WEBVTT - Trump Harvard and Tariff Rulings; Look Ahead to Miran Hearing

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<v Speaker 1>Bloomberg Audio Studios, Podcasts, Radio News.

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<v Speaker 2>Good morning, I'm Nathan Hager and I'm Karen Moscow. Here

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<v Speaker 2>are the stories we're following today.

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<v Speaker 3>Karen, we begin with the latest on the trade wars

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<v Speaker 3>and President Trump's latest effort to uphold his global teriff regime.

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<v Speaker 3>The President is taking his case to the Supreme Court

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<v Speaker 3>after a federal appeals court found he improperly imposed country

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<v Speaker 3>by country duties under a nineteen seventy seven economic emergency law.

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<v Speaker 3>The administration's asking the High Court to take up its

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<v Speaker 3>case by September tenth. That's this coming Wednesday. It puts

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<v Speaker 3>it on a highly expedited schedule with arguments. In early November,

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<v Speaker 3>the President addressed the case in Oval Office, comments her

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<v Speaker 3>live on Bloomberg Radio.

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<v Speaker 4>I think we're going to have a big victory. These

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<v Speaker 4>deals are all done. I guess would have to unwind them.

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<v Speaker 4>The money coming in is incredible. If we didn't have them,

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<v Speaker 4>they would use him on us and we would have

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<v Speaker 4>no way to fight.

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<v Speaker 3>And that was President Trump speaking from the Oval Office.

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<v Speaker 3>Bloomberg Economic says a defeat for the President would cut

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<v Speaker 3>the average US effective teriff rate at least in half

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<v Speaker 3>and could force the US to refund billions of dollars

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<v Speaker 3>in import taxes.

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<v Speaker 2>Well, here's a defeat for the Trump administration in court.

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<v Speaker 2>It lost to Harvard University. A federal court has ruled

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<v Speaker 2>the US illegally froze more than two billion dollars in

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<v Speaker 2>the Ivy League institution's research funds. The court found the

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<v Speaker 2>move violated the school's free speech rights and did not

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<v Speaker 2>follow proper procedures. Mister Lena at Golf of Pulu is

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<v Speaker 2>head of Bloomberg's US legal news team.

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<v Speaker 5>There wasn't an explicit explanation about whether the administration needs

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<v Speaker 5>to release this funding immediately or whether the school is

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<v Speaker 5>going to be able to get it, But the judge

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<v Speaker 5>clearly laid out in this opinion, which was about eighty

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<v Speaker 5>pages long, the way the administration went about freezing this

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<v Speaker 5>fund these funds was illegal.

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<v Speaker 2>And Bloomberg's mister Lana A. Golf of Pulu as the

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<v Speaker 2>ruling stated that the administration used anti semism as a

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<v Speaker 2>smoke screen for a targeted, ideological, motivated assault on Harvard

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<v Speaker 2>and other universities. The Trump administration plans to appeal.

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<v Speaker 3>Meantime, carrying. The White House is also engaged in another

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<v Speaker 3>fight in Massachusetts, this one over wind farms. A court

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<v Speaker 3>filing shows the US is working to withdraw permits for

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<v Speaker 3>the New England Wind one and two projects off the

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<v Speaker 3>coast of Nantucket. It's part of a broader crackdown that

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<v Speaker 3>has disrupted at least four East Coast wind projects this year.

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<v Speaker 3>Massachusetts Governor Mara Heely says the federal government should be

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<v Speaker 3>working with states to build more power.

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<v Speaker 6>As governor, I am very focused on loring costs for

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<v Speaker 6>residents for businesses, that includes energy costs. One thing we

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<v Speaker 6>don't need is energy supply to our region cut off.

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<v Speaker 6>And unfortunately, that's what we're seeing by the Trump administration's

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<v Speaker 6>move to kill jobs and to literally take away power

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<v Speaker 6>by dismantling wind operations on the East Coast.

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<v Speaker 3>Massachusetts Governor Maria Healey spoke with Bloomberg News in an

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<v Speaker 3>interview from Our Boston. You can catch your full comments

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<v Speaker 3>on the Bloomberg podcast channel on YouTube.

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<v Speaker 2>Well in New York, Nathan Mayor Eric Adams is denying

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<v Speaker 2>that he received an offer from the Trump administration to

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<v Speaker 2>work at the Department of Housing and Urban Development. If

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<v Speaker 2>all is a report from Politico that the mayor was

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<v Speaker 2>offered a job at HUD as incentive to drop out

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<v Speaker 2>of the race in an effort to consolidate around one

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<v Speaker 2>candidate to take on front runners around Mam Donnie. A

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<v Speaker 2>White House official neither confirm nor denied the report, and

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<v Speaker 2>Mom Donnie is addressing it.

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<v Speaker 4>The same president who will throw millions of New Yorkers

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<v Speaker 4>off their health insurance is now seeking to undermine the

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<v Speaker 4>very fabric of this city.

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<v Speaker 2>And New York City mayoral candidates around Mam Donnie currently

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<v Speaker 2>leads to Democrat Andrew Cuomo and Republican Curtis Sleewah for

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<v Speaker 2>transparency Michael Bloomberg, who has endorsed Cuomo as founder and

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<v Speaker 2>majority owner of Bloomberg LP, the parent company of Bloomberg Radio.

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<v Speaker 7>Training.

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<v Speaker 3>The markets now Karen stocks and bonds have been rising

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<v Speaker 3>in the pre market. Traders are anticipating a week jobs

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<v Speaker 3>report tomorrow that could raise the prospect of a quarter

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<v Speaker 3>percentage point rate cut at this month's FED meeting. FED

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<v Speaker 3>Governor Christopher Waller tells CNBC the Central Bank should lawer

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<v Speaker 3>rates this month and more months from there.

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<v Speaker 8>For me, I think we need to start cutting rates

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<v Speaker 8>at the next meeting, and then we don't have to

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<v Speaker 8>go in a lock sequence of steps. We can kind

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<v Speaker 8>of see where things are going. Because people are still

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<v Speaker 8>worried about tariff inflation. I'm not what everybody else is.

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<v Speaker 3>FED Governor Chris Waller is a contender to succeed j

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<v Speaker 3>Powell as FED chair, and in a sign of labor

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<v Speaker 3>market weakening, US job openings fell to their lowest level

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<v Speaker 3>in ten months in July, and US economic activity saw

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<v Speaker 3>little to no change across most of the country in

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<v Speaker 3>recent weeks. That's according to the latest FED Beage Book

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<v Speaker 3>survey of regional business contacts.

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<v Speaker 2>Well, let's stick with the FED here, Nathan. The Senate

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<v Speaker 2>Banking Committee is holding a confirmation hearing today on Stephen

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<v Speaker 2>Myron's appointment to be a governor of the Federal Reserve.

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<v Speaker 2>Massachusetts Senator Elizabeth Warren tells Bloomberg's Balance of Power that

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<v Speaker 2>she believes the Senate Banking Committee should be having the hearing,

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<v Speaker 2>but says there should be an oversight committee investigating the

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<v Speaker 2>president's attacks on the Federal Reserve.

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<v Speaker 9>It should not be a business as usual, Let's grease

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<v Speaker 9>the skids and run through Donald Trump's nominee for the FED. Instead,

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<v Speaker 9>we should be having an oversight hearing about Donald Trump's

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<v Speaker 9>unprecedented attacks on the independence of the FED.

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<v Speaker 2>Democratic Senator Elizabeth Warren spoke with Bloomberg Balance of Power.

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<v Speaker 2>Hear her full comments on the Bloomberg podcast channel on YouTube.

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<v Speaker 3>What's happening in geopolitics this morning, Karen. Ukrainian President Vladimir

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<v Speaker 3>Zelenski is meeting with several European leaders in Paris today.

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<v Speaker 3>He is expected to continue talks on security guarantees. This

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<v Speaker 3>comes with concern that Russia is going to mount a

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<v Speaker 3>new offensive on Ukraine. With peace stocks stalled. Russian President

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<v Speaker 3>Vladimir Putin says he'd be willing to meet with Zelenski

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<v Speaker 3>under the right circumstances.

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<v Speaker 10>Donald asked me if it is possible to hold such

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<v Speaker 10>a meeting.

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<v Speaker 1>I said yes, it is possible.

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<v Speaker 11>If Zelenski is ready, he should come to Moscow and

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<v Speaker 11>the meeting will take place.

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<v Speaker 3>Russian President Vladimir Putin spoke in Beijing there through an interpreter.

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<v Speaker 3>President Trump says the US could increase its troop presence

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<v Speaker 3>in Poland, neighboring Ukraine. He's indicating that more financial penalties

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<v Speaker 3>could target Moscow as well.

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<v Speaker 2>Well. Let's turn to Ai now, Nathan and Shiny's platform,

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<v Speaker 2>deep Seek is targeting an AI agent release by the

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<v Speaker 2>end of the year. It's looking to develop a model

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<v Speaker 2>with more advanced features to compete with US rivals like

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<v Speaker 2>Open Ai. The AI model is designed to carry out

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<v Speaker 2>multiple or multi step actions on a person's behalf with

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<v Speaker 2>minimal direction from the user, and to learn and improve

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<v Speaker 2>based on its prior actions and Karen.

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<v Speaker 3>Apple is gearing up to launch its own AI powered

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<v Speaker 3>web search engine next year, directly challenging Chat, GPT and Perplexity.

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<v Speaker 3>Bloomberg's Mark German reports Apple's gearing up to launch it

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<v Speaker 3>next year.

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<v Speaker 11>They haven't announced this yet. There's going to be an

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<v Speaker 11>AI based web search product within Siri, competing with Chad

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<v Speaker 11>GPT in Perplexity. If you're like me, I don't go

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<v Speaker 11>to Google Search anymore, open Chatgypt to search it now

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<v Speaker 11>for the first time Siri, we'll be able to get

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<v Speaker 11>you detailed results from the web using its own technology.

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<v Speaker 3>Bloomberg's Mark German says Apple's aiming to turn its voice

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<v Speaker 3>ASSISTANCERI into a robust answer engine with large language models.

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<v Speaker 3>Apple shares in the pre market little changed, and it's time.

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<v Speaker 2>Now for a look at some of their stories making

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<v Speaker 2>news in New York and around the world, and when

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<v Speaker 2>I were joined by Bloombergy's Michael Barr Michael, good Morning.

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<v Speaker 7>Good Morning Karen. Survivors of Jeffrey Epstein's abuse gathered on

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<v Speaker 7>Capitol Hill to demand the release of the sex trafficking

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<v Speaker 7>investigation into the late financier Wednesday. They push back against

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<v Speaker 7>President Donald Trump's dismissal of the issue as a hoax.

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<v Speaker 7>During a news conference that women shared their experiences and

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<v Speaker 7>called for trans transparency, and accountability. Liz Stein is one

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<v Speaker 7>of those victims.

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<v Speaker 12>I loved people, and people genuinely enjoyed being around me,

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<v Speaker 12>but after meeting Jeffrey Epstein and Gallaine Maxwell, it felt

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<v Speaker 12>like someone shut off the lights to my soul.

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<v Speaker 7>At the White House, President Trump downplays the importance of

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<v Speaker 7>releasing the full files.

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<v Speaker 4>I think it's enough, because I think we should talk

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<v Speaker 4>about the greatness of our country and the success that

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<v Speaker 4>we're having. I think we're probably having, according to what

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<v Speaker 4>I read even from two people in this room, we're

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<v Speaker 4>having the most successful eight months of any president ever.

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<v Speaker 4>And that's what I want to talk about. That's what

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<v Speaker 4>we should be talking about, not the Epstein hoax.

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<v Speaker 7>Lawmakers are divided on how to proceed, with some Republican

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<v Speaker 7>supporting a bill to force the Department of Justice to

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<v Speaker 7>release all of the records. The Republican controlled House Oversight

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<v Speaker 7>Committee has released some documents. Portuguese emergency services say an

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<v Speaker 7>electric street car that is one of Lisbon's big tourist

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<v Speaker 7>attractions has derailed, killing fifteen people and injuring eighteen others.

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<v Speaker 7>The yellow and white streetcar, which goes up and down

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<v Speaker 7>a steep downtown hill, was lying on its side on

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<v Speaker 7>the narrow road after Wednesday's accident. Eye witnesses said the

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<v Speaker 7>streetcar carene down the hill, apparently out of control. In

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<v Speaker 7>the West, dozens of large wildfires are burning in at

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<v Speaker 7>least ten states. Near Raymond, California. Battalion Chief Mike Hauk

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<v Speaker 7>of cal Fire says two fires just miles apart forced

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<v Speaker 7>evacuations in parts of Mariposa and Madeira County.

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<v Speaker 12>Everybody is out there.

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<v Speaker 5>They are tireless nights that we are working, and they

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<v Speaker 5>still give the same effort every fire.

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<v Speaker 7>Outside New York City, hundreds of firefighters are trying to

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<v Speaker 7>contain the Buckbear wildfire in a rural, heavily wooded area

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<v Speaker 7>in Passaic County in northern New Jersey under investigation, global

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<v Speaker 7>news twenty four hours a day and whenever you want

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<v Speaker 7>it with the Bloomberg News. Now now Michael barrn this

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<v Speaker 7>is Bloomberg.

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<v Speaker 2>Karen, all right, Michael barr thank you, Thanks Michael. Time

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<v Speaker 2>now for our Bloomberg scurce updating for abound you bring

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<v Speaker 2>in John stash Houer.

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<v Speaker 13>Thanks Karen. Tonight in Philadelphia, it's the start of the

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<v Speaker 13>NFL season, the defended Super Bowl champion Eagles taking on

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<v Speaker 13>the Dallas Cowboys. At the US Open, Janick Sinner moved

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<v Speaker 13>into the men's semifinals. Naomi Osaka did for the women,

0:10:23.480 --> 0:10:28.520
<v Speaker 13>and so did Amanda Anisimova. She upset Igaschiontech, the same

0:10:28.559 --> 0:10:33.160
<v Speaker 13>player that Amisova lost to in the Wimbledon final six love,

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<v Speaker 13>six love. The Yankees blew a big lead. They lost

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<v Speaker 13>in Houston, eight to seven. That's your Bloomberg Sports Update.

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<v Speaker 2>Stay with us. More from Bloomberg Day Break coming up

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<v Speaker 2>after this.

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<v Speaker 1>Coast to coast on Bloomberg Radio, nationwide on Sirius XM,

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<v Speaker 1>and around the world on Bloomberg dot Com and the

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<v Speaker 1>Bloomberg Business album. This is Bloomberg Daybreak.

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<v Speaker 3>Good morning, I'm Nathan Hagar, And as promised, President Donald

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<v Speaker 3>Trump is taking his tariffs to the Supreme Court. That's

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<v Speaker 3>after an appeals court found he imposed his duties illegally

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<v Speaker 3>under an emergency law. The President says, the stakes in

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<v Speaker 3>this case could not be higher.

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<v Speaker 4>Our country has a chance to be unbelievably rich again,

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<v Speaker 4>but it can also be unbelievably poor again. If we

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<v Speaker 4>don't win that case, our country is going to suffer

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<v Speaker 4>so greatly.

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<v Speaker 3>And that was the President speaking in Oval office, comments

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<v Speaker 3>heard live on Bloomberg Radio. And this morning, we are

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<v Speaker 3>joined by Bloomberg's Global Trade Bizar Brendan Murray. Brendan, good morning.

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<v Speaker 3>Let's talk about the stakes in this case. What could

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<v Speaker 3>be on the line for the president if the Supreme

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<v Speaker 3>Court does take this up.

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<v Speaker 13>Good morning.

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<v Speaker 10>Yeah, the President is making this case that the economy

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<v Speaker 10>will suffer greatly if he's not allowed to impose import

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<v Speaker 10>taxes on American companies. But it's a bit of an exaggeration.

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<v Speaker 10>He actually has a lot of other tools that he

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<v Speaker 10>could use that have already survived challenges. He's already used

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<v Speaker 10>these kinds of tariffs on steel, aluminum, and autos. So

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<v Speaker 10>what the President is asking for here is the broad

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<v Speaker 10>authority to impose tariffs uh uh on on various countries

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<v Speaker 10>and raise those or lower lower those as he see fits.

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<v Speaker 10>And that is what the court uh that now the

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<v Speaker 10>Supreme Court is going to be asked to to to

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<v Speaker 10>rule on if the president's already lost in a couple

0:12:28.440 --> 0:12:31.680
<v Speaker 10>of lower courts, so that he's asking the justices to

0:12:31.679 --> 0:12:35.199
<v Speaker 10>to overturn what's already been decided in in federal court

0:12:35.280 --> 0:12:38.480
<v Speaker 10>and then and and an appeals court decision in late August. So,

0:12:39.400 --> 0:12:42.680
<v Speaker 10>but the with the framing of his argument, at least

0:12:42.679 --> 0:12:44.920
<v Speaker 10>publicly will We'll have to wait and see what they

0:12:44.960 --> 0:12:47.800
<v Speaker 10>say in court. But is that you know, they're collecting

0:12:47.800 --> 0:12:50.760
<v Speaker 10>a lot of revenue at the moment, and they are

0:12:51.840 --> 0:12:56.160
<v Speaker 10>renegotiating lots of trade ray agreements with various countries, and

0:12:56.240 --> 0:12:59.000
<v Speaker 10>all of that hinges on his ability to use these

0:12:59.480 --> 0:13:03.560
<v Speaker 10>uh so called reciprocal tariffs that he initially announced on

0:13:03.559 --> 0:13:04.160
<v Speaker 10>April second.

0:13:04.400 --> 0:13:06.800
<v Speaker 3>Yeah, So it gets down to the fundamental question, doesn't it,

0:13:06.840 --> 0:13:10.360
<v Speaker 3>as to whether Congress has essentially delegated that authority, the

0:13:10.360 --> 0:13:12.920
<v Speaker 3>power of the purse to the president under this law.

0:13:13.600 --> 0:13:16.880
<v Speaker 10>Yeah, exactly, Congress has delegated a couple a couple of

0:13:16.920 --> 0:13:22.280
<v Speaker 10>different statutes to the executive branch, and this is one

0:13:22.320 --> 0:13:25.440
<v Speaker 10>of them, and it's never been used as broadly as

0:13:25.520 --> 0:13:29.040
<v Speaker 10>President Trump is using these for tariff they're often this

0:13:29.080 --> 0:13:34.240
<v Speaker 10>particular statute is used more frequently for sanctions. So the

0:13:34.280 --> 0:13:42.160
<v Speaker 10>President and his advisors are really betting a lot on

0:13:42.559 --> 0:13:46.000
<v Speaker 10>his ability and the Supreme Court's willingness to go along

0:13:46.080 --> 0:13:48.840
<v Speaker 10>with how his interpretation of this particular law.

0:13:49.160 --> 0:13:51.240
<v Speaker 3>So in our last minute, Brandon, while we wait to

0:13:51.240 --> 0:13:53.440
<v Speaker 3>see whether the Supreme Court takes this up and whether

0:13:53.600 --> 0:13:56.480
<v Speaker 3>arguments are going to begin, what does this mean for

0:13:56.559 --> 0:13:58.720
<v Speaker 3>the trade regime? What does this mean for countries? Are

0:13:58.720 --> 0:14:00.560
<v Speaker 3>they sort of in limbo waiting for this to get

0:14:00.600 --> 0:14:01.040
<v Speaker 3>to sided.

0:14:01.520 --> 0:14:04.400
<v Speaker 10>Well, first of all, companies are continuing to pay the tariffs.

0:14:04.800 --> 0:14:08.480
<v Speaker 10>They're still in effect according to the way the Appeals

0:14:08.559 --> 0:14:13.800
<v Speaker 10>Court laid down its ruling, and so the levees are

0:14:13.800 --> 0:14:16.280
<v Speaker 10>still in effect for companies that have to pay them

0:14:16.600 --> 0:14:20.480
<v Speaker 10>to import goods from overseas. For the countries that are negotiating,

0:14:21.840 --> 0:14:24.600
<v Speaker 10>the read by some of the analysts that we're talking

0:14:24.600 --> 0:14:26.920
<v Speaker 10>to is, you know, they're in no hurry now to

0:14:27.240 --> 0:14:29.040
<v Speaker 10>speed up those talks. They're going to wait and see

0:14:29.040 --> 0:14:33.000
<v Speaker 10>how this case plays out. It could be November before

0:14:33.120 --> 0:14:36.680
<v Speaker 10>the Supreme Court has any sort of hearings, and then,

0:14:37.000 --> 0:14:39.440
<v Speaker 10>you know, maybe we get a judgment at the end

0:14:39.440 --> 0:14:41.400
<v Speaker 10>of the year or in the first quarter of twenty

0:14:41.480 --> 0:14:44.320
<v Speaker 10>twenty six. But it's not going to be resolved in

0:14:44.360 --> 0:14:47.640
<v Speaker 10>the next couple of weeks. This is a cloud of

0:14:47.720 --> 0:14:51.520
<v Speaker 10>uncertainty that hangs over the US economy and the global

0:14:51.560 --> 0:14:53.640
<v Speaker 10>economy really for several more months.

0:14:55.160 --> 0:14:58.640
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<v Speaker 1>Ray