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Speaker 1: News when you want it with Bloomberg News now, I'm

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Speaker 1: Doug Prisner. The trade war between the US and China

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Speaker 1: is said to become more intense than just after midnight

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Speaker 1: Eastern Time. That's when new tariffs will take effect on

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Speaker 1: many Chinese goods at a rate of one hundred and

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Speaker 1: four percent. Now, President Trump is pushing forward after China

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Speaker 1: set it. We'll fight to the end if the US

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Speaker 1: insist on new tariffs. Tonight in Washington, Trump touted his tariffs.

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Speaker 2: We're making a fortune with tariffs, two billion dollars a day.

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Speaker 2: Do you believe it? I was spelled two billion dollars

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Speaker 2: a day. You know, I got hit by the press

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Speaker 2: about tariffs. We're making two billion billion. This is in

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Speaker 2: thirty five million. That's peanuts, two billion dollars a day.

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Speaker 2: And then they say gee that or no, you know,

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Speaker 2: this is only the enemy can be talking this way.

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Speaker 2: In addition, we have a lot of countries coming to

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Speaker 2: see as they want to make a deal.

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Speaker 1: Trump also said countries are sending trade delegations to Washington

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Speaker 1: to negotiate on trade deals, and he said the prospect

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Speaker 1: of a deal with South Korea was looking good. After

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Speaker 1: a phone conversation with Acting President Handuk Su. By the way,

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Speaker 1: the White House said nearly seventy other countries have reached

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Speaker 1: out to strike deals. The stock market declined today and

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Speaker 1: the S and P five hundred narrowly missed falling into

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Speaker 1: a bear market. The standoff between the US and China

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Speaker 1: produced a lot more volatility and in the end more selling.

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Speaker 1: We had the S and P dropping one point six

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Speaker 1: percent today, breaking below five thousand. Mark Stephan is global

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Speaker 1: alternative investment strategist at the Wells Fargo Investment Institute.

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Speaker 3: Uncertainty it just continues. But despite just the volatility that

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Speaker 3: we see in market today, we're telling clients and investors

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Speaker 3: to just remain discipline, remain patient, you know, try to

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Speaker 3: rebalance to their target allocations during these periods of times,

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Speaker 3: you know, ensure that you know they're adequately diversified across

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Speaker 3: different asset classes, and just to kind of remain focused on.

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Speaker 1: The long term. Mark Stephan there from the Wells Fargo

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Speaker 1: Investment Institute. Meantime, the head of the San Francisco Fed,

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Speaker 1: Mary Daily, was saying today the Central Bank can take

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Speaker 1: its time before making any adjustments to interest rates, as

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Speaker 1: the Fed waits to see how trade policy changes play out.

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Speaker 1: Here's Daily speaking earlier at Bring Them Young University in Provo, Utah.

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Speaker 4: We've got policy in a very good place right now.

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Speaker 4: We cut the interest rate by one hundred basis points

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Speaker 4: last year. That puts policy at a good place to

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Speaker 4: stay modestly restrictive, keep inflation coming down, but not so

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Speaker 4: restrictive that the economy is vulnerable. So with growth good

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Speaker 4: and policy at a good place, you've built the time and

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Speaker 4: the ability to just be tread slowly and tread carefully.

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Speaker 1: Mary Daily there, she is the head of the San

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Speaker 1: Francisco FED. She went on to say the FED would

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Speaker 1: need to assess the combined impact of the administration's policies

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Speaker 1: on trade, taxes, and regulation in order to get a

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Speaker 1: clearer picture of the way forward for the American economy. Now.

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Speaker 1: Trump's tariffs have prompted a number of analysts to lower

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Speaker 1: estimates for economic growth this year, and at the same

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Speaker 1: time they have raised their projections for inflation. You might

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Speaker 1: recall last week Fedchair J Powell said the impact of

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Speaker 1: new tariffs is likely to be significantly larger than expected,

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Speaker 1: and he said the FED must make sure price increases

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Speaker 1: do not lead to an ongoing inflation problem. We go

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Speaker 1: to Texas next, where the state's Attorney General Ken Paxton

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Speaker 1: is now running to unseat Senator John Cornyan in next

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Speaker 1: year's Republican primary. Here is Paxton making the announcement earlier

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Speaker 1: on Fox News.

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Speaker 5: It's definitely timed for a change in Texas. We have

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Speaker 5: another great US Senator, Ted Cruz, and it's time we

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Speaker 5: have another great senator that will actually stand up and

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Speaker 5: fight for Republican values, fight for the values of the

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Speaker 5: people of Texas, and also support Trump Donald Trump in

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Speaker 5: the areas that he's focused on in a very significant way.

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Speaker 1: That was Texas Attorney General Ken Paxton speaking to Fox

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Speaker 1: News Now. Paxton previously said Cornan has not been supportive

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Speaker 1: of President Trump's policies, but the campaign said he's been

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Speaker 1: with Trump more than ninety five percent of the time.

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Speaker 1: Cornyn's campaign also accused Paxton of being a fraud. The

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Speaker 1: Trump administration has frozen federal grants to Northwestern University and

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Speaker 1: Cornell University. We are told the administration has paused one

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Speaker 1: point zero five billion dollars to Cornell and seven hundred

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Speaker 1: and ninety million dollars to Northwestern. Now, this follows similar

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Speaker 1: moves against Columbia, Harvard, and Princeton. The administration's actions are

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Speaker 1: part of a broader crackdown on colleges and universities, with

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Speaker 1: President Trump citing concerns over anti semitism and free speech.

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Speaker 1: And that is news when you want it with Bloomberg News. Now,

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Speaker 1: I'm Doug prisoner, and this is Bloomberg