Speaker 1: Now from our nation's capital. This is Bloomberg sound On.
Speaker 1: I challenged the President to join with us. Let's go
Speaker 1: across the country and let's debate. As we say in
Speaker 1: my favorite bless Me Bloomberg sound On Politics, Policy and
Speaker 1: perspective from DC's top name. Britain has to be competitive
Speaker 1: and if we put up taxes, we're not going to
Speaker 1: get that investment in grace. We're going to continue to
Speaker 1: monitor the global markets. It's as if we were over
Speaker 1: the Indie five hundred when we stopped maneuvering, and then
Speaker 1: we simply have to coast all the way to Baltimore.
Speaker 1: Bloomberg Sound On with Joe Matthew on Bloomberg Radio. The
Speaker 1: government set to run out of funding on Friday, and
Speaker 1: there's still no plan to vote on Today, Welcome to
Speaker 1: the fastest hour in politics, as we begin the final
Speaker 1: week of September with big questions about the congressional agenda
Speaker 1: and of course, the outcome of the midterm elections, now
Speaker 1: only seven weeks off. We're joined today by Congressman Chuck
Speaker 1: fly Been, Republican from Tennessee, who's on the front lines
Speaker 1: of the budget debate as a member of the Appropriations Committee. Later,
Speaker 1: world markets spooked by massive tax cuts plan in the
Speaker 1: UK and now the election of a new prime minister
Speaker 1: in Italy will get the view and hopefully some sense
Speaker 1: from you and Relli of b D A partners analysis
Speaker 1: on these stories and more coming up with our signature panel.
Speaker 1: They're both with us today Bloomberg Politics contributors Rick Davis
Speaker 1: and Gen Chanzano. No one is predicting a government shutdown
Speaker 1: on Friday. I want to say that up front, but
Speaker 1: lawmakers have still not come to agreement on a bill
Speaker 1: to keep the government running. The Senate is set to
Speaker 1: hold a vote tomorrow procedural vote on legislation that we've
Speaker 1: talked about, including Joe Mansion's energy permitting bill. If you
Speaker 1: listen to this program, you already know that that may
Speaker 1: not fly unless Mansion can convince enough Republicans to say yes.
Speaker 1: He showed up on Fox News Sunday yesterday to make
Speaker 1: the case. And this is not about me, my Republican friends.
Speaker 1: I've been working for twelve years with them, and I
Speaker 1: know their number one item that they've had, a number
Speaker 1: one priority they've had is permitting reform. We can't build
Speaker 1: anything in America. It takes five to ten years. They
Speaker 1: develop a world takes one to three years. And why
Speaker 1: should we be so far behind the developer world to
Speaker 1: bringing products to market, to be able to have the
Speaker 1: infrastructure to move energy around. And we're asking people around
Speaker 1: the world to do things for us we won't do
Speaker 1: for ourselves. My Republican friends know exactly where we are,
Speaker 1: all right. So there's the elevator pitch, and that's where
Speaker 1: we start with Congressman Chuck Fleishman, Republican from Tennessee who
Speaker 1: serves on the House Appropriations Committee. Congressman, I thank you
Speaker 1: for coming back to talk to us. Would you support
Speaker 1: a government funding bill if it included Joe Mansion's permitting reform?
Speaker 1: What do you make of his argument? I don't think
Speaker 1: it's going to see the light of day. Let me
Speaker 1: say this, I am generally not a fan of continuing resolutions,
Speaker 1: but the worst thing that we could have right now
Speaker 1: I think would be a government shutdown. But I think
Speaker 1: that the reality is is Joe man Anson was duped
Speaker 1: by his own party, specifically by Chuck Schumer for the
Speaker 1: ill fated or for the ill named Inflation Reduction Act.
Speaker 1: This was supposed to be his big chip that he
Speaker 1: was going to get. The reality is two Democrats, senator
Speaker 1: Senators and I believe Senator Kane have already said no
Speaker 1: to Joe Mansion, and he's going to have to get
Speaker 1: at least ten or more Republican vote. I just don't
Speaker 1: think he's going to get it in the Senate, so
Speaker 1: I don't think it ever gets to the House. In
Speaker 1: that posture on principle, Uh, Mansion is right about the
Speaker 1: permitting problems. The problem is he's been misplayed because of this,
Speaker 1: this prior ill lead on the Inflation Reduction Act, and
Speaker 1: now his his bill is probably gonna suffer for it. Well,
Speaker 1: he calls this Joe Mansion calls this lack of support,
Speaker 1: particularly from Republicans and some progressive Democrats too. He calls
Speaker 1: it revenge politics. If you agree with the need to
Speaker 1: reform permitting, is he not wrong? Well, Uh, you have
Speaker 1: to look at this as a progression or in my case,
Speaker 1: I call what the Democrats have done from the Inflation
Speaker 1: Reduction back all the way forward. This year, we have
Speaker 1: seen pieces of legislation that they have wanted to cram
Speaker 1: down for quite some time. They couldn't do it in
Speaker 1: one bite, so they did it in little bites, and
Speaker 1: they duped humor literally duped him into believing this, as
Speaker 1: did other Democrats. So I'm not going to call it
Speaker 1: revenge politics. I'm gonna call it common sense politics. But
Speaker 1: the reality is we're gonna probably have to have a
Speaker 1: cleaner uh c R if we're going to avoid a
Speaker 1: government shutdown, and nobody wants a government so would Republicans
Speaker 1: if if you want the majority, would Republicans come back
Speaker 1: and do this on their own? As permitting reform something
Speaker 1: that you want to see happen in the New York term. Okay,
Speaker 1: you just don't want your mansion's name on it yet, Well, no,
Speaker 1: I think it needs to look different. But clearly, clearly
Speaker 1: we have got the streamline the permitting process in this country.
Speaker 1: It's too laborious, is too lengthy. We can't get anything done. Um,
Speaker 1: it's it's it's it's a problem. But Joe Mansion's problem
Speaker 1: are not Republicans. Joe Mansion's problems are now Democrats. And
Speaker 1: the reality is he guessed wrong in the last chess move,
Speaker 1: and that was in the checkmate position on the wrong
Speaker 1: side of it. Man, That's that's some tough stuff. You
Speaker 1: work in a heck of a business. Congressman, you don't
Speaker 1: think the government's going to shut down though, right? A
Speaker 1: clean CR passes on Friday, as your thought, I hope
Speaker 1: and pray that we get to that point. Yes, let
Speaker 1: me explain where I think we're going to be. The
Speaker 1: Senate will take it up first, and what they will
Speaker 1: take up is basically a house shell bill, so they'll
Speaker 1: there'll be a house of vehicle that doesn't do anything,
Speaker 1: goes to the Senate, they will vote on it. I
Speaker 1: think at that point in time, Mansion's efforts will fail.
Speaker 1: That's a prediction, and we'll get a cleaner CR back,
Speaker 1: and we should. We should do that, hopefully by Friday. Now,
Speaker 1: God for it, it bombs down. It has happened before
Speaker 1: in my twelve year congressional tenure, where we slip into
Speaker 1: a government shutdown mode. I don't see that. I don't
Speaker 1: think either party has an appetite for that. I know
Speaker 1: the markets don't, the American people don't. Well, I'll tell
Speaker 1: you start walking up to the edge. To your point,
Speaker 1: things can happen. But the idea here then is we
Speaker 1: kick the candle mid December. Right, the CR would go
Speaker 1: through the middle of December, won't that just set up
Speaker 1: another standoff right before the new year in the next session. Well,
Speaker 1: absolutely correct, I think you've called that right. The The
Speaker 1: CR will go to either December theo or sixteenth, but
Speaker 1: we will have had a major event by then. We
Speaker 1: will had mid term election affecting the House and the Senate,
Speaker 1: and I think the fate of the CR or the
Speaker 1: budget for fiscal twenty three will rest on the results
Speaker 1: of the mid terms. If Republicans have and I hope
Speaker 1: as we do, a huge win in the House, probably
Speaker 1: a more narrow win in the Senate. When we take
Speaker 1: over both chambers, I think we will see a very
Speaker 1: different view. And of course you've got another dynamic Senator
Speaker 1: Leahy and Senator Shelby are both retiring. They will not
Speaker 1: be in the next Congress. So there are a lot
Speaker 1: of factors affecting this. But really the results of the
Speaker 1: mid term will probably dictate what happens in December. We're
Speaker 1: talking with Congressman Chuck Fleishman, Republican from Tennessee here on
Speaker 1: Bloomberg Sound On. I want to ask you about border security,
Speaker 1: knowing that Republicans are in fact writing a menu here
Speaker 1: for what what you might want to pursue. And I
Speaker 1: think that's pretty high on the list if if you
Speaker 1: were to take the house. Kirsten Cinema and the next
Speaker 1: door in the Senate, who appeared today with Mitch McConnell
Speaker 1: at his full endorsement apparently at the University of Kentucky,
Speaker 1: gave her a wonderful introduction. She was asked, you know
Speaker 1: what's next for you? What is it you want to do?
Speaker 1: She picked one issue. It was immigration, says she wants
Speaker 1: to tackle it after the mid terms. Here's what she said.
Speaker 1: There is a challenge that I and that I still
Speaker 1: want to accomplish, and um, it's close to home for me.
Speaker 1: You know, I was born and raised near the border
Speaker 1: in southern Arizona, and for my entire lifetime, the federal
Speaker 1: government has absolutely failed, absolutely failed. Congressman, do you believe
Speaker 1: she says she's gonna call John Cornyn after the mid
Speaker 1: terms to get the ball rolling as immigration reform even
Speaker 1: possible in this divided country after watching it come up
Speaker 1: and be knocked down over and over again over the
Speaker 1: last two decades. I think border control is and has
Speaker 1: to be in all politics is local and first. In
Speaker 1: cinema is a very student politician. She is going to
Speaker 1: be up for election. She is in the state Arizona
Speaker 1: that is directly affected as this Texas by the border.
Speaker 1: As the ranking member, the highest Republican myself on the
Speaker 1: Homeland Security Subcommittee, I have worked to fund the wall,
Speaker 1: border security, border technology, and this administration rebuffs it at
Speaker 1: every level. Every time we come up with a new
Speaker 1: technology or something that could keep the borders closed. They
Speaker 1: basically work against us, as do progressives in the House
Speaker 1: and Senate. And what have you got? Open borders? Over
Speaker 1: two billion illegals this year. We don't even know who
Speaker 1: all has gotten over. They're speaking of over a hundred
Speaker 1: and thirty different languages. This is not just the Triangle countries.
Speaker 1: This is a matter of national security. So it's a
Speaker 1: border security first, possibly an immigration bill after that. It
Speaker 1: will be much more difficult. But remember, let's give kudos
Speaker 1: to former President Trump. He wanted to talk about uh
Speaker 1: immigration reform. He actually had a plan for DOCCA and
Speaker 1: who killed it? The Democrats? Why because dealing with the
Speaker 1: current state of affairs. Though, you're saying that a comprehensive
Speaker 1: bill is not realistic. If I'm trying to just read
Speaker 1: between the lines, you'd have to get security first and
Speaker 1: then you would deal with immigration later. They're not coming
Speaker 1: in the same swing. That's correct. I think first and foremost,
Speaker 1: you've got to stop the bleeding at the border. It's open,
Speaker 1: it's poorous, it's dangerous, it's crime, it's drugs, it's it's
Speaker 1: dehumanizing to to to UH, to the people coming over.
Speaker 1: It is a catastrophe. And the sad part about it
Speaker 1: everything that was in place that was working the buffer
Speaker 1: UH practice in Mexico. UH. Basically Biden is doing away
Speaker 1: with this. They they they have taken every step, we
Speaker 1: come up with, technologies, we come up with solutions, and
Speaker 1: their depth to us and it gives us the conclusion.
Speaker 1: And the American people know this. They do not want
Speaker 1: border security in the Democratic Party. We want it in
Speaker 1: the Republican Party. I think the American people want it.
Speaker 1: It's going to be a big issue in the midterms
Speaker 1: in states like Arizona, in states like Texas, and I
Speaker 1: really think in the states like mine, like Tennessee, is
Speaker 1: it right to be flying migrants around places like Martha's
Speaker 1: Vineyard to make a point In the meantime, do you
Speaker 1: support that strategy? I I think both Uh, Governor de
Speaker 1: Santis and and and Governor Abbott have taken appropriate means
Speaker 1: to let those radical progressive states that have claimed that
Speaker 1: they want open borders to now to suffer under some
Speaker 1: of the real consequences that other border states have done.
Speaker 1: So the reality is they got a dose of reality
Speaker 1: in those states. And what did they say. They didn't
Speaker 1: like it. They couldn't afford it. Sure, so you do
Speaker 1: support that? Wake Okay, I read you. Here's our last one.
Speaker 1: I've got less than a minute. Congressman, I'm just gonna
Speaker 1: throw this at you. We'll make it our pretend lightning round.
Speaker 1: Representative Nancy Mace, Republican, on Meet the Press yesterday talking
Speaker 1: about Republican potential to impeach Joe Biden. There's a lot
Speaker 1: of pressure on Republicans to have that vote, to put
Speaker 1: that that legislation forward, and to have that vote. I
Speaker 1: think that is uh something that some folks are considering.
Speaker 1: Why are you hearing about that as well? Congressman, will
Speaker 1: be an effort to impeach the president if you take
Speaker 1: the majority. Here's the problem because of what the Democrats
Speaker 1: under Nancy Pelosi have done Donald Trump twice. So it's
Speaker 1: coming around is what you're saying. I'm gonna say now
Speaker 1: because of that horrible accident, horrible incident, the reality is
Speaker 1: a Congressman, Chuck Fleishman, this is Bloomberg. You're listening to Bloomberg.
Speaker 1: You sound on with Joe Matthew on Bloomberg Radio. Just
Speaker 1: a taste of what's to come, not only this week,
Speaker 1: but potentially after a Republican takeover of the U. S. House.
Speaker 1: That's what everyone's predicting, right, Congressman Chuck Fleishman with us
Speaker 1: on the fastest Hour in politics, making it clear the
Speaker 1: Republican from Tennessee's on the Appropriations Committee says the government
Speaker 1: not likely gonna shut down on Friday. Nobody thinks that's
Speaker 1: gonna happen. We'll probably jettison the Joe mansion permitting bill
Speaker 1: along the way. But fascinating remark there towards the end,
Speaker 1: as I asked him about Nancy Mace in her comments
Speaker 1: yesterday I meet the press as we prepared to assemble
Speaker 1: the panel. Remind you of what she said until Chuck
Speaker 1: Todd about the effort to impeach. I believe there's a
Speaker 1: lot of pressure on Republicans to have that vote, to
Speaker 1: put that that legislation forward and to have that vote.
Speaker 1: I think that is uh, something that some folks are considering. Again,
Speaker 1: I'm someone who wants to Yeah, I want to follow
Speaker 1: the constitution. It's really important. Oversight is important. As we
Speaker 1: bring in Bloomberg Politics contributors Jeanne Chanzano and Rick Davis
Speaker 1: our signature panel here on sound On. It's great to
Speaker 1: have both of you back. I hope it was a
Speaker 1: great weekend. I'm sure you saw this conversation, Rick Davis.
Speaker 1: Is that the first move that Republicans make if they
Speaker 1: take the House, Well, I think there'll be a spade
Speaker 1: of investigations. You know, must like Democrats open up all
Speaker 1: a lot of investigations when they took over. It's become
Speaker 1: sort of the norm. Right, instead of legislating, we're investigating.
Speaker 1: And uh, and so there is a fart hat you heard,
Speaker 1: uh Congressman Flashman say, well, you know they impeached Trump twice.
Speaker 1: We got to do at least once. I'm mean he
Speaker 1: didn't say that, but I mean that was the impression
Speaker 1: I was left with. And uh, And to be honestly,
Speaker 1: it's an incredible weights at taxpayer dollars. Uh, you know,
Speaker 1: but look This is the politics that were left with
Speaker 1: these days, and I have no doubt that one of
Speaker 1: the largest agenda items of new Republican Congress will have
Speaker 1: is to launch investigations into various aspects of the Biden administration.
Speaker 1: The tip for tat there also with regard to Joe
Speaker 1: Mansion's bill here, Jeannie, and I'll be curious to hear
Speaker 1: you a way in on the impeachment thing too, But
Speaker 1: the Congressman made it clear Republicans come back and and
Speaker 1: put up an energy permitting bill that does not have
Speaker 1: Joe Mansion's name on it, They're going to pass it.
Speaker 1: They will. And this has been the frustration. And we've
Speaker 1: seen as you played the clip Joe Mansion out on
Speaker 1: the Sunday shows. He you know, the op ed in
Speaker 1: the Wall Street Journal. He is trying desperately to get
Speaker 1: the number of Republicans he needs to pass this thing.
Speaker 1: It's going to be very hard to do that. And
Speaker 1: his frustration has been just what you said, that that
Speaker 1: they want permitting reform, but he feels that they are
Speaker 1: just frustrated that he worked with Democrats on the I
Speaker 1: r Ay and they're taking it out on him. You know,
Speaker 1: I would suggest There is another element of this, and
Speaker 1: that is the actual substance of the bill itself. There
Speaker 1: are Republicans who feel that the bill does not go
Speaker 1: far enough. Joe Mansion essentially says, you've got to take
Speaker 1: the best we can do, and I think he's making
Speaker 1: a fair point for those who want this kind of reform.
Speaker 1: But for some Republicans, they feel that the bill is
Speaker 1: a skinny version of what they would like to see,
Speaker 1: and so they're reluctant to pass this because, very much
Speaker 1: like Democrats with the gun bill, you pass this, people
Speaker 1: say we did it, they don't revisit it again. And
Speaker 1: so there are several areas like litigation capping, for instance,
Speaker 1: that they're frustrated doesn't go far enough. Do either of
Speaker 1: you think the government is going to shut down this week,
Speaker 1: even for you know, the weekend while they get their
Speaker 1: act together? Rick, what's your phone? Yeah? No, I don't
Speaker 1: think so. I've never heard a period of time in
Speaker 1: Congress where we had a government shutdown looming five days
Speaker 1: away and everybody was basically saying the same thing, which
Speaker 1: is we're going to fix this and pass the cr
Speaker 1: before that. So the fact that there's nobody driving the
Speaker 1: negat of nobody's actually saying I'm gonna hold this thing up.
Speaker 1: Then it indicates to me that it's going to get done. Well.
Speaker 1: We had a group of of Democrats gosh, they were
Speaker 1: over eighty of them. I think at last count Jennie,
Speaker 1: who were threatening to do so. Is that that's not
Speaker 1: in the cards, is it? No? I don't think so.
Speaker 1: I mean, their their focus was on Joe Manchin's bill,
Speaker 1: you know bill that's that's you know, at this point,
Speaker 1: likely not to be included, likely not to pass. They
Speaker 1: would much rather get home to their districts. For these
Speaker 1: House members, they all have to be campaigning and that
Speaker 1: is the real focus now. So I think they're going
Speaker 1: to get out as soon as possible. They could end
Speaker 1: up staying, you know, through the weekend. Um, we've already
Speaker 1: heard rumblings of that, but you know, I don't think
Speaker 1: we're going to see it a shutdown. I want to
Speaker 1: ask you about this. Uh. Comments today from Kirsten Cinema
Speaker 1: Rick And by the way, she mentioned she was introduced
Speaker 1: by Mitch McConnell called her the most effective first term
Speaker 1: senator in his career. This is not a Republican he's
Speaker 1: talking about he was introducing a Democrat at the University
Speaker 1: of Kentucky. I believe it was the McConnell Center, that's
Speaker 1: a matter of fact. But kirst instead of says she's
Speaker 1: gonna call John corn and after the mid terms Rick
Speaker 1: and get the ball rolling on this. Uh. A few
Speaker 1: people know as much as you do about the difficulty
Speaker 1: here in the complexities of of crafting and passing comprehensive
Speaker 1: immigration reform. McCain Kennedy was a long time ago. Uh.
Speaker 1: Is she about to learn a tough lesson? You know?
Speaker 1: I hope not. Uh. Certainly, the politics hasn't got any
Speaker 1: better for a bipartisan comprehensive immigration reform package to get
Speaker 1: through and to become law. I would say I had
Speaker 1: always thought that it would be a Republican president that
Speaker 1: got it, only because that's usually the stumbling block, is
Speaker 1: Republican leadership and getting a comprehensive bill passed. And and
Speaker 1: when uh George W. Bush tried it and failed, I thought, um,
Speaker 1: you know, maybe that might have been the best shot
Speaker 1: we had. Christen Cinema has been underestimated all along her career,
Speaker 1: and she did pass some landmark legislation this last year
Speaker 1: in a bipartisan fashion and Republicans love to do business
Speaker 1: us with her. She does what she says she's gonna
Speaker 1: do and has the interest of the country ahead of
Speaker 1: her own self interests in Arizona. So she'll pull a
Speaker 1: primary because of it. But she I wouldn't count around
Speaker 1: full of primary because Genie, wouldn't that be a great
Speaker 1: story to tell, you know, as a Democrat or is
Speaker 1: working with a Republican on that And no, go, Well,
Speaker 1: we've already seen one of her potential or possible primary
Speaker 1: challengers who seems to be commenting on Twitter and elsewhere
Speaker 1: about this, you know, relationship between her and Mitch McConnell
Speaker 1: in that high praise that you talked about. So it
Speaker 1: is going noticed. It's going to be an issue for
Speaker 1: her in the primary, and it is something that she's
Speaker 1: going to have to contend with. Jennie Chantano and Rick
Speaker 1: Davis make up our signature panel. They're back coming up.
Speaker 1: We're gonna turn to the turmoil in the markets today
Speaker 1: and all Rhodes lead to politics. This is Bloomberg. It's
Speaker 1: Bloomberg sound on the fastest hour in politics time Joe
Speaker 1: Matthew in Washington. As we turned to the matter at hand.
Speaker 1: You heard Doug get to some of the US her
Speaker 1: treasury yields surging and the superlatives are really starting to
Speaker 1: scare people. Sent the ten year up by the most
Speaker 1: since the March COVID crash. I thought I was seeing things.
Speaker 1: The tenure climbs more than twenty basis points to levels
Speaker 1: and that's happening here while things get complicated overseas. The
Speaker 1: Bank of England now UK Treasury failing in a joint
Speaker 1: bid to calm financial markets. As both indicated, investors will
Speaker 1: need to wait until November for a real policy response
Speaker 1: to what we're saying on the terminal is the fallout
Speaker 1: from the new government's massive tax cuts. This is a
Speaker 1: big deal. Liz Trust remember about an hour after she
Speaker 1: became Prime Minister proposing massive tax cuts, talked about it,
Speaker 1: asked about it today considering the mark reaction by Sky News.
Speaker 1: Britain has to be competitive and if we put up taxes,
Speaker 1: if we have allbitry taxes on energy companies, if we
Speaker 1: have high corporation tax we're not going to get that
Speaker 1: investment in grace. At the election of the apparent election
Speaker 1: of Georgia Maloney, the far right candidate in Italy that's
Speaker 1: got the Italian bond market in a tizzy. So this
Speaker 1: of course came up today at the White House Press
Speaker 1: Secretary Karine Jehan Pierre. We're going to continue to monitor
Speaker 1: the global markets. What we are are laying out is
Speaker 1: what the meeting that the President had with his economic team,
Speaker 1: how seriously we're taking this, how closely that we are,
Speaker 1: you know, having conversations with our teams. So they're meeting,
Speaker 1: they're having conversations, but there's not a lot you can
Speaker 1: do when it's coming out of another country. And that's
Speaker 1: why we wanted to spend some time with you and Relly,
Speaker 1: co founder and managing partner of b d A partners
Speaker 1: back with us on Bloomberg Radio. You and how worried
Speaker 1: are you that this just keeps getting worse, these policies
Speaker 1: having even taking effect yet. Well, Joe, it's not it's
Speaker 1: not good news. And I told one of your colleagues
Speaker 1: a week a week or two ago that the UK
Speaker 1: is uninvestable. Um, it didn't become any more investable. It's
Speaker 1: very very difficult to know how the how the new
Speaker 1: administration is going to reassirt credibility. What do you make
Speaker 1: of the election in Italy and did that in fact
Speaker 1: spook you even more as it seemed to the market
Speaker 1: at large. The list of political worry points is quite long. Now. Um,
Speaker 1: we're worried about China, we're worried about Ukraine, we're worried
Speaker 1: about Russia, we're worried about the UK and now we're
Speaker 1: worried about Italy too. So it's an alarming list. The
Speaker 1: fear factor is high in this market. And of course
Speaker 1: some would say that's, you know, the sign of the bottom,
Speaker 1: the capitulation, but I'm guessing you don't see it that way.
Speaker 1: If you think the UK is uninvestable, I'm afraid to
Speaker 1: say I think, Um, the new administration came in, let's
Speaker 1: trust some quasi court then came in very aggressively, as
Speaker 1: you said earlier, making quite reckless policy pronouncements on the
Speaker 1: first day of the administration. And uh, and I think
Speaker 1: it's going to take a while for them to figure
Speaker 1: out how to how to correct their their positions. So
Speaker 1: so you and the story today really is elections have
Speaker 1: consequences and this market has just comming to grips with them. Well,
Speaker 1: remember remember that Liz Trust was elected by something like
Speaker 1: seventy five thousand members of the Conservative Party um, which
Speaker 1: again is uh is painful for a lot of other investors,
Speaker 1: a lot of other elector you know, population In the UK,
Speaker 1: we have a population of sixty million people and and
Speaker 1: seventy members of one political party chose this prime minister.
Speaker 1: Is the story that that's unfolding in the UK as
Speaker 1: well as Italy? If that, if that turns into a
Speaker 1: more protracted downturn in Europe, does that mean a more
Speaker 1: acted downturn? And if I can use the word recession
Speaker 1: here in the US, I think I think it's not
Speaker 1: all bad news for the US. I think, you know,
Speaker 1: invest we investors like certainty, we like predictability. There isn't
Speaker 1: much of that around at the moment. But conversely, I
Speaker 1: think we will see a flight to quality. I think
Speaker 1: the UK, the US, despite its issues today political issues
Speaker 1: and economic issues, feels like a pretty sensible place all
Speaker 1: of a sudden. Well, I don't mean to get too cute,
Speaker 1: but does the does the opportunity to make a little
Speaker 1: money in the bond market, to get some returns on
Speaker 1: your savings bring any silver lining to the financial picture
Speaker 1: here in the US? Yes, I think so. And I
Speaker 1: think you know, we've seen tax cuts in in Europe,
Speaker 1: so there are some oput, there will be some opportunities
Speaker 1: in the UK. Sorry, wee tax cuts, so there will
Speaker 1: be some opportunities U there as well. Um, and I
Speaker 1: think you know, it's just it just seems like a
Speaker 1: very volatile, uh moment in history. So it's not, you know,
Speaker 1: the right moment necessarily for conventional stock market investors. But
Speaker 1: but of course we'll see the contrarians. Some hedge funds
Speaker 1: are going to do well in the next couple of months.
Speaker 1: I suspect you're not about to tell me to start
Speaker 1: buying CDs or something, are you. I wouldn't go that far.
Speaker 1: I wouldn't go that far, but but but i'd hold
Speaker 1: your breath for a day or two. Yeah, you and
Speaker 1: Rally's got way too much edge for CDs. Co founder
Speaker 1: and managing partner at b d A Partners. Really great
Speaker 1: pleasure of you, and thank you for always bringing some
Speaker 1: sense to this conversation. I'm Joe Matthew in Washington. Thanks
Speaker 1: for being with us as we start. Gosh, another fascinating
Speaker 1: week here with some great unknowns and coming up. It
Speaker 1: was sixty two years ago today imagine this change the
Speaker 1: world of politics. And as we're gonna hear right now,
Speaker 1: the debate listen has not changed very much. The candidates
Speaker 1: need no introduction. The Republican candidate Vice President Richard M.
Speaker 1: Nick and the Democratic candidate Senator John F. Kennada. Mr
Speaker 1: Crushav is in New York and he maintains the Communist
Speaker 1: defensive throughout the world because of the productive power of
Speaker 1: the Soviet Union itself. The Chinese Communists have always had
Speaker 1: a large population, but they are important and dangerous now
Speaker 1: because they are mounting a major efest within their own country.
Speaker 1: There is no question but the this nation cannot stand
Speaker 1: still because we are in a deadly competition, a competition
Speaker 1: not only with the men in the Kremlin, but the
Speaker 1: men in Peking. We're ahead in this competition, as Senator
Speaker 1: Kennedy I think is implied. But when you're in a race,
Speaker 1: the only way to stay ahead is to move ahead.
Speaker 1: The first televised debate Nix and Kennedy, what were they
Speaker 1: talking about? Russia and China? Fast forward too, We've got
Speaker 1: the best panel in the business and a lot of
Speaker 1: news to talk about connected to both Rick Davis and
Speaker 1: Jeanie Chantino, come in next. We picked the right place
Speaker 1: here to get informed on the fastest hour in politics.
Speaker 1: This is Bloomberg. You're listening to Bloomberg. You sound on
Speaker 1: with Joe Matthew on Bloomberg Radio. Yeah, that's just seven
Speaker 1: weeks to the mid term elections. It's really sneaking up
Speaker 1: on us here. And we haven't seen a lot of debates. Actually,
Speaker 1: we haven't seen really a lot of them even scheduled yet.
Speaker 1: Dr Roz and Jhon Fetterman, they are finally going to
Speaker 1: get one. It looks like one debate for a seat
Speaker 1: that could decide the balance of power here in Washington.
Speaker 1: After recalling the debate of sixty two years ago, today
Speaker 1: it doesn't exactly feel like progress. Let's reassemble the panel,
Speaker 1: Bloomberg Politics contributors Jeannie Chanzano and Rick Davis. What's your
Speaker 1: thought on that, Genie. As we watch, debates kind of
Speaker 1: become something of the past, at least the traditional televised debate.
Speaker 1: Sometimes they'll get together and you know, do something in
Speaker 1: in a friend the h a more friendly way, uh,
Speaker 1: with hosts that agree with them and so forth. But
Speaker 1: we're seeing a tradition slowly erode slowly leave us, aren't
Speaker 1: we We are? First of all, I loved the music,
Speaker 1: and every debate should have that music. It should, But
Speaker 1: we are And you know, you think back to that
Speaker 1: and how much that debate transformed the way that we
Speaker 1: elect presidents in this country, and it brought those you know,
Speaker 1: the elections essentially into our kitchens, into our living rooms,
Speaker 1: and you had, you know, millions of Americans at the
Speaker 1: same time watching what was happening. And so much of
Speaker 1: that has changed now. I mean, just one example is
Speaker 1: that you know, young people today, many young people don't
Speaker 1: watch live TV. Everything is streamed. So the idea that
Speaker 1: you'd be watching it in concert with millions of other people,
Speaker 1: you know, it may not be that way. And of course,
Speaker 1: you know there's other changes as well, so you know,
Speaker 1: we aren't likely to see that come back. And maybe
Speaker 1: for people that Richard Nixon, that might be a welcome
Speaker 1: a welcome thing. What's your thoughts on this, Rick? Is
Speaker 1: it because so many people have already made up their minds,
Speaker 1: they're voting party? What? What? What leads to this? Because
Speaker 1: a lot of candidates think they can only get in
Speaker 1: trouble in a debate. Yeah, it's exactly that it's the ladder. Uh,
Speaker 1: it's risk risk management, right. I mean you get to
Speaker 1: this point where primaries are later and later, so there's
Speaker 1: less and less time. You're really not even starting these
Speaker 1: general elections till after Labor Day and then you've got
Speaker 1: a sixty days sprint, and who wants to upset the
Speaker 1: Apple card? Even when you're behind, You know, maybe you
Speaker 1: chase your your opponent who's in the lead, to get
Speaker 1: a debate, and maybe they'll give you one, like in
Speaker 1: the situation with with Oz and Fetterman. But the reality
Speaker 1: is it just it does still matter, right, I mean,
Speaker 1: debates matter, which is why they're so high risk. And
Speaker 1: even though you know, they're not always based on a
Speaker 1: you know, an iPhone so that most people would watch them,
Speaker 1: as Genie says, they're very few of us relics sitting
Speaker 1: around watching the evening news these days on television. Um,
Speaker 1: the reality is that in a political campaign, they introduce
Speaker 1: an element of risk that most people have become immune to.
Speaker 1: They just don't want it. They want those TV ads
Speaker 1: that they can control. They want the ground game they
Speaker 1: can operate by stick. So, uh, this is still the
Speaker 1: wild West in campaigns, And I'm glad that they people
Speaker 1: think they're elevant enough to worry about them. Well, you're
Speaker 1: a specialist in preparing politicians for debates, you like, this
Speaker 1: is your game, Rick, Do they actually help voters? If
Speaker 1: we've decided they don't actually help the candidates? There have
Speaker 1: been many, many instances over time, including that debate you
Speaker 1: just played, where presidential elections were determined by the conduct
Speaker 1: of the candidate during the debate, the famous moments of
Speaker 1: George H. W. Bush looking at his watch while Bill
Speaker 1: Clinton pontificated along. Uh, you know that the situation in
Speaker 1: in sixty eight where it wasn't even so much what
Speaker 1: was said but how you looked. Uh. And TV was
Speaker 1: a new thing then, But the reality is that, yes,
Speaker 1: people still watch him. Forty million people will watch a
Speaker 1: presidential debate. That's not a small thing. And uh and
Speaker 1: and I do think though, they need to be upgraded, right,
Speaker 1: I mean, we're tired of the show stuff, you know,
Speaker 1: in front of crowds at cheer and boo. That presidential
Speaker 1: bate you played was in a studio with those two
Speaker 1: people and a moderator, and that's it. I think people
Speaker 1: would get a lot more out of that kind of
Speaker 1: a format a panel of moderators. You know who wants
Speaker 1: to debate Jennie wants to debate Joe Biden. It's not
Speaker 1: Donald Trump. I challenged the president to join with us,
Speaker 1: let's go across the country and less debate what his
Speaker 1: policies has done to America and our plan for a
Speaker 1: new direction, and less let America make the decision for
Speaker 1: the best way for this country to go forward. It's
Speaker 1: Kevin McCarthy, of course, the minority leader who unveiled his
Speaker 1: commitment to America as you discussed on Friday, that came
Speaker 1: with a challenge to debate the president. I'm assuming, Genie,
Speaker 1: he's not going to take that challenge. Yeah, I would
Speaker 1: assume Joe Biden would not. And interesting that Kevin McCarthy is,
Speaker 1: you know, challenging Joe Biden to a debate and says
Speaker 1: not one word about the leader of his own party
Speaker 1: who himself says he is likely running for president, which
Speaker 1: is Donald Trump. So that is interesting, and you know,
Speaker 1: we should say there is a debate coming up on
Speaker 1: Friday between Greg Abbott and Beta o'burke, I understand, is
Speaker 1: the only one that they're going to have for this election.
Speaker 1: But that I think is going to be a very
Speaker 1: interesting and maybe even a heated debate. I'm not sure.
Speaker 1: At down in Texas, you know, Donald Trump was out
Speaker 1: again over the weekend. He held another rally. I guess
Speaker 1: this is like every Saturday night now, I'm not sure
Speaker 1: North Carolina. This time he's stomping for Ted Bud and
Speaker 1: he did the whole music thing again. He played the
Speaker 1: queue song again. Did you guys see this and what
Speaker 1: what it was like that? You know? He ends this
Speaker 1: with two three minutes. It was much longer this time, though,
Speaker 1: and there was much more ad libbing. The speech even
Speaker 1: got to the the cleanliness of our airports. We are
Speaker 1: a nation who has once revered airports or dirty and
Speaker 1: a crowded mess where you sit and wait for hours
Speaker 1: and then are notified that the plane won't leave, and
Speaker 1: they have no idea when it will, and they should
Speaker 1: wear ticket prices are through the roof. They don't have
Speaker 1: the pilots fly the planes, they don't want or see
Speaker 1: qualified air traffic controllers, and they don't know what they're doing.
Speaker 1: I'm not sure that last part was true. Uh, he doesn't,
Speaker 1: do you think he's flying in through airport? Go and
Speaker 1: spend a lot of time in the you know gates
Speaker 1: a terminal sea there for for Jet Blue. Rick, I'm
Speaker 1: assuming that probably not Jet Blue. But I do remember
Speaker 1: the days that there was Trump Airlines, and that's from
Speaker 1: Washington to New York on that thing with leather seats,
Speaker 1: and in the summertime, you don't want to sit in
Speaker 1: atter seat on an airplane in gold buckles, you know,
Speaker 1: I'll tell you a genie. I have to admit, though
Speaker 1: in the middle of this he's doing the the airport
Speaker 1: routine and all this stuff, he still finds time to
Speaker 1: condemn the news media in the way that only he can.
Speaker 1: We are a nation that no longer has a free
Speaker 1: and fair press. Fake news is all you get, and
Speaker 1: they are the enemy of the people. Okay, so it's
Speaker 1: been a while since we've been called that, maybe since
Speaker 1: last Saturday. But Jennie, there are a lot of concerns
Speaker 1: in this country about political violence and this is not helping. No,
Speaker 1: it's not. And you know, we had the Republican candidate
Speaker 1: for governor in Michigan, how you know, making light of
Speaker 1: the kidnapping, you know, efforts attempts um that resulted in
Speaker 1: arrests and two convictions you know, just in the last
Speaker 1: few days, um, and we've all heard about reports of
Speaker 1: violence increasing as it pertains to public officials and political leaders.
Speaker 1: So this is not a joking matter. And you know,
Speaker 1: the most astonishing part of this is that you have
Speaker 1: somebody who you know is facing six ager legal challenges,
Speaker 1: and yet he is doing more rallies than ever at
Speaker 1: this point, probably raising more money than ever. At this point,
Speaker 1: he remains the face of one of the major parties
Speaker 1: in our country, and he is flirting with a conspiracy
Speaker 1: theory in the name of q and on which embraces
Speaker 1: really dangerous mission misinformation and rhetoric. And you know that
Speaker 1: has driven so many Republicans, including Liz Cheney from potentially
Speaker 1: she says, if he's the nominee from the party, so
Speaker 1: it is a confounding time from that person. Spent some
Speaker 1: time on Liz Cheney actually and said that he thought
Speaker 1: that Rick that her her loss in the primary was
Speaker 1: an indication that January six was quote unquote going away.
Speaker 1: Uh are these words empty? Now when you hear an
Speaker 1: enemy of the American people, should we be worried about that?
Speaker 1: Or is this just about Trump? Again? It's just a
Speaker 1: it's it's another Trump is um, you know. I I
Speaker 1: think it is a lot of sort of checked in
Speaker 1: and checked out. All right, The Trump is ms are
Speaker 1: rampant in these things we now, you know, Rick got
Speaker 1: regularly immune to the fact that he goes on these
Speaker 1: benders about everything from airport cleanliness that you brought up
Speaker 1: to you know, the lack of flushing capability in American
Speaker 1: toilets today. I mean, don't we really care about that?
Speaker 1: As Genie said, you know, there's a guy who could
Speaker 1: be president again and is a threat to democracy in
Speaker 1: our own country, not mentioned potentially around the world. So
Speaker 1: you can't really, uh make it too much of a
Speaker 1: joke about it. But it's kind of becoming a joke
Speaker 1: that I don't know what has happened with this q
Speaker 1: and on music that they play, but it's like it
Speaker 1: has this zanex effect on the way he talks. I mean,
Speaker 1: it's just amazing that he just goes into this lull
Speaker 1: you to sleep kind of thing monitone. So there's something
Speaker 1: weird going on in Trump world. Yeah, to end, we look,
Speaker 1: if you were with us last week, I gave you
Speaker 1: the background of the extent that we understand it, and
Speaker 1: by that I mean, we don't why this became a
Speaker 1: Q one on theme, but you know, he let this
Speaker 1: thing established before he started talking. They gave everything into
Speaker 1: the great ist and most powerful nation in the history
Speaker 1: of the world. Now let it rest. They love this,
Speaker 1: they go wild because of its implication. But now we
Speaker 1: are a nation in Jacly Kleine. Uh, this is gonna
Speaker 1: be I presume Genie the rest of the campaign, right,
Speaker 1: and if we're gonna hear this song for the next
Speaker 1: two years, we will. It seems to be working for
Speaker 1: the people in the audience. And you know, just look
Speaker 1: at the Washington Post poll out over the weekend, Republicans
Speaker 1: preferred Donald Trump be their nominee in twenty four. That
Speaker 1: is where one of our major parties sit right now. Now.
Speaker 1: Granted forty six want them to think about somebody else,
Speaker 1: but that is you know, this is somebody who is
Speaker 1: not just a sort of fringe candidate. He remains the
Speaker 1: most important leader and he has transformed this party. And
Speaker 1: that's where what we're facing in two We'll pick this
Speaker 1: up tomorrow with Rick and Jennie. Many thanks to both
Speaker 1: of you for a great conversation. Jeannie Chantano, when Rick
Speaker 1: Davis make up our signature panel Bloomberg Politics contributors. Something
Speaker 1: real cool about to happen. Not long from now pm.
Speaker 1: The Dark Mission hits the asteroid. We'll talk about it tomorrow.
Speaker 1: This is Bloomberg