Good morning.
I'm Nathan Hager and I'm Karen Moscow. Here are the stories we're following today.
First, a powerful storm has been moving up the eastern Seaboard and it is sure to have an effect on that part of the country's morning commute. Let's get the latest from Bloomberg meteorologists Drob Carolyn, Rob.
Nathan and Karen. A potent storm system moving up along the coast to bring rain heavier times to the Tri State area and southern New England. The worst the storm has already gone by the district of Baltimore. We'll see rain tapering off by midday in the New York City area to scattered showers, but the rain will continue late in the day through the Boston area. Boston seeing one to three inches of rain from this system. Big problem
with the high winds. High wind advisories and wind warnings are an effect from coastal New England all the way across Long Island, and we are going to be looking at some area seeing gus over fifty five miles an hour through the morning.
Oh wow, Okay, Bloomberg Meteorologist Rob Carolyn. We'll be checking back with you throughout the morning.
Well, now, we want to bring you the latest developments in the war in the Middle East, Nathan. International pressure is intensifying for a ceasefire. Foreign secretaries from the UK, France and Germany are all calling for hostilities to end after three hostages were mistakenly shot by the Israeli military. We get the latest from Bloomberg's Bill Fairies.
Politically, Prime Minister net Yahoo under increasing fire domestically because of the apparent killing of those three hostages killed by Idea forces. That's kind of raised the issue again about the situation of the more than one hundred and twenty five hostages still being held. You have Secretaria Pentagon Secretary Lloyd Austen in the region, expected in Israel possibly today
raising those same issues. So certainly on all fronts, I think the Israeli government finding itself under an increasing amount of pressure to at least have come to another temporary cease.
Fire, and Bloomberg's Bill Fairies are ports. Israel's Foreign minister says any call for a ceasefire with Hamas is a quote prize for terrorism.
Well back here in the US, Karen the Top Republic and on the Senate Judiciary Committee's weighing in on the impeachment inquiries that the House just voted to authorize into President Biden, Lindsey Graham says he hasn't been paying much attention to them.
If there were a smoking gun, I think would be talking about it. But you know, the narrative that Hunter Biden presented his falling apart, the idea that Joe Biden knew nothing about the business dealings falling apart.
And Senator Graham tells NBC's Meet the Press he's more worried about the Middle East and securing the border than impeaching the president. You can hear Meet the Press every Sunday on Bloomberg Radio.
Meanwhile, Nathan, the White House is take a name at former President Trump over his use of inflammatory language to describe immigrants, and Bloomberg's Ed Baxter has more.
The White House says they are on America. The statement says, echoing the grotesque rhetoric of fascists and violent white supremacist, Trump was trying to rally his base around the issue of immigration.
They're poisoning the blood of our country, that's what.
They've done, saying they're coming in from all over the world.
From Africa, from Asia, all over the world. They're pouring into country.
The White House says clear oppression and a threat to democracy, and Trump rival Chris Christie on CBS has heard on Bloomberg.
I don't know how you could take someone like that and say that they're fit to be president of the United States.
Trump continues to hold a massive lead in the polls of the GOP ed Baxter Bloomberg Radio, All Right, ed, thank you.
Turning to markets and the Federal Reserve, Chicago FED President Austin Goulesby says it's too early to declare victory over inflation. He says there's still work to do to get price pressures down to two percent.
Twenty twenty three.
Looks like it's going to end up being a very substantial reduction in inflation without a big increase in the unemployment rate. That's the golden path that I talked about. But we're still above the target. We got to get inflation down to target before. Until we're convinced that we're on path to that, it's an overstatement to be counting the chickens.
Chicago Fed chief Austin goles We made the remarks on CBS's Face the Nation last week policymakers signal they expect to cut rates three times next year.
Well, Nathan that dubvish stands by the FED has some a key strategists bullish on the markets. Goldman's Sachs David Conston says the S and P five hundred ozer rise to a record fifty one hundred next year. He says falling inflation and FED easing will keep real yields low and support valuations. And Morgan Stanley's Mike Wilson, who's been bearish on stalks all year, says the fed's dubbish pivot is a positive signal for stocks.
Well.
While other top banks have succession plans in place, Karen, there's still question about the future leadership at JP Morgan Chase. Halfway through Jamie Diamonds special incentive to stay five more years as CEO. Insiders are predicting more senior leadership changes tell potential successors gather experience. A management shuffle in mid twenty twenty one put two deputies into the spotlightman as the board prepared to grant Diamond a bonus if he
remains CEO another half decade. But with neither of those two the clear front runner Inside Sourises tell us the two consumer banking coheads will likely need to tackle new assignments before one of them is ready to run the whole company well.
In deal news this morning, Nathan Amsterdam based chemicals company OCI has agreed to sell its US crop nutree and business to Coke Industries. The price tag is three point six billion dollars. It's a second disposal in a matter of days by OCI, which is under pressure from an activist investor.
And IBM has agreed to buy data integration platforms, stream sets and web methods from Software ag for two point three billion dollars. IBM says the deal will strengthen its position as demand increases for cloud services tailored to AI applications.
And it's time now for a look at some of the other stories making news around the world. For that, we're joined by Bloomberg's Amy Morris.
Amy Good morning, Good morning, Karen, a Texas congressman, says the Senate at the White House, we'll have to sweeten the current border security deal to get an aid package for Ukrain in Israel through the House.
The root of the issue as laby Lean Cartel's as terrorist organizations and the other piece is holding these smugglers accountable that caused damage and kill Americans.
Speaking on CBS's Face the Nation, GOP Congressman Tony Gonzalez acknowledged that what the Senate and the White House want is much different from what the House wants. One Senate Democrat says Israeli Prime Minister Benjamin Netanyahu is undermining a vision of peace.
Prime Minister Natnar, who has been an exceptionally difficult partner.
Delaware Senator Chris Coon said on CBS's Face the Nation that President Biden and most of Congress want a two state solution with Israel and an independent Palestinian nation. The House of Representatives is expected to move forward with its impeachment inquiry against President Biden after last week's party line vote approving the inquiry. New York Congressman Dan Goldman is a former federal prosecutor and served as lead Democratic counsel
to the first Trump impeachment trial. He says the Biden administration has handed over more than one hundred thousand pages of documents to House inquiries from.
The Biden administration has been far above and beyond what they need to do under the separation of powers doctrines, and certainly far more than what Donald Trump did in twenty nineteen when he turned over zero documents.
The investigation concerns the president's son, Hunter Biden and his foreign business deals. Air travel experts have some tips now on how we can all navigate the busy holiday season. They're wanting to last minute deals for tickets on Christmas Day and New Year's Eve, and they say you may avoid delays if you travel early in the day, points guy Brian Kelly.
The best advice I have is go early as possible. Expedia just did a survey based on tons of flights and if you leave after three pm, the odds of your flight being delayed canceled are fifty percent greater. So even if you're not an early bird, take the early flights at.
LA says the cheapest prices you'll find are for Christmas Day and New Year's Eve flights. Global news twenty four hours a day and whenever you want it with Bloomberg News.
Now.
I'm Amy Morris, and this is Bloomberg Karen.
Always travel early, all right, Amy, thank you, But we do bring you news throughout the day here on Bloomberg Radio. But now, as Amy said, you can get the latest news on demand, and that means whenever you want it. You just subscribe to Bloomberg News Now and you can get the latest headlines at the click of a button.
You can get informed on your schedule. You can listen and subscribe to Bloomberg News Now on the Bloomberg Business app, Bloomberg dot com plus apples, Spotify, and anywhere else you get your podcasts. And it's time now for the Bloomberg Sports Update. Here's John stash Hour.
John Karen has been a surprisingly rough season in Buffalo. The Bill's two games out in the AFSE East, but fighting to make it in as a wildcard, and they serve notice that if they do make it in the playoffs, they could be a tough out. The Bills blew out the Cowboys thirty one to ten, James Cook one hundred and seventy nine yards rushing. It ends the Cowboys five
game winning streak. They had that big win last week were in Philadelphia, but this loss could cost them the division, could see them drop from the two seed of the NFC all the way down to the five. The forty nine ers, right now on course to be the top seed, got their eleventh win forty five to twenty nine at Arizona, brock Purty through four touchdown passes. As a kid to be the NFL MVP, he says his teammate Kristian McCaffrey
deserves the award. More last night the eleventh win for Baltimore twenty three to seven at Jacksonville that drops the Jacks to eight and six and now in a three way time for first AFC South with Indianapolis, who won on Saturday, and Houston came from thirteen down to win in overtime at Tennessee. The Texans won without their starting quarterback c J.
Straft.
Patriots fell to three and eleven lost at home to Kansas City twenty seven to seventeen, fifth straight loss for the Commanders, beaten by the Rams in LA twenty eight to twenty. Celtics now fourteen to zero at home. Jalen Brown thirty one points in the one fourteen ninety seven win over Orlando. The Warriors won at Portland one eighteen to one fourteen, despite Steph Curry square only seven points and not hitting a single three pointer. He was zero
for eight. It's the first time in five years Curry has played a game and not made a three. John Stashedward Bloomberg Sports.
From coast to coast, from New York to San Francisco, Boston to Washington, d C. Nationwide on SYRIASXAM, the Bloomberg Business app in Bloomberg dot Com. This is Bloomberg Daybreak.
Good morning. I'm Nathan Hager. On this Monday morning, Israel is resisting international calls for a ceasefire after its military mistakenly shot and killed three hostages who were being held by Hamas in northern Gaza. This as ships in the all important Red Sea region come under greater attack from hootie rebels in Yemen. Monitoring all this for US is Bloomberg's Oliver Crook, who has been following the war in Gaza since the October seventh Hamas attack on southern Israel.
And Oliver is here with me now, thanks for being with us. So we had this joint letter over the weekend from the UK and German foreign secretaries calling for a sustainable ceasefire. Francis Foreign Minister following that up with calls of her own for a truce. What is the Israeli reaction to this growing international call for some kind of ceasefire with Hamas.
Yeah, there's so many dimensions to this. So of course from the Israeli perspective, there is a huge amount of resistance to talking about sort of ceasefires, general ceasefires, and again they've always wanted to say pauses, and the West and the sort of supporters of Israel have always sort
of backed that. But what's interesting if you actually read this letter by the UK and the German Foreign Secretary, it's very muddled, right, it's but again it speaks to the difficulty of a lot of the countries that support Israel squaring the circle of what they see as a legitimate aim, which is removing Hamas, while at the same time not wanting to kill as many civil being killed.
So on the one hand, they say we want a sustainable ceasefire in this letter, but let us be clear, we do not believe in calling for it right now as a general and immediate ceasefire. First Hamas needs to lay down its arms. So these are all conditions that they're they're seeing, but again there's no indication that Hamas has any intention of doing so they go on and talk also about the two state solution and something needs
to change for a durable solution. But again, you want that without sending the signal that terrorism is the way to successfully achieve political ends. So you see them really squirming around this.
What about the signal that the US is sending. Of course, we have a National Security Advisor, Jake Sullivan in the region. In fact, he was in the region when we learned of this hostage killing in northern Gaza. Defense Secretary Lloyd Austin is in the region as well. What kind of pressure is the US bringing to bear right now?
Completely, let's take a step back. Let's go back to last week when Biden was saying that basically the Israelis are starting to lose some of the support because of the indiscriminate bombing that takes place. Now, that is a direct quotation, and that is a fairly strong pronouncement from Biden, who's been very supportive of Israel, and who's obviously the most important economically, militarily, and almost in every sense supporter
of Israel. But what you had last week is you had Sullivan coming in and this is you know, and this is the timeline for the war, and what that looks like. The US has been very eager to try to get more information from Israel and what that looks like. All we've really heard from Israel is that there's three major steps. There's the intense military campaign, which is what we're in right now. The second step is more surgical on the ground, dealing with leadership, and then the third
is the kind of new security regime. What the US is trying to do is trying to get into phase two as soon as possible. And you heard that from Sullivan on Friday, and you'll probably hear that from Lloyd Austin today when he meets with the Israeli and trying to really get a picture of what their vision of this war is.
Is Israeli Prime Minister netanyahuo facing domestic pressure as well to get to that second phase, given what we saw with the hostages over the weekend.
I think that this is the difficulty, where on the one hand, there is this sort of full support in Israel of getting rid of Hamas and you know, again going to whatever is necessary there to do so. However, there is also this increasing pressure, particularly from those who have a great, great, great deal of concern for the hostages.
I mean, they came out with this, it was absolutely shocking on Friday to the Israelis that they could have killed three of their own hostages, that you know their mission is to save them, who came out apparently holding white flags and shirt lists to show that there were
no bombs. Speaking in Hebrew, of course, this is the sort of throes of war and a lot of things can happen, but that immediately triggered protests in the streets of Tel Aviv outside of the Defense ministry, and you're going to see that pressure continuing to mount because there has been a division from the very beginning from the Israelis about how they're conducting this war. Is this the best way to do it if you want to get the hostages back. There's still one hundred and thirty or so left.
And as this war continues, we're seeing shipping in the Red Sea coming under increasing attack from Houti rebels in Yemen. There's a complicated response to that as well.
Yeah, so we had this over the weekend where we heard with Moller Mirsk and Hapag Lloyd, both of the huge shipping container companies of the world, saying that they're basically telling their ship their ships to not go through that passage at the Red Sea that passes by Yemen, and we'll remember the ever given fiasco right from a couple of years ago where the Suez Canal got blocked. That's about twelve percent of global trade that goes through the Suez Canal, and this is one of the points
that you need to pass before you get there. So again there are sort of the more macro concerns going around about this, and of course you have the IDEF repeatedly warning still to this day hasn't quieted down in the north around Hezbola. So again, all of these are still very much alive, and again you're starting to see some of the macroeconomic consequences.
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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