US & Iran Strike Each Other, Trump's New Tariffs Blocked

Bloomberg Audio Studios, Podcasts, radio News.
Good morning, I'm Nathan Hager and I'm Alexis Christophers. Here
are the stories we're following today, Alexa's.
Tensions are building once again between the US and Iran
as the world waits for Iran's response to a US
peace offer. Overnight, the US attacked missile and drone launch
sites inside Iran that it says we're used to attack
three US warships in the Strait of Hormuz. It's after
Iran accused the US of targeting two of its oil
tankers and striking civilian areas along its southern coast and
Kesham Island. But President Trump says the ceasefire is still intagged.
They trifled with us. Today we blew them away.
They trifled.
I call that a trifle.
I'll let you know when there's no season, you won't
have to know.
President Trump's threatening to hit Iran even harder if it
doesn't reach a deal. We get more from Bloomberg's Jumana
Borsecci in Dubai.
There is a strong push for the US side to
get a deal across the line, but we are still
in this period we were waiting to hear back from
the Iranians officially about the fourteen point one page proposal
that the US has put forward. As you were reporting
earlier in the week, some of the demands that the
US have put on that paper are deemed to be
quite maximalist from Iran standpoints. So it is unclear at
this point whether there can be some form of a compromise,
and indeed whether you can get to a compromise over
a thirty day period.
Bloombergs Jamani Bersettio reports Iran is still expected to respond
to the US software through Pakistani mediators in the next
two days.
President Trump is moving ahead with plans to hold a
summit with his Chinese counterpart Jijinping next week in Beijing,
and he's bringing some big name guests along with him.
Bloomberg's Tom Busby reports from New York.
The President bringing a who's who of American business leaders
for next week's summit in China, despite there being no
resolution to the US war against Iran now. Among those
planning to attend Blackstone CEO Steve Schwartzman, City of CEO
Jane Frasier, with Semophore reporting that the administration also plans
to invite Kelly Ordberg of Boeing, Jensen Wong of Nvidia
and others. Trump and She slated for a sit down
meeting May fourteenth and fifteenth. That summit has already been
postponed once due to the war. Tom busby Bloomberg Radio.
Tom thanks to Turn to Politics in the UK now,
the Labor government is taking heavy losses as the first
wave of local election results comes in. For more, Let's
go to London and get the latest with Bloomberg's James Wilcock.
Good Morning, James.
Nathan Alexis. Prime Minister Kiss Darmer says the results are
very tough, there's no sugarcoating it, and that he takes
responsibility for the losses. We're still waiting on the majority
of results, but the early signs are it is a
disastrous election for the governing Labor Party. The right wing
populist Reform UK Party are set to pick up hundreds
of seats. Already they've taken control of two councils and
elections in England and as we wait for the rest
of the day, we are still waiting on Wales and
Scotland election two, where Labor are author set to perform
very poorly. The question now for markets and people in
the UK is does the Labor Party decide that Keith
Starmer needs to be a change in leader as well
as someone who is an election loser In London. James
Wilcock Bloomberg Radio.
Thanks, James, and President Trump says he's giving the European
Union until July fourth to ratify its trade agreement with
the US. Bloomberg's Won Parts reports from London.
Having previously threatened to hike tarrifs on Orto imports as
soon as this week, Donald Trump has extended his deadline
for the EU to ratify its trade deal. The move
comes after Trump spoke to European Commissioned President Ursula vonderlyin
Negotiators from the European Parliament and Member States discuss potential
amendments to the deal earlier this week, but we're told
didn't reach any conclusive decisions in London. I'm you in
Pots Bloomberg Radio.
You and thanks. A major piece of President Trump's effort
to rebuild his tariff wall has just been declared unlawful
of federal trade courts in val lidated the President's ten
percent global tariffs under Section one twenty two of the
nineteen seventy four Trade Act. That law had never been
invoked before to impose tariffs, but President used it back
in February after the Supreme Court struck down his sweeping
emergency tariffs. The court says the ruling against Section one
twenty two only applies to the group of small businesses
that challenged it, along with Washington State. It's unclear what
the ruling will mean for other importers that have been
paying those duties and.
Turning to the markets now. Futures are higher ahead of
today's key jobs report. Economists are expecting a slow down
and hiring in April. The median forecast is for a
gain of sixty five thousand jobs and the unemployment rate
to hold steady at four point three percent. Bloomberg's Michael
McKee reports.
It's a one number increase as far as economists and
investors are concerned. With immigration near zero, the labor force
isn't growing much, which means headline job growth is going
to be a lot smaller. That's why the Fed will
pay attention to the unemployment rate. If it's not rising,
it's not signaling problem for the employment side of their
mandate and near record low jabas claim suggests unemployment is stable.
There will be some focus on average hourly earnings, which
are forecast to rise. Policymakers are looking for any signs
labor shortages or rising costs of things like gasoline are
pushing up on inflation. Michael McKee Bloomberg Radio.
San Francisco Fed President Mary Daily says there is no
indication the surge and energy prices is driving inflation expectations higher.
Daily spoke with Bloomberg's Mike McCain.
If the conflict ends and oil prices come back down
and that doesn't get passed into the broader economy, then
I expect the underlying dynamics that we were facing prior
to the conflict to return, which is policy is slightly restrictive,
continues to put downward pressure on inflation. The labor market
is stable right now, but it's not creating any inflationary pressures.
San Francisco Fed President Mary Daily and stay with Bloomberg
to hear more FED voices. At two pm Wall Street
Time today, Mike McKee sits down with Chicago Fed President
Austin Goldsby. You can catch that conversation live on Bloomberg Radio,
Bloomberg Television and the Bloomberg Business app.
And Nathan now to two Bloomberg exclusives. First, soft Bank
it's downsizing plans for a ten billion dollar margin loan
backed by its take in open Ai. Some creditors are
expressing concerns about the difficulty of reaching evaluation for an
unlisted company like open Ai. SoftBank is now said to
be targeting a margin loan of about six billion dollars.
The developer of chat GPT has faced challenges this year
and meeting sales targets and some internal goals. That's his
rival Anthropic gains ground and the coding and enterprise markets.
And sources to say, a key company behind Thaielands national
artificial intelligence effort is suspected of helping to smuggle servers
containing advanced Nvidia chips to China. Bloomberg News has learned.
US prosecutors have outlined a scheme in which super micros
co founder allegedly worked with Obon and third party brokers
to divert AI semiconductors in violation of US trade rules.
The alleged involvement of Obon in this smuggling arrangement could
raise questions about Nvidia's due diligence on high volume sales
of its hardware.
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 Michael Barr.
Good morning, Michael, good morning, and looks his. Spanish authorities
are preparing to receive passengers and crew members on a
hantavirus stricken cruise ship headed for the Canary Islands. At
least three passengers have died and several others are sick,
but the World Health Organization says the risk to the
wider public from the outbreak is low. Doctor Stephanie Widmer
is the director of the medical Toxicology Program at Saint
John's Riverside Hospital in New York.
At this point, health officials are assuming person to person
transmission is possible because this appears to involve the Andy
strain of hantavirus, which is one strain known to occasionally
spread between humans.
Doctor Stephanie Widmer. Authorities across four continents are tracing contacts
of passengers who left the ship, and the CDC has
ranked the hantavirus a Level three response that is the
lowest level of emergency activation and typical for this stage.
Secretary of State Marco Rubio spent several hours at the
Vatican Thursday. His visit included a meeting with Pope Leo.
During an exchange of gifts, Rubio gave the Pope a
small crystal football. The State Department seal Leo gifting Rubio
a pen apparently made of olive wood.
Olive being, of course, plant of peace.
This is the coat of arms here.
Today, Secretary Rubio is set to meet with Italy's Prime Minister.
After widespread backlash, soccer fans are getting a bit of
a break. New Jersey Transit will reduce its World Cup
ticket price from one hundred and fifty dollars to one
hundred and five. Governor Minkey Sheryl has directed the agency
to find private sponsorships and other sources to reduce the cost,
noting that Fifash contribute to transport of its fans to
World Cup games. The original round trip price from New
York's Penn Station to met Live Stadium was raised to
cover the additional costs of carrying fans to each game.
By the way, a typical ride on a regular day
costs about thirteen dollars. Global news twenty four hours a
day and whatever you want it with the Bloomberg News
Now Michael barn and this is Bloomberg Alexis.
Thanks Michael. Time now for our Bloomberg Sports update, and
for that we bring in John stash Hour.
Home games one of the NBA playoffs that includes the
Detroit Pistons. Now five straight playoff victories be Cleveland one
oh seven ninety seven. The Cans in the playoffs are
zero and five on the road. Oklahoma City six and
zero in the playoffs, with every win by at least
nine points. A second straight eighteen point win over the Lakers.
Carolina Hurricanes seven and zero in the Stanley Cup Playoffs.
They've only allowed eight goals in seven games. A four
to one win at Philadelphia. Aaron Rodgers to meet today
with the Pittsburgh Steelers moving closer to making a return.
That's to a Bloomberg Sports update.
Stay with us more from Bloomberg Daybreak coming up after
this Coast to coast on Bloomberg Radio nationwide on Serious XM,
and around the world on Bloomberg dot Com and the
Bloomberg Business app.
This is Bloomberg Daybreak.
Good morning on Nathan Hager, coming up on ten full
weeks of war in the Middle East. The US and
Iran or trading fire once again around the Strait of
Horn moves, but President Trump says the ceasefire is still
on as he waits for Iran's response to his latest
peace offer.
If there's no ceasfire, you're not gonna have to know,
You're gonna have to look at one big glow coming
out of Iran.
That was President Trump speaking near the Lincoln Memorial Reflecting
Pool in Washington. Joining us from Dubai this morning is
Bloomberg Middle East correspondent Jumana Bursecci, the anchor of Bloomberg Horizons.
J youman to catch us up on what's been happening
over the last twenty four hours. Is the ceasefire holding?
Good morning?
Yeah, Well, that's what Trump is saying, and so far
from the Iranian side as well, they seem to be
respecting the seasfire. Apart from that scuffle overnight around the strait,
certainly there was an escalation. Sentcom saying that three US
warships came out of attack by Iran while they were
crossing the strait. The attack involved missiles, drones, and small boats.
So the US responded to that they struck back around
the Iranian coast and also hit some key launch sites
and come out and control locations.
But that was that.
It was almost a tip for tat, and later President
Trump was asked about it whether that was the did
constitute a violation of the Seasfire from his perspective, and
he said no. However, he did threaten once again and said,
just like we knocked them out today, we'll knock them
out a lot harder, a lot more violently in the
future if they don't get their deals signed fast. So
once again really putting the pressure on the Iranian side
to come forward and offer their response to the memorandum
of understanding that the US put forward to them earlier
this week.
Well, do we have any sense that that pressure is
being felt on the Iranian side? Are we still expecting
some kind of response in the next day or so?
We are we are. We know that they are reviewing it,
and this is according to sources that we've spoken to
at Bloomberg and indeed what the Iranian Foreign Ministry spokesperson
has said in the last twenty four hours. They are
reviewing the document, but they've also characterized the document as
being very maximalist in terms of what the US is
looking for. And so the question here is how Iran
is going to come back, whether they're going to completely
cut off the process, so, whether they will extend the
process of negotiations once again, and whether we can actually
move towards this phased plan that both the US and
Iran actually have been positing the last couple of weeks,
which would entail a gradual lifting of the mutual bocades
around the Strait as at the same time they talk
about some of those bigger issues around the nuclear file
and ballistic missiles and the lifting of sanctions, the other
issues obviously at the core of the issue and why
the war was started in the first place, But the
Strait is the one that President Trump seems to care
about the most right now because it's having the most
notable economic impact.
Oh, we'd heard some reports that the effort to reopen
the straight on the US side was delayed in part
because Saudi Arabia wasn't allowing access to its Bass. Now
there were reports that that's kind of been reversed. What
could that mean for the potential of the US trying
to reopen the strait of horror moves again, and how
could Iran respond to that. We've got about a minute left.
Yeah, I just want to say that the official Ministry
of a Foreign Affairs, a diplomatic senior advisor from Saudi
Arabia put up a tweet this morning saying the Kingdom
of Saudi Arabia maintained its position supporting the escalation and
negotiation efforts. Beware of media reports attributed to unnamed sources,
some of whom claim to be Saudi, suggesting otherwise. It
is strange to see such a post put up, but
I think Saudi Arabia just wants to reiterate that they
are keen on a diplomatic solution here. That's probably not
the case for the likes of the UAE, and we
can speak about that, and their posture towards Iran has
been a lot more aggressive. Saudi Arabia is still pushing
the diplomatic angle despite all of the media reports that
have emerged.
This is Bloomberg Daybreak, your morning podcast on the stories
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