Bloomberg Audio Studios, podcasts, radio news. Good morning, I'm Nathan Hager and I'm Karen Moscow. Here are the stories we're following today, Karen.
Investors may still be assessing the impact of the first encounter between Kamala Harris and Donald Trump. The two presidential candidates spent ninety minutes in Philadelphia sparring over abortion rights January sixth, and the wars in Ukraine and Gaza, But the ABC News presidential debate began with the economy. Vice President Harris touted her plan for a fifty thousand dollars small business tax deduction.
My opponent has a plan that I call the Trump's sales tax, which would be a twenty percent tax every day goods that you rely on to get through the month.
Vice President Harris's comment on tariff's had former President Trump on the defensive.
Person who will have no sales tax. That's an incorrect stape and she knows that we're doing tariffs another country. These other countries are going to finally, after seventy five years, pay us back for all that we've done for the world.
And the candidates also clashed on abortion rights. The Vice president said the end of Roe. V Wade has led to what she calls Trump abortion bans across the country.
If Donald Trump were to be reelected, he will sign a national abortion ban. Understand in his Project twenty twenty five, there would be a national abortion a monitor that would be monitoring your pregnancies, your miscarriages.
Donald Trump said he has not read Project twenty twenty five. When asked if he would veto a national abortion ban, he said he wouldn't have to.
As far as the abortion ban. No, I'm not a favorite of abortion ban, but it doesn't matter because this issue has now been taken over by the States.
Donald Trump and Kamala Harris also sparred over foreign policy. The vice president said the former president would end the war in Ukraine quickly by giving Vladimir Putin what he wants.
If Donald Trump were president, Putin would be sitting in Kiev right now, and understand what that would mean, because Putin's agenda is not just about Ukraine.
And later in the debate, when the focus turned to immigration, at Trump floated a conspiracy theory about migrants in Ohio in Springfield.
They're eating the dogs, the people that came in. They're eating the cats. They're eating the pets of the people that live there.
In that claim on the ABC News presidential debate earned one of several fact checks from a moderated David Buhre.
Well, Karen, there is plenty of reaction pouring in this morning to the debate. We spoke with Bloomberg political contributors Genie Sheanzano and Rick Davis.
I would say most of the moments, you know, sort of following from this debate were how strong Kamala Harris was on national security. She used Donald Trump's own former cabinet members as a wedge to show his weakness in this category, which I thought was an interesting turn about in Donald trump unwillingness to say that he would veto a national abortion band, which we have not seen up until this point in time.
One thing that we'll define this debate will be him talking about illegal immigrants eating pets. But that's what he went to as opposed to where his team wanted him to go issues economy, immigration, and the idea that she's in office right now she could be doing all these things.
Bloomberg political contributors Genie Shanzano and Rick Davis spoke during our special debate coverage last night on Bloomberg Radio and Television.
Well Nathan, minutes after the debate, concluded, Harris picked up a key endorsement from a pop icon, and we get that story from Bloomberg's Kimberly Adams.
The endorsement comes from one of the music industry's biggest stars, Taylor Swift. In an Instagram post, Swift wrote, I think she is a steady handed, gifted leader, and I believe we can accomplish so much more in this country. We are led by calm and not chaos. Swift included a picture of herself holding a cat and signed the message to liscat Lady, of reference to comments made by jd Vance, Donald Trump's running mate. Swift has a dedicated following among
young women, a key demographic in the November election. Trump was asked about Swift's backing reaction to Taylorsi's endorsement of Kamala Harris, I have no idea, Harris's deputy campaign manager said, the endorsement quote means a lot to us. Kimberly Adams Bloomberg Radio.
All right, Kimberly, thank you, and we are going to get much more reaction to the presidential debate in a few minutes when we bring you a special political roundtable. But let's turn back to the markets now. We are watching futures fall ahead of another key reading on inflation at eight thirty am Wall Street time. We get the August reading on consumer prices. The median forecast is for a gain of two tenths of one percent, and we get a preview from Bloomberg's Michael McKee.
Unless there's a major surprise, the August CPI report won't tell investors or central bankers anything new, and that's a good thing. Forecasts are for little change in the slow trend of slowing inflation, and that's what the Fed one to see in order to remain on track for a rate cut next week. Policymakers meet on the eighteenth. Help by falling food and gasoline prices. Headline CPI is expected to fall on a year over year basis, while core
inflation is forecast unchanged. But that would be good enough, Michael McKee, Bloomberg Radio.
Okay, Mike, thanks, and ahead of the CPI report to your treasury yields have fallen to their lowest level since twenty twenty two.
Well, Nathan Warren Buffett continues to sell shares a Bank of America. A regulatory filing shows Buffett's Berkshire Hathaway reaped two hundred and twenty nine million dollars over three days of selling through yesterday. The average price fetched on Tuesday thirty nine dollars thirty cents a share, was among the
lowest reported since he began whittling the stake. That's a significant slowdown from the eight prior rounds in which his conglomerate generated an average of about eight hundred and seventy million dollars each time. Based on filings that typically span three days of trading, Berkshire still holds just over a leven percent of the bank stock.
We're watching shares of game Stop this morning, Careen. They are down ten and a half percent. In early trading, the video game retailer reported a fourth consecutive quarter of falling sales, though it did also report an unexpected profit. Game Stop shares continued to be buffeted largely by the Meme stock trading community. Back in June, the company raised more than two billion dollars after stock influencer Keith Gill, known as Roaring Kitty, returned to YouTube, inspiring a stock rally.
Game Stop has a market cap of about ten billion dollars.
In other news, this morning, Nathan Today marks the twenty third anniversary of the September eleventh, the terrorist attack. We're joined by Bloomberg's Lisa Matteo in New York, Lisa Hey Karen.
Today, the nation pays tribute to those who had lost their lives in the worst her attack in US history, and the National September eleventh Memorial and Museum will host its annual sam Ernie at eight thirty am Wall Street Time in Lower Manhattan, honoring the twenty nine hundred and eighty three men, women, and children that were killed in the two thousand and one attacks at the World Trade Center site the Pentagon a board Flight ninety three, as
well as those who died in the February twenty sixth, nineteen ninety three World Trade Center bombing. Now it will include a reading of the victims' names, as well as six moments of silence recognizing when both World Trade Center towers were struck and fell when the Pentagon was attacked and one Flight ninety three crashed. Memorial Plaza will only be open to family members at the victims. Both President Joe Biden and Vice President Kamala Harris are expected to
attend in New York. Lisa Mateo Bloomberg Radio, it's.
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 John Tucker, John, Good morning, and Good.
Morning, Karen. Hurricane Francine gained strength. It's expended to make landfall in Louisiana today after closing some offshore oil platforms in the Gulf of Mexico to be shuttered. Michelle borg is with Energy, the major power supplier for the region.
All eyes are on the golf right now. We're actively monitoring.
The track and the projected intensity of the storm as it makes its way over to the Louisiana coast.
On its current track, Francine could graze Morgan City, with impacts from its winds extending as far east as New Orleans. Winds were about ninety miles an hour. US aviation authorities will investigate a ground collision between two Delta Airline passenger jets in Atlanta. That story from Bloomberg's and Baxter.
The larger plane was carrying two hundred and twenty one passengers and was headed to Asia. The smaller carrying fifty six for a regional carrier operated by Delta. The first reports are that the larger Airbus Sea three point fifty clipped the smaller plane. The pilot radio the tower for clarification, we could.
Hit something on the tactaway.
Could you kill a what it was?
No injuries. Passengers were put on different flights. The FAA will investigate ed Baxter Bloomberg Radio.
Former New York Governor Andrew Cuomo talk to reporters after he testified before a House subcommittee on his handling of the COVID nineteen pandemic. He took aim at Donald Trump.
I took responsibility every day, unlike the.
President who literally said I take no responsibility.
The committee criticized his policy in twenty twenty to readmit nursing home patients after they contracted COVID. A cyber security expert crossing automakers should do more to increase the safety of vehicles whose software can be updated over the year. Liz James, a consultant IT security firm NCC Group, says current technology leaves cars vulnerable to being manipulated without an owner's knowledge. Global news twenty four hours a day, whatever
you want it with Bloomberg News. Now, I'm John Tucker. This is Bloomberg.
Karen, all right, John, thank you time now for the Bloomberg Sports Update with John stash Hour.
John, Good morning, Good morning, Guaranteo. And a half weeks left for the baseball regular season. Yankees almost certain to make the postseason, Mets hope to be there too. Last night, both New York teams lost and the teams they want to lose. All one for the Yankees, a five nothing lost to the stadium to Kansas City. Set Lugo, the longtime Mets reliever, continued his sensational season as a Royal starter. Lugo pitched seven in means, allowed only three singles, no walks,
ten strikeouts. He impressed Aaron Boone.
That was probably, you know, as good a performance against us this year. We were silent, and I think he was ahead, and the count looked like he was really dotting his location wise with a big knix, you know. I mean, it's it's two fastballs, it's cutter, it's slider, it's curveball, it's change and varied. The speeds on all of.
Those, Lugo making a strong case to be the ALCI Young winner. He's won sixteen games as Era under three. Baltimore won five to three at Boston, the Yankee lead over the Orioles back to being just a half game. Mets lost in Toronto six to two. The ex met Chris Bassett beat David Peterson, who came in nine to one. He gave up as many runs in the first three innings last night as he had allowed in the first three of his combined previous eleven starts. Atlanta, San Diego
and Arizona all won the Braves twelve to nothing. That Washington, the Mets and Bras are tied for the last wildcard spot. A golf sit down held yesterday in New York will continue today. Tiger Woods among those representing the PGA Tour in a meeting with Saudi Arabia's Public Investment Fund, the two sides still trying to iron out a deal fifteen months after the shocking announcement that they will do business together.
Another meeting held in New York, NBA Board of Governor as a commissioner, Adam Silver emerged saying that now that there's labor piece to the new media deal. Expansion is now being discussed, with Seattle and Las Vegas being mentioned most often as sites for new teams. John Stashaward Bloomberg sportscar.
Coast to Coast on Bloomberg Radio, nationwide on Sirius XM, and around the world on Bloomberg dot Com and The Bloomberg Business.
This is Bloomberg Daybreak. Good morning. I'm Nathan Hager. Shares of Donald Trump's media company, Trump Media and Technology are the biggest laggards in early trading, down nearly seventeen percent this morning after an ABC News presidential debate that saw the former president meet Vice President Kamala Harris for the first time and find himself on the defensive over ninety minutes on issues ranging from the economy and immigration to
foreign policy and abortion rights. On this morning, after the debate, we are very pleased to bring you a roundtable discussion with Jennifer Lawless, the chair of the politics department at the University of Virginia, and we were joined as well by Terry Haynes, the founder of Pangea Policy. Good morning to both of you. Thanks for so much for being with us, and if this debate were about defining the
other candidate. We did see Kamala Harris do that at a number of points against Donald Trump, including this moment.
Listen.
His former chief of staff of four star general has said he has contempt for the Constitution of the United States. His former national security advisor has said he is dangerous and unfit. His Secretary of Defense has said the nation the Republic would never survive another Trump term.
Jennifer Lawless of UVA want to get your reaction first to what we heard over the ninety minutes last night.
Good morning, Good morning. I think Kamala Harris performed as well as anybody could have expected and as well as Democrats could have hoped. She kept Donald Trump on the defensive on both domestic policy and foreign policy almost the entire debate, and if her goal was to get under his skin, she did it. So. She was able to basically set the agenda when it came to topics, when it came to issues, and very rarely did he fact check her or correct anything she said. So I think
it was a big win for Harris. Trump, on the other hand, demonstrated he was quite frazzled and quite unable to articulate a clear vision from moving forward.
Your reaction as well, Terry. Did Kamala Harris perform as well as expected or did she outperform? Did she need to outperform?
Last night?
Good morning, Nathan. You know, I think that Harris very clearly won the debate because she passed. She did what she needed to do, passing and exceeding passing the fundamental threshold credibility test on fitness to lead the country. I think she helped herself as much as she could. She was also helped by by by Trump's performance, which I think was combative and shouty. She showed a lot of command of the issues, the passion, the ability to place
herself on a on a higher moral plane. I thought that was all very good if she prosecuted the case very well. Finally, a note for markets, there's no policy clarity, but none should be none should have been expected. Cane to caution against a Harris trade and the idea that
there's some sort of one party wave building. What you're going to end up with in Washington very likely is a continued politically split Washington that's going to blunt a lot of the concerns about what Harris's agenda might be.
We did hear a lot of discussion about policy, though, including the idea that former President Trump's tariff plans would be taxes on Americans. She also defended her own policies of trying to bring tax breaks to small businesses. Jennifer did those points stick for Harris?
I think that for people that were looking for details about policy, the childcare tax credit, she mentioned, the small business tax credit that she mentioned, concerns over Donald Trump's tariffs were somewhat sufficient. She at least gave some examples, But night was not a masterclass in economic policy or any particular policy for that for that point. So, you know, I think people that were looking for policy details found them.
But generally it was an opportunity to demonstrate the character and the stature of both candidates.
Going into this debate. Terry, we had heard that, or we've had some thought perhaps that Vice President Harris was going to be under some pressure to explain some of her shifts in policy when it comes to fracking and immigration. But we also heard former President Trump asked about some of his shifts in policy, including on whether he would push to repeal and replace the Affordable Care Act. Let's listen to a bit of that.
I have concepts of a plan. I'm not president right now, but if we come up with something, I would only change it if we come up with something that's better and less expensive, and there are concepts and options we have to do that.
Does the former president Terry need to answer more for some of his own policy proposals what he would do specifically as president?
Well, you know it's uh. Harris had a kind of a perfect storm in a positive sense. She you know, the social issues are very much to her advantage. Firstly, Secondly, she could talk about social issues including healthcare and abortion with with you know, by by touting achievements from her
administration and the previous administration. And thirdly, she could use it to take advantage of Trump's kind of muddled responses which had been apparent even before the debate on what he would do about the Affordable Care Act if anything, always a hot button issue for for hardcore Republicans, as well as the shifting positions back and forth on abortion.
So I thought she did a very good job of crowding Trump on what was perceived to be an issue's advantage for Trump, and by doing so frankly bolstered her own credibility, which was the point of the evening.
We're speaking with Terry Haines, the founder of Pangaeopolicy, along with Jennifer Lawless, chair of the Politics Department at the University of Virginia. Jennifer to get back to the idea of defining the other candidate. At one point, we heard former President Trump flat out call Kamala Harris a Marxist. Does that kind of argument stick with Kamala Harris?
It doesn't for a few reasons. The first is it's so hyperbolic that it's difficult to imagine that Americans will believe it. Second, many don't know what that even means. And third, later on in the debate, when he was talking about her flip flopping policies, several of them were flip flops that he would consider more towards them and more toward moderation. So he did try to say something like, she's going to try to perceive herself. She's going to get you to perceive her as a moderate, and then
she'll change when she's in office. But she has a record as a g as senator, as vice president. To quell those concerns among voters. So I think it was a talking point. I think it was something that Donald Trump thought would be cute, and I don't think it stuck.
What about you, Terry, And I wonder whether you think some of the answers that Kamala Harris gave, the calm demeanor that she put out there, perhaps compared to some of the more stridency of former President Trump, might come off as maybe overscripted. Is there a risk of that for Kamala Harris?
You know, I think the I think the punditocracy out there makes entirely too much of that. The reason why I say that is, you know, they have been you have been, Professor Lawless has been I have been listening to all these statements, all these speeches, you know, turning them over every day. The vast majority of the American
public hasn't. And you know, there were well over one hundred million people watching and listening last night by going by polling about who was going to watch, and you know, so they were hearing all that for the first time. So I don't really think there's a problem with it being canned. What I what I got out of Harris was really three things. First, of all, she effectively positioned herself as a candidate of the future versus the past,
and Trump helped her. That split screen was particularly striking in terms of the future versus the past, the generational contrast. Secondly, finally, I think that the rhetorical contrast was also huge. It was one of hearing kind of fresher yes yet familiar music from Harris versus you know, hearing the same old oldies channel and from Trump, and the hyperbole doesn't serve well if it doesn't seem incredible, and I certainly don't think vast majority of voters we'll see it as credible.
With Harris on the point of the hyperbole, Jennifer, I think a moment that probably got a lot of viewers' attention last night was this unfounded conspiracy theory that the former president brought up in a discussion on immigration about migrants in Springfield, Ohio eating people's pets. Is this going to be one of those moments that gets replayed on campaign ads all the way into November.
I think it is for a couple of reasons. The first is that following the debate, jd Vance in the Spin room actually doubled down on that claim and said that people are calling his Senate office with those concerns despite the fact that it's obviously been debunked. And second, it's one of these things that the split screen really highlighted in terms of what the presidency would look like if you had more of what Kamala Harris calls chaos from Donald Trump or a vision for the future from
Kamala Harris. So I think that kind of statement just generally embodies the fact that Donald Trump is willing to say anything. He's willing to put forward any conspiracy theory or any lie, and he's willing to double down. He did that with the Central Park five line as well last night, which was just appalling.
And after the debate, Terry, we actually saw former President Trump make the rare step of going into the spin room to talk with reporters, to talk with Fox News host Sean Hannity, and to complain about the moderators, saying it was three against one for him.
What of that?
Was there sort of a gang up on former President Trump? Can he defend that?
Well, it's you know, if your lead, your lead problem is that you're concerned that the refs were gaming you, You're losing. If you're out there, if you're out there spinning personally, I think you're also losing. And you know that this is by now for Trump. Uh. You know, if I can piggyback on Professor lawas remarks, this is a pet issue for him and thank you, thank you
for laughing at my job and the uh. But you know that is something that the Professor Lawas's point, that is something that's going to resonate from now till the election. The I have only to point to the Drudge Report this morning which has a leads with a picture of Trump with with a cat sitting on his lap and a bunch of animals, with the headline the end subbed the night Trump lost at all. You're gonna hear about that from that that the bunch claim from now until November.
On two levels, One is that the bunch claim, and secondly, by the way that he started to he talked about it repeatedly as Springfield, Illinois and uh. And this is going to be used as by the Harris campaign again generationally to say yo allah Biden, poor old Trump, he's pasted it.
And after the debate we saw a picture of a cat being held by Taylor Swift in an endorsement on Instagram for Kamala Harris Jennifer. What's going to be the bigger deal as we head to November? This debate or the Taylor Swift endorsement?
I think they both matter for different reasons to different people. Taylor Swift has millions and millions of followers who are not at all interested in politics, but are very interested in doing whatever Taylor Swift tells them to do. So the get out the vote potential of a Taylor Swift
endorsement is huge for the Harris campaign. But Donald Trump coming undone and the memes and the ads that we can expect over the course of the next eight weeks are going to be very helpful to the Harris campaign as well.
Just twenty seconds left, I'll leave you with the last word, Terry. Do you think there's going to be another debate this one? And what about the Taylor Swift endorsement?
Well, I wouldn't be surprised for about another debate, but I think Harris would be foolish to do it. Frankly, she's gotten everything from the format she needs to do. Finally, you know what you've got is you've got the summer of bratt followed by the fall of the Swifties, and I think that's going to be a part of a renewed Harris momentum and a long term moved or towards her by undecided voters.
This is Bloomberg day Break Today, your morning brief on the stories making news from Wall Street to Washington and beyond.
Look for us on your podcast feed at six am Eastern each morning, on Apple, Spotify, and anywhere else you get your podcasts.
You can also listen live each morning starting at five am Wall Street time on Bloomberg eleven three to zero in New York, Bloomberg ninety nine to one in Washington, Bloomberg one six to one in Boston, and Bloomberg ninety sixty in San Francisco.
Our Flagshift New York station is also available on your Amazon Alexa devices. Just say Alexa play Bloomberg eleven thirty plus.
Listen coast to coast on the Bloomberg Business app, Serious XM, the iHeartRadio app, and on Bloomberg dot Com. I'm Nathan Hager.
And I'm Karen Moscow. Join us again tomorrow morning for all the news you need to start your day. Right here on Bloomberg Daybreak