good tuesday morning, i'm erica hill. >> and i'm jim sciutto. some major news just in on your money. new key inflation data finds that americans overall are paying less for items. still, however, some sticker shock out there. will the fed now pause its ongoing rate hikes? we're also closely watching bank crisis fears following the sudden collapse of two regional banks. markets open soon. we will look at where things stand today. plus, loyalty loss. former president trump taking his first stage in iowa since announcing his third bid for the white house, sharpening his 2024 attacks. why he says he regrets ever endorsing florida governor ron desantis. and state of emergency in parts of new england this morning. a dangerous nor'easter slamming the region with heavy snow, coastal flooding, powerful winds possible. boy, looks dangerous. >> that is one big storm.

we do want to begin with your money. banking concerns across the nation, we have priscilla alvarez, lauren fox and christine romans. christine, there is new inflation data out this morning, basically in line with expectations. for once that's a good thing. >> yeah, look, 6% inflation is hot, it's uncomfortable, but it is eight months in a row of slightly less than the month before. so you're paying more for just about everything, but those price increases are cooling and i think that's important here. when you look at the trend is your friend, jim, as i always say, you can see that line chart very clearly showing peaking on the inflation front. this is, i think, good news for the fed because last month it was a little hotter than we expected month to month and this time it's just exactly in line, which i think gives the fed a little bit of room in light of this banking instability to be able to maybe have a lighter fed rate increase next time around. the fed next meets of course march 22nd. let me look inside the numbers

to show you, food prices up 9.5% year over year. anybody going to the grocery store, this is kitchen table economics, you know this is still tough. gasoline prices down a little bit but shelter up and the government noting, and i think this is important, noting that 70% of the overall price increase in that cpi number is because of lodging, because of shelter. so we still have a shelter inflation problem, you guys. >> christine, i do want to ask you given the wild swings in the market yesterday but also the extraordinary steps that the fed, treasury and others have taken to try to contain banking fears, from speaking to folks in the markets, others you speak to, is the sense that they now have this under control or still a lot of fear out there? >> i'm getting the sense that it was successful, this rescue mission was successful. it ringed off these two banks, three banks actually failed in the last week, and now the concerns you're seeing in some of these other regional banks, big stock losses there, they're stabilizing a little bit this morning and we're told from a senior treasury official that the deposit outflows from those

banks are starting to slow. that is a good sign. so you're starting to see signs of stability here overall. a couple of things can be true at the same time. you can have the strongest banking system since 2008 and you can still have more bankruptcies. that's what a lot of the experts in the banking experts are telling me because we've had interest rates rise so far so fast, there will be some points of weakness in the system. >> so if we look at how all of this is playing out now this morning, priscilla, these moves as we have learned taken by the biden administration because they really wanted to stop any further loss, the president saying very clearly you don't have to worry yesterday. is that message being heard? >> reporter: well, simply by what christine said and seeing less of those outflows, it appears to be making or having some effect. when it comes to inflation, the goal for the administration here is to lower those out-of-pocket costs, and the white house is now highlighting efforts to do that across a few categories including health care, broadband access and heating bills. break that go down that looks

like rebates for drug price hikes, it also includes $4.5 billion to lower heating bills as well as monthly credits for internet, $30 for some eligible households, $75 for those on tribal lands. now, of course, all of this comes amid concerns of a recession and against the backdrop of the collapse of silicon valley bank. you saw president biden coming out yesterday and trying to quell some of those concerns, saying that banking system was safe and trying to assure americans of that. a white house official told me this morning that they are continuing to monitor the situation and their focus is to protect small businesses and hold those responsible accountable. similar to what we heard from president biden yesterday, but all of this to try to project confidence in the economy and underscore stability. erica? >> lauren fox on capitol hill, you did see yesterday and this is the nature of washington today, some extraneous

conversation about these bank failures, james comer talking about how woke silicon valley bank was, maybe that was to blame. but i wonder, are you hearing among democrats and republicans substantive talks about possible legal, legislative changes going forward to prevent this kind of thing from happening? >> reporter: yeah, jim, it's still early, lawmakers are still not back in washington after the weekend. they are expected to return later this evening. we're probably going to get some more answers, but last night republicans did hold a call with their leadership to discuss the path forward and really the messaging path forward of how they want to discuss these issues. i got the sense from talking to members that there isn't a lot of appetite on the republican side to look at a legislative fix, perhaps to go back to some of those roll backs to dodd/frank that happened in 2018 and perhaps make some changes around the edges. does that start to develop over the next couple of days and weeks if this starts to intensify? i think that that's possible but right now republicans really making it clear they're going to sit on the sidelines when it

comes to legislative fixes. meanwhile, they are more than happy to blame the biden administration for increasing interest rates really quickly. arguing that that plus excessive spending and inflation concerns caused a situation where silicon valley bank was just really vulnerable and, therefore, failed. so that's what you're hearing from republicans. meanwhile, you have people like elizabeth warren who has been on the outsized voice on this issue for a long time arguing that there are changes that need to be made legislatively, she also sent a letter to the former president of svb arguing that she has some questions for him that she wants answered by the end of the month. really two very different approaches in how lawmakers are dealing with this. >> we will see how that shakes out. lauren, priscilla and christine, thank you all. all right. a health update this morning. senate minority leader mitch mcconnell is now out of the hospital in a rehabilitation facility after suffering not just a concussion, but also a rib fracture.

>> mcconnell was injured when he fell at a d.c. hotel nearly a week ago. we're told he could stay in rehab for a couple of weeks where he's undergoing some full therapy. the 81-year-old is the top republican in the senate, one of those prominent leaders on capitol hill. we will keep you posted on any other updates. former president donald trump wasting no time taking aim at florida governor ron desantis and of course not the first time he has taken aim at him, but this was on his first trip to iowa since declaring his third bid for the white house. trump doing his best to paint desantis as an establishment candidate despite the fact that desantis has yet to formally announce he's running in 2024. >> but you have to remember ron was a disciple of paul ryan who is a rino losing who is currently destroying fox. ron reminds me a lot of romney. >> republican voters in iowa lined up to hear the former

president speak, some told cnn they did like desantis, but want to give trump one more chance. >> true trump voters are going to stay with trump. he's already proven himself so we know what he's capable of doing and ron desantis he is an awesome governor, i love him as a governor, i just think it's not his time. >> i think mr. desantis should wait his turn and he's a good -- good governor, you know, and i think he would make a great president as well, but he's got to wait his turn and let president trump do this again. >> we're joined now by cnn political commentator s.e. cupp. good to have you on this morning. >> good morning. >> so some interesting numbers in new cnn polling this morning, it shows virtually a dead heat among republican voters between trump and desantis, 40% say trump is their first choice, 36% say ron desantis is their first choice, you see a big dropoff to

nikki haley, pence and others there. is this in effect a two-person race for the 2024 nomination or do you see a path for a moderate republican candidate or another republican candidate to emerge here if trump and desantis to some degree cancel each other out? >> i don't really see a path for a moderate republican candidate and i think as of right now it is a two-man race and trump recognizes that. i mean, you can tell from his speech in iowa and other speeches and rallies and comments to reporters, you can tell who he is most threatened by, it's who he talks about the most, ron desantis. as erica mentioned, who wasn't even announced yet. we will have to see if it's a strategy that pays off in terms of trying to neuter ron desantis early or maybe it has the opposite effect, jim, and it elevates ron desantis to have, you know, the last president of the united states from the republican party spending all of this time on someone who hasn't

announced yet, giving ron desantis free media on donald trump's own campaign trail. >> i mean, you're right, it's very clear who is in donald trump's head right now and that is ron desantis. nikki haley definitely isn't. maybe there was a little bit of mike pence. as we look at where things stand and we look at iowa, i was interested to hear from those voters who we just played a little bit of that sound saying, listen, ron desantis is great but we need him to wait, this is trump's turn. yesterday we heard from people in iowa who said we love ron desantis because he's basically donald trump without the package. it's interesting that you're getting those two messages, s.e. >> look, ron desantis is young, so if you are a trump supporter you have every reason to say ron is great and he will have time for this, but these trump voters in particular are still clinging to the, quote, unquote, good old days of the trump administration, that one voter saying we already know what he's capable of. indeed we do, that means

different things to different people, but, you know, look, trump is still very popular among republicans in iowa. he is a little less popular than he's been in years past, according to the most recent des moines register polling. republicans in iowa who definitely will vote for donald trump, that number has gone down 20 points since 2021. so he's got some convincing to do, but, listen, if you are a trump supporter you're going to be a trump supporter no matter what, no matter what ron desantis does or doesn't do. so that's somewhat baked in. >> playing devils advocate for a moment, if you apply the it's very early in the race test and look to history, early front runners in previous cycles, the jeb bushs of the world, rudy giuliani or early folks who were out of it like john mccain in 2008, then became the republican nominee, is it possible we see that again here? are we places too much stock in these two early front runners?

>> you know, anything is possible, jim, but, listen, it's a matter of math and then when you look at how condensed the republican party is, you know, trump only needs to own about 25 to 35% of the republican party. that's a sizable enough voting block to wholly own and fend off one, two, three, four, five, maybe more competitors. so it's a low bar for trump to win -- i think to win the republican nomination, it's a much higher bar to win the general, but it certainly benefits him the more people get in. he knows that and everyone else knows that. >> real quickly i was fascinated in some of this polling, too, they were asking about who would you be most satisfied with as a nominee. you have desantis and trump tied. the question is who would you most be dissatisfied with, mike pence coming in with 49% that people would be most dissatisfied if he were the

nominee. another 20 points below that is donald trump. he seems to be making an effort, mike pence, to maybe shift his talking points a little bit. he's going after pete buttigieg, he was now saying, again, trump will be held accountable, although, again, we need to remember he's refusing to sit, he wouldn't go to the committee, we have the subpoena issue when it comes to january 6. is any of this shift for mike pence enough to move that needle? >> no. no. i mean, i've been saying this for years, in fact, since -- since 2020. there is no natural pathway for mike pence because he has no natural constituents. obviously we know how trump voters feel about mike pence, they told us on january 6, many of them said they wanted to hang him. they believe that he was a traitor. and on the other side of the republican aisle, you know, my wing of the party that wants good conservatism to return, we

feel like mike pence betrayed good conservatism and good policy by carrying trump's water and abandoning conservative policies. there's no one left for mike pence. it doesn't matter what he says at the gridiron dinner, doesn't matter what he says on the campaign trail. every republican has an opinion about mike pence, none of which are good. >> goodness. s.e. cupp, always good to hear from you. thanks so much. coming up next, we are live in massachusetts as a nor'easter as they're known is just getting started. wow, that's a lot of snow already. more than 150,000 people without power in the region as some place right side expecting in the end more than 2 feet of snow. i thought it was spring almost. plus, president biden expected to sign an executive order on guns today as he visits the site of the mass shooting in monterey park, california. but can congress make any change? and still to come, cnn on the northern side of the u.s. border where the flow of migrants into canada has more than doubled in the past year. we will take a closer look at

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this just into cnn, the faa says a delta flight slid off the taxi way at syracuse international airport this morning. thankfully, no one was injured. syracuse is in the path we should note of a massive nor'easter storm, within 200,000 without power in the region already. four states of emergency declared in new york and parts of new jersey as heavy snow threatens those states and other parts of new england, some areas could see as much as 30 inches of snow. >> that is a lot of white stuff. cnn's derek van dam is in worcester, mass, chad myers at the weather center. derek, we have watched this storm change with you with every live shot this morning going from the rain to now pretty heavy snow that we're seeing there and it's going to last for a little while. >> reporter: yeah, these snowflakes are massive and they're piling up very quickly. that's a great snoet because it started out as rain, a very

cold, wet, miserable rain this morning, but now that it's transitioned over we're getting about 2 to 3 inches an hour and it's picking up in intensity. you can literally squeeze the rain drops out of this. i want to give you a perspective of where we've been at all morning. the crews here at the salt barn for worcester county are working overtime filling up the salt trucks as well as the roadway clearing machines that just doing their best efforts to try to keep up with these impressive snowfall rates, but as heavy as this snow is, we're going to start seeing the winds pick up. remember, some of the trees starting to bud here, so we're going to get that snow load that is going to make the potential for the combination of wind and snow to bring down tree limbs, power outages are going to spike, you've mentioned over 200,000 customers without power. i want you to get to the radar quickly because i want to show you how hair pin precision the forecast for this is. right along the coastline near

boston this is rain, they have warm nose, the influence from the ocean waters but just inland where i'm located worcester, berkshires, the catskills, this is ground zero for the heaviest snow. 1 to 2 feet anticipated as this nor'easter takes grip and we are seeing the impacts on the roadways, the massachusetts turnpike, for instance, being snow covered the further inland you travel seeing the impacts at the airports as well with laguardia currently having a ground stop as they deice planes and deice the runways. this storm really starting to crank up along the east coast. back to you. >> goodness, lots more to come. chad, lots of state in the path of the storm. looking at my watch i think we are a week from springtime, certainly doesn't feel like that. how long is this going to last up there? >> it's new england. >> weren't you listening to punxsutawney phil? punxsutawney said six more weeks. we are still in the middle of that. a quick note about the delta plane in syracuse, it was taxying to takeoff, not that you

were wrong, i'm just letting people know, it wasn't slowing down from landing. so it was just at that taxi on the way to takeoff and that's usually 10 or 15 miles per hour and then the nose gear just kind of came off, moved over into the grass. otherwise here is the snow now, and derek had it right on, i mean, the line from snow to rain is now just set up in those boston suburbs and it is heavy rain. it is heavy snow. it is 5 to 1 snow which means normally 7, 10, 10 inches of snow to an inch. now we are only seeing 5 inches of snow to an inch of water which means this is going to be heavy stuff to shovel. this is going to be back-breaking work to move what could be setting up to be a foot or a foot and a half of snow in some of these areas. when you get that kind of weight you can get that weight on branches, on limbs, on your home. so things can be coming down later on today with this weight of this snow. we're already seeing more than

100,000 people without power and that number will likely grow because the wind is going to pick up as well. winds are going to be in the ballpark of 50 to 60 miles per hour on top of some of these foot, foot and a half snowfall. so here is the wind now, even into new york, pennsylvania, moving on up toward new england, even toward maine and some of this, again, this afternoon and this evening gusting to 50 or 60 and that's why we're seeing so many potential outages here across with impacts significant across new england for today. now, a lot of people along the coast saying, hey, it's just raining, but, wait, because after sunset this is all going to get colder and this line between rain and snow is going to start to creep toward boston and i think you should get your shovels, especially the western suburbs of boston, even though it's raining now, it won't be all night. >> that raises other concerns, too, about black ice, right, chad? a lot to come there. appreciate it. thank you.

all right. still ahead, president biden preparing to take new action today on gun violence. our next guest has been doing the math, some real good research on just how many guns are actually on the street and what the numbers show could make a difference in legislation. stay with us, it's an interesting conversation. somewhere out there is that one-in-a-million. someone who thinks with their hands. who can shape raw materials into something meaniful. and who wants to serve in their ownay.

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as long as you can make an impact, why stop?

today president biden is announcing a new executive order in his latest move to try to tackle gun violence this this country. he is directing the attorney general to ensure existing laws on background checks are actually followed. the move comes as legislative efforts have all but stalled

with a republican-controlled house and a nearly deadlocked senate. >> so in just a few hours the president is set to meet with the families and victims of a mass shooting in monterey park, california. in january a gunman killed 11 people at a dance study there, the deadliest mass shooting so far this year. sadly if the numbers tell us anything it's that it won't be the last. joining us now jennifer massey, senior writer for "the trace." you recently did a deep dive. we talk about guns and gun violence. the minute one of those words enter a conversation things become political. you went for a deep dive in the numbers because we've heard a lot, you know, there's more than one gun for every american, part of the problem is the number of guns that are actually out there floating around in this country. what did you find? >> so, you know, we've heard for years that this is some unknowable number and all we have are estimates and ranges, but, you know, it's not an unknowable figure. the atf keeps production figures going back to 1899 so i went

digging through these records and i found that 465 million guns have been produced in the last 125 years for the american market. it's mostly the vast majority are handguns, whereas, you know, 30 years ago our gun culture was very much hunting and recreation, now it's concealable handguns for self defense. i also wanted to see, you know, we had record gun deaths in 2021, we had nearly 49,000 gun deaths just for that year, and i wanted to see what the effect was of all these guns flooding the marketplace on gun deaths. when i charted them both, the visual was just stunning. they appeared to rise and fall in tandem over the last 50 years. so it really does raise the question what are all these guns doing? are they contributing to gun violence? and it contradicts that argument that the only thing that can stop a bad guy with a gun is a good guy with a gun.

at what point are all these guns going to lower gun deaths one could ask. >> as you show that and we can put it up on the screen den g. en it does appear that the production is in line with jumps in gun violence is there. another question you address and by the way the research -- if you are watching at home it's worth looking at this online because the research is fascinating. you found that while rifles and shotguns outsold handguns until the 1990s, when it began as you were just noting marketing weapons to be concealable as self-protection, that actually handguns have been more involved in a lot of these shootings we're seeing. so tell us what you found in that data here and does that indicate that they may be a smarter focus of new legislation than assault weapons? >> yeah, i mean, assault weapons are responsible for, you know, mass casualty incidents, they are deadly and, you know, it is understandable that it's a very visible aspect of gun violence,

right? but most mass shootings and most every day gun violence is perpetrated with handguns. really a more direct way to address that would be to deal with how we vet gun buyers. you know, compared to other countries, our vetting is really quick, it's a two-minute criminal background check. you know, it really is about gun access and who we're allowing to have these guns. so, you know, about 30 years ago gun industry marketing changed and it became u need to protect yourself, you never know what's out there, you know, have a gun at the ready. and that really has had an effect on american gun buying. we see that 58% -- 57% now of gun production in 2021 was handguns so that message has really been taken to heart by the american people and there are a lot of easily accessible firearms and a lot of times they are not locked up. >> it's interesting because i saw that you noted to that point, too. i mean, we've talked about this executive order that's, you know, from the president today

directing attorney general merrick garland to ensure these existing laws on background checks are actually followed, but it seems like anything else certainly getting anything done in congress feels like a lost cause these days. you make the point that maybe it's time to bring in the gun manufacturers and when you talk about the advertising i immediately thought of what happened, actually, in connecticut last year, the sandy hook families ended up settling with remington, but they had sued specifically the company violated connecticut's -- i believe it was the consumer protection law, tell me if i had that wrong. they ended up settling and i remember because i was there covering it, for $73 million. the families will tell you very clearly this was in no way about the money. they wanted transparency because part of that settlement was that remington had to make available documents that they expected would also show how they were marketing, to your point, how they were marketing these weapons. based on botha settlement and what we're seeing in terms of the climate today, is there, you think, any appetite among these

gun manufacturers to get involved in something that can cut back on the violence? >> you know, the gun manufacturers could decide tomorrow that they want to more closely regulate who is getting their products, right? there could be self-regulation. that's not happening because guns are very profitable and, you know, when we have visible aspects of gun violence like mass shootings, it drives gun sales. so there's that vicious loop. the ftc actually -- one of the biden's executive orders was to direct the ftc to produce a report about how fwns are marketed not just to young people torques my northwest, but how military-grade weapons are marketed to civilians which is the beginning of really exploring this, but, you know, when i did high research i realized, you know, the one person -- or the one party missing in this discussion we always go to lawmakers, we go to experts, where are the gun companies? we never really hear from them.

and what responsibility do they have to, you know, regulate how their products are, you know, being sold and who they're being sold to. it seems like they have the ultimate responsibility, yet we never really seem to hear from them. so this executive order is just the beginning of, you know, more information. for years we, you know -- studies were discouraged. now with these executive orders president biden is hoping to get this information out to just start that discussion. >> i mean, studies were discouraged, they were even blocked by some acts of congress by republicans on the cdc gathering such dat. jennifer mascia, you are doing important work and it helps inform the conversation. thank you so much. >> thanks. a terrorist convicted of a deadly isis-inspired attack on a new york city bike path was spared the death penalty monday after the jury failed to reach a unanimous decision. >> now he will spend life in prison for deliberately driving

a rented u-haul truck on to that bike path killing eight people. this happened on halloween in 2017. he will serve the sentence at a federal prison in colorado spending at least 22 hours a day in solitary confinement. just ahead here -- >> right now you are under arrest for crossing the border of canada. >> it's illegal to enter canada here, if you do so you will be placed under arrest by the police. >> cnn goes to a stretch of road between the u.s. and canada which is seeing a sharp increase in the number of migrant crossings but canadian officials are now warning about that northern border. that's next. ed to symbolize the environments we travel. today we unite with the elements that have always been at our core. as every action counts, we are committed to buildining vehicles that contain an average of 40% recycled materials. repurposing g waste, such as old fishing nets. and, going all electric by 2030. land. sea. air. join us on our journey to a more sustainable future.

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seekers, the centers will specifically help single men. >> it comes one week after the city announced it would also open a 24-hour, seven day a week arrival center. mayor eric adams says more than 51,000 asylum seekers have arrived in the city since last spring. 31,000 remain in the city's care. among those migrants who leave new york city, some are headed even further north to canada, making a dangerous journey in often frigid temperatures. >> officials say they have seen a dramatic increase in the number of asylum seekers in canada. cnn's polo sandoval recently traveled to the rocks and road crossing and that specifically is a point where they're seeing a real surge in migrants every day. >> reporter: on a lonely frozen stretch of upstate new york, a dead end. this is where the u.s. and canada meet at a makeshift unauthorized crossing known as rocks and road. anyone who treks across the border here into quebec is told

by canadian authorities they will be immediately arrested. >> i have to advise you it's illegal to enter canada here. >> right now you are under arrest for crossing the border of canada. >> it's illegal to enter canada here, if you do so you will be placed under arrest by the police. >> reporter: every day a seemingly unending stream of asylum seekers cross the line anyway. warnings are everywhere on this road in champlain, new york. they don't deter the stream of people, many of whom have cobbled together a way to get to manhattan then take a bus to a town 28 miles south of here and then pay a driver to drop them off at this tiny corridor. they aren't aware of what lies ahead and the cold they will face along the way. >> let me see about a jacket. >> reporter: some community members trying to help, providing them with warm clothes that they will need. >> it's okay. it's okay. >> reporter: people from all over the world are crossing rocks at historic rates. we met a family from nigeria, a

man from russia. >> no money. no money. >> thank you. thank you. >> reporter: and this south american mother in tears. tells me she's been traveling many days to get here. she tells me she and her 23-year-old daughter were denied foreign visas last year, guerrillas in colombia threatened to kill her, she said she was forced to close her business and flee. i feel like i can have a better quality of life in canada instead of remaining in the u.s. she told me, before she stepped over the border. after a brief detention she will likely be released to join fellow migrants who are learning the asylumss in canada isn't easy, either. these last few years have seen an influx in crossings that canada is not prepared to handle. simply securing appointments to obtain a work authorization can now take months or longer >> this individual crossed in february and you're seeing that their dates actually february

11, 2025, so two years. >> reporter: about an hour north of the border this man helps lead the refugee center in montreal. >> a dramatic increase from the numbers we are used to seeing historically in canada. >> reporter: a nonprofit working with the government to help guide asylums through the process. >> january saw an increase from december, february saw an increase from january. >> reporter: government figures show a record 39,000 unauthorized entries into quebec into the u.s. in 2022, nearly all according to experts entered through rocks and road. in january alone crossings here neared 5,000, compare that to more than 2,300 a year before. u.s. and canadian officials are discussing potential changes to the safe third country agreement, a loophole in that treaty is incent stridesing migrants crossing from the u.s. to use rocks and road. >> the way to close rocks and road is to renegotiate the safe third country agreement with the united states, which is something that we've been working on for many, many, many

months now. >> reporter: separate from roxanne increased number of migrants from mexico are making the perilous journey south over the snowy border, the u.s. border control showing these groups with infants and children in the subzero temperatures. consular officials telling cnn they will fly to canada and take their chances through walking through frigid woods and farms. additional 25 agents will be sent to nearby border control sector to help them deal with the increased flow of migrants heading south across the border. now, the numbers we've seen here on the northern border certainly pale when you compare to the situation on the southern border 2,000 miles away from here. we just saw a reminder of the politics and certainly the people at play. polo sandoval, cnn, champlain, new york. >> fascinating to see. thanks so much. still ahead, deadly attacks, more of them, in ukraine today. cnn on the streets of kramatorsk in the each where russian attacks hid a residential neighborhood once again.

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someone who thinks with their hands. who can shape raw materials into something meaningful. and who wants to serve in their own way. if you're out there. if you're looking for more. we're looking too. we're calling on a new generation of builders for navy's next-gen submarines.

taiwan has unveiled the first line of

domestically-produced attack drones as china is asserting the territorially asserted claims over the island and the military drills of japan and u.s. are increasing as china increasingly claims dominance. and australia and u.k. and u.s. meet to talk about at the submarine increased drones. and so you put all of this together, and then it is a broad and quite important alliance of the u.s. and u.k. and australia on the submarines. >> this is more than a decade in the agreement and it will take decades to play out, and that is a signal of the u.s. commitment to the region and the china's intent of the region and not

vis-a-vis taiwan, but the growing assertiveness it is showing with the navy and the air force and the intention of the biden administration's intention to counter that. and so in the first phase, the alliance will counter with submarine conventionally armed so think torpedos, cruise missiles and special operations can use these submarines, but crucially not ballistic missile submarines and the administration has pointed that out again and again, and then in the second phase the process of the more advanced submarines by

2030s, and then also new advanced submarines by the 2040s with u.k. and australia to design those. and so before this was announced china saying that the u.s. has gone down a long and dangerous road and claiming that the u.s. is destabilizing region. >> thank you, oren liebermann. we will keep a close watch on those developments. and now russia says that the defense department is asking for $6 million in new munitions funding to resupply the s stockpiles that are going to

ukraine. and now, there are more strikes in kramatorsk where ivan watson saw the damage firsthand. >> we are in cram skramatorsk w they say a russian strike hit a three-story apartment building where one person was killed and another in critical condition, and other people wounded as well. it has shattered the windows all throughout the courtyard here where there are other similar buildings, and at a kindergarten which is just behind where tom is right now shattering all of the windows there. one of the remarkable things about what we are seeing right now is that no one is complaining. no one is crying. people are just getting on with the work of cleaning up the

destruction, of cleaning up what is left of their homes. as you can see, somebody is taking their collection of books out of their apartment which probably is not going to beleyable for the near future right now. this is not the first time that the city has been hit by a deadly russian projectile and it has been pounded by rockets and missiles. we are located about 25 kilometers away from a very active front line, and 15 miles, and i have operated in those areas in the last couple of days and the artillery is thundering around the clock there. and there is a huge ukrainian military presence there, and the kindergarten that i visited thankfully, mercifully had no children there and they were evacuated there and the kindergarten has been closed for some six months, and this is part of the reality of what people are living in, ukrainians in eastern ukraine, and back to

you. >> some of the russian attacks are deliberately attacking, and we have seen it for so many months. thank you, ivan watson. why the drug train rite aid is -- the drug chain rite aid is part of the justice department target of the opioid crisis. we will have morore comiming u. s medicare doesn't pay. because the time t to prepare is before you go on medicare. don't wait. get started today. call unitedhealthcare for your free decision guide. [♪] if you have diabetes, it's important to have confidence in the nutritional drink you choose. try boost glucose control®. it's clinically shown to help managelood sugar levels and contains high qun to help manage hunger and support muscle health.

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top of the hour now. i'm jim sciutto. >> i'm erica hill. a good sign for the u.s. economy at the hour. key piece of data which is showing how much you are paying for just about everything is showing that the price increases are cooling, and the fed is going to be using that information of course as it is weighing what to do in terms of additional rate hikes. the other bit of informa