Return to Transcripts main page
Laura Coates Live
Markets Plunge On Recession Fears; Judge Blocks Trump's Effort to Deport College Activist; Is The Anti-Musk Backlash Against Tesla Working?; Search For College Student Underway; Secretary Of State Marco Rubio To Enter Pivotal Ukraine Talks. Aired 11p-12a ET
Aired March 10, 2025 - 23:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
[23:00:00]
(COMMERCIAL BREAK)
LAURA COATES, CNN HOST AND SENIOR LEGAL ANALYST: Well, tonight, Americans winced at their 401Ks as Wall Street fears Trump won't blink and might be staring down a recession. Plus, a judge throws a wrench in Trump's plans to deport a Palestinian activist who organized student protests. Is the president who claims he brought back free speech going against free speech? And the frantic search along the beaches of the Caribbean resort town after a University of Pittsburgh student vanishes during spring break. All tonight on "Laura Coates Live."
So, you know that expression, was it no pain, no gain? Well, it seems the Trump administration wants to apply that phrase to the economy. Here's the problem. The pain hurts, and economists are increasingly worried the gain ain't going to happen.
Just look at the Dow today. It plunged nearly 900 points, down more than 2%, the biggest drop since President Trump actually took office. And for the tech heavy Nasdaq, it was the worst fall since September 2022. The major networks even broke into regular programming to give an update on the sell off.
(BEGIN VIDEO CLIP)
UNKNOWN: We're interrupting your regular programming because of a massive sell off on Wall Street tied to growing fears of a recession.
UNKNOWN: Breaking news from Wall Street right now. The markets just closed, clocking in their worst day of the year.
(END VIDEO CLIP) COATES: Yes, you heard that correctly. Growing fears of a recession. Why? Well, because Trump refused to rule out one in an interview released just over the weekend.
(BEGIN VIDEO CLIP)
MARIA BARTIROMO, FOX BUSINESS CHANNEL HOST: Are you expecting a recession this year? DONALD TRUMP, PRESIDENT OF THE UNITED STATES OF AMERICA: I hate to predict things like that. There is a period of transition because what we're doing is very big. We're bringing wealth back to America.
(END VIDEO CLIP)
COATES: Now, he was asked about it again shortly after. And you know what? He doubled down.
(BEGIN VIDEO CLIP)
UNKNOWN (voice-over): Are you worried about a recession? Maria Bartiromo asked you, and you kind of hesitated.
TRUMP: I'll tell you what. Of course, she hesitated. Who knows? All I know is this: We're going to take in hundreds of billions of dollars in tariffs.
(END VIDEO CLIP)
COATES: Who knows? Not exactly what you want to hear if you're hoping for stability. Right? Now, the economy and the markets, they actually thrive on predictability. And nothing about the last week has been, well, predictable. You got on and off again tariffs. You got vague comments about being in a transition, even a lack of clarity about the end goal.
Is it about stopping fentanyl coming across the borders, curbing legal immigration, forcing manufacturers to come back to the USA, something else? Who knows?
President Trump made no public appearance today, so no one got to ask him about the economy or that market freefall. But if the pain gets worse and prices go up, he will have to answer to Main Street because, remember, the president promised an economic boom during his campaign. He didn't say anything about pain and suffering to get there.
And now, the alarm bells are ringing, including from former treasury secretary, Larry Summers. And remember, he is the same economist who warned President Biden about inflation when his administration was saying it would be a temporary pain.
(BEGIN VIDEO CLIP)
LARRY SUMMERS, FORMER TREASURY SECRETARY UNDER CLINTON: On January 1st, no one thought that a recession was a substantial likelihood. And today, market prices and consensus opinions of economists suggest a very real risk of recession.
(END VIDEO CLIP)
COATES: Joining me now, White House economically -- economic policy reporter for "The Wall Street Journal," Brian Schwartz, and CNN political commentators, Ashley Allison and Shermichael Singleton.
I'll begin with who had me tongue-tied at the beginning. Maybe I'm thinking about what's going on in this market. So, President Trump's recession talk sent the markets plunging, as you all saw. The S&P 500 down 2.7% today. Your paper, "The Wall Street Journal," the homepage says, Wall Street fears Trump will wreck the soft landing. So, the question everyone is asking is, is the economy really in danger of a recession?
[23:05:01]
BRIAN SCHWARTZ, ECONOMIC POLICY REPORTER, THE WALL STREET JOURNAL: Well, it's a question of the uncertainty, to your point. I mean, this is -- this is a big problem. And, you know, with Republicans, I've noticed some of them at least, obviously on the Hill, talk about Wall Street like it represents, you know, wealthy people. That's not really true. Okay?
We're talking about pensions here. When the stock market drops by the amount that it did today, that impacts pensions. It impacts 401Ks. And, you know, I'll say this, too. When Larry Summers talks about things like a potential recession, people really should listen. I mean, because he was talking about similar issues, at least with the inflation side, under Biden. So -- and he wasn't entirely wrong about that either.
So, I think that's something that Republicans really going to have to keep an eye on with the stock market. I know, you know, when the stock market is up, politicians, Democrats and Republicans love to cheer that on. And when the stock market comes down, sometimes, both parties don't always want to talk about that as an indicator, but sometimes, it can be an indicator of things to come.
COATES: Someone talked about this as kind of a negotiating tactic. The tariffs are not -- it's not only the president who cried tariffs, but more of a negotiation. But what happens if the markets don't trust him or this continues? What then?
SCHWARTZ: Well, it's -- again, it's this mixed messaging coming out of the White House that's kind of important here with this story. I mean, so the president doesn't rule out a recession.
COATES: Uh-hmm.
SCHWARTZ: Then, Howard Lutnick, I read, says there won't be a recession. And then -- and then he goes back to the tariff point that you made. Right? First, where they're going all in with the tariffs, 25%, Mexico and Canada on the goods coming from this country. Now, it's not going to be all the tariffs. It's going to exempt for now, at least in the next month or so, on goods from those countries that are tied to the USMCA. Right?
So, it's this kind of, you know, jump ball all the time, the kind of scattershot econ policy that we're seeing from the White House that causes this uncertainty that leads to days like this and potentially problems to come in the market.
COATES: So, Shermichael, what do you think the president is doing? What is the strategy here? Because, obviously, the volatility of the market's short term, long term, problematic. What is the strategy?
SHERMICHAEL SINGLETON, CNN POLITICAL COMMENTATOR, REPUBLICAN STRATEGIST: I mean, I think he's -- he's clearly trying to figure out what's the best way to get countries like Mexico, Canada to the drawing board for what he would argue is a more equal, trade imbalance. I think he would argue that he's trying to get some manufacturing jobs to come back to the country.
I'm not necessarily opposed to any of those things. And I would say, you know, during dips, this is an opportunity to buy. It's called buying during the dips. Stock markets go down. If you have that disposable income, you should buy. You have the option to look at alternative, currencies such as crypto, meme coins, etcetera.
I know for me personally, I'm not looking at this as a net negative. I know a lot of wealth managers out there who are looking at opportunities for the portfolios that they balance to benefit their clients, including people who have 401Ks.
So, I think it depends on the vantage point you're looking at. But, overall, I think we're going to be fine. We talked about we might be in a recession last year. It never really occurred. These things happen. You have to reset. I think the president is going to ultimately attempt to do that and do everything he can to avoid a potential recession.
COATES: Yeah. When I hear things like wealth managers or disposable income and crypto, I don't see -- I don't think personally about the everyday person. I know there's 401Ks and there's pensions and besides. And, you know, I know there is a sector of the -- of the economy and population who can look at those things. But there's a whole hell of a lot of people who can't afford to have these dips, who are riding and dying along it, or don't even -- can't even access this market.
ASHLEY ALLISON, CNN POLITICAL COMMENTATOR: Yeah. Let's take it back to November 4. That was the day before the election.
SINGLETON: Uh-hmm.
ALLISON: And Republicans --
COATES: We know.
(LAUGHTER)
Thank you. Thank you, Ashley.
(LAUGHTER)
ALLISON: In case you forgot. Republicans sat on these panels and told us how out of touch Democrats were with working class people. I'm not saying that's wrong, but what I am saying is that you can't say on November 1 -- November 4 that prices are too high and now they're higher, that the stock market is dipping, which means pensions or/and retirements are in -- are in struggle, and then talk about disposable income. People didn't have disposable income on November 4, and they sure as hell don't have it right now.
And so, what the Republicans should really be thinking about, those working- class vote -- folks that thought Donald Trump was going to give them a pathway to wealth. He talks about bringing wealth. Wealth for who? Most people are just trying to get out of poverty to the middle class or middle class and stabilize.
We -- we -- we talk about billionaires. There is nothing wrong with being a billionaire. If I could be a billionaire, I would be one, too. But it's what billionaires do like a Elon Musk. It's the oligarchs that folks are saying that exploit poor people and think you can just have disposable income on a bad day.
COATES: Well, your point was larger.
SINGLETON: But I wonder -- but I wonder, though, we had four years of the Biden-Harris administration where the deficit went up, debt went up, the cost of living went up, the cost of grocery went -- groceries went up, the cost of childcare went up. Every single sector you could look at --
ALLISON: Yeah.
SINGLETON: -- that you could measure economically went up. It's not as if Donald Trump was handed this amazing incredible economy that he's now all of a sudden destroying. We, Republicans, are going to have to fix what Democrats completely destroyed over four years.
ALLISON: I don't know --
SINGLETON: So, I don't think you can blame Republicans for what we're seeing.
ALLISON: No. I don't think that -- that the economy was destabilized, as you paint it.
[23:10:03]
What I will say, though, is that the economy is not getting better. It is not even staying the same. It is -- the things that were promised to us are not -- they are changing, and they're changing for the worse.
And then on top of it, you have a budget bill that is coming up that would make it harder for people in red states and blue states around Medicaid, around Medicare, around Social Security, those social safety net programs that really do stabilize the middle class.
And I -- I -- I hear you that people felt like we got it wrong, Democrats got it wrong, but you all aren't getting it right right now either.
SINGLETON: It has been one month. Dips happen --
ALLISON: Day one.
SINGLETON: It has been one month.
ALLISON: Day one.
SINGLETON: Dips happen all the time.
ALLISON: Six weeks.
SINGLETON: I'm not trying to ignore the reality of working-class people, but I think as it pertains to understanding the economy, understanding stock markets, anybody who invests in this stuff will tell you this occasionally occurs. I'm not freaking out about this. And again, the people who manage these portfolios that you -- you mentioned --
ALLISON: Right --
SINGLETON: -- aren't necessarily freaking out about it either.
SCHWARTZ: I want to say that, you know, when you -- when you look at -- again, we look at these ideas of stocks and bonds.
SINGLETON: Uh-hmm.
SCHWARTZ: Let's look at it from historical trend as well. The one of the stocks that stood out to me that really did struggle today was Tesla.
SINGLETON: Yeah.
SCHWARTZ: And that's important for the relation for a lot of reasons, of course, because Elon Musk is working with Donald Trump.
And you look back over the years, I mean, I know, you know, the Tesla stock now is, like, over $200 a share. But at one point, it was, like, $30, $35 a share. Again, this was a stock that people from the middle class could really buy into. And if they're holding on to it now and it's down, I think, you know, double digits, percentage wise over the course of the month, they're getting hurt on this, you know, at the moment as well. So that's something to keep an eye on as we go forward.
SINGLETON: Blame it on the short sellers, most of them who lean politically to the left. I own Tesla stocks. I'm just being honest.
ALLISON: Right. Every month. Month to month.
COATES: Well, the math ain't math-ing for everyday person who took in the price of eggs. Thank you, everyone.
I want to bring in former Democratic congressman from my home state of Minnesota, Dean Phillips. He's also the former owner of Talenti Gelato and Phillips Vodka.
Congressman, I'm glad you're here, especially for the perspective of a former business owner as well. I think it's really important to orient that moment because the former treasury secretary, Larry Summers, saying today that there is a real possibility of a recession. Do you agree with that or is this overblown?
DEAN PHILLIPS, FORMER MINNESOTA REPRESENTATIVE: Oh, I absolutely agree with it. And not only a recession but in no small part, likely inspired by our very president, who had heretofore been promising Americans a booming economy and a growing stock market and lower prices, and we're seeing actually just the opposite. In fact, his tariff policy has the potential to literally not just put the United States economy in a tailspin but the global economy.
And we're already seeing some of the repercussions and tariffs now being placed on products coming out of America and, of course, in my old business, even distilled spirits. Canada, at least I think the province of Ontario, literally removing American-made wines and spirits from its shelves.
It's bad policy. It's not good for our relations with allies. And if anything, I think it's emboldening our adversaries all while we're putting so many millions of Americans at economic risk. It's -- it's -- it's actually shameful.
COATES: But congressman, President Trump, I mean, surely, he had to know that declining to say rule out a recession would be a gut punch to businesses. So, any idea what the method to this madness is?
PHILLIPS: No, I don't think there is a method, and that's probably the most disconcerting part of this administration so far. I celebrate a lot of their objectives. I think government does need to be reined in. I think we need to become more efficient, more effective, use our dollars more wisely, use innovations, and attract the best and brightest to Washington.
But when you do so without any transparency or any plan, it's going to be problematic. That's what we're seeing with DOGE. Same with economic policy. You know, it is not in anyone's best interest to have a president who's making decisions on whims and on his own accord rather than listening to the foremost advisers, both on the right and left, that he should be listening to.
So, I'm afraid that is the problem right there, Laura. There is no real strategy. It's just a man who's used to being provocative and getting his way. And I just don't know that that will be a good strategy for success in this day and age considering the risks and the consequences.
COATES: He's also a man who would like to be synonymous with the art of a deal or negotiation and be given the benefit of the doubt --
PHILLIPS: Uh-hmm.
COATES: -- that there is some methodical plan in the end. But we're seeing some back and forth between his approach to tariffs. Do you think he will back off of these tariffs again?
PHILLIPS: Well, you know, in my estimation, Laura, tariffs are best used as threats, levers as threats, not when they're implemented. When they're implemented, it's too late. And I'm afraid that we missed the boat, relative to using them to our advantage. Now, people are going to call our bluff. I think that's a really weak strategy. Long term, that's exactly how this president operates.
[23:15:00]
COATES: I do wonder if those who might have those tariffs imposed do view it as the president who called wolf and tariffs, but we'll see how they actually view at the table. I want to circle back, though, to business owners. What about businesses? What does this instability do to them? Is there any advice that you would give to business owners who are trying to navigate this back and forth and, frankly, uncertainty?
PHILLIPS: Yeah. In fact -- well, you just used the operative word, Laura, certainty. Businesses plan and make their plans and their budgeting and their allocations based on certainty. They do not operate well in uncertainty and ambiguity, and that's exactly what this administration is presenting.
My advice to business owners is work with your local chamber of commerce, with the National Chamber of Commerce, to ensure that your voices are being heard and the right people in Washington are listening because this is not about Democrats or Republicans, this is about our entire economy.
And I'm afraid this president doesn't quite understand how much is at risk when companies fail to make investments because of uncertainty. And the uncertainty that's being generated right now is so massive that I would imagine a lot of companies are going be pulling back, withholding from hiring, and not making any meaningful investment decisions until they know which way this president, this administration, and this economy is going.
So, it's going to be complicated for quite a while, and I think it is time for business owners to speak up even at the risk --
COATES: What about the Democrats in office?
PHILLIPS: -- of being canceled or being criticized.
COATES: I mean, what about, like, the Democrats? I mean, obviously --
PHILLIPS: I like to see Democrats --
COATES: -- Democrats or Republicans. So, what should they be doing?
PHILLIPS: Well, Democrats in Congress, I'm -- I'm saddened to see what has been transpiring, what seems to be no strategy, a rudderless party by most measures. And we used to be the party of ideas, and I'm not hearing any ideas. If you don't like what DOGE is doing relative to government waste or efficiency, then offer an alternative.
COATES: Is it easier said than done at this point?
PHILLIPS: Well, first of all, there -- I don't believe there is a strategy. That's one. If there had been -- yeah, it's hard to be in the minority. Nobody wants to be in a legislative minority. But holding up signs and being thrown out of the House chamber during a presidential remark and complaining isn't going to do anything.
My message, as I've shared so many times in the last couple months, is it's not a matter of agreeing with them, but at least take some steps to be at the table, join the effort to improve the immigration system, join the effort to improve government efficiency, join the effort to ensure that our economic policies lift all the boats in this country.
But if you're only going to complain, you're not participating in problem solving or change. So, my advice is actually to sit at the table and stop the complaining and start participating. That's the only way in a country like ours we can succeed.
COATES: Former Congressman Dean Phillips, thank you for joining us tonight.
PHILLIPS: Any time, Laura. Thank you.
COATES: Up next, a major fight over free speech. A Palestinian activist here with a green card now faces Trump's deportation machine for his role in protests against Israel. A judge stepping in and saying, not so fast. But can Trump still get its way? That's next.
And later, how much longer does Elon Musk plan on hanging around DOGE? Well, tonight, a hint at the answer that might be giving his Tesla investors some real heartburn.
(COMMERCIAL BREAK)
[23:20:00]
(COMMERCIAL BREAK)
COATES: Promises made, promises kept. President Trump touts that slogan when he checks off a campaign pledge. But one promise could land the White House in a constitutional battle over free speech.
The administration may want to deport Columbia University graduate and Palestinian activist Mahmoud Khalil. He was front and center at Columbia during the protest against Israel's war in Gaza. But federal immigration agents arrested him over the weekend. Now, a judge temporarily blocked Khalil's deportation until a hearing happens on Wednesday. Khalil is not a citizen, but a green card holder.
And on the campaign trail, Trump made it clear that he -- what he would do to non-citizen students who took part in protests over Gaza.
(BEGIN VIDEO CLIP)
TRUMP: When I'm president, we will not allow our colleges to be taken over by violent radicals. And if you come here from another country and try to bring Jihadism or anti-Americanism or antisemitism to our campuses, we will immediately deport you. You'll be out of that school.
(APPLAUSE)
(END VIDEO CLIP)
COATES: Well, Trump is trying to make good on his promise. He signed an executive order that would use -- quote -- "all available and appropriate legal tools to prosecute, remove or otherwise hold to account protesters deemed antisemitic." And today on Truth Social, Trump said Khalil's arrest is -- quote -- "the first arrest of many to come," adding, "We expect every one of America's colleges and universities to comply."
Joining me now is CNN legal analyst Elliot Williams and senior legal affairs reporter for "Politico," Josh Gerstein. Glad to have both of you here tonight hearing this news. Josh, so far, the government hasn't actually formally announced any charges. So, what could he face?
JOSH GERSTEIN, SENIOR LEGAL AFFAIRS REPORTER, POLITICO: Well, right now, he's just in immigration court. They did very quickly move him from New York, it looks like, to New Jersey, and then to Louisiana, which is not the kind of place you would expect someone arrested on an immigration charge to be within --
COATES: Why?
GERSTEIN: -- a matter of 24 hours. Immigration cases tend to take months, if not years, to resolve. So, for someone to just be abruptly moved from the northeast to Louisiana has to be done by plane to do it that fast. It's just a very, very unusual thing to have happened.
And in fact, Khalil's lawyers now are arguing that this was a form of retaliation for his speech, that his First Amendment rights are basically being violated in this very, very strange way that he was targeted.
[23:25:04]
COATES: What do you say about the First Amendment aspect of this, of course? And also, I mean, you've worked at ICE before. And so, the process of deportation, is this standing out to you?
ELLIOT WILLIAMS, CNN LEGAL ANALYST, FORMER FEDERAL PROSECUTOR: It is standing out for a number of reasons. And the most important language in the statement from the president was appropriate legal tools. We will use the appropriate legal tools --
COATES: Uh-hmm.
WILLIAMS: -- because it's not clear they have them on in this case for a couple of different reasons. Now, certainly, someone could be barred from entering the United States in the first place if they engage in terrorism or a member of a terrorist organization endorse or espouse terrorism. Right? You know, we can all agree on that. And we should -- we don't want those folks in the country.
It gets a little more complicated when, number one, someone is a lawful permanent resident of the country, and number two, is engaging in what might be protected free speech activity. You know, you're allowed, sadly, to be an anti-Semite. You're allowed to say hurtful things to other people. You're even allowed to endorse organizations overseas that are adverse to the -- to the interest of the United States. It just depends on what you're saying and how you're saying it.
And so, you know, I don't say any of this to endorse or condone the kinds of statements that this individual --
COATES: Uh-hmm.
WILLIAMS: -- is alleged to have made, but the simple fact is everybody, including people who are lawfully president of the United States, have free speech rights, and this is running up against their immigration laws right here.
COATES: I mean, this sounds like -- obviously, there's a lot of subjectivity, it sounds like, in the vagueness of the umbrella of endorsement of speech of what would constitute an illegal protest. Do we have any insight from the administration or through ISIS to what are the -- what's the criteria being met here?
GERSTEIN: Well, not really because I think what we've seen from the administration so far is mixed messages. If you look at the statements put out on social media, it seemed like Trump wasn't going so far as to say that he thought this person had committed a crime. But then you had Tom Homan putting out statements saying all kinds of crimes were committed.
I mean, if crimes were committed, there's another route you could have gone here, which is just charge him with a federal charge of material support of terrorism if you think you have the goods on that and put him in the criminal justice system. But, clearly, the administration didn't want to do it that way. They wanted to somehow take advantage of the fact that he's not a U.S. citizen.
And it does make you wonder if they fully understood that he was here on a green card or maybe they thought he was just here on a student visa. It's hard to believe that something of this magnitude could happen without them being entirely clear. But, you know, his lawyers say that his wife indicated that the officials that came to arrest him, the officers --
COATES: Uh-hmm.
GERSTEIN: -- thought he was on a student visa and said it'd be canceled by the State Department. Then they -- when they said that there was a green card, they said the State Department canceled that, which is odd because the State Department doesn't issue green cards and they can't cancel green cards.
So, it's very murky whether the -- the whole basis for this arrest was really well-thought-out at the beginning.
COATES: What is the judge doing now? WILLIAMS: Oh, the judge right now is having a hearing on all of these complicated questions. There's another wrinkle because the -- Marco Rubio had tweeted, you know, the point that if there are reasonable grounds to believe that someone presents potentially serious adverse national security risk to the United States, they can be removed from the country.
They're just complicated and fuzzy standards. And when you don't have, as Josh had said, someone who's not charged with a crime or has not, at least on the record so far, materially-provided support to a terrorist organization, it just gets fuzzier, and it's just not clear exactly how to -- how to proceed.
COATES: Wednesday is the next hearing. Thank you, gentlemen, Elliot Williams, Josh Gerstein. You know how a sigh can sometimes tell you more than words could? Listen to this.
(BEGIN VIDEO CLIP)
MUSK: Um --
(SIGHING)
-- Yeah, I mean --
(END VIDEO CLIP)
COATES: Up next, the very painful yet simple question that led to that answer as Musk faces another terrible day for not one, but two of his companies.
(COMMERCIAL BREAK)
[23:30:00]
(COMMERCIAL BREAK)
COATES: A double whammy for Elon Musk today. First, his social media site X went down for hours. The company is investigating what happened. But Musk blames it on a cyberattack that he claims originated in the Ukraine area. Even more painful, the pockets of the world's richest man have gotten a little bit lighter. Bloomberg reports that Musk's net worth has dropped a hundred and $148 billion just since December. Why?
All I have to do is look at the stock performance of his company, Tesla. It has lost nearly all of the gains it made after election day. In fact, Tesla stock dropped 15% just today, mind you.
An electric automaker is also the popular punching bag where people who are furious about DOGE. Over the weekend, protesters forming a human chain outside a Tesla showroom in New York. Tesla charging stations burned in suburban Boston. Investigators are calling the fires suspicious based on the evidence at the scene. And outside Portland, Oregon, police believe someone shot at a Tesla dealership, damaging cars and shattering windows. Is all the bad publicity giving Musk pause?
(BEGIN VIDEO CLIP)
KUDLOW: You've given up your other stuff? I mean, what do you -- how are you running your other businesses?
MUSK: With great difficulty.
[23:35:00]
Um --
(SIGHING)
Yeah, I mean --
KUDLOW: But there's no turning back, you're saying?
MUSK: I'm just here trying to make government more efficient.
(END VIDEO CLIP)
COATES: Joining me now, investor and longtime Tesla shareholder, Ross Gerber. He's the cofounder, president, and CEO of Gerber Kawasaki Wealth and Investment Management. Ross, thank you for joining. I mean, you've heard the reaction from -- from Elon Musk. We've seen the protests at Tesla, the stock plunge. Is he doing permanent damage to the Tesla brand or will this blowback let up?
ROSS GERBER, CO-FOUNDER, PRESIDENT AND CEO OF GERBER KAWASAKI WEALTH AND INVESTMENT MANAGEMENT, INVESTOR: Well, at this point, I think it's fairly clear that it's a pretty deep amount of damage, and how permanent is still yet to be determined.
But, you know, I've been warning about this for a long time now, well over a year. And as his roles have changed more and more in government and in politics and his opinions, it has had a bigger and bigger cost to Tesla.
It's really, really sad as a supporter of Tesla for so long and a believer in Tesla's mission to see it subverted by the its own CEO into a political tool. People are actually protesting against a company that's critically important for climate change. It's like -- it's crushing.
So, it just gives you an idea of how bad of a board of directors -- Tesla's board of directors should all resign immediately. You know, it's -- it's embarrassing they've let this happen to Tesla.
COATES: Well, Ross, I do wonder, with somebody like Elon Musk, how influential would a board of advisers be? Are -- do they have any real power or is it performative?
GERBER: Well, yes, they have power because board of directors choose management at companies and that's the way it works. And Elon only owns 13%. Eighty-seven percent of Tesla is owned by the public. And so --
COATES: Okay.
GERBER: -- they -- they have an obligation to the Nasdaq as well to have an independent board, which they've been proven by Delaware courts not to have an independent court board, not to mention the board member has been selling stock left and right into this decline.
But, you know, it has cost my clients, you know, at least 25 to 40 million in just the last few weeks, you know? And -- and we've been trying to divest ourselves of Tesla that, you know, over the years, we've accumulated so much. And -- and so people are losing real money because of this.
And -- and I know at first, it was a euphoria about winning the election, but it doesn't change the business that Tesla is in. And now, the fact that it has become a political punching bag, it has caught -- it is going to cost shareholders more, I think.
COATES: Can Tesla course correct?
GERBER: Um, I think it can because it still makes the best products. I mean, this is the craziest thing, you know, even -- you know, I was with my relatives this weekend, and they were telling me that, you know, they've sold their Teslas, and I was, like, you've literally sold your Teslas? It's like to buy a worse car just because they don't want to drive a Tesla. And, you know, I drive a Tesla, and the only saving grace I have is that everybody in West L.A. still has Tesla.
So, it's -- it's like everybody has their head down driving them. And, you know, it's -- it's really almost like a case study on taking a brand that was, you know, loved and valued extremely high and then damaging it to a point where it has now become a negative being a Tesla.
COATES: Ross, I want you to listen to what Elon Musk said about how long he'll be working on DOGE.
(BEGIN VIDEO CLIP)
LARRY KUDLOW, FOX BUSINESS FINAL NEWS COMMENTATOR: You're going to go another year?
ELON MUSK, CEO OF TESLA MOTORS, SPACEX, LEADER OF DEPARTMENT OF GOVERNMENT EFFICIENCY: Yeah, I think so. Um --
KUDLOW: Final report, middle of next year?
MUSK: Well, we're -- we're -- we're just getting things done as opposed to writing a report. Like I say, reports don't mean anything. You just -- you got to actually take an action.
KUDLOW: Yes.
(END VIDEO CLIP) COATES: What's your reaction to that amount of time? Is it sustainable for Musk to prioritize DOGE over his businesses or to last for a year in that role?
GERBER: Well, I -- I think he said at the beginning of that interview that he's not doing a good job doing this altogether, and he's a human being. And so, he's not running Tesla. We know that. Most, if not every CEO that I can think of even historically, has put a 100% of their time into the business that they're being paid to run. And, you know, being such a large shareholder of Tesla as well, he has -- you know, one would think a huge incentive to see Tesla do well.
But he's basically, like, the president of the United States now. He has paid his way into being so high up there in the Trump camp. He's literally, like, traveling next to Trump. So, this is power, like, he has never seen or -- or had before. And I think he -- you know, he's addicted to it.
So, I -- you know, look, I don't blame him for trying to make government better. If that's his intent, it's certainly not a bad intent. But as a Tesla shareholder, he has let the company become the punching bag for all of his political, you know, productivities and not to mention the company itself has so much to accomplish, and they're not on track to -- to accomplishing these things.
[23:40:09]
So, we still got to sell cars. We got to make autonomy work. They want to make these robots. I mean, this is -- none of it is easy, and -- and yet he's not there. So --
COATES: Hmm.
GERBER: -- it's a critical year for Tesla.
COATES: I'll be curious to hear his response. Ross Gerber, thank you so much.
GERBER: Thank you.
COATES: Still ahead, a spring break trip gone wrong. A 20-year-old Pittsburgh student missing in Punta Cana. And now, a source tells CNN that the man believed to have last seen her has given varying versions of what he remembers.
(COMMERCIAL BREAK)
[23:44:53]
COATES: At this hour, a living nightmare for the family of 20-year-old University of Pittsburgh student Sudiksha Konanki, who has been missing for several days while on spring break with several friends in the Dominican Republic, setting in motion an all hands on deck frantic search by air, by land, and by sea.
Police say Sudiksha was last seen on surveillance camera with seven other people entering the beach in Punta Cana after 4:15 a.m. on Thursday. Around 5:55 a.m., cameras captured five women and one man leaving the beach, but no sign of Sudiksha. Hours later, a young man believed to have stayed behind with the missing student left the beach area. Authorities have questioned that young man, though he is not considered a suspect at this time.
I want to bring in a private investigator who worked with Natalee Holloway's family, the Alabama teen who went missing during a high school graduation trip in Aruba in 2005. TJ Ward joins me now. TJ, I know that you have spoken with Sudiksha's family. Can you tell us how they're doing and what advice or counsel you are giving them?
TJ WARD, PRIVATE INVESTIGATOR WHO WORKED WITH HOLLOWAY FAMILY: I -- I talked to the mother last night, and I -- I tried to tell her that I've been here and done this, as I did 2005, to try to get her to -- maybe bring us on board because I'm very familiar with this type of investigation, as I did with Natalee Holloway's case.
This is -- feels like a whole new story, as it was in 2005. Everybody believes that she's in the water, she drowned, and we can hardly believe that. She's somewhere. Law enforcement needs to work hands on with, hopefully, the FBI and other government agents, with our country and try to look at witnesses, look at video cameras, talk to people that may have seen her, the people that she traveled with, and try to get answers.
COATES: My God. As a mother, just -- I cannot imagine what that conversation must have been like to even bring up, say, Natalee Holloway or otherwise. It's an absolute nightmare not knowing where she is. In this timeline, it shows Sudiksha and one young man remaining on the beach at around 5:55 a.m. as the others left. It's early in the investigation, but what questions do you have about the timeline right now?
WARD: Well, I believe once -- once they -- they've gotten there, they -- they need to start looking at witnesses. They first need to talk to the people that she was with. I understand there was a witness that saw her in a pool or somebody. They need to look into them.
One of the things that I did when I was in Aruba was -- was get somebody to work with me that knows the area, knows the people, and can get out and be able to communicate with people and knowing what transpires in -- in this -- in this jurisdiction. And I -- and I think that's really important.
If we end up getting involved in this case with this family, that would be one of the first things I would do, is to get somebody that knows the area, knows the -- and start a relationship with law enforcement because they're your hands on -- law enforcement is going to be your way to get in and get around and learn people and hear things and know who people are. And you got to get answers.
And this -- this is a long, long road right here. The goodness of this is that they've jumped on this right away. And, the sooner, the better to be able to get answers and find out what's going on. COATES: I mean, the young man who was with Sudiksha at the beach told authorities multiple versions of the last time that he saw her. Police, though, have no suspects right now. But as an investigator yourself, are you identifying any red flags even at this juncture?
WARD: Well, one of the things that that I have that nobody else had and I used in Aruba was a layered voice analysis, a 21st century truth technology, and to be able to analyze people that they're talking to see if they're being truthful about what they're saying. I mean, that's really important.
I interviewed several people when I was in Aruba with a voice analysis and be able to utilize this. It's a 21st century truth technology. It's 95% accurate. And this enhances me. I'm a retired law enforcement officer, so I know what law enforcement is looking at, and being able to communicate with them and get answers is really important.
COATES: God bless this family. I know they just want Sudiksha home. TJ Ward, thank you.
WARD: Thank you. Thank you, Laura.
COATES: Still ahead, Secretary of State Rubio set to walk into a major meeting that could help decide Ukraine's fate. And tonight, he says there's one thing he needs to hear from Kyiv before anything else happens. I'll tell you what next.
[23:50:00]
(COMMERCIAL BREAK)
COATES: We're just hours away from high-stake talks between U.S. and Ukrainian officials in Saudi Arabia, happening just 10 days, 10 days after the tense oval exchange -- Oval Office exchange between Trump and Zelenskyy.
(BEGIN VIDEO CLIP)
TRUMP: You're gambling with World War III. You're gambling with World War III. And what you're doing is very disrespectful to the country, this country.
[23:55:00]
VOLODYMYR ZELENSKYY, PRESIDENT OF UKRAINE: I'm --
(END VIDEO CLIP)
COATES: Secretary of State Marco Rubio arrived in Saudi Arabia earlier today, and he'll be joined by National Security Advisor Mike Waltz in the meeting with Ukrainian ministers. Now, Ukrainian President Volodymyr Zelenskyy is also in Saudi Arabia where he met with the crown prince. And while he's not expected to attend Tuesday's meeting, he did express that -- quote -- "peace is our shared goal."
Here to talk about what's at stake is CNN senior military analyst and former NATO supreme allied commander, Admiral James Stavridis. He's also a partner at the Carlyle Group and advises a handful of defense- related companies. Admiral, thank you so much for joining us.
I want to play for you what Secretary of State Marco Rubio had to say when he was talking about one of the main goals of these talks. Listen.
(BEGIN VIDEO CLIP)
MARCO RUBIO, UNITED STATES SECRETARY OF STATE (voice-over): We have to understand the Ukrainian position. And just have a general idea of what concessions they'd be willing to make because you're not going to get a ceasefire and an end to this war unless both sides make concessions.
We're not going to be sitting in a room drawing lines on a map, but just get a general sense of what concessions are in the realm of the possible for them and what they would need in return, and then find out what the Russian position is in that regard, and that will give us a pretty good assessment of how far apart we truly are.
(END VIDEO CLIP)
COATES: Is this the right approach, admiral?
JAMES STAVRIDIS, CNN SENIOR MILITARY ANALYST, FORMER NATO SUPREME ALLIED COMMANDER: I think we need to put pressure on Russia. Russia is who invaded Ukraine. Russia is led by a dictator, Vladimir Putin.
My question is, what are the concessions Russia will make here, starting with providing guarantees that they will not reinvade Ukraine if we allow them a ceasefire? Starting with, do we have a path to the European Union, to western economics for Ukraine? And above all, are there going to be security guarantees from NATO nations who will back up Ukraine if we allow Vladimir Putin to have a ceasefire? Those, frankly, are the concessions I'm interested in.
COATES: You know, we do have some new reporting earlier tonight that special envoy Steve Witkoff, he's going to travel to Moscow later this week to meet with Russian officials. Now, there's no word yet on if that includes Putin. But he has met with Putin in the past. Could those meetings undercut tomorrow's talks given your concerns about the imbalance of concessions?
STAVRIDIS: Well, as I look at what Steve Witkoff has done in the Middle East and more recently, I think you can sort of say, hey, there's a parallel track here. He's going to go talk to Putin directly. I don't think that's a terrible thing. But the main thrust of these talks has to be about how Ukraine avoids a further invasion by Russia.
Again, we need to keep coming back to two basic facts, Laura. You know them both. Putin is a dictator and Russia invaded Ukraine. That's where the concessions ought to occur.
COATES: I want to get your reaction on what we saw earlier today from Elon Musk. He called the decorated veteran and combat pilot and senator, Mark Kelly, he called him a traitor today, and that was in response seemingly to Kelly posting about visiting Ukraine and backing them in the war against Russia. I want you to listen to what Kelly's response was tonight.
(BEGIN VIDEO CLIP)
SEN. MARK KELLY (D-AR): As I was getting sworn in to the United States Navy, I swore an oath to our Constitution to protect and defend the Constitution. I have lived that oath my entire life. The only oath I can think of that maybe Elon has sworn is an oath to his own checking account, to his pocketbook, an oath maybe to ruining the lives of veterans.
(END VIDEO CLIP)
COATES: Admiral, what's your response?
(LAUGHTER)
STAVRIDIS: Well, I am in complete agreement with Senator Kelly, and not just because he and I share a hairline, but because --
(LAUGHTER)
-- he and I share a naval background. He is a hero of this republic. He has earned multiple medals in combat, flying combat aircraft. He's a Navy captain and astronaut. I can't think of anybody I admire more. To call him a traitor is to be ridiculous in every context. Shame on Elon Musk for saying that word in the context of someone like Mark Kelly.
COATES: Admiral James Stavridis, thank you, sir.
STAVRIDIS: My pleasure.
COATES: Thank you for watching. "Anderson Cooper 360" is next.
ANDERSON COOPER, CNN HOST: Tonight on "360," there is breaking news. President Trump sparked recession concerns in a market selloff by what he didn't say. Senator Bernie Sanders joins us to discuss the state of the economy.
[23:59:58]
Also, tonight, a Republican congressman complains about Trump's treatment of Ukrainian who wants to return to Ronald Reagan's "peace through strength." We will hear from Reagan's daughter, Patti Davis.
