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Speaker 1: Bloomberg Audio Studios, podcasts, radio news.

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Speaker 2: This is the Bluebig Day Baqut podcast. Good morning, It's Tuesday,

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Speaker 2: the twenty ninth of July. I'm Caroline hepkea in London and.

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Speaker 1: I'm Stephen Carolin Brussels. Coming up today. At least five

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Speaker 1: people are dead, including the gunman, after a shooting at

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Speaker 1: a New York City office tower that houses firms including

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Speaker 1: Blackstone and KPMG.

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Speaker 2: EU industries and politicians voice dissatisfaction with the fifteen percent

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Speaker 2: US tariff deal as leaders on both sides rush to

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Speaker 2: finalize the details.

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Speaker 1: Plus dollar drift global shift, while the greenbacks waning appeal

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Speaker 1: as prompting investors to take a fresh look at emerging markets.

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Speaker 2: Let's start with the roundup of our top stories.

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Speaker 1: A gunman has killed at least four people and himself

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Speaker 1: at a New York City office tower that houses firms

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Speaker 1: including Blackstone and KPMG. Authorities identified the man as twenty

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Speaker 1: seven year old Jane Tomorrow from Nevada. His body was

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Speaker 1: found on the thirty third floor, which is occupied by

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Speaker 1: the real estate firm Rudin. Blackstone staff who work one

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Speaker 1: floor below pushed furniture in front of doors to barricade

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Speaker 1: themselves in during the attack. New York Police Commissioner Jessica

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Speaker 1: Tish says investigators are now working to understand a motive.

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Speaker 3: According to our law enforcement partners in Las Vegas, mister

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Speaker 3: Timora has a documented mental health history. His motives are

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Speaker 3: still under investigation, and we are working to understand why

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Speaker 3: he targeted this particular location.

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Speaker 1: Jessica Tish, speaking after the attack set off a chaotic

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Speaker 1: scene in mid ten Manhattan, with firms located nearby, including

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Speaker 1: Jeffreys and Citadel, going into lockdown.

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Speaker 2: In trade news, a growing chorus of critics have taken

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Speaker 2: aim at the deal the EU struck with President Trump

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Speaker 2: for a fifteen percent tariff on most of its exports

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Speaker 2: to the US. Clemens Foost, president of Germany's EPO in

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Speaker 2: Institute for Economic Research, called the deal a humiliation Germany's chances.

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Speaker 2: Fredrick murd who initially welcomed the deal, warned the economy

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Speaker 2: would suffer significant damage from the tariffs, whilst the French

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Speaker 2: Prime Minister for Roswa Bairru went further say that the

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Speaker 2: Bloc had opted for submission. But despite the critics, the

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Speaker 2: EU's trade chief Maras Sefkevich has defended the deal.

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Speaker 4: If I were to sum up this US agreement in

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Speaker 4: one sentence, I would say it brings renewed stability and

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Speaker 4: opens door to strategic collaboration. This is the result of

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Speaker 4: a month of genuine and relentless efforts.

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Speaker 2: Maras Chefchevich was speaking as the EU and US are

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Speaker 2: now seeking to agree a non legally binding joint statement

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Speaker 2: by Friday that will expand on the elements negotiated over

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Speaker 2: the weekend. Once that statement is finalized, the US will

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Speaker 2: begin lowering its tariffs on specific sectors well.

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Speaker 1: The US Commerce Secretary Howard Lutnick meanwhile, says a further

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Speaker 1: ninety day extension of a trade truce with China is

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Speaker 1: a likely outcome of talks between the two countries in Stockholm.

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Speaker 1: The current ninety day tariff cooling period between the US

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Speaker 1: and China is due to end on the twelfth of August.

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Speaker 1: In an interview with Fox News, Lutnick said it could

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Speaker 1: continue beyond that date.

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Speaker 5: They're talking right now, but the decision maker, of course,

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Speaker 5: with President Trump. I'm sure the people with who are

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Speaker 5: speaking with China, We're going to go discuss with President Trump.

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Speaker 5: How he wants to play it. He's got an excellent

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Speaker 5: relationship with President she and I think we'll leave that

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Speaker 5: to Donald Trump to decide how he wants to do it.

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Speaker 5: Is that a likely outcome, Sure, it seems that way,

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Speaker 5: but let's leave it to President Trump to decide.

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Speaker 1: US Commerce Secretary Howard Lutnick speaking to Fox News as

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Speaker 1: negotiations continue on issues including duties tied to fentanyl trafficking

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Speaker 1: and Chinese purchases of sanctioned Russian and Iranian oil. Lutnik

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Speaker 1: also said a delegation from South Korea flew to Scotland

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Speaker 1: to meet Donald Trump, aiming to strike a deal while

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Speaker 1: he's on a trip there.

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Speaker 2: Russian President of Vladimir Putin is facing further pressure to

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Speaker 2: agree a truth with Ukraine after President Trump announced a

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Speaker 2: new deadline of ten or twelve days to end the war.

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Speaker 2: During talks with UK Prime Minister Kirstarma in Scotland, Trump

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Speaker 2: told reporters there's no reason to wait, suggesting Moscow could

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Speaker 2: face potential economic consequences if it fails to bring the

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Speaker 2: conflict to an end.

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Speaker 6: That are very disappointed. I'm disappointed in President of Putin,

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Speaker 6: very disappointed at him. So we're going to have to look,

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Speaker 6: and I'm going to reduce that fifty days that I

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Speaker 6: gave him to a lesser number, because I think I

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Speaker 6: already know the answer what's going to happen.

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Speaker 2: President Trump had initially threatened a fifty day deadline for

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Speaker 2: Russia to end hostilities against Ukraine. In mid July, Vladimir

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Speaker 2: Putin stepped up missile and drone attacks on Ukrainian cities afterwards.

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Speaker 2: The Kremlin hasn't commented publicly on Trump's new deadline, though

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Speaker 2: Russia's rubles sank to its lowest level since mid May

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Speaker 2: following the announcement.

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Speaker 1: UK food inflation has at its highest and seventeen months

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Speaker 1: due to rising prices for products like tea and meat.

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Speaker 1: According to the British Retail Consortium, food bills climbed by

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Speaker 1: four percent in July compared with a year earlier, the

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Speaker 1: fastest increase since February twenty twenty four. Retailers are blaming

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Speaker 1: the government's increase in the minimum wage and higher payroll

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Speaker 1: taxes for the jump, while the BRC also attributed the

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Speaker 1: changes to tighter global supplies. The data confirmed that a

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Speaker 1: period of falling prices and shops has come to an end.

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Speaker 1: Overall shop prices were up for a second month in

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Speaker 1: a row.

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Speaker 2: A group of economists is urging the British Prime Minister

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Speaker 2: to implement a wealth tax on assets over ten million pounds.

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Speaker 2: Their calls come as the government looks for ways to

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Speaker 2: shore up the fragile public finances in the UK, but

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Speaker 2: the business and trade sector Jonathan Bernolds recently dismissed the

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Speaker 2: idea as quote daft. Bloomberg's Tea Adebayo has more.

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Speaker 7: Chancellor Rachel Reeves is potentially facing a fiscal whole as

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Speaker 7: large as thirty billion pounds ahead of her autumn budget.

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Speaker 7: The answer to her economic woes a wealth tax, according

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Speaker 7: to thirty largely left leaning economists. The group, which includes

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Speaker 7: the likes of prominent figures including JRT. Gosh and har

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Speaker 7: Jun Chang, say the levy could raise enormous sums of money.

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Speaker 7: Critics of the claim say the move risks dampening entrepreneurship

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Speaker 7: and triggering in exodus of the rich. Opinion polls suggest

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Speaker 7: Brits are supportive of wealth taxes. In London. Tea at

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Speaker 7: a Bio Bloomberg.

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Speaker 1: Radio and those are your top stories on the markets today.

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Speaker 1: The Mscish Pacific index down eight tenths of one percent.

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Speaker 1: Eurostocks fifty features are two tenths higher, but the dollar

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Speaker 1: is holding on to its strength. Yesterday trading flat on

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Speaker 1: the Bloomberg Dollar Spot Index, and the US euro was

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Speaker 1: at one point fifteen eighty five, the pound at one

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Speaker 1: thirty three forty eight against the dollar. The ten yure

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Speaker 1: Treasury eeal this morning dinnabases point at four point four percent,

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Speaker 1: as we are watching gold prices as well, upsightly on

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Speaker 1: the day three thy three hundred and sixteen dollars triats.

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Speaker 2: Now, in a moment, we'll bring you our reporting on

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Speaker 2: how the dollar's waning appeal for investors is sparking a

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Speaker 2: revival in emerging markets, and will also discuss the variety

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Speaker 2: of robots at China's annual AI conference.

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Speaker 1: First, let's bring you the latest on that shooting in

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Speaker 1: New York City where a gunman killed four people and

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Speaker 1: shot himself at an office building in mid ten Manhattan.

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Speaker 1: Our national security reporter Miles Miller was at the press

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Speaker 1: conference following the shooting. We spoke to him a little

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Speaker 1: earlier and started by asking him about how the events unfolded.

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Speaker 8: Well, Yes, the first calls came in just after six thirty,

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Speaker 8: police say surveillance video shows the gunman, identified as Shane

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Speaker 8: to Mora of Las Vegas, stepping out of a black

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Speaker 8: BMW parked along Park Avenue near five second Street. He's

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Speaker 8: carrying a large M four style rifle and enters the

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Speaker 8: lobby of three point forty five Park Avenue, which is

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Speaker 8: a high rise that houses Blackstone, the NFL, and KPMG.

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Speaker 8: He immediately opens fire, targeting an officer who was off

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Speaker 8: duty but working what's called a paid detail, so in

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Speaker 8: uniform doing security at this building. Then he shoots at

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Speaker 8: a woman hiding behind a pillar, and continues firing at

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Speaker 8: civilians as he moves towards an elevator bank. Once he's

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Speaker 8: at that elevator bank, he strucks and strikes another man,

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Speaker 8: and then when a woman is coming out of the elevator,

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Speaker 8: he does not shoot her, but rides the elevator up

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Speaker 8: to the thirty third floor, which is the headquarters of

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Speaker 8: a large real estate company here in New York, and

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Speaker 8: walks the hallway firing rounds, shooting and killing another victim

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Speaker 8: before turning the gun on himself.

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Speaker 1: We've heard from both the Mayor of New York City

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Speaker 1: and also the NYPD commissioner to what do we know

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Speaker 1: about the gunman's intentions?

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Speaker 8: Yeah, that's what's being investigated right now. What we know

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Speaker 8: is that this suspect who turned the gun on himself

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Speaker 8: had a concealed carry permit from Las Vegas, from Nevada,

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Speaker 8: and we also know that he had a history of

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Speaker 8: mental health issues. Now we don't know if he had

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Speaker 8: previously been arrested in any of those other jurisdictions, but

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Speaker 8: we knew he drove across country to carry this out.

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Speaker 8: Started off in Nevada, made his way through Colorado, Nebraska,

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Speaker 8: and ultimately New Jersey before ending up right here in

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Speaker 8: New York. We know that his motive is at this

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Speaker 8: point not clear, but this is a building that housed

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Speaker 8: some really important businesses. You're talking about Blackstone, You're talking

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Speaker 8: about KPMG, We're talking about the NFL. So you know,

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Speaker 8: his motive is going to be very important to police

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Speaker 8: officials and they're going to be looking into that later today.

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Speaker 1: Castigations continuing. As you mentioned, you mentioned some of the

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Speaker 1: businesses in this office building in Manhattan. What do we

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Speaker 1: know about what happened inside those offices while these events

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Speaker 1: were unfolding?

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Speaker 8: The images we saw this evening were striking. You're talking

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Speaker 8: about people who are working for you know, obviously one

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Speaker 8: of the biggest firms you know in finance, Blackstone, barricading themselves,

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Speaker 8: pushing couches up against walls, against windows, against doors, because

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Speaker 8: they did not know if they would be targeted by this.

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Speaker 8: This is something that was on the minds of everybody

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Speaker 8: who had heard the gunfire, who saw looked at the

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Speaker 8: window and saw people running. But as you know, Park

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Speaker 8: Avenue in New York is not just home to these

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Speaker 8: groups that are in this building, but you've got Citadel

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Speaker 8: down the street, You've got bn Y there as well.

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Speaker 8: Of course JP Morgan building their new building in their

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Speaker 8: headquarters still there. So this was something that was going

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Speaker 8: across WhatsApp groups and text threads, people trying to figure

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Speaker 8: out if their loved ones, if their friends were injured.

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Speaker 8: And luckily, as of this time right now, we know

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Speaker 8: that many at the firms were not hurt, but we

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Speaker 8: know that people who worked in that building were in

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Speaker 8: fact injured and some of them killed.

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Speaker 1: That's our senior national security reporter Miles Miller, speaking to

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Speaker 1: me a little earlier from New York.

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Speaker 2: Now, the global market tam will provoked by US President

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Speaker 2: to Donald Trump's tariff announcements in April sparked a stampede

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Speaker 2: out of the US dollar. Now, much of that money

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Speaker 2: flowed into other developed economies, but billions have washed up

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Speaker 2: in emerging countries, reviving markets that had fallen out of

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Speaker 2: investor favor. Our emerging markets reporter cel To Gokuluk has

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Speaker 2: been writing about this, and he joins us now for

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Speaker 2: more Good morning, Good to have you on the radio program.

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Speaker 2: How big has the movement then been into what had

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Speaker 2: been quite unloved emerging markets.

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Speaker 9: Yes, I mean, as you said, most of the money

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Speaker 9: that is leaving the United States actually went to so far,

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Speaker 9: I mean to Europe or Japan and some other developed markets.

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Speaker 9: But emerging markets are also benefiting. If you look at

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Speaker 9: the stock markets, at least data shows, I mean the

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Speaker 9: reported in terms of reported data, we have seen thirteen

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Speaker 9: billion dollars in stocks equity funds and more than thirty

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Speaker 9: billion dollars coming to emerging market bond funds.

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Speaker 1: So what kind of assets then in these markets are

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Speaker 1: attracted our investors being attracted to.

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Speaker 9: I mean, one clear actually winner is the local currency bonds.

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Speaker 9: Because as you can imagine as a dollar of weekends.

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Speaker 9: That means assests in other currencies actually naturally gain. In

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Speaker 9: addition to that, in addition to the currency gains, you

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Speaker 9: have the high yields offered by local currency bonds. So

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Speaker 9: emerging market actually, in general, emerging market local current sybonds

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Speaker 9: have handed investors more than ten percent and at the

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Speaker 9: same time, I mean stock markets in general. In Eastern Europe,

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Speaker 9: for example, Poland, Slovenia, Romania, all these markets returned to

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Speaker 9: almost forty percent in dollar terms yere to date, which

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Speaker 9: is you know, historic gains.

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Speaker 2: You're and your colleagues spoke to some really interesting long

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Speaker 2: time emerging markets investors, you know, who've been quite surprised

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Speaker 2: by just the number and the volume of phone calls

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Speaker 2: that they've been getting from investors, you know, to try

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Speaker 2: to get into this trade. What have they been talking

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Speaker 2: about in terms of what it means for the countries

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Speaker 2: where this money is flowing.

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Speaker 9: I mean, it's a very well welcome development because many

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Speaker 9: emerging market because actually have huge spending needs. Again in

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Speaker 9: Eastern Europe, for example, they have large budget deficits in

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Speaker 9: Poland Romania because of you know, defense spending and because

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Speaker 9: of immigration from Ukraine. And at the same time, many

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Speaker 9: emergen markets have large current account deficits, like for example Turkey,

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Speaker 9: they need foreign capital as well foreign investments. And at

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Speaker 9: the same time, even current accounts shop plus countries like

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Speaker 9: Saudi Arabia, they are trying to modernize deger economies and

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Speaker 9: that's why they need international investment as well. This is

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Speaker 9: that's why these flows are very welcome.

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Speaker 1: Does it look like a lasting trend at this moment.

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Speaker 9: It really depends on, of course, what's going to happen

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Speaker 9: with I mean US policies. But at the same time,

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Speaker 9: I mean one thing is that Federal Reserve is expected

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Speaker 9: to reduce interust rates, which usually supports risk asses include

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Speaker 9: being emerging markets. And at the same time, I mean

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Speaker 9: you keep seeing new trade deals agreements, and this removes

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Speaker 9: one very important uncertainty from the market, and I mean

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Speaker 9: less uncertain times Smiths again supporting risk asses, including emerging markets.

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Speaker 2: Okay, it's a really interesting story, Selchuk, thank you so

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Speaker 2: much for bringing it to Celtchuk. Gooku Luk there who's

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Speaker 2: been writing about how the stampede out of the dollars

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Speaker 2: actually meant a flow into emerging market assets and all

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Speaker 2: of the traders who've been involved in that in the

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Speaker 2: past few months.

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Speaker 1: Thanks.

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Speaker 9: Well.

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Speaker 1: Just another story that we have been reading this morning

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Speaker 1: that I wanted to mention to do with some of

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Speaker 1: the robots on show as the AI conference in Shanghai

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Speaker 1: and an idea of what robots can do well and

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Speaker 1: badly passing backflipping half marathons. Reassuringly, some of them also

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Speaker 1: fall down. Yeah they do.

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Speaker 2: Look, this is a really great Sorry not just reading

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Speaker 2: about I had to go obviously to look at some

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Speaker 2: of the videos, and the most striking one, of course,

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Speaker 2: is the Byte Dance video of this kind of a

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Speaker 2: big black robot with massive arms, doing up a shirt

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Speaker 2: and managing to kind of wipe tables and move things

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Speaker 2: off of tables. So they are you know, a little

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Speaker 2: insight into maybe what humanoid robots might be able to

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Speaker 2: do for us. It's still a long way off though,

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Speaker 2: something like ten years. But China, I know that's not

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Speaker 2: that long. But China is really at the forefront of

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Speaker 2: this and showcasing this this week.

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