. breaking overnight, israel accused of spying on the u.s. and iran. reports claim spies eavesdropped on nuclear negotiations. who they sent that information to and if this will effect the negotiations one week from the deadline. we are covering all angles. good morning. welcome to "early start." i'm christine romans. breaking overnight, accusations

that israel has been spying on negotiation was iran. the wall street journal reports that israel eavesdropped. israeli officials denied directly spying on u.s. negotiators. the journal spoke to a dozen current and israeli diplomats lawmakers and officials for the sorry. let's bring in oren liebermann with the latest from jerusalem. >> reporter: good morning, christine. a strong response from benjamin netanyahu's government. denying on the spies from the u.s. or otherwise. that pointed out the strong intelligence between the two countries. something we have seen president obama and benjamin netanyahu point out. at the same time it is apparent that benjamin netanyahu believes he has information about the deals. over the last few weeks, we heard his government say from

our understanding of the deal. that doesn't come from a guess, but information. what we are seeing now is a shift in how netanyahu's government wants to use that information. they have not had any luck in influencing president obama or white house. now netanyahu has tried to appeal to his republican friends, his strong ties with john boehner to influence negotiations. while that happens, netanyahu works with congress and his intelligence minister trying to influence the european influence. the real question is from what we are hearing is what is the long term effect. that is where we see the rift with president obama and benjamin netanyahu. christine, it is already a strained relationship and the story, what we hear today will deepen the rift. >> oren the story from "the

wall street journal" saying direct spying on the negotiations. not just the diplomatic talking back and forth. >> reporter: the administration response here denying any spying on the u.s. or other allies. a strong response from israel denying the basis of the story. >> oren liebermann thank you. the report of the israeli spying comes with one week left before the deadline to reach the framework for the deal. secretary kerry returns on thursday to switzerland where the necessitygotiations are on a break. joining us now with the latest is nic robertson. nic, what is the progress on the negotiations and how is the report of spying how will that effect the negotiations. >> reporter: what secretary kerry has said in his recent

statements is progress has been made. he came to london at the weekend after finishing up in switzerland on friday to brief the british, french and german foreign ministers. we heard over the weekend from ayatollah khomeini the top religious leader in iran. the leader in iran. he has been very clear. he said the united states is bullying iran and we won't give in to the bullying. the toned down message from president rouhani. a deal is possible, but it depends on the political will. it is how secretary kerry deals with zarif. they have to choose if they want agreement or put pressure. progress has been made there are still divisions and issues

that haven't been resolved of the eye the. the iranians are pushing back. now this article is something we are hearing already on the margins that france's position and view is more in alignment with israel. it wants the united states position on the talks to be tougher. they have a voice in these talks. it is not just secretary carry kerry. to have a direct input at the talks with the additional knowledge with the knowledge that they have from being inside the talks. it can potentially make getting a deal harder and the road rockier to get. >> a very rocky road with a lot of obstacles. thank you, nic robertson in london. to yemen, u.s. officials

declaring yemen on the brink of the civil war. the president is calling on other persian gulf states to prevent houthis from advancing. this as we learn britain has also pulled the last of its forces out of yemen. the u.s. evacuated troops over the weekend. security experts say the developments are crippleing efforts in the region that yemen could be a fertile ground of terror. a disaster in yemen. we are learning new details about the 11 medical students suspected of traveling to syria to work in isis controlled hospitals. that includes seven britains and american and canadian. british lawmaker believes they were quote brainwashed. the students families say they

went to the border to offer voluntary medical help to refugees and have since disappeared. the iraqi efforts to push out of the city of tikrit halted by ied booby traps that isis planted all over the city. for the latest let's bring in cnn's jomana karadsheh. let's start off with the medical students. their families believe they have not willingly joined isis but there to help refugees. >> reporter: christine, a lot of mystery surrounding this story. what we know from a turkish lawmaker, he said those 11 traveled into isis controlled areas in syria and were working at hospitals there. he said that he is convinced they have joined isis and they are working for the terror group. we are also hearing from their

family members. they put out a joint statement in which they said their children traveled to turkey and border area where they were going to provide humanitarian assistance. eight of those are doctors. three in the group are medical students in their final year. their families say once they arrived there, they disappeared. according to the lawmaker they got to turkey on the 12th of march. one flight from sudan and the 11th flying in from toronto. we don't know their whereabouts or motivation is or what they are doing. what is concerning is the families were taking they were top students they were known for morals and they come from very well off families and parents are prominent doctors. most of them are at least. we are trying to figure out more. we are trying to look more into

the story. at this point, a lot of mystery around it and a very difficult situation these families. unimaginable agony trying to track down their children and find out what happened to them. >> just how dangerous that is. quickly, about tikrit we are hearing a lot of ied booby traps in the center of the city. iraqi army having trouble stopping that isis advance. >> reporter: christine, if you recall about three weeks ago, iraqi forces militia and iraqi army began that push to try to takeover tikrit and recapture the first major city taken over by isis last summer. so far, the operations seems to have stalled over the past ten days. according to senior iraqi officials, they say what is going is a tactical pause. the city surrounded and isis

surrounded. they are not going in because they're concerned about mass casualties among other issues. this is their number one concern. the roads around have been booby trapped. a large amount of ieds and car bombs and snipers stopping them from advancing. they hope to resume soon. >> jomana karadsheh for us in baghdad. thank you. there is new evidence that isis is making steps to expand recruiting into afghanistan. look at the video of that recruiting session in afghanistan. it appears to a small effort. there is a concern that isis could gain a foot hold. meanwhile, this more than afghanistan's new president meets with president obama. his number one mission is to convince the president to slow the withdraw of u.s. troops. pulling all american troops out

by 2016 could have devastating consequences for the security situation there. our senior white house correspondent has the latest. >> reporter: president obama is expected to shed light for winding down the war on afghanistan. he will do that after he meets with the afghan president who was in washington. president obama had said he would slash the current number of troops in afghanistan by half from around 10,000 now to roughly 5,000 by the end of this year before an almost total withdraw by the end of 2016. for now, administration officials say while they are looking at the pace of the u.s. pull out, the plan is to have a small number of troops in afghanistan as president obama leaves office. here is what josh earnest had to say about that. >> we're talking about in the neighborhood of 1,000 to 1,500 troops. at this point, the u.s. troop

presence is around 10,000 in afghanistan. the question is how much flexibility is there in the drawdown to where we stand today and the end point in 2017. >> reporter: the white house has high hopes for afghanistan's president. ghani once worked near the white house and lived in d.c. the president and ghani will have a joint news conference later today. >> thanks jim. a house panel investigating the secret service is warning the head of the agency not to come to the hearing today alone. director clancy and four others were told not to testify alone. panel members warning he is the director that it is not acceptance. a death threat against president obama's niece forced officials to tighten security during the ncaa basketball game with princeton and maryland.

forward leslie robinson is the daughter of michelle obama's brother. a female caller left a voice mail for the police department warning a man with a gun was driving on campus possibly targeting robinson. his niece was not notified until after the game. time for an early start on your money. stocks barely moving. yesterday, they took a break. the dow and s&p pulled back before the closing bell. nasdaq closed lower, but above 5,000. asian shares are lower after china's factory activity slumped. the latest in a string of economic reports fueling worries of lower growth. 13 minutes past the hour. a shocking story of gang rape at college fraternity published in

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an investigation by police in charlottesville, virginia finds no basis to support allegations by university of virginia student that she was gang raped at a campus fraternity. rolling stone published the accuser's account. we get more from rosa flores. >> reporter: police coming forward finding no evidence to support the alleged uva rape case published in "rolling stone" magazine of a woman who went by the alias of jackie. you probably remember this from

last year. "rolling stone" coming forward with details of seven men raping jackie. then coming forward and publishing an apology. many news organizations, including cnn, poking holes in the story. many say jackie did not cooperate with authorities and investigators. investigators interviewing 9 of the 11 members of the house where this happened. they sifted through phone records and uncovered a photograph of the fraternity house that they say was electronically stamped on the date of the alleged attack and it did not add up. this is not the only investigation going on. columbia journal review sifting through the editorial.

the police chief says this investigation is now suspended, but open. what does this mean? the police chief telling cnn that means that they believe that perhaps something did happen to jackie and that they are hoping that someone will come forward. >> rosa flores thank you. the prosecution in the trial of accused boston marathon bomber dzhokhar tsarnaev nearing the end of its case. jurors expected to hear more from a terrorism expert who testified monday how a person can become radicalized without traveling or actual communication with terrorists. he pointed out similarities in literature and tweets by tsarnaev along with writing in the boat before his capture. utah's governor signing a bill to give the state a back-up plan for executions. firing squads. lawmakers approved the measure this month that oaks death by firing squad if lethal injection

drugs are not available. those drugs are in short supply nationwide. utah is the only state allowing firing squad. this morning, we are learning angelina jolie, the actress and director has had her ovaries removed. the actress said a recent blood test showed early markers that could be a sign of ovarian cancer. jolie calling it a moment of clarity realizing what is important in her life. she had preventative double mastectomy two years ago. her mother died of ovarian cancer. ted cruz may just started his race for president, but some rivals from his party are taking shots. plus hillary clinton is talking about new beginnings. that's next.

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a prediction from presidential hopeful ted cruz. he says jeb bush will shatter every upcoming record for the run for the white house. ted cruz is surprised how much support he received. cruz declaring yesterday and listen to the harsh response from congress member peter king from new york. >> imagine in 2017 a new

president signing legislation repealing every word of obamacare. i believe in you. i believe in the power of millions of courageous conservatives rising up to reignite the promise of america. >> ted cruz may be intelligent, but he doesn't carry out an intelligent debate. he basically led the republican party over the cliff in the fall of 2013. he has shown no qualifications and no legislation being passed. he has no real experience. to me he is a guy with a big mouth and no results. >> a carnival. pointing to a 21 or 22-hour speech reading dr. seuss at times on the floor and attempt to shutdown the american government. peter king says that is not presidential. senator rand paul is expected to

announce in april. he and ted cruz agree on most things but paul believes he is more electable than cruz. the race begins. the former secretary of state could be gearing up for an announcement of her own. hillary clinton meeting with president obama yesterday. no details about what they discussed. last night, the front runner for the democratic nomination was told to expect a more transparent hillary clinton moving forward. >> i am all about new beginnings. a new grand child. another new hair style. a new e-mail account. why not a new relationship with the press? >> a new relationship with the press. clinton describes the relationship with the media as complicated when asked if there was an announcement coming soon. breaking overnight.

a new report claiming israel has been spying on negotiations with israel and iran. who did israeli spies good that supposed information to? a blockbuster report this morning. we are live next.

breaking overnight, israel accused of spying on nuclear talks with u.s. and iran. using that information to pit congress against the white house. with one week before the deadline in the negotiations could this derail progress? we are live with the latest ahead. welcome back to "early start."

i'm christine romans. breaking overnight, accusations that israel has been spying on iran with the nuclear deal. this is from "the wall street journal" that israel spied to get information from the briefings and diplomatic contacts. israel israeli officials denied the reports. the report comes with one week left to reach a framework for the deal. secretary kerry returns to switzerland on thursday where negotiations are on a break. i want do bring in cnn's oren liebermann live in jerusalem. we heard from benjamin netanyahu that israel's understanding of the deal is something that the israelis were concerned with. does that understanding

including spying? >> reporter: the israeli government absolutely denying the allegations of spying. the statement released from a senior administerialration official. these are false. the state of israel does not conductes conduct espionage. christine, we have heard netanyahu's government talk about our understanding of the deals. that doesn't come from guessing about the deals. that comes from information. regardless of now they got that information. the strong denial of any accusations of spying. what we have seen over the last few weeks is a shift in how the government uses that information. it used to be netanyahu pointed efforts at the white house and president obama. he has shifted that to congress. his work with republicans and house speaker john boehner.

we expect him next week. that has been the force of netanyahu's efforts over the last few weeks as he shifted away from working with the white house and a strained relationship there and influencing congress. the question is what is the long term effect of the story and allegations. christine, that is where we can expect to see a deepening rift. these allegations will not make it better. >> strained and moving in the wrong direction. report of the spying comes with one week left before the deadline set to resume for negotiations in switzerland. with secretary kerry returns to switzerland on thursday what will he face when he gets there? joining us now with more is nic robertson in london. nic, the accusations or report of israeli spying and how that could effect the progress. >> reporter: certainly whatever israel has learned through whatever mechanisms it has, it

will use that to lobby whoever it can and we have seen prime minister benjamin netanyahu doing that clearly already. it will lobby the other members of the p-5 plus 1. france, german britain and united states and china and russia. it will lobby those countries that it thinks it will listen. it will seem to be france. france is known to take a tough position. france is in the talks. they get a voice at the table. it gives israel a stronger position to lobby for what it wants. the talks right now, secretary kerry, when he wrapped up the talks last week said that substantial progress had been made. he met with french and german and british foreign ministers. there have been issues that need to be tackled and areas where they don't have agreement. from the iranian said we are hearing a bit of push back.

the supreme leader there, ayatollah khomeini over weekend, says the united states was bullying the iranians and they were not about to give in. a toned down version of that from president rouhani. he said progress was made and a deal was still possible but it will take more from the position of the united states and secretary kerry's opposite number in the talks foreign minister zarif. he said back off on the pressure if you want to get a deal done. you know when they sit down and start talking thursday it is not going to be easy. it may be made harder by the revelations of what israel learned. >> nic robertson in london thanks. if u.s. officials declaring yemen on the brink of civil war, the elected government of the president there is calling on other persian gulf nations to

intervene and stop houthis rebels from crossing the border. this as we learned britain pulled the last forces out of yemen. the u.s. has pulled special troops out of the country over weekend. this is crippling american counterterrorism operations. yemen could be a fertile staging ground for terror. we are learning about the medical students and doctors that traveled to syria. the student families say they went to the border to offer medical help to refugees and have since disappeared. let's bring in atika shubert near turkey's border with syria. atika, a mystery of what drew the students to the border and what happened to them since. >> reporter: exactly. where are they now? this is what their parents want

to know. we had a chance to speak with the families yesterday. they are here on the border with syria. they are not leaving until they get their children back home. they gave us a statement yesterday saying their children went to turkey willingly to offer medical help. their children's intentions are good. the humanitarian efforts. we arrived here on the 12th. what happened then is what the parents are trying to find out. did they cross over into syria? if they did, are they in isis controlled territory? that depends if british authorities will prosecute them. as far as we know the students are in touch with their parents. they are saying they are helping and in hospitals and clinics with refugees. they will not say where they are or in an area controlled by

isis. this is what parents are hoping to find out in the next few days. they are urging their children to come back home. >> atika shubert for us on the border in turkey. thank you. new evidence this morning that isis is making tentative steps to expand recuteruiting into afghanistan. this is video of the recruiting session in afghanistan. it appears to be a small early effort. a u.n. official tells us there is real concern isis could gain a foothold adding to the challenges the afghan government already faces fighting al qaeda and the taliban. this morning, afghanistan's president meets with president obama. ghani's mission is to slow the plan withdraw of u.s. troops. pulling all american troops out of the country by 2016 as planned, the president of afghanistan says that would have devastating consequences for the security. a house panel investigating

the secret service warning the head of the agency not to come to today's hearing alone. investigators have had clancy and four other secret service officials to tell this morning. clancy viceadvised he is the only attending. a letter firing back that is not acceptable. so far, no response from the secret service. let's get an early start on your money. alison kosik joins me now. what are futures doing? >> sleepy morning. u.s. stock futures are slightly higher. we could be in for more gains. yesterday, we did see stocks ty a breather. dow and s&p 500 pull back a bit. a quiet day. nasdaq closed lower. it is above 5,000 near the march 2000 high. the dow gets all the love. the dow makes all of the milestones. 38 record highs last year. four so far this year.

nasdaq in 15 years since the last high. >> a different nasdaq than 15 years ago. let's talk about overseas markets. they firing on all cylinders. >> there are concerns christine, about growth in china. asian shares are lower after china activity slumped in march to the lowest level in 11 months. the latest disappointment for china. more and more signs that growth is only okay. not stellar. that is putting pressure on the central bank to act. we would love to see growth of 7.4% which is the lowest that china saw in 24 years. we would love to see 7.4%. >> it is all relative. 7.4%. let me ask you about the big deal. the baseball deal. >> there is. wilson sporting goods is buying louisville slugger of baseball bats for $70 million.

that will marry two of the leading baseball brands. the 130--year-old family business will make bats for wilson at the louisville factory. wilson makes the official football out of ohio. >> thanks alison. drama unfolding in the boston marathon bombing trial. what investigators found on the accused's computer and why it could help the defense. that's next. [clicking sounds] it's so shiny.

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the prosecution in the trial of accused boston marathon bomber dzhokhar tsarnaev nearing the end of its case. in court monday, jurors heard testimony about the communications devices. cnn's alexandra field has more. >> reporter: his devices, laptop and cell phone come under the microscope. showing the jury only the most incriminating files on tsarnaev's computer. including instructions on how to make a bomb. the defense grilling an fbi witness on cross exam asking if they can tell who created the files and if a computer had more than one user. suggesting it was used for typical teenage activities. a top search in the internet

history. chechnya. islam and jihad not on the list of top searching. the two top search terms on dzokhar's computer were not noted, but typical for an adolescent boy. real estate heir and accused killer robert durst linked to a cold case in vermont. police are investigating durst and the disappearance of lynn schultz in 1971. durst owned a health store there at the time. the judge in louisiana denying a bail for durst. citing he is a flight risk. the 71-year-old faces a murder charge in los angeles and lesser charges in new orleans. more testimony in the case of aaron hernandez on trial for murder. prosecutors expected to present new evidence tracing the movements of hernandez and two accomplices the night odin lloyd

was killed. there are new details concerning the arrest of university of virginia student martese johnson. arrest that left him bloodied and captured on video. an attorney says johnson intends to plead not guilty in court. the 20-year-old was arrested outside a bar in charlottesville. the bar owner says johnson was cordial after denied everyntry. virginia state police are investigating. utah's governor signing a bill to give the state a back-up plan for executions. the back-up plan firing squad. lawmakers approved the measure to okay death by firing squad if lethal injection drugs are not available. those drugs are in short supply nationwide. utah is the only state allowing that execution method.

this morning, we are learning angelina jolie has had her ovaries surgically removed. she reveals this in an op-ed. the actress said a recent blood test showed early markers that could be a sign of cancer. jolie realizing what is important in her life. you may remember she had a double mastectomy two years ago. jolie describes this as a personal decision and acknowledges it is not right for everyone. 48 minutes past the hour. the gloves are off hours after announcing he is running for president. senator ted cruz taking hits against potential rivals. that's next.

52 minutes past the hour. a prediction from presidential hopeful ted cruz. he says jeb bush will shatter every fund raising report in the campaign for the white house. cruz believes everyone will be surprised by how much support his candidacy receives. so far that support not materializing. cruz declaring yesterday and listen to the harsh response from congress member peter king from new york. >> imagine in 2017 a new

president signing legislation repealing every word of obamacare. i believe in you. i believe in the power of millions of courageous conservatives rising up to re reignite the promise of america. >> he basically led the republican party over the cliff in the fall of 2013. he has shown no callqualifyication and he has no real experience. to me he is a guy with a big mouth and no results. >> a carnival barker he calls him. not a head of state. talking in the fall of 2013 about the government shutdown and the senator standing on the floor of the senate for 21 hours reading dr. seuss. he said that was not presidential.

senator rand paul is expected to announce in april. the kentucky republican says he and ted cruz agree on most things but paul believes he is more electable. so what would the ted cruz economy look like? we'll fact check his talking points next.

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graduates. 2014 was the best year for job growth. ted cruz wants to abovelish the irs. we heard about that flat tax before and it is like unconcerns. ted cruz's economy means no more obamacare. that would make health care affordable for everyone. for more on your money. alison kosik is here with more. tell me what is going on with futures. >> futures are up a bit now. yesterday, stocks took a breather. pulling back from the recent rally. nasdaq closed lower, but above 5,000 and getting close to the march 2000 high. we will watch the nasdaq today. >> the study of the best places to retire. you and i have kids to put through college before

retirement. it is interesting some of the spots on the list. >> florida is not the top state. i was surprised. it is wyoming. it has the lowest tax rate in the country. the fifth lowest crime rate. next is colorado. thanks to its access to the mountains and great health care. get this in third place, utah. utah has hiking and skiing. plus a very low cost of living. it is interesting because warm weather places first on the list for retirees. you can have all of the sunny days you want. the cost of living is there for you and you can't enjoy it. >> wyoming, colorado utah. "early start" continues right now. breaking overnight. israel accused of spying on the u.s. and iran. reports claiming eavesdropped on negotiations. who they sent that information

to and whether this will effect the negotiations. we will cover the angles of the story right now. good morning. welcome to "early start." i'm christine romans. john berman is in d.c. all week. breaking overnight. accusations emerging that israel has been spying on iran with the nuclear deal. "the wall street journal" reporting that israel eavesdropped to get information from informants and diplomatic contacts. israel denied spying on u.s. negotiations. lawmakers and officials. let's bring in cnn's oren liebermann in jerusalem. oren what were the spies allegedly doing with the stolen information? >> reporter: christine, that is the second part of the