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The Situation Room

Retailers Attempt to Attract Customers to Stores; Interview With Gov. Andy Beshear (D-KY); Trump Administration Planning Review of Refugee Admissions?. Aired 11:30a-12p ET

Aired November 25, 2025 - 11:30   ET

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

[11:30:00]

PRISCILLA ALVAREZ, CNN CORRESPONDENT: This is a stunning turn of events, because, again, this is a population that for years has to wait to even be approved to come to the U.S., and then has to go through medical checks, vetting, et cetera, to even come to U.S. soil and then has an entire process here to make sure they're stood up on their feet.

So to see this happen has been something that has shocked the refugee community and the refugee advocates. Now, the administration as a whole has largely paused admissions of refugees, except for Afrikaners. And, in fact the new admissions that they anticipate are mostly going to be Afrikaners.

So this is really just flipping this admissions program on its head. And it's worth repeating that this has been a program that has generally and historically had bipartisan support. Republicans and Democrats have backed the Refugee Admissions Program over the many years that it's been in place. So this has certainly been rocking for that role.

WOLF BLITZER, CNN HOST: So, just quickly explain. White South Afrikaners...

ALVAREZ: Yes.

BLITZER: ... they can still come as refugees, but others can't?

ALVAREZ: They can still come as refugees. And that is part of the refugee admissions process and the ceiling that the Trump administration has put in place for this fiscal year.

BLITZER: All right.

PAMELA BROWN, CNN HOST: Are they actually coming in? I mean, are they accepting...

ALVAREZ: They have had some come in. And they had a bit of a show of that earlier this year at an airport here locally. And they anticipate more will come, but this is still a process under way, and they would have to prove that they face persecution.

BLITZER: Excellent reporting, Priscilla. Thank you very, very much.

BROWN: All right, happening now: The White House is gearing up for a Thanksgiving tradition and President Trump is preparing to flex his presidential power, dishing out official pardons to two fortunate turkeys fittingly named Gobble and Waddle, sparing them from the holiday menu.

BLITZER: CNN senior White House reporter Betsy Klein is over at the White House.

Betsy, this is, what, the 78th national Thanksgiving turkey presentation over there. But you're hearing this year's ceremony will be a little different.

BETSY KLEIN, CNN SENIOR REPORTER: Right, Wolf.

We have seen President Trump really lean in to his clemency powers in his second term, doling out pardons to George Santos, January 6 Capitol rioters, Rudy Giuliani, and today it is Gobble and Waddle. These two Thanksgiving turkeys will be pardoned by the president moments from now.

And we saw Gobble in the Briefing Room just moments ago. That turkey declined to comment on the matter. But this is really a very fun event amid so much instability around the world, political upheaval. We have seen President Trump really lean in to the Thanksgiving roast in years past.

Expect him to make a cornucopia of jokes. He's going to appeal to his base and really make much ado about stuffing today. This year is going to be a little bit different. According to the office of the first lady, just one of these turkeys is going to receive the official ceremonial pardon. They asked Americans to cast their votes via text message for either Gobble or Waddle, Gobble emerging victorious.

These turkeys rode the gravy train here to the White House from North Carolina. We will have to see if they ruffle any feathers, as live animals can be a little unpredictable.

BROWN: All right, Betsy Klein, thanks so much.

BLITZER: And tune in Thursday morning for our special Thanksgiving in America live coverage. It starts at 8:00 a.m. Eastern right here on CNN and on the CNN app.

And just ahead: He's flipped voters in his state on multiple occasions. Now he believes it could be done on a much wider scale. After the break, the Kentucky governor, Andy Beshear, joins us live with the key sticking points he thinks Democrats should focus on to turn America blue.

(COMMERCIAL BREAK)

[11:37:55]

BLITZER: New this morning, for the first time since the start of President Trump's second term, drivers are paying higher gas prices than they were at the same point last year under former President Biden.

And although prices at the pump are still relatively low and far from their historic peak back in 2022, the trend contradicts a key talking point from the Trump administration on the issue of affordability.

BROWN: Our next guest argues Democrats need to do more than address affordability to turn America blue.

And joining us now to talk about all of this is Kentucky's Democratic Governor Andy Beshear.

Hi, Governor.

So you write this op-ed. This is a new opinion piece about this month's elections. And you say in this op-ed -- quote -- "We saw in these wins -- we saw -- what we saw in these wins was a direct repudiation of the Trump agenda. But we still have to grapple with the fact that the Democratic Party has lost ground in many parts of the country, especially in rural America. Tackling affordability is not enough. To truly lead again, Democrats must be the party of aspiration."

So what exactly do you mean, and how does your party achieve that?

GOV. ANDY BESHEAR (D-KY): What I mean, is, first, we have got to show up everywhere, every rural community and every urban community.

And we have to tell the people of America not just who we're against, but what we're for. Yes, we saw in this last set of elections great candidates like Abigail Spanberger and Mikie Sherrill win by wide margins. They talked about affordability, but I think what they were really talking about was the American dream.

I think one of the most concerning threats to this nation is how many people think the American dream is now no longer in reach, that idea that, if they work hard and play by the rules, they still won't get ahead. We have got to be the party that rekindles that American dream, that provides more housing, that lowers utility costs, that makes it so you can not only afford your grocery bill at the end of the month, but to take your family on that same vacation that you could go on growing up.

That's what the next generation deserves, and that's what we should be delivering.

[11:40:00]

BROWN: You mentioned the Democrats who won in Virginia and New Jersey, but what about Zohran Mamdani, the mayor in New York, and his approach he's taking? Because a big reason he won too was his pitch on what he could do on affordability.

BESHEAR: Yes, I think what you saw in Mamdani's win is actually somewhat similar to what we saw the year before in Donald Trump's win. It's that people are so concerned about being able to pay for the

price of their child's next prescription that they're willing to vote for somebody that's cruel in Donald Trump or somebody whose proposals may take a little bit of work, like Zohran Mamdani.

What they're looking for are people who are committed to them, that recognize that the system isn't currently working. But, again, we have got to be more than just against Donald Trump and his tariff policies that are making life harder. We have got to be more than just against his big, ugly bill, which is going to devastate rural health care and rural economies.

We have got to be the party offering the solution. And that solution is making sure that American dream works for every family across our country.

BLITZER: Well, why should Americans, Governor, have confidence in Democrats to deliver on this key issue of affordability, when President Trump was elected on this issue back in 2024 after the Biden/Harris administration clearly failed to deliver?

BESHEAR: Well, first, Donald Trump has done anything but make things more affordable. His tariff policy has raised costs on everything from groceries to housing to everything that goes in that house from hardwood to cabinets to upholstery.

Every single day, his policies make it tougher and tougher to get by. And look at what he pushed congressional Republicans to do and not to. He pushed them to extend a tax cut for the wealthy, but not tax credits for hardworking Americans trying to afford health care.

But when you look especially at Democratic governors, you see, we do what Republicans can't when we win. We govern well. In Kentucky, we have broken every record for private sector investment and new jobs. Our wages are at a three-year high when you average them out. People are living better lives.

And I have seen, in counties that were trending red, when you deliver good new jobs, when you open up a new health care clinic, when you build a new road that saves people 20 minutes each way, people will vote different if you are making a real impact on their lives.

So all I'm asking is that Democrats, but, heck, I welcome Republicans too, let's focus on people's everyday needs. Let's recognize that, for America to continue to be great, that American dream has to be real. And let's make it happen.

BROWN: Someone might hear what you're saying, read your op-ed and say this sounds like a pitch for running for president.

Your fellow Democratic Governor Gavin Newsom of California acknowledges he will give serious thought to a potential presidential run after the midterm elections. Are you also waiting for the midterms to consider or announce what's next for your political future?

BESHEAR: Well, I spent this last year trying to speak reason into chaos, being a commonsense, common ground, get things done type of voice for the Democratic Party, but hopefully for America.

This next year, I will be head of the Democratic Governors Association. And my job is to elect new leaders and keep great leaders all over this country. We are going to change the map. And you're going to see that next year when we win some governor's elections that no one is expecting.

After that, I will sit down with my family and we will see. What's most important to me is that my kids get the type of country that I grew up in, one that is stable, one that doesn't have a constant us versus them. We need to not only win this next presidential election, but we need to heal this country, make things less partisan and restore that American dream for each and every family.

BLITZER: We will be anxious to hear what you eventually decide, Governor.

But given everything you have written and just explained to us, are you confident in the current Democratic Party leadership in Congress to lead the party to victory in next year's midterm elections?

BESHEAR: Well, when democracy works the way it's supposed to, there's more than one voice and you will hear dissent within a party. That's what it's supposed to be about.

What's important to me is those commonsense, common ground, get things done type of voices are heard, that we put results for the American people before anything else, that we recognize that maybe too much regulation in the past has kept us from delivering as quickly as we need to for Americans and that we put our families first before any ideology, before any fights over leadership.

We just look at the American people and say, we're the party that will get things done for you.

BROWN: All right, Governor Andy Beshear, thank you so much.

BESHEAR: Thank you.

BLITZER: And have a happy, happy Thanksgiving.

Coming up: With inflation and tariffs on the rise, shoppers are being more careful with their spending this holiday season.

[11:45:00]

We go behind the scenes with one of the largest retailers in the country for a closer look at the tactics they are now using to entice customers to spend.

(COMMERCIAL BREAK)

[11:50:04]

BROWN: All right. New this morning, wholesale inflation heated up in September. New data released today by the Bureau of Labor Statistics finds that businesses are paying more for goods. That could be an early indicator of higher prices coming in for consumers.

And new retail sales figuring out -- figures out this morning show that growth in September, but at a much slower pace than in August.

BLITZER: All right, joining us now, CNN business and politics correspondent Vanessa Yurkevich, who is in New York.

Vanessa, some retailers are trying to draw customers into their stores by offering extrasensory experiences that they cannot necessarily get online, obviously. Tell us about that.

VANESSA YURKEVICH, CNN BUSINESS AND POLITICS CORRESPONDENT: Yes, Wolf,retailers are pulling out all the stops to try to bring customers into stores, but also continue shopping online.

But that new data that you pointed to this morning paints a picture that retailers are starting to see higher prices, as you mentioned, prices up in the month of September 0.3 percent, up 2 percent annually. That is moving away from the 2 percent target that we like to see, and also it signals in this report that retailers are absorbing a lot of the price increases so consumers don't have to.

Also, retail sales showed that sales were up point 0.2 percent in September, but that is a pullback from the summer. Also, when you take retail sales, but sort of subtract the price increases that we have seen in consumer inflation, you actually see a decrease in consumer spending.

So how does a legacy brick-and-mortar retailer compete in this environment? Well, they try to offer experiences that consumers can't get anywhere else.

(BEGIN VIDEOTAPE)

NATA DVIR, CHIEF MERCHANDISING OFFICER, MACY'S: You want to throw some hoops?

YURKEVICH: Yes. Yes.

DVIR: OK.

YURKEVICH: Are we going one-on-one?

(voice-over): A friendly game of hoops with Macy's chief merchandising officer, Nata Dvir.

DVIR: Very good.

YURKEVICH: This is Macy's NBA experience at their New York flagship store. It's one of a half-a-dozen interactives, including an exclusive Disney partnership...

DVIR: Very cute.

YURKEVICH: ... and their first national Santa tour.

(on camera): He's an O.G. balloon.

(voice-over): ... that Macy's hopes will lure customers into stores this critical holiday shopping season.

(on camera): Is it not enough just to have Macy's be an experience in itself that you want to have extras?

DVIR: We want to make sure that we have experience in all the different ways the customers are looking for it.

YURKEVICH: More Americans are going to be shopping online this holiday season than in store, but Macy's says they still expect a lot of their business to come from in-store shopping because of experiences and unique experiences, like this one. This is Holiday Square. It's like a little Christmas market that you see outdoors, but it's indoors.

DVIR: When you see how customers are shopping, there's still a lot of traffic happening in the malls and in stores for the convenience of having the delivery. Speed is incredibly important, but customers still want to touch and feel things and smell things too. And so those are the things that we want to make sure that we're really showcasing in our store.

YURKEVICH (voice-over): Macy's is a legacy brand, around since the 1850s. But like every retailer, it's navigating an unpredictable holiday season, with shoppers being more careful with their money.

Wells Fargo expects 3.5 to 4 percent holiday sales growth this year, not adjusted for inflation. So actual spending could be flat.

(on camera): What are the biggest challenges that consumers are facing this holiday season?

LAUREN MURPHY, MANAGING DIRECTOR, WELLS FARGO RETAIL FINANCE: Consumers are facing the tariff in prices right? So they're seeing that across the board. Inflation has still not come down. So everything across the board is up to 3, 4 percent.

YURKEVICH: What about for a legacy retailer who has to compete with online shopping, really fast shipping, and fast fashion? How do they stand out this holiday season?

MURPHY: I think brick-and-mortar still has a place in people's hearts this holiday, right? And you look at the winners and losers in retail, and it really comes down to merchandising and that customer experience when they walk in.

YURKEVICH (voice-over): Macy's merchandise comes from over 25 countries, so it's subject to President Trump's tariffs. To keep prices as low as possible, Macy's has split the cost among vendors, the company, and customers.

(on camera): What are those categories that people can expect to pay a little bit more? DVIR: Toys, which is one where we saw the prices go up. I think

sweaters was another place where we saw it. But I think the value that they're going to see is going to warrant where those ticket increases are.

YURKEVICH: Is that even avoidable?

DVIR: At some point, some things aren't.

YURKEVICH (voice-over): Macy's is doubling down on stores, upgrading hundreds, part of its current turnaround plan following years of slumping sales. The company recently posted its first sales growth in three years, but still plans to close dozens of underperforming stores.

(on camera): There were some complaints few years ago that the stores felt messier. They lost their luster. How much has that been part of the turnaround?

DVIR: We're taking that seriously. We spend a lot of time not only in our stores with our teams, but also making sure that we're listening to the customer to see that we're making progress. And we're not yet where we want to be, but we're making a ton of progress to get towards where we'd like to go.

(END VIDEOTAPE)

[11:55:01]

YURKEVICH: And retailers really need to get to those goals very quickly, because also this morning, guys, we got, new consumer confidence numbers, which show the consumer confidence fell to its lowest level since April.

That is not great heading into this key holiday shopping season. But one thing we have seen, Pam and Wolf, is, amid all of this economic uncertainty, tariffs, sticky inflation, the consumer, the shopper has been incredibly resilient, and that is really important for the U.S. economy, because consumer spending makes up two-thirds of overall GDP.

This is a big question mark, just how we're all going to show up this holiday season. We will get more information after this critical weekend, that Black Friday, Cyber Monday, as we start to see where people start to spend and if they do, guys.

BLITZER: I still like to go to stores and check something out in person before I buy.

BROWN: Do you?

BLITZER: Call me old-fashioned, but that's what I like to do.

BROWN: I'm surprised.

BLITZER: Vanessa, thanks for that report.

Vanessa Yurkevich in New York.

And, to our viewers, thanks very much for joining us this morning.

BROWN: "INSIDE POLITICS" with Audie Cornish starts right now.