1 00:00:00,960 --> 00:00:04,200 Speaker 1: Live from the Bloomberg Interacted Burger Studios. This is Bloomberg 2 00:00:04,280 --> 00:00:08,039 Speaker 1: day Break for Thursday, August two. Coming up this hour, 3 00:00:08,280 --> 00:00:12,240 Speaker 1: the highly anticipated Jackson Whole Symposium kicks off today. We 4 00:00:12,280 --> 00:00:15,240 Speaker 1: are there with the latest. China takes steps to stimulate 5 00:00:15,280 --> 00:00:19,040 Speaker 1: its economy. Shipmaker and video gives it disappointing sales forecast. 6 00:00:19,160 --> 00:00:21,720 Speaker 1: I mean, the latest reaction to President Biden's planned to 7 00:00:21,760 --> 00:00:25,240 Speaker 1: forgive a portion of student loans held by millions. The 8 00:00:25,360 --> 00:00:29,480 Speaker 1: NYPD has ordered no unnecessary talking among police officers were 9 00:00:29,560 --> 00:00:32,280 Speaker 1: lowing in the streets lust. The Uvaldi, Texas school police 10 00:00:32,320 --> 00:00:35,080 Speaker 1: chief has been fired. I'm Michael bar More Ahead, I'm 11 00:00:35,159 --> 00:00:37,760 Speaker 1: John Stashower and sports a long time giant back at 12 00:00:37,760 --> 00:00:40,479 Speaker 1: practice the Mets, but get a homestand against Colorado. The 13 00:00:40,560 --> 00:00:45,400 Speaker 1: Yankees start a road trip in Oakland. That's all trended 14 00:00:45,400 --> 00:00:49,320 Speaker 1: ahead on Bloomberg Daybreak on Bloomberg eleven three on New York, 15 00:00:49,520 --> 00:00:54,200 Speaker 1: Bloomberg one, Washington, d C, Bloomberg one oh six one, Boston, 16 00:00:54,480 --> 00:00:58,920 Speaker 1: Bloomberg nine sixty, San Francisco, Syrius XM one nine team 17 00:00:59,120 --> 00:01:01,760 Speaker 1: and around the world. Old on Bloomberg Radio dot Com 18 00:01:02,000 --> 00:01:08,479 Speaker 1: and via the Bloomberg Business app. Good morning. I'm Nathan 19 00:01:08,480 --> 00:01:12,040 Speaker 1: Hagar and I'm Karen Moscow. US DOT Index futures on 20 00:01:12,080 --> 00:01:14,400 Speaker 1: the rise this morning. We are coming up to six 21 00:01:14,440 --> 00:01:16,440 Speaker 1: oh one on Wall Street. We take the markets every 22 00:01:16,440 --> 00:01:19,120 Speaker 1: fifteen minutes throughout the trading day on bloomberg S and 23 00:01:19,160 --> 00:01:22,480 Speaker 1: P futures up about nineteen points this morning, down futures 24 00:01:22,520 --> 00:01:25,040 Speaker 1: of eighty one and nasday futures of sixty nine. The 25 00:01:25,200 --> 00:01:28,280 Speaker 1: decks in Germany is little changed. Ten your treasury of 26 00:01:28,360 --> 00:01:30,920 Speaker 1: five thirty seconds, you know, three point oh eight per cent, 27 00:01:31,000 --> 00:01:33,080 Speaker 1: and they yield on the two year three point three 28 00:01:33,160 --> 00:01:37,560 Speaker 1: six percent. Nine max screwed oil that'll change at cents 29 00:01:37,600 --> 00:01:40,199 Speaker 1: of barrel, Nathan, Karen. It is the event Wall Street's 30 00:01:40,200 --> 00:01:43,280 Speaker 1: been waiting for all week. The Federal Reserves Annual Jackson 31 00:01:43,319 --> 00:01:47,000 Speaker 1: Whole Economic Symposium kicks off today and Bloomberg's Tom Keen 32 00:01:47,120 --> 00:01:50,080 Speaker 1: is in Jackson Hole covering it for us. Nathan and 33 00:01:50,160 --> 00:01:53,200 Speaker 1: Karen hugely anticipated Jackson Hole. Some of them have been 34 00:01:53,240 --> 00:01:56,360 Speaker 1: really pretty quiet. But we look out today and into 35 00:01:56,360 --> 00:01:59,680 Speaker 1: the chairman speech Friday, and we can say this time 36 00:01:59,760 --> 00:02:02,480 Speaker 1: is different. We've got markets on the move, we've got 37 00:02:02,480 --> 00:02:05,720 Speaker 1: foreign exchange in the move, but far more We've got 38 00:02:05,760 --> 00:02:10,400 Speaker 1: this huge Transatlantic divide, the difference in the economies of 39 00:02:10,680 --> 00:02:14,720 Speaker 1: Europe and a beleaguer United Kingdom and a relatively strong 40 00:02:15,080 --> 00:02:17,839 Speaker 1: United States. All right, Tom, Thanks? Please stick with Tom 41 00:02:17,919 --> 00:02:20,079 Speaker 1: Keene and the rest of the Bloomberg team for complete 42 00:02:20,120 --> 00:02:23,040 Speaker 1: live coverage of the Jackson Hole Symposium. Tom, along with 43 00:02:23,120 --> 00:02:26,200 Speaker 1: Lisa Abramowitz and Jonathan Farrell, will have a special edition 44 00:02:26,200 --> 00:02:29,359 Speaker 1: of Bloomberg Surveillance beginning next hour seven am on both 45 00:02:29,400 --> 00:02:32,639 Speaker 1: Bloomberg Radio and television. Well, Nathan, As Tom mentioned that 46 00:02:32,760 --> 00:02:35,639 Speaker 1: key event at Jackson Hole takes place tomorrow and Fed 47 00:02:35,720 --> 00:02:39,640 Speaker 1: Sherman J. Powell delivers a highly anticipated speech. Charles Schwab, 48 00:02:39,760 --> 00:02:43,080 Speaker 1: chief investment strategist Liz Anne Saunders does not think the 49 00:02:43,120 --> 00:02:46,320 Speaker 1: FED will change course and pivot to cutting rates. In 50 00:02:46,360 --> 00:02:49,799 Speaker 1: my mind, the only condition under which the FED would 51 00:02:49,880 --> 00:02:52,560 Speaker 1: so quickly move to a rate cutting mode would not 52 00:02:52,760 --> 00:02:55,399 Speaker 1: just be a retreat and inflation. I think that would 53 00:02:55,440 --> 00:02:58,120 Speaker 1: damage their credibility if they went to rate cutting simply 54 00:02:58,160 --> 00:03:01,480 Speaker 1: because inflation has started to come down. That would only, 55 00:03:01,520 --> 00:03:05,800 Speaker 1: I think, be preceded by a much more significant wortioning 56 00:03:05,800 --> 00:03:08,640 Speaker 1: in the economy than what we already have here, and 57 00:03:08,960 --> 00:03:11,880 Speaker 1: or a much more significant wortioning in the labor market. 58 00:03:12,160 --> 00:03:15,640 Speaker 1: Charles Schwaba, chief investment strategist Liz and Saunders says she 59 00:03:15,680 --> 00:03:19,040 Speaker 1: could see the FED pivoting to slower rate hikes rather 60 00:03:19,200 --> 00:03:22,000 Speaker 1: than rate cuts. As you mentioned, Karen, us futures are 61 00:03:22,080 --> 00:03:24,679 Speaker 1: higher ahead of Jackson Hole. In Asia, stock shows for 62 00:03:24,720 --> 00:03:27,520 Speaker 1: the first time in six sessions as investors welcomed an 63 00:03:27,520 --> 00:03:30,600 Speaker 1: extra hundred forty six billion dollars in pledge stimulus from 64 00:03:30,720 --> 00:03:34,240 Speaker 1: Chinese authorities. Let's get the recap from Bloomberg's Juliette Sally 65 00:03:34,320 --> 00:03:37,080 Speaker 1: in Singapore Morning. Juliette, Good morning, Karen and Nathan. The 66 00:03:37,160 --> 00:03:39,360 Speaker 1: m s CI Asia Pacific Index jumped the most in 67 00:03:39,440 --> 00:03:42,880 Speaker 1: two weeks, driven by gains across the region, including in Japan, China, 68 00:03:42,960 --> 00:03:45,600 Speaker 1: Hong Kong, and South Korea. Trade in Hong Kong was 69 00:03:45,640 --> 00:03:47,920 Speaker 1: shotted in the morning session due to a storm morning, 70 00:03:48,040 --> 00:03:50,160 Speaker 1: but equities jumped the most in two weeks in the 71 00:03:50,200 --> 00:03:53,160 Speaker 1: afternoon session on the back of the China stimulus announcement. 72 00:03:53,400 --> 00:03:55,880 Speaker 1: The Aussie also Rosa's trade has met. The stimulus would 73 00:03:55,880 --> 00:03:59,840 Speaker 1: boost demand for commodities in Singapore. Juliette Sally Bloomberg Daybreak 74 00:04:00,160 --> 00:04:02,200 Speaker 1: right Juliet, thank you. A couple of stocks here in 75 00:04:02,240 --> 00:04:04,360 Speaker 1: the US on the move in the pre market, shares 76 00:04:04,400 --> 00:04:07,000 Speaker 1: of in Video down four percent and early trading. The 77 00:04:07,040 --> 00:04:10,760 Speaker 1: chip maker gave a disappointing forecast for the current quarter, 78 00:04:11,120 --> 00:04:14,280 Speaker 1: and we get the details from Bloomberg's Doug Kristner. Just 79 00:04:14,400 --> 00:04:17,279 Speaker 1: two weeks ago, in Video warned sales for its recent 80 00:04:17,360 --> 00:04:20,679 Speaker 1: quarter would come in well below original expectations. A drop 81 00:04:20,680 --> 00:04:23,560 Speaker 1: in demand for PC gaming chips got to blame, along 82 00:04:23,600 --> 00:04:27,280 Speaker 1: with challenging market conditions. Well now, guidance for the current 83 00:04:27,360 --> 00:04:30,520 Speaker 1: quarter suggest the slump is going to last. For Q three, 84 00:04:30,560 --> 00:04:33,800 Speaker 1: revenue will be about five point nine billion dollars, roughly 85 00:04:33,839 --> 00:04:36,880 Speaker 1: a billion below the average analyist testament, and Video is 86 00:04:36,880 --> 00:04:41,120 Speaker 1: contending with a rapid shift from supply shortages to ballooning 87 00:04:41,160 --> 00:04:44,520 Speaker 1: stockpiles of unsold products. In New York on Doug Christner 88 00:04:44,520 --> 00:04:47,040 Speaker 1: Bloomberg Daybreak. All right, Doug. Thanks On the flip side, 89 00:04:47,080 --> 00:04:51,080 Speaker 1: shares of Snowflake are surging more than seventeen percent. Let's 90 00:04:51,120 --> 00:04:53,280 Speaker 1: get more on that life from Bloomberg's or Needy Young. 91 00:04:53,279 --> 00:04:56,119 Speaker 1: Good morning, Granita, Good morning Nathan. The company which helps 92 00:04:56,160 --> 00:05:00,320 Speaker 1: businesses organized data in the cloud projected quarterly products sales 93 00:05:00,360 --> 00:05:04,280 Speaker 1: that will top estimates. Snowflake charges customers based on how 94 00:05:04,360 --> 00:05:07,520 Speaker 1: much they use its data storage and analytics products, rather 95 00:05:07,600 --> 00:05:10,679 Speaker 1: than charging a flat rate subscription. Now you may recall, 96 00:05:10,720 --> 00:05:14,400 Speaker 1: Snowflake rose to prominence in September of twenty with one 97 00:05:14,400 --> 00:05:16,400 Speaker 1: of the biggest U s I p o s for 98 00:05:16,520 --> 00:05:19,640 Speaker 1: a software company, but ever since reaching a record share 99 00:05:19,640 --> 00:05:23,279 Speaker 1: price of almost four two dollars in the November, the 100 00:05:23,360 --> 00:05:27,720 Speaker 1: stock has tumbled. Live in Washington, I'm really need a 101 00:05:27,800 --> 00:05:30,440 Speaker 1: young Bloomberg daybreak, all right, Ray to thank you well. 102 00:05:30,520 --> 00:05:33,279 Speaker 1: Shares of Tesla are up one and a half percent 103 00:05:33,360 --> 00:05:36,040 Speaker 1: in early trading. We get the reason why from Bloomberg's 104 00:05:36,120 --> 00:05:39,719 Speaker 1: Jeff Bellinger. A three for one split of Tesla stock 105 00:05:39,800 --> 00:05:43,040 Speaker 1: went into effect after the markets closed yesterday. The split 106 00:05:43,080 --> 00:05:47,320 Speaker 1: adjusted shares begin trading today. Tesla said when it proposed 107 00:05:47,320 --> 00:05:49,320 Speaker 1: the split that it wanted to be able to offer 108 00:05:49,400 --> 00:05:53,000 Speaker 1: equity options to every employee, but stock in the electric 109 00:05:53,080 --> 00:05:56,560 Speaker 1: vehicle maker will also be more affordable for retail investors 110 00:05:56,560 --> 00:06:00,040 Speaker 1: looking to buy individual shares. Employees who are invested it 111 00:06:00,120 --> 00:06:02,960 Speaker 1: in the company stand to benefit if you investors pushed 112 00:06:03,000 --> 00:06:06,880 Speaker 1: the stock higher. Jeff Budinger Bloomberg Day Break. All right, Jeff, Thanks, 113 00:06:06,960 --> 00:06:09,400 Speaker 1: let's starting to Washington, where President Biden's made his long 114 00:06:09,440 --> 00:06:12,880 Speaker 1: awaited announcement on student loan forgiveness. He's canceling ten thousand 115 00:06:12,880 --> 00:06:14,840 Speaker 1: dollars in college debt for Americans who are in less 116 00:06:14,839 --> 00:06:17,400 Speaker 1: than a hundred twenty five thousand, twenty thousand if they 117 00:06:17,400 --> 00:06:19,640 Speaker 1: received a pell grant. And he's also extending the pause 118 00:06:19,680 --> 00:06:21,920 Speaker 1: on repayments through the end of the year, capping them 119 00:06:22,000 --> 00:06:25,400 Speaker 1: at five percent of monthly income. All this means people 120 00:06:25,400 --> 00:06:28,400 Speaker 1: can start finally crawl out from under that mountain of 121 00:06:28,480 --> 00:06:31,840 Speaker 1: debt again on top of the rent and the utilities. 122 00:06:32,040 --> 00:06:35,160 Speaker 1: But the move by President Biden's adding to concerns about inflation. 123 00:06:35,320 --> 00:06:38,440 Speaker 1: Rick Davis is a contributor for Bloomberg Politics. It just 124 00:06:38,520 --> 00:06:41,440 Speaker 1: took a year for Biden the past the Inflation Reduction Act, 125 00:06:41,480 --> 00:06:44,400 Speaker 1: which which reduced the national debt by just under three 126 00:06:44,440 --> 00:06:48,240 Speaker 1: hundred billion dollars. He just added five hundred billion dollars 127 00:06:48,279 --> 00:06:53,000 Speaker 1: including the extension maybe even more uh to replace that. 128 00:06:53,160 --> 00:06:56,560 Speaker 1: Bloomberg Politics contributor Rick Davis spoke with our Washington correspondent 129 00:06:56,640 --> 00:06:59,560 Speaker 1: Joe Matthew on Bloomberg Sound on Catch the Program weekdays 130 00:06:59,600 --> 00:07:02,960 Speaker 1: at five pm Eastern on Bloomberg Radio. Well, Nathan, futures 131 00:07:02,960 --> 00:07:05,520 Speaker 1: are higher this morning. S and P futures have nineteen 132 00:07:05,560 --> 00:07:09,120 Speaker 1: points down, futures have eighty four and hasdeck futures up 133 00:07:09,160 --> 00:07:12,040 Speaker 1: seventy two. Ten year treasury of four thirty seconds held 134 00:07:12,080 --> 00:07:15,400 Speaker 1: three eight percent straight. I had your latest local headlines 135 00:07:15,520 --> 00:07:23,400 Speaker 1: plus a check of sports, and this is Bloomberg King. 136 00:07:23,440 --> 00:07:25,440 Speaker 1: Thank you. Six oh seven on Wall Street, seventy four 137 00:07:25,480 --> 00:07:28,040 Speaker 1: degrees in Central Park. Got an accident in the outbound 138 00:07:28,040 --> 00:07:30,120 Speaker 1: Holland Tunnel. It will tell you that in traffic in 139 00:07:30,240 --> 00:07:32,560 Speaker 1: just a few minutes. First Michael Barr with what else 140 00:07:32,640 --> 00:07:34,440 Speaker 1: is going on in New York and around the world. 141 00:07:34,440 --> 00:07:37,240 Speaker 1: Good morning, Michael, Good morning Nathan. The MTA will hold 142 00:07:37,240 --> 00:07:40,760 Speaker 1: a meeting today about congestion pricing. The public will get 143 00:07:40,760 --> 00:07:43,960 Speaker 1: a chance to speak about the controversial plan. Some drivers 144 00:07:44,000 --> 00:07:46,600 Speaker 1: could see up to twenty three dollars every time they 145 00:07:46,720 --> 00:07:50,600 Speaker 1: drive into certain parts of Manhattan. The NYPD ordered officers 146 00:07:50,640 --> 00:07:54,280 Speaker 1: to stop unnecessary chatting while on the job. The New 147 00:07:54,360 --> 00:07:57,320 Speaker 1: York Post reports the orders came from a department wide memo. 148 00:07:57,640 --> 00:08:01,520 Speaker 1: Several weeks ago. Mayor Eric Adams was courted criticizing officers 149 00:08:01,680 --> 00:08:05,000 Speaker 1: were standing around talking while working. Adam said they should 150 00:08:05,000 --> 00:08:08,480 Speaker 1: spread out for better coverage. The school district police chief 151 00:08:08,480 --> 00:08:11,600 Speaker 1: in Yvaldi, Texas was fired last night. The school board 152 00:08:11,680 --> 00:08:15,440 Speaker 1: voted unanimously to release police Chief pet Eredondo. The motion 153 00:08:15,600 --> 00:08:20,560 Speaker 1: was introduced by Trustee Laura Perez and received unanimous support. Finally, 154 00:08:20,600 --> 00:08:24,640 Speaker 1: I moved to authorize the superintendent to issue written notice 155 00:08:24,760 --> 00:08:29,559 Speaker 1: to Mr. Rodondo of this board action, including filing any 156 00:08:29,600 --> 00:08:34,920 Speaker 1: needed reports required by the termination. Trustee Laura Perez and 157 00:08:34,960 --> 00:08:38,280 Speaker 1: community members slammed Eredondo for what they said was his 158 00:08:38,360 --> 00:08:41,280 Speaker 1: slow response and all of the children who died as 159 00:08:41,280 --> 00:08:44,240 Speaker 1: a result of that mass shooting. The widow of the 160 00:08:44,280 --> 00:08:47,200 Speaker 1: late Kobe Bryant has been awarded sixteen million dollars in 161 00:08:47,200 --> 00:08:50,880 Speaker 1: a lawsuit against Los Angeles County. Vanessa Bryant had sue 162 00:08:50,880 --> 00:08:54,200 Speaker 1: the county after pictures taken by a sheriff's deputy and 163 00:08:54,400 --> 00:08:58,560 Speaker 1: firefighter at the Kobe Bryant helicopter crash site were shared 164 00:08:58,600 --> 00:09:01,000 Speaker 1: with a number of people. She called that an invasion 165 00:09:01,000 --> 00:09:04,600 Speaker 1: of privacy, which led to emotional distrust. The Biden administration 166 00:09:04,640 --> 00:09:08,640 Speaker 1: has one in Idaho judges order ensuring women abortions in 167 00:09:08,720 --> 00:09:12,800 Speaker 1: medical emergencies. More from Bloomberg's head Baxter, the Idaho law 168 00:09:12,840 --> 00:09:14,920 Speaker 1: had to find the right to abortion to a woman 169 00:09:14,960 --> 00:09:17,920 Speaker 1: whose life was in danger. The judge ruled it too 170 00:09:18,000 --> 00:09:21,319 Speaker 1: narrow and then ruled that there would be no prosecution 171 00:09:21,400 --> 00:09:26,360 Speaker 1: of doctors who perform abortions in an emergency. Now, just yesterday, 172 00:09:26,360 --> 00:09:30,040 Speaker 1: a Texas judge ruled the other way. The conflicting ruling 173 00:09:30,120 --> 00:09:33,280 Speaker 1: show the patchwork of abortion laws on the books, but 174 00:09:33,400 --> 00:09:36,760 Speaker 1: it does give the Biden administration some precedent to continue 175 00:09:36,800 --> 00:09:40,960 Speaker 1: to pursue cases in San Francisco. I'm at Baxter, Bloomberg 176 00:09:41,000 --> 00:09:43,960 Speaker 1: day Break, Global News twenty four hours a day on air, 177 00:09:44,080 --> 00:09:47,720 Speaker 1: end on Bloomberg Quick to empowered by more than journalists 178 00:09:47,720 --> 00:09:51,160 Speaker 1: and analysts more than twenty countries. Michael bar this is Bloomberg, Nathan, 179 00:09:51,240 --> 00:09:57,880 Speaker 1: Thank you, Michael six o nine on Wall Street. Time 180 00:09:57,920 --> 00:10:00,880 Speaker 1: for the Bloomberg Sports Update. Here's John Stish Alright, Nathan 181 00:10:00,920 --> 00:10:02,800 Speaker 1: Well earned days off for the Mets and the Yankees 182 00:10:02,840 --> 00:10:04,960 Speaker 1: back tonight. Metsal left, Jacob M. Graham on the mounta 183 00:10:04,960 --> 00:10:07,800 Speaker 1: At City Field against Colorado, started a ten game homestand 184 00:10:07,800 --> 00:10:10,520 Speaker 1: the Dodgers in Washington will follow in the Atlanta Braves 185 00:10:10,520 --> 00:10:13,479 Speaker 1: one again, fourteen to two in Pittsburgh, and the Braves 186 00:10:13,520 --> 00:10:15,280 Speaker 1: are only a game and a half behind the Mets. 187 00:10:15,360 --> 00:10:17,280 Speaker 1: Yankees are tonight in Oakland. That's a team that is 188 00:10:17,320 --> 00:10:19,960 Speaker 1: twenty and forty one at home. The Yanks have won 189 00:10:20,000 --> 00:10:21,839 Speaker 1: three in a row, all by the same score, a 190 00:10:21,960 --> 00:10:24,480 Speaker 1: four to two. The Giants lost the wide receiver and 191 00:10:24,520 --> 00:10:27,400 Speaker 1: got one back. Colin Johnson looked good in the two 192 00:10:27,440 --> 00:10:29,880 Speaker 1: preseason wins. He had eleven catches, but he just tore 193 00:10:29,920 --> 00:10:33,360 Speaker 1: his achilles in practice, just as Sterling Shepherd, entering his 194 00:10:33,440 --> 00:10:36,080 Speaker 1: seventh season with the Giants, made his first appearance at 195 00:10:36,080 --> 00:10:39,520 Speaker 1: practice back from his achilles injury suffered late last season. 196 00:10:39,559 --> 00:10:42,920 Speaker 1: Giants and Jets have their annual preseason games Sunday afternoon 197 00:10:43,320 --> 00:10:45,960 Speaker 1: at Medlife. NFL Hall of Famer Lynn Dawson has died 198 00:10:46,000 --> 00:10:48,800 Speaker 1: at eighties seven quarterback Kansas City to an upset win 199 00:10:49,200 --> 00:10:52,720 Speaker 1: a Super Bowl four. The PGA Tour responded the players 200 00:10:52,840 --> 00:10:56,000 Speaker 1: leaving for the new Live Tour with new policies and initiatives, 201 00:10:56,400 --> 00:10:59,520 Speaker 1: more bigger events, a commitment from top players to play 202 00:10:59,520 --> 00:11:03,000 Speaker 1: in them, more prize money at those events. For the commissioners, 203 00:11:03,040 --> 00:11:05,520 Speaker 1: Jim Monahan, this is a remarkable time for the Tour. 204 00:11:06,360 --> 00:11:10,120 Speaker 1: We have and always will be the ultimate platform for 205 00:11:10,240 --> 00:11:13,320 Speaker 1: player who wants to compete for the trophies and the 206 00:11:13,320 --> 00:11:17,199 Speaker 1: titles that matter most. To now have our top players 207 00:11:17,280 --> 00:11:20,880 Speaker 1: rally around this organization and commit to a portfolio of 208 00:11:20,960 --> 00:11:25,000 Speaker 1: tournaments like never before. Ronahan worked with the likes of 209 00:11:25,040 --> 00:11:27,480 Speaker 1: Tiger Woods and Rory McIlroy on these new policies. No 210 00:11:27,600 --> 00:11:29,480 Speaker 1: lack of prize money on the line this weekend season. 211 00:11:29,480 --> 00:11:31,680 Speaker 1: Any Tour championship teas off today in Atlanta in the 212 00:11:31,720 --> 00:11:35,160 Speaker 1: winner wins eighteen million dollars. John stash were Bloomberg Sports, 213 00:11:35,640 --> 00:11:38,680 Speaker 1: Thanks John SMP futures up eighteen points, Staff futures up 214 00:11:38,720 --> 00:11:42,559 Speaker 1: eighty NAZAC futures up seventy one p ten. Your treasury 215 00:11:42,600 --> 00:11:45,000 Speaker 1: is up three thirty seconds. Deal three point zero nine 216 00:11:45,000 --> 00:11:48,520 Speaker 1: percent yield on the two year three point three seven 217 00:11:48,559 --> 00:11:51,280 Speaker 1: All this ahead of the kick off the the Jackson 218 00:11:51,320 --> 00:11:56,040 Speaker 1: Whole Economic Symposium. Talk more about what Chairman Powell might 219 00:11:56,080 --> 00:11:59,560 Speaker 1: have to say tomorrow morning. Ira Jersey, Chief US Right 220 00:11:59,600 --> 00:12:04,439 Speaker 1: Strategy for Bloomberg Intelligence joins us. Next, this is Bloomberg, 221 00:12:07,320 --> 00:12:09,839 Speaker 1: Bloomberg eleven three o other sunny in your ninety today 222 00:12:09,880 --> 00:12:12,960 Speaker 1: Maybe a late day shower storm Tomorrow opper eighties, mostly 223 00:12:13,000 --> 00:12:15,839 Speaker 1: sunny oper eighties for Saturday, mid eighties, partly the mostly 224 00:12:15,880 --> 00:12:18,760 Speaker 1: sunny by Sunday right now seventy four degrees in Central 225 00:12:18,800 --> 00:12:25,199 Speaker 1: Park markets. Headlines and breaking news twenty four hours a 226 00:12:25,280 --> 00:12:28,280 Speaker 1: day at Bloomberg dot Com, the Bloomberg Business at and 227 00:12:28,440 --> 00:12:38,320 Speaker 1: at Bloomberg Quicktape. He's a Bloomberg Business Flash and I'm 228 00:12:38,400 --> 00:12:41,440 Speaker 1: Karen Moscow. US stock index futures are on the rise 229 00:12:41,520 --> 00:12:45,400 Speaker 1: as China's massive stimulus steady, some nerves in the anxious 230 00:12:45,400 --> 00:12:48,560 Speaker 1: wait for a key speech by Federal Reserve Chair Jerome Powell. 231 00:12:49,040 --> 00:12:51,839 Speaker 1: Treasury yields and the dollar gauge are dipping. We checked 232 00:12:51,880 --> 00:12:54,280 Speaker 1: the markets every fifteen minutes throughout the trading day on 233 00:12:54,320 --> 00:12:58,439 Speaker 1: Bloomberg SNP futures of nineteen points now futures of eighty three, 234 00:12:58,520 --> 00:13:01,800 Speaker 1: NAS day futures of seventy four. The decks in Germany's 235 00:13:01,840 --> 00:13:04,280 Speaker 1: up a tenth of uppercent ten year treasury of four 236 00:13:04,360 --> 00:13:07,080 Speaker 1: thirty seconds he three eight percent. They yield on the 237 00:13:07,120 --> 00:13:10,200 Speaker 1: two year three point three six per cent. Nimex crude 238 00:13:10,240 --> 00:13:12,040 Speaker 1: oil is up a tenth of upper cent or ten 239 00:13:12,080 --> 00:13:14,400 Speaker 1: cents at ninety four dollars ninety nine cents of barrel 240 00:13:14,640 --> 00:13:17,320 Speaker 1: COLLBX schooled up eight ten percent or fourteen dollars seventy 241 00:13:17,360 --> 00:13:20,599 Speaker 1: cents is seventeen seventy six ten announced the euro is 242 00:13:20,640 --> 00:13:24,480 Speaker 1: at poe against the dollar. British found one to eight 243 00:13:24,800 --> 00:13:27,120 Speaker 1: and the end one thirty six point five four And 244 00:13:27,120 --> 00:13:30,160 Speaker 1: look at a big coin. It's little change at six 245 00:13:30,800 --> 00:13:33,880 Speaker 1: ninety dollars. That's a Bloomberg business flash. Now here's Michael 246 00:13:33,920 --> 00:13:36,000 Speaker 1: Barr with more on what's going on around the world. 247 00:13:36,120 --> 00:13:39,200 Speaker 1: Michael Karen, thank you very much. Reaction to President Biden's 248 00:13:39,240 --> 00:13:43,959 Speaker 1: announcement of ten thousand dollars in student loan forgiveness, some 249 00:13:44,200 --> 00:13:48,640 Speaker 1: expected more debt cancelation. Others called it another handout, adding 250 00:13:48,720 --> 00:13:52,280 Speaker 1: to the country's deficit woes. Senator Mitch McConnell called it 251 00:13:52,360 --> 00:13:55,360 Speaker 1: a slap in the face to every family who sacrificed, 252 00:13:55,840 --> 00:14:00,400 Speaker 1: say for college, every graduate who paid their debt. Russian 253 00:14:00,440 --> 00:14:03,080 Speaker 1: missile strike in Ukraine killed at least twenty two people 254 00:14:03,160 --> 00:14:05,920 Speaker 1: on the day that the nation was celebrating thirty one 255 00:14:06,040 --> 00:14:09,600 Speaker 1: years of independence from the Old Sylvia Union. In baseball, 256 00:14:09,640 --> 00:14:13,360 Speaker 1: the Red Sox and Orioles lost the Nationals one the 257 00:14:13,559 --> 00:14:16,240 Speaker 1: A's beat the Marlins in ten innings three to the 258 00:14:16,320 --> 00:14:19,560 Speaker 1: Giants Lost. Global News twenty four hours a day on 259 00:14:19,720 --> 00:14:23,000 Speaker 1: air and on Bloomberg Quicktake, powered by more than twenty 260 00:14:23,080 --> 00:14:25,880 Speaker 1: seven hundred journalists and analyist more than a hundred twenty countries. 261 00:14:26,240 --> 00:14:29,240 Speaker 1: Michael Laren, this is Bloomberg Nathan Alright, Michael, thank you 262 00:14:29,320 --> 00:14:31,920 Speaker 1: to six nineteen on Wall Street Live from the Bloomberg 263 00:14:32,000 --> 00:14:36,400 Speaker 1: Interactive Broker Studios. This is Bloomberg Daybreak as we get 264 00:14:36,520 --> 00:14:39,880 Speaker 1: set for the kickoff of the Jackson Whole Economic Symposium 265 00:14:39,960 --> 00:14:43,720 Speaker 1: and mere hours now. We're joined by Ira Jersey, chief 266 00:14:43,800 --> 00:14:48,120 Speaker 1: US rates strategist at Bloomberg Intelligence. Ira, good morning. We've 267 00:14:48,160 --> 00:14:51,680 Speaker 1: seen a lot of movement in the rates market in 268 00:14:51,760 --> 00:14:54,760 Speaker 1: the lead up to this con fab. What do you 269 00:14:54,920 --> 00:15:00,200 Speaker 1: see treasury traders pricing in ahead of Pal's comments tomorrow? Yeah, 270 00:15:00,200 --> 00:15:02,920 Speaker 1: so still pricing in additional interest rate hikes and and 271 00:15:03,560 --> 00:15:06,920 Speaker 1: one hike at least in three which is a bit 272 00:15:07,000 --> 00:15:10,720 Speaker 1: different than what we saw after the last Federal Reserve 273 00:15:10,800 --> 00:15:15,720 Speaker 1: meeting when J. Powell's UM, I guess his his press 274 00:15:15,760 --> 00:15:18,360 Speaker 1: conference was taken a somewhat dovish um. So it'll be 275 00:15:18,440 --> 00:15:21,480 Speaker 1: interesting to see what he says in terms of, you know, 276 00:15:21,600 --> 00:15:24,720 Speaker 1: how what their propensity to really fight inflation is, how 277 00:15:24,800 --> 00:15:28,160 Speaker 1: worried they are about some areas of the economy starting 278 00:15:28,160 --> 00:15:31,320 Speaker 1: at the slow and UM, and just how serious they 279 00:15:31,360 --> 00:15:34,400 Speaker 1: are in terms of um UH, in terms of getting 280 00:15:34,480 --> 00:15:38,520 Speaker 1: inflation and inflation expectations back down because um, you know, 281 00:15:38,600 --> 00:15:40,520 Speaker 1: one of the risks that they have at this point 282 00:15:40,720 --> 00:15:44,280 Speaker 1: is that UM inflation and wages continue to grow pretty 283 00:15:44,320 --> 00:15:48,000 Speaker 1: significantly and you get a wage price spiral similar to 284 00:15:48,080 --> 00:15:51,120 Speaker 1: what you had in the nineteen seventies. Are you expecting 285 00:15:51,400 --> 00:15:55,840 Speaker 1: any clarity from the Chairman tomorrow? Well, I am, and 286 00:15:56,000 --> 00:15:58,920 Speaker 1: I suspect that he will end up saying that, UM, 287 00:15:59,040 --> 00:16:01,840 Speaker 1: that the FED is very serious about fighting inflation, that 288 00:16:01,960 --> 00:16:05,360 Speaker 1: we're going to keep on hiking into three because I 289 00:16:05,480 --> 00:16:08,600 Speaker 1: think with the market kind of missed in UH in 290 00:16:08,720 --> 00:16:12,640 Speaker 1: their their pricing of expectations for the FED over the 291 00:16:12,720 --> 00:16:16,280 Speaker 1: next couple of years. UM since the last FED meeting 292 00:16:16,720 --> 00:16:19,160 Speaker 1: is that when when j said they're going to slow 293 00:16:19,240 --> 00:16:22,040 Speaker 1: the pace of purchases, yes, they're going to not be 294 00:16:22,200 --> 00:16:25,200 Speaker 1: hiking at seventy five basis points every meeting. We you know, 295 00:16:25,320 --> 00:16:27,320 Speaker 1: we had never expected them to continue to do that. 296 00:16:27,840 --> 00:16:30,480 Speaker 1: But what the market. I think is getting is missing 297 00:16:30,600 --> 00:16:33,760 Speaker 1: is that they may go much further for longer. So 298 00:16:33,960 --> 00:16:36,520 Speaker 1: in other words, they might only hike at base when 299 00:16:36,560 --> 00:16:39,320 Speaker 1: increments come this fall, but they might go into the 300 00:16:39,400 --> 00:16:42,360 Speaker 1: middle of next year and and and hike interest rates 301 00:16:42,520 --> 00:16:45,320 Speaker 1: well above four percent, which is not being priced in 302 00:16:45,360 --> 00:16:47,160 Speaker 1: the market right now. And I think that j. Powell 303 00:16:47,240 --> 00:16:49,480 Speaker 1: is going to hint that that's the path that the 304 00:16:49,720 --> 00:16:52,640 Speaker 1: Fed ultimately is going to take. You put out a 305 00:16:52,720 --> 00:16:55,720 Speaker 1: note on Bloomberg Intelligence this week that the treasury curve 306 00:16:55,800 --> 00:16:59,680 Speaker 1: inversion could resume after the Jackson Whole address. It sounds 307 00:16:59,720 --> 00:17:01,800 Speaker 1: like it's kind of what you're alluding to in terms 308 00:17:01,840 --> 00:17:04,720 Speaker 1: of the chairman getting more clarity. But you know, I'm 309 00:17:04,840 --> 00:17:08,440 Speaker 1: I'm just a simple guy. We've been in treasury curve 310 00:17:08,480 --> 00:17:12,000 Speaker 1: and version for quite some time, haven't we. Well, it's 311 00:17:12,040 --> 00:17:14,360 Speaker 1: it's been a couple of months, which isn't that long 312 00:17:14,440 --> 00:17:16,560 Speaker 1: in the grand scheme of things. And I think the 313 00:17:16,680 --> 00:17:19,879 Speaker 1: magnitude of inversion matters at some level. Two and and 314 00:17:20,080 --> 00:17:24,840 Speaker 1: will highlight um that how aggressive ultimately the Federal Reserve 315 00:17:24,920 --> 00:17:26,920 Speaker 1: is going to be, so shorter term interest rates like 316 00:17:27,280 --> 00:17:30,560 Speaker 1: two year notes, for example, might wind up moving up 317 00:17:30,600 --> 00:17:33,879 Speaker 1: toward towards three point eight three point nine percent, so 318 00:17:34,040 --> 00:17:37,360 Speaker 1: another you know, thirty forty basis points higher in terms 319 00:17:37,359 --> 00:17:40,040 Speaker 1: of yield. And I think longer term yields like the 320 00:17:40,119 --> 00:17:43,280 Speaker 1: tenure yield might only move back up towards the call 321 00:17:43,400 --> 00:17:46,440 Speaker 1: it three and a quarter percent um and UM, and 322 00:17:46,880 --> 00:17:50,920 Speaker 1: on the expectation that at some point in the Federal 323 00:17:50,920 --> 00:17:52,840 Speaker 1: Reserve is gonna cut interest rates quite a lot and 324 00:17:53,080 --> 00:17:55,080 Speaker 1: wind up going back towards two and a half percent 325 00:17:55,200 --> 00:17:57,480 Speaker 1: or so in terms of the Fed Fund rate after 326 00:17:57,640 --> 00:18:00,280 Speaker 1: getting up to four and a half. So so the 327 00:18:00,640 --> 00:18:03,119 Speaker 1: the curve is going to have to um. You know, 328 00:18:03,280 --> 00:18:06,880 Speaker 1: I think price pretty aggressively a you know, a much 329 00:18:07,080 --> 00:18:09,800 Speaker 1: deeper inversion of the curve. And and that's that that 330 00:18:09,840 --> 00:18:13,040 Speaker 1: wouldn't be a big surprise that that would be unusual 331 00:18:13,160 --> 00:18:16,120 Speaker 1: for the last twenty years. But it's not that unusual 332 00:18:16,200 --> 00:18:18,840 Speaker 1: in the whole history of the of the market, especially 333 00:18:18,920 --> 00:18:22,120 Speaker 1: when inflation dynamics are much different than they have been 334 00:18:22,400 --> 00:18:24,399 Speaker 1: um over the recent paths. You go back to the 335 00:18:24,480 --> 00:18:27,719 Speaker 1: nineteen eighties and in the early nineties, and in versions 336 00:18:27,760 --> 00:18:31,000 Speaker 1: of of fifty sixty basis points are not that unusual. 337 00:18:31,359 --> 00:18:33,600 Speaker 1: So our last minute here, Ira, you don't see a 338 00:18:33,640 --> 00:18:35,879 Speaker 1: whole lot of wiggle room then for the Fed, given 339 00:18:35,960 --> 00:18:39,000 Speaker 1: the weakness in some of the economic data we've seen 340 00:18:39,040 --> 00:18:42,880 Speaker 1: of light. Well, so what's what's interesting is we've seen 341 00:18:43,359 --> 00:18:46,359 Speaker 1: some sector some weakness. You know, housing market is is 342 00:18:46,600 --> 00:18:49,320 Speaker 1: certainly a big one. But when you when when you 343 00:18:49,359 --> 00:18:52,439 Speaker 1: look at the wage data and you think about how 344 00:18:52,560 --> 00:18:55,760 Speaker 1: wage price vils tend to develop, um, there still is 345 00:18:56,000 --> 00:18:59,600 Speaker 1: a significant amount of inflation at the core level that 346 00:18:59,680 --> 00:19:02,960 Speaker 1: seems to be accelerating. So you still have faster inflation 347 00:19:03,000 --> 00:19:05,400 Speaker 1: at the core level. That means that, uh, it can 348 00:19:05,440 --> 00:19:08,240 Speaker 1: be inflation in general can be much stickier, you know, 349 00:19:08,320 --> 00:19:10,080 Speaker 1: not at eight percent, but you can wind up being 350 00:19:10,119 --> 00:19:12,040 Speaker 1: stickier at three and a half or four percent, which 351 00:19:12,080 --> 00:19:15,440 Speaker 1: is still way above where the Federal Reserve wants inflation 352 00:19:15,520 --> 00:19:17,160 Speaker 1: to be, which is one of the reasons I think 353 00:19:17,560 --> 00:19:19,639 Speaker 1: ultimately they'll have to hike a little bit further than 354 00:19:19,720 --> 00:19:22,800 Speaker 1: what the markets currently priced. Interesting to see whether we're 355 00:19:22,800 --> 00:19:25,119 Speaker 1: going to get that kind of clarity from Sherman Powell 356 00:19:25,560 --> 00:19:29,240 Speaker 1: tomorrow right around ten am Wall Street time when he 357 00:19:29,320 --> 00:19:32,680 Speaker 1: makes that speech. Ira Jersey, chief US interest rate strategist 358 00:19:32,760 --> 00:19:35,960 Speaker 1: at Bloomberg Intelligence, thanks for being with us this morning. 359 00:19:36,080 --> 00:19:39,040 Speaker 1: As we get ready for the kickoff of the Jackson 360 00:19:39,119 --> 00:19:42,400 Speaker 1: Whole Economic Symposium this morning. We're gonna have full coverage 361 00:19:42,440 --> 00:19:47,040 Speaker 1: beginning with Bloomberg surveillance in Jackson Hole. That starts just 362 00:19:47,119 --> 00:19:48,960 Speaker 1: about a half hour from now. Is seven am. Wall 363 00:19:49,000 --> 00:19:52,400 Speaker 1: Street time. Right here on Bloomberg Radio and on Bloomberg Television, 364 00:19:53,000 --> 00:19:55,240 Speaker 1: SMP Future is up twenty one point, staff futures up 365 00:19:55,320 --> 00:19:58,240 Speaker 1: nine danced futures up eighty five points ten. Your treasury 366 00:19:58,320 --> 00:20:01,639 Speaker 1: yield right now three points zero eight per cent. This 367 00:20:02,600 --> 00:20:09,040 Speaker 1: is Bloomberg Bloomberg eleven three oh weather sunny, going to 368 00:20:09,160 --> 00:20:12,600 Speaker 1: near ninety today. We'll have a late day shower, thunderstorm tomorrow. 369 00:20:12,600 --> 00:20:16,000 Speaker 1: Otherwise sunshine opper eighties, mostly Sunday, oper eighties, Saturday a 370 00:20:16,119 --> 00:20:19,600 Speaker 1: mid eighties, and sunshine on Sunday. Right now seventy two degrees. 371 00:20:22,000 --> 00:20:26,480 Speaker 1: Broadcasting live from the Bloomberg Interactive Broker Studio in New York. 372 00:20:26,640 --> 00:20:31,280 Speaker 1: Bloomberg E Loving Freedom to Washington, d C, Bloomberg to Boston, 373 00:20:31,400 --> 00:20:34,800 Speaker 1: Bloomberg one O six one to San Francisco, Bloomberg Home 374 00:20:34,920 --> 00:20:37,439 Speaker 1: sixty to the country. Sirius xm H had a one 375 00:20:37,560 --> 00:20:40,639 Speaker 1: nineteen and around the globe. The Bloomberg business app in 376 00:20:40,720 --> 00:20:50,520 Speaker 1: Bloomberg Radio dot com. This is Bloomberg Daybreak six thirty 377 00:20:50,560 --> 00:20:53,080 Speaker 1: on Wall Street. Good morning, I'm Nathan Hagar and I'm 378 00:20:53,160 --> 00:20:56,040 Speaker 1: Karen Moscow. He are just about three hours away from 379 00:20:56,040 --> 00:20:58,080 Speaker 1: the open of US trading. It's time for the five 380 00:20:58,160 --> 00:21:00,480 Speaker 1: things that you need to notice start your a brought 381 00:21:00,520 --> 00:21:05,080 Speaker 1: to you by Interactive Brokers. Interactive Brokers Global Analysts helps 382 00:21:05,080 --> 00:21:08,480 Speaker 1: you find new global investment opportunities to diversify your portfolio 383 00:21:08,600 --> 00:21:11,880 Speaker 1: and discover undervalued companies they may have greater growth potential. 384 00:21:12,160 --> 00:21:15,160 Speaker 1: Try ibk our Global Analysts today at ibk R dot 385 00:21:15,240 --> 00:21:18,920 Speaker 1: com slash g a up. First, the event Wall Street's 386 00:21:18,920 --> 00:21:22,480 Speaker 1: been waiting for, The Federal Reserves Annual Jackson Hole Economic 387 00:21:22,520 --> 00:21:26,720 Speaker 1: Symposium kicks off today. Bloomberg's Lisa Abramowitz is covering it 388 00:21:26,840 --> 00:21:30,000 Speaker 1: for us in Jackson Hole. Join us at a monumental 389 00:21:30,119 --> 00:21:33,479 Speaker 1: Jackson Hole Symposium hosted by the Kansas City Federal Reserve. 390 00:21:33,600 --> 00:21:35,920 Speaker 1: This is going to be one of the most consequential 391 00:21:36,119 --> 00:21:38,760 Speaker 1: meetings of Fed officials as they digest some of the 392 00:21:38,920 --> 00:21:43,600 Speaker 1: changes facing the economy, facing inflation, facing monetary policy as 393 00:21:43,720 --> 00:21:45,640 Speaker 1: we know it. Some of the big questions J Powe 394 00:21:45,640 --> 00:21:49,200 Speaker 1: will be addressing include where is the terminal rate? Where 395 00:21:49,240 --> 00:21:52,800 Speaker 1: should rates end up in an economy beset by inflation? 396 00:21:53,200 --> 00:21:56,080 Speaker 1: And what should we expect an employment market that still 397 00:21:56,280 --> 00:21:59,560 Speaker 1: is strong it is showing signs of weakening and Lisa 398 00:21:59,600 --> 00:22:02,080 Speaker 1: A Brama, It's Bloomberg day Break Current. Lisa, thanks, so 399 00:22:02,160 --> 00:22:04,359 Speaker 1: please stick with Bloomberg for complete live coverage of the 400 00:22:04,440 --> 00:22:07,280 Speaker 1: Jackson Holes and Polsium. Lisa, along with Tom Keen and 401 00:22:07,359 --> 00:22:10,600 Speaker 1: Dunathan Pharaoh, will have a special edition of Bloomberg Surveillance 402 00:22:10,640 --> 00:22:14,280 Speaker 1: beginning at seven am on bloo both Bloomberg Radio on television. 403 00:22:14,480 --> 00:22:16,240 Speaker 1: Of course, the key event, Karen has Fed shared j 404 00:22:16,400 --> 00:22:20,040 Speaker 1: Pali's highly anticipated speech tomorrow morning. Morgan Stanley Chief investment 405 00:22:20,080 --> 00:22:23,000 Speaker 1: Officer Mike Wilson tells Bloomberg he's not too concerned if 406 00:22:23,000 --> 00:22:25,720 Speaker 1: Pal signals a rate hike pivot. The big change this 407 00:22:25,840 --> 00:22:29,600 Speaker 1: time versus a prior periods when markets got excited about 408 00:22:29,640 --> 00:22:32,040 Speaker 1: a FED pivot is this time they're not going to 409 00:22:32,440 --> 00:22:34,760 Speaker 1: So most investors, I think are realistic about the FED 410 00:22:34,840 --> 00:22:38,119 Speaker 1: and inflation, but they're not realistic about is they're not 411 00:22:38,440 --> 00:22:42,439 Speaker 1: accounting for the negative operating leverage that we're about to experience. 412 00:22:42,640 --> 00:22:44,879 Speaker 1: Morgan Stanley c I O Mike Wilson says he is 413 00:22:44,920 --> 00:22:49,120 Speaker 1: bearish on equity markets because of quantitative Tighteningmall Street shares 414 00:22:49,160 --> 00:22:51,520 Speaker 1: of in Video down three points six percent after the 415 00:22:51,560 --> 00:22:55,200 Speaker 1: shipmaker released a week quarterly forecast. Bloomberg Jondy Young joins 416 00:22:55,280 --> 00:22:58,080 Speaker 1: US Live with the details. Good morning Randa, Good morning Karen. 417 00:22:58,200 --> 00:23:01,960 Speaker 1: In Video recently warned seals would come in well below expectations, 418 00:23:02,240 --> 00:23:05,840 Speaker 1: and yesterday it gave a disappointing forecast for the current period, 419 00:23:06,119 --> 00:23:09,520 Speaker 1: adding to signs of weakness in the semiconductor industry. Fiscal 420 00:23:09,680 --> 00:23:12,520 Speaker 1: third quarter revenue will be about five point nine billion, 421 00:23:12,800 --> 00:23:16,520 Speaker 1: compared with average analysts estimates of six point nine two billion. 422 00:23:16,800 --> 00:23:20,760 Speaker 1: The video claims declining blames declining demand for chips used 423 00:23:20,800 --> 00:23:23,320 Speaker 1: in gaming computers. Live in Washington, I'm gonna need a 424 00:23:23,359 --> 00:23:25,639 Speaker 1: young Bloomberg daybreak ivery need to thank you. That's the 425 00:23:25,680 --> 00:23:27,520 Speaker 1: five things so you need to notice start your day. 426 00:23:27,600 --> 00:23:30,520 Speaker 1: Brought to you by Interactive Brokers, straight ahead, your latest 427 00:23:30,600 --> 00:23:39,320 Speaker 1: local headlines, and this is Bloomberg. Thanks. Karen sixty three 428 00:23:39,359 --> 00:23:41,639 Speaker 1: on Wall Street, seventy three degrees in Central Park. Got 429 00:23:41,720 --> 00:23:45,040 Speaker 1: a crash in Farmingdale westbound Hempstead Turnpike a room one 430 00:23:45,080 --> 00:23:48,040 Speaker 1: O nine. Details coming up in traffic. First Michael Barr 431 00:23:48,200 --> 00:23:49,760 Speaker 1: with what else is going on in New York and 432 00:23:49,880 --> 00:23:52,520 Speaker 1: around the world. Good morning, Michael, Good morning Nathan. The 433 00:23:52,720 --> 00:23:57,440 Speaker 1: NYPD ordered officers to stop unnecessary conversation while on the job. 434 00:23:57,920 --> 00:24:00,159 Speaker 1: The New York Post reports the ortists came from a 435 00:24:00,200 --> 00:24:03,560 Speaker 1: department wide memo. Several weeks ago. Mayor Eric Adams was 436 00:24:03,680 --> 00:24:08,040 Speaker 1: recorded criticizing officers for standing around talking while working. Adams 437 00:24:08,080 --> 00:24:11,360 Speaker 1: said they should spread out for better coverage. Last night, 438 00:24:11,640 --> 00:24:15,320 Speaker 1: Mayor Adams also held a community conversation about public safety. 439 00:24:15,800 --> 00:24:20,240 Speaker 1: This city was a mess. Don't catch yourselves. It wasn't you. 440 00:24:21,119 --> 00:24:26,000 Speaker 1: It was a city of just complete dysfunctionality. You couldn't 441 00:24:26,000 --> 00:24:29,960 Speaker 1: even get a inspection done in time, and the Department 442 00:24:30,000 --> 00:24:33,120 Speaker 1: of buildinges you. You thought that every time someone walked 443 00:24:33,160 --> 00:24:36,119 Speaker 1: aside a small business from an agency, they came with 444 00:24:36,240 --> 00:24:38,760 Speaker 1: a fine book instead of saying, how do I keep 445 00:24:38,800 --> 00:24:42,200 Speaker 1: your doors open? Mayor Adams held a meeting on Staten Island. 446 00:24:42,560 --> 00:24:45,640 Speaker 1: You've all these school District Police Chief Pete Aredondo has 447 00:24:45,720 --> 00:24:48,080 Speaker 1: been fired by the school board after the Many twenty 448 00:24:48,119 --> 00:24:51,560 Speaker 1: four mass shooting at the town's rob elementary school. The 449 00:24:51,640 --> 00:24:58,280 Speaker 1: sent a Salazar granddaughter, Leila, died that day determination coming. 450 00:24:58,560 --> 00:25:01,840 Speaker 1: I think I should have been done in immediately, but 451 00:25:01,960 --> 00:25:04,040 Speaker 1: it wasn't. Took us three months to get this done. 452 00:25:04,600 --> 00:25:07,720 Speaker 1: Presidente Salazar was one of many community members who spoke 453 00:25:07,800 --> 00:25:10,760 Speaker 1: before the vote to fire at Redondo. The MTA will 454 00:25:10,800 --> 00:25:13,840 Speaker 1: hold a meeting today about congestion pricing. The public will 455 00:25:13,840 --> 00:25:16,720 Speaker 1: get a chance to speak about the controversial plan. Some 456 00:25:16,920 --> 00:25:19,680 Speaker 1: drivers could see up to twenty three dollars every time 457 00:25:19,720 --> 00:25:23,040 Speaker 1: they drive into certain parts of Manhattan. More bus loads 458 00:25:23,080 --> 00:25:25,720 Speaker 1: of migrants are expected to arrive today in New York 459 00:25:25,760 --> 00:25:29,800 Speaker 1: City from Texas. Earlier, migrants were seen wearing would appear 460 00:25:29,840 --> 00:25:33,480 Speaker 1: to be tracking bracelets from Texas. President Joe Biden is 461 00:25:33,520 --> 00:25:36,159 Speaker 1: moving to a raise ten thousand dollars in federal student 462 00:25:36,280 --> 00:25:38,399 Speaker 1: loan debt for those when then it comes below a 463 00:25:38,480 --> 00:25:41,520 Speaker 1: hundred twenty five thousand dollars a year or households that 464 00:25:41,640 --> 00:25:44,480 Speaker 1: are in less than two hundred fifty thousand dollars. Republicans 465 00:25:44,560 --> 00:25:46,960 Speaker 1: say the president is trying to bribe voters ahead of 466 00:25:47,000 --> 00:25:49,760 Speaker 1: the mid terms and will only make inflation worse, but 467 00:25:49,920 --> 00:25:52,439 Speaker 1: Biden said the cost of going to college has settled 468 00:25:52,480 --> 00:25:55,840 Speaker 1: a generation of Americans with high debt. The burden is 469 00:25:55,920 --> 00:25:58,200 Speaker 1: so heavy that if you graduate, you may not have 470 00:25:58,400 --> 00:26:01,760 Speaker 1: access to mid class life at the college degree once provided. 471 00:26:02,600 --> 00:26:05,640 Speaker 1: Many people. Many people can't qualify for mortgage to buy 472 00:26:05,680 --> 00:26:08,440 Speaker 1: a home because of the debt they continue to carry. 473 00:26:08,760 --> 00:26:12,040 Speaker 1: President Biden is also canceling an additional ten thousand dollars 474 00:26:12,119 --> 00:26:15,080 Speaker 1: for those who receive federal pell grants. Global News twenty 475 00:26:15,119 --> 00:26:17,720 Speaker 1: four hours a day on air and on Bloomberg Quick Take, 476 00:26:17,760 --> 00:26:20,840 Speaker 1: powered by more than twenty seven hundred journalists analysts more 477 00:26:20,880 --> 00:26:23,960 Speaker 1: than a hundred twenty countries. I'm Michael bar This is Bloomberg, Nathan, 478 00:26:24,040 --> 00:26:31,120 Speaker 1: Thank you, Michael. Just about six thirty six on Wall Street, 479 00:26:31,200 --> 00:26:33,679 Speaker 1: John stash Our has the Bloomberg Sports Update. All right, 480 00:26:33,760 --> 00:26:36,560 Speaker 1: Nathan will welcome sight that Giants practice veteran white out 481 00:26:36,600 --> 00:26:39,359 Speaker 1: Sterling Shepherd back on the field, back from the achilles 482 00:26:39,440 --> 00:26:41,520 Speaker 1: injury stuff for late last season. But it comes on 483 00:26:41,600 --> 00:26:44,680 Speaker 1: the same day that another wide out, Colin Johnson, heard 484 00:26:44,800 --> 00:26:47,679 Speaker 1: his achilles, so his season is over before it begins. 485 00:26:47,720 --> 00:26:50,560 Speaker 1: And Johnson had looked good in the two Giants preseason 486 00:26:50,600 --> 00:26:52,399 Speaker 1: who wins. Giants looked at cap A three and oh 487 00:26:52,520 --> 00:26:55,800 Speaker 1: preseason when they faced the Jets Sunday afternoon and met 488 00:26:55,840 --> 00:26:58,280 Speaker 1: Life Hall of Famer Len Dawson has died at eighties seven. 489 00:26:58,320 --> 00:27:01,119 Speaker 1: Grew up in Ohio, one of eleven kids. Six straight 490 00:27:01,200 --> 00:27:05,480 Speaker 1: seasons the nineteen sixties, he had the AFL's highest completion percentage, 491 00:27:05,560 --> 00:27:07,600 Speaker 1: lead the Chiefs to two Super Bowls, the lost to 492 00:27:07,680 --> 00:27:09,479 Speaker 1: Green Bay in the first one and then the upset 493 00:27:09,520 --> 00:27:12,040 Speaker 1: win in Super Bowl four. Yankees are in Oakland to 494 00:27:12,119 --> 00:27:13,600 Speaker 1: night first and four with the A's. It's a ten 495 00:27:13,680 --> 00:27:16,400 Speaker 1: game road trip that'll see them also face the Angels 496 00:27:16,440 --> 00:27:19,359 Speaker 1: and raised Iron. Brune's team seemingly snapped out of it 497 00:27:19,480 --> 00:27:23,280 Speaker 1: slumped with three straight wins in a tough stretch. We're grinding. 498 00:27:23,520 --> 00:27:25,720 Speaker 1: I think, I think these wins can go a long 499 00:27:25,800 --> 00:27:28,480 Speaker 1: way and and kind of helping you build a little 500 00:27:28,480 --> 00:27:31,200 Speaker 1: bit of confidence and and get that swagger back a 501 00:27:31,240 --> 00:27:34,120 Speaker 1: little bit. Hopefully he's gonna return home until September five. 502 00:27:34,200 --> 00:27:36,200 Speaker 1: The Mets off a four and six road trip and 503 00:27:36,240 --> 00:27:39,360 Speaker 1: souther NL East lead over Atlanta shrinked or a game 504 00:27:39,359 --> 00:27:42,520 Speaker 1: and a half. Now home pretend straight againning tonight against Colorado. 505 00:27:42,600 --> 00:27:44,480 Speaker 1: With Jacob Degram on the Mountain, Mets to try to 506 00:27:44,560 --> 00:27:47,480 Speaker 1: avoid what would be only their third three game losing 507 00:27:47,480 --> 00:27:51,960 Speaker 1: speak of the season. MLB at withe schedule, fewer division games, 508 00:27:52,040 --> 00:27:54,840 Speaker 1: more inter league games. Yankees actually will start the season 509 00:27:55,160 --> 00:27:58,840 Speaker 1: against the San Francisco Giants. Season any Torch Championship golf 510 00:27:58,880 --> 00:28:01,800 Speaker 1: teas off today in Atlanta. Top twenty nine players buying 511 00:28:01,840 --> 00:28:04,520 Speaker 1: for prize money, but we'll see the winner collect eighteen 512 00:28:04,560 --> 00:28:07,480 Speaker 1: million dollars. This is the PGA is increasing prize money 513 00:28:07,520 --> 00:28:10,240 Speaker 1: next year in an Africa, key players from leaving for 514 00:28:10,320 --> 00:28:14,359 Speaker 1: the lib cool John Stashya where Bloomberg Sports? All right, John, 515 00:28:14,400 --> 00:28:16,560 Speaker 1: thank you, six thirty seven on Wall Street. Time to 516 00:28:16,640 --> 00:28:18,400 Speaker 1: take a look at stock, some of the names moving 517 00:28:18,480 --> 00:28:20,760 Speaker 1: in the pre market. A busy morning for Bloomberg Radio 518 00:28:20,880 --> 00:28:24,400 Speaker 1: TV Markets correspondent Create gooped. Given all the earnings news 519 00:28:24,480 --> 00:28:28,320 Speaker 1: we've gotten this morning, createy and some new concerns or 520 00:28:28,359 --> 00:28:31,119 Speaker 1: maybe adding to the concerns about a slump in the 521 00:28:31,240 --> 00:28:33,520 Speaker 1: chip sector this morning. You know, Nathan, it feels kind 522 00:28:33,520 --> 00:28:35,560 Speaker 1: of silly to talk our earnings as we all really 523 00:28:35,600 --> 00:28:37,880 Speaker 1: gear it for Jackson Hole. Nevertheless, it is a big story, 524 00:28:38,000 --> 00:28:40,400 Speaker 1: especially for one of the major heavyweights in the S 525 00:28:40,480 --> 00:28:42,240 Speaker 1: and P five hundred. Of course, I am talking about 526 00:28:42,240 --> 00:28:44,600 Speaker 1: in video n v d A is your ticker dat 527 00:28:44,600 --> 00:28:47,120 Speaker 1: about three and a half percent in pre market trading. 528 00:28:47,200 --> 00:28:49,280 Speaker 1: We should also know that this is in an environment 529 00:28:49,320 --> 00:28:52,800 Speaker 1: where the market is actually higher going in to today's session. 530 00:28:52,880 --> 00:28:54,840 Speaker 1: So in video coming out and they say not only 531 00:28:55,200 --> 00:28:57,720 Speaker 1: that they weren't worn earlier this month, that its sales 532 00:28:57,840 --> 00:29:00,240 Speaker 1: would slip. On top of that, they gave up pretty 533 00:29:00,240 --> 00:29:03,080 Speaker 1: diasappointing forecast. And of course this comes, as you pointed 534 00:29:03,120 --> 00:29:06,600 Speaker 1: out justly, that this is coming with a broader kind 535 00:29:06,640 --> 00:29:10,160 Speaker 1: of background of chips demands slumping broadly. And the reason 536 00:29:10,240 --> 00:29:14,000 Speaker 1: this is so important on a economic perspective is simply 537 00:29:14,040 --> 00:29:16,680 Speaker 1: that chips and similar to the way that oil demand 538 00:29:16,760 --> 00:29:18,800 Speaker 1: for example, in a way it kind of serves the 539 00:29:18,880 --> 00:29:21,960 Speaker 1: proxy for the broader economy and where they expect the 540 00:29:22,160 --> 00:29:24,480 Speaker 1: consumer spending picture, not just here in the United States, 541 00:29:24,560 --> 00:29:27,600 Speaker 1: but globally is going to go. And really that becomes 542 00:29:27,840 --> 00:29:31,000 Speaker 1: the concerning part of Nvidia's numbers. They said their fiscal 543 00:29:31,080 --> 00:29:34,720 Speaker 1: third quarter revenue will be about five point nine billion dollars. 544 00:29:35,000 --> 00:29:37,800 Speaker 1: The average analyst estimate was much much higher, to shy 545 00:29:37,840 --> 00:29:40,640 Speaker 1: about seven billion. So once again you do see a 546 00:29:40,760 --> 00:29:43,240 Speaker 1: major myths there. The gross margin in the meantime, the 547 00:29:43,320 --> 00:29:46,960 Speaker 1: percentage of sales that basically comes after you pull out 548 00:29:47,000 --> 00:29:50,440 Speaker 1: the cost of production. It's only sixty five percent. That 549 00:29:50,600 --> 00:29:53,200 Speaker 1: is not a margin that you want in this chip sector. 550 00:29:53,280 --> 00:29:55,560 Speaker 1: So once again, not great numbers coming out of Nvidia, 551 00:29:55,600 --> 00:29:57,760 Speaker 1: and on top of that, likely to weigh on the 552 00:29:57,840 --> 00:30:00,400 Speaker 1: market session today. But it's also in line, I would say, 553 00:30:00,400 --> 00:30:03,000 Speaker 1: with what you're seeing in some of the other tech names. Salesforce, 554 00:30:03,040 --> 00:30:06,280 Speaker 1: for example, also missing their revenue projection. CRM is your 555 00:30:06,280 --> 00:30:09,600 Speaker 1: taker down six point four percent in the pre market. 556 00:30:09,840 --> 00:30:12,200 Speaker 1: But to kind of turn things around on the tech space, Nathan, 557 00:30:12,240 --> 00:30:15,560 Speaker 1: you also have likes of Snowflake snow the software company 558 00:30:16,000 --> 00:30:18,240 Speaker 1: surging up about seventeen and a half, or Saints and 559 00:30:18,360 --> 00:30:21,200 Speaker 1: well they actually see a strong sales forecast and new 560 00:30:21,280 --> 00:30:23,240 Speaker 1: customers on top of that. Now, I know in our 561 00:30:23,320 --> 00:30:26,000 Speaker 1: last few seconds here, Crety, you're gonna be watching Tesla 562 00:30:26,240 --> 00:30:28,960 Speaker 1: pretty closely after the stock split. You know, the stock 563 00:30:28,960 --> 00:30:30,760 Speaker 1: split was announced a while back, so we knew that 564 00:30:30,800 --> 00:30:32,240 Speaker 1: this was kind of coming, but this looks like the 565 00:30:32,280 --> 00:30:35,240 Speaker 1: effect is finally taking shape. T s l A is 566 00:30:35,280 --> 00:30:37,840 Speaker 1: your taker up one point seven percent. This of course 567 00:30:37,880 --> 00:30:40,520 Speaker 1: follows at three for one stock split. The idea here 568 00:30:40,560 --> 00:30:43,520 Speaker 1: being the Tesla shares are now actually affordable. They're training 569 00:30:43,840 --> 00:30:46,600 Speaker 1: at about three three oh two right now, once again 570 00:30:46,680 --> 00:30:49,520 Speaker 1: making it far more easier for the retail based access. 571 00:30:49,840 --> 00:30:52,800 Speaker 1: All right, Boom Brigradi on TV. Markets correspondent Pretty Gupta 572 00:30:53,240 --> 00:30:55,400 Speaker 1: with us this morning. As as you mentioned, yeah, we're 573 00:30:55,400 --> 00:30:58,240 Speaker 1: all getting ready for the Jackson Whole symposium to kick off. 574 00:30:58,320 --> 00:31:00,640 Speaker 1: But a lot of individual names to keep an eye 575 00:31:00,680 --> 00:31:03,200 Speaker 1: on this morning. Looking ahead to the market, open futures 576 00:31:03,200 --> 00:31:06,200 Speaker 1: are higher, SMP futures up twenty one points, down futures 577 00:31:06,240 --> 00:31:10,080 Speaker 1: up nine two. NAZAC futures leading the games this morning 578 00:31:10,160 --> 00:31:13,600 Speaker 1: up eighty seven points. The tenure treasury is up four 579 00:31:13,760 --> 00:31:16,840 Speaker 1: thirty seconds. Heal now three point zero eight percent on 580 00:31:16,960 --> 00:31:22,840 Speaker 1: the benchmark ten year treasury note. This is Bloomberg Bloomberg 581 00:31:22,880 --> 00:31:25,200 Speaker 1: eleven three O. Weather sunny, near nineties today, could see 582 00:31:25,200 --> 00:31:27,920 Speaker 1: a late day shower storm tomorrow. Otherwise sunshine and hides 583 00:31:27,920 --> 00:31:30,680 Speaker 1: in the oper eight is mostly sunny oper eighties Saturday, 584 00:31:30,840 --> 00:31:37,760 Speaker 1: mid eighties sunshine Sunday right now seventy two degrees. Markets 585 00:31:37,840 --> 00:31:40,920 Speaker 1: headlines and breaking news twenty four hours a day at 586 00:31:40,960 --> 00:31:44,880 Speaker 1: Bloomberg dot com. The Bloomberg Business at Hand at Bloomberg Quicktake. 587 00:31:45,120 --> 00:31:54,480 Speaker 1: This is a Bloomberg business flash and I'm Cameron Moscow 588 00:31:54,680 --> 00:31:57,240 Speaker 1: futures are on the rise this morning. We go to 589 00:31:57,280 --> 00:31:59,640 Speaker 1: the First Word Breaking news desk for today's morning call. 590 00:31:59,720 --> 00:32:03,360 Speaker 1: Here's Fill Maloney Bill, Good morning, Hey, good morning, Karen. 591 00:32:03,400 --> 00:32:05,440 Speaker 1: That's right. US futures trading in the green right now. 592 00:32:05,600 --> 00:32:07,920 Speaker 1: Debt futures up a hundred and six point SIPs game 593 00:32:08,000 --> 00:32:11,560 Speaker 1: twenty four, wild nastic futures rise by nine seven, the 594 00:32:11,680 --> 00:32:14,120 Speaker 1: US ten year old at three point o nine percent, 595 00:32:14,240 --> 00:32:17,080 Speaker 1: Bold is up eleven, Oil is little changed, and bitcoin 596 00:32:17,480 --> 00:32:20,440 Speaker 1: is also trading little change. Hong Kong jump three point 597 00:32:20,520 --> 00:32:22,840 Speaker 1: six percent overnight as trying to add it a hundred 598 00:32:22,920 --> 00:32:26,360 Speaker 1: supporting six billion of more stimulus, and Europa markets are 599 00:32:26,520 --> 00:32:28,920 Speaker 1: quiet right now. Back in the US on the economic 600 00:32:28,960 --> 00:32:31,200 Speaker 1: front of the thirty initial jobs claims in g d 601 00:32:31,360 --> 00:32:34,080 Speaker 1: P and after the bells night in video gave eight 602 00:32:34,120 --> 00:32:39,400 Speaker 1: disappointing forecast salesforce revenue projections missed estimates, but Snowflake gave 603 00:32:39,480 --> 00:32:42,960 Speaker 1: a strong sales forecast regarding airings this morning, Dollar general 604 00:32:43,000 --> 00:32:45,520 Speaker 1: EPs beat s and that's end wrapping things up. Lazy 605 00:32:45,560 --> 00:32:48,400 Speaker 1: Boy was got to market perform over at Raymond James 606 00:32:49,080 --> 00:32:51,680 Speaker 1: Live from the first Breaking News descom Bill Maloney, Karen, 607 00:32:51,960 --> 00:32:53,880 Speaker 1: all right, Bil, thank you to hear live breaking news 608 00:32:54,080 --> 00:32:56,920 Speaker 1: on your Bloomberg. Time to squawk on your terminal. That's 609 00:32:57,040 --> 00:32:59,840 Speaker 1: s qu a w K and that's a Bloomberg business flash. 610 00:33:00,080 --> 00:33:02,360 Speaker 1: Here's Michael Barr with more on what's going on around 611 00:33:02,360 --> 00:33:04,760 Speaker 1: the world. My thought, Karen, thank you very much. Valdi. 612 00:33:04,880 --> 00:33:08,520 Speaker 1: Texas School District police chief Peter Rodondo has been fired 613 00:33:08,960 --> 00:33:12,360 Speaker 1: following allegations that he made several critical mistakes during a 614 00:33:12,400 --> 00:33:15,920 Speaker 1: mass shooting that left nineteen students and two teachers dead. 615 00:33:16,320 --> 00:33:18,640 Speaker 1: A flash flood warning is in effect for much of 616 00:33:18,640 --> 00:33:23,560 Speaker 1: Mississippi after torrential rains cost evacuations, washed out roads, and 617 00:33:23,800 --> 00:33:28,000 Speaker 1: lent water rescues. Air regulators in California are expected to 618 00:33:28,040 --> 00:33:31,200 Speaker 1: announce today that there will be a state wide ban 619 00:33:31,760 --> 00:33:36,480 Speaker 1: on the sale of new gasoline vehicles by five. In baseball, 620 00:33:36,520 --> 00:33:39,640 Speaker 1: the Red Sox and Orioles lost the Nationals one. The 621 00:33:39,800 --> 00:33:42,560 Speaker 1: A's beat the Marlins in ten innings three two. The 622 00:33:42,680 --> 00:33:46,040 Speaker 1: Giants lost. Global News twenty four hours a day on 623 00:33:46,240 --> 00:33:49,600 Speaker 1: air and on Bloomberg Quicktake, powered by more than twenty 624 00:33:49,680 --> 00:33:52,680 Speaker 1: seven hundred journalists, analyists more than a hundred twenty countries. 625 00:33:53,040 --> 00:33:56,200 Speaker 1: Michael Barr and this is Bloomberg, Karen, Sorry, Michael Barr, 626 00:33:56,280 --> 00:33:58,720 Speaker 1: thank you at A sixty nine on Wall Street, and 627 00:33:58,760 --> 00:34:01,080 Speaker 1: we turned to news and science and technology Now at 628 00:34:01,120 --> 00:34:03,760 Speaker 1: the Bloomberg. N j I T STEM report at BRONTI 629 00:34:03,840 --> 00:34:06,520 Speaker 1: U buy New Jersey Institute of Technology. N j i 630 00:34:06,640 --> 00:34:10,120 Speaker 1: T makes industry ready engineers and more than twenty fields. 631 00:34:10,440 --> 00:34:12,560 Speaker 1: If it's engineering, it's at n j I T. Learn 632 00:34:12,640 --> 00:34:14,840 Speaker 1: more at nj I T dot E d U. And 633 00:34:14,920 --> 00:34:18,080 Speaker 1: here's just making news and science, technology, engineering and math. 634 00:34:18,760 --> 00:34:22,480 Speaker 1: Years late and billions over budget. Announces new Moon rocket 635 00:34:22,560 --> 00:34:25,200 Speaker 1: makes its debut next week in a high stakes test 636 00:34:25,239 --> 00:34:29,160 Speaker 1: flight before astronauts get on top. The three two foot 637 00:34:29,280 --> 00:34:31,919 Speaker 1: rocket will attempt to send an empty crew capsule into 638 00:34:31,960 --> 00:34:35,480 Speaker 1: a far flung the lunar orbit, fifty years after NASA's 639 00:34:35,480 --> 00:34:38,839 Speaker 1: famed Apollo moon shots. If all goes well, astronauts good 640 00:34:38,920 --> 00:34:41,880 Speaker 1: strap in as soon as four for a lap around 641 00:34:41,920 --> 00:34:44,480 Speaker 1: the Moon, but NASA aiming to land two people on 642 00:34:44,560 --> 00:34:48,359 Speaker 1: the lunar surface by the end of Liftoff is set 643 00:34:48,400 --> 00:34:51,680 Speaker 1: for Monday morning from NASA's Kennedy Space Center, the price 644 00:34:51,719 --> 00:34:55,480 Speaker 1: tag for this single mission more than four billion dollars more, 645 00:34:55,560 --> 00:34:58,520 Speaker 1: size of weakness in the semiconductor industry and video giving 646 00:34:58,520 --> 00:35:00,920 Speaker 1: a disappointing forecast for the are in period and that 647 00:35:01,040 --> 00:35:03,480 Speaker 1: comes two weeks after the company we're in that sales 648 00:35:03,560 --> 00:35:07,360 Speaker 1: for the latest quarter would come in well below original expectations. 649 00:35:07,760 --> 00:35:10,960 Speaker 1: And in the UK, two research groups said the government 650 00:35:11,000 --> 00:35:14,200 Speaker 1: will have to draw a previously unthinkable measures on the 651 00:35:14,320 --> 00:35:17,880 Speaker 1: energy crisis. The Resolution Foundation and the British Chambers of 652 00:35:17,960 --> 00:35:21,520 Speaker 1: Congress are calling for COVID style emergency support to deal 653 00:35:21,560 --> 00:35:25,080 Speaker 1: with soaring costs. Natural gas prices are now ten times 654 00:35:25,280 --> 00:35:28,480 Speaker 1: higher than the last decades average. And as a Bloomberg 655 00:35:28,520 --> 00:35:31,480 Speaker 1: and J. A. T. Stem report, Nathan, thank you, Karen. 656 00:35:31,520 --> 00:35:34,120 Speaker 1: We are live from the Bloomberg Interactive Broker Studios where 657 00:35:34,120 --> 00:35:36,800 Speaker 1: it's almost sixty one on Wall Street time now to 658 00:35:36,880 --> 00:35:38,800 Speaker 1: check what's going on in d C. Some of the 659 00:35:38,880 --> 00:35:42,040 Speaker 1: top stories in our nation's capital include President Biden's student 660 00:35:42,120 --> 00:35:44,920 Speaker 1: loan relief adding a new wrinkle to the inflation debate, 661 00:35:45,360 --> 00:35:49,560 Speaker 1: the Biden administration winning an emergency abortion access ruling in Idaho, 662 00:35:50,160 --> 00:35:53,600 Speaker 1: the Twitter whistleblower to be a star witness in Congress, 663 00:35:53,920 --> 00:35:58,080 Speaker 1: and Homeland Security scrapping a this information board that Republicans 664 00:35:58,480 --> 00:36:02,560 Speaker 1: had blasted joining us Bloomberg Government Congressional reporter Jack Fitzpatrick, 665 00:36:02,960 --> 00:36:05,080 Speaker 1: Jack and Morning. Of course, the big story of the 666 00:36:05,160 --> 00:36:08,840 Speaker 1: moment is President Biden's long awaited announcement on student loan relief. 667 00:36:08,880 --> 00:36:11,000 Speaker 1: I just saw a headline cross the Bloomberg terminal that 668 00:36:11,120 --> 00:36:15,040 Speaker 1: student loan sites have crashed after the announcement. So certainly 669 00:36:15,080 --> 00:36:18,359 Speaker 1: the beneficiaries potentially you're taking notice of this. But what's 670 00:36:18,400 --> 00:36:23,360 Speaker 1: the reaction in Washington on Capitol Hill. It's fairly positive 671 00:36:23,400 --> 00:36:27,440 Speaker 1: among Democrats. Obviously, Republicans are opposed to this was something 672 00:36:27,560 --> 00:36:31,720 Speaker 1: they were never on board with. There was a question 673 00:36:31,920 --> 00:36:35,400 Speaker 1: as to how Biden would thread the needle between the 674 00:36:35,520 --> 00:36:39,000 Speaker 1: progressives calling for much more than this. A Progressive members 675 00:36:39,080 --> 00:36:43,080 Speaker 1: were calling for up to fifty thousand dollars forgiveness. And 676 00:36:43,160 --> 00:36:46,640 Speaker 1: then there are some other Democrats who actually don't like this. 677 00:36:46,840 --> 00:36:51,120 Speaker 1: Michael Bennett, the Senator from Colorado who's got a potentially 678 00:36:51,320 --> 00:36:54,799 Speaker 1: tough re election campaign, UH said this should have been 679 00:36:54,880 --> 00:36:58,480 Speaker 1: targeted further. You see that hundred twenty five thousand dollar 680 00:36:58,880 --> 00:37:02,759 Speaker 1: income limit potentially could have been lower. The White House 681 00:37:02,800 --> 00:37:05,960 Speaker 1: has said the vast majority of this, about ninety of 682 00:37:06,040 --> 00:37:08,440 Speaker 1: the benefits would go to people making no more than 683 00:37:08,560 --> 00:37:11,760 Speaker 1: seventy five thousand dollars. But it has provoked that debate 684 00:37:12,400 --> 00:37:16,480 Speaker 1: on how much, uh that top line amount of debt 685 00:37:16,600 --> 00:37:20,080 Speaker 1: forgiveness they should have gone with, and how who that 686 00:37:20,160 --> 00:37:22,959 Speaker 1: should apply to, and how they target that to people 687 00:37:23,000 --> 00:37:26,480 Speaker 1: who are are not just the top earners. Overall, not 688 00:37:26,680 --> 00:37:29,279 Speaker 1: a ton of pushback from Democrats though, and it it 689 00:37:29,440 --> 00:37:32,680 Speaker 1: was a key campaign promise from Biden that could be popular. 690 00:37:32,760 --> 00:37:35,200 Speaker 1: You know, you look at someone like Senator Raphael Warnock, 691 00:37:35,239 --> 00:37:37,880 Speaker 1: who's got a tough reelection campaign in Georgia and campaigned 692 00:37:37,960 --> 00:37:40,279 Speaker 1: on this. So a number of Democrats are at least 693 00:37:40,440 --> 00:37:43,520 Speaker 1: happy about it, and it is a sort of raising 694 00:37:43,640 --> 00:37:47,239 Speaker 1: questions as well about the debate on inflation. We had 695 00:37:47,320 --> 00:37:51,160 Speaker 1: just heard from Bloomberg Politics contributor Rick Davis on sound 696 00:37:51,239 --> 00:37:54,080 Speaker 1: on last night saying that, you know, the Inflation Reduction 697 00:37:54,160 --> 00:37:57,520 Speaker 1: ACTUH cut three hundred billion dollars from the deficit. This 698 00:37:57,600 --> 00:38:02,600 Speaker 1: could potentially add even more than that to the deficit. Yes, uh, 699 00:38:02,840 --> 00:38:06,360 Speaker 1: four hundred to six hundred billion dollars is the range 700 00:38:06,480 --> 00:38:10,120 Speaker 1: put out initially by the Committee for a Responsible Federal budget, 701 00:38:10,160 --> 00:38:13,839 Speaker 1: which fiscally conservative advocacy group that tends to be good 702 00:38:13,920 --> 00:38:18,440 Speaker 1: on those kinds of uh numbers. Uh. It maybe even 703 00:38:18,640 --> 00:38:23,920 Speaker 1: more inflationary in its effects than the disinflationary effects of 704 00:38:24,000 --> 00:38:27,160 Speaker 1: the so called Inflation Reduction Act. You know, reducing the 705 00:38:27,239 --> 00:38:30,719 Speaker 1: deficit is one thing that has a disinflationary impact. But this, 706 00:38:31,200 --> 00:38:37,440 Speaker 1: this is a policy that would seemingly go toward affecting consumption. 707 00:38:37,640 --> 00:38:42,400 Speaker 1: It's something that gives people money, uh fairly directly, so 708 00:38:43,200 --> 00:38:47,560 Speaker 1: it may be more inflationary than you know, an increase 709 00:38:47,600 --> 00:38:51,560 Speaker 1: in the corporate minimum tax rate would be disinflationary. And overall, 710 00:38:51,600 --> 00:38:54,560 Speaker 1: if you were to pair these two actions together, it 711 00:38:54,719 --> 00:38:57,760 Speaker 1: is something that over the next ten years would slightly 712 00:38:57,920 --> 00:39:03,240 Speaker 1: increase the deficit. Both of those fairly minimal effects on inflation. 713 00:39:03,320 --> 00:39:05,960 Speaker 1: The numbers that have come out from economists on this 714 00:39:06,080 --> 00:39:08,520 Speaker 1: say it could drive inflation up by about point one 715 00:39:08,600 --> 00:39:11,120 Speaker 1: to point three percentage points. But yeah, this is a 716 00:39:11,200 --> 00:39:15,200 Speaker 1: policy that would be more inflationary rather than disinflationary, and 717 00:39:15,280 --> 00:39:17,719 Speaker 1: that does cut against what the President has tried to 718 00:39:17,760 --> 00:39:21,919 Speaker 1: emphasize in terms of him taking action to reduce inflation. Well, 719 00:39:21,960 --> 00:39:26,200 Speaker 1: outside Washington, Jack, the Biden administration's gotten a legal win 720 00:39:26,600 --> 00:39:32,160 Speaker 1: in its ongoing effort to secure abortion access. Yes, in 721 00:39:32,320 --> 00:39:38,000 Speaker 1: Idaho UH a judge sided with the Biden administration, arguing 722 00:39:38,320 --> 00:39:44,319 Speaker 1: that the Idaho Idaho has a pretty strict abortion ban 723 00:39:44,800 --> 00:39:48,040 Speaker 1: that went into place after the Dob's ruling that makes 724 00:39:48,120 --> 00:39:52,320 Speaker 1: an exception for cases in which the life of the 725 00:39:52,440 --> 00:39:56,960 Speaker 1: woman could be endangered, but there are federal requirements for 726 00:39:57,560 --> 00:40:03,040 Speaker 1: UH medicare providers in any case to give sufficient emergency 727 00:40:03,239 --> 00:40:06,440 Speaker 1: aid UH And in this ruling, the judge said that 728 00:40:06,680 --> 00:40:09,840 Speaker 1: waiting until it appears to threaten the life of the 729 00:40:09,920 --> 00:40:15,080 Speaker 1: woman rather than just addressing potentially severe health effects is 730 00:40:15,200 --> 00:40:18,520 Speaker 1: too strict. Now that there was actually a similar issue 731 00:40:18,600 --> 00:40:22,680 Speaker 1: in Texas where a judge held the opposite ruling. But 732 00:40:22,840 --> 00:40:26,279 Speaker 1: this is one good news for the Biden administration as 733 00:40:26,320 --> 00:40:30,640 Speaker 1: they try to push back on restrictions to access abortion 734 00:40:31,080 --> 00:40:33,759 Speaker 1: UH and it kind of a way to highlight that 735 00:40:34,480 --> 00:40:37,239 Speaker 1: the Biden administration and their lawyers are looking for any 736 00:40:37,360 --> 00:40:41,600 Speaker 1: laws that might even be seemingly unrelated to abortion access 737 00:40:41,680 --> 00:40:44,560 Speaker 1: that could have effects to chip away at some of 738 00:40:44,600 --> 00:40:47,279 Speaker 1: these state laws. You know, last minute or so here, Jack, 739 00:40:47,360 --> 00:40:50,200 Speaker 1: let's talk about the Twitter whistle blower. Obviously, it's getting 740 00:40:50,200 --> 00:40:52,840 Speaker 1: a lot of attention when it comes to Elon Musk's 741 00:40:52,880 --> 00:40:54,840 Speaker 1: been to walk out of the Twitter buy out, but 742 00:40:54,960 --> 00:40:59,040 Speaker 1: now his complaints have sparked a congressional hearing. Yes, so 743 00:40:59,160 --> 00:41:03,000 Speaker 1: the Senate Judic Sherry Committee is going to hold a hearing, 744 00:41:03,360 --> 00:41:07,200 Speaker 1: and uh we will include testimony from the Twitter whistleblower. 745 00:41:07,400 --> 00:41:12,040 Speaker 1: It's gonna be September thirte Uh. There is bipartisan interest 746 00:41:12,200 --> 00:41:15,640 Speaker 1: in this. Dick Durban and Chuck grass Lee, to the 747 00:41:15,719 --> 00:41:19,840 Speaker 1: two top members Democrat and Republican on that Senate committee, 748 00:41:19,880 --> 00:41:24,120 Speaker 1: have both said that the allegations of security failures on 749 00:41:24,239 --> 00:41:28,719 Speaker 1: potential foreign state interference at Twitter or are serious concerns 750 00:41:28,760 --> 00:41:33,040 Speaker 1: for them. Uh. So that it's one potentially an explosive 751 00:41:33,480 --> 00:41:36,640 Speaker 1: UH Senate Committee hearing and also an issue that clearly 752 00:41:36,760 --> 00:41:39,839 Speaker 1: has bipartisan concern. And then one more thing to watch 753 00:41:40,000 --> 00:41:43,200 Speaker 1: coming out of the August recess, which has been anything 754 00:41:43,320 --> 00:41:47,680 Speaker 1: but slow for Bloomberg Government Congressional reporter Jack Fitzpatrick. Jack, 755 00:41:47,719 --> 00:41:50,080 Speaker 1: thanks for being with us this morning. Read more about 756 00:41:50,120 --> 00:41:52,719 Speaker 1: all these stories on Bloomberg dot com or on the 757 00:41:52,760 --> 00:41:55,080 Speaker 1: Bloomberg terminal, and of course you can follow all the 758 00:41:55,160 --> 00:42:00,200 Speaker 1: latest on Bloomberg Radio in Washington Bloomberg one and Oh 759 00:42:00,320 --> 00:42:05,000 Speaker 1: five point seven fm h D two. The focus turns 760 00:42:05,120 --> 00:42:09,160 Speaker 1: now to Jackson Hole and the kickoff of the economic symposium. There. 761 00:42:09,320 --> 00:42:13,439 Speaker 1: Tom Keene, Jonathan Farrell, and Lisa Abramowitz are getting set 762 00:42:13,600 --> 00:42:17,440 Speaker 1: for a full coverage on a special edition of Bloomberg 763 00:42:17,560 --> 00:42:21,520 Speaker 1: Surveillance that begins in just minutes here on Bloomberg Radio. 764 00:42:22,000 --> 00:42:25,080 Speaker 1: Ahead of that, futures are moving higher. We have SMP 765 00:42:25,239 --> 00:42:28,279 Speaker 1: futures up twenty three point, Staff futures up one three. 766 00:42:28,760 --> 00:42:32,840 Speaker 1: Nasdaq futures are higher by ninety eight points. The tenure 767 00:42:32,920 --> 00:42:35,480 Speaker 1: Treasury is up three thirty seconds. The yield now three 768 00:42:35,600 --> 00:42:38,480 Speaker 1: point zero nine percent, and the yield on the two 769 00:42:38,600 --> 00:42:43,399 Speaker 1: year three point three seven percent. For Karen Moscow, I'm 770 00:42:43,480 --> 00:42:48,400 Speaker 1: Nathan Hagar. You have been listening to Bloomberg Daybreak. Good morning,