Speaker 1: Good morning.
Speaker 2: I'm Nathan Hager and I'm Karen Moscow. Here are the
Speaker 2: stories we're following today.
Speaker 3: Let's start with the latest on the speakership fight on
Speaker 3: Capitol Hill. So far, too Republicans have announced their running
Speaker 3: to replace Kevin McCarthy, House Majority Leader Steve Scalise and
Speaker 3: Jim Jordan, who leads the Judiciary Committee and is running
Speaker 3: one of the impeachment inquiries and to President Biden. Matt Gates,
Speaker 3: the Florida Republican who led McCarthy's ouster, says he'd be
Speaker 3: happy with either one of them.
Speaker 4: I'm eager to hear their plans and their vision. But
Speaker 4: if the House of Representatives goes from the stewardship of
Speaker 4: Kevin McCarthy to either the stewardship of Jim Jordan or
Speaker 4: Steve Scalise, that's going to come to the delight of
Speaker 4: many Conservatives and certainly many of the Floridians that I represent.
Speaker 3: Congressman Gates tells Bloomberg he opposes further aid to Ukraine.
Speaker 3: Scalise has voted Ford in the past, but Gates says
Speaker 3: that would not be a deal breaker for him. Hear
Speaker 3: more of our interview with Congressman Matt Gates on the
Speaker 3: Bloomberg Talks podcast.
Speaker 2: Well, Nathan, the infighting on Capitol Hill, as President Biden
Speaker 2: calling for an end to what he calls poisonous politics.
Speaker 5: No, we have strong disagreements, but we need to stop
Speaker 5: seeing each other as enemies. We need to talk to
Speaker 5: one another, listen to on our work, and we can
Speaker 5: do that.
Speaker 2: The President is urging House Republicans to work with Democrats
Speaker 2: on a spending bill to averted government shutdown next month.
Speaker 2: Former Speaker McCarthy says the President did not communicate with
Speaker 2: him enough during past budget negotiations. Biden says any conversations
Speaker 2: wouldn't have fixed problems in McCarthy's own conference, Well.
Speaker 3: Staying with politics, Karen, Former President Donald Trump has raised
Speaker 3: more than forty five million dollars in the third quarter
Speaker 3: for his campaign as he capitalized on publicity from his
Speaker 3: legal woes. This week, Trump's been appearing in a New
Speaker 3: York City courtroom for the civil case accusing him of
Speaker 3: overstating his asset values and lying about his wealth, and
Speaker 3: he blasted New York Attorney General Letitia James. I'm stuck
Speaker 3: here because.
Speaker 6: I have a prewept attorney General that intermmunicates with the
Speaker 6: DK in Washington to keep me nice and miss an.
Speaker 3: Attorney General James is firing back at Trump.
Speaker 7: This case was brought simply because it was a case
Speaker 7: where individuals have engaged in a patent and practice of fraud.
Speaker 7: And I will not sit idly by and allow anyone
Speaker 7: to subvert the law. And lastly, I will not be bullied.
Speaker 7: And so mister Trump is no longer here. That Donald
Speaker 7: Trump show is over. This was nothing more than a
Speaker 7: political stunt.
Speaker 3: New York Attorney General Letitia James accuses the former president
Speaker 3: of inflating his assets by billions of dollars a year
Speaker 3: to dupe banks and insurers.
Speaker 2: Well staying in New York, Nathan. The trial of FTX
Speaker 2: founder Sam Bankman Freed is underway, with the spotlight already
Speaker 2: on those closest to him and Bloomberg, and Alli Bosik
Speaker 2: is covering the case.
Speaker 8: Over the six week trial. Dozens of high profile testimonies
Speaker 8: will include Caroline Ellison, Bankman Freed's former girlfriend, and investor
Speaker 8: Anthony Scaramucci, whose firm had taken money from Bankman Freed's firm.
Speaker 8: They are expected to testify with dozens of others, and
Speaker 8: the defense still says working at a startup is like
Speaker 8: building a plane as you're flying it, and that no
Speaker 8: one CEO or person can be everywhere all managing such
Speaker 8: a fast rising firm. Remember, FTX had almost six million
Speaker 8: customers at its peak. Bankman Freed may spend most of
Speaker 8: his life in prison if found guilty.
Speaker 2: Bloombercanelli Bosik says, bankmin Freed is accused of using billions
Speaker 2: of dollars in customer deposits at FTX for speculative trading,
Speaker 2: as well as for luxury real estate and for political contributions.
Speaker 3: All right, Karen, Let's move west to legal news out
Speaker 3: of California. Private testimony in the Justice Department's lawsuit against
Speaker 3: Google will be released later this week. Bloomberg's at Baxter
Speaker 3: has the story.
Speaker 9: The judge has the testimony from behind closed doors of
Speaker 9: the CEOs of Apple and search engine Duck duck Go
Speaker 9: cut to the heart of the anti trust suit. Sources
Speaker 9: say the two held discussions to have duck doc Go
Speaker 9: replace Google and the private mode of Apple Safari browser,
Speaker 9: but that Google used its size and its wealth to
Speaker 9: pay billions of dollars to keep Google in play. It
Speaker 9: is expected the information will be released later this week.
Speaker 9: In San Francisco, I'm at Baxter Bloomberg Radio.
Speaker 2: Right and thanks Will. Staying in California. There's some optimism
Speaker 2: over the Hollywood actors strike. Both the union that represents
Speaker 2: the actors and the Association of Motion Picture and Television Producers,
Speaker 2: which represents Hollywood studios, have met for a full day
Speaker 2: of negotiations. Talks are scheduled to continue tomorrow.
Speaker 3: Turning to markets now, the route in treasuries that sent
Speaker 3: shock waves through the global bond market appears to have subsided,
Speaker 3: but still Barclay says global bonds are doomed to keep
Speaker 3: falling unless it sustained slump inequities revives the appeal of
Speaker 3: fixed income assets. Bill Gross, co founder of PIMCO, says
Speaker 3: the bond market is quote a little over sold. In
Speaker 3: an interview with Bloomberg, Gross also took aim at retail investors,
Speaker 3: saying they've helped us scare the market by acting as
Speaker 3: quote little bond vigilantes.
Speaker 10: They've been spooked over the last week or so by
Speaker 10: declines of two, three, four, five percent in their and
Speaker 10: so I think they're joining the crowd in terms of selling.
Speaker 10: And you know we're seeing a little bit of an
Speaker 10: oversoul market here headed to five percent.
Speaker 3: And you can hear our full conversation with Bill Gross
Speaker 3: on the Bloomberg Talks podcast.
Speaker 4: Well.
Speaker 2: In corporate news, Nathan shares a Clorox are down almost
Speaker 2: five percent this morning. The cleaning products maker is still
Speaker 2: reeling from a cyber attack that diserupted production. Now it's
Speaker 2: forecasting a sales decline of as much as twenty eight percent.
Speaker 2: Prior to the attack, Chlorax had been expecting mid single
Speaker 2: digit organic sales growth in the quarter.
Speaker 3: Man AT and T's exploring options for its multi billion
Speaker 3: dollar stake in Direct TV. AT and T Co owns
Speaker 3: the PayTV provider with private equity firm TPG.
Speaker 2: Nathan, thanks time now for a look at some of
Speaker 2: the other stories making news around the world. For that,
Speaker 2: we're joined by Bloomberg's John Tucker. John, Good morning, Yeah, Good.
Speaker 11: Morning, Karen. A notorious group of hackers blamed for recent
Speaker 11: breaches on major casino companies is also suspected of being
Speaker 11: behind that recent cyber attack against Clorox that we just
Speaker 11: heard about. Let's find out more on the attack from
Speaker 11: Bloomberg's Charlie Pennett.
Speaker 12: Sources tell Bloomberg officials suspect that Scattered Spider is responsible
Speaker 12: for a breach that Clorox first disclosed in August. Bloomberg
Speaker 12: News has previously reported that the same group, known for
Speaker 12: its so called social engineering tactics, was tied to attacks
Speaker 12: on Caesar's Entertainment an MGM Resorts International in recent weeks.
Speaker 12: Scattered Spider hackers specialize in targeting call centers and it
Speaker 12: help desks, impersonating employees to trick support staff into coughing
Speaker 12: up information to gain access to accounts. In New York,
Speaker 12: Charlie Pellett Bloomberg.
Speaker 11: Radio, President Biden detailed nine billion dollars a new student
Speaker 11: loan relief, saying it would provide a boost to the
Speaker 11: US economy.
Speaker 5: I've three millions of Americans from the crushing burden studentetamies.
Speaker 5: They can go and get their lives in order. They
Speaker 5: can think about buying a house, they can start a business,
Speaker 5: they can be starting a family.
Speaker 11: The Administrator's latest steps will bring relief for one hundred
Speaker 11: and twenty five thousand borrowers through changes to programs intended
Speaker 11: to aid public servants, Americans with disabilities, and low income
Speaker 11: Ukraine says air defense forces down twenty four to twenty
Speaker 11: nine drones launched by Russia from Crimea to attack southern
Speaker 11: and central regions of the nation. Meantime, Turkey preparing to
Speaker 11: host a third international gathering of national security advisors working
Speaker 11: to build support for a peace summit that Ukraine wants
Speaker 11: to hold this year. Secretary State Anthony Blinken and other
Speaker 11: top officials from the Biden administration are in Mexico the
Speaker 11: discussing shared security issues. Latest round of talks brings together Blincoln,
Speaker 11: the Attorney General Merrick Garland, and the Homeland Security Secretary
Speaker 11: Alejandro Maiorcis, among others. And Dubai has cemented its status
Speaker 11: as the world's busiest market for luxury homes, with buyers
Speaker 11: pouring one point five nine billion dollars into high end
Speaker 11: properties during the third quarter. The property consultant Knight franks
Speaker 11: as the number of sales for homes where ten million
Speaker 11: dollars or more reached a record two hundred and seventy seven,
Speaker 11: putting the emmert firmly ahead of cities like New York.
Speaker 11: Global News twenty four hours a day, Power Blind more
Speaker 11: than twenty seven hundred journalist and analysts in more than
Speaker 11: one hundred twenty countries. I'm John Tucker, and this is Bloomberg.
Speaker 3: Karen right, John.
Speaker 2: Thanks. So we bring you news throughout the day here
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Speaker 2: Bloomberg dot Com, plus apples, Spotify, and anywhere else you
Speaker 2: get your podcasts. Time now for the Bloomberg Sports Update,
Speaker 2: and here's John stash Hour.
Speaker 13: John here, and they played best of three in the
Speaker 13: Wildcard series and all four teams who won Game one
Speaker 13: also won Game two, so all four series are over
Speaker 13: in Swedes. That includes the Texas Rangers hadn't won a
Speaker 13: postseason series since twenty eleven. They won seven to one
Speaker 13: at Tampa Bay behind the pitching of Nathan Avaldi. They
Speaker 13: outscored the Rays of the series eleven to one. Minnesota
Speaker 13: moves on beating Toronto two to nothing, so the Blue
Speaker 13: Jays only scored one run in the series. Sonny Gray
Speaker 13: and five believers teaming on the shutout, and the Twins
Speaker 13: get their first postseason series victory since two thousand and two.
Speaker 13: In Game one, Arizona in Milwaukee trailed three nothing came
Speaker 13: back to win sixty three. In Game two, Diamond back
Speaker 13: to were down two nothing, won the game five to
Speaker 13: two behind Zach Gallon, who was a seventeen game winner
Speaker 13: in the regular season. In the Phillies beat the Marlins
Speaker 13: seven to one. Aaron Nola went sevents, did not allow
Speaker 13: a run only three hits. The division series begin on Saturday.
Speaker 13: Texas will be in Baltimore, Minnesota will be in Houston,
Speaker 13: Arizona will go to Los Angeles to play the Dodgers,
Speaker 13: and the Phillies will be in Atlanta, NFL. A couple
Speaker 13: of players who signed as free agents just a year
Speaker 13: ago no longer with those teams. The Chargers have traded
Speaker 13: in cornerback J. C. Jackson. He goes back to New England,
Speaker 13: where he spent four years in one of Super Bowl
Speaker 13: and was an All Pro, and Denver released pass rusher
Speaker 13: Randy Gregory, he had formerly been with Dallas. The twenty
Speaker 13: thirty World Cup is expected to take place for the
Speaker 13: most part in Morocco, Spain, and Portugal, but also in
Speaker 13: three other nations. John stashiew were Bloomberg.
Speaker 6: Sports from coast to coast, from New York to San Francisco,
Speaker 6: Boston to Washington, DC, nationwide on SYRIASXAM, the Bloomberg Business app,
Speaker 6: and Bloomberg dot Com. This is Bloomberg Daybreak.
Speaker 3: Good morning. I'm Nathan Hager. Republican Congressman Matt Gates of
Speaker 3: Florida says he backs speakership bids by both representatives, Steve
Speaker 3: Scalise and Jim Jordan. Gates tells Bloomberg's Joe Matthew and
Speaker 3: Amrie Horder, and the person isn't as important as the
Speaker 3: plan to cut government spending.
Speaker 4: I'm for both of them right now. I'm eager to
Speaker 4: hear their plans and their vision. But if the House
Speaker 4: of Representatives goes from the stewardship of Kevin McCarthy to
Speaker 4: either the stewardship of Jim Jordan or Steve Scalise, that's
Speaker 4: going to come to the delight of many Conservatives and
Speaker 4: certainly many of the Floridians that I represent. But it's
Speaker 4: not just about the person. Both of these folks are
Speaker 4: honorable man it's about the plan they have to reduce spending.
Speaker 4: We sit a top of thirty three trillion dollar debt,
Speaker 4: We're facing two trillion dollar plus annual deficits, and I
Speaker 4: am worried about global dedollarization. I see what's going on
Speaker 4: in the African Union where more of those countries are
Speaker 4: using local currency when they're selling natural resources. I look
Speaker 4: to a lot of the golf monarchies and energy producers
Speaker 4: in the Middle East that are moving away from the
Speaker 4: dollar and toward the One matter of fact, the United
Speaker 4: Arab Emirates, Saudi Arabia and Iran just in August joined
Speaker 4: the bricks system, the Brazil, Russia, India, China, South Africa
Speaker 4: system to de dollarize. That with the latest Reuters survey
Speaker 4: showing that economic analysts now believe that in twenty twenty
Speaker 4: four you're really going to see a cooling off of
Speaker 4: the dollar. So I believe we have done a lot
Speaker 4: of creating stale plant.
Speaker 14: A lot of critics do say that an expansion of bricks, though,
Speaker 14: means it actually dilutes it. They cannot coalesce around anything,
Speaker 14: and that actually helps the fact that the dollar remain
Speaker 14: the primacy currency on the global stage.
Speaker 3: I wonder.
Speaker 4: I think that that is not a linear progression, right,
Speaker 4: because as bricks becomes more institutionalized, you could see more
Speaker 4: and more good. I mean, the real worry about bricks
Speaker 4: is the movement of natural resources outside of the dollar
Speaker 4: as the Global South continues to develop and pack an
Speaker 4: even larger punch in the economy. You know, I think
Speaker 4: that the downgrade from Fitch was largely driven by the
Speaker 4: fact that there's no real backstop to spending. So here's
Speaker 4: what we need, no matter who's the speaker. We need
Speaker 4: a top line budget that at least in the House
Speaker 4: of Representatives, returns to pre COVID spending levels. And then
Speaker 4: we need to be able to have single subject spending
Speaker 4: bills with open amendments, to have programmatic review of agency spending.
Speaker 15: Well, Congress, well let's talk a little bit about what
Speaker 15: just happened. Nobody's ever done this before. It was history
Speaker 15: making the ouster of the speaker. We're told that you
Speaker 15: are the least popular man in the House of Representatives,
Speaker 15: or at least to the Republican Conference. In fact, just yesterday,
Speaker 15: your Republican colleague from New York, Mike Lawler, suggested violence
Speaker 15: against you in an interview right around this time yesterday.
Speaker 15: I'd love for you to hear what he said.
Speaker 3: And have you respond. Here's mister Lawler.
Speaker 16: The only thing that I would have done differently is
Speaker 16: flung it in the direction of one person. Look, he
Speaker 16: absolutely epitomized the frustrations of the conference and the American people.
Speaker 11: Is that person we need to get?
Speaker 2: Oh?
Speaker 16: Yeah, I would have hit him square between the eyes.
Speaker 15: Who's going to hitch a square between the eyes with
Speaker 15: the speaker's gavel? He was suggesting, Congressman, do you expect
Speaker 15: to be expelled from the Republican Conference?
Speaker 7: Oh?
Speaker 4: I don't know. I think that that was a very
Speaker 4: frustrated person who's having to come to grips with the
Speaker 4: stages of grief. My mission is to ensure that the
Speaker 4: House of Representatives runs better because the way we've been
Speaker 4: right Washington, d C. For the last thirty years has
Speaker 4: led us to a point where no one is really
Speaker 4: responsible for the spending. We are backed up against shut
Speaker 4: down politics. We are governed by crisis, and the biggest
Speaker 4: problem is lawmakers have to take one up or down
Speaker 4: vote on continuing resolutions and omnibus bills to either fund
Speaker 4: or not fund the entire government that truncates the type
Speaker 4: of thoughtful and serious analysis that we have to apply
Speaker 4: to how the federal dollar is being spent at a
Speaker 4: time like this. So I'm not much for political violence.
Speaker 4: I don't want to hit anybody. If Mike Lawler comes
Speaker 4: at me with a gavel, I'm not entirely sure that
Speaker 4: would concern me. But that's not the direction I think
Speaker 4: we ought to go. I think we ought to maybe
Speaker 4: craft a budget before an attack strategy.
Speaker 15: Well, you know, Kevin McCarthy says this was personal. He
Speaker 15: spoke about this at length yesterday that he's seen texts,
Speaker 15: he said involving an ethics probe against you. Congressman, what
Speaker 15: do you know about the status of this investigation?
Speaker 3: Have you been called to a peer personally?
Speaker 4: No, I haven't. I've answered all the questions I've been asked,
Speaker 4: and I am the most investigated man in the United
Speaker 4: States Congress. I have been cleared by the FBI, the DOJ,
Speaker 4: the Federal Elections Commission had a five to zero vote
Speaker 4: to clear me, and the people who told vicious lies
Speaker 4: about me two years ago are now sitting in federal
Speaker 4: prison for being part of a criminal fraud scheme to
Speaker 4: shake down my family, so I don't fear any investigation.
Speaker 4: I have never asked Kevin McCarthy to assist me in
Speaker 4: that matter. And sometimes people try to make policy failures
Speaker 4: personal because those failures are so personally embarrassing to them.
Speaker 4: So when Keviny McCarthy talks about this conflict being personal,
Speaker 4: I think it's more projection than a sober analysis of
Speaker 4: where the house stands.
Speaker 1: This is Bloomberg day Break Today, your morning brief on
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