Get a jump on the day's news with Christine Romans and Dave Briggs. >> we will watch the situation very closely. paula, thank you for the report. jury selection begins later this morning in the federal trial of the former trump campaign paul manafort for alleged financial crimes. the first test for special counsel robert mueller and his prosecutors although russia is not the center of the trial. we have more from evan perez from washington. >> reporter: dave and laura, paul manafort, the former campaign chairman, is going on trial in virginia on federal tax and bank fraud charges. this is the first trial to come from robert mueller's investigation. don't expect the trial to be about russia or collusion or president trump. prosecutors and attorneys plan to stick closely to the issues in the charges which have to do with the government's accusations that manafort used secret foreign bank accounts to hide millions of dollars he earned working for the ukrainian government and failed to report it to the irs. crime. for context, the criminal code doesn't use the word collusion, but it could include crimes like conspiracy. >> giuliani suggested before the meeting in 2016 at trump tower, several aides met for a pre-meeting to discuss the strategy. >> lannie said there was a meeting two days before with donald junior and jared and manafort and two others. gates and one more person. >> it is important to know, rick gates, the right-hand man to paul manafort, is cooperating with the robert mueller investigation. after requests for clarity, rudy giuliani later said the meeting never happened and insists his description came from questions by reporters. speaking overnight, giuliani appeared to blame the confusion on "the new york times" reporters who suggested he spin a potentially damaging story. the former head of the human resources of fema accused of trading sex for jobs. cnn reviewed a summary of the preliminary investigation. finds cory coleman experienced relationships with female subordinates. he pressured the women and demoted them if they tried to deny him. the first accusation dates 2015. coleman resigned when approached for an interview. his name does not actually appear in the summary, but a source confirms he is the subject of the report. coleman resigned when they approved him for the interview. the allegations are deeply disturbing. cnn has been unable to reach coleman for comment. a federal court in california ordering broad changes in how the government detains and treats migrant children in the facilities. it is requiring the government to stop imposing conditions that delay releasing minors to parents or relatives. the judge said the government violated a 1997 settlement that dictates how refugee children are to be treated in the system. the justice department declined to comment. progress is slow, but it is being made as crews battle the carr fire raging in northern california. the monster blaze has consumed more than 103,000 acres and it is 23% contained. six people have died and 19 are missing. more than 1,100 structures burned making it the seventh most destructive fire in california history. one girl doing what she can to help. chelsea recording her daughter handing out burritos to firefighters working the carr fire. we get more from nick watt in redding, california. >> reporter: dave and laura, firefighters fighting this fire have described it as chaotic and unpredictable. they talk about how a gust of wind at any moment can cause a at low prices all summer long. save $200 on this dell laptop at office depot officemax. in the movies, a lot of times, i tend to play the tough guy. but i wasn't tough enough to quit on my own. not until i tried chantix. chantix, along with support, helps you quit smoking. it reduced my urge to smoke to the point that i could stop. when you try to quit smoking, with or without chantix, you may have nicotine withdrawal symptoms. some people had changes in behavior or thinking, aggression, hostility, agitation, depressed mood, or suicidal thoughts or actions with chantix. serious side effects may include seizures, new or worse heart or blood vessel problems, sleepwalking or allergic and skin reactions which can be life-threatening. stop chantix and get help right away if you have any of these. tell your healthcare provider if you've had depression or other mental health problems. decrease alcohol use while taking chantix. use caution when driving or operating machinery. the most common side effect is nausea. my favorite role so far? being a non-smoker. no question about it. talk to your doctor about chantix. where we're changing withs? contemporary make-overs. no question about it. then, use the ultimate power handshake, the upper hander with a double palm grab. who has the upper hand now? start winning today. book now at lq.com. whenshe was pregnant,ter failed, in-laws were coming, a little bit of water, it really- it rocked our world. i had no idea the amount of damage that water could do. we called usaa. and they greeted me as they always do. sergeant baker, how are you? they were on it. it was unbelievable. having insurance is something everyone needs, but having usaa- now that's a privilege. we're the baker's and we're usaa members for life. usaa. get your insurance quote today. obama tried to do the same thing. bill clinton tried to do the same thing. iranians never wanted to do this because they are ideologically against the united states. they had the nuclear talks where they sat down with john kerry. now donald trump laid down the cards and said i'm ready to sit down with you guys without pre-conditions. of course, secretary pompeo has made conditions. you can be sure iranians are looking at donald trump and it poses the question are they ready to sit down? iran has a long history of talking secretly to the united states. they don't mind to talk to america behind closed doors to make deals as long as for the greater public this doesn't happen. if president trump has a meeting in mind between him and president rouhani, that will be hard ideologically to swallow for the iranians. at the same time, more and more voices here in iran will say look, our government has to make amends. the economic situation in iran is going fastly do quickly down. the push for iran's leaders to actually sit down with donald trump, a man they really dislike, is really great. >> thomas, thank you for joining us there in iran. time for an early start on your money. the trump administration looking to cut another $100 billion in taxes mainly for rich americans according to "the new york times." steve mnuchin told the times at the g20 summit that his department was considering overhauling how the capital gains tax is calculated to allow taxpayers to adjust the asset like the home or shares of stock for inflation when selling. mnuchin said the treasury department is considering bypassing congress to make the tax cut happen. analysis shows that over 97% of the benefits would go to the top 10% of income earners in the united states. senate republicans rejecting president trump's threat to shutdown the government in september if he doesn't get his funding for his border wall. at least for now. >> finish up the set of appropriate measures. we have been considering for several days and take four more big steps toward our goal of completing a remember appropriations process and funding the government in a timely and orderly manner. >> the president wants to shutdown the government, you know, that's his prerogative. i think it would be a mistake and i don't think it will be necessary. >> even members of the president's own party are learning to shrug off or simply ignore his sporadic impulses. >> still the president persists reiterating the shutdown threat on monday. >> after many, many years of talk within the united states, i would have no problem doing a shutdown. it's time we had proper border security. >> according to a white house aide, chief of staff john kelly trying to soothe anxious members of the white house legislative affairs office. kelly saying the president is still on board with the agreement struck with republican leadership at the meeting that did not include threats of a government shutdown before the midterms. on september 11th, president trump gets the full bob woodward. the investigative reporter releases "fear." his first book on the trump administration. the book is based on memos and documents and notes, including some handwritten by the president himself. a source tells cnn that woodward went back to shoe-leather reporting of the watergate days knocking on doors at night and talking to officials to talk to him all on tape. >> you know, woodward, associate editor at the paper, a source cites the simon and schuester report. lebron james telling cnn that president trump is using sports to sow division in sports. we will have a report next. take that. 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a week from thursday? we are not far out. >> not a week from thursday, dave. thursday is the hall of fame game. >> it is my anniversary. i should know that date. let's hope they get that anthem policy in order. they have a couple of days. andy scholes, thank you. new signs north korea is building more missiles outside pyongyang. what it means for diplomatic efforts. we are live from seoul. and the first trial stemming from robert mueller's investigation starts today. don't expect a lot of focus on russia at paul manafort's trial. 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 i saw my leg did not look right. i landed. i was just finishing a ride. i felt this awful pain in my chest. i had a pe blood clot in my lung. i was scared. i had a dvt blood clot. having one really puts you in danger of having another. my doctor and i chose xarelto®. xarelto®. to help keep me protected. xarelto® is a latest-generation blood thinner that's... proven to treat and reduce the risk of dvt or pe blood clots from happening again. in clinical studies, almost 98% of patients on xarelto® did not experience another dvt or pe. xarelto® works differently. warfarin interferes with at least 6 of your body's natural blood-clotting factors. xarelto® is selective, targeting just one critical factor. don't stop taking xarelto® without talking to your doctor, as this may increase risk of blood clots. 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 another dvt or pe. talk to your doctor about xarelto®. new revelations overnight that north korea could be building new missiles. the work picking up after the singapore summit. we're live in seoul. paul manafort's trial begins today on financial crimes. a lot riding on the case against the president's one-time campaign chief. and the carr fire in california now chewing up over 100,000 acres. 19 people remain missing in one of the most destructive fires in state history. welcome back to "early start." i'm laura jarrett. >> i'm dave briggs. 100 degree temperatures for redding, california. we will have an update for you straight ahead. we start with politics. signs that north korea could be building more missiles. "the washington post" reporting satellite images show that work is under way on the new intercontinental ballistic missiles in the suburb of pyongyang. if true, the work of the icbms would be a serious blow to the diplomatic efforts between president trump and kim jong-un. for the latest, let's bring in paula hancocks in seoul. six weeks ago, you remember the president tweeting there is no longer a threat from north korea. what about these claims, paula? >> reporter: dave, even then it was thought that north korea observers it was premature. "the washington post" report saying one or two liquid fuel icbms are currently being built in north korea. one official tells cnn this is consistent with what is known. kim jong-un is not fully agreed to denuclearization after the summit with president trump. he agreed to work toward denuclearization. also, we understand from the u.s. official, that washington is not too worried about the liquid fuel icbms for the reason they take so long to put together. that the u.s. intelligence agencies would have advance warning. clearly the challenge at this point according to the u.s. official for the trump administration is to find out exactly what the north koreans have and what is in the program ahead of kim jong-un giving inconvenieventory and potentialg he would give that up. many experts saying they are likely to try to hide some of their facilities. are there secret facilities? will they admit to the arsenal they have here? this is an issue that previous administrations have come up against and now this is an issue for the trauump administration well. dave. >> curious how the president tweets about this in the days ahead. paula, thank you. a white house official now confirming what is plainly obvious. the president's press team is not coordinating with rudy giuliani concerning his comments on behalf of mr. trump's legal team. that was apparent monday when giuliani went on to make a series of bizarre claims on "new day" including the fact that he is not sure that collusion with russia is even a crime. now, for context, the criminal code does not use the word collusion. that is true. it is also generally understood that as a broad term, that could include more specific crimes like conspiracy. >> giuliani also suggested before the trump tower meeting with the russians in 2016, several trump aides met for a pre-meeting to discuss strategy. >> lannie said there was a meeting two days before with donald junior and jared and manafort and two others. gates and one more person. >> it is important to know, rick gates, the right-hand man to paul manafort, is cooperating with special counsel robert mueller's investigation. after requests for clarity, rudy giuliani later said the meeting never happened and insists his description came from questions by reporters. speaking overnight, giuliani appeared to blame the confusion on the new york times reporters who compelled him to potentially spin a damaging story. got that? >> no. >> let's bring in phil wegmann. phil, good morning. what is going on with rudy giuliani right now? the confusion is everywhere. he was all over the place yesterday. i want to let you listen to just a little bit of what the folks over at fox news had to say. political editor had this to say about it and we will come back and talk about it. >> it became apparent that as giuliani was listening, he said egad. i made a mess. i better clear it up. line one, long time viewer, first time caller. rudy from new york. what do you have to say? no ditto today. >> i tend to agree with mr. hume on this which is i do not think this is strategic chaos. i think this is just plain chaos. >> so, phil, is chris right about this? is this just chaos? >> it seems to fit the brand of the administration when it comes to crisis communications. giuliani is out in front of the cameras and it is clear he is not coordinating with sarah sanders or anybody else in the white house. this is creating more problems than fixing. the main take away, the main policy take away was that the president's laura degrwyer agre the president. it is no longer that trump did not collude with the russians, but even if trump did collude, it is no longer a crime. that is something the president has been saying since december. something he has been able to get away with putting it out there. the difference is now giuliani is saying or codifying that sentiment especially with the foreign powers who may be interested in running a similar play in 2018 or 2020. >> my take away is this tap of the head apparend hit on the ta did not come up with good strategy for giuliani. president trump reiterated the claim along side the prime minister of italy saying if he doesn't get that big beautiful wall, he is prepared to do a shutdown. listen. >> after many, many years of talk within the united states, i would have no problem doing a shutdown. it's time we had proper border security. >> when republican leadership was asked about this, they collectively said meh. john thune said i hope it is a negotiating tactic. i recognize the look of the republican leadership. it is one my kids give me when i make a completely hollow threat. what do you make of the reaction of republicans based on the threat of the shutdown? >> on one hand it is understandable. donald trump from the very beginning said he wants the border wall. that is his main brand. republicans have not delivered on. that on the other hand, donald trump is in interesting territory. what he is in danger of doing is implying to his base. those people in the house and senate cannot give me a border walla as it is. why show up to vote. president trump has tax cuts. he will have a second supreme court justice. it is a head scratcher as to why he would bring up the shutdown threat rather than talk about actual accomplishments. >> phil, does president trump care if republicans lose the house in november? an interesting editorial in "the wall street journal" that suggests he may be okay with a nancy pelosi. goes on to say, mr. trump may not welcome a democratic house, but not fear it as long as republicans keep the senate. what is your take? does he care? >> president trump has had a hard enough life as it is when republicans are control of the house. he will not enjoy life when there are all sorts of talks of impeach. with people in the house -- impeachment with people in the house probing into his personal business. trump is more transactional than ideological. he may survive if democrats take over the house. it is a different ball game if they do. let's not kid ourselves. life is more comfortable for him as long as a republican is banging the gavel. >> i'll give you the most influential donors on the right. koch brothers are not making it easy. they are prepared to spend millions, but not giving it all to republicans. not backing the republican running against heitkamp in that senate race. how significant is that break? based on the fact that republicans have forgotten conservative financial principles. >> this is huge. it shows that the koch brothers are more interested in principled wins than trump tribalism. they will back candidates who are in support of free trade and support of welcoming immigration policy. i think what this really does is this takes the wind out of the sails from a lot of people on the left who want to make the koch brothers the political boogie men. this is more about policy than partisan wins. that is why we see a lot of feathers ruffled on the right with this announcement. >> there are still conservatives concerned about massive deficits. phil, good to see you. thank you. jury selection begins this morning in the federal trial of former trump campaign chairman paul manafort for alleged financial crimes. it is the first public test for special counsel robert mueller and his prosecutors. we have more from evan perez in washington. >> reporter: dave and laura, paul manafort, the former campaign chairman, is going on trial in virginia on federal tax and bank fraud charges. this is the first trial to come from robert mueller's investigation. don't expect the trial to be about russia or collusion or president trump. prosecutors and attorneys plan to stick closely to the issues in the charges which have to do with the government's accusations that manafort used secret foreign bank accounts to hide millions of dollars he earned working for the ukrainian government and failed to report it to the irs. manafort has pleaded not guilty to the charges. in the hours before jury selection begins, the two sides a are still squaring off over the evidence the jury will be allowed to see. e-mails and photos that they say are irrelevant and prejudicial. the prosecutors say the evidence is important to show how manafort earned $60 million working as a political consultant for the ukrainian government. manafort faces another trial later this year on charges from washington, d.c. dave and laura. thank you, evan. those of you want your morning coffee. dunkin' donuts is going gluten free. we will tell you about the company's first gluten-free product ahead. -laws were coming, a little bit of water, it really- it rocked our world. i had no idea the amount of damage that water could do. we called usaa. and they greeted me as they always do. sergeant baker, how are you? they were on it. it was unbelievable. having insurance is something everyone needs, but having usaa- now that's a privilege. we're the baker's and we're usaa members for life. usaa. get your insurance quote today. does your business internet provider promise a lot? let's see who delivers more. comcast business gives you gig-speed in more places. the others don't. 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 gig-speed network and add voice and tv for $34.90 more per month. call or go online today. progress is slow, but it is being made as crews battle the carr fire raging in northern california. the monster blaze has consumed more than 103,000 acres. right now it is 23% contained. at least six people have died and 19 are still missing. more than 1,100 structures have burned making it the seventh most destructive fire in california history. one little girl doing what she can to help out. chelsea lutz recorded this video of her 2-year-old daughter gracie handing out burritos to firefighters. we have more from nick watt from redding, california. >> reporter: dave and laura, firefighters fighting this fire have described it as chaotic and unpredictable. they talk about how a gust of wind at any moment can cause a problem. this fire started more than a week ago and it was under control for a few days until the weather conditions turned. temperatures soared and humidity dropped. this fire using fuel with the dead vegetation just spread through the area. it is interesting to note that of the top 12 biggest fires in california, 7 of them have taken place since 2015. the personal cost here has been huge. six people have been killed. two firefighters. what will happen next with the fire? well, the forecast is for 100 degree temperatures for the rest of the week and no rain in that forecast and that could make this fire tricky to get ahold of. back to you. >> thank you, nick. a rocky near for tyson foods and trades wars not helping. tyson lowered the profits for the year nearly 12% as uncertainty sent chicken and pork prices were lower. the stock is down 26% for the year. also not helping the business is a oversupply of frozen meat. producers are storing 2.5 billion pounds of beef, chicken, pork and turkey. looking like a good day for stocks. this comes after the nasdaq closed more than 1% lower yesterday. marking the first time nasdaq had three consecutive declines of 1% more in nearly three years. falling technology stocks of facebook, amazon, netflix and google and alphabet started in the red after growing slower than expected. another stock suffering this week is the parent company of moviepass. shares plunging 60% monday amid reports that customers were having problems with the app. the stock fell as low as 78 cents a share on monday raising concerns it could be de-listed from the nasdaq. moviepass struggled with customer issues this weekend. some customers had problems checking in and others could not get tickets for "mission impossible f impossible:fallout." and gluten free people out there? dunkin' donuts has a new fudge brownie available gluten free. it is projected to rake in $2 billion in sales by 2020. a 20% increase from 2015. that is according to food industry research company packaged facts. they offer chicken tenders and ham and cheese rollups. gluten free sufferers. i'm ready for a brownie breakfast in ten minutes. lebron james taking on the president's attitude toward athletes. >> he is trying to divide our sport. at the end of the day, sport is the reason we all come together. >> what else lebron tells us about national anthem protests up next. ou w busi stay at laquinta where we're changing with contemporary make-overs. then, use the ultimate power handshake, the upper hander with a double palm grab. who has the upper hand now? start winning today. book now at lq.com. 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. does your business internet provider promise a lot? let's see who delivers more. comcast business gives you gig-speed in more places. the others don't. 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 gig-speed network and add voice and tv for $34.90 more per month. call or go online today. in case you missed it, rudy giuliani's media blitz got a few people confused. including the late night hosts. >> tweets were not the way he fought back. he unleashed trump attorney and man watching them open the ark of the covenant. giuliani. giuliani also unveiled an air-tight defense for his client. >> they will not be colluding about the russians. i'm not sure that is a crime. >> i don't even know if that's a crime. you are his lawyer. you are supposed to know what the law is. that is like your doctor going i don't know if that is a disease bleeding from your eyeballs. >> the president's credibility is not at issue. >> you don't think the president has a similar credibility problem? >> he does. he is a liar. his lawyer is lying about his lawyer's lying lies. >> so much material there. >> always. every day. rudy is providing it. cbs ceo les moonves will remain in the job while the network investigates sexual misconduct allegations. the board is lining up an outside law firm to investigate the claims made by six women. in a new yorker magazine story, the board says no other action was taken at monday's meeting and it postponed the annual stockholder meeting scheduled for august 10th. moonves says he promoted a culture of respect and opportunity for all employees, but admitting there were times decades ago when he may have made some women uncomfortable by making advances. 21 states trying to stop the release of plans for building 3d printable guns. they have written to the trump administration asking it withdraw from the settlement. under the settlement, people are not allowed to download guns until wednesday. because the designs have already been posted online, by sunday, more than 1,000 people already had downloaded plans to print an ar-15 style semiautomatic assault rifle. kids, no more snow days in one south carolina school district. officials in anderson county school district five announcing when roads are too treacherous to travel, teachers will send assignments to kids on the school supplied chrome books. only a small percentage of students attended the snow makeup days tacked on to the end of the school year. noting south carolina has little snowfall each year. lebron james believes president trump is using sports to sow division in the country. lebron speaking to don lemon after opening the i promise at risk school for kids in akron, ohio. he points to the number of cases where the president has taken advantage of displays of >> kaepernick, who was protesting something he believed in and did it in a calm fashion. all the nfl players still kneeling, you look at staff,