| Welcome to Bloomberg’s California Edition—covering all the events shaping one of the world’s biggest economies and its global influence. Join us each week as we put a unique lens on the Golden State. Sign up here if you’re not already on the list. The Trump administration this week pulled back about half of the National Guard troops it deployed in Los Angeles following immigration raids and ensuing protests last month, saying “the lawlessness” is subsiding. But while turmoil in downtown LA has eased, deportations are continuing to roil the region. California Governor Gavin Newsom on Wednesday met with residents in Downey, a largely Hispanic community southeast of downtown LA where nearly a third of residents are immigrants. He said business owners told him they have lost many of their customers since the widespread raids carried out by US Immigration and Customs Enforcement. California has been squarely in the crosshairs of Trump’s immigration campaign, and the raids could inflict serious harm on the state’s businesses. According to a June study by the Bay Area Council Economic Institute, mass deportations could cut $275 billion from the state economy and eliminate $23 billion in tax revenue. And while the Pentagon released about 2,000 National Guard troops from LA, roughly 2,000 still remain in the area, along with about 700 US Marines. Newsom, who is suing the administration to end the deployment, said the remaining troops “continue without a mission.” An LA federal judge issued an order temporarily blocking US authorities from using racial or ethnic profiling during immigration sweeps, a victory for a group of Southern California residents, workers and advocacy groups who had sued the Trump administration. That was one of a few glimmers of positive news for the LA area this week: reports also showed that the county’s homeless population is down for a second straight year, while the Port of Los Angeles saw record-breaking container traffic last month. But for the region’s economy, the full impact of ICE raids has yet to be seen, Newsom said Wednesday in the immigrant-heavy LA suburb of Bell. “We tend to measure things in the aggregate, but we don’t live it the aggregate,” Newsom said. “It’s not about GDP. It’s about communities, these small businesses.”  California Governor Gavin Newsom. Photographer: Sean Rayford/Getty Images | 
