1
00:00:02,480 --> 00:00:09,080
Speaker 1: Bloomberg Audio Studios, Podcasts, radio news.

2
00:00:10,000 --> 00:00:10,559
Speaker 2: Good morning.

3
00:00:10,600 --> 00:00:13,440
Speaker 1: I'm Nathan Hager and I'm Karen Moscow. Here are the

4
00:00:13,480 --> 00:00:14,920
Speaker 1: stories we're following today.

5
00:00:15,200 --> 00:00:17,840
Speaker 3: Karen, we're seeing big moves in the French stock market

6
00:00:17,840 --> 00:00:21,200
Speaker 3: this morning following the first round of Francis parliamentary election.

7
00:00:21,600 --> 00:00:24,920
Speaker 3: The country's main stock index, the CAC, is up about

8
00:00:24,920 --> 00:00:28,000
Speaker 3: one point four percent, while the euro is stronger against

9
00:00:28,000 --> 00:00:31,040
Speaker 3: the dollar at one point zero seven sixty eight. Although

10
00:00:31,120 --> 00:00:34,000
Speaker 3: Marine Lapin's far right party one and secured more than

11
00:00:34,040 --> 00:00:36,680
Speaker 3: thirty three percent of the vote, there is speculation that

12
00:00:36,760 --> 00:00:39,840
Speaker 3: La Pem will struggle to win an outright majority in

13
00:00:39,920 --> 00:00:43,720
Speaker 3: French elections. That is easing investor concerns that the region's

14
00:00:43,720 --> 00:00:47,240
Speaker 3: second largest economy was headed for a more radical policy shift.

15
00:00:47,560 --> 00:00:51,159
Speaker 3: Marine Lapen emphasized the importance of the election's high turnout.

16
00:00:51,680 --> 00:00:55,040
Speaker 4: De the French people have placed the National Rally and

17
00:00:55,080 --> 00:00:58,320
Speaker 4: its allies in the lead and virtually wiped out the

18
00:00:58,400 --> 00:01:02,560
Speaker 4: Machronus Bloc. First of all, as a political leader, I

19
00:01:02,720 --> 00:01:06,720
Speaker 4: welcome such a high turnout, which gives particular force to

20
00:01:06,720 --> 00:01:10,600
Speaker 4: tonight's results.

21
00:01:09,240 --> 00:01:12,200
Speaker 3: The National Rallies. Marine Lapan spoke there through an interpreter.

22
00:01:12,440 --> 00:01:15,640
Speaker 3: The left wing New Popular Front got twenty eight percent

23
00:01:15,680 --> 00:01:19,720
Speaker 3: of the vote, while French President Emmanuel mccron's centrist coalition

24
00:01:19,840 --> 00:01:21,880
Speaker 3: received just under twenty one percent.

25
00:01:22,640 --> 00:01:25,479
Speaker 1: Well, Nathan, The UK election is only three days away.

26
00:01:25,680 --> 00:01:29,440
Speaker 1: Labor leader Keir Starmer has told Bloomberg that global investors

27
00:01:29,520 --> 00:01:32,280
Speaker 1: back him to create growth in the UK, and Starmers

28
00:01:32,280 --> 00:01:34,080
Speaker 1: spoke to Bloomberg's Ellen Milligan.

29
00:01:34,560 --> 00:01:37,840
Speaker 5: Growth is the number one mission. My confidence that we

30
00:01:38,040 --> 00:01:41,240
Speaker 5: can get growth. We have already, as you would expect,

31
00:01:41,360 --> 00:01:44,760
Speaker 5: been talking to global investors for two years or more

32
00:01:45,400 --> 00:01:48,560
Speaker 5: and been very clear with them and they with us

33
00:01:48,560 --> 00:01:51,200
Speaker 5: as to one of the conditions that will enable them

34
00:01:51,200 --> 00:01:53,240
Speaker 5: to invest. At the moment, many are saying we've got

35
00:01:53,240 --> 00:01:56,040
Speaker 5: the money to invest, but we're not investing because the chaos,

36
00:01:56,080 --> 00:01:59,080
Speaker 5: the chopping, the changing, the difference of prime ministers and chances.

37
00:01:59,520 --> 00:02:02,600
Speaker 5: That's why stability is so important.

38
00:02:03,640 --> 00:02:06,960
Speaker 3: Kiir Starmer's opponent, Prime Minister Rieschi Suonak, says he can

39
00:02:07,000 --> 00:02:09,520
Speaker 3: still win the election in spite of Paul suggesting a

40
00:02:09,520 --> 00:02:13,080
Speaker 3: mammoth gap in popularity to Labor. The Conservative leader warned

41
00:02:13,240 --> 00:02:16,679
Speaker 3: the opposition party would cause irreversible damage in just one

42
00:02:16,760 --> 00:02:19,800
Speaker 3: hundred days of coming to power. Sunak told the BBC

43
00:02:20,000 --> 00:02:23,600
Speaker 3: his government has tackled record high inflation, and electing kir Starmer,

44
00:02:23,639 --> 00:02:25,040
Speaker 3: he says, would put that at risk.

45
00:02:25,400 --> 00:02:27,880
Speaker 6: And I do think it is about tax because people

46
00:02:28,160 --> 00:02:30,440
Speaker 6: are working very, very hard, and I want them to

47
00:02:30,440 --> 00:02:32,200
Speaker 6: be able to keep more of their money so that

48
00:02:32,240 --> 00:02:34,239
Speaker 6: they can spend that on their families in the way

49
00:02:34,240 --> 00:02:36,359
Speaker 6: that they won. And we've now been able to start

50
00:02:36,360 --> 00:02:38,720
Speaker 6: doing that after a difficult few years. And none of

51
00:02:38,720 --> 00:02:42,160
Speaker 6: those things are going to be made any easier by

52
00:02:42,280 --> 00:02:45,000
Speaker 6: Labor government that would whack up everyone's taxes by thousands

53
00:02:45,040 --> 00:02:45,640
Speaker 6: of pounds.

54
00:02:46,200 --> 00:02:48,799
Speaker 3: Richie Sunak and the Conservatives have claimed Labor would raise

55
00:02:48,840 --> 00:02:51,880
Speaker 3: taxes for all Britons, despite pledges to the contrary.

56
00:02:52,480 --> 00:02:56,320
Speaker 1: Well, turning now to US politics, Nathan President Biden's disaster

57
00:02:56,440 --> 00:02:59,680
Speaker 1: as debate performance so last week hands him undergrowing pressure

58
00:02:59,720 --> 00:03:02,640
Speaker 1: to rop out of the race, but the Boding campaign

59
00:03:02,800 --> 00:03:04,720
Speaker 1: is going on a tag mode and some of his

60
00:03:04,800 --> 00:03:09,160
Speaker 1: closest supporters are standing behind him. Congressman Jim Clyburn admits

61
00:03:09,200 --> 00:03:11,679
Speaker 1: that the President had a bad debate night, but he

62
00:03:11,840 --> 00:03:13,600
Speaker 1: chalks it up to over preparation.

63
00:03:14,280 --> 00:03:17,839
Speaker 7: I have not talked to the President since Friday, and

64
00:03:18,600 --> 00:03:21,200
Speaker 7: if he asked my opinion, I would give it as

65
00:03:21,200 --> 00:03:24,840
Speaker 7: I always do, and that is very clearly he should

66
00:03:24,880 --> 00:03:26,080
Speaker 7: stay in this race.

67
00:03:26,919 --> 00:03:30,200
Speaker 1: And Congressman Clyburn is credited with helping turn the president's

68
00:03:30,200 --> 00:03:33,400
Speaker 1: twenty twenty campaign around. He spoke on CNN State of

69
00:03:33,480 --> 00:03:36,520
Speaker 1: the Union. A CBS News poll taken after the debate

70
00:03:36,600 --> 00:03:39,400
Speaker 1: shows just twenty seven percent think the president has the

71
00:03:39,480 --> 00:03:43,200
Speaker 1: mental and cognitive health to serve another four years Marilyn

72
00:03:43,320 --> 00:03:46,600
Speaker 1: Governor Wess More reacted on CBS's Face the Nation.

73
00:03:47,240 --> 00:03:50,560
Speaker 8: I get it the arguments about age and the complications

74
00:03:50,560 --> 00:03:53,640
Speaker 8: of eighty one, but the number eighty one is an

75
00:03:53,640 --> 00:03:57,080
Speaker 8: important number, but so is watching historically low unemployment rates.

76
00:03:57,080 --> 00:03:58,800
Speaker 8: And I do not think that people should lose.

77
00:03:58,680 --> 00:04:01,960
Speaker 1: Sight of that, Governor Wes Moore and CBS has faced

78
00:04:01,960 --> 00:04:04,240
Speaker 1: the nation. The show can be heard as Sundays on

79
00:04:04,280 --> 00:04:08,000
Speaker 1: Bloomberg Radio. But after the president's a difficult performance, another

80
00:04:08,040 --> 00:04:12,760
Speaker 1: Maryland Democrat, Congressman Jamie Raskin, said serious conversations are happening

81
00:04:12,920 --> 00:04:15,280
Speaker 1: about whether Biden should be their nominee.

82
00:04:15,520 --> 00:04:18,159
Speaker 3: Well elsewhere in Washington, Karen, the Supreme Court is set

83
00:04:18,200 --> 00:04:21,200
Speaker 3: to issue the final opinions of its term today and

84
00:04:21,240 --> 00:04:25,520
Speaker 3: that includes the question of presidential immunity. Bloomberg's Amy Morris

85
00:04:25,520 --> 00:04:26,720
Speaker 3: reports from Washington.

86
00:04:27,160 --> 00:04:30,320
Speaker 9: The justices will rule on whether former President Donald Trump

87
00:04:30,400 --> 00:04:33,920
Speaker 9: is immune from criminal prosecution in the election interference case

88
00:04:33,960 --> 00:04:37,240
Speaker 9: against him. It's about two months after hearing those arguments.

89
00:04:37,400 --> 00:04:40,680
Speaker 9: The Supreme Court has ruled before that former presidents can't

90
00:04:40,680 --> 00:04:43,440
Speaker 9: be sued in civil cases for what they did in office,

91
00:04:43,480 --> 00:04:46,880
Speaker 9: but it's never weighed on criminal immunity. Even if the

92
00:04:46,880 --> 00:04:49,840
Speaker 9: court decides he's not immune, Trump's trial in Washington, d

93
00:04:49,960 --> 00:04:53,200
Speaker 9: C might not take place before the November election. The

94
00:04:53,320 --> 00:04:55,760
Speaker 9: last of the Supreme Court opinions are scheduled to be

95
00:04:55,839 --> 00:04:59,400
Speaker 9: released at ten this morning. Amy Morris, Bloomberg Radio.

96
00:05:00,000 --> 00:05:02,480
Speaker 1: Thank you, staying in Washington. And Justice Department intends to

97
00:05:02,560 --> 00:05:05,120
Speaker 1: charge Boeing with fraud, and we again more from Bloomberg's

98
00:05:05,120 --> 00:05:05,960
Speaker 1: Doug Prisner.

99
00:05:06,160 --> 00:05:09,160
Speaker 10: The company will have to choose between pleading guilty or

100
00:05:09,200 --> 00:05:11,920
Speaker 10: going to trial. We're told Boeing will have until the

101
00:05:12,000 --> 00:05:14,279
Speaker 10: end of the week to decide. The company will also

102
00:05:14,320 --> 00:05:17,480
Speaker 10: have to pay a fine and have a corporate monitor now.

103
00:05:17,520 --> 00:05:20,640
Speaker 10: The DOJ revealed its intentions on Sunday during a meeting

104
00:05:20,680 --> 00:05:24,080
Speaker 10: with families of victims of two fatal seven thirty seven

105
00:05:24,120 --> 00:05:27,920
Speaker 10: Max crashes. The DOJ has said Boeing violated and agreement

106
00:05:28,000 --> 00:05:30,840
Speaker 10: struck in the last days of the Trump administration. It

107
00:05:30,920 --> 00:05:35,760
Speaker 10: allowed the company to avoid prosecution if it met certain conditions. Then,

108
00:05:35,800 --> 00:05:39,240
Speaker 10: in January, a fuselage panel blew out of a Boeing jet,

109
00:05:39,440 --> 00:05:41,800
Speaker 10: and in May, the DOJ found the company failed to

110
00:05:41,839 --> 00:05:45,719
Speaker 10: adopt a required program to prevent and detect violation of

111
00:05:45,839 --> 00:05:46,840
Speaker 10: US fraud laws.

112
00:05:47,200 --> 00:05:47,720
Speaker 11: In New York.

113
00:05:47,760 --> 00:05:49,200
Speaker 10: I'm Doug Prisner, Bloomberg Radio.

114
00:05:49,279 --> 00:05:50,880
Speaker 3: All right, Doug, thank you, and Boeing it is in

115
00:05:50,920 --> 00:05:53,400
Speaker 3: the spotlight. On another front, it has finally reached an

116
00:05:53,440 --> 00:05:56,719
Speaker 3: agreement to buy back Spirit Aero Systems or the price

117
00:05:56,800 --> 00:05:59,480
Speaker 3: tack of thirty seven dollars twenty five cents per share

118
00:05:59,520 --> 00:06:02,400
Speaker 3: in an all stock deal that values the supplier at

119
00:06:02,440 --> 00:06:06,279
Speaker 3: four point seven billion dollars. The total transaction value is

120
00:06:06,320 --> 00:06:10,159
Speaker 3: about eight point three billion, including Spirit's last reported net debt.

121
00:06:10,600 --> 00:06:13,320
Speaker 3: Boeing is taking back full control of Spirit after an

122
00:06:13,360 --> 00:06:16,440
Speaker 3: accident in January on board of seven thirty seven Max

123
00:06:16,520 --> 00:06:20,719
Speaker 3: nine airliner revealed quality and manufacturing shortcomings at both Boeing

124
00:06:21,120 --> 00:06:24,440
Speaker 3: and its most supportant supplier, leading to a rethinking of

125
00:06:24,520 --> 00:06:27,200
Speaker 3: their Relationship and checking. Shares of Boeing in the pre

126
00:06:27,279 --> 00:06:31,000
Speaker 3: market there down about one percent. Spirit Aerosystems is up

127
00:06:31,160 --> 00:06:32,840
Speaker 3: eight percent in early trading.

128
00:06:36,160 --> 00:06:37,480
Speaker 1: But it's time now for a look at some of

129
00:06:37,480 --> 00:06:39,480
Speaker 1: the other stories making news in New York and around

130
00:06:39,520 --> 00:06:42,200
Speaker 1: the world. For that, we're joined by Bloomberg's Michael Barr. Michael,

131
00:06:42,200 --> 00:06:43,679
Speaker 1: good morning, Good morning Karen.

132
00:06:43,800 --> 00:06:47,560
Speaker 12: Hurricane Barrel is closing in on the Southeastern Caribbean and

133
00:06:47,720 --> 00:06:51,719
Speaker 12: government officials are pleading with people to take shelter. Hurricane

134
00:06:51,720 --> 00:06:55,080
Speaker 12: warnings are in effect for Barbados, Saint Lucia and other

135
00:06:55,120 --> 00:06:58,960
Speaker 12: islands as Barrel churns in the Atlantic. Richard Pash is

136
00:06:59,000 --> 00:07:02,039
Speaker 12: a senior hurricane specialists at the National Hurricane Center.

137
00:07:02,400 --> 00:07:05,279
Speaker 11: Barrel is a very dangerous Category four hurricane and it

138
00:07:05,400 --> 00:07:08,359
Speaker 11: is approaching the Windward Islands, which are the islands of

139
00:07:08,360 --> 00:07:12,360
Speaker 11: the Southeastern Caribbean Sea. It's got maximum sustained winds near

140
00:07:12,360 --> 00:07:13,680
Speaker 11: one hundred and thirty miles per hour.

141
00:07:14,120 --> 00:07:19,280
Speaker 12: Prime Minister Ralph Gunsalves is the hurricane specialists that's saying

142
00:07:19,320 --> 00:07:20,680
Speaker 12: that this is no joke.

143
00:07:21,080 --> 00:07:23,320
Speaker 7: You have to look out for the children, you have

144
00:07:23,440 --> 00:07:25,960
Speaker 7: to look out for the old people.

145
00:07:27,000 --> 00:07:29,920
Speaker 12: Residents have been boarding up windows ahead of the hurricane.

146
00:07:30,040 --> 00:07:33,600
Speaker 12: A drone attack by Hesbalah militants on Sunday injured eighteen

147
00:07:33,760 --> 00:07:38,200
Speaker 12: Israeli soldiers, one of them seriously, according to Israel's military.

148
00:07:38,680 --> 00:07:41,920
Speaker 12: The assault in the northern Golan Heights came as Israel

149
00:07:42,040 --> 00:07:46,200
Speaker 12: and Hesbela, based in Lebanon, moved closer to a full

150
00:07:46,320 --> 00:07:49,600
Speaker 12: scale war after trading fires since the start of the

151
00:07:49,680 --> 00:07:53,200
Speaker 12: Israel Hamas War. In October, police in Utica, New York,

152
00:07:53,280 --> 00:07:57,160
Speaker 12: released body camera footage of one of their officers involved

153
00:07:57,160 --> 00:07:59,360
Speaker 12: in the fatal shooting of a thirteen year old boy,

154
00:08:00,160 --> 00:08:03,160
Speaker 12: Yen and Y had been tackled to the ground after

155
00:08:03,200 --> 00:08:06,360
Speaker 12: he ran from police and pointed a replica handgun at

156
00:08:06,400 --> 00:08:12,920
Speaker 12: them during the incident over the weekend. The footage was

157
00:08:13,000 --> 00:08:17,040
Speaker 12: released in what Utica Police Department officials called a commitment

158
00:08:17,080 --> 00:08:21,440
Speaker 12: to transparency to the community. As the state's investigation into

159
00:08:21,440 --> 00:08:24,960
Speaker 12: the shooting gets underway, Chief Mark Williams was asked by

160
00:08:25,040 --> 00:08:28,320
Speaker 12: reporters why an officer would use this level of physical

161
00:08:28,360 --> 00:08:29,520
Speaker 12: force with a suspect.

162
00:08:29,880 --> 00:08:32,480
Speaker 8: You don't bring a taser to a gunfight.

163
00:08:33,480 --> 00:08:35,719
Speaker 4: You had to mention what you perceived at that time.

164
00:08:35,840 --> 00:08:39,000
Speaker 11: Deli physical force with the daily physical force.

165
00:08:39,160 --> 00:08:42,840
Speaker 12: An officer identified as a six year veteran, Patrick Kussene,

166
00:08:43,160 --> 00:08:46,199
Speaker 12: shot the eighth grader once in the chest during what

167
00:08:46,280 --> 00:08:50,080
Speaker 12: the police chief described as a struggle. Pride parades were

168
00:08:50,120 --> 00:08:54,440
Speaker 12: held across the country Sunday celebrating the LGBTTU community. New

169
00:08:54,520 --> 00:08:57,440
Speaker 12: York City held a parade. The city just opened the

170
00:08:57,480 --> 00:09:01,800
Speaker 12: Stonewall National Monument. Visitors here at the birthplace what would

171
00:09:01,840 --> 00:09:05,960
Speaker 12: become the LGBTQ movement. Global News twenty four hours a

172
00:09:06,040 --> 00:09:08,679
Speaker 12: day and whenever you want it with Bloomberg News Now,

173
00:09:08,960 --> 00:09:11,040
Speaker 12: Michael Barn, This is Bloomberg.

174
00:09:10,640 --> 00:09:17,640
Speaker 1: Karen Ray, Michael Barr, Thank you time now for the

175
00:09:17,640 --> 00:09:19,960
Speaker 1: Bloomberg Sports up date with John stash Hour.

176
00:09:20,120 --> 00:09:22,560
Speaker 13: John, Good morning, Good morning, Careen. July first means the

177
00:09:22,600 --> 00:09:25,560
Speaker 13: start of NBA free agency and already some big moves

178
00:09:25,640 --> 00:09:28,200
Speaker 13: with good news and bad. For the Los Angeles Clippers,

179
00:09:28,320 --> 00:09:31,320
Speaker 13: James harden Stain put rather than go to the six

180
00:09:31,400 --> 00:09:33,320
Speaker 13: different team of his career, just a two year deal.

181
00:09:33,320 --> 00:09:36,320
Speaker 13: It's worth seventy million. But Paul George opted out of

182
00:09:36,400 --> 00:09:38,920
Speaker 13: making forty nine million with the Clippers because he has

183
00:09:38,920 --> 00:09:42,280
Speaker 13: a deal with Philadelphia where he'll make fifty eight million

184
00:09:42,280 --> 00:09:44,839
Speaker 13: a year Lebron James opted out. It's almost certain he's

185
00:09:44,880 --> 00:09:47,440
Speaker 13: staying with the Lakers. They, after all, just drafted his kid.

186
00:09:47,880 --> 00:09:49,800
Speaker 13: He may even take less money to the Lakers can

187
00:09:49,840 --> 00:09:52,080
Speaker 13: have a player, and that player might be Klay Thompson.

188
00:09:52,080 --> 00:09:54,880
Speaker 13: It appears he's leaving the Warriors, the only team he's

189
00:09:54,920 --> 00:09:57,640
Speaker 13: played for in his thirteen year career. Yankees and Blue

190
00:09:57,720 --> 00:09:59,800
Speaker 13: Jay split the series in Toronto. Yanks won eight to one.

191
00:10:00,120 --> 00:10:02,040
Speaker 13: All four games were won by at least six runs.

192
00:10:02,080 --> 00:10:04,880
Speaker 13: Aaron Judges two run over first inning. He hits July

193
00:10:05,000 --> 00:10:08,080
Speaker 13: with thirty one homers, eighty two RBIs and Aaron Boone

194
00:10:08,120 --> 00:10:11,000
Speaker 13: aware of the only two other Yankees who have driven

195
00:10:11,080 --> 00:10:13,400
Speaker 13: in that many ruins at this point in the season.

196
00:10:13,720 --> 00:10:16,280
Speaker 1: He's in those conversations now all the time with Garry

197
00:10:16,440 --> 00:10:20,079
Speaker 1: and Ruth and whatever superlative you can find. Like he

198
00:10:20,520 --> 00:10:22,560
Speaker 1: keeps putting himself in those conversations.

199
00:10:22,679 --> 00:10:24,360
Speaker 13: Arry Cole got his first win of the season at

200
00:10:24,400 --> 00:10:27,160
Speaker 13: City Field. Mets trailed Houston four nothing, rallied to tie

201
00:10:27,280 --> 00:10:28,960
Speaker 13: on the Brandon Nemo two and omer, and then after

202
00:10:29,000 --> 00:10:31,840
Speaker 13: a long rain delay, Nemo doubled in the tiny run

203
00:10:31,840 --> 00:10:34,079
Speaker 13: of the tenth, but the Astros won ten to five,

204
00:10:34,160 --> 00:10:37,880
Speaker 13: with four in the eleventh off. Staten Island native matc Festa,

205
00:10:37,960 --> 00:10:40,280
Speaker 13: making his Mets debut. Red Sox beat the Padres four

206
00:10:40,320 --> 00:10:43,160
Speaker 13: to one. Nationals lost five nothing to Tampa Bay and

207
00:10:43,160 --> 00:10:45,760
Speaker 13: that's had only three hits. Struck out sixteen times Texas

208
00:10:45,840 --> 00:10:49,120
Speaker 13: last night one eleven to two In Baltimore, Rangers rookie

209
00:10:49,200 --> 00:10:52,960
Speaker 13: Wyatt Langford hit for the cycle. At the Olympic Gymnastics Trials,

210
00:10:52,960 --> 00:10:55,480
Speaker 13: Simone Biles won the all around. She's off to her

211
00:10:55,480 --> 00:10:59,760
Speaker 13: third Olympics. Wimbledon begins today. Defending champ Carlos Alcarez will

212
00:10:59,800 --> 00:11:02,400
Speaker 13: be the first to play on center court. Johns Dashaw

213
00:11:02,440 --> 00:11:03,800
Speaker 13: with Bloomberg Sports.

214
00:11:05,480 --> 00:11:09,880
Speaker 12: Coast to coast on Bloomberg Radio, nationwide on Sirius XM, and.

215
00:11:09,880 --> 00:11:13,199
Speaker 10: Around the world on Bloomberg dot Com and the Bloomberg

216
00:11:13,240 --> 00:11:13,880
Speaker 10: Business app.

217
00:11:14,080 --> 00:11:16,040
Speaker 12: This is Bloomberg Daybreak.

218
00:11:16,360 --> 00:11:18,960
Speaker 3: Good morning, I'm Nathan Hager. The first round of voting

219
00:11:19,120 --> 00:11:22,480
Speaker 3: is in from French President Emmanuel mccrome's Big Gamble, a

220
00:11:22,679 --> 00:11:27,120
Speaker 3: snap legislative election held last night. Marine Lapin's far right

221
00:11:27,240 --> 00:11:31,000
Speaker 3: National Rally is dominating, though not by as much as

222
00:11:31,000 --> 00:11:35,240
Speaker 3: some polls indicated. Now Lapen's opponents are racing to prevent

223
00:11:35,320 --> 00:11:38,199
Speaker 3: her party from winning an outright majority when the second

224
00:11:38,280 --> 00:11:41,000
Speaker 3: round of voting happens this weekend. So for more, we're

225
00:11:41,080 --> 00:11:45,960
Speaker 3: joined now by Bloomberg News correspondent Caroline kna in Paris. Caroline,

226
00:11:45,960 --> 00:11:50,160
Speaker 3: good morning. So where do things stand after that first round?

227
00:11:51,320 --> 00:11:55,040
Speaker 14: You know, lots will depend on what happens between today

228
00:11:55,120 --> 00:11:58,440
Speaker 14: and July seventh for the second round, because there is

229
00:11:58,559 --> 00:12:02,959
Speaker 14: a lot of three contests in many more than half

230
00:12:03,120 --> 00:12:06,520
Speaker 14: of the French constituencies. As we were mentioning, the National

231
00:12:06,679 --> 00:12:10,280
Speaker 14: Rally came first twenty three percent, but then just after

232
00:12:10,400 --> 00:12:13,480
Speaker 14: you got the Alliance of the Left, the New Popular

233
00:12:13,520 --> 00:12:16,640
Speaker 14: Front at twenty eight percent, and then in third position

234
00:12:16,840 --> 00:12:19,760
Speaker 14: micro Parti at twenty one percent. So over the next

235
00:12:19,800 --> 00:12:21,880
Speaker 14: couple of days we're going to see a lot of

236
00:12:22,040 --> 00:12:26,680
Speaker 14: whole trading political bargaining to see whoever those who came

237
00:12:26,840 --> 00:12:30,920
Speaker 14: third in those contests actually decide to pull some of

238
00:12:30,960 --> 00:12:34,200
Speaker 14: their candidates from the second round in order to have

239
00:12:34,280 --> 00:12:37,520
Speaker 14: a better chance to block the National Rally and the

240
00:12:37,600 --> 00:12:41,319
Speaker 14: Far Rights from being elected and from winning this second

241
00:12:41,400 --> 00:12:42,120
Speaker 14: round on Sunday.

242
00:12:42,559 --> 00:12:46,720
Speaker 3: So how could that horse trading work, Carolyne? How likely

243
00:12:47,000 --> 00:12:52,840
Speaker 3: are the Far Left and Macron's centrist alliance to work together.

244
00:12:54,440 --> 00:12:58,000
Speaker 14: So the far left, led by Jean lucmainal Shaw, actually

245
00:12:58,240 --> 00:13:02,360
Speaker 14: urged last night trade the results. All of those from

246
00:13:02,400 --> 00:13:06,559
Speaker 14: the left wing who came so to withdraw their candidates

247
00:13:06,600 --> 00:13:10,480
Speaker 14: in order to block the far right prevent by In

248
00:13:10,559 --> 00:13:15,000
Speaker 14: Lapen and her Prime minister future prime Minister if they

249
00:13:15,040 --> 00:13:20,920
Speaker 14: get the majority Jordan Dadella from winning on a Sunday. However,

250
00:13:21,200 --> 00:13:25,440
Speaker 14: in Marcu's camp and in the Moderates Republicans camp, it's

251
00:13:25,480 --> 00:13:29,520
Speaker 14: a little more difficult because a lot of the Moderates

252
00:13:29,840 --> 00:13:33,800
Speaker 14: left wing actually have a hard time to vote for

253
00:13:34,080 --> 00:13:37,280
Speaker 14: the far left, so it could be difficult for them

254
00:13:37,320 --> 00:13:40,960
Speaker 14: to actually withdraw in all those constituencies. There will be

255
00:13:41,000 --> 00:13:43,560
Speaker 14: some fut trating. We know by sixty and funchtime tomorrow

256
00:13:43,640 --> 00:13:46,640
Speaker 14: night who actually tated each other in the second round.

257
00:13:46,640 --> 00:13:50,240
Speaker 14: There are three scenarios on Sunday. One is an absolute

258
00:13:50,240 --> 00:13:55,160
Speaker 14: majority for the national rally. Second scenario is a hang parliament,

259
00:13:55,520 --> 00:13:59,120
Speaker 14: which means some good luck how to implement policies for

260
00:13:59,160 --> 00:14:02,880
Speaker 14: the next three year, essentially a vocable scenario for the market.

261
00:14:03,280 --> 00:14:06,480
Speaker 14: And the last scenario is actually that this alliance of

262
00:14:06,600 --> 00:14:11,360
Speaker 14: the left wing implodes the far left gets sidelined and

263
00:14:11,400 --> 00:14:16,559
Speaker 14: then maclmanages to form somehow a new fragile technocratic majority

264
00:14:16,880 --> 00:14:18,520
Speaker 14: with the moderates from both sides.

265
00:14:18,880 --> 00:14:21,600
Speaker 3: Oh, we've been mentioning the reaction in the market. We're

266
00:14:21,640 --> 00:14:24,200
Speaker 3: seeing the CAC and Paris on the rise and the

267
00:14:24,240 --> 00:14:27,680
Speaker 3: Euro strengthening. So perhaps some hope within the market that

268
00:14:28,160 --> 00:14:31,760
Speaker 3: some of the more extreme outcomes might not work out.

269
00:14:31,840 --> 00:14:34,800
Speaker 3: But depending on how things shake out over the next

270
00:14:34,840 --> 00:14:38,040
Speaker 3: several days, Caroline, what could be the longer term impact

271
00:14:38,360 --> 00:14:40,560
Speaker 3: when it comes to debt in France when it comes

272
00:14:40,560 --> 00:14:41,280
Speaker 3: to the DAFICET.

273
00:14:42,800 --> 00:14:45,200
Speaker 14: Yeah, I mean, clearly there is relief in the short term,

274
00:14:45,280 --> 00:14:48,600
Speaker 14: but we could still see some volatility because markets are

275
00:14:48,600 --> 00:14:52,080
Speaker 14: still worried about the long term impact of a national

276
00:14:52,160 --> 00:14:56,520
Speaker 14: valley victory. So technically the market is rucial because the

277
00:14:56,600 --> 00:15:00,000
Speaker 14: scenario of a far left in power is not very

278
00:15:00,200 --> 00:15:03,960
Speaker 14: remote scenario. But even if the national value of man

279
00:15:04,040 --> 00:15:08,800
Speaker 14: indepent has watered, dam It's program a lot. They only have,

280
00:15:09,000 --> 00:15:11,920
Speaker 14: for example, one very cosci measure, which is to cut

281
00:15:12,160 --> 00:15:17,160
Speaker 14: the sales taxes on energy. It is unclear, however, when

282
00:15:17,280 --> 00:15:21,359
Speaker 14: they're going to implement their costreest measures such as increasing

283
00:15:21,800 --> 00:15:27,440
Speaker 14: salaries by ten percent by lowering social contributions from employers,

284
00:15:27,520 --> 00:15:31,000
Speaker 14: or perhaps lowering the retirement age from sixty four to

285
00:15:31,160 --> 00:15:34,760
Speaker 14: sixty two, or even sixty years old in some cases

286
00:15:34,800 --> 00:15:37,680
Speaker 14: for those who started working before the age of twenty.

287
00:15:38,080 --> 00:15:42,640
Speaker 14: All these are longer term measures. Jordan Bardella has made

288
00:15:42,720 --> 00:15:46,720
Speaker 14: those conditional to an audit of public finances if he

289
00:15:46,840 --> 00:15:49,560
Speaker 14: becomes Prime Minister. But in any case, it is not

290
00:15:49,760 --> 00:15:52,880
Speaker 14: the best timing when you see that French death is

291
00:15:52,880 --> 00:15:56,600
Speaker 14: that one hundred and ten percent of GDP deficits already

292
00:15:56,600 --> 00:15:59,960
Speaker 14: exceeded target at five point five side of GDP last year,

293
00:16:00,400 --> 00:16:05,400
Speaker 14: and already front is under an excessive deficity procedure by

294
00:16:05,440 --> 00:16:05,800
Speaker 14: the eve.

295
00:16:06,480 --> 00:16:09,520
Speaker 2: This is Bloomberg Daybreak Today, your morning brief on the

296
00:16:09,560 --> 00:16:13,000
Speaker 2: stories making news from Wall Street to Washington and beyond.

297
00:16:13,280 --> 00:16:16,040
Speaker 1: Look for us on your podcast feed at six am

298
00:16:16,120 --> 00:16:19,760
Speaker 1: Eastern each morning, on Apple, Spotify, and anywhere else you

299
00:16:19,840 --> 00:16:21,040
Speaker 1: get your podcasts.

300
00:16:21,120 --> 00:16:23,840
Speaker 2: You can also listen live each morning starting at five

301
00:16:23,880 --> 00:16:26,520
Speaker 2: am Wall Street time on Bloomberg eleven three to zero

302
00:16:26,520 --> 00:16:29,320
Speaker 2: in New York, Bloomberg ninety nine to one in Washington,

303
00:16:29,480 --> 00:16:32,360
Speaker 2: Bloomberg one oh six to one in Boston, and Bloomberg

304
00:16:32,440 --> 00:16:34,120
Speaker 2: ninety sixty in San Francisco.

305
00:16:34,480 --> 00:16:37,640
Speaker 1: Our flagship New York station is also available on your

306
00:16:37,680 --> 00:16:43,120
Speaker 1: Amazon Alexa devices. Just say Alexa Play Bloomberg eleven thirty plus.

307
00:16:43,160 --> 00:16:46,560
Speaker 2: Listen coast to coast on the Bloomberg Business app, SERIUSXM,

308
00:16:46,680 --> 00:16:50,960
Speaker 2: the iHeartRadio app, and on Bloomberg dot Com. I'm Nathan Hager.

309
00:16:50,720 --> 00:16:51,880
Speaker 9: And I'm Karen Moscow.

310
00:16:52,080 --> 00:16:54,840
Speaker 1: Join us again tomorrow morning for all the news you

311
00:16:54,960 --> 00:16:57,840
Speaker 1: need to start your day right here on Bloomberg day

312
00:16:57,880 --> 00:17:07,320
Speaker 1: Break