Trump's $5,000 Offer to Voters; Iran Warns of War Escalation

SPEAKER_1 (0:02)

Bloomberg Audio Studios, podcasts, radio, news.

Nathan Hager (0:10)

Good morning, I'm Nathan Hager.

Karen Moskow (0:11)

And I'm Karen Moskow. Here are the stories we're following today.

Nathan Hager (0:15)

Karen, we begin this morning in Dallas, Texas, where Republicans have kicked off their two-night midterm convention with a keynote speech from President Trump.

Donald Trump (0:24)

On November 3rd, the great American majority is going to stand up and continue to make America great again.

Nathan Hager (0:31)

Over more than 100 minutes, the president urged voters to pretend he's on the ballot in November, and he made a promise if they put Republicans back in the majority.

Donald Trump (0:41)

So if the Republicans win, you win with us and you get $5,000, it will be called the Trump dividend.

Nathan Hager (0:50)

The president didn't offer any details, and Republicans have already rejected his calls to pay dividends from tariff revenue. Bloomberg Markets Live executive editor Mark Cudmore reports the markets are already looking past the idea.

Mark Cudmore (1:03)

It's a handout of about $1.2 trillion into a US economy where growth is absolutely fine and is arguably running hot already. We've already seen pro-cyclical fiscal policies. The only concern in the US is that they don't have one of the understanding of fiscal tightening. So adding another $1.2 trillion debt to the burden does not really seem to be addressing the right issue.

Nathan Hager (1:30)

It's Bloomberg MLives Mark Cudmore. President Trump also floated his making his tax cuts permanent and eliminating credit card swipe fees in his speech. Following the more than an hour and a half address, the Democratic National Committee put out a statement saying, quote, the biggest liability in American politics right now is Donald Trump, and he just proved it.

Karen Moskow (1:49)

Well, Nathan, convention goers also heard from Treasury Secretary Scott Besson last night in a touted President Trump's economic policies in his speech.

Scott Bessent (1:57)

The president's plan was never just a tax cut, never just a tax cut. His economic program is bolstered by trade deals and deregulation. And tonight, a new industrial super cycle is moving from investment into production.

Karen Moskow (2:14)

Treasury Secretary Scott Besson says everything from GDP to factory payrolls is firing up in President Trump's economy.

Nathan Hager (2:21)

And Karen, the Republican Convention also included a surprise appearance from a Democrat.

John Fetterman (2:25)

Yes, I'm Senator John Federman, Pennsylvania. Yes, I'm a Democrat. Why am I here talking to you today?

Because, well, I'm a common sense Democrat. I'm always going to stand with America. I'm always going to reject the extremes in socialism and that anti-American way of life.

Nathan Hager (2:45)

Senator John Federman addressed the crowd in a pre-recorded video introducing fellow Pennsylvania Senator Republican Dave McCormick. The decision's raising speculation Federman might switch parties, but he released a statement after the speech saying he is a lifelong Democrat and he only meant to introduce a great friend and American.

Karen Moskow (3:02)

Well, Nathan, it was primary day in Rhode Island yesterday. Helena Foulkes defeated Rhode Island Governor Dan McKee in the state's Democratic primary, 62 to 38 In her victory speech, Foulkes called for unity, saying there's a lot of work to do.

Helena Foulkes (3:17)

We may have won the Democratic primary for governor, but let me be clear about what happens next. You will have a governor for everyone.

Karen Moskow (3:26)

Helena Foulkes is a former senior executive at CVS and the retailer Hudson's Bay. McKee's defeat marks the first time in more than 30 years that a sitting Rhode Island governor has been beaten in a primary. He's the first governor in any US state to lose a party primary since 2018

Nathan Hager (3:43)

And as to who Helena Foulkes will face in November, Karen, the Rhode Island Republican race for governor is still too close to call. With 98% of votes counted, Erin Guckian, an aide to former governor Don Carcieri, has 50.6% of the vote. Elaine Polino, former model and actress, has 49.4%.

That's more than one point margin, but that's just under 300 votes separating these two candidates.

Karen Moskow (4:09)

Nathan, while the GOP convention continues in Dallas, so does the war with Iran. A senior Iranian official says his country is ready for a more intense war and has no intention of backing down against America's naval blockade and attacks on its oil tankers. We get the latest from Bloomberg's Paul Wallace in Dubai.

Paul Wallace (4:28)

Both sides have shown signs they don't want, if they can avoid it, to return to the all-out war that we saw in March and early April. The Americans have made that pretty clear. Trump does not want energy prices going up anymore from here. He wants them going down a lot. And the Iranians too, given how much they've been damaged by the war, they don't want a return to sort of total warfare, let's say.