Trump Names New Campaign Manager and Chief Executive; Lochte and Feigen Allegedly Robbed in Rio; U.S. Fed On Interest Rate Hike; "Options

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Feigen Allegedly Robbed in Rio; U.S. Fed On Interest Rate Hike; "Options

Open"; Fed Raised Rates Last December for First Time Since 2006; Adviser:

Trump's Outsider Style is Appealing; Shelton: Governments Manipulate

Exchange Rates; Uber Sues Over English Language Rules; European Markets

Close Firmly in the Red; Clinton: Cut Taxes for Middle Class, Not Rich;

Casino Mogul Won't Gamble on Clinton or Trump; Making the Jump from

Bollywood to the West; Bollywood Film Industry Worth More than $2 Billion - Part 1>

Heather Long, Samuel Burke, Joe Johns, Mallika Kapur >

Katrina Kaif, Bollywood Actress; Sidhartha Malhotra, Bollywood Actor;

Shiamak Davar, Bollywood Choreographer >

a bump up to Trump campaign manager. There are two legal dramas

overshadowing the competition at the Rio Olympics, one of which being a

search and seizure warrant issued for two U.S. swimmers, Ryan Lochte and

Jimmy Feigen. By 12:00 the market was down, and it reversed after the Fed

minutes came out. Trump's stance on the Fed and trade once helped to give

them an edge with voters on economic issues. Now over the last three weeks

that lead has slipped away. Uber drivers in London have the cars and the

technology and now a potential roadblock: passing an English test. U.S.

presidential candidate Hillary Clinton is bashing Donald Trump's tax plan

calling it a tax cut for the rich. Casino billionaire Steve Wynn claims

that Donald Trump and Hillary Clinton are both friends of his. The Indian

producers of the film, called "Baar Baar Dekho", hope the time traveling

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Latin America; Sports; Crime; Stock Market; London; Transportation;

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RICHARD QUEST, CNN ANCHOR: There you have the closing bell ringing, the gavel is about to be gaveled. Come along let's have a gavel. Oh, look that. That's what you call a firm gavel. Trading has come to an end in New York. The Dow is marginally positive. A gained about 20 odd points. And is Wednesday. It is the 17th of August.

Tonight, you're hired. Donald Trump picks a new campaign chief executive. We'll find out what it means for his campaign.

Hiking in September. The Fed says it's keeping its options open.

And rated in Rio. Europe's Olympic boss is arrested for allegations of ticket touting. The only thing I'm touting is the next hour of solid business news. I'm Richard Quest. I mean business.

Good evening. A case of whatever it takes to win this election. That's what Donald Trump says is behind the latest major campaign shakeup that comes three months before America votes and just two months after the last shakeup. Now, arriving in comes Steve Bannon as campaign chief executive. The man has been called the most dangerous political operative in America. That's because he runs the influential right winged website "Breitbart News."

And as Donald Trump's poll numbers go down, Kellyanne Conway is getting a bump up to Trump campaign manager. She's a pollster. The campaign says she'll help hone Trump's message. So the way in which this has all happened relatively late in the day, perhaps suggesting a hint of panic or at least something worse. The changes have played out like a season of Trump's TV show "The Apprentice." So instead of "The Apprentice," we call it "The Campaign."

Episode one of "The Campaign." Corey Lewandowski leads the team. His task is to win the primaries. The strategy, steamroll the Republican field. That style also played out within the campaign. Fans of "The Apprentice," they know exactly how it ends for Corey Lewandowski.

Then onto the next one, new episode, new face. Paul Manafort. His task, transition from the primaries to the general election. The management change didn't raise poll numbers or, indeed, get rid of the negative headlines. Relations between the chairman and his boss soured. Now, he has escaped Lewandowski's firing fate for the moment. He remains in post.

But we do end up with episode three, Steve Bannon, win the election. Expect to bring back Lewandowsky's scorched election strategy. The three men who have run the campaign, we need the help and guidance of our chief U.S. correspondent, John King in Washington. We have much to talk about, John. First of all, an overview, to change policy, to change campaign managers, whatever we call them, chief execs, managers whatever, this late in the day, is it unknown? Is it unusual? Is it a sign of panic?

JOHN KING, CNN CHIEF U.S. CORRESPONDENT: All of the above. It's known. It has happened in some past campaigns. You don't do this if you're winning or you don't do this if you're giving up, Richard. This is a fascinating substantial change for Donald Trump. And you mentioned it was only two months ago you brought in Paul Manafort. Now Paul Manafort has been shoved to the sidelines. He has not been fired, but he's been pushed to the sidelines in the campaign. And the man he has brought in, Steve Bannen, as the CEO, is a very aggressive, a boxer, if you will. Someone who's thrown not only hard punches at the Clintons but very hard punches at the Republican establishment. The very Republican establishment that says Donald Trump's job at the moment is to unify the Republican party.

Well, they now have at the head of the Trump campaign a man who has treated the Speaker of the House, a Republican, the Senate majority leader, a Republican, other Republican establishment figures as a pinata. What does that tell you? Expect a boxing Donald Trump, a pugilistic Donald Trump as we head into the debate season. One more point, Richard. This show is about business. Neither Steve Bannon nor Kellyanne Conway have ever done this before. Eighty-three days away from a U.S. presidential election and the top two new people in the Trump campaign have never done this before.

QUEST: And that was going to be exactly where I was going to. How significant is that, John? Look, it's a country of 300 million of people, 3,000 miles' coast to coast, north to south.

To win a U.S. election is as much about message but about logistics. It's about office, getting out the vote. These two people, Kellyanne Conway, Steve Bannnon, they're just message people.

KING: Well, they're message people. But they are also people who will let Trump be Trump. We do know that one of Manafort's job was to try to get Trump to a script. Get Trump to give speeches that were more in line with traditional Republican orthodoxy. Get Trump to stop picking fights with Gold Star parents, or stop saying incredibly provocative things. Say some provocative things, but find the line if you will. Steve Bannon, especially, is known as someone who prefers flame throwing. He prefers dustups, if you well, and keeping it rough-and-tumble.

To the point that this is so close to the election, you know we elect presidents of the United States state-by-state, Richard. There are eight or 10 states that we view as sort of the knights and the bishops and the king and the queen of presidential chess. Donald Trump is not leading in any one of those right now. If you take the eight or the ten top battleground states, every single one of them is advantage Hillary Clinton. Does that mean Donald Trump cannot win? No. But does it mean he faces an incredibly steep hill? Yes.

So in turning to two people who have never done this before, look, you do this for a living. Some startups are from teenagers, or people just out of college. Some of them succeed wildly off the charts when everybody laughs at the beginning. So Donald Trump has a chance. But as you also know most of those startups, especially when the people at the top don't have any business experience, most of them fail.

QUEST: Right. Now with that in mind, exactly with that thought in mind, we can expect, you know, we can expect more sort of comments like second amendment where he made those comments. More comments, maybe quite not Gold Star insults to veterans' families. But by putting these people in and taking the shackles off Trump, we can expect more of those sort of incidents. And, John, from your sources, how horrified are the traditionalists, the classicists in the Republican party, the chairman and co?

KING: Yes, those traditionalist as you call them, Richard, they view this as the first day of a new day in the Republican Party in the 2016 campaign. Because they have told their candidate for House, their candidates for Senate, their candidates for governors, especially in those key battleground states, run. You're on your own. Don't trust these people. Don't work with these people. These new Trump people are your enemies, not your friends. That's remarkable. You have Republican leaders telling people in their own party, you cannot trust these people. They'll be against you. They care only about themselves.

Therefore, if you are running for the Senate in the state of Ohio, or the state of Pennsylvania or the state of New Hampshire, you are on your own Now, does that mean they can dump Donald Trump, Richard? There's a lot of debate in the party about, get all the financial people to say, never mind Donald Trump, you can't have our money. We're going to give it to the House and the Senate Races. We.re going to put it over here, not in the presidential race.

But there is a huge danger in that strategy. Because if Trump tanks, he'll take a lot of Republicans with him. They may not like him, they may not want him, many of them despise him. But if he loses the state of Ohio by 10 points, Ron Portman can run a perfect campaign, Richard, he's going to go to. So there is a risk in abandoning Trump even though the party establishment is furious at the moment.

QUEST: We are grateful, john, for your interpretation and analysis. Thank you, sir. Thank you for joining us.

KING: My pleasure.

QUEST: We'll be watching this very closely.

There are two legal dramas overshadowing the competition at the Rio Olympics. The first, a search and seizure warrant which have been issued for two U.S. swimmers, Ryan Lochte and Jimmy Feigen. It follows their reported robbery. Now, the "Daily Mail" has released this video, which appears to show the swimmers after the alleged robbery. The Brazilian judge in the case says, "Their physical and psychological integrities were unshaken." In other words, I'm guessing the idea being they didn't look terribly upset by it all. Meanwhile Patrick Hickey president of the European Olympic Committee is under arrest, extraordinary. He stands accusing of flogging Olympic tickets as part of a major scalping scheme. We've got to correspondents covering this as only CNN can. CNN's Nick Paton Walsh and Shasta Darlington joins me from Rio. Nic, first of all, the swimmers who are wanted. Is this effectively an arrest warrant? And where are the swimmers at the moment?

NICK PATON WALSH, CNN SENIOR INTERNATIONAL CORRESPONDENT: Well, it's basically saying you can't leave the country, we've got more questions for you. Now, it doesn't really make any difference to Ryan Lochte, because he's back in the U.S. His lawyer says that was always the plan. Him leaving before these warrants were issued and he that he's always cooperated with the FBI or the tourist police or anybody who is asked him questions. Will do so again but hasn't actually been asked to give any more information.

Richard, let me wind back how we got to this. They left the club early Sunday morning, said they were held to the ground. Taken aside to the road by men disguised as police officers who were armed. But then that video came out in which you can see. In the words of the judge, they look to some degree unshaken.

And the police spokeswoman saying to me, look, Brazilians are asking, if you been a victim of an armed robbery why in that video do you still have quite a few valuables? Like watches and phones and wallets, it looks like. So a lot of questions have been asked. But the key reason we've seen this court thing come out now, is that we're seeing discrepancies, according to the judge, in their testimony.

The two men not entirely clear when they gave their accounts. How many armed robbers they faced? Who had weapons and whether they were taken by surprise or not. That seems to be the nub of this really. Yes, there are politics in this. Because Brazil doesn't want the idea of men being disguised as police officers being out there as potential robbers with a huge crowd here. But still, a lot of questions over this very prominent swimmers Sunday night.

QUEST: Ok, so we'll come to you. Shasta, in just a moment. But finally, Nick, whichever way this finishes, it's embarrassing for somebody. If it goes ahead, then it's embarrassing for the swimmers. If the authorities have to basically admit this was all a big mistake, it's more embarrassing perhaps, for the Rio authorities. This doesn't end well one way or the other.

WALSH: No, and it's an extraordinary decision by them to put this warrant out smack in the middle of the Olympics again is one of the most high profile athletes of the team currently leading the metals table. Yes, certainly it could all go away though. Mr. Lochte may choose not to give further evidence. Mr. Feigen, who's also sought for his passport being seized, we don't know where he is. He could still be in Brazil. He might be in the U.S. It may be that both sides have said their piece now and they may let it go. Or we may see more disclosures, who knows.

QUEST: Nick Paton Walsh, we'll be watching this. Carry-on watching for us, sir, thank you.

Now to Shasta. Shasta, flogging tickets, the head of the Irish and the head of European authority for the Olympic Council, there's 50 members of the European Council for the Olympics, has been arrested. Apparently he was naked in his hotel rhyme after his wife said he had already gone home. It's a very strange business.

SHASTA DARLINGTON, CNN CORRESPONDENT: It definitely is, Richard. This is part of Brazil's crackdown on scalping. These aren't the first arrests they've made. So Joseph Hickey from Ireland, a member of the International Olympic Committee arrested allegedly involved in scalping some 1,000 tickets. And all of this at a time when actually there's been a lock of talk about how that they haven't really been selling enough tickets.

So as you said, pretty odd that they were selling this at inflated prices. And yet when you look at some of these stadiums, you'll see that a lot of the seats are empty. So a lot of questions to be answered here. But it does show that Brazil has been taking this very seriously. You had the other arrest toward the beginning of the games when an international citizen and Brazilian were arrested involved in scalping. And we may see more as the games wind down. Some of the very high-priced final competitions are going on, and those, of course, do tend to get a higher price there, Richard.

QUEST: Thank you, Shasta Darlington, who is in Rio. Nick Paton Walsh is there, the two scandals of the day. We'll keep you informed on both of them.

When we return, the Fed minutes came out. If you look at the way the market reacted, just look at that. You can see just at 2:00 suddenly it goes positive. Not a huge amount of gains, but does show that a negative feeling evaporated. After the break, Heather Long is going explain the motive behind it. QUEST MEANS BUSINESS.

(COMMERCIAL BREAK)

QUEST: Now to the economics of the day. The Dow Jones closed slightly higher. It was up 21 points, but really the closing number doesn't really tell the whole story. You have to look at how the graph moves around the course of the section. By 12:00 the market was down, not heavily, but it was down. Those gains reversed after the Fed minutes came out. The NASDAQ was flat. And oil, which also edged closer to $47 a barrel probably also the reason why we saw the Dow and the markets moving higher.

On the economic front, the Fed is signaling an interest rate hike. It could come sooner rather than later. Some would say there's a dispute and disagreement. Heather Long will put it into perspective. The minutes of July have just been published. There's no consensus as to the timing of an increase, but the general agreement is more data is needed before making a move. Now these quotes from the minutes. "Members judged it inappropriate to continue to leave their policy open." Heather Long is CNNMoney's Senior writer. What does that mean?

HEATHER LONG, CNNMONEY SENIOR WRITER: Yes, to try and translate what the Fed is saying there, they have a boy who cried Wolf problem, right? In the last 12 months they have said so many times, we might do it, we might do it at our next meeting, raise rates. And then they've only done it, what, once in December of last year. And so the problem is the market doesn't believe they're going to raise the rates. They don't believe they're going to raise them in September. They don't think they're going to raise them in November. And there only pricing in a 50-50 chance in December.

QUEST: But earlier in the year there have been valid reasons why people have discounted a rate rise, brags it, China, I weak set of employment numbers earlier this year. Those have now gone. So why should people not believe the Fed will move?

LONG: The key reason is, you have to ask yourself. So in these minutes we see a few more people saying they think they're ready. Some say there was a split decision maybe in July, more people dissenting than what we realized. However, you have to ask yourself, there's only one more month of data before the September meeting. What more are we going to learn in August that we don't already know? We're going to get one more jobs report and maybe another look at consumer sentiment, another look at retail spending. We're just not going to get a whole lot more data from this data -dependent Federal Reserve.

QUEST: And the political question for a September hike would be very tricky indeed.

LONG: Yes.

QUEST: I know they say that they're data dependent, well there also political realists.

LONG: I think you're exactly right. I think anybody in the United States may remember that President George HW Bush always blames Alan Greenspan for raising rates before the election, and meaning George HW Bush did not get a second term. Bill Clinton won that year. I think despite what they're saying, Janet Yellen does not want to be accused of rigging this election.

QUEST: Taking what the Fed says and with your extensive reading on the subject from what private economists are saying, is it the view of the street that, not the wish, but the view of the street that actually a rate rise is probably called for?

LONG: Yes, yes, I definitely hear that. They think the Fed made a mistake in not raising rates, maybe even going back as far as September of last year. If you look at it, what is the Fed's goal? The Fed's goal is get most people employed and keeping prices and inflation stable. We are pretty darn close to that right now. Rates should not be this low. We're basically have these rates in a moment where it looks like we're in a crisis. We're not in a crisis anymore in the United States.

QUEST: Good to see you, excellent.

Donald Trump's stance on the Fed and trade once helped to give them an edge with voters on economic issues. Now over the last three weeks, as you've heard on this program, that lead has slipped away. And now Donald Trump is counting on his new campaign leaders to shore up the numbers. His economic policies are well known and they're controversial. I spoke to Dr. Judy Shelton, a member of Trump's economic advisory council. In the wake of the overhaul announced today, I asked her for her view from inside the campaign.

(BEGIN VIDEOTAPE)

JUDY SHELTON, TRUMP ECONOMIC ADVISOR: Compared to the very smooth operations of many Washington politicians, it does not look so perfectly orchestrated.

But I personally think that's a lot of the appeal for Donald Trump, that he doesn't look like he's been prepared and taught how to make the right gestures and speak in perfectly modulated tones and perfectly calculated platitudes. So I suppose his intuition is driving this to a great degree, but it seems to be working for him.

QUEST: Let's talk about economics. Let's get to it. Now, even accepting that the existing trade agreements are not necessarily fairly balanced or working to the best advantage, the critics say that Trump trade agenda is dangerous, would lead to protectionism, and worst of all, will not serve to raise living standards in the United States.

SHELTON: What I commend Donald Trump for is for listening and legitimizing the complaints of people who have been affected by currency manipulation and saying we have to start somewhere. And if trying to define currency manipulation and how you apply it and whether or not a country is violating some set of rules, that could be the catalyst for this broader monetary reform that I think we need to be thinking about.

QUEST: The view that somehow by doing this you're going to attract back to the United States, manufacturing jobs, which have gone overseas because of a lower cost base, I mean you know as well as I do, this is economically unrealistic, it's not going happen, and if it did happen, then it would depress wages in the U.S., not raise them.

SHELTON: Well, you can't homogenize everything. You conditioned homogenize the cost of labor or labor standards or environmental standards, but an international monetary system is a manmade tool. And I don't think we should go on accepting a situation where countries are allowed to abuse that particular privilege. Let's start with that. And if we can move to stable exchange rates, I think that begins to set the foundation for free trade in accordance with the virtues that we've all been taught should deride from that.

QUEST: When I hear stable exchange rates, I start to hear alarm bells of managed exchange rates, which is not a million miles away, Doctor, from some form of Louvre, Plaza Accords. You know as well as I do, they failed.

SHELTON: Well, when you have governments meeting secretly to try to move exchange rates, that's the worst of all worlds. And were in that situation now. That's not really what I'm talking about. We need another Bretton Woods or at least we need to be thinking in terms of a neutral reference point, a global unit of account. I mean something like a gold standard even, updated to reflect a digital world and fast moving financial flows.

But I think the problem with what we have currently is it encourages this financialization of the global economy. We have lots of people trading financial assets and currencies and derivatives on differential interest rates between the European Central Bank and the Fed instead of what I would call productive economic activity. And so I'm hoping that Mr. Trump's focus will help us to reconnect financial markets to the real economy.

(END VIDEOTAPE)

QUEST: And you can guarantee that we will continue to follow the closeness of the race. We have some news in to CNN. Cisco says it will slash up to 5,500 jobs, which is 7 percent of the work-force. The company will use the savings to invest in areas like internet of things, IOT, and cloud computing, or at least one arguably one says it will put more money into those things.

Uber drivers in London have the cars and the technology and now they have a potential roadblock. The King's English or indeed even the Queen's English. All drivers will have to pass an English test to be allowed behind the wheel. And now the online taxi service is taking matters to Her Majesty's Court. Samuel Burke, is following the story and joins me now. Samuel, we've covered this to some extent last week with Garrett Emerson. We'll hear from him in a moment. But now Uber has gone one stage further, why?

SAMUEL BURKE, CNNMONEY TECHNOLOGY CORRESPONDENT: Uber says this is very much a tool of last resort. And Uber points out, Richard, that only 0.5 percent of all the complaints they receive have to do with poor English.

But I think if we really want to get to the heart of the matter, Richard, we have to talk about old versus new. When you're using the Uber app, it's replacing so much of what used to be done using language. The app shows where the driver is. The map shows where the passenger is. So before where you used to have to speak in English or whatever language, so much of that is done through the technology. And that's why Uber doesn't feel that it should be held to the standards that the traditional taxicab drivers are held in London.

QUEST: Samuel, young Samuel, listen to Garrett Emmerson from Transport for London, on this program last week. He said it's more than directions. It's also about understanding rules, regulations, and the various points. Have a listen.

(BEGIN VIDEO CLIP)

GARRETT EMMERSON, COO, TRANSPORT FOR LONDON: It's about being able to engage with ourselves as a regulator, understand the regulations and requirements, respond to directions that we from time to time may issue and to understand the law as it applies to private hired driving in London.

(END VIDEO CLIP)

QUEST: Since this will apply to everybody, for all private hire company, this is not just an attack on Uber.

BURKE: Yes, it's an attack on all the different types of companies they're going after this. But they're quick to point out, Richard, that they do have to go through lots of regulation. Uber points out, listen, we have to get driver's license, on the other hand, we have to do background checks. Their drivers even have to do topographical checks. I assume your topography skill are better than mine, Richard. The medical assessment test and now on top of that, the license.

What we feel -- what we hear from the technology community here in the U.K., especially after the Brexit vote, Richard, is that they feel that they're under a lot of pressure. And Sadiq Khan, the new mayor of London has the "London is Open" campaign. Business leaders called out in the "Financial Times" say it doesn't feel like London is open when they're putting more and more regulation on new and changing technology.

QUEST: Right, but the argument against, of course, is that it's a straightforward protectionist move. One assumes Transport for London doesn't want to destroy a budgeting business. They say it's because -- the critics say it's an attack to protect the black cab business. Is that right?

BURKE: Well, there is some sense of that. You have to remember not long ago there was a proposed regulation here in London that said you'd have to register your Uber drive ahead of time, which runs totally counter intuitive to what the technology industry has done here. There are were so many people up in arms about that. They felt like the government here, the local government was just trying to help the traditional drivers. So many people signed that petition that they were able to bring those regulations back. So there is a sense of supporting the old guard versus the new younger technology guard.

QUEST: I hope you're not drawing any comparisons, young man, about QUEST MEANS BUSINESS between young and the old. That's more than enough from you this evening.

BURKE: Can I get that bell from you?

QUEST: No you can't. You haven't qualified. You haven't taken the necessary test.

Look, the newsletter proves the difference. There's a battle going on in our newsletter tonight. Between me, who tends to see merit in what the cab drivers and the new rules. I can see merit in these new rules. My colleagues, who also work on the newsletter, they see things completely differently. They're misguided in the extreme and they have decided to reply to my Profitable Moment. You go and sign up CNNMoney.com/quest. You subscribe and then you email me to basically tell me I'm right.

As we continue the European markets tumbled into the red on Wednesday. Investors were waiting to what the Fed minutes. Have a look at the numbers and you can see all the downward losses were in Germany. The FTSE was down despite a U.K. jobs report that showed steady numbers. The number of people claiming unemployment benefits actually fell, whereas people were expecting an increase following Brexit. My feeling putting guess on that is it's probably too soon.

QUEST MEANS BUSINESS continues this evening with you. Hillary Clinton is talking taxes and she says she will not give tax breaks, unlike, as she claims, Donald Trump.

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