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: Well, Karen.
Speaker 4: Global bond yields have risen to high's last scene in
Speaker 4: two thousand and nine. Ahead of the Federal Reserves the
Speaker 4: final policy meeting of the year. There is concern interest
Speaker 4: rate cutting cycles may be ending soon, but as for today,
Speaker 4: traders are all about certain a rate cut is on
Speaker 4: the way, as Bloomberg's Michael McKee reports, though that is
Speaker 4: not the only thing investors will be focused on.
Speaker 5: The markets have priced in a quarter point cut, and
Speaker 5: the Fed doesn't like to disappoint, But the real questions
Speaker 5: revolve around descents, the dot plot and their twenty twenty
Speaker 5: six outlook. We may have three policymakers vote against the
Speaker 5: decision for the first time since twenty nineteen. Investors are
Speaker 5: also focused on what comes next. In September, FED officials
Speaker 5: saw just one rate cut for next year. At the moment,
Speaker 5: the markets are pricing in three. How many they see
Speaker 5: now will depend on their forecasts for unemployment and inflation
Speaker 5: in twenty twenty six. They forecast improvement in both. Back
Speaker 5: in September, but have the risks changed. Michael McKee, Bloomberg Radio.
Speaker 4: Okay, Mike, thank you for full coverage of the FED
Speaker 4: decision and remarks from Chairman J Powell. Tune into a
Speaker 4: special edition of Bloomberg Surveillance the FED decides. It kicks
Speaker 4: off this afternoon at one thirty Wall Street time on
Speaker 4: Bloomberg Radio, Bloomberg Television, and the Bloomberg Podcast channel on YouTube.
Speaker 2: Well ahead of the Fed's last policy decision of the year, Nathan,
Speaker 2: President Trump once again took aim at Feder Reserve Chairman J.
Speaker 5: Powell.
Speaker 2: The President spoke at a rally in Pennsylvania.
Speaker 6: Well, checking this, you know, we have a bad head
Speaker 6: of the FED bed We're going to be making a change.
Speaker 6: Fortunately this guy soo.
Speaker 2: And President Trump says he has a quote pretty good
Speaker 2: idea on who he wants to run the FED. The
Speaker 2: President says he may wait until early next year to
Speaker 2: publicly reveal the name.
Speaker 4: The economy was front and center at the President's rally.
Speaker 4: He was out to address voters' concerns about the high
Speaker 4: cost of living, telling the Mount Pocono crowd, people are
Speaker 4: starting to see the benefits of tariffs.
Speaker 6: It's amazing. It's the smart people understand it. Other people
Speaker 6: are starting to learn, but the smart people really understand it.
Speaker 4: The President says tariffs have allowed him to provide aid
Speaker 4: to farmers and have forced manufacturers to build plants and
Speaker 4: data centers in the US, And he says he inherited
Speaker 4: high prices from the Biden administration.
Speaker 6: They say affordability, and everyone says, oh, that must mean
Speaker 6: Trump has high prices. Now, our prices are coming down tremendously.
Speaker 4: And at one point during the rally, President Trump suggested
Speaker 4: he could try to remove some FED governors if former
Speaker 4: President Biden signed their commissions with an auto pen. President
Speaker 4: Trump has criticized Biden's use of automatic signatures before presidents
Speaker 4: have used them since at least the nineteen forties.
Speaker 2: Let's stick with politics here in Nathan. History has been
Speaker 2: made in Miami. Eileen Higgins won the city may oral runoff.
Speaker 2: She becomes the first woman ever and the first Democrat
Speaker 2: in nearly three decades to lead Miami. Higin's peed a
Speaker 2: Republican endorsed by President Trump. Higgin's victory adds to a
Speaker 2: recent stretch of Democratic gains, including last month's wins in
Speaker 2: New Jersey, and Virginia and zo orun Mom Donnie's victory
Speaker 2: as New York mayor.
Speaker 4: In the nation's capital, kar and Senate Republicans are set
Speaker 4: to vote on a plan this week to counter Democrats
Speaker 4: push to extend expiring Affordable Care Act subsidies. We get
Speaker 4: more from Bloomberg Zamy Morris.
Speaker 7: In Washington, Senate majority leader John Thunne promised Democrats a
Speaker 7: vote to extend Obamacare premium tax credits in exchange for
Speaker 7: reopening the government last month, but Republicans don't want to
Speaker 7: vote against the extension without an alternative plan. This proposal
Speaker 7: would offer people in some Affordable Care Act health plans
Speaker 7: up to fifteen hundred dollars in health savings accounts, but
Speaker 7: it also includes restrictions that could ruin Democratic support. Neither
Speaker 7: the Republican nor Democratic plans are expected to get the
Speaker 7: sixty votes needed for Senate passage, and healthcare costs for
Speaker 7: more than twenty million people are set despite January first.
Speaker 7: In Washington, Amy Morris Bloomberg Radio, All.
Speaker 2: Right, Amy, thank you now. We want to get the
Speaker 2: latest on the war in Ukraine. President Trump is saying
Speaker 2: Russia is in a stronger military position in the war
Speaker 2: he took aim at European leaders for what he sees
Speaker 2: as excessive dialogue that's produced few results. And here's part
Speaker 2: of Donald Trump's exchange with Politico's Dasher Burns.
Speaker 6: They're not doing a good job. Europe is not doing
Speaker 6: a good job. In many ways, they're not doing a
Speaker 6: good job. I want to They talk too much and
Speaker 6: they're not producing. We're talking about Ukraine. They talk, but
Speaker 6: they don't produce, and the war just keeps going on
Speaker 6: and on.
Speaker 2: Almost four years since Putin's full scale invasion of Ukraine,
Speaker 2: the war has come at a huge cost for both sides,
Speaker 2: more than one and a half million troops killed or wounded,
Speaker 2: according to Western estimates.
Speaker 4: Well, now we want to turn care into a Bloomberg
Speaker 4: News exclusive. A trove of emails reviewed by Bloomberg reveals
Speaker 4: Jeffrey Epstein's financial ties on and off Wall Street were
Speaker 4: broader than previously known. Let's get the details from Bloomberg's
Speaker 4: John Tucker, Good Morning John.
Speaker 8: And Nathan akash At. More than eighteen thousand emails sent
Speaker 8: to in front Epstein's private Yahoo account shows, even after
Speaker 8: stories of Epstein's teenage victims spilled into the open Wall
Speaker 8: Street continued to stay in touch. Some helped keep his
Speaker 8: money machine turning. He had access to prestigious names in
Speaker 8: global finance, including legendary Renaissance Technologies and the investment firm
Speaker 8: a billionaire Carl ICoD. Just week samter Epstein was charged
Speaker 8: with soliciting prostitution. For example, he received a coveted invitation
Speaker 8: from wealth manager Greg Hirsch to invest with Renaissance. Epstein
Speaker 8: jumped to the chance. Hersh who now runs his own office,
Speaker 8: said through a spokesperson his interactions were solely professional and
Speaker 8: ended in two thousand and seven.
Speaker 6: Well.
Speaker 8: Epstein even fielded requests for investments until his last week
Speaker 8: of freedom in New York. I'm John Tucker Bloomberg Radio.
Speaker 2: All right, John, thank you. Well, there are some companies
Speaker 2: in the news this morning, Paramount's guide and said Netflix,
Speaker 2: the entertainment heavyweights so logging in a bidding war for
Speaker 2: Warner Brothers Discovery are bracing for a battle that could
Speaker 2: last months. Warner Brothers board is not planning to cancel
Speaker 2: its merger agreement with Netflix, which would require a two
Speaker 2: point eight billion dollar termination fee. And let's say that
Speaker 2: now puts the onus on Paramount to make the next move. Meanwhile,
Speaker 2: money manager Mariogabelli says it's quote highly likely he will
Speaker 2: tender his client's Warner Brothers shares to paramount and an
Speaker 2: effort to spark a bidding war for the film and
Speaker 2: TV company.
Speaker 4: We're watching shares a JP Morgan chase this morning, Karen.
Speaker 4: They're up about a tenth percent, but that followed a
Speaker 4: drop yesterday at four point seven percent after the bank's
Speaker 4: Maryann Lake said JP Morgan anticipates spending one hundred and
Speaker 4: five billion dollars next year. That outlook was more than
Speaker 4: analysts we're looking for.
Speaker 2: And SpaceX Nathan's moving ahead with plans for an initial
Speaker 2: public offer a now would seek to ray significantly more
Speaker 2: than thirty billion dollars. Sources say the Elon muss Lad
Speaker 2: company is targeting a valuation of about one and a
Speaker 2: half trillion for SpaceX, and Bloomberg Tech host ed Ludlow
Speaker 2: has more.
Speaker 9: They do need capital, you know, Elon Musk has posted
Speaker 9: a lot recently about their cash flow position why they
Speaker 9: don't need cash. But what I understand from sources is
Speaker 9: the reason they're targeting a arrays of more than thirty
Speaker 9: billion dollars, significantly more than thirty billion dollars, is that,
Speaker 9: alongside all of SpaceX's other long term goals with Starship
Speaker 9: in particular, they are looking at the market potential of
Speaker 9: space or constellation based data center satellites that act in
Speaker 9: consolation and aggregate as data centers where SpaceX needs a
Speaker 9: capital to buy the semiconductors by the Chips.
Speaker 2: And bloomberg Ed Ludlow says SpaceX is pursuing a listing
Speaker 2: as soon as mid to late twenty twenty six. Time
Speaker 2: now some of the other stories making news in New
Speaker 2: York and around the world, and for that we're joined
Speaker 2: by Bloomberg's and Michael Barr Michael good Morning.
Speaker 3: Good Morning, Karen. Accused United Healthcare CEO killer Luigi Mangione
Speaker 3: was back in the Manhattan court Tuesday for pre trial
Speaker 3: hearings on evidence taken when he was arrested in an Altoona, Pennsylvania,
Speaker 3: fast food restaurant last year. The court saw body camera
Speaker 3: video of his arrest from a year ago. Mangione's attorneys
Speaker 3: claimed that police searched him illegally and are fighting to
Speaker 3: get key evidence seized from him thrown out. New York
Speaker 3: City Mayor elect Zoron Mamdani met with real estate leaders
Speaker 3: and members of the Partnership for New York City to
Speaker 3: tackle the city's issue of housing the homeless. Mamdannie says
Speaker 3: they discussed how to remove roadblocks that make building new
Speaker 3: units difficult and secure more federal aid for development.
Speaker 5: The question, however, is whether we will be satisfied by
Speaker 5: just shuttling those New Yorkers to another equally cold place
Speaker 5: in our city, or whether we want to connect them
Speaker 5: to housing.
Speaker 3: One New York Subway Writers says many homeless end up
Speaker 3: on trains. Get these people into proper facilities, not the subway.
Speaker 3: It's dangerous to have actions.
Speaker 5: They could fall in the tracks, tents on the subway
Speaker 5: with traffic rush.
Speaker 9: How is that going to work?
Speaker 3: Mayor electmam Donne sparked some controversy after his comments last
Speaker 3: week saying that he would stop the NYPD from cracking
Speaker 3: down on homeless encampments. A suspect is in constaday after
Speaker 3: his shooting at Kentucky State University in Frankfort. Police say
Speaker 3: Jacob Lee Bard of Evansville, Indiana is not a student
Speaker 3: if already say Barred allegedly shot two students near a
Speaker 3: residence hall. Scott Tracy is the assistant chief of the
Speaker 3: Frankfort Police Department.
Speaker 10: They were quickly transported to a local hospital for treatment
Speaker 10: by Frankfort Fire and EMS. Tragically, one has passed away
Speaker 10: from injuries, the other remains in critical condition.
Speaker 3: Assistant Chief Tracy did not release a motive, except to
Speaker 3: say it stemmed from a personal dispute. Global News twenty
Speaker 3: four hours a day and whenever you want it with
Speaker 3: Bloomberg News Now. I'm Michael laarm and this is Bloomberg Karen.
Speaker 5: Thanks Michael.
Speaker 2: Time now for our Bloomberg Sports Update, and for that
Speaker 2: we bring in John stash Hour.
Speaker 11: Thanks Karen Orlando, and the next advance of the semifinals
Speaker 11: of the NBA Cup. The Magic beat the Heat one
Speaker 11: seventeen one oh eight. The Knicks one in Toronto won
Speaker 11: seventeen one oh one. Jalen Brunton scare thirty five e
Speaker 11: at twenty in the first quarter. Two big news items
Speaker 11: for the baseball winner Meetium is Kyle Schwarber is staying
Speaker 11: with the Phillies a five year deal for one hundred
Speaker 11: and fifty million. It hit fifty six on ONNS last season,
Speaker 11: and closer Edwin Diaz leaving the Mets to sign with
Speaker 11: the world champion Dodgers. Forty four year old Philip Rivers
Speaker 11: coming out of retirement to sign with the Colts. That's
Speaker 11: to Bloomberg Sports Update.
Speaker 2: Stay with us more from Bloomberg day Break coming up
Speaker 2: after this.
Speaker 1: Coast to coast on Bloomberg Radio, nationwide on Sirius XM,
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Speaker 4: Good morning, I'm Nathan Hager on the morning before the
Speaker 4: final Federal reserve rate decision of twenty twenty five. Last
Speaker 4: time we heard from FED Chair J Powell at the
Speaker 4: October meeting, he was already talking about December. A further
Speaker 4: reduction in the policy rate at the December meeting is
Speaker 4: not a foregone conclusion.
Speaker 8: Far from it.
Speaker 4: Fast forward to today, markets do seem to think a
Speaker 4: cut is a foregone conclusion. The question now is what next?
Speaker 4: Joining us for more on this Bloomberg Markets reporter Valerie Titel,
Speaker 4: And that really is the question, isn't at Valerie? So
Speaker 4: many diverging views on what the Fed should be doing
Speaker 4: into twenty twenty six.
Speaker 12: Good morning, Yeah, Good morning, Nathan, And just how will
Speaker 12: Powell do. How will he succeed on managing a consensus
Speaker 12: along this fractured committee. It is an unusually divided Fed
Speaker 12: that we have at the moment. We have Stephen Myron
Speaker 12: on one side clamoring for a faster pace of rate
Speaker 12: cuts likely to dissent a larger jumbo fifty basis point
Speaker 12: rate reduction today, and then on the more hawkish side,
Speaker 12: we've had many regional FED presidents five in total who
Speaker 12: have voiced some unnies about eight cutting rates here in December,
Speaker 12: so we could be up for many of descents if
Speaker 12: we get more than four, Nathan. That's something we've really
Speaker 12: not seen in modern FED history. But Powell has done
Speaker 12: a very good job as his tenure of FED chair
Speaker 12: at managing a consensus, but today he'll really be put
Speaker 12: to the test on that. To add to all of this,
Speaker 12: there is still the division that has been exacerbated by
Speaker 12: the lack of fresh economic data. The market and the
Speaker 12: FED is still waiting for November CPI November non farm payrolls.
Speaker 12: Really the last big set of data that they have
Speaker 12: is all the way back in September before the government
Speaker 12: shut down. So just how will he manage a consensus
Speaker 12: around the fact that we are still in a data
Speaker 12: fog that is unlikely to clear for another two weeks.
Speaker 4: So then what kind of message can we expect from
Speaker 4: Chairman Powell when it signaling what the path for policy
Speaker 4: could be into next year given that kind of fog.
Speaker 12: So I think the market is expecting him to sound
Speaker 12: a little bit hawkish on next year. And the way
Speaker 12: he could possibly do that in a very subtle way,
Speaker 12: Nathan is by saying that, look, the last two FED
Speaker 12: cuts were a risk management exercise, and now that risk
Speaker 12: management exercise is coming to an end and we should
Speaker 12: slow down our pace of rate cuts. He very much
Speaker 12: framed the last two cuts in that way. It was
Speaker 12: a risk management exercise to protect the labor market aside
Speaker 12: from inflation being above target at that time. Perhaps he
Speaker 12: will say that, you know, the risks to labor market
Speaker 12: and the risk to inflation are more balanced at this decision,
Speaker 12: and we need to slow down and wait for further
Speaker 12: clarity on the data. That could be kind of a
Speaker 12: hawkish hint to the market. But note, Nathan, the market
Speaker 12: is already really they've already really priced in a more
Speaker 12: hawkish FED today. If we look at how the money
Speaker 12: markets are pricing in rate cuts for twenty twenty six.
Speaker 12: Heard it back by quite a lot in the month
Speaker 12: of December. We're only pricing in fifty basis points of
Speaker 12: rate reductions in twenty twenty six. At the beginning of
Speaker 12: December that number was closer to eighty basis points. We
Speaker 12: have seen a decent pairback in what traders thinks the
Speaker 12: Fed will do next year.
Speaker 2: This is Bloomberg day Break, your morning podcast on the
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