From the Bloomberg Interactive Burgers Studios. This is Bloomberg day Break for Thursday, June First.
Coming up today, the death limit deal is close to the finish line after winning passage in the House.
Mike Pence is the latest to enter the Republican race for president.
Talk of a rate high pause or a skip grows louder from the Fat.
And Elon Musk wraps up his visit to China.
Investigators reportedly have a reporting a former President Trump admitting he kept a secret military document, plus deadly attacks in Ukraine. I'm Michael Barr.
More ahead, John Stans showIn sports, the Yankees lost in Seattle one to nothing in ten innings. The metsmath the Phillies. The NBA Finals begin tonight.
That's all straight ahead on Bloomberg day Break, The business news You need to starn your day in just one fifteen minute podcast each morning on Apples, Spotify, The Bloomberg Business Appen everywhere you get your podcasts.
Good morning, I'm Amy Morris and I'm Karen Moscow. Here are the stories we're following today.
The House has passed a bill raising the dead limit. The measure also cuts federal spending by trillions of dollars over two years. House Speaker Kevin McCarthy says, Republicans delivered for the American taxpayer.
Tonight.
We all made history because this is the biggest cut and savings this Congress has ever voted for.
Speaker McCarthy calls it the biggest spending cut in American history. But progressive Democrats are slamming the bill. Representative Corey Bush of Missouri says the cuts will hit vulnerable groups.
This was a bad deal.
We have a big board from the progressives.
They say this is a bad deal, and so we stood up to that.
Representative Bush calls those work requirements for snap recipients ineffective. The bill now heads to the Senate, where passage is virtually certain, although Vermont Senator Bernie Sanders has already said he'll vote against it. The question now is timing. The President has to sign the bill before June fifth to avoid a default.
Well, reaction is pouring into the dead agreement. Amy Bloomberg Politics contributor Genie Shehans Zeno says, in the end, both parties came together, but there are still many lawmakers unhappy with the deal.
I would say nobody really wins in this process. Did the center win? I think certainly in this case, the center delivered, and that is critically important at a time of you know, so much partisan ranker. On the other hand, let's remember what we're talking about. We're talking about saving the country from its first default in American history.
Bloomberg Politics contributor Genie shehan ZnO notes one hundred and seventeen members of the House voted against the measure, three hundred and fourteen voted for it. Roughly two thirds of House Republicans supported the bill.
And that's not all that's going on in the world of politics this morning. The race for president is about to get a bit more crowded. We're learning former Vice President Mike Penn's plans to officially launch his bid next week. Bloomberg's Ad Baxter has that story.
If the plan holds, it will be next Wednesday in Iowa. Pence has been laying the groundwork for this for more than a year. He has visited early voting states and promoted his autobiography. As he challenges Donald Trump, he faces polling problems. Real Clear Politics has him with less than four percent in the GOP Bloomberg sources say he plans to offer himself as the only viable traditional conservative in the field, with Ron DeSantis far to the right in
San Francisco. I'm at Baxter Bloomberg daybreak.
All righted? Thanks? So, outside of politics, Wall Street is laser focused on what the Fed does next to where in less than two weeks from the Central Bank's next meeting, and there's growing talk of a rate pause. Here's Fed a Reserve Governor Phillip Jefferson.
A decision to hold our policy rate constant at a coming meeting should not be interpreted to me that we have reached the peak rate for this cycle. Indeed, skipping a rate hike at a coming meeting would allow the committee to see more data before making decisions about the extent of additional policy firming.
Thank.
Governor Philip Jefferson, who's been nominated to serve as vice chair, says he's looking to tomorrow's jobs report is a key reading and word of a.
Pause is nothing new. But how about a skip in rate hikes? That's the latest rhetoric coming out of the Central Bank. From Philadelphia Fed President Patrick Harker.
I am in the camp increasingly coming into this meeting thinking that we really should skip, not pause. I don't like the word pause, but skip an increase.
Philadelphia Fed President Patrick Harker says the Central Bank doesn't have to hike at every meeting, but he appears to like the optionality that a term like skip may offer policy makers.
Well.
Any other news we are following this morning brings us to the world's richest ban. Elon Musk is on his way home after wrapping up his first visit to China since the pandemic, and we get the latest from Bloomberg's John Tucker, John.
And Karen is Private gena part of Shanghai. This morning local time, he wrapped up the whorldwind Tour meeting staff at Tesla's Shanghai plant. Tesla's China team showed the Boss the first trial production CARB, the revamped Model three. Like other Auto Titans, he's strengthening ties with Beijing, just as the Biden administration and other Western leaders try to less in dependence on China. Mus apparently didn't want to ruffle any feathers during the visit. He was absent on Twitter.
Musk has had his longest absence from the platform since June of twenty twenty two.
Now.
A lot of foreign social media platforms are banned in China, including Twitter, although it's easy to get around the band. Musk also may have popped a bottle of champagne on the way home after learning that he's regained his title as World's richest in New York. I'm John Tucker, Bloomberg Daybreak.
All right, thank you, John Elon. Musk and Jamie Diamond aren't the only ceo spending time in China this week. Bloomberg News has learned and Vidia CEO En Wang is heading to China to meet with tech executives in the world's biggest chip market, and Nvidia has emerged as a critical player in artificial intelligence, its position in China is complicated. US sanctions prevent the semiconductor company from selling its most advanced AI chipsets to Chinese customers, including Tencent and by Dance.
On other corporate news this morning, Amy, a top Walmart executive, says the retailer remains committed to its Pride Month offerings. The decision comes as competitor Target is embroiled at a controversy over similar products. Target removes some items from its collection for Pride Month in June which honors lesbian, gay, bisexual, and transgender people. Targets hit a rationist threats made workers feel unsafe. This is Bloomberg.
Thank you, Karen. 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.
Good morning, Michael, Good morning. Amy. Russian forces began June with the fresh round of missile strikes in Ukraine, killing at least three people and wounding others. The Russian strikes at apartment buildings and a medical clinic and the capitol Kiev. Meanwhile, NATO foreign ministers continue their meetings today in Norway, discussing Ukraine's possible future in the Alliance. NATO Secretary General Jen Stoltenberg, the.
Most urgent and important task now is to ensure that Ukraine prevails as a sovereign, independent nation. Preston Putin, Russia must not win this war.
US Secretary of State Blincoln also arrived in Oslo today. Several media outlets report that Justice Department prosecutors have obtained an audio recording a former President Donald Trump after he left office, in which he talks about holding on to a classified document related to a potential attack on Iran. The twenty twenty one recording at his golf club in Bedminster would appear to undercut his repeated claims that he declassified the documents he took with him from the White
House to mar A Lago. New York City officials are calling on the federal government to help with the surge of migrants coming from the southern border Texas and to have bus tens of thousands of migrants to sanctuary cities around the country, including New York. During its first public meeting on UFOs, a NASA panel revealed it has reviewed more than eight hundred cases of what is now called
unidentified anomalist phenomena or UAPs. NASA astrobiologist David Grinspoon says that his team is working on how to measure life on other planets and whether it's connected to UAPs.
We look for things like anomaloust gases in the atmospheres of planets and other anomalies which may possibly reveal the presence of life. When we discover such an anomaly, we don't conclude that we've discovered life. We seek more data.
The largest mass transit provider in America reached to potential labor agreement with its subway operators and bus drivers. The agreement with New York's Metropolitan Transportation Authority securest transit workers annual raises of almost ten percent compounded over three years. Teen birth rates have fallen to their lowest levels ever, according to New Federal DANA. The report from the CBC showed that the team birth rate in twenty twenty two
was thirteen point five per one thousand females. Global News twenty four hours a day, powered by more than twenty seven hundred journalists nalysts in over one hundred and twenty countries. I'm michae lebar this is Bloomberg Gaming.
All right, Thank you, Michael. Time now for our Bloomberg Sports update. For that, we bring in John stash Hour.
Thanks Amy. The Yankees had scored thirty runs in their last three games, but in Seattle, not one in ten innings. The Mariners scored in the tenth won one to nothing, Yanks wasting nine scoreless innings from Clark Smidwandi, Parlton, Clay Holmes. Seattle's George Kirby, the twenty five year old Westchester native who had allowed seven runs. In his previous outing, Herald eight scoreless, allowing only three hits. Yanks off tonight, visit
the Dodgers tomorrow, Mets this afternoon. Jill for a sweep of the Phillies after the two to nothing win, a four to one victory at City Field. Carlos carrasco three relievers teaming to beat the Phils. Aaron Nola Mark Canna drove in all four met runs. NBA coaching carousel, another coach who just got fired got another job. Nick Nurse went from Toronto to the Philadelphia. Now Monty Williams fired in Phoenix, hired in Detroit. He's gonna make thirteen million
a year. Here's Denver's coach Michael Malone on the eve of the start tonight of the NBA Finals.
This is gonna be the biggest challenge of our lives to see NBA Finals. This is you trying to win the first NBA championship in franchise history. It's gonna be the hardest thing that we've ever done, which is the way he should be.
It's the Nuggets in the eight, Denver in the playoffs. It's twelve and three eight and I went home with Miami six and four on the road, just had three wins in Boston. Veteran white out de Andre Hopkins as a free agent after getting released by Arizona. The Jets say they are not interested. Giants coach Brian Dabole says they will do their due diligence. French open the one, three and five seeds all one. That's Carlos Alcaraznovak, Djokovic
and Stefandos Sits the pass. Second round matches coming up for Americans Taylor, It's Francis Tfo and Coco cow John stash Our Bloomberg Sports.
From coast to coast, from New York to San Francisco, Boston to Washington, d C. Nationwide on Syrias Exam, the Bloomberg Business app, and Bloomberg dot Com. This is Bloomberg Daybreak.
Hey, good morning, im Amy Morris. The House passed that debt limit bill. It would put limits on government spending through the twenty twenty four election and avert a destabilizing US default. And now it heads to the Senate. It is expected to pass, but it's also expected to receive a little pushback there. We're joined now by the co director of the Center on US Politics, Julie Norman at University College London. Julie, it's always a pleasure. Thank you
for taking the time with us this morning. Some pretty vehement no votes from the Freedom Caucus, from the Progressive Caucus in the House. Do you expect similar pushback in the Senate?
Well, good morning, Amy. You know this was going to be tough in both houses. I would say getting it through the House of Representatives was key. I think that was the big vote that everyone was watching. Could McCarthy get the vote votes, could they get this over the line. The Senate will still have holdouts, but the Senate, I think it's more a question of how fast it will move through rather than if it will move through. We're expecting procedural votes to start really as soon as possible.
It's really a question as to how many senators try and throw in amendments, try and kind of muck up the process a little bit. But we've heard from the leadership on both sides, both Schumer and McConnell saying, look, we've got to get this through fast, guys, and just like keep this moving as much as possible.
So what are the sticking points?
Well, for Republicans, it's pretty much that it doesn't go far enough. You know, the bill that House Republicans had put out that many senter Republicans also wanted, had much deeper cuts for a much longer length of time. So for some conservative senators Mike Lee and Utah for example, Ron Paul are saying, you know this, this doesn't go far enough. We're going to push for a little bit more.
On the other hand, you have some of the more progressive Democrats Bernie Sanders Elizabeth Warren saying, look, this is too many concessions on work requirements for AID. I'm pulling back some of our priorities. So we're also not going to endorse this. So again you have some individuals, I think on both ends who will not throw their weight behind it. But there does seem to be a bit more confidence that there's more in the Senate who can get this over the line from both parties.
Does this tell you anything about the ability for these two sides to be able to strike deals on other issues? Does this signal a glimmer of comedy and I mean co mity comedy in a bitterly divided Congress.
I wish we could say there were broader hope from this. But I would say we should take comfort in the fact that bipartisanship did work this time around in the House forgetting this deal through. That was definitely not a given going into this process. And there's just so many times you can keep pulling a rabbit out of the hat on the debt ceiling, and they managed to do
it with the House. And I do think it was because of the leadership of both Biden and McCarthy and really the moderates on both parties realizing the severity of this situation and getting it through. I don't think that will be the case on you know, most other issues.
I think there were.
Clearer heads prevailed and just realized we cannot hit this June fifth date. And that's really what mobilized most of these votes more than the concessions from one party or the other.
You know how things on Capitol Hill always tend to be a zero sum game. Did anybody win? Did President Biden win? Did Speaker McCarthy win? Can they both chalk it up as a victory?
Well, Amil, depends who you ask, right, I mean, both both Biden and McCarthy will try and chalk this up as a win. McCarthy is definitely trying to tell Republicans, look, this is the biggest cuts in history, you know, making pretty grand claims about what was really, in all honesty, pretty modest. Bill Biden, on the other hand, I think, can make the case that he protected a lot of programs and funding that Republics had really set out to cut.
So both will spin it in their own, you know, in their own favor, and my sense is that the public is responding as such as well. You know, when this was going down to the wire, most Republicans were blaming democrats, most Democrats were blaming Republicans, and so politically all probably come out to a wash. But the good news is that it looks like this is moving through and moving forward, and that's really what all of us were hoping to avoid.
Is there still a question though now about Speaker McCarthy's future, because there were Republicans who are very vehemently against this deal. Absolutely.
I mean, I think what's notable is that he did manage to get about two thirds of Republicans on board with this bill. I think if it had been you know, if he didn't get the majority of the majorities, he kept saying that would have been a problem, but the fact that that many supported him suggests that even if there were, you know, a few individuals or some of the Freedom Caucus who were trying to threaten his speakership, it seems that he has enough support from within the
caucus that he could override. Then I think they know they don't have the votes to push something like that right now. So for the time being, I think this is pretty much a win for McCarthy, but he knows he's on thin ice with you many of the far right members of the party.
Only about thirty seconds here. Does this also then speak well for more moderate voices in either party in the broader sense, one would hope.
So again, I would say the debt ceiling is a little bit of a distinct issue, and I would note that even some of the votes did not go with some woe maybe expect Marjorie Taylor Green, Jim Jordan. Some that we think as being more farther on the right voted for this, and I do think that speaks to how McCarthy was able to kind of leverage some of his relationships here. So we'll see if that carries over
to other issues. But for now focusing on the debt ceiling, and this seems to be moving forward in the way that many of us hope that it would.
You're listening to Bloomberg Daybreak today, your morning brief on the stories making news from Wall Street to Washington and beyond.
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I'm Karen Moscow. Join us again tomorrow morning for all the news you need to start your day right here on Bloomberg day Break