1 00:00:02,520 --> 00:00:10,119 Speaker 1: Bloomberg Audio Studios, Podcasts, radio news. You're listening to the 2 00:00:10,119 --> 00:00:13,880 Speaker 1: Bloomberg Balance of Power podcast. Catch us live weekdays at 3 00:00:13,920 --> 00:00:17,120 Speaker 1: noon and five pm Eastern on Apple Coarckley, and Android 4 00:00:17,160 --> 00:00:20,560 Speaker 1: Auto with the Bloomberg Business App. Listen on demand wherever 5 00:00:20,600 --> 00:00:25,000 Speaker 1: you get your podcasts, or watch us live on YouTube. 6 00:00:25,400 --> 00:00:27,160 Speaker 2: We've got a lot to cover as we count down 7 00:00:27,400 --> 00:00:29,400 Speaker 2: to an important event of the White House about an 8 00:00:29,480 --> 00:00:33,839 Speaker 2: hour from now, and it involves farm aid. This is 9 00:00:33,840 --> 00:00:36,720 Speaker 2: a story that came exclusively from Bloomberg and White House 10 00:00:36,720 --> 00:00:40,919 Speaker 2: correspondent Scottler Woodhouse, as the President prepares to sign an 11 00:00:40,920 --> 00:00:43,639 Speaker 2: EO that may or may not help the farmers who 12 00:00:43,680 --> 00:00:48,159 Speaker 2: have been impacted by the President's tariff regime. Twelve billion 13 00:00:48,240 --> 00:00:50,479 Speaker 2: dollars is the number that we're looking at right now, 14 00:00:50,479 --> 00:00:54,000 Speaker 2: and we have Bloomberg Washington correspondent Tyler Kendall with us 15 00:00:54,040 --> 00:00:57,200 Speaker 2: here in studio with the details as we know them. Tyler, 16 00:00:57,240 --> 00:00:58,840 Speaker 2: it's great to see you. This is something that's been 17 00:00:58,880 --> 00:01:01,800 Speaker 2: porking for some time. The President has spoken openly about 18 00:01:01,840 --> 00:01:04,720 Speaker 2: sending aid to farmers. In this case, it doesn't seem 19 00:01:04,720 --> 00:01:05,679 Speaker 2: to be a number that's going to. 20 00:01:05,680 --> 00:01:08,200 Speaker 3: Make up the difference, right and this is long awaited 21 00:01:08,240 --> 00:01:12,720 Speaker 3: assistance for a real key support group for the president. Now, 22 00:01:12,760 --> 00:01:15,680 Speaker 3: as you mentioned, we're expecting about twelve billion dollars worth 23 00:01:15,720 --> 00:01:17,559 Speaker 3: of aid to be in this package. This is going 24 00:01:17,800 --> 00:01:20,559 Speaker 3: to include these one time aid payments. 25 00:01:20,120 --> 00:01:21,280 Speaker 2: To crop farmers. 26 00:01:21,280 --> 00:01:24,440 Speaker 3: This is actually a newly established program from the Department 27 00:01:24,480 --> 00:01:27,959 Speaker 3: of Agriculture known as the Farmer Bridge Assistance Program. I 28 00:01:28,000 --> 00:01:31,240 Speaker 3: did speak to one senior administration official earlier today to 29 00:01:31,280 --> 00:01:34,000 Speaker 3: get a little bit more details about exactly who qualifies 30 00:01:34,040 --> 00:01:36,840 Speaker 3: for this. This will be for farmers that have an 31 00:01:36,959 --> 00:01:41,920 Speaker 3: average adjusted gross income of less than nine hundred thousand dollars. 32 00:01:41,959 --> 00:01:44,039 Speaker 3: The administration says that this is supposed to be going 33 00:01:44,280 --> 00:01:48,800 Speaker 3: towards those smaller family farmers instead of bigger corporations. And 34 00:01:48,840 --> 00:01:50,520 Speaker 3: there's a few different steps they're going to have to 35 00:01:50,560 --> 00:01:53,280 Speaker 3: fill out pretty quickly. Actually, they have between today and 36 00:01:53,360 --> 00:01:56,840 Speaker 3: December nineteenth, Joe, that's the deadline for them to submit 37 00:01:56,880 --> 00:02:00,320 Speaker 3: something known as their acreage reporting data because the cently 38 00:02:00,480 --> 00:02:03,040 Speaker 3: the federal government is going to give them aid based 39 00:02:03,040 --> 00:02:05,400 Speaker 3: on how much land they are planting. And then this 40 00:02:05,480 --> 00:02:08,880 Speaker 3: official tells me that the administration has this hard deadline set. 41 00:02:08,919 --> 00:02:12,240 Speaker 3: It's February twenty eighth of twenty twenty six. That is 42 00:02:12,280 --> 00:02:14,760 Speaker 3: when these farmers can expect the cash to be in 43 00:02:14,760 --> 00:02:16,919 Speaker 3: their accounts. So they're going to try to get those 44 00:02:16,960 --> 00:02:19,600 Speaker 3: checks out quicker because much to your point, they've been 45 00:02:19,600 --> 00:02:21,799 Speaker 3: waiting for this, we know for months, and one of 46 00:02:21,840 --> 00:02:24,200 Speaker 3: the reasons why it was actually delayed is because of 47 00:02:24,240 --> 00:02:27,360 Speaker 3: the government shutdown. It was our understanding that these local 48 00:02:28,040 --> 00:02:31,280 Speaker 3: farm Service agency offices were shuttered during it. They were 49 00:02:31,280 --> 00:02:34,280 Speaker 3: not deemed essential and therefore they had to delay this 50 00:02:34,440 --> 00:02:37,400 Speaker 3: role out to give it to time to be implemented 51 00:02:37,400 --> 00:02:38,560 Speaker 3: and properly alligated. 52 00:02:38,680 --> 00:02:42,480 Speaker 2: Really interesting, and as Nathan Dean's analysis at Bloomberg Intelligence reminds, 53 00:02:42,600 --> 00:02:45,160 Speaker 2: split the plans for spring planting season are well under 54 00:02:45,160 --> 00:02:47,880 Speaker 2: way now, so timing is super critical here, and from 55 00:02:47,919 --> 00:02:49,600 Speaker 2: what we understand, they'll have to go right back to 56 00:02:49,639 --> 00:02:52,960 Speaker 2: the drawing board on another aid package for next year. 57 00:02:52,960 --> 00:02:54,720 Speaker 2: Are you hearing about that at the White House? Wait? 58 00:02:54,760 --> 00:02:57,800 Speaker 3: So that's actually incredibly important, particularly when we put it 59 00:02:57,840 --> 00:03:00,560 Speaker 3: into context when it comes to soybean farmers, right, because 60 00:03:00,600 --> 00:03:02,480 Speaker 3: this is a group of farmers that has really been 61 00:03:02,520 --> 00:03:05,680 Speaker 3: squeezed when it comes to these trade tensions with China. 62 00:03:05,720 --> 00:03:09,840 Speaker 3: And I'll give you some statistics here. One is that 63 00:03:10,080 --> 00:03:12,919 Speaker 3: after that meeting with President Trump back in October, between 64 00:03:13,000 --> 00:03:15,120 Speaker 3: him and Chinese President Jijing Ping, we did start to 65 00:03:15,120 --> 00:03:19,760 Speaker 3: see this gradual resuming of Swabean purchases from China, but 66 00:03:19,840 --> 00:03:23,120 Speaker 3: they haven't really reached the levels that we would like 67 00:03:23,160 --> 00:03:25,040 Speaker 3: to see yet so far. If we look at the data, 68 00:03:25,280 --> 00:03:28,000 Speaker 3: China's made good on about twenty three percent of its 69 00:03:28,000 --> 00:03:31,040 Speaker 3: purchase commitments. Now Beijing does have until February, so there 70 00:03:31,120 --> 00:03:33,800 Speaker 3: is still time here. We heard from the USTR Jamis 71 00:03:33,800 --> 00:03:36,120 Speaker 3: and Greer over the weekend that said that China is 72 00:03:36,200 --> 00:03:38,840 Speaker 3: on track to meet those full obligations, but it does 73 00:03:38,920 --> 00:03:41,640 Speaker 3: raise questions about how much aid could be needed if 74 00:03:41,680 --> 00:03:44,480 Speaker 3: there is this delay when it comes to purchases. And 75 00:03:44,520 --> 00:03:46,480 Speaker 3: it's also important to note that while we have seen 76 00:03:46,520 --> 00:03:50,080 Speaker 3: a run up in soybean futures after that meeting between 77 00:03:50,120 --> 00:03:53,640 Speaker 3: President Trump and Chinese President Jijing, paying the spurt of optimism, 78 00:03:54,080 --> 00:03:57,600 Speaker 3: really we're actually seeing these price levels near twenty twenty lows. 79 00:03:57,640 --> 00:04:00,240 Speaker 2: Fascinating. Tyler. I want to ask you before you leave 80 00:04:00,280 --> 00:04:03,920 Speaker 2: us about Slaughter versus Trump. There are arguments being made 81 00:04:03,920 --> 00:04:06,680 Speaker 2: before the Supreme Court today that our audience should be 82 00:04:06,680 --> 00:04:11,160 Speaker 2: aware of we actually spend some time with Rebecca Slaughter 83 00:04:11,280 --> 00:04:13,640 Speaker 2: here on balance of power. This case is being watched 84 00:04:13,720 --> 00:04:17,440 Speaker 2: very closely when it comes to executive authority over the 85 00:04:17,480 --> 00:04:21,200 Speaker 2: ability to hire and fire department heads agency heads to 86 00:04:21,240 --> 00:04:23,680 Speaker 2: be more specific. And of course we've all got Jpowell 87 00:04:24,279 --> 00:04:26,599 Speaker 2: in mind on this one. What are we hearing right exactly? 88 00:04:26,640 --> 00:04:28,800 Speaker 3: So our headline on the terminal is that the Supreme 89 00:04:28,839 --> 00:04:31,880 Speaker 3: Court is signaling it will back President Trump's firing of 90 00:04:32,000 --> 00:04:35,960 Speaker 3: agency leaders. Now we should say there's no decision here yet. 91 00:04:36,040 --> 00:04:39,120 Speaker 3: For anybody that's covered or been to oral arguments, we 92 00:04:39,240 --> 00:04:43,360 Speaker 3: sort of listen into the Justice's line of questioning their responses. 93 00:04:44,200 --> 00:04:46,440 Speaker 3: They're back and forth when it comes to the case, 94 00:04:46,440 --> 00:04:49,720 Speaker 3: to glean some details on how they're thinking about this. Now, 95 00:04:49,760 --> 00:04:52,240 Speaker 3: I will say that we had an indication that the 96 00:04:52,240 --> 00:04:55,760 Speaker 3: Supreme Court was likely going to signal that they're weighing 97 00:04:55,760 --> 00:04:59,720 Speaker 3: in the administration's favor, because we had this document from 98 00:04:59,760 --> 00:05:04,279 Speaker 3: the Justice John Roberts back in September that actually said 99 00:05:04,360 --> 00:05:06,440 Speaker 3: that Slaughter should not be in her role while the 100 00:05:06,440 --> 00:05:10,760 Speaker 3: broader issue of her legal legality of her firing plays 101 00:05:10,760 --> 00:05:13,760 Speaker 3: out in court. Now, this is separate from the Lisa 102 00:05:13,760 --> 00:05:16,839 Speaker 3: Cook case. Those arguments are going to happen on January 103 00:05:16,839 --> 00:05:19,280 Speaker 3: twenty first. But separately, she's still allowed to be on 104 00:05:19,320 --> 00:05:22,240 Speaker 3: the FMC as a governor and making these decisions, so 105 00:05:22,320 --> 00:05:24,560 Speaker 3: there is a distinction here. Before the case is legal 106 00:05:24,560 --> 00:05:26,599 Speaker 3: experts tell us that we likely won't get a ruling 107 00:05:26,640 --> 00:05:30,320 Speaker 3: on this FTC case until after the Lisa Cook hearing 108 00:05:30,800 --> 00:05:32,440 Speaker 3: is done. But Joe, at the crux of this is 109 00:05:32,480 --> 00:05:35,359 Speaker 3: that we could see the overturning of really important legal 110 00:05:35,400 --> 00:05:38,400 Speaker 3: precedent known as Humphrey's Executor. That's a nineteen thirty five 111 00:05:38,680 --> 00:05:43,280 Speaker 3: law that protects independent regulators and agencies from being fired 112 00:05:43,600 --> 00:05:45,960 Speaker 3: without cause. And you're going to hear us talk so 113 00:05:46,120 --> 00:05:49,880 Speaker 3: much about cause because it's not explicitly defined in the law, 114 00:05:49,920 --> 00:05:53,280 Speaker 3: but it's typically taken to mean malfeasance or neglect of 115 00:05:53,400 --> 00:05:56,960 Speaker 3: duties related to the job. So we'll have to see 116 00:05:56,960 --> 00:05:59,520 Speaker 3: how this ultimately rules out. Again, I will mention two 117 00:05:59,520 --> 00:06:03,000 Speaker 3: separate case, but big implement implications when it comes. 118 00:06:02,880 --> 00:06:03,320 Speaker 2: To the FED. 119 00:06:03,360 --> 00:06:05,800 Speaker 3: But again, don't forget the Supreme Court had signaled that 120 00:06:05,839 --> 00:06:08,680 Speaker 3: there could be a carve out for the Federal Reserve, 121 00:06:08,760 --> 00:06:11,560 Speaker 3: so they might not totally be intertwinedy. 122 00:06:11,120 --> 00:06:13,760 Speaker 2: Really interesting, great reporting Tyler, Thank you so much, Bloomberg 123 00:06:13,800 --> 00:06:15,360 Speaker 2: Tyler Kendall. We're glad to have her back in the 124 00:06:15,400 --> 00:06:17,599 Speaker 2: mix today with a number of stories coming from the 125 00:06:17,600 --> 00:06:19,880 Speaker 2: White House, and we'll go there later on after two 126 00:06:19,960 --> 00:06:22,840 Speaker 2: pm Eastern when the President signs that Eo'd be very 127 00:06:22,880 --> 00:06:25,520 Speaker 2: curious to see if that's open to reporters questions, and 128 00:06:25,520 --> 00:06:27,920 Speaker 2: if so, you can count on hearing it and seeing 129 00:06:28,000 --> 00:06:31,159 Speaker 2: it right here on Bloomberg TV and radio, all the 130 00:06:31,200 --> 00:06:34,760 Speaker 2: while the President making news on Ukraine. This happened last 131 00:06:34,800 --> 00:06:37,479 Speaker 2: evening at the Kennedy Center, when the President Donald Trump 132 00:06:37,480 --> 00:06:41,479 Speaker 2: became the first US president to host the Kennedy Center Awards, 133 00:06:41,480 --> 00:06:43,440 Speaker 2: and he spent some time on the red carpet with 134 00:06:43,560 --> 00:06:47,880 Speaker 2: the First Lady. Knowing today Ukrainian President Volodimir Zelenski would 135 00:06:47,920 --> 00:06:53,320 Speaker 2: be meeting with NATO allies, says negotiations underway right now 136 00:06:53,520 --> 00:06:57,240 Speaker 2: are leaving him wanting discussing a US broker peace initiative 137 00:06:57,240 --> 00:07:01,240 Speaker 2: and remaining divided over territory including con over, the Don 138 00:07:01,320 --> 00:07:04,640 Speaker 2: Bas and Eastern regions of Ukraine. There's no compromise yet, 139 00:07:04,680 --> 00:07:09,640 Speaker 2: says Zelensky. President Trump suggesting before reporters last evening that 140 00:07:09,680 --> 00:07:12,840 Speaker 2: he's not happy once again with President Zelensky, because he 141 00:07:12,880 --> 00:07:15,720 Speaker 2: hasn't taken this deal, or, as it turns out, even 142 00:07:15,720 --> 00:07:16,920 Speaker 2: read it. Here's Donald Trump. 143 00:07:17,400 --> 00:07:20,520 Speaker 4: So we've been speaking to President Putin and who we've 144 00:07:20,560 --> 00:07:27,480 Speaker 4: been speaking to Ukrainian leaders, including Zelenski. President Zelenski, and 145 00:07:27,600 --> 00:07:29,800 Speaker 4: I have to say that I'm a little bit disappointed 146 00:07:29,920 --> 00:07:33,240 Speaker 4: that President Zelensky hasn't yet read the proposal that was 147 00:07:33,280 --> 00:07:34,560 Speaker 4: as a few hours ago. 148 00:07:36,000 --> 00:07:39,480 Speaker 2: That's where we start our conversation with the Foreign Minister 149 00:07:39,880 --> 00:07:43,640 Speaker 2: of Finland, Alina Valton, and is with us from World 150 00:07:43,680 --> 00:07:46,040 Speaker 2: Headquarters in New York in New York this week to 151 00:07:46,080 --> 00:07:49,840 Speaker 2: brief the UN Security Council on her role representing Finland's 152 00:07:50,080 --> 00:07:53,920 Speaker 2: OSSEE chairpersonship and of course coming at a very important 153 00:07:53,920 --> 00:07:58,000 Speaker 2: moment in peace negotiations. Minister Valton and welcome to Bloomberg 154 00:07:58,040 --> 00:07:59,800 Speaker 2: TV and Radio. It's great to see you, and thank 155 00:07:59,840 --> 00:08:03,120 Speaker 2: you for being in our offices in New York. I'm wondering, 156 00:08:03,200 --> 00:08:06,160 Speaker 2: based on what you heard there from the President if 157 00:08:06,280 --> 00:08:09,840 Speaker 2: you're concerned that he is turning away once again from 158 00:08:09,920 --> 00:08:11,000 Speaker 2: Voladimir Zelensky. 159 00:08:12,160 --> 00:08:15,160 Speaker 5: Well, thank you so much for having me. Yeah, well, 160 00:08:15,240 --> 00:08:19,600 Speaker 5: let's see what happens. I think it's quite clear that 161 00:08:20,320 --> 00:08:26,000 Speaker 5: Russia's Putin is quite impressed by what's going on at 162 00:08:26,000 --> 00:08:31,840 Speaker 5: this moment. He admires President Trump, he admires basically the 163 00:08:31,880 --> 00:08:35,840 Speaker 5: military power that the US can project, but at the 164 00:08:35,840 --> 00:08:40,880 Speaker 5: same time he's the one really despising the American way 165 00:08:40,920 --> 00:08:43,760 Speaker 5: of life. I would say the European way of life 166 00:08:43,760 --> 00:08:48,400 Speaker 5: as well, which you know grants freedom to all individuals, 167 00:08:48,480 --> 00:08:51,520 Speaker 5: and this is ultimately what the Ukrainian people want to 168 00:08:51,559 --> 00:08:56,559 Speaker 5: achieve as well. And the President of Ukraine, President Zelenski, 169 00:08:57,160 --> 00:09:00,800 Speaker 5: he is liable to his own people and a piece 170 00:09:00,880 --> 00:09:05,880 Speaker 5: deal which you know the Ukrainians wouldn't accept is obviously 171 00:09:05,920 --> 00:09:08,880 Speaker 5: not something that he will digest easily. 172 00:09:10,040 --> 00:09:14,119 Speaker 2: Sure. President Zelenski talked about this moment and the support 173 00:09:14,480 --> 00:09:16,439 Speaker 2: that he says he needs from Europe and the United 174 00:09:16,480 --> 00:09:19,600 Speaker 2: States earlier today. Let's listen to what he said, thanks, 175 00:09:19,640 --> 00:09:20,920 Speaker 2: which are very well and for to be. 176 00:09:21,160 --> 00:09:27,520 Speaker 6: I think unity between Europe and Ukraine and also into. 177 00:09:27,160 --> 00:09:29,520 Speaker 2: Between Europe Prein and the United. 178 00:09:29,160 --> 00:09:33,560 Speaker 6: States through usage which we can't manage without Parners. Things 179 00:09:33,640 --> 00:09:37,120 Speaker 6: we should we convanish without Europe, and that's why we 180 00:09:37,200 --> 00:09:39,840 Speaker 6: need to make some important decisions. 181 00:09:41,840 --> 00:09:44,240 Speaker 2: If you're having trouble hearing us on the radio, Zelenski 182 00:09:44,280 --> 00:09:46,160 Speaker 2: is saying there are some things which we cannot manage 183 00:09:46,160 --> 00:09:50,760 Speaker 2: without Americans, things we cannot manage without Europe. So that said, minister, 184 00:09:50,880 --> 00:09:55,280 Speaker 2: I'm curious your thoughts about the administration's national security strategy 185 00:09:55,280 --> 00:09:58,480 Speaker 2: that argues that Europe's cultural and political failures like immigration 186 00:09:58,600 --> 00:10:03,120 Speaker 2: and censorship posts threat to the continent's way of life. 187 00:10:03,160 --> 00:10:06,199 Speaker 2: What do you make of the president's posture towards Europe. 188 00:10:07,200 --> 00:10:10,880 Speaker 5: Well, first of all, the European countries are democracies, and 189 00:10:11,280 --> 00:10:15,760 Speaker 5: in our constituencies, our people decide how to rule our countries. 190 00:10:15,800 --> 00:10:19,679 Speaker 5: In Finland, the share of people with foreign descent is 191 00:10:19,760 --> 00:10:22,880 Speaker 5: about eight percent, and I understand in the United States 192 00:10:22,920 --> 00:10:31,800 Speaker 5: it's like fifteen percent. So Europe is organized as smaller 193 00:10:31,840 --> 00:10:36,559 Speaker 5: countries within the European Union. The European Union is our 194 00:10:36,600 --> 00:10:38,320 Speaker 5: way of organizing ourselves. 195 00:10:39,520 --> 00:10:42,160 Speaker 2: It enjoys around. 196 00:10:42,120 --> 00:10:45,280 Speaker 5: Sixty to seventy percent of approval rate among the population, 197 00:10:45,320 --> 00:10:49,080 Speaker 5: which is pretty pretty high. But I wouldn't you know, 198 00:10:50,640 --> 00:10:53,400 Speaker 5: in a way, I think it's fair that within the 199 00:10:53,559 --> 00:10:56,600 Speaker 5: so to say, the family of the Transatlantic relationship, that 200 00:10:56,679 --> 00:11:00,320 Speaker 5: we are also able to criticize each other and have 201 00:11:00,360 --> 00:11:03,760 Speaker 5: a problem with that, but at the same time, I 202 00:11:03,840 --> 00:11:08,040 Speaker 5: just hope that the strong link we have will also 203 00:11:08,640 --> 00:11:11,080 Speaker 5: continue in the future, because at the end of the day, 204 00:11:11,559 --> 00:11:15,160 Speaker 5: the world would look so much worse if the free 205 00:11:15,240 --> 00:11:19,280 Speaker 5: world didn't exist, or if it didn't held together. 206 00:11:20,440 --> 00:11:22,520 Speaker 2: Well, I'm happy to hear you refer to us as 207 00:11:22,520 --> 00:11:25,480 Speaker 2: a family minister, and I'd like to just zero went 208 00:11:25,520 --> 00:11:29,240 Speaker 2: a little bit more closely on Finland's relationship with the 209 00:11:29,360 --> 00:11:32,520 Speaker 2: United States, because your President Stubb Stub, i should say, 210 00:11:32,520 --> 00:11:35,760 Speaker 2: has played golf with President Trump. They've talked frequently and 211 00:11:35,800 --> 00:11:38,520 Speaker 2: have developed a bit of a relationship. How close are 212 00:11:38,520 --> 00:11:40,320 Speaker 2: they at this point and to what extent has that 213 00:11:40,480 --> 00:11:44,680 Speaker 2: helped Finland in trying to keep the president committed to 214 00:11:44,760 --> 00:11:45,560 Speaker 2: European peace. 215 00:11:46,840 --> 00:11:49,880 Speaker 5: Well, I guess it has been a very good avenue 216 00:11:49,960 --> 00:11:55,280 Speaker 5: both ways in transferring ideas and messages, and of course 217 00:11:55,600 --> 00:12:00,640 Speaker 5: golf diplomacy apparently works. At the same time, of course, 218 00:12:00,960 --> 00:12:06,280 Speaker 5: Filand has very strong ties with the United States on so. 219 00:12:06,280 --> 00:12:08,120 Speaker 2: Many levels, in trade, in. 220 00:12:08,400 --> 00:12:13,680 Speaker 5: Technology, in science, and then of course through strong investments 221 00:12:13,679 --> 00:12:17,800 Speaker 5: into defense and deterrance. But at the same time, Filand 222 00:12:18,200 --> 00:12:21,160 Speaker 5: is part of the European Union, and we would hope 223 00:12:22,000 --> 00:12:27,360 Speaker 5: that there was a possibility very soon in the future 224 00:12:27,480 --> 00:12:33,800 Speaker 5: to really deepen our trade ties between Europe and the US. 225 00:12:34,280 --> 00:12:37,760 Speaker 5: Europe has not imposed any tariffs on the United States. 226 00:12:38,320 --> 00:12:41,720 Speaker 5: There's fifteen on Europe. There are many things we should 227 00:12:42,640 --> 00:12:45,839 Speaker 5: try and work out together. Reducing red tape is an 228 00:12:45,840 --> 00:12:50,120 Speaker 5: interest on both sides, but we should do that in friendship, 229 00:12:50,280 --> 00:12:52,840 Speaker 5: and at the same time we should impose tariffs and 230 00:12:52,880 --> 00:12:57,680 Speaker 5: sanctions on the true adversaries we face as the free people, 231 00:12:57,880 --> 00:13:02,400 Speaker 5: and that is certainly Russia, then their friends. I'm a 232 00:13:02,440 --> 00:13:07,200 Speaker 5: little bit worried now, to be honest, what the next 233 00:13:07,600 --> 00:13:11,760 Speaker 5: days and weeks will bring in the sense that of course, we, 234 00:13:12,360 --> 00:13:14,360 Speaker 5: just like the Ukrainians, want to have peace as soon 235 00:13:14,360 --> 00:13:18,040 Speaker 5: as possible, but not at any cost, because certainly, if 236 00:13:18,040 --> 00:13:21,359 Speaker 5: this war is in Trump's war, which it totally isn't, 237 00:13:22,160 --> 00:13:25,679 Speaker 5: the peace will be Trump's peace. And I'm sure President 238 00:13:25,679 --> 00:13:29,480 Speaker 5: Trump is interested in having a lasting peace, and if 239 00:13:29,480 --> 00:13:32,280 Speaker 5: it's not just then it typically wouldn't last. 240 00:13:34,040 --> 00:13:35,920 Speaker 2: Really interesting to hear you talk about that. It will 241 00:13:35,960 --> 00:13:39,800 Speaker 2: remind our audience that Finland shares eight hundred and thirty 242 00:13:39,880 --> 00:13:43,640 Speaker 2: miles of land border with Russia. When you talk about 243 00:13:43,679 --> 00:13:47,520 Speaker 2: your worry, there is there a scenario when you consider 244 00:13:47,559 --> 00:13:50,080 Speaker 2: the options of the outcome of this war that could 245 00:13:50,080 --> 00:13:51,560 Speaker 2: make Finland less safe. 246 00:13:53,200 --> 00:13:56,439 Speaker 5: Well, you see, we had the Native Ministerial last week 247 00:13:56,720 --> 00:14:01,199 Speaker 5: in Brussels, and within the Alliance we agreed to one 248 00:14:01,280 --> 00:14:06,840 Speaker 5: hundred percent that the largest threat that the Transatlantic Alliance 249 00:14:06,920 --> 00:14:10,679 Speaker 5: is facing and unfortunately for the long term, is Russia. 250 00:14:11,480 --> 00:14:14,880 Speaker 5: And that means that, of course the threat that Russia 251 00:14:14,920 --> 00:14:18,000 Speaker 5: is posing is not only visible in Ukraine, but it's 252 00:14:18,200 --> 00:14:22,080 Speaker 5: actually visible in the rest of Europe as well. But 253 00:14:22,120 --> 00:14:24,000 Speaker 5: I should say also in the rest of the world. 254 00:14:24,040 --> 00:14:27,320 Speaker 5: I mean, if people have paid attention, Russia has been 255 00:14:27,440 --> 00:14:32,680 Speaker 5: organizing military coups in Africa, for instance, to cause irregular 256 00:14:32,720 --> 00:14:37,320 Speaker 5: migration and of course suffering for the people. Russia is 257 00:14:37,360 --> 00:14:41,560 Speaker 5: active in the Arctic and doesn't shy a way of 258 00:14:42,400 --> 00:14:45,800 Speaker 5: partnering up with the other rogue states around the world. 259 00:14:45,920 --> 00:14:49,000 Speaker 5: So certainly Russia is the threat to entire world peace. 260 00:14:50,040 --> 00:14:52,800 Speaker 5: I'm not so worried about Finland. We have always invested 261 00:14:52,880 --> 00:14:57,000 Speaker 5: very heavily in defense and deterrence, and now that Finland, 262 00:14:57,000 --> 00:14:59,040 Speaker 5: together with Sweden we also joined NATA a couple of 263 00:14:59,120 --> 00:15:03,040 Speaker 5: years ago, I think the alliance is stronger than ever since. 264 00:15:03,080 --> 00:15:06,640 Speaker 5: Also now Europe is really chipping in. But at the 265 00:15:06,680 --> 00:15:13,200 Speaker 5: same time, I'm truly worried whether we understand that we 266 00:15:13,360 --> 00:15:17,400 Speaker 5: need to deter Russia. Russia is the aggressor in this war, 267 00:15:17,760 --> 00:15:21,760 Speaker 5: and to find lasting peace for Ukraine and for the 268 00:15:21,800 --> 00:15:26,160 Speaker 5: rest of us, we need to be showing Russia some 269 00:15:26,280 --> 00:15:29,600 Speaker 5: strength and we need to have Russia stay within its borders. 270 00:15:29,800 --> 00:15:33,360 Speaker 2: Yes, right, well to that end, You've argued that even 271 00:15:33,400 --> 00:15:37,160 Speaker 2: after a peace agreement, Russia may well remain a threat, 272 00:15:37,160 --> 00:15:40,240 Speaker 2: and history certainly reinforces that. As Europe seeks a way 273 00:15:40,800 --> 00:15:44,280 Speaker 2: to use frozen Russian Central Bank assets to fund the 274 00:15:44,320 --> 00:15:47,840 Speaker 2: rebuilding of Ukraine, we only have a moment left, Minister. 275 00:15:47,920 --> 00:15:49,760 Speaker 2: How close are we to getting an answer on that. 276 00:15:50,720 --> 00:15:52,960 Speaker 5: We are very close to finding an answer to that. 277 00:15:53,040 --> 00:15:57,760 Speaker 5: We will have the meeting next week of European heads 278 00:15:57,800 --> 00:16:00,880 Speaker 5: of states, and we are now quite close to finding 279 00:16:01,520 --> 00:16:05,680 Speaker 5: legally and politically sustainable solution to this. And I think 280 00:16:06,800 --> 00:16:13,800 Speaker 5: using the Russian Central Bank's assets for funding the survival 281 00:16:13,840 --> 00:16:17,560 Speaker 5: of Ukraine is not only morally, but in so many 282 00:16:17,800 --> 00:16:20,000 Speaker 5: other ways also the right thing to do. 283 00:16:21,440 --> 00:16:25,000 Speaker 2: She's the Minister of Foreign Affairs in Finland, Elena Valtenen. 284 00:16:25,120 --> 00:16:26,840 Speaker 2: I hope we can do this in person next time. 285 00:16:26,880 --> 00:16:29,080 Speaker 2: Thank you so much for being with us today. Thanks 286 00:16:29,080 --> 00:16:32,320 Speaker 2: ELM TV and Radio. I'm Joe, Matthew and Washington. Will 287 00:16:32,320 --> 00:16:35,600 Speaker 2: have much more ahead, including our conversation with the Administrator 288 00:16:35,680 --> 00:16:39,400 Speaker 2: of the Small Business Administration. SBA's Kelly Leffler will be 289 00:16:39,440 --> 00:16:41,960 Speaker 2: with us coming up straight ahead here on Balance of Power. 290 00:16:41,960 --> 00:16:45,040 Speaker 2: I'm Joe, Matthew and Washington. This is Bloomberg. Stay with 291 00:16:45,160 --> 00:16:47,360 Speaker 2: us on Balance of Power. We'll have much more coming 292 00:16:47,400 --> 00:16:48,040 Speaker 2: up after this. 293 00:16:52,360 --> 00:16:55,840 Speaker 1: You're listening to the Bloomberg Balance of Power podcast. Catch 294 00:16:55,920 --> 00:16:58,960 Speaker 1: us live weekdays at noon and five pm Eastern on 295 00:16:59,080 --> 00:17:02,440 Speaker 1: Apple Cockley Android Auto with the Bloomberg Business App. You 296 00:17:02,480 --> 00:17:05,960 Speaker 1: can also listen live on Amazon Alexa from our flagship 297 00:17:06,040 --> 00:17:09,920 Speaker 1: New York station, Just say Alexa play Bloomberg eleven thirty. 298 00:17:11,320 --> 00:17:12,920 Speaker 2: Thank you for being with us here on the Monday 299 00:17:13,040 --> 00:17:17,240 Speaker 2: edition of Balance of Power. Interesting conversation already with our 300 00:17:17,320 --> 00:17:20,639 Speaker 2: update on farm aid from the White House courtesy Tyler Kendall. 301 00:17:20,680 --> 00:17:24,240 Speaker 2: We did geopolitics with the Foreign Minister of Finland with 302 00:17:24,320 --> 00:17:27,560 Speaker 2: news today on Ukraine, and we turn to the economy 303 00:17:27,600 --> 00:17:31,080 Speaker 2: now with the help of the Administrator of the US 304 00:17:31,119 --> 00:17:36,000 Speaker 2: Small Business Administration. That of course this day before the 305 00:17:36,000 --> 00:17:39,159 Speaker 2: President flies to Pennsylvania would be Kelly Leffler. Around this 306 00:17:39,320 --> 00:17:41,879 Speaker 2: time tomorrow, we're going to be talking about the presidential 307 00:17:41,920 --> 00:17:44,280 Speaker 2: trip that is supposed to be the first of many 308 00:17:44,720 --> 00:17:47,560 Speaker 2: as the President beats the drum on what he sees 309 00:17:47,760 --> 00:17:51,280 Speaker 2: as the economic advantages coming from his administration. And it's 310 00:17:51,280 --> 00:17:53,720 Speaker 2: a pleasure to have Administrator Leffler with us now from 311 00:17:53,920 --> 00:17:56,640 Speaker 2: our world's headquarters in New York. Welcome back to Bloomberg 312 00:17:56,720 --> 00:17:59,560 Speaker 2: TV and Radio. What's the message going to be from 313 00:17:59,600 --> 00:18:04,600 Speaker 2: the President and tomorrow when it comes to specifically cost, inflation, affordability, 314 00:18:04,640 --> 00:18:08,560 Speaker 2: whatever word you want to use, Administrator, can we say 315 00:18:08,560 --> 00:18:09,879 Speaker 2: that inflation is cooling? 316 00:18:10,760 --> 00:18:12,840 Speaker 7: Well, it absolutely is, Joe, and it's great to be 317 00:18:12,880 --> 00:18:16,560 Speaker 7: with you. Look, under President Trump, inflation is already half 318 00:18:16,680 --> 00:18:18,919 Speaker 7: of what it was under Joe Biden, where we had 319 00:18:18,920 --> 00:18:22,800 Speaker 7: a cumulative twenty one twenty two percent inflation over four years. 320 00:18:23,040 --> 00:18:26,480 Speaker 7: What we're seeing now is inflation coming down, interest rates 321 00:18:26,520 --> 00:18:30,439 Speaker 7: coming down, energy prices, food prices. This is part of 322 00:18:30,480 --> 00:18:33,480 Speaker 7: the Trump tailwinds that consumers are benefiting from. It's why 323 00:18:33,560 --> 00:18:36,760 Speaker 7: consumer confidence is starting to climb back up, and expect 324 00:18:36,960 --> 00:18:40,399 Speaker 7: expectations for inflation are falling. Because they also see that 325 00:18:40,400 --> 00:18:42,760 Speaker 7: their take home pay is rising and with the one 326 00:18:42,800 --> 00:18:45,520 Speaker 7: big beautiful bill, the best is yet to come in 327 00:18:45,560 --> 00:18:48,399 Speaker 7: twenty twenty six and beyond. It's exactly what happened with 328 00:18:48,440 --> 00:18:50,920 Speaker 7: the twenty seventeen tax cuts and jobs ACKed. And that's 329 00:18:50,960 --> 00:18:53,280 Speaker 7: what the President's going to be talking about, is building 330 00:18:53,320 --> 00:18:57,639 Speaker 7: in America, getting our productivity, wages, and opportunities up again. 331 00:18:58,880 --> 00:19:00,520 Speaker 2: Well, I know that you have high hopes for the 332 00:19:00,600 --> 00:19:04,040 Speaker 2: year to come when we look at the matter of inflation, 333 00:19:04,119 --> 00:19:07,640 Speaker 2: though it appears largely flat over the year to year 334 00:19:07,760 --> 00:19:11,440 Speaker 2: numbers that we're looking at having seen to your point, 335 00:19:11,680 --> 00:19:14,480 Speaker 2: a rampant nine percent inflation of the Biden administration, but 336 00:19:14,520 --> 00:19:16,639 Speaker 2: it's been largely stagnant for the past year. And we 337 00:19:16,720 --> 00:19:19,080 Speaker 2: learned just two weeks ago that consumer confidence fell to 338 00:19:19,119 --> 00:19:22,639 Speaker 2: its lowest point since April. So how do we rationalize 339 00:19:23,040 --> 00:19:25,120 Speaker 2: the way people are feeling with the data that you're 340 00:19:25,200 --> 00:19:27,920 Speaker 2: talking about. Well, Joey, you bring up a good point. 341 00:19:27,960 --> 00:19:30,720 Speaker 7: When that data was measured in terms of consumer confidence, 342 00:19:30,760 --> 00:19:33,040 Speaker 7: we were coming out of the largest government shut down 343 00:19:33,080 --> 00:19:37,160 Speaker 7: in American history, where essentially Main Street was defunded by 344 00:19:37,200 --> 00:19:41,800 Speaker 7: the Democrat shutdown that impacted about five million small business 345 00:19:42,080 --> 00:19:45,560 Speaker 7: ten million small businesses getting access to five billion dollars. 346 00:19:45,840 --> 00:19:49,240 Speaker 7: We saw government contractors lose about twelve billion in wages, 347 00:19:49,280 --> 00:19:53,000 Speaker 7: and we saw that America's number one job creators, small businesses, 348 00:19:53,040 --> 00:19:56,879 Speaker 7: a record thirty six million of them, thanks to President Trump, 349 00:19:57,960 --> 00:20:00,280 Speaker 7: our primary job creators. They create two out of every 350 00:20:00,280 --> 00:20:03,159 Speaker 7: three new jobs. So when that shut down hit, it 351 00:20:03,280 --> 00:20:06,160 Speaker 7: hit main Street hard. But thanks to the Trump tailwinds, 352 00:20:06,200 --> 00:20:09,640 Speaker 7: it's coming back. He's deregulating. The One Big Beautiful Bill 353 00:20:09,680 --> 00:20:12,760 Speaker 7: is bringing unbelievable tax cuts for small businesses to build 354 00:20:12,840 --> 00:20:17,040 Speaker 7: factories made in America, one hundred percent expencing, and all 355 00:20:17,080 --> 00:20:19,160 Speaker 7: the great things that come along with it for families, 356 00:20:19,200 --> 00:20:22,280 Speaker 7: no tax on tips, no tax on overtime, tax on 357 00:20:22,320 --> 00:20:25,520 Speaker 7: Social Security. It's going to give consumers a big boost 358 00:20:25,560 --> 00:20:29,120 Speaker 7: and we're already seeing that in the critical holiday shopping 359 00:20:29,160 --> 00:20:32,000 Speaker 7: season right now as we head into Christmas with an 360 00:20:32,000 --> 00:20:35,480 Speaker 7: expected one trillion dollars for the first time ever being 361 00:20:35,520 --> 00:20:37,080 Speaker 7: spent during this season. 362 00:20:38,080 --> 00:20:41,600 Speaker 2: Well, it'll be really interesting to see how consumers get 363 00:20:41,680 --> 00:20:45,280 Speaker 2: us through the whole holiday shopping season. When we look 364 00:20:45,320 --> 00:20:49,360 Speaker 2: at the CPI data, specifically to inflation, we're what three 365 00:20:49,400 --> 00:20:52,399 Speaker 2: percent in September of twenty twenty five. We were at 366 00:20:52,440 --> 00:20:55,320 Speaker 2: three percent in June of twenty twenty three, and there's 367 00:20:55,359 --> 00:20:58,560 Speaker 2: a big question about the last mile Administrator, how do 368 00:20:58,640 --> 00:21:00,000 Speaker 2: you get this down to two percent? 369 00:21:00,960 --> 00:21:04,560 Speaker 7: Well, this is the Trump agenda, this is deregulation. He's 370 00:21:04,600 --> 00:21:07,439 Speaker 7: already deregulated to the tune of two hundred billion dollars. 371 00:21:07,440 --> 00:21:10,520 Speaker 7: That's a saving of two thousand dollars per family. 372 00:21:10,920 --> 00:21:12,119 Speaker 2: That's just a start. 373 00:21:12,160 --> 00:21:15,640 Speaker 7: We're cutting about thirty regulations for every new regulation. When 374 00:21:15,640 --> 00:21:18,280 Speaker 7: I talk to small businesses, they say they were crushed 375 00:21:18,359 --> 00:21:22,720 Speaker 7: under Biden's regulatory regime, Green New Deal that raised costs 376 00:21:23,359 --> 00:21:25,840 Speaker 7: not just through his executive orders but through the agencies, 377 00:21:25,880 --> 00:21:31,400 Speaker 7: which added additional trillions. So between tax cuts, deregulation, fair trade, 378 00:21:31,840 --> 00:21:34,359 Speaker 7: we see jobs and opportunities coming back to America and 379 00:21:34,400 --> 00:21:37,840 Speaker 7: then eighteen trillion dollars of investment coming in. A lot 380 00:21:37,840 --> 00:21:39,959 Speaker 7: of that's going to play out on main street, and 381 00:21:39,960 --> 00:21:42,840 Speaker 7: that's why small business optimism, according to the US Chamber, 382 00:21:43,200 --> 00:21:46,720 Speaker 7: is at all time highs. And you've got consumer confidence 383 00:21:46,760 --> 00:21:50,120 Speaker 7: on the rise again, so consumers know that the best 384 00:21:50,200 --> 00:21:50,840 Speaker 7: is yet to come. 385 00:21:52,400 --> 00:21:54,840 Speaker 2: You know, we were talking, of course to the Small 386 00:21:54,880 --> 00:21:58,400 Speaker 2: Business Administrator, so I want to clarify that you're talking 387 00:21:58,440 --> 00:22:01,080 Speaker 2: about small businesses. We've been hearing from some big ones though, 388 00:22:02,280 --> 00:22:05,320 Speaker 2: in terms of costco filing a lawsuit against the administration 389 00:22:05,480 --> 00:22:08,920 Speaker 2: to secure a refund if the Supreme Court knocks down 390 00:22:09,000 --> 00:22:11,639 Speaker 2: the tariff regime. We've heard warnings from the likes of 391 00:22:11,680 --> 00:22:15,920 Speaker 2: Walmart with the impact of tariffs creeping into prices, Williams 392 00:22:15,920 --> 00:22:19,240 Speaker 2: Sonoma and others who haven't gone so far as to sue. 393 00:22:19,320 --> 00:22:21,800 Speaker 2: What are small businesses feeling when it comes to the 394 00:22:21,840 --> 00:22:23,640 Speaker 2: impact of tariffs, Well. 395 00:22:23,640 --> 00:22:26,880 Speaker 7: Joe, I've been traveling the country literally from Alaska to Maine, 396 00:22:26,920 --> 00:22:30,480 Speaker 7: talking to small businesses and particularly manufacturers. Most of America's 397 00:22:30,520 --> 00:22:34,040 Speaker 7: manufacturers meet the small business standard and they're grateful to 398 00:22:34,080 --> 00:22:37,800 Speaker 7: President Trump for helping them now, finally, after decades, compete 399 00:22:37,800 --> 00:22:40,360 Speaker 7: on a level playing field. One of the biggest pain 400 00:22:40,400 --> 00:22:43,760 Speaker 7: points for small businesses, besides a skilled workforce, is to 401 00:22:43,920 --> 00:22:46,960 Speaker 7: have a supply chain that works for them. And right now, 402 00:22:46,960 --> 00:22:50,800 Speaker 7: they're so dependent on China, they're so dependent on countries 403 00:22:50,840 --> 00:22:54,719 Speaker 7: outside of our borders that what's happening is they're seeing 404 00:22:54,760 --> 00:22:56,639 Speaker 7: that their costs are higher than they need to be, 405 00:22:57,080 --> 00:23:01,000 Speaker 7: and that this fair trade agenda is counter inflationtionary, as 406 00:23:01,080 --> 00:23:04,120 Speaker 7: is much of President Trump's agenda, so they are excited 407 00:23:04,160 --> 00:23:06,040 Speaker 7: to see the investment coming in. That means our main 408 00:23:06,080 --> 00:23:09,080 Speaker 7: streets will be thriving again. The hollowing out of America 409 00:23:09,200 --> 00:23:12,200 Speaker 7: can end. We can reverse that and create good paying jobs. 410 00:23:12,560 --> 00:23:15,399 Speaker 7: And my focus now, thanks to small businesses alerting to 411 00:23:15,440 --> 00:23:18,120 Speaker 7: me this is their big concern, is a skilled workforce 412 00:23:18,160 --> 00:23:20,800 Speaker 7: and getting people back into the workforce, getting that labor 413 00:23:20,840 --> 00:23:25,400 Speaker 7: participation up because wages are rising, taxes are being cut, 414 00:23:25,480 --> 00:23:28,280 Speaker 7: so families are going to earn more and take home 415 00:23:28,280 --> 00:23:30,840 Speaker 7: more of what they earn, and that's really encouraging to 416 00:23:30,880 --> 00:23:34,000 Speaker 7: rebuilding our workforce in our manufacturing base. And no one 417 00:23:34,040 --> 00:23:37,240 Speaker 7: believes in the American worker or American industry like President Trump. 418 00:23:38,400 --> 00:23:41,000 Speaker 2: Just to get back to where we started here, Administrator, 419 00:23:41,080 --> 00:23:43,199 Speaker 2: to make sure I understand, you mentioned at the beginning 420 00:23:43,200 --> 00:23:47,639 Speaker 2: of our conversation that consumer confidence was rebounding and that 421 00:23:47,720 --> 00:23:51,760 Speaker 2: inflation was cooling. Since we haven't managed to find evidence 422 00:23:51,800 --> 00:23:54,919 Speaker 2: of that in our conversation today, is that your expectation 423 00:23:55,080 --> 00:23:56,960 Speaker 2: in the near term or is that something you believe 424 00:23:57,000 --> 00:23:59,600 Speaker 2: is actually happening. Now it's actually happening. 425 00:23:59,640 --> 00:24:02,879 Speaker 7: The Trust agenda is de counter inflationary because if you 426 00:24:02,880 --> 00:24:05,399 Speaker 7: look at gas prices, if you look at interest rates, 427 00:24:05,760 --> 00:24:09,280 Speaker 7: down double digits since the President came in in just the. 428 00:24:09,240 --> 00:24:10,200 Speaker 2: First ten months. 429 00:24:10,200 --> 00:24:14,160 Speaker 7: So what we're seeing is major family expenditures are coming down. 430 00:24:14,400 --> 00:24:16,640 Speaker 7: But look, it's going to take time to dig out 431 00:24:16,640 --> 00:24:19,119 Speaker 7: of the whole that Bidenomics put us in, and that 432 00:24:19,160 --> 00:24:24,439 Speaker 7: included inflation, massive overregulation, hollowing out of our manufacturing and 433 00:24:24,600 --> 00:24:28,360 Speaker 7: overseas supply chain dependency, massive deficit spending, which we now 434 00:24:28,440 --> 00:24:30,880 Speaker 7: know can contribute up to as much as forty three 435 00:24:30,960 --> 00:24:34,720 Speaker 7: percent of inflationary moves. And so we're having to come 436 00:24:34,760 --> 00:24:38,679 Speaker 7: back down and often an economy that disfavored main street 437 00:24:38,800 --> 00:24:41,160 Speaker 7: and made it harder for families to make ends meet. 438 00:24:41,240 --> 00:24:43,320 Speaker 7: So President Trump, that's what he's out touting is this 439 00:24:43,600 --> 00:24:45,320 Speaker 7: economic agenda. 440 00:24:44,920 --> 00:24:45,600 Speaker 2: Is already working. 441 00:24:45,600 --> 00:24:49,120 Speaker 7: And we see whole sale inflation below expectations as well 442 00:24:49,160 --> 00:24:52,280 Speaker 7: as PCE, so we see it going in the right direction. 443 00:24:52,800 --> 00:24:55,680 Speaker 7: But this is four years in the making with trillions 444 00:24:55,680 --> 00:24:59,080 Speaker 7: and trillions and excess spending, and as the great Milton 445 00:24:59,080 --> 00:25:03,159 Speaker 7: Friedman said, inflation as always an everywhere monetary phenomena, and 446 00:25:03,160 --> 00:25:04,919 Speaker 7: we're having to mop up a lot. 447 00:25:04,800 --> 00:25:08,480 Speaker 2: Of money, quoting Milton Freedman. Yes, indeed, I think the 448 00:25:08,520 --> 00:25:10,919 Speaker 2: PCE was right on target when we saw that number 449 00:25:11,280 --> 00:25:13,879 Speaker 2: last week. Kelly Leffler, we'll keep our eyes on that. 450 00:25:14,040 --> 00:25:17,320 Speaker 2: We'd love to stay in touch with you throughout that process. 451 00:25:17,400 --> 00:25:19,800 Speaker 2: She's the administrator of the SBA. Many thanks for being 452 00:25:19,800 --> 00:25:21,840 Speaker 2: with us here on Bloomberg TV and Radio. I'm Joe 453 00:25:21,840 --> 00:25:25,320 Speaker 2: Matthew in Washington. Want to assemble our panel coming up 454 00:25:25,400 --> 00:25:28,040 Speaker 2: here with Rick Davis and Geenie Shanzino. We'll have much 455 00:25:28,040 --> 00:25:29,639 Speaker 2: more with our panel a bit later this hour, but 456 00:25:29,680 --> 00:25:31,159 Speaker 2: we just wanted to spend a couple of minutes on 457 00:25:31,200 --> 00:25:33,919 Speaker 2: what we just heard Bloomberg Politics contributors. Of course, Genie 458 00:25:33,920 --> 00:25:37,000 Speaker 2: is democracy visiting fellow at Harvard Kennedy School's Ash Center. 459 00:25:37,080 --> 00:25:41,120 Speaker 2: Rick our Republican strategist and partner at Stone Court Capital. Rick, 460 00:25:41,160 --> 00:25:44,280 Speaker 2: what do you make of the narrative that we're hearing 461 00:25:44,359 --> 00:25:47,199 Speaker 2: from the administration because I'm guessing that that gave us 462 00:25:47,200 --> 00:25:48,800 Speaker 2: a good sense of what Donald Trump's going to tell 463 00:25:48,840 --> 00:25:50,960 Speaker 2: us tomorrow. Yeah. 464 00:25:51,000 --> 00:25:53,040 Speaker 8: Look, I think she's done a good job of sort 465 00:25:53,080 --> 00:25:56,199 Speaker 8: of presenting the mainstream view, that main street view that 466 00:25:57,280 --> 00:26:01,720 Speaker 8: you know, these policies that Donald Trump is espousing. She 467 00:26:01,880 --> 00:26:06,359 Speaker 8: seems particularly focused on deregulation. Is somehow going to sort 468 00:26:06,359 --> 00:26:09,480 Speaker 8: of lift all boats on main Street? I would say 469 00:26:09,720 --> 00:26:15,199 Speaker 8: a little confused by the discussion of consumer sentiment. You know, 470 00:26:15,320 --> 00:26:18,959 Speaker 8: current conditions are still down in the latest Michigan Consumer 471 00:26:19,080 --> 00:26:22,800 Speaker 8: Sentiment index, and so even though I think she seems 472 00:26:22,920 --> 00:26:26,000 Speaker 8: very optimistic, I'm not sure that's shared by consumers themselves. 473 00:26:26,320 --> 00:26:28,880 Speaker 8: And that's where you see this kind of disconnection when 474 00:26:28,880 --> 00:26:29,760 Speaker 8: it comes to the polling. 475 00:26:31,720 --> 00:26:33,640 Speaker 2: What do you think of that disconnect, Genie, We talked 476 00:26:33,680 --> 00:26:37,000 Speaker 2: about consumer confidence or sentiment depending on the measure you're 477 00:26:37,000 --> 00:26:39,280 Speaker 2: looking at, which she said was rising, and I think 478 00:26:39,320 --> 00:26:44,480 Speaker 2: we established is falling. Prices in fact have been either 479 00:26:44,880 --> 00:26:48,639 Speaker 2: stagnant or rising as opposed to inflation cooling. To her points, 480 00:26:48,680 --> 00:26:52,119 Speaker 2: So are we getting back to a disconnect between the 481 00:26:52,160 --> 00:26:55,720 Speaker 2: administration and what people are feeling, or a disconnect between 482 00:26:55,720 --> 00:26:57,280 Speaker 2: the administration and the actual data. 483 00:27:00,040 --> 00:27:02,320 Speaker 9: I think, first of all, it's important that Donald Trump 484 00:27:02,400 --> 00:27:05,160 Speaker 9: is going out on the road tomorrow, as you talked about, Joe. 485 00:27:05,160 --> 00:27:07,880 Speaker 9: That is something he has not been doing, and if 486 00:27:07,920 --> 00:27:11,359 Speaker 9: he is going to convince people about his economic policies, 487 00:27:11,880 --> 00:27:14,359 Speaker 9: he needs to be out there selling them. Joe Biden 488 00:27:14,400 --> 00:27:16,359 Speaker 9: didn't do it. He has not been doing it, so 489 00:27:16,400 --> 00:27:18,320 Speaker 9: it's important that he gets out there. So that's a 490 00:27:18,359 --> 00:27:21,440 Speaker 9: good sign for him. But again to your point, there 491 00:27:21,560 --> 00:27:24,600 Speaker 9: is this enormous disconnect, and I'm struck by how much 492 00:27:24,880 --> 00:27:28,639 Speaker 9: Kelly Loffler Donald Trump sometimes sound like Joe Biden and 493 00:27:28,680 --> 00:27:31,919 Speaker 9: members of the administration and trying to wish away the 494 00:27:32,040 --> 00:27:35,680 Speaker 9: data on consumer sentiment and also the polls which show 495 00:27:35,840 --> 00:27:38,320 Speaker 9: whatever you want to say about how the numbers look 496 00:27:38,359 --> 00:27:41,720 Speaker 9: on inflation and costs, the reality is people are not 497 00:27:41,960 --> 00:27:45,880 Speaker 9: feeling it, and until people feel it politically, you're going 498 00:27:45,920 --> 00:27:47,840 Speaker 9: to have results like we saw a few weeks ago 499 00:27:47,960 --> 00:27:48,960 Speaker 9: in the election. 500 00:27:50,000 --> 00:27:53,840 Speaker 2: That came back for you, Anya, as you're noting here, Jennie, 501 00:27:54,640 --> 00:27:56,880 Speaker 2: It's funny we remember Joe Biden going to the very 502 00:27:56,920 --> 00:27:59,439 Speaker 2: same not only state, but town Rick. He's going to 503 00:27:59,440 --> 00:28:02,040 Speaker 2: be in scram And tomorrow. I'm trying to figure out 504 00:28:02,119 --> 00:28:06,000 Speaker 2: exactly what the administration is thinking, having just seen that 505 00:28:06,040 --> 00:28:09,959 Speaker 2: playbook so recently. Yeah, yeah, Genie mentioned it. 506 00:28:10,040 --> 00:28:13,640 Speaker 8: I mean, it's almost like they're recreating the Biden failure 507 00:28:13,800 --> 00:28:20,639 Speaker 8: of talking directly to voters about their economic situation, and 508 00:28:20,720 --> 00:28:22,000 Speaker 8: they even want to go and do it. In the 509 00:28:22,040 --> 00:28:25,960 Speaker 8: same places. It's kind of a head scratcher. I'm not 510 00:28:26,040 --> 00:28:29,760 Speaker 8: exactly sure that Donald Trump's going to do something that 511 00:28:29,800 --> 00:28:33,560 Speaker 8: he didn't typically doesn't do and sound empathetic. He's a 512 00:28:33,600 --> 00:28:36,600 Speaker 8: great cheerleader, you know, and he can cheerleader all the 513 00:28:36,600 --> 00:28:42,600 Speaker 8: way through a loss. And I worry that what's happening 514 00:28:42,960 --> 00:28:46,720 Speaker 8: is that, just like Biden, Donald Trump's talking past. 515 00:28:46,480 --> 00:28:52,280 Speaker 2: The consumer and being overly optimistic. Now, somebody c Michael 516 00:28:52,320 --> 00:28:54,320 Speaker 2: Scott because the President's coming to scrant and we'll be 517 00:28:54,360 --> 00:28:57,440 Speaker 2: talking about that around this time tomorrow, hopefully with Rick 518 00:28:57,480 --> 00:28:59,680 Speaker 2: and Jennie many thanks to our panel, they're going to 519 00:28:59,720 --> 00:29:02,320 Speaker 2: come back back and a short time from now with 520 00:29:02,520 --> 00:29:04,840 Speaker 2: much more ahead here on Balance of Power. We're going 521 00:29:04,920 --> 00:29:08,160 Speaker 2: to get to the Warner Brothers deal, Paramount versus Netflix, 522 00:29:08,480 --> 00:29:10,320 Speaker 2: and a president in the middle of it all. This 523 00:29:10,360 --> 00:29:12,920 Speaker 2: is Bloomberg. Stay with us on Balance of Power. We'll 524 00:29:12,960 --> 00:29:14,560 Speaker 2: have much more coming up after this. 525 00:29:18,840 --> 00:29:22,320 Speaker 1: You're listening to the Bloomberg Balance of Power podcast. Catch 526 00:29:22,400 --> 00:29:25,440 Speaker 1: us live weekdays at noon and five pm Eastern on 527 00:29:25,560 --> 00:29:28,800 Speaker 1: Apple Cocklay and Android Auto with the Bloomberg Business app. 528 00:29:28,840 --> 00:29:31,880 Speaker 1: You can also listen live on Amazon Alexa from our 529 00:29:31,920 --> 00:29:36,680 Speaker 1: flagship New York station Just Say Alexa played Bloomberg eleven thirty. 530 00:29:37,720 --> 00:29:41,240 Speaker 2: The City recovers from the first Kennedy Center Honors hosted 531 00:29:41,280 --> 00:29:44,200 Speaker 2: by a President of the United States. We won't see 532 00:29:44,200 --> 00:29:46,280 Speaker 2: it till later this month when it gets on TV, 533 00:29:47,080 --> 00:29:50,040 Speaker 2: but indeed Donald Trump took the stage last evening, having 534 00:29:50,080 --> 00:29:54,320 Speaker 2: compared himself to his role models Johnny Carson and Bob Hope, 535 00:29:55,480 --> 00:29:58,720 Speaker 2: thirty seven free wheeling minutes on stage, according to the 536 00:29:58,800 --> 00:30:03,720 Speaker 2: Washington Post. And we'll find out in a couple of 537 00:30:03,720 --> 00:30:06,680 Speaker 2: weeks exactly how well he did. Made a lot of 538 00:30:06,680 --> 00:30:09,560 Speaker 2: news though, because before that President of the United States 539 00:30:10,240 --> 00:30:13,080 Speaker 2: spoke on the Red carpet indeed for almost forty minutes 540 00:30:13,120 --> 00:30:17,280 Speaker 2: with the First Lady at his side, and took questions 541 00:30:17,320 --> 00:30:19,959 Speaker 2: on a range of topics, including what has become our 542 00:30:19,960 --> 00:30:22,160 Speaker 2: biggest story of the day, and that is the potential 543 00:30:22,200 --> 00:30:25,120 Speaker 2: sale of Warner Brothers, with the world now looking to 544 00:30:25,280 --> 00:30:28,920 Speaker 2: Paramount in a hostile bid. Before that news broke, the 545 00:30:28,920 --> 00:30:31,720 Speaker 2: President was asked about this on the Red Carpet, having 546 00:30:32,080 --> 00:30:35,080 Speaker 2: of course heard about the Netflix deal that was announced 547 00:30:35,080 --> 00:30:38,680 Speaker 2: at the end of last week. Here's what the President said, Well, 548 00:30:38,760 --> 00:30:39,640 Speaker 2: that's got to go through. 549 00:30:39,480 --> 00:30:42,960 Speaker 4: A process and we'll see what happens. Consumer Netflick's a 550 00:30:43,000 --> 00:30:45,680 Speaker 4: great company and they've done a phenomenal job. Ted is 551 00:30:45,760 --> 00:30:48,320 Speaker 4: a fantastic man. I have a lot of respect for him. 552 00:30:48,320 --> 00:30:51,520 Speaker 4: But it's a lot of market share, so we'll have 553 00:30:51,560 --> 00:30:52,440 Speaker 4: to see what happens. 554 00:30:53,840 --> 00:30:55,600 Speaker 2: It's a lot of market share, he said, We'll have 555 00:30:55,640 --> 00:30:57,520 Speaker 2: to see what happens if you're with us on the radio. 556 00:30:57,800 --> 00:30:59,760 Speaker 2: The President in front of a step and Repeat on 557 00:30:59,800 --> 00:31:02,440 Speaker 2: that red carpet with CBS logos all over it. They 558 00:31:02,480 --> 00:31:05,760 Speaker 2: are the ones who run the Kennedy Center Honors. Fast 559 00:31:05,800 --> 00:31:10,080 Speaker 2: forward to the truth social post that came out this 560 00:31:10,200 --> 00:31:13,200 Speaker 2: morning around nine to thirty, just before the opening bell. 561 00:31:13,240 --> 00:31:16,280 Speaker 2: The President clearly was watching sixty Minutes last evening, or well, 562 00:31:16,320 --> 00:31:18,160 Speaker 2: I guess he played it back because he was probably 563 00:31:18,680 --> 00:31:21,600 Speaker 2: on stage. Then it featured a sit down interview with 564 00:31:21,720 --> 00:31:24,400 Speaker 2: Marjorie Taylor Green, who he refers to in this post 565 00:31:24,440 --> 00:31:28,520 Speaker 2: once again as Marjorie traitor Brown. I won't go into 566 00:31:28,600 --> 00:31:32,840 Speaker 2: explaining why, but if you get toward the bottom of 567 00:31:32,880 --> 00:31:37,840 Speaker 2: this very long missive, he actually invokes Paramount, which of 568 00:31:37,880 --> 00:31:41,480 Speaker 2: course is now CBS. My real problem with the show, 569 00:31:41,520 --> 00:31:44,960 Speaker 2: he says, was not the low IQ trader. It was 570 00:31:45,040 --> 00:31:49,160 Speaker 2: the new ownership of sixty Minutes Paramount, who would allow 571 00:31:49,200 --> 00:31:52,480 Speaker 2: a show like this to air all caps? They are 572 00:31:52,560 --> 00:31:56,000 Speaker 2: no better than the old ownership who just paid me 573 00:31:56,080 --> 00:31:59,160 Speaker 2: millions of dollars for fake reporting about your favorite president. 574 00:31:59,280 --> 00:32:03,360 Speaker 2: Me since they bought it, sixty Minutes, he says, has 575 00:32:03,520 --> 00:32:07,960 Speaker 2: actually gotten worse. And you're wondering if the president's thumbing 576 00:32:08,000 --> 00:32:10,960 Speaker 2: the scale as some have suggested, here exactly who he 577 00:32:11,040 --> 00:32:14,560 Speaker 2: wants to see? When we'll ask our panel now, Bloomberg 578 00:32:14,640 --> 00:32:17,640 Speaker 2: Politics contributors Rick Davis and Genie Shanzano are with us. 579 00:32:18,160 --> 00:32:21,240 Speaker 2: Rick is, of course Bloomberg Politics contributor as well, Republican 580 00:32:21,320 --> 00:32:23,680 Speaker 2: strategist and partner at Stone Court Capital. He knows what 581 00:32:23,680 --> 00:32:26,680 Speaker 2: it's like to buy a big company. Genie Shanzeno, Democracy 582 00:32:26,760 --> 00:32:30,200 Speaker 2: visiting fellow at Harvard Kennedy School's Ash Center. What's your 583 00:32:30,240 --> 00:32:32,240 Speaker 2: thought on this, Rick, Because you could actually make the 584 00:32:32,360 --> 00:32:35,000 Speaker 2: argument either way that the president wants to see Netflix 585 00:32:35,080 --> 00:32:37,360 Speaker 2: or Paramount, or is the real story the fact that 586 00:32:37,400 --> 00:32:39,800 Speaker 2: he's involved at all. 587 00:32:40,200 --> 00:32:42,800 Speaker 8: First of all, I'd love to have the reputation of 588 00:32:42,840 --> 00:32:45,960 Speaker 8: buying a company worth you know, close to one hundred 589 00:32:46,040 --> 00:32:49,880 Speaker 8: billion dollars in a transaction, so yeah, thanks for concluding 590 00:32:49,920 --> 00:32:50,920 Speaker 8: me in that category. 591 00:32:51,000 --> 00:32:53,880 Speaker 2: But you know, look, this may be the biggest mystery 592 00:32:53,920 --> 00:32:55,120 Speaker 2: in Washington for a while. 593 00:32:55,240 --> 00:32:59,160 Speaker 8: I mean, you know, short of his comments about CBS 594 00:32:59,280 --> 00:33:02,040 Speaker 8: last night, everybody would have thought that, you know, he 595 00:33:02,200 --> 00:33:04,440 Speaker 8: was going to keep this deal from happening and let 596 00:33:04,560 --> 00:33:08,720 Speaker 8: you know, his friends, you know, take over the deal, 597 00:33:08,840 --> 00:33:12,600 Speaker 8: and and and then the quota of the night was, 598 00:33:12,880 --> 00:33:15,600 Speaker 8: as you point out, no way was he watching this 599 00:33:16,080 --> 00:33:18,960 Speaker 8: sixty minutes episode because you know, he was in the 600 00:33:19,000 --> 00:33:22,960 Speaker 8: middle of the Kenny Center honors and so whoever told 601 00:33:23,040 --> 00:33:26,040 Speaker 8: him about it or whatever video he saw, you know, 602 00:33:26,200 --> 00:33:29,040 Speaker 8: upset him enough to throw everybody under the bus at CBS. 603 00:33:29,080 --> 00:33:31,760 Speaker 2: So I say, everybody. 604 00:33:31,320 --> 00:33:35,480 Speaker 8: Got through last night damaged, and who's going to do 605 00:33:35,520 --> 00:33:38,200 Speaker 8: the best lobbying job from here on out to try 606 00:33:38,240 --> 00:33:39,920 Speaker 8: and get out from under the thumb. And you know, 607 00:33:40,000 --> 00:33:42,480 Speaker 8: the point he made too about this current deal is 608 00:33:42,480 --> 00:33:45,240 Speaker 8: that even though you know, smart economists will have to 609 00:33:45,280 --> 00:33:48,200 Speaker 8: weigh in on this, I'm going to be directly involved. 610 00:33:48,240 --> 00:33:49,720 Speaker 2: So when the President says. 611 00:33:49,480 --> 00:33:52,320 Speaker 8: At the start of a regulatory review that it's going 612 00:33:52,400 --> 00:33:54,960 Speaker 8: to be my call, that it's going to be his call. 613 00:33:55,880 --> 00:33:58,360 Speaker 2: All right, Well, as usual, Rick leads this right to it, Geenie, 614 00:33:58,360 --> 00:34:01,280 Speaker 2: here's the direct quote Netflix. It's a great company. He said, 615 00:34:01,280 --> 00:34:03,200 Speaker 2: they've got a very big market share. When they have 616 00:34:03,240 --> 00:34:05,240 Speaker 2: Warner Brothers, that market share goes up a lot. 617 00:34:05,240 --> 00:34:05,480 Speaker 3: All right. 618 00:34:05,520 --> 00:34:08,120 Speaker 2: We can understand that he goes on to say as 619 00:34:08,160 --> 00:34:10,200 Speaker 2: Rick references. So I don't know that's going to be 620 00:34:10,239 --> 00:34:12,600 Speaker 2: for some economists to tell, even though it would probably 621 00:34:12,640 --> 00:34:15,560 Speaker 2: be for well, I guess an analyst, right, And importantly 622 00:34:16,040 --> 00:34:20,520 Speaker 2: I'll be involved in that decision too. Where will he 623 00:34:20,600 --> 00:34:24,280 Speaker 2: be involved, Genie. 624 00:34:23,640 --> 00:34:28,040 Speaker 9: Any involvement. What he said so far is completely inappropriate. 625 00:34:28,200 --> 00:34:30,600 Speaker 9: And I would have wished that the members of the 626 00:34:30,600 --> 00:34:34,080 Speaker 9: Supreme Court who are hearing this case today, that let's 627 00:34:34,080 --> 00:34:38,880 Speaker 9: not forget started. Because Rebecca Slaughter filed a lawsuit or 628 00:34:38,880 --> 00:34:42,799 Speaker 9: acclaim when she looked up and saw the inauguration of 629 00:34:42,880 --> 00:34:46,440 Speaker 9: Donald Trump, and he was surrounded not by world leaders 630 00:34:46,680 --> 00:34:50,960 Speaker 9: but CEOs of the largest companies in the world, who 631 00:34:51,000 --> 00:34:53,759 Speaker 9: the FTC was an active litigation with. 632 00:34:54,200 --> 00:34:55,840 Speaker 2: That's who was surrounding him. 633 00:34:56,000 --> 00:34:58,680 Speaker 9: And so you would hope that the Supreme Court members 634 00:34:58,960 --> 00:35:02,080 Speaker 9: would have been paying at ten last night. And what 635 00:35:02,160 --> 00:35:03,840 Speaker 9: we hear about this case is they're going to go 636 00:35:03,880 --> 00:35:07,160 Speaker 9: with the president, and that is most unfortunate because what 637 00:35:07,440 --> 00:35:11,279 Speaker 9: happens to the consumer and the American public in all 638 00:35:11,320 --> 00:35:15,640 Speaker 9: of this. A president which is completely inappropriate, putting his 639 00:35:15,800 --> 00:35:18,759 Speaker 9: thumb on a deal this big, and we just heard 640 00:35:18,760 --> 00:35:22,560 Speaker 9: when Alexis was doing her report talk about Jared Kushner, 641 00:35:22,600 --> 00:35:23,439 Speaker 9: his son in law. 642 00:35:24,120 --> 00:35:25,520 Speaker 2: This is all. 643 00:35:25,440 --> 00:35:28,960 Speaker 9: Inappropriate, It is unethical, it is not the way we 644 00:35:29,000 --> 00:35:31,440 Speaker 9: do business. And yet I think we're facing a Supreme 645 00:35:31,440 --> 00:35:34,400 Speaker 9: Court decision which is going to allow all of this, 646 00:35:34,680 --> 00:35:38,279 Speaker 9: and consumers will suffer and pay more. And it is 647 00:35:38,320 --> 00:35:41,040 Speaker 9: not what happens in a democracy like ours, It's not 648 00:35:41,080 --> 00:35:41,800 Speaker 9: what should happen. 649 00:35:42,880 --> 00:35:45,160 Speaker 2: Well, Jeanie throws another log on the fire, Rick, you 650 00:35:45,200 --> 00:35:48,399 Speaker 2: see Infinity Partners, and everybody's eyebrows go up because yeah, 651 00:35:48,400 --> 00:35:51,040 Speaker 2: that's his son in law, Jared Kushner, and this is 652 00:35:51,120 --> 00:35:54,120 Speaker 2: Saudi money that is partially being used to back this deal. 653 00:35:54,160 --> 00:35:57,440 Speaker 2: How should voters? How should Americans consider that? In another 654 00:35:57,480 --> 00:36:01,320 Speaker 2: White House this could have been considered a major scandal. 655 00:36:01,360 --> 00:36:05,040 Speaker 8: Rick, what do you think, Well, you've got to really 656 00:36:05,080 --> 00:36:07,600 Speaker 8: do something to be a major scandal in this administration, 657 00:36:07,920 --> 00:36:11,800 Speaker 8: And the idea that Jared Kirshner and most of the 658 00:36:11,920 --> 00:36:16,640 Speaker 8: GCC would be involved in a mega deal like this, 659 00:36:16,960 --> 00:36:20,640 Speaker 8: you know, in excess of eighty billion dollars, shouldn't actually 660 00:36:20,640 --> 00:36:23,280 Speaker 8: surprise too many people. I mean, Sadi has been playing 661 00:36:23,280 --> 00:36:26,080 Speaker 8: around the edges UA, He's been investing in Hollywood. 662 00:36:26,840 --> 00:36:27,719 Speaker 2: This is not new. 663 00:36:28,760 --> 00:36:32,480 Speaker 8: Four An actors have always been participating in US movies 664 00:36:32,480 --> 00:36:36,439 Speaker 8: and television, so I actually think that's the lesser of them. 665 00:36:36,760 --> 00:36:38,719 Speaker 2: I could imagine what the phone. 666 00:36:38,400 --> 00:36:41,399 Speaker 8: Calls were though, between Jared and the Paramount guy, saying 667 00:36:41,440 --> 00:36:45,200 Speaker 8: did you have to interview Marjorie Taylor Green right as 668 00:36:45,239 --> 00:36:48,759 Speaker 8: all this news was breaking. I mean, like these are 669 00:36:48,760 --> 00:36:51,279 Speaker 8: the kind of fun things you really speculate on. But like, 670 00:36:51,840 --> 00:36:54,960 Speaker 8: let's be clear, Donald Trump is not the first president 671 00:36:55,040 --> 00:36:57,440 Speaker 8: to put his thumb on the scale of a merger and. 672 00:36:57,440 --> 00:36:59,880 Speaker 2: An acquisition in any industry. 673 00:37:00,120 --> 00:37:03,160 Speaker 8: So the difference is he actually says he's going to 674 00:37:03,239 --> 00:37:05,960 Speaker 8: do it, and everyone else would deny it. So I mean, 675 00:37:05,960 --> 00:37:08,359 Speaker 8: at least you got a president who's transparent about all 676 00:37:08,440 --> 00:37:13,279 Speaker 8: this apparent corruption. So I don't know, I think that 677 00:37:13,360 --> 00:37:16,520 Speaker 8: this is a long story to be told. And you know, 678 00:37:16,560 --> 00:37:18,600 Speaker 8: with the new efforts by Paramount to go after a 679 00:37:18,640 --> 00:37:22,480 Speaker 8: hostile takeover, the fun is just the gun boy. 680 00:37:22,560 --> 00:37:24,719 Speaker 2: There's a lot there. I thought maybe Bill Owens had 681 00:37:24,719 --> 00:37:27,240 Speaker 2: come back for a night. Genie. When you see Marjorie 682 00:37:27,280 --> 00:37:30,600 Speaker 2: Taylor Green on CBS on the eve of this hostile 683 00:37:30,640 --> 00:37:33,680 Speaker 2: takeover being announced, so what's next here? Will there be 684 00:37:33,760 --> 00:37:38,279 Speaker 2: a government stake in the WDBD when this whole thing 685 00:37:38,320 --> 00:37:38,680 Speaker 2: is over? 686 00:37:39,920 --> 00:37:42,319 Speaker 9: Yeah, Marjorie Taylor Green, I'm sure you saw Joe had 687 00:37:42,320 --> 00:37:43,680 Speaker 9: her big flag. 688 00:37:43,640 --> 00:37:44,400 Speaker 2: On her sweater. 689 00:37:44,520 --> 00:37:47,680 Speaker 9: Yeah, sweater, yeah, yeah. 690 00:37:47,719 --> 00:37:47,960 Speaker 3: You know. 691 00:37:48,320 --> 00:37:50,960 Speaker 9: One thing I would say is that what is different 692 00:37:51,719 --> 00:37:54,399 Speaker 9: about this is not just that Donald Trump is saying 693 00:37:54,440 --> 00:37:57,680 Speaker 9: he's going to put his thumb on the scale. That 694 00:37:57,840 --> 00:37:59,920 Speaker 9: is sort of the excuse we hear all the time. Well, 695 00:38:00,040 --> 00:38:03,279 Speaker 9: at least he puts his corruption out there. What is very, 696 00:38:03,440 --> 00:38:07,200 Speaker 9: very different is that today, of all days, the Supreme 697 00:38:07,239 --> 00:38:12,000 Speaker 9: Court is hearing a case. This would go to independent 698 00:38:12,120 --> 00:38:15,880 Speaker 9: regulatory bodies, it would ultimately be the decision of a 699 00:38:16,040 --> 00:38:18,759 Speaker 9: judge who we hope is independent. 700 00:38:19,160 --> 00:38:21,680 Speaker 2: What the Supreme Court is threatening today. 701 00:38:21,719 --> 00:38:24,719 Speaker 9: Is that we're not going to have that anymore, That 702 00:38:24,920 --> 00:38:29,359 Speaker 9: all of those independent regulatory commissions, all of this will 703 00:38:29,400 --> 00:38:33,600 Speaker 9: be under a unitary executive, whether it's President Trump today 704 00:38:33,760 --> 00:38:36,800 Speaker 9: or a democratic president in twenty twenty eight. That is 705 00:38:36,840 --> 00:38:41,200 Speaker 9: an incredibly different way in which we are looking at this, 706 00:38:41,600 --> 00:38:44,560 Speaker 9: And of course you look at Humphrey's executor, it's taking 707 00:38:44,600 --> 00:38:47,799 Speaker 9: that power away from Congress to even set up these 708 00:38:47,840 --> 00:38:51,760 Speaker 9: independent regulatory bodies. So that makes it a very different 709 00:38:51,800 --> 00:38:54,360 Speaker 9: set of circumstances, and I think we have to be 710 00:38:54,440 --> 00:38:55,239 Speaker 9: cognizant of that. 711 00:38:56,360 --> 00:38:58,879 Speaker 2: Well, all right, so we're going to go deep here 712 00:38:59,000 --> 00:39:01,960 Speaker 2: a genie. I'm glad you you pointed us the unitary 713 00:39:02,160 --> 00:39:06,120 Speaker 2: executive theory Rick that presidents should wield ultimate power over 714 00:39:06,160 --> 00:39:09,160 Speaker 2: all the appointments. Well, we heard before the Supreme Court 715 00:39:09,239 --> 00:39:13,799 Speaker 2: this morning and again this is slaughter versus Trump. Does 716 00:39:13,880 --> 00:39:16,080 Speaker 2: make you think that the court will rule in that favor, 717 00:39:16,239 --> 00:39:16,759 Speaker 2: how about you? 718 00:39:17,960 --> 00:39:20,359 Speaker 8: Yeah, They've been pretty consistent on this, you know since 719 00:39:20,360 --> 00:39:24,879 Speaker 8: Trump's administration, both the first and the second they're giving 720 00:39:25,000 --> 00:39:27,520 Speaker 8: leeway to the president. These people serve at the pleasure 721 00:39:27,520 --> 00:39:32,600 Speaker 8: of the president. In their minds, the president's executive authority 722 00:39:33,080 --> 00:39:38,000 Speaker 8: is a higher fire authority with all agency heads. 723 00:39:37,719 --> 00:39:41,160 Speaker 2: Is the sort of head tilt that you've got. And 724 00:39:41,200 --> 00:39:42,759 Speaker 2: at the end of the day, I mean, if. 725 00:39:42,680 --> 00:39:45,080 Speaker 8: The Supreme Court says that the power of the presidency 726 00:39:45,280 --> 00:39:49,879 Speaker 8: exists for this and Congress has basically abdicated their check 727 00:39:49,880 --> 00:39:51,399 Speaker 8: in the system. 728 00:39:51,600 --> 00:39:52,839 Speaker 2: Then it is what it is. 729 00:39:53,320 --> 00:39:55,560 Speaker 8: I do still think, and it'll be interesting to see 730 00:39:55,560 --> 00:40:02,800 Speaker 8: if they address this when the Chief Justice basically created 731 00:40:02,880 --> 00:40:08,160 Speaker 8: distance between that theory and the FED, will they reiterate 732 00:40:08,280 --> 00:40:14,240 Speaker 8: that in this opinion? If indeed they wind up finding 733 00:40:14,280 --> 00:40:15,920 Speaker 8: for the administration. 734 00:40:16,560 --> 00:40:18,719 Speaker 2: Well, this is turning into a lightning round, guys. We've 735 00:40:18,760 --> 00:40:22,480 Speaker 2: got another breaker here before our eyes. The Attorney General 736 00:40:22,520 --> 00:40:26,880 Speaker 2: has just posted on Twitter News that Alena Habba has resigned. 737 00:40:27,320 --> 00:40:30,880 Speaker 2: This is, of course, this was President Trump's personal lawyer, 738 00:40:30,880 --> 00:40:34,520 Speaker 2: who was then appointed acting US Attorney for the District 739 00:40:34,840 --> 00:40:38,040 Speaker 2: of New Jersey last summer, and it was then ruled 740 00:40:38,040 --> 00:40:40,960 Speaker 2: that she was not qualified for that position. The Attorney General, 741 00:40:41,360 --> 00:40:45,080 Speaker 2: writing following the flawed Third Circuit decision disqualifying Habba from 742 00:40:45,080 --> 00:40:48,440 Speaker 2: performing her duties as in the US Attorney's Office for 743 00:40:48,480 --> 00:40:50,880 Speaker 2: the District of New Jersey, I am saddened to accept 744 00:40:50,960 --> 00:40:56,320 Speaker 2: Alena's resignation. She apparently am reading further down here. Producer 745 00:40:56,400 --> 00:40:58,800 Speaker 2: James tells us she remains with DOJ as a senior 746 00:40:58,920 --> 00:41:02,879 Speaker 2: advisor to thet Jorney General. Genie, did you see this coming? 747 00:41:04,760 --> 00:41:06,480 Speaker 2: You know, it's hard to tell. 748 00:41:06,680 --> 00:41:09,160 Speaker 9: I don't think it's a huge shock given the decision 749 00:41:09,200 --> 00:41:12,960 Speaker 9: that came out. But as we speak about independence, you know, 750 00:41:13,160 --> 00:41:15,800 Speaker 9: it is a perfect example. This is a president that 751 00:41:15,840 --> 00:41:18,799 Speaker 9: would like nothing more, as all presidents would, than to 752 00:41:18,840 --> 00:41:22,680 Speaker 9: have everybody working for him and concert in the executive branch. 753 00:41:23,000 --> 00:41:25,840 Speaker 9: One thing that was independent for a long time was 754 00:41:25,880 --> 00:41:26,440 Speaker 9: the DOJ. 755 00:41:27,000 --> 00:41:30,360 Speaker 2: That is not the case anymore. And even though she's. 756 00:41:30,200 --> 00:41:33,120 Speaker 9: No longer in that position, she will still be at 757 00:41:33,120 --> 00:41:36,600 Speaker 9: the DOJ, So not a big surprise, but it isn't 758 00:41:36,680 --> 00:41:40,880 Speaker 9: keeping with this push towards the unitary executive including in 759 00:41:40,920 --> 00:41:42,719 Speaker 9: the Department of Justice. 760 00:41:43,200 --> 00:41:45,880 Speaker 2: Well, after what we saw in the eastern districts of Virginia, 761 00:41:46,040 --> 00:41:49,000 Speaker 2: Rick and now this, how should we be thinking about 762 00:41:49,080 --> 00:41:50,160 Speaker 2: Donald Trump's approach. 763 00:41:51,520 --> 00:41:54,560 Speaker 8: Well, I think the approach of not getting people confirmed 764 00:41:54,600 --> 00:41:58,279 Speaker 8: who are in a confirmation job in the United States 765 00:41:58,360 --> 00:42:02,400 Speaker 8: Senate is probably the wrong approach. You know, it doesn't 766 00:42:02,400 --> 00:42:05,320 Speaker 8: do you any good to put somebody in these jobs 767 00:42:05,360 --> 00:42:09,799 Speaker 8: who tries to prosecute individuals that the President has identified 768 00:42:09,840 --> 00:42:14,600 Speaker 8: as problematic and that they get thrown out of court 769 00:42:14,640 --> 00:42:19,160 Speaker 8: for lack of official standing by the prosecutor. So, you know, 770 00:42:19,200 --> 00:42:21,600 Speaker 8: when it happens a couple of times, you should try 771 00:42:21,600 --> 00:42:23,640 Speaker 8: to learn that lesson, and it seems that they have 772 00:42:25,520 --> 00:42:29,920 Speaker 8: and and and hopefully this sort of ends the alliance 773 00:42:30,000 --> 00:42:33,800 Speaker 8: with putting people into these jobs without a Senate confirmation. 774 00:42:35,040 --> 00:42:38,560 Speaker 2: Wow, mass just amazing stuff to think what we've witnessed 775 00:42:38,600 --> 00:42:41,400 Speaker 2: over the last hour and change. Many thanks to our panel, 776 00:42:41,440 --> 00:42:45,319 Speaker 2: Rick Davis and Jeanie Shanzeno. Thanks for listening to the 777 00:42:45,320 --> 00:42:48,719 Speaker 2: Balance of Power podcast. Make sure to subscribe if you 778 00:42:48,719 --> 00:42:52,200 Speaker 2: haven't already, at Apple, Spotify, or wherever you get your podcasts, 779 00:42:52,640 --> 00:42:55,080 Speaker 2: and you can find us live every weekday from Washington, 780 00:42:55,160 --> 00:42:58,240 Speaker 2: DC at New Time Eastern at Bloomberg dot com.