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Speaker 1: Bloomberg Audio Studios, Podcasts, radio news.

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Speaker 2: Good morning, I'm John Tucker and I'm Karen Moscow. Here

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Speaker 2: are the stories we're following today.

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Speaker 3: And Karen, futures are getting a lift on this last

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Speaker 3: trading day, the holiday shortened week. On optimism over trade talks,

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Speaker 3: President Trump's negotiators made quote big progress in a meeting

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Speaker 3: with Japanese officials. We're seeking to avoid higher levies that

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Speaker 3: he's threatened against US trading partners. Let's get more from Bloomberg.

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Speaker 3: Tokyo Bureau a chief Isabelle Reynolds.

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Speaker 4: Japan's negotiator. Akazawa has been the focus of global attention

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Speaker 4: really because he's been first in the line to try

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Speaker 4: and get a reprieve from these global tariffs. He was

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Speaker 4: preparing for talks with the Commerce Secretary and the Treasury

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Speaker 4: Secretary while he was on his way to Washington. Suddenly

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Speaker 4: Trump announces, oh, I'm going to be part of these negotiations.

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Speaker 4: So that must have been rather a shock for him.

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Speaker 4: It's rather unclear what actually happened in the end. About

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Speaker 4: what seems to have happened, in fact, is that Akazawa

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Speaker 4: went to the White House and had brief talks with

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Speaker 4: Trump ahead of the actual negotiations.

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Speaker 3: Bloomberg'szi Isabelle Reynolds says the talks did not result in

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Speaker 3: an immediate halt on the terrace, but preparations are underway

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Speaker 3: for a second round of talks to take place later

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Speaker 3: this month.

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Speaker 2: Well John Chinese President Xijin Pang is making a diplomatic

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Speaker 2: push to counter US pressure on nations to limit trade

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Speaker 2: ties with Beijing. He is wrapping up a three nation

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Speaker 2: tour of Southeast Asia, and she promoted the idea of

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Speaker 2: a quote Asian family and called for regional unity.

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Speaker 3: And Goldman Sachs as US investors could be forced to

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Speaker 3: offload up to eight hundred billion dollars in Chinese docks

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Speaker 3: in a worst case financial decoupling with China. In the

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Speaker 3: same scenario, Chinese investors might need to up unload their

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Speaker 3: US financial assets, which could amount to one point seven trillion.

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Speaker 3: And Carlisle Group CEO Harvey Schwartz says that global economic

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Speaker 3: growth relies on the two countries finding a work together.

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Speaker 5: I don't think it's a good outcome if the number

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Speaker 5: one and two largest economies in the world haven't found

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Speaker 5: an equilibrium around cooperation. It's really critical for the global

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Speaker 5: economy and for trade that we and China find a

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Speaker 5: place of cooperation and equilibrium. And I think the faster

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Speaker 5: that can happen, the better it is for all business

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Speaker 5: activity globally, especially in the United States.

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Speaker 3: Carlota Groups CEO Schwartz was speaking to Shinali Bask for

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Speaker 3: Bloomberg Original's upcoming series Bullish.

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Speaker 2: Well, John, we turned to the markets now, and futures

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Speaker 2: are higher. Following yesterday's sell off on Wall Street, the

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Speaker 2: S and P five hundred drop two and a quarter

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Speaker 2: percent of the Nasdaq fell three percent after ved share j.

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Speaker 2: Powell said trade tensions risk undermining the Fed's employment and

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Speaker 2: inflation goals. Powell spoke at the Economic Club of Chicago.

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Speaker 6: The level of tariff increases announced so far is significantly

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Speaker 6: larger than anticipated, and the same is likely to be

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Speaker 6: true of the economic effects, which will include higher inflation

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Speaker 6: and slower growth.

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Speaker 2: Powser marks are in live here on Bloomberg, reinforce a

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Speaker 2: message he has repeatedly emphasized. FED officials are in no

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Speaker 2: hurry to change the Central Bank's benchmark policy rate. The

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Speaker 2: Fed next to Side's on May seventh.

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Speaker 3: In Monetary policy, also and focus this morning overseas, the

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Speaker 3: European Central Banks center making an interust rate decision. Now,

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Speaker 3: let's get the very latest from Bloomberg to you on

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Speaker 3: parts in London.

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Speaker 7: You won good morning, John and Karen.

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Speaker 8: While the Fed may be in no hurry to change rates,

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Speaker 8: that is exactly what we're expecting today from Frankfurt. Sixty

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Speaker 8: one of sixty two economists in Bloomberg's survey reckon the

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Speaker 8: European Central Bank will cut rates at their lunchtime meeting.

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Speaker 8: That will take the deposit rate from two and a

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Speaker 8: half to two and a quarter percent. The threat of

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Speaker 8: swinging tarists from the United States putting pay to any

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Speaker 8: talk of a pause at this meeting, and investors expect

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Speaker 8: at least two more rate cuts later this year. But

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Speaker 8: you won't be surprised to hear there is a lot

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Speaker 8: of uncertainty around the outlook in London.

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Speaker 7: I'm YOUU and pots Bloomberg Radio.

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Speaker 2: Are you and thank you?

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Speaker 4: Well.

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Speaker 2: Back here in the USh, the government's anti trust trial

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Speaker 2: taking a breakoup Meta Platforms continues today. Now, some may

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Speaker 2: think about a Platforms as a giant conglomerate, but according

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Speaker 2: to Mark Zuckerberg, the company is fighting for its survival

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Speaker 2: begin more with Bloomberg's Denise Pelle Greeney and.

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Speaker 9: A marathon three days of testimony in the Federal Trade

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Speaker 9: Commission's trial to break up Meta, the CEO of the

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Speaker 9: company that owns Facebook, Insta, WhatsApp, and Threads, testified Facebook

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Speaker 9: is fighting for its existence even when it's ahead. The

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Speaker 9: FTC wants to force Meta to sell off Insta and WhatsApp,

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Speaker 9: citing emails and documents that suggest Meta bought the companies

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Speaker 9: to eliminate competitive threads. But Zuckerberg and Meta's lawyers say

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Speaker 9: staying alive in the fast moving world of social media

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Speaker 9: requires staying nimble, and they also say the acquisitions didn't

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Speaker 9: harm competition. The outcome of the trial is uncertain. Denise

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Speaker 9: Pellogrity Bloomberg Radio.

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Speaker 3: Thanks Denise and shares of Hurtz. They are driving higher

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Speaker 3: this morning. In fact, they're storing twenty five percent. CNBC

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Speaker 3: is reporting Bill ac Coman's Pershing Square Capital Management has

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Speaker 3: a massed position of almost twenty percent of the car

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Speaker 3: rental Company.

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Speaker 2: And finally, John Harvard University's refusal to comply with a

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Speaker 2: Trump administration deal to require it to reform its governance

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Speaker 2: and and diversity programs is resulting in retribution the administration's

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Speaker 2: freezing funding of two point two billion dollars of multi

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Speaker 2: year grants. Accusing Harvard of mishandling antisemitism on campus, President

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Speaker 2: Trump said this school should lose its tax exempt status,

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Speaker 2: and several outlets reported that the IRS is considering the issue.

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Speaker 2: But Larry Summers, former US Treasury Secretary and former president

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Speaker 2: at Harvard, tells Bloomberg the university needed to push back

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Speaker 2: on the administration's requests.

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Speaker 10: Harvard should not go interjecting itself into politics, but god,

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Speaker 10: when it is the object of an extra legal set

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Speaker 10: of orders and threats, I don't think it had any

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Speaker 10: viable choice at all but to respond us strongly.

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Speaker 2: And Former US Treasury Secretary Larry Summers also told Bloomberg

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Speaker 2: that President Trump's actions toward Harvard are part of an

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Speaker 2: effort to suppress institutions that challenge his administration. You can

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Speaker 2: catch David Weston's full conversation with Summers on the Bloomberg

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Speaker 2: podcast page on YouTube. Time now for a look at

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Speaker 2: some of the other stories making news in New York

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Speaker 2: and around the world, and for that we're joined by

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Speaker 2: Bloomberg's Michael Barr Michael, Good Morning.

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Speaker 11: Good morning, Karen. Federal John said there is probable cause

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Speaker 11: to hold Trump administration officials in criminal contempt of court

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Speaker 11: for sending accused Venezuelan gang members to an El Salvador

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Speaker 11: prison last month. Despite his order to immediately halt the deportations.

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Speaker 11: US District Judge James Bosberg issued in orders saying that

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Speaker 11: officials acted in willful disregard. The administration plans to appeal

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Speaker 11: the ruling. Maryland Senator Chris van Holland has flown to L.

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Speaker 11: Salvador to find out more about Kilmar Abrego Garcia's detention.

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Speaker 11: The Maryland man was being detained in the notorious L.

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Speaker 11: Salvador prison after he was deported last month. A federal

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Speaker 11: judge found of Brego Garcia's detention unlawful and ordered the

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Speaker 11: administration to facilitate his return to the US. Van Hollins

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Speaker 11: says he had met with US embassy personnel and Salvadoran officials.

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Speaker 12: This is simply about letting him have his day in court.

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Speaker 12: We used the courts to make sure that we don't

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Speaker 12: convict people who are not guilty, and that we convict

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Speaker 12: those who are.

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Speaker 11: Meanwhile, the Trump administration wants a US appeals court to

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Speaker 11: block a judge's directive that government officials be questioned about

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Speaker 11: their failure to seek the return of Abrego Garcia. Attorney

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Speaker 11: General Pam Bondi.

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Speaker 1: He is not coming back to our country. President Buquelea

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Speaker 1: said he was not sending him back.

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Speaker 13: That's the end of the story.

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Speaker 11: Ag Bondi says the administration believes a Brego Garcia was

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Speaker 11: a member of MS thirteen, an allegation his family denies.

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Speaker 11: Ten New York prison guards have been charge in connection

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Speaker 11: with the fatal beating of a twenty two year old

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Speaker 11: prison inmate, including two charged with murder. Prisoner messiaht Natwee

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Speaker 11: at the Mid State Correctional Facility was sent to a

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Speaker 11: hospital where he died on March first, on a Daga

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Speaker 11: County District Attorney William Fitzpatrick.

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Speaker 14: The first count charges two individuals corrections officers Jonah Levy

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Speaker 14: and Caleb Blair, with depraved mind murder. Not an intentional murder,

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Speaker 14: but a murder so depraved and so wanton and disregarding

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Speaker 14: of human life that New York law allow us allows

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Speaker 14: it to rise to the level of intentional murder.

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Speaker 11: DA Fitzpatrick says other guards are accused of trying to

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Speaker 11: cover it up. Global news twenty four hours a day

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Speaker 11: and whenever you want it with Bloomberg News Now.

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Speaker 13: I'm Michael Barn. This is Bloomberg Karen.

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Speaker 2: All right, Michael Barr, thank you time now for the

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Speaker 2: Bloomberg Sports Update. Here's John Stanshawer, John, good morning, want

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Speaker 2: to care in.

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Speaker 13: All good for the Yankees.

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Speaker 15: They got Clark Schmidt back in the rotation, pitched well

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Speaker 15: in his season debut. They got a seventh inning, go

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Speaker 15: ahead home run from Aaron Judges first homer in eleven games,

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Speaker 15: and a game saving diving catch and right field from

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Speaker 15: Clave Bellinger for the final out of a four to

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Speaker 15: three win over Kansas City. They sweeped the series. Play

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Speaker 15: tonight at Tampa Bay, too feel very much like a

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Speaker 15: Yankee home game. The Ray's home stadium is where the

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Speaker 15: Yankees play their spring training games. The Mets in Minnesota

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Speaker 15: helped scoreless for seven innings. They tied the game with

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Speaker 15: three in the eighth, but lost to the Twins four

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Speaker 15: to three, and ten Red Sox won one nothing the

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Speaker 15: Tampa Bay. David Hamilton's homer the only run Nationals lost

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Speaker 15: in Pittsburgh sixty to one. The Orioles won nine to

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Speaker 15: one over Cleveland. Jackson Holiday at a Grand Slam in

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Speaker 15: Toronto's three to one went over Atlanta. The Blue Jay

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Speaker 15: set a club record five pitchers had nineteen strikeouts.

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Speaker 13: The Brazman now five and thirteen.

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Speaker 15: NBA play in two wins with the road teams Miami

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Speaker 15: in Chicago. Tyler Hero scored thirty eight Dallas in Sacramento

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Speaker 15: as the MAVs won the second quarter by twenty five.

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Speaker 15: The Heat and the MAVs play tomorrow in Atlanta and

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Speaker 15: in Memphis to see who gets the last playoff spots.

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Speaker 15: Then Saturday it's the Nixon Pistons Game one at the Garden.

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Speaker 15: Detroit won only fourteen games last season, forty four wins

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Speaker 15: this year.

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Speaker 13: The Knicks coach is Tom Dibbodell.

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Speaker 16: They've had a great season. I think, you know, Jab's

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Speaker 16: done a great job there that they added the I

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Speaker 16: think really good veterans to compliment you know, the young

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Speaker 16: players that they have in a lot of their guys

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Speaker 16: that made big steps. You look at the development of

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Speaker 16: Duran and you know Stewart and you know obviously obviously

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Speaker 16: one is Cunningham.

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Speaker 15: Yeah, all Kid Cunningham did this season is an average

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Speaker 15: twenty six points, six rebounds, and nine assists per game.

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Speaker 15: Last Stanley Cup Loundspot goes to Montreal this after the

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Speaker 15: Canadians went only eight of their first twenty four games.

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Speaker 13: John Stashanwler Bloomberg Sports Karen John.

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Speaker 1: Coast to Coast on Bloomberg Radio, nationwide on Sirius XM,

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Speaker 1: and around the world on Bloomberg dot Com and the

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Speaker 1: Bloomberg Business Appum, this is Bloomberg Day Break.

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Speaker 3: Hey, that brings this to five twelve. On Wall Street,

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Speaker 3: the markets they continue to be whips on by trade uncertainty,

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Speaker 3: and let's try to get a handle on where things

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Speaker 3: stand right now with Bloomberg Senior editor Bill Ferry's joining

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Speaker 3: us this morning. Bill, thanks for being with us. Wall

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Speaker 3: Street seems to be grasping at some positive signs in

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Speaker 3: the trade talks between the US and Japan. Let me

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Speaker 3: put the question out there, is that hope well placed

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Speaker 3: this morning?

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Speaker 12: Yeah?

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Speaker 7: I think the jury is out on that.

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Speaker 17: President Trump going online yesterday to say that, you know,

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Speaker 17: big progress, big progress had been made in the trade

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Speaker 17: talks with the Japanese team, and definitely this Japanese delegation

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Speaker 17: is being seen as a test case by dozens of

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Speaker 17: countries that are hoping to see just what it will

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Speaker 17: take to strike a deal with the Trump administration. But

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Speaker 17: I got to point out it was a very relatively

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Speaker 17: short meeting for a trade negotiation. The top Japanese to

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Speaker 17: go met with Trump for about fifty minutes, and then

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Speaker 17: he met with officials from Treasury in Commerce for just

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Speaker 17: over an hour, about an hour and fifteen minutes. So

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Speaker 17: usually trade deals are really detailed back and forth negotiations

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Speaker 17: that take hundreds of hours and weeks. So they have

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Speaker 17: scheduled a second round of meetings later in this month.

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Speaker 17: But that ninety day clock that President Trump put on

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Speaker 17: reaching deals with other countries is already ticking.

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Speaker 3: And to be sure, the levies remain in place for

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Speaker 3: Japan at this juncture.

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Speaker 7: That's right. What Japan is wanting to do.

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Speaker 17: They want to see the full twenty four percent tariffs,

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Speaker 17: the reciprocal so called reciprocal tariffs wiped away. They'd like

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Speaker 17: to see that ten percent kind of baseline tariff also gone.

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Speaker 17: And those are the kind of things I think investors

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Speaker 17: and the markets are going to really be looking at

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Speaker 17: when they finally if they finally come to a deal,

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Speaker 17: they're going to see is it possible? Well, how far

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Speaker 17: back can you roll these tariffs? How far is President

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Speaker 17: Trump willing to go?

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Speaker 3: That's Japan or talks with other countries right now going on?

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Speaker 17: Well, the administration says that there are talks maybe at

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Speaker 17: lower levels taking place. We know South Korea is preparing

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Speaker 17: to send a delegation. We've heard Scott Bessett talking about

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Speaker 17: countries like Argentina and even India being near the near.

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Speaker 7: The front of the queue.

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Speaker 17: But in terms of the substantive talks, President Trump said

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Speaker 17: he wants to sign off on all these deals he

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Speaker 17: popped into this meeting with the Japanese. For him to

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Speaker 17: do so with all these other countries is definitely going

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Speaker 17: to take a lot of time.

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Speaker 13: Okay.

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Speaker 3: At the same time, fedch Heir Howell doesn't sound like

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Speaker 3: he's going to ride to the rescue as the trade

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Speaker 3: work continues. What's happening on that front.

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Speaker 17: Well, he's definitely signaling kind of a wait and see

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Speaker 17: approach here so far. Even though I think the markets

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Speaker 17: have been pricing in between three and four rate cuts

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Speaker 17: this year, he said that, you know, the FED needs

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Speaker 17: to see price stability before they really make a move

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Speaker 17: that he wants to make sure that inflation, the bump

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Speaker 17: up and inflation expected from tariffs, doesn't become a longer

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Speaker 17: term problem. Remember the FED got burned during the pandemic

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Speaker 17: when they said that the inflation was temporary or it

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Speaker 17: was in a transition, transitory. After the pandemic was winding down,

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Speaker 17: it wasn't transitory. It climbed higher. It became a political problem,

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Speaker 17: became an economic problem. They don't want that to happen again.

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Speaker 17: So they're really more in a wait and see mode.

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Speaker 3: It's hard to dealing trade in foreign relations. The Chinese

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Speaker 3: president Hujinping, he's not a three nation Southeast Asia tour,

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Speaker 3: and the message there seems to be you can't rely

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Speaker 3: on the US, but you can rely on us.

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Speaker 7: Yeah.

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Speaker 17: So Shei Jinping in Cambodia today. He's already visited Malaysia

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Speaker 17: and Vietnam. Those are countries that also have a good

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Speaker 17: trading relationships with the US and va Nom in particular

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Speaker 17: has become a place where supply chains have been re

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Speaker 17: routing as companies tried to move out of China. Now

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Speaker 17: a lot of those countries are starting to have a

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Speaker 17: second look at China, seeing it as perhaps a more

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Speaker 17: stable economic partner to have, and they're also worried about

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Speaker 17: these same reciprocal tariffs and some of the other trade

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Speaker 17: issues that the US is bringing up.

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Speaker 7: So it'll be very interesting to see where that develops.

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