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Speaker 1: Bloomberg Audio Studios, Podcasts, radio news.

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Speaker 2: Single best idea on Apple Podcast. Thank you for your response,

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Speaker 2: getting it out.

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Speaker 3: There, trying to get out of each of every day

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Speaker 3: today was simple a GDP number. And this has been,

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Speaker 3: without question, the missed call of the last eighteen months.

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Speaker 3: There's worry, there's angst, levels of gloom, a relative well,

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Speaker 3: it's okay but not and the numbers come in constructive.

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Speaker 3: The first look at June thirty ending GDP was a

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Speaker 3: stunning two point eight percent. Neil Dutta out with a

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Speaker 3: terse note afterwards, saying things have rapidly changed since June thirty.

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Speaker 3: Neil Dutta in the camp. The fen's got to get

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Speaker 3: on board, get going cut race. But how do you

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Speaker 3: do that with a two point eight statistic? With a

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Speaker 3: five point one percent nominal GDP, Anastasia Ana Morosso says,

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Speaker 3: look at the information with I capital. Anastasia says, the

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Speaker 3: next few weeks matter.

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Speaker 1: Next week is absolutely pivotal. It is critical. Is going

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Speaker 1: to determine the direction of the market over the next

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Speaker 1: I would say a couple of months. You know, if

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Speaker 1: the rest of the MAC seven complex does actually deliver,

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Speaker 1: then maybe we don't need to worry about the slowdown

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Speaker 1: in some of those earning surprises. But if it doesn't that,

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Speaker 1: I think it does lead to further lowering of expectations.

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Speaker 1: And this is by the way, good news, further lowering

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Speaker 1: of valuations. So I think if that happens, then you

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Speaker 1: have a cleaner slate. So that's the first thing I

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Speaker 1: wanted to say about next week. But the broader point

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Speaker 1: is this rotation trade. I call it the Great Rotation.

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Speaker 1: I think it's firmly in place. Right now, investors are

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Speaker 1: going to focus on the next best thing, which is

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Speaker 1: the FED rate cut. And how do you position for

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Speaker 1: the rate cut. You position it in rate cut beneficiaries

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Speaker 1: such as small caps such as regional banks. And by

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Speaker 1: the way, defensives actually tend to outperform after the first

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Speaker 1: grade cut. So that's why we've been recommending tom this

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Speaker 1: new barbell of not teching money markets, but defenses like

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Speaker 1: utilities and regional banks.

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Speaker 3: Some of the nuance here Anastasia Amiroso way out front

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Speaker 3: on this bull market, really really quite courageous a year

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Speaker 3: a year and a half ago saying you have to participate,

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Speaker 3: and some nuance there about a pullback, but she made clear.

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Speaker 3: This is before the GDP report that the economy is

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Speaker 3: still there. I didn't get a lot of recession gloom

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Speaker 3: from her. So many people asked me, stop me on

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Speaker 3: the street whatever, and say what's it really like? And

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Speaker 3: putting together Bloomberg surveillance every day. And what you don't

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Speaker 3: see is Michael Barr putting the news together, which is

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Speaker 3: basically he does it twenty four to seven early in

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Speaker 3: the morning. He's looking at forty and fifty angles in

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Speaker 3: audio and video to do what I think is the

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Speaker 3: absolute best news coverage that we have. He does two tranges.

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Speaker 3: He does a national Internet national news trunch and then

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Speaker 3: he does separately a local trunch for the Tri state

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Speaker 3: area and on to Washington and Boston as well. Lisa

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Speaker 3: Mittel's the same way. She's with us, and you see

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Speaker 3: her in the wonderful newspaper segment. Somebody said somebody said

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Speaker 3: they'd like the newspaper segment to be an hour long.

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Speaker 3: I don't know where that came from. But Lisa's got

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Speaker 3: many many other duties as well. And there's a point

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Speaker 3: where she just stops the show, gets her elbows out

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Speaker 3: and says, I want to ask a question. Lisa Matteo

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Speaker 3: to Wendy Schiller of Brown University.

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Speaker 4: Lisa, that's a great question, you know, I expeculating earlier

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Speaker 4: in the week that it was sort of designed to

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Speaker 4: give the voices in the party a chance to weigh

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Speaker 4: in on Harris. Maybe weigh in on the VP. May

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Speaker 4: people feel included, But it really looks like the grassroots

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Speaker 4: of a party is all in on Kamala Harris. We've seen,

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Speaker 4: you know, a pretty amazing result just in the suburbs

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Speaker 4: of Milwaukee the other day. So I mean, when you

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Speaker 4: think about that now, you're sort of saying, is this

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Speaker 4: like Hamlet like or you know, Macbeth like, what's going on?

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Speaker 4: Listen standing around in your in your living room again?

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Speaker 4: Should I?

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Speaker 1: Should I not?

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Speaker 4: You know, get with the times and get with the party.

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Speaker 4: So it seems just out of step to me. Clearly,

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Speaker 4: he'll get out on the campaign trail for Kamala Harris

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Speaker 4: one time when the time comes, but maybe he feels like,

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Speaker 4: you know, it wouldn't be beneficial to her right now. I'm

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Speaker 4: not so sure. That's a great, you know, perception of

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Speaker 4: the reality of what's going on.

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Speaker 3: Lisa Materia a piercing question to Wendy Schiller the Tubman

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Speaker 3: Center at Brown University.

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Speaker 2: You see how she quoted Shakespeare there. I mean, that's

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Speaker 2: the difference. You know, Ivy League professors they te Shakespeare

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Speaker 2: in the you know, like Brown ice hockey and all

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Speaker 2: the rest of it. I don't, you know, we don't

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Speaker 2: do that. But there she is Macbeth and Hamlet as well.

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Speaker 2: It is going to be an eventful week. Of course,

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Speaker 2: tomorrow we've got PCEE, which is the inflation statistic for

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Speaker 2: the Fed. I really can't say enough about five percent

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Speaker 2: nominal GDP.

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Speaker 3: Seeing ending June thirty. How everybody will write.

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Speaker 2: About that in the next twenty twenty four hours. And

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Speaker 2: again we got the political coverage of the nation. David

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Speaker 2: Gerrow this and of course Joe Matthew, Kaylee Lines, Jack

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Speaker 2: Fitzpatrick and others. A real substantial teams that Cowen I

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Speaker 2: should mention Capitol Hill as we continue to cover this election.

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Speaker 3: We're out on YouTube. Subscribe to Bloomberg Podcasts out on YouTube.

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Speaker 3: this going. Subscribe to Bloomberg podcast We're out there seven

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Speaker 2: Here we're on Apple Podcasts, single best idea