Trump Calls Off Iran Strike; Jury Rejects Musk's OpenAI Claims

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, we begin with the latest from the Middle East.
Hours after President Trump warned iron the clock was ticking
to reach a deal, He's put that clock on hold.
President says he has called off a strike on Iran
planned for today after an appeal from Persian Gulf allies.
I was asked by Saudi Arabia guitar Yui and some
others if we could put it off for two or
three days, a short period of time, because they think
that they are getting very close to making a deal.
And if we can do that where there's no nuclear
weapon going into the hands of Iran, I think and
if they're satisfied, we will be probably satisfied.
Also, President Trump spoke at a White House event last evening.
We get more from Bloomberg Middle East correspondent Jumani Bersecci.
What is going to happen next couple of days. We
probably have a couple of days window to allow things
to breathe. He does say that negotiations are going on
in the background, and indeed we know that these negotiations
are happening. Iran once again submitted their refreshed I would
say counter proposal via the Pakistani mediators to the US
yesterday and we'll see where we go from here.
Bloombergs Jumani Bersetci reports the White House rejected Iran's latest
proposal as insufficient to reach a deal. At the same time,
Iran has refused to budge on some of its key demands,
including war reparations and unfreezing its assets.
Now Nathan to the latest on the legal showdown between
Elon Musk and open Ai. Sam Altman must says he
is going to appeal a jury ruling which rejected his
claims that OpenAI betrayed its mission to benefit the public
by morphing into a for profit business. The jury found
that Musk waited too long to file his lawsuit. Bloomberg
Intelligence senior litigation analyst Matthew Shettenhelm covered the case for US.
This lawsuit potentially threatened to over the company's head. Elon
Musk was seeking cort issued limitations on the company's ability
to pursue its for profit mission and really to be
limited and hamstrung by its original charitable roots. So this
win for the company reduces that risk.
Bloomberg Intelligence analyst Matthew Shettenhelm says Musk was seeking dramatic changes,
including a court order unwinding open Aiyes conversion last year
for a for profit and today well.
Another major story we're following this morning involves the commute
in and out of New York City by rail. Soon
it's going to be back to normal. A strike at
the biggest commuter railroad in the nation is over. Let's
get more from Bloomberg's John Tucker in New York.
John and Nathan.
The Long Island Railroad strike ended at midnight, but service
is not going to start to resume until around noon today.
Like yesterday's shuttle bus service will operate of one hundred
locations to bring commuters to subway stations and Queens Channel. Lieber,
the head of the Metropolitan Transportation Authority, says the wage
hike they agreed upon won't raise fares.
We needed to find way that we could give people fair.
Raises, but also structure it in a way that didn't
blow the mpta's budget.
We got it done.
I wouldn't be standing here if we hadn't found those answers.
Where the accord comes after thirty five hundred LI Double
R workers walked off the job Saturday, shutting down service
for nearly three hundred thousand weekday commuters who rely on
the railroad to get to New York City and throughout
Long Island. While it still needs to be ratified, service
will resume just hours before the Knicks face Cleveland at
Madison Square Garden in New York. I'm John Tucker, Bloomberg Radio.
All right, John, thank you. Wil Commuters wait for the
trains to roll again. They'll have another thing to contend
with heat and Bloomberg meteorologist Craig Allen has more on
this hotspell.
This is big time heat for early in the season.
It's going to be intense, but fortunately it won't last
too long. Heat advisories do much of Pennsylvania New Jersey,
including New York City's five boroughs, as well as Boston
and suburbs too, so expect highs at least in the
middle nineties away from the coast, and the heat indecks
could run between ninety five and one hundred. Fortunately, the
ocean will keep it cooler along the shore. Now, as
I mentioned, it's not a prolonged heat spell. The second
half of the week will be significantly cooler, but it
may take a few thunderstorms to push out the heat.
Until then, try to stay cool, my friends.
Bloomberg meteorologist Craig Allen says the heat advisory will remain
in effect until eight pm Eastern tomorrow.
Well, now, we want to update you on a deadly
mass shooting in southern California. Police say three people were
killed when two teens opened fire outside the Islamic Center
of San Diego. It's the city's largest mosque. The seventeen
and eighteen year old suspects were later found dead in
a car with apparent self inflicted gunshot wounds. San Diego
Mayor Todd Gloria is promising additional protections to the Muslim community.
Hey has no home in San Diego. Islamaphobia has no
home in San Diego. An attack on any San Diego
is an attack on all San Diegans, and we will
not stand for it in America's finest city.
Now, along with San Diego's mayor, New York City Mayor
Zorn Mumdani says there will be extra police protection at
local mosques after what he calls an apparent act of
anti Muslim violence.
Turning to politics, Nathan, six states are said to hold
high stakes primary races today. On Bloomberg's Monica Riggs.
Reports, Georgia will be a big one following record early
voting turnout in the state, with two incredibly close races
to watch, including a Senate Republican primary to see who'll
run against incumbent Democratic Senator John Ossoff, and both parties
will battle crowded fields to replace Governor Brian Kemp, who's
term limited in Kentucky. President Trump's working to get Republican
Senator Thomas Massey booted after Bill Cassidy's primary loss last
weekend in Louisiana. They were part of a group of
seven GOP senors who voted to convict Trump during his
twenty twenty one impeachment trial. Pennsylvania, Oregon, Indiana, and Alabama
are also holding primaries today. Monica Ricks Bloomberg.
Radio Monica Thank you and stay with the Bloomberg for
complete coverage of the primaries. Bloomberg Balance of Power with
Joe Matthew and Kayley Lines live in Atlanta breaking the races,
and you can catch them live at noon Wall Street
Time on Bloomberg Radio, Bloomberg Television, and the Bloomberg Business
app Karen.
The Justice Departments creating a one point eight billion dollar
fund to pay out claims of alleged government weaponization. This
is part of a settlement agreement to end President Trump's
lawsuit against the IRS. The President spoke after the settlement.
But this is reimbursing people that were horribly treated, horribly
treated as anti weaponization. They've been weaponized, They've been in
some cases imprisoned wrongly, they paid legal fees that they
didn't have. They've gone bankrupt, their lives have been destroyed.
That was President Trump speaking of the White House.
Senate Democratic Leader Chuck Schumer blasted the creation of the
Company Station Fund.
Of all the corrupt things Donald Trump has done, this
MAGA slush fund at the Department of Justice is one
of the most depraved.
Senate Democratic Leader Chuck Schumer. Under the deal, President Trump
would not receive any money directly from dropping his ten
billion dollar lawsuit.
Let's turn to the markets now, Nathan, where US treasury
yields are flirting with two thousand and seven highs. Global
bond yields have surged in recent weeks as a jump
and energy prices caused by the Iran war adds to
inflationary pressures and compels central banks such as the FED
to consider raising interest rates. Add in worries over budget
deficits and the signs that the US economy remains resilient,
investors have been seeking greater compensation to own longer maturity debt.
We'll turning to company news now.
Karen Nvidia expects China will eventually allow AI chips to
be imported from the US, and Vidia CEO Jensen wangtold
Bloomberg the topic of selling his company's H two hundred
chips to customers in China did come up during recent
discussions between Washington and Beijing, but Wang says he did
not discuss it directly with Chinese officials.
The president wants America to lead the AI revolution, and
so H two hundreds are licensed to sell to China.
The Chinese government has to decide how much of their
local market do they want to protect and how much
of their local market do they want to expand with
a more AI capacity. My sense is that the demand
in China is so incredible, just like it is here.
Agentic AI is also making enormous progress there. My sense
is that over time the market will open.
You can catch our entire interview with Nvidia CEO Jensen Wang,
and all of our high profile conversations on our new
video hub on the Bloomberg Business app. By the way,
in video reports earnings tomorrow, so stay with Bloomberg for
full coverage of that after tomorrow's closing ball.
And there's a restructuring at metap platforms, Nathan. According to
an internal memo, the Facebook parent is reassigning seven bounds
and workers to new jobs related to artificial intelligence. Medical
cut staff later in the week is part of an
effort to improve efficiency and offset its investments in AI.
Time oper look at some of the other stories making
news in New York and around the world and Forever,
Joined by Bloomberg's and Michael Barr Michael, good Morning.
Good Morning. Karen, a US doctor, is tested positive for
the ebolavirus after being exposed in the Democratic Republic of
the Congo and has been sent to Germany for supportive care.
The CDC is working to move six others who may
have been exposed to Germany. About three hundred and fifty
suspected cases and ninety one deaths in the Congo have
been reported. Doctor Stephanie Whitmer at Emergency Medical Position said
this latest Ebola outbreak involves a troubling new strain of
the virus.
What can happen is that from these flu like symptoms,
it can progress to multi system organ failure, bizarre bleeding,
and you know shock and death.
Doctors Stephanie Whitmer told ABC Abola is highly contagious through
direct contact. Accused killer Luigi Mangioni appeared in a New
York courtroom Monday, where he'd learned most of the evidence
gathered during his arrest can be used against him at trial.
The judge decided a gun and a diary was admissible,
but the judge ruled other items pulled from the bag
while Mangioni was arrested at a Pennsylvania McDonald's cannot be used,
including a magazine, cell phone, passport, wallet, and computer chip
that part of the search Judge Gregory Kerroll said was illegal.
I find that the search of the backpack at the
McDonald's was improper warrant the search.
Mangeoni has pleaded not guilty to murder charges. His trial
is set for September, where Learning, a former Los Angeles
police detective convicted of lying during the OJ Simpson murder trial,
has died at age seventy four. Mark Furman was one
of the first two police detectives sent to investigate the
nineteen ninety four killings of O. J. Simpson's ex wife,
Nicole Brown Simpson, and her friend Ronald Goldman. Furman reported
finding a bloody glove that Simpson's home, but his credibility
came under attack during the trial as the defense raised
the prospect of racial bias. His manager says the cause
of death was throat cancer. Global News twenty four hours
a day and whenever you want it with the Bloomberg
News Now Michael Barr and this is Bloomberg.
Caaren, Thanks Michael. Time now for our Bloomberg Sports updating.
For that, we bring in John stash Hour.
Thanks Karen. The start of the NBA's Western Conference Finals,
Oklahoma City star Shay Gilgess Alexander got his MVP trophy
and then had a subpar game, only four points at halftime.
He shot seven for twenty three, while San Antonio's victor
Wibin Yama scored forty one points at twenty four rebounds
the Spurs beat the Thunder in double overtime in game one,
Game seven of the Stanley Cup playoffs. In Montreal's Alex Newhook,
who had a game winning goal in the first round
against Tampa Bay, scored in overtime the Ends beat Buffalo.
That's a Bloomberg Sports update.
Stay with us. More from Bloomberg day Break coming up
after this.
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 of Nathan Hager.
President Trump's ticking clock on Iran appears to be on
hold this morning. The President says he's holding off on
new bombardment's plan for today to give Saudi Arabia, the UAE,
and other golf allies more time to talk about reaching
a deal.
We've had periods of time where we had we thought
pretty much getting close to making a deal and it
didn't work out. But this is a little bit different.
I was President Trump at a White House event yesterday.
Joining us this morning is Bloomberg Middle East correspondent Bloomberg
Horizons anchor Jumana Bursecchimana, the president says, this time is
a little bit different. What is potentially making it different
this time? Good morning.
Yeah, well, at least he's actually said, and we have
to take his word at face value, that the US
were preparing for another round of military action. So remember
yesterday he issued a threat to Iran saying that the
clock is ticking and unless they sign a peace deal,
then the US would would have to act. And now,
of course we understand that the US were actually preparing
themselves for another round of kinetic action, and he says
that they have refrained from doing that at the request
of their Gulf allies that sada Arabia cut our UAE,
but then equally said, you know, they asked if we
could put it off for two to three days. That's
a short period of time because they think they're getting close,
very close to making a deal. So it's not completely
taking military action off the table, it's just postponing it.
Once again, the threat is still there and again giving
Iran an opportunity in the next couple of days to
come back to the negotiating table to at least, if
not agree on the full terms of the peace agreement.
But on a framework as to how they can push
this forward.
Interesting to hear the President say that it was Saudi Arabia,
the UAE, and Khatr among those calling for this diplomacy
when Tehran and potentially other groups have been targeting those
countries lately.
How does that factor in.
Yeah, No, it's a very valid point, and indeed, there's
been a lot of reporting, even from our own colleagues
that that said that over the course of the war,
both the UE and Saudi Arabia were actually privy themselves.
They did participate militarily in some targeted strikes on Iran,
so they were sort of passive participants. I will say
in this war, you fast forward to today, and I
think there's an understanding in the region that while there's
no love lost between Iran and the Gulf States, the
lesser of two evils would be to get a diplomatic
resolution to this, because their real concern is that Iran
would once again start striking back at energy infrastructure, energy facilities,
and you don't have to go that far. It was
over this weekend the nuclear facility in abudw was targeted.
It caused limited damage, no injuries, but it did cause
a fire, and these Gulf states are beginning to hurt economically.
So I think you know, when weighing up the options,
the better options of the two right now is to
get to a negotiated solution rather than have the risk
of things flaring up again and more damage being inflicted
on their economies and their infrastructure.
Less than a minute left.
But what could a potential diplomatic solution look like when
it seems like the US and run are still very
far apart on the fundamentals.
There are two main issues. The first is the Strait,
the second is the nuclear file on the Straight. The
Iran has asked the US to end it's blockade. The
US is said Iran has to first reopen the strait
before it can actually do so. So again, there it's
a bit of a staring match. It's a matter of
who can tolerate higher economic costs at this point. On
nuclear enrichment, the Rangers are saying that the US has
asked them to give it up completely. Iran says it
won't because they have a right to low level nuclear
Enrichmond Aaran are also asking for war reparations and guarantees
that the US won't strike again. Again, these are conditions
that the US are not going to subscribe to. So
there's still a host of issues, but ultimately, short term though,
what it boils down to is the strength of hormoes
and how the two sides are going to agree to
lift the mutual blockades that are in place.
This is Bloomberg Daybreak, your morning podcast on the stories
making news from Wall Street to Washington and beyond.
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And I'm Nathan Hager join us again tomorrow morning for
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here on Bloomberg Daybreak