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Good morning, I'm Nathan Hager and.
I'm Karen Moscow. Here are the stories we're following today.
Karen, we begin with the unprecedented, historic moment in American politics. Donald Trump has been found guilty in the first criminal trial of a former US president in the nation's history. Five months before this year's presidential election, twelve New York jurors found Trump guilty on all thirty four counts of falsifying business records to conceal a hush money payment to adult film actress Stormy Daniels ahead of the twenty sixteen election.
Prosecutors argued it was a conspiracy that deprived voters of vital information before they cast their votes. In twenty sixteen, Trump spoke after the verdict came down, this was a.
Rigged, disgraceful trial that the real verdict is going to be November fifth.
By the people.
And Donald Trump criticized Manhattan District Attorney Alvin Bragg, who led the charges.
You have a so.
Respect DA and the whole thing. We didn't do any thing wrong.
I'm a very innocent man.
And now former President Donald Trump is due for sentencing on July eleventh, after which he plans to appeal.
Well Nathan Manhattan dished Attorney Alvin Bragg also spoke after the verdict, saying his office handled in this case like any other.
Well, this defendant may be unlike any other in American history. We arrived at this trial and ultimately today at this verdict in the same manner as every other case that comes to the courtroom doors.
Manhattan DA Alvin Bragg called the case a white collar prosecution core to the mission of his office. Bragg thanked the jury for their deliberations after the five week trial.
Well Karen.
One of the key questions following the verdict is whether or not Donald Trump will become the first US president sentenced to prison. Ramifications are unclear at the moment, but Bloomberg Law host June Grosso explains the likely next steps.
Donald Trump will be sentenced on July eleventh. Each of the thirty four counts is a Class E felony, which can carry a prison term of up to four years. A typical defendant convicted of a felony charged is sentenced to serve some prison time, but there's nothing in the law that requires it. Judge Wanmershan could instead sentence Trump to probation, especially if he decides that leniency is warranted because the former president is seventy seven years old and
a first time offender with no criminal record. In New York, June Grosso Bloomberg Radio, all right.
June, thank you. So, how will the conviction impact Donald Trump's presidential run? Republican strategist Man Gorman tells Bloomberg's Balance of Power things will stay status quo.
It's gonna be a typical Trump news cycle in this respect that there's gonna be a lot of noise. I don't think at the end it changes anything back dramatic. This is going to be competitive presidential election at today, it'll be tomorrow it.
Was yesterday, Republican strategist Matt Gorman. And on the other side of the aisle, Democratic strategist Kristin Hahn says President Biden needs to capitalize on the convictions.
Still going to be a tight race, but President Trump has laid the groundwork here. I think it's going to be up to the Biden campaign to figure out where and when they need to push back on this now that he's finally been convicted.
Because it really is a huge deal.
Democratic strategist Kristin Hahn added that Democrats need to focus on fundraising between now and the conventions.
Well, Karen, President Biden's twenty twenty four campaign has already put out fundraising appeals following the verdict. Then it released a statement in response saying it showed no one is above the law, adding that quote, there is still only one way to keep Donald Trump out of the Oval office at the ballot box, Nathan.
We also heard from Trump and Biden's political rival, Independent presidential candidate Robert F.
Kennedy Junior.
He told it crowdon Austin last night, the outcome will actually benefit the former president.
My belief that it will end up helping President Trump among America a large part of American public.
Who believes that.
The judicial system and the enforcement system have been weaponized.
Independent Robert F. Kennedy Junior also called the verdict amos steak that will politically backfire on Democrats and Karen.
We continue to watch the political fallout in the nation's capital. We get that part of the story from Bloomberg's Amy Morris.
In Washington.
The Biden Harris campaign released a statement saying, quote, we saw that no one is above the law. House Speaker Mike Johnson posted on x that quote. Today is a shameful day in American history. Bloomberg's Megan Scully says, lawmakers on Capitol Hill are all in campaign mode, and this guilty verdict is a factor.
We have tons of legislation coming to the floor that are messaging votes, things that are never going.
To become law, but that are good.
For their candidates to vote on. And I think that there will certainly be some messaging legislation targeted at supporting Donald Trump.
Bloomberg's Megan's Gully on Bloomberg's balance of power in Washington. Amy Morris, Bloomberg Radio.
All right, Amy, thank you well. We do also have some important news in the markets today. All eyes are on a key data point. It's at an eight thirty am Wall Street time. The PCE deflator, the Fed's preferred inflation gauge, and Bloomberg's Michael McKee has a preview for the Fed.
PCE inflation is the number. They're two percent inflation target is based on the PCE. The good news is this measure of inflation is expected to tick down at least on a year over year basis, suggesting the central Bank is still making progress on its goal. Some analysts think the core rate could even come in lower month over month, which might lead to a strong market reaction. What it
won't do up or down is change forecasts. For the fed's next meeting on June twelfth, Policymakers have made it clear they'll need more than one good report to start considering any change in rates. Michael McKee, Bloomberg Radio.
Mike, thank you.
We are all so following more Fed speak, this time from New York President John Williams. He says inflation is headed in the right direction. More in this report from Bloomberg's John Tucker, John and.
Nate Williams telling the Economic Club of New York Hey expects inflation to continue falling in the second half of this year and that higher borrowing costs are restraining the economy just the way they want.
The behavior of the economy of the past year provides ample evidence that MANTE policy is restrictive in a way that helps achieve our goals. We're seeing clear and consistent signs of the imbalances between supply and demand in the economy are receiving and we've seen a broad based declient in inflation.
Williams can't say winning support a rate cut and that any rate increases unlikely. He sees inflation as measured by the PCEE Price Index, falling to about two and a half percent by year and before moving closer to their two percent target next year. I'm John Tucker, Bloomberg Radio.
All right, John, thank you, and again repeating our top story of the morning. Donald Trump is the first US president to be found guilty in a criminal trial. We will have coverage for you of this historic moment in American politics. All morning, long.
Time now for look at some of the other stories making news in New York and around the world. And for that we're joined by Bloomberg. So Michael Barr, Michael, good morning.
Good morning, Karen. Local reaction continues to come in after former President Donald Trump was found guilty on all thirty four counts in his hush money trial. People outside the Manhattan court House had mixed views.
It just seems to me like the fix was in, that they were out to get Trump. But I think he's going to get more popular with the American people.
I am feeling emotional because I have six grandchildren and I want the United States to be for them what it was for me, which you know is a baby boomer, which is growing up with presidents that you can admire and feel safe with and look up to.
Democratic Governor Kathy Okles said in a statement, Today's verdict reaffirms that no one is above the law. Republican Representative Nicole Meliatakis, who represents New York's eleventh congressional districts, at in a statement, Today's verdict is a complete but sadly unsurprising miscarriage of justice. In Connecticut, flags are being flown at half staff after a state trooper was killed by a hit and run driver on Interstate eighty four yesterday afternoon.
Trooper Aaron Pellieteer was performing a traffic stop when police say another vehicle crossed into the right shoulder, striking and killing Pellioteer. That driver later taken into custody after their vehicle became disabled. Connecticut State Police Colonel Daniel Lackman, he.
Was a role model to younger troopers, and he set a high standard for them to follow, but he was much more than that.
Aaron was a loving husband and a father of two young children.
Lieutenant Governor Susan Biswitz.
He was trying to reduce highway crashes and fatalities when he died.
So far, charges against the driver who hit Trooper Pelletier have not been revealed. A Minnesota police officer was killed when he responded to a shooting call and was providing medical attention to a man who shot him in what authorities are calling an ambush. Minneapolis Assistant Police Chief Katie Blackwell, this.
Has been a terrible day for our agency and in law enforcement, and it's happening all too.
Frequently, and it affects so many.
The suspected gunmen and another person were also killed in the shooting. Truckers have joined in the fight against congestion pricing in Manhattan. The Trucking Association of New York file to federal lawsuit against the MTA. They argue the toll plan unconstitutionally targets the trucking industry. Under the MTA plan, set to start in late June, trucks will be charged between twenty four to thirty six dollars per trip. Drivers
or passenger cars will pay about fifteen dollars. Global News twenty four hours a day, and when you want it with the Bloomberg News Now, Michael Barn, This is Bloomberg Karen.
All right, Michael Barr, thank you time now for the Bloomberg Sports Update with John stash Hour.
John, Good morning, A right, Good morning Karen.
Now they're close one between the Rangers and Panthers after three straight overtime games, scoreless first period in Game five of the Garden, Chris Crider got his first goal of the series, I short handed breakaway two minutes into the second. Panthers tied it, took the lead midway through the third. They added an empty netter. Alexis La Frontier scored in the final minute, but Florida won three to two and now leading the series three to two.
The Rangers coach is Peter Lobolette.
Wasn't going to be wide open and we were going to have forty chances a night, so we need to capitalize on some of the ones that we did generate, and you know, we were unable to do that tonight. It was like I said, it was, it was tight. The game was tight. I thought we had looks. I thought we had chances. They didn't go in. It came down to.
One goal Game six tomorrow and South order. The NBA Finals are set Boston against Dallas. The Celtics top seeds in the East, the MAVs with a five seed in the West. They dismantled Minnesota in Game five one twenty four to one oh three. Wasn't that close. Maps shot sixty one percent, led by twenty nine had halftime. Both Luca Donson's and Kyrie Irving scored thirty six points. It's the MAVs first trip of the Finals since winning the
championship in twenty eleven. Yankees moved twenty games over five hundred. At the Angels in Anaheim eight to three, Aaron Judge homerd Yanks broke it open with a five run seventh thitting that included a three run triple by Juan Soto. Much needed win for the Mets after losing fifteen of nineteen. They rallied the top Arizona City Field three to two. Francisco Lindora had four hits, including.
The home run.
J D.
Martinez's homer in the eighth put the Mets ahead. Red Sox held the two hits, lost to Detroit five nothing. Nationals won three to one. In Atlanta, the French Opendovak Djokovic advanced sod the Americans Taylor Fritz and Tommy Paul At the US Women's Open Golf Lancaster. Pia Nelly cord of the big favorites. She's won six of her last seven tournaments, but in opening round eighty because Corda had on the par three third holes, you put it in the water three times.
John staff Shell or Bloomberg Sports.
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 on a morning after a former president and a major party candidate in the next president audential election became a convicted felon for the first time in American history. The guilty verdicts for Donald Trump come with legal and political implications, so let's get right to it. Joining us now, Bloomberg News legal reporter Eric Larson, who was in the Manhattan courthouse as those verdicts came down.
Eric Good Morning, paid a picture for us because listening from the outside, we heard the verdicts come down like Domino's one after the other.
Guilty on count one, two, three, etc.
What was it like inside the courtroom as the jury foreman read out those verdicts.
It was a very solemn moment. There was quite a bit of tension, you know. The former president was there with his entire legal team and many supporters, including his son. The district attorney was there with many of his prosecutors, and of course there was a lot of press passed into that courtroom. The jury filed out, and the jury foreman was asked to stand up and read out the finding for each of the thirty four counts, and he just read out guilty thirty four times in a row.
It was pretty unexpected. Actually, everyone in the court courtroom believed that they were about to be excused for the day around four point thirty in the afternoon, because that's when the jury was supposed to wrap up, and there was no indication they were going to stay late. The judge had everyone gather, said he was about to dismiss the jury, left the courtroom for a few minutes and came back and said, well, actually they have a verdict.
So it was quite a surprise. Trump had a very solemn, you could say, potentially angry look, on his face more so than during most of the trial, and walked out of the courtroom without glancing at anyone anyone, any members of the press, as he had done many times throughout the trial. He just had a stoic look on his face and walked out.
Oh he certainly saw and heard that anger and frustration following the verdict as he came out to address reporters last evening, and he's promising to fight on all the way.
What could that fight look like?
What could the appeals process look like for the former president?
You know, it's an appealed process that can't technically start until he is sentenced. That's on July eleventh, So it's not until he finds out how much time he'll spend in prison, if any not until then will he actually be able to start his appeal. That could drag on for a while.
I've been told by legal experts though, that in many cases, individuals who are convicted for crimes like this are sent to jail if there is a prison term while they appeal.
You know, because the idea being that just because someone is appealing, they shouldn't be able to drag out the consequences of a jury's verdict by simply appealing and dragging that out as long as possible. So it remains to be seen whether or not he would be allowed to remain free during the appeal. It also remains to be seen if the judge will even sentence him to any
time behind bars. Of course, probation is an option. There's no mandatory sentence, and for prison here, the maximum, of course is four years, But experts have said that even if he is sentenced to an incarceory period, that have been nothing near that. Trump is a first time offender here. This isn't a kind of crime that involved traditional types of victims, so the judge has some leeway if he wants to give him a sentence that does not involve time behind bars.
Are we expecting to hear from the jury.
Yeah, that's a million dollar question here. Obviously, the jury was an anonymous jury, very rare, usually reserved for cases involving you know, the mafia, or terrorism cases, something where the jury is in real danger. And the prosecutors argued, and the judge agreed that this jury should be anonymous for their own safety. Given Trump's track record of attacking people involved in the cases against him, and as he
did throughout the case. Of course, Trump was threatened with jail during the trial for violating a gag order multiple times that was intended to protect the safety of the jury and the witnesses. On the judge made it very clear to Trump that if he violated that gag order again he would put him in jail, even if it meant having his Secret Service, you know, in there with him. He said, I will do this, uh, and that that that blocked, that stops Trump from doing that. So you
can see that how serious it was. But on the after the verdict was handed down, the judge told the jury everything all the rules that I've told you about not talking to anyone, you know, including the press or your family, that's all lifted. Now you can do what you want. But you can imagine some of the jurors might be torn here. Some would want to protect their safety, the safety of their families. It's no uh, it's no surprise.
You know.
Trump has a lot of supporters and some of them have resorted in violence in the past, and they're very going to be very upset about this conviction. But there might be other jurors who are willing to take that risk and want to, you know, tell America what they were thinking and when they came to this verdict. Why.
One more thing to watch is we continue to follow the ramifications of these guilty verdicts for the former president. Eric, thank you for this. Eric Larson, legal reporter for Bloomberg News, who was in the courtroom as those verdicts came down. We want to look at the political impact now with Greg Valier joining US now chief US policy strategist at
AGF Investments, Greg, good morning. When I heard those verdicts came down last evening, the image that came to my mind was from actually several years ago when former President Trump was in the White House and he held up the newspaper after he was acquitted an impeachment. Obviously, he's not holding up any newspapers this morning. What are the political impacts of a criminal conviction, a felony conviction for a former president?
Well, good morning, Nathan. We're really in uncharted waters right now. Obviously nothing like this has ever happened in the US, so it may be a few weeks before public opinion shells. Will the public say this is just a witch hunt against Trump, or will the public say we got Trump fatigue. We need to get rid of this guy. So I don't think that the public has really solidified its opinion just yet.
Well, we did get some snap polls from you gov moments after the verdicts came down. Whether Trump got a fair trial yes by ten points. Whether they agree that he's guilty yes by twenty points. Obviously get very different margins when you break it down by party. Could that translate into how Americans vote in November?
It could? And I've been making the point for the last few days that the biggest, next biggest story is on June twenty seventh. That's the first debate between Biden and Trump. I think that's going to be pivotal. If Trump looks rusty and stumbles at all, that could hurt him. If Biden has a gaff which he's been known to do, that could hurt him. I think the rest of the election the tone will be set on June twenty seventh.
I'm so glad you mentioned the debate. It's coming up in less than four weeks, and you have to think that even several weeks after the verdict, this is going to overshadow everything, isn't it.
Yeah, the first debate four years ago got thirteen million people. I think they could get twenty million. This is going to be such a highly anticipated debate, so with twenty million people, there's an opportunity for either candidate to gain a point or two and that could sort of set the tone for the rest of the fault.
How does the political punditry handle something like this when the major party candidate on one side of the aisle is a convicted felon.
Yeah, I know it's awkward for people, but it's worth noting that the Republicans are, in my opinion, extraordinarily well unified. Maybe twenty percent of the Republicans have some doubts, but I think Trump has really strong support in his own party, and I think the overwhelming view is that he hasn't been treated failure.
Core support from core voters obviously, and we've seen Republican elected officials pretty much all in all lineup behind not just supporting the president, but adopting a lot of his rhetoric about the rigged nature as the former president puts it. Of this case, is there a risk for Republicans if they continue to criticize the system that it could backfire on them.
Absolutely, great point, Nathan. I think there are other issues too, like abortions. So I think it's still way premature to write off Joe Biden. I realize he has many flaws and a lot of the issues are broken against him, but I think that Biden still has a shot if the Republicans are playing this incorrectly and just quickly.
How do you see the Biden campaign handling this. We've seen a kind of a tepid statement up to this point. But do you see whether the Biden campaign can sort of shift the advantage that former President Trump has managed to make from pretty much all the legal issues he's had.
Yeah, they can, But my lord, you look at Biden only ahead modestly in New York State. You look at Biden groveling for support among black voters. These are things that a Democrat shouldn't even have to worry about. So Biden still has a lot of ground to make up. But I do think there's a chance that the Republicans could overplay their hand with Donald Trump.
Thanks Greg, as always, Greg VALUERCHIFS Policy Strategist, AGF Investments.
Now a look at the front pages. What's making news around the world, Your daily roundup of today's headlines from major publications.
Sen Bloomberg's Lisa Mateo is here with the front page round up. Obviously, every front page around the world is focused on the Trump verdicts, but we had a big take story from Bloomberg News as well that says, despite the guilty verdicts, Lisa wall Street, billionaires are rushing to back the former president.
Good morning, Yeah they are.
Good morning. Nathan's so Amid Malik. He's president of seventeen eighty nine Capital. He co hosted a fundraiser for Trump at the Pierre Hotel on Fifth Avenue before the verdict, and he said that the outcome would have less than zero impact on his support.
Now.
The fundraiser also hosted by billionaire Howard Lutnick. Hours before the verdict, hedge fund investor Bill Ackman was said to be leaning toward backing the former president. Then you have private equity Mogel. Longtime Republican donor Steven Schwarzman said he was getting behind Trump again. I mean a big reason for the support that you'll see through this article. It says that it's money. Trump has promised to cut taxes
for the wealthy, eliminate regulations. President Joe Biden wants the opposite.
Yeah. Also an article here in the New York Post Lisa about Trump's campaign donation page which crashed after the verdict.
Yeah, it did less than an hour after he was convicted. His campaign wrote on x that the wind red pages it went down trumpetviter Chris Lasavida. He said the outage was due to quote millions of American patriots wanting to donate to Donald Trump's campaign. Then you had Lee Zelden, a Trump campaign sarrogate. He's also a former Long Island congressman. He posted on X that one of Trump's campaign committees reportedly secured an eight hundred thousand dollars donation shortly after
the verdict. What might have overwhelmed the site? Well, the juries after the jury's decision, there was a post on Truth social from the Trump National Committee. It said that it called him a political prisoner. It said that your support is the only thing sitting between us and the total tyranny. But that website, it was back online about a half hour after it went down.
And speaking of true socially, so the post is also pointing out that shares of that social media apps parent company tumbled after the verdict.
Yeah, so this morning, shares of Trump Median Technology Group that's the owner of Yes Truth Social still lower before the bell. They're down about seven percent right now. The stock was down about nine percent after hours trading after the news of the verdict. Trades undertaker DJT And it's been really extremely volatile since it's debut in late March.
It peaked at nearly eighty dollars in inter day trading on March twenty six, and then early this month, Trump Media reported that had lost more more than three hundred million last quarter.
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