Speaker 1: Bloomberg Audio Studios, podcasts, radio news.
Speaker 2: Good morning, I'm Nathan Hager and I'm Karen Moscow. Here
Speaker 2: are the stories we're following today.
Speaker 3: Karen, we are seeing a sharp sell off in stocks
Speaker 3: around the world with President Trump set to follow through
Speaker 3: on his threat of tariffs against America's closest trading partners.
Speaker 3: On Saturday, the President announced twenty five percent duties on
Speaker 3: products from Canada and Mexico and ten percent on China,
Speaker 3: starting just after midnight tonight. Trump admits American consumers might
Speaker 3: take a hit.
Speaker 4: We may have short term so a little pain, and
Speaker 4: people understand that.
Speaker 5: But long term, the United States has been.
Speaker 4: Ripped off by virtually every country in the world. We
Speaker 4: have deficits with almost every country, not every country, but allmost.
Speaker 3: And Republican lawmakers are signaling they support the president's efforts.
Speaker 3: Senator Lindsey Graham had this reaction on Fox News Sunday.
Speaker 6: If you want tariffs to go away, Mexico and China,
Speaker 6: stop poising Americans, stop sending ventanyl into America to kill Americans.
Speaker 6: If you want to have a better relationship Mexico with
Speaker 6: the United States, do your report on the other side.
Speaker 3: Of the border, but Democratic Senator Mark Warner says tariffs
Speaker 3: amount to what he calls a Donald Trump Super Bowl
Speaker 3: tax less than a week before the big game. Remember,
Speaker 3: Donald Trump got hired trying to lower grow saying he
Speaker 3: was going to lower grocery prices.
Speaker 4: Right two weeks in, He's doing something that's going to
Speaker 4: do the absolute opposite.
Speaker 3: Senator Warner spoke to CBS as Margaret Brennan on Face
Speaker 3: the Nation and you can hear both Face the Nation
Speaker 3: and Fox News Sunday every Sunday on Bloomberg Radio.
Speaker 2: Well, Nathan Trump says he will have separate calls this
Speaker 2: morning with Canadian Prime Minister Justin Trudeau as well as
Speaker 2: with the Mexican leadership. The Canadian leader has already pledged
Speaker 2: twenty five percent retaliatory tariffs on one hundred and seven
Speaker 2: billion dollars worth of US goods. Trudeau says Trump's action
Speaker 2: now risks job losses and price rises for Americans.
Speaker 7: If President Trump wants to usher in a new golden
Speaker 7: age for the United States, the better path is to
Speaker 7: partner with Canada, not to punish US.
Speaker 2: Canadian Prime Minister Justin Trude do other Canadian officials announce
Speaker 2: their own measures. David Eby, the Premiere of British Columbia,
Speaker 2: directed the provincially owned liquor distributor to remove some alcohol
Speaker 2: brands made in Republican Led States from the shelves of
Speaker 2: retail stores and to cease further purchases.
Speaker 3: Well, as you mentioned, Karen, the PAESO is dropping to
Speaker 3: its lowest level in almost three years. Mexican President Claudia
Speaker 3: Shanebaum says she'll set out her response to US tariffs
Speaker 3: later today. She says she hopes a resolution can be
Speaker 3: found quickly.
Speaker 8: That's a bit anise Nibo sovereignty is not negotiable to
Speaker 8: this end. Yesterday, in my statement, I proposed to President Trump,
Speaker 8: though we establish a working group, it is not with
Speaker 8: the imposition of tariffs that the problems are resolved, but
Speaker 8: speaking and dialoguing as we did.
Speaker 3: Mexican President Claudia Shanebaum spoke there through an interpreter. President
Speaker 3: Trump has said he may escalate US tariffs further response
Speaker 3: to any retaliations.
Speaker 2: Well Nathan China's reaction to Trump's tariffs, which come in
Speaker 2: the middle of Lunar New Year holiday celebrations, has been
Speaker 2: more muted. The country's Commerce Ministry issued a statement expressing
Speaker 2: strong dissatisfaction and vowing corresponding countermeasures, without elaborating. Our Chief
Speaker 2: North Asia correspondent Stephen Engels says China's reaction could yet
Speaker 2: ramp up.
Speaker 9: This is going to be a protracted process, So Beijing
Speaker 9: has to process exactly what's going to be the end
Speaker 9: result of tariffs.
Speaker 10: Is it going to go up to sixty percent?
Speaker 9: It's ten percent right now, and there's going to be
Speaker 9: an economic impact to that. And I think right now,
Speaker 9: especially as they're coming out of the long Lunar New
Speaker 9: Year holiday, kind of crafting their message obviously, and.
Speaker 2: Mutz Bloomberg Steven Angel reporting from Hong Kong.
Speaker 3: And after announced those duties on China, Mexico, and Canada, Karen,
Speaker 3: President Trump also ramped up threats to the European Union,
Speaker 3: citing that block's large surplus with the US.
Speaker 4: It will definitely happen with the European Union, I can
Speaker 4: tell you that, because they've really taken advantage of us,
Speaker 4: and you know, we have over three hundred billion dollar deficit.
Speaker 4: They don't take our cars, they don't take our.
Speaker 5: Farm products, they take almost nothing. Can we take everything
Speaker 5: from them?
Speaker 4: Millions of cars tremendous amounts of food and farm product.
Speaker 3: President Trump's remarks came after an EU spokesperson said that
Speaker 3: the BLOCK would respond firmly to any trading partner that
Speaker 3: unfairly or arbitrarily imposes tariffs on EU goods.
Speaker 2: Well, Nathan, President Trump's tariffs against Canada and Mexico may
Speaker 2: result in consumers paying more for cars, and we get
Speaker 2: that angle up the tariff story with Bloomberg's John Tucker
Speaker 2: and John how much are we talking about here?
Speaker 11: Well, Karen Research from automotive consultant Alex Partners says the
Speaker 11: tariffs will add sixty billion dollars in cost to the
Speaker 11: auto industry, a lot of which likely to be passed
Speaker 11: on to consumers. Wolf Research analysts, so the average price
Speaker 11: of a new car may climb by about three thousand dollars.
Speaker 11: The duties would immediately hit almost a quarter of this
Speaker 11: sixteen million vehicles that are sold in the US every year,
Speaker 11: as well as the parts and components that go into them. Now,
Speaker 11: car components can make their way back and forth across
Speaker 11: US borders as many as eight times during the production
Speaker 11: of the car. Automakers in Mexico they've been preparing by
Speaker 11: preemptively importing both more components and vehicles that could ease
Speaker 11: the blow in the first few weeks. But Flavio Volpi,
Speaker 11: he's the president of Canada's Automotive Parts Manufacturers Association, predicts
Speaker 11: his words now the auto sector is going to shut
Speaker 11: down within a week. This morning, shares of GM down
Speaker 11: seven percent, Stalantes is off almost six percent, and Ford
Speaker 11: is down four percent. John Tucker, Bloomberg Radio.
Speaker 3: John, thanks now the latest on another hot button issue
Speaker 3: for President Trump, Panama. It's now promising free passage for
Speaker 3: US warships through the Panama Canal and also says it
Speaker 3: will withdraw from China's Belton Road initiative, making Panama the
Speaker 3: first Latin American country to do so. The concessions came
Speaker 3: after a Secretary of State Marco Rubio visited Panama over
Speaker 3: the weekend.
Speaker 12: Over time, it's the relationship had its ups and downs,
Speaker 12: and today it's one of our strongest economic partners, certainly
Speaker 12: in the hemisphere, and an important catalyst for so much
Speaker 12: trade and commerce that happens in the United States that
Speaker 12: effects and impacts so many people both going out and
Speaker 12: coming in.
Speaker 10: And that was Secretary of State Marco Rubio speaking over
Speaker 10: the weekend.
Speaker 3: The US built the Panama Canal at the start of
Speaker 3: the twentieth century and seated it back in nineteen ninety
Speaker 3: nine under a treaty signed by President Jimmy Carter in
Speaker 3: nineteen seventy seven.
Speaker 2: Nathan, we're also learning more about Elon Musk's plans for
Speaker 2: government efficiency. He's sketching out plans for aggressive cuts that
Speaker 2: include wiping out the US Agency for International Development. Much
Speaker 2: said he has the President's blessing to end the US
Speaker 2: Agency for International Development and fold what's left into the
Speaker 2: State Department. The Tesla CEO says this move from his
Speaker 2: Doze initiative should instill confidence in the Treasury market.
Speaker 10: Well, let's check the markets once again, Karen raf. Stocks
Speaker 10: are falling.
Speaker 3: The dollar is rallying after President Trump and post tariffs
Speaker 3: on Canada, Mexico, and China. The dollars up to its
Speaker 3: highest level in more than two years. Checking it against
Speaker 3: the euro right now, the euros at one point zero
Speaker 3: two three seven, down one point two percent, the Mexican
Speaker 3: peso down two percent, while the Canadian dollar is weaker
Speaker 3: against the US dollar by about one percent.
Speaker 10: Futures are sliding.
Speaker 3: The S and P futures down one point six percent,
Speaker 3: Down futures one point four percent lower, and Nasdaq futures
Speaker 3: on the decline by one point eight percent. Oil is
Speaker 3: rallying nine x, crudes up two and a half percent
Speaker 3: seventy four dollars thirty two cents a barrel, and Bitcoin
Speaker 3: is falling as well, down one point eight percent at
Speaker 3: about ninety five thy three hundred dollars.
Speaker 2: Well Nathan Earnings will also be in focus this week,
Speaker 2: as two more members of the Magnificent Seven or pourt
Speaker 2: quarterly results, and Bloomberg's Tom Busby has a preview.
Speaker 7: Google parent Alphabet out with earnings is Tuesday. It's expected
Speaker 7: to see revenue grow double digits thanks to ad sales
Speaker 7: on its Google Search Engine, growth in its services and
Speaker 7: cloud computing, and advancements in its generative AI capabilities. Also
Speaker 7: expending its way moow robotaxi business to more cities. On Thursday,
Speaker 7: we hear from Amazon. It's expected to benefit from a
Speaker 7: burst of consumer spending ahead of the holidays and a
Speaker 7: head of tariffs imposed by the Trump White House. Also
Speaker 7: solid revenue from its Amazon Web Services cloud division. I'm
Speaker 7: Tom buzzby Bloomberg Radio.
Speaker 2: Time no offer look at some of the other stories
Speaker 2: making news in New York and around the world, and
Speaker 2: for that we're joined by Bloomberg's Michael Barr Michael.
Speaker 13: Good Morning, Good morning, Karen. Authorities say they have recovered
Speaker 13: the remains of fifty five of the sixty seven people
Speaker 13: killed in last week's plane crash in the nation's capital.
Speaker 13: John Donnelly of the Washington DC Fire and Ems Department
Speaker 13: says they are committed to the dignified recovery of remains
Speaker 13: as they prepare to lift wreckage from the Potomac River
Speaker 13: as early as this morning. Don Lee also says he
Speaker 13: has spoken with the families and kept them informed of
Speaker 13: the timeline and the operations as they work. They are
Speaker 13: a strong group of families that are focused on getting
Speaker 13: their the ones back and I think that's the appropriate
Speaker 13: place to be at this point. Officials in Philadelphia have
Speaker 13: now located the black box of the medical flight that
Speaker 13: crashed in a crowded city neighborhood Friday night. All six
Speaker 13: people on the plane were killed, and one person on
Speaker 13: the ground also died. At least twenty two people now
Speaker 13: reported injured, including three in critical condition. Mayor Jael Parker
Speaker 13: says federal, state, and local investigators have been working around
Speaker 13: the clock at the scene.
Speaker 11: This remains an ongoing investigation.
Speaker 10: The situation is fluid and it is active.
Speaker 13: The plane was on its way to Missouri and was
Speaker 13: only in the air for a short time before it crashed.
Speaker 13: Beyonce finally won air Grammy that has eluded her g
Speaker 13: one Album of the Year, the sixty seventh Grammy Awards
Speaker 13: last night, for the Country music song cow Boy Carter.
Speaker 10: I just feel very full and very honored. It's been many,
Speaker 10: many years.
Speaker 13: To see of CBS Recording, Academy, Global News twenty four
Speaker 13: hours a day and whenever you want it with Bloomberg
Speaker 13: News Now Michael Barr, and this is Bloomberg Karen.
Speaker 2: All right, Michael Barr, thank you any time now for
Speaker 2: the Bloomberg Scores update. Brought to you by Tri State Outy.
Speaker 2: Here's John stash Hour, John, good morning.
Speaker 14: Good morning. Carry the NBA trade dadline now until Thursday.
Speaker 14: But what a weekend it was. Saturday night brought the
Speaker 14: stunning blockbuster Luca Donci to the Lakers, Anthony Davis to
Speaker 14: Dallas last night, not to that level, but the Aaron
Speaker 14: Fox and Zach Lamine, good players who've been All Stars,
Speaker 14: and Fox was moved from Sacramento to San Antonio. Lavine
Speaker 14: goes from Chicago to Sacramento. I mean, while Donsi released
Speaker 14: a statement and said he thought he'd spent his entire
Speaker 14: career in Dallas every one day. Last season, Doncis averaged
Speaker 14: thirty four points a game, nine rebounds in ten assisted.
Speaker 14: He led the Maps to the NBA Finals. So why
Speaker 14: trade him? The Dallas Genteral manager is Nico Harrison.
Speaker 1: You know, there's some unique things about his his contray
Speaker 1: that we had to pay attention to. You know, there's
Speaker 1: there's other teams that were flowing up. You know that
Speaker 1: he was going to have he was gonna be able
Speaker 1: to decide to make his own decision at some point
Speaker 1: and whether he wants to be here or not, whether
Speaker 1: we want a super maxim or not, or whether he
Speaker 1: wants to opt out. So I think we had to
Speaker 1: take all that into consideration and feel like we got
Speaker 1: out in front of what could have been in tromoltuous summer.
Speaker 14: Alongside MAV's owner Mark Cuban no longer the majority owner,
Speaker 14: he was not involved in the decision the trade Donson
Speaker 14: Jet the Garden Rangers three goals in the third period
Speaker 14: beat Vegas for to two. The Islanders seven game winning
Speaker 14: street came to an end at Florida six to three.
Speaker 14: The Devils and Buffalo fell behind early three nothing lost
Speaker 14: four to three for the third.
Speaker 10: Time in the last four years.
Speaker 14: Rory McElroy's first term of the year of victory his
Speaker 14: first ever win at pebble Bee finished twenty one hunder
Speaker 14: a par one by two over Shane Lowry. They both
Speaker 14: had holes in one in the opening round. Former Baseball
Speaker 14: Commissioner Fay Vincent has passed away at eighty six. John
Speaker 14: stesha that I want Bloomberg Sports karnon Nathan Coast to
Speaker 14: Coast on Bloomberg Radio nationwide, on Serious Exam and around
Speaker 14: the world on Bloomberg dot Com and the Bloomberg Business app.
Speaker 7: This is Bloomberg Daybreak.
Speaker 10: Good morning, I'm Nathan Hager.
Speaker 3: President Donald Trump's promise of tariffs on America's closest trading
Speaker 3: partners is rippling through markets. After announcing twenty five percent
Speaker 3: duties on Canada and Mexico and ten percent on China,
Speaker 3: the President says the European Union is next.
Speaker 4: They don't take our cars, they don't take our farm products.
Speaker 5: They take almost nothing. Can we take everything?
Speaker 7: From their?
Speaker 3: President spoke to reporters outside Washington last night, joining us
Speaker 3: this morning from the nation's capital, Terry Haynes, the founder
Speaker 3: of Pangaea Policy. As we watch stocks sell off and
Speaker 3: the dollar rally this morning, Terry, should the market have
Speaker 3: seen this coming?
Speaker 10: Good morning?
Speaker 15: Hi, Good morning, Nathan, And yes, I think they should have.
Speaker 15: Markets have spent the last few months talking themselves into
Speaker 15: a GRADUALI history even you know this isn't happening. It's
Speaker 15: all negotiation stance, And yes it is negotiation, but it's
Speaker 15: negotiation based not from a trade war perspective, but I
Speaker 15: think from an overall conflict perspective, a broader geopolitical context,
Speaker 15: among others.
Speaker 3: So what is the chance, then, Terry, that the President
Speaker 3: actually does follow through on these He announced they're going
Speaker 3: to kick in just after midnight tonight. At the same
Speaker 3: time he's saying that he will have discussions with Canada
Speaker 3: and Mexico today.
Speaker 15: I think the markets should assume that some tariffs are coming.
Speaker 15: I think the size and shape are still very much
Speaker 15: up in the air, and markets are going to have
Speaker 15: to get used to volatility here. Frankly, in the realm
Speaker 15: of political decision making. You know, my instinct, and it
Speaker 15: is only instinct, is that it's not at all beyond
Speaker 15: the question that the tariffs go in as announced. It's
Speaker 15: also not beyond the question that they go in with
Speaker 15: some lowered modifications. You can look one way you can
Speaker 15: look at this is Trump testing the markets on reaction,
Speaker 15: and he's also tested politically the reaction of our border
Speaker 15: partners to do specific things to actually improve the border
Speaker 15: and stop the flow of fentanyl.
Speaker 10: Is this a test on fellow Republicans as well?
Speaker 15: It is to some extent, yes, but I think it's
Speaker 15: in so far they've been supportive. But what you got
Speaker 15: to remember over the last decade, and it's been a
Speaker 15: decade since since tariff policy became part of geopolitical policy
Speaker 15: in the United States, is that Congress has supported the
Speaker 15: means in which the how Trump imposes these tariffs, whether
Speaker 15: it was Trump one, whether it was Biden then now
Speaker 15: whether it's Trump too. You know, Congress supports the how.
Speaker 15: There will be some dissent on the when or why.
Speaker 15: That's rooted as much in the partisan politics as anything else,
Speaker 15: but there's not going to be any serious move to
Speaker 15: try to stop Trump from doing any of these things.
Speaker 3: Do you think there are any further concessions that Canada
Speaker 3: or Mexico could make after the concessions that they've say
Speaker 3: that they have made before the President announced these duties
Speaker 3: over the weekend.
Speaker 15: My unsolicited advice to those countries is very simple is
Speaker 15: that you get as you get as specific. If they
Speaker 15: want to stop the tariffs, you get as specific, and
Speaker 15: to talk about how well and how much you can
Speaker 15: partner as possible. If Trump realizes, I think, unlike the
Speaker 15: first that he's going to need support from his his
Speaker 15: border partners and and very much wants those things.
Speaker 10: And in just thirty seconds, is this about partnerships?
Speaker 3: Is this about the fentanyl and immigration flows or is
Speaker 3: this more about the trade deficits.
Speaker 15: I think it's about both. But at root, you know,
Speaker 15: the Trump always says that his top priority is securing
Speaker 15: the border, and I think you have to take the
Speaker 15: border strategy both seriously and literally as part of the
Speaker 15: broader geopolitical strategy and the broader economic strategy which are
Speaker 15: out there, which exists, even if they're being ignored by markets. Today.
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