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Speaker 1: From the Bloomberg Interactive Burgers Studios. This is Bloomberg day

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Speaker 1: Break for Thursday, May eighteenth.

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Speaker 2: Coming up today, Debt ceiling talks continue, with potential default

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Speaker 2: now just two weeks away.

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Speaker 3: President Biden arrived at the g seventh Summit in Japan.

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Speaker 4: TikTok is banned in one US state.

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Speaker 3: And retail earnings continue with Walmart recording. This morning, there.

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Speaker 5: Are conflicting accounts about a Papaanzza car chase involving Prince

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Speaker 5: Arey in Manhattan, plus the controversy about where the House

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Speaker 5: migrants in New York continues by Michael Barrn.

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Speaker 4: More ahead, I'm John stan Stalwin Sports.

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Speaker 6: I'll walk off win for the Mets, the walk off

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Speaker 6: lost for the Yankees. The Miami Heat won Game one

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Speaker 6: from the Celtic.

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Speaker 7: That's all straight ahead on Bloomberg day Break, The Business

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Speaker 7: news You need to starn your day in just one

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Speaker 7: fifteen minute podcast each morning on Apples, Spotify, the Bloomberg

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Speaker 7: Business Appen everywhere you get your podcasts.

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Speaker 4: Good morning, I'm Nathan Hager.

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Speaker 1: And I'm Karen Moscow. Here are the stories we're following today, Karen.

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Speaker 2: The US is now two weeks away from a potential

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Speaker 2: government default. President Biden is now out of the country,

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Speaker 2: with debt ceiling negotiations continuing in Washington. He's expressing confidence

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Speaker 2: that a deal will get done in time.

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Speaker 8: Every leader in the room understands the consequences.

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Speaker 9: Of we failed of Paya bills, and it would be

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Speaker 9: catastrophic for the for the.

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Speaker 7: American economy and the American people if we didn't pay bills.

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Speaker 2: President Biden says he will be in constant contact with

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Speaker 2: negotiators while he's away. House Speaker Kevin McCarthy says just

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Speaker 2: having a negotiation is a win. They finally backed off

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Speaker 2: the insane, unrational, unsensible idea that you just raise the

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Speaker 2: debt ceiling. Speaker McCarthy says he too, is hopeful a

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Speaker 2: deal can be reached before US default, which could come

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Speaker 2: as early as June first.

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Speaker 3: Well as negotiations continue.

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Speaker 1: Nathan McCarthy is criticizing the president's trip to Japan for

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Speaker 1: an international summit. The President arrived at the G seven

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Speaker 1: meeting about two hours ago, so Bloomberg. Stephen Angel is

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Speaker 1: there and says Russia is likely to be a major topic.

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Speaker 10: The National Security Advisor of the US J. Sullivan, says

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Speaker 10: the US will likely have a package of sanctions associated

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Speaker 10: with the G seven statement, further sanctions on Russia. They're

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Speaker 10: trying to close loopholes as well, third party nations, perhaps

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Speaker 10: funneling high tech elements to Moscow to help its war

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Speaker 10: in Ukraine. We'll also likely to see talk of economic

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Speaker 10: and humanitarian support to Ukraine. So it's the G seven.

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Speaker 1: There's a lot of unity and Bloomberg Stephen Angel and

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Speaker 1: Hiroshima says G seven leaders are also grappling with the

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Speaker 1: question of how to tackle China.

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Speaker 2: Meantime, Karen China's president shi Jinping, is holding a summit

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Speaker 2: of his own. The two day China Central Asia Summit

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Speaker 2: will assemble leaders from Kazakhstan, Kirryzstan, Taijikistan, Turkmenistan, and Uzbekistan.

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Speaker 2: It is She's way of reminding the G seven of

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Speaker 2: China's influence outside the US led world order.

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Speaker 1: Well back here in the US, Nathan presidential politics are

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Speaker 1: in focus, and there are more signs at Florida Governor

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Speaker 1: Ronda Santis is prime to announce a challenge to Donald

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Speaker 1: Trump for the Republican nomination.

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Speaker 3: We get the details from Bloomberg's Ed Baxter.

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Speaker 8: DeSantis has summoned financial backers for a meeting in Miami

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Speaker 8: next week. This, of course, is upping the speculation that

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Speaker 8: he may officially announce very soon. It is set for

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Speaker 8: the twenty fourth next week, and then for political briefing

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Speaker 8: the next morning, and then with the tes following the briefing,

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Speaker 8: the fun begins. They're encouraged to work with the team

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Speaker 8: through the night of the twenty fifth. DeSantis will have

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Speaker 8: to announce he is officially running before contributions can be solicited,

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Speaker 8: so the announcement could come during those two days in

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Speaker 8: San Francisco. I'm at Baxter Bloomberg Daybreak. Okay, ed, thank you.

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Speaker 8: TikTok is under more pressure from the US this morning.

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Speaker 8: The state of Montana has now enacted the first ever

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Speaker 8: been on the wildly popular app, and we get the

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Speaker 8: details now from Bloomberg's John Tucker John Nathan.

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Speaker 11: It's short on technical details and nobody's really certain how

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Speaker 11: it's going to be enforced. The measure bars app stores

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Speaker 11: for making TikTok available for download within Montana's borders, something

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Speaker 11: you can get around simply by using a virtual private network.

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Speaker 11: The governor says it's to protect residents data from the

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Speaker 11: Chinese Communist Party. TikTok is owned by Beijing based Byte Dance.

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Speaker 11: App stores would be liable for fines of ten thousand

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Speaker 11: dollars a day for violating the law. Individual TikTok users,

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Speaker 11: they wouldn't be punished. The real news will certainly be

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Speaker 11: the challenges to it. They'll offer insight into whether courts

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Speaker 11: will uphold efforts in Congress to ban TikTok. TikTok has

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Speaker 11: roughly one hundred and fifty million users in the US

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Speaker 11: in New York On John Tucker Bloomberg, dam.

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Speaker 1: Break all right, John, Thanks well, looking at Marcus this morning.

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Speaker 3: Let's update you on some of the stocks on the move.

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Speaker 1: Shares of Cisco are done about three and a half percent,

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Speaker 1: The largest maker of computer network machines as orders to

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Speaker 1: cline twenty three percent in the past quarter.

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Speaker 2: Now on the flip side, Careen shares of Take two

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Speaker 2: Interactive are up nine point six percent. The company known

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Speaker 2: for its Grand Theft auto video game top quarterly sales estimates.

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Speaker 2: Take two is also hinting of a release date for

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Speaker 2: an new version of its wildly popular title.

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Speaker 1: Well up next, Nathan retail earnings come into focus. We

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Speaker 1: get results this morning from Walmart, and Bloomberg's Tom Busby

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Speaker 1: has a preview.

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Speaker 9: The focus for investors is the strength of grocery sales

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Speaker 9: at Walmart, which makes up about half its annual revenues,

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Speaker 9: and they may be more important than ever after Target

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Speaker 9: reported its shoppers have been buying just the basics food

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Speaker 9: and household goods, not as much clothing or electronics. Also,

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Speaker 9: Home Depot noted a pullback by consumers in their report

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Speaker 9: earlier this week. Look for adjusted earnings of one dollar

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Speaker 9: thirty one cents a share, revenue of one hundred and

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Speaker 9: forty eight point seven billion dollars, and same store sales

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Speaker 9: forecast arise just over five percent. Tom Busby, Bloomberg Daybreak.

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Speaker 4: Okay, Tom, thank you.

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Speaker 2: Shares of Micron Technology are also on the move this morning,

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Speaker 2: that stocks up more than two percent in early trading.

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Speaker 2: Source to say Micron's pois to land about one and

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Speaker 2: a half billion dollars in financial incentives from the Japanese

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Speaker 2: government to help make it the next generation memory chips

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Speaker 2: in the country.

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Speaker 1: And Deutsche Bank coming under fire this morning Nathan or

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Speaker 1: It's work with Jeffrey Epstein. The bank will page seventy

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Speaker 1: five million dollars to settle a US lawsuit involving the

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Speaker 1: late disgraced financier. Victims of Epstein's sexual abuse accuse the

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Speaker 1: German bank of facilitating his sex trafficking operation. JP Morgan

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Speaker 1: is also facing a similar suit. And we have your

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Speaker 1: latest local headlines, plus a check of sports.

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Speaker 3: And this is Bloomberg.

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Speaker 2: I'm going to take a look at some of the

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Speaker 2: other stories making news in New York and around the world.

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Speaker 2: And for that beer, joined by Bloomberg's Michael Bargo Morning, Michael.

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Speaker 5: Good Morning. Nathan Saifulu Sipov, the Isis inspired terrorist who

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Speaker 5: carried out a deadly attack with a truck in New

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Speaker 5: York City, a sentenced to life in prison for killing

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Speaker 5: eight people when he sped down a bike path and

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Speaker 5: a branded truck. JP Patrick, the Jerry Foreman, spoke outside

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Speaker 5: the courthouse.

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Speaker 7: The gruesome nature of this crime was just hard to

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Speaker 7: take as a As a.

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Speaker 5: Jure, Sipov had been spared the death penalty. The life

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Speaker 5: sentence means he is headed to the nation's most secure

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Speaker 5: federal prison in Colorado. Once there, he's in for twenty

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Speaker 5: two hours a day alone in his cell. The House

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Speaker 5: voted to refer in battled Republican Congressman George Santos's case

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Speaker 5: to the Ethics Committee. Santos says, referring the resolution to

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Speaker 5: Ethics is the best path forward.

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Speaker 2: I was elected by them to come represent them.

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Speaker 4: I will continue to do that.

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Speaker 2: I have not not done my job since I've gotten here.

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Speaker 4: I can chew and walk them at the same time.

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Speaker 4: I can chew them and walk at the same time.

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Speaker 5: Some of his colleagues. He called Santos after his news conference, if.

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Speaker 2: I could understand you over my colleague screaming here, the

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Speaker 2: reality is better.

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Speaker 5: I gotta go there, come on. Santos is facing thirteen

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Speaker 5: federal charges, including money laundering. A spokesperson for Prince Harry

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Speaker 5: and Duchess Meghan claimed that they were involved in a

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Speaker 5: near catastrophic car chase while being pursued by paparazzi and

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Speaker 5: Manhattan Tuesday night. Meanwhile, the NYPD says it wasn't at

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Speaker 5: as traffic but merely challenging to get Megan and Harry home.

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Speaker 5: After heading to a police precinct for safety, Harry and Meghan,

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Speaker 5: along with her mother and a security guard, held a

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Speaker 5: taxi to elude photographers, but the cab drivers stopped short

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Speaker 5: of calling it a chase. New York's Mayor Eric Adams

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Speaker 5: also expressed skepticism about the chase lasting two hours, but

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Speaker 5: a lot of people are using our streets of any

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Speaker 5: type of high speed chase that involves something of that

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Speaker 5: nature is inappropriate. In nineteen ninety seven, Prince Harry's mother,

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Speaker 5: Princess Diana, died in a crash while being chased by

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Speaker 5: paparazzi in Paris. Meanwhile, Mayor Adams delivered some harsh words

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Speaker 5: for people criticizing the city's decision to house thousands of

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Speaker 5: migrants in the city's hotels. Adams says while he would

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Speaker 5: rather keep those hotels open for tourists, the city needs

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Speaker 5: to house the asylum seekers somewhere, and calls on others

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Speaker 5: for suggestions moving forward. Global News twenty four hours a day,

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Speaker 5: powered by more than seven hundred journalist and analysts in

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Speaker 5: over one hundred and twenty countries. I'm Michael Barr. This

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Speaker 5: is Bloomberg, Nathan.

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Speaker 2: Thank you, Michael, come now for the Blueberg Sports Update,

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Speaker 2: brought to you by tri State out Ay you.

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Speaker 4: Good morning, John stansh Hour, Good morning Nathan.

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Speaker 6: A wild and much needed win for the Mets, who've

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Speaker 6: been floundering for nearly a month, looked like another loss.

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Speaker 6: They trailed Tampa Bay two not in the city field later.

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Speaker 4: Five to two.

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Speaker 6: They tied the game with a dramatic three run homer

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Speaker 6: with two outs on the bottom of the ninth any

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Speaker 6: by Francisco Alvarez, but then they fell behind yet again

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Speaker 6: in the tenth inning.

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Speaker 4: When it was time for.

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Speaker 11: More drama, Fairbanks holds a cent the old one, swinging a.

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Speaker 4: High fly deep left field.

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Speaker 12: Peter Alonzo has what the game? It's a three run

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Speaker 12: walk off home run, Hey seven.

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Speaker 4: New York WCBS.

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Speaker 6: Just as the Mets were hitting those two three run

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Speaker 6: homers one to tie, one to win, a three run

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Speaker 6: shot into by the Blue Jays Danny Jansen of Wandy

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Speaker 6: Peralto for the first and only runs in the game.

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Speaker 6: Blue Jays shutout the Yankees three nothing in ten innings.

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Speaker 6: The Yanks had only three hits Game one of the

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Speaker 6: NBA East Finals to the heat their third straight series

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Speaker 6: opening win on the road. Fifteen to ever do that

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Speaker 6: beat the Celtics in Boston one twenty three, one sixteen,

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Speaker 6: led by Jimmy Butler thirty five points, five rebounds, seven assists,

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Speaker 6: six steals, the Heat made over half their three pointers.

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Speaker 6: They'll play Game two in the West tonight, Lakers Nuggets

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Speaker 6: in Denver where the Nuggets are seven, and oh Stanley

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Speaker 6: Cup playoffs are back to night.

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Speaker 4: Game one of the East Florida at Carolina.

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Speaker 6: Second Golf Major of the aar PGA Championship at Oak

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Speaker 6: Hill in Rochester. Big names going off over this morning,

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Speaker 6: like world number one in Masters Champ John Rom defending

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Speaker 6: Champ Justin Thomas playing.

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Speaker 4: With Orya McElroy live cover today.

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Speaker 6: I'm Blueberg Radio, starting just after the end of trading

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Speaker 6: at four Sons Stashewer.

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Speaker 4: Bloomberg's points.

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Speaker 7: Live from coast to coast, from New York to San Francisco,

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Speaker 7: Boston to Washington, nationwide on SYRIASXAM.

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Speaker 4: The Bloomberg Business app, and Bloomberg dot Com. This is

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Speaker 4: Bloomberg Daybreak. Good morning. I'm Nathan Hager.

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Speaker 2: President Biden and other world leaders have begun arriving in Hiroshima,

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Speaker 2: Japan for the annual Group of Seven Leaders Summit. The

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Speaker 2: warren Ukraine, arising China, and for the President, a debt

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Speaker 2: crisis back home will all be top of mind. Bloomberg's

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Speaker 2: and Marie Horden is covering the G seven for US

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Speaker 2: from Hiroshima and joins US Live this morning. Good to

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Speaker 2: have you with us and Marie as we watch headlines

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Speaker 2: cross the Bloomberg Terminal from the President's early meeting just now,

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Speaker 2: with Japanese Prime Minister Kashida saying that he wants to

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Speaker 2: hold Russia accountable for its brutal aggression in Ukraine, working

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Speaker 2: on nuclear non proliferation and working on partnerships between Japanese

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Speaker 2: and US companies. Already getting something of a glimpse of

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Speaker 2: the themes that are going to be dominating this G seven.

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Speaker 13: Certainly, and good morning to you. I think we should

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Speaker 13: start there with the nuclear weapons proliferation because obviously the

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Speaker 13: summit of Hiarashima is a potent reminder, of course what

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Speaker 13: happened in Japan twice with nuclear weapons by the United States.

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Speaker 13: It's also where Fumyo Koshida, Prime Minister is from. This

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Speaker 13: is incredibly important to him. But the main topics that

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Speaker 13: are going to probably be the most tense and you're

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Speaker 13: going to want to see the most action from world

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Speaker 13: leaders they potentially have some agreements on is going to

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Speaker 13: be Russia. There's a ton of sanctions already on the

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Speaker 13: Russian economy, so potentially going to look at how they

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Speaker 13: can close the gaps for how Russia is still getting

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Speaker 13: some material from third world countries, third party countries, excuse me.

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Speaker 13: And then of course China, how do they tackle China.

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Speaker 13: We know the United States wants to come out and

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Speaker 13: talk about economic coersion with China, but the issue they

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Speaker 13: have is how do they agree and get all of

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Speaker 13: the seven countries to not just agree on language, but

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Speaker 13: beyond language, what can actually be done Because all of

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Speaker 13: these economies, whether it's trade, whether it's investment, whether it's

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Speaker 13: supply chains, are critically linked with Beijing. So these going

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Speaker 13: to be very difficult conversations. And then to top it

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Speaker 13: off all for the president, he is going to feel

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Speaker 13: a tremendous amount of pressure for obviously negotiations that are

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Speaker 13: taking place back home in Washington, DC, and it is

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Speaker 13: a thirteen hour, brutal time difference, So it's going to

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Speaker 13: be a big one for this team to work through.

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Speaker 2: Yeah, to your point on the China question, Anne, Marie,

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Speaker 2: we've seen the leaders at this summit specifically taking some

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Speaker 2: pretty broad approaches when it comes to confronting President She

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Speaker 2: we had Emmanuel Macron, the president of France, take a

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Speaker 2: more open stance while the US is trying to get

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Speaker 2: past some of the tensions following the spy balloon incident

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Speaker 2: back in February. How can this gathering potentially lead to

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Speaker 2: some kind of consensus on just how to tackle the

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Speaker 2: Chinese question.

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Speaker 13: Well, they're looking to send a signal to China and

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Speaker 13: they're going to be announcing a joint effort according to

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Speaker 13: our reporting, to counter this economic coersion. But you know,

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Speaker 13: you mentioned Emmanue Macron, you mentioned what the president is doing.

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Speaker 13: What you're going to hear? I think a lot of languages,

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Speaker 13: there is a lot of talk of decoupling at one point.

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Speaker 13: Now everyone's talking about de risking. Amaanu. Macron will be

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Speaker 13: definitely one that is going to be watched because he

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Speaker 13: of course had this what Summer's definitely saying, and if

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Speaker 13: it's say it's a controversial trip that he talked about

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Speaker 13: strategic autonomy when it comes to China and how he

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Speaker 13: didn't want to decouple. But then you're going to look

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Speaker 13: at other leaders like Italy's Georgia Maloney, who recently met

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Speaker 13: with Speaker McCarthy and from our reporting, she told him

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Speaker 13: that they do plan to get out of China's Belton

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Speaker 13: Road initiative. So potentially some wins for the United States.

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Speaker 13: But the issue is how can they all align on

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Speaker 13: the actions, because for China it's very difficult in terms

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Speaker 13: of the economics work that is being done in each

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Speaker 13: individual country's trade, the investment. There's one potential area where

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Speaker 13: we could hear talk, and this is about outbound investment restrictions.

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Speaker 13: To that, Secretary Yellen when I was in the Gatta

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Speaker 13: spoke about this at the Finance Minister's meeting. She wants

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Speaker 13: to talk to other countries about it. But even that

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Speaker 13: at the moment looks very narrow in the scope. So potential,

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Speaker 13: there's going to be a lot of talk on China,

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Speaker 13: but really what happens in terms of tangible deliverables is

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Speaker 13: the big question.

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Speaker 4: Got about a minute left here, Anne Marie.

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Speaker 2: The President has said he's going to stay engaged with

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Speaker 2: the negotiations on the debt ceiling back in Washington. How

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Speaker 2: much of an overhang could this be for the other

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Speaker 2: leaders gathered at the G seven when it comes to

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Speaker 2: the US standing.

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Speaker 13: In the world, well, already, the President had a cancel

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Speaker 13: part of his trip. He was going to pop A

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Speaker 13: New Guinea, which was supposed to be a big play

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Speaker 13: on a tour in China, and he was also going

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Speaker 13: to Australia meeting with the Quad. They are going to

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Speaker 13: be here and have a sideline meeting alongside the G seven.

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Speaker 13: But the President was making a bigger push in the

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Speaker 13: Asia Pacific and he had to cut short to be

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Speaker 13: with what is going on domestically. So there will be

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Speaker 13: probably a lot of criticism for that on the international

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Speaker 13: stage that domestic politics is getting getting in the way

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Speaker 13: of foreign policy. We also have criticism back home for

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Speaker 13: the president, Super McCarthy telling the President stop hiding, stop traveling.

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Speaker 13: This is going to be a big one for the president,

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Speaker 13: but he exhibited a lot of confidence before he left

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Speaker 13: that he thinks his team dealing with the Republicans can

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Speaker 13: find an agreement.

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