From the federal clean air act. The lawsuit says the trump administrations actions fail to respect states authorities rights to protect public health. From sydney to paris, protesters are rally to save the planet today. Students skip school and workers walked off jobs to demand action on Climate Change. Similar protests are being held in new york, toronto, and elsewhere in north america. The field of potential Democratic Candidates is narrowing. Bill de blasio is ending his bid for the white house. Enter the race in may and focused on labor issues and union rights but he never got above 1 in the polls. Global news 24 hours a day, onair, and tictoc on twitter, powered by more than 2700 journalists and analysts in over 120 countries. Im Mark Crumpton. This is bloomberg. Live from bloomberg world headquarters, im scared of scarlet fu. Amanda im amanda lang in toronto. Welcome to bloomberg markets. Here are the top stories we are following from around the world. Trump today says he has ordered sanctions on iran control bank at the highest level. Its a controversial study that may hinder humanitarian aid to the country. The Federal Reserve bank of new york offering to add a 75 billion daily to the Financial System through october 10, prolonging its effort to relieve funding pressures in money markets. Americas great climate exodus is underway. Where it is starting and which states are most vulnerable. Checkt lets get a quick on the major indexes in u. S. Equities. Losses across the board for the dow, s p, and nasdaq, with the s p now below 3000. It started the week above on tuesday but since then has moved back. If you look at the intraday u. S. Indexesthe have performed over the last couple of minutes, it tells the story. This dive lower follows the Montana Farm Bureau saying the china delegation has canceled its visit. That raises all kinds of concerns about how the u. S. China trade talks are going. Certainly not a good sign for anyone hoping for a good, interim deal, which by the way, President Trump has dismissed. If you look at the other asset classes, there are other treasuries. That is moving higher as equities move lower. How is also backing up a twomonth high after irelands foreign minister pushed back against jeanclaude junckers comments yesterday, saying an agreement is not close. India also cut its Corporate Tax rate to 22 from 30 . That etf tracking indian stocks is surging. Amanda we are watching oil today, lifting the Energy Sector there, as we get new announcements from President Trump on sanctions to the Iranian Central Bank. We are seeing a bit of a reversal here. We see nymex moving lower here. We had watched the reaction to the attack on the saudi ability facilities, what that would do to output. That has sent oil sharply higher. You can see on a oneyear basis, we are moving lower. Definitely getting a stronger reaction to the suggestion we could continue to see conflict grow in the region. Today, President Trump sitting there are further sanctions, retaliation for those attacks. The measures are from the u. S. Treasury, targeting the iran central bank, and the sovereign wealth fund. President trump calling them the highest ever sanctions imposed on the Islamic Republic. Iran could be a great country, could be a rich country , but they are choosing to go a different way. They will be sorry for that choice. But i think im showing great restraint. A lot of people respect it, some dont. Some say you should go in immediately. Some are so so thrilled at what im doing. I dont do it for anybody, i do what is good for the United States, good for our allies. Faries is with us now from washington. Obviously a doubleedged sword. Hurt the Islamic Republic but also humanitarian efforts. We understand they may be explored military options. What do we know about where this is headed . Secretary of state pompeo got back from a trip from the middle east. He is expected to brief the president as well as members of the National Security council at some point this afternoon. Thatresident himself said he feels like he has a range of military options with iran. The actions to date from the u. S. Suggest they are very much looking for some sort of a diplomatic way out of this. Thattary pompeo said history was focused on building a coalition to respond to iran. What we know is that the iranian and President Trump, as well as his National Security team, will be in new york next week for the u. N. General assembly. Talks of a meeting between President Trump and president rouhani have largely died but there will be a lot of work going on on the sidelines of the meeting, particularly among europeans hoping to find some way to preach this divide, or to bridge this divide between the u. S. And iran. Scarlet im glad you bring that up. The iranian delegation got their visas, they will be coming. Who will they be meeting . Bone there be any on the record meetings, or will this be done on the sidelines, and what we will get out of new york is hearsay . Bill we expect meetings between the iranian leadership and meetings between perhaps between Emmanuel Macron of france, shinzo abe of japan. Those have been the two leaders and u. S. Allies most working to get a deal reached. When President Trump was at the g7 last month, it was president macron who floated the idea of some sort of temporary easing of sanctions on irans oil sells sales to bring them back to the table. It is the kind of thing that people will be talking about on the sidelines. I certainly would not rule out something unusual happening. That is a great forum for impromptu discussions. Scarlet in other words, be prepared for anything. Thank you. For how this geopolitical tension is affecting oil markets, lets bring in francisco blanch. Great to see you as always. How oil prices surged on monday following the attack, then retreated. They are ending the week with gains. How long will we see or feel the effects on the hit to the saudi supply . We had the attack on monday and since then it has been muted. Francisco i think that is a fair assessment. To me, there are three elements coming into play. Attacks onefore the the oil infrastructure, we had a very weak macro backdrop. We had a searching treatment trade tensions, and that was hurting the demand side of it. Now we looking at a different picture. The best case a new is being laid out by the saudi oil minister, that production will be back to normal by early october, late september. That is only 10 days away. To the extent there are some delays and of course, there is Little Information flowing but if there are delays, the market will start edging higher from here. There is upside risk on that front. I think there is also upside risk from retaliation. Today, as first news you pointed out, on the Iranian Central Bank, but there could be an escalation of tensions on both sides. I think that will also potentially put upside pressure on oil prices. Importantly, remember the biggest player in the region in terms of their purchases, consumption, is china. China does not have a seat at the table right now. If i were in beijing, i would be nervous about my security of supply, and would probably up my purposes of Strategic Oil storages in the next six months. All of this points to higher prices, maybe not a lot higher, but certainly higher than the 65 range we have seen in brent. I wanted to ask you about that question, who might be harmed here if we see supply constraints around iran. Saudi arabia promising not only to restart but to restart at a slightly higher level than. Lee than previously. What other countries might be watching the iranian situation with great care . Reportedly, saudi arabia has been reducing its refinery runs, so they are running short on petroleum products. We are seeing an uplift in margins in different regions. As some of the saudi meets its production demands for diesel and gasoline. The region be a little bit tight when it comes to supply. Reports suggest there is a fill those client demand for crude, but i think clients will be a little bit anxious, particularly in the asian region, which is the main focus area of the middle east and comes to supply. Scarlet i want to ask you about gold as well. 7 , 1615now, getting and outs, following that announcement by the Montana Farm Bureau with the chinese canceling their visit. 0, gold hasg to 156 stalled out in the low 1500s. Once in a while youll get these kneejerk reactions but it is still pretty much in check. We were quite bullish on gold starting middle of last year. It took a little bit of time to build up. In our latest research, what we have suggested is, for gold prices to move higher from here and we are not there. We will move higher over the course of the next 24 months. But for the next move up in gold prices, we need real rates to keep going negative. That is a hard thing to do. Remember, so far, we have seen a decline in growth expectations, a drop in inflation expectations, which is why we have seen gold prices moving up so much. The next leg up really has to come from a farther downdraft in nominal Interest Rates with inflation holding, which is unlikely, or maybe from inflation ticking higher from here, which is also unlikely, unless oil prices go higher. So that is the situation for gold. We think we will hold on to this range until we get to much more pressure on the fed to act, like the ecb did last week, where they got the bazooka speech out. We need to see that kind of environment for gold to get to that 1900 range. Scarlet a more extreme scenario may be needed. Thank you very much, francisco blanch. Fedng up, the new york tackling funding asked. More on the repo operations set to continue next month. This is bloomberg. Scarlet this is bloomberg markets. Im scarlet fu in new york. Amanda im amanda lang in toronto. The new york fed will continue to conduct a series of overnight term repurchase agreements through october 10, amid signs of future funding levels. In a Bloomberg Opinion piece the, bill dudley writes incident is not a harbinger of deeper market problems are a larger risk. Rather it provides a useful signal for the fed which has been seeking the right levels of reserves for the food smooth functioning of financial markets. Joining us to discuss is peter coy. While that looks like positive spin on what is going on here, figure out the right level of reserves might have been better before we saw the levels spiked. Are we still in a kind of danger zone here . Peter it is touch and go. You inject a certain amount of reserves, you see what that does to the rate. If it is too little, you inject more. If too much, you inject less. They are feeling their way across the stream by feeling the stones. Today was an important date because not only are they continuing to roll over the 75 billion they have been doing daily, but now they are doing 14day long repo which will put even more money, three overlapping allotments, so a total of 90 billion at various points of new money coming into the market. It is quite a step up from where they have been until now. Scarlet a lot has changed over the last 10 years. This used to be fairly normal for the Federal Reserve to step in, before 2007, but then didnt have to do it for a long time after. Will this be the same way that to 2007, orprior have things changed, where they need to adjust their procedure . Peter the thought was that they would not need to do this, they were in abundant reserve regime, dated to put a floor under the interest rate, but there was no need for a ceiling. Now they are discovering, there so these aretage, so temporary open market conditions. Conceptually similar to what was done before. The first time they tried it, they had to delay a little bit because the machines were a little rusty. I think they are on it now. Are there other changes that may come in the form of regulatory changes, Bank Reserves . More structural things can be done here. We understand there are not currently enough reserves . Peter two of natural things could be done. Turns out may be reserves are not as abundant as we thought were, so the fed will need to put them on an upward trajectory to accommodate growing economy needs more money. That would be one fairly obvious thing to do. Provide more reserves. The other would be to have a more permanent facility where a permanent standing repo facility would become a ceiling to take care of those spikes. People could always borrow from the fed by posting their treasuries anytime they wanted. Scarlet our thanks to peter coy. Appreciate you spending some time and explaining this. Monday on Bloomberg Television and radio, we speak with the former new york fed president bill dudley. We will get his take on what is happening in the repo market, and much more. That is live at 10 00 in new york, 3 00 in london. Americas great Climate Change exodus. Who is most at risk, and how mass migration overall will reshape the u. S. As we know it. From new york and toronto, this is bloomberg. Scarlet this is bloomberg markets. Im scarlet fu in new york. Amanda im amanda lang in toronto. Amazon is disclosing its Carbon Footprint for the first time, so what do we know . The tech giant dominic more than ecommerce. The Company Created more Greenhouse Gas initiative then its rivals including target. Jeff bezos says that he will commit to power and all of its Business Operations by renewable sources by 2030 and achieving Carbon Neutral a decade later. Amazon employees today are expected to walk out of work, protesting the companys environmental impact. It will be their first walk out in the companys 25year history. Scarlet the great climate retreat is beginning with tiny ps, like tax buyer tax taxpayer buyouts. Risk ands most at local officials are just going to wake up to the inevitable catastrophe. Here to talk about how the state is handling mass migrations is our reporter from boston. Give us a sense of the numbers involved when we talk about the fact that people will have to move away from the shore and more inland. So nationally, by the end of the century, estimates are that 13 Million People will have to move away from the coastlines. 6 million of those are in florida. A big chunk of the most vulnerable coastline is in that state. Scarlet when we talk about forayerfunded, who pays it . State taxpayers, federal taxpayers, from what extent does this come out of insurers pockets at all . Managed retreat is not a foregone conclusion. You could have managed retreat where people are not bought out, communities are not moved, and they just get ravaged by storms, heat waves, other issues like that. Wildfires. But if there is managed retreat, the way its happening now, primarily it is federal money that is made available through storm relief. That is completely managed on a local level on an ad hoc basis. You have local communities using money from the last storm to protect them from the next one, but they have to spend a lot of it rebuilding roads and other infrastructure. So they really dont have a lot of money at this point. One thing that is clear from your story, there are multiple levels here, but there doesnt seem to be a clear line of responsibility, down to the fact that individual homeowners, like in florida, are holding the bag if there homes are destroyed. They cannot afford to rebuild and insurance will get more expensive in those places. Is there a push for some kind of broader oversight, managed process . Absolutely. The scientific community, there is a growing consensus that we need something massive. We are talking about a migration on the scale that america has never seen. Leaving the dust bowl in the dust. This is something gigantic and will cost a lot of money. How do you do this . What planners are telling me is this has to be be at least organized on a federal level. There has to be someone in charge, some leadership. Even just to share lessons that have been learned in one community, so the next immunity does not make the same mistake. Great to have you with us, a great story that you can find on the bloomberg. Bloomberg users can also find all the charts that you have seen on the network at gtv. From toronto and new york, this is bloomberg. Mark im Mark Crumpton with bloombergs first word news. President trump says iran is on borrowed time. The president spoke today at the white house during a joint News Conference with the visiting australian Prime Minister scott morrison. The president laid out new sanctions on the Iranian Central Bank and said the easiest thing to do would be to launch military strikes. President trump iran could be a great country, a rich country, but they are choosing to go a different way. There will be a point at which they will be very sorry for that choice, but i think i am showing great restraint. And a lot of people respect it. Some people dont. Some people say we should go in immediately. Other people are so thrilled at what im doing. I dont do it for anybody. I do it for what is good for the United States and our allies. Mark the president spoke before he got his National Security team at the white house to discuss how to respond to the weekend drone and missile attack facilities on Oil Facilities in saudi arabia. The administration blamed the attack on i