Speaker 1: For the Bloomberg Interactive Burger Studios is Bloomberg day Break
Speaker 1: for Friday, May two coming up this hour. Stock step
Speaker 1: for another weekly decline after losing a trillion dollars in
Speaker 1: value since Monday. Geopolitics in focus as Joe Biden makes
Speaker 1: his first presidential trip to Asia. Who sent It? Passes
Speaker 1: a forty billion dollar eight package for Ukraine, and the
Speaker 1: world's second biggest baby formula maker reportedly increases shipments to
Speaker 1: the US. Possible monkey box case has been identified in
Speaker 1: New York City. Plus the January six panel wants the
Speaker 1: question the GOP lawmaker about a capitol tour. I'm Michael Barer.
Speaker 1: More Ahead, I'm John Stash Sharon Sports. The Yankees lost
Speaker 1: the Mets one but learned of a serious injury, and
Speaker 1: Rory McIlroy has the League of the PGA Champion chap.
Speaker 1: That's all training ahead on Bloomberg day Break on Bloomberg
Speaker 1: eleven three on New York, Bloomberg one, Washington, d C,
Speaker 1: Bloomberg one oh six one, Boston, Bloomberg nine sixties and
Speaker 1: Francisco Sirius Exam one nine Team and around the World
Speaker 1: Old on Bloomberg Radio dot Com and via the Bloomberg
Speaker 1: Business app. Good morning, I'm John Tucker and I'm Karen
Speaker 1: Moscow and US Dock index futures are higher this morning.
Speaker 1: We're coming up to five o one on Wall Street,
Speaker 1: and we check the markets every fifteen minutes throughout the
Speaker 1: trading day. On Bloomberg, SMP futures up forty two points down,
Speaker 1: futures up two hundred seventy and as the futures up
Speaker 1: one eighty one. Ten year Treasury down seven thirty seconds.
Speaker 1: The yield is at two point eight six percent. They
Speaker 1: yield on the two year two point six two percent.
Speaker 1: Nine X screwede oil down half percent or fifty six
Speaker 1: cents at a hundred eleven dollars sixty five cents in barrel.
Speaker 1: Comex gold is up tenth of a percent, or two
Speaker 1: dollars fifty cents at eighteen fifty thirty, announced John Well Karen.
Speaker 1: US futures aren't higher as we close out what appears
Speaker 1: to be another losing week for stocks. In fact, the
Speaker 1: SMP five hundred is on track for a seventh straight
Speaker 1: weekly decline that would be its longest decline in twenty
Speaker 1: one years, and traders are raising for another volatile day.
Speaker 1: The monthly expiration of options tied to equities and exchange
Speaker 1: traded funds takes place today. Kathyet Whistle, as a managing
Speaker 1: director at Morgan Stanley, being for volatile, they are uncertain.
Speaker 1: It's giving everybody a little bit of uneasiness and a
Speaker 1: lot of people asking what to do in the market.
Speaker 1: Morgan Stanley's Cantley and Whistle making the comments on Bloomberg
Speaker 1: Business Week, heard weekdays from two to five pm Eastern
Speaker 1: on Bloomberg Radio. SMP five hundred has lost more than
Speaker 1: one trillion dollars in market value over the past four sessions.
Speaker 1: Well John One stock that is not helping market sentiment
Speaker 1: this morning is Applying Materials. It's down more than one
Speaker 1: percent in early trading after the ship maker delivered a
Speaker 1: week forecast, and we get the story from Bloomberg's Charley Pellett.
Speaker 1: Applied is the biggest maker of machinery that's used to
Speaker 1: manufacture semiconductors. Had said sales will be about six point
Speaker 1: to five billion dollars in the fiscal third quarter, which
Speaker 1: runs through July. Analysts have estimated six point six nine billion,
Speaker 1: and on average, according to data compole by Bloomberg, the
Speaker 1: chip industry is ordering machinery from Applied and its peers
Speaker 1: at a frantic rate, trying to build enough production capacity
Speaker 1: to end industry wide shortages that are hurting growth across
Speaker 1: the economy. But those same shortages are leaving Applied without
Speaker 1: the components it needs to make its equipment in New York,
Speaker 1: Charlie Bloomberg Daybreak, Thanks Charlie. The semiconductor industry will be
Speaker 1: in focus when Joe Biden makes his first presidential trip
Speaker 1: to Asia. The President's time at South Korea in Japan
Speaker 1: will focus on security and supply chains. Bloomberg's Amy bores
Speaker 1: his details from our newsroom in Washington. The president is
Speaker 1: set to visit a Samsung semiconductor complex as he seeks
Speaker 1: to show up supply chains that reduce reliance on China,
Speaker 1: an indication of the emphasis he's placing on strengthening semiconductor
Speaker 1: reliances among the world's largest ship makers to ease those
Speaker 1: shortages that have dragged on the global economy. He'll also
Speaker 1: meet with regional leaders to garner more support for Ukraine,
Speaker 1: defend off Russia's invasion, and counter security threats from China
Speaker 1: and North Korea. The visit runs through Tuesday, in Washington.
Speaker 1: I maybe more as Bloomberg daybreak. He right, Amy, thank
Speaker 1: you Meantime on Capitol Hill, the US Senator has passed
Speaker 1: an aid package for Ukraine worth more than forty billion
Speaker 1: dollars in how aways President Biden signature. At the same time,
Speaker 1: the Administration said it is providing Ukraine with another one
Speaker 1: hundred million dollars in military assistance. The baby formula shortage
Speaker 1: also in focus this morning. According to Reuters, the world's
Speaker 1: second biggest baby formula maker increasing shipments from Europe to
Speaker 1: the US. The move by theme comes after Avit Laboratories
Speaker 1: had to recall some products. Virginia Senator Tim Kon is
Speaker 1: a member of the Senate Foreign Relations and Armed Services Committees.
Speaker 1: Were now going to use the Defense Production Act to
Speaker 1: increase production. We're allowing importation of formula that's safe from
Speaker 1: other countries. The company that closed its planned down has
Speaker 1: reached an agreement to do some fixes. They should be
Speaker 1: reo within two weeks and starting to produce again, so
Speaker 1: we will solve this problem. I think you'll see that
Speaker 1: the bipartisan but we'll have to have that vote next
Speaker 1: week and see Virginia Senator Tim Kaine spoke with our
Speaker 1: Washington corresponded Joe Matthew and Bloomberg sound on Catch That
Speaker 1: program weekdays at five pm Eastern on Bloomberg Radio. And
Speaker 1: John were also focusing on the pandemic with news on
Speaker 1: vaccine eligibility. Younger children across the US. Can I receive
Speaker 1: a COVID booster shot developed by Fiser. We get the
Speaker 1: details live with Bloomberg's Rnita Young. Good Morning, Ranida, Good morning, Karen.
Speaker 1: CDC director Rochelle Willinsky recommends the booster for children ages
Speaker 1: five to seven five to eleven years old. Making the
Speaker 1: shot available to school age kids will provide much needed
Speaker 1: protection against the contagious omicron subvariants that are spreading across
Speaker 1: the country. We Lynsky says kids in this age group
Speaker 1: should receive a booster dose at least five months after
Speaker 1: their primary series. Live in New York, I'm Ranita Young,
Speaker 1: Bloomberg Day Break. Renita. Thanks. There's a so assigned today
Speaker 1: that the travel industry is bouncing back. Leisure travel now
Speaker 1: back to pre COVID levels. Let's get the story from
Speaker 1: Bloomberg's Doug Prisoner. The trend could help the travel industry
Speaker 1: this summer. The MasterCard Economics Institute says for the first
Speaker 1: time since global movement was halted by the pandemic, leisure
Speaker 1: travel has returned to levels and higher airfares don't appear
Speaker 1: to be a deterrent the average global airfares of eighteen
Speaker 1: percent since the start of the year. MasterCard says if
Speaker 1: flight bookings continue at their current pace, and estimated one
Speaker 1: and a half billion more passengers globally will fly this
Speaker 1: year compared to last, with Europe seeing the biggest increase.
Speaker 1: In New York, I'm Doug Prisner, Bloomberg Daybreak. All right, Doyke,
Speaker 1: thank you what we are seeing. The carnage and retail
Speaker 1: stocks continue this morning now. Shares of Ross stores down
Speaker 1: more than twenty seven percent in early trading, the discount
Speaker 1: retailer cutting its outlook for profit and sales. Ross's outlook
Speaker 1: downgrade follows similar moves this week by Cole's, Target and
Speaker 1: Walmart and ahead of the cash but on Wall Street
Speaker 1: futures right now in the green and down futures of
Speaker 1: three hundred three points, that's the rise of one percent.
Speaker 1: Smp E many futures there are forty seven points, that's
Speaker 1: up one point, and the nastanc futures one nine six
Speaker 1: points higher, up one point seven. You're listening to Bloomberg
Speaker 1: Daybreak five O seven Wall Street. That's time to bring
Speaker 1: in Michael Barr with more on what else he is
Speaker 1: going on to New York End around the world, John,
Speaker 1: Thank you very much. Sary. Health officials say a possible
Speaker 1: case of monkey pox is being investigated in New York City.
Speaker 1: You would add to the case already reported in Massachusetts.
Speaker 1: The city's health department announced on Twitter that the patient
Speaker 1: is being cared for at Bellevue Hospital in Manhattan. Officials
Speaker 1: say preliminary tests for the virus are being conducted and
Speaker 1: if positive, will be sent to the CDC for confirmation.
Speaker 1: Relatives of the ten black people gunned down in a
Speaker 1: Buffalo supermarket are pleading with a nation to confront and
Speaker 1: stop racist violence. Agony poured out in the tears of
Speaker 1: a twelve year old child, Jake Patterson, who lost his father.
Speaker 1: The child covered his face with his hands as his
Speaker 1: mother spoke, his heart is broken, he has sleeps, he
Speaker 1: has eaten. As a mother, what am I supposed to do?
Speaker 1: The Veronica White is the aunt of another victim, Andre McNeil.
Speaker 1: This is so settler that cannot believe somebody would give
Speaker 1: some child a gun and let him think that it's okay.
Speaker 1: Come with somebody, Paul, how did this shoot it up?
Speaker 1: Earlier yesterday, the accused gunman, who is white, eighteen year
Speaker 1: old Peyton Gendren, silently faced a murder indictment, and court
Speaker 1: authorities are investigating the possibility of hate crime and terrorism
Speaker 1: charges against him. The White House calls Oklahoma's new abortion
Speaker 1: bill the most extreme effort to undo the fundamental rights
Speaker 1: laid out in Roe v. Wade. Oklahoma's legislature. He gave
Speaker 1: final approval to the bill, which would ban almost to
Speaker 1: all abortions from the moment of conception. Vice President Kamala
Speaker 1: Harris hosted a virtual meeting with abortions providers at the
Speaker 1: White House. It's just the latest in a series of
Speaker 1: extreme laws around the country. Oklahoma's governor has vowed to
Speaker 1: sign it into law. The House panel investigating the January
Speaker 1: six riot wants to question the Republican lawmaker who has
Speaker 1: said to have led a group tour of the Capitol
Speaker 1: a day before the attack. Georgia GOP representative Buried louder
Speaker 1: Milk is being asked to answer questions before the Congressional Committee.
Speaker 1: Panel Chairman Benny Thompson said the committee's review of evidence
Speaker 1: contradicts denials from some Republicans that there were no tours
Speaker 1: or large groups brought to the Capitol. Global News twenty
Speaker 1: four hours a day on air and on Bloomberg Quittake,
Speaker 1: powered by more than twenty seven hundred journalist and analysts
Speaker 1: more than a hundred twenty countries. Michael barn this is Bloomberg, John, Michael,
Speaker 1: thank you when I got fund six ten on Wall
Speaker 1: Street five ten of Wall Street tim out for the
Speaker 1: Bloomberg Sports Update. Here's john S all right. John Thrilling
Speaker 1: went for the Mets. They've had a lot of those
Speaker 1: already this season. The Cardinals got two on runs from
Speaker 1: Paul Goldschmid led in the ninth inning. The Mets tie
Speaker 1: at St. Louis, went back ahead top of the tenth
Speaker 1: heroics in the bottom he goes spreading a belt, Tie
Speaker 1: said his pitch a field, wait back, love God, that's
Speaker 1: drive flowing out against Gagos. Mets put us up serious victory.
Speaker 1: T S had the call, and that's won seven six
Speaker 1: Alonzo and Alleys all of baseball with thirty six r
Speaker 1: B I s. However, during the game came the news
Speaker 1: on Max jers Or he has an oblique strain. He's
Speaker 1: gonna miss six to eight weeks. Of The Mets were
Speaker 1: hoping to have this great one two punch of Serzer
Speaker 1: and Jacob Degraham both are hurt and so it was
Speaker 1: another starter Tyler McGill. Just as the Mets at their
Speaker 1: walk off when the Yankees for a walk off laws
Speaker 1: in Baltimore, the Orioles Anthony Santander three run over bottom
Speaker 1: the ninth of Lucas Litkey for a nine six Orioles
Speaker 1: win the Yanks and tied the game with two out
Speaker 1: in the top of the ninth NBA Playoffs, Celtics up
Speaker 1: twenty five at half time, and they won Game two
Speaker 1: in Miami by twenty five to tie the series up.
Speaker 1: Samley kept platoff wins for St. Louis and Tampa Bay
Speaker 1: that two time. Defenny Chance go home up to nothing
Speaker 1: on Florida Rangers Hurricanes game too tonight and Roley after
Speaker 1: Kaine took the opener in overtime. Rory McIlroy hasn't won
Speaker 1: a Major since the two thousand fourteen pg A. McElroy
Speaker 1: leads this year's PGA by one shot going into today's
Speaker 1: second round, and tells the live coverag Bloomberg Radio Today
Speaker 1: starting at four p g A tonight show at eleven
Speaker 1: John stash War Bloomberg Sports. John, alright, thanks John, and
Speaker 1: our futures head out the open on Wall Street three
Speaker 1: hundred and three points higher right now, the SMP futures
Speaker 1: of forty six points and the NSF futures up one
Speaker 1: hundred and ninety five points. You're listening the Bloomberg A break.
Speaker 1: Just ahead. On daybreak, President Biden arrives in South Korea
Speaker 1: to begin his first Asia trip. We'll speak with Bloomberg's
Speaker 1: An Roy for a durn. What's on the agenda. This
Speaker 1: is Bloomberg Markets headlines and breaking news twenty four hours
Speaker 1: a day at Bloomberg dot Com, the Bloomberg Business at
Speaker 1: and at Bloomberg Quicktape. This is a Bloomberg Business Flash
Speaker 1: and I'm Karen Moscow. Stocks in Europe and U S
Speaker 1: stock index futures are pushing higher after China's latest measure
Speaker 1: of ulster as economy injected a note of optimism at
Speaker 1: the end of another volatile week for a global markets.
Speaker 1: We checked the markets every fifteen minutes throughout the trading
Speaker 1: day on bloomberg S and p Future is fifty one
Speaker 1: points this morning down Future is up three hundred forty
Speaker 1: and NASDAG futures up two hundred fourteen and X in
Speaker 1: Germany's at one point nine percent. Ten year treasury down
Speaker 1: eight thirties seconds held two point eight six percent that
Speaker 1: yield on the two year two point six three percent.
Speaker 1: Nim X Screwed oil is down half percent, down fifty
Speaker 1: six cents at a hundred eleven dollar, sixty five cents
Speaker 1: of barrel comic scold up a tenth of a percent
Speaker 1: of a dollar sixty at eighteen forty nine forty announce,
Speaker 1: the euro one point oh five eight two against the dollar,
Speaker 1: British pound one point to four eight nine and a
Speaker 1: en one twenty eight point to one, and Bitcoin this
Speaker 1: morning lower down a tenth of a percent at thirty thousand,
Speaker 1: one hundred ninety dollars, and deer In Company and Footlocker
Speaker 1: are among companies schedule to report earnings today. That's a
Speaker 1: Bloomberg business flash. Now here's Michael Barr with more on
Speaker 1: what's going on around the world. Michael, thank you very much. Karen,
Speaker 1: President Joe Biden has landed in South Korea. He will
Speaker 1: meet South Korean President Yun So kiol as they face
Speaker 1: a growing threat from North Korea's nuclear weapons and missile program.
Speaker 1: Both US and South Korean intelligence officials say it's possible
Speaker 1: that North Korea will conduct the Ballista or nuclear tests
Speaker 1: around Biden's visit to South Korea and Japan. The Senate
Speaker 1: has passed a fourty billion dollar package of military, economic
Speaker 1: and food aid for Ukraine and US allies. The vote
Speaker 1: was eighty six eleven. In the NBA playoffs, the Celtics
Speaker 1: have even their series at a game apiece after beating
Speaker 1: the Heat one seven one oh two. In baseball, the
Speaker 1: Yankees lost to the Orioles nine six the Mets one.
Speaker 1: Along with the Red Sox, Global News twenty four hours
Speaker 1: a day on air and on Bloomberg Quickdake, powered by
Speaker 1: more than twenties seven hundred journalists and analysts more than
Speaker 1: a hundred twenty countries. Michael bar this is Bloomberg Dohn. Michael,
Speaker 1: thank you. It is five nineteen at Wall Street. We
Speaker 1: are live from the Bloomberg into Rantobroker Studios. This is
Speaker 1: Bloomberg Daybreak. Was Michael just mentioned Joe Biden and Barking
Speaker 1: on his first presidential trip to South Korea and Japan.
Speaker 1: For more, We're joined by Bloomberg Radio and TV Washington
Speaker 1: correspondent and Marie were turned Emory. Good to have you,
Speaker 1: Happy Friday. So what's on the enda Happy Friday. Well,
Speaker 1: he just touched down in Seoul and the President is
Speaker 1: going to be visiting a Samsung facility. It's really a
Speaker 1: massive complex. Also likely mirrors with the United States and
Speaker 1: Samsung wants to do in this plant they plan on
Speaker 1: building in Texas. Uh. This Samsung trip really underscores the
Speaker 1: emphasis Biden has placed in America about making sure the
Speaker 1: United skates says could fortify their supply chains when it
Speaker 1: comes to these very important microchips. And I imagine at
Speaker 1: some point you're going to hear him point the figure
Speaker 1: at Congress, which for months has been trying to get
Speaker 1: over the finish line a very broad China competition bill
Speaker 1: that has north of fifty billion dollars to semiconductor research.
Speaker 1: What else is it in this China competition bill and
Speaker 1: how that all fits in the chances of passage at
Speaker 1: this point, is this trip going to make a difference
Speaker 1: in getting that passed. I think this trip just gives
Speaker 1: the president a moment to use foreign policy to pivot
Speaker 1: back to why it matters for everyday Americans. So you'll
Speaker 1: see a lot of him trying to weave in the
Speaker 1: farm policy with his domestic agenda. When it comes to
Speaker 1: how this timeline for this bill is, you do have
Speaker 1: in conference, which means you have representatives from the House
Speaker 1: and those from the Senate needing to try to work
Speaker 1: out the differences because they both passed their own versions
Speaker 1: of this bill. Um, but that does take weeks, if
Speaker 1: not mons. You also have the House going on recess.
Speaker 1: So I would say prepare for something around the end
Speaker 1: of the summer that we could see this finally get
Speaker 1: across the finish line. But the President was very direct
Speaker 1: with Congress. He said, quote past the damn bill, so
Speaker 1: his patients is running out. There was also the Transpacific
Speaker 1: Partnership Regional Trade Agreement, and uh what we withdrew from
Speaker 1: that under the previous administration? Where where does that stand?
Speaker 1: Is that a focus? Yeah? So that will be a
Speaker 1: focus when the President moves on to Japan. And now
Speaker 1: the t p P. You're going to have something like
Speaker 1: TPP version, a new version of it, but just doesn't
Speaker 1: have as much heft. It's a bit hazy and exactly
Speaker 1: what it means, but basically a Biden plans to kick
Speaker 1: off this Indo Pacific Economic Framework, and this is part
Speaker 1: of the administration's ongoing efforts to counter China's cloud um
Speaker 1: and it's somewhat takes the place of that TPP but
Speaker 1: the administration has stressed that it won't include lower tariffs
Speaker 1: or better access to US markets. The Financial Times also
Speaker 1: reported that in you know, an eleventh hour moment, they
Speaker 1: actually water down some of the language. So it's still
Speaker 1: very confused, confusing on what exactly this economic framework can deliver.
Speaker 1: But I think the Biden administration is just trying to
Speaker 1: find a place holder for these regional allies instead of, uh,
Speaker 1: you know, the t p P, which the Trump administration
Speaker 1: pulled the U s out of. So it's really just
Speaker 1: a starting point. While he's over there. There is the
Speaker 1: chance that North Korea could do something looney. Uh. There's
Speaker 1: also the tensions with China over Taiwan, how with those
Speaker 1: being addressed, So when it comes to North Korea, and
Speaker 1: it's a good point because they have a habit of
Speaker 1: timing these provocations to political events. And now you have
Speaker 1: the president in South Korea and then he'll be going
Speaker 1: over meeting with Quad leaders in Japan. So you talk
Speaker 1: to US officials and they say they are preparing for
Speaker 1: either a launch of an intercontinental ballistic missile or potentially
Speaker 1: from North Korea to conduct a nuclear test, as it
Speaker 1: coincides with Biden in the region. Um, So this is
Speaker 1: something that I think would also just really highlight the
Speaker 1: US is UH stands in the region because this is
Speaker 1: something they need to work with their allies in the
Speaker 1: region about. And this is you know, making sure they
Speaker 1: could fend off these provocations from North Korea. And then
Speaker 1: when it comes to China, I don't expect them to
Speaker 1: say China much, but you can imagine everything the President
Speaker 1: is doing is about making sure they are fortifying the
Speaker 1: United States versus China when it comes to competition. The
Speaker 1: entire administration they started about this pivot to Asia, and
Speaker 1: it just got confusing, right because a lot of the
Speaker 1: time the administration has been spending over the past months
Speaker 1: has been, of course, dealing with the war in Ukraine.
Speaker 1: How do these trips I get thirty seconds left, how
Speaker 1: do they play at home? What's the domestic consumption. The
Speaker 1: grocery bill, by the way, yesterday was a hundred and
Speaker 1: sixty seven bucks. The fill up with the car this
Speaker 1: morning was sixty. Well, I think you hit the nail
Speaker 1: on the head, right. I think the President, you know,
Speaker 1: when he visits the Samsung factor and if he gives
Speaker 1: any comments about it, it will be about wanting to
Speaker 1: fortify America supply chains, which is why they want that
Speaker 1: bill passed, because they want to make sure that you
Speaker 1: can get products in American make them cheaper. But we
Speaker 1: do know this is not going to impact inflation tomorrow
Speaker 1: or next week or by November. These are long term goals,
Speaker 1: so right now Americans really only care about what you mentioned,
Speaker 1: their kitchen table and the gas pump. Thanks Sam, Marie,
Speaker 1: always a pleasure. Bloomberg Radio and TV watching to correspondent
Speaker 1: and Marie, we're durn and right now down features of
Speaker 1: three hundred and five points. This is Bloomberg. Bloomberg Weather
Speaker 1: for today from Rob Carolin. Dense fog advisory and effect
Speaker 1: for the north of the city that goes through nine
Speaker 1: am and then campus will give way to partial sum
Speaker 1: The height today about seventy five degrees. This is Bloomberg
Speaker 1: broadcasting live from the Bloomberg Interactive Broker Studio in New York.
Speaker 1: Bloomberg ev in Freedom to Washington, d C, Bloomberg ninety
Speaker 1: one to Boston, Bloomberg one six one to San Francisco,
Speaker 1: Bloomberg n sixt to the country, Sirius XM ch and
Speaker 1: around the globe the Bloomberg Business app in Bloomberg Radio
Speaker 1: dot Com. This is Bloomberg day Break. It's five thirty
Speaker 1: on Wall Street. Good morning. I'm John Tucker and I'm
Speaker 1: Karen Moscow. Here just about four hours away from the
Speaker 1: open of US trading. Let's hear you have to date
Speaker 1: on the news you need to know at this hour.
Speaker 1: US stock index futures are higher this morning as we
Speaker 1: close out a trading week that saw the SNP five
Speaker 1: hundred it lose more than one trillion dollars in market value.
Speaker 1: The index is down almost from its January third closing
Speaker 1: high and is on track for a seventh week of losses.
Speaker 1: Ken Griffin is CEO of Citadel. What we're seeing in
Speaker 1: the markets is a rotation from growth stocks with earnings
Speaker 1: very far in the future towards stocks that are are
Speaker 1: much more value stocks earnings here in the present and
Speaker 1: this reflects the fact that real rates for the first
Speaker 1: time in a very long time, are likely to go
Speaker 1: positive and Citadel CEO Ken Griffin made the comments to
Speaker 1: Bloomberg's Francing Laqua at the Bloomberg Intelligence Market Structure three
Speaker 1: point oh conference in New York. Results from Applied Materials
Speaker 1: weighing on sentiment this morning, shares down about one percent
Speaker 1: in early trading. The company delivered a week forecast as
Speaker 1: chip shortages persist. Altering to politics, john President Joe Biden
Speaker 1: heads to South Korea and Japan to reassure allies of
Speaker 1: America's commitment to Asia. Bloomberg Daybreak Asia anchor Brian Curtis
Speaker 1: has the details. The last time a US president visited Soul,
Speaker 1: in twenty nineteen, Donald Trump and Kim Jong Lun agreed
Speaker 1: to restart nuclear talks. This time, the White House has
Speaker 1: not indicated Biden will be heading up to the d
Speaker 1: m Z. In the meantime, the North Korean leader is
Speaker 1: preparing to launch another i CBM and possibly conduct his
Speaker 1: first nuclear test since seventeen. President Biden is aiming to
Speaker 1: firm up the US pivot to Asia and counter China's
Speaker 1: military build up in the region. Brian Curtis, Bloomberg Daybreak.
Speaker 1: Thanks Brian. The pandemic also in focus this morning with
Speaker 1: news on vaccine eligibility. Younger children across the US can
Speaker 1: now receive a COVID booster shot developed by Fiser. Let's
Speaker 1: get the tails live from Bloomberg's reaty to young Good morning, Rinita,
Speaker 1: Good morning John. CDC director Rousselle Wilinsky recommends the booster
Speaker 1: for children ages five to eleven years old. That makes
Speaker 1: the shot available to school age kids and it will
Speaker 1: provide much needed protection against pages O macron sub variants
Speaker 1: spreading across the country. We Lynsky says kids in this
Speaker 1: age group should receive a booster dose at least five
Speaker 1: months after their primary series Live in New York, I'm
Speaker 1: rened a young Bloomberg Daybreak. All right, we need to
Speaker 1: thank you. And it looks like travel has now fully
Speaker 1: rebounded from the pandemic. According to our report by the
Speaker 1: MasterCard Economics Institute, vacation travel is finally back to levels
Speaker 1: last seen before March of Again, futures this morning are
Speaker 1: on the rise, and straight ahead your latest local headlines,
Speaker 1: plus a check of sports. This is Bloomberg. All right, Karen,
Speaker 1: thanks hi thirty three on Walls. Great time to bring
Speaker 1: in Michael bar with more on what else is going
Speaker 1: on in New York and around the world. John, thank
Speaker 1: you very much. Sarah. Possible case of monkey pox is
Speaker 1: being investigated in New York City, adding to the case
Speaker 1: already we reported in Massachusetts. Health officials have preliminary test
Speaker 1: for the virus are being conducted and if positive, will
Speaker 1: be to the Centers for Disease Control and Prevention for confirmation.
Speaker 1: The patient is being treated at Bellevue Hospital in Manhattan.
Speaker 1: Experts say it's a rare illness. University of California, San
Speaker 1: Francisco Professor of Medicine, Dr Peter Chinnong is an infectious
Speaker 1: disease expert. There's an adopted boxing from monkey pox. But
Speaker 1: the interesting thing is that if you've been boxinated with smallpox,
Speaker 1: you get protection against monkey pox because it's really closely related.
Speaker 1: Dr Peter chin Hong says he doesn't believe monkey pox
Speaker 1: will run rampant. The House Republican is pushing back on
Speaker 1: the January sixth committee that claims he gave unauthorized capital
Speaker 1: tours the day before the attack. The committee says it
Speaker 1: has evidence that Georgia Republican Congressman Barry louder Milk gave
Speaker 1: a tour of the capitol. The committee wants louder Milk
Speaker 1: to testify. Tops Markets valve they would reopen their Buffalo
Speaker 1: supermarket after Saturday's deadly mass shooting. Meanwhile, the eighteen year
Speaker 1: old suspected gunmen appeared in court yesterday. The Oklahoma state
Speaker 1: legislature passed a bill which would ban almost all abortions
Speaker 1: from the moment of conception. The bill includes neural exceptions
Speaker 1: to protect the life of the mother and for cases
Speaker 1: of rape and incests, but only if they are reported
Speaker 1: to law enforcement. State Representative Wendy Steerman is the bill's author. Well,
Speaker 1: the goal of this is to protect the child, the
Speaker 1: unborn child. So I believe that putting in the exception
Speaker 1: as we have it is um is acceptable in the situation,
Speaker 1: Representative Steerman says. Oklahoma's governor is expected to sign the
Speaker 1: bill into law. Vice President Kamala Harris called the bill outrageous.
Speaker 1: Global Needs twenty four hours a day on air and
Speaker 1: on Bloomberg Quicktake, powered by more than seven hundred journalists
Speaker 1: and analysts, more than a hundred, twenty countries. Michael Barr,
Speaker 1: This is Bloomberg, John, Michael, thank you at South six
Speaker 1: on walls. Pretty that's time for the Bloomberg Sports Update.
Speaker 1: Thanks John. Bittersweet day for the Mets, a thrilling win
Speaker 1: at City Field, seven six over the Cardinals on a
Speaker 1: walk off two run homer tenth thinning by Pete Alonso.
Speaker 1: But during the game game the update on Max Serzer,
Speaker 1: who took himself out of Wednesday's game and the m
Speaker 1: r I showed an oblique strain. Ser serves up to
Speaker 1: a five and one starters a MET is going to
Speaker 1: miss the next six to eight weeks, and Jacob de Graham,
Speaker 1: of course as yet to pitch. No time table on
Speaker 1: his return. Tyler McGill is another MET starter currently on
Speaker 1: the injur of this Yankees into the road trip of
Speaker 1: the ninth six loss in Baltimore, back and forth game
Speaker 1: that the Yanks tied with two outs of the ninth inning,
Speaker 1: but Anthony Santander a walk off three run homer bottom
Speaker 1: of the ninth. The NBA the East Finals are tied
Speaker 1: at one. The Celtics won by twenty five in Miami.
Speaker 1: NHL Tampa Bay one again at Florida. The two time
Speaker 1: defending's the Onley Cup chances are up to zip first
Speaker 1: playoff loss for Colorado beaten by St. Louis the Rangers tonight.
Speaker 1: I need to play like they did in the first
Speaker 1: two periods of Game one and not like they played
Speaker 1: in the third period or they over time. It's game
Speaker 1: two and Raleigh, after the Hurricanes won the other they'll
Speaker 1: play around two of the PGA Championship today. And Tulsa
Speaker 1: Rory McElroy who won the two thousand fourteen p g
Speaker 1: A and there's not one of major since has at once.
Speaker 1: That lady shot sixty five. He played with Tiger Woods,
Speaker 1: who shot seventy four bogey six of the last ten holes.
Speaker 1: I just can't load it, and uh loading it hurts,
Speaker 1: Prussing off it hurts, and uh locking hurts. The twisting hurts.
Speaker 1: So so I don't play that. I don't do that.
Speaker 1: Then I'm all right. Thank You're very much in danger.
Speaker 1: Missing the cut live PGA covering Bloomberg Radio today starting
Speaker 1: at four p g eight Tonight show at eleven, John
Speaker 1: Stash were Bloomberg Sports John John Thanks five thirty seven
Speaker 1: on Wall Street. Hands time now for the tri State
Speaker 1: Business Report. For that, we're joined by Bloomberg's Ed Quarry.
Speaker 1: US Labor Board prosecutors playing to accuse Amazon of threatening Stanford.
Speaker 1: It alleges they were told if they unionized, Amazon could
Speaker 1: pay minimum wage. It also accuses Amazon of punishing an
Speaker 1: employee for seeking a paid June teenth holiday. The allegations
Speaker 1: are among many taken to the Labor Board by the
Speaker 1: Amazon Labor Union. The number of short term rentals in
Speaker 1: New York City is not pacing the number of available apartments.
Speaker 1: Total number of short term rentals of entire homes is
Speaker 1: more than thirteen thousand, according to air d n A
Speaker 1: rental inventory meanwhile in Manhattan, Brooklyn and a part of Queen's, however,
Speaker 1: is just over undred. Grub Hubs attempts to drum up
Speaker 1: Buzz for its food delivery service by offering free lunch
Speaker 1: in New York didn't work out. On Tuesday, the company
Speaker 1: offered New Yorkers a free lunch excluding tips and feast
Speaker 1: surgeon orders resulted in the laid or absent deliveries that
Speaker 1: your Bloomberg Trying State Business Report. I'm Ed Corey, Thanks
Speaker 1: Wall Street. Bloomberg Radio is on the year from San
Speaker 1: Francisco to New York, London to Hong Kong. Let's check
Speaker 1: in an hour with their global news team for some
Speaker 1: of the top stories heard on our three hundred affiliate
Speaker 1: radio stations around the world. I'm Courtney Donahoe on w
Speaker 1: h S and Louisville, Ford is recalling more than thirty
Speaker 1: nine thousand SUVs on a virus. I'm Gina Servetti in
Speaker 1: for w f l A in Orlando. I'm reporting that
Speaker 1: Moriizon plans to invest in additional one forty nine million
Speaker 1: dollars in Florida to meet a surge in growth. Finn
Speaker 1: Lisa Matteo And on w b Z in Boston, I'll
Speaker 1: be reporting on teen babysitters making big Bucks him Bed
Speaker 1: Cory on w p a M in Cleveland. I'm reporting
Speaker 1: April home sales fell in Northeast Ohio. I'm Steve Podascan
Speaker 1: ten ten Wins in New York. We're talking about US
Speaker 1: labor officials accusing Amazon of threatening State Island Warehouse staff
Speaker 1: if they voted to unionize. And those are SAVA. These
Speaker 1: stories are twenty seven hundred Bloomberg journalists and analysts are
Speaker 1: working on this morning around the world. Shares of Ross
Speaker 1: store Is have lost more than a quarter of their
Speaker 1: value this morning, the discount retailer cutting its outlook for
Speaker 1: profit and sales. Let's get the story this morning and
Speaker 1: this report from Bloomberg's Charlie Pellett. Ross said it sees
Speaker 1: the key retail metric of comparable sales falling two to
Speaker 1: four percent for the year versus previous guidance of unchanged
Speaker 1: to a gain of as much as three and also
Speaker 1: trimmed its forecast for earnings per share. The results spell
Speaker 1: out how quickly the panorama is shifting. Is accelerating inflation
Speaker 1: eats into consumers purchasing power and erodes companies profits. Ross's
Speaker 1: outlook downgrade follows similar moves this week by Cole's, Target
Speaker 1: and Walmart in New York. Charlie Pellett Bloomberg Daybreak and
Speaker 1: the earnings continue to roll in Deer reporting today a
Speaker 1: preview from Tom Busby. The big focus for investors is
Speaker 1: whether demand for Deer's farming equipment remained strong as the
Speaker 1: war in Ukraine has brought production of one of the
Speaker 1: world's largest grain producers to a stand still. Investors will
Speaker 1: also watch the impact of those global supply chain problems
Speaker 1: that have hamstrong a number of manufacturers. Consensus calls were
Speaker 1: adjusted earnings for share of six dollars seventy cents on
Speaker 1: revenues of just over thirteen and a quarter billion dollars.
Speaker 1: Tom Busby Bloomberg Daybreak, Thanks Tom Down. Futures right now
Speaker 1: off three hundred points vs. Is Bloomberg just ahead? Is
Speaker 1: there a risk that the Federal Reserve is actually overdoing it?
Speaker 1: Will speak with pre Adminstrah Rate strategists at TD Securities.
Speaker 1: You're listening to Bloomberg Daybreak, markets, headlines and breaking news
Speaker 1: twenty four hours a day at Bloomberg dot Com, the
Speaker 1: Bloomberg Business at and at Bloomberg Dictape is a Bloomberg
Speaker 1: Business Flash and I'm Karen Moscow and stocks in Europe
Speaker 1: and US stock index futures are pushing higher this morning
Speaker 1: after China's latest measure to bolster is economy injected a
Speaker 1: note of optimism at the end of another volatile week
Speaker 1: for global markets. We checked the markets every fifteen minutes
Speaker 1: throughout the trading day on Bloomberg s and T futures
Speaker 1: up about forty two points down, futures up two hundred
Speaker 1: seventy and NASTAC futures have one hundred seventy seven the
Speaker 1: decks in Germany's at one point seven percent, a ten
Speaker 1: year treasury down six thirty seconds, field two point eight
Speaker 1: five percent yield on the two year two point six
Speaker 1: two percent. Nimeg S crude oil has done a third
Speaker 1: of percent, or thirty seven cents at a hundred eleven
Speaker 1: dollars eighty four cents of barrel coll Mexs gold up
Speaker 1: about two two tents of a percent, up two dollars
Speaker 1: seventy cents at eighteen fifty fifty announced, the euro one
Speaker 1: point oh five eight one against the dollar, British bound
Speaker 1: one point two four seven five and the end one
Speaker 1: twenty eight point one one. And Bitcoin this morning is
Speaker 1: up about tenth of a percent. It's at thirty thousand,
Speaker 1: two hundred sixty dollars, and that's a bloomberg business flash.
Speaker 1: Now here's Michael Barr with more on what's going on
Speaker 1: around the world. Michael Karen, thank you very much. President
Speaker 1: Joe Biden rhymed in South Korea, where he's visiting a
Speaker 1: Samsung Electronic semiconductor complex. Biden is seeking to bolster supply
Speaker 1: change that reduce reliance on China. Biden's first trip to
Speaker 1: a jaz president, which runs through Tuesday, also includes Japan.
Speaker 1: US health advisers are urging a booster dose of Fiser's
Speaker 1: COVID nineteen vaccine for kids ages five to eleven. CDC
Speaker 1: Panels signed off on the booster shots yesterday. In the
Speaker 1: NBA playoffs, the Celtics have even their series at a
Speaker 1: game of piece after beating the Heat one seven one
Speaker 1: o two. In baseball, the Yankees lost to the Orioles
Speaker 1: nine six the Mats one along with the Red Sox.
Speaker 1: Global News twenty four hours a day on air and
Speaker 1: on Bloomberg Quicktake, powered by more than twenty seven hundred
Speaker 1: journalists and analysts more than a hundred twenty countries. I'm
Speaker 1: Michael bar and this is Bloomberg, John, Michael, thank you
Speaker 1: very much. It is now five forty nine hond Wall Street.
Speaker 1: We are lying from the Bloomberg Interact of Brokers Studios.
Speaker 1: This is Bloomberg Daybreak. Well, the Federal Reserve is on
Speaker 1: the rate hiking path to try and slightly inflation Dragon,
Speaker 1: But isn't there a rest the Fed might be actually
Speaker 1: overdoing it? Preamsra rate strategies that TV securities that joins
Speaker 1: us now prea the market seems to be pricing some
Speaker 1: aspect of that that the Fed may actually be on
Speaker 1: the path through overdoing it. Is that right absolutely? I think,
Speaker 1: you know, the interest rate market, I think for the
Speaker 1: entire year was really pricing in inflation and the Fed
Speaker 1: that raising rates more than was priced in. I'd say
Speaker 1: the last few weeks the market has gotten concerned that,
Speaker 1: you know, the FED really doesn't have a lot of
Speaker 1: control over inflation in the near term. A lot of
Speaker 1: the inflation increases because of commodity prices, you know, and
Speaker 1: and and the China lockdowns. So if inflation stays high
Speaker 1: and we're seeing signs that it's persistent, I think the
Speaker 1: fear that the market is expressing now is that the
Speaker 1: Fed could overdo it, that they could you know, tighten
Speaker 1: into a slowing economy. And that's why if we've noticed
Speaker 1: interest rates falling, we've seen the curve steepening, and we've
Speaker 1: seen equities, um, you know, performing as well. I actually
Speaker 1: think it may be a little too early for that fear,
Speaker 1: because the Fed right now is only indicating that they
Speaker 1: will get to neutral expeditiously. I guess that's the word
Speaker 1: that the Fed's using beyond neutral, they're keeping options open,
Speaker 1: and I think that's the real test. Near year end,
Speaker 1: when we get to neutrals around two and a half
Speaker 1: on the fund's rate, Does the FED at that point
Speaker 1: say inflation is too high and we have to get
Speaker 1: to three and a half four I think then a
Speaker 1: recession is very lightly Or do they say that inflation
Speaker 1: is heading somewhat lower and therefore we can tolerate slightly
Speaker 1: higher inflation and they actually slow down the pace of
Speaker 1: rate highs. I think that's the big decision that the
Speaker 1: FED will have to make, and that's going to determine
Speaker 1: whether we head into a slowdown or or a full recession.
Speaker 1: Does anybody know what the neutral rate is going to be?
Speaker 1: Good point? Um, we don't, and the FED is also
Speaker 1: admitting that they don't know. I think because part of
Speaker 1: the issue with the neutral rates you have to have
Speaker 1: a sense of inflation, which has been notoriously hard to focust.
Speaker 1: I'd say there's more or at least I'm more convinced
Speaker 1: on the real neutral rate, which is around zero. But
Speaker 1: if inflation is you know, inflation expectations over the next year,
Speaker 1: that's three percent then three percent is closer to neutral
Speaker 1: or does it come back down to two? But I
Speaker 1: think in general the FED is in the two and
Speaker 1: a half to three percent camp would be somewhere near neutral.
Speaker 1: It struggled the market was pricing in three and a
Speaker 1: half percent on the funds rate just two weeks ago,
Speaker 1: which I felt was overdoing it in terms of the
Speaker 1: optimism that the FED can hike that much. I think
Speaker 1: three and a half as well above neutral. We could
Speaker 1: debate whether it's two and a half or three. I
Speaker 1: think that's fair. Are we seeing the possibility of returning
Speaker 1: to fiscal stimulus in parts of the world, Um, I
Speaker 1: think it's tough because there's not a lot of physical
Speaker 1: space globally, you know. I think there was a lot
Speaker 1: of physical stimulus post COVID and in certain parts of
Speaker 1: the world, in the US, I would say parts of
Speaker 1: em I think that physical space is gone, particularly given
Speaker 1: how much of a risk inflation is. I do think
Speaker 1: there's monetary space, um. And you know, China is showing
Speaker 1: that China also potentially does have physical space because they
Speaker 1: have significant slowed down in growth. So I think the
Speaker 1: global growth headwind UM is also you know, going on
Speaker 1: on the US, and if we do get stimulus elsewhere
Speaker 1: physical or monitory, I think would be so overnight was
Speaker 1: was monetary out of China. Um. I think that can help,
Speaker 1: It can help slow down, But again, the US is
Speaker 1: a relatively closed economy, so if the Fed continues to
Speaker 1: raise rates and do QT, I think that slow down
Speaker 1: fear will will remain with us. How I'm tight of
Speaker 1: the financial conditions right now. They are fairly tight. Um.
Speaker 1: They're not as tight as the issues when you look
Speaker 1: at it on a long history COVID sort of you know,
Speaker 1: messes up our historical metrics, so they're not as tight
Speaker 1: as COVID, but that's a very high bower. They're not
Speaker 1: as tight as the financial conditions you know into the
Speaker 1: Lehman crisis, but they are fairly dight. The The issue is,
Speaker 1: you know, well, we are very easy. So on a
Speaker 1: change basis it looks worrying. On an absolute basis, they're tied.
Speaker 1: But are they tight enough to cause a recession? You know,
Speaker 1: I think that I do struggle with I think they
Speaker 1: do slow down the econmany have the reasons for buying treasuries,
Speaker 1: have they changed significantly? About twenty seconds left? I think
Speaker 1: so yes, I think particularly in the front end, so
Speaker 1: the zero to five year sector. I like owning that
Speaker 1: because if the economy does slow down, I think the
Speaker 1: fact will not be able to raise rates as much
Speaker 1: as this priceton. So I think that's a new dynamic
Speaker 1: in the in the last few weeks, which makes a
Speaker 1: reason to buy that very front end. Always a pleasure.
Speaker 1: We appreciate it, pre admits for a global head of
Speaker 1: right Strategy at TV Securities with us this morning, look
Speaker 1: at the benchmark ten year yield right now to eighties
Speaker 1: six up two basis points, Karen, all right, John, thank you,
Speaker 1: and it's fifty four on Wall straight. It's time for
Speaker 1: the Bloomberg Law Report, brought to you by American Arbitration Association.
Speaker 1: Business disputes are inevitable, whereas all faster with the American
Speaker 1: Arbitration Association, the global leader and alternative dispute resolution for
Speaker 1: over ninety years. More at a dr dot org. You know,
Speaker 1: here's a legal story we're watching this morning. A family
Speaker 1: in Philadelphia is suing TikTok over the death of a
Speaker 1: ten year old girl who allegedly participated in an online
Speaker 1: challenge in which people choke themselves until they black out.
Speaker 1: Nila Anderson's family accuses the social media platform of marketing
Speaker 1: and effective product and negligence, alleging that the dangerous dare
Speaker 1: was thrust in front of the girl by TikTok on
Speaker 1: her for you page. For Moura Bloomberg, student Grosso speaks
Speaker 1: to Eric Goldman, a professor at Santa Clara University Law School.
Speaker 1: The mom is not suing the people who posted the challenge,
Speaker 1: but she's suing the social media platform the challenge was on.
Speaker 1: Is that unusual, right? So the lawsuit then seats to
Speaker 1: treat the video services as if they're providing dangerous content
Speaker 1: or harmful content in a way that can be legally restricted.
Speaker 1: And this has become pretty common in internet law today
Speaker 1: to try to treat internet services as if they're a
Speaker 1: dangerous product that they murder people like smoking kills smokers,
Speaker 1: and those legal theories are being tested in the court
Speaker 1: right now, but we're seeing them quite frequently nowadays. The
Speaker 1: suit alleges that TikTok's algorithm determined that this deadly blackout
Speaker 1: challenge was likely to be of interest to the ten
Speaker 1: year old girl, and that it showed up on her
Speaker 1: for you page so does the suit depend on proving
Speaker 1: this algorithm did that well? To be clear, TikTok didn't
Speaker 1: have some kind of magician at the back end saying
Speaker 1: I think that this is the kind of content that
Speaker 1: this particular viewer is most likely to respond to. It's
Speaker 1: all done by algorithms, so there's a bunch of formulas
Speaker 1: that set up what content might be appropriate or not
Speaker 1: for the audience. But they're never going to be perfect,
Speaker 1: and they're always going to make assumptions about the people
Speaker 1: that they're exposing too. Now, one of the questions I
Speaker 1: underline this lawsuit is whether or not the video actually
Speaker 1: caused the death. And this is a complicated question in
Speaker 1: legal circles because there's a lot of things that contributed
Speaker 1: to the ultimate death, and we have to then establish
Speaker 1: that the video is the basis is the death and
Speaker 1: that TikTok then could have done something to prevent that
Speaker 1: from occurring. And so there's a bunch of legal questions
Speaker 1: embedded in this assertion that the algorithms caused the death.
Speaker 1: We have to really take a look at that from
Speaker 1: a legal standpoint, and it's not clear what the answers
Speaker 1: will be. Does the communications decency act play in anywhere here,
Speaker 1: it does so section two. There he says quite simply
Speaker 1: that websites aren't liable for third party content. The videos
Speaker 1: that issue here appear to be third party content uploaded
Speaker 1: by other users, and so on. As space it appears
Speaker 1: to TikTok may be able to say that the lawsuit
Speaker 1: is trying to hold TikTok libel for publishing third party
Speaker 1: content what section to thirty c d A doesn't permit.
Speaker 1: And as Erik Goldman, a professor at Santa Clara University
Speaker 1: Law School, spaking at the Bloomberg's doing Grosso, it's more
Speaker 1: in that interview, plus analysis of the latest legal news.
Speaker 1: By listening to the Bloomberg Law Show attend PM Eastern
Speaker 1: Time or subscribing to the Bloomberg Law Podcast, and attorneys
Speaker 1: can find exceptional legal research and business development tools at
Speaker 1: Bloomberg Law dot com. Futures Hire this morning, SMP Future
Speaker 1: is a forty three points and del Futures up two
Speaker 1: hundred seventy nine. As Day Futures up a hundred seventy
Speaker 1: nine and still ahead. On Bloomberg Day Break, I check
Speaker 1: on the business headlines and all the news you need
Speaker 1: to start your day, this is Bloomberg