Trump Leaves G-7 Early; Oil Rises With Iran in Focus
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plus taxes, fees, and economic adjustment charge. Terms apply. For J.D. Power 2024 award information, visit jdpower.com slash awards. Bloomberg Audio Studios. Podcasts. Radio. News. Good morning. I'm Nathan Hager. And I'm Karen Moscow. Here are the stories we're following today. Karen, we begin with breaking developments from the G7 meeting in Canada. President Trump has left the summit early, hours after calling for the evacuation of Iran's capital, Tehran.

In a social media post, the president said his departure had nothing to do with a ceasefire between Israel and Iran, that it's much bigger than that. Speaking to CBS aboard Air Force One, the president said he wants a real end with Iran giving up entirely on nuclear weapons. I gave Iran 60 days and they said no. And the 61st year, so what happened? Day 61. So I'm in constant touch.

And as I've been saying, I think a deal will be signed or something will happen, but a deal will be signed. And I think Iran is foolish not to sign one. And Axios is reporting that President Trump's top Middle East envoy, Steve Witkoff, might meet Iran's foreign minister later this week.

Nathan, before leaving the G7, President Trump and UK Prime Minister Keir Starmer agreed on a deal to implement their tariff cutting agreement announced last month. The deal will slash U.S. tariffs on key British exports and raise UK quotas on certain American agricultural products. Here's the moment the two leaders signed off on the deal at the G7 summit.

This is a very good day for both of our countries, a real sign of strength. So thank you again, Donald. A really important day for both of us. Great people. Great people. Aerospace and steel exemptions are also in the deal, though a quota on UK steel tariffs will be decided at a later date. Now, Karen, let's get to the latest developments on the conflict between Israel and Iran. The Israeli military says it's killed one of the Iranian regime's most senior commanders, General Ali Shadmani.

had only recently assumed the role of chief of staff following the death of his predecessor in a prior Israel Defense Forces airstrike. We get more from Bloomberg News Jerusalem correspondent Dan Williams.

This is a general who was actually field promoted over the weekend to replace the chief of staff killed in the opening salvo by Israel. The opening salvo that came like a bolt out of the blue for everyone, given the high degree of operational secrecy, the apparent high degree of success. And it shows that Israel is methodically cutting down the top brass as part of its operation to decapitate the Iranian military, along with the Iranian missile program and nuclear program.

Bloomberg's Dan Williams says both sides continue to exchange strikes. Iran has launched around 370 ballistic missiles toward Israel, killing 24 people, injuring almost 600. Iran says more than 200 have been killed by Israel's strikes.

Nathan, two tankers collided in waters off the United Arab Emirates and caught fire in the early hours, rattling global oil and shipping markets that have been closely monitoring the latest developments in the Middle East. The incident is apparently unrelated to the ongoing fighting between Israel and Iran with

No foul play suspected. And checking oil right now, NYMEX crude oil is up eight-tenths of a percent. It's at $72.39 a barrel, while Brent is at $73.94, up one percent. And Karen, the fighting continues between Russia and Ukraine. Overnight, Russia carried out one of its deadliest attacks on Ukraine's capital this year. At least 14 people were killed in Kiev, another 44 injured.

as Russia unleashed hundreds of drones and dozens of missiles across the country. It is the deadliest attack on Ukraine since at least April, but President Trump is indicating he's in no hurry to impose tougher sanctions on Russia to bring it to the negotiating table. Sanctions cost us a lot of money. When I sanction a country, that costs the U.S. a lot of money, a tremendous amount of money. It's not just, let's sign a document. The president spoke on the sidelines of the G7 before his abrupt departure.

Nathan, on Capitol Hill, the Senate has released its version of President Trump's massive tax cut bill. The legislation preserves the president's first-term tax cuts and creates several new breaks that he promised on the campaign trail, including an end to taxes on tips. It also calls for deeper cuts to Medicaid than the House passed measure and raises the debt ceiling to $5 trillion rather than $4 trillion.

One thing missing from the bill is a deal on state and local tax deductions. It includes the current $10,000 cap as a placeholder. Republican Senator Josh Hawley of Missouri says the bill needs a lot of work. He says the Medicaid cuts would close rural hospitals.

Senate Majority Leader John Thune is hoping to vote on the bill next week to meet a July 4th deadline for the legislation to reach President Trump's desk. And Karen, the Senate tax bill would also expand a credit from former President Joe Biden's Chips and Science Act. The measure would raise the tax credit for investing in semiconductor plants from 25 to 30 percent. If passed, it would give chip makers even more incentive to break ground on new facilities in the U.S. before the current 2026 deadline.

Nathan, a legal victory for the Trump administration in its fight with Columbia University over funding following a series of pro-Palestinian protests on campus. And Bloomberg's Lisa Mateo joins us with more. Lisa, good morning. Good morning, Karen. Yeah, a lawsuit filed by two unions looking to stop the withholding of $400 million in federal funds from the university. Well, it's been dismissed. A judge ruled that the American Association of University Professors

And the American Federation of Teachers didn't have the right to take legal action as it's an issue between the school and the Trump administration. And that Columbia is looking to resolve the situation cooperatively. Now, President Trump and Education Secretary Linda McMahon, they previously suggested that negotiations with Columbia, they were headed in the right direction. Now, those unions have filed a notice that they will appeal.

appeal. Lisa Mateo, Bloomberg Radio. Lisa, thank you. Citadel founder Ken Griffin has praised the Trump administration for pushing back against cultural dynamics he thinks have divided America. In a wide-ranging interview on the new Bloomberg original show Bullish, hosted by Shinali Basik, the major Republican donor shared his views on President Trump and his alma mater, Harvard University.

Look, I think what had happened at Harvard, which was the rise of wokeism, a focus away from traditional values and education, the emergence of a cancel culture, the anti-Semitism that we witnessed on campus, was part of a larger dynamic that was gripping American culture. And I think one of the great parts of the Trump administration has been the pushback

on wokeism and on some of the cultural dynamics that I think really polarizes us as a nation. And you can watch the extended Bullish interview with Ken Griffin on Bloomberg.com. Tune in to new episodes of Bullish every Tuesday at 6 p.m. Wall Street time starting tonight on Bloomberg Television.

Let's turn to the markets now, Nathan, and futures are lower ahead of the Tuesday session and gold's record run may be petering out. We get more on that with Bloomberg's John Tucker. John, good morning. Good morning, Karen. Citigroup analysts expect gold to sink back below $3,000 an ounce in the coming quarters. They say the slump is going to be driven by weaker investment demand, improving global growth and future rate cuts by the Fed.

Bullion has soared almost 30% this year, setting a record in April as President Trump's disruptive trade policies and the crisis in the Middle East increased demand for Haven assets. In the meantime, there's a new survey out as well. A record share of the world's central banks plan to accumulate more gold overall.

Over the next 12 months, this is a survey of 72 monetary authorities by the World Gold Council. 43% said they expected their gold reserves to increase. And that's actually the highest figure in eight years. In New York, I'm John Tucker, Bloomberg Radio.

Time now for a look at some of the other stories making news in New York and around the world. And for that, we're joined by Bloomberg's Michael Barr. Michael, good morning. Good morning, Karen. Prosecutors say the man charged with killing one Minnesota lawmaker and wounding another had dozens of apparent targets, including officials in at least three other states.

U.S. Attorney Joseph Thompson says Vance Belter made it to the homes of two other legislators on the night of the attacks, but one was not home and the suspect left the other house after police arrived. It is no exaggeration to say that his crimes are the stuff of nightmares. Belter stalked his victims like prey.

Federal prosecutors have charged Belter with murder and stalking. He also faces state murder charges. Prosecutors in the Sean Diddycombe sex trafficking trial could likely rest their case as soon as tomorrow. The defense has signaled it has as many as three witnesses lined up to testify beginning Friday. Legal experts say the rap mogul is unlikely to take the stand.

former prosecutor Bernarda Villalua. There were a lot of evidentiary rulings that didn't go in a prosecution's favor because they were missing a link here or there. But if the defendant were to testify, then guess what? You're my missing link and I can confront you with what I wasn't able to be able to get into evidence.

Former prosecutor Bernard Villalona spoke to ABC. Yesterday, jurors saw videos of the alleged sex marathons. In Paris, the Louvre Museum failed to open on time Monday, leaving thousands of visitors stuck in long, unmoving lines. A union rep said the staff at the world's most visited museum are protesting working conditions.

Global news 24 hours a day and whatever you wanted with Bloomberg News Now. I'm Michael Barr and this is Bloomberg, Karen. All right, Michael Barr, thank you. 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.

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Starting price for 25 megabits per second LTE internet plan with smartphone plan savings, plus taxes, fees, and economic adjustment charge. Terms apply. For J.D. Power 2024 award information, visit jdpower.com slash awards.

Time now for the Bloomberg Sports Update brought to you by Flushing Bank. And here's Dan Schwartzman. Dan, good morning. Good morning, Karen and Nathan. The Oklahoma City Thunder moving to within a win of being crowned NBA champions after a 120-109 win over the Pacers to take a three games to two series lead. SGA to drive. Back out the door. Right side. Jalen Williams a three. Williams knocks it down.

That's courtesy of ESPN. Williams leading all scorers with 40 points for the Thunder. OKC looking to wrap up the series Thursday night in Indiana. Major League Baseball Yankees have now lost four straight. Bombers falling to the Angels, 1-0 in 11 innings in the Bronx. They extend their scoreless streak to 20 innings. Elsewhere, Red Sox shut out the Mariners 2-0. Rays dominate the Orioles 7-1. Nationals lose to the Rockies 6-4, while the Dodgers double up the Padres 6-3.

First place Mets are back in action tonight after an off day as they open up a three game series at the Atlanta Braves. Red Sox president and CEO Sam Kennedy and chief baseball officer Craig Breslow facing the media Monday evening defending the team's decision to trade star third baseman Raphael Devers to the San Francisco Giants on Sunday. Kennedy and why the deal was made. You know, in the end, I think it's pretty clear that we we couldn't find alignment with Rafi is the truth. We

We all worked at it over the last several months going back to the offseason. That's Kersey of the Boston Red Sox. Stanley Cup final game six tonight. The Panthers looking to win their second cup in a row. They host the Oilers, the Florida leading the series three games to two. That's your Bloomberg Sports Update. I'm Dan Schwartzman, Karen and Nathan.

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. It is a morning of a G7 minus one. President Donald Trump has just arrived back in Washington. Air Force One landing at Joint Base Andrews outside the nation's capital.

After his abrupt exit from the Group of Seven leaders summit in Canada, he says to deal with the Israel-Iran conflict. You probably see what I see, and I have to be back as soon as I can. We're going to have dinner with these wonderful leaders, and then I get on the plane and I have to be back early for obvious reasons.

That was President Trump with a family photo in Alberta. Now that the president is back, how to deal with the situation in Iran. For that, we're joined now by Bloomberg News Senior Editor Bill Ferrys. For more on that and Bill, we heard a lot of comments from President Trump aboard Air Force One. This idea that he might be looking toward a ceasefire. President says he wants more than that. How to take that? Good morning.

Yeah, thanks for having me, Nathan. It is hard to read the tea leaves right now on President Trump's comments about Iran. He lashed out at the French President Macron for saying that he was leaving early to work on a ceasefire. He says he wants a full deal that addresses Iran's nuclear program.

He has warned residents of Tehran to leave the capital. So it's not really clear where exactly this is headed. Aboard Air Force One, he also said that he might send J.D. Vance or his Middle East envoy, Steve Witkoff, to deal with the Iranians.

What he did seem certain about is he said that there's been no sign of a let up either from the Iranian side or the Israeli side when it comes to these barrages of missiles and bombs that we've seen both sides lobbing at each other. So the conflict obviously into its fourth day now.

with tensions still high. And it was a big focus of the G7 meeting, but I think leaders had hoped to discuss a lot of other issues as well before the president's departure.

Before we get to some of those issues, it sounds like cross purposes to some extent when you have the president warning that everyone should leave Tehran on social media and then saying he might send some of his top envoys to to negotiate. At the same time, I saw a headline from Air Force One that the president says he's not in a mood to negotiate with Iran. A lot to take in this morning.

It's a lot to absorb. I think it was just about 24 hours ago or so that he said he thought Iran and Israel will just have to fight it out for a while before they get to a deal. He's repeated this idea that he says Iran should have taken some sort of unspecified deal before the Israeli attacks, that they would have been better off for doing so.

He has not ruled out U.S. involvement, but when he was pressed about whether the U.S. involvement would be needed to eliminate Iran's nuclear program, he said that he hoped the Iranian nuclear program would be taken care of before the U.S. ever had to get involved.

Quite a bit to kind of weigh there in your hands. But the president essentially saying his departure from the G7 was because he wanted to get back to Washington to to be able to more fully stay on top of the events in the Middle East. So in our last 30 seconds, Bill, where does this leave the G6? I guess we could call it now.

Well, there had been a lot of hopes by leaders to strike some trade deals. The UK got a little bit of an extra step. The two sides agreed to move forward on that framework deal they signed a month ago. Japan did not get a deal despite a meeting between their leader and Donald Trump. And India was kind of left out in the cold. Narendra Modi didn't get the meeting he had planned on.

with Trump to discuss trade. So the abrupt departure has it having some consequences on the trade agenda. 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.

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 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 Karen Moscow. And I'm Nathan Hager. Join us again tomorrow morning for all the news you need to start your day right here on Bloomberg Daybreak.

Switch to Verizon Business and get more from your internet without paying more for your internet. Get LTE Business Internet starting at $39 a month when paired with select business mobile plans. That's unlimited data and with it, unlimited possibilities. Start saving today with Verizon Business. Ranked number one in small business internet customer satisfaction by J.D. Power. Starting price for 25 megabits per second LTE internet plan with smartphone plan savings plus taxes, fees, and economic adjustment charge.

Terms apply. For J.D. Power 2024 award information, visit jdpower.com slash awards. Every business starts with an idea. How can you go from daydreamer to industry leader? Amazon Business accelerates your journey. With smart business buying, get everything you need to grow in one familiar place. From office supplies to IT essentials and maintenance tools. Amazon Business takes the buying experience you know and love from Amazon, plus tools that help you save costs and make insights-based decisions.

Ready to bring your visions to life? Learn how at amazonbusiness.com. AI is redefining what's possible for your business. With more unique challenges to solve and higher stakes than ever, Microsoft helps you stay ahead.

Our trustworthy AI tools and guidance can empower leaders like you to drive greater impact. And with Azure's simplified platform management, we're helping businesses go further, faster, unlocking up to 150% improved output. Whatever challenge comes next, let Microsoft help you keep pushing forward. For more details, visit microsoft.com slash challengers. This is an iHeart Podcast. ♪