Episode summary
Minnesota Backlash Spurs Policy Shift; Trump Vows to Raise Tariffs to 25% on South Korean Goods...
Summary
President Trump appears to be softening the approach to immigration enforcement in Minneapolis after the killing of two US citizens during ICE raids sparked national backlash. He is sending border czar Tom Homan to the city, and the White House signaled that Border Patrol commander at large Greg Bovino is expected to leave. Trump also spoke with Minnesota Governor Tim Walz and Minneapolis Mayor Jacob Frey, and said he would consider independent investigations and possibly reducing the number of federal agents in the state.
The political fallout is feeding into a broader Washington fight over government funding. Senate Democrats are threatening to oppose Department of Homeland Security money unless new safeguards are added for ICE and Border Patrol, including warrant requirements and body cameras. Republicans are resisting those demands, while some GOP senators are also pushing for an impartial investigation into the killing.
The show also covered Trump’s escalating trade pressure on South Korea, where he threatened to raise tariffs to 25% on autos, lumber, pharmaceuticals, and other goods. Markets reacted sharply to separate policy moves on Medicare reimbursement, with health insurers falling after the administration proposed flat payment rates for next year. The Fed begins its policy meeting later today, with Goldman Sachs economist Yan Hatzius expecting no move this week but more cuts in the second half of the year.
Key takeaways
- Trump is trying to deescalate Minneapolis tensions by sending Tom Homan, who is viewed as more measured than Kristi Noem, to oversee the response.
- Senate Democrats are using the Minneapolis killings to pressure DHS funding, but Republicans are resisting warrant and body-camera requirements.
- Trump’s tariff threat raises the possibility of a 25% rate on South Korean goods, including autos and pharmaceuticals, if he follows through.
- Health insurers sold off after the administration proposed flat Medicare payment rates, with Humana, CVS Health and UnitedHealth all sharply lower.
- Goldman Sachs’ Yan Hatzius expects the Fed to hold rates steady this week and cut later in 2026 if inflation trends keep easing.
Notable quotes
“The president says he's sending his borders Tom Hman to the city”
“This tragedy occurred as a result of a deliberate and hostile resistance by Democrat leaders in Minnesota”
“the UK will not have to choose between the US and China as he tries not to draw the eye of President Trump”
“the country's lawmakers had not lived up to the deal they agreed to with the new rate applying to autos, lumber, pharmaceutical, and other products”
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 in Minneapolis where President Trump may be signaling a strategy shift after the deaths of two US citizens in immigration raids this month. The president says he's sending his borders Tom Hman to the city. The man who had been overseeing ICE operations there, Border Patrol commander at large Greg Bovino, is expected to leave as soon as today.
Holman is seen as more measured in his approach than Homeland Security Secretary Christy Gnome. But White House press secretary Caroline Levit says this is not a sign that the president has lost confidence in Gnome.
Mr. Hman is doing an exceptional job and he has been working with Secretary Gnome and President Trump over the course of the last year. Secretary Gnome still has the utmost confidence and trust of the president of the United States. Uh and she's continuing to oversee the entire Department of Homeland Security and all of the immigration enforcement that's taking place across the whole entire country.
Press Secretary Caroline Levit spoke at the White House news conference and the New York Times reports President Trump met with Secretary Gnome for nearly two hours in the Oval Office yesterday, but did not suggest her job was at risk. President Trump says he also spoke with Minnesota Governor Tim Waltz and will consider independent investigations into the shootings and reducing the number of federal agents in the state.
Nathan, outrage over the shooting death of Minneapolis ICU nurse Alex Prey now has Washington hurt hurdling toward a government shutdown at the end of the week. Senate Democrats are threatening to vote against funds for the Department of Homeland Security unless it comes with new safeguards like warrant requirements and body cameras for ICE and Border Patrol agents.
From the episode’s captions: roughly the first two minutes, lightly cleaned. Keep watching on YouTube →
Topics
- minnesota immigration raids
- deportation crackdown
- tariff hike
- uk china trade
- south korea trade deal
Companies and tickers mentioned
- Hyundai Motor Co.
Watch the episode
Summary, takeaways and quote selection by Octagon. Quotes are short excerpts; the full conversation is in the episode.
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