Trump Delays Tariffs on Autos; Germany Sends Bonds Spiraling

Bloomberg Audio Studios, Podcasts, Radio News. 0:00:10.240 --> 0:00:13.440 Good morning, I'm Nathan Hager and I'm Karen Moscow. Here 0:00:13.440 --> 0:00:15.160 are the stories we're following today. 0:00:15.320 --> 0:00:17.480 Karen, we begin with the latest in the US trade 0:00:17.520 --> 0:00:21.480 war with Canada and Mexico. Automakers are getting a reprieve. 0:00:21.760 --> 0:00:24.960 President Trump is giving a one month exemption from twenty 0:00:25.000 --> 0:00:28.639 five percent tariffs to Ford, General Motors and Stillantis, but 0:00:28.680 --> 0:00:31.319 White House Press Secretary Caroline Levit says the rest of 0:00:31.360 --> 0:00:32.559 the world still nice. 0:00:33.159 --> 0:00:36.640 Reciprocal tariffs will still go into effect on April second, 0:00:37.159 --> 0:00:40.680 but at the request of the companies associated with USMCA, 0:00:41.080 --> 0:00:43.640 the President is giving them an exemption for one month 0:00:43.680 --> 0:00:45.960 so they are not at an economic disadvantage. 0:00:45.960 --> 0:00:49.479 White House spokeswoman Caroline Levitt and Bloomberg's Kaylee Lines reports 0:00:49.520 --> 0:00:53.320 the automaker CEOs brought their concerns directly to the White House. 0:00:53.760 --> 0:00:55.960 The concern here, of course, is that the auto sector 0:00:56.080 --> 0:00:59.040 is very vulnerable in a scenario in which tariffs are 0:00:59.080 --> 0:01:02.280 on our north of and trading partners. According to Bloomberg Economics, 0:01:02.280 --> 0:01:04.840 the US automakers, in particular for some key parts like 0:01:04.920 --> 0:01:08.920 stink belts and airbags. For example, our reliance on the 0:01:08.959 --> 0:01:11.480 imports of those parts, some eighty percent from Canada and 0:01:11.520 --> 0:01:13.920 Mexico specifically, which is why you had the likes of 0:01:14.000 --> 0:01:16.559 Jim Farley saying recently that these kind of tariffs could 0:01:16.720 --> 0:01:19.640 potentially quote blow a hole in the industry. 0:01:19.760 --> 0:01:21.600 Bloomberg's Kaylee Lynes in Washington. 0:01:21.640 --> 0:01:24.720 And then another sign of tariff relief, Agriculture Secretary Brooke 0:01:24.800 --> 0:01:28.759 Rawlins tells Bloomberg the administration is also considering carve outs 0:01:28.760 --> 0:01:32.560 for some farm products from Canada and Mexico, including potash 0:01:32.640 --> 0:01:33.520 and fertilizer. 0:01:33.920 --> 0:01:36.279 Well, Nathan, the president is set to meet with another 0:01:36.360 --> 0:01:38.640 group of business leaders, and we get the details with 0:01:38.720 --> 0:01:41.760 the Bloomberg's Lisa Matteo Lisa, good morning, Good morning Karen. 0:01:41.800 --> 0:01:44.480 And we're talking about those big tech leaders, those behind 0:01:44.480 --> 0:01:47.280 the companies that are facing the possibility of import tariffs 0:01:47.400 --> 0:01:51.360 stricter export rules. Sources telling Bloomberg it includes the CEOs 0:01:51.400 --> 0:01:55.960 of HP, Intel, IBM, Qualcom. HP is actually the only 0:01:56.040 --> 0:01:58.440 tech giant who confirmed that they will meet with the 0:01:58.440 --> 0:02:02.840 administration on Monday to talk about trade policy US manufacturing. Now, 0:02:02.880 --> 0:02:05.400 this all comes as President Trump has called on Congress 0:02:05.440 --> 0:02:07.640 to get rid of the twenty twenty two Chips Act. 0:02:07.800 --> 0:02:11.000 The Administration also looking for some input on its AI 0:02:11.200 --> 0:02:14.920 action plan, and that's to improve America's global AI dominance. 0:02:15.040 --> 0:02:17.000 Lisa Matteo, Bloomberg Radio. 0:02:16.960 --> 0:02:17.680 Lisa, thank you. 0:02:17.880 --> 0:02:21.200 On Capitol Hill, Republican senators have told Elon Musk he 0:02:21.320 --> 0:02:24.799 needs congressional approval for government cost cuts or they could 0:02:24.800 --> 0:02:26.000 be overturned in court. 0:02:26.160 --> 0:02:28.440 We get the latest one that from Bloomberg's Amy Morris. 0:02:28.440 --> 0:02:32.160 In Washington, senators suggested Elon Musk send a package of 0:02:32.200 --> 0:02:35.320 cuts to Congress for approval through a process that requires 0:02:35.320 --> 0:02:39.120 only a simple majority in both chambers. Republican Senator Lindsey Graham, 0:02:39.280 --> 0:02:40.040 I want to fix it. 0:02:40.040 --> 0:02:42.119 Quickly, So what he said, I want to keep the momentum. 0:02:42.639 --> 0:02:45.520 But from a political point of view, we need to 0:02:45.560 --> 0:02:48.240 take the work product of those and put it in 0:02:48.240 --> 0:02:49.360 a recision package. 0:02:49.440 --> 0:02:51.799 Now, Musk met with Republican senators and is set to 0:02:51.840 --> 0:02:54.720 meet with House Republicans, but any effort to formalize the 0:02:54.760 --> 0:02:58.320 cuts will likely come after a March fourteenth government funding 0:02:58.360 --> 0:02:59.760 deadline in Washington. 0:03:00.160 --> 0:03:01.440 More as Bloomberg Radio. 0:03:01.400 --> 0:03:02.920 All right, Amy, thank you. Well. We turned to the 0:03:02.960 --> 0:03:05.560 markets now in a global bond sell off is deepening 0:03:05.560 --> 0:03:09.240 this morning, as traders gauge the impact of geopolitical volatility 0:03:09.320 --> 0:03:12.320 on growth and inflation, we want to get the very latest, 0:03:12.320 --> 0:03:14.919 so the Bloomberg's John Tucker, John, good morning. 0:03:14.720 --> 0:03:17.440 Yeah, and strap in, Karen. This marks what could be 0:03:17.480 --> 0:03:20.720 a paradigm shift in the global market, and the catalyst 0:03:20.960 --> 0:03:23.959 is what's happening in Germany right now. Berlin, they reached 0:03:23.960 --> 0:03:26.920 agreement on a package to try and boost the Arizona's 0:03:27.000 --> 0:03:30.240 largest economy. So that means they have to sell debt, 0:03:30.520 --> 0:03:32.919 lots of it. And as Europe has left to defend 0:03:33.000 --> 0:03:35.600 itself with a shrinking US commitment, they have to spend 0:03:35.640 --> 0:03:38.400 more and more on their military and as a result 0:03:38.440 --> 0:03:41.960 they are for now abandoning fiscal constraints, and this goes 0:03:42.000 --> 0:03:45.400 against the very fabric of the post war German psyche. 0:03:45.600 --> 0:03:48.120 The yield on the ten year German bond the Bund 0:03:48.280 --> 0:03:51.720 higher again this morning, up seven basis points as this 0:03:51.840 --> 0:03:55.240 bond route deepens. This follows the steepest rise in almost 0:03:55.240 --> 0:03:58.480 thirty years now. The surprise from Germany comes as global 0:03:58.480 --> 0:04:02.240 bond markets were already grap with signs of persistent price pressures. 0:04:02.560 --> 0:04:05.440 It's led Japan's ten year barring costs to hit a 0:04:05.600 --> 0:04:08.400 sixteen year high. Right now in the US, the ten 0:04:08.480 --> 0:04:11.640 year the benchmark up two basis points. That is, right 0:04:11.720 --> 0:04:15.040 at four thirty. I'm John Tucker, Bloomberg Radio. 0:04:15.120 --> 0:04:16.200 All right, John, thank you well. 0:04:16.240 --> 0:04:19.600 Former Treasury Secretary Larry Summers is warning that voladile policy 0:04:19.600 --> 0:04:22.800 actions and rhetoric from President Trump proposing the biggest risk 0:04:22.880 --> 0:04:26.159 to dollar dominance in the world economy in a half century. 0:04:26.440 --> 0:04:29.400 Summers spoke with Joe Matthew and Kayley Lines on Bloomberg's 0:04:29.440 --> 0:04:30.200 Balance of Power. 0:04:30.480 --> 0:04:35.880 These tariffs are a self inflicted supply shock wound higher prices, 0:04:36.520 --> 0:04:40.800 less competitiveness because businesses are having to pay more for 0:04:41.279 --> 0:04:46.400 all their inputs, and because they have to pay higher prices, 0:04:46.800 --> 0:04:50.840 less purchasing power for consumers, which means fewer jobs. 0:04:50.520 --> 0:04:51.120 Down the road. 0:04:51.279 --> 0:04:54.480 Former Treasury Secretary Larry Summers also points to the sellof 0:04:54.560 --> 0:04:57.120 in US stocks earlier this week as an illustration of 0:04:57.160 --> 0:04:59.880 investor concern about the direction of US policy. 0:05:00.400 --> 0:05:03.479 Well in Europe, Nathan, EU leaders are holding emergency summit 0:05:03.560 --> 0:05:06.839 talks in Brussels to beef up their own military defenses 0:05:06.880 --> 0:05:10.080 and make sure Ukraine will still be protected. French President 0:05:10.120 --> 0:05:13.760 at Manumau Macron says he'll discuss using his country's nuclear 0:05:13.839 --> 0:05:15.760 capabilities to defend the continent. 0:05:16.800 --> 0:05:20.599 Our nuclear deterrent protects US. It is complete, sovereign and 0:05:20.720 --> 0:05:24.640 French through and through. Since nineteen sixty four, it has 0:05:24.720 --> 0:05:28.880 explicitly played a role in preserving peace and security in Europe. 0:05:29.320 --> 0:05:32.760 But in response to the historic appeal of the future 0:05:32.760 --> 0:05:36.320 German Chancellor, I have decided to open the strategic debate 0:05:36.600 --> 0:05:39.799 on the protection afforded by our deterrent to our allies 0:05:40.080 --> 0:05:41.400 on the European continent. 0:05:41.880 --> 0:05:44.760 French President of Manuel Macron spoke through an interpreter in 0:05:44.800 --> 0:05:47.359 a televised address to the nation and as. 0:05:47.160 --> 0:05:49.520 That summit gets under wayne Brussels, Karen, there is word 0:05:49.520 --> 0:05:52.320 of a new air strike in Ukraine, just hours after 0:05:52.360 --> 0:05:56.039 the US froze. Some intelligence sharing with Kiev. Ukraine says 0:05:56.080 --> 0:05:59.200 a Russian ballistic missile killed four people and wounded dozens 0:05:59.240 --> 0:06:02.039 more in at a hotel in the central city of 0:06:02.120 --> 0:06:07.120 creevy Ria. Ukrainian President Vladimir Zelenski says humanitarian volunteers including 0:06:07.120 --> 0:06:10.240 citizens of Ukraine, the US and the UK had checked 0:06:10.240 --> 0:06:12.320 into that hotel before the strike. 0:06:12.520 --> 0:06:14.080 But now we want to get the latest from the 0:06:14.120 --> 0:06:17.200 Middle East. Nathan President Trump is repeating his warning of 0:06:17.279 --> 0:06:20.000 hell to pay if a master does not release all 0:06:20.000 --> 0:06:23.080 its hostages from Gaza. But while the President is posting 0:06:23.120 --> 0:06:26.560 on social media, he sent his special hostage Envoy at 0:06:26.560 --> 0:06:29.320 the State Department, Adam Bohler, for direct talks with the 0:06:29.360 --> 0:06:33.159 militant group in Doha. Bloomberg's Dan Williams reports the US 0:06:33.200 --> 0:06:36.320 has never had face to face contact till now with Hammas, 0:06:36.839 --> 0:06:40.359 which is which is designated rather as a terrorist organization. 0:06:40.920 --> 0:06:43.080 On the one hand, perhaps he thinks this could work. 0:06:43.080 --> 0:06:45.640 Perhaps he thinks this is a creative way of getting 0:06:45.680 --> 0:06:49.400 Hamas to deliver the hostages, of wrapping up this now 0:06:49.520 --> 0:06:53.000 seventeen month old crisis in war. It could be a 0:06:53.040 --> 0:06:56.599 sign of running out of options. Indeed, holding talks with 0:06:56.600 --> 0:06:58.800 the group in a manner that other administrations may not 0:06:58.839 --> 0:07:01.880 have done would appear on the one hand, creative paths. 0:07:01.920 --> 0:07:04.159 On the other hand, a sign of vexation, of a 0:07:04.240 --> 0:07:07.200 lack of ideas. And I think now we'll have to 0:07:07.240 --> 0:07:09.640 see how Hamas response. 0:07:09.560 --> 0:07:12.720 And Bloombergy Dan Williams reporting from Jerusalem. The White House 0:07:12.720 --> 0:07:15.240 says Israel was consulted on the talks. 0:07:18.560 --> 0:07:19.120 Time now for a. 0:07:19.120 --> 0:07:20.760 Look at some of the other stories making news in 0:07:20.800 --> 0:07:22.440 New York and around the world. And for that we're 0:07:22.480 --> 0:07:25.120 joined by Bloomberg's Michael Barr Michael good Morning. 0:07:24.920 --> 0:07:27.520 Good Morning Caeron New York City Mayor Eric Adams was 0:07:27.600 --> 0:07:32.000 grilled by lawmakers on Capitol Hill on sanctuary cities. Adams 0:07:32.080 --> 0:07:34.920 was joined by a fellow Democratic mayors from three other 0:07:35.000 --> 0:07:40.240 sanctuary cities, Boston's Michelle wou Chicago's Brandon Johnson, and Denver's 0:07:40.280 --> 0:07:45.120 Mike Johnston. Houseover Side Committee Chairman James Comer, a Kentucky Republican, 0:07:45.360 --> 0:07:49.160 says that the cities only create sanctuaries for criminals. We 0:07:49.240 --> 0:07:54.600 cannot let pro criminal alien policies and obstructionist sanctuary cities 0:07:54.640 --> 0:07:59.920 continue to endanger American communities. Adams also defended himself following 0:08:00.120 --> 0:08:03.640 the dropping of his federal charges from the Trump Justice Department. 0:08:03.960 --> 0:08:07.400 I think I was extremely clear, no qui pro quo, 0:08:07.960 --> 0:08:08.760 no agreement. 0:08:09.080 --> 0:08:11.440 I did nothing wrong but serve the people of New 0:08:11.480 --> 0:08:12.000 York City. 0:08:12.520 --> 0:08:15.960 Meanwhile, a new Quinnipiac poll has found Mayor Eric adams 0:08:16.040 --> 0:08:18.880 approval rating has dropped to an all time low. It 0:08:18.960 --> 0:08:21.800 shows that only twenty percent of New York registered voters 0:08:21.840 --> 0:08:25.280 give Adams a positive rating, and the same poll shows 0:08:25.320 --> 0:08:28.240 former New York Governor Andrew Cuomo leading the field of 0:08:28.280 --> 0:08:31.880 mayoral candidates. Cuomo leads with thirty one percent, while Adams 0:08:31.920 --> 0:08:35.320 is second with just eleven percent. There's were there could 0:08:35.320 --> 0:08:38.040 be a new candidate running from mayor of New York City. 0:08:38.120 --> 0:08:41.679 According to several reports, New York City Council Speaker Adrian 0:08:41.720 --> 0:08:44.199 Adams will announce her candidacy for mayor in the next 0:08:44.240 --> 0:08:48.960 few days. Dozens of pro Palestinian protesters at Barnard College 0:08:48.960 --> 0:08:55.559 in New York City today. Demonstrators entered the school's library 0:08:55.600 --> 0:08:58.800 in Upper Manhattan calling for the reversal of the expulsion 0:08:58.920 --> 0:09:03.439 of three students for distributing flyers inside of Columbia University lecture. 0:09:03.960 --> 0:09:07.280 Tensions boiled over as police drove out and encampment of 0:09:07.320 --> 0:09:10.320 protesters after a bomb threat was called in at the 0:09:10.360 --> 0:09:14.400 library of the occupied At least nine protesters were arrested. 0:09:14.840 --> 0:09:17.800 It comes as President Trump said he wants to cut 0:09:17.800 --> 0:09:21.040 the federal funding of colleges that allow what he called 0:09:21.200 --> 0:09:24.800 illegal protests. Global News twenty four hours a day and 0:09:24.880 --> 0:09:27.960 whenever you want it with Bloomberg News Now, Michael Barr, 0:09:28.120 --> 0:09:29.560 this is Bloomberg Karen. 0:09:29.840 --> 0:09:36.960 Sorry, Michael Barr, thank you. Time now for the Bloombergy 0:09:37.000 --> 0:09:39.800 sports update, brought to you by Tri State OUDI. Here's 0:09:39.880 --> 0:09:42.400 John Stashauer. John, Good morning, Goo morning, Karen. 0:09:42.480 --> 0:09:45.200 Rangers and Capitals at the Garden. Chance to see the 0:09:45.280 --> 0:09:47.280 team with the best record in the East and the 0:09:47.360 --> 0:09:50.240 guy who's on the verge of becoming the greatest goalscorer 0:09:50.280 --> 0:09:53.000 in NHL history. And sure enough, midway through the third 0:09:53.040 --> 0:09:56.120 period of the Rangers ahead two to one, Alex Sovechkin 0:09:56.160 --> 0:09:58.960 scored on the power play number eight eighty five as 0:09:59.000 --> 0:10:02.760 he chases winged Vsky. He's now nine from tying number 0:10:02.840 --> 0:10:03.400 ninety nine. 0:10:03.440 --> 0:10:05.400 The game went to overtime and. 0:10:05.520 --> 0:10:09.760 Bringing to the Silicia chas Time, Paulson and over Time. 0:10:10.080 --> 0:10:13.920 Took two on one for Washington. Wilson and strolled strolled 0:10:14.120 --> 0:10:17.959 well pick Wait Wilson, Scots. 0:10:19.160 --> 0:10:23.080 Tom Wilson the overtime Wells lossing. 0:10:22.760 --> 0:10:23.800 Tick con TNT. 0:10:24.000 --> 0:10:25.559 The Caps won three to two and Elsie If the 0:10:25.600 --> 0:10:28.800 Rangers making another trade before tomorrow's deadline, the rumor mill 0:10:28.840 --> 0:10:31.720 has the Islanders looking to deal Brock Nelson and or 0:10:31.840 --> 0:10:35.920 Kyle Palmery for the Devils. The worst fears concerning jack Us' 0:10:36.080 --> 0:10:39.640 shoulder injury, realize he's already had season ending surgery. The 0:10:39.679 --> 0:10:42.520 twenty three year old use his new jersey's top score 0:10:42.600 --> 0:10:44.360 Nick start a five game road trip tonight against the 0:10:44.440 --> 0:10:48.199 Lakers and the lebron James Luca Donzich combo. Lakers have 0:10:48.280 --> 0:10:51.520 won seventeen to their last twenty. Golden stayed off the 0:10:51.559 --> 0:10:53.680 win over the next tonight, taking on the nets in Brooklyn. 0:10:53.800 --> 0:10:57.680 Last night in Boston, Celtics beat Portland. Peyton Pritchard scored 0:10:57.760 --> 0:11:01.280 forty three points and Derek White scored four. First time 0:11:01.280 --> 0:11:04.960 in Celtics history two players scored forty or more same game. 0:11:05.080 --> 0:11:08.120 NFL free agency kicks off next week, plenty of news 0:11:08.160 --> 0:11:11.680 ahead of it. The La Chargers have released five time 0:11:11.760 --> 0:11:16.640 Pro Bowl edge rusher Joey Bosa. Seattle release whiteout Tyler Lockout. Lockett, 0:11:16.679 --> 0:11:18.440 who had been with the Seahawks for a decade. Another 0:11:18.480 --> 0:11:22.240 Seattle whiteout, dk Metcalp wants to be traded. The Raiders 0:11:22.320 --> 0:11:26.040 release quarterback Gardner Minshew and Las Vegas game Max Crosby 0:11:26.480 --> 0:11:29.480 a huge extension. Crosby is now the highest paid non 0:11:29.600 --> 0:11:31.400 quarterback in NFL history. 0:11:31.600 --> 0:11:34.199 John Stashaw, We're Bloomberg Sports Kender Nathan. 0:11:36.360 --> 0:11:40.400 Coast to coast on Bloomberg Radio, nationwide on Sirius XM, 0:11:40.679 --> 0:11:43.520 and around the world on Bloomberg dot Com and the 0:11:43.520 --> 0:11:44.720 Bloomberg Business app. 0:11:45.040 --> 0:11:48.000 This is Bloomberg Daybreak. Good morning, I'm Nathan Hager. 0:11:48.040 --> 0:11:51.359 President Trump admitted his tariffs could cause a little disturbance 0:11:51.440 --> 0:11:53.600 during his address to Congress this week, and now he 0:11:53.640 --> 0:11:56.360 may be offering a little relief, a one month exemption 0:11:56.480 --> 0:11:59.440 from auto tariffs for Canada and Mexico and a potential 0:11:59.440 --> 0:12:02.080 carve out for some agriculture as well. White House Press 0:12:02.120 --> 0:12:04.520 Secretary Caroline Levitt, though says this does not mean the 0:12:04.559 --> 0:12:06.240 President is losing focus. 0:12:06.600 --> 0:12:10.280 The President told the truth, and he was realistic, and 0:12:10.360 --> 0:12:13.640 he levels that with the American people, and I think, frankly, 0:12:13.760 --> 0:12:15.000 it's very refreshing. 0:12:15.200 --> 0:12:18.199 Pre Secretary Caroline Levit speaking from the White House this morning. 0:12:18.200 --> 0:12:21.320 We were joined by Terry Haynes, the founder of Pangaeopolicy, 0:12:21.360 --> 0:12:24.360 and Terry, are these poll backs that we're starting to 0:12:24.400 --> 0:12:27.440 see in the tariff assigned that President Trump is feeling 0:12:27.480 --> 0:12:28.359 a little disturbance. 0:12:28.440 --> 0:12:32.120 Now, good morning, Good morning, Nathan. You know I'm feeling 0:12:32.200 --> 0:12:37.680 refreshed as the press Secretary said no, I think you know, 0:12:37.760 --> 0:12:39.720 I think it's a mistake for markets to think that 0:12:39.800 --> 0:12:42.960 Trump might link on tariffs. If he adjusts these things, 0:12:43.200 --> 0:12:45.840 the pattern is going to be. You know, what we've 0:12:45.880 --> 0:12:48.800 already seen is going to be an imposition of the 0:12:48.800 --> 0:12:52.040 tariffs and then a fine tuning of them. That is 0:12:52.080 --> 0:12:54.960 not That is not a signal the tariffs are going 0:12:55.000 --> 0:12:57.680 to happen and then they're going to go away. That's 0:12:57.720 --> 0:13:01.960 an adjustment. And I know full markets are discomfited by 0:13:02.000 --> 0:13:05.520 that because they don't know what's coming next. And that's 0:13:05.559 --> 0:13:08.079 fair enough. But you know that that's going to be 0:13:08.120 --> 0:13:09.120 the policy going forward. 0:13:09.160 --> 0:13:11.439 I think, well, are you thinking, then, Terry, that there 0:13:11.480 --> 0:13:14.360 could be adjustment to the reciprocal tariffs that the President 0:13:14.400 --> 0:13:17.240 has talked about The Commerce Secretary Howard Ludnik is saying 0:13:17.280 --> 0:13:19.160 are going to be taking effect April second. 0:13:20.120 --> 0:13:24.640 I think some adjustment, Yes, the basic principle I think, 0:13:25.120 --> 0:13:29.720 I think stands. Remember that what they have the reciprocal 0:13:29.720 --> 0:13:33.560 tariff's purpose, I think is broadly speaking, is different than 0:13:34.080 --> 0:13:38.360 the individuals, let's say on Canada and Mexico. Those are 0:13:39.160 --> 0:13:42.920 explicitly about what I call geopolitical matters. In the case 0:13:42.960 --> 0:13:46.559 of Canada and Mexico. It's about the border. It's about drugs, 0:13:46.640 --> 0:13:50.760 fentanyl the like. The reciprocal tariffs are all about the 0:13:50.880 --> 0:13:55.679 idea that other countries are tariffing us, so therefore we're 0:13:55.720 --> 0:13:59.640 going to tariff them similarly. And and the bid, I 0:13:59.720 --> 0:14:02.200 think is unspoken. The bid is to, you know, basically, 0:14:02.240 --> 0:14:04.880 have those tariffs go away. The idea is to produce 0:14:04.920 --> 0:14:06.720 freeer trade in the end, which you haven't heard a 0:14:06.720 --> 0:14:09.920 lot about yet, but I think you will. But that's 0:14:09.960 --> 0:14:13.480 all based on explicitly on the trade policy of others. 0:14:14.120 --> 0:14:18.360 And UH and Sectuary besn't likes to call this the 0:14:18.720 --> 0:14:22.920 next steps kind of UH data dependent, you know, dependent 0:14:23.000 --> 0:14:26.480 on what's what those tariffs actually are. That's what the 0:14:26.520 --> 0:14:28.320 administration is studying right now. 0:14:28.600 --> 0:14:32.120 Well, if these if this really is about immigration and 0:14:32.240 --> 0:14:35.280 drug flows over the borders, terry, why delay these for 0:14:35.520 --> 0:14:39.600 a month? I mean, can automakers really source more operations 0:14:39.640 --> 0:14:41.440 in the US within a month? 0:14:42.240 --> 0:14:42.320 No? 0:14:42.520 --> 0:14:44.320 If some of this has been leaked, and some of 0:14:44.360 --> 0:14:46.480 it some of it's been leaked, some of it's been 0:14:46.520 --> 0:14:51.280 stated explicitly, particularly by Commerce Secretary Lutnik. Uh, the idea 0:14:51.480 --> 0:14:55.400 is they're they're going to certainly understand that the automakers 0:14:56.000 --> 0:14:59.600 have the ability or need the ability to continue to 0:14:59.680 --> 0:15:03.120 source the way they're sourcing. So there's that there's no 0:15:03.200 --> 0:15:06.000 illusion that the automakers are going to be able to 0:15:06.040 --> 0:15:11.160 produce more domestically, but they're providing a reprieve anyway in 0:15:11.200 --> 0:15:16.000 the hopes that more negotiations on the basic geopolitical issues 0:15:16.040 --> 0:15:20.320 continue to exist. But beyond that, and the other thing 0:15:20.360 --> 0:15:25.160 that's been leaked or teased is that USMCA, the deal 0:15:25.240 --> 0:15:28.800 between the United States, Canada and Mexico, should pick up 0:15:28.800 --> 0:15:31.640 a lot of this stuff. So what I anticipate is 0:15:31.720 --> 0:15:36.960 that you'll probably see an early triggering of a renegotiation 0:15:37.600 --> 0:15:39.240 more broadly on us mc A. 0:15:39.360 --> 0:15:42.080 Basis just thirty seconds left, Terry, do you think we'll 0:15:42.080 --> 0:15:44.640 see carve outs for tech when those leaders meet at 0:15:44.640 --> 0:15:45.640 the White House next week? 0:15:46.480 --> 0:15:49.880 You know that wouldn't surprise me at all. The administration 0:15:50.120 --> 0:15:53.440 right now, I think is somewhat underpowered when it comes 0:15:53.480 --> 0:15:59.160 to having bobbins around who understand this stuff instinctively. And 0:15:59.400 --> 0:16:03.280 you know that's the lard the largely of the byproduct 0:16:03.280 --> 0:16:05.920 of being in the beginning of an administration. So the 0:16:06.800 --> 0:16:08.560 tech folks are going to be able to come in 0:16:09.000 --> 0:16:11.720 and actually make their case directly and provide a lot 0:16:11.760 --> 0:16:14.040 of useful insight that the White House I think doesn't have. 0:16:14.160 --> 0:16:17.400 Right now, this is Bloomberg Daybreak, your morning podcast on 0:16:17.480 --> 0:16:21.160 the stories making news from Wall Street to Washington and beyond. 0:16:21.400 --> 0:16:23.800 Look for us on your podcast feed by six am 0:16:23.840 --> 0:16:27.240 Eastern each morning, on Apple, Spotify, or anywhere else you listen. 0:16:27.440 --> 0:16:30.280 You can also listen live each morning starting at five 0:16:30.320 --> 0:16:33.040 am Wall Street time on Bloomberg eleven three to zero 0:16:33.040 --> 0:16:35.960 in New York, Bloomberg in ninety nine to one in Washington, 0:16:36.000 --> 0:16:39.960 Bloomberg ninety two nine in Boston, and nationwide on serious 0:16:40.160 --> 0:16:41.880 XM Channel one twenty one. 0:16:42.120 --> 0:16:44.840 Plus listen coast to coast on the Bloomberg Business app 0:16:44.880 --> 0:16:47.720 now with Apple CarPlay and Android auto interfaces. 0:16:47.960 --> 0:16:50.960 And don't forget to subscribe to Bloomberg News Now. It's 0:16:50.960 --> 0:16:53.680 the latest news whenever you want it in five minutes 0:16:53.800 --> 0:16:56.920 or less. Search Bloomberg News Now in your favorite podcast 0:16:56.960 --> 0:16:59.120 platform to stay informed all day long. 0:16:59.480 --> 0:17:01.880 I'm Moscow and I'm Nathan Hager. 0:17:02.040 --> 0:17:04.080 Join us again tomorrow morning for all the news you 0:17:04.119 --> 0:17:06.879 need to start your day right here on Bloomberg Daybreak