Trump-Putin War Summit, US Regional Banks Tumble, Mark Carney Talks Power | Bloomberg Daybreak:…
Summary
Geopolitical Developments: Donald Trump plans a second summit with Vladimir Putin in Budapest to discuss ending the Ukraine war, despite previous meetings yielding little progress.
Banking Sector Concerns: Shares in US regional banks, including Zion and Western Alliance, fell sharply due to fraud-related loan issues, highlighting potential wider credit risks.
Market Reactions: Global stock indices are down, with investors moving towards safer assets like government bonds and gold, amid concerns over lending standards and economic stability.
Failed Acquisition: BBVA's 16 billion euro bid for Bank of Sabadel was rejected by shareholders, ending a prolonged takeover attempt and impacting BBVA's strategic expansion plans.
US Tariff Adjustments: The US is preparing to ease auto industry tariffs, potentially extending levy reductions for imported car parts, following lobbying from car manufacturers.
Political Insights: Nigel Farage's stance on Russia has hardened, advocating for shooting down Russian jets in NATO airspace, reflecting a shift in his foreign policy approach.
Economic Strategy: Canadian Prime Minister Mark Carney discusses economic transformation goals, emphasizing diversification of exports and self-sufficient supply chains.
Podcast Launch: Bloomberg introduces "The Michelle Hussein Show," featuring in-depth interviews with political and cultural figures, aiming to provide reflective insights on current issues.
Transcript
[Music] Bloomberg Audio Studios podcasts radio news. This is the Bloomberg day podcast. Good morning. It's Friday the 17th of October. I'm Caroline Hepka in London >> and I'm Steven Carroll in Brussels. Coming up today, Donald Trump undercuts Ukraine's push for more weapons with plans for another summit with Vladimir Putin. Shares in US regional banks tumble as traders sell first and ask questions later after two lenders say they were victims of fraud. Plus, Bloomberg's Michelle Hussein joins us to discuss her new show and the lessons Mark Carney has learned from watching the US president. >> Let's start with a roundup of our top stories. >> US President Donald Trump says he will hold a second meeting with Russian President Vladimir Putin within 2 weeks or so aimed at ending the war in Ukraine. The two leaders agreed to meet in Budapest after a two-hour phone call yesterday. Trump later expressed optimism that the summit could result in a ceasefire, even though the pair's August meeting in Alaska failed to yield a result. He told reporters in the Oval Office the meeting had been positive. >> I thought it was a very good phone call. I thought very productive, but I'll be meeting with President Putin and uh we'll make a determination. Tomorrow I'm meeting with President Zilinski and I'll be telling them about the call. I mean, we have a problem. They don't get along too well, those two, and it's sometimes tough to have meetings. So, we may do something where we're separate, but separate but equal. >> Trump's comments came ahead of that meeting with President Vladimir Zalinski in the White House. The Ukrainian leader is hoping to persuade Trump to allow his forces to use long range Americanmade Tomahawk missiles. Now, President Trump's latest attempt at brokering peace comes as Canada's Prime Minister Mark Carney has been speaking to Bloomberg's Michelle Hussein. He tells her NATO should keep all options open if Russia violates its airspace and do what's necessary to protect the alliance. Carney says Russia's use of jets and drones over European members of NATO should be viewed as a sign of weakness, not strength. >> Russia's under pressure. Russia's under pressure. They're trying what they can to shift, but they're under economic pressure. Their military situation, they were making some progress over the course of the summer. That progress has stopped. >> The conversation with Carney came as Michelle Hussein also spoke to Nigel Farage, the leader of Britain's pole topping reform UK party. Farage sought to ward off criticism that his views on Moscow could threaten his bid to become prime minister in the UK. He says that President Putin is irrational. Blakes's Michelle Hussein asked Nigel Farage if he would back shooting down Russian jets that enter NATO airspace. >> So if you were prime minister and NATO jets uh entered Russian jets entered NATO airspace. Where do you stand on that? Do you think they should got to shoot them down? >> No questions. Whatever that does, however much that inflames tension, you're trying Russia needs to be taught a lesson. Listen, >> love you're trying so hard. I'm the only person in the world, I think, that stood up in the European Parliament in 2014. And do you know what I said? There will be a war in Ukraine. It's coming. I'm the only person that got it right. >> And you can hear all of Michelle's latest interviews. Just listen and subscribe to the Michelle Hussein show from Bloomberg Weekend, wherever you get your podcasts. Shares of two regional banks in the United States tumbled after they said they were victims of fraud on loans to funds that invest in distressed commercial mortgages. Shares in Zion sank 13% and by 11% for Western Alliance. That helped send the KBW bank index down by the most in 6 months. The selloff adds to other recent loan blowups such as at subprime auto lender Holdings and auto parts maker First Brands Group. Bloomberg's Sally Bakewell referenced JP Morgan CEO Jaime Diamond's warning that those recent bankruptcies could signal more credit problems could emerge. >> Diamond said, "You know, when you see one cockroach, there are probably more." And actually, the news that both Zans and Western Alliance are dealing with problematic loans um amid fraud allegations shows that Diamond was probably right. Bloomberg's Sally Bakewell speaking there as analysts say the losses from loans are manageable for large lenders but more troubling for smaller banks. BBVA's 16 billion euro bid for Bank of Sabadel has failed after nearly 3/4 of shareholders rejected the offer. Investors offered slightly above a quarter of Sabadel's voting rights. That was well short of the 30% threshold BBVA needed to be able to move forwards according to Spain's markets regulator. Now, the result ends a takeover saga that has been going on for 17 months. It's a major setback to BBVA's chairman Carlos Torres, whose first takeover attempt of Sabadel 5 years ago, also fell apart. A deal would have created a domestic banking giant to rival Santandere and helped BBVA balance out its reliance on Mexico, Latin America, and Turkey. Donald Trump's former national security adviser, John Bolton, has been indicted over claims he mishandled classified documents. He was charged with 18 counts by a federal grand jury in Maryland and federal prosecutors secured an arrest warrant. Bolton has previously denied mishandling classified information. Our White House correspondent Kate Sullivan says this is the latest in a series of similar rulings. This indictment comes, you know, just weeks after uh indictments against Jim Comey and Leticia James. After Comey was indicted, Trump suggested that there were more people his administration were targeting. Clearly part of a retribution campaign that Trump has been signaling for a long time now. >> Kate Sullivan there. Trump told reporters on Thursday that he hadn't reviewed the case against Bolton, but described his former adviser as a bad person. Now, the White House is also preparing to ease auto industry tariffs after lobbying from car makers. An expected 5-year extension allowing manufacturers to reduce what they pay in levies for imported car parts could be announced as soon as today by the Commerce Department. The news comes as President Trump announced a deal with Germany's Merc to cut the price of its fertility medicines in exchange for relief from threatened tariffs. The discount was slash more than $2,000 from the cost of that treatment. So those are some of our top stories for you this morning. In terms of the markets today, so the worries around lending standards really impacting markets. The MCI Asia-Pacific index this morning is down by 8/10en of 1%. Financial companies amongst the biggest losers. European stock futures are also down significantly selling off by 9/10en of 1%. US stock futures also in the red. investors seeking the safe haven of government bonds. 10-year US Treasury yields are now below 4%. Gold, though, has hit another record high along with other precious metals and a gauge of the dollar set for its worst week since late July. So, the Bloomberg dollar spot index is down a tenth of 1% this morning. >> In a moment, we'll bring you more on Donald Trump's plan to meet Vladimir Putin in Hungary, while we'll also be speaking to Michelle Hussein to discuss her interviews with n with Mark Carney and Nigel Farage. But another story that we've been reading this morning, a bit of Friday morning nostalgia from our UK pursuits correspondent Sarah Rapaort. She's been writing about how the love of the '9s uh is apparently everywhere now. Not just Oasis doing a reunion tour, but it's turning up in art. It's turning up in fashion as well. And it's something that is, you know, seems to be catching a bit of attention. >> Yeah, absolutely. Look, we're revisiting all things ' 90s. Um Sarah talking about authors and commentators pinpointing the '9s as being special because it was the end of the analog age basically before the internet took hold. So I really like that thought. I mean only a few months ago I went to see the retrospective of the face magazine. Do you remember that one? Oh yeah. It was at the National Portrait Gallery. >> That was in spring. I did think it was amazing. I took away from it though that they rather recast the magazine's legacy with a big focus on kind of what is happening today. Diversity, equity, and inclusion championing women in diversity, which I think is also comes with a bit of a warning. You're you're seeing the '9s through today's lens. >> Well, of course, while you were at a highbrow art exhibition, I went to see the cores and Natalie and Bruier in my '90s reunion tour, and I was also very pleased by that, I have to say. But I mean, one of the things that uh Sarah picks up from her interviews for this article as well is the trend of parents installing landlines for their teenagers rather than having access to smartphones. Have you heard of anyone doing this? >> No, I've heard of big phones, but no, no, no. Landlines are definitely not coming back, but yeah, nice try. >> Yeah. All right. You can read Sarah's piece on bloomberg.com. We'll put a link to it in our podcast show notes as well. >> Now, let's bring you more on our top story. Donald Trump announcing another meeting with Vladimir Putin. This time in Budapest aimed at ending the war in Ukraine. Tony Halpin who leads Blake's team covering Russia joins us now for more. Tony, good morning. What do we know about the plan for this meeting? It looks like a growing rush, a willingness to talk again and again to Putin. What could it achieve? >> Yes, good morning. Well, so far we know that Trump says he plans to meet with Putin in a couple of weeks or so and that they'll have preparatory talks involving higher level officials next week. Um, as you note, uh, Trump and Putin are increasingly talking to each other. They met in August in Alaska. Um, they've had, uh, according to the Kremlin, eight phone calls so far. Um, but it hasn't really produced very much in terms of pressure on Russia to end its war. And in fact, you could say that, um, it's part of a Russian strategy really to engage with Trump at moments where they see that there may be a prospect of increased US pressure in terms of sanctions or willingness to send weapons to Ukraine. And that seems to be the case this time as well. >> But has anything's changed since the leaders last met in Alaska? >> No, very little. I mean, I think people came away from the Alaska summit with the view that Putin had got a win because he traveled to US soil and had his first summit meeting with Trump of of the of the US president's second term. But there was nothing really concrete that came out uh to bring an end to the violence. And in fact, Russia stepped up its bombardment of Ukraine after that summit meeting. So it's a big question really whether Budapest will will produce something different. What do you think the development means for Ukraine? We have of course President Zalinsky who's meeting President Trump today. >> Yes. And this I think is is part of the the timing of the call from the Kremlin's point of view. Zalinski has come has come to Washington with a shopping list of of asks really in terms of weapons, air defense weapons in particular, an offer to to cooperate with the US on things like drone production. Uh but also there was a lot of talk about uh the US uh supplying Tomahawk missiles to Ukraine and that was an issue that came up in yesterday's talks between Trump and Putin and and Trump made clear that Putin didn't like the idea and uh he himself began to sort of row back from it saying that the US also needed its supplies of tomahawks. So in that respect, I think the Kremlin was very focused on on putting some doubt in the US minds about the uh the the willingness and wisdom of of giving tomahawks to Ukraine. >> Tony, what's the significance of Budapest as the location for this meeting? >> Yes, it's a very interesting one. Let's let's not forget that um the Hungarian leader Victor Orbin has been uh the most Kremlin friendly of leaders in the European Union. But from a Russian perspective, you know, Hungary is in the EU. Um it's also in NATO. Putin is very concerned for his security and has been quite reluctant um to engage with what Russians consider to be enemy territory. And there's a simple practical difficulty that the EU has closed its airspace to Russian aircraft and Russian leaders since the start of the war. So that immediately makes it somewhat difficult for Brussels because they're going to have to uh comply with requests to open up the airspace. And Putin's going to land in Europe while the war is still going on. And that from the Brussels point of view doesn't look very good. From Victor Orbin's point of view, it's a win because he's very often at odds with uh the majority of his fellow members in the EU about policy towards Russia and he'll be able to say, "Well, look, here I am hosting Trump and Putin for peace talks." >> Yeah, absolutely. Tony, thank you so much for being with us and updating us. Tony Halpin, who leads Bloomberg's team covering Russia. Thank you. Stay with us. More from Bloomberg Dayb coming up after this. Now, reform UK leader Nigel Farage has criticized Vladimir Putin as irrational and backed shooting down Russian jets that enter NATO airspace. He's been speaking to Bloomberg for the Michelle Hussein show and Michelle joins us now for more. Michelle, good morning. Great to have you with us. You were speaking to Nigel Farage at this key time given the news of the Trump Putin meeting. Put in context for us, how big a change is this and Nigel Farage's position towards Russia? What we've released is a little preview out of what Nigel Farah says to me for a forthcoming episode of the podcast. And essentially, this is a significant change of tone. It's a hardening of tone. He is someone who's leading in the polls and therefore if there was an election today, he would be likely to become prime minister. He's always been dogged by these questions of once having said that he admires Putin. He said he was only speaking about that in very narrow terms. But he's also said um previously that he thinks that um Putin was provoked into the war in Ukraine. So now the fact that he is um talking about shooting down Russian jets if they're in NATO airspace and uh and the and the fact that he thinks Putin is a very bad dude. This this is significant. And it's interesting that he also said to me he does believe that Donald Trump is going to start supplying Tomahawk missiles to to Ukraine in the coming months. That's as you said something that Trump says he's still thinking about but deliberating on. >> Yeah, I think it's a really interesting line that you got from from Nigel Farage and I suppose it goes to these questions about the type of strongman politics that we're seeing really in so so many places. So I think that is fascinating in terms of the conversation then that you had with Canadian Prime Minister Mark Carney. Obviously we know him well here in the UK. um he's really turned around the fortunes of Canada's Liberal Party in order to win that general election that surprised so many people at the time. He has had to deal with Donald Trump perhaps even to thank him for that win. How does he feel about the US president now? >> Well, I asked him exactly that and he's very clear about you know he saw a gap in leadership. He stepped in and Canada chose him rather than he's got anything to thank President Trump for. I think the link between the two conversations is that when you talk to people at length, these are 40inute conversations. You can hear the whole of the Mark Carney one and if you subscribe, you'll get the Nigel Farage one as soon as it's released. But because you have that kind of time, you can get into the personal side of it as well as the political and the issue side of it. And let's be clear, Mark Carney is dealing with having to transform Canada's economy. Threearters of its exports currently go to its southern neighbor. He wants to export more east and west. He wants to make supply chains much more self-sufficient. So there's a big economic transformation that is beginning. But on the personal side, I did ask him whether he had learned anything from President Trump. And this is what he said. We always learn things from from people. I've learned that the value I don't fully subscribe to this, but I see the effectiveness. the value of the term they would use is flooding the zone of doing multiple things at the same time and the effectiveness that can have. I think that he has a very effective way in his own almost unique manner of framing issues and of dominating the agenda if I can put that way as well. >> So there you have it. Trump as communicator Trump as I mean he used Carney used the term flooding the zone. So I think I I think that's that's the kind of scope there is in this conversation that we do pivot from the the personal to the to the much tougher aspects of this. But of course even the personal is quite tricky because leaders like Carney have to be a little careful in what they say about what they might have learned from someone like Donald Trump. Well, speaking of one of the bigger issues that you got into in that conversation with Mark Carney, climate Mark Carney, a former UN climate envoy, now running a country that's a major fossil fuel producer. How does he balance those two things? >> I was really interested in this, Stephen, because the last time that I spoke on air to Mark Carney was at the Glasgow climate conference and he was a UN envoy on climate action and now he is leading a major oil and gas producing economy. So I asked him about the fact that he canled a consumer carbon tax on day one of being in office and there's also a big debate in Canada about about the future of the oil and gas industry and about an emissions cap that was planned and whether it's still going to come in and essentially he acknowledges in a way that you see you do see things in a slightly different way from these two vantage points but he emphasizes the words he uses is I'm still that guy because We we play him in the podcast a bit of um how he has spoken before about the tragedy of the horizon, how short-term thinking is what is what affects action on climate change. So there is an interesting contrast and I think as the podcast goes on and we speak to people who have had different roles in their times, this is probably a theme we'll come back to. How does the world, how do things look different? And I love that, you know, going to that point, your written pieces, your interviews have that lovely clever trick where you get to add and annotate what the interview has to say and refer back to things. If you read Michelle Hussein's, you know, as I say, the the long form essays that you put out for the weekend >> for Bloomberg subscribers. Yes. And often actually, Caroline, also you'll see what I was thinking. Sometimes I'm saying this is why I asked this question or this is how I felt when they answered the question in this way or we were coming at this from two very different vantage points. So it is yes if you look at the tech side of the Q&A then you will get um you will you will get a different kind of insight >> but we're not getting full technical of course because it's in the podcast. Um what else are we going to be hearing about then in future episodes? I mean you've teased us beautifully with Nigel Farage already interview. Well, what I would say is that while these first two, Mark Carney and next week, this time next week, the Nigel Farage episode will be released in full on the Michelle Hussein show. These two people are newsmakers. They're political figures. But this podcast is absolutely going to be a place for ideas and culture. So, we have got writers coming up. We've got thinkers coming up. And I do feel that in this very tricky world in so many ways where we have an overload of information because this is a weekend listen. I hope that this is going to be a place where people can step back and make sense of the week or an issue more widely and be a bit more reflective. >> Yeah, I think that sounds lovely. I'm getting ready to >> Perfect compliment to Europe at Daybreak. >> Oh, Michelle, lovely. It's so nice to see you. Uh, and really great to hear all of these conversations and to speak to you in person. Thank you so much for coming in. Well, you of course you can listen to the full conversations between Michelle Hussein and the Canadian Prime Minister Mark Carney. Just search the Michelle Hussein Show wherever you get your podcasts and we will put a link to it in our show notes. >> This is Bloomberg Daybreak Europe, your morning brief on the stories making news from London to Wall Street and beyond. >> Look for us on your podcast feed every morning on Apple, Spotify, and anywhere else you get your podcasts. >> You can also listen live each morning on London DAB radio, the Bloomberg Business App, and Bloomberg.com. Our flagship New York station is also available on your Amazon Alexa devices. Just say, "Alexa, play Bloomberg 11:30." I'm Caroline Hepka. >> And I'm Steven Carroll. Join us again tomorrow morning for all the news you need to start your day right here on Bloomberg Daybreak Europe. [Music]
Trump-Putin War Summit, US Regional Banks Tumble, Mark Carney Talks Power | Bloomberg Daybreak:…
Summary
Transcript
[Music] Bloomberg Audio Studios podcasts radio news. This is the Bloomberg day podcast. Good morning. It's Friday the 17th of October. I'm Caroline Hepka in London >> and I'm Steven Carroll in Brussels. Coming up today, Donald Trump undercuts Ukraine's push for more weapons with plans for another summit with Vladimir Putin. Shares in US regional banks tumble as traders sell first and ask questions later after two lenders say they were victims of fraud. Plus, Bloomberg's Michelle Hussein joins us to discuss her new show and the lessons Mark Carney has learned from watching the US president. >> Let's start with a roundup of our top stories. >> US President Donald Trump says he will hold a second meeting with Russian President Vladimir Putin within 2 weeks or so aimed at ending the war in Ukraine. The two leaders agreed to meet in Budapest after a two-hour phone call yesterday. Trump later expressed optimism that the summit could result in a ceasefire, even though the pair's August meeting in Alaska failed to yield a result. He told reporters in the Oval Office the meeting had been positive. >> I thought it was a very good phone call. I thought very productive, but I'll be meeting with President Putin and uh we'll make a determination. Tomorrow I'm meeting with President Zilinski and I'll be telling them about the call. I mean, we have a problem. They don't get along too well, those two, and it's sometimes tough to have meetings. So, we may do something where we're separate, but separate but equal. >> Trump's comments came ahead of that meeting with President Vladimir Zalinski in the White House. The Ukrainian leader is hoping to persuade Trump to allow his forces to use long range Americanmade Tomahawk missiles. Now, President Trump's latest attempt at brokering peace comes as Canada's Prime Minister Mark Carney has been speaking to Bloomberg's Michelle Hussein. He tells her NATO should keep all options open if Russia violates its airspace and do what's necessary to protect the alliance. Carney says Russia's use of jets and drones over European members of NATO should be viewed as a sign of weakness, not strength. >> Russia's under pressure. Russia's under pressure. They're trying what they can to shift, but they're under economic pressure. Their military situation, they were making some progress over the course of the summer. That progress has stopped. >> The conversation with Carney came as Michelle Hussein also spoke to Nigel Farage, the leader of Britain's pole topping reform UK party. Farage sought to ward off criticism that his views on Moscow could threaten his bid to become prime minister in the UK. He says that President Putin is irrational. Blakes's Michelle Hussein asked Nigel Farage if he would back shooting down Russian jets that enter NATO airspace. >> So if you were prime minister and NATO jets uh entered Russian jets entered NATO airspace. Where do you stand on that? Do you think they should got to shoot them down? >> No questions. Whatever that does, however much that inflames tension, you're trying Russia needs to be taught a lesson. Listen, >> love you're trying so hard. I'm the only person in the world, I think, that stood up in the European Parliament in 2014. And do you know what I said? There will be a war in Ukraine. It's coming. I'm the only person that got it right. >> And you can hear all of Michelle's latest interviews. Just listen and subscribe to the Michelle Hussein show from Bloomberg Weekend, wherever you get your podcasts. Shares of two regional banks in the United States tumbled after they said they were victims of fraud on loans to funds that invest in distressed commercial mortgages. Shares in Zion sank 13% and by 11% for Western Alliance. That helped send the KBW bank index down by the most in 6 months. The selloff adds to other recent loan blowups such as at subprime auto lender Holdings and auto parts maker First Brands Group. Bloomberg's Sally Bakewell referenced JP Morgan CEO Jaime Diamond's warning that those recent bankruptcies could signal more credit problems could emerge. >> Diamond said, "You know, when you see one cockroach, there are probably more." And actually, the news that both Zans and Western Alliance are dealing with problematic loans um amid fraud allegations shows that Diamond was probably right. Bloomberg's Sally Bakewell speaking there as analysts say the losses from loans are manageable for large lenders but more troubling for smaller banks. BBVA's 16 billion euro bid for Bank of Sabadel has failed after nearly 3/4 of shareholders rejected the offer. Investors offered slightly above a quarter of Sabadel's voting rights. That was well short of the 30% threshold BBVA needed to be able to move forwards according to Spain's markets regulator. Now, the result ends a takeover saga that has been going on for 17 months. It's a major setback to BBVA's chairman Carlos Torres, whose first takeover attempt of Sabadel 5 years ago, also fell apart. A deal would have created a domestic banking giant to rival Santandere and helped BBVA balance out its reliance on Mexico, Latin America, and Turkey. Donald Trump's former national security adviser, John Bolton, has been indicted over claims he mishandled classified documents. He was charged with 18 counts by a federal grand jury in Maryland and federal prosecutors secured an arrest warrant. Bolton has previously denied mishandling classified information. Our White House correspondent Kate Sullivan says this is the latest in a series of similar rulings. This indictment comes, you know, just weeks after uh indictments against Jim Comey and Leticia James. After Comey was indicted, Trump suggested that there were more people his administration were targeting. Clearly part of a retribution campaign that Trump has been signaling for a long time now. >> Kate Sullivan there. Trump told reporters on Thursday that he hadn't reviewed the case against Bolton, but described his former adviser as a bad person. Now, the White House is also preparing to ease auto industry tariffs after lobbying from car makers. An expected 5-year extension allowing manufacturers to reduce what they pay in levies for imported car parts could be announced as soon as today by the Commerce Department. The news comes as President Trump announced a deal with Germany's Merc to cut the price of its fertility medicines in exchange for relief from threatened tariffs. The discount was slash more than $2,000 from the cost of that treatment. So those are some of our top stories for you this morning. In terms of the markets today, so the worries around lending standards really impacting markets. The MCI Asia-Pacific index this morning is down by 8/10en of 1%. Financial companies amongst the biggest losers. European stock futures are also down significantly selling off by 9/10en of 1%. US stock futures also in the red. investors seeking the safe haven of government bonds. 10-year US Treasury yields are now below 4%. Gold, though, has hit another record high along with other precious metals and a gauge of the dollar set for its worst week since late July. So, the Bloomberg dollar spot index is down a tenth of 1% this morning. >> In a moment, we'll bring you more on Donald Trump's plan to meet Vladimir Putin in Hungary, while we'll also be speaking to Michelle Hussein to discuss her interviews with n with Mark Carney and Nigel Farage. But another story that we've been reading this morning, a bit of Friday morning nostalgia from our UK pursuits correspondent Sarah Rapaort. She's been writing about how the love of the '9s uh is apparently everywhere now. Not just Oasis doing a reunion tour, but it's turning up in art. It's turning up in fashion as well. And it's something that is, you know, seems to be catching a bit of attention. >> Yeah, absolutely. Look, we're revisiting all things ' 90s. Um Sarah talking about authors and commentators pinpointing the '9s as being special because it was the end of the analog age basically before the internet took hold. So I really like that thought. I mean only a few months ago I went to see the retrospective of the face magazine. Do you remember that one? Oh yeah. It was at the National Portrait Gallery. >> That was in spring. I did think it was amazing. I took away from it though that they rather recast the magazine's legacy with a big focus on kind of what is happening today. Diversity, equity, and inclusion championing women in diversity, which I think is also comes with a bit of a warning. You're you're seeing the '9s through today's lens. >> Well, of course, while you were at a highbrow art exhibition, I went to see the cores and Natalie and Bruier in my '90s reunion tour, and I was also very pleased by that, I have to say. But I mean, one of the things that uh Sarah picks up from her interviews for this article as well is the trend of parents installing landlines for their teenagers rather than having access to smartphones. Have you heard of anyone doing this? >> No, I've heard of big phones, but no, no, no. Landlines are definitely not coming back, but yeah, nice try. >> Yeah. All right. You can read Sarah's piece on bloomberg.com. We'll put a link to it in our podcast show notes as well. >> Now, let's bring you more on our top story. Donald Trump announcing another meeting with Vladimir Putin. This time in Budapest aimed at ending the war in Ukraine. Tony Halpin who leads Blake's team covering Russia joins us now for more. Tony, good morning. What do we know about the plan for this meeting? It looks like a growing rush, a willingness to talk again and again to Putin. What could it achieve? >> Yes, good morning. Well, so far we know that Trump says he plans to meet with Putin in a couple of weeks or so and that they'll have preparatory talks involving higher level officials next week. Um, as you note, uh, Trump and Putin are increasingly talking to each other. They met in August in Alaska. Um, they've had, uh, according to the Kremlin, eight phone calls so far. Um, but it hasn't really produced very much in terms of pressure on Russia to end its war. And in fact, you could say that, um, it's part of a Russian strategy really to engage with Trump at moments where they see that there may be a prospect of increased US pressure in terms of sanctions or willingness to send weapons to Ukraine. And that seems to be the case this time as well. >> But has anything's changed since the leaders last met in Alaska? >> No, very little. I mean, I think people came away from the Alaska summit with the view that Putin had got a win because he traveled to US soil and had his first summit meeting with Trump of of the of the US president's second term. But there was nothing really concrete that came out uh to bring an end to the violence. And in fact, Russia stepped up its bombardment of Ukraine after that summit meeting. So it's a big question really whether Budapest will will produce something different. What do you think the development means for Ukraine? We have of course President Zalinsky who's meeting President Trump today. >> Yes. And this I think is is part of the the timing of the call from the Kremlin's point of view. Zalinski has come has come to Washington with a shopping list of of asks really in terms of weapons, air defense weapons in particular, an offer to to cooperate with the US on things like drone production. Uh but also there was a lot of talk about uh the US uh supplying Tomahawk missiles to Ukraine and that was an issue that came up in yesterday's talks between Trump and Putin and and Trump made clear that Putin didn't like the idea and uh he himself began to sort of row back from it saying that the US also needed its supplies of tomahawks. So in that respect, I think the Kremlin was very focused on on putting some doubt in the US minds about the uh the the willingness and wisdom of of giving tomahawks to Ukraine. >> Tony, what's the significance of Budapest as the location for this meeting? >> Yes, it's a very interesting one. Let's let's not forget that um the Hungarian leader Victor Orbin has been uh the most Kremlin friendly of leaders in the European Union. But from a Russian perspective, you know, Hungary is in the EU. Um it's also in NATO. Putin is very concerned for his security and has been quite reluctant um to engage with what Russians consider to be enemy territory. And there's a simple practical difficulty that the EU has closed its airspace to Russian aircraft and Russian leaders since the start of the war. So that immediately makes it somewhat difficult for Brussels because they're going to have to uh comply with requests to open up the airspace. And Putin's going to land in Europe while the war is still going on. And that from the Brussels point of view doesn't look very good. From Victor Orbin's point of view, it's a win because he's very often at odds with uh the majority of his fellow members in the EU about policy towards Russia and he'll be able to say, "Well, look, here I am hosting Trump and Putin for peace talks." >> Yeah, absolutely. Tony, thank you so much for being with us and updating us. Tony Halpin, who leads Bloomberg's team covering Russia. Thank you. Stay with us. More from Bloomberg Dayb coming up after this. Now, reform UK leader Nigel Farage has criticized Vladimir Putin as irrational and backed shooting down Russian jets that enter NATO airspace. He's been speaking to Bloomberg for the Michelle Hussein show and Michelle joins us now for more. Michelle, good morning. Great to have you with us. You were speaking to Nigel Farage at this key time given the news of the Trump Putin meeting. Put in context for us, how big a change is this and Nigel Farage's position towards Russia? What we've released is a little preview out of what Nigel Farah says to me for a forthcoming episode of the podcast. And essentially, this is a significant change of tone. It's a hardening of tone. He is someone who's leading in the polls and therefore if there was an election today, he would be likely to become prime minister. He's always been dogged by these questions of once having said that he admires Putin. He said he was only speaking about that in very narrow terms. But he's also said um previously that he thinks that um Putin was provoked into the war in Ukraine. So now the fact that he is um talking about shooting down Russian jets if they're in NATO airspace and uh and the and the fact that he thinks Putin is a very bad dude. This this is significant. And it's interesting that he also said to me he does believe that Donald Trump is going to start supplying Tomahawk missiles to to Ukraine in the coming months. That's as you said something that Trump says he's still thinking about but deliberating on. >> Yeah, I think it's a really interesting line that you got from from Nigel Farage and I suppose it goes to these questions about the type of strongman politics that we're seeing really in so so many places. So I think that is fascinating in terms of the conversation then that you had with Canadian Prime Minister Mark Carney. Obviously we know him well here in the UK. um he's really turned around the fortunes of Canada's Liberal Party in order to win that general election that surprised so many people at the time. He has had to deal with Donald Trump perhaps even to thank him for that win. How does he feel about the US president now? >> Well, I asked him exactly that and he's very clear about you know he saw a gap in leadership. He stepped in and Canada chose him rather than he's got anything to thank President Trump for. I think the link between the two conversations is that when you talk to people at length, these are 40inute conversations. You can hear the whole of the Mark Carney one and if you subscribe, you'll get the Nigel Farage one as soon as it's released. But because you have that kind of time, you can get into the personal side of it as well as the political and the issue side of it. And let's be clear, Mark Carney is dealing with having to transform Canada's economy. Threearters of its exports currently go to its southern neighbor. He wants to export more east and west. He wants to make supply chains much more self-sufficient. So there's a big economic transformation that is beginning. But on the personal side, I did ask him whether he had learned anything from President Trump. And this is what he said. We always learn things from from people. I've learned that the value I don't fully subscribe to this, but I see the effectiveness. the value of the term they would use is flooding the zone of doing multiple things at the same time and the effectiveness that can have. I think that he has a very effective way in his own almost unique manner of framing issues and of dominating the agenda if I can put that way as well. >> So there you have it. Trump as communicator Trump as I mean he used Carney used the term flooding the zone. So I think I I think that's that's the kind of scope there is in this conversation that we do pivot from the the personal to the to the much tougher aspects of this. But of course even the personal is quite tricky because leaders like Carney have to be a little careful in what they say about what they might have learned from someone like Donald Trump. Well, speaking of one of the bigger issues that you got into in that conversation with Mark Carney, climate Mark Carney, a former UN climate envoy, now running a country that's a major fossil fuel producer. How does he balance those two things? >> I was really interested in this, Stephen, because the last time that I spoke on air to Mark Carney was at the Glasgow climate conference and he was a UN envoy on climate action and now he is leading a major oil and gas producing economy. So I asked him about the fact that he canled a consumer carbon tax on day one of being in office and there's also a big debate in Canada about about the future of the oil and gas industry and about an emissions cap that was planned and whether it's still going to come in and essentially he acknowledges in a way that you see you do see things in a slightly different way from these two vantage points but he emphasizes the words he uses is I'm still that guy because We we play him in the podcast a bit of um how he has spoken before about the tragedy of the horizon, how short-term thinking is what is what affects action on climate change. So there is an interesting contrast and I think as the podcast goes on and we speak to people who have had different roles in their times, this is probably a theme we'll come back to. How does the world, how do things look different? And I love that, you know, going to that point, your written pieces, your interviews have that lovely clever trick where you get to add and annotate what the interview has to say and refer back to things. If you read Michelle Hussein's, you know, as I say, the the long form essays that you put out for the weekend >> for Bloomberg subscribers. Yes. And often actually, Caroline, also you'll see what I was thinking. Sometimes I'm saying this is why I asked this question or this is how I felt when they answered the question in this way or we were coming at this from two very different vantage points. So it is yes if you look at the tech side of the Q&A then you will get um you will you will get a different kind of insight >> but we're not getting full technical of course because it's in the podcast. Um what else are we going to be hearing about then in future episodes? I mean you've teased us beautifully with Nigel Farage already interview. Well, what I would say is that while these first two, Mark Carney and next week, this time next week, the Nigel Farage episode will be released in full on the Michelle Hussein show. These two people are newsmakers. They're political figures. But this podcast is absolutely going to be a place for ideas and culture. So, we have got writers coming up. We've got thinkers coming up. And I do feel that in this very tricky world in so many ways where we have an overload of information because this is a weekend listen. I hope that this is going to be a place where people can step back and make sense of the week or an issue more widely and be a bit more reflective. >> Yeah, I think that sounds lovely. I'm getting ready to >> Perfect compliment to Europe at Daybreak. >> Oh, Michelle, lovely. It's so nice to see you. Uh, and really great to hear all of these conversations and to speak to you in person. Thank you so much for coming in. Well, you of course you can listen to the full conversations between Michelle Hussein and the Canadian Prime Minister Mark Carney. Just search the Michelle Hussein Show wherever you get your podcasts and we will put a link to it in our show notes. >> This is Bloomberg Daybreak Europe, your morning brief on the stories making news from London to Wall Street and beyond. >> Look for us on your podcast feed every morning on Apple, Spotify, and anywhere else you get your podcasts. >> You can also listen live each morning on London DAB radio, the Bloomberg Business App, and Bloomberg.com. Our flagship New York station is also available on your Amazon Alexa devices. Just say, "Alexa, play Bloomberg 11:30." I'm Caroline Hepka. >> And I'm Steven Carroll. Join us again tomorrow morning for all the news you need to start your day right here on Bloomberg Daybreak Europe. [Music]