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CNN This Morning

Trump Mentioned Prominently In Epstein Files Release; Massive Crowds Turn Out For Anti-ICE Protests Nationwide; Bomb Cyclone Set To Hit Parts Of The Southeast, Mid-Atlantic; Zelenskyy: Ukraine To Mirror Russia's Pause On Energy Facilities; Trump Publicly Battled, Pressured Fed Chair Powell Over Interest Rates; Sen. Thom Tillis: I Won't Consider Warsh Until Powell Investigation Resolved. Aired 7-8a ET

Aired January 31, 2026 - 07:00   ET

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

[07:00:00]

(COMMERCIAL BREAK)

VICTOR BLACKWELL, CNN ANCHOR: Welcome back to CNN THIS MORNING. The first month of the year is a wrap. It's Sunday -- Saturday, January 31. I'm Victor Blackwell.

Here's what you need to know this weekend. Justice Department released millions more Epstein files Friday. What's included in this latest release, and why some survivors are angry about it.

(BEGIN VIDEO CLIP)

GOV. JOSH STEIN (D-NC): Starting to feel a bit like Groundhog Week here in North Carolina.

(END VIDEO CLIP)

BLACKWELL: Parts of the East Coast bracing for another shot of that winter weather system moving up the coast will bring the heaviest snow in decades to some cities. Behind it. Bitter, dangerous cold.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: ICE, ICE. Go away. Immigrants are here to stay.

CROWD: ICE, ICE. Go away. Immigrants are here to stay.

(END VIDEO CLIP)

BLACKWELL: ICE Out protests were held across the country Friday. Restaurants closed, and students walked out of class. People pledged not to spend money. We'll tell you what they're demanding from the Trump administration.

Plus, a scary moment for skier Lindsey Vonn. She crashed in her final race just days before the Winter Olympics. Despite the accident, she says her Olympic dream is not over.

All right. This morning, we are beginning with the latest Epstein files document dump. President Trump, former President Bill Clinton, Elon Musk among the high-profile names mentioned in the latest release of the files. The Justice Department dropped more than three million pages Friday, and they include an FBI list of allegations against President Trump. A lot of them described as unverified. The White House claims they are unfounded and false.

The files also reveal a failure by FBI agents to follow up on those leads in many cases. Deputy Attorney General Todd Blanche insists the Justice Department is not protecting the president.

(BEGIN VIDEO CLIP)

TODD BLANCHE, DEPUTY ATTORNEY GENERAL: If we learn about information and evidence that allows us to prosecute them, you better believe we will. But I don't think that the public or you all are going to uncover men within the Epstein files that abused women, unfortunately.

(END VIDEO CLIP)

BLACKWELL: Comments like that are not sitting well with Epstein survivors. Some of them say that they actually expected to be disappointed by the DOJ.

(BEGIN VIDEO CLIP)

DANIELLE BENSKY, EPSTEIN SURVIVOR: It's a rabbit hole. And I think that, you know, we just have very little faith in the DOJ at this point to continue to do the right thing. It is just a trove of victims' information. And so what are we protecting is the point for me and for so many other survivors. Because at this point, we are hearing that this is it, but we have, what, half of the files that they know that they have. So, if you're not protecting survivors, then what -- who are you protecting?

(END VIDEO CLIP)

BLACKWELL: CNN's Paula Reid takes a closer look at what's in this just-released Epstein file dump, and what's not.

(BEGIN VIDEOTAPE)

PAULA REID, CNN CHIEF LEGAL CORRESPONDENT: One of the documents that is getting a lot of attention from this release is a list of accusations against President Trump. It appears the FBI compiled this list last summer. And it includes, again, allegations, some of which that have come from unverified tips. Some of this includes secondhand information that came in through a tip line. It appears the FBI followed through on some of these tips, but not at least one was found to be not credible.

This is all the kind of information that prosecutors and investigators collect when they are looking at whether charges should be filed. And this is also the reason that they don't just take unverified information or evidence gathered in a case and release it to the public. The Justice Department has a long-standing policy of not releasing details, especially in cases where charges are not brought. And, of course, President Trump has long denied any wrongdoing related to Epstein. But there are now a lot of questions about why the FBI compiled this list of allegations, even though this release is part of a larger effort to tamp down criticism and questions about a lack of transparency. This particular document is likely to prompt more questions, both for the Justice Department and also the White House. Paula Reid, CNN, Washington.

(END VIDEOTAPE)

BLACKWELL: Now, there is one document in the Epstein files released that caught the eye of CNN Senior Legal Analyst Ellie Honig. It's an indictment that was drafted about 25 years ago. But he says there's one problem with it.

[07:05:07]

(BEGIN VIDEO CLIP)

ELLIE HONIG, CNN SENIOR LEGAL ANALYST: There is a draft indictment in these three million pages, about 55, 56 pages from the Southern District of Florida. Sometimes it's not dated precisely in the mid- 2000s. That would have charged Jeffrey Epstein with serious federal crimes, plus three other coconspirators. Their names are redacted.

And to me, that's the document that's most interesting to me. Here's a snippet from it. Because it points up the key question, which is why was Jeffrey Epstein given such a sweetheart deal back in 2007 by the U.S. Attorney's office? And secondarily, how could it be that still to this day?

The only two people ever charged have been Jeffrey Epstein and Ghislaine Maxwell. How about all the other people who helped them run this operation? We still don't have those answers.

(END VIDEO CLIP)

BLACKWELL: House Democrat Ro Khanna and Republican Thomas Massie confirmed that they sent a letter to the Deputy AG Blanche, requesting an in-person meeting to review unredacted Epstein file material.

The southeast barely recovered from last week's snow and ice storm, and now they're getting hit again. This time, it's a bomb cyclone swirling off the coast of the Carolinas. That area could see more snow than they've seen in years.

Take a look now at snow-covered roads in Knoxville. There we go. Not looking great out there. More than 27 million people across the southeast, the mid-Atlantic, and the Appalachians are under winter storm warnings. Even more dangerous, though, than the snow is the cold.

As far south as Miami, they're expecting temps close to freezing. States have been preparing for days, assaulting roads, brining roads. The entire state of Georgia is under a state of emergency. We have team coverage for you this morning. Meteorologist Chris Warren and National Correspondent Rafael Romo in Atlanta. Let's start with Raphael. Talk to me about preparations.

RAFAEL ROMO, CNN ANCHOR & CORRESPONDENT: Hey, Victor. Good morning. Well, we haven't really seen any flurries here where we are at Atlanta's iconic Piedmont Park in the midtown area. But the temperature, Victor, has gone down by several degrees in the last couple of hours since we got here for the second week in a row.

Georgia Governor Brian Kemp has declared a state of emergency for all Georgia counties. According to officials, the Georgia Department of Transportation has prepared approximately 570 snow removal units statewide, including 439 snow plows that also function as spreaders and dump trucks, plus an additional 130 heavy duty pickups equipped with plows and spreaders. But, of course, the impact is regional and will be felt across several mid-Atlantic states. Officials in North Carolina are warning residents multiple factors will create dangerous conditions over the weekend and into Monday.

BLACKWELL: All right. Rafael Romo for us there, braving the cold. Not the snow yet, but the cold. Thanks so much.

All right. Now, to something to remember about this storm. You know, if it shifts a little, that could make a big difference for some states. Meteorologist Chris Warren is with me now. Where's the storm tracking?

CHRIS WARREN, CNN METEOROLOGIST: Well, I'll tell you what. It's going to be tracking offshore. But you're talking about the shift in the track itself. It makes a big difference on the edges of the storm. So, who could end up getting left out or not? As much as usually, where you look for winter storms, where there could be some big changes.

But were starting to see some snow even in Alabama right now. But it's going to be near the center, near the heart of the storm, where the higher snowfall totals are expected. And the higher and more potentially dangerous impacts are expected. And that's what we're seeing with the winter storm warnings in pink.

And then they're on the edges of the advisories where. It's looking possible. And if you're, you know, playing it safe, you should be OK. But that pink area, that's where we could see the higher totals of snow, stronger winds.

Here's that area of low pressure, still strengthening very quickly. Again, bombing out here, dropping a low pressure, which is a sign of a strengthening storm with increasing winds and more intense snowfall at times. The winds coming onshore throughout the day, pushing some of that seawater into the outer banks, into parts of Virginia. Coastal flooding certainly will be a concern. But big time snowfall totals, strong winds and snow for Boston -- just to the south of you in Boston. Not necessarily in Boston, but the Cape and the islands likely to get hit.

But this is going to be the highest impacts here. Snowfall eight to 12 inches in parts of eastern North Carolina. Here are the winds at times the outer banks gusting up to 70 miles an hour. So, we could see whiteout conditions here at times throughout portions of the Carolinas. And this continues overnight tonight. And then, Victor, having to watch for high tides, the most dangerous time for coastal flooding every 12 hours in the sixes today. Sevens tomorrow.

BLACKWELL: All right. Chris, thank you. Well, welcome to day one of the latest government shutdown. It's only a partial shutdown. It really may not last too long.

[07:10:05]

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: The yeas are 71. The nays are 29. The bill, as amended, has passed.

(END VIDEO CLIP)

BLACKWELL: Voted to pass President Trump's spending bill just hours before the deadline on Friday. But the House is not expected to return to Washington until Monday to vote on it. The bill only funds the Department of Homeland Security for two weeks. Democrats are threatening to shut the government down unless ICE undergoes dramatic reforms.

(BEGIN VIDEO CLIP)

SEN. CHUCK SCHUMER (D-NY): Senate Democrats will not support a DHS bill unless it reins in ICE and ends the violence. Some may have thought they could ignore us. Confident the news cycle would change, and the public outrage would fade. Those people were wrong.

(END VIDEO CLIP)

BLACKWELL: Passage in the House is not certain. The GOP majority is razor-thin, and some Republicans don't want to cave to Democrats when it comes to funding ICE. CNN's Lauren Fox has more.

LAUREN FOX, CNN CONGRESSIONAL CORRESPONDENT: On Friday, the Senate was able to advance that package through the United States Senate. But we are still waiting to see what the House of Representatives is going to do when it returns to Washington on Monday. On Friday, Speaker Johnson and his leadership team had a call with the Republican conference imploring members to get back into town, potentially even Sunday night, in order to be ready Monday to vote on this package.

But Johnson has really tight margins, and that means he's likely going to need a large number of Democrats to support this package, because there are some conservatives in his ranks who are frustrated with the fact that this package is different than what they had voted on previously. They're frustrated that the White House renegotiated with Democrats on a package that Democrats had previously supported.

So, there are a lot of moving pieces right now. Obviously, all eyes on the House. And when they get back into Washington on Monday, whether they're going to be able to move expeditiously to pass this package. Victor.

BLACKWELL: All right. Thank you, Lauren. Still ahead. Marches and chants and signs. Anti-ICE protests swept the country yesterday. Well, take a look at the demonstrations.

And NASA has scrubbed the next test of its historic Artemis moon rocket. Coming up, how all this cold weather is delaying NASA's plans? And just one week before the Winter Olympics, and in what was supposed to be a comeback, Lindsey Vonn's future now up in the air. Coming up, what we're hearing about the superstar skier.

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[07:17:12]

BLACKWELL: These massive protests. Did you see them? These are against the federal immigration crackdown in Minnesota, swept the country yesterday. No work, no school, no shopping. One of the rallying cries.

Businesses shut their doors. Students walked out of class to join the nationwide protest against ICE from California to Maine. This is what it looked like in Minneapolis. Thousands of protesters filled the streets for the second week in a row after federal agents killed Alex Pretti and Renee Good.

Now, the Justice Department now says that it has reopened a civil rights investigation into the fatal shooting of Pretti. Some protesters clashed with police and federal officers outside a federal building in Los Angeles. The protesters there were seen throwing items, cornering authorities. Police responded by firing pepper balls into the crowd, spraying chemical irritants. At least two people were arrested. CNN's Sherryll Hubbard has more.

(BEGIN VIDEOTAPE)

SHERRELL HUBBARD, CNN CORRESPONDENT (voice-over): A national shutdown. That's what organizers are dubbing Friday's nationwide protests against federal immigration operations. The call to action for people across the country to not work, shop or show up for school. Protesters spurred by the recent deaths of two U.S. Citizens at the hands of federal agents.

UNIDENTIFIED FEMALE: It is unacceptable that ICE agents steal our people, that they push them down, that they beat us, that they assault us.

HUBBARD (voice-over): In Minnesota, demonstrators forming a human chain spelling out SOS over Minneapolis's largest lake. In California, one demonstrator carried the names of the casualties of the current immigration enforcement operations.

UNIDENTIFIED FEMALE: I think that we should bring respect to the names of the people that have lost their lives and for their families as well.

HUBBARD (voice-over): Another rallying point Friday, the call to protect First Amendment rights, including freedom of the press. This, after at least two independent journalists were arrested after they filmed anti-ICE demonstrators rushed into a church in Saint Paul, Minnesota, on January 18. Federal prosecutors allege the two participated in a takeover-style attack of the church and intimidated congregants. Both journalists, Georgia Fort and Former CNN Anchor Don Lemon, maintained their innocence.

GEORGIA FORT, JOURNALIST: Amplifying the truth, documenting what is happening in our community, is not a crime.

DON LEMON, JOURNALIST: I will not be silenced. I look forward to my day in court.

HUBBARD (voice-over): I'm Sherrell Hubbard reporting.

(END VIDEOTAPE)

BLACKWELL: Well, it's happening again in Louisiana. Eight inmates, some facing murder charges, slipped out of the Riverbend Detention Center early Friday. This is just the latest in a string of inmate escapes seen over the past year. Three inmates are now back in custody, but five violent offenders, they're still out there. The manhunt for them has been made more complicated because of the power outages from this week's winter storm. They're still continuing to affect that region.

[07:20:04]

California Governor Gavin Newsom filed a civil rights lawsuit against Doctor Mehmet Oz, who administers the centers for Medicare and Medicaid services. Newsom is accused of -- or accusing Oz, rather, of discriminating against Armenian-Americans who live in L.A. This stems from a video Oz filmed in Los Angeles. He is standing outside of a family-run bakery, labeling the area an epicenter for health care fraud. Newsom called the claims baseless and racially charged in the city that has the largest Armenian community in the country.

NASA is delaying a crucial test launch for their Artemis II mission because of cold temperatures and wind. The agency said they'll be postponing what they call a wet dress rehearsal for the Artemis II mission around the moon. The countdown simulation was originally set for this weekend. The delay will push the first launch opportunity out to February 8.

Still to come. Ukraine's capital got a break from Russian strikes, but not from bone-chilling winter. We have the latest on the next round of talks. And communities across the south still grappling with the damage from last week's snowstorm. And still to come, they're now prepared for a bomb soaked cyclone that's bearing down on them.

(COMMERCIAL BREAK)

[07:25:49]

BLACKWELL: Another arctic blast coming from millions of people across the southeast and mid-Atlantic. And this one could intensify into what's known as a bomb cyclone as it pushes across parts of the country. Here's CNN's Brian Abel.

(BEGIN VIDEOTAPE)

BRIAN ABEL, CNN NATIONAL CORRESPONDENT (voice-over): In a weekend weather sequel, a powerful bomb cyclone endangering parts of the southeast and mid-Atlantic. The rapidly strengthening winter storm is set to deliver unusual amounts of snow, damaging winds, and dangerous coastal flooding.

WILL RAY, DIRECTOR OF EMERGENCY MANAGEMENT: All North Carolinians should be finalizing plans now and should be prepared to stay home and off the roadways starting tonight through early next week.

ABEL (voice-over): More than 28 million people are under winter storm watches and warnings, with many of the areas still recovering from the deadly winter storm just a week prior.

STEIN: And it's starting to feel a bit like groundhog week here in North Carolina.

ABEL (voice-over): The most impactful snowfall is expected across central and eastern North Carolina, and central and northeast South Carolina into Southern Virginia. Georgia also declaring a state of emergency, with some portions expecting 2 to 4 inches of snow.

Potential hurricane-force wind gusts approaching nearly 75 miles per hour are expected along parts of the North Carolina and Virginia shorelines. By Saturday night, with blizzard conditions possible when mixed with heavy snow. Crews along the coast working now to prepare for the system. Pre-treating roads and warning residents.

STEIN: NCDOT crews have been working in shifts around the clock on deicing operations to clear the roadways from what's left from the past weekend's storm and anti-icing operations to prepare for the roads for the coming weather.

ABEL (voice-over): In Washington, Brian Abel reporting.

(END VIDEOTAPE)

BLACKWELL: And joining me now from eastern North Carolina is Greenville Mayor PJ Connelly. Mr. Mayor, good morning to you. So, when are you expecting conditions to deteriorate there or has it already started?

PJ CONNELLY, MAYOR OF GREENVILLE, NORTH CAROLINA: Hey, good morning, Victor. Thanks for having me. I think right now, we're kind of expecting that we'll start to see some deterioration about middle of the day towards the afternoon. And then I think overnight, we're expecting to have heavier bouts of snowfall, like within about two inches per hour.

BLACKWELL: Two inches per hour. I mean, that is a massive snowfall. What's your expectation of how much you'll get? As we all understand, this thing can move, and numbers can shift. But right now, what's your working theory? CONNELLY: Yes, I think it's kind of been shifting over the last two or three days. I think the latest update that we received was that we're expecting somewhere between 8 to 12 inches, but we could see as much as 14 inches here in eastern North Carolina.

BLACKWELL: Talk to me about your preparations there.

CONNELLY: The city's been working really hard. Luckily last week, we kind of had a quick run through with the ice storm that we saw. So, we were able to utilize some of that as we prepared for this storm.

Our city staff has been out there brining the roads since Wednesday. They're going to continue to be out there putting ice out -- or excuse me, putting out salt on the roads and treating the roads on a regular basis. So, they'll be out there plowing as soon as we start seeing some significant snowfall. And will probably expect that it's going to take us several days if we get the number of inches that we think we'll get.

BLACKWELL: Listen, I know the city crews and the people in the city need a break after what happened last week. But how much of what hit you all last week is left over as this storm comes?

CONNELLY: We were pretty lucky in Greenville. We only had about a 10th of an inch of ice. As you get a little bit further to the west, towards the Raleigh area, they had a little bit more accumulation. But you know, it was a good run through for us to be able to make sure that we were prepared, make sure that our staff was able to communicate effectively, and then also make sure that we're prepared for this storm. This one -- this one is going to be a big one. I think this is one that we haven't seen since the 1980s.

BLACKWELL: Yes. And that temperature that's coming in the cold, that's coming in is going to leave it around for a while, probably longer. That 10th of an inch of ice stayed. Let me ask you about the winds, because when those winds whip up, as they're expected to, that brings down tree branches, which means power lines can go out. And there are crews that are around the country now trying to recover from the last storm. How are you all prepared for the potential power outages that you could see with this storm?

[07:30:06]

P.J. CONNELLY, MAYOR OF GREENVILLE, NORTH CAROLINA: Yes, and we have been working closely with our local electric provider here in town, which is Greenville Utilities. They are on standby. They have notified the public, though, if winds get up in excess of 35 miles an hour, it will be tough for the crews to be out there. But once those winds subside, they will be able to get out there and start the power back up as soon as possible.

BLACKWELL: Yes, it sounds like you are prepped for as much as one can be for a storm that's coming. What's your biggest concern overall?

CONNELLY: You know, the main thing is getting people off the roads. We want to make sure that people are not on the roads. You know, in eastern North Carolina, we don't have the equipment, like other parts of the country that do see substantial amounts of snowfall on a regular basis. So, you know, we want to make sure that people are off there.

You know, our estimations are that if we get eight to 12 inches of snow, it could take us four full days to be able to clear all of our municipal roads.

BLACKWELL: Four days. All right. Mayor of Greenville, North Carolina, P.J. Connelly, you got a storm on the way. We wish you the best, and thanks for spending a few minutes with us.

CONNELLY: I appreciate. Thanks, Victor.

BLACKWELL: All right. Now, to Russia's war on Ukraine as Ukrainians battle brutally cold temperatures there. Russia has said it will temporarily pause striking energy facilities in Kyiv until tomorrow.

Ukraine's Air Force says that Russia did strike other Ukrainian targets. Kremlin spokesperson says that the president, President Trump asked for the pause, and Russia agreed to it.

The Ukrainian president, Volodymyr Zelenskyy, also said that tomorrow's scheduled ongoing trilateral peace talks with Russia could be postponed as the U.S. and Iran continue to trade threats.

CNN correspondent Salma Abdelaziz joins us now with the latest. It's some good news, but it is a very narrow concession from Russia.

SALMA ABDELAZIZ, CNN CORRESPONDENT: Very narrow. Absolutely, Victor. And it is, of course, as you said, a sign of progress for the people of Kyiv who had a relatively quieter night. It did mean something to be able to hold on to that, especially, when you are talking about these freezing cold conditions.

But as you said, as well, there were still Russian attacks across the country, including in frontline regions, using drones, using ballistic missiles. President Zelenskyy saying Russia is continuing to make life extremely difficult for civilians.

And you have to remember that this is such an unusual truce, right? It is that Russian -- Russia cannot attack energy infrastructure only in Kyiv. And initially, President Trump described it as a week-long truce. But then, the Kremlin seemed to indicate that this would only last until Sunday, making it only a few days.

But for mediators, it will be about building on the progress of this. Take us into what President Zelenskyy said about the truce.

(BEGIN VIDEO CLIP)

VOLODYMYR ZELENSKYY, PRESIDENT OF UKRAINE (through translator): The American side spoke about refraining from strikes on energy infrastructure for one week, and the countdown began last night.

How this proceeds depends, of course, on our partners, primarily the United States. Ukraine is ready to mirror this restraint. And today, we did not strike Russian energy facilities.

(END VIDEO CLIP)

ABDELAZIZ: So, for negotiators, they are going to hear that reciprocity coming from President Volodymyr Zelenskyy, Victor, and they are going to say there is an opportunity here. There is a back and forth here. What is the status of the talks? Well, we were supposed to see trilateral talks taking place in Abu Dhabi on Sunday. We are now hearing from President Zelenskyy. Those may be rescheduled. Those may be moved.

The outstanding issues on the table, according to Secretary of State Marco Rubio, are one and only one, and that is territorial control of Donetsk. But the Russian government has poured cold water on that. It says that there are still many outstanding issues on the negotiating table, but today, Russia's special envoy will be in Miami, speaking to White House officials.

So, there may be more progress on that. We'll wait and find out, Victor.

BLACKWELL: We'll see if they make some. Salma Abdelaziz. Thank you.

Well, stocks ended lower Friday after President Trump named his pick for fed chair. Coming up, what Kevin Warsh's appointment could mean for you? And if you are heading out, remember, you can stream our show from anywhere in the U.S., right from the CNN app.

[07:34:20]

You can also go to cnn.com/watch.

(COMMERCIAL BREAK)

BLACKWELL: President Trump has picked Kevin Warsh to be the next Federal Reserve Chairman. That decision could affect all of our finances, from credit cards to home loans and car loans. President Trump says that he and Warsh agree on wanting lower interest rates. The Senate still has to confirm Warsh for the job, which could be a challenge.

Lydia DePillis joins me now. She is the economic reporter for The New York Times.

Lydia, good morning to you, and let me just start here by playing what the president said on that priority of lowering interest rates and his pick, Kevin Warsh.

(BEGIN VIDEO CLIP)

DONALD TRUMP, PRESIDENT OF THE UNITED STATES: So, but we talk about it, and I've been following them, and I don't want to ask him that question. I think it's inappropriate, probably, probably would be allowed. But I want to keep it nice and pure. But he certainly wants to cut rates. I've been watching him for a long time.

(END VIDEO CLIP)

BLACKWELL: By watching Kevin Warsh, is it clear that he wants to cut rates?

[07:40:02]

LYDIA DEPILLIS, ECONOMIC REPORTER, NEW YORK TIMES: Kevin Warsh has been very critical of the Federal Reserve in the past few years, but it's important to remember that when he was last on the Federal Reserve Board, cut rates. Kevin Warsh has been very critical of the Federal Reserve in the past few years.

But it's important to remember that when he was last on the Federal Reserve Board, back during the financial crisis, he actually was more of an inflation hawk and not in favor of cutting rates in order to ease financial conditions.

So, he has seen an evolution over the past few years, and I think it's safe to say he is in alignment with the president on the view that there should be lower interest rates. Now, he has some justifications for that, that can be legitimately argued. But he is going to have to win over his fellow members of the board in order to actually bring that about.

BLACKWELL: And so, what made him the guy versus, let's say, Kevin Hassett and others who were potential finalists?

DEPILLIS: Yes. President Trump did hold this prolonged beauty contest for who he would pick to be Fed chair. A number of Kevins were in the race, as you mentioned, including Kevin Hassett. But he did run up against a problem, which is that he has to get this nominee through the Senate.

And President Trump did not do himself any favors by trying to strong arm current Federal Reserve Chair Jerome Powell, with criminal investigations of basically unrelated things. That really raised the hackles of some members of the Senate Banking Committee, even Republicans who understand the importance of Federal Reserve independence.

Now, Kevin Hassett, it seems, was seen as too much of a loyalist and may not have gotten the votes to get through, and Trump does not have that kind of time.

Federal Reserve Chair Powell's term expires as chair in May. So, he does need to get someone ready for that, and it can take time to get these folks through.

BLACKWELL: Let's talk about maybe a hiccup in the confirmation. Republican senator who's retiring and increasingly a Trump critic, Thom Tillis posted on social media after the announcement, "My position has not changed. I will oppose the confirmation of any Federal Reserve nominee, including for the position of chairman, until the DOJ's inquiry of Chairman Powell is fully and transparently resolved." Now, the Attorney General -- Deputy Attorney General Todd Blanche yesterday, tried to separate the two, but just talk more about how difficult this could be for the president to get Warsh confirmed.

DEPILLIS: Yes, I think senators are realizing that they do have a tiny bit of leverage here. And it's not that Warsh himself is objectionable. Wall Street sees him as someone who cares about his own reputation more than being a loyalist to the president.

However, as you heard from Senator Tillis, there are deep concerns about the president's willingness to pull some really unconventional levers to get what he wants.

President Trump has said he wants one percent interest rates. That would have enormously scary implications for the economy. There is no path to that now.

Remember, the Federal Open Market Committee is this body of 12 people who vote on interest rates. The chair is just one vote on that committee.

However, as we've seen with the president's pursuit of Governor Lisa Cook, he is very determined to get a majority on that board. So, I think that's why you heard from Senator Tillis, you need to stop and we're going to use -- I'm going to use my vote in order to extract that kind of promise.

BLACKWELL: So, the Dow slipped a little bit. Gold and silver prices dipped a little. The dollar got a little stronger. Is there a causal relationship between the announcement and what we saw in these markets and other ratings?

DEPILLIS: Yes, I think you see just unease with this entire process from Wall Street. There was maybe a little bit of a sigh of relief that President Trump picked someone who is seen as having his own sort of source of credibility and desire to maintain a good reputation for making decisions that will be in the interest of the entire economy and workers.

I think we would have seen a very adverse reaction if President Trump had chosen a Kevin Hassett or even a Scott Bessett. His name was being floated, you know, in this month-long process, because those people, it is thought, would have had much less resistance to trying, in whatever way they could to bring about President Trump's desired interest rates.

BLACKWELL: All right. Lydia DePillis, thank you so much.

[07:44:12]

Still ahead, U.S. skier Lindsey Vonn, suffered a scary injury just days before the Olympics. Despite that, she says her Olympic dreams are not done yet. It's coming up after a quick break.

(COMMERCIAL BREAK) BLACKWELL: Lindsay Vonn, top American skier, insists her Olympic dream is not over, despite injuring her knee in a crash on her final downhill race a week before the Winter Games in Italy.

Now, the 41-year-old had to be airlifted to a hospital. In an Instagram post, Vonn wrote, "This is a very difficult outcome one week before the Olympics, but if there is one thing I know how to do, it's a comeback." The Winter Games opening ceremony is next Friday, with Vonn's first Olympic downhill race next Sunday.

We have a new Australian Open champion on the women's side. CNN's Andy Scholes is joining us now with more.

Hi, Andy.

ANDY SCHOLES, CNN SPORTS ANCHOR: Yes. Yes, Victor, what an awesome couple of days we've had there at the Australian Open. You know, yesterday, we had Novak Djokovic and Carlos Alcaraz winning those thrilling men's semifinals matches. Those two now are going to square off early, early tomorrow morning. You have to wake up early if you want to watch that one tomorrow on the men's final.

In the women's final, earlier this morning, we had Elena Rybakina, upsetting Aryna Sabalenka to claim the title. This was a rematch from the 2023 final that saw Sabalenka win.

[07:50:02]

But this time around, Rybakina got her revenge. She took the first set then dropped the second.

Sabalenka actually took a 3-0 lead in the third, but Rybakina battled back, winning five straight games and closed out the match with an ace.

26-year-old, previously only had won one grand slam title, that was Wimbledon back in 2022.

All right. The NBA meanwhile, Luka Doncic had himself a night in the nation's capital. The Lakers star had a triple double by halftime. 26 points, 11 assists, and 10 rebounds. Luka finished with 37 points in the game.

LeBron James just continues to not look like a 41-year-old. Look at that. The left-handed alley-oop slam. And he wasn't done. Then, in the third quarter, LeBron did the two-handed reverse slam. Just incredible what he is still able to do. He finished with 20, as the Lakers won that one in a blowout over the Wizards, 142 to 111.

Alex Ovechkin, he was at that game, and afterwards, he and LeBron met up traded jerseys. Ovechkin, the all-time leading goal scorer, LeBron, the all-time leading scorer in the NBA. Pretty awesome. Both are still playing, and both still playing at a very high level.

All right. Finally, it was a record setting night for women's basketball in Philadelphia, Friday. 21,490 fans. They packed Xfinity Mobile Arena to see the first ever tour stop for the three-on-three unrivaled league. So, this was the most fans ever for a women's professional basketball game.

Unrivaled co-founder Napheesa Collier called the night amazing, and said the league will hold more tour stops next season. The league normally plays all their games in Miami, where it's eight-week season runs from January to March. With Victor, I say more tour stops are certainly needed in the future, with that kind of turnout.

And Philadelphia, it's getting their own WNBA team -- expansion team in 2030. Certainly, looks like those fans are ready for their own women's pro-team.

BLACKWELL: Yes, not just a big crowd. They look like they were having a good time. You could see the cell phone lights swaying. It looked like it was a good time in there.

(CROSSTALK)

SCHOLES: Yes.

BLACKWELL: All right. Andy Scholes, thank you so much.

Hey, one method. I said this last hour, I want to remind you again.

If you are trying to get the ice off your roof, do not take a torch up there.

Let me take you to Milton, Massachusetts, few miles south of Boston. Authorities there say that a house caught fire after the homeowner tried to use a torch to melt off the ice on the roof.

WCVB reports the homeowner says he was on a ladder yesterday trying to get this ice off. Had a thick layer. He said, you know what I'm going to do? Let me get this torch up here. Well, then the flames spread across the front of the house. You see the thick smoke, the fire pouring out. Crews tried to get it out. They eventually did.

Good news here, no one was hurt. Meteorologist Chris Warren is here with us for another check of the weather. Yes, don't take the torch up.

CHRIS WARREN, CNN METEOROLOGIST: Lesson learned.

BLACKWELL: Yes. Lesson learned, the hard way, right? What are we looking at with the forecast?

WARREN: We got a big storm that is still in the developing phase here. It's going to be high impact throughout parts of the southeast, including portions of South Carolina, North Carolina. You even see here, snow is falling right now in places in Alabama and in Georgia and Tennessee, but it is going to be the Carolinas that will get the brunt of this.

And a few things to watch here. First, the snow, the darker purple, the blue colors, that's the heavier snow through time. These lines on the map that go over the borders, that's showing you how the storm is getting more intense. Those are lines of equal pressure. The more of them there, there are, the more -- the deeper the storms getting, essentially,

And with that, stronger winds, while the snow is coming down during the overnight hours tonight, the wind and the snow, especially at the coast in North Carolina, potentially seeing blizzard conditions. Whiteout conditions likely going to happen here and during the high tides, this wind is going to be pushing some of that sea water weather from the Atlantic, with the winds coming out of the north east, and then, eventually turning from the northwest some of the bay water.

So, high-tide in the 6:00 hour today. Tonight, at 6:30, then, overnight into tomorrow morning, another high tide around 7:00. And then, at 7:00 p.m. Again, also approaching high-tide. And then, Victor, dangerously cold temperatures, especially when you factor in the wind chill, all the way down to South Florida.

BLACKWELL: All right, Chris, thank you.

"FIRST OF ALL" is coming up at the top of the hour. There is an immigration case that has not gotten a lot of attention compared to others, but it's emblematic of why a growing number of Americans think President Trump's immigration crackdown is going too far.

I'll speak with the governor of Delaware and the attorney for a man who is detained and facing deportation despite being developmentally disabled.

Plus, Congressman Bennie Thompson is here. He is a top Democrat on the committee that oversees the Department of Homeland Security.

[07:55:00]

I'll ask him about the partial government shutdown that's happening now over ICE funding, and its call for Kristi Noem to be fired, impeached, or resigned.

And later, you will hear from the mother of a man killed by an off- duty ICE agent.

After Keith Porter Jr. was shot and killed on New Year's Eve, the family says they are not getting answers, and they want his name to be part of the national conversation.

Those stories and conversations you will not see anywhere else, coming up after a short break on "FIRST OF ALL".

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