Biden’s Disastrous Debate; Key Inflation Reading

Bloomberg Audio Studios, Podcasts, radio News. Good morning, I'm Nathan 0:00:10.880 --> 0:00:13.840 Hager and I'm Karen Moscow. Here are the stories we're 0:00:13.880 --> 0:00:14.680 following today. 0:00:14.840 --> 0:00:17.239 Karen, we begin with the first debate of twenty twenty 0:00:17.320 --> 0:00:20.880 four for President Biden and former President Trump. The CNN 0:00:20.960 --> 0:00:23.799 presidential debate was a tough night for the president. He 0:00:23.920 --> 0:00:27.000 fumbled with lines, struggled with a cough, and tripped over 0:00:27.080 --> 0:00:29.800 key numbers like this moment on his economic record. 0:00:30.240 --> 0:00:34.239 Economy collapsed, there were no jobs, Unemployment ray rose to 0:00:34.280 --> 0:00:35.080 fifteen percent. 0:00:35.440 --> 0:00:36.280 It was terrible. 0:00:36.640 --> 0:00:38.000 And so what we had to do is try to 0:00:38.040 --> 0:00:40.680 put things back together again. And that's exactly what we 0:00:40.760 --> 0:00:44.080 began to do. We created fifteen thousand new jobs. 0:00:44.040 --> 0:00:47.559 The president meant to say fifteen million jobs. Former President 0:00:47.560 --> 0:00:49.840 Trump was quick to pounce on the economy. 0:00:50.280 --> 0:00:54.040 We had given them back a country where the stock 0:00:54.080 --> 0:00:57.280 market actually was higher than pre COVID, and nobody thought 0:00:57.280 --> 0:01:00.440 that was even possible. The only jobs he created editor 0:01:00.480 --> 0:01:02.280 for illegal immigrants and. 0:01:02.240 --> 0:01:03.120 Bounce back jobs. 0:01:03.120 --> 0:01:04.400 It bounce back from the COVID. 0:01:04.640 --> 0:01:07.039 But Trump may have had his own missteps. The former 0:01:07.120 --> 0:01:09.560 president was asked whether he would accept the results of 0:01:09.560 --> 0:01:12.000 this election and denounce political violence. 0:01:12.240 --> 0:01:16.200 If it's a fair and legal and good election, absolutely 0:01:16.560 --> 0:01:20.880 I would have much rather accepted these But the fraud 0:01:21.080 --> 0:01:23.520 and everything else was ridiculous. 0:01:23.800 --> 0:01:26.679 But President Biden's halting performance is getting a lot of 0:01:26.680 --> 0:01:29.679 attention this morning. Sources tell Bloomberg News the president was 0:01:29.720 --> 0:01:31.080 fighting a cold last night. 0:01:31.480 --> 0:01:34.600 Well Nathan reaction is pouring into the debate. A CNN 0:01:34.680 --> 0:01:37.959 flash poll showed as sixty seven percent of a watchers 0:01:38.000 --> 0:01:42.200 thought Trump won. Bloomberg Politics contributor Rick Davis thinks it 0:01:42.240 --> 0:01:43.960 was a bad showing by the president. 0:01:44.319 --> 0:01:47.680 The performance by Joe Biden has to creat questions in 0:01:47.720 --> 0:01:50.400 the Democratic Party's minds is whether or not they have 0:01:50.480 --> 0:01:53.840 someone who's up to the election. They've got five months ago, 0:01:54.000 --> 0:01:55.920 and this was not a man who I would say 0:01:55.920 --> 0:01:57.760 you'd ever want to put on a debate stage again. 0:01:58.040 --> 0:02:01.920 Bloomberg Politics contributor Chris and Hahn said the Biden campaign 0:02:01.960 --> 0:02:04.120 will have to immediately strategize. 0:02:04.240 --> 0:02:05.800 They're going to have to come up with how they're 0:02:05.800 --> 0:02:07.960 going to talk about it immediately, and I think that 0:02:08.000 --> 0:02:10.160 the campaign's ready to do that. And I think if 0:02:10.160 --> 0:02:12.560 you're going to look at the president is right on 0:02:12.639 --> 0:02:16.080 the issues. He was up against a liar. The performance 0:02:16.240 --> 0:02:18.320 wasn't what it needed to be. The campaign is going 0:02:18.360 --> 0:02:20.560 to have to be in full mode, you know, like 0:02:20.680 --> 0:02:23.040 out there talking to people about like what makes this 0:02:23.120 --> 0:02:26.640 president different, why these issues are so important to the 0:02:26.680 --> 0:02:27.519 American people. 0:02:27.880 --> 0:02:30.799 Both Kristin Hahn, a partner at Rock Solutions, and Rick 0:02:30.919 --> 0:02:34.840 Davis of stone Court Capital are Bloomberg political contributors, and 0:02:34.919 --> 0:02:35.359 Karen we. 0:02:35.320 --> 0:02:38.400 Did see some immediate market reaction following the debate. We 0:02:38.400 --> 0:02:40.840 get the latest on that from Bloomberg's John Tucker. 0:02:40.919 --> 0:02:43.919 John and Nathi dollar Ange hire As traders concluded that 0:02:44.080 --> 0:02:47.679 former President Trump was the victor in the debate. Bloomberg's 0:02:47.680 --> 0:02:49.920 gauge of the US currency climbing as much as two 0:02:50.000 --> 0:02:53.559 tenths of a percent before they move fell back. Peter Oppenheimer, 0:02:53.639 --> 0:02:56.880 the chief global equity strategist of Goldman Sachsi's the market 0:02:56.960 --> 0:02:57.800 narrative shifting. 0:02:58.200 --> 0:03:03.280 The focus is very much now on politics, and I 0:03:03.320 --> 0:03:06.559 think we're starting to see that in slightly high volatility. 0:03:07.040 --> 0:03:11.359 Trump, who once proclaimed himself tariff man, has proposed universal 0:03:11.400 --> 0:03:14.480 baseline terence on most foreign products, including higher levees on 0:03:14.560 --> 0:03:18.799 certain countries that devalue their currency. On another front, shares 0:03:18.840 --> 0:03:22.040 of Trump media, significant source of the former president's wealth. 0:03:22.400 --> 0:03:25.360 In pre market trading are up seven and a half percent. 0:03:25.760 --> 0:03:27.359 I'm John Tucker, Bloomberg Radio. 0:03:27.840 --> 0:03:30.720 Right, John, thank you well. The real possible market moving 0:03:30.720 --> 0:03:34.079 event comes later this morning. It involves a key inflation 0:03:34.240 --> 0:03:37.040 report that the Fed closely follows. We get a preview 0:03:37.080 --> 0:03:38.680 from Bloomberg's Michael McKee. 0:03:38.800 --> 0:03:42.400 It's the number everyone is waiting for but likely already knows. 0:03:42.880 --> 0:03:45.600 PCE inflation is the measure that Fed uses for its 0:03:45.640 --> 0:03:49.040 two percent target. It uses inputs from the consumer and 0:03:49.160 --> 0:03:53.120 producer price indexes. After both a released, economists can plug 0:03:53.160 --> 0:03:56.600 those numbers into their PCE calculations and pretty much nail 0:03:56.720 --> 0:04:00.440 where PCE will come out. The consensus is you'll see 0:04:00.480 --> 0:04:03.640 more good news on inflation with headline PCE flat and 0:04:03.760 --> 0:04:06.520 core up just a little. That will push down both 0:04:06.560 --> 0:04:09.920 the headline and core year over year figures and add 0:04:09.960 --> 0:04:12.400 momentum to the view the Central Bank will be able 0:04:12.400 --> 0:04:16.320 to lower interest rates later this year. Michael McKee, Bloomberg Radio. 0:04:16.120 --> 0:04:18.799 All right, Mike, thanks and company news. Shares of nikeer 0:04:19.040 --> 0:04:22.880 swooshing lower this morning, down more than fourteen percent. The 0:04:22.920 --> 0:04:26.400 company reported quarterly sales that fell short of expectations. More 0:04:26.400 --> 0:04:28.240 from Bloomberg's Charlie Pellett. 0:04:28.120 --> 0:04:31.719 It adds urgency to the world's largest sportswear company's efforts 0:04:31.760 --> 0:04:35.599 to strengthen its ties with its retail partners and speed 0:04:35.680 --> 0:04:39.680 up its product development. Revenue fell one point seven percent 0:04:39.760 --> 0:04:43.599 to twelve point six billion dollars for the fiscal fourth quarter, 0:04:43.960 --> 0:04:47.680 missing the average of analyst estimates. Greater China revenue for 0:04:47.720 --> 0:04:51.239 the quarter was one point eight six billion dollars, beating 0:04:51.320 --> 0:04:56.320 the average analyst estimate, while earnings per share also surpassed expectations. 0:04:56.760 --> 0:04:59.880 The results show that the weakness that Nike has reported 0:05:00.040 --> 0:05:04.440 in recent quarters is persisting in New York. Charlie Pellett 0:05:04.440 --> 0:05:05.719 Bloomberg Radio. 0:05:05.680 --> 0:05:07.680 All right, Charlie, thank you. Weby now turned to the 0:05:07.760 --> 0:05:11.760 latest in the Middle East. Record numbers of Hezbela projectiles 0:05:11.800 --> 0:05:15.800 have hit Israel this month. Meanwhile, Israel's military is carrying 0:05:15.839 --> 0:05:19.120 out deeper attacks in Lebanon. This is all raising concerns 0:05:19.120 --> 0:05:22.279 that Middle East may be heading toward a major regional war. 0:05:22.440 --> 0:05:26.159 Bloomberg Israel Bureau chief Ethan Brauner has more from Tel Aviv. 0:05:26.440 --> 0:05:29.440 In theory, all sides are opposed that as Israel says 0:05:29.480 --> 0:05:31.040 it doesn't want a war if it can find a 0:05:31.120 --> 0:05:34.880 diplomatic solution. His blissays, We're not interested in having a war, 0:05:34.960 --> 0:05:38.200 but we're ready for one. But the level of combative 0:05:38.279 --> 0:05:42.120 rhetoric and of sort of escalation in the name of 0:05:42.160 --> 0:05:46.280 de escalation is really very alarming, and I think that 0:05:46.320 --> 0:05:50.359 there is a genuine risk which would of course do 0:05:50.520 --> 0:05:54.320 terrible things to both countries as well as to oil prices. 0:05:54.400 --> 0:05:56.960 And then there's of course a massive risk of Iran 0:05:57.040 --> 0:05:58.719 coming and end of the US. 0:05:58.920 --> 0:06:02.320 Bloomberg Israel buer Ro chief Evan Bronner says both senior 0:06:02.440 --> 0:06:05.719 US and French and diplomats have visited Jerusalem and Beirut 0:06:06.000 --> 0:06:08.240 as part of an intense push to stay of off 0:06:08.400 --> 0:06:14.000 escalation in the region and as time now for a 0:06:14.000 --> 0:06:15.839 look at some of the other stories making news in 0:06:15.880 --> 0:06:17.680 New York and around the world. For that were joined 0:06:17.680 --> 0:06:20.120 by Bloomberg's Michael Barr Michael, good Morning. 0:06:19.960 --> 0:06:23.960 Good morning. Karen, the former Uvaldi School District police chief 0:06:24.000 --> 0:06:27.359 in Texas, has been indicted over the failed response to 0:06:27.400 --> 0:06:31.760 the rob Elementary school shooting that left nineteen students and 0:06:31.880 --> 0:06:35.080 two teachers dead in May of twenty twenty two. Pete 0:06:35.080 --> 0:06:39.040 Aredondo was booked on ten felony accounts of child endangerment 0:06:39.120 --> 0:06:43.040 and abandonment. Arenando was briefly booked into the county jail 0:06:43.120 --> 0:06:47.440 before being released on a ten thousand dollars bond. A 0:06:47.560 --> 0:06:51.920 second officer, Adrian Gonzalez, was also indicted on similar charges. 0:06:52.320 --> 0:06:57.080 The families of those killed gathered outside the county jail, 0:06:57.520 --> 0:07:01.479 calling for more indictments against law enforcement. Brett Cross lost 0:07:01.480 --> 0:07:02.600 his ten year old son. 0:07:03.040 --> 0:07:05.360 There were children in there and they did nothing, and 0:07:05.440 --> 0:07:08.280 that is neglect, and that is negligence and they need 0:07:08.320 --> 0:07:09.760 to be charged for that as well. 0:07:10.400 --> 0:07:14.680 'voldy Officials are expected to unseal the indictments later this morning. 0:07:15.040 --> 0:07:19.040 The NYPD is looking for an escaped prisoner. A man 0:07:19.120 --> 0:07:21.800 hunt is underway for thirty five year old James Massetti. 0:07:22.200 --> 0:07:26.240 Authorities say he allegedly escaped from a Manhattan hospital Wednesday night. 0:07:26.520 --> 0:07:30.320 Bassetti was brought to New York City Health and Hospital's 0:07:30.360 --> 0:07:34.000 Bellevue on June fifth for a medical issue. Police say 0:07:34.040 --> 0:07:37.200 he was being prepared to be transported back to Rikers 0:07:37.200 --> 0:07:41.080 Island when he escaped from authorities. He is described as 0:07:41.120 --> 0:07:44.640 being five feet six inches tall weighs about one hundred 0:07:44.640 --> 0:07:48.320 and eighty pounds and wears glasses. Anyone with information is 0:07:48.400 --> 0:07:52.000 asked to call police. The Biden administration is weighing in 0:07:52.120 --> 0:07:55.600 on the Supreme Court Idaho abortion ruling on access to 0:07:55.640 --> 0:07:59.760 emergency medical care. White House Press Secretary Karine Jean Pierre 0:08:00.120 --> 0:08:02.120 speaking to reporters of Board Air Force one. 0:08:02.400 --> 0:08:05.880 No woman should be denyed care, or wait until she's 0:08:05.960 --> 0:08:10.440 near death, or forced to flee her home state just 0:08:10.480 --> 0:08:14.720 to receive the healthcare she needs. Yet, this is exactly 0:08:14.760 --> 0:08:17.480 what is happening in states across the country since the 0:08:17.520 --> 0:08:19.160 Supreme Court overturned Roe v. 0:08:19.320 --> 0:08:19.760 Waite. 0:08:19.960 --> 0:08:24.120 More decisions are expected from the Supreme Court today. Iranians 0:08:24.160 --> 0:08:27.240 have started voting in a presidential election to replace late 0:08:27.280 --> 0:08:32.080 President Ibrahim Rayisi. Today's voting follows the May helicopter crash 0:08:32.160 --> 0:08:36.160 that killed Rayisi, the Foreign Minister, and several other officials. 0:08:36.480 --> 0:08:39.280 Global News twenty four hours a day and whenever you 0:08:39.360 --> 0:08:42.000 want it with the Bloomberg News Now. I'm Michael Barr, 0:08:42.080 --> 0:08:43.960 and this is Bloomberg. 0:08:43.440 --> 0:08:50.520 Carry all right, Michael Barr, thank you time now for 0:08:50.559 --> 0:08:53.320 the Bloomberg Sports Update with John stash Hour. 0:08:53.440 --> 0:08:56.520 John, good morning, Good morning, Carrying the Yankees. We're cruising 0:08:56.559 --> 0:08:58.600 through the first half of the season. They started off 0:08:58.640 --> 0:09:01.199 ten and two. They hadn't eleven and two stretch in May. 0:09:01.240 --> 0:09:04.360 They won twelve to fourteen in June, but since the 0:09:04.440 --> 0:09:06.880 fifteenth of the month they are just two and nine. 0:09:06.920 --> 0:09:10.960 And in Toronto they fell way behind right away one. 0:09:10.920 --> 0:09:15.520 Two swinging a drive deep left field. That one's way 0:09:15.559 --> 0:09:23.800 back and that ball is gone. A second deck shot 0:09:23.880 --> 0:09:27.520 for George Springer and the Blue Jays are up five 0:09:27.679 --> 0:09:30.440 nothing before and out Spin recorded. 0:09:30.160 --> 0:09:33.000 Which that five ninety to call. An inning later, Springer 0:09:33.080 --> 0:09:35.959 with another three run shot, both off Carlos Rodan. The 0:09:35.960 --> 0:09:38.199 Blue Jays led eight to nothing in the second inning 0:09:38.240 --> 0:09:40.400 went on to win nine to two. Rodann, who struggled 0:09:40.440 --> 0:09:43.200 last season, had won seven starts in a row. Now 0:09:43.559 --> 0:09:46.800 he's lost his last three, allowing twenty earn runs in 0:09:46.840 --> 0:09:49.960 those three games. The Orioles beat Texas eleven to two. 0:09:50.000 --> 0:09:53.160 Baltimore now tied for first with the Yanks, Mets, and Astros. Tonight' 0:09:53.160 --> 0:09:56.280 City Field, the Mets were eleven games under five hundred, 0:09:56.360 --> 0:09:59.120 Houston was once twelve under, and now the Mets are 0:09:59.200 --> 0:10:01.920 thirty nine and thirt nine, and the Astros are forty 0:10:01.960 --> 0:10:04.240 and forty round two of the NBA draft that drama 0:10:04.280 --> 0:10:06.920 game with pick number fifty five overall, and sure enough, 0:10:07.200 --> 0:10:09.880 the Lakers took Ronnie James, so he and his father 0:10:10.000 --> 0:10:14.199 Lebron can make NBA history first father and son teammates. 0:10:14.200 --> 0:10:17.679 The Nixon round two took Marquette point guard Tyler Kolak. 0:10:17.720 --> 0:10:20.360 He was once Biggiest Player of the Year. Colorado's Nathan 0:10:20.400 --> 0:10:23.800 McKinnon won the Heart Trophy is NHL MVP. The NFL 0:10:23.920 --> 0:10:26.720 Delta defeat in an LA courtroom ordered to pay four 0:10:26.760 --> 0:10:29.920 point seven billion dollars in a class action lawsuit brought 0:10:29.960 --> 0:10:32.680 by two and a half million plaintiffs who argued the 0:10:32.720 --> 0:10:36.080 NFL over a twenty eight year period inflated the price 0:10:36.160 --> 0:10:38.520 for the Sunday ticket package that allowed fans to watch 0:10:38.600 --> 0:10:40.640 all the games of the NFL says it will appeal. 0:10:40.960 --> 0:10:43.559 John Stashedward Bloomberg Sports Ken Nathan. 0:10:45.960 --> 0:10:50.080 Coast to Coast on Bloomberg Radio, nationwide on Sirius XM, 0:10:50.200 --> 0:10:53.080 and around the world on Bloomberg dot Com and the 0:10:53.120 --> 0:10:57.760 Bloomberg Business app. This is Bloomberg Daybreak. Good morning, I'm 0:10:57.840 --> 0:11:00.560 Nathan Hager. It is the morning after the first debate 0:11:00.679 --> 0:11:05.040 rematch between President Biden and former President Donald Trump. This 0:11:05.480 --> 0:11:07.560 first encounter came a lot earlier in. 0:11:07.520 --> 0:11:10.880 The political cycle than debates like this have come in 0:11:10.880 --> 0:11:13.040 the past. The President may have been hoping to give 0:11:13.080 --> 0:11:16.840 a kickstart to his struggling re election campaign, but a 0:11:16.880 --> 0:11:20.559 faltering performance last night maybe raising new questions for Democrats 0:11:20.600 --> 0:11:23.559 about where this race goes from here. Joining us now 0:11:23.600 --> 0:11:27.200 for some morning after analysis are Greg Valier, chief US 0:11:27.240 --> 0:11:32.079 policy strategist at AGF Investments, and Terry Haynes, the founder 0:11:32.160 --> 0:11:36.280 of Pangaea Policy. Terry, good morning, It's good to speak 0:11:36.320 --> 0:11:40.040 with you. Your reaction to what we heard last night 0:11:40.160 --> 0:11:44.120 on the CNN presidential debate stage. 0:11:43.120 --> 0:11:47.319 Nathan, good morning. A few things first, I think the 0:11:47.400 --> 0:11:50.120 reaction certainly is going to be kind of a market's 0:11:50.200 --> 0:11:53.920 negative and a geopolitical negative. We say three things though. 0:11:54.160 --> 0:11:58.319 First is Biden certainly had a bad night. I think 0:11:58.360 --> 0:12:01.600 it's negative for him, but I think it's irretrievable and 0:12:02.000 --> 0:12:06.000 you can forget him being replaced by Democrats. I mean, 0:12:06.480 --> 0:12:08.320 I think that's not going to happen based on what 0:12:08.400 --> 0:12:12.240 we know today at all. Secondly, I think we need 0:12:12.280 --> 0:12:14.520 to think about Trump a little bit more too. Trump 0:12:14.600 --> 0:12:18.000 didn't break out here. Trump's the major problems are that 0:12:18.440 --> 0:12:21.320 he's dealing with a split Republican Party, He's dealing with 0:12:21.400 --> 0:12:25.640 independents who do not prefer him. He didn't make any 0:12:25.760 --> 0:12:29.160 moves last night to change that out. If Biden had 0:12:29.200 --> 0:12:32.320 the performance that he had had against any Republican nominee 0:12:32.320 --> 0:12:35.080 other than Trump, you'd see a lot of people flocking 0:12:35.120 --> 0:12:38.560 towards the Republican nominee. Because it's Trump. That's not going 0:12:38.640 --> 0:12:42.839 to happen. Finally, I think in short attention span theater 0:12:43.520 --> 0:12:46.920 that we have here today, you know, we have the 0:12:47.000 --> 0:12:49.360 kerfuffle of the moment, but that's going to quickly move 0:12:49.480 --> 0:12:53.000 to the Supreme Court decision on Trump community Trump's sentencing 0:12:53.040 --> 0:12:57.520 on July eleventh, the conventions, the vice presidential pick. This 0:12:57.600 --> 0:13:00.400 is all going to get swirled around a lot more, 0:13:00.600 --> 0:13:04.040 and Biden will have plenty of opportunities to write the ship. 0:13:04.920 --> 0:13:07.240 Want to bring you into this conversation, Greg Valu here, 0:13:07.280 --> 0:13:10.480 because you have a note out this morning with the 0:13:10.600 --> 0:13:13.719 headline that's quite a bit different from the analysis we 0:13:13.840 --> 0:13:18.560 just heard from Terry. Democrats in full panic mode. Tell 0:13:18.600 --> 0:13:19.040 me more. 0:13:19.920 --> 0:13:22.120 Oh yeah, I mean, I think we can't look at 0:13:22.240 --> 0:13:25.320 just a few trees. We've got to look at the forest, 0:13:25.480 --> 0:13:31.880 and the forest is irrefutable. He was horrible. It was 0:13:31.920 --> 0:13:34.600 a disaster. I think in the next few days we're 0:13:34.640 --> 0:13:38.400 going to have to have an adult conversation about dementia 0:13:38.559 --> 0:13:42.880 and Alzheimer's. I mean, this is an absolute nightmare for 0:13:42.960 --> 0:13:48.679 the Democrats, and I would state, maybe fearlessly, that he 0:13:48.760 --> 0:13:51.160 will not be on the ticket within a week or two. 0:13:52.000 --> 0:13:56.680 Obviously a very different analysis, Terry, Does it go too 0:13:56.880 --> 0:14:02.120 far to talk about this idea of demain Alzheimer's. I mean, 0:14:02.160 --> 0:14:06.520 there have been questions about President Biden's age and acuity before. 0:14:06.640 --> 0:14:09.240 With the stumbles that we saw last night, is that 0:14:09.280 --> 0:14:10.880 a conversation that needs to be had. 0:14:12.040 --> 0:14:15.640 Sure, you know, the Democrats have Democrats and been parts 0:14:15.679 --> 0:14:19.880 of the media, not this not this network, but Democrats 0:14:19.880 --> 0:14:23.760 and parts of the media have been spent busily six 0:14:23.800 --> 0:14:27.000 months to a year denying that not only the conversation 0:14:27.600 --> 0:14:30.920 needed to happen, but that that conversation needed to happen 0:14:30.960 --> 0:14:36.480 about Biden. And so now they're in full catch up mode, sadly, 0:14:37.200 --> 0:14:41.680 and you know, absolutely the conversation is going to be had. 0:14:42.360 --> 0:14:44.320 I don't say anything that I say lightly I do 0:14:44.440 --> 0:14:49.520 say that the Democrats are going to fold in around 0:14:49.600 --> 0:14:53.120 him much more than much more than that. There's a 0:14:53.280 --> 0:14:57.200 I think a disparity between you know, the inside the 0:14:57.280 --> 0:15:00.080 Belwagh types and what's going to go on in the 0:15:00.520 --> 0:15:03.600 broader country over the or over the next week. The 0:15:03.600 --> 0:15:06.760 country has been much more skeptical of this than than 0:15:06.920 --> 0:15:09.840 Washington has. So Washington's having a catch up moment too. 0:15:11.160 --> 0:15:14.840 I want to get your reaction as well to you know, 0:15:15.160 --> 0:15:18.760 some of the attack points that President Biden tried to 0:15:18.760 --> 0:15:20.960 put out last night. He did go after the former 0:15:21.000 --> 0:15:24.520 president toward the middle of the debate on his legal issues. 0:15:24.600 --> 0:15:26.880 Let's hear a bit of what the President had to say. 0:15:27.720 --> 0:15:30.120 Crime. So you are charged with and think of all 0:15:30.160 --> 0:15:32.800 the civil pedalies you have. How many billions of dollars 0:15:32.800 --> 0:15:36.040 do you own civil penalties for a molesting a woman 0:15:36.080 --> 0:15:39.240 of public, for doing a whole range of things, of 0:15:39.320 --> 0:15:43.000 having sex from a porn star on the night while 0:15:43.000 --> 0:15:47.000 your wife was pregnant. I mean, what are you talking about, Well, 0:15:47.520 --> 0:15:49.400 you have the morals of an alley cat. 0:15:49.720 --> 0:15:52.400 Greg That gets to the point that Terry made about 0:15:52.440 --> 0:15:56.960 if this were any other Republican that the president would 0:15:56.960 --> 0:15:59.240 be going after he would have had a better night. 0:15:59.280 --> 0:16:03.880 I mean, what's your reaction to that the former president 0:16:04.800 --> 0:16:07.600 may have some foible, some issues of his own. 0:16:08.240 --> 0:16:11.720 I think Terry's right, and I think that it was 0:16:11.800 --> 0:16:15.240 not a good night for Trump. He's very vulnerable. It 0:16:15.360 --> 0:16:19.480 became quite clear that he's vulnerable. However, I think that 0:16:19.600 --> 0:16:23.920 again the big story is the performance by Biden, which 0:16:24.040 --> 0:16:27.400 I think for a lot of people was shocking. And 0:16:27.440 --> 0:16:30.520 I do think over the weekend you're going to have meetings, 0:16:30.680 --> 0:16:33.440 maybe all in private, but you're going to have meetings 0:16:33.440 --> 0:16:37.080 among Democrats saying can we keep him as our candidate? 0:16:37.120 --> 0:16:39.480 And I think there are a lot of governors, not 0:16:39.640 --> 0:16:43.040 Gavin Newsom, who's in the middle of a self inflicted 0:16:43.400 --> 0:16:47.320 budget debacle in California, but I think there are a 0:16:47.360 --> 0:16:51.080 lot of governors, maybe starting with Gretchen Whittmer in Michigan, 0:16:51.640 --> 0:16:53.960 who you will hear a lot about over the next 0:16:54.000 --> 0:16:54.560 few days. 0:16:55.320 --> 0:16:59.040 But to Terry's point about whether this could just be 0:16:59.120 --> 0:17:03.880 a blip, that there will be other factors to get 0:17:04.080 --> 0:17:07.560 to gain a lot of the public's attention, whether it's 0:17:07.600 --> 0:17:11.840 the Supreme Court decisions or the conventions. Is this debate 0:17:11.880 --> 0:17:16.359 performance of blip or can it have more resonance into November. 0:17:16.720 --> 0:17:19.639 I think it's the latter. I think that it's highly 0:17:19.720 --> 0:17:22.920 unlikely that people will look at him the same after 0:17:23.040 --> 0:17:23.600 last night. 0:17:24.080 --> 0:17:28.120 Terry Well, I think some of my least favorite phrases 0:17:28.240 --> 0:17:31.439 or things like It remains to be seen. But you know, 0:17:31.480 --> 0:17:33.399 the voters have been way ahead on this. 0:17:33.960 --> 0:17:34.040 And. 0:17:35.680 --> 0:17:38.680 At the same time, you know, Biden's still neck and 0:17:38.760 --> 0:17:41.840 neck with Trump. So the question is, you know, whether 0:17:43.200 --> 0:17:47.280 whether the surprise that's exhibited in the Washington and media 0:17:47.320 --> 0:17:50.520 centers gets played out in the public. The other thing 0:17:50.520 --> 0:17:52.600 I would say is, you know, Larry savagaou at an 0:17:52.640 --> 0:17:57.320 interesting point this week that people who somewhat approve of 0:17:57.320 --> 0:18:02.480 Biden's performance in office are somewhat disapproved are way way ahead, 0:18:02.520 --> 0:18:05.720 twenty nine points ahead if you sort of approve of 0:18:05.800 --> 0:18:09.320 his job, seventy seven percent if you don't. So there's 0:18:09.359 --> 0:18:11.720 a you know, when you've got a head on head, 0:18:12.200 --> 0:18:15.200 it's a lot of reluctant desire to pull the lever 0:18:15.280 --> 0:18:19.720 in Biden's favor. That's going to get cut back a bit, certainly, 0:18:19.800 --> 0:18:22.800 But I don't think it dissipates overnight, and I don't 0:18:22.800 --> 0:18:26.240 know where those voters go Frankly, they almost certainly don't 0:18:26.240 --> 0:18:27.679 go to Trump, and they're not going to go to 0:18:27.720 --> 0:18:29.280 a third party like Bob Kennedy. 0:18:29.600 --> 0:18:33.040 But just quickly, Terry, what about this idea that there 0:18:33.080 --> 0:18:36.080 could be other Democrats waiting in the wings after a 0:18:36.119 --> 0:18:39.280 performance like we saw from President Biden last night? Is 0:18:39.320 --> 0:18:42.560 that something that should be seriously considered that the president 0:18:42.960 --> 0:18:46.280 could be replaced on the ticket based on one debate performance. 0:18:46.920 --> 0:18:49.160 Well, I'd watch. I think Greg makes a legitimate point. 0:18:49.480 --> 0:18:53.360 I'd watch, I'd watch the body language of Democrats over 0:18:53.400 --> 0:18:56.800 the next several days to ten to several days to 0:18:56.840 --> 0:18:59.719 ten days. Frankly, Remember we're going United States is going 0:18:59.720 --> 0:19:03.359 into it basically a week long holiday, so they're going 0:19:03.440 --> 0:19:06.359 to have some time to be out there. But you know, 0:19:06.400 --> 0:19:08.120 this has always been kind of like a second rate 0:19:08.480 --> 0:19:11.760 to Shakespearean play. You know, Newsom's been lurking in the 0:19:11.760 --> 0:19:14.399 wings for a while, Whitber pops up and moves back. 0:19:15.000 --> 0:19:18.679 There have been other players, so it's gonna get considered. 0:19:18.880 --> 0:19:22.399 My only point is I think the Biden people hold 0:19:22.520 --> 0:19:25.440 very very tightly to the reins and don't let them go, 0:19:26.040 --> 0:19:29.000 and you know they're failsafe is that they're going to 0:19:29.440 --> 0:19:33.560 get nominated. Biden nominated a virtual convention, not a real one, 0:19:33.640 --> 0:19:38.200 So they've got the mechanisms actually to cut things off 0:19:38.200 --> 0:19:38.720 at the past. 0:19:39.040 --> 0:19:41.800 We wouldn't that be something a repeat of twenty twenty 0:19:41.840 --> 0:19:44.680 all over again, to have something like a virtual convention. 0:19:44.800 --> 0:19:49.600 But Greg, I mean, how do Democrats sort of circle 0:19:49.640 --> 0:19:52.919 the wagons around President Biden? What does that look like? 0:19:52.960 --> 0:19:55.920 Do you think if we do see a scenario where 0:19:56.040 --> 0:20:00.320 the president, you know, tries to fight past this, well. 0:20:00.200 --> 0:20:02.480 They're going to say he had a bad cold, that 0:20:02.480 --> 0:20:05.639 that was responsible for his weak voice. They're going to 0:20:05.640 --> 0:20:10.399 say that there is still compelling reasons to oppose Donald Trump. 0:20:10.520 --> 0:20:14.960 We heard some of them last night. So there's a window. 0:20:15.440 --> 0:20:17.639 But to me, it's not a really strong window for 0:20:17.720 --> 0:20:22.480 them to be able to claim any momentum. In fact, 0:20:22.560 --> 0:20:25.479 I would argue that in the last forty eight hours, 0:20:25.680 --> 0:20:30.600 even before the debate, there was some slippage in Biden's numbers, 0:20:31.000 --> 0:20:35.160 especially in big electoral college states. I think it makes 0:20:35.320 --> 0:20:40.520 this debate, makes it even tougher in Pennsylvania, Wisconsin, Michigan 0:20:40.560 --> 0:20:43.480 states like that. They already weren't looking good and they're 0:20:43.480 --> 0:20:45.960 going to look a lot worse in the next week. 0:20:45.920 --> 0:20:49.080 Or two estates that we certainly watched very closely, and 0:20:49.200 --> 0:20:51.600 just adding to the snappole that we saw last night 0:20:51.680 --> 0:20:55.520 from CNN itself that about two and three viewers of 0:20:55.600 --> 0:20:59.240 last night's debate thought that the former president came out victorious. 0:20:59.280 --> 0:21:02.640 Thanks to both of you for this morning after analysis, 0:21:02.640 --> 0:21:07.000 Greg Valier and chief US Policy Strategistic AGF Investments, as 0:21:07.040 --> 0:21:11.159 well as Terry Haynes, the founder of Pangaea Policy. And 0:21:11.200 --> 0:21:14.199 we want to turn now to our correspondent who was 0:21:14.400 --> 0:21:18.439 in Atlanta covering the debate for US and getting some 0:21:18.480 --> 0:21:21.840 of the reaction on the ground as well. David Goura 0:21:22.200 --> 0:21:25.120 is with us this morning from Atlanta, of course, the 0:21:25.119 --> 0:21:29.399 host of the Big Take podcast from Bloomberg News. David, 0:21:29.600 --> 0:21:32.640 I mean, you hear the narrative this morning about how 0:21:32.680 --> 0:21:35.680 tough a night it was for President Biden, that former 0:21:35.720 --> 0:21:39.760 President Trump seemed strong. What's some of what you're hearing 0:21:39.800 --> 0:21:42.000 in the spin room and the post debate. 0:21:43.240 --> 0:21:45.760 Yes, that's exactly what I'm hearing and exactly what I 0:21:45.760 --> 0:21:47.720 saw when I was watching that debate unfold from the 0:21:47.720 --> 0:21:50.760 spin room in the media area at the debate last night. 0:21:50.800 --> 0:21:52.640 I mean, there was a kind of remarkable moment when 0:21:52.640 --> 0:21:57.600 that debate ended, and you know, President Biden was dealt 0:21:57.600 --> 0:21:59.680 a very low bar that he had to clear. He 0:21:59.720 --> 0:22:01.159 didn't clear it. He didn't have to have a good night. 0:22:01.200 --> 0:22:02.480 He had have a decent night. I don't think that. 0:22:02.560 --> 0:22:04.680 I don't think that he did. The debate ended, it 0:22:04.800 --> 0:22:07.679 got very quiet, and then all the reporters migrated down 0:22:07.720 --> 0:22:09.920 to the floor of the basketball arena and Georgia Tech 0:22:09.920 --> 0:22:12.960 where we were watching this unfold, and then surrogates began 0:22:13.000 --> 0:22:15.800 to kind of march out for Donald Trump and really 0:22:15.840 --> 0:22:18.480 filled the floor. And it took Nathan probably ten or 0:22:18.480 --> 0:22:22.520 fifteen minutes before any Democratic surrogate showed up, before we 0:22:22.560 --> 0:22:25.159 saw Gavin Newsom and Raphael Warnick on the floor of 0:22:25.160 --> 0:22:27.879 that arena to field questions and spend as best they 0:22:27.880 --> 0:22:31.520 could that debate performance. So I think that the vacuum 0:22:31.520 --> 0:22:34.720 that opened up was real Democrats and supportive of Joe 0:22:34.760 --> 0:22:36.600 Biden trying to figure out what the message is going 0:22:36.640 --> 0:22:39.920 forward here. But I think that there was near unanimity 0:22:39.960 --> 0:22:41.879 among those who watched it there in the arena that 0:22:41.920 --> 0:22:43.560 this was not the night that that Joe Biden needed. 0:22:43.560 --> 0:22:45.239 In what Joe Biden forecasted, he would have. 0:22:45.800 --> 0:22:48.480 Yeah, interesting to hear a Republican sort of coming out 0:22:48.480 --> 0:22:51.359 in force for the former president when we hear Terry 0:22:51.440 --> 0:22:54.639 Haynes saying that he still sees a split in the 0:22:54.680 --> 0:22:57.440 Republican Party. Does that reaction that you saw last night 0:22:57.480 --> 0:22:59.840 sort of put the light of that or is this 0:23:00.160 --> 0:23:03.040 a non Trump wing of the Republican Party just even 0:23:03.119 --> 0:23:04.160 further in the wings now? 0:23:05.160 --> 0:23:05.320 You know? 0:23:05.440 --> 0:23:07.720 Right before the debate, I talked to Governor Brian Kemp 0:23:07.800 --> 0:23:10.000 of Georgia. He was walking the floor and we caught 0:23:10.040 --> 0:23:12.400 up a little bit and I asked him about how 0:23:12.440 --> 0:23:15.560 he thinks the party is going to coalesce around Donald Trump. 0:23:15.560 --> 0:23:17.159 And of course, Brian Kemp, we learned this week, did 0:23:17.200 --> 0:23:19.960 not vote for Donald Trump in the primary this year, 0:23:20.480 --> 0:23:22.200 and he said he's very confident it's going to happen. 0:23:22.240 --> 0:23:24.400 And I think that last night's debate performance is going 0:23:24.440 --> 0:23:27.919 to do well by the former president. I mean, I 0:23:27.920 --> 0:23:31.679 think that the again, the vision was so stark as 0:23:31.720 --> 0:23:33.359 those surrogates came down, and I think that it was 0:23:33.440 --> 0:23:35.960 very very clear that folks were falling in line and 0:23:36.119 --> 0:23:38.560 very very eager to rally around him. I think that 0:23:38.560 --> 0:23:40.080 the way that he performed last night certainly is going 0:23:40.119 --> 0:23:40.720 to set that back. 0:23:41.440 --> 0:23:43.720 So when it comes to the Democrats, what's the discussion 0:23:43.720 --> 0:23:47.480 that you're anticipating that the Democratic Party is having this 0:23:47.520 --> 0:23:50.600 morning after the current president's performance. 0:23:51.480 --> 0:23:53.120 Picking up on what Greg and Terry said, I think 0:23:53.119 --> 0:23:55.000 that there will be some talk about this cold and 0:23:55.320 --> 0:23:57.600 what made it difficult for him to speak in kind 0:23:57.600 --> 0:23:59.960 of a forceful manner during the course of that debate. 0:24:00.640 --> 0:24:03.040 I imagine the next step of that is how good 0:24:03.040 --> 0:24:05.119 an excuse is that going to be? And you know, 0:24:05.119 --> 0:24:08.160 I've heard some people speculating about him maybe recusing himself 0:24:08.280 --> 0:24:11.240 or whatever may happen. I don't know how that happens procedurally, 0:24:11.240 --> 0:24:13.600 and I think that's kind of a novel and maybe 0:24:13.680 --> 0:24:15.760 scary conversation for Democrats to have here in the next 0:24:15.800 --> 0:24:18.960 few days. But I do think that last night's performance 0:24:18.960 --> 0:24:22.280 made them reckon with the fact that this is not 0:24:22.359 --> 0:24:23.800 as sure a thing as they thought that it was 0:24:23.840 --> 0:24:26.160 going to be. And I think that again, it's it's 0:24:26.200 --> 0:24:28.440 novel territory. It's it's something that they're going to have 0:24:28.480 --> 0:24:29.560 to sort of feel their way through here in the 0:24:29.600 --> 0:24:30.280 next few days. 0:24:30.400 --> 0:24:32.159 And in our last minute, David does this sort of 0:24:32.359 --> 0:24:35.600 overshadow some of the policy discussion that we heard a 0:24:35.640 --> 0:24:38.760 lot of the you know, the usual sort of exaggerations 0:24:38.760 --> 0:24:41.080 and misstatements that we heard from the former president. 0:24:42.640 --> 0:24:44.919 I think absolutely, and I was struggled, I'm sure you 0:24:44.960 --> 0:24:47.080 were by the way in which he kind of reframed 0:24:47.200 --> 0:24:50.640 or recharacterized what happened on January sixth, how he reframed 0:24:50.680 --> 0:24:52.720 or recharacterized what happened with the economy. I think that 0:24:52.760 --> 0:24:54.600 what he said to Joe Biden was look at the economy. 0:24:54.880 --> 0:24:59.560 I left you, you know, all of that untrue sort 0:24:59.560 --> 0:25:02.440 of credit his tax cuts for the strength of the economy. 0:25:03.080 --> 0:25:04.720 I think that that was able to sort of fade 0:25:04.720 --> 0:25:06.720 into the background because he seemed to have such command 0:25:06.720 --> 0:25:09.080 of the forum. I mean, we spoke yesterday just about 0:25:09.280 --> 0:25:11.480 might this be a challenging format for the former president 0:25:11.480 --> 0:25:14.320 because there's no audience. I'd say, of the two Donald Trump, 0:25:14.359 --> 0:25:17.320 evinced a real skill with feeling the two minutes that 0:25:17.320 --> 0:25:19.040 he was allotted and looking in command at the time, 0:25:19.080 --> 0:25:21.240 and that I think was unexpected and indeed surprising to 0:25:21.280 --> 0:25:22.640 a lot of people watching the debate. 0:25:22.720 --> 0:25:26.040 Nathan, this is Bloomberg day Break today, your morning brief 0:25:26.080 --> 0:25:29.040 on the stories making news from Wall Street to Washington 0:25:29.080 --> 0:25:29.840 and beyond. 0:25:30.040 --> 0:25:32.800 Look for us on your podcast feed at six am 0:25:32.880 --> 0:25:36.560 Eastern each morning, on Apple, Spotify, and anywhere else you 0:25:36.600 --> 0:25:37.800 get your podcasts. 0:25:37.880 --> 0:25:40.600 You can also listen live each morning starting at five 0:25:40.640 --> 0:25:43.280 am Wall Street time on Bloomberg eleven three to zero 0:25:43.280 --> 0:25:46.120 in New York, Bloomberg ninety nine to one in Washington, 0:25:46.240 --> 0:25:49.440 Bloomberg one six to one in Boston, and Bloomberg ninety 0:25:49.480 --> 0:25:50.879 sixty in San Francisco. 0:25:51.240 --> 0:25:54.400 Our flagship New York station is also available on your 0:25:54.440 --> 0:25:59.440 Amazon Alexa devices. Just say Alexa Play Bloomberg eleven thirty. 0:26:00.080 --> 0:26:03.359 Send coast to coast on the Bloomberg Business app, Serious XM, 0:26:03.440 --> 0:26:06.520 the iHeartRadio app, and on Bloomberg dot Com. 0:26:06.560 --> 0:26:07.640 I'm Nathan Hager and. 0:26:07.640 --> 0:26:10.960 I'm Karen Moscow. Join us again tomorrow morning for all 0:26:10.960 --> 0:26:13.520 the news you need to start your day right here 0:26:13.640 --> 0:26:14.960 on Bloomberg Daybreak