carry and exchange it for goods from a farmer's market. we joined jose luis and his roommate as they went through the process. >> we have been gathering glasses and plastic for about a year. >> what they do is to they separate all of the materials. they have paper goods here and so they are taking the trash. >> i have my green points, and they give you a bag. now i want to spend my green points. easy. okay. i'm suzanne malveaux, and this hour on cnn, we want to focus on politics and what is happening here at home. a gun sting escalates and we are talking about right in the middle of it is attorney general

eric holder. there is a hearing right now from an oversight committee to ask for contempt order from eric holder. and the situation existed when issa asked for information, and they were denied documents. and it is the time of year to limit your sun exposure and wear light clothing and things should cool down by the weekend. more of the legal and the botched gun sting operation. president obama and the white house are now involved. the house oversight committee is seeking contempt measure over attorney general eric holder. the congress is wanting more information about the gun running sting. the department of tobacco and

firearms and alcohol lost the weapons. kate bolduan is here to help explain. >> reporter: well, the white house is involved because some of the documents are esensitive and are under the purview of executive workings, and they are under the president's communications with his advisers that they do not think it should be part of the investigation. in this letter, suzanne, that the deputy attorney general sent to darrell issa, the chairman of the committee, he lays it out clearly. he says we regret that we have arrived at this point after the many steps that we have taken to accommodate the committee's legitimate concerns over the operation fast and furious, but

we are disappointed that the committee appears intent on continuing with the contempt vote. they are working to find a satisfactory resolution of the outstanding issues. they are saying to leave some room there to work out some kind of a resolution there, but make no mistake, they are moving forward with this contempt vote, and the chairman of the committee feels differently about what this contempt, what this executive privilege assertion is with the white house. >> and where in this hearing process are we? are they ready to vote? >> this hearing has gone on very long. it started after 10:00, and 10:20 this morning, and that i have gone, and every member of the committee, if they want to, they can have their time to talk and they are taking it. they are going back and forth and not surprising what you are hearing. very much along the political lines and the democrats saying this is a witch hunt against the administration and the attorney general, republican, saying that this is, that the administration and the attorney general has been stonewalling them as they have a legitimate role of

oversight and are trying to investigate what happened with this botched operation. they're continuing with going back and forth and taking their time to speak. we are told they will recess and then kind of take a break after everyone wraps up, and then the assumption is to vote, but in terms of timing, it is anyone's gues guess. >> okay. and also, you know, there is a lot of discussion here, and people are talking about the constitutional crisis and it could go to the supreme court, but do you is a sense that people there want to resolve this thing and not have it escalate to that point? >> well, you know, suzanne, well, hon epsly, it depends who you speak with, because i will say that both sides when i speak with them say they want to avoid this, the chairman of the committee says he wants to avoid this contempt citation and he just wants the documents, but if you speak to the top democrat on the committee, he came out saying that it appears that the chairman and in his view is going towards this contempt citation no matter what came out of the meet iing they had last

night to try to resolve the difference, so it seems as is always up here on capitol hill, it depends upon who you speak with, but make no mistake this has gone from a political showdown to a full scale battle between the administration and congress, it's become very big deal to say the least upper hoo. >> big deal indeed. kate, appreciate it. much a waited fed announcement which is a big deal, too. after meetings the fed has made a decision to put $267 billion programs in a program to swap bonds and that is in an effort to keep the interest rates low. alison kosik is joining us to explain what the fed announced and how folks are reacting? >> well, if you looked at the board you would not know that a big announcement happened. the stocks are higher and the fed came out to say it is extending what it is called operation twist and you saw the markets plunge and the dow fell within minutes to 92 points lower and now it is obviously coming back and the dow is up 17

points, and what it did was once again, it extended the operation twist. what essentially that is, is when the federal reserve sells the short term treasures and uses that one to buy longer term ones, and that is to push down the long-term interest rates and that makes it cleeper for the businesses to get homes an koj sumers to get mortgage and hoer this credit, but it is going on since october, september or october of last year and one analyst i talked to said part of the problem of getting the e n economy going is that you can't force the borrowers to borrow money and you can't force the banks to lend, and that is the point of operation twist to get the interest rates lower and why borrow, at least businesses feel, why borrow when the economy is slowing and then there is a question, how effective, suzanne, has it been so far since it has been in effects since september? but clearly the market is not too upset about it. really exactly what was expected to come out of the fed today.

suzanne. >> and market analysts, what are they making of what is happening? >> well, some are questioning whether or not the fed should have done more, but then you turn the whole picture around that if the fed did something more dramatic and it makes everybody step back and i is a, wait, is the economy worse off than we thought, you know, is this why the fed is taking such dramatic action and by the fed keeping the status quo, but a it is basically going to keep things going to way it is going until the end of the year, it is what is more of a wait and see sort of attitude that you are seeing. and then others say, you know, this could be enough to keep things afloat while the economy recovers on its own and while we wait for things in greece and spain to kind of level off there as well. you know, because a lot of the people question, suzanne, whether it is the fed's role to prop up the economy when things are really bad. suzanne. >> all right. alison kosik, thank you. here is what we are working on this hour.

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rumors are swirling if egypt's ousted dictator hosni mubarak has been declared dead and it is adding to the constitutional turmoil of who won the presidency and how much power they will have. ivan watson is joining us from cairo. you have lot going on there. let's talk about mubarak, because he suffered a stroke and perhaps a heart attack as well in prison, and he is 84 years old, but what are the military rulers telling you about his condition today? do we know anything more? >> well, the latest word comes from his lawyer who says that his condition is improving. he is off of life support after he was transferred from the prison where he is supposed to be serving a life sentence to the ramadi military hospital, and his wife, suzanne, has been able to travel to his bedside.

the interesting thing, susan, when you ask the egyptians about the former president, many of them don't seem to care very much or they are downright suspicious and skeptical about the reports about a health emergen emergency. we have to remember that for much of the last year and a half, they have been getting false alarms and warnings that the former president is in critical condition that he is suffering from health problems and that he's in no position to serve trial for instabs. so a lot of the egyptians that we have talked to think it is a smoke screen to distract egyptians from the political problems taking place in the government, and no idea of where this country is headed in the future. >> ivan, talk about one of the political problems which is the presidential election and whether or not they really know who won this election that took place last weekend. you have two of of them, two of the contenderers who are saying

they both won. the brotherhood of the islamic brotherho brotherhood mohamed morsi as well as general shafiq who claims he has won. >> and we are told that the elections could be postponed, because both sides are alleging fraud in the election. what is interesting is that the state media, as well as today an association of judges that observed the election, they have all projected the muslim brotherhood candidate mohamed morsi as the winner in the election with the same numbers that his campaign has projected, a 52% of the vote. of course, that is disputed by the mother candidate ahmed shafik. it is interesting to note that a spokesman for the brotherhood

mahmoud h galgalan has issued a warning that if general shafiq win, we will take to the threats. it is hard to know if it is a bluff or serious threat. >> sounds like things can get ugly again. and does it really matter who win wins this election considering that the military has most of the power? >> i think that those people who were opposed to morsi, the muslim brotherhood candidate, those egyptians who tell me that they are afraid he will turn it into a theocracy like iran, and those people are very depressed this week hearing reports that he has done quite well in the election, so they will probably continue being unhappy about that. and some of them have voiced support for the rather undemocratic moves that the supreme council of the armed

forces has made in the past couple of days to consolidate power both from the recently dissolved parliament, but also from the post of president. that has triggered supporters of the muslim brotherhood out into the streets yesterday en masse to chant no to military rule. suzanne. >> all right. ivan watson is keeping an eye on all things there, and obviously fast-developing story there. president carter has maintained a presence there in egypt. and i spoke with him last hour about the elections, and we will bring you his comments in a couple of moments. and a group of nuns angry about the cutbacks by the government for the poor are angry and they are going on a bus tour. ♪ [ acoustic guitar: slow ]

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with fifteen grams of protein to help manage hunger... look who's getting smart about her weight. [ male announcer ] glucerna hunger smart. a smart way to help manage hunger and diabetes. fallout over a botched gun running sting escalates into an all-out political battle and in the middle is attorney general eric holder. a house committee is holding a hearing to consider a contempt citation against holder. and committee chairman darrell issa is asking for more documents relating to the failed gun sting known as the operation fast and furious. >> our purpose has never been to hold the attorney general in contempt. our purpose has always been to get the information that the committee needs to complete its work that it is not only entitled to, but obligated to do. >> situation escalated today when president obama asserted executive privilege over these

documents that issa and the panel are actually seeking. all week we have been going in depth with calls for change within the american catholic church where the focus today a group of nuns who recently got a stern reprimand from the vatican for prioritizing social issues over other ones, and they are not letting it slow down their work at all. they are on a multi-state bus tour to protest a plan. >> reporter: rolling down the highways of middle america, the nuns on the bus are hard to miss. their driver normally carts around famous musicians, but the nuns including sister mary donahue from los angeles say they feel like they are getting rock star treatment. >> hi, there! >> that is the most amazing thing when you walk out of the bus and you see the excitement and the anticipation.

>> reporter: the nuns are at tracking crowds of supporters at every stop. they plan to drive more than 2,000 miles through nine states ending up in washington, d.c. on july 2nd. tñe main purpose of the bus tour according to the nuns is wisconsin congressman paul ryan's house-passed budget plan which ryan says is in tune with his catholic faith even though it cuts services to the poor. >> congressman ryan claiming that the catholicism mantle really set our teeth on edge. and really, we probably would not be on the road if he had not done that. >> reporter: the nuns stopped at ryan's wisconsin office delivering to one of the staffers what they called a faithful budget proposal that protects the poor. the idea for the bus tour came after the vatican's recent criticism of socially active nuns in the u.s. which the nuns say created an outpouring of sympathy and a lot of attention. >> so we said, how can we use

this opportunity of focusing on us to show people what we are really about and who we care for. ♪ the nuns on the bus are in the know ♪ >> reporter: they now have their own song thanks to the fans in iowa say they are overwhelm ed y the receptions. they are using the time on the bus to check e-mail and twitter accounts as the driver bill gets them to the next stop. ♪ ted rowlands, cnn, with the nuns on the bus. former president jimmy carter is back home after monitoring the election in egypt. i talked to him about the instability of the government now. don't forget that you can watch cnn live on your computer while you are at work. go to cnn.com/tv. we began with the rx.er ] ♪ then we turned the page, creating the rx hybrid. ♪ now we've turned the page again with the all-new rx f sport.

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southern baptist convention has a historic first. the first african-american was elected to lead the group.

they were founded to support slavery and later segregation. and the reverend says that his leadership in the largest protestant leadership shows how drastically times have changed. >> this is a brand new convention, and yes, we started out as a result of slavery, but that is behind us now and we have proven the fact that through the years we want to move on from there, and by electing me as president of the convention is exhibit a to the world that this convention is now ready the open its doors to different groups and no matter the background or the race or the color. >> julian assange has made a bold move to stop his extradition to sweden. he is the founder of the whistle-blower site wikileaks, and he is at the ecuador yiecua embassy in sweden. last week, britain's top court stopped his visit, and now he is

accused of breaking the terms of his bail. and we will have the updates of what is happening in the jerry sandusky case. came in 17th place.e coun let's raise the bar and elevate our academic standards. let's do what's best for our students-by investing in our teachers. let's solve this. home protector plus, from liberty mutual insurance, where the costs to both repair your home and replace your possessions are covered. and we don't just cut a check for the depreciated value --

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egyptians are on edge right now, because the fate of the ousted dictator and the fate of the democracy is in question right now at this moment. the military results say that the presidential results could be announced tomorrow, but the generals have taken all of the power from the presidency. the carter center has maintained a steady presence in egypt monitoring all of the elections and president carter, himself, was there for the presidential vote, and i had a chance to speak to him last hour about how is it going. >> the elections have been okay, and we have been there since november, and we have monitored the parliamentary election and also the presidential election and both the original and then the two-person runoff recently. we will be there throughout the process of inaugurating new

officers and writing a new constitution, and the carter n center will also be there when a referendum is held among the egyptian people to approve or disapprove a constitution once it is written. so we are there permanently and noted leaders i have met with general shafiq, and i have met with dr. morsi several times to discuss the future of egypt with them, and discuss the peace treaty between israel and egypt and those very important issues. >> you mentioned the fact that this, in the parliament, the supreme court dissolved the parliament and the military issues a decree saying they have legislative power and the military rulers have now given themselves more power than they ever had under president mubarak's regime, and do you think that the president, whoever the president is, is go ing to have real presidential powers here? >> well, if the international community will rally to support democracy and freedom in egypt, then, yes, the military has to

back down, but there has to be a strong statement made from the united states once the identity of the president is known regardless of who it is that the military cede power, give up power to the elected officials other wise the entire process is going to be disapproved by not only the international community, but the people of egypt and might even go back to demonstrations, including violence. i hope it does not happen. it need not happen. >> i want to move on the syria, if we could with the u.n. now estimating more than 10,000 people have died in the 15 months since the syrian people's uprising and we know that bashar al assad has insist hd se ninsit going anywhere. what should the u.s. do? >> well, we should not get involved militarily with syria, because that would be a tragic mistake, but the united states could work intimately and work with kofi annan and give him full support. he is working with the iranians and he is working with the

russians and working with assad regime and working with the revolutionaries in syria, and working with the united nations, but the support that has been given to him from washington has been very uncertain. he's the only ball game in town. so i know kofi annan well, and i stay in touch with him permanently and we need to work exclusively and with full support for kofi, whatever he is trying the do. >> should the united states provide weapons to the opposition? or funding? >> i don't think so. you know, i think that some entities in the world who are allies who are giving weapons to the revolutionaries, and saudi arabia may be one, i'm not sure, but the more weapons we inject into syria, the more traj dick that the civil war is doing to be. house committee just held a hearing to consider a contempt citation against attorney general eric holder. they are in recess right now. meanwhile, the botched gun

running scheme is creating political fallout. and right now in the middle is eric holder and committee cha chairman darrell issa is demanding for documents. the situation escalated today when president obama exerted executive privilege over the document nas issa and the committee want it drew a strong response from one of the committee members. >> here, mr. chairman, is the proof that the department of justice in washington and arizona, but in washington knew about the tactic of gun lking well before brian terry was murdered. so, we have a fundamentally flawed federal investigation, and we have a dead border patrol agent, and we have hundreds of dead mexican citizens and thousands of weapons with america's fingerprints on both sides of the border unaccounted for, and a demonstratively false letter written to a committee of congress and yet, we are asked for more time. please wait. give it more time. it has been offa year, mr.

chairman. >> two guns from the sting were found at the site where a border agent was killed. now to dramatic development in the jerry sandusky child molestation trial. the defense rested the case today without calling the former penn state coach to the stand. sandusky is accused of sexually assaulting ten boys over a 15-year period. closing arguments begin tomorrow. i want to bring in susan candiotti who spent the morning in the courtroom to talk about this. a lot of folks thought that sandusky would actually take the stand today, and why do you think that didn't happen? >> well, that is a good question. what we know is this. as of last night, he was fully preppeded by the attorneys and ready to go. the question is in the end, these are always decisions that are made at the last moment. oftentimes if they think it won't help him and it could hurt him, they don't do it. remember the burden of proof is on the prosecutors to prove their case. a defendant never has to take the stand, but certainly in such a high profile case like this

with a kind of testimony that was heard, you have to imagine that not only we wanted to hear from jerry sandusky, but certainly the jurors, suzanne, would have wanted to hear from him. when he left court this day, he had the usual half smile face on as he got into the car and left. >> well, i wanted to ask you about that, he didn't show much emotion in the trial, and did he seem relieved in any way that he didn't have to take the stand? >> you know, because his back is towards us in the courtroom, it is hard to say. the only measurement we have is when he left the courthouse and he walked out. he had sort of a no expression on the face until someone slapped him on the back as he got into the car and one of the people helping him with the case and then he drove off. we have to wonder what is going on in his mind. >> absolutely. one of the jurors replaced today, and why? >> yeah, that was the first thing we heard this morning, suzanne, when we came in and the judge announced that juror six,

a woman who works at walmart said she was too sick to go on and the judge immediately replaced her with a first alternate who is a woman who also has ties like other jurors do to penn state. she is a penn state alum. and also jerry sandusky spoke at her graduation. so, we now know that there are seven jurors who have some ties to penn state university along with another one who has a tie to one of the witnesses in the case. >> well, it is a very close community. and we know that the jurors yesterday heard from sandusky's wife, dottie, and she testified that the children slept over at the couple's house often, but she never witnessed any abuse. >> do you think that there are any questions that the jurors have to wrestle with on that one? >> well, certainly, they are not hearing from jerry sandusky, so dottie sandusky may be the next best thing for them, and not surprisingly, suzanne, this is a couple married for more than 45 years, and she defended her husband and remained composed

while doing it on the stand. said she never heard anything inappropriate, and nef heard any yelling coming from the basement where some of the alleged attacks occurred and she supported her husband in each and every way, but in the end when the prosecutor asked, can you think of any reason why all of these people would lie about him, her answer was i don't know. >> susan candiotti, and excellent reporting as always. thank you, susan. mitt romney is confirming that rising republican star marco rubio is being vetted for the vp, and what would this mean for the campaign? [ male announcer ] count the number of buttons

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that point. all right. so if you have to rethink the investments and the up and down economy and now joining us is an economist jim wells and where does he keep his money? here is christine romans. >> reporter: jim has been playing the markets since the early 1950s, and here is what he has to say. >> is there a fiscal cliff? >> well, europe is a mess and a lot of problems in the world. christine, we have had recessions in america, and every four to six years since the beginning of the republic, and you can add. next year we are going to have an economic slowdown for whatever reason and it is going to be bad. >> reporter: so if you are worried, what do you buy and where do you put your money? >> my money, i'm short stocks and shorting is when you think that somebody is going to go down and i own currencies and commodities. >> reporter: they say that everyone should have a little gold in their portfolio. >> i have a little gold in the pocket, i hope i do.

>> reporter: no. let me see. i won't keep it. >> well, i know you won't, because i have witnesses. >> reporter: and the commodities are a pullback, and do you believe that is the place to make it happen? >> yes. since the shortage is in commodities i will make money or the economy won't get better and the governments will print money. it is the wrong thing the do, christine, but that is all they know to do, and whenever they print money, you have to own real assets if you want to make money, whether it is silver or rice, you have to own real thing thin things. >> reporter: what is the best piece of advice that anybody gave you? >> buy low and sell high. >> reporter: of course. >> what else do you need to know. >> reporter: and of course, when do you know when it is going to be low or high. >> christine romans in new york. mitt romney making it clear that florida senator marco rubio is on the list of possible v.p. candidate candidates. and romney says that he is being

thoroughly vetted, and rubio would help romney and the republicans with latino voters and a group that both romney and president obama will be addressing this week. political director mark preston joining us to talk about that. and we saw that romney made a point to respond to the point that rubio was not on the list. this is what he said. >> there are only two people in this country who know who are being vetted and who are not. and that is beth myers and myself. and i know beth well. she doesn't talk to anybody. the store i are was entirely false. marco rubio is being thoroughly vetted as part of the process. >> all right. mark, it is a pretty good move on his part politically and why do you think he did it and what do we know? >> well, in some ways it was kind of awkward. the fact that you had the likely republican presidential h no, ma'am -- nominee going out to say somebody is being vetted is not what we have seen traditionally. the process is to be closed and we are supposed to speculate in the media and list, but we never

get to see the list, and yet, he has to come out several hours and many hours after this report on abc news that he was not being vetted to say in fact he was being vetted. look, the reason he did it is because the pressure on him not to do it was probably too great. the fact is that marco rubio is a rising star in the republican party and he is going to become a national leader and national hispanic leader and not quite there yet, and he will be, but if he was not vetted why would they say he is not being vetted and that is why we saw that yesterday, suzanne. >> we know that romney and president obama will be addressing a major latino conference in orlando and we will be there as well. how important is the message that they address this group? what do they need to say at that poi point? we are running out of time. >> well, you know what they are going the say, bottom line talk about the economiment that is what we will hear from mitt romney, and that is what he is going to hit the nail on the head. that is his focus when he speaks to the group tomorrow. president obama, a little bit

broader and he will talk about the economy, but also going to talk about the whole path to citizensh citizenship, though they are not calling it that, but his decision to not send all of the young undocumented immigrants back to their country of origin. >> tell me what is taking place in florida because the effort to purge voter rolls is coming under fire, but a new poll shows that most floridians support this. >> it is controversial and talk about a time when florida is in the spotlight and of course, the conference where you will be at tomorrow, but look at this, the governor of florida is trying to purge the rolls, and people who are not necessarily citizens and this poll that came out this morning on our screen shows that overwh overwhelmingly floridians support this idea. there are current lawsuits going on. the department of justice has sued the state of florida by saying that they have broke n te

law by trying to purge the rolls 90 days before an election, and they have fired back to the department of homeland security saying they have not tried to help them, and this is consequential, because it is a fight between republicans and democrats. >> a huge impact. thank you, mark. good to see you. question, do you check your meat for drugs? there is a group that is pushing supermarkets to sell only antibiotic-free meat and why that matters to your health. i want healthy skin for life.

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about antibiotics? >> well, the concern is that the bacteria are getting smarter and the antibiotics that we use and animals use, they will whip the antibiotics and the more they see, the smarter they are, and so then when we antibiotics, they don't work as well because the bacteria have gotten so smart. the concern is when animals use a lot of antibiotics, it makes the antibiotics we use when we get sick less effective. >> we want to use drug free meat, it is harder to find? >> you want to look for something that's labeled organic. it will have a usda seal. that means no antibiotics were used. we did a completely unscientific survey. there is a price difference. look at chicken breasts that are just regular at trader joe's in

california. $5. $7 if you want the antibiotic free version. that's a $2 difference. food lion $4 versus $6. about the same difference at shaw's in boston. you are shelling out more if you don't want the antibiotics. >> are they cooperating? >> the consumer union is challenging them to do this. we called and could not get a response. the american meat institute say we use antibiotic, but don't worry. that doesn't contribute much of anything to antibiotic resistance. they don't see a link. >> thank you very much. an iraq war veteran now helping bandage and heal

syrians. why he believe americans should intervene. the medicare debate continues in washington...

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a former u.s. soldier is witnessing a side of the syrian conflict that most of us don't get to see. he's working at a hospital in northern lebanon that treats wounding syrians. he spoke about this new mission. something that he calls a game changer. >> reporter: 24-year-old peter kasic is who you would expect to find within these walls, a former army ranger. he's treating wounded syrians as a volunteer at a hospital across the border in tripoli, lebanon. >> there's this belief there's no hope. that's when it's more important than ever to try to do something. >> reporter: it was soul searching that led him here. peter joined the military in 2006, briefly deployed to iraq

with the rangers in '07. was honorably discharged for medical reasons. he went to college. >> we just get one life and that's it. you get one shot at this. we don't get any doovers. it was time to put up or shut up. the way i saw it, i didn't have a choice. this is what i was put here to do. i guess i'm just a hopeless romantic and an idealist. >> reporter: this past spring break he packed his medical kit and headed for lebanon. >> i'm not a doctor. i'm not a surgeon. i'm not a nurse. i can help clean up bandages and clean up patients. swap out bandages. help run iv's. make people's quality of life a little better. >> reporter: despite the initial

culture shock and language barrier, he's bonded with those he works with. doctors and nurses who were forced to flee their homeland and are now treating their countrymen in lebanon. peter says that in iraq he was spared the worst only to find it here. some of those they treat are rebel fighters. others the innocent victims of a spiraling conflict. she says she and her three children were run over by a military jeep as they were escaping from their village. she ended up with a crushed final cord and is only just now started to regain feeling. >> it's been quite difficult for her to talk about this. she was saying all she wants is to be able to hold her children in her arms and be able to walk

and hold them. >> reporter: in another room, yasmin smiles as she says she's seven. she's actually five. she and her family with fleeing the fighting when their vehicle was fired on. her older siblings say she got hit. she suffered bullet wounds in both of her little legs. it just itches she says, still grinning. this type of exposure has changed peter. >> we have to think about the reasons why as a country we choose to help certain people and not others. we have to think about why we just chalk the middle east up to like this complex enigma that we'll never understand because they are so different from us. at the end of the day they're really not. >> reporter: a nurse hopes that somewhat americans will finally understand. >> we're not what they say we,

terrorists and al qaeda. peter knows we are good people who love joking and laughter. we just want to live. taking a break in the room where they all sleep, peter says america needs to rediscover its humanity. >> decide for yourselves. you're seeing it. this is real. it's sad what's happening with people here. sometimes you got to take a stand. you got to draw a line somewhere. i want you to take a look at these. syrian kids shake hands with a european commissioner. the commissioner will donate 16 million to refugees fleeing. some 200,000 taxi drivers are on strike for the first time

in korea. an american teen with a muscle disease meets her idols. a korean boy band. she says she gets hope from listening to korean pop music. "cnn newsroom" continues right now with brooke baldwin. good to be with you. you know when he talks, people listen. ben bernanke will tell people why he's making a move, beefing up the economy. he's persuading banks to pick up lending. we are monitoring that. let's get to this bitter showdown. we have republicans planning to go ahead with this contempt vote on attorney general eric holder even after president obama invoked executive privilege for the first time in his presidency to with hold it will documents about the botched fast and

furious. the president did that minutes before they started the contempt hearing. republicans have been demanding that holder turn over the documents that the president is sealing with the executive order and darrell issa has been leading the charge against holder. >> our purpose has never been to hold the attorney general in contempt. our purpose has been to get the information the committee needs to complete its work. if the justice department had delivered the documents they freely admitted, they could deliver, we wouldn't be here today. >> republicans say that will hold the contempt vote. they are furious over getting big footed by the president. >> this is not about eric holder. it is about the department of justice and justice in the united states of america. have the guts, i hope we have the guts to get to the bottom of

this. >> how much did the president know about this? why would the president claim executive privilege unless there was something very, very important that he felt should not be made onto this committee and possibly to the public. >> this is a very sad day. >> this is a very sad day. >> this is sad day. >> on the flip side, democrats on the committee are dismissing this as a witch hunt. they rushed to defend holder's character. >> it seems clear that you had no interest in resolving this issue and the committee planned to go forward with contempt before we walked into the meeting with the attorney general. it pains me to say this, but this is what i believe. >> this committee's action define hypocrisy. >> i'm offended personally by your calling the attorney general a liar. >> i just don't get the point.

it does not make sense to me, and it's the most ridiculous thing i think i've seen in my years of being on this committee. >> now that you've heard both sides here, let me bring in kate baldwin covering the back and forth. kate, the house committee, they're moving forward with this contempt vote any minute now even though the president has laid down this executive privilege. let's say they vote to put holder in contempt, then what? >> reporter: the committee would vote. if it's along party lines, republicans have a majority on that committee. they would have voted to approval this contempt citation. the attorney general is not held in contempt of congress unless the full house votes on the same and says the same. that vote would need to happen. we would expect that to happen soon but unclear exactly when.

first things first, getting through the vote in committee. after that, it becomes a little more unclear. the understanding as it was put to me by a top republican is that if the house would vote to hold holder in contempt, it would go to u.s. attorney of the district of columbia, essentially going to the department of justice. it would seem unlikely kind of in reality that this department would move to prosecute its own kind of head of the department. it's kind of unclear what this executive, how the executive privilege plays into this as we move forward. it's truly kind of unknown, and to be honest, it's almost not about the penalty, if you will that the attorney general might face. it's more a political battle and the administration. >> with this executive privilege that the president has now

exercised, even if holder is held in contempt based upon this vote that's yet to happen. would the president, not the president but the attorney general, is it like pardon. would he be pardoned because of this executive privilege? >> reporter: to be honest, it's unclear how things would proceed. these are certain documents that they say are essential to their investigation. that's a bit in dispute if you speak to democrats as well as the attorney general. moving forward, how this plays into what happens to eric holder, it's unclear. executive privilege is effectively takes the documents off the table saying they can't be part of your investigation. you can't be subpoenaing, if that's a word. >> we'll use it.

>> reporter: for the purposes of everyone watching this it's almost less about what could happen to eric holder in terms of a penalty or what kind of penalty he could face. it's more about this very public airing of grievances an a battle on a constitutional level they are fighting between the republicans on this committee as they have been fighting for months and now the white house stepping up. >> this very public battle. thank you. we'll be watching. we'll check back in with you when and if that vote happens there. presidents have used this executive privilege 25 times since 1980. this usage of executive privilege, it's the first time president obama has used it. bill clinton used it 14 different times.

david, just explain this to me. as we await this contempt vote. we have the president exercising this executive privilege. is this about holder's status or about republicans and democrats battling it out? >> it's about the latter. both realize the stakes are high. the president has raised the stakes a great deal by exercising executive privilege. neither the contempt citation is likely to go anywhere. if the full house were to vote him in contempt, that would go to the u.s. attorney's office of d.c. as a matter of standard practice, u.s. attorneys do not bring charges against in the executive branch especially the attorney general, their boss. that's not going to go anywhere legally and the executive privilege is not going to go anywhere. what normally would happen is after a lot of scuffling and

each side making their political points, they would sit down and negotiate this out. >> as they may negotiate, just looking back, what is the most infamous example of a president using executive privilege and why now? why this situation with president obama? >> well, the most abuse occurred with richard nixon that used executive privilege with regard to watergate. there are legitimate privilege. it's not an unqualified privilege. it's a gray yair aboarea about president can use it and when he can't. the parties settle and agree to negotiate long before you spend two years in the courtroom over something like this.

why did president obama do this? because what's happening here now is republicans would very much, what they would like to do is force eric holder to resign. they would like to have a major, major resignation five months before the election and claim one of the top officials of the united states in a scandal. the president doesn't want to let that happen, obviously. he respects eric holder. he wants to fight. >> thank you so much. the fl n republican is on the committee on oversight and government reform. we're going to ask him about this, about the attorney general and this back and forth and the president's first time usage of executive privilege. stick around for that. a lot happening today. take a look at this. any minute, the man at the center of america's committee will step up to the microphones and explains how this country

avoids getting hit by the crisis unfolding overseas. a funeral director says kids in chicago don't expect to live a full life. a crisis gets worse in one of america's biggest cities. plus, the future of war. an explosive report says the u.s. is behind a computer virus targeting iran. as the former egyptian president clings to life, a power struggle inside egypt. a country that gets more than a billion dollars a year from the u.s. [ male announcer ] considering all your mouth goes through, do you really think brushing is enough to keep it clean? while brushing misses germs in 75% of your mouth,

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at the stock market. it's up seven points at the moment. not earth shattering right now and not an earth shattering move from the fed, but it is something today. we've talked about it before. operation twist exthe eendhe ex. >> the stock markets have anticipated this. what the fed has said it's going to do is a little more of what it's already been doing. this is a very modest amount of stimulus through the rest of the year. the fed could still do more, but they haven't said they're going to. this is not the notorious qe-3 that a lot of people are talking about. this is more modest. it will push long term interest rates on mortgages down a little bit. the problem is the people who can qualify for mortgages have basically already taken advantage of record low interest rates, and there's nothing in this move that will allow

people, the people who really need the relief, which is the people who have only average or sub par credit to get the loans. that's really what's holding back a big part of the economy is the people who need the relief in terms of refinancing really can't get it because banks will not lend them the money. there's nothing about this that's going to change that problem. >> you're right. where do we stand today? there are a lot of different measuring sticks. we have chosen four. unemployment, 8.2%. we had a nice run between october and february. the drop in the jobless rate has flattened out. the stock market having its usual ups and downs. look at that up and down. housing starts, i think we'll call this tepid. a big drop in may.

pretty much a wash in 2012. finally consumer spending down for the year. not good. rick, instead of hearing predictions of the economy taking off, we're not hearing the r word again. how did that happen? >> the economy has started out the economy pretty strong for the third year in a row and it's petered out. that information was contained in the fed statement today. they have downgraded their look for the committee. they did not predict a recession. they said the economy is still growing but it's growing slowly. that's likely to be the case for the rest of the year. the problem in europe is definitely weighing on the u.s. economy. president obama is right about that. that doesn't seem like it's likely to get resolved any time soon. there's no obvious spark for the economy right now. everybody is in the doldrums wondering what's going to spring us out of this rut an there's

nothing that will do that. >> we're looking for a big bag of tricks for ben bernanke. he is now addressing the nation. >> we must be supporting economic recovery. in conjunction with today's meetings, the seven board members and bank presidents submitted their economic projections and policy assessments for the years 2012 to 2014 and over the longer run. these projections are important inputs to committees deliberations. the economy continues to expand in moderate space. tight credit for some borrowers and fiscal restraint at the federal, state and local levels. household spending appear to be rising at a somewhat slower pace than earlier this year. employment gains have been

smaller in recent months and an unemployment rate at 8.2% remains elevated. in light of these developments projeks for economic growth suh been marked down but most see the economy at an expanding pace. based on their projections for economic growth there will be slower progress in reducing unemployment than in april. committee participants projeks for the unemployment rate in the fourth quarter of this year have a tendency of 8.0 to 8.2 declining to 7% in the fourth quarter of 2014. levels that would remain above participants estimates. in addition to projecting om slow progress and bringing down unemployment, most see the risk toward slower growth and high employment. participants noted global

markets associated with the situation in europe continue to suppose significant risk to the recovery and further improvement in labor market conditions. meanwhile, inflation has declined recently reflecting lower prices of crude oil and gasoline. longer term inflation have remained stable and the committee anticipates it will run at our below the 2% rate that most consistent with its statutory mandate. participants projection have a 1.2 to 1.7% for 2012. the economic projections are conditioned under individual assessments of the appropriate path of monetary policy. as you can see from the chart many participants have a range of views about when the initial increase in the federal funds rate is likely to be warranted.

after a thorough discussion of those views and of the ongoing uncertainty and risks surrounding the outlook, the collective judgment that conditions are likely to work exceptionally low levels to the funds rate and provide further support to the economy. the committee is prepared to take further action as appropriate to promote a stronger economic recovery and sustained improvement in labor market conditions in a context of price stability. thank you. i'll be glad to take your questions. >> when we hear the fed chief speak, of course the nation listens. i've been watching the market. let's go to alison kosik. it was up seven points. it's down about 22 points now. rick newman was saying this was anticipated. this move was in the something

crazy. >> reporter: right. it definitely was right ie long what the market expected. we did see the dow drop almost 100 points as soon as the announcement came out around 12:30 today. the market came back off of those lows. you heard it right there, the fed chief acknowledging the u.s. economy is weaker. it knew it has to do something. it did the least it could do without doing nothing. it didn't want to do anything too dramatic, but something had to be done, clearly. the defense chief saying hiring is weak. consumer spending is rising at a slower pace than earlier in the year. they extended a program that's already under way. it's operation twist. the fed sells short term securities to buy longer term ones. the whole goal is to push down long term interest rates. it makes it cheaper for

businesses to get loans. it makes it cheaper for consumers to get mortgage and other credit. here is the problem with it. he says even with these lower interest rates, you can't force borrowers to borrow money. you can't force banks to lend. you got to have confidence to do those things. that's one thing that's lacking. >> thank you. rick newman, bringing you back in. alison mentioned lack of confidence. to hear that our unemployment rate will be above 8% for the rest of the year. if i'm sitting there, and i was listening. we're all americans and paying our taxes, i didn't like what he said. >> neither did president obama by the way. that's bad news for him in november. he does not expect the unemployment rate to get back down to 7% until 2014. that's two and a half years from now and that's still elevated.

he's telling us what we already know. it's an extremely slow recovery. we're probably not headed into a recession but it's maddenly a stagnant economy. it's official when ben bernanke says it. it gets more credibility. one ironic thing saying long term interest rates will stay low, there's no rush to spend money and go out and boborrow. you might stimulate a little more interest if you say it's going to go up. of course he didn't say that. we're going to be looking at more of the same for the next six months. >> hopefully more of the same and not a recession. we appreciate it very much. the u.s. gives more than a billion dollars to egypt every year. as you know, there's this intense power struggle happening there now that could change everything and leave america vulnerable should something

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ncht just a quick reminder as we're keeping a close eye on this live picture of capitol hill. house oversight committee will be holding a contempt vote regarding attorney general eric holder and the fast and furious operation from some year and a half ago. as soon as we see movement there, we'll take you there live. egypt. mubarak said to be clinging to life. he's off life support. his health is improving. this is just one day after he was clinically dead. that swept across the world last night. all of this as egyptians await the official outcome of last weekend's presidential run off.

demonstrators in egypt don't care about mubarak. i want to go straight to the pentagon to barbara starr. in terms of dollars and cents here, this country, gives u.s. more than a billion dollars a year in aid. how much money is at stake here? >> reporter: a lot of bucks at stake. this isn't just about a break up. this is about something very deep here. decades old military alliance with egypt. the most populous nation in the arab world. a key ally of the u.s. right now the u.s. gives egypt about $1.3 billion. technically it's in financing, so they can turn around and buy u.s. weapons. in addition to that, more than a million dollars for the training and education of egyptian military personnel. some 700 u.s. personnel,

military personnel in egypt. you begin to see the depth and thebredth of this relationship. with this crisis afoot, what they can't do is keep it up with the egyptian and keep up that alliance if the egyptian military does not give up power and transition to democracy. things are coming to a head in the next few days. >> as things come to a head, you pointed out this is about an alliance. if there's some conflict in the middle east whether it's iran or israel, the u.s. needs access to egypt. >> reporter: yeah, just think about it. when you look at the map, egypt a vast piece of territory in a very crucial part of the world. think of it as the gateway into the middle east.

the u.s. wants to know it can have access to air space, ports and land bases if it came to that, if it needed that. that's one of the key reasons the u.s. has been in this alliance with egypt for so many years. if the egyptian military which basically has been running the government for the last several months does not give up power, really, truly, fundamentally and turn it over to the people that the egyptian people believe they elected to office and if that does not happen, there will be very little choice for the obama administration because all the indications are congress would move to try and cut off that to egypt. >> that's one of the big questions, how much is the military willing to cede. the defense rests today in the jerry sandusky trial. we'll tell you what happened on the stand and why a juror was replaced at the last second.

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big news out of the jerry sandusky rape trial. susan candiotti has been covering the trial from the get-go. help me understand this. i know there were reports that sandusky wanted to testify. why not? what happened? >> reporter: our reporting is that jerry sandusky was prepped and ready to go. in the end, it does appear that his defense attorneys may very well have decided that it would be too risky for him to take the stand. he would have had to face a very tough cross-examination and could have opened the door to other testimony. remember, earlier in the week

nbc said it had been subpoenaed by prosecutors for another video tape of an interview that they did, bob costas did with jerry sandusky. we know in the state of pennsylvania, before this happened, it would have been important or it would have had to have happened that jerry sandusky was called before judge and asked in private whether he was waiving his right to testify. that's the way it has to be done here to avoid any issue, appeals issue, if jerry sandusky was found guilty. that happened behind the scenes. >> what about this juror today who was replaced last minute late in the game. what happened? >> reporter: the first thing in the morning the judge announced that one juror on the panel, a woman, was too sick to continue. she had to leave. the judge replaced her. he replaced her with alternate number one who is a woman who

also has like some other jurors a penn state connection. she's a penn state alumna. she also heard jerry sandusky speak at her graduation. he now becomes the seventh juror who has some link to penn state in addition to one of the other juror who is has a link to one of witnesses in this case. it's an interesting jury. >> thank you. we'll look for the closing arguments tomorrow morning. it's a huge landmark case. major leader of the catholic church accused of covering up sex abuse is waiting for a jury to decide his fate. jurors delivered a big surprise to the judge.

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a landmark case is unfolding right now involving priests and the abuse of children. jury deciding the fate of one of the highest ranking catholics in philadelphia telling the judge

we can't reach a verdict on four of these five counts. here is the back story. >> reporter: he's the highest ranking official ever facing charges in his role. lynn, who took the stand in his own dense sai sent word of child sex abuse up the chain of command but operated urntd strict orders from his superiors. he's accused of endanger the welfare of a child for covering molestation and rape. also on trial is father james who is charged with the rape of an alter boy in 1997. he could get 27 years in prison. both men pleaded not.

he was. >> announcer:ed to two and a half to five years in prison. the trial marks the first time u.s. prosecutors have charged not just the priest who committed the abuses but an official. lin who stands accused of failing stop the assaults. >> let's go do sarah who has lived and breathed this case. what's happening with the jurors? >> right now they are returning from lunch. they did come back and said we cannot agree on four of the five charges. the judge is telling them to go back and keep deliberating and trying. today is the 12th day of deliberations. everybody is looking for an answer. >> we'll see if they deliver on that answer. we appreciate you there in philadelphia. now to an explosive report as the west and iran may face off. that's next. machine [ lane ] your anti-wrinkle cream is gone.

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against an adversary of the united states. ellen, thank you for joining me. you write in the piece that's what'sing now is a prelude to something bigger. what are we doing and what's the goal? >> the goal is to delay iran's alleged pursuit of a nuclear weapon. the united states and israel are going about it in a variety of ways, including obviously sanctions and diplomacy. we are learning is there's been for several years now, number of years a secret campaign to delay their program using cyber weapons to, in some cases, sabotage some of the critical pieces of equipment that help

iran develop such a weapon. >> you write about the sophistication, the virus is among the most sophisticated and subversive pieces of malware exposed to date. i should also mention that the previous virus that attacked iran got loose and then started circulating the entire globe. needless to say, sounds like there's an element of danger. >> i want to clarify that. flame is a virus that was used to steal data, to spy and collect data on the exciter networks of iran and including listening in on some of their conversations. the other virus which actually

sabotaged some of the centrafuses was separate malware that was meant to damage or destroy equipment. that's what flame was designed to do. >> okay. i appreciate you coming on and talking about that with me. did you see this? baseball announcer calling a game and suddenly starts talking about a henchman, a botched robbery. might it have been something more serious? [ male announcer ] your favorite foods fighting you? fight back fast with tums. calcium rich tums goes to work in seconds. nothing works faster. ♪ tum tum tum tum tums

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you may not believe what you're about to hear. this tv announcer for the texas rangers, appearing to trail off into pure gibberish when calling monday night's game. in case you missed it, this is how fans saw it play out live. >> is at fifth on what adams is insisting on calling it a botched robbery.

what happened was is his henchman was literally out of -- >> you catch that. a fifth, a botched robbery and his henchman. what was he talking about? turns out he may have suffered a medical episode right there on live television. i want to bring in our senior medical correspondent to help us understand what exactly happened. thinks he suffered a migraine. >> doesn't that sound odd? >> i get a migraine a year. >> do you talk about robberies? >> yes. >> someone can have a silent migraine and it can disturb their vision or language. what's going on is when you have a migraine you'll get a lot of blood flow and then a little bit. a lot and then a little bit.

the changes can mimic the effects of a stroke. it's not a stroke, but it can disturbans in that one area of the brain. it happened in the eighth inning and he came back. >> is it possible he knew at the time when he was talking b about henchman and robberies? was he cognizant he was aware. >> it was possible he heard robbery. he might have been thinking, what was that? he might have been aware that he was saying something that doesn't make sense. >> is there treatment, preventative treatment? >> the same medicine to treat the pain, can also treat the language disturbance because they come from the same effect, from the same female me non. he may need to switch medicine.

>> at least he appears to be a-okay. he was back calling the game. >> you might think he was having a stroke. >> but he wasn't because he ended up back at work. >> if they had seen any weakness on one side, they would have rushed him to the hospital. >> thank you. listen to this. the number of murders in chicago since january has surpassed the number of troops killed in afghanistan this year, more than afghanistan. one funeral director in the city reveals a haunting outlook here. with real advice for real goals. a u.s bank wealth management advisor can help you every step of the way. from big steps, to little steps. since 1863 we've helped guide our clients. so they can take the steps to help grow, preserve, and pass along there wealth. so there footsteps can help the next generation find there own path. all of us serving you. usbank

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the numbers here are so staggering, the headlines all too frequent, almost mind numbing. i'm talking about chicago, five killed, 34 wounds. weekend violence killed six, about 40 wounds. two dead and 15 wounded in shootings across the city. a 15-year-old boy shot and killed in a fight over a bicycle. this isn't new.

this year is turning out to be particularly bloody. shootings are up. we've talked on the show about some of the victims. the 6-year-old shot to death on her front porch. police are working overtime to try to hold back the violence. chicagoans say police can't do it alone. >> it take a community to say something. we just had gang members driving past in a car. when is the community going to say something about that. it takes a community, not only the cops. >> this is not just something that's happened on the south side and west side. this is happening in everybody's community. if you don't do something, it will in your community soon. >> reverend cory brooks of chicago's new beginning church is a member of that community. he's spending four months walking from new york to los angeles. i hear you're now in pittsburgh walking away. it's a pleasure to have you on.

i've read a bit about your perspective as to what's happening in chicago. it's so easy to blame the gangs. you say that's not the whole picture. what is? >> well, brooke, thank you for allowing me to be on your show. we're facing a myriad of issues in chicago. we're facing for giants. a social ill, spiritual ills, educational ills and economic ills. when ever you have that many things going on in a community, it's a time bomb waiting to explode. all those problems need solutions. we need all hands on deck to solve those problems. >> i want to get to the solutions in a minute. i want to quote a funeral director that says the kids don't expect to live a full life. he was talking about how he talks to two or three mothers who are burying their little ones. he is talking about the young people that are attending the funerals and they are thinking this is how i will be celebrated if and when i get shot.

how do you that i thichange the? >> we have to change the mentality and mind set of people. it takes preachers, pastors, politicians. it's also going to take some of those entertainers to have a message to help the people get the hope to bring back life in our community. we need everybody speaking to the issues. we need everybody speaking to the problems. we need everyone working on the solution. that message must be communicated not by one person but it's got to be communicated by several member. >> i know you've taken the risk and with funerals of gang members. what is in world is that like? >> well, it's very tough. i try to tell myself and remind myself that whether they are in a gang or not in a gang, they are people. this is not a gang problem. this is a humanitarian problem. people have to be treated the same with lo