Good morning.
I'm Nathan Hager and I'm Karen Moscow. Here are the stories we're following today.
The war between Israel and Hamas is now in its fourth day, and the conflict may be entering a new phase. Overnight, Israel pounded downtown Gaza City with more bombardments in The Israeli military is now building a base next to the Gaza Strip that can accommodate tens of thousands of soldiers. Prime Minister Benjamin Netanyah, who says the response to Hamas is just beginning.
Ayodasha Klan.
I know that we all want evening results. It will take time, but I promise you, dear Israeli citizens, at the end of this campaign, all of our enemies will know that it was a great mistake to attack Israel. What we will do to our enemies in the coming days will reverberate with them for generations.
Prime Minister Natanyah, who spoke through an interpreter. Meanwhile, Hamas is warning Israel not to attempt a ground invasion. Ali Baraka is a senior official with Hamas.
Our allies are ready to join the fight if Gaza is subjected to a war of annihilation. They will not see with their hands tied. The government of Israel knows they will open the gates of hell if they try to destroy Gaza and to use non traditional weapons to destroy Gaza, like American weapons.
Allie Baraka with Hamas also spoke through an interpreneur.
Well Nathan. The war has already claimed at least sixteen hundred lives, but after Saturday's Hamas incursion, Israel is promising a severe response. So we spoke with the country's Minister of Strategic Affairs, Ron Durmer.
Israel will always remember that day, but all the terror organizations around US are going to remember this period for a very long time. And the critical miscalculation that Hamas may thinking that it was going to be business as usual in Israel.
Believe me, it is not.
The people are outraged and they have awoken not a sleeping giant, but a sleeping Maccabee, and they're going to see it in the days and weeks ahead.
Israeli Strategic Affairs Minister Ron Drmer did not say whether there'll be a ground invasion, but many Israelis and Palestinians expect one.
Well.
Meanwhile, Karen the Biden administration says the first shipments of security aids Israel are already on the way. Bloomberg's Ed Baxter has the story.
There had been some question about what the US could do, but National Security Council spokesman John Kirby says it's important that the aid go now and more will be on the way soon. Meanwhile, Kirby on MSNBC says there is no known direct link between Iran and Amass on the initial attacks.
No, we do not.
We don't have any specific intelligence or evidence that points to direct participation by Iran.
That said, of course, Iran has long supported Helmas and other terrorist networks.
And the President is set to make an address later today. Ed Baxter, Bloomberg Radio.
All right, Ed, thank you, and stick with Bloomberg for full coverage to the president's re marx later this afternoon. Well, this morning, we're learning more about how the White House might package aid for Israel and Ukraine, and Bloomberg's Amy Morris has details from Washington.
One group of lawmakers proposed the Biden administration pursue a joint aid package linking Israel and Ukraine. The idea is to capitalize on broad support for Israel to overcome Republican opposition to funding for Ukraine, and sources tell Bloomberg they raised that idea over the weekend, but White House officials call that discussion premature because it isn't clear yet just
how much assistance Israel might need. The House of Representatives needs to pass an Israel package quickly, but remains at an impasse without a House speaker in place in Washington. I'm a memo, as Bloomberg Radio, Okay.
Mee, thank you now. The coverage of the war, particularly on social media, is getting a lot of scrutiny. Let's get more on that from Bloomberg's Lisa Mateo.
Despite Elon Musk's acquisition and policy changes at ex Corp, the social media platform formerly known as Twitter has been flooded with misinformation about the Israel Hamas conflict. Many of the posts repurposed old images of armed violence, passing them off as new, and were pushed by anonymous accounts that carried blue check marks under excess page aid subscription service.
Others even posted military footage from video games, and ex Corp accounts stated that it is responding, but it's also in the public's best interest to understand what's happening in real time, and users should change their settings to control what they see. Lisa Matteo, Bloomberg Radio.
Right, Lisa, thanks so. Former Treasury Secretary Larry Summers, who was also once the president of Harvard, is blessing the university on x. Summers, who was also a paid contributor for Bloomberg Television, said he is quote sickened by the institution's lack of response after some student groups blamed Israel for Hamas's attack. After Summers post, Harvard released a statement speaking of the quote death and destruction unleached by the attack by Hamas that targeted citizens in Israel.
Well, jitters over the Israel Hamas were just one of the reasons investors are piling into the safety of US treasuries. They had their best day since the regional banking blow up in March. The move may be more pronounced than normal because the market was closed yesterday for the holiday.
And Nathan's speculation the Fed may be done with great heights is also fueling a drop in treasury yields. This morning, we get the latest of Bloomberg's John Tucker, John.
Dallas FED president Lourie Logan's's elevated yields could help take some of the heat out of the economy.
The term premiums rise, they could do some of the work of cooling the.
Economy for us, leaving less need for additional monetary policy tightening to achieve the effumci's objectives.
And FED Vice Chair Philip Jefferson said he's watching the increase in treasury yields as a potential further restraint on the economy. In other words, the markets are doing the Fed's work for it.
All right, John, Thanks, It's time now for a look at some of the other stories making news around the world. For that, we're joined by Bloombergs Amy Morris Amy.
Thank you, Karen House. Republicans peer divided on a new speaker. Lawmakers held what was described as an emotional two hour meeting last night over the party's leadership situation after Kevin McCarthy was ousted last week. Ohio Congressman Jim Jordan and Louisiana Steve Scalise are the two leading Republican Florida Congressman Matt Gates spoke before the closed meeting to.
Great readers, and I think either of them will do a great job for US.
More meetings are scheduled for this week, while a vote to fill the House speakership could happen as early as tomorrow.
Robert F.
Kennedy Junior says he's letting go of the party of his ancestors as he continues his race for the White House. Bloomberg's Nancy Lyons explains.
Robert F. Kennedy Junior is declaring his independence from the Democratic Party, announcing he'll run for president now as an independent. He chose Philadelphia to make his announcement.
I've come here today to declare our independence from the journey of corruption, which robs us of affordable lives, our belief in the future, and our respect.
For each other.
Kennedy will now need to get his name on the ballot in all fifty states, which is always a challenge for independent candidates. I'm Nancy Lyons Bloomberg Radio.
And another political shake up as former Texas Congressman Will Hurd says he's dropping out of the race for the White House and endorsing Nikki Hailey, heard as an outspoken critic of former President Trump, and is urging candidates to rally around Hailey. An average of polls from five thirty eight shows the former South Carolina governor making inroads after her debate performances. Hailey is now in second place in New Hampshire, three points ahead of Florida Governor Ron De Santis.
President Biden has been interviewed by the Special Council leading an investigation into his handling of classified documents. In a statement, the White House says the voluntary interview was conducted at the White House Sunday and Monday, and it adds that Biden and the White House are cooperating with the probe
and being transparent. Special Council and former Trump administration member Robert Hurr was appointed earlier this year after classified materials from Biden's time as Vice president were found at his Delaware home and an old office in Washington, d C. Global News twenty four hours a day, powered by more than twenty seven hundred journalists and analysts in more than one hundred twenty countries.
I'm Amy Morrison. This is bloomber Karen.
Right, Amy. Thank you. We bring you news throughout the day here on Bloomberg Radio. But now you can get the latest news on demand whenever you want it. Subscribe to Bloomberg News Now. To get the latest headlines at the click of a button. Get informed on your schedule. You can listen and subscribe to Bloomberg News Now on the Bloomberg Business app, Bloomberg dot com, plus Apple, Spotify, and anywhere else you get your podcasts. It is time
now for the Bloomberg Sports Update. Here's John stash Hour John Jarin.
The Atlanta Braves best team in baseball this season, best offensive team, and yet they began this series with the Phillies not scoring a single run for the first fourteen innings. The Braves lost the opener and trail game two, four to nothing in the sixth inning, and then mounted their comeback at run of the sixth, two and the seventh on a Travis Darnault home run, and then in the eighth inning.
Everybody on their feet at Truest Park won you third, You down bre and too, four to three, Phillies, bottom eight. The pitch to Riley, swing a high fly ball left field, that one back towards the wall.
That one is gone, Austin Riley.
It's a two run hover in the Graves half league.
ESPN had the call. They won the game, five to four.
The game ended with a bizarre double play a sensational catch in center field by Michael Harrison.
The praise doubled up.
Bryce Harper at first, at first pase Arizona again beat the Dodgers four to two. The Diamondbacks sixteen games behind LA and the regular season, but up to nothing in the series. Monday Night football in Las Vegas, the Raiders had lost eight in a row to the Packers. They beat Green Bay seventeen thirteen as they intercepted the young Packer quarterback Jordan Love three times, including one in the end zone in the final minute. Viking star wide receiver Justin Jefferson has a hamstring injury.
The team says they won't rush him back.
Anthony Richardson, the rookie quarterback for the Colts, could miss four to six week wo injury.
John Stanshower Bloomberg's boards.
From coast to coast, from New York to San Francisco, Boston to Washington, DC, nationwide on Syrias Exam, the Bloomberg Business app, and Bloomberg dot Com. This is Bloomberg Daybreak. Good morning, I'm Nathan Hager.
We continue to monitor fast moving developments in the Israel Hamas war, now into its fourth day. Overnight, Israel struck downtown Gaza City with more bombardments, and the military is now building a base near the Gaza Strip, raising questions about whether Israel is preparing a ground assault against Hamas. For the latest, we're joined now by Bloomberg's Israel Bureau chief Ethan Browner. Ethan, again, it is good to have
you with us. Thanks for your time. Just get us up to speed on the latest that's happened in the last twenty four hours.
Sure thing, Nathan, I mean, you've just told us most of what we know that's new. So in essence, we have about three hundred thousand reservists and other soldiers Israeli who've been rapidly moved to the south. Hundreds of them, by the way, were picked up on airplanes in Europe by the IDF, by the military and the Foreign Ministry organizing flights to bring them home. For this, they are
preparing what we expect to be a massive assault. You're right that they have not spelled out for us that it's going to be a ground war, but it seems inevitable that it will be be the first time in almost ten years that Israel does that and beyond that, the Americans are sending over a fair amount of military help for this. The Israelis have said that their supplies
are stretched. I assume this involves the Patriot Missile anti missile system that they have, as well as basic equipment for soldiers and things for drones to watch and prepare for hits from the air. So all of that is what's going on. It's a very tense time. The military has told Israelis that they should have seventy two hours worth of food and drink in their home, preparing obviously for some kind of a counter attack, possibly from Hamas,
but also possibly from the north from his Ballah. The Hasbala is also also.
Helped by Iran.
Iran has denied that it was involved in the attack from the south, but it is also warning Israel not to be not to do terrible things in Gaza or that it'll pay some consequences.
And those consequences, from what we're hearing, include a threat from Hamas that hostages that are now being held in the Gaza strip could be put in danger, could be killed. This looks like this could escalate rather quickly, Ethan.
I think that it is going to escalate there's no question about it. The main thing here is that the hostage situation, of course, is very emotional for everybody, for anybody who who pays attention. I have to tell you that the way the Israeli military commanders are talking about it, though they are fairly cold blooded about it, they are not saying that the hostage situation is going to change their plans. It makes it sound like the hostagees may
become victims of an attack. But it is true that Hamas is saying, if you don't give warnings to civilian buildings, that we are going to hit that. Each time you don't give a warning, we'll kill a hostage. So far, that hasn't happened in the hours since they issued that warning. Partly, it seems that the Israelis have given warnings before going in.
If there were to be a ground invasion Ethan you mentioned it hasn't happened since the twenty fourteen war between Israel and Guza. Draw the parallels for us, What kind of complications, what kind of difficulties could the Israeli military face if it were to mount a ground invasion in the Gaza strip.
Well, you know they're on someone else's territory that they don't have a clear map of. The Hamas has been very skilled at keeping things underground and making it hard for the Israelis to survey them. I mean, all that happened last Saturday was obviously planned outside of the site and listening tools of the Israelis, so Hamas have become quite skilled at that. It means that Israeli soldiers are going to get killed.
It means that.
Civilians there are going to get killed. There'll be an enormous amount of damage, There'll be more people taken hostage and kidnapped. It will be really, really awful. The Israelis, because of the massacre that occurred on Saturday, are taking, as they said, a very hard headed approach to this and saying that they feel the need to go in with a kind of severity that they haven't ever before, and that the mus leaders will never forget so that they never again and we'll be able to carry out
such an attack. It's a little hard to know what that means. The rhetoric is very very powerful. We'll have to see what it means in reality.
This is Bloomberg Daybreak today, your morning brief on the stories making news from Wall Street to Washington and beyond.
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