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Good morning.
I'm Nathan Hager and I'm Karen Moscow. Here are the stories we're following today, Karen.
After resisting the issue for months, Congress has ultimately made quick work of a bill to force the release of the Jeffrey Epstein files. By a four hundred and twenty seven to one vote, the House has passed the bill to compel the Justice Department to make its documents public. The Senate then agreed unanimously to approve the legislation without changes once it arrives there, but Senate Minority Leader Chuck Schumer says that won't be the end of it.
We know there's a corrupt Justice Department. We know that Bondi and Cash would tell do just what the President asks and wants. And we Democrats are just had a meeting of ten of my colleagues are going to do everything we can to make sure all of it, all of.
It comes to lighte Senate Minority Leader Chuck Schumer pushed for the unanimous consent motion, but Bloomberg bal it's a power. Host Joe Matthew reports the Justice Department could still push back against this bill even if President Trump signs it knowing.
That the President has compelled the Department of Justice to investigate some Democrats, including Bill Clinton. In this case, the DOJ could simply say, hey, we understand the vote, but we can't release anything because this is an ongoing investigation, a smokescreen as some have called it here, and there's a question about whether or not this is how this ends, and maybe that's why, in fact, the President decided at the last.
Minute to go for this.
It was Bloomberg's Joe Matthew and Washington. President Trump has said he will sign the bill, saying he has nothing to hide and it's time to move on all Nathan.
President Trump is also moving to deep in ties with Saudi Arabia. Saudi Crown grants Mohammed ben Selman received a King's welcome at a White House dinner last night. The President used it to announce a new defense cooperation pack that'll make Saudi Arabia a major non NATO ally, A.
Stronger and more capable alliance will advance as the interests of both countries, and it will serve the highest interest of peace.
And President Trump's announcement came on a day that saw the US offer sales of F thirty five fighter jets, advanced AI chips, and nuclear tech sharing to the Kingdom. Former US Ambassador to Saudi Arabia Robert Jordan says, the Crown Prince is not offering much in return.
What did he have to give up virtually nothing, because he still has in his pocket the promise or the lure of normalizing relations with Israel. So it seems to me that MBS has come out by farther winner here.
And former US Ambassador Robert Jordan tells Bloomberg President Trump is towteday trillion dollars in investment commitments from Saudi Arabia. That's nearly the size of the kingdom's annual economy. One other note from last night's White House dinner, Elon Musk was on the guest list. The Tesla CEO and one time Doge figurehead was back in the East Room after his public falling out with President Trump over his tax and spending cut bill.
Strand of markets now, Karen futures are moving higher following four straight days of losses on Wall Street. To sell off in the world's largest technology companies has led the way lower. Lisa Shalatte is chief investment officer at Morgan Stanley Wealth Management.
The earnings revision momentum, as we like to say, has slowed, and I think that that's one of the things that has catalyzed this profit taking moment is that people are saying, wait a minute, perhaps you know some of the leaders of this market, the hyperscalers, are in fact by dint of their aggressive spending, by dint of them now assuming some debt to finance that spending, maybe that earning's growth rate is going to slow.
That's Morgan Stanley Wealth Management's Lisa's Shalotte and Goldman Sachs president John Waldron says markets are prime for possible further declines. We caught up with Waldron at the Bloomberg New Economy Forum in Singapore.
I would say, you're seeing in the markets right now all pull back, which I think is healthy. Markets have run quite a bit this year US secuity markets, in particular, markets heavily focused on this AI dynamic. You know, are we going to get the returns on capital invested that the market expects and is priced inn It's.
A big debate.
Goldman Sachs President John Waldron says in Vidia's earnings will be key for markets.
And Nathan that in Nvidia earnings report it comes out this afternoon after the closing bill, analysts expect the AI chip giant to show more than fifty percent growth in both net income and revenue and its fiscal third quarter. Michael Ball, as Bloomberg News macro strategist.
We know what their customers are doing, we know what the supply chain is doing. We've got the other chip makers who are part of that ecosystem, so I think they will match or be It's very sensitive to any misstep, and so in Vidia basically has no room for error. And you know the basically the market's pricing is six seven percent move that day, which is higher than its normal earning day move. So there's even greater sensitivity this turnaround.
And Bloomberg's Michael Ball knows that in Vidia's shares of more than twelve percent since hitting a peak four weeks ago. Stay with Bloomberg with complete analysis of in videos after the bell Earnie's report, and then at six thirty pm Wall Street Time, we speak exclusively with Nvidia CEO Jensen Wong here on Bloomberg Radio and Bloomberg Television. Bitcoin holding above ninety thousand this morning. Right now it is training at ninety one thousand, six hundred dollars. It's certainly been
a rough couple of weeks for cryptocurrency investors. Bitcoin is down nearly thirty percent from its record high set back in October. Yesterday, investors pulled more than half a billion dollars from black Rocks I Shares Bitcoin Trust. That's the largest single day outflow since the funds debut.
Turning to the economy Now, Karen, President Trump says he thinks he's identified his choice to be the next chair of the Federal Reserve. The President spoke on the Oval Office alongside Treasury Secretary Scott Bessant.
I think I already know my choice.
Well, I liked him, but he's not going to take that very viewsed you like Treasury better?
Right, much better, sir.
So we are talking to various people.
President Trump speaking there alongside Treasury Secretary Scott besson who has narrowed the pool of contenders to current Fed Governors Christopher Waller and Michelle Bawman, former Fed Governor Kevin Walsh, White House National Economic Council Director Kevin Hassett and black Rocks, Rick Reader.
And in Europe Nathan UK inflation fell for the first time in seven months. Consumer prices increased three points six percent in October. That's down from three point eight percent in September. The figures keep alive hopes of the UK Central Bank delivering a pre Christmas cut at its next meeting after skipping a move earlier this month. Time now 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 Blueberg's Michael Barr.
Michael, good Morning, Good morning Karen. A panel of three federal judges has blocked Texas from using a new congressional map that Republicans drew in hopes of picking up five US House seats. That map had touched off a nationwide redistricting battle and is a major piece of President Donald Trump's efforts to preserve a slim Republican majority ahead of
the twenty twenty six elections. In a two to one ruling, the judges in l Passo sided with opponents who argued that Texas's unusual summer redrawing of congressional districts would harm black and Hispanic residents. Last night, Texas filed an appeal with the US Supreme Court. Federal agents have expanded their North Carolina immigration cracked down to the area around the state capital of Raleigh. The crackdowns spread fear in at least one immigrant heavy suburb, but restaurants closed and many
people stayed home. The North Carolina operation began over the weekend in the state's largest city, Charlotte, where officials said more than one hundred and thirty people have been arrested. This laundromat owner criticized the operation.
I think it's all just political theater.
Really, they're just trying to instill fear in the community. The mayor of Raleigh said she did not know how long agents would be present. One man was killed and two others injured in yesterday's collapse of a construction trench in Yarmouth, Massachusetts. A huge rescue effort lasted for several hours, but a man who was buried up to his waist could not be saved. Yarmouth Fire and Rescue Department chief Enrique arasco, it's.
A very complicated rescue. We had a lot of collapse with the trench that continued to happen as we tried to remove him.
Chief Erascoe says another construction worker who jumped into the trench to save the trap man was able to get out even as more walls collapsed in the Cape Cod Sewer construction project. Global News twenty four hours a day and whenever you want it with the Bloomberg News Now, Michael Barr, this is Bloomberg Karen. Thanks Michael.
Time now for our Bloomberg Sports Update, and for them we bring in John Stashaur.
Thanks garn Lebron James's record breaking twenty third NBA season underway. He had been out with Sciattica in his season, played thirty minutes, score to eleven points at twelve assist. The Lakers beat Utah College Basketball in New York. Michigan State beat Kentucky Duke down Kansas. The college football Playoff committee now has Georgia as the fourth team and getting a buy. Alabama dropped after its loss last Saturday, but as of
now the Crimson Tide still in the playoffs. That's the Bloomberg Sports Update.
Stay with us. More from Bloomberg Day Break coming up after this.
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. Republican leaders and President Donald Trump had resisted the issue for months. Now Congress is making quick work of a bill to release more of the Justice departments Jeffrey Epstein files, but Senate Minority Leader Chuck Schumer says the president is still a wild card.
There's no reason it can't be on the President's desk in an hour. The president has to sign it. You never know what's him said he would let's wait and see, and.
Was Minority Leader Chuck Schumer after the Senate agreed to pass the Epstein transparency bill without changes from the House. Joining us now is Terry Haynes, founder of Pangaea Policy. Terry, Good morning. President Trump has said he has nothing to hide. It's time to move on. He says he'll sign this bill. Will Washington move on from Jeffrey Epstein?
Good morning, Hi, Good morning, Nathan. Well, there's always the pull of bread and circuses, and that's very strong. So I imagine the Epstein obsession will continue. And if I say that with no effort at all to try to sweep it under the rug. The man was a monster, and there's been a bonfire of the vanities with the elites for a long time here. But Washington's going to have
to get past this. What I suspect is that the continuing wrangling around, first with courts about the information and secondly about what and whether the Justice Apartment may do with redacting names and trying to trying to protect the innocent. There's a here complicates things and keeps the thing simmering.
Well, how will the bill square with the Justice Department's determination that it's going to investigate Jeffrey Epstein's links to prominent democrats.
Well, that's an additional complication too, And and we'll see, you know, in the Justice Department could take a long time tap dance. The Justice Department could bring up what it's already got and and make that the basis for whatever it does in the context or release. There's no
way to tell which it will do. I suspect what I've got is probably a little bit of both, frankly, but you know, you see in the you know kind of things that Larry Summers, for example, said a few days ago about his own involvement, that there's very likely going to be more involvement across the board from people either named or not named, and this is going to splash in unpredictable ways.
Now we should note, of course, Larrie Summers is no longer a paid contributor to Bloomberg Television as well. I want to get your take as well, Terry on the announcements around Saudi Arabia with the Crown Prince Salmon in Washington, this Defense Pact announced last night, the designation as a non NATO ally. How significant is this?
I think it's very significant, and I encourage markets to look at it in the broader geopolitical context. Both over the past few months and today. You know the US moves that have been to try to help establish peace in Gaza, a process which has been un ratified just this week. You've had the Iran situation. You've had US trying to shore up Argentina to reduce in part to
reduce Chinese dominance in South America. You've got Russia under moreunder more pressure, and you've got six months of the United States and China not being able to conclude an agreement on among other things, rare earth, so very very significant.
In the middle of all that, what the United States says this week is that Saudi is now a major non NATO ally and is moving to Both countries are moving to shore up the three pillars of security and defense, energy in the economy, and geopolitical including diplomacy and hopefully a peace process in Israel. China's response to all this is not just to snimy the US and the West on rare earths, but is also now to Barrett's teeth at Japan, in addition to others in the South China Sea,
including the Philippines. So this is a situation where the geopolitical risk remains very high, and in the middle of all that, the United States keeps flanking China on geopolitical interdependent.
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