CPI Data Fails to Alter Rate Cut Bets Amid DOJ-Powell Spat | Bloomberg Businessweek Daily 1/13/2026

Watch on YouTube ↗ | January 13, 2026 at 21:07 | 59:31 | Bloomberg Markets

Speakers

Donald Trump — President of the United States

Savanthi Syth — Airline Analyst, Raymond James

Matthew Luzzetti — Head of U.S. Economic Research, Deutsche Bank

Chris Whalen — Chairman, Whalen Global Advisors

Tim Stenovec — Anchor/Co-Host, Bloomberg TV & Radio

Christina Ruffini — Host, Bloomberg This Weekend

Summary

Bloomberg Businessweek Daily covers President Trump's Detroit Economic Club speech, focusing on tariffs, oil, the Fed, and affordability. Hosts and guests analyze the political pressure on Fed Chair Powell after DOJ subpoenas, with Deutsche Bank's Matthew Luzzetti warning attacks on Fed independence can push long-end yields and mortgage rates higher. Chris Whalen discusses the low probability of credit-card rate caps and Fed succession. Raymond James' Savanthi Syth reviews Delta's cautious 2026 outlook and the broader airline sector's strong revenue trends, capacity discipline, and consolidation pressure.

Trump touted tariffs, claimed inflation is defeated, and said he wants oil prices down further.
Trump criticized the Fed and said rates should fall when markets and the economy are strong.
DOJ subpoenas and political pressure on Powell are seen as an unprecedented challenge to Fed independence.
Matthew Luzzetti said Fed attacks tend to raise long-end yields and mortgage rates, making aggressive cuts less effective for affordability.
Chris Whalen said credit-card rate caps are unlikely to pass and banks would win a fight against them.
Delta's cautious 2026 guidance disappointed investors, but Raymond James' Savanthi Syth said revenue trends and capacity discipline remain strong.
Syth sees Spirit facing possible Chapter 7 or a Frontier merger, and expects more consolidation among smaller airlines.
Markets were lower midday, with the Dow down sharply, while WTI crude and bitcoin rose.

Ideas

Donald Trump President of the United States 8:21

Oil prices to fall further

Trump says the U.S. is taking in 50 million barrels of Venezuelan oil and will work with Venezuela to bring more supply, and he explicitly wants to get oil prices down further after they have already fallen to a six-year low, implying additional policy-driven downside pressure on crude.

Donald Trump President of the United States 23:05

Tariffs boost US auto manufacturing

Trump argues tariffs are reversing the loss of the U.S. auto industry and driving reshoring: U.S. auto factories have attracted more than $70 billion of new investment, Ford is investing $5 billion across Michigan and Kentucky plants with 4,000 new jobs, and GM is moving Chevy Blazer and Equinox production from Mexico back to America.

Chris Whalen Chairman, Whalen Global Advisors 38:48

Banks can defeat credit-card caps

Whalen says the proposed 10% credit-card rate cap is a populist proposal that won't pass Congress and lacks substance; if Jamie Dimon and the rest of the banking industry fought it, they would win, meaning the regulatory overhang on banks and credit-card issuers is likely to fade.

Matthew Luzzetti Head of U.S. Economic Research, Deutsche Bank 43:18

Fed attacks raise long-end yields

Luzzetti says the DOJ probe into the Fed is an unprecedented challenge to Fed independence; attacks on the Fed have been counterproductive because long-end yields and mortgage rates rise rather than fall. Even if the Fed cuts aggressively, the long end may not decline, and Senator Tillis blocking Fed appointees could leave Powell on the board and prevent more dovish Fed members.

Savanthi Syth Airline Analyst, Raymond James 47:48

Delta premium focus offsets credit-card risk

Delta's Q4 came in above expectations with strong revenue and fare momentum on tough post-election comps, and its cautious 2026 guide reflects policy volatility rather than weak demand. Syth also argues Delta's premium/higher-end customer base and credit-card economics make it less vulnerable than lower-end airlines to proposed credit-card rate caps.

Savanthi Syth Airline Analyst, Raymond James 48:14

Airline revenue environment remains strong

Syth says airline revenue trends are very strong, corporate demand is sound, industry capacity discipline is good, and main-cabin supply is slowly rationalizing, creating an opportunity for another leg up; Delta's Q4 beat and 3% capacity growth are encouraging, and United and American should show a similarly positive revenue environment.

Savanthi Syth Airline Analyst, Raymond James 54:23

Spirit faces bankruptcy or merger

Syth says Spirit's cash flow situation is forcing creditors to consider putting in more money, and the next step could be a Chapter 7 scenario or a merger with Frontier; the smaller end of the airline market needs to consolidate, but Spirit's standalone equity looks fragile.

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This Bloomberg Markets video, published January 13, 2026, features Donald Trump, Chris Whalen, Matthew Luzzetti, Savanthi Syth discussing WTI, US auto sector, F, GM, KBE, 10-year US Treasuries, DAL, AIRLINES, UAL, AAL, SAVE. 7 trade ideas extracted by AI with direction and confidence scoring.

Speakers: Donald Trump, Chris Whalen, Matthew Luzzetti, Savanthi Syth · Tickers: WTI, US auto sector, F, GM, KBE, 10-year US Treasuries, DAL, AIRLINES, UAL, AAL, SAVE