Speaker 1: Good morning.
Speaker 2: I'm Nathan Hager and I'm Karen Moscow. Here are the
Speaker 2: stories we're following today.
Speaker 3: We begin with the Supreme Court. The final decisions of
Speaker 3: the High Court's term are expected today, and among them
Speaker 3: is a ruling on President Biden's student loan relief program.
Speaker 3: Amy Morris has a preview from our Bloomberg ninety nine
Speaker 3: one newsroom in Washington.
Speaker 4: The administration's program would erase up to twenty thousand dollars
Speaker 4: of federal student loan debt for forty million borrowers. Bloomberg
Speaker 4: Supreme Court reporter Greg Store says there are questions about
Speaker 4: the case and the challenges.
Speaker 5: During arguments to the courts seem pretty skeptical that he
Speaker 5: had the authority to do that, but there is a
Speaker 5: lingering question about whether the states and others challenging the
Speaker 5: plan have legal standing to even get in the court.
Speaker 4: No matter what the ruling is, today, the payment pause
Speaker 4: is lifted and borrowers must resume their monthly payments in
Speaker 4: October until the Education Department can process their debt relief applications.
Speaker 4: That is, if the court allows the program to continue.
Speaker 4: In Washington. I Maye Morris, Bloomberg Day break all.
Speaker 2: Right, Amy, thank you well. Today's rulings come after a
Speaker 2: decision yesterday that revers to decades of president and college admissions.
Speaker 2: In a six to three vote, that justices ruled that
Speaker 2: race can no longer be considered in enrollment decisions, and
Speaker 2: that drew a harsh response from President Biden.
Speaker 6: If a students has overcome, had to overcome adversity on
Speaker 6: their path education, college should recognize and value that our
Speaker 6: nation college and university should be engines of expanding opportunity
Speaker 6: through upper mobility. But today too often that's not the case.
Speaker 2: And the President says the court is putting its legitimacy
Speaker 2: in doubt, but he still opposes large scale reforms like
Speaker 2: expanding the court or imposing term limits on justices.
Speaker 3: Well, just the decision, Karen is drawing sharp response from
Speaker 3: other Democrats on Capitol Hill. Congressman Robin Kelly says universities
Speaker 3: should still push for diverse student bodies even after the ruling.
Speaker 7: The promise of America is big enough for all of
Speaker 7: us to succeed, and I just hope that colleges will
Speaker 7: continue their mission of bringing in a diverse student body legally,
Speaker 7: of course, not breaking any rules but it is so
Speaker 7: important for the college end for society.
Speaker 3: Democrat Robin Kelly of Illinois spoke with Joe Matthew on
Speaker 3: Bloomberg Sound on listen weekdays one pm Eastern on Bloomberg
Speaker 3: Radio or on demand wherever you get your podcasts.
Speaker 2: Well, another note out of Washington this morning, Nathan, we're
Speaker 2: learning a man who took part in the January sixth
Speaker 2: attack on the Capitol has been arrested in the neighborhood
Speaker 2: where former President Barack Obama lives. Reports say the man
Speaker 2: had weapons and explosive materials. It was not known if
Speaker 2: Obama and his family were home at the time.
Speaker 3: Let's turn to markets now, Karen. This is the final
Speaker 3: trading day of the first half of the year, and
Speaker 3: it has been a good twenty twenty three for the bulls.
Speaker 3: Leading the games the tech heavy Nasdaq. It has surged
Speaker 3: almost thirty percent this year. Shares of Apple have helped
Speaker 3: fuel the rally. Now the tech giants on the cusp
Speaker 3: of becoming the first company with a market value of
Speaker 3: three billion dollars. Still there is caution in the air.
Speaker 3: Sonia Maskin is head of US Macro at BNY Melon.
Speaker 8: I think the risk is really frankly inequities. I think
Speaker 8: I'd be quite cautious about and very mindful of equity
Speaker 8: selection process here because higher term premium and high real
Speaker 8: rates are not necessarily the equity's friend.
Speaker 3: Bny Mel and Sonia Mescan notes the S and P
Speaker 3: five hundred has now posted gains for three straight quarters.
Speaker 2: Well, helping boost sentiment today, Nathan is the belief that
Speaker 2: the Federal Reserve is almost done raising rates, even though
Speaker 2: Fetchier J. Powell signaled two more hikes are on the way.
Speaker 2: Atlanta FED President Raphael Bostik disagrees and thinks the Fed
Speaker 2: should pause.
Speaker 9: The Median Committee participant believes the FMC needs to do
Speaker 9: more to get inflation back to our target, and here
Speaker 9: I have to confess I do not fully share this view.
Speaker 2: And speaking in Ireland, Rafael Bostik said he thinks the
Speaker 2: policy rate should hold steady because of signs that inflation
Speaker 2: is easy and the labor market is cooling.
Speaker 3: Members of the Fed are going to get more KEYDA today, Karen,
Speaker 3: ahead of next month's policy decision. This morning we get
Speaker 3: PCEE price data plus readings on household income and spending.
Speaker 3: Bloomberg's Michael McKee has a preview.
Speaker 10: Americans likely continued to spend more in May, but not
Speaker 10: a whole lot. Analysts are predicting a pullback as people
Speaker 10: ran down their pandemic savings and tired of buying stuff.
Speaker 10: The question is will spending on services continue to surprise
Speaker 10: as it did in the first quarter, helping push GDP
Speaker 10: growth through March to two percent from one point four percent.
Speaker 10: The fat in particular, will also be focused on the
Speaker 10: May PCE inflation numbers. While core inflation is forecast to
Speaker 10: remain sticky, headline inflation should drop below four percent for
Speaker 10: the first time since the pandemic. Michael McKee, Bloomberg Daybreak.
Speaker 2: All right, Michael, thank you well. Economic data is also
Speaker 2: in focus in Asia today. China's economy decelerated in June
Speaker 2: as manufacturing activity contracted once again. Bloomberg Daybreak Asia anchor
Speaker 2: Brian Curtis has more from Hong Kong.
Speaker 11: The official PMI was forty nine, matching estimates but barely
Speaker 11: up from May. Manufacturing gage slipped to fifty three point
Speaker 11: two from fifty four point five the prior month. While
Speaker 11: slightly disappointing, at least it was firmly an expansion now
Speaker 11: the numbers suggest the government will dole out more stimulus.
Speaker 11: It's not that there hasn't been an effort to provide support,
Speaker 11: but the question remains is it working. New Orders Export
Speaker 11: Orders engages on employment all below fifty in Hong Kong.
Speaker 11: Brand Curtis Bloomberg dbreak.
Speaker 3: Ran thanks back here in the US. Shares of Nike
Speaker 3: are down nearly four percent. The outlook for the full
Speaker 3: year failed to win over Wall Street sales top estimates,
Speaker 3: but profit fell short. And for that look at other
Speaker 3: stories making news in New York and around the world.
Speaker 3: We are joined by Bloomberg's Michael Barr Good Friday Morning, Michael.
Speaker 12: Good, Morning, Nathan. The verdicts are in on charges for
Speaker 12: the former Florida Sheriff's deputy who was first on the
Speaker 12: scene at the twenty eighteen Parkland school shooting but took
Speaker 12: cover instead of taking action. Bloomberg's Dan Schwartzmann reports.
Speaker 13: Former Broward County Deputy Scott Peters has been acquitted on
Speaker 13: felony child neglect charges, amongst other charges, for failing to
Speaker 13: actoring the Parkland school massacre back in twenty eighteen, the
Speaker 13: left seventeen dead. Peterson at the time was a campus
Speaker 13: deputy at Marjorie Stoneman Douglas High School, was accused of
Speaker 13: failing to confront shooter Nicholas Cruz as he went on
Speaker 13: his rampage. Video shows Peterson taking cover in the alcove
Speaker 13: of a neighboring building from the shooting with his gun
Speaker 13: drawn and not moving from that location for over forty
Speaker 13: minutes until well after other officers stormed the building and
Speaker 13: captured Cruise. In New York, I'm Dan Schwartzman Bloomberg Daybreak.
Speaker 12: New York City Mayor Eric Adams defended his handling of
Speaker 12: migrants arriving in the city from Republican led states. Adams
Speaker 12: said he has visited El Paso, Texas, where he saw
Speaker 12: migrant families sleeping in the airport and on the streets.
Speaker 12: The mayor said, while New York will seek help to
Speaker 12: ease the burden on the city, it will not refuse
Speaker 12: care to migrants.
Speaker 14: We have navigated over seventy thousand people in our city.
Speaker 9: No child of family are sleeping on the streets of
Speaker 9: the City.
Speaker 12: Of New York. Mayor Adams made his comments while taking
Speaker 12: questions on the city's budget. Adams and the city Council
Speaker 12: speakers struck a deal on a record one hundred and
Speaker 12: seven billion dollar budget. The agreement, which comes as the
Speaker 12: city faces a potentially deteriorating economic climate, will cut some
Speaker 12: funding for Rikers Island and homeless services. Republican Representative George
Speaker 12: Santos returns to a New York court today for the
Speaker 12: first time since pleading not guilty last month to fraud charges.
Speaker 12: The hearing for the Long Island congressman is expected to
Speaker 12: focus on future court dates, among other things, Santos is
Speaker 12: accused of duping donors, stealing from his campaign, and collecting
Speaker 12: fraudulent unemployment benefits. The holiday travel rushes on after what's
Speaker 12: been a stressful week for travelers, with more than six
Speaker 12: hundred flights canceled yesterday alone and more than seven thousand
Speaker 12: canceled since Saturday. Passengers are on edge, with bags filing
Speaker 12: up at airports, some people stranded for days, and the
Speaker 12: TSA says today will be its busyest of the holiday weekend.
Speaker 12: Global News twenty four hours a day, powered by more
Speaker 12: than twenty seven hundred journalists and analysts and over one
Speaker 12: hundred and twenty countries. I'm Michael Barr, and this is Bloomberg.
Speaker 3: Nathan, Thank you, Michael, time for the Bloomberg Sports Update.
Speaker 3: Good morning, John Staneshawer.
Speaker 12: Morning Nathan.
Speaker 14: The Yankees and Mets both displayed game number eighty one,
Speaker 14: so halfway through. Yankees at forty five and thirty six.
Speaker 14: They love a tough time repeating as AL East champ.
Speaker 14: They're nine and a half games behind Sampa Bay, but
Speaker 14: they figured the battle for a wild card in Oakland.
Speaker 14: They trailed three to one, exploded for eight runs in
Speaker 14: the sixth, then he beat the lowly a ten to
Speaker 14: four to win the series. This win coming after the
Speaker 14: Domingo Hermann perfect game. Who's Aaron Boone.
Speaker 15: Thought the guys were really energetic, almost that like you, Forick.
Speaker 10: Didn't have time to think.
Speaker 15: It's like here we go, let's go tomorrow, and you're
Speaker 15: coming off the high of Domingo, so so I really
Speaker 15: thought the energy was really good.
Speaker 14: Three hits Isaiah Connor for Lefahomer drove in three runs.
Speaker 14: Yankees fight tonight in Saint Louis. The Cardinals a huge
Speaker 14: first half disappointment after winning the NL Central last season.
Speaker 14: They're in last place. They're fourteen games under five hundred,
Speaker 14: and the Mets not all that much better after one
Speaker 14: hundred and one wins a year ago. Their record halfway
Speaker 14: through thirty six and forty five. They've lost eighteen of
Speaker 14: their last twenty four games. Beaten again by Milwaukee at
Speaker 14: City Field three to two. Mets got back to back
Speaker 14: home runs third inning Brett Baty Brandon Nimo. They led
Speaker 14: to nothing with Max Schurz on the mound, but they
Speaker 14: didn't score again. The Liberty of much hype team this
Speaker 14: season with the class of the WNBA, the Las Vegas
Speaker 14: Aces won the championship last season. They are fourteen and one.
Speaker 14: They've beat Liberty by seventeen. NBA free agency about to
Speaker 14: kick off. Kyrie Irving on the list. There's a report
Speaker 14: he's talking to the Phoenix Suns. James Harden is one
Speaker 14: time teammate in Brooklyn, opted in in Philadelphia and make
Speaker 14: thirty five million.
Speaker 12: He could still get traded by the six Ers. John
Speaker 12: Stasheller Bloomberg.
Speaker 16: Sports from coast to coast, from New York to San Francisco,
Speaker 16: Boston to Washington, DC, nationwide on Syrias Exam, the Bloomberg
Speaker 16: Business app, and Bloomberg dot Com. This is Bloomberg Daybreak.
Speaker 16: Good morning, I'm Nathan Hager. President Biden is delivering his
Speaker 16: strongest criticism of the Supreme Court yet following its decision
Speaker 16: to end affirmative action, essentially in college admissions. At the
Speaker 16: White House yesterday, the President told reporters, quote, this is
Speaker 16: not a normal court. Then he expanded on that in
Speaker 16: an interview on MSNBC.
Speaker 6: I just find it just so out of sorts with
Speaker 6: the basic value system the American people. The vast majority
Speaker 6: of American people don't agree with a lot of the
Speaker 6: decisions courts to make.
Speaker 7: You.
Speaker 3: Yeah, that was the President yesterday following that affirmative action decision.
Speaker 3: And this Court has yet another high profile decision coming
Speaker 3: today on the final day of its term, on the
Speaker 3: President's student debt relief program. For more on the politics
Speaker 3: of the High Court, we are joined by Julie Norman,
Speaker 3: the co director of the Center on US Politics at
Speaker 3: University College London. Julie, it's good to speak with you
Speaker 3: once again. There have been so many questions over the
Speaker 3: last several months about the standing of this Supreme Court.
Speaker 3: Now following the decisions that are coming at the end
Speaker 3: of this term, how would you assess the legitimacy of
Speaker 3: the Supreme Court right now as an institution.
Speaker 17: Well, good morning, Nathan. You know, I would say the
Speaker 17: ruling that we saw yes during affirmative Action was certainly expected.
Speaker 17: We've also seen several unexpected decisions, especially regarding voting rights
Speaker 17: and preserving legislators say in that, So I would say
Speaker 17: it's been a mix so far this season with the
Speaker 17: court's rulings that expected and unexpected. But I would say
Speaker 17: I would Biden's comments, I think are shared by by
Speaker 17: many that this is an unusual court. But I would
Speaker 17: say the rulings that we're seeing come down are actually
Speaker 17: pretty rational and pretty much a mix of what you
Speaker 17: would expect from from many Supreme courts. So I would
Speaker 17: personally hesitate from saying this is particularly unusual.
Speaker 3: Yeah, it is interesting to hear the price that think
Speaker 3: go so far as to say this is not a
Speaker 3: normal court. You think about as well, the decision last
Speaker 3: year on overturning abortion rights. What is the potential risk
Speaker 3: for the president to come so hard against the Supreme Court,
Speaker 3: at least rhetorically.
Speaker 17: Yeah, So I think this is something that Biden played
Speaker 17: right politically with abortion because Democrats did get a big
Speaker 17: boost out of that, and that's mainly because it's an
Speaker 17: issue that matters to a lot of people, I think,
Speaker 17: regardless of what Biden said about it or not. Regarding
Speaker 17: affirmative action. Again, for Democrats, this has been a big
Speaker 17: issue within the party. But somewhat contrary to Biden's comments,
Speaker 17: public opinion is rather split on this. You know, the
Speaker 17: majority of Americans do not support the inclusion of race
Speaker 17: in college admissions, and even among Democrats, it's quite split.
Speaker 17: And we saw that with California in twenty twenty trying
Speaker 17: to bring affirmative action back in California, very liberal state.
Speaker 17: You know, I fifty seven percent said no, we don't
Speaker 17: want affirmative action. So I would say public opinion is
Speaker 17: much more nuanced on this issue than I think Biden
Speaker 17: and many Democrats have portrayed it to be.
Speaker 3: What does it tell you, Julie, that the Supreme Court
Speaker 3: has waited until the final day of its term to
Speaker 3: come out with its decision on a case that is
Speaker 3: going to affect the president's political standing pretty directly, I
Speaker 3: think it's pretty safe to say on the student debt
Speaker 3: relief program, which is so popular with his young educated
Speaker 3: Democratic voter base.
Speaker 17: Well, yeah, so, Nathan, we usually see the Court wait
Speaker 17: until the very last couple of days to release the
Speaker 17: most controversial rulings. So affirmative Action yesterday, probably student loans today,
Speaker 17: and the student loan relief was again an executive action
Speaker 17: that Biden put in place last year to relieve dead
Speaker 17: up to twenty thousand for some applicants and of ten
Speaker 17: thousand for others. The Court has been hearing arguments this
Speaker 17: is executive overreach, and it's expected that they will likely
Speaker 17: put a stop to that. So while affirmative action has
Speaker 17: its own implications, I think the case today certainly has
Speaker 17: political implications because it's really the Justice Department, the Supreme
Speaker 17: Court putting a very direct check on Biden and on
Speaker 17: the executive and that's politically going to be you know,
Speaker 17: that's going to hit Biden. But I would say this
Speaker 17: is something that was somewhat expected. If this is the
Speaker 17: way it comes out.
Speaker 3: Is this a kind of political impact that could have
Speaker 3: implications into twenty twenty four got about a minute left, I.
Speaker 17: Think it would. I mean, the student loan program definitely
Speaker 17: helped Democrats in the midterms, and I think many of
Speaker 17: them knew that, even knowing that it might get struck
Speaker 17: down later. I think realistically, you know, this is something
Speaker 17: that matters for many of Democrats base. I think it
Speaker 17: matters for getting support for Biden and many Democrats in primaries.
Speaker 17: But at the end of the day, again, this was
Speaker 17: also an issue that was very controversial. Many working class
Speaker 17: voters in particular felt left out of loan relief that
Speaker 17: was going to students and not to say small businesses
Speaker 17: or other enterprises. So in the general elections, I could
Speaker 17: say this could come out in a wash, but it
Speaker 17: was definitely galvin from many young Democrats in particular to
Speaker 17: come out and support Biden, support the Democrats.
Speaker 7: Nicolls.
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