News when you want it with Bloomberg News Now, I'm Doug Prisner. We begin in Washington, where President Trump signed an executive order to largely dismantle the Education Department. Secretary Linda McMahon has been directed to take all necessary steps to facilitate its closure. The aim is to transfer functions to states and other federal agencies. Here's McMahon speaking earlier on Fox News.
But clearly he wanted to state and let Congress know that he intends to work with them. I want Congress to be a partner in this, and I believe they will be because both sides of the aisle know that what is happening to education in our country cannot be allowed to stand because we are failing our students.
That was Secretary of Education Linda McMahon speaking earlier on Fox News. This plan now faces potential clashes with both labor unions and lawmakers. This would potentially include Cole. The aim is to make the US less reliant on foreign imports. The executive order does tap the Defence Production Act to provide financing, loans and other investment. Separately, Trump said the US will be signing a deal very shortly on rare earth minerals with Ukraine.
We're also signing agreements in various locations to unlock rare earths and minerals and lots of other things all over the world, but in particular Ukraine. We're doing very well with regard to Ukraine and Russia. And one of the things we are doing is signing a deal very shortly with respect to rare earths with Ukraine, which they have a tremendous value in rare earth.
And we appreciate that President Trump speaking there. The Pentagon is reportedly scheduled on Friday to brief Elon Musk on the US military's plan for any war that might break out with China. The New York Times says the meeting reflects the extraordinary dual role played by Musk, both the world's wealthiest man and someone given broad authority by President Trump. Now we know that Musk is the chief executive of SpaceX, a leading supplier to the Pentagon, and Tesla, a company
with operations in China. A federal judge has temporarily blocked the government's Efficiency team from accessing the personal information of Americans in the Social Security Administration system. Now, this decision could delay payments to millions of beneficiaries. The restraining order will apply for fourteen days while the judge weighs whether to grant a longer term injunction and prohibit officials at the Social Security Administration from giving Elon Musk and others
affiliated with DOJE access to the agency system. In Israel, Prime Minister Benjamin at Niahu's request to fire the head of the country's domestic intelligence agency has been approved by the cabinet. The decision to sak Ronenbard deepens a power struggle focused largely on who bears the responsibility for the Hamas attack. On October seventh, the decision was made despite
thousands of protests rallying against bars removal. We moved to earnings news next after the bell, Nike reported results above analyst expectations. Yes, revenue was down nine percent to eleven point three billion dollars. However, that was better than the eleven percent drop Wall Street had predicted. We got reaction from Bloomberg analyst Punam Goyeut.
What also stood out was a gross margin. It was a little better, and that's also a good sign. But you know what we're really watching for is that the inventory number here right, because that is the reason why sales are down so much, because they have to get rid of all this inventory and they're discounting it. So we still need to see that improve and it means that four Q their fiscal four Q could still be choppy, but they are moving in the right direction.
That is Punam Goye out for Bloomberg Intelligence. Then the trouble came later in a call with analyst when Nike forecast digital traffic would be down double digits in fiscal twenty twenty six. The stock right now is off more than four percent in late US trading, all so heart after the belt from FedEx, the company lowered its full year profit outlook for a third consecutive quarter. The company's bottom line is being squeezed by mounting economic uncertainty and
sputtering demand. We got reaction to the news on FedEx from Leek Classcow at Bloomberg Intelligence.
The demand picture is probably not as good as we thought it might have been three months ago. You know, when when you know President Trump was elected, and you know, people thought the animal spirits will be released, and you know, we'd have a less regulation, kind of lower tax environment, which is obviously better for business. But fast forward today, you know companies are reeling in their cap X because they just don't know what the future holds.
That is Bloomberg's leak. Classcow shares and FedEx were down more than five percent in late US trading. And that is news when you want it with Bloomberg News. Now, I'm Doug Krisner, and this is Bloomberg