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

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Speaker 2: This is the.

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Speaker 3: Bloomberg Day Make You podcast, available every morning on Apple,

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Speaker 3: Spotify or wherever you listen. It's Wednesday, the seventeenth of

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Speaker 3: July in London. I'm Caroline Hepkare.

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Speaker 4: And I'm Stephen Carroll. Coming up today. The US Secret

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Speaker 4: Service titled Donald Trump's security after uncovering intelligence of an

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Speaker 4: Iranian plot to kill him unrelated to the weekend's assassination attempt.

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Speaker 3: And trump'lomics explained. The former president tells Bloomberg Business Week

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Speaker 3: about his tariff and tax.

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Speaker 4: Plans, plus Starmer pledges to take the breaks off Britain.

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Speaker 4: Labour's government agenda will be laid out in the King speech.

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Speaker 3: Let's start with a roundup of our top stories.

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Speaker 4: Bloomberg understands that security around former US President Donald Trump

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Speaker 4: was increased by the Secret Service after picking up intelligence

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Speaker 4: in recent weeks of an Iranian plot to assassinate him.

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Speaker 4: As Chris Pitt reports, the threat was separate from the

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Speaker 4: attempt on his life last weekend.

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Speaker 5: Officials say there is no indication that there's any link

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Speaker 5: to Thomas Matthew Crooks, who's accused of shooting Trump at

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Speaker 5: a rally on Saturday. The threat instead appears to be

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Speaker 5: linked to his previous administration, stemming from the US killing

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Speaker 5: of Kassam Sulimani, the head of Iran's Revolutionary Guard, in

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Speaker 5: twenty twenty. Sources say the White House contacted the Secret

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Speaker 5: Service about the threat, which then conveyed information about the

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Speaker 5: Iranian effort to Trump's campaign. Iran said in a social

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Speaker 5: media post on x that the report of its involvement

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Speaker 5: in a plot against Trump are baseless. In London, Chris

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Speaker 5: Pitt Bloomberg Radio Now.

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Speaker 3: Prior to the assassination attempt and shortly before his debate

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Speaker 3: with President Biden, Donald Trump spoke to Bloomberg BusinessWeek about

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Speaker 3: his economic plans for a second term in office. The

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Speaker 3: Republican presidential nominee waived off Wall Street concerns that he

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Speaker 3: would usher in heart in inflation if he wins, and

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Speaker 3: said that he would allowed your own pal to serve

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Speaker 3: out his term as the head of the Federal Reserve. Reported.

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Speaker 3: Nancy Cook was one of the Bloomberg journalists who conducted

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Speaker 3: the ninety minute print only interview, and said that she

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Speaker 3: and her colleagues asked Trump if he wanted to remove

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Speaker 3: Powell from his position.

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Speaker 2: He said, there's a lot of false information out there.

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Speaker 2: These were his words. And then we asked him if

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Speaker 2: he would allow j. Powell to serve out the term

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Speaker 2: that Biden appointed him to, which is through twenty twenty eight,

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Speaker 2: and he said he would allow him to serve. He

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Speaker 2: did add the caveat like, as long as I thought

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Speaker 2: he was doing things right. He said he did not

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Speaker 2: think that they should cut interest rates before the election,

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Speaker 2: sort of again implying that if they did, that would

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Speaker 2: be like a political move to sort of help Biden.

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Speaker 2: And also he sort of resisted several questions that we

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Speaker 2: asked him about sort of nudging the FED or what

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Speaker 2: he would do.

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Speaker 3: Nancy Cook says that Trump also told her he wants

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Speaker 3: to bring the corporate tax rate to as low as

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Speaker 3: fifteen percent, and that he'd even considered Jamie Diamond to

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Speaker 3: head the US Treasury.

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Speaker 1: Now.

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Speaker 3: The full Bloomberg BusinessWeek interview from Bradstone and Nancy Cook

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Speaker 3: is available now on the terminal well for subscribers on

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Speaker 3: Bloomberg dot com.

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Speaker 4: The comments from Donald Trump about not wanting rate cuts

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Speaker 4: until after the election come as Wall Street economists have

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Speaker 4: weighed in with the opposite view. Prominent voices including Goldman

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Speaker 4: Sachs GYP for economist Ian Hatziis, Queen's College Cambridge president

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Speaker 4: Muhammad al Aarian, and Relaisance Macro Research as Neil Dutta

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Speaker 4: are all warning that the FED is waiting too long

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Speaker 4: to cut, but policymakers, including Governor Adrianna Kugler, appear more cautious.

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Speaker 6: If economic conditions continue to evolve in this favorable manner,

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Speaker 6: with more rapid disinflation as has been evidence in the

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Speaker 6: inflation data from the past three months, and if employment

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Speaker 6: continues to soften but remains resilient as has been seen

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Speaker 6: in the last few jobs reports, I anticipate it will

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Speaker 6: be appropriate to begin easy monetary policy later this year.

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Speaker 4: Kogler is a voting member of the FOMC. Her comments

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Speaker 4: match current market expectations, with investors betting on at least

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Speaker 4: two cuts before the end of twenty twenty four, starting

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Speaker 4: in September.

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Speaker 3: Now, the United States has told allies that it is

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Speaker 3: considering using the most severe trade restrictions against companies including

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Speaker 3: Tokyo Electron and ASML, if they continue to give China

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Speaker 3: access to advanced semiconducted technology. Bloomberg has learned that the

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Speaker 3: Biden administration is examining the use of the Foreign Direct

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Speaker 3: Product Rule, which would increase controls on items that use

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Speaker 3: even the tiniest amount of American technology. It comes as

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Speaker 3: ASML has reported just this morning on second quarter bookings,

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Speaker 3: they came in at five point five seven billion euros.

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Speaker 3: That is a beat on the estimate of four point

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Speaker 3: four one billion. The Dutch chip equipment maker also announced

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Speaker 3: an interim dividend of a Euro fifty two per share,

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Speaker 3: and the company says that it still expects an industry

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Speaker 3: recovery to continue into the second half of this year.

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Speaker 4: HSBC is appointed George L. Hedrie as its new CEO.

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Speaker 4: He's been with the bank for nearly two decades and

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Speaker 4: is currently Chief Financial Officer. Al Hendri will take over

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Speaker 4: in the role from the second of September. Current CEO

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Speaker 4: nol Quinn announced his retirement from the top job in April.

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Speaker 3: The UK's new Prime Minister, Kis Starmer says that it's

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Speaker 3: time to take the breaks off Britain. It comes as

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Speaker 3: he prepares to lay out his government's agenda in the

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Speaker 3: King's Speech later today. Bluebooks tiva Adebayo has the details.

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Speaker 7: It's a century's old tradition. King Charles the Third will

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Speaker 7: outline a list of bills the new Labour government plans

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Speaker 7: to deliver. Kiss Starmer says the laws will lay the

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Speaker 7: foundations for the reform he thinks the country needs and

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Speaker 7: make people better off. The speech includes manifesto pledgers like

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Speaker 7: the creation of a state owned energy company and measures

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Speaker 7: on workers' rights, immigration, and the nationalization of the railways.

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Speaker 7: Sources say of the previous Conservative administration. Will also feature

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Speaker 7: such as a progressive smoking ban and boosting renters' rights

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Speaker 7: in London, do You Added by Bloomberg.

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Speaker 4: Radio, Nigel Musk says the headquarters for X and SpaceX

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Speaker 4: will both relocate to Texas. More from Bloomberg's Charlie Pallace.

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Speaker 8: The Billionaire Site's frustration over laws in California, where both

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Speaker 8: companies are currently based. Musk made the announcement on his

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Speaker 8: ex social media site. He cited a new law in

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Speaker 8: California which became the first state to ban school districts

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Speaker 8: from requiring teachers to notify parents about changes to a

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Speaker 8: student sexual orientation and gender identity. SpaceX's headquarters are currently

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Speaker 8: located in Hawthorne, California. But the company has been building

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Speaker 8: out a large facility in South Texas dubbed Starbase over

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Speaker 8: the last few years.

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Speaker 1: In New York, Charlie Pellett Bloomberg Radio, we in a moment,

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Speaker 1: we'll bring you more on the threate to Donald Trump,

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Speaker 1: pluses into the Bloomberg Business Week and look ahead towards

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Speaker 1: to expect from the King's speech here in the UK

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Speaker 1: as well.

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Speaker 4: But first, twenty four billion dollars, that's how much has

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Speaker 4: been wiped off the fortunes of the ultra rich whose

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Speaker 4: wealth comes from luxury products.

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Speaker 1: Just this year.

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Speaker 4: Our colleague Tarpatal in Paris has been crunching the numbers

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Speaker 4: on this. Of course, we've seen demand for luxury goods

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Speaker 4: weaken in some places. That's been a feature of some

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Speaker 4: of the earning supports we've already had out from this sector.

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Speaker 4: But some of the biggest names, the likes of belna Alnau,

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Speaker 4: who built LVMH. He was knocked off the top spot

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Speaker 4: of the Bloomberg Billionaire's Index. The heiress of Lariel Francois

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Speaker 4: betten Cormeyer's also lost her crown earlier this month, briefly

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Speaker 4: as the world's wealthiest woman and the Caring founder France.

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Speaker 4: Poipino has also seen his fortune have over the last

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Speaker 4: three years to twenty eight billion dollars.

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Speaker 3: It's a lovely bit of reporting, but I would just add,

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Speaker 3: hang on, they had a great run in the pandemic,

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Speaker 3: right you saw the price tag increases on luxury items

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Speaker 3: were immense, sometimes in the kind of double digits. The

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Speaker 3: issue now does seem to be out of those initial

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Speaker 3: kind of earnings reports China, the weakness in China, the

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Speaker 3: hesitancy of consumers there. So yeah, they had a good

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Speaker 3: run in the pandemics, what I'd.

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Speaker 4: Say true, and there is still growth in some parts

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Speaker 4: of the world as well. But there's another factor of

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Speaker 4: this as well, and that's the election in France which

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Speaker 4: hit equities there too, and those three French companies in

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Speaker 4: particular being hit as part of that as well. So

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Speaker 4: more details on how the ultra rich and the luxury

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Speaker 4: sector have been affected by that in that report by

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Speaker 4: Tarapatalio finders on Bloomberg dot Command on the terminal.

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Speaker 3: Okay, let's get more now on our top story, the

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Speaker 3: intelligence suggesting an Iranian threat against Donald Trump, as he's

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Speaker 3: been speaking to Bloomberg about his plans for the US economy.

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Speaker 3: Bloomberg's senior editor Bill Ferries joins US Now for more.

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Speaker 3: Good morning, Bill. What do we know exactly about this

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Speaker 3: intelligence about an Iranian plot against Trump?

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Speaker 9: Right? Thanks for having me. Yes, we're still trying to

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Speaker 9: get some of the details on this, but it seems

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Speaker 9: like in the week's proceeding this last weekend's attempt on

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Speaker 9: Donald Trump's life, that the US intelligence agencies in the

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Speaker 9: White House learned of an Iranian plot against the former president.

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Speaker 9: It was not linked to the shooter involved in this

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Speaker 9: last weeknd's pot, but apparently the Secret Service had already

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Speaker 9: boosted some of its measures around Donald Trump to help

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Speaker 9: prevent that kind of an attack. And it's something we've

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Speaker 9: seen a threat against a number of former Trump administration officials.

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Speaker 9: A lot of that tied to the administration's killing of

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Speaker 9: the top Iranian general, case of Solimani in early twenty twenty.

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Speaker 9: We know that officials like former Secretary of State Mike Pompeo,

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Speaker 9: former National Security Advisor John Bolton, those men all have

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Speaker 9: added security, which is unusual for a former official because

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Speaker 9: of those threats. But this is the first time we've

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Speaker 9: learned about a direct threat against Donald Trump himself.

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Speaker 4: Okay, and of course this unrelated to happened over the weekend,

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Speaker 4: and actually before that assassination attempt, Bloomberg has been speaking

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Speaker 4: to Donald Trump about his plans, particularly for the US economy.

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Speaker 4: But what did we learn about his plans on economic policy?

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Speaker 9: Well, lots of interesting information coming out of that interview.

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Speaker 9: One was not a big surprise. He considered Trump was

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Speaker 9: long considered his twenty seventeen Tax Cuts and Jobs Act

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Speaker 9: that lowered corporate it and some individual taxes to be

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Speaker 9: like one of the hallmarks of his administration that is

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Speaker 9: set to expire at the end of twenty twenty five.

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Speaker 9: He says he would expand that he would extend it.

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Speaker 9: He'd also like to see corporate tax rates come down

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Speaker 9: at least a percentage point or two. But some of

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Speaker 9: his most interesting comments may have been on the Federal Reserve.

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Speaker 9: As you guys know, the markets have been pricing in

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Speaker 9: a couple of cuts this year based on the latest information.

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Speaker 9: Donald Trump warned the Fed. He said the Fed should

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Speaker 9: not be making any cuts before the election. He would,

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Speaker 9: you know, I think the interpretation is that he would

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Speaker 9: see that as a political benefit to current president Joe Biden,

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Speaker 9: but he also said that he wouldn't plan to try

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Speaker 9: to oust fed share J. Powell before the end of

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Speaker 9: his term unless he did something unusual. But you know,

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Speaker 9: Trump appointed Powell, he soured on him eventually, but he

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Speaker 9: said he would keep him in place at least for

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Speaker 9: the time being.

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Speaker 3: Okay, Briefly, he also did discuss foreign policy in conversation

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Speaker 3: with Bloomberg. His views on tariffs, China, and Taiwan.

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Speaker 9: He's still a big fan of tariffs. He's talked about

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Speaker 9: raising tariffs on all imported goods ten percent or more,

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Speaker 9: raising tariffs even more on China and on Taiwan. He

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Speaker 9: came out and he said Taiwan had stolen the chip

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Speaker 9: industry from the US. He didn't commit to defending the

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Speaker 9: island if it's attacked, if it's attacked by China, and

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Speaker 9: that would be a very explicit change in US foreign policy,

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Speaker 9: particularly from the Biden administration. So I think policy makers

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Speaker 9: in Asia will have a lot to think about if

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Speaker 9: Trump goes ahead and continues his lead and this campaign

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Speaker 9: and wins election in November.

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Speaker 4: Okay, Bill Ferries, I've seen your Editorde thanks very much

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Speaker 4: for joining us.

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Speaker 3: Now to the UK the Labor Government sets out it's agenda,

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Speaker 3: with some thirty five bills expected in the King's Speech

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Speaker 3: later today. Economic growth will be the main focus of

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Speaker 3: plans for legislation and workers' rights, re forming planning regulations,

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Speaker 3: setting up a publicly owned energy company and a board

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Speaker 3: of security bill. Joining us now, as Blueberg's UK correspondent

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Speaker 3: Lizzie Burden, to take us through all the different things

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Speaker 3: that we're expecting in this King's speech. Good morning, Lizzie,

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Speaker 3: Morning Caroline.

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Speaker 10: Yeah, So it sets the narrative for the Starma government.

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Speaker 10: This it's really a moment of theater. I look forward

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Speaker 10: to all the pageantry in UK politics, but it marks

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Speaker 10: the start of the parliamentary year. You'll have the King

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Speaker 10: in the House of Lords delivering the speech and policy wise,

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Speaker 10: as you say, the focus will be on economic growth.

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Speaker 10: National renewal will be the framing for these thirty five

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Speaker 10: bills that departments will introduce and so for example, there'll

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Speaker 10: be a bill to strengthen the Office for Budget Responsibility,

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Speaker 10: the fiscal watchdog. You remember Liz Truss as Prime Minister

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Speaker 10: sidelined the OBR in twenty twenty two to the dismay

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Speaker 10: of the market. So this bill is expected to make

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Speaker 10: sure that that never can happen legally again. There's also

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Speaker 10: going to be a launch of the National Wealth Fund

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Speaker 10: to drive inbound investment that's been outlined by the Chancellor

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Speaker 10: Rachel Reeves already and Great British Energy, this publicly owned

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Speaker 10: clean power company. And then there'll be sort of the

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Speaker 10: unfinished business from the Sunac government, the Progressive smoking Band

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Speaker 10: renting reforms, so as I say, sets the tone for

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Speaker 10: the new government.

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Speaker 4: But there are likely to be some mini rebellions.

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Speaker 10: Labor MPs laying amendments to the speech which for example,

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Speaker 10: calling for the two child benefit cap to be lifted.

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Speaker 4: They argue that it fuels child poverty.

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Speaker 10: The government says there isn't the fiscal room to change

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Speaker 10: the policy yet, and the government would say that this

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Speaker 10: sort of rebellion isn't going to have much impact given

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Speaker 10: the scale of Labour's majority.

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Speaker 4: Okay and Lizzie, we also get the gin inflation of

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Speaker 4: data this morning. Could they tempt the Bank of England

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Speaker 4: to an August cut?

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Speaker 10: Well, economists they're expecting a drop from two percent in

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Speaker 10: May to one point nine percent in June, so below

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Speaker 10: the Bank of England's two percent target and this print,

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Speaker 10: you're right, is going to be really closely monitored by

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Speaker 10: the Bank of England and August rate cut is already

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Speaker 10: on a knife edge in terms of traders bets right now,

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Speaker 10: so dubvish data would give the bank cover for an

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Speaker 10: August cut, which would be a boon, of course, a

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Speaker 10: care starmer. Interestingly, yesterday you saw the two year yield

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Speaker 10: falling below four percent for guilts for the first time

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Speaker 10: this year on the expectation that cuts are coming soon.

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Speaker 10: But you'll remember you did have this unexpected strength in

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Speaker 10: the April and May readings, even if inflation is now

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Speaker 10: back at target. And if you look at the recent

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Speaker 10: Bank of England speak from Chief economist Hugh pill he's

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Speaker 10: hinted that he's going to be looking past looking through

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Speaker 10: individual data points at the underlying longer term trends. So

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Speaker 10: that suggests that August really is far from a done

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Speaker 10: deal and you still could see some volatility in the

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Speaker 10: market office reading.

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Speaker 4: This is Bloomberg Daybreak Europe, your morning brief on the

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Speaker 4: stories making news from London to Wall Street and beyond.

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