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Presented by Morgan Stanley: Playbook is POLITICO's must-read briefing on what's driving the day in Washington Aug 28, 2018 View in browser
By Jake Sherman, Anna Palmer, Daniel Lippman, Eli Okun and Garrett Ross

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THE MCCAIN REMEMBRANCE WEEK ...

-- ARIZONA CAPITOL (Wed., 1 p.m. EST): Invocation by Father Edward A. Reese, S.J. ... Remarks by former Sen. Jon Kyl and Arizona Gov. Doug Ducey. Former Rep. Jim Kolbe will present a wreath, and Sen. Jeff Flake (R-Ariz.) will give the benediction.

-- NORTH PHOENIX BAPTIST CHURCH (Thurs., 1 p.m. EST): Former VP Joe Biden. Tommy Espinoza (friend and CEO of Raza Development Fund). Larry Fitzgerald (Arizona Cardinals). Andrew McCain (son). Bridget McCain (daughter). Grant Woods (former McCain COS and former Arizona AG). Pallbearers and ushers

A PLANE with Sen. John McCain's (R-Ariz.) casket will take off from Phoenix at 3:30 p.m. Thursday, and arrive at Andrews at 7:30 p.m.

-- U.S. CAPITOL CEREMONY (Fri., 11 a.m. in the rotunda): Invocation by the Rev. Patrick Conroy. Remarks by: Senate Majority Leader Mitch McConnell (R-Ky.), Speaker Paul Ryan (R-Wis.) and Vice President Mike Pence. McConnell and Senate Minority Leader Chuck Schumer (D-N.Y.) will present the Senate Wreath, Ryan will present the House Wreath and Pence will present the Administration Wreath. Senate Chaplain Rear Adm. Barry Black will give a benediction. THE PUBLIC will be let in around 2 p.m.

-- PROCESSION AROUND D.C. TO THE VIETNAM VETERANS MEMORIAL: Cindy McCain will lay a wreath at around 8:30 a.m.

-- WASHINGTON NATIONAL CATHEDRAL (Sat., 10 a.m.): SPEAKERS: Meghan McCain. Jimmy McCain (reading a poem, "The Requiem"). Former Sen. Joseph Lieberman. Henry Kissinger. Former President George W. Bush. Former President Barack Obama. The Very Rev. Randolph Marshall Hollerith, dean of Washington National Cathedral (The Collect for Burial prayer and the Prayer for Those Who Grieve). Former Sen. Kelly Ayotte (Wisdom 3:1-5,9). Washington National Cathedral Choir ("The Lord is my Shepherd"). Sidney McCain (2 Corinthians 5:6-8). Sen. Lindsey Graham (R-S.C.) (John 15:12-12). "Danny Boy," sung by Renee Fleming. ...

... Reese (Homily). The Right Rev. Mariann Edgar Budde, bishop of Washington ("America the Beautiful").

PALLBEARERS: Warren Beatty, Biden, Michael Bloomberg, William Cohen, Stephen Dart, Rick Davis, Carla Eudy, former Sens. Russ Feingold, Phil Gramm and Gary Hart, Vladimir Kara-Murza, former Pennsylvania Gov. Tom Ridge, Mark Salter, Fred Smith, Sen. Sheldon Whitehouse (D-R.I.).

-- NAVAL ACADEMY CEREMONY (Sun., 2 p.m.): SPEAKERS: Graham, David Petraeus, Jack McCain.

-- THE SENATE DOING WHAT THE SENATE DOES ... NOLAN D. MCCASKILL: "Senate to form bipartisan 'gang' to honor McCain"

SEN. LINDSEY GRAHAM -- McCain's best friend -- will speak on the Senate floor at 2:15 p.m., and then will speak to reporters in a pen and pad in the Senate Press Gallery.

Good Tuesday afternoon. POSTPONED: We are postponing our Playbook Elections event in Philadelphia Friday, in light of McCain's lying in state in the Capitol. Stay tuned for a new date soon.

THE WHITE HOUSE has scheduled a pool spray for the president's meeting with FIFA President Gianni Infantino.

Presented by Morgan Stanley:

Are supply and demand estimates masking a mismatch that could drive up oil prices? Morgan Stanley's Global Oil Strategist, Martijn Rats, says even though U.S. shale output is surging, demand for jet fuel, diesel oil and other middle distillates could push oil prices higher. Read more.

MANAFORT TRIAL -- JOSH GERSTEIN: "Court orders brief delay in Manafort trial": "U.S. District Court Judge Amy Berman Jackson said the arguments by both sides will take place on September 24, but she kept in place the existing September 17 date for jury selection. Jackson granted the brief delay after defense lawyers, who just finished representing Manafort at a separate trial in Alexandria, Virginia, last week, complained they didn't have adequate time to prepare for the next case in Washington.

"'None of this gets everybody everything they're seeking ... but I think it will alleviate some of the pressure,' the judge said near the end of a two-hour hearing discussing arrangements for the trial." POLITICO

SPOTTED: Sen. Rand Paul (R-Ky.) reading USA Today on a flight from Nashville to DCA. Pic ... Facebook Global Public Policy VP Joel Kaplan on an Alaska Airlines flight from DCA to SFO on Monday.

TRADE WARS -- "Trump needs Canada and Congress for a win on NAFTA," by Doug Palmer: "Canadian trade officials rushed back to Washington after Trump announced a NAFTA deal with Mexico on Monday, and they're meeting with U.S. negotiators Tuesday. But it's far from clear they'll be on board by Trump's self-declared Friday deadline for sending an agreement to Congress, which must approve it before it can take effect.

"And though the president says he's fine kicking Canada out of the pact, that could trigger procedural and political landmines that could blow up in his face, especially if Democrats take the House in the midterm elections. That could leave the president with a solely symbolic two-way announcement that gives him little more than bragging rights about his ability to get Mexico to the table. If Canada's not part of the deal, Trump could forfeit his ability to get a straight up-or-down vote in Congress without any amendments under trade promotion authority legislation." POLITICO

-- WSJ's KATE DAVIDSON: "Treasury's Mnuchin Hopeful Trade Deal With Canada Will Get Done"

DEVELOPING -- "Kudlow: White House 'taking a look' at Google regulations," by Rebecca Morin: "[Economic adviser Larry] Kudlow was asked Tuesday during a brief exchange with reporters whether the Trump administration feels that 'there needs to be some form of regulation for Google.'

"'We'll let you know. We're taking a look at it,' Kudlow replied as he walked back into the White House after a TV interview with Fox News. Kudlow's remark followed a vague pledge from Trump to take steps against Google to rectify what he said is unfair treatment of conservatives by the company." POLITICO

SCOOP -- JOSH ROGIN in WaPo, "Why Trump cancelled Pompeo's trip to North Korea": "The cancellation came after a top North Korean official sent a secret letter to Pompeo that convinced both he and Trump the visit was not likely to succeed. Pompeo received the letter from Kim Yong Chol, vice chairman of North Korea's ruling Workers' Party Central Committee, on Friday morning, and showed it to Trump in the White House, two senior administration officials confirmed. The exact contents of the message are unclear, but it was sufficiently belligerent that Trump and Pompeo decided to call off Pompeo's journey ...

"Officials also declined to say how the letter was transmitted, but North Korea has been increasingly communicating through its U.N. mission, known as the 'New York Channel.' Privately, Trump and Kim Jong Un have been exchanging a series of letters, some couriered by Pompeo himself." WaPo

WAPO'S ASHLEY PARKER: "President non grata: Trump often unwelcome and unwilling to perform basic rituals of the office"

THE INVESTIGATIONS ...

-- "GOP lawmakers grill DOJ official Ohr over Trump dossier," by Kyle Cheney: "[Bruce] Ohr, who appeared for a closed-door interview in a Capitol office building, has become the Trump allies' latest focus in their efforts to raise questions about the investigators who ran the probe into the Trump campaign's contacts with Russia. As a senior Justice Department staffer, Ohr passed along Steele's information to the FBI, even after the bureau terminated its formal relationship with Steele over media leaks....

"[Florida Rep. Matt] Gaetz ... said Ohr appeared to be answering questions forthrightly but that his testimony about the timing of his contacts with Fusion appeared to conflict with answers given to lawmakers by Fusion GPS cofounder Glenn Simpson and former FBI attorney Lisa Page. 'Either Bruce Ohr's lying or Glenn Simpson's lying,' Gaetz said ... He added that they could conceivably have competing recollections but that it will be important to bring both before the Judiciary Committee in a public hearing to sort out the facts." POLITICO

-- "Devin Nunes's Curious Trip to London," by The Atlantic's Natasha Bertrand: "Devin Nunes, a California Republican, was investigating, among other things, Steele's own service record and whether British authorities had known about his repeated contact with a U.S. Justice Department official named Bruce Ohr. ... Nunes requested meetings with the heads of three different British agencies -- MI5, MI6, and the Government Communications Headquarters, or GCHQ. ...

"But those meetings did not pan out-Nunes came away meeting only with the U.K.'s deputy national-security adviser, Madeleine Alessandri. The people familiar with his trip told me that officials at MI6, MI5, and GCHQ were wary of entertaining Nunes out of fear that he was 'trying to stir up a controversy.'" The Atlantic

MORE CATHOLIC CHURCH FALLOUT -- NYT's Elizabeth Dias interviewed Pennsylvania Attorney General Josh Shapiro on the state's investigation into clergy sexual abuse. DIAS: "Should Jeff Sessions open a federal grand jury investigation on Catholic clergy child sex abuse?" SHAPIRO: "I have spoken to a representative of the Department of Justice. Beyond that, I do not think it would be prudent for me to comment."

DIAS: "Did they reach out to you?" SHAPIRO: "Yes." DIAS: "After the release?" SHAPIRO: "Yes. After the release, and related to the release of our report." NYT

2018 WATCH ... WASHINGTON EXAMINER'S DAVID DRUCKER: "Ted Cruz passes the hat for campaign cash as concern rises about challenger Beto O'Rourke": "Republicans are treating the race as though it's competitive, conceding that Cruz could lose. Most worrisome is the combination of a rough midterm environment for Republicans; Cruz's favorable ratings, which are treading water; and the turn against Republicans in Texas' affluent, major metropolitan suburbs, especially among women, which account for a big chunk of the electorate.

"'I'm freaking worried,' a Republican consultant monitoring the campaign said. 'Cruz is going to have to unleash very serious negatives on Beto. He needs to turn this into a race that's all about Beto's record and Beto's views.'" Washington Examiner

CNN'S DAN MERICA: "Tim Ryan weighs his next move: Take on Pelosi or Trump": "People close to the congressman and Democratic operatives in Washington acknowledged that the best option is likely to challenge [House Minority Leader Nancy] Pelosi, a lawmaker who dozens of Democrats running for Congress are disavowing on the campaign trail. But [Ohio Rep. Tim] Ryan told CNN he is intensely intrigued by a presidential run and feels like he is currently being pulled between running for Democratic Leader and running for President." CNN

TRANSITIONS -- FIRST IN PLAYBOOK: CAROL MELTON has launched VC firm Adeft Capital, which will invest in early-stage companies, as well as other U.S. and international business concerns. She spent more than 20 years heading Viacom-CBS' and then Time Warner's global public policy operations. ...

... Wendy Sherman was appointed director of Harvard Kennedy School's Center for Public Leadership and will also serve as a professor of of the practice of public leadership. She will continue to serve as a senior counselor at Albright Stonebridge Group. ... Bri Gillis is NARAL Pro-Choice America's new PAC director. She was previously a government affairs manager at Emergent BioSolutions.

WEEKEND WEDDINGS -- Alexandra Smith, executive director of America Rising and former chairwoman of the College Republican National Committee, married Charles Wilkes, a partner at Greenbaum, Rowe, Smith & Davis LLP, in Jersey City. Instapics

-- Zach Cohen, a staff correspondent at National Journal, and Rachel Karas, an associate editor at Inside the Air Force, were married in Bluemont, Virginia, on Sunday by Rabbi Elyse Frishman surrounded by friends and family. Pic

-- Luke Vargas, chief foreign correspondent for Talk Media News, on Saturday married Chelsea Radler, account director at the District Communications Group and alum of Reingold. Pic

WELCOME TO THE WORLD -- Eric Wachter, a director in strategic and crisis communications firm Finsbury's D.C. office and a King & Spalding and ADL alum, and Miriam Wachter, an attending emergency medicine physician at Inova Fairfax Hospital, welcomed Daniel Isaac Wachter, who joins big brother Joshua. Pic ... Another pic

--Holmes Lybrand, author of the "Fact Check" column at the Weekly Standard, and Jocelyn Lybrand, program associate at Stand Together, welcomed Hadley Faye Lybrand. Pic

Presented by Morgan Stanley:

Are traditional supply and demand estimates masking a mismatch between light oil supply and the demand for heavier oil needed for jet fuel and heating oil? Morgan Stanley's Global Oil Strategist, Martijn Rats, says even though U.S. shale output is surging, demand for jet fuel, diesel oil and other middle distillates could push oil prices higher. A rise in global demand coupled with other contributing factors-including regulations from the International Maritime Organization (IMO) that will limit use of high sulfur oil by shipping vessels-suggests that Brent oil prices can keep climbing, possibly reaching $90 a barrel by early 2020. Read more about what this could mean for investors.

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