Trump-Xi Summit Preparations, Oil Falls, More

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What AI cooperation are the U.S. and China planning before President Xi’s summit?

Caroline Hepker 0:00
AI is entering its most consequential phase where scale, safety and sovereignty will determine who leads and who lags. Join Bloomberg Tech in London on November 2nd and 3rd as global leaders across business, finance and policy examine the defining trade-offs shaping the future of AI. Thank you to our presenting sponsor, Salesforce, and supporting sponsors, IDA Ireland and Schneider Electric. Learn more at BloombergLive.com slash TechLondon.
Nathan Hager 0:30
News when you want it with Bloomberg News Now. I'm Nathan Hager.
Karen Moskow 0:35
And I'm Karen Moscow.
Nathan Hager 0:37
Karen, we begin with this week's high stakes summit between President Trump and his Chinese counterpart, Xi Jinping. Before Xi's arrival in Washington Wednesday, the U.S. and China have agreed to open a new dialogue on artificial intelligence. Treasury Secretary Scott Besant led high level talks with top Chinese officials over the weekend. He says they were very successful.
Scott Bessent 0:58
We think that just like with any cross-border activity, that moving from opaque to more transparency between the number one and the number two AI powers in the world is very important.
Nathan Hager 1:13
That was Treasury Secretary Scott Bess and China's Xinhua News Agency also described the talks as, quote, candid, in-depth and constructive. The discussions between Presidents Trump and Xi are also expected to center on AI competition, along with trade, semiconductor exports and potential Chinese electric vehicle manufacturing in the U.S.
Karen Moskow 1:32
And we're learning this morning, Nathan, that Microsoft CEO Satya Nadella is planning to attend the White House State Dinner for President Xi later this week. Sources say he'll be joining leaders at Apple, OpenAI, and NVIDIA, as well as Qualcomm. Bloomberg reported last week that Apple Executive Chairman Tim Cook is also set to attend the dinner on Thursday.
Nathan Hager 1:52
And Karen, President Trump also says he is open to meeting with Iran's president as the U.N. General Assembly gets underway this week in New York.

How will the Trump‑Xi summit address AI competition, trade and semiconductor exports?

Nathan Hager 2:00
The president told Fox News he's in, quote, deciding mode on Iran and some big things may happen in the not so distant future. Meantime, Qatar's energy chief says Treasury Secretary Besson was wrong to suggest the Strait of Hormuz will become worthless in a couple of years. Countries build pipelines to bypass it. Qatari Energy Minister Saad Al-Kaabi spoke at the Bloomberg Economic Forum in New York, powered by Bloomberg.
Unknown 2:24
I mean, we have a few countries that have waterways outside the Gulf, but the rest of the countries are all inside the Gulf. So you have a lot of trade other than oil and gas that is needed. So to call it obsolete, I think, is wrong.
Nathan Hager 2:37
And Saad Al-Kaabi is also the CEO of Qatar Energy. Oil is falling for a fourth day. Brent is set for its longest run of decline since June. The head of U.S. Central Command says crude and liquefied natural gas flows through Hormuz are running at a six-month high.
Karen Moskow 2:51
Still, Nathan, U.S. retail diesel prices have topped $6.50 a gallon for the first time. Global supplies have been squeezed by the Iran war and Russia's ban on most exports of the fuel. The surge has led to the speculation that the Trump administration might impose export curbs of its own, but Interior Secretary Doug Burgum has said that would not bring down prices.
Nathan Hager 3:12
All this as diplomatic efforts continue to try to end the conflict, Karen. Iran has been sending the U.S. conditions to resume negotiations through Qatari mediators. Majid Al-Ansari is an advisor to Qatar's prime minister.

Why does Qatar say the Strait of Hormuz isn’t becoming obsolete and what does that mean for oil markets?

Unknown 3:23
For the past couple of weeks now, we've been going back and forth over different ideas. Since the return of the possibilities to the region, we've been working together to see our mediator team in both Tehran and the U.S. to see if we can get started again.
Nathan Hager 3:41
Qatar's Majid Al Bansari spoke to Bloomberg this weekend from the Qatar Economic Forum. You can catch Bloomberg this weekend every Saturday and Sunday at 7 a.m. Wall Street time on Bloomberg Radio and Television and the Bloomberg Business app.
Karen Moskow 3:53
Well, Nathan, there are a couple more key meetings happening in New York this week. Ukraine's President Volodymyr Zelensky said he'll meet President Trump during the U.N.

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