1 00:00:03,320 --> 00:00:06,080 Speaker 1: Life from the Bloomberg Interact at Burger Studios. Is that 2 00:00:06,160 --> 00:00:10,320 Speaker 1: Bloomberg day Break for Tuesday, February twenty second two Coming 3 00:00:10,360 --> 00:00:14,040 Speaker 1: up this hour, Markets reacts of the latest developments in Ukraine, 4 00:00:14,480 --> 00:00:18,080 Speaker 1: US features and stocks overseas sell off, Global team coverage 5 00:00:18,079 --> 00:00:22,919 Speaker 1: straight ahead, Treasuries climb, taking tenure yields below one nine percent, 6 00:00:23,360 --> 00:00:26,239 Speaker 1: and oil rallies and gold rises to an eight month high. 7 00:00:26,560 --> 00:00:30,280 Speaker 1: New York City subway safety plan begins. Plus British priminister 8 00:00:30,360 --> 00:00:34,160 Speaker 1: Borce Johnson lifts COVID mandates in the UK. Michael barn 9 00:00:34,280 --> 00:00:37,120 Speaker 1: More ahead up, John stash own sports the nets and 10 00:00:37,159 --> 00:00:39,680 Speaker 1: that of the veteran point guard and Michigan basketball goes 11 00:00:39,800 --> 00:00:45,600 Speaker 1: Jwan Howard got his suspension. That's all straight ahead on 12 00:00:45,800 --> 00:00:51,560 Speaker 1: Bloomberg day Break on Bloomberg eleven, TREEO, New York, Bloomberg Washington, 13 00:00:51,640 --> 00:00:55,480 Speaker 1: d C, Bloomberg one O six one, Boston, Bloomberg nine six, 14 00:00:55,760 --> 00:00:59,760 Speaker 1: San Francisco, Sirius x M one nineteen and around the 15 00:00:59,760 --> 00:01:02,560 Speaker 1: world Old on Bloomberg Radio dot com and via the 16 00:01:02,640 --> 00:01:10,320 Speaker 1: Bloomberg Business. Good morning, I'm Nathan Hagar and I'm Karen Moscow, 17 00:01:10,360 --> 00:01:13,120 Speaker 1: and global stocks are following this morning We're coming up 18 00:01:13,120 --> 00:01:14,680 Speaker 1: to five oh one on Wall Street, and we check 19 00:01:14,720 --> 00:01:17,200 Speaker 1: the markets every fifteen minutes throughout the trading day. On 20 00:01:17,240 --> 00:01:20,800 Speaker 1: Bloomberg SMP futures are lower down fifty points and down 21 00:01:20,800 --> 00:01:24,640 Speaker 1: futures down three hunbred and NASDAG features down two hundred 22 00:01:24,760 --> 00:01:28,200 Speaker 1: sixty seven. The decks in Germany is down one point 23 00:01:28,280 --> 00:01:31,480 Speaker 1: three percent. Ten year treasury up nine thirty seconds. He 24 00:01:31,560 --> 00:01:33,959 Speaker 1: had one point eight nine percent and the yield on 25 00:01:34,000 --> 00:01:37,080 Speaker 1: the two year one point four seven percent, and nim 26 00:01:37,160 --> 00:01:40,679 Speaker 1: X screwed oil is up four point eight percent. Nathan 27 00:01:40,800 --> 00:01:43,960 Speaker 1: Well Karen. The market volatility comes after the latest developments 28 00:01:43,959 --> 00:01:47,600 Speaker 1: in Ukraine. Russia's actions are being condemned at an emergency 29 00:01:47,680 --> 00:01:50,480 Speaker 1: session of the U n. Security Council. At the same time, 30 00:01:50,560 --> 00:01:53,800 Speaker 1: Russia is accusing the West of inflaming the standoff. Let's 31 00:01:53,800 --> 00:01:57,440 Speaker 1: get the latest Romaimi Morris in our Bloomberg newsroom in Washington, 32 00:01:57,840 --> 00:02:01,120 Speaker 1: Rushton President Vladimir Putin says he read iognizes to self 33 00:02:01,160 --> 00:02:05,600 Speaker 1: proclaimed separatist republics in eastern Ukraine a dramatic escalation in 34 00:02:05,680 --> 00:02:08,880 Speaker 1: russia standoff with the West. The decrees include in order 35 00:02:08,880 --> 00:02:13,160 Speaker 1: to send what he calls peacekeeping forces into those breakaway regions, 36 00:02:13,160 --> 00:02:15,359 Speaker 1: with no word on how many troops will go in 37 00:02:15,480 --> 00:02:18,480 Speaker 1: or when Russia's ambassador hit back at last night's the 38 00:02:18,560 --> 00:02:20,760 Speaker 1: UN Security Council meeting, we are forced to note the 39 00:02:20,800 --> 00:02:23,480 Speaker 1: extremely negative role played in all of this by our 40 00:02:23,480 --> 00:02:28,400 Speaker 1: Western colleagues, led by the USA. Instead of forcing Kieva 41 00:02:28,400 --> 00:02:32,400 Speaker 1: to implement its obligations, they have merely been openly begging 42 00:02:32,520 --> 00:02:36,359 Speaker 1: Ukraine on. Ukrainian President Vladimir Zelinski urged calm in a 43 00:02:36,440 --> 00:02:40,120 Speaker 1: late night addressed to the nation. Hours later, Ukraine's ambassador 44 00:02:40,160 --> 00:02:43,000 Speaker 1: to the u N warned there will be further invasion 45 00:02:43,440 --> 00:02:46,760 Speaker 1: in Washington. Im Amy Morris Bloomberg Daybreak, any thank you. 46 00:02:46,880 --> 00:02:50,080 Speaker 1: UK Prime Minister Boris Johnson is among those condemning the 47 00:02:50,120 --> 00:02:53,640 Speaker 1: actions of Vladimir Putin. I think it's a very ill 48 00:02:53,720 --> 00:02:58,080 Speaker 1: omen and a very dark sign and it's certainly an indication, 49 00:02:58,520 --> 00:03:02,160 Speaker 1: yet another indication that things are moving in the wrong 50 00:03:02,200 --> 00:03:06,440 Speaker 1: direction in Ukraine. Prime Minister Boris Johnson says there's evidence 51 00:03:06,480 --> 00:03:09,639 Speaker 1: that President putin plans are full scale invasion and it's 52 00:03:09,720 --> 00:03:13,200 Speaker 1: vital that he should not succeed. Stocks are selling off 53 00:03:13,200 --> 00:03:16,239 Speaker 1: in response to the situation in Ukraine. Karen, Let's continue 54 00:03:16,240 --> 00:03:19,679 Speaker 1: our global team coverage. Bloomberg's Max Ramsey joins us line 55 00:03:19,680 --> 00:03:22,640 Speaker 1: from our London bureau. Good morning, Max, Good morning Nathan 56 00:03:22,680 --> 00:03:25,919 Speaker 1: and Karen. Yes, losses for European equities this morning not 57 00:03:26,000 --> 00:03:28,120 Speaker 1: as bad as we were seeing earlier on in the session, 58 00:03:28,160 --> 00:03:30,320 Speaker 1: when we were looking at a loss around two percent 59 00:03:30,400 --> 00:03:32,680 Speaker 1: on the stock six hundred, so pairing a little bit 60 00:03:32,680 --> 00:03:35,920 Speaker 1: of that back, but still volatility with the geopolitical headlines, 61 00:03:36,120 --> 00:03:38,760 Speaker 1: and still fairly steep. Losses down nine tenths of epercent 62 00:03:39,000 --> 00:03:42,000 Speaker 1: on the stock six hundred foot see one hundred outperforming, 63 00:03:42,040 --> 00:03:44,640 Speaker 1: but still down half a percent. The decks leads Losses 64 00:03:44,680 --> 00:03:48,640 Speaker 1: in Germany down one point three percent. European bonds pairing 65 00:03:48,720 --> 00:03:51,240 Speaker 1: some of the earlier games as a little risk appetite 66 00:03:51,240 --> 00:03:55,040 Speaker 1: perhaps returns the tenure German yield, then falling one basis point, 67 00:03:55,120 --> 00:03:59,320 Speaker 1: not point percent the yield. There. We see more difficulties 68 00:03:59,320 --> 00:04:02,640 Speaker 1: for Russia and assets with the possibility of sanctions, but 69 00:04:02,680 --> 00:04:05,440 Speaker 1: again it's not the pain we were seeing earlier on 70 00:04:05,480 --> 00:04:09,040 Speaker 1: the benchmark stock index, the MOEX falling five point one 71 00:04:09,120 --> 00:04:12,680 Speaker 1: percent today, the ruble continuing its decline against the dollar, 72 00:04:12,720 --> 00:04:14,880 Speaker 1: but not quite as much as earlier, still down a 73 00:04:14,960 --> 00:04:17,840 Speaker 1: tenth of eight percent seventy nine eighty six per dollar 74 00:04:17,960 --> 00:04:21,599 Speaker 1: on the ruble. Live in London, Max Ramsey, Bloomberg Daybreak, Max, 75 00:04:21,640 --> 00:04:24,719 Speaker 1: thank you. Starks also slid in Asia over night, Bloomberg. 76 00:04:24,839 --> 00:04:28,359 Speaker 1: Julias Sale continues our team coverage with the details from Singapore. 77 00:04:28,400 --> 00:04:31,400 Speaker 1: Good morning, Juliette, Good morning, Karen. The MSCI Asia Pacific 78 00:04:31,480 --> 00:04:33,920 Speaker 1: Index fell for a third day towards its lowest level 79 00:04:34,000 --> 00:04:37,120 Speaker 1: this month, including sharp declines in Hong Kong, where Russia 80 00:04:37,120 --> 00:04:40,719 Speaker 1: based aluminum producer Russel sank the most since twenty eighteen. 81 00:04:41,240 --> 00:04:44,400 Speaker 1: Chinese tech firms dropped the Hang Sang Tech Index, heading 82 00:04:44,400 --> 00:04:46,839 Speaker 1: for the lowest clothes since the inception of that gauge 83 00:04:46,880 --> 00:04:50,160 Speaker 1: in twenty twenty. Ali Baba leading declines there following a 84 00:04:50,200 --> 00:04:53,279 Speaker 1: Bloomberg report that authorities have begun another round of checks 85 00:04:53,279 --> 00:04:56,839 Speaker 1: on its fintech business. Arm Gold stocks were bid this 86 00:04:57,000 --> 00:05:00,000 Speaker 1: amongst the search for havens and yields on Benchmark Japanese 87 00:05:00,040 --> 00:05:05,080 Speaker 1: in Australian debt Film in Singapore, Juliette Sale, Bloomberg Daybreak, Okay, Juliette, 88 00:05:05,080 --> 00:05:07,760 Speaker 1: thank you. The equity sell awful, Stephen. If the situation 89 00:05:07,760 --> 00:05:10,960 Speaker 1: in Ukraine worsens that's according to Goldman Sachs, which says 90 00:05:11,000 --> 00:05:14,680 Speaker 1: outright conflict in Ukraine coupled with punitive sanctions could push 91 00:05:14,800 --> 00:05:18,440 Speaker 1: US stocks down another six percent from Friday's close. The 92 00:05:18,480 --> 00:05:21,240 Speaker 1: bank predicts the worst equity losses in Europe and Japan. 93 00:05:21,520 --> 00:05:24,040 Speaker 1: Goldman says in a worst case scenario, at ten percent 94 00:05:24,080 --> 00:05:27,200 Speaker 1: decline in Russia's currency would push oil up thirteen percent 95 00:05:27,520 --> 00:05:30,320 Speaker 1: and cause a twenty seven basis point decline in benchmark 96 00:05:30,360 --> 00:05:34,400 Speaker 1: treasury yields. And speaking of treasuries, Nathan long dated yields 97 00:05:34,400 --> 00:05:37,640 Speaker 1: are following this morning. Geopolitics are the latest catalyst, but 98 00:05:37,680 --> 00:05:40,280 Speaker 1: the Fed and commodity prices are also playing a role. 99 00:05:40,520 --> 00:05:43,720 Speaker 1: Begin more from Bloomberg's Joanna Oustinger. Right now, we really 100 00:05:43,720 --> 00:05:46,440 Speaker 1: have had this drop back in treasury yield but a 101 00:05:46,480 --> 00:05:48,159 Speaker 1: lot of that is on the idea it could stop 102 00:05:48,160 --> 00:05:50,479 Speaker 1: the FED from hiking as much, um you have haven 103 00:05:50,520 --> 00:05:52,920 Speaker 1: demand that sort of thing. But then you do have 104 00:05:53,080 --> 00:05:57,640 Speaker 1: the commodity prices potentially seeing sustained increases. If so, a 105 00:05:57,640 --> 00:05:59,279 Speaker 1: lot of the question then would be can the global 106 00:05:59,320 --> 00:06:01,720 Speaker 1: economy handle it will really start to bite. So if 107 00:06:01,720 --> 00:06:05,119 Speaker 1: you start to get the inflation in addition to everything else, 108 00:06:05,360 --> 00:06:07,440 Speaker 1: it could be trouble, but for now, the markets are 109 00:06:07,480 --> 00:06:10,520 Speaker 1: saying that treasury yields need to go lower, and Bloomberg's 110 00:06:10,560 --> 00:06:13,640 Speaker 1: Joanauston Jersey is a risk off sentiment across the board 111 00:06:13,680 --> 00:06:16,280 Speaker 1: this morning. Right now, ten year treasury yields are at 112 00:06:16,320 --> 00:06:19,400 Speaker 1: one point eight nine percent. Now we're also watching oil, nickel, 113 00:06:19,480 --> 00:06:22,039 Speaker 1: and aluminum jump. Karen is traders way the risk of 114 00:06:22,080 --> 00:06:26,200 Speaker 1: supply disruptions from potential sanctions against Rush a European gas 115 00:06:26,200 --> 00:06:29,520 Speaker 1: prices of surge more than ten percent. Checking oil right now, 116 00:06:29,560 --> 00:06:32,160 Speaker 1: Brent crudes up three point seven percent at ninety eight 117 00:06:32,160 --> 00:06:35,480 Speaker 1: dollars two cents a barrel. West Texas Intermediate it's higher 118 00:06:35,480 --> 00:06:38,000 Speaker 1: by four point eight percent at ninety five dollars forty 119 00:06:38,080 --> 00:06:40,640 Speaker 1: three cents, and gold is trading in an eight month 120 00:06:40,720 --> 00:06:43,600 Speaker 1: high right now. Checking gold on the COMEX, it's at 121 00:06:43,360 --> 00:06:47,200 Speaker 1: nine one sixty. Nathan interest rates are also on the 122 00:06:47,279 --> 00:06:50,320 Speaker 1: radar this morning. FED Governor Michelle Bowman suggests that a 123 00:06:50,400 --> 00:06:53,360 Speaker 1: fifty basis point rate hike could be on the table 124 00:06:53,440 --> 00:06:56,120 Speaker 1: next month. She told the conference in California it's too 125 00:06:56,120 --> 00:06:59,280 Speaker 1: early to tell, and Bowman says she favors quote forceful 126 00:06:59,320 --> 00:07:02,200 Speaker 1: action to out high inflation all right, Turning quickly to 127 00:07:02,240 --> 00:07:05,800 Speaker 1: the pandemic, Hong Kong continues to battle rising COVID infections, 128 00:07:05,800 --> 00:07:08,560 Speaker 1: and now Bloomberg News has learned Chinese officials that told 129 00:07:08,560 --> 00:07:11,520 Speaker 1: Hong Kong they think a lockdown is needed to contain 130 00:07:11,600 --> 00:07:14,680 Speaker 1: the surge. Sources say the city's government is conceding that 131 00:07:14,800 --> 00:07:18,560 Speaker 1: some kind of targeted stay at home restrictions may be necessary. 132 00:07:19,080 --> 00:07:24,520 Speaker 1: This is Bloomberg and it's now five oh seven on 133 00:07:24,560 --> 00:07:27,320 Speaker 1: Wall Street where thirty nine degrees in Central Park. Already 134 00:07:27,320 --> 00:07:29,920 Speaker 1: seeing problems on the westbound Cross Bronx Expressway. We'll have 135 00:07:29,960 --> 00:07:32,480 Speaker 1: details on that for you in traffic shortly. First, Michael 136 00:07:32,480 --> 00:07:34,680 Speaker 1: bar is back to tell us what else is going 137 00:07:34,720 --> 00:07:37,040 Speaker 1: on in New York and around the world. Good morning, Michael, 138 00:07:37,120 --> 00:07:40,120 Speaker 1: Good morning Nathan. New York City has started its latest 139 00:07:40,120 --> 00:07:44,000 Speaker 1: planned to tackle both crime and homelessness in subways. There 140 00:07:44,000 --> 00:07:46,640 Speaker 1: were more than a half dozen attacks and trains and 141 00:07:46,720 --> 00:07:50,400 Speaker 1: stations over the holiday weekend. Mayor Eric Adams says the 142 00:07:50,440 --> 00:07:54,880 Speaker 1: new subway safety plan involved sending more police, mental health clinicians, 143 00:07:55,160 --> 00:07:58,680 Speaker 1: and social service outreach workers into the subways. Police will 144 00:07:58,720 --> 00:08:01,880 Speaker 1: crack down on sleeping and smoking in the subway system. However, 145 00:08:02,120 --> 00:08:06,560 Speaker 1: Some advocates are cautioning against criminalizing homelessness and mental illness. 146 00:08:07,000 --> 00:08:10,960 Speaker 1: Britain is lifting many of its COVID restrictions, including requirements 147 00:08:11,000 --> 00:08:15,560 Speaker 1: for self isolation, following a positive test. UK Prime Minister 148 00:08:15,640 --> 00:08:19,120 Speaker 1: Boris Johnson we have now passed the peak of the 149 00:08:19,160 --> 00:08:24,120 Speaker 1: omicron wave. We've cases falling, hospitalizations in England my fewer 150 00:08:24,120 --> 00:08:27,920 Speaker 1: than ten thousands and still falling, and the link between 151 00:08:27,960 --> 00:08:33,040 Speaker 1: infection and severe disease substantially weakened. Johnson said. The UK 152 00:08:33,320 --> 00:08:37,559 Speaker 1: must learn to live with the coronavirus. Meanwhile, scientific advisors 153 00:08:37,559 --> 00:08:41,560 Speaker 1: are warning infections will rise. Canadian Prime Minister Justin Trudeau 154 00:08:41,640 --> 00:08:44,960 Speaker 1: said his government will retain emergency powers for at least 155 00:08:45,000 --> 00:08:48,839 Speaker 1: a few more days because of ongoing demonstration threats over 156 00:08:48,920 --> 00:08:52,760 Speaker 1: vaccine mandates. It comes even after police cleared all blockade. 157 00:08:52,760 --> 00:08:56,160 Speaker 1: It's across the country. Meanwhile, a group of US truckers 158 00:08:56,480 --> 00:09:00,520 Speaker 1: is copying in Canadian protesters in Ottawa and organized says 159 00:09:00,559 --> 00:09:04,440 Speaker 1: A convoy departs Scranton, Pennsylvania tomorrow, then they'll head to Washington, 160 00:09:04,559 --> 00:09:07,840 Speaker 1: d C. An attempt to paralyze traffic on the belt Way. 161 00:09:08,360 --> 00:09:10,960 Speaker 1: The federal hate crimes trial of three white men who 162 00:09:11,120 --> 00:09:13,240 Speaker 1: chased and killed the Mount Aubrey is in the hands 163 00:09:13,320 --> 00:09:16,760 Speaker 1: of the jury. Deliberations in the Georgia CASA's schedule to 164 00:09:16,800 --> 00:09:19,680 Speaker 1: resume this morning in U S District Court. All three 165 00:09:19,679 --> 00:09:23,200 Speaker 1: defendants were already convicted of murdered months ago for chasing 166 00:09:23,200 --> 00:09:25,560 Speaker 1: and killing the twenty five year old black man. Now 167 00:09:25,920 --> 00:09:28,840 Speaker 1: each could get another life sentence for hate crimes charges. 168 00:09:29,160 --> 00:09:32,720 Speaker 1: The jury was presented with testimony by witnesses of racist 169 00:09:32,920 --> 00:09:36,240 Speaker 1: statements the men had allegedly made. The mount Aubrey's mother 170 00:09:36,400 --> 00:09:39,000 Speaker 1: wand the Cooper Jones I knew from the very start 171 00:09:39,000 --> 00:09:45,840 Speaker 1: that they were racist. Father and son, Greg and Travis 172 00:09:45,920 --> 00:09:49,360 Speaker 1: McMichael and their neighbor William Bryan chased Aubrey after spotting 173 00:09:49,440 --> 00:09:52,640 Speaker 1: him running in the neighborhood two years ago. Global News 174 00:09:52,679 --> 00:09:55,360 Speaker 1: twenty four hours a day on air and on Bloomberg Quicktake, 175 00:09:55,400 --> 00:09:58,480 Speaker 1: powered by more than twenty seven journalist and analyst more 176 00:09:58,480 --> 00:10:01,160 Speaker 1: than a hundred twenty countries and my Klamar. This is Bloomberg. 177 00:10:01,240 --> 00:10:07,960 Speaker 1: Nick all right, Michael, thank you, Tonu to five ten 178 00:10:08,040 --> 00:10:09,959 Speaker 1: on Wall Street time for the Bloomberg Sports Update and 179 00:10:10,000 --> 00:10:12,559 Speaker 1: Morning John Sanshower, Morning Nathan. When the NETS returns to 180 00:10:12,640 --> 00:10:14,360 Speaker 1: the All Star Break all have a new point guard, 181 00:10:14,400 --> 00:10:17,000 Speaker 1: thirty five year old gore On Dragic, a fifteen year 182 00:10:17,080 --> 00:10:19,319 Speaker 1: veteran help Miami reached the NBA Finals a couple of 183 00:10:19,400 --> 00:10:21,520 Speaker 1: years ago. He started this season with Toronto, went to 184 00:10:21,520 --> 00:10:23,920 Speaker 1: Oklahoma City, where he asked for and got his release. 185 00:10:24,280 --> 00:10:26,880 Speaker 1: The Lakers, Warriors, and Bucks were all said to also 186 00:10:26,920 --> 00:10:29,560 Speaker 1: be interested in adding Dragic. By now, many have seen 187 00:10:29,559 --> 00:10:32,080 Speaker 1: the video of what happened in the handshake line after 188 00:10:32,160 --> 00:10:35,440 Speaker 1: Michigan's lost Sunday at Wisconsin. Michigan coach to one Howard 189 00:10:35,840 --> 00:10:38,640 Speaker 1: upset about a late time out call with the game decide, 190 00:10:38,679 --> 00:10:41,720 Speaker 1: and he slapped ahead of a Wisconsin assistant. Howard has 191 00:10:41,760 --> 00:10:44,360 Speaker 1: been suspended for five games. Most felt that was the 192 00:10:44,400 --> 00:10:46,600 Speaker 1: minimum he get and could have gotten more. He'll return 193 00:10:46,960 --> 00:10:49,280 Speaker 1: with the Big Ten Tournament. Syricuse last night at one 194 00:10:49,320 --> 00:10:52,120 Speaker 1: point overtime way over Stord to check. There was some 195 00:10:52,160 --> 00:10:55,120 Speaker 1: optimism yesterday with word that the two sides the baseball 196 00:10:55,200 --> 00:10:58,160 Speaker 1: lockout had been meeting for five hours, but when it ended, 197 00:10:58,520 --> 00:11:00,439 Speaker 1: the word was they didn't really get are the key 198 00:11:00,480 --> 00:11:02,960 Speaker 1: issues and the stalemate, the deadline for getting a labor 199 00:11:03,000 --> 00:11:05,480 Speaker 1: deal done and being able to keep Opening day has 200 00:11:05,520 --> 00:11:09,400 Speaker 1: planned toping sometime to nine and a half months after 201 00:11:09,520 --> 00:11:12,840 Speaker 1: Medina Spirit crossed the finish line first at the Kentucky Jervey. 202 00:11:12,960 --> 00:11:16,040 Speaker 1: The horse who died two months ago has had that 203 00:11:16,160 --> 00:11:18,920 Speaker 1: victory stripped. You tested positive for a steroid that is 204 00:11:19,040 --> 00:11:22,800 Speaker 1: legal except on race day. So Manda Lown goes into 205 00:11:22,800 --> 00:11:24,920 Speaker 1: the book, says the winner only the second time in 206 00:11:24,960 --> 00:11:27,920 Speaker 1: a hundred and forty six run for the Roses. Whether 207 00:11:27,960 --> 00:11:30,360 Speaker 1: winning horse was deep ue for a band substance. If 208 00:11:30,360 --> 00:11:32,840 Speaker 1: you bet on mand A Lown to win and still 209 00:11:32,880 --> 00:11:35,120 Speaker 1: have your ticket, you're out of luck. Is that he 210 00:11:35,120 --> 00:11:39,520 Speaker 1: doesn't chang stall yellow dean Berg Sports, Thank you John. 211 00:11:39,679 --> 00:11:42,120 Speaker 1: Right now, SMP futures are down forty four points, STUN 212 00:11:42,120 --> 00:11:44,920 Speaker 1: futures down three hundred six nance dec futures leading the 213 00:11:44,960 --> 00:11:48,040 Speaker 1: declines in US equity features this morning, They're down two 214 00:11:48,080 --> 00:11:50,680 Speaker 1: hundred forty seven points or one point eight percent. The 215 00:11:50,720 --> 00:11:53,880 Speaker 1: tenure Treasury is up eight thirty seconds, the yield one 216 00:11:53,920 --> 00:11:57,319 Speaker 1: point eight nine percent. Analysis of the market moves on 217 00:11:57,360 --> 00:12:02,559 Speaker 1: the latest geopolitics. Lori Calvacina of RBC Capital Markets joins us. Next. 218 00:12:02,720 --> 00:12:09,319 Speaker 1: This is Bloomberg. Bloomberg eleven three oh weather, cloudy rain, 219 00:12:09,400 --> 00:12:12,880 Speaker 1: this afternoon breezy with behind the low fifties, very mild tomorrow, 220 00:12:12,920 --> 00:12:16,120 Speaker 1: mid sixties for highs. By Thursday, we'll be back in 221 00:12:16,160 --> 00:12:22,679 Speaker 1: the upper thirties. Right now thirty nine in Central Park Markets, 222 00:12:22,760 --> 00:12:25,839 Speaker 1: headlines and breaking news twenty four hours a day at 223 00:12:25,840 --> 00:12:29,239 Speaker 1: Bloomberg dot Com, the Bloomberg Business at and at Bloomberg 224 00:12:29,320 --> 00:12:39,160 Speaker 1: Quicktake is a Bloomberg Business Flash, and I'm kra in Moscow. 225 00:12:39,280 --> 00:12:42,079 Speaker 1: Stocks are sliding along with US stock index futures on 226 00:12:42,160 --> 00:12:46,040 Speaker 1: intensifying tensions between the West and Russia over Ukraine, a 227 00:12:46,120 --> 00:12:49,720 Speaker 1: standoff that's causing energy prices to soar and leading investors 228 00:12:49,720 --> 00:12:52,720 Speaker 1: to seek haven's among sovereign bonds. We check the markets 229 00:12:52,760 --> 00:12:55,840 Speaker 1: every fifteen minutes throughout the trading day. On Bloomberg s 230 00:12:55,880 --> 00:12:58,960 Speaker 1: and P futures down twenty nine points down, futures down 231 00:12:58,960 --> 00:13:03,080 Speaker 1: two six Nasdaq futures are down two hundred four that's 232 00:13:03,120 --> 00:13:05,960 Speaker 1: down one and a half percent. The decks in Germany's 233 00:13:05,960 --> 00:13:08,640 Speaker 1: down eight tenths of upper cent ten. Your treasury up 234 00:13:08,640 --> 00:13:11,120 Speaker 1: six thirty seconds. He had one point nine zero percent. 235 00:13:11,200 --> 00:13:13,600 Speaker 1: The yield on the two year one point four eight percent. 236 00:13:14,040 --> 00:13:16,760 Speaker 1: NIMEX screwed oil is at four point eight percent, up 237 00:13:16,760 --> 00:13:19,640 Speaker 1: four dollars thirty four cents at ninety five dollars forty 238 00:13:19,640 --> 00:13:22,480 Speaker 1: one cents of barrel. Comic schoold is that will changed 239 00:13:22,480 --> 00:13:25,640 Speaker 1: at one thousand, nine hundred dollars announced, the Euro one 240 00:13:25,679 --> 00:13:28,360 Speaker 1: point one three three seven against the dollar, British pound 241 00:13:28,400 --> 00:13:30,800 Speaker 1: one point three five eight five, the ends at one 242 00:13:30,880 --> 00:13:34,840 Speaker 1: fourteen point eight three, and Bitcoin this morning moving higher 243 00:13:34,880 --> 00:13:38,040 Speaker 1: at thirty seven thousand, two hundred eighty dollars. That's a 244 00:13:38,080 --> 00:13:40,920 Speaker 1: Bloomberg business flash. Now here's Michael Barr with more on 245 00:13:41,000 --> 00:13:43,560 Speaker 1: what's going on around the world. Muchael, Good morning, Good 246 00:13:43,559 --> 00:13:46,600 Speaker 1: morning Karen. World leaders are lining up to condemn Russian 247 00:13:46,600 --> 00:13:50,920 Speaker 1: President Vladimir Putin after he ordered his forces into separatist 248 00:13:51,000 --> 00:13:55,439 Speaker 1: regions of eastern Ukraine. Global reaction funneled last night's emergency 249 00:13:55,480 --> 00:13:58,360 Speaker 1: meeting of the U n Security Council Russia. Meanwhile, I'll 250 00:13:58,400 --> 00:14:02,360 Speaker 1: call the forces peace keeping groups. In college basketball, Michigan 251 00:14:02,400 --> 00:14:04,800 Speaker 1: coach Dwan Howard has been suspended at the final five 252 00:14:04,840 --> 00:14:08,280 Speaker 1: games the regular season and find forty dollars for hitting 253 00:14:08,280 --> 00:14:11,760 Speaker 1: a Wisconsin assistant in the head during a postgame melee. 254 00:14:12,040 --> 00:14:14,880 Speaker 1: In the NHL, the Bruins won Global News twenty four 255 00:14:14,920 --> 00:14:17,360 Speaker 1: hours a day on air and on Bloomberg Quick Take, 256 00:14:17,360 --> 00:14:20,480 Speaker 1: powered by more than twenty seven hundred journalists and analysts 257 00:14:20,560 --> 00:14:25,160 Speaker 1: more than a hundred twenty countries. Michael bar this is Bloomberg. Nathan. Okay, Michael. Thanks, 258 00:14:25,200 --> 00:14:27,560 Speaker 1: It's five nineteen on Wall Street Live from the Bloomberg 259 00:14:27,600 --> 00:14:31,320 Speaker 1: Interactive Broker Studios. This is Bloomberg Daybreak, and Lorie Calvacina 260 00:14:31,440 --> 00:14:33,760 Speaker 1: is with us this morning, head of US Equity Strategy 261 00:14:33,760 --> 00:14:36,400 Speaker 1: at RBC Capital Markets, as we continue to watch the 262 00:14:36,440 --> 00:14:41,560 Speaker 1: market reaction to the geopolitics, all the developments surrounding Ukraine. LORI, 263 00:14:41,840 --> 00:14:44,920 Speaker 1: good morning. Given where we are right now with this 264 00:14:45,040 --> 00:14:47,880 Speaker 1: definite risk off move this morning, is this the kind 265 00:14:47,920 --> 00:14:51,400 Speaker 1: of development, the kind of action that we're seeing from Russia, 266 00:14:51,720 --> 00:14:55,120 Speaker 1: they can trigger a bear market? Alright, well, thanks for 267 00:14:55,160 --> 00:14:57,720 Speaker 1: having me as always, Nathan. Look, I think that markets 268 00:14:57,760 --> 00:15:00,600 Speaker 1: have been you know, sort of flirting with whether or 269 00:15:00,640 --> 00:15:02,920 Speaker 1: not we were going to actually in our growth scare 270 00:15:03,040 --> 00:15:05,680 Speaker 1: territory or not. Um at our worst day on you know, 271 00:15:05,720 --> 00:15:08,880 Speaker 1: sort of the year January or down about ten percent, 272 00:15:09,000 --> 00:15:11,600 Speaker 1: so we hadn't sort of exited that you know, kind 273 00:15:11,600 --> 00:15:14,760 Speaker 1: of garden variety correction phase and we've said in recent 274 00:15:14,760 --> 00:15:16,520 Speaker 1: weeks we need to take our que from the market, 275 00:15:16,960 --> 00:15:18,920 Speaker 1: um that the downside risk to our view is that 276 00:15:19,000 --> 00:15:21,040 Speaker 1: we might end up in the growth scare, which in 277 00:15:21,080 --> 00:15:25,400 Speaker 1: the post financial crisis environment, you know, things like eleven 278 00:15:26,720 --> 00:15:29,200 Speaker 1: when we had the China trade war scare, those all 279 00:15:29,280 --> 00:15:32,360 Speaker 1: ended up being fifteen draw downs in the market. So 280 00:15:32,400 --> 00:15:33,840 Speaker 1: that's the kind of risk I think we need to 281 00:15:33,880 --> 00:15:37,280 Speaker 1: watch for from this crisis. Yeah, we heard from JP 282 00:15:37,480 --> 00:15:40,240 Speaker 1: Morgan saying that we could be at risk of an 283 00:15:40,360 --> 00:15:43,920 Speaker 1: energy price shock here with the oil flirting with a 284 00:15:44,080 --> 00:15:47,520 Speaker 1: hundred dollar a barrel handle. What's your view on that, 285 00:15:47,560 --> 00:15:49,880 Speaker 1: whether we could be at risk of an energy shock 286 00:15:50,000 --> 00:15:52,920 Speaker 1: on top of all these developments. Well, I think that 287 00:15:53,120 --> 00:15:56,040 Speaker 1: energy prices do definitely matter. But I do think that's 288 00:15:56,080 --> 00:15:58,920 Speaker 1: one of the issues associated with this crisis that is 289 00:15:58,960 --> 00:16:00,920 Speaker 1: at least pretty well on understood. So if you look 290 00:16:00,920 --> 00:16:03,120 Speaker 1: at the SMP five energy sector, if you look at 291 00:16:03,200 --> 00:16:05,440 Speaker 1: energy prices, we've already had a pretty fierce rally year 292 00:16:05,440 --> 00:16:07,280 Speaker 1: to day. So I think it's a definite risk. I 293 00:16:07,280 --> 00:16:10,520 Speaker 1: think it's unclear, um, given exactly what level would shock 294 00:16:10,560 --> 00:16:13,400 Speaker 1: the consumer, just given that we are in this normalization 295 00:16:13,480 --> 00:16:16,600 Speaker 1: process coming out of the pandemic UM, but I think 296 00:16:16,600 --> 00:16:18,840 Speaker 1: it's an issue we have to watch. So far, consumers 297 00:16:18,840 --> 00:16:21,800 Speaker 1: have looked very very strong UM and able to absorb 298 00:16:21,840 --> 00:16:23,400 Speaker 1: the moves, so we've seem so far. But I think 299 00:16:23,400 --> 00:16:26,200 Speaker 1: the broader issue here, Nathan, it's not just energy prices. 300 00:16:26,280 --> 00:16:29,840 Speaker 1: It's general inflationary pressures that might emanate from this crisis. 301 00:16:29,880 --> 00:16:32,600 Speaker 1: There are also non energy commodities that are affected, and 302 00:16:32,640 --> 00:16:34,360 Speaker 1: we've got a lot of companies in the US that 303 00:16:34,440 --> 00:16:37,360 Speaker 1: have been counted on marginal UH improvement in the back 304 00:16:37,360 --> 00:16:40,320 Speaker 1: half of the year in part because of an an 305 00:16:40,360 --> 00:16:43,280 Speaker 1: improvement in the inflation backdrop. So it's bigger than just 306 00:16:43,480 --> 00:16:46,840 Speaker 1: energy prices. It's bigger than just what consumers can pay 307 00:16:46,840 --> 00:16:48,680 Speaker 1: at the pump. Yeah, I want to get to your 308 00:16:48,760 --> 00:16:52,640 Speaker 1: view about what can be done about the inflation outlook 309 00:16:52,680 --> 00:16:55,600 Speaker 1: going forward, but wanted to ask you of real quickly, 310 00:16:55,680 --> 00:16:58,480 Speaker 1: given the moves that we're seeing in the bond space 311 00:16:58,680 --> 00:17:02,080 Speaker 1: right now, a lot of volatile around yields, what kind 312 00:17:02,120 --> 00:17:07,280 Speaker 1: of impact could that have on stock valuations? Look, I 313 00:17:07,320 --> 00:17:09,920 Speaker 1: think that you know, we we definitely see if you 314 00:17:09,960 --> 00:17:12,280 Speaker 1: look at the ten year yield. I mean everyone's talking 315 00:17:12,280 --> 00:17:14,040 Speaker 1: about the FED, but I think the ten year yield 316 00:17:14,160 --> 00:17:17,320 Speaker 1: is a really important barometer UM in terms of what 317 00:17:17,400 --> 00:17:21,000 Speaker 1: we see happening with positioning to the tech trade in particular, UM. 318 00:17:21,040 --> 00:17:22,800 Speaker 1: And as long as the ten year treasury yield is 319 00:17:22,840 --> 00:17:25,919 Speaker 1: moving up, that that makes pressure on most expensive stocks 320 00:17:25,920 --> 00:17:28,880 Speaker 1: in the market, areas like technology. Now, I do think 321 00:17:28,920 --> 00:17:31,280 Speaker 1: that we've gotten a lot of you know, kind of 322 00:17:31,320 --> 00:17:33,920 Speaker 1: that that move in the market already. If you look 323 00:17:33,960 --> 00:17:36,479 Speaker 1: at the most expensive stocks in the market against the cheapest, 324 00:17:36,520 --> 00:17:38,679 Speaker 1: we're kind of back to pre pandemic levels are pretty 325 00:17:38,720 --> 00:17:41,560 Speaker 1: pretty darn close if you look at the relative multiples UM. 326 00:17:41,560 --> 00:17:42,960 Speaker 1: But I do think that's in the shoot to watch 327 00:17:43,000 --> 00:17:47,000 Speaker 1: going forward. Yeah, and all with the geopolitics going on 328 00:17:47,119 --> 00:17:50,359 Speaker 1: right now on top of inflation risk, how does that 329 00:17:50,400 --> 00:17:52,600 Speaker 1: move the Fed? Do the moves that are happening with 330 00:17:52,680 --> 00:17:57,000 Speaker 1: Russia right now enter into the Fed's calculation on what 331 00:17:57,040 --> 00:17:59,800 Speaker 1: it's going to do about rates this year. So look, 332 00:17:59,800 --> 00:18:01,520 Speaker 1: we're gonna have to take our cues from the Fed 333 00:18:01,600 --> 00:18:03,439 Speaker 1: on that. We need the set officials to weigh in 334 00:18:03,520 --> 00:18:05,840 Speaker 1: and tell us where the heads are out on that. Frankly, UM, 335 00:18:05,880 --> 00:18:08,280 Speaker 1: I will tell you that as I talked to investors, 336 00:18:08,800 --> 00:18:10,399 Speaker 1: you know, one of the things we talked about with 337 00:18:10,440 --> 00:18:13,240 Speaker 1: this Ukraine crisis is there's no perfect template when you 338 00:18:13,240 --> 00:18:15,600 Speaker 1: look at passwords. We don't think like things like CRIMEA 339 00:18:15,640 --> 00:18:18,320 Speaker 1: are a good thing to look at. We've actually been 340 00:18:18,359 --> 00:18:23,000 Speaker 1: increasingly focusing people on the escalation of the trade war 341 00:18:23,000 --> 00:18:25,400 Speaker 1: with China. Really that's the year the trade war broke out. 342 00:18:25,760 --> 00:18:27,960 Speaker 1: And you know what I think is interesting about teen 343 00:18:28,040 --> 00:18:31,040 Speaker 1: is that we had this big geopolitical issue UM that 344 00:18:31,200 --> 00:18:33,399 Speaker 1: was economically focused. It kind of broke out in the 345 00:18:33,400 --> 00:18:35,760 Speaker 1: early months of the year, infested all year, and really 346 00:18:35,800 --> 00:18:37,520 Speaker 1: kind of blew up on markets from the back half 347 00:18:37,520 --> 00:18:39,800 Speaker 1: of the year. UM. But what we did see was 348 00:18:39,840 --> 00:18:42,800 Speaker 1: a said that had had concerned investors because it looked 349 00:18:42,800 --> 00:18:45,000 Speaker 1: like it was going to tighten on autopilot. I remember 350 00:18:45,000 --> 00:18:48,160 Speaker 1: that word autopilot was really big in the discussion. UM. 351 00:18:48,320 --> 00:18:50,320 Speaker 1: So that's really, you know, kind of the risk I 352 00:18:50,359 --> 00:18:53,399 Speaker 1: think that we have going forward, UM is just this 353 00:18:53,520 --> 00:18:55,920 Speaker 1: idea that there's a growth shock out there that could 354 00:18:55,920 --> 00:18:59,640 Speaker 1: reverberate in the economy, that could have reverberate margins, and 355 00:18:59,800 --> 00:19:02,399 Speaker 1: they you've got this this tightening issue on top of it. 356 00:19:02,480 --> 00:19:05,040 Speaker 1: So I think we need to weigh in only about 357 00:19:05,040 --> 00:19:08,040 Speaker 1: thirty seconds left here there haven sectors you look at 358 00:19:08,840 --> 00:19:12,160 Speaker 1: in an environment like this, I think that with this 359 00:19:12,240 --> 00:19:17,000 Speaker 1: particular crisis, it's very tough to identify them. M Consumer 360 00:19:17,040 --> 00:19:19,399 Speaker 1: staples is one area that held up pretty well on Friday, 361 00:19:19,400 --> 00:19:21,080 Speaker 1: But I have to tell you we surveyed our analysts 362 00:19:21,119 --> 00:19:23,280 Speaker 1: last week and consumer staples looks like it's right in 363 00:19:23,320 --> 00:19:25,720 Speaker 1: the cross hairs of these risks coming from the rush 364 00:19:25,720 --> 00:19:27,919 Speaker 1: of Ukraine crisis. So we'd be skeptical of that one 365 00:19:27,960 --> 00:19:30,800 Speaker 1: in particular as a safe haven. Alright, as always good 366 00:19:30,800 --> 00:19:32,959 Speaker 1: to get your insights, Lori, thanks again for being with us. 367 00:19:33,000 --> 00:19:36,600 Speaker 1: Lori Calvacina is head of US Equity Strategy at RBC 368 00:19:36,840 --> 00:19:40,240 Speaker 1: Capital Markets. As we continue to watch stocks slide around 369 00:19:40,280 --> 00:19:44,040 Speaker 1: the world, SMP futures right now down nineteen points, STOUT 370 00:19:44,080 --> 00:19:47,879 Speaker 1: futures down a hundred sixty one, NASDAC futures are lower 371 00:19:48,080 --> 00:19:50,600 Speaker 1: by a hundred fifty two points, and the tenure treasury 372 00:19:50,680 --> 00:19:54,000 Speaker 1: is up four thirty seconds. Right now, the yield one 373 00:19:54,560 --> 00:19:56,480 Speaker 1: on the tenure note, the yield on the two year 374 00:19:57,119 --> 00:20:01,040 Speaker 1: one point four nine percent. Stay of this. You're listening 375 00:20:01,160 --> 00:20:09,520 Speaker 1: to Bloomberg game right Bloomberg eleven three oh weather afternoon, rain, 376 00:20:09,560 --> 00:20:11,639 Speaker 1: a breeze today with highs in the low fifties, will 377 00:20:11,640 --> 00:20:14,600 Speaker 1: get in the mid sixties under partly sunny sky tomorrow, 378 00:20:14,880 --> 00:20:18,480 Speaker 1: clouds and upper thirties by Thursday. Right now thirty nine 379 00:20:18,520 --> 00:20:26,159 Speaker 1: degrees broadcasting live from the Bloomberg Interactive Broker Studio in 380 00:20:26,200 --> 00:20:29,240 Speaker 1: New York. Bloomberg ev In freed to Washington, d C. 381 00:20:29,440 --> 00:20:34,159 Speaker 1: Bloomberg to Boston, Bloomberg one oh six one, to San Francisco, 382 00:20:34,200 --> 00:20:38,160 Speaker 1: Bloomberg NIXT to the country Sirius xm Chado one nineteen 383 00:20:38,280 --> 00:20:41,440 Speaker 1: and around the globe the Bloomberg Business app in Bloomberg 384 00:20:41,520 --> 00:20:51,120 Speaker 1: Radio dot Com. This is Bloomberg Daybreak. It's my thirty 385 00:20:51,160 --> 00:20:53,639 Speaker 1: on Wall Street. Good morning, I'm Nathan Hagar and I'm 386 00:20:53,720 --> 00:20:56,520 Speaker 1: Kared Moscow. We're just about four hours away from the 387 00:20:56,520 --> 00:20:58,479 Speaker 1: open of US trading. Let's get you up to date 388 00:20:58,480 --> 00:20:59,960 Speaker 1: in the news. You need to know what this show 389 00:21:00,040 --> 00:21:03,399 Speaker 1: where global stocks are sliding. His tensions between Russia and 390 00:21:03,440 --> 00:21:07,320 Speaker 1: the West intensify. The UN Security Council held an emergency 391 00:21:07,359 --> 00:21:11,160 Speaker 1: meeting after Russia moved troops into separatist regions of Ukraine. 392 00:21:11,359 --> 00:21:14,800 Speaker 1: Bloomberg's at Baxter has the very latest. The UN has 393 00:21:14,840 --> 00:21:18,359 Speaker 1: demanded a cessation of aggression and US Ambassador of the 394 00:21:18,440 --> 00:21:21,879 Speaker 1: U N Lynda Thomas Greenfield says this is a Vladimir 395 00:21:21,920 --> 00:21:24,520 Speaker 1: Putin attempt to set up a narrative for it to 396 00:21:24,600 --> 00:21:28,000 Speaker 1: invade Ukraine on a larger basis. Russia's clear attack on 397 00:21:28,119 --> 00:21:33,359 Speaker 1: Ukraine's sovereignty and territorial integrity is unprovoked. It is an 398 00:21:33,359 --> 00:21:37,600 Speaker 1: attack on Ukraine's status as a UN member state. It 399 00:21:37,760 --> 00:21:42,639 Speaker 1: violates a basic principle of international law, and it defies 400 00:21:43,080 --> 00:21:46,600 Speaker 1: our charter. Greenfield says the US will announce further sanctions 401 00:21:46,680 --> 00:21:50,520 Speaker 1: later today in San Francisco. I'm at Baxter Bloomberg Daybreak, 402 00:21:50,560 --> 00:21:52,760 Speaker 1: all right, and thanks. The reaction is pouring in this 403 00:21:52,800 --> 00:21:55,240 Speaker 1: morning to the situation in Ukraine. We spoke with former 404 00:21:55,280 --> 00:21:58,720 Speaker 1: Prime Minister of Finland Alexander Stubb. I do think this 405 00:21:58,960 --> 00:22:02,480 Speaker 1: is actually an Asian UH, and if it's an invasion, 406 00:22:02,600 --> 00:22:04,959 Speaker 1: I think the sooner the sanctions are on the ground, 407 00:22:05,240 --> 00:22:08,000 Speaker 1: the better. And I do think that Frutine needs to 408 00:22:07,680 --> 00:22:11,280 Speaker 1: be hit hard because otherwise you'll continue UH this type 409 00:22:11,320 --> 00:22:15,119 Speaker 1: of behavior. Former finished Prime Minister Alexander Stubb made the 410 00:22:15,160 --> 00:22:18,119 Speaker 1: comments in an interview on Bloomberg Radio and Television. But 411 00:22:18,200 --> 00:22:21,080 Speaker 1: the situation in Ukraine is resulting in major moves in 412 00:22:21,160 --> 00:22:25,360 Speaker 1: treasury and commodity markets. Nathan checking yields on the tenure treasury, 413 00:22:25,480 --> 00:22:28,040 Speaker 1: it's at one point nine zero percent, and oil is 414 00:22:28,080 --> 00:22:31,560 Speaker 1: also rallying. Checking prices now nine ex scrude oil is 415 00:22:31,600 --> 00:22:34,680 Speaker 1: at four point nine percent. It's at ninety nine cents 416 00:22:34,680 --> 00:22:37,200 Speaker 1: of barrel. Brent is up three point two percent and 417 00:22:37,280 --> 00:22:39,879 Speaker 1: ninety eight dollars fifty cents Well, Karen, it remains to 418 00:22:39,920 --> 00:22:41,760 Speaker 1: be seen how much impact the conflict will have on 419 00:22:41,880 --> 00:22:45,359 Speaker 1: interest rates, but Fed Governor Michelle Bowman suggests a fifty 420 00:22:45,400 --> 00:22:48,000 Speaker 1: basis point rate hike could be on the table next month. 421 00:22:48,200 --> 00:22:50,800 Speaker 1: She told the conference in California. It's too early to tell. 422 00:22:50,880 --> 00:22:54,040 Speaker 1: Bowman says she favors quote forceful action to quell high 423 00:22:54,080 --> 00:22:57,320 Speaker 1: inflation and turning to the pandemic now Nathan. Hong Kong 424 00:22:57,359 --> 00:23:01,240 Speaker 1: continues to battle rising COVID infects, and now Bloomberg News 425 00:23:01,240 --> 00:23:04,240 Speaker 1: has learned Chinese officials have told Hong Kong they think 426 00:23:04,280 --> 00:23:07,520 Speaker 1: a lockdown is needed to contain the surge. Sources say 427 00:23:07,520 --> 00:23:11,080 Speaker 1: the city's government is conceding some kind of targeted stay 428 00:23:11,119 --> 00:23:15,080 Speaker 1: at home restrictions may be necessary. Futures this morning are 429 00:23:15,119 --> 00:23:18,560 Speaker 1: following s ANDP futures down twenty three points, DAL futures 430 00:23:18,560 --> 00:23:22,040 Speaker 1: down one ninety six and NASDAG futures are down one 431 00:23:22,119 --> 00:23:25,639 Speaker 1: hundred forty four, so they are trimming their declines. And 432 00:23:25,680 --> 00:23:27,879 Speaker 1: again a ten year treasury up six thirty seconds, the 433 00:23:27,920 --> 00:23:30,480 Speaker 1: yield one point nine zero percent. Straight to had your 434 00:23:30,520 --> 00:23:33,760 Speaker 1: latest local headlines plus a check of sports and this 435 00:23:34,240 --> 00:23:40,120 Speaker 1: is Bloomberg. Thanks hearing five three and Wall Street thirty 436 00:23:40,200 --> 00:23:42,480 Speaker 1: nine degrees in Central Park. Still seeing some roadwork on 437 00:23:42,560 --> 00:23:45,800 Speaker 1: southbound FDR driving the teams. Michael Bars here with what 438 00:23:45,840 --> 00:23:47,760 Speaker 1: else is going on in New York and around the world. 439 00:23:47,800 --> 00:23:50,440 Speaker 1: Michael Nathan, thank you very much. A crackdown is underway 440 00:23:50,520 --> 00:23:53,840 Speaker 1: on crime in New York City subway system. New York 441 00:23:53,840 --> 00:23:57,239 Speaker 1: City Mayor Eric adams new safety plan comes after more 442 00:23:57,280 --> 00:24:00,720 Speaker 1: than six people were attacked from the bron to Midtown 443 00:24:00,720 --> 00:24:04,240 Speaker 1: Manhattan to Brooklyn over the holiday weekend. According to many 444 00:24:04,240 --> 00:24:07,560 Speaker 1: of Adams, the city will send more cops, mental health specialists, 445 00:24:07,720 --> 00:24:10,960 Speaker 1: and I'll reach workers into trains. Police will crack down 446 00:24:11,000 --> 00:24:14,240 Speaker 1: on sleeping and smoking in the subways, but some advocates 447 00:24:14,240 --> 00:24:19,040 Speaker 1: are cautioning against criminalizing homelessness and mental health. UK Prime 448 00:24:19,040 --> 00:24:21,880 Speaker 1: Minister Boris Johnson said the country must learn to live 449 00:24:21,920 --> 00:24:26,520 Speaker 1: with COVID nineteen. Johnson ended, pandemic rules in England, levels 450 00:24:26,520 --> 00:24:30,680 Speaker 1: of immunity are so high and deaths are now, if anything, 451 00:24:30,960 --> 00:24:34,240 Speaker 1: below where you would normally expect for this time of year, 452 00:24:34,760 --> 00:24:39,080 Speaker 1: that we can lift these restrictions. Johnson says, starting Thursday, 453 00:24:39,119 --> 00:24:42,000 Speaker 1: people with COVID will no longer have to self isolate. 454 00:24:42,440 --> 00:24:45,800 Speaker 1: Jury deliberations resumed today and the federal hate crimes trial 455 00:24:45,880 --> 00:24:49,960 Speaker 1: against the mont Aubrey's killers prosecuted. Saint Travis and Gregory 456 00:24:50,080 --> 00:24:54,080 Speaker 1: McMichael and their neighbor William Bryan, chased and gunned down 457 00:24:54,160 --> 00:24:58,080 Speaker 1: Aubrey in Brunswick, Georgia, because he was black. Defense attorney's 458 00:24:58,080 --> 00:25:00,840 Speaker 1: claim they were just concerned neighbor is trying to conduct 459 00:25:00,840 --> 00:25:04,639 Speaker 1: a citizen's arrest. The jury was presented with jessimony by 460 00:25:04,640 --> 00:25:08,960 Speaker 1: witnesses of racist statements the men had allegedly made. Aubrey's mother, 461 00:25:09,200 --> 00:25:12,119 Speaker 1: Wanda Cooper Jones, I knew from the very start that 462 00:25:12,200 --> 00:25:18,280 Speaker 1: they were racist, not suppose at all. The men, already 463 00:25:18,440 --> 00:25:21,400 Speaker 1: given life in prison for Aubrey's murder, could get life 464 00:25:21,400 --> 00:25:25,600 Speaker 1: sentences again on the hate crime charges. Closing arguments are 465 00:25:25,600 --> 00:25:28,240 Speaker 1: expected today and the federal trial of the three former 466 00:25:28,280 --> 00:25:31,280 Speaker 1: police officers who were with Derek Chauvin on the day 467 00:25:31,320 --> 00:25:35,199 Speaker 1: he murdered George Floyd. All three ex Minneapolis officers are 468 00:25:35,320 --> 00:25:39,240 Speaker 1: charged with depriving Floyd of his civil rights. Global News 469 00:25:39,240 --> 00:25:42,480 Speaker 1: twenty four hours a day on air and on Bloomberg Quicktake, 470 00:25:42,720 --> 00:25:45,919 Speaker 1: powered by more than twenty seven hundred journalists and analysts 471 00:25:46,119 --> 00:25:48,840 Speaker 1: in more than one hundred twenty countries. I'm Michael Barr. 472 00:25:49,080 --> 00:25:57,440 Speaker 1: This is Bloomberg, Nathan. Thanks Michael on Wall Street. Time 473 00:25:57,440 --> 00:26:00,160 Speaker 1: for the Bloomberg Sports Update with John stash Hour at 474 00:26:00,200 --> 00:26:01,720 Speaker 1: of the Nets are gonna try and make some history, 475 00:26:01,800 --> 00:26:03,639 Speaker 1: be the first team to win an NBA championship in 476 00:26:03,680 --> 00:26:06,120 Speaker 1: a season where they had an eleven game losing straight. 477 00:26:06,160 --> 00:26:09,720 Speaker 1: Then netsfield that when Kevin Durant returns and Ben Simmons debuts, 478 00:26:09,760 --> 00:26:12,160 Speaker 1: and who knows, maybe even Kyrie Irving can play home games, 479 00:26:12,520 --> 00:26:14,359 Speaker 1: they can win a title. And that's why they just 480 00:26:14,400 --> 00:26:17,480 Speaker 1: signed veteran point guard gore On Dragic, thirty five year old, 481 00:26:17,480 --> 00:26:20,560 Speaker 1: fifteen year NBA veteran was a free agent several other teams, 482 00:26:20,640 --> 00:26:23,400 Speaker 1: one of the Michigan began the college basketball season ranked 483 00:26:23,440 --> 00:26:26,360 Speaker 1: six of the country what were injured just fourteen eleven. 484 00:26:26,400 --> 00:26:30,600 Speaker 1: Frustration may have contributed to their coach, Jowan Howard, slapping 485 00:26:30,640 --> 00:26:33,560 Speaker 1: the head of a Wisconsin assistant after Sunday's loss in 486 00:26:33,680 --> 00:26:36,760 Speaker 1: the handshake line. No Less, the Big Ten has suspended 487 00:26:36,760 --> 00:26:39,280 Speaker 1: Howard for the next five game. Many Field of Baseball 488 00:26:39,280 --> 00:26:42,159 Speaker 1: lock out will continue until they reached the deadline of 489 00:26:42,200 --> 00:26:44,720 Speaker 1: getting the deal done or faced not starting the season 490 00:26:44,720 --> 00:26:47,880 Speaker 1: on time. That deadline is expected to be sometime next week. 491 00:26:48,000 --> 00:26:50,840 Speaker 1: Two sides did meet yesterday in Florida for five hours, 492 00:26:50,880 --> 00:26:53,520 Speaker 1: but still said to be far apart on the key issues. 493 00:26:53,760 --> 00:26:57,040 Speaker 1: Aaron Rodgers with a lengthy Instagram post where he referred 494 00:26:57,080 --> 00:27:00,280 Speaker 1: to his time spent in Green Bay in the past ends. 495 00:27:00,440 --> 00:27:03,520 Speaker 1: Rogers has said he wants a resolution on his future 496 00:27:03,600 --> 00:27:06,400 Speaker 1: around the time the teams after the site on Franchise tag, 497 00:27:06,480 --> 00:27:09,720 Speaker 1: and that window begins today. For on the second time 498 00:27:09,760 --> 00:27:12,440 Speaker 1: in Kentucky Derby history, the horse that crossed the finish 499 00:27:12,560 --> 00:27:15,040 Speaker 1: line first is not the winner, and it's due to 500 00:27:15,080 --> 00:27:19,000 Speaker 1: a positive test for a band. Roum Medina's spirit stripped 501 00:27:19,119 --> 00:27:22,680 Speaker 1: manned alone becomes the winner. Ladina Spirits trainer, the Hall 502 00:27:22,680 --> 00:27:25,520 Speaker 1: of Famer Bob Baffort, already banned from Churchill Downs for 503 00:27:25,600 --> 00:27:29,320 Speaker 1: two years and now three months attension from all racetracks. 504 00:27:29,440 --> 00:27:33,000 Speaker 1: Thinks the Bloomberg Sports Okay John Thanks coming up to 505 00:27:33,040 --> 00:27:35,000 Speaker 1: five thirty seven on Wall Street time for the Tri 506 00:27:35,160 --> 00:27:39,200 Speaker 1: State Business Report. With Bloomberg's at Corey Yale Law School 507 00:27:39,240 --> 00:27:42,960 Speaker 1: will begin covering full tuition for low income students next fall. 508 00:27:43,240 --> 00:27:46,359 Speaker 1: Program hopes to diversify its ranks and make obtaining a 509 00:27:46,400 --> 00:27:49,879 Speaker 1: lot degree more affordable. Students from families with income below 510 00:27:49,920 --> 00:27:53,440 Speaker 1: the poverty line will receive annual scholarships of about seventy 511 00:27:53,440 --> 00:27:57,520 Speaker 1: two thousand dollars. At the shops and restaurants at Hudson Yards, 512 00:27:57,560 --> 00:28:00,960 Speaker 1: the mix of stores is evolving. Women Where Daily says 513 00:28:01,040 --> 00:28:05,480 Speaker 1: Louis Vuitton has returned with a freestanding store that opened Thursday, 514 00:28:05,640 --> 00:28:09,119 Speaker 1: after previously operating a shop inside the Neiman Marcus store, 515 00:28:09,200 --> 00:28:12,520 Speaker 1: which closed during the fall of twenty With less than 516 00:28:12,560 --> 00:28:16,960 Speaker 1: a month before a moratorium on New Jersey utility shutoffs ends, 517 00:28:17,000 --> 00:28:19,600 Speaker 1: more than a million customers are still behind on paying 518 00:28:19,600 --> 00:28:22,440 Speaker 1: their gas and electric bills, owing a total of eight 519 00:28:22,520 --> 00:28:25,880 Speaker 1: hundred twenty one million dollars. The moratorium ends of March 520 00:28:26,000 --> 00:28:29,080 Speaker 1: fifteenth and and Ja Spotlight says, unlike in the past, 521 00:28:29,160 --> 00:28:32,560 Speaker 1: it is not expected to be extended that your Bloomberg 522 00:28:32,600 --> 00:28:35,840 Speaker 1: try stay business report. I'm it, Corey, thank you. Ed. 523 00:28:35,840 --> 00:28:38,560 Speaker 1: It's eight on Wall Street. Bloomberg Radio is on the 524 00:28:38,600 --> 00:28:41,640 Speaker 1: air from San Francisco to New York, London to Hong Kong. 525 00:28:41,720 --> 00:28:43,719 Speaker 1: Let's check in with our global news team for some 526 00:28:43,760 --> 00:28:45,960 Speaker 1: of the top stories heard on our three hundred affiliate 527 00:28:46,080 --> 00:28:52,360 Speaker 1: radio stations around the world. Steve Podasan on K and 528 00:28:52,600 --> 00:28:55,640 Speaker 1: X in Los Angeles. We're talking about Wall Street Second 529 00:28:55,640 --> 00:29:01,160 Speaker 1: guessing it's support for videos streaming services. Tucker for ktr 530 00:29:01,320 --> 00:29:04,280 Speaker 1: H in Houston. I'm reporting that union members locked out 531 00:29:04,280 --> 00:29:08,360 Speaker 1: the vacts on Bobo's Boma refinery accepted the company's latest 532 00:29:08,400 --> 00:29:11,680 Speaker 1: contract offer. I'm con Hit film him Big Dab Digital 533 00:29:11,680 --> 00:29:15,400 Speaker 1: Media with Lundeborport on the UK preparing sanctions against Russia 534 00:29:15,440 --> 00:29:19,000 Speaker 1: over Ukraine out far will Voice, Johnson's government goes. I'm 535 00:29:19,120 --> 00:29:22,440 Speaker 1: ed Colory W. T A M in Claytland. I'm reporting, Ohio, 536 00:29:22,480 --> 00:29:26,120 Speaker 1: it's Earth Next Summit is coming to John Carroll University. 537 00:29:26,640 --> 00:29:29,840 Speaker 1: Those are some of the stories. Are hundred Bloomberg journalists 538 00:29:29,840 --> 00:29:32,200 Speaker 1: and analysts are working on this morning around the world. 539 00:29:32,600 --> 00:29:34,840 Speaker 1: It's just about five thirty nine on Wall Street. The 540 00:29:34,880 --> 00:29:38,680 Speaker 1: following is an editorial from Bloomberg Opinion. The House of 541 00:29:38,720 --> 00:29:43,200 Speaker 1: Representatives recently passed the America Compete Act, a nearly three 542 00:29:43,200 --> 00:29:47,760 Speaker 1: thousand page compendium of trade and industrial policy initiatives and 543 00:29:48,000 --> 00:29:52,200 Speaker 1: at restoring US economic strength and countering China's commercial power. 544 00:29:52,560 --> 00:29:56,240 Speaker 1: The Senate passed a similarly ambitious measure called the US 545 00:29:56,320 --> 00:30:00,400 Speaker 1: Innovation and Competition Act last year. The US Chamber of Commers, 546 00:30:00,560 --> 00:30:04,080 Speaker 1: which you'd expect to endorse efforts to strengthen American companies, 547 00:30:04,440 --> 00:30:08,240 Speaker 1: indeed supported the Senate bill, but its letter criticizing the 548 00:30:08,320 --> 00:30:11,960 Speaker 1: House bill makes for cautionary reading. The Chamber argued that 549 00:30:12,000 --> 00:30:15,600 Speaker 1: so many market suppressing initiatives are bundled into the Compete Act, 550 00:30:16,000 --> 00:30:19,360 Speaker 1: it would actually wind up hurting American businesses rather than 551 00:30:19,440 --> 00:30:22,560 Speaker 1: helping them. Congress is now attempting to reconcile the two 552 00:30:22,600 --> 00:30:25,720 Speaker 1: sprawling bills, but it would be better to scrap them 553 00:30:25,720 --> 00:30:29,520 Speaker 1: both and start over, this time with clear and more 554 00:30:29,560 --> 00:30:32,600 Speaker 1: limited goals. This editorial was written by the Bloomberg Opinion 555 00:30:32,720 --> 00:30:36,400 Speaker 1: Editorial Board. I'm David Shipley. For more Bloomberg Opinion, please 556 00:30:36,400 --> 00:30:39,320 Speaker 1: go to Bloomberg dot Com, Slash Opinion or OPA and 557 00:30:39,360 --> 00:30:43,080 Speaker 1: go on the Bloomberg Terminal. These has been Bloomberg Opinion. 558 00:30:43,240 --> 00:30:46,520 Speaker 1: You can hear Bloomberg Opinion editorials every weekday. At this time, 559 00:30:46,680 --> 00:30:50,160 Speaker 1: terminal customers can read more at O P I, n GO, 560 00:30:50,960 --> 00:30:54,640 Speaker 1: SMP futures now in the green, up three points. Staal 561 00:30:54,800 --> 00:30:57,720 Speaker 1: Future is still lower, but pairing some earlier losses. They're 562 00:30:57,760 --> 00:31:02,520 Speaker 1: now down thirty five points. NASTAC futures down forty two points, 563 00:31:03,160 --> 00:31:06,600 Speaker 1: and right now the tenure Treasury is up three thirty seconds. 564 00:31:06,640 --> 00:31:10,360 Speaker 1: The yield one yield on the two year one point 565 00:31:10,440 --> 00:31:14,200 Speaker 1: five zero percent. The latest on what's happening with Ukraine 566 00:31:14,240 --> 00:31:18,880 Speaker 1: just ahead with Bloomberg's executive editor for International Government, Roslyn Matheson. 567 00:31:18,960 --> 00:31:24,520 Speaker 1: This is Bloomberg Bloomberg eleven three oh weather afternoon, rain, 568 00:31:24,600 --> 00:31:26,600 Speaker 1: a breeze Today, highs in the low fifties, will be 569 00:31:26,600 --> 00:31:29,600 Speaker 1: in the mid sixties under a partly sunny sky Tomorrow, 570 00:31:29,960 --> 00:31:33,120 Speaker 1: clouds and upper thirties by Thursday. Currently thirty nine in 571 00:31:33,160 --> 00:31:40,240 Speaker 1: Central Park Markets, headlines and breaking news twenty four hours 572 00:31:40,240 --> 00:31:43,200 Speaker 1: a day at Bloomberg dot Com, the Bloomberg Business Out 573 00:31:43,320 --> 00:31:52,600 Speaker 1: and at Bloomberg Quick tape, he's a Bloomberg business lash 574 00:31:53,200 --> 00:31:55,840 Speaker 1: and I'm farre in Moscow, and US dock index futures 575 00:31:55,880 --> 00:31:59,800 Speaker 1: are erasing their losses. There was some intensifying tension between 576 00:31:59,800 --> 00:32:02,800 Speaker 1: the West and Russia over Ukraine that was weighing on 577 00:32:02,920 --> 00:32:06,400 Speaker 1: stocks this morning. It's a standoff that's causing energy prices 578 00:32:06,440 --> 00:32:09,920 Speaker 1: to soar and leading investors to seek haven's amongst sovereign volns. 579 00:32:09,960 --> 00:32:12,160 Speaker 1: We checked the markets every fifteen minutes throughout the trading 580 00:32:12,240 --> 00:32:14,960 Speaker 1: day on bloomberg S and p Future is down about 581 00:32:14,960 --> 00:32:18,400 Speaker 1: three points, dal Future is down forty and Nastaic futures 582 00:32:18,400 --> 00:32:20,800 Speaker 1: down seventy one. While off the lows of the morning, 583 00:32:21,080 --> 00:32:23,520 Speaker 1: the decks in Germany is down about two tenths of 584 00:32:23,640 --> 00:32:26,360 Speaker 1: upper set ten year treasury up to thirty seconds, you 585 00:32:26,440 --> 00:32:29,040 Speaker 1: had one point nine one percent yield on the two 586 00:32:29,160 --> 00:32:32,160 Speaker 1: year one point four and nine percent nine mix. Screwed 587 00:32:32,160 --> 00:32:35,200 Speaker 1: oil is up three point nine percent of three dollars 588 00:32:35,240 --> 00:32:37,680 Speaker 1: fifty nine cents at ninety four dollars sixty six cents 589 00:32:37,680 --> 00:32:39,800 Speaker 1: of barrel Comic School is down a tenth of a 590 00:32:39,920 --> 00:32:42,600 Speaker 1: percent on two dollars eighty cents in eighteen ninety seven. 591 00:32:42,640 --> 00:32:45,280 Speaker 1: Ten and ounce the euro one point one three four 592 00:32:45,400 --> 00:32:47,920 Speaker 1: four against the dollar. British found one point three five 593 00:32:48,040 --> 00:32:51,040 Speaker 1: six three and again has had won fourteen point nine zero. 594 00:32:51,440 --> 00:32:54,080 Speaker 1: And that's a Bloomberg Business flash. Now here's Michael Barr 595 00:32:54,120 --> 00:32:57,080 Speaker 1: with Moore on what's going on around the world. Michael Cameron, 596 00:32:57,080 --> 00:32:59,920 Speaker 1: thank you very much. Rush. It's like extensions and the three. 597 00:33:00,000 --> 00:33:03,760 Speaker 1: At the war in Ukraine, Russian President Putin sent troops 598 00:33:03,760 --> 00:33:07,480 Speaker 1: into two breakaway regions of eastern Ukraine that are controlled 599 00:33:07,520 --> 00:33:11,840 Speaker 1: by Russia backed rebels. Ukrainian President Zelinsky said his nation 600 00:33:11,920 --> 00:33:16,240 Speaker 1: is unafraid and would see nothing. Canadian lawmakers are voted 601 00:33:16,280 --> 00:33:19,160 Speaker 1: to extend the emergency powers where police quot lending potential, 602 00:33:19,200 --> 00:33:24,719 Speaker 1: restart the blockades protesting COVID restrictions. In college basketball of Michigan, 603 00:33:24,760 --> 00:33:28,920 Speaker 1: coach Twin Howard has been suspended the final five games 604 00:33:28,960 --> 00:33:32,480 Speaker 1: of the regular season. Find forty dollars for postgame Maylee. 605 00:33:32,640 --> 00:33:35,280 Speaker 1: In the NHL, the Bruins won global news twenty four 606 00:33:35,320 --> 00:33:37,640 Speaker 1: hours a day on air and on Bloomberg Quick Day, 607 00:33:37,680 --> 00:33:40,800 Speaker 1: powered by more than twenty seven undred journalists and analysts 608 00:33:40,880 --> 00:33:43,880 Speaker 1: more than a d twenty countries. Michael Barn, this is Bloomberg. 609 00:33:44,000 --> 00:33:46,320 Speaker 1: Nathan Okay, Michael, thanks for coming up to five forty 610 00:33:46,400 --> 00:33:49,440 Speaker 1: nine on Wall Street Life from the Bloomberg Interactive Broker Studios. 611 00:33:49,480 --> 00:33:52,600 Speaker 1: This is Bloomberg Day Breaking. Rosalind Matheson is with us 612 00:33:52,640 --> 00:33:55,920 Speaker 1: now Bloomberg's executive editor for International Government. As we continue 613 00:33:55,960 --> 00:33:59,600 Speaker 1: to follow the latest developments surrounding the situation in Ukraine. 614 00:33:59,640 --> 00:34:02,080 Speaker 1: Obviously a lot has happened in just the last twenty 615 00:34:02,120 --> 00:34:03,960 Speaker 1: four hours. Risk, can you sort of get us up 616 00:34:03,960 --> 00:34:07,920 Speaker 1: to speed on the latest developments. Well, that's right. Certainly 617 00:34:07,920 --> 00:34:10,880 Speaker 1: there's been a big escalation from Russia in the past 618 00:34:10,920 --> 00:34:14,120 Speaker 1: twenty four hours. First, the President said that he was 619 00:34:14,160 --> 00:34:18,279 Speaker 1: going to sign treaties with these self declared republics in 620 00:34:18,320 --> 00:34:21,840 Speaker 1: the eastern part of Ukraine, recognizing them as the rightful 621 00:34:22,280 --> 00:34:25,880 Speaker 1: rulers of those areas, which he then proceeded to do, 622 00:34:26,000 --> 00:34:30,560 Speaker 1: and now Parliament has ratified rubber stamped those treaties, which 623 00:34:30,600 --> 00:34:34,360 Speaker 1: allow for a number of things, including full economic links 624 00:34:34,400 --> 00:34:37,160 Speaker 1: between these two areas and Russia, the movement of people, 625 00:34:37,560 --> 00:34:41,760 Speaker 1: but most importantly it allows the Russians to send peacekeepers 626 00:34:41,800 --> 00:34:44,759 Speaker 1: and quote marks into these areas, just to quarify. They 627 00:34:44,800 --> 00:34:47,759 Speaker 1: have not gone in as yet, as far as we 628 00:34:47,800 --> 00:34:50,279 Speaker 1: have seen, but it allows them to do so and 629 00:34:50,360 --> 00:34:53,719 Speaker 1: allows also Russia to build military bases that so that 630 00:34:53,760 --> 00:34:57,560 Speaker 1: puts Russian truth potentially in very close proximity to the 631 00:34:57,640 --> 00:35:00,360 Speaker 1: Ukrainian forces on the other side of the line of 632 00:35:00,400 --> 00:35:04,240 Speaker 1: contact and certainly raises the risk of a full military conflict. 633 00:35:04,719 --> 00:35:08,120 Speaker 1: And we've heard as well from the Ukrainian President Zolensky 634 00:35:08,200 --> 00:35:11,240 Speaker 1: it sounds like he is calling for a very strong 635 00:35:11,400 --> 00:35:16,279 Speaker 1: reaction from the West. What's he saying right now, Well, 636 00:35:16,280 --> 00:35:19,640 Speaker 1: that's right, he's saying, of course that Ukraine needs further 637 00:35:19,719 --> 00:35:23,160 Speaker 1: help from the West, be it military equipment to come in, 638 00:35:23,200 --> 00:35:27,600 Speaker 1: and certainly Ukraine is pushing for immediate sanctions that probably 639 00:35:27,600 --> 00:35:29,520 Speaker 1: go beyond what the West is looking for at this 640 00:35:29,600 --> 00:35:32,040 Speaker 1: point in time. What we're seeing so far in the 641 00:35:32,080 --> 00:35:36,479 Speaker 1: conversation is limited penalties perhaps on those he might trade 642 00:35:36,520 --> 00:35:40,960 Speaker 1: and invest in those separatist areas, because it's still unclear 643 00:35:41,000 --> 00:35:44,040 Speaker 1: for the West. Rather, this qualifies as the full shi 644 00:35:44,120 --> 00:35:48,440 Speaker 1: bang of potential invasion and therefore very big bang sanctions 645 00:35:48,480 --> 00:35:51,680 Speaker 1: that Zalinski is certainly asking for. So that's what his 646 00:35:51,760 --> 00:35:54,919 Speaker 1: pressure point is mostly today. Do we have a sense 647 00:35:54,960 --> 00:35:57,600 Speaker 1: of what the West is looking for in terms of 648 00:35:57,600 --> 00:36:01,080 Speaker 1: what constitutes a full scale invasion and from Russia if 649 00:36:01,120 --> 00:36:04,960 Speaker 1: it stopped short of something like this recognition of the 650 00:36:05,000 --> 00:36:08,440 Speaker 1: separatist republics and an authorization for troops to move in. 651 00:36:08,880 --> 00:36:11,680 Speaker 1: What's the thinking about what the West is looking for 652 00:36:11,840 --> 00:36:16,520 Speaker 1: next and what would trigger a stronger response. Well, you 653 00:36:16,560 --> 00:36:19,319 Speaker 1: can see in fact that Western leaders are sidestepping all 654 00:36:19,320 --> 00:36:21,879 Speaker 1: of this today. They're telling them slightly and not about 655 00:36:21,920 --> 00:36:25,239 Speaker 1: how they characterize it. For that very reason, it is 656 00:36:25,320 --> 00:36:28,400 Speaker 1: unknown where this goes next. For example, if those troops 657 00:36:28,400 --> 00:36:31,880 Speaker 1: do go into these areas, that's perhaps one thing. But 658 00:36:31,960 --> 00:36:33,840 Speaker 1: if they put their boots over the line of the 659 00:36:33,880 --> 00:36:37,200 Speaker 1: line of contact and engage with Ukrainian soldiers and move 660 00:36:37,320 --> 00:36:40,719 Speaker 1: into Ukrainian territory, you'd imagine that that would definitely be 661 00:36:40,760 --> 00:36:43,680 Speaker 1: classed as a full invasion by the West. So at 662 00:36:43,680 --> 00:36:45,839 Speaker 1: this point there's still a bit cautious about how they're 663 00:36:45,840 --> 00:36:48,560 Speaker 1: going to describe it. That would probably be the market 664 00:36:48,600 --> 00:36:51,640 Speaker 1: that would change those calculations. So what are we expecting 665 00:36:51,719 --> 00:36:57,720 Speaker 1: next from Western allies in terms of the possibility of diplomacy? 666 00:36:57,760 --> 00:37:01,120 Speaker 1: Is there any further track for the lamacy at this point? 667 00:37:01,120 --> 00:37:04,680 Speaker 1: What are we looking for next? At this point that 668 00:37:04,760 --> 00:37:07,759 Speaker 1: the meeting on Thursday in Geneva between the U s 669 00:37:07,760 --> 00:37:11,320 Speaker 1: Secretary of State Anthony Blincoln and the Russian Foreign Minister 670 00:37:11,400 --> 00:37:14,520 Speaker 1: Sergey Lavrov appears to still beyond so they'll be meeting 671 00:37:14,560 --> 00:37:17,319 Speaker 1: in person there and that would be an opportunity for 672 00:37:17,360 --> 00:37:21,440 Speaker 1: the West to press Russia forcefully on what's going to 673 00:37:21,520 --> 00:37:24,759 Speaker 1: happen from here. But at this point there's still a 674 00:37:24,800 --> 00:37:28,520 Speaker 1: lot of difference between them on the security demands that 675 00:37:28,560 --> 00:37:31,440 Speaker 1: the Russians are putting forward in order to de escalate, 676 00:37:31,520 --> 00:37:33,719 Speaker 1: and no sign that the US can put stuff on 677 00:37:33,719 --> 00:37:36,520 Speaker 1: the table that might enable that. At least they will. 678 00:37:36,760 --> 00:37:39,200 Speaker 1: It will facilitate a meeting and a chance to have 679 00:37:39,680 --> 00:37:42,919 Speaker 1: a conversation. The real question is whether this does move 680 00:37:42,960 --> 00:37:45,640 Speaker 1: towards some sort of proper summit between the leaders of 681 00:37:45,760 --> 00:37:48,439 Speaker 1: US and Russia. So far we've seen Moscow be very 682 00:37:48,480 --> 00:37:51,600 Speaker 1: cautious on that, but you could imagine that the US 683 00:37:51,719 --> 00:37:54,000 Speaker 1: might try and ludge them into actually having a proper 684 00:37:54,040 --> 00:37:56,360 Speaker 1: sit down at some point in the near future. What 685 00:37:56,440 --> 00:38:00,080 Speaker 1: are the complications for Europe when it comes to reacting 686 00:38:00,160 --> 00:38:02,759 Speaker 1: to what Russia has done so far? We think back 687 00:38:02,800 --> 00:38:06,960 Speaker 1: to the invasion of Crimea, the annexation at the same time, 688 00:38:07,480 --> 00:38:12,680 Speaker 1: Europe is pretty dependent on Russian energy. It's it's delicate dance, 689 00:38:12,760 --> 00:38:15,200 Speaker 1: isn't it in terms of what what Europe can do 690 00:38:15,239 --> 00:38:18,920 Speaker 1: at this point? Well, that's right, and certainly Europe has 691 00:38:18,960 --> 00:38:21,719 Speaker 1: that extra element, perhaps more so than the US, of 692 00:38:21,760 --> 00:38:25,319 Speaker 1: the economic fallout that could come on their own economies 693 00:38:25,360 --> 00:38:29,600 Speaker 1: if they penalized Russia severely for its actions involving Ukraine. 694 00:38:29,640 --> 00:38:33,040 Speaker 1: That's particularly the case for countries like Germany that rely 695 00:38:33,200 --> 00:38:36,560 Speaker 1: heavily on Russia for imports of natural gas, and also 696 00:38:36,600 --> 00:38:40,239 Speaker 1: their financial sectors could be effected. In Italy there the 697 00:38:40,320 --> 00:38:43,880 Speaker 1: luxury sector could be effected potentially by sanctions, So a 698 00:38:43,960 --> 00:38:46,840 Speaker 1: high level of caution. They're about the kind of the 699 00:38:46,920 --> 00:38:49,960 Speaker 1: Ricochet effect on their own economies which are still recovering 700 00:38:50,320 --> 00:38:54,120 Speaker 1: from the pandemic by pushing Russia too hard there. So 701 00:38:54,360 --> 00:38:57,560 Speaker 1: you probably going to continue to see some differences in 702 00:38:57,760 --> 00:39:00,560 Speaker 1: how far to push between Europe and the S because 703 00:39:00,560 --> 00:39:03,799 Speaker 1: of those calculations. All right, ros as always, thanks for 704 00:39:03,880 --> 00:39:07,520 Speaker 1: being here with us. Rosalind Matheson, Bloomberg's executive editor for 705 00:39:07,600 --> 00:39:12,000 Speaker 1: International Government, Karen Nathan. It is five fifty four on 706 00:39:12,000 --> 00:39:14,879 Speaker 1: Wall Street time for our Bloomberg Law Report. Let's get 707 00:39:14,880 --> 00:39:17,799 Speaker 1: to the legal stories we're watching this morning from Bloomberg's 708 00:39:17,880 --> 00:39:24,080 Speaker 1: Joan Donnager. When Mr. Freme Court ruled against allowing the 709 00:39:24,120 --> 00:39:28,800 Speaker 1: Five administrations COVID nineteen vaccine or Test Emergency temporary standard, 710 00:39:29,080 --> 00:39:32,520 Speaker 1: it didn't mean O'Shea is no longer protecting workers from COVID. 711 00:39:32,560 --> 00:39:35,080 Speaker 1: The agency has issued more than four million dollars and 712 00:39:35,160 --> 00:39:38,759 Speaker 1: penalties for COVID safety violations. The i r S is 713 00:39:38,840 --> 00:39:43,040 Speaker 1: expanding its capacity for processing a backlog of unprocessed tax forms, 714 00:39:43,320 --> 00:39:45,640 Speaker 1: and the White House decision to tap former ni H 715 00:39:45,719 --> 00:39:49,280 Speaker 1: chif Francis Collins as the President's acting Science Advisor signals 716 00:39:49,320 --> 00:39:54,680 Speaker 1: the administration's priorities and advancing biomedical research. Bloomberg Law everything 717 00:39:54,719 --> 00:39:58,840 Speaker 1: you need, all on one legal research platform, including guidance 718 00:39:58,880 --> 00:40:03,160 Speaker 1: analysis and Boomberg Market Intelligence. Find out more at Bloomberg 719 00:40:03,239 --> 00:40:06,319 Speaker 1: Law dot com. All right, tone, thank you now. Another 720 00:40:06,400 --> 00:40:08,759 Speaker 1: legal item we're watching brings us to the issue of 721 00:40:08,880 --> 00:40:12,720 Speaker 1: wrongful convictions. There have been several such stories in the news, 722 00:40:12,800 --> 00:40:15,920 Speaker 1: But what happens to axonorees after their release from prison? 723 00:40:16,320 --> 00:40:19,480 Speaker 1: Do they get compensated for their time served? Lawsuits to 724 00:40:19,520 --> 00:40:22,759 Speaker 1: get that compensation can be a long and expensive process. 725 00:40:22,840 --> 00:40:26,040 Speaker 1: But now litigation funders are looking to make bets on 726 00:40:26,120 --> 00:40:30,160 Speaker 1: wrongful conviction cases, and some are willing to provide exonorees 727 00:40:30,239 --> 00:40:33,799 Speaker 1: as much as one million dollars in upfront cash for more. 728 00:40:33,840 --> 00:40:37,040 Speaker 1: In the development, June grassospaced to Bloomberg Law reporter Roy 729 00:40:37,120 --> 00:40:41,319 Speaker 1: strom Roy. In wrongful conviction cases, do the exonorees have 730 00:40:41,440 --> 00:40:44,120 Speaker 1: to prove their innocence or do they have to prove 731 00:40:44,160 --> 00:40:47,840 Speaker 1: the prosecution or police did something wrong. They do have 732 00:40:47,960 --> 00:40:52,840 Speaker 1: to prove that there was misconduct. The constitutional torque claim 733 00:40:53,200 --> 00:40:56,719 Speaker 1: basically that their rights were taken away by wrongdoing on 734 00:40:56,760 --> 00:41:00,400 Speaker 1: the part of police or prosecutors, and it's a pretty 735 00:41:00,400 --> 00:41:04,440 Speaker 1: tough legal burden to hurdle. About twelve hundred exonorees have 736 00:41:04,840 --> 00:41:09,800 Speaker 1: filed these types of civil lawsuits, and about of those 737 00:41:09,960 --> 00:41:16,760 Speaker 1: received some type of monetary recovery, and about seven were unsuccessful. 738 00:41:17,080 --> 00:41:20,640 Speaker 1: The remaining suits are still pending. Give us a refresher 739 00:41:20,719 --> 00:41:24,839 Speaker 1: course on what litigation funding is and how much of 740 00:41:24,880 --> 00:41:28,200 Speaker 1: it there is out there. The litigation funding is basically 741 00:41:28,200 --> 00:41:32,800 Speaker 1: when investors put money into a lawsuit and a type 742 00:41:32,800 --> 00:41:36,160 Speaker 1: of deal where they'll be compensated really well if that 743 00:41:36,280 --> 00:41:40,399 Speaker 1: case wins, and typically they won't get anything back if 744 00:41:40,400 --> 00:41:45,280 Speaker 1: the case loses, and it's a very attractive asset class 745 00:41:45,320 --> 00:41:48,839 Speaker 1: at the moment. It currently has nearly twelve billion dollars 746 00:41:48,880 --> 00:41:53,040 Speaker 1: in aspects under management among the group of these litigation 747 00:41:53,080 --> 00:42:01,720 Speaker 1: funding companies and as Bloombark Law reporter Roy Strom speaking 748 00:42:01,719 --> 00:42:04,000 Speaker 1: with the June Grosso. Catch more of that interview plus 749 00:42:04,080 --> 00:42:06,480 Speaker 1: analysis of the latest legal news by listening to the 750 00:42:06,480 --> 00:42:09,680 Speaker 1: Bloomberg Law Show at ten pm Eastern Time or subscribing 751 00:42:09,680 --> 00:42:12,920 Speaker 1: to the Bloomberg Law Podcast, and attorneys can find exceptional 752 00:42:13,000 --> 00:42:17,880 Speaker 1: legal research and business development tools at Bloomberg Law dot com. 753 00:42:17,920 --> 00:42:21,840 Speaker 1: And futures this morning are now little changed. SMP futures 754 00:42:21,920 --> 00:42:25,320 Speaker 1: down two points down, futures down fifty eight and NASDAG 755 00:42:25,440 --> 00:42:30,280 Speaker 1: futures down fifty nine. Ten year treasury up one thirty second. 756 00:42:30,360 --> 00:42:32,319 Speaker 1: The yield one point nine two per cent, and they 757 00:42:32,400 --> 00:42:35,240 Speaker 1: yield on the two year one point five zero percent. 758 00:42:35,680 --> 00:42:38,240 Speaker 1: Nim X scret oil is at four point two percent 759 00:42:38,360 --> 00:42:40,640 Speaker 1: or three dollars eighty two cents at ninety four dollars 760 00:42:40,680 --> 00:42:44,640 Speaker 1: eighty nine cents of barrel and Bloomberg Daybreak continues. This 761 00:42:44,920 --> 00:42:45,680 Speaker 1: is Bloomberg