when they arrived, they found christine's car in the driveway. >> christine. christine! >> inside, they found christine lying in a pool of blood. one of ken's co-workers called 911. >> what's going on? >> somebody's fallen down the stairs. she fell down the stairs and hit her head. >> is she still breathing? >> i don't think so. >> when paramedics arrived, there was little they could do. >> she was dead by the time they had arrived. >> at first glance, it looked as if christine had tripped while carrying the laundry down the stairs. apparently, her head hit a ship's bell that they stored in the basement near the steps. >> he said that she was wearing some sort of dangerous black shoes that she had tripped on once before. >> but to investigators, something about the placement of the shoes didn't seem right. >> i noticed halfway up the staircase, it was a right shoe on the left side of the staircase as you're descending. if it was going up the stairs, it's not going the fall in this position. that was a little bit odd to me. >> during christine's autopsy, the medical exami

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>> reporter: that is right, christine. for the sunnis and tribal fighters they have been calling for the weapons trainings for a long time. this is crucial. they will be important when isis is kicked out, when it is kicked out and if it is kicked out to control the area because these are sunni areas. iraq foreign minister has said they still need more. >> i don't think this is the frankly the only answer. this may be part of the answer and small part of the answer. i know we are in need of training and in need of equipment and in need of weapons. we are in need of intel against and get intelligence. to know where the strong points of isis and weak points of isis. what to do. this is unfortunately unavailable unavailable. >> reporter: and visiting the front lines, commanders told cnn what they need is more weapons. they want more weapons. they know how to fight. another iraqi commander says he doesn't believe the united states is committed to defeating isis saying he has fought against the united states. he has been dealing

. >> i'm christine romans. it is 4:00 a.m. in the east. new york prison escapee sweat has been shot by police. the other convicted killer richard matt was shot and killed on friday. a crowd cheering governor cuomo as he announces the nightmare is finally over. >> today ends with good news. these were really dangerous, dangerous men. both matt and sweat. they were killers. mr. matt killed at least two people. mr. sweat killed a sheriff's deputy in broom county in a savage way. these were dangerous people. we could not tolerate them being on the loose. >> cnn's alexandra field has the latest. >> reporter: christine, john a single new york state trooper being hailed as a hero by governor cuomo. he made the capture of david sweat. the fugitive on the run for three weeks after breaking out of the prison. sergeant jay cook found someone walking in the town of constable. sweat took off running. sergeant cook fired twice striking sweat twice. he has been taken to albany center for treatment. he was unarmed at the time he was confronted. he was fou

jon and christine? >> the focus in charleston this morning is on the nine people killed in this horrific attack as it should be. the community came together at emanuel a.m.e. to remember and look forward. martin savidge has that story. >> reporter: jon and christine, the church was filled to capacity and beyond. many people felt they had to be there. the couple i was sitting next to said they were simply walking by and felt compelled to walk into the church. on the other side of them was a woman whose family has been attending this church for over 100 years. a very mixed kind of congregation. initially people were nervous. security was tight. uniformed police officers were patrolling in the outer aisles. there were some nerves. then the grand organ played choir began to sing and it just felt right. much of this service was very normal normal in the sense of similar kind of hymns you would have the kind of prayers you would have. it was deliberately meant to be that way, to deliver back the sense of comm

." >> i'm christine romans. the manhunt intensifies for two convicted killers from upstate new york. officers are using blood hounds and searching door-to-door. the drag net is widening. this is an international manhunt stretches from canada 20 miles from the prison to mexico. authorities are also zeroing in on how richard matt and david sweat managed to escape and who may have helped them. the latest from jason carroll. >> reporter: john and christine, investigators still following up on hundreds of leads that come in to them. one in particular in terms of the investigation is dealing with the woman who worked at the prison. she knew richard matt and david sweat. worked with them tailoring clothes. it is unclear what she had to do with the escape or if she did. both in side by side cells and were able to access tools and cut through a wall and catwalk and underground pipes 24 inches wide and emerging on the other side. outside of a manhole located just about a block or so from the prison. i spoke to a man who u

john christine. >> thank you, miguel. details about the female prison worker who may have helped the two convicted killers escape. the corrections officials received an anonymous complaint about joyce mitchell over her relationship with one of the inmates. she was not disciplined. mitchell said richard matt made her feel special. she is now cooperating with investigators up until last night she did not have an attorney present. she was answering questions. at this point she has not been charged with any crime. >>> there is probable cause to charge two police officers in the fatal shooting of 12-year-old tamir rice last fall. community leaders asked the judge to intervene insisting they don't trust prosecutors, but his ruling is largely symbolic. >> it's important to realize that we're not different spot than we were 24 hours ago or 10 hours ago. prosecutors still have to make the decision. >> it was great to see people using the tools that are available to them in the system taking them and using them to find justice. no

christine, john? >> thanks to jason carroll for that. >>> new details about the months leading up to the deadly rampage at emanuel ame church in south carolina. in february the killer launched a hate-filled website with a manifesto. in april he used the money from his 21st birthday to buy a gun. then he began a twisted tour of south carolina sites connected to slavery and the confederacy. but instead of the race war that this man says he hoped to spark, the shooting seems to set the stage to change the political climate across the south. later this morning a rally is planned at south carolina statehouse calling on lawmakers to support removing the confederate battle flag. this comes after south carolina governor nickkki haley called for the senators to remove the flag. this comes after the speaker of the mississippi house says he wants the confederate symbol removed from his state's flag. get this walmart announced it will remove all rebel flag merchandise from its stores. these are big, sweeping chan

christine. >> nick in baghdad. thanks. >>> new this morning, they keep recovering bodies following the monday cruise ship disaster on the yangtze river. the "eastern star" has been turned upright and all hope gone of finding anyone alive. what was a rescue operation is now a recovery. a total of 97 bodies have been found so far. 14 people rescued. the last of them on tuesday. more than 300 people remain missing andin what could be the worse chinese shipping disaster in years. >>> we are hearing from edward snowden for the first time since the fight over the patriot act. snowden speaks in favor of the changes to the patriot act which strip the nsa authority to collect data on american phone calls. he says we are witnessing the post generation one that rejektscts the world defined by a tragedy. we see the politics turned away from reaction and fear. this as we learn the white house expanded the warrant list of internet traffic in the effort to combat computer hacking. >>> delaware is mourning one of its favorite sons

good morning, ian. >> reporter: good morning, christine. first, i want to take you to the battlefield outside of ramadi we're hearing that isis has stopped the water flow from the dam just outside of the city. drastically lowering the level of the euphrates river, this is cutting water off, lowering the water to government-controlled cities downstream hallkhalidiya and habbaniyah. we're hearing this could be a tactic by i.c.e. using it as a strategic maneuver to lower the river to help their forces maneuver. while this is take place, that meeting in france wrapping up 24 foreign ministers and delegates from different countries talking about the best way to move forward against isis. we heard from the prime minister of iraq a lot of criticism saying more needs to be done including aerial surveillance to locate and strike isis targets, but the u.s. came out with a bit of a different story saying that the strategy right now, both militarily and politically is working that it should maintain going forward. so you're really hearing that the grou

christine. >>> thank you, rene. it is dangerous and insulting because of the time you spend in line at the airport. >>> expected later today, a vote in the senate on restoring the nsa surveillance programs that lapsed sunday night. on monday rand paul thwarted mitch mcconnell's efforts. senator paul wants to tweak the bill adding more restrictions on nsa spying. any measure would send that back to the house and extend the expiration. >>> and secretary of state john kerry arrived in boston for surgery on his badly broken leg. he broke his femur on sunday in the french alps. nuclear talks with iran hit a critical stage and less than aprila month. his staffers insist he is working by phone and firing e-mails. the injury will not affect the talks. iran's stockpile of nuclear fuel has increased 20% during the last 18 months according to the report. the white house is claiming the nuclear production is frozen during the talks. >>> secretary kerry having to call in to a meeting in paris today. senior officials from the u.s

even before christine lagarde's comments. julie: obviously this is big but theremarkets is other news that we should be looking at when it comes to the markets. it does involve the telecom group. t-mobile and dish after a wall street journal report that the two were in talks potentially for a combination. we have seen dish and t-mobile rising. this would bring together two of the biggest personalities in telecom, charlie ergen who would be according to the journal, chairman of the new organization, and john ledger, who would be ceo. a callout of at&t and verizon regarding their own recent acquisitions. corn to jpmorgan it is upgrading at&t to an overweight saying the direct tv deal should close soon and that should be positive for at&t. verizon's acquisition of aol is not going to be as exciting in the eyes of jpmorgan. that stock was downgraded to neutral. the move we are seeing in casinos. a rebound for the casinos that depends on macau. las vegas sands wynn resorts, mgm all on the rise. deputy chairman that the gaming busi

. >> i'm christine romans. friday june 12th. 4:00 a.m. in the east. let's start with two dangerous inmates on the loose in upstate new york in the seventh day. the latest has investigators focusing on the wooded area three miles from the maximum security prison where richard matt and david sweat escaped. police believe search dogs have picked up their scent. towns are on lockdown. the longer the search goes on the more likely these two will commit another crime. miguel marquez has more. >> reporter: the search is still on miles from the prison. we are about four miles from the encampment that the officials found. they say the scent dogs are searching the area behind us. this roadblock has been tight now that night has fallen. people in the neighborhood are paranoid. even afraid to leave their homes. >> i got home in time before they blocked the road off, but shortly after i got home they closed both ends of the road and would not let my sons come home. >> i feel like i'm going crazy being indoors. i feel like a prisoner in my home because i have the d

experts say this is the biggest blow to al qaeda since the killing of osama bin laden, christine christine. >> these are terrorists who want to take on america in their own backyards and homes. they have the ability and bomb making capability. what does this is a about american and western intelligence in yemen? >> reporter: christine, this is a great achievement at a time we saw the reduced footprint. as you know over the past few months with the deteriorating security situation and the war taking taking place in yemen. the u.s. pulling out troops. there is no real u.s. intelligence presence on the ground. yet we are still seeing these attacks and targeted drone strikes taking place. we are still waiting for u.s. confirmation at this point. in recent months christine, we have seen last month another senior commander of aqap announced killed in a u.s. drone strike and another one before that. despite that it does seem we are seeing these targets of killing taking place despite the current situation. if we look at what's going on in libya. the targeting of aqim. al qaeda in the islamic musl

christine? >> it sure will. jason, thank you for. >>> for days now authorities are warning how dangerous richard matt and david sweat are. few people understand the threat like in a 1977 crime. lee bates served 50 years for the murder of richard rickerson. >> torture is probably an understatement because once -- at different points during the commission of what was the crime there, he used duct tape to tie mr. rickerson up. he beat him with anything and everything that he possibly can, a knife sharpener, security device the club for my automobile. he physically grabbed mr. rickerson's hands and pulled his fingers back until they snapped. punching him, beating him. starting from in the house throughout the car ride and then eventually when he opened up the trunk and mr. rickerson told him i'll take you to the money, let me out, and richard matt there then said "i don't believe you, i don't believe you. you've been playing games with me i don't believe you." and a fit of rage, he reached into the

i'm christine romans. john berman has the morning off. happening now, the manhunt for the two who escaped from the maximum prison from new york. the governors of new york and vermont holding a news conference. the governor andrew cuomo saying authorities believe richard matt and david sweat discussed vermont as a destination. and police closing a state highway pursuing a tip and more information coming to light on the connection with the fugitive and the woman, joyce mitchell who worked in the tailor shop. mitchell's daughter-in-law suggesting she may have been duped by people outside of the prison on behalf of matt and sweat. matt suggested he was interested in art and she contacted people on his behalf. let's bring in the latest on the investigation with jason carroll. >> reporter: police will retrace their steps in front of the prison knocking on doors and searching every building and not wanting to leave any stone unturned. they have 500 leads that they will be following up on. including one lead that

christine, john? >> all right, jason carroll, thank you for that. >>> our other big story this morning, we're learning about new details about the months leading up to dylann roof's deadly rampage at emanuel ame church in charleston south carolina. now, in february after roof apparently launched that racist website with that long hate-filled manifesto, he used the money from his 21st birthday in april to buy a gun. then he began a twisted tour of south carolina historic sites connected to slavery and the confederacy. and then last week's massacre in charleston. but instead of the race war he says he hoped to spark, the shooting seems to be set to change the political climate across the south. later this morning, a rally is planned at south carolina's state house, calling on lawmakers to support removing the confederate battle flag. it comes after south carolina governor nikki haley reversed her earlier position and joined both of the state's u.s. senators calling for the flag's removal. this as the sp

christine romans on assignment for another few minutes. new this morning, we have information about the terror suspect killed in boston. officials say came at them with a knife. sources say usaama rahim once had a plot to behead a controversial activist. the 26-year-old changed his mind and decided to target police instead. let's get the latest from correspondent pamela brown in boston. >> reporter: john, we have learned that the terrorism suspect killed in boston tuesday morning, usaama rahim, a second suspect arrested david wright and a third suspect met on the beach this past sunday to talk about the plan to go to new york and behead pamela geller. she organized the prophet muhammad cartoon drawing contest in garland, texas where the attempted terrorist attack was held. they wanted to go there and behead her as part of the plot. according to authorities, rahim changed his mind on tuesday morning and called his friend david wright and said he did not want to wait to go up to new york and he wanted to do something in boston and kill polic

good morning, ian. >> good morning, john and christine christine. there is increased activity around palmyra. the past 48 hours, there have been multiple air strikes by the syrian regime. at least ten people killed including children. we're hearing reports of a build up by the military regime on the outskirts of the town in a potential bid to try to retake it. palmyra is a strategic part of syria. it sits on a crossroads leading to damascus and holmes. we don't know why they're laying these mines. one theory is they're preparing for an attack. one is a deadly attack to stop the advancing army. the other theory is that they could be preparing to blow up the ancient sites, which unfortunately we've seen in the area they control. but both theories don't bode well for the ancient site there. intentions unclear, but the outcome pretty clear. thanks so much for that ian lee in cairo for us. ash carter defense secretary is speaking today in berlin calling for a united nato. he will label what officials call america's strong but balanced approach outline to

lisa: do you agree with christine lagarde? mike: no, i do not. you look at unemployment, it is effectively the fed's long-term target. inflation is a little bit low but not terrible. if it ticks of the little bit, it will be in line. it seems the fed has waited a very long time. the markets probably get hit a little bit with the way -- with the rate hikes, but if we cannot face a small increase, we all have big problems. betty: christine lagarde just set the world on a bigger -- we are already watching the fed, watching them even more. i hear what you're saying, mike, that likely they will still go in september. it does not really change very much. but she just made it a whole lot harder for janet yellen. didn't she? mike: i don't think so. when you think about what the fed cares about, the fed will give lip service to international the developments. it but that phrase in the statement of publishers ago, but it does not -- the fed cares about the financial markets. if something goes badly overseas, the fed will pay attention. it did in 1998. 2008

i'm john berman. >> i'm christine romans. police laying out a drag net across new york state who escaped from a prison. richard matt and david sweat tunnelled out of the new york in that facility. we have polo sandoval with more. >> reporter: the correctional officers are surrounding the facility itself. we had to go through three separate checkpoints to get to this location. authorities checking every vehicle that is really leaving the area and also that is making its way here. if you look off to the distance you may be able to see temporary flood lights set up. that marks the very spot where this manhole is located. this is the location where sweat and matt are believed to have used this as an exit point. just before that authorities believed that they actually used several tools to dig through about a 24 inch wall in the rear of the cell. from there, they entered a steam pipeline and they accessed the underground tunnels and drains as well to end up here. this morning, the u.s. marshals service has filed warrants for the m

let's share what christine lagarde at the imf had to say. lagarde: we think that there is a case per waiting to raise rates until there are more tangible signs of wage or price inflation than are currently evidence. believetherrd words, we that a rate hike would be better off in early 2016. joe: everyone was really surprised by this comment and i cannot believe the imf is telling the fed what to do. i did not find it that ridiculous. the fed has told the ecb what to do. they have told the ecb they should do qe. the fed has advised the bank of japan. they are always telling smaller countries what to do with their economies. we should get over it. they listen though? does janet yellen say, yeah, let's talk about this? that yellent think is going to consider what christine lagarde has said it all. i do not think it will have any impact on policy, but i did not find it that ridiculous. we did wind up seeing a reaction in the bond market. year yields were up 1%. we had the 10 year up at its highest level since october and it kind of reversed. we

john and christine. >> thanks michelle. another detail about the chinese involvement. investigators believe workers for the chinese military are compiling a database of americans information. it is not clear the purpose of the database is. the chinese government is denying claims. the embassy says cyber attacks across countries are hard to track. jumping to conclusions and making hypothetical accusations is not responsible and counter productive. there are a lot of things including the disputed islands in the south china sea. surveillance flights. the chinese and u.s. with the bristling relationship. >>> new details about the boston area suspects who authorities say were initially plotting to behead pamela geller before turning attention to police. officials say one of the men involved in the plot was encouraged to launch an attack by people overseas connected to isis. we are also learning more about why police moved in when they did to question this man, usaama rahim. was that approach that ended with officers shooting rah

christine. >>> thank you. happening now, g-7 world leaders meeting at a picturesque castle in the german alps. this follows the focus from sunday blunting russian aggression from ukraine. for the latest on the g-7, let's bring in atika shubert. atika, not long ago, they were g-8 summits. russia got disinvited and now they are discussing what to do about it. >> reporter: more than half of the discussion president obama had with angela merkel yesterday was how to stop russia aggression and the u.s. holds fast on the sanctions that they hope pressures russia's hold on eastern ukraine. prime minister abadi will have a session with president obama. he actually has a number of things on his agenda and talking about the fight against isis. he will speak about terror threats in other regions as well. he is sitting next to the newly elected president where they will talk about the threat of boko haram. quite a bit to get through today. they start with the planning session. we may have more after that. pr

christine lagarde says the imf has reason. we believe the trade-off between starting to early and risking disinflation and having to return to lower rates is higher than the risk of slightly above 2% inflation going forward. just last month janet yellen said she still expects to raise rates this year. members have raised -- open the door to a rate hike. going to be really interesting how the imf advice plays at the fed. the central bank does not take too kindly to outside pressure. we will see if this has a difference. pimm: thank you, peter cook, our chief washington correspondent. i sawi was shocked when the headline roll across. a massive surprise. pimm: more on what treasuries are doing, rising for the first time in four days investors may be reevaluating whether. it has gone too far. -- thepoint the yields yield on the 10 year german almost half a percentage point to the highest level since october. pimco's chief investment officer for global fixed income explained what is driving the market earlier on "market makers." >>

christine? >> thanks, joe. >>> what is your next move after finally announcing you're running for president? former florida jeb bush stopping by "the tonight show" tuesday to show jam the news with jimmy fallon. >> you don't want to mess with little jebby. when it comes to debating, he's a master. ♪ he's a master debater >> now, while we are talking about the issues, where do you stand on immigration? >> well, jimmy, we are a nation of immigrants and i believe everyone should have the chance to achieve the american dream and to translate for that for all of your spanish speaking viewers -- [ speaking in foreign language ] >> whoa, whoa, whoa, whoa. hold the telephone-o! i know you just got back from miami but i didn't think i was interviewing governor pit bull! ♪ >> fireball! >> it was the first-ever late night appearance for jeb bush. >>> golden state warrior fans celebrating this morning. the team winning its first nba championship in 40 years! andy schoals joins me live. that's next. >>>

christine, john. >> thanks miguel. new information revealed by david sweat to be good news for gene palmer. palmer is charged with aiding the escapee bypassing hamburger meat to the inmates. officials say david sweat told investigators palmer was not involved in the escape. he did not know about the blades in the meat. the plot involved sweat, matt and joyce mitchell. even so, police believe others had a hand in the escape even if unwittingly. >> for these guys breaking out and evading police. joyce mitchell was plan a. there may or may not be others involved in this unknowingly. when you add those all up it is like building a wall. everybody, i think provided a brick, so to speak, until their plan was complete. >> new information this morning about what is happening in the aftermath of everything that went wrong at clinton correctional. the fbi is launching a federal investigation. agents looking into a drug trade. the officials say investigators are looking into if the escapees were involved with the alleged drug tra

imf director christine lagarde weighed in on that yesterday. christine lagarde: we think there is a place for waiting to raise rates until there are more tangible signs of wage or price inflation than are currently evident. so in other words, we believe that a rate hike would be better off in early 2016. vonnie: later today we will hear from new york fed president will dudley. hackers from china are being blamed for a massive data breach. they broke into office of personnel management community -- personal management computers and stole records of federal employees. alexis tsipras has raised the stakes. he has decided to spur the payment that was used to the imf today. instead, he will bungle them and make them at the end of the month. no country has done that and more than three decades. meanwhile, he had a phone call with angela merkel and francois hollande can projected -- and rejected demands -- today he will have a phone call with russian president vladimir putin. greek officials say they have cooperation in business and energy. goldman sa

christine, john. >> alexandra, thanks. information revealed by david sweat may be good news for gene palmer. palmer charged with aiding the two. there were hacksaw blades in the meat. david sweat said palmer was not involved in the escape and he did not know about the blades in the meat and the plot involved sweat and joyce mitchell with matt. still others may have had a plan in the escape. >> for as intelligent, breaking out of the maximum security price and evading police joyce mitchell is plan a. there are others that may or may not know they played a role in this. some small thing somebody did for them. when you add it up it is building a wall. everybody provided a brick, so to speak, until their plan was complete. >>> new this morning in the aftermath of the mess of the clinton correctional. the fbi is launching an investigation. agents possible corruption and drug trafficking by prison employees. officials tell cnn investigators are looking into whether the escapees were involved with the alleged drug trade and enjoy

let's hear what christine lagarde had to say. forstine: there is a case waiting to raise rates until there is more of a tangible sign of inflation. hike would beate better off in early 2016. joe: everybody was surprised by this. i cannot believe the imf is telling the fed what to do. the fed -- they have advised the bank of japan. -- i think americans think, i cannot believe they are telling us what to do, but they should get over it. yellen isthink janet going to consider what christine lagarde said at all. i do not think it will have any impact on policy. but i did not find it to be that ridiculous. alix: we did see reaction in the bond market. -- we had the 10 -- year yield at its highest level since october. the yield continuing to grind lower. joe: we had this crazy three-day move and then it faded. imf -r point about the -when i first saw the news, i was really stunned, but i switched over to the other side. the argument from a pure data perspective. it would be risky for the fed to tighten too soon and if they will be data

i'm christine romans. >> i'm john berman. and breaking overnight. key programs expired at midnight for the nsa. that happened after the senate did not extend them. instead, dropping the opposition in the existing programs and setting up a vote on surveillance reforms already passed in the house. we have athena jones with more. >> reporter: good morning, john and christine. several provisions expired a few hours ago because the senate failed to pass a bill to extend the law. take a listen to the debate from the two republican senators from kentucky. mitch mcconnell and rand paul. take a listen. >> these are not theoretical threats, mr. president. not theoretical threat. they are with us every day. we have to face up to them. we shouldn't be disarming unilaterally as our enemies are more sophisticated. >> the people who argue the world will end and we will be overrun by jihadists tonight are trying to use fear. they want to take your liberty, but doing it by making you afraid. >> reporter: in the end by a vote of 77-17, the senate did agree to proceed

i'm christine romans. >> i'm john berman. 30 minutes past the hour. the breaking news is a gunman is on the loose in charleston, south carolina. after shooting and killing nine people at a prayer meeting inside the well known african-american church. the search is underway at this hour. local, state, fbi, all involved. the suspect is described as a white male in his early 20s. the police chief is describing this as a hate crime. it took place at the emanuel a.m.e. church. this is one of the best known church. >> this is a tragedy no community should experience. it is senseless. it is unfathomable that somebody would walk into a church in today's society when people are having a prayer meeting and take their lives. i can assure you we will do everything in our power to find this individual to lock him up and make sure that he does not hurt anyone else. >> let's go live to charleston and bring in our producer ashley killough. she joins us from the phone. when you hear people on the scene, it is like no one can keep from breaking up. it is a sad story. t

john and christine. >>> u.s. officials casting doubt on iraqi claims forces liberated the oil town of baiji. officials with access to the latest intelligence say half the city remains in the hands of isis. for the latest i want to bring in jomana karadsheh. good morning, jomana. it feels to me and correct me if i'm wrong, it feels as the iraqi officials are too eager to announce they retain a town or made strides against isis. half the town. that sounds like they still have work to do. >> reporter: it is christine. we have seen this over the past year. depends on the definition of what the liberation is when it comes to iraqi officials and such decklarationdeclarations. on sunday we heard from iraqi officials and shi'a militia members saying they recaptured most of the city of baiji. they describe what was pockets of resistance. we are hearing a more cautious assessment of the situation there from the u.s. according to officials with access to the latest intelligence. as you mentioned, they say half the city rema

i'm christine romans. >> great to see you today. i'm john berman. it is wednesday, june 3rd. 5:00 a.m. in the east. breaking overnight, police arrested one man in massachusetts, they searched a home in rhode island. law enforcement sources say both are connected to a man the fbi thinks was radicalized by isis. a man shot and killed by boston police in a joint terrorism task force unit on tuesday. boston police officials say the television-year-old usaama rahim lunged at officers with a foot-long knife. rahim's family tells a radically different story. our national correspondent deborah feyerick has the latest. >>> john and christine, versuses from the terror task force had this man most recently on the clock because of what he described as an uptick in activity. two members of the joint terrorism task force profedapproached him. they did not have their guns drawn and were surprised when he reported brandisheded a knife. he began lunging towards them. that's when the two officers fired shots. one hitting him in the torso, another in the abdomen. his

i'm john berman. >> i'm christine romans. day ten of the search for the two killers who broke out of prison. governor cuomo set to announce a formal investigation in the case. hundreds of officers acting on hundreds of tips are looking in a wooded area near the prison where david sweat and richard matt broke out of prison. joyce mitchell allegedly helped them break out of prison and supplying them with power tools, she is due in court later this morning and plans to plead not guilty. we have miguel marquez with more. >> reporter: you are looking at the correctional facility where the two escaped from. the area just in front of you, in front of me and the facility is the area of the most intense search. you can see just how dense that forest is and how vast this area is. despite the vastness of it that area between here and the commercial alfacility is the area of interest. the law enforcement following up on hundreds of tips. hundreds of officers lining the roads and moving into the dense forest maybe 15 to 20 feet apart at m

john and christine. >> joe biden known as amtrak joe. he would go back and forth as his job as a senator after he lost his wife. he would go home to delaware every night. he said i realize at one point i needed my kids more than they needed me. >> he said that just last weekend at a commencement address. our hearts go out to the family. >>> john kerry's doctor jumped on a plane to switzerland. he will accompany the secretary of state when returns to the u.s. today. kerry broke his leg on sunday. he was in switzerland to attend nuclear talks and now he faces up to six months of rehab for a broken femur. let's turn to senior correspondent nic robertson on the phone for us from geneva. how does this effect the issues of isis and the iran nuclear deal? >> reporter: the iran nuclear deal is the most pressing issue that 30 days until the deadline. there are many issues that have not been resolved to get to the deadline of june 30th. secretary kerry had many meetings with the foreign minister. the two know each other. secretary kerry's relation

i think it hasn't hit home christine. perhaps by the end of the week the reality will shock them and perhaps that may effect the vote on sunday. >> isa suarez thank you. john we are looking at the pictures. this is a country that for five years has been going down this road. i mean it has made promises to citizens it cannot keep. too much debt. the tax base is very small. sort of a culture of non tax payment among the citizens. it is an economy in shambles. >> and people feel the rest of europe hasn't given them a way out. >> the ecb has given them a lifeline. the european central bank says we will not give you more money or increase the liquidity until until we see real signs of being able to make payment on tuesday. >> $60 a day and nothing more. >>> happening right now, deadline extended. iran and united states and other world powers work on the assumption that nuclear talks will go beyond june 30th. john kerry says he is hopeful there will be an agreement, but work to do. a senior official says any extension of talks

christine flowers, attorney and journalist. >> good morning, matt. >> hello, christine. journalist larry platt. >> good morning. >> good morning, larry. and sam katz, documentarian and a panelist who's going to be joining us here on "inside story" every now and then. it is a pleasure to have you with us, sam. >> it's an honor to be here, matt. >> what do you guys think, first of all? nice and bright? >> it is very nice. >> shiny. >> beautiful. >> awesome. >> help you guys think on your feet. >> we've come out of the depths of the darkness. >> right. absolutely. into the light, right? >> all right, well, let's talk about our philadelphia mayor's race. as everyone knows, jim kenney is a democratic candidate, won 56% of the vote on primary day. businesswoman melissa murray bailey is the republican candidate. she was unopposed. sam, let's go to you first because as everyone knows, you had considered getting into the race. the day before the primaries when you told everyone that your heart really wasn't in it. kind of explain things. >> my heart was in it. it was the rest of

. >> i'm christine romans. law enforcement this morning, say the man shot by the officers in boston who came at them with a knife was planning to behead an activist. 26-year-old usaama rahim changed his mind and decided to go on a rampage against police instead. we have more from pamela brown in boston. >> reporter: john and christine we have learned that the terrorism suspect killed in boston on tuesday morning, usaama rahim, a second suspect arrested david wright and a third individual allegedly met on a beach in rhode island this sunday to talk about the plan to go to new york and behead pamela geller. she is the figure who organized the contest to draw the prophet muhammad. they wanted to go and behead her and allegedly, according to authorities, rahim changed his mind and called his friend david wright and said he did not want to wait to go to new york and he wanted to do something in boston and kill police officers. it is unclear how he planned to attack him. according to the documents, he said he wanted

christine? >> thank you for that sara. >>> how severe is the flood threat for texas today? let's get right to meteorologist p, dram. >> you know what has happened in recent weeks with a surplus of over a foot of rain in houston. nearly a foot and a half there coming out of oklahoma city and dallas as well and moisture through the roof. take a look at the perspective. we know where the water table is and where the ground water it. any sort of additional flooding especially if you're around the banks of the trinity, red river, the areas, the rainfall amounts we are expecting, especially into the afternoon hours. daytime heating will ignite these thunderstorms and they could bring in rainfall rates well over 2 inches per hour. if this happens in the wrong place at the wrong time and you're in that area it becomes very dangerous and why the national weather service has issued a flood watch and advisories and warnings for about 30 million people. it stretches towards the midwest and this pattern not

anyone going to listen to christine lagarde. the fed is not going to sit there and say, yeah, do what she says, guys. does it affect the long-term outlook? lisa: it probably increased the chance of the fed hiking in december. initial jobless claims are holding up. fundamentals can be interpreted as better. exactly, -- exactly, they stabilized earlier in the day and the european markets are following that. how itmuch with had to do with her words per se -- there was some central bank support -- mario draghi's real uncomfortable comments. get used to it, guys. have you seen the yields up 1%? that is crazy. george: that's not typical. you are right, the move to the fed hike could have taken place, but the selloff is an long-term rates. whenever the selloff is an long-term rates, eventually they flare out. has rates at zero, basically. we are close to normalizing policy, but until they do, we have this thing called the stock market which is of being the circuit breaker to the bond market. -- : how is that george: if it comes under p

more than 400 people unaccounted for, christine, which is frightening. that ship cap sizing over 19 hours ago. and the only survivors to have surfaced come to a total of 15. now rescuers believe they have found further signs of life. voices and people knocking on the hull of the ship. we saw the rescuer tapping with a hammer trying to communicate with people perhaps who have managed to get to air pockets within the hull. the very bottom of the ship. still as i say, only 15 people have been rescued. we know all assets are being thrown at the tragedy. divers police rescuers helicopters, ships. they have slowed down the water coming out of the three gorges dam to help with the strong currents. they are racing against the clock to try to save anymore passengers. as you say, many of those on board were senior citizens and elderly on this chartered cruise down the yangtze river from nanjing to chongqing. this is a popular tourist trip. they go through the scenic canyons of the three gorges and really for this to happen people are just wanting answers. certainl

the first house christin lived before disappearing. >> christin ayers is at the house now. >> reporter: tonight, oakland police stopped well short of calling this any sort of a break in the case. whether the remains of that missing woman are here tonight at the house where she lived, still a mystery. retired detective paul has no doubts about what his search dog buster picked up on this oakland house today. >> it is human decomposition. >> reporter: what he can't answer is whether the scent could be linked to the missing woman who lived here. the family of christin asked him to search the house where he was living when she vanished in 1997. she was spending the summer in the bay area and was last seen in san francisco asking for directions to baker beach. >> it was really a shame. she was a sweet young girl. she came over just to say hi after she moved in. >> reporter: now neighbors wonder whether the key to her disappearance could be right here on their block all along. >> hopefully, they can find out if that is her remains. >> reporter: but any remains could be historical from a nati

christine, let's begin with you. a surprise move? is a shock.his a few weeks ago they were giving more responsibility to anshu jain, and it looked like the management team was in place. they got through the shareholder meeting, i'll be it with a low percentage of the vote approving them. but it looked like they were going to give anshu jain and jÜrgen fitschen at least another year to prove they could get their strategy through and no one would have picked this guy john cryan, who is on the board, as the likely successor. this was a complete supply. scarlet: how likely is he to deliver on this strategy as outlined by anshu jain? cryan is crisis experienced. when he came on board it was 2008 when the subprime mortgage market was declining. ashas this reputation someone who can crunch the numbers, understand the numbers, and pulled through the execution. that is something deutsche bank needs as they go into the strategy. does this mean, that deutsche bank will remain committed to the universal ranking strategy? christine: certainly al

christine, john? >> our thanks to jason carroll for that. new developments in the cyberattack that lawmakers calling the most devastating in the nation's history. archuleta tells a senate committee no one in her agency is to blame for a breach that compromised the personnel files of at least 18 million federal workers, including white house spokesman josh earnest. it's believe china is behind the house. archuleta blames aging i.t. systems for the breach. she is claiming 32 million budget increase to pay for i.t. upgrades. this is a big subject today. >> it is yes. an economic and security dialogue going on between the u.s. and chinese and four level top chinese officials are in washington. seven years this has been going on and i would say the mistrust between the u.s. and chinese right now the highest it's been in seven years on this. the chinese officials confirming yes this will be a basis of conversation with the u.s. going forward that cybersecurity, they know the u.s. is ticked off about this, a

show more of you. >>> welcome back, i'm christine romans. asian shares are up but china is the big story, they are down 6% on bubble fears. european shares are much higher. no deal on greece's bail out program yesterday, but there will be an emergency meeting of leaders to try to avert default. fears are not holding stocks back here. the nasdaq topped its peak set 15 years ago. >>> the top media story, suspended anchor brian williams is meeting with colleagues to apologize for embarrassing the news division. staffers choked back tears. the meetings in d.c. were also emotional but for different reasons. it's part of a bat toll rehabilitate his image and bring him back at the cable division. >>> mcdonald's is slimming down. they plan to close more restaurants than it opens. that's a first. they have seen rapid expansion and thrived during the recession because of their low prices. but the chain has lost its luster with millennials. they prefer restaurants like chip chipotle with fresh ingredients. >>> the church shooter is in custody. "new day

here is the imf managing director christine lagarde. u.s. policyigher rates could result in financial stability consequences that go well beyond the u.s. orders. in weighing these risks, we think there is a case for waiting to raise rates until there are more tangible sign of weight or price inflation than are currently evident. words, we believe that a rate hike would be better off in early 2016. just last month janet yellen says she expects to raise interest rate this year. if the united states economy needs are forecast. a couple of key economic reports before we get the may jobs report. the government said last week fewer americans apply for unemployment benefits. the total number of people getting jobless insurance smallest in the more than 14 years. meanwhile, the bloomberg consumer confidence -- comfort index fell to a six-month low. the higher cost of gasoline may be the culprit. the average price is the average since december 1. also, waiting to see who will make the next move in the greece bailout talks. the greek prime minister pl

both christine lagarde will be speaking in brussels. she is meant to talk about inequality and she will be asked about greece. she speaks at 7:30 pl.m., same time as yellen. what will you be listening to? riccardo: obviously yellen. when the fed speaks, you want to listen. we know what christine lagarde thinks about the greek situation from what was published on the website of the imf. so, i think the statement of the fed, the new forecast will be very important. the market will pay most attention to the forecast. so the so-called dot- forecast. francine: the fed is difficult because they had good figures printed unemployment is a little bit slack in terms of the number of people not in full employment. what is your take? riccardo: essentially there are two different stories, two things going on in the economy. the sectors that are more exposed to the dollar exchange rate and to an energy prices are in a mini recession. although, i must say it is a contraction of 1%. in the sectors that are more sensitive to interest rates, including ho