[Chris Frates, Cnn Investigative Correspondent:] Now Priebus is known in the beltway and has good working relationships with Republicans on Capitol Hill. People like Senator McConnell who is the Senate Majority Leader, and House Speaker Paul Ryan, who's been a longtime friend of Priebus. Those relationships and Priebus' knowledge of how Washington works could be key in helping Trump pass his legislative agenda through Congress. Now Bannon, who is the Trump campaign CEO, also ran Breitbart news. That news site has been accused of catering to racist, sexist and anti-Semitic audiences. Bannon has also been critical of the GOP establishment. Now both men will advise the next president, President-elect Donald Trump. Victor, Christine, back to you.
[Christine Romans, Cnn Anchor:] All right, Chris, thanks so much. Hate watch dog groups slamming Donald Trump's choice of Breitbart boss, Steve Bannon, as chief strategist and senior counselor. The Anti-Defamation League released a statement saying, "It is a sad day when the man who presided over the premier website of the alt-right, a loose-knit group of white nationalists and unabashed anti-Semites and racists is slated to be a senior staff member in the people's house."
[Victor Blackwell, Cnn Anchor:] The Southern Poverty Law Center scolded the president-elect for the hire in this tweet, "Trump should rescind this hire. In his victory speech, Trump said he intended to be the president for all Americans. Bannon should go."
[Romans:] And retiring Senator Democratic Leader Harry Reid escalated his attacks on the incoming president with this new statement, "President-elect Trump's choice of Steve Bannon as top aide signals white supremacists will be represented at the highest level in Trump's White House.
[Blackwell:] And the fear of racist harassment following Trump's election appears to have become reality in some communities, one of several incidents reported across the country happened at an episcopal church in a heavily Latino neighborhood just outside of Washington. Graffiti reading Trump nation whites only discovered Sunday morning on a wall and on a sign advertising Spanish language services. Washington's episcopal bishop, Maryanne Buddy, called on Donald Trump to speak out against this vandalism.
[Romans:] Pretty much what Trump did on Sunday, this first sit-down television interview since becoming president-elect. On CBS's "60 Minutes," Trump addressed directly acts of violence, harassment and vandalism that his supporters have reportedly committed in his name.
[Donald Trump, U.s. President-elect:] I would say don't do it. That's terrible. I'll bring this country together.
[Unidentified Female:] They're harassing Latinos and Muslims.
[Trump:] I am so saddened to hear that. I say stop it, if it helps. I will say this, I'll say it to the cameras. Stop it.
[Blackwell:] All right, let's break down the latest on the Trump transition with CNN politics reporter, Eugene Scott. Eugene, good morning to you.
[Eugene Scott, Cnn Politics Reporter:] Good morning, Victor and Christine.
[Blackwell:] OK, so, you know, we heard from the Tea Party activists over the weekend before this announcement was made, do not put a Washington insider in as chief of staff. He chose Reince Priebus, someone who is obviously a Washington insier. But he picked Steve Bannon. Does this satisfy those activists who wanted someone from the outside in the White House because this will be his Karl Rove? This will be his David Axelrod.
[Scott:] I think they will be somewhat satisfied because they really do respect Steve Bannon and he definitely play a role in getting Trump pass some of those hard weeks, see what's happening following Hillary Clinton nomination. Bannon came on, I believe, in August. But the reality is this group is not the only group that helped Donald Trump win. We know from the exit polls that he did get some more mainstream Republicans to help him be victories. Reince Priebus is responsible for that to a lot of people.
[Romans:] Priebus is also close with the speaker of the House, Paul Ryan. So a lot of people are wondering if this is going to be an administration you kept hearing this weekend comparing this is a transactional president. This is somebody who wants to get stuff done. Reince Priebus can help you do that. We also heard yesterday on "60 Minutes." This "60 Minutes" interview, you know, a lot of takeaways from that interview. One of them in particular about what are his policies going to look like. We are seeing who he's appointing, what are his policies going to look like. If he was asked about Obamacare, I want you to listen to this exchange.
[Unidentified Female:] When you replace it, are you going to make sure that people with pre-conditions are still covered?
[Trump:] Yes, because it happens to be one of the strongest assets.
[Unidentified Female:] You will keep that?
[Trump:] Also with the children living with their parents for an extended period. We will very much try to keep that in. It adds cost, but it is very much something we will try to keep.
[Unidentified Female:] And there is going to be a period if you repeal it and before you replace it where millions of people
[Trump:] We will do it simultaneously. It will be just fine.
[Romans:] So we are going to get rid of Obamacare, get rid of Obamacare, get rid of Obamacare, except what I'm hearing there is the things that make Obamacare Obamacare are staying. He will get rid of the thing that has the president's name on it, but he's going to put the same pieces back in, at least some of them, the most important.
[Scott:] Yes, nearly a week ago today, Trump was calling Obamacare a disaster saying that he was going to get rid of it immediately. But since then, he's made it very clear that there is some aspects of it that he likes and thinks are good and are helpful. That he's going to keep.
[Romans:] You wonder how much of that was the president talking to him in the oval office when they sat down and said let me explain to you what is so important about Obamacare. Please don't undo these parts of it.
[Scott:] Yes. The president asked him to consider not repealing everything. The president-elect said he would think about it. I think one could argue that perhaps he was thinking about it even before like that he recognized that so many of his supporters relied on some pieces of it.
[Blackwell:] Let's talk about this exchange of Leslie Stahl over his now former opponent, Hillary Clinton, and we remember, of course, that really heated rhetoric. It seems like it was long ago, but it was a couple days. One day seems like a week in this transition. Let's watch that part of the interview.
[Unidentified Female:] You called her Crooked Hillary, said I wanted to get her in jail. Your people and your audiences kept saying lock her up.
[Trump:] She did some bad things.
[Unidentified Female:] I know but a special prosecutor?
[Trump:] I don't want to hurt them. They're good people. I don't want to hurt them. I will give you a very, very good and definitive answer the next time we do "60 Minutes" together.
[Blackwell:] Now the chant at the rallies was not they're good people. It was lock her up. I would imagine would be a surprise to some of his supporters who expected he would hold to that promise.
[Scott:] Absolutely. Literally. They're good people is not something we would have heard a week ago. Also if you recall right after the meeting with President Barack Obama, he wanted to seek counsel from the president. These are things that we would not have expected. But I think it gives people an idea that being a campaigner is very different from actually being in the seat. You really do want to work with people on the other side who may have expertise in areas that you do not.
[Romans:] That is what is interesting I think about the transition because, you know, there is a former steel executive that's on there, Peter Thiel, [inaudible] is on there, sort of like a contrarian investor and a billionaire in Silicon Valley. Also the Trump children, some of the Trump children on there. We have been hearing that he was going to turn his businesses over to the kids. He would focus on governing the country. If the kids are on the transition team, does that suggest they are going to have a different or tighter role in the governing? What does it mean?
[Scott:] A federal statute was passed in 1967 when JFK came to the White House that does not allow presidents to officially hire their children. So the Trump Organization said they were vetting business structures to see how they can transition management over to the kids. But the reality is we all know that you don't have to have an official staff position to be a highly influential adviser. Some of his children like Jared, his son-in-law, has been very influential. We should really expect them to be around even more.
[Romans:] And Jared Kuschner had his ear on the campaign and a lot on Israel policy and business policy as well.
[Blackwell:] Dennis McDonough took that walk around the White House grounds. He didn't go with any other person. He went with Jared Kushner.
[Scott:] We saw that right? Yes.
[Romans:] All right, thanks. We'll talk to you again very soon.
[Blackwell:] This afternoon, President Obama will hold his first news conference since Donald Trump was elected to succeed him. Now this comes just before the president embarks on his final foreign trip in office looking to reassure anxious allies about the stability of U.S. foreign policy despite Trump stated an intent to undo some of the Obama initiatives. The president will travel to Greece, Germany and Peru.
[Romans:] The Dow is set to open at a record high after a string of big gains boosted by Donald Trump's presidential victory. I want you to check out the Dow over the past five days. It is up 5.3 percent or almost 1,000 points. Remember all those predictions of a big drop if Trump won the election? Dead wrong. Investors now focusing on pro-business policies like tax cuts and deregulation. The Republicans sweep of Washington means they think that stuff can get done. This will be a transactional president. You can expect more gains today. Dow futures probably higher. The S&P 500 is 1.1 percent away from a record of its own. In fact, markets in Europe rising. Shares in Asia finishing mixed overnight. One big loser has been gold. It's down 8 percent over the past few days and investors are dumping the metal, dumping gold and buying stocks. This market reaction coupled with stronger economic growth and solid jobs data over the past month likely give the Federal Reserve the go ahead to raise interest rates in December. I've also been watching the bond markets, bond yields have been moving higher. That means things like mortgage rates could start to move up a little bit. But it's a sign that people think, investors think the economy is solid.
[Blackwell:] Donald Trump has also said that he plans to renegotiate some of these trade deals. Though, let's talk about trade essentially with China. You'll remember during the campaign, Trump said that China is raping the U.S. What he told China's president during their first call since the election.