Speaker 1: From the Bloomberg Interactive Burgers Studios is Bloomberg day Break
Speaker 1: for Wednesday, June twenty.
Speaker 2: First coming up today, A.
Speaker 3: Hopeful sound noises are detected in the search for the
Speaker 3: undersea vessel near the Titanic.
Speaker 1: New tensions emerged with China after President Biden refers to
Speaker 1: Shijin Ping as a dictator.
Speaker 4: Fed Chair J.
Speaker 3: Powell delivers his first day of congressional testimony this morning.
Speaker 1: And FedEx does not deliver for investors with its latest earnings.
Speaker 4: President Biden prepares for his state visit with India's Prime minister.
Speaker 4: Plus New York State is banding employer's use of non
Speaker 4: compete agreements. I'm Michael bar More Ahead.
Speaker 5: I'm John Stasharon Sports Garrett Cole pitched the Yankees so
Speaker 5: much they didn't win over Seattle, the Mets, and Justin
Speaker 5: Verlander lost in Houston.
Speaker 6: That's all straight Ahead on Bloomberg day Break, the business
Speaker 6: news you need to starn your day in just one
Speaker 6: fifteen minute podcast each morning on Apples, Spotify, the Bloomberg
Speaker 6: Business app and everywhere you get your podcasts.
Speaker 7: Good morning, I'm Nathan Hager.
Speaker 1: And I'm Karen Moscow. Here are the stories.
Speaker 2: We're following today.
Speaker 3: We want to update you first on the missing submersible
Speaker 3: near the wreckage of the Titanic and what may be
Speaker 3: a hopeful sign. The Coastguard says underwater sounds have been detected.
Speaker 3: Now search teams are being redirected to find out where
Speaker 3: those sounds came from. Coastguard Rear Admiral John Mager says
Speaker 3: they're using planes, remotely operated vehicles, and underwater robots to
Speaker 3: find the five people on board the titan.
Speaker 7: It's a really complex case. Their active debris fielled down
Speaker 7: on the bottom of the ocean, and a lot of
Speaker 7: complexity of working at that time.
Speaker 3: Rear Admiral John magertell's ABC News it's a race against time.
Speaker 3: The Titan is designed to carry up to ninety six
Speaker 3: hours of oxygen. At this rate, the ship may have
Speaker 3: less than twenty four hours of air left well.
Speaker 1: Another major story that we're following this morning, Nathan, involves
Speaker 1: the fallout from the plea deal for Hunter Biden. The
Speaker 1: deal may help avoid a messy public trial and keep
Speaker 1: President Biden's son out of jail, but the agreement also
Speaker 1: provides fodder for the president's political opponents. Bloomberg's Amy Morris
Speaker 1: or Poor Sermer a ninety nine one newsroom in Washington.
Speaker 8: Hunter Biden's legal troubles haven't stopped the President from supporting him.
Speaker 9: Very proud of my son.
Speaker 8: Republicans are outraged with the deal, vowing to continue their
Speaker 8: probes into the Biden family. Congressman James Comer is chair
Speaker 8: of the House Oversight Committee.
Speaker 6: This has absolutely nothing to do with our investigation of
Speaker 6: Joe Biden, and we're going to continue to move forward
Speaker 6: with that.
Speaker 8: The Congressman Jamie Raskin, the top Democrat on that committee, says,
Speaker 8: if there is a double standard, it's with the Trump family,
Speaker 8: not Biden.
Speaker 7: They should check out what happened with Jared Kushner.
Speaker 5: He registered to create a new corporation, which promptly received
Speaker 5: two billion dollars from the Saudi government.
Speaker 8: Judge still has to approve the Plea deal, even as
Speaker 8: the lead prosecutor says the investigation is ongoing. In Washington,
Speaker 8: I'm Amy Morris, Bloomberg Daybreak.
Speaker 6: Thank you, Amy.
Speaker 3: While the rhetoric heats up between the parties over Hunter Biden,
Speaker 3: in tentions between the US and China may be rising again,
Speaker 3: and China, says President Biden made a quote public political
Speaker 3: provocation by referring to his counterpart she Jinping as a dictator.
Speaker 3: Biden told a California fundraiser that the Chinese leader had
Speaker 3: been embarrassed by an alleged spy balloon because he didn't
Speaker 3: know it was there. The President says, quote, that's the
Speaker 3: great embarrassment for dictators when they didn't know what happened.
Speaker 1: Well, turning to the markets now, Nathan, all eyes today
Speaker 1: and tomorrow are focused on Washington. That's where Fed Chairman
Speaker 1: j Powell gives his semi annual report to Congress. We
Speaker 1: get a preview from Bloomberg's Michael McKee.
Speaker 2: In the House today, the Fed Chairman will have the
Speaker 2: opportunity to clarify what some feel was a confusing message
Speaker 2: on the path for interest rates. What would lead central
Speaker 2: bankers to raise rates again something their own forecasts suggests
Speaker 2: will happen? Does inflation have to rise, does unemployment or
Speaker 2: does it just have to remain flat? What is the
Speaker 2: ultimate end rate? And how soon after that might they
Speaker 2: begin the rate cuts they foresee for twenty twenty four.
Speaker 2: There will also be questions about the impact of March
Speaker 2: A bank failures and on possible regulatory changes for the industry. Tomorrow,
Speaker 2: Poll comes back to testify before the Senate. Michael McKee Bloomberg.
Speaker 3: Daybreak, Okay, Mike, As investors await possible clues on the
Speaker 3: future of rates, Brown Brothers Harriman, head of Currency Strategy,
Speaker 3: when Thin thinks the FED is far from done, when
Speaker 3: all its.
Speaker 10: Dust settles, I think the FED is going to go
Speaker 10: higher for longer.
Speaker 11: The market still doesn't quite believe the Fed.
Speaker 8: They cut one hike pricing, but.
Speaker 2: The fedest single number two. And I said to a.
Speaker 1: Lot of analysts, I don't think the Fed will hike again.
Speaker 2: That this isn't just a pause, this is the end.
Speaker 2: I wholeheartedly disagree.
Speaker 3: Brown Brothers Harriman's whin then expects a stronger dollar the
Speaker 3: rest of the year.
Speaker 9: Well.
Speaker 1: Rates are also in focus in Europe. This morning, Nathan
Speaker 1: after a hot inflation rading over in the UK, and
Speaker 1: we get the latest of the Bloomberg's Ewen Pot's in London.
Speaker 2: Good morning you in, Good.
Speaker 12: Morning, count of Nathan. It's hot in London again today.
Speaker 12: But while the weather is nice, a fourth inflation reading
Speaker 12: high that estimates is not so welcome. Consumer prizes rose
Speaker 12: eight points seven percent in the year to make the
Speaker 12: flying forecasts for a slowdown in price gains core inflation unexpected.
Speaker 12: The rose on last month. It's now at a thirty
Speaker 12: one year high. It's all a headache for the Bank
Speaker 12: of England as they weigh their next move in tomorrow's
Speaker 12: policy meeting. Traders are ramping up bets the bank will
Speaker 12: need to administer stronger medicine in their fights against Rumpant's inflation.
Speaker 12: In London, I'm une Pot's Bloombok.
Speaker 3: Day break, marry you and thank you. Back here in
Speaker 3: the US, we're watching shares of FedEx in early trading.
Speaker 3: They're down about three percent after the company gave a
Speaker 3: twenty twenty four profit outlook that came in below analysts essimate.
Speaker 3: So we get the story from Bloomberg's Charlie Pellett.
Speaker 9: A drop in package demand offset CEO raj subermanians four
Speaker 9: billion dollar cost cutting plan the company, who's sought to
Speaker 9: reduce expenses as the industry deals with a decline and
Speaker 9: package volume following two years of surging demand fueled by
Speaker 9: pandemic driven online shopping. In a separate statement, FedEx said
Speaker 9: CFO Michael Lens will retire effective July thirty, first in
Speaker 9: New York, Charlie Pellett's Bloomberg Daybreak.
Speaker 1: Right, Urlie, Thanks, and JP Morgan. Chase is making a
Speaker 1: fresh round of layoffs in Asia. Bloomberg News has learned
Speaker 1: the bank is cutting about twenty investment banking jobs as
Speaker 1: deal flows remain muted. Sources say the reductions impact mostly
Speaker 1: junior staff and associates and analyst levels, and sectors including consumer,
Speaker 1: healthcare and private capital markets.
Speaker 3: Time now to take a look at some of the
Speaker 3: other stories making news in New York and around the world,
Speaker 3: and for that we are joined by Bloomberg's Michael Barr.
Speaker 4: Good Morning, Michael, Good morning, Nathan. New York is joining
Speaker 4: other states on banning employee non compete agreements. The bill
Speaker 4: coincides with Federal Trade Commission and National Labor Relations Board
Speaker 4: actions to fight non competes. The measure now heads to
Speaker 4: Governor Kathy Oakle's desk after the state Assembly passed it yesterday.
Speaker 4: Employer's use of non compete contracts, which restrict workers from
Speaker 4: going to work for a competitor, an estimated one fifth
Speaker 4: of the US workforce. The FDN and Y confirmed what
Speaker 4: many suspected a lithium ion battery was the cause of
Speaker 4: Tuesday's fire that killed four people in Manhattan. The blaze
Speaker 4: started in an e bike shop on the Lower East Side.
Speaker 4: The shop is downstairs from their apartments in the sixth
Speaker 4: story building. New York City Fire Commissioner Laura Kevano his.
Speaker 13: Exact scenario where there is an e bike store on
Speaker 13: the first floor and residences above, and the volume of
Speaker 13: fire created by these lithium ion batteries is incredibly deadly.
Speaker 4: The FDN Y says the shop was inspected in August
Speaker 4: of last year and summonses were issued. A former NYPD
Speaker 4: officer is among a group of people convicted of working
Speaker 4: for China. More from Bloomberg's Dan Schwartzman.
Speaker 14: Three people, including a retired New York City Police sergeant,
Speaker 14: had been convicted of acting as agents of the People's
Speaker 14: Republic of China. Prosecutors showed that the three carried out
Speaker 14: a legal law enforcement operation in the US, including trying
Speaker 14: to pressure dissidents to return to China. The three were
Speaker 14: in a group of eight originally charged back in October
Speaker 14: of twenty twenty of participating in Operation fox Hunt, which
Speaker 14: a Chinese government says was a legitimate operation to track
Speaker 14: down fugitives in New York. I'm Dan Schwartzman Bloomberg Daybreak.
Speaker 4: President Joe Biden is hosting Indian Prime Minister Narindra Modi
Speaker 4: for a state visit this week. Biden hopes to improve
Speaker 4: his relationship with the leader of a nation of one
Speaker 4: point four billion at the US Administration sees as a
Speaker 4: pivotal force in Asia for decades to come. Dozens of
Speaker 4: Congressional members are urging President Biden to talk to Mody
Speaker 4: about human rights concerns. Today, Modi is highlighting inner tranquility.
Speaker 4: His public schedule for the day opens with a group
Speaker 4: yoga session on the United Nations North Lawn. Global News
Speaker 4: twenty four hours a day, powered by more than twenty
Speaker 4: seven hundred journalist nanailist over one hundred and twenty countries.
Speaker 4: I'm Michael Barr. This is Bloomberg, Nathan.
Speaker 3: Thank you, Michael. Time now for the Bloomberg Sports update,
Speaker 3: and for that, here's John Stanshall.
Speaker 5: All right, Nathan, yankees back home after the rough weekend
Speaker 5: in Boston, and thankfully Garrett Cole was on the mound
Speaker 5: dominant in seven to thirty. The is allowed one run
Speaker 5: only four hits, struck out eight. Clay Holmes got the
Speaker 5: last five outs, so much needed a Yankee win three
Speaker 5: to one over Seattle. They beat the Mariners George Kirby,
Speaker 5: the Ryan native who had shut them out in a
Speaker 5: recent game in Seattle, Billy McKinney to the two run
Speaker 5: homer off Kirby in the second. Any Before the game,
Speaker 5: Yankee g and Brian Cashman met the media to discuss
Speaker 5: the Yanks' recent struggles.
Speaker 10: Got a really good team. When we're flying high and
Speaker 10: playing the way we're capable of right now, we haven't
Speaker 10: been doing that, and so it looks bad. It feels bad,
Speaker 10: It tastes bad, and no one likes losing, so so
Speaker 10: I understand why the fans are upset and not happy
Speaker 10: was how it's playing out.
Speaker 5: Cashman said he still has belief in rookie short staff
Speaker 5: Anthony Volfe, who's among many Yankees who have been struggling.
Speaker 14: Mets at Houston.
Speaker 5: Justin Verlanders faced his former seven Alex Bregman hit a
Speaker 5: two on homer off him. The Astros one four to two,
Speaker 5: of the Mets to only four hits. Didn't have a
Speaker 5: base runner off Franbur Valdez until the sixth inning. They
Speaker 5: didn't score until the eighth Freeway Series. Dodgers shut out
Speaker 5: the Angels two nothing behind Clayton Kershaw. The Cincinnati Reds
Speaker 5: last season lost one hundred games. They just won their
Speaker 5: tenth game in a row, and the Giants, a five
Speaker 5: hundred team last year, won their ninth straight. The ex
Speaker 5: met Marcus Stroman has the lowest DRA in the National League.
Speaker 5: He pitched the Cubs to a shutout win over Pittsburgh
Speaker 5: and the x Yankee Aaron Hicks, who's still getting paid
Speaker 5: by the Yanks. They released him with a one eighty
Speaker 5: eight batting average. He had a homer four RBIs in
Speaker 5: Baltimore's win at Tampa Bay. Hicks with the Orioles is
Speaker 5: batting three forty. John Stashaward Bloomberg.
Speaker 6: Sports from coast to coast, from New York to San Francisco,
Speaker 6: Boston to Washington, DC, nationwide on Syrias XAM, the Bloomberg
Speaker 6: Business appened Bloomberg dot Com. This is Bloomberg Daybreak.
Speaker 4: Good morning.
Speaker 3: I'm Nathan haig Well. A flurry of legal news came
Speaker 3: out of Washington yesterday morning. First, we learned the trial
Speaker 3: date for former President Donald Trump, in the classified documents case.
Speaker 3: A federal judge set that for mid August. It was
Speaker 3: also announced that the current president's son, Hunter Biden, is
Speaker 3: facing tax and gun charges and reached a plea deal
Speaker 3: in that case. Bloomberg's Joe Matthews spoke with former White
Speaker 3: House Chief of Staff mcmulvaney on Bloomberg's sound On to
Speaker 3: break down the political fallout for the current and former presidents.
Speaker 3: Let's hear part of that conversation.
Speaker 15: Anything short of a felony indictment of Hunter Biden was
Speaker 15: going to be interprend by some folks as to tier.
Speaker 15: I think it remains to be seen as to what's in,
Speaker 15: what are the facts, what was the circumstance behind Hunter
Speaker 15: Biden's tax issues.
Speaker 11: Now that the German comers.
Speaker 15: Made a really good point, which is now that we
Speaker 15: are either at the end or moving speedily to the
Speaker 15: end of the investigation of Hunter Biden, then the Department
Speaker 15: of Justice no longer has an excuse.
Speaker 11: Not to share information with Congress. So as between both
Speaker 11: the public hearing on the plea deal and the congressional investigation,
Speaker 11: my guess is we'll see a lot more about Hunter
Speaker 11: Biden than we know. Right now and only then will
Speaker 11: you be able to sort of have an informed opinion
Speaker 11: as to a two different tiers of justice in this consum.
Speaker 3: Does this quiet the voices of concern who thought Hunter
Speaker 3: Biden was never going to be acknowledged here in Washington,
Speaker 3: that this would never actually become a.
Speaker 11: Case, Yeah, a little bit. In fact, I had some
Speaker 11: conversations with some of my friends, by Republican friends who
Speaker 11: are complaining about, well, they're charging Trump but they're not
Speaker 11: charging Hunter. And then you know, say, well, okay, they
Speaker 11: charge Hunter. He's been okay with them charging Trumpet very quiet,
Speaker 11: very quickly. So again, whether or not it's a serious charge,
Speaker 11: I guess we don't know yet until we see the
Speaker 11: facts in the file.
Speaker 4: Mick.
Speaker 3: The idea of an August fourteen trial date the all
Speaker 3: the while, and that might frankly be a bigger story
Speaker 3: that's been kind of overshadowed by the Hunter headline. Do
Speaker 3: you think a trial actually begins in August?
Speaker 11: And no, you're not supposed to make, you know, absolute
Speaker 11: tradictions when you're dealing with politics, and there's a lot
Speaker 11: of politics here. But I'd be willing to bet my
Speaker 11: house there's no trial at August fourteenth. Keep in mind,
Speaker 11: the right to a speedy trial, which does exist under
Speaker 11: our constitution, is possessed by the accused, not by the government.
Speaker 11: So you know, if don Trump wants to have slowed
Speaker 11: things down, there's going to be plenty of opportunities to do.
Speaker 1: So.
Speaker 11: You've made a good point about how hard it's going
Speaker 11: to be to picking jury. I disagree with your the reporter, respectfully.
Speaker 11: I think it's going to be very, very difficult to
Speaker 11: pick a jury here because everybody's going to have an
Speaker 11: opinion about it, and Donald Trump is going to be
Speaker 11: looking for one juror who's willing to say, you know,
Speaker 11: I don't care what he did, I'm not convicting it
Speaker 11: because he only has to get it one person to
Speaker 11: hold out, and the government knows that. So that's going
Speaker 11: to take a long time. The government may try to
Speaker 11: recuse the judge. That may take a long time. There's
Speaker 11: going to be quite over evidence that may take a
Speaker 11: long time. So if I'm a betting man, and I am,
Speaker 11: I'm not betting it, August and.
Speaker 3: I am, says Mick Mulvaney. That said, does the trial
Speaker 3: begin before the presidential election or is that what we're
Speaker 3: talking about here, anything to delay it past the election.
Speaker 11: I talked to a lot of my friends who were
Speaker 11: in the federal prosecuting business, a lot of folks who
Speaker 11: used to do white collar criminal defense to a man
Speaker 11: and a woman. They all thought this trial would take
Speaker 11: place after the election. I think we're all surprised by
Speaker 11: this announcement, at least of this early date. And whether
Speaker 11: or not that changes the caucus, you know, i'd have
Speaker 11: to talk to folks who've done this for twenty thirty years.
Speaker 11: I'm not sure how Donald Trump delays it for a
Speaker 11: year and you know, four months or whatever. But I
Speaker 11: still think it's a better chance than not that it
Speaker 11: comes after the election. But again, this has thrown me
Speaker 11: a curveball al over everybody else. Seeing it's August fourteenth day.
Speaker 3: I don't know if you saw Donald Trump and Brett
Speaker 3: Baer on Fox News. There were some pretty remarkable moments,
Speaker 3: and it's been suggested that some of this could be
Speaker 3: entered as evidence in the trial, particularly as he discusses
Speaker 3: moving the boxes around and what was in the boxes.
Speaker 3: Here's a moment that you might have missed.
Speaker 9: So why not just.
Speaker 6: Hand them over then? Because I had a boxes I
Speaker 6: want to go through the boxes and get all my
Speaker 6: personal things out.
Speaker 8: I don't want to hand that over to Narrow yet,
Speaker 8: and I was.
Speaker 2: Very busy, as you've sort of seen.
Speaker 11: Yeah, Ords, you then tell this aid to move to
Speaker 11: other locations after telling your lawyers to say you'd fully
Speaker 11: complied with the subpoena when you hadn't.
Speaker 15: But before I send boxes over, I have to take
Speaker 15: all of my things.
Speaker 3: Actually, the former president do damage to himself.
Speaker 11: Yes, I was watching it. I was actually texting a
Speaker 11: little bit with Brett Bair. You know, the interview wasn'tlive.
Speaker 11: All I could think of is now the public sort
Speaker 11: of gets a chance to see why so many of
Speaker 11: Donald Trump lawyers quit because he made things much much
Speaker 11: worse for himself. There's one thing that was It wasn't
Speaker 11: in the segment you just picked up, but it was
Speaker 11: right about the same time where he said. Rhett asked
Speaker 11: him about the papers that he held up on the
Speaker 11: audio tape, and Trump said, there was nothing there. There
Speaker 11: was nothing there. It was just a was newspaper clippings,
Speaker 11: stuff attending like it was famous or be classified.
Speaker 8: But it's not.
Speaker 11: In order to make that defense, he has to testify,
Speaker 11: and I can guarantee you that Donald Trump is not
Speaker 11: testifying in this case, so that that is going to
Speaker 11: be used against him. Most of a lot of that
Speaker 11: video would be used against him.
Speaker 7: This is blue Burg Daybreak Today, your morning brief on
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