1 00:00:02,480 --> 00:00:05,880 Speaker 1: Live from the Bloomberg Interactive Broker Studios. This is Bloomberg 2 00:00:05,960 --> 00:00:09,719 Speaker 1: day Break for Thursday, December one, two. Coming up this hour, 3 00:00:10,240 --> 00:00:12,960 Speaker 1: j Powell moves markets as he signals the pace of 4 00:00:13,039 --> 00:00:16,800 Speaker 1: rate hikes will flow. More signs China is softening its 5 00:00:16,800 --> 00:00:20,759 Speaker 1: stands on COVID restrictions. Sam Bak mcfreed speaks out about 6 00:00:20,760 --> 00:00:24,080 Speaker 1: the collapse of FTX, and a standoff between Elon Musk 7 00:00:24,079 --> 00:00:28,120 Speaker 1: and Tim Cook appears to ease New York subway writers 8 00:00:28,120 --> 00:00:30,520 Speaker 1: may see fairs go up next year. Plus a House 9 00:00:30,520 --> 00:00:34,080 Speaker 1: committee now has President Trump's tax returns. I'm Michael war 10 00:00:34,320 --> 00:00:37,760 Speaker 1: More Ahead. I'm John Stafstoward. Sports another home loss for 11 00:00:37,880 --> 00:00:40,680 Speaker 1: the Knicks, beaten by the Bucks, the Nets beat the Wizards, 12 00:00:40,720 --> 00:00:45,839 Speaker 1: the Rangers one in Ottawa. That's all training ahead on 13 00:00:45,920 --> 00:00:51,600 Speaker 1: Bloomberg Daybreak on Bloomberg Even Free on New York, Bloomberg one, Washington, 14 00:00:51,680 --> 00:00:55,280 Speaker 1: d C, Bloomberg one oh six one, Boston, Bloomberg nine 15 00:00:55,360 --> 00:00:59,560 Speaker 1: sixties and Francisco Sirius x M one nineteen and around 16 00:00:59,600 --> 00:01:02,480 Speaker 1: the world on Bloomberg Radio dot Com and via the 17 00:01:02,480 --> 00:01:09,640 Speaker 1: Bloomberg Business app. Good Thursday Morning. I'm Amy Morris. I'm 18 00:01:09,720 --> 00:01:12,320 Speaker 1: Nathan Hagar futures are moving just a little bit lower 19 00:01:12,360 --> 00:01:14,160 Speaker 1: this morning. We're coming up to five oh one on 20 00:01:14,160 --> 00:01:16,520 Speaker 1: Wall Street. We checked the markets every fifteen minutes during 21 00:01:16,560 --> 00:01:19,800 Speaker 1: the trading day. On bloomberg SMP futures are down three points, 22 00:01:19,800 --> 00:01:22,880 Speaker 1: Staff futures down fifty nine. NASTAC futures are lower by 23 00:01:22,920 --> 00:01:26,160 Speaker 1: twenty five points. Attend. Your treasury is down four thirty seconds. 24 00:01:26,160 --> 00:01:28,280 Speaker 1: The yell three point six percent. You'll in the two 25 00:01:28,360 --> 00:01:31,920 Speaker 1: year four point three three percent. NIME excrudes down two 26 00:01:31,920 --> 00:01:36,080 Speaker 1: tenths percent at eighty dollars forty cents a barrel, Amy Nathan. 27 00:01:36,120 --> 00:01:38,959 Speaker 1: We begin with market moving remarks from J. Pale. The 28 00:01:38,959 --> 00:01:41,840 Speaker 1: Fed chair is signaling the Central Bank will back off 29 00:01:41,880 --> 00:01:44,880 Speaker 1: its aggressive pace of interest rate hikes as soon as 30 00:01:44,920 --> 00:01:47,720 Speaker 1: this month. The time for moderating the pace of rate 31 00:01:47,720 --> 00:01:50,520 Speaker 1: increases may come as soon as the December meeting. Given 32 00:01:50,520 --> 00:01:53,760 Speaker 1: our our progress in tightening policy, the timing of that 33 00:01:53,840 --> 00:01:56,400 Speaker 1: moderation is far less significant than the questions of how 34 00:01:56,480 --> 00:01:59,840 Speaker 1: much further we will need to raise grades to control inflation. 35 00:02:00,320 --> 00:02:03,720 Speaker 1: Powell's remarks solidified bets the Fed will downshift to a 36 00:02:03,760 --> 00:02:07,440 Speaker 1: fifty basis point rate hike on December four after delivering 37 00:02:07,520 --> 00:02:11,079 Speaker 1: four straight seventy five basis point moves. Well, the equity 38 00:02:11,120 --> 00:02:13,799 Speaker 1: markets surged on Powell's comments. Amy The S and P 39 00:02:14,000 --> 00:02:16,640 Speaker 1: five hundred rally more than three percent to close at 40 00:02:16,639 --> 00:02:19,480 Speaker 1: a two month high. The NASDAC one hundred jumped four 41 00:02:19,520 --> 00:02:22,760 Speaker 1: point four percent, and with the Dow's seven hundred thirty 42 00:02:22,760 --> 00:02:25,639 Speaker 1: seven point advance, that index is now up twenty percent 43 00:02:25,680 --> 00:02:28,480 Speaker 1: from its September low, meeting the definition now of a 44 00:02:28,600 --> 00:02:32,200 Speaker 1: bull market. Sobadra Rajappa's head of US rates strategy with 45 00:02:32,280 --> 00:02:35,200 Speaker 1: sociate General, I think if you have a picture where 46 00:02:35,680 --> 00:02:38,720 Speaker 1: invitation is starting to moderate, then they might be willing 47 00:02:38,720 --> 00:02:41,400 Speaker 1: to kind of be patient, keep rates steady for the 48 00:02:41,400 --> 00:02:44,760 Speaker 1: domainder of next year, uh and then start to orchestrate 49 00:02:44,840 --> 00:02:48,600 Speaker 1: a soft landing sucken. Sobadra Rajapa expects rates to remain 50 00:02:48,680 --> 00:02:52,720 Speaker 1: elevated not only next year, but also into and Nathan, 51 00:02:52,800 --> 00:02:55,320 Speaker 1: we saw the Wall Street rally spill into markets overseas. 52 00:02:55,320 --> 00:02:58,240 Speaker 1: Stocks in Europe are up about half a percent. Equities 53 00:02:58,240 --> 00:03:02,040 Speaker 1: in Asia advanced overnight at standing games after their best 54 00:03:02,120 --> 00:03:05,280 Speaker 1: monthly rally in twenty four years. Let's get the recap 55 00:03:05,280 --> 00:03:08,880 Speaker 1: from Bloomberg's Juliet Sally in Singapore. Good morning, Juliette, Good 56 00:03:08,880 --> 00:03:11,520 Speaker 1: morning Nathan and Amy. After capping a fifteen percent gain 57 00:03:11,560 --> 00:03:14,120 Speaker 1: in November, the m s CI Asia Pacific Index jumped 58 00:03:14,120 --> 00:03:16,040 Speaker 1: as much as two and a half percent Thursday to 59 00:03:16,080 --> 00:03:19,160 Speaker 1: in August high and is inching closer towards a ball. 60 00:03:19,160 --> 00:03:22,160 Speaker 1: Market gauges in China, Hong Kong, and Taiwan led gains 61 00:03:22,200 --> 00:03:24,800 Speaker 1: after a top Chinese official said efforts to combat the 62 00:03:24,840 --> 00:03:27,760 Speaker 1: virus are entering a new phase, with the omicron variant 63 00:03:27,800 --> 00:03:32,359 Speaker 1: weakening and vaccination rates rising. Meanwhile, Beijing e some restrictions, 64 00:03:32,400 --> 00:03:35,040 Speaker 1: lifting the on and the yen traded at a three 65 00:03:35,080 --> 00:03:39,520 Speaker 1: month high in Singapore. Juliet Sally Bloomberg Daybreak. All right, Juliette, thanks. 66 00:03:39,560 --> 00:03:42,360 Speaker 1: COVID policies remain front and center in China. We're seeing 67 00:03:42,360 --> 00:03:45,080 Speaker 1: more signs Beijing may be willing to soften its stance 68 00:03:45,080 --> 00:03:49,080 Speaker 1: on virus restrictions. Bloomberg Executive editor Paul Dobson has more 69 00:03:49,120 --> 00:03:52,160 Speaker 1: from our Singapore bureau today. We learned that in Beijing 70 00:03:52,240 --> 00:03:55,040 Speaker 1: some people may be allowed to quarantine at home instead 71 00:03:55,040 --> 00:03:57,520 Speaker 1: of going to quarantine camps, which is obviously good news 72 00:03:57,560 --> 00:03:59,320 Speaker 1: because people would much rather be in the comfort of 73 00:03:59,360 --> 00:04:01,880 Speaker 1: their own homes, given the choice a lot of the time, 74 00:04:02,440 --> 00:04:04,680 Speaker 1: um and and it might give them a little bit 75 00:04:04,680 --> 00:04:07,040 Speaker 1: more confidence to go out and about when when COVID 76 00:04:07,120 --> 00:04:10,720 Speaker 1: isn't around incremensity, that's good news. But directionally, that's very 77 00:04:10,760 --> 00:04:13,640 Speaker 1: good news because you know, the market is waiting for 78 00:04:14,120 --> 00:04:17,880 Speaker 1: China to take these decisive steps, you know, the vaccinations 79 00:04:17,920 --> 00:04:21,240 Speaker 1: that are needed for the elderly, the increase in hospital 80 00:04:21,279 --> 00:04:24,720 Speaker 1: beds to be able to start that process of opening up, 81 00:04:24,720 --> 00:04:26,520 Speaker 1: which the rest of the world has already, you know, 82 00:04:26,560 --> 00:04:29,360 Speaker 1: way ahead of Bloomberg's. Paul dobbs And says it's been 83 00:04:29,480 --> 00:04:33,359 Speaker 1: three years since the world's first documented coronavirus patient emerged 84 00:04:33,400 --> 00:04:36,279 Speaker 1: in China. Back here in the US, we are hearing 85 00:04:36,320 --> 00:04:39,240 Speaker 1: public comments from Sam Bankman Freed for the first time, 86 00:04:39,600 --> 00:04:42,880 Speaker 1: the disgraced founder and CEO of the bankrupt ft X 87 00:04:42,960 --> 00:04:47,520 Speaker 1: crypto Empire is denying fraud while admitting to grievous errors 88 00:04:47,520 --> 00:04:50,560 Speaker 1: in management. Whatever happened, why ever it happened, I had 89 00:04:50,560 --> 00:04:53,240 Speaker 1: a duty add a duty to all of our stakeholders, 90 00:04:53,240 --> 00:04:55,920 Speaker 1: to our customers, our creditor, is a head duty for 91 00:04:55,920 --> 00:04:59,120 Speaker 1: our employees, to our investors, and to the regulators of 92 00:04:59,160 --> 00:05:01,880 Speaker 1: the world to do right by them, to make sure 93 00:05:02,040 --> 00:05:04,840 Speaker 1: the rate things happened at the company, and uh clear 94 00:05:04,839 --> 00:05:06,520 Speaker 1: the I'd do a good job of that. I was 95 00:05:06,600 --> 00:05:10,280 Speaker 1: shocked by what happened this month, Sam Bankman. Freed made 96 00:05:10,320 --> 00:05:12,680 Speaker 1: the comments by video link at the New York Times 97 00:05:12,720 --> 00:05:16,120 Speaker 1: Deal Book Summit. There are still unanswered questions about how 98 00:05:16,240 --> 00:05:19,480 Speaker 1: fd X ended up with an eight billion dollar hole 99 00:05:19,520 --> 00:05:23,479 Speaker 1: in its balance sheet and whether it mishandled customer funds. Well. Meantime, 100 00:05:23,480 --> 00:05:26,039 Speaker 1: Amy is standoff between two of the most powerful tech 101 00:05:26,120 --> 00:05:28,680 Speaker 1: leaders in the world appears to be easing. Let's get 102 00:05:28,680 --> 00:05:31,479 Speaker 1: the details Live with Bloomberg, Steve Rappaport, Good Morning Steve, 103 00:05:31,520 --> 00:05:34,320 Speaker 1: Good Morning, Nathan, and Amy. Elon Muski is burying the 104 00:05:34,360 --> 00:05:37,320 Speaker 1: hatchet with Apple's CEO Tim Cook, saying the tiff between 105 00:05:37,320 --> 00:05:40,240 Speaker 1: the tech giants was a misunderstanding that has been resolved. 106 00:05:40,480 --> 00:05:43,320 Speaker 1: The Twitter boss claimed without explanation that Apple threatened to 107 00:05:43,400 --> 00:05:46,080 Speaker 1: block the platform from its app store, but yesterday Musk 108 00:05:46,120 --> 00:05:48,920 Speaker 1: confirmed he spoke with Cook and says Cook assured him 109 00:05:48,960 --> 00:05:52,160 Speaker 1: Apple never even considered doing so. A number of businesses 110 00:05:52,160 --> 00:05:55,360 Speaker 1: paused advertising on Twitter because of concerns about Musk's approach 111 00:05:55,400 --> 00:05:58,520 Speaker 1: to moderating content Live in New York. I'm Steve Rappaport, 112 00:05:58,560 --> 00:06:01,280 Speaker 1: Bloomberg Daybreak. All right, thank you, Steve, and let's get 113 00:06:01,279 --> 00:06:04,000 Speaker 1: the latest now on efforts to avert a crippling freight 114 00:06:04,080 --> 00:06:07,800 Speaker 1: rail strike, the House has passed legislation to block the strike, 115 00:06:07,960 --> 00:06:10,400 Speaker 1: sending it to the Senate, which could take action as 116 00:06:10,440 --> 00:06:13,560 Speaker 1: soon as this week. The House also passed a related 117 00:06:13,600 --> 00:06:16,159 Speaker 1: bill that would add seven days have paid sickly to 118 00:06:16,200 --> 00:06:19,240 Speaker 1: the rail contract. Bloomberg's Joe Matthew spoke about that with 119 00:06:19,360 --> 00:06:22,880 Speaker 1: Art Wheaton, director of Labor Studies at Cornell University's School 120 00:06:22,920 --> 00:06:26,880 Speaker 1: of Industrial and Labor Relations. I agree that the workers 121 00:06:26,920 --> 00:06:29,599 Speaker 1: deserve the seven days off, but they need to get 122 00:06:30,120 --> 00:06:32,760 Speaker 1: enough votes in the Senate for it to pass, otherwise 123 00:06:32,800 --> 00:06:35,320 Speaker 1: we have a strike. I would guess they're not going 124 00:06:35,400 --> 00:06:38,680 Speaker 1: to add the seven days in the Senate. Art Wheaton 125 00:06:38,800 --> 00:06:41,400 Speaker 1: is director of Labor Studies at Cornell University and was 126 00:06:41,440 --> 00:06:43,960 Speaker 1: a guest on sound on Heard weekdays at five pm 127 00:06:43,960 --> 00:06:46,880 Speaker 1: Wall Street Time here on Bloomberg Radio. Finally, Amy as 128 00:06:46,920 --> 00:06:50,039 Speaker 1: inflation pressures remain high, and new survey says New York 129 00:06:50,160 --> 00:06:53,480 Speaker 1: and Singapore are the most expensive cities to live in. 130 00:06:53,560 --> 00:06:56,680 Speaker 1: The report comes from the Economist Intelligence Unit. Tel Aviv, 131 00:06:56,760 --> 00:06:59,160 Speaker 1: Hong Kong, and Los Angeles round out the top five. 132 00:06:59,560 --> 00:07:01,559 Speaker 1: The survey says the cost of living in the world's 133 00:07:01,640 --> 00:07:05,120 Speaker 1: largest cities rows more than eight percent over the past year. 134 00:07:05,800 --> 00:07:08,679 Speaker 1: Yesterday's Big Games futures are moving just a little lower. 135 00:07:08,760 --> 00:07:11,400 Speaker 1: S ANDP futures now down three points, Stown futures down 136 00:07:11,440 --> 00:07:15,080 Speaker 1: fifty four and NASTAC futures are lower by twenty two points. 137 00:07:15,120 --> 00:07:18,040 Speaker 1: Straight ahead your latest local headlines and a check of sports. 138 00:07:18,960 --> 00:07:25,000 Speaker 1: This is Bloomberg. Thank you, Nathan. Five oh seven on 139 00:07:25,000 --> 00:07:27,080 Speaker 1: Wall Street. Let's bring in Michael Barr with more on 140 00:07:27,120 --> 00:07:29,400 Speaker 1: what else is going on in New York and around 141 00:07:29,480 --> 00:07:32,200 Speaker 1: the world. Good morning Michael, Good morning Amy. New York's 142 00:07:32,360 --> 00:07:35,720 Speaker 1: mt am A boost fares on Sunways, buses, and commuter 143 00:07:35,880 --> 00:07:39,480 Speaker 1: rail lines by five point five percent next year. It 144 00:07:39,600 --> 00:07:42,360 Speaker 1: is the first time the transit provider has implemented such 145 00:07:42,400 --> 00:07:47,120 Speaker 1: a high sense. The MTA faces a potential three billion 146 00:07:47,160 --> 00:07:52,640 Speaker 1: dollar budget deficit as weekday ridership has plateaued to about 147 00:07:52,680 --> 00:07:56,800 Speaker 1: sixty of pre pandemic levels. The m t A tends 148 00:07:56,800 --> 00:07:59,760 Speaker 1: to increase fares by four percent every two years, but 149 00:08:00,000 --> 00:08:03,240 Speaker 1: of a de Kathy HOCl postponed those hikes during the pandemic. 150 00:08:03,680 --> 00:08:06,080 Speaker 1: The House Ways and Means Committee will get to look 151 00:08:06,120 --> 00:08:09,840 Speaker 1: through Donald Trump's tax returns, Bloomberg said Baxter as the 152 00:08:09,880 --> 00:08:12,360 Speaker 1: story the I R s as it has complied with 153 00:08:12,400 --> 00:08:15,120 Speaker 1: the Supreme Court and making the returns available, did not 154 00:08:15,240 --> 00:08:18,600 Speaker 1: confirm whether members of the panel have accessed them. The 155 00:08:18,640 --> 00:08:21,720 Speaker 1: committee reportedly will meet today to decide what to do 156 00:08:21,800 --> 00:08:24,440 Speaker 1: with the returns. This has been a long journey as 157 00:08:24,480 --> 00:08:28,200 Speaker 1: a committee has been seeking the documents since Trump had 158 00:08:28,280 --> 00:08:30,960 Speaker 1: repeatedly said during the campaign that he would make the 159 00:08:31,000 --> 00:08:33,680 Speaker 1: returns public, but then fought all the way to the 160 00:08:33,679 --> 00:08:36,920 Speaker 1: Supreme Court. The committee has argued it needs to see 161 00:08:36,920 --> 00:08:41,160 Speaker 1: the returns to draft legislation on presidential compliance with tax law. 162 00:08:41,600 --> 00:08:44,199 Speaker 1: In San Francisco, I'm at Baxter Bloomberg day Break. The 163 00:08:44,360 --> 00:08:48,400 Speaker 1: US Appeals Court rejects the Biden administration's requests to reinstate 164 00:08:48,440 --> 00:08:51,960 Speaker 1: the student debt relief plan. President Biden announced in August 165 00:08:52,040 --> 00:08:54,640 Speaker 1: that the government would forgive up to ten thousand dollars 166 00:08:54,640 --> 00:08:57,680 Speaker 1: in student loan debt for borrowers making less than one 167 00:08:58,120 --> 00:09:01,319 Speaker 1: twenty five thousand dollars a year. About twenty six million 168 00:09:01,360 --> 00:09:05,840 Speaker 1: Americans have applied for student loan forgiveness. Loyola Law University 169 00:09:05,880 --> 00:09:09,720 Speaker 1: professor Lorie Levinson. These loans are supposed to be repaid 170 00:09:09,880 --> 00:09:14,520 Speaker 1: starting in January, and unless a court uphold surviving the plan, 171 00:09:15,120 --> 00:09:17,559 Speaker 1: then these people who thought they would have the loans 172 00:09:17,640 --> 00:09:21,679 Speaker 1: forgiven will have to start paying. Loyola Law University professor 173 00:09:21,800 --> 00:09:24,800 Speaker 1: Lourie Levinson says the next stop is likely the Supreme Court. 174 00:09:25,440 --> 00:09:29,199 Speaker 1: The New York Grid Operator warned that electricity supplies will 175 00:09:29,240 --> 00:09:32,600 Speaker 1: be tied as early as twenty three as demand grows 176 00:09:32,679 --> 00:09:36,360 Speaker 1: and old generators shut down, increasing the risk of blackouts. 177 00:09:36,760 --> 00:09:39,960 Speaker 1: The New York Independent System Operators says the availability of 178 00:09:40,000 --> 00:09:43,200 Speaker 1: power supplies will thin over the next decade as more 179 00:09:43,240 --> 00:09:46,600 Speaker 1: power plants fueled by natural gas shut down and demand 180 00:09:46,600 --> 00:09:50,400 Speaker 1: grows for electric vehicles and home heating. Global News twenty 181 00:09:50,400 --> 00:09:53,400 Speaker 1: four hours a day on air and on Bloomberg Quick Take, 182 00:09:53,640 --> 00:09:56,679 Speaker 1: powered by more than twenty seven hundred journalists and unless 183 00:09:56,760 --> 00:09:59,839 Speaker 1: more than twenty countries. I'm Michael bar This is Bloomberg Guinea. 184 00:10:00,400 --> 00:10:05,080 Speaker 1: All right, thank you, Michael, Now for the sports report, 185 00:10:05,120 --> 00:10:07,440 Speaker 1: brought to you by Try State OUTI here's John's dash 186 00:10:07,480 --> 00:10:09,520 Speaker 1: our thanks to Amy. The Knicks won their first three 187 00:10:09,520 --> 00:10:12,280 Speaker 1: home games this season. Since then at the Garden, they've 188 00:10:12,320 --> 00:10:15,080 Speaker 1: gone one and six, beaten by the Bucks one thirteen, 189 00:10:15,120 --> 00:10:17,360 Speaker 1: one oh seven too much. Jana's son to the compo 190 00:10:17,800 --> 00:10:20,680 Speaker 1: thirty seven points are j Barrett leather Nicks with twenty six. 191 00:10:20,800 --> 00:10:24,120 Speaker 1: Julius Randall said only eight of twenty four. Jalen Brunson 192 00:10:24,120 --> 00:10:26,760 Speaker 1: was eight of twenty two. Together they were one of 193 00:10:26,800 --> 00:10:29,720 Speaker 1: twelve on three pointers. Then AT's in Brooklyn by Washington 194 00:10:29,760 --> 00:10:32,240 Speaker 1: one thirteen, one oh seven. That's three straight wins to 195 00:10:32,360 --> 00:10:35,520 Speaker 1: move over five hundred. Kevin Durant having a sensational season, 196 00:10:35,520 --> 00:10:39,040 Speaker 1: averaging thirty per game, shooting fifty five percent. He scored 197 00:10:39,120 --> 00:10:42,160 Speaker 1: thirty nine. Kybrier of the United Seven Rangers in Ottawa 198 00:10:42,240 --> 00:10:44,520 Speaker 1: had the league looking for more. The Rangers control of 199 00:10:44,520 --> 00:10:46,960 Speaker 1: the draw, send it back up with Savannah Jat up 200 00:10:47,000 --> 00:10:48,640 Speaker 1: the middle, leaves it back into the far wing for 201 00:10:48,720 --> 00:10:51,280 Speaker 1: VC spins to his forehand and backhand to behind. Then 202 00:10:51,320 --> 00:10:53,959 Speaker 1: at the Savannah Jat. Savannah Jat slings into the air 203 00:10:54,080 --> 00:10:57,360 Speaker 1: point and Lingray with the shot and they store Rider 204 00:10:57,440 --> 00:10:59,839 Speaker 1: was in front. I think he deflected it. At the Rangers. 205 00:10:59,880 --> 00:11:02,720 Speaker 1: They ESPN New York call it it was pridor Is 206 00:11:02,760 --> 00:11:05,240 Speaker 1: eleven goal at fifty two. Last year, Rangers beat the 207 00:11:05,360 --> 00:11:07,880 Speaker 1: Senators three to one. College James Rutgers lost at in 208 00:11:07,920 --> 00:11:11,880 Speaker 1: Miami sixty one on the Big ten A c C Challenge. 209 00:11:11,920 --> 00:11:15,600 Speaker 1: The two conferences split six games Tuesday and split six 210 00:11:15,640 --> 00:11:19,520 Speaker 1: more last night. Australia, Argentina, Poland all learned their way 211 00:11:19,520 --> 00:11:22,240 Speaker 1: into the World Cup knockout round. France had already cleanched 212 00:11:22,240 --> 00:11:24,880 Speaker 1: four more spots up for grabs today in Qatar. The 213 00:11:24,920 --> 00:11:29,079 Speaker 1: Giants love a visitor at their facility today. Odell Beckham Jr. 214 00:11:29,080 --> 00:11:31,360 Speaker 1: The ex Giant, has not played this season, but now 215 00:11:31,400 --> 00:11:33,679 Speaker 1: said to have recovered from the torn A c L 216 00:11:33,720 --> 00:11:35,800 Speaker 1: suffer in the Super Bowl while he was with the Rams. 217 00:11:35,840 --> 00:11:39,360 Speaker 1: The Cowboys also very much interested in signing oh b J. 218 00:11:39,520 --> 00:11:42,760 Speaker 1: The game tonight Buffalo at New England. John Stash Howard 219 00:11:42,800 --> 00:11:46,640 Speaker 1: Bloomberg Sports team, All right, thank you, John, checking features 220 00:11:46,679 --> 00:11:49,840 Speaker 1: now s and P futures down four, Dell futures down 221 00:11:49,880 --> 00:11:54,400 Speaker 1: fifty eight points, NAZDAC futures down. Ten year treasury down 222 00:11:54,400 --> 00:11:57,079 Speaker 1: to thirty seconds, the yield at three point six p. 223 00:11:57,880 --> 00:12:00,439 Speaker 1: Much more still to come on this Thursday MO edition 224 00:12:00,480 --> 00:12:08,520 Speaker 1: of Bloomberg daybreak is Bloomberg. The Bloomberg Sports Report was 225 00:12:08,559 --> 00:12:10,800 Speaker 1: brought to you by Audie. Don't let someone else drive 226 00:12:10,800 --> 00:12:13,720 Speaker 1: off in the Autie model you've always wanted. Visit your 227 00:12:13,760 --> 00:12:15,800 Speaker 1: local twice state Autie either to get behind the wheel 228 00:12:15,800 --> 00:12:17,920 Speaker 1: of yours today, or visit Autie Offers dot com for 229 00:12:18,040 --> 00:12:25,120 Speaker 1: more information, markets, headlines and breaking news twenty four hours 230 00:12:25,160 --> 00:12:28,120 Speaker 1: a day at Bloomberg dot Com, the Bloomberg Business Out, 231 00:12:28,240 --> 00:12:37,520 Speaker 1: and at Bloomberg Quick Tape, He's a Bloomberg Business Flash, 232 00:12:38,120 --> 00:12:40,640 Speaker 1: Nathan Hagar. Global stocks are climbing, the dollar is slipping 233 00:12:40,679 --> 00:12:42,439 Speaker 1: to a three month low. Is fresh signs emerge of 234 00:12:42,480 --> 00:12:45,120 Speaker 1: a softening in China's COVID stance and fed share. J. 235 00:12:45,280 --> 00:12:48,640 Speaker 1: Powell confirms the pace of interest rate hikes maybe set 236 00:12:48,679 --> 00:12:51,040 Speaker 1: to slow. We checked the markets every fifteen minutes during 237 00:12:51,080 --> 00:12:53,880 Speaker 1: the trading day on Bloomberg. Right now, A futures in 238 00:12:53,920 --> 00:12:56,480 Speaker 1: the US are moving lower, SMP futures are down two point, 239 00:12:56,520 --> 00:12:59,960 Speaker 1: STAFF futures down, and SECT futures are down nineteen point. 240 00:13:00,080 --> 00:13:02,600 Speaker 1: The decks in Germany is higher, though by four tenths percent. 241 00:13:02,840 --> 00:13:05,319 Speaker 1: CAC in Paris little change now to the upside ten 242 00:13:05,400 --> 00:13:07,720 Speaker 1: Your treasuries down three thirty seconds deal three point six 243 00:13:08,280 --> 00:13:10,520 Speaker 1: held on the two year four point three three percent 244 00:13:10,840 --> 00:13:13,040 Speaker 1: nime ex screws up a quarter percent of twenty cents 245 00:13:13,080 --> 00:13:15,760 Speaker 1: at eighty dollar seventy five cents a barrel. Comics gold 246 00:13:15,760 --> 00:13:20,600 Speaker 1: moving higher up one point ninety seventy cents sixty gets 247 00:13:20,600 --> 00:13:23,160 Speaker 1: you announce of gold. The euro one point zero four 248 00:13:23,240 --> 00:13:25,400 Speaker 1: four seven against the dollar British pound one point two 249 00:13:25,440 --> 00:13:27,720 Speaker 1: one four six. The en is at one thirty six 250 00:13:28,040 --> 00:13:31,040 Speaker 1: point three four thirty Wall Street Time, we get initial 251 00:13:31,120 --> 00:13:34,920 Speaker 1: jobless claims and the PCE Corps deflator at ten am 252 00:13:35,320 --> 00:13:38,600 Speaker 1: I s M manufacturing data. That's a Bloomberg business flash. 253 00:13:38,640 --> 00:13:41,240 Speaker 1: Now here's Michael Barr with more on what's going on 254 00:13:41,320 --> 00:13:43,960 Speaker 1: around the world. Michael, thank you very much. Nathan. A 255 00:13:43,960 --> 00:13:46,520 Speaker 1: House committee can now get a look at six years 256 00:13:46,520 --> 00:13:49,679 Speaker 1: of Donald Trump's tax returns. It comes a week after 257 00:13:49,720 --> 00:13:52,640 Speaker 1: the Supreme Court cleared the way for their release. More 258 00:13:52,800 --> 00:13:56,760 Speaker 1: Chinese cities are easing samanti virus restrictions as police patrol 259 00:13:56,800 --> 00:13:59,880 Speaker 1: their streets to head all protests. Last weekend, bro to 260 00:14:00,000 --> 00:14:03,200 Speaker 1: masters in Shanghai, Beijing and other cities demanded an end 261 00:14:03,280 --> 00:14:06,080 Speaker 1: to controls that can find millions of people to their homes. 262 00:14:06,440 --> 00:14:08,600 Speaker 1: In the NBA, the next loss, the Nets beat the 263 00:14:08,600 --> 00:14:11,640 Speaker 1: Wizards one thirteen one oh seven the Celtics one. In 264 00:14:11,679 --> 00:14:14,439 Speaker 1: the NHL, the Rangers won at the World Cup four 265 00:14:14,520 --> 00:14:18,319 Speaker 1: games today, including Germany against Costa Rica. Global News twenty 266 00:14:18,320 --> 00:14:21,160 Speaker 1: four hours a day on air and on Bloomberg Quicktake, 267 00:14:21,440 --> 00:14:24,560 Speaker 1: powered by more than twenty seven hundred journalists and analysts 268 00:14:24,640 --> 00:14:27,200 Speaker 1: more than a hundred twenty countries. I'm Michael bar This 269 00:14:27,240 --> 00:14:30,520 Speaker 1: is Bloomberg Gaming. All right, Thank you, Michael. It's five 270 00:14:30,640 --> 00:14:34,320 Speaker 1: nineteen on Wall Street Live from the Bloomberg Interactive Broker Studios. 271 00:14:34,400 --> 00:14:37,480 Speaker 1: This is Bloomberg Daybreak. We're joined now by Chief Market 272 00:14:37,520 --> 00:14:41,400 Speaker 1: analyst Michael Houston at CMC Markets. Michael, good morning to you. 273 00:14:41,840 --> 00:14:44,200 Speaker 1: We're talking about FED chair Pale. He signaled a great 274 00:14:44,280 --> 00:14:48,000 Speaker 1: height slowdown yesterday during his speech. What does that mean 275 00:14:48,040 --> 00:14:52,440 Speaker 1: for equity markets? Well, yeah, good morning. I mean, I 276 00:14:52,440 --> 00:14:57,120 Speaker 1: think we saw the consequences of that statement yesterday in 277 00:14:57,240 --> 00:15:01,160 Speaker 1: the context of a slide in ten year yields as 278 00:15:01,200 --> 00:15:04,880 Speaker 1: well as two yields, but also a spike higher in 279 00:15:04,960 --> 00:15:09,720 Speaker 1: equity markets. And I think it's really confirmation of what 280 00:15:09,800 --> 00:15:13,280 Speaker 1: the market was already thinking that the federal Reserve was 281 00:15:13,360 --> 00:15:17,640 Speaker 1: likely to hike by fifty basis points in December. That's 282 00:15:17,640 --> 00:15:20,480 Speaker 1: pretty much priced in. But I think what's notable now 283 00:15:20,560 --> 00:15:23,680 Speaker 1: it's not really about what comes in December, it's what 284 00:15:23,760 --> 00:15:26,360 Speaker 1: comes after that. And I think some of the data 285 00:15:26,400 --> 00:15:30,240 Speaker 1: that we saw yesterday would bear to suggest that the 286 00:15:30,240 --> 00:15:32,720 Speaker 1: Federal Reserve is probably going to start getting a little 287 00:15:32,720 --> 00:15:38,600 Speaker 1: bit concerned about pushing too hard on raising rates much 288 00:15:38,600 --> 00:15:42,480 Speaker 1: more aggressively than they have been. So for me, it's 289 00:15:42,520 --> 00:15:45,440 Speaker 1: not about what comes in December. Fifty basis points is 290 00:15:45,440 --> 00:15:48,200 Speaker 1: pretty much nailed on. It's what comes after that, And 291 00:15:48,240 --> 00:15:51,120 Speaker 1: I think that, more than anything, is likely to be 292 00:15:51,680 --> 00:15:54,800 Speaker 1: the key focus for the FED meeting in just under 293 00:15:54,840 --> 00:15:58,840 Speaker 1: two weeks time what comes in next year with respect 294 00:15:58,840 --> 00:16:02,240 Speaker 1: to future rate hikes. The past couple of months have 295 00:16:02,400 --> 00:16:04,760 Speaker 1: seen a rally. Do you see this as a bear 296 00:16:04,840 --> 00:16:08,760 Speaker 1: market rally? Yeah, I'm on the fence on that at 297 00:16:08,760 --> 00:16:10,960 Speaker 1: the moment. I think largely because of the fact that 298 00:16:11,000 --> 00:16:15,440 Speaker 1: we're heading into the December period, which generally tends to 299 00:16:15,480 --> 00:16:20,040 Speaker 1: be a fairly low liquidity time of year. You've either 300 00:16:20,120 --> 00:16:23,240 Speaker 1: major money for the year or you've lost your money 301 00:16:23,280 --> 00:16:25,080 Speaker 1: for the year, and you don't want to lose anymore. 302 00:16:25,480 --> 00:16:28,320 Speaker 1: So it's going to take something really substantive, I think, 303 00:16:28,400 --> 00:16:31,600 Speaker 1: to really drive stock markets lower from where they are 304 00:16:31,640 --> 00:16:34,600 Speaker 1: at the moment. I think for now the markets are 305 00:16:34,600 --> 00:16:38,200 Speaker 1: in the holding pattern ahead of these central bank meetings 306 00:16:38,200 --> 00:16:39,800 Speaker 1: in two weeks time. Not only have we got the 307 00:16:39,800 --> 00:16:44,560 Speaker 1: Federal Reserve, we've got the European Central Bank, We've got 308 00:16:44,600 --> 00:16:47,280 Speaker 1: the Bank of England. And the prevailing narrative at the 309 00:16:47,360 --> 00:16:50,920 Speaker 1: moment is that inflation has potentially paid and the bigger 310 00:16:51,000 --> 00:16:54,400 Speaker 1: question now is how quickly does it come down? And 311 00:16:54,440 --> 00:16:57,600 Speaker 1: how long do rates stay at their current levels or 312 00:16:57,680 --> 00:17:00,440 Speaker 1: go higher? So what are you watching or as the 313 00:17:00,480 --> 00:17:03,160 Speaker 1: perspective that I love it when you anticipate my next question, 314 00:17:03,200 --> 00:17:06,280 Speaker 1: whether inflation is peaked and the sort of timeline that 315 00:17:06,320 --> 00:17:09,520 Speaker 1: we're looking at there, I think inflation has peaked. I 316 00:17:09,520 --> 00:17:11,840 Speaker 1: think the bigger question that markets are asking now is 317 00:17:12,040 --> 00:17:14,159 Speaker 1: how quickly does it come down? And for me, I 318 00:17:14,200 --> 00:17:17,120 Speaker 1: think we're near the top of the rate hiking cycle. 319 00:17:17,560 --> 00:17:20,840 Speaker 1: I think the Federals struggle to raise rates by more 320 00:17:20,880 --> 00:17:23,920 Speaker 1: than another fifty basis points over and above what they're 321 00:17:23,960 --> 00:17:27,840 Speaker 1: going to do in December, given the weakness that we're seeing, 322 00:17:28,080 --> 00:17:30,639 Speaker 1: not only in the US economy in terms of the 323 00:17:30,640 --> 00:17:35,200 Speaker 1: manufacturing data, but more broadly in Europe as well. So 324 00:17:36,160 --> 00:17:39,320 Speaker 1: going ahead, I think we'll know more next year, and 325 00:17:39,359 --> 00:17:42,120 Speaker 1: I think we could see some early equity market weakness 326 00:17:42,480 --> 00:17:45,600 Speaker 1: in January February next year. Between now and Christmas, I 327 00:17:45,640 --> 00:17:47,320 Speaker 1: think there's potential for us to move a little bit 328 00:17:47,400 --> 00:17:51,760 Speaker 1: higher before we have another test of the downside. Stick 329 00:17:51,800 --> 00:17:53,480 Speaker 1: down a little bit on that. Where do you see 330 00:17:53,480 --> 00:17:58,080 Speaker 1: those weak spots in the U S data? Well, manufacturing yesterday, 331 00:17:58,119 --> 00:18:01,200 Speaker 1: I mean that's Chicago p and my number was pretty poor. 332 00:18:01,680 --> 00:18:03,639 Speaker 1: I'll be interested to see whether or not the I 333 00:18:03,800 --> 00:18:08,080 Speaker 1: S M manufacturing numbers later today bear that out, particularly 334 00:18:08,080 --> 00:18:11,600 Speaker 1: on the prices paid component, which has had its lowest 335 00:18:11,680 --> 00:18:15,400 Speaker 1: levels since mid So that's where I will be paying 336 00:18:15,400 --> 00:18:18,280 Speaker 1: particular attention to services is holding up fairly well. We 337 00:18:18,320 --> 00:18:21,520 Speaker 1: saw that in the ADP numbers on Wednesday. It will 338 00:18:21,560 --> 00:18:24,439 Speaker 1: be interesting to see whether we're non farm payrolls also 339 00:18:24,560 --> 00:18:29,240 Speaker 1: replicate that trend when they're released on Friday. It's shifting 340 00:18:29,320 --> 00:18:31,119 Speaker 1: gears just a little bit. We only have about a 341 00:18:31,160 --> 00:18:33,680 Speaker 1: minute here, But how is China a factor in all 342 00:18:33,720 --> 00:18:37,719 Speaker 1: of this? It's a factor in so much that if 343 00:18:37,760 --> 00:18:40,919 Speaker 1: they're fully locked down, they're obviously not adding to the 344 00:18:41,040 --> 00:18:45,880 Speaker 1: overall economic output of the global economy. If they're slowly 345 00:18:45,960 --> 00:18:50,120 Speaker 1: starting to move to a gradual reopening, what that does 346 00:18:50,359 --> 00:18:53,119 Speaker 1: is it makes it much less likely that the global 347 00:18:53,160 --> 00:18:56,919 Speaker 1: economy will fall off the cliff in three So a 348 00:18:56,920 --> 00:19:03,480 Speaker 1: gradual reopening is probably the best outlook going forward. If 349 00:19:03,480 --> 00:19:06,080 Speaker 1: they open very very quickly, there is a risk that 350 00:19:06,119 --> 00:19:10,120 Speaker 1: could cause an inflationary spike when it comes to energy prices. 351 00:19:10,480 --> 00:19:13,640 Speaker 1: We don't want that, so gradually opening on the back 352 00:19:13,720 --> 00:19:17,320 Speaker 1: of slowly easing COVID restrictions is probably the best case 353 00:19:17,359 --> 00:19:21,320 Speaker 1: scenario for China. All right, Thank you so much, Michael 354 00:19:21,400 --> 00:19:25,120 Speaker 1: for taking time with us on this Thursday morning, especially 355 00:19:25,200 --> 00:19:28,400 Speaker 1: the day after FED chair Pal made those comments yesterday 356 00:19:28,440 --> 00:19:31,040 Speaker 1: at the Brookings Institution. We appreciate you taking the time 357 00:19:31,080 --> 00:19:34,840 Speaker 1: with us. Chief Market analyst Michael Houston at CMC Markets 358 00:19:35,520 --> 00:19:39,240 Speaker 1: checking the markets, SMP futures down two points, DAL futures 359 00:19:39,280 --> 00:19:43,240 Speaker 1: down fifty one, NASTAC futures down twenty one points, the 360 00:19:43,359 --> 00:19:46,439 Speaker 1: ten year treasury down to thirty seconds, the yield at 361 00:19:46,480 --> 00:19:51,760 Speaker 1: three point two, year yield now at four point three two, 362 00:19:52,040 --> 00:19:55,520 Speaker 1: and Brent crude now trading six tenths of a percent higher. 363 00:19:55,840 --> 00:19:59,040 Speaker 1: That's fifty six cents at eighty seven dollars at fifty 364 00:19:59,040 --> 00:20:01,520 Speaker 1: three cents per barrel. Much more to come on Bloomberg Daybreak. 365 00:20:01,920 --> 00:20:09,200 Speaker 1: This is Bloomberg the Bloomberg eleven three oh forecast. Sunny 366 00:20:09,240 --> 00:20:11,560 Speaker 1: and breezy, going up to forty five degrees with more 367 00:20:11,680 --> 00:20:14,920 Speaker 1: sun Tomorrow a little mile they're going up to fifty showers. 368 00:20:14,920 --> 00:20:18,120 Speaker 1: Return for your weekend on Saturday, going up to sixty degrees. 369 00:20:22,160 --> 00:20:26,720 Speaker 1: Broadcasting live from the Bloomberg Interactive Brokers Studio in New York, 370 00:20:26,800 --> 00:20:30,760 Speaker 1: Bloomberg E living three to Washington, d C, Bloomberg one 371 00:20:30,880 --> 00:20:34,119 Speaker 1: to Boston, Bloomberg one O six one to San Francisco, 372 00:20:34,200 --> 00:20:37,640 Speaker 1: Bloomberg nine sixty to the country, Sirius XM Cho one 373 00:20:37,720 --> 00:20:40,800 Speaker 1: nine and around the globe the Bloomberg Business app in 374 00:20:40,880 --> 00:20:50,440 Speaker 1: Bloomberg Radio dot Com. This is Bloomberg Daybreak. It's five 375 00:20:50,480 --> 00:20:53,160 Speaker 1: thirty on Wall Street. Good morning now, Nathan Hager, him 376 00:20:53,160 --> 00:20:56,159 Speaker 1: Amy Morris. Bloomberg Daybreak is brought to you by s 377 00:20:56,160 --> 00:20:59,680 Speaker 1: E I. Built on advanced technologies and fifty years of innovation, 378 00:21:00,119 --> 00:21:04,879 Speaker 1: SEI offers asset managers a comprehensive and flexible operations outsourcing platform. 379 00:21:05,119 --> 00:21:07,959 Speaker 1: Go to se i C dot com slash managers more. 380 00:21:08,000 --> 00:21:10,040 Speaker 1: About four hours away from the open of US trading, 381 00:21:10,080 --> 00:21:11,480 Speaker 1: Let's get you up to date on the news you 382 00:21:11,520 --> 00:21:13,720 Speaker 1: need to know at this hour. Starting with the FED 383 00:21:14,000 --> 00:21:16,520 Speaker 1: chair J. Powell is signaling the Central Bank will ease 384 00:21:16,600 --> 00:21:19,280 Speaker 1: it's aggressive pace of raising interest rates as soon as 385 00:21:19,359 --> 00:21:21,960 Speaker 1: this month. The time for moderating the pace of rate 386 00:21:22,000 --> 00:21:24,920 Speaker 1: increases may come as soon as the December meeting. Given 387 00:21:24,920 --> 00:21:28,119 Speaker 1: our our progress in tightening policy, the timing of that 388 00:21:28,240 --> 00:21:31,480 Speaker 1: moderation is far less significant than J. Pal's remarks indicate 389 00:21:31,520 --> 00:21:33,600 Speaker 1: the Fed it's likely to shift to a fifty basis 390 00:21:33,640 --> 00:21:36,960 Speaker 1: point hike at its next decision. Equity markets advanced sharply 391 00:21:36,960 --> 00:21:40,720 Speaker 1: on Pal's comments. David Cutlof, founder of main Stake Capital Management, 392 00:21:40,880 --> 00:21:44,840 Speaker 1: says the more dovish tone was appropriate for current economic conditions. 393 00:21:45,200 --> 00:21:47,600 Speaker 1: I think it's a recognition too of looking at the 394 00:21:47,640 --> 00:21:51,000 Speaker 1: data p M E s or in contraction territory pending 395 00:21:51,040 --> 00:21:54,919 Speaker 1: home sales down thirty year over year, and we haven't 396 00:21:54,960 --> 00:21:58,120 Speaker 1: felt the full impact of these rate hikes we've had. 397 00:21:58,480 --> 00:22:02,160 Speaker 1: David Goodlave with main Steak Capital Management believes Powell's comments 398 00:22:02,240 --> 00:22:05,240 Speaker 1: also indicate he's mindful of the Fed going too far 399 00:22:05,359 --> 00:22:07,880 Speaker 1: with rate hikes. Well, the SP five hundred close three 400 00:22:07,880 --> 00:22:10,800 Speaker 1: percent higher after Powell's remarks, Amy and the rally extended. 401 00:22:10,880 --> 00:22:14,359 Speaker 1: Overseas stocks in Europe and Asia advanced. In China, there's 402 00:22:14,359 --> 00:22:17,920 Speaker 1: also optimism on COVID with authorities they're downplaying the severity 403 00:22:17,960 --> 00:22:20,800 Speaker 1: of the virus. China's COVID zar now says the country's 404 00:22:20,840 --> 00:22:23,680 Speaker 1: in a new phase of the pandemic. Back in the US, 405 00:22:23,760 --> 00:22:27,280 Speaker 1: Nathan disgraced ft X founder Sam Bankman Freed spoke publicly 406 00:22:27,359 --> 00:22:31,480 Speaker 1: yesterday denying fraud while admitting to management errors. At a 407 00:22:31,560 --> 00:22:35,000 Speaker 1: duty to all of our stakeholders, to our customers, our futor, 408 00:22:35,080 --> 00:22:37,280 Speaker 1: is a high duty to our employees, to our investors, 409 00:22:37,320 --> 00:22:39,880 Speaker 1: to the regulators in the world to do right by them, 410 00:22:39,880 --> 00:22:41,800 Speaker 1: to make sure the rate things happened to the company, 411 00:22:41,800 --> 00:22:44,439 Speaker 1: and I do a good job of that. Sam Bankman 412 00:22:44,480 --> 00:22:46,760 Speaker 1: Freed spoke at the New York Times deal Books Senate. 413 00:22:46,840 --> 00:22:49,399 Speaker 1: It's a big technolo Amy, where a standoff between two 414 00:22:49,400 --> 00:22:53,320 Speaker 1: powerful CEOs appears to be easy. Bloomberg Steve Rappaport joins 415 00:22:53,400 --> 00:22:55,560 Speaker 1: US Live with the story. Good morning Steve, Good morning, 416 00:22:55,640 --> 00:22:58,600 Speaker 1: Nathan and Amy it was all a misunderstanding. That's how 417 00:22:58,600 --> 00:23:01,840 Speaker 1: Elon Musk described his with Apple CEO Tim Cook. The 418 00:23:01,880 --> 00:23:05,080 Speaker 1: Twitter chief accused the platform of threatening to boot Apple 419 00:23:05,200 --> 00:23:07,600 Speaker 1: up Twitter from its app store, But on Wednesday, Musk 420 00:23:07,680 --> 00:23:10,440 Speaker 1: said the tech bosses spoke and the matter has been resolved, 421 00:23:10,560 --> 00:23:13,200 Speaker 1: with Cook reassuring him that Apple never intended to cut 422 00:23:13,240 --> 00:23:15,840 Speaker 1: ties with Twitter. Live in New York, I'm Steve Rappaport 423 00:23:15,840 --> 00:23:17,800 Speaker 1: Bloomberg Day Break. All right, Steve, thank you. In a 424 00:23:17,800 --> 00:23:20,639 Speaker 1: political note this morning, the House has passed legislation to 425 00:23:20,800 --> 00:23:23,480 Speaker 1: block a freight rail strike. The bill now goes to 426 00:23:23,480 --> 00:23:26,160 Speaker 1: the Senate, which could take action as soon as this week. 427 00:23:26,560 --> 00:23:29,680 Speaker 1: Futures are moving a little lower this morning. Straight ahead, 428 00:23:29,720 --> 00:23:32,880 Speaker 1: your latest local headlines, and a check of sports. This 429 00:23:33,359 --> 00:23:40,320 Speaker 1: is Bloomberg. Thank you, Nathan. It's five thirty three on 430 00:23:40,359 --> 00:23:42,639 Speaker 1: Wall Street. Let's bring in Michael Barr with more on 431 00:23:42,680 --> 00:23:44,919 Speaker 1: what else is going on in New York and around 432 00:23:44,960 --> 00:23:47,760 Speaker 1: the world. Good morning, Michael, Good morning, Amy. Fairs me 433 00:23:48,040 --> 00:23:51,760 Speaker 1: rise next year for New York mt A riders. Fairs 434 00:23:51,840 --> 00:23:55,040 Speaker 1: on subways, busses, and commuter rail lines could go up 435 00:23:55,080 --> 00:23:58,680 Speaker 1: by five point five percent next year. The potential increase 436 00:23:58,720 --> 00:24:01,000 Speaker 1: would push the two so many five costs of a 437 00:24:01,080 --> 00:24:04,800 Speaker 1: single subway or bus ride to tow ninety next year, 438 00:24:04,920 --> 00:24:08,919 Speaker 1: and three dollars five cents in. It comes as the 439 00:24:08,960 --> 00:24:12,439 Speaker 1: agency is seeking additional federal, state, or city funding to 440 00:24:12,520 --> 00:24:16,920 Speaker 1: help fill budget deficits. The Biden administration student loan forgiveness 441 00:24:16,960 --> 00:24:19,840 Speaker 1: plan remains on hold. The Fifth U s Circuit Court 442 00:24:19,880 --> 00:24:22,840 Speaker 1: of Appeals denied a request from the federal government to 443 00:24:22,920 --> 00:24:26,720 Speaker 1: temporarily reverse a lower court order that blocked rolled out 444 00:24:26,760 --> 00:24:30,640 Speaker 1: of the plan. Loyola Law University professor Lorie Levinson says 445 00:24:30,680 --> 00:24:33,240 Speaker 1: the next stop is likely the Supreme Court. The Fifth 446 00:24:33,280 --> 00:24:37,560 Speaker 1: Circuit delta blow President Biden's plan to have a loan 447 00:24:37,680 --> 00:24:41,680 Speaker 1: forgiveness program for student loans, but the courts have been 448 00:24:41,720 --> 00:24:44,920 Speaker 1: saying that in fact, Biden did not have the power 449 00:24:45,320 --> 00:24:50,200 Speaker 1: to move forward on this. Loyola Law University professor Lorie Levinson. 450 00:24:50,640 --> 00:24:54,000 Speaker 1: The Treasury Department turned over six years of Donald Trump's 451 00:24:54,040 --> 00:24:57,080 Speaker 1: tax returns to a House committee after the Supreme Court 452 00:24:57,119 --> 00:24:59,760 Speaker 1: cleared the way for the release. The ways and means 453 00:24:59,760 --> 00:25:02,320 Speaker 1: can He has been seeking the return saying it needs 454 00:25:02,359 --> 00:25:07,159 Speaker 1: them to consider potential legislation on presidential compliance with tax rules. 455 00:25:07,480 --> 00:25:11,879 Speaker 1: Public accountability and mandatory I R. S. Audit policy for presidents. 456 00:25:12,359 --> 00:25:15,680 Speaker 1: The Rockefeller Center Christmas Tree was officially lit up last 457 00:25:15,800 --> 00:25:25,000 Speaker 1: night in New York City. Fifty thousand led lights are 458 00:25:25,080 --> 00:25:28,840 Speaker 1: on the eight two foot tall Norway Spruce in Midtown Manhattan. 459 00:25:29,560 --> 00:25:36,879 Speaker 1: Christine McVeigh has done McVeigh sang lead on many of 460 00:25:37,080 --> 00:25:41,680 Speaker 1: Fleetwood Mac's biggest hits, like Little Lies. McVie wrote many 461 00:25:41,720 --> 00:25:45,640 Speaker 1: of the group's songs. Christine McVeigh was seventy nine Global 462 00:25:45,640 --> 00:25:48,119 Speaker 1: News twenty four hours a day on air and on 463 00:25:48,160 --> 00:25:51,520 Speaker 1: Bloomberg Quicktake, powered by more than twenty seven hundred journalists 464 00:25:51,520 --> 00:25:54,399 Speaker 1: analysts more than a hundred twenty countries. Michael Barr and 465 00:25:54,440 --> 00:26:00,280 Speaker 1: this is Bloomberg Gaming. All right, thank you, Michael. Now 466 00:26:00,320 --> 00:26:02,160 Speaker 1: for the sports were far brought to you by Try 467 00:26:02,160 --> 00:26:05,320 Speaker 1: State Outie. Here's John dash Our alright. Amy Nicks continued 468 00:26:05,400 --> 00:26:07,919 Speaker 1: have their struggles at home, just one win at the 469 00:26:07,960 --> 00:26:11,000 Speaker 1: Garden in the past month, beaten by Milwaukee one oh 470 00:26:11,080 --> 00:26:13,520 Speaker 1: nine one oh three. Nason to the compold the Bucks 471 00:26:13,560 --> 00:26:16,080 Speaker 1: with thirty seven points. Kevin Durant led the Nets with 472 00:26:16,200 --> 00:26:18,919 Speaker 1: thirty nine. They beat Washington at Barkley's one thirteen one 473 00:26:18,960 --> 00:26:21,200 Speaker 1: oh seven. The Nets with three straight wins move over 474 00:26:21,240 --> 00:26:23,280 Speaker 1: five hundred. The Rangers had lost their last three, but 475 00:26:23,320 --> 00:26:25,919 Speaker 1: in Ottawa a goal each period, all three assisted by 476 00:26:25,960 --> 00:26:28,440 Speaker 1: Ryan Lyndren. Rangers beat the Senators three to one with 477 00:26:28,560 --> 00:26:31,159 Speaker 1: backup yars level Lock in goal, his first win as 478 00:26:31,160 --> 00:26:33,800 Speaker 1: a Ranger. A long time Pittsburgh Penguins all started. Defenceman 479 00:26:33,880 --> 00:26:36,960 Speaker 1: Chris Latang just suffered a stroke for the second time. 480 00:26:37,040 --> 00:26:39,439 Speaker 1: Also happened back in two thousand and fourteen when he 481 00:26:39,480 --> 00:26:41,959 Speaker 1: missed two months from the tank. Is expecting to return 482 00:26:42,400 --> 00:26:45,359 Speaker 1: at some point. The NFL game tonight Buffalo at New England. 483 00:26:45,359 --> 00:26:47,080 Speaker 1: It's a game the Jets will have an interest in. 484 00:26:47,320 --> 00:26:49,800 Speaker 1: The a f C East has the Bills and Dolphins 485 00:26:49,800 --> 00:26:51,479 Speaker 1: at top at eight and three. Of The Jets are 486 00:26:51,560 --> 00:26:53,679 Speaker 1: seven and four, the Patriots to six and five the 487 00:26:53,760 --> 00:26:56,800 Speaker 1: Jets on Sunday is that the nine and two Vikings. 488 00:26:56,880 --> 00:27:00,080 Speaker 1: Jets coach Rob Southard, there's a reason why they're that 489 00:27:00,160 --> 00:27:03,240 Speaker 1: they have. They've being everybody in under vision. UM, they'd 490 00:27:03,240 --> 00:27:05,400 Speaker 1: be Miami, they'd be Buffalo, they'd be New England. They're 491 00:27:05,440 --> 00:27:09,520 Speaker 1: they're very talented. UM offensively, they've got skill players, are 492 00:27:09,600 --> 00:27:13,960 Speaker 1: very well coached. UM Defensively, They're very veteran, very smart. 493 00:27:14,000 --> 00:27:19,639 Speaker 1: They play smart sala football. So um, it's challenge cannage 494 00:27:19,720 --> 00:27:22,240 Speaker 1: for the Giant. Sunday, Washington comes in everyone six of 495 00:27:22,320 --> 00:27:24,840 Speaker 1: the last seven Giants has lost twice in a six 496 00:27:24,920 --> 00:27:28,040 Speaker 1: days fan ESPN reports the Yankees offered to Aaron Judge 497 00:27:28,119 --> 00:27:31,240 Speaker 1: is eight years, three million dollars, about sixty five million 498 00:27:31,280 --> 00:27:34,320 Speaker 1: more than what they offered to Judge last spring. It's 499 00:27:34,359 --> 00:27:37,159 Speaker 1: believe Judge will either stay in New York or signed 500 00:27:37,160 --> 00:27:41,000 Speaker 1: with San Francisco. John Stashar Bloomberg Sporting Team. All right, 501 00:27:41,080 --> 00:27:44,320 Speaker 1: thank you, John. It's five seven on Wall Street time 502 00:27:44,320 --> 00:27:46,639 Speaker 1: now for the Tri State Business Report. Here with that 503 00:27:46,760 --> 00:27:50,080 Speaker 1: is Bloomberg's Joan Donnager. New York and Singapore are tight 504 00:27:50,240 --> 00:27:52,199 Speaker 1: now for the top spot on a list of the 505 00:27:52,200 --> 00:27:56,879 Speaker 1: world's most expensive cities. The Economist Intelligence Units Worldwide Cost 506 00:27:56,880 --> 00:27:59,760 Speaker 1: of Living Report says it got more than eight percent more. 507 00:27:59,760 --> 00:28:01,919 Speaker 1: It's beensive in the past year, in part because of 508 00:28:01,960 --> 00:28:05,560 Speaker 1: the supply chain snarls and Russia's war in Ukraine. The 509 00:28:05,640 --> 00:28:08,800 Speaker 1: National Labor Relations Board says the way Amazon responded to 510 00:28:08,840 --> 00:28:11,200 Speaker 1: a federal judges order made a mockery of it. The 511 00:28:11,320 --> 00:28:14,840 Speaker 1: judge had barred Amazon from firing workers at JFK eight, 512 00:28:14,920 --> 00:28:18,879 Speaker 1: the Staten Island fulfillment center that first unionized for union activity. 513 00:28:19,119 --> 00:28:21,520 Speaker 1: The judge ordered Amazon to read out a public notice 514 00:28:21,560 --> 00:28:23,919 Speaker 1: about that within a week. The labor board isn't happy 515 00:28:23,920 --> 00:28:25,879 Speaker 1: with how it did that, and the owner of a 516 00:28:25,880 --> 00:28:28,800 Speaker 1: New Jersey shopping mall could face foreclosure. It has not 517 00:28:29,000 --> 00:28:32,240 Speaker 1: landed new financing for a three hundred million dollar mortgage 518 00:28:32,280 --> 00:28:35,719 Speaker 1: that came to this month. Bridgewater Commons in Somerset Counties, 519 00:28:35,760 --> 00:28:37,880 Speaker 1: owned by a joint venture of the New York State 520 00:28:37,920 --> 00:28:42,240 Speaker 1: Teachers Retirement System and JP Morgan Chase's asset management arm. 521 00:28:42,320 --> 00:28:45,280 Speaker 1: That's the Bloomberg Try State Business Report on Joan Donneger. 522 00:28:45,840 --> 00:28:48,880 Speaker 1: All right, thank you, John Now on Wall Street. Bloomberg 523 00:28:48,960 --> 00:28:51,360 Speaker 1: Radio is on the air from San Francisco to New York, 524 00:28:51,400 --> 00:28:54,120 Speaker 1: London to Hong Kong. Let's check in with our local 525 00:28:54,160 --> 00:28:56,520 Speaker 1: global news team for some of the top stories heard 526 00:28:56,520 --> 00:28:59,440 Speaker 1: on our three hundred affiliate radio stations around the world. 527 00:29:02,320 --> 00:29:05,560 Speaker 1: I'm Steve Potusc on w u f L A, Tampa Bay. 528 00:29:05,720 --> 00:29:08,600 Speaker 1: We're talking about how some of the fastest growing apartment 529 00:29:08,640 --> 00:29:12,560 Speaker 1: rents just about anywhere may have finally plateaued in the region. 530 00:29:12,920 --> 00:29:16,040 Speaker 1: I'm Corney Donahoe on k l D in Dallas. Southwest 531 00:29:16,080 --> 00:29:19,680 Speaker 1: Airlines WiFi upgrades have been slowed by supply chains delays. 532 00:29:20,120 --> 00:29:23,600 Speaker 1: I'm Gina Servetti and for w c c O in Minneapolis, 533 00:29:23,640 --> 00:29:27,160 Speaker 1: I'm talking about some encouraging news for apartment renters, with 534 00:29:27,240 --> 00:29:30,240 Speaker 1: rents down one point six percent in November from the 535 00:29:30,280 --> 00:29:33,880 Speaker 1: month before. I'm Jeff Melinger and on w l W 536 00:29:34,040 --> 00:29:38,240 Speaker 1: and Cincinnati. How have Cincinnati based Kroger's quarterly results soon 537 00:29:38,320 --> 00:29:41,800 Speaker 1: after they're released? This morning, I'm Joan Donnager telling w 538 00:29:42,040 --> 00:29:45,160 Speaker 1: w J listeners in Detroit about how a faulty battery 539 00:29:45,240 --> 00:29:48,520 Speaker 1: under recall in a Ford expedition may have started the 540 00:29:48,600 --> 00:29:53,240 Speaker 1: fire amongst secret Service rental cars. Those are some of 541 00:29:53,240 --> 00:29:56,480 Speaker 1: the stories our Tyred Bloomberg journalists and analysts are working 542 00:29:56,480 --> 00:29:59,280 Speaker 1: on this morning around the world. It's five thirty nine 543 00:29:59,280 --> 00:30:03,560 Speaker 1: on Wall Street. The following is an editorial from Bloomberg Opinion. 544 00:30:03,720 --> 00:30:07,160 Speaker 1: The senatorial was written by the Bloomberg Editorial Board. By 545 00:30:07,160 --> 00:30:09,480 Speaker 1: the very nature of their jobs, members of Congress have 546 00:30:09,520 --> 00:30:13,440 Speaker 1: no business trading stocks. They may have access to privileged information, 547 00:30:13,840 --> 00:30:16,720 Speaker 1: or they may know of pending legislation that could affect 548 00:30:16,720 --> 00:30:20,520 Speaker 1: an industry's bottom line. Even if their portfolios simply fluctuate 549 00:30:20,560 --> 00:30:23,320 Speaker 1: along with the market, there's no escaping the appearance of 550 00:30:23,360 --> 00:30:26,400 Speaker 1: a conflict of interest. Polling on this issue is clear. 551 00:30:26,880 --> 00:30:30,760 Speaker 1: A majority of voters from both parties support banning congressional 552 00:30:30,800 --> 00:30:33,960 Speaker 1: stock trading by pars, and bills for doing so have 553 00:30:34,040 --> 00:30:37,360 Speaker 1: been circulating for months now. With just weeks left in 554 00:30:37,400 --> 00:30:41,000 Speaker 1: the current session, members of Congress should take action. At 555 00:30:41,040 --> 00:30:44,160 Speaker 1: the very least, a requirement to put any investment assets 556 00:30:44,200 --> 00:30:46,640 Speaker 1: in a blind trust for the duration of their time 557 00:30:46,640 --> 00:30:49,920 Speaker 1: in office should be a no brainer. This editorial was 558 00:30:49,960 --> 00:30:53,520 Speaker 1: written by the Bloomberg Editorial Board. For more Bloomberg opinion, 559 00:30:53,600 --> 00:30:56,400 Speaker 1: please go to Bloomberg dot com, slash Opinion or O 560 00:30:56,560 --> 00:30:59,280 Speaker 1: P I n go on the Bloomberg terminal. These has 561 00:30:59,360 --> 00:31:03,480 Speaker 1: been bloom Burg Opinion. Bloomberg Opinion editorials can be heard 562 00:31:03,520 --> 00:31:06,520 Speaker 1: every weekday at this time, and terminal customers can read 563 00:31:06,560 --> 00:31:09,920 Speaker 1: more at OPI I n go. SMP futures at down 564 00:31:10,120 --> 00:31:13,160 Speaker 1: one point, DAL futures down forty three, NASDA futures down 565 00:31:13,360 --> 00:31:15,920 Speaker 1: twenty one, much more still to come. On this Thursday morning, 566 00:31:16,160 --> 00:31:23,520 Speaker 1: you're listening to Bloomberg Daybreak on Bloomberg. The Bloomberg Sports 567 00:31:23,520 --> 00:31:25,480 Speaker 1: Report was brought to you by Audie. Don't let someone 568 00:31:25,560 --> 00:31:28,000 Speaker 1: else drive off in the outie model you've always wanted. 569 00:31:28,120 --> 00:31:30,160 Speaker 1: Visit your local try state Autie either to get behind 570 00:31:30,200 --> 00:31:32,600 Speaker 1: the wheel of yours today, or visit Autie Offers dot 571 00:31:32,640 --> 00:31:39,959 Speaker 1: com for more information, markets, headlines and breaking news twenty 572 00:31:39,960 --> 00:31:42,800 Speaker 1: four hours a day at Bloomberg dot com, the Bloomberg 573 00:31:42,840 --> 00:31:45,800 Speaker 1: Business apt and at Bloomberg. Quick Take Us is a 574 00:31:45,800 --> 00:31:55,120 Speaker 1: Bloomberg Business Flash. I'm Nathan Hagar. Futures are giving back 575 00:31:55,160 --> 00:31:58,560 Speaker 1: some of yesterday's surge following signs emerging of a softing 576 00:31:58,560 --> 00:32:01,680 Speaker 1: in China's COVID stance and remarks from FED chair J. 577 00:32:01,840 --> 00:32:05,000 Speaker 1: Pale confirming the pace of interest rate hikes is set 578 00:32:05,040 --> 00:32:07,720 Speaker 1: to slow. We checked the markets every fifteen minutes during 579 00:32:07,720 --> 00:32:10,680 Speaker 1: the trading day on Bloomberg. SMP futures right now are 580 00:32:10,720 --> 00:32:14,280 Speaker 1: down two points, staff features down fifty nanstack futures are 581 00:32:14,280 --> 00:32:16,720 Speaker 1: lower by twenty five points ten. Your treasury is down 582 00:32:16,760 --> 00:32:19,560 Speaker 1: to thirty seconds held three point six one percent yield 583 00:32:19,640 --> 00:32:22,640 Speaker 1: on the two year four point three two percent. NIMEX 584 00:32:22,680 --> 00:32:24,680 Speaker 1: screwed is up six tenths per cent, or forty nine 585 00:32:24,720 --> 00:32:27,320 Speaker 1: cents at eighty one dollars four cents of arrol comes. 586 00:32:27,320 --> 00:32:29,560 Speaker 1: Gold is up one point eight percent of thirty one 587 00:32:29,680 --> 00:32:33,640 Speaker 1: ten even and ounce. The euro one point zero four 588 00:32:33,680 --> 00:32:35,800 Speaker 1: to eight against the dollar, British pound one point two 589 00:32:35,840 --> 00:32:38,520 Speaker 1: one four six, the En one thirty six point four six. 590 00:32:38,960 --> 00:32:42,160 Speaker 1: Bitcoin is little changed at seventeen thousand, one hundred. That's 591 00:32:42,160 --> 00:32:45,200 Speaker 1: a Bloomberg business flash. Now here's Michael Bahar with more 592 00:32:45,240 --> 00:32:47,840 Speaker 1: on what's going on around the world. Michael, thank you 593 00:32:47,960 --> 00:32:50,480 Speaker 1: very much. Nathan. The House voted to block a strong 594 00:32:50,720 --> 00:32:54,040 Speaker 1: by the nation's railway workers, and a separate vote also 595 00:32:54,120 --> 00:32:57,560 Speaker 1: adding seven days of paid sick leave to the agreement. 596 00:32:58,040 --> 00:33:00,560 Speaker 1: Both bills now head to the Senate in the hopes 597 00:33:00,600 --> 00:33:03,720 Speaker 1: of averting the strength that could cripple the economy. President 598 00:33:03,800 --> 00:33:06,760 Speaker 1: Joe Biden is set to welcome French President Emmanuel mccrawl 599 00:33:06,800 --> 00:33:09,480 Speaker 1: to the White House today. The visit will conclude with 600 00:33:09,520 --> 00:33:13,200 Speaker 1: the first state dinner of the Biden administration. In the NBA, 601 00:33:13,360 --> 00:33:15,960 Speaker 1: the next loss the Nets beat the Wizards, the Celtics 602 00:33:15,960 --> 00:33:19,400 Speaker 1: one in the NHL, the Rangers one. At the World Cup, 603 00:33:19,440 --> 00:33:23,560 Speaker 1: four games today, including Germany against Costa Rica. Global News 604 00:33:23,600 --> 00:33:26,760 Speaker 1: twenty four hours a day on air and on Bloomberg Quicktake, 605 00:33:26,960 --> 00:33:29,720 Speaker 1: powered by more than twenty seven hundred journalist and analysts 606 00:33:29,800 --> 00:33:32,720 Speaker 1: more than a hundred twenty countries. Michael Barr and this 607 00:33:32,960 --> 00:33:35,840 Speaker 1: is Bloomberg Gaming all right, Thank you, Michael. It is 608 00:33:36,240 --> 00:33:39,440 Speaker 1: forty nine on Wall Street Live from the Bloomberg Interactive 609 00:33:39,440 --> 00:33:42,720 Speaker 1: Broker Studios. This is Bloomberg Daybreak. Fed Jr. J Pal 610 00:33:42,840 --> 00:33:45,719 Speaker 1: signaled the Federal Reserve will slow the pace of interest 611 00:33:45,800 --> 00:33:49,520 Speaker 1: rate increases next month, while stressing borrowing costs will need 612 00:33:49,560 --> 00:33:52,040 Speaker 1: to keep rising and remain restrictive for some time to 613 00:33:52,040 --> 00:33:55,720 Speaker 1: beat inflation. We're joined now by Jennifer Lee, senior economist 614 00:33:55,760 --> 00:33:58,840 Speaker 1: at BEMO Capital Markets. Jennifer, thank you for taking the 615 00:33:58,840 --> 00:34:00,760 Speaker 1: time with us this morning, and good morning to you. 616 00:34:01,320 --> 00:34:05,320 Speaker 1: What's your takeaway from pale speech? Oh, good morning, thank 617 00:34:05,320 --> 00:34:07,320 Speaker 1: you for having me on so Um. First of all, 618 00:34:07,320 --> 00:34:09,880 Speaker 1: I would like to say holy market reaction yesterday. It 619 00:34:09,960 --> 00:34:13,360 Speaker 1: was quite amazing seeing the market react to his comments. 620 00:34:13,400 --> 00:34:15,719 Speaker 1: But um, it was a lot of a little bit 621 00:34:15,719 --> 00:34:17,399 Speaker 1: of old, a little bit of new, And I think 622 00:34:17,400 --> 00:34:19,560 Speaker 1: what was new was almost like it was almost like 623 00:34:19,640 --> 00:34:22,359 Speaker 1: forward guidance, just saying that it would come as soon 624 00:34:22,400 --> 00:34:25,560 Speaker 1: as the December meeting, this this moderation rate increases, and 625 00:34:25,600 --> 00:34:27,560 Speaker 1: that sort of confirmed to us what we've been thinking. 626 00:34:27,640 --> 00:34:30,440 Speaker 1: We've been calling for fifty beats. Um, you know, finally 627 00:34:30,440 --> 00:34:32,480 Speaker 1: an end to the semi five basis point increases. So 628 00:34:32,840 --> 00:34:35,600 Speaker 1: this was pretty much you know, cemented that view. And uh, 629 00:34:35,880 --> 00:34:37,799 Speaker 1: I don't think he could get to be clearer than that. 630 00:34:38,440 --> 00:34:40,319 Speaker 1: You mentioned the market reaction. I want to get your 631 00:34:40,320 --> 00:34:44,440 Speaker 1: take on that. So it was I mean, watching you know, 632 00:34:44,520 --> 00:34:47,880 Speaker 1: tenure yield faults so quickly, and of course saw a 633 00:34:47,920 --> 00:34:51,480 Speaker 1: start market reaction. But this is you know, obviously encouraging news. 634 00:34:51,520 --> 00:34:54,840 Speaker 1: The fact that you know, the all that frontloading, the 635 00:34:54,960 --> 00:34:57,759 Speaker 1: four semi five basis point rate hikes in a rope um, 636 00:34:57,760 --> 00:34:59,920 Speaker 1: it's only going to cool off, I mean, but give 637 00:35:00,000 --> 00:35:02,280 Speaker 1: At the same time, we have to remember this doesn't 638 00:35:02,280 --> 00:35:04,399 Speaker 1: mean that they all rates are going to be coming 639 00:35:04,400 --> 00:35:07,040 Speaker 1: down anytime soon. They're just not gonna be rising at 640 00:35:07,080 --> 00:35:09,479 Speaker 1: such a quick pace. And I think, you know, any 641 00:35:09,480 --> 00:35:11,680 Speaker 1: good news these days will be will be taken and 642 00:35:11,719 --> 00:35:13,680 Speaker 1: seized by by by the markets. And we saw it 643 00:35:13,719 --> 00:35:17,160 Speaker 1: on yesterday and playing on space. Were you surprised? Was 644 00:35:17,200 --> 00:35:21,160 Speaker 1: he more dovish than you expected? Um? Not really Um, 645 00:35:21,440 --> 00:35:24,520 Speaker 1: you know, I mean, I guess the one, if you 646 00:35:24,520 --> 00:35:26,960 Speaker 1: want to call it devilish comments would be um. And 647 00:35:27,080 --> 00:35:28,840 Speaker 1: this was to me a little bit of me with 648 00:35:28,880 --> 00:35:30,719 Speaker 1: a bit of relief, was when he said that it 649 00:35:30,719 --> 00:35:33,239 Speaker 1: wouldn't be appropriate to what did he say, crash the 650 00:35:33,280 --> 00:35:37,279 Speaker 1: economy and clean up afterwards. And this comes after you 651 00:35:37,320 --> 00:35:39,520 Speaker 1: know a number of occasions when he use the word 652 00:35:39,520 --> 00:35:41,920 Speaker 1: of pain to describe what the economy is going to 653 00:35:41,960 --> 00:35:44,040 Speaker 1: be feeling, and you know, and and it gave me, 654 00:35:44,080 --> 00:35:46,640 Speaker 1: at least me the view that he will be okay 655 00:35:46,640 --> 00:35:50,120 Speaker 1: with sending the economy into recession. But having you know, 656 00:35:50,280 --> 00:35:52,760 Speaker 1: hearing him say that, you know, he wouldn't be um 657 00:35:53,080 --> 00:35:56,040 Speaker 1: keen on crashing the economy. Maybe that's an extreme measure 658 00:35:56,040 --> 00:35:58,040 Speaker 1: that he was using. Was to me a little bit 659 00:35:58,080 --> 00:36:00,600 Speaker 1: since of relief and that was what was new, Um. 660 00:36:00,800 --> 00:36:03,040 Speaker 1: But everything else, you know, he was still saying that 661 00:36:03,440 --> 00:36:06,520 Speaker 1: they will need substantially more evidence about inflation. You know, 662 00:36:06,560 --> 00:36:09,560 Speaker 1: you can't just use October's CPR report as as the 663 00:36:09,640 --> 00:36:11,480 Speaker 1: be all and end all. He's gonna need a lot 664 00:36:11,520 --> 00:36:15,799 Speaker 1: more to give confirmation that inflation is declining and that 665 00:36:15,840 --> 00:36:17,680 Speaker 1: you know that rates are going to be staying high 666 00:36:17,719 --> 00:36:20,920 Speaker 1: for some time and uh um, and you know there 667 00:36:20,760 --> 00:36:23,520 Speaker 1: there's going to be a lot of uncertainty still for 668 00:36:23,680 --> 00:36:27,320 Speaker 1: inflation ahead. So it's still hawkish, but not as hawkish 669 00:36:27,360 --> 00:36:30,320 Speaker 1: as he was. Was good about a minute and a 670 00:36:30,360 --> 00:36:32,840 Speaker 1: half here, Jennifer. We have more data coming out the 671 00:36:32,920 --> 00:36:36,279 Speaker 1: jobs report tomorrow, CPI on the thirteenth. How crucial are 672 00:36:36,280 --> 00:36:39,719 Speaker 1: those reports for the fact? I think they are crucial. Um. 673 00:36:39,760 --> 00:36:43,799 Speaker 1: I don't think they're going to change the December view now, 674 00:36:44,040 --> 00:36:46,279 Speaker 1: you know the man's through view. Now that is going 675 00:36:46,280 --> 00:36:49,040 Speaker 1: to be a fifty basis point rain hike. Um. You know, unless, 676 00:36:49,080 --> 00:36:51,759 Speaker 1: of course, there's some massive increase in CPI, which we're 677 00:36:52,080 --> 00:36:54,200 Speaker 1: we're not, I don't think we're expecting. So you know, 678 00:36:54,239 --> 00:36:57,520 Speaker 1: what we want to see is continued moderation in in 679 00:36:57,520 --> 00:37:00,120 Speaker 1: in the numbers. And this is the era which I'm 680 00:37:00,120 --> 00:37:01,520 Speaker 1: trying to writ my head around, is that you know, 681 00:37:01,600 --> 00:37:04,360 Speaker 1: good is bad and bad is good. You know, normally 682 00:37:04,360 --> 00:37:06,200 Speaker 1: we would like to see what most of us would 683 00:37:06,200 --> 00:37:08,640 Speaker 1: like to see, good economic data and you know, positive 684 00:37:08,640 --> 00:37:10,960 Speaker 1: news in the economy, but that of course would mean 685 00:37:11,760 --> 00:37:14,439 Speaker 1: higher for longer I guess, so you know, we would 686 00:37:14,480 --> 00:37:17,520 Speaker 1: be okay with seeing some weaker j old status some 687 00:37:17,600 --> 00:37:20,520 Speaker 1: weaker payroll growth, you know, some weaker personal spending later 688 00:37:20,520 --> 00:37:22,960 Speaker 1: on this morning, and that will be I think good 689 00:37:22,960 --> 00:37:25,279 Speaker 1: news for the economy and good news for for the Fed. 690 00:37:26,160 --> 00:37:28,319 Speaker 1: All Right, thank you so much Jennifer for taking the 691 00:37:28,360 --> 00:37:30,960 Speaker 1: time with us this morning breaking it all down. Senior 692 00:37:31,000 --> 00:37:35,000 Speaker 1: economists Jennifer Lee at BEMO Capital Markets. Nathan, Thanks Amy. 693 00:37:35,120 --> 00:37:38,319 Speaker 1: We're coming up to five three on Wall Street. It's 694 00:37:38,320 --> 00:37:41,200 Speaker 1: sign now for the Bloomberg Law Report. Let's get to 695 00:37:41,239 --> 00:37:44,800 Speaker 1: the legal stories we're watching this morning. Here's Bloomberg's Jeff Balinger. 696 00:37:47,880 --> 00:37:51,840 Speaker 1: The Government Accountability Office says the Internal Revenue Service should 697 00:37:51,840 --> 00:37:55,920 Speaker 1: strengthen its oversight with paid tax preparers. A federal circuit 698 00:37:56,000 --> 00:37:59,480 Speaker 1: rule that withholding wages from federal workers who are required 699 00:37:59,520 --> 00:38:02,840 Speaker 1: to work ring a government shutdown does not violate timely 700 00:38:02,880 --> 00:38:06,560 Speaker 1: pay laws. The Silicon Valley law firm Cooley says it 701 00:38:06,640 --> 00:38:10,160 Speaker 1: must adjust to slowing demand for services. The firm has 702 00:38:10,200 --> 00:38:15,000 Speaker 1: fired one hundred fifty attorneys and staff. Bloomberg Law everything 703 00:38:15,040 --> 00:38:19,440 Speaker 1: you need on one legal research platform, guidance analysis, and 704 00:38:19,560 --> 00:38:26,000 Speaker 1: Bloomberg market Intelligence. Find out more at Bloomberg Law dot com. 705 00:38:26,000 --> 00:38:29,040 Speaker 1: Now another legal story we're watching, the public's opinion of 706 00:38:29,080 --> 00:38:33,279 Speaker 1: the Supreme Court reached historic lows after the decision to 707 00:38:33,360 --> 00:38:37,239 Speaker 1: reverse the constitutional right to abortion in the Dobbs case, 708 00:38:37,520 --> 00:38:40,600 Speaker 1: but a new Marquette Law School poll shows a slight 709 00:38:40,800 --> 00:38:44,280 Speaker 1: rebound in public approval of the High Court. This comes 710 00:38:44,280 --> 00:38:47,080 Speaker 1: ahead of a term that could be just as controversial 711 00:38:47,160 --> 00:38:51,200 Speaker 1: as the last, with decisions expected on affirmative action, voting rights, 712 00:38:51,239 --> 00:38:55,080 Speaker 1: and gay rights. For more. Bloomberg's June Grosso speaks to 713 00:38:55,160 --> 00:39:00,200 Speaker 1: constitutional law professor Michael Dorff of Cornell Law School. A 714 00:39:00,280 --> 00:39:05,040 Speaker 1: new Market Law School poll finds only of adults approve 715 00:39:05,120 --> 00:39:10,120 Speaker 1: of the job the Supreme Court is doing, while fifty disapprove. 716 00:39:10,480 --> 00:39:14,520 Speaker 1: But those approval numbers are actually up a bit from September, 717 00:39:14,520 --> 00:39:21,160 Speaker 1: where approved and six disapproved. What's happened between September and 718 00:39:21,239 --> 00:39:23,800 Speaker 1: now to lead to a bit more approval of the court. 719 00:39:24,000 --> 00:39:29,040 Speaker 1: Public opinion polling about the Supreme Court is notoriously weird 720 00:39:29,600 --> 00:39:32,880 Speaker 1: because people don't have a lot of information about the 721 00:39:32,920 --> 00:39:36,200 Speaker 1: Supreme Court. They often don't really understand the meaning of cases. 722 00:39:36,320 --> 00:39:39,440 Speaker 1: If I had to guess, I would say that the 723 00:39:39,680 --> 00:39:44,240 Speaker 1: decline in disapproval of the Supreme Court reflects the fact 724 00:39:44,280 --> 00:39:47,480 Speaker 1: that more time has elapsed since the Dabs opinion, which 725 00:39:47,600 --> 00:39:50,479 Speaker 1: was the last very salient mention of the Supreme Court. 726 00:39:50,600 --> 00:39:54,320 Speaker 1: It's also possible that it reflects us about affirmative action. 727 00:39:55,120 --> 00:40:00,320 Speaker 1: Affirmative action has been unpopular for a couple of decades now, 728 00:40:00,680 --> 00:40:05,360 Speaker 1: so that even blue states like Michigan in California a 729 00:40:05,480 --> 00:40:09,120 Speaker 1: number of years ago forbade it by ballot initiative. So 730 00:40:09,200 --> 00:40:13,080 Speaker 1: insofar as there was news reporting that the Supreme Court 731 00:40:13,400 --> 00:40:17,600 Speaker 1: is considering making affirmative action unlawful, I could see how 732 00:40:17,640 --> 00:40:20,279 Speaker 1: that would lead to a slight uptick in approval rating 733 00:40:20,280 --> 00:40:23,760 Speaker 1: for the Court. There's a great fear since the Jobs 734 00:40:23,840 --> 00:40:28,239 Speaker 1: decision that the super conservative majority on this Court is 735 00:40:28,320 --> 00:40:32,600 Speaker 1: going to lay waste to precedent in cases this term 736 00:40:32,600 --> 00:40:36,840 Speaker 1: from you know, affirmative action, the Voting Rights Act, giving 737 00:40:37,000 --> 00:40:42,600 Speaker 1: state legislatures unprecedented power to up end federal elections. Do 738 00:40:42,680 --> 00:40:46,319 Speaker 1: you think that people are right to be concerned? Yes, 739 00:40:46,600 --> 00:40:49,279 Speaker 1: in each of the three cases you just identified, I 740 00:40:49,320 --> 00:40:53,880 Speaker 1: think that it is not only possible but likely that 741 00:40:54,239 --> 00:40:57,399 Speaker 1: they will reach very conservative results. I think they will 742 00:40:57,600 --> 00:41:01,640 Speaker 1: forbid all or almost all race based affirmative action. I 743 00:41:01,680 --> 00:41:05,840 Speaker 1: think they will further constrain the Voting Rights Act. And 744 00:41:06,040 --> 00:41:08,640 Speaker 1: I have somewhat less confident, and I therefore I'm a 745 00:41:08,640 --> 00:41:11,160 Speaker 1: little bit more hopeful with respect to what they're going 746 00:41:11,160 --> 00:41:13,919 Speaker 1: to do in more against Harper, the case involving the 747 00:41:14,160 --> 00:41:17,120 Speaker 1: so called independent date legislature theory. But I know that 748 00:41:17,200 --> 00:41:20,960 Speaker 1: based on what various of the conservative justices have said 749 00:41:21,080 --> 00:41:24,239 Speaker 1: in other contexts, that they're at least sympathetic to some 750 00:41:24,560 --> 00:41:28,040 Speaker 1: version of this idea that a state legislature can decide 751 00:41:28,040 --> 00:41:31,719 Speaker 1: for itself how to allocate its electors, and a presidential 752 00:41:31,719 --> 00:41:34,759 Speaker 1: election or as in this particular case is involved, gets 753 00:41:34,880 --> 00:41:39,840 Speaker 1: the final say over the drawing of district lines, notwithstanding 754 00:41:40,080 --> 00:41:43,160 Speaker 1: the intervention of a state Supreme court based on the 755 00:41:43,200 --> 00:41:48,440 Speaker 1: state constitution. That's Professor Michael Dorff of Cornell Law School 756 00:41:48,480 --> 00:41:52,080 Speaker 1: speaking with Bloomberg's June Groszel. You can catch more of 757 00:41:52,120 --> 00:41:55,319 Speaker 1: that interview, plus analysis of the latest legal news by 758 00:41:55,360 --> 00:41:58,960 Speaker 1: subscribing to the Bloomberg Law podcast or downloading the show 759 00:41:59,080 --> 00:42:03,160 Speaker 1: at Bloomberg dot com. Slash podcasts, and attorneys can find 760 00:42:03,200 --> 00:42:07,160 Speaker 1: exceptional legal research and business development tools at Bloomberg Law 761 00:42:07,480 --> 00:42:10,560 Speaker 1: dot com and on the Bloomberg terminal at b law. 762 00:42:10,680 --> 00:42:15,080 Speaker 1: Go Futures Pointing a little bit lower now, SMP futures 763 00:42:15,080 --> 00:42:18,800 Speaker 1: are down four points, STAFLE futures down sixty four NASDAC 764 00:42:18,880 --> 00:42:21,960 Speaker 1: futures are lower by thirty one points. The tenure treasury 765 00:42:22,040 --> 00:42:24,799 Speaker 1: is down one thirty second. The yield three point six 766 00:42:24,800 --> 00:42:27,319 Speaker 1: one percent. Yield on the two year four point three 767 00:42:27,400 --> 00:42:30,719 Speaker 1: two percent. Nimex crudes up six tenths per cent, or 768 00:42:30,760 --> 00:42:33,320 Speaker 1: fifty one cents at eighty one dollars five cents of barrel. 769 00:42:33,560 --> 00:42:36,840 Speaker 1: Comax gold up one point seven percent, up thirty dollars 770 00:42:36,840 --> 00:42:41,600 Speaker 1: fifty cents announcing gold. The euro one point zero four 771 00:42:41,640 --> 00:42:44,359 Speaker 1: to zero against the dollar. The yen is at one 772 00:42:44,400 --> 00:42:48,760 Speaker 1: thirty six point four six. Bloomberg day break continues. This 773 00:42:49,040 --> 00:42:49,680 Speaker 1: is Bloomberg