WEBVTT - Bloomberg Daybreak: April 6, 2022 - Hour 2 (Radio) 0:00:02.200 --> 0:00:05.480 By from the Bloomberg Interactive Burger Studios. This is Bloomberg 0:00:05.519 --> 0:00:09.160 Daybreak for Wednesday, April six two. Coming up to sour, 0:00:09.440 --> 0:00:12.600 the US and its allies prepared to impose more sanctions 0:00:12.600 --> 0:00:15.120 on Russia. The global bond sell off deep ends as 0:00:15.160 --> 0:00:18.119 the FED steps up tightening talk. Janet Yellen warns the 0:00:18.120 --> 0:00:22.040 war threatens massive economic repercussions, and Bank of America pushes 0:00:22.079 --> 0:00:24.360 for all the workers to get back in the office. 0:00:24.640 --> 0:00:27.880 The m t a's incoming subway and bus chief focuses 0:00:27.920 --> 0:00:31.680 on improving rider, ship and service plus Avanca. Trump testifies 0:00:31.720 --> 0:00:34.920 before the January six Committee. I'm Michael Barr. More ahead, 0:00:35.120 --> 0:00:37.440 I've done stas Daron sports the next beat the Rockets, 0:00:37.440 --> 0:00:40.040 the Rangers, beat the Devils, and Tiger Woods says he's 0:00:40.080 --> 0:00:46.280 coming back to play the baster. That's whole straight ahead 0:00:46.360 --> 0:00:52.400 on Bloomberg Daybreak on Bloomberg Eliven Treo, New York, Bloomberg one, Washington, 0:00:52.520 --> 0:00:57.480 d C, Bloomberg one oh six one, Boston, Bloomberg nine Sixties, Francisco, 0:00:57.840 --> 0:01:01.120 Sirius x M one nineteen and around the world on 0:01:01.280 --> 0:01:04.680 Bloomberg Radio dot Com and via The Bloomberg Business at 0:01:07.280 --> 0:01:10.280 Good Morning I'm Nathan Hagar and I'm Karen Moscow. US 0:01:10.360 --> 0:01:12.920 DOT index Future is moving lower this morning, adding to 0:01:13.080 --> 0:01:15.240 yesterday's losses. We're coming up to six oh one on 0:01:15.280 --> 0:01:17.400 Wall Street, and we check the markets every fifteen minutes 0:01:17.400 --> 0:01:20.760 throughout the trading day. On Bloomberg, SNP Future is down 0:01:20.760 --> 0:01:23.360 about twenty five points down. Futures down a Hubbard fifties 0:01:23.360 --> 0:01:26.920 seven and NASDAK futures down one. Two ten year Treasury 0:01:26.959 --> 0:01:29.679 down twenty thirty seconds, held two point six two percent, 0:01:29.760 --> 0:01:31.720 and they yield on the two year two point five. 0:01:32.840 --> 0:01:35.160 Nim X screwed oil is up one point six percent 0:01:35.200 --> 0:01:38.080 and a hundred three dollars sixty two cents a barrel. Nathan, 0:01:38.160 --> 0:01:39.959 all right, Karen, thank you. We begin this morning with 0:01:40.000 --> 0:01:43.039 the latest on the war in Ukraine. NATO foreign ministers 0:01:43.040 --> 0:01:45.600 are meeting in Brussels, while the US and its allies 0:01:45.640 --> 0:01:49.160 are working on new sanctions against Russia. Amy Morris joins 0:01:49.200 --> 0:01:53.320 us with details from our Bloomberg newsroom in Washington. Ukrainian 0:01:53.320 --> 0:01:56.720 officials say Russian forces continue to strike infrastructure targets like 0:01:56.800 --> 0:02:00.200 fuel storage and grain silos, and Ukrainian president flooding. Here's 0:02:00.200 --> 0:02:02.680 a Lyinsky made a plea for peace before the UN 0:02:02.760 --> 0:02:05.440 Security Council, urging the UN to do more to stop 0:02:05.520 --> 0:02:10.080 Moscow's aggression, sagging through a translator that Russia doesn't deserve 0:02:10.080 --> 0:02:12.600 a seat at that table. We are dealing with a 0:02:12.720 --> 0:02:16.320 state that is turning the veto into the UN Security 0:02:16.320 --> 0:02:20.440 Council into the right to die. This undermines the whole 0:02:20.639 --> 0:02:24.440 architecture of global security at China express dismay at the 0:02:24.520 --> 0:02:28.720 killing of unarmed civilians without condemning Vladimir Putin. Russia continues 0:02:28.760 --> 0:02:31.760 to deny the accusations. In Washington, I'm Amy Moore as 0:02:31.760 --> 0:02:34.720 Bloomberg Daybreak, All right, Amy, thank you. Meantime, Secretary of 0:02:34.800 --> 0:02:38.720 State Anthony Blincoln is weighing in on civilian deaths in Ukraine. 0:02:38.760 --> 0:02:42.760 He says the atrocities in Buscha are not isolated incidents. 0:02:42.960 --> 0:02:46.600 Bloomberg said, Bachelor has the story. Secretary Blincoln says the 0:02:46.680 --> 0:02:49.839 US is helping in a thorough investigation and says there 0:02:49.919 --> 0:02:53.000 must be accountability from the top down. What we've seen 0:02:53.440 --> 0:02:57.080 in is not the random act of a rogue unit. 0:02:58.040 --> 0:03:03.839 It's a deliberate campaign uh to kill, the torture, to rape, 0:03:05.080 --> 0:03:09.080 to commit atrocities, and Blincoln says it will all be 0:03:09.520 --> 0:03:14.600 documented and reported in San Francisco. I'm at Baxter Bloomberg Daybreak, Okay, 0:03:14.600 --> 0:03:16.840 and thanks. On the economic front, the war has had 0:03:16.880 --> 0:03:20.000 a major impact on oil and gas prices. Later today, 0:03:20.040 --> 0:03:23.200 oil executives head to Capitol Hill to answer questions about 0:03:23.200 --> 0:03:26.120 price hikes. We get the story from Bloomberg's Charlie Pellet. 0:03:26.520 --> 0:03:31.400 Chief executives of BP America, Chevron, Devon Energy, x On Mobile, 0:03:31.440 --> 0:03:35.600 Pioneer Natural Resources, and Shell USA are set to testify 0:03:35.680 --> 0:03:38.680 before the House Energy and Commerce Committee. The hearing will 0:03:38.720 --> 0:03:42.680 include both in person and remote attendees. It comes amid 0:03:42.800 --> 0:03:47.160 intensifying scrutiny of oil companies whose stock values have climbed 0:03:47.160 --> 0:03:51.000 along with the price of crude, stoking new congressional proposals 0:03:51.080 --> 0:03:55.080 for a windfall profits tax in New York. Charlie Pellet 0:03:55.240 --> 0:03:59.000 Bloomberg Daybreak, Charlie, thank you all. Treasury Secretary Johnny Yellen 0:03:59.040 --> 0:04:01.720 will also be testif before Congress today on how the 0:04:01.720 --> 0:04:04.560 war in Ukraine could impact the global economy, and Bloomberg's 0:04:04.600 --> 0:04:06.960 Rned Young joins us Live with the details. Good morning, 0:04:06.960 --> 0:04:10.040 Ready to Good morning care and Treasury Secretary Janet Yelling 0:04:10.080 --> 0:04:12.960 will warn that the war in Ukraine threatens to inflict 0:04:13.200 --> 0:04:17.160 enormous economic repercussions. That's according to a copy of prepared 0:04:17.200 --> 0:04:20.400 remarks that she'll give to the House Financial Services Committee. 0:04:20.600 --> 0:04:23.240 Her testimony comes as the I m F is preparing 0:04:23.279 --> 0:04:26.599 to cut its forecasts for global growth. In Deutsche Bank, 0:04:26.640 --> 0:04:30.480 economists say that they should now expect the US recession 0:04:30.720 --> 0:04:33.480 in the next two years. Live in New York, I'm 0:04:33.520 --> 0:04:36.240 Renita Young, Bloomberg Daybreak. All right, thanks for Nita. Turning 0:04:36.279 --> 0:04:38.840 to markets now, we're seeing the global bond sell off 0:04:38.880 --> 0:04:41.200 deepened this morning. Let's get the latest on that Live 0:04:41.279 --> 0:04:44.640 with Bloomberg's John Tucker, John Nathan. The bond route worsen 0:04:44.720 --> 0:04:47.520 day after Federal Reserve Governor Leo Brainard said the Central 0:04:47.560 --> 0:04:51.400 Bank will likely step up policy tightening given that the 0:04:51.440 --> 0:04:54.479 recovery has been considerably stronger and faster than in the 0:04:54.520 --> 0:04:57.440 previous cycle. I expect the balance sheet to shrink considerably 0:04:57.480 --> 0:05:01.200 more rapidly than in the previous recovery. Aspect of aggressive 0:05:01.240 --> 0:05:03.720 FED action drove the yield on the benchmark ten year 0:05:03.760 --> 0:05:07.920 treasury of five basis points to to sixty. Investors are 0:05:07.960 --> 0:05:11.600 dumping fixed income securities as policymakers move to raise rates 0:05:11.600 --> 0:05:15.400 in the face of surging global inflation. Global bonds extending 0:05:15.440 --> 0:05:18.680 losses this week, and we're completing an eight month losing 0:05:18.760 --> 0:05:21.919 streak that is the longest on record. Strategists say the 0:05:21.920 --> 0:05:24.719 whole fit typing narrative is being moved up in time. 0:05:25.080 --> 0:05:28.360 At Magnitude Live in New York, I'm John Tucker Bloomberg Daybreak. 0:05:28.480 --> 0:05:30.600 All right, John, thank you. We me get more clues 0:05:30.640 --> 0:05:33.120 about the future of interest racers afternoon, my minutes of 0:05:33.200 --> 0:05:36.160 the FEDS March policy meeting are released. We are also 0:05:36.279 --> 0:05:38.440 likely to get details of the Feeds plans to shrink 0:05:38.480 --> 0:05:41.880 its massive balance sheet. Today. Let's turn to corporate news now, Karen, 0:05:41.880 --> 0:05:44.760 we have a takeover bid in the airline industry. Jet 0:05:44.800 --> 0:05:47.599 Blue has offered to buy rival Spirit Airlines for three 0:05:47.600 --> 0:05:50.840 point six billion dollars. The move could potentially spoil an 0:05:50.839 --> 0:05:54.440 earlier agreement for Frontier Group to buy Spirit. The unsolicited 0:05:54.440 --> 0:05:57.160 proposal from Jet Blue has the potential to reshape the 0:05:57.240 --> 0:05:59.839 landscape for ultra low cost air travel in the US. 0:06:00.120 --> 0:06:02.120 We'll turning to the pandemic now, Nathan. The push to 0:06:02.120 --> 0:06:04.480 gain workers back in the office is picking up now. 0:06:04.520 --> 0:06:07.240 Bank of America plans to bring all its US employees 0:06:07.320 --> 0:06:10.240 back by June one. To get the story from Bloomberg's 0:06:10.240 --> 0:06:13.760 Lisa Mateo, the return to office includes those who haven't 0:06:13.800 --> 0:06:18.119 been vaccinated against the coronavirus. Sources say employees will still 0:06:18.200 --> 0:06:21.040 have some flexibility to work from home, but they are 0:06:21.120 --> 0:06:25.120 being strongly encouraged to collaborate with colleagues in person. Bank 0:06:25.200 --> 0:06:28.719 executives on Wall Street have voice concerned that junior bankers 0:06:28.720 --> 0:06:31.359 and traders can't get the same kind of training and 0:06:31.400 --> 0:06:34.159 mentorship over Zoom that they can from being in the 0:06:34.240 --> 0:06:38.600 office alongside more senior colleagues in New York. Lisa Mateo, 0:06:38.760 --> 0:06:41.520 Bloomberg Daybreak, All right, Lisa, thank you. And this could 0:06:41.520 --> 0:06:44.000 be a boon for Fightser. Bloomberg News has learned the 0:06:44.000 --> 0:06:46.320 White House is on the hook to pay Finser nearly 0:06:46.400 --> 0:06:50.520 five billion dollars for pills it's already ordered to treat COVID. 0:06:50.960 --> 0:06:53.640 That means the Fightser treatment could eat up about half 0:06:53.680 --> 0:06:56.440 of a scaled back pandemic funding bill that the Senate 0:06:56.520 --> 0:06:59.200 is debating right now. S and P futures are down 0:06:59.240 --> 0:07:01.840 twenty four point staff futures down a hundred fifty four 0:07:01.920 --> 0:07:04.680 nastic futures are lower by a hundred twenty points, the 0:07:04.720 --> 0:07:07.599 tenure treasury is down twenty thirty seconds, the yield two 0:07:07.600 --> 0:07:10.960 point yield on the two year two point five five, 0:07:11.000 --> 0:07:13.520 and nieme X screwed up one point seven a hundred 0:07:13.520 --> 0:07:16.000 three dollar sixty four cents of barrel. Straight ahead, your 0:07:16.040 --> 0:07:19.360 latest local headlines and the check of sports. This is Bloomberg. 0:07:22.400 --> 0:07:24.560 It's sounds six oh seven on Wall Street, still reigning 0:07:24.680 --> 0:07:28.600 sixty five degrees. I'm sorry, forty five degrees in Central Park. 0:07:28.640 --> 0:07:31.000 It's not nearly that warm. Here's Michael Barr with more 0:07:31.040 --> 0:07:33.400 on what's going on in New York and around the world. Michael, 0:07:33.400 --> 0:07:35.520 good morning, Good morning. Don't get me happy like that. 0:07:35.640 --> 0:07:39.160 Weekday subway ridership in New York City is nearly six 0:07:40.760 --> 0:07:44.440 levels now. The incoming subway and bus chief wants to 0:07:44.480 --> 0:07:47.720 boost that. Richard Davies says he will focus on how 0:07:47.720 --> 0:07:51.680 to improve service to bring more riders back. Safety is 0:07:51.680 --> 0:07:54.720 absolutely the top priority on the security of our system. 0:07:54.760 --> 0:07:58.040 I think that's job one. Davey plans to work with 0:07:58.120 --> 0:08:00.920 the New York City Police Department and mental health outreach 0:08:00.960 --> 0:08:03.720 workers to produce crime I did observe writers you know, 0:08:03.800 --> 0:08:07.600 standing against wallace, for example, or situating themselves near posts 0:08:07.680 --> 0:08:10.000 or other immovable objects to make sure that someone didn't 0:08:10.040 --> 0:08:14.360 approach him from behind. Richard Davy, a former Massachusetts Secretary 0:08:14.400 --> 0:08:17.760 of Transportation who also ran Boston's mass transit system, will 0:08:17.760 --> 0:08:20.840 begin his ten year on May second as president of 0:08:20.920 --> 0:08:23.920 New York City Transit. At the m t A. Ivanka 0:08:23.920 --> 0:08:27.800 Trump is testified before the House January sixth Committee. She 0:08:27.920 --> 0:08:31.920 answered the questions remotely. Chairman Manny Thompson says Ivanka Trump 0:08:31.960 --> 0:08:35.760 cooperated voluntarily answering what she knew about the hours with 0:08:35.840 --> 0:08:39.160 her father, former President Trump, before, during, and after the 0:08:39.200 --> 0:08:43.280 Capitol riot. Earlier, Avanka's husband Jared Kushner spent nearly six 0:08:43.320 --> 0:08:46.520 hours talking to the committee. President Joe Biden is ordering 0:08:46.520 --> 0:08:50.680 a new national research push on long COVID. The President 0:08:50.800 --> 0:08:54.440 is also directing federal agencies to support patients dealing with 0:08:54.480 --> 0:09:00.400 a mysterious and debilitating condition that includes fatigue and brain fog. Meanwhile, 0:09:00.480 --> 0:09:03.959 there are more reported cases of diabetes after COVID. Nineteen 0:09:04.280 --> 0:09:09.080 CDC director Dr Rochelle Wilenski, the science is definitely starting 0:09:09.120 --> 0:09:12.480 to demonstrate this link between people who previously had COVID 0:09:12.640 --> 0:09:17.360 and increasing rates of new diabetes diagnoses. Dr Wilensky also 0:09:17.440 --> 0:09:20.439 says the seven day average of new COVID hospitalizations is 0:09:20.480 --> 0:09:24.240 about fourteen hundred per day, a decrease of about seventeen 0:09:24.280 --> 0:09:27.320 percent over the previous week. Severe weather killed at least 0:09:27.320 --> 0:09:30.920 two people, one in Georgia and another in Texas. Yesterday, hail, 0:09:31.040 --> 0:09:35.400 strong winds and tornadoes tour across the south. In Crawford County, Georgia. 0:09:35.440 --> 0:09:38.439 This allmowner describes the moment the storm hit. I heard, 0:09:39.080 --> 0:09:42.320 you know the noise. Everybody says there's a train noise. 0:09:42.720 --> 0:09:47.320 So it didn't last, but about like seconds more severe 0:09:47.360 --> 0:09:50.520 weather is forecast in the Southeast Today. Global News twenty 0:09:50.520 --> 0:09:52.959 four hours a day on air and on Bloomberg Quickday, 0:09:53.040 --> 0:09:56.600 powered by more than journalists analysts more than twenty countries. 0:09:56.880 --> 0:10:04.680 Michael bar this is Bloomberg. Nathan. Thanks Michael. Coming up 0:10:04.720 --> 0:10:06.640 to six ten on Wall Street time for the Bloomberg 0:10:06.640 --> 0:10:09.520 Sports Update with John Stashi. Thanks Nathan. Tagger Woods won 0:10:09.559 --> 0:10:12.880 the Masters in twenty nineteen, finished thirty eight when the 0:10:12.880 --> 0:10:16.240 Masters was postponed until November. He hasn't played a tournament 0:10:16.320 --> 0:10:18.760 since then. He didn't play last year's Masters because last 0:10:18.840 --> 0:10:20.920 year at this time he couldn't get out of bed. 0:10:21.000 --> 0:10:23.880 But fourteen months after the life threatening injuries suffer in 0:10:23.920 --> 0:10:26.880 the car accident, Tigers set to tee off tomorrow morning 0:10:26.920 --> 0:10:29.640 around ten thirty. He's been playing practice rounds in Augusta 0:10:29.960 --> 0:10:33.680 and was asked how he's playing. It just fun and 0:10:34.320 --> 0:10:37.520 I don't have any qualms about what I can do 0:10:37.679 --> 0:10:41.480 physically from a golf standpoint. It style walking as the 0:10:41.520 --> 0:10:44.319 hard part, and this is normally not a easy walk 0:10:44.400 --> 0:10:46.600 to begin with. He'll play with the South African Louis 0:10:46.640 --> 0:10:50.400 Eustasen and the young Chilean Joaukee Nieman, who is half 0:10:50.720 --> 0:10:54.120 Tiger's age. Hourly Masters updates here on Bloomberg Radio on 0:10:54.120 --> 0:10:56.319 a wrap up show each night at eleven. Kyrie Irving 0:10:56.440 --> 0:10:59.160 enjoyed being allowed to play in Brooklyn. Scored forty two points, 0:10:59.160 --> 0:11:01.120 made eight three point is the next Sweet Houston one 0:11:01.160 --> 0:11:03.079 eight team to one oh five. Needed a big game 0:11:03.080 --> 0:11:06.040 from Kyrie because Kevin Durant, coming off a fifty five 0:11:06.080 --> 0:11:08.640 point game, shot just four of thirteen Rangers in New 0:11:08.720 --> 0:11:11.880 Jersey one three to one. Forty seventh goal for Chris Ryder. 0:11:11.960 --> 0:11:14.360 He's third in the league to assist for our Timmy 0:11:14.360 --> 0:11:16.880 Panari's got sixty five, which is tied for second in 0:11:16.880 --> 0:11:19.720 the NHL fifth grade winning goal for Alex Gordy. Have 0:11:19.760 --> 0:11:21.920 Islanders lost in Dallas three to two. The end of 0:11:21.960 --> 0:11:25.160 the grape Fruit League, the Mets lost to Washington fourteen 0:11:25.240 --> 0:11:27.480 to nothing Taiwan and Walker got roughed up. The two 0:11:27.520 --> 0:11:30.320 teams play the opener tomorrow in d C. The Yankees 0:11:30.600 --> 0:11:32.839 lost to the Tigers and then came home opening the 0:11:32.880 --> 0:11:35.840 day with the Red Sox scheduled for tomorrow with the stadium, 0:11:35.880 --> 0:11:40.520 but rain is in the forecast. Johns Dashward Bloomberg Sports Okay, John, 0:11:40.559 --> 0:11:43.400 thank you right now. SMP futures are down twenty four point, 0:11:43.440 --> 0:11:46.080 staff features down a hundred fifty five. Nest Act futures 0:11:46.080 --> 0:11:48.840 are lower by a hundred twenty three points. The tenure 0:11:48.880 --> 0:11:51.160 treasury is down down twenty one thirty seconds. With the 0:11:51.240 --> 0:11:53.880 yield two point six two percent, yield on the two 0:11:53.960 --> 0:11:57.520 year two point five five percent. Latest on the war 0:11:57.559 --> 0:12:00.600 in Ukraine. Next with Bloomberg's Mark Champ be and stay 0:12:00.679 --> 0:12:08.199 with us. This is Bloomberg Bloomberg Day Break, brought to 0:12:08.240 --> 0:12:11.040 you by ancient accountants and advisors challenging times call for 0:12:11.040 --> 0:12:14.120 proactive advisors who helped minimize taxes, increased cash flow and 0:12:14.120 --> 0:12:17.120 create opportunities for the future of your business. Visit ancient 0:12:17.240 --> 0:12:27.160 dot com markets, headlines and breaking news twenty four hours 0:12:27.160 --> 0:12:30.120 a day at Bloomberg dot Com. The Bloomberg Business at 0:12:30.160 --> 0:12:40.000 Land at Bloomberg Quicktape is a Bloomberg Business lash and 0:12:40.120 --> 0:12:42.720 I'm Karen Moscow and a global bond sell off. Deepening 0:12:42.840 --> 0:12:45.920 and stock slumping is investors position for a swift reduction 0:12:45.920 --> 0:12:47.920 in the feder reserves debt holdings as part of a 0:12:47.920 --> 0:12:50.960 stepped up campaign of monetary tightening to tackle high inflation. 0:12:51.280 --> 0:12:53.680 We checked the markets every fifteen minutes throughout the trading 0:12:53.760 --> 0:12:56.520 day on Bloomberg, s and P futures are down thirty 0:12:56.559 --> 0:13:00.160 one points down, futures down one four NASDAG futures on 0:13:00.160 --> 0:13:04.720 one hundred tenure treasury down thirty seconds two point six 0:13:04.760 --> 0:13:06.960 three percent. They yield on the two year two point 0:13:06.960 --> 0:13:09.800 five six percent. Nim Max Screwed oil is up one 0:13:09.800 --> 0:13:11.800 point six percent of a dollar sixty six and a 0:13:11.840 --> 0:13:14.640 hundred three dollars sixty cents of Barrel Comic School is 0:13:14.720 --> 0:13:16.760 up three ten per cent or five dollars fifty cents 0:13:16.760 --> 0:13:19.840 At nineteen thirty two eighty announced the euro one point 0:13:20.000 --> 0:13:22.079 nine O eight against the dollar British round one point 0:13:22.120 --> 0:13:24.920 three zero eight six. They end at one three point 0:13:25.000 --> 0:13:28.280 nine one and Bitcoin is lower down one and a 0:13:28.320 --> 0:13:31.760 half percent at forty one hundred fifty dollars. As a 0:13:31.800 --> 0:13:34.319 Bloomberg Business flash, now here's Michael Barr with more on 0:13:34.400 --> 0:13:37.400 what's going on around the world. Michael Karen, thank you 0:13:37.480 --> 0:13:40.440 very much. The US, European Union and Group of Seven 0:13:40.559 --> 0:13:43.360 are coordinating on a fresh round of sanctions on Russia, 0:13:43.440 --> 0:13:47.000 including the US ban on investment in the country and 0:13:47.000 --> 0:13:50.840 an EU ban on coal imports. It comes after the 0:13:50.880 --> 0:13:55.120 discovery of civilian murders and other atrocities in Ukrainian towns 0:13:55.559 --> 0:13:59.520 left open by retreating Russian forces. In golf Tiger Woods 0:13:59.520 --> 0:14:02.360 Hays for now, well, he'll probably Tall had the Master's 0:14:02.440 --> 0:14:05.840 golf tournament in Augusta, Georgia tomorrow, following a fourteen month 0:14:05.880 --> 0:14:09.040 recovery from a near fatal car crash that almost cost 0:14:09.080 --> 0:14:11.920 him his leg. Stay tuned for updates every hour on 0:14:12.040 --> 0:14:16.080 Bloomberg Radio and a special edition of Masters Tonight coming 0:14:16.160 --> 0:14:18.680 up at eleven pm Eastern time. In the NBA, the 0:14:18.720 --> 0:14:21.600 Nets and Wizards. One in the NHL, The Rangers Meet 0:14:21.640 --> 0:14:24.960 the Devil three one the Islanders and Bruins lost. Global 0:14:25.000 --> 0:14:27.520 News twenty four hours a day on air and on 0:14:27.560 --> 0:14:30.640 Bloomberg Quick Take, powered by more than twenty seven hundred 0:14:30.680 --> 0:14:33.720 journalists analysts more than a hundred twenty countries. Michael Barr 0:14:33.760 --> 0:14:37.160 and this is Bloomberg. Nathan Okay, Michael. Thanks at six 0:14:37.240 --> 0:14:40.840 nineteen on Wall Street Live from the Bloomberg Interactive Broker Studios. 0:14:40.880 --> 0:14:43.840 This is Bloomberg Daybreak in our global team. Coverage of 0:14:43.840 --> 0:14:47.040 the war in Ukraine continues now with Mark Champion joining 0:14:47.120 --> 0:14:51.040 us Bloomberg News Senior reporter for International Affairs Market Morning. 0:14:51.040 --> 0:14:52.760 I want to start off with the latest on what 0:14:52.800 --> 0:14:55.560 we're seeing on the ground in Ukraine. We've gotten these 0:14:55.600 --> 0:14:58.920 reports that rush some Russian forces have pulled away from 0:14:58.920 --> 0:15:01.720 near Kiev, where the was a horrific images have been 0:15:01.800 --> 0:15:04.520 left behind and are now focusing on the east. Is 0:15:04.760 --> 0:15:08.440 that what we're seeing at this point. Yes. In the 0:15:08.520 --> 0:15:12.600 first part, so essentially, the Russians announced that they would 0:15:12.600 --> 0:15:16.080 withdraw from the north um. The Ukrainians sort of took 0:15:16.080 --> 0:15:20.040 advantage of that and and have been harassing them and 0:15:20.080 --> 0:15:24.120 they have largely left from around Kiev um and in 0:15:24.240 --> 0:15:29.080 some other areas in the north. UM. The expectation, largely 0:15:29.120 --> 0:15:31.200 because the Russians have said that this is what they 0:15:31.240 --> 0:15:33.600 want to do, to focus on the east and the 0:15:33.640 --> 0:15:37.720 don Bass region instead, is that those forces will eventually 0:15:37.760 --> 0:15:40.080 be moved around to the other side of the country 0:15:40.400 --> 0:15:44.360 and join the the war effort, the Russian war effort 0:15:44.680 --> 0:15:48.200 in through the east. UM. That's where Mariupo has also 0:15:48.280 --> 0:15:51.400 been under siege for several weeks now. UM, So that 0:15:51.480 --> 0:15:55.480 hasn't actually happened yet. There haven't been actual sightings of 0:15:55.560 --> 0:15:58.440 those troops that left the north moving to the east. 0:15:58.680 --> 0:16:02.480 It's expected that could take a couple of weeks. And 0:16:02.520 --> 0:16:06.240 we also heard this morning from Ukrainian President Voladimir Zolinski 0:16:06.400 --> 0:16:09.240 once again giving a virtual address, this time to the 0:16:09.280 --> 0:16:13.360 Irish Parliament, saying that Russia hasn't given up on its 0:16:13.400 --> 0:16:16.360 ambition to take over the entire country. If we do 0:16:16.480 --> 0:16:20.320 have this focus seemingly at the moment on the eastern 0:16:20.560 --> 0:16:25.120 part of Ukraine, how does that square well? In a way? 0:16:25.160 --> 0:16:28.800 It does if you I'm sure that if the Russian 0:16:29.120 --> 0:16:32.800 military command was to do this over they would not 0:16:33.280 --> 0:16:38.840 begin their campaign with their forces stretched across three at 0:16:38.920 --> 0:16:42.160 least three different fronts in the north to the ran 0:16:42.280 --> 0:16:46.880 Kief around hark If down in Odessa, and then across 0:16:46.880 --> 0:16:49.440 in the east as well. UM. So what they would 0:16:49.440 --> 0:16:53.640 probably have done would would be to concentrate forces in 0:16:53.680 --> 0:16:57.720 the east where they already have advantages UH and then 0:16:58.000 --> 0:17:00.320 just force their way in, take the tarret tree that 0:17:00.360 --> 0:17:04.159 they need to consolidate for the logistical purposes, etcetera, and 0:17:04.200 --> 0:17:07.720 then push west. And that may be what happens now. 0:17:08.760 --> 0:17:10.920 And of course, after all the images that we saw 0:17:10.960 --> 0:17:14.119 over the weekend of the atrocities in Busha and potentially 0:17:14.119 --> 0:17:18.320 in other places, we're hearing about more coordinated efforts by 0:17:18.359 --> 0:17:23.600 the US and allies to Titan sanctions. Even further on Russia. 0:17:23.720 --> 0:17:28.040 We heard the ban on coal imports from the European 0:17:28.200 --> 0:17:32.840 Union yesterday. What more is on the table, Mark, Well, 0:17:32.880 --> 0:17:36.960 there there is the sorry, there is the possibility that 0:17:37.000 --> 0:17:43.280 the UH that the European Union could ban imports of 0:17:43.359 --> 0:17:47.080 oil from Russia and imports of national natural gas from Russia. 0:17:47.680 --> 0:17:49.960 This is what the UK and the US have have 0:17:50.119 --> 0:17:54.399 done in part, and it's also what President Zelinsky is 0:17:54.440 --> 0:17:58.240 pressing the EU to do. But these are really difficult 0:17:58.359 --> 0:18:01.280 moves for some countries which are high dependent on Russian 0:18:01.359 --> 0:18:04.600 gas and oil um, and so they're they're taking a 0:18:04.680 --> 0:18:11.280 first bite. Coal is not insignificant of European coal imports 0:18:11.320 --> 0:18:13.960 come from Russia, so there's a lot of substitution to 0:18:14.040 --> 0:18:17.840 do there. But there you know, something that was at 0:18:17.880 --> 0:18:22.479 one point just inconceivable, which is that Europe and in 0:18:22.480 --> 0:18:25.719 particular countries like Germany would cut themselves off from Russian 0:18:25.760 --> 0:18:28.680 oil and gas, is now at least being talked about 0:18:29.320 --> 0:18:31.760 in our last minute here, Mark, is there any sense 0:18:32.040 --> 0:18:35.600 that cutting off Russian oil and gas would actually change 0:18:35.720 --> 0:18:38.480 the way the war is going, perhaps even bring this 0:18:38.640 --> 0:18:43.080 to a conclusion, given that the massive sweeping sanctions that 0:18:43.119 --> 0:18:46.240 have already been imposed on the Russian economy haven't had 0:18:46.280 --> 0:18:48.560 that effect and in fact have led to these horrific 0:18:48.600 --> 0:18:53.080 images that we've seen. Yes, I mean, there's always a 0:18:53.200 --> 0:18:57.320 very difficult sort of translation between sanctions and you know, 0:18:57.359 --> 0:19:00.359 the war efforts on the ground. This is no option, 0:19:01.040 --> 0:19:04.080 but the the oil in particular, if that were banned, 0:19:04.119 --> 0:19:08.120 that would have an absolutely crushing um effect on the 0:19:08.200 --> 0:19:11.000 Russian budget um. And you know, at the moment, because 0:19:11.000 --> 0:19:14.840 of hi old prices, high gas prices. The Russians have 0:19:14.880 --> 0:19:17.040 actually had a bit of a boon which has helped 0:19:17.080 --> 0:19:20.600 them to offset the sanction. So it could have an impact, 0:19:20.960 --> 0:19:25.159 but what impact is very unpredictable. They might escalate instead 0:19:25.160 --> 0:19:27.840 of d escalate for example. All right, we'll leave it 0:19:27.880 --> 0:19:30.399 there for now. Mark, thank you, as always, Mark Champion 0:19:30.440 --> 0:19:33.440 with us this morning, our senior reporter for international affairs 0:19:33.920 --> 0:19:37.800 for Bloomberg News. Looking ahead to the market, open futures 0:19:37.840 --> 0:19:40.400 are moving lower, with S and P futures down down 0:19:40.400 --> 0:19:43.760 twenty nine point, Style futures down a D two, Nasdaq 0:19:43.840 --> 0:19:46.399 futures lower by a hundred forty five points. The tenure 0:19:46.440 --> 0:19:48.960 Treasury is down twenty four thirty seconds now with the 0:19:49.040 --> 0:19:53.360 yield two point six three percent just ahead. Janet Yellin's 0:19:53.440 --> 0:19:56.240 warning about the impact of the war and the deepening 0:19:56.240 --> 0:20:00.520 bond sell off on comments from Lyle Brainerd Checker stories 0:20:00.520 --> 0:20:08.240 of the morning. You're listening to Bloomberg Daybreak. Bloomberg Daybreak 0:20:08.280 --> 0:20:10.040 is brought to you by the Jewish Communal Fund j 0:20:10.119 --> 0:20:12.240 c f's Donor Advice Fund is the smart choice to 0:20:12.280 --> 0:20:16.000 manager philanthropy, especially in times of crisis. Make your giving impactful. 0:20:16.119 --> 0:20:23.760 Visit j c f n Y dot Org broadcasting live 0:20:23.920 --> 0:20:27.919 from the Bloomberg Interactive Broker Studio in New York. Bloomberg 0:20:27.920 --> 0:20:32.000 E Living Freedom to Washington, d C, Bloomberg to Boston, 0:20:32.080 --> 0:20:35.359 Bloomberg one O six one to San Francisco, Bloomberg N 0:20:35.560 --> 0:20:38.680 sixteen to the Country, Sirius XM to A one nine team, 0:20:38.760 --> 0:20:41.960 and around the globe the Bloomberg Business at and Bloomberg 0:20:42.040 --> 0:20:51.560 Radio dot Com. This is Bloomberg Daybreak. It's six thirty 0:20:51.560 --> 0:20:54.120 on Wall Street. Good morning. I'm Nathan Hagar and I'm 0:20:54.160 --> 0:20:57.400 Karen Moscow, and we're just about three hours away from 0:20:57.440 --> 0:21:00.560 the open of US trading. It's time the fine things 0:21:00.560 --> 0:21:02.320 you need to know to start your day up. First, 0:21:02.359 --> 0:21:05.280 the US and its allies are coordinating more sanctions against 0:21:05.359 --> 0:21:09.119 Russia announced after the alleged murder of civilians in Ukraine. 0:21:09.520 --> 0:21:13.040 AU commissioned President Ursula vunder Lyon is delivering harsh words 0:21:13.080 --> 0:21:17.160 for the regime in Moscow. Humanity itself was killed in Wucha. 0:21:18.000 --> 0:21:22.200 It was killed in cold blood, executed with his hands 0:21:22.320 --> 0:21:25.080 tight and the bullet in the head. And President of 0:21:25.160 --> 0:21:28.280 under Lyon with those remarksist morning at the European Parliament, 0:21:28.359 --> 0:21:31.480 New sanctions will include a European embargo on Russian coal, 0:21:31.560 --> 0:21:34.760 a US ban on investment in Russia, and tighter penalties 0:21:34.760 --> 0:21:38.320 on officials and state owned enterprises. I meantime, Karen Janet 0:21:38.359 --> 0:21:42.000 Yellen testifies before Congress today on the economic impact of 0:21:42.000 --> 0:21:44.719 the war. Let's get the details lie from Bloomberg's Juanita 0:21:44.760 --> 0:21:48.560 Young Rinita Nathan. Treasury Secretary Janet Yellen will warn that 0:21:48.640 --> 0:21:52.879 the war in Ukraine threatens to inflict enormous economic repercussions. 0:21:53.119 --> 0:21:55.680 That's according to a copy of prepared remarks that she'll 0:21:55.720 --> 0:21:59.440 give to the House Financial Services Committee. Her testimony comes 0:21:59.480 --> 0:22:02.200 as the m f is preparing to cut its forecast 0:22:02.320 --> 0:22:05.960 for global growth, and Deutsche Bank economists said that they 0:22:06.040 --> 0:22:09.240 now expect a US recession in the next two years. 0:22:09.800 --> 0:22:12.120 Live in New York, I'm re need a Young Bloomberg 0:22:12.200 --> 0:22:13.840 day break. All right, we need to thank you. Turning 0:22:13.880 --> 0:22:15.840 to the market. So now we're seeing the global bonds 0:22:15.840 --> 0:22:17.800 sell off deep in this morning. We get the very 0:22:17.840 --> 0:22:21.000 latest live at the Bloomberg John Tucker, John and Karen. 0:22:21.040 --> 0:22:23.520 FED Governor Leo Brainerd said the US Central Bank will 0:22:23.560 --> 0:22:27.560 likely step up policy tightening that has accelerated the bomb 0:22:27.680 --> 0:22:29.840 round and is driving the yield on the benchmark ten 0:22:29.920 --> 0:22:33.679 ure treasuries up another nine basis points this morning to 0:22:33.800 --> 0:22:37.360 two point six four percent bonds worldwide, I've seen an 0:22:37.359 --> 0:22:40.600 eight month losing streak that is the longest on record, 0:22:40.920 --> 0:22:43.800 lined in New York. I'm John Tucker Bloomberg Radio, and John, 0:22:43.840 --> 0:22:45.680 we could get more close from the Fed Later today, 0:22:45.720 --> 0:22:48.240 the Central Bank releases minutes from its latest policy meeting 0:22:48.280 --> 0:22:51.040 and unveils details of its likely plans to shrink its 0:22:51.080 --> 0:22:54.000 balance sheet. Well, Nathan Bloomberg News has learned Bank of 0:22:54.040 --> 0:22:56.879 America plans to bring all its US employees back to 0:22:56.960 --> 0:23:00.320