1
00:00:02,480 --> 00:00:03,000
Speaker 1: Good morning.

2
00:00:03,080 --> 00:00:05,920
Speaker 2: I'm Nathan Hager and I'm Karen Moscow. Here are the

3
00:00:05,960 --> 00:00:07,440
Speaker 2: stories we're following today.

4
00:00:07,840 --> 00:00:11,560
Speaker 3: First, lawmakers in Washington may be inching closer to a

5
00:00:11,600 --> 00:00:14,000
Speaker 3: deal to help avoid a government shutdown at the end

6
00:00:14,040 --> 00:00:16,520
Speaker 3: of this week. We get the latest from Bloomberg's Amy

7
00:00:16,520 --> 00:00:17,840
Speaker 3: Morris in the nation's capital.

8
00:00:18,160 --> 00:00:21,680
Speaker 4: Sources tell Bloomberg the bipartisan Senate bill would extend funding

9
00:00:21,720 --> 00:00:24,520
Speaker 4: for four to six weeks, shorter than what Democrats wanted,

10
00:00:24,560 --> 00:00:27,200
Speaker 4: but could get it through the House. Once it passes

11
00:00:27,240 --> 00:00:29,600
Speaker 4: the Senate, it goes to the House, where Speaker Kevin

12
00:00:29,680 --> 00:00:32,200
Speaker 4: McCarthy will face a tough choice on whether to hold

13
00:00:32,240 --> 00:00:34,919
Speaker 4: a vote at all. So far, McCarthy has not been

14
00:00:34,960 --> 00:00:38,440
Speaker 4: able to muster enough Republican votes for a rival stopgap

15
00:00:38,479 --> 00:00:41,199
Speaker 4: measure that would cut spending by twenty seven percent and

16
00:00:41,280 --> 00:00:44,800
Speaker 4: change border policies. Now, if McCarthy does put this Senate

17
00:00:44,840 --> 00:00:47,760
Speaker 4: bill up for a vote, Conservatives have threatened to try

18
00:00:47,800 --> 00:00:50,880
Speaker 4: to oust him in Washington. I'm Amy Morris, Bloomberg Radio.

19
00:00:51,120 --> 00:00:53,639
Speaker 2: All right, Amy, thanks Will. In addition to negotiations over

20
00:00:53,680 --> 00:00:57,800
Speaker 2: a possible government shutdown, the autoworkers' strike is also making

21
00:00:57,880 --> 00:01:01,440
Speaker 2: headlines this morning. President by and is stepping further into

22
00:01:01,480 --> 00:01:04,560
Speaker 2: the dispute and a highly unusual move. And Bloomberg's Ed

23
00:01:04,600 --> 00:01:05,800
Speaker 2: Baxter has the story.

24
00:01:05,959 --> 00:01:08,840
Speaker 5: Biden travels to the Detroit area today to join workers

25
00:01:08,880 --> 00:01:12,000
Speaker 5: on the UAW picket line. White House Folks Women Karine

26
00:01:12,080 --> 00:01:13,160
Speaker 5: Jean Pierre he is.

27
00:01:13,160 --> 00:01:16,840
Speaker 6: The most pro union president in modern.

28
00:01:16,560 --> 00:01:18,600
Speaker 5: Times and says the message is clear.

29
00:01:18,720 --> 00:01:21,120
Speaker 2: This is the president that's made very clear that he

30
00:01:21,240 --> 00:01:25,240
Speaker 2: believes that corporate profits should lead to record UAWA record

31
00:01:25,319 --> 00:01:26,320
Speaker 2: UAW contract.

32
00:01:26,520 --> 00:01:29,400
Speaker 5: Now, Donald Trump visits Michigan on Wednesday as a two

33
00:01:29,440 --> 00:01:33,680
Speaker 5: battle for the blue collar vote. I'm Ed Baxter, Bloomberg Radio.

34
00:01:33,840 --> 00:01:37,400
Speaker 3: Okay, Ed, thank you. President Biden's decision to stand alongside

35
00:01:37,480 --> 00:01:39,679
Speaker 3: United Auto Workers on the twelfth day of their strike

36
00:01:39,760 --> 00:01:42,800
Speaker 3: appears to be historic. More on that from Bloomberg Auto

37
00:01:42,840 --> 00:01:44,040
Speaker 3: reporter Oliver Crook.

38
00:01:44,200 --> 00:01:46,400
Speaker 7: The question I think is does this help the union

39
00:01:46,520 --> 00:01:48,520
Speaker 7: workers more or does this help Biden more?

40
00:01:48,600 --> 00:01:48,680
Speaker 8: So?

41
00:01:48,800 --> 00:01:51,040
Speaker 7: This is the first time over one hundred years that

42
00:01:51,040 --> 00:01:53,640
Speaker 7: are sitting president hasn't done anything like this and really

43
00:01:53,640 --> 00:01:55,720
Speaker 7: breaking with a historical president. And it comes at a

44
00:01:55,720 --> 00:01:57,960
Speaker 7: time when the US are really showing the highest support

45
00:01:58,000 --> 00:02:01,240
Speaker 7: for unions in about twenty five years. So politically for Biden,

46
00:02:01,280 --> 00:02:04,760
Speaker 7: this is certainly an attractive thing. The risk for Biden

47
00:02:04,800 --> 00:02:07,000
Speaker 7: is that if this goes on longer and longer and

48
00:02:07,040 --> 00:02:09,360
Speaker 7: longer the economy starts to suffer, that this is going

49
00:02:09,400 --> 00:02:11,640
Speaker 7: to be used as ammunition against him.

50
00:02:11,520 --> 00:02:14,720
Speaker 3: Whom Bergato reporter Oliver Crook says the Biden administration has

51
00:02:14,760 --> 00:02:17,960
Speaker 3: no formal role in the negotiations between the UAW and

52
00:02:18,000 --> 00:02:18,760
Speaker 3: the automakers.

53
00:02:19,080 --> 00:02:21,680
Speaker 2: Well, turning to the markets now, Nathan, the CEOs of

54
00:02:21,720 --> 00:02:25,120
Speaker 2: two of Wall Street's biggest banks have been weighing in

55
00:02:25,200 --> 00:02:28,799
Speaker 2: on growth and rates. Goldman SAX boss David Sulomon said

56
00:02:28,840 --> 00:02:31,440
Speaker 2: he expects the FED to hike further and the economy

57
00:02:31,440 --> 00:02:35,200
Speaker 2: to cool. Here's what he told the American Energy Security Summit.

58
00:02:35,320 --> 00:02:37,280
Speaker 9: I think it's going to be hard to get inflation

59
00:02:37,400 --> 00:02:40,120
Speaker 9: back to the target, and that probably means if inflation

60
00:02:40,240 --> 00:02:43,600
Speaker 9: is sticky, we will see additional interest rate increases, and

61
00:02:43,760 --> 00:02:46,640
Speaker 9: ultimately that probably does lead to a little bit more

62
00:02:46,680 --> 00:02:49,680
Speaker 9: of a slowdown in the economy. Whether that's a recession

63
00:02:49,919 --> 00:02:52,000
Speaker 9: or it's just a slow down, you know, it's hard

64
00:02:52,000 --> 00:02:54,639
Speaker 9: to say, but it would be unprecedented to go through

65
00:02:54,639 --> 00:02:57,520
Speaker 9: this type of a tightening cycle and not see us

66
00:02:57,520 --> 00:02:59,720
Speaker 9: get to a little bit of slower economic growth and

67
00:02:59,760 --> 00:03:01,000
Speaker 9: what we're seen right now.

68
00:03:01,000 --> 00:03:03,880
Speaker 2: And the comments from solom Income as JP Morgan CEO

69
00:03:03,960 --> 00:03:06,880
Speaker 2: Jamie diamond says he's not sure if the world is

70
00:03:06,960 --> 00:03:10,560
Speaker 2: prepared for seven percent rates. Speaking to the Times of India,

71
00:03:10,639 --> 00:03:13,639
Speaker 2: Diamonds said that going to that level would be much

72
00:03:13,720 --> 00:03:16,160
Speaker 2: more painful than getting to five percent.

73
00:03:16,080 --> 00:03:19,360
Speaker 3: On top FED officials. Also speaking about interest rates, Karen

74
00:03:19,440 --> 00:03:23,320
Speaker 3: Minneapolis FED President Neil Kashkari says he expects the Central

75
00:03:23,320 --> 00:03:26,320
Speaker 3: Bank will need to raise rates one more time this year.

76
00:03:26,400 --> 00:03:29,920
Speaker 10: So the economy has continued to exceed expectations in its

77
00:03:30,000 --> 00:03:34,120
Speaker 10: underlying resilience. So if the economy is fundamentally much stronger

78
00:03:34,160 --> 00:03:36,720
Speaker 10: than we realized on a margin, that would tell me

79
00:03:36,920 --> 00:03:39,360
Speaker 10: rate probably have to go a little bit higher and

80
00:03:39,400 --> 00:03:42,520
Speaker 10: then be held higher for longer to cool things off.

81
00:03:42,760 --> 00:03:46,440
Speaker 3: Minneapolis Fed President Neil Kashkari made those comments yesterday at

82
00:03:46,440 --> 00:03:48,520
Speaker 3: the University of Pennsylvania's Wharton School.

83
00:03:48,880 --> 00:03:51,440
Speaker 2: Well turning to Asia and Nathan the troubled that Chinese

84
00:03:51,520 --> 00:03:55,320
Speaker 2: property developer Evergrand says its mainland unit has defaulted on

85
00:03:55,360 --> 00:03:58,000
Speaker 2: a five hundred and forty seven million dollars on shore

86
00:03:58,120 --> 00:04:01,040
Speaker 2: bond the default comes is reported to emerge that former

87
00:04:01,080 --> 00:04:05,040
Speaker 2: executives have been detained by Chinese authorities. Bloomberg's Leretti Chen

88
00:04:05,120 --> 00:04:06,320
Speaker 2: as more from Hong Kong.

89
00:04:06,520 --> 00:04:09,119
Speaker 8: The local media ties Sing, which is a reputable media

90
00:04:09,160 --> 00:04:12,200
Speaker 8: and mail in China, reported last night that the EXCFO

91
00:04:12,280 --> 00:04:16,520
Speaker 8: and CEO of Evergrand Group were detained by police. And

92
00:04:16,560 --> 00:04:18,680
Speaker 8: these are the people who used to be right hand

93
00:04:18,720 --> 00:04:21,599
Speaker 8: men of Qui ka Yin, the founder of Evergrant. So

94
00:04:21,720 --> 00:04:24,760
Speaker 8: this is quite significant in terms of the destiny of

95
00:04:24,880 --> 00:04:25,799
Speaker 8: this company.

96
00:04:26,120 --> 00:04:27,080
Speaker 1: You know, whether it's.

97
00:04:26,960 --> 00:04:30,520
Speaker 8: Going to finish all these unfinished projects while its chief

98
00:04:30,680 --> 00:04:32,120
Speaker 8: executives are detained.

99
00:04:32,360 --> 00:04:35,719
Speaker 2: Bloomberg's Loretta Chen says the detentions had another layer of

100
00:04:35,839 --> 00:04:38,640
Speaker 2: uncertainty to Evergrant's to debt restructuring plan.

101
00:04:38,920 --> 00:04:40,560
Speaker 3: We've got some legal news to get you caught up

102
00:04:40,560 --> 00:04:43,320
Speaker 3: on this morning. Karen, a top Apple executive, is set

103
00:04:43,320 --> 00:04:47,400
Speaker 3: to testify in Washington today at the Justice Department's antitrust

104
00:04:47,520 --> 00:04:51,839
Speaker 3: trial against Google. Eddie Q, Apple's services chief, plans to

105
00:04:51,839 --> 00:04:54,560
Speaker 3: defend the lucrative deal that made Google search Engine the

106
00:04:54,600 --> 00:04:57,960
Speaker 3: default option on the iPhone. Sources say Q plans to

107
00:04:57,960 --> 00:05:00,680
Speaker 3: say he's always believed Google makes the best search engine,

108
00:05:00,680 --> 00:05:02,920
Speaker 3: and that's why Apple uses it as the go to

109
00:05:03,000 --> 00:05:06,919
Speaker 3: option across its major devices. The government accuses Google of

110
00:05:07,000 --> 00:05:10,159
Speaker 3: using its dominance in search to hinder competition, and.

111
00:05:10,240 --> 00:05:13,520
Speaker 2: Nathan Bloomberg News has learned the Federal Communications Commission will

112
00:05:13,520 --> 00:05:17,320
Speaker 2: announce plans today to reinstate so called net neutrality rules

113
00:05:17,360 --> 00:05:22,160
Speaker 2: governing broadband providers. Rules barring broadband providers from unfairly interfering

114
00:05:22,200 --> 00:05:25,840
Speaker 2: with Internet traffic were gutted by the FCC under Republican

115
00:05:25,920 --> 00:05:29,320
Speaker 2: leadership during the Trump presidency. President Biden said he would

116
00:05:29,360 --> 00:05:32,680
Speaker 2: recommit the United States to the principles of an open Internet,

117
00:05:33,000 --> 00:05:39,280
Speaker 2: including net neutrality, and it's time now for a check

118
00:05:39,279 --> 00:05:41,440
Speaker 2: is some other stories makeing news around the world. For that,

119
00:05:41,440 --> 00:05:44,880
Speaker 2: we're joined by Bloomberg's Amy Morris. Amy, Good morning, Good.

120
00:05:44,600 --> 00:05:48,320
Speaker 4: Morning, Karen. President Biden calling on Congress to pass legislation

121
00:05:48,640 --> 00:05:51,000
Speaker 4: to fund the government and avoid a shut down by

122
00:05:51,080 --> 00:05:52,120
Speaker 4: the end of this week.

123
00:05:52,200 --> 00:05:55,680
Speaker 7: Funding the governments one of those basic fundamental response boers

124
00:05:55,720 --> 00:05:57,960
Speaker 7: for Congress and the Republic is in the House.

125
00:05:58,080 --> 00:06:00,800
Speaker 10: No start them on the job, just top collect.

126
00:06:01,200 --> 00:06:04,719
Speaker 4: Following a meeting with the President's Board of Advisors on HBCUs,

127
00:06:05,040 --> 00:06:07,880
Speaker 4: President Biden called on House Republicans to abide by the

128
00:06:07,880 --> 00:06:11,520
Speaker 4: bipartisan funding agreement that he negotiated with House Speaker Kevin

129
00:06:11,560 --> 00:06:14,800
Speaker 4: McCarthy back in May. House Republicans are preparing for a

130
00:06:14,880 --> 00:06:17,919
Speaker 4: hearing this week that would focus on President Biden and

131
00:06:18,000 --> 00:06:21,760
Speaker 4: legal questions about the involvement in his son Hunter's business affairs.

132
00:06:22,000 --> 00:06:24,320
Speaker 4: Bloomberg's Nancy Lyons has that story.

133
00:06:24,400 --> 00:06:27,800
Speaker 6: A spokesman for the House Oversight Committee says Thursday's hearing

134
00:06:27,880 --> 00:06:31,560
Speaker 6: will focus on quote the president's involvement in corruption and

135
00:06:31,600 --> 00:06:35,760
Speaker 6: abuse of public office end quote. Morning Consults Eli Yoakley

136
00:06:35,800 --> 00:06:38,839
Speaker 6: tells Bloomberg Sound On Democrats seem resigned to what they

137
00:06:38,880 --> 00:06:40,120
Speaker 6: call a political stunt.

138
00:06:40,279 --> 00:06:42,719
Speaker 7: A good number of Democrats think it's okay to open

139
00:06:42,839 --> 00:06:46,240
Speaker 7: this investigation. I think some of that might be just

140
00:06:46,440 --> 00:06:47,960
Speaker 7: do it to clear the air.

141
00:06:48,320 --> 00:06:51,479
Speaker 6: President Biden's team has tapped a bench of Democratic veterans

142
00:06:51,480 --> 00:06:54,880
Speaker 6: of Donald Trump's impeachments to expose what they say is

143
00:06:54,960 --> 00:06:59,960
Speaker 6: political disarray in the Republican Party in Washington. Nancy Lyons Bloomberg.

144
00:06:59,560 --> 00:07:02,280
Speaker 4: Radio Writers Guild of America leadership is set to vote

145
00:07:02,279 --> 00:07:05,440
Speaker 4: today on whether to approve a tentative deal to end

146
00:07:05,520 --> 00:07:08,960
Speaker 4: the writer's strike. Its negotiating committee reached the agreement with

147
00:07:09,000 --> 00:07:12,960
Speaker 4: Hollywood's Toop Studios over the weekend, suspending all picketing. If

148
00:07:13,000 --> 00:07:15,080
Speaker 4: the deal is agreed upon, it would then go to

149
00:07:15,120 --> 00:07:18,920
Speaker 4: the roughly eleven thousand WGA members for approval. The writers

150
00:07:18,960 --> 00:07:21,360
Speaker 4: walk out started more than one hundred and forty days ago,

151
00:07:21,720 --> 00:07:25,160
Speaker 4: bringing the film and TV industry to a halt. Louisiana

152
00:07:25,200 --> 00:07:28,600
Speaker 4: Governor John Bell Edwards is requesting a federal emergency declaration

153
00:07:28,760 --> 00:07:33,280
Speaker 4: from the Biden administration regarding as salt water intrusion at

154
00:07:33,280 --> 00:07:36,400
Speaker 4: the Lower Mississippi River. No officials are worried this would

155
00:07:36,400 --> 00:07:39,680
Speaker 4: impact the water supply in that region. The Army Corps

156
00:07:39,720 --> 00:07:42,360
Speaker 4: of Engineers is beginning work on a project this week

157
00:07:42,400 --> 00:07:45,200
Speaker 4: that they say will help, but they have to work quickly.

158
00:07:45,240 --> 00:07:47,840
Speaker 4: It is estimated that Gulf water could be making its

159
00:07:47,880 --> 00:07:51,400
Speaker 4: way into New Orleans water treatment plants by next month.

160
00:07:51,880 --> 00:07:54,280
Speaker 4: Global News twenty four hours a day, powered by more

161
00:07:54,320 --> 00:07:56,920
Speaker 4: than twenty seven hundred journalists and analysts in more than

162
00:07:56,960 --> 00:08:00,960
Speaker 4: one hundred twenty countries. I Mamy Morris Bloomberg, Karen.

163
00:08:00,960 --> 00:08:03,800
Speaker 2: Great Amy, thank you, and we bring you news throughout

164
00:08:03,800 --> 00:08:06,360
Speaker 2: the day here on Bloomberg radio. But now you can

165
00:08:06,360 --> 00:08:09,920
Speaker 2: get the latest news on demand whenever you want it.

166
00:08:09,960 --> 00:08:12,679
Speaker 2: Subscribe to Bloomberg News Now to get the latest headlines

167
00:08:12,720 --> 00:08:15,720
Speaker 2: at the click of a button. Get informed on your schedule.

168
00:08:15,760 --> 00:08:18,000
Speaker 2: You can listen and subscribe to Bloomberg News Now on

169
00:08:18,040 --> 00:08:21,680
Speaker 2: the Bloomberg Business app, Bloomberg dot Com plus apples, Spotify,

170
00:08:21,720 --> 00:08:24,920
Speaker 2: and anywhere else you get your podcasts. And it's time

171
00:08:25,000 --> 00:08:32,280
Speaker 2: now for the Bloomberg Sports Update, and for that we

172
00:08:32,320 --> 00:08:34,719
Speaker 2: bring in John stash Hour John Kem.

173
00:08:34,800 --> 00:08:38,000
Speaker 11: The Philadelphia Eagles began last season eight no ended up

174
00:08:38,000 --> 00:08:38,439
Speaker 11: playing in.

175
00:08:38,360 --> 00:08:39,080
Speaker 5: The Super Bowl.

176
00:08:39,120 --> 00:08:41,200
Speaker 11: They're off to a three and oh start this season.

177
00:08:41,320 --> 00:08:43,240
Speaker 11: Played Monday Night football at Tampa Bay.

178
00:08:43,400 --> 00:08:46,920
Speaker 12: Hurts of the Gun's time he steps up, he's looking

179
00:08:47,080 --> 00:08:50,440
Speaker 12: still looking, has time? Lets it go at it as

180
00:08:50,520 --> 00:08:57,720
Speaker 12: complete touchdown. I'll love kills you give Jaalen Hurts enough time,

181
00:08:58,280 --> 00:09:03,520
Speaker 12: Za Killa, Scott Open and Jalen two a thirty four yards.

182
00:09:03,160 --> 00:09:07,120
Speaker 11: Click WIP Radio in Philly the call. The Eagles beat

183
00:09:07,160 --> 00:09:10,640
Speaker 11: the Bucks twenty five to eleven. Hertz did have two interceptions,

184
00:09:10,640 --> 00:09:12,760
Speaker 11: but he had that touchdown pass plus a Seenie run

185
00:09:13,000 --> 00:09:16,800
Speaker 11: despite playing with flu like symptoms. The Bengals needed to

186
00:09:16,840 --> 00:09:18,600
Speaker 11: win they were zero and two, like they were last

187
00:09:18,679 --> 00:09:20,480
Speaker 11: year when they ended up in the ANC Championship game.

188
00:09:20,520 --> 00:09:22,880
Speaker 11: They avoid the zero to three start. They beat the

189
00:09:22,960 --> 00:09:27,680
Speaker 11: Rams in Cincinnati nineteen to sixteen. Injury news, Chargers receiver

190
00:09:27,880 --> 00:09:31,480
Speaker 11: Mike Williams out for the year, torn ACL Saints quarterback

191
00:09:31,559 --> 00:09:34,040
Speaker 11: Derek Carr week to week with a shoulder injury. They

192
00:09:34,080 --> 00:09:36,560
Speaker 11: have not ruled him out for playing this Sunday. The

193
00:09:36,679 --> 00:09:41,439
Speaker 11: Raiders quarterback Jimmy Garoppolo in concussion. Proto call Baseball Pennant

194
00:09:41,520 --> 00:09:43,520
Speaker 11: Race is a big win for the Astros five to

195
00:09:43,640 --> 00:09:46,839
Speaker 11: one at Seattle behind Justin Berlerander when eight in's allowed,

196
00:09:46,840 --> 00:09:47,920
Speaker 11: only three had struck out.

197
00:09:47,920 --> 00:09:48,160
Speaker 12: Eight.

198
00:09:48,640 --> 00:09:50,599
Speaker 11: Mariners are in that race for a wild card, but

199
00:09:50,679 --> 00:09:53,000
Speaker 11: they've lost four in a row. Texas right now looking

200
00:09:53,000 --> 00:09:55,360
Speaker 11: like the team that's gonna win the AL West. Six

201
00:09:55,400 --> 00:09:57,680
Speaker 11: straight win for the Rangers. They had four home runs

202
00:09:57,880 --> 00:10:00,480
Speaker 11: in a five to one victory over the U Angels.

203
00:10:00,559 --> 00:10:03,199
Speaker 11: John Stash I wear Bloomberg Sports.

204
00:10:04,840 --> 00:10:07,880
Speaker 13: From coast to coast, from New York to San Francisco,

205
00:10:08,200 --> 00:10:12,839
Speaker 13: Boston to Washington, DC, nationwide on Syrias Exam, the Bloomberg

206
00:10:12,880 --> 00:10:17,040
Speaker 13: Business app, and Bloomberg dot Com. This is Bloomberg Daybreak.

207
00:10:18,240 --> 00:10:20,680
Speaker 3: Good morning, I'm Nathan Hager with a couple of major

208
00:10:20,760 --> 00:10:24,280
Speaker 3: political stories to follow this morning. With just five days

209
00:10:24,360 --> 00:10:27,319
Speaker 3: till a possible government shut down, time is running out

210
00:10:27,360 --> 00:10:29,400
Speaker 3: for the House to cut a deal, but the Senate

211
00:10:29,920 --> 00:10:32,160
Speaker 3: may be making some progress of its own.

212
00:10:32,720 --> 00:10:33,080
Speaker 11: Meantime.

213
00:10:33,120 --> 00:10:36,040
Speaker 3: It is day twelve of the United Auto Workers' strike,

214
00:10:36,120 --> 00:10:39,439
Speaker 3: and today President Biden plans to make some history, becoming

215
00:10:39,480 --> 00:10:42,320
Speaker 3: apparently the first sitting president to join a picket line.

216
00:10:42,440 --> 00:10:44,080
Speaker 3: Let's get more on all these stories. We're joined now

217
00:10:44,120 --> 00:10:47,600
Speaker 3: by Bloomberg News Senior editor Bill Ferries. Bill, Good morning.

218
00:10:47,679 --> 00:10:50,400
Speaker 3: Let's start off with the possibility of a government shut

219
00:10:50,440 --> 00:10:52,839
Speaker 3: down here? What is going on in the Senate? We

220
00:10:52,920 --> 00:10:56,360
Speaker 3: focused so much on the infighting in the House. Is

221
00:10:56,400 --> 00:10:58,480
Speaker 3: their progress to report though? On the other side of

222
00:10:58,520 --> 00:10:59,120
Speaker 3: Capitol Hill.

223
00:11:00,080 --> 00:11:02,800
Speaker 14: Hi, Nathan, Thanks for having me. There is some signs

224
00:11:02,840 --> 00:11:07,240
Speaker 14: that Republican and Democratic negotiators up on the Senate side

225
00:11:07,320 --> 00:11:09,880
Speaker 14: are trying to find a way to compromise on a

226
00:11:09,880 --> 00:11:12,960
Speaker 14: measure that would keep the government open for four to

227
00:11:13,040 --> 00:11:16,920
Speaker 14: six weeks from that October first deadline. Is still a

228
00:11:16,920 --> 00:11:19,240
Speaker 14: lot of details to be worked out. We don't know

229
00:11:19,280 --> 00:11:21,680
Speaker 14: if things like Ukraine spending would be a part of that.

230
00:11:22,600 --> 00:11:25,160
Speaker 14: But if that can pass through the Senate, then it

231
00:11:25,200 --> 00:11:28,720
Speaker 14: puts House Speaker McCarthy in a bit of a bind

232
00:11:29,160 --> 00:11:31,840
Speaker 14: figuring out whether he holds a vote on that measure

233
00:11:32,280 --> 00:11:36,080
Speaker 14: with many of his hard right members still not happy

234
00:11:36,120 --> 00:11:38,880
Speaker 14: with any kind of an agreement that doesn't look at

235
00:11:39,600 --> 00:11:43,200
Speaker 14: more border funding and that doesn't look at cutting Ukraine funding.

236
00:11:44,200 --> 00:11:48,600
Speaker 3: What about Speaker McCarthy's own plan to avoid a government

237
00:11:48,679 --> 00:11:53,199
Speaker 3: shut down, the idea that he would cut domestic agencies

238
00:11:53,520 --> 00:11:56,080
Speaker 3: pretty drastically. Is that still on the table.

239
00:11:57,160 --> 00:11:59,880
Speaker 14: It doesn't look like that's gotten much traction. He's gotten

240
00:12:00,120 --> 00:12:03,480
Speaker 14: opposition from a lot of sides on that, and I think,

241
00:12:03,600 --> 00:12:06,120
Speaker 14: you know, we we also know there's some other efforts

242
00:12:06,120 --> 00:12:08,800
Speaker 14: in the House to try to find a way to

243
00:12:09,120 --> 00:12:12,480
Speaker 14: maybe quickly end a shut down if possible. I think

244
00:12:12,640 --> 00:12:15,400
Speaker 14: as this week progresses, it's you know, they're just the

245
00:12:15,440 --> 00:12:19,560
Speaker 14: members are just back today. They have you know, five

246
00:12:19,640 --> 00:12:22,959
Speaker 14: days heading into Saturday with this deadline. I think it's

247
00:12:23,080 --> 00:12:25,840
Speaker 14: very possible that every single day this week we're going

248
00:12:25,920 --> 00:12:28,160
Speaker 14: to hear about new efforts on one side or the

249
00:12:28,200 --> 00:12:31,600
Speaker 14: other to try to avoid this. As you know, Nathan

250
00:12:31,679 --> 00:12:34,760
Speaker 14: from covering this for so many years in Washington, these

251
00:12:34,800 --> 00:12:37,360
Speaker 14: talks will tend to go till the very last minute.

252
00:12:37,400 --> 00:12:40,720
Speaker 14: If there's time to use, it gets used. We could

253
00:12:40,800 --> 00:12:44,360
Speaker 14: very well be talking about a measure that keeps the

254
00:12:44,360 --> 00:12:47,800
Speaker 14: government open going, you know, getting voted on Friday or Saturday,

255
00:12:48,200 --> 00:12:52,360
Speaker 14: or talks continuing until that deadline, and then the shutdown begins.

256
00:12:52,679 --> 00:12:55,120
Speaker 3: While this talk is going on. We got the warning

257
00:12:55,240 --> 00:12:59,360
Speaker 3: yesterday from Moodi's, the last credit agency that still has

258
00:12:59,400 --> 00:13:03,040
Speaker 3: a high, the highest possible credit rating for the US,

259
00:13:03,160 --> 00:13:06,080
Speaker 3: warning that if there is a shutdown, it would erode

260
00:13:06,080 --> 00:13:09,400
Speaker 3: confidence in American governance. Is that the kind of thing

261
00:13:09,440 --> 00:13:12,200
Speaker 3: that gives lawmakers a kick in the pants to try

262
00:13:12,200 --> 00:13:13,560
Speaker 3: to get some kind of deal done.

263
00:13:14,440 --> 00:13:17,120
Speaker 14: You know, I think it's something a lot of lawmakers

264
00:13:17,160 --> 00:13:20,960
Speaker 14: on both sides would say they know is coming, and

265
00:13:21,000 --> 00:13:24,120
Speaker 14: it's not a huge surprise. I don't think that's going

266
00:13:24,160 --> 00:13:28,400
Speaker 14: to factor into the kind of core group of Republicans

267
00:13:28,440 --> 00:13:32,160
Speaker 14: who are really kind of holding Kevin McCarthy's feet to

268
00:13:32,200 --> 00:13:34,520
Speaker 14: the fire on this right now. I don't think that's

269
00:13:34,640 --> 00:13:37,199
Speaker 14: going to be something that persuades them or that causes

270
00:13:37,200 --> 00:13:40,320
Speaker 14: a breakthrough in the deal, unless possibly, as I think

271
00:13:40,360 --> 00:13:43,640
Speaker 14: we saw a little over a decade ago with a shutdown,

272
00:13:43,679 --> 00:13:47,559
Speaker 14: then you really see the financial markets reacting more strongly.

273
00:13:47,640 --> 00:13:49,760
Speaker 14: I think they're gonna I think markets have been taken

274
00:13:49,800 --> 00:13:52,360
Speaker 14: it a little bit in stride, but I think as

275
00:13:52,360 --> 00:13:56,120
Speaker 14: we get closer to Saturday, especially Friday, as markets close,

276
00:13:56,360 --> 00:13:59,199
Speaker 14: we're going to probably see more of a more volatile

277
00:13:59,240 --> 00:13:59,960
Speaker 14: action in the market.

278
00:14:00,520 --> 00:14:02,480
Speaker 3: In the time we have left, Bill, let's talk about

279
00:14:02,480 --> 00:14:06,200
Speaker 3: President Biden and his plan to join the picket line today.

280
00:14:06,520 --> 00:14:10,439
Speaker 3: This seems pretty unprecedented, even for a president who's called

281
00:14:10,520 --> 00:14:12,520
Speaker 3: himself the most pro union president ever.

282
00:14:13,480 --> 00:14:17,080
Speaker 14: That's right. I think it is unprecedented. We don't have

283
00:14:16,760 --> 00:14:19,560
Speaker 14: We've been looking trying to figure out when a sitting

284
00:14:19,640 --> 00:14:23,160
Speaker 14: president has ever joined a picket line, and I don't

285
00:14:23,160 --> 00:14:25,600
Speaker 14: think we've found an example of that. You've obviously had

286
00:14:25,720 --> 00:14:30,720
Speaker 14: very pro union presidents and particularly Democratic presidential candidates are

287
00:14:30,760 --> 00:14:34,320
Speaker 14: often out there with organized labor. But to have a

288
00:14:34,480 --> 00:14:37,920
Speaker 14: sitting president sit down really way in on one side

289
00:14:37,920 --> 00:14:41,000
Speaker 14: of that so strongly, that will be something that we

290
00:14:41,080 --> 00:14:45,280
Speaker 14: really haven't seen ever. And of course, on the other hand,

291
00:14:46,120 --> 00:14:49,160
Speaker 14: you have a former President Trump heading to meet many

292
00:14:49,200 --> 00:14:53,080
Speaker 14: of those striking auto workers the following day, so there's

293
00:14:53,120 --> 00:14:56,760
Speaker 14: this real duel for support among the striking autoworkers up

294
00:14:56,760 --> 00:15:01,000
Speaker 14: in Michigan, of course, a critical battleground state for any

295
00:15:01,040 --> 00:15:02,760
Speaker 14: candidate in twenty twenty four, in.

296
00:15:02,720 --> 00:15:05,640
Speaker 3: Just thirty seconds left interesting to see this happen as well,

297
00:15:05,720 --> 00:15:08,360
Speaker 3: when up to now the Biden administration has been pretty

298
00:15:08,360 --> 00:15:11,600
Speaker 3: hands off when it comes to the autoworker negotiations.

299
00:15:12,720 --> 00:15:15,400
Speaker 14: That's right, I think, you know, I listen, President Trump

300
00:15:15,400 --> 00:15:17,560
Speaker 14: has had support in the past with a lot of

301
00:15:17,760 --> 00:15:20,760
Speaker 14: working class voters in Michigan. I think there's some real

302
00:15:20,840 --> 00:15:24,920
Speaker 14: concern that his appearance could eat into President's support in

303
00:15:25,200 --> 00:15:27,640
Speaker 14: a critical state, and I think the President wants to

304
00:15:27,680 --> 00:15:32,080
Speaker 14: show his bonifides as a big supporter of the labor movement.

305
00:15:33,960 --> 00:15:36,880
Speaker 1: This is Bloomberg day Break Today, your morning brief on

306
00:15:36,960 --> 00:15:40,560
Speaker 1: the stories making news from Wall Street to Washington and beyond.

307
00:15:40,760 --> 00:15:43,520
Speaker 2: Look for us on your podcast feed at six am

308
00:15:43,600 --> 00:15:47,240
Speaker 2: Eastern each morning, on Apple, Spotify, and anywhere else you

309
00:15:47,320 --> 00:15:48,400
Speaker 2: get your podcasts.

310
00:15:48,600 --> 00:15:51,320
Speaker 1: You can also listen live each morning starting at five

311
00:15:51,360 --> 00:15:54,000
Speaker 1: am Wall Street time on Bloomberg eleven three to zero

312
00:15:54,000 --> 00:15:56,920
Speaker 1: in New York, Bloomberg ninety nine to one in Washington,

313
00:15:56,960 --> 00:16:00,080
Speaker 1: Bloomberg one six to one in Boston and Bloomberg nine

314
00:16:00,200 --> 00:16:01,600
Speaker 1: sixty in San Francisco.

315
00:16:01,960 --> 00:16:05,120
Speaker 2: Our flagship New York station is also available on your

316
00:16:05,160 --> 00:16:10,600
Speaker 2: Amazon Alexa devices. Just say Alexa play Bloomberg eleven thirty plus.

317
00:16:10,640 --> 00:16:13,640
Speaker 1: Listen coast to coast on the Bloomberg Business app, serious

318
00:16:13,800 --> 00:16:17,760
Speaker 1: XM Channel one nineteen, the iHeartRadio app, and on Bloomberg

319
00:16:17,840 --> 00:16:19,600
Speaker 1: dot com. I'm Nathan Hager.

320
00:16:19,480 --> 00:16:22,640
Speaker 2: And I'm Karen Moscow. Join us again tomorrow morning for

321
00:16:22,760 --> 00:16:25,280
Speaker 2: all the news you need to start your day right

322
00:16:25,320 --> 00:16:26,960
Speaker 2: here on Bloomberg Daybreak