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Good morning.
I'm Nathan Hager and I'm Karen Moscow. Here are the stories we're following today. Karen, it's over.
After forty three days, the longest government shut down in American history has come to an end.
On this vote. The a's are two hundred and twenty two. The a's are two oh nine. The bill has passed.
And after that vote in the House of Representatives, President Trump signed the bill to reopen the government and put federal workers back on the job starting today.
We're sending a clear message that we will never give in to extortion, because that's what it was. They tried to extort. The Democrats tried to extort our country.
The President spoke at an Oval Office signing ceremony heard live on Bloomberg Radio. The new funding law does not resolve the expiring health insurance subsidies that Democrats wanted to extend. Senate Republicans have promised to vote on that next month. And even though the government is reopening, getting it back to normal could take a while.
As we hear from Bloomberg's Steric Wallbank.
We're going to be waiting for a couple of days to get federal workers paid. It may take a couple of days to get airlines fully back to their normal schedules. We're still waiting to see about these economic indicators that were delayed or paused during the shutdown. Most of them are expected to come, but maybe not all of them, but we're waiting to see when those are going to get put forward.
That's Bloomberg's Derek Wallbank. The White House says the October jobs and consumer price reports might never be released due to the shutdown. The Bureau of Labor Statistics has not released a new schedule of data releases. The agency could combine two months worth of data to get back on track well.
Nathan asked for airlines getting back on schedule. That Trump administration is hoping to bring that in for US smooth and landing. The Transportation Department and Federal Aviation Administration are freezing of flight reductions at forty major airports at six percent, rather than the ten percent previously planned. FAA Administrator Brian
Bedford says air traffic controller staffing is improving rapidly. Doubt The Airlines CEO ed Bashton tells Bloomberg that things should keep improving heading into the holidays.
We know the importance of Christmas and Thanksgiving and the holidays. That's our super Bowl, and that's what we rehearse and plan all year long.
We're going to be in really good shape now.
The CEO, ed Bashton, spoke to Bloomberg from the floor of the New York Stock Exchange. Get the full conversation on the Bloomberg Podcast channel on YouTube. Airlines have canceled almost ten thousand flights since restrictions were put in place last week.
Well, Karen.
Another major story we're following this morning involves emails released by Democrats involving convicted sex offender Jeffrey Epstein. Bloomberg's John Tucker joins us with the very latest, John and Nathan.
In the newly released emails, Jeffrey Epstein repeatedly discussed Donald Trump with his co conspirator Gaylaine Maxwell Epstein, writing the quote dog that hasn't barked as Trump, adding that one of his victims spent quote hours with Trump at Epstein's home. California Democratic Congress and Robert Garci is the ranking Democrat on the House Oversight Committee which released the files.
This email from Jeffrey Epstein saying that Donald Trump spent hours with one of the victims, or that he knew about the girls. I mean, these are things that should bother us.
The White House says that House Democrats selectively leaked to emails, creating a quote fake narrative. White House Press Secretary Caroline.
Levin this administration has done more with respect to transparency when it comes to Jeffrey Epstein than any administration ever.
In another email, Epstein wrote of Trump, of course he knew about the girls. Epstein was found dead in his jail sale in twenty nineteen. Both Republicans and Democrats in Congress have pushed for more information, pitting President Trump against members of his own party. Representative Thomas Massey of Kentucky, Lauren Bobart of Colorado, Marjorie Taylor Green of Georgia, and Nancy Mace of South Carolina have said they will join with Democrats to force a vote for the DOJ to
release all Epstein files. The emails also revealed that former US Treasury Secretary Larry Summers wrote to Epstein complaining about what he characterized as harsh treatment of an unnamed man who hit on a few women. Somers is a paid contributor to Bloomberg TV. In the Your Income, John Tucker Bloomberg.
Radio, All right, John, thank you. We now turn to a Bloomberg exclusive. Ukraine's President Vladimir Zelenski says his country survival rests on new funding from allies. The Ukrainian leader Tom Bloomberg's Oliver Krook, European officials need to overcome their divisions on the use of frozen Russian assets.
They understand that we need their support and if I hope God bless, we will get this decision. But they will not have this decision. Of course, we together will find out. We have to find our torment is the question of all. We're surviving, that's why we need it very much, and I count on partners.
And Ukraine's presidents. E went on to say Russia's Vladimir Putin had waged a deliberate campaign of intimidation against Europe with recent incursions by drones and fighter jets into NATO airspace.
Another geopolitical development this morning, Karen Chinese President Shi Jinping is joining President Trump in skipping this month's G twenty summit in South Africa. Instead, China will send Premier Lee Chiang. She's decision means the summit will lack the leaders of the world's two largest economies, along with fellow member Russia.
Bloomberg News has learned the European Union is set to propose a plan to the US NATHAN that would implement the next phase of the trade agreement the two sides reached this summer. The deal set of fifteen percent tariff on most but not all EU goods entering the US. Sources of the plan would focus on areas including tariffs and market access standards, digital trade, technical barriers, and cooperation on steel and aluminum.
Well back here in the US, Karen futures have moved mostly lower now following another record close for the Dow Jones Industrial average. Bloomberg Markets reporter Valerie Titel says the end of the government shutdown has boosted sentiment.
This government shutdown coming to an end has been positive for the equity market.
Take a look at S.
And P futures this week, we're essentially on track for the best week in three months. Gold is up six percent in the last five sessions, and a lot of this can be tied to the fact that the Treasury is going to be resuming their payments, and essentially that is releasing liquidity back into the economy that had been built up in treasury cash balances over the last forty three days.
That's Bloomberg's Svalary Titel and checking gold. This morning, it's up another six tenths of one percent, trading at forty two to thirty seven to ten per ounce.
Shares of Cisco are higher. They are up more than six and a half percent this morning. The largest maker of machines that run computer networks and the Internet gave an upbeat sales forecast. It's showing progress and its effort to capture more artificial intelligence spending. Wu Jinho cover Cisco for Bloomberg Intelligence.
They're playing both the enterprise side as well as on the AI data center side. They provide the high speed optics, but they also provide the chips to help enable scale cross and scale out AI networking. But they've partnered with Nvidia. They will be using Nvidia ironically and Vidia chips in their boxes, so Nvidia has an entry away to the enterprise where Cisco excels in.
And Bloomberg Intelligence is Woujen host as Cisco increased its twenty twenty six forecast, exceeding Wall Street estimates. Cisco now expects sales of as much as sixty one billion dollars.
And Karen the earnings continue this morning when the world's biggest entertainment company reports ahead of the opening bell. Bloomberg's Tom Busby has more and what to expect from Walt Disney.
A big concern for Disney subscriber growth at its various streaming video services like Disney Plus, ESPN Plus and Hulu. That's after a lot of customers canceled those services when the company briefly suspended Jimmy Kimmel and over the content feed dispute it's having right now with YouTube TV, but with its cash cal theme Parks expected to deliver another
quarter of blowout profits. Bloomberg consensus calls for revenue of twenty two point eight three billion dollars on adjusted earnings per share of a dollar seven.
Tom Busby Bloomberg Radio.
All right, Tom, thank you. A new line of Cheetos and Dorrito's won't leave anyone's fingers. Orange PepsiCo is introducing naked versions of its popular snacks that strip out artificial does as part of its push to boost healthier options. The offerings, marketed as simply Naked spelled NKD, do not have any added colors. PepsiCo says the snacks are designed to taste the same as the original, but with a novel appearance that the company is betting will interest consumers.
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 Bloomberg's Michael Barr. Michael, good Morning, Good morning, Karen.
California Governor Gavin Newsom's former chief of staff has been indicted in a corruption case. Federal prosecutors say Dana Williamson allegedly inspired to divert about two hundred and twenty five thousand dollars from a dormant political campaign for an associate's personal use. Williamson is also accused of claiming more than
a million dollars in business deductions for private use. The White House is responding after President Trump said that he was open to using the revenue he claims the US as collective from tariffs to send Americans a two thousand dollars check. There are questions as to who would ultimately receive these checks, and whether there is enough tariff money to do it. White House Press Secretary of Caroline Lovett.
We are currently exploring all legal options to get that done. I don't have a timeline for you or any further details, but I can confirm for you that the President made it clear he wants to make it happen, and so his team of economic advisors are looking into it.
A federal judge is sent to hear arguments over motions brought by former FBI Director James Comey and New York Attorney General Letitia James against the US Attorney for the Eastern District, Lindsay Halligan, who has indicted both of them. They claim that Halligan, President Trump's former personal lawyer, was not properly appointed to her position. A Baltimore police officer has been indicted. Robert Parks is accused of intentionally driving
his vehicle at a civilian while on duty. Maryland State Attorney Ivan Bates says Parks now faces chargers including attempted murder.
If found guilty of all charges, Officer Parks faces a maximum sentence of sixty five years of incarceration. There is no maximum penalty for misconduct.
In office.
State Attorney Bates says after Parks struck a man in a grassy area, he allegedly tried to hit the man two more times with his car. Global News twenty four hours a day and whenever you want it with the Bloomberg News Now Michael Barr and this is Bloomberg Karen. Thanks Michael.
A time now for our Bloomberg Sports Update, and for that we bring in John stash.
Hour as Darren NBA Stars with Big Games, denvers Na Kola Joki. It's fifty point does the Nuggets beat the Clippers and in Golden States win at San Antonio. Steph Curry went for forty six. Oklahoma City defended NBA champs are now twelve and one this year. Thunder up by thirty two at halftime in a blowout win over the Lakers. Jetson Patriots played tonight in New England. The Patriots have won seven in a row. Cy Young Award winners Paul Skeins of the Pirates, Trek Scubel the Tigers.
That's a 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. After a divided vote in the House and a wave of the pen at the White House, the federal government is back open for business. President Trump has signed the bill to end the longest US government shutdown ever at forty three days, but not without a dig at Democrats.
The extremists in the other party insisted on creating the longest government shut down in American history, and they did it purely for political reason.
That was President Trump at an Oval Office signing ceremony heard live on Bloomberg Radio this morning. Were joined by Tina Fordham, founder of Fordham Global Foresight. Tina, it's great to have you back with us now that the government is back open. What did either side gain by keeping it shut down for so long?
Good morning, Good morning.
I'd like to give you a really deeply insightful answer to that, but I'm really scratching my head on this. It feels like a delay that resulted in very little political gain for either side. The political calculus for Democrats and having held out so long and then reopening an exchange for seemingly nothing is a great surprise. But there will be collateral damage from the shutdown, and of course, of course, you know we're heading straight into the next crisis on the back of this.
That crisis I think you're probably alluding to being the expiration of the.
Health insurance subsidies. Is that what you're getting at? Well, No, but.
That is of course a huge importance to the American people, and it's going to be a major issue for all members of Congress. I'm thinking about the expiration on the part of Justice releasing the Epstein files. I think that is a crisis for the White House.
Okay, yeah, well let's get into that. Then, as you mentioned, we had the discharge petition officially signed. Now, of course we've had ahead of that the release of tens of thousands of documents, some of which the Democrats have highlighted showing potentially President Trump's links with Epstein.
How do you see this playing out?
It's not the sort of topic that, as a a geopli strategist I would normally offer a view on, but I think that it's relevant for three reasons. First of all, the end of the shutdown means that these files can be released. It's something that the White House has wanted to avoid. The collateral damage from the Epstein case is popping up everywhere in terms of what it means for
the White House agenda. Clearly, this is going to dominate the news cycle and distract from the White House priorities, and coming on the back of last week's off year election results where we started to see evidence of some pushback on the Trump agenda. In addition to what this is doing to challenge the president's approval ratings and support for Republicans as we enter this twelve month period head
of midterms. What really struck me about the petition was I think this is the first time that some of the Republican Party faithful in Congress refused to comply with a direct entreaty from the White House, and that to me is significant.
Does that point to a broader split then between the President and his own base at a time where we've seen evidence of splits in the Democratic Party as well?
In terms of how the shutdown was.
Handled, I think that's where I'm getting to with this. I mean, we really didn't have enough data points, if you like, before last week's elections to get a sense of where the American people were. Of course, we see the approval ratings being at historic lows, but let's always remember that Democrats as a party haven't benefited to very
much from that fact. But if Trump starts to lose the pretty ironclad support that he's had from his party in Congress, and that is coupled with the American people's frustration with the cost of living crisis in these other matters, then that really signals a challenge ahead in the next twelve months for the White House.
Yeah, it's interesting at a time when, you know, coming out of last week's elections where Democrats really seem to focus on affordability, if the focus does turn to Jeffrey Epstein, what could that mean politically? Is there a risk that things could go too far? We have about a minute left.
In very complex times, I think there's always the risk that is story like this, which seems easier to understand than the complexities of inflation and trade, for example, just takes so it becomes quite a challenge to deal with. There's also foreign policy angle, which is surprising the emails released talking about you know, tell the Russian foreign Minister Sergei Lavrov to talk to me. I can tell you
how to work with Trump. I mean, those kinds of developments could really widen this challenge for the White House at a moment when that's the last thing they want to have happen.
This is Bloomberg Daybreak, your morning podcast on the stories making news from Wall Street to Washington and beyond.
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