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Global Markets Tumble After Trump Announces Sweeping Tariffs; Pentagon Schedules First Major Golden Dome Test; CDC: Record Share Of Kindergartners Missed 2024 Required Vaccinations. Aired 7:30-8a ET

Aired August 01, 2025 - 07:30   ET

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

[07:30:00]

MARC STEWART, CNN INTERNATIONAL CORRESPONDENT: We are seeing declines in futures. That includes the S&P 500. That is important because that is the stock index that's tied to many of our 401Ks, so a lot of people are going to be paying attention to that.

So no question there is anxiety on Main Street and on Wall Street among families as well as business owners.

Listen to the concern we heard from one analyst who we heard from earlier today here on CNN.

(BEGIN VIDEO CLIP)

CAROLINE FREUND, DEAN, UC SAN DIEGO SCHOOL OF GLOBAL POLICY & STRATEGY: My biggest fear actually is the investment that's not happening because companies don't know how much their inputs are going to cost. Companies don't know how much it's going to cost to sell things in the U.S. or elsewhere. So there's just kind of a lot of sitting on their hands, which is going to slow down growth around the world.

(END VIDEO CLIP)

STEWART: And then there is the China question where I am. China and the U.S. have a trade truce in place until August 12. We know that there were trade talks between the U.S. and China earlier this week in Stockholm, but at this point there hasn't been kind of handshake, if you will.

And this is not just about economics, John, especially when it comes to the U.S. and China. There is ego involved. President Trump wants to look strong and Chinese leader Xi Jinping certainly doesn't want to appear as if he is taking orders or caving in to the United States.

Maybe we'll get some clarity today but these next hours ahead are going to be crucial, John, on so many different fronts.

JOHN BERMAN, CNN ANCHOR: Yeah. U.S. futures down about a percent across the board. We'll see where that goes over the course of the morning.

China news I think would certainly impact things if that were to come today or over the next few days.

Marc Stewart, good to see you. Thank you very much -- Kate.

KATE BOLDUAN, CNN ANCHOR: Let's talk more about the -- where the trade kind of playing field at this very moment after the big announcements overnight.

Joining us now is former chief of staff to Vice President Mike Pence, Marc Short, and Democratic strategist Matt Bennett. Gentlemen, thank you for being here.

Marc, when you look at what the president has -- was going to take effect at midnight and then what the president announced late Thursday in terms of just dozens and dozens of countries facing new tariff rates, do you think you're going to be in some of an upside-down world as a Republican when you look at the trade policies of the Trump administration now?

MARC SHORT, FORMER CHIEF OF STAFF TO VICE PRESIDENT MIKE PENCE: Yeah, Kate, it's absolutely upside-down. I think that Republicans have traditionally advanced trade.

And there's no doubt that when Donald Trump came on the scene in 2015- 2016 this was a core belief of his that he's always been consistent on. But it's not something that was really acted on in the first administration and it's clear he wanted to surround himself with people in the second administration who would advance this very protectionist trade policy that Matt and I were joking has traditionally been part of the Democrat platform in the past.

And so, yeah, I think it is upside-down. I think it's incredibly counterproductive that the president has had markets at all-time highs. I think a lot of Americans celebrating the passage of the tax bill and tax relief coming, this wipes it all away. That basically the expense of the tariffs on every working family in America is going to counterbalance.

And we talk about the amount of revenue coming in, it's not coming from foreign governments. It's coming from American citizens who are paying this tax.

And so -- and so basically, you know, when Republicans celebrate that you have hundreds of billions of dollars expected in tariff revenue, it's almost like Joe Biden is saying hey, we just taxed Americans a few hundred billion dollars. Aren't we all happy about that?

So yeah, it's entirely an upside-down world, Kate.

BOLDUAN: I mean, Matt, most countries are rushing -- they are rushing to engage and make deals. I mean, you have the EU, the UK, and South Korea. The way it's generally been described is the market -- I mean, you see Asian markets are down and market futures are down as well, but that the market has kind of shrugged its shoulders, if you will, over all of this uncertainty so far.

And leaders of so many nations seem to be just grudgingly accepting -- because they have to -- what is coming at them in terms of these new tariff -- these new tariff increases.

Even if the economic benefit is -- we'll just call it debatable -- is it politically a win for him potentially?

MATT BENNETT, EXECUTIVE VICE PRESIDENT OF PUBLIC AFFAIRS AND CO- FOUNDER, THIRD WAY, DEMOCRATIC STRATEGIST, FORMER WHITE HOUSE DEPUTY ASSISTANT, CLINTON ADMINISTRATION: I do not think so. Remember, nobody's going to be voting. except in a couple of elections in November, for a year and half, and that's going to be plenty of time for these tariffs to jack up prices.

I mean, there's going to be a 50 percent tariff -- there is a 50 percent tariff on Brazil where a lot of coffee comes from. So when you go in the morning wherever you get your coffee it's going to be a lot more expensive. And that's going to be across the board on an array of things that Americans count on.

So this is a guy who won the election principally on the promise to bring down prices, and he has done only things that will jack up prices, and this is the most egregious example of it.

[07:35:00]

There is no reason to do this at all unless you think it's going to bring manufacturing jobs back to the United States -- but it isn't. The tariffs are not high enough to do that, thankfully. He's too chaotic a thinker to do it in a strategic way. And so, in fact, it is making American manufacturing more expensive based on some of the materials that we have to use to build things here. No jobs are going to come back, and American families are going to pay more.

So nothing about this makes sense and it's just a huge flat tax on Americans, which hurts the poor and the middle class much more than it hurts everybody else.

BOLDUAN: And there's also -- I'll add into it another level of uncertainty here right now, Marc. Yesterday, an 11-judge federal appeals court panel sharply criticized the Trump administration as there are small businesses that are taking them to court. And sharply criticized the administration's authority to impose these sweeping tariffs on foreign trading partners under this kind of unprecedented use of emergency powers. This lawsuit is likely expected to end up at the Supreme Court

But still, you think this is the big deal that people are not paying enough attention to, probably legally and politically. Why?

SHORT: Well Kate, as I said, I think this is really bad economics and I think it also can be damaging from a national security perspective because I think in the first administration where there were limited tariffs that isolated China.

But I do think as well we've not focused enough on the legal part of this. There is just no precedent for using IEEPA for tariffs as some of the judges yesterday made the case. It's not even -- the word is not even in the statute. And so there's no president that has done this before. It was always

something our founders provided to the legislative branch to tax the American people. And so I think he's going to lose at this at every level. But I also think the president has the unique ability that if he loses here, he'll appeal to the Supreme Court, and if he loses at the Supreme Court he'll find 232 or 301 or other avenues to continue to push this protectionist trade policy.

So I do think that there's a lot of people, particularly in Republican circles, who have said I don't need to speak out against the president. I'll let the courts do it. But I think that's a really long process, Kate.

And to your earlier question about the markets, yeah, markets have been at all-time highs because on April 2, he delayed them. And I think there's an expectation that he's just going to keep delaying them. And now you seen him going to impact -- you see what markets are doing this morning.

BOLDUAN: Real quick, Matt, I want to ask you because Kamala Harris sat down with Stephen Colbert for her first interview since leaving office and talked about her announcement that she is not going to be running for governor of California.

Let me play this.

(BEGIN VIDEO CLIP)

KAMALA HARRIS, (D) FORMER VICE PRESIDENT OF THE UNITED STATES: Recently I made the decision that I just -- for now, I don't want to go back in the system. I think it's broken. But it doesn't mean we give up. That's not my point.

STEPHEN COLBERT, HOST, "THE LATE SHOW WITH STEPHEN COLBERT": OK, because that's what I -- I'm hearing. Like, you don't want to be part of the fight anymore.

HARRIS: That's -- no, no, no, no, no, no. Oh, absolutely not. I am always going to be part of the fight.

COLBERT: OK.

HARRIS: That is not going to happen.

(END VIDEO CLIP)

BOLDUAN: Joe Biden also out giving a big speech last night.

What does all of this mean for Democratic politics and the Democratic Party right now?

BENNETT: I mean, look, we're trying to move on and so it's not particularly helpful to put the focus back on that administration. But I certainly understand why the former vice president wants to take a step back. Losing -- especially losing to Donald Trump is unbelievably painful, and who can blame her for not wanting to, like, launch into another big campaign for elective office right now.

If she does run for president though it'll be really something we haven't seen in 70 years in the Democratic Party where a former nominee who lost is going to run again. We haven't had that since Adlai Stevenson.

If she does run, she -- I think it will be very important for her to take a hard look back at the way she ran in 2019 and what happened in 2024 and try to learn some of those lessons. But, of course, she hasn't decided that, and we don't know if she's going to do it.

BOLDUAN: Yeah.

Marc, we're out of time but I'm going to read your thought bubble for you. You're pumped to see more of Kamala Harris and Joe Biden out giving speeches.

SHORT: Absolutely. Yeah, let's just keep them out there and keeping it going.

BOLDUAN: Thanks, guys. Good to see you -- John.

BERMAN: All right. Breaking overnight Trump administration officials in Gaza seeing the hunger crisis firsthand. We've got new pictures just in of special envoy to the Middle East Steve Witkoff and U.S. ambassador to Israel Mike Huckabee visiting an aid distribution site in Rafah. Huckabee said they received briefings from the Israeli military and "spoke to folks on the ground." Hamas is slamming the visit as a staged photo op.

With us now is CNN global affairs analyst Kim Dozier.

And the ambassador to Israel, Mike Huckabee, just put out a statement praising the GHF, the Gaza Humanitarian Foundation, which there are a lot of people around the world who think have not done a great job getting food on the ground to Israel.

So what does that tell us about where the United States is? What kind of triangulation is going on because the world is condemning what they see as starvation inside Gaza? President Trump has condemned it as well. Israel is saying there is no starvation, but now U.S. officials are on the ground with Israeli ones. Where does that leave things?

[07:40:00]

KIMBERLY DOZIER, CNN GLOBAL AFFAIRS ANALYST: Well, what the U.S. officials are seeing is, of course, a very secure, sanitized version of events. They wouldn't be brought into an area that isn't tightly controlled by rings of IDF, et cetera.

And the Gaza Humanitarian Foundation, at its core, it's staffed by former USAID officials, former U.S. military, Israeli officials. It has the expertise to deliver the aid and arguably, has reached some Palestinians. The problem is because of who it represents it's a target inside Gaza. So it's got rings of concentric security around wherever it's delivering aid and each of those rings has different operating procedures in terms of what will allow them to fire.

So there have been accusations that the IDF protecting these sites have opened fire many times and killed dozens of people, according to Palestinian officials. There are also some Palestinian militia groups somewhere in the mix that aren't working directly with GHF, but they also have different standards for opening fire. And that means wherever these guys deliver aid that it's running a gauntlet to get into them.

So, of course, the U.S. officials are going to have a different point of view from the center of the operation than Palestinians trying to get into the actual food aid.

BERMAN: What actual pressure do you think the Israeli government is feeling on the issue of starvation inside Gaza from either the United States or interestingly, the Israeli population?

DOZIER: Well, the pressure has been enough to lift a 50-day blockade that happened earlier this year where no aid was getting in at all. And this is a place that used to get 300-400 trucks of aid a day before the October 7 conflict. So there's a lot of pent up need there.

But a lot of the political moves by France saying it's going to recognize an independent Palestinian state, Canada saying the same. Britian saying they'll recognize a state in September at the U.N. General Assembly unless Israel agrees to a ceasefire. What that all seems to have done is only stiffen Israel's resolve.

And now we're seeing Israel and U.S. officials talking about making their deal -- their proffered deal to Hamas even harder for Hamas --

BERMAN: Right.

DOZIER: -- to accept. Instead of two stages making it one stage and calling on Hamas to completely disarm, which Hamas is unlikely to accept.

BERMAN: Interestingly, just a few hours ago, a collection of Arab nations and Muslim-majority nations put out a statement, really, the first of its kind calling on Hamas to disarm and basically step down from political leadership inside Gaza.

What's the significance of this?

DOZIER: Well, the fascinating thing is we're -- they're finally saying in public what some Arab leaders will tell you in private. Hamas has been a burr in the side of many leaders for a long time. In Egypt, it's related to the Muslim Brotherhood, which has challenged the governance there.

So many Arab leaders haven't liked Hamas but have had to work with them, especially since Arab publics are so angry at what they're seeing going on in Gaza. But now we're seeing them call for Hamas to step down its progress, at least from the Israeli point of view.

BERMAN: Kim Dozier, great to see you this morning. Thank you very much -- Kate.

BOLDUAN: So popstar Justin Timberlake has now revealed that he has been fighting and battling a diagnosis of Lyme disease. He opened up about this in an Instagram post as fans also took note of some lower- energy performances by him, like one during his "Forget Tomorrow World Tour."

(BEGIN VIDEO CLIP)

JUSTIN TIMBERLAKE, SINGER-SONGWRITER: Singing "Can't Stop the Feeling."

(END VIDEO CLIP)

BOLDUAN: CNN's chief medical correspondent Dr. Sanjay Gupta explains the disease.

(BEGIN VIDEOTAPE)

DR. SANJAY GUPTA, CNN CHIEF MEDICAL CORRESPONDENT: It's a bacterial illness that is spread by ticks. So if there are ticks that are carrying Lyme -- that bacteria in your area -- you're more likely to get it. It's treated with antibiotics, typically two to four weeks.

And those are some of the symptoms there which typically show up about a month -- within a month, I should say, of the tick bite. So fever and chills, headache, fatigue, joint aches that can be confused with arthritis, and a rash -- which, by the way, is often a very characteristic rash.

And not everyone develops this but there's something known as a bullseye rash. You can see it there on the screen. You see that, and that's pretty indicative that someone is dealing with Lyme disease.

(END VIDEOTAPE)

BOLDUAN: Timberlake has called it debilitating -- what he's dealing with -- and at one point he had to decide, he said, whether or not he could even continue performing and that he was "glad" that he kept going -- John.

[07:45:05]

BERMAN: All right. These are the dog days of summer and in honor of National Dog Day this month, CNN senior data reporter -- actually, CNN senior chief data analyst.

HARRY ENTEN, CNN SENIOR CHIEF DATA ANALYST: Chief data analyst.

BERMAN: I can't believe we got this wrong. This is one of the biggest things we've ever done here, and we got it wrong. CNN chief data analyst Harry Enten is here with some really startling facts about dogs. I just want to get one fact out of the way. Harry, how do you feel about dogs?

ENTEN: I love dogs. Dogs are my favorite. You can see me here with my childhood dog Cody. Finally a dream come true making sure he's getting on national television. I think I was like four or five here wearing a Colorado Rockies shirt. And here is me with the great chuckster Charlie -- i.e., Monkey over here. A cavalier King Charles spaniel versus a Lhasa Apso over here. My adorable pooches. Oh, it warms my heart.

BERMAN: How was this kiss? Was that a good kiss?

ENTEN: That was one of the best kisses --

BERMAN: All right.

ENTEN: -- I've ever had.

BERMAN: All right. Now, down to the facts here. These are important questions. There's one burning question I've had for a long time, Harry.

ENTEN: Yes.

BERMAN: How many smell receptors do dogs have?

ENTEN: How many smell receptors? You're wondering yourself, OK, why do dogs smell so well? Well, smell receptors in the nose. The human is here represented by Mr. John Berman -- five million. How about the dog? The dog has 300 million smell receptors. My goodness gracious. And the dog's part of the brain for actually interpreting those smells is, get this, 40 times larger. It's no wonder that those dogs can smell the cheeseburgers in the other room and then, of course, interrupt your supper.

BERMAN: All right. Why is it that dogs, not me -- why is it that dogs are always smelling stuff?

ENTEN: Why is it that dogs are always smelling stuff? And you'll notice we're going to keep with this idea of comparing Elly, this adorable little dog over there from our dear Karen Bronzo, versus John Berman.

Breathe in and out at the time. A dog can smell in and out at the same time. The human, again represented by Mr. John Berman, unless he has some amazing thing that I don't know about, cannot smell in and out at the same time. And keep in mind that is because the slits on the side of a dog's nose -- you ever notice those -- those allow for the dog to always be taking in scents and always interrupting your dinner because they can always smell those wonderful cheeseburgers.

BERMAN: That's why I can't do it. I always wondered why I couldn't do it.

ENTEN: You need -- you need -- you need those slits. Maybe we can get some surgery.

BERMAN: Talk to me more about a dog's nose. What does a dog -- besides having the slits there, what's a dog's nose really like? ENTEN: OK. So one of the things I think is so fascinating about a dog's nose is again, we have Mr. Berman here and we have Elly the dog over here. Smell differently with each nostril? Yes. A dog can do that. A human cannot do that. It's like humanize the dog's noses. It's creating a 3D profile with their nose.

BERMAN: You've made me feel very insufficient. You've made me feel --

ENTEN: You are not anywhere close to a dog. Dogs, we don't deserve them. They're far better than humans, although John Berman really does come up in the human ranks as far as I'm concerned.

BERMAN: Yeah. Sometimes I do look like that though, but that's a whole nother story.

Harry Enten --

BOLDUAN: I mean --

ENTEN: What we do on the weekends is up to you, OK?

BOLDUAN: Do we need to add in the Altoids conversation since we're talking about smells?

BERMAN: Leave that -- leave that out.

BOLDUAN: You knew exactly where I was going with that.

BERMAN: That's backstage. We can't talk about that.

All right, Harry Enten. Thank you very much.

ENTEN: Thank you, my friend.

BERMAN: This has been enlightening.

ENTEN: It's been enlightening. We always learn.

BOLDUAN: Always.

ENTEN: Always -- Kate.

BOLDUAN: Ahead, the Pentagon schedules its first major test for the Golden Dome defense system. We've got updates on that.

And this video is terrifying. A terrifying moment that a fair ride -- it snaps and comes crashing to the ground with all of those riders on it.

We'll be right back.

(COMMERCIAL)

[07:52:50]

BERMAN: We've got new CNN reporting this morning. Pentagon sources tell CNN the first major test of the multibillion-dollar Golden Dome missile defense system will take place just before the 2028 election. The president set a three-year timeline for this.

(BEGIN VIDEO CLIP)

DONALD TRUMP, (R) PRESIDENT OF THE UNITED STATES: Once fully constructed the Golden Dome will be capable of intercepting missiles even if they are launched from other sides of the world and even if they are launched from space.

(END VIDEO CLIP)

BERMAN: Twenty-five billion dollars allocated to the project, but it could cost hundreds of billions more.

CNN's Zach Cohen part of the team on this reporting. What have you learned, Zach?

ZACHARY COHEN, CNN SENIOR NATIONAL SECURITY REPORTER: Yeah, John. The Pentagon really setting an aggressive deadline for military officials to prove what's -- that they -- that they can take what is really just an idea for Golden Dome at this point and turn that into a reality. And that's especially true because we're still waiting on details about what this system will ultimately end up looking like.

Look, missile tests like this are scheduled pretty far out in advance typically, but defense officials also point out that the timing of this -- the target date of 2028 -- really does seem to suggest the Trump administration is also hoping it will deliver a political win for them ahead of the next presidential election. So some politics involved in this as well.

But ultimately, we're told that this test will be named "FTI." That stands for Flight Test Integrated. It will amount to basically a combination of sensors, weapons, and existing capabilities working together to shoot down multiple targets. That's really what they want to demonstrate in conducting this test. And look, that's even ambitious on its own and then you add on the fact that that's only part of what Golden Dome in theory would ultimately look like once it's completed.

There's a space-based element to this too that requires new technology to be developed. We're told that could take several more years. So we're looking at a three-year timeline though.

And Donald Trump made that clear that he wants to at least show that this system is worth more investment from the American taxpayer. The $25 billion that was described was effectively a downpayment by Congress. They're waiting to see if more money is required to build out this really expansive and complex system that Donald Trump has said that he wants.

[07:55:00]

BERMAN: All right, Zach Cohen. Thanks so much for delivering this news this morning. I'll talk to you again soon -- Kate. BOLDUAN: So this morning the man accused of killing an Arkansas couple on a popular hiking trail in the Ozarks is set to make his first court appearance in the next hour.

There's also new surveillance video showing the moment leading -- moment leading up to his arrest at a barbershop. It was just 30 miles from where the bodies of Clinton and Cristen Brink were found.

Andrew James McGann is the suspect's name and now arrested. He was arrested Wednesday and charged with two counts of capital murder.

The stylist at the barbershop says that she did not know the man in her chair was connected to the deadly attack but said that something about him felt off.

(BEGIN VIDEO CLIP)

ADRIANA RUIZ, STYLIST, LUPITA'S BEAUTY SALON AND BARBER SHOP: Something felt off about him. Um, he looked -- he looked pretty scary. He didn't look like he was OK. He was very timid. His eyes just looked sunken -- pretty -- kind of like soulless.

I was surprised. I was shocked because me and my sisters were talking days before, like, hey, you know, I wonder where this guy could be. They haven't caught him yet. And I saw him here and I just had chills.

(END VIDEO CLIP)

BOLDUAN: I can imagine.

During today's court appearance the judge is also expected to decide on bond and bail.

Three people are in critical condition this morning after a theme park ride snapped in half -- I know -- in Saudi Arabia. At least 23 people were injured in what is a terrifying incident. The video you see -- it shows that the ride appears to be operating as normal and then as it swings though -- that kind of pendulum action -- that main piece just snaps in half bringing all of the riders crashing to the ground.

According to a state-controlled outlet, Arab News, the region's governor ordered the resort to close immediately while an investigation takes place.

And a woman in Florida is safe after police officers jumped into a canal to save her from a sinking vehicle. It was all caught on police body camera -- watch.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: The back window is open.

UNIDENTIFIED MALE: It's going to sink!

UNIDENTIFIED FEMALE: What? No!

(END VIDEO CLIP)

BOLDUAN: The driver veered off the road and crashed into the canal. The officers -- they -- clearly, they jumped in and they swam through that dark water. They broke into her car and pulled the woman who was unconscious out and to safety. The woman, we are told, is OK and now recovering.

Also new this morning just as children are heading back to school new CDC data shows a record number of kindergartners missed their required vaccinations last year -- last school year.

CNN's Meg Tirrell following this one for us and she's here now. Meg, what are you learning here?

MEG TIRRELL CNN MEDICAL CORRESPONDENT: Yeah, Kate. I mean, this continues a trend we've been seeing over the last few years. Vaccination coverage for kindergartners starting the school year last year declined for all reported vaccines. So we're talking about diphtheria, whooping cough, tetanus, polio, measles, mumps, rubella. All of those saw declining rates.

And a big reason for that is we're seeing an increase in the number of vaccine exemptions for kindergarteners. So now they're up to a record 3.6 percent for any vaccine, and that means that 138,000 kids started kindergarten without full coverage of the recommended or even required vaccines by states.

And if you look at this trend over time you can really see that it dramatically starts to go up. The non-medical exemptions start to rise around the time of the pandemic. So in 2020, you're seeing that orange nine -- the non-medical exemptions for vaccines -- start to rise.

Medical exemptions really haven't changed over time. And so if you hone in on a certain vaccine -- let's look at MMR, for example -- measles, mumps, and rubella -- you are seeing that a lot of kindergartners have not completed that serious. About 286,000 kids didn't complete that two-dose series of MMR shots. And you're seeing the coverage is well below that 95 percent goal from the federal government nationally in order to reach herd immunity and really protect everybody else.

So that's been declining for five straight years and that's a concern also because that's a national look. And what we really see that is in the data is that these sorts of clusters of unvaccinated folks -- they tend to be clustered together. And so that means there can be even lower vaccination rates in certain areas, and that's what we saw in west Texas where there's been this huge measles outbreak over the last year.

And, of course, measles cases in the United States now are at the highest level they've been since measles was declared eliminated in the U.S. in the year 2000. So surpassing 1,300 cases even so far this year and we're only just a little more than halfway through, Kate.

So there's real concern that these vaccination rates are declining and these exemption rates are going up because that means you can't really reach higher levels if people have exemptions -- Kate.

BOLDUAN: Yeah, especially when you see the -- that bar chart with the number of measles cases it absolutely is troubling.

It's great to see you, Meg. Thank you so much for tracking this for us.

A new hour of CNN NEWS CENTRAL starts right now.