Episode summary
GOP Thwarts Hegseth Impeachment; CoreWeave Quiets Doubts | Bloomberg Daybreak: US Edition
Bloomberg Daybreak: US Edition
· · 16 min
Summary
House Republicans blocked an effort to impeach Defense Secretary Pete Hegseth, sending the measure to committee and effectively ending it until Democrats take control in January. The vote highlighted Republican unity behind Hegseth and President Trump’s endorsement of the outcome, while leaving Thomas Massie isolated after introducing the resolution over military actions in the Middle East and Latin America.
Markets were driven by a new set of AI-related developments. Nvidia is under heavy scrutiny after CEO Jensen Huang disclosed an affair with an alleged Chinese spy, raising questions about leadership stability and the company’s ties to Washington and Beijing. An analyst said Huang is the key man at Nvidia and that the uncertainty is unsettling for AI investors, even as the stock found some support from a broader rebound in tech.
CoreWeave helped restore some confidence in the AI trade after reporting strong sales growth and projecting 2026 revenue of $13 billion to $13.3 billion. The host also reported booming demand around Anthropic’s upcoming IPO, with bankers considering a valuation of $1.5 trillion or more, while Bloomberg News learned OpenAI’s quarterly revenue hit 10 billion for the first time. Separately, hotter-than-expected October inflation kept pressure on the Fed, with traders fully pricing in at least a quarter-point rate hike next month.
Key takeaways
- House Republicans blocked the Hegseth impeachment effort in a 211-204 procedural vote, pushing it to the Judiciary Committee to likely die there until January.
- An analyst said Nvidia’s biggest risk remains Jensen Huang, and the affair disclosure is creating a scary prospect for AI investors.
- CoreWeave projected 2026 revenue of $13 billion to $13.3 billion, easing fears about its debt-heavy business and lifting the AI trade.
- The host said Anthropic bankers are considering a $1.5 trillion-plus IPO valuation, underscoring how hot investor demand for AI remains.
- Bloomberg News learned OpenAI’s quarterly revenue reached 10 billion for the first time, nearly 50% above the prior quarter.
Notable quotes
“That sends Massiey's measure to the House Judiciary Committee where it is likely to stall until Democrats take the majority in January”
“He's the only CEO this company has ever had. It's basically built around him”
“So the idea that he won't be there or might not be there driving things forward is obviously a scary prospect for AI investors in general and for probably Nvidia investors”
“Core consumer prices for the month of October rose 3/10en of 1% that topped estimates”
“The AI trade continues to be a major focus for investors this morning”
How the episode opens
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 this morning in Washington where an effort to impeach defense secretary Pete Hgsth has been blocked in the House.
The yay's are 211, the nays are 204. The motion is adopted.
In a procedural vote, House Republicans blocked fellow Republican Thomas Massiey's motion to remove Heg Seth over military actions in the Middle East and Latin America. That sends Massiey's measure to the House Judiciary Committee where it is likely to stall until Democrats take the majority in January. We get more from Bloomberg's Derek Wbank.
There was a lot of anger, I think, within the Republican party about how things were going, but Pete Hexith, the very first really, really big vote back since the midterm elections was a resounding win for Pete Hexith. Republicans almost entirely unified. Thomas Massie, who authored the impeachment resolution, sort of out on a branch on his own.
Now Blubber's Derek Wbank notes President Trump hailed the vote on social media saying Democrats and Massie miserably failed and the House's action amounts to exoneration of a great American patriot.
Well, Nathan, President Trump's close ties to Jensen Wong are now under new scrutiny now that the Nvidia CEO has admitted to an affair with an AI executive who may have been a Chinese spy. This week, the president said Wong assured him he did not know that Alice Wang might be working with Chinese intelligence. But the New York Times reports Secretary of State Marco Rubio brought up Wong's relationship with the president on his way to the state visit with Chinese President Xiinping last May.
Bloomberg's Ian King reports this affair has put Nvidia and Jensen Wong in a difficult position.
From the episode’s captions: roughly the first two minutes, lightly cleaned. Keep watching on YouTube →
Topics
- gop impeachment
- nvidia ceo scandal
- ai chip demand
- coreweave debt outlook
- data center industry
Companies and tickers mentioned
- NVDA
- Nvidia
- CoreWeave
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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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