1 00:00:02,520 --> 00:00:10,080 Speaker 1: Bloomberg Audio Studios, podcasts, radio news. You're listening to the 2 00:00:10,119 --> 00:00:13,840 Speaker 1: Bloomberg Balance of Power podcast. Catch us live weekdays at 3 00:00:13,880 --> 00:00:17,119 Speaker 1: noon and five pm Eastern on Apple, Coarplay and Android 4 00:00:17,120 --> 00:00:20,520 Speaker 1: Auto with the Bloomberg Business Up. Listen on demand wherever 5 00:00:20,560 --> 00:00:25,720 Speaker 1: you get your podcasts, or watch us live on YouTube, and. 6 00:00:25,680 --> 00:00:27,880 Speaker 2: A short time the President will be, as I mentioned, 7 00:00:27,880 --> 00:00:29,560 Speaker 2: making an announcement from the White House. And that's where 8 00:00:29,600 --> 00:00:32,519 Speaker 2: we start with Bloomberg's Tyler Kendall, because these really are 9 00:00:32,600 --> 00:00:33,560 Speaker 2: all the same story. 10 00:00:33,680 --> 00:00:33,960 Speaker 3: Tyler. 11 00:00:34,000 --> 00:00:36,960 Speaker 2: When the President talks about affordability, he frequently points to 12 00:00:37,280 --> 00:00:40,559 Speaker 2: drug prices with deals with the likes of Pfizer and 13 00:00:40,560 --> 00:00:45,599 Speaker 2: Lily the most Favored Nation status that they're receiving, as 14 00:00:45,600 --> 00:00:50,199 Speaker 2: well as gas prices. The rest of the prices we're 15 00:00:50,240 --> 00:00:51,760 Speaker 2: paying remain pretty stubborn. 16 00:00:51,800 --> 00:00:53,120 Speaker 3: What's he going to say about this today? 17 00:00:53,280 --> 00:00:53,920 Speaker 4: Right? Exactly. 18 00:00:53,960 --> 00:00:57,880 Speaker 5: It's no surprise that this event is happening to cap 19 00:00:57,920 --> 00:00:59,840 Speaker 5: off a week where we really saw the White House 20 00:01:00,280 --> 00:01:05,240 Speaker 5: to refocus on the economy, retool that narrative amid what 21 00:01:05,400 --> 00:01:08,880 Speaker 5: has been consistent polling showing that President Trump is losing 22 00:01:08,920 --> 00:01:12,480 Speaker 5: ground when it comes to Americans confidence in him, in 23 00:01:12,520 --> 00:01:14,800 Speaker 5: his handling of the economy. We were talking about this 24 00:01:14,880 --> 00:01:17,280 Speaker 5: last hour on this program, But you spoke earlier this 25 00:01:17,319 --> 00:01:20,039 Speaker 5: week with Cliff Young of IPSO said he had a 26 00:01:20,040 --> 00:01:22,959 Speaker 5: new poll out this week being cited widely that shows 27 00:01:23,000 --> 00:01:25,720 Speaker 5: that American's approval of President Trump has now slipped to 28 00:01:25,800 --> 00:01:28,959 Speaker 5: thirty nine percent. But really importantly, it's showing that his 29 00:01:29,000 --> 00:01:33,319 Speaker 5: support among Republicans is eroding. And that's why you're seeing 30 00:01:33,360 --> 00:01:35,240 Speaker 5: the White House really go out this week with a 31 00:01:35,240 --> 00:01:38,839 Speaker 5: slew of initiatives, his primetime speech and now this event 32 00:01:38,920 --> 00:01:41,399 Speaker 5: on drug pricing. According to the White House Press Secretary, 33 00:01:41,440 --> 00:01:43,720 Speaker 5: that's what this is going to focus on, lowering the 34 00:01:43,760 --> 00:01:46,600 Speaker 5: cost of pharmaceuticals. There was some reporting out earlier today 35 00:01:46,600 --> 00:01:50,360 Speaker 5: from Reuters that named those companies that could be here 36 00:01:50,400 --> 00:01:55,440 Speaker 5: for a potential deal at the White House, including Abby, Bristol, Myers, Gilead, 37 00:01:55,520 --> 00:01:58,480 Speaker 5: and merk. As you mentioned, President Trump had signed that 38 00:01:58,560 --> 00:02:02,280 Speaker 5: executive order in May urging the administration to negotiate on 39 00:02:02,480 --> 00:02:05,800 Speaker 5: Most Favored Nation drug pricing, essentially alleging that there are 40 00:02:05,920 --> 00:02:09,040 Speaker 5: unfair trade practices here, that these companies are giving better 41 00:02:09,120 --> 00:02:13,320 Speaker 5: rates to other countries. And the understanding has consistently been 42 00:02:13,480 --> 00:02:15,639 Speaker 5: that if they can bring down the pricing, then these 43 00:02:15,639 --> 00:02:17,959 Speaker 5: companies are ultimately going to get a terror for brief 44 00:02:18,000 --> 00:02:18,800 Speaker 5: from the administration. 45 00:02:18,880 --> 00:02:21,280 Speaker 2: Interesting, so he'll have something potentially new to talk about 46 00:02:21,280 --> 00:02:23,239 Speaker 2: in North Carolina tonight. What's the planner is going to 47 00:02:23,320 --> 00:02:26,920 Speaker 2: Rocky Mount. He's stumping as well as campaigning. 48 00:02:27,080 --> 00:02:29,560 Speaker 5: Well, And you know what's important about this area in 49 00:02:29,720 --> 00:02:33,520 Speaker 5: North Carolina. This is North Carolina's first congressional district. It 50 00:02:33,600 --> 00:02:36,680 Speaker 5: was newly redrawn. These are new maps in North Carolina, 51 00:02:36,760 --> 00:02:40,760 Speaker 5: and this district had historically gone to Democrats, but now 52 00:02:40,840 --> 00:02:44,320 Speaker 5: it looks like it will lean Republican. So it feels 53 00:02:44,320 --> 00:02:46,880 Speaker 5: like we are so long away from next November. But 54 00:02:46,960 --> 00:02:49,200 Speaker 5: everything really does have to do with the midterms. This 55 00:02:49,320 --> 00:02:51,880 Speaker 5: is all about campaigning and reaching out to the voters 56 00:02:51,919 --> 00:02:54,760 Speaker 5: in this area in a critical battleground state now in 57 00:02:54,800 --> 00:02:57,360 Speaker 5: a critical battleground district potentially. 58 00:02:57,680 --> 00:03:00,440 Speaker 2: But he's going for Waltley, right, Michael Whtley is running 59 00:03:00,440 --> 00:03:03,639 Speaker 2: for Senate, And that's why they chose North Carolina. Beyond 60 00:03:03,680 --> 00:03:06,040 Speaker 2: it its importance on the map in. 61 00:03:06,000 --> 00:03:08,160 Speaker 5: General, right exactly, this is going to be about down 62 00:03:08,200 --> 00:03:10,720 Speaker 5: ballot races because even though President Trump himself isn't on 63 00:03:10,800 --> 00:03:12,440 Speaker 5: the ballot, this has a lot to do with his 64 00:03:12,480 --> 00:03:14,840 Speaker 5: agenda going forward and whether or not he can get 65 00:03:14,840 --> 00:03:17,120 Speaker 5: through initiatives like we saw him get through this year 66 00:03:17,480 --> 00:03:22,799 Speaker 5: if Republicans don't maintain both chambers of Congress. But you're 67 00:03:22,840 --> 00:03:25,160 Speaker 5: exactly right, this is the second stop and what's expected 68 00:03:25,200 --> 00:03:27,760 Speaker 5: to be a domestic tour around the country on the 69 00:03:27,880 --> 00:03:31,760 Speaker 5: issue of affordability, and that's really where the White Houses 70 00:03:31,840 --> 00:03:35,280 Speaker 5: tried to free focus the conversation. We were talking about 71 00:03:35,280 --> 00:03:37,400 Speaker 5: it earlier, but in just the last twenty four hours, 72 00:03:37,400 --> 00:03:39,520 Speaker 5: Bloomberg News has a great story out on the terminal 73 00:03:39,560 --> 00:03:43,960 Speaker 5: looking into just the list of policy initiatives released in 74 00:03:43,960 --> 00:03:46,840 Speaker 5: the last twenty four forty eight hours, Right, those techs 75 00:03:46,880 --> 00:03:50,520 Speaker 5: that are going to service members, some gains for the 76 00:03:50,600 --> 00:03:55,960 Speaker 5: cannabis industry, making the days around the Christmas holiday, federal holidays. 77 00:03:55,960 --> 00:04:00,000 Speaker 5: There has been this retooling to talk about domestic policy 78 00:04:00,320 --> 00:04:04,400 Speaker 5: amid what has been recent weeks really focused on foreign policy. Right, 79 00:04:04,440 --> 00:04:07,080 Speaker 5: we started this show for weeks talking about the US 80 00:04:07,160 --> 00:04:11,240 Speaker 5: Venezuela attentions, ratcheting up what's happening with the talks in Ukraine, 81 00:04:11,920 --> 00:04:15,320 Speaker 5: and it does appear that the administration wants to shift that. 82 00:04:15,360 --> 00:04:16,440 Speaker 3: Narrative really something. 83 00:04:16,680 --> 00:04:20,200 Speaker 2: It's a late speech nine pm Eastern time, and it's 84 00:04:20,279 --> 00:04:21,919 Speaker 2: kind of interesting the way this is all going to 85 00:04:21,920 --> 00:04:23,760 Speaker 2: pan out, or we're going to talk about this in 86 00:04:23,920 --> 00:04:27,400 Speaker 2: just a moment here with Sarah Chrissoff. But it's Epstein Day. 87 00:04:27,600 --> 00:04:30,920 Speaker 2: The files are supposed to drop. We don't know when, right, 88 00:04:30,920 --> 00:04:34,080 Speaker 2: but the DOJ has until midnight, so presumably the President 89 00:04:34,120 --> 00:04:37,760 Speaker 2: could be on stage in North Carolina when this happens, right, And. 90 00:04:37,680 --> 00:04:40,360 Speaker 5: There seems to be an understanding that they may come later. 91 00:04:40,440 --> 00:04:44,200 Speaker 3: In the day to go Friday newsdrop. 92 00:04:43,839 --> 00:04:44,800 Speaker 4: Against the deadline. 93 00:04:44,839 --> 00:04:48,000 Speaker 5: And we did hear from the Deputy Attorney General Todd 94 00:04:48,080 --> 00:04:51,040 Speaker 5: Blanche earlier who said that there are so many files 95 00:04:51,080 --> 00:04:53,120 Speaker 5: that ultimately have to come out, we probably aren't going 96 00:04:53,200 --> 00:04:56,080 Speaker 5: to get them all today. And you know you've been 97 00:04:56,120 --> 00:04:58,800 Speaker 5: talking about this. There's no enforcement mechanism to make sure 98 00:04:58,839 --> 00:05:01,400 Speaker 5: that they do all come out, though it did seem 99 00:05:01,560 --> 00:05:04,480 Speaker 5: that the administration was indicating that they're going to And 100 00:05:04,520 --> 00:05:07,960 Speaker 5: of course this comes after Congress overwhelmingly passed that bill 101 00:05:08,200 --> 00:05:12,200 Speaker 5: last month compelling the DOJ to release all of these items. 102 00:05:12,200 --> 00:05:16,080 Speaker 5: We should say it requires the release of unclassified investigated records, 103 00:05:16,080 --> 00:05:21,040 Speaker 5: flight lunch, travel documents, immunity deals, internal department communications, and papers. 104 00:05:21,080 --> 00:05:23,640 Speaker 5: The list is really long here, But of course it 105 00:05:23,760 --> 00:05:27,119 Speaker 5: poses a political headwind for President Trump that he hasn't 106 00:05:27,120 --> 00:05:29,520 Speaker 5: really been able to get ahead of, and that's been 107 00:05:29,560 --> 00:05:33,240 Speaker 5: dominating the conversation over the summer, for example. So we'll 108 00:05:33,240 --> 00:05:35,919 Speaker 5: see how that sort of pairs with him trying to 109 00:05:35,960 --> 00:05:38,400 Speaker 5: talk about the issue at hand, which is the economy. 110 00:05:38,440 --> 00:05:41,520 Speaker 2: Well, it's pretty amazing to hear from Todd Blanche, Deputy 111 00:05:41,560 --> 00:05:45,640 Speaker 2: Attorney General, telling Fox News that they will miss the deadline. 112 00:05:45,680 --> 00:05:47,920 Speaker 2: We'll get hundreds of thousands today, but there will still 113 00:05:47,960 --> 00:05:51,680 Speaker 2: be hundreds of thousands to be released, so they're not 114 00:05:51,720 --> 00:05:54,039 Speaker 2: going to get this all done as mandated by law. 115 00:05:54,160 --> 00:05:56,240 Speaker 5: Now, in one of the other questions here is, of course, 116 00:05:56,279 --> 00:05:59,160 Speaker 5: how the DOJ is going to invoke some of those exceptions. 117 00:05:59,200 --> 00:06:02,360 Speaker 5: We know that there's exceptions to protect survivors. There's also 118 00:06:02,480 --> 00:06:07,120 Speaker 5: exceptions here that officials can withhold any information if it's 119 00:06:07,160 --> 00:06:10,640 Speaker 5: related to an ongoing investigation, which could be complicated by 120 00:06:10,640 --> 00:06:13,680 Speaker 5: the fact that President Trump did direct the DOJ to 121 00:06:13,960 --> 00:06:17,800 Speaker 5: launch investigations into alleged ties between Epstein and prominent Democrats. 122 00:06:17,800 --> 00:06:20,159 Speaker 5: So maybe that could also impact the amount of files 123 00:06:20,200 --> 00:06:22,279 Speaker 5: that we ultimately end up getting At this point, we 124 00:06:22,400 --> 00:06:24,880 Speaker 5: just don't know. It's wait and see. But as you said, 125 00:06:25,160 --> 00:06:27,240 Speaker 5: the Deputy Attorney General is saying that we will get 126 00:06:27,240 --> 00:06:31,080 Speaker 5: to quote several hundred thousand documents today. It's going to 127 00:06:31,120 --> 00:06:32,359 Speaker 5: take us a while to go through. 128 00:06:32,160 --> 00:06:36,159 Speaker 2: The no doubt, stay with us on Balance of Power. 129 00:06:36,160 --> 00:06:37,920 Speaker 2: We'll have much more coming up after this. 130 00:06:41,240 --> 00:06:44,720 Speaker 1: You're listening to the Bloomberg Balance of Power podcasts. Catch 131 00:06:44,800 --> 00:06:47,599 Speaker 1: us live weekdays at noon and five pm es durn 132 00:06:47,760 --> 00:06:51,200 Speaker 1: on Apple, Cogway and Android Auto with the Blueberg Business app. 133 00:06:51,240 --> 00:06:54,240 Speaker 1: You can also listen live on Amazon Alexa from our 134 00:06:54,279 --> 00:06:58,839 Speaker 1: flagship New York station, Just say Alexa play Bloomberg eleven thirty. 135 00:07:00,960 --> 00:07:03,960 Speaker 2: We want to stick with the idea of the Epstein 136 00:07:04,000 --> 00:07:09,200 Speaker 2: files being released at least some of them today. Sarah Chrisoffs, 137 00:07:09,240 --> 00:07:11,920 Speaker 2: partner at Cozen O'Connor and former federal prosecutor with the 138 00:07:11,960 --> 00:07:14,000 Speaker 2: Southern District of New York, and joins us now live 139 00:07:14,000 --> 00:07:16,760 Speaker 2: on Bloomberg TV and Radio. Sarah, it's great to have 140 00:07:16,840 --> 00:07:19,120 Speaker 2: you back. I'm looking at the actual language in the 141 00:07:19,200 --> 00:07:25,520 Speaker 2: law that President Trump signed into law. Quote all unclassified records, documents, communications, 142 00:07:25,560 --> 00:07:30,840 Speaker 2: and investigative materials related to EPSTEIN in a searchable and 143 00:07:31,000 --> 00:07:34,520 Speaker 2: downloadable format must be prepared by the end of the day. 144 00:07:34,600 --> 00:07:37,520 Speaker 2: So is the administration about to break the law? 145 00:07:38,720 --> 00:07:43,000 Speaker 6: They're clearly not going to fully comply here, and I 146 00:07:43,080 --> 00:07:47,040 Speaker 6: encourage everyone to actually just read this law. It only 147 00:07:47,040 --> 00:07:49,400 Speaker 6: takes a few minutes, it's short, it's a couple of pages, 148 00:07:49,680 --> 00:07:53,240 Speaker 6: but it really helps you understand what Congress has mandated 149 00:07:53,320 --> 00:07:56,520 Speaker 6: here and will help people evaluate whether or not the 150 00:07:56,600 --> 00:08:00,520 Speaker 6: dog is compliant with what they're required to do. 151 00:08:01,760 --> 00:08:03,840 Speaker 2: So was this just a matter of not getting homework 152 00:08:03,880 --> 00:08:06,800 Speaker 2: done on time or would that have been impossible knowing 153 00:08:06,800 --> 00:08:09,440 Speaker 2: that it is truly hundreds of thousands of documents we're 154 00:08:09,480 --> 00:08:10,040 Speaker 2: talking about. 155 00:08:10,840 --> 00:08:13,160 Speaker 7: I mean, there's a couple of things going on here, right. 156 00:08:13,200 --> 00:08:17,040 Speaker 6: I Mean, first of all, lawyers are not particularly known 157 00:08:17,160 --> 00:08:22,160 Speaker 6: for their timeliness, so it is not infrequent that lawyers 158 00:08:22,160 --> 00:08:24,840 Speaker 6: are later or running behind on a deadline. 159 00:08:24,880 --> 00:08:28,440 Speaker 7: So that is sort of one thing that to consider here. 160 00:08:28,800 --> 00:08:32,960 Speaker 7: The other thing is that the dealj knows there's no 161 00:08:33,200 --> 00:08:35,600 Speaker 7: real enforcement mechanism here. 162 00:08:35,679 --> 00:08:38,480 Speaker 6: What is going to happen to them if they are 163 00:08:38,520 --> 00:08:42,679 Speaker 6: not compliant with this or sort of timely with their 164 00:08:42,720 --> 00:08:46,680 Speaker 6: obligations under this law, not that much probably, And so 165 00:08:47,280 --> 00:08:50,599 Speaker 6: you know, did they make a good faith effort to 166 00:08:50,640 --> 00:08:53,880 Speaker 6: get documents together in order to release them today? 167 00:08:54,840 --> 00:08:58,720 Speaker 7: Maybe it sounds like it, but you know is it 168 00:08:58,800 --> 00:08:59,240 Speaker 7: is a. 169 00:08:59,120 --> 00:09:03,440 Speaker 6: Process to the DOJ's credit, and it does take a 170 00:09:03,480 --> 00:09:07,600 Speaker 6: lot of work to comb through these documents page by 171 00:09:07,640 --> 00:09:10,720 Speaker 6: page to make to assess reactions. 172 00:09:10,760 --> 00:09:11,319 Speaker 7: But they have. 173 00:09:12,480 --> 00:09:15,320 Speaker 6: An enormous workforce to get that done. So if they 174 00:09:15,320 --> 00:09:17,400 Speaker 6: had wanted to get it done, they certainly couldn't. 175 00:09:18,559 --> 00:09:23,839 Speaker 2: Okay with that said, there's a big question about enforcement 176 00:09:24,000 --> 00:09:27,680 Speaker 2: or black thereof Rocana was talking about this, the Democrat 177 00:09:27,679 --> 00:09:30,880 Speaker 2: from California, one of the co sponsors of the discharge petition, 178 00:09:31,559 --> 00:09:33,920 Speaker 2: said that while the Department would be breaking the law 179 00:09:34,040 --> 00:09:36,840 Speaker 2: as we've just established here, if it didn't meet the deadline, 180 00:09:36,880 --> 00:09:41,440 Speaker 2: officials would be unlikely to be prosecuted during the current administration, 181 00:09:42,000 --> 00:09:45,160 Speaker 2: they would likely be subject to prosecution in the future. 182 00:09:46,040 --> 00:09:50,160 Speaker 2: So could Todd Blanche find himself in trouble in three years, Yeah, 183 00:09:50,240 --> 00:09:51,520 Speaker 2: it's certainly possible. 184 00:09:51,600 --> 00:09:56,439 Speaker 6: I mean, there are some avenues for enforcement here, apart 185 00:09:56,480 --> 00:10:01,040 Speaker 6: from sort of criminal prosecution. The Congress could bring a 186 00:10:01,040 --> 00:10:05,559 Speaker 6: civil case. Individual individuals could bring a civil case, or 187 00:10:05,600 --> 00:10:09,800 Speaker 6: could be sort of formal complaints lodged against THEJ, although 188 00:10:09,840 --> 00:10:14,679 Speaker 6: those are likely not going anywhere, But there are sort 189 00:10:14,720 --> 00:10:17,680 Speaker 6: of some processes that could be followed short of a 190 00:10:17,800 --> 00:10:21,560 Speaker 6: criminal case. But there is this idea floating out there, 191 00:10:21,640 --> 00:10:23,840 Speaker 6: an interesting idea that there could be some sort of 192 00:10:23,920 --> 00:10:29,600 Speaker 6: criminal prosecution down the line, but that would require you know, clearly, 193 00:10:29,679 --> 00:10:34,280 Speaker 6: the DOJ is not going to bring charges against itself 194 00:10:34,360 --> 00:10:37,840 Speaker 6: or its own representative. So that's going to be something 195 00:10:37,880 --> 00:10:40,360 Speaker 6: that would happen down the line with a different administration 196 00:10:40,559 --> 00:10:42,520 Speaker 6: and the DOJ run in different folks. 197 00:10:43,600 --> 00:10:46,480 Speaker 2: Well, you know, when you consider this lack of enforcement, 198 00:10:47,000 --> 00:10:50,880 Speaker 2: the political interests of the administration here, and the idea 199 00:10:50,960 --> 00:10:55,200 Speaker 2: that they can essentially redact anything they want, we might 200 00:10:55,240 --> 00:10:57,440 Speaker 2: not see anything new today or ever. 201 00:10:58,320 --> 00:11:01,360 Speaker 6: Right, Yeah, I mean there are I guess there you know, 202 00:11:01,400 --> 00:11:07,880 Speaker 6: there are other processes that Congress has to bring action 203 00:11:08,040 --> 00:11:10,840 Speaker 6: against individuals that they think have violated the law. 204 00:11:10,920 --> 00:11:13,040 Speaker 7: Right, They have impeachment processes that they. 205 00:11:12,960 --> 00:11:16,400 Speaker 6: Utilize, So I mean, there are other avenues they use. 206 00:11:16,520 --> 00:11:19,240 Speaker 7: But I mean, I think, you know, we have been 207 00:11:19,320 --> 00:11:20,320 Speaker 7: waiting very. 208 00:11:22,760 --> 00:11:25,600 Speaker 6: Patiently to see what is in these documents, and once 209 00:11:25,720 --> 00:11:27,840 Speaker 6: we get them, it's going to take a long time 210 00:11:27,920 --> 00:11:31,000 Speaker 6: to search them and parse them out, although you know, 211 00:11:31,360 --> 00:11:35,920 Speaker 6: within the current technological landscape, the processing of this type 212 00:11:35,960 --> 00:11:39,000 Speaker 6: of information is much easier than it ever has been before, 213 00:11:39,880 --> 00:11:43,520 Speaker 6: and we know, well, there's a lot to come in 214 00:11:43,559 --> 00:11:47,040 Speaker 6: the next few weeks to see whether DJ complies or 215 00:11:47,240 --> 00:11:48,240 Speaker 6: complies at least in. 216 00:11:48,240 --> 00:11:49,199 Speaker 4: Part with the law. 217 00:11:50,960 --> 00:11:55,679 Speaker 2: When assuming this does happen when the files are released, then, 218 00:11:55,760 --> 00:12:00,280 Speaker 2: considering Sarah, your experience in the legal field, what will 219 00:12:00,280 --> 00:12:03,600 Speaker 2: you be looking for? Because you're going to have massive 220 00:12:04,200 --> 00:12:07,440 Speaker 2: bands of journalists and lawyers digging through these files all weekend. 221 00:12:07,440 --> 00:12:08,160 Speaker 3: Where do you start? 222 00:12:09,040 --> 00:12:12,200 Speaker 6: Yeah, I think some of the most interesting information is 223 00:12:12,240 --> 00:12:15,280 Speaker 6: going to come in the FBI three H twos, which 224 00:12:15,280 --> 00:12:21,400 Speaker 6: are essentially reports that the agents prepare. So, for instance, 225 00:12:21,400 --> 00:12:26,360 Speaker 6: if they're interviewing a witness or a person of interest, 226 00:12:26,720 --> 00:12:30,280 Speaker 6: they are required under their regulations to prepare a report 227 00:12:30,320 --> 00:12:33,800 Speaker 6: a three HO two regarding that interview. And so the 228 00:12:33,880 --> 00:12:36,360 Speaker 6: three OHO twos are probably the best starting place for 229 00:12:36,440 --> 00:12:39,800 Speaker 6: anyone looking at this information to really get a sense 230 00:12:40,200 --> 00:12:43,520 Speaker 6: of the scope of the investigation that has happened in 231 00:12:43,760 --> 00:12:44,520 Speaker 6: years past. 232 00:12:45,679 --> 00:12:51,360 Speaker 2: Understood, with all of that said, it's entirely possible, if 233 00:12:51,400 --> 00:12:54,840 Speaker 2: not likely, we're going to be seeing names that have 234 00:12:55,000 --> 00:12:58,760 Speaker 2: not been invoked in this story yet. To what extent 235 00:12:59,440 --> 00:13:04,079 Speaker 2: can indiv vils find out if they are in these files, 236 00:13:05,040 --> 00:13:08,480 Speaker 2: if they may be prosecuted because they're in these files. 237 00:13:08,920 --> 00:13:10,680 Speaker 3: How messy is this going to get? 238 00:13:11,559 --> 00:13:16,360 Speaker 6: Yeah, So it's a really interesting question because the law 239 00:13:16,520 --> 00:13:22,880 Speaker 6: itself tells the OJ you cannot withhold information just because 240 00:13:22,920 --> 00:13:26,440 Speaker 6: it is going to cause someone reputational or professional or 241 00:13:26,480 --> 00:13:30,880 Speaker 6: personal harm. Right, So imagine someone who has a social 242 00:13:31,240 --> 00:13:36,400 Speaker 6: close social relationship with Epstein, but no involvement in the. 243 00:13:36,440 --> 00:13:39,800 Speaker 7: Sex trafficking part of Epstein's. 244 00:13:39,160 --> 00:13:42,679 Speaker 6: Life, and so that person may be sort of impuned 245 00:13:42,720 --> 00:13:45,920 Speaker 6: by the documents that are released, but really have no 246 00:13:46,040 --> 00:13:49,160 Speaker 6: there is no sort of no basis to levy any 247 00:13:49,200 --> 00:13:52,600 Speaker 6: criminal charges against that person, and that person was, in fact, 248 00:13:52,920 --> 00:13:56,800 Speaker 6: like ignorant of the Epstein's involvement in the criminal activity. 249 00:13:56,960 --> 00:14:03,319 Speaker 7: So those types of issues are really ones that we. 250 00:14:03,280 --> 00:14:06,600 Speaker 6: Should consider and our important ones to think about as 251 00:14:06,640 --> 00:14:09,760 Speaker 6: particularly when we have, you know, a situation like this 252 00:14:09,880 --> 00:14:14,280 Speaker 6: where we're releasing investigative files. And I think that sort 253 00:14:14,320 --> 00:14:17,960 Speaker 6: of precise situation is the reason it is so unusual 254 00:14:18,600 --> 00:14:21,400 Speaker 6: and to release investigative files. 255 00:14:22,240 --> 00:14:24,200 Speaker 2: Wellly got a minute left Sarah, this has been a 256 00:14:24,240 --> 00:14:27,760 Speaker 2: fascinating conversation. Remember when Pam Bondi, the Attorney General, said 257 00:14:27,800 --> 00:14:29,640 Speaker 2: she had the client list and it was on her desk. 258 00:14:30,200 --> 00:14:32,720 Speaker 2: Of course we now assume that was not the case. 259 00:14:32,960 --> 00:14:35,280 Speaker 2: Is there a client list or are we just digging 260 00:14:35,320 --> 00:14:37,520 Speaker 2: through a lot of receipts here for the next many days. 261 00:14:38,800 --> 00:14:42,280 Speaker 7: Yeah, I don't think we're going to see anything like that. 262 00:14:42,400 --> 00:14:46,160 Speaker 6: I mean, and I think if that, if some sort 263 00:14:46,200 --> 00:14:51,120 Speaker 6: of very delineated list was there, we would have known 264 00:14:51,200 --> 00:14:56,040 Speaker 6: about it before this point, right, We had the years 265 00:14:56,040 --> 00:15:00,240 Speaker 6: long abscene conversation and the Maxwell Maxwell investigation, and we 266 00:15:00,280 --> 00:15:01,440 Speaker 6: would have seen it before. 267 00:15:01,880 --> 00:15:02,920 Speaker 7: We haven't seen it yet. 268 00:15:04,400 --> 00:15:07,880 Speaker 1: You're listening to the Bloomberg Balance of Power podcast. Catch 269 00:15:07,960 --> 00:15:11,000 Speaker 1: us live weekdays at noon and five pm Eastern on 270 00:15:11,120 --> 00:15:14,360 Speaker 1: Apple Coarclay, and Android Auto with the Bloomberg Business App. 271 00:15:14,520 --> 00:15:17,800 Speaker 1: Listen on demand wherever you get your podcasts, or watch 272 00:15:17,840 --> 00:15:20,520 Speaker 1: us live on YouTube. 273 00:15:21,840 --> 00:15:26,000 Speaker 2: The entire city of Washington is holding its breadth for 274 00:15:26,080 --> 00:15:28,040 Speaker 2: the release of the Epstein files that we were just 275 00:15:28,080 --> 00:15:31,560 Speaker 2: discussing in a great conversation. We learned a lot from 276 00:15:31,600 --> 00:15:34,400 Speaker 2: Sarah Chrissoff about the way this might work. Knowing that 277 00:15:34,440 --> 00:15:37,960 Speaker 2: the law not only mandates the release of these files today, 278 00:15:38,640 --> 00:15:44,320 Speaker 2: but goes even further to call for all unclassified records, documents, communications, 279 00:15:44,360 --> 00:15:51,880 Speaker 2: investigative materials to be made available and searchable and downloadable online. 280 00:15:52,720 --> 00:15:55,800 Speaker 2: So when this happens, you're going to see scores of 281 00:15:55,840 --> 00:15:58,680 Speaker 2: headlines come out, probably today, but also over the course 282 00:15:58,720 --> 00:16:02,320 Speaker 2: of the weekend. They're talking about hundreds of thousands of documents, 283 00:16:03,000 --> 00:16:05,480 Speaker 2: the Deputy Attorney General Todd Blanche telling Fox News they're 284 00:16:05,480 --> 00:16:06,520 Speaker 2: not going to get them all out today. 285 00:16:06,560 --> 00:16:09,640 Speaker 3: That's how many I guess there are. They're not ready. 286 00:16:09,800 --> 00:16:12,480 Speaker 2: We'll have hundreds of thousands more to be released in 287 00:16:12,520 --> 00:16:15,520 Speaker 2: the days or weeks ahead, even though that would technically 288 00:16:15,560 --> 00:16:19,640 Speaker 2: be violating the law that President Trump signed himself. We 289 00:16:19,720 --> 00:16:22,920 Speaker 2: turned to our political panel for the political side of 290 00:16:22,960 --> 00:16:27,640 Speaker 2: this story. Having now covered the legal side. Bloomberg Politics 291 00:16:27,680 --> 00:16:31,680 Speaker 2: contributor Genie Schanzeno is with us, our democratic analyst and 292 00:16:31,720 --> 00:16:35,320 Speaker 2: democracy visiting fellow at Harvard Kennedy School's Ash Center. At 293 00:16:35,320 --> 00:16:39,520 Speaker 2: her side Lisa Camuso Miller, Republican strategist, Senior vice president 294 00:16:39,600 --> 00:16:42,680 Speaker 2: Rock Solutions, former spokesperson for the RNC. 295 00:16:43,400 --> 00:16:45,560 Speaker 3: So let's get into it. Janie, we talked. 296 00:16:45,320 --> 00:16:47,320 Speaker 2: About it for months and months and ended up happening 297 00:16:47,360 --> 00:16:50,680 Speaker 2: in a discharge petition. A vote was forced by a 298 00:16:50,720 --> 00:16:54,320 Speaker 2: couple of lawmakers that then gained critical mass sail to 299 00:16:54,400 --> 00:16:57,160 Speaker 2: the Senate. The President had no choice but to sign it. 300 00:16:58,080 --> 00:17:03,200 Speaker 2: But we will actually see the files today, it's still unclear. 301 00:17:03,400 --> 00:17:07,040 Speaker 8: There are so many loopholes in the bill, even though 302 00:17:07,119 --> 00:17:10,800 Speaker 8: it was written fairly tightly. They include everything from any 303 00:17:10,840 --> 00:17:14,480 Speaker 8: information on the victims to things about national security, and 304 00:17:14,520 --> 00:17:18,199 Speaker 8: of course, as we've talked about, any ongoing investigation. So 305 00:17:18,280 --> 00:17:22,720 Speaker 8: there's a lot of ways the DOJ could defend themselves 306 00:17:22,800 --> 00:17:26,920 Speaker 8: by withholding information. Todd Blanche going on Fox News and saying, 307 00:17:26,920 --> 00:17:28,360 Speaker 8: you know, we're going to do the best we can, 308 00:17:28,480 --> 00:17:30,280 Speaker 8: but we don't know if we'll get all of them out, 309 00:17:30,359 --> 00:17:32,840 Speaker 8: or it sounds like they're not going to. But I 310 00:17:32,920 --> 00:17:36,000 Speaker 8: think left out of all of this, and this has 311 00:17:36,040 --> 00:17:39,520 Speaker 8: been true from the beginning of this saga, are the victims, 312 00:17:39,800 --> 00:17:44,440 Speaker 8: the thousand or more women who at that point were 313 00:17:44,560 --> 00:17:48,040 Speaker 8: children in many cases, who were victimized by the most 314 00:17:48,160 --> 00:17:51,960 Speaker 8: powerful men in the world. They have continued to be 315 00:17:52,080 --> 00:17:55,159 Speaker 8: victimized by this process. And that is on both sides 316 00:17:55,200 --> 00:17:59,840 Speaker 8: of the aisle the Democrats drip drip of information has 317 00:18:00,160 --> 00:18:03,560 Speaker 8: revictimize these victims, and some of them have talked about that, 318 00:18:04,080 --> 00:18:07,040 Speaker 8: and it would be very nice if Washington would find 319 00:18:07,080 --> 00:18:10,080 Speaker 8: a way to support these victims by letting them know 320 00:18:10,160 --> 00:18:13,199 Speaker 8: what's coming out and when so they are prepared for 321 00:18:13,240 --> 00:18:16,080 Speaker 8: this Onslaught. I think that is the most troubling aspect 322 00:18:16,119 --> 00:18:16,320 Speaker 8: of this. 323 00:18:16,400 --> 00:18:18,720 Speaker 3: Story, Lisa. 324 00:18:18,760 --> 00:18:21,520 Speaker 2: We've talked a lot today about the lack of enforcement here, 325 00:18:22,080 --> 00:18:24,560 Speaker 2: and Todd blanche is already making it pretty clear that 326 00:18:24,560 --> 00:18:26,600 Speaker 2: they're going to violate the law by not getting everything 327 00:18:26,640 --> 00:18:27,080 Speaker 2: out today. 328 00:18:27,080 --> 00:18:29,560 Speaker 3: There's not much that can be done. 329 00:18:30,040 --> 00:18:32,520 Speaker 2: But political pressure as opposed to legal pressure, is a 330 00:18:32,640 --> 00:18:34,359 Speaker 2: very different thing. The fact that we got to this 331 00:18:34,480 --> 00:18:38,680 Speaker 2: point is due entirely to political pressure. If the White House, 332 00:18:38,720 --> 00:18:42,359 Speaker 2: if the DOJ doesn't satisfy people, and you're hearing as 333 00:18:42,440 --> 00:18:47,000 Speaker 2: much skepticism as skepticism as I'm sure I am here, 334 00:18:47,040 --> 00:18:48,840 Speaker 2: a lot of people don't think that they're going to 335 00:18:48,880 --> 00:18:51,800 Speaker 2: be satisfied by the release today. What will be the 336 00:18:51,840 --> 00:18:53,080 Speaker 2: political response? 337 00:18:55,119 --> 00:18:57,640 Speaker 9: You know, I don't know what the political response specifically 338 00:18:57,680 --> 00:18:59,760 Speaker 9: will be, Joe, but I think the thing to watch 339 00:18:59,760 --> 00:19:03,280 Speaker 9: more closely here, Jennie makes a great point about all 340 00:19:03,359 --> 00:19:05,399 Speaker 9: of those that have been impacted by this. And I 341 00:19:05,440 --> 00:19:07,640 Speaker 9: think that the worst part of this is that this 342 00:19:07,680 --> 00:19:11,600 Speaker 9: will they will relive this over and over again politically speaking, Joe, 343 00:19:11,680 --> 00:19:15,000 Speaker 9: what really does an incredible amount of harm is to 344 00:19:15,119 --> 00:19:18,040 Speaker 9: all of those vulnerable members of Congress who have no 345 00:19:18,800 --> 00:19:21,960 Speaker 9: response to what is about to happen, because the White 346 00:19:22,000 --> 00:19:25,760 Speaker 9: House has given almost no guidance to those members about 347 00:19:25,880 --> 00:19:27,920 Speaker 9: what it is that's about to happen. So there is 348 00:19:27,960 --> 00:19:33,760 Speaker 9: an intense and very strong unhappiness amongst elected officials out 349 00:19:33,880 --> 00:19:39,679 Speaker 9: in those vulnerable districts, feeling very much without any preparation, 350 00:19:39,880 --> 00:19:43,040 Speaker 9: any understanding of what is about to occur, and not 351 00:19:43,200 --> 00:19:47,440 Speaker 9: having the right words to say when this information does 352 00:19:47,480 --> 00:19:51,359 Speaker 9: become available. So it's going to be it's going to 353 00:19:51,359 --> 00:19:57,000 Speaker 9: be incredibly corrosive for hundreds of people, the hundreds of 354 00:19:57,000 --> 00:20:00,520 Speaker 9: people that will be affected. But overall, there will be questions, 355 00:20:00,600 --> 00:20:03,080 Speaker 9: there will be no answers, and it'll be a lot 356 00:20:03,119 --> 00:20:06,679 Speaker 9: more confusion for an issue that really really deserves to 357 00:20:06,720 --> 00:20:09,800 Speaker 9: be settled and solved and resolved for so many. 358 00:20:10,960 --> 00:20:15,399 Speaker 2: Well, that sounds like a disappointment, Jennie. Should people prepare 359 00:20:15,440 --> 00:20:16,280 Speaker 2: to be disappointed? 360 00:20:18,720 --> 00:20:21,199 Speaker 8: I mean, the whole thing is incredibly sad, But I 361 00:20:21,200 --> 00:20:24,480 Speaker 8: think there are heroes in this story. Number one, these 362 00:20:24,600 --> 00:20:29,040 Speaker 8: victims who for decades have gone against the odds to 363 00:20:29,200 --> 00:20:31,960 Speaker 8: report on the most horrendous things that can be done 364 00:20:32,040 --> 00:20:34,840 Speaker 8: to a person, and who kept after it. Of course, 365 00:20:34,920 --> 00:20:38,480 Speaker 8: the congressmen and women who pushed against their own political 366 00:20:38,560 --> 00:20:41,119 Speaker 8: you know, with their own political future at stake to 367 00:20:41,160 --> 00:20:44,560 Speaker 8: get these released. And of course also reporters like Julie K. 368 00:20:44,680 --> 00:20:47,840 Speaker 8: Brown up the Miami Herald and so many others who 369 00:20:47,880 --> 00:20:50,119 Speaker 8: have made them sure that they were going to be 370 00:20:50,119 --> 00:20:52,240 Speaker 8: on this case. And those reporters who are on a 371 00:20:52,280 --> 00:20:55,520 Speaker 8: Friday night tonight waiting to see these releases so they 372 00:20:55,520 --> 00:20:58,119 Speaker 8: can pour over them. I mean, so there are really 373 00:20:58,280 --> 00:21:01,480 Speaker 8: good and positive aspects of this, and I would also 374 00:21:01,520 --> 00:21:05,080 Speaker 8: include those people in Maga and elsewhere who wouldn't. 375 00:21:04,720 --> 00:21:05,560 Speaker 4: Let this rest. 376 00:21:05,680 --> 00:21:08,720 Speaker 8: So, you know, we see a lot of positive aspects 377 00:21:08,760 --> 00:21:11,960 Speaker 8: of this, but I think the negative parts are so glaring, 378 00:21:12,080 --> 00:21:16,800 Speaker 8: and they mostly have to do with elected officials and 379 00:21:17,240 --> 00:21:19,760 Speaker 8: on both sides of the aisle, who have not only 380 00:21:19,800 --> 00:21:22,840 Speaker 8: committed these crimes but turned a blind eye to others 381 00:21:22,920 --> 00:21:26,600 Speaker 8: who did and have not been willing now to abide 382 00:21:26,600 --> 00:21:29,600 Speaker 8: by law and get these out immediately and in the 383 00:21:29,640 --> 00:21:32,600 Speaker 8: interests of these victims. So I think there's a positive, 384 00:21:32,760 --> 00:21:35,920 Speaker 8: there's a negative, But I think the most important thing 385 00:21:36,000 --> 00:21:40,040 Speaker 8: is that we remember the thousand of victims here who 386 00:21:40,240 --> 00:21:43,679 Speaker 8: are reliving this as we wait for this to drop today. 387 00:21:44,640 --> 00:21:48,280 Speaker 2: Well, I appreciate you're returning to that point, Genie, And 388 00:21:49,200 --> 00:21:52,240 Speaker 2: as someone who worked in a former Republican speaker's office, Lisa, 389 00:21:52,280 --> 00:21:55,879 Speaker 2: I'm curious your thoughts about the conversations that took place 390 00:21:56,480 --> 00:21:59,520 Speaker 2: with Mike Johnson, knowing that there were so many members 391 00:21:59,520 --> 00:22:02,119 Speaker 2: who wanted there were so many folks in the MAGA 392 00:22:02,160 --> 00:22:06,399 Speaker 2: community who demanded it. It's partly why Donald Trump was 393 00:22:06,440 --> 00:22:08,520 Speaker 2: looked at the way he was in the campaign, because 394 00:22:08,520 --> 00:22:10,920 Speaker 2: they thought he would be the only one to actually 395 00:22:10,960 --> 00:22:13,240 Speaker 2: do this. And the fact of the matter is, Mike 396 00:22:13,320 --> 00:22:16,119 Speaker 2: Johnson resisted this till the very end. It required a 397 00:22:16,240 --> 00:22:19,520 Speaker 2: discharge petition to go around the Speaker's office and bring 398 00:22:19,560 --> 00:22:22,280 Speaker 2: it to the floor. Then suddenly everybody was on board 399 00:22:22,480 --> 00:22:25,120 Speaker 2: and it cruised right through the Senate. As I mentioned earlier, 400 00:22:26,040 --> 00:22:29,159 Speaker 2: nothing seems to get done without a discharge petition. Now, Lisa, 401 00:22:29,280 --> 00:22:31,880 Speaker 2: will Mike Johnson regret that decision? 402 00:22:33,680 --> 00:22:35,199 Speaker 4: You know, it's really hard to tell, Joe. 403 00:22:35,240 --> 00:22:40,840 Speaker 9: This speaker himself has been incredibly cooperative and has worked 404 00:22:40,880 --> 00:22:43,800 Speaker 9: really hard to work in close tandem with the White House. 405 00:22:44,880 --> 00:22:46,240 Speaker 4: For a variety of reasons. 406 00:22:46,320 --> 00:22:49,919 Speaker 9: It's very difficult for him, because of the slim, slim 407 00:22:49,960 --> 00:22:54,040 Speaker 9: margin that he represents in the House on the Republican side, 408 00:22:54,080 --> 00:22:57,960 Speaker 9: to really get anything done without that kind of very 409 00:22:57,960 --> 00:23:00,919 Speaker 9: close connection and very close coordination with the White House. 410 00:23:01,240 --> 00:23:04,160 Speaker 9: But to me, my understanding is that there's been very 411 00:23:04,240 --> 00:23:10,480 Speaker 9: little guidance, very little information shared from the administration into 412 00:23:11,080 --> 00:23:15,840 Speaker 9: the Republican Conference or any elected officials. The other cynicism 413 00:23:15,840 --> 00:23:18,399 Speaker 9: I have here, Joe, is that it feels to me 414 00:23:18,640 --> 00:23:20,880 Speaker 9: like this is going to be a lot of waiting 415 00:23:21,000 --> 00:23:24,160 Speaker 9: and a lot of anticipating for something that ultimately will 416 00:23:24,160 --> 00:23:27,640 Speaker 9: not reveal enough information for some actual stories to hit. 417 00:23:28,040 --> 00:23:30,399 Speaker 9: And so I maybe I am the cynic of Washington, 418 00:23:30,480 --> 00:23:33,080 Speaker 9: d C. Today, but I don't expect this to be 419 00:23:33,160 --> 00:23:38,639 Speaker 9: as explosive and ex explosionary or whatever the word is 420 00:23:38,680 --> 00:23:41,160 Speaker 9: that you use for this, Epstein. 421 00:23:41,240 --> 00:23:42,760 Speaker 4: I think that this will be the kind of thing 422 00:23:42,760 --> 00:23:43,200 Speaker 4: that will. 423 00:23:43,080 --> 00:23:45,480 Speaker 9: Be a great big build up to a great big 424 00:23:45,600 --> 00:23:48,960 Speaker 9: nothing when it all comes to be in the light 425 00:23:49,000 --> 00:23:51,680 Speaker 9: of day, and not because there are people that are guilty, 426 00:23:51,960 --> 00:23:53,840 Speaker 9: but the way that is revealed and the way that 427 00:23:53,920 --> 00:23:57,000 Speaker 9: it rolled out, that it becomes less of a story 428 00:23:57,320 --> 00:23:59,280 Speaker 9: because of the way that it has been handled. To 429 00:23:59,320 --> 00:24:02,120 Speaker 9: your original point that who knows how much will really 430 00:24:02,119 --> 00:24:02,920 Speaker 9: be offered. 431 00:24:02,680 --> 00:24:03,440 Speaker 4: Up today. 432 00:24:04,640 --> 00:24:07,919 Speaker 2: Spoken like someone has been around Washington for a minute, Genie. 433 00:24:07,960 --> 00:24:09,879 Speaker 2: The President's going to be on stage tonight, is going 434 00:24:09,880 --> 00:24:13,960 Speaker 2: to be in North Carolina nine pm Eastern time. If 435 00:24:13,960 --> 00:24:16,760 Speaker 2: this is some kind of Friday night news dump, be 436 00:24:16,840 --> 00:24:19,159 Speaker 2: the ultimate Friday night news dump, I guess, and the 437 00:24:19,200 --> 00:24:21,399 Speaker 2: later this goes the I guess later people are going 438 00:24:21,440 --> 00:24:24,000 Speaker 2: to be upsorting through these files. Does he have to 439 00:24:24,040 --> 00:24:26,320 Speaker 2: mention this? I mean, you would consider the dynamic of 440 00:24:26,400 --> 00:24:29,200 Speaker 2: him in front of thousands of people when these headlines break. 441 00:24:31,280 --> 00:24:32,400 Speaker 4: Yeah, I mean. 442 00:24:32,440 --> 00:24:34,920 Speaker 8: You're hard pressed to imagine what he would say about 443 00:24:34,920 --> 00:24:37,359 Speaker 8: it beyond what he's already said, and what he has 444 00:24:37,400 --> 00:24:39,120 Speaker 8: already said has. 445 00:24:39,040 --> 00:24:40,520 Speaker 7: Been pretty frustrating. 446 00:24:40,680 --> 00:24:44,520 Speaker 8: Again for the victims, I mean, these victims asked to 447 00:24:44,520 --> 00:24:46,960 Speaker 8: go to the White House when he signed the bill, 448 00:24:47,320 --> 00:24:50,000 Speaker 8: in recognition from the White House and the President that 449 00:24:50,080 --> 00:24:52,760 Speaker 8: they were indeed victimized. Instead, he did it in the 450 00:24:52,800 --> 00:24:56,400 Speaker 8: middle of the night, and then he politicized it, focusing 451 00:24:56,440 --> 00:24:59,560 Speaker 8: on the Democrats who were perpetrators, and certainly there are 452 00:24:59,720 --> 00:25:02,760 Speaker 8: enough those, so I can't imagine he's going to say 453 00:25:02,800 --> 00:25:05,919 Speaker 8: anything that will satisfy the people who have pushed for 454 00:25:05,960 --> 00:25:08,280 Speaker 8: so long and so hard to get these out that's 455 00:25:08,320 --> 00:25:10,520 Speaker 8: going to satisfy them. I think what there is a 456 00:25:10,560 --> 00:25:12,680 Speaker 8: concern about is that he's going to try to counter 457 00:25:12,840 --> 00:25:17,560 Speaker 8: program this by saying something outrageous or doing something outrageous. 458 00:25:17,880 --> 00:25:20,960 Speaker 8: You know, you're hard pressed to know, but it is 459 00:25:21,040 --> 00:25:23,639 Speaker 8: quite a Friday night that he's speaking at nine pm, 460 00:25:23,680 --> 00:25:26,040 Speaker 8: and at this point it looks like we may not 461 00:25:26,119 --> 00:25:28,359 Speaker 8: even get this document dump until. 462 00:25:28,119 --> 00:25:29,000 Speaker 4: Around that time. 463 00:25:29,880 --> 00:25:31,600 Speaker 2: Well, they could wait till he's off the stage, I 464 00:25:31,600 --> 00:25:33,600 Speaker 2: suppose too. And I can't imagine he's going to be 465 00:25:34,080 --> 00:25:37,840 Speaker 2: gaggling with reporters after the fact. 466 00:25:38,000 --> 00:25:40,760 Speaker 3: There aren't going to be any binders released today. 467 00:25:40,880 --> 00:25:43,560 Speaker 2: It looks like, Lisa, but it could in fact take 468 00:25:43,600 --> 00:25:47,159 Speaker 2: the weekend, to your point for any real news to 469 00:25:47,280 --> 00:25:51,240 Speaker 2: come out here. That could be confusing for some people 470 00:25:51,520 --> 00:25:55,359 Speaker 2: as well. But as a communications expert, in our last moment, 471 00:25:55,400 --> 00:25:58,280 Speaker 2: I wonder for the RNC, which you used to speak for, 472 00:25:58,400 --> 00:26:01,960 Speaker 2: or the administration. Do they need to have a deliberate 473 00:26:02,000 --> 00:26:04,040 Speaker 2: response prepared for when this breaks? 474 00:26:05,000 --> 00:26:07,800 Speaker 9: You know, ordinarily, yes, that would be exactly what we 475 00:26:07,840 --> 00:26:11,680 Speaker 9: would be doing and preparing. I'm reflecting on this week alone. 476 00:26:11,760 --> 00:26:17,400 Speaker 9: Joe the President himself said some pretty unpopular and unsympathetic things. 477 00:26:17,160 --> 00:26:20,320 Speaker 4: About a horrible, horrible tragedy. 478 00:26:19,960 --> 00:26:22,960 Speaker 9: That happened in California, and two days later, a very 479 00:26:23,000 --> 00:26:27,600 Speaker 9: revealing report came through from Vanity Fair. So this administration 480 00:26:27,680 --> 00:26:29,359 Speaker 9: is really good at dodging all of that kind of 481 00:26:29,400 --> 00:26:30,840 Speaker 9: information over and over again. 482 00:26:32,960 --> 00:26:35,120 Speaker 2: Stay with us on Balance of Power. We'll have much 483 00:26:35,160 --> 00:26:36,360 Speaker 2: more coming up after this. 484 00:26:39,640 --> 00:26:43,120 Speaker 1: You're listening to the Bloomberg Balance of Power Podcast. Catch 485 00:26:43,200 --> 00:26:46,639 Speaker 1: us live weekdays at noon and five pm Eastern on Apple, 486 00:26:46,680 --> 00:26:49,720 Speaker 1: Cocklay and Android Auto with the Bloomberg Business App. You 487 00:26:49,760 --> 00:26:53,240 Speaker 1: can also listen live on Amazon Alexa from our flagship 488 00:26:53,280 --> 00:26:57,240 Speaker 1: New York station, Just Say Alexa played Bloomberg eleven thirty. 489 00:27:00,160 --> 00:27:00,720 Speaker 3: This is the. 490 00:27:00,800 --> 00:27:06,280 Speaker 2: Largest ever expiration seven point one trillion dollars and a 491 00:27:06,320 --> 00:27:10,480 Speaker 2: triple witching options expiration happening today. We wanted to extend 492 00:27:10,480 --> 00:27:12,840 Speaker 2: the conversation on the markets before we're joined by our 493 00:27:12,880 --> 00:27:15,560 Speaker 2: friend David Weston just to spend a bit of time 494 00:27:15,640 --> 00:27:19,560 Speaker 2: with Nora, Melinda Bloomberg Market's correspondent, who's watching all of 495 00:27:19,560 --> 00:27:22,159 Speaker 2: this occur. What's this going to mean for the end 496 00:27:22,200 --> 00:27:25,960 Speaker 2: of the session here, Nora, with this many options expiring. 497 00:27:25,880 --> 00:27:28,320 Speaker 10: Well, we're certainly seeing a lot of green across this green. 498 00:27:28,440 --> 00:27:31,320 Speaker 10: I've certainly got my eye on information technology. We're seeing 499 00:27:31,320 --> 00:27:34,040 Speaker 10: that leading the S and P five hundred higher. But 500 00:27:34,080 --> 00:27:35,480 Speaker 10: of course we know we've been getting a lot of 501 00:27:35,560 --> 00:27:37,920 Speaker 10: news in the tech space, and more importantly today we 502 00:27:38,000 --> 00:27:41,080 Speaker 10: got that TikTok news. We've been seeing shares of Oracle 503 00:27:41,160 --> 00:27:43,080 Speaker 10: rising higher, and we can't shares of Oracle up more 504 00:27:43,119 --> 00:27:46,040 Speaker 10: than seven percent right now, and we know that TikTok 505 00:27:46,080 --> 00:27:48,920 Speaker 10: is being bought by a group of buyers led by 506 00:27:48,960 --> 00:27:51,600 Speaker 10: this company, Oracle. So you're certainly seeing a lot of 507 00:27:51,640 --> 00:27:55,040 Speaker 10: a risk on sentiment right now being displayed in the market. Healthcare, 508 00:27:55,080 --> 00:27:57,920 Speaker 10: of course, the second best performing sector right now. 509 00:27:58,960 --> 00:28:01,520 Speaker 2: Yeah, we know, it's pretty interesting reading analyst notes today 510 00:28:01,520 --> 00:28:06,000 Speaker 2: about Invidia. Everybody's been upset about a potential bubble, the 511 00:28:06,119 --> 00:28:09,520 Speaker 2: suggesting that valuations are too rich in the AI space. 512 00:28:10,119 --> 00:28:11,600 Speaker 3: But this is really remarkable. 513 00:28:11,640 --> 00:28:16,200 Speaker 2: An analystic truist, William Stein says semiconductor stocks remain cheap. 514 00:28:16,880 --> 00:28:19,960 Speaker 2: Upgrading in Vidia today hiking the price target to two 515 00:28:20,000 --> 00:28:22,600 Speaker 2: seventy five. Are we going to find that after all 516 00:28:22,600 --> 00:28:24,800 Speaker 2: the fits that we had about AI at the end 517 00:28:24,800 --> 00:28:27,400 Speaker 2: of this year, that a huge buying opportunity is being created. 518 00:28:27,680 --> 00:28:29,800 Speaker 10: Well, I'm looking at the Nasdaq one hundred right now 519 00:28:29,880 --> 00:28:32,439 Speaker 10: on pace to end the year up about twenty one 520 00:28:32,560 --> 00:28:34,760 Speaker 10: percent so far this year, And when we think about a 521 00:28:34,800 --> 00:28:37,840 Speaker 10: broader potential AI bubble, people are really just fixating on 522 00:28:37,880 --> 00:28:41,040 Speaker 10: whether or not current market valuations in the tech space 523 00:28:41,360 --> 00:28:44,400 Speaker 10: are enough to justify further returns as we think about 524 00:28:44,440 --> 00:28:46,080 Speaker 10: the future, and whether or not they're actually going to 525 00:28:46,120 --> 00:28:48,360 Speaker 10: be able to see all the money being poured into 526 00:28:48,440 --> 00:28:51,280 Speaker 10: the sector actually paying off. So that still remains at 527 00:28:51,280 --> 00:28:52,880 Speaker 10: top of mind for a lot of investors when we 528 00:28:52,920 --> 00:28:55,640 Speaker 10: think about speculative names. But you really are seeing the 529 00:28:55,680 --> 00:28:58,800 Speaker 10: majority of these tech stocks still booing the market higher 530 00:28:58,800 --> 00:29:01,520 Speaker 10: as we've seen and really recent years, Joe. 531 00:29:02,880 --> 00:29:07,400 Speaker 2: Really pretty remarkable the idea of this broadening out. Charlie 532 00:29:07,400 --> 00:29:09,560 Speaker 2: was just talking about the Russell. We're looking at the 533 00:29:09,680 --> 00:29:13,640 Speaker 2: RSP equal weight s and P five hundred, and we've 534 00:29:13,680 --> 00:29:15,960 Speaker 2: seen us walk up to the line this market walk 535 00:29:16,040 --> 00:29:19,080 Speaker 2: up to the line of a so called rotation or 536 00:29:19,200 --> 00:29:21,760 Speaker 2: broadening rally, and then it kind of just goes back 537 00:29:21,800 --> 00:29:24,120 Speaker 2: to the mag seven. Is it really happening this time? 538 00:29:25,280 --> 00:29:27,120 Speaker 10: Well, we're certainly going to have to wait and see 539 00:29:27,160 --> 00:29:28,920 Speaker 10: for that one. But I'm also looking at the Russell. 540 00:29:29,000 --> 00:29:30,600 Speaker 10: If you look at the Rustle on a unity basis, 541 00:29:30,600 --> 00:29:32,640 Speaker 10: as we're heading into the end of the year, hop 542 00:29:32,680 --> 00:29:35,840 Speaker 10: about fourteen percent. So it's interesting when you just flash 543 00:29:35,920 --> 00:29:38,240 Speaker 10: back to last year and what expectations were heading into 544 00:29:38,240 --> 00:29:40,320 Speaker 10: this year as we think about the Trump trade and 545 00:29:40,440 --> 00:29:43,280 Speaker 10: expectations about his economic policies and how they would actually 546 00:29:43,320 --> 00:29:45,960 Speaker 10: affect the market. There were some areas where, of course, 547 00:29:46,040 --> 00:29:48,840 Speaker 10: expectations did fall short as we think about the broader 548 00:29:48,920 --> 00:29:51,480 Speaker 10: trade war more globally and the impact that it's really 549 00:29:51,560 --> 00:29:53,920 Speaker 10: had on the economy more broadly. But if you think 550 00:29:53,920 --> 00:29:56,280 Speaker 10: about it on a broader scale, we still are seeing 551 00:29:56,320 --> 00:29:59,880 Speaker 10: strength broadly across the broader market. As you're mentioning the Russell, 552 00:30:00,120 --> 00:30:02,640 Speaker 10: we're also looking at major indexes like the Nasdaq and 553 00:30:02,720 --> 00:30:05,840 Speaker 10: S and P five hundred, double digit returns across the board. 554 00:30:06,960 --> 00:30:08,760 Speaker 2: Just quickly, nor you mentioned the Trump trade, and I 555 00:30:08,760 --> 00:30:11,040 Speaker 2: haven't heard anybody refer to that in months. Remember that 556 00:30:11,200 --> 00:30:13,800 Speaker 2: was the big story at the beginning of the year 557 00:30:13,800 --> 00:30:16,480 Speaker 2: and when the president took office and really interesting in 558 00:30:16,520 --> 00:30:21,800 Speaker 2: our Macroview column, Markets Live Trump trades diminishing expectations. What 559 00:30:22,040 --> 00:30:24,440 Speaker 2: is the Trump trade at this point? Is it AI 560 00:30:24,520 --> 00:30:25,440 Speaker 2: in crypto or is it. 561 00:30:25,400 --> 00:30:25,800 Speaker 3: More than that? 562 00:30:26,560 --> 00:30:28,520 Speaker 10: Well, if we look at that market's live story, they 563 00:30:28,520 --> 00:30:31,800 Speaker 10: talk about twenty twenty sixty more modest expectations. As we 564 00:30:31,840 --> 00:30:34,280 Speaker 10: think about this quote unquote Trump trade, which essentially was 565 00:30:34,520 --> 00:30:37,760 Speaker 10: optimism on Trump bringing in economic policies that would actually 566 00:30:37,760 --> 00:30:40,360 Speaker 10: benefit the economy and the broader market. But if we 567 00:30:40,400 --> 00:30:42,480 Speaker 10: think about the fact that we've also been seeing President 568 00:30:42,520 --> 00:30:45,320 Speaker 10: Trump putting a lot of pressure on Jerome Powell the 569 00:30:45,440 --> 00:30:48,120 Speaker 10: FED chair and wanting to bring in another FED chair 570 00:30:48,200 --> 00:30:51,040 Speaker 10: that has a more aggressive easing cycle, there are concerns 571 00:30:51,080 --> 00:30:53,760 Speaker 10: about whether or not this could potentially backfire, especially as 572 00:30:53,760 --> 00:30:56,280 Speaker 10: we think about this pushing up long term rates. Here 573 00:30:56,520 --> 00:31:00,480 Speaker 10: if investors start essentially demanding higher yield to offset inflation 574 00:31:00,640 --> 00:31:03,200 Speaker 10: risks down the line, what this could mean in terms 575 00:31:03,200 --> 00:31:06,160 Speaker 10: of margins in the market more broadly, and what this 576 00:31:06,240 --> 00:31:07,360 Speaker 10: means for the bond market. 577 00:31:08,960 --> 00:31:11,360 Speaker 3: Thanks for listening to The Balance of Power Podcast. 578 00:31:12,000 --> 00:31:15,120 Speaker 2: Make sure to subscribe if you haven't already, at Apple, Spotify, 579 00:31:15,240 --> 00:31:17,800 Speaker 2: or wherever you get your podcasts, and you can find 580 00:31:17,880 --> 00:31:21,120 Speaker 2: us live every weekday from Washington, DC at noontime Eastern 581 00:31:21,400 --> 00:31:22,880 Speaker 2: at Bloomberg dot com