WEBVTT - Midterms Enter Final Stretch, US Pulls Some Saudi Diplomats

0:00:02.600 --> 0:00:04.280
<v Speaker 1>Bloomberg Audio Studios.

0:00:04.740 --> 0:00:05.440
<v Speaker 2>Podcasts.

0:00:05.760 --> 0:00:06.279
<v Speaker 3>Radio.

0:00:06.700 --> 0:00:07.120
<v Speaker 4>News.

0:00:10.110 --> 0:00:11.470
<v Speaker 1>Good morning, I'm Nathan Hager.

0:00:11.789 --> 0:00:15.990
<v Speaker 2>And I'm Karen Moscow. Here are the stories we're following today. Karen,

0:00:16.010 --> 0:00:17.989
<v Speaker 2>we begin with the race to the midterms. We are

0:00:18.010 --> 0:00:20.760
<v Speaker 2>now just 12 days from the elections that will determine

0:00:20.800 --> 0:00:24.259
<v Speaker 2>control of Congress. And final debates were held last night

0:00:24.380 --> 0:00:26.280
<v Speaker 2>in two of the states with some of the tightest

0:00:26.400 --> 0:00:30.210
<v Speaker 2>Senate contests. Let's start in Michigan, where Republican Mike Rogers

0:00:30.270 --> 0:00:34.519
<v Speaker 2>faced Democrat Abdul El-Sayed in a debate sponsored by WXYZ TV.

0:00:35.030 --> 0:00:38.400
<v Speaker 2>The hour-long exchange turned personal at times, with Rogers trying

0:00:38.420 --> 0:00:40.680
<v Speaker 2>to link El-Sayed to the Muslim Brotherhood.

0:00:40.920 --> 0:00:43.580
<v Speaker 5>If you are going to go to the United States Senate,

0:00:43.600 --> 0:00:46.010
<v Speaker 5>we need to know, are you for America or are

0:00:46.050 --> 0:00:48.750
<v Speaker 5>you for these terrorist groups overseas?

0:00:49.010 --> 0:00:52.150
<v Speaker 6>Meanwhile, El-Sayed tried to tie Rogers to President Trump in

0:00:52.170 --> 0:00:55.530
<v Speaker 6>an exchange on trade policy. For those playing Maga Bingo

0:00:55.550 --> 0:00:56.940
<v Speaker 6>at home, you just heard like three of the buzzwords.

0:00:57.480 --> 0:00:59.100
<v Speaker 7>I just want to be clear, he literally is on

0:00:59.140 --> 0:01:01.200
<v Speaker 7>record having said that in the long term, NAFTA would

0:01:01.220 --> 0:01:02.300
<v Speaker 7>be good for the American worker.

0:01:02.320 --> 0:01:14.459
<v Speaker 1>Sorry, what year was that? That's within the margin of error.

0:01:14.600 --> 0:01:17.340
<v Speaker 4>Nathan, there was also a debate last night in Kansas

0:01:17.380 --> 0:01:21.120
<v Speaker 4>where Republican Senator Roger Marshall is in a tough re-election

0:01:21.180 --> 0:01:25.180
<v Speaker 4>fight against Democrat Adam Hamilton. The senator aligned himself with

0:01:25.240 --> 0:01:27.940
<v Speaker 4>President Trump on the reason for high diesel prices in

0:01:27.959 --> 0:01:30.720
<v Speaker 4>the debate hosted by Fox for Kansas City.

0:01:30.959 --> 0:01:33.380
<v Speaker 7>The real problem with the cost of diesel in particular

0:01:33.700 --> 0:01:36.940
<v Speaker 7>is number one is the Ukraine war. And because of that,

0:01:37.000 --> 0:01:40.270
<v Speaker 7>diesel production has gone down. But beyond that, why are

0:01:40.290 --> 0:01:43.090
<v Speaker 7>we dependent upon diesel imports? It's because of the Green

0:01:43.130 --> 0:01:45.949
<v Speaker 7>New Deal policy that my opponent supports.

0:01:46.290 --> 0:01:50.150
<v Speaker 4>Senator Marshall's comments drew a sharp response from Adam Hamilton.

0:01:50.790 --> 0:01:52.190
<v Speaker 1>What you said just now is you're going to sell

0:01:52.270 --> 0:01:54.140
<v Speaker 1>out our friends in Ukraine. That's not okay.

0:01:54.160 --> 0:01:56.020
<v Speaker 7>And by the way, our red wheat in Kansas came

0:01:56.060 --> 0:01:57.660
<v Speaker 7>from Ukraine, from people who immigrated here.

0:01:57.680 --> 0:02:00.280
<v Speaker 1>You're going to sell out Ukraine. That's just not okay.

0:02:00.420 --> 0:02:01.140
<v Speaker 1>It's indecent.

0:02:01.440 --> 0:02:05.450
<v Speaker 4>Polling averages show Roger Marshall and Adam Hamilton virtually tied

0:02:05.490 --> 0:02:07.850
<v Speaker 4>in a state that has not elected a Democrat to

0:02:07.890 --> 0:02:10.190
<v Speaker 4>the Senate since 1932.

0:02:10.190 --> 0:02:12.000
<v Speaker 6>Now, along with the Senate races, Karen, there was a

0:02:12.020 --> 0:02:14.840
<v Speaker 6>debate in the race for Minnesota governor last night hosted

0:02:14.880 --> 0:02:17.100
<v Speaker 6>by Fox 9 in the Twin Cities and Gray Media.

0:02:17.440 --> 0:02:20.960
<v Speaker 6>Democratic Senator Amy Klobuchar tried to tie her opponent, Republican

0:02:21.020 --> 0:02:23.880
<v Speaker 6>State House Speaker Lisa Damuth, to the National Party.

0:02:24.100 --> 0:02:26.250
<v Speaker 8>We need a governor who is not a rubber stamp

0:02:26.330 --> 0:02:28.530
<v Speaker 8>of Donald Trump, and we need a governor that's going

0:02:28.550 --> 0:02:31.070
<v Speaker 8>to focus on you and not just do the bidding

0:02:31.130 --> 0:02:34.170
<v Speaker 8>of a billionaire from Wisconsin that's paid for 80 percent

0:02:34.210 --> 0:02:34.910
<v Speaker 8>of her ads.

0:02:35.110 --> 0:02:37.700
<v Speaker 6>But Lisa Damuth argued that Amy Klobuchar would be a

0:02:37.740 --> 0:02:39.799
<v Speaker 6>rubber stamp for the outgoing governor.

0:02:39.980 --> 0:02:42.540
<v Speaker 9>What we haven't heard from Senator Klobuchar is how she

0:02:42.580 --> 0:02:45.800
<v Speaker 9>has separated herself from Tim Walz. She never has once

0:02:46.180 --> 0:02:49.780
<v Speaker 9>come up with a policy that she disagrees with Tim

0:02:49.800 --> 0:02:50.360
<v Speaker 9>Walz on.

0:02:50.840 --> 0:02:54.150
<v Speaker 6>The latest Real Clear Politics average shows Amy Klobuchar leading

0:02:54.190 --> 0:02:56.650
<v Speaker 6>Lisa Damuth in the polls by more than eight points.

0:02:56.950 --> 0:02:59.770
<v Speaker 4>Along with the debates, Nathan, President Trump is keeping up

0:02:59.810 --> 0:03:03.490
<v Speaker 4>his midterm rallies. The president returned to South Carolina last

0:03:03.590 --> 0:03:06.500
<v Speaker 4>night to keep Republican Senator Darlene Graham in the seat

0:03:06.560 --> 0:03:08.619
<v Speaker 4>left behind by her late brother, Lindsey.

0:03:08.639 --> 0:03:12.220
<v Speaker 10>And after Darlene's brother, I loved her brother.

0:03:12.260 --> 0:03:13.660
<v Speaker 11>That guy was a great guy.

0:03:13.710 --> 0:03:16.610
<v Speaker 12>He was a seriously good politician, by the way, in

0:03:16.650 --> 0:03:18.470
<v Speaker 12>case anyone's wondering.

0:03:18.570 --> 0:03:19.109
<v Speaker 1>It was good.

0:03:19.450 --> 0:03:22.570
<v Speaker 4>And President Trump's rally comes with Darlene Graham leading her

0:03:22.630 --> 0:03:26.420
<v Speaker 4>Democratic opponent, Annie Andrews, by less than three points in

0:03:26.460 --> 0:03:30.040
<v Speaker 4>the latest Real Clear Politics average. The president won South

0:03:30.080 --> 0:03:33.140
<v Speaker 4>Carolina by roughly 18 points just two years ago.

0:03:33.419 --> 0:03:36.250
<v Speaker 6>And President Trump will continue his swing through red states

0:03:36.330 --> 0:03:38.950
<v Speaker 6>into next week. Karen, the Republican National Committee says he'll

0:03:38.970 --> 0:03:42.190
<v Speaker 6>headline a rally for Republican Senator Cindy Hyde-Smith on Monday

0:03:42.270 --> 0:03:45.600
<v Speaker 6>in Mississippi. a state the president won by more than

0:03:45.600 --> 0:03:49.640
<v Speaker 6>22 points in 2024. The party in power typically loses

0:03:49.700 --> 0:03:53.000
<v Speaker 6>congressional seats in midterm elections, but former Republican House Speaker

0:03:53.040 --> 0:03:55.340
<v Speaker 6>Kevin McCarthy says he does not think we'll see a

0:03:55.380 --> 0:03:57.650
<v Speaker 6>Democratic blue wave on November 3rd.

0:03:57.840 --> 0:04:00.150
<v Speaker 12>It won't be like when Obama was in and we

0:04:00.170 --> 0:04:03.410
<v Speaker 12>won 63 seats or when Clinton was in and for

0:04:03.450 --> 0:04:05.770
<v Speaker 12>the first time in 40 years, Republican took over.

0:04:06.430 --> 0:04:07.510
<v Speaker 1>They'll get a majority.

0:04:07.910 --> 0:04:10.270
<v Speaker 12>I'm not quite sure how big it is, but they

0:04:10.370 --> 0:04:11.670
<v Speaker 12>will probably win the majority.

0:04:11.690 --> 0:04:13.010
<v Speaker 1>The real battle is for the Senate.

0:04:13.290 --> 0:04:16.469
<v Speaker 6>Former House Speaker Kevin McCarthy spoke to Bloomberg's Haslinda Amin

0:04:16.589 --> 0:04:19.190
<v Speaker 6>from the Barclays Asia Forum in Singapore.

0:04:19.440 --> 0:04:22.920
<v Speaker 4>Well, Nathan, as the midterm elections approach, check out Bloomberg's

0:04:23.100 --> 0:04:26.760
<v Speaker 4>Washington Edition, the newsletter about money, power, and politics in

0:04:26.779 --> 0:04:30.560
<v Speaker 4>the nation's capital. Our journalists provide reporting and insights through

0:04:30.580 --> 0:04:33.780
<v Speaker 4>the lens of business, markets, government, and the economy. Sign

0:04:33.839 --> 0:04:37.060
<v Speaker 4>up now for free at Bloomberg.com slash newsletters.

0:04:37.779 --> 0:04:39.720
<v Speaker 1>Let's turn to the Middle East now, where the U.S.

0:04:39.960 --> 0:04:43.469
<v Speaker 6>Is ordering some diplomats and their families to leave Saudi

0:04:43.529 --> 0:04:46.890
<v Speaker 6>Arabia because of the threat from Houthi militants. The Iran-backed

0:04:46.910 --> 0:04:49.880
<v Speaker 6>group has been carrying out more strikes from Yemen. At

0:04:49.920 --> 0:04:52.780
<v Speaker 6>least four people were killed in attacks on an Aramco

0:04:52.920 --> 0:04:56.520
<v Speaker 6>oil site and an eastern airport in Saudi Arabia yesterday.

0:04:56.740 --> 0:05:00.440
<v Speaker 4>Russian President Vladimir Putin, Nathan, says Moscow is ready to

0:05:00.480 --> 0:05:03.080
<v Speaker 4>resume trilateral negotiations with the U.S.

0:05:03.140 --> 0:05:05.000
<v Speaker 1>And Ukraine on a potential peace deal.

0:05:05.040 --> 0:05:07.740
<v Speaker 4>The Kremlin says Putin made the offer during talks with

0:05:07.800 --> 0:05:11.260
<v Speaker 4>President Trump's envoy, Steve Witkoff. We get more from Bloomberg's

0:05:11.320 --> 0:05:13.380
<v Speaker 4>national security editor, Ian Marlowe.

0:05:13.990 --> 0:05:16.560
<v Speaker 10>One thing to stress is also that No one really

0:05:16.620 --> 0:05:21.729
<v Speaker 10>feels like anything has changed in terms of the dynamics.

0:05:21.830 --> 0:05:25.210
<v Speaker 10>Everyone knows sort of what Russia wants, what Ukraine wants,

0:05:25.670 --> 0:05:28.909
<v Speaker 10>where the red lines are. The issue is the political

0:05:28.990 --> 0:05:32.250
<v Speaker 10>will to get there. And I don't think anyone is

0:05:32.310 --> 0:05:37.070
<v Speaker 10>saying that political will has changed, either in Putin's eyes

0:05:37.290 --> 0:05:38.470
<v Speaker 10>or in Zelensky's eyes in.

0:05:38.430 --> 0:05:39.350
<v Speaker 1>Terms of compromise.

0:05:39.650 --> 0:05:43.470
<v Speaker 4>Bloomberg's Ian Marlow. Yesterday, the Trump administration praised Putin as

0:05:43.550 --> 0:05:46.320
<v Speaker 4>a humanitarian for releasing a detained U.S.

0:05:46.360 --> 0:05:46.820
<v Speaker 1>Citizen.

0:05:47.320 --> 0:05:51.300
<v Speaker 6>Starting to markets now, Karen. NASDAQ futures are plunging. They're

0:05:51.339 --> 0:05:55.500
<v Speaker 6>down nearly 2 percent, but they rose after hours. after

0:05:55.650 --> 0:06:01.120
<v Speaker 6>better-than-expected earnings from Meta Platforms. And those shares in the

0:06:01.160 --> 0:06:06.780
<v Speaker 6>pre-market are down nearly 2%. Meta's third-quarter revenue did rise 26%,

0:06:06.779 --> 0:06:09.500
<v Speaker 6>to more than $ 64 billion.

0:06:09.580 --> 0:06:10.620
<v Speaker 1>That topped estimates.

0:06:11.000 --> 0:06:14.630
<v Speaker 6>CEO Mark Zuckerberg told investors a pricey wager on artificial

0:06:14.670 --> 0:06:18.170
<v Speaker 6>intelligence is paying off. He touted the success of Meta's

0:06:18.230 --> 0:06:21.010
<v Speaker 6>new Muse agent during the conference call with analysts.

0:06:21.360 --> 0:06:24.200
<v Speaker 3>We are building out the capacity to serve more than

0:06:24.220 --> 0:06:27.300
<v Speaker 3>a billion people over the next few years. In the

0:06:27.339 --> 0:06:31.620
<v Speaker 3>near term, Muse is very compute-intensive to run, but we

0:06:31.680 --> 0:06:35.040
<v Speaker 3>expect to improve its cost efficiency by more than 10x

0:06:35.080 --> 0:06:37.140
<v Speaker 3>in the next year, which will enable it to be

0:06:37.200 --> 0:06:39.160
<v Speaker 3>profitable once the revenue lines are at scale.

0:06:39.520 --> 0:06:43.360
<v Speaker 6>Meta CEO Mark Zuckerberg also boosted the company's capital spending

0:06:43.380 --> 0:06:44.039
<v Speaker 6>plans for the year.

0:06:44.279 --> 0:06:48.040
<v Speaker 4>After threatening to move Meta's headquarters from California because of

0:06:48.100 --> 0:06:51.920
<v Speaker 4>a proposed California wealth tax, Nathan Meta has struck an

0:06:51.960 --> 0:06:55.760
<v Speaker 4>unusual bargain with its billionaire chief executive. The Facebook and

0:06:55.800 --> 0:06:58.900
<v Speaker 4>Instagram owner is giving him non-voting shares that he can

0:06:58.990 --> 0:07:02.550
<v Speaker 4>sell to cover a multi-billion dollar tax bill without relinquishing

0:07:02.589 --> 0:07:05.790
<v Speaker 4>control of Meta. In return, Zuckerberg has committed to staying

0:07:05.830 --> 0:07:09.710
<v Speaker 4>in California or wherever Meta keeps his headquarters for the

0:07:09.770 --> 0:07:12.390
<v Speaker 4>next eight years while he remains a full-time leader.

0:07:12.570 --> 0:07:15.110
<v Speaker 6>In Europe, Karen, one of the world's biggest banks is

0:07:15.410 --> 0:07:18.090
<v Speaker 6>cutting jobs, and it's because of AI.

0:07:18.390 --> 0:07:21.230
<v Speaker 1>Bloomberg's Ewan Potts is in London with the latest.

0:07:21.370 --> 0:07:21.510
<v Speaker 2>Ewan.

0:07:21.750 --> 0:07:25.750
<v Speaker 11>Nathan and Karen, 5,000 jobs are to go at Barclays.

0:07:26.110 --> 0:07:29.380
<v Speaker 11>The London-based bank says it's cutting about 5% of total

0:07:29.390 --> 0:07:34.380
<v Speaker 11>headcount as it adopts artificial intelligence across the group. About 60%

0:07:34.380 --> 0:07:37.200
<v Speaker 11>of the job cuts will be in support functions, including

0:07:37.340 --> 0:07:41.680
<v Speaker 11>among developers. Barclays says it's focusing on simplifying the organisation

0:07:41.900 --> 0:07:45.660
<v Speaker 11>and increasing efficiency. The CEO telling investors the bank will

0:07:45.700 --> 0:07:49.220
<v Speaker 11>employ AI at scale But the AI is the icing

0:07:49.340 --> 0:07:52.380
<v Speaker 11>on the cake and not the cake. In London, I'm

0:07:52.420 --> 0:07:53.679
<v Speaker 11>Ewan Potts, Bloomberg Radio.

0:07:56.990 --> 0:07:58.230
<v Speaker 4>Time now for a look at some of the other

0:07:58.250 --> 0:08:00.570
<v Speaker 4>stories making news in New York and around the world.

0:08:00.630 --> 0:08:03.110
<v Speaker 4>And for that, we're joined by Bloomberg's John Tucker. John,

0:08:03.150 --> 0:08:03.750
<v Speaker 4>good morning.

0:08:03.870 --> 0:08:06.670
<v Speaker 5>And good morning, Karen. The annual cost of a family's

0:08:06.770 --> 0:08:11.040
<v Speaker 5>employer-provided health care plan has now reached an average $ 28, 300

0:08:10.680 --> 0:08:16.100
<v Speaker 5>this year. 5% more than last year. These are the

0:08:16.220 --> 0:08:19.020
<v Speaker 5>latest findings in the annual survey conducted by the health

0:08:19.060 --> 0:08:23.440
<v Speaker 5>policy nonprofit KFF just out this morning. While employers foot

0:08:23.500 --> 0:08:27.750
<v Speaker 5>most of the bill, workers still contributing 9% more than

0:08:27.790 --> 0:08:31.250
<v Speaker 5>last year. A retired police detective has been charged with

0:08:31.330 --> 0:08:34.490
<v Speaker 5>murder for that shooting on the George Washington Bridge. More

0:08:34.550 --> 0:08:36.170
<v Speaker 5>from Bloomberg's Courtney Donahoe.

0:08:36.960 --> 0:08:40.600
<v Speaker 13>62-year-old Victor Romero was arrested in what police described as

0:08:40.660 --> 0:08:44.470
<v Speaker 13>a road rage incident. He's a retired narcotics investigator for

0:08:44.510 --> 0:08:49.270
<v Speaker 13>the NYPD. The victim is identified as 46-year-old Corin Irvine,

0:08:49.330 --> 0:08:51.179
<v Speaker 13>a worker from Con Ed who was on his way

0:08:51.240 --> 0:08:54.360
<v Speaker 13>home after an overtime shift. He died from a gunshot

0:08:54.400 --> 0:08:57.500
<v Speaker 13>wound while driving on the George Washington Bridge. A bullet

0:08:57.520 --> 0:09:00.180
<v Speaker 13>hole could be seen in the rear passenger side window

0:09:00.280 --> 0:09:03.600
<v Speaker 13>of his car. 25 years ago, Romero was shot during

0:09:03.620 --> 0:09:06.960
<v Speaker 13>an attempted robbery in what police described as a furious

0:09:07.020 --> 0:09:08.260
<v Speaker 13>close quarters gun battle.

0:09:08.620 --> 0:09:10.319
<v Speaker 1>Courtney Donahoe, Bloomberg Radio.

0:09:10.460 --> 0:09:13.100
<v Speaker 5>New York City schools are facing tough choices due to

0:09:13.280 --> 0:09:17.080
<v Speaker 5>dwindling enrollment. New York City is the country's largest public

0:09:17.120 --> 0:09:20.520
<v Speaker 5>school system. The city school's chancellor now says they may

0:09:20.559 --> 0:09:24.110
<v Speaker 5>have to merge some schools. Pope Leo greeting the faithful

0:09:24.230 --> 0:09:27.089
<v Speaker 5>in St. Peter's Square yesterday for the first time since

0:09:27.130 --> 0:09:31.890
<v Speaker 5>his cancer surgery. Final testing shows the pope's cancer was localized,

0:09:32.429 --> 0:09:36.609
<v Speaker 5>and an evaluation confirmed no further treatment is necessary. Global

0:09:36.670 --> 0:09:39.050
<v Speaker 5>News 24 hours a day and whenever you want it

0:09:39.090 --> 0:09:41.069
<v Speaker 5>with Bloomberg News Now. I'm John Tucker.

0:09:41.190 --> 0:09:42.210
<v Speaker 1>This is Bloomberg.

0:09:42.250 --> 0:09:42.530
<v Speaker 13>Karen.

0:09:43.510 --> 0:09:44.209
<v Speaker 1>Thanks, John.

0:09:44.250 --> 0:09:47.020
<v Speaker 4>Time now for our Bloomberg Sports Update, and for that,

0:09:47.059 --> 0:09:48.480
<v Speaker 4>we bring in John Stashower.

0:09:48.920 --> 0:09:51.380
<v Speaker 14>Thanks, Karen. Game three of the WNBA Finals, a blowout

0:09:51.420 --> 0:09:56.090
<v Speaker 14>win for Atlanta, 97-71 over Golden State. Angel Reese, 21 points,

0:09:56.090 --> 0:09:59.210
<v Speaker 14>12 rebounds, and the Dream lead the series 2-1. Among

0:09:59.230 --> 0:10:03.400
<v Speaker 14>the NBA season openers, Minnesota with a blowout win at Miami.

0:10:03.740 --> 0:10:07.520
<v Speaker 14>Anthony Edwards scored 45 points for the Timberwolves. Giannis Antetokounmpo

0:10:07.540 --> 0:10:10.300
<v Speaker 14>scored 35 in his first game with the Heat. The

0:10:10.380 --> 0:10:13.860
<v Speaker 14>NFL game tonight, Patriots and Bears in Chicago. Both teams

0:10:13.900 --> 0:10:16.459
<v Speaker 14>come in 4-2. That's your Bloomberg Sports Update.

0:10:18.370 --> 0:10:19.030
<v Speaker 1>Stay with us.

0:10:19.210 --> 0:10:22.010
<v Speaker 4>More from Bloomberg Daybreak coming up after this.

0:10:25.350 --> 0:10:29.429
<v Speaker 1>Coast to coast on Bloomberg Radio. Nationwide on Sirius XM.

0:10:29.670 --> 0:10:33.660
<v Speaker 13>And around the world on Bloomberg.com and the Bloomberg Business App.

0:10:34.000 --> 0:10:37.099
<v Speaker 1>This is Bloomberg Daybreak. Good morning. I'm Nathan Hager.

0:10:37.400 --> 0:10:41.600
<v Speaker 6>Nearly five years after the full-scale invasion of Ukraine, Russian

0:10:41.660 --> 0:10:44.280
<v Speaker 6>President Vladimir Putin now says he is willing to resume

0:10:44.400 --> 0:10:47.400
<v Speaker 6>three-way talks with Ukraine and the U.S., to bring the

0:10:47.460 --> 0:10:50.020
<v Speaker 6>conflict to an end. This came after talks with White

0:10:50.040 --> 0:10:54.420
<v Speaker 6>House envoy Steve Witkoff that had the U.S. envoy calling

0:10:54.440 --> 0:10:57.939
<v Speaker 6>the Russian leader a humanitarian for releasing an American prisoner

0:10:57.980 --> 0:10:58.780
<v Speaker 6>after four years.

0:10:59.340 --> 0:11:02.300
<v Speaker 1>President Trump was asked if he agrees. I wouldn't say

0:11:02.320 --> 0:11:04.059
<v Speaker 1>anything one way or the other.

0:11:04.820 --> 0:11:07.160
<v Speaker 8>We're negotiating with Russia to stop.

0:11:06.900 --> 0:11:08.620
<v Speaker 1>The War with Ukraine.

0:11:08.740 --> 0:11:10.860
<v Speaker 6>Well, that was President Trump speaking with reporters at the

0:11:10.900 --> 0:11:13.660
<v Speaker 6>White House yesterday. Joining us this morning once again is

0:11:13.710 --> 0:11:17.270
<v Speaker 6>Bloomberg's head of Russia economy and government coverage, Tony Halpin.

0:11:17.730 --> 0:11:18.990
<v Speaker 1>Great to speak with you, Tony.

0:11:19.030 --> 0:11:21.530
<v Speaker 6>Of course, we've been talking about the pressure that Ukraine's

0:11:21.570 --> 0:11:24.920
<v Speaker 6>president says he's been feeling over the last several days

0:11:25.100 --> 0:11:29.739
<v Speaker 6>and weeks. Now, with this meeting between Putin and Witkoff

0:11:29.900 --> 0:11:33.800
<v Speaker 6>ending with this possibility of new talks, What's the setup

0:11:33.870 --> 0:11:35.990
<v Speaker 6>for what those talks could look like?

0:11:36.230 --> 0:11:37.569
<v Speaker 1>Good morning. Good morning, Nathan.

0:11:37.610 --> 0:11:40.970
<v Speaker 15>Well, yes, as you've noted, President Putin agreed to resume

0:11:41.030 --> 0:11:45.010
<v Speaker 15>these talks with U.S. and Ukrainian officials. It looks like

0:11:45.030 --> 0:11:48.650
<v Speaker 15>they'll be at a technical level between lower-level officials discussing

0:11:48.690 --> 0:11:54.680
<v Speaker 15>things like security matters, questions about where front lines are

0:11:54.700 --> 0:11:59.740
<v Speaker 15>going to be drawn, issues such as air defenses. But

0:12:00.280 --> 0:12:03.820
<v Speaker 15>the bigger question about a meeting between the three leaders

0:12:04.559 --> 0:12:07.119
<v Speaker 15>still has to be addressed. And that's very important. The

0:12:07.220 --> 0:12:10.380
<v Speaker 15>Ukrainian President Zelensky has made clear that he doesn't see

0:12:10.400 --> 0:12:13.840
<v Speaker 15>a resolution to this war being possible until he and

0:12:13.880 --> 0:12:16.320
<v Speaker 15>Putin get to sit down and make final decisions. And

0:12:16.640 --> 0:12:18.340
<v Speaker 15>that's something that's not on the table. And it wasn't

0:12:18.380 --> 0:12:19.460
<v Speaker 15>offered by Russia yesterday.

0:12:19.980 --> 0:12:22.870
<v Speaker 6>And there's still a lot of disagreement as well, isn't there,

0:12:23.090 --> 0:12:26.010
<v Speaker 6>on what the parameters for a ceasefire would look like,

0:12:26.070 --> 0:12:31.250
<v Speaker 6>especially after that energy ceasefire that President Trump said was happening.

0:12:31.340 --> 0:12:33.660
<v Speaker 6>But it seems like it kind of fell by the

0:12:33.679 --> 0:12:35.140
<v Speaker 6>wayside almost from the get-go.

0:12:35.260 --> 0:12:35.900
<v Speaker 1>Yes, that's right.

0:12:36.140 --> 0:12:38.440
<v Speaker 15>Zelensky has said very clearly that he's willing to have

0:12:38.480 --> 0:12:43.120
<v Speaker 15>a ceasefire on any terms. pretty much immediately. But Putin

0:12:43.140 --> 0:12:45.679
<v Speaker 15>has made clear that he doesn't want to abide by

0:12:45.720 --> 0:12:48.760
<v Speaker 15>any ceasefire while negotiations are taking place. He thinks that

0:12:48.780 --> 0:12:51.810
<v Speaker 15>will give Ukraine and its European allies an opportunity to

0:12:51.890 --> 0:12:54.910
<v Speaker 15>regroup and rearm. And so he wants to continue the war,

0:12:55.290 --> 0:12:57.970
<v Speaker 15>even as he says he's now willing to resume negotiations.

0:12:58.350 --> 0:13:00.710
<v Speaker 15>So it doesn't look really very hopeful that there would

0:13:00.750 --> 0:13:04.199
<v Speaker 15>be a ceasefire while talks take place. And that means

0:13:04.220 --> 0:13:05.079
<v Speaker 15>that the war goes on.

0:13:06.160 --> 0:13:10.210
<v Speaker 6>What to make of this announcement that the American teacher,

0:13:10.750 --> 0:13:14.730
<v Speaker 6>Stephen Hubbard, has been released after four years in custody?

0:13:14.750 --> 0:13:17.830
<v Speaker 6>President Trump had said there wasn't anything that the U.S.

0:13:17.910 --> 0:13:21.980
<v Speaker 6>gave in return. But, of course, there's also the deal

0:13:22.080 --> 0:13:24.840
<v Speaker 6>on diesel and the waiver on sanctions.

0:13:25.260 --> 0:13:26.660
<v Speaker 1>What's the takeaway from that?

0:13:26.900 --> 0:13:30.140
<v Speaker 15>Yes, it's clearly very welcome to Mr. Hubbard's family. But

0:13:30.360 --> 0:13:32.350
<v Speaker 15>in terms of the bigger picture, it seems to be

0:13:32.370 --> 0:13:35.050
<v Speaker 15>part of some kind of flattery strategy that the US

0:13:35.070 --> 0:13:38.530
<v Speaker 15>has adopted to coax and encourage Mr. Putin to end

0:13:38.570 --> 0:13:41.290
<v Speaker 15>the war and come to the table for negotiations. But

0:13:41.610 --> 0:13:44.710
<v Speaker 15>Ukraine is very clear that it doesn't see appeasement as

0:13:44.730 --> 0:13:47.130
<v Speaker 15>the best way forward here. Last night, for example, just

0:13:47.190 --> 0:13:50.679
<v Speaker 15>hours after the talks, Kiev was hit with what Ukraine

0:13:50.720 --> 0:13:53.099
<v Speaker 15>says were 21 ballistic missiles and more than 200 drones.

0:13:53.120 --> 0:13:53.190
<v Speaker 3>So.

0:13:55.720 --> 0:13:57.720
<v Speaker 15>They think that the only way forward really is to

0:13:57.780 --> 0:14:00.690
<v Speaker 15>bring Putin to the table through a show of force

0:14:00.750 --> 0:14:02.250
<v Speaker 15>rather than trying to flatter him there.

0:14:04.480 --> 0:14:07.880
<v Speaker 4>This is Bloomberg Daybreak, your morning podcast on the stories

0:14:07.960 --> 0:14:11.020
<v Speaker 4>making news from Wall Street to Washington and beyond.

0:14:11.320 --> 0:14:13.660
<v Speaker 6>Look for us on your podcast feed by 6 a.m.

0:14:13.740 --> 0:14:17.109
<v Speaker 6>Eastern each morning on Apple, Spotify, or anywhere else you listen.

0:14:17.330 --> 0:14:20.470
<v Speaker 4>You can also listen live each morning starting at 5 a.m.

0:14:20.510 --> 0:14:24.330
<v Speaker 4>Wall Street time on Bloomberg 1130 in New York, Bloomberg

0:14:24.330 --> 0:14:29.250
<v Speaker 4>99.1 in Washington, Bloomberg 92.9 in Boston, and nationwide on

0:14:29.370 --> 0:14:32.050
<v Speaker 4>Sirius XM Channel 121.

0:14:32.050 --> 0:14:34.690
<v Speaker 6>Plus, listen coast to coast on the Bloomberg Business app

0:14:34.730 --> 0:14:37.470
<v Speaker 6>now with Apple CarPlay and Android Auto interfaces.

0:14:37.850 --> 0:14:40.820
<v Speaker 4>And don't forget to subscribe to Bloomberg News Now. It's

0:14:40.840 --> 0:14:43.560
<v Speaker 4>the latest news whenever you want it, in five minutes

0:14:43.620 --> 0:14:46.760
<v Speaker 4>or less. Search Bloomberg News Now on your favorite podcast

0:14:46.820 --> 0:14:49.040
<v Speaker 4>platform to stay informed all day long.

0:14:49.460 --> 0:14:50.580
<v Speaker 2>I'm Karen Moscow.

0:14:50.840 --> 0:14:51.800
<v Speaker 1>And I'm Nathan Hager.

0:14:51.880 --> 0:14:53.960
<v Speaker 6>Join us again tomorrow morning for all the news you

0:14:54.000 --> 0:14:56.680
<v Speaker 6>need to start your day right here on Bloomberg Daybreak.