WEBVTT - Bloomberg Daybreak: September 30, 2022 - Hour 2 (Radio) 0:00:01.760 --> 0:00:05.480 Live from the Bloomberg Interactive Burger Studios is Bloomberg Daybreak 0:00:05.519 --> 0:00:09.800 for Friday, September two. Coming up this hour hurricaney and 0:00:09.880 --> 0:00:13.280 takes him at the Carolinas as Florida deals with the devastation. 0:00:13.360 --> 0:00:15.520 Stocks begin the last day of the quarter at twenty 0:00:15.520 --> 0:00:18.720 two month lows. The pound recoups all its losses after 0:00:18.800 --> 0:00:21.040 last week's text cut announcement, and we'll tell you why 0:00:21.040 --> 0:00:24.480 shares of Nike are not doing it for investors. This morning, 0:00:24.640 --> 0:00:27.520 Shock grief and outrage over the random stabbing death of 0:00:27.520 --> 0:00:30.040 a New York City e M s veteran, plus Russian 0:00:30.040 --> 0:00:33.920 President Poopin will finalize annexation of Ukraine regions on Lakeael 0:00:33.920 --> 0:00:36.520 Blarm more ahead, I'm John Stash, Aaron Sports The Big 0:00:36.560 --> 0:00:39.159 Mets Brain Series begins tonight Atlanta. Aaron Judge and the 0:00:39.200 --> 0:00:44.680 Yankees host the Orioles NFL Bengals beat the Dolphin. That's 0:00:44.720 --> 0:00:48.400 All's Tradit head on Bloomberg day Break on Bloomberg eleven 0:00:48.479 --> 0:00:52.960 three on New York, Bloomberg one, Washington, d C, Bloomberg 0:00:52.960 --> 0:00:56.680 one oh six one, Boston, Bloomberg nine sixties, San Francisco, 0:00:57.160 --> 0:01:00.880 Sirius XM one nineteen and around the world on Bloomberg 0:01:00.960 --> 0:01:08.959 Radio dot Carmen via the Bloomberg Business App. And good morning. 0:01:09.000 --> 0:01:12.080 I'm Fern Moscow. I'm Nathan Hagar. Bloomberg Daybreak is brought 0:01:12.080 --> 0:01:14.520 to you by se I, built on advanced technologies in 0:01:14.600 --> 0:01:18.280 fifty years of innovation. SEI offers Asset Managers, a comprehensive 0:01:18.319 --> 0:01:21.480 and flexible operations outsourcing platform. Go to s e I 0:01:21.560 --> 0:01:25.000 C dot com, slash Managers and U shock in Next. 0:01:25.000 --> 0:01:27.320 Futures on the rise this morning at six oh one 0:01:27.360 --> 0:01:29.279 on Wall Street, and we check the markets every fifteen 0:01:29.319 --> 0:01:31.640 minutes throughout the trading day on Bloomberg s and P 0:01:31.800 --> 0:01:34.639 futures up twenty five points, DAL futures have a hundred 0:01:34.680 --> 0:01:37.840 sixty seven NASDAG futures up two and the ten year 0:01:37.840 --> 0:01:41.880 Treasury U seconds here three point six nine percent. Nathan, Karen. 0:01:41.880 --> 0:01:43.600 We'll get back to markets in a moment, but we 0:01:43.640 --> 0:01:45.800 want to get you the latest first on Hurricane Ian. 0:01:45.880 --> 0:01:48.960 It is a hurricane again set for landfall later today 0:01:48.960 --> 0:01:52.840 in South Carolina. President Biden's declared an emergency for the state. 0:01:53.120 --> 0:01:55.880 This woman is in Fort Myers, Florida, where Ian came 0:01:55.880 --> 0:01:58.600 in as a powerful Category four storm. I am the 0:01:58.640 --> 0:02:03.640 stupidest woman. I'm from Florida. I want to Andrew Herma. 0:02:04.480 --> 0:02:06.360 I decided to stay. Did not know it's going to 0:02:06.400 --> 0:02:08.240 get to be a four and a five. And President 0:02:08.320 --> 0:02:10.800 Biden says ian could be one of the deadliest storms 0:02:10.800 --> 0:02:14.280 in Florida's history. The numbers of still are still unclear, 0:02:14.360 --> 0:02:17.720 but we're hearing early reports of what may be substantial 0:02:18.240 --> 0:02:20.680 loss of life. President Biden says he's been in touch 0:02:20.680 --> 0:02:23.440 with Florida Governor Rhonda Santis. The governor says it will 0:02:23.480 --> 0:02:26.840 take time to confirm casualties, but rescuers have been busy. 0:02:26.919 --> 0:02:29.560 There have been more than seven hundred confirmed rescues, and 0:02:29.600 --> 0:02:32.840 there's likely many more than that that will be confirmed 0:02:33.040 --> 0:02:35.560 as more data comes in. Governor to Santa says the 0:02:35.560 --> 0:02:37.920 state is trucking in supplies to those in need, but 0:02:38.000 --> 0:02:41.079 blackouts could last for days. Oh, I think you posted 0:02:41.120 --> 0:02:44.600 on the latest damage and disruption from this storm. But first, Nathan, 0:02:44.800 --> 0:02:46.960 we turned back to the markets. It's the last day 0:02:46.960 --> 0:02:48.919 of the third quarter and stocks to begin this session 0:02:48.919 --> 0:02:51.280 at a twenty two month low. So far this quarter, 0:02:51.320 --> 0:02:53.480 one point three twillion dollars has been wiped off the 0:02:53.560 --> 0:02:56.160 value of the SNP five hundred and c f r 0:02:56.200 --> 0:02:59.640 A chief investment strategist Sam Stovall says October could be 0:02:59.720 --> 0:03:04.120 even even though September does have a reputation of being volatile. 0:03:05.760 --> 0:03:09.280 Of the trading days in September typically see a one 0:03:09.320 --> 0:03:12.359 percent move either up or down, but we've had two 0:03:12.400 --> 0:03:15.280 and a half times that number this year. And if 0:03:15.280 --> 0:03:17.919 you think September is bad, just wait till October because 0:03:17.919 --> 0:03:22.480 that traditionally sees thirty six percent more volatility than the 0:03:22.600 --> 0:03:25.160 average for the other eleven months of the year. The 0:03:25.240 --> 0:03:28.680 c fi A sam Stovall expects stocks to soon retest 0:03:28.760 --> 0:03:31.240 their lows. Hawk Is talk from the fed's been weighing 0:03:31.240 --> 0:03:34.480 on markets, Karen. San Francisco president Mary Daily says the 0:03:34.520 --> 0:03:37.400 central Bank is committed to raising interest rates until it 0:03:37.440 --> 0:03:41.360 restores price stability. Navigating the economy toward a more sustainable 0:03:41.360 --> 0:03:45.640 path necessitates higher interest rates in a down shift in 0:03:45.680 --> 0:03:49.080 the pace of economic activity and the labor market, but 0:03:49.240 --> 0:03:53.120 for now inducing a deep recession the kind we hand 0:03:53.160 --> 0:03:55.280 back in the nineteen eighties, or some would even think 0:03:55.280 --> 0:03:58.720 of the Great Recession, that is not warranted. San Francisco 0:03:58.800 --> 0:04:01.720 Fed President Mary Daily says she is worried about possibly 0:04:01.760 --> 0:04:04.920 tightening policy too much if it is. Keeping his eye 0:04:04.960 --> 0:04:08.640 on economic data, Nathan, including another report on sentiment. This morning, 0:04:08.680 --> 0:04:11.160 we get September is reading from the University of Michigan 0:04:11.160 --> 0:04:13.320 at ten am Wall Street Time, and we get a 0:04:13.360 --> 0:04:16.479 preview from Bloomberg's off Any Dale, Judas, the University of 0:04:16.560 --> 0:04:20.400 Michigan consumer sentiment index has been recovering after setting a 0:04:20.480 --> 0:04:25.520 record low in June. Gasoline prices if east somewhat dangers persists, 0:04:25.560 --> 0:04:28.400 though there's talk about recession with the Federal Reserve raising 0:04:28.440 --> 0:04:32.799 interest rates to fight inflation. Moreover, Bloomberg Economic says Americans 0:04:32.839 --> 0:04:35.880 are wary of the inflation outlook with uncertainty amount the 0:04:35.920 --> 0:04:39.360 cost are living running at the highest than forty years. Then, 0:04:39.720 --> 0:04:42.880 Judas Bloomberg, Day break, any thank you. In Europe this morning, 0:04:42.880 --> 0:04:45.440 the pounds rallied back to level's last seen before the 0:04:45.440 --> 0:04:48.760 government announced controversial tax cuts last week. Let's go to 0:04:48.800 --> 0:04:50.839 London and get the latest with Bloomberg's You and Potts 0:04:50.880 --> 0:04:53.680 Good morning, Good morning, Nathan, and caring the pound higher 0:04:53.680 --> 0:04:56.560 four a fourth day today is his trade is speculating 0:04:56.600 --> 0:04:59.240 the government will be forced to backtrack from his big 0:04:59.279 --> 0:05:02.320 package of unfunded tax cuts the bat of the currency 0:05:02.560 --> 0:05:05.360 and bond markets earlier this week. The move caps an 0:05:05.360 --> 0:05:08.359 extremely volatile week for UK markets, which saw the dramatic 0:05:08.440 --> 0:05:11.479 intervention of the Bank of England's new prime minister. List 0:05:11.520 --> 0:05:14.599 Trust is at the Conservative Party converence this weekend, and 0:05:14.640 --> 0:05:17.880 one fashion opinion poll puts a thirty three points behind 0:05:17.920 --> 0:05:20.479 the opposition Labor Party in London. I'm you and parts 0:05:20.520 --> 0:05:22.880 Bloomberg Daybreak, Ay do and thank you. We're also getting 0:05:22.920 --> 0:05:25.280 inflation data out of Europe this morning. For the first 0:05:25.279 --> 0:05:28.159 time ever, inflation has hit double digits. In the Eurozone. 0:05:28.240 --> 0:05:31.560 Consumer prices for September rose ten percent from a year earlier. 0:05:31.839 --> 0:05:34.280 That topped estimates and marks the fifth strade month that 0:05:34.400 --> 0:05:41.080 Euro Area inflation came in above consensus. Back here in 0:05:41.120 --> 0:05:43.280 the US, Karen, we have some corporate news of note, 0:05:43.279 --> 0:05:46.960 including the end of an era at Facebook parent Meta 0:05:47.360 --> 0:05:50.359 CEO Mark Zuckerberg is outline plans to reorganize teams and 0:05:50.360 --> 0:05:53.760 reduce headcount for the first time ever. Bloomberg technology reporter 0:05:53.839 --> 0:05:56.640 Kurt Wagner broke the news late yesterday. In some cases, 0:05:56.960 --> 0:05:59.359 you know, when someone leaves a team, they're just not 0:05:59.440 --> 0:06:01.839 going to fill that role. Again, some people are going 0:06:01.880 --> 0:06:03.479 to be moving from team to team, and then in 0:06:03.520 --> 0:06:07.080 some cases they're going to be kicking out low performers, right, 0:06:07.120 --> 0:06:10.000 which is a pretty drastic thing that we haven't seen 0:06:10.040 --> 0:06:12.520 that Facebook in a long time or ever. And so 0:06:12.600 --> 0:06:15.120 this really just feels like a moment, right This company 0:06:15.120 --> 0:06:18.520 that has been growing and expanding for eighteen years finally 0:06:18.600 --> 0:06:21.120 hitting a bit of an issue here. My Bloomberg Scared 0:06:21.160 --> 0:06:23.200 Wagner says Metal will likely be a smaller company in 0:06:23.920 --> 0:06:25.560 three than it was this year. The shares are up 0:06:25.600 --> 0:06:28.080 one percent in early trading. Well on the flip side, 0:06:28.120 --> 0:06:30.760 Nathan shares of Nike are down more than nine percent. 0:06:30.839 --> 0:06:33.760 The company reported a surgeon inventory and is pushing through 0:06:33.760 --> 0:06:37.440 discounts that her profitability. Higher freight costs and foreign exchange 0:06:37.440 --> 0:06:41.640 effects are also hurting Nike, and Micron is slashing production 0:06:41.680 --> 0:06:44.239 because of a steep plunge in demand. The biggest US 0:06:44.320 --> 0:06:48.040 chip maker is forecasting quarterly sales almost two billion dollars 0:06:48.120 --> 0:06:50.800 below estimates. Still, the stock is higher mon news that 0:06:50.880 --> 0:06:54.040 Japan will subsidize Micron's push to produce its new advanced 0:06:54.120 --> 0:06:58.000 chips in Hiroshima futures this morning. On the rise SMP 0:06:58.160 --> 0:07:00.640 future is up twenty nine points, Doubt futures up one 0:07:01.560 --> 0:07:04.359 and NASDAG futures up eight three. The ten year treasury 0:07:05.360 --> 0:07:07.760 seconds you have three point six eight percent and they 0:07:07.839 --> 0:07:10.800 yield on a two year four point one four per cent. 0:07:11.240 --> 0:07:14.520 Bitcoin is at nineteen thousand, five hundred dollars and straight 0:07:14.520 --> 0:07:17.520 ahead your latest local headlines plus a check of sports, 0:07:17.640 --> 0:07:24.400 and this is Bloombergh Karen, thank you. Six oh seven 0:07:24.400 --> 0:07:27.000 on Wall Street. Were fifty three degrees in Central Park 0:07:27.040 --> 0:07:30.280 and dealing with two accidents on both ways on the 0:07:30.320 --> 0:07:33.880 Cross Bronx Expressway. Details coming up in traffic. First, Michael 0:07:33.880 --> 0:07:35.680 Barr with what else is going on in New York 0:07:35.720 --> 0:07:38.520 and around the world. Michael, Good morning, Nathan. The suspect 0:07:38.600 --> 0:07:40.960 is in custody in the fatal stabbing of a sixty 0:07:41.040 --> 0:07:44.760 one year old f d n Y Emergency Medical Services lieutenant. 0:07:45.200 --> 0:07:48.520 Police say she will stabbed multiple times yesterday afternoon in 0:07:48.600 --> 0:07:52.720 an unprovoked attack while on duty. New York City Mayor 0:07:52.880 --> 0:07:58.560 Eric Adams one of our heroes, Alison Russo, at twenty 0:07:58.600 --> 0:08:04.640 five year penny of the Fire Department, stabbed by an assailant. 0:08:04.840 --> 0:08:08.080 Mayor Adams says Russo was standing outside f d n 0:08:08.240 --> 0:08:11.360 Y e M S Station in Queens when the violence occurred. 0:08:11.720 --> 0:08:14.400 Russa was taken to a hospital where she was pronounced dead. 0:08:14.720 --> 0:08:18.560 Russo's death sparked an outpouring of emotion and sympathy outside 0:08:18.560 --> 0:08:24.240 the hospital. NYPD Commissioner Keachin Sewull, this deadly, senseless, broad 0:08:24.320 --> 0:08:27.040 daylight attack on a uniformed e M team member is 0:08:27.080 --> 0:08:30.760 a direct assault on our society. It is the latest 0:08:30.800 --> 0:08:35.240 consequence of the violence that we relentlessly fight in our city. 0:08:35.440 --> 0:08:37.600 The suspect of thirty or four year old man has 0:08:37.640 --> 0:08:40.000 not been charged yet. Police so far did not have 0:08:40.040 --> 0:08:43.240 a motive for the stabbing. Russian President Vladimir Putin is 0:08:43.280 --> 0:08:46.000 expected to deliver a major address at the Kremlin today 0:08:46.120 --> 0:08:51.040 formerly annexing for Ukrainian regions. This after holding what Ukraine 0:08:51.040 --> 0:08:54.679 and Western countries said, we're phony referendums in the Russian 0:08:54.720 --> 0:08:58.120 occupied areas. President Biden made it clear the US will 0:08:58.240 --> 0:09:02.360 never recognize Russia's attempt to claim Ukrainian territory. The so 0:09:02.480 --> 0:09:07.120 called referendum was a sham, an absolute sham. The results 0:09:07.160 --> 0:09:10.920 were manufactured in Moscow. President Biden made his comments to 0:09:11.000 --> 0:09:14.040 Pacific Island leaders at the White House. The wife of 0:09:14.080 --> 0:09:17.840 Supreme Court Justice Clarence Thomas, appeared before the January six 0:09:17.880 --> 0:09:22.439 committee investigating the Capitol riot. In the days after the election, 0:09:22.520 --> 0:09:25.559 Jenny Thomas urged the Trump White House to fight back 0:09:25.960 --> 0:09:29.040 and emailed state lawmakers asking them to help overturn the 0:09:29.040 --> 0:09:32.679 election results. The Senate voted overwhelmingly to a prove an 0:09:32.679 --> 0:09:35.720 interim spending bill that would keep the government open until 0:09:35.760 --> 0:09:38.679 mid December. The House still has to consider the legislation. 0:09:39.040 --> 0:09:41.760 Global News twenty four hours a day on air and 0:09:42.040 --> 0:09:44.880 on Bloomberg Quick Take Power by more than twenty seven 0:09:44.920 --> 0:09:48.120 hundred journalists, analysts more than a hundred twenty countries. Michael 0:09:48.120 --> 0:09:50.800 Barr and this is Bloomberg. Nathan, Okay, Michael, thank you, 0:09:56.600 --> 0:09:58.400 six o nine on Wall Street time for the Bloomberg 0:09:58.440 --> 0:10:01.080 Sports Update. Here's John's statue. All right, Anathan, you can't 0:10:01.120 --> 0:10:04.240 underestimate a significance of this Mets Braves series that begins 0:10:04.240 --> 0:10:06.199 tonight in Atlanta. That both teams are going to the playoffs. 0:10:06.240 --> 0:10:09.160 Winning the division means the first round by setting up 0:10:09.200 --> 0:10:11.920 your rotations the division round, animes not having to play 0:10:11.960 --> 0:10:15.600 the Dodgers until the NLCS Dodgers have won eight games, 0:10:15.640 --> 0:10:17.840 Mets lead the Braves by one the left Jacob Graham 0:10:17.880 --> 0:10:20.160 on the Mountain Tonight with Max Schers are going tomorrow, 0:10:20.200 --> 0:10:22.600 and the Mets have called up their top prospect, twenty 0:10:22.679 --> 0:10:25.520 year old catcher Francisco Alvarez. He might be the h 0:10:25.600 --> 0:10:28.080 to night Yankees owed for the Orioles when Hank Aaron 0:10:28.160 --> 0:10:30.839 broke Babe Ruth home run record back in eighteen seventy four. 0:10:30.880 --> 0:10:33.400 He broke it in his first game after tying it. 0:10:33.480 --> 0:10:36.000 We'll see if Aaron Judge does Likewise, Judge has had 0:10:36.040 --> 0:10:39.440 this remarkable season as a free agent to be the 0:10:39.520 --> 0:10:42.960 Yankees want to resign him. The Yankee team president's Randy 0:10:43.040 --> 0:10:46.040 lem I think he likes being Yankee. Uh, we love 0:10:46.120 --> 0:10:49.040 having him be Yankee. You know, being a Yankee is 0:10:49.280 --> 0:10:53.400 different than anything else. So I'm hopeful. Well, I can 0:10:53.400 --> 0:10:57.480 tell you as health Staring Brenner, the entire organization, myself, 0:10:57.559 --> 0:10:59.559 Brian Kishman, We're not going to leave any stone on 0:10:59.679 --> 0:11:02.760 turn trying to bring him back to Randy Levan a 0:11:02.800 --> 0:11:05.840 guest on the Bloomberg Business and Sports or Tonight at seven, 0:11:05.920 --> 0:11:08.880 or listen to the podcast on Apple, Spotify, Stitcher, or 0:11:09.000 --> 0:11:11.319 or anywhere you get your podcast Wait for NFL on 0:11:11.400 --> 0:11:14.079 the way with Cincinnati's twenty seven to fifteen win over 0:11:14.160 --> 0:11:17.319 Miami Dolphins DUB two. It's on the Baola sacked in 0:11:17.400 --> 0:11:20.439 the second quarter. He was down for seven minutes, taken 0:11:20.440 --> 0:11:22.640 off the field and the stretcher. He's got head and 0:11:22.720 --> 0:11:25.400 neck injury. Spent the night at the Cincinnati hospital. Expected 0:11:25.440 --> 0:11:28.840 to be released today despite the storm. Chiefs fuck Sunday 0:11:28.920 --> 0:11:31.040 Night will not be moved. It'll be played in tamplea. 0:11:31.120 --> 0:11:34.480 John Stat Edward Bloomberg sports, All right, John, thank you. 0:11:34.760 --> 0:11:37.360 SMP futures right now up thirty one points down, futures 0:11:37.400 --> 0:11:40.760 up two hundred eight points, and NASTAC futures are highed 0:11:40.800 --> 0:11:43.199 by ninety two points. Now the ten. Your treasury is 0:11:43.240 --> 0:11:46.360 up twenty thirty seconds, held now down to three point 0:11:46.440 --> 0:11:49.800 six eight percent. British pound at one point one one 0:11:50.040 --> 0:11:53.000 five eight against the dollar as UK Prime Minister Liz 0:11:53.040 --> 0:11:56.480 Trust holds an emergency meeting with her country's fiscal watchdog. 0:11:56.800 --> 0:11:59.480 We're gonna get the latest on that next with Bloomberg's 0:11:59.520 --> 0:12:03.360 Lizzie Burden in London. You're listening to Bloomberg day Break 0:12:07.440 --> 0:12:10.640 Bloomberg eleven three oh weather clouds today up for sixties, 0:12:10.800 --> 0:12:14.960 will have light rain tomorrow mid sixties and showers low 0:12:15.040 --> 0:12:22.440 sixties for Sunday. Right now fifty three degrees in Central Park. Markets, 0:12:22.559 --> 0:12:25.640 headlines and breaking news twenty four hours a day at 0:12:25.640 --> 0:12:29.560 Bloomberg dot Com, The Bloomberg Business Outland at Bloomberg Quick Take. 0:12:29.840 --> 0:12:39.160 This is a Bloomberg Business flash and I'm Karen Moscow. 0:12:39.280 --> 0:12:42.280 European stocks on the rise along with government bond signaling 0:12:42.320 --> 0:12:44.600 a potential recovery at the end of a tumultuous week 0:12:44.640 --> 0:12:47.360 in the markets, and US DOCK index futures. They're gaining 0:12:47.360 --> 0:12:50.520 as well, following another bruising session on Wall Street that 0:12:50.559 --> 0:12:53.000 took the SMP five hundred down two percent to the 0:12:53.040 --> 0:12:55.800 lowest in almost two years and sent the tech heavy 0:12:55.880 --> 0:12:59.360 NASDACK tumbling almost four percent. We checked the markets every 0:12:59.360 --> 0:13:02.439 fifteen minis throughout the trading day on Bloomberg. S and 0:13:02.520 --> 0:13:05.520 P futures are higher again, up thirty four points down 0:13:05.520 --> 0:13:09.000 futures up two hundred seventeen and NASDAG futures up nineties three. 0:13:09.360 --> 0:13:11.880 The decks in Germany is up nine tenths of a percent, 0:13:12.160 --> 0:13:14.480 ten year treasury up twenty five thirty seconds. He'll three 0:13:14.520 --> 0:13:16.480 point six eight percent. They yield on the two year 0:13:16.559 --> 0:13:19.800 four point one four percent. NIMEX screwed oil is up 0:13:19.800 --> 0:13:21.880 three tens percent or twenty four cents at eighty one 0:13:21.880 --> 0:13:24.719 dollar forty seven cents of barrel Coms called up four 0:13:24.720 --> 0:13:27.480 ten percent or six dollars seventy cents at sixteen seventy 0:13:27.520 --> 0:13:30.640 five twenty announced the euro point nine seven eight one 0:13:30.679 --> 0:13:33.000 against the dollar, British found one point one one two 0:13:33.120 --> 0:13:36.440 three and the end one forty four point four eight. 0:13:36.600 --> 0:13:38.360 And look at it. Bitcoin this morning up a tenth 0:13:38.400 --> 0:13:42.040 of a percent at nineteen thousand, five hundred dollars. Today 0:13:42.120 --> 0:13:44.440 we are watching for reports on personal income and spending 0:13:44.440 --> 0:13:47.240 at at eight thirty Wall Street time at tenants consumer sentiment, 0:13:47.480 --> 0:13:49.960 and that's a bloomberg business flash. Now here's Michael Barr 0:13:50.000 --> 0:13:52.839 with more on what's going on around the world. Michael Karen, 0:13:52.920 --> 0:13:55.360 thank you very much. Ian. Now, a hurricane again is 0:13:55.400 --> 0:13:58.640 threatening to carbon and path of destruction through South Carolina 0:13:58.679 --> 0:14:00.480 today when it roars a show or in the north 0:14:00.520 --> 0:14:03.800 of Charleston. Forecasters say the storm will drive a surge 0:14:03.800 --> 0:14:06.439 of water into the city of three to six feet. 0:14:06.880 --> 0:14:10.960 Government officials say. Russian President Vladimir Putin will officially annex 0:14:11.040 --> 0:14:15.760 four occupied regions of Ukraine at a formal signing ceremony today. 0:14:16.120 --> 0:14:19.960 The UN Secretary General condemn Russia's action, saying it has 0:14:20.080 --> 0:14:24.040 no legal value and must not be accepted. In baseball, 0:14:24.080 --> 0:14:27.000 the Yankees host the Orioles to night. Aaron Judge will 0:14:27.080 --> 0:14:30.760 go for sixty two Homer's passing rogermarras a l record. 0:14:31.240 --> 0:14:34.040 Last night, the Red Sox beat the Orioles five three. 0:14:34.240 --> 0:14:37.080 The A's lost the Giants. One Thursday Night football, the 0:14:37.080 --> 0:14:41.200 Bengals beat the Dolphins. Global news twenty four hours a 0:14:41.320 --> 0:14:44.560 day on air and on Bloomberg Quicktake, powered by more 0:14:44.600 --> 0:14:47.040 than twenty seven hundred journalists and analysts, are more than 0:14:47.040 --> 0:14:51.680 a hundred twenty countries. Michael Barr And this is Bloomberg. Nathan, Okay, Michael, 0:14:51.680 --> 0:14:53.800 thank you. We're coming up to six twenty on Wall 0:14:53.840 --> 0:14:56.560 Street Live from the Bloomberg Interractor Broker Studios. This is 0:14:56.560 --> 0:14:58.840 a Bloomberg Daybreak. We've been taking a look at the 0:14:58.840 --> 0:15:01.320 British pound. This morning, we want to focus on UK 0:15:01.560 --> 0:15:06.400 politics now. Prime Minister Liz Trust is under growing pressure 0:15:06.520 --> 0:15:10.120 from her own Conservative party after just a few weeks 0:15:10.120 --> 0:15:13.400 in office. After coming out with that tax cut plan that, 0:15:13.480 --> 0:15:16.640 to say the very least has Royal Markets joining us 0:15:16.680 --> 0:15:21.720 now from our London headquarters, Bloomberg's Lizzie Burden, Lizzie, good morning. 0:15:21.920 --> 0:15:24.680 The Prime Minister and her economic team have just had 0:15:24.680 --> 0:15:28.880 a meeting with the UK's fiscal watchdog on that tax 0:15:28.960 --> 0:15:30.800 cut plan. What do we know about what's come out 0:15:30.800 --> 0:15:33.120 of that so far? Well, I have to say you 0:15:33.160 --> 0:15:36.520 can't understand how unusual it is for the Prime Minister 0:15:36.640 --> 0:15:39.360 to have a meeting like this. There's been in person 0:15:39.440 --> 0:15:42.640 meetings when a new Chancellor or Office for Budget Responsibility 0:15:42.720 --> 0:15:46.000 chairmans appointed, so it's not unusual for the Chancellor to 0:15:46.040 --> 0:15:48.800 be having this meeting. But there are no records of 0:15:48.840 --> 0:15:51.400 the Prime Minister joining any of the budget rounds over 0:15:51.400 --> 0:15:53.840 the past six years, so that in itself is odd. 0:15:54.080 --> 0:15:57.600 There's been a debate raging on Twitter about what the 0:15:57.640 --> 0:16:01.760 intention was. Were they trying to on the independent Forecaster? 0:16:02.120 --> 0:16:03.880 Are they going cap in hand to the o b 0:16:04.080 --> 0:16:06.840 R to try and get back some of the credibility 0:16:06.920 --> 0:16:09.440 with markets, because of course it was the lack of 0:16:09.440 --> 0:16:13.320 the forecast that partly offended markets about the budget. What 0:16:13.480 --> 0:16:16.600 we know coming out of this meeting is that the 0:16:16.600 --> 0:16:21.120 Treasury isn't challenge changing its fiscal plan after this meeting, 0:16:21.560 --> 0:16:24.760 and the Fiscal Watchdog says that it's forecast when it 0:16:24.840 --> 0:16:28.000 comes is going to be based on its independent judgment 0:16:28.800 --> 0:16:31.680 of the economic and fiscal prospects and the and and 0:16:31.720 --> 0:16:34.640 the impact of the government's policies in its own words. 0:16:34.840 --> 0:16:37.760 So the o B are very much standing confirm that 0:16:37.880 --> 0:16:40.800 it is not going to be weighed on by the Government. Well, 0:16:40.840 --> 0:16:44.920 what does this mean, Lizzie for the new UK prime 0:16:44.960 --> 0:16:50.120 Minister's tax cut plan. There's been a lot of worry 0:16:50.160 --> 0:16:52.360 about that, a lot of speculation that it's going to 0:16:52.400 --> 0:16:56.280 add even further to inflation. But at least in the 0:16:56.320 --> 0:17:00.360 public comments, Prime Minister Trust doesn't sound like she's backing 0:17:00.360 --> 0:17:04.240 down from this idea, not at all. It's trust. Quarteng 0:17:04.400 --> 0:17:08.400 and the Trade Secretary Kemmy Badenoch dug into their positions 0:17:08.440 --> 0:17:12.560 about this fiscal plan yesterday, all saying that these tax 0:17:12.600 --> 0:17:16.919 cuts are going to boost growth. Um. There's a private 0:17:17.119 --> 0:17:20.000 WhatsApp group of Tory MPs though, and one of our 0:17:20.080 --> 0:17:25.000 colleagues up Bloomberg has seen the messages of Quarteng pleading 0:17:25.040 --> 0:17:28.200 with Tory MPs saying we need your support to do 0:17:28.240 --> 0:17:30.879 all this as the only people who win if we 0:17:31.200 --> 0:17:34.400 if we divide is the Labor Party, so begging them 0:17:34.480 --> 0:17:37.040 to get behind him. But what we're also hearing is 0:17:37.080 --> 0:17:40.240 that some of these Tory MPs are begging for Quarting 0:17:40.280 --> 0:17:43.200 to quit just to give Liz Trust the political cover 0:17:43.359 --> 0:17:45.719 so that she can you turn on the tax cuts 0:17:45.800 --> 0:17:50.679 because they have gone down so badly politically and with markets. Wow, 0:17:50.760 --> 0:17:53.280 really interesting to get that behind the scenes. Look at 0:17:53.280 --> 0:17:56.520 what's happening in the Conservative Party. What are we expecting 0:17:56.560 --> 0:18:00.840 to come out publicly? With the Conservatives holding a party 0:18:00.920 --> 0:18:04.960 conference this weekend. Liz Trust can't be feeling good going 0:18:05.000 --> 0:18:08.399 into that now, and even worse, she'll be feeling because 0:18:08.400 --> 0:18:11.360 of this pole that was published in The Times by 0:18:11.480 --> 0:18:14.840 Yugov last night showing that the Labor Party has now 0:18:14.880 --> 0:18:17.560 got a thirty three point leads, the biggest pole lead 0:18:17.840 --> 0:18:21.600 of any UK political party in twenty years. Again, it's 0:18:21.680 --> 0:18:25.720 it's a response to the budget. And you've also got 0:18:25.840 --> 0:18:28.760 some of the political heavyweights like Rischie Sunach, the former 0:18:28.840 --> 0:18:31.080 Chancellor who of course ran against li Trust to be 0:18:31.160 --> 0:18:36.120 Prime Minister, sitting it out, not attending, and he says 0:18:36.160 --> 0:18:38.959 it's so that he can give Trust space. He's going 0:18:39.000 --> 0:18:43.879 to stay in his constituency. But coincidence, isn't it that 0:18:44.000 --> 0:18:46.280 lots of his allies are also going to be avoiding 0:18:46.280 --> 0:18:49.280 the conference. What I hear is that they simply cannot 0:18:49.320 --> 0:18:53.240 face doing broadcast media interviews where they have to defend 0:18:53.640 --> 0:18:56.800 these policies. Only about thirty seconds left here, Lizzie. But 0:18:56.880 --> 0:19:00.240 a big question is Liz Trust living on borrowed time 0:19:00.359 --> 0:19:04.399 right now? Well, technically she as a new prime Minister, 0:19:04.480 --> 0:19:07.760 should have twelve months safe from a vote of confidence. 0:19:08.119 --> 0:19:10.879 But the Tory Party likes to stay in power. So 0:19:11.040 --> 0:19:13.560 what Tories say to me is that the rules can 0:19:13.640 --> 0:19:16.920 easily change. We Tories like to stay in power. That's 0:19:16.920 --> 0:19:20.720 some things up, doesn't it, Liz. Lizzie Burden as always 0:19:20.760 --> 0:19:23.880 great to speak with you ahead of this party conference 0:19:23.880 --> 0:19:27.280 that's happening this weekend and following this emergency meeting where 0:19:27.320 --> 0:19:32.119 the Prime Minister herself appeared alongside her new Chancellor. With 0:19:32.240 --> 0:19:35.399 this emergency meeting at number ten Downing Street, Bloomberg Daybreak 0:19:35.440 --> 0:19:38.560 Europe is going to be live from the Tory conference 0:19:38.640 --> 0:19:41.280 on Monday. You're definitely gonna want to tune in for 0:19:41.359 --> 0:19:45.439 that to see what's happening with the new government in 0:19:45.480 --> 0:19:48.640 the UK. Looking at the futures this morning, they're moving 0:19:48.720 --> 0:19:51.080 high er SMP futures are up twenty eight points, Stal 0:19:51.200 --> 0:19:54.120 futures up undred eighty two. Nasdaq futures on the rise 0:19:54.160 --> 0:19:57.240 by eighty points. The tenure Treasury is up twenty four 0:19:57.359 --> 0:20:00.920 thirty seconds. The yield three point six eight percent. You're 0:20:00.960 --> 0:20:09.359 listening to Bloomberg Daybreak Bloomberg eleven three oh weather clouds today, 0:20:09.400 --> 0:20:12.200 upper sixties, will be in the mid sixties with light 0:20:12.320 --> 0:20:16.960 rain Tomorrow, showers on Sunday low sixties. Right now fifty 0:20:17.000 --> 0:20:27.879 three in Central Park, broadcasting live from the Bloomberg Interactive 0:20:27.920 --> 0:20:31.800 Broker Studio in New York. Bloomberg E Living Freedom to Washington, 0:20:31.880 --> 0:20:35.960 d C. Bloomberg to Boston, Bloomberg one O six one 0:20:36.080 --> 0:20:39.520 to San Francisco, Bloomberg NAM sixty to the country, Sirius 0:20:39.680 --> 0:20:42.840 XM Chento one nine, and around the globe the Bloomberg 0:20:42.880 --> 0:20:47.320 Business and Bloomberg Radio dot Com. This is Bloomberg Daybreak 0:20:52.760 --> 0:20:55.040 and at six thirty on Wall Street. Good morning. I'm 0:20:55.119 --> 0:20:57.960 Karen Moscow, I'm Nathan Hagar. We're about three hours away 0:20:57.960 --> 0:20:59.880 from the open of US trading time for the five 0:21:00.000 --> 0:21:01.879 things you need to notice start your day. Brought to 0:21:01.880 --> 0:21:05.280 you by I v KR Investment Advisors switched to Interactive 0:21:05.280 --> 0:21:08.680 Brokers for lowest cost global training and turnkey custody solutions, 0:21:08.680 --> 0:21:11.640 no ticket charges and no conflicts of your interests at 0:21:11.640 --> 0:21:15.119 ib kr dot com slash r I a up first 0:21:15.200 --> 0:21:17.720 hurricane and is due for a second landfall today north 0:21:17.720 --> 0:21:21.199 of Charleston, South Carolina. President Biden has declared an emergency 0:21:21.240 --> 0:21:24.639 for the entire state. South Carolina Governor Henry McMaster is 0:21:24.720 --> 0:21:27.880 urging residents to get ready, Call your family, call your 0:21:27.880 --> 0:21:30.920 love once, tell them where you're gonna be. Um Let 0:21:31.040 --> 0:21:33.199 let them know that so they won't be worried about 0:21:33.200 --> 0:21:35.760 you any Time to clean up and recovery in Florida's 0:21:35.840 --> 0:21:38.960 just getting started. Governor Rond Santa says first responders have 0:21:39.040 --> 0:21:42.520 performed more than seven hundred rescues. There's not been in 0:21:42.560 --> 0:21:47.120 these rescue efforts, um, you know, decease people found as 0:21:47.160 --> 0:21:50.000 of yet. Now that may change, of course, and Governor 0:21:50.040 --> 0:21:52.840 de Santa says the power outages in southwest Florida could 0:21:52.840 --> 0:21:56.080 be lengthy last for the markets. Nathan us futures are 0:21:56.160 --> 0:21:58.560 higher as you close out the trading week yesterday, the 0:21:58.720 --> 0:22:01.280 SNP five Hybready Clothes said a twenty two month low. 0:22:01.640 --> 0:22:05.399 Joanne Phoenie, as a portfolio manager at Adviser's Capital Management, 0:22:05.520 --> 0:22:07.520 you have to look back at history and recognize that 0:22:07.560 --> 0:22:09.919 the market sells off the most right, but tend to 0:22:10.080 --> 0:22:12.200 tend to do that before recessions begin, and they tried 0:22:12.240 --> 0:22:15.120 to recover before we even know officially that we've had 0:22:15.119 --> 0:22:18.040 a recession. And so for a long enough term investor, 0:22:18.119 --> 0:22:20.919