Bloomberg Audio Studios, Podcasts, Radio News.
Good morning, I'm Nathan Hager and I'm Alexis Christophers. Here are the stories we're following today, alex As, we begin with the latest from the Middle East. After threatening new attacks on Iran, President Trump now says he's close to a deal to end the war.
We just made a great settlement of the war with the red and we're going to be a subject to finalization of documents. We should get done over the next few days.
President Trump made that announcement in an Oval Office event, but just this morning, Iran's semi official news agency mayor says the US and Iran are negotiating a potential agreement. We get details from Bloomberg Middle East correspondent to Birabu Omar in Dubai.
It's still unclear to us if that MoU Iran or the Iranian media is reporting about is one that matches what President Trump had suggested, and look, some of the most important provisions there include what Iran says, a permanent and immediate cessation of hostilities on all fronts, including in
Lebanon and Lebanon is a sticking point for Iran. Full lifting of the naval blockade and the Strait of Her Moves within thirty days, a commitment by the US to withdraw its forces, reopening of the Strait of Her Moves, suspension of sanctions on oil sales, and a lifting of the blocked twenty four billion dollars of frozen assets by the United States.
Those are Iranian frozen.
Assets, and an affirmation of Iran's commitment not to develop nuclear weapons.
Bloomberg's Abirabo Almar reports Iron says final negotiations won't begin until half of its frozen assets are released, oil sanctions are suspended, and the naval blockade is lifted, and Nathan.
We now move to the biggest initial public offering of all time. SpaceX has raised seventy five billion dollars in the IPO, pricing more than five hundred and fifty five mills million shares at one hundred and thirty five dollars a piece at the IPO price, elon Musk's rocket, satellite and ai company as a market value of about one point eight trillion dollars. Alexis o'hanian is the founder of Reddit.
This feels like a milestone moment.
This was an investment thesis that was unthinkable a decade ago for most investors, and I think now people are coming to grips with the fact that space technology is really here. What would have been science fiction US maybe ten years ago is now science fact.
Reddit founder Alex o'hanian there. The company will debut on Nasdaq under the symbol spc X.
And alexis The IPOs drawn demand for more than four times available shares. Elon Musk's fan base in the retail trading community has placed more than one hundred billion dollars in orders for the stock. Musk will control eighty four percent of the voting power after the IPO. Neil Minnow is vice chairman at Value Edge Advisors. Elon Musk has appointed himself CEO for life.
He has all the voting control.
He has basically built a moat with alligators.
Around himself, and that's not good for shareholders.
That's a Value Edge Advisor's vice chair Now Minnow now SpaceX's governance policies in sher Musk is effectively able to choose board members, and that would mean only he could remove himself as CEO.
And Nathan Musk's personal wealth will sort of new heights after this SpaceX ipo. Blas Penn's is deputy managing editor for Bloomberg.
There is a really, really real chance that he will be the first trillionaire in the world in the not too distance future, depending on how the stock does on the market. One of the positives of this IPO was the sort of intertwined, interconnected nature of Elo Musk's empire, where you take when you think about X Test Law, SpaceX, Borging Company, all these companies have cross ownerships, they do business with each other. There's a very kind of concluded structure.
For some people, that's a huge bus because Elo Musk sits at the center of everything, and they believe in Elon Musk. They believe in his and they believe that he can drive more value out of these companies.
S Bloomberg's deputy managing editor, Blast Pens. He says shadow markets are pricing of SpaceX stock debut with a potential pomp of at least thirty five percent. Turning to Washington now, and President Trump is nominating j Clayton to be the next Director of National Intelligence. Bloomberg's Amy Morris reports from the nation's capital. Jay Clayton has been serving as the top Federal prosecutor in Manhattan and was chairman of the
Securities in Exchange Commission during Trump's first term. The cabinet position oversees and coordinates eighteen US intelligence agencies. President Trump Jay Clayton's an incredible talent.
Head of celigant Cromwell. He was head of the secs Now Southern District. I mean, nobody has better credential, but Bill will run for Shure. Well, He's done a fantastic job.
Trump's nomination of Clayton comes hours after the House failed to pass an extension of the Foreign Intelligence Surveillance Act, part of pushback over Trump's selection of Bill Poulty to serve best acting Director of National Intelligence in Washington anymore, as Bloomberg Radio, all right.
Thanks Amy, and back here in New York. There was still a buzz in the air over the dramatic and historic comeback win by the Knicks, and now fans are possibly just one day away from something they haven't experienced in more than half a century. Bloomberg sports reporter Randall Williams has more on the Knicks quest for an NBA championship.
The Knicks haven't won a championship since nineteen seventy three. They haven't even been back to the finals since nineteen ninety nine, where they played the Spurs in that same series. So this series in game four was revenge for not only the Knicks themselves, but for fans. And you have to think about it. James Dolan, the Knicks owner, was talking a lot of smack before the game even began,
saying that he guarantee you to win. I wonder what he was thinking when they were down twenty nine, but evidently one of the most miraculous comebacks that I've ever seen. A truly incredible result, Randal.
This was an absolutely epic game and one I'm going to say we're going to be talking about forever.
I think that og Annubi is absolutely cemented in Nick's history. Just for the last two plays of the game, you have to think about Dearon Fox. This loose ball goes skirting across the floor, Dearon Fox picks it up. All you have to do is dribble. The clockoffs. He goes up for a layup, it's blocked by Og. The next possession, Og comes down, Jalen Brunson misses a shot.
OG tips it.
In those two plays back to back, you could argue are the most clutch plays for the Knicks over the last fifty years.
Yeah, og an instant legend for the next Now you can hear more of Bloomberg sports reporter Randa Williams on the Bloomberg Business of Sports podcast. New episodes drop Fridays at noon. Get it wherever you download podcasts, and always at Bloomberg dot com.
Yeah, one more way we can ride the Nicks euphoria, because it is riding high in New York City. Alexis and Bloomberg's John Tucker joins us with more on that end of the story.
John, Good morning, Nathan. So how do you possibly top Game four, the.
Greenest come back and ahead the playoff history?
How about a Game five?
When?
But that's insane? Anton. Anyway, everybody's excited. We don't quit. No, wait, do that quit?
Come on the next Baby Nix five, Baby and the guy behind the ultimate tip og and anwby.
Everyone's pretty excited.
I'm excited, to trust me, he's excited. And then there's the knickswag. Fans have been snapping it up, whether at the NBA store in Midtown or from street vendors with suspect gear and this incredible ron has been a bonanza for Bars. A word to the wise from Noel Donovan at Bloom's Tavern on how to get in on game night.
My advice is get to know your local bartenders and be.
Friends of him well Z Bars is selling Blue and Orange cookies, Tompkins Square, Begel's selling the Bruns and Bodega Bengels Sandwich, Tall Poppy, and Chelsea has Nick's Cinnamon rolls, Nicks Fever.
Catch it in New York coome John Tucker Bloomberg Radio.
I'm gonna get me some Nick Cinnamon rolls. Oh sound good?
All right?
Thanks a lot, John, The Nickson out the only thing red hot. The heat is on once again up and down the East Coast. The extreme weather has the Trump Administration declaring a power emergency for the southeast. Duke Energy asked for the emergency order with temperatures set to hit up to one hundred one degrees in parts of the Carolinas. The order allows power plans to run at maximum output and go pass some air pollution limits to meet soaring AC demand. It's an effect through tonight.
Well.
Turning to markets now, Alexis futures are moving higher as details emerge about the draft US run deal. Stocks rallied yesterday with all three indexes gaining at least one point eight percent, and oil continues to drop on optimism the war is nearing an end. West Texas Intermediate It's down four point four percent trading Shive eighty four dollars a barrel. Brent's well below ninety now at eighty six point fifty three. That's the drop of four and a quarter percent, and.
Nathan shares of Adobe are down more than four and a half percent here in early trading. The software company is looking for new leadership. Adobe says chief financial officer Dan Dern will leave the company next week. That adds further executive turnover at the company after it's CEO said in March he would step down once his successor had been appointed. 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 bar Good morning, Michael.
Good morning.
Alexis hot weather, as you mentioned, will settled over New York and the US Northeast through the end of the week. Bloomberg Media Religius Craig Allen has the latest.
The eastern two thirds of the nation will have to endure another day of heat and oppressive humidity. Temperatures up to fifteen to twenty degrees above average means nineties and a heat index over one hundred for Washington to New York City into New England, just Inland from the harbor around Boston, and with FIFA World Cup Games and the request to take mass transit, there is concern for Amtrak and commuter trains because of heat on the tracks and
overhead power lines. Then a few strong thunderstorms to close out today, followed by a brief reduction in temperature and humidity for Saturday.
Bloomberg Media religious Greig Allen.
Security will be strict this weekend when Soccer's World Cup matches start in the US. John Cohn, senior expert on global threats for the ARGO National Laboratory, has some advice for fans heading to the events.
I would dramatically reduce what you carry to these events. Some of these events will have no bag policy, so if you show up with a purse or a bag, you may not be let in with that those items. Expect long lines, expect road closures.
John Cohne with the Argo National Laboratory spoke to ABC. President Donald Trump's board at the Kennedy Center is trying to keep his name on the building before a court ordered deadline to remove it by today. The board voted Thursday to seek a stay of a judge's ruling that Donald Trump's name was illegally added. Global News twenty four hours a day and whenever you want it with Bloomberg News Now Michael Barr and this is Bloomberg Alexis.
Well, thanks Michael. Time now for our Bloomberg Sports up, and for that we bring in John stash Hour.
Game Foundlous Stanley Cup Final in Raleigh in Vegas scored first, but Carolina scored the next four Andre Stetchikov scoring twice, both on the power play. The Hurricanes beat the Golden Knights four to two and lead the series three to two. So history in the WNBA Indiana Beachicago with overtime at Kate Laclark scored thirty two points with tennis sis, her teammate of Leah Boston scored thirty four with twelve rebounds, first time ever teammates with over thirty points and a
double double. Mexico and South Korea one in the World Cup. That's a Bloomberg Sports update.
Stay with us.
More from Bloomberg Daybreak 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 on Nathan Hager.
Markets are building on hopes for an interim peace deal between the US and Iran, hours after President Trump threatened to strike Tehran for a third straight day. But now the President says a deal is close and for more. We're joined from Dubai by Bloomberg Middle East correspondent Abir Abu almar Abir. What do we know about this potential interim deal? Good morning, Good morning, Nathan.
So look, yes, what you mentioned about President Trump saying that a deal is as imminent as this weekend in Europe. It will be signed with the presidence of Vice President JD. Vance. Now, the market has reacted to that news because it was filled with some positive at your sense of this time around is different. But perhaps the market is reacting even more positively to news that emerged about forty five minutes ago.
With Iran's semi official news agency Meyher, saying that the negotiations or the potential agreement that is underway is being reviewed and finalized by authorities into Ihran. So according to this semi official news agency, Iran has issued a draft with fourteen provisions. According to it, they're citing a person that is closed to the negotiations, and those fourteen provisions include some of the concessions that we've been talking about
over the past couple of months. That includes a permanent and immediate station of hostilities on all fronts, including in Lebanon. Remember Lebanon was a key sticking point for Iran. That also includes a full lifting of the naval blockade within thirty days, a US commitment to withdraw forces from areas around Tehran, the unblocking of the twenty four billion dollars
of frozen assets, and the lifting of oil sanctions. The report goes on to say that the final agreement, which focus exclusively on the fate of the highly enriched uranium, something that President Trump has been calling for, and sanctions relief, as well as the reconstruction of Iran economically because of the damage that it has suffered due to this war.
Now.
Just very important caveat here is that this is still all subject to final approvals by the negotiating team the Iranian government, and we're still waiting for some official statements from people that we have monitored in the past as official outlets for Iran, that includes the Foreign Minister, the Speaker of the Parliament, and the president himself. But for now we're seemingly getting these positive sentiment filled news from
the Iranian side. You're seeing Brent crude price is really reacting to this report that just came out about again forty minutes ago, down about five percent, I believe, just above eighty dollars, levels we haven't seen in a while.
In terms of the parameters that have been laid out in these semi official Iranian news reports, how do they square with what we've been hearing on the US side in terms of when the strait could reopen and what happens with Iran's frozen assets.
Right, So that's the other caveat right. We also don't know if this statement that came out from Meher is in line with the MoU that President Trump passed outed yesterday. So President Trump hassed out it yesterday that the MoU that is underway that is imminent, according to him, will address the reopening, the immediate reopening of the Strait of Her Moves, and it will address Iran's nuclear program. Those
are the two things that he has mentioned. But according to the statement that we're getting from Iran, it really falls into Iran's favor because we're seeing that Iran is saying that the negotiations for a final ceasefire or the final deal are not going to go through until the unblocking of half of the twenty four billion dollars in frozen acids goes through, and so President Trump has opposed that in the past. Iran Hawks and Washington have opposed
that in the past, adding pressure on President Trump. We're also seeing the lifting of the oil sanctions, yet another thing that Washington is opposed to. So this whole deal seems to be playing very much into Iran's favor, and that is why I added those caveats, because we're still waiting to see what the US responds to this deal is and whether it's in fact what they have been discussing, or whether we're back to this back and forth rhetoric
between the warring parties. Israel Nathan, and I may add is another sticking point here because Israel earlier this morning said that it wasn't privy to the Molu that President Trump had touted yesterday. And so Israel continues its incursion in Lebanon, and so we're still getting some of that conflicting or some of those conflicting statements from all parties because Iran is saying all hostilities ending, including in Lebanon.
Israel continues its incursion in Lebanon. So we'll have to wait and see if that is in fact addressed, and that over the next twenty four to forty eight hours and into Sunday. As you have mentioned the G seven aspect there, those will be important hours for.
Us to watch.
I really appreciate you coming on to give us the latest breaking details on this as we continue to watch them emerge. That's Bloomberg Middle East correspondent Abir abu Omar joining us this morning from Dubai. We want to turn now to one of our other major top stories. It
is history Made on Wall Street. SpaceX is officially the world's biggest initial public offering, raising seventy five billion dollars on a one hundred and thirty five dollars a share, more than a half a billion shares offered, putting Elon Musk now on the verge of becoming the world's first trillionaire.
So many superlatives.
Dan Ives is Global head of Tech Research at Wedbush Securities.
Anyone that's owning SpaceX, you're buying it for the Musk factor, and maybe that bet against Tessela and Musk going back a decade ago.
That was I mean, that was proven historically wrong.
I was Whdbush analyst Dan Ives for more were joined by Bloomberg News senior reporter Bailey Lipschultz, and it has to be said, Bailey, so much of this really is driven by the retail excitement around Elon Musk. Is that really what's underpinning you know, just what I was talking about, so many of the superlatives surrounding this spacexipl good morning, Good.
Morning, Nathan. I think that's a big driver.
And when you talk to folks around the company, there's a view of SpaceX, much like Tesla, that the retail investor understands these companies better, or at least is willing to give Elon Musk more credit, more grace than most institutional investors. But that's not to say that this wasn't a deal that was heavily heavily bid up and chased by institutions. We reported that a number of firms put in orders for more than ten billion dollars worth of shares.
We put an put out news that Blackrock indicated an interest of at least five billion dollars. Number of sovereign wealth funds and pension funds also seemingly trying to get their hands on as much as they could.
So it is a retail story.
Retail is a big component, but when you look at a deal that comes together that raises seventy five billion dollars, it's hard to do that without institutional investors.
So certainly a mix.
Of the two.
I think we'd I had some reporting as well that there was more interest on the retail side than there were even shares available. What does that mean for you know, some of these mom and pops or even some of the institutional investors who who could be left out in the cold after this IPO.
There's a lot of excitement, and I think that was a big question going into the pricing and throughout this entire process. Somewhere between twenty and thirty percent of the shares being sold to retail investors. What does that mean called fifteen to twenty billion dollars of stock is taken away from institutional investors. From the company's perspective, and Elon has been a long kind of vocal supporter of retail, that makes sense. Get your loyal investors some shares in
their accounts and let them want to chase more. From the institutional side, it can be kind of upsetting because maybe you put in an order that was quite large and you're getting, you know, one tenth one twentieth of what you thought you were going to get. So when you look at kind of how this deal came together, I think the big question is when we do see the stock open up, how much excitement is coming from retail to your perspective, your point, and how much is
coming from institutions. Because IPOs can be quite volatile. We've seen that a number of times. Where this thing opens, I think is really anyone's guests. So it's going to be fascinating to watch, Well.
What are we expecting when it comes to these shares coming to market when the market opens this morning. How much volatility could we see around space AX a.
Lot of volatility.
I think that's a foregone conclusion just for folks who have never traded an IPO.
It won't open at nine point thirty.
We'll start to probably get indications of where it could open in the ten o'clock hour. This is a process that is expected to take probably until one or two o'clock before even the first trade takes place. So we will see a number of headlines coming across the screen of these indications. But the thing to keep in mind
that there are no shares trading at the indications. That's simple where Nasdak and some of the other the bankers are seeing and flashing potential demand, but you could see potentially astronomical numbers that are going to make people jump to foreground conclusions when it actually doesn't mean anything quite yet.
We heard from Dan Ives a few minutes ago saying that historically, people who've bet against Elon Musk have been left in the cold. We've also heard from short sellers the likes of Jim Chenos saying that this IPO is built on hopes and dreams. Can you sort of lay out the bull and bear cases for this company?
Bailey boll case is quite simply, we have a colony on Mars, and as Elon said in his interview with Jamie Diamond, maybe there are hotels on the Moon, and everyone who is using AI is likely a client in some capacity from their data centers here on Earth Day of the partnerships with Anthropic and Google, or using their data centers that are in space, or are also using Grock their own AI bot that would compete with Claude
and chat GPT. So the bull case is, there's a lot of potential for this company.
There are a lot of hopes and dreams.
They laid out a total addressable market north of twenty five trillion dollars, a lot of that driven by AI, and that's the bullpitch. The barecase is it's a company that is going public or sold chairs. I guess at one point eight trillion dollar valuation, it's one of the largest companies in the world. It does not generate a profit. It lost a heck of a lot of money in the first quarter. Elon Muskus says he wants compared the
company's ambitions to Union Pacific. Building out the railroad space is very complex and if the company can't be successful building out some of those ambitions.
That's the bullcap or bearcase. Excuse me.
This is Bloomberg Daybreak, your morning podcast on the stories making news from Wall Street to Washington and beyond.
Looks for us on your podcast feed by six am Eastern each morning, on Apple, Spotify, or manywhere else you listen.
You can also listen live each morning starting at five am Wall Street Time on Bloomberg eleventh three to zero in New York, Bloomberg ninety nine to one in Washington, Bloomberg ninety two nine in Boston, and nationwide on Sirius XM Channel one twenty one.
Plus listen coast to coast on the Bloomberg Business app now with Apple CarPlay and Android auto interfaces.
And don't forget to subscribe to Bloomberg News Now. It's the latest news whenever you want it in five minutes or less. Search Bloomberg News Now on your favorite podcast platform to stay informed all day law I'm Alexis Christophers.
And I'm Nathan Hager. Join us again tomorrow morning for all the news you need to start your day right here on Bloomberg Day Brand