August 21, 2025: CA Redistricting Plan Approved, DOJ Signals Probe of Fed's Cook, More

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Episode Transcript

Speaker 1 (00:02):
News when you wanted with Bloomberg News Now, I'm Doug Prisner.
State lawmakers in California have passed a legislative package to
advance a partisan redistricting plan. It aims at winning Democrats
up to five more seats in the US House during
the twenty twenty six elections, and the move marks the
latest step in a tit for tat jerrymandering battle, after

(00:23):
Texas Republicans advanced their own redrawn map to pad their
House majority by the same five seats at the urging
of President Trump. Here as California Governor Gavin Newsom, they
fired the first shot Texas. We want to be here
at Texas.

Speaker 2 (00:37):
Not done what they just did. Donald Trump didn't do what.

Speaker 1 (00:41):
He just did, California Governor Gavin Newsom there now. The
statewide vote in California for this new congressional map will
be held in November. We moved to monetary policy next.
The head of the Chicago Fed, Austin Goulsby, says, while
some recent inflation readings have come in better than expected,
he is hoping one dangerous data point is just a blip.

(01:03):
Goulesby spoke to Bloomberg on the sidelines of the fed's
annual conference in Jackson Hole, Wyoming.

Speaker 2 (01:09):
We've had mixed messages. We've had some inflation reports that
came in milder than we expected, and I was feeling
good because I thought, if the tariffs kind of stay
in their lane and imported goods, they are only eleven
percent of the economy. There is a real sense in
which maybe we never left the golden path.

Speaker 1 (01:30):
Bostin Goulesby there, the head of the Chicago FED, speaking
to Bloomberg on the sidelines of the Jackson Hole symposium.
Friday morning, we'll hear from FED shared Jay Powell. We
are told his speech will focus on structural changes in
the labor market. Markets, though, are hoping for clues on
the Fed's next move when it comes to interest rates.
The Director of the Federal Housing Finance Agency, Bill Poulti,

(01:53):
is defending his call for an investigation into FED Governor
Lisa Cook. Earlier, Poultie said Cook may have admitted mortgage fraud,
and he said his decision to refer the case to
the DOJ is part of his agency's wider efforts to
root out mortgage fraud. Here is Pulti, speaking earlier to Bloomberg.

Speaker 3 (02:11):
We refer people almost every day. I refer people every
week on a minimum, to the Department of Justice for
mortgage fraud. This is literally what I am required to
do underneath the Housing and Economic Recovery Act of two
thousand and eight, which is to ensure the safety and
soundness of the mortgage market.

Speaker 1 (02:30):
He has built. Pulty, the director of the Federal Housing
Finance Agency now the Department of Justice, told Fedschair J
Powell this case requires further examination. Although Powell does not
have the legal authority to fire Cook, only the President
can remove a FED governor, and only for cause. Nvidia
has reportedly told some of its component suppliers in Asia

(02:51):
to suspend production work related to the H twenty chip.
This chip is tailor made for AI applications in the
Chinese market. Now the Information reports. The directive comes weeks
after the Chinese government told local tech companies to stop
buying the AH twenty due to alleged security concerns. Here,
as Bloomberg's Annabel droolers.

Speaker 4 (03:13):
This morning, though, what we've got is a production halt.
What is interesting, though, is that it's not coming from
the US side. It's coming from the Chinese side instead,
or it's a result of Chinese government policies. So it
tells you very much that Nvidia's hopes of maintaining that
foothold in the Chinese market do remain in limbo right now.

Speaker 1 (03:32):
Bloomberg's Annabel droolers there. Recently, both Nvidia and its rival
Advanced micro Devices secured Washington's approval to resume sales of
lower end AI chips to China, with the condition that
they give the US government a fifteen percent cut of
revenue from Chinese sales. Meta Platforms is hiring another key

(03:52):
Apple artificial intelligence executive, even though Meta is slowing its recruitment.
We are told Frank Chu will be joining Meta's Super
Intelligence Labs or MSL.

Speaker 3 (04:04):
Now.

Speaker 1 (04:04):
Chew has led Apple AI teams focused on cloud infrastructure,
training and search. Here is Bloomberg's Mark German.

Speaker 5 (04:11):
Apple has been bleeding talent to Meta. They've lost now
upwards of six senior AI model related engineers and executives
of the last two months to the social network. For Meta,
it's very clear because of this hire that they're working
on AI infrastructure, which means they're wanting to optimize cloud compute.
We reported as well, Meta and Google Cloud signed a

(04:32):
ten billion dollar deal. So what you're probably going to
see here with this Frank chu Hire is more optimization
for how to use that cloud infrastructure and maybe the
development of Meta's own cloud infrastructure.

Speaker 1 (04:43):
That is Bloomberg's Mark German. After decades in prison, the
Menendez brothers got their parole hearings, and at a hearing
on Thursday evening, Eric was not granted parole. He will
continue to serve a live sentence alongside his brother Lyle
for murdering their parents in nineteen eighty nine, and according
to the California Department of Corrections and Rehabilitation, the legal

(05:05):
team for Eric Mendez cannot appeal this decision. Meantime, the
parole hearing for Lyele Menendez is scheduled for Friday. President
Trump's pick to be the top federal prosecutor in New
Jersey was blocked by a district court judge from handling
any cases. The judge called Alina Habba's appointment invalid. In response,

(05:25):
US Attorney General Pam Bondi vowed to immediately appeal the decision,
and in a post on ex Bondi said Habba is
quote doing incredible work in New Jersey and that we
will protect her position from activist judicial attacks. And that
is news when you want it with Bloomberg News. Now,
I'm Doug prisoner, and this is Bloomberg