Trump-Xi Summit Wraps in Beijing; Jay Powell's Final Day as Fed Chair

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.
The Beijing summit between Presidents Trump and Shijin Ping of
China is in the books. The President is on his
way back to Washington now after a whirl win thirty
six hours that ended with a visit to jong nan Hi,
the secretive headquarters of China's Communist Party. The President is
touting his trip as a success.
This has been an incredible visit.
I think a lot of a lot of good has
come over and we've made some fantastic trade deals, great
for both countries.
And President Trump spoke alongside President she inside the heavily
guarded compound. Bloomberg's mid Menlow reports the details on some
of those deals have been wanting.
Boeing a two hundred jet deal that was less than expected.
Many people were expecting as much as five hundred. Yet
so we saw the stock of Boeing fall on the
back of that, but still quite a significant one, just
given that it puts an end to a near decade
long feeze in orders from China.
The last time we saw such.
A big deal was when President Trump last visited back
in twenty seventeen.
Bloomberg's Minmnlow reports to the US and China are also
discussing a mechanism to fast track some investment deals, as
well as reducing tariffs on non critical goods.
Nathan, there is another key pledge coming out of the summit.
US Trade Representative Jamison Greer told Bloomberg's and Marie hord
Dern about a new agricultural pact with China.
We expect to also see an agreement for double digit
billion purchases of ags over the next three years per
year coming out of this visit. And that's more general.
That's aggregate. That's not just soybeans, that's everything else.
US Trade rep Jamison Greer told our ane Marie hord
Dern that China has kept up on existing soybean pledges
and expects them to fulfill further pledges. Greer mentioned in
China re up US beef plant export registration as part
of that progress, and so iban futures fail, however, and
corn futures paired gains, with farmers and traders searching for
more concrete details on talks well.
Karen, President Trump also says he discussed the war in
Iran with President She and he says they both have
common goals in trying to end it.
We don't want them to have a nuclear weapon.
We want the straits open.
We're closing it now, and they closed it, and we
closed it.
On top of them.
Well.
Earlier, the President told Fox News that she offered to
help with negotiations, but China has not confirmed that. President
Trump also said the US doesn't need the Strait of
Horror moves opened as much as China and Gulf allies do,
before saying he wants the straight reopen. President also told
Fox the goal of recovering Iran's highly enriched geranium is,
in his words, more for public relations. He says the
US has round the clock surveillance on the material, which
is thought to be buried in Iran's bombed nuclear sides Nathan.
As President Trump departs China, another world leader is coming.
The South China Morning Post is reporting Russian President Vladimir
Putin will visit Beijing next Wednesday. This will be Putin's
first trip abroad this year, underscoring the close ties between
Beijing and Moscow.
Back to the Middle East, Karen. The United Arab Emirate
says it's building a new pipeline bypassing the Strait of
Hormus and plans to have it in operation by next year.
According to a social media post, Abu Dhabi National Ol
Company will double its oil export capacity through the port
of Fujira once it completes the project, helping meet global demand.
Let's head to the UK now, Nathan, where the future
of Prime Minister Keir Starmer remains in question. We go
to London get the very latest at Bloomberg's. James Wilcock, James,
good Morning.
Good morning, Karen and Nathan. The starting gun on the
race to replace kissed Armer five three times Yesterday six
a m. London Time, BANG, Former Deputy Prime Minister Azraina
says she is open to standing. One pm BANG Health
sexety West Streeting resigns and six pm last night BANG
Greater Manchester Mayor Andy Burnham, the most popular labor politician
in the country, says he wants to take a job
in Parliament, the first step to a formal challenge. All
that political volatility has guilts set for their biggest weekly
increase since March. In London, James Wilcock Bloomberg Radio.
All right, James, thank you. Back here in the US,
workers at the nation's biggest commuter railroad are threatening to
walk off the job tomorrow. For the latest, Let's bring
in Bloomberg's John Tucker in New York, John and Nathan.
The contract tosks between New York City's transit system and
the Long Island Railroad workers have hit a snag. The
union free to strike after today when a cooling off
period runs out. Rob Free, as president of the Long
Island Railroad.
Let's just say, first and foremost, we do not want
to strike. That is the last thing we want.
We're trying to negotiate in good faith.
While both sides agree on a retroactive nine and a
half percent pay increase over three years, the impasse is
on the wage hikes for this year. Nearly three hundred
thousand weekday riders use the leduble R. A strike would
force thousands of commuters onto the island's already congested roadways
by at least one estimate of the economic impact of
suspending service would amount to seventy million dollars per day.
The agency has a contingency plan for buses that would
just make a dan barely. Commuters are being urged to
work from home if there is a walkout in New York.
I'm John Tucker, Bloomberg Radio.
All right, John, thank you all. President Trump's latest financial
disclosures show that he made a slew of stock and
bond purchases in the first.
Quarter of the year.
Do we want to get the very latest of Bloombergy's
Alexis christoffers, Alexis, good morning.
Good morning, Karen. The president bond as much as five
million dollars each in companies including Nvidia, Oracle, Boeing, and Costco.
Six of the president's trades involved Intel. His administration hammered
out an agreement to take a ten percent stake in
the chip maker in August. Trump made investments related to
companies including Netflix, Paramount, Skydance, and Warner Brothers, and sold
holdings and technology firms Microsoft, Meta Platforms and Amazon. Unlike
his predecessors, President Trump didn't divest or move his assets
into a blind trust with an independent overseas. His business
Empire is managed by two of his sons and operates
in several areas that intersect with presidential policy. The White
House has said on previous occasions that neither Trump nor
his family members are making investment decisions for him. Alexis
Christophers Bloomberg Radio.
Alexis, thank you. Jay Powell's term as Federal Reserve chairman
ends today. He's being replaced by Kevin Walsh. FED Governor
Stephen Myron says he'll resign from the Central Bank once
worsh Ha is sworn in, and he says Powell could
help create a smooth transition.
Look, transitions are important, and I think that, you know,
it is maybe helpful to have someone there to give advice.
Here's how to be an effective chairman. Here's how to
lead the committee. You know, here's how the building works.
It maybe a little bit different than it was twenty
years ago, right. I think that can be helpful. But
I still think it's important that it be a transition
because you want to have people's loyalties undivided. You want
to have there be very clearly one chairman. You want
to have a place where there's no question about, no
question about who's in charge.
FED Governor Stephen Myron made those comments on Bloomberg's Surveillance.
Jay Powell says, although his term is ending, his FED
chair after eight years, he is staying on the Fed's board.
Well, we turn to the markets now, Nathan, where futures
are lower following another tech led record close on Wall Street.
The now closed above fifty thousand. Well, the SNP five
hundred closed above these seventy five hundred level. However, nowsday
futures are leading the losses this morning. They are currently
down one and a half percent. The global bond sell
off is intensifying in the rise in oil prices and
signs of rising inflation around the world. The yield on
two year treasuries are trading at a fifteen month high.
Japan's thirty year yelled rows to four percent for the
first time since its debut in nineteen ninety nine.
Well, Karen, it was quite the Wall Street debut for
Cerebras Systems. The AI chip maker and data center firm
swored sixty eight percent, giving it a market value of
nearly sixty seven billion dollars. Bailey lip Schultz covers the
company for Bloomberg.
A lot of.
Froth in the market, a lot of exciting around anything AI.
You throw out Nvidia competitor and people just get jacked up.
It'll be interesting to see where the stock is traded
three days, five days after their first earnings, in more importantly,
six months from now when insiders are unlocked.
Bloomberg's Bailey Lipscholdt says this was the year's biggest initial
public offering. Following yesterday's gains three were CEO Andrew Feldman's
Steak is now valued at three point two billion dollars Nathan.
Bloomberg News has learned Apple's two year old partnership with
open Ai has become strained. Sources say the ai startup
is not seeing the expected benefits from the d L
and is now preparing possible legal action, and Mark German
wrote the story for Bloomberg.
The reality is that this has been a dud financially.
Open Ai believes that the vast majority of people don't
want to use the serie.
Integration with Apple.
They'd rather use the chad gpt app, and they believe
that the poor integration of chat gpt into iOS has
resulted in open Ay's brand being damaged. So for that reason,
they're looking at a slew of different legal options to
go after Apple in the near future.
And Bloomer's Mark German says open Ai still hopes to
reside all of its issues with ample outside of.
Court, of course, Karen, one case that did go to
trial involving open Ai is nearing a conclusion. Lawyers have
made final arguments following out two weeks of testimony in
the high stakes showdown between Elon Musk and Sam Altman.
Musk claims Altman and open ai president Greg Brockman quote
stole a charity by exploiting his early support for an
altruistic research project to get rich by turning the company
into a profit driven enterprise. Musk is seeking as much
as one hundred and thirty four billion dollars in damages
to be awarded to open AI's nonprofit arm, as well
as an order unwinding open AI's conversion to a for
profit in today, it's.
Time off for look at some of the their stories
making news in New York and around the world, and
for that we're joined by A Bloomberg's Michael Barr. Michael,
good morning, Good.
Morning, Karen. The Centers for Disease Control and Prevention is
monitoring forty one people in the US who were exposed
to the hantavirus either abort the ship or from contact
with one of the passengers after they disembarked. European health
officials said the respiratory virus that killed three Hondias passengers
is showing no sign of mutating to become more contagious.
CDC spokesperson doctor David Fitter says that there are twelve
states with people under monitoring for potential Hunter virus infections,
including New Jersey.
We're working very.
Closely with all the state and local health departments to
monitor everybody, all the contacts that are coming back again.
We would defer to the jurisdictions or the states about
announcements that they would make about their residence, but we
are tracking everything very closely.
The CDC's doctor David Fitter says the outbreak has now
been linked to ten cases. The Supreme Court allows abortion
pill mif of pristone to continue to be available by
mail while the lawsuit unfolds. Drug companies ask the justices
for an emergency order to put the lower courts ruling
on hold. The abortion pill is the most common method
of abortion. People are hopeful about out an experimental drug
that has shown promising results to give some pacreatic cancer
patients more time. It's not FDA approved, but more doctors
around the country can now use the drug to help
eligible patients after the FDA granted it expanded access. Doctor
Brandon Hufman, a medical oncologist at Dana Farber Cancer Institute,
helped carry out the clinical trial. He told ABC the
drug could replace chemotherapy as a pancreatic cancer treatment.
It's a targeted therapy and the early trial data that
were just published in the New England Journal of Medicine
showed that it's well tolerated, it's a once a day
pill and it really works.
Doctor Huffman says the drug helped shrink the cancer, helping
the patients live better and longer. Global news twenty four
hours a day and whenever you want it with Bloomberg
News Now. I'm Michael Barr and this is Bloomberg Carot.
Thanks Michael. All time now for our Bloomberg Sports Updated,
and for that we bring in John Stashauer.
Thanks Ny for the first time since nineteen sixty nine,
a seven way time for the lead after the opening
round of the PGA Championship in Pennsylvania. The group includes
Scotnie Scheffler, the world number one and defending champion. The
full NFL schedule is out. The first game is Wednesday,
September ninth, and it's a rematch of last year's Super Bowl.
It'll be New England at Seattle. Stanley Cup Playoffs. Monk
drew on one sixty three at Buffalo, goes home with
a three to two series lead. Vegas won five one
at Anaheim. The Golden Knights advance. That's a Bloomberg Sports Update.
Stay with us. More from Bloomberg day Break coming up
after this.
Coast to coast.
I'm 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, I'm Nathan Hager. President
Donald Trump is on his way back from what China's
calling a historic and landmark visit to Beijing. President says
he may a lot of trade deals during his two
days visiting Chinese leader Shi Jinping. He says he's looking
forward to reciprocating when President she comes to Washington in September.
Very impress with.
China, and I just want to end by saying thank
you very much.
It's been really a great a couple.
Of days, and that was the President wrapping up his
visit in the rarely visited Jiang Non High headquarters of
the Chinese Communist Party. Joining us from Beijing is Bloomberg
Chief political correspondent an Marie Horden, who's been leading our
team coverage of the President's visit to Beijing, and Marie
amid Ama all the pomp and circumstance, what of substance
came out of the President's two days from where you stand?
Good morning, Good morning.
It's a great question, because it's been very vague in
terms of some of the deliverables that we've received out
of this trip between President Trump and Chijiping, the bilateral meetings. Clearly,
trade has been one of the biggest wins. I spoke
to US trade representative Jameis and Greer earlier this morning
in Beijing. He said they expect double digit billion purchase
of agriculture over the next three years, So that's soybean's.
Plus everything else.
The President spoke about Boeings to Fox News, but he
said that the deal was going to be for two
hundred boeings. Leading up to this trip, everyone thought it
was going to be five hundred. So it does feel
like potentially that fell short. On top of all of that,
we do not have the confirmation on the Chinese side
about exactly what was agreed upon in some of these
trade deals, so.
It's very vague. There's going to be need.
For more details farm volumes, energy deals, expanded market access.
What exactly was agreed upon.
And finally, something that really caught my eye and attention
was in this conversation with Ambassador Greer. There's been all
this speculation about semiconductors, whether or not chips would back
on the table because of the fact that Jensen Wang
was a last minute addition as part of the dozens
of executives that flanked the President on this trip, and
he said that it wasn't a major topic in the
bilateral meeting between She jingg and Donald Trump.
And he also said.
That approval of Nvidia's H two hundred chip purchases will
be determined by China, even though the United States has
given that green light.
Yeah, it was interesting to see Jensen Wong added as
a last minute addition to this pretty sizable contingent of
business leaders that accompanied President Trump on this trip. Given
how many American corporate titans came to the Chinese capital.
Do the deliverables from what we understand match the size
of the delegation can we tell at this point Emory, Well, no.
We don't know that yet, but again it's still early days.
Potentially these executives, which did have time a number of
them with Chijingpang as well as the Chinese premiere, will
see the fruit of this trip later in the year,
you know, ones squarely focused on our individuals like Alumina,
which is on the entity list META.
Of course Dina Powell was here.
I think that was fascinating given the fact that at
the very end of them having this acquisition two billion
dollars of Manus, the AI company in China, did Chinese
government ended up blocking it. This came after Manus employees
started actually migrating and moving into the META building in Singapore.
So potentially these executives are here and able to massage
some of the issues they are having in terms of
access to China or individuals like Elon Musk, which later
on this year we know he's going to want to
seek Chinese regulatory approval to have autonomous driving when it
comes to Tesla cars. So potentially this is an opening
for a lot of these executives. But if you're looking
for hard and firm deliverables today as we wrap up
this summit, they're not here.
We also heard the President tell Fox News that President
she offered to help with Iran negotiations. How much of
a shadow did the Iran war cast over this trip
and do we even have confirmation on the Chinese side
that there is going to be that kind of help
that the President is suggesting?
Well, this is something the White House has really focused
on less so on the Chinese side, Trump, you know,
suggesting that they really signal their willingness to help diplomatically
and said that both sides want the straight up from
moves to open. China urged for the waterway to open.
These are familiar lines though we've already heard from Beijing. Really,
the White House readout focused a lot on Iran, how
China wants to see the waterway open, not want wants
to demilitarized, and doesn't want to see the regime be
willing to charge a toll. But what China is willing
to say publicly on Iran has been what they've been
willing to say publicly on the Iran for the past
weeks as the war has continued.
So really that's been more of an.
Issue that the United States has been willing to highlight
and has wanted to highlight and push out, and not
something the Chinese Ministry of Foreign Affairs or Changing Ping's
readout and grorgious state media has wanted to push forward.
For China.
The real issue that they wanted to make a red
line during the summit. Even though they try to have
stability with the United States in terms of trade, they
wanted to make it very clear that their red line
is and continues to be Taiwan.
Absolutely, with a very early warning from the Chinese leader
about the potential for clashes if the US doesn't handle
the Taiwan situation the way it would like to see
in our last minute or so, Anne Marie, how contentious
is that issue still now between the US and China.
Given what we've seen from the Chinese readout is praise
for this new bilateral relationship that President She's talking about, Well.
It definitely remains the top risk between this relationship. And
what was so interesting is that the readouts are always
going to be different between Beijing and Washington. But the
Chinese readout came while the two leaders were still speaking.
What I found interesting was my conversation with Ambassador Jamison.
And remember he was chief of staff to USTRS Robert
Leithheiser in twenty seventeen, so he was on that trip
and he was in these meetings, and he didn't think
that this time around the Chinese delegation Shijinping were sharper
in regards to Taiwan. He says that this was expected,
this is always expected when dealing with their Chinese counterparts.
And he said that the coverage or the readout of
it was sharper than actually what was taken away in
the meetings, and the meeting was very candid.
So that's one view of what is going on.
But it is telling that the president, who loves to
talk to the press, was asked about it and ignored
that question. Potentially, you know, on his way back to Washington,
he will gaggle with reporters and I imagine for the
press pool, this is going.
To be the top ask.
This is Bloomberry Daybreak, your morning podcast on the stories
making news from Wall Street to Washington and beyond.
Look for us on your podcast feed by six am
Eastern each morning, on Apple, Spotify, or anywhere else you listen.
You can also listen live each morning starting at five
am Wall Street Time on Bloomberg eleven three to zero
in New York, Bloomberg ninety nine to one in Washington,
Bloomberg ninety two nine in Boston, and nationwide on serious
XM Channel one twenty one.
Plus listen coast to coast on the Bloomberg Business app
now with Apple CarPlay and Android Atto interfaces.
And don't forget to subscribe to Bloomberg News Now. It's
the latest news whenever you want it in five minutes
or less. Search Bloomberg News Now and your favorite podcast
platform to stay informed all day long. I'm Karen Moscow.
And I'm Nathan Hager. Join us again tomorrow morning for
all the news you need to start your day right
here on Bloomberg day Break