journalists, not michael cohen. >> it's good to see you, brynn. thank you very much. thank you for joining me. "inside politics" with john king starts right now. thank you, kate, and welcome to "inside politics." i'm john king. thank you for sharing your day with us. a gangbusters jobs report matching a 50-year low in the unemployment rate. is president trump putting a boom in that risk for promoting global outrage with new trade tariffs? responsible at a minimum, respectless to some. the president brings a new hint to those jobs numbers. in pardoning a pundit who knowingly admit he tried to break the law and then tried to hide it, president trump speaks out for the spokesman of the gop

agenda. >> the president said, denish, you've been a great voice for freedom, and he said, i've got to tell you man to man you've been screwed. i've been looking at the case. i knew from the beginning it was fishy. but he said upon reviewing it, he felt a great justice had been done, and using his power, he was going to rectify it, sort of clear the slate. and he said he just wanted me to be out there, to be a bigger voice than ever defending the principles that i believe in. >> back to the conversation about the president's pardons in a moment, but we begin with giant economic news and a president too eager to celebrate. so eager, in fact, to share today's strong jobs report that he tweeted this more than an hour before the official release time. looking forward to seeing the unemployment numbers at 8:30 this morning. who needs insider trading when you can get the cheat sheet directly from the president? markets spiked immediately. the white house is now laughing it off, but it's not funny. and it's not the first time the

president has broken the rules when it comes to sharing sensiti sensitive, stoiometimes classif, information. what they tell us about the strength of a job about to be tested. >> a streak of record jobs continues. seven years of jobs. 223,000 jobs in the month of may. it shows you companies are hiring. in fact, the unemployment rate now, look at this trend. it is the lowest again, 3.8% since 2000 and that matches the lowest since 1969. you have to go back to 1969 to see 3.8% other than the early 2000s. a couple things here. there are about five or six open jobs in america today that employers say they can't fill. there are about 5 or 6 million workers who haven't come back to the labor market in the worst of the financial crisis.

so there is that mismatch. overall economists are calling this full employment. where are the job gains? they are in retail. they are in health care. again and again, we have seen health care jobs across the wage spectrum coming into this labor market, and in manufacturing, 18,000 net new jobs created in manufacturing, john. that makes it the best year so far for manufacturing job growth since 2011. a caveat here, about an hour or so before this report, wall street expected a strong report because the president tweeted he was looking forward to seeing these numbers. and the president would not tease something that wouldn't be positive. so you saw a move in bond yield and see in the dollar about an hour before the official numbers came out. that's raising some questions about just how pure the data lockup is and whether it's a level playing field for this economic information that wall street depends on. john? >> thank you, christine, and back to that question about the president's earlier tweet in a moment.

some cloud bid renewed threat of a trade war, not just with china but with allies, too. president trump swiping on twitter. he said, twitter has treated our farmers poorly for a very long time. they must open up their markets and take down they're trade barriers. they're all moving down the street. he's slapping them with 12% on tariff imports, 10% aluminum imports. president trump said, this isn't a trade war, just a family dispute. and he says, it's gone on too long. >> the trade system is responsible. it needs to be dignified. donald trump is shaking the tree like he always does. he means it. >> with me today to share their reporting and insights. the president certainly is

shaking the tree. larry kudlow is right about that. we also know that larry kudlow is actually, in private, much moreau posed to these tariffs. publicly he has to go out and support the boss. the president did sign the big american tax cut. economic growth, you see those jobs numbers? wow. yes, he inherited md -- with these tariffs, people think, wait a minute. just when you have this growth and boom, are you able to separate it? >> the first was full of stuff that business likes. tax evasion and more. it definitely pushes in the wrong direction for two reasons. yes, we'll protect some steel worker jobs, some aluminum jobs, but there are way more jobs at companies that use steel and

aluminum. if you were a company thinking of investing in a new factory, even one making steel, how confident could you be that the policy of landscaping will still be the same when you've finished reading it it for now. if you're going to do this, if you think. this is for the way the people who made it america does, when at least you have an economy that seems to have the numbers? >> you have key senate races in states like missouri and indiana and north dakota where republicans are finding respites from democrats and incumbents who will get hit hard. farmers, the fact of a soybean retaliation, is going to be bad. pork bellies, america

threatening to put a hold on those. they believe this will be hard for them, but in the tenlt. if you listen to larry kudlow -- and thos real. he wants to say this is a conversation. it's a conversation when you say, yes, it's no longer a confrontation. >> the question that hasn't come up is if this is a change. the president insists this will be a very short term operation. you haven't seen one medical this is the u.s. posture going forward or whether there is the stuff. maybe someone agrees to do x and the other one expects to do y.

many does a benefit of a tax overhaul really outweighs this. >> if you're the president watching, the market is up about 220 points right now. yesterday the trade conversation marked it down a little bit. we have this tug-of-war. the president's team have tried to slow him down. have tried to not let's negotiate a single thing. the way trump treats its u.s. allies, we could soon be out of friends. trump's steel destruction. he starts a trade war with his best friends. the op-ed makes me think more and more that he's right. >> he undermined allies and helped others, and that's what's going on. i think it's this toxic mix of

unpredictability and uncertainty, plus top-down dictating in an kpre. and this economy is not broke at the moment, and he does run risks doing this. i do not think there is a grand euan f unifying plan, but everyone has kind of rallied behind him in living tariffs oethe other way d fighting this fight. it's not just trump in isolation here, even though he likes to think he's in negotiations. >> so it's possible that china and the european union and mexico could go together to the. again, the president rolls hills eyes against the wto, he says it's built on the other side.

i can tell you with this park, they feel a whole lot less far away. 134,000 jobs at risk, they think. from the steele and aluminum part of it. 150,000 more with what the president is saying, and they think close to 2 mill yop jobs and this has been to at least temporarily blow up in this showdown with canada and mexico. >> one thing we've learned is that this white house, including wilbur ross, have made a serious political calculation. part of the argument from the beginning is our allies need us more than they will relamp. canada makes it in, they are retaliating. so now those tariffs that

control them, the negotiation is not working out the way they expected. >> to your point, john, this is a national defeat with some very important power figures. supply side economists, including larry cud loy, who i think in his previous job would not be that supportive of others. speaker paul ryan, joint leader mch mcconnell, the republican chairman of any, and again, some people think he sticks to this too often. but this is how familiar challenge economic policy. >> he's not wrong about that. . he said in 1990, the united

states makes bad deals for their investors. >> has he made any better deals? he's walked is way from deals, there are cosmetic changes in addition can i please put american egg to. if this is good deal making, i would really. to that point some of this is symbolic, but the people looking to retaliate and are retaliating, are looking to the trump map. motorcycles, damage, cigarette butts, beer kegs and steel. the people retaliating are looking at the map, too. >> america is going to realize they actually support the

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rules are made to be broken by the president of the united states. today's example, we talked about this a moment ago, an upbeat hint on a jobs report a little over an hour before it officially came out. the numbers were great. so the president's joy is understandable, but his tweet is not. markets move on these numbers. tens of millions of dollars can be made or lost and any inside information is gold. which is why the small group of officials who get to see these golden economic reports in advance get ethics briefings and are warned they almost never must discuss them in advance. they are supposed to keep them mum an hour after they make them public. here's the man who briefed him on the numbers yesterday making one, anyway.

>> his tweet basically said, like everybody else, we await the job numbers. you can read into that ten different things if you want to read into it. i don't think he gave anything away, incidentally, and i think this is all according to routine. >> it's all according to routine except that it isn't. phil mattingly joins the conversation. it's not. i get that larry kudlow worked for another president pre-twitter, ronald reagan. go back and look. ronald reagan, george h.w. bush, george w. bush, barack obama. look at any of them tweeting about the economic report before it came out. i dare you. >> nobody did. that's why all the information that comes to the economic advisers an hour before must be held under lock and key and not shared before 8:30. kudlow's defense is that the president didn't actually say what was in the jobs numbers, he

only said he was looking forward to them. that would be the same statement if he tweeted them every month. he does not, he merely tweeted them ahead of the jobs report. >> here's his problem. here's his problem. we got the briefing yesterday. every president gets it the day before. a select number of people know about it. people at the lab know about it, you have to sit there for 30 minutes and can't go to the bathroom. you can study it, because what you write will move markets. did the president talk about this with any of his rich friends? did he give outside information to any people? that question may not be fair to the president, but i can understand why people may ask them. because the president of the united states brief odd this since day one, tweeted about something he was not supposed to. >> we already know the market

preliminary indications implications of something he did. there was impact based on what he did. you make a key point. as we in the media get these reports, our mics -- you can't transmit from the labor department until the clock hits 8:30. there is a clock with a countdown that lets you know. that's how close they guard this information. this is a very, very serious thing, and i think -- while i respect larry kudlow, the idea that the president would have tweeted about anything but a blockbuster jobs report is absurd. i think anybody who knows anything about the president and markets in general saw that tweet this morning and said, okay, this is going to be a good market. that's not just us in our inner circle, that's people and participants that are actually making moves. >> george w. bush also worked with the house of ways and means committee on the hill back in the day. he said, this information is n

ara sacrosanct, not to be shared. and lawrence summers said, if during the clinton or obama administrations there had been a statement from potus or anyone senior official in the morning before the employment report it would have been a major scandal -- with all sorts of investigations following on. nobody is saying, mr. president, please don't do that. >> general kelly in the oval ofl office, look, follow the rules. it's pretty clear in this case. and the goodness of these numbers outweighs the bad in this case, but i'm not sure exactly how you keep him from doing this in the future and signalling this again. i want to highlight the unique ability at the trump white house to take full employment and turn it into a story about somebody else because of the mistake that

trump makes. >> there is a third concern about this. the idea that in the absence of this, people may assume it's bad and bail. two is that -- look, what happens is that now there is sort of a top-down effect. i talked to a guy named john coffey who studies securities law and he says, look, at the federal reserve, they have prodded for prosecutes of people affiliated with the fed who have used early information or shared early information. if the president does it, what signal does that send to the other people who are supposed to abide by these rules? yes, there is a difference between insider trading and a tweet who is the opposite of insider. it's basically niblt who is on line with them, okay. if you say something that

generally seems upbeat that it mud dees the water that other people are supposed to follow. >> the broader question is this president, who gets awesome powers, this is an economic piece of information that can and did move markets. when he tweeted this morning, he did move markets. people asked, did he share it with anybody else? he is said to have shared classified information in the oval office. there is a lot where the president bends a lot of norms and this time it's real. >> as far as i know the president leaked classified information with a foreign ambassador since that other incident. if in the next eight hours we see people making excuses of why this is acceptable, i think that raises different issues. >> you're right, that's a key

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slonly remfresh useseep one in ion-powered melatonin ht. to deliver up to 7 hours of sleep support. number one sleep doctor recommended remfresh -your nightly sleep companion. making light of political corruption and lying? is he sending messages to those under russia scrutiny? good questions, fair questions. in the case of pundit denish d'souza, here's one answer. >> the president said, denish, you've been a great voice for freedom, and he said that i got to tell you man to man, you've been screwed. he said upon reviewing it he felt a great injustice had been done and that using his power, he was going to rectify it, and he said he just wanted me to be out there to be a bigger voice

than ever defending the principles that i believe in. >> now, remember that last part. the president, who is the head of the republican party, wants denish d'souza to be a bigger voice. bravo, says some people. d'souza knowingly violated laws and tried to hide it. if the president thought the punishment outweighed the crime, i get it, that's his right, that's the president's authority. but denish d'souza, whether you agree with his politics or disagree with his politics, he cheated. the president wants him to be out there as a spokesman? law and order? constitutional conservatism? is that what the republican brand needs? >> he's a fellow trollish provocateur. >> i asked the question half

tongue in cheek but half if you're a republican and you're trying to think if it's two years or seven years, there's going to be a post-trump republican party, what do we want it to be? that would bother me a little bit. >> yes. it bothered me for a while. this is a problem, and i do think some of the pardons are used for trolling, arpaio among them. this is a real injustice of the jim crow era, and a plaud hpplan that. i'm okay with the good ones, and i'm okay that the president can use pardoning power. of all the things the president does do, this is not the one that will upset me too much just because constitutionally he has a lot of power here. >> to your point, john, he does recommend this kind of rising

thing that elevated trump. this trolling and being a provocateur, the conspiracy theories, he's fond of many of them, but of course the critics will raise the question, if trump can pardon arpaio and d'souza without even going through the process, what about michael flynn? what about rick gates? >> and he talks about rod blagojevich and martha stewart, who is out of prison but was convicted of lying, people say, wait a minute, is he trying to send a message about michael flynn who was lying? is he trying to send a message about people sent to jail by james comey's fbi or friends of james comey? it has to be a signal to paul manafort and mike flynn. indict people for crimes that don't pertain to russian collusion, and this is what could happen. the special counsel has awesome powers, as you know, but the president has even more awesome powers. so they're saying, go ahead, bob

mueller, the president can just overrule you? >> yeah, kind of. although stone is playing an interesting role because he likes to make it look like he's giving an opinion -- stone has his own problems that i think is hopeful if he says things to elevate the president, perhaps that can help protect him one day if he needed that protection. mary catherine points out exactly what's right. the president clearly has pardoning power, and the public's recourse if they don't like the way he uses that pardoning power in his elections, there are still two kind of channels they work through. that is the justice department. there is a process that takes several years, there is a section that handles pardons. then there is the other way that has been used more frequently in the early year and a half or so of the administration, which is an ally goes to the president and says, hey, you should really

pardon this guy. the president says, interesting, i'll let my counsel's office know. the counsel's office studies it and whatever. >> if you're waiting in that line, you should have gotten the hint that you need to -- >> get in the other line. >> looking at the 25-foot level is more interesting to me and what this means for the next administrations to come. in particular, the last two min administrations have been very careful about this. going through the justice department kind of alleviates the pressure. the norms have shifted here. there is a different way of doing things now in this white house, and it's going to be fascinating to see how future white houses, whether or not they apply the trump standard to pardons or whether they try to shift back the pendulum. >> a lot of people deserve pardons and connotations, and they aren't dealt with because people are too scared. it may be that we end up in a different era, which may not be

a bad thing. >> an odd piece of advice, if you want to call it that, from attorney general eric holder. they lose self-incrimination and therefore they could be partners for bob mueller. the tv host who insulted his daughter, he wants samantha bee kicked off the air and fired. this from the 33rd president. george w. bush in the hospital reading a book about the love story of him and first lady barbara. we wish the president the best.

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. just in to cnn, a new estimate of the number of civilians killed as a result of military operations overseas. the pentagon reporting to congress today that in the first year of president trump's term, nearly 500 militants died targeting terrorists in afghanistan and syria. in the meantime, the death toll went up in all those countries. a harvard university report, you might recall in recent days, estimating more than 4600 people on the island died because of the storm. puerto rico's official fatality count? just 64. the governor was on cnn this morning explaining that at the time they were using the only accounting tools that they had. >> we used a very limited protocol once the storm came about. it was a protocol designed by the cdc. and that's why ever since last year, i've been saying the numbers are going to be higher and we need to revisit and study

this scientifically to arrive not only at the numbers but also how we can prevent another catastrophe like this happening in the future if another storm or earthquake hits. >> moving now to our political radar, president trump. he doesn't want samantha bee's apology, he wants her fired. tweeting this morning, why aren't they firing talented samantha bee for the language used on her show? a double standard, but that's okay, we are winning and will be for a long time to come. samantha bee, of course, insulted the president's daughter ivanka on tv. this was said an hour before the president's tweet. >> if somebody had said that about chelsea clinton, if somebody had said that about either of the obama daughters, the nation in unison would be repulsed. it's not even a question of comedy, it's just a matter of what you say about the president's daughter. who the hell talks this way?

seriously. she should be fired and take her apology with her. when we come back, you know devin nunes is chairman of the intelligence committee and the fight here in washington. some say it's helping devin nunes raise money back home in california. tide pods child-guard pac. helps keep your laundry pacs safe, and your child safer. to close, twist until it clicks. tide pods child-guard packaging.

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i support the affordable care act, and voted against all trump's attempts to repeal it. but we need to do more. i believe in universal health care. in a public health option to compete with private insurance companies. and expanding medicare to everyone over 55. and i believe medicare must be empowered to negotiate the price of drugs. california values senator dianne feinstein

and a very courageous man. he's courageous. congressman devin nunes. thank you very much, devin, for being here. >> president trump likes congressman devin nunes. they have been allies in the whole russian meddling investigation. nun assees is in a tough reelec battle. we'll be watching to see how the voting goes. trump 2016 campaign donors who are now giving money to devin

nunes in 2018, a cnn analyst identified at least 39 donors formerly giving to trump now giving to devin nunes. in the congressional race, you can give 2700 in the race and 2700 in the election. it's a little more than $30,000 just this year. in context, devin nunes has raised a little over $5,000. but trump loyalty means financial help for devin nunes, and this is coming not just from his home state of california but from all over the country here. devin nunes having a trump profile because of the russia investigation. former democratic congresswoman and a democratic candidate this year, they believe the russia investigation, maybe it brings in the money, they think it will hurt at the ballot box. >> he spends most of his time

playing inspector clousseau. >> trump is a stooge. z >> he hasn't held a real town hall since 2015. >> you have a one-time little known congressman who had an identity on california issues, becomes chairman of the intelligence committee, now is a national figure. does that help or hurt back home in a competitive district? >> it's certainly a question of how far anti-trump sentiment will go in a place like california. it's certainly a blue state. but devin nunes' district leads the republicans by eight points. the median income is about 26,000. 20% in that district are below the poverty line compared to much less statewide. they're worried about water, they're worried about wages.

i don't think russia really is a top concern. having said that, this could turn out quite a bit there. between that and the fundraising, we'll see how far they go. >> devin nunes is trying to juice conservative fundraising. we must expose the cover-ups of the obama administration. i need friend like you on my team as the left goes all in to replace me this fall. they're targeting me because i dare to stand up for what's right and true, for the america i believe in. i'll say it, the democrats have come unhinged in their absolute hatred of president trump. >> it's an ag district. it's an ag-central district and devin nunes has an ag background

and was formerly very involved on the ag side of things. i think it's always been safe when you talk to district leaders, they're very comfortable with him and that's why he's favored right now. yes, he's juiced his own fundraisin fundraising, but the fundraising on the d side is major as well. they are raising cash for one of the cabinet seats that in some years would be considered out of the realm compared to some of the pickup opportunities there. they're raising money, they've got outside support, and they've turned it in to a real race to some degree. >> this is one of the tests of is it a blue wave, and if so, how big is it? >> i think good economy plus base boosting in an internal election, nunes might be safe in a fairly republican district, but he has to have that boon of a good economy which is one reason maybe trump shouldn't be messing with the trade. that being said, if you lose touch with your district and people feel like you're showboating and only doing national issues, there is always

a chance that can come back to bite you very unexpectedly. this challenger is raising a ton of money. >> to that point, we hate to sound critical of the congressman. here he says, no, he represents us. >> i'm a devin nunes fan. >> why? what do you like about devin nunes? >> i like his values, and i like the way he's represented central california. >> so you have, you know, it's a republican district but it's a close enough district, and i just want to make sure we're fair to devin nunes. there are people out there saying he's doing just fine as he's become this lightning rod. >> it represents a fundamental and fast shift in his brand. it's not just that he was a lower profile version of this guy always and kept getting reelected, he had a completely different reputation just like before president trump got elected. it was almost by a fluke that he even became affiliated with trump's campaign. basically trump needed a guy in central california to take him around. nunes got tapped and before he knew it, he got swept into this

thing. he dealt with farming issues, he dealt with military issues if they represented his portuguese background and ties in the area. to go from that guy to this guy, it's a fundamentally different brand. are democrats going to be inspired to turn out and are people going to look at money coming from outside the district and say, what does that mean? his whole reputation is different than it was. >> or committan he maintain bot brands? >> can the new devin nunes at least be enough of the old devin nunes. last night the cavs and the warriors played fantastic up and down basketball. then in the last minute, chaos. i loved it. phil didn't. that when we come back. we love the great outdoors. this year, show dad he's special with great gifts from bass pro shops and cabela's. like bass pro and cabela's flag t-shirts

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who is in washington. he's about to arrive in washington and we're told he will have a brief meeting with the president of the united states in the oval office. that is significant because kim yong chol, we are told, is carrying a letter from the north korean letter, kim jong-un. he had a two-day meeting in new york with mike pompeo. they will walk through the oval room in the colonade. you go out by the rose guaarden giving him stature. the president of the united states wants this summit. they're willing to put that aside at least for now to get it. he has the letter. how important is that? >> there is a way to sneak someone in. this isn't the way that happened. and the letter is very important for two reasons. number one, if there is anything that goes wrong in that letter that scuttles the summit, the

stakes are very high. but more importantly, the letter will give us a hint of how many concession agreements they will be willing to make up front. and there are these questions about is there enough seriousness behind this that they should go forward with the meeting? will they touch on verifications? will they touch on inspections? will they touch on whethill the. give anything in return? the letter goes into detail. >> this is the south portico of the white house. you normally see the north portico. this is actually the front of the building. a lot of americans don't realize that because we show them the north side of the white house all the time because that's where we work. that's where the media is on the outside lawn. that's where most people come, where the president comes to meet foreign dignitaries. they're elevating him. >> the symbolism is real.

it signifies the president's willingness and, actually, desire to have this summit. and two, that this is a meeting face to face. when you track back to what the secretary said yesterday, that north koreas are contemplating the idea of going down a path of denuclearization. so they've made progress but there was no fa nalt and he wasn't even sure if the june meeting would happen. the president wants the meeting and those kinds of discussions may be cast aside if he feels like the face-to-face meeting goes well and he really wants june 12 to happen. i think that will be one of the more interesting elements to come out of this. the president, regardless of what commitments he gets or what priorities are laid out, if he just decides, this feels right, let's go, that might dictate

nothing. >> is the risk worth taking? thaerlts what we have to hammer out with the president right now. there is a debate, as there should be, within the administration. john bolton a little more hawkish and skeptical on this wurn. he seems elevated in, i want to give diplomacy a chance, but. this is 40 years of diplomatic intrancidence. the fact that he walked away at one point and that arpaio is involved gives me some hope that there is a strategy here. and this maximum engagement is certainly something new and it could change the calculus. >> we talked off the record that there are some norms and rules

the president breaks which he really shouldn't. top u.s. officials telling us they've not read the letter to kim jong-un yet, but they are aware generally of its contents. the personal. >> we'll see that meeting about to take place at the white house. thanks for joining us on "inside politics." wolf starts right now. hello, i'm wolf blitzer. it's 12:00 noon in mexico city, 1:00 p.m. here in washington, 7:00 p.m. in berlin. wherever you're watching from around the world, thank you for joining us. if it wasn't clear before, one trump adviser who is preparing for a possible mueller indictment, it says the spree sends a message to a witness like him. president trump said samantha bee