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00:00We're going to start our conversation this Friday off with that around the table. We have Bloomberg's Laura Davidson and Christian Hall. Laura, let's start with you, because you really cover this. And it's going to be a huge week in Congress next week because it's the hearings. Everyone has come on the program the past two weeks and said, well, we're going to have hearings are going to have hearings. We want to hear what happened. What can we expect? So these are going to be big blockbuster hearings. You're going to hear a lot of anger. These are bipartisan hero, kind of like tick tock, kind of like tick tock and potentially even more explosive. You're going to have the regulators in the room. They've also asked for the bank CEOs or ex CEOs at this point from Signature and SBB to come in and testify. We'll see if they are able to show. But you're going to have both Democrats and Republicans railing in to the regulators and CEOs if they're they're asking what what's happened. But you're not going to hear is is a singular policy answer. You know, they been talk about raising the FDIC insurance limit, whether they claw back bonuses potentially from some of those executives, whether they do more regulation, less less regulation. It's really unclear what, if any, the congressional response will be beyond just talk. Well, then, after a week of doing interviews more than that with lawmakers and worry, we've found zero consensus even among Democrats and Republicans within their own caucuses on what to do here. So with with Janet Yellen giving the words sound and resilience, she just give Congress an excuse to do nothing. Congress doesn't really need an excuse to do nothing. But it does give them a little bit of an ability to say, look, you know, appointee Yellen, she says everything's good and fine. We don't have to do anything. You're already hearing hints of that from Patrick McHenry, who leads the House Financial Services Committee, who's like, let's just take a breather, let's see what happens. And if Congress loses momentum on something, there's a good chance that it just falls by the wayside when the next crisis comes up. Yeah, that's right. They just basically want to hear the hearings, but they're not actually going to move on any sort of legislation, are they? Especially as the debt ceiling is still hanging over them. And there's been some movement on that, though, today. You have the or last night. And then today's Speaker McCarthy apparently doesn't know what his own GOP chair of the budget committee is saying. But they're supposed to be coming up with. I'm calling it a cheat sheet, but it's a deal sheet. The term sheet. Right. What they want from the president in order to get those votes to raise the ceiling. So what Republicans said that they would do is put together this list of all of the terms that they would accept to move forward on a debt ceiling vote. I mean, this is really their their opening offer, but there's been some delays in getting this opening offer on the table. They also said they would come up with a 10 year balanced budget. That's an even harder task because they're going to either have to cut defense spending or really gut some federal agencies and programs, people like Medicare, that sort of thing, to be able to make that happen. So this is going to be, you know, if if and when we get this, that will really kick off the debt ceiling discussions. But it's been difficult for Republicans on their end to get the parameters together as they're, you know, facing some infighting between what the House Freedom Caucus wants and what some of the more moderates. This is just the autopsy, though, guys. We haven't even figured out what happened. Never mind try to get our arms around and incredibly fast moving crisis. You know, we've talked about the first Twitter bank run, the influence of fintech, the fact that we're banking on our phones. These guys are going to still be figuring out what went on two weeks ago before anything new is addressed. Yeah, this is really you know, Congress is not well equipped to deal with some of these things. It's the regulators. It's the Fed. It's the Treasury Department who are able to kind of dig in and deal with more of these long term issues, know again, put politics and the Congress really deals on this two year cycle. You know, it's really unclear. And I think lawmakers don't know, you know, is this going to be an issue in 2020 for if it is, they're more inclined to do something. If it's not, you know, might as well just fight live to fight another day. So next week, obviously, on the Hill, it's going to be all about SBB, the collapse of these banks, what to do about the debt ceiling. But a lot of talk, no action. There will be action, though, Christine. We have to bring you into this conversation over the weekend. So on Tuesday, president, the former president aides won't to get arrested. He has not been arrested. There's hasn't been the indictment yet. But he's going to Waco, Texas, tomorrow. What is his message going to be? Yeah, I mean, I think that this president, Trump, choosing Waco, Texas, for his first campaign stop is definitely symbolic. I mean, 30 years ago, the federal government really broke up a cult in Waco. So I think that the birth of the modern and far right right wing part of the party is looking forward to this rally on Saturday or any members of Congress going anyone from the Texas delegation or is this a solo Trump show? Yeah, I mean, I reached out to members of the Texas delegation and no one's confirmed that they're going to be at the event. They either haven't responded or said that they won't be there. So it's gonna be a really big deal to see the turnout at this rally and just to see the message that Trump plans to send to his base. He at the moment was getting a lot of love from even the likes, the Speaker McCarthy. Everyone's been backing him, saying the Manhattan D.A. should not be going after him. This is political. Having this controversial rally tomorrow at this. You out in Waco, Texas, do you think at some point is actually going to hurt him, even though he's built up this momentum this week with some of these Republicans? I mean, I think that remains to be seen. Trump has said that there is the possibility of violence following the indictment. And I think this rally is really an opportunity for him to make the final case, another case to his supporters that, hey, this indictment. It's not right. I don't think it's fair. So it really remains to be seen how people are going to respond, predicting death and destruction. And the latest truth, I guess we call it a truth, untruth, social. This is beyond protest. Save our nation or you know, it's gonna be wild. The sequel here, a prediction like that from a former president who may well be indicted. Toward the end of next week, according to some reports, equals what? When it happens, I mean, it's really scary. I think that the Waco rally, as I said earlier, is really symbolic. I think usually for a presidential rally, it's an opportunity for a candidate to show the message of their campaign. And Trump choosing to have a rally in Waco, knowing the history of Waco, Texas. It's really concerning. So he would get past Saturday. Right. And Monday, we have a grand jury meeting again. Where are we with this indictment? I mean, a lot remains to be up in the air. I think President Trump said that he was going to be indicted Tuesday. That didn't happen. We're currently waiting to see. I guess we're all waiting only because he said he was going to be arrested. Yeah. I mean, none of it was confirmed. So we're still waiting to see what's going to happen. I think Alvin Bragg said that he's not going to be pressured into indicting President Trump anytime soon. So, yes, we're waiting to see what's going to happen. There's a lot more to follow on this, but my goodness, through with what we have already learned and the talking points that we're hearing from Republicans who've been defending him, including Speaker Kevin McCarthy, make it clear that that hush money or cavorting with a porn star are all acceptable. It's the case that seems to be the problem. That's the Republican message on this, right? Yeah. I mean, I need a reality check here. Yeah. Except for maybe Governor Santas. That's. That's a good point. That's the one exception. He tried to really set himself apart in that one moment. He really drove that out, actually. Absolutely. Absolutely. I mean, Republicans are really trying to paint this as a politically motivated attack on the former president. So, I mean, there are people in the party who are still standing by him. We will see how it will all turn out. Whatever happens next week, of course, will be here to bring it to you on balance of power. Many thanks to Bloomberg's Laura Davidson as well as Christian Hall.

Wrapping Up a Wild Week in Politics and Business

Bloomberg's Christian Hall and Laura Davison wrap up a week that saw a Federal Reserve rate increase, a social media CEO take a grilling, and fears of political violence. (Source: Bloomberg)

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