Bloomberg Daybreak: US Edition

On today's podcast: 1) President Donald Trump said he’d impose increased tariffs on countries buying energy from Russia while clarifying that levies on semiconductor and pharmaceutical imports would be announced “within the next week or so.” 2) President Donald Trump said he would make his decision on a replacement for outgoing Federal Reserve Governor Adriana Kugler this week as he looks to make his imprint on the central bank’s monetary policy. 3) The White House is racing to beat another self-imposed deadline to resolve Russia’s war in Ukraine, with President Donald Trump leaning hard on his special envoy, Steve Witkoff, to get Moscow to halt the fighting. See omnystudio.com/listener for privacy information.

On today's podcast: 1) President Donald Trump said he would be “substantially raising” the tariff on Indian exports to the US over the Asian nation’s purchases of Russian oil, a move New Delhi slammed as unjustified in an escalating fight between the two major economies. 2) Texas Governor Greg Abbott ordered the arrest of Democratic lawmakers who left the state to block a controversial vote on new congressional maps. 3) Palantir Technologies Inc. reported a 48% increase in revenue for the second quarter to more than $1 billion, citing the “astonishing impact” of artificial intelligence technology on its business. See omnystudio.com/listener for privacy information.

On today's podcast: 1) President Donald Trump said he will announce a new Federal Reserve governor and a new jobs data statistician in the coming days, two appointments that may shape his economic agenda amid anxiety over the trajectory of global growth. 2) Workers at Boeing Co.’s St. Louis-area defense factories are striking for the first time in almost three decades after union members rejected the company’s modified contract offer. 3) US Trade Representative Jamieson Greer sounded a cautiously optimistic note on discussions with China on rare earth flows, following trade talks that further steadied ties between the economies. See omnystudio.com/listener for privacy information.

Bloomberg Daybreak Weekend with Tom Busby take a look at some of the stories we'll be tracking in the coming week. See omnystudio.com/listener for privacy information.

On today's podcast: 1) Markets take a hit as President Trump unleashes a wave of new tariff rates. The world is facing some of the steepest US tariffs since the 1930s, with an average of 15%, according to the text. So far, the global economy has held up better than many economists expected after Trump’s initial tariff blitz. A rush to beat the elevated rates spurred a front-loading of exports, aiding many Asian economies and shielding US consumers from price spikes. 2) Shares of Amazon sell off while Apple rises following the latest tech earnings. Apple reported its fastest quarterly revenue growth in more than three years, with revenue rising 9.6% to $94 billion in the fiscal third quarter. Amazon dropped in premarket trading after projecting weaker-than-expected operating income and trailing the sales growth of its cloud rivals. CEO Andy Jassy said it was "very early days" in artificial intelligence, and that the company's efforts to lower the costs of running AI applications would draw more customers over time. 3) Investors prepare for the July jobs report to wrap up a week of key US economic data. Bloomberg Economics predicts July’s seasonally adjusted nonfarm payrolls to increase by 160,000 — higher than the consensus expectation of 105,000. See omnystudio.com/listener for privacy information.

Amazon.com dropped in late trading after projecting weaker-than-expected operating income and trailing the sales growth of its cloud rivals, leaving investors searching for signs that the company’s huge investments in artificial intelligence are paying off. Operating profit will be $15.5 billion to $20.5 billion in the period ending in September, compared with an average estimate of $19.4 billion. Sales will be $174 billion to $179.5 billion, the company said Thursday in a statement. Analysts, on average, expected $173.2 billion. Chief Executive Officer Andy Jassy is engaged in an AI infrastructure arms race with Microsoft Corp. and Alphabet Inc. that requires heavy spending on data centers. Both of those rivals earlier reported strong earnings showing they are benefiting from the AI boom. For instant reaction and analysis, hosts Carol Massar and Tim Stenovec speak with: See omnystudio.com/listener for privacy information.

On today's podcast: 1) Fed Chair Jay Powell bucks pressure from the White House and two dissenters to leave rates unchanged. The dollar dropped, sliding from its highest level since May after Fed Chair Jay Powell Wednesday said no decision had been made about easing policy in September. 2) Tech stocks surge after blowout quarters by Microsoft and Meta, and more Mag 7 earnings on tap as Apple and Amazon report today. Microsoft shares gained more than 8% in after-hours trading while Meta jumped more than 11% after both pledged to spend lavishly on artificial intelligence. Stocks rose in early trading as upbeat earnings helped drive optimism over resilient corporate profits. 3) President Trump unleashes a flurry of trade surprises ahead of tomorrow's deadline. The president announced tariffs of 15% on imports from South Korea and 25% on imports from India, accompanied by criticism of India's purchases of Russian energy and weapons. Deals are being drafted or have been agreed upon with several countries, including Thailand, Cambodia, and Taiwan, as Trump attempts to create a new global trade order. See omnystudio.com/listener for privacy information.

Microsoft reported better-than-expected growth in its cloud business and said spending on AI infrastructure hit a record. The closely watched Azure cloud-computing unit posted a 39% rise in sales during Microsoft’s fiscal fourth quarter, the company said in a statement on Wednesday. Analysts projected 34% revenue growth. The shares rose about 7% in extended trading after closing at $513.24 in New York. The company’s stock was up about 22% this year through the Wednesday close. Meta also reported results that sent shares higher after the close. Meta topped projections for second-quarter sales and gave a stronger-than-expected forecast for the current period, a sign that the social media company’s advertising business is still growing quickly enough to support aggressive spending on artificial intelligence. Shares jumped as much as 10% in late trading. Third-quarter sales will be $47.5 billion to $50.5 billion, Meta said in a statement Wednesday, with the midpoint of that range exceeding the average analyst estimate of $46.2 billion, according to data compiled by Bloomberg. The social media giant, which owns Instagram and Facebook, reported second-quarter revenue of $47.5 billion. Meta stock was up 18.7% so far this year before Wednesday’s report. For instant reaction and analysis to earnings for both big tech companies, hosts Carol Massar and Tim Stenovec speak with: See omnystudio.com/listener for privacy information.

Bloomberg's Tom Keene, Jonathan Ferro and Lisa Abramowicz discuss remarks from Fed Chair Jay Powell following the Federal Reserve's latest policy decision on a special edition of Bloomberg Surveillance| Federal Reserve Chair Jerome Powell said interest rates are in the right place to manage continued uncertainty around tariffs and inflation, tempering expectations for a rate cut in September. “There are many, many uncertainties left to resolve,” Powell told reporters Wednesday following the central bank’s decision to once again keep rates unchanged. “It doesn’t feel like we are very close to the end of that process.” The Federal Open Market Committee voted 9-2 to hold its benchmark federal funds rate in a range of 4.25%-4.5%, as they have at each of their meetings this year. Governors Christopher Waller and Michelle Bowman voted against the decision in favor of a quarter-point cut. Traders pared back their expectations for rate cuts as Powell spoke. Interest-rate futures indicated roughly even odds on a reduction at the next meeting in September, down from about 60% earlier in the day. Treasuries extended losses, the dollar surged to the highest since May and the S&P 500 fell. In their post-meeting statement, officials downgraded their view of the US economy, saying “recent indicators suggest that growth of economic activity moderated in the first half of the year.” The Fed had previously characterized growth as expanding “at a solid pace.” See omnystudio.com/listener for privacy information.

On today's podcast: 1) President Donald Trump is set to make the final call on maintaining a tariff truce with China before it expires in two weeks, an extension that would mark a con 2) Stocks struggled in the hours before Wednesday’s Federal Reserve interest-rate decision as traders tackled a heavy load of major company earnings. 3) Four-foot (1.2-meter) tsunami waves were recorded in Hawaii, while remote parts of California also braced for impact after a powerful earthquake in Russia’s Far East triggered tsunami alerts across the Pacific. See omnystudio.com/listener for privacy information.

On today's podcast: 1) Work was winding down at 345 Park Avenue on Monday when a man strode across the public plaza just outside the Midtown Manhattan tower with an assault rifle in his hand.Within minutes, at least four people were dead, as well as the gunman, in a mass shooting in the epicenter of American finance. The harrowing scene unfolded in the 44-story, dark-glass tower that houses the offices of private equity giant Blackstone Inc., consultant KPMG, the National Football League and building landlord Rudin Management. 2) Commerce Secretary Howard Lutnick said a 90-day extension of a trade truce with China was a likely outcome with negotiations between the two countries underway in Stockholm. 3) Barclays Plc’s traders turned in their best second quarter performance in three years as the volatility wrought by US President Donald Trump’s trade war helped them deliver revenue that topped analyst expectations. See omnystudio.com/listener for privacy information.

On today's podcast: 1) The US and European Union agreed on a hard-fought deal that will see the bloc face 15% tariffs on most of its exports, including automobiles, staving off a trade war that could have delivered a hammer blow to the global economy. 2) US and Chinese officials are meeting Monday to extend their tariff detente beyond a mid-August deadline, and haggle over other ways to further defuse trade tensions. 3) Wall Street pros are staring down a pivotal week that will likely set the tone for the rest of the year in markets and the economy.First and foremost is the conclusion of the Federal Reserve’s meeting on Wednesday, and although it isn’t expected to cut interest rates, traders and investors will be poring over commentary for clues about the path ahead. Then there’s a string of Big Tech earnings with Amazon.com Inc., Apple Inc., Meta Platforms Inc. and Microsoft Corp. all reporting. And sprinkled throughout are some key indicators on the state of the economy, from gross domestic product to nonfarm payrolls. See omnystudio.com/listener for privacy information.

Bloomberg Daybreak Weekend with Tom Busby takes a look at some of the stories we'll be tracking in the coming week. See omnystudio.com/listener for privacy information.

On today's podcast: 1) Federal Reserve Chair Jerome Powell is smack in the middle of one of President Donald Trump’s preferred attack strategies — flooding the zone. 2) Intel Corp. tumbled in late trading after Chief Executive Officer Lip-Bu Tan sparked concerns that he was more focused on cost cutting than restoring the chipmaker’s technological edge. 3) Paramount Global’s merger with Skydance Media was approved by the US Federal Communications Commission, which backed the deal after the Trump administration extracted concessions on the news and entertainment company’s political coverage and diversity practices. See omnystudio.com/listener for privacy information.

Donald Trump downplayed jostling with Federal Reserve Chairman Jerome Powell over cost overruns during a tour of the central bank’s renovation project, even as he used the interaction to again push for lower interest rates. After a tour that saw Trump and Powell publicly trade barbs over the cost of the project, Trump maintained there was no tension with the Fed chief and indicated that problems with the project probably weren’t reason enough to fire the central bank head. But the remarkable tour still saw the president joke that he might ordinarily fire a project manager who oversaw similar cost overruns and again rib Powell — who for months has faced presidential criticism — over interest rates. For instant reaction and analysis, hosts Carol Massar and Tim Stenovec speak with: See omnystudio.com/listener for privacy information.

1) US President Donald Trump suggested that he would not go below 15% as he sets so-called reciprocal tariff rates ahead of an Aug. 1 deadline, an indication that the floor for the increased levies was rising. 2) Donald Trump will personally visit the Federal Reserve Thursday to tour a construction site he’s criticized for cost overruns amid his escalating attacks on Fed Chair Jerome Powell for not cutting rates.The White House announced the visit in the release of the president’s daily public schedule. The visit is planned for 4 p.m. reading simply, “THE PRESIDENT visits The Federal Reserve,” without further details. 3) Elon Musk warned of difficult times ahead for Tesla Inc. after one of the automaker’s worst quarters in over a decade.Tesla will be a transition period for the next year or more, losing electric vehicle incentives in the US and needing time to roll out autonomous vehicles, the chief executive officer said. See omnystudio.com/listener for privacy information.

Tesla fell short of Wall Street’s expectations in one of the automaker’s worst quarters in years, a sign of the toll that rising competition and a backlash against Chief Executive Officer Elon Musk have taken on the company. Adjusted earnings were 40 cents per share, Tesla said Wednesday in a statement, just below the average analyst estimate. Revenue fell 12% to $22.5 billion, the sharpest decline in at least a decade. Still, the report was free of new bombshells and the company said it continues to move forward with robotaxi and affordable-vehicle plans, providing a measure of relief for investors. That comes “despite a sustained uncertain macroeconomic environment resulting from shifting tariffs, unclear impacts from changes to fiscal policy and political sentiment,” Tesla said. For instant reaction and analysis, hosts Carol Massar and Tim Stenovec speak with: See omnystudio.com/listener for privacy information.

On today's podcast: 1) President Donald Trump reached a trade deal with Japan that will impose 15% tariffs on imports including automobiles from the key American ally, while creating a $550 billion fund to make investments in the US. 2) Microsoft Corp. warned that Chinese state-sponsored hackers are among those exploiting flaws in its SharePoint software to break into institutions globally, with the US agency responsible for designing nuclear weapons now among those breached. 3) The record-breaking run in global stocks got fresh fuel after the US reached a trade deal with Japan, easing concern about the tariff war as traders turn their attention to earnings from US tech giants. See omnystudio.com/listener for privacy information.

On today's podcast: 1) Treasury Secretary Scott Bessent said in a social media post Monday that there should be a review of the decision to renovate parts of the Federal Reserve headquarters in Washington. 2) A cohort of the world’s largest asset managers is leaning harder into the rally in risk assets as US stocks push to fresh highs, defying persistent trade and geopolitical tensions. 3) Japan’s chief trade negotiator Ryosei Akazawa met with US Commerce Secretary Howard Lutnick on Monday as an Aug. 1 deadline for higher tariffs looms. See omnystudio.com/listener for privacy information.

On today's podcast: 1) The European Union prepares for the worst as it races to secure a trade deal with the US. European Union and US negotiators are heading into another week of intensive talks to clinch a trade deal by Aug. 1, when US President Trump has threatened to hit most EU exports with 30% tariffs. 2) Microsoft rushes to fix a widespread cyberattack on its server software. Microsoft's server software was exploited by unidentified hackers, with analysts warning of widespread cybersecurity breaches across the globe. Silas Cutler, a researcher at Censys, said "It's a dream for ransomware operators, and a lot of attackers are going to be working this weekend as well," regarding the breach. 3) President Trump pushes back at a report that he got advice not to fire Fed Chair Jay Powell. The president took to social media to criticize a Wall Street Journal article that reported his Treasury Secretary Scott Bessent advised against firing Powell. Trump insisted that he didn't need Bessent's advice. See omnystudio.com/listener for privacy information.