Treasury Alleges Hack from China; Mike Johnson Speakership Uncertain
Bloomberg Daybreak: US Edition
Deep Dive
What was the nature of the cyberattack on the U.S. Treasury Department?
Chinese-based hackers accessed Treasury Department workstations and unclassified documents by compromising a third-party software provider, BeyondTrust, which has contracts with federal agencies including the Department of Defense and Justice.
Why is Mike Johnson's reelection as House Speaker uncertain?
Mike Johnson faces uncertainty due to a thin GOP majority, with some Republican representatives signaling they may not support him. He can only afford to lose one GOP vote, as Democrats are expected to vote for Hakeem Jeffries along party lines.
What are the plans for Jimmy Carter's national day of mourning?
Jimmy Carter will lie in state at the Georgia State Capitol over the weekend, followed by a funeral procession in Washington, D.C., where he will lie in state at the U.S. Capitol. President Biden is expected to deliver a eulogy on January 9th.
What is the Chinese government's response to the hacking allegations?
The Chinese embassy in Washington dismissed the claims as smear attacks without factual basis, urging the U.S. to stop using cybersecurity to slander China and spreading disinformation about Chinese hacking threats.
What are the economic growth expectations for China in 2024?
President Xi Jinping expects China's economy to expand around 5% in 2024, with services activity growing at the fastest pace in nine months and manufacturing expanding for the third consecutive month.
What are the concerns regarding Mike Johnson's potential speakership?
Some GOP representatives oppose Mike Johnson due to concerns about government spending. A tight majority and potential defections could complicate legislative efforts, including tax code renegotiation and debt ceiling management.
What is the significance of the third-party software provider in the Treasury hack?
BeyondTrust, the third-party provider, serves multiple federal agencies, raising concerns about broader vulnerabilities. Its compromise allowed hackers to access Treasury systems, highlighting risks in relying on external vendors for cybersecurity.
What is the global population estimate for January 1, 2025?
The U.S. Census Bureau estimates the global population will be nearly 8.1 billion on January 1, 2025, reflecting a 0.9% increase from 2024, with the U.S. population reaching 341 million.
What are the market trends at the end of 2024?
Global equities are on track for their first quarterly loss of 2024, with the S&P and Nasdaq each declining over 1% in recent sessions. Despite this, the S&P gained more than 20% for the year, driven by mega-cap tech stocks.
What are the security measures for New Year's celebrations in New York City?
Mayor Eric Adams has increased NYPD presence, including canine teams, drones, boats, and helicopters, to ensure safety for Times Square celebrations, with no specific threats reported.
- Chinese hackers accessed US Treasury workstations and unclassified documents
- Access was gained through third-party software provider BeyondTrust
- Chinese embassy denies accusations, calling them smear attacks
- Incident further complicates US-China relations
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