Speaker 1: Bloomberg Audio Studios, Podcasts, Radio News.
Speaker 2: Good morning.
Speaker 1: I'm Nathan Hager and I'm Karen Moscow. Here are the
Speaker 1: stories we're following today.
Speaker 3: Karen, we begin with residents of Florida bracing for another hurricane.
Speaker 3: Milton is churning toward the state's west coast, and for
Speaker 3: the very latest we are joined by Bloomberg meteorologist Rob Carolyn.
Speaker 1: Rob.
Speaker 4: Good morning, Good morning, Nathan. Milton is now a Category
Speaker 4: five hurricane in the Gulf of Mexico, which sustained winds
Speaker 4: of one hundred and sixty miles an hour. It's moving
Speaker 4: towards the northeast at about fourteen miles an hour. It's
Speaker 4: expected to make landfall near the Tampa Bay area tonight
Speaker 4: around midnight and exit the Florida coast near Cape Canaveral
Speaker 4: around one or two o'clock tomorrow afternoon. It will weaken
Speaker 4: a bit today, but we still expect the storm to
Speaker 4: produce a ten to fifteen foot storm surge in the
Speaker 4: Tampa Bay area late tonight. Also see winds probably in
Speaker 4: excess of one hundred and twenty five miles an hour
Speaker 4: in Tampa. And it's still going to be a hurricane
Speaker 4: as it passes close to the Lando area overnight and
Speaker 4: off shore of Cape Canaveral tomorrow.
Speaker 3: So when do we expect it all to end?
Speaker 4: Then, Rob, it looks like conditions will improve tomorrow afternoon, Nathan,
Speaker 4: across much of the state, except in northeastern Florida, where
Speaker 4: they could see hurricane force gusts tomorrow afternoon and into
Speaker 4: the early evening.
Speaker 3: All right, Rob, Carolyn with us our Bloomberg meteorologists. Of course,
Speaker 3: we're going to be checking back with you for updates
Speaker 3: throughout the morning. Rob, Thank you well.
Speaker 4: Nathan.
Speaker 1: We have another major story that we're following this morning,
Speaker 1: a possible breakup of tech giant Google. We get the
Speaker 1: breaking details at the Bloomberg's John Tucker, John, good morning.
Speaker 5: Good morning, Karen. The Justice Department considering asking a federal
Speaker 5: judge to force Google to sell off parts of its business.
Speaker 5: This is an effort to end Google's online search monopoly.
Speaker 5: In a late court filing Tuesday, Prosecutors we win, The
Speaker 5: Justice Department said, for more than a decade, Google has
Speaker 5: controlled the most popular distribution channels, leaving rivals with little
Speaker 5: to no incentive to compete for users. It would be
Speaker 5: an historic breakup of one of the world's biggest tech companies.
Speaker 5: The US district judge in the case i'm had made
Speaker 5: a ruled in August that Google Search Engine has been
Speaker 5: illegally exploiting its dominance. He's outlined a timetable for a
Speaker 5: trial on the proposed remedies next spring and plans to
Speaker 5: issue a decision by August. Another option is to order
Speaker 5: Google to provide access to the underlying data it users
Speaker 5: to build its search results in artificial intelligence products. Google
Speaker 5: has already said it plans to appeal. Experts say that
Speaker 5: appeals process could take as long as five years. The
Speaker 5: shares of Google parent Alphabet they are down one point
Speaker 5: three percent in pre market trading York. Come John Tucker,
Speaker 5: Bloomberg Radio.
Speaker 3: All right, John, thank you. Also watching shares of Boeing
Speaker 3: this morning. They're down about one and a half percent.
Speaker 3: The planemaker has withdrawn its latest contract offer to its
Speaker 3: union to try to end a nearly month long strike.
Speaker 3: Both Boeing and the International Association Machinists and Aerospace Workers
Speaker 3: blame each other for the impasse. SMP Global Ratings is
Speaker 3: warning it may cut Boeing's credit grade to junk is
Speaker 3: the work stoppage that is hammering cash shows no sign
Speaker 3: of ending.
Speaker 1: Let's turn to politics now, Nathan and Vice President Kamala
Speaker 1: Harris is seizing on claims that Donald Trump said Vladimir
Speaker 1: putin COVID test kits. Bloomberg's Ed Baxter has that story.
Speaker 2: The claim in Bob Woodward's book says this was at
Speaker 2: the height of the pandemic. Harris told Howard Stern, this
Speaker 2: is just the most recent stark example of who Donald
Speaker 2: Trump is. She said, people were scrambling to get these
Speaker 2: kits and Trump is sending them to a murderous dictator
Speaker 2: for his personal use. Trump's campaign has responded that none
Speaker 2: of these made up stories are true and says Woodward
Speaker 2: had no access to them for the book. Ed Baxter
Speaker 2: Bloomberg Radio.
Speaker 3: Right and thank You this morning. The Kremlin has confirmed
Speaker 3: Trump said putin COVID testing kids at the height of
Speaker 3: the pandemic, as recounted in Bob Woodward's book.
Speaker 1: Well, Nathan, now to the latest from the Middle East.
Speaker 1: Israelly Defense Minister, you have galand has postponed a trip
Speaker 1: to Washington that was set for today. A source tells
Speaker 1: Bloomberg it is due to last minute objections from Prime
Speaker 1: Minister Benjamin at Yahoo. We get more from Bloomberg Middle
Speaker 1: East Breaking News editor Dana Crege.
Speaker 6: The trip was scheduled for Gallant to go to the
Speaker 6: US and discuss with US officials the response to Iran's
Speaker 6: missile attack last week. This was supposed to be very
Speaker 6: significant and very important, So we actually carved the path
Speaker 6: towards what we can expect in the region. Is it
Speaker 6: an escalation or is it more, you know, reducing these
Speaker 6: tensions and calming things with the Lebanon situations flaring.
Speaker 1: Bloomberg's Dana Creche or porst net and Yah, who didn't
Speaker 1: want Gallant to go before his warcabinet, agrees to an
Speaker 1: around plan first, and Israeli official says Netanya, who also
Speaker 1: wants to speak to President Biden first, that conversation is
Speaker 1: expected to happen today.
Speaker 3: Well, training the markets now, Karen stocks sold off in China,
Speaker 3: falling more than seven percent. Chinese equities we're down even more,
Speaker 3: but they paired losses on word. China's finance minister will
Speaker 3: deliver a briefing on fiscal pol I'll see on Saturday.
Speaker 1: Well, here in the US, Nathan more Fed officials are
Speaker 1: speaking out about the future of monetary policy. Boston President
Speaker 1: Susan Collins says policymakers should focus on incoming data to
Speaker 1: help preserve the strength of the economy.
Speaker 7: Looking ahead, preserving the current favorable economic conditions will require
Speaker 7: adjusting monetary policy so as not to unnecessarily restrain demand,
Speaker 7: and that will require a careful databased approach as we
Speaker 7: balance the risks, and there are risks on both sides.
Speaker 1: Boston Fed President Susan Colin says the economy is more
Speaker 1: vulnerable to shocks now that the labor market is cooling
Speaker 1: and economic growth is moderating.
Speaker 3: Karen billionaire investor rate Dally Hotels Bloomberg, he does not
Speaker 3: anticipate the Fed making significant cuts and rates. After policymakers
Speaker 3: slash the federal funds rate by a half percentage point.
Speaker 8: The economy by and large, right now itself is in
Speaker 8: relatively good balance. So if you look at where growth is,
Speaker 8: where inflation is, and so on right now, and you
Speaker 8: have a political year, I think the markets are getting
Speaker 8: ahead of themselves with expecting that, and I think the
Speaker 8: risks are more on the upside than the downside.
Speaker 3: Bridgewater Associates founder Ray Dalio spoke with Bloomberg Shinelli Basset
Speaker 3: at the Granwich Economic Forum. You can hear their full
Speaker 3: conversation on the Bloomberg Talks podcast. It features the biggest
Speaker 3: interviews from Bloomberg each day. Find it on Apple, Spotify,
Speaker 3: or wherever you get your podcasts.
Speaker 1: Well Nathan speaking of some of the biggest names across
Speaker 1: Bloomberg and other Wall Street titan is speaking about the economy.
Speaker 1: We spoke exclusively with JP Morgan Chase CEO Jamie Dimond
Speaker 1: about whether it's soft landing as possible.
Speaker 9: I just think there's a lot of moving parts, a
Speaker 9: lot of things in the future which inflationary. These you know,
Speaker 9: the most important thing taking place of these wars overseas
Speaker 9: held politics. You know, there are terrible humane suffering, you know,
Speaker 9: but also the you know, much of these countries acting
Speaker 9: in cahoots against Western interests, against Israel, against Ukraine, against
Speaker 9: the United States, and that's really serious. So I look
Speaker 9: at a long amount of serious things softly are hard.
Speaker 9: I hope it happens.
Speaker 10: I don't know.
Speaker 9: I just wouldn't count my eggs in that one.
Speaker 1: JP Morgan Chase CEO Jamie Dimond spoke with Bloomberg's Lisa
Speaker 1: Abramowitz at the JP Morgan Tech Stars conference in London.
Speaker 3: Finally, Karen, getting into the Happiest place on Earth now costsmore.
Speaker 3: In California, Disney is raising ticket prices at it's Disneyland
Speaker 3: and California Adventure theme parks by about six percent most days.
Speaker 3: The least expensive admission that covers fifteen days in January
Speaker 3: and February, that's going to stay unchanged at one hundred
Speaker 3: and four dollars, but the most expensive weekend and holiday
Speaker 3: tickets are going up to two hundred and six dollars
Speaker 3: per day. That change is in effect now.
Speaker 1: Honest time now for a look at some of the
Speaker 1: other stories making news in New York and around the world.
Speaker 1: For that, we're joined by Bloomberg's Michael Barr. Good morning, Michael, Good.
Speaker 10: Morning, Karen. The FBI says it arreested in Afghan man
Speaker 10: who was plotting a terror attack in the US on
Speaker 10: election Day, planning to kill America on behalf of ices.
Speaker 10: The suspect has been identified as twenty seven year old
Speaker 10: Nasir Ahmad Tahiti of Oklahoma City. Juvenile was also arrested
Speaker 10: as a co conspirator. DOJ officials say the investigation intensified
Speaker 10: after the FBI search Tahiti's phone and discovered communication with
Speaker 10: an Afghan ISIS recruiter. Fourteen states filed a suit against
Speaker 10: video sharing app TikTok, alleging the effects of its platform
Speaker 10: are harming the mental health of millions of American children
Speaker 10: and teenagers. Doctor Darien Sutton told ABC doctors recommend limiting
Speaker 10: children's screen time.
Speaker 11: General recommendations from the American Academy of Pediatrics. For example,
Speaker 11: children under two should have no screen time. Between two
Speaker 11: and five, no more than two hours of screen time
Speaker 11: that is monitored by an adult, and then above the
Speaker 11: age of five, for all of us, no more than
Speaker 11: two hours of screen time.
Speaker 10: In a statement, TikTok responded to the lawsuits, saying the
Speaker 10: company has been trying to work with the Attorney's General
Speaker 10: to find constructive solutions to industry wide challenges. President Biden
Speaker 10: announced the final rule requiring drinking water systems nationwide replace
Speaker 10: lead pipes within.
Speaker 12: Ten years, saving hundreds of thousands of mothers and infants
Speaker 12: from low birth rates and children with lasting brain damage,
Speaker 12: Protecting more than a thousand adults from premature death from
Speaker 12: heart disease every single year because of.
Speaker 10: Lead Speaking in Milwaukee, Biden says he's securing fifteen billion
Speaker 10: dollars in funding through the Bipartisan Infrastructure Law for the work. Today,
Speaker 10: the Supreme Court will hear oral arguments in the case
Speaker 10: of Oklahoma death row inmate Richard Glossop, convicted in a
Speaker 10: nineteen ninety seven murder. The state's attorney general and others
Speaker 10: say new evidence shows prosecutorial misconduct at his trial, arguing
Speaker 10: he should get a new one. The Supreme Court will
Speaker 10: now consider whether the eight must carry out his execution.
Speaker 10: Global News twenty four hours a day and whenever you
Speaker 10: want it with Bloomberg News Now. I'm Michael Barr, and
Speaker 10: this is Bloomberg Karen.
Speaker 1: All right, Michael Barr, thank you time now for the
Speaker 1: Bloomberg Sports Update, brought to you by Tri State Audie.
Speaker 1: Here's John Stanshower. John, good morning, Good.
Speaker 10: Morning, Karen.
Speaker 13: This was a season where Mets ownership and management admitted
Speaker 13: they weren't.
Speaker 10: Really going for it.
Speaker 13: They would try to compete and then spend money going
Speaker 13: into twenty twenty five, and they began the season onh
Speaker 13: one five or later eleven games under five hundred, and
Speaker 13: yet here are the Mets a win today. They'll be
Speaker 13: playing to win the Pennant. Mets and Phillies. Game three
Speaker 13: in Cityfield, the Mets twice went over the wall in right.
Speaker 2: First pitch on the way and high. They earn a
Speaker 2: light field, pretty deep Castiana's back at the track at
Speaker 2: the water stop.
Speaker 13: He headed off.
Speaker 4: Let's face sake, mom the second deck the Coca Cola corner.
Speaker 4: Another opposite field hold run for Peter. All two to one.
Speaker 4: Winker hits a high drive.
Speaker 2: Right field toward the poll.
Speaker 7: It is gone, second tech shot Jesse Winker.
Speaker 13: The calls on whsq. Mets went on to win seven
Speaker 13: to two, seven strong names from Sean and I, and
Speaker 13: they leave the series to to one. Game four, also
Speaker 13: a five o'clock start in San Diego. The Padres put
Speaker 13: up six runs in the second inning. The Dodgers came
Speaker 13: back with four in the third to make it six
Speaker 13: to five. No scoring after that, and the Padres are
Speaker 13: up two games to one. The Yankees look to go
Speaker 13: up to one as they play Game three tonight in
Speaker 13: Kansas City. The Jets came home from the loss in
Speaker 13: London that dropped them to two and three. Coach Robert
Speaker 13: Salam met the media as usual on Monday, and then
Speaker 13: yesterday met with his coaches before a visit to owner
Speaker 13: Woody Johnson, who fired him and Salah was escorted out
Speaker 13: of the building, replaced by defensive cordator Jeff Ulbrich. Johnson's
Speaker 13: made a ton of coaching changes, but this was his
Speaker 13: first in season change and worth noting. Only once in
Speaker 13: the last sixty two years as a team gone to
Speaker 13: the playoffs after making it in season t WNBA Minnesota,
Speaker 13: Connecticut eighty eight seventy seven. So it's the Links who
Speaker 13: will face the Liberty and the Finals starting tomorrow in Brooklyn.
Speaker 13: John stash Aware, Bloomberg Sports Canny.
Speaker 1: Nathan all Right, John, thank you. The Bloomberg Sports Update
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Speaker 2: The world on Bloomberg dot Com and the Bloomberg Business app.
Speaker 10: This is Bloomberg Daybreak. Good morning.
Speaker 3: I'm Nathan Haygary could be one of the most significant
Speaker 3: antitrust actions against a big tech company in decades. The
Speaker 3: Justice Department is considering asking a federal judge to order
Speaker 3: Google to sell off parts of its business. And from
Speaker 3: where we're joined by Bloomberg News executive editor Peter Elstrom. Peter,
Speaker 3: good morning. So what is it exactly that the Justice
Speaker 3: Department is considering here?
Speaker 14: So what we're seeing now is that the Justice Department
Speaker 14: is proposing potential solutions to this anti trust case that
Speaker 14: they have been waging against Google. Back in August, the
Speaker 14: judge in this case, Emmitt Meta, ruled that Google indeed
Speaker 14: did have a monopoly in search and it had abused
Speaker 14: its power in the search business. And so the Justice
Speaker 14: Department presented this thirty two page document where they laid
Speaker 14: out a framework of potential solutions that could now be
Speaker 14: used to address those concerns. They include some structural changes
Speaker 14: and also some behavioral changes. Perhaps the most dramatic option
Speaker 14: here is that they're proposing the judge should order a
Speaker 14: breakup of Google.
Speaker 3: That is certainly a dramatic possibility. I mean, it would
Speaker 3: be a pretty significant development. One of the biggest sense
Speaker 3: the effort to break up Microsoft.
Speaker 14: Right right, of course, the effort to break up Microsoft
Speaker 14: did not result in a breakup of Microsoft. It did
Speaker 14: result in Microsoft having to pull back from some of
Speaker 14: the potential acquisitions and investments that perhaps they would have done,
Speaker 14: but at that time the US government was seeking to
Speaker 14: set rate perhaps the operating system or the Windows the
Speaker 14: Windows operating system, or the office franchise from Microsoft. In
Speaker 14: this case, what the Justice Department is floating is perhaps
Speaker 14: separating out some of the different businesses of Google that
Speaker 14: it has been using to supplement that search business. Search
Speaker 14: has always been the most profitable business that at Google
Speaker 14: generates tremendous amounts of advertising profits for the company, but
Speaker 14: it also uses some of its ancillary businesses to build
Speaker 14: up search. That includes Chrome, the browser where people often
Speaker 14: go to find different things. You can use that to
Speaker 14: search directly. That can funnel people to search. You've also
Speaker 14: got the Android operating system, which is the most popular
Speaker 14: mobile operating system, that also often uses its technology to
Speaker 14: direct people to Google Search. And then on top of that,
Speaker 14: what we find out during the case is that Google
Speaker 14: alphabet pays billions of dollars to different companies to use
Speaker 14: Google Search, including Apple. Apple's one of the big beneficiaries
Speaker 14: on iPhone get directed to Google Search too, And.
Speaker 3: It seems like a lot of this pressure has really
Speaker 3: ramped up with the rise of artificial intelligence alongside it,
Speaker 3: and how that's improved and increased the capabilities of that
Speaker 3: search function. How does artificial intelligence play into this anti
Speaker 3: trust scrutiny.
Speaker 14: I think Apple and AI has been a threat more
Speaker 14: broadly to several different businesses, including Google's search business. There
Speaker 14: was discussion shortly after open ai introduced chet GPT that
Speaker 14: perhaps people wouldn't have to search anymore. Instead of going
Speaker 14: to Google getting that list of potential links and then
Speaker 14: clicking through them, you just go to shut gpt. You'd
Speaker 14: ask a question, you get an answer instead of a
Speaker 14: bunch of links. So that was clearly viewed as a
Speaker 14: threat to Google's business. Since then, Google has accelerated its
Speaker 14: own AI efforts to try to catch up to some
Speaker 14: of the things that open ai had put into the market.
Speaker 14: Google is very advanced, They had done a ton of
Speaker 14: research and AI already, but they had him put some
Speaker 14: of those services into the market at this point. Now
Speaker 14: they're getting more aggressive through Gemini and some of their
Speaker 14: other products and using AI. But that is one of
Speaker 14: the big potential prizes in the future. And I think
Speaker 14: one of the concerns that the Justice Department and FTC
Speaker 14: also is that the big tech companies are going to
Speaker 14: use their existing monopolies of their existing franchises to capitalize
Speaker 14: on AI, which is really the big prize in the future.
Speaker 3: So this report's just come out, these potential remedies. Is
Speaker 3: there any way to tell at this point where the
Speaker 3: judge might lean in terms of the kind of remedies
Speaker 3: that he could seek in this case.
Speaker 14: We really don't know that. What we got most recently
Speaker 14: is this thirty two page document where the Justice Department
Speaker 14: is laying out potential remedies that it sees in the case.
Speaker 14: Google immediately weighed in. They said these were radical proposals,
Speaker 14: they would have unintended consequences. At one point they said
Speaker 14: that a breakup would actually break the company, which is
Speaker 14: a bit surprising. And we have quite a few months
Speaker 14: to go. There's going to be a hearing early next
Speaker 14: year where lawyers on both sides are going to be
Speaker 14: able to make their case in front of I'm at
Speaker 14: meta the judge, and then the expected target for a
Speaker 14: decision would be fairly late next year, roughly in August,
Speaker 14: So there are many months. There's a lot of arguments
Speaker 14: that are going to go into this. Again, if you
Speaker 14: look at historical president Microsoft, ultimately they decided that behavioral
Speaker 14: changes were more important than structural changes. That could be
Speaker 14: the case here too. You know, Alternatively, they'd have to
Speaker 14: figure out how you would separate what's a very integrated
Speaker 14: company at this point and do it without causing unintended
Speaker 14: harm to consumers.
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Speaker 4: Dabraay