WEBVTT - Bloomberg Daybreak: March 2, 2022 - Hour 2 (Radio) 0:00:01.520 --> 0:00:04.640 Life from the Bloomberg Interactive Brooker Studios. This is Bloomberg 0:00:04.680 --> 0:00:08.200 day Break for Wednesday, March two, two. Coming up this hour, 0:00:08.320 --> 0:00:11.640 President Biden targets Russia and inflation in his first State 0:00:11.640 --> 0:00:14.560 of the Union address. This is our Morley to read 0:00:14.600 --> 0:00:18.279 an overcomment challenge in Mark Fox and we will. Russia 0:00:18.320 --> 0:00:21.160 moves further into Ukraine, claiming capture of a quartz city, 0:00:21.360 --> 0:00:25.079 and the war sends oil surging above one dollars of aral. 0:00:25.160 --> 0:00:28.240 New Jersey residents may soon have to pump their own gas. Plus. 0:00:28.360 --> 0:00:32.279 New York's Republican Party leaders nominated Representative leez Elda as 0:00:32.320 --> 0:00:34.839 their candidate for governor. I'm Michael barm more than I'm 0:00:34.880 --> 0:00:37.840 John Stashower. In sports, the baseball lockout continues. The first 0:00:37.880 --> 0:00:40.760 two series of the season were canceled road losses for 0:00:40.840 --> 0:00:45.600 the Nets, Islanders and Devils. That's All straight Ahead on 0:00:45.760 --> 0:00:51.560 Bloomberg day Break on Bloomberg eleven, Trio, New York, Bloomberg one, Washington, 0:00:51.640 --> 0:00:55.720 d C, Bloomberg one oh six one, Boston, Bloomberg nine sixties, 0:00:55.760 --> 0:00:59.720 San Francisco, Sirius x M one nineteen and around the 0:00:59.760 --> 0:01:02.520 World Old on Bloomberg Radio dot Com. And via the 0:01:02.640 --> 0:01:10.040 Bloomberg Business set. Good morning, I'm Nathan Hagar and I'm Karen. Moscow. 0:01:10.280 --> 0:01:12.760 US futures higher this morning. We're coming up to six 0:01:12.760 --> 0:01:14.440 oh one on Wall Street, and we check the markets 0:01:14.480 --> 0:01:17.560 every fifteen minutes throughout the trading day. On Bloomberg S 0:01:17.600 --> 0:01:20.440 and P Future is up twenty four points now, futures 0:01:20.440 --> 0:01:23.919 have one eighty two. NASAIC futures up ninety two. Attend 0:01:23.959 --> 0:01:26.440 your treasury down five thirty seconds. He had one point 0:01:26.480 --> 0:01:28.759 seven four percent, and they yield them the two year 0:01:28.840 --> 0:01:31.880 one point three nine percent. Nine Next, Screwed oil is 0:01:32.000 --> 0:01:35.120 up four percent. Nathan Karen will have more on markets 0:01:35.120 --> 0:01:37.800 in a minute, but first, the fighting is intensifying in 0:01:37.840 --> 0:01:41.280 Eastern Europe. According to inter Facts, Russia's defense ministry says 0:01:41.319 --> 0:01:44.360 it has captured the Ukrainian port of Croissan. Moscow is 0:01:44.400 --> 0:01:47.600 pressing ahead with attacks. Meantime, the US is taking more 0:01:47.640 --> 0:01:51.080 action to isolate Russia and also prevents cyber attacks. Amy 0:01:51.080 --> 0:01:55.040 Morris reports from our Bloomberg newsroom in Washington. The US 0:01:55.120 --> 0:01:58.720 government has banned Russian aircraft from American airspace as the 0:01:58.840 --> 0:02:01.760 U S and EU looked to expand sanctions on Russia. 0:02:02.000 --> 0:02:06.040 Former US Ambassador to Ukraine, William Taylor, tells ABC those 0:02:06.040 --> 0:02:10.040 sanctions should extend to Belarus. They are co conspirators. They 0:02:10.080 --> 0:02:13.239 are together with put This as the Senate fast track 0:02:13.280 --> 0:02:16.240 the package of cybersecurity proposals. The House is working on 0:02:16.280 --> 0:02:19.640 a companion bill. US businesses are on high alert for 0:02:19.760 --> 0:02:23.640 Russian cyber attacks in Washington. I maybe Morris Bloomberg daybreak, 0:02:23.760 --> 0:02:26.200 All right, Amy, thank you for coming off President Biden's 0:02:26.200 --> 0:02:28.360 first State of the Union address last night, and in 0:02:28.400 --> 0:02:31.239 a speech, the President promised to take on Vladimir Putin 0:02:31.360 --> 0:02:34.480 and keeps supporting Ukraine. He thought the West to NATO 0:02:34.600 --> 0:02:38.240 wouldn't respond. He thought he could divide us at home, 0:02:38.760 --> 0:02:42.079 in this chamber, in this nation. He thought he could 0:02:42.080 --> 0:02:45.359 divide us in Europe as well. But Putin was wrong. 0:02:45.720 --> 0:02:47.720 In remarks that lasted a little more than an hour, 0:02:47.840 --> 0:02:50.919 the President also called on Congress to unite on challenges 0:02:51.000 --> 0:02:54.320 here at home, including higher prices. One way to fight 0:02:54.360 --> 0:02:57.160 Inflasi is a drive down wages and make America's poor. 0:02:58.200 --> 0:02:59.760 I think I have a better idea to fight in 0:03:01.120 --> 0:03:06.200 lower costs notes. The President outed his bipartisan infrastructure law 0:03:06.240 --> 0:03:09.600 and called for new action on domestic manufacturing and supply chains, 0:03:09.680 --> 0:03:13.400 lowering health and family costs and boosting competition. He also 0:03:13.440 --> 0:03:16.320 promised to keep fighting COVID even as more Americans return 0:03:16.400 --> 0:03:19.239 to work and school. Well reaction continues to pour into 0:03:19.240 --> 0:03:21.359 the President's State of the Union. Karen Genie she and 0:03:21.480 --> 0:03:24.600 Zano is a political science professor and a Bloomberg News contributor. 0:03:24.800 --> 0:03:27.400 I think he missed an important moment. This is the 0:03:27.480 --> 0:03:31.519 last big speech Joe Biden will get, the last major 0:03:31.600 --> 0:03:34.760 audience he has before the midterm election, and I'm not 0:03:34.880 --> 0:03:38.560 sure he changed on the domestic front any hearts or minds, 0:03:38.560 --> 0:03:40.200 and I think he could have done a better job 0:03:40.280 --> 0:03:43.560 saying we need to restore democracy, not just abroad, but 0:03:43.680 --> 0:03:47.240 at home. Bloomberg contributor Genie Schanzano says the number one 0:03:47.280 --> 0:03:50.720 issue for voters right now is inflation, and Republicans seized 0:03:50.720 --> 0:03:53.080 on that topic. After the President wrapped up his speech, 0:03:53.160 --> 0:03:56.400 Nathan Iowa Governor Kim Reynolds deliver the GOP response to 0:03:56.440 --> 0:03:58.960 the State of the Union. Where now one year into 0:03:58.960 --> 0:04:03.040 his presidency and instead of moving America forward, it feels 0:04:03.080 --> 0:04:06.160 like President Biden and his party have sent us back 0:04:06.200 --> 0:04:09.960 in time to the late seventies and early eighties. Hioma 0:04:10.000 --> 0:04:12.960 Governor Kim Reynolds used her fourteen minute address to say 0:04:13.000 --> 0:04:15.560 the country's on the wrong track. She focused on issues 0:04:15.680 --> 0:04:19.440 ranging from inflation and crime to taxes and education. Let's 0:04:19.440 --> 0:04:22.039 turn to markets now. We are seeing major moves in 0:04:22.120 --> 0:04:25.080 commodities as the war in Ukraine intensifies. Let's get the 0:04:25.120 --> 0:04:28.200 latest line from Bloomberg's John Tucker, John Nathan, oil is 0:04:28.240 --> 0:04:31.360 surging this morning. Brent crude was hovering around one ten 0:04:31.440 --> 0:04:35.320 dollars of barrel. The International Energy Agency warns that global 0:04:35.440 --> 0:04:39.360 energy security is under threat because of Russia's war in Ukraine. 0:04:39.760 --> 0:04:43.000 In addition, the energy medals and grains prices are higher. 0:04:43.360 --> 0:04:47.040 Russian commodities are not targeted by sanctions, but banks are 0:04:47.040 --> 0:04:51.440 pulling financing and shippers are reluctant to touch anything from Russia. 0:04:51.800 --> 0:04:54.720 Live in New York on John Tucker Bloomberg Daybreak. All right, John, 0:04:54.760 --> 0:04:57.120 thank you. Well. More of the world's iconic brands are 0:04:57.160 --> 0:04:59.599 pulling away from Russia. We get more on the growing 0:04:59.640 --> 0:05:02.360 list of i from Bloomberg's Randy to Young, Good Morning, Rania, 0:05:02.440 --> 0:05:05.600 Good Morning Karen. Apple and Nike both say they're halting 0:05:05.640 --> 0:05:08.640 product sales in Russia, cutting off the country from the 0:05:08.680 --> 0:05:12.279 most valuable tech company and the biggest maker of athletic wear, 0:05:12.560 --> 0:05:16.000 while Disney and Warner Media are pausing new movie releases 0:05:16.040 --> 0:05:19.120 in the nation. It's a cultural and commercial split not 0:05:19.240 --> 0:05:22.560 seen since the Cold War ended in the eighties. US 0:05:22.640 --> 0:05:25.960 brands are quickly vanishing from the Russian marketplace in a 0:05:25.960 --> 0:05:29.800 way that will be hard for consumers to ignore. Live 0:05:29.839 --> 0:05:33.280 in New York. I'm Ranita Young, Bloomberg Daybreak. Alright, Ranita, thanks, 0:05:33.279 --> 0:05:35.200 So how will the war in Ukraine effect? The Fed 0:05:35.279 --> 0:05:37.520 will be looking for answers on that, plus the outlook 0:05:37.520 --> 0:05:40.240 for inflation when Fed Chair j Powell begins two days 0:05:40.240 --> 0:05:44.520 of testimony to Congress. Bloomberg Economics correspondent Michael McKee reports 0:05:44.760 --> 0:05:47.919 inflation in February out next week is forecast to be 0:05:47.960 --> 0:05:51.520 the highest since the start of two So there's pressure 0:05:51.520 --> 0:05:53.760 on the Fed to do something. But what policy makers 0:05:53.839 --> 0:05:56.560 don't know is how much higher prices from Russia's war 0:05:56.680 --> 0:05:59.840 will crimp growth. Those are questions Chairman Paul will face 0:05:59.880 --> 0:06:02.520 the next two days, and it's not just a growth worry. 0:06:02.839 --> 0:06:06.760 Powell also has to worry about higher inflation expectations becoming 0:06:06.800 --> 0:06:11.120 embedded in consumer and business psychology. Michael McKee, Bloomberg Debris. 0:06:11.400 --> 0:06:13.599 All right, Michael, thank you. The US dollar also in 0:06:13.640 --> 0:06:16.640 focus today. It's been strengthening since the war in Ukraine began, 0:06:16.720 --> 0:06:19.240 and the shift could mark a critical inflection point for 0:06:19.240 --> 0:06:22.240 the greenback, as according to Sultan Posar, ahead of interest 0:06:22.320 --> 0:06:25.320 rate Strategy at Credit Swiss, now that Russia has lost 0:06:25.360 --> 0:06:28.279 access to currency reserves, he says, other countries may start 0:06:28.360 --> 0:06:31.240 questioning the value of their own reserves and that could 0:06:31.320 --> 0:06:36.000 ripple across currency markets. The FX reserves are partly used 0:06:36.040 --> 0:06:39.200 by the central bank to be able to provide dollars 0:06:39.279 --> 0:06:42.760 to domestic financial system, and if all these balances are frozen, 0:06:43.040 --> 0:06:45.680 you know, one channel of dollars to help the local 0:06:45.720 --> 0:06:48.320 banking system drives up. So I think it's quite a 0:06:48.360 --> 0:06:51.600 complicated situation. So then Posar with Credit Swiss made the 0:06:51.640 --> 0:06:55.159 comments on the Bloomberg Odd Lots podcast. Read more about 0:06:55.200 --> 0:06:58.080 it on Today's Big Take by Bloomberg, on the Terminal 0:06:58.120 --> 0:07:01.400 and online at Bloomberg dot Com and Bloomberg Daybreak is 0:07:01.400 --> 0:07:04.120 brought to you by Interactive Brokers. Global Analysts helps you 0:07:04.160 --> 0:07:07.440 find new global investment opportunities to diversify your portfolio and 0:07:07.440 --> 0:07:11.320 discover undervalued companies that may have greater growth potential. Try 0:07:11.440 --> 0:07:14.120 i b k R Global Analysts today at I b 0:07:14.240 --> 0:07:18.080 k R dot com slash g A. You're listening to 0:07:18.160 --> 0:07:24.800 Bloomberg Daybreak and it's sounds six oh seven on Wall 0:07:24.800 --> 0:07:27.120 Street forty two degrees in Central Park. Still dealing with 0:07:27.120 --> 0:07:28.800 a crash on the westbound l I E. It's at 0:07:28.800 --> 0:07:31.920 Maurice Avenue. Details coming up in traffic First, Michael Barr 0:07:31.960 --> 0:07:33.320 is here to tell us what's going on in New 0:07:33.440 --> 0:07:37.280 York and around the world. We're getting pumped about one 0:07:37.280 --> 0:07:40.960 story you've got, Michael. Oh my goodness. New Jersey drivers 0:07:41.000 --> 0:07:44.000 could soon be forced to pump their own gas. New 0:07:44.080 --> 0:07:48.480 Jersey is the only state in the nation with a 0:07:48.640 --> 0:07:51.760 section of Oregon where drivers are not allowed to pump 0:07:51.800 --> 0:07:54.640 their own gas by law, But a bill in the 0:07:54.680 --> 0:07:58.000 state legislature could allow self service as an option for 0:07:58.080 --> 0:08:01.559 smaller stations while maintaining fulls service for stations with four 0:08:01.800 --> 0:08:05.520 or more pumps. Station owners say changing it would help 0:08:05.560 --> 0:08:09.680 offset rising gas prices and workers shortages. New York City's 0:08:09.680 --> 0:08:12.880 pension fund for police officers voted to sell stocks and 0:08:12.960 --> 0:08:16.560 bonds issued by Russian companies. The fifty three point six 0:08:16.560 --> 0:08:19.800 billion dollar fund has more than eighty five thousand active 0:08:19.840 --> 0:08:22.760 members and retirees. Hong Kong is set to report a 0:08:22.800 --> 0:08:27.560 record of over fifty thousand daily new COVID infections today. 0:08:27.960 --> 0:08:31.520 The city spiraling outbreak is seeing thousands of residents flee, 0:08:31.840 --> 0:08:35.240 while those remaining empty store shelves of food and medicine. 0:08:35.520 --> 0:08:39.040 US representatively Zelden and l I of former President Trump 0:08:39.320 --> 0:08:42.200 except at the New York State Republican Party's nomination as 0:08:42.240 --> 0:08:47.520 their candidate for governor. For the gubernatorial race, Beto O'Rourke 0:08:47.840 --> 0:08:51.120 is projected to be the Democratic winner for the Texas 0:08:51.160 --> 0:08:55.040 scubernatorial primary. He held a victory rally and ford Worth 0:08:55.120 --> 0:08:58.160 last night. This group of people and then some are 0:08:58.160 --> 0:09:00.040 gonna make me the first Democrats to be governed know 0:09:00.160 --> 0:09:05.240 the state of Texas. O'Rourke will go up against incumbent 0:09:05.280 --> 0:09:09.520 Governor Greg Abbott, who won the GOP primary. Republicans sent 0:09:09.720 --> 0:09:12.960 a message they want at keep Texas the land of 0:09:13.000 --> 0:09:17.640 opportunity and prosperity for absolutely everybody. Governor Rabbit spoke to 0:09:17.640 --> 0:09:21.679 his supporters at a Corpus Christie Victory Valley Telsa, Oklahoma, 0:09:21.720 --> 0:09:24.080 is searching for more remains of victims killed in the 0:09:24.080 --> 0:09:29.920 city's race massacre. University of Florida forensic anthropologist Dr Phoebe 0:09:29.920 --> 0:09:33.839 Stubblefield said one grave hell the remains of a homicide victim. 0:09:33.960 --> 0:09:37.560 Burial had multiple ben shot wounds that contributed to his death. 0:09:37.920 --> 0:09:40.520 He had a minimum of three gunshot wounds. He was 0:09:40.559 --> 0:09:43.240 a young man in his twenties. The city says will 0:09:43.280 --> 0:09:46.600 not file criminal charges. The Moon is about to get 0:09:46.640 --> 0:09:49.480 slammed by a big piece of space junk and leave 0:09:49.520 --> 0:09:53.000 a crater the size of several semi tractor trailers. The 0:09:53.080 --> 0:09:56.520 leftover rocket was slammed into the far side of the moon. Friday, 0:09:56.760 --> 0:09:59.280 Global News twenty four hours a day on airand on 0:09:59.320 --> 0:10:03.160 Bloomberg Quick Take, powered by more journalists analysts more than 0:10:03.520 --> 0:10:06.880 twenty countries. On Michael bar this is Bloomberg, natherm Thank you, Michael. 0:10:11.440 --> 0:10:13.280 Almost six ten on Wall Straight time for the Bloomberg 0:10:13.360 --> 0:10:15.439 Sports Update with John stash Our. All right, Nathan. For 0:10:15.440 --> 0:10:17.920 the first time since the strike that canceled the nine 0:10:18.720 --> 0:10:22.000 four World Series and went into the following season, baseball 0:10:22.040 --> 0:10:24.200 games will be lost to the work stuff and is 0:10:24.200 --> 0:10:27.319 the lockout continues in the first two series of the season, 0:10:27.480 --> 0:10:30.559 canceled two sides at a marathon bargaining session one day 0:10:30.600 --> 0:10:33.520 that led to an extent to the deadline and some optimism, 0:10:33.559 --> 0:10:36.080 But things apparently did not go well yesterday at the 0:10:36.080 --> 0:10:39.920 commissioner is rob Man. We worked hard to avoid an 0:10:39.920 --> 0:10:43.640 outcome that's bad for our fans, bad for our players, 0:10:44.400 --> 0:10:47.719 and bad for our clothes. I want to share our 0:10:47.800 --> 0:10:52.199 fans that our failure to region agreement was not due 0:10:52.440 --> 0:10:56.480 to a lack of effort by either part. The players 0:10:56.520 --> 0:11:00.240 game here for nine days. They worked hard, they tried 0:11:00.320 --> 0:11:03.520 to make a deal, and I appreciate The Yankees were 0:11:03.559 --> 0:11:06.600 to start the season with seven road games Texas and Houston. 0:11:06.640 --> 0:11:09.200 The Mets first two series where at home versus Washington 0:11:09.320 --> 0:11:11.720 and Atlanta. The games will not be made up. A 0:11:11.720 --> 0:11:14.160 lot closer for the Nets against the Raptors Toronto won 0:11:14.160 --> 0:11:16.920 by thirty six in Brooklyn, same two last night in Toronto. 0:11:17.000 --> 0:11:19.480 The Raptors won one oh nine one oh eight. They 0:11:19.480 --> 0:11:21.000 had a ten up and run on the fourth quarter. 0:11:21.040 --> 0:11:24.000 Nets have now lost fifteen of their last eighteen. Just 0:11:24.280 --> 0:11:27.400 as the Knicks had Nicks playing Philadelphia tonight, Nets play 0:11:27.480 --> 0:11:30.280 Miami tomorrow. Kevin Durant is expected to play has been 0:11:30.320 --> 0:11:33.319 out since mid January. Islanders in Colorado they had with 0:11:33.360 --> 0:11:35.960 their NHL leading win. They scored three in the third 0:11:35.960 --> 0:11:38.640 and one five three. Devils lost in Columbus four three. 0:11:38.679 --> 0:11:41.440 The w n b A find the New York Liberty 0:11:41.640 --> 0:11:44.840 half a million dollars. Their crime was flying their players 0:11:44.840 --> 0:11:48.400 on chartered flights instead of flying commercial as league rules dictate. 0:11:48.760 --> 0:11:51.920 John Stashware, Bloomberg Sports, Nathan, thank you, john S and 0:11:52.000 --> 0:11:54.360 p Futures up twenty four points, Dona down Future is 0:11:54.400 --> 0:11:57.040 up a hundred eighty three. Nastack Future is higher by 0:11:57.240 --> 0:11:59.800 ninety seven points. The ten your treasury down seven thirty 0:12:00.040 --> 0:12:03.200 into the yield one point seven five. You're listening to 0:12:03.240 --> 0:12:09.680 Bloomberg Day Rank almost six twelve on Wall Street. Bloomberg 0:12:09.720 --> 0:12:11.960 Daybreak is brought to you by Audie. Don't let someone 0:12:12.000 --> 0:12:14.560 else drive off in the Audi model you've always wanted. 0:12:14.960 --> 0:12:16.880 Visit a tri state autie dealer to get behind the 0:12:16.920 --> 0:12:24.520 wheel of yours. Today, markets headlines and breaking news twenty 0:12:24.520 --> 0:12:27.360 four hours a day at Bloomberg dot Com, of Bloomberg 0:12:27.400 --> 0:12:30.319 Business Out and at Bloomberg Quick Tape. This is a 0:12:30.360 --> 0:12:39.560 Bloomberg Business Flash, and I'm Karen Moscow. This updates brought 0:12:39.600 --> 0:12:42.360 to you by se I Imagine your asset management firms. 0:12:42.400 --> 0:12:46.480 Operational infrastructure is a competitive advantage that SEI show you 0:12:46.559 --> 0:12:49.000 how at se I C dot com slash I M 0:12:49.280 --> 0:12:51.600 s u S dot Index. Future is on the rise 0:12:51.679 --> 0:12:55.079 this morning and European stocks erased their losses after the 0:12:55.160 --> 0:12:58.800 Kremlin said Russia is ready to resume talks with Ukraine tonight. 0:12:59.040 --> 0:13:01.640 We check the markets every fifteen minutes throughout the trading day. 0:13:01.920 --> 0:13:04.160 On bloomberg S and P Future is up twenty three 0:13:04.160 --> 0:13:07.280 points down. Future is up one hundred seventy one Nastack 0:13:07.360 --> 0:13:10.560 futures of ninety five. The decks in Germany is little 0:13:10.640 --> 0:13:13.240 change now. The Tenuere treasury down seven thirty seconds. You 0:13:13.280 --> 0:13:15.520 had one point seven five percent. They yield on the 0:13:15.600 --> 0:13:19.520 two year one point four zero percent. NIMEX Screwed oil 0:13:19.720 --> 0:13:21.959 is at four point eight percent, up four dollars ninety 0:13:21.960 --> 0:13:24.160 seven cents at a hundred eight dollars thirty six cents 0:13:24.160 --> 0:13:26.760 of barrel. Brent is up five percent at a hundred 0:13:26.760 --> 0:13:29.920 ten dollars fifteen cents. Call my school, there's down seven 0:13:29.920 --> 0:13:32.760 ten percent or thirteen dollars fifty cents at nineteen thirty 0:13:32.840 --> 0:13:36.040 thirty announced the euro one point one zero nine zero 0:13:36.080 --> 0:13:38.600 against the dollar, British pound one point three three oh eight, 0:13:38.960 --> 0:13:41.160 and the n has at one fifteen point to six 0:13:41.200 --> 0:13:44.560 and Bitcoin this morning is higher. It's at forty four thousand, 0:13:44.679 --> 0:13:48.079 one hundred ninety dollars. That's a Bloomberg Business flashdown. Here's 0:13:48.120 --> 0:13:50.520 Michael Barrow with more on what's going on around the world. 0:13:50.679 --> 0:13:53.400 Munchael Karen, thank you very much. President Joe Biden gave 0:13:53.440 --> 0:13:56.319 his first State of the Union address from the Capitol 0:13:56.440 --> 0:14:00.000 last night. The President opening with a message of globe 0:14:00.000 --> 0:14:04.240 old unity against Russia President Vladimir Putin. Putin is now 0:14:04.280 --> 0:14:07.600 isolated from the world more than he has ever been 0:14:08.440 --> 0:14:11.240 I was. Republican Governor Kim Reynolds offered up the GOP 0:14:11.400 --> 0:14:15.720 response the President Biden's address. Reynolds portrayed the GOP as 0:14:15.800 --> 0:14:20.160 the Party of Freedom and Choice. Because you know, you've 0:14:20.280 --> 0:14:24.880 shown that the soul of America isn't about who lives 0:14:24.880 --> 0:14:27.560 in the White House. Reynolds asked people to think about 0:14:27.640 --> 0:14:30.840 the last year of democratic policies coming from the White House. 0:14:31.240 --> 0:14:34.240 The scheduled opening day from Major League Baseball has been canceled. 0:14:34.280 --> 0:14:37.320 No deal was reached between the players and teams yesterday 0:14:37.360 --> 0:14:40.040 to in the lockout. In the NBA, the Nets and 0:14:40.120 --> 0:14:43.600 Warriors lost, the Celtics and Wizards won. In the NHL, 0:14:43.640 --> 0:14:46.800 the Devil's Islanders and Bruins lost. Global News twenty four 0:14:46.800 --> 0:14:49.200 hours a day on air and on Bloomberg Quicktake, powered 0:14:49.200 --> 0:14:52.360 by more than journalists, analysts, more than a hundred twenty 0:14:52.400 --> 0:14:55.440 countries and Michael Bard. This is Bloomberg, Nathan, Thank you, Michael. 0:14:55.440 --> 0:14:57.320 We are coming up to six twenty on Wall Street 0:14:57.480 --> 0:15:00.200 Live from the Bloomberg Interract and Brokers Studios. This is 0:15:00.200 --> 0:15:03.040 Bloomberg Daybreak and with the war in Ukraine now into 0:15:03.120 --> 0:15:06.280 a seventh day, were joined live by Bloomberg News Executive 0:15:06.360 --> 0:15:10.320 editor for International Government, Rosalind Matheson. Good morning, get us 0:15:10.360 --> 0:15:12.720 up to speed on the latest development on the ground. Again, 0:15:12.800 --> 0:15:16.480 apparently Russia's reporting it's taken a key port city in Ukraine. 0:15:17.280 --> 0:15:19.520 That's right, that's the city of Kesson in the south, 0:15:19.960 --> 0:15:22.160 which is one of the biggest cities in Ukraine and 0:15:22.200 --> 0:15:25.640 obviously on the port which makes it an important conduit 0:15:26.040 --> 0:15:31.000 for trading commodities in the region. Russians, Russia's Defense Ministry 0:15:31.040 --> 0:15:33.960 is saying that its forces have taken that city. There's 0:15:34.000 --> 0:15:37.440 not been a confirmation from Ukraine, although they did acknowledge 0:15:37.640 --> 0:15:40.840 that there were Russian troops moving into the city overnight. 0:15:40.880 --> 0:15:44.000 There are also reports of heavy fighting in Ukraine's second 0:15:44.360 --> 0:15:48.240 biggest city of Kiev, that paratroopers from Russia moved in 0:15:48.280 --> 0:15:51.880 there overnight, alongside heavy shelling. Of course, the big one, 0:15:52.400 --> 0:15:54.840 the big question here is at what point troops moved 0:15:54.840 --> 0:15:58.600 properly into the capital Kiev, with that very long convoy 0:15:58.640 --> 0:16:02.840 that's been inching its way along difficult road conditions towards 0:16:03.120 --> 0:16:06.360 the capital and meeting first resistance along the way from 0:16:06.520 --> 0:16:09.720 Ukrainian fighters. Of course, there was bombing of the city 0:16:09.840 --> 0:16:12.760 through the day yesterday and again overnight, just showing how 0:16:12.840 --> 0:16:16.560 much Russia is ramping up. It's an aerial bombardment campaign 0:16:16.600 --> 0:16:20.440 to try and accelerate progress here inside Ukraine. And even 0:16:20.520 --> 0:16:23.960 as we are seeing these signs of heavy resistance from 0:16:24.120 --> 0:16:29.520 Ukrainian forces, we're also hearing calls from Ukraine for allies 0:16:29.600 --> 0:16:32.480 to do more, calls for even an fly zone. I mean, 0:16:32.480 --> 0:16:36.560 that's a pretty big ask for the allies of the 0:16:36.640 --> 0:16:39.360 US and Europe, isn't it. That's right. In fact, we 0:16:39.440 --> 0:16:41.400 just published a story on there's a very short a 0:16:41.400 --> 0:16:44.320 few minutes ago show why a NATO no fly zone 0:16:44.680 --> 0:16:47.000 it's very difficult to get off the ground. Of course, 0:16:47.040 --> 0:16:51.120 doing so would require NATO planes to be policing the 0:16:51.200 --> 0:16:54.920 airspace and to be trying to stop Russian aircraft from entering. 0:16:54.960 --> 0:16:57.920 So at that point you're putting NATO aircraft in direct 0:16:58.000 --> 0:17:01.520 conflict with Russian aircraft, and that just risks. Of course, 0:17:01.600 --> 0:17:04.919 there's conflict spiraling from what it is already, which is 0:17:04.920 --> 0:17:07.919 a terrible war inside Ukraine, to being a full on 0:17:08.240 --> 0:17:12.879 conflict between NATO and Russia, and that then that scenario, 0:17:12.960 --> 0:17:16.239 then you're bringing the entirety of Europe into a potential war. 0:17:16.320 --> 0:17:19.480 Because no fire zones have been used very sparingly over 0:17:19.520 --> 0:17:22.120 the years. They were used over Bosnia, they were used 0:17:22.200 --> 0:17:25.359 over Iraq, I believe over Libya as well, but setting 0:17:25.359 --> 0:17:27.720 one up over Ukraine in this moment would be very 0:17:27.760 --> 0:17:29.840 fought for NATO, and so that's been a very fair 0:17:29.960 --> 0:17:33.399 no so far from the military Alliance. So it seems 0:17:33.440 --> 0:17:36.840 as though the response from the Alliance has been to 0:17:37.320 --> 0:17:41.600 provide more military support for Ukraine in terms of equipment 0:17:41.840 --> 0:17:46.520 and sanctions. Pressure on Russia we've seen a growing number 0:17:46.560 --> 0:17:50.240 of companies cutting ties to the Russian economy as well. 0:17:50.280 --> 0:17:52.080 Are we getting a sense at this point that that's 0:17:52.119 --> 0:17:57.480 actually having any effect on Russia's strategy, Not that we 0:17:57.520 --> 0:18:00.679 can discern on the ground. Given the acceleration and if anything, 0:18:00.800 --> 0:18:03.320 of the campaign, it seems that the Russian president is 0:18:03.359 --> 0:18:06.320 determined the way to push on with his goals for 0:18:06.400 --> 0:18:10.000 that country, which seemed to be to achieve total regime change. 0:18:10.040 --> 0:18:12.440 The way he's laying siege. Of course, to hear then, 0:18:12.480 --> 0:18:16.119 particularly to the government of the President Zlynsky, shows that 0:18:16.359 --> 0:18:19.400 so there's no sign that this is deterring him. Of Course, 0:18:19.440 --> 0:18:22.320 some of these sanctions, it's worth noting, especially in the 0:18:22.359 --> 0:18:25.280 swift financial sector, do not kick in at least for 0:18:25.320 --> 0:18:28.280 another ten days, so by the time they kick in, 0:18:28.359 --> 0:18:30.560 it's very difficult to know what the situation on the 0:18:30.600 --> 0:18:33.520 ground might look like by then. But certainly right now 0:18:33.560 --> 0:18:36.320 there's no great incentive for him to de escalate. I 0:18:36.400 --> 0:18:38.320 think about a minute left here, rise it's seen some 0:18:38.400 --> 0:18:42.200 headlines that Russia is talking about another round of talks 0:18:42.240 --> 0:18:44.800 with Ukrainian delegates. What more do we know about that? 0:18:44.840 --> 0:18:47.239 We've know there's been another a couple of rounds of 0:18:47.600 --> 0:18:51.440 negotiations over the last couple of days so so far, 0:18:51.600 --> 0:18:53.560 there was a round of talks from the Yelo Roost 0:18:53.560 --> 0:18:58.439 border between ministerial level negotiators from the two countries that 0:18:59.080 --> 0:19:01.840 came away a pensibly with nothing as far as we 0:19:01.880 --> 0:19:05.120 could see. They returned to their capitals for discussions. Russia 0:19:05.160 --> 0:19:08.000 has set its sending some negotiators back. There's been no 0:19:08.040 --> 0:19:11.119 confirmation from Ukraine that it's doing the same and that 0:19:11.160 --> 0:19:14.520 further talks will indeed happen. Of course, with Ukraine now 0:19:14.600 --> 0:19:17.520 calling to become a member of the European Union, the 0:19:17.640 --> 0:19:21.680 very idea of Ukraine neutrality has to be completely off 0:19:21.680 --> 0:19:24.119 the table. So what those talks, if anything, could achieve. 0:19:24.560 --> 0:19:28.080 It's very difficult to see. If anything. There possibly an 0:19:28.119 --> 0:19:30.480 effort by Russia simply to buy time to sort of 0:19:30.480 --> 0:19:34.280 suggest they're talking, even though there's no possibility of an agreement. 0:19:34.880 --> 0:19:37.680 Thanks as always for keeping us up to speed. Rosalind 0:19:37.720 --> 0:19:42.399 Matheson is our executive editor for International Government for Bloomberg News. 0:19:42.680 --> 0:19:45.000 Right now, SMP futures are up twenty three points down 0:19:45.000 --> 0:19:47.679 futures up a hundred sixty seven. NASDAK futures highed by 0:19:47.760 --> 0:19:50.760 ninety nine points. The tenure Treasury down seven thirty seconds 0:19:50.840 --> 0:19:54.320 yield one point seven five Just ahead, how the United 0:19:54.440 --> 0:19:57.639 Nations is responding to the war and the oil market 0:19:57.720 --> 0:20:00.320 reels at the risk of supply disruptions. Five things you 0:20:00.320 --> 0:20:02.639 need to know to start your day. Coming up on 0:20:02.680 --> 0:20:09.480 Bloomberg Daybreak Bloomberg eleven three oh weather mostly sunny, upper 0:20:09.520 --> 0:20:11.680 forties today, chance for a shower tonight. We have a 0:20:11.720 --> 0:20:14.320 mix of sun and clouds. Tomorrow breezing low forties for 0:20:14.440 --> 0:20:17.920 highs only upper thirties by Friday. Right now forty two 0:20:17.920 --> 0:20:25.240 in Central Park. Broadcasting live from the Bloomberg Interactive Broker 0:20:25.359 --> 0:20:28.760 Studio in New York. Bloomberg E Living Freedom to Washington, 0:20:28.840 --> 0:20:32.960 d C. Bloomberg to Boston, Bloomberg one oh six one 0:20:33.040 --> 0:20:36.520 does San Francisco, Bloomberg No. Sixty to the country, Sirius 0:20:36.640 --> 0:20:39.240 XM to A one ninet and around the globe the 0:20:39.280 --> 0:20:43.159 Bloomberg Business app and Bloomberg Radio dot Com. This is 0:20:43.200 --> 0:20:51.640 Bloomberg Daybreak. It's six thirty on Wall Street. Good morning. 0:20:51.640 --> 0:20:54.560 I'm Nathan Hager and I'm Karen Moscow. Where are just 0:20:54.640 --> 0:20:57.400 about three hours away from the open of US trading time? 0:20:57.440 --> 0:20:59.400 For the five things you need to notice start your day. 0:20:59.480 --> 0:21:02.800 Bront to you by Interactive Brokers. Trade crypto for a 0:21:02.880 --> 0:21:05.520 less coin with commission says twelve to eighteen basis points 0:21:05.560 --> 0:21:08.159 and no hidden spreads or markups. Learn more at ibk 0:21:08.320 --> 0:21:11.880 r dot com slash crypto first. The fighting is intensifying 0:21:11.880 --> 0:21:15.160 in Eastern Europe. According to inter Facts, Russia's defense ministry 0:21:15.200 --> 0:21:18.840 says it is captured the Ukrainian port of Curson. Moscow 0:21:18.960 --> 0:21:21.879 is pressing ahead with attacks. Meantime, the United Nations is 0:21:21.920 --> 0:21:25.600 sounding the alarm and the humanitarian crisis in Ukraine. Bloomberg's 0:21:25.600 --> 0:21:28.480 ad Baxter has the latest. The body says almost seven 0:21:28.560 --> 0:21:31.520 hundred thousand people have already fled Ukraine and say as 0:21:31.520 --> 0:21:34.960 many as four million may leave. US Secretary of State 0:21:35.000 --> 0:21:38.720 Anthony Blincoln says Russia should not be on the Humanitarian Council. 0:21:38.840 --> 0:21:42.360 These are the human rights abuses this council was created 0:21:42.400 --> 0:21:45.240 to stop. If we cannot come together now, when will 0:21:45.240 --> 0:21:47.760 we come together? A U N forecast Russia to step 0:21:47.840 --> 0:21:51.200 up attacks from targeted to more widespread and more brutal. 0:21:51.560 --> 0:21:54.359 In San Francisco, I'm at Baxter Bloomberg Daybreak. All right, 0:21:54.400 --> 0:21:56.560 and thanks for coming off President Biden's first State of 0:21:56.560 --> 0:21:59.479 the Union address last night. The President says Vladimir Putin 0:21:59.520 --> 0:22:02.000 has no idea what's coming. He used his speech to 0:22:02.080 --> 0:22:04.800 rally support for Ukraine and to confront the challenges here 0:22:04.800 --> 0:22:08.719 at home. We'll meet the test, protect freedom and liberty, 0:22:09.119 --> 0:22:14.760 expand fairness and opportunity, and we will save democracy. President 0:22:14.800 --> 0:22:17.560 said getting prices under control will be his top priority. 0:22:17.560 --> 0:22:20.399 He touted his bipartisan infrastructure law and called for more 0:22:20.440 --> 0:22:24.240 action on domestic manufacturing and increasing competition. Well, speaking of 0:22:24.359 --> 0:22:27.400