Zelenskiy Plans to Meet Trump Soon; US Strikes ISIS Targets in Nigeria

0:01Bloomberg Audio Studios Podcast Radio News good morning i'm john tucker and i'm karen moscow here are the stories we're following today and karen let's start with the latest on the war in ukraine president vladimir zelinski says he plans to meet with president trump in the coming days signaling optimism about reaching a peace deal to end russia's almost four-year war this is a post on x zelinski writing quote a lot could be decided before the new year the key post reported earlier that zelinski is expected to travel to Florida, where President Trump is spending the Christmas break, as soon as Sunday.

0:40Kiev and Washington are seeking to align on a 20-point peace plan to present to Russian President Vladimir Putin, including the provision of strong security guarantees modeled on NATO's Article 5 at a global post-war development program for Ukraine. Well, let's stay with geopolitics here, John. The U.S. launched a military strike in Nigeria against Islamic state targets in a security and intelligence collaboration with the African nation's government, which has been struggling to contain increasing levels of terrorist attacks in parts of the country.

1:16President Trump said he directed American forces to carry out a powerful and deadly strike against ISIS. Nigeria's foreign affairs ministry confirmed the precision hits on terrorist targets and said it remains engaged with international partners, including the U.S., to address the, quote, persistent threat of terrorism and violent extremism. And a sanctioned oil tanker pursued by U.S. forces turned away from Venezuela and retreated out into the Atlantic as the Trump administration continues a blockade piling pressure in Caracas. Sources are telling Bloomberg the Coast Guard encountered the ship Bella One amid bad weather near Barbados on Sunday and then instructed the tanker to move to calmer waters for safe boarding.

1:59The ship instead sailed toward the Atlantic Ocean. When a tanker was not hauling oil at the time, it turned away from Venezuela. Well, on that news here, John, oil is headed for the biggest weekly gain since late October. Global benchmark Brent trading above$62 a barrel, more than 3 % higher this week. West Texas Intermediate is$58.49 a barrel. And with those escalating geopolitical tensions, Karen, gold and silver jumped to all-time highs platinum also hit a record spot gold rose as much as 1.2 percent to peak above four thousand five hundred thirty dollars an ounce and spot silver advanced for a fifth straight session climbing as much as four point six percent to cross seventy five dollars an ounce for the first time the white metals recent advance has been buoyed by speculative inflows and lingering supply dislocations across major trading hubs following an historic short squeeze in October.

2:56And the Bloomberg dollar spot index, this is a key gauge of the U.S. currency strength. That was down eight-tenths of a percent for the week, its biggest drop since June. Meanwhile, John, China criticized the U.S. for what it said was trying to hurt Beijing's ties with India, calling its approach, quote, irresponsible. Foreign Ministry spokesman Len Jain said a recent report by the Pentagon distorts China's defense policy, sows discord between China and other countries and aims to find a pretext for the U.S. to perpetuate its own military hemorrhage. Lynn made the remarks when asked about the report, which said China may use an easing of tensions with India to block improved ties between Washington and New Delhi.

3:37And meanwhile, Karen, Japan's industry ministry is set to nearly quadruple its budgeted support for cutting-edge semiconductors and artificial intelligence development to about$7.9 billion. This is for the fiscal year that starts in April. Overall, the Ministry of Economy, Trade, and Industries budget rose by about 50 % from the previous year. And this is all largely due to the jump in chips and AI spending. The jump in chips and AI spending comes at a time when Japan is trying to strengthen its capacities in frontier technology. As the U.S. and China race ahead, as the world's two largest economies continue to remain on tense terms, Despite a lull in the trade war, Japan is also trying to secure better supply chain access for key technologies.

4:24Well, John, U.S. Immigration and Customs Enforcement summoned Afghans residing in the U.S. to present their documents during the holiday season, marking the latest effort by the Trump administration to crack down on migrants from the Asian nation. Sources tell Bloomberg that ICE is seeking appointments for a scheduled report check-in, with one requesting such a meeting on Christmas Day and another asking for one on New Year's Day. The immigration agency has arrested migrants who appear at its offices in response to such formal requests, including those attending interviews for their green cards.

4:55And turning to the markets, stocks extended the year-end rally in thin trading. It was driven by optimism over economic growth and expectations for improved corporate earnings. Robert Teeter, the chief investment strategist at Silvercross Asset Management, is looking ahead to 2026. So one of the themes that we've seen has been that companies have been very slow to hire. You've had a relatively soft labor market. That's not great from a consumer standpoint, but so far it seems to be pretty great from an earnings standpoint. And that is a sign that some of these AI benefits are coming into play.

5:28You're hearing more and more CEOs talking about keeping headcount flat while revenues are rising. And so that's good for the earnings picture. Again, not so great for the consumer picture. Although payrolls are still expanding, albeit slowly, and wages are still expanding, also albeit slowly. So we're not in a spot where we're fearful of a recession. And that's Robert Teter, the chief investment strategist at Silvercrest Asset Management. Overseas, the MSCI All-Country World Index, that edged higher in Asian trading, set for a seventh day of gains, with the regional gauge climbing two-tenths of a percent.

6:00Now, Australia, Hong Kong, and several other regional markets remain shut for the holidays. at Bloomberg's index of the dollar, held near the lowest since October. Let's go to company news here, John. NVIDIA agreed to a licensing deal with artificial intelligence startup Grok, furthering its investments in companies connected to the AI boom and gaining the right to add a new type of technology to its products. The world's largest publicly traded company has paid for the right to use Grok's technology and will integrate its chip design into future products. Some of the startup's executives are leaving to join NVIDIA to help with that effort.

6:33the company said, and Grok will continue as an independent company with a new chief executive. And Karen Goldman Sachs is warning clients about an outside law firm data breach. Let's get more on this story this morning from Bloomberg's Erica Herskovitz. The banking giant says the data of some investors may have been exposed in a breach at one of the bank's law firms. Goldman was informed of the cybersecurity incident by freed Frank Harris Shriver and Jacobson, which serves as outside counsel to many of its alternative funds. The law firm says its network is now secure, the vulnerability has been corrected, and any exposed data is unlikely to be used improperly.

7:12Goldman says its own systems were not impacted by the breach. Erica Herskowitz, Bloomberg Radio. Erica, thank you. Hundreds of flights have been canceled at New York's major airports as a winter storm descends on the city and neighboring regions. At least 400 international and domestic flights have been canceled and many delayed, according to FlightAware, an airline tracking service. New York's LaGuardia and John F. Kennedy airports, as well as nearby Newark, were among the hardest hit. Let me give more details with Bloomberg meteorologist Craig Allen. It looks like the heaviest snowfall is going to come on down through central New York state, cut across interstate I-81 and across 87, come down to about I-80, which runs through the northeast section of Pennsylvania and northern New Jersey and over towards New York City.

8:00Even New Jersey right along the coast and portions of Long Island could wind up with more than half a foot of snow. And Bloomberg meteorologist Craig Allen says heavy snow is expected to start falling in New York City and across Long Island this afternoon right through tomorrow.

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. In Southern California, another powerful storm system could cause more flooding and mudslides. Officials issued evacuation warnings in mountain towns. The region experienced one of the wettest Christmases in years, increasing the risk of debris flows in areas scorched by wildfires in January. Governor Gavin Newsom has declared a state of emergency in six counties. Firefighters in Ventura County had to lift someone out of the water from the bridge over the Ventura River.

8:54Captain Anthony McHale is with the Ventura County Fire Department. We do what's called a flying Stokes operation. Lifted the victim up off the river bottom and onto the roadway. It was a very successful operation and fortunately was a good outcome. He's uninjured. Heavy rain and gusty winds were blamed for at least two deaths on Christmas Eve including a Sacramento Sheriff's deputy who died in what appeared to be a weather-related crash. There's more fallout from PG &E's citywide holiday outages. San Francisco Mayor Daniel Lurie is calling on the utility to lower its rates. We need more from PG &E.

9:32We need to make sure that there are no future blackouts. We need to know that their infrastructure is sound. Mayor Lurie says many residents lost food in freezers when the power went out. The one-time girlfriend of Jeffrey Epstein, Ghislaine Maxwell is back in the spotlight with a public release of investigative records that led to her 2021 sex trafficking conviction. Among items unsealed are the grand jury transcripts of testimony that led to her indictment. Two weeks ago, she asked a federal judge to free her from prison, claiming she was unjustly convicted. The public release of investigative materials brings fresh light to the evidence against her.

10:11Pope Leo gave his first Christmas Day message. Merry Christmas. May the peace of Christ reign in your hearts and in your families. The Pope urge the faithful to shed indifference toward those who are suffering. In New York City, Timothy Cardinal Dolan, who is retiring, presided over his last Christmas service after 16 years of service to the largest Catholic archdiocese in America. Global News, 24 hours a day and whenever you want it with Bloomberg News Now. I'm Michael Barr and this is Bloomberg. Karen. All right, Michael Barr, thank you. Time now for a Bloomberg Sports Update. Here's Dan Schwartzman.

10:49Three NFL games on the Christmas schedule as the Lions were officially eliminated from playoff contention, falling to the Vikings 23-10. Broncos stay in contention to win the AFC West with a 20-13 win over the Chiefs, while the Cowboys knock off the Commanders 30-23. NBA with five marquee matchups on Christmas. The Thunder lose just their fifth game of the season, falling to the Spurs 117-102. Knicks, a comeback win over the Cavs 126-124. The Rockets dominate the Lakers 117-96. Warriors knock off the Mavericks 126-116, while the Nuggets get a monster triple-double from Nikola Jokic, 56 points, 16 rebounds, and 15 assists, and a 142-138 overtime win over the Timberwolves.

11:28That'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. And it's now 514 on Wall Street. Good morning. I'm John Tucker. This is Bloomberg Daybreak. Just to recap our top story, Ukrainian President Volodymyr Zelensky says he plans to meet with President Donald Trump in, quote, the coming days.

12:21Let's go into more depth on this story this morning. We're joined by Bloomberg's Roz Krasny. Roz, thanks for being with us this morning. Does this signal any significant degree of optimism into ending the war? Well, it's always hard to tell as we approach the four-year mark of this Russian-Ukraine war, but it does seem like there's some new urgency on the part of Zelensky and certainly on the part of the U.S. negotiators to get something done. Zelensky talked today about potential for big movement before the new year, so that is certainly a little bit optimistic looking. and the word that we're getting from our sources in Ukraine, from other people, is that Zelensky could meet with Trump as soon as Sunday.

13:09So we know that Donald Trump certainly likes to make announcements around signature dates, so something before the end of the year would certainly be a possibility. But the big X factor in this, of course, is what will Russia do? How will they respond, if at all? Well, Zelensky met with Steve Witkoff and Jared Kushner, I think it was yesterday, Christmas Day. What came out of that with the two U.S. envoys? Yeah, so he spoke with Witkoff and Kushner for almost an hour. He said everybody's, well, he's in Kiev, but the whole U.S. negotiating team is down in Florida. They spoke for an hour and he came out just sounding optimistic.

13:52I don't think we have any specific details on that. But all the U.S. and Ukrainian negotiators are kind of coalescing around what's been described as a 20-point plan And that includes post-war security guarantees for Ukraine, an economic redevelopment plan, even how the big Ukrainian nuclear power plant may be run after hostilities end. So there's certainly a lot to talk about and movement in the right direction, it would seem. Are the territorial concessions the key sticking point right now for Ukraine? I would say so. I mean, I think as each of these 20 points is debated, you know, Zelensky will be under a lot of pressure internally not to give up territory, not to give up land.

14:44But it seems like there's a plan somewhat at foot to have some kind of demilitarized zone in Ukraine's east. And maybe that could be a compromise that could ultimately be acceptable. You know, these lands in the east, In eastern Ukraine, previously, you know, before the war were really the nation's industrial powerhouse. And it's a lot to give up. But, you know, I think something's going to give or something needs to give. And that may be sort of the last and best negotiating chip that Zelensky has. Let's take a deeper dive into one of the top stories this morning. Ukrainian President Vladimir Zelensky seeing a meeting with President Trump will happen, quote, in the near future.

15:32This announcement comes after he had what he describes as a good conversation with the U.S. Special Envoy Steve Witkoff and Trump's son-in-law, Jared Kushner. We're joined now by Stephen Carroll, the co-host of Bloomberg Daybreak Europe. Stephen, good morning to you. Is this a particularly hopeful sign? John, good morning. This seems to be a sort of string of positivity we've had out in the past couple of days. So not just those most recent comments from Ukraine's President Zelensky that he's expecting that meeting with Donald Trump in a couple of days and that a lot can be achieved before the new year.

16:07But it comes, as you mentioned, after that phone call yesterday with the envoys, Steve Witkoff and Jared Kushner, and also some commentary we had out of the Ukrainian president just a couple of days ago as well. Now, he's talked about there still being sensitive issues that need to be worked on, but was very key in his own Christmas message that he was working with the American team to understand how everything can be put in place. He talked about the weeks ahead being intensive and he thanked America for its efforts as well. So the signals are all coming are quite positive. Remember, this is after months of negotiations over these issues as well.

16:43So the fact that we're coming towards the end of the year may actually see some movement towards refining that police plan, which the US, of course, drew up and Ukraine has been trying to refine since then as well. It started its life as a 28-point peace plan. It's now down to 20, but it's not entirely something that Ukraine is satisfied with either. Yeah. How conflicted are the goals of Moscow and Kyiv? Well, I mean, between Moscow and Kyiv, the gap is very far apart. What we know about the US and Ukraine talks, because the choreography of this as we know it, is that the US and Ukraine are trying to agree on a plan that then they'll present to Vladimir Putin as well.

17:25So the key issues that still need to be worked out between the Ukrainian and American negotiators are things particularly around territory, the territorial concessions in the eastern region of Donetsk as well. This is something that Vladimir Putin has been continually pushing for as well. Ukraine, though, opposed to the idea of giving up this territory as well, fearing that it could leave them vulnerable if they had this sort of state in place to something that could be more, I suppose, open up to a further conflict in the future. The US has talked about this being designated as a free economic or demilitarized zone.

18:02And that is really where I suppose the point of difference is over that issue as well. Now, Ukraine has said that giving up any territory would require them to hold a referendum. That potentially complicates issues a little bit further as well. And of course, they have moved progress on some of the other key issues like the security guarantees, wanting something modeled on NATO's Article 5 common defense provision as well. So there's progress on other issues. 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 6 a.m.

18:35Eastern 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. And 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.

19:13I'm John Tucker. Join us again tomorrow morning for all the news you need to start your day right here on Bloomberg Day Break.