Primaries Show Trump's Political Power; Threat of More Iran Strikes

Bloomberg Audio Studios, Podcasts, Radio News.
Good morning, I'm Nathan Hager and I'm Karen Moscow. Here
are the stories we're following today.
Karen, we begin with politics and the results from a
busy night of primaries in a half dozen states. Alabama, Georgia, Idaho, Oregon,
Pennsylvania all held elections last night, but the contest with
the most attention was in Kentucky, where President Trump flexed
his muscle against longtime Republican Congressman Thomas Massey. With nearly
all the votes counted, Massey has lost to the President's
hand picked challenger, Ed GOLRN fifty four point nine to
forty five point one percent. Massey says he's proud of
sticking to his principles.
I mean we stirred up something. There is a yearning
in this country for somebody who will vote for principles
over party.
And that was Thomas Massey and his concession speech last night.
Mberg Government's Greg Guo says President Trump sent a message
in this race.
Two Republicans in primaries who dare to cross him, who
dare to Republican incumbents who might be thinking of voting
against him on important legislation, particularly if they have upcoming
primary elections to maybe think twice about that and realized
the political repercussions they could ensue.
Bloomberg Government's Greg Guerreaux reports this was also one of
the most expensive House primaries in history. Nearly thirty three
million dollars went into this race for a reliably Republican.
District, Well Nathan.
Some other key primaries are headed to runoffs, and Georgia
Republicans will keep dooking it out for Senate and governor or.
Congressm and Mike Collins and former college football coach Derek
Dooley will face each other in the race to take
on Democratic Senator John Ossof In November, they got more
than seventy percent of the vote combined and knocked Congressman
Buddy Carter out of the race, and the governor's contest,
Lieutenant Governor Burt Jones and healthcare billionaire Rick Jackson advanced
to a goop runoff, getting thirty eight and thirty three percent, respectively.
Former Atlanta Mayor Keisha Lance Bottoms won the Democratic nomination
in her primary with fifty six percent of the vote.
In Pennsylvania, Karen three Democrats, backed by Governor Josh Shapiro,
won their primaries in swing districts the party hopes to
flip in November. Janelle Stelson, Bob Harvey, and Bob Brooks
all won their contests. They will take on Republican representatives
Brian Fitzpatrick, Ryan Mackenzie, and Scott Perry in November.
And in Alabama and Nathan, voters will get a rematch
between two high profile nominees for governor. Republican Senator Tommy
Tuberville and former Democratic Senator Doug Jones easily won their primaries.
Tuberville un seated Jones in their last Senate contests six
years ago.
Well, now, Karen, let's get you the latest on the
war with Iran. President Trump is once again threatening to
resume strikes if Tehran doesn't reach a deal soon, and
he says he won't wait much longer.
I mean, I'm saying.
Two or three days, maybe Friday, Saturday, Sunday, something, maybe
early next week, a.
Limited period of time.
President Trump spoke to reporters at the White House ballroom construction.
We get more from Bloomberg Middle East correspondent Jumana Burcecci.
He's made these sort of threats before. He's given deadlines
before and tends to extend them, so we can't take
them perhaps too seriously or at his word. I think
what we can piece together from all of this is
there has been a huge, once again diplomatic push, not
least by Gulf states, and he specifically referenced the fact
that Saudi Arabia, Cutter and the UAE are pushing to
get to a diplomatic solution.
Bloomberg's Umani Berseci reports Vice President J. D. Vancis striking
a more positive tone as well, saying progress is being
made toward a deal and more military strikes are an
option B. Still, there are signs of discontent on Capitol Hill.
The Senate has advanced a war powers resolution without going
Louisiana Republican Bill Cassidy flipping his vote on that measure,
and Bloomberg News has learned NATO is considering a military
deployment to protect ships if the Strait of Horror Moves
isn't reopened by July.
On if in chiny President xixhin Ping is stepping up
calls to end the war that Chinese leader is hosting
is Russian counterpart Vladimir Putin in Beijing. She called for
a comprehensive ceasefire, saying quote, restarting war is even more unacceptable.
Russia and China are two of Iran's biggest backers, and
President Putin and she praised the strength of their relationship
as both countries seek to reinforce by lateral ties.
In Europe care in, the European Unions finalize the text
on its long awaited US trade deal after months of negotiations.
This clears a major hurdle to ratifying the pact before
President Trump's threatened deadline for higher tariffs. We get more
from Bloomberg Chief europe correspondent Oliver Krook.
What it now needs to do is go back to
Parliament for a vote. It will have to go back
before the Member States. But of course you'll remember that
Donald Trump has amped up the pressure on the Europeans,
thing that there will be an additional tariff on automobiles
that will go up to twenty five percent if they
do not accelerate this process. He's set as the deadline
July the fourth, the two hundred and fiftieth birthday of
the United States, that to get done. And so now
the Europeans are really accelerating, so hopefully everything's on track
for them to get that over the line.
Bloomberg's Oliver Crook says the deal initially struck last July.
I would see the EU erase levies on US industrial
goods in exchange for a fifteen percent tariff ceiling on
its exports.
Well back here in the US, Nathan, Acting Attorney General
Todd Blanche was on Capitol Hill for his first congressional
testimony since he took the reins at the Justice Department.
The agency is facing intense scrutiny over plans to create
a one point seven billion dollar fund for people who
think they were targeted politically. Bloomer's Amy Morris reports from Washington.
The fund will be managed by a group of five
commissioners appointed by Acting Attorney General Todd Blanch, who conceded
the fund is unusual.
But it is not unprecedented, and it was done to
address something that had never happened again either, So there
is an impressive nature in response to years and years
of weaponization.
Maryland Democrat Chris ben Holland accused Blanche of quote doing
the president's dirty work.
You have clear conflicts of interests between your prior job
as the president's personal lawyer and your duty to.
Ensure justice, and Blanche would not rule out the possibility
that January sixth rioters could receive payments In Washington. Amy Morris,
Bloomberg Radio, all right, Amy, thanks. Along the East coast,
it's going to be another hot one. It's pretty warm
already this morning, but it's going to come to an
end soon enough. Bloomberg Metiorologist Rob Carolyn has more on
the hot spell.
Rob.
Hot weather persists across much of the Northeast again today.
We're going to see temperatures well above ninety degrees from Washington,
through New York and even into the Boston area. But
this is it at coal Front, which is moving through
the central United States heads our way. That'll set off
some showers and thunderstorms later this afternoon and into the evening,
and it's going to alter the pattern dramatically, return much
cooler and unfortunately, much wetter as we head into the
Memorial Day weekend. Could see some showers on Sunday and Monday.
I'm Rob Carolyn, Bloomberg Radio.
All right, Rob, thank you. Let's turn to the markets. Now.
A sell off in longer maturity government bonds pushed up
yields to levels last seen during the global financial crisis,
and strategists are warning yields can push even higher. Bloomberg's
John Tucker joins us in New York with the very
latest John, good morning.
Good morning, Karen. Global bond yields have surged in recent
weeks on concern the jump and energy costs. You're going
to feed into everything for plastic bottles, for soda, the
gasoline for tractors needed to harvest crops. You add in
worries of our government spending, and investors have been seeking
greater compensation to own longer maturity debt Joe Lobornia at
smb ciss. In this environment, the appetite for stocks could vanish.
The narrowness of the market. The equity market has been
a handful of companies, and at some point, you know
that exuberance may itself be stretched. So if the f's
tightening financial conditions suddenly tightened, risk appetite changes and it
could unravel quickly.
Rising inflation expectations will make the job of the FAED
much more difficult among investors. The idea of cutting rates
anytime soon, that's pretty much evaporated. I'm John Tucker, Bloomberg Radio.
Okay, John, Thanks. The bond market's not the only thing
investors are closely watching. The most valuable company in the
world reports earnings this afternoon. In Bloomberg's Tom Busby has
more on what to expect from Nvidia.
Expect to see another blow out quarter of chip sales,
up as much as eighty percent in Q one as
tech companies continue to ramp up their AI infrastructure spending
and data center construction, even as in Vidia face growing
competition from AMD, Broadcom, Google and others. Also key for
investors the latest on its upcoming Reuben chip lineup, CEO
Jensen Wong's outlook on data center growth, and his recent
trip to China and efforts to reopen that massive market
to sales. Bloomberg consensus calls for revenue of seventy nine
point one five billion dollars and adjusted earnings per share
of a dollar seventy eight. Tom Buzzby Bloomberg Radio.
Right, Tom, Thank you. Labor dispute overseas could threaten global
chip supplies. Talks between Samsung Electronics and its largest labor
union have broken down, and this could put the global
tech supply chain at risk because Samsung is the world's
biggest supplier of chips that go into everything from data
center servers to smartphones and electric vehicles.
And a note in sports this morning, Karen, Bloomberg News
has learned Live Golf has begun laying the groundwork for
a potential bankruptcy filing in the US if it fails
to raise new funds. Sources say the golf league's looking
for money after its main backer, the Saudi Public Investment Fund,
polled its funding. While Live's management looks for options, it
is preparing for a potential collapse when the season ends
in late August.
Time now for a look at some of the other
stories making news in New York and around the world,
and for that we're joined by Bloomberg's Michael bar Michael,
good morning, Good.
Morning, Karen. There is more information about the two teenagers
who authorready say, shot and kill three people in an
attack on the San Diego Mosque. Investigators say they had
been radicalized online, where they first met, shared white supremacist dues,
and left behind writings showing their hatred toward very races
and religions. Authorities praised the security guard and two other
men who were killed Monday for slowing the attackers, preventing
them from reaching nearby school children. San Diego police chiefs
Goot Wall.
His actions, without a doubt, delayed, distracted, and ultimately deterred
these two individuals from gaining access to the greater areas
of the mosque.
Chief Wall said the shooters killed themselves. Thousands of people
are under evacuation orders as a wildfire continues to threaten
homes in southern California. The Sandy Fire in hills above
Simi Valley had consumed more than two square miles and
is five percent contained. Meanwhile, firefighters are battling and uncontained
twenty three square mile blaze on Santa Rosa Island. A
woman died after falling into an open manhole in midtown Manhattan.
According to Consolidated Edison, the whole cover had likely been
dislodged by a passing truck when it turned onto East
fifty second Street from Fifth Avenue. Minutes later, the victim
parked her car nearby. This man saw what happened online today.
I just saw a bunch of stuff with people saying, oh,
I bet she was on her phone. She must have
been on her phone and she wasn't you know, she
wasn't distracted. She didn't walk onto a construction site. I
mean she parked her car, stepped out of her car,
and dropped right into the man older.
The NYPD says the fifty six year old woman identified
as Donna K. Gosage was found unconscious and unresponsive inside
of the open manhole. They believe Gosasee would into a
cardiac arrest from the intense steam heat. Global news twenty
four hours a day and whenever you want it with
Bloomberg News Now Now Michael Barn this is Bloomberg Karen.
Thanks Michael.
A time now for our Bloomberg Sports Update, and for
that we bring in John Stashauer.
Transparent Game one of the NBA's Eastern Conference Finals in
New York and Clevel Little under eight minutes ago led
the next ninety three to seventy one, but from that
point through the five minute overtime, the Knicks outscored the
Cavs forty four to eleven. They won Game one and
oh T one fifteen to one oh four. Jalen Brunson
led the remarkable Knicks comeback, finished with thirty eight points.
New coach in Dallas because Jason Kids not coming back
and what they call a mutual decision. The Hall of
Fame player was the mass coach for five years. Let
to Bloomberg Sports Update.
Stay with us. More from Bloomberg day Break coming up
after this.
Coast to coast on Bloomberg Radio, nationwide on Sirius XM,
and around the world on Bloomberg dot Com and the
Bloomberg Business app. This is Bloomberg Daybreak.
Good morning. I'm Nathan Hager on the morning after a
mini super Tuesday in the midterm campaign cycle. With the
contests in six states, President Trump may have flexed his
hold on the Republican base, most clearly in deep red Kentucky,
where longtime Congressman Thomas mass has gone down in defeat.
Yeah, the people that you want somebody that'll go along
to get along. I've never heard of that strategy, but
that seems to be what the voters want.
Well, that was Congressman Massey conceding defeat to President Trump's
hand picked choice, former Navy seal Ed Golryin for more
on the results were joined by Terry Haynes, the founder
of Pangaea Policy. So we heard Congressman Massey's takeaway from
his defeat last night. What's your takeaway, Terry, good morning.
Good morning, Nathan. A few things you know you did.
I think three major things happened yesterday that showed just
how intent Trump and congressional Republicans are on fun holding
Congress in November. The first one is Massy losing in
Kentucky in the House and bar winning his nomination there.
How quickly those races were called, I think is the
real tell there. Secondly, you got the Texas primary Trump
endorsing packs over Cornyon. That's also a move to continue
to pump up base enthusiasm, and even the Republican senators
allowing a war powers debate to move. I think has
some positives, But fundamentally what you see as a result
of yesterday, as you've got enthusiastic Trump based voters level
off Democrats supposed an enthusiasm advantage, you've got a redistricting
advantage for Republicans now, plus a few truly toss up races.
I think all that is kind of pointing the arrow
more in Republicans direction in November.
Let's talk a little bit more about the Kentucky race,
particularly nearly thirty three million dollars poured into this district
that tends to vote reliably Republican according to ad Impact.
Does it make sense to put that much resources into
a seat that is most likely going to be held
by any Republican.
Well, conventional wisdom would say no, of course, and there's
a lot of significant Republican voice out there that would
indicate that and be part of that. And at the
same time, you know, what you're seeing is you're seeing
something that you know, I flash on Franklin Roosevelt, who
would have done exactly the same thing. You've got a
leader of the party and the president who's trying to
to make sure to maximize his hold over the party,
maximize enthusiasm for his votes, and also frankly, maximize his
hold on the party even after he leaves the presidency
formally in a couple of years. So all of those
point to reasons why it was important for Trump to
do exactly what he did, and spending that money, I
think also provides a cautionary tale to a lot of
other people who you know, might be tempted to step
outside the box on Trump, but now probably won't.
You mentioned the endorsement, the late endorsement of Ken Paxton,
and the Texas Senate race, there's some thinking, I think
on the Democratic side, that Senator Cornyn might have been
a stronger candidate against James Tallerico in that race. With
the Georgia Senate race headed to a runoff as well,
what does that mean for Republicans getting closer to November here?
I think what you've got here is a situation where
the defining characteristic of any decision for Trump is pumping
up the base as absolutely as much as possible to
ensure that they'll get out there. Remember that one of
the one of the advantages Democrats say they had it
I think they did have was kind of, you know,
winning the enthusiasm gap, as political people call it, the
idea that the Democrats voters are much more enthusiastic about
getting out and getting their candidates into office than Republicans are.
That's why what happened in Kentucky, what's happening in Texas,
what happened in Indiana a couple of weeks ago, are
all very important because you're seeing the leveling out of
that enthusiasm gap. So by and large, that's a bad
signal for Democrats.
Does that enthusiasm continue when we still have an Iran
war hanging over the president. We have a new Associated
Press RC poll just out this morning of Republican voters
saying that they're feeling less happy about the economy now
as well, with just six and ten Republicans approving of
the president handling of the economy, down from eight to
ten in February.
Oh sure, I think that's absolutely remains a headwind. You know,
I don't discount at all that Trump and Republicans have
significant headwinds, or that it's going to be difficult convincing
the same independent voters that moved for Trump against Harris
in twenty four to come back home in specific congressional races.
I don't discount that at all. All I'm suggesting is
that the political dynamic here in the political the things
that motivate voters the most are going to are swinging
back evenly and pointing a little bit more in Republicans' direction.
The war with Iron does have an impact on the
economic outlook going forward, though, doesn't it?
Oh greatly?
Yeah, Well, I think that's very true. And you know what,
one of the things Republicans are counting on and hoping
led by the President of the White House, is that
you get a you get a resolution of that sooner
rather than later, and that that has positive impacts on,
among other things, prominently gas prices.
Got about a minute left here, Terry. There was a
race in Pennsylvania as well, Governor Josh Shapiro's candidates that
he supported in House race has won their primaries and
in swing districts. Does that have any impact on the
congressional math heading into November? Is it just on the margins?
Yeah, I think it is marginal. I don't mean to
discount it though. You know, Shapiro showing leadership in his
party is important. I think that's important for him as
a potential presidential candidate in twenty eight. By the way, also,
but you know, putting together candidates with Shapiro's endorsement in
Pennsylvania makes those candidates look more centrist and allows them
to have more competitive races.
Sure, this is Bloomberg Daybreak, your morning podcast and the
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