Episode summary
FlyDubai Rescue Latest; Trump Calls on Powell to Resign from Fed Board | Bloomberg Daybreak: US...
Bloomberg Daybreak: US Edition
· · 17 min · Hosts: Tom Keene, Jon Ferro, Lisa Abramowicz, David Gura, Kailey Leinz, Nathan Hager, John Tucker, Carol Massar, Tim Stenovec, Ed Ludlow, Jess Menton, Norah Mulinda, Alexis Christoforous, Eric Mollo
Summary
President Trump renewed his attack on Jerome Powell, saying the former Fed chair should resign from the Federal Reserve Board after the central bank’s internal watchdog found no criminal wrongdoing but did find major missteps in the $2.4 billion headquarters renovation. The discussion framed the report as a management failure rather than misconduct, while Trump said Attorney General Todd Blanche should study it and decide what to do.
Markets were the other major focus, with the 10-year Treasury yield climbing to levels last seen almost a quarter of a century ago as oil prices, stubborn inflation, fiscal worries, resilient growth, and heavy AI-related borrowing pushed bonds lower. The host and market guests also noted that the S&P 500 ended the third quarter up almost 12% for the year, even as investors debated whether valuations and rates remain supportive.
The program also covered Micron Technology’s upbeat sales outlook tied to AI demand, a bipartisan Senate effort to speed permitting for data centers while shifting infrastructure costs to developers, and Netflix co-CEO Ted Sarandos’s admission that growth is slower than he wants. Separately, the show spent substantial time on the FlyDubai emergency landing after a co-pilot attacked another pilot, prompting an investigation into motive and possible terrorism.
Key takeaways
- Trump’s demand that Jerome Powell resign is tied to a Fed renovation report that found no criminal wrongdoing but did find serious management failures.
- A market guest said the S&P 500’s valuation backdrop is not unfavorable, with the index trading at about 19 times earnings.
- The 10-year Treasury yield moved to its highest level since the early 2000s as inflation, fiscal concerns, and AI-related borrowing weighed on bonds.
- Micron’s sales forecast beat estimates because AI buildout is driving demand across a broader product portfolio, not just high-bandwidth memory.
- Ted Sarandos said Netflix is not growing as fast as he wants, even as the company directs about 5% of its content budget to live events.
- The FlyDubai incident remains under investigation, with authorities examining motive and whether the cockpit attack had any terrorist link.
Notable quotes
“He's incompetent and the man that's incompetent should not be sitting on the Federal Reserve Board”
“They did notifi identify administrative misconduct during our evaluation. In other words, nobody did anything criminally wrong”
“The US benchmark, this is the 10-year Treasury this morning. It breached a level last seen almost a quarter of a century ago”
“It sold the Netflix in March 2026”
“This could obviously have ended in in dramatic catastrophe and it didn't. Everybody got off the plane safely”
How the episode opens
Bloomberg Audio Studios, podcasts, radio, news. — Good morning. I'm Karen Moscow and I'm Alexis Christopherus. Here are the stories we're following today. Alexis, President Trump is once again calling for Jay Powell to resign from the Federal Reserve's board of governors. Trump blamed the former Fed chair for a headquarters renovation that had a cost that has risen to $2.4 billion.
It's horrible what they've done. He's incompetent and the man that's incompetent should not be sitting on the Federal Reserve Board. And I get I'm sure that Todd and everybody's going to be looking because the report was a pretty bad report.
The report said they did they did a bad job. They didn't know what they were doing. President's comments come after the Federal Reserve's internal watchdog found no evidence of criminal wrongdoing in the central bank's renovation of its Washington headquarters.
We get more from Bloomberg economics and Fed reporter Michael McKe.
They did notifi identify administrative misconduct during our evaluation. In other words, nobody did anything criminally wrong uh or to benefit themselves. They just uh did not manage this very well. And the bottom line question here is uh why did the Fed go ahead with this? Because according to the inspector general, they were not competent to do so or at least according to the report here.
That's bone vers McKe who says the Fed will implement the watchdog's recommendations including engaging an independent auditor to scrutinize all awarded costs to date. And turning to the markets now where we begin the final quarter of the year. The S&P 500 coming off a 2% gain in the third quarter. The benchmark index is up almost 12% for the year. Mark Pinto is head of America's equities at Janice Henderson Group.
From the episode’s captions: roughly the first two minutes, lightly cleaned. Keep watching on YouTube →
Topics
- flydubai pilot attack
- trump powell resignation
- fed board governance
- us bond yields oil prices
- fed rate expectations
Companies and tickers mentioned
- FlyDubai
- Federal Reserve
- Saudi Arabia
- United Arab Emirates
- United States Government
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Summary, takeaways and quote selection by Octagon. Quotes are short excerpts; the full conversation is in the episode.
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