On today's podcast:
1) Presidential Debate Tonight
2) Apple Loses EU Top Court Case Over $14 Billion Tax Bill
3) Biggest US Bank Capital Hike Chopped in Half in Latest Plan
Bloomberg Audio Studios, Podcasts, radio News. Good morning, I'm Nathan Hager and I'm Karen Moscow. Here are the stories we're following today, Karen.
The countdown is on for the highly anticipated presidential debate. Final preparations are underway for Vice President Combal Harris and former President Donald Trump. Bloomberg's David Gura begins our team coverage from Pennsylvania.
It is the only debate between Vice President Harris and President Trump that's on the calendar, and it'll take place at the National Constitution Center in Philadelphia with no audience. David Muir and Lindsay Davis of ABC News are the moderators. The debate is expected to last ninety minutes with no opening statements. There will be two commercial breaks. According to ABC News, the candidates will get two minutes to answer each question, with additional time for rebuttals. Harris and Trump will stand at podiums, and after winning a coin toss, Trump will get the last word the final closing statement, and each candidate's mike will be muted when the other one is speaking, just like in the first debate of this campaign between Trump and President Biden in Philadelphia. David Gura Bloomberg Radio.
All right, David, thank you well. Continuing team coverage now, Bloomberg's Amy Morris is in Washington looking at how the candidates are preparing.
Amy Vice President Harris's strategy, in part is reportedly to hold former President Trump accountable while maintaining a calm demeanor on stage. Harris's challenge is that she's not well defined to a lot of potential voters. Donald Trump, on the other hand, is quite well defined. People know him. His strategy may be to change some perceptions and soften his edge a bit. Bob McNally is a former White House energy advisor to President George W. Bush, and he told Bloomberg News what he'd be listening for.
I hope they get pressed on their respective plans for Iran, because in terms of what's going to affect the pump price for you, me and our neighbors, I think it has.
To do with Iran.
Bob McNally talking with Bloomberg's Joe Matthew, this debate is the biggest opportunity the candidate. It may have to reset the conversation and their image. Now that the conventions are over and officials anticipate a huge viewing audience in Washington. Amy Morris, Bloomberg Radio.
All right, Amy, thank you. I'll stay with the Bloomberg for coverage of the ABC News presidential debate with a special edition of Balance of Power with Joe Matthew and Kaylee Lines, beginning at a pm. Wall Street Time on Bloomberg Radio and Television.
Certain Markets Now Karen Stocks began the week in bullish fashion. All three major indexes gained at least one percent, but Cameron Dawson, chief investment officer at New Edge Wealth, remains cautious.
We don't think that we are out of the woods for this continued volatility. It's good to remember that seasonality is still a headwind effectively up until the election. Post the election, we typically see better markets, so seasonality remains. At the same time is that we went into this with really stretched valuation, positioning and sentiment, which just means there's still some hands to shake loose.
New Edge weelfs. Cameron Dawson says, the next key moment for tomorrow for the markets is tomorrow when we get the August consumer price Index.
Well, looking at company news now, Nathan Shares of Oracles serving eight and a half percent in early trading, the software company reported quarterly profit and bookings that topped estimates. Artificial intelligence demand is continuing to boost Oracle's clown computing business.
We have legal news this morning involving some tech heavyweights. Karen Google has lost its bid to topple a two point six billion dollar European Union fine for abusing its monopoly power to crush rival shopping services. The Use Court of Justice in Luxembourg backed at landmark twenty seventeen decision which found the US tech giant illegally leveraged its search engine dominance to give a higher ranking to its own product listings.
And Nathan Apple has lost its court fight over a nearly fourteen and a half billion dollar Irish tax bill. That's sam court in Luxembourg backed a landmark twenty sixteen decision and Ireland broke state aid law by giving the iPhone maker an unfair advantage.
That legal setback comes a day after Apple introduced the latest version of its flagship device, the iPhone sixteen, and despite modest hardware upgrades, CEO Tim Cook insists the new phone was built from the ground up with AI in mind.
Its power and capability enable us to get so much done, like connecting with our family and friends, staying productive on the go, and capturing life special moments. Apple Intelligence will supercharge these experiences and so many more. It puts powerful generative models right at the core of your iPhone.
Now.
Along with the iPhone, Apple CEO Tim Cook unveiled the new version of the smart watch with a bigger screen and the ability to detect sleep apnea. Cook also touted new software that can turn AirPods into hearing aids.
Well Nathan, US banking regulators have reduced the amount of new capital required for the big banks by nearly half, and we get more from Bloomberg's dun Chrisner.
We're told the banks now face a nine percent increase versus the original plan to raise required capital by nineteen percent. These are the US global systemically important banks like Bank of America and JP Morgan Chase. They must hold a cushion against unexpected losses and financial shocks, and the sharp reductions to capital mandates is a win since the banks unleashed one of their fiercest lobbying campaigns after the plan's introduction last year. The plan will be subject to a sixty day comment period and fed sha J. Powell has said final adoption might not take place until well into next year. In New York, I'm Doug Prisoner Bloomberg Radio.
Thank you, Doug. Turning into Washington, the House has passed a bill aimed at blacklisting Chinese biotech companies and their US subsidiaries. The build Up the Biosecure Act was approved by a vote of three oh six to eighty one. It overcame a last ditch lobbying effort from Massachusetts Democrat Jim McGovern who, who says it punishes companies with no clear standard. We get more from Bloomberg's Derek Wallbank.
There's one of several pieces of legislation the US House is taking up this week in what basically could be called a China Week. There's a lot of focus ahead of the election on China. It's an area where Republicans and Democrats actually tend to agree, and so this winds up being a lot of messaging legislation. Now, the thing with messaging legislation is that it occasionally can become law.
In Bloomberg's Derek Wallbank reports, this bill targets five companies to start, including Complete Genomics. That's a Silicon Valley based subsidiary of China's MGI Tech. The bill's prospects are less clear in the Senate, but there has been discussion of adding it to the must pass Annual Defense Policy Bill.
Well, Nathan, we may be minutes away from liftoff for the latest private crew to space flight for SpaceX. Polaris Dawn had to cancel its first to launch window from Kenny's Space Center at three thirty eight am Wall Street Time unfavorable weather. The next opportunity is at five twenty three am. Four astronauts are on board for this mission, which will include the first fully commercial spacewalk. If SpaceX misses its chance this hour, it'll have one more opportunity to take off this morning at seven oh nine am Wall Street Time. And it's time now for a look at some of the other stories making news in New York and around the world. For that, we're joined by Bloomberg's John Tucker. John, Good morning, Hey, Good.
Morning, Karen. Officials are tracking tropical Storm Francine as she churns in the Gulf of Mexico for outer bands will impact the Texas coastline is at Vera's eastward through Louisiana, Spasin and then to the states just north Louisiana. Gavin and Jeff Landry had some words of warning.
We want everyone in a state to be cautious and vigilant.
We don't want, we.
Don't want to down play this event, but we also do not want people in to pany.
This storm could become a Category too hurricane by Wednesday, when it's expected to make landfall. The AP reports at least forty people were killed, sixty wounded, and it Israeli strikerly today that left cretors up to thirty two feet deep in the humanitarian area of the Gaza Strip. Israel disputes the death tolls that it targeted significant hamas militants. There's a new US Senator. It follows the resignation of New Jersey Democrat Bob Menendez. More from Bloomberg Steve Potisk.
George Helmy, a Democrat and former chief of staff to New Jersey Governor Phil Murphy, has been sworn in and will serve in office for about two months until the November election. Murphy appointed Helmy to the temporary role after Menendez resigned in August after he was convicted on corruption charges. Helmi said he had never sought and would never seek elected office. He said he would focus on serving the public during his short stint in the Senate in Washington. Steve Podisk Bloomberg Radio.
And he is perhaps best known for lending his voice to one of the greatest villions of villains in the history of cinema, No I do the father. The legendary actor James Earl Jones has died. He was one of those rare artists who'd won an Emmy, Grammy, Oscar and Tony Award. James Earl Jones was ninety three years old. Global News twenty four hours a day, whenever you want it, we have Bloomberg News.
Now.
I'm John Tucker and this is Bloomberg. Karen.
All right, John, thank you time now for the Bloomberg Sports Update with John stash Hour.
John, good morning, Good morning, Karen. On like a year ago, Aaron Rodgers did not get hurt and that Jets season opening mon the night game went thirteen for twenty one hundred and sixty seven yards, a touchdown pass and in an interception. The Jets facing one of the NFL's best teams. Even though the forty nine ers biggest star, Christian McCaffrey, played havoc with thousands of fantasy football owners by being a late scratch with a leg injury. The Niners got one hundred and forty seven rushing from his backup Jordan Mason. They bait the Jets thirty two to nineteen. Jake Moody kicked six field goals. Alan Lazard scored two Jet tds, one from Rogers and one meaningless one at the end from backup GB Tyrod Taylor. Rogers said after the game he can play better. The day after the Dolphins, Tyreek Hill was detained by police on his way to play a game in Miami. Police damn footage was released. It showed a dispute Overhill not lowering his car window and then police pulling him out of the car and at one point pushing him down to the pavement. Ed Cranepoole has passed away at seventy nine. Made his Mets debut in their first season nineteen sixty two, and he was a seventeen year old who had just graduated from James Monroe High School.
In the Bronx.
Crane Pool stayed a Met for eighteen years, played more games than anyone in team history. Mets in Toronto tie two to eighth inning Alberta.
Is it third lendor at first double play an order here tie game one out pitch, Nimo cuts and missus. The ball squeaks by the catcher. Here comes Alvarez flipped.
A home cut of time colveristimes and safely have the Mets hot the lead.
Another wild pitch.
It is three two.
Mets, and that was the final w HSQ, the call game of the total of only seven hits and the Mets of now one ten and last eleven. They got help from the Reds, who won one to nothing in Atlanta. The Yankees back at the Stadium in Kansas City ten to four. Austin Wells the three on omer, alex Erdugo a two run shot, and the Orioles lost twelve to three. In Boston, the Yanks now lead Baltimore by a game and a half. John stash A went Bloomberg Sports Kenny Nathan, all.
Right, John, thank you well. We want to welcome our listeners in New England on the all New Bloomberg in ninety two nine FM. It's Boston's number one source for news on the FM dial. Bloomberg ninety two nine.
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. The expectations game is set ahead of tonight's ABC News presidential debate between Kamala Harris and Donald Trump.
Vice President Harris, we see an economic plan and with the form President Donald Trump, we see the Project twenty twenty five agenda.
I expect to see President Trump have a command of the subjects that are being discussed, and I expect to see Kamala Harris doing some rote memorization regurgitation because she's incapable of thinking on her feet.
That was Marilyn Governor Wes Moore on the Harris side, and Congressman Derek Van Orden speaking to ABC News for the Trump camp ahead of tonight's debate.
This morning.
We were joined by Terry Haynes, the founder of Pangea Policy. Terry, good debate, morning, We've heard the expectations. What are you going to be listening for tonight?
Well, Nathan, good morning. You know they're both underdogs according to them, and that's say, yeah, that's a time on kid, that's a time on our tactic. So there we are. But what I'm going to be listening for, by and large is whether or not Harris meets or exceeds the test of being presidential and passing the test with voters that you know, she's a plausible president. I'm not suggesting she's implausible today. I'm only suggesting that, you know, as a reporter pointed out before, you know, people don't know much less about her than they know about President Trump. So there's that. For Trump, I'm looking for something a little bit different. He's by contrast, very very well known. But you know, he's got to essentially soften those partisan edges and those divisive edges if he's going to gain any more votes out of this. I think what we've seen in the campaign so far is that Harris has a floor, but not yet a ceiling, whereas Trump has a very hard ceiling, and he's going to have to exceed that a little bit in order to do in order to come away with a win.
Well, the way the rules are set up with the mic turned off when it's not a candidate's turn to speak. Who does that advantage.
You know, I think actually advantages Harris a little bit. There's been a lot of talk about how it deprives Harris of the ability to have zingers or viral moments, but I think it advantages Harris a little bit because what she needs to do is look calm and command and not be baited, and frankly, that gives her an opportunity to collect herself if she finds herself being tempted by that. In contrast, you know, Trump really can't kind of barge, metaphorically speaking, barge across the stage and try to disrupt things. So I think, on balance, that's probably a plus for Harris, even though she was trying to keep the mics on.
Besides the style points, Terry, is there going to be pressure on these candidates to answer for some of their shifts in positions. We've heard Harris sort of moderate where she is on fracking and immigration, and we've heard former President Trump kind of try to figure out where he is on abortion rights.
Oh.
Absolutely, the I think the moderators absolutely do that. They very likely respond to the idea that this has been a by and large issues free campaign, but at the same time. You know, I expect him to dance around it a little bit.
You know.
The real answer with Harris, thank you, and I have talked about this before, But the real answer with Harris is that she was a candidate in twenty twenty trying to in a primary, trying to get primary voters who tend to be purists, very hard left or very hard right, depending on the party. Whereas now she's she's sitting at the head of a party that already has a platform, already has positions, and you know, so she's in a very different position. That's not the excuse her of just saying, you know that she's in a different position. Trump, of course, has been involved in but both of them have been involved. Trump also in kind of what a friend of mine calls the Oprah primary or the Oprah primary, where the election where everybody's trying to give away as much as possible, there's very little serious on issues. I don't expect there to be much more serious on issues, frankly, because they will roll out whatever they've already rolled out. But at this is going to be a test of Harris's fitness and Trump's demeanor.
Frankly, just fifteen seconds left, Terry, this is the first debate. Will it be the last?
You know?
I think there's possibility for another one. It depends entirely on how everybody does here. If this is a close debate, both candidates may want one more.
This is Bloomberg day Break Today, your morning brief on the stories making news from Wall Street to Washington and beyond.
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