October 29, 2025 • 20 mins
On today's podcast:
1) President Trump said the US has a “special bond” with South Korea as he addressed a meeting of corporate leaders at the Asia-Pacific Economic Cooperation summit on Wednesday in Gyeongju. Trump’s visit to the conference comes as he’s looking to work through a series of outstanding issues in his trade deal with South Korea, and prepares for a high-stakes meeting on Thursday with Chinese President Xi Jinping. Meanwhile, Trump said he expects to lower tariffs the US has imposed on Chinese goods over the fentanyl crisis and speak with China’s Xi Jinping about Nvidia Corp.’s flagship Blackwell artificial intelligence chip, as leaders of the world’s biggest economies seek to ease tensions in a meeting on Thursday. Nvidia shares rallied in premarket trading on Wednesday, putting the stock on track to breach $5 trillion in market capitalization, making the semiconductor giant the first public company in history to hit the milestone.
2) Hurricane Melissa made landfall in Cuba less than a day after it became the strongest recorded storm to strike Jamaica, where it left hundreds of thousands without power and forced hospitals to evacuate. Melissa crossed the coast in eastern Cuba as an “extremely dangerous” storm, the US National Hurricane Center said in a statement at about 3:10 a.m. Eastern Time on Wednesday. As much as 25 inches (63 centimeters) of rain and storm surges up to 12 feet (3.7 meters) above normal are expected.
3) Vice President JD Vance said Tuesday he expects the Trump administration to pay military personnel on Friday, even as the government shutdown shows no end in sight. The administration circumvented Congress and moved about $8 billion in research and development funds to cover the military’s payroll on Oct. 15. But Republicans have cautioned that they could not guarantee paychecks for troops if the shutdown persisted.
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Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:02):
Bloomberg Audio Studios, Podcasts, radio news.
Speaker 2 (00:09):
Good morning, I'm Nathan Hager and I'm Karen Moscow. Here
are the stories we're following today.
Speaker 3 (00:15):
Karen, we begin with the latest son President Trump's trip
to Asia. He is now in South Korea, the head
of tomorrow's crucial meeting with Chinese President She Jenping and
an APEX CEO summit. The President outed the close relationship
between the US and South Korea.
Speaker 4 (00:30):
So we're partners, We're serious partners. We're really we're wedded,
and we have a very special relationship, a special bond.
In fact, we're working with you on shipbuilding where you're
going to come in. We were the number one in
the world during World War Two. We've produced a ship
a day, can you believe it.
Speaker 3 (00:45):
And on his way to Korea, the President predicted he
would lower tariffs on Chinese goods over fentanyl, and he
also said he'll speak with President she about access to
Nvidia's Blackwell AI chip. That would be a major concession
if it is included in a trade deal. Ahead of
time tomorrow's meeting, China booked its first purchases of US
soybeans this season. Source is tell Bloomberg at least two
shipments are booked for delivery later this year. In exchange,
(01:08):
the US is holding off on threatened software export controls
against China. The White House official says President's Trump and
she will meet mid morning tomorrow, though the exact timing
has yet to be determined.
Speaker 2 (01:19):
Well, Nathan and Washington. It is now day twenty nine
and the government shutdown. If it extends today thirty one
this Friday, members of the military, we'll start to miss paychecks.
Vice President JD. Van says he thinks the Trump administration
can work around that.
Speaker 5 (01:34):
We do think that we can continue paying the troops
at least for now. Or we've got foodstamp benefits that
are set to run out.
Speaker 6 (01:40):
In a week.
Speaker 5 (01:40):
We're trying to keep as much open as possible. Would
you see the Democrats actually help us out?
Speaker 2 (01:45):
And Vice President Vance spoke after a meeting with Republican
senators on Capitol Hill. He's not saying how the troops
would be paid. Meantime, twenty five states, including New York
and the District of Columbia, are suing the Trump administration
over expiring food stamp. Then they're arguing the White House
must use nearly six billion dollars in contingency funds to
keep the program running as long as possible.
Speaker 3 (02:07):
Certain of the FED now Karen J. Powell and company
are widely expected to cut rates for a second straight
meeting later today. But will there be more cuts ahead?
Bloomberg's Michael McKee is in Washington with a preview for
Wall Street.
Speaker 7 (02:21):
Today's meeting is less about what's now than it is
about what's next. A quarter percentage point ridcut is baked
into markets. What investors want to know is are further
cuts coming, perhaps as soon as December. That's going to
be a tricky question for the FED and Chair Jaypowell.
They're not providing new economic forecasts at this meeting, and
there's not much data these days on how the economy
(02:42):
is performing. We may get some indication of which way
policymakers are leaning if there are significant descents, either to
cut more or stand still. Traders will also be watching
for an announced end to qt the Fed's balance sheet runoff.
Michael McKee, Bloomberg Radio, All right.
Speaker 2 (02:59):
Michael, thank you. In addition to that Fed decision, investors
will also be looking forward to earnings from a trio
of big tank powerhouses in Bloomberg. John Tucker joins us
with the preview. John, Good morning, Yeah.
Speaker 8 (03:10):
Good morning caring.
Speaker 6 (03:11):
Yeah.
Speaker 8 (03:11):
Today we're going to hear from Microsoft Meta Platforms and
Google Parents Alphabet and that's where Aaron Castler of Seaports
Securities is focused.
Speaker 9 (03:20):
I think Google's probably benefiting the most right now from AI,
both on its Google Cloud platform as well as leveraging
AI for advertising as well.
Speaker 8 (03:29):
And investors trying to figure out whether the billions that
have been poured into computing infrastructure will keep flowing and
ultimately deliver returns well. The Magnificent seven Group is projected
to deliver profit growth of fourteen percent in the third quarter.
That's nearly twice the eight percent expended profit growth for
the broader S and P five hundred, but also would
(03:50):
be the slowest pace since the first quarter of twenty
twenty three. Apple and Amazon. They open their books to
investors tomorrow in New York. I'm John Tucker, Bloomberg.
Speaker 3 (03:59):
Crady, all right, John, thank you, and staying within the
big tech. Shares of Nvidia are rallying this morning on
more than three percent, and for more and what's behind
the move? We're joined by Bloomberg's Lisa Matteo, Lisa.
Speaker 10 (04:09):
Good morning, Nathan. Yet it has to do with Nvidia's
Blackwell chips. Months ago, President Trump said he'd consider allowing
the company to export a downgraded version of them to China. Well, now,
just ahead of his highly anticipated meeting with Chinese leader Jijinping,
those flagship AI accelerators there now on the agenda, with
President Trump saying, quote, we'll be speaking about Blackwell's now.
(04:31):
This is a big turnaround from Washington's year's long campaign
to curtailed China's progress and artificial intelligence. Yesterday, CEO Jensen
Wong spoke about the company's future partnerships. Also downplayed fears
of an AI investment bubble.
Speaker 11 (04:45):
AI has now become good enough because of reasoning capability,
research capabilities, its ability to think. It's now generating tokens
and now generating intelligence that's worth paying for.
Speaker 10 (04:56):
And that's CEO Jensen Wang at a Video's GtC event
in Washington, d C in Nvidia on track to become
the world's first five trillion dollar public company. Lisa Matteo,
Bloomberg Radio.
Speaker 2 (05:07):
All right, Lisa, thank you. Well. We're also tracking the
path of Hurricane Melissa this morning. It's made landfall in
Cuba after pummeling Jamaica as one of the strongest Atlantic
hurricanes on record, and Bloomberg meteorologist Craig Allen joins us
with the latest. Craig, good morning, Good morning.
Speaker 12 (05:23):
It was a very interesting night bag with the hurricane
going back up to a category four at one point
while it was over the water. Now that it has
made landfall, this second landfall over eastern sections of Cuba,
about sixty miles to the west of Guantanamo, it is
beginning to weaken just a little bit once again over land.
The category three with one hundred and fifteen mile per
(05:44):
hour winds, still a major hurricane. There's still going to
be major damage across eastern sections of Cuba, and then
after that we have the storm moving off to the
north and east at about ten to fifteen miles per hour.
So unfortunately the Turks and Caicos as well as most
of the Bahamas are under a hurricane warning as well.
Speaker 2 (06:01):
Yes, we will all right, Bloomberg Meteorologists Craig Allen, thank you.
Speaker 3 (06:05):
All right, Carol, Well it's for the markets. We'll turn
back there. With futures mixed this morning. SMP futures or
a touch higher. After another record close on Wall Street,
at Yard Denny of yar Denny Research thinks stocks are
headed even higher.
Speaker 13 (06:18):
I think the bull market continues here. We've still got
some good news ahead, and some of it's been discounted,
of course, but the Fed is expected to lower the
Fed funds rate two more times this year, so that
would get us down to three point five percent. By
the way, I don't think the economy really needs it,
(06:39):
so a lot of this stimulus is probably going to
feed the bull market.
Speaker 3 (06:44):
At Yard Anny of yard Denny Research predicts the S
and P five hundred will reach seven thousand by the
end of the year.
Speaker 2 (06:50):
In Europe, bank earnings in focus once again as a
trio of big banks report. Let's go to London and
get the very latest at Bloomberg's U and pass you
and good more.
Speaker 14 (07:00):
Karen and Nathan.
Speaker 15 (07:01):
A beat from UBS, a beat from Santander, and a
beat from Deutsche Bank, Germany's biggest lender, reporting a nineteen
percent rise in revenue at its fixed income trading unit,
outpacing estimates over in Switzerland, the UBS posting net income
of two and a half billion dollars for the latest
three months, smashing estimates for one point four billion dollars.
(07:21):
The results supported by a release of provisions related to
the settlement of a tax evasion case. And to finish off,
the Trio, Spain's biggest bank, posting its sixth consecutive quarterly
profits record, Santadere, boosted by better results from the US
and lower provisions for souring debts. In London, I'm ewing
pots Bloomberg.
Speaker 2 (07:39):
Radio Time now for a look at some of the
other stories making news in New York and around the world.
Then for that, we're joined by Bloomberg's Michael Barr.
Speaker 6 (07:49):
Michael, good Morning, Good morning, Karen. Israel's army says it
began reinforcing the Gaza ceasefire agreement. It comes after Prime
Minister Benjamin Netanyaho ordered forest strikes against Amas in response
to attacks on Israeli soldiers and Gazim. Meanwhile, President Trump
was asked about Israel accusing of Mos violating a ceasefire
(08:10):
order by not returning all the bodies of hostages and
allegedly firing at an idea of soldier.
Speaker 4 (08:16):
Nobody knows what happened to the Israeli soldier, but they
say it with sniper fire, and it was retribution.
Speaker 14 (08:24):
For that, and I think they have a right to do.
Speaker 6 (08:27):
The President spoke with reporters on Air Force One. The
Border patrol commander in charge of President Trump's immigration crackdown
in Chicago is being reined in by a federal judge.
US District Judge Sarah Ellis gave Greg Bovino an earfull
about the tactics he and his agents are using and
ordered him to start providing her with briefings every day.
(08:49):
The US military struck four alleged drug vessels in the Pacific.
Authority say fourteen people were killed and one survived. President
Trump claims the alleged drug trap is being orchestrated by
Venezuela's authoritarian leader, Nicholas Maduro. Former Defense Department official Mick.
Speaker 9 (09:07):
Mulroy, Essentially, there's about twenty percent of our naval forces
are now in the Caribbean, which is very unusual. It's
simply not needed to do narcotics operations to hit these
small boats.
Speaker 6 (09:20):
Maduro's government says President Trump's real goal is not fighting
drug trafficking, but a forced regime change in Venezuela. It
is the eleventh time in less than two months, the
US has carried out strikes on alleged drug carrying vessels.
Global News twenty four hours a day and whenever you
want it with the Bloomberg News. Now, I'm Michael Barr,
(09:41):
and this is Bloomberg Karen.
Speaker 2 (09:42):
All right, Michael Barr, thank you time now for the
Bloomberg Sports Update. Here's John stash Hour.
Speaker 16 (09:52):
John, good morning, Good morning. Care On the Toronto Blue
Jays were coming off losing in eighteen and inns. They
had to play World Series Game four without George Springer.
He had to face Joey o'tani at the plate and
on the mound the Jay's trail the Dodgers one nothing,
third in there's a flat on a.
Speaker 14 (10:08):
Deep left center field heading back to is gone. Senior
gives the Joys tame but franchise face, putting the team
on his bet. I'll tell you, this guy's amazing and
he's ready for everything. I mean, this is the first
mistake that o'tonni has made.
Speaker 16 (10:28):
On Fox Sports at stay two one until Toronto scored
four times in the seventh and the Jays won six
to two to tie the series at two. O'twni, after
his Game three heroics zero for three at the plate
and was the losing picture. Toronto manager John Schneider asked
about the Guerrero homer and the seventh in a rally.
Speaker 17 (10:46):
It's a huge swing to get us going, and I
think that gives you some momentum, and you know, show
he settled in, struck out quite a few in a
row after that, but you know, our bats there kind
of just it was a Blue Jay inning, you know
what I mean, varsh Ernie and then he kind of
went to work. But the swing from Vlad was game changer.
Speaker 16 (11:07):
Game five tonight Saint Pitchers was Game one the Dodgers
Blakes now the Blue Jays go with Rookie Tree, Yes
Savage Nickson. Milwaukee had a twelve point lead at halftime,
back came the Bucks to win one twenty one, one
to eleven. Giannis to the cupbo thirty three minutes, thirty
seven points. Jalen Brunson led the Knicks with thirty six
Rangers a two to nothing winning Vancouver sixty fourth career
shutout for Jonathan Quick. Islanders lost in Boston five to two.
Speaker 6 (11:30):
The Devils.
Speaker 16 (11:31):
Eight game winnings Dray came to an end and eight
to four loss of Colorado Dallas over the Capitols won
nothing New Orleans Saints one and seven, beating only the Giants.
They're making a quarterback change. Twenty six year old rookie
Tyler Schoff willing to play Spencer Rattler. The Baltimore Ravens
played tomorrow night in Miami. Lamar Jackson will return after
missing three games with injured hamstring. John Stashan, We're in
(11:52):
Bloomberg Sports Karen Ncoln.
Speaker 2 (11:55):
Stay with us. More from Bloomberg day Break coming up
after this.
Speaker 1 (12:03):
Coast to coast on Bloomberg Radio nationwide on Serious Exam
and around the world on Bloomberg dot Com and the
Bloomberg Business app. This is Bloomberg Daybreak.
Speaker 14 (12:14):
Good morning.
Speaker 3 (12:14):
I'm Nathan Hager, and the key event of President Donald
Trump's to a trip to Asia is now just a
day away before his face to face encounter tomorrow with
Chinese President she Jinpaning. The President is telling business leaders
in South Korea today he expects a good outcome.
Speaker 4 (12:30):
President Chief China is coming tomorrow here and we're going
to be uh.
Speaker 18 (12:34):
I hope making a deal.
Speaker 14 (12:35):
I think we're going to have a deal. I think
it'll be a good deal.
Speaker 6 (12:37):
For both.
Speaker 3 (12:38):
That was President Trump speaking at an APEX CEO summit
in South Korea. Joining us for more this morning from
Hong Kong is Bloomberg's Jill Desis and Jill. Some of
the commentary that we're hearing from the President ahead of
this encounter is pretty interesting. This idea of lowering tariffs
on Chinese goods related to the fentanyl crisis, as well
as talking about Nvidia's black welch with President she that
(13:01):
would be pretty major.
Speaker 18 (13:03):
Good morning, Good morning, Nathan. Yes, I mean, you know,
first of all, I want to make clear, you know,
a lot of what's been building up to this particular
meeting between President Donald Trump and Shei Jinping has already
been really widely telegraphed. You kind of get the feeling
like from you know, the broader Trump administration that you know,
they've been working behind the scenes for at this point
weeks to try to smooth over a deal. We did
(13:26):
actually get a sense of that broad framework agreement actually
over the weekend, So this does kind of feel like
in some ways, you know, maybe there's some attempts to
to you know, not have too many surprises here. Although
obviously we've heard from Trump himself today, who did put
out some of those really really interesting comments. So first
of all, him saying that, you know, he's he thinks
that China is going to make, you know, making some
(13:48):
sort of favorable moves on the what he called the
Fentanel situations. That idea potentially lowering tariffs there I think
would be fairly significant. You know, there's other media reporting
that Trump is considering cutting what's a twenty percent tariff
to as low as ten percent on Chinese goods over
fentanyl in particular, So that's something that we're certainly keeping
(14:09):
an eye on. But it really is those Nvidia comments
as well that I think are really really interesting. So
what Trump was suggesting here is that he was open
to providing China with access to this Blackwell AI processor
from Nvidia as part of any trade deal. I mean,
that would be a major concession. I imagine that national security
hawks in Washington maybe not too particularly happy about that idea,
(14:32):
but it does seem like that's something that could come
up in these talks, and.
Speaker 3 (14:35):
It's something that's certainly getting the market's attention this morning.
I mean, how significant would that be? How difficult would
it be to make that part of a trade deal
given the significant restrictions that are already on in video
right now, not just from the US, but from China
as well.
Speaker 18 (14:50):
Yes, that's right, and that's actually something that chief of Nvidia,
Jensen Huang, has actually said. I mean, he noted that
Trump is actually licensed in Vidia to to China, but
it's China that's blocked them from being able to ship
to China. That's from Johnsonhang himself. He was speaking at
a company in Washington. I think, you know, look this
there has been a lot of back and forth this year.
(15:11):
A lot of this really does come down to not
just sort of the overall trade agreement, but also basically
some pretty significant national security concerns about what it would
mean to supply China with any kind of advanced chips
that's being made by an American company. You know, we
did see earlier this year there were some concessions in
the form of the US government saying that it would
approve licenses for a particular type of Nvidia chip that
(15:35):
was designed to comply with export controls, not to ship
over like extremely invansed technology. You know, obviously that hasn't occurred,
So it does seem like there would be some significant
hurdles to actually getting something like this over the line,
you know. I mean, look, Trump goes into a lot
of these types of meetings, you know, saying a lot
of things. I think there's still some consideration over what
that back and forth actually looks like. So it's not
(15:55):
really just about even what the President says tomorrow, but
also what some of these deals look like. We actually
get some really really hard specifics.
Speaker 3 (16:02):
Oh, we should get some idea in the hours to come.
The White House is saying that this encounter is going
to happen mid morning tomorrow in South Korea. So it's
just as we say, hours away, thank you for this.
Jill really appreciate it. That is Bloomberg's Jill desis ahead
of the Trump. She meeting with us this morning from
Hong Kong.
Speaker 2 (16:21):
Karen Nathan, we want to get the latest on Hurricane Melissa,
and we're joined once again by Bloomberg meteorologist Craig Allen.
Craig the storm making landfall in Cuba. It's a little
weaker than it was when it hit Jamaica, but still
a major system.
Speaker 12 (16:35):
What's the latest, Absolutely one hundred and fifteen mile per
hour winds. It did go back up to a category
four last night while over the water and heading towards
the eastern coast of Cuba, made landfall around Santiago de Cuba,
and it is that's the second most populated city over
(16:55):
eastern sections of Cuba there and right now is about
sixty miles to the west of on Toonamo. So we
have one hundred and fifteen mile per hour winds. The
winds are down a little bit, just like you said.
At the same time, though the rain is continuing. The
storm surge is going to continue right through the day
today and then we'll take off to the northeast at
(17:16):
about ten to fifteen miles per hour, a little bit
faster than it was yesterday. That is a good thing
to try to get it out of any particular region.
But the southeast Bahamas are now under a hurricane warning,
so the Turks and Caicos probably won't be a direct
hit on some of the areas like Nassau or Freeport
or the other portions of the Bahamas where there's major
(17:40):
vacation or tourism, but the Turks and Caicos too will
also feel the effects of the storm today.
Speaker 2 (17:45):
And does that mean the US is in the clear, then.
Speaker 12 (17:48):
Well, the US is in the clear in terms of
any kind of direct hit. You're absolutely right, and there
will be some rough surf and I would think rip
currents along the southeast coast as the storm tries to
pull away, But a direct effect with any kind of
rain and wind is highly unlikely. The storm is going
to take a track to the north and east, and
(18:11):
by the time we get to the end of this week,
you know who's next. Once again, Bermuda likely to see
winds that will gust up to about one hundred, one
hundred and fifteen miles per hour there too, as the
storm takes off to the north and east. So it's
still a Category one at least by the time it
gets to Bermuda and then takes off into the North Atlantic. Fortunately,
(18:31):
as I said, the East coast of the United States
will not feel any direct effects.
Speaker 2 (18:35):
Okay, but it sounds like this storm has some staying power.
Then how long is it going to be to us?
Speaker 12 (18:42):
Yes, hey, you know that's right. It goes into the
North Atlantic, it takes the entire week, But talk about
staying power. As soon as it moves off Jamaica, it
reintensified once again, could briefly reintensify when it moves off
Cuba a little bit later on this morning, but then
it will go down. There are other factors there. The
water is not quite as warm, there's more wind sheer,
(19:02):
and therefore I don't think it'll be able to get
as strong as it ever as it was once again
in the rest of Melissa's life.
Speaker 2 (19:11):
All right, well, what's behind Melissa?
Speaker 15 (19:13):
Is this the end of it?
Speaker 2 (19:14):
Or do we have to watch anything else?
Speaker 12 (19:16):
Well, the hurricane season officially runs until November thirtieth, so
there could always be another system. But right now, I'm
happy to say that the rest of the Gulf, as
well as the Caribbean and the Atlantic basin are pretty quiet.
For the time being. There's nothing more to watch for
at least another two to five days.
Speaker 2 (19:36):
This is Bloomberg day Break, your morning podcast on the
stories making news from Wall Street to Washington and beyond.
Speaker 3 (19:42):
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Speaker 2 (19:48):
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Speaker 3 (20:03):
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Speaker 2 (20:09):
And don't forget to subscribe to Bloomberg News Now. It's
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Speaker 3 (20:22):
And I'm Nathan Hager. Join us again tomorrow morning for
all the news you need to start your day right
here on Bloomberg Day Ray
Bloomberg Audio Studios, Podcasts, radio news.
Speaker 2 (00:09):
Good morning, I'm Nathan Hager and I'm Karen Moscow. Here
are the stories we're following today.
Speaker 3 (00:15):
Karen, we begin with the latest son President Trump's trip
to Asia. He is now in South Korea, the head
of tomorrow's crucial meeting with Chinese President She Jenping and
an APEX CEO summit. The President outed the close relationship
between the US and South Korea.
Speaker 4 (00:30):
So we're partners, We're serious partners. We're really we're wedded,
and we have a very special relationship, a special bond.
In fact, we're working with you on shipbuilding where you're
going to come in. We were the number one in
the world during World War Two. We've produced a ship
a day, can you believe it.
Speaker 3 (00:45):
And on his way to Korea, the President predicted he
would lower tariffs on Chinese goods over fentanyl, and he
also said he'll speak with President she about access to
Nvidia's Blackwell AI chip. That would be a major concession
if it is included in a trade deal. Ahead of
time tomorrow's meeting, China booked its first purchases of US
soybeans this season. Source is tell Bloomberg at least two
shipments are booked for delivery later this year. In exchange,
(01:08):
the US is holding off on threatened software export controls
against China. The White House official says President's Trump and
she will meet mid morning tomorrow, though the exact timing
has yet to be determined.
Speaker 2 (01:19):
Well, Nathan and Washington. It is now day twenty nine
and the government shutdown. If it extends today thirty one
this Friday, members of the military, we'll start to miss paychecks.
Vice President JD. Van says he thinks the Trump administration
can work around that.
Speaker 5 (01:34):
We do think that we can continue paying the troops
at least for now. Or we've got foodstamp benefits that
are set to run out.
Speaker 6 (01:40):
In a week.
Speaker 5 (01:40):
We're trying to keep as much open as possible. Would
you see the Democrats actually help us out?
Speaker 2 (01:45):
And Vice President Vance spoke after a meeting with Republican
senators on Capitol Hill. He's not saying how the troops
would be paid. Meantime, twenty five states, including New York
and the District of Columbia, are suing the Trump administration
over expiring food stamp. Then they're arguing the White House
must use nearly six billion dollars in contingency funds to
keep the program running as long as possible.
Speaker 3 (02:07):
Certain of the FED now Karen J. Powell and company
are widely expected to cut rates for a second straight
meeting later today. But will there be more cuts ahead?
Bloomberg's Michael McKee is in Washington with a preview for
Wall Street.
Speaker 7 (02:21):
Today's meeting is less about what's now than it is
about what's next. A quarter percentage point ridcut is baked
into markets. What investors want to know is are further
cuts coming, perhaps as soon as December. That's going to
be a tricky question for the FED and Chair Jaypowell.
They're not providing new economic forecasts at this meeting, and
there's not much data these days on how the economy
(02:42):
is performing. We may get some indication of which way
policymakers are leaning if there are significant descents, either to
cut more or stand still. Traders will also be watching
for an announced end to qt the Fed's balance sheet runoff.
Michael McKee, Bloomberg Radio, All right.
Speaker 2 (02:59):
Michael, thank you. In addition to that Fed decision, investors
will also be looking forward to earnings from a trio
of big tank powerhouses in Bloomberg. John Tucker joins us
with the preview. John, Good morning, Yeah.
Speaker 8 (03:10):
Good morning caring.
Speaker 6 (03:11):
Yeah.
Speaker 8 (03:11):
Today we're going to hear from Microsoft Meta Platforms and
Google Parents Alphabet and that's where Aaron Castler of Seaports
Securities is focused.
Speaker 9 (03:20):
I think Google's probably benefiting the most right now from AI,
both on its Google Cloud platform as well as leveraging
AI for advertising as well.
Speaker 8 (03:29):
And investors trying to figure out whether the billions that
have been poured into computing infrastructure will keep flowing and
ultimately deliver returns well. The Magnificent seven Group is projected
to deliver profit growth of fourteen percent in the third quarter.
That's nearly twice the eight percent expended profit growth for
the broader S and P five hundred, but also would
(03:50):
be the slowest pace since the first quarter of twenty
twenty three. Apple and Amazon. They open their books to
investors tomorrow in New York. I'm John Tucker, Bloomberg.
Speaker 3 (03:59):
Crady, all right, John, thank you, and staying within the
big tech. Shares of Nvidia are rallying this morning on
more than three percent, and for more and what's behind
the move? We're joined by Bloomberg's Lisa Matteo, Lisa.
Speaker 10 (04:09):
Good morning, Nathan. Yet it has to do with Nvidia's
Blackwell chips. Months ago, President Trump said he'd consider allowing
the company to export a downgraded version of them to China. Well, now,
just ahead of his highly anticipated meeting with Chinese leader Jijinping,
those flagship AI accelerators there now on the agenda, with
President Trump saying, quote, we'll be speaking about Blackwell's now.
(04:31):
This is a big turnaround from Washington's year's long campaign
to curtailed China's progress and artificial intelligence. Yesterday, CEO Jensen
Wong spoke about the company's future partnerships. Also downplayed fears
of an AI investment bubble.
Speaker 11 (04:45):
AI has now become good enough because of reasoning capability,
research capabilities, its ability to think. It's now generating tokens
and now generating intelligence that's worth paying for.
Speaker 10 (04:56):
And that's CEO Jensen Wang at a Video's GtC event
in Washington, d C in Nvidia on track to become
the world's first five trillion dollar public company. Lisa Matteo,
Bloomberg Radio.
Speaker 2 (05:07):
All right, Lisa, thank you. Well. We're also tracking the
path of Hurricane Melissa this morning. It's made landfall in
Cuba after pummeling Jamaica as one of the strongest Atlantic
hurricanes on record, and Bloomberg meteorologist Craig Allen joins us
with the latest. Craig, good morning, Good morning.
Speaker 12 (05:23):
It was a very interesting night bag with the hurricane
going back up to a category four at one point
while it was over the water. Now that it has
made landfall, this second landfall over eastern sections of Cuba,
about sixty miles to the west of Guantanamo, it is
beginning to weaken just a little bit once again over land.
The category three with one hundred and fifteen mile per
(05:44):
hour winds, still a major hurricane. There's still going to
be major damage across eastern sections of Cuba, and then
after that we have the storm moving off to the
north and east at about ten to fifteen miles per hour.
So unfortunately the Turks and Caicos as well as most
of the Bahamas are under a hurricane warning as well.
Speaker 2 (06:01):
Yes, we will all right, Bloomberg Meteorologists Craig Allen, thank you.
Speaker 3 (06:05):
All right, Carol, Well it's for the markets. We'll turn
back there. With futures mixed this morning. SMP futures or
a touch higher. After another record close on Wall Street,
at Yard Denny of yar Denny Research thinks stocks are
headed even higher.
Speaker 13 (06:18):
I think the bull market continues here. We've still got
some good news ahead, and some of it's been discounted,
of course, but the Fed is expected to lower the
Fed funds rate two more times this year, so that
would get us down to three point five percent. By
the way, I don't think the economy really needs it,
(06:39):
so a lot of this stimulus is probably going to
feed the bull market.
Speaker 3 (06:44):
At Yard Anny of yard Denny Research predicts the S
and P five hundred will reach seven thousand by the
end of the year.
Speaker 2 (06:50):
In Europe, bank earnings in focus once again as a
trio of big banks report. Let's go to London and
get the very latest at Bloomberg's U and pass you
and good more.
Speaker 14 (07:00):
Karen and Nathan.
Speaker 15 (07:01):
A beat from UBS, a beat from Santander, and a
beat from Deutsche Bank, Germany's biggest lender, reporting a nineteen
percent rise in revenue at its fixed income trading unit,
outpacing estimates over in Switzerland, the UBS posting net income
of two and a half billion dollars for the latest
three months, smashing estimates for one point four billion dollars.
(07:21):
The results supported by a release of provisions related to
the settlement of a tax evasion case. And to finish off,
the Trio, Spain's biggest bank, posting its sixth consecutive quarterly
profits record, Santadere, boosted by better results from the US
and lower provisions for souring debts. In London, I'm ewing
pots Bloomberg.
Speaker 2 (07:39):
Radio Time now for a look at some of the
other stories making news in New York and around the world.
Then for that, we're joined by Bloomberg's Michael Barr.
Speaker 6 (07:49):
Michael, good Morning, Good morning, Karen. Israel's army says it
began reinforcing the Gaza ceasefire agreement. It comes after Prime
Minister Benjamin Netanyaho ordered forest strikes against Amas in response
to attacks on Israeli soldiers and Gazim. Meanwhile, President Trump
was asked about Israel accusing of Mos violating a ceasefire
(08:10):
order by not returning all the bodies of hostages and
allegedly firing at an idea of soldier.
Speaker 4 (08:16):
Nobody knows what happened to the Israeli soldier, but they
say it with sniper fire, and it was retribution.
Speaker 14 (08:24):
For that, and I think they have a right to do.
Speaker 6 (08:27):
The President spoke with reporters on Air Force One. The
Border patrol commander in charge of President Trump's immigration crackdown
in Chicago is being reined in by a federal judge.
US District Judge Sarah Ellis gave Greg Bovino an earfull
about the tactics he and his agents are using and
ordered him to start providing her with briefings every day.
(08:49):
The US military struck four alleged drug vessels in the Pacific.
Authority say fourteen people were killed and one survived. President
Trump claims the alleged drug trap is being orchestrated by
Venezuela's authoritarian leader, Nicholas Maduro. Former Defense Department official Mick.
Speaker 9 (09:07):
Mulroy, Essentially, there's about twenty percent of our naval forces
are now in the Caribbean, which is very unusual. It's
simply not needed to do narcotics operations to hit these
small boats.
Speaker 6 (09:20):
Maduro's government says President Trump's real goal is not fighting
drug trafficking, but a forced regime change in Venezuela. It
is the eleventh time in less than two months, the
US has carried out strikes on alleged drug carrying vessels.
Global News twenty four hours a day and whenever you
want it with the Bloomberg News. Now, I'm Michael Barr,
(09:41):
and this is Bloomberg Karen.
Speaker 2 (09:42):
All right, Michael Barr, thank you time now for the
Bloomberg Sports Update. Here's John stash Hour.
Speaker 16 (09:52):
John, good morning, Good morning. Care On the Toronto Blue
Jays were coming off losing in eighteen and inns. They
had to play World Series Game four without George Springer.
He had to face Joey o'tani at the plate and
on the mound the Jay's trail the Dodgers one nothing,
third in there's a flat on a.
Speaker 14 (10:08):
Deep left center field heading back to is gone. Senior
gives the Joys tame but franchise face, putting the team
on his bet. I'll tell you, this guy's amazing and
he's ready for everything. I mean, this is the first
mistake that o'tonni has made.
Speaker 16 (10:28):
On Fox Sports at stay two one until Toronto scored
four times in the seventh and the Jays won six
to two to tie the series at two. O'twni, after
his Game three heroics zero for three at the plate
and was the losing picture. Toronto manager John Schneider asked
about the Guerrero homer and the seventh in a rally.
Speaker 17 (10:46):
It's a huge swing to get us going, and I
think that gives you some momentum, and you know, show
he settled in, struck out quite a few in a
row after that, but you know, our bats there kind
of just it was a Blue Jay inning, you know
what I mean, varsh Ernie and then he kind of
went to work. But the swing from Vlad was game changer.
Speaker 16 (11:07):
Game five tonight Saint Pitchers was Game one the Dodgers
Blakes now the Blue Jays go with Rookie Tree, Yes
Savage Nickson. Milwaukee had a twelve point lead at halftime,
back came the Bucks to win one twenty one, one
to eleven. Giannis to the cupbo thirty three minutes, thirty
seven points. Jalen Brunson led the Knicks with thirty six
Rangers a two to nothing winning Vancouver sixty fourth career
shutout for Jonathan Quick. Islanders lost in Boston five to two.
Speaker 6 (11:30):
The Devils.
Speaker 16 (11:31):
Eight game winnings Dray came to an end and eight
to four loss of Colorado Dallas over the Capitols won
nothing New Orleans Saints one and seven, beating only the Giants.
They're making a quarterback change. Twenty six year old rookie
Tyler Schoff willing to play Spencer Rattler. The Baltimore Ravens
played tomorrow night in Miami. Lamar Jackson will return after
missing three games with injured hamstring. John Stashan, We're in
(11:52):
Bloomberg Sports Karen Ncoln.
Speaker 2 (11:55):
Stay with us. More from Bloomberg day Break coming up
after this.
Speaker 1 (12:03):
Coast to coast on Bloomberg Radio nationwide on Serious Exam
and around the world on Bloomberg dot Com and the
Bloomberg Business app. This is Bloomberg Daybreak.
Speaker 14 (12:14):
Good morning.
Speaker 3 (12:14):
I'm Nathan Hager, and the key event of President Donald
Trump's to a trip to Asia is now just a
day away before his face to face encounter tomorrow with
Chinese President she Jinpaning. The President is telling business leaders
in South Korea today he expects a good outcome.
Speaker 4 (12:30):
President Chief China is coming tomorrow here and we're going
to be uh.
Speaker 18 (12:34):
I hope making a deal.
Speaker 14 (12:35):
I think we're going to have a deal. I think
it'll be a good deal.
Speaker 6 (12:37):
For both.
Speaker 3 (12:38):
That was President Trump speaking at an APEX CEO summit
in South Korea. Joining us for more this morning from
Hong Kong is Bloomberg's Jill Desis and Jill. Some of
the commentary that we're hearing from the President ahead of
this encounter is pretty interesting. This idea of lowering tariffs
on Chinese goods related to the fentanyl crisis, as well
as talking about Nvidia's black welch with President she that
(13:01):
would be pretty major.
Speaker 18 (13:03):
Good morning, Good morning, Nathan. Yes, I mean, you know,
first of all, I want to make clear, you know,
a lot of what's been building up to this particular
meeting between President Donald Trump and Shei Jinping has already
been really widely telegraphed. You kind of get the feeling
like from you know, the broader Trump administration that you know,
they've been working behind the scenes for at this point
weeks to try to smooth over a deal. We did
(13:26):
actually get a sense of that broad framework agreement actually
over the weekend, So this does kind of feel like
in some ways, you know, maybe there's some attempts to
to you know, not have too many surprises here. Although
obviously we've heard from Trump himself today, who did put
out some of those really really interesting comments. So first
of all, him saying that, you know, he's he thinks
that China is going to make, you know, making some
(13:48):
sort of favorable moves on the what he called the
Fentanel situations. That idea potentially lowering tariffs there I think
would be fairly significant. You know, there's other media reporting
that Trump is considering cutting what's a twenty percent tariff
to as low as ten percent on Chinese goods over
fentanyl in particular, So that's something that we're certainly keeping
(14:09):
an eye on. But it really is those Nvidia comments
as well that I think are really really interesting. So
what Trump was suggesting here is that he was open
to providing China with access to this Blackwell AI processor
from Nvidia as part of any trade deal. I mean,
that would be a major concession. I imagine that national security
hawks in Washington maybe not too particularly happy about that idea,
(14:32):
but it does seem like that's something that could come
up in these talks, and.
Speaker 3 (14:35):
It's something that's certainly getting the market's attention this morning.
I mean, how significant would that be? How difficult would
it be to make that part of a trade deal
given the significant restrictions that are already on in video
right now, not just from the US, but from China
as well.
Speaker 18 (14:50):
Yes, that's right, and that's actually something that chief of Nvidia,
Jensen Huang, has actually said. I mean, he noted that
Trump is actually licensed in Vidia to to China, but
it's China that's blocked them from being able to ship
to China. That's from Johnsonhang himself. He was speaking at
a company in Washington. I think, you know, look this
there has been a lot of back and forth this year.
(15:11):
A lot of this really does come down to not
just sort of the overall trade agreement, but also basically
some pretty significant national security concerns about what it would
mean to supply China with any kind of advanced chips
that's being made by an American company. You know, we
did see earlier this year there were some concessions in
the form of the US government saying that it would
approve licenses for a particular type of Nvidia chip that
(15:35):
was designed to comply with export controls, not to ship
over like extremely invansed technology. You know, obviously that hasn't occurred,
So it does seem like there would be some significant
hurdles to actually getting something like this over the line,
you know. I mean, look, Trump goes into a lot
of these types of meetings, you know, saying a lot
of things. I think there's still some consideration over what
that back and forth actually looks like. So it's not
(15:55):
really just about even what the President says tomorrow, but
also what some of these deals look like. We actually
get some really really hard specifics.
Speaker 3 (16:02):
Oh, we should get some idea in the hours to come.
The White House is saying that this encounter is going
to happen mid morning tomorrow in South Korea. So it's
just as we say, hours away, thank you for this.
Jill really appreciate it. That is Bloomberg's Jill desis ahead
of the Trump. She meeting with us this morning from
Hong Kong.
Speaker 2 (16:21):
Karen Nathan, we want to get the latest on Hurricane Melissa,
and we're joined once again by Bloomberg meteorologist Craig Allen.
Craig the storm making landfall in Cuba. It's a little
weaker than it was when it hit Jamaica, but still
a major system.
Speaker 12 (16:35):
What's the latest, Absolutely one hundred and fifteen mile per
hour winds. It did go back up to a category
four last night while over the water and heading towards
the eastern coast of Cuba, made landfall around Santiago de Cuba,
and it is that's the second most populated city over
(16:55):
eastern sections of Cuba there and right now is about
sixty miles to the west of on Toonamo. So we
have one hundred and fifteen mile per hour winds. The
winds are down a little bit, just like you said.
At the same time, though the rain is continuing. The
storm surge is going to continue right through the day
today and then we'll take off to the northeast at
(17:16):
about ten to fifteen miles per hour, a little bit
faster than it was yesterday. That is a good thing
to try to get it out of any particular region.
But the southeast Bahamas are now under a hurricane warning,
so the Turks and Caicos probably won't be a direct
hit on some of the areas like Nassau or Freeport
or the other portions of the Bahamas where there's major
(17:40):
vacation or tourism, but the Turks and Caicos too will
also feel the effects of the storm today.
Speaker 2 (17:45):
And does that mean the US is in the clear, then.
Speaker 12 (17:48):
Well, the US is in the clear in terms of
any kind of direct hit. You're absolutely right, and there
will be some rough surf and I would think rip
currents along the southeast coast as the storm tries to
pull away, But a direct effect with any kind of
rain and wind is highly unlikely. The storm is going
to take a track to the north and east, and
(18:11):
by the time we get to the end of this week,
you know who's next. Once again, Bermuda likely to see
winds that will gust up to about one hundred, one
hundred and fifteen miles per hour there too, as the
storm takes off to the north and east. So it's
still a Category one at least by the time it
gets to Bermuda and then takes off into the North Atlantic. Fortunately,
(18:31):
as I said, the East coast of the United States
will not feel any direct effects.
Speaker 2 (18:35):
Okay, but it sounds like this storm has some staying power.
Then how long is it going to be to us?
Speaker 12 (18:42):
Yes, hey, you know that's right. It goes into the
North Atlantic, it takes the entire week, But talk about
staying power. As soon as it moves off Jamaica, it
reintensified once again, could briefly reintensify when it moves off
Cuba a little bit later on this morning, but then
it will go down. There are other factors there. The
water is not quite as warm, there's more wind sheer,
(19:02):
and therefore I don't think it'll be able to get
as strong as it ever as it was once again
in the rest of Melissa's life.
Speaker 2 (19:11):
All right, well, what's behind Melissa?
Speaker 15 (19:13):
Is this the end of it?
Speaker 2 (19:14):
Or do we have to watch anything else?
Speaker 12 (19:16):
Well, the hurricane season officially runs until November thirtieth, so
there could always be another system. But right now, I'm
happy to say that the rest of the Gulf, as
well as the Caribbean and the Atlantic basin are pretty quiet.
For the time being. There's nothing more to watch for
at least another two to five days.
Speaker 2 (19:36):
This is Bloomberg day Break, your morning podcast on the
stories making news from Wall Street to Washington and beyond.
Speaker 3 (19:42):
Look for us on your podcast feed by six am
Eastern each morning, on Apple, Spotify, or anywhere else you listen.
Speaker 2 (19:48):
You can also listen live each morning starting at five
am Wall Street time on Bloomberg eleven three to zero
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Bloomberg ninety two nine in Boston, andationwide on serious XM
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Speaker 3 (20:03):
Plus listen coast to coast on the Bloomberg Business App
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Speaker 2 (20:09):
And don't forget to subscribe to Bloomberg News Now. It's
the latest news whenever you want it in five minutes
or less. Search Bloomberg News Now on your favorite podcast
platform to stay informed all day long. I'm Karen Moscow.
Speaker 3 (20:22):
And I'm Nathan Hager. Join us again tomorrow morning for
all the news you need to start your day right
here on Bloomberg Day Ray
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