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  • Senior House Republican says GOP members ready to block Jordan | CNN Politics

    Senior House Republican says GOP members ready to block Jordan | CNN Politics



    CNN
     — 

    A number of House Republicans are in talks to block Rep. Jim Jordan’s path to the speakership as the Ohio Republican tries to force a floor vote on Tuesday, according to multiple GOP sources.

    One senior Republican House member who is part of the opposition to Jordan told CNN that there he believes there are roughly 40 “no” votes, and that he has personally spoken to 20 members who are willing to go to the floor and block Jordan’s path if the Ohio Republican forces a roll-call vote on Tuesday.

    “The approximately 20 I’ve talked to know we must be prepared,” the member said. “We cannot let the small group dictate to the whole group. They want a minority of the majority to dictate and as a red-blooded American I refuse to be a victim.”

    But another GOP source familiar with the matter says that Jordan has had positive conversations with members and believes by Tuesday evening he will be elected speaker of the House. The source said it was “likely” the vote would still happen on Tuesday and that Jordan may decide to go to multiple ballots on the floor if necessary.

    Republicans are expected to meet behind closed doors Monday evening.

    Yet there is still sizable opposition to Jordan. The GOP member says there are some Republicans who are critics of Jordan and not willing to back him – and there are others angry at the hardliners who took out Kevin McCarthy and sunk Majority Leader Steve Scalise and don’t want to reward those moves by electing Jordan, who is their preferred candidate.

    “I know of many hard nos. …We can’t reward this behavior,” the GOP lawmaker said. “We can’t let a small group be dictators.”

    The Republican conference nominated Jordan as speaker last week after Scalise dropped his bid for the role. Scalise had initially been selected by the conference as its nominee – after he defeated Jordan 113-99 in the conference’s first speaker vote – but more than a dozen Republicans said they would not vote for Scalise, forcing him to withdraw.

    Now Jordan is facing the same problem from Republicans angry at McCarthy’s ouster and a small faction of the conference refusing to get behind Scalise after he won the first vote. After Jordan’s nomination, he held a second, secret vote in the conference on whether Republicans would support him on the floor. Fifty-five Republicans voted no.

    To be elected speaker, a nominee must win the majority of the full House, which is currently 217 votes due to two vacancies. That means Jordan or any other Republican nominee can only afford to lose four GOP votes on the floor if every Democrat votes for House Minority Leader Hakeem Jeffries.

    Some of Jordan’s allies have pushed for votes on the floor in order to try to call out the holdouts who aren’t behind the Ohio Republican. But Rep. Dan Crenshaw of Texas railed against his House GOP colleagues who plan on rallying support for Jordan’s speakership through a public pressure campaign, calling it “the dumbest thing you can do.”

    “That is the dumbest way to support Jordan,” Crenshaw told Jake Tapper on CNN’s “State of the Union” Sunday. “As someone who wants Jim Jordan, the dumbest thing you can do is to continue pissing off those people and entrench them.”

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  • US sending second carrier strike group, fighter jets to region as Israel prepares to expand Gaza operations | CNN

    US sending second carrier strike group, fighter jets to region as Israel prepares to expand Gaza operations | CNN


    Washington/Seoul
    CNN
     — 

    The Pentagon has ordered a second carrier strike group to the eastern Mediterranean Sea, according to two US officials, and is sending Air Force fighter jets to the region as Israel prepares to expand its Gaza operations.

    The US warships are not intended to join the fighting in Gaza or take part in Israel’s operations, but the presence of two of the Navy’s most powerful vessels is designed to send a message of deterrence to Iran and Iranian proxies in the region, such as Hezbollah in Lebanon.

    The first carrier strike group, led by the USS Gerald R. Ford, arrived off the coast of Israel last week.

    Now the USS Dwight D. Eisenhower strike group, which deployed from Norfolk, Virginia, on Friday, is headed to the eastern Mediterranean. The aircraft carrier was initially set to sail for the waters of US European Command, but the officials said it will now head for the waters near Israel.

    It is unclear at this point how long the Ford will stay in the region once the Eisenhower carrier strike group arrives, one official said.

    The Eisenhower is the flagship of the carrier strike group, which will be joined by a guided-missile cruiser and two guided-missile destroyers, according to the Navy.

    The Eisenhower can carry more than 60 aircraft, including F/A-18 fighter jets. The Ford can deploy more than 75 aircraft.

    ABC News first reported the carrier strike group’s orders.

    The Biden administration made clear that the carrier, and its accompanying force, are not there to engage in combat activities on behalf of Israel.

    “There is no intention or plan to put American troops on the ground in Israel,” said John Kirby, strategic communications coordinator for the National Security Council, on Thursday. Kirby underscored that the purpose of the increased military presence in the region is to deter others from entering the conflict if they perceive weakness on the part of Israel.

    “We take our national security interests very seriously in the region,” he said, noting that the purpose of the bolstered force posture was “to act as a deterrent for any other actor, including Hezbollah, that might think that widening this conflict is a good idea.”

    In addition, the 26th Marine Expeditionary Unit, a rapid reaction force capable of conducting special operations, is making preparations in case it is ordered closer to Israel to bolster the US’ force posture there, multiple US officials tell CNN.

    The unit, which is on board the amphibious assault ship USS Bataan, is comprised of more than 2,000 Marines and sailors and would be capable of supporting a large-scale evacuation. Among the mission essential tasks for a Marine Expeditionary Unit are evacuation operations and humanitarian assistance.

    No such order has been given yet to the unit, the officials said.

    Aircrew aboard a U.S. Air Force F-15E Strike Eagle assigned to the 494th Expeditionary Fighter Squadron celebrate their arrival in the U.S. Central Command area of operations, Oct. 13, 2023

    Meanwhile, US Air Forces Central on Saturday announced the deployment of F-15E fighter jets and A-10 ground-attack jets to the region.

    The movement of the warplanes from the 494th Expeditionary Fighter Squadron and 354th Expeditionary Fighter Squadron, respectively, “bolster the U.S. posture and enhance air operations throughout the Middle East,” an Air Force statement said. It did not give specific numbers of warplanes involved.

    A US Central Command social media post said the A-10s will join another squadron of the aircraft already in the region.

    “By posturing advanced fighters and integrating with joint and coalition forces, we are strengthening our partnerships and reinforcing security in the region,” Lt. Gen. Alexus Grynkewich, 9th Air Force commander, said in a statement.

    Defense officials have said repeatedly in recent days that the Pentagon will be able to flow in additional forces and assets to the region quickly as needed, as Israel continues to fight a war against the terrorist group Hamas.

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  • Streets ‘reek of blood:’ Gazans run out of time after Israel’s evacuation deadline | CNN

    Streets ‘reek of blood:’ Gazans run out of time after Israel’s evacuation deadline | CNN



    CNN
     — 

    Tens of thousands of Palestinians have been fleeing south through the battered streets of Gaza after the Israeli military told them to leave northern areas of the densely populated strip.

    Parts of the south are becoming even more crowded and overstretched, Gazans say, as waves of Palestinians abandon their homes in the wake of Israel’s statement, which came ahead of an anticipated ground assault by the Israel Defence Forces (IDF).

    More than half of Gaza’s 2 million residents live in the northern section that Israel said should evacuate. Many families, some of whom were already internally displaced, are now crammed into an even smaller portion of the 140-square-mile territory.

    The IDF said Saturday it would allow safe movement on specified streets between the hours of 10 a.m. and 4 p.m. local time (3 – 9 a.m. ET). Residents were advised to use this window to move from the northern Beit Hanoun to Khan Yunis in the south – a roughly 20-mile distance of rubble-strewn streets.

    The evacuation statement has been described by rights groups as well as some neighboring countries as a breach of international humanitarian law. Jordan’s foreign minister described it as a “war crime.”

    The UN’s Relief and Works Agency for Palestine Refugees (UNRWA), which was forced to move its central operations from Gaza City to a location in southern Gaza following the Israeli statement, on Saturday described the evacuation as an “exodus,” and said that “nearly 1 million people have been displaced in one week alone.”

    The evacuation advisory came after Israel imposed a complete siege on Gaza in response to a brutal attack launched a week ago by Hamas, which left at least 1,300 dead in Israel.

    At least 2,215 civilians, including 724 children and 458 women, have been killed in Gaza, according to the Palestinian health ministry, as the Israeli military continues to pound the territory.

    Palestinians who fled south, and those who are still north, are rapidly running out of food and water. There is no more electricity, and those with fuel-powered generators will soon live in complete blackout. Internet access, through which residents communicate their plight to the world, is also shrinking.

    Mohamed Hamed, a 36-year-old resident of Gaza City, moved southward to Nuseirat, a refugee camp some five kilometers north-east of Deir al-Balah – which he was told was safe.

    Hamed fled the north with 30 family members, including his extended relatives, four children and his wife, who is over eight months pregnant.

    “In this situation, we’re afraid that she goes into labor, and we wouldn’t know where to go,” he told CNN.

    The family has no access to medical care and are crammed into a single apartment with no electricity, and quickly depleting food and water.

    “There is no electricity, there is no water. Bakeries are working but these are their final hours, as the fuel they need is running out,” he said, adding that “the food we have may last us a day or two.”

    Speaking to CNN by phone, Hamed said that Nuseirat is a small area yet has received large crowds of displaced Palestinians from the north. Drinking water is only available in mineral water bottles, he said, which are dwindling as crowds rush to stock up.

    “Everything in supermarkets and shops was used up,” he said.

    Shelling in Nuseirat is intense, but not as bad as it was in Gaza City, where neighborhoods were “entirely wiped out,” he said.

    Hamed said that the time provided by the IDF for “safe passage” southward may not be enough for vast number of Palestinians that need to flee, and that some Gazans in the north refuse to leave fearing forceful displacement into Egypt.

    For many, that would mean displacement for the second time. The majority of Gaza’s residents today are already refugees from areas that fell under Israeli control in the 1948 Arab-Israeli war.

    “People are afraid of this, of being pushed to Egypt,” he said, adding that the airstrikes have been “horrifying,” with some areas being targeted for the first time despite the years of conflict between Hamas and Israel.

    But not everyone in Gaza’s north has heeded the IDF’s call to move southwards. Palestinian journalist Hashem Al-Saudi and his family have only moved from east to west of Gaza City, which is among areas the IDF told civilians to evacuate.

    Residents are forced to leave their homes to fill up water tanks, the 33-year-old told CNN by phone, which puts them at risk of being struck by Israeli missiles.

    Food is scarce, he said, and may not last his 11-member family more than three or four days.

    “I say this jokingly, but those who are on a diet are eating more than us.”

    Al-Saudi says that not only do they have nowhere to stay if they moved south, but that the route itself is unsafe. “Even those who moved south were hit by airstrikes,” he told CNN.

    “Nowhere is safe in the Gaza Strip, from Rafah (south) to Beit Hanoun in the north,” Al-Saudi said, adding that everywhere is targeted, including “homes, shelters hospitals and places of worship.”

    “Everyone on this piece of land is targeted by the Israeli military, which from the start did not differentiate between civilian and soldier.”

    CNN has geolocated and authenticated five videos from the scene of a large explosion Friday along a route for civilians south of Gaza City that Israel said the following day would be safe.

    The videos show many dead bodies amid a scene of extensive destruction. Some of those bodies are on a flatbed trailer that appears to have been used to carry people away from Gaza City. They include at least several children. There are also many badly burned and damaged cars.

    It’s unclear what caused the widespread devastation; the explosion occurred on Salah Al-Deen street on Friday afternoon. CNN has reached out to IDF for comment on any airstrikes in the same location.

    “The situation is much worse than what you see on television,” he said. Many bodies remain unidentified, and corpses are being stored in refrigerators not made for storing human remains, Al-Saudi said.

    “Streets are filled with rubble and reek of blood.”

    The Israeli government launched a complete blockade on essential goods entering Gaza earlier this week, prompting warnings from human rights groups who say the siege is in violation of international law.

    Israel, which administers most of the electricity, water, fuel and some of the food inside the Palestinian enclave, already imposes a stringent land, sea and air blockade, but used to permit some trade and humanitarian aid through two crossings that it controls.

    Refaat Alareer, 44, a literature professor in Gaza City, said Thursday – before Israel told Gazans to evacuate – the shelves in his local supermarket are emptying every day. He has been able to buy cans of tinned tuna, adding that he avoided purchasing perishable goods because the lack of electricity means refrigerated food “will rot.”

    Alareer, who lives with his wife and their six children, said his neighbors insist on leaving milk powder on the shelves – so that other parents can feed their own families.

    “I’ve never seen people this disciplined,” he said. “I didn’t buy a single thing that is more expensive than it was last week.

    “(What is) so beautiful about, you know, being in Gaza, being in Palestine, the solidarity.”

    More than half of the residents in Gaza are food insecure and live under the poverty line, according to UNRWA. Alareer warned that blue collar workers, farmers and street vendors “will suffer the most,” from the blockade.

    “We’re bracing for the worst. What happened is extremely genocidal in every sense of the word,” he added.

    Aseel Mousa, a 25-year-old freelance journalist in Gaza, said she is unable to communicate with loved ones in other parts of the enclave, as electricity supplies diminish.

    “We cannot connect with the world,” she told CNN on Thursday. “We hear the bombings, the air strikes and we don’t know where they are exactly.

    “We cannot check up on our relatives who live in different areas of the Gaza Strip, we cannot reach them as there is no internet and there is no electricity.” She said on Friday that she relocated with her family from western Gaza to the south.

    On Friday, Alareer told CNN he and his family see no choice but to remain in the north – despite Israel’s evacuation advisory – because they had “nowhere else to go.”

    “Israel bombs (are) everywhere,” he said.

    Gaza has already been under blockade since Hamas took control of the territory in 2007.

    Egypt imposes a land blockade, while Israel imposes an air, sea and land blockade. The siege was completely tightened after Hamas’ attack on Israel a week ago, and the only remaining route into or outside of the Gaza Strip is the Rafah Crossing, which connects Gaza to Egypt’s Sinai.

    While some aid has arrived in Egypt, it is yet to cross the border, which earlier this week was struck by Israel on the Palestinian side, according to Palestinian and Egyptian officials.

    Egypt on Thursday stressed that its Rafah Crossing was however open, a claim CNN could not independently verify.

    A Palestinian border official told CNN on Saturday morning that concrete slabs were being placed at the Rafah border crossing into Egypt, blocking all gates. The slabs were being placed by a winch visible on the Egyptian side of the crossing, the official said.

    The official added that hundreds of Palestinians with foreign passports have been sat in the streets for hours, waiting to cross. “The gates are closed, and no one is being let through,” he told CNN.

    CNN has reached out to Egyptian officials for comment.

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  • ‘Pony up’: In strategic shift, UAW says added strikes could come “at any time” | CNN Business

    ‘Pony up’: In strategic shift, UAW says added strikes could come “at any time” | CNN Business



    CNN
     — 

    UAW President Shawn Fain said the union would not expand its strike against the Big Three automakers on Friday, but that the UAW stood ready to add more workers to the picket lines at any time as its labor action enters a new phase.

    “We are prepared at any time to call on more locals to stand up and walk out,” Fain said in a livestream update on negotiations. He later added: “We changed the rules. Now there is only one rule – pony up.”

    The announcement marks a tactical shift, Fain said. Previously the UAW had announced strike expansions on Fain’s weekly Friday updates. But now, as part of the union’s strategy to keep the automakers off balance, Fain said strike expansions could come at any day of the week, at any time.

    This past Wednesday for the first time it announced an expansion midweek, and without warning, when 8,700 UAW members went on strike suddenly at Ford’s largest factory, the Kentucky Truck Plant in Louisville.

    “We’re entering a new phase of this strike, and it demands a new approach,” Fain said. “We’re done waiting until Fridays to escalate our strike.”

    Fain said that the companies had started to wait until Fridays to make progress in their bargaining positions, and that the union is changing it strategy in order to speed up progress in negotiations.

    “A negotiation requires both sides making movement. If they’re not ready to move, we’re going to give them a push in a language they understand – dollars and cents,” he said.

    This is the first time that the union has gone on strike against GM, Ford and Stellantis at the same time. But rather than shut down any of the companies’ US operations completely, the union has targeted its strike against specific facilities, and then expanded the strike gradually in order to increase pressure at the bargaining table.

    The Kentucky Truck Plant is a key money maker for Ford, assembling heavy duty pickup trucks and full-size SUVs and producing $25 billion in annual sales, or about one-sixth of its revenue. It also produced an estimated $150 million in profits a week, according to an estimate from Colin Langan, auto analyst at Wells Fargo.

    Ford officials told reporters Thursday that the company has gone as far as it can on the additional money it can offer members.

    “We have reached our limit. We’ve actually stretched ourselves to get to this point,” said Kumar Galhotra, president of Ford Blue, which is the unit that sells most of Ford’s gasoline-powered cars to consumers. “We are still working to get this done. We’re open to moving some money around within the deal that might fit the union’s needs better, but in terms of cost of deal, we’re there. We have been very clear, we’re at the limit. Going further will hurt our ability to invest in the business as we need to invest.”

    Fain mocked that statement from Ford, saying that while Ford has recovered well since the Great Recession, its workers have seen only modest pay increases, which were outweighed by rising prices.

    “I found a pathetic irony in that statement,” he said on Friday. “You know who stretched themselves? The Ford workers who didn’t get a single raise for a decade.”

    Fain said the union is in a strong bargaining position and has already achieved a lot in negotiations, but not enough to make up for past concessions by workers.

    “We’re at the point in this process where we’re looking for one thing only – a deal,” Fain said. “We’re not giving these companies an extra hour, or an extra day. They know what needs to happen, and they know how to get it done. Taking out Kentucky Truck sent a very clear message not only to Ford, but to GM and Stellantis as well. Don’t you dare slow walk us or low ball us. We will take out whatever plants you force us to.”

    The companies are on record as offering members an immediate 10% raise to union members and additional raises totaling 10 percentage points or more during the life of the contracts, which are likely to run through the spring of 2028.

    The companies are also agreeing to some kind of return of the cost-of-living adjustment (COLA) to union pay scales to protect workers from rising prices. The union gave up the COLA in 2007, as well as traditional pension plans and health care coverage for retirees for workers hired after the concession contracts reached that year.

    In addition, a week ago, Fain announced that GM had agreed to a major union demand to place workers at new and planned EV battery plants under the national master agreement at the company.

    GM, Ford and Stellatis have all announced plans to shift from traditional gasoline-powered vehicles to electric vehicles, or EVs. That would end the need for the jobs in their current plants that build engines and transmissions.

    All three are in the process of building at least three plants each, almost all in joint ventures with Asian battery makers, that will be used to power EVs. All are expected to pay significantly less than UAW members at those engine and transmission plants are now paid.

    Going into negotiations, the companies had insisted the battery plant workers would be employees of the joint ventures, not the companies themselves, and that their pay scale would not be included in this contract.

    Details of what GM has agreed upon in relation to workers battery plant workers is not yet known, as GM has not confirmed the tentative agreement on the issue. Ford officials have said they also have been negotiating with the union on the battery plant issue and that progress had been made, without giving details.

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  • China’s narrowing trade slump boosts recovery prospects, but challenges persist | CNN Business

    China’s narrowing trade slump boosts recovery prospects, but challenges persist | CNN Business


    Beijing
    Reuters
     — 

    China’s exports and imports shrank at a slower pace for a second month in September, customs data showed on Friday, adding to the recent signs of a gradual stabilization in the world’s second-biggest economy thanks to a raft of policy support measures.

    The trade report should provide some encouragement to authorities, although stiff challenges remain in an economy facing persistent deflationary pressure, a long-running property crisis, a slowdown in global growth and geopolitical tensions.

    Outbound shipments in September declined 6.2% from a year ago, following a drop of 8.8% in August, and beating economists’ forecast for a 7.6% fall in a Reuters poll.

    The figures were backed up by new export orders in an official factory survey two weeks ago which showed improvement last month, partly because of a peak export shipping season for Christmas products and favorable base effects.

    “There’s increasing evidence that the cyclical upturn in the global electronics sector is driving a bottoming-out of global trade and China’s trade data is the latest sign,” said Xu Tianchen, senior economist at the Economist Intelligence Unit.

    “This gives reason for optimism about a rosier trade picture in 2024,” he said.

    South Korean exports to China, a leading indicator of China’s imports, fell at their slowest pace in 11 months in September. Semiconductors make up the bulk of their trade, signaling improving appetite among Chinese manufacturers for components to re-export in finished goods.

    Global trade activities, represented by the Baltic Dry Index, also reported notable growth in September.

    However, Lv Daliang, spokesperson of the General Administration of Customs, said at a press conference earlier on Friday that China’s trade still faces a complex and severe external environment.

    Thanks to gradual recovery in domestic demand, imports also fell at a slower pace, down 6.2%. They missed the 6.0% decline forecast in the poll, but came in better than a 7.3% contraction in August.

    That resulted in a broader trade surplus of $77.71 billion in September, compared with a $70 billion surplus expected in the poll and $68.36 billion in August.

    Overall, economists say it’s too early to make a call on how domestic demand will pan out in coming months as the crisis-hit property sector, uncertainties in employment and household income growth, as well as weak confidence among some private firms, pose risks to a durable economic rebound.

    The $18 trillion economy started losing steam from the second quarter after a brief post-Covid bounce, prompting policymakers to roll out several measures to shore up the recovery in the face of a sluggish housing market, high youth unemployment and mounting local debt repayment pressure.

    China’s consumer prices faltered and factory-gate prices shrunk slightly faster than expected last month compared with a year earlier, inflation data released earlier on Friday showed, indicating that deflationary pressures persist in the economy.

    Yet, authorities can take some comfort from recent data including upbeat factory activity and retail sales while the past Golden Week holiday travel edged up 4.1% from pre-pandemic 2019 levels.

    In order to help the economy meet the government’s annual growth target of around 5%, China is considering issuing at least 1 trillion yuan ($137.00 billion) of additional sovereign debt to fund infrastructure projects, as Beijing prepares to bring a new round of stimulus, Bloomberg News reported on Tuesday, citing people familiar with the matter.

    Most analysts have been reiterating in recent months that policymakers will need to go further than introducing piecemeal measures in order to bolster the economic recovery.

    “Whatever does emerge from Beijing over the coming months, it likely won’t be quick enough to make any meaningful difference to 2023,” said Robert Carnell, regional head of research Asia-Pacific at ING in a note.

    “At best, it should be viewed as a pain management tool for the transition to a less leveraged economy.”

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  • One officer who arrested Elijah McClain convicted of criminally negligent homicide; second officer acquitted | CNN

    One officer who arrested Elijah McClain convicted of criminally negligent homicide; second officer acquitted | CNN



    CNN
     — 

    Randy Roedema, one of the Aurora, Colorado, police officers who arrested Elijah McClain, an unarmed 23-year-old Black man who died after he was subdued by police and injected with ketamine by paramedics in 2019, was found guilty of criminally negligent homicide and assault by a jury on Thursday.

    At the same time, a second officer, Jason Rosenblatt, was acquitted of all charges against him, including reckless manslaughter and assault.

    The jury reached a verdict after deliberating for 16 hours over two days.

    Rosenblatt hugged both of his attorneys and wiped away tears after his verdict was announced. He also hugged members of Roedema’s family.

    Reid Elkus, an attorney for Roedema, comforted the officer’s wife after the verdict, saying, “He may not go to jail.” Roedema’s sentencing has been scheduled for January 5.

    “He’s OK. He’s OK. It’s not mandatory,” Elkus told Roedema’s wife.

    In a statement following the verdicts, Aurora Police Department Chief Art Acevedo said on X, formerly known as Twitter, “As a nation, we must be committed to the rule of law. As such, we hold the American judicial process in high regard.”

    “We respect the verdict handed down by the jury, and thank the members of the jury for their thoughtful deliberation and service,” he added. “Due to the additional pending trials, the Aurora Police Department is precluded from further comment at this time.”

    In closing arguments of the weekslong trial on Tuesday, prosecutors said Roedema and Rosenblatt used excessive force, failed to follow their training and misled paramedics about his health status.

    The officers “chose force at every opportunity,” instead of trying to de-escalate the situation as they’re trained, prosecutor Duane Lyons told the court.

    Meanwhile, defense attorneys placed blame on the paramedics and on McClain himself.

    Roedema and Rosenblatt both pleaded not guilty to charges of reckless manslaughter and assault in connection with McClain’s death. Rosenblatt was fired by the police department in 2020 and Roedema remains suspended.

    Rosenblatt’s attorney, Harvey Steinberg, painted his client as a “scapegoat” and said it’s the paramedics’ responsibility to evaluate a patient’s medical condition. Roedema’s attorney, Don Sisson, said his client’s use of force was justified because McClain resisted arrest. He said McClain had been given 34 commands to either “stop” or “stop fighting.”

    The case focused on the events of August 24, 2019, when officers responded to a call about a “suspicious person” wearing a ski mask, according to the indictment. The officers confronted McClain, a massage therapist, musician and animal lover who was walking home from a convenience store carrying a plastic bag with iced tea.

    In an interaction captured on body camera footage, police wrestled McClain to the ground and placed him in a carotid hold, and paramedics later injected him with the powerful sedative ketamine. He suffered a heart attack on the way to a hospital and was pronounced dead three days later.

    Prosecutors initially declined to bring charges, but the case received renewed scrutiny following the nationwide Black Lives Matter protests in spring 2020. Colorado Gov. Jared Polis appointed a special prosecutor to reexamine the case, and in 2021 a grand jury indicted three officers and two paramedics in McClain’s death.

    A third officer, Nathan Woodyard, and two paramedics who treated McClain, Jeremy Cooper and Peter Cichuniec, are set to go on trial in the coming weeks. They have also pleaded not guilty.

    The trial began last month and featured testimony from Aurora law enforcement officers who responded to the scene as well as from doctors who analyzed how McClain died. The defense did not call any witnesses.

    The prosecution played body-camera footage of the arrest and said the footage showed officers used excessive force for no reason. McClain repeatedly said he couldn’t breathe, yet the officers did not tell that to anyone on the scene.

    “His name was Elijah McClain, and he was going home. He was somebody. He mattered,” prosecutor Lyons began his argument Tuesday afternoon.

    A key focus of the trial was analysis of how McClain died and whether the officers’ actions caused his death.

    The jury heard from a pulmonary critical care physician who testified he believed the young man would not have died if the paramedics had recognized his issues and intervened.

    Dr. Robert Mitchell Jr., a forensic pathologist who reviewed McClain’s autopsy, testified the cause of death was “complications following acute ketamine administration during violent subdual and restraint by law enforcement, emergency response personnel.” He testified there was a “direct causal link” between the officers’ actions and McClain’s death.

    Meanwhile, defense attorneys argued there was no evidence the officers’ actions led to his death, and instead pointed to the ketamine injection.

    Though an initial autopsy report said the cause of death was undetermined, an amended report publicly released in 2022 listed “complications of ketamine administration following forcible restraint” as the cause of death. The manner of death was undetermined.

    Dr. Stephen Cina, the pathologist who signed the autopsy report, wrote he saw no evidence injuries inflicted by police contributed to McClain’s death, and McClain “would most likely be alive but for the administration of ketamine.”

    In the prosecution’s rebuttal, Jason Slothouber told the court while the officers did not inject McClain with the ketamine, their failure to protect McClain’s airway allowed him to become hypoxic then acidotic, and that’s what made the ketamine so dangerous to McClain.

    Officers didn’t provide accurate information to the paramedics when they arrived on scene, and in doing so they “failed Elijah McClain,” Slothouber said.

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  • Samsung flags 78% profit drop as chip demand remains weak | CNN Business

    Samsung flags 78% profit drop as chip demand remains weak | CNN Business


    Hong Kong
    CNN
     — 

    Samsung warned that operating profit in the third quarter likely plunged 78% as it continues to contend with lower than usual demand for consumer devices.

    The South Korean tech giant released earnings estimates Wednesday, forecasting operating profit of about 2.4 trillion Korean won ($1.8 billion) for the three months ended September. That compares with 10.85 trillion won ($8 billion) in the same period last year.

    Revenue was also projected to drop 12.7% from a year ago.

    That continues a dreary run for the electronics maker, which has reported major losses in recent months as global economic uncertainty weighs on consumers around the world, leading many people to hold on to their cell phones and laptops longer.

    According to Counterpoint Research, “2023 is on track to be the worst year for global smartphone shipments in 10 years,” with shipments forecast to decline 6% to fewer than 1.2 billion units.

    In major markets like North America, “consumers are hesitant to upgrade their devices,” the firm noted in an August report.

    Samsung has already been feeling the effects. The firm’s operating profit plummeted 95% in the first quarter, following a record loss in its semiconductor business. It saw similar results in the second quarter.

    After a historic supply shortage during Covid, the global semiconductor industry is now seeing a glut in some areas that has driven losses for Samsung, the world’s largest memory chip and smartphone maker.

    According to consultancy Bain, “the semiconductor industry’s post-pandemic rebound boosted capacity to the extent that some foresee an oversupply.”

    In a report last month, Bain suggested the trend was merely cyclical, attributing it to “normal” ups and downs in the industry.

    Samsung has also told shareholders it anticipates a gradual comeback in global demand in the second half of the year.

    This “should lead to an improvement in earnings driven by the component business,” it said in a July earnings statement.

    “However, continued macroeconomic risks could prove to be a challenge,” the company cautioned.

    Analysts believe a downturn in memory chips will also turn around, benefiting manufacturers like Samsung.

    In a recent note to clients, Nomura analysts said they expected a recovery in the sector “to accelerate” through the rest of this year.

    “The team expects memory prices to remain flat or slightly increase in [the third quarter], then show strong growth in [the fourth quarter],” the analysts wrote, maintaining a buy rating on Samsung’s stock.

    The company’s shares climbed 3.5% in Seoul on Wednesday following its announcement.

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  • Jury begins deliberations in trial of officers charged in Elijah McClain’s death | CNN

    Jury begins deliberations in trial of officers charged in Elijah McClain’s death | CNN



    CNN
     — 

    A jury began deliberations Tuesday in the trial of two Aurora, Colorado, police officers who arrested Elijah McClain, an unarmed 23-year-old Black man, who died after he was subdued by police and injected with ketamine by paramedics in 2019.

    The two officers, Randy Roedema and Jason Rosenblatt, each face charges including reckless manslaughter and have pleaded not guilty.

    Jurors were given the cases at around 4:30 p.m. local time and spent about half an hour in the jury room before being dismissed for the day. The 12 jurors will return at 8:30 a.m. local time Wednesday to resume deliberations.

    During closing arguments of the trial on Tuesday, prosecutors said the two officers used excessive force, failed to follow their training and misled paramedics about his health status.

    “They were trained. They were told what to do. They were given instructions. They had opportunities, and they failed to choose to de-esclate violence when they needed to, they failed to listen to Mr. McClain when they needed to, and they failed Mr. McClain,” prosecutor Duane Lyons said in court.

    Rosenblatt was fired by the police department in 2020 and Roedema remains suspended. Roedema and Rosenblatt have pleaded not guilty to charges of reckless manslaughter, criminally negligent homicide and assault causing serious bodily injury in connection with McClain’s death.

    The case stems from the events of August 24, 2019, when officers responded to a call about a “suspicious person” wearing a ski mask, according to the indictment. The officers confronted McClain, a 23-year-old  massage therapist, musician and animal lover who was walking home from a convenience store carrying a plastic bag with iced tea.

    In an interaction captured on body camera footage, police wrestled McClain to the ground and placed him in a carotid hold, and paramedics later injected him with the powerful sedative ketamine. He suffered a heart attack on the way to the hospital and was pronounced dead three days later.

    Prosecutors initially declined to bring charges, but the case received renewed scrutiny following the nationwide Black Lives Matter protests in spring 2020. Colorado Gov. Jared Polis appointed a special prosecutor to reexamine the case, and in 2021 a grand jury indicted three officers and two paramedics in McClain’s death.

    In closing arguments, the prosecution played body-camera footage of the arrest and said the footage showed officers used excessive force for no reason. McClain also repeatedly said he couldn’t breathe, yet the officers did not tell that to anyone on the scene.

    Roedema and Rosenblatt’s joint trial began last month and featured testimony from Aurora law enforcement officers who responded to the scene as well as from doctors who analyzed how McClain died. The defense did not call any witnesses.

    In opening statements, prosecutors argued the officers used excessive force against McClain in the form of two carotid holds. The officers then failed to check his vital signs, even as he threw up in his ski mask and repeatedly said “I can’t breathe,” according to the prosecution.

    Dr. Robert Mitchell Jr., a forensic pathologist who reviewed McClain’s autopsy, testified the cause of death was “complications following acute ketamine administration during violent subdual and restraint by law enforcement, emergency response personnel.” He testified there was a “direct causal link” between the officers’ actions and McClain’s death.

    The defense argued the carotid holds were appropriate because McClain was physically resisting. Defense attorneys also argued there was no evidence the officers’ actions led to his death, and instead placed the blame on the paramedics’ decision to inject McClain with a dose of ketamine too large for his size.

    Dr. David Beuther, a pulmonary critical care physician, testified on cross-examination he believed McClain would not have died if the paramedics had recognized his issues and intervened.

    A third officer and two paramedics who responded to the scene are set to go on trial in the coming weeks. They have also pleaded not guilty.

    In 2021, the city of Aurora settled a civil rights lawsuit with the McClain family for $15 million, and the Aurora police and fire departments  agreed to a consent decree to address a pattern of racial bias found by a state investigation.

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  • GM settles strike at Canadian plants | CNN Business

    GM settles strike at Canadian plants | CNN Business


    New York
    CNN
     — 

    A strike at General Motors’ Canadian plants is over less than a day after it started, according Unifor, the union that represents more than 4,000 autoworkers at the company.

    The strike had begun 11:59 pm Monday when Unifor said GM had refused to agree to a deal similar to the one the union previously reached with Ford. That kind of deal is known as a pattern agreement.

    The union said the company quickly gave in to union demands once the strike started.

    “When faced with the shutdown of these key facilities General Motors had no choice but to get serious at the table and agree to the pattern,” said Unifor National President Lana Payne. “The solidarity of our members has led to a comprehensive tentative agreement that follows the pattern set at Ford to the letter.”

    The union said strike actions are on hold to allow the membership to vote on the tentative agreement. The strike could resume if the rank-and-file members fail to ratify the deal.

    But it’s uncertain whether it will win approval of membership. Only 54% of Unifor members at Ford voted in favor of the deal.

    The Unifor strike occurred while GM as well as rivals Ford and Stellantis were already dealing with strikes by the United Auto Workers union. That strike had started September 15 against targeted facilities of each company. More than 25,000 UAW members are now on strike at the three companies, with nearly 10,000 of those at GM.

    “This record agreement, subject to member ratification, recognizes the many contributions of our represented team members with significant increases in wages, benefits and job security while building on GM’s historic investments in Canadian manufacturing,” said GM’s statement.

    Details of the Unifor deal were not immediately available. But the deal with Ford included a wage increase of 10% in the first year of the agreement, followed by a 2% and 3% increase over the next two years of the contract. It also restored the cost-of-living adjustments (COLA) to protect workers from rising prices.

    The Ford agreement also returned to a pension plan — rather than just 401(k)-style retirement accounts — for Unifor members hired at Ford in recent years. And it converted temporary staff who work full-time shifts into permanent employees.

    Autoworkers in both Canada and the United States used to all have COLA clauses in their contracts as well as traditional pension plans that pay retirees a set amount every month as long as they live. But the automakers got unions on both sides of the border to give up the COLA for all members and traditional pensions for new hires when the companies were in financial distress in 2007 through 2009.

    Restoring those concessions have been a major negotiation demand of both Unifor and the UAW.

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  • Supreme Court declines to revisit landmark libel ruling, though Clarence Thomas wants to reconsider the decision | CNN Politics

    Supreme Court declines to revisit landmark libel ruling, though Clarence Thomas wants to reconsider the decision | CNN Politics


    Washington
    CNN
     — 

    The Supreme Court declined on Tuesday to revisit the landmark First Amendment decision in New York Times v. Sullivan, rebuffing a request to take another look at decades-old precedent that created a higher bar for public figures to claim libel in civil suits.

    The media world has for years relied on the unanimous decision in the 1964 case to fend off costly defamation lawsuits brought by public figures. The ruling established the requirement that public figures show “actual malice” before they can succeed in a libel dispute.

    Despite being a mainstay in US media law, the Sullivan decision has increasingly come under fire by conservatives both inside and outside the court, including Justice Clarence Thomas, who said on Tuesday that he still wanted to revisit Sullivan at some point.

    “In an appropriate case, however, we should reconsider New York Times and our other decisions displacing state defamation law,” Thomas wrote in a brief concurrence to the court’s decision not to take up the case. He said that the case, Don Blankenship v. NBC Universal, LLC, was a poor vehicle to reconsider Sullivan.

    Just a few months ago, the conservative justice attacked the ruling in Sullivan in a fiery dissent in which he called it “flawed.” Thomas issued other public critiques of Sullivan in recent years, including in 2019, when he wrote that the ruling and “the Court’s decisions extending it were policy-driven decisions masquerading as constitutional law.”

    The case at hand concerns Don Blankenship, a former coal baron who was convicted of a federal conspiracy offense related to a deadly 2010 explosion at a mine he ran, in what was one of the worst US mine disasters in decades. His sentence of a year in prison was one day less than a felony sentence.

    “Blankenship himself admits this was a highly unusual sentence for a misdemeanor offense; he notes that he was the only inmate at his prison who was not serving a sentence for a felony conviction,” according to a lower-court opinion in the case.

    During his unsuccessful 2018 US Senate campaign in West Virginia, a number of media organizations erroneously reported that he was a convicted felon, even though his conspiracy offense was classified as a misdemeanor.

    Blankenship sued a slew of news outlets for the error, alleging defamation and false light invasion of privacy. Lower courts ruled against him, finding that the outlets did not make the statements with actual malice, the standard required by Sullivan.

    Attorneys for Blankenship told the justices in court papers that the “damage was irreparable” since no felon has ever been elected to the Senate, and urged them to overturn the Sullivan decision.

    “The actual malice standard poses a clear and present danger to our democracy,” they wrote. “New York Times Co. v. Sullivan and its progeny grant the press a license to publish defamatory falsehoods that misinform voters, manipulate elections, intensify polarization, and incite unrest.”

    Attorneys for the media outlets urged the justices not to take up the case, arguing that it’s “as poor a vehicle as one could imagine to consider” questions related to Sullivan’s holding because, they said, the reporting mistakes were honest ones.

    “There is good reason why the actual malice standard of New York Times has been embraced for so long and so often,” the media organizations told the justices. “At its essence, the standard protects ‘erroneous statements honestly made.’ While it permits recovery for falsehoods uttered with knowledge of falsity or with reckless disregard for the truth, it provides the ‘breathing space’ required for ‘free debate.’ A free people engaged in self-government deserves no less.”

    Just last year the court declined to revisit Sullivan in a case brought by a not-for-profit Christian ministry against the Southern Poverty Law Center.

    At the time, Thomas dissented from the court’s refusal to take up the case.

    “I would grant certiorari in this case to revisit the ‘actual malice’ standard,” he wrote. “This case is one of many showing how New York Times and its progeny have allowed media organizations and interest groups ‘to cast false aspersions on public figures with near impunity.’”

    In 2021, conservative Justice Neil Gorsuch also questioned the decision in Sullivan, writing in a dissent when the court decided not to take up a defamation case that the 1964 ruling should be revisited in part because it “has come to leave far more people without redress than anyone could have predicted.”

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  • The IMF sees greater chance of a ‘soft landing’ for the global economy | CNN Business

    The IMF sees greater chance of a ‘soft landing’ for the global economy | CNN Business


    London
    CNN
     — 

    The International Monetary Fund (IMF) sees better odds that central banks will manage to tame inflation without tipping the global economy into recession, but it warned Tuesday that growth remained weak and patchy.

    The agency said it expected the world’s economy to expand by 3% this year, in line with its July forecast, as stronger-than-expected growth in the United States offset downgrades to the outlook for China and Europe. It shaved its forecast for growth in 2024 by 0.1 percentage point to 2.9%.

    Echoing comments made in July, the IMF highlighted the global economy’s resilience to the twin shocks of the pandemic and the Ukraine war while warning in its World Economic Outlook that risks remained “tilted to the downside.”

    “Despite war-disrupted energy and food markets and unprecedented monetary tightening to combat decades-high inflation, economic activity has slowed but not stalled,” IMF chief economist Pierre-Olivier Gourinchas wrote in a blog post. “The global economy is limping along,” he added.

    The IMF’s projections for growth and inflation are “increasingly consistent with a ‘soft landing’ scenario… especially in the United States,” Gourinchas continued.

    But he cautioned that growth “remains slow and uneven,” with weaker recoveries now expected in much of Europe and China compared with predictions just three months ago.

    The 20 countries using the euro are expected to grow collectively by 0.7% this year and 1.2% next year, a downgrade of 0.2 percentage points and 0.3 percentage points respectively from July.

    The IMF now expects China to grow 5% this year and 4.2% in 2024, down from 5.2% and 4.5% previously.

    “China’s property sector crisis could deepen, with global spillovers, particularly for commodity exporters,” it said in its report

    By contrast, the United States is expected to grow more strongly this year and next than expected in July. The IMF upgraded its growth forecasts for the US economy to 2.1% in 2023 and 1.5% in 2024 — an improvement of 0.3 percentage points and 0.5 percentage points respectively.

    “The strongest recovery among major economies has been in the United States,” the IMF said.

    The agency expects that inflation will continue to fall — bolstering the case for a “soft landing” in major economies — but it does not expect it to return to levels targeted by central banks until 2025 in most cases.

    The IMF revised its forecasts for global inflation to 6.9% this year and 5.8% next year — an increase of 0.1 percentage point and 0.6 percentage points respectively.

    Commodity prices pose a “serious risk” to the inflation outlook and could become more volatile amid climate and geopolitical shocks, Gourinchas wrote.

    “Food prices remain elevated and could be further disrupted by an escalation of the war in Ukraine, inflicting greater hardship on many low-income countries,” he added.

    Oil prices surged Monday on concerns that the latest conflict between Israel and Hamas could cause wider instability in the oil-producing Middle East. Brent crude prices were already elevated following supply cuts by major producers Saudi Arabia and Russia.

    High oil and natural gas prices, leading to skyrocketing energy costs, helped drive inflation to multi-decade highs in many economies in 2022. The latest jump in oil prices could cause a fresh bout of broader price rises.

    Bond investors are already on edge. They dumped government bonds last week in the expectation that the world’s major central banks would keep interest rates “higher for longer” to bring inflation down to their targets.

    The IMF also pointed to concerns that high inflation could become a self-fulfilling prophecy. If households and businesses expect prices to go on rising, that could cause them to set higher prices for their goods and services, or demand higher wages.

    “Expectations that future inflation will rise could feed into current inflation rates, keeping them high,” the IMF noted.

    It added that the “expectations channel is critical to whether central banks can achieve the elusive ‘soft landing’ of bringing the inflation rate down to target without a recession.”

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  • Elon Musk’s X adds to fog of war at outset of Israel-Hamas conflict | CNN Business

    Elon Musk’s X adds to fog of war at outset of Israel-Hamas conflict | CNN Business



    CNN
     — 

    Misinformation has run rampant on Elon Musk’s social media platform X in the 48 hours since Hamas militants’ surprise attack on Israel, with users sharing false and misleading claims about the conflict and Musk himself pointing users to an account known for spreading misinformation.

    Multiple users over the weekend shared a fake White House news release falsely claiming the US was sending billions of dollars in new aid to Israel in response. Accounts on X with hundreds of thousands of followers in total quickly spread the doctored White House press release after it appeared online on Saturday. Social media influencer Jackson Hinkle, who was among those shared the fake release, claimed it was a slap in the face to Ukraine, which has been pleading with Washington for more money to defend itself from Russia.

    Musk himself added to the information chaos on Sunday by recommending X users follow the Israel-Hamas conflict by following an account known for spreading misinformation, including a fake report earlier this year of an explosion at the Pentagon.

    Musk and Hinkle later deleted their posts. Musk later posted: “As always, please try stay as close to the truth as possible, even for stuff you don’t like.”

    Elsewhere on X (formerly known as Twitter), an account impersonating the Jerusalem Post shared a bogus report that Israeli Prime Minister Benjamin Netanyahu had been hospitalized. (The account was later suspended.)

    CNN has requested comment from Musk and X on the posts related to the Israel-Gaza conflict.

    A slew of mischaracterized videos and other posts went viral on the platform over the weekend.

    One video that is purported to show Israel generals after being captured by Hamas fighter was viewed more than 1.7 million times by Monday. The video however actually shows the detention of separatists in Azerbaijan.

    Another post viewed more than 500,000 times on X purported to show an airplane getting shot down with the hashtag #PalestineUnderAttack. The video is in fact a clip from the video game Arma 3, as was later noted in a “community note” appended to the post.

    Community notes allow users on X to fact-check false posts on the platform. While notes were appended to both of these false posts, they often come after a false post has been viewed thousands – or in some cases millions – of times.

    X has relied more heavily on community notes to moderate content since Musk laid off thousands of the company’s employees, including many responsible for detecting and addressing false claims, following his takeover of the platform last year.

    Israel’s National Cyber Directorate, one of the government’s main cyber defense agencies, on Monday took to X to urge people not to spread unverified information. “[T]he rumor mill is overflowing,” the directorate wrote in Hebrew. The Anti-Defamation League also raised concerns in a statement Saturday about false and antisemitic claims being spread on the platform, including posts by a verified user falsely claiming that Israel helped to facilitate 9-11 on US soil, which have been viewed thousands of times.

    The viral nature of the misinformation has alarmed experts on information operations, offering a fresh example of social platforms’ struggle to deal with a flood of falsehoods during a major geopolitical event.

    “In times of war, social media becomes a propaganda battlefield; there is always an element of disinformation and exaggeration,” said Emerson Brooking, senior resident fellow at the Atlantic Council’s Digital Forensic Research Lab. “Today, X is the main platform where this online battle plays out.”

    Brooking said changes to X policy under Musk’s ownership have incentivized propagandists and scam artists. Any user can now purchase a “verification” checkmark on X by signing up for the platform’s $8 per month subscription program, and their posts are then boosted by the platform’s algorithm and eligible for monetization.

    “Paid verification means that you cannot distinguish between a vetted journalist and a scam artist,” Brooking told CNN. “The for-profit ‘views’ system incentivizes accounts to impersonate news outlets and to post as frequently as possible, drawing from whatever source they can or just making things up.”

    Twitter has long played a pivotal role in information sharing during conflicts, from the Arab Spring to the 2014 and 2022 invasions of Ukraine, and during previous violence in Israel and Gaza.

    Viral misinformation has always existed on the platform, but it has become particularly pronounced under Musk’s stewardship, experts say.

    “In the past decade, every conflict has inevitably bred a digital “fog of war,” where both sides, and their supporters, try to use social platforms to spin the narrative in their favor,” Joe Galvin, a journalist who has specialized in open-source intelligence for more than a decade, told CNN Monday.

    “The volume and reach of misinformation today, though, far exceeds what we saw in the early social media era conflicts, and is exacerbated by platforms like X, which has taken the guardrails off and allows the most egregious types of disinformation to run rampant,” Galvin said.

    He said other platforms that have little or no guardrails including the social media messaging app Telegram are also hotbeds of misinformation, but X is unique given Musk’s behavior.

    “Even the owner of X takes part in the chaos, promoting accounts that are known to spread falsehoods to his 150 million followers. The fact is that malicious users, state-backed and otherwise, have become better at spreading falsehoods, with more sophisticated networks being built and better technology – including AI – being used. The platforms are in a perpetual state of catch-up.”

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  • Pressure to fill House speaker vacancy builds amid crisis in Israel | CNN Politics

    Pressure to fill House speaker vacancy builds amid crisis in Israel | CNN Politics



    CNN
     — 

    The House speakership drama enters a new week under increased urgency as Israel declared war Sunday following unprecedented surprise attacks by Hamas.

    Kevin McCarthy’s unprecedented ouster as speaker leaves the House iin uncharted legal territory regarding what it can do under acting Speaker Patrick McHenry. When Congress reconvenes Monday, lawmakers will be under pressure to elect a new speaker swiftly amid the crisis in Israel, which has prompted calls from within the Republican Party to speed up their timeline given the national security implications of keeping the role vacant.

    As the Biden administration looks to provide additional assistance to Israel, officials were unsure Saturday about what could be accomplished without a sitting speaker. While McHenry is serving as speaker pro tempore, he has little power outside of recessing, adjourning or recognizing speaker nominations, and it’s unclear whether he can participate in intelligence briefings on the crisis in Israel.

    Democratic House Minority Leader Hakeem Jeffries said Sunday that he had conversations with the White House and the National Security Council on Saturday, but he has not yet met with the Gang of Eight – which typically includes the top leaders and heads of the intelligence committees in both parties and both chambers.

    “I do anticipate that we’ll have the opportunity to have a secure briefing at some point next week,” Jeffries told CNN’s Dana Bash on “State of the Union.”

    Jeffries said it is his understanding that the Biden administration can make some decisions regarding aid to Israel without waiting for Congress and urged the administration to do so, adding that he expects “it will provide whatever assistance it can.”

    House Foreign Affairs Chairman Mike McCaul told Bash Sunday that there is currently $3.3 billion in foreign military financing already appropriated that the president can use.

    The Texas Republican also called McCarthy’s ouster “dangerous.”

    “I look at the world and all of the threats that are out there and what kind of message are we sending to adversaries when we can’t govern, when we are dysfunctional, when we don’t even have a speaker of the House?” McCaul said on “State of the Union.”

    McCarthy on Saturday slammed his Republican colleagues for removing him from office last week, and stressed the impact of a speakerless House on national security. “Why would you ever remove a speaker during a term to raise doubt around the world?” McCarthy asked in a Fox News interview.

    McCarthy announced shortly after his ouster that he would not seek the speakership again, making room for House Majority Leader Steve Scalise of Louisiana and Ohio Rep. Jim Jordan to launch their bids for the seat. Former President Donald Trump has thrown his support behind Jordan. Oklahoma Rep. Kevin Hern announced Saturday that he had decided not to run, saying “I believe a three-man race for Speaker will create even more division and make it harder to elect a Speaker.”

    House Republicans are scheduled to hold a candidate forum on Tuesday and an internal election on Wednesday. But it’s unclear when the floor vote will happen, and the timeline is contingent on whether moderate GOP lawmakers can rally around Scalise or Jordan, who are among the hardliners of the party.

    “We have to get a speaker elected this week so we can get things on the floor like replenishing the Iron Dome,” McCaul told Bash on Sunday – referring to Israel’s rocket defense system, which was developed with help from the United States. He added that the House should look to pass a resolution condemning Hamas “by unanimous consent whether or not we have a speaker in place because I think we cannot wait. We have to get that message out as soon as possible.”

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  • ABC: Trump allegedly discussed sensitive nuclear submarine information with a Mar-a-Lago member | CNN Politics

    ABC: Trump allegedly discussed sensitive nuclear submarine information with a Mar-a-Lago member | CNN Politics



    CNN
     — 

    Former President Donald Trump allegedly discussed potentially sensitive information about US nuclear submarines with a member of his Mar-a-Lago resort in Palm Beach, Florida, following his presidency, ABC reported Thursday.

    The member is Australian billionaire Anthony Pratt, sources told ABC. A source familiar with the matter confirmed to CNN’s Kaitlan Collins that Pratt, who had a close relationship with Trump when he occupied the Oval Office, was interviewed by the special counsel probing Trump’s retention of classified documents after leaving office. Another source told CNN’s Kristen Holmes that Pratt is on the list of potential witnesses for when the trial begins.

    Sources told ABC that Pratt allegedly went on to share the information he received from the former president during an April 2021 meeting with “more than a dozen foreign officials, several of his own employees, and a handful of journalists.”

    ABC also reported that according to sources, a former Mar-a-Lago employee told investigations that he was “bothered” by the former president disclosing such information to someone who is not a US citizen. He added that he heard Pratt sharing potentially sensitive information minutes after his meeting with the former president, sources told ABC.

    These allegations were not included in special counsel Jack Smith’s indictment of Trump over his handling of classified documents. But the incident was reported to and investigated by Smith’s team, according to ABC.

    A Trump spokesperson slammed ABC’s report, telling CNN that the claims “lack proper context and relevant information.”

    “The Department of Justice should investigate the criminal leaking, instead of perpetrating their baseless witch-hunts while knowing that President Trump did nothing wrong, has always insisted on truth and transparency, and acted in a proper manner, according to the law,” the spokesperson said.

    CNN has reached out to Pratt, who did not respond to multiple requests for comment. A spokesperson for Smith declined to comment.

    Pratt allegedly told investigators that after he told Trump that Australia should buy submarines from the US, the former president went on to share how many nuclear warheads US submarines carry and “how close they can get to a Russian submarine without being detected,” sources told ABC. But Pratt told investigators that he was not shown any government documents, the sources said.

    His company, Pratt Industries, opened a plant in Ohio while Trump was president. Trump attended the opening and praised the businessman in his remarks.

    Another source told CNN’s Collins that during that visit, Pratt planned to unveil two plaques, an official one celebrating the plant’s opening in the US and a second one that he had told Trump about beforehand. The second plaque, which Pratt kept a secret until the day of the visit, read, “Make America and Australia Great Again.” But officials attending the plant’s opening quickly pulled it down and advised Pratt against the move, that source said.

    CNN previously obtained an audio of a July 2021 meeting Trump had in his Bedminster, New Jersey, golf club, during which the former president acknowledged that he held on to a classified Pentagon document about a potential attack on Iran. The audio, exclusively reported by CNN, was a critical piece of evidence in the special counsel’s indictment.

    Trump is facing 40 counts in the classified documents case, including willful retention of national defense information and conspiracy to obstruct justice. It is one of four cases in which the former president has been indicted.

    Trump, who is seeking to return to the White House and remains the GOP front-runner, asked the judge presiding over the case late Wednesday to delay the trial until after the 2024 elections. A similar request was previously denied.

    This story has been updated with additional reporting.

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  • US fighter jet downs a drone belonging to NATO ally Turkey over Syria, officials say | CNN Politics

    US fighter jet downs a drone belonging to NATO ally Turkey over Syria, officials say | CNN Politics



    CNN
     — 

    A US F-16 fighter jet shot down an armed Turkish drone in northeast Syria that was operating near US military personnel and Kurdish Syrian Democratic Forces, officials familiar with the incident told CNN.

    The US assessed the armed drone posed a potential threat and issued more than a dozen warnings before shooting it down, the officials said. It is unclear how the warnings were issued. US forces exercised their right to self-defense in shooting down the drone, officials said.

    There were no reports of US casualties, an official said.

    Several drones made repeated approaches toward US troop positions in Hasakah, Syria, the officials said. Turkish airstrikes targeted several Kurdish-controlled areas in northeastern Syria on Thursday, killing at least eight people, including six security forces, and wounded three civilians, according to a statement by Kurdish Internal Security Force, Asayish.

    The incidents put the US in a precarious position. Turkey is a NATO ally and a critical partner for the US in the region, as well as playing a key role in the Ukraine conflict. At the same time, the SDF partners with the US in the campaign to defeat ISIS.

    The Turkish Defense Ministry said the drone didn’t belong to the Turkish armed forces, Reuters reported. CNN is reaching out to the Turkish government.

    US officials do not believe the drone was targeting American personnel specifically, but US forces operate closely alongside the Kurds in northern Syria as part of the anti-ISIS coalition there. Turkey considers the Kurdish forces to be a terrorist organization and regularly targets them inside Iraq and Syria.

    Turkey’s Foreign Minister Hakan Fidan said on Wednesday that Turkey considers all Kurdish militia facilities and infrastructure in Syria and Iraq as “legitimate targets” after the Kurdistan Workers Party carried out a suicide attack in Ankara on Sunday.

    Fidan added that “third parties” should stay away from the Kurds.

    “I advise third parties to stay away from PKK and YPG facilities and individuals,” he said. “Our armed forces’ response to this terrorist attack will be extremely clear and they will once again regret committing such an action.”

    Last November, a Turkish drone strike in northeast Syria endangered US troops and personnel, according to the US military. That prompted a call between the top US general and his Turkish counterpart.

    The strike targeted a base near Hasakah, Syria, used by US and coalition forces in the ongoing campaign to defeat ISIS. The Kurdish-led Syrian Democratic Forces (SDF) said two of their fighters were killed in the attack. The strike earned a stern rebuke from the Pentagon, which said it “directly threatened the safety of US personnel.”

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  • Taylor Swift’s Eras Tour movie hits a presale record for Cinemark | CNN Business

    Taylor Swift’s Eras Tour movie hits a presale record for Cinemark | CNN Business


    New York
    CNN
     — 

    Taylor Swift’s concert film hasn’t even been released yet and it’s already toppling box-office records.

    Cinemark, a theater chain with about 500 locations, said that ticket sales for “Taylor Swift: The Eras Tour” are “setting domestic presale records” with demand “10 times higher” than any other event film the company has exhibited. The reaction has “blown everyone away,” Cinemark announced in a press release.

    Excitement has been building for the 3-hour-long film, which is opening Friday, October 13. An ad for the movie even aired during NBC’s “Sunday Night Football” last weekend, where Swift made an appearance to cheer on her possible boyfriend, Kansas City Chiefs star Travis Kelce.

    Cinemark is not the first theater chain to experience an increase in sales via Swift: AMC Theaters previously announced that the singer’s Eras Tour concert movie “shattered records for single-day advance ticket sales revenue,” with $26 million sold on the first day that presales went live on August 31.

    Swift’s movie crushed the single-day record less than three hours after tickets became available, prompting AMC to add extra showtimes where possible.

    The concert film, which is being screened in some theaters in both IMAX and standard versions, is expected to rake in between $100 million to $125 million in its opening weekend, according to industry estimates.

    Superstar Beyoncé is also releasing a film version of her “Renaissance World Tour” for a theatrical release. Ticket presales began Monday for the December 1 premiere.

    For theaters eying a potentially grim fall with the ranks of movies thinned out by the (recently resolved) writers strike and the actors strike, the one-two punch looks like a gift from the musical gods. It’s a potential means of filling seats that doesn’t rely on what has come to look like an increasingly shaky theatrical business even with usually reliable studio blockbusters.

    In addition to Swift and Beyoncé, the box office also has been helped out by another fierce female: “Barbie.” The film hit the $1 billion global box office mark barely three weeks into its run — only about 50 films in history, adjusted for inflation, have reached the benchmark. It’s made more than $630 million in the US box office since its July release. (CNN and “Barbie” movie distributor Warner Bros. Pictures share the same parent company.)

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  • ‘Our grief is still too fresh’: Lahaina residents petition to delay reopening West Maui to tourists after devastating fires | CNN

    ‘Our grief is still too fresh’: Lahaina residents petition to delay reopening West Maui to tourists after devastating fires | CNN



    CNN
     — 

    Residents in Lahaina are petitioning Hawaii Gov. Josh Green to delay reopening West Maui to tourists this weekend, saying the community is still grieving and needs more time to heal after the devastating wildfires that left 97 dead.

    The fires on West Maui nearly leveled the historic town of Lahaina in early August, obliterating homes and displacing hundreds of residents – many of whom had to make harrowing escapes to survive. Crews spent days digging through the ashes of what used to be homes, businesses and historic landmarks in search of remains.

    “The weight of recent events still burden on our shoulders and our souls ache with grief,” Lahaina native Paele Kiakona said at a news conference Tuesday. “Yet, amidst this profound pain, we are being urged to march forward even as our wounds remain open and vulnerable. We urgently ask for understanding and patience to allow survivors more time to grieve.”

    “Not yet,” he said. “Our grief is still too fresh and our loss is too profound.”

    Residents in protective gear have been allowed to return to survey what’s left of their homes for the first time in phases over the past two weeks, and the state plans to reopen West Maui to visitors on October 8.

    The petition by local organization Lahaina Strong, which has over 15,000 signatures, says Lahaina’s working families are still struggling to find shelter, to provide for their children’s education and to cope with the trauma.

    “Delaying the reopening will allow for a more comprehensive and inclusive approach that takes into account the welfare and well-being of all West Maui residents and visitors alike,” the petition says.

    Green told CNN in a statement that reopening is necessary to help the over 8,700 people on Maui who are unemployed, saying reopening “will heal faster and continue to be able to afford to live on the island they love and call home.”

    “Some people aren’t ready, and we’re going to let people find their own time and way, with our administration providing the services they need to help them get there,” he said. “We will gently reopen in partnership with Mayor Bissen and the County of Maui and will utilize a phased approach throughout the month of October.”

    Kiakona said he’s an employee on the island himself, and understands that the business will benefit from reopening, but he’s not ready to face questions about what he’s gone through.

    “I’m not ready to go back. I don’t want the conversation to always be, ‘Oh, did you lose your home?’” Kiakona said.

    “We understand the economic implications – the world’s eagerness to experience the magic of Lahaina once more. But we implore you, let Lahaina heal. Let our spirits find peace. Let’s move forward, but only when we’re truly ready,” Kiakona said.

    Kiakona said many of the town’s residents are faced with the difficult task of trying to balance personal healing with the urgency to provide for their families.

    “While the ashes may have settled, our hearts still ache trying to find solace and make sense of this devastation,” Kiakona said.

    The group on Tuesday urged the state to allocate more funds towards direct unemployment benefits for workers and grants for small businesses.

    The state currently has disaster unemployment benefits available through February 2024 for Maui workers and business owners who lost their jobs or had reduced work hours due to the wildfires, according to Maui officials.

    Maui Councilmember Tamara Paltin, who joined the petitioners Tuesday, said that while two months might seem like a long time, survivors have spent them trying to get housing and many children aren’t back in school yet.

    There were over 7,700 people still staying at 40 Red Cross temporary housing locations around Maui as of last week, according to the county.

    Paltin reminded tourists that other parts of the island are open, including beach communities in south Maui.

    “Maui isn’t closed, West Maui is closed,” Paltin said. “Feel free to visit Wailea-Makena, stay there and enjoy your vacation and support our economy from South Maui.”

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  • Why you should care about the global rout in government bonds | CNN Business

    Why you should care about the global rout in government bonds | CNN Business


    London
    CNN
     — 

    A slump in government bonds around the world has pushed up the cost of some nations’ debt to levels not seen in more than a decade. That’s bad news for governments in the red but also for the wallets of millions of mortgage borrowers, stock investors and businesses.

    The sell-off has been fueled by expectations among investors that the world’s major central banks will keep interest rates “higher for longer” to bring inflation down to their targets.

    It works like this: Governments looking to raise cash for public services and investments issue bonds. A bond provides a way to borrow money from investors for a set length of time, with the obligation to make regular interest payments.

    When official interest rates rise, so do investors’ expectations for returns on bonds, known as yields. This creates an incentive for investors to sell the bonds they currently hold and buy newly issued ones that offer higher interest payments. Selling bonds reduces prices. So, in short, when yields rise, bond prices fall.

    And yields have most definitely been rising: The yield on 30-year US government bonds, also known as Treasuries, hit 5% on Tuesday for the first time since 2007. In the United Kingdom, the yield on 30-year bonds also reached 5% this week, the highest level in more than two decades.

    Yields on German long-dated bonds are back to levels last seen on the eve of the eurozone debt crisis in 2011. Yields on Italy’s 10-year bonds hit 5% on Wednesday, the highest level since 2012, when that crisis was in full swing.

    Here’s why you should care.

    The yields on local government bonds are usually used by banks to price mortgages.

    The disastrous “mini” budget unveiled by former UK Prime Minister Liz Truss in September last year provided a stark illustration of that relationship. Her plan to borrow tens of billions of pounds to fund tax cuts spooked bond investors who feared that the country’s finances were on an unsustainable path.

    The resulting sell-off in UK government bonds — called “gilts” — caused yields to shoot up, taking mortgage costs higher with them.

    The average interest on a two-year fixed-rate mortgage soared to 6.47% at the start of November 2022, according to data from product comparison website Moneyfacts, the highest level since the depths of the global financial crisis in August 2008.

    Early morning sun illuminates streets of residential terraced houses, on September 17, 2023 in Bath, England. Soaring interest rates and falling prices has meant the end of the UK's 13-year housing market boom potentially leading to a wider house price crash.

    That meant hundreds of pounds more a month in mortgage payments. Before higher mortgage rates kicked in, some panicked homeowners rushed to refinance their fixed-rate loans earlier than planned, accepting a financial penalty for doing so.

    Mortgage rates had been falling back since the drama last fall but are now back to 6.47%, this month’s data from Moneyfacts shows.

    In the United States, mortgage rates tend to track the yield on 10-year Treasuries, and that yield has risen 0.27 percentage points since late September.

    On Thursday, government-backed mortgage provider Freddie Mac announced that the average interest on a 30-year fixed-rate mortgage had hit 7.31% in the week ending September 28 — its highest level since 2000.

    “Higher mortgage rates create a standoff between potential buyers, who face some of the highest borrowing rates since 2000, and sellers, who may already enjoy a low fixed-rate mortgage and thus are less incentivized to sell,” Andrew Sheets, global head of corporate credit research at Morgan Stanley, told CNN.

    Surging government bond yields are probably coming for your stock portfolios too.

    Shares typically lose value when the yields on government debt rise, as investors can now get high returns — and a steady income — from less risky assets.

    Take the yield on 10-year Treasuries: at 4.78%, it is more than twice as high as the average yearly dividend paid out by the companies making up the S&P 500 index (SPX).

    “The higher the gilt yield goes, the less inclined, or obliged, investors will feel to take risk and pay up for other asset classes, such as shares,” Russ Mould, investment director at AJ Bell, told CNN.

    Stock indexes have tumbled on both sides of the Atlantic in recent weeks. The S&P 500 and the tech-heavy Nasdaq Composite (NDX) have shed 4% and 2.3% respectively since the Federal Reserve said late last month that it could hike rates once more this year and expected to make fewer rate cuts in 2024.

    The STOXX Europe 600 has sunk 4.5% and London’s FTSE 100 4.3% in that time.

    “Income is back,” analysts at BlackRock, the world’s biggest asset manager, wrote in a note Monday, recommending investments in short-dates US Treasuries.

    Stocks have also taken a hit in recent weeks as rising oil prices, an ailing Chinese economy and the prospect of another government shutdown in the United Stated have unnerved investors.

    High official interest rates in America and Europe have also raised the cost of borrowing for businesses.

    “Higher interest rates make borrowing less attractive, and we’ve already seen a sharp slowing of bank lending that we think is consistent with this idea,” said Sheets at Morgan Stanley.

    “It’s important to note that slower credit growth, which generally means a cooler economy, is precisely what the Federal Reserve is trying to achieve through its large recent rate hikes,” he added.

    Higher yields also mean that the government must pay more to service its debt — with less money available to spend elsewhere.

    The US government is currently sitting on a $33 trillion debt pile and is expected to incur more than $1 trillion in average annual interest costs over the next decade.

    In March, when gilt yields were much lower than now, the UK’s public spending watchdog said it expected the annual interest paid on the government’s pile of debt to peak at £115 billion ($140 billion) this year. That’s almost three times as much as the UK government plans to spend in 2023 on a key benefit for children and people with disabilities.

    Rising bond yields mean that “for any given level of borrowing, more must be spent on debt interest, leaving less scope to finance other priorities,” the Office for Budget Responsibility said in its March forecast.

    Higher gilt yields give politicians “less wiggle room to ease [the] cost-of-living pain through tax cuts or public sector pay offers,” Susannah Streeter, head of money and markets at Hargreaves Lansdown, wrote in a note Wednesday.

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  • Nobel Prize awarded for discovery of quantum dots that changed everything from TV displays to cancer imaging | CNN

    Nobel Prize awarded for discovery of quantum dots that changed everything from TV displays to cancer imaging | CNN



    CNN
     — 

    The 2023 Nobel Prize in chemistry has been awarded to a trio of scientists who worked to discover and develop quantum dots, used in LED lights and TV screens, as well as by surgeons when removing cancer tissue.

    The prize was won by Moungi Bawendi, Louis Brus and Alexei Ekimov, the Nobel committee for chemistry announced in Stockholm on Wednesday.

    “For a long time, nobody thought you could ever actually make such small particles. But this year’s laureates succeeded,” said Johan Aqvist, chair of the committee.

    The scientists were lauded as “pioneers in the exploration of the nanoworld” – in which matter starts to be measured in millionths of a millimeter. At this level, strange phenomena start to occur called “quantum effects.”

    Quantum dots consist of just a few thousand atoms. In terms of size, one quantum dot is to a soccer ball as a soccer ball is to the Earth.

    When light is passed through quantum dots they emit a specific color. This can be finely tuned and is determined by the size of the dots. The bigger dots glow red, while the smallest glow green or blue.

    The slightest of changes in the size of the particle can change its hue right across the spectrum of the color wheel.

    “We can tune these dots to fluoresce at any color that a given application requires,” Michael Edelman, CEO of UK-based quantum manufacturer Nanoco, told CNN.

    The laureates’ work has allowed scientists to capitalize on some of the properties of the nanoworld, and quantum dots are now found in living rooms and operating theaters across the world.

    They are now widely used in TVs and have several advantages over traditional LCD panels, creating more vibrant and accurate colors, as well as requiring less energy to operate.

    The dots are also widely used in medical diagnostics. Doctors use them to illuminate molecules that can bind themselves to cancer tumors, allowing the surgeon to distinguish the healthy tissue from the diseased.

    The Nobel committee explained how the scientists’ work had helped develop quantum dots.

    In the 1980s, Ekimov created size-dependent quantum effects in colored glass. “The color came from nanoparticles of copper chloride and Ekimov demonstrated that the particle size affected the color of the glass via quantum effects,” the committee said.

    A few years later, Brus became the first scientist to prove size-dependent quantum effects in particles floating freely in a liquid.

    In 1993, Bawendi then changed the chemical production of quantum dots, resulting in what the committee called “almost perfect particles.” This development allowed the dots to be used in applications.

    Bawendi, a professor at the Massachusetts Institute of Technology, and Brus, professor emeritus at Columbia University, are American. Ekimov is Russian and works for Nanocrystals Technology Inc.

    The deliberations of the Nobel committee are usually shrouded in total secrecy. No shortlists for the Nobel prizes are revealed and the winners are called shortly before the official announcement.

    But the chemistry committee inadvertently published the name of the winning trio before the official announcement on Wednesday.

    Swedish newspaper Aftonbladet published a copy of an email it said was from the academy, Reuters reported. Aqvist told Reuters ahead of the announcement that the email had been a “mistake” and stressed that a final decision had not been made. But hours later, the leaked names were confirmed as laureates.

    “Let me say that this is of course, very unfortunate. We deeply regret what happened for sure,” Hans Ellegren, secretary general of Royal Swedish Academy of Sciences, said at the announcement ceremony.

    “There was a press release sent out for still unknown reasons. We have been very active this morning to trying to find out what actually happened but at this place, we don’t know that. we deeply regret that this happened. The important thing is that it did not affect the awarding of the prize.”

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  • The fate of this consumer watchdog is in the hands of the Supreme Court | CNN Business

    The fate of this consumer watchdog is in the hands of the Supreme Court | CNN Business


    New York
    CNN
     — 

    On Tuesday, the Supreme Court began hearing oral arguments in a case that will determine the fate of the Consumer Financial Protection Bureau.

    The case was brought on by the Community Financial Services Association of America, a trade group representing payday lenders.

    The group scored a victory last year in a case it brought before the US Court of Appeals for the Fifth Circuit, in New Orleans. The three-judge panel ruled the CFPB’s funding violates the Constitution’s Appropriations Clause and separation of powers. The Supreme Court will have the final say on that, however.

    The consumer watchdog agency was created after the 2008 financial crisis by way of the Dodd-Frank Wall Street Reform and Consumer Protection Act. The agency was the brainchild of Democratic Sen. Elizabeth Warren. She began advocating for it in 2007 when she was a Harvard Law School professor.

    The broad purpose of the CFPB is to protect consumers from financial abuses and to serve as the central agency for consumer financial protection authorities.

    Prior to the CFPB’s formation, “[c]onsumer financial protection had not been the primary focus of any federal agency, and no agency had effective tools to set the rules for and oversee the whole market,” the agency said on its site.

    The CFPB is funded by the Federal Reserve in an effort to keep the agency independent from political pressure. It also means that the agency doesn’t depend on Congressional appropriations funds.

    While there are critics of the agency’s current structure and funding, it has saved consumers money, made it easier for them to seek redress and to get better clarity and more tailored responses from companies when they have a problem with their accounts, loans or credit reports.

    “Today virtually all financial transactions for residential real estate in the United States depend upon compliance with the CFPB’s rules, and consumers rely on the rights and protections provided by those rules,” the Mortgage Bankers Association, the National Association of Homebuilders and the National Association of Realtors said in an amicus brief to the Supreme Court.

    For instance, the CFPB recently ordered Bank of America to pay $100 million to customers and $90 million in penalties saying that the nation’s second-largest bank harmed consumers by double-dipping on fees, withholding credit card rewards and opening fake accounts.

    The CFPB also took action against Wells Fargo after the agency found the bank had been engaging in multiple abusive and unlawful consumer practices across several financial products between 2011 and 2022 — from auto loans to mortgage loans to bank accounts.

    The agency ordered the bank to pay a $1.7 billion civil penalty in addition to more than $2 billion to compensate consumers.

    The Supreme Court’s decision, which likely won’t be announced until the spring of 2024, has far-reaching implications.

    If the Supreme Court finds the CFPB’s funding structure unconstitutional, it could shutter the agency and invalidate all of its prior rulings.

    “Without those rules substantial uncertainty would arise as to how to undertake mortgage transactions in accordance with federal law,” the associations said in their joint brief. “The housing market could descend into chaos, to the detriment of all mortgage borrowers,” they added.

    It could also call into question the constitutionality of other government agencies like the Federal Reserve and the Federal Deposit Insurance Corporation that also aren’t funded by Congressional appropriations.

    “We are confident in the constitutionality of the statute that created the CFPB within the Federal Reserve System and provides its funding,” Sam Gilford, a spokesperson for the CFPB, told CNN in a statement. “We will continue to carry out the vital work Congress has charged us to perform.”

    There’s also a way for the Supreme Court to change the CFPB’s funding structure in a way that wouldn’t invalidate prior rulings, said Joseph Lynyak III, a partner at the law firm of Dorsey & Whitney and a regulatory reform expert.

    “This result would be far more probable rather than voiding the last decade of the CFPB’s activity,” he added.

    From listening to the case on Tuesday, though, Lynyak believes the Supreme Court will rule that the CFPB’s funding structure is constitutional.

    “As we have argued from the outset, the CFPB’s unique funding mechanism lacks any contemporary or historical precedent,” said Noel Francisco, a lawyer arguing on behalf of those challenging the constitutionality of the CFPB’s funding structure.

    He added that it “improperly shields the agency from congressional oversight and accountability, and unconstitutionally strips Congress of its power of the purse under the Appropriations Clause of the Constitution.

    But both Republican and Democratic-appointed justices told Francisco on Tuesday they could not understand the crux of his argument.

    “I’m at a total loss,” said Justice Sonia Sotomayor. Echoing her remarks, Justice Amy Coney Barrett said, “we’re all struggling to figure out what’s the standard that you would use.”

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