Speaker 1: Bloomberg Audio Studios, podcasts, radio news.
Speaker 2: Good morning.
Speaker 1: I'm Nathan Hager and I'm Karen Moscow. Here are the
Speaker 1: stories we're following today, Karen.
Speaker 3: Middle East tensions maybe ramping back up. Israeli military officials
Speaker 3: are saying they have no choice but to respond to
Speaker 3: Iran's drone and missile attack over the weekend, but the
Speaker 3: US and European allies are urging Israel to avoid the
Speaker 3: kind of tit for tat that could spark a wider
Speaker 3: war here. State Department spokesman Matthew Miller.
Speaker 4: Israel is a sovereign country. They have to make their
Speaker 4: own decisions about how best to defend themselves. What we
Speaker 4: always try to do is provide our best advice as
Speaker 4: a longtime friend of Israel and a longtime ally and
Speaker 4: partner of Israel. And that's what we've done since October seventh,
Speaker 4: across a broad range of fronts. It's what we have
Speaker 4: done over the weekend.
Speaker 3: Matthew Miller at the State Department says the Biden administration
Speaker 3: has put more than five hundred sanctions on Iranian entities
Speaker 3: to hold Tehran accountable.
Speaker 1: But for Israel, Nathan, the question isn't if the country response.
Speaker 1: But how more on that From Bloomberg's Rosalind Madison.
Speaker 5: There's a wide range of possibilities here. From a direct attack,
Speaker 5: as you say, from Israel on Iran, that would not
Speaker 5: be unprecedented, but that's one option for them, targeting military sites,
Speaker 5: perhaps even nuclear.
Speaker 6: Sites in Iran.
Speaker 5: Of course, there's a lot of concern about Iran's nuclear program,
Speaker 5: or does it go for something instead, like going for
Speaker 5: one of Iran's proxies in the region. We're talking about
Speaker 5: the Huthis in Yemen, We're talking about Hamas in Gaza,
Speaker 5: Hezblah in Lebanon. Do they go through one of those
Speaker 5: proxies to retaliate.
Speaker 1: Bloomberg's Rauslin Madison reports are timing of an Israeli response
Speaker 1: also is not clear. Iran's deputy Foreign Minister is warning
Speaker 1: any Israeli counterattack would be met with a more severe,
Speaker 1: faster and immediate blow. He says it would take seconds
Speaker 1: for his country to launch another strike.
Speaker 3: Well, Karen, the turmoil in the Middle East has added
Speaker 3: new urgency to passing Foreign aid in the House after
Speaker 3: months of inaction. Bloomberg's Ed Baxter reports votes could come
Speaker 3: this week.
Speaker 7: Speaker Mike Johnson is planning separate votes this week on
Speaker 7: new aid to both Israel and Ukraine. This in an
Speaker 7: attempt to assemble fragile coalitions to speed weaponry to both places.
Speaker 8: We have a terrorist in tyrants and terrible leaders around
Speaker 8: the world like Putin and g and in Iran, and
Speaker 8: they're watching to see if America will stand up for
Speaker 8: its allies in our own interest around the globe, and
Speaker 8: we will.
Speaker 7: Now, his party majority is very slim, and he may
Speaker 7: need Democrat support, and he very well may get it.
Speaker 7: The mpasse over eight has been dragging on since October.
Speaker 7: At Baxter Bloomberg.
Speaker 1: Radio, all right, ed, thank you now to the historic
Speaker 1: criminal case involving former President Donald Trump. Jury selection continues today.
Speaker 1: Bloomberg Law host June Garasso has the latest from New York.
Speaker 9: Trump's criminal trial got off to a slow start. The
Speaker 9: jury selection process began hours late because of a slew
Speaker 9: of motions. The trial judge had to handle first, and
Speaker 9: then more than half of the first pool of ninety
Speaker 9: six perspective jurors was dismissed after saying they couldn't be
Speaker 9: fair and impartial. Court adjourned for the day with zero
Speaker 9: jurors chosen, and the judge saying we're way behind schedule.
Speaker 9: Jury selection resumes this morning, June Grosso, Bloomberg Radio, All right, June.
Speaker 7: Thank you.
Speaker 3: While Trump deals with those legal issues, President Biden's hitting
Speaker 3: the campaign trail in his childhood home state of Pennsylvania.
Speaker 3: The Biden campaign says the trip aims to highlight the
Speaker 3: differences between the president's tax and economic agenda and the
Speaker 3: policies of Trump, who oversaw tax cuts for the wealthy
Speaker 3: and corporations. Biden's three day trip includes a visit to
Speaker 3: Scranton and events in the Pittsburgh area, where Nippon Steele's
Speaker 3: deal to buy United States Steel has rankled union allies.
Speaker 3: The president will close out the trip Thursday in Philadelphia.
Speaker 10: Well.
Speaker 1: Turning to Wall Street Now Nathan. First quarter earnings for
Speaker 1: the nation's biggest banks wrap up later this morning with
Speaker 1: Bank of America and Morgan Stanley. Bloomberg's Jeff Ellinger has
Speaker 1: a look at what to expect for.
Speaker 11: Bank of America. A key number to watch net interest income,
Speaker 11: which alone is forecast to be about fourteen billion dollars,
Speaker 11: about two percent lower than a year ago. Consensus calls
Speaker 11: for total revenue of twenty five point forty three billion
Speaker 11: and adjusted earnings per share of seventy seven cents. As
Speaker 11: for Morgan Stanley, a jump in investment banking activity may
Speaker 11: help offset and expected pullback in earnings for the ninth
Speaker 11: quarter in a row, although the pace of declines likely slowed.
Speaker 11: Consensus calls for revenue of fourteen point forty six billion
Speaker 11: and adjusted earnings per share of a dollar sixty six.
Speaker 11: Jeff Bellinger, Bloomberg Radio, Jeff.
Speaker 3: Thank you well after another strong reading on retail sales.
Speaker 3: Another FED official says there's no rush to cut interest
Speaker 3: rates here. San Francisco FED President Mary Daily added event
Speaker 3: at the Stanford Institute for Economic Policy Research, the.
Speaker 12: Worst thing we can do right now is act urgently
Speaker 12: when urgent isn't necessary. You know, the policy is in
Speaker 12: a good place. We're in the ready position. We can
Speaker 12: respond as the economy evolved. The labor market's not and
Speaker 12: giving us any indication is faltering, and inflation is still
Speaker 12: above our target, and we need to be confident it
Speaker 12: is on path to come down to our target before
Speaker 12: we would feel the need and I would feel the
Speaker 12: need to react.
Speaker 3: San Francisco FED chief Mary Daily votes on monetary policy
Speaker 3: this year well.
Speaker 1: In Europe, Nathan Britain's unemployment rate rose unexpectedly to a
Speaker 1: six month high. We get more from a UK economic
Speaker 1: correspondent Lizzie Burden.
Speaker 13: Unemployment was expected to tick up, Actually it went from
Speaker 13: three point nine percent to four point two percent rather
Speaker 13: than just four percent. But on the other hand, you
Speaker 13: had average weekly earnings expected to tick down from six
Speaker 13: point one percent to five point eight percent. Actually they
Speaker 13: only went to six percent, so hotter than I expected.
Speaker 13: So it's mixed signals here. From the labor market.
Speaker 1: Data, Bloomberg's Lizzie Burden says the labor numbers come ahead
Speaker 1: of tomorrow's March reading on consumer prices.
Speaker 3: We got some new economic data out of Asia Karen
Speaker 3: China's economic growth beat expectations in the first quarter as
Speaker 3: factory output led the expansion. Bloomberg Daybreak Asia anchor Brian
Speaker 3: Curtis has more from Hong Kong.
Speaker 14: GDP rows five point three percent year on year. That's
Speaker 14: higher than the estimate of four point eight percent. In March,
Speaker 14: industrial production was up four and a half percent from
Speaker 14: a year earlier, versus a forecast of six percent. Retail
Speaker 14: sales rose three point one percent, missing an estimate of
Speaker 14: four point eight percent. China's recovery has been out of balance.
Speaker 14: Manufacturing holding up, but the property crisis is denting both
Speaker 14: household and business confidence in Hong Kong. Brian Curtis, Bloomberg Radio.
Speaker 1: All right, Brian, thank you, and it's time now for
Speaker 1: a look at some of the other stories making news
Speaker 1: in New York and around the world.
Speaker 15: And for that we're joined by A Bloomberg's John Tucker. John,
Speaker 15: Good Morning, Good Morning, Karen. New York finally has a budget.
Speaker 15: Deal exceeds two hundred and thirty three billion dollars, and
Speaker 15: sources to say it includes the most sweeping change in
Speaker 15: housing policy in years. Details in this report from Bloomberg's
Speaker 15: Charlie Peenllett.
Speaker 2: Those sources say the tentative spending plan includes a tax
Speaker 2: break for affordable housing construction, alongside new restrictions on evictions
Speaker 2: and rent increases for market rate renters. Details of the budget,
Speaker 2: which was originally due to April first, our subject to
Speaker 2: change before final approval. Soaring rents and upcoming elections are
Speaker 2: key factors driving state lawmakers to forge an agreement with
Speaker 2: Democratic Governor Kathy Hogel, A year after she failed to
Speaker 2: advance a proposal aimed at building eight hundred thousand new
Speaker 2: homes over a decade. In New York, Charlie Pellett Bloomberg.
Speaker 16: Radio House, Republicans who will want the articles of impeachment
Speaker 16: against Homeland Security Secretary Allejudro Maiorchis over to the Senate
Speaker 16: today It kicks off at trial in that chamber. Republicans
Speaker 16: accused my Orchis of mishandling the crisis at the southern border.
Speaker 16: Vice President Harris returning to the campaign trailed to underscore
Speaker 16: the stakes of the election. The Vice President, speaking in
Speaker 16: Las Vegas a week after the Arizona Supreme Court upheld
Speaker 16: an abortion ban from eighteen sixty four.
Speaker 10: What we are seeing in these states that we were
Speaker 10: talking about are Trump abortion bans, and he can't get
Speaker 10: away from that.
Speaker 16: In the wink of the Arizona Supreme Court decision, now
Speaker 16: California is bracing for an influx of women seeking abortion.
Speaker 16: The Supreme Court will weigh the legality of charges brought
Speaker 16: against hundreds of people in connection with the attack of
Speaker 16: the US capital. The question for the justices is whether
Speaker 16: law passed as part of the Sarbanes Oxley Financial reforms
Speaker 16: can be read to cover the January sixth riot. Hundreds
Speaker 16: of people, including Donald Trump, have been charge with obstructing
Speaker 16: and official proceeding. Global news twenty four hours a day
Speaker 16: and whenever you want it with Bloomberg News Now. I'm
Speaker 16: John Tucker. This he is Bloomberg, Nathan and Karen.
Speaker 1: Sorry, John, thank you, and it's time now for the
Speaker 1: Bloomberg Sports Update with John stas Shower.
Speaker 17: John, Good morning, Good morning, Caaren. A terrific regular season
Speaker 17: for the Rangers. Right from the start. They won eighteen
Speaker 17: of their first twenty three games. It ended at the
Speaker 17: Guard with a four to nothing shut out of Ottawa,
Speaker 17: and the Rangers finished with a club record one one
Speaker 17: hundred and fourteen points. That's the most in the NHL.
Speaker 17: Their first round opponent could still be one of four
Speaker 17: different teams Washington and Detroit at eighty nine points, Pittsburgh
Speaker 17: has eighty eight, Philadelphia eighty seven. With one game left,
Speaker 17: Islanders are in the playoffs fifth time in the last
Speaker 17: six years. They finished seven and one down the stretch,
Speaker 17: beat the Devils four to one. The Islanders will face
Speaker 17: Carolina in Round one. Bruins failed to clinch their division
Speaker 17: lost to nothing in Washington. The Mats, who began the
Speaker 17: season ze five and now eight and eight to come
Speaker 17: from behind sixty three win over the Pirates at City Field.
Speaker 17: The Mets allowed only three hits. Yankees had only four,
Speaker 17: so did the Blue Jays, but Toronto won three to one.
Speaker 17: Chris Bassett beat Louis Heal, the Yanks first two game
Speaker 17: losing streak of the season. The Big Yankee news the
Speaker 17: retirement effective immediately of John's early in the radio Voice
Speaker 17: of the Ink the last thirty six years. He's eighty five,
Speaker 17: says he's tired. He'll be honored at the stadium on Saturday.
Speaker 17: In Brooklyn, they held the WNBA Draft. Has there ever
Speaker 17: been any draft with less suspense over who the first
Speaker 17: pick will be? Caitlyn Clark headed to the Indiana Fever.
Speaker 18: All this has come with just the person that I've
Speaker 18: i am and the player that I've been able to be,
Speaker 18: And that's exactly how you want to go into the WNBAS.
Speaker 18: Don't change anything that I've done, obviously learn it's at
Speaker 18: finding ways to get better. You know, people are going
Speaker 18: to expose my weaknesses. But that's an amazing thing about it.
Speaker 18: That's the challenge that I wanted.
Speaker 17: The WNBA announced they not only is San Francisco getting
Speaker 17: the team next season, they hope to add three more
Speaker 17: expansion teams by twenty twenty eight. Offseason workouts with the
Speaker 17: Giants and Daniel Jones says he'll be ready for the
Speaker 17: start of training camp back to the torny ACL. He
Speaker 17: also says he's not concerned that the Giants might draft
Speaker 17: a quarterback. Two weeks some Thursday, Giants had the sixth pick.
Speaker 17: John Stashedware Bloomberg Sports, Karen Nathan all.
Speaker 1: Right, John, thank you, SMP. Futures that'll change now. So
Speaker 1: we're a NASDAK yours down. Feutures down to tenth of
Speaker 1: a percent or forty points, and the ten year treasury
Speaker 1: yield is that four point sixty four percent.
Speaker 7: Coast to coast on Bloomberg Radio, nationwide on Sirius XM, and.
Speaker 2: Around the world on Bloomberg dot Com and the Bloomberg
Speaker 2: Business app. This is Bloomberg Daybreak. Good morning.
Speaker 3: I'm Nathan Hager. The world is waiting for Israel's response
Speaker 3: to Iran's weekend drone and missile attack, even as Allies
Speaker 3: ramp up their calls for restraint and avoiding the kind
Speaker 3: of tit for tet response that could spiral into a
Speaker 3: wider conflict in the Middle East. For more, Bloomberg Israel
Speaker 3: Bureau chief Ethan Bronner is back with us from Tel Aviv. Ethan,
Speaker 3: good morning. We're hearing Israeli military officials say they have
Speaker 3: no choice but to respond. What is the appetite in
Speaker 3: Israel for a counter attack.
Speaker 10: It's a bit diffuse. I mean, they actually published a
Speaker 10: poll on one of the Channel TV channels this morning
Speaker 10: showing that it's about a third to third to third,
Speaker 10: meaning do it right now, do it later, don't do it.
Speaker 10: So it's not like there's some overwhelming public pressure for
Speaker 10: a response. I think that a lot of Israelis were
Speaker 10: grateful for the cooperation the United States, UK and France
Speaker 10: and even some Arab neighbors gave in stopping that big
Speaker 10: attack on Saturday night. And they've kind of been in
Speaker 10: the doghouse in terms of how the world has seen
Speaker 10: them because of their war in Gaza, and I think
Speaker 10: that that has been satisfying to be embraced again and
Speaker 10: to see the coalition as the way forward. But you know,
Speaker 10: at the same time, they do worry this was the
Speaker 10: first time that Iran has ever shot from its own
Speaker 10: soil at Israel, and the sense that if you don't
Speaker 10: respond that somehow you're telling them you're weak. So that's
Speaker 10: kind of the debate that's going on all day, all
Speaker 10: night here, and I don't know how it's going to
Speaker 10: sort itself out now.
Speaker 3: Of course, the debate that allies are trying to add
Speaker 3: to this is that cooler heads should prevail. We've heard
Speaker 3: from the White House saying that Netanyahu should quote take
Speaker 3: the win. How much is that playing into this, Well,
Speaker 3: I think.
Speaker 10: It is playing into it. I mean, I don't think
Speaker 10: it's unimportant. I think that as I say that, the
Speaker 10: sense that the United States is back again embracing the
Speaker 10: Israel and sharing in its defense needs and so on
Speaker 10: is important to people. It's the most important alliance that
Speaker 10: this country has.
Speaker 17: But you know, there's this kind.
Speaker 10: Of old debate here, which is do we want to
Speaker 10: be loved by our friends or feared by our enemies.
Speaker 10: If we have to choose, we'll choose feared by our enemies. Now,
Speaker 10: the remaining question is is hitting back the best way
Speaker 10: to be feared? And I think that's part of the debate.
Speaker 3: Too interesting We've also heard from Israeli military officials who've
Speaker 3: spoken to Bloomberg Radio saying that they've presented another a
Speaker 3: number of options to the war cabinet. What could a
Speaker 3: potential Israeli response look like at this point?
Speaker 19: Well, I mean, there are all these range of options,
Speaker 19: right from doing nothing to shall we say, some kind
Speaker 19: of a quote unquote soft attack like a cyber attack.
Speaker 10: Then maybe a hit upon a military facility somewhere, or
Speaker 10: a hit upon facilities belonging to proxies e. Lebanon or
Speaker 10: Syria or Iraq. Those are rather than, of course, you know,
Speaker 10: an assassination of some kind or indeed some kind of
Speaker 10: attack on their nuclear facilities, which seems rather exceptionally unlikely.
Speaker 10: But you know, those are the ranges. So and all
Speaker 10: that's being debated, and.
Speaker 3: The US has said that it won't support Israel when
Speaker 3: it comes to a direct counter attack. Among those options.
Speaker 3: Is there a sense within the war cabinet that there
Speaker 3: are options that the US and its allies would get behind.
Speaker 10: There probably is, but they haven't shared it with me,
Speaker 10: and I've been trying to find out. My sense is
Speaker 10: that they do want to not cross the US in
Speaker 10: what they do. They want it to be seen as
Speaker 10: something that the US can accept and permit, and so
Speaker 10: that's where they're going through that. I think, you know,
Speaker 10: if there were a cyber attack, if there were an
Speaker 10: attack on proxies or something, you know, I'm assuming that
Speaker 10: the Americans would not necessarily say absolutely no way, But
Speaker 10: I don't know. You know, those are debates that are
Speaker 10: going on at a very high level, and I think
Speaker 10: that there's probably a great deal of uncertainty in the
Speaker 10: US administration and in the Israeli government about what should
Speaker 10: or what could happen.
Speaker 6: This is Bloomberg Daybreak Today, your morning brief on the
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