stay at la quinta. Where were changing with stylish makeovers. Then at your next meeting, set your seat height to its maximum level. Bravo, tall meeting man. Start winning today. Book now at lq. Com. To give you the protein you need with less of the sugar you dont. Ill take that. [cheers] 30 grams of protein and 1 gram of sugar. New ensure max protein. In two great flavors. New ensure max protein. Does your Business Internet provider promise a lot . Lets see who delivers more. Comcast business gives you gigspeed in more places. The others dont. We offer up to 6 hours of 4g Wireless Network backup. Everyone else, no way. We let calls from any of your devices come from your business number. Them, not so much. We let you keep an eye on your business from anywhere. The others . Nope get internet on our gigspeed network and add voice and tv for 34. 90 more per month. Call or go online today. All right, well get to the mets devastation in just a moment, but we start with the
nba continuing to embrace gambling, inking a new partnership with mgm. Andy scholes has more in this mornings bleacher report. Good morning, my friend. Hey, good morning, dave. Commissioner adam silver and the nba have been the league most supportive of legalized gambling for years and are now the first to have an official partnership with a Sports Betting operator. The league announcing yesterday their nonexclusive deal with mgm resorts. Espn reporting that it is a threeyear deal worth 25 million and allows Mgm Properties to use nba and wnba branding. Silver has said in the past he believes the nba should get a 1 Integrity Fee on each wager made on the nba. Now, that is not a part of this deal, but silver still says that this partnership is great for the fans. Whether theyre at a bricks and mortar casino or using an app online, that its going to be an experience that both mgm and the nba have worked on
together where the customer is first and foremost. All right, the nationals keeping their Team Together at the Trade Deadline, and at least for one night it looked like it may work out. Washington putting an absolute beatdown on the mets. Theyre up 70 after the first, went on to win 254. It was the worst loss in mets history. It got so bad, the mets broadcasters just started reading out of the media guide to pass the time late in the game. Shortstop jose reyes even came in to pitch in this one late. Its a bad season for the mets, and this was probably the low point. And like i mentioned, yesterday was the Trade Deadline for major league baseball, and the rangers traded pitcher jake deikman to the diamondbacks. Texas is currently in arizona playing them, so deikman decided to just hop on the bullpen cart to go from clubhouse to clubhouse, getting a ride from the mascot. Just another reason why every team should bring back the bullpen cart. Pretty awesome. All right, the minnesota
vikings rewarding star wide receiver stefon diggs with a new contract. According to espn, its worth 81 million over five years. Diggs was just a fifthround pick coming out of maryland, and he got emotional yesterday speaking about his dad, who passed away back in 2008. Basically looking at the family and it meant a lot to me. So, you know, with this day coming forward, it just came full circle, and i have a lot of emotions, you know. You can understand a little bit. But you know, for it to come all the way around, i just, im happy that i can look at my mom and smile and tell her that everythings going to be okay. Yeah, and diggs flew his mom out for that announcement. You see him posting the picture of him giving her a big hug there in minnesota, guys. And its been quite the year for stefon diggs. Of course, he caught the minnesota miracle, that big catch to beat the saints in the playoffs. Thats right. And now getting rewarded with that contract. Good for him. He and thielen and kirk
cousins. A federal judge stops blueprints for 3d printed guns from going online, but how long can it keep dangerous people from carrying untraceable guns . And prosecutors call Paul Manafort a shrewd liar, but manaforts side is blaming a former deputy for all of his troubles. It was here. I couldnt catch my breath. It was the last song of the night. It felt like my heart was skipping beats. They said i had afib. Whats afib . I knew that meant i was at a greater risk of stroke. I needed answers. My doctor and i chose xarelto® to help keep me protected from a stroke. Oncedaily xarelto®, a latestgeneration Blood Thinner significantly lowers the risk of stroke in people with afib not caused by a heart valve problem. Warfarin interferes with at least 6 of your bodys natural bloodclotting factors. Xarelto® is selective, targeting just one critical factor. For afib patients well managed on warfarin, there is limited information on how xarelto® compares in reducing the risk of stroke. Dont stop taking xarelto® without talking to your doctor, as this may increase your risk of stroke. While taking, you may bruise more easily, or take longer for bleeding to stop. Xarelto® can cause serious, and in rare cases, fatal bleeding. It may increase your risk of bleeding if you take certain medicines. Get help right away for unexpected bleeding or unusual bruising. Do not take xarelto® if you have an Artificial Heart Valve or abnormal bleeding. Before starting, tell your doctor about all
planned medical or dental procedures and any kidney or liver problems. Learn all you can to help protect yourself from a stroke. Talk to your doctor about xarelto®. Escalate dramatically. Shifting blame, heated statements, and a 15,000 coat. A fast start to Paul Manaforts trial on financial crimes. Welcome back to early start, everybody. Im dave briggs. Im asking you for an image of a 15,000 ostrich jacket, because i dont know what that looks like, Laura Jarrett. Send it to us, please i want to know. We want to know. Im Laura Jarrett. Its 30 minutes past the hour. A federal judge blocking a Government Settlement that would allow plans for 3d guns to be downloaded online. The ruling coming just hours before those plans were set to publish. With growing concerns about people being able to make their own untraceable, plastic weapons. The judges block is temporary, but it puts a hold on the settlement between a Gun Rights Group and the government that was reached back in june that would make it legal to post the plans on the internet. The founder of the Gun Rights GroupDefense Distributed says his companys site is going dark until he can review the judges
order. Before the ruling came down, he spoke with cnns Laurie Segall about concerns publishing plans could endanger the public. The democratization of guns online, giving people the ability to 3d print their own guns would make it feasible for felons, minors, mentally ill to have access to firearms. Are you worried about those repercussions . No, i dont believe that access to information is ever tremendously negative or a bad thing. I know that people can use information for bad things, but this isnt a justification to, what, stop a publisher from speaking . Now, nearly a dozen states sued to stop the firm from publishing the printable plans. President trump even weighed in, tweeting 3d plastic guns being sold to the public doesnt seem to make much sense the white house later confirmed it supports the existing law on the books. The president is committed to the safety and security of all americans. He considers this his highest responsibility. The administration supports nearly a twodecadeold law and
well continue to look at all options available to us. It is worth noting, the State Department cleared the way for the settlement that would have allowed the 3d printable gun plans. The nra releasing a statement saying it supports existing laws that make it illegal to manufacture, sell, and possess an undetectable firearm, but just last month, nra spokeswoman dana lash defended exactly the opposite viewpoint. What Democrats Call QuoteUnquote Ghost Guns and the rest of us simply call freedom and innovation, 3d printed guns. Before the site went dark, more than 1,000 people downloaded plans to print an ar15style semiautomatic assault rifle. The trump administrations pending China Tariffs could be significantly higher than first announced. A source familiar with discussions has confirmed that tariffs on 200 billion worth of chinese goods could be raised from 10 to 25 . They would cover things like fruits and vegetables, handbags,
refrigerators, rain jackets, even baseball gloves. Chinas Foreign Ministry saying blackmail and pressure by the u. S. Will never work and promising to take countermeasures, if needed. The president addressed the trade war at a rally last night in tampa. China and others, remember this, have targeted our farmers. Not good. Not nice. And you know what our farmers are saying . Its okay. We can take it. These are incredible people. We can take it. Now were going to open up markets. Were going to do it the way it should be. And all of this stuff, youre going to make it back and its going to be made back faster than anybody would know, but we havent been treated right. The administration announced a week ago its preparing a 12 billion Emergency Aid Package for farmers caught up in the trade war. The move has been panned by many republicans for being a shortterm fix. Markets in asia were down slightly overnight. Lets discuss all this with
political economist, Chief Strategist at horizon investments. Good to see you. Good to see you, dave. These tariffs, if theyre ratcheted up from 10 to 25 on 200 billion worth of chinese goods, given that china essentially has a president for life in xi jinping, how do you expect this to play out, and can our farmers, quote, take it . Well, the polls in the midwest show that the republicans may be in some trouble. This is maybe a selfinflicted wound. There will be some aid, at least 12 billion, i think maybe more, but this trade story with china i thinks going to get worse. I think theyll retaliate more. Maybe theres a glimmer of hope with western europe, but i think u. S. China Relations will continue to deteriorate. You know, greg, its interesting, the president is in this very public spat with the Koch Brothers. The Wall Street Journal editorial has a pretty interesting writeup, saying, congratulations to the kochs. Theyre receiving such thermonuclear attention because they decided not to bow to
mr. Trump on trade, immigration, and other issues that the brothers and their Political Network count as crucial to economic liberty. Is this the right move for the president , in your view . Well, it involves money, and i think a lot of republican candidates were hoping for major funding from the Koch Brothers, are now caught in the middle of this Interparty Feud over largely trade. And i dont think thats going to end any time soon. So, what a story. Youve got both parties now divided. Youve got the democrats divided by the increasingly far left group and the moderates. Youve got the republicans divided over trade. I think these divisions might actually widen over the next few months. But the Koch Brothers dont just represent money. These billionaires represent 400 million in prepared political donations over the next twoyear election cycle, and President Trump tweeted just yesterday, theyve become a total joke in republican circles. He says, i never sought their support because i dont need their money or bad ideas. They love my tax and regulation cuts, judicial picks and more. How do you expect this could play out, not just in the midterms, but perhaps beyond, perhaps into 2020 . Well, its one of many reasons, dave, why i think the republicans are in trouble this fall. If i had to make a call right now, id say the house flips back to the democrats. The senate, which i always thought would stay republican, narrowly, now is more in play. A lot more republicans look v vulnerable right now. So, without the Koch Brothers money for this election and then in 2020, i do think thats a significant story. Absolutely. Thanks so much, greg, for all of your analysis. Were going to keep an eye on this, for sure. Good to see you, greg. All right, yep. Thanks. Well, today will be Paul Manaforts first full day in front of a jury. One thing certainly became clear in Opening Statements yesterday President Trumps former Campaign Chairman is ready to pin the blame for alleged financial crimes on his former top aide. Cnn is also told the president followed developments in the trial from air force one. Cnns Jessica Schneider has more from washington. Reporter dave and laura, it was a fiery first day in the Paul Manafort trial. Lawyers for both sides gave the jury their Opening Statements. Prosecutors called manafort a shrewd liar and said he has made millions of dollars in secret income from what they called a cash spigot that came from working for what they called his golden goose in ukraine, the proputin former president , viktor yanukovych. Of course, that is all the basis of these charges in virginia that manafort hid the money he made from foreign lobbying in 30 separate Foreign Bank Accounts. Prosecutors say he never paid taxes on any of that money. And then they say he lived an extravagant lifestyle, complete with multiple homes and even, get this, a 15,000 jacket made of ostrich. On the flip side, manaforts attorneys will be mounting a
dual defense. First, they say it was the russian Oligarchs Manafort worked for who actually demanded he pay into those secret accounts. And secondly, manaforts lawyers are trying to shift the blame to rick gates, saying it was gates who, of course, is manaforts former deputy, whos already pleaded guilty to other charges. They say gates was really the one stealing and embezzling the money. So, of course, it was a lot packed into this first day of the trial with the white house continuing to distance itself from Paul Manafort and pointing out that these charges have nothing to do with manaforts time as Campaign Chairman for President Trump. Dave and laura . Jessica, thank you for that report. Joining us now from washington, cnn legal analyst michael zeldin, former federal prosecutor and former Special Assistant to Robert Mueller at the justice department. Michael, what do you make of this move going after gates, throwing him under the bus right there in Opening Statements . You can see this is clearly the
strategy, since gates is cooperating with the special counsel, but is this a smart move . I dont think that manafort had any choice but to attack gates, and perhaps, the oligarchs, to say, essentially, i didnt file these false tax returns, i failed the fbar filings, not because i intended to do that, but because i was misled. I relied on other people. I relied on their honesty. And i was let down. And theyre to blame, not me, and therefore, let me free. I dont see any other defense to these cases that he faces but to say it wasnt me, i relied on others. What do you make, michael, of the speed and the pace of day one . We expect Jury Selection to even play out over days. It was lightning quick. We get to Opening Statements. What does that tell you about how this trial might play out . Well, what we all predicted
to be a threeweek trial may end up being a twoweek trial. Theyre just moving fast. The judge is making everybody spend long days in the courtroom, and i think thats actually good for everybody. Theres no need to stretch these things out. The jury wants to get on with its life. And so, well just zip through all of this stuff. Michael, you know, obviously, theyre not talking about russia, theyre not talking about collusion, theyre not talking about President Trump, but President Trump is keeping tabs on Whats Going On in that courtroom, according to jeff zeleny. Take a step back for us, pull back and explain, what is the danger to President Trump in this trial . Well, i think principally, its political from the standpoint of if there is a conviction in this case, its hard for him to try to delegitimize mueller. If mueller has convicted manafort, even though these charges dont relate directly to the president , its hard to say that this is a renegade prosecutor, out of control, on a witch hunt, and the like. So, its really optics, laura, more than it is potential legal jeopardy for the president , unless, of course, manafort is convicted and decides that i dont want to do my second trial in d. C. Because it will end up as badly as this one did, and therefore, i want to start cooperating with mueller and can answer questions, such as did the president know about the june 9th trump tower meeting. Does it strike you as interesting that were even at this place where the former Campaign Chairman is in court on Tax Evasion Charges . You know, its interesting, his lawyer outside of court yesterday said absolutely no chance that he will cooperate. Weve all been wondering whether he would flip. Did you think for a moment there might be a chance that he would actually cooperate before we got here . Yes, absolutely. I think i said on television that i would be surprised if in the end, even if it was on the courthouse steps, manafort and the prosecutors wouldnt reach
cooperation and plea agreement, because the charges here are so straight forward failure to file tax returns, failure to file the Foreign Bank Account reports, bank fraud that there was no real defense for manafort, especially with gates testimony. But lo and behold, manafort is holding firm, hes going to go to trial. But as we just mentioned a moment ago, if hes convicted, then he may think about whether or not its better to work out a Cooperation Agreement now than face a second trial in d. C. And, perhaps, spend the rest of his life in prison. Thats awfully expensive. Speculation being that he is counting on a pardon from President Trump. Michael zeldin, great to have you on early start this morning. Thank you. Thanks, michael. All right, coming up, identification could take years, but this morning remains believed to be americans from the korean war being flown back home. Were live at the ceremony in south korea, straight ahead. So you have, your headphones, chair,
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to the usfk Commander In Chief who made a speech to honor those who have made the ultimate sacrifice. And we know that officials from the dpaa, the department for the prisoners of war, the missing in action, they have done just a few days of initial assessment of these remains, and they say they do believe that they are from the korean war, which ended 65 years ago. They also say that many of these remains are likely american. They also told us there was one dog tag that was included within these remains. The family has been notified in the united states, so theres at least one family who has some kind of closure, knowing what happened to their loved one. A somber but important moment. Paula, thank you for being there. A passenger and the pilot of an Aero Mexican Jet are in critical but stable condition this morning following a crash in durango, mexico. Aeromexico flight 2431 was headed to mexico city but went down after takeoff in a field just beyond the runway. There were 99 passengers and 4 crew members on board. 49 people were hospitalized, but get this, incredibly, no one died. 5 49 and a check on cnn money this morning. Global markets and stocks futures mixed overnight. Stocks finished july on an up note. The dow had its best month since january, adding nearly 5 . Strong Quarterly Results from apple could help boost the market today. The company sold about the same number of iphones as a year ago but sales and profits soared as it made money from higher priced devices. Apples report comes as investors are increasingly jittery about tech stocks. Last week, facebook and twitter tanked after their results disappointed wall street. But apples shares rose after hours. Theyre up 16 so far this year. Apple now within striking distance of becoming the first u. S. Company ever to be worth 1
trillion. Ceo tim cook also announced apple pay will be coming to cvs and 7eleven later this year. Low unemployment and a tight job market are finally translating into better pay for you. Last month, American Workers received the biggest raise in nearly a decade. Wages and salaries rose 2. 8 from a year ago, the biggest gain since september of 2008. The number suggests employers are finally feeling the pressure to raise wages so they can attract and keep workers, so we could see more evidence friday when the Labor Department releases the july jobs report. Another food safety scare tanking chipotle shares. The stock fell nearly 7 yesterday. Thats after at least two people reported getting sick at an ohio location. Chipotle tells cnn it has shut down the restaurant temporarily, really as a precaution. It says its working with local health officials. Chipotle has suffered a series of Health Scares in recent years. Surfs up at tesla. The struggling electric car
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