WEBVTT - Bloomberg Daybreak: March 1, 2022 - Hour 1 (Radio) 0:00:02.360 --> 0:00:05.080 Live from the Bloomberg in Director Burger Studios. This is 0:00:05.120 --> 0:00:09.440 Bloomberg day Break, first Tuesday, March one. Coming up this hour, 0:00:09.760 --> 0:00:12.960 Russias steps up shelling of key cities in Ukraine. We 0:00:13.039 --> 0:00:16.439 are live with the latest. More companies abandonized to Russia 0:00:16.480 --> 0:00:19.960 as Moscow becomes increasingly isolated and the war becomes a 0:00:20.079 --> 0:00:22.880 key focus for President. Finded in tonight State of the 0:00:22.960 --> 0:00:26.119 Union address, New York Mayor Adams says the NYPD has 0:00:26.160 --> 0:00:29.280 been too slow in designating hate crimes. Plus Hong Kong 0:00:29.360 --> 0:00:31.760 scope of nineteen jomody rate is now one of the 0:00:31.800 --> 0:00:34.360 highest in the world. I'm like the Bloomer more ahead. 0:00:34.479 --> 0:00:37.080 I'm John stas Shower sports blowout loss for the NAT's, 0:00:37.120 --> 0:00:40.159 easy win for the Devil's in a marathon bargaining session 0:00:40.240 --> 0:00:44.960 to try and end the baseball lockout. That's all straight 0:00:44.960 --> 0:00:49.160 ahead on Bloomberg day Break on Bloomberg Elementoryo, New York, 0:00:49.320 --> 0:00:54.040 Bloomberg nine one, Washington, d C. Bloomberg one oh six one, Boston, 0:00:54.200 --> 0:00:58.720 Bloomberg nine six, San Francisco, Syrius x M one nineteen 0:00:59.080 --> 0:01:02.040 and around the world long Bloomberg Radio dot Com and 0:01:02.160 --> 0:01:09.360 via The Bloomberg Business. Good Morning, I'm Nathan Hagar and 0:01:09.400 --> 0:01:13.319 I'm Karen Moscow and global stocks are retreating this morning. 0:01:13.400 --> 0:01:15.240 We are coming up to five oh one on Wall Street, 0:01:15.280 --> 0:01:17.520 and we checked the markets every fifteen minutes throughout the 0:01:17.560 --> 0:01:21.119 trading day on Bloomberg. Right now, SMP futures are down 0:01:21.120 --> 0:01:24.520 twenty five points down, futures down one hundred sixty two, 0:01:24.560 --> 0:01:27.880 and nasday futures down one hundred sixteen. Ten year treasury 0:01:27.959 --> 0:01:30.720 up six thirty seconds. He had one point eight zero percent. 0:01:30.800 --> 0:01:34.559 They yield on the two year one point four zero percent. Nathan, Well, Karen, 0:01:34.560 --> 0:01:36.200 We'll have more on the markets in a minute, but 0:01:36.240 --> 0:01:39.920 we begin this morning. In Ukraine. Russia has escalated shelling 0:01:39.959 --> 0:01:43.520 overnight in key cities as a large Russian convoy moves 0:01:43.600 --> 0:01:46.680 slowly toward the capital of Kiev. Amy Morris has the 0:01:46.760 --> 0:01:51.040 latest from our Bloomberg newsroom. In Washington, senators held a 0:01:51.120 --> 0:01:54.360 closed door briefing on the Russian invasion of Ukraine last night, 0:01:54.360 --> 0:01:58.280 where Ukraine's ambassador sent our country needs more military weapons. 0:01:58.480 --> 0:02:02.360 Republicans Senator Mit Romney says the US can provide some help. 0:02:02.440 --> 0:02:05.200 We continue to have the capacity to get armament and 0:02:05.440 --> 0:02:09.840 and nourishment. Two fighters in Ukraine. That's done not by 0:02:09.919 --> 0:02:12.919 US directly. Democratic Senator Chris Coon says they're racing now 0:02:12.960 --> 0:02:16.720 for our humanitarian crisis. Suspect Russia will try and starve 0:02:16.960 --> 0:02:19.359 the population of Keith. We have to be prepared to 0:02:19.400 --> 0:02:23.480 provide significant humanitarian relief. New satellite images today show a 0:02:23.560 --> 0:02:27.600 forty mile long Russian military convoy just north of Kiev. 0:02:28.040 --> 0:02:31.480 In Washington, I maybe Morris Bloomberg Daybreak, right, Amy, thank you. 0:02:31.520 --> 0:02:34.440 As Russia steps up attacks on Ukraine, the fighting could 0:02:34.440 --> 0:02:37.120 turn even more brutal. That's the concern we're hearing from 0:02:37.200 --> 0:02:40.480 retired Lieutenant General Ben Hodges, the former commander of US 0:02:40.600 --> 0:02:43.360 Army Europe. It was two days ago the whole world 0:02:43.400 --> 0:02:46.520 solve dismissal that slammed into an apartment building, and that 0:02:46.680 --> 0:02:50.160 sort of thing is going to increase. UM. I think 0:02:50.480 --> 0:02:53.040 he will do whatever it takes to number one to 0:02:53.200 --> 0:02:56.520 decapitate the government uh and number two to avoid the 0:02:56.600 --> 0:03:00.840 humiliation of his forces being defeated and not able to 0:03:00.880 --> 0:03:05.160 take Retired Army Lieutenant General Van Honjas spoke with our 0:03:05.200 --> 0:03:08.639 Washington corresponded Joe matthew on Bloomberg Sound on Catch the 0:03:08.680 --> 0:03:11.960 program weekdays at five pm Eastern on Bloomberg Radio. The 0:03:12.000 --> 0:03:15.440 list of companies abandoning Russia is growing quickly, Karen and 0:03:15.480 --> 0:03:19.000 the mass exodus is reversing three decades of investment by 0:03:19.080 --> 0:03:22.760 Western business. Bloomberg. Rinita Young joins US Live with the details. 0:03:22.800 --> 0:03:26.359 Good morning, Granita, Good morning Nathan. Russia's largest foreign investor, 0:03:26.440 --> 0:03:30.120 BP led the way with its surprising announcement on Sunday 0:03:30.160 --> 0:03:33.279 that it would exit its state and state controlled Rosneft. 0:03:33.760 --> 0:03:36.480 That move could result in a twenty five billion dollar 0:03:36.680 --> 0:03:39.680 right off and cut its global oil and gas production 0:03:39.760 --> 0:03:43.680 by a third. Shell followed yesterday saying it's ending partnerships 0:03:43.720 --> 0:03:47.840 with state controlled Gas prom citing Russia's quote senseless act 0:03:47.880 --> 0:03:51.960 of military aggression. And Equinoor, which is Norway's biggest energy 0:03:52.000 --> 0:03:55.240 company and majority owned by the state, also announced it 0:03:55.280 --> 0:03:58.760 will start withdrawing from its joint ventures in Russia worth 0:03:58.800 --> 0:04:02.640 about one point two billion dollars. Live in New York. 0:04:02.720 --> 0:04:04.800 I'm rena need a Young Bloomberg daybreak. All right, we 0:04:04.880 --> 0:04:07.080 need to thank you. A couple of Wall Street Titans 0:04:07.080 --> 0:04:10.440 are speaking out about the Russia invasion. JP Morgan, CEO 0:04:10.560 --> 0:04:14.120 Jamie Diamond warrants that disconnecting Russian banks from the swift 0:04:14.160 --> 0:04:18.800 and messaging system may bring unintended consequences. Sanction says I 0:04:18.839 --> 0:04:22.000 cannot do busit you. A swift thing says I can't 0:04:22.040 --> 0:04:24.160 use a communication to do busy with you. I can 0:04:24.200 --> 0:04:25.880 still do busy with you. And there are a lot 0:04:25.960 --> 0:04:28.520 of workadouns in the swift, So they're different tools we're 0:04:28.560 --> 0:04:32.480 used for different reasons. JP Morgan, CEO Jamie Diamond made 0:04:32.480 --> 0:04:35.400 the comments at an interview with Bloomberg's at Hammond. Stay 0:04:35.440 --> 0:04:38.200 tuned for more of that conversation coming up later this hour. 0:04:38.360 --> 0:04:40.880 We also caught up with Citadel founder Ken Griffin. The 0:04:41.080 --> 0:04:44.560 billionaire says, this is a very critical time in geo politics. 0:04:44.920 --> 0:04:48.640 I think we're at a very, very very volved conflection 0:04:48.720 --> 0:04:51.279 point that will come down to whether or not the 0:04:51.360 --> 0:04:56.120 Russians will be satisfied by simply extending their affective borders 0:04:56.120 --> 0:05:01.080 in the Ukraine, Will they take Kiev, will a position 0:05:01.120 --> 0:05:04.479 themselves to reach beyond the borders of the Ukraine. The 0:05:04.640 --> 0:05:08.800 last is terrifying the markets. Citadel founder Ken Griffin made 0:05:08.800 --> 0:05:11.880 those comments in an upcoming interview on Bloomberg Wealth with 0:05:12.000 --> 0:05:15.320 David Rubinstein, the show They've used. March twenty two at 0:05:15.400 --> 0:05:19.440 nine pm Eastern on Bloomberg Television, Well Nathan, Market volatility 0:05:19.480 --> 0:05:23.600 remains high as world power step into isolate commodity rich Russia. 0:05:23.720 --> 0:05:26.560 Let's get the latest on the action live with Bloomberg's 0:05:26.680 --> 0:05:29.120 John Tucker, John Go Mordan Carra. The risk of markets 0:05:29.120 --> 0:05:32.920 includes disruptions to supplies of raw materials, which threatened stoke 0:05:33.000 --> 0:05:36.480 high inflation and hamper growth. We saw a buyer this 0:05:36.520 --> 0:05:39.080 morning warned that the Ukraine invasion poses a risk to 0:05:39.200 --> 0:05:44.000 its outlook. Most pressures may also impact monetary policy. Brett 0:05:44.040 --> 0:05:46.760 McGonagall as chairman of Capital Link. At the end of 0:05:46.760 --> 0:05:48.760 the day, what I think is going to happen is 0:05:48.880 --> 0:05:52.040 this gives some sort of a pause to an overly 0:05:52.160 --> 0:05:56.440 hawkish sed Deutsche Bank strapper. Just say stocks typically decline 0:05:56.440 --> 0:05:59.960 about six to eight percent after a geopolitical event before 0:06:00.000 --> 0:06:03.920 were retracing those losses in about three weeks. Aside from equities, 0:06:04.000 --> 0:06:06.920 oil pushing hires investors try to figure out whether a 0:06:07.000 --> 0:06:10.520 possible release of strategic reserves will have much of an 0:06:10.520 --> 0:06:14.039 impact and checking prices Right now, Brent crude is up 0:06:14.080 --> 0:06:17.120 four dollars four cents at one oh two twenty one 0:06:17.560 --> 0:06:20.680 Live in New York on John Tucker Bloomberg Daybreak. Thanks John. 0:06:20.680 --> 0:06:23.000 The invasion of Ukraine will take the spotlight tonight and 0:06:23.080 --> 0:06:26.320 President Biden State of the Union address. Originally he planned 0:06:26.320 --> 0:06:29.359 to highlight the improving coronavirus out look and rebrand his 0:06:29.440 --> 0:06:33.200 domestic policy priorities. The timing of tonight's speech creates a 0:06:33.320 --> 0:06:36.640 large opportunity for the president. That's according to Barbara Perry, 0:06:36.680 --> 0:06:39.760 director of Presidential Studies at the Miller Center of Public Affairs, 0:06:40.080 --> 0:06:42.960 if he sees as this moment, gives a good, solid speech, 0:06:43.240 --> 0:06:47.000 acknowledges people's pain, points out what he's done well, where 0:06:47.040 --> 0:06:50.360 his victories have been. And I think on the Ukrainian business, 0:06:50.600 --> 0:06:53.599 this could be his ish benign berlin Er moment of 0:06:53.680 --> 0:06:56.880 John Kennedy is standing at the Berlin Wall in nineteen three. 0:06:56.880 --> 0:06:58.320 I don't know how to say it in Russian, but 0:06:58.640 --> 0:07:02.320 ish benign Ukrainian. Barbara Perry was a guest on Bloomberg's 0:07:02.320 --> 0:07:04.440 Balance of Power. You can catch a special edition of 0:07:04.480 --> 0:07:06.760 the program tonight with live coverage of the State of 0:07:06.800 --> 0:07:10.120 the Union starting at a thirty pm Eastern on Bloomberg 0:07:10.200 --> 0:07:14.080 Radio and television. Futures lower ahead of the open this 0:07:14.120 --> 0:07:16.640 morning straight ahead your latest local headlines in the check 0:07:16.680 --> 0:07:24.400 of sports. This is Bloomberg five oh seven on Wall Street, 0:07:24.440 --> 0:07:27.080 thirty two degrees in Central Park. Still some lingering roadwork 0:07:27.120 --> 0:07:29.960 on all three Hudson River crossings. Janelle Crispins got the 0:07:30.000 --> 0:07:32.520 details on that for you shortly. First, Michael bar is 0:07:32.560 --> 0:07:34.080 here to tell us what else is going on in 0:07:34.080 --> 0:07:36.520 New York and around the world. Good morning, Michael, Good 0:07:36.520 --> 0:07:39.400 morning Nathan. New York City Mayor Eric Adams said he 0:07:39.480 --> 0:07:43.800 hopes replacing the nypds Hate Crime Unit head will add 0:07:43.800 --> 0:07:46.280 a sense of urgency to the issue. I thought we 0:07:46.280 --> 0:07:50.200 were too slow and designating um investigating something as a 0:07:50.280 --> 0:07:54.040 particularly hate crime. Mayor Adams says that he wanted a 0:07:54.040 --> 0:07:57.840 new face and a new vision investigating hate crimes. Earlier 0:07:57.880 --> 0:08:01.480 this month, the NYPD reassigned in back there, Jessica Correy, 0:08:01.720 --> 0:08:04.880 head of the Hate Crime Task Force. The decision followed 0:08:04.880 --> 0:08:08.080 a number of high profile incidents targeting members of the 0:08:08.160 --> 0:08:12.680 Asian Americans and Pacific Islanders communities, as well as an 0:08:12.680 --> 0:08:16.040 overall increase in hate crimes across the city. Meanwhile, they 0:08:16.080 --> 0:08:18.680 or Adams also talked about the city hoping to lift 0:08:18.760 --> 0:08:22.800 more COVID mandates and businesses and schools. We are trending 0:08:22.920 --> 0:08:26.160 in the right direction. And every morning when I wake 0:08:26.280 --> 0:08:29.960 up and speak with my doctors of as I stated 0:08:30.160 --> 0:08:32.840 from the beginning, we want to follow the science, and 0:08:32.920 --> 0:08:35.200 they they have followed the science. We want to get to. 0:08:35.400 --> 0:08:37.520 We're at the right level we want to be. We 0:08:37.679 --> 0:08:40.439 just don't want to move too quickly. Now their children 0:08:40.440 --> 0:08:43.840 are coming back. Mayor Adams talked with Bloomberge Joe Matthew 0:08:43.920 --> 0:08:47.480 on balance of power. Hong Kong's COVID nineteen fatality rate 0:08:47.520 --> 0:08:50.280 is now one of the highest in the world. There 0:08:50.280 --> 0:08:53.359 has been a wave of deaths among its under vaccinated 0:08:53.440 --> 0:08:57.199 elderly population. The city reported one hundred seventeen new COVID 0:08:57.240 --> 0:09:00.200 deaths today. The Senate last night took up the show 0:09:00.240 --> 0:09:02.800 of a woman's right to an abortion. The vote to 0:09:02.920 --> 0:09:07.080 open debate on the Women's Health Protection Act failed. Republicans 0:09:07.120 --> 0:09:10.400 widely opposed the bill and filibustered it, stopping the measure 0:09:10.440 --> 0:09:14.360 from proceeding in the legislative process. Still, Democrats went ahead 0:09:14.360 --> 0:09:17.120 with a vote to put Republicans on record opposing the measure. 0:09:17.520 --> 0:09:21.000 Senate majority leader Chuck Schumer of New York says he 0:09:21.120 --> 0:09:25.280 supports the bill. We must fight to stop these insidious 0:09:25.280 --> 0:09:29.840 efforts to curtail a woman's right to access safe, legal abortion, 0:09:30.360 --> 0:09:34.040 and we must assert the federal government's role to protect 0:09:34.200 --> 0:09:38.960 this constitutional right. The bill is meant to federally safeguard 0:09:39.000 --> 0:09:42.640 abortion rights, which faces an uncertain future in the U. S. 0:09:42.640 --> 0:09:45.600 Supreme Court. Global News twenty four hours a day on 0:09:45.840 --> 0:09:49.079 air and on Bloomberg Quicktake, powered by more than twenty 0:09:49.160 --> 0:09:51.959 seven hundred journalists and analysts more than a hundred twenty countries. 0:09:52.280 --> 0:10:01.120 Michael Barren, this is Bloomberg, Nathan, Thanks Michael, five or 0:10:01.160 --> 0:10:02.920 nine on All Street time for the Bloomberg Sports I 0:10:03.040 --> 0:10:05.840 Take Morning, John stenshow here, Morning, Nathan Long night for 0:10:05.880 --> 0:10:08.839 the Nets in Brooklyn, Toronto. Scored forty two points in 0:10:08.920 --> 0:10:11.079 the first quarter in the route was on. Raptors won 0:10:11.120 --> 0:10:14.400 one thirty three nineties seven rookie Scottie Barnes scored twenty 0:10:14.400 --> 0:10:16.520 eight points, made his first eleven shots, and that's still 0:10:16.559 --> 0:10:18.960 without Kevin. Randy is expected back soon. They were without 0:10:19.000 --> 0:10:20.520 Kyrie or every n who hasn't played a home game 0:10:20.559 --> 0:10:23.319 all season, and their coach, Steve Nash, who was at 0:10:23.320 --> 0:10:26.080 the arena, even did a pregame presser then had to 0:10:26.160 --> 0:10:29.320 leave for help and safety protocol. Nets have now lost 0:10:29.320 --> 0:10:32.040 fourteen of seventeen. Irving did lead them to a victory 0:10:32.120 --> 0:10:35.320 last weekend in Milwaukee and then spoke about being allowed 0:10:35.360 --> 0:10:38.520 to play home games despite being unvaccinated. You know, just 0:10:38.559 --> 0:10:41.800 remain impatient and just seeing where things end up in 0:10:41.840 --> 0:10:43.600 this next week or so were the next two weeks, 0:10:43.679 --> 0:10:46.040 I'm not too sure, but I know as much Pop 0:10:46.559 --> 0:10:49.360 and uh I just I want to say this is 0:10:49.400 --> 0:10:52.600 that are very appreciative of all those that are pushing 0:10:53.240 --> 0:10:56.400 behind the scene to make our world a better play. 0:10:56.440 --> 0:10:59.480 New York City is going to start allowing unvaccinated fans 0:10:59.480 --> 0:11:01.280 into there, you know, but it's not known if that'll 0:11:01.320 --> 0:11:03.760 mean Irving will be allowed to play. Devil's a seven 0:11:03.800 --> 0:11:06.280 to two rout of Vancouver for to reach five eighty 0:11:06.360 --> 0:11:09.520 five seventy three over you match. Still no labor deal, 0:11:09.559 --> 0:11:12.040 then the baseball lockout, but at least they are trying. 0:11:12.120 --> 0:11:15.040 The two sides met until two am. They'll be back 0:11:15.040 --> 0:11:17.560 at eleven this morning. They pushed back the deadline. It 0:11:17.640 --> 0:11:20.040 was to be last night. Have no deal, then opening 0:11:20.080 --> 0:11:23.560 day would be postponed. That deadline is now five o'clock today. Earlier, 0:11:23.960 --> 0:11:27.320 the big baseball story was Derek Jeter's resignation as CEO 0:11:27.400 --> 0:11:30.360 of the Miami Marlins an apparent disagreement with his boss 0:11:30.440 --> 0:11:33.160 over the direction of the franchise. Jeter had a four 0:11:33.240 --> 0:11:36.400 percent ownership steak, which you will now sell up. John 0:11:36.400 --> 0:11:40.080 stash Award Bloomberg Sports Okay, John, thank you. SMP futures 0:11:40.080 --> 0:11:42.640 down down thirty one points down, futures down two eight 0:11:42.679 --> 0:11:45.480 NASTAC futures down a hundred thirty five points. That's a 0:11:45.559 --> 0:11:48.839 drop of nearly one percent. The tenure treasury up seven 0:11:48.880 --> 0:11:51.199 thirty seconds down, the yield one point eight zero percent, 0:11:51.240 --> 0:11:54.080 yield on the two year one point four zero percent. 0:11:54.120 --> 0:11:56.280 And i'm x screwed up three point one percent of 0:11:56.320 --> 0:11:59.400 three dollars one cent at ninety eight dollars seventy five 0:11:59.440 --> 0:12:02.559 cents a herald. Stay with us. You're listening to Bloomberg 0:12:02.720 --> 0:12:09.800 Daybreak Bloomberg eleven three oh weather, increasing clouds and be 0:12:09.840 --> 0:12:12.040 high in the mid forties Today, will be near fifty 0:12:12.040 --> 0:12:15.560 tomorrow with clearing skies and mostly sunny Thursday, but chillier 0:12:15.640 --> 0:12:17.840 with a high land near forty. Right now thirty two 0:12:17.880 --> 0:12:23.760 and partly cloudy in Central Park, Markets, headlines and breaking 0:12:23.760 --> 0:12:26.640 news twenty four hours a day at Bloomberg dot Com, 0:12:26.760 --> 0:12:30.400 the Bloomberg Business Outland. At Bloomberg Quick Tape, He's a 0:12:30.440 --> 0:12:39.960 Bloomberg business clash, but I'm Karin. Moscow socks and Europe 0:12:39.960 --> 0:12:42.920 are lower along with US dot Index. Futures bonds are 0:12:42.960 --> 0:12:46.480 gaining as the conflict in Ukraine intensifies amid mounting penalties 0:12:46.480 --> 0:12:49.880 against Russia. Utilities and travel stars are leading a decline 0:12:49.880 --> 0:12:52.120 in the stocks. You're up six hundred as traders assess 0:12:52.200 --> 0:12:54.840 the effect of sanctions, who check the markets every fifteen 0:12:54.880 --> 0:12:58.040 minutes throughout the trading day on Bloomberg Right Now Futures, 0:12:58.120 --> 0:13:01.240 SMP futures down about twenty eight, fool Now futures down 0:13:01.280 --> 0:13:04.080 one hundred eighty, and nasday futures down one hundred sixteen. 0:13:04.400 --> 0:13:06.640 The decks in Germany is down to and a third 0:13:06.720 --> 0:13:09.480 percent ten year treasury of eight thirty seconds, he had 0:13:09.520 --> 0:13:11.800 one point seven nine percent. They yield on the two 0:13:11.880 --> 0:13:15.160 year one point three nine percent. Nine x Screwed oil 0:13:15.440 --> 0:13:17.640 is up three point two percent of three dollars six 0:13:17.679 --> 0:13:20.000 cents and ninety eight dollars seventy nine cents of barrel 0:13:20.240 --> 0:13:23.320 comes called up one percent or nineteen dollars at nineteen 0:13:23.400 --> 0:13:26.679 nineteen sixty announced the euro one point one one seven 0:13:26.720 --> 0:13:29.000 six against the dollar, British found one point three four 0:13:29.040 --> 0:13:31.719 oh three, and again as it won fourteen point eight 0:13:31.760 --> 0:13:34.200 three bitcoin this morning, moving higher at more than three 0:13:34.200 --> 0:13:36.800 and a half percent at forty three thousand, one hundred 0:13:36.880 --> 0:13:40.000 eighty dollars. That's a Bloomberg business flash. Now here's Michael 0:13:40.000 --> 0:13:42.480 Barr with more. Let's going on around the world, uncal 0:13:42.520 --> 0:13:45.720 Good morning, Good morning Karen. A forty mile convoy of 0:13:45.800 --> 0:13:49.480 Russian tanks and other vehicles is threatening Ukraine's capital, Kiev 0:13:49.960 --> 0:13:54.959 as an intense shelling attack targeted the country's second largest city. Meanwhile, 0:13:55.080 --> 0:13:58.000 both sides look to resume talks in the coming days 0:13:58.240 --> 0:14:01.680 aimed at stopping the fighting. Major League Baseball as extended 0:14:01.720 --> 0:14:04.439 it's deadline for reaching a labor deal to today at 0:14:04.440 --> 0:14:08.680 five pm for salvaging opening days scheduled on March thirty one. 0:14:09.280 --> 0:14:12.480 Locked out players and team owners engaged in a series 0:14:12.480 --> 0:14:16.440 of intense negotiations that began yesterday and stretched into early 0:14:16.480 --> 0:14:20.120 this morning. In the NBA, the Nets lost. In the NHL, 0:14:20.240 --> 0:14:23.680 the Devil's and Bruins won. The capitols lost Global Neames 0:14:23.680 --> 0:14:26.920 twenty four hours a day on air and on Bloomberg Quicktake, 0:14:27.200 --> 0:14:30.360 powered by more than twenty seven under journalists and analysts 0:14:30.440 --> 0:14:33.680 more than twenty countries. Michael bar this is Bloomberg Natan. 0:14:33.800 --> 0:14:36.360 Thanks Michael. It's five nineteen on Wall Street Live from 0:14:36.360 --> 0:14:40.240 the Bloomberg Interacted Broker Studios. This is Bloomberg Daybreak, and 0:14:40.280 --> 0:14:43.640 our executive editor for International Relations, Rosalind Matheson is with 0:14:43.760 --> 0:14:46.320 us this morning as we continue following the latest developments 0:14:46.320 --> 0:14:48.640 out of the war in Ukraine. Ro's, good morning. We've 0:14:48.680 --> 0:14:51.800 seen the dramatic images of the government headquarters in the 0:14:51.800 --> 0:14:54.640 second largest city, car Cave, being bombarded, and now this 0:14:54.720 --> 0:14:59.240 word of a forty mile convoy headed toward the capital Kiev. 0:14:59.560 --> 0:15:02.760 What's the latest, Well, that's right. What we're seeing is 0:15:02.800 --> 0:15:05.880 the fighting escalating on the ground, but also shifting perhaps 0:15:06.200 --> 0:15:10.120 to a new stage from the Russians after six days 0:15:10.160 --> 0:15:13.960 of fighting and possibly quite a sense of frustration at progress, 0:15:14.000 --> 0:15:18.240 certainly not anticipating the level of the resistance that they 0:15:18.240 --> 0:15:21.600 would encounter from the Ukrainian forces who've been fighting with 0:15:21.680 --> 0:15:26.120 determination around the country, even though they are caused out 0:15:26.160 --> 0:15:29.880 class militarily by the Russian military. So what we're seeing 0:15:29.960 --> 0:15:34.080 is an escalation also in an aerial bombardment. Key cities 0:15:34.080 --> 0:15:38.200 like Khakiev coming under extensive bombing overnight again and also 0:15:38.280 --> 0:15:42.600 cities further to the southeast also suffering as well, and 0:15:42.640 --> 0:15:46.000 that perhaps reflects a sense of the Russians of wanting 0:15:46.040 --> 0:15:49.520 to escalate to try and get some progress here. And 0:15:49.560 --> 0:15:53.000 you can do that perhaps more effectively just by picking 0:15:53.080 --> 0:15:56.160 up that bombardment campaign instead of waiting for troops on 0:15:56.200 --> 0:15:59.720 the ground to move forward. Suddenly that large convoy is 0:15:59.760 --> 0:16:03.120 head towards Kiev, but it's making very slow progress on 0:16:03.440 --> 0:16:06.680 tricky roads, difficult to rain. Those roads are very narrow, 0:16:07.120 --> 0:16:09.840 they're also full of potholes, so just the movement is 0:16:09.920 --> 0:16:12.960 quite difficult and so being slowed down by that alone. 0:16:13.000 --> 0:16:15.240 So you can see there's definitely a shift in tactics 0:16:15.240 --> 0:16:17.600 on the ground as a result. Now you wonder whether 0:16:17.680 --> 0:16:21.320 the shift in tactics as as a result of the 0:16:21.360 --> 0:16:24.560 resistance that we're seeing from Ukrainian forces or the impact 0:16:24.680 --> 0:16:26.920 that the Russian economy is starting to feel now with 0:16:27.000 --> 0:16:32.120 these sanctions taking hold and near universal, it seems business 0:16:32.200 --> 0:16:36.280 reaction basically cutting off ties to Russia. It could be 0:16:36.520 --> 0:16:40.480 a combination of those things. What's the assessment. Well, certainly, 0:16:40.520 --> 0:16:43.080 as his economy gets squeezed and that filters down to 0:16:43.200 --> 0:16:46.400 Russian consumers as well as to the upper echelons of 0:16:46.560 --> 0:16:50.720 power in Russia, you can imagine that the Russian presently 0:16:51.000 --> 0:16:54.440 keen to mitigate that and to minimize it as quickly 0:16:54.560 --> 0:16:57.480 as possible. So that might be a factor in his thinking. 0:16:57.480 --> 0:17:00.960 But also the cost of the invasion themselves considerable. He 0:17:01.040 --> 0:17:03.880 had massed up to two hundred thousand troops and a 0:17:03.880 --> 0:17:06.800 lot of equipment on the border over a period of months, 0:17:06.800 --> 0:17:10.600 sustaining that force ahead of invasion on the border, doing 0:17:10.640 --> 0:17:13.479 some very big drills in places like bi Larus, and 0:17:13.520 --> 0:17:16.800 now the actual war itself, and so the financial cost 0:17:16.880 --> 0:17:19.959 to him from that are also rising. They're probably dwarfed 0:17:19.960 --> 0:17:23.240 by the economic penalties he's facing, but certainly a factor 0:17:23.280 --> 0:17:26.919 in his thinking, no doubt. Now pretty startling headline we 0:17:26.960 --> 0:17:30.120 saw from the Minister of Defense of Russia, Sergei Shoigu, 0:17:30.200 --> 0:17:33.400 saying that Russia will pursue the Ukraine offensive until all 0:17:33.560 --> 0:17:36.720 goals are achieved. It sounds as though they've at least 0:17:36.760 --> 0:17:41.640 feel undeterred or as you mentioned, the shift in tactics there, 0:17:41.640 --> 0:17:44.760 But what's the implication if we hear from the Russian 0:17:44.800 --> 0:17:49.800 Defense minister that this bombardment, this escalation of fighting in 0:17:49.920 --> 0:17:53.119 Ukraine could continue. Well, the fear is also not just 0:17:53.160 --> 0:17:55.639 what happens inside Ukraine with that, but also there is 0:17:55.760 --> 0:17:59.000 that as time goes on and those campaigns continue, do 0:17:59.080 --> 0:18:02.359 you start to see thing seep outside the Ukrainian border. 0:18:02.400 --> 0:18:05.040 Of course, there was concern yesterday from Poland that Russia 0:18:05.160 --> 0:18:08.680 might move very close to the border in Ukraine between 0:18:08.800 --> 0:18:11.080 Ukraine and Poland and try and block that border off 0:18:11.080 --> 0:18:14.639 and the exodus of people. So you're bringing Russian troops 0:18:14.640 --> 0:18:18.720 and equipment and planes potentially into ever closer proximity to 0:18:18.800 --> 0:18:22.240 those of NATO countries, and that could risk some kind 0:18:22.280 --> 0:18:27.480 of incident, misunderstanding or whatever. That essentially then sees NATO 0:18:27.600 --> 0:18:30.639 troops in direct conflict with Russia. Of course, the Russian 0:18:30.640 --> 0:18:33.960 present has also put his nuclear arsenal on higher alert, 0:18:33.960 --> 0:18:36.879 and that's raising a lot of concern across Europe. So 0:18:36.920 --> 0:18:40.520 the risk is not just that the conflict escalates for 0:18:40.680 --> 0:18:44.679 the people of Ukraine and unfortunate consequences of that for civilians. 0:18:44.680 --> 0:18:47.640 Of course, in city areas, but that this could blow 0:18:47.680 --> 0:18:50.560 into a broader conflict even that's not currently intended. But 0:18:50.640 --> 0:18:52.800 only have about thirty seconds left here rise where we've 0:18:52.800 --> 0:18:55.960 seen the pretty extraordinary support that Ukraine has been receiving, 0:18:56.040 --> 0:18:59.240 Germany stepping up its defense spending as well. Is there 0:18:59.280 --> 0:19:02.440 more that can be sent sent in that the Ukraine 0:19:02.680 --> 0:19:06.840 could expect in terms of support from the US and allies. Well, 0:19:06.840 --> 0:19:09.159 there were some reports Ukraine said this morning that they 0:19:09.160 --> 0:19:11.840 would that countries in Eastern Europe had degree to send 0:19:11.840 --> 0:19:15.480 them a bunch of fighter jets. Of course Slovakia Bulgaria 0:19:15.520 --> 0:19:18.639 amongst the countries that have now denied that because setting 0:19:18.720 --> 0:19:21.480 sending in fighter jets that have actually originally been made 0:19:21.480 --> 0:19:24.439 in Russia would have put more aircraft in the in 0:19:24.480 --> 0:19:27.120 the in the air space there and risk further conflict 0:19:27.240 --> 0:19:30.520 and catastrophe. So beyond that, they're simply sending in mostly 0:19:30.560 --> 0:19:33.880 on the ground ums and other weaponry. Thanks for the time, 0:19:33.920 --> 0:19:37.800 as always, Rosalind Mathieson, our executive editor for International Relations 0:19:37.840 --> 0:19:40.960 at Bloomberg News. As we continue monitoring developments in the 0:19:40.960 --> 0:19:44.160 war in Ukraine and the market reaction. Right now, futures 0:19:44.160 --> 0:19:46.159 are falling ahead of the open on Wall Street, with 0:19:46.280 --> 0:19:49.480 SMP futures now down twenty eight points down, futures down 0:19:49.480 --> 0:19:52.119 a hundred eighty seven, and NAZDAC futures lower by a 0:19:52.240 --> 0:19:55.720 hundred fourteen points. Just ahead, the Pentagon looks for de 0:19:55.920 --> 0:19:59.840 escalation plans from Russia and the war whip saws markets. 0:20:00.080 --> 0:20:03.560 Top stories of the morning. Just ahead on Bloomberg day Break, 0:20:07.520 --> 0:20:10.240 Bloomberg eleven three oh weather clouds will increase today. Highs 0:20:10.240 --> 0:20:12.280 in the mid forties, will be in your fifty tomorrow 0:20:12.400 --> 0:20:14.679 under clearing sky's chintz of a little bit of rain 0:20:14.720 --> 0:20:16.840 tomorrow night, but it will turn mostly sunny Thursday, with 0:20:16.880 --> 0:20:19.400 the hein your forty Right now thirty two in Central Park, 0:20:22.040 --> 0:20:26.560 broadcasting y from the Bloomberg Interactive Broker Studio in New York, 0:20:26.680 --> 0:20:30.000 Bloomberg E Living Freedom to Washington, d C, Bloomberg nine 0:20:30.440 --> 0:20:33.199 one to Boston, Bloomberg What all the six one does? 0:20:33.240 --> 0:20:36.960 San Francisco, Bloomberg nine six to the Country, Sirius XM 0:20:37.040 --> 0:20:39.879 chad A one ninet and around the globe the Bloomberg 0:20:39.880 --> 0:20:48.360 Business and Bloomberg Radio dot Com. This is Bloomberg Daybreak, 0:20:50.040 --> 0:20:52.240 and it's five thirty on Wall Street. Good morning, I'm 0:20:52.280 --> 0:20:55.359 Karen Moscow and I'm Nathan Hager Bloomberg Daybreak. Bront you 0:20:55.440 --> 0:20:59.119 by SEI visionary asset managers find opportunity where others are challenged. 0:20:59.200 --> 0:21:02.680 Exploits to drop in potential with SCI's global operating platform. 0:21:02.760 --> 0:21:04.959 Find out how at se i C dot com slash 0:21:05.000 --> 0:21:07.720 I M S. And we're about four hours away from 0:21:07.720 --> 0:21:09.480 the open of US trading. Let's get you up to 0:21:09.520 --> 0:21:11.160 date on the news you need to know. At this hour, 0:21:11.280 --> 0:21:14.240 Moscow has stepped up shelling in Ukraine and Russian troops 0:21:14.240 --> 0:21:16.960 are on the move. Satellite images show a forty mile 0:21:17.080 --> 0:21:20.960 long military convoy just north of Kiev. At the same time, 0:21:21.000 --> 0:21:23.360 the Pentagon is mulling a plan to deal with Russia 0:21:23.480 --> 0:21:26.879 if it eventually decides to de escalate, Bloomberg said. Baxter 0:21:27.000 --> 0:21:30.680 has the story a plan being called a deconfliction mechanism, 0:21:30.760 --> 0:21:34.000 and spokesman John Kirby says this could happen as Vladimir 0:21:34.080 --> 0:21:36.800 Putin has met more resistance than he expected. You gotta 0:21:36.840 --> 0:21:39.320 hand it to the Ukrainians who have been fighting very 0:21:39.359 --> 0:21:41.640 hard for their country and making an impact and making 0:21:41.680 --> 0:21:44.560 a dent. Having said that, Kirby says Putin still has 0:21:44.600 --> 0:21:47.760 more troops available. He hasn't moved all of it into Ukraine, 0:21:48.240 --> 0:21:50.400 but he's moved the majority of it. He still has 0:21:50.440 --> 0:21:53.760 a lot in San Francisco. I'm at Baxter Bloomberg Daybreak. 0:21:53.880 --> 0:21:56.000 Thank you, Ed. And as the conflict deepens, the list 0:21:56.040 --> 0:21:59.320 of companies abandoning Moscow is growing. Bloomberg's would need a 0:21:59.359 --> 0:22:01.600 Young joins us Live with the details. Good morning, Ranita, 0:22:01.640 --> 0:22:05.159 Good morning Nathan. Russia's largest foreign investor, BP led the 0:22:05.160 --> 0:22:08.320 way with its surprising announcement on Sunday that it would 0:22:08.359 --> 0:22:12.560 exit at stake and state controlled Rosneft. Shell followed yesterday 0:22:12.640 --> 0:22:16.600 saying it's ending partnerships with state controlled gas Prom and Equanoor, 0:22:16.680 --> 0:22:20.120 which is Norway's biggest energy company, also announced it will 0:22:20.160 --> 0:22:23.679 start withdrawing from its joint ventures in Russia worth about 0:22:23.680 --> 0:22:27.160 one point two billion dollars. Live in New York, I'm 0:22:27.200 --> 0:22:30.160