1 00:00:03,160 --> 00:00:06,560 Speaker 1: Global business News twenty four hours a day. If Bloomberg 2 00:00:06,600 --> 00:00:09,680 Speaker 1: dot Com, the radio plus Global lapp and on your radio. 3 00:00:09,960 --> 00:00:13,920 Speaker 1: This is a Bloomberg Business Flash from Bloomberg World Headquarters. 4 00:00:13,960 --> 00:00:16,599 Speaker 1: I'm Katherine Cowdery, the smp f I funded as he 5 00:00:16,720 --> 00:00:20,239 Speaker 1: raised earlier losses. Resource producers are rallying, along with prices 6 00:00:20,280 --> 00:00:23,480 Speaker 1: for medals ranging from gold to copper. The Benchmark index 7 00:00:23,520 --> 00:00:25,599 Speaker 1: has fallen one point two percent this week. It's set 8 00:00:25,640 --> 00:00:28,400 Speaker 1: for its first back to back weekly retreat in three months. 9 00:00:28,720 --> 00:00:31,520 Speaker 1: Treasuries are falling and the dollar weakened against the yan. 10 00:00:31,600 --> 00:00:34,840 Speaker 1: A slowdown in jobs growth, coupled with accelerating wage gains 11 00:00:35,040 --> 00:00:37,239 Speaker 1: has done little to alter views on the timing for 12 00:00:37,320 --> 00:00:40,200 Speaker 1: higher interest rates. We took the markets every fifteen minutes 13 00:00:40,200 --> 00:00:42,760 Speaker 1: throughout the trading day down Industrial leverage is currently up 14 00:00:42,840 --> 00:00:45,640 Speaker 1: seventy eight points four tents of a percent, trading at 15 00:00:45,640 --> 00:00:48,920 Speaker 1: seventeen thousand, seven hundred thirty seven. Smp f I funded 16 00:00:48,960 --> 00:00:51,040 Speaker 1: up six points three tents of a percent, trading at 17 00:00:51,080 --> 00:00:53,880 Speaker 1: two thousand fifty six, and as ZAC is up thirteen 18 00:00:53,920 --> 00:00:56,720 Speaker 1: points a quarter percent. It's trading at forty seven twenty nine. 19 00:00:57,040 --> 00:00:59,600 Speaker 1: West Texas Intermediate Crude oil up twenty two cents of 20 00:00:59,640 --> 00:01:03,000 Speaker 1: barrel half a percent at fifty four spot gold up 21 00:01:03,000 --> 00:01:06,120 Speaker 1: seventeen dollars seventy cents announced at twelve ninety Eden, and 22 00:01:06,200 --> 00:01:08,880 Speaker 1: the tenure treasury is down nine seconds with the yield 23 00:01:08,880 --> 00:01:13,000 Speaker 1: of one point seven And that's the Bloomberg Business flash 24 00:01:13,760 --> 00:01:16,800 Speaker 1: you're listening to. Taking staff with Kathleen Hayes and Pim 25 00:01:16,880 --> 00:01:21,080 Speaker 1: Box on Bloomberg Radio. The Central banks of India and 26 00:01:21,200 --> 00:01:24,560 Speaker 1: Iran they have reached an agreement to use European banks 27 00:01:24,600 --> 00:01:29,479 Speaker 1: in order the process pending oil payments to Tehran, unlocking 28 00:01:29,520 --> 00:01:34,120 Speaker 1: about six and a half billion dollars installed funds. Our 29 00:01:34,160 --> 00:01:37,120 Speaker 1: next guest has a thing or two about Iran. His 30 00:01:37,280 --> 00:01:41,559 Speaker 1: name is Senator Joseph Lieberman. Senator Lieberman is a former 31 00:01:41,760 --> 00:01:44,959 Speaker 1: U S Senator from Connecticut. He was also the Democratic 32 00:01:45,000 --> 00:01:47,960 Speaker 1: Party nominee for Vice President in the two thousand election. 33 00:01:48,040 --> 00:01:51,000 Speaker 1: He also served as chair of the Senate Homeland Security 34 00:01:51,040 --> 00:01:54,920 Speaker 1: Committee from two thousand and seven until twenty thirteen. And 35 00:01:54,960 --> 00:01:59,040 Speaker 1: he is the chairman of United Against Nuclear Iran. And 36 00:01:59,080 --> 00:02:01,400 Speaker 1: he joins us now. Senator Lieberman, thank you very much 37 00:02:01,400 --> 00:02:04,000 Speaker 1: for being with us. Glad to be with you, Pim, 38 00:02:04,040 --> 00:02:08,240 Speaker 1: thank you. Tell US about United Against Nuclear Iran. What 39 00:02:08,480 --> 00:02:12,440 Speaker 1: is this organization? Right? United Against Nuclear Iran is not 40 00:02:12,680 --> 00:02:15,400 Speaker 1: the new organization. It was formed seven or eight years 41 00:02:15,400 --> 00:02:20,760 Speaker 1: ago by an impressive group of diplomats including the late 42 00:02:21,520 --> 00:02:26,440 Speaker 1: Richard Holbrook, Investador Holbrook, Dennis Ross, Jim Wolsey was director 43 00:02:26,480 --> 00:02:29,280 Speaker 1: of the CIA under President Clinton, and Mark Wallace, who 44 00:02:29,360 --> 00:02:32,840 Speaker 1: was in the U n A delegation under President Bush. 45 00:02:32,919 --> 00:02:35,840 Speaker 1: And at that point, the purpose and still is was 46 00:02:35,960 --> 00:02:40,800 Speaker 1: to stop Iran from becoming a nuclear power. And now 47 00:02:40,840 --> 00:02:46,720 Speaker 1: we're focused post around nuclear agreement on really sank to 48 00:02:46,760 --> 00:02:52,959 Speaker 1: the business community. That agreement doesn't mean that it's it's 49 00:02:53,120 --> 00:02:55,919 Speaker 1: risk less to start doing business with Iran or it's 50 00:02:55,960 --> 00:02:59,840 Speaker 1: open season to do business with Iran. It's loaded with risk, 51 00:03:00,760 --> 00:03:06,160 Speaker 1: first because there are still sanctions against Irun for terrorism, 52 00:03:06,240 --> 00:03:13,320 Speaker 1: for violation of human rights where it's Islamic guard cores, 53 00:03:13,880 --> 00:03:18,200 Speaker 1: and the the second is there's reputational risk. This is 54 00:03:18,240 --> 00:03:21,800 Speaker 1: still the largest state sponsor, a most significant state sponsor 55 00:03:21,840 --> 00:03:27,320 Speaker 1: of terrorism now expanding throughout the region, and a tremendous 56 00:03:27,360 --> 00:03:32,120 Speaker 1: suppressor of women's rights, gay rights, political freedom, journalist freedom, etcetera. 57 00:03:32,240 --> 00:03:37,120 Speaker 1: So we're basically focused on businesses in America. And throughout 58 00:03:37,120 --> 00:03:41,800 Speaker 1: the world and saying, uh, don't do business with Iran yet, 59 00:03:41,960 --> 00:03:44,400 Speaker 1: it's too early and it's too risky for you and 60 00:03:44,520 --> 00:03:48,560 Speaker 1: your stockholders. Having said that, the Senator, I'm wondering if 61 00:03:48,560 --> 00:03:52,040 Speaker 1: you could just offer a little detail about why is 62 00:03:52,080 --> 00:03:56,000 Speaker 1: it that you're targeting companies And don't you believe that 63 00:03:56,040 --> 00:03:59,400 Speaker 1: the companies themselves have the wherewithal to do the research 64 00:03:59,480 --> 00:04:03,160 Speaker 1: necessary for whether they want to do business with Iran. Yeah, 65 00:04:03,200 --> 00:04:09,640 Speaker 1: that's a great question. So uh in some cases maybe not. Um. Uh, 66 00:04:09,800 --> 00:04:13,120 Speaker 1: you know, there's been a general reaction in some places. 67 00:04:13,400 --> 00:04:18,719 Speaker 1: Uh there on nuclear agreement has been signed. Its open season. 68 00:04:18,839 --> 00:04:23,520 Speaker 1: Time to go rushing back into Iran to do business. 69 00:04:23,640 --> 00:04:26,760 Speaker 1: But the the Iran Nuclear Agreement, if I can put 70 00:04:26,760 --> 00:04:30,160 Speaker 1: it this way, it was transactional. It was limited to 71 00:04:30,480 --> 00:04:35,000 Speaker 1: the nuclear weapons program. It was not transformational about Iran. 72 00:04:35,279 --> 00:04:40,440 Speaker 1: Ramant Iran remains terrorist state, remains from a terrible suppressor 73 00:04:40,480 --> 00:04:46,200 Speaker 1: of human rights, and remains of a verbal open declared 74 00:04:46,360 --> 00:04:50,920 Speaker 1: enemy of the United States of America. Also, those sanctions 75 00:04:50,920 --> 00:04:55,320 Speaker 1: are on and uh, if you do business with an organism, 76 00:04:55,320 --> 00:04:57,719 Speaker 1: a company in Iran, you may well be doing business 77 00:04:57,760 --> 00:05:00,040 Speaker 1: with the I r g C. The The Star a 78 00:05:00,279 --> 00:05:03,360 Speaker 1: military group that has great economic power, and if you are, 79 00:05:03,520 --> 00:05:07,839 Speaker 1: you're subject to sanctions, to losing access to the US 80 00:05:08,760 --> 00:05:14,200 Speaker 1: banking system, and we're just asking businesses to ask themselves 81 00:05:14,200 --> 00:05:17,159 Speaker 1: whether it's worth it. Frankly, we're also saying to them 82 00:05:17,279 --> 00:05:21,160 Speaker 1: that there are people out here like us who are 83 00:05:21,200 --> 00:05:24,479 Speaker 1: still who still feel Iran is of the number one 84 00:05:25,080 --> 00:05:29,240 Speaker 1: threat to not only American security, but but regional and 85 00:05:29,360 --> 00:05:32,800 Speaker 1: world security. And if you're going to do business with them, 86 00:05:32,800 --> 00:05:37,239 Speaker 1: you're going to be supporting this extremist regime. UH, and 87 00:05:37,640 --> 00:05:41,680 Speaker 1: that's ultimately going to create a backlash perhaps among our 88 00:05:41,720 --> 00:05:45,760 Speaker 1: company's customers. UM, So you're trying to make a political 89 00:05:45,839 --> 00:05:48,880 Speaker 1: point or you're trying to make a business point what 90 00:05:49,040 --> 00:05:50,960 Speaker 1: we're doing both. I mean, we're saying, on the on 91 00:05:51,040 --> 00:05:56,840 Speaker 1: the continuing existence of the sanctions, that you better look 92 00:05:56,880 --> 00:06:00,200 Speaker 1: twice at the law before you think that it's it's 93 00:06:00,200 --> 00:06:05,040 Speaker 1: without risk of legal consequence or without risk of compromising 94 00:06:05,120 --> 00:06:08,920 Speaker 1: your access to the American banking system and markets for 95 00:06:08,920 --> 00:06:12,680 Speaker 1: you to do business and uh Iran, we're also saying 96 00:06:12,720 --> 00:06:18,360 Speaker 1: there's reputational risk that ultimately Iran has given no indication 97 00:06:18,480 --> 00:06:22,120 Speaker 1: of moderating its behavior since Iran nuclear agreement and effect. 98 00:06:22,160 --> 00:06:25,719 Speaker 1: Just last weekend, again the Supreme Leader I have told 99 00:06:25,720 --> 00:06:28,600 Speaker 1: a common I declared that the United States is the 100 00:06:28,720 --> 00:06:33,840 Speaker 1: number one enemy of Iran and a kind of irreconcilable 101 00:06:34,760 --> 00:06:37,720 Speaker 1: UH enemies. So I guess what I'm trying to understand, 102 00:06:37,800 --> 00:06:40,960 Speaker 1: center is why do they need Why do US companies 103 00:06:41,120 --> 00:06:45,279 Speaker 1: need an organization like United Against Nuclear Iran to tell 104 00:06:45,320 --> 00:06:47,560 Speaker 1: them exactly what you just said. I mean, I would 105 00:06:47,600 --> 00:06:49,560 Speaker 1: assume that they would need the headlines and they would 106 00:06:49,560 --> 00:06:53,440 Speaker 1: do their own due diligence. Well maybe not. Maybe they 107 00:06:53,480 --> 00:06:56,960 Speaker 1: think they can get away with it, but I'll tell you, 108 00:06:57,080 --> 00:07:00,160 Speaker 1: or are not run to follow the other sanctions, I'll 109 00:07:00,160 --> 00:07:02,640 Speaker 1: say you something. What we're trying to do is to 110 00:07:02,720 --> 00:07:07,280 Speaker 1: shine a light, and frankly, we're also saying implicitly, if 111 00:07:07,279 --> 00:07:11,880 Speaker 1: not explicitly, to companies if you're We do this with 112 00:07:12,040 --> 00:07:16,480 Speaker 1: letters to the companies, with appearances at UH different business 113 00:07:16,560 --> 00:07:19,960 Speaker 1: meetings that are dealing with bringing people to Iran to 114 00:07:20,120 --> 00:07:24,880 Speaker 1: do business, where we were represented by the former Italian 115 00:07:25,400 --> 00:07:29,280 Speaker 1: foreign minister Julio Tears at a meeting in Zurich just 116 00:07:29,360 --> 00:07:33,400 Speaker 1: this past week of the European Iran Form and part 117 00:07:33,440 --> 00:07:35,960 Speaker 1: of it is just to say that the lights are 118 00:07:36,000 --> 00:07:38,960 Speaker 1: still on Iran, and if you do business there, the 119 00:07:39,040 --> 00:07:43,000 Speaker 1: lights maybe on you. That'll be bad for your reputation, 120 00:07:43,120 --> 00:07:46,560 Speaker 1: and at some point may actually close economic consequences for 121 00:07:46,640 --> 00:07:50,360 Speaker 1: you from your consumers who would not customers who would 122 00:07:50,400 --> 00:07:54,120 Speaker 1: not want to feel that they were buying from a 123 00:07:54,160 --> 00:08:00,960 Speaker 1: company that was economically supporting a terrorist anti America and regime. 124 00:08:01,640 --> 00:08:05,280 Speaker 1: Just looking at the list of signatories to your letter, 125 00:08:05,880 --> 00:08:09,000 Speaker 1: destriving these possibilities just because how come there are no 126 00:08:09,720 --> 00:08:14,840 Speaker 1: business executives, Well, it's a good question. Maybe the next 127 00:08:14,840 --> 00:08:17,400 Speaker 1: ste are we will, I mean, since it's founding and 128 00:08:17,440 --> 00:08:24,040 Speaker 1: you could hear this from the names I mentioned, Holbrook, Wolsey, Ross, Wallace, etcetera. 129 00:08:24,160 --> 00:08:30,440 Speaker 1: And these were former, uh, public servants, former diplomats, etcetera. 130 00:08:30,720 --> 00:08:34,720 Speaker 1: People really familiar with the state of negotiations with Iran 131 00:08:34,920 --> 00:08:39,480 Speaker 1: and with the with the sanctions law, and and UH 132 00:08:39,720 --> 00:08:42,720 Speaker 1: we've had some business people expressed support for what we're doing, 133 00:08:42,760 --> 00:08:46,000 Speaker 1: and I hope we have more. I mean, we we 134 00:08:46,040 --> 00:08:51,360 Speaker 1: haven't hesitated to go really directly to some great companies 135 00:08:51,400 --> 00:08:55,440 Speaker 1: like ge or Siemens, Fiat Christs or Bombadeer Maraths are 136 00:08:55,520 --> 00:09:00,000 Speaker 1: companies that have indicated that they may be thinking about 137 00:09:00,120 --> 00:09:03,440 Speaker 1: doing business with Iran, and honestly, we want them to 138 00:09:03,480 --> 00:09:08,800 Speaker 1: know the risks. Uh. This is a still a country 139 00:09:08,840 --> 00:09:12,280 Speaker 1: that has declared under the Patriot Act to be a 140 00:09:12,280 --> 00:09:19,199 Speaker 1: a money laundering operation and subject to legal penalties for 141 00:09:19,200 --> 00:09:24,040 Speaker 1: for doing business with it. Let's talk about some other names. 142 00:09:24,120 --> 00:09:27,360 Speaker 1: I'm going to give you two and a half a 143 00:09:27,400 --> 00:09:33,440 Speaker 1: minute or so to comment on each. Donald Trump, Oh, 144 00:09:33,480 --> 00:09:36,400 Speaker 1: Donald Trump, big surprise of the year. I didn't see 145 00:09:36,400 --> 00:09:41,240 Speaker 1: it coming obviously in a primary though, though it's only 146 00:09:41,280 --> 00:09:43,800 Speaker 1: a minority of voters. Of what primaries are both parties, 147 00:09:43,840 --> 00:09:47,040 Speaker 1: probably about ten overall of the voters in the in 148 00:09:47,120 --> 00:09:51,199 Speaker 1: the country. Um, they're saying something which is there the 149 00:09:51,280 --> 00:09:56,000 Speaker 1: voters are by supporting Trump, They're they're furious at the 150 00:09:56,120 --> 00:10:00,240 Speaker 1: status quo and they want something different. And I guess 151 00:10:00,280 --> 00:10:04,080 Speaker 1: i'd say, uh, none of us should underestimate him because 152 00:10:04,240 --> 00:10:06,600 Speaker 1: he's come a lot further than any of us study 153 00:10:06,679 --> 00:10:12,680 Speaker 1: ever would Hillary Clinton, she's very experienced and or for 154 00:10:12,720 --> 00:10:17,360 Speaker 1: a long time. Uh, and Uh, I guess you'd have 155 00:10:17,400 --> 00:10:20,720 Speaker 1: to say she's the favorite going into the fall election. 156 00:10:20,880 --> 00:10:24,800 Speaker 1: But if if there was a supporting word, I'm not 157 00:10:24,840 --> 00:10:28,200 Speaker 1: supporting either. I've been involved in another organization called No Labels, 158 00:10:28,240 --> 00:10:32,400 Speaker 1: which is in China, believe or not. Idealistically, so I 159 00:10:32,400 --> 00:10:36,800 Speaker 1: would say naively trying to create incentives for bipartisan cooperation 160 00:10:36,880 --> 00:10:39,400 Speaker 1: in Washington. So I'm gonna wait a while, probably through 161 00:10:39,400 --> 00:10:43,200 Speaker 1: the national conventions. I mean, the big challenge to Hillary 162 00:10:43,280 --> 00:10:47,000 Speaker 1: Clinton is that that she has exactly the experience, the 163 00:10:47,160 --> 00:10:50,439 Speaker 1: qualiser to be president, which is to say, she may 164 00:10:50,440 --> 00:10:53,200 Speaker 1: be seen as an insider in a year when the 165 00:10:53,240 --> 00:10:59,160 Speaker 1: public clearly wants change, and Trump is certainly, among other things, 166 00:10:59,160 --> 00:11:03,240 Speaker 1: an outsider. So thank you very much. As Senator Joe Lieberman, 167 00:11:03,640 --> 00:11:08,559 Speaker 1: he is the chairman of United Against Nuclear Iran, the 168 00:11:08,679 --> 00:11:12,400 Speaker 1: former senator from Connecticut. You're listening to taking Stock on 169 00:11:12,480 --> 00:11:13,320 Speaker 1: Bloomberg Radio.