1
00:00:02,520 --> 00:00:07,040
Speaker 1: Bloomberg Audio Studios, Podcasts, Radio News.

2
00:00:10,000 --> 00:00:10,559
Speaker 2: Good morning.

3
00:00:10,600 --> 00:00:13,400
Speaker 3: I'm Nathan Hager and I'm Karen Moscow. Here are the

4
00:00:13,440 --> 00:00:14,920
Speaker 3: stories we're following today.

5
00:00:15,880 --> 00:00:18,720
Speaker 2: Karen, we begin with new developments surrounding j Powell and

6
00:00:18,760 --> 00:00:23,400
Speaker 2: the Federal Reserves building renovations in Washington. Treasury Secretary Scott

7
00:00:23,400 --> 00:00:27,080
Speaker 2: Bessant is the latest Trump administration official to pile on.

8
00:00:27,400 --> 00:00:30,080
Speaker 2: We get the very latest now from Bloomberg's John Tucker.

9
00:00:30,120 --> 00:00:32,440
Speaker 4: Good morning, John, and good morning. Nathan Besson says in

10
00:00:32,479 --> 00:00:34,960
Speaker 4: a social media post there should be a review of

11
00:00:35,000 --> 00:00:37,920
Speaker 4: the decision to renovate parts of the Federal Reserve headquarters

12
00:00:37,920 --> 00:00:41,400
Speaker 4: in Washington. He also says the FED should conduct what

13
00:00:41,440 --> 00:00:45,400
Speaker 4: he calls an exhaustive internal review of its non monetary

14
00:00:45,479 --> 00:00:48,960
Speaker 4: policy operations. Well, this is just the latest salvo in

15
00:00:49,000 --> 00:00:52,440
Speaker 4: the Trump administration's relentless attack on the FED and its leader,

16
00:00:52,560 --> 00:00:56,280
Speaker 4: Jerome Powell, mostly for refusing to bend to the President's

17
00:00:56,320 --> 00:00:59,560
Speaker 4: will and lower interest rates. The probe into the headquarters

18
00:00:59,640 --> 00:01:02,000
Speaker 4: run of ev which is now more than seven hundred

19
00:01:02,000 --> 00:01:05,639
Speaker 4: million dollars over budget, as stoke speculation it could provide

20
00:01:05,640 --> 00:01:09,000
Speaker 4: a way for Donald Trump to fire Powell. Cost overruns

21
00:01:09,000 --> 00:01:13,040
Speaker 4: for federal buildings in Washington are hardily unusual a lesser

22
00:01:13,080 --> 00:01:16,960
Speaker 4: known Trump ally. Meantime, congress Woman Elena Paulina has also

23
00:01:17,080 --> 00:01:20,919
Speaker 4: jumped into the frey, urging the Justice Department to investigate

24
00:01:20,959 --> 00:01:25,119
Speaker 4: Power for allegedly misleading Congress about the cost overruns, even

25
00:01:25,160 --> 00:01:27,600
Speaker 4: though there's no evidence of a wrongdoing. In New York time,

26
00:01:27,640 --> 00:01:29,520
Speaker 4: John Tucker Bloomberg Radio, all.

27
00:01:29,480 --> 00:01:31,760
Speaker 3: Right, John, thank you, Bills. Investors wait to see how

28
00:01:31,760 --> 00:01:34,800
Speaker 3: the whole Powell saga plays out. Stocks continue to reach

29
00:01:34,880 --> 00:01:37,160
Speaker 3: new heights. The S and P five hundred closed and

30
00:01:37,200 --> 00:01:41,560
Speaker 3: get another record high yesterday. Wells Fargo's top US secrety strategist,

31
00:01:41,600 --> 00:01:44,120
Speaker 3: Christopher Harvey says he expects the S and P five

32
00:01:44,200 --> 00:01:47,560
Speaker 3: hundred to deliver another double digit increase in the second

33
00:01:47,600 --> 00:01:48,240
Speaker 3: half of the year.

34
00:01:49,520 --> 00:01:52,160
Speaker 5: What we're seeing is the winners continue to win. The

35
00:01:52,280 --> 00:01:56,160
Speaker 5: ubercap companies have the higher margins, are gaining more market share.

36
00:01:56,320 --> 00:01:58,960
Speaker 5: There is a real secular trade in AI that will

37
00:01:58,960 --> 00:02:02,200
Speaker 5: continue here during the nineties. This is not this is

38
00:02:02,240 --> 00:02:04,480
Speaker 5: not a fair comparison. It is much stronger and the

39
00:02:04,480 --> 00:02:07,480
Speaker 5: fundamentals are much better than today than they were back there.

40
00:02:07,840 --> 00:02:11,760
Speaker 3: Harvey is the most bullish strategist tracked by Bloomberg forecasting

41
00:02:11,760 --> 00:02:14,280
Speaker 3: the S and P five hundred will climb above seven

42
00:02:14,320 --> 00:02:16,960
Speaker 3: thousand by the end of the year. It closed yesterday

43
00:02:16,960 --> 00:02:19,840
Speaker 3: adjust over six thousand, three hundred for the first time, and.

44
00:02:20,000 --> 00:02:22,000
Speaker 2: Karen Chris Harvey is not the only one bullish on

45
00:02:22,120 --> 00:02:25,639
Speaker 2: US equities. A cohort of the world's largest asset managers

46
00:02:25,760 --> 00:02:29,119
Speaker 2: is leaning harder into the risk asset rally. Firms such

47
00:02:29,120 --> 00:02:32,920
Speaker 2: as Invesco, Fidelity International, and JP Morgan Asset Management are

48
00:02:32,919 --> 00:02:37,080
Speaker 2: reinforcing bullish bets across technology shares from the US to Asia,

49
00:02:37,200 --> 00:02:40,320
Speaker 2: as well as on emerging market assets. The high octane

50
00:02:40,360 --> 00:02:43,400
Speaker 2: wager is that while President Trump is threatening to disrupt

51
00:02:43,400 --> 00:02:46,720
Speaker 2: the economic world order, he will step back from the brink.

52
00:02:47,360 --> 00:02:49,800
Speaker 3: Nathan Ernie's continue to roll in with more than thirty

53
00:02:49,840 --> 00:02:52,400
Speaker 3: combination in the S and P five hundred reporting today,

54
00:02:52,480 --> 00:02:54,680
Speaker 3: among them General Motors, so we get a preview from

55
00:02:54,720 --> 00:02:55,600
Speaker 3: Bloomberg's Tom.

56
00:02:55,480 --> 00:02:58,800
Speaker 6: Busby GM is likely to report vehicle sales and market

57
00:02:58,800 --> 00:03:01,280
Speaker 6: share in the US group during the second quarter, with

58
00:03:01,320 --> 00:03:03,880
Speaker 6: a lot of help from evs at lower priced models

59
00:03:03,880 --> 00:03:07,399
Speaker 6: like the Chevy Equinox small suv. The automaker also likely

60
00:03:07,400 --> 00:03:09,600
Speaker 6: to stress the biggest hit this year to its bottom

61
00:03:09,680 --> 00:03:13,000
Speaker 6: line from President Trump's twenty five percent tariffs on imported

62
00:03:13,000 --> 00:03:16,720
Speaker 6: cars and autoparts. GM stated previously it expects upwards of

63
00:03:16,800 --> 00:03:20,240
Speaker 6: five billion dollars in tariff impact this year, a third

64
00:03:20,240 --> 00:03:22,520
Speaker 6: of which it plans to offset through cost cutting moves.

65
00:03:22,680 --> 00:03:25,400
Speaker 6: Bloomberg consensus calls for revenue of forty six point two

66
00:03:25,440 --> 00:03:28,560
Speaker 6: seven billion dollars on adjusted ernings per SHAREFF two dollars

67
00:03:28,560 --> 00:03:31,679
Speaker 6: thirty three cents. Tom buzzby Bloomberg Radio.

68
00:03:31,680 --> 00:03:34,400
Speaker 2: Tom thanks as the US impost deadline on tariff deals

69
00:03:34,480 --> 00:03:37,280
Speaker 2: draws closer. Commerce Secretary Howard Ludnik met for more than

70
00:03:37,320 --> 00:03:41,040
Speaker 2: two hours yesterday in Washington with Japan's chief trade negotiator.

71
00:03:41,480 --> 00:03:44,960
Speaker 2: Barring a deal, Universe Sold tariffs on Japan's exports to

72
00:03:44,960 --> 00:03:47,320
Speaker 2: the US are set to rise to twenty five percent

73
00:03:47,360 --> 00:03:50,000
Speaker 2: on August first. That's up from the baseline ten percent

74
00:03:50,080 --> 00:03:52,160
Speaker 2: and an original twenty four percent.

75
00:03:51,960 --> 00:03:55,680
Speaker 3: Duty Well Nathan. Microsoft is still trying to stop hackers

76
00:03:55,720 --> 00:03:58,560
Speaker 3: wreaking global havoc after they exploited a flaw in the

77
00:03:58,600 --> 00:04:01,400
Speaker 3: firm's software. Over the week, Microsoft release to fix for

78
00:04:01,400 --> 00:04:05,640
Speaker 3: the vulnerability, and servers of the SharePoint document management software

79
00:04:05,840 --> 00:04:07,960
Speaker 3: but see they're still working to repair other parts of

80
00:04:08,000 --> 00:04:11,560
Speaker 3: the system. According to cybersecurity researchers, the flaw was used

81
00:04:11,560 --> 00:04:14,560
Speaker 3: to break into the file systems of national governments in Europe,

82
00:04:14,840 --> 00:04:16,359
Speaker 3: the Middle East, and the US.

83
00:04:16,680 --> 00:04:20,400
Speaker 2: Karen Blackrock is restricting the use of company devices in China.

84
00:04:20,560 --> 00:04:22,799
Speaker 2: In an internal memo seen by Bloomberg News, the world's

85
00:04:22,880 --> 00:04:26,040
Speaker 2: largest asset manager told staff to use temporary loaner phones

86
00:04:26,320 --> 00:04:29,839
Speaker 2: and not to bring company laptops to China on business trips.

87
00:04:29,880 --> 00:04:33,560
Speaker 2: The changes come with growing jitters around business travel to

88
00:04:33,640 --> 00:04:38,279
Speaker 2: China US China. Geopolitical tensions are weighing on global financial firms.

89
00:04:38,760 --> 00:04:41,240
Speaker 3: Now, Nathan to the latest on the Jeffrey Epstein case.

90
00:04:41,320 --> 00:04:44,760
Speaker 3: Its starting to affect legislative business on Capitol Hill. Democrats

91
00:04:44,760 --> 00:04:47,320
Speaker 3: on the House Rules Committee used a hearing on several

92
00:04:47,360 --> 00:04:50,880
Speaker 3: Republican bills to call for amendments releasing files on the

93
00:04:50,960 --> 00:04:54,200
Speaker 3: child sex offender. That forced Republicans to call off the

94
00:04:54,240 --> 00:04:56,479
Speaker 3: hearing indefinitely, and it could mean the House heads into

95
00:04:56,520 --> 00:04:59,480
Speaker 3: its summer recess Early. At the White House Press Secretary

96
00:04:59,520 --> 00:05:02,640
Speaker 3: carolineae it was asked why President Trump has not called

97
00:05:02,640 --> 00:05:05,160
Speaker 3: for a full release of the Epstein files.

98
00:05:05,400 --> 00:05:07,760
Speaker 7: The President has said if the Department of Justice and

99
00:05:07,760 --> 00:05:10,799
Speaker 7: the FBI want to move forward with releasing any further

100
00:05:10,920 --> 00:05:13,280
Speaker 7: credible evidence, they should do so. As to why they

101
00:05:13,279 --> 00:05:15,240
Speaker 7: have or have not or will, you should ask the

102
00:05:15,320 --> 00:05:16,120
Speaker 7: FBI about that.

103
00:05:16,520 --> 00:05:18,720
Speaker 3: Meanwhile, the White House says it will remove the Wall

104
00:05:18,720 --> 00:05:21,480
Speaker 3: Street Journal from the small group of reporters who will

105
00:05:21,520 --> 00:05:23,880
Speaker 3: be traveling with President Trump on a trip to Scotland

106
00:05:24,000 --> 00:05:27,120
Speaker 3: later this month. The President is suing the paper over

107
00:05:27,160 --> 00:05:30,120
Speaker 3: a port that he gave Epstein a suggestive birthday letter

108
00:05:30,200 --> 00:05:31,440
Speaker 3: more than twenty years ago.

109
00:05:31,680 --> 00:05:34,599
Speaker 2: In other media news this morning, Karen billionaire Patrick soon

110
00:05:34,760 --> 00:05:37,400
Speaker 2: Chang is planning to take the Wall of the Los

111
00:05:37,440 --> 00:05:41,000
Speaker 2: Angeles Times public over the next year. Soon Chung told

112
00:05:41,080 --> 00:05:43,880
Speaker 2: John Stewart's The Daily Show he will allow the public

113
00:05:43,920 --> 00:05:46,760
Speaker 2: to have ownership of the paper if an initial public

114
00:05:46,800 --> 00:05:48,880
Speaker 2: offering goes ahead. The LA Times to join the New

115
00:05:48,960 --> 00:05:52,320
Speaker 2: York Times and News Corporation among the largest publicly traded

116
00:05:52,360 --> 00:05:53,360
Speaker 2: news organizations.

117
00:05:53,839 --> 00:05:57,040
Speaker 3: And Nathan Stephen Colbert appeared on his first alleged show

118
00:05:57,160 --> 00:06:01,000
Speaker 3: since CBS announced it's canceling the program contract runs out

119
00:06:01,000 --> 00:06:03,760
Speaker 3: in May. He used his opening monologue to declare the

120
00:06:03,760 --> 00:06:07,719
Speaker 3: gloves are off against President Trump and CBS parent company

121
00:06:07,720 --> 00:06:09,719
Speaker 3: Paramount Global over the weekend.

122
00:06:09,920 --> 00:06:13,279
Speaker 8: Somebody at CBS followed up their gracious press release with

123
00:06:13,400 --> 00:06:16,560
Speaker 8: a gracious anonymous leak, saying they pulled the plug on

124
00:06:16,600 --> 00:06:20,240
Speaker 8: our show because of losses pegged between forty million and

125
00:06:20,400 --> 00:06:23,880
Speaker 8: fifty million dollars a year. Forty million is a big number.

126
00:06:23,920 --> 00:06:26,320
Speaker 8: I could see us losing twenty four million dollars. But

127
00:06:26,360 --> 00:06:30,080
Speaker 8: where would Paramount have possibly spent the other sixteen million?

128
00:06:30,200 --> 00:06:33,279
Speaker 8: Oh yeah, oh.

129
00:06:34,120 --> 00:06:37,839
Speaker 3: Stephen Colbert's reference there to Paramount sixteen million dollars settlement

130
00:06:37,880 --> 00:06:40,960
Speaker 3: with President Trump over his sixty minutes interview he claimed

131
00:06:41,000 --> 00:06:45,120
Speaker 3: was deceptively edited. The comedian also responded to the President's

132
00:06:45,160 --> 00:06:48,520
Speaker 3: truth social posts that he absolutely loved that Colbert got

133
00:06:48,640 --> 00:06:54,599
Speaker 3: fired with an expletive. Time. Now for look at some

134
00:06:54,600 --> 00:06:56,560
Speaker 3: of the other stories making news in New York and

135
00:06:56,600 --> 00:06:58,840
Speaker 3: around the world, And for that we're joined by a Bloomberg.

136
00:06:58,920 --> 00:07:03,039
Speaker 9: So Michael Barr, Good morning, Karon. A federal judges sentenced

137
00:07:03,080 --> 00:07:06,159
Speaker 9: an ex Kentucky police officer to thirty three months in

138
00:07:06,200 --> 00:07:09,840
Speaker 9: prison for using excessive force during the twenty twenty deadly

139
00:07:09,880 --> 00:07:14,040
Speaker 9: Breonna Taylor raid. The judge declined a US Justice Department

140
00:07:14,080 --> 00:07:18,400
Speaker 9: recommendation that he should serve just one day. Brett Hagenson,

141
00:07:18,440 --> 00:07:21,400
Speaker 9: who fired ten shots during the raid but didn't hit anyone,

142
00:07:21,800 --> 00:07:24,120
Speaker 9: was the only officer on the scene charged in the

143
00:07:24,120 --> 00:07:27,400
Speaker 9: black woman's death. He is the first person sentenced to

144
00:07:27,400 --> 00:07:30,000
Speaker 9: prison in the case that rocked the city of Louisville.

145
00:07:30,120 --> 00:07:33,720
Speaker 9: Ben Crump is the Taylor family attorney. We had the

146
00:07:33,800 --> 00:07:37,119
Speaker 9: out of fighting with this family for five years now

147
00:07:38,000 --> 00:07:42,960
Speaker 9: to get equal justice, ben Crump says, even though the

148
00:07:42,960 --> 00:07:46,640
Speaker 9: family thought Hankinson should have gotten more prison time, they

149
00:07:46,680 --> 00:07:51,200
Speaker 9: are grateful. New York City former interim police Commissioner Thomas

150
00:07:51,320 --> 00:07:55,240
Speaker 9: Dunlin has filed a ten million dollar defamation claim against

151
00:07:55,240 --> 00:07:58,920
Speaker 9: Mayor Eric Adams for reportedly suggesting he was mentally unfit

152
00:07:59,040 --> 00:08:02,160
Speaker 9: for the job of top cop. The filing comes less

153
00:08:02,160 --> 00:08:05,280
Speaker 9: than a week after Donlan sued Adams and his top deputies,

154
00:08:05,320 --> 00:08:09,120
Speaker 9: accusing them of operating the department as a criminal racket

155
00:08:09,160 --> 00:08:13,040
Speaker 9: that punished whistleblowers. A spokesperson for Adams dismissed the allegation

156
00:08:13,280 --> 00:08:17,520
Speaker 9: as yet another frivolous attempt to seek compensation at the

157
00:08:17,560 --> 00:08:21,520
Speaker 9: taxpayer's expense. The Pentagon has ordered the US Marines to

158
00:08:21,640 --> 00:08:24,560
Speaker 9: leave Los Angeles after more than a month in the city.

159
00:08:24,880 --> 00:08:27,720
Speaker 9: The departure of the seven hundred Marines, first deployed on

160
00:08:27,800 --> 00:08:32,079
Speaker 9: June ninth during protests against the administration's immigration policies comes

161
00:08:32,080 --> 00:08:35,080
Speaker 9: to days after the military reduced the presence of the

162
00:08:35,160 --> 00:08:39,360
Speaker 9: National Guard. Mayor Karen Bass says she appreciates the sacrifices

163
00:08:39,400 --> 00:08:42,480
Speaker 9: the National Guard soldiers are making, but says there needs

164
00:08:42,480 --> 00:08:43,439
Speaker 9: to be priorities.

165
00:08:44,080 --> 00:08:44,719
Speaker 3: We need the.

166
00:08:44,720 --> 00:08:48,360
Speaker 4: National Guard to assist us in prepare for fire season,

167
00:08:48,800 --> 00:08:52,560
Speaker 4: not for an inappropriate deployment where they are just guarding

168
00:08:52,679 --> 00:08:54,280
Speaker 4: a building that is.

169
00:08:54,240 --> 00:08:55,600
Speaker 10: Not under attack.

170
00:08:56,559 --> 00:08:59,559
Speaker 9: Tributes continue to come in for actor Malcolm Jamal Warner,

171
00:08:59,559 --> 00:09:02,880
Speaker 9: who played Theo Huxtable on The Cosby Show Police A.

172
00:09:03,000 --> 00:09:06,600
Speaker 9: Warner died in an accidental drowning off Costa Rica's Caribbean coast,

173
00:09:06,800 --> 00:09:09,720
Speaker 9: where he was on the family vacation. Malcolm Jamal Warner

174
00:09:10,080 --> 00:09:13,000
Speaker 9: was fifty four Global News twenty four hours a day

175
00:09:13,120 --> 00:09:15,200
Speaker 9: and whenever you want it with the Bloomberg News Now

176
00:09:15,600 --> 00:09:17,880
Speaker 9: Michael Barr and this is Bloomberg. Karen.

177
00:09:18,080 --> 00:09:24,880
Speaker 3: All right, Michael Barr, thank you time now for the

178
00:09:24,880 --> 00:09:28,600
Speaker 3: Bloomberg scores update. Here's John Stashawer, John Good morning, Good.

179
00:09:28,440 --> 00:09:30,800
Speaker 11: Morning, Karen. The Yankees went to Toronto three weeks ago,

180
00:09:30,880 --> 00:09:34,080
Speaker 11: gave up thirty six runs, lost all four games, and

181
00:09:34,120 --> 00:09:36,800
Speaker 11: that's why in their return they trailed the Blue Jays

182
00:09:36,800 --> 00:09:40,360
Speaker 11: by three games. They scored first, fourth inn first, Pittstright

183
00:09:40,480 --> 00:09:44,840
Speaker 11: the deep left, that's hit well going back, Snyder running out.

184
00:09:44,720 --> 00:09:46,640
Speaker 9: Of room, goodbye.

185
00:09:46,320 --> 00:09:49,080
Speaker 4: To the bullpen, Big je jaed.

186
00:09:48,880 --> 00:09:52,920
Speaker 10: Carlos Stanton Gibbs the Yankees on one nothing lead leading off.

187
00:09:52,760 --> 00:09:55,880
Speaker 11: The four on WFM. That was the Yankees' only run.

188
00:09:55,960 --> 00:09:59,240
Speaker 11: They had only four other hits. Toronto scored four times.

189
00:09:59,280 --> 00:10:01,160
Speaker 11: In the fifth of OBUs. She had two run double

190
00:10:01,200 --> 00:10:03,920
Speaker 11: and then consecutive throwing errors by the left side of

191
00:10:03,920 --> 00:10:06,839
Speaker 11: the Yankee infield. That's well Parronza and Anthony Volpi, who

192
00:10:06,880 --> 00:10:09,120
Speaker 11: leads the league in airs the Blue Jays one four

193
00:10:09,160 --> 00:10:12,120
Speaker 11: to one. At Diddy Field, Mets trailed the Angels four nothing,

194
00:10:12,280 --> 00:10:14,320
Speaker 11: five to two, and the seventh the Juan So two

195
00:10:14,360 --> 00:10:16,839
Speaker 11: runs single tied the game. In the eighth, big double

196
00:10:16,840 --> 00:10:19,640
Speaker 11: by Francisco Alvarez just back to the miners. Mets head

197
00:10:19,679 --> 00:10:20,920
Speaker 11: runners at second and third.

198
00:10:21,400 --> 00:10:23,920
Speaker 10: They bring the left hander Brock Burke into pitch and

199
00:10:24,000 --> 00:10:27,800
Speaker 10: Carlos Mendoz is gonna stick with Ronnie Maurisio. He's three

200
00:10:27,880 --> 00:10:30,000
Speaker 10: for twenty six against left handers.

201
00:10:30,040 --> 00:10:33,320
Speaker 11: Garret the infield's in. Ronnie pulls one to third, crabbed

202
00:10:33,360 --> 00:10:35,960
Speaker 11: on to hop the front, he gets away.

203
00:10:36,400 --> 00:10:39,040
Speaker 3: Kadi scored Toprez will stop the third.

204
00:10:39,559 --> 00:10:42,880
Speaker 10: Why have the Mets take the lead at the bottom

205
00:10:42,920 --> 00:10:43,160
Speaker 10: of the.

206
00:10:43,120 --> 00:10:45,840
Speaker 11: Eighth mess and why they scored again one seven to

207
00:10:45,880 --> 00:10:48,040
Speaker 11: five the go ahead run, scoring in a play at

208
00:10:48,040 --> 00:10:50,280
Speaker 11: the flight after granded a third in the eighth, just

209
00:10:50,320 --> 00:10:53,240
Speaker 11: as was the case in the win Sunday over Cincinnati.

210
00:10:53,280 --> 00:10:54,880
Speaker 11: And that's still trail the Phillies by a half game.

211
00:10:54,920 --> 00:10:56,920
Speaker 11: The Phills meet the Red Sox three to two on

212
00:10:57,000 --> 00:11:00,520
Speaker 11: a walk off catchers interference call ten and a first

213
00:11:00,520 --> 00:11:03,600
Speaker 11: time a game has ended like that since nineteen seventy one.

214
00:11:03,679 --> 00:11:06,440
Speaker 11: The Nationals top the Reds ten to eight, eleventh win

215
00:11:06,480 --> 00:11:08,920
Speaker 11: in a row for now first place Milwaukee six nothing

216
00:11:08,920 --> 00:11:11,920
Speaker 11: at Seattle. Chris Paul says his twenty first season in

217
00:11:11,920 --> 00:11:14,160
Speaker 11: the NBA will likely be his last. At age forty,

218
00:11:14,559 --> 00:11:17,360
Speaker 11: he signed with the LA Clippers. Katelin Clark still has

219
00:11:17,400 --> 00:11:20,440
Speaker 11: the groin injury, won't play for Indiana in Brooklyn tonight

220
00:11:20,720 --> 00:11:23,400
Speaker 11: against The Liberty, John Stashedware, Bloomberg Sports.

221
00:11:23,440 --> 00:11:24,480
Speaker 9: Karen and Nathan.

222
00:11:26,559 --> 00:11:30,760
Speaker 1: Coast to coast on Bloomberg Radio, nationwide on Sirius XM,

223
00:11:30,880 --> 00:11:33,720
Speaker 1: and around the world on Bloomberg dot Com and the

224
00:11:33,760 --> 00:11:36,920
Speaker 1: Bloomberg Business app. This is Bloomberg Daybreak.

225
00:11:37,360 --> 00:11:37,800
Speaker 10: Good morning.

226
00:11:37,800 --> 00:11:39,880
Speaker 2: I'm Nathan Hager, and there is little letup this morning

227
00:11:39,880 --> 00:11:42,320
Speaker 2: to the Trump Administration's pressure on the FED and Chair

228
00:11:42,480 --> 00:11:45,520
Speaker 2: Jerome Powell. Treasury Secretary Scott Bessant is now among those

229
00:11:45,559 --> 00:11:47,760
Speaker 2: calling for a full review at the Central Bank, with

230
00:11:47,800 --> 00:11:50,080
Speaker 2: a focus on its two and a half billion dollar renovation.

231
00:11:50,600 --> 00:11:53,920
Speaker 2: The White House spokeswoman Caroline Levitt says President Trump's pressure

232
00:11:53,920 --> 00:11:55,520
Speaker 2: on Powell will only go so far.

233
00:11:55,920 --> 00:11:58,520
Speaker 7: He has no plans to fire the FED chair, but

234
00:11:58,640 --> 00:12:02,200
Speaker 7: he has been very transparent and expressing his displeasure with

235
00:12:02,559 --> 00:12:05,880
Speaker 7: Jerome Powell's management of the FED and also his policies.

236
00:12:06,080 --> 00:12:08,800
Speaker 2: White How spoke something Caroline Levit joining us this morning,

237
00:12:08,920 --> 00:12:12,199
Speaker 2: Terry Haynes, the founder of Pangaea Policy. Terry, it's great

238
00:12:12,240 --> 00:12:15,520
Speaker 2: to speak with you. In Secretary besson social media post

239
00:12:15,600 --> 00:12:18,680
Speaker 2: calling for this review, he said, quote, significant mission creep

240
00:12:18,760 --> 00:12:21,880
Speaker 2: and institutional growth have taken the FED into areas that

241
00:12:21,960 --> 00:12:26,280
Speaker 2: potentially jeopardize the independence of its core monetary policy mission.

242
00:12:26,360 --> 00:12:29,120
Speaker 2: What do you make of this angle of the pylon

243
00:12:29,160 --> 00:12:30,760
Speaker 2: that we're seeing on Chairman Powell?

244
00:12:30,800 --> 00:12:34,199
Speaker 10: Good morning, Hi, Good morning Nathan. A couple of things.

245
00:12:34,280 --> 00:12:38,120
Speaker 10: One is that you know, I'm I'm a big believer

246
00:12:38,160 --> 00:12:41,160
Speaker 10: that Pale stays, and I told markets last week seven

247
00:12:41,240 --> 00:12:45,160
Speaker 10: reasons why that was the case. And on top of it,

248
00:12:45,400 --> 00:12:48,679
Speaker 10: I find Besson Besson's doing here interesting because Besson is

249
00:12:48,720 --> 00:12:53,040
Speaker 10: not going after, as he said, the core monetary policy

250
00:12:53,080 --> 00:12:55,520
Speaker 10: functions of the FED. He's looking at the FED as

251
00:12:55,640 --> 00:12:58,840
Speaker 10: a kind of the standard regulatory stuff that the FED does.

252
00:12:59,320 --> 00:13:05,800
Speaker 10: And you know, it's entirely it's entirely appropriate for the Congress,

253
00:13:06,120 --> 00:13:10,440
Speaker 10: the President to be looking at those functions, and it's

254
00:13:10,600 --> 00:13:13,800
Speaker 10: entirely appropriate to want to try to figure out how

255
00:13:13,840 --> 00:13:17,560
Speaker 10: they can best make the FED focus on its core mission.

256
00:13:18,679 --> 00:13:21,280
Speaker 10: I look at it as a little less meddling, but

257
00:13:21,440 --> 00:13:23,839
Speaker 10: at root, it's still the same kind of irritant that

258
00:13:24,960 --> 00:13:28,480
Speaker 10: won't get Trump anywhere, because you know, fundamentally, what we're

259
00:13:28,480 --> 00:13:33,440
Speaker 10: trying to do here is move blame from Trump onto

260
00:13:33,559 --> 00:13:36,440
Speaker 10: Powell for the stubbornness of inflation.

261
00:13:37,360 --> 00:13:39,800
Speaker 2: This kind of review that Secretary Beston is calling for

262
00:13:39,960 --> 00:13:42,640
Speaker 2: sounds like the kind of thing that could linger into

263
00:13:42,720 --> 00:13:46,240
Speaker 2: the next Federal Reserve chairman. Do you expect something like

264
00:13:46,280 --> 00:13:49,320
Speaker 2: that to fall on the plate of whoever President Trump

265
00:13:49,400 --> 00:13:50,280
Speaker 2: appoints next.

266
00:13:51,000 --> 00:13:54,559
Speaker 10: Oh, I do expect that. Firstly. Secondly, I think it's overdue.

267
00:13:54,600 --> 00:13:57,120
Speaker 10: It's been a quarter of a century or more since

268
00:13:57,160 --> 00:14:01,040
Speaker 10: the FED has undertaken a real serious, uh look at

269
00:14:01,480 --> 00:14:05,400
Speaker 10: exactly what it does comprehensively and how it does. And thirdly,

270
00:14:05,440 --> 00:14:09,480
Speaker 10: I'll point out at least some candidates, former Governor worsh

271
00:14:09,600 --> 00:14:12,800
Speaker 10: that comes to mind first, have been calling for exactly

272
00:14:12,880 --> 00:14:13,680
Speaker 10: that kind of revamp.

273
00:14:15,240 --> 00:14:20,320
Speaker 2: Congresswoman Republican Anna Paulina Luna has called for a criminal

274
00:14:20,360 --> 00:14:25,280
Speaker 2: referral for FED Chairman Powell over his testimony about the renovation.

275
00:14:25,400 --> 00:14:26,520
Speaker 2: Do you see that going anywhere?

276
00:14:27,200 --> 00:14:31,960
Speaker 10: I don't. I think it's unserious. Pale you know her.

277
00:14:32,280 --> 00:14:38,800
Speaker 10: The core of Luna's concern is, allegedly is Palell committing

278
00:14:38,800 --> 00:14:41,960
Speaker 10: perjury in front of the committee on the renovations. If

279
00:14:42,000 --> 00:14:45,800
Speaker 10: you look at the statements that she cites and the context,

280
00:14:46,280 --> 00:14:48,520
Speaker 10: there's absolutely no basis for that. I think this is

281
00:14:48,560 --> 00:14:51,360
Speaker 10: not legal advice, but there isn't any basis for it,

282
00:14:51,840 --> 00:14:55,640
Speaker 10: and I think it frankly backfires on Luna and on Trump,

283
00:14:55,680 --> 00:15:00,200
Speaker 10: particularly if the Justice Department investigates they find nothing. If

284
00:15:00,200 --> 00:15:03,160
Speaker 10: they refuse to investigate, Luna looks foolish. So either way,

285
00:15:03,760 --> 00:15:04,520
Speaker 10: it's a bad look.

286
00:15:04,760 --> 00:15:07,360
Speaker 2: In our last minute, Terry, it looks like the Jeffrey

287
00:15:07,400 --> 00:15:11,120
Speaker 2: Epstein case is affecting policymaking on Capitol Hill, with this

288
00:15:11,720 --> 00:15:15,920
Speaker 2: House Rules Committee hearing getting stalled over Democrats calling for

289
00:15:15,960 --> 00:15:18,720
Speaker 2: a full release of the Epstein files. Where do you

290
00:15:18,800 --> 00:15:19,680
Speaker 2: see this going?

291
00:15:20,840 --> 00:15:23,160
Speaker 10: Well, I see people. First of they're all going to

292
00:15:23,640 --> 00:15:27,880
Speaker 10: riga national to get flights as quickly as possible. Secondly,

293
00:15:28,280 --> 00:15:30,760
Speaker 10: I think they've tied themselves into knots on this, and

294
00:15:30,800 --> 00:15:34,360
Speaker 10: Congress at Congress is good at tying itself into knots.

295
00:15:34,840 --> 00:15:37,640
Speaker 10: But I think what ends up happening is basically they're

296
00:15:37,680 --> 00:15:41,520
Speaker 10: going pencils down for the August recess with the idea

297
00:15:41,640 --> 00:15:45,680
Speaker 10: that BONDI or somebody's going to be able to release

298
00:15:45,680 --> 00:15:47,840
Speaker 10: a lot of files. And when they release a lot

299
00:15:47,840 --> 00:15:52,240
Speaker 10: of files, it takes the political pressure off the warring

300
00:15:52,400 --> 00:15:53,280
Speaker 10: side of the House.

301
00:15:53,520 --> 00:15:56,920
Speaker 3: This is Bloomberry Daybreak, your morning podcast on the stories

302
00:15:56,960 --> 00:15:59,960
Speaker 3: making news from Wall Street to Washington and beyond.

303
00:16:00,280 --> 00:16:02,640
Speaker 2: Look for us on your podcast feed by six am

304
00:16:02,680 --> 00:16:06,120
Speaker 2: Eastern each morning, on Apple, Spotify, or anywhere else you listen.

305
00:16:06,320 --> 00:16:09,160
Speaker 3: You can also listen live each morning starting at five

306
00:16:09,200 --> 00:16:11,920
Speaker 3: am Wall Street Time on Bloomberg eleven three to zero

307
00:16:11,920 --> 00:16:14,800
Speaker 3: in New York, Bloomberg in ninety nine to one in Washington,

308
00:16:14,880 --> 00:16:18,840
Speaker 3: Bloomberg ninety two nine in Boston, and nationwide on serious

309
00:16:19,040 --> 00:16:20,600
Speaker 3: XM Channel one twenty one.

310
00:16:21,000 --> 00:16:23,720
Speaker 2: Plus listen coast to coast on the Bloomberg Business app

311
00:16:23,760 --> 00:16:26,600
Speaker 2: now with Apple CarPlay and Android Atto interfaces.

312
00:16:26,800 --> 00:16:29,800
Speaker 3: And don't forget to subscribe to Bloomberg News Now. It's

313
00:16:29,840 --> 00:16:32,560
Speaker 3: the latest news whenever you want it in five minutes

314
00:16:32,640 --> 00:16:35,760
Speaker 3: or less. Search Bloomberg News Now on your favorite podcast

315
00:16:35,800 --> 00:16:39,960
Speaker 3: platform to stay informed all day long. I'm Karen Moscow.

316
00:16:39,760 --> 00:16:42,280
Speaker 2: And I'm Nathan Hager. Join us again tomorrow morning for

317
00:16:42,360 --> 00:16:44,280
Speaker 2: all the news you need to start your day right

318
00:16:44,280 --> 00:16:45,760
Speaker 2: here on Bloomberg Day Ray