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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 latest developments involving Iran. The White House says President Trump will make a decision on whether to strike the country within the next two weeks. The President is scheduled to attend a national security meeting in the Oval Office later today. White House Press Secretary Caroline Levitt spoke with reporters yesterday.
I have a message directly from the President and I quote, based on the fact that there's a substantial chance of negotiations that may or may not take place with Iran in the near future. I will make my decision whether or not to go within the next two weeks.
White House Press Secretary Caroline Levit says the President's goal of halting Iran's richmond of uranium and preventing the country from obtaining nuclear weapons remains intact, though she says if there's a chance for diplomb, I mus see the President is always going to grab it.
Meanwhile, Nathan, the fighting continues the Israel Defense Forces as it completed a series of strikes into Iran, hitting dozens of targets. A missile from Iran hit a Israeli hospital on Thursday for the first time since the war began. Iran's foreign minister is doing Geneva for talks of the European foreign ministers today, and we get more with Bloomberg's Oliver Krook.
What the sort of goal of this meeting is is to try to begin to establish kind of a framework for a day after if there is a ceasefire, something you can go to sort of from Iran and the rest of the world to say, listen, these are going to be the monitoring arrangements that Iran has agreed to, basically unrestricted access to making sure that Iran is not developing a nuclear site, potentially some restrictions and some observations about sort of cutting back the ballistic missile program, those
sorts of things. But again I think that one needs to keep sort of really sort of low expectations here because we know the world of Trump, and we know the world of Trump is one in which the Europeans don't have a huge amount of sway in terms of diplomacy. If there's a real question about whether or not you know, anything that they agreed to or anything that they can come up with. Does Trump really want to put his name on something that somebody else has come up with?
And, as Bloomberg's Oliver Kruik reporting, Around's foreign minister told State TV this morning that Iran does not want to negotiate with the US if Israel continues to strike the country.
The Karen cybersecurity experts in Israel say Iran is now tapping into private security cameras to gather real time intelligence. As Bloomberg's U and Pots reports, the revelation exposes a recurring problem with these devices, one that's emerged in other global conflicts.
Earlier this week, a former Israeli cybersecurity official issued a stark message on public radio, turn off your home surveillance cameras or change the password immediately. The warning was later backed by Israel's National cyber Director, which confirmed to Bloomberg that Internet connected cameras are increasingly being targeted as part
of Iran's war planning. Similar tactics were employed by Russia following its invasion of Ukraine, and our researchers have been sound in the alarm about vulnerabilities in security cameras for over a decade. There is now increasing evidence that the countries at war these systems are being exploited. As a critical week point in London, i'm unepot Sploomberg radio.
All right you and thank you mean mohile. The war in Ukraine goes on. Overnight, Russia unleashed a wave of drones and decoys the cities of Odessa and Kharkiv. Ukraine's air force has sixteen drones managed to evade its air defenses. At least one person was killed and fourteen heard. In Odessa, the drones there damaged several apartment buildings and the city's central rail station. At least four others sought medical help in Kharkiv and.
Back here in the US, Karen the White House has scored a legal victory over its deployment of National Guard troops in Los Angeles. A three judge panel has ruled the Trump administration can continue using the Guard to respond to anti deportation protests. Laurie Levinson is a former federal prosecutor and a professor at Loyal Law School.
In Laottom line is that this panel of judges believe that there was enough interference, enough violence going on in Los Angeles that the President, in his broad discretion, had the power to call out the National Guard because that's what the statute allows.
Loyal law professor Lorie Levinson notes that the California could still appeal to the full Federal Appeals Court or the Supreme Court. The lower court judge who ordered the federal government to return control of the Guard to California is also holding a hearing today, Nathan.
As immigration raids continue, they're starting to have a noticeable impact on workforces across the country. On Bloomberg's Monica Rex.
Reports, the downtown La Fashion district where the ice raids started, is emptied out. Texas dairy farmers say workers aren't showing up to milk cows, and the deputy mayor in Ventura, California says Latino day laborers seem to have disappeared from his closest home depot. Last month, the US workforce shrank in large part because of a decline in foreign born workers. California alons to lose two hundred and seventy five billion
dollars in economic output from the immigration crackdown. Monica Rix Bloomberg Radio.
Okay, Monica, thank you, turning to the markets now. Futures are lower as we close out the holiday interrupted trading week. Today, investors brace for six and a half trillion dollars of notional US options expiring, and that could lead stocks to swing more wildly than the subdued changes seen in recent week. Every quarter, a cluster of different exchange traded derivatives contracts all terminate on the same day, leading to what market
watchers sometimes call a triple witching event. It's not expected to add additional volatility today itself, but it could open a path to more sudden stock market moves next week.
Nathan SoftBank may be making a trillion dollar AI play in the US. Bloomberg News has learned soft Bank founder Massa Yoshi's son is seeking to team up with Taiwan Semiconductor to build a trillion dollar industrial complex in Arizona
to build robots and artificial intelligence. The project's feasibility depends on some poor from the Trump administration and state officials, and Sun is also exploring partnerships with other tech companies, including Samsung Electronics, and considering project financing models to raise funding. Time off 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. Summer It's coming in. Hot Summer officially starts later today and high heat is moving across several states. Spring went out with storms and large parts of the country. Throughout the Northeast, high winds toppled trees on the cars and homes at the airports. Hundreds of flights were canceled ground stops at Washington, DC Airports, winds toppling sixty miles per hour. Severe flooding in a rock slide, shutting down part of Interstate forty near the
Tennessee North Carolina border. A New York City teenager is recovering after being struck by lightning in Central Park during storms Yosin.
Apparently I'm pretty lucky because my spine was directly against the tree and no no nerve damage happened.
The teen does have second degree burns, but is expected to make a full recovery. Authorities in southern Mexico are still assessing damage and watching rising rivers has rained from the remnants of Hurricane Eric dowst the region. At least one death was confirmed one year old boy who drowned in a swollen river. The fallout continues after a SpaceX rocket that was being tested and prepared for a flight at the Texas star Base exploded on the test stand
Wednesday Night's explosion has raised environmental concerns. This man was nearby when it happened.
I was there, just under two miles away. At first I saw it, and I really couldn't believe what was happening in my own eyes. It was almost like an out of body experience.
SpaceX was preparing for a routine static fire test, loading fuel before igniting the starship's engines. They believe a pressurized tank exploded, setting off the series of blasts triple a for Jack's a record number of people to hit the road for the Independence Day holiday period. Spokesperson A keys At Diaz says the group expects an increase of one point seven million travelers over last year.
We're expecting overall seventy two point two million people traveling between June twenty eighth and July sixth. A majority of those people, about eighty five percent of them, are expected to drive.
Global News twenty four hours a day and whenever you want it with Bloomberg News.
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I'm Michael Barr, and this is Bloomberg Karen.
All right, Michael Barr, thank you time now for abot Bloomberg scores UF date brought to you by Flushing Bag. And here's Joan Stanshawer, John, Good.
Morning morning here in the NBA Finals, not over yet. Indiana had lost two games in a row of spacing elimination against Oklahoma City, the Pacers playing at home. We're not ready for their season to end. That comes top of the other way. You rarely see that come home ground. He spent the three, puts it in Hernsteyle in the rebound, puts it on the floor. Knock out of his hands by Siaka and Isaiah.
Joe gets a Haliburton to steal.
There comes Haliburton Siaka, They Smith counter three ABC bakes. Second quarter won by Indiana thirty six to seventeen. The Pacers took a thirty point late to the fourth quarter. The final was one O eight ninety one. The X ding Obie Tompin led balance scoring with twenty points, Andrew nemart ad In seventeen, Fascal Siakam sixteen with thirteen rebounds. Game seven Sunday at ok See, twentieth game seven NBA Finals history, the first since Cleveland being Golden State in
twenty sixteen. A few hours after the Yankees ended their six game losing streak, the Mets skid reached six a seven to one loss in Atlanta. Praise with a four runs sixth inning, held the Mets to six hits, and when the Phillies won, the Mets and phil stood tied for first as they begin a weekend series Tonight in Filled. The Yankee win was seven to three at the Stadium, finally beat the Angels, avoided getting swept four games at
home for the first time in four years. Yanks Tonight post Baltimore Nationals finally beat the lowly Rockies to end their eleven game losing streak. Now they have to play the Dodgers. Scottie Scheffler won the Travelers Golf near Hartford a year ago, and he's got to share the first round lead after an eight under par sixty two. Rory McElroy, two shots behind CJ. Moseley through the Jets, released in March, announced his retirement, ending a ten year career. First five
with the Ravens, last five with the Jets. He was a five time Pro Bowl linebacker. Johns danshchewer Bloomberg Sports Karen Nikkan.
Coast to coast on Bloomberg Radio nationwide on Serious Exam and around the world on Bloomberg dot Com and the Bloomberg Business opp This is Bloomberg Daybreak.
Good morning, I'm Nathan Hager. Within the next two weeks, that's when the White House says President Donald Trump will decide whether to join Israel and strikes against Iron Spokeswoman Caroline levin It says, if there's a chance at diplomacy, the president will always grab it. But she says there is one thing the world can agree on.
Iran cannot obtain a nuclear weapon. This is something that pretty much all of humanity except for the Iranian terrorist regime themselves, agree upon.
That was White House Press Secretary Caroline Levitt announcing the two week deadline. For more. We are joined by Bloomberg News Senior editor Bill Ferries. Bill, as you know, President Trump has said things could come within two weeks many times during both his presidencies. How to take this latest signal? Good morning, Good morning.
Well, I wouldn't mark an X on your calendar for two weeks from today, and think that that's necessarily some sort of urgent deadline. What I think the President's decision does is open the door to continuing diplomacy, to more diplomacy both between the US and Iran, but also between Iran and Europeans and of course with Israel. So it gives some time for this back and forth between Iran and Israel to play out, a little bit, time for
de escalation. And you know, we've we know the president has really struggled over this decision, that his Maga base is really torn over it. So it allows a little bit of a reprieve from that political pressure he was facing from his own party as well.
At the same time, Bill we heard from Iran's foreign minister just this morning saying that Iran can't negotiate with the US while Israel is continuing attacks. Where does that leave.
Things, Well, the Iranians have they are going to be meeting with some of the European foreign ministers, including from the UK, of France and Germany. So there's certainly a chance for the US to get messages in and to receive messages from Iran through that way.
And I think.
Iran is trying to you know, trying to keep a little bit of daylight between Israel and the United States on this issue. Like I said, it has been a tough decision for President Trump to make. Despite the US history of supporting Israel, it's not clear that the Trump administration wants to go as far as perhaps Israel is interested in seeing it go.
How far could Israel go? I mean, there's been ongoing attacks on nuclear facilities as well as ballistic missile sites. If Israel is aiming to completely destroy Iran's nuclear capabilities, can it do it without the US?
Well, some of those facilities, particularly the Fordau facility, is buried deep in a mountain. It's not believed that, you know, constant bombing or missiles from Israel will really do the trick. The US is the only country that has this bunker buster bomb that it could deploy if it were interested in getting engaged. It's not even totally clear that that would do the trick. I mean this, these are very well fortified facilities. But it certainly has the best chance.
And that's really why Israel wants the US to engage in this.
All right, And while the President is still weighing this decision on getting the military more involved in Iran. He's gotten a legal victory when it comes to deploying the National Guard in Los Angeles. What's the latest here, Yeah.
That's right.
A three judge panel in San Francisco, a federal appeals panel, ruled that the Trump administration can keep using those California National Guard troops to respond to the protests in Los Angeles. There's been a big fight over this, with the California governor and the State of California basically arguing that Trump did not have the legal authority to deploy those forces the way they were called up. For now, at least, it looks like those forces will remain under federal control
in the streets. They're largely protecting federal buildings. They haven't been involved really closely with the area that the protests were centered on. But I think it's part of a bigger picture here of the Trump administration wanting to keep this power in reserve if it needs to do this elsewhere in California or elsewhere in the country.
And in our last thirty seconds, this isn't the end of the case, right, There's still a chance for appeal by California.
Absolutely, California will very likely appeal. Actually, the appeals court that made this decision, it was just a three judge panel. The broader court as a whole could still take it up. And you know, this is another one of the many, many court cases in this administration that could eventually end up at the Supreme Court.
This is Bloomberg Daybreak, your morning podcast on the stories making news from Wall Street to Washington and beyond.
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