UK Prime Minister Resigns; Alan Greenspan Dies at 100

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1:27Bloomberg 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 with a major political development this morning in the United Kingdom. Prime Minister Keir Starmer has announced he is stepping down. Let's go to London and get the very latest with Bloomberg's Ewan Potts. Good morning, Ewan. Karen and Nathan, less than two years after his landslide election victory, Keir Sharma says he's standing down as Prime Minister of the United Kingdom. He made the announcement outside Number 10 Downing Street less than half an hour ago.

2:05The question my party is asking now is whether I am best placed to lead us into the next general election. I have heard the answer of my parliamentary party to that question. and I accept that answer with good grace. Every decision I've taken has been about putting the country I love first. That is why I will resign as leader of the Labour Party. Starmer went on to say that nominations for a new leader of the Labour Party and hence Prime Minister will open on July 9th with the new Prime Minister in place by September. Starmer's exit opens the door to Britain's fifth premier since 2022, quite the milestone for a political system once prized for its stability.

2:55In London, I'm Ewan Potts, Bloomberg Radio. All right, Ewan, thank you. Now we want to get the latest on peace negotiations between the US and Iran. Both sides began technical discussions over the weekend in the Swiss resort of Bergenstock, and Iranian officials say major progress has been made. Vice President J.D. Vance is sounding optimistic as well. What today really represents is the beginning of a technical negotiation that's not going to solve every disagreement, but is going to allow us to sit together as teams for the first time really in history to figure out what matters most to the respective parties, to settle those issues, to solve those issues and get to a better tomorrow.

3:34Vice President J.D. Vance spoke at the start of the talks in Switzerland and we get the very latest from Bloomberg Middle East correspondent Abir Abu Omar. After the meetings concluded later today, we heard by the joint Pakistani-Qatar body that they're supposed to go on until the end of this week. And some of the things that had been discussed, according to the foreign minister of Iran, Abbas Arash, were the waivers on oil sanctions. He said some of those are lifted. He also said some of the frozen assets have been unblocked. He also said there is some major progress when it comes to the Lebanon issue, which seems to be the lasting sticking point in those negotiations.

4:16And Bloomberg's Zabir Abu Omar reports the U.S. and Iran have set up a communication line to avoid incidents and miscommunication around the Strait of Hormuz. And Karen, reaction is continuing to pour into the latest developments. Former Defense Secretary Mark Esper says the next 60 days could be a challenge. We have a long road ahead of us with regard to sustaining the current MOU, the agreement with Lebanon is a spoiler. And then secondly, I think big picture is getting to the nitty gritty on the details of the nuclear deal, if you will, and what that eventually looks like. Former Defense Secretary Mark Esper appeared on Bloomberg this weekend, heard each Saturday and Sunday at 7 a.m.

4:54Wall Street time on Bloomberg Radio and television and the Bloomberg Business app. Nathan, an ally of President Trump has won the election in Colombia and one of the closest results in the nation's history. Abolardo de la Esprilla garnered 49.7 percent of the votes, with 99.9 percent of results released by electoral authorities. Senator Yvonne Cepeda earned 48.7 percent support. The final result is expected toward the end of the week after a review process. De la Esprilla is a business owner and lawyer who earned President Trump's endorsement despite never having run for office. McCarran, U.S.-China relations are in the spotlight as well.

5:30This morning, China has announced sanctions on 10 American military-related companies. This is in response to a recent U.S. move that bar some leading Chinese tech firms from defense contracts. China's also imposed export controls against two U.S. rare earth producers that are part of Washington's effort to reduce dependence on China by establishing an alternative supply chain for those critical minerals. From geopolitics, Nathan, to the world of sports, an exciting finish at the U.S. Open on Long Island. And Bloomberg Sports anchor John Stashauer joins us with more. John, good morning. Good morning, Karen.

6:05Wyndham Clark grabbed the open lead back on Thursday with his opening round 64. He held that lead throughout the weekend, but in the final round yesterday, his six-shot lead was cut to one over fellow American Sam Burns. He survived on the 72nd hole. This putt on the way up the hill, left of the hole, turning back to the right. This has a chance. It's going to get to within a foot of the hole and a fist bump from Wyndham Clark. He's going to win the U.S. Open. U.S. Open radio with the call. As Clark won the Open for the second time in four years. John Stashauer, Bloomberg Radio. Okay, John, thank you.

6:37What was all fun and games at the box office for Disney, Toy Story 5 scored Hollywood's best opening weekend this year so far. And Bloomberg's Monica Ricks has more. Toy Story 5 debuted as the highest grossing movie at the domestic box office this weekend, raking in$160 million in ticket sales, easily surpassing Universal's Super Mario Galaxy movie, which made$131 million back in April. We're going to need backup. It also had the most successful opening weekend in the entire Toy Story franchise that started in 1995. The animated flick got strong reviews heading into the long holiday weekend and a big boost from Taylor Swift, whose latest chart-topping hit is in the soundtrack.

7:22But I knew it, I knew it. Monica Ricks, Bloomberg Radio. All right, Monica, thank you. Let's turn to the markets now. S &P futures, they're down a tenth of a percent this morning as we begin a new trading week. Morgan Stanley strategist Mike Wilson says equity markets are facing a bigger risk from thinning liquidity than potential interest rate hikes. Wilson says liquidity conditions are tightening and may remain a headwind for stocks into July. Well, let's check out some stocks in the early trading this morning, Karen. Shares of Intel are at another record high in the pre-market, up about four and a third percent.

7:56The chipmaker closed out last week with a 10 percent gain. On news, it's working with Apple to design and produce semiconductors domestically. And Nathan, shares of SpaceX, they're coming down to Earth. They're now down 3.4 percent this morning. The Elon Musk-led company has now dropped more than 10 percent following its successful IPO.

8:17Time now for a look at some of the other stories making news in New York and around the world. And for that, we're joined by Bloomberg's Michael Barr. Michael, good morning. Good morning, Karen. Ebola cases have surpassed 1 ,000 in the Democratic Republic of the Congo, where health workers are becoming infected. Almost 80 nurses, doctors, and other health care workers have become ill. Many infections occurred in ordinary clinics and hospitals. At least 18 of them have died during the epidemic. There were protests at Sunday's World Cup soccer match in Englewood, California. Protesters gathered outside the Iran-Belgium match to call out the regime and pressured President Trump to remember his promise to the Iranian people back in March.

8:59He said help is on the way, and that cost the lives of 40 ,000 Iranians. He told them to go onto the streets to protest, and they did exactly that with hope of freedom. And so we need him to stick to that, because if he doesn't, he's no different than any other U.S. president. Some protesters ripped Iranian flags. President Trump says the Lincoln Memorial reflecting pool would likely need to be drained for repairs. The pool has been plagued by algae and the recent applied blue paint coating is peeling off after a recently completed$14.7 million renovation. The president blamed the problems on vandals.

9:37Last week, National Park Service workers poured hydrogen peroxide, which can strip or peel paint into the water attempting to clean the algae. The administration officials confirm that at least five people have been arrested, including a former three-time Olympian, on vandalism charges. The ex-Olympian, 67-year-old David Hearn, strongly denies the charge. A wildfire exploding over the weekend in central Utah, forcing evacuations. Officials say the iron fighter near Eureka has grown to nearly 22 ,000 acres. This resident lives in the fire zone. It's just real sad. They rode and off-roaded in these mountains.

10:15I've got a lot of memories, and they're all pretty much just gone and burned up. So far, the wildfire is 0 % contained. Global news, 24 hours a day and whenever you want it with Bloomberg News Now. I'm Michael Parr, and this is Bloomberg, Karen. Stay with us. More from Bloomberg Daybreak coming up after this. So there's a lot of noise about AI. But time's too tight for more promises. So let's talk about results. At IBM, we work with our employees to integrate technology right into the systems they need. Now, a global workforce of 300 ,000 can use AI to fill their HR questions, resolving 94 % of common questions.

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12:36first. That is why I will resign as leader of the Labour Party. UK Prime Minister Keir Starmer made that announcement just this morning outside number 10 Downing Street and joining us from London is Bloomberg Daybreak Europe anchor Caroline Hepker. I don't think we can call this announcement unexpected, Caroline. It seems like Prime Minister Starmer has been bleeding support from within his own Labour Party for quite some time, but still quite an emotional announcement from the soon-to-be former PM. Good morning. Good morning, Nathan. Absolutely. Prime Minister Keir Starmer standing outside Number 10 Downing Street on a blazing hot day.

13:13He was virtually drowned out at the start of his speech from a perma-protester outside of Number 10. And that, to me, Nathan, seemed to say it all. A YouGov poll says that 66 % of Britons don't know what Starmer stood for. His message did not get through. He came in elected on a promise of change, but he couldn't convert that. Despite the huge number of Labour MPs that he had, couldn't also convert it swiftly enough. So in this speech, which as you say, was not unexpected, he said that he took with good grace the idea that he was not going to take the government forwards or into the next general election, that he was proud of what the Labour government had achieved so far on things like reforming workers' rights and renters' rights.

14:00He talked about there being an orderly handover of power. So, given all the pressure that he's been under, who is going to take over next and what is the process going to look like? It may well stretch over the summer. The handover will happen probably in September. Andy Burnham is still the favourite to take over of Prime Minister. The question is whether there'll be other challenges. We're thinking Wes Streeting, who resigned as Health Secretary. That was one of the pressures on Starmer. He announced that resignation after Labour's disastrous performance in the May local elections. Would there be a deal between West Street and Andy Burnham, maybe that he comes in to Burnham's cabinet?

14:39Would that sort of short circuit any bigger leadership contest over the summer? So we still really don't know whether it's going to be a contest or a coronation for Andy Burnham. Well, what's the thinking as far as our understanding, Caroline, within the Labour Party about what would be better, whether it could be just handing Andy Burnham the premiership or going through a leadership challenge? I mean, that is a question of huge debate. And there are a lot of different opinions on it. Speaking to the Institute for Governments CEO, Hannah White, earlier this morning, she has written a lot about the transition and they look at the mechanics, that think tank of power in Britain.

15:21And she was saying that she was hoping for sort of more time so that whoever does come in next actually has time to flesh out policy, because that is one of the key criticisms of Starmer, that despite 14 years of a Conservative government, the Labour Party didn't have an effective plan for policy and didn't deliver it quickly enough. Markets haven't reacted particularly strongly, either in terms of sterling or gilt yields today. And there have been various thoughts coming out of different advisers, it would seem, different whisperers out of the Andy Burnham camp about how much time they would like.

15:57Some see it as an advantage to sort of strike whilst the iron's hot and to get into government quickly. Others, though, you know, warn that maybe more time is needed to coalesce around policies that will actually be delivered. And that is also the bottom line on Burnham. We still really don't know what the former mayor of Manchester would actually deliver as PM. You know, he's talked about a number of policies, rode back on a number of policies. He's a well-known quantity in some senses. he's been an MP before, mayor of Greater Manchester, he's tried twice before and failed to get the Labour leadership.

16:33This is a third run at it. So what would he actually deliver? That's still a big question mark. This is Bloomberg Daybreak, your morning podcast on the stories making news from Wall Street to Washington and beyond. Look for us on your podcast feed by 6am Eastern each morning on Apple, Spotify or anywhere else you listen. You can also listen live each morning starting at 5 a.m. Wall Street time on Bloomberg 1130 in New York, Bloomberg 99.1 in Washington, Bloomberg 92.9 in Boston, and nationwide on Sirius XM Channel 121. Plus, listen coast to coast on the Bloomberg Business app now with Apple CarPlay and Android Auto interfaces.

17:14And don't forget to subscribe to Bloomberg News Now. It's the latest news whenever you want it in five minutes or less. Search 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.