Speaker 1: Good morning.
Speaker 2: I'm Nathan Hager and I'm Karen Moscow. Here are the
Speaker 2: stories we're following today.
Speaker 3: We begin in Detroit with the latest on a possible
Speaker 3: auto workers strike. Even a brief work stoppage could cost
Speaker 3: the US economy billions. Bloomberg's Ed Cory has the latest
Speaker 3: on the negotiations from Detroit.
Speaker 4: The UAW was asking for a forty percent raise for
Speaker 4: its members, sources tell Bloomberg gets lowered that demand slightly,
Speaker 4: asking for a series of increases over nearly five years
Speaker 4: that would start with an eighteen percent boost, then alternating
Speaker 4: between five and four percent. But automakers say that would
Speaker 4: boost labor costs so high it would threaten their viability.
Speaker 4: General motors Ford and Stilantis are facing a contracted deadline
Speaker 4: just before midnight Thursday for nearly one hundred and fifty
Speaker 4: thousand US hourly workers in Detroit. Ed Corey Bloomberg Radio Okay.
Speaker 3: Ed, thank you, And if no deal is reached by
Speaker 3: this Thursday, could cut US GDP by five point six
Speaker 3: billion dollars and push the Michigan economy into a recession.
Speaker 5: That's according to Anderson Economic Group.
Speaker 2: Meanwhile, in Silicon Valley this morning, Nathan. Apple will on
Speaker 2: veil it's new iPhone fifteen Pro today, and it comes
Speaker 2: at a critical time for the tech giant as it
Speaker 2: aims to pull out of a smartphone sales slump. Bloomberg
Speaker 2: Chief Tech correspond if Mark German tells us what else
Speaker 2: we could expect today.
Speaker 6: You'll see four new iPhone fifteen models, too low and
Speaker 6: too high end, both in the same six point one
Speaker 6: inch and six point seven in screen sizes. You'll see
Speaker 6: a new titanium design for the iPhone fifteen Prome promacs.
Speaker 6: You'll see on those higher end phones, a better battery life,
Speaker 6: a lighter frame in the A seventeen chip built on
Speaker 6: the new three and Animeter production process, so a little
Speaker 6: leg up on what China's got in their new Wallwey devices.
Speaker 6: The Apple Watch upgrades will be very minor. And then
Speaker 6: on the AirPods, you'll see a move to USBC that
Speaker 6: new charging standard, which is also going to be present
Speaker 6: on all four new iPhone models.
Speaker 2: And that's Bloomberg's Mark German, who says Apple is also
Speaker 2: contending with rising pressure in China due to a government
Speaker 2: worker iPhone ban, and.
Speaker 3: We have more news out of Apple ahead of the
Speaker 3: product launch, Karen Bloomberg News is learning for the first
Speaker 3: time the iPhone maker plans to make in India built
Speaker 3: iPhone fifteen available in the South Asian country at the
Speaker 3: unveiling later today. The entire event kicks off at Apple's
Speaker 3: Coopertino headquarters at one pm Wall Street time.
Speaker 7: Well.
Speaker 2: Also in the tech space, Nathan, the appetite for all
Speaker 2: things ships continues to grow, as we're seeing with the
Speaker 2: initial public offering of Armholdings. The IPO for ARM is
Speaker 2: oversubscribed ten times and sources a banker's plan to stop
Speaker 2: taking orders by this afternoon, but still plans to price
Speaker 2: it shares tomorrow. Bloomberg Markets editor Eddie vanderwald says the
Speaker 2: decision to close bugs early suggests demand for the chip
Speaker 2: designer is strong.
Speaker 8: I think that this is a real test case for
Speaker 8: investor demand for broader tech and for the AI story.
Speaker 8: And at the moment, looking just at how the IPO
Speaker 8: seems to be going off, it looks like it is,
Speaker 8: you know, very strong still despite rising interest rate.
Speaker 2: Now no, it's Bloomberg's Eddie vanderwaldt who says ARM stock
Speaker 2: offering is set to get under way later this week.
Speaker 3: All right, sticking in the tech sec to return to
Speaker 3: Elon Musk Karen. A new biography shows the world's richest
Speaker 3: man often ignored please to stop alienating advertisers. The new
Speaker 3: biography from Walter Isaacson states the billionaire owner of X
Speaker 3: formerly Twitter, has a string of wealthy advisors he habitually ignores.
Speaker 3: One of those, Warner brothers had David Zaslov caution Musk
Speaker 3: about his self destructive behaviors that were spooking advertisers.
Speaker 5: According to Isaacson's book.
Speaker 3: The news follows yesterday's pop in Tesla stocket jumped ten
Speaker 3: percent after Morgan Stanley said the company's Dojo supercomputer could
Speaker 3: boost Tesla's value by to five hundred billion dollars. Checking
Speaker 3: shares of the Elon Musk owned ev maker right now,
Speaker 3: they are down about four tenths of one percent.
Speaker 2: Meanwhile, Nathan Oversees This morning, shares of Chinese property giant
Speaker 2: Country Garden rallied after Reuters reported that a stressed developer
Speaker 2: wont approval from creditors to extend repayment on six YU
Speaker 2: one bonds by three years. Sources say the deadline for
Speaker 2: votes on twoabate securities will be pushed back into later Tuesday.
Speaker 2: Country Garden has so far void a defaulting, but recently
Speaker 2: Warren still could after posting a record first half loss
Speaker 2: of almost seven billion dollars.
Speaker 3: Also happening overseas this morning, Karen, Russian President Vladimir Putin
Speaker 3: prepares to meet with Kim Jong un. The luxury armored
Speaker 3: train of the North Korean leader crossed into Russian territory
Speaker 3: earlier today. State media in North Korea and Russia say
Speaker 3: the two would meet, but no official schedules been released.
Speaker 3: The meeting offers a chance for Putin to obtain weapons
Speaker 3: to fuel his war in Ukraine, and Kim a chance
Speaker 3: to win assistance for his beleaguered economy so as to
Speaker 3: expand his ability to deliver a nuclear strike.
Speaker 2: Well on the bank sector, Nathan, we're hearing scathing criticism
Speaker 2: of regulators from Jamie Diamond, the JP, Morgan Sherman and
Speaker 2: CEO took aim at higher capital requirement's US regulators proposed
Speaker 2: for the banking industry, saying he would love to know
Speaker 2: what they really want to accomplish.
Speaker 9: The Federal Reserve humility. They're the ones that told the
Speaker 9: world rach On going up, and it wasn't the Federal
Speaker 9: Reserve in general, is each one of them independently factors
Speaker 9: each central bank, so ify with them might have a
Speaker 9: little more humility oversto like this, JP.
Speaker 2: Morgan, CEO Jamie Diamond made the comments at the Barclays
Speaker 2: Global Financial Services Conference in New York. He's repeatedly called
Speaker 2: the proposal hugely disappointing and I mean and.
Speaker 3: I've tacking COVID cases, Karen, We're getting closer to a
Speaker 3: new vaccination. Bloomberg's head Baxter has that.
Speaker 10: The FDA has approved the Pfizer and Moderna vaccines as
Speaker 10: there's a tick up and late summer surge of the virus.
Speaker 10: Peter Marks of the FDA says the public can be
Speaker 10: assured that the update vaccines are safe now. It should
Speaker 10: be noted these are not boosters. They're updated vaccines that
Speaker 10: protect against the new variants, better approved for ages twelve
Speaker 10: and up. The CDC is supposed to meet today to
Speaker 10: possibly issue guidance. I'm at Baxter Bloomberg Radio.
Speaker 3: Time Now to take a look at some of the
Speaker 3: other stories making news around the world.
Speaker 5: With that, we're joined by Bloomberg's Michael Barr.
Speaker 11: Good morning, Michael, Good morning, Nathan escape Pennsylvania convict and
Speaker 11: Nello cambal Conte is still on the loose and now
Speaker 11: believed armed. It's been about two weeks after he was
Speaker 11: able to breach the police perimeter in Chester County. Authority
Speaker 11: say Cavalcante managed to steal a van all to his
Speaker 11: appearance and drive nearly twenty miles north over the weekend.
Speaker 11: Deputy US Marshal Robert Clark.
Speaker 12: We expect to catch him as soon as soon as possible,
Speaker 12: but we're not going to put our ducks in a
Speaker 12: row and say, hey, we're going to have him by
Speaker 12: this Thursday. We're going to plan for a long investigation
Speaker 12: because we don't want to get caught planning for an
Speaker 12: immediate arrest and then we're not prepared later down the line.
Speaker 11: Marshall Robert Clark says a homeowner shot at a subject
Speaker 11: recently that matched the description of cavil contact. Lawyers for
Speaker 11: Donald Trump have asked the federal judge presiding over his
Speaker 11: election subversion case in Washington to recuse herself. They say
Speaker 11: Judge Tanya Chutkins past public statements about the former president
Speaker 11: and his connection to the January sixth riot at the
Speaker 11: US Capitol call into question whether she can be fair.
Speaker 11: It has been twenty two years since nearly three thousand
Speaker 11: people were killed during the September eleventh attacks in New York.
Speaker 11: At the memorial where the World Trade Center once stood,
Speaker 11: the names of the victims are read aloud and bells told,
Speaker 11: marking the moments that the hijacked airplanes hit the Twin Towers,
Speaker 11: the Pentagon, and a field in Shanksville, Pennsylvania. This girl
Speaker 11: honored the memory of her grandfather and.
Speaker 13: My grandfather, Edward Joseph, Papa, Grandpaetti. Even though I never
Speaker 13: got to meet you, I feel like I've known you
Speaker 13: forever from stories and videos and pictures. It's almost as
Speaker 13: if you're still here.
Speaker 11: Mourners also offered thanks to the first responders. A new
Speaker 11: study suggests the dangers of lead exposure have been gravely underestimated.
Speaker 11: According to the World Bank, exposure to lead in twenty
Speaker 11: nineteen may have cost five and a half million deaths
Speaker 11: worldwide from cardiovascular disease and IQs in children under five.
Speaker 11: Pure Earth President Richard Fuller worked with the World Bank
Speaker 11: on the study.
Speaker 14: When they look at all of the different aspects of
Speaker 14: cardiovascular disease, lead poisoning is just the globally as smoking
Speaker 14: or cholesterol.
Speaker 11: Most of the effects were found in items like cookwear
Speaker 11: made from recycled materials or lad glazed pottery. The study
Speaker 11: is published in the Lanced Planetary Health journal. Global News
Speaker 11: twenty four hours a day, powered by more than twenty
Speaker 11: seven hundred journalist and analysts in over one hundred and
Speaker 11: twenty countries. I'm Michael Barr. This is Bloomberg Nag.
Speaker 5: Thank you, Michael.
Speaker 3: Time for the Bloomberg Sports Update. Here's John Stanshower to day.
Speaker 15: To the night where Jets fans emotions went from agony
Speaker 15: to ecstasy. The much hype Jets debut of Aaron Rodgers
Speaker 15: lasted all of four snaps. He threw one pass, he
Speaker 15: got sacked on his leg, he left the game, and
Speaker 15: by all accounts, he's not coming back this season, a
Speaker 15: bitterly cruel blow after so much excitement surrounding Rodgers' arrival,
Speaker 15: and left the Jets once again with Zach Wilson, and
Speaker 15: he threw a bad first half interception, but he played
Speaker 15: better second half through a touchdown pass that Jets rallied
Speaker 15: from ten down against the Bill.
Speaker 5: The game went to overtime.
Speaker 4: Getting away a line drive kick of Sam Martin.
Speaker 7: Gibson runs under it after.
Speaker 11: Ten thirty five, starts to his left, gets to the forty,
Speaker 11: turns the cornum.
Speaker 7: Cut the forty five dixton cluck is it fun?
Speaker 5: Not the forties?
Speaker 7: Not the Bills?
Speaker 5: Thirty hits out the twenties.
Speaker 10: Stunt a step to the ten to the five touchdown.
Speaker 5: Hut touchdown, This game is over.
Speaker 15: ESPN New York to call the Xavier Gibbson sixty five
Speaker 15: yard return.
Speaker 5: The Jets stunned the Bills twenty two to sixteen. Tommy
Speaker 5: Famm won.
Speaker 15: Several Mets traded at the deadline back at City Field
Speaker 15: with Arizona had a single double, a game time home run.
Speaker 15: Diamondbacks scored in the ninth top the Mets four to three.
Speaker 15: Yankees and Red Sox reigned out in Boston doubleheader. Today,
Speaker 15: BIGS series help decide who gets the last wildcard of
Speaker 15: the America Lague. Texas won ten for at Toronto. The
Speaker 15: Jays lead by a half game. The NBA will vote
Speaker 15: today on whether to start finding teams who rest their
Speaker 15: stars in national TV games. Lebron James Antony wants to
Speaker 15: play the Olympics next summer in Paris. Calling it his
Speaker 15: last dance, and he has said to be recruiting Kevin
Speaker 15: Durant and Steph Curry.
Speaker 11: The US just.
Speaker 15: Finished fourth at the World Cup. John Stashedward Bloomberg Sports.
Speaker 16: From coast to coast, from New York to San Francisco,
Speaker 16: Boston to Washington, DC, nationwide on SYRIASXAM, the Bloomberg Business app,
Speaker 16: and Bloomberg dot Com.
Speaker 5: This is Bloomberg Daybreak. Good morning, I'm Nathan Hager.
Speaker 3: We are counting down to Apple's latest product launch later
Speaker 3: today in Coopertino, California. The iPhone maker has been dealing
Speaker 3: with several negative headlines ahead of it, from China's crackdown
Speaker 3: on iPhones for government workers to delays for in house chips.
Speaker 3: So will a next generation iPhone be enough to give
Speaker 3: Apple more of a lift as we head into the
Speaker 3: holiday quarter. Let's bring in Alex Webb, who covers the
Speaker 3: tech industry for US here on Bloomberg Radio. Well, Alex,
Speaker 3: we did get the headline moments ago that made in
Speaker 3: India iPhones are going to be available on this launch day.
Speaker 5: That seems like it could be a big deal.
Speaker 17: Certainly an interesting narrative for them to be pushing isn't
Speaker 17: it the You know, there's been gradual pressure over time
Speaker 17: on the Chinese supply chain, of course, and Apple has
Speaker 17: been doing a huge amount to try to de risk
Speaker 17: its exposure there, so they've been expanding the production capabilities
Speaker 17: in India. That also helps them in the Indian market
Speaker 17: because if you want to have your own retail outlets there,
Speaker 17: you need to be manufacturing domestically, and it is a
Speaker 17: market where they see huge amount of potential. But let's
Speaker 17: put that in little bit of context. Right in the
Speaker 17: most recent data we have from March trailing twelve month
Speaker 17: revenue is about six billion dollars in India. In China
Speaker 17: right now, Apple has in the order of Greater China,
Speaker 17: which also gives Taiwan has an eure of seventy four
Speaker 17: billion dollars in revenue, So India has a long way
Speaker 17: to catch up. The iPhones that are going to be
Speaker 17: on sale made in India in the next generation, only
Speaker 17: a small portion of them will be coming from that market.
Speaker 17: The vast majority will still be made in China. So
Speaker 17: it is a change, it isn't It isn't a sea
Speaker 17: change just yet.
Speaker 3: Do you expect it to be a sea change at
Speaker 3: some point, given some of the headwinds that Apple is
Speaker 3: facing in China right now, it.
Speaker 17: Could well be. But that time is not a year
Speaker 17: away or two years away. It is five to ten
Speaker 17: years away, right. It takes a long time to build
Speaker 17: up your supply chain. China has got not just the
Speaker 17: factories to make the iPhones, it has the factories that
Speaker 17: make the components that supply the iPhones. It has you know,
Speaker 17: the ability to mobilize millions of people to work in
Speaker 17: these factories at peak production season. That is not somewhere
Speaker 17: that India has got to yet. You know, if you
Speaker 17: go to Shanzhen, you can see in that just in
Speaker 17: that you know, remarkable city, the how everything is there.
Speaker 17: Everything you need to make a smartphone pretty much is there,
Speaker 17: with the exception of the top of the line chips
Speaker 17: that the US is making it high to import. So,
Speaker 17: you know, Tim Cook has talked about India being at
Speaker 17: an inflection point.
Speaker 7: That's you know, slightly empty language.
Speaker 17: Because China was at six billion in revenue about fifteen
Speaker 17: years ago, right so after that point it did massively accelerate.
Speaker 7: A lot needs to happen in India for it to
Speaker 7: get to that point.
Speaker 3: Well, what does it tell you, Alex, that Apple is
Speaker 3: leaking out this kind of news about the supply chain
Speaker 3: and about the sourcing of next generation iPhones as the
Speaker 3: big the big thing for us to latch onto, as
Speaker 3: opposed to something along the lines of vision pro or
Speaker 3: details about what the next iPhone's going to have in it.
Speaker 17: Well, I'm going to push back on that thinking because
Speaker 17: it's I think you give our colleagues in India some
Speaker 17: credit for breaking this story. It's not necessarily a handout
Speaker 17: from the Apple pr machine that there's probably a good
Speaker 17: deal reporting in there, which sure, you know, we don't
Speaker 17: know that this is something that Apple wanted to push.
Speaker 17: It is something that our colleagues have reported from their sources.
Speaker 17: So if they mention it, right, I think it's highly
Speaker 17: unlikely they will because if you you know, they don't
Speaker 17: like to advertise on their devices that they are not
Speaker 17: necessarily made in the US. But if they were to
Speaker 17: mention it somehow in the course of the presentation, that
Speaker 17: would be remarkable.
Speaker 7: But that's not the message we have just yet.
Speaker 3: Well, I guess what I'm getting at, Alex is are
Speaker 3: we expecting any more surprises from Apple in terms of
Speaker 3: what the components of the devices are going to be
Speaker 3: you know what make what helps the iPhone fifteen stand
Speaker 3: out from past iterations of this device?
Speaker 5: We got about a minute left.
Speaker 17: I mean, being Frank's probably not a huge amount that's
Speaker 17: going to stand out from previous versions. The thing that's
Speaker 17: interesting is little stuffer around the edges, and it actually
Speaker 17: the edge is very much one thing, a thinner bezel
Speaker 17: at the end edge of the phone. And also the
Speaker 17: pro lineup is going to be made out of titanium,
Speaker 17: not out of steel. That should let them push a
Speaker 17: higher price point of pricing is crucial. Right now, they're
Speaker 17: not selling as many units, or the pace of growth
Speaker 17: in unit sales as massively slow. They're therefore trying to
Speaker 17: squeeze more money out of the units they do sell.
Speaker 17: New materials help them achieve that.
Speaker 3: Do you think this product launch is going to be
Speaker 3: enough to give Apple a boost heading into the holiday quarter.
Speaker 17: I'm going to certainly give it a boost. Right this
Speaker 17: is the biggest quarter for them. Every time, the question
Speaker 17: is is it above and beyond expectations? You'll hear all
Speaker 17: sorts of back and forth or their cutting production that
Speaker 17: Ultimately the fact is because the services business has been
Speaker 17: so good, people keep buying their new iPhones, and particularly
Speaker 17: feel freshening at the high end, where there's less price
Speaker 17: sensitivity that tends to support the grocery.
Speaker 1: Actually, this is Bloomberg Daybreak Today, your morning brief on
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Speaker 5: I'm Nathan Hager and.
Speaker 2: I'm Karen Moscow. Join us again tomorrow morning for all
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Speaker 2: on Bloomberg Daybreak