Insight & analysis on the White House and Capitol Hill.

Watch Joe and Kailey LIVE every day on YouTube: http://bit.ly/3vTiACF.

A divided US Supreme Court upheld the constitutional right of birthright citizenship, rejecting President Donald Trump’s planned restrictions and invalidating a central plank of his immigration agenda.

The court said an executive order Trump issued hours after his inauguration last year couldn’t be squared with the Constitution’s 14th Amendment, which has long been understood as guaranteeing citizenship to virtually everyone born on US soil.

The case tested what it means to be an American. Trump’s order sought to restrict birthright citizenship to babies with at least one parent who is a US citizen or green-card holder, affecting an estimated 250,000 children born to undocumented immigrants and temporary visitors each year.

Bloomberg Washington Correspondents Joe Mathieu and Kailey Leinz deliver insight and analysis on the latest headlines from the White House and Capitol Hill, including conversations with influential lawmakers and key figures in politics and policy. On this edition, Joe and Kailey speak with:

• Bloomberg Washington Correspondent Tyler Kendall.
• Stonecourt Capital Partner Rick Davis and Maywood Strategies Principal Doug Farrar.
• Bloomberg News Legal Reporter Erik Larson.
• Former FTC Commissioner Rebecca Slaughter.
• Bloomberg White House and Washington Correspondent Jeff Mason.
• Kpler Head of Policy and Geopolitical Risk Michelle Brouhard.

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A look at the $87.6 billion supplemental spending request from the White House, which would earmark most of that to the Department of Defense and the conflict with Iran, led Bloomberg Intelligence's July 29 Washington Policy Pulse. However, the request may get a frosty reception on Capitol Hill from both sides of the aisle. Democrats will likely oppose any larger request tied to the conflict with Iran and Republicans may be concerned with messaging ahead of the US midterms. And while $11 billion in farm aid that was included in the request would have bipartisan support, it's inclusion in a larger bill makes it less of a chance of passing in 2026. Increased defense spending, if enacted, would likely be tied to counter-drone and anti-missile technology, aiding contractors like Lockheed Martin, RTX and Northrop Grumman.

Finally, we gave a slight preview of the Supreme Court's decision on the Federal Reserve Lisa Cook case, as well as highlighted upcoming legislation and hearings in July tied to artificial intelligence. While US policy on AI remains high-level and "light-touch", there is growing dissent with the sector with both Republicans and Democrats.

The Bloomberg Intelligence Financial Policy weekly call is designed to provide investors an opportunity to learn about the most recent relevant policy research, information regarding forthcoming political catalysts and other on-goings within Washington DC.

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Insight & analysis on the White House and Capitol Hill.

Watch Joe and Kailey LIVE every day on YouTube: http://bit.ly/3vTiACF.

A closely divided US Supreme Court reinforced the Federal Reserve’s independence from the White House, protecting governors from being fired by the president without proof of wrongdoing.

The Fed shield came even as the court in a separate ruling Monday expanded the president’s power to fire top government officials at other federal agencies in a blockbuster ruling that overturns a 91-year-old precedent.

Voting 5-4, the high court said Fed Governor Lisa Cook can stay in her job while she fights Trump’s bid to oust her over unproven mortgage fraud allegations. Writing for the majority, Chief Justice John Roberts pointed to what he said was a long tradition of keeping the Fed’s exercise of monetary policy independent from the White House.

Bloomberg Washington Correspondents Joe Mathieu and Kailey Leinz deliver insight and analysis on the latest headlines from the White House and Capitol Hill, including conversations with influential lawmakers and key figures in politics and policy. On this edition, Joe and Kailey speak with:

• Bloomberg Washington Correspondent Tyler Kendall.
• Former Acting White House Chief of Staff Mick Mulvaney.
• Stonecourt Capital Partner Rick Davis and Hicks Evaluation Group CEO Fredrick Hicks.
• Constitutional Accountability Center President Elizabeth Wydra.
• Bloomberg International Economics and Policy Correspondent Michael McKee.
• Republican Congresswoman Nicole Malliotakis of New York.

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The US Supreme Court ruled that Federal Reserve Governor Lisa Cook can stay in her job for now, reinforcing the central bank’s independence from the White House and dealing a setback to President Donald Trump.
In a separate ruling, the court expanded the president’s power to fire top government officials at other federal agencies.
Voting 5-4, the high court said Cook can remain at the Fed while she fights Trump’s bid to oust her over unproven mortgage fraud allegations. Chief Justice John Roberts and Justice Brett Kavanaugh joined the three liberals in the majority.

Bloomberg's Paul Sweeney and Scarlet Fu got reaction from:

• June Grasso, Bloomberg Law Host
• Elliot Stein, Bloomberg Intelligence litigation analyst
• Tyler Kendall, Bloomberg Washington correspondent
• Gautam Mukunda, Lecturer at Yale School of Management and Bloomberg Opinion contributor

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Insight & analysis on the White House and Capitol Hill.

Watch Joe and Kailey LIVE every day on YouTube: http://bit.ly/3vTiACF.

US President Donald Trump accused Iran of violating their ceasefire agreement by firing at cargo ships transiting the Strait of Hormuz, underscoring how unsettled the situation remains in a waterway critical to global energy flows.

In a social media post Friday, Trump said “at least four” one-way attack drones targeted ships in the strait and that one of them “solidly hit the upper deck of a large and very expensive” cargo ship.

The vessel was “able to proceed,” Trump said, adding that the other three drones were downed.
“Obviously, this is a foolish violation of our Ceasefire Agreement,” the president posted, without saying what the consequences of a violation might be.

Bloomberg Washington Correspondents Joe Mathieu and Kailey Leinz deliver insight and analysis on the latest headlines from the White House and Capitol Hill, including conversations with influential lawmakers and key figures in politics and policy. On this edition, Joe and Kailey speak with:

• Bloomberg Washington Correspondent Tyler Kendall.
• Democratic Congresswoman Madeleine Dean of Pennsylvania.
• Stonecourt Capital Partner Rick Davis and Harvard Kennedy School Ash Center Visiting Democracy Fellow Jeanne Sheehan Zaino.
• Rear Admiral Mark Montgomery (Ret.), Foundation for Defense of Democracies Senior Fellow.

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Insight & analysis on the White House and Capitol Hill.

Watch Joe and Kailey LIVE every day on YouTube: http://bit.ly/3vTiACF.

Tensions between Donald Trump and US Senate Republicans crescendoed to a fever-pitch during a Wednesday lunch after a 24-hour exchange that saw lawmakers rebuke the president over the war with Iran while he abruptly canceled a signing ceremony for legislation that the GOP sees as essential to its midterm election efforts.

Trump refused to sign a bipartisan housing bill before attending a private luncheon with lawmakers at the US Capitol. A day earlier, as Trump was holding a campaign rally in Pennsylvania, the Republican-led Senate for the first time passed a largely symbolic measure to curb his ability to wage war with Iran.

US Senator John Kennedy, a Louisiana Republican, told reporters that Trump was “mad as a murder hornet” at the war powers vote because it undermined his ongoing negotiations with Iran.

Bloomberg Washington Correspondents Joe Mathieu and Kailey Leinz deliver insight and analysis on the latest headlines from the White House and Capitol Hill, including conversations with influential lawmakers and key figures in politics and policy. On this edition, Joe and Kailey speak with:

• Bloomberg Washington Correspondent Tyler Kendall.
• NATO Secretary General Mark Rutte.
• Former US Ambassador to NATO Kay Bailey Hutchison.
• Harvard Kennedy School Ash Center Visiting Democracy Fellow Jeanne Sheehan Zaino and American Principles Project Political Director Katie Frost.
• Taxpayers for Common Sense President Steve Ellis.

See omnystudio.com/listener for privacy information.

Insight & analysis on the White House and Capitol Hill.

Watch Joe and Kailey LIVE every day on YouTube: http://bit.ly/3vTiACF.

Donald Trump and Republicans in the US Senate squabbled on Wednesday, as the president abruptly canceled plans to sign a bipartisan housing bill and lawmakers pressed him over his handling of the war in Iran.

Trump’s refusal to sign the legislation came shortly before a private luncheon with Senate Republicans at the US Capitol, where tensions quickly flared. Louisiana Republican Bill Cassidy, whose Senate career Trump helped end, repeatedly criticized the president over the Middle East conflict, while Senate Majority Leader John Thune tried to play peacemaker, a person familiar said. Spokespeople for Cassidy and Thune did not immediately respond to requests for comment.

The president defended his war effort, telling senators he is the first president to do something to stop Iran from obtaining a nuclear weapon, said another person familiar with the matter, who requested anonymity to describe the closed-door exchange. Senator Jon Husted, a Republican from Ohio, described the Cassidy-Trump exchange as “memorable” but declined to say more.

Bloomberg Washington Correspondents Joe Mathieu and Kailey Leinz deliver insight and analysis on the latest headlines from the White House and Capitol Hill, including conversations with influential lawmakers and key figures in politics and policy. On this edition, Joe and Kailey speak with:

• Bloomberg Washington Correspondent Tyler Kendall.
• Bloomberg Government Senior Washington Reporter Jonathan Tamari.
• Republican Congressman Mike Lawler of New York.
• Burway Group Senior Advisor Roger Fisk and Brownstein Hyatt Farber Schreck Partner Rosemary Becchi.
• Bloomberg White House Correspondent Jennifer Dlouhy.
• Former US Ambassador to NATO Ivo Daalder.

See omnystudio.com/listener for privacy information.

Insight & analysis on the White House and Capitol Hill.

Watch Joe and Kailey LIVE every day on YouTube: http://bit.ly/3vTiACF.

Bloomberg Washington Correspondents Joe Mathieu and Kailey Leinz deliver insight and analysis on the latest headlines from the White House and Capitol Hill, including conversations with influential lawmakers and key figures in politics and policy. On this edition, Joe and Kailey speak with:

• Bloomberg Washington Correspondent Tyler Kendall.
• American Petroleum Institute President Mike Sommers.
• Stonecourt Capital Partner Rick Davis and Harvard Kennedy School Ash Center Visiting Democracy Fellow Jeanne Sheehan Zaino.
• Bloomberg TV Markets Correspondent Norah Mulinda.
• States Project Co-Founder and former New York State Senator Daniel Squadron.

See omnystudio.com/listener for privacy information.