WEBVTT - McCarthy Debt Ceiling Battle with Biden; Amazon Falls on Cloud Forecast 0:00:01.600 --> 0:00:05.320 From the Bloomberg Interactive Burgers Studios. This is Bloomberg day 0:00:05.320 --> 0:00:07.560 Break for Friday, April twenty eighth. 0:00:07.640 --> 0:00:10.400 Coming up today, Kevin McCarthy turns up the heat on 0:00:10.520 --> 0:00:14.160 President Biden to avoid a debt sealing crisis. Will bring 0:00:14.200 --> 0:00:15.240 you our interview with. 0:00:15.240 --> 0:00:18.600 The House Speaker, a whipsaw session for Amazon following its 0:00:18.640 --> 0:00:23.000 earnings report and cloud forecast, and US officials are reportedly 0:00:23.120 --> 0:00:25.959 coordinating talks to rescue First Republic Bank. 0:00:26.239 --> 0:00:29.120 Your governor, Hocles sends, A conceptual agreement has been reached 0:00:29.120 --> 0:00:31.680 in a budget with a state legislature. Was a deadly 0:00:31.760 --> 0:00:34.840 runching attack on Kiev. I'm John Tucker. More ahead, I'm. 0:00:34.760 --> 0:00:38.519 John Stashdaron Sports. The Jets and Giants both drafted defensive players. 0:00:38.560 --> 0:00:40.839 Wins for the Mets and Yankees. The Devil shut out 0:00:40.880 --> 0:00:42.320 the Rangers in Game five. 0:00:43.720 --> 0:00:47.159 That's all straight Ahead on Bloomberg day Break, the business 0:00:47.200 --> 0:00:49.640 news you need to starn your day in just one 0:00:49.760 --> 0:00:54.240 fifteen minute podcast each morning on Apples, Spotify, The Bloomberg 0:00:54.280 --> 0:00:56.960 Business Appen everywhere you get your podcasts. 0:01:00.000 --> 0:01:03.120 Good morning, I'm Amy Morris and I'm Karen Moscow. Here 0:01:03.120 --> 0:01:04.480 are the stories we're following. 0:01:04.480 --> 0:01:08.160 Today. First House Speaker Kevin McCarthy is escalating demands for 0:01:08.200 --> 0:01:11.479 President Biden to avoid a debt seialing crisis. He tells 0:01:11.480 --> 0:01:14.160 Bloomberg he thinks the Senate and President are ignoring the 0:01:14.240 --> 0:01:17.040 issue while a Republicans want to raise the debt ceiling 0:01:17.200 --> 0:01:18.280 and cut spending. 0:01:18.680 --> 0:01:20.040 We help the supply chain. 0:01:20.440 --> 0:01:23.440 We we pill eighty seven thousand IRS agents, We make 0:01:23.600 --> 0:01:26.840 America energy independent. We cut the red tape so we 0:01:26.880 --> 0:01:30.480 can build things again in America. I don't think that's radical. 0:01:30.800 --> 0:01:32.520 They haven't done anything on the debt ceiling, and the 0:01:32.520 --> 0:01:36.520 President has ignored this problem. He's actually putting the economy 0:01:36.560 --> 0:01:38.280 of America in jeopardy. 0:01:38.520 --> 0:01:42.280 Senate Democrats have declared McCarthy's bill dead on arrival. President 0:01:42.280 --> 0:01:45.920 Biden and Congressional Democrats oppose the measure because it attaches 0:01:46.080 --> 0:01:49.720 sweeping spending cuts as a condition for raising the debt ceiling. 0:01:49.960 --> 0:01:53.520 Stay tuned for our complete extended interview with Speaker McCarthy 0:01:53.600 --> 0:01:55.600 coming up shortly on Bloomberg Daybreak. 0:01:56.120 --> 0:01:59.840 Meantime, maybe there's concern among Democrats that President Biden's reelection 0:02:00.000 --> 0:02:04.440 announcement is not exciting voters. The President's campaign reports not 0:02:04.600 --> 0:02:08.200 raising much money following the Tuesday announcement, and Bloombery Scott 0:02:08.280 --> 0:02:09.720 Carr has more from Washington. 0:02:10.080 --> 0:02:13.120 Sources close to the campaign say the sluggish fundraising comes 0:02:13.160 --> 0:02:16.160 primarily from a lack of outreach to major donors who 0:02:16.240 --> 0:02:19.400 can boost early totals by making large contributions to the 0:02:19.400 --> 0:02:22.720 Democratic Party. They say ultimately Biden will have no trouble 0:02:22.800 --> 0:02:25.400 raising money, but that the campaign had planned to release 0:02:25.440 --> 0:02:28.600 fundraising totals after forty eight hours with the hope of 0:02:28.680 --> 0:02:31.800 generating some excitement and now may have to wait. On 0:02:31.840 --> 0:02:35.080 the Republican side, many major donors have decided to withhold 0:02:35.120 --> 0:02:39.200 contributions until it's apparent a clear challenger emerges to Donald 0:02:39.200 --> 0:02:42.400 Trump in Washington. I'm Scott Carr, Bloomberg Daybreak. 0:02:42.760 --> 0:02:45.360 Thank you, Scott, speaking of Donald Trump. As former Vice 0:02:45.400 --> 0:02:48.440 president Mike penns has now testified before the federal grand 0:02:48.520 --> 0:02:52.079 jury investigating the plot to overturn the election. We get 0:02:52.120 --> 0:02:54.000 that story from Bloomberg's Ed Baxter. 0:02:54.520 --> 0:02:57.160 Pence is the highest profile person to do so, and 0:02:57.200 --> 0:03:00.520 it is significant because he has inside in for at 0:03:00.520 --> 0:03:03.680 the highest level of Trump's activities to try and undermine 0:03:03.720 --> 0:03:07.160 the process. Penn spent several hours before the grand jury 0:03:07.240 --> 0:03:11.560 being used by Special Counsel Jack Smith. Also of significance 0:03:11.639 --> 0:03:14.840 is the swiftness in which it took place, so fast 0:03:14.880 --> 0:03:17.760 after Trump lost his bid to have Pen's appearance blocked 0:03:18.000 --> 0:03:20.240 and before his team had the chance to file for 0:03:20.280 --> 0:03:23.560 the Supreme Court. The details of testimony, of course, our 0:03:23.639 --> 0:03:26.760 secret in San Francisco. I'm at Baxter Bloomberg daybreak. 0:03:26.840 --> 0:03:29.560 All righted, thanks, We'll turning to the markets now. Regional 0:03:29.600 --> 0:03:33.000 bank turmoil remains in focus. We have new developments on 0:03:33.160 --> 0:03:36.800 First Republic and we get the details from Bloomberry. Steve Rapoboard, 0:03:36.840 --> 0:03:37.840 Good morning, Steve. 0:03:37.680 --> 0:03:40.800 Good morning, Karen and Amy. Officials from the FDIC, the 0:03:40.840 --> 0:03:44.000 Treasury Department, and the Federal Reserve are huddling with companies 0:03:44.000 --> 0:03:47.240 to discuss a possible bailout for First Republic. That's according 0:03:47.240 --> 0:03:49.800 to Reuter's, which also says the government is recruiting more 0:03:49.840 --> 0:03:52.760 parties for the effort, including banks and equity firms, but 0:03:52.840 --> 0:03:56.000 it's unclear if Washington will participate in a rescue. First 0:03:56.000 --> 0:03:58.440 Republic was on the brink of collapse last month when 0:03:58.480 --> 0:04:01.880 other regional banks suddenly employed a coalition of large firms 0:04:01.920 --> 0:04:04.600 port thirty billion dollars into the struggling lender to keep 0:04:04.640 --> 0:04:08.160 it afloat live in New York. I'm Steve Rappaport, Bloomberg Daybreak. 0:04:08.520 --> 0:04:12.560 Thanks Steve. Amazon's also seeing volatility this morning. Initially earnings 0:04:12.560 --> 0:04:15.960 boosted at Amazon stock around twelve percent. Now it is 0:04:16.000 --> 0:04:18.919 down one point three percent in early trading. On the 0:04:18.920 --> 0:04:22.360 company conference call, Amazon warned that growth in its cloud 0:04:22.400 --> 0:04:26.679 business is cooling. Here's chief financial Officer Brian Olsovski. 0:04:26.200 --> 0:04:29.480 As expected customers continue to evaluate ways to optimize their 0:04:29.480 --> 0:04:32.719 cloud spending in response to these tough economic conditions in 0:04:32.760 --> 0:04:35.880 the first quarter, and we are seeing these optimizations continue 0:04:35.920 --> 0:04:38.880 into the second quarter, with April revenue growth rates about 0:04:38.880 --> 0:04:41.159 five hundred basis points lower than what we saw in 0:04:41.240 --> 0:04:41.960 Q one. 0:04:42.279 --> 0:04:46.400 CFO Brian Olsovski says Amazon's most profitable division saw a 0:04:46.480 --> 0:04:50.160 sixteen percent gain in revenue, the slowest growth rates since 0:04:50.160 --> 0:04:52.320 Amazon began breaking out the unit sales. 0:04:52.720 --> 0:04:54.920 Well, let's check some other stocks on the move this morning, 0:04:54.920 --> 0:04:57.400 Amy shares of Intel at more than four percent, the 0:04:57.440 --> 0:05:01.000 ship maker promising a recovery in the second half, leading 0:05:01.040 --> 0:05:04.200 investors to look past a disappointing profit margin forecast for 0:05:04.240 --> 0:05:05.160 the current quarter. 0:05:05.400 --> 0:05:07.880 And shares of snap are plunging more than nineteen percent. 0:05:07.920 --> 0:05:11.039 This morning, the snapchat maker reported its first ever decline 0:05:11.080 --> 0:05:15.840 in quarterly revenue after making major changes to its advertising tools, and. 0:05:15.760 --> 0:05:19.520 In Asia overnight amy the major focus was on monetary policy. 0:05:19.600 --> 0:05:22.200 The Bank of Japan announced plans to scrap its guidance 0:05:22.240 --> 0:05:25.280 on future interest rates at its first meeting under new 0:05:25.320 --> 0:05:28.560 governor Kazuo Uweita. At the same time, the BOJ is 0:05:28.640 --> 0:05:32.560 keeping stimulus measures unchanged as it seeks stronger inflation, and 0:05:32.600 --> 0:05:35.839 Bloomberg's Kathleen Hayes is in Japan to cover the policy decision. 0:05:36.120 --> 0:05:38.559 A little longer term, their view of inflation could change, 0:05:38.560 --> 0:05:40.359 and they're still very concerned that they are going to 0:05:40.560 --> 0:05:42.840 end policy eating too soon. They're going to make the 0:05:42.880 --> 0:05:45.560 same mistake they made back in the early two thousand 0:05:45.640 --> 0:05:48.360 when governor with a dissensive against a policy vote to 0:05:48.400 --> 0:05:50.600 raise rech what had to later be turned around had 0:05:50.600 --> 0:05:53.080 to cut. Many people remember that the BOJ I've heard 0:05:53.080 --> 0:05:55.359 that over and over and that's why they are so reluctant, 0:05:55.400 --> 0:05:57.279 and it surprises people. But the place's rising. 0:05:57.279 --> 0:05:59.960 This here is way of up target, and that's Bloomberg 0:06:00.160 --> 0:06:02.640 Kathleen Hayes well inflation may be above target. The BOJA 0:06:02.720 --> 0:06:05.720 projects price increases will be below two percent again in 0:06:05.800 --> 0:06:08.280 three years time. The Central Bank is also calling for 0:06:08.320 --> 0:06:11.360 a long term review of its policies. And this is Bloomberg. 0:06:15.320 --> 0:06:17.960 Thank you, Karen, five oh seven on Wall Street. Fifty 0:06:17.960 --> 0:06:20.880 one degrees in cloudy in New York this morning, rain 0:06:21.000 --> 0:06:24.159 moving in this afternoon. We're going up to sixty degrees today, 0:06:24.200 --> 0:06:27.320 windy and rainy tonight, down to fifty. Time now for 0:06:27.400 --> 0:06:29.360 a look at some of the other stories making news 0:06:29.360 --> 0:06:31.520 in New York and around the world. For that, we're 0:06:31.600 --> 0:06:34.719 joined by Bloomberg's John Tucker. Good morning, John and Amy. 0:06:34.760 --> 0:06:37.440 It took several weeks past the April first deadline, but 0:06:37.920 --> 0:06:41.839 New York Kemnaccathy Hockel finally announced a tentative deal on 0:06:41.920 --> 0:06:44.799 a two hundred and twenty nine billion dollars state budget. 0:06:45.160 --> 0:06:48.120 Hockel says that would provide major changes to New York 0:06:48.240 --> 0:06:49.280 bail laws. 0:06:49.640 --> 0:06:52.840 The agreement removes what is known as the least Restrictive 0:06:53.080 --> 0:06:56.880 Means standard, which many judges have said tied their hands. 0:06:57.400 --> 0:07:01.360 It gives judges discretion they need to hold island criminals accountable, 0:07:01.800 --> 0:07:04.800 while still upholding our commitment to a justice system that 0:07:04.920 --> 0:07:07.760 is fair and accessible to all. 0:07:07.760 --> 0:07:10.760 The governor also says the budget includes an increase in 0:07:10.800 --> 0:07:14.680 the minimum wage from fifteen dollars to seventeen dollars in 0:07:14.680 --> 0:07:17.880 New York City, Westchester County, and Long Island by twenty 0:07:17.920 --> 0:07:20.160 twenty six, and in the rest of the state a 0:07:20.240 --> 0:07:23.040 year later. It also provides funding for New York City's 0:07:23.080 --> 0:07:26.560 transit system. The woman accusing Donald Trump of rape went 0:07:26.600 --> 0:07:29.600 through an intense cross examination at the rape and defamation 0:07:29.680 --> 0:07:33.080 lawsuit against the former president. For hours, defense attorney Joe 0:07:33.080 --> 0:07:37.760 Tekapina attacked the credibility of accuser e Gene Carroll. Tekipina 0:07:37.840 --> 0:07:40.560 asked her why she didn't scream during the alleged attack. 0:07:41.040 --> 0:07:43.960 Karrol responded, he raped me, whether I screamed or not. 0:07:44.680 --> 0:07:47.160 Russia has fired more than twenty cruise missiles and two 0:07:47.240 --> 0:07:50.400 drones at Kiev and other parts of Ukraine. The attacks 0:07:50.440 --> 0:07:54.080 early today killed at least nine people. Two US Army 0:07:54.080 --> 0:07:57.280 helicopters collided and crashed in Alaska while returning from a 0:07:57.280 --> 0:08:00.840 training flight, getting three soldiers and injuring a fourth. The 0:08:00.880 --> 0:08:04.560 crash is the second accident involving military helicopters in Alaska 0:08:04.600 --> 0:08:07.640 this year. The Air Force has suspended two commanders in 0:08:07.680 --> 0:08:10.960 the same wing where Massachusetts Air National guardsman and suspected 0:08:11.040 --> 0:08:15.920 intelligence leader Jack Deshera worked Pentagon Press secretary Brigadier General 0:08:15.920 --> 0:08:16.560 Pat Ryder. 0:08:16.920 --> 0:08:19.640 The Air Force has initiated an investigation, as you know, 0:08:19.680 --> 0:08:24.720 the Air Force Inspector General is investigating the wing as 0:08:24.760 --> 0:08:28.840 you highlight my understanding, as they have suspended, temporarily suspended 0:08:28.880 --> 0:08:30.239 two leaders within that unit. 0:08:30.600 --> 0:08:33.840 Meanwhile, the judge presided over to SHARE's detention hearing put 0:08:33.840 --> 0:08:36.240 off an immediate decision whether the twenty one year old 0:08:36.240 --> 0:08:39.800 should be kept in custody until his trial and a 0:08:39.800 --> 0:08:44.160 tri state icon is gone. Stu Leonards Senior has died. 0:08:44.640 --> 0:08:47.200 Leonard founded a dairy store in nineteen sixty nine that 0:08:47.320 --> 0:08:50.720 became a regional grocery powerhouse. Under his name, Stu Leonard 0:08:50.800 --> 0:08:54.120 Senior was ninety three global news twenty four hours a 0:08:54.160 --> 0:08:57.079 day power blymore than twenty seven hundred journalist and analyst 0:08:57.440 --> 0:08:59.800 in over one hundred and twenty countries. I'm John Tucker. 0:08:59.840 --> 0:09:01.080 This is Bloomberg Amy. 0:09:01.360 --> 0:09:08.600 All right, thank you, John. It's five to ten on 0:09:08.679 --> 0:09:11.440 Wall Street time now for our Bloomberg Sports update. For that, 0:09:11.480 --> 0:09:13.120 we bring in John stashaer. 0:09:12.760 --> 0:09:15.760 Thanks Amy first round of the NFL Draft in Kansas City. 0:09:15.800 --> 0:09:17.400 Most felt the Jets to try to take a player 0:09:17.400 --> 0:09:19.920 to help out Aaron Rodgers. Their defense last season was 0:09:20.000 --> 0:09:22.680 very strong, yet they took a linebacker with the fifteenth pick, 0:09:22.760 --> 0:09:26.640 Will McDonald fourth from Ihowa State. Giants in recent years 0:09:26.679 --> 0:09:29.880 tried to improve their offense. This time they also went defense. 0:09:29.920 --> 0:09:33.839 At twenty five. They drafted Maryland cornerback Deonte Banks. Three 0:09:33.920 --> 0:09:36.600 quarterbacks taken in the first four picks, Alabama's Bryce Young 0:09:36.640 --> 0:09:40.280 to Carolina, Ohio State c J. Stroud goes to Houston. 0:09:40.320 --> 0:09:44.839 Anthony Richardson Florida drafted by Indianapolis. Alabama players went first 0:09:44.840 --> 0:09:47.680 and third, and Ohio State players went second and sixth. 0:09:47.679 --> 0:09:51.079 Baltimore star kV Lamar Jackson finally agreed to a new 0:09:51.160 --> 0:09:54.680 contract five years, an average salary of a record fifty 0:09:54.760 --> 0:09:57.880 two million. The Rangers Devil series began with a pair 0:09:57.920 --> 0:10:00.040 of five to one Ranger wins in New Jersey, but 0:10:00.200 --> 0:10:02.680 since then the Rangers have scored only two goals in 0:10:02.840 --> 0:10:05.640 three games, none last night a four to nothing Devils 0:10:05.679 --> 0:10:08.280 win that has them now up three to two with 0:10:08.400 --> 0:10:10.920 Game six tomorrow at the Garden Tampa Bay State alive 0:10:10.960 --> 0:10:15.760 winning at Toronto. Vegas advances beating Winnipeg NBA. The Celtics 0:10:15.760 --> 0:10:19.000 advanced around two at Game six, winning Atlanta two. Big 0:10:19.040 --> 0:10:21.280 Game six is tonight in the West, with the Lakers 0:10:21.280 --> 0:10:24.200 and Warriors both at home, both up three to two. 0:10:24.280 --> 0:10:27.680 Wildlie at Cityfield Mets. We're up seven, three, down eight seven. 0:10:27.720 --> 0:10:29.920 They scored twice in the eighth inning to win nine 0:10:29.960 --> 0:10:32.920 to eight, avoiding what would have been an embarrassing sweep 0:10:32.960 --> 0:10:36.040 by Washington, and now the Mets welcome in Atlanta for 0:10:36.080 --> 0:10:38.880 a four game series. Yankees won four to two at Texas, 0:10:38.920 --> 0:10:42.080 three solo home runs to back Garrett Cole, who's now 0:10:42.120 --> 0:10:44.880 five and zero in the era just over one John 0:10:44.920 --> 0:10:46.599 Stashawa Bloomberg Sport. 0:10:49.720 --> 0:10:53.120 Live from coast to coast, from New York to San Francisco, 0:10:53.320 --> 0:10:57.760 Boston to Washington, d C. Nationwide on SiriusXM, the Bloomberg 0:10:57.800 --> 0:11:01.920 Business Appen Bloomberg dot com. This is Bloomberg Daybreak. 0:11:02.880 --> 0:11:05.160 Good morning, I Amy Morris. Let's get more of that 0:11:05.240 --> 0:11:08.800 interview now. With Kevin McCarthy facing a fractured caucus, the 0:11:08.840 --> 0:11:12.679 House Speaker secured a successful vote on his debt sealing proposal. 0:11:13.120 --> 0:11:16.560 Its passage puts pressure on President Biden and Democrats to 0:11:16.640 --> 0:11:20.439 get a deal done and avoid a US default, And 0:11:20.559 --> 0:11:25.120 now McCarthy's accusing President Biden of purposefully putting the economy 0:11:25.120 --> 0:11:27.760 at risk. The President, for his part, says he would 0:11:27.880 --> 0:11:29.520 veto with the Republican bill. 0:11:30.040 --> 0:11:32.800 Happy to me with McCarthy, but not on whether or 0:11:32.880 --> 0:11:35.440 not the debt limit gets extended. 0:11:35.480 --> 0:11:37.760 More of them, that's not negotiable. 0:11:38.280 --> 0:11:41.520 President Biden is calling for negotiations, but McCarthy says the 0:11:41.520 --> 0:11:45.000 President and Democrats can avoid a debt sealing crisis by 0:11:45.040 --> 0:11:48.440 embracing the Republican plan. The House Speaker sat down with 0:11:48.480 --> 0:11:52.240 Bloomberg's and Marie Hordern to discuss this all late yesterday. 0:11:52.520 --> 0:11:55.960 He says the Democrat controlled Senate has nothing, has done 0:11:56.000 --> 0:11:59.360 nothing to avoid a debt sealing crisis, and accuses the 0:11:59.360 --> 0:12:02.720 President of ignoring the problem. Let's bring you that conversation 0:12:02.920 --> 0:12:03.640 right now. 0:12:03.640 --> 0:12:06.240 Many people doubted you were going to be able to 0:12:06.320 --> 0:12:08.080 get this bill passed through the floor. 0:12:08.120 --> 0:12:09.120 You prove them wrong. 0:12:09.160 --> 0:12:12.160 You successfully got it through the floor two hundred and 0:12:12.160 --> 0:12:15.720 seventeen voting in favor of you. President Biden, though, says 0:12:15.720 --> 0:12:18.079 he's only going to meet with you if you separate 0:12:18.679 --> 0:12:22.760 the fiscal spending cuts the budget with the debt ceiling. 0:12:22.880 --> 0:12:25.000 So what comes next, Well, I. 0:12:25.000 --> 0:12:27.160 Don't know because it was eighty five days ago. I 0:12:27.160 --> 0:12:30.120 sat down with the President February first, talking about finding 0:12:30.120 --> 0:12:33.600 a sensible, responsible way to raise the debt limit and 0:12:33.960 --> 0:12:37.439 make us less dependent on China, curve inflation, and bring 0:12:37.480 --> 0:12:40.439 growth to this economy. And that's exactly what we just did. 0:12:40.440 --> 0:12:42.080 The President then said he wasn't going to meet with 0:12:42.080 --> 0:12:44.199 me until we showed him a plan. So then I 0:12:44.240 --> 0:12:46.840 showed him a plan and then we passed it. You know, 0:12:47.120 --> 0:12:49.560 the way government works is the House passes the bill, 0:12:49.600 --> 0:12:52.040 the Senate passes a bill, and then you conference together 0:12:52.080 --> 0:12:54.640 and the President can sign decide whether he signs it 0:12:54.720 --> 0:12:57.040 or not. The challenge here is the Senate's done nothing. 0:12:57.480 --> 0:13:00.640 But I shouldn't be rude. They did name March Maine 0:13:00.679 --> 0:13:03.160 maple syrup mon. They did get that done, but they 0:13:03.160 --> 0:13:05.160 haven't done anything on the debt sitting, and the President 0:13:05.200 --> 0:13:08.840 has ignored this problem. He's actually putting the economy of 0:13:08.880 --> 0:13:12.920 America in jeopardy by not doing anything. Because only the 0:13:13.040 --> 0:13:15.880 House has raised the debt limit, passed the bill to 0:13:15.920 --> 0:13:19.199 do that and at the same time grow the economy. 0:13:19.200 --> 0:13:21.400 And we did it with ideas that he has voted 0:13:21.440 --> 0:13:24.680 for work requirements. He voted for that as a Senator. 0:13:24.720 --> 0:13:27.760 But more importantly, just a couple months ago in Wisconsin 0:13:27.880 --> 0:13:30.040 it passed with eighty two percent of the vote to 0:13:30.120 --> 0:13:32.439 limit our growth in the future so government doesn't get 0:13:32.440 --> 0:13:35.320 out of control. Well, that's an idea from Joe Manchin. 0:13:36.080 --> 0:13:39.320 We help the supply chain, We pill eighty seven thousand 0:13:39.400 --> 0:13:43.360 IRS agents, We make America energy independent, We cut the 0:13:43.400 --> 0:13:46.480 red tape so we could build things again in America. 0:13:46.520 --> 0:13:47.880 I don't think that's radical. 0:13:47.880 --> 0:13:49.400 And the words that are coming out of the White 0:13:49.440 --> 0:13:52.199 House that we are going to melt children's bones, we're 0:13:52.240 --> 0:13:53.359 going to create asthma. 0:13:53.480 --> 0:13:55.719 There's nothing in the bill that does that. 0:13:55.880 --> 0:14:00.080 It actually protects veterans, protects our military, makes his cur 0:14:00.120 --> 0:14:03.000 of inflation, but keeps us a stronger pace for the future. 0:14:04.520 --> 0:14:07.160 So Biden didn't say, though, show me a plan. He said, 0:14:07.200 --> 0:14:09.640 show me a budget. This is just a proposal, but 0:14:09.679 --> 0:14:12.120 it's not exactly a budget. But he is signaling an 0:14:12.160 --> 0:14:15.760 openness if these two were separated. So why not just 0:14:16.200 --> 0:14:19.360 pass a debt ceilings? This is what Congress is scheduled 0:14:19.440 --> 0:14:22.000 to do and has to do for the full faith 0:14:22.040 --> 0:14:23.240 and credit of the United States. 0:14:23.440 --> 0:14:25.000 And then at the same time have. 0:14:25.080 --> 0:14:27.560 Those negotiations regarding a budget for. 0:14:27.520 --> 0:14:28.200 The fiscal year. 0:14:28.600 --> 0:14:31.200 Okay, well, let me just clarify to your viewers so 0:14:31.240 --> 0:14:33.440 they don't get mixed up like you did. A budget 0:14:33.440 --> 0:14:35.480 has nothing to do with the debt ceiling. And so 0:14:35.560 --> 0:14:38.640 you said we should pass a debt increasing a debt ceiling. 0:14:38.800 --> 0:14:40.240 That's what we did yesterday. 0:14:40.400 --> 0:14:43.520 We increase the debt ceiling by one point five trillion 0:14:43.800 --> 0:14:47.160 that goes into the next year. We also helped grow 0:14:47.200 --> 0:14:52.000 the economy, curve inflation, and make savings. So we did 0:14:52.040 --> 0:14:55.880 everything everybody requested of And what people really need to 0:14:55.880 --> 0:14:58.880 look to is the president has done nothing. He's ignored 0:14:58.880 --> 0:15:01.520 it for eighty five days. And if you wonder, has 0:15:01.560 --> 0:15:03.200 this ever been combined together? 0:15:03.720 --> 0:15:05.920 Yeah? Has the president ever voted for that? Yeah? 0:15:05.920 --> 0:15:08.800 He voted for it for four times. And the four 0:15:08.840 --> 0:15:11.600 times he voted against the debt ceiling, you know why 0:15:11.640 --> 0:15:14.400 he said he did because he wanted to see more 0:15:14.480 --> 0:15:17.640 fiscal changes without he didn't want to vote for clean 0:15:17.720 --> 0:15:20.800 debt ceiling. Every single time we move forward on the 0:15:20.800 --> 0:15:24.360 debt ceiling, last time, Nancy Pelosi said she wouldn't raise 0:15:24.400 --> 0:15:28.880 the debt ceiling without the economics the spending decided upon. 0:15:29.200 --> 0:15:32.640 We watched Chuck Schumer say the leverage all he has 0:15:32.840 --> 0:15:35.120 is to deal with the debt ceiling. So I don't 0:15:35.160 --> 0:15:38.720 know why they're changing everything now. The debt ceiling negotiations 0:15:38.720 --> 0:15:40.120 in twenty eleven were. 0:15:39.920 --> 0:15:41.160 Called the Biden talks. 0:15:41.440 --> 0:15:44.920 Biden ridiculed anybody who wouldn't sit down to negotiate. So 0:15:44.960 --> 0:15:47.320 I'm not sure if he can't remember what he did 0:15:47.360 --> 0:15:49.400 in the past or what he said in the past. 0:15:49.720 --> 0:15:52.360 But the one thing I do know for history is 0:15:52.600 --> 0:15:54.240 we have never defaulted. 0:15:54.120 --> 0:15:57.000 And the House is the only place that has taken 0:15:57.000 --> 0:16:00.640 in action to already raise the debt ceiling through the 0:16:00.680 --> 0:16:04.080 House and actually put an economic plan that has savings. 0:16:04.120 --> 0:16:07.280 We're at thirty two trillion dollars in debt. That's bigger 0:16:07.320 --> 0:16:11.360 than our entire economy, twenty percent bigger. The current Congressional 0:16:11.360 --> 0:16:13.960 Budget Office says we're going to pay ten point five 0:16:14.160 --> 0:16:16.800 trillion dollars just an interest in the next ten years. 0:16:17.160 --> 0:16:20.320 But compare that to what we paid since nineteen. 0:16:20.040 --> 0:16:21.640 Forty till today, eighty three. 0:16:21.560 --> 0:16:24.920 Years, only nine trillion if we continue down this path 0:16:24.960 --> 0:16:27.120 for the first time in the history of a ten 0:16:27.200 --> 0:16:31.760 year window of any president, Transportation, Medicare. 0:16:31.320 --> 0:16:33.240 And Social Security go in solve it. 0:16:33.440 --> 0:16:36.720 So he's actually cutting those programs and just sitting there 0:16:36.760 --> 0:16:39.760 ignoring it, treating it like he treats the border, ignoring it. 0:16:39.800 --> 0:16:42.120 Think it'll go away. It will not go away. 0:16:43.120 --> 0:16:45.640 So you want these two issues to be congruent with 0:16:45.680 --> 0:16:49.120 each other, and you want budget talks to go alongside 0:16:49.200 --> 0:16:51.360 raising the debt ceiling with the White House wants a 0:16:51.480 --> 0:16:55.160 separate discussions. But Congressman Ralph Norman told Political Playbook that, 0:16:55.400 --> 0:16:59.280 in a bid to win all your conferences, support that 0:16:59.360 --> 0:17:01.640 you promised serves that the debt ceiling bill they voted 0:17:01.640 --> 0:17:03.840 on yesterday was a floor, not a ceiling, and that 0:17:03.880 --> 0:17:06.440 you would personally oppose a fight against any debt sealing 0:17:06.440 --> 0:17:08.800 agreement that does not include all of the red meat 0:17:08.840 --> 0:17:11.760 provisions in the House bill. If this is the floor, 0:17:12.040 --> 0:17:14.240 where is there going to be even room for compromise 0:17:14.280 --> 0:17:15.399 between you and the White House? 0:17:16.240 --> 0:17:19.800 You know what I'm taking exactly what Nancy Pelosi said 0:17:19.840 --> 0:17:23.240 as the last speaker, that the just a debt sealing 0:17:23.359 --> 0:17:26.640 vote cannot pass the floor without dealing with the budget. 0:17:26.960 --> 0:17:29.720 We are at a thirty two trillion dollar deficit. When 0:17:29.760 --> 0:17:31.960 are we ever going to take this up? The Democrats 0:17:31.960 --> 0:17:35.280 had added six trillion dollars. The President wants to spend 0:17:35.359 --> 0:17:37.000 more money than he spent during COVID. 0:17:37.240 --> 0:17:38.320 So let me ask you this. 0:17:38.640 --> 0:17:41.920 To the American public, more than seventy percent believe we 0:17:41.960 --> 0:17:45.040 should sit down to negotiate. That's the design of government. 0:17:45.440 --> 0:17:48.720 But should we actually save money too? Is there nowhere 0:17:48.720 --> 0:17:50.919 in government that you could save money? What about the 0:17:50.960 --> 0:17:54.520 billions of dollars that have already been appropriated for the pandemic. 0:17:54.920 --> 0:17:58.040 The President signed a bill this year that the pandemic 0:17:58.080 --> 0:18:01.280 has ended. If this money has dormant for two years 0:18:01.280 --> 0:18:04.000 and not spent during the pandemic, why should we spend 0:18:04.040 --> 0:18:07.600 it now? That's the hard working taxpayers money. Why wouldn't 0:18:07.600 --> 0:18:10.480 you call that back? We have a supply chain problem, 0:18:10.720 --> 0:18:14.000 So why wouldn't we help people get jobs? What work 0:18:14.040 --> 0:18:17.359 requirements actually do for those who are able body with 0:18:17.480 --> 0:18:20.280 no dependents, something the president had voted for before. 0:18:20.520 --> 0:18:23.240 Why don't we protect so we don't. 0:18:22.960 --> 0:18:27.040 Have inflation in the future and actually curve how much 0:18:27.080 --> 0:18:30.440 government can grow by It grew by thirty percent under 0:18:30.440 --> 0:18:33.199 the Democrat control, so we cap it at one percent. 0:18:33.480 --> 0:18:37.040 That's an idea of Joe Manchin, a Senator and a Democrat. 0:18:37.200 --> 0:18:40.399 Did you see what Joe Manchin said today? He said, 0:18:40.480 --> 0:18:43.439 if the President does not sit down and negotiate with 0:18:43.520 --> 0:18:47.200 the speaker myself, that the American public will blame him 0:18:47.200 --> 0:18:49.840 for the first historical default. 0:18:49.480 --> 0:18:50.600 In American history. 0:18:50.880 --> 0:18:54.520 And that's exactly what has the last eighty five days. 0:18:55.720 --> 0:18:59.760 Yes, and he also talked about a common sense compromise. 0:19:00.160 --> 0:19:02.720 So your question to you, if there was a compromise, 0:19:02.840 --> 0:19:04.359 do you think you're going to have the unity in 0:19:04.400 --> 0:19:06.720 your caucus that you were able to receive last night. 0:19:07.040 --> 0:19:09.000 You know, that's a great question because that's the same 0:19:09.080 --> 0:19:11.280 question I had all week whether I could pass this bill. 0:19:11.640 --> 0:19:14.280 You know what happens with a compromise. We can get 0:19:14.280 --> 0:19:16.760 something together. It's what I sat down with the president 0:19:17.000 --> 0:19:18.600 the very beginning in February. 0:19:18.640 --> 0:19:19.960 First, I said, mister. 0:19:19.760 --> 0:19:23.120 President, why don't we sit down and work through it. 0:19:23.320 --> 0:19:25.280 There's two things that I will not do, mister President. 0:19:25.400 --> 0:19:27.600 I will not raise taxes and we will not pass 0:19:27.640 --> 0:19:30.240 a clean debt sealing. But we can talk about everything else. 0:19:30.280 --> 0:19:32.800 We could spend less money, we could secure our border. 0:19:33.000 --> 0:19:35.879 We can make ourselves energy independence so we make more jobs. 0:19:35.960 --> 0:19:38.920 We could do work requirements, we could claw back COVID money. 0:19:39.119 --> 0:19:40.800 All of that could save, and we could try to 0:19:40.800 --> 0:19:43.320 come to an agreement. The only way that you can 0:19:43.359 --> 0:19:45.920 come to an agreement is if the other side has 0:19:45.960 --> 0:19:49.840 any ideas. I produced our plan, we prove we can 0:19:49.920 --> 0:19:50.920 pass it. 0:19:50.960 --> 0:19:52.080 Show me what yours is. 0:19:52.560 --> 0:19:55.359 The Senate has done nothing, the President has done nothing, 0:19:55.920 --> 0:19:58.199 So tell me where is their compromise. 0:19:58.600 --> 0:20:00.280 We're the only people. 0:20:00.400 --> 0:20:02.560 That have passed a bill that will raise the debt 0:20:02.600 --> 0:20:05.520 limit so we won't have economic and a default. 0:20:05.720 --> 0:20:08.399