Record Blizzard Cleanup; Trump’s 10% Levy Takes Effect

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, let's begin with the tales on the historic blizzard
that pounded the East Coast. Bloomberg meteorologist Craig Allen's been
following the storm every step of the way, and it's
here with us now. So Craig, what kind of accumulation
totals are we looking at here?
Indeed historic, because there are some history making numbers here,
not so much DC. Let's start around DC and work
our way on up. There was about two to four
inches of a slushy snow around d C, but there
were some areas that were closer to the five to
ten inch mark if you were near the coast or
in some of the suburbs on up to Philadelphia fourteen inches,
New York City nineteen point seven inches. That puts it
in the top ten snowiest storms for the New York
City area eighteen to twenty four though in some of
the suburbs, and even as much as thirty two inches
for parts of Long Island and on up into coastal Connecticut,
and then up to Boston thirty one point eight. But
before we get to Boston, it was a record breaking
snow in the history of record keeping for Providence, thirty
eight inches of snow from this particular storm, highest snow
totals ever. Highest wind totals were eighty to eighty five
miles per hour. Out across Nantucket. In Montauk, temperatures this
morning are in the twenties and obviously that means that
we have some refreezing going on out there as well.
Well.
Are we expecting that we're going to get any break
in the temperature so we can start to dig out
of this thing?
We will.
It will get mild there for a while this weekend,
but it doesn't come cheaply. It comes at a cost
of more snow. There is a chance of snow, but
light snow. These are not major systems, but there could
be some snow, especially for New York City and Boston
tonight into tomorrow, maybe about a one to three inch
type system. Same thing again Wednesday night into Thursday, and
believe it or not, early next week. So it's going
to be a parade of systems. But I don't think
there's going to be anything as epic as what we
just had moving off the coast yesterday.
All right, Bloomberg Meteorologists Craig Allen, and of course I'll
be checking in with you all morning. Craig, Thank you well.
As the digout continues in the Northeast, things are not
back to normal just yet. And Bloomberg's John Tucker joins
us with the very latest. John, Good morning, Good morning, Karen.
It's going to be days before we dig out from
the blizzard of twenty six after three canceled flights. This
man spoke for many.
How is my winter going?
In general?
It's a little bit too long, if you ask me.
I'm wondering if they'll let me become the new groundhog
and I can decide if winter stays a little bit longer.
Because this has been a bit much.
More than eleven thousand flights have been grounded through today,
more than five hundred thousand homes and businesses without power
as of late yesterday. Mjay Transit says North Jersey Coastline
at Raret and Valley Line service that remains suspended. Northeast
Quarter trains operating on a President's Day schedule with some
adjustments on the streets of Manhattan sidewalks are treacherous in
spots where snow has turned to sheets of ice. In
New York City, schools will be open for in person
instruction this morning. And don't relax just yet. Winter is
an over in New York.
On John Bloomberg Radio, All right, John, thank you, We
turned to politics now. Major story on that front's coming
up tonight. As President Trump delivers his State of the
Union address to a joint session of Congress. Affordability and
tariffs are expected to be two key themes. We get
a preview from Bloomberg's Amy Morris in Washington.
President Trump's second year in office is struggling with erratic messaging,
policy reversals, and sinking poll numbers. Former Republican Congressman Patrick
McHenry of North Carolina, now a Bloomberg News contributor, tells
Bloomberg Daybreak, there's plenty for the president to talk about.
So the question of tariffs and how the President's going
to respond to speak to this massive build up of
troops and airpower in the Middle East and doing so
in the midst of nearly fifty million people socked in
in a blizzard.
And while the President's economic agenda was thrown into chaos
after the Supreme Court struck down his preferred method of
imposing global tariffs. He's expected to continue to promote levies
in the State of the Union in Washington, Amy Moore
as Bloomberg Radio.
Right, Amy, thank you. While President Trump has invited both
the men's and women's Gold Metal hockey teams to attend
the State of the Union address, the women's squad has
declined the invite, while many of the men's teams said
they plan to attend. And you can catch extended coverage
of the State of the Union tonight with a special
edition of Balance of Power. Coverage begins at eight pm
Wall Street Time with Joe Matthew and Kaylee Lines on
Bloomberg Radio and Television.
The current President Trump's primetime speech comes as he begins
to rebuild his trade agenda. The President's new ten percent
global tariffs are now in effect, but he doesn't plan
to stop there. As we hear from Bloomberg's Rosalind Matheson,
we do.
Know from an administration official telling Bloomberg that they're looking
to see how they can raise that quickly to fifteen percent,
the level that Donald Trump threatened and of course that's
potentially bad news for some key US allies like Australia
and the UK, which stand to be worse off than
the parameters of the trade deals that they've been agreeing
with the US.
In response to the ten percent levy, Bloomberg's ros mathis
it says the European Union has halted ratification of its
trade deal with the US, and the White House is
also launching investigations into imported batteries, cast iron, electrical and
telecom equipment, plastics, and industrial chemicals. Those probes could lead
to even more tariffs under Section two thirty two of
the Trade Act.
Meantime, Nathan and the rest bit from President Trump's larger
tariffs could drive up cargo volumes at large ports, and
that's what we're hearing from Port of Los Angeles executive
director Eugene Soroco.
Realistically speaking, it appears that the effective terriff frey will
be lower for many who buy, especially from Asia countries
that are shipping here to the United States. But all
of this remains under one complication, and that's that announcements
keep coming out so fast and furious that it's tough
even for the most seasoned professional to keep up.
With all of this import of La Director Eugene Siroca
says import patterns have fluctuated based on trade policy announcements.
At the same time, exports have consistently suffered, with shipments
to China dramatically reduced.
Now we want to turn to the latest tarn on
a dangerous situation in Mexico. Turmoil continues south of the
border after the Mexican army killed the country's most powerful
drug lord. More than seventy people died in the attempt
to capture the cartel chief known as Elmencho. The cartel
responded with widespread violence, including roadblocks and setting fire to vehicles.
Tourists in the area have been left stranded, unable to
make a dangerous trip to the airport. Juan Carlos Guerrero
is sheltering in place in Puerto Vio.
We have not been able to find the flight back.
Even if we hear that the airport is secure and
there's military people around the airport keeping it safe. Getting
there and the hour drive to the airport is the
concerning part. We don't know what we may find along
the way.
The violence has prompted several Mexican states to cancel school
and warn residents to stay inside.
Now Nathan to the latest on tensions in the Middle East.
President Trump is pushing back against concerns about the risks
of an extended military campaign against Iran and a social
media posts, the President said a conflict against Iran would
be quote easily won, but he says he'd rather have
a deal with Tehran. Bloombergy Stewart Livingstone Wallace says the
President is likely considering four options.
Option number one is the diplomatic track, the one they've
been going down so far, and we have that meeting
coming up on Thursday. Option two is cyber warfare and propaganda.
It feels maybe a little bit late for that given
amount of hardware that's now in the region. And then
option three limited strikes, try and push the deal forward
or try and get some more concessions out of Iran.
And then option four, which is basically regime change, and
that is effectively a multi week campaign. There are some
doubts about whether you can achieve that purity with as strikes.
And Bloombergy Stewart Lemingston Wallace says the State Department ordered
non emergency personnel to leave the US embassy in Beiruti yesterday.
The US has a mass, the largest force in the
region since the Iraq invasion in two thousand and three.
Well, there is a lot going on in the world, Karen.
Let's take a moment to look at the markets now.
Stock futures are higher after yesterday's AI fueled sell off.
The Dow Jones Industrial Average film more than eight hundred points,
or one point seven percent. IBM had its worst day
in a quarter century, plunging thirteen percent. That's after anthropics
that its clawed code tool could help modernize a dated
programming language from IBM, American Express, MasterCard, and Capital One
were among the top financial decliners. Sactrini Research mentioned them
in a report to describing the potential risk AI could
pose to the global economy.
Nathan, we have new developments this morning and the takeover
battle for Warner Brothers Discovery. A Bloomberg News has learned
that Paramounts Guidance is raising his offer. Sources say the
Nuance specified bid improves on Paramount's thirty dollars a share
all cash proposal. Warner Brothers will consider the new offer,
and if deemed superior, Netflix will have four days to respond, Karen.
Jamie Diamond is sounding a warning this morning. The JP
Morgan Chase CEO is telling investors he's starting to see
parallels to the era before the two thousand and eight
financial crisis, when a rush to make loans ended very badly.
Unfortunately, we did see this five six and o seven,
almost the same thing. The rising tide lifts in all boats.
Everyone was making a lot of money. I don't know
how long it's going to be great for everybody. I
see a couple of people doing some dumb things. You know,
they're just doing dumb things to create ANII or or
say they're winning in the Marcus business or something like that.
Jamie Diamond says he expects the credit cycle will eventually
sour again, though he says he's not sure exactly when.
Time now for a look at some of the stories
making news in New York and around the world, and
for that were joined by Bloomberg's Michael Barr Michael, Good Morning.
Good Morning, Karen. New details and the disappearance of Nancy Guthrie.
The investigation reportedly saw the masked man suspected of abducting
the eighty four year old scared off by a camera
and fled from her front door sometime before apparently returning
the night she was taken. Former FBI agent Jason Peck.
If it is the same person, it could indicate that
the person was there surveilling the place before the abduction happened.
The fact that there was preparation in planning, which makes
it more of a sophisticated type of criminal activity than
someone just showing up.
Meanwhile, the disappearance of Today's Show host Savannah Guthrie's mother
three weeks ago has inspired volunteers to launch their own
searches in the dense desert near her home just outside Tucson. However,
authorities are urging volunteers to stop and give investigators space
to do jobs that are best left to the professionals.
Director and actor Rob Reiner's son Nick Reiner, pleaded not
guilty in court in the stabbing deaths of his parents.
Reiner as a history of mental health and substance abuse problems.
Los Angeles District Attorney Nathan Hockmann says Reiner could face
the death penalty.
The cases on track.
We have provided the bulk of discovery to defense counsel,
and we are now waiting for the coroner's report. When
that is provided to the District Attorney's office, it will
in turn be provided to defense counsel.
Reiner could change his plea to not guilty by reason
of insanity at any point down the road leading up
to his trial. Police in Britain say Peter Mandelsson, the
former UK ambassador to the United States, has been released
on bail after he was arrested in the Jeffrey Epstein files.
Misconduct probe authorities are investigating Mandelssohn over documents suggesting he
passed sensitive government information to Epstein a decade and a
half ago. Mandelssohn reportedly denies any wrongdoing. Global News twenty
four hours a day and whenever you want it with
the Bloomberg News Now Michael Barrn, this is Bloomberg, Karen.
Thanks Michael. A time now for our Bloomberg Sports update,
and for that we bring in John Stashauer.
Thanks Karen.
The big NBA game was in Detroit, San Antonio beat
the Pistons one fourteen to one oh three. The Spurs
of when nine in a row college hoops. The acc
North Carolina held off Louisville seventy seven to seventy four
seth Trimble score thirty in the Big twelve, Kansas beat
Houston sixty nine fifty six thirds three loss with the Cougars,
who were ranked number two in the country. Duke after
the big win over Michigan is now ranked number one
Detroit Tigers. As Trek Scoubel says, he will pitch for
the USA and the World Baseball Classic, but only one game.
That to Bloomberg Sports fifteen.
Day with us. More from Bloomberg Daybreak coming up after this.
Coast to coast on Bloomberg Radio nationwide on Serious Exam
and around the world on Bloomberg dot Com and the
Bloomberg Business app. This is Bloomberg Daybreak.
Good morning, I'm Nathan Hager, and we are hours away
from President Donald Trump's first State of the Union address
of his second term. Could be a chance to reset
with more Americans concerned about the economy, immigration, enforcement, foreign policy,
and more. Here's White House Press Secretary Caroline Levitt.
It is going to be a very good and powerful speech,
so everyone should tune in.
That was White Housepokeswoman Carolinelevitt previewing this speech last week.
This morning, we're joined by Bloomberg News Deputy Washington Bureau
Chief Laura Davison. So, Laura, what can we expect from
the President.
Tonight, Well, we can expect in the President's own words,
he said, this is going to be a long speech.
There's a lot to cover. Two things that are really
of key interest for folks that kind of the two
issues dominating the headlines right now are one, tariffs. How
does he address that? Does he lay out any more
detailed plans for how he's going to proceed after the
Supreme Court struck down his tariff plan last week. One
of the key things to note that's really will introduce
an interesting dynamic here is that the Supreme Court justices
typically attend and they sit in the front row just
feet away from where Trump will be speaking. He has
been very critical of the Supreme Court decision, you know,
personally attacking some of the justices who ruled against his tariff.
So that is a very delicate dynamic going into tonight's speech.
The second is iron You know, Trump has had a
teased he might be interested in some sort of targeted strike.
The US military is building up assets in the region,
but it's not clear exactly where things proceed. That is
the key foreign policy issue that people are watching for.
And those are two key issues that are raising concerns
for Americans. How does the president potentially reset that narrative
to try to assuage some of those concerns.
Yeah, Trump is going into this speech with his approval sagging,
especially on the economy. He's facing a rebuke for members
of his own party both on immigration and on tariff policy.
This speech is intended to set the stage going into
the midterms later this year. White House aids really want
Trump to focus on the economy, focus on his tax
cuts from last year, new proposals that they put out
in regarding housing affordability. But it's not clear if there's
enough meat on the bones there for Trump really to
turn around how voters are feeling about the economy, you know,
going in with just you know, eight or nine months
until the elections.
How much of a bounce do we typically see for
the president's party from a State of the Union address
ahead of the midterms. Does it have a wave all
the way into November?
It is highly unlikely, particularly with the news cycles that
we experience now, that this is not going to be,
you know, something that we're all talking about you know,
as we head into the fall or even you know,
next week or two weeks from now. But this does
at least give members of Congress, you know, particularly Republicans
who are facing an uphill battle as they go into
this midterm election, some key talking points that they can
at least point to and say, hey, look, this is
what the president, this is what the Republican Party is
going to do for you. Years that Republicans have is
that Trump is not going to skip stick to the script,
not focus on those domestic pocketbook issues, and instead either
go off script and create a new controversy or focus
on things that aren't of top concern to voters.
In our last minute, Laura has the White House tip
that's hand on any specific policy proposals that the President
could roll out here. I mean, we've been waiting for
the meat on the bones of a housing policy, for example.
They have not you know, that is one of the
key areas that keeps being brought up, you know, being
teased that a housing policy plan is coming. We've seen
very few details there. Another thing is is ai The
White House is looking at getting technology companies to pledge
to cover the cost of data center energy to reduce
some of the pressure that households have been feeling about
increasing energy energy cost. That's another area that is happening here.
But all of these so far have really been unbinding,
not something super actionable, and lacking a lot of the
specifics that people are looking for to actually see that
real dollars and cents boost in their paychecks.
Bloomberg Deputy Washington Bureau Chief Lay Davis and Laura thank you.
Ahead of the State of the Union address at nine
pm Wall Street Time. Our coverage begins at eight on
a special edition of Balance of Power with Joe Matthew
and Kaylee Lines. You can catch it on Bloomberg Radio
and television this evening.
Karen Nathan. Another major story, we're following the blizzard of
twenty twenty six and much of the Northeast still digging
out from where we're joined by Bloomberg meteorologists Craig Allen
and Craig Let's start with the snow totals. Was it
Rhode Island that was herdest hit?
Yes, it was Providence, setting an all time record of
thirty eight inches thirty seven point nine to be exact,
and so that set many records for Providence itself. Boston
wasn't far behind with thirty one and a half inches
of snow, and neither actually were parts of the New
York City area. Long Island had twenty five to thirty
two inches of snow. New York City itself put itself
into the top ten with a nineteen and a half
inch snowstorm, and well, fortunately it wasn't all that bad.
The farthest south you went, Philadelphia did pick up between
ten and fifteen, but down towards Washington it was only
a two to four inch slushy accumulation, with the highest
amounts over towards the coastline around the DC, well, let's
say Maryland's eastern shore, and then on off through Delaware,
So that's where it actually began, and the worst of
it just kept pounding the northeast coast.
You know, growing up in New England, Craig, the blizzard
of seventy eight was always the benchmark. Does this give
us a new bench meet? Yes? Remember I remember it? Well,
how does this compare?
Well, you know, in terms of the way the storm
was set up, the intensity of the storm, the storm structure,
it definitely compares. Now, there was more to the snowstorm
in seventy eight from DC on up all the way
to Boston, some places picking up anywhere from fifteen to
thirty inches of snowfall, with about thirty thirty five forty
inches of snow in some of the suburbs. And the
winds were similar, So there were some reports, as you
know from this one. I was mentioning before about eighty
to eighty five mile per hour gusts out towards Montalk
and Nantucket, Cape Cod, the islands out there, seventy five
to eighty five. That's hurricane force. And so this too
had similarities in the way it looked on the weather
maps and the satellite photographs to be very similar to
seventy eight. Every once in a while, the atmosphere just
really has to release, and that's basically what this was.
A release of energy throughout the Northeast coast this time around.
So they'll be talking about this one for years to
come as well. It seems so you're also talking about
more snow. Aheads say it isn't so, but what are
we in for?
Yes, I am, And you should see the looks on
some faces that I get after I say that. The
first two possibilities are coming up one four tonight, late
tonight and into the early part of Wednesday. Looks minor
and looks very wet. There could actually be some rain
mixing in and where if there is some snow accumulation,
especially on colder surfaces, it would be about an inch
or two from New York City on up to Boston,
not much down towards DC. Another chance during Thursday into
Thursday evening. Same thing minor, but talk is already starting
about next Monday night into Tuesday, not being as intense
as what we just went through, but that would be
the more important storm, a bigger storm again early part
of next week.
This is Bloomberg day Break, your morning podcast on the
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I'm Karen Moscow and I'm Nathan Hager. Join us again
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Ray