responsibility is the right approach to take for, i think, not only the united states but also for europe. okay. >> republicans are saying you're blaming the europeans for the failures of your own policies. >> the truth of the matter is that, as i said, we've created 4.3 million jobs over the last 27 months. over 800,000 just this year alone. the private-sector is doing fine. where we're seeing weaknesses in our economy have to do with state and local government, oftentimes cuts initiated by, you know, governors or mayors who are not getting the kind of help they got in the past from federal government and don't have the same kind of flexibility as the federal government in dealing with fewer revenues coming in. and so, you know, if republicans want to be helpful, if they really want to move forward and put people back to work, what they should be thinking about is how do we help state and the local governments and how do we help the construction industry because the recipes that they are promoting are basically the kinds of policies that would add weakness to the economy. would result in further layoffs. would not provide relief in the housing market. and would result, i think, most economists estimate in lower growth and fewer jobs not more. all right. >> thank you, sir. the speech details national security issues, reports of terrorists that were killed that you supervised. what's your reaction to this information getting out in public and second of all what's your reaction of lawmakers accusing your team to leaking these details to promote your re-election bid. >> first of all i won't comment on the details of what are supposed to be classified items. second, as commander-in-chief, the issues that you've mentioned touch on our national security, touch on critical issues of war and peace, and they are classified for a reason. because they are sensitive. and because the people involved may in some cases be in danger if they are carrying out some of these missions. and when this information or reports, whether true or false surface on the front page of newspapers, that makes the job of folks on the front lines tougher. and it makes my job tougher. which is why since i've been in office my attitude has been zero tolerance for these kinds of leaks and speculation. now we have mechanisms in place where if we can root out folks who have leaked they will suffer consequences. in some cases its criminal, these are criminal acts when they release information like this. and we will continue duct thorough investigations as we have in the past. the notion that my white house would purposely release classified national security information is offensive. it's wrong. and, you know, people i think need to have a better sense of how i approach this office and how the people around me here approach this office. we're dealing with issues that can touch on the safety and security of the american people, our families. or our military personnel. or our allies. and so we don't play with that. and it is a source of consistent frustration not just for my administration but for previous administrations when this stuff happens. and we will continue to let everybody know in government or after they leave government that they have certain obligations that they should carry out. but, as i think has been indicated from these articles, whether or not the information they received is true, the writers of these articles have all stated unequivocally they didn't come from this white house and that's not how we operate. >> the investigation is going on now, is that what you're saying? >> what i'm saying is we consistently, whenever there is classified information that is put out into the public, we try to find out where that came from. all right. okay. thank you very much, everybody. thank you. >> can we ask you about wisconsin? >> there you have the president of the united states answering some questions making a statement on the economy, questions were on the economy except that third question was on the allegations that the white house has been deliberately leaking classified information, sensitive information to try to promote the president's re-election and you heard the president get rather animated and emotionally, categorically denying say these allegations offensive, some allegations coming from influential republican leaders in congress including senator john mccain, and other chairmen of various committees, republicans in the house as well as republican leaders in the senate. there's going to be a lot more short fallout on this, i suspect the president wanted to focus almost exclusively on the economy, the economic recovery, what's going on in europe, the spill over effect in the united states, but his answer to that third question on the leaks will certainly be, will be dominating the news and generate further reaction. we're already being told that the republican leaders in congress will hold a separate news conference around 12:30 p.m. to react to what we heard from the president and the presidential nominee, presumptive nominee mitt romney will react as well. jessica yellin was in the briefing room. she's joining us now. jessica as our chief white house correspondent, you saw the president get operate animateed in response to that question about the leaks of sensitive classified information. >> yeah. he was forceful on that one, em writers, but can they say that definitively. they can't. they have to rely that on the writers of these articles to assert that. he also did not make clear -- he suggested that there's no current investigation at the white house right now on this issue. it's clear that this is going be an ongoing story and a headache for this white house for some time because no doubt as it continues they can't stay away, you know, that answer alone is not going to keep the questions from coming. and it is one of those issues because of the bipartisan nature of the inquiry on the hill that will continue to pound away at the white house. as for the rest of this, it did seem the president was on a bit of the defensive, raising concern about europe, something that seemed sort of vague and out, you know, sort of a vague threat to the u.s., a potential possible threat down the road. really what he was doing was hammering congress yet again with as we've said proposals that have been out there since september. he did not propose any new compromises. he did not propose even new ideas that are democratic ideas, for example. not even, a you know, republican idea. it is, again, the president facing off, squaring off against congress in an election year saying we can't get our agenda done because the republicans are obstructing. and true or not, the bottom line is that the american people see is washington not working. and his data is accurate. you know the private-sector you can talk to ali and christine, the private-sector has grown under him. the public sector jobs are suffering. the bottom line, the economy is suffering sluggish growth and washington could be doing more to help and so everybody in washington now is looking sort of blameless and everybody wants somebody to do something and i'm not sure this is enough to make congress change its position or to even make the american people feel that the president is moving forward to change in a way to do something different, to make the economy feel on a forward foot, wolf. >> suspect you're right, jessica. i suspect gridlock over the next five months between now and the election in november will continue. let me bring in candy crowley into this conversation. candy you've covered congress for a long time. do you know anything foirn senate needs 60 votes to break a filibuster. the republicans have a significant lopsided majority in the house of representatives. i assume you agree with all of us that what the president said today is not necessarily going to inspire the republicans to change their attitude and there's all of a sudden going extensive bipartisan cooperation. >> no. it's not going to get anyone to change their mind. in general what's happened with a lot of these things he's talking about, for instance the help for state and local government, the republicans have argued we've done that. and now we're back to putting money in so that handing money to states and local government whose have to balance their budgets and therefore can't operate in the red the the way federal government can. we've done that before. as far as helping those who have kept up with their homes but under water and could take advantage of low interest rates that particular bill, they said the other housing programs that we spent money on have not worked the way they should have worked. when you look at the proposal that would put people back to work in those, we used to call them shovel ready projects, they also, republicans also argue that doesn't do it. we need the big ball game not this small ball game. so i suspect you'll hear that from the republicans. everybody, what's interesting to me is everyone says a lot of these big decisions that you look at, not these particularly but the bigger decision, about the debt ceiling and the tax cuts and spending cuts, the tax hikes and the spending cuts we're going wait and the election will settle this and yet i have not, have yet talk toni politician who actually believes that the election will settle anything. that suddenly in the senate there will be 60 votes for one party. nobody thinks that will happen. so they are waiting for an election for results to show them which way to go and the results are not likely to do that. so i suspect at the end of this year there will be a lot of people hanging out on christmas eve and new year's eve trying to figure out the same problems by the way they were still trying to figure out last new year's eve. >> that lame duck session after the election will be really, really important. christine romans is watching all of this. president opened with a strong statement about the european economic problems, christine. ep said there's fears of a renewed recession in europe right now and if in fact that were to happen europe being america's largest economic trading partner that would have a spill over effect on the recovery here in the united states. >> it's not hypothetical or a prognosis. it's happening. look, we're already seeing it happen. u.s. exports to the eurozone have slowed almost 5% from january to april. and whether the president talked about paris, madrid, milwaukee, what's happening in those economies affects companies doing business here in this country and that's a real concern. so even as we were concerned about how slowly we're seeing job creation in this country, europe's problems, if they get worse will continue to hit export related companies in the u.s. and that's going to be more job loss, more political pressure for this president. and really brings to the fore that the number one issue here is your job, your job security, your neighbor's job, your ability to get a job, and the feeling that we're just not creating them robustly. the president said something that was interesting. he said the private-sector is doing fine. it's the local state and local government jobs that we're concerned about and the cuts from that level. i think there are some in the private-sector that are doing just fine but we need to see private-sector job creation better than we're seeing it as well. this has been -- this has been a slow jobs recovery. he pointed out that it is morrow bust than the last jobs recovery from a recession and that may be true, but it still doesn't make people feel better about only 69,000 jobs created last month. >> we'll see what happens this month. it's significant development when you take a look at what he's saying about private-sector jobs, you know, increasing steadily. the problem being state and local jobs, construction jobs, a million construction jobs need to be created right now. some of these huge corporations, these fortune 500 companies are sitting on hundreds of billions of dollars, maybe even a trillion or a couple trillion dollars. >> 2 trillion. >> they don't want to invest this money and start creating jobs because they are nervous what's going to happen after election. they are nervous about the tax struck purr. they are nervous about the european situation. you can't blame some of these companies doing it. how do you convince these companies to take that money, that cash that they have that they are sitting on and use it to start building infrastructure, creating jobs? >> it's all about confidence. when they have confidence that denainsd amand in the u.s., and on tax front they will spend that money. another important point and something that has not happened in this administration or the last administration. for many years companies have been getting more and more of their revenue from overseas and you look at some of these big companies where 40%, 50%, 60% of their revenue is coming from overseas that's where they are creating jobs. that's a bigger story. that's a structural employment story in this country that kind of gets lost in the shuffle about pass this or don't do this or tax the rich to put construction workers to work building bridges. that's a near term cyclical problem. companies are sitting on cash because they want to spend cash overseas. >> they are not sure what will happen. christine, thanks very much. kara phillips is fanneding by. the economy, jobs issue number one but you also heard the presidentawayi iweighing in on agencieses, including john mccain that the obama administration has deliberately leaked classified information to score political points and then president get re-elected and you heard the president of the united states express his outrage about that. he says that's offensive, that is wrong, people need to get a better sense. i think he was reacting directly to senator john mccain among others. >> we heard jessica yellin right there at the white house say this is definitely a story that's not going to go away, wolf, so we'll continue to follow all the details on that. wolf, thank you so much. we're also following a major worldwide roundup of suspected child predators right now. we're being told 190 arrests in the uk, u.s., spain, argentina and the philippines have taken place. 18 rescues also of underage victims. called operation o'ryan and it took out throughout the month of may targeting people possession, produce child pornography. it was led by the child completation investigations unit of the u.s. homeland security. we will follow more on that story as well. another story happening this hour. a deadly outbreak of e. coli spreading in the south. already 14 people in six states have gotten sick. one person has died. we still don't know where the bacteria originated. senior medical correspondent elizabeth cohen is here. i was asking you a number of questions about this. as a parent i'm even more concerned about this. what do we know at this point about where this possibly has come from? >> all we know it's a strain of e. coli called 0145. this is a vicious strain of e. coli. proipt duce toxins. you have the bacteria and produce toxins to shut down your whole body. we're told they suspect that this has come from one source and that's because when they look at this under the microscope the molecular fingerprint is identical when you look at person to person to person. and you can see, you can seeing right here this is how they do it. they collect specimens from all people. they now have to figure out what the source is. >> we have one infant that has dined new orleans. >> right. then a number of people that have gotten sick. you were explaining to me they are doing very intense interviews with these individuals to try to track down the source. tell me how that works. >> they sit down with the cdc investigators, state investigators will sit down with people and get a list of everything they eat. they want to know everything. they will particularly pay attention to meat products and produce. we've seen e. coli in beef, lettuce and they want to know what people ate and when they ate it. they have been seeing these cases since april 15th. this is not an entirely new thing. they know that something was out there in the food system since april 15th and that it seems like it's still out there because they are still hearing new case. we were told earlier today 13 cases now we're hearing 16 cases. this is growing. >> so pretty much it didn't take place at a restaurant. >> right. let me correct myself i said 16 cases, i should have said 14 cases. so it's probably not just, you know, joe's restaurant in one place that had one sick waiter who got everybody sick. you're seeing this spread across six states which is what we're being told now. six states. when you're seeing that it makes you enthusiast it's a food that's gotten into the food system. for example perhaps it's a meat product which is distributed widely. perhaps it's spinach. perhaps it's lettuce. we just don't know. we know it's in alabama, florida, georgia, louisiana and then two more states and no one has told us the names of those two states but there are two more states in addition to the four i just named. >> final question. how quickly will we know something? >> when they sit down and talk to people they can figure out relatively quickly what the connection is. it's detective work. this is what they do. they do this for a living. they get to it pretty quickly. >> we'll stay on the story. keep us updated. we'll keep you updated as we get information. stay safe by remembering to wash your hands, make sure all food you set fully cooked and more information on the e. coli bacteria. visit ecoli.gov. 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