Biden State of the Union; NYCB Gets Cash Infusion from Mnuchin

Bloomberg Audio Studios, Podcasts, Radio News. 0:00:11.000 --> 0:00:12.800 Good morning, I'm Nathan Hager. 0:00:12.720 --> 0:00:15.960 And I'm Karen Moscow. Here are the stories we're following today. 0:00:16.680 --> 0:00:19.040 President Biden is set to deliver his State of the 0:00:19.120 --> 0:00:23.160 Union address to both chambers of Congress tonight. Bloomberg's Amy 0:00:23.239 --> 0:00:25.120 Morris has a preview from Washington. 0:00:25.560 --> 0:00:28.000 This State of the Union may be President Biden's biggest 0:00:28.040 --> 0:00:32.440 opportunity to reset and shift public perceptions. Biden faces concerns 0:00:32.440 --> 0:00:36.040 about his age, worries about the economy, frustration over the 0:00:36.120 --> 0:00:40.199 Israel Hamas War, and a shrinking Democratic coalition. Biden is 0:00:40.240 --> 0:00:44.240 expected to highlight his administration's accomplishments, discussed making the wealthy 0:00:44.240 --> 0:00:48.280 and corporations pay their fair share, and he'll address women's issues, 0:00:48.320 --> 0:00:52.000 including abortion. First Lady Jill Biden invited Kate Cox, a 0:00:52.080 --> 0:00:54.600 woman who was forced to seek an abortion outside her 0:00:54.640 --> 0:00:57.959 home state of Texas. Alabama Senator Katie Britt will give 0:00:58.000 --> 0:01:01.920 the Republican response in Washington, and Amy Mores Bloomberg Radio, All. 0:01:01.880 --> 0:01:04.039 Right, Amy, thanks well. During the State of the Union, 0:01:04.080 --> 0:01:07.679 the President will propose increasing minimum tax rates paid by 0:01:07.800 --> 0:01:12.039 major US and multinational corporations to twenty one percent and 0:01:12.120 --> 0:01:15.360 eliminating tax breaks for companies with high paid executives. The 0:01:15.400 --> 0:01:19.280 proposal would affect corporations valued at one billion dollars or more. 0:01:19.560 --> 0:01:22.000 It would raise their minimum tax rate from the fifteen 0:01:22.000 --> 0:01:24.920 percent level implemented earlier in Biden's term. 0:01:25.120 --> 0:01:27.480 Well, Karen, While the President puts the finishing touches on 0:01:27.560 --> 0:01:31.120 the speech, Donald Trump is challenging him to debate. The 0:01:31.160 --> 0:01:34.320 former president posted on his truth social account that he's 0:01:34.360 --> 0:01:37.600 calling for debates quote any time, any where, any place, 0:01:37.800 --> 0:01:40.920 and he wrote it in all caps. Trump skipped five 0:01:41.000 --> 0:01:44.360 debates with his Republican rivals during the primary. A Biden 0:01:44.440 --> 0:01:47.000 campaign spokesman says, if Trump is desperate to see the 0:01:47.040 --> 0:01:49.600 president in primetime, he can watch The State of the 0:01:49.680 --> 0:01:50.400 Union tonight. 0:01:50.920 --> 0:01:54.080 Well mean Mile Nathan. Bloomberg News has learned President Biden's 0:01:54.080 --> 0:01:57.720 top economic aid successfully push the upcoming White House budget 0:01:57.760 --> 0:02:00.920 forecast to present a rosier view, and we get the 0:02:01.000 --> 0:02:03.559 latest from Bloomberg's John Tucker, John and Karen. 0:02:03.600 --> 0:02:06.559 This is Leel Brainerd, who ad directs the National Economic Council. 0:02:06.680 --> 0:02:09.440 She used her cloud to alter forecasts in the President's 0:02:09.480 --> 0:02:13.520 budget proposal, which is scheduled for release Monday. Those forecasts 0:02:13.560 --> 0:02:17.200 are typically set by the Treasury Secretary, the OMB Director, 0:02:17.440 --> 0:02:20.600 and the chair the Council of Economic Advisors, the so 0:02:20.720 --> 0:02:24.239 called Troika. A Brainer disagreed with the troikas ten year 0:02:24.360 --> 0:02:28.200 interst rate projections and predicted a slightly lower rate. A 0:02:28.240 --> 0:02:30.600 lower interst rate forecast would have the effect of an 0:02:30.600 --> 0:02:34.360 improved overall outlook by offering more support for growth and 0:02:34.480 --> 0:02:38.320 suggesting less concern about inflation. It also would lower borrowing 0:02:38.360 --> 0:02:41.720 cost projections at a time of rising worries about the deficit. 0:02:42.120 --> 0:02:44.799 A Brainer, the former vice chair of the FAD, now 0:02:44.960 --> 0:02:48.200 serves as Biden's top economic aid. She's taken on a 0:02:48.240 --> 0:02:51.120 growing public profile since joining the White House about a 0:02:51.200 --> 0:02:53.680 year ago. John Tucker, Bloomberg Radio. 0:02:53.639 --> 0:02:56.160 All right, John, thank you. Back on Capitol Hill. Fedschair 0:02:56.320 --> 0:02:59.440 Jay Powell wraps up two days of congressional testimony today 0:02:59.480 --> 0:03:02.200 before the State Banking Committee. In his appearance before the 0:03:02.240 --> 0:03:05.200 House Financial Services Committee, Powell stuck to the script on 0:03:05.240 --> 0:03:06.840 the path ahead for interest rates. 0:03:07.120 --> 0:03:10.079 It will likely be appropriate to begin dialing back policy 0:03:10.240 --> 0:03:13.800 restraint at some point this year, but the economic outlook 0:03:13.840 --> 0:03:17.400 is uncertain and ongoing progress toward our two percent objective 0:03:17.840 --> 0:03:19.959 for inflation is not assured Chairman. 0:03:20.000 --> 0:03:22.359 Powell also said the FED is likely to make significant 0:03:22.440 --> 0:03:25.040 changes to its plan for banks to hold more capital 0:03:25.120 --> 0:03:27.440 under what's done as the Basel three end game. The 0:03:27.480 --> 0:03:30.760 plan to boost capital requirements by nearly twenty percent has 0:03:30.840 --> 0:03:35.240 drawn intense criticism from the banking industry and Republican lawmakers. 0:03:35.080 --> 0:03:38.280 And Nathan Powell wasn't the only FED official speaking yesterday. 0:03:38.320 --> 0:03:42.000 Minneapolis FED President Neil Cashcari said he expects the FED 0:03:42.320 --> 0:03:45.720 to cut interest rates two times or potentially just once 0:03:45.840 --> 0:03:49.760 this year. When policymakers last released rate forecast and December, 0:03:49.800 --> 0:03:52.200 cash Carries said he projected to two rate cuts for 0:03:52.240 --> 0:03:54.680 this year. Speaking at an event hosted by The Wall 0:03:54.680 --> 0:03:57.640 Street Journal, Cashgary said he expects his forecast to show 0:03:57.840 --> 0:04:00.720 the same number are potentially one fewer, and FED official 0:04:00.760 --> 0:04:04.400 submit new projections at their mid March meeting. Kashgari does 0:04:04.480 --> 0:04:06.920 not vote on monetary policy this year. 0:04:06.840 --> 0:04:09.280 Well, Karen. Interest rates are also in focus overseas. 0:04:09.280 --> 0:04:12.480 We get a monetary policy decision from the European Central 0:04:12.480 --> 0:04:14.960 Bank later this morning, and we get a preview now 0:04:15.040 --> 0:04:17.240 from Bloomberg's Max Ramsey in Frankfurt. 0:04:17.480 --> 0:04:20.480 The markets positioned for interest rates to stay on hold today, 0:04:20.560 --> 0:04:23.440 keeping the deposit rate at its record high of four percent. 0:04:23.800 --> 0:04:27.280 That's been widely telegraphed by members of the ECB's governing council. 0:04:27.640 --> 0:04:28.800 But of course the press. 0:04:28.600 --> 0:04:32.200 Conference from President Christine Lagarde will still be closely watched. 0:04:32.240 --> 0:04:34.520 Will be on the lookout for any signals on the 0:04:34.520 --> 0:04:37.880 potential timing of a first cut. We'll also get new 0:04:37.960 --> 0:04:41.080 quarterly economic projections at this meeting, so we'll see how 0:04:41.160 --> 0:04:44.520 that plays in to the ECB's thinking. In Frankfurt, Max 0:04:44.600 --> 0:04:46.720 Ramsey Bloomberg Radio Max. 0:04:46.760 --> 0:04:49.159 Thanks we The yen's rallying against the dollar this morning, 0:04:49.160 --> 0:04:51.680 and speculation is growing the Bank of Japan we'll move 0:04:51.839 --> 0:04:54.200 this month to raise interest rates for the first time 0:04:54.240 --> 0:04:56.520 since two thousand and seven. Looking at the yen, is 0:04:56.560 --> 0:04:59.080 it one forty seven point ninety five against the dollar? 0:04:59.360 --> 0:05:02.320 And staying in Asia care and China's exports grew much 0:05:02.400 --> 0:05:04.880 faster than expected in the first two months of this year. 0:05:04.880 --> 0:05:08.159 Bloomberg Daybreak Asia anchor Brian Curtis has more from Hong Kong. 0:05:08.360 --> 0:05:11.400 It's an encouraging sign of demand in the Chinese economy. 0:05:11.640 --> 0:05:14.880 Exports rose seven point one percent from a year earlier. 0:05:15.040 --> 0:05:18.000 That was well above the one point nine percent forecast. 0:05:18.279 --> 0:05:21.720 Imports grew three point five percent. China's trade has been 0:05:21.800 --> 0:05:25.120 under pressure over the past yere Demand from major trading 0:05:25.160 --> 0:05:28.920 partners has been tempered, and geopolitical tensions have weighed on 0:05:29.000 --> 0:05:32.359 China's ability to mount a turnaround. Keep in mind, trade 0:05:32.400 --> 0:05:34.720 in the first two months of the year is typically 0:05:34.800 --> 0:05:38.400 somewhat distorted by the Lunar New Year holiday in Hong Kong. 0:05:38.440 --> 0:05:40.120 Brian Curtis, Bloomberg Radio. 0:05:40.120 --> 0:05:43.520 All right, Brian, thanks well. China's foreign minister is blasting 0:05:43.560 --> 0:05:46.440 the US. SAT a press briefing in Beijing this morning, 0:05:46.480 --> 0:05:50.359 Wangyee criticized the US for imposing a quote bewildering level 0:05:50.440 --> 0:05:53.600 of trade curbs on the Asian nation. The top diplomat's 0:05:53.600 --> 0:05:56.640 comments come as the Biden administration is pressing allies to 0:05:56.680 --> 0:06:01.039 further titan restrictions on China's access to semikintor technology. 0:06:01.320 --> 0:06:04.000 Checking some company news this morning, Karen, We're watching shares 0:06:04.040 --> 0:06:07.000 of New York Community Bank Corp. They are hired by 0:06:07.040 --> 0:06:11.000 nearly three percent after rising seven percent in yesterday session. 0:06:11.279 --> 0:06:13.960 The games came after the struggling real estate lender received 0:06:13.960 --> 0:06:17.080 an equity investment of more than a billion dollars from investors, 0:06:17.120 --> 0:06:19.960 including former Treasury Secretary Stephen Minushit. 0:06:20.320 --> 0:06:21.760 New York Community Bank Corps. 0:06:21.560 --> 0:06:24.080 Shares have lost almost two thirds of their value this 0:06:24.240 --> 0:06:27.120 year after the bank slashed it's dividend and set aside 0:06:27.120 --> 0:06:29.359 more provisions than expected for loan losses. 0:06:29.680 --> 0:06:29.800 Well. 0:06:29.839 --> 0:06:32.960 A couple of chipmakers also in focus this morning. Nathan Congressional, 0:06:32.960 --> 0:06:35.760 I'd say the US government is poised to invest three 0:06:35.800 --> 0:06:38.480 and a half billion dollars in Intel so we can 0:06:38.520 --> 0:06:42.839 produce advanced semiconductors for military and intelligence programs. The money 0:06:42.880 --> 0:06:45.120 is talked into a fast moving spending bill the House 0:06:45.160 --> 0:06:48.640 passed yesterday who would establish Intel as a dominant domestic 0:06:48.720 --> 0:06:50.880 player in the lucrative defense market. 0:06:51.040 --> 0:06:53.039 Well, while in Nvidia's shares have been on the rise, Karen, 0:06:53.120 --> 0:06:57.120 it's a different story at Victoria's Secret That stock is 0:06:57.279 --> 0:06:58.640 down thirty percent. 0:06:58.720 --> 0:06:59.279 This morning. 0:06:59.440 --> 0:07:02.640 The lingerie maker's full year forecast for adjusted operating income 0:07:02.680 --> 0:07:06.240 trilled even the lowest estimate. I'm an analyst tracked by Bloomberg. 0:07:10.760 --> 0:07:11.960 Time now to take a look at some of the 0:07:11.960 --> 0:07:14.120 other stories making news in New York and around the 0:07:14.160 --> 0:07:16.680 world with Bloomberg's Michael bar Go Morny, Michael. 0:07:16.480 --> 0:07:19.560 Good morning, Nathan. The US military says a missile attack 0:07:19.680 --> 0:07:23.240 by Yemen's Huthy rebels on a Liberian owned commercial ship 0:07:23.280 --> 0:07:26.240 in the Gulf of Aden has healed three crew members 0:07:26.280 --> 0:07:29.160 and injured at least four. It was the first fatal 0:07:29.240 --> 0:07:32.920 attack in a campaign of assaults by the Iranian back group. 0:07:33.280 --> 0:07:36.080 White House spokesperson Kareem Jean Pierre. 0:07:36.160 --> 0:07:39.200 These reckless attacks by the Iran backed Huthis have not 0:07:39.560 --> 0:07:43.200 only disrupted global trade and commerce, but also taking the 0:07:43.240 --> 0:07:48.640 lives of international seafarers simply doing their jobs. 0:07:49.240 --> 0:07:52.880 US Central Command says the missile caused significant damage to 0:07:52.920 --> 0:07:56.040 the carrier and the crew had to abandon the ship. 0:07:56.440 --> 0:07:59.200 Yemen's Houthi rebels claimed the attack on the vessel and 0:07:59.400 --> 0:08:03.640 insisted their assaults would continue as long as Israel's warn 0:08:03.640 --> 0:08:07.120 of moss in the Gaza Strip continues. New York Governor 0:08:07.200 --> 0:08:10.400 Kathy Hokel says the number of law enforcement and National 0:08:10.400 --> 0:08:13.560 Guard to be sent to the subway system is nearly 0:08:13.680 --> 0:08:16.520 one thousand. Bloomberg's head Maxter as the story. 0:08:16.640 --> 0:08:19.560 The National Guard will be tasked with making sure bags 0:08:19.560 --> 0:08:20.120 are checked. 0:08:20.320 --> 0:08:24.800 Anyone looking to do harm or spread fear on our subways, 0:08:26.080 --> 0:08:30.440 you will be caught, plain and simple. There will be consequences. 0:08:30.840 --> 0:08:33.839 This has to end. New Yorkers deserve no less. 0:08:33.960 --> 0:08:36.400 This comes the wake of some high profile crimes like 0:08:36.440 --> 0:08:39.920 the slashing of a subway conductor and passengers being shoved 0:08:39.960 --> 0:08:44.079 onto tracks. Hockel says, deployment to the busiest stations ed 0:08:44.160 --> 0:08:45.560 Baxter Bloomberg. 0:08:45.160 --> 0:08:48.080 Radio opening statements in the trial of James Crumley, the 0:08:48.120 --> 0:08:52.240 father of school Michigan shooter Ethan Crumbley, are sent to 0:08:52.240 --> 0:08:55.480 get underway this morning. Jerry's selection wrapped up yesterday with 0:08:55.520 --> 0:08:59.120 a panel of nine women and six men. Prosecutors have 0:08:59.240 --> 0:09:03.400 charged James Rumbley with involuntary manslaughter, stemming from the twenty 0:09:03.440 --> 0:09:06.400 to twenty one shooting at Oxford High School that his 0:09:06.520 --> 0:09:11.199 son Ethan Crumbley committed. Prosecutors charged Crumbley for allegedly making 0:09:11.200 --> 0:09:13.760 the weapon used in the shooting available to his son 0:09:14.240 --> 0:09:18.400 and failing to get him mental health care. Crumbley's wife, Jennifer, 0:09:18.520 --> 0:09:22.320 was found guilty of involuntary manslaughter last month. In the 0:09:22.440 --> 0:09:25.680 Rust movie set shooting trial, a jury in New Mexico 0:09:25.760 --> 0:09:29.040 reached a verdict for armorer Hannah Gutierres to. 0:09:29.040 --> 0:09:32.520 Find the defendant Andigotiers guilty of the voluntary manslaughter as 0:09:32.600 --> 0:09:37.000 Church should count one. We find the dependent Andigotiers not 0:09:37.120 --> 0:09:39.680 guilty Putambar revenants, Church should County. 0:09:40.040 --> 0:09:43.520 The trial was about whether Gutierra's bared responsibility for the 0:09:43.559 --> 0:09:48.520 accidental shooting death of cinematographer Helena Hutchems. Gutierrez was in 0:09:48.600 --> 0:09:52.200 charge of all the weapons, including the ammunition. Prosecutors argued 0:09:52.240 --> 0:09:55.800 throughout the case that Gutierras consistently failed to perform the 0:09:55.920 --> 0:09:59.560 very basic and critical weapons safety checks. Global News twenty 0:09:59.559 --> 0:10:02.920 four hours and whenever you want it with the Bloomberg News. Now, 0:10:03.040 --> 0:10:05.480 I'm Michael Barr, and this is Bloomberg. Nathan. 0:10:05.600 --> 0:10:12.880 Okay, Michael, thanks time now for the Bloomberg Sports Update, 0:10:12.920 --> 0:10:15.479 brought to you by Trice Date. Out of here's John Stashauer. 0:10:15.520 --> 0:10:16.560 Thanks Nathan. It's March. 0:10:16.679 --> 0:10:20.120 The madness of college basketball's postseason is coming. Conference tournaments 0:10:20.120 --> 0:10:21.959 next week and then the NC Double A's. It was 0:10:22.000 --> 0:10:24.360 won last year by Yukon, Huskies are favored to do 0:10:24.400 --> 0:10:27.160 it again. No teams went back to back since Florida 0:10:27.160 --> 0:10:29.559 in two thousand and six and seven. Yukon twenty seven 0:10:29.600 --> 0:10:32.640 and three just beat eighth ranked Marquettes seventy four to 0:10:32.760 --> 0:10:35.520 sixty seven. Golden Eagles were without a couple of the starters. Also, 0:10:35.559 --> 0:10:38.120 the Big East Seaton Hall able to beat in Villanova 0:10:38.240 --> 0:10:40.520 sixty six fifty six. The Pirates had lost eight in 0:10:40.559 --> 0:10:43.160 a row to the Wildcats. Both teams said to be 0:10:43.240 --> 0:10:45.840 on the bubble for making it into the nc Double 0:10:45.880 --> 0:10:48.000 A's Houston rank number one. The Cougars won to go 0:10:48.040 --> 0:10:50.679 to twenty seven and three. Tennessee is ranked fourth. The 0:10:50.760 --> 0:10:53.480 Balls had a road win at South Carolina Fairly. Dickinson 0:10:53.520 --> 0:10:55.680 not only went to the NCAA Tournament last year, but 0:10:55.960 --> 0:10:58.400 won a game as a sixteen seed a year after 0:10:58.480 --> 0:11:02.560 a win over Purdue, lost by nineteen till Lemoyne in 0:11:02.600 --> 0:11:07.160 the Northeast Conference Attorney that ends FDU's season. NBA Warriors 0:11:07.160 --> 0:11:09.880 beat the Bucks by thirty five. Oklahoma City got thirty 0:11:09.920 --> 0:11:12.079 seven points from Shay gilds As Alexander and winn A 0:11:12.160 --> 0:11:14.640 fort and that gets the Thunder tied for first in 0:11:14.679 --> 0:11:17.319 the West. Clippers two and a half out they wanted uston. 0:11:17.360 --> 0:11:21.440 The Lakers lost to Sacramento. Lebron James limped off the 0:11:21.440 --> 0:11:23.960 court late in the game with an injured ankle. NHL 0:11:24.000 --> 0:11:26.520 trade deadline is tomorrow. The Rangers just added a player. 0:11:26.559 --> 0:11:29.120 They sent two draft picks to Seattle for twenty nine 0:11:29.200 --> 0:11:32.320 year old Alex Wenberg, expected to center the Rangers third 0:11:32.320 --> 0:11:35.600 line and help to kill penalties. Vladimir Tarasenko, who the 0:11:35.640 --> 0:11:38.240 Rangers added a year ago, then signed with Ottawa, traded 0:11:38.240 --> 0:11:40.800 by the Senators to the Florida Panthers, the team at 0:11:40.840 --> 0:11:44.400 the NHL's best record. Aaron Rodgers asked which free agents 0:11:44.440 --> 0:11:47.760 the Jets should keep. Suggested Greg Zerlin and Thomas Morstead, 0:11:47.800 --> 0:11:50.360 the kicker and the punter thirty six and thirty eight 0:11:50.440 --> 0:11:52.320 years old, both did have strong seasons. 0:11:52.480 --> 0:11:55.520 John Stashemward Bloomberg Sports David all right, John, thank you. 0:11:55.520 --> 0:11:57.600 Want to go right back now to the nation's Capitol, 0:11:57.600 --> 0:12:00.000 where President Biden is getting ready to deliver his third 0:12:00.200 --> 0:12:02.400 State of the Union address and lay out a vision 0:12:02.840 --> 0:12:06.360 for a second term he hopes to achieve in just 0:12:06.440 --> 0:12:09.800 about eight months time. Joining us now is Terry Haynes, 0:12:09.920 --> 0:12:12.640 the founder of Pangea Policy. Terry, it feels like a 0:12:12.640 --> 0:12:16.160 lot of expectations are writing on this speech tonight. What 0:12:16.200 --> 0:12:18.160 do markets need to look for from what the President 0:12:18.160 --> 0:12:19.439 has to say this evening. 0:12:20.200 --> 0:12:24.160 Well, fundamentally, what markets need to look for is a 0:12:24.160 --> 0:12:29.640 good to excellent performance by Biden or not really, you know, 0:12:29.960 --> 0:12:34.479 for a fundamental reason, even beyond the issues, market stability 0:12:34.480 --> 0:12:37.720 depends on the United States government stability to a degree 0:12:37.760 --> 0:12:40.040 I think markets haven't thought about in quite some time. 0:12:40.559 --> 0:12:44.400 So if Biden's performance is anything less than excellent, the 0:12:44.480 --> 0:12:46.320 net effect is going to be it's going to show 0:12:46.360 --> 0:12:49.480 wobbliness in the United States government at a time when 0:12:49.880 --> 0:12:53.240 the combined geopolitical risk and US political risk is at 0:12:53.280 --> 0:12:56.880 the highest levels in fifty years. So you know, that's 0:12:56.920 --> 0:13:00.600 a big problem. Even the pull of the immediate political 0:13:00.600 --> 0:13:04.240 consequences of a bad Biden performance aside, A lot. 0:13:04.080 --> 0:13:06.440 Of that is wrapped into politics as well, isn't it 0:13:06.480 --> 0:13:09.800 When you have a number of voters, a large majority 0:13:09.880 --> 0:13:13.360 of voters in polls including the Bloomberg News Morning Consulted 0:13:13.400 --> 0:13:16.080 Swing State Pole pointing to the president's age as a 0:13:16.120 --> 0:13:16.880 major concern. 0:13:17.920 --> 0:13:21.280 Well, sure, you know the this is trending into the 0:13:21.280 --> 0:13:24.040 realm of They're really obvious now. But you know, just 0:13:24.080 --> 0:13:26.080 about any other year, you and I would be having 0:13:26.080 --> 0:13:29.240 a conversation about how, say of the Union addresses really 0:13:29.240 --> 0:13:31.199 don't mean very much, and you know the things the 0:13:31.520 --> 0:13:34.160 laundry list won't be accomplished, and you know, so on 0:13:34.200 --> 0:13:37.600 and so forth. This year, it's all about the immediate 0:13:38.480 --> 0:13:42.760 Biden performance and his ability to counter exactly those kinds 0:13:42.800 --> 0:13:46.320 of cognitive issues which have become embedded in his whole 0:13:46.320 --> 0:13:47.199 campaign narrative. 0:13:48.120 --> 0:13:52.800 One policy proposal that we found in the president's speech 0:13:52.840 --> 0:13:55.400 is that he's going to be calling for raising minimum 0:13:55.440 --> 0:14:00.320 tax rates for global corporations and major US corporations as well. 0:14:00.440 --> 0:14:05.360 Interesting timing to be talking about tax increases in the 0:14:05.360 --> 0:14:06.640 middle of an election season. 0:14:07.520 --> 0:14:11.400 Yeah, that's more than anything else, Democratic red meat for 0:14:11.480 --> 0:14:15.120 the base. I think if there was a year in 0:14:15.160 --> 0:14:18.880 which a Democratic president did not call on tax increases 0:14:18.920 --> 0:14:23.800 for corporations and the rich, that would be notable. As 0:14:23.840 --> 0:14:29.200 it is with a finally split Congress Democrat and Republican, 0:14:29.600 --> 0:14:33.320 and more importantly, a very finally split Congress in twenty 0:14:33.400 --> 0:14:36.320 twenty five, regardless of whether Biden gets reelected or not, 0:14:37.280 --> 0:14:40.760 that's very unlikely to happen, although it will be squarely 0:14:41.000 --> 0:14:43.360 in twenty twenty five. It will be squarely in front 0:14:43.400 --> 0:14:49.960 of the Congress because of the tax law that was 0:14:50.000 --> 0:14:54.000 passed in twenty seventeen having to be reconsidered. 0:14:54.440 --> 0:14:56.600 We're also hearing that the Biden campaign is going to 0:14:56.600 --> 0:14:59.960 be circulating memos during this speech using it to attack 0:15:00.160 --> 0:15:04.840 former President Trump's economic agenda, the idea being that going 0:15:04.880 --> 0:15:07.720 after the former president's actions while he was in office 0:15:08.120 --> 0:15:09.920 isn't really sticking with voters. 0:15:10.040 --> 0:15:12.280 Do you think this strategy will stick? 0:15:13.760 --> 0:15:17.240 No, I don't. I think it's firstly, I find it 0:15:17.280 --> 0:15:21.600 reactive and therefore, you know, unlikely to make much difference. 0:15:22.520 --> 0:15:26.400 You know, Biden's the president. The focus for the White 0:15:26.400 --> 0:15:29.600 House ought to be on not only what Biden has done, 0:15:29.920 --> 0:15:32.880 but on what the focus should be on what Biden 0:15:33.200 --> 0:15:37.040 continues to want to have happen going forward. They need 0:15:37.080 --> 0:15:40.080 more than ideas. They need a way to translate those 0:15:40.160 --> 0:15:45.800 ideas into everyday people's lives, and you know, going after 0:15:45.880 --> 0:15:49.600 Trump on this when they're at a hair trigger in 0:15:49.640 --> 0:15:52.640 the polls is probably not the way to do that. 0:15:52.960 --> 0:15:55.240 So in our last thirty seconds, Terry, are you expecting 0:15:55.280 --> 0:15:57.520 that we're going to hear like the usual laundry list 0:15:57.640 --> 0:16:00.320 of policy proposals or is it going to be more? 0:16:00.320 --> 0:16:02.760 Do you think about laying out a broader vision? 0:16:04.040 --> 0:16:05.840 It would be better for the White House if it 0:16:05.880 --> 0:16:09.120 was about laying out a broader vision and showing the 0:16:09.160 --> 0:16:12.760 president's energy and passion for that agenda. I fear that 0:16:12.840 --> 0:16:16.280 the laundry list is, in some ways what we're likely 0:16:16.360 --> 0:16:19.280 to get. This is so embedded in the state of 0:16:19.280 --> 0:16:24.080 the Union now, and so many interest groups expect, you know, 0:16:24.160 --> 0:16:27.560 they're part of the laundry list to be talked about that, 0:16:28.400 --> 0:16:30.320 you know. I fear that that's here to stay. 0:16:33.200 --> 0:16:36.120 This is Bloomberg day Break Today, your morning brief on 0:16:36.160 --> 0:16:39.800 the stories making news from Wall Street to Washington and beyond. 0:16:39.960 --> 0:16:42.760 Look for us on your podcast feed at six am 0:16:42.840 --> 0:16:46.480 Eastern each morning, on Apple, Spotify, and anywhere else you 0:16:46.560 --> 0:16:47.720 get your podcasts. 0:16:47.840 --> 0:16:50.560 You can also listen live each morning starting at five 0:16:50.600 --> 0:16:53.160 am Wall Street time on Bloomberg eleven three to oh 0:16:53.240 --> 0:16:56.040 in New York, Bloomberg ninety nine to one in Washington, 0:16:56.200 --> 0:16:59.320 Bloomberg one six to one in Boston, and Bloomberg nine 0:16:59.440 --> 0:17:00.800 sixty San Francisco. 0:17:01.200 --> 0:17:04.360 Our flagship New York station is also available on your 0:17:04.400 --> 0:17:09.480 Amazon Alexa devices. 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