Speaker 1: Bloomberg Audio Studios, Podcasts, radio News.
Speaker 2: Good morning, I'm Karen Moscow and I'm Alexis christopherus. Here
Speaker 2: are the stories we're following today.
Speaker 3: Alexis, we begin with the latest developments in the Middle East.
Speaker 3: The US and Iran have exchanged strikes for a tenth
Speaker 3: consecutive day. The escalation comes as mediators try to revive
Speaker 3: a truce. Bloomberg's Zanda Wood said, the straight up ramous
Speaker 3: is the focal point of the latest fighting.
Speaker 4: Basically, the current situation that we've had since the signing
Speaker 4: of the memorandum understanding in June is that both countries
Speaker 4: are trying to control Hormus. Iman realizes that Hermus is
Speaker 4: his main leverage and needs to keep control of it,
Speaker 4: and the US is trying to weaken, event in control
Speaker 4: over the Strait of Hormus and prevent or maybe even
Speaker 4: get ready for future closures.
Speaker 1: And that's where we are now.
Speaker 3: Bloombergsanda Wood said. The Iran backed who these say they
Speaker 3: would impose a maritime blockade on Saudi Arabia, putting at
Speaker 3: risk the flow of millions of barrels that the kingdom
Speaker 3: exports via the Red Sea.
Speaker 2: And Karen Oil has surged about twenty percent since the
Speaker 2: June seventeenth, the cord between the US and Iran unraveled,
Speaker 2: and it could go even higher. Goldman sacks as Brent
Speaker 2: could rally to more than one hundred and twenty dollars
Speaker 2: a barrel by the fourth quarter if disruptions to the
Speaker 2: Strait of Rimouz persist. Checking oil right now, we've got
Speaker 2: Brent crude at about eighty eight to eighty a barrel,
Speaker 2: down four tenths of a percent, WTI crewed down half
Speaker 2: a percent at eighty two eighty one a barrel Alexis.
Speaker 3: We're also keeping an eye on global trade. The Trump
Speaker 3: administration is threatening to impose new tariffs on Canada. Bloombergh.
Speaker 3: John Tucker joins us with more John, good morning.
Speaker 5: Good morning Karen. It is a big escalation, fifty percent
Speaker 5: terras on things like milk, plywood, and some very Canadian
Speaker 5: the items like hockey equipment and beer. There will be
Speaker 5: no exemptions for exporters shipping under the rules of the
Speaker 5: existing North American trade pack, but the Trumpet dedllustration says
Speaker 5: this is the result of Canada's unfair treatment of certain
Speaker 5: US goods. It was said to take a fact in
Speaker 5: thirty days, and this further strained relations with America's second
Speaker 5: largest trading partner. Well last week, President Trump, you recall
Speaker 5: threatened hire tariff to punish Canada for wildfire smoke, with
Speaker 5: tarifs being applied under section three point thirty eight of
Speaker 5: the nineteen thirty Tariff Act. That provision has never been
Speaker 5: used before. I'm John Tucker, Bloomberg Radio.
Speaker 2: All right, thanks John, and US UK relations are also
Speaker 2: when the spotlight. This morning, President Trump has reached out
Speaker 2: to new UK Prime Minister Andy Burnham. Let's go to
Speaker 2: London now and get the very latest from Bloomberg's un
Speaker 2: Potts ew in. Good Morning, Alexis and Karen.
Speaker 6: Andy Burnham began his first full day in Number ten
Speaker 6: Downing Street with an announcements on the cost of living
Speaker 6: at tax cuts on energy bills. We're still awaiting details
Speaker 6: of any changes to foreign policy, but the new UKPM
Speaker 6: has already spoken to the leader of the country's most
Speaker 6: important ally. We're told that Burnham rereshaw President Trump the
Speaker 6: defense and secure he is at the top of his agenda.
Speaker 6: The US President also backed himself an invitation for another
Speaker 6: visit to the UK, this time for the g twenty
Speaker 6: summit set to be held in Manchester, where Burnham was
Speaker 6: mayor in London. I'm ewing pots Bloomberg.
Speaker 3: Radio, Right you and thanks. Back here in the US,
Speaker 3: Arizona Republicans are heading to the polls today to choose
Speaker 3: a nominated challenge Democratic Governor Katie Hobbs in November. Bloomberg's
Speaker 3: Amy Morris supports from Washington.
Speaker 7: Two Arizona congressmen are vying for the Republican gubernatorial nomination.
Speaker 7: Five term US Representative Andy Biggs is a former chair
Speaker 7: of the House Freedom Caucus and has President Trump's backing.
Speaker 7: Eight term US Representative David Schweikert is giving up his
Speaker 7: competitive swing district seat after narrowly winning against strong Democratic
Speaker 7: challenges in the past three elections. Now, voters across the
Speaker 7: state will set the general election matchups for House seats
Speaker 7: and state and local offices, but Arizona's governorship is a
Speaker 7: top takeover opportunity for Republicans in Washington. Amy Morris Bloomber Radio.
Speaker 2: Thanks Amy. Let's turn to the markets now, where tech
Speaker 2: stocks are leading futures higher. Nasdaq futures are up about
Speaker 2: one and a third percent. Yesterday was another volatile session
Speaker 2: after rising as much as three quarters of a percent.
Speaker 2: The S and P five hundred finished the day lower.
Speaker 2: Lori Calvasina is the head of US equity strategy at
Speaker 2: RBC Capital Markets.
Speaker 8: Look, we have an eighty one fifty target over the
Speaker 8: next twelve months. I'm so sort of a mid twenty
Speaker 8: twenty seven number at this point, but we have never
Speaker 8: said that it was going to get there in a
Speaker 8: straight line, and so we have been looking for pullbacks
Speaker 8: that would be frankly no worse than five to ten percent.
Speaker 2: RBC Capital Markets. Lori Calvasena's S and P five hundred
Speaker 2: price target is about ten percent above current levels.
Speaker 3: Karen Alexis Taiwan Semiconductor is raising prices Nikeyasias reporting TSMC
Speaker 3: will boost prices for advanced and mature chip production services
Speaker 3: by up to ten percent and twenty twenty seven. TSMC
Speaker 3: and of their chip makers are grappling with the soaring
Speaker 3: cost of items employed in production, including materials, equipment and power, and.
Speaker 2: The London Stock Exchange will introduce non stop trading next year.
Speaker 2: The els SE will open a new venue outside of
Speaker 2: its regular market hours, and a move to offer near
Speaker 2: continuous trading in the working week. The new offering, which
Speaker 2: will be called LSEE twenty four, will operate from five
Speaker 2: pm until seven fifty am in London. It's expected to
Speaker 2: be ready for client testing by the end of the year.
Speaker 3: In company news, ALECSU say federal judge has granted a
Speaker 3: request to pause the Paramount skuid danced takeover of Warner
Speaker 3: Brothers Discovery for two weeks, saying it likely violates antitrust law.
Speaker 3: California and eleven other states opposing the transaction won a
Speaker 3: trial in April next year. Chris Paul Mary is covering
Speaker 3: the story for Bloomberg.
Speaker 9: This deal's already been improved by the Justice Department. It's
Speaker 9: widely expected to get the blessing of regulators in Europe
Speaker 9: this week. This puts all of that on hold, and
Speaker 9: just to really further up the pressure, if this deal
Speaker 9: doesn't close by the end of September, Paramount has to
Speaker 9: pay Warner Brothers shareholders potentially hundreds of millions of dollars
Speaker 9: a quarter in centrally late fees.
Speaker 3: Bloomberg's Chris Paul Mary says Paramount argues the deal as
Speaker 3: a head win for Hollywood and will provide much needed
Speaker 3: competition against tech.
Speaker 2: Giants and Karen. Visits to Taco Bell locations have plummeted
Speaker 2: following a parasite outbreak that authorities linked to Lettuce sold
Speaker 2: by one of the company's suppliers, Plaster AI says foot
Speaker 2: traffic on Friday was about nineteen percent below the daily average.
Speaker 2: The outbreak is also having a broader impact on the
Speaker 2: restaurant industry, with chains like Chop, Chipotle, and Panera Bread
Speaker 2: experiencing declines in traffic as well. Five oh seven on
Speaker 2: Wall Street Time Now for a look at some of
Speaker 2: the other stories making news in New York and around
Speaker 2: the world. For that, we're joined by Bloomberg's Michael Barr
Speaker 2: Good Morning, Michael.
Speaker 10: Good morning, and Lexis. In New York City, a former
Speaker 10: US Army soldier has been arrested after igniting a fire
Speaker 10: in front of a Manhattan federal building. Authorities say the suspect,
Speaker 10: Andrew Arabaca, allegedly shot a pellet gun and set off fireworks.
Speaker 10: The FBI says Arabaca made several anti government and anti
Speaker 10: ice statements during the incident, and was described as an
Speaker 10: anti American, anti government extremist. FBI New York Assistant Director
Speaker 10: James barnicle.
Speaker 3: He had two axes, a hammer, a machete, and three knives.
Speaker 10: Three people suffered minor injuries. A fourth person has died.
Speaker 10: As New York City deals with recent outbreak of Legionaire's
Speaker 10: disease on Manhattan's Upper east Side, the Health Department says
Speaker 10: seventy six people have been diagnosed with the disease, seven
Speaker 10: remain hospitalized. Tropical Storm Berthup is slowly beginning to grow
Speaker 10: around one hundred miles south of the Florida Coast. City
Speaker 10: officials and New Orleans are beginning their preparations ahead of
Speaker 10: a possible landfall Wednesday. The Orlean Sewage and Waterboard Executive
Speaker 10: director Randy Hayman, we will continue to monitor conditions around
Speaker 10: the clock and do everything we can to remain transparent
Speaker 10: and provide information to you so that you can protect
Speaker 10: yourself and your families. Officials throughout the region urging people
Speaker 10: to stay out of the water as the storm could
Speaker 10: produce high surf and dangerous rip currents. Intense heat across
Speaker 10: eastern Texas is challenging the state grids all time power
Speaker 10: demand record. Preliminary estimates from the Electric Reliability Console of
Speaker 10: Texas show demand late Monday afternoon near the more than
Speaker 10: eighty five point fifty gigawatts record set in August of
Speaker 10: twenty twenty three. Global news twenty four hours a day
Speaker 10: and whenever you want it with the Bloomberg News.
Speaker 5: Now.
Speaker 10: I'm Michae Labarr and this is Bloomberg.
Speaker 3: Thanks Michael all time now for our Bloomberg Sports Update,
Speaker 3: and for that we bring in John stash Hour.
Speaker 11: The Red Sox have been foundering all season. They fired
Speaker 11: their one time World Series winning manager, Alex Cora. They
Speaker 11: had not had a winning streak of more than three
Speaker 11: games all season, and now suddenly the Red Sox have
Speaker 11: won fourteen games in a row. They pulled out a
Speaker 11: six to five win over Baltimore. If they win again tonight,
Speaker 11: it ties the club record for longest winning street. There'll
Speaker 11: be a new athletic director at Michigan, Ward Manual the
Speaker 11: job for ten years and now he's leaving at the
Speaker 11: end of the year. There have been off field issues
Speaker 11: at Michigan. That's a Bloomberg Sports update.
Speaker 2: Stay with us. More from Bloomberg Day Break coming up after.
Speaker 1: This Coast to coast on Bloomberg Radio, nationwide, on Sirius
Speaker 1: Exam and around the World on Bloomberg dot Com and
Speaker 1: the Bloomberg Business app. This is Bloomberg Daybreak.
Speaker 3: Thank good morning. I'm Karen Moscow alongside Alexis Christopherish and
Speaker 3: the US and Iran exchange strikes for a tenth consecutive day.
Speaker 3: It comes as mediators work to revive at truce and
Speaker 3: as the hoothy militant group in Yemen threatened shipping in
Speaker 3: the Red Sea. Meanwhile, and the US Democratic Senators planned
Speaker 3: to once again force a vote on an around war
Speaker 3: powers resolution this week. And here's Senate Minority Leader Chuck Schumer.
Speaker 12: On Thursday, Trump insisted to the nation that we're winning
Speaker 12: the big, winning big in Iran and you'll see the
Speaker 12: fruits of that labor very very shortly. But instead and said,
Speaker 12: we saw three more brave American service members tragically lose
Speaker 12: their will lives over the weekend because of Trump's reckless
Speaker 12: war in Iran.
Speaker 3: And that's an a Minority Leader Chuck Schumer. We want
Speaker 3: to get the very latest now on the fighting with
Speaker 3: Bloomberg Middle Aged Breaking News editor Dana Creage and Dana,
Speaker 3: good morning. So we did say a tenth straight day
Speaker 3: of strikes on Iran, what do we know about these
Speaker 3: latest attacks from the US.
Speaker 13: Good morning. Yes, So the US and Iran have continued
Speaker 13: these attacks and tit for tad if you want the
Speaker 13: US to strike in Iran, and Tehran is retaliating against
Speaker 13: what it says are US interests US basis and places
Speaker 13: like Kuwait, Badin, and Jordan, which has been the case
Speaker 13: for the past several days, especially these strict countries. Baden
Speaker 13: sounded alarm saying they intercepted aerial tacks. Jordan said it
Speaker 13: intercepted drones and missiles, And of course we saw what
Speaker 13: happened over the weekend in Kuwait saying a energy facility
Speaker 13: was targeted there as well as a power desalination plant,
Speaker 13: and that was of course in response to what Iran
Speaker 13: said was US attacks all the same things, so they're
Speaker 13: kind of keeping in in similar attacks. So whatever the
Speaker 13: US attacks, then Aroun would attack in these different countries.
Speaker 13: And yesterday, as you mentioned, we saw the mediators trying
Speaker 13: to de escalate and bring the two back to perhaps
Speaker 13: the status quote that existed even before the MU was signed.
Speaker 13: US official that we have on background said that you know,
Speaker 13: Trump is currently focused on punishing Iran for attacking ships
Speaker 13: in the Strait and that the strikes will continue until
Speaker 13: the president chooses a different course of action. But again
Speaker 13: that US official said, the diplomatic efforts to end that
Speaker 13: were continuing around s interior ministries in Pakistan today in
Speaker 13: a Pakistan Kota out of course the two interior mediators
Speaker 13: who are helping to de escalate, and they're the ones
Speaker 13: who secured that MoU a few weeks ago. So still
Speaker 13: not clear what the mediators have come to and whether
Speaker 13: there is as we've seen reports of some ten days ceasefire.
Speaker 13: This is very early to see and perhaps the two
Speaker 13: the US and Iran are not you eager to immediately
Speaker 13: cease fire right now, but to do this tit for
Speaker 13: tat kind of like a managed conflict. So it's not
Speaker 13: an all out war, but it's it's a managed conflict,
Speaker 13: especially in Hormos well.
Speaker 3: Also an issue, as we know, is the straight of
Speaker 3: horror news horror moves. The UK Navy also reporting some
Speaker 3: strikes on two vessels in the Strait, so that still
Speaker 3: remains an active area as well, doesn't it exactly?
Speaker 13: And you know we're seeing more tankers coming under attacks,
Speaker 13: oil tankers even and consequently means traffic has declined significantly
Speaker 13: there So in the week ending July nineteen, Hormos crossings
Speaker 13: average seven tankers each day, and that's compared with sixteen
Speaker 13: per day a week earlier. That's according to SMP Global
Speaker 13: enter So we're seeing this, you know, Hormos is being
Speaker 13: deserted even even further, and tankers are probably going to
Speaker 13: look for some sort of assurance that they can pass
Speaker 13: through and not come under attack from Iran.
Speaker 3: So if the Hoothies imposed this maritime blockage on Saudi
Speaker 3: Arabia which we heard about as well yesterday, and we're
Speaker 3: having all of this going on still in the straight
Speaker 3: of horror MOUs, what kind of impact could this have
Speaker 3: on the oil market.
Speaker 13: Of course, that will compound whatever we are in right
Speaker 13: now and send oil prices soaring if they do disrupt
Speaker 13: and if they do carry out the so called maritime
Speaker 13: blockade on Saudi Arabia, that would translate to disrupting Saudi
Speaker 13: shipping via Red Sea through Bab and Mendeb. They can
Speaker 13: do that, as we've seen the Healthies do right in
Speaker 13: since October seven, twenty twenty three, in support of you know,
Speaker 13: the Milton Group Hamas So they did that and were
Speaker 13: able to do that, and if that happens today or
Speaker 13: this week, then you know, oil vis are going to
Speaker 13: shoot up. They're going to soar, and that means Saudi
Speaker 13: Arabia's main export route will be disrupted, and that's about
Speaker 13: you know, four a million barrels a day will also
Speaker 13: be caught out of the market. Saudi Arabit did say
Speaker 13: that they will protect their own ships and condemn the
Speaker 13: hopees for you know, those allegations and of course the
Speaker 13: maritime blockade. But it remains to be seen how this
Speaker 13: will play out. But of course the market is definitely
Speaker 13: watching this very closely.
Speaker 3: This is Bloomberg Daybreak, your morning podcast on the stories
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