Speaker 1: Good morning. I'm Abe Morris and I'm Karen Moscow. Here
Speaker 1: are the stories we're following today.
Speaker 2: We begin with developments on the fourth indictment of Donald Trump.
Speaker 2: Fulton County District Attorney Fani Willis has proposed a trial
Speaker 2: date of March fourth and to whold arraignments for defendants
Speaker 2: the week of September fifth. A number of Republicans are
Speaker 2: withholding or deflecting criticism of the former president. Georgia Republican
Speaker 2: Representative Buddy Carter tells us he thinks the latest indictment
Speaker 2: is politically motivated.
Speaker 3: This latest indictment, I mean, this is ridiculous. Here We've
Speaker 3: got a former president indicted for the fourth time by
Speaker 3: justice system. There's weighed against it. This indictment in Georgia
Speaker 3: is not about justice, is about revenge. And you know,
Speaker 3: there are one hundred and fifty nine counties in the
Speaker 3: state of Georgia. If I had not known where this
Speaker 3: one was coming from, I would have guessed I would
Speaker 3: have said, hey, I bet as Fulton County, and it
Speaker 3: is Fulton County because Fulton County has long been a
Speaker 3: bastion for Democratic Shenanis in the state of Georgia.
Speaker 2: Georgia Representative Buddy Carter was a guest on Bloomberg's Balance
Speaker 2: of Power, speaking with Anne, Marie hor Dern, and Joe Matthew.
Speaker 2: You can catch that program weekdays at five pm Eastern
Speaker 2: on Bloomberg Television.
Speaker 1: Well, I may return from politics now to Hawaii. Officials
Speaker 1: still determining the lives lost and economic impact of the
Speaker 1: wildfires that rip through Maui. Harrowing stories from the disaster
Speaker 1: are also coming to light. This man jumped into the
Speaker 1: ocean to escape the flames.
Speaker 4: We had no warning, We had nowhere to go, no
Speaker 4: warning at all.
Speaker 5: You know, it was just complete chaos in the streets
Speaker 5: and people were burning alive.
Speaker 1: And the cause of the fire is still under investigation.
Speaker 1: But we're seeing continued pressure on the power company at
Speaker 1: the center of it all. Hawaiian Electric Industries, faces a
Speaker 1: new lawsuit blaming its equipment for starting the blazers. Witnesses
Speaker 1: say some of Hawaiian Electric's power polls blew over during
Speaker 1: an August eighth storm. They alleged that down power lines
Speaker 1: ignited grass fires that quickly mushroomed.
Speaker 2: And with Hawaiian the Electric losing half its market value
Speaker 2: in the wake of those fires, it is exposing a
Speaker 2: liability to an already vulnerable regional bank. Hawaiian Electric owns
Speaker 2: and operates American Savings Bank, which has been grappling with
Speaker 2: regional banking turmoil from earlier this year. The wildfire may
Speaker 2: force the bank to set aside more in provisions for
Speaker 2: bad loans. That's according to a Wells Fargo analyst.
Speaker 1: When we turn to the markets now, Amy and we
Speaker 1: got minutes from the July FED meeting yesterday, and it's
Speaker 1: fanning concerns that the central bank will continue to raise
Speaker 1: interest rates. The minutes show to FED officials see upside
Speaker 1: inflation risk that may merit more tightening. Steven Stanley is
Speaker 1: chief US economist at Santander US Capital Markets.
Speaker 6: I have one more hike coming in November, but I
Speaker 6: think we're getting close. I think that, you know, the
Speaker 6: big theme now is how long are they going to
Speaker 6: have to stay on hold at this point it you know,
Speaker 6: I think the markets are in a big hurry to
Speaker 6: transition from no move to easing, and I just don't
Speaker 6: think the FED is going to be that quick.
Speaker 1: And Stephen Stanley with Santander says the FED is staying
Speaker 1: more hawkish than markets had expected.
Speaker 2: Meantime, savings accounts for many Americans are dwindling, according to
Speaker 2: a study from the San Francisco FED, saying many US
Speaker 2: consumers have almost depleted those excess savings. Bloomberg's at Baxter
Speaker 2: brings us that story.
Speaker 7: These excesses built up during the pandemic, but the FED
Speaker 7: says they will probably be exhausted in the current quarter.
Speaker 7: This has been a key support for consumer spending that
Speaker 7: has boosted the US economy this year. Estimates are now
Speaker 7: showing household disposable income is lower now, while personal consumption
Speaker 7: is still higher than it was previously reported in the
Speaker 7: fourth quarter of last year. But the diminishing savings, it says,
Speaker 7: is consistent with a slow down in consumption on the
Speaker 7: horizon and increased price sensitivity in San Francisco. I'm at Baxter,
Speaker 7: Bloomberg Gay break all.
Speaker 1: Right and thanks so we could get more insight on
Speaker 1: the US consumer this morning when Walmart reports, are you
Speaker 1: get more from Bloomberg? Simone Foxman.
Speaker 8: Evercore Isi says they could see a beat and a
Speaker 8: raise here, even as shares near all time highs Walmart
Speaker 8: benefiting from a consumer that increasingly is trading down, especially
Speaker 8: on staples like food and other.
Speaker 1: Grocery items, and Bloomberg Simon Foxman says yesterday's results from
Speaker 1: Tjmax and Target show consumers are still spending, but they're
Speaker 1: also hunting for bargains.
Speaker 2: Shares of Cisco are hired this morning, up two percent
Speaker 2: in pre market after a solid earnings report. Bloomberg's Charlie
Speaker 2: Pellett with those details.
Speaker 9: Cisco is the largest maker of computer networking equipment. On
Speaker 9: a conference call with analysts, CEO Chuck Robbins pointed to
Speaker 9: a shift to more subscription based services, which are expected
Speaker 9: to be more reliable than Cisco's traditional business selling network hardware.
Speaker 9: The company also said it is committed to increasing share
Speaker 9: repurchases and buybacks, and Cisco says it is taking advantage
Speaker 9: of the surge in jail native artificial intelligence in New York.
Speaker 9: Charlie Pellett Bloomberg Daybreak.
Speaker 1: All right, Charlie, Thanks, and geopolitics this week, Argentina finds
Speaker 1: itself at the center of turmoil. The country's leading presidential
Speaker 1: candidate says he plans to close the country's central bank
Speaker 1: if elected. In an exclusive interview with Bloomberg, Haavier Malay
Speaker 1: says he'll slash public spending if he wins, and made
Speaker 1: light of the role played by the Central Bank.
Speaker 7: Well, what you do with the building is a problem
Speaker 7: of what you decide to do with it.
Speaker 9: It's a metaphor.
Speaker 10: What I'm saying is that the institution doesn't exist anymore.
Speaker 1: And that's Argentina presidential candidate Howvier Malay speaking through a translator,
Speaker 1: if elected, also says he would freeze relations which China.
Speaker 1: This is Bloomberg.
Speaker 2: All right, thank you Kieren. Time now for a look
Speaker 2: at some of the other stories making news in New
Speaker 2: York and around the world. For that, we're joined by
Speaker 2: Bloomberg's Michael bar Good morning, Michael.
Speaker 11: Good morning Amy. As we mentioned earlier, the search is
Speaker 11: ongoing in Maui, where at least one hundred and ten
Speaker 11: people are known dead. Bloomberg's Nancy Lyons has more on
Speaker 11: the government's latest update on the Hawaiian disaster.
Speaker 10: FEMA administrator Dan Chriswell says the images the world is
Speaker 10: seeing of the fire devastation in Mali cannot fully convey
Speaker 10: what the people of the island are going through.
Speaker 8: It's the level of devastation from this fire and the
Speaker 8: feeling of loss.
Speaker 1: From such a culturally rich community that was really palpable
Speaker 1: everywhere that I went.
Speaker 10: Chriswell is back in Washington after overseeing operations in Mali.
Speaker 10: She says about seven hundred federal personnel are still on
Speaker 10: the ground there helping search and rescue teams look for
Speaker 10: victims in Washington. On Nancy lyons Bloomberg Daybreak, a.
Speaker 11: Former campaign aide who unbattled New York Congressman George Santos
Speaker 11: is now facing federal charges. According to a new indictment,
Speaker 11: Samuel Meely of New York was a campaign fundraiser linked
Speaker 11: to the Republican representative. Mealy is accused of impersonating a
Speaker 11: staffer of House Speaker Kevin McCarthy while contacting donors for Santos.
Speaker 11: He's charged with fraud in the same federal courthouse in
Speaker 11: which Santos is charged with fraud. A Texas woman was
Speaker 11: arrested after allegedly sending a racist and threatening voicemail to
Speaker 11: federal Judge Tanya Chuckin, who is assigned to the Special
Speaker 11: Council Election conspiracy case against former President Trump. Abigail Joe
Speaker 11: Shriye also allegedly used racist slurs and threats against Democrats
Speaker 11: in Congress and the LGBTQ community. Attorneys for the Towey family,
Speaker 11: made famous in the movie The blind Side, fired back
Speaker 11: against delegations they exploited former NFL star Michael Orr for
Speaker 11: a financial game. The family disputes or His claim that
Speaker 11: he recently learned that he had been tricked into sunning
Speaker 11: a document making them his legal conservators after they took
Speaker 11: him in when he was a homeless teenage football player.
Speaker 11: The twoies say Or knew about the arrangement and even
Speaker 11: wrote about it in his own book years ago. The
Speaker 11: two He's attorney Randall Fishman, this was some by the
Speaker 11: trader as a son who has made public these allegations
Speaker 11: that are just latercross The two Wes say Or his
Speaker 11: claims are all about a shakedown. Global News twenty four
Speaker 11: hours a day, powered by more than twenty seven hundred
Speaker 11: journalist and analysts over one hundred twenty countries. I'm Michael Barr,
Speaker 11: and this is Bloomberg Gamy.
Speaker 2: All right, thank you, Michael. Time now for our Bloomberg
Speaker 2: Sports update. For that we bring in John stash Hoard.
Speaker 12: Thanks Jamy Yank, Good morning Amy. Quite a week for
Speaker 12: the Atlanta Braids. They dismantled the Mets and then did
Speaker 12: likewise against the Yankees at City Field. They took three
Speaker 12: or four and those three wins were by a combined
Speaker 12: score of thirty four to three, and then they went
Speaker 12: home and swept the Yankees by combined eighteen to three.
Speaker 12: They won two to nothing, their fourth shutout over those
Speaker 12: last seven games. Charlie Morton in the Atlanta bullpen team
Speaker 12: and on a four hitter with thirteen strikeouts, Eddie Nsario
Speaker 12: in early two on homer. The loss is the Yanks
Speaker 12: fifth in a row, and it drops them under five
Speaker 12: hundred first time this season, first time this point in
Speaker 12: the season since nineteen ninety five. They did make the
Speaker 12: playoffs that season. That is extremely unlikely to happen this year.
Speaker 12: But Aaron Boone, even in his Darke as times ever optimist.
Speaker 5: We got nothing. Put ourselves to fix it and get going,
Speaker 5: and that's what we're going to continue to try to do.
Speaker 5: We're going to continue to come to work and work
Speaker 5: our butts off and try and get it rolling and
Speaker 5: hopefully get a streak going and starting at home on Friday.
Speaker 12: Boone's been saying all those things for a while now
Speaker 12: Matts mean while bet the Pirates eighty three two runs
Speaker 12: for DJ Stewart Pete Alonzo with his thirty six of
Speaker 12: the year. Mets hit eight homers in the three game series.
Speaker 12: Dodgers won their tenth game in a row last night.
Speaker 12: In the current episode of HBO's Hard Knocks, Jets coach
Speaker 12: Rob Salas shown laying into poor play by the Jets
Speaker 12: offensive line yesterday in a joint practice with Tampa Bay.
Speaker 12: That line, which is without three starters, let Aaron Rodgers
Speaker 12: get sacked six times. Rogers called the line play a
Speaker 12: work in progress. A fight broke out in the workout.
Speaker 12: Jets assist and Tony Odin heard his knee trying to
Speaker 12: break it up. Sala called at friendly fire. Olden had
Speaker 12: to be carted off taking to the hospital. Johns Stshawer
Speaker 12: Bloomberg sport.
Speaker 4: From coast to coast, from New York to San Francisco,
Speaker 4: Boston to Washington, DC, nationwide on SIRIUSXAM, the Bloomberg Business
Speaker 4: app in Bloomberg dot Com. This is Bloomberg Daybreak.
Speaker 2: And Good Thursday Morning. I'm Amy Morris. Republicans have ramped
Speaker 2: up their campaigns in Iowa. This is ahead of next
Speaker 2: week's Republican presidential debate. Some though, are finding themselves on
Speaker 2: a political tight rope. That's thanks to, believe it or not,
Speaker 2: an unemployment rate that's below the national average in Iowa.
Speaker 2: We're joined now by Greg Valley, chief US policy strategist
Speaker 2: at AGF Investments. Greg, it is always a pleasure. Let's
Speaker 2: start with a problem that may not be unique to Iowa,
Speaker 2: and it's a different kind of problem to have. They
Speaker 2: need more workers. There's a labor shortage, which means immigration
Speaker 2: is going to be a tough topic for Republicans on
Speaker 2: the debate stage.
Speaker 13: What say you, well, good morning, Amy, you're singing my song.
Speaker 13: I've been saying for over a year that one of
Speaker 13: the big economic problems in the US is a lack
Speaker 13: of workers. We have an acute shortage in much of
Speaker 13: the country. Immigration reform would help that, but there's no
Speaker 13: immigration reform pending in Congress, so this will continue as
Speaker 13: a big problem.
Speaker 9: Now.
Speaker 2: Donald Trump, meanwhile, has said he's going to be sitting
Speaker 2: this particular debate out. We've been hearing this for several weeks. Now,
Speaker 2: is this wise?
Speaker 13: Well, if you're headed by as much as he is, yeah,
Speaker 13: I'd say it's probably wise. You don't want any unforced errors.
Speaker 13: But I have a hunt, Amy's that on the debate night,
Speaker 13: Donald Trump will find some way to inject himself into
Speaker 13: the limelight. He'll have a speech, He'll make some outrageous comment.
Speaker 13: I don't think he'll let the debate go by without
Speaker 13: attracting some attention to him.
Speaker 2: Well, and to that end, there is speculation about time
Speaker 2: for Donald Trump that he might consider turning himself into
Speaker 2: Georgia in time to steal the thunder from his rival
Speaker 2: Republicans on the debate stage. Is there anything to that?
Speaker 13: Yeah, I think that I'll bets you're off. He's a
Speaker 13: master showman, He's phenomenal at self promotion. And I don't
Speaker 13: think he'll let the day go by without getting in
Speaker 13: the limelight in one way or another. In what you
Speaker 13: suggest is possible.
Speaker 2: The prosecutor in Atlanta, meanwhile, we've been talking about that
Speaker 2: this morning has timeline arraignments the week of September fifth,
Speaker 2: the trial to begin by March fourth. First of all,
Speaker 2: is that realistic? Secondly, don't defense attorneys get an opportunity
Speaker 2: to have us say in that? And third why so fast?
Speaker 13: Well, I think they would like to keep this in
Speaker 13: the limelight. And the main point I would make about
Speaker 13: Atlanta about Georgia is that this will take way over
Speaker 13: a year. Here we are now in getting into late August.
Speaker 13: I think maybe the trial will have begun by then,
Speaker 13: but I think there almost certainly will be appeals. Another
Speaker 13: thing Trump is very good at is appealing legal decisions.
Speaker 13: It could be twenty twenty five before all four of
Speaker 13: these huge cases are resolved. And it's not out of
Speaker 13: the question. If Trump should win and he and Biden
Speaker 13: are about tide, Trump could serve as president in jail.
Speaker 1: No.
Speaker 2: Oh, okay, So I don't want to shift gears on
Speaker 2: that note, but I think we have to. We need
Speaker 2: to look at the GOP and what you've been seeing
Speaker 2: it doesn't look very much like a recession. That's also
Speaker 2: something you've been talking about.
Speaker 13: Yeah, that's another big development this summer. I would say
Speaker 13: that the story that I think has caught the markets
Speaker 13: by surprise is how strong the economy is. The Atlanta
Speaker 13: Fed GDP now is out this morning with a new
Speaker 13: forecast for this quarter of economic growth of five point
Speaker 13: eight percent. I don't think we'll get that high. I
Speaker 13: think they're unrealistic. But even if it's at four percent,
Speaker 13: this is an economy that is far exceeding expectations.
Speaker 2: Now let's talk a little bit about President Biden, who
Speaker 2: has been touting his Inflation Reduction Act, and this is
Speaker 2: one of the things that he says is a product
Speaker 2: of that. Is that accurate?
Speaker 13: I think he needs to get some He deserves some credit.
Speaker 13: But the public is still nervous about inflation with good reason.
Speaker 13: Gasoline prices are going back up again, and while the
Speaker 13: economy is red hot, I think it would be premature
Speaker 13: to declare victory on inflation, so that continues to hurt
Speaker 13: Biden's prospects.
Speaker 2: He's also going to be going to Hawaii on Monday.
Speaker 2: He faced a lot of criticism before making this announcement.
Speaker 2: Is that going to be enough?
Speaker 13: Well, it's important, I think for him to show some
Speaker 13: empathy for this horrible trag and I think it might
Speaker 13: help him a bit. But for him, it really boils
Speaker 13: down to the economy and inflation, and maybe to a
Speaker 13: certain extent, Hunter Biden, but I think most voters care
Speaker 13: far more about the economy.
Speaker 2: Got about thirty seconds here. Before he goes to Hawaii,
Speaker 2: He'll be at Camp David. He's got an international summit
Speaker 2: with Japan and South Korea. What are you watching for.
Speaker 13: I think there may be a statement at the end
Speaker 13: of this talking about more cooperation, but I don't see
Speaker 13: any bombshells. I don't see any big, huge development coming
Speaker 13: out of this summit.
Speaker 2: You're listening to Bloomberg Daybreak today, your morning brief on
Speaker 2: the stories making news from Wall Street to Washington and beyond.
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