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Stocks Still in Positive Territory; How U.S. Markets Affect Europe; Rush to Buy Gold Amid Stock Market Uncertainty; Wisconsin Brewery Creates Jobs; Training New Navy SEALs

Aired August 11, 2011 - 12:01   ET

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

SUZANNE MALVEAUX, CNN ANCHOR: Top of the hour. I'm Suzanne Malveaux.

Want to get you up to speed.

Investors continue to confound the experts. The wild yo-yo swings going on, rally one day, selling off the next. Right now the Dow blue chips are up by 249 points. The best explanation for today's gains, well, good corporate earnings reports and favorable jobs report.

A positive signal today for people looking for work. Fewer Americans filed first-time jobless claims last week. Now, the Labor Department says it got 395,000 initial claims. That's a drop of 7,000 and the first time that the number has dipped below 400,000 since early April.

President Obama is now flying to the Midwest right now to showcase new jobs. He's going to visit a factory in Holland, Michigan, that makes advanced batteries for electric and hybrid cars.

You're looking at some live pictures there. Air Force One getting ready to take off.

The plant was built with the help of federal stimulus money. It's going to create 150 new jobs.

We're going to provide live coverage of the event. That's happening at 2:40 Eastern.

But you're there seeing a live picture of the president readying as Marine One, the chopper, pulling up to the plane, Air Force One, where the president will be departing from Andrew's Air Force Base to take off and highlight that jobs program.

Later, he's off to New York for a pair of Democratic Party fund- raisers, the president will go. He is drawing heat, however, for business as usual during the new round of economic turbulence.

(BEGIN VIDEO CLIP)

DAVID GERGEN, CNN SR. POLITICAL ANALYST: I think what Americans are looking for now is some seriousness in Washington, and frankly that's not going to come from some bus tour on a campaign trail for the president. I think a growing number of people think he ought to get of the campaign trail, pull people together, and see if he can't get some answer, a bipartisan answer, on jobs.

(END VIDEO CLIP)

MALVEAUX: A few protesters challenged police, but streets in London and other cities were mostly calm overnight. In fact, there was much more action in the courts as judges stayed on the bench all night to process hundreds of arrests in the week's rioting and looting.

Prime Minister David Cameron told an emergency session of parliament that more arrests are coming.

(BEGIN VIDEO CLIP)

DAVID CAMERON, BRITISH PRIME MINISTER: This is a time for our country to pull together. To the law abiding people who play by the rules and who are the overwhelming majority in our country, I say the fightback has begun, we will protect you. If you've had your livelihood and property damaged, we will compensate you. We are on your side.

And to the lawless minority, the criminals who have taken what they can get, I say this: we will track you down, we will find you, we will charge you, we will punish you. You will pay for what you have done.

(END VIDEO CLIP)

MALVEAUX: Analysts estimate that the violence and the looting have cost England $161 million in damages and lost sales.

Well, Los Angeles police are expanding their investigation into the "Grim Sleeper" serial killer case. Suspect Lonnie Franklin, Jr. is currently charged with the murders of 10 women. Detectives will now review 230 missing persons cases and homicides in Franklin's neighborhood going back to the 1970s. Now, the "Grim Sleeper" case got its name because of a 14-year gap in the killing spree.

The Dougherty siblings may make their first appearance in Colorado, perhaps as early as today. Two brothers and their sister were finally captured after eight days on the run. Police grabbed the trio after they crashed their car during a high-speed chase and shootout along Interstate 25. The crime spree began when the Doughertys allegedly opened fire on a Florida police officer, then robbed a Georgia bank.

Well, a soldier disguises himself in a baseball uniform. And there's a good reason for the camouflage here. Follow me.

When Dara Harlow through the ceremonial pitch at a Minor League baseball game in Mississippi, she had no idea that the man catching the ball was her husband, secretly home from Afghanistan.

(BEGIN VIDEO CLIP) DARLA HARLOW, WIFE: It took a couple of seconds, but it is shock, and I'm just overwhelmed.

MAJ. MICHAEL HARLOW, U.S. ARMY: It's been nine months --

D. HARLOW: Yes.

M. HARLOW: -- since I have seen her, and I wanted to make sure she remembered what I looked like.

D. HARLOW: I didn't through the mask.

(END VIDEO CLIP)

MALVEAUX: That's awesome. I love that story.

Major Harlow says the last time he surprised his wife, she fainted.

A rally today is providing some relief from this stomach-churning ride on Wall Street. Stocks are in positive territory, boosted by an encouraging report on unemployment claims.

Alison Kosik, she's on the floor of the New York Stock Exchange.

Alison, I mean, you know, it can make you a little seasick what we are watching here. What are the markets doing right now and how do we explain this?

ALISON KOSIK, CNN BUSINESS CORRESPONDENT: Well, we are happy to be off that roller-coaster ride, at least for the past few hours. Yes, we're seeing stocks get a lift off that positive economic report. The number of people filing for first-time unemployment claims fell last week.

We also got some strong corporate earnings. Cisco Systems beating Wall Street expectations. And Wall Street likes to watch Cisco Systems because it's a bellwether for the tech sector. That's also why we're seeing the Nasdaq up almost three percent.

There are other positive signs as well. Bond yields are rising. Gold prices are falling. It shows that investors are willing to take on a little more risk and dive into the stock market a little bit more.

But don't get too comfortable, because it is still volatile. You are still seeing Wall Street still kind of on edge. I mean, we have seen the Dow make these triple point swings all week. It's not to say it won't happen by the end of today. Right now, though, we can be happy the Dow is up 283 points.

Suzanne, back to you.

MALVEAUX: All right. We'll take that bit of good news. Thank you, Alison. Well, concerns now about Europe's debt crisis are keeping U.S. investors kind of skittish here, a bit jittery. Rumblings about a possible downgrade of France's credit rating put some global markets on edge.

I want to go to CNN's Richard Quest, who joins us from London.

Richard, great to see you. Tell us what the latest is, overseas markets, and even the rumors that we're hearing now about France's credit rating.

RICHARD QUEST, HOST, "QUEST MEANS BUSINESS": Well, the European markets have just been closed about an hour or so, and they are all -- the best gains of the major markets was seen in London, which is up more than three percent, looking at the charts. Italy had a very strong session, up four percent.

And what this tells me is that the direction came from the United States, as indeed it has so often in recent days. But also, there was no grim news out of Europe. Whatever misery there might have been over rumors of a France downgrade which didn't happen, or worries about French banks which aren't confirmed, that has not been the mood of the markets today.

MALVEAUX: And Richard, what else is driving the international markets? How is that impacting the stocks here in the United States, at home?

QUEST: Well, I'll tell you, there is one interesting little tidbit to pass on to you today, Suzanne. The British chancellor of the Exchequer, George Osborne, in an emergency -- you talked about the prime minister for the riots emergency debate. Well, the chancellor made an emergency financial statement, and he had a bit of a sideswipe at the United States.

It was a veiled swipe. You never want to kick the U.S. publicly too much. But he talked about how the U.K.'s austerity was doing so much good for Britain when he said, "Other countries wrestle with paralyzed political systems." I can only assume he must have meant the United States after last week.

And then -- but this is the kicker. He says, "Surely we have learned growth cannot come from debt. Those who spent last year are telling us to follow the American example with more fiscal stimulus need to answer, why has the U.S. economy grown more slowly than the U.K. this year?"

So, an unusual little -- not quite the knife going all the way in, but a bit of a kick as if to say the austerity of Britain is non- negotiable.

MALVEAUX: Yes, a little dig there at the United States. There has been some back and forth in terms of what is the best way to deal with the economic crisis, whether or not you pump money into the economy or you try to cut back a little bit.

Richard, thank you very much. Appreciate it.

Here is your chance to "Talk Back" on one of the big stories of the day. The director of the movie "The Hurt Locker" is working on a new movie about the raid that killed Osama bin Laden, and it's prompted one U.S. congressman to ask for an investigation.

Carol Costello, she's joining us from New York with today's "Talk Back" question.

Carol, help me understand this, because I really don't -- I don't get it. I don't know why that would be the case, where they'd have an investigation.

CAROL COSTELLO, CNN CORRESPONDENT: Well, the big Hollywood producer wants to consult with President Obama. Hence, this question, our "Talk Back" question today: Does Hollywood making a bin Laden movie warrant a federal investigation? Because like everything else, Suzanne, this has become a political hot potato. A sad thing, since Osama bin Laden's death was so unifying.

(BEGIN VIDEO CLIP)

BARACK OBAMA, PRESIDENT OF THE UNITED STATES: Tonight I can report to the American people and to the world that the United States has conducted an operation that killed Osama bin Laden.

(END VIDEO CLIP)

COSTELLO: Remember how people celebrated after the president said that? It was a secret mission that played out a whole lot like a Hollywood movie. And don't you know it, a Hollywood movie will be released in October of 2012, just ahead of the November elections.

Republican Representative Peter King is outraged.

(BEGIN VIDEO CLIP)

REP. PETER KING (R), NEW YORK: We're talking about revealing classified information that can put American lives at risk. And what the administration has done --

(END VIDEO CLIP)

COSTELLO: Congressman King wants the Defense Department and the CIA's inspectors general to investigate whether Hollywood is getting special access, you know, to declassified information from the president.

The White House says, please.

(BEGIN VIDEO CLIP)

JAY CARNEY, WHITE HOUSE PRESS SECRETARY: First of all, the claims are ridiculous. When people, including you in this room, are working on articles, books, documentaries, or movies that involve the president, ask to speak to administration officials, we do our best to accommodate them to make sure the facts are correct.

(END VIDEO CLIP)

COSTELLO: It's not like the White House is giving Hollywood permission to use those Bin Laden death photos or the video of Bin Laden being buried at sea for the film. For those of you keeping score, though, at home, it has only been a little over three months since Bin Laden was killed. And come 2012, the story of that top- secret mission will be opening at a theater near you.

So, the "Talk Back" question this morning: Does Hollywood making a Bin Laden movie warrant an investigation?

Facebook.com/CarolCNN. I will read your comments later this hour.

MALVEAUX: All right. Thank you, Carol.

Here's a rundown of some of the stories that we're covering over the next hour.

The Rush to buy gold amid stock market uncertainty.

Also, critics ask why political leaders aren't stepping forward to calm investor fears.

And a microbrewery in Wisconsin is hiring big time, despite the down economy. We're going to take you there for a beer.

And later, how do you get from L.A. to New York in 12 minutes. The military tested this out-of-this-world supersonic tool.

(COMMERCIAL BREAK)

MALVEAUX: Here is a look at today's "Choose the News" choices. Text 22360 to vote for the story that you would like to see.

First, 17 Navy SEALs were killed in Afghanistan over the weekend. We'll hear from military experts about the long and expensive process to shore up the ranks of the country's most elite fighting unit.

Second, in the middle of a war zone, one Libyan man has a unique weapon. He is using his paintbrush in the fight for freedom. And each of his portraits has a message to the country's dictator.

Or third, secret American agents heading south and helping fight the drug war in Mexico. A closer look at the new partnership between the U.S. and Mexico that may be behind some recent high-profile arrests.

You can vote by texting 22360. Text 1 for "Shoring up Navy SEALs"; 2 for "Libya Street Artist"; or 3 for "U.S. Agents to Mexico."

The winning story is going to air later this hour.

Well, if you bought an ounce of gold a month ago, you'd be $200 richer today. At least that's on paper. Fears about the global economy have pushed prices of gold to record levels.

Mary Snow spoke with buyers and sellers who are getting in on the gold rush.

(BEGIN VIDEOTAPE)

MARY SNOW, CNN CORRESPONDENT (voice-over): The rest of the world may be worried about the economy, but Todd Tyro sees pay dirt.

UNIDENTIFIED MALE: But right now it definitely is a boom time.

SNOW: Tyro (ph) buys and sells gold, setting up road shows across the country.

UNIDENTIFIED MALE: Hello ladies.

SNOW: After S&P downgraded U.S. debt, he extended his time in New York. He knew it would cause gold prices to soar, and banked on more people cashing in.

UNIDENTIFIED MALE: Right from Germany?

SNOW: These two grandmothers are first-time sellers. So is Deborah Collins.

UNIDENTIFIED FEMALE: With the price of gold, we probably would melt this.

SNOW: She brought in her family jewelry.

(on camera): What prompted you to do this?

DEBORAH COLLINS, GOLD SELLER: Well, I needed some money. You know, times are hard. And I figured I had it, so --

SNOW (voice-over): While people like Deborah are cashing in on record gold prices, others are buying gold.

MICHAEL CLARK, DIAMOND STATE DEPOSITORY: We've seen -- since the Lehman Brothers collapse and the Madoff scandal that -- I've talked to so many people that just lost faith in paper investments and institutional integrity.

SNOW: Michael Clark is president of a gold depository which stores everything from coins to gold bars. He estimates his business has increased between 20 and 30 percent in recent weeks, and not just from individual customers.

CLARK: This is something new, probably in the last year or two that we've seen, where corporations are investing some of their retained earnings into physical precious metals bouillon.

SNOW: With gold shining in the spotlight, financial advisers like Ryan Mack get lots of questions. He doesn't advise clients to buy physical gold. Instead, he invests in gold-exchanged traded funds and increase stakes to 20 percent of portfolios, which is high. He also warns against a rush to gold without a well thought out strategy.

RYAN MACK, FINANCIAL ADVISER: You can lose a lot of money investing in gold. I mean, if you put all your eggs in that one basket, as high as gold and as fast as gold has appreciated over these past few months, or even years or so, you can lose an extreme amount of money. But that's with any asset.

SNOW: And before the gold bubble bursts --

UNIDENTIFIED MALE: A thousand, and $1,100.

SNOW: -- people like Deborah Collins are selling what they can, just trying to get by.

Mary Snow, CNN, New York

(END VIDEOTAPE)

MALVEAUX: So what travels 13,000 miles an hour and can cross the country in 12 minutes? This thing.

Chad Myers, he's going to show us how it works.

(COMMERCIAL BREAK)

MALVEAUX: So imagine this: flying from Los Angeles to New York in less than 12 minutes. A military research agency is testing this experimental aircraft that can fly 20 times the speed of sound. It took off this morning from Vandenberg Air Force Base. That, in California.

It looks like they have lost contact with the aircraft.

I want to bring in our Chad Myers, who has been tracking this story for us.

And Chad, explain to us what this is. It's unmanned, right?

CHAD MYERS, AMS METEOROLOGIST: It's unmanned.

So, first of all, talking about flying you from L.A. to New York in 12 minutes is one thing. Flying a weapon from New York to L.A., or around the world in less than an hour, is what they were going for -- scramjet technology, taking off on a rocket, getting shot out of the top of the rocket, going back toward the space and through the space just like the space shuttle does, almost burning up as it reenters.

The leading edge of that wing, 3,500 degrees. Just a foot inside though, only 90 degrees. So the installation properties, it's like a big oven mitt. And so they're not going to put people in it.

OK? This is not meant to shoot off people right now.

But they did lose contact on what is called the glide. This thing is going so fast -- almost 13,000 miles per hour -- that it doesn't do the Bernoulli principle. You know what Bernoulli is?

MALVEAUX: No. Tell me.

MYERS: OK. The reason why airplanes fly is because the wing on top is curved, the wing on the bottom of an airplane is not. So, if you take the air, you can actually make the paper rise. That's what makes a plane rise.

MALVEAUX: Right.

MYERS: Well, they're not trying to do that with this. This is shooting through the atmosphere and almost breaking air apart as it flies through. They are just trying to find something other than an ICBM that can get around the other side of the Earth, get around somewhere else in less than an hour, and this looks like we've lost contact.

MALVEAUX: Yes. That's not good.

MYERS: That's not good.

MALVEAUX: That's not good.

MYERS: They tried it before. They had nine minutes of good flight in April, and that was about -- it was a really good diagnostic. They had good technology.

You have to understand, it's like trying to drive around a pothole going about 1,000 miles per hour. You're going to lose control. And they probably lost something.

But going 13,000 miles, it's hard to keep track. Maybe somebody else will find it as it goes by.

MALVEAUX: Well, they'll try it again.

MYERS: And it's going to go in the ocean, it's not going to be -- it's not flying over New York and is going to crash somewhere. It's in the Pacific Ocean. It's gone.

MALVEAUX: All right. That's so cool. Technology is unbelievable.

MYERS: I just wish it would have worked.

MALVEAUX: Yes. A little disappointing there, but maybe they lost contact. They'll get back -- contact will get back.

MYERS: There's not a black box. They're not going to find it.

MALVEAUX: So they can't find it?

MYERS: No.

MALVEAUX: OK. Well, the next go-around. MYERS: Well, we'll try. I'm sure they'll try to find the pieces.

MALVEAUX: Right.

MYERS: But it's supposed to splash down -- crash down in the ocean, and it did.

MALVEAUX: All right. Thank you, Chad.

MYERS: You're welcome.

MALVEAUX: Appreciate it. Cool stuff.

Well, times for tough. We want someone to reassure us that things are going to be OK. But some are asking, where is the leadership from the White House, from Congress? Political columnist John Avlon, he's going to weigh in for us.

(COMMERCIAL BREAK)

MALVEAUX: Want to go directly to Washington with our Joe Johns, who is reporting that this super committee, congressional committee that is aimed at cutting another $1.5 trillion of spending, that the names have come out, the remaining three.

Yes, Joe?

JOE JOHNS, CNN SENIOR CORRESPONDENT: That's right. Now we're up to 12, which is the number they tried to reach. These are people who were selected by the House Minority Leader Nancy Pelosi.

And the people she has selected to the committee are the assistant Democratic leader, Jim Clyburn; the Democratic Caucus chair, Xavier Becerra; and the Budget Committee ranking member, Chris Van Hollen.

So, as we reported earlier, this morning on "AMERICAN MORNING," there had been some concerns floating around that the panel, as named at least up until now, sort of lacked diversity. There was one woman where there were no minorities. So in that way, Nancy Pelosi, who was probably more susceptible to political concerns about minorities and woman because she's the Democrat leader in the House of Representatives. Has actually brought on an African-American in Jim Clyburn, a Latino in Xavier Becerra, and Chris Van Hollen, who comes from what appears to be a pretty safe district in the state of Maryland.

These are the last three names. Now this committee will have to get down to the important work of trying to figure out where to find, you know, $1.2 trillion or more in adjustments to try to -- to move towards fixing the deficit.

And they have got a lot of deadlines to work on. They need to get this thing before -- you know, some type of an agreement if they can by Thanksgiving. Some type of bill before the House of Representatives to be voted on before Christmas. Again, those three names are Jim Clyburn of South Carolina, Xavier Becerra, and Chris Van Hollen.

MALVEAUX: Joe, any of those stand out to you in any way? We know there is diversity, ethnic diversity here. But clearly diversity of thought when you have Jim Clyburn who jumps into the committee as well, yes?

JOHNS: Sure. All loyalists of Nancy Pelosi, that much is clear. These -- certainly Clyburn and certainly Becerra are people on the left side of the spectrum of Democrats, as is to be expected. Becerra is a very good talker. Also a guy that stands his ground. Jim Clyburn well known as the highest-ranking African-American in the Congress.

MALVEAUX: All right. Joe Johns, thank you for bringing us the news. The very latest. Thank you, Joe.

We are also watching the markets. The stocks are in positive territory so far today. That's an encouraging report on jobless claims helped push stocks higher. Right now, the Dow Jones - we are looking at 257 increase. And of course, we will keep you updated on how the markets are doing as well.

We don't have to tell you, times are tough. The stock market is up 400 points one day, it's down 600 the next. And when times are tough and uncertain, people look for leadership. They look for strong leadership. But critics are questioning whether Congress and President Obama are up to the challenge.

Joining us to talk about that is CNN contributor John Avalon. He's senior political columnist for "Newsweek" and "The Daily Beast."

John, first of all, if you can, weigh in for us if you will some of those new picks we heard from Nancy Pelosi. Anybody jump out, anybody stand out now that we have this set of 12 here that have been selected for this bipartisan committee?

JOHN AVLON, CNN CONTRIBUTOR: Absolutely, Suzanne. I think you are seeing a very clear pattern at this point. We know the full committee, and each of the groups that have been appointed and contain essentially two partisan hardliners and one centrist swing vote. And it's clear that in this case, Chris Van Hollen is Nancy Pelosi's centrist swing pick, where Jim Clyburn and Xavier Becerra represent the liberal Democratic base in the House.

In the Senate Republican picks, for example, you have Rob Portman playing that role. Max Baucus among Harry Reid's picks. And Fred Upton playing it for John Boehner.

So, you are seeing a clear pattern here. Each of the party leaders are picking essentially loyalists. Again, the Gang of Six entirely excluded from this. Members of the Bowles-Simpson commission who voted for those proposed reforms again excluded.

But you've got party loyalists and then each of these picks contains one centrist swing vote. And look for the deal to be made among those folks. That's where the action will be. Chris Van Hollen playing that role for Nancy Pelosi in these appointments.

MALVEAUX: All right. So, it looks like it's evenly matched when you look at both sides here.

We have been taking a look at the stock markets, the volatility of the stock markets. A lot of people are quite nervous and anxious about it. And I want you to take a listen. This is what senior political analyst David Gergen said on "AC360" last night.

(BEGIN VIDEO CLIP)

DAVID GERGEN, CNN SENIOR POLTICAL ANALYST: There is a growing sense that there's no one in charge. Normally in a crisis, there's somebody who steps forward, usually the president who steps forward and you have a sense that somebody has their hands on the wheel, knows where we're going, can help guide the ship. There's a sense right now in our politics that no one's in charge. Not the president, not Ben Bernanke. There's no Walter Cronkite. There's no one here to give us that sense of reassurance.

(END VIDEO CLIP)

MALVEAUX: John, do you think that's a fair criticism here? You have the president, who is going off to Michigan and going to talk about creating jobs with, you know, the new batteries and that type of thing. But does he need to be doing more right now?

AVLON: I think so. I mean, David Gergen makes an important point and a potentially devastating point for the president, which is that in this bad economy with high degrees of uncertainty, there does seem to be a vacuum of leadership. The new Washington Post poll out today showing that 78 percent of Americans are dissatisfied with the way the political system is working.

And ultimately, we do elect presidents to be that steady hand on the tiller. You know, supporters of President Obama will argue he is a reasonable man in an unreasonable time in an unreasonable town. But nonetheless, I do think you are starting to see one of the critiques emerge. There is a reason historically we have tended to elect executives president. In the last hundred years, we've elected only three nongovernors president of the United States: Warren Harding, John F. Kenndey and Barack Obama.

So, I do think you will see that kind of a critique emerge, and President Obama really needs to seize the reins and make it clear he is in charge.

MALVEAUX: So, what happens in this kind of political vacuum, this leadership vacuum that you're talking about here. You have Congress that is on recess, the president who is going to Martha's Vineyard for vacation next week. How does this play out next week when people are looking at the markets and they just continue to go up and down? AVLON: Well, it's one of these political myths that August is a quiet month. And anyone who keeps perpetuating that clearly hasn't been paying attention to this August or frankly any other. And the world doesn't abide by school and summer breaks. And there's a need for people to show they are in charge. And that is not to say bringing everybody back to Washington is going to solve problems, because frankly, that atmosphere is stalemate, and the poisonous hyperpartisanship we've seen wouldn't necessarily lead to any progress, anyway.

But I think the president does need to show that he is simply not pivoting to campaign mode. That he needs to put forward a plan about job creation, that needs to assert his political control.

Again, it's not just the president, though. I mean, look at any of the polls of the recent weeks. You see Congress at an all-time low in terms of the approval rating. Independent voters swing against the Republicans in the House in particular. So, there is a sense overall that the problem is general to Washington, not specific to any one individual or even the president per se.

MALVEAUX; Do these folks need to come back to work, basically? I mean, we know the president is always working, even when he is on vacation. You do this working-vacation deal. But you know, members of Congress. Do they all just need to get back together and start to work on this now as opposed to taking a break?

AVLON: Look, I think if any of us had any faith if they simply came back to work, they would find a way to work together, that would sound like an appealing option given the seriousness of the problems we face. Look, but the problem is, hyperpartisanship at the heart of this. Hyperpartisanship is stopping us from solving the serious problems we face. And that's not going to go away right now. It's a cultural change, not just going back to work

I would dock their pay until they balance the deficit and the debt, personally. That might get their attention.

MALVUEAX: I think a lot of people feel that way. All right, John. Thank you very much.

A reminder to vote for today's "Choose the News" winner. Text 22360 to vote for the story that you'd like to see. Text 1 for the shoring up Navy SEALs. Military experts detail the process, replace the 17 SEALs killed in this weekend's tragic helicopter crash.

And text 2 for Libya's street artist. A Libyan using his paint brush in the fight for freedom.

And text 3 for U.S. agents to Mexico. Secret American agents heading south to help fight the drug war in Mexico. Winning story will air later this hour.

(COMMERCIAL BREAK)

MALVEAUX: We're going "Cross-Country" now for stories CNN affiliates are covering.

Our first stop is Oklahoma. FBI agents are trying to find out who attached what appeared to be a crude bomb to a natural gas line. It was found Wednesday in a town 70 miles east of Oklahoma City. The device was disabled with a water cannon and taken to an FBI lab. Law enforcement official tells CNN that they don't know what kind of damage it could have caused.

In Washington State, a teenage boy who was pulled out to sea by strong currents actually survives. He was part of a church group visiting Long Beach when witnesses say a riptide dragged him underwater. After several days in intensive care, he is now awake and talking to doctors.

(BEGIN VIDEO CLIP)

UNIDENTIFIED: There's a bull! You might want to run! You might want to run! It's running this way, partner. Run!

(END VIDEO CLIP)

MALVEUAX: Not your usual night on the job for a police in Auburn, Washington. They were chasing a bull. That's right, through downtown in their squad cars. It was eventually caught and fortunately, nobody was injured.

Wisconsin well known for its beer. Well, a tour company that's doing very well in a tough economy.

(COMMERCIAL BREAK)

MALVEAUX: "CNN In-Depth.", America's jobless. If you are looking for work, you might want to head to Wisconsin. The state has added 39,000 jobs so far this year, and one small business leading the charge, New Glarus. It is a brewing company, and that's where we find Ted Rowlands in New Glarus, Wisconsin.

Ted, this business is doing very well. I guess people are -- people are drinking, sales are adding up. They're adding jobs. What are they doing right?

TED ROWLANDS, CNN CORRESPONDENT: Yes. Well, they're doing one thing right is they're making a product. And that is beer. Everybody loves beer, Suzanne.

The bottom line is that this is one of those small companies that over the years has had gradual success. And the company owners say they have been strategic in the way they have been able to build on their company, and they have been able to give people an opportunity.

This is Jason here. He lost his job a year and a half ago, and he was out of work for a year and a half. Give us a sense of how difficult it is out there. You have three daughters and now a full- time job. How blessed do you think do you feel?

JASON RUFER, EMPLOYEE, NEW GLARUS BREWERY: I feel very lucky because there isn't a lot of jobs out there. I have friends that I worked with before that still have not found any work, you know?

I am very thankful to work here and it's a great place to work for. Without this place, I probably would have lost my house.

ROWLANDS: And a lot of people obviously are in Jason's position, and they are losing their houses and going through that. The president and owner is Deb Carey. Her husband started this business in 1994.

As a small business owner, you were saying that Washington and state capitals sometimes are not helping the small business owner out because the big businesses are the ones that can afford lobbyist. They are the ones that are really still in control in this country. And you think that things need to change?

DEB CAREY, PRESIDENT, NEW GLARUS BREWERY: Yes, I think the political system has been hijacked by lobbyists. And so, some people like for ourselves, we're having a big issue in this state with older breweries and then younger, start-up breweries. And we're looking for competitive advantages to be found within the budgetary system is what we just came up again.

ROWLANDS: You say you do like and things that help, tax credits for new employees, and for building up businesses, more of that needs to be done?

CAREY: Yes, the health care credits I'm really excited about. How about some support for schools? We really are short on skilled trades, like it would be wonderful if welding, construction, plumbing, (INAUDIBLE) care.

You know, when you are talking about computer skills, why are they learning to play games? We need people who can program machinery. That's ladder logic. Nobody is touching that.

ROWLANDS: All right. Bottom line, Suzanne, a good positive story on the job front here at the New Glarus, Wisconsin, at the New Glarus Brewing Company. They have three positions open, starting salary $16 an hour. If you're looking for work, give them a call. And, of course, they make the greatest product on earth, beer.

MALVEAUX: Absolutely, Ted. All right. Well, cheers to all of those guys. Thanks, Ted.

We're getting a lot of responses to today's "Talk Back" question. We asked does Hollywood making a bin Laden movie warrant an investigation. Carol Costello is back with your responses.

But, first, some free money advice from the CNN "Help Desk."

(BEGIN VIDEOTAPE)

POPPY HARLOW, CNNMONEY.COM: Time for "The Help Desk," where we get answers to your financial questions.

Joining me this hour: Manisha Thakor, a personal finance expert; John Ulzheimer, the president of consumer education at smartcredit.com. Guys, thanks for coming in.

Two very interesting questions.

First for you, Manisha, comes from Les in Borden, Indiana. Les writes, "My wife and I are retired and receive pension from Social Security and my pension. We also have several Series E bonds that are maturing soon. Is there any way we can avoid paying taxes on that income?"

MANISHA THAKOR, PERSONAL FINANCE EXPERT: It's an interesting question. Series E is just another fancy way of saying savings bonds.

HARLOW: Right.

THAKOR: The interest on that, of course, is exempt at a state and local basis, but on the chopping block for federal taxes. However, if you use those proceeds for qualified educational expenses or to contribute into a 529 for yourself, your spouse or dependents, you can then avoid taxation.

So, you may you qualified.

HARLOW: So maybe for the grandkids?

THAKOR: Now, unfortunately, it can't be grandkids unless the grandkids are considered dependents using the IRS definition.

HARLOW: OK.

THAKOR: So, bring the kids into the house. Take them away from the parents.

HARLOW: Everyone, just move on in. Go advice.

All right. John, this question comes from Jay of Jersey City, New Jersey. Jay asks, "I have a grad school loan of around $43,000. I can only afford to pay $300 a month, but the interest rate is 4.75 percent. What can I do to get this monkey off my back?"

So true. So many people in debt because of school loans.

JOHN ULZHEIMER, PRESIDENT OF CONSUMER EDUCATION, SMARTCREDIT.COM: Yes. The student loan tends to be the permanent monkey on your back until you can pay it off because most student loans are referred to as statutorily dischargeable, which means you can't get rid of them in a bankruptcy like you can rid of unsecured debt.

HARLOW: Right.

ULZHEIMER: Really, the only thing that concerns me about the question is the amount, $43,000. That's a lot of money. The interest rate, 4.75 percent, is killer. And take into account the fact that it's probably somewhat tax-deductible, he's actually in a pretty good position.

One word for him: forbearance. Call the lender and ask them for a forbearance. It means, essentially, you don't have to make payments for some period of time. They're just going to tack on interest and principal to the back of the loan, but it will give him some safe harbor for a period of time where he can get back on his feet and be able to afford more than just that minimal amount.

HARLOW: You also think what sector he's working in. And, you know, there are some jobs you can go into for the public sector that will forgive a lot of your loans.

ULZHEIMER: Eventually, that's exactly right.

HARLOW: So, you might be able to do that. Thank you guys so much.

And if you have a question you want answered, just send us an e- mail anytime to the CNNHelpDesk@CNN.com.

(END VIDEOTAPE)

MALVEAUX: You have been sounding off on the "Talk Back" question. Carol Costello is back with some of your responses.

Hey, Carol.

CAROL COSTELLO, CNN CORRESPONDENT: "Talk Tack" question today, Suzanne, does Hollywood making a Bin Laden movie warrant a federal investigation?

This from Imran: "This is Hollywood movie, not a documentary. It will contain about as much classified information as 'Black Hawk Down.' Those claiming a threat to national security just don't like the release date."

This from Diana: "The question is not about the propriety of the film, rather, it's a question about the illegal and inappropriate release of classified information. If such information was actually released, there are legal and national security ramifications, and as such, an investigation is not just proper but necessary."

This from Christina, "Of course it's a Republican legislature that wants an investigation. If this is happened on President Bush's watch, there wouldn't be an investigation period."

This from Nathan, "No, no, no! In the midst of the debt debate, do we really have the money to waste on some investigation? Hey, Rep. King, I thought the Republicans were the party of cutting spending. Absolutely ridiculous."

Keep the conversation flowing, at Facebook.com/CarolCNN, and thanks as always for your comments.

MALVEAUX: All right. Thank you, Carol.

Well, you told us what you wanted to see. Your "Choose the News" story just moments away.

(COMMERCIAL BREAK)

MALVEAUX: You voted. We listened. Here is your "Choose the News" winner.

CNN's Brian explains the long and expensive process to train Navy SEALs.

(BEGIN VIDEOTAPE)

BRIAN TODD, CNN CORRESPONDENT (voice-over): A devastating loss for families, friends and teammates. The 22 SEALs killed in Afghanistan were part of a unit that's elite even among the SEALs themselves. It's officially known as the Naval Special Warfare Development Group. At various times it's been called SEAL Team 6.

(on camera): How tough is it going to be to fill the void of these 22 guys on SEAL Team 6?

COMMANDER RYAN ZINKE (RET.), FORMER MEMBER, SEAL TEAM 6: Well, it's going to be a challenge, there's no doubt. I mean just to be a U.S. Navy SEAL, from the point you had volunteered until you're in combat the first time is about three-and-a-half years.

TODD: (voice-over): And, says Ryan Zinke, at least another two years of training and deployments to be on SEAL Team 6. As a member of that team, Zinke tracked down war criminals in the Balkans in the 1990s.

Zinke and other former SEALs tell us SEAL Team 6 members are taken from the ranks of other existing SEAL teams and that half of the men who try out for the team washout. These are commandoes who routinely go on very precise capture or kill missions for high value targets like Osama bin Laden.

(on camera): How do they think on the battlefield that's different from other SEALS?

What do they do that's different?

ZINKE: Well, you know, a large part of it is you have to identify a threat. And oftentimes, it's at a moment's notice. It's in an instant. You have to determine whether or not that individual is a threat or -- or whether he's not.

And if he is, you have to engage. These individuals can shoot exactly what they aim. And they make that -- that judgment in an instant and -- and they're lethal at what they do.

TODD: (voice-over): According to former SEALs, there are about 200 members of SEAL 6. That means the helicopter crash in Afghanistan took away about 10 percent of the unit.

I spoke with military analyst, Lieutenant Colonel Anthony Schaffer, about how the team in Afghanistan could be shored up.

(on camera): Are they going to have to shuttle guys in from elsewhere, from other SEAL units?

LT. COL. ANTHONY SCHAFFER (RET.), CENTER FOR ADVANCED DEFENSE STUDIES: There's one of two ways they'll deal with the replenishment. First off, they may have to degrade the mission in Iraq to bring people out of the existing mission there and move them over to Afghanistan. The problem with that, of course, is things in Iraq have not been as stable as people would like them to be. Therefore, you're degrading that mission.

The more likely scenario is that they will move one of the standby units which are training up to go. They'll move them in ahead of schedule.

TODD (voice-over): But Schaffer and others say that carries significant risks in missions that are as dangerous at this.

(on camera): Those are the risk of mistakes and burnout. Schaffer says, even when they are full strength, this is a very finite number on constantly shuttling in and our of very stressful combat situations.

Brian Todd, CNN, Washington.

(END VIDEOTAPE)

MALVEAUX: If your choice did not win or you just want to check out the runners up and I have links on my page at Facebook.com/SuzanneCNN.

CNN NEWSROOM continues right now with Randi Kaye.

Hey, Randi.