1 00:00:03,080 --> 00:00:06,480 Speaker 1: Live from the Bloomberg Interactive Brooker Studios. This is Bloomberg 2 00:00:06,559 --> 00:00:11,440 Speaker 1: Daybreak for Wednesday, July two. Coming up, the shower stocks 3 00:00:11,440 --> 00:00:14,600 Speaker 1: look to extend Wall Street's biggest rally in three weeks. 4 00:00:15,040 --> 00:00:18,279 Speaker 1: Netflix shares gain after subscriber loss was not as bad 5 00:00:18,320 --> 00:00:21,920 Speaker 1: as feared. Inflation in the UK surges to a forty 6 00:00:22,000 --> 00:00:25,320 Speaker 1: year high, and President Biden plans to take executive action 7 00:00:25,400 --> 00:00:28,840 Speaker 1: to tackle climate change. The Trying Steam bakes under the 8 00:00:28,880 --> 00:00:32,960 Speaker 1: Summer Sizzle and Shark Sightings closed Rockaway Beaches. On John 9 00:00:33,000 --> 00:00:36,600 Speaker 1: Tucker Bore Straight Ahead. I'm John stand and Sports making 10 00:00:36,720 --> 00:00:39,199 Speaker 1: nine straight All Star Game victories with the American lad 11 00:00:39,280 --> 00:00:41,600 Speaker 1: the Yankees. Dian Carlos Stanton was the m v P. 12 00:00:44,479 --> 00:00:48,040 Speaker 1: That's All Train Ahead on Bloomberg day Break on Bloomberg 13 00:00:48,040 --> 00:00:51,920 Speaker 1: eleven three, on New York Bloomberg one, Washington, d C, 14 00:00:52,400 --> 00:00:55,960 Speaker 1: Bloomberg one oh six one, Boston, Bloomberg nine sixties, and 15 00:00:56,080 --> 00:01:00,200 Speaker 1: Francisco Sirius XM one nineteen and around the world on 16 00:01:00,360 --> 00:01:03,640 Speaker 1: Bloomberg Radio dot Com and via the Bloomberg Business App. 17 00:01:07,520 --> 00:01:10,560 Speaker 1: Good morning, I'm Nathan Hagar and I'm Karen Moscow. US 18 00:01:10,640 --> 00:01:13,280 Speaker 1: Dock index futures are higher. This morning, we are coming 19 00:01:13,360 --> 00:01:14,880 Speaker 1: up to five oh one on Wall Street, and we 20 00:01:15,000 --> 00:01:17,480 Speaker 1: check the markets every fifteen minutes throughout the trading day. 21 00:01:17,600 --> 00:01:20,080 Speaker 1: On Bloomberg right now, must In the futures up five 22 00:01:20,120 --> 00:01:23,160 Speaker 1: points down, Future is up twenty three, and Nastack Future 23 00:01:23,200 --> 00:01:25,960 Speaker 1: is up twenty nine. The decks in Germany is up 24 00:01:25,959 --> 00:01:29,199 Speaker 1: a tenth of uppercent. Ten year Treasury up ten thirties seconds, 25 00:01:29,280 --> 00:01:31,720 Speaker 1: yield two point nine eight percent, and the yield on 26 00:01:31,760 --> 00:01:35,080 Speaker 1: the two year three point one eight percent. Nine Max 27 00:01:35,120 --> 00:01:38,200 Speaker 1: Screwed oil is down eight tenths of uppercent. Nathan Well 28 00:01:38,280 --> 00:01:41,400 Speaker 1: Karen futures are adding to yesterday's gains on Wall Street, 29 00:01:41,400 --> 00:01:43,440 Speaker 1: which are the biggest in three weeks. It was a 30 00:01:43,440 --> 00:01:46,559 Speaker 1: broad based rally, all eleven industry groups in the SMP 31 00:01:46,680 --> 00:01:50,080 Speaker 1: five hundred advanced. John Baranko is Chief Investment Officer of 32 00:01:50,120 --> 00:01:53,800 Speaker 1: Fundamental Investments at all Spring Global Investments. I think we're 33 00:01:53,800 --> 00:01:56,280 Speaker 1: in a transition period here, and then the market really 34 00:01:56,400 --> 00:01:59,880 Speaker 1: is in media evidence really and I think evidence that 35 00:02:00,000 --> 00:02:04,880 Speaker 1: inflation is speaking, evidence that um, you know, we're moving 36 00:02:04,880 --> 00:02:07,280 Speaker 1: down a path of hopefully towards a you know, a 37 00:02:07,320 --> 00:02:10,520 Speaker 1: soft landing. John Baranko at all Spring Global Investment says 38 00:02:10,520 --> 00:02:12,920 Speaker 1: he's looking for companies with strong balance sheets that are 39 00:02:12,919 --> 00:02:16,919 Speaker 1: able to weather tough economic conditions. Well, Nathan, earnings optimism 40 00:02:17,000 --> 00:02:19,880 Speaker 1: is helping fuel this morning's gains. Netflix shares her up 41 00:02:19,880 --> 00:02:22,560 Speaker 1: six and a half percent in early trading after subscriber 42 00:02:22,639 --> 00:02:25,240 Speaker 1: numbers came in better than estimates. To get this story 43 00:02:25,280 --> 00:02:29,040 Speaker 1: from Bloomberg's Ternley Pellet, The leader in paid streaming TV, 44 00:02:29,240 --> 00:02:32,560 Speaker 1: says it lost nine hundred seventy thousand subscribers in the 45 00:02:32,600 --> 00:02:36,240 Speaker 1: second quarter, less than half what Wall Street feared, thanks 46 00:02:36,280 --> 00:02:39,120 Speaker 1: in large part to a new season of Stranger Things, 47 00:02:39,320 --> 00:02:44,119 Speaker 1: the services most popular English language series. This quarter, Netflix 48 00:02:44,120 --> 00:02:47,280 Speaker 1: expects to sign up one million subscribers. While that is 49 00:02:47,320 --> 00:02:50,360 Speaker 1: well short of the one point eight three million analysts 50 00:02:50,400 --> 00:02:54,360 Speaker 1: forecasts this period, it reverses the losses of the first half. 51 00:02:54,800 --> 00:02:58,160 Speaker 1: In New York Charlie Pellett Bloomberg Daybreak, Charlie, thank you, 52 00:02:58,160 --> 00:03:01,280 Speaker 1: and earnings continue to roll in. With nearly seventeen companies 53 00:03:01,320 --> 00:03:04,440 Speaker 1: on the SMP reporting today, we get results from Tesla 54 00:03:04,560 --> 00:03:07,480 Speaker 1: after the closing bell here. The preview is Bloomberg Jeff 55 00:03:07,480 --> 00:03:12,200 Speaker 1: Balinger Bloomberg Intelligence. As Tesla's fundamentals relative to its peers 56 00:03:12,240 --> 00:03:15,160 Speaker 1: are strong, and the company's credit rating could be moved 57 00:03:15,200 --> 00:03:18,639 Speaker 1: to investment grade. But lockdowns in China had an impact 58 00:03:18,639 --> 00:03:22,800 Speaker 1: on vehicle production, and Tesla is heavily invested in bitcoin. 59 00:03:23,120 --> 00:03:25,839 Speaker 1: Its bottom line may include a charge of nearly three 60 00:03:25,919 --> 00:03:28,799 Speaker 1: quarters of a billion dollars related to the plunge and 61 00:03:28,840 --> 00:03:33,680 Speaker 1: the price of the cryptocurrency. Jeff Bullinger, Bloomberg Daybreak. All right, Jeff, 62 00:03:33,720 --> 00:03:36,280 Speaker 1: thank you well. Tesla has been a longtime favorite of 63 00:03:36,320 --> 00:03:39,200 Speaker 1: investor Kathy Wood, and her funds have felt the pain 64 00:03:39,280 --> 00:03:42,320 Speaker 1: as Tesla shares fail from their November peak. Now we're 65 00:03:42,400 --> 00:03:45,720 Speaker 1: this morning Wood is closing down whatever exchange traded funds. 66 00:03:45,960 --> 00:03:48,160 Speaker 1: We get the latest line from Bloomberg's Rainy to Young. 67 00:03:48,200 --> 00:03:51,320 Speaker 1: Good morning, Rainy down, Good morning, Karen. A regulatory filing 68 00:03:51,360 --> 00:03:55,200 Speaker 1: shows Kathie Wood is shutting down her ARC Transparency et F. 69 00:03:55,720 --> 00:03:58,760 Speaker 1: The fund gained only twelve million dollars in assets since 70 00:03:58,760 --> 00:04:01,120 Speaker 1: it launched at the end of last year. That's a 71 00:04:01,200 --> 00:04:04,640 Speaker 1: fraction of the nine billion dollars in woods flagship fund. 72 00:04:05,080 --> 00:04:08,560 Speaker 1: It contains holdings like Teal, Duck and Spotify, and was 73 00:04:08,640 --> 00:04:12,760 Speaker 1: aimed at investing in companies that received high scores on transparency. 74 00:04:13,200 --> 00:04:17,320 Speaker 1: Transparency Global which shaped the funds underlying portfolio, will stop 75 00:04:17,360 --> 00:04:20,520 Speaker 1: calculating the index at the end of July. Live in 76 00:04:20,560 --> 00:04:23,159 Speaker 1: New York. I'm gonna need a young Bloomberg daybreak. We 77 00:04:23,200 --> 00:04:25,400 Speaker 1: need to thank you. Bitcoin is trading at a one 78 00:04:25,440 --> 00:04:27,440 Speaker 1: month high this morning right now at about twenty three 79 00:04:27,440 --> 00:04:30,600 Speaker 1: three hundred, but that's a far cry from November's peak 80 00:04:30,640 --> 00:04:34,520 Speaker 1: of nearly sixty nine thousand. Billionaire investor Mike Nelvigrats weighed 81 00:04:34,520 --> 00:04:36,680 Speaker 1: in on the sell off at the Bloomberg Crypto Summit 82 00:04:36,680 --> 00:04:39,440 Speaker 1: in New York. What I don't think people expected was 83 00:04:39,839 --> 00:04:43,599 Speaker 1: the magnitude of losses that would show up in you know, 84 00:04:43,680 --> 00:04:47,840 Speaker 1: professional institutions balance sheets, and that caused the daisy chain 85 00:04:48,120 --> 00:04:51,560 Speaker 1: of effects. It turned into a full fledged credit crisis. 86 00:04:52,440 --> 00:04:55,480 Speaker 1: Mike Nelvigrat says regulators should do more to protect crypto 87 00:04:55,520 --> 00:04:58,720 Speaker 1: investors and called for more transparency in the industry. Well, 88 00:04:58,760 --> 00:05:01,799 Speaker 1: turning to the economy now, name then expect higher interest 89 00:05:01,880 --> 00:05:04,800 Speaker 1: rates for the foreseeable future, and that's according to Blackstone. 90 00:05:04,839 --> 00:05:07,720 Speaker 1: We come up with Joseph Zeidel, chief investment strategist at 91 00:05:07,720 --> 00:05:11,880 Speaker 1: Blackstones Private Wealth Solutions Group. I think that inflation is 92 00:05:11,920 --> 00:05:14,120 Speaker 1: more deeply entrenched in the U S economy, and it's 93 00:05:14,120 --> 00:05:17,320 Speaker 1: going to require the Fed to take interest rates higher 94 00:05:17,480 --> 00:05:21,000 Speaker 1: and the tightening cycle longer. So my own view is 95 00:05:21,000 --> 00:05:23,920 Speaker 1: that Fed fund raids could exceed four percent. I think 96 00:05:23,960 --> 00:05:26,760 Speaker 1: they could go above four and half percent. Make it close. 97 00:05:27,880 --> 00:05:30,880 Speaker 1: Blackstone Private Wells Joseph Zeidel expects the Fed to hike 98 00:05:30,960 --> 00:05:34,000 Speaker 1: by seventy five basis points at next week's meeting. Like 99 00:05:34,080 --> 00:05:36,440 Speaker 1: the U S. Karen, inflation continues to be a major 100 00:05:36,480 --> 00:05:39,520 Speaker 1: problem in Europe, and fresh data show the UK still 101 00:05:39,600 --> 00:05:42,359 Speaker 1: struggling to tame prices. Let's go live to London and 102 00:05:42,400 --> 00:05:44,800 Speaker 1: get the latest with Bloomberg's U and Potts. Good morning Human, 103 00:05:45,200 --> 00:05:48,120 Speaker 1: Good morning Nathan and Karen. A fresh forty year high 104 00:05:48,160 --> 00:05:52,080 Speaker 1: for UK inflation. Consumer prices rose nine point four percent 105 00:05:52,200 --> 00:05:54,600 Speaker 1: in the eighth of June, driven by surging prices for 106 00:05:54,720 --> 00:05:58,040 Speaker 1: motor fuel. The pain only sets get worse, with inflation 107 00:05:58,080 --> 00:06:01,839 Speaker 1: forecast the top eleven percent in October, when another gas 108 00:06:01,839 --> 00:06:04,960 Speaker 1: and electricity price hike is jew. The banking and has 109 00:06:05,000 --> 00:06:08,560 Speaker 1: already increased rates five times since December and Today's day 110 00:06:08,560 --> 00:06:10,800 Speaker 1: to Well, that's to calls for a jumbo hike at 111 00:06:10,839 --> 00:06:13,360 Speaker 1: the bank's next meeting in London. I'm you and paults 112 00:06:13,480 --> 00:06:15,400 Speaker 1: in back day break, are you and thank you all 113 00:06:15,480 --> 00:06:18,240 Speaker 1: back here in the US, President Biden plans to take 114 00:06:18,279 --> 00:06:21,599 Speaker 1: executive action to tackle climate change. With his clean energy 115 00:06:21,640 --> 00:06:24,920 Speaker 1: agenda stalled on Capitol Hill. The President will outline his 116 00:06:25,000 --> 00:06:29,680 Speaker 1: steps later today at a shuttered coal fire plant in Somerset, Massachusetts. 117 00:06:29,960 --> 00:06:33,040 Speaker 1: He is not expected to clear a climate emergency bu 118 00:06:33,080 --> 00:06:36,640 Speaker 1: Bloomberg Politics A contributor Rick Davis says he doesn't have to. 119 00:06:36,880 --> 00:06:40,160 Speaker 1: There are many things he can do around pollution from cars, 120 00:06:40,240 --> 00:06:43,640 Speaker 1: and and and and and put a little uh pressure 121 00:06:43,640 --> 00:06:46,360 Speaker 1: on Joe Mansion by you know, talking about doing some 122 00:06:46,400 --> 00:06:50,120 Speaker 1: things around coal and gas fired power plant regulation. So 123 00:06:50,480 --> 00:06:53,200 Speaker 1: I think he could bring him along to the negotiating 124 00:06:53,240 --> 00:06:55,120 Speaker 1: table if he wants to put some heat on Mansion 125 00:06:55,480 --> 00:06:59,520 Speaker 1: and Bloomberg Politics contributor Rick Davis says, we'll have more 126 00:06:59,640 --> 00:07:02,720 Speaker 1: on this presidential announcement in just a few minutes. Bloomberg's 127 00:07:02,720 --> 00:07:04,960 Speaker 1: and Mastery is at the event and joins us a 128 00:07:04,960 --> 00:07:07,520 Speaker 1: live in just a few moments. In the meantime, Karen 129 00:07:07,560 --> 00:07:10,360 Speaker 1: futures are moving higher. We have SMP futures up seven points, 130 00:07:10,400 --> 00:07:13,680 Speaker 1: down features up forty three, NASTACK futures higher by thirty 131 00:07:13,720 --> 00:07:16,400 Speaker 1: six points. Straight ahead your latest local headlines and to 132 00:07:16,520 --> 00:07:24,240 Speaker 1: check off sports. This is Bloomberg five oh seven on 133 00:07:24,280 --> 00:07:28,000 Speaker 1: Wall Street, eighty degrees. Already in Central Park, tend to 134 00:07:28,080 --> 00:07:30,720 Speaker 1: fifteen minute delays on the upper level George Washington Bridge 135 00:07:30,720 --> 00:07:33,880 Speaker 1: after overnight construction. Saying more about that in traffic First. 136 00:07:33,960 --> 00:07:37,640 Speaker 1: John Tucker's trying to stay cool in New York. Good morning, John. 137 00:07:38,040 --> 00:07:40,720 Speaker 1: We'll forget about taking a swim as the heat wave 138 00:07:40,800 --> 00:07:44,080 Speaker 1: grips the city. Everyone's been ordered out of the water 139 00:07:44,240 --> 00:07:48,200 Speaker 1: on Rockaway Beaches. Sharks were seeing probably the area lit here. 140 00:07:48,280 --> 00:07:50,720 Speaker 1: City Police department has been doing flyovers to look for 141 00:07:50,760 --> 00:07:53,800 Speaker 1: any threats, and parks officials say they'll reopen the beach 142 00:07:53,840 --> 00:07:56,440 Speaker 1: when it's safe to do so. A handful of recent 143 00:07:56,480 --> 00:07:59,920 Speaker 1: shock attacts on Long Island beaches against a tourists, a surfer, 144 00:08:00,160 --> 00:08:03,840 Speaker 1: a lifeguard. They've caught the attention of swimmers and officials. 145 00:08:04,440 --> 00:08:08,400 Speaker 1: Trump endorsed candidate has when the closely watched Republican primary 146 00:08:08,400 --> 00:08:11,600 Speaker 1: for governor in Maryland. That story this morning from Bloomberg's 147 00:08:11,640 --> 00:08:14,920 Speaker 1: Amy Morris. Dan Cox won the Republican primary and the 148 00:08:15,040 --> 00:08:17,760 Speaker 1: race to replace Governor Larry Hogan of Maryland, a race 149 00:08:17,840 --> 00:08:21,320 Speaker 1: that became a proxy clash between former President Trump and Hogan, 150 00:08:21,520 --> 00:08:26,880 Speaker 1: a potential GOP presidential candidate. Trump had endorsed Cox, while Hogan, 151 00:08:26,920 --> 00:08:29,840 Speaker 1: who can't seek re election because of term limits, backed 152 00:08:29,920 --> 00:08:33,760 Speaker 1: Kelly Schultz, who served in Hogan's administration. Cox will face 153 00:08:33,840 --> 00:08:37,600 Speaker 1: the winner of the crowded Democratic primary. Cox organized bus 154 00:08:37,640 --> 00:08:40,560 Speaker 1: loads of Trump supporters to attend the Stop the Steel 155 00:08:40,640 --> 00:08:45,240 Speaker 1: rally before the assault on the US Capital in Washington. 156 00:08:45,360 --> 00:08:48,440 Speaker 1: I'm Amy Moore as Bloomberg Daybreak, New York. Represent of Hockey, 157 00:08:48,520 --> 00:08:51,520 Speaker 1: Jeffries says former President Trump announcing another run for the 158 00:08:51,520 --> 00:08:54,599 Speaker 1: White House before the mid term elections would be a 159 00:08:54,640 --> 00:08:58,720 Speaker 1: boon for Democrats and a disaster for Republicans. Jefferies is 160 00:08:58,760 --> 00:09:01,840 Speaker 1: the Chairman of the House Democrat to concuss, former Secretary 161 00:09:01,840 --> 00:09:04,480 Speaker 1: of State Henry Kissinger has the words of advice for 162 00:09:04,559 --> 00:09:08,479 Speaker 1: President Biden regarding relations with China. That story from Bloomberg's 163 00:09:08,559 --> 00:09:12,040 Speaker 1: and Baxter. Kissinger, of course, was Richard Nixon State Department 164 00:09:12,120 --> 00:09:15,240 Speaker 1: later during the time of Ping Pong diplomacy with China. 165 00:09:15,720 --> 00:09:18,800 Speaker 1: Kissinger tells Bloomberg's editor in chief John mickel Thwaite at 166 00:09:18,800 --> 00:09:22,280 Speaker 1: the Intelligence Squared event it is important to prevent some 167 00:09:22,440 --> 00:09:27,040 Speaker 1: of China's actions, that it's a permanent determent, that it's 168 00:09:27,120 --> 00:09:34,920 Speaker 1: not something that can be a chief uh endless confrontations. 169 00:09:35,120 --> 00:09:40,160 Speaker 1: Kissinger says today's world needs flexibility. In San Francisco, I'm 170 00:09:40,160 --> 00:09:43,080 Speaker 1: at Baxter Bloomberg Daybreak and former New York City mayor 171 00:09:43,080 --> 00:09:45,040 Speaker 1: built a Blase it was dropping out of the crowd 172 00:09:45,080 --> 00:09:47,480 Speaker 1: of Democratic primary race for the open seat in the 173 00:09:47,480 --> 00:09:51,280 Speaker 1: state's redrawn tenth congressional district. He says, it's clear people 174 00:09:51,320 --> 00:09:54,840 Speaker 1: are looking for another option. Global News twenty four hours 175 00:09:54,840 --> 00:09:57,280 Speaker 1: a day on here and Bloomberg Quick to Power by 176 00:09:57,280 --> 00:09:59,600 Speaker 1: more than twenty seven hundred journalists and analysts and more 177 00:09:59,640 --> 00:10:02,240 Speaker 1: than one who to twenty countries. I'm John Tucker. This 178 00:10:02,280 --> 00:10:09,280 Speaker 1: is Bloomberg, Nathan. All right, John, thank you, coming up 179 00:10:09,280 --> 00:10:11,040 Speaker 1: to five ten on Wall Street. Time for the Bloomberg 180 00:10:11,040 --> 00:10:13,560 Speaker 1: Sports up. Take the morning, John Stash Morning, Nathan. There 181 00:10:13,559 --> 00:10:15,599 Speaker 1: was a long period with the National League dominated the 182 00:10:15,600 --> 00:10:18,199 Speaker 1: Baseball All Star Game one twenty of twenty one back 183 00:10:18,240 --> 00:10:20,880 Speaker 1: in the nineteen sixties and seventies, but lately the American 184 00:10:20,920 --> 00:10:22,679 Speaker 1: wig has at its way. Last night in l at 185 00:10:22,720 --> 00:10:24,400 Speaker 1: the n L jumped in front two ones in the 186 00:10:24,440 --> 00:10:26,920 Speaker 1: first inning, but failed to score again, and the y 187 00:10:27,160 --> 00:10:31,720 Speaker 1: L did damage in the fourth swing. High fly ball, trill, 188 00:10:31,880 --> 00:10:34,800 Speaker 1: forget it way back out to left center failed and 189 00:10:34,920 --> 00:10:39,160 Speaker 1: that is tall. Oh my goodness, he crushed it. John 190 00:10:39,240 --> 00:10:42,680 Speaker 1: Carlos Stanton deep into the pavilion and left center field 191 00:10:43,080 --> 00:10:46,040 Speaker 1: at the American League. With one swing is tied it up. 192 00:10:46,400 --> 00:10:50,120 Speaker 1: It's too two. As Stanton goes KEYSPN had to call 193 00:10:50,160 --> 00:10:52,959 Speaker 1: the Stanton homer travel four hundred and seventy five ft 194 00:10:52,960 --> 00:10:55,440 Speaker 1: longer than any home run hit at Dodgers Stadium this season. 195 00:10:55,520 --> 00:10:58,480 Speaker 1: Next batter was the Twins Byron Buckston. He hit a 196 00:10:58,520 --> 00:11:00,199 Speaker 1: solo shot that was it for the score. The a 197 00:11:00,360 --> 00:11:02,720 Speaker 1: L one three to two has now one on nine 198 00:11:02,760 --> 00:11:04,560 Speaker 1: All Star Games in a row, twenty one of the 199 00:11:04,600 --> 00:11:07,280 Speaker 1: last twenty five. Stanton in l a native, was the 200 00:11:07,400 --> 00:11:09,400 Speaker 1: m v P third Yankee to win Derek Jene in 201 00:11:09,440 --> 00:11:12,839 Speaker 1: two thousand, Marianna Rivera in two thousand thirteen. Aaron Judge 202 00:11:12,840 --> 00:11:15,840 Speaker 1: struck out twice. Jose Trevino had a base hit. Nestor 203 00:11:15,840 --> 00:11:18,320 Speaker 1: Cortez pitched the sixth INNT. Clay Holmes got two out 204 00:11:18,360 --> 00:11:20,760 Speaker 1: of the eighth for the Mets. Jeff McNeil o for 205 00:11:20,800 --> 00:11:22,640 Speaker 1: one also got hit by a pitch. Peter Alonzo was 206 00:11:22,720 --> 00:11:26,040 Speaker 1: up once into a walk. Miles Bridges was Charlotte's leading 207 00:11:26,080 --> 00:11:27,959 Speaker 1: score this past season. It's clearly a free agent. He's 208 00:11:27,960 --> 00:11:31,280 Speaker 1: now facing three felony counts of domestic violence, excused the 209 00:11:31,280 --> 00:11:33,920 Speaker 1: assaulting his girlfriend. Still no no, no word on how 210 00:11:33,960 --> 00:11:36,959 Speaker 1: long the suspension Cleveland quarterback to Shaun Watson will get. 211 00:11:36,960 --> 00:11:39,320 Speaker 1: But there's now a report it's expected to be eight 212 00:11:39,360 --> 00:11:42,680 Speaker 1: games for sexual misconduct. That was earlier reporting it would 213 00:11:42,679 --> 00:11:46,760 Speaker 1: be the entire season. John stash Award Bloomberg Sports. Okay, John, 214 00:11:46,800 --> 00:11:49,200 Speaker 1: thanks right now. SMP futures are up seven points. Stown 215 00:11:49,280 --> 00:11:52,439 Speaker 1: futures up forty seven. NASTAC futures are highed by thirty 216 00:11:52,480 --> 00:11:55,360 Speaker 1: seven points. The ten year treasury is up ten thirty seconds. 217 00:11:55,440 --> 00:11:57,679 Speaker 1: Yield two point nine eight percent, yield on the two 218 00:11:57,800 --> 00:12:02,440 Speaker 1: year three point one eight percent. You're listening to Bloomberg 219 00:12:02,640 --> 00:12:09,920 Speaker 1: Gabri Bloomberg eleventh three O weather heat advisory from noon 220 00:12:09,960 --> 00:12:13,200 Speaker 1: today till eight tomorrow nights. You could see an isolated 221 00:12:13,200 --> 00:12:17,240 Speaker 1: shower storm today with esteer nine degrees right now eighty 222 00:12:17,600 --> 00:12:24,760 Speaker 1: already in Central Park markets, headlines and breaking news twenty 223 00:12:24,760 --> 00:12:27,640 Speaker 1: four hours a day at Bloomberg dot Com, the Bloomberg 224 00:12:27,640 --> 00:12:31,199 Speaker 1: Business Out and at Bloomberg Quicktake, This is a Bloomberg 225 00:12:31,320 --> 00:12:40,480 Speaker 1: Business Flash and I'm Karen Moscow stocks are inching higher 226 00:12:40,520 --> 00:12:43,400 Speaker 1: image speculation that the worst of this year's equity route 227 00:12:43,440 --> 00:12:46,200 Speaker 1: maybe over, even as concern over the potential for a 228 00:12:46,240 --> 00:12:51,160 Speaker 1: global downturn sparked by hawkish central banks lingers. We get 229 00:12:51,200 --> 00:12:53,480 Speaker 1: the market. We get a check on the market's every 230 00:12:53,520 --> 00:12:56,240 Speaker 1: fifteen minutes throughout the trading day. On Bloomberg s and 231 00:12:56,280 --> 00:12:58,880 Speaker 1: P Future is higher this morning, up about eight points down. 232 00:12:58,880 --> 00:13:01,640 Speaker 1: Future is at forty six. Snazdack futures up thirty six. 233 00:13:02,000 --> 00:13:04,640 Speaker 1: The decks in Germany is up four tenths of a percent. 234 00:13:04,720 --> 00:13:06,920 Speaker 1: The tender Your Treasury of nine thirty seconds held two 235 00:13:06,960 --> 00:13:09,440 Speaker 1: point nine eight percent yield on a two year three 236 00:13:09,440 --> 00:13:12,480 Speaker 1: point one eight percent. NIMEX Screwed oil is down one 237 00:13:12,480 --> 00:13:14,439 Speaker 1: point one percent on a dollar nine at a hundred 238 00:13:14,480 --> 00:13:17,120 Speaker 1: three dollars thirteen cents of arrol comics go down to 239 00:13:17,240 --> 00:13:20,840 Speaker 1: ten percent or two dollars eighty cents at seventeen thirty announced. 240 00:13:21,160 --> 00:13:23,600 Speaker 1: The euro one point two four six against the dollar. 241 00:13:23,640 --> 00:13:26,200 Speaker 1: British found one point to zero one nine and again 242 00:13:26,280 --> 00:13:28,960 Speaker 1: one thirty eight point one four and Bitcoin this morning 243 00:13:29,000 --> 00:13:31,800 Speaker 1: it's higher, up nine tenths percent at twenty three thousand, 244 00:13:31,880 --> 00:13:35,360 Speaker 1: five eighteen dollars. That's a Bloomberg Business Flash. Now here's 245 00:13:35,400 --> 00:13:38,160 Speaker 1: John Tucker with more on what's going on around the world. John, 246 00:13:38,559 --> 00:13:41,720 Speaker 1: Good morning, Karen. President Biden sent to announced executive action 247 00:13:41,760 --> 00:13:46,120 Speaker 1: to confront climate change. Russian President Latimer Putin signaling Europe 248 00:13:46,120 --> 00:13:49,240 Speaker 1: will start getting gas again through a key pipeline. And 249 00:13:49,360 --> 00:13:52,640 Speaker 1: Dan Cox wins the Republican primary and the race to 250 00:13:52,679 --> 00:13:55,600 Speaker 1: replace Governor Larry Hogan to Maryland, a race that became 251 00:13:55,640 --> 00:13:59,640 Speaker 1: a proxy clash between former President Trump and Hogan. And 252 00:13:59,800 --> 00:14:02,720 Speaker 1: it's sports. The Yankees Gin Carlos Stanton named the All 253 00:14:02,800 --> 00:14:06,160 Speaker 1: Star Game m v P of the American League Beach 254 00:14:06,320 --> 00:14:08,559 Speaker 1: the National League Global. It was twenty four hours a 255 00:14:08,600 --> 00:14:11,240 Speaker 1: day on Aaron on Bloomberg Quicktake. We're powered by more 256 00:14:11,280 --> 00:14:13,760 Speaker 1: than twenties of one hundre journalist and analysts in more 257 00:14:13,800 --> 00:14:16,839 Speaker 1: than one hundred twenty countries. I'm John Sucker, and this 258 00:14:17,200 --> 00:14:20,280 Speaker 1: is Bloomberg. Nathan John, Thank you. It is five nineteen 259 00:14:20,320 --> 00:14:23,240 Speaker 1: on Wall Street Live from the Bloomberg Interactor Broker Studios. 260 00:14:23,360 --> 00:14:26,880 Speaker 1: This is Bloomberg Daybreak and we are watching for President 261 00:14:26,920 --> 00:14:30,720 Speaker 1: Biden to take executive action to tackle climate change. He 262 00:14:30,840 --> 00:14:33,080 Speaker 1: is expected to do so later today in a visit 263 00:14:33,120 --> 00:14:36,800 Speaker 1: to Somerset, Massachusetts, where we find Bloomberg's and Moss Do 264 00:14:37,040 --> 00:14:40,320 Speaker 1: this morning, joining us live ahead of the President's announcement 265 00:14:40,320 --> 00:14:42,720 Speaker 1: in Somerset, and good morning. Great to have you with 266 00:14:42,800 --> 00:14:45,600 Speaker 1: us this morning. So what do we know so far 267 00:14:45,920 --> 00:14:48,240 Speaker 1: about what the President plans to say where you are 268 00:14:48,280 --> 00:14:52,480 Speaker 1: this morning? Well, Nathan, the President plans to talk about 269 00:14:52,560 --> 00:14:56,760 Speaker 1: climate crisis, how a clean energy future might create jobs, 270 00:14:56,760 --> 00:14:59,920 Speaker 1: lower costs for families. This is gas prices remain, how 271 00:15:00,200 --> 00:15:03,400 Speaker 1: he's expected to announce some support in terms of heating 272 00:15:03,440 --> 00:15:07,840 Speaker 1: for low income families, and his support for offshore wind. Now, 273 00:15:08,240 --> 00:15:10,720 Speaker 1: the sight he is coming to in Somerset is far 274 00:15:10,880 --> 00:15:14,800 Speaker 1: from the idyllic New England beachfront community you might be picturing. 275 00:15:15,440 --> 00:15:18,080 Speaker 1: This is a small town just next to Rhode Island 276 00:15:18,400 --> 00:15:21,960 Speaker 1: and they have an enormous vacant lot by the ocean 277 00:15:22,320 --> 00:15:25,400 Speaker 1: called Brayton Point, which was a power plant plant. It 278 00:15:25,440 --> 00:15:29,320 Speaker 1: was a coal power plant up until when it was 279 00:15:29,360 --> 00:15:33,240 Speaker 1: completely demolished, and it's now three D seven acres of 280 00:15:33,360 --> 00:15:36,440 Speaker 1: just rubble. Now, Biden's going to come and visit this, 281 00:15:36,960 --> 00:15:41,120 Speaker 1: and there is in the works, but far from ready, 282 00:15:41,200 --> 00:15:44,720 Speaker 1: a manufacturing facility for offshore wind here as there are 283 00:15:44,840 --> 00:15:48,360 Speaker 1: three projects in Massachusetts that are under review right now. 284 00:15:48,640 --> 00:15:54,000 Speaker 1: So interesting backdrop to sort of showcase the energy transition 285 00:15:54,080 --> 00:15:56,680 Speaker 1: that the President says he would like to see here. 286 00:15:56,880 --> 00:15:59,320 Speaker 1: But I guess a lot of the reason why he's 287 00:15:59,360 --> 00:16:02,760 Speaker 1: making this of and is because he's had trouble getting 288 00:16:02,840 --> 00:16:06,680 Speaker 1: his clean energy spending agenda moving forward on Capitol Hill. 289 00:16:08,440 --> 00:16:11,280 Speaker 1: That's exactly right, Nathan. He is under a pressure to 290 00:16:11,360 --> 00:16:15,280 Speaker 1: declare a climate emergency after his agenda stalled in the 291 00:16:15,320 --> 00:16:20,280 Speaker 1: Senate again last week. Now, this is largely impart Democratic 292 00:16:20,280 --> 00:16:23,280 Speaker 1: West Virginia Senator Joe Manchin saying he would not support 293 00:16:23,320 --> 00:16:28,680 Speaker 1: additional measures to combat climate change. Now, the climate emergency declaration. 294 00:16:29,400 --> 00:16:32,680 Speaker 1: There was talk that Biden would make that today in Massachusetts, 295 00:16:32,760 --> 00:16:35,080 Speaker 1: but the White House has said he will not. It 296 00:16:35,120 --> 00:16:38,400 Speaker 1: would empower him to be able to do more administratively 297 00:16:38,560 --> 00:16:41,920 Speaker 1: to curb emissions. But there are a lot of politicians 298 00:16:41,920 --> 00:16:44,280 Speaker 1: who say it's not the right tactic, that declaring a 299 00:16:44,360 --> 00:16:47,120 Speaker 1: national emergency is not the right idea. Um, no one's 300 00:16:47,160 --> 00:16:49,840 Speaker 1: ever done that before. No president has ever done that before, 301 00:16:50,240 --> 00:16:52,960 Speaker 1: not in terms of a climate emergency, I guess. But 302 00:16:53,040 --> 00:16:57,520 Speaker 1: we have seen to be fair executive actions taken many 303 00:16:57,560 --> 00:17:00,120 Speaker 1: times on other issues in the past. So what's the 304 00:17:00,160 --> 00:17:02,760 Speaker 1: thinking at the White House about why the President shouldn't 305 00:17:02,800 --> 00:17:06,359 Speaker 1: make that step, at least not at this point. Well, 306 00:17:06,440 --> 00:17:08,720 Speaker 1: that's a really good question, Nathan. I mean, you're right, 307 00:17:09,560 --> 00:17:13,920 Speaker 1: there have been dozens of national emergencies declared by presidents 308 00:17:13,960 --> 00:17:18,160 Speaker 1: since the seventies, but never for the purpose of climate change. UM. 309 00:17:18,200 --> 00:17:21,399 Speaker 1: I think that there's still hoping, perhaps hopeful that Mansion 310 00:17:21,400 --> 00:17:24,560 Speaker 1: will change his mind. Um. But there is a lot 311 00:17:24,600 --> 00:17:27,560 Speaker 1: of pressure also coming from Senator Elizabeth Warren Um, the 312 00:17:27,600 --> 00:17:32,200 Speaker 1: Democrat from Massachusetts. She's also been calling for this national emergency. Um. 313 00:17:32,200 --> 00:17:35,080 Speaker 1: It's not clear why the White House is stalling on 314 00:17:35,160 --> 00:17:38,320 Speaker 1: this if they're actually going to do it. And it's 315 00:17:38,400 --> 00:17:41,760 Speaker 1: interesting that the President is making this announcement at a 316 00:17:41,800 --> 00:17:45,520 Speaker 1: time when we are experiencing a pretty significant heat wave. 317 00:17:45,600 --> 00:17:48,320 Speaker 1: I mean, it's hot here in Washington, d C. And 318 00:17:48,359 --> 00:17:51,679 Speaker 1: in New York City, and no it's getting quite warm 319 00:17:51,840 --> 00:17:55,720 Speaker 1: in Boston as well. It's going to bring even more 320 00:17:55,760 --> 00:17:58,200 Speaker 1: of a fine point on the issue for the president. 321 00:17:58,240 --> 00:18:02,000 Speaker 1: I would imagine, Yes, that's exactly right. We're in the 322 00:18:02,000 --> 00:18:04,240 Speaker 1: middle of a major heatwave here. It's been in the 323 00:18:04,320 --> 00:18:06,960 Speaker 1: nineties this week. I know that's not much compared to 324 00:18:07,000 --> 00:18:10,199 Speaker 1: the rest of the country, but in Massachusetts that's pretty hot. 325 00:18:10,600 --> 00:18:14,560 Speaker 1: And UM, I think that that again creates this visual 326 00:18:14,600 --> 00:18:18,160 Speaker 1: backdrop for him. You know, you've got part of Biden's 327 00:18:18,200 --> 00:18:21,680 Speaker 1: family on Nantucket right now, his wife Jill and UM 328 00:18:21,800 --> 00:18:24,359 Speaker 1: other relatives, and then he's going to what really is 329 00:18:24,359 --> 00:18:28,320 Speaker 1: sort of an apocalyptic looking stretch of land that is 330 00:18:28,560 --> 00:18:33,840 Speaker 1: very slowly transitioning to renewable energy, and UM hoping that 331 00:18:33,880 --> 00:18:37,320 Speaker 1: these developers do indeed follow through with their plans to 332 00:18:37,400 --> 00:18:40,680 Speaker 1: create these offshore wind cables at this site and then 333 00:18:40,720 --> 00:18:44,160 Speaker 1: put up these three offshore wind farms off the coast 334 00:18:44,160 --> 00:18:46,760 Speaker 1: of Massachusetts. There's already one off the coast of Rhode Island, 335 00:18:46,760 --> 00:18:50,040 Speaker 1: I should mention off of Block Island, UM. And so 336 00:18:50,640 --> 00:18:54,120 Speaker 1: the deep water port, the hot weather, it's all very 337 00:18:54,240 --> 00:18:58,120 Speaker 1: visual opportunity for Biden to show action when people really 338 00:18:58,160 --> 00:19:01,720 Speaker 1: are still very much struggling with prices and and air 339 00:19:01,720 --> 00:19:04,399 Speaker 1: conditioning prices at this point. Yes, certainly are and it's 340 00:19:04,440 --> 00:19:06,560 Speaker 1: gonna be interesting to hear as well what the President 341 00:19:06,600 --> 00:19:09,000 Speaker 1: has to say in terms of the kinds of projects 342 00:19:09,000 --> 00:19:12,240 Speaker 1: that you're alluding to that could benefit from the announcement 343 00:19:12,280 --> 00:19:14,879 Speaker 1: that we are expecting later today from the President that 344 00:19:14,920 --> 00:19:18,399 Speaker 1: he will be taking executive action to tackle climate change, 345 00:19:18,480 --> 00:19:21,400 Speaker 1: and as the White House terms it, to create clean 346 00:19:21,480 --> 00:19:24,000 Speaker 1: energy jobs as part of the action that the President 347 00:19:24,080 --> 00:19:27,320 Speaker 1: is expected to announce. And mos do Bloomberg News correspondent 348 00:19:27,359 --> 00:19:30,960 Speaker 1: with us this morning from Somerset, Massachusetts, and our listeners 349 00:19:30,960 --> 00:19:34,119 Speaker 1: in Boston can catch live coverage from and of the 350 00:19:34,119 --> 00:19:37,120 Speaker 1: President's announcement. It's coming up on Bloomberg based State Business 351 00:19:37,160 --> 00:19:39,320 Speaker 1: or three to six pm on Bloomberg one oh six 352 00:19:39,359 --> 00:19:43,920 Speaker 1: one Boston, Newburyport and HD two. Looking ahead to the 353 00:19:43,960 --> 00:19:46,800 Speaker 1: market open on Wall Street, SMP futures are up six points, 354 00:19:46,800 --> 00:19:49,840 Speaker 1: Staff futures up thirty nine, Nasdaq futures higher by thirty 355 00:19:49,880 --> 00:19:53,199 Speaker 1: one points, adding to yesterday's rally. Will tell you more 356 00:19:53,240 --> 00:19:55,840 Speaker 1: about that just ahead, the biggest rally in three weeks 357 00:19:55,840 --> 00:19:59,000 Speaker 1: for stocks actually, and we continue to watch Netflix after 358 00:19:59,080 --> 00:20:02,359 Speaker 1: it could have been worse subscriber loss. Top stories of 359 00:20:02,400 --> 00:20:08,360 Speaker 1: the morning just ahead on Bloomberg Daybreak Bloomberg eleven three 360 00:20:08,359 --> 00:20:11,760 Speaker 1: oh weather heat advisory from noon today till eight tomorrow night, 361 00:20:12,000 --> 00:20:14,479 Speaker 1: and we're not expecting much of a break god Friday 362 00:20:14,880 --> 00:20:16,200 Speaker 1: highs for the rest of the week in the load 363 00:20:16,240 --> 00:20:26,320 Speaker 1: of mid nineties. Right now eight in Central Park, broadcasting 364 00:20:26,359 --> 00:20:30,080 Speaker 1: live from the Bloomberg Interactive Brokery Studio in New York. 365 00:20:30,200 --> 00:20:34,040 Speaker 1: Bloomberg E Living Freedom to Washington, d C, Bloomberg on 366 00:20:34,280 --> 00:20:37,520 Speaker 1: to Boston, Bloomberg one O six one to San Francisco, 367 00:20:37,600 --> 00:20:40,800 Speaker 1: Bloomberg nong sixteen to the country, Sirius XM Chad A 368 00:20:40,880 --> 00:20:44,200 Speaker 1: one nineteen and around the globe the Bloomberg business in 369 00:20:44,280 --> 00:20:54,000 Speaker 1: Bloomberg Radio dot Com. This is Bloomberg Daybreak. It's five 370 00:20:54,040 --> 00:20:56,520 Speaker 1: thirty on Wall Street. Good morning. I'm Nathan Hagar and 371 00:20:56,560 --> 00:20:59,679 Speaker 1: I'm Karen Moscow, and we are just about four hours 372 00:20:59,720 --> 00:21:02,040 Speaker 1: away from the open of US trading. Let's get you 373 00:21:02,119 --> 00:21:03,520 Speaker 1: up to date on the news you need to know. 374 00:21:03,600 --> 00:21:06,879 Speaker 1: At this hour, US futures are adding to yesterday's gains 375 00:21:06,920 --> 00:21:09,720 Speaker 1: on Wall Street, which were the biggest in three weeks. Still, 376 00:21:09,840 --> 00:21:13,560 Speaker 1: Sherry Paul, senior portfolio manager with Morgan Stanley Private Wealth, 377 00:21:13,600 --> 00:21:17,000 Speaker 1: says the markets remain uncertain. Clients I think are feeling 378 00:21:17,119 --> 00:21:20,359 Speaker 1: very data overwhelmed, and the greatest threat to portfolio returns 379 00:21:20,440 --> 00:21:23,080 Speaker 1: is in decision. So right now, what we're advising clients 380 00:21:23,119 --> 00:21:24,919 Speaker 1: is to go right down the middle of this market. 381 00:21:25,000 --> 00:21:27,960 Speaker 1: Do you want to plan for inflation being structural and 382 00:21:28,040 --> 00:21:31,000 Speaker 1: owned sectors of the market that actually benefit from the 383 00:21:31,040 --> 00:21:33,919 Speaker 1: reflationary stories. So that would put you in financials and 384 00:21:34,000 --> 00:21:37,440 Speaker 1: energy stocks. And Sherry Paul with Morgan Stanley Private Wealth 385 00:21:37,480 --> 00:21:41,240 Speaker 1: says investors should remain active despite volatility. When we get 386 00:21:41,240 --> 00:21:43,920 Speaker 1: more earnings today Karena, with seventeen companies in the SMP 387 00:21:44,000 --> 00:21:47,439 Speaker 1: five reporting Tesla headlines the list, investors will look for 388 00:21:47,440 --> 00:21:49,720 Speaker 1: how its bottom line is affected by lockdowns in China 389 00:21:49,760 --> 00:21:53,280 Speaker 1: and the crypto plunge. Tesla is heavily invested in bitcoin 390 00:21:53,640 --> 00:21:55,959 Speaker 1: al Turning to Netflix now Nathan shares her up more 391 00:21:56,000 --> 00:21:59,600 Speaker 1: than seven percent and early trading after it lost less 392 00:21:59,760 --> 00:22:03,960 Speaker 1: subscribers and initially feared and gave Ragnatha uncovers Netflix for 393 00:22:03,960 --> 00:22:07,639 Speaker 1: Bloomberg Intelligence, there's really not a whole lot to cheer about. 394 00:22:07,920 --> 00:22:10,359 Speaker 1: What the market is really looking for at this point 395 00:22:10,359 --> 00:22:13,159 Speaker 1: of time is really some clarity, not just on the 396 00:22:13,200 --> 00:22:16,439 Speaker 1: subscriber growth trajectory, but also on other metrics, so you know, 397 00:22:16,480 --> 00:22:18,399 Speaker 1: how are they going to drive our poo? How are 398 00:22:18,440 --> 00:22:21,440 Speaker 1: they going to drive margins? So there's pressure all around, 399 00:22:21,880 --> 00:22:25,200 Speaker 1: and gave the Raganathan at Bloomberg Intelligence as Netflix still 400 00:22:25,200 --> 00:22:29,320 Speaker 1: has positives working in its favor, including its size and reach. Okaren, 401 00:22:29,359 --> 00:22:32,359 Speaker 1: we're learning this morning more about Kathy Wood closing down 402 00:22:32,359 --> 00:22:35,120 Speaker 1: one of her exchange traded funds. Bloomberg. Ornina Young joins 403 00:22:35,200 --> 00:22:37,680 Speaker 1: US Live with the latest. Good morning, Beneatha, Good morning Nathan. 404 00:22:37,720 --> 00:22:40,959 Speaker 1: A regulatory filing shows Kathie Wood is shutting down her 405 00:22:41,119 --> 00:22:44,800 Speaker 1: ARC Transparency et F. The fund gained only twelve million 406 00:22:44,800 --> 00:22:47,080 Speaker 1: dollars in assets since it launched at the end of 407 00:22:47,160 --> 00:22:50,320 Speaker 1: last year. That's a fraction of the nine billion dollars 408 00:22:50,320 --> 00:22:53,920 Speaker 1: in woods flagship fund. It contains holdings like Teal, Duck 409 00:22:53,960 --> 00:22:57,119 Speaker 1: and Spotify. It was aimed at investing in companies that 410 00:22:57,280 --> 00:23:02,199 Speaker 1: received high scores on transparency. Transparency Global, which shaped the 411 00:23:02,200 --> 00:23:05,960 Speaker 1: funds underlying portfolio, will stop calculating the index at the 412 00:23:06,040 --> 00:23:08,639 Speaker 1: end of July. Live in New York. I'm gonna need 413 00:23:08,680 --> 00:23:10,840 Speaker 1: a Young Bloomberg daybreak, all right, reneed to thank you, 414 00:23:10,880 --> 00:23:13,919 Speaker 1: and overseas we got the latest reading on UK inflation. Today, 415 00:23:13,920 --> 00:23:16,720 Speaker 1: consumer prices hit a fresh forty year high in Brittain 416 00:23:16,800 --> 00:23:18,840 Speaker 1: as the country grapples with a cost of living in 417 00:23:18,960 --> 00:23:22,600 Speaker 1: crea crisis. Inflation figures for June rose nine point four 418 00:23:22,640 --> 00:23:26,160 Speaker 1: percent year over year. A nine point surging gas prices 419 00:23:26,200 --> 00:23:29,200 Speaker 1: helped fuel the increase. Straight to had your latest local 420 00:23:29,240 --> 00:23:34,040 Speaker 1: headlines plus a check of sports, And this is Bloomberg. 421 00:23:37,960 --> 00:23:41,040 Speaker 1: Karen Thanks on Wall Street. Seventy degrees in Central Park, 422 00:23:41,119 --> 00:23:44,239 Speaker 1: accident investigation eastbound Bruckner at the Shared An Expressway more 423 00:23:44,280 --> 00:23:46,640 Speaker 1: common in traffic. First John Tucker with more on what's 424 00:23:46,680 --> 00:23:48,960 Speaker 1: going on in New York and around the world. John Nathan. 425 00:23:49,000 --> 00:23:51,879 Speaker 1: The summer swelter resumes today as the heat advisories an 426 00:23:51,880 --> 00:23:55,160 Speaker 1: effects starting at noon. When can we expect some relief 427 00:23:55,200 --> 00:24:00,400 Speaker 1: from Bloomberg? Meteorologist Rob Carolin hopefully has some answers. Good morning, Rob, John. 428 00:24:00,440 --> 00:24:03,000 Speaker 1: The hot weather that's developed across the century United States, 429 00:24:03,000 --> 00:24:04,600 Speaker 1: while a piece of it is broken off and is 430 00:24:04,600 --> 00:24:06,679 Speaker 1: working its way through the eastern part of the country, 431 00:24:06,680 --> 00:24:08,200 Speaker 1: and that's why we are going to be so warm 432 00:24:08,280 --> 00:24:10,800 Speaker 1: between now and the end of the weekend. We're under 433 00:24:10,800 --> 00:24:13,440 Speaker 1: a heat advisory from noon today through eight p m. Thursday. 434 00:24:13,720 --> 00:24:15,639 Speaker 1: The only wrinkle in the forecast the next couple of 435 00:24:15,680 --> 00:24:17,520 Speaker 1: days is the potential for a little bit of afternoon 436 00:24:17,520 --> 00:24:20,280 Speaker 1: shower and thutterstorm activity. Those areas that do see the 437 00:24:20,280 --> 00:24:22,439 Speaker 1: storms would see temperatures cool off quite a bit. I 438 00:24:22,480 --> 00:24:25,760 Speaker 1: think the heat is going to peak Saturday. John Meteorologist 439 00:24:25,880 --> 00:24:28,520 Speaker 1: Rob Carolin, Well, it's the end of the political road 440 00:24:28,560 --> 00:24:31,680 Speaker 1: for former Mayor Bill de Blasio. It's clear to me 441 00:24:32,800 --> 00:24:36,280 Speaker 1: that when it comes to this congressional district, people are 442 00:24:36,280 --> 00:24:38,959 Speaker 1: looking for another option. He's dropping out of the crowded 443 00:24:38,960 --> 00:24:41,800 Speaker 1: Democratic primary race for an open seat in the state's 444 00:24:41,840 --> 00:24:45,560 Speaker 1: redrawn tenth congressional district. The Caper of Federal Record is 445 00:24:45,600 --> 00:24:48,879 Speaker 1: asking Secret Service to determine whether any tax messages by 446 00:24:48,960 --> 00:24:51,560 Speaker 1: agents around the time of the attack of the U. 447 00:24:51,600 --> 00:24:56,080 Speaker 1: S Capital were improperly deleted that story from Bloomberg's Jeff Bellinger. 448 00:24:56,440 --> 00:24:59,960 Speaker 1: The National Archives and Records Administrations said in a letter 449 00:25:00,119 --> 00:25:02,920 Speaker 1: to the agency that it must submit a report within 450 00:25:03,040 --> 00:25:06,960 Speaker 1: thirty days documenting what occurred. A spokesman for the Secret 451 00:25:07,000 --> 00:25:11,160 Speaker 1: Service has previously said the text were inadvertently lost during 452 00:25:11,160 --> 00:25:14,880 Speaker 1: an equipment upgrade. The House committee investigating the efforts by 453 00:25:14,960 --> 00:25:18,240 Speaker 1: former President Trump and his allies to overturn the results 454 00:25:18,240 --> 00:25:21,680 Speaker 1: of the twenty twenty election. Has also subpoenaed the agency 455 00:25:21,800 --> 00:25:25,760 Speaker 1: for the texts Jeff Bellinger, Bloomberg Daybreak and Russian President 456 00:25:25,840 --> 00:25:29,840 Speaker 1: Vladimir Putin signal Europe will start getting gas again through 457 00:25:29,840 --> 00:25:33,120 Speaker 1: a key pipeline. But it's also warring that Lessa's fat 458 00:25:33,119 --> 00:25:36,959 Speaker 1: over sanctions parts is resolved, flows will be totally curred. 459 00:25:37,280 --> 00:25:39,560 Speaker 1: Global News twenty four hours a day on the air 460 00:25:39,680 --> 00:25:41,960 Speaker 1: had a Bloomberg quick Take powered by more than twenty 461 00:25:42,000 --> 00:25:44,800 Speaker 1: seven hundred journalist and analysts in more than one hundred 462 00:25:44,800 --> 00:25:48,080 Speaker 1: twenty countries. I'm John Soccer. This is Bloomberg, Nathan. Thank 463 00:25:48,080 --> 00:25:55,720 Speaker 1: you John on Wall Street time for the Bloomberg Sports 464 00:25:55,760 --> 00:25:58,000 Speaker 1: Update with John Sashion. Thanks Nathan, and the win for 465 00:25:58,040 --> 00:26:00,520 Speaker 1: the American League. In the baseball Altar game, that's nine 466 00:26:00,520 --> 00:26:02,679 Speaker 1: in a row, one of the last twenty five in 467 00:26:02,800 --> 00:26:05,120 Speaker 1: Los Angeles, the Yana L scored twice in the first 468 00:26:05,119 --> 00:26:07,560 Speaker 1: It ain't Paul Goldschmid homer, but the rest of the game, 469 00:26:08,000 --> 00:26:11,000 Speaker 1: ten a L pitchers, including the Yankees Nestor Cortez and 470 00:26:11,080 --> 00:26:14,480 Speaker 1: Clay Holmes, combined to her eight scoreless innings. Allowing only 471 00:26:14,520 --> 00:26:18,120 Speaker 1: one hit with ten strikeouts. Toronto's Alan Bunoa struck out 472 00:26:18,160 --> 00:26:20,760 Speaker 1: the side in the second inning. He did so as 473 00:26:20,800 --> 00:26:24,360 Speaker 1: he was talking to the Fox broadcasters. Cleveland's Emmanuel Chase 474 00:26:24,359 --> 00:26:26,439 Speaker 1: struck out the side of the ninth on just ten pitchers. 475 00:26:26,440 --> 00:26:28,560 Speaker 1: The Yale one three to two, scoring all three in 476 00:26:28,600 --> 00:26:30,880 Speaker 1: the fourth inning. The game time long to on Homer 477 00:26:30,920 --> 00:26:33,359 Speaker 1: by the Yankees Giant Carlos Stanton, in l A Native, 478 00:26:33,640 --> 00:26:36,480 Speaker 1: his first career All Star Game hit. Next batter was 479 00:26:36,520 --> 00:26:39,920 Speaker 1: the twins Byron Buxton, solo shots seventh time in All 480 00:26:39,920 --> 00:26:42,560 Speaker 1: Star Game history back to back. Homer's both came off 481 00:26:42,560 --> 00:26:45,360 Speaker 1: Tony Gonsolin. He took the loss, something he hasn't done 482 00:26:45,400 --> 00:26:47,800 Speaker 1: all season. He's eleven and oh for the Dodgers. Stanton 483 00:26:48,160 --> 00:26:50,520 Speaker 1: in his first All Star Game as a Yankee. Third 484 00:26:50,600 --> 00:26:52,439 Speaker 1: Yank to win m v P. Derek Jeter did it 485 00:26:52,440 --> 00:26:56,000 Speaker 1: in two thousand Marianna Rivera in two thousand thirteen. At 486 00:26:56,040 --> 00:26:59,480 Speaker 1: SEC Media Day, Alabama coach Nick Saban asked about players 487 00:26:59,480 --> 00:27:01,720 Speaker 1: now being a of the cash in on their name, 488 00:27:01,760 --> 00:27:05,240 Speaker 1: image and likeness. Players that extremely well last year. I 489 00:27:05,280 --> 00:27:07,639 Speaker 1: think they made over three million dollars in name, image 490 00:27:07,640 --> 00:27:11,119 Speaker 1: and likeness and UM. But I do think that the 491 00:27:11,160 --> 00:27:15,560 Speaker 1: concerns um are, you know, there there has to be something, 492 00:27:16,040 --> 00:27:20,880 Speaker 1: some guidelines that sort of protect competitive balance. A lot 493 00:27:20,880 --> 00:27:23,720 Speaker 1: of social media reaction to that comment, considering Sabing makes 494 00:27:23,760 --> 00:27:25,760 Speaker 1: over nine million a year and there hasn't really been 495 00:27:25,800 --> 00:27:29,880 Speaker 1: competitive balance in college football as Alabama has dominated every year. 496 00:27:30,240 --> 00:27:33,440 Speaker 1: Johns Dashwer Bloomberg Sports. Nathan john thinks it's just about 497 00:27:33,440 --> 00:27:35,520 Speaker 1: five thirty seven on Wall Street time for the Tri 498 00:27:35,640 --> 00:27:39,240 Speaker 1: State Business Report. Here's Bloomberg Scott car. A measure of 499 00:27:39,280 --> 00:27:43,240 Speaker 1: optimism among small businesses in New Jersey is pretty dismal. 500 00:27:43,480 --> 00:27:47,639 Speaker 1: The National Federation of Independent Business Small Business Optimism Index 501 00:27:48,000 --> 00:27:50,880 Speaker 1: dropped by three point six points last month to eighty 502 00:27:50,960 --> 00:27:54,080 Speaker 1: nine point five. The survey found thirty four percent of 503 00:27:54,119 --> 00:27:58,080 Speaker 1: business owners reported inflation was the single most important problem 504 00:27:58,119 --> 00:28:02,000 Speaker 1: in operating their business. The Luxembourg based multinational firm A 505 00:28:02,080 --> 00:28:04,639 Speaker 1: Rent and Metternock has inked a five year deal for 506 00:28:04,800 --> 00:28:08,879 Speaker 1: office space in Rockefeller Plaza. The firm, which was previously 507 00:28:08,920 --> 00:28:11,680 Speaker 1: in the building, is expanding its footprint there by one 508 00:28:11,720 --> 00:28:15,240 Speaker 1: thousand square feet. Heads Up, hot dog Fans. Today is 509 00:28:15,320 --> 00:28:19,200 Speaker 1: National Hot Dog Day and Coney Islands Nathan's Famous will 510 00:28:19,240 --> 00:28:21,880 Speaker 1: be offering up five cent hot dogs with the purchase 511 00:28:21,920 --> 00:28:26,000 Speaker 1: of a regular price dog at participating restaurants. Nathan's has 512 00:28:26,080 --> 00:28:29,960 Speaker 1: restaurants and twenty four states, about forty in New York State. 513 00:28:30,359 --> 00:28:34,120 Speaker 1: That's the Bloomberg Tri State Business Report. I'm Scott Carr 514 00:28:34,200 --> 00:28:36,479 Speaker 1: and l Relation. Thank you, Scott. It's five thirty eight 515 00:28:36,480 --> 00:28:38,360 Speaker 1: on Wall Street. Bloomberg Radio is on the air from 516 00:28:38,400 --> 00:28:41,000 Speaker 1: San Francisco to New York, London to Hong Kong. Let's 517 00:28:41,080 --> 00:28:42,840 Speaker 1: check in with our global news team for some of 518 00:28:42,840 --> 00:28:45,440 Speaker 1: the top stories heard in our three hundred affiliate radio 519 00:28:45,480 --> 00:28:51,520 Speaker 1: stations around the world. I'm Steve Podascant on ten ten 520 00:28:51,600 --> 00:28:54,880 Speaker 1: Wins in New York. We're talking about members only clubs 521 00:28:54,920 --> 00:28:59,160 Speaker 1: popping up around Manhattan offering remote workers a social hub 522 00:28:59,400 --> 00:29:02,480 Speaker 1: com Corny Donahoe on ktr H in Houston. The summer 523 00:29:02,600 --> 00:29:05,400 Speaker 1: driving season is showing signs of a two thousand eight 524 00:29:05,440 --> 00:29:08,600 Speaker 1: like bus. I'm Gina Servetti and for Double Ubb, I'm 525 00:29:08,600 --> 00:29:11,400 Speaker 1: in Chicago. We're looking at some of the things investors 526 00:29:11,480 --> 00:29:14,920 Speaker 1: will be watching for when United Airlines opens its books 527 00:29:15,040 --> 00:29:18,360 Speaker 1: after the closing bell. I'm Scott Carr on w d 528 00:29:18,400 --> 00:29:22,320 Speaker 1: C H in Washington. I'm reporting on Maryland's novavacts, providing 529 00:29:22,360 --> 00:29:25,640 Speaker 1: the nation with a fourth COVID vaccine, and those are 530 00:29:25,720 --> 00:29:28,440 Speaker 1: some of the stories are twenty seven hundred Bloomberg journalist 531 00:29:28,440 --> 00:29:30,760 Speaker 1: and analyst are working on this morning around the world. 532 00:29:30,960 --> 00:29:34,240 Speaker 1: We're coming up to nine on Wall Street. The following 533 00:29:34,320 --> 00:29:38,640 Speaker 1: is an editorial from Bloomberg Opinion. This editorial was written 534 00:29:38,640 --> 00:29:42,680 Speaker 1: by the Bloomberg Editorial Board. The stock market does an 535 00:29:42,720 --> 00:29:47,240 Speaker 1: excellent job of serving one group of retail customers, active 536 00:29:47,240 --> 00:29:50,920 Speaker 1: traders who like to pick their own stocks. Wholesale brokers 537 00:29:51,200 --> 00:29:54,680 Speaker 1: love to take their trades. In return, they offer better 538 00:29:54,720 --> 00:29:58,520 Speaker 1: prices and even pay for the privilege of fulfilling the orders. 539 00:29:58,960 --> 00:30:03,200 Speaker 1: The latter practice, known as payment for order flow, enables 540 00:30:03,240 --> 00:30:06,400 Speaker 1: the commission free trading that has helped fuel the Meme 541 00:30:06,520 --> 00:30:11,080 Speaker 1: stock craze. The security is an exchange commission is considering 542 00:30:11,240 --> 00:30:15,240 Speaker 1: changing all this, a move that might curb the craziness 543 00:30:15,440 --> 00:30:19,520 Speaker 1: and very slightly benefit other investors, but that is hardly 544 00:30:19,520 --> 00:30:23,440 Speaker 1: worth the blowback it would generate. Given all the secs 545 00:30:23,480 --> 00:30:28,240 Speaker 1: other priorities in areas such as crypto regulation, climate change risk, 546 00:30:28,400 --> 00:30:33,680 Speaker 1: and derivatives disclosure, This battle is best left for another day. 547 00:30:34,120 --> 00:30:37,720 Speaker 1: This editorial was written by the Bloomberg Editorial Board. For 548 00:30:37,800 --> 00:30:41,040 Speaker 1: more Bloomberg opinion, please go to Bloomberg dot com, slash 549 00:30:41,040 --> 00:30:45,080 Speaker 1: opinion or ope I n go on the Bloomberg terminal. 550 00:30:45,400 --> 00:30:48,520 Speaker 1: This has been Bloomberg opinion and you can hear Bloomberg 551 00:30:48,600 --> 00:30:52,360 Speaker 1: opinion editorials every weekday at this time terminal customers. You 552 00:30:52,360 --> 00:30:54,640 Speaker 1: can read more at O P I N go on 553 00:30:54,720 --> 00:30:57,880 Speaker 1: the Bloomberg terminal. Right now, SMP futures are up nine points. 554 00:30:57,920 --> 00:31:00,760 Speaker 1: Staff futures up fifty nine Now as that futures are 555 00:31:00,840 --> 00:31:04,640 Speaker 1: hired by forty four points, adding to yesterday's gain, saw 556 00:31:04,680 --> 00:31:08,920 Speaker 1: the SNPU mount it's biggest rallying about three weeks. Take 557 00:31:08,960 --> 00:31:11,560 Speaker 1: a look at this market next to Tracy McMillian, head 558 00:31:11,560 --> 00:31:16,240 Speaker 1: of Global Asset Allocation Strategy at Wells Fargo Investment Institute. 559 00:31:16,400 --> 00:31:23,080 Speaker 1: Stay with us, you're listening to Bloomberg Table Bloomberg eleven 560 00:31:23,120 --> 00:31:24,880 Speaker 1: three oh weather. I gotta find ways to stay cool 561 00:31:24,920 --> 00:31:26,840 Speaker 1: for the rest of this week. Heat advisory from noon 562 00:31:26,880 --> 00:31:29,280 Speaker 1: today till eight Tomorrow night, with highs for the rest 563 00:31:29,280 --> 00:31:31,160 Speaker 1: of the week in the load of mid nineties. Right 564 00:31:31,200 --> 00:31:39,080 Speaker 1: now seventy eight in central park markets. Headlines and breaking 565 00:31:39,120 --> 00:31:42,000 Speaker 1: news twenty four hours a day at Bloomberg dot com 566 00:31:42,080 --> 00:31:44,920 Speaker 1: for the Bloomberg Business at and at Bloomberg Quick Tape 567 00:31:45,480 --> 00:31:54,600 Speaker 1: He's a Bloomberg Business Flash and I'm camerin Moscow. Songs 568 00:31:54,640 --> 00:31:57,040 Speaker 1: are inching higher amid speculation that the worst of his 569 00:31:57,160 --> 00:32:00,680 Speaker 1: year's equity route maybe over US. Futures are also higher 570 00:32:00,720 --> 00:32:03,200 Speaker 1: as Netflix surges in early trading on a smaller than 571 00:32:03,240 --> 00:32:06,560 Speaker 1: expected subscriber loss. We checked the markets every fifteen minutes 572 00:32:06,560 --> 00:32:08,600 Speaker 1: throughout the trading day. On Bloomberg U S and P 573 00:32:08,800 --> 00:32:10,880 Speaker 1: Future is up about eight points now Future is up 574 00:32:10,880 --> 00:32:14,000 Speaker 1: forty two Nasdack Future is up forty one. The decks 575 00:32:14,000 --> 00:32:16,320 Speaker 1: in Germany's up a third of a percent. Pen Your 576 00:32:16,360 --> 00:32:19,240 Speaker 1: treasury of eight thirty seconds held two point nine nine percent. 577 00:32:19,280 --> 00:32:21,400 Speaker 1: They yield on the two year three point one eight 578 00:32:21,400 --> 00:32:24,280 Speaker 1: percent nine mag Screwed oil is down one point one 579 00:32:24,280 --> 00:32:26,400 Speaker 1: percent on a dollar nine at a hundred three dollars 580 00:32:26,400 --> 00:32:29,880 Speaker 1: thirteen cents of barrel comic School little change is seventy 581 00:32:29,960 --> 00:32:32,680 Speaker 1: seven eighty announce the euro one point oh two four 582 00:32:32,760 --> 00:32:34,960 Speaker 1: or five against the dollar, British pound one point two 583 00:32:35,040 --> 00:32:37,320 Speaker 1: zero two zero and the yen one thirty eight point 584 00:32:37,400 --> 00:32:40,440 Speaker 1: one three and bitcoin this morning of more than one 585 00:32:40,520 --> 00:32:43,720 Speaker 1: percent at twenty three thousand, five hundred fifty dollars. That's 586 00:32:43,720 --> 00:32:46,400 Speaker 1: a Bloomberg Business Flash. Now here's John Tucker with more 587 00:32:46,520 --> 00:32:49,640 Speaker 1: on what's going on around the world. John, and good morning, Karen. 588 00:32:49,680 --> 00:32:53,280 Speaker 1: President Biden set to announced sixecutive action today to confront 589 00:32:53,320 --> 00:32:57,120 Speaker 1: climate change. Russian President Ladimir Putin's signal in Europe will 590 00:32:57,160 --> 00:33:00,240 Speaker 1: start getting gas again through a key pipeline. You're is 591 00:33:00,280 --> 00:33:04,040 Speaker 1: waiting to see whether gas flows resumed tomorrow at Dan Cox, 592 00:33:04,120 --> 00:33:07,680 Speaker 1: when's the Republican primary that race to replace Governor Larry 593 00:33:07,720 --> 00:33:10,560 Speaker 1: Hogan of Maryland, a race that became a proxy clash 594 00:33:10,640 --> 00:33:15,000 Speaker 1: between former President Trump and Hogan. Sports Yankees Gan Carlos 595 00:33:15,080 --> 00:33:17,560 Speaker 1: Stantley has named the All Star Game m v P 596 00:33:18,400 --> 00:33:21,160 Speaker 1: as the American League beats the National League. Global News 597 00:33:21,200 --> 00:33:24,160 Speaker 1: twenty four hours a day on airin on Bloomberg Quicktake, 598 00:33:24,240 --> 00:33:26,960 Speaker 1: powered by more than twenty seven hundred journalist and analysts 599 00:33:26,960 --> 00:33:31,440 Speaker 1: more than twenty countries. I'm John Tucker, and this is Bloomberg. Nathan. 600 00:33:31,560 --> 00:33:33,720 Speaker 1: Thank you, John. It's five forty eight on Wall Street 601 00:33:33,760 --> 00:33:37,320 Speaker 1: Live from the Bloomberg Interactive Broker Studios. This is Bloomberg daybreak, 602 00:33:37,360 --> 00:33:39,600 Speaker 1: and we have Tracy McMillian with us this morning ahead 603 00:33:39,600 --> 00:33:42,560 Speaker 1: of the market open, head of Global asset Allocation Strategy 604 00:33:42,920 --> 00:33:46,440 Speaker 1: at Wells Fargo Investment Institute. Tracy, Good morning, sink some 605 00:33:46,520 --> 00:33:49,960 Speaker 1: modest games in the futures contracts after the best rally 606 00:33:50,080 --> 00:33:53,360 Speaker 1: yesterday for the SMPN about three weeks. Is there more 607 00:33:53,480 --> 00:33:55,760 Speaker 1: room for stocks to run or is this a bear 608 00:33:55,840 --> 00:34:00,640 Speaker 1: market rally? Good money, Nathan, thanks for having me. Um. So, 609 00:34:00,960 --> 00:34:04,360 Speaker 1: we do think that this rally is premature. You know, 610 00:34:04,480 --> 00:34:08,360 Speaker 1: some of the assumptions that are underlying the rally will 611 00:34:08,360 --> 00:34:12,960 Speaker 1: eventually lead us out UM, and they're not necessarily incorrect. 612 00:34:13,120 --> 00:34:15,960 Speaker 1: You know, we will see capitulation, we will see value 613 00:34:16,040 --> 00:34:19,960 Speaker 1: coming back into the market, um, and we also will 614 00:34:19,960 --> 00:34:23,600 Speaker 1: start to see the dollar ease at some point. But 615 00:34:24,040 --> 00:34:26,319 Speaker 1: you know, we just think it's too early in this 616 00:34:26,440 --> 00:34:29,640 Speaker 1: bear market really, you know, too early in the fads 617 00:34:29,760 --> 00:34:33,400 Speaker 1: tightening cycle, the call the all clear. Um. You know, 618 00:34:33,480 --> 00:34:36,359 Speaker 1: in some ways this seems to us like it's a 619 00:34:36,400 --> 00:34:40,000 Speaker 1: classic case of fighting the fad. It's interesting because I'm 620 00:34:40,000 --> 00:34:42,560 Speaker 1: sure you saw the note yesterday from Bank of America 621 00:34:42,680 --> 00:34:45,640 Speaker 1: that they see full capitulation in this market. What are 622 00:34:45,640 --> 00:34:51,319 Speaker 1: they getting wrong? Yeah, So, UM, they are seeing UH 623 00:34:51,600 --> 00:34:55,840 Speaker 1: levels that are a kin or I guess they're seeing 624 00:34:56,280 --> 00:35:00,000 Speaker 1: a UH investor sentiment that is akin to what they 625 00:35:00,040 --> 00:35:03,400 Speaker 1: saw back in October of two thousand eight. And if 626 00:35:03,400 --> 00:35:06,640 Speaker 1: you'll recall in October of two thousand eight, we still 627 00:35:06,719 --> 00:35:10,600 Speaker 1: had five more months of a bear market before things 628 00:35:10,600 --> 00:35:14,319 Speaker 1: started to turn in mid March. So you know, even 629 00:35:14,360 --> 00:35:19,680 Speaker 1: though we are seeing these high levels of industor pessimism, 630 00:35:19,719 --> 00:35:23,279 Speaker 1: it doesn't necessarily mean that we're through this. You know, 631 00:35:23,360 --> 00:35:27,360 Speaker 1: the FED has just started tightening, so we've got always 632 00:35:27,440 --> 00:35:31,600 Speaker 1: to go as they work to bring inflation lower. So 633 00:35:31,680 --> 00:35:34,839 Speaker 1: you're thinking that the FED is going to tighten even 634 00:35:34,960 --> 00:35:38,080 Speaker 1: further than it's projected at this point. It does seem 635 00:35:38,160 --> 00:35:40,640 Speaker 1: like at least at the July meeting they're looking for 636 00:35:40,680 --> 00:35:43,480 Speaker 1: a seventy five basis point move. Are you looking for 637 00:35:43,600 --> 00:35:45,839 Speaker 1: even more significant moves for the rest of this year? 638 00:35:47,239 --> 00:35:50,280 Speaker 1: So we are looking for seventy five basis points than July, 639 00:35:50,600 --> 00:35:55,560 Speaker 1: another seventy five basis points in September, and potentially some 640 00:35:55,640 --> 00:36:03,799 Speaker 1: additional tightening thereafter in two and into three UM. We 641 00:36:04,480 --> 00:36:09,480 Speaker 1: are actually thinking that inflation UM could start to come 642 00:36:09,520 --> 00:36:13,880 Speaker 1: off next month UM, and that could WITHSAW investors in 643 00:36:13,920 --> 00:36:18,040 Speaker 1: the coming months. Some oils traded back above a hundred 644 00:36:18,040 --> 00:36:22,160 Speaker 1: dollars of earrol yesterday. That's still well off the highs 645 00:36:22,280 --> 00:36:25,520 Speaker 1: that we've seen in oil. Industrial medals have started to 646 00:36:25,560 --> 00:36:29,560 Speaker 1: fall back UM. But we think that this, together with 647 00:36:29,680 --> 00:36:34,520 Speaker 1: strong base effects in the in the coming July CPI report, 648 00:36:35,120 --> 00:36:38,960 Speaker 1: could have us seeing a downside surprise and inflation come 649 00:36:38,960 --> 00:36:40,960 Speaker 1: back to the Fed. What are they going to do 650 00:36:41,040 --> 00:36:45,879 Speaker 1: with this? Well, they are going to continue to raise 651 00:36:46,040 --> 00:36:51,240 Speaker 1: rates and continue to tighten quantitineously until they get closer 652 00:36:51,280 --> 00:36:53,520 Speaker 1: to their targets. So even if we do come down 653 00:36:53,560 --> 00:36:56,279 Speaker 1: to five or six percent inflation, we think they've got 654 00:36:56,280 --> 00:36:59,880 Speaker 1: to keep going. So that's not necessarily again all clear. 655 00:37:00,600 --> 00:37:02,680 Speaker 1: Is that an overshoot? In your view? Do you think 656 00:37:02,719 --> 00:37:05,240 Speaker 1: the Fed's going to go too far with interest rates 657 00:37:05,400 --> 00:37:10,520 Speaker 1: and bring the economy into recession? You know, they probably will. UM. 658 00:37:10,840 --> 00:37:15,560 Speaker 1: They typically do because the tools that they're using work 659 00:37:15,600 --> 00:37:20,600 Speaker 1: with a lag, and the the inflation rates are going 660 00:37:20,640 --> 00:37:25,240 Speaker 1: to continue, in our opinion, to stay relatively high UM, 661 00:37:25,280 --> 00:37:27,799 Speaker 1: and the Fed will have to keep tightening in order 662 00:37:27,840 --> 00:37:33,000 Speaker 1: to restore its credibility and UH continue to bring inflation lower. 663 00:37:33,120 --> 00:37:37,240 Speaker 1: But because of that six twelve month lag in UH 664 00:37:37,480 --> 00:37:40,800 Speaker 1: the effects of their tightening policy. They're probably going to 665 00:37:40,880 --> 00:37:43,360 Speaker 1: go too far. We do think we're probably going to 666 00:37:43,520 --> 00:37:46,440 Speaker 1: even see a recession starting in the second half of 667 00:37:46,520 --> 00:37:51,400 Speaker 1: this year. Interesting as we get closer to the fed's 668 00:37:51,480 --> 00:37:54,520 Speaker 1: next meeting coming up in just about a week from now. 669 00:37:55,000 --> 00:37:58,400 Speaker 1: Tracy McMillian, head of Global Asset Wells far Go Investment Institute, 670 00:37:58,440 --> 00:38:01,720 Speaker 1: Thanks for this good having down with us, Karen and Nathan. 671 00:38:01,760 --> 00:38:03,719 Speaker 1: It is five fifty three on Wall Street. It's time 672 00:38:03,760 --> 00:38:05,919 Speaker 1: for the Bloomberg Law Report. We get to the legal 673 00:38:06,000 --> 00:38:09,040 Speaker 1: stories we are watching this morning from Bloomberg Jeff Bellinger. 674 00:38:13,040 --> 00:38:16,359 Speaker 1: The Sex Circuit ruled that Michigan officials are immune from 675 00:38:16,400 --> 00:38:19,279 Speaker 1: a suit by Bowling Alley and Roller Ring operators. The 676 00:38:19,320 --> 00:38:22,520 Speaker 1: plaintiffs claimed that orders to close their facilities during the 677 00:38:22,520 --> 00:38:26,600 Speaker 1: pandemic ammounted to an unconstitutional taking of property. Toys r 678 00:38:26,680 --> 00:38:29,520 Speaker 1: Us is accused of infringing the trademarks and copyrights of 679 00:38:29,560 --> 00:38:32,959 Speaker 1: another toy maker's car and tracks that called Magic Track. 680 00:38:33,320 --> 00:38:36,439 Speaker 1: Johnson and Johnson chose Matthew Orlando to be the legal 681 00:38:36,520 --> 00:38:39,560 Speaker 1: chief for the consumer business. The company plans to spin 682 00:38:39,600 --> 00:38:43,919 Speaker 1: out next year. Bloomberg Law Everything you need all on 683 00:38:43,920 --> 00:38:49,399 Speaker 1: one legal research platform, including guidance analysis and Bloomberg market Intelligence. 684 00:38:49,600 --> 00:38:54,400 Speaker 1: Find out more at Bloomberg law dot com. All right, Jeff, 685 00:38:54,400 --> 00:38:56,960 Speaker 1: thank you. Now another legal story we're watching if you're 686 00:38:56,960 --> 00:38:59,320 Speaker 1: almost a year and a half. It appears at the 687 00:38:59,360 --> 00:39:03,719 Speaker 1: full thing any district Attorney's investigation into potential criminal interference 688 00:39:03,760 --> 00:39:07,640 Speaker 1: in the election and Georgia may be escalating. The DA 689 00:39:07,840 --> 00:39:11,359 Speaker 1: has sent so called target letters to sixteen Republicans who 690 00:39:11,480 --> 00:39:14,640 Speaker 1: served as fake electors, informing them that they could face 691 00:39:14,680 --> 00:39:17,719 Speaker 1: criminal churches for more of Bloomberg stun Gronso speaks to 692 00:39:17,800 --> 00:39:20,240 Speaker 1: Unchael Moore, a partner with Moore Hall and the former 693 00:39:20,360 --> 00:39:23,160 Speaker 1: U S. Attorney for the Middle District of Georgia. What 694 00:39:23,239 --> 00:39:26,040 Speaker 1: does it indicate to you that she's telling these people 695 00:39:26,280 --> 00:39:29,280 Speaker 1: that they could be indicted. I think there's some interest 696 00:39:29,480 --> 00:39:33,640 Speaker 1: in this fake elector scheme, and she has been digging 697 00:39:33,680 --> 00:39:35,520 Speaker 1: into matic. You wouldn't have to look very hard to 698 00:39:35,719 --> 00:39:38,839 Speaker 1: feel like that she's in fact expanding the scoop of 699 00:39:38,880 --> 00:39:41,640 Speaker 1: what could have been a very narrowly tailored case, a 700 00:39:41,760 --> 00:39:45,399 Speaker 1: clean cut case against Trump. But it appears that she's 701 00:39:45,440 --> 00:39:48,120 Speaker 1: broadening it out to other people. Maybe in that orbit 702 00:39:48,239 --> 00:39:50,640 Speaker 1: or closer to the inner circle, and dealing with the 703 00:39:50,680 --> 00:39:54,399 Speaker 1: efforts to basically avoid out the electors who were from 704 00:39:54,440 --> 00:39:56,960 Speaker 1: Georgia and to avoid out the votes that have been 705 00:39:56,960 --> 00:39:59,840 Speaker 1: cast here. So I'm not surprised to fear doing that. 706 00:40:00,000 --> 00:40:02,080 Speaker 1: It's a little interesting that she would do it in 707 00:40:02,120 --> 00:40:05,800 Speaker 1: such a public way, especially given some of the political 708 00:40:05,840 --> 00:40:08,160 Speaker 1: alliances that she has, And I think that may come 709 00:40:08,200 --> 00:40:11,279 Speaker 1: into play here, that she has actually set out such 710 00:40:11,320 --> 00:40:13,720 Speaker 1: a notice in the middle of a heated campaign season, 711 00:40:13,760 --> 00:40:16,439 Speaker 1: because typically you don't always see a prosecutor be quite 712 00:40:16,440 --> 00:40:18,759 Speaker 1: as public about those types of things, and I think 713 00:40:18,800 --> 00:40:21,520 Speaker 1: for a good reason. So I think she's clearly broad 714 00:40:21,560 --> 00:40:23,719 Speaker 1: in the scoop. I think she may be fishing with 715 00:40:23,760 --> 00:40:26,120 Speaker 1: a little bit too broad and met right Magda. Sometimes 716 00:40:26,120 --> 00:40:28,839 Speaker 1: that's where you get caught tangled up in your own men. 717 00:40:28,920 --> 00:40:31,239 Speaker 1: And I think some of the public comments about the 718 00:40:31,280 --> 00:40:34,799 Speaker 1: target letters, who they went to, in the timing of them, 719 00:40:35,080 --> 00:40:37,680 Speaker 1: may open right some questions down the road. Thinking about 720 00:40:37,719 --> 00:40:41,080 Speaker 1: all the evidence that she basically started out with, all 721 00:40:41,080 --> 00:40:44,480 Speaker 1: the phone calls, for example, and the testimony she's already 722 00:40:44,520 --> 00:40:48,040 Speaker 1: taken from state officials, I'm wondering why it's taking her 723 00:40:48,520 --> 00:40:53,000 Speaker 1: so long to decide whether or not to prosecute Trump. Sure, 724 00:40:53,160 --> 00:40:56,000 Speaker 1: and I think that's a question is well placed. I 725 00:40:56,000 --> 00:40:58,120 Speaker 1: don't think there's any questions she could have based on 726 00:40:58,160 --> 00:41:00,640 Speaker 1: the type recording as she had, which is for two 727 00:41:00,680 --> 00:41:02,320 Speaker 1: of us. I mean, how many times you get bostly 728 00:41:02,440 --> 00:41:05,440 Speaker 1: recorded confession. She could have tried to bring charges forward 729 00:41:05,719 --> 00:41:08,160 Speaker 1: in a Ragman ranger without beneath the special grander. She 730 00:41:08,200 --> 00:41:11,920 Speaker 1: simply could have, you know, in between two regular alleged spellings. 731 00:41:11,920 --> 00:41:14,000 Speaker 1: She could have stuck the truck indictment right in the 732 00:41:14,000 --> 00:41:16,359 Speaker 1: middle of it, and the gruduury can decided with him 733 00:41:16,360 --> 00:41:19,160 Speaker 1: out they're going to issue the indictment, And so he 734 00:41:19,239 --> 00:41:22,160 Speaker 1: tells me that she's simply broadened it out. She's looking 735 00:41:22,200 --> 00:41:24,440 Speaker 1: for other people who may have been involved in the 736 00:41:24,480 --> 00:41:27,480 Speaker 1: planning or the efforts to overturn at least the vote 737 00:41:27,480 --> 00:41:30,239 Speaker 1: totals in Georgia, and making it more of a guess, 738 00:41:30,239 --> 00:41:31,959 Speaker 1: more of a spider web in which she can catch 739 00:41:32,000 --> 00:41:34,759 Speaker 1: more flyf as opposed to just to sufficial of the 740 00:41:34,800 --> 00:41:36,759 Speaker 1: clean cut case. At the end of the day, I 741 00:41:36,760 --> 00:41:38,439 Speaker 1: don't know if that will have been the right call. 742 00:41:38,719 --> 00:41:40,960 Speaker 1: I don't want to second guess everything she's doing. I 743 00:41:41,000 --> 00:41:42,840 Speaker 1: mean she may and does have access to facts and 744 00:41:42,920 --> 00:41:45,000 Speaker 1: evidence that I don't have and the public doesn't have. 745 00:41:45,239 --> 00:41:46,920 Speaker 1: But as you look at it, I mean, one principle 746 00:41:47,040 --> 00:41:49,040 Speaker 1: usually remains true, and that is that when you keep 747 00:41:49,040 --> 00:41:51,319 Speaker 1: it simple, it often makes for a better case. It's 748 00:41:51,360 --> 00:41:54,560 Speaker 1: easier to prove, it makes less confusing for a jury, 749 00:41:54,600 --> 00:41:58,880 Speaker 1: It creates less defenses. That also creates less appellent issues. 750 00:42:00,120 --> 00:42:02,560 Speaker 1: And that's Michael Moore, the former U S Attorney for 751 00:42:02,600 --> 00:42:05,520 Speaker 1: the Middle District of Georgia, speaking with the Bloomberg Student Grosso. 752 00:42:05,600 --> 00:42:08,360 Speaker 1: Catch more of that interview, plus analysis of the latest 753 00:42:08,440 --> 00:42:11,480 Speaker 1: legal news, by subscribing to the Bloomberg Law podcast or 754 00:42:11,480 --> 00:42:15,040 Speaker 1: downloading this show at Bloomberg dot com slash Podcasts. Attorneys 755 00:42:15,040 --> 00:42:17,799 Speaker 1: can find exceptional legal research and business development tools at 756 00:42:17,800 --> 00:42:20,879 Speaker 1: Bloomberg Law dot com and on the Bloomberg terminal at 757 00:42:20,880 --> 00:42:24,960 Speaker 1: b Law Go again. Futures this morning are moving higher. 758 00:42:25,160 --> 00:42:28,480 Speaker 1: SNP futures up eight points, now futures up fifty and 759 00:42:28,600 --> 00:42:31,400 Speaker 1: NASDAG features up forty one, and the ten year Treasury 760 00:42:31,440 --> 00:42:34,480 Speaker 1: up nine thirty seconds yield two point nine eight percent. 761 00:42:34,800 --> 00:42:37,800 Speaker 1: They yield on the two year three point one eight percent, 762 00:42:38,200 --> 00:42:41,080 Speaker 1: and nimack screwed oil is down one percent, Still ahead 763 00:42:41,080 --> 00:42:43,240 Speaker 1: on Bloomberg day break and checked on the business headlines 764 00:42:43,280 --> 00:42:45,160 Speaker 1: and all the news you need to start your day. 765 00:42:45,560 --> 00:42:46,799 Speaker 1: This is Bloomberg.