WEBVTT - Tariffs on Hold Until US-China Summit; AI Existential Risks 0:00:02.540 --> 0:00:05.390 Bloomberg Audio Studios. Podcasts. 0:00:05.710 --> 0:00:06.230 Radio. 0:00:06.670 --> 0:00:07.070 News. 0:00:10.060 --> 0:00:11.420 Good morning, I'm Nathan Hager. 0:00:11.740 --> 0:00:14.890 And I'm Karen Moscow. Here are the stories we're following today. 0:00:15.630 --> 0:00:18.270 Karen, we begin with China and a look ahead to 0:00:18.380 --> 0:00:21.700 next week's summit with President Trump and his Chinese counterpart, 0:00:21.780 --> 0:00:25.200 Xi Jinping, in Washington. Ahead of the meeting, we're learning 0:00:25.220 --> 0:00:28.500 the U.S. is expected to delay the announcement of certain 0:00:28.540 --> 0:00:31.479 new tariffs. Bloomberg's Amy Morris has the latest from the 0:00:31.520 --> 0:00:32.190 nation's capital. 0:00:32.920 --> 0:00:37.020 Sources tell Bloomberg the capacity tariffs, which are over trading partners' 0:00:37.140 --> 0:00:41.240 excess manufacturing capacity, will be held off until after the summit, 0:00:41.340 --> 0:00:45.680 at least. Bloomberg earlier reported the administration intended to release 0:00:45.700 --> 0:00:49.349 a trade report on excess capacity before the leaders' meeting, 0:00:49.729 --> 0:00:52.909 and that the report would recommend a 7.5% tariff on 0:00:52.950 --> 0:00:56.810 Chinese goods. The reason for the delay is unclear, and 0:00:56.870 --> 0:00:59.490 it's not clear if the final tariff rate will change. 0:01:00.030 --> 0:01:02.130 In Washington, Amy Morris, Bloomberg Radio. 0:01:02.150 --> 0:01:03.190 All right, Amy, thank you. 0:01:03.210 --> 0:01:05.650 Well, President Xi heads to the White House for the 0:01:05.750 --> 0:01:09.160 highest stakes summit with not just trade, but tech and 0:01:09.200 --> 0:01:12.660 AI are also set to dominate the agenda. Sources tell 0:01:12.680 --> 0:01:15.740 Bloomberg that leaders of Apple, OpenAI, and Qualcomm are set 0:01:15.780 --> 0:01:18.459 to attend the White House state dinner for Trump and Xi. 0:01:18.980 --> 0:01:23.220 Executives are reportedly expected to join other business leaders, including 0:01:23.280 --> 0:01:27.030 NVIDIA's Jensen Wong. Bloomberg's Tom McKenzie says one area of 0:01:27.110 --> 0:01:30.950 focus will be China's critical response to Anthropic CEO Dario 0:01:31.069 --> 0:01:34.750 Amadei's essay about slowing the pace of AI development. 0:01:35.209 --> 0:01:36.830 My reading of that was this is a China that's 0:01:37.190 --> 0:01:41.310 very annoyed with Anthropic because Anthropic has been very critical 0:01:41.350 --> 0:01:43.770 of China and they were making the case, Dario, in 0:01:43.810 --> 0:01:46.550 that essay that there should be greater restrictions on chips 0:01:46.590 --> 0:01:49.830 into China. I think that's where the criticism was rather 0:01:49.870 --> 0:01:51.190 than pacing itself. 0:01:51.990 --> 0:01:55.430 Bloomberg's Tom McKenzie says the summit comes with geopolitical tensions 0:01:55.550 --> 0:01:59.400 simmering over the AI race, international trade, and the Middle East. 0:01:59.760 --> 0:02:02.340 Trump and Xi are scheduled to hold the bilateral summit 0:02:02.420 --> 0:02:06.040 at the White House next Thursday, September 24th, following their 0:02:06.080 --> 0:02:08.040 previous meeting in Beijing in May. 0:02:08.460 --> 0:02:11.299 And ahead of that, Karen, President Trump is telling Axios 0:02:11.340 --> 0:02:14.930 he is approaching a big decision, in his words, on 0:02:14.950 --> 0:02:19.350 whether to re-escalate attacks on Iran. Persian Gulf nations are 0:02:19.490 --> 0:02:21.650 set to meet in New York next week on the 0:02:21.690 --> 0:02:24.970 sidelines of the United Nations General Assembly. Ahead of that, 0:02:25.050 --> 0:02:27.820 Reuters is reporting that China has privately asked Iran to 0:02:27.840 --> 0:02:32.040 help rein in Houthi militants after an appeal by Saudi Arabia. 0:02:32.639 --> 0:02:35.690 The Tehran-backed militant group has made advances in Yemen toward 0:02:35.730 --> 0:02:39.400 the Bab el-Mandeb Strait in recent days while also attacking 0:02:39.440 --> 0:02:40.540 facilities in the kingdom. 0:02:41.380 --> 0:02:44.200 Meanwhile, in Iran this morning, Nathan, hundreds of thousands of 0:02:44.280 --> 0:02:48.190 Iranians have gathered for a government-organized rally. It's the biggest 0:02:48.210 --> 0:02:51.010 show of defiance since the U.S. and Israel first attacked 0:02:51.070 --> 0:02:54.690 in late February. Many of the demonstrators marched through downtown 0:02:54.730 --> 0:02:58.150 Tehran in combat uniform, pledging to take up arms and 0:02:58.190 --> 0:03:01.950 receive limited military training in an effort known as, quote, 0:03:02.150 --> 0:03:04.490 ones who sacrificed their lives for Iran. 0:03:04.810 --> 0:03:07.190 With all that in the background, Karen, oil is falling 0:03:07.280 --> 0:03:10.800 for a third straight day. Brent is trading around $ 102 0:03:10.740 --> 0:03:14.320 a barrel as supply concerns ease. But analysts at J.P. 0:03:14.360 --> 0:03:17.580 Morgan say it is increasingly impossible to predict how the 0:03:17.620 --> 0:03:20.720 Iran war might end. Markets are pricing an additional 4 0:03:20.720 --> 0:03:23.320 million barrels a day of oil disruption on top of 0:03:23.340 --> 0:03:26.660 the 10 million now. Bloomberg executive editor for the Middle 0:03:26.720 --> 0:03:30.000 East and North Africa, Stuart Livingston Wallace, says President Trump 0:03:30.060 --> 0:03:32.060 currently seems to be looking at diplomacy. 0:03:32.460 --> 0:03:36.380 There is the issue of domestic fuel prices, the cost 0:03:36.420 --> 0:03:38.910 of this war, the optics of this war. You know, 0:03:38.940 --> 0:03:41.310 those will all constrain him. And I think certainly from 0:03:41.330 --> 0:03:44.780 the GCC side, that is the Gulf Arab States. One 0:03:44.810 --> 0:03:46.440 would presume they're going to be pushing for a more 0:03:46.460 --> 0:03:50.040 diplomatic solution because of the experience earlier on in this 0:03:50.080 --> 0:03:53.460 year and what a return to full-scale hostilities might potentially 0:03:53.480 --> 0:03:55.200 mean for their economies in particular. 0:03:55.220 --> 0:03:56.920 That's Bloomberg's Stuart Livingston-Wallace. 0:03:56.940 --> 0:04:00.530 Meanwhile, the nationwide average price for gasoline rose to nearly 0:04:00.530 --> 0:04:04.790 $ 4. 47 a gallon today, according to AAA. Regular has risen 0:04:04.850 --> 0:04:06.230 by nearly 10% over the last month. 0:04:07.830 --> 0:04:10.990 Well, turning to Europe here, Nathan, German Chancellor Friedrich Merz 0:04:11.270 --> 0:04:15.310 is commenting on U.S.-German relations. He says the era of, quote, 0:04:15.770 --> 0:04:19.409 unconditional transatlantic friendship between Europe and the U.S. 0:04:19.470 --> 0:04:21.790 Is over for the foreseeable future. 0:04:21.890 --> 0:04:24.630 Merz made the comments in a speech to party members 0:04:24.710 --> 0:04:28.200 in Berlin ahead of Sunday's state election. His Christian Democrats 0:04:28.240 --> 0:04:31.460 are under pressure from the far-right AFD after its shock 0:04:31.520 --> 0:04:34.920 victory in Saxony and Halt earlier this month. President Trump 0:04:34.960 --> 0:04:36.960 praised the AFD following that result. 0:04:37.300 --> 0:04:40.820 Getting closer to this country's November midterm election, Karen, President 0:04:40.860 --> 0:04:43.310 Trump's bid to use the Postal Service to limit mail-in 0:04:43.370 --> 0:04:46.869 voting appears to be on hold. Postmaster General David Steiner 0:04:46.910 --> 0:04:49.750 says his agency has stopped work on a computer system 0:04:49.770 --> 0:04:52.469 that was central to the president's effort. It's after the 0:04:52.510 --> 0:04:55.520 Supreme Court rejected President Trump's executive order this week for 0:04:55.540 --> 0:04:58.360 the Postal Service to deliver ballots by mail only to 0:04:58.420 --> 0:05:01.960 voters on state citizenship lists. The president blasted the high 0:05:02.000 --> 0:05:05.409 court after that decision, but Steiner offered no opinion. He 0:05:05.450 --> 0:05:07.610 tells the Associated Press he looks at the issue more 0:05:07.950 --> 0:05:09.210 from the execution side. 0:05:09.920 --> 0:05:12.090 Well, we turn to the markets now, Nathan. In a 0:05:12.230 --> 0:05:14.970 hawkish week for central banks across the globe, for the 0:05:15.010 --> 0:05:18.370 first time ever, the Federal Reserve, ECB, and Bank of 0:05:18.410 --> 0:05:21.650 Japan have all raised interest rates in the same month. 0:05:21.970 --> 0:05:25.250 The BOJ completed the trio this morning, lifting rates to 1.25% 0:05:25.250 --> 0:05:30.100 at its fastest pace of tightening since 1990. BOJ Governor 0:05:30.160 --> 0:05:33.180 Kazuo Ueda spoke to reporters in Tokyo afterwards. 0:05:33.660 --> 0:05:37.500 Now the underlying inflation rate is approaching 2%. Therefore, it 0:05:37.540 --> 0:05:41.050 has become important to stabilize the underlying inflation rate at 0:05:41.070 --> 0:05:44.530 around 2% so that the risk of it overshooting the 2% 0:05:44.529 --> 0:05:49.070 price stability target does not materialize and subsequently have an 0:05:49.190 --> 0:05:52.960 adverse impact on the economy. In that sense, I believe 0:05:53.000 --> 0:05:55.320 the stage for setting policy has changed. 0:05:55.870 --> 0:06:00.920 And Japan's currency weakened about 1% to 157.54 against the 0:06:00.940 --> 0:06:06.260 dollar during Governor Ueda's post-decision briefing. Unlike the Fed's decision 0:06:06.320 --> 0:06:09.680 this week, two Bank of Japan board members voted against 0:06:09.700 --> 0:06:10.520 today's rate hike. 0:06:10.740 --> 0:06:13.760 There's more central bank news this morning, Karen. Christine Lagarde 0:06:13.850 --> 0:06:16.430 is reiterating that she will depart as the European Central 0:06:16.450 --> 0:06:20.170 Bank's president next year. Though she's declining to say whether 0:06:20.350 --> 0:06:22.490 that means that she's going to stay on until her 0:06:22.570 --> 0:06:27.660 term ends next October, Lagarde told Ireland's RTE radio, quote, 0:06:27.779 --> 0:06:30.380 we'll see. But added, it'll be handled in the most 0:06:30.460 --> 0:06:32.400 professional way as it should be. 0:06:33.140 --> 0:06:35.980 Well, we turn to the economy now, Nathan. Notable bond 0:06:36.040 --> 0:06:40.220 investor Jeffrey Gundlach is warning the next U.S. economic downturn 0:06:40.260 --> 0:06:44.529 could trigger a debt crisis. The CEO of DoubleLine Capital, 0:06:44.570 --> 0:06:48.830 which manages almost $ 100 billion in fixed income, says bonds 0:06:48.930 --> 0:06:53.450 could sell off alongside stocks. upending their traditional role as 0:06:53.470 --> 0:06:56.930 a safe haven. Gundlach told CNBC the U.S. Treasury would 0:06:56.970 --> 0:06:59.339 likely step in before yields climb too far. 0:06:59.960 --> 0:07:03.000 It's just too economically prohibitive for the Treasury. So you've 0:07:03.020 --> 0:07:05.719 got to pick a point. When are they going to 0:07:05.760 --> 0:07:08.979 go big? And when they go big, you're going to 0:07:09.000 --> 0:07:10.840 get a big rally in the long run. This is 0:07:10.860 --> 0:07:12.740 something I think about every single day. 0:07:13.660 --> 0:07:14.380 What's the level? 0:07:14.820 --> 0:07:17.730 And what the market's telling you is so far the 0:07:17.770 --> 0:07:22.110 trend is toward higher yields. And the Treasury Department is 0:07:22.190 --> 0:07:24.900 only kind of warming up the motor. 0:07:25.880 --> 0:07:28.830 And Jeffrey Gundlach also told CNBC that he is shifting 0:07:28.870 --> 0:07:33.150 toward low-duration assets to protect against further interest rate increases. 0:07:33.210 --> 0:07:37.170 More than 60% of respondents to Bloomberg's latest Markets Pulse 0:07:37.250 --> 0:07:40.360 survey say they expect 10-year Treasury yields to end the 0:07:40.400 --> 0:07:41.580 year above 5%. 0:07:41.580 --> 0:07:45.880 And current federal regulators are seeking interviews with employees of 0:07:45.940 --> 0:07:49.430 Guggenheim Partners as they look for evidence of potential wrongdoing 0:07:49.570 --> 0:07:53.460 at CEO Mark Walters' business empire. The Securities and Exchange 0:07:53.500 --> 0:07:57.380 Commission has sent requests to current and former employees, including 0:07:57.430 --> 0:08:01.150 people who've managed portfolios of assets for insurance companies. Now, 0:08:01.190 --> 0:08:04.970 Guggenheim Investment says it is cooperating with the investigation. It 0:08:05.030 --> 0:08:08.790 acknowledges accounting practices were the focus of a whistleblower report 0:08:08.910 --> 0:08:12.560 last year. Walter is also a billionaire sports owner. He's 0:08:12.600 --> 0:08:16.660 accused of insurance fraud and hiding an ongoing federal investigation 0:08:16.720 --> 0:08:17.400 from customers. 0:08:20.880 --> 0:08:22.120 Time now for a look at some of the other 0:08:22.140 --> 0:08:24.580 stories making news in New York and around the world. 0:08:24.640 --> 0:08:26.660 And for that, we're joined by Bloomberg's Michael Barr. 0:08:26.700 --> 0:08:27.380 Michael, good morning. 0:08:27.420 --> 0:08:30.960 Good morning, Karen. The fight over the Kennedy Center in Washington, D.C., 0:08:31.000 --> 0:08:34.400 has taken another turn. After President Trump said that the 0:08:34.460 --> 0:08:37.359 building could be ripped down completely if his name is 0:08:37.400 --> 0:08:39.780 not put on the side of it, a judge ruled 0:08:39.850 --> 0:08:43.570 Thursday that any changes to the renovation plans will require 0:08:43.570 --> 0:08:47.950 30 days' notice to the court, including demolition. Republican Senator 0:08:47.970 --> 0:08:51.390 Tom Tillis of North Carolina says the saga has not 0:08:51.470 --> 0:08:53.470 helped the GOP in the midterm battle. 0:08:53.990 --> 0:08:56.170 This is not what people who grew up like I 0:08:56.210 --> 0:09:00.300 did want to focus on. We want solutions. And I've 0:09:00.340 --> 0:09:02.400 got a lot of candidates who want to get that 0:09:02.460 --> 0:09:03.220 message through. 0:09:03.340 --> 0:09:06.579 And these are distractions that only benefit the Democrats. 0:09:07.550 --> 0:09:11.160 The Kennedy Center broke ground in 1964, a year after 0:09:11.200 --> 0:09:14.580 President John F. Kennedy's assassination. It opened to the public 0:09:14.620 --> 0:09:19.130 in 1971. Another person has died of Legionnaire's disease in 0:09:19.170 --> 0:09:22.770 the South Bronx. New York City Health Commissioner Dr. Alistair 0:09:22.809 --> 0:09:25.800 Martin in a social media post says, I am saddened 0:09:25.820 --> 0:09:28.440 to share that a second person has died in connection 0:09:28.700 --> 0:09:32.340 with the South Bronx Legionnaires Cluster. At least 14 people 0:09:32.360 --> 0:09:36.280 have been sickened in the South Bronx Cluster. Charges have 0:09:36.300 --> 0:09:39.449 been filed in that fatal bus crash that happened in 0:09:39.490 --> 0:09:41.030 a Los Angeles suburb Tuesday. 0:09:41.610 --> 0:09:41.750 L.A. 0:09:41.809 --> 0:09:45.630 County District Attorney Nathan Hockman says the deadly collision was 0:09:45.670 --> 0:09:49.400 said to be caused by Bailey Rios. Hockman saying he 0:09:49.640 --> 0:09:52.660 will ask for life in prison if the 36-year-old convicted 0:09:53.460 --> 0:09:56.030 is not going to get behind the wheel anymore. 0:09:56.750 --> 0:09:59.510 The evidence will show when we present it that she 0:09:59.550 --> 0:09:59.970 was in prison. 0:10:00.270 --> 0:10:01.790 By drugs at the time. 0:10:01.850 --> 0:10:06.130 In fact, she had narcotics in the car at that time. 0:10:07.080 --> 0:10:09.720 She was driving well beyond the speed limit. 0:10:10.860 --> 0:10:14.400 An NBC4 helicopter crashed to the ground after the bus collision, 0:10:14.450 --> 0:10:17.410 killing the pilot, the reporter on board covering the story, 0:10:17.510 --> 0:10:20.189 and one person on the ground. Last night, a vigil 0:10:20.210 --> 0:10:22.589 was held in L.A. for the five people who died 0:10:22.630 --> 0:10:25.930 in the crashes. Global News 24 hours a day and 0:10:25.970 --> 0:10:28.650 whenever you want it with Bloomberg News Now. I'm Michael 0:10:28.670 --> 0:10:29.970 Barr and this is Bloomberg, Karen. 0:10:31.020 --> 0:10:31.780 Thanks, Michael. 0:10:31.820 --> 0:10:34.720 Time now for our Bloomberg Sports Update. And for that, 0:10:34.760 --> 0:10:37.040 we bring in John Stashower. Thanks, Karen. 0:10:37.059 --> 0:10:40.490 Week two began in Buffalo, the new stadium for the Bills. 0:10:40.590 --> 0:10:43.930 And Josh Allen, the reigning NFL MVP, was in on 0:10:44.070 --> 0:10:47.689 five touchdowns, three passes, two runs. He had four last week. 0:10:48.429 --> 0:10:51.330 The Bills dominated the first half, went on to outscore 0:10:51.390 --> 0:10:56.850 Detroit 41-31. The Dodgers won 8-2 at Cincinnati. They clinched 0:10:56.910 --> 0:10:59.630 the NL West. They've won the division five straight years, 0:10:59.630 --> 0:11:02.540 13 of the last 14. That's your Bloomberg Sports Update. 0:11:04.140 --> 0:11:07.720 Stay with us. More from Bloomberg Daybreak coming up after this. 0:11:12.160 --> 0:11:16.260 Coast to coast on Bloomberg Radio. Nationwide on Sirius XM. 0:11:16.490 --> 0:11:20.470 And around the world on Bloomberg.com and the Bloomberg Business App. 0:11:20.809 --> 0:11:22.430 This is Bloomberg Daybreak. 0:11:22.570 --> 0:11:23.010 Good morning. 0:11:23.050 --> 0:11:25.170 I'm Nathan Hager with days to go till the highly 0:11:25.210 --> 0:11:29.790 anticipated state visit for Chinese President Xi Jinping in Washington. Trade, 0:11:29.850 --> 0:11:32.620 of course, will figure high in the discussions with President Trump. 0:11:32.650 --> 0:11:35.280 And now Bloomberg News has learned the U.S. is likely 0:11:35.320 --> 0:11:38.179 to hold off on announcing any new tariffs on China 0:11:38.200 --> 0:11:41.840 or any other trading partner until after the summit. Joining 0:11:41.880 --> 0:11:44.359 us for more on this from Singapore is Bloomberg Chief 0:11:44.420 --> 0:11:47.840 Asia Correspondent Rosalind Matheson. Ros, what more are we hearing 0:11:47.900 --> 0:11:50.670 about this? What's the rationale for holding off on a 0:11:50.809 --> 0:11:52.670 tariff announcement until after the summit? 0:11:52.690 --> 0:11:53.050 Good morning. 0:11:54.780 --> 0:11:57.060 Good morning. Yes, as you were saying, there are these 0:11:57.220 --> 0:12:00.600 this possibility that they will hold off on new tariffs 0:12:00.700 --> 0:12:04.340 on China and other trading partners until after the summit 0:12:04.380 --> 0:12:08.250 between Xi Jinping and Donald Trump. And that could mean 0:12:08.280 --> 0:12:11.150 a number of things. One is that they simply want 0:12:12.030 --> 0:12:15.210 the ground into the meeting to be conducive. You still 0:12:15.250 --> 0:12:18.950 have US and Chinese officials meeting this weekend to pave 0:12:19.010 --> 0:12:22.000 the way into that summit, so no bumps in the 0:12:22.059 --> 0:12:25.320 road going into the meeting. It could also be that 0:12:25.460 --> 0:12:27.940 the US wants to hold fire on that to see 0:12:28.360 --> 0:12:32.060 how the negotiations go in the minute during the summit. 0:12:32.120 --> 0:12:35.190 Can this be leveraged during those conversations? We know the 0:12:35.270 --> 0:12:37.950 US has done that before, or could they come out 0:12:37.970 --> 0:12:40.370 of the other end and decide how they think the 0:12:40.410 --> 0:12:43.330 summit has gone and perhaps use them then? So it's 0:12:43.350 --> 0:12:46.850 a bit hard to say why they're holding fire, but 0:12:46.890 --> 0:12:49.060 there is a sense in all of that either way, 0:12:49.140 --> 0:12:52.260 that there is a desire on the part of both 0:12:52.320 --> 0:12:55.920 the US and China to avoid a resumption of a 0:12:56.000 --> 0:12:58.920 full-blown trade war again. Of course, all eyes on that 0:12:59.360 --> 0:13:02.620 trade truce that's due to expire. in November, and will 0:13:02.660 --> 0:13:04.859 it be extended? Will it be extended for just a 0:13:04.900 --> 0:13:09.189 limited amount of time? But it does seem that despite 0:13:09.230 --> 0:13:11.650 all the trade actions that have been happening, the tit-for-tat 0:13:11.690 --> 0:13:15.030 between the two countries, there is that desire to keep 0:13:15.090 --> 0:13:19.490 tariffs at a level that is consistent with the trade understandings. 0:13:19.890 --> 0:13:22.870 So they are irritated by them, but they're not going 0:13:22.910 --> 0:13:25.610 to let that explode back into a full-blown trade war. 0:13:26.070 --> 0:13:28.370 Would it be going too far, Roz, to say that 0:13:28.510 --> 0:13:31.740 the U.S. might be looking for a broader trade deal 0:13:32.140 --> 0:13:35.280 to come out of the summit with President Xi, given 0:13:35.860 --> 0:13:39.220 so many issues that both sides still need to work out, 0:13:39.280 --> 0:13:41.260 not just when it comes to trade, but the Iran 0:13:41.280 --> 0:13:43.480 war and now artificial intelligence as part. 0:13:43.380 --> 0:13:46.339 Of the discussion? Well, that's right. 0:13:46.360 --> 0:13:48.140 There's a lot on the table and a lot of 0:13:48.179 --> 0:13:51.790 tension points, including, as you're saying, around AI. But there 0:13:51.929 --> 0:13:55.030 is an understanding potentially that there might be deals to 0:13:55.090 --> 0:13:58.590 come out of this when it comes to US agricultural products. 0:13:58.610 --> 0:14:01.819 There's something very specific like soybeans, where China has been 0:14:01.840 --> 0:14:05.020 making some progress on its agreements to buy a certain 0:14:05.059 --> 0:14:08.740 number of US soybeans every year. And we do know 0:14:08.760 --> 0:14:11.800 that the US and China are discussing cutting tariffs on 0:14:11.880 --> 0:14:16.790 certain goods, including American energy and agricultural shipments. So that's 0:14:16.830 --> 0:14:20.010 in the positive column. But, of course, there's also concern 0:14:20.050 --> 0:14:23.720 around the critical minerals side and that the Trump administration 0:14:23.780 --> 0:14:27.660 feels that China's not accelerated enough in terms of agreements 0:14:27.820 --> 0:14:31.260 to hand more critical minerals over and to do so 0:14:31.320 --> 0:14:35.260 via Japan potentially to avoid disruptions there. in the global 0:14:35.280 --> 0:14:39.590 supply chain. So that's one issue that could still be contentious. 0:14:39.670 --> 0:14:42.510 There might be some conversations around the level of the yuan. 0:14:42.970 --> 0:14:46.450 Of course, the US Treasury Secretary, Scott Besant, hasn't been 0:14:46.490 --> 0:14:50.730 averse to commenting on other countries' currencies, including the yuan. 0:14:50.810 --> 0:14:53.210 So there are those elements of tension as well in 0:14:53.230 --> 0:14:53.970 the relationship. 0:14:55.930 --> 0:14:59.350 This is Bloomberg Daybreak, your morning podcast on the stories 0:14:59.410 --> 0:15:02.470 making news from Wall Street to Washington and beyond. 0:15:02.770 --> 0:15:05.130 Look for us on your podcast feed by 6 a.m. 0:15:05.190 --> 0:15:08.580 Eastern each morning on Apple, Spotify or anywhere else you listen. 0:15:08.770 --> 0:15:11.940 You can also listen live each morning starting at 5 a.m. 0:15:11.960 --> 0:15:15.780 Wall Street time on Bloomberg 1130 in New York, Bloomberg 0:15:15.780 --> 0:15:20.700 99.1 in Washington, Bloomberg 92.9 in Boston and nationwide on 0:15:20.820 --> 0:15:23.490 Sirius XM Channel 121. 0:15:23.490 --> 0:15:26.150 Plus, listen coast to coast on the Bloomberg Business app 0:15:26.190 --> 0:15:28.930 now with Apple CarPlay and Android Auto interfaces. 0:15:29.310 --> 0:15:32.270 And don't forget to subscribe to Bloomberg News Now. It's 0:15:32.290 --> 0:15:35.010 the latest news whenever you want it, in five minutes 0:15:35.070 --> 0:15:38.210 or less. Search Bloomberg News Now on your favorite podcast 0:15:38.250 --> 0:15:40.490 platform to stay informed all day long. 0:15:40.910 --> 0:15:43.260 I'm Karen Moscow. And I'm Nathan Hager. 0:15:43.340 --> 0:15:45.420 Join us again tomorrow morning for all the news you 0:15:45.440 --> 0:15:48.140 need to start your day right here on Bloomberg Daybreak.