Trump Offers Fed Workers Buyouts; Investors Await Tech Earnings & Fed Decision

Bloomberg Audio Studios, Podcasts, radio News. 0:00:10.039 --> 0:00:13.200 Good morning, I'm Nathan Hager and I'm Karen Moscow. Here 0:00:13.200 --> 0:00:14.960 are the stories we're following today. 0:00:15.280 --> 0:00:18.079 Karen, it is a big day as we await mag 0:00:18.200 --> 0:00:21.360 seven earnings and this afternoon's FED decision. But we begin 0:00:21.600 --> 0:00:24.959 in Washington, where President Trump has been shaking up the 0:00:25.000 --> 0:00:28.000 federal government on a number of levels. Let's start with 0:00:28.040 --> 0:00:31.280 the latest development. The President is offering buyouts to federal 0:00:31.320 --> 0:00:33.680 workers who don't want to comply with his demands to 0:00:33.720 --> 0:00:36.840 return to the office full time. A memo titled Fork 0:00:36.840 --> 0:00:39.559 in the Road says the payments will run through September thirtieth, 0:00:39.760 --> 0:00:43.479 as long as the employees decide to resign by February sixth. 0:00:43.840 --> 0:00:47.080 Democratic Senator Tim Kaine isn't buying the president's offer. 0:00:47.560 --> 0:00:50.000 He's tricked hundreds of people. 0:00:49.760 --> 0:00:50.479 With that offer. 0:00:51.200 --> 0:00:53.920 If you accept that offer and resign, he'll stiff you, 0:00:54.080 --> 0:00:57.279 just like he stiffed the contractors. He don't have any 0:00:57.320 --> 0:00:58.400 authority to do this. 0:00:59.760 --> 0:01:01.800 Do not be fooled by this guy. 0:01:02.040 --> 0:01:05.160 Democrat Tim Kaine spoke on the Senate floor last night. 0:01:05.240 --> 0:01:07.600 The memo from the Office of Personnel Management says the 0:01:07.600 --> 0:01:12.120 Trump administration is seeking a more streamlined and flexible workforce. 0:01:12.000 --> 0:01:12.520 Well, Nathan. 0:01:12.520 --> 0:01:15.080 The buyout offer comes after a surprise moved by the 0:01:15.120 --> 0:01:18.480 President to block trillions of dollars in governments spending, only 0:01:18.560 --> 0:01:21.560 to have it blocked by a federal judge. On Monday night, 0:01:21.600 --> 0:01:24.520 the White House ordered agencies to pause all federal assistants 0:01:24.560 --> 0:01:27.200 to make sure it aligns with President Trump's agenda. The 0:01:27.280 --> 0:01:29.960 move led many offices across the country to question whether 0:01:30.000 --> 0:01:33.400 it would affect medical research, anti poverty program, state and 0:01:33.400 --> 0:01:36.520 local aid. White House Deputy Chief of Staff Stephen Miller 0:01:36.600 --> 0:01:39.279 says the review process would only last ninety days. 0:01:39.600 --> 0:01:43.119 It's a review process to say that there's for discretionary 0:01:43.160 --> 0:01:46.479 spending as not directed by Congress or required by law. 0:01:46.680 --> 0:01:49.360 So this would be, for example, something like a contract 0:01:49.440 --> 0:01:53.560 to a non governmental organization to teach, say, critical race theory. 0:01:54.000 --> 0:01:56.360 But the confusion led the White House to issue a 0:01:56.480 --> 0:01:59.920 second memo saying things like medicaid, social security, and rental 0:02:00.080 --> 0:02:03.120 assistance would be left intact. But the order is on 0:02:03.200 --> 0:02:06.320 hold for now. As we hear from Bloomberg's Derek Wallbank. 0:02:06.040 --> 0:02:09.200 A federal judge did come in and stay a lot 0:02:09.240 --> 0:02:12.280 of this order, basically said no We're going to keep 0:02:12.320 --> 0:02:15.400 this going now, but I want to have some arguments 0:02:15.440 --> 0:02:17.720 come in later, so that'll be something that we'll have 0:02:17.760 --> 0:02:20.600 to watch coming up next week and beyond. There will 0:02:20.680 --> 0:02:22.200 be a lot of court action here. 0:02:22.520 --> 0:02:25.520 Bloombergs Derek Wallbank reports that memo gets into a thorny 0:02:25.520 --> 0:02:29.079 constitutional issue whether the president has authority to halt spending 0:02:29.120 --> 0:02:31.119 that Congress has already approved. 0:02:31.320 --> 0:02:34.760 Staying in Washington, Karen Robert F. Kennedy Junior is facing 0:02:34.800 --> 0:02:37.560 confirmation hearings today as he aims to become the next 0:02:37.560 --> 0:02:41.040 Health and Human Services secretary. Bloomberg's Amy Morris has a 0:02:41.040 --> 0:02:42.079 preview from Washington. 0:02:42.480 --> 0:02:45.880 In prepared testimony for the Senate Committee seen by Bloomberg News, 0:02:45.919 --> 0:02:49.280 Kennedy says he's neither anti vaccine nor anti industry, and 0:02:49.360 --> 0:02:51.960 he says all of his children are vaccinated. Back in 0:02:52.000 --> 0:02:55.400 twenty twenty three, though he linked vaccines to autism, something 0:02:55.480 --> 0:02:56.880 scientists dispute do. 0:02:57.080 --> 0:02:59.560 Believe that autism does come from vaccines. 0:03:00.080 --> 0:03:02.520 Today, he says he believes vaccines should be left up 0:03:02.520 --> 0:03:06.040 to the parent, not mandated. His cousin, Caroline Kennedy, has 0:03:06.080 --> 0:03:09.200 a plea for senators, something her son posted on x 0:03:09.480 --> 0:03:10.120 I urge. 0:03:09.919 --> 0:03:11.800 The Senate to reject his nomination. 0:03:12.320 --> 0:03:15.440 RFK Junior also changed his stance on abortion after former 0:03:15.520 --> 0:03:19.200 Vice President Mike Pence opposed his nomination. In Washington, Amy 0:03:19.200 --> 0:03:20.240 Moore as Bloomberg Radio. 0:03:20.320 --> 0:03:23.000 All right, Amy, thank you, and to hear RFK Junior's confirmation. 0:03:23.080 --> 0:03:25.840 Hearing stay with Bloomberg. We will have full coverage starting 0:03:25.880 --> 0:03:28.399 at ten am Wall Street time right here on Bloomberg 0:03:28.480 --> 0:03:32.440 Radio and on the Bloomberg podcast page on YouTube. 0:03:32.680 --> 0:03:35.280 Well, Nathan, President Trump has threatened to impose at twenty 0:03:35.320 --> 0:03:38.760 five percent tariff on Canadian goods on Saturday. 0:03:38.400 --> 0:03:39.480 February first. 0:03:39.760 --> 0:03:43.480 Christia Freeland, who is running to succeed Prime Minister Justin Trudeau, 0:03:43.920 --> 0:03:47.240 is urging the government not to wait to respond. Bloomberg's 0:03:47.280 --> 0:03:50.440 David Guraz in Toronto for an exclusive sit down with Freeland. 0:03:50.800 --> 0:03:54.000 Christia Freeland sent shockwaves through Canada when she stepped down 0:03:54.000 --> 0:03:57.960 as Prime Minister Trudeau's deputy in December. In her resignation letter, 0:03:58.080 --> 0:04:01.360 she accused him of failing to prepare Canada adequately for 0:04:01.440 --> 0:04:04.480 a second Trump term. Now, Freeland is making a bid 0:04:04.480 --> 0:04:07.000 to lead Canada's Liberal Party and to be the next 0:04:07.040 --> 0:04:10.600 Prime minister, and she says weakness is a provocation for 0:04:10.680 --> 0:04:14.720 President Trump, and capitulation is not a negotiating strategy. 0:04:14.880 --> 0:04:15.680 Well, I think we. 0:04:15.640 --> 0:04:22.159 Should start responding today. I think that we should publish 0:04:22.400 --> 0:04:27.480 for consultation a retaliation list. I think it should be massive, right, 0:04:27.560 --> 0:04:30.640 it should be two hundred billion. That's not saying that 0:04:30.680 --> 0:04:34.280 we retaliate at two hundred billion, but giving us like 0:04:34.400 --> 0:04:37.800 a menu, like a s'morgus board of choices. And we 0:04:37.880 --> 0:04:42.039 need to publish it now because when President Trump says 0:04:42.160 --> 0:04:44.279 America first, I believe them. 0:04:44.360 --> 0:04:48.200 Freeland says Canada needs to appeal directly to Americans so 0:04:48.240 --> 0:04:50.800 they understand what's at stake if there's a trade war 0:04:51.360 --> 0:04:51.960 in Toronto. 0:04:52.200 --> 0:04:55.640 David Gura, Bloomberg Radio. Okay, David, thank you. Turning to 0:04:55.720 --> 0:04:59.440 markets now. Tech stocks saw rebound on Wall Street yesterday. 0:04:59.480 --> 0:05:02.680 It came as we have new developments involving the Chinese 0:05:02.760 --> 0:05:04.800 artificial intelligence startup Deep Seek. 0:05:04.960 --> 0:05:07.200 For that, We're joined by Bloomberg's John Tucker. 0:05:07.320 --> 0:05:09.400 Morning, John and Nate. Let's start with the market's. A 0:05:09.680 --> 0:05:12.960 relative sense of calm prevailed after that pretty rough start 0:05:13.000 --> 0:05:15.599 to the week, following a plunge that erased almost six 0:05:15.680 --> 0:05:19.479 hundred billion dollars in value. Monday, in Vidia rallied eight 0:05:19.480 --> 0:05:22.760 point nine percent, a punishing sell off, and tech stocks 0:05:22.760 --> 0:05:26.679 spelled opportunity for DIMP buyers. Following the round, investors poord 0:05:26.960 --> 0:05:30.040 four point three billion dollars into the tech heavy Invesco 0:05:30.160 --> 0:05:35.400 qqq etf, its biggest one day haul in three years now. Meantime, 0:05:35.520 --> 0:05:37.599 some of the shine may have come off the Chinese 0:05:37.680 --> 0:05:41.640 AI startup Deep Seek. Sources say Microsoft and open Ai 0:05:41.760 --> 0:05:46.120 are investigating whether the data output from open ais technology 0:05:46.640 --> 0:05:50.360 was obtained in an unauthorized manner by a group linked 0:05:50.440 --> 0:05:53.800 to deep Seek. In New York, Ime, John Tucker Bloomberg Radio. 0:05:54.000 --> 0:05:54.800 Right, John, thank you. 0:05:54.839 --> 0:05:59.800 All shares of ASML are soaring there, up almost nine percent. Overseas, 0:06:00.040 --> 0:06:02.840 Touch companies booking orders were worth twice as much as 0:06:02.839 --> 0:06:06.800 analysts expected, as the artificial intelligence boom fuels demand for 0:06:06.839 --> 0:06:08.080 its chip making machines. 0:06:08.279 --> 0:06:10.760 And the tech earning story is going to continue here 0:06:10.800 --> 0:06:12.640 in the US. Karen, We're going to start to get 0:06:12.640 --> 0:06:15.880 results of the Magnificent seven today. Let's get a preview 0:06:15.920 --> 0:06:18.040 now from Bloomberg's tom busby. 0:06:17.920 --> 0:06:22.000 Microsoft, Meta and Tesla, all reporting their latest quarterly results today. 0:06:22.080 --> 0:06:24.840 Revenue at Microsoft is expected to grow eleven percent, its 0:06:24.839 --> 0:06:27.440 slowest increase in a year and a half. Meta expected 0:06:27.480 --> 0:06:29.920 to post a seventeen percent spike in revenue, want to 0:06:29.960 --> 0:06:33.000 boost in advertising. Investors will want to know more about 0:06:33.040 --> 0:06:35.760 its plans to spend sixty five billion to grow out 0:06:35.760 --> 0:06:39.239 its AI strategy. And Tesla expected to report weaker gross 0:06:39.320 --> 0:06:43.080 margins after slashing prices on vehicles and because of unfavorable 0:06:43.080 --> 0:06:46.080 exchange rates, but investors eager to hear a timeline for 0:06:46.120 --> 0:06:50.240 its long awaited lower priced vehicle. Tom Busby, Bloomberg. 0:06:49.760 --> 0:06:51.360 Radio, all right, Tom, thank you all. 0:06:51.400 --> 0:06:54.160 Turning to the economy, we get the Fed's first policy 0:06:54.200 --> 0:06:57.680 decision of the year and the first Donald Trump back 0:06:57.680 --> 0:06:58.480 in office. 0:06:58.600 --> 0:06:59.760 Bloomberg's Michael McKee is. 0:06:59.760 --> 0:07:02.960 A discretion is likely the better part of valor for 0:07:03.000 --> 0:07:06.880 the Fed today. With inflation sticky and Donald Trump's fiscal 0:07:06.920 --> 0:07:10.280 policies incomplete and unclear, there's a little reason for the 0:07:10.320 --> 0:07:12.840 central bankers to make a move on interest rates now. 0:07:13.280 --> 0:07:15.920 The same logic applies to Chair Jay Powell in his 0:07:16.080 --> 0:07:19.200 post meeting news conference. Expect him to try to make 0:07:19.240 --> 0:07:23.640 as little news as possible, avoiding forecasts and dodging any 0:07:24.040 --> 0:07:27.400 what would you do if questions after cutting rates one 0:07:27.440 --> 0:07:30.520 hundred basis points over the past three meetings. This one 0:07:30.640 --> 0:07:34.480 may be the quietest in some time. Michael McKee, Bloomberg Radio. 0:07:34.680 --> 0:07:35.720 All right, Mike, thank you well. 0:07:35.720 --> 0:07:38.760 Stay tuned for Bloomberg's live coverage of the FED decision. 0:07:38.800 --> 0:07:41.440 It begins at one thirty pm Wall Street Time on 0:07:41.480 --> 0:07:44.800 Bloomberg Radio and the Bloomberg Podcast. 0:07:44.280 --> 0:07:46.120 Page on YouTube. 0:07:48.840 --> 0:07:50.040 Time Now for a look at some of the other 0:07:50.120 --> 0:07:52.160 stories making news in New York and around the world, 0:07:52.160 --> 0:07:54.240 and for that we're joined by Bloomberg's Michael Barr. 0:07:54.320 --> 0:07:56.040 Michael, good morning, Good morning, Karen. 0:07:56.120 --> 0:07:58.600 There were at least three ice raids in New York 0:07:58.680 --> 0:08:02.080 City on Tuesday. At least twenty people were taken into custody. 0:08:02.400 --> 0:08:06.240 Frank Tarantino deea Special Agent in charge of the New 0:08:06.320 --> 0:08:09.720 York Division, says more multi agency raids are likely. 0:08:10.040 --> 0:08:12.640 This is part of the drug trafficking community. This is 0:08:12.720 --> 0:08:15.760 exactly what we are designed to do and as to 0:08:15.800 --> 0:08:19.240 target the most significant drug traffickers and drug trafficking organizations 0:08:19.240 --> 0:08:21.600 who are causing the most harm, and some of those 0:08:21.640 --> 0:08:23.360 happened to be criminal legal aliens. 0:08:23.880 --> 0:08:27.160 Newly sworn in DHS Secretary Christy Nomes showed up for 0:08:27.360 --> 0:08:30.640 a major arrest in the Bronx. President Trump will signed 0:08:30.640 --> 0:08:34.120 the lacln Riley Act into law today. The House passed 0:08:34.200 --> 0:08:36.800 the legislation a week ago. Named for a twenty two 0:08:36.920 --> 0:08:40.000 year old nursing student in Georgia who was murdered by 0:08:40.040 --> 0:08:44.000 an undocumented immigrant, The bill expands the federal government's mandate 0:08:44.040 --> 0:08:48.280 to detain undocumented immigrants. Former New Jersey Senator Bob and 0:08:48.440 --> 0:08:51.360 Endes will be sentenced alongside two co defendants in a 0:08:51.400 --> 0:08:56.720 New York courtroom after being convicted on sixteen counts of bribery, extortion, conspiracy, 0:08:56.920 --> 0:09:00.840 and obstruction of justice. The trial for his wife on 0:09:01.000 --> 0:09:05.040 similar bribery and corruption charges has been postponed until March 0:09:05.040 --> 0:09:09.480 as she continues treatment for breast cancer. Benndez's lawyers filed 0:09:09.480 --> 0:09:12.439 emotion for a new trial, which the trial judge did not. 0:09:13.040 --> 0:09:15.560 The White House confirmed what the Biden administration had said 0:09:15.600 --> 0:09:19.040 in December those drones flying over New Jersey near President 0:09:19.080 --> 0:09:23.319 Trump's Bedminster golf resort were not a threat. New White 0:09:23.320 --> 0:09:25.400 House Press Secretary Caroline Levitt. 0:09:25.760 --> 0:09:28.160 The drones that were flying over New Jersey and large 0:09:28.240 --> 0:09:32.320 numbers were authorized to be flown by the FAA for 0:09:32.559 --> 0:09:34.800 research and various other reasons. 0:09:34.960 --> 0:09:38.559 Spokesperson Levin ads some of the drones also belonged to hobbyists. 0:09:38.840 --> 0:09:41.280 Global news twenty four hours a day and whenever you 0:09:41.320 --> 0:09:43.720 want it with Bloomberg News. Now. I'm Michael Barrn. This 0:09:43.840 --> 0:09:44.839 is Bloomberg Karen. 0:09:45.000 --> 0:09:46.320 All right, Michael barr thank you. 0:09:51.120 --> 0:09:53.320 Time now for the Bloomberg Sports Update, brought to you 0:09:53.360 --> 0:09:57.319 by Tri State Audi. Here's John stash Hour, John, good morning. 0:09:57.040 --> 0:09:59.840 Good morning herein the Saint John's Red Storm and joined 0:09:59.840 --> 0:10:02.720 their the best season in forty years, completed a seven 0:10:02.760 --> 0:10:05.120 and oh month of January with a second. 0:10:04.760 --> 0:10:05.839 Win over Georgetown. 0:10:05.880 --> 0:10:08.839 It was easy in DC sixty six to forty one. 0:10:08.880 --> 0:10:11.760 They held the Hoyas to twenty five percent, shooting. Saint 0:10:11.800 --> 0:10:14.640 John's now eighteen and three time for first of the 0:10:14.640 --> 0:10:16.720 Big East under the direction of their hall of fame 0:10:16.760 --> 0:10:18.680 coach Rick Patino at. 0:10:18.640 --> 0:10:22.360 Fifty years of coaching. The one thing I've learned the 0:10:22.360 --> 0:10:25.400 most important word around is humility. 0:10:25.800 --> 0:10:26.440 Being humbled. 0:10:26.520 --> 0:10:29.160 That allows you to keep getting better, That allows you 0:10:29.240 --> 0:10:32.720 now to embrace success, that allows you to stay grounded 0:10:32.800 --> 0:10:35.760 and know who you are. We know Georgetown computers, we 0:10:35.840 --> 0:10:38.200 know Providence compete us, so we know everybody compat us, 0:10:38.640 --> 0:10:40.160 but we're getting better and better. 0:10:39.960 --> 0:10:40.880 And better as well. 0:10:40.920 --> 0:10:43.480 As things have gone this season for Saint John's, that's 0:10:43.480 --> 0:10:46.120 how poorly it's gone for Seaton Hall. Pirates lost by 0:10:46.120 --> 0:10:48.280 two to Providence, now one to nine in the Big East. 0:10:48.280 --> 0:10:50.719 Michigan State now nine to zero in the Big Ten. 0:10:50.840 --> 0:10:53.640 Spartans are out of Minnesota. Showdown in the SEC Kentucky 0:10:53.640 --> 0:10:57.040 one at Tennessee NBA, and Philly Sixers beat the Lakers. 0:10:57.040 --> 0:11:00.840 Tyrese Maxi scored forty three Nixon Nuggets to at the Garden, 0:11:00.880 --> 0:11:04.360 where the Rangers got shut out by Carolina four nothing 0:11:04.440 --> 0:11:06.720 so two home losses after the Rangers had gotten at 0:11:06.760 --> 0:11:09.200 least a point in ten straight games. They are again 0:11:09.240 --> 0:11:11.880 now on the outside looking in for a playoff spot, 0:11:11.920 --> 0:11:13.679 as are the Islanders, but they had a big third 0:11:13.760 --> 0:11:16.960 period at Ubs, scoring four times to beat Colorado five 0:11:17.000 --> 0:11:20.120 to two. Bruins lost in Buffalo seven to two, Capitals 0:11:20.160 --> 0:11:22.160 one in Calgary three to one. Spring training begins in 0:11:22.200 --> 0:11:23.840 a couple of weeks and Pete a Lonzo. 0:11:23.840 --> 0:11:24.840 Still without a team. 0:11:24.880 --> 0:11:27.400 A report from the Mets Network SNY that he and 0:11:27.400 --> 0:11:30.160 his agent Scott for Us, are willing to go perhaps 0:11:30.240 --> 0:11:33.640 well into spring training before signing John Stashed. 0:11:33.679 --> 0:11:35.120 We're Bloomberg Sports. 0:11:36.800 --> 0:11:41.000 Coast to coast on Bloomberg Radio, nationwide on Sirius XM, 0:11:41.120 --> 0:11:43.960 and around the world on Bloomberg dot Com and the 0:11:44.000 --> 0:11:47.080 Bloomberg Business opp This is Bloomberg Daybreak. 0:11:47.240 --> 0:11:48.600 Good morning. I'm Nathan Hager. 0:11:48.679 --> 0:11:52.520 President Trump's bid to shake up Washington is sending shockwaves 0:11:52.600 --> 0:11:55.840 across the country, and the latest move is a buyout 0:11:55.880 --> 0:11:59.120 offer to federal workers who don't want to return to 0:11:59.160 --> 0:12:02.920 the office for time. Democratic Senator Tim Kaine is sounding 0:12:02.920 --> 0:12:04.359 a warning, you will. 0:12:04.120 --> 0:12:07.800 Regret it, just like these contractors regretted it. Who did 0:12:07.840 --> 0:12:09.959 work for this guy when he was a businessman man. 0:12:10.040 --> 0:12:12.439 The biot offer comes after the White House moved to 0:12:12.480 --> 0:12:15.680 block trillions of dollars in government spending, only to have 0:12:15.720 --> 0:12:19.480 a judge put that order on hold less than twenty 0:12:19.480 --> 0:12:23.640 four hours later. Joining us now, Bloomberg's Kevin whitelaw It 0:12:23.679 --> 0:12:26.760 has been a pretty head spinning couple of hours in 0:12:26.960 --> 0:12:29.320 the nation's capital and beyond. 0:12:29.400 --> 0:12:30.199 Kevin, good morning. 0:12:30.240 --> 0:12:32.760 Let's start with this new buyout offer just because it 0:12:32.880 --> 0:12:35.920 is the newest thing something we've seen in the private sector. 0:12:35.920 --> 0:12:38.199 But is it going to fly in the federal government. 0:12:38.760 --> 0:12:41.640 Well, you know, obviously Donald Trump is in the business 0:12:42.080 --> 0:12:44.760 he thinks of trying to shrink the government. Some would 0:12:44.760 --> 0:12:47.679 say break the government, some would say fix the government. 0:12:48.480 --> 0:12:50.760 But one way or the other, he is looking to 0:12:52.720 --> 0:12:56.760 essentially get rid of a number of federal employees that 0:12:56.800 --> 0:13:01.679 he sees are an obstacle to enacting his agenda. Federal 0:13:01.679 --> 0:13:04.120 government workers obviously say that they're applying the law, they 0:13:04.160 --> 0:13:06.720 work for part they work, they're non partisan, they work. 0:13:06.640 --> 0:13:07.480 For whichever party. 0:13:07.520 --> 0:13:11.240 That's the entire ethos of the federal bureaucracy. But that's 0:13:11.240 --> 0:13:13.080 definitely not the way Donald Trump sees it. So the 0:13:13.080 --> 0:13:15.839 buyout offer is very much an effort to just say, well, 0:13:16.200 --> 0:13:19.800 here's one way out. And obviously I think Donald Trump 0:13:19.840 --> 0:13:22.600 knows that some of the broader efforts, which we expect 0:13:22.600 --> 0:13:26.760 to include reclassifying a bunch of federal employees, longtime civil 0:13:26.840 --> 0:13:31.400 service employees as political into political roles so that they 0:13:31.400 --> 0:13:33.839 can be fired, that's going to get challenged in court. 0:13:33.920 --> 0:13:35.920 So I do think this is sort of an effort 0:13:35.960 --> 0:13:37.760 to say, well, you know, if people want an easy 0:13:37.760 --> 0:13:40.200 way out here, it is, and I think it's not 0:13:40.480 --> 0:13:43.360 entire It's not coincidental that this sort of comes amid 0:13:43.360 --> 0:13:46.199 all of these orders to free spending and the broader 0:13:46.240 --> 0:13:49.480 tumult over what the role of the federal government is 0:13:49.520 --> 0:13:51.640 going to be in the coming years. 0:13:51.760 --> 0:13:54.400 Well, let's talk about this order that's now been put 0:13:54.440 --> 0:13:57.560 on hold at least temporarily by a federal judge. Was 0:13:57.640 --> 0:14:00.960 really interesting to see that this was seen as a 0:14:01.000 --> 0:14:06.000 review to ensure that spending that's been authorized by Congress 0:14:06.320 --> 0:14:09.160 aligns with President Trump's agenda. 0:14:09.320 --> 0:14:10.839 I mean, where could this go from here? 0:14:11.440 --> 0:14:14.680 Well, obviously it was stopped almost immediately, but it has 0:14:14.760 --> 0:14:17.720 still uh, you know, at least temporarily by a judge. 0:14:17.720 --> 0:14:19.520 But it will still. 0:14:19.360 --> 0:14:23.120 Cause all kinds of confusion over what the role is 0:14:23.160 --> 0:14:25.800 of the federal government when it comes to this, because obviously, 0:14:25.840 --> 0:14:29.280 normally spending is Congress's purview, and so I do think 0:14:29.320 --> 0:14:32.880 it does raise some very fundamental questions over exactly how 0:14:32.960 --> 0:14:37.080 and where and when the money is authorized and spent. 0:14:37.240 --> 0:14:40.000 So it's not clear that this Republican Congress is going 0:14:40.040 --> 0:14:42.760 to want to take on the president over this issue. 0:14:42.760 --> 0:14:46.480 But normally it is something that that that prerogative that 0:14:46.520 --> 0:14:50.280 Congress has, that that lawmakers have defended very very seriously 0:14:50.760 --> 0:14:53.400 in the meantime, it's caused all kinds of confusion and 0:14:53.520 --> 0:14:58.160 disrupted payments to vendors and and to nonprofits and to 0:14:58.680 --> 0:15:02.120 and to uh, you know, everything from school lunches to. 0:15:04.360 --> 0:15:05.680 Other aid programs. 0:15:06.080 --> 0:15:08.760 So I do think it is going to raise some 0:15:08.800 --> 0:15:13.800 fundamental questions down the line over how reliable any of 0:15:13.840 --> 0:15:18.200 these federal programs are for the people and the companies, 0:15:18.240 --> 0:15:20.160 the contractors, and the workers that have all come to 0:15:20.200 --> 0:15:20.640 depend on. 0:15:20.920 --> 0:15:23.040 Just thirty seconds left, Kevin, But did we get any 0:15:23.040 --> 0:15:26.120 clarity on what programs were covered under this order before 0:15:26.160 --> 0:15:27.800 it was temporarily halted? I mean, they had to put 0:15:27.840 --> 0:15:31.160 out two memos to try to provide some guidance, right. 0:15:31.080 --> 0:15:32.880 It does seem that the first one was written so 0:15:32.960 --> 0:15:35.680 broadly that it stopped all kinds of things they probably 0:15:35.760 --> 0:15:38.880 didn't intend to that got noticed more widely than they intended. 0:15:38.960 --> 0:15:42.280 I think the problem here is the Trump administration simply 0:15:42.400 --> 0:15:46.720 underestimates just how important so many of these programs are 0:15:46.760 --> 0:15:49.080 to so many people, including their own voters and their 0:15:49.120 --> 0:15:52.120 own constituents, and their own party lawmakers and. 0:15:52.120 --> 0:15:52.880 Their own party. 0:15:54.440 --> 0:15:57.880 This is Bloomberg Daybreak, your morning podcast on the stories 0:15:57.960 --> 0:16:01.440 making news from Wall Street to Washing and beyond. 0:16:01.240 --> 0:16:03.640 Look for us on your podcast feed by six am 0:16:03.680 --> 0:16:07.040 Eastern each morning, on Apple, Spotify, or anywhere else you listen. 0:16:07.280 --> 0:16:10.120 You can also listen live each morning starting at five 0:16:10.160 --> 0:16:12.880 am Wall Street Time on Bloomberg eleven three to zero 0:16:12.880 --> 0:16:15.800 in New York, Bloomberg ninety nine to one in Washington, 0:16:15.840 --> 0:16:19.800 Bloomberg ninety two nine in Boston, and nationwide on serious 0:16:20.000 --> 0:16:21.560 XM Channel one twenty one. 0:16:21.960 --> 0:16:24.680 Plus listen coast to coast on the Bloomberg Business app 0:16:24.720 --> 0:16:27.560 now with Apple CarPlay and Android auto interfaces. 0:16:27.760 --> 0:16:30.800 And don't forget to subscribe to Bloomberg News Now. It's 0:16:30.800 --> 0:16:33.520 the latest news whenever you want it in five minutes 0:16:33.640 --> 0:16:36.760 or less. Search Bloomberg News Now on your favorite podcast 0:16:36.800 --> 0:16:39.040 platform to stay informed all day long. 0:16:39.320 --> 0:16:40.960 I'm Karen Moscow. 0:16:40.720 --> 0:16:41.720 And I'm Nathan Hager. 0:16:41.880 --> 0:16:43.920 Join us again tomorrow morning for all the news you 0:16:43.960 --> 0:16:46.520 need to start your day right here on Bloomberg Day 0:16:46.560 --> 0:16:46.720 Ray