Speaker 1: Bloomberg Audio Studios, Podcasts, Radio News. Good morning, I'm Nathan
Speaker 1: Hager and I'm Karen Moscow. Here are the stories we're
Speaker 1: following today.
Speaker 2: We begin in Washington, where a government shut down may
Speaker 2: be a step closer to being averted. Bloomberg's Jeff Bellinger
Speaker 2: as the latest, Congressional leaders in the White House have
Speaker 2: reached a handshake deal to fund the federal government through
Speaker 2: the rest of the fiscal year, sources tell Bloomberg News.
Speaker 2: Consensus finally came last night with an agreement on the
Speaker 2: Department of Homeland Security. Disputes over border security and migrant
Speaker 2: processing had held up those talks. A short government shut
Speaker 2: down over the weekend is still possible. Congressional aids need
Speaker 2: to write the text and it needs to be published
Speaker 2: for seventy two hours under House rules before it can
Speaker 2: come up for a vote. Jeff Bellinger, Bloomberg Radio.
Speaker 1: Right, Jeff, thank you now to the latest from the
Speaker 1: Middle East. President Biden and Israeli Prime Minister Benjamin netanya
Speaker 1: who held their first call in more than a month
Speaker 1: to try to ease tensions over Israel's war in Gaza. Netanyah,
Speaker 1: who agreed to send a group of advisors to Washington
Speaker 1: to talk about his planned invasion of Rafa. Now, former
Speaker 1: President Trump is inserting himself into the debate. In an
Speaker 1: interview with former White House the Aid Sebastian Gorka.
Speaker 3: Any Jewish person that votes for Democrats hates their religion,
Speaker 3: They hate everything about Israel, and they should be ashamed
Speaker 3: of themselves because Israel would be destroyed.
Speaker 1: The former president of hughes Democrats of wanting votes from
Speaker 1: people who sympathize with the Palestinians. Secretary of State Antony
Speaker 1: Blincoln is heading back to the Middle East for his
Speaker 1: sixth visit since the Gaza War broke out. He's been
Speaker 1: in Europe and Asia since last week. Now he'll extend
Speaker 1: his trips with stops in Saudi Arabia and Egypt to
Speaker 1: push for a ceasefire between Israel and Tamas.
Speaker 2: And In another political note, Karen Bloomberg News has learned
Speaker 2: for the former president, Donald Trump has ruled out Vivek
Speaker 2: ramaswamp Me as a potential running mate. Sources tell us
Speaker 2: Trump told the entrepreneur personally he won't be his vice
Speaker 2: presidential pick, but he is considering Gramaswami for a cabinet position.
Speaker 2: Including as a possible Homeland Security secretary.
Speaker 1: Well, we turned to the economy now, Nathan, the FED
Speaker 1: kicks off it's two day policy meeting. After a couple
Speaker 1: of recent hot inflation reads, economists now see no chance
Speaker 1: of a rate cut tomorrow. Dana Doria co CIO at
Speaker 1: Investment agrees, we started the.
Speaker 4: Year with such a high expectation of rate cuts and
Speaker 4: it really didn't make a lot of sense with where
Speaker 4: the data was right. So FED had said at the
Speaker 4: end of last year, higher for longer. Obviously, the FED
Speaker 4: mandate is inflation and employment, and both of those point
Speaker 4: very strongly at this point to not cutting. So I
Speaker 4: don't think anybody's expecting a rate cut this week, and
Speaker 4: I think that's been fully priced in. The question, of course,
Speaker 4: is what is power we're going to say. I would
Speaker 4: expect that he does come out trying to thread the needle.
Speaker 1: And Investment's Dana Doria adds that the most recent inflation
Speaker 1: data will not extreme speaks to stickiness in the economy.
Speaker 1: The FED has kept its benchmark rate in a range
Speaker 1: between five and a quarter percent and five and a
Speaker 1: half percent since July.
Speaker 2: In Asia Careen, the Bank of Japan has ended the
Speaker 2: most aggressive monetary stimulus program in modern history. The BOJ
Speaker 2: is scrapping the world's last negative interest right while leaving
Speaker 2: the course of additional hikes unclear. Bank of Japan governor
Speaker 2: Kuswa Uwaita spoke at a news conference after the decision.
Speaker 2: Bloomberg Stephen Engel has more from Tokyo.
Speaker 5: Weda also announced in this press conference that the wage
Speaker 5: gaines played a big role in his decision, but again
Speaker 5: he's also kind of downplaying the possibility or the need
Speaker 5: right now. Given the current situation for further tightening, they're
Speaker 5: going to remain accommodative.
Speaker 6: For a while.
Speaker 5: How long is a while, we simply don't know.
Speaker 2: Bloomberg Steven Engel says this was the boj's first hike
Speaker 2: in seventeen years, and checking the end this morning, it
Speaker 2: is weakening against the dollar now at one fifty point
Speaker 2: four zero.
Speaker 1: Asia Nathan Chinese regulators say the developer Ever Grand falsely
Speaker 1: inflated revenue by more than seventy eight billion dollars in
Speaker 1: the two years leading to its failure. The Chinese Securities
Speaker 1: Regulatory Commission lays much of the blame on the company's founder,
Speaker 1: Hoy Kai Yon Bloomberg's Asia Government correspondent Rebecca Chun Wilkins
Speaker 1: says the ruling marks the unwinding of a decade long
Speaker 1: roller coaster for China's real estate market.
Speaker 7: Everygram was sort of always the bad boy of the
Speaker 7: real estate sector. It was always for the last decade.
Speaker 7: The story had been a bit coming to the brink
Speaker 7: of these liquidity crisis, but always somehow. I'm probably finding
Speaker 7: a way to hang on.
Speaker 1: And Bloomberg's Rebeca Chung Wilkins as the action may pave
Speaker 1: the way for more serious charges against Hoy.
Speaker 2: In Europe, Karen on the first anniversary of UBS as
Speaker 2: historic takeover of its former rival Credit Suite. It is
Speaker 2: becoming clear just how advantageous that deal's been for the bank.
Speaker 2: Let's get the details in London with Bloomberg Daybreak europ
Speaker 2: banker Caroline Hepger.
Speaker 8: Nathan and Karen Good Morning. Scandals, losses and client withdrawals
Speaker 8: meant Credit Swee was foisted on UBS last March in
Speaker 8: an emergency deal masterminded by Swiss authorities. He here on
Speaker 8: UBS has come up smelling of Roses Ceo, Sergio and
Speaker 8: Motty is integrating the two banks. UBS's share price hit
Speaker 8: a sixteen year high this month. So a market cap
Speaker 8: of more than one hundred billion dollars and different concerns
Speaker 8: keeping a lid on costs and being systematically important, a
Speaker 8: balance sheet for ubs that is twice the size of
Speaker 8: Switzerland's entire economy. In London, Caroline Hepgar Bloomberg Radio, All.
Speaker 1: Right, Caroline, thank you all back here on Wall Street,
Speaker 1: the average bonus dropped last year. We get that story
Speaker 1: from Bloomberg's John Tucker.
Speaker 9: According to an analysis by the New Year State Controller,
Speaker 9: the average annual cash bonus fell two percent last year
Speaker 9: to just over one hundred and seventy six thousand dollars.
Speaker 9: The drop was far less dramatic than it was in
Speaker 9: twenty two, when the average bonus slump twenty five percent.
Speaker 9: The slump and mergers and initial public offerings continues to
Speaker 9: weigh on banker bonuses as interest rates remain elevated. Meanwhile,
Speaker 9: even with firms including City Group, cutting jobs, New York
Speaker 9: securities industry continues to see an increase in total employment.
Speaker 9: The workforce climbed to more than one hundred and ninety
Speaker 9: eight thousand last year, and that's the highest level in
Speaker 9: more than two decades, John Tucker, Bloomberg Radio.
Speaker 2: Okay, John, thank you. In company news, and Nvidia has
Speaker 2: unveiled the successor to its famed artificial intelligence processor. The
Speaker 2: Czech giant shared designs for a new chip called Blackwell.
Speaker 2: It's multiple times faster than its current processor. At a
Speaker 2: conference in California, Nvidia CEO Jensen Wink says Blackwell is
Speaker 2: a more effective version of the previous Hopper design.
Speaker 10: Form fit function compatible to Hopper, and so you slide
Speaker 10: off Hopper and you push in Blackwell. That's the reason
Speaker 10: why one of the challenges of ramping is going to
Speaker 10: be so efficient. Same design, the power, the electricity, the thermals,
Speaker 10: the software identical.
Speaker 2: Jensen Wang's Nvidia is the first chip maker to have
Speaker 2: a market capitalization of more than two trillion dollars at
Speaker 2: trails only Microsoft and Apple.
Speaker 1: And it's time now for a look at some of
Speaker 1: the other stories making news in New York and around
Speaker 1: the world. And for that we're joined by Bloomberg's Michael
Speaker 1: bar Good morning, Michael.
Speaker 11: Good morning, Karen. A judge's rule that Donald Trump's former
Speaker 11: attorney Michael Cohen and adult film star Stormy Daniels will
Speaker 11: be allowed to testify at the former president's New York
Speaker 11: criminal trial. Trump's hush money trial could begin next month.
Speaker 11: Manhattan District Attorney Alvin Bragg's office charged Trump with falsifying
Speaker 11: business records and concealing the reimbursement of payments made to
Speaker 11: Daniels before the twenty sixteen election about an alleged affair
Speaker 11: with Trump. Trump denies the allegations. Former Trump advisor Peter
Speaker 11: Navarro must report to prison today after losing his last
Speaker 11: chance Supreme Court appeal to stay out. Navar Old will
Speaker 11: spend the next four months in prison near Miami. He
Speaker 11: is the only former Whineouse official ever jailed for contempt
Speaker 11: of Congress. The US Supreme Court has extended its block
Speaker 11: on a Texas law that would allow police to arrest migrants.
Speaker 11: Bloomberg's Ed Baxter as the story.
Speaker 6: Under the law, police would have broad powers to arrest
Speaker 6: migrants suspected of entering the US while the legal battle
Speaker 6: of immigration authority is played out. The Biden administration sued
Speaker 6: to strike it down, arguing it would usurp core federal
Speaker 6: authority on immigration. Civil rights groups have argued the law
Speaker 6: could lead to racial profiling. Texas argued the law mirrored
Speaker 6: federal law and that it had to address the crisis
Speaker 6: at its border. Justine Samuel Alito did not put an
Speaker 6: expiration date on this one, but said pending further appeal.
Speaker 6: Ad Baxter Bloomberg Radio.
Speaker 11: New York Mayor Eric Adams has been accused of sexual
Speaker 11: wi assaulting a woman in nineteen ninety three. A lawsuit
Speaker 11: was filed in Manhattan Supreme Court yesterday against Adams. The
Speaker 11: woman claims she approached Adams and asked for help with
Speaker 11: a workplace issue. Adams was then an NYPD officer and
Speaker 11: president of the Police Guardians Association. According to the allegations
Speaker 11: in the lawsuit, Adams then demanded the woman, who was
Speaker 11: a city employee at the time, perform a sex act
Speaker 11: in a car. She first filed her notice of claim
Speaker 11: in November, telling the court she planned to sue Adams
Speaker 11: for sexual assault. Adams has vehemently denied the allegations. Secretary
Speaker 11: of Saint Anthony Blincoln plans to underscore Washington's ironclad commitment
Speaker 11: to its alliance with the Philippines as he meets today
Speaker 11: with top officials in Manila. He visited a facility that
Speaker 11: makes US semiconductors. Blincoln stressed the importance of the U. S.
Speaker 11: Philippines partnership in the semiconductor industry.
Speaker 5: Philoppy's a thriving partner and a critical partner.
Speaker 7: Indeed, an Acre the Catal the partner in the semiconductor
Speaker 7: supply chain.
Speaker 11: Next month, President Joe Biden will host the leaders of
Speaker 11: the Philippines and Japan and the White House Summit amid
Speaker 11: growing concerns over Chinese actions in the South China Sea
Speaker 11: and North Korea's nuclear program. Global News twenty four hours
Speaker 11: a day, whenever you want it with Bloomberg News Now.
Speaker 11: I'm Michael Barr. This is Bloomberg Heron.
Speaker 1: All right, Michael Barr, thank you, and it's time now
Speaker 1: for the Bloomberg Sports Update. It's brought to you by
Speaker 1: Tri State Audi and we bring in to John stash Hour. John,
Speaker 1: Good morning, Good morning.
Speaker 12: Karen Nixon joined Life out West. Three games on this trip,
Speaker 12: three victories. They meet the Warriors one nineteen to one
Speaker 12: to twelve. They did it without oj Ananobi, who recently
Speaker 12: returned from a long absence. He has re injured his
Speaker 12: elbow could be out a while again. Duce McBride started
Speaker 12: in this place, played almost the entire game scored twenty
Speaker 12: nine points. Jalen Brunson scored thirty four. Josh Art played
Speaker 12: all forty eight minutes. He had a triple double. The
Speaker 12: Knicks coach.
Speaker 13: Tompedibodeaut team is demonstrated all year. There's a lot of fight,
Speaker 13: a lot of heart, a lot of toughness, and a
Speaker 13: lot of togetherness to the group. So there's a belief
Speaker 13: that we can win. We always talk about our defense,
Speaker 13: are rebounding, taking care of the ball. I thought we
Speaker 13: shared the ball extremely well.
Speaker 12: Tonight road trip ends Thursday in Denver. NBA mismatch in
Speaker 12: Boston Celtics by twenty five of the Pistons. Capitals won
Speaker 12: five two at Calgaries, Alex Ovechkin reached twenty goals for
Speaker 12: the nineteenth year in a row. Only others to do that.
Speaker 12: Brendan Shanahan and Gordie Howe Rangers tonight hosting Winnipeg. NCAA
Speaker 12: tournament begins tonight, as always in Dayton, the first of
Speaker 12: the first four games has Wagner taken on. Howard took
Speaker 12: until just before opening day, but free agent Blake Snell
Speaker 12: has a deal to pitch for the San Francisco Giants.
Speaker 12: It's short term two years sixty two million. He can
Speaker 12: app opt out after one season. The Yankees steered clear
Speaker 12: of Snell even after the Garrett Cole injury, and the
Speaker 12: Yankees have another injury could be without dj LeMay, who
Speaker 12: for next Thursday's opener he has with Aaron Boone termed
Speaker 12: a pretty significant bruise bone in his foot. That's sit down, buttry.
Speaker 12: The PGA tour and the head of the Saudi Arabia
Speaker 12: Public Investment Fund that backs to Live tour took place
Speaker 12: in the Bahamas. PGA Commissioner Jay Monahan said that two
Speaker 12: sides have a shared vision, still need to work through
Speaker 12: several key issues.
Speaker 4: Johns.
Speaker 9: Stashewer, Bloomberg Sports.
Speaker 2: Let's get more now on the politics this handshake deal
Speaker 2: to keep the threat of a government shut down on
Speaker 2: hold for at least another six months, and the politics
Speaker 2: of the Middle East now playing in the presidential race.
Speaker 2: We're joined now by Bloomberg News Managing Editor Derek Wallbank.
Speaker 2: Good to talk with you, Derek on this morning after
Speaker 2: we learned that there's this handshake deal to keep the
Speaker 2: rest of the government open that was due to run
Speaker 2: out of funds at the end of the week. What
Speaker 2: does this say about the six months of fighting over
Speaker 2: spending levels, over border security, that we're just going to
Speaker 2: keep the government funded another six months.
Speaker 14: You know. I think that it's a really interesting it's
Speaker 14: really saying conclusion if this holds and if there are
Speaker 14: the votes to do this. If there are the votes
Speaker 14: is less of a question than if this holds, because
Speaker 14: I want to be really really clear that we have
Speaker 14: had things that sound like deals that then start to
Speaker 14: get a lot of consternation and things of that nature.
Speaker 14: And I think, you know, we've all lived through a
Speaker 14: lot of that, So you do have to put that
Speaker 14: caveat on things at this point. But there's certainly no
Speaker 14: appetite among congressional leaders of any party for a shutdown.
Speaker 14: I think Republicans realize that previous shutdowns in the last
Speaker 14: decade plus have not gone well for them, particularly because
Speaker 14: I'm not sure that they see a path between this
Speaker 14: and extracting anything that some on the right side of
Speaker 14: their conference think that they can get out of it.
Speaker 14: So the idea is basically, why go into a shutdown
Speaker 14: if you don't know how you're going to win, if
Speaker 14: you don't know what you're going to be able to
Speaker 14: get out of it, and there's not really a clear
Speaker 14: sense that they could get anything out of it. So
Speaker 14: you figure out what your best deal possible is, you
Speaker 14: put that on the table. Democrats plus a lot of
Speaker 14: Republicans equals a majority to be able to go through this.
Speaker 14: There's a possibility that you might be looking at trying
Speaker 14: to get through to suspension of the rules, which is
Speaker 14: a fast track procedure that requires two thirds. You might
Speaker 14: be able to get that, gets that through, and then
Speaker 14: that sets up September thirty is a big date whereby
Speaker 14: you do have to get something done, and that's a
Speaker 14: month and change before the big election. So yes, this
Speaker 14: is kicking the can down the road. I think that
Speaker 14: had been always the professional expectation. But keep in mind,
Speaker 14: Kevin McCarthy was ousted and spending was one of the
Speaker 14: reasons that people on the right flank gave for trying
Speaker 14: to get rid of him, and so a lot of
Speaker 14: a lot of consternation has been had over this issue
Speaker 14: to end up where we've ended up.
Speaker 2: Along with fighting over spending, we've got the fighting in
Speaker 2: the Middle East now playing into the presidential race. President
Speaker 2: Biden and Israel's Prime minister just had their first call
Speaker 2: in about a month, and now we're hearing from the
Speaker 2: former president saying things like Jewish Democrats hate their religion
Speaker 2: and hate Israel. What to make of how this is
Speaker 2: playing into the presidential race now.
Speaker 14: Well, I think Benjamin Netna, who has been somebody who
Speaker 14: has done a lot to ally himself with the right flank.
Speaker 14: I mean, there's no secret that Netanyahu and Trump had
Speaker 14: a much closer public relationship than Netanyahu and Joe Biden
Speaker 14: have had, right, and this has been a point of consternation.
Speaker 14: We've talked before among Democrats, Chuck Schumer with a pretty
Speaker 14: solid break there in recent days, Biden and Netanya, who
Speaker 14: have to find a way to work together in some
Speaker 14: ways though right Israel is reliant on on the US
Speaker 14: for a lot of things. Biden wants to be pro
Speaker 14: Israel generally speaking, but has things that he cannot tolerate
Speaker 14: that Israel has done visit Vigaza, is not happy with
Speaker 14: the way that Israel is prosecuting the war, and a
Speaker 14: lot of in a lot of respects, and so there
Speaker 14: are real points of contention in that relationship. Trump is
Speaker 14: trying to use this to his electoral benefit, but in
Speaker 14: ways that I think many Democrats find to be find
Speaker 14: to be quite problematic. Yeah, so there's a lot, there's
Speaker 14: a lot at play here, and I think this is
Speaker 14: a difficult sort of thing, but you can expect.
Speaker 15: This is Bloomberg Daybreak Today, your morning brief on the
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Speaker 1: Join us again tomorrow morning for all the news you
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