New Set of Epstein Files Released; Trump’s $100K H-1B Visa Application Fee Upheld by Judge

0:01Bloomberg Audio Studios Podcast Radio News. Good morning, I'm Nathan Hager. And I'm Karen Moscow. Here are the stories we're following today. Karen, we begin with the latest on the slow rollout of the Jeffrey Epstein files. The Justice Department's released a second batch of documents from its investigation into the late sex offender. Many of them contain references to President Trump, including a 2020 email from a prosecutor that detailed trips on Epstein's private plane in the 1990s. President Trump has said those trips never took place. Bloomberg's Ben Bain reports the way the files are being released is frustrating all sides.

0:41Part of this is we really don't know about the order with which things are being released. What the Department of Justice has said is that, you know, they've tasked, I believe it was 200 people to, you know, be going through filings. One of the things in the law that was passed last month and signed by President Trump was that there are accommodations allowed for protections for survivors and also some other accommodations for ongoing investigations. or things like that, if there are any. So we are seeing really heavy redactions here. Bloomberg's Ben Bain reports some lawmakers on Capitol Hill are accusing DOJ of violating the law by not releasing all its files by a December 19th deadline.

1:19The ongoing review means there could be even more releases as we head into the holidays. Well, Nathan, President Trump has been handed a rare defeat at the Supreme Court. In a 6-3 decision, the justices refused to allow the president to deploy the National Guard in Chicago to assist with immigration enforcement. Lori Levinson is a former federal prosecutor and a professor at Loyola Law School. It is a big decision from the Supreme Court that said that President Trump did not have the authority under the law he invoked to call up the National Guard in Chicago. And that's Loyola Law Professor Lori Levinson.

1:55The high court deliberated over the case for more than two months, an unusual amount of time for a request where the Trump administration claimed the city was facing an imminent threat. Well, Karen, another piece of the president's immigration policy has gotten a legal boost. A federal judge says the Trump administration can move ahead with a$100 ,000 fee for new H-1B visa applications. Analysts say the ruling is a setback for U.S. tech companies that rely on hiring skilled foreign workers. But the judge says President Trump has the power to impose the fee under an express statutory grant of authority.

2:29The U.S. Chamber of Commerce says the six-figure fee will make H-1B visas cost prohibitive. It can still appeal the decision. Now let's get the latest on the war in Ukraine. Nathan, Ukrainian President Volodymyr Zelensky says his country and the U.S. remain split primarily on territorial issues in talks on a peace plan to end the war. Ukraine rejects Russia's demand to give up land in eastern Donetsk, fearing it would leave the country vulnerable to a new Russian attack. Well, turning to markets now, Karen, the Santa Claus rally continues around the world on this Christmas Eve. MSCI's All Country World Index is up for a fifth straight day, taking its gains this year to 21 percent.

3:11Steve Quirk is chief brokerage officer at Robinhood Markets. Coming into the end of the year, I think we've seen strength in terms of engagement and people sort of finishing out the year. I think there was a little bit of a concern in the first part of December when we had a stretch of down days if we'd ever get this Santa Claus rally, but it seems to have materialized. Robinhood market Stephen Quirk says yesterday's gains were fueled by stronger than expected U.S. growth data, and on this Christmas Eve, the U.S. stock market will close early at 1 p.m. Wall Street time. Nathan, the gold rally continues.

3:47It's trading above$4 ,500 an ounce for the first time ever. Precious metals are ending this year with gains not seen in decades. And Bloomberg Metals reporter Martin Ritchie says global uncertainty has helped drive this rally. You know, you can never imagine prices at this level even two years ago. But here we are. And I think this December rally that you've seen in gold and in the precious metals is really a continuation of the same themes we've seen throughout this year. It's about the debasement trade, A growing sort of mistrust in traditional assets, the sovereign bonds and currencies. It's about the weaker dollar.

4:26It's about central banks buying gold because of those things. Bloomberg's Martin Ritchie says gold has gained more than 70 percent this year, and silver has risen by 150 percent, both along with copper, on track for their best annual performance since 1979. Got some deal news this morning, Karen. And Sanofi has agreed to buy California-based Dynavax technologies for a price tag of$2.2 billion. The French drug maker is trying to expand a vaccines business. It's currently anchored by its flu shot franchise. The deal gives Sanofi a hepatitis B vaccine as well as an experimental shingles inoculation.

5:05Dynavax shares in the pre-market up nearly 38%. Well, BP, Nathan, has agreed to sell a majority stake in its Castro lubricants division to U.S. investment firm Stone Peak Partners to raise about$6 billion. The U.K. oil giant will divest a 65 percent stake, retaining the remaining investment via a joint venture. BP is shedding assets to reduce debt and turn around years of lagging performance that put the company in the crosshairs of activist shareholder Elliott Investment Management. Karen, shares of Nike are running higher this morning. The stock's up 2%. Barron's is reporting Apple CEO and Nike board member Tim Cook has purchased nearly$3 million of shares of the sporting goods maker.

5:49Nike plunged last week on disappointing earnings. On the year, it's down about 24%. Well, speaking of Nike, Nathan, one of the company's biggest sponsored athletes is making a major move. Five-time major champion Brooks Koepka has become the first player to defect from Live Golf. It's a significant blow to the Saudi-funded league that raises questions about whether the PGA Tour will find a way for him to return. Right now, PGA Tour policy requires players who have joined the rival league to sit out for one year from their last participation. And sticking in the sports world, Karen, specifically sports entertainment, there could be a big payday for Logan Paul, the world wrestling entertainment star and social media influencer, has agreed to sell his rare Pokemon card.

6:36It is a Pikachu illustrator that he purchased in 2021 for nearly$5.3 million. And their estimates that that card will sell for between$7 and$12 million. Logan Paul talked about the card with Bloomberg's Romain Bostegg. Pokemon has delivered higher returns than the stock market in the past 20 years by upwards of 3 ,000%. And so while I think this will probably go for more than I bought it for, it's an auction. But it is the best card in the world. There's nothing like it. And Logan Paul accepted a$2.5 million advance to sell the card from Ken Golden. He's the CEO and founder of Golden Auctions.

7:15That card goes on sale. Mark your calendar, January 12th.

7:22Time now for a look at some of the other stories making news in New York and around the world. Well, then for that, we're joined by Bloomberg's Michael Barr. Michael, good morning. Good morning, Karen. Pennsylvania's governor says an explosion at a nursing home just outside Philadelphia killed at least two people. Tuesday's explosion collapsed a part of the building and happened just as a utility crew had been on site at Bristol Health and Rehab Center in Bristol Township looking for a gas leak. Bristol Fire and Rescue Chief Kevin DiPolito said people were trapped when part of the first four collapsed into the basement.

7:57They pulled many residents out of the building via windows, doors, stuck in stairwells, stuck in elevator shafts. Fire Chief DiPolito says rescuers are still digging by hand and using search dogs to locate potential victims. Pope Leo is criticizing his former home state for its passage of a new law on assisted dying. Illinois passed a measure giving terminally ill adults, with a prognosis of six months or less, the option to request a medical prescription to end their lives. Democratic Illinois Governor J.B. Pritzker signed the bill into law. Pope Leo. I'm very disappointed about that. I would invite all people, especially in these Christmas feast days, to reflect upon the nature of human life.

8:45Pope Leo says the Catholic Church teaches that life is sacred from conception until natural death. New York City Mayor-elect Zoran Mamdani has announced the city's next fire commissioner, Lillian Bonsignor, who is coming out of retirement as a respected EMS chief, will be the second female fire commissioner following Laura Cavanaugh. I know the job. I know what the firefighters need, and I can translate that to this administration who's willing to listen. Audio courtesy of ABC7, Ponsignor is also known as a leader in the LGBTQ community. A new Department of Health and Human Services report reveals Medicaid programs made over$200 million in improper payments to health care providers between 2021 and 2022 for people who had already died.

9:34global news 24 hours a day and whenever you want it with Bloomberg News Now. I'm Michael Barr and this is Bloomberg. Karen. Thanks, Michael. Time now for our Bloomberg Sports Update. And for that, we bring in John Stashauer. Thanks, Karen. Three NFL games on Christmas Day, including the Vikings and Lions in Minnesota, will once again be without quarterback J.J. McCarthy. This time it's an injured hand. He has missed 24 of his 33 games in the NFL. Pro Bowl rosters announced no Patrick Mahomes, no Saquon Barkley, four teams sending six players to the Pro Bowl, the Broncos, Ravens, 49ers and Seahawks, the Cowboys, Eagles, Lions and Chargers with five selections.

10:15That's your Bloomberg Sports Update. Stay with us. More from Bloomberg Daybreak coming up after this. As markets move and headlines break, what matters most is context. A Bloomberg subscription gives you unmatched reporting, sharp analysis, and powerful tools that help you connect the dots. Visit Bloomberg.com slash podcast offer to learn more. Coast to coast on Bloomberg Radio, nationwide on Sirius XM, and around the world on Bloomberg.com and the Bloomberg Business App. This is Bloomberg Daybreak. Good morning. I'm Nathan Hager. The controversy over the Jeffrey Epstein files could linger over Washington into the new year.

10:57The Justice Department's released its latest batch of documents days after the deadline set in a law passed last month. That slow rollout seems to be frustrating all sides. Joining us for more is Bloomberg's D.C. breaking news editor, Alexander Pearson. Alex, great to have you with us this morning. I wonder if you're expecting more news to break on the Epstein files into the new year and what we've learned, if anything new, from the thousands of documents that have come out thus far. Good morning. Good morning, Nathan. Yes, so yesterday we had the second batch of files. There were tens of thousands that were released as part of that batch.

11:33And most notably about them was the fact that President Trump was mentioned a lot more in the second batch than he was in the first batch that was released last week. Naturally, a lot of those mentions were awkward for the president. There was one record that showed he'd actually taken flights on Jeffrey Epstein's private jet in the mid-90s. That's something that President Trump has previously denied ever having done. And there were some other documents that also, you know, did not shed a good light on him. In terms of, you know, what we could expect from here, the Department of Justice has said that there are more files that have not yet been released that they're still reviewing.

12:12So this is probably not going to go away anytime soon, especially with a lot of people demanding that those files be released as soon as possible. And we've heard the frustration aired by the president about some of the photos being released as well, saying that it's tarnishing reputations to be pictured next to Jeffrey Epstein and all that coming out as well. How is this affecting the president politically? What could it mean for his base that these that these documents continue to roll out? Yeah, it's certainly very awkward for the president concerning his base, given that for a long, long time they've been demanding that these files be released and had actually been voicing that despite his attempts earlier in the year to try and to not order the release of those files.

13:01Eventually, Congress pressured him into doing so by passing this law that required the Department of Justice to release the files. But certainly the fact that the Justice Department hasn't released all of the files by the deadline that was set, that we're still seeing new batches coming out, is very awkward given, actually, that a lot of people in the MAGA base would like to see every file come out, full transparency. And the president and the White House seems to be sort of dragging their feet a little bit on doing that. While we continue to watch the Jeffrey Epstein matter unfold, we've seen a pretty rare moment at the Supreme Court, a setback for President Trump when it comes to one of his National Guard deployments.

13:44That's right. Yesterday, the Supreme Court blocked the Trump administration's attempted deployment of the National Guard to Chicago, which is quite notable given that it's sort of the first really major legal setback for him. Other courts had blocked other deployments for the National Guard to other cities, but this comes from the highest court in the land. And yeah, they basically said that his administration were invoking a statute that did not allow for that deployment. And so this latest decision really does cast a bit of doubt over whether President Trump will be able to continue trying to deploy the National Guard in other cities or whether he might try to pursue other legal avenues to doing so.

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15:10Search Bloomberg News Now on your favorite podcast platform to stay informed all day long. I'm Karen Moscow. And I'm Nathan Hager. Join us again tomorrow morning for all the news you need to start your day right here on Bloomberg Daybreak.