Not talking to Biden

Kim may be creating a foreign policy dilemma for the U.S. [View in browser]( [Bloomberg]( Follow Us [Get the newsletter]( The problem for U.S. President Joe Biden in the renewed missile tests by North Korea is that the regime may not actually be attempting to get his attention. Kim Jong Un has in the past used the launches to try and force America to talk to him. It can be a tactic ahead of negotiations to remind the U.S. he has nuclear arms and the ability to hit America with them if he truly wanted. Key reading: - [North Korea Fires Suspected Missiles After New Threat at U.S.]( - [North Korea Stole $400 Million of Crypto in 2021, Report Says]( - [Kim Jong Un’s Hypersonic Missiles Show He Can Hit U.S. Back]( - [How Kim Jong Un Keeps Advancing His Nuclear Program: QuickTake]( - [North Korea Blames U.S. for Decision to Skip Beijing Olympics]( But this time the driver might be something different, and that creates a foreign policy dilemma for the White House. The U.S. has tried without success to coax Kim to the table for further talks on his nuclear arsenal. There have been no such discussions since Biden took office. Rather than a pre-negotiating tactic, Kim seems to be turning ever more inward. The missile tests appear part of an escalation of the regime’s weapons development designed to heighten deterrence, not crack open the door to concessions from Washington. They may also be about Kim’s power at home. The still-young leader has entrenched his grip on North Korea in recent years, but he faces a host of serious problems including food shortages and a cratering economy. It remains unclear how much Covid has affected the country but it has a parlous health system to begin with. Given those parameters, it is hard to see how the U.S. can make inroads. For now Kim is confining himself to short-range missile tests. But what happens if he goes for something more? — [Rosalind Mathieson]( Kim in 2019. Photographer: Andrey Rudakov/Bloomberg Click [here]( for this week’s most compelling political images. And share this newsletter with others too. They can sign up [here](. Global Headlines Hack attack | A [cyberattack]( brought down the websites of Ukraine’s Foreign Ministry and several other government agencies. Authorities didn’t identify the source, but the U.S. has warned Russia might use hacking or other methods to ratchet up pressure as it masses troops near the border in a possible precursor to invading. - Russia won’t wait [“endlessly”]( for a security deal with NATO and progress depends on the U.S., Foreign Minister Sergei Lavrov said today, after a week of high-level talks failed to yield a breakthrough. - The U.S. is putting pressure on European allies to agree on potential [sanctions]( against Russia and is worried about slow progress to de-escalate the standoff. Democratic defeat | Biden cast doubt on his push for voting-rights legislation after Democratic Senator Kyrsten Sinema rejected the plan. Read how the [setback]( undermines the party’s defense of its narrow congressional majorities in the November midterm elections and marks another blow to the president’s agenda after the sidelining of his Build Back Better economic plan. - The Supreme Court also [blocked]( the centerpiece of Biden’s push to get more people vaccinated amid a Covid-19 surge, rejecting a rule that would have required 80 million workers to get shots or periodic tests. New data just ranked 2021 as the sixth-hottest year, near the very top of a list that stretches back into the 19th century, confirming predictions of increasing temperatures beyond doubt. Twenty-one of the warmest 22 years since 1880 have occurred in this century. Read [more]( about how that trend will continue, and how it will have deadly consequences. Djokovic reversal | Australia [cancelled]( world men’s tennis No. 1 Novak Djokovic’s visa for a second time, reversing a court decision that had thwarted the government’s bid to deport the unvaccinated star. Immigration Minister Alex Hawke cited public interest when using his personal powers for the decision, just days before Djokovic was due to compete for a record 21st Grand Slam victory at the Australian Open. Best of Bloomberg Opinion - [High Court Is Wrong to Leave Mandates to States: Timothy O’Brien]( - [Boris Johnson’s Fate Depends on Three Factors Now: Martin Ivens]( - [China Loves Zero-Covid. The Chinese? Not So Much: Adam Minter]( Outside meddling | An [agent]( of China has been engaged in political interference activities in the U.K. Parliament, Speaker of the House of Commons Lindsay Hoyle warned lawmakers in an email. Citing British security service MI5, Hoyle named Christine Lee and said she’s been working for the Chinese Communist Party to engage with lawmakers and political entities. Covid crisis | Across the U.S., a coronavirus surge claiming record numbers of victims is [disrupting]( a federal civilian workforce of 2 million. As [Ari Natter]( reports, that has delayed the processing of tax returns, drug approvals and even foreign travel by diplomats as workers call in sick, quarantine or stay home to care for ill family members. Bloomberg TV and Radio air Balance of Power with [David Westin]( weekdays from 12 to 1pm ET, with a second hour on Bloomberg Radio from 1 to 2pm ET. You can watch and listen on Bloomberg channels and online [here]( or check out prior episodes and guest clips [here](. News to Note - Boris Johnson’s government won’t face a police [inquiry]( into alleged pandemic rule-breaking parties in Downing Street unless a probe by a senior civil servant finds evidence of criminal behavior. - The Danish intelligence service warned China and Russia are looking to [destabilize]( parts of the Kingdom of Denmark, including Greenland, as their geopolitical ambitions in the Arctic region grow. - Armenia and Turkey are holding talks in Moscow today in a bid to [overcome]( more than a century of enmity by establishing diplomatic relations and open borders. - The Czech government won confirmation from lawmakers three months after elections, promising to [repair]( relations with the European Union. - President-elect Gabriel Boric warned Chile’s consumer spending boom is [unsustainable]( and that public finances are under strain, pledging to make changes in a “gradual” way. Pop quiz, readers (no cheating!). Which government sent three people to prison for up to four-plus years over breaches of Covid rules that led to a virus outbreak? Send your answers to balancepower@bloomberg.net. And finally ... Hong Kong is on a desperate quest to stamp out Covid-19, and the strains are starting to show. The Chinese territory forcibly isolates close contacts of positive cases in a makeshift camp on an outlying island that’s bursting at the seams. The [disarray]( has triggered a wave of anger from holed-up residents suffering hours without electricity and irregular food at the hands of a bureaucracy that’s clearly overwhelmed. Isolation units at Penny’s Bay. Photographer: Paul Yeung/Bloomberg Like Balance of Power? [Get unlimited access to Bloomberg.com](, where you'll find trusted, data-based journalism in 120 countries around the world and expert analysis from exclusive daily newsletters. You received this message because you are subscribed to Bloomberg's Balance of Power newsletter. [Unsubscribe]( | [Bloomberg.com]( | [Contact Us]( [Ads Powered By Liveintent]( | [Ad Choices]( Bloomberg L.P. 731 Lexington, New York, NY, 10022