On today's podcast:
1) Musk Cozies Up to Trump in Glitchy Conversation on X Platform
2) US, Israel View an Attack by Iran as ‘Increasingly Likely’
3) Stocks Rise With US Futures Ahead of Price Data
Bloomberg Audio Studios, Podcasts, radio news.
Good morning, I'm Nathan Hager.
And and I'm John Tucker. Here are these stories we're following today.
John, Let's begin with the presidential race and Elon Musk's latest effort to inject himself into it. The billionaire hosted former President Donald Trump in an x spaces conversation that lasted more than two hours. Once it started, the live stream was delayed more than forty minutes. Musk blamed hackers.
We unfortunately had a massive distributed Nilo service attack against our servers. As this massive attack illustrates, there's a lot of opposition to people just hearing what President Trump has to say.
But once Elon Musk's conversation started with former President Trump, he did have a lot to say about the attempt on his life, about illegal immigration, and on the prospects of a wider war in the Middle East.
We're all waiting for an attack from Iran. Iran would not be attacking Believe me, you know when I was there, and I say it with respect because I think we would have been good with Iran. I don't want to do anything bad to Iran, but they knew not to mess around, and.
At one point Elon Musk pitched a role for himself in a future Trump administration.
I think it'd be great to just have a government efficiency commission that takes a look at these things and just ensures that the taxpayer money, the taxpayers are harder money is spent in a good way.
And I'd be happy.
To help out on such a commission.
I'd love if it were.
Well, you you're the greatest cutter.
And Following the event, the Kamala Harris campaign released a statement saying that the conversation showed Trump's campaign is only about self obsessed rich guys who would sell out the middle class.
They have plenty of reaction to the Trump Musk conversation. Bloomberg Managing editor Derek Wallbanks says the confab was an important one for Musk.
If Donald Trump wins, Elon Musk has a lot at stake, and if he loses, he had a lot of steak as well. Musk's companies are tremendous US government contract holders, particularly SpaceX. At the same point, Musk is also somebody whose car company, Tesla, has a lot in terms of tax plans and things like that that would be a subject of a US administration. So Musk has, in addition to his own ideological proclivities and alignments, he actually has a lot at stake in this election. He's gone really, really hard on one side, not hedging his bets at all.
Bloomberg's Derek Worldbanks says after the Trump conversation, Musk posted that he'd be happy to host Vice President Harris on X spaces.
Moving from the online realm to the real world John. The FBI says it is investigating efforts to hack both the Harris and Trump campaigns. Bloomberg's Ed Baxter has more.
The GOP says hackers attempted to get into Roger Stone, a former Trump advisor's account. The Harrow's campaign says some Harris staffers were targets. The Washington Post first reported the attempts. The Harris campaign itself says it does not appear to be a victim. It says the campaign vigilantly monitors and protects against cyber threats, and that it is not aware of any security breaches. The Trump campaign hasn't responded directly, Ed Baxter.
Bloomberg Radio thanks Ed, and the hack attempts come as authorities say they're investigating a burglary at a Donald Trump campaign office in suburban Virginia. Political reports that the local sheriff's office released a surveillance video of a man inside the building with what appears to be a full backpack. The sheriff's department did not say what, if anything, was taken.
It's turned out to the latest in the Middle East. John US officials now say an I running attack against Israel has grown even more likely. We get details from Bloomberg's Rosalind Matheson.
So they're publicly warning that some sort of retaliation from around does seem to still be coming, because a lot of people are asking the question as to if Iran intends to retaliate for the death of this Hamas official in Tehran two weeks ago, why have they not retaliated and are they going to still retaliate, And what the US is warning is that very much seems to be in the ether for Iran to do something. And Tehran, of course has been saying they feel obliged to retaliate for this killing, which they blame on Israel, and Israel's never claimed a responsibility for it, at least publicly.
Bloomberg's rise Mathieson says the last time Iran attacked Israel back in April, it fired hundreds of ballistic missiles and drones, almost all of which were intercepted.
And turning to the markets, stocks are up around the world head of some key infliction data. Japan's Nike gained three and a half percent and has now recouped its losses from last week's we're out European averages in the US future is also higher. Amanda Gatti, the chief investment Officer of asset Management at P and C Bank, is bullo shut stocks going forward thanks to earnings.
Expectations for earnings growth in twenty twenty five are near fifteen per That's a huge number on a year over year basis, and so while things may be choppy between here and say the election or the results of the election, we do think it will pave the way for some additional momentum into twenty twenty five. So we're absolutely thinking that we can finish the year fairly strong and set the stage for a strong twenty twenty five as well.
P and C Samanda Ghani says the stock market right now is price for perfection, and she's looking at fixed income in the short term.
Well John investors are going to get the first of two key inflation reports this morning before the opening bell. We get the July reading on producer prices. Economists are forecasting a gain of two tens to one percent. We get a preview from Bloomberg's Michael McKee.
For only the second time this year, the PPI report will be released ahead of CPI. That could mean some market volatility if there are any surprises in the data. While changes in producer prices don't correlate directly to changes in consumer prices, some investors may try to pre trade the CPI given sensitivities around the FED and inflation. Could there be a surprise Last month headline producer prices jumped on an annual basis, although that move did not translate into the CPI. Michael McKee Bloomberg Radio.
All right, thanks Mike, and the big inflation report comes tomorrow with the July reading and consumer prices. Steve Shiverona is the senior portfolio manager at Federated Hermes.
If the CPI is soft and that reinforces market expectations of at least twenty five basis points, if not fifty basis points of cuts in September, and the FED is cooperative in terms of FED speak. I think the market will get some comfort if, however, we have a weakening of the labor force and we get a hotter than expected CPI print this month, the market might be concerned that the FED is stuck between a rock and a hard place.
Frederated Hermie Steve Shivona. As that answer tomorrow's CPI data, all eyes will be on the next jobs report is to five. Await on Wall Street time for a look at some of the other stories making news in New York and around the world, and for that we're joined by Bloomberg's Michael Barr Michael, good Morning.
Good morning John. Ukraine's top military commander says his forces now control three hundred and eighty six square miles of Russia's neighboring Kirsk region. It is one of the most serious incursions Russian President Vladimir Putin has faced since the start of the war. Putin vows a strong response after almost a week of fearce fighting. Meanwhile, the State Department says the US is aware of reports that Iran is planning to deliver ballistic missiles to Russia. During a State Department briefing, spokesman van At Patel says, the US it's concerned about the quote deepening security partnership between Iran and Russia.
It is not just a threat to European security, it's a threat to Middle East security. But it's also shows that Iran's destabilizing influences has reached beyond the Middle East region, and that would be should you have concern to the entire world.
State Department spokesman ven At pattel it's a setback and Robert F. Kennedy Junior's presidential bid. A judge in Albany, New York ordered him off the ballot in the state, a Democrat and line group arguing in a lawsuit that Kennedy misled voters by the listing as his home and address he rarely visits. Meet the new FDNY Commissioner. Mayor Eric Adams appointed Robert Tucker, the head of a private security firm, to lead New York City's Fire department.
Public safety has been my life's work.
I've had a long career in the public and private sector, and being appointed Fire Commissioner of the City of New York is the biggest Honor of my life.
Tucker, who is fifty four, takes over from Laura Cavanaugh, the first woman to serve as the city's fire commissioner. Like Kavanaugh, Tucker has never worked as a firefighter. The Los Angeles area was rattled by a magnitude four point four earthquake Monday. The center was in Highland Park, north of LA where there was another earthquake in June. This woman was inside when the quake hit.
The lights were shaking, all of our glass doors are coming off of the walls and then hitting the walls back again.
It was It was pretty crazy.
Pe quake was felled as far away as San Diego. Global News twenty four hours a day and whenever you want it with the Bloomberg News. Now, I'm Michael Barr.
This is Bloomberg John, Michael, thank you, promises to five to ten of Wall Streets. Time for the Bloomberg Sports Update and for that. Good morning, John Stashore.
All right, Come morning, John.
Yankees went to Chicago figuring they'd get some easy wins. There was an easy victory, but it was by the lowly White SOPs, the team that has already lost ninety one games, including twenty four of their previous twenty five. But the Yanks stranded a bunch of runners early, fell behind, and then the White SOPs blew the game over with a six run seventh and they crushed Aaron Boone's team twelve to two.
Freed us to them.
Everything they hit tonight was a hit, you know. And you know, though I thought we played, we played hard. I thought we did a lot of really good things on defense, made some really good plays, had some mounts at the plate, manufacturer run with you know, jazz and opening up a lane. He just you know, we couldn't punch through. We didn't hit fall out of the ballpark, and they couldn't stop them.
Mets were off.
They fell a game behind Atlanta when the Braids won one nothing at San Francisco, seven scoreless sittings for Chris Sale.
He struck out twelve.
Sale as the lowest cra in the National League.
Jets been a big offseason trade with Philadelphia. The acquired Hassan Raddick fifty sacks the last four seasons, fourth most of the NFL, but he's going to last year of his contract. Once a new deal. He's been holding out getting fined fifty thousand.
Dollars a day.
Reddick has demanded a trade that Jets say they're not going to deal them, and there's a defensive player in New England also wants to trade Matthew Judhon similar situation last year of his contract. He had been a training camp and was seen having animated puff with Patriots coach in GM. Full NBA schedule not out yet, but the opening games weren't for the Knicks. Ober twenty second, in Boston, Celtics will voice their championship banner Johns Dash That were Bloomberg Sports John Nathan.
Coast to Coast on Bloomberg Radio, nationwide on Sirius XM, and around the world on Bloomberg dot Com and the Bloomberg Business app.
This is Bloomberg Daybreak. Good morning. I'm Nathan Hager. Former President Donald Trump's latest effort to reframe the twenty twenty four races being posted on x The former president held a more than two hour conversation with Elon Musk that touched on many of the themes from his campaign rallies, including on the war in Ukraine.
Ukraine now doesn't have enough men. They're now using young men and very old men to fight, and we're in a very bad position. And I'm not going to blame exclusively, but I can tell you I could have stopped that, and a smart president could have stopped that.
It wouldn't have happened. That's just part of the conversation with former President Trump and Elon Musk last night on X spaces. Joining us now for more this morning is Tina Fordham, Founder and geopolitical strategist at Fordham Global Foresight. Tina, good morning. So we're talking about this conversation this morning, our voter is going to be talking about it beyond this week.
Well, that's the right question. We had a two hour plus unplugged conversation between two of the most influential people in the world. Your clip there just highlighted one of the things that kept distracting me, which was the weird speech impediment list being going on. Was somebody forget to put his dentures in, But will it move the needle on the polls? And on that front, I think it's net neutral right preaching to the choir to perhaps slightly.
Negative just to play Devil's advocates. Some of that lisp could be attributed to the glitchiness in the conversation the limitations of did you live stream? But I mean this conversation took forty minutes to get started because of the glitches. Could that be a potential setback?
Well, I mean it doesn't look great for Musk's space platform, right, it's X spaces and the forty minutes he said it was a denial of service. Recall that the Florida Governor Santis had similar problems when he tried to launch a campaign event. These contribute to people's perceptions of organization. But again, you know that audience was almost certainly the choir, and they would have been coming to hear their heroes. So I'm not sure it damages them too much because I'm not sure that people who were undecided were.
Joining that call. Yeah, I wanted to get to that weather a conversation on X would get more outreach beyond you know, some of the super fans that are now dominating much of the conversation on X now that Elon Musk has taken over. Do you see the former president reaching out beyond some of his base in a conversation like that.
Well, I don't think this medium will have done that, at least not the live conversation. Of course they can cut it up into clips. But what I'm already seeing from the Harris campaign is, you know, their social media campaign is very slick, and so they are releasing mini clips, you know, the ones that are obviously the seem the most disadvantaged to Trump. And their press release this morning said, you know whatever that was, So it's you know, it's fodder for the opposition as well. Listen, this was no Frost Nixon conversation. It wasn't particularly hard hitting, and we had Trump, you know, doing Trump saying things like climate change will have this positive byproduct of more ocean front property, and that he would go to Venezuela if he lost in the election.
Is that a vote winner? That prepackaged sort of slick response from the Harris campaign. Couldn't it feed into some of the criticism that the Trump campaign has put out there that Harris hasn't made herself available for these kinds of free, willing conversations. I mean, after the live chat last night, Elon Musk invited Kamala Harris to come on, should she.
Well, both sides are staying in their comfort zones. I think we can say that, so Harris and Walls are out talking to huge campaign rallies, but as you say, haven't done any press conferences or one to one interviews and have only well it's only been a few weeks, of course, but they've only just now started releasing anything resembling policy positions. Trump, for his part, has a very light schedule of campaign events. He has almost none between now and US Labor Day, and conversations like this are almost like an online rally. So are both of them keeping their powder dry? I think that's the way of thinking about it, because the next big signpost for the two campaigns is the September tenth, the first debate between the two of them from second to date, and Harris has got the DNC started on the fifteenth.
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I'm John Tucker. Join us again tomorrow morning for all the news you need to start your day right here on Bloomberg Date Break