Trump's Attack on Powell Fuels US Selloff
"Balance of Power: Late Edition" focuses on the intersection of politics and global business. On today's show, Jane Harman, Chair of the Commission on National Defense Strategy, weighs in on reports saying the White House is starting the search for a new Defense Secretary after additional reports state Pete Hegseth used a second unsecured Signal chat to discuss military attack plans. Mark Zandi, Moody's Analytics Chief Economist, discusses President Trump's continued criticism of Federal Reserve Chair Jerome Powell and whether or not the President's criticism of Powell is to portray the Chairman as a scapegoat if the economy slows down. (Source: Bloomberg)
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Yahoo
an hour ago
- Yahoo
California Congress members to question Hegseth about federal military deployment in L.A.
California Democrats plan to question Defense Secretary Pete Hegseth on Thursday about the immigration raids that have roiled Los Angeles, the federal commandeering of the state's National Guard and the deployment of Marines in the region when he testifies before the House Armed Services Committee. Several committee members said they received no advance notice about the federal immigration sweeps at workplaces and other locations that started Friday and that prompted large and at times fiery protests in downtown Los Angeles. 'That's going to change,' said Rep. Derek Tran (D-Orange), when the committee questions Hegseth on Thursday morning. 'We need to de-escalate the situation,' Tran said in an interview. President Trump and his administration's moves, most recently deploying hundreds of Marines in Southern California, 'escalates the situation, sending in troops that shouldn't be there, that are trained to shoot and kill.' Read more: Curfew brings swift crackdown as protests calm on 6th day, businesses assess damage Though largely peaceful, protests about U.S. Immigration and Customs Enforcement's actions have been punctuated by incidents of violence and lawlessness. As of Tuesday evening, several hundred people had been detained on suspicion of crimes or because of their immigration status. After dissenters blocked the 101 Freeway, vandalized buildings in downtown Los Angeles and stole from businesses, Los Angeles Mayor Karen Bass on Tuesday imposed a curfew in the city's civic core from 8 p.m. to 6 a.m. Read more: Fears of ICE raids upend life in L.A. County, from schools to Home Depot parking lots Thursday's testimony before the House Armed Services Committee will be Hegseth's third appearance on Capitol Hill this week. He was questioned Tuesday by the House Appropriations subcommittee on defense and the Senate Appropriations Committee on Wednesday. Both appearances were testy. On Wednesday, Hegseth insisted the deployment of Marines in Los Angeles was lawful but couldn't name the law under which it is allowed. On Tuesday, he was buffeted with questions about the 'chaos' in his tenure, his discussion of national secrets on a Signal group chat and the lack of information provided to elected leaders about Defense Department operations and budgets, including the cost of the federal deployment in Los Angeles. 'I want your plan!' Rep. Rosa DeLauro (D-Conn.) demanded. 'What is your plan for the future? Can we get that in writing and on paper so that we know where you're going? Because we don't have anything today. We have zip! Nada!' Read more: Hegseth faces sharp questions from Congress on deploying troops to Los Angeles Hegseth responded that the agency has the details and would provide them to members of Congress. The Pentagon posted a video clip of the back-and-forth on X that tagged the congresswoman and was titled 'WHY ARE YOU SCREAMING!' Thursday's hearing is especially notable because the committee oversees the Pentagon budget. None of the Republican members of the committee are from California. More than a dozen who were asked to weigh in on the hearing didn't respond. Republicans are expected to reflect the sentiments expressed by Trump, most recently on Wednesday when he took questions from reporters on the red carpet at the Kennedy Center shortly before attending a performance of "Les Miserables" with First Lady Melania Trump. 'We are going to have law and order in our country,' he said. 'If I didn't act quickly on that, Los Angeles would be burning to the ground right now.' 'These are radical left lunatics that you're dealing with, and they're tough, they're smart, they're probably paid, many of them, as you know, they're professionals," he added. "When you see them chopping up concrete because the bricks got captured, they're chopping up concrete and they're using that as a weapon. That's pretty bad.' Seven of the committee's members are Democrats from California, and they are expected to press Hegseth on the legal underpinnings of the deployment of federal forces in the state, the lack of notification or coordination with state and local officials and the conditions and future of residents swept up in the raids. "The president's decision to deploy the National Guard and the U.S. Marines over the objections of California officials has escalated the situation, creating unnecessary chaos and putting public safety at risk," said Rep. George Whitesides (D-Agua Dulce). "As a member of the House Armed Services Committee, I'm deeply concerned with the precedent this sets, and the apparent lack of protocol followed, and I will be seeking answers." Read more: After images of unrest comes the political spin, distorting the reality on the ground in L.A. Rep. Salud Carbajal (D-Santa Barbara), a Mexican immigrant who served in the Marine Corps Reserve and is also a member of the committee, said Trump is doing what he does best. 'He likes to play arsonist and firefighter,' Carbajal said in an interview. He argued Trump is using the raids to deflect attention from legislation that will harm the most vulnerable Americans while enriching the wealthy. 'There's a question of whether what he's doing is legal, regarding him and Hegseth sending in Marines. The governor and the mayor did not request the National Guard, let alone the Marines,' Carbajal said. 'This is likely a violation of the Posse Comitatus Act, which prohibits the use of U.S. forces in the U.S.' Carbajal also said he expects what has unfolded in Los Angeles in recent days to be replicated in communities nationwide, a concern raised by Bass and other Democrats on Wednesday. As a former Marine, Carbajal added that he and his fellow veterans had no role to play domestically, barring crisis. 'We're not trained for this. There is no role for Marines on American soil unless rebellion is happening,' he said. 'This is so ridiculous. It says a lot about the administration and what it's willing to do to distract and create a more stressful, volatile environment.' 'Let's make it clear,' he added. 'We Democrats don't support any violent protests. But as a Marine, there is no place for the U.S. military on domestic soil under the guise and reasoning he's provided.' Get the L.A. Times Politics newsletter. Deeply reported insights into legislation, politics and policy from Sacramento, Washington and beyond, in your inbox twice per week. This story originally appeared in Los Angeles Times.
Bloomberg
an hour ago
- Bloomberg
Ted Cruz's Fed Plan Is a Massive Distraction
Suggesting that the central bank stop paying banks interest won't fix anything and will invite new problems. Save You can count on Senate Republicans to find pointless budgetary gimmicks to avoid talking about serious deficit reduction. In an interview last week with CNBC, Senator Ted Cruz floated the idea that the Federal Reserve should just stop paying interest to banks to save taxpayers money. Budget squeeze solved, easy peasy! Here's Cruz: Before it's here, it's on the Bloomberg Terminal
Yahoo
an hour ago
- Yahoo
Dollar hits fresh 2025 low as US tariff concerns pick up again
(Bloomberg) — The dollar (DX=F) extended its decline as worries over US tariffs increased after President Donald Trump said he would notify trading partners soon of unilateral levies. Shuttered NY College Has Alumni Fighting Over Its Future Trump's Military Parade Has Washington Bracing for Tanks and Weaponry NYC Renters Brace for Price Hikes After Broker-Fee Ban NY Long Island Rail Service Resumes After Grand Central Fire Do World's Fairs Still Matter? The Bloomberg Dollar Spot Index slid as much as 0.6% to the lowest level since July 2023 on Thursday, extending the previous day's drop spurred by softer US inflation data. The euro rose to its strongest since November 2021. Traders will be monitoring US producer-price data due later Thursday for confirmation of subdued pressures. Some of its components feed into core personal consumption expenditure, the Federal Reserve's preferred measure of inflation. They will also watch an auction of 30-year Treasuries after yields surged last month on fiscal concerns. 'Dollar weakness has much more room to run,' said Vasileios Gkionakis, senior economist and strategist at Aviva Investors. He added the greenback's weakness despite rising yields show eroding investor confidence in US assets. The dollar's decline spilled into the currency volatility market, reinforcing the inverse correlation between the greenback and hedging costs recently. Demand was particularly pronounced in the one-week tenor, which captures the Fed's June 18 policy meeting. What Bloomberg's Strategists Say... 'Trader pricing still favors more Federal Reserve interest rate cuts, although the precise timing flips around depending on the prevailing investor mood. But what is consistent is the US dollar ploughing a path to the downside as FX trader convictions firm.' — Mark Cranfield, Markets Live Strategist, Singapore Currency traders will also be watching the upcoming Group-of-Seven summit for any trade negotiation developments. 'We are watching the G-7 summit closely for pending trade deals between the US and its key trading partners (e.g., Mexico and Canada),' said Alex Loo, macro strategist at TD Securities in Singapore. 'Leaks this week may boost sentiment, especially the likes of Canadian dollar and Mexican peso.' (Updates with pricing, analyst quote and options section.) New Grads Join Worst Entry-Level Job Market in Years American Mid: Hampton Inn's Good-Enough Formula for World Domination The Spying Scandal Rocking the World of HR Software The SEC Pinned Its Hack on a Few Hapless Day Traders. The Full Story Is Far More Troubling Cavs Owner Dan Gilbert Wants to Donate His Billions—and Walk Again ©2025 Bloomberg L.P. By subscribing, you are agreeing to Yahoo's Terms and Privacy Policy Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
