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Speaker 1: Bloomberg Audio Studios, Podcasts, Radio News.

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Speaker 2: Good morning.

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Speaker 3: I'm Nathan Hager and I'm Karen Moscow. Here are the

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Speaker 3: stories we're following today.

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Speaker 2: Karen, we begin with the latest efforts to end the

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Speaker 2: war in Ukraine. President Trump says he has agreed to

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Speaker 2: start negotiations to end the conflict in a phone call

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Speaker 2: with Russian President Vladimir Putin. Here was the President, as

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Speaker 2: heard on Bloomberg Radio.

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Speaker 4: I'll be dealing with President Putin largely on the phone,

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Speaker 4: and we ultimately expect to meet. In fact, we expect

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Speaker 4: that he'll come here and I'll go there, and we're

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Speaker 4: going to meet also probably in Saudi Arabia, the first

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Speaker 4: time we'll meet in Saudi Arabia. Se if we get

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Speaker 4: something done, but we want to end that war. That

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Speaker 4: war is a disaster now.

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Speaker 2: Critics say President Trump is sweeping aside three years of

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Speaker 2: US policy with this call, in blind siding European allies.

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Speaker 2: Defense Secretary Pete Hegseth says Trump's call with Putin is

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Speaker 2: not a betrayal.

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Speaker 5: Certainly not a betrayal.

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Speaker 1: As I said to our allies yesterday, we recognized the

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Speaker 1: incredible commitment that has been made over many years, and

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Speaker 1: no country, as the President Trump has pointed out, has

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Speaker 1: many larger commitment.

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Speaker 2: Defense Secretary Pete Hegseth spoke earlier in Brussels.

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Speaker 3: Meanwhile, Nathan, the President's effort to shrink this size the

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Speaker 3: federal government continues, but is so called buyout offered to

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Speaker 3: federal workers has fallen short, and Bloomberg's John Tucker joins

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Speaker 3: us this morning with the details.

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Speaker 5: John, good morning, Yeah, good morning, Karen.

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Speaker 6: Only seventy five thousand federal employees signed up for the

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Speaker 6: voluntary resignation program, so that makes up about three percent

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Speaker 6: of the civilian federal workforce. The White House had previously

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Speaker 6: set the goal at five to ten percent. Well, this

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Speaker 6: now increases the likelihood of deeper mass firings.

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Speaker 4: You know.

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Speaker 6: An executive order signed earlier this week, as Elon Musk

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Speaker 6: stood alongside him, President Trump ordered agency heads to promptly

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Speaker 6: undertake preparations to initiate large scale reductions in forces. Has

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Speaker 6: been the driving force behind the effort to reduce the

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Speaker 6: size of government through a so called Department of Government Efficiency,

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Speaker 6: and he just spoke about the effort at the annual

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Speaker 6: World Government Summit.

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Speaker 5: It's kind of like if they're leaving a weed.

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Speaker 7: If you don't remove the roots of the weed, then

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Speaker 7: it's easy for the weed to grow back. But if

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Speaker 7: you remove the reach roots of.

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Speaker 5: The weed, it doesn't stop weeds from ever going back,

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Speaker 5: but it makes it harder.

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Speaker 6: A US district judge in Boston did clear the way

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Speaker 6: for the buyouts of the federal workers, ruling yesterday that

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Speaker 6: their unions don't have legal standing to sue. You knoww

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Speaker 6: York on John Tucker Bloomberg Radio.

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Speaker 5: Thanks John.

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Speaker 2: While the President moves ahead with shrinking the government, one

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Speaker 2: major move is on hold for now. A federal judge

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Speaker 2: in Washington, DC has blocked the president from removing the

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Speaker 2: head of the independent agency that protects government whistleblowers. The

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Speaker 2: administration did not give a reason for firing Hampton Dellinger

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Speaker 2: as head of the Office of Special Counsel, but in

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Speaker 2: a temporary restraining order, US District Judge Amy Berman Jackson

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Speaker 2: said the move plainly goes against US law. The Justice

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Speaker 2: Department says.

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Speaker 5: It will appeal later today, Nathan.

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Speaker 3: The Senate is set to vote on confirming Robert F.

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Speaker 3: Kennedy Junior as Secretary of Health and Human Services. The

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Speaker 3: seventy one year old is expected to pass through the

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Speaker 3: full Senate despite concerns some Republicans have raised about his

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Speaker 3: views on vaccines, but Republican Senator and doctor Bill Cassidy

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Speaker 3: says his worries have been put to rest.

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Speaker 5: Mister Kennedy and.

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Speaker 2: The administration reached out seeking to reassure me regarding their

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Speaker 2: commitment to protecting the public health benefit of vaccination.

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Speaker 3: Senator Cassidy spoken the Senate floor last week.

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Speaker 8: Robert F.

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Speaker 3: Kennedy, Junior's confirmation would place him in charge of one

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Speaker 3: point seven trillion dollars in spending on vaccines, food safety,

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Speaker 3: and government health insurance programs ILL.

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Speaker 2: Meanwhile, Karen Telsey Gabbert has been sworn in as Director

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Speaker 2: of National Intelligence after she won Senate confirmation in a

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Speaker 2: mostly party line vote. Gabbart is promising to get right

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Speaker 2: to work.

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Speaker 9: Unfortunately, the America and people have very little trust in

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Speaker 9: the intelligence community, largely because they've seen the weaponization and

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Speaker 9: politicization of an entity that is supposed to be purely

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Speaker 9: focused on ensuring our national security.

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Speaker 2: Tulsea Gabbert didn't specify how US intelligence has been weaponized

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Speaker 2: or what changes she might make. Her office also says

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Speaker 2: she plans to attend the Munich Security Conference this weekend.

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Speaker 3: We turned to the markets now, Nathan and earnings are

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Speaker 3: in focus this morning. In Europe, shares of Barclays or

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Speaker 3: down five percent. The British bank's results did beat estimates,

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Speaker 3: but the firm leftist guidance for next year unchanged. Barclay's

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Speaker 3: CEO cs VN Kada Krishnan says he expects to benefit

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Speaker 3: from a loosening of UK regulations.

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Speaker 7: I expect that you will see some rebalancing, but you know,

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Speaker 7: I should say that we want the rebalancing in the

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Speaker 7: context of strongly regulated markets.

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Speaker 5: We think all the major.

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Speaker 7: Banks as included a good a of a well regulated

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Speaker 7: financial system. It's what makes London great and so there

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Speaker 7: should be some rebalancing, but in the context of a

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Speaker 7: well regulated financial system.

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Speaker 3: Barclay CEO cs and Katakrishnan says traders turned in their

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Speaker 3: best fourth quarter performance in at least a decade. As

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Speaker 3: President Trump's election spurred volatility across asset classes.

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Speaker 2: In Asia, Cairen, shares of Ali Baba gained almost three percent.

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Speaker 2: The e Commerce Giants chairman Joe Sai has confirmed Apple's

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Speaker 2: iPhones will use his firm's AI technology. China is Apple's

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Speaker 2: most important market after the US. It's the biggest market

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Speaker 2: in the world for smartphones, computing, and artificial intelligence.

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Speaker 3: We'll back here on the US. Nathan shares of Cisco

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Speaker 3: searching more than six percent, the country's largest seller of

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Speaker 3: networking gear, gave an up eat sales forecast for the

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Speaker 3: current quarter. Cisco was held by companies spending more on

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Speaker 3: infrastructure to take advantage of AI technology.

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Speaker 2: On the flip side, care and shares of Reddit are

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Speaker 2: down fourteen and a half percent. User growth at the

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Speaker 2: social netw working platform missed Wall Street estimates for the

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Speaker 2: fourth quarter. Reddit's blaming a change in Google's algorithm that

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Speaker 2: impacted search traffic. Now, despite this morning's law says Reddit

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Speaker 2: stock has increased more than sixfold since it went public

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Speaker 2: last March.

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Speaker 3: And finally, Nathan's officially over. Honda and Nissan have formally

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Speaker 3: ended negotiations to combine. It brings a swift end to

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Speaker 3: a partnership that would have created one of the world's

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Speaker 3: biggest automakers. Still, both companies say they will continue their

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Speaker 3: strategic partnership with Mitsubishi and collaborate on in house development

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Speaker 3: of batteries, autonomous driving software and electric vehicle technology. Time

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Speaker 3: now for a look at some of the other stories

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Speaker 3: making news in New York and around the world, and

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Speaker 3: for that we're joined by Bloomberg's Michael Barr.

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Speaker 10: Michael, Good morning, Good morning, Karen. The Trump administration is

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Speaker 10: suing New York over a twenty nineteen law that allows

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Speaker 10: undocumented immigrants to obtain state identification while shielding their data

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Speaker 10: from federal authorities. The lawsuit seeks to overturn the green

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Speaker 10: light law that prohibit police officers during traffic stops to

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Speaker 10: ask for immigration status. Attorney General Pam Bondi.

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Speaker 11: New York has chosen to prioritize illegal aliens over American citizens.

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Speaker 5: It stops, It stops today.

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Speaker 10: New York Governor Kathy Hokul and Attorney General Letitia James

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Speaker 10: have responded, defending the law and accusing the Trump administration

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Speaker 10: of seeking to access New Yorker's data without a judicial warrant.

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Speaker 10: New York Mayor Eric Adams is facing pushback over a

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Speaker 10: planned visit today with Trump Borderzar Tom Homan. City and

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Speaker 10: union leaders are accusing the mayor of selling out to

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Speaker 10: get his corruption case dismissed by Trump's Justice Department. A

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Speaker 10: recent directive from the mayor instructs municipal employees to allow

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Speaker 10: ice agents into city buildings if they fear for their safety.

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Speaker 10: Mayor Adams, during a city event, is standing by his work.

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Speaker 12: Look at what I have done, how I have recovered

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Speaker 12: the city, how we have for the safety of everyone

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Speaker 12: in our care. There's nothing going to change with that.

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Speaker 12: There's a level of consistency that we have accomplished.

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Speaker 11: Are we going to continue to do that?

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Speaker 10: Meanwhile, Mayor Adams is reportedly exploring the idea of possibly

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Speaker 10: running in the spring Republican primary. The New York Times reports,

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Speaker 10: according to a GOP official, Adams, a Democrat, has privately

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Speaker 10: weighed for weeks whether to change is party affiliation or

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Speaker 10: seek a waiver to run in both the Democratic and

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Speaker 10: Republican primaries. In Washington, d C, parents, educators, community leaders,

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Speaker 10: and elected officials gathered on the Capitol grounds to protest

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Speaker 10: Department of Education cuts proposed by President Trump. They also

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Speaker 10: protested student civil rights protections that have been curtailed or

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Speaker 10: eliminated by Trump's executive orders. Global News twenty four hours

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Speaker 10: a day and whenever you want it with the Bloomberg News. Now,

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Speaker 10: I'm Michael Barn.

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Speaker 3: This is Karen, Sorry Nuncle Barn.

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Speaker 13: Thank you.

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Speaker 3: Time now for the Bloombergy sportes ut Day, brought to

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Speaker 3: you by Try straight Out EA. Here's John Stashauer. John,

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Speaker 3: Good morning, Good morning, Karen Nixon.

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Speaker 8: Hawks at the Garden, last game before the All Star

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Speaker 8: very high scoring affair that went to overtime and saw

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Speaker 8: Atlanta have a late lead.

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Speaker 11: Hawks lead by one twenty second Formado.

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Speaker 5: The shot clock is all.

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Speaker 11: Luck shit defended by Daniels lunch Shitty puts it up.

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Speaker 11: What forty nine los forty eight we e eleven second

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Speaker 11: Svader that.

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Speaker 8: Was the final MSG had the colla. Jalen Bruns in

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Speaker 8: the last of his thirty six points. Karl Anthony Towns

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Speaker 8: the night after scoring forty in the win at Indiana,

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Speaker 8: scored forty four. He made seven of ten three pointers

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Speaker 8: twenty six points for Precious at two and nets. Also

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Speaker 8: at homebye Philadelphia one hundred and ninety six. That's have

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Speaker 8: won three straight six and seven. Only loss was last

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Speaker 8: week Washington, the worst team in the league. In Boston,

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Speaker 8: Celtics fete the Spurs. Jason Tatum scored thirty two. He

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Speaker 8: has scored over one hundred points over his last three games.

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Speaker 8: Saint John's a top the Big East, but the Red

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Speaker 8: Storm's ten game winning streat came to an end. Villanova's

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Speaker 8: Tyler Perkins a three to four with eight seconds left.

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Speaker 8: The Wildcats won seventy three seventy one duke twenty seven

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Speaker 8: from star freshman Cooper Flag and easy win over cal

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Speaker 8: Quia start to the Four Nation Faceoff, the round robin

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Speaker 8: event that has replaced the NHL All Star Game. In Montreal,

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Speaker 8: and Nathan McKinnon scored in the opening minute. Canada led

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Speaker 8: three to one. Third period, Sweden rallied the tie. Toronto's

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Speaker 8: Mitch Marner scored six minutes into overtime. Canada won four

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Speaker 8: to three. Sidney Crosby assisted on the game winner, was

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Speaker 8: his third assist of the night. Also in Montreal, tonight,

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Speaker 8: it's the US against Finland. It took until the start

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Speaker 8: of spring training, but free agent infielder Alex Bregman has

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Speaker 8: a deal. After nine years playing third base for Houston,

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Speaker 8: Reregman is going to the Red Socks, where they already

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Speaker 8: have an All Star third baseman, Rafield Devers. The plan

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Speaker 8: is for Bregman to play second. He agreed to three years,

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Speaker 8: one hundred and twenty million, John Stasheward, Bloomberg Sports, Karen Nathan.

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Speaker 7: Coast to coast on Bloomberg Radio, nationwide on Sirius XM, and.

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Speaker 8: Around the world on Bloomberg dot Com and the Bloomberg

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Speaker 8: Business app.

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Speaker 5: This is Bloomberg Daybreak.

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Speaker 10: Good morning. I'm Nathan Hager.

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Speaker 2: President Donald Trump is reversing three years of US policy

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Speaker 2: on the war in Ukraine in a phone call with

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Speaker 2: Russian President Vladimir Putin. President says he has agreed to

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Speaker 2: begin negotiating an end to the war with Russia's leader,

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Speaker 2: and it's left European allies reeling, but Trump says it'll

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Speaker 2: all work out.

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Speaker 4: I think we're on the way to getting peace. I

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Speaker 4: think President Putin wants peace and President Zelenski wants peace.

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Speaker 2: And that was the President speaking from the Oval Office.

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Speaker 2: Let's bring in Bloomberg News Senior editor Bill Ferries for

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Speaker 2: war on this. Of course, Bill, there had been speculation

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Speaker 2: almost from the time President Trump was inaugurated that there

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Speaker 2: may be some kind of call between himself and the

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Speaker 2: Russian president. Now it seems to be unfolding in a

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Speaker 2: way that is really worrying European allies.

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Speaker 13: Now good morning, Good morning, Nathan. Yeah, that's exactly right.

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Speaker 13: President Trump announcing that he had this call that wasn't

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Speaker 13: scheduled in advanced publicly at least, that he had this

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Speaker 13: call with Vladimir Putin.

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Speaker 5: He announced it on social media.

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Speaker 13: Of course, there's a lot of European leaders and defense

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Speaker 13: officials gathered in Munich for a security conference. They were

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Speaker 13: all taken very much by surprise. In the past, in

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Speaker 13: these kind of situations, a US president would often reach

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Speaker 13: out to the allies to talk to.

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Speaker 5: Them, consult with them ahead of a call like that.

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Speaker 13: But President Trump coming out and saying that he and

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Speaker 13: Vladimir Putin agreed to begin peace talks over the conflict

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Speaker 13: in Ukraine. He's assigned a team that includes Secretary of

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Speaker 13: State Marco Rubio and Director of the CIA John Ratcliffe

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Speaker 13: to begin some of those talks. And then he said

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Speaker 13: that he would be calling Ukrainian President Baltimore Zelenski to

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Speaker 13: inform him of the call, so letting the world know,

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Speaker 13: and then calling Zelenski to talk to him about the

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Speaker 13: substance of the conversation. So very a big change from

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Speaker 13: previous administration and from the European policy of no talks

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Speaker 13: about Ukraine without Ukraine.

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Speaker 5: So we'll see where this goes.

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Speaker 13: But Europe definitely reeling from this latest move by the

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Speaker 13: Trump administration.

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Speaker 2: And to that point, Bill, from the comments that we've

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Speaker 2: heard from Defense Secretary Pete Hegseth about Ukraine's aspiration to

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Speaker 2: join NATO being unrealistic and the pre twenty fourteen borders

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Speaker 2: not being realistic as well, it seems like the beginning

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Speaker 2: of the negotiating position for Ukraine is pretty difficult.

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Speaker 5: Yeah, exactly.

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Speaker 13: I think that's been the criticism of this very public approach,

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Speaker 13: with Defense Secretary Hegseth saying Ukraine's members in NATO's not

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Speaker 13: a realistic goal, and then as you mentioned, saying that

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Speaker 13: basically going back to a pre twenty fourteen world, which

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Speaker 13: is when Russian troops invaded and took over Ukrainian Crimea,

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Speaker 13: saying that that's really not going to be probably part

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Speaker 13: of it, so immediately suggesting that Russia will probably get

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Speaker 13: to hold on to quite a bit of territory. So

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Speaker 13: I think a lot of people are seeing that is

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Speaker 13: perhaps undercutting Ukraine's position. Ukraine does have a swath or

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Speaker 13: a small piece of Russia as well, so there's a

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Speaker 13: potential talk about trading territory for territory, but it's definitely,

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Speaker 13: you know, it's perhaps not surprising, a very different approach

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Speaker 13: from what we've seen the last three years from the US.

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Speaker 2: And obviously we're seeing a very different approach when it

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Speaker 2: comes to the federal government. Back in Washington, the President

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Speaker 2: determined to shrink the size of the federal workforce. It

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Speaker 2: seems like this buyout has fallen short of the White

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Speaker 2: House goals in our last minute bill. What does that

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Speaker 2: mean potentially for federal employees who didn't take the deferred

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Speaker 2: resignation offer.

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Speaker 5: Well, leaves them in a lot of uncertainty.

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Speaker 13: It looks like about seventy five thousand federal employees did

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Speaker 13: opt in for this voluntary resignation program to get paid

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Speaker 13: through September. That is perhaps about three percent of the

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Speaker 13: civilian federal workforce. The White House wanted something more like

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Speaker 13: five to ten percent. There are reports out there in

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Speaker 13: Washington Post New York Times about some agencies like GSA

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Speaker 13: already starting to notify some workers of layoffs. We'll have

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Speaker 13: to see how far they're able to go. There's certainly

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Speaker 13: going to be a lot of lawsuits and questions about

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Speaker 13: the legality of this going forward.

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Speaker 3: Moscow and.

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