Plane Crashes in India With 242 on Board; LA Protests Spread
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Good morning, I'm Nathan Hager. And I'm Lisa Mateo. Here are the top stories we're following today. A developing story in India. An Air India plane reportedly headed for London's Gatwick Airport that has now been confirmed, in fact, has crashed shortly after takeoff. Bloomberg's John Tucker joins us with the very latest. John. All right, this is an Air India Boeing 787, Nathan, traveling from Ahmedabad Airport to London's Gatwick Airport. This is flight 171.

It crashed shortly after takeoff. The flight was carrying 242 passengers and crew. The airliner had reached an altitude of 625 feet, this according to data from Flightradar24. Now, social media videos also show black smoke billowing from the scene.

Afaz Ahmad Kidwawi, the Director General of the Directorate of Civil Aviation in India, is telling the Associated Press that Flight 171 crashed into a residential area called Meghani five minutes after taking off at 1.38 p.m. local time. This is a 787 Dreamliner. It's a wide-body twin-engine plane.

And supposedly the first crash ever of a Boeing 787 aircraft, this at least according to Aviation Safety Network database, way, way too early, Nathan, even to speculate about a car crash.

a cause of no indication of any foul play. But it is worth noting, we do have to note this, this comes at a time of intensified tension between India and neighboring Pakistan. And of course, all morning long, stay with us right here on Bloomberg Radio. We'll bring you any update as soon as it becomes available.

We continue to monitor the latest as well on the immigration protests in Los Angeles that have spread nationwide now. The downtown area of L.A. has been under curfew for a second night as local leaders try to stop vandalism and looting. L.A. County Sheriff Robert Luna is urging demonstrators to remain peaceful. There's a big distinction between immigration

individuals that protest and demonstrate to violent, destructive, basically anarchist. I mean, just creating that chaos. And as police try to keep the peace, the federal government is expanding its show of force. The National Guard is assisting U.S. Immigration and Customs Enforcement with immigration arrests. And Attorney General Pam Bondi says the administration is invoking the Hobbs Act to let federal prosecutors take over local criminal cases.

We're going to do everything within our legal authority to protect our law enforcement officers and all the people in California right now. Meanwhile, the Justice Department is asking a federal judge not to interfere with the deployment of Marines and National Guard in L.A. A hearing is set for this afternoon. All this as protests spread to other cities, including New York, Chicago and Milwaukee. Texas Governor Greg Abbott has promised to send the National Guard to respond to protests planned in his state this week.

And a curfew was declared last night in Spokane, Washington as well in response to protests there. Well, now it turns to the latest on the trade front, Nathan. President Trump says he's planning to send letters to trading partners within the next two weeks to set unilateral tariff rates. That move comes ahead of a July 9th deadline to reimpose higher duties on dozens of economies once the current 90-day pause expires. President Trump spoke to reporters yesterday. We're rocking in terms of deals now.

At a certain point, we're just going to send letters out. And I think you understand that saying this is the deal.

You can take it or you can leave it. You don't have to use it. You don't have to shop in the United States, as I say. So far, the White House has only reached a yet-to-be-implemented trade framework with the U.K. and a tariff truce with China. And Lisa, Commerce Secretary Howard Ludnick says the European Union is likely to be among the last deals the U.S. completes. He tells CNBC that he expects to see deals with other countries to start coming next week and the week after and the week after, in his words.

Japan's prime minister still sees a large gap between the U.S. and Japanese stances on trade talks. Now, Shigeru Ishiba is expected to meet President Trump on the sidelines of the group of seven leaders gathering in Canada starting Sunday. Ishiba says he doesn't have a particular timeline.

In Washington, debate continues over President Trump's big tax and spending cut bill. A top Republican negotiator says senators are considering a $30,000 cap on the state and local tax deduction. That would be down from the $40,000 in the House-passed bill. Republican Congresswoman Lisa McClain of Michigan says she hopes the Senate doesn't change salt too much.

The SALT caucus, which we have here in the House and they don't have in the Senate for obvious reasons, they've been pretty dug in. And I'm not here to say they're right. I'm not here to say they're wrong. But they've been pretty dug in. And that was one of our biggest issues in the House. That just can't be touched.

Michigan Republican Lisa McClain spoke on Bloomberg Television. Senate Republicans also plan to scale back some cuts to federal food aid in the House bill. The Senate's version would sell millions of acres of federal land to help pay for the measure. That move is expected to raise up to $10 billion over 10 years. Well, Health Secretary Robert F. Kennedy Jr. has named eight new vaccine policy advisors to replace the panel that he abruptly dismissed earlier this week.

They include several local vaccine critics and one who identifies as a, quote, anti-vaxxer. The move comes as Kennedy makes major changes to how immunizations are studied and administered in the U.S. and paves the way for a more skeptical approach to the use of shots that prevent deadly infections. Lisa, oil is retreating this morning following yesterday's nearly 5 percent gain. That came after the U.S. government

ordered a partial evacuation of its embassy in Iraq amid rising security risks. We get more from Bloomberg News energy reporter Anthony DePaola. If we look at that picture, it's really that risk of something happening in terms of the Middle East and in terms of an outbreak of potential violence in the Middle East between the U.S. and Iran, between Israel and Iran. That's really the risk that is pushing prices higher.

But Bloomberg Energy reporter Anthony DiPaola and this morning, the State Department is limiting travel for U.S. embassy staff in Israel, citing regional tensions. The Middle East produces about a third of the world's oil. Well, turning to the economy now, Nathan, a day after underlying inflation rose by less than forecast for the fourth month in a row. We get another key reading this morning at 830 a.m. Wall Street time. We get the May reading for producer prices. Bloomberg's Michael McKee has a preview.

Economists fooled by the benign rise in consumer prices will again look for tariff-induced inflation in today's data on what companies are charging for goods and services. Once again, the expectation is for a rise in prices in both the headline and core PPI. Easier to do in this report because both declined in April. While price increases haven't flowed into retail price tags, many companies have reported passing some or all of the tariffs onto their customers, particularly manufacturers.

While another downside surprise would cheer markets, the real impact will come when economists break down changes in individual categories to forecast the Fed's primary inflation indicator, the PCE index, out at the end of the month. Michael McKee, Bloomberg Radio. On the equity fund, shares of Oracle up more than 7% in early trading. After the bell, the company said its cloud infrastructure sales will grow more than 70% this fiscal year. Brent Thill is an equity research analyst at Jefferies.

Oracle's got their mojo back. We've said this, you know, this company was trying to find their way. They were late to cloud. They were late to cloud applications. They're a little bit late to AI, but I think they're back in the race.

Now, Jeffries analyst Brent Thill is speaking to us after the earnings report. CEO Safra Katz says that Oracle is on its way to becoming, quote, one of the world's largest cloud infrastructure companies. And repeating the breaking news this morning, Lisa, Air India says a Boeing 787 aircraft traveling from Ahmedabad to...

to London's Gatwick Airport has crashed. Local media say the Flight 171 was carrying 242 passengers and crew. Boeing shares are extending their declines in the pre-market, now down more than 5%.

Now time for a look at some of the other stories making news in New York and around the world. For that, we're joined by Bloomberg's Michael Barr. Good morning, Michael. Good morning, Lisa. Protests are growing across the country over the Trump administration's immigration raids and the federal troop response to protests in Los Angeles. The NYPD arrested several people last night in lower Manhattan. These two protesters were in New York's Foley Square. I think success is...

stopping as many people from being unlawfully taken from their families. Success is seeing people treated like human beings. Putting due process back in place, right? And actually respecting our Constitution. However, Wednesday was much calmer than Tuesday night when dozens were arrested. A New Jersey federal judge ruled the Trump administration cannot detain or deport Mahmoud Khalil for the reasons it cited.

The judge granted a preliminary injunction concluding the Columbia University graduate student would continue to suffer irreparable harm if he remains detained. Last week, the court held that Khalil, who'd been involved with student protests in support of the people of Gaza, would likely succeed in his challenge to the administration's attempts to deport him on foreign policy grounds.

Former movie mogul Harvey Weinstein has been convicted of one of the top charges in his sex crimes retrial. The jury found Weinstein guilty of engaging in a criminal sex act on Mimi Haley, but he has been acquitted of engaging in a criminal sex act on Kaya Sokolov, the more recent accuser who had come forward. Jurors were as yet unable to reach a verdict on a third charge involving Jessica Mann and will resume deliberations today.

Global news 24 hours a day and whenever you want it with Bloomberg News Now. I'm Michael Barr and this is Bloomberg, Lisa. Thank you, Michael.

When you have bars in the sky, onboard showers and award-winning in-flight entertainment, it's no surprise that Emirates was recently named the best airline in the world. We fly you to over 140 destinations and with partners across the globe, we connect you to another 1,700 cities across six continents. So when we say we're also the largest international airline, what we really mean is...

If you're going there, so are we. Book now on Emirates.com. Fly Emirates. Fly better. In business, they say you can have better, cheaper, or faster, but you only get to pick two. What if you could have all three at the same time? That's exactly what Cohere, Thomson Reuters, and Specialized Bikes have since they upgraded to the next generation of the cloud, Oracle Cloud Infrastructure.

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Time now for our Bloomberg Sports Update brought to you by Tri-State Audi. For that, we bring in John Stashower. Good morning, John. Good morning, Lisa. The Indiana Pacers yet to lose two playoff games in a row, yet to trail in a series off the Game 2 loss at Oklahoma City. The Pacers came home, got their first Game 3 win of the postseason. They beat the Thunder 116-107. They lead the NBA Finals two games to one. Benedict Matherin off the bench to lead Indiana with 27 points. OKC.com.

We'll be right back.

complete game. It came from David Peterson. He led only six hits, did not walk a batter. Brandon Nimmo homered twice. Another Yankee win over Kansas City. They are 5-0 against the Royals and 12-3 over the last two seasons, including that playoff victory. The Yanks beat KC 6-3. Six scoreless innings by Clark Schmidt and yet another home run by Aaron Judge. Red Sox top the Rays 4-3.

Early tee times this morning to begin the U.S. Open at Oakmont. Defending champion Bryson DeChambeau starts his round at 7.30. Here's DeChambeau's thoughts on the Oakmont course. You can't just bomb it on every single hole and blast over bunkers and have a wedge run up to the front of the green. You can on a lot of the holes, but not on every one of them. So I think this golf course, you have to be...

Just a fraction more strategic, especially, I mean, the rough is so long. Rory McIlroy tees off at 740 this morning. Scottie Scheffler's the big favorite. He will play this afternoon. They'll play game four of the Stanley Cup final tonight. Florida hosting Edmonton and leading the series 2-1. The Rangers are said to be close to a deal to trade Chris Kreider to Anaheim. A Ranger for 13 years, the third leading goal scorer in Ranger history. John Stanshauer, Bloomberg Sports, Lisa and Nathan.

All right. Thank you, John. Taking a look at the markets right now, we have S&P futures. They're down about three-tenths of a percent. Dow futures falling half a percent, 224 points. NASDAQ futures down three-tenths of a percent or 75 points. Going to the Bloomberg Dollar Spot Index, it's down four-tenths of a percent. Over to the yield space, we have the two-year yield, 3.93%. That's down two basis points. And the yield on the 10-year, 4.40%. And that's down one basis point.

Coast to coast on Bloomberg Radio. Nationwide on Sirius XM. And around the world on Bloomberg.com and the Bloomberg Business App. This is Bloomberg Daybreak. Good morning, I'm Nathan Hager following developing news out of Western India where an Air India flight carrying 242 passengers and crew has crashed near Ahmedabad in the western state of Gujarat.

Joining us now for the very latest is Bloomberg News aviation reporter Danny Lee. And Danny, obviously, this is a fast-developing story. What is the latest that we know so far? Good morning. Yeah, Nathan, good morning. So this is a breaking news development. So it's near India, a Boeing 787 Dreamliner, which crashed shortly after takeoff from Ahmedabad, and it was heading to London's Gatwick Airport. So it was destroyed.

taking off around roughly half past one local time in the afternoon. And there's been various videos circulated on social media, including one of the plane flying at low altitude and heading into the ground and then smoke and fire billowing.

from that. So, we have seen, though, the markets react quite swiftly and the pre-market shares in Boeing down 5.5% on this news. For investors, when you look at Boeing, it's

clearly too early to tell what has happened and what would be the cause of this crash. But at least for the moment, there will be a lot of reaction. And we have some reaction from Indian officials commenting on the crash, saying they're shocked and devastated about the accident. We have India confirming that there was an accident that had taken place today, but they don't have any further details at the moment. But

Of course, for the flight involved, it was carrying 242 passengers and crew, according to some local media reports. Yeah, certainly we could go into the struggles that Boeing has been trying to get out from under ever since the door plug blowout situation more than a year ago and the change under new CEO Kelly Ortberg. But before we get to all that, Danny, do we know anything in terms of

of the conditions on the ground, anything that could tell us what might have caused this crash? It's very hard to tell what could be the kind of contributing factors. I mean, whether it be weather, whether it be any mechanical issues with the plane, you know, what we can say is it's

plane was around 11 years old. So it's not too new, not too old. It's somewhere in the middle, basically. But for the Boeing 787 aircraft, it would mark the first whole loss in the entire time it has entered service, which is now many, many years.

What do we know about the condition of the fleet of Air India's Boeing lineup? Is it an aging fleet? Is it relatively new?

Well, for Air India, it has been going through an extensive overhaul of its fleet. Its existing fleet right now is aging. It's not to say that they don't keep their planes in good condition already, but they are investing a lot of money buying a lot of new Boeing and Airbus aircraft in order to

overhaul its fleet and also to expand. So, under new ownership, under coming in, being privatized from, coming from state ownership under the Tata Group, it has undergone a huge amount of investment. And it's just time it takes to get those planes, new planes in particular, delivered. But it has been working through that process and a multi-year process at that.

And as we continue to monitor the situation, we're getting further confirmations from more sources about the fact that this has happened. We just saw a post on X from London's Gatwick Airport, which is the destination of Air India Flight 171, confirming on its end that that plane was due to land at London Gatwick later on this evening local time. So further confirmation that at least that flight was

was at the center of this. Danny, of course, I know your background is in aviation, but it can't be ignored that this is coming just a couple of weeks after pretty heightened tensions between India and Pakistan as well. Obviously, we're

really at a very early stage in terms of trying to figure out the cause of this, whether it was something mechanical or something more nefarious. But that could enter into the conversation as well as we start to gather more details and facts on the ground.

Yeah, I think the authorities will be looking at a whole wide range of information at this stage. No one would be in a position to rule out anything until particularly they start to locate and recover the so-called black boxes. These are the information, you know, the flight data recorder, the cockpit voice recorder that would give all the, you know,

necessary clues to understand what happened to this aircraft. But yes, as you alluded to, there has been heightened state of tensions in recent weeks between India and Pakistan, although of late, tensions have calmed down, particularly as U.S. President Donald Trump has intervened, and there has been a cessation of hostilities in particular.

This is Bloomberg Daybreak, your morning podcast on the stories making news from Wall Street to Washington and beyond. Look for us on your podcast feed by 6 a.m. Eastern each morning on Apple, Spotify, or anywhere else you listen. You can also listen live each morning starting at

5 a.m. Wall Street time on Bloomberg 1130 in New York, Bloomberg 99.1 in Washington, Bloomberg 92.9 in Boston, and nationwide on Sirius XM Channel 121. Plus, listen coast to coast on the Bloomberg Business app, now with Apple Podcasts.

CarPlay, and Android Auto interfaces. 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 Nathan Hager. And I'm Lisa Mateo. Join us again tomorrow morning for all the news you need to start your day right here on Bloomberg Daybreak.

Thrivent can help you plan your finances for the people, causes, and community you love. What makes Thrivent different? Financial services and generosity programs are combined to help you build the financial roadmap for the future.

while also creating opportunities to give back along the way. Visit Thrivent.com to learn more. Thrivent, where money means more. How can you grow your business from idea to industry leader? Bring your vision to life with smart business buying tools and technology from Amazon Business. From fast, free shipping to in-depth buying insights and automated purchase approvals, they deliver everything you need to achieve your goals.

It's not easy to stand out from the crowd. Simplify how you stock up to get ahead. Go to AmazonBusiness.com for support.

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