1 00:00:02,560 --> 00:00:06,120 Speaker 1: B from the Bloomberg Interacted Burger's Studios is Bloomberg day 2 00:00:06,160 --> 00:00:09,760 Speaker 1: Break for Monday, August fifteen two. Coming up the shower, 3 00:00:10,039 --> 00:00:14,040 Speaker 1: China's Central Bank unexpectedly cuts the interest rates. US China 4 00:00:14,080 --> 00:00:17,959 Speaker 1: relations in focus as a congressional delegation visits Taiwan. The 5 00:00:18,040 --> 00:00:21,720 Speaker 1: Fed releases minutes of its July policy meeting, and Walmart 6 00:00:21,760 --> 00:00:25,040 Speaker 1: Home Depot and Target lead a busy week for retailer earnings. 7 00:00:25,400 --> 00:00:28,560 Speaker 1: New York Governor wholecol speaks from where author Salmon Rushdie 8 00:00:28,640 --> 00:00:32,160 Speaker 1: was attacked. Plus New York State is cracking down on speeders, 9 00:00:32,280 --> 00:00:36,080 Speaker 1: especially this week. I'm Michael Vaughan. More ahead, I'm John Stage. 10 00:00:36,360 --> 00:00:38,680 Speaker 1: In sports, the Mets stay hot, they shut out the Phillies. 11 00:00:38,680 --> 00:00:41,919 Speaker 1: The Yankees slump continue to shut out loss in Boston. 12 00:00:44,479 --> 00:00:48,080 Speaker 1: That's All's training ahead on Bloomberg Daybreak on Bloomberg. He 13 00:00:48,159 --> 00:00:51,920 Speaker 1: Live in Free on New York, Bloomberg one, Washington d C, 14 00:00:52,400 --> 00:00:55,960 Speaker 1: Bloomberg one oh six one, Boston, Bloomberg nine sixties and 15 00:00:56,080 --> 00:00:59,920 Speaker 1: Francisco Sirius XM one nine Team, and around the world 16 00:01:00,160 --> 00:01:03,640 Speaker 1: on Bloomberg Radio dot Com and via the Bloomberg Business App. 17 00:01:07,280 --> 00:01:10,240 Speaker 1: Good Morning, I'm John Tucker and I'm Karen Moscow and 18 00:01:10,400 --> 00:01:13,280 Speaker 1: US stock index futures are lower this morning and we're 19 00:01:13,280 --> 00:01:15,240 Speaker 1: coming up to six o one on Wall Street. And 20 00:01:15,319 --> 00:01:17,559 Speaker 1: we checked the markets every fifteen minutes throughout the trading 21 00:01:17,640 --> 00:01:20,720 Speaker 1: day on Bloomberg S and P futures down twenty points down, 22 00:01:20,720 --> 00:01:23,680 Speaker 1: futures down a thirty nine and nowasday future is down 23 00:01:23,720 --> 00:01:26,959 Speaker 1: fifty five. The decks in Germany is little change ten 24 00:01:27,000 --> 00:01:29,840 Speaker 1: your treasury that'll change yield two point eight three percent, 25 00:01:29,920 --> 00:01:32,080 Speaker 1: and they yield on the two year three point to 26 00:01:32,319 --> 00:01:35,520 Speaker 1: five percent. John and Karen, we begin with a surprise 27 00:01:35,600 --> 00:01:39,120 Speaker 1: out of Asia. China's Central Bank is unexpensedly cut it's 28 00:01:39,200 --> 00:01:42,480 Speaker 1: key interest rate that as fresh data shows its economic 29 00:01:42,560 --> 00:01:46,800 Speaker 1: slowdown getting worse. Bloomberg Daybreak Asia anchor Brian Curtis is 30 00:01:46,840 --> 00:01:49,720 Speaker 1: more from Hong Kong, the PBOC cut it's one year 31 00:01:49,800 --> 00:01:52,800 Speaker 1: rate by ten basis points to two point seven five percent. 32 00:01:53,240 --> 00:01:56,040 Speaker 1: None of the twenty economy is pulled by Bloomberg expected 33 00:01:56,080 --> 00:01:59,320 Speaker 1: to change. The move comes as China's economy weakened in 34 00:01:59,440 --> 00:02:03,120 Speaker 1: July COVID outbreaks and the property crisis taking a toll 35 00:02:03,480 --> 00:02:06,280 Speaker 1: factory output up three point eight percent from a year 36 00:02:06,320 --> 00:02:10,160 Speaker 1: ago retail sales growing two point seven percent, while fixed 37 00:02:10,160 --> 00:02:13,480 Speaker 1: asset investment grew five point seven percent in the first 38 00:02:13,520 --> 00:02:16,519 Speaker 1: seven months of the year. All of those missing estimates 39 00:02:16,840 --> 00:02:19,600 Speaker 1: and China's home prices dropped an eleventh month in a 40 00:02:19,720 --> 00:02:23,359 Speaker 1: row in on Kong, Brian Curtis Bloomberg deybreak all right, Brian, 41 00:02:23,360 --> 00:02:26,280 Speaker 1: thank you. All. Stocks in Asia meantime finished mixed after 42 00:02:26,360 --> 00:02:28,840 Speaker 1: that surprise rate cut from the PBOC, and we get 43 00:02:28,840 --> 00:02:32,160 Speaker 1: the recap from Bloomberg's Juliette Sally in Singapore, Good Morning, Juliet, 44 00:02:32,240 --> 00:02:34,240 Speaker 1: Good morning John and Karen. Markets in Hong Kong and 45 00:02:34,320 --> 00:02:37,720 Speaker 1: China's struggled for direction after the July activity data was released, 46 00:02:37,720 --> 00:02:40,960 Speaker 1: While bonds rallied, the yield on China's tenure not dropping 47 00:02:40,960 --> 00:02:43,440 Speaker 1: as much as seven basis points, one of its steepest 48 00:02:43,480 --> 00:02:46,119 Speaker 1: drops since the onset of the pandemic. The off show 49 00:02:46,160 --> 00:02:49,799 Speaker 1: yuan fell along with the Kiwi and Ozzie dollas Japanese has. 50 00:02:49,840 --> 00:02:52,440 Speaker 1: The rallied then to to five, close to erasing its 51 00:02:52,480 --> 00:02:55,600 Speaker 1: losses for the year. Markets in South Korea and India 52 00:02:55,720 --> 00:02:59,840 Speaker 1: were closed. In Singapore, Juliette Sally Bloomberg deybreak Thanks Juliet 53 00:03:00,120 --> 00:03:02,639 Speaker 1: relations between the U S and Shina and focused once 54 00:03:02,680 --> 00:03:06,680 Speaker 1: again this morning. A US congratual delegation landed in Taiwan 55 00:03:06,800 --> 00:03:09,760 Speaker 1: over the weekend, and Bloomberg's Any Morris has details from 56 00:03:09,760 --> 00:03:14,440 Speaker 1: our newsroom in Washington. This delegation is led by Democratic 57 00:03:14,480 --> 00:03:17,839 Speaker 1: Senator Ed Markey of Massachusetts and tests whether China will 58 00:03:17,880 --> 00:03:21,240 Speaker 1: react more forcefully after how Speaker Nancy Pelosi went to 59 00:03:21,280 --> 00:03:24,320 Speaker 1: Taiwan earlier this month. The delegation is set to meet 60 00:03:24,320 --> 00:03:27,800 Speaker 1: with Taiwan's president and Minister of Foreign Affairs to discuss 61 00:03:27,840 --> 00:03:32,600 Speaker 1: bilateral relations, security, trade, and investment. The delegation will reaffirm 62 00:03:32,680 --> 00:03:36,440 Speaker 1: US support for Taiwan. Reuters sided China's embassy saying this 63 00:03:36,560 --> 00:03:39,840 Speaker 1: latest visit shows the US quote does not want to 64 00:03:39,880 --> 00:03:43,120 Speaker 1: cease stability in the region. In Washington, I'm Amy Morris, 65 00:03:43,160 --> 00:03:45,480 Speaker 1: Bloomberg Daybreak, right, Amy, thank you all back here in 66 00:03:45,480 --> 00:03:48,160 Speaker 1: the US as senior Democrats says he has not seen 67 00:03:48,240 --> 00:03:51,720 Speaker 1: any evidence the materials the FBI seas from Donald Trump's 68 00:03:51,760 --> 00:03:56,360 Speaker 1: home were properly declassified. The former president has seven documents 69 00:03:56,360 --> 00:03:59,240 Speaker 1: Wrenny classified, and his supporters claim he has the power 70 00:03:59,280 --> 00:04:02,720 Speaker 1: to classify documents on his own. Adam Shift, his chair 71 00:04:02,760 --> 00:04:05,600 Speaker 1: of the House Intelligence Committee, the former president has no 72 00:04:05,680 --> 00:04:09,480 Speaker 1: declassification authority, and the idea that, eighteen months after the fact, 73 00:04:09,520 --> 00:04:12,600 Speaker 1: donalka Trump Trump could simply announce, well, I'm you know, 74 00:04:13,800 --> 00:04:17,080 Speaker 1: retroactively declassifying or whatever I took home had the effect 75 00:04:17,120 --> 00:04:21,159 Speaker 1: of declassifying them is absurd. Adam Shift made the comments 76 00:04:21,200 --> 00:04:24,559 Speaker 1: on CDs is face the nation heard Sundays on Bloomberg Radio, 77 00:04:24,800 --> 00:04:27,000 Speaker 1: and turning to the economy, Now, the focus this week 78 00:04:27,040 --> 00:04:30,040 Speaker 1: comes Wednesday. That's when the Feller Reserve issues minutes of 79 00:04:30,080 --> 00:04:33,400 Speaker 1: its July policy meeting. Let's get more from Bloomberg's Vinny 80 00:04:33,440 --> 00:04:35,960 Speaker 1: tells you guys. The minutes could indicate whether FED chair 81 00:04:36,080 --> 00:04:38,520 Speaker 1: Jerome pale One tended to send a dovish signal the 82 00:04:38,600 --> 00:04:42,400 Speaker 1: July's post meeting news conference. Bloombrig Economics is betting he didn't, 83 00:04:42,440 --> 00:04:45,000 Speaker 1: and its full speed ahead on what the interest rates, 84 00:04:45,200 --> 00:04:48,680 Speaker 1: underpinned by royd sence among officials that the upside risk 85 00:04:48,720 --> 00:04:52,600 Speaker 1: to inflation is material. Turning to this week's key economic data, 86 00:04:52,800 --> 00:04:56,360 Speaker 1: US retail sales may show falling gasolene prices freed up 87 00:04:56,360 --> 00:04:59,679 Speaker 1: cash for such things as Amazon Prime Day, while rising 88 00:04:59,680 --> 00:05:04,920 Speaker 1: more traits put in housing starts Jude Bloomberg, Daybreak, Vinnie, 89 00:05:04,960 --> 00:05:07,240 Speaker 1: thank you. We'll retail will also be in focus when 90 00:05:07,240 --> 00:05:09,240 Speaker 1: it comes to earnings this week. Let me get the 91 00:05:09,279 --> 00:05:13,000 Speaker 1: story from Bloomberg's Charley Pellett. Walmart and Target let a 92 00:05:13,040 --> 00:05:16,440 Speaker 1: list of retailers issuing profit warnings last month. This week 93 00:05:16,480 --> 00:05:20,200 Speaker 1: they report, along with Home Depot, Low's, Cole's, Macy's, and 94 00:05:20,320 --> 00:05:24,360 Speaker 1: t j X. Laurie Calvacina's head of US equity strategy 95 00:05:24,360 --> 00:05:27,039 Speaker 1: at RBC Capital Markets, we would tell you we're not 96 00:05:27,200 --> 00:05:29,920 Speaker 1: entirely out of the woods from a market perspective in 97 00:05:30,000 --> 00:05:32,200 Speaker 1: terms of earnings right now, just because if there really 98 00:05:32,240 --> 00:05:35,680 Speaker 1: is a big macro slow downcoming economically, UM numbers do 99 00:05:35,800 --> 00:05:37,760 Speaker 1: still need to come down. But I think for the moment, 100 00:05:37,839 --> 00:05:42,240 Speaker 1: investors are You're just excited about the resilience that we're seeing. 101 00:05:42,360 --> 00:05:47,080 Speaker 1: Also reporting this week, Agile and Technologies, Analog Devices, Applied Materials, 102 00:05:47,320 --> 00:05:51,800 Speaker 1: Cisco Systems, and Deer in New York. Charlie Pellet, Bloomberg, 103 00:05:51,839 --> 00:05:55,359 Speaker 1: day Break, Thanks Shortly, we had earnings overseas out this weekend. 104 00:05:55,480 --> 00:05:59,960 Speaker 1: Saudi Aramco posted the biggest quarterly profit of any Let's 105 00:06:00,000 --> 00:06:03,080 Speaker 1: at company anywhere, net income at the South of Oil 106 00:06:03,160 --> 00:06:06,479 Speaker 1: Giant rose to forty eight point four billion dollars in 107 00:06:06,520 --> 00:06:09,599 Speaker 1: the second quarter from twenty five and a half billion 108 00:06:09,640 --> 00:06:12,880 Speaker 1: a year earlier. Well searching oil prices give a boost 109 00:06:12,880 --> 00:06:15,520 Speaker 1: to energy companies. John both oil and gas have come 110 00:06:15,600 --> 00:06:18,840 Speaker 1: down since there June Hies and US Energy Secretary Jennifer 111 00:06:18,839 --> 00:06:22,440 Speaker 1: Grandholmes says they may fall even further. Bloomberry said Baxter 112 00:06:22,520 --> 00:06:25,920 Speaker 1: has the details. The caveat, as always is the instability 113 00:06:25,920 --> 00:06:28,640 Speaker 1: of the globe. But Grant Holmes has given the four dollars. 114 00:06:28,640 --> 00:06:31,360 Speaker 1: Depending on the region we're seeing now, it should go 115 00:06:31,440 --> 00:06:34,479 Speaker 1: down even further. We'll probably drop to about three dollars 116 00:06:34,480 --> 00:06:37,840 Speaker 1: and seventy eight cents. So we hope that that's true, 117 00:06:37,880 --> 00:06:41,080 Speaker 1: but again it can be impacted by what's happening globally. 118 00:06:41,279 --> 00:06:44,320 Speaker 1: Grant Home on CNN says the President is monitoring very 119 00:06:44,320 --> 00:06:47,559 Speaker 1: closely and we'll do everything within his power to help. 120 00:06:47,760 --> 00:06:50,279 Speaker 1: In San Francisco, I'm at Baxter Bloomberg Gay Break, and 121 00:06:50,279 --> 00:06:53,159 Speaker 1: I think said some news on finances out of Russia now. 122 00:06:53,520 --> 00:06:56,720 Speaker 1: Major Wall Street banks, including JP Morgan Chason City Group 123 00:06:56,960 --> 00:07:00,880 Speaker 1: are reportedly offering to facilitate trades in Russia. Incorporate debt 124 00:07:00,920 --> 00:07:03,960 Speaker 1: and government bonds. Reuter's reports the move took place in 125 00:07:04,040 --> 00:07:06,839 Speaker 1: recent days after guidelines for the U. S. Treasury that 126 00:07:06,880 --> 00:07:10,800 Speaker 1: did allow US holders to wind down their positions ahead 127 00:07:10,800 --> 00:07:14,080 Speaker 1: of the market open. On Wall Street, Dow futures two 128 00:07:14,080 --> 00:07:18,160 Speaker 1: points lower and SMP futures down twenty two, Nasday futures 129 00:07:18,200 --> 00:07:24,240 Speaker 1: down fifty eight points and at six. I settled on 130 00:07:24,280 --> 00:07:26,240 Speaker 1: Wall Street time to bring in Michael Bard to find 131 00:07:26,280 --> 00:07:28,080 Speaker 1: out what else is going on in New York and 132 00:07:28,640 --> 00:07:30,680 Speaker 1: around the world. John, thank you very much, sir. And 133 00:07:30,720 --> 00:07:34,440 Speaker 1: Iranian government official Toni today that Tayron was involved in 134 00:07:34,440 --> 00:07:38,120 Speaker 1: the assault on author Salomon Rushty. The comments from arounds 135 00:07:38,160 --> 00:07:41,679 Speaker 1: Foreign Ministry come after Friday's attack on Rushdi and Western 136 00:07:41,680 --> 00:07:44,360 Speaker 1: New York. New York Governor Kathy Hoco spoke at the 137 00:07:44,360 --> 00:07:47,200 Speaker 1: side of where Rushty survived last week's knife attack. New 138 00:07:47,280 --> 00:07:51,120 Speaker 1: York State will always stand up to protect freedom of expression, 139 00:07:52,320 --> 00:07:58,520 Speaker 1: freedom of speech, and we condemned the cowardly attack. Governor 140 00:07:58,560 --> 00:08:02,480 Speaker 1: Hocole at the Chautaqua Institution promised freedom will always eclipse 141 00:08:02,480 --> 00:08:05,960 Speaker 1: hatred and oppression rust. He suffered a damage liver and 142 00:08:06,160 --> 00:08:09,520 Speaker 1: severed nerves and an arm and and I. However, he 143 00:08:09,680 --> 00:08:11,680 Speaker 1: is off a ventilator and is said to be on 144 00:08:11,720 --> 00:08:15,120 Speaker 1: the road to recovery his assailants, a twenty four year 145 00:08:15,160 --> 00:08:18,840 Speaker 1: old man from New Jersey, according to prosecutors, has pleaded 146 00:08:18,920 --> 00:08:23,240 Speaker 1: not guilty. More details have been disclosing yesterday shooting in 147 00:08:23,320 --> 00:08:27,480 Speaker 1: Jerusalem's Old City. Authorities in Israel say a Palestinian gunman 148 00:08:27,520 --> 00:08:30,720 Speaker 1: opened fire at a bus, wounding several passengers, among them 149 00:08:30,760 --> 00:08:34,400 Speaker 1: a New York family visiting the country. Three were from Brooklyn, 150 00:08:34,520 --> 00:08:38,240 Speaker 1: which Senate Majority Leader Chuck Schumer represents. During a briefing, 151 00:08:38,280 --> 00:08:41,160 Speaker 1: Schumer's shared details, he learned about one of the victims. 152 00:08:41,679 --> 00:08:45,400 Speaker 1: He was very brave. He bent down over his family 153 00:08:45,480 --> 00:08:49,439 Speaker 1: to protect them. He was shot in the neck, but 154 00:08:49,840 --> 00:08:52,720 Speaker 1: and they had him on a respirator, but it looks 155 00:08:52,760 --> 00:08:56,880 Speaker 1: like he will. His condition is improving. Senator Schumer says 156 00:08:56,960 --> 00:08:59,920 Speaker 1: this incident in Jerusalem follows a tense week between his 157 00:09:00,040 --> 00:09:04,200 Speaker 1: real and the Palestinians. Don't speed in New York State, 158 00:09:04,320 --> 00:09:07,640 Speaker 1: especially this week. The week long crackdown has started. Governor 159 00:09:07,720 --> 00:09:12,400 Speaker 1: Hulkel says there are countless risks and tragic consequences to speeding, 160 00:09:12,640 --> 00:09:14,880 Speaker 1: and I want all New Yorkers to be mindful of 161 00:09:14,920 --> 00:09:18,079 Speaker 1: the speed limits in your area. During last year's crackdown, 162 00:09:18,160 --> 00:09:21,680 Speaker 1: police gave out twenty three thousand speeding tickets. Russian President 163 00:09:21,760 --> 00:09:25,360 Speaker 1: Vladimir Putin offered to expand relations with North Korea, reaching 164 00:09:25,360 --> 00:09:28,120 Speaker 1: out to his neighbor as the Kremlin scours the globe 165 00:09:28,120 --> 00:09:31,960 Speaker 1: for weapons for its war in Ukraine. Amy winning film 166 00:09:32,040 --> 00:09:35,079 Speaker 1: and television actor and Haiti has died of injuries from 167 00:09:35,080 --> 00:09:38,480 Speaker 1: a fiery car crash. The spokeswoman says Haiti was peacefully 168 00:09:38,520 --> 00:09:42,280 Speaker 1: taken off life support and has was fifty three Global 169 00:09:42,320 --> 00:09:44,720 Speaker 1: News twenty four hours a day on air and on 170 00:09:44,800 --> 00:09:48,520 Speaker 1: Bloomberg Quick Take, powered by more than seven hundred journalist 171 00:09:48,559 --> 00:09:51,400 Speaker 1: and analysts more than a hundred twenty countries. I'm Michael Barr. 172 00:09:51,440 --> 00:09:56,960 Speaker 1: This is Bloomberg Jump Michael, thank you. Yes. Now six 173 00:09:57,040 --> 00:09:59,760 Speaker 1: ten on Wall Street. That's time for the Bloomberg Sports Update. 174 00:10:00,000 --> 00:10:02,880 Speaker 1: Here's John test Shower. Thanks John. Shutout win for the Mets, 175 00:10:02,920 --> 00:10:06,000 Speaker 1: shutout loss for the Yankees. Mets have now won seventeen 176 00:10:06,040 --> 00:10:08,319 Speaker 1: of their last twenty games. The Yanks have lost nine 177 00:10:08,360 --> 00:10:10,400 Speaker 1: of eleven. In Fenway, they had just two hits, struck 178 00:10:10,440 --> 00:10:13,040 Speaker 1: out eleven times, fell to the Red Sox. Three nothing. 179 00:10:13,080 --> 00:10:15,360 Speaker 1: The Socks win a series within the division for the 180 00:10:15,360 --> 00:10:18,000 Speaker 1: first time all year. Michael Waka, who had been out 181 00:10:18,000 --> 00:10:21,400 Speaker 1: since June with the injured shoulder, was dominant. Jamison Tyone 182 00:10:21,440 --> 00:10:23,880 Speaker 1: took the loss and ends a two and seven Yankee 183 00:10:23,960 --> 00:10:26,400 Speaker 1: road trip. You're Aaron ud Baseball. You know you're gonna 184 00:10:26,400 --> 00:10:30,800 Speaker 1: go like this. Um Every every team does. So it's 185 00:10:30,800 --> 00:10:34,080 Speaker 1: just about us. You're staying consistent. You know, I don't 186 00:10:34,280 --> 00:10:36,280 Speaker 1: sit on our woes here on our head. You know, 187 00:10:36,440 --> 00:10:38,480 Speaker 1: I'm not happy about it, but that's still a lot 188 00:10:38,480 --> 00:10:39,559 Speaker 1: of work to be done. It still a lot of 189 00:10:39,600 --> 00:10:41,600 Speaker 1: Thingthony to improve on and keep working on. They come 190 00:10:41,640 --> 00:10:43,880 Speaker 1: home for a nine game homestand three with Tampa Bay 191 00:10:43,920 --> 00:10:46,120 Speaker 1: starting tonight, and then four with Toronto, and then two 192 00:10:46,120 --> 00:10:47,960 Speaker 1: with the Mets, who now hit the road for the 193 00:10:48,000 --> 00:10:51,360 Speaker 1: next ten games, four in Atlanta, four in Philadelphia. Mets 194 00:10:51,400 --> 00:10:53,520 Speaker 1: just threw back to back shutouts with the Phillies, who 195 00:10:53,559 --> 00:10:56,240 Speaker 1: scort only two runs in the three game series. Chris 196 00:10:56,320 --> 00:10:58,480 Speaker 1: Bassett got his tent win four and inch from the bullpen. 197 00:10:58,559 --> 00:11:01,400 Speaker 1: The Mets won six to nothing. They are seventy five 198 00:11:01,480 --> 00:11:03,280 Speaker 1: and forty. It's the first time the Mets have been 199 00:11:03,280 --> 00:11:07,920 Speaker 1: thirty five games over five hundred. Jets quarterback Zack Wilson 200 00:11:07,960 --> 00:11:10,720 Speaker 1: headed l a for a knee procedure tomorrow that will 201 00:11:10,720 --> 00:11:13,080 Speaker 1: determine just how long he'll be out. Suffered a bone 202 00:11:13,080 --> 00:11:16,439 Speaker 1: bruise and torn meniscus in the preseason opener. Will's ALLATORUS 203 00:11:16,600 --> 00:11:18,920 Speaker 1: nearly won the US Open, nearly one the pg H, 204 00:11:19,160 --> 00:11:21,559 Speaker 1: but you have lost of the playoffs. In Memphis, finally 205 00:11:21,559 --> 00:11:23,920 Speaker 1: got his first career victory. It came in a playoff, 206 00:11:24,200 --> 00:11:26,439 Speaker 1: and in the start of the FedEx Cup playoffs. NBA 207 00:11:26,520 --> 00:11:30,200 Speaker 1: announced it's Christmas Day schedule. The Knicks will host Philadelphia, 208 00:11:30,240 --> 00:11:32,839 Speaker 1: but the Nets, perhaps because they might trade Kevin Durant, 209 00:11:32,920 --> 00:11:36,800 Speaker 1: will not be featured on Christmas. John Stashower, Bluebird Sports, John, 210 00:11:36,960 --> 00:11:39,000 Speaker 1: all right, thanks, so lunch had ahead of the cash 211 00:11:39,040 --> 00:11:41,600 Speaker 1: open on Wall Street. Futures in the red to risk 212 00:11:41,679 --> 00:11:44,440 Speaker 1: off so far this morning. The down futures down one 213 00:11:44,840 --> 00:11:47,040 Speaker 1: fifty nine points. That's a decline of about half a 214 00:11:47,080 --> 00:11:50,640 Speaker 1: percent right now, SMP even the futures twenty two points slower, 215 00:11:50,760 --> 00:11:53,280 Speaker 1: that's down half a percent. The dance dank you many 216 00:11:53,320 --> 00:11:57,000 Speaker 1: futures fifty three points slower, down four tenths of a percent. 217 00:11:57,640 --> 00:12:01,080 Speaker 1: Looking at crude oil Mymex crude at eighties seven, nineties 218 00:12:01,120 --> 00:12:03,720 Speaker 1: six and barrel that's down about four and a half percent. 219 00:12:03,840 --> 00:12:08,120 Speaker 1: This is Bloomberg and just ahead, China Central Bank delivers 220 00:12:08,160 --> 00:12:11,400 Speaker 1: a surprise rate cut. What does it all mean? We'll 221 00:12:11,400 --> 00:12:22,800 Speaker 1: head to Beijing and speak with Bloomberg's James Meager. Markets 222 00:12:22,920 --> 00:12:26,000 Speaker 1: headlines and breaking news twenty four hours a day at 223 00:12:26,040 --> 00:12:30,040 Speaker 1: Bloomberg dot Com, the Bloomberg Business at and at Bloomberg Quicktape. 224 00:12:30,200 --> 00:12:39,160 Speaker 1: This is a Bloomberg Business Flash and I'm Karen Moscow 225 00:12:39,160 --> 00:12:41,800 Speaker 1: and US Knock Index. Futures are slipping this morning and 226 00:12:41,880 --> 00:12:45,240 Speaker 1: commodities from oil to iron ore falling as disappointing data 227 00:12:45,280 --> 00:12:48,400 Speaker 1: from China further clouds the outlook for the global economy. 228 00:12:48,640 --> 00:12:51,120 Speaker 1: We checked the markets every fifteen minutes throughout the trading 229 00:12:51,200 --> 00:12:53,679 Speaker 1: day on Bloomberg s and p Future is down twenty 230 00:12:53,679 --> 00:12:56,319 Speaker 1: two points down, futures down a hundred sixty three and 231 00:12:56,400 --> 00:12:59,439 Speaker 1: asdack Future is down fifty four. The decks in Germany 232 00:12:59,520 --> 00:13:02,520 Speaker 1: little ship aanged ten, your treasury little change yeld two 233 00:13:02,520 --> 00:13:04,920 Speaker 1: point three percent. They yield on the two year three 234 00:13:04,920 --> 00:13:08,319 Speaker 1: point to five percent. Nimax. Screwed oil is down four 235 00:13:08,360 --> 00:13:11,080 Speaker 1: point four percent, down four dollars one cent at eighty 236 00:13:11,120 --> 00:13:13,920 Speaker 1: eight dollars eight cents of Barrel Comic School is down 237 00:13:13,960 --> 00:13:16,439 Speaker 1: one point three percent, or twenty three dollars sixty cents 238 00:13:16,440 --> 00:13:19,880 Speaker 1: at seventeen two Announce the euro one point one nine 239 00:13:19,960 --> 00:13:22,320 Speaker 1: eight against the dollar British found one point to zero 240 00:13:22,440 --> 00:13:25,040 Speaker 1: six six and the yen one thirty three point four seven. 241 00:13:25,320 --> 00:13:28,200 Speaker 1: And look at a bitcoin down sixtensive percent at twenty 242 00:13:28,200 --> 00:13:31,839 Speaker 1: four thousand, one eighty dollars. That's a Bloomberg business flash. 243 00:13:31,920 --> 00:13:34,200 Speaker 1: Now here's Michael Barr with more on what's going on 244 00:13:34,280 --> 00:13:36,959 Speaker 1: around the world. Michael Karen, thank you very much. China 245 00:13:37,000 --> 00:13:40,920 Speaker 1: announced more military drills around Taiwan as the island's president 246 00:13:41,040 --> 00:13:44,400 Speaker 1: met with members of a new US congressional delegation led 247 00:13:44,400 --> 00:13:49,040 Speaker 1: by Senator Ed Market. China regards formal contacts between US 248 00:13:49,120 --> 00:13:53,079 Speaker 1: politicians and the island's government as support for its independence 249 00:13:53,120 --> 00:13:56,800 Speaker 1: from Beijing. Russian diplomat says they are in talks right 250 00:13:56,800 --> 00:14:00,079 Speaker 1: now with the US about a possible prisoners swap for 251 00:14:00,280 --> 00:14:03,520 Speaker 1: w NBA star Britney Grinder. Grinder was sentenced to a 252 00:14:03,559 --> 00:14:07,560 Speaker 1: Russian prison for nine years on drug smuggling charges. In baseball, 253 00:14:07,600 --> 00:14:10,760 Speaker 1: the Red Sox be the Yankees three nothing. The match 254 00:14:10,760 --> 00:14:14,720 Speaker 1: shut out the Phillies six zip. The Nationals and Orioles lost. 255 00:14:15,080 --> 00:14:19,600 Speaker 1: The A's lost to the Astros six three the Giants one. 256 00:14:20,080 --> 00:14:22,680 Speaker 1: Global News twenty four hours a day on air and 257 00:14:22,880 --> 00:14:26,280 Speaker 1: on Bloomberg Quicktake, powered by more than twenty seven hundred 258 00:14:26,320 --> 00:14:28,920 Speaker 1: journalist and analysts more than a hundred twenty countries. I'm 259 00:14:28,960 --> 00:14:31,880 Speaker 1: Michael Barr, and this is Bloomberg Jump. Michael, thank you 260 00:14:31,880 --> 00:14:34,080 Speaker 1: for coming up on six twenty on Wall Street. We 261 00:14:34,120 --> 00:14:37,560 Speaker 1: are live from the Bloomberg intrant to Broker Studios. This 262 00:14:37,720 --> 00:14:41,000 Speaker 1: is Bloomberg Day. Prey. China Central Bank, as you've been hearing, 263 00:14:41,080 --> 00:14:44,280 Speaker 1: is delivered a surprise rate cut. Could be an indication 264 00:14:44,320 --> 00:14:46,760 Speaker 1: of just how band the economic picture has gotten in 265 00:14:46,800 --> 00:14:50,520 Speaker 1: the world's second largest economy. Joining us this morning with 266 00:14:50,560 --> 00:14:54,080 Speaker 1: more in Bloomberg's James Maker, Economics Senator for Asia, joining 267 00:14:54,120 --> 00:14:57,600 Speaker 1: us from Beijing this morning or this evening. James, Thanks 268 00:14:57,600 --> 00:14:59,680 Speaker 1: for me with us. Wh appreciate it. What is the 269 00:14:59,760 --> 00:15:04,240 Speaker 1: date of talents about China's economy the day of this morning? 270 00:15:04,280 --> 00:15:07,280 Speaker 1: You know it was surprisingly bad. You saw not just 271 00:15:07,400 --> 00:15:10,240 Speaker 1: a poor retail sales, which I think was expected. You know, 272 00:15:10,600 --> 00:15:13,239 Speaker 1: the COVID lockdowns that have you know that have continued 273 00:15:13,680 --> 00:15:18,000 Speaker 1: have really damaged China's retail market and consumption and tourism, 274 00:15:18,080 --> 00:15:20,760 Speaker 1: the services sector. But you also saw really bad numbers 275 00:15:20,760 --> 00:15:23,240 Speaker 1: for the industrial industrial outport. You know, we saw steel 276 00:15:23,240 --> 00:15:27,240 Speaker 1: production was the lowest since miden Cement, production was down, 277 00:15:27,320 --> 00:15:30,400 Speaker 1: glass production was down. You know, computers and phone production 278 00:15:30,480 --> 00:15:34,360 Speaker 1: was also down. So, you know, so surprisingly bad across 279 00:15:34,400 --> 00:15:36,760 Speaker 1: the board. And I think you saw you you saw 280 00:15:36,760 --> 00:15:39,000 Speaker 1: a reaction to that just before the numbers came out. 281 00:15:39,000 --> 00:15:41,200 Speaker 1: When then, as you said, the PBOC came out with 282 00:15:41,280 --> 00:15:43,840 Speaker 1: a not with a rate cut, which was which was 283 00:15:43,920 --> 00:15:46,280 Speaker 1: very there was expected by none of the economists that 284 00:15:46,320 --> 00:15:49,400 Speaker 1: we surveyed, and sort of goes against their policy, which is, 285 00:15:49,760 --> 00:15:51,640 Speaker 1: you know, since January of this year, they've been saying 286 00:15:51,640 --> 00:15:54,640 Speaker 1: that there there was enough stimulus and there isn't any 287 00:15:54,640 --> 00:15:56,960 Speaker 1: need for more action from the Central Bank. How did 288 00:15:57,000 --> 00:16:00,800 Speaker 1: trying to get to this point? The two things I 289 00:16:00,800 --> 00:16:02,800 Speaker 1: think that are driving this one is obviously the covered 290 00:16:02,840 --> 00:16:05,160 Speaker 1: zero policy. Then you know the huge lockdowns we saw 291 00:16:05,240 --> 00:16:08,520 Speaker 1: in April and May in uh in Shanghai and Jina 292 00:16:08,560 --> 00:16:11,200 Speaker 1: and and other places in really in other places and 293 00:16:11,280 --> 00:16:14,520 Speaker 1: trying to really damage the economy. We you know, in 294 00:16:14,560 --> 00:16:17,240 Speaker 1: a normal country where you know government statistics, where you 295 00:16:17,280 --> 00:16:19,680 Speaker 1: know not what they are here, I think in the 296 00:16:19,680 --> 00:16:22,200 Speaker 1: company would have gone into a session. But even without that, 297 00:16:22,280 --> 00:16:25,640 Speaker 1: I mean, it was clear that economic activity really slowed. 298 00:16:25,800 --> 00:16:27,960 Speaker 1: The second thing that's really caused this is a massive 299 00:16:27,960 --> 00:16:30,480 Speaker 1: flow down. Housing market prices have been falling now for 300 00:16:30,520 --> 00:16:33,640 Speaker 1: eleven months. Property sales home sales have been falling for 301 00:16:33,680 --> 00:16:36,920 Speaker 1: a basically a year now. Large numbers of property developers 302 00:16:36,920 --> 00:16:40,720 Speaker 1: have declared bankruptcy or in trouble, stopped they've stopped producing 303 00:16:40,720 --> 00:16:42,920 Speaker 1: the houses, they've stopped building the houses, and now more 304 00:16:42,960 --> 00:16:45,200 Speaker 1: and more people are stopping paying their mortgages on the 305 00:16:45,240 --> 00:16:47,680 Speaker 1: houses they haven't been delivered. So, you know, those two 306 00:16:47,680 --> 00:16:51,400 Speaker 1: things combined, the covered zero thing is is shutting down 307 00:16:51,400 --> 00:16:54,160 Speaker 1: industrial production in some places when when they have a lockdown, 308 00:16:54,320 --> 00:16:57,160 Speaker 1: it's also hitting the consumer side of the economy. And 309 00:16:57,200 --> 00:16:59,240 Speaker 1: then you know, housing is such a big portion of 310 00:16:59,320 --> 00:17:02,560 Speaker 1: China's economy and that's in this you know continuing slump, 311 00:17:02,560 --> 00:17:04,760 Speaker 1: and those two things combined it really sort of you know, 312 00:17:05,320 --> 00:17:07,520 Speaker 1: you saw that the results of that are clear in 313 00:17:07,560 --> 00:17:09,960 Speaker 1: the data that came out today. There's a rate cut enough. 314 00:17:11,840 --> 00:17:15,399 Speaker 1: We saw in July we saw the lowest borrowing levels 315 00:17:15,400 --> 00:17:18,520 Speaker 1: of borrowing by households and companies in at least five 316 00:17:18,640 --> 00:17:22,920 Speaker 1: years UH and by yet, the the inter bank rates 317 00:17:23,000 --> 00:17:25,600 Speaker 1: are very very low right now, which indicates that banks 318 00:17:25,640 --> 00:17:27,280 Speaker 1: have a lot of money. It's so it's not the 319 00:17:27,280 --> 00:17:29,040 Speaker 1: fact that they can't lend money, it's the fact that 320 00:17:29,040 --> 00:17:32,600 Speaker 1: noyone wants to borrow money. So whether a tempasis point 321 00:17:33,160 --> 00:17:35,840 Speaker 1: rate cut isn't really going to change that dynamic. The 322 00:17:35,840 --> 00:17:37,720 Speaker 1: problem is not the banks don't have enough money, or 323 00:17:37,720 --> 00:17:39,879 Speaker 1: that the cost of money is too high. The problem 324 00:17:39,920 --> 00:17:41,960 Speaker 1: is that that there's not enough demand for cash. There's 325 00:17:42,080 --> 00:17:44,320 Speaker 1: enough demand from companies to borrow money because they're not 326 00:17:44,359 --> 00:17:46,440 Speaker 1: confident about investing in the future, so they're not taking 327 00:17:46,440 --> 00:17:48,600 Speaker 1: on more debt. And households don't want to borrow money 328 00:17:48,600 --> 00:17:50,760 Speaker 1: because they don't want to buy a house because prices 329 00:17:50,800 --> 00:17:52,920 Speaker 1: of houses are falling right now, and obviously you're not 330 00:17:52,960 --> 00:17:55,320 Speaker 1: going to buy an asset where the price is going 331 00:17:55,359 --> 00:17:57,840 Speaker 1: to continue to fall. So I don't think a rate 332 00:17:57,880 --> 00:17:59,600 Speaker 1: cut is going to be enough to turn this around. 333 00:17:59,600 --> 00:18:02,040 Speaker 1: I mean, the problem is not a problem, as I said, 334 00:18:02,040 --> 00:18:05,040 Speaker 1: it's not it's not supply, it's demand. They really have 335 00:18:05,119 --> 00:18:07,720 Speaker 1: to change the dynamic, especially what's happening in the housing market. 336 00:18:08,359 --> 00:18:11,120 Speaker 1: But also you know, an expectation that if they did 337 00:18:11,200 --> 00:18:13,760 Speaker 1: change the COVID zero policies and stop locking people down, 338 00:18:14,080 --> 00:18:16,080 Speaker 1: maybe that would in the long term lead to more 339 00:18:16,600 --> 00:18:20,080 Speaker 1: stable consumption. Is suing Ping on the ropes right now. 340 00:18:21,160 --> 00:18:22,840 Speaker 1: I don't think that's on the cards. I mean c 341 00:18:23,040 --> 00:18:25,840 Speaker 1: Jumping is looking in the next couple of months, maybe 342 00:18:25,880 --> 00:18:28,560 Speaker 1: in September October, you're going to have the party congress, 343 00:18:28,600 --> 00:18:30,879 Speaker 1: which was you know, there's no way, there's no reason 344 00:18:30,920 --> 00:18:32,399 Speaker 1: to think that he's not going to be confirmed as 345 00:18:32,480 --> 00:18:36,720 Speaker 1: China's leader for a third term. So whether that what 346 00:18:36,800 --> 00:18:38,679 Speaker 1: may happen. What may be happening right now within the 347 00:18:38,720 --> 00:18:41,280 Speaker 1: party is people that sh Jmping is supporting for a 348 00:18:41,320 --> 00:18:44,359 Speaker 1: lower level officials maybe won't be getting as much support 349 00:18:44,440 --> 00:18:46,760 Speaker 1: from the Communist Party and other people who might have 350 00:18:46,800 --> 00:18:49,720 Speaker 1: different ideas about their carey policy may get more support. 351 00:18:49,960 --> 00:18:52,720 Speaker 1: But it's it's completely opaque what's going on. But I 352 00:18:52,720 --> 00:18:55,359 Speaker 1: mean s Jimping is going to be confirmed as China's leader, 353 00:18:55,720 --> 00:18:58,119 Speaker 1: you know, in whenever the party meeting happens. In the 354 00:18:58,280 --> 00:19:01,720 Speaker 1: in the next couple of months. The economic problems that 355 00:19:01,840 --> 00:19:05,000 Speaker 1: China is having the probably make his position more difficult. 356 00:19:05,600 --> 00:19:08,399 Speaker 1: What's the in thirty seconds, what's the next thing we 357 00:19:08,400 --> 00:19:12,000 Speaker 1: should be looking for? I think you're gontas continue to 358 00:19:12,040 --> 00:19:14,199 Speaker 1: see week input to math from China. If you're an X, 359 00:19:14,280 --> 00:19:16,840 Speaker 1: if you're a commodity exploiting country, you shouldn't be looking 360 00:19:16,840 --> 00:19:19,119 Speaker 1: at China to be to be boosting your exports in 361 00:19:19,160 --> 00:19:21,159 Speaker 1: the next six months. If you are a company that 362 00:19:21,240 --> 00:19:23,640 Speaker 1: selling products in China, you shouldn't be looking at China 363 00:19:23,680 --> 00:19:25,600 Speaker 1: to be boosting your sales in the next six months. 364 00:19:25,800 --> 00:19:30,000 Speaker 1: All right, James Pleasure. We appreciated Bloombergs James Meager, Economics 365 00:19:30,000 --> 00:19:33,240 Speaker 1: senator for Asia from Beijing this morning after the surprise 366 00:19:33,320 --> 00:19:36,959 Speaker 1: rate cup from the PBOC, and that is having an 367 00:19:36,960 --> 00:19:40,760 Speaker 1: effect on markets worldwide. It's risk off in the US, 368 00:19:40,920 --> 00:19:42,679 Speaker 1: at least for now ahead of they can show up 369 00:19:42,760 --> 00:19:45,720 Speaker 1: on Wall Street. The Dow futures on eighty one point slower. 370 00:19:46,160 --> 00:19:49,240 Speaker 1: The SMB futures are twenty four points slower than asset 371 00:19:49,320 --> 00:19:52,960 Speaker 1: futures right now, down sixty points. We are seeing in 372 00:19:53,000 --> 00:19:57,440 Speaker 1: the commodity space, Nimax crew down to eighties seven eight 373 00:19:57,600 --> 00:20:00,840 Speaker 1: three barrel. That's down over four and a half percent. 374 00:20:01,280 --> 00:20:07,680 Speaker 1: You're listening to Bloomberg day Break and the Bloomberg Weather 375 00:20:07,760 --> 00:20:11,200 Speaker 1: from meteorologist Rob Caroline. This morning, partly sunny day on tap, 376 00:20:11,240 --> 00:20:15,720 Speaker 1: the high temperature in the mid eighties, cloudy tonight seventy. 377 00:20:15,880 --> 00:20:18,879 Speaker 1: Tomorrow's out look partly to mostly sunny, the height to 378 00:20:19,080 --> 00:20:25,960 Speaker 1: eighty five. Broadcasting live from the Bloomberg Interactive Broker Studio 379 00:20:26,080 --> 00:20:29,240 Speaker 1: in New York, Bloomberg Living Freed to Washington, d C. 380 00:20:29,440 --> 00:20:34,159 Speaker 1: Bloomberg to Boston, Bloomberg one six one to San Francisco, 381 00:20:34,200 --> 00:20:37,680 Speaker 1: Bloomberg nine sixty to the Country, Sirius XM Cho one 382 00:20:37,760 --> 00:20:40,840 Speaker 1: nine and around the globe, the Bloomberg Business app and 383 00:20:40,920 --> 00:20:52,040 Speaker 1: Bloomberg Radio dot Com. This is Bloomberg Daybreak. It's six 384 00:20:52,080 --> 00:20:54,639 Speaker 1: thirty on wool Street. Good morning. I'm John Tucker and 385 00:20:54,680 --> 00:20:57,439 Speaker 1: I'm Karen Moscow and we are just about three hours 386 00:20:57,480 --> 00:20:59,639 Speaker 1: away from the open of US training. It's time to 387 00:20:59,680 --> 00:21:01,800 Speaker 1: the five things you need to notice start your day. 388 00:21:01,840 --> 00:21:05,920 Speaker 1: Brought to you by Interactive Brokers. Interactive Brokers Global Analysts 389 00:21:05,920 --> 00:21:08,960 Speaker 1: helps you find a global investment opportunities to diversify your 390 00:21:09,000 --> 00:21:13,040 Speaker 1: portfolio and discover undervalued companies, I mean a greater growth potential. 391 00:21:13,240 --> 00:21:16,080 Speaker 1: Try ibk our Global analysts today at ib k R 392 00:21:16,200 --> 00:21:20,160 Speaker 1: dot com slash g A. At first, a surprise in Asia, 393 00:21:20,320 --> 00:21:23,560 Speaker 1: China's Central Bank unexpectedly cut its key interest rate ten 394 00:21:23,800 --> 00:21:27,720 Speaker 1: basis points after data show July retail sales, investment, and 395 00:21:27,800 --> 00:21:31,520 Speaker 1: industrial output missed estimates. Bloom Bars and The Current says 396 00:21:31,560 --> 00:21:34,560 Speaker 1: it all signals trouble for the Chinese economy. All of 397 00:21:34,600 --> 00:21:37,640 Speaker 1: his thought it was weak. But the reasons especially concerning 398 00:21:37,760 --> 00:21:39,520 Speaker 1: is because July was meant to be the good month. 399 00:21:39,640 --> 00:21:41,520 Speaker 1: July was meant to be, to think, the month when 400 00:21:41,560 --> 00:21:44,160 Speaker 1: things pick up a bit of momentum again. The third 401 00:21:44,240 --> 00:21:46,080 Speaker 1: quarter was supposed to be better than the second quarter 402 00:21:46,320 --> 00:21:47,960 Speaker 1: and all the rest of it. But of course it's 403 00:21:47,960 --> 00:21:51,359 Speaker 1: now underscores just how much pressure Shaina's economy is actually under. 404 00:21:51,560 --> 00:21:54,240 Speaker 1: And Bloomberg's and the Current says the rate cut shows 405 00:21:54,240 --> 00:21:57,920 Speaker 1: how concerned Chinese officials are about the deepening economic slowdown. 406 00:21:58,080 --> 00:21:59,520 Speaker 1: And back here in the U, s will get a 407 00:21:59,520 --> 00:22:04,360 Speaker 1: couple of data points about the economy this week, Julyants 408 00:22:04,359 --> 00:22:07,320 Speaker 1: five minutes and retail sales. They'll be released on Wednesday. 409 00:22:07,880 --> 00:22:11,119 Speaker 1: China and US relations are in focus once again this morning, John, 410 00:22:11,160 --> 00:22:14,480 Speaker 1: as another U. S congressional delegation has landed in Taiwan. 411 00:22:14,720 --> 00:22:18,280 Speaker 1: It's led by Democratic Senator at Marketam, Massachusetts. The delegation 412 00:22:18,359 --> 00:22:20,600 Speaker 1: is set to meet what Taiwant's president and Minister of 413 00:22:20,600 --> 00:22:24,439 Speaker 1: Foreign Affairs and will reaffirm US support for Taiwan and 414 00:22:24,480 --> 00:22:27,280 Speaker 1: bank in Washington and senior Democrats says he hasn't seen 415 00:22:27,359 --> 00:22:31,040 Speaker 1: any evidence that materials the MBI sees from Donald Trump's 416 00:22:31,040 --> 00:22:34,960 Speaker 1: home were properly declassified. Last week, the former president said 417 00:22:34,960 --> 00:22:39,119 Speaker 1: the documents were all classified declassified that is. Adam Schiff 418 00:22:39,320 --> 00:22:42,680 Speaker 1: is chair of the House Intelligence Committee. He says is absurd. 419 00:22:42,760 --> 00:22:47,440 Speaker 1: The president could retroactively declassify materials anyone in the intelligence 420 00:22:47,440 --> 00:22:51,040 Speaker 1: community that had documents like that, or they would be 421 00:22:51,119 --> 00:22:54,719 Speaker 1: under serious investigation. Adam Schiff making the comments on CBS's 422 00:22:54,760 --> 00:22:58,680 Speaker 1: face the nation heard Sunday's on Bloomberg Radio. Well the 423 00:22:58,720 --> 00:23:01,679 Speaker 1: oil Now, John first ever see Saudi Aramco posting the 424 00:23:01,680 --> 00:23:05,640 Speaker 1: biggest quarterly profit of any listed company anywhere, with net 425 00:23:05,680 --> 00:23:08,520 Speaker 1: income rising to forty eight point four billion dollars in 426 00:23:08,560 --> 00:23:11,679 Speaker 1: the second quarter, while searching oil prices propelled to Ramco 427 00:23:11,760 --> 00:23:14,480 Speaker 1: results last quarter. Both oil and gas that come down 428 00:23:14,560 --> 00:23:18,040 Speaker 1: since they're June highs, and Energy Secretary Jennifer Grindholme tells 429 00:23:18,040 --> 00:23:21,520 Speaker 1: CNN it may fall leven further. The price in the 430 00:23:21,600 --> 00:23:24,600 Speaker 1: fourth quarter of this year per Dallen will probably drop 431 00:23:24,640 --> 00:23:27,720 Speaker 1: to about three dollars and seventy eight cents. We hope 432 00:23:27,760 --> 00:23:31,040 Speaker 1: that that's true. And that's Energy Secretary Grandham. That's the 433 00:23:31,080 --> 00:23:33,000 Speaker 1: find things you need to notice start your day. Brought 434 00:23:33,080 --> 00:23:41,040 Speaker 1: to you by Interactive Brokers. And it is now sixty 435 00:23:41,119 --> 00:23:44,080 Speaker 1: three Wall Street, and it's time for a look at 436 00:23:44,119 --> 00:23:47,240 Speaker 1: world news from around the world and in New York. 437 00:23:47,400 --> 00:23:50,200 Speaker 1: And for that there's Bloomberg's Michael Bars. Yeah, thank you 438 00:23:50,280 --> 00:23:53,680 Speaker 1: very much, sir. Author Salman Rushti is off eventually inter 439 00:23:53,760 --> 00:23:55,440 Speaker 1: and is said to be on the road to recovery. 440 00:23:55,520 --> 00:23:58,840 Speaker 1: New York's Governor Kaffe Hukel called the stabbing of Rushti 441 00:23:58,960 --> 00:24:01,320 Speaker 1: allegedly carried out by a twenty four year old New 442 00:24:01,359 --> 00:24:05,879 Speaker 1: jerseyman quote cowardly HOCl in Western New York spoke at 443 00:24:05,880 --> 00:24:08,560 Speaker 1: the site where rushed. He survived a knife attack on Friday. 444 00:24:08,840 --> 00:24:12,919 Speaker 1: We can damn any individual or any group that dare 445 00:24:13,200 --> 00:24:16,679 Speaker 1: violates the safety of a place like the tako or 446 00:24:16,720 --> 00:24:20,639 Speaker 1: to an attempt an assassination on a world leader that 447 00:24:20,840 --> 00:24:25,439 Speaker 1: cannot happen in New York. You're standing up pocol At. 448 00:24:25,480 --> 00:24:28,800 Speaker 1: The Chautauqua Institution says we will always defend a quote, 449 00:24:28,840 --> 00:24:32,560 Speaker 1: freedom of expression and freedom of speech. We're learning more 450 00:24:32,600 --> 00:24:36,679 Speaker 1: details about yesterday shooting in Jerusalem's Old City. Authorities in 451 00:24:36,720 --> 00:24:40,199 Speaker 1: Israel saying Palestinian gunmen opened fire at a bus, wounding 452 00:24:40,240 --> 00:24:44,439 Speaker 1: several passengers, among them three people from Brooklyn, where Senate 453 00:24:44,480 --> 00:24:48,400 Speaker 1: Majority Leader Chuck Schumer represents. It hits close to club home. 454 00:24:49,119 --> 00:24:52,000 Speaker 1: Three of the families three of those who were shot 455 00:24:52,480 --> 00:24:57,840 Speaker 1: were American and from Brooklyn from Williamsburg. Senator Schumer says 456 00:24:57,840 --> 00:25:01,639 Speaker 1: one of the victims wounded is improving. Russian President Vladimir 457 00:25:01,640 --> 00:25:05,040 Speaker 1: Putin has found to expand relations with North Korea's Kim Johannon. 458 00:25:05,520 --> 00:25:08,560 Speaker 1: The move may complicate President Joe Biden's pushed to isolate 459 00:25:08,640 --> 00:25:12,359 Speaker 1: North Korea. Putin sent a congratulatory message to North Korea 460 00:25:12,480 --> 00:25:15,720 Speaker 1: for its Liberation Day holiday today, marking the end of 461 00:25:15,800 --> 00:25:20,399 Speaker 1: Japan's nineteen ten through ninety five colonial rule over the 462 00:25:20,480 --> 00:25:23,880 Speaker 1: Korean Peninsula, just weeks after he was sentenced the thirty 463 00:25:23,920 --> 00:25:27,080 Speaker 1: years in prison in New York. R Kelly's federal trial 464 00:25:27,160 --> 00:25:31,920 Speaker 1: in Chicago starts today. Legal analists gil Sofur says multiple 465 00:25:31,960 --> 00:25:34,720 Speaker 1: women will testify about being abused when they were miners, 466 00:25:35,080 --> 00:25:38,600 Speaker 1: may face tough questions from defense attorneys. Well, they simply 467 00:25:38,640 --> 00:25:42,119 Speaker 1: try to cast out on everything by calling all the 468 00:25:42,119 --> 00:25:45,080 Speaker 1: the miners now adults who are going to testify liars, 469 00:25:45,600 --> 00:25:49,920 Speaker 1: they may, Legal Analists gil Sofur spoke to ABC. Jury 470 00:25:49,960 --> 00:25:52,720 Speaker 1: selection in the case gets underway today. New York State 471 00:25:52,920 --> 00:25:55,879 Speaker 1: is cracking down on speeders this week. Governor Kathy Oakel 472 00:25:55,960 --> 00:25:59,000 Speaker 1: says this enforcement campaign will be crucial for not only 473 00:25:59,040 --> 00:26:01,840 Speaker 1: to catch speeders, but also to encourage all drivers to 474 00:26:02,119 --> 00:26:06,320 Speaker 1: maintain safe speeds on our roadways. Last year, about twenties 475 00:26:06,320 --> 00:26:09,359 Speaker 1: three thousand tickets were handed out during the crackdown period. 476 00:26:09,760 --> 00:26:12,280 Speaker 1: Global News twenty four hours a day on air and 477 00:26:12,480 --> 00:26:15,720 Speaker 1: on Bloomberg Quicktake, powered by more than twenty seven under 478 00:26:15,760 --> 00:26:18,160 Speaker 1: journalist and analyists more than a hundred twenty countries. I'm 479 00:26:18,200 --> 00:26:24,480 Speaker 1: Michael bar This is Bloomberg, John Michael, thank you. Yeah. 480 00:26:24,480 --> 00:26:26,520 Speaker 1: That sounds six thirty six on Wall Street this time 481 00:26:26,600 --> 00:26:29,640 Speaker 1: for the Bloomberg Sports Update. Here's John Stown Show all right, John. 482 00:26:29,680 --> 00:26:32,040 Speaker 1: Yankee Red Sox games, they usually tend to drag on, 483 00:26:32,280 --> 00:26:34,840 Speaker 1: sometimes for more than four hours. Last night at Fenway Park, 484 00:26:34,920 --> 00:26:38,480 Speaker 1: a crisp two hours fifteen minutes. That's tied for the 485 00:26:38,600 --> 00:26:43,040 Speaker 1: shortest Yankee Red Sox game since the Sox won three nothing. 486 00:26:43,119 --> 00:26:45,880 Speaker 1: The Yanks managed just two hits against Michael Walker, who 487 00:26:45,880 --> 00:26:49,560 Speaker 1: hadn't pitched since June to his shoulder injury. Tommy fam 488 00:26:49,560 --> 00:26:51,600 Speaker 1: who had the walk off hit on Friday, out hit 489 00:26:51,640 --> 00:26:54,520 Speaker 1: the Yankees by himself. He had three hits rappidvers to 490 00:26:54,720 --> 00:26:57,840 Speaker 1: run homer off loser Jamison tay On. So the Yankee 491 00:26:57,840 --> 00:27:01,240 Speaker 1: tailspin continues at two and seven road trip, nine losses 492 00:27:01,280 --> 00:27:03,840 Speaker 1: in the last eleven games, no back to back win 493 00:27:04,000 --> 00:27:06,840 Speaker 1: since July. Still attend game division lead, but they're now 494 00:27:06,880 --> 00:27:09,600 Speaker 1: two and a half games behind Houston for best record 495 00:27:09,600 --> 00:27:11,840 Speaker 1: in the American Lady the Yankster back home tonight to 496 00:27:11,920 --> 00:27:14,320 Speaker 1: play Tampa Bay. The Mets are in Atlanta. They lead 497 00:27:14,359 --> 00:27:16,119 Speaker 1: the Braves by five and a half. The Mets with 498 00:27:16,200 --> 00:27:18,960 Speaker 1: a second straight shut out of the Phillies six. Do 499 00:27:19,080 --> 00:27:22,320 Speaker 1: not think Chris Bassett four relievers combined to beat x 500 00:27:22,359 --> 00:27:24,520 Speaker 1: met Zack Wheeler a home run for Daniel Vogel back 501 00:27:24,560 --> 00:27:28,320 Speaker 1: and Francisco Lindor bro kose Reys record for r b 502 00:27:28,440 --> 00:27:30,000 Speaker 1: I s by a met short stop. The Mets have 503 00:27:30,080 --> 00:27:33,560 Speaker 1: won seventeen to the last twenty forty home wins. That's 504 00:27:33,560 --> 00:27:36,960 Speaker 1: as many as overall losses and thirty five games over 505 00:27:36,960 --> 00:27:41,040 Speaker 1: five hundred for the first time since Jets quarterback Zack Wilson, 506 00:27:41,080 --> 00:27:43,560 Speaker 1: who went down early in the preseason opener, will have 507 00:27:43,720 --> 00:27:47,399 Speaker 1: minor knee surgery tomorrow. The feeling is out two to 508 00:27:47,480 --> 00:27:50,880 Speaker 1: four weeks. Coach Robert Sala asked about not rushing him 509 00:27:50,880 --> 00:27:53,000 Speaker 1: back for the season opener. I think that's all going 510 00:27:53,040 --> 00:27:55,440 Speaker 1: to depend on what happens here with the surgery and 511 00:27:55,960 --> 00:27:57,840 Speaker 1: in the feedback we get from the doctors working with 512 00:27:58,000 --> 00:28:00,119 Speaker 1: Zuck and all and gathering all the information before we 513 00:28:00,160 --> 00:28:02,679 Speaker 1: even come remotely close to making that decision. But uh, 514 00:28:03,000 --> 00:28:06,160 Speaker 1: but yeah, that that that's that's all valid and something 515 00:28:06,200 --> 00:28:07,720 Speaker 1: that we all talk about once we get all the 516 00:28:07,760 --> 00:28:09,879 Speaker 1: information we need to. I said, better than Joe Flaco 517 00:28:10,000 --> 00:28:13,119 Speaker 1: as well as David White. He reserved John actually Bloomberg Sports. 518 00:28:13,160 --> 00:28:16,399 Speaker 1: John John, thanks very much. It is a six thirty 519 00:28:16,480 --> 00:28:18,720 Speaker 1: eight on Wall Street. It's time to take a look 520 00:28:18,760 --> 00:28:20,440 Speaker 1: at some of the stocks, some of the names that 521 00:28:20,480 --> 00:28:23,040 Speaker 1: are moving in the pre market this morning, and for 522 00:28:23,119 --> 00:28:27,719 Speaker 1: that we're joined by Bloomberg's Tatiyana dowry A and Tatiyana. 523 00:28:27,960 --> 00:28:29,960 Speaker 1: I thought the meme stock, So it's through with that, 524 00:28:30,080 --> 00:28:34,359 Speaker 1: but apparently not the most actively traded bed Bath and 525 00:28:34,440 --> 00:28:39,080 Speaker 1: Beyond this morning. Exactly, band Bath and Beyond still on 526 00:28:39,280 --> 00:28:42,560 Speaker 1: fire among the meme stocks. They are up about eight 527 00:28:42,640 --> 00:28:46,640 Speaker 1: percent the pre market now a one dollar one billion 528 00:28:46,680 --> 00:28:50,960 Speaker 1: dollar evaluation the company has and it has gained a 529 00:28:51,520 --> 00:28:53,920 Speaker 1: just looked at, you know, the past two weeks, it 530 00:28:54,240 --> 00:28:57,280 Speaker 1: now has gained one dred and fifty seven percent, so 531 00:28:57,400 --> 00:29:00,320 Speaker 1: more than doubling. It's a share price. But you know, 532 00:29:00,440 --> 00:29:03,240 Speaker 1: this is a company that is struggling with liquidity, certainly 533 00:29:03,280 --> 00:29:06,520 Speaker 1: doesn't have great of fundamentals. Is one of the triple 534 00:29:06,600 --> 00:29:09,280 Speaker 1: C rated companies as well. That means, you know, it 535 00:29:09,440 --> 00:29:12,440 Speaker 1: is going to suffer because of higher interest rates. So 536 00:29:12,600 --> 00:29:16,400 Speaker 1: this rally is certainly not on fundamentals. Um you know, 537 00:29:16,520 --> 00:29:19,720 Speaker 1: it's part of a revival at a comeback of meme stocks, 538 00:29:19,760 --> 00:29:22,239 Speaker 1: and that to me, you know, tells me that this 539 00:29:22,320 --> 00:29:26,400 Speaker 1: is a fed communication problem. So the policymakers need to 540 00:29:26,440 --> 00:29:31,000 Speaker 1: make clear that higher interest rates are coming, because you know, 541 00:29:31,040 --> 00:29:34,240 Speaker 1: the rally in the stock market, uh and especially in 542 00:29:34,280 --> 00:29:37,320 Speaker 1: the meme stock is getting out of control here. If 543 00:29:37,400 --> 00:29:40,960 Speaker 1: you are involved in any way in commodities, you're glued 544 00:29:41,000 --> 00:29:44,000 Speaker 1: to the story coming out of China. China, the second 545 00:29:44,120 --> 00:29:47,240 Speaker 1: largest economy, will slow down, and we're seeing that this 546 00:29:47,240 --> 00:29:51,520 Speaker 1: morning and some of the stocks on the move right exactly. Yeah, Well, 547 00:29:51,720 --> 00:29:54,680 Speaker 1: we're seeing a Freeport nacmaron, one of the companies that 548 00:29:54,880 --> 00:29:57,480 Speaker 1: is mostly impacted in the pre market at trading down 549 00:29:57,520 --> 00:29:59,720 Speaker 1: about a four percent there. But we're also if you 550 00:29:59,760 --> 00:30:03,040 Speaker 1: look the appears very gold and Newman Mining also down 551 00:30:03,120 --> 00:30:06,480 Speaker 1: about two percent. That's, you know, on the China story. 552 00:30:06,520 --> 00:30:10,720 Speaker 1: After that disappointing data, we saw retail sales, industrial output, 553 00:30:10,800 --> 00:30:14,000 Speaker 1: investment all slowed in the month of July and missed 554 00:30:14,040 --> 00:30:17,160 Speaker 1: economists estimates, and that is sort of you know, weighing 555 00:30:17,240 --> 00:30:21,320 Speaker 1: on the global economic outlook and weighing on markets broadly 556 00:30:21,400 --> 00:30:25,720 Speaker 1: this morning, but perhaps more on miners and industrials because 557 00:30:25,720 --> 00:30:29,000 Speaker 1: they're more sensitive to the China story, to the economic story, 558 00:30:29,280 --> 00:30:33,240 Speaker 1: to the global growth story. So not perhaps not surprising 559 00:30:33,520 --> 00:30:36,160 Speaker 1: to see them underperformed there, and they're the ones to 560 00:30:36,200 --> 00:30:40,160 Speaker 1: watch in today's trading. Let's not always pleasure. Appreciate it. 561 00:30:40,200 --> 00:30:43,200 Speaker 1: To Bloomberg's Teta Darier with some of the stocks that 562 00:30:43,280 --> 00:30:46,560 Speaker 1: are moving in the pre market and ahead of the 563 00:30:46,600 --> 00:30:50,000 Speaker 1: cash open on Wall Street. Seeing futures right now, they 564 00:30:50,040 --> 00:30:52,959 Speaker 1: are lower. It's the risk off day down futures right now, 565 00:30:53,000 --> 00:30:56,760 Speaker 1: down on seventy seven points, decline right now about half 566 00:30:56,760 --> 00:30:59,920 Speaker 1: a percent. S and P Many futures down twenty two points, 567 00:31:00,000 --> 00:31:02,760 Speaker 1: that's down half a percent. And the tech heavy DANSDACK 568 00:31:02,840 --> 00:31:06,400 Speaker 1: futures fifty one points lower, down about four tenths of 569 00:31:06,480 --> 00:31:10,480 Speaker 1: a percent. In the commodity space, we're seeing lower crude 570 00:31:10,520 --> 00:31:13,840 Speaker 1: oil this morning, Dimex crew down four and a half 571 00:31:13,840 --> 00:31:17,600 Speaker 1: percent at eighties seven ninety dollars of barrel. You're listening 572 00:31:17,600 --> 00:31:24,160 Speaker 1: to Bloomberg Daybreak. The Bloomberg weather for today for meteorologists 573 00:31:24,200 --> 00:31:26,600 Speaker 1: Ron Carolin Partley, sunny, the highs of the mid eighties, 574 00:31:26,960 --> 00:31:31,560 Speaker 1: cloudy tonight low to seventy, partly mostly Sunday Tomorrow, lights 575 00:31:31,600 --> 00:31:38,320 Speaker 1: again in the mid eighties. This is Bloomberg Markets headlines 576 00:31:38,360 --> 00:31:41,360 Speaker 1: and breaking news twenty four hours a day at Bloomberg 577 00:31:41,400 --> 00:31:44,720 Speaker 1: dot Com, the Bloomberg Business apt and at Bloomberg dictap. 578 00:31:45,000 --> 00:31:54,520 Speaker 1: This is a Bloomberg Business flash and I'm Karen Moscow, 579 00:31:54,600 --> 00:31:56,880 Speaker 1: and futures are lower this morning. We go to the 580 00:31:56,880 --> 00:31:59,480 Speaker 1: first word breaking news dask for today's morning call, and 581 00:31:59,480 --> 00:32:03,360 Speaker 1: here's film Loney Bill, Good morning and good morning, Karen. 582 00:32:03,440 --> 00:32:05,840 Speaker 1: That's right. US futures are on the red after Friday 583 00:32:05,920 --> 00:32:08,560 Speaker 1: search with down futures down a hundred and sixty seven points. 584 00:32:08,560 --> 00:32:10,800 Speaker 1: S if you strop twenty one, well nest that futures 585 00:32:10,800 --> 00:32:13,959 Speaker 1: are down by forty two. The US a ten year 586 00:32:14,000 --> 00:32:16,480 Speaker 1: old at two point eight three percent, Bold is down 587 00:32:16,520 --> 00:32:20,000 Speaker 1: twenty six, Oil is sinking, and Bitcoin is lower by 588 00:32:20,040 --> 00:32:23,360 Speaker 1: half a percent. Japan rose one point one percent overnight. 589 00:32:23,480 --> 00:32:27,600 Speaker 1: Note that Shanna's PBOC unexpectedly cut key rates. While your 590 00:32:27,920 --> 00:32:30,600 Speaker 1: markets are quiet this morning. Back in the US on 591 00:32:30,640 --> 00:32:33,719 Speaker 1: the economic Frinday thirty Empire Manufacturing at a ten o'clock 592 00:32:33,800 --> 00:32:37,600 Speaker 1: the NHV Housing market index. In another news, Wells Fargo 593 00:32:37,640 --> 00:32:41,400 Speaker 1: to shrink u S Banking's largest largest mortgage business, and 594 00:32:41,440 --> 00:32:45,200 Speaker 1: Soros Fund Management boosted bets on Tesla, Google and Amazon. 595 00:32:45,600 --> 00:32:47,680 Speaker 1: Wrapping things up, green Dot was cut to equate at 596 00:32:47,680 --> 00:32:50,800 Speaker 1: Barkley's and Dollar General was cut to market perform over 597 00:32:50,880 --> 00:32:54,960 Speaker 1: at BMO Live from the First Breaking News Desk, Bill Maloney, Karen, 598 00:32:55,120 --> 00:32:57,080 Speaker 1: all right, Bill, thank you to hear live breaking news 599 00:32:57,080 --> 00:32:59,600 Speaker 1: of your Bloomberg types. Squalk on your tournament. I'll ask 600 00:32:59,640 --> 00:33:02,640 Speaker 1: you you a w K and that's a Bloomberg business flash. 601 00:33:02,640 --> 00:33:04,760 Speaker 1: Now here's Michael Barr with more on what's going on 602 00:33:04,840 --> 00:33:07,600 Speaker 1: around the world. Michael, Karen, thank you very much. China 603 00:33:07,680 --> 00:33:11,400 Speaker 1: has announced more military drills around Taiwan as the island's 604 00:33:11,440 --> 00:33:14,640 Speaker 1: president met with members of a new US congressional delegation. 605 00:33:15,120 --> 00:33:17,400 Speaker 1: The visit came less than two weeks after the House 606 00:33:17,400 --> 00:33:21,800 Speaker 1: Speaker Nancy Pelosi's trip to Taiwan. China regards formal contacts 607 00:33:21,800 --> 00:33:25,920 Speaker 1: between US politicians and the island's government as support for 608 00:33:25,960 --> 00:33:30,120 Speaker 1: its independence from Beijing. The Taliban is declaring today Victory 609 00:33:30,200 --> 00:33:33,440 Speaker 1: Day in Afghanistan, marking one year since their return to power. 610 00:33:33,880 --> 00:33:36,880 Speaker 1: In baseball, the Red Sox beat the Yankees three nothing. 611 00:33:37,280 --> 00:33:40,640 Speaker 1: The match shut out the Phillies six zip. The Nationals 612 00:33:40,760 --> 00:33:44,600 Speaker 1: and Orioles lost. The A's lost to the Astros six 613 00:33:44,680 --> 00:33:48,280 Speaker 1: three the Giants one Global News twenty four hours a 614 00:33:48,360 --> 00:33:51,840 Speaker 1: day on air and on Bloomberg Quicktake, powered by more 615 00:33:51,880 --> 00:33:54,440 Speaker 1: than twenty seven under journalist and analysts more than a 616 00:33:54,520 --> 00:33:58,960 Speaker 1: hundred twenty countries. Michael Barr And this is Bloomberg. Karen right, Michael, 617 00:33:59,040 --> 00:34:01,400 Speaker 1: thank you. It is six forty nine on Wall Street, 618 00:34:01,400 --> 00:34:03,680 Speaker 1: and we turned to news and science and technology now 619 00:34:03,720 --> 00:34:06,760 Speaker 1: with a Bloomberg and j I T STEM report. It 620 00:34:06,800 --> 00:34:09,400 Speaker 1: has brought to you by New Jersey Institute of Technology 621 00:34:09,520 --> 00:34:12,000 Speaker 1: and j I T makes industry ready engineers and more 622 00:34:12,040 --> 00:34:14,960 Speaker 1: than twenty fields. If it's engineering, it's at n j 623 00:34:15,120 --> 00:34:17,240 Speaker 1: I T. Learn more at n j I T dot 624 00:34:17,239 --> 00:34:20,840 Speaker 1: E d U. And here's let's making news and science, technology, engineering, 625 00:34:20,840 --> 00:34:24,960 Speaker 1: and math. The climate crisis is compounding Europe's worst energy 626 00:34:25,000 --> 00:34:28,239 Speaker 1: crisis in years. In Germany, the water level at a 627 00:34:28,320 --> 00:34:30,520 Speaker 1: key way point on the Rhine River is set to 628 00:34:30,680 --> 00:34:34,000 Speaker 1: steady at an extremely low level this week. The Rhine 629 00:34:34,000 --> 00:34:36,759 Speaker 1: is Western Europe's most important river for the transport of 630 00:34:36,800 --> 00:34:39,520 Speaker 1: fuel and other industrial goods. The river is now at 631 00:34:39,520 --> 00:34:43,320 Speaker 1: a level where barges find it uneconomical to transit past 632 00:34:43,400 --> 00:34:46,520 Speaker 1: that way point. A new poll shows Americans are less 633 00:34:46,520 --> 00:34:49,920 Speaker 1: concerned now about how climate change it might impact them personally. 634 00:34:50,000 --> 00:34:54,000 Speaker 1: According to the Associated Press poll u S adults say 635 00:34:54,040 --> 00:34:57,080 Speaker 1: they are extremely or very concerned about the impact of 636 00:34:57,120 --> 00:35:01,520 Speaker 1: climate change on them personally, and that's down in August 637 00:35:01,520 --> 00:35:05,360 Speaker 1: of only about half say their actions have an effect 638 00:35:05,400 --> 00:35:09,239 Speaker 1: on climate change compared with two thirds. And in a 639 00:35:09,320 --> 00:35:12,520 Speaker 1: Twitter post over the weekend, Elon Must said Tesla has 640 00:35:12,560 --> 00:35:15,920 Speaker 1: now made over three million vehicles. Must says about a 641 00:35:16,000 --> 00:35:18,800 Speaker 1: third have been produced in Shanghai. And as a Bloomberg 642 00:35:18,880 --> 00:35:22,120 Speaker 1: and j I t Stem report, John, all right, thanks Karen. 643 00:35:22,200 --> 00:35:25,160 Speaker 1: We are lying for the Bloomberg Interactor Broker Studios where 644 00:35:25,239 --> 00:35:28,040 Speaker 1: it is now six fifty one on Wall Street and 645 00:35:28,200 --> 00:35:30,040 Speaker 1: time to check what's going on in d C. Some 646 00:35:30,120 --> 00:35:33,480 Speaker 1: of the top stories in our nation's capital include the 647 00:35:33,480 --> 00:35:36,960 Speaker 1: ampiised Trump search as lawmakers asking for the contents of 648 00:35:37,000 --> 00:35:41,480 Speaker 1: the documents. How's Democrats asking intelligence chief to assess the 649 00:35:41,480 --> 00:35:46,600 Speaker 1: Trump documents. China announces patrols around Taiwan, the protest visit 650 00:35:46,640 --> 00:35:50,399 Speaker 1: by senators trying to help us figure things out. This morning, 651 00:35:50,400 --> 00:35:53,480 Speaker 1: we're joined by Greg Valier, the chief US policy strategist 652 00:35:53,880 --> 00:35:56,799 Speaker 1: at a g F Investments. That's a tall order to 653 00:35:56,840 --> 00:36:01,000 Speaker 1: figure things out, force, Greg. Look at morning, John, Let's 654 00:36:01,040 --> 00:36:05,919 Speaker 1: start with the former president and the FBI searched. Yeah, 655 00:36:06,360 --> 00:36:10,560 Speaker 1: just from a political perspective, Has anything changed, Does this 656 00:36:10,680 --> 00:36:15,239 Speaker 1: perhaps open a new political front as the mid terms approach? Yeah? 657 00:36:15,320 --> 00:36:18,360 Speaker 1: I do think one thing has changed, and it's extremely ironic, 658 00:36:18,480 --> 00:36:21,400 Speaker 1: and that is that I think the Republicans have become 659 00:36:21,440 --> 00:36:25,360 Speaker 1: more unified and their support of Trump. His base is angry, 660 00:36:25,360 --> 00:36:29,719 Speaker 1: they're furious. Uh, they are swearing allegiance to him. So 661 00:36:29,840 --> 00:36:32,279 Speaker 1: how's that for an irony? After all of this, I 662 00:36:32,280 --> 00:36:35,720 Speaker 1: think there's a feeling among Trump's supporters that the Justice 663 00:36:35,719 --> 00:36:39,200 Speaker 1: Department has overdone it. Um does it bring out more 664 00:36:40,200 --> 00:36:44,160 Speaker 1: undecided in the election? Now that's the key. I think 665 00:36:44,200 --> 00:36:48,719 Speaker 1: while the Republicans are unified, I think that moderate voters undecided, 666 00:36:48,760 --> 00:36:52,000 Speaker 1: the swing voters they're called, might be a little less 667 00:36:52,040 --> 00:36:55,279 Speaker 1: inclined to support Trump. So that that's the other half 668 00:36:55,320 --> 00:36:58,200 Speaker 1: of that narrative. You know, based on the warrant, the 669 00:36:58,239 --> 00:37:01,720 Speaker 1: prosecutor has indicated they're exploring possible violations of the Federal 670 00:37:01,920 --> 00:37:05,799 Speaker 1: Espionage Act, among other allegations. Does you know it's it's 671 00:37:05,840 --> 00:37:08,440 Speaker 1: kind of interesting. Also you see that there have been 672 00:37:08,520 --> 00:37:15,600 Speaker 1: calls on the part of Republicans to perhaps defund the FBI. Um, 673 00:37:15,640 --> 00:37:18,440 Speaker 1: it's a little odd that they're taking this position, right 674 00:37:18,480 --> 00:37:21,279 Speaker 1: now is that. Well. The Republicans, of course, which was 675 00:37:21,400 --> 00:37:23,919 Speaker 1: the party of law and order, and to have them 676 00:37:24,440 --> 00:37:27,920 Speaker 1: speak out against the FBI is and still another irony. 677 00:37:28,040 --> 00:37:30,280 Speaker 1: I think at the end of the day, you really 678 00:37:30,320 --> 00:37:32,160 Speaker 1: have to go to the big one, and that is 679 00:37:32,280 --> 00:37:35,960 Speaker 1: did Trump instigate an insurrection and failed to stop it? 680 00:37:36,360 --> 00:37:39,040 Speaker 1: I think that's the case that will make or break things, 681 00:37:39,120 --> 00:37:41,360 Speaker 1: not you know, what did he do with these documents? 682 00:37:42,120 --> 00:37:44,760 Speaker 1: Does the change is thinking about whether or not to 683 00:37:44,920 --> 00:37:48,600 Speaker 1: run for president again probably makes him more inclined. I 684 00:37:48,640 --> 00:37:52,239 Speaker 1: think he would view the presidency as an opportunity to 685 00:37:52,640 --> 00:37:55,200 Speaker 1: rid himself in some of these charges. You know, he 686 00:37:55,200 --> 00:37:59,239 Speaker 1: could pardon himselves. He could, he could maybe make his 687 00:37:59,320 --> 00:38:01,560 Speaker 1: case more for afully if he were presidents. So no, 688 00:38:01,800 --> 00:38:04,920 Speaker 1: I think the chances of him running have actually increased. 689 00:38:05,520 --> 00:38:09,759 Speaker 1: The Democrats requesting, among other things, a damage assessment. Will 690 00:38:09,800 --> 00:38:12,520 Speaker 1: they be successful making a political hay out of this? 691 00:38:13,080 --> 00:38:15,840 Speaker 1: I think they will. I think again for moderate voters 692 00:38:15,840 --> 00:38:20,120 Speaker 1: they will. But for the Democrats there's one surprising negative, 693 00:38:20,280 --> 00:38:23,120 Speaker 1: and that is that they were hoping to use this 694 00:38:23,200 --> 00:38:27,239 Speaker 1: week last week has opportunities to boast about all the 695 00:38:27,320 --> 00:38:29,680 Speaker 1: things Joe Biden got done, the Chips Bill, and the 696 00:38:30,880 --> 00:38:33,480 Speaker 1: all of the things that he got, the burn pit 697 00:38:33,600 --> 00:38:36,239 Speaker 1: thing for soldiers. The next story is going to be 698 00:38:36,320 --> 00:38:40,440 Speaker 1: student loan released, So instead of talking about their narrative, 699 00:38:41,040 --> 00:38:45,120 Speaker 1: they've been obscured by Trump. And don't forget crude oil. 700 00:38:45,200 --> 00:38:47,880 Speaker 1: The spring greg down four and a half, it's below 701 00:38:49,600 --> 00:38:52,320 Speaker 1: I mean, it has the ways to go, but we suspect. 702 00:38:52,360 --> 00:38:55,440 Speaker 1: But on the inflation front, which seemed to be the 703 00:38:55,600 --> 00:38:59,399 Speaker 1: key Republican argument against Democrats in the mid term, maybe 704 00:38:59,440 --> 00:39:02,759 Speaker 1: that's fading a bit. Absolutely. I think you've got an 705 00:39:02,800 --> 00:39:05,920 Speaker 1: environment where the labor market is still red hot, unemployment 706 00:39:05,960 --> 00:39:09,359 Speaker 1: at three point five, and maybe even more importantly, when 707 00:39:09,360 --> 00:39:11,839 Speaker 1: people fill up their cars, I think they could see 708 00:39:11,880 --> 00:39:14,879 Speaker 1: the price of gasoline getting well below four. With what's 709 00:39:14,880 --> 00:39:17,399 Speaker 1: happening in crude oil, that's a real plus for them. 710 00:39:17,400 --> 00:39:20,880 Speaker 1: In November, Can we touch on China just for a moment. 711 00:39:21,400 --> 00:39:26,319 Speaker 1: You have outraged China after US lawmakers make an unannounced 712 00:39:26,440 --> 00:39:29,799 Speaker 1: visit to Taiwan. What's the purpose of all this and 713 00:39:29,800 --> 00:39:33,520 Speaker 1: what's the what's the political fallout in this country? You know, 714 00:39:33,600 --> 00:39:35,880 Speaker 1: I don't get it much, confessed, and I've talked to 715 00:39:35,920 --> 00:39:38,239 Speaker 1: a lot of people in this town who don't get it. 716 00:39:38,480 --> 00:39:42,520 Speaker 1: So here's Nancy Pelosi who stirs the pot. She provokes China. 717 00:39:42,640 --> 00:39:45,960 Speaker 1: Things get real tense. And now we've got another congressional 718 00:39:46,000 --> 00:39:50,359 Speaker 1: delegation going over there, once again provoking Beijing. I mean, 719 00:39:50,400 --> 00:39:53,000 Speaker 1: I'm not saying we should be just passive, but at 720 00:39:53,040 --> 00:39:56,640 Speaker 1: the same time, I think that these visits are not productive. 721 00:39:57,480 --> 00:40:00,920 Speaker 1: In your note this morning, you say President has to 722 00:40:00,960 --> 00:40:03,520 Speaker 1: address a crucial issue, and he has to do it 723 00:40:03,560 --> 00:40:07,480 Speaker 1: before Labor Day. What is that? Student loans? Forty million 724 00:40:07,520 --> 00:40:12,360 Speaker 1: Americans have student loans, and the White House has had 725 00:40:12,360 --> 00:40:16,640 Speaker 1: extensions of the moratorium on the payments during the pandemic 726 00:40:16,680 --> 00:40:18,840 Speaker 1: every three or four months. They would extend it again 727 00:40:18,960 --> 00:40:21,920 Speaker 1: for another three or four months. Will still another deadline 728 00:40:21,960 --> 00:40:25,960 Speaker 1: is coming on August one. I think Biden unquestionably will 729 00:40:26,000 --> 00:40:28,279 Speaker 1: extend it through the end of the year. There's an 730 00:40:28,320 --> 00:40:31,760 Speaker 1: election coming up. But I think he may also forgive 731 00:40:32,080 --> 00:40:35,120 Speaker 1: loans of up to ten thousand dollars. That's a big 732 00:40:35,160 --> 00:40:38,480 Speaker 1: deal for younger voters. Well, who has the student loans? 733 00:40:38,520 --> 00:40:42,880 Speaker 1: You say younger voters? So they Democrats Republicans are undecided? Well, 734 00:40:42,680 --> 00:40:45,319 Speaker 1: I think a lot of them were apathetic and not 735 00:40:45,480 --> 00:40:47,920 Speaker 1: inclined to vote. This might make them vote. There's a 736 00:40:47,920 --> 00:40:50,680 Speaker 1: flip side to that story, and that is Republicans will 737 00:40:50,719 --> 00:40:54,239 Speaker 1: say this exacerbates the deficit. Number one and number two, 738 00:40:54,800 --> 00:40:58,600 Speaker 1: everybody who made all their loan payments are being penalized 739 00:40:58,600 --> 00:41:03,280 Speaker 1: by this huge political stakes here. I suspect right about 740 00:41:03,440 --> 00:41:06,359 Speaker 1: you say forty million Americans old student loan debt yep, 741 00:41:06,560 --> 00:41:09,200 Speaker 1: and some of them, many of them are in default 742 00:41:09,400 --> 00:41:14,239 Speaker 1: and made something like or in default. But I think 743 00:41:14,400 --> 00:41:17,839 Speaker 1: most loan holders would be glad to see this moratorium. 744 00:41:18,400 --> 00:41:22,279 Speaker 1: And again the deadline is is August thirty one, and 745 00:41:22,360 --> 00:41:26,600 Speaker 1: we had primaries and well in Wyoming among others, that's tomorrow. 746 00:41:26,600 --> 00:41:29,440 Speaker 1: What's next for Liz Cheney, Well, that's the big story 747 00:41:29,480 --> 00:41:32,120 Speaker 1: tomorrow's election. I think she might do a little better 748 00:41:32,160 --> 00:41:35,400 Speaker 1: than Paul's show because Democrats can cross over and vote 749 00:41:35,400 --> 00:41:37,000 Speaker 1: for her. But I don't think she's going to win, 750 00:41:37,520 --> 00:41:40,480 Speaker 1: And once she loses, I think she takes a very 751 00:41:40,520 --> 00:41:43,880 Speaker 1: hard look at New Hampshire in other early primary states. 752 00:41:44,120 --> 00:41:47,360 Speaker 1: I don't rule out her running for president. Greg always 753 00:41:47,360 --> 00:41:50,920 Speaker 1: a pleasure help helping us figure things out in Washington 754 00:41:51,000 --> 00:41:53,440 Speaker 1: this morning. Greg Val, you are the chief US policy 755 00:41:53,520 --> 00:41:57,520 Speaker 1: strategist at a GF Investments this morning, and you can 756 00:41:57,560 --> 00:41:59,759 Speaker 1: read more about these stories on Bloomberg dot com or 757 00:41:59,800 --> 00:42:02,319 Speaker 1: the Bloomberg Terminal. And a reminder you can follow all 758 00:42:02,320 --> 00:42:06,520 Speaker 1: the latest Bloomberg Radio in Washington. That's Bloomberg at one 759 00:42:06,520 --> 00:42:10,239 Speaker 1: oh five point seven fm h D two. Risk off 760 00:42:10,600 --> 00:42:13,719 Speaker 1: the markets this morning after the surprise cup by the 761 00:42:13,760 --> 00:42:18,160 Speaker 1: pboc Dall futures right now onty seven points lower, that's 762 00:42:18,160 --> 00:42:21,080 Speaker 1: down four tens of a percent, smp E Many futures 763 00:42:21,080 --> 00:42:23,960 Speaker 1: down nineteen, that's down four tens of a percent. Nasdaq 764 00:42:24,040 --> 00:42:27,040 Speaker 1: futures right now thirty two points lower again, that's down 765 00:42:27,120 --> 00:42:31,120 Speaker 1: two tens of eight percent. And in the commodity space 766 00:42:31,239 --> 00:42:34,879 Speaker 1: this morning mentioned crude oil NIMEX crude West Texas at 767 00:42:34,880 --> 00:42:38,360 Speaker 1: eight seven seventy four a barrel, down four dollars thirty 768 00:42:38,400 --> 00:42:41,759 Speaker 1: five cents a barrel. Brent crew the international benchmark, that 769 00:42:41,960 --> 00:42:45,360 Speaker 1: is down almost five percent this morning. Even listening to 770 00:42:45,360 --> 00:42:49,080 Speaker 1: Bloomberg Daybreak, I'm John Tucker for Karen Moscow. Thanks for listening,