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Good morning, I'm Nathan Hager and I'm John Tucker. Here are the stories we're following today.
John, we begin with the latest developments in the war in the Middle East and a warning from Secretary of State Anthony Blincoln. He says Israel risks fueling a Hamas insurgency in post war Gaza. Blinken cautions there will still be thousands of armed militants in the area even if Israel invades the city of Rafa.
Israel's on the directory, potentially to inherit an insurgency with many armed moss left, or if it leaves a vacuum filled by chaos, filled by anarchy, and probably refilled by Amas.
Secretary of State Blincoln added the Biden administration has not seen a credible Israeli planned to shield civilians in a Rafa assault. He made the comments on NBC's Meet the Press, Catch the program Sundays on Bloomberg Radio.
And camps Protest so for the War in Gazick Colliding with college graduation season, comedian Jerry Seinfeld was the commencement speaker at Duke University this weekend. About thirty students walked out, chanting Free Palestine and waving flags when he was introduced with Seinfeld didn't address the protests. A small group of demonstrators also showed up at UC Berkeley's commencement on Saturday, but the university says the protesters left voluntarily and nobody
was arrested. More schools have threatened student protesters with arrest or expulsion if they don't clear out pro Palestini encampments ahead of graduation ceremonies.
The meantime, John Bloomberg News has learned that President Biden is going to quadruple tariffs on Chinese electric vehicles this week and sharply increase levies for other key industries. Bloomberg's chief North Asia correspondent Steven Engel has the details.
The announcement could come as early as Tuesday in the United States tomorrow, but there could be seeing a doubling or even a tripling of other target industries and products like batteries like solar cells, steel and aluminum already been targeted. Whether there's going to be an increase there, but again these products are not imported into the United States in great volumes.
Bloomberg Steven Engel also points out that Biden's plan for more tariffs is mostly symbolic, as China does not rely on US consumers in those sectors.
And in another development, US officials intend to highlight security concerns with China's development of artificial intelligence. Senior Administration officials say the emerging technology will be a major topic when representatives of the US and China meet tomorrow in Geneva. The meeting initiates talks agreed to last year by President Biden and Shijing Ping to address security and safety concerns over AI. Even as the two countries intensify their competition in that sphere.
Well, President Biden could face an uphill battle john convincing voters the economies headed in the right direction.
That's what the latest.
Polling is indicating, and we get the numbers from Bloomberg's Dan Schwartzman.
A new poll from the Financial Time shows that President Biden's prospects for reelection are being dampened by voters' concerns over inflation. According to the latest from the FT Michigan Ross poll, high prices are one of the biggest challenges for eighty percent of voters. People disapproving of Biden's handling of the economy increased in one month, from fifty five
percent to fifty eight percent. The poll also showed that voters blamed Biden for higher gas and food prices without giving him any credit for a strong jobs market and a booming economy. Dan Schwartzman, Bloomberg Radio, and.
We now turn to the latest developments in the criminal trial involving Donald Trump, lead star prosecution witness in the hush money trials set to take the stand today. We get the latest from Bloomberg Law host June Grosso in New York.
On Friday, jurors saw Donald Trump's twenty eighteen tweets defending one hundred and thirty thousand dollars hush money agreement with adult phil mactress Stormy Daniels ahead of potentially explosive testimony from Michael Cohen, the star process cution witness who made the payment on Trump's behalf. Prosecutors have been laying the groundwork for Cohen's testimony because he comes to the s down with a lot of baggage that will surely be
explored on cross examination. In New York, June Grosso, Bloomberg Radio.
And June That's not the only high profile core case happening in Manhattan today. Opening statements are set to begin in the trial of Our Chagos founder Bill Wong on fraud, racketeering, conspiracy, and market manipulation charges. Bloombrigs Shanelli Bassett is covering that case and brings us this preview.
In one of the most highly watched white collar crime cases in recent history, Bill Wang, the founder of Our Chagos Capital Management, is set to face trial today in Manhattan Federal Court, where jury trial will begin. The Justice Department is set to lay out an argument in a high stakes debate where Bill Wang is expected to defend himself vigorously, even drawing concerns about the banks themselves which had lost so much money as Our Chagos collapsed, including
it SWEE, which later failed in New York. Shanali Bassic Bloomberg Radio.
I think Shanali and turning to the market's futures higher as we begin a new trading week against and P five hundred, coming off its third straight week of gains. That's the longest winning run since February. Meanwhile, the Dow has gained for rising eight straight sessions, and Alan Zaffron the co CEO to I EQ Capital says, there's a lot of momentum behind the latest rally.
Everyone's been worried about the Feds get a cut rates, cut rates, so it won't cut rates. Oh my gosh, I have to reprice my models. But stocks keep going up anyway. And I think the lesson learned is the economy isn't as interest rates sensitive as it used to be, and there was so much money thrown at corporations and individuals through COVID that it has a lot of pent up cash on the sidelines, ready to buy any asset at any drop.
Alan Zaffren at I EQ Capital says the big event for the markets this week likely is going to be Wednesday's consumer price print.
Company news John, Amazon, Pfizer, Microsoft, and Morgan Stanley are among companies poised to boost their presence in France. President Dmanuel macrom is hosting one hundred and eighty CEOs and executives for the Choose France Summit. Flagship event is now in its seventh year. It's part of a push by the mcron government to reindustrialize the country, simplify its regulations to attract foreign companies and make it a financial hub
for the post Brexit European Union. Stick with Bloomberg this afternoon, President Macrome's going to sit down with Bloomberg News editor in chief John Micklethwaite for what we expect will be a very wide ranging interview. That's coming up at one pm Wall Street Time, and you can hear it on Bloomberg Radio and watch it on Bloomberg Television.
And Nathan, if you're hitting the road this Memorial Day, you're certainly not alone. In fact, Triple A expects about for thirty eight point four million people will drive the holiday weekend. That's the most in more than two decades
of data tracking the holidays travel numbers. Triple A is saying almost forty four billion people Little bark On trips of all forums, it's the highest second highest number TRIPAA has seen since two thousand and five, when consumer sentiment had recovered from the September eleventh, two thousand and one attacks and had yet to be royal by the two thousand and eight financial crisis. Yeah, that brings us to
five a weight on Wall Street 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 Michael Barr. Michael, good morning, Good morning John. The bribery trial of US Senator Robert Menendez of New Jersey begins this morning in Manhattan. Menendez has defied calls to resign from the Senate. The seventy year old democrat and his wife are accused of accepting bribes from three
wealthy businessmen in return for favors. Accusations include meddling in criminal investigations and taking actions benefiting the governments of Egypt and Cutter. The Fed say they found stacks of cash and gold bars in Menendez's house. The senator is pleaded not guilty. There has been a major shuffle in the Russian government. President Vladimir Putin has tapped a civilian economist as his surprise. New Defense Minister Andre Belusov is to
replace Sergei Shoigu. Shawshank Joshi with The economist tells us Shoigu had been in the job since twenty twelve.
I'm not surprised he's being moved on. I am perhaps a little bit more surprised we're seeing an economists go into that post. But it is worth remembering that Shoigu's predecessor, Anatoly Sadukov. He was also a business figure. He was Minister of Taxes.
Shoigu's deputy was arrested last month on bribery charges. The controlled demolition to remove a portion of Baltimore's Francis scott Key Bridge is scheduled for today. It was postponed yesterday due to lightning. Meanwhile, cruises have been rerouted to Norfolk because of the bridge collapse. Carnival Cruise Lines has announced that it is planning to embark guests on Carnival Pride May nineteenth cruise in Norfolk, Virginia, but expects to end
sailing in Baltimore, Regina. Ali with the Triple A in Baltimore went on a cruise March twenty fourth, not aware she was on one of the last ones to sail under the bridge. The captain announced later that the bridge had collapsed and would likely impact their return to Baltimore.
No one expected that when we left Baltimore and now on March twenty fourth, that we were going to be the last Carnival ship sailing under the Francis Skoykey Bridge.
Officials expect the Dolly the ship that crashed into the Key Bridge to be moved back to the Port of Baltimore. Finally, actor Steve Bousham he was assaulted in Manhattan. Police say of the sixty six year old Brooklyn native was walking when he was randomly punched. Bousham He was taken to a hospital for bruising, swelling, and bleeding to his left eye. The actor's publicist says Bushaming is okay and appreciates everyone's
well wishes. The attacker hasn't been caught yet. Global News twenty four hours a day and whenever you want it with the Bloomberg News. Now, I'm Michael Barr, and this is Bloomberg John.
Michael, thank you. Oh yeah, there's now five The Love About Wall Street. That's the time for the Bloomberg Sports Day, Dan for that. Good morning, John, Stencharmark.
Hacking Morning John.
Fifth worst playoff loss in Knick's history, Game four at Indiana. They trailed the Pacers by twenty in the first quarter, by thirty in the second, The Pacers lead grew to forty three Indiana one one twenty one to eighty nine to tie the series. Of two Pacers made their shots, Nicks missed theirs. They missed thirty three pointers. The Villanova trio Jalen Bruns and Josh r Dunte Ne Vincenzo together shot ten for thirty six, made only one three game fives tomorrow.
With the Garden. That's where Knicks coach Tom Thibodeaux is looking towards.
We can't have a hangover.
We got to fix it and we have to come with a will and determination to respond to what happened, and I think the biggest thing, and this team has responded all year, So that's what we're expecting to do. We got to put the work into it and be ready to.
The home teams won every game in the West. The road teams won every game. Is Denver won again at Minnesota one fifteen, one oh seven. Okolio could scored thirty five and then win. Anthony Edwards had forty four in the lost. The Atlanta Hawks had a three percent chance of winning the NBA Draft lottery.
They won it. They'll have the first pick Saley got. Playoffs.
Florida won again in Boston, three to two. A disputed go ahead third period goal. Bruins Felt and Alexander Barkoff crosscheck allowed.
Him to score Panthers now leave the series three to one.
In the Battle of Western Canada, Vancouver won four to three at Edmonton for two to one Lee.
The Rangers are up three to one.
They'll host Carolina tonight at Cityfield. Mets were two outs from getting swept by Atlanta. Brandon Nimmo will a walk off pinch hit two run over bottle of the ninth Mets one four to three.
Yankees blew most of US six to nothing.
League.
They hit five home runs. They won ten six. At Tampa Bay, the Red Sox top the Nationals three to two. Rory McElroy seventeen under par. He won in Charlotte by five shots. That's even with a double bogie on the final hole. It's the fourth time that he's.
Won at Quail. Hello, John Stashdamit Bloomberg Sports.
Johnny 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 US could be facing new friction over the Middle East and Asia, with the State Department offering a further rationale for President Biden's decision to withhold offensive weapons for Israel, and new details coming up about the president's tariff's plans for China. For more on all this, we're joined now by Bloomberg News Senior editor Bill Ferries. Bill, good morning.
So we heard over the weekend from Secretary Blincoln on the Sunday Show seeming to prad Israel to think more about what the conduct of this war could mean for Gaza post war. What do you make of some of the Secretary's latest comments.
Well, thanks for having me. The criticism from the administration
just continues to ramp up. We heard Secretary of Blincoln this weekend saying that even if Israel goes in and takes heavy action and goes after the these brigades of of Hamas militants that it believes are kind of hold up there, he said, there's still going to be thousands of supporters left, armed supporters, armed militants, and that Israel is going to is basically going to inherit an insurgency that's going to dog it potentially for years after this
operation concludes. The Administration is still very focused on trying to prevent Israel from going in with a you know, a full ground invasion.
Uh.
They also want to try to see some of these talks that have been on and off again in Qatar and then UH and then in Cairo get a little more momentum behind them.
UH.
And they say they still haven't seen a plan to help help move these The civilian population that has basically been trapped in in Rafa largely for several weeks now hasn't seen a plan for how to get them safely out.
Israel says about three hundred thousand of those people have left, but it's not really clear if they're Some of the areas they have to traps through are still basically a war zone, and they're not going to areas that are necessarily in any condition to accept tens of thousands or hundreds of thousands of more internal refugees.
On top of all this, we're getting a little bit more color bill on some reporting that Bloomberg News did last week about President Biden's plans to pretty significantly increase tariffs on certain Chinese goods.
Right, we knew that there were likely tariffs coming for things like electric vehicles, batteries, some components in solar panel industry. We had also heard about steeling Alunum. But the headline number, as you were hinting at there, was really the Chinese electric vehicles. The tariff jumping likely jumping from twenty seven and a half percent to one hundred and two zero point five percent. So basically whatever the price would be
on import doubling. Now as you and I know you can't know, you can't go out there and buy bid vehicles in the United States at this point. The tariffs that were in place, we're basically prohibiting that already. This
makes it. I think this puts all that further out of reach in some ways symbolic both of the presidential campaign that's going on and this continuing heightened tensions between the US and China in the middle of a campaign where I think both parties, both presidential candidates want to show how tough they can be on Beijing.
I'll think about thirty seconds left here, billb But can we see more of those tensions play out when US and Chinese officials are scheduled to meet in Geneva tomorrow.
So we're expecting this meeting in Geneva to talk about artificial intelligence, the development of that industry, the expectation is you could start to have the world's two biggest economies talk about putting some guardrails and general regulations on how AI develops. The US is going to go into it, according to our reporting, with a big focus on concerns about how China's development may be undermining the national security of both the United States and many other nations out there.
So on the one hand, that's good they're having these talks, so on the other hand, it's probably going to be a difficult conversation.
This is Bloomberg Daybreak Today, your morning brief on the stories making news from Wall Street to Washington and beyond.
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