Speaker 1: Live from the Bloomberg Interactive Broker Studios. This is Bloomberg
Speaker 1: day Break for Friday May two. Coming up this hour.
Speaker 1: Stocks are on track for their first weekly gain in
Speaker 1: two months. City Group downgrades US equities on the risk
Speaker 1: of our session. The U S And Taiwan plant talks
Speaker 1: to increase economic ties, and Texas Governor Greg Abbott will
Speaker 1: reportedly not address the n r a's meeting in person today.
Speaker 1: Triple Lass people will back the roads for the long
Speaker 1: Memorial Day weekend. Plus the w h JOE confirmed nine
Speaker 1: cases of monkeypox in the U S. I'm Michael Barr.
Speaker 1: More ahead, Latice, got Edinburg, Yankees women, the Rangers face elimination.
Speaker 1: I'll have that more coming up in sports. That's all's training.
Speaker 1: Head on Bloomberg day Break on Bloomberg eleven, Free on
Speaker 1: New York, Bloomberg one, Washington, d C, Bloomberg one oh
Speaker 1: six one, Boston, Bloomberg nine sixties, San Francisco, Sirius XAM
Speaker 1: one nineteen and around the world. Old on Bloomberg Radio
Speaker 1: dot Com and via the Bloombird Business And good Morning.
Speaker 1: I'm Karen Moscow. I'm Nathan Hacker. Bloomberg Daybreak is brought
Speaker 1: to you by B and Y Melon, Pershing's inside conference
Speaker 1: back in person June fifteen through the seventeenth that the
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Speaker 1: US futures are higher this morning six o one on
Speaker 1: Wall Street. We checked the markets every fifteen minutes throughout
Speaker 1: the trading day. On Bloomberg, SNP Future is up seventeen
Speaker 1: points down Future is up sixty six Nasdack Future is
Speaker 1: up seventy five. The ten year Treasury little change yield
Speaker 1: two point seven four percent, and they yield on the
Speaker 1: two year two point four six percent. Nathan Karen, the
Speaker 1: SNP five hundreds on track for its first weekly gain
Speaker 1: in nearly two months. The index rose two percent yesterday
Speaker 1: for its biggest gain in ten days. Max Wasserman is
Speaker 1: founder and senior portfolio manager at Merrimar Capital. I'm optimistic
Speaker 1: in a long term. It doesn't mean you could get
Speaker 1: it more downside, and we could see another five to
Speaker 1: seven percent on the downside, but we think we're through
Speaker 1: the majority of the problem and it's been a bad market.
Speaker 1: I mean, the Majeck was down and the SNP was
Speaker 1: close to down twenty. It could still go further, but
Speaker 1: we're not We're not bailing on this market. Mira Mark
Speaker 1: Capitals Max Wasserman made the comments on Bloomberg Business Week.
Speaker 1: Catch the program weekdays from two to five pm Wall
Speaker 1: Street Time on Bloomberg Radio. Meantime, Nathan's City Group is
Speaker 1: getting more bearish on stock. Shall we get the details
Speaker 1: life from Bloomberg's or any young? Good Morning, Rady Down,
Speaker 1: Good morning Karen. City Group cut its recommendation on US
Speaker 1: stocks to neutral on the risk of a recession. Strategist
Speaker 1: there join an increasing number of banks and warning of
Speaker 1: a growth slow down. They say, with this high level
Speaker 1: of uncertainty and a lack of reassurance from the Federal Reserve,
Speaker 1: the market is showing elements of a deflating bubble. But
Speaker 1: opinion on US equities remains divided. Some Wall Street analysts
Speaker 1: are betting on a rebound. They believe that the odds
Speaker 1: of a recession are overstated. Live in New York, I'm
Speaker 1: renned a young Bloomberg day. We need to thanks. Solid
Speaker 1: retail earnings helped sentiment yesterday. Today, retail results are not
Speaker 1: helping gap shares are down nine after the company's first
Speaker 1: quarter profit missed estimates. We get the story from Bloomberg's
Speaker 1: Charlie Pellett. It shows that operational missteps and higher costs
Speaker 1: are hurting the apparel retailer. The company, which also owns
Speaker 1: the Banana Republic and Old Navy brands, posted a loss
Speaker 1: of forty four cents of share in the quarter ending April,
Speaker 1: below analysts average estimates. Foliar earnings are now seen at
Speaker 1: between forty and seventy cents a share, well below the
Speaker 1: dollar eighty five to two oh five range previously provided
Speaker 1: In New York Charlie pet Bloomberg Day Break, Ye Charley,
Speaker 1: thank you will US futures are still higher despite those
Speaker 1: results from Gap. Sentiment was also strong overnight in Asia
Speaker 1: after solid earning from Chinese tech companies. They get the
Speaker 1: recount from Bloomberg's Juliette Sally In Singapore. Good morning, Juliette,
Speaker 1: Good morning Karen. The Regional Benchmark Index posted its miss
Speaker 1: gain in a week, rising for the first time in
Speaker 1: four sessions to set itself up for a second weekly advance.
Speaker 1: Alibama and Baidu Shares rallied in Hong Kong, lifting the
Speaker 1: hang same Tech index after both beat sales forecast. Japanese
Speaker 1: equities also rose as the nation announced it would reopen
Speaker 1: to selectors on package tools from June ten, and Australian
Speaker 1: retailers recorded a fourth consecutive months of sales gains, highlighting
Speaker 1: underlying momentum in the economy and a degree of resilience
Speaker 1: among consumers in Singapore. Juliet Sally Bloomberg, day break, All right, Juliet.
Speaker 1: Thanks In Shanghai, we're seeing more signs of the extreme
Speaker 1: steps being taken to keep factories running during COVID lockdowns.
Speaker 1: Workers at an Apple supplier, Quanta Computer, have started to
Speaker 1: revolt against their bosses after being locked down in their
Speaker 1: factory for almost two months. They've been fighting with guards
Speaker 1: and rushing past isolation barriers in search of daily necessities.
Speaker 1: The current system forces workers to live and sleep on
Speaker 1: factory sites, and now Nathan China is coming under even
Speaker 1: more pressure from the White House, as Bloomberg said, Baxter
Speaker 1: reports Secretary of State Anthony Blankel is vowing to in
Speaker 1: fluence China's behavior by shaping the world around Beijing. B
Speaker 1: Lincoln says this is a charged moment for the globe
Speaker 1: and says while he would like to work with China,
Speaker 1: Beijing cannot be trust as stand ready doing prestarted recommunication
Speaker 1: with Beijing across a full range of issues, and we
Speaker 1: hope that that can happen, but we cannot rely on
Speaker 1: Beijing to change its trajectory. B Lincoln says, alliances like
Speaker 1: the Quad this. At the same time, the U, S
Speaker 1: and Taiwan have announced plans to enter into economic talks
Speaker 1: enhancing economic cooperation and supply chain resiliency. Ian San Francisco,
Speaker 1: I'm at Baxter Bloomberg daybreak al right. At thanks meantime,
Speaker 1: the war in Ukraine rages on, and now the US
Speaker 1: is rejecting a food for sanctions relief plan by Russian
Speaker 1: President Vladimir Putin. The proposal would facilitate fertilizer and grain exports,
Speaker 1: but if sanctions on Russia are lifted, that's the condition,
Speaker 1: US says. The Kremlin's blocking the shipments and stoking concerns
Speaker 1: of a global food shortage. Well, we turn out closer
Speaker 1: to home, Nathan, with the latest on the school rooting
Speaker 1: in Jivaldi, Texas. The National Rifle Association is holding its
Speaker 1: annual convention in Houston today, but Texas Governor Greg Abbott
Speaker 1: won't be there. The Dallas Morning News says he's dropped
Speaker 1: plans to address the event in person. He'll give a
Speaker 1: prerecorded speech instead. Anytime, Senate Democrats say there's room for
Speaker 1: a compromise on gun control legislation, and we spoke with
Speaker 1: Maryland Democrat Ben Kurden. What I'd like to see don
Speaker 1: is certainly closed. The loopholes in the background check red
Speaker 1: flags are consistent with that. We need to deal with
Speaker 1: the military style UH and high capacity magazines that are
Speaker 1: out there that are the weapon choice for those who
Speaker 1: want to commit mass murders. Senator Ben Kurten in Maryland
Speaker 1: spoke with our Washington correspondent Joe Matthew on Bloomberg Sound
Speaker 1: on Catch the show weekdays at five pm Eastern on
Speaker 1: Bloomberg Radio. And in the interest of transparency, we should
Speaker 1: note that Michael Bloomberg, the founder and majority owner of
Speaker 1: Bloomberg LP, the parent of Bloomberg Radio, is a donor
Speaker 1: to groups that support gun control. And what more, note
Speaker 1: out of Washington this morning, Karen, the White House is
Speaker 1: scrambling to do something about record high gas prices this
Speaker 1: election year. Bloomberg News has learned the Biden administration has
Speaker 1: reached out to the oil industry about restarting closed refineries.
Speaker 1: The average price of a gallon of regular unletted stood
Speaker 1: at a record four dollars sixty cents as of Wednesday.
Speaker 1: You're listening to Bloomberg Daybreak and it sounds six o
Speaker 1: seven on Wall Street where sixty five degrees in Central Park.
Speaker 1: I've got accident clean up on the westbound l I
Speaker 1: E at the b Que. The off ramp is closed.
Speaker 1: There more coming up in traffic. First Michael Barr with
Speaker 1: more on what else is going on in New York
Speaker 1: and around the world. Michael, thank you very much. Nathan.
Speaker 1: If you're traveling this Memorial Day weekend, getting ready for
Speaker 1: busy airports and roads despite the rising costs of gas
Speaker 1: and airfare, The Triple A says more than thirty nine
Speaker 1: million people will travel fifty miles or more during the
Speaker 1: holiday weekend. Triple A spokesman Andrew Gross says the majority
Speaker 1: of them will be hitting the roads despite these record
Speaker 1: gasoline crisis. We are expecting, based on what we're seeing
Speaker 1: from Memorial Day, that it's going to be a very
Speaker 1: robust travel period for summer people just want to get
Speaker 1: out and go. A gallon of regular now tops four
Speaker 1: dollars in all fifty states. New York City will bid
Speaker 1: to host the Democratic National Convention at Madison Square Garden
Speaker 1: in four. Mayor Eric Adams says this is a team
Speaker 1: New York moment. This is not about Democrat or republic
Speaker 1: and it's about how do we bring resources to while
Speaker 1: we're city. The last time New York City hosted the
Speaker 1: Democratic Convention was in and former President Bill Clinton was nominated.
Speaker 1: Federal health officials say there are now nine presumptive cases
Speaker 1: of monkey pots in the US, including one in New
Speaker 1: York City. The city's Department of Health and Mental Hygiene
Speaker 1: said that officials will be treating this as a probable
Speaker 1: case and will continue its contact tracing efforts globally. The
Speaker 1: w h L says it has confirmed about two hundred
Speaker 1: monkey pox cases. The w HLS Dr Maria van Kerhof
Speaker 1: has addressed misinformation about the spread of the virus. She
Speaker 1: notes that it can be spread through sexual contact, but
Speaker 1: it is not an STD and although it's not a
Speaker 1: new virus, it's now popping up in countries where it
Speaker 1: does not usually spread. We are asking countries to expand
Speaker 1: surveillance so that we are looking for cases of monkeypox um,
Speaker 1: cases of rash um, particularly in people who presents at
Speaker 1: sexual health clinics or emergency departments. Dr Maria Vankerhove answered
Speaker 1: questions on the whose Facebook page. A California parole panel
Speaker 1: has recommended the release of Charles Manson follower Patricia Krenwinkle.
Speaker 1: She rolled helter skelter on a wall using the blood
Speaker 1: of one of her victims, including actor Sharon Tate. In
Speaker 1: nine Global News twenty four hours a day on air,
Speaker 1: rand on Bloomberg Quick Take powered by more than journalists
Speaker 1: and analysts in more than a hundred twenty countries. Michael Barr,
Speaker 1: this is Bloomberg. Nathan all right, Michael, thank you very much.
Speaker 1: And it's almost six ten on Wall Street. Now time
Speaker 1: for the Bloomberg Sports Update. Here's Scott Seidenberg. Thanks Nathan Nesty.
Speaker 1: Nestor lives up to his name. Nestor Cortez through eight
Speaker 1: innings of one run balls, the Yankees beat the race
Speaker 1: seven two. At the Trump Cortez allowed just four hits,
Speaker 1: retiring fourteen straight. At one point, here was Aaron Booney.
Speaker 1: I think how efficient he got, you know, I had
Speaker 1: to work a little bit in a first inning, and
Speaker 1: then he just dialed in from from a command standpoint
Speaker 1: and kind of cruise there, uh for much of the game. Um,
Speaker 1: but I thought he was really sharp. Prior to the game,
Speaker 1: the Yankees signing former Cardinals all star Mett Carpenter. He
Speaker 1: went over two with a walk as the designated hitter.
Speaker 1: The Mets were off last night. They begin to set
Speaker 1: with the Phillies tonight at City Field. The Rangers are
Speaker 1: on the brink of elimination after falling to Carolina three
Speaker 1: one last night. Game six at the Garden tomorrow or
Speaker 1: nights elsewhere. The Oilers onto the Western Conference Finals after
Speaker 1: beating the flame Is five four in overtime. NBA last night,
Speaker 1: the Warriors beat the Mavericks to earn a trip back
Speaker 1: to the NBA Finals for the sixth time in the
Speaker 1: last eight seasons. Tonight, the Celtics look to close out
Speaker 1: the heat in the Eastern Conference Finals. Tennis at the
Speaker 1: French Open, make it thirties straight for Egos to the Optic.
Speaker 1: The world's number one defeated Allison Risk to extend the
Speaker 1: longest winning streak in women's tennis, and Serena won thirty
Speaker 1: four matches in a row back in ten. I'm Scott
Speaker 1: Edinburg with Bloomberg Sports. Nathan Scott, thanks for that. SMP
Speaker 1: Future is right now up eleven points. Staff Future is
Speaker 1: up thirty seven. NASTAC futures leading the games this morning.
Speaker 1: They are higher by fifty three points, and the tenure
Speaker 1: Treasury right now is up to thirty seconds. Yield now
Speaker 1: just shy of two point seven four percent yield on
Speaker 1: the two year two point four five percent. Stay with us.
Speaker 1: A Bloomberg News exclusive coming up here on Bloomberg day Break,
Speaker 1: a one on one conversation with the Prime Minister of
Speaker 1: the UK Boris Johnson. That's X. You're listening to Bloomberg
Speaker 1: Daybreak Bloomber eleven three. Weather showers and storms developing this
Speaker 1: afternoon with the high near eighty degrees. Afternoon showers possible
Speaker 1: tomorrow as well with the hind your eighty sunshine prevails
Speaker 1: Sunday right now at sixty five in Central Park Markets.
Speaker 1: Headlines and breaking news twenty four hours a day at
Speaker 1: Bloomberg dot Com, the Bloomberg Business at and at Bloomberg
Speaker 1: Quick Tape. He's a Bloomberg Business Flash and I'm Karen
Speaker 1: Moscow and stocks are rallying as dip buyers return, with
Speaker 1: European shares heading for the best weekly advanced since mid March,
Speaker 1: and US stock index futures are also on the rise.
Speaker 1: SNP future is up about thirteen points this morning, Down
Speaker 1: Future is up thirty seven and nowesday futures of fifty six.
Speaker 1: The decks in Germany's up seven tenths percent, CAC in
Speaker 1: Paris up nine tenths per cent, and the foot Sea
Speaker 1: one hundred is up at tenth of a percent. And
Speaker 1: we want to see what individual stocks are moving this
Speaker 1: morning with Bloomberg Radio and TV markets reporter Credy Goofta
Speaker 1: Market created Good morning, Good morning. Let's start with a
Speaker 1: retailer story. Gap of course, reporting GPS after the belt
Speaker 1: last night, down to guidance cut that was more than expected,
Speaker 1: prompting brokers to lower their targets and downgrade the stock.
Speaker 1: Of course, that wall of warri we've been talking about
Speaker 1: for retailers hitting gap across the board, inflation, the margin story, inventory,
Speaker 1: supply chain, you name it. A similar story for cost
Speaker 1: go c O s T is your taker down one
Speaker 1: point eight percent, the margin story hitting them to freight
Speaker 1: costs really in the spotlight there. We also have to
Speaker 1: talked about d D d I d I, the Chinese
Speaker 1: ride shailer up six and a half percent after the
Speaker 1: Bloomberg report that the state owned automaker China f a
Speaker 1: W Group is considering acquiring a significant state in the
Speaker 1: ride hailing company. Keep an eye on those shares, and
Speaker 1: of course we also have to keep an eye on
Speaker 1: z Scaler. Z S is your ticker up three point
Speaker 1: six percent of security software company reporting third quarter results
Speaker 1: that beat x actations, coming off of strength in multi
Speaker 1: product deals. According to analyst Karen Alright, Critty Group Dot,
Speaker 1: thank you, and of course we'll be checking back in
Speaker 1: with you in about twenty minutes from now for an update.
Speaker 1: Taking a look at treasuries, the ten year yield moving
Speaker 1: lower this morning at two point seven three percent right now,
Speaker 1: the yield on a two year two point four or
Speaker 1: five percent. Nine night screwed oils lower down half percent,
Speaker 1: now down sixty cents at a hundred thirteen dollars fifty
Speaker 1: five cents of Barrel Comics gold is up half percent
Speaker 1: or eight dollars ninety cents at eighteen sixty two seventy
Speaker 1: an ounce the euro one point oh seven one one
Speaker 1: against the dollar, British pound one point to six oh
Speaker 1: six the end one seven point oh nine and watching
Speaker 1: bitcoin has always down what and a half percent at
Speaker 1: twenty nine thousand dollars, and that's a Bloomberg business flash.
Speaker 1: Now here's Michael Barr with more on what's going on
Speaker 1: around the world. Michael, thank you very much, Karen. Texas
Speaker 1: Governor Greg Abbott reportedly dropped plans to address the National
Speaker 1: Rifle Association's annual meeting in person. The event, starting to
Speaker 1: day in Houston comes just days after the deadly school
Speaker 1: shooting in Uvalde. A week filled with goodbyes continues for
Speaker 1: families and friends of victims of the racist attack on
Speaker 1: a Buffalo supermarket. Funeral services set for today for three
Speaker 1: of those killed. The US rejected a plan by Russian
Speaker 1: President Vladimir Putin to facilitate grain and fertilizer exports only
Speaker 1: if sanctions on his country are lifted. The US blames
Speaker 1: the Kremlin for blocking shipments and stoking concerns of global
Speaker 1: food shortages. In the NHL playoffs, the Rangers are on
Speaker 1: the brink of elimination. New York lost to the Hurricanes
Speaker 1: in Game five in the NBA Playoffs. The Warriors are
Speaker 1: in the finals. They won the West, beating the Mavericks.
Speaker 1: In baseball, the Yankees beat the Rays. New York and
Speaker 1: Tampa Bay dedicated their Twitter feeds last night posting gun
Speaker 1: awareness messages rather than baseball stats. The Red Sox Nationals
Speaker 1: won the A's Lost. Global news twenty four hours a
Speaker 1: day on air and on Bloomberg Quicktake, powered by more
Speaker 1: than twenty seven hundred journalists and analysts in more than
Speaker 1: one h twenty countries. I'm Michael Barr, and this is Bloomberg. Nathan. Okay, Michael,
Speaker 1: thank you. It is six one on Wall Street Live
Speaker 1: from the Bloomberg Interactive Brokers Studios. This is Bloomberg Daybreak.
Speaker 1: Let's get more now on the war in Ukraine and
Speaker 1: the response from Europe. Boris Johnson wants even more military
Speaker 1: support for Ukraine as it continues to battle Russian forces.
Speaker 1: The UK Prime Minister sat down for an exclusive interview
Speaker 1: with Bloomberg Goose this morning. We spoke with him aboard
Speaker 1: a train as he travels today. Let's listen in to
Speaker 1: part of that conversation right now. I think it's very,
Speaker 1: very important but we do not get into we do
Speaker 1: not get lulled because of the incredible roism of the
Speaker 1: Ukrainians in uh In, pushing the Russians back from the
Speaker 1: gates of Kien, because of the amazing valor of President Zelenski,
Speaker 1: we should not believe that this problem has gone away.
Speaker 1: On the contrary, I'm afraid that Putin, at great cost
Speaker 1: to himself and to to to Russian mistry, he's can
Speaker 1: sinuing to chew through ground in don Bat, He's continuing
Speaker 1: to make gradual, slow but I'm afraid palpable progress, and
Speaker 1: therefore it is absolutely vital that we continue to support
Speaker 1: the Ukrainians military, and indeed, I think that they what
Speaker 1: they need now is the type of rocketry multiple launch
Speaker 1: rocketism l l r S that will enable them to
Speaker 1: defend themselves against his very brutal Russian artillery. And that's
Speaker 1: where the world needs to needs to go down. Okay,
Speaker 1: final question, and this is about President Selinski. Years you've
Speaker 1: stood shoulder to shoulder with him. But there's certain calls
Speaker 1: around Europe, pat from France, from Germany to maybe settled
Speaker 1: with Putin. Try and trying what I would say to
Speaker 1: any to any such proponent of a deal with Putin?
Speaker 1: How can you deal? How can you deal? And the
Speaker 1: crocodile when it's in the middle of meeting your left leg,
Speaker 1: you know what's what's the negotiation, and that is what
Speaker 1: Putin is doing, and any kind of he will try
Speaker 1: to freeze the conflict. He will try and call for
Speaker 1: a ceasefar while he remains in possession of substantial parts
Speaker 1: of you. And I make that point to all my
Speaker 1: friends and colleagues in the in the G seven and
Speaker 1: at Nata, and by the way, everybody gets that once,
Speaker 1: once you go through the logic, you can see that
Speaker 1: it's very, very difficult to get a negotiated solution. We
Speaker 1: desperately need need it to end. We dobt the world
Speaker 1: needs it to end. But the one way that it
Speaker 1: can end is for Putin to accept that. Let us
Speaker 1: say that the d Nartification of Ukraine has taken place,
Speaker 1: and that he's able to withdraw with dignity and honor,
Speaker 1: and that would be that's what needs to happen. I'm
Speaker 1: not saying I'm not saying that they're wearing any Nazis
Speaker 1: in Ukraine, but you know, I think one of the
Speaker 1: interesting things about the situation is the very strong support
Speaker 1: that Putin commands in Russia for what he anything that
Speaker 1: he says, well does I think he has the political
Speaker 1: margin of maneuver to make an end to this. And
Speaker 1: that was Boris Johnson speaking exclusively this morning with Bloomberg News.
Speaker 1: We spoke with the UK Prime Minister as he's traveling today.
Speaker 1: Stay tuned for more from that conversation. Will have it
Speaker 1: for you throughout the day on Bloomberg Radio and Bloomberg Television.
Speaker 1: Looking ahead to the market open on this Friday, futures
Speaker 1: are higher. We have SMP futures right now up eleven points,
Speaker 1: Staff futures up thirty. Nastack futures are higher by fifty
Speaker 1: five points ten. Your treasury is up three thirty seconds.
Speaker 1: That yield now two point seven on the tenure note.
Speaker 1: Yield on the two year two point four five. Nime
Speaker 1: X screwed lower at the moment, down four tenths percent
Speaker 1: at a hundred thirteen dollars fifty nine. Sense of barrel.
Speaker 1: You're listening to Bloomberg Daybreak, Bloomberg eleven three oh Weather
Speaker 1: mostly cloudy today, Showers and thunderstorms developing this afternoon with
Speaker 1: highs in the upper seventies. Afternoon showers and storms possible
Speaker 1: tomorrow as well, highs again in the upper seventies. Sunshine Sunday.
Speaker 1: Right now six in Central Park, Broadcasting live from the
Speaker 1: Bloomberg Interactive Broker Studio in New York. Bloomberg looking for
Speaker 1: you to Washington, d C. Bloomberg to Boston, Bloomberg one
Speaker 1: six one, to San Francisco, Bloomberg No. Sixt to the
Speaker 1: country Sirius XM Toto one nine team, and around the
Speaker 1: globe the Bloomberg Business and Bloomberg Radio dot Com. This
Speaker 1: is Bloomberg Daybreak at six thirty on Wall Street. Good morning,
Speaker 1: I'm Nathan Hagar and I'm Karen Moscow or just about
Speaker 1: three hours away from the open of US trading time
Speaker 1: for the five things you need to notice. Start your
Speaker 1: day brunch, you buy Interactive Broker Simple IBPR Global Trader app,
Speaker 1: deposit in your local currency, and trade stocks in the US,
Speaker 1: Europe and Asia. Start a free trial at ib k
Speaker 1: R dot com slash Global Trader. Well at first. US
Speaker 1: futures are higher as we close out a trading week
Speaker 1: that has the S and P five hundred on track
Speaker 1: for its first weekly gain in two months. However, one
Speaker 1: Wall Street firm sees more paint a head for investors
Speaker 1: to get the latest line for a Bloomberg shre need
Speaker 1: a young good morning, Ready to good morning. Karen City
Speaker 1: Group cut its recommendation on US stocks to neutral on
Speaker 1: the risk of a recession. Strategist they're joining an increasing
Speaker 1: number of banks and warning of a growth slowdown. They say,
Speaker 1: with this high level of uncertainty and a lack of
Speaker 1: reassurance from the Federal Reserve, the market is showing elements
Speaker 1: of a deflating bubble. But opinion on US equities remains divided.
Speaker 1: Some Wall Street analysts are betting on a rebound. They
Speaker 1: believe that the odds of a recession are overstated. Live
Speaker 1: in New York, I'm gonna need a young Bloomberg day break.
Speaker 1: Thank you. A retailer Arnings helped boost sentiment yesterday. This morning,
Speaker 1: it's a much different story. Shares of Gap are down
Speaker 1: eighteen percent in early trading. The retailer lowered its full
Speaker 1: year forecast after posting profit that missed estimates. Well. Geo
Speaker 1: politics also and focus this morning, Nathan with the latest
Speaker 1: US challenged at China, the Boden administration and Taiwan are
Speaker 1: announcing negotiations to increase economic ties tooms would focus on
Speaker 1: enhancing economic cooperation and supply chain resiliency, but it falls
Speaker 1: short of a free trade agreement. Beijing has warned Washington
Speaker 1: about its relationship with Taiwan. Van Karen, Texas Governor Grey
Speaker 1: Gabbott has dropped plans to attend today's National Rifle Association convention.
Speaker 1: The Dallas Morning News reports he's going to give her
Speaker 1: prerecorded speech instead while he visits the school in Vivaldi
Speaker 1: where nineteen children and two adults were killed this week.
Speaker 1: Houston Mayor Sylvester Turner is rejecting calls to cancel the convention.
Speaker 1: We just don't have that luxury of that option, just
Speaker 1: to cancel a convention that has been on the books
Speaker 1: for two years where we are contractually obligated. Houston Mayor
Speaker 1: Sylvester Turner says the n r A could delay the
Speaker 1: convention if it wants, but he doesn't think that will happen.
Speaker 1: In the interest of transparency, we should note that Michael Bloomberg,
Speaker 1: the founder and majority owner of Bloomberg LP, parent of
Speaker 1: Bloomberg Radio, is an owner two groups that support gun
Speaker 1: control and again futures are higher with this and P
Speaker 1: futures up eleven points this morning. Down futures have twenty
Speaker 1: eight and nastday futures have fifty seven ten year treasury
Speaker 1: of four thirty seconds two points seven three. And that's
Speaker 1: the five things you need to know to start your day.
Speaker 1: Brought to you by Interactive Brokers, your local news straight Ahead.
Speaker 1: This is Bloomberg. Okay, Karen. Thanks At six thirty three
Speaker 1: on Wall Street, sixty five degrees in Central Park. We've
Speaker 1: got twenty minute delays for New Jersey transit in and
Speaker 1: out of the city. Details coming up in traffic. First,
Speaker 1: Michael Barr with war on what's going on in New
Speaker 1: York end around the world. Michael, thank you very much. Nathan.
Speaker 1: In spite of high inflation and surging gas prices, Triple
Speaker 1: A expects millions of Americans will travel this Memorial Day weekend.
Speaker 1: Spokesman Andrew Gross says Triple A estimates thirty nine point
Speaker 1: two million people in the US will travel fifty miles
Speaker 1: or more from home during the holiday weekend. Of that
Speaker 1: are expected to go by car. We've never had a
Speaker 1: Memoriality travel period where so many people are gonna go
Speaker 1: in by car at the same time you have these
Speaker 1: high gas prices triple A spokesman Grows says, people just
Speaker 1: want to get out and go. New York City will
Speaker 1: bid to host the Democratic National Convention and Madison Square
Speaker 1: Garden in Mayor Eric Adams says this is a Team
Speaker 1: New York moment, not a Democratic Republican The last time
Speaker 1: New York City hosted the Democratic Convention was in when
Speaker 1: former President Bill Clinton was nominated. Federal health officials say
Speaker 1: there are now nine confirmed cases of monkey pots in
Speaker 1: the US, including one presumptive case in New York City. Globally,
Speaker 1: the w h L says it has confirmed about two
Speaker 1: hundred monkey box cases from more than two hundred or
Speaker 1: twenty countries. The w h Dr Maria van Korhoev is
Speaker 1: addressing misinformation about the spread of the virus. This is
Speaker 1: not a sexually transmitted infection UM. We do know that
Speaker 1: monkeypox does transmit primarily from physical contact skin to skin
Speaker 1: contact UM, and that includes sexual contact. Dr Maria Vankerhov
Speaker 1: answered questions on the WHOSE Facebook page again the latest
Speaker 1: monkeypox cases for more than twenty countries. Expect more baby
Speaker 1: formula to be flown into the US. To ease the
Speaker 1: shortage problem. The White House says more Operation Fly formula
Speaker 1: shipments should arrive, but did not disclose when that will be.
Speaker 1: Hours after FDA Commissioner Dr Robert Calef was grilled by
Speaker 1: senators about the response to the infant formula shortage, White
Speaker 1: House Press Secretary Karine Jean Pierre says President Biden still
Speaker 1: ask confidence in him for the job. Yes, yes, and
Speaker 1: yes um. So. The FDA has an important mission, right
Speaker 1: is to make sure that the infant formula on the
Speaker 1: shelf isn't just available, also that it's safe. Right. Spokeswoman
Speaker 1: Jean Pierre says, our focus right now is getting more
Speaker 1: infant formulas applies to families across the country as quickly
Speaker 1: as possible. Global Nemes twenty four hours a day on
Speaker 1: air and on Bloomberg Quick Take, powered by more than
Speaker 1: twenty seven hundred journalists and analysts more than a hundred
Speaker 1: twenty countries. Michael Barron, this is Bloomberg, Nathan. Alright, Michael,
Speaker 1: thank you. Just about six thirty six on Wall Street.
Speaker 1: Time for the Bloomberg Sports Update. Here's Scott Seedinberg. Good morning, Nathan.
Speaker 1: The Rangers are on the brink of elimination after falling
Speaker 1: to Carolina three one last night. The Hurricanes dominated for
Speaker 1: the majority of the game. According to Gerard glance Well,
Speaker 1: I didn't think we played a game at all. I
Speaker 1: thought we were reaching which sticks all night instead of
Speaker 1: finishing checks with the body like we did the other nights. Obviously,
Speaker 1: we to meet. It was the worst game in the
Speaker 1: five games so far and ensures Game six at the
Speaker 1: Garden tomorrow night. Elsewhere, the Oilers onto the Western Conference
Speaker 1: Finals after beating the Flames five four in overtime. Baseball
Speaker 1: Nest Cortez through eight innings of one run balls. The
Speaker 1: Yankees beat the Raised seven to two at the trop
Speaker 1: Prior to the game, the Yankees signing former Cardinals All
Speaker 1: star Mett Carpenter. He went over two with a walk
Speaker 1: as the designated hitter. The Mets were off last night.
Speaker 1: They begin a set with the Phillies tonight at City Field. NBA.
Speaker 1: Last night, the Warriors beat the Mavericks to earn a
Speaker 1: trip back to the NBA Finals for the sixth time
Speaker 1: in the last eight seasons. Tonight, the Celtics look close
Speaker 1: out the Heats in the Eastern Conference Finals. Tennis at
Speaker 1: the French Open make it thirties straight for Ego Sattech.
Speaker 1: The world's number one defeated Allison Risk to extend the
Speaker 1: longest winning streak in women's tennis since Serena won thirty
Speaker 1: four matches in a row back in ten I'm Scott
Speaker 1: s Edinburg with Bloomberg Sports, Nathan Alright, Scott, thanks six
Speaker 1: thirty seven on Wall Street and Bloomberg Radio and TV
Speaker 1: Markets Corresponding, Crety Gupta is back with us this morning
Speaker 1: for more of a look at some of the stocks
Speaker 1: moving in the pre market. Cretty, good morning. We mentioned
Speaker 1: the drop in gap shares this morning on earnings. What
Speaker 1: else has your eye? Well, let's just take a beat
Speaker 1: and give maybe a little bit more attention to the gap, sure,
Speaker 1: because it's it's fascinating to me. GPS is your taker,
Speaker 1: folks down eighteen percent. We've been covering it all morning
Speaker 1: on Bloomber television and radio and this is important at
Speaker 1: least to me, and I'm sure it's the broader consumer
Speaker 1: as well. But the wall of rory that we were seeing, inflation,
Speaker 1: supply chain issues, margin pressure, the COVID nineteen lockdowns, a
Speaker 1: slowing consumer, all of that is showing up in gap earnings.
Speaker 1: I think, to me, it's not just the guidance cut
Speaker 1: that was more than expected. That, of course is is
Speaker 1: tanking the stock this morning, but it's also this kind
Speaker 1: of nugget indulge me here, Nathan, This nugget here on
Speaker 1: store closures, I think is so important. We haven't heard
Speaker 1: about store closures since I want to say, the pandemic
Speaker 1: Onslaught and Gap actually saying that they're going to close
Speaker 1: fifty Gap and Banana Republic stores but open forty Athleta
Speaker 1: and Old Navy stores for international audience. Athleta and Old
Speaker 1: Navy are kind of the uh, I don't want to say,
Speaker 1: cheaper but more but inexpensive relative to Gap in Banana Republic.
Speaker 1: So it's interesting that they're making that diverges. They put
Speaker 1: a lot of weight in Old Navy lately anyway, had
Speaker 1: a little bit of an executive shake up as well.
Speaker 1: But the fact that they are kind of making that
Speaker 1: pivot and kind of therehaps pulling away from the Gap
Speaker 1: in Banana Republic in some ways, it's interesting. Compare that
Speaker 1: to what you saw from Macy's and Nordstrom, where they're saying, well,
Speaker 1: the wealthy consumers actually quite uh insulated from some of
Speaker 1: these issues, so that was very important to me. GPS
Speaker 1: is your taker down eighteen percent. Thanks for indulging me
Speaker 1: on my little journey there with the gap. Okay, well,
Speaker 1: let's take a look at some I guess outside of
Speaker 1: the retail sector. What else you looking at? We got
Speaker 1: to talk abou d D D here Um, this is such
Speaker 1: an important story as we talked about Chinese A d
Speaker 1: R S broadly. D I d I S your ticker
Speaker 1: up eight percent this morning Bloomberg reporting that the state
Speaker 1: owned automaker China f a W Group is considering acquiring
Speaker 1: a significant steak in the ride hailing company. This is
Speaker 1: important as we talk about how much kind of g
Speaker 1: for mint use there is a government stake there is
Speaker 1: for a lot of these Chinese companies, especially ones that
Speaker 1: have perhaps listings in the United States where perhaps will
Speaker 1: be delisted. Indeed, if d D is a case study
Speaker 1: for some of those other Chinese tech companies, what's next
Speaker 1: is going to be the question. Nevertheless, d I d
Speaker 1: I is your ticker up eight percent, Nathan, I also
Speaker 1: want to stick to the tech story and talked about
Speaker 1: the z Scaler z S is your taker up four
Speaker 1: percent this morning. This is a security software company, makes
Speaker 1: a lot of cloud products. It also has a lot
Speaker 1: to do with cybersecurity. They report a third quarter results
Speaker 1: that beat expectations. They raise their full year forecast. Member.
Speaker 1: This is coming in the wake of the war Ukraine
Speaker 1: is also coming post pandemic, where you have a lot
Speaker 1: of companies saying, Okay, now that we're in this new
Speaker 1: work from home structure, we have this new kind of
Speaker 1: era of technology, maybe we should really accelerate our switch
Speaker 1: to cloud anti cybersecurity. Nevertheless, z S seeing that on
Speaker 1: their balance sheet up four percent, created as always good
Speaker 1: to have you on at the pre market. Bloomberg Radio
Speaker 1: on TV Markets corresponding create goop to keeping an eye
Speaker 1: on the names moving before the cash been looking ahead
Speaker 1: to that for stocks as a whole. Futures moving higher.
Speaker 1: We have SMP futures up eleven points, staff futures up,
Speaker 1: NASTAC features leading the gains up fifty eight points. That
Speaker 1: is again of just about a half percent. You're listening
Speaker 1: to Bloomberg day Break on this Friday morning, Bloomberg eleven
Speaker 1: three oh Weather mostly cloudy today, Showers and thunderstorms possible
Speaker 1: this afternoon, with a high and near eighty degrees. More
Speaker 1: showers and storms possible tomorrow with a high near eighty
Speaker 1: sunshine Sunday right now sixty five degrees. Markets, headlines and
Speaker 1: breaking news twenty four hours a day at Bloomberg dot Com,
Speaker 1: Blo Bloomberg Business app and at Bloomberg Quick Tape. This
Speaker 1: is a Bloomberg Business lash and I'm Karen Moscow. Futures
Speaker 1: are higher this morning. We got to the first Word
Speaker 1: Breaking newsdesk for today's morning call, and here's Bill Maloney. Bill,
Speaker 1: good morning, and good morning, Karen. Modest gains in the
Speaker 1: US futures right now, with death futures up twenty eight
Speaker 1: point sesames game twelve one. That is that futures are
Speaker 1: higher by fifty nine. The US ten year old at
Speaker 1: two point seven three percent, Gold is up nine, oil
Speaker 1: is down, and Bitcoin is trading lower by one point
Speaker 1: nine percent. Hong Kong rose two point nine percent overnight,
Speaker 1: while your p markets are posting modest games this morning.
Speaker 1: And back in the US on the economic front, day
Speaker 1: dirty Hoste inventories and PC and it's ten o'clock Michigan
Speaker 1: sentiment after the bellas night, Costco EPs beat estimates and
Speaker 1: Dell revenue beat estimates in the auto space, Toyota cut
Speaker 1: its goal output plan for June again and four beat
Speaker 1: Tesla by delivering its first electric truck. Wrapping things up,
Speaker 1: CVS was cut to market perform at Bernstein, and Macy's
Speaker 1: was raised to equate over at Morgan Stanley. Live from
Speaker 1: the First Breaking News desk, Bell Maloney Ker, all right, Bill,
Speaker 1: thank you to here live breaking news of your Bloomberg
Speaker 1: type squawk on your terminal, escue you a w K
Speaker 1: and that's a Bloomberg business flat show. Here's Michael Barr
Speaker 1: with more on what's going on around the world. Michael Karen,
Speaker 1: thank you very much. Texas Governor Greg Abbott will no
Speaker 1: longer appear in person at the nr A convention that
Speaker 1: begins today in Houston. Instead, Abbott says he'll return to Yuvaldi,
Speaker 1: Texas to meet with families impacted by this week's school shooting. Meanwhile,
Speaker 1: when it comes to gun laws, Senate Minority Leader Mitch
Speaker 1: McConnell is urging colleagues to find common ground, directing Texas
Speaker 1: Senator John Cornyn to work with Democrats. In the NHL playoffs,
Speaker 1: the Rangers are on the brink of elimination New York
Speaker 1: lost to the Hurricanes three one in Game five. In
Speaker 1: the NBA Playoffs, the Warriors are in the finals. They
Speaker 1: one in the West, beating the Mavericks one one ten.
Speaker 1: In baseball, the Yankees beat the Ray seven to New York,
Speaker 1: and Tampa Bay dedicated their Twitter feeds last night posting
Speaker 1: gun awareness messages rather than baseball stats. The Red Sox
Speaker 1: and Nationals won the a's Lost. Global news twenty four
Speaker 1: hours a day on air and on Bloomberg Quicktake, powered
Speaker 1: by more than dred journalists and analysts more than a
Speaker 1: hundred twenty countries. Him Michael Barrn, this is Bloomberg, Karen,
Speaker 1: all right, Michael, thank you At A sixty nine on
Speaker 1: Wall Street, and we turned to news and science and
Speaker 1: technology now. But the Bloomberg and j I T. Stemmer
Speaker 1: Board brought to you by New Jersey Institute of Technology,
Speaker 1: one of the nation's leading polytechnic universities in a top
Speaker 1: military friendly school. Learn more at n j I T,
Speaker 1: DOT E d U slash Veterans and now here's what's
Speaker 1: making news and science, technology, engineering, and math. The White
Speaker 1: House has announced more steps to make the anti viral
Speaker 1: treatment packs LIVID more accessible across the US, as it
Speaker 1: projects COVID infections will continue to spread over the summer
Speaker 1: travel season. The nation's first federally backed Test to Treat
Speaker 1: site is opened in Rhode Island, providing patients with immediate
Speaker 1: access to the drug once they test positive. More federally
Speaker 1: supported sites are said to open in the coming weeks
Speaker 1: in Massachusetts and New York City. Microsoft will slow hiring
Speaker 1: at its Windows Office and Teams Chat and conferencing software
Speaker 1: groups side you need to realign staffing priorities as it
Speaker 1: approaches a new fiscal year in a time of global
Speaker 1: economic uncertainty. A spokesperson said this lowdown is not company
Speaker 1: wide and overall, the software maker will continue to hire.
Speaker 1: And Ford has beaten Tesla to the punch. The automaker
Speaker 1: has delivered its first F one fifty electric pickup. The
Speaker 1: owner is a Michigan man who had a deposit down
Speaker 1: on the Tesla cyber truck and considered buying a Rivian
Speaker 1: to electrifying. The F one fifty is a big deal
Speaker 1: for Ford. It's been America's best selling vehicle for four
Speaker 1: decades and as a Bloomberg n j I t STEM report.
Speaker 1: Nathan all Right, Karen Thank you. We are live from
Speaker 1: the Bloomberg Interactive Broker Studios where it's almost six fifty
Speaker 1: one on Wall Street time now to check what's going
Speaker 1: on in d C. Some of the top stories in
Speaker 1: our nation's capital include Senate Democrats eyeing the potential for
Speaker 1: a compromise on gun safety after the Vivaldi shooting, the
Speaker 1: US planning economic talks with Taiwan, and the latest challenge
Speaker 1: to China, and the White House eyeing restarting idle refineries
Speaker 1: to tame sky high fuel prices. It's getting brought in
Speaker 1: all these stories. Now we're joined by Bloomberg Government Congressional
Speaker 1: reporter Jack Fitzpatrick, who remains a busy man despite the
Speaker 1: fact that Congress is going off on recess. Jack, good morning.
Speaker 1: What is this potential for guns safety compromise given that
Speaker 1: the Senate has started going out of town. Now, yeah,
Speaker 1: they have left town in a fit an official capacity,
Speaker 1: but some members may be staying in town or at
Speaker 1: least communicating with each other over the ten day recess.
Speaker 1: It seems that John Cornyn has sort of been deputized
Speaker 1: as the Republican in the Senate who will take the
Speaker 1: lead in these discussions. Uh, Chris Murphy has been very involved.
Speaker 1: A number of bipartisan senators though involved in these talks,
Speaker 1: it's about something very limited in scope. We know that, Uh,
Speaker 1: there have been discussions on red flag laws, about instances
Speaker 1: in which law enforcement can take guns away from people
Speaker 1: based on criminal history or other red flags, as the
Speaker 1: name suggests. Unclear if this would be potentially a federal
Speaker 1: red flag law or if you listen to someone like
Speaker 1: Lindsey Graham, he has mentioned maybe incentivizing states to pass
Speaker 1: those red law red flag laws. So it's nothing that would,
Speaker 1: you know, drastically reduce the four million guns in America.
Speaker 1: It's not something that gun control advocates would necessarily get
Speaker 1: excited about. But those conversations are happening to see what
Speaker 1: they realistically could get through the Senate with sixty votes,
Speaker 1: uh and and try to come up with a a
Speaker 1: sort of slimmed down compromise. Why do you see the
Speaker 1: momentum for some kind of compromise moving forward in the Senate? Jack,
Speaker 1: We have an n r A convention happening today, just
Speaker 1: days after the shooting in Uvaldi, and it's in the
Speaker 1: same state of Texas where this is happening, and we
Speaker 1: know that President Biden is going to be visiting Uvaldi
Speaker 1: this weekend. US Obviously, just the gruesome nature of this
Speaker 1: shooting at least motivates people to take action, uh in
Speaker 1: some capacity. Again, the legislative outlook would be very very narrow,
Speaker 1: but politically it's something that demands a response. So you
Speaker 1: see the President preparing to go to Uvaldi. Uh. You
Speaker 1: see Texas Governor Greg Abbott sort of partially pulling out
Speaker 1: of that n r A annual meeting. He's still supposed
Speaker 1: to do a virtual video discussion, but the report from
Speaker 1: the Dallas Morning News with it was that he was
Speaker 1: not going to attend in person anymore. Uh. So it's
Speaker 1: it's a you know, it's a very partisan issue where
Speaker 1: at least at face value for the idea of Second
Speaker 1: Amendment rights, Republicans are not wholeheartedly backing down, but there
Speaker 1: there is motivation to do something. It's just that right now,
Speaker 1: at least in Congress, the discussion is about something very
Speaker 1: limited that could actually get bipartisan support. And just for
Speaker 1: interance of transparency, we should note that Michael Bloomberg, foundered
Speaker 1: majority owner of the parent company of this operation, Bloomberg LP,
Speaker 1: does donate to groups that support gun control, including Every
Speaker 1: Town for Gun Safety. Let's turn out Jack to another
Speaker 1: potential friction point. I think it's probably safe to say
Speaker 1: between the US and China now with this report from
Speaker 1: Bloomberg News that economic talks could be starting pretty soon
Speaker 1: between the US and Taiwan. Yes, uh, that obviously is
Speaker 1: done with an eye towards China. UH. These economic talks
Speaker 1: between the US and Taiwan would fall short of a
Speaker 1: free trade agreement. It's not something that uh that the
Speaker 1: White House would have to go to Congress to for approval.
Speaker 1: It is sort of in line with the Indo Pacific
Speaker 1: Economic Framework that President Biden has announced and work with
Speaker 1: other Asian countries on. This is separate from that, at
Speaker 1: least in part because some of those other countries were
Speaker 1: concerned about the message it would send uh, sort of
Speaker 1: alienating China to involve Taiwan in this. The US clearly
Speaker 1: is not quite as concerned about about sort of negative
Speaker 1: repercussions from China. UH. And it's part of a broader
Speaker 1: attempt to at least in some limited way through executive actions, UM,
Speaker 1: sort of align the US with Asian countries other than
Speaker 1: China more than what has done in the past. This
Speaker 1: would be a sort of supply chain resilience measures, trade
Speaker 1: measures that aren't quite up to the standard of a
Speaker 1: trade agreement that would guarantee market access. It would be
Speaker 1: much more limited than a true trade agreement, but still
Speaker 1: a framework discussion with Taiwan. And finally, Jack, we're heading
Speaker 1: into Memorial Day weekend here, the unofficial start of summer
Speaker 1: driving season. It looks like the Biden administrations making a
Speaker 1: new move to try to tamp down these UH sky
Speaker 1: high gas prices we're dealing with right now. Yes, so
Speaker 1: the Biden administration is contacting people in the oil industry
Speaker 1: to discuss the parameters of what might happen regarding restarting
Speaker 1: oil refineries that had closed down. It's not a formal request,
Speaker 1: but according to our colleague Ari Natter, who has reported
Speaker 1: on this UH, the National Economic Council has had people
Speaker 1: UH inquiring to the industry about what kind of factors
Speaker 1: led to refineries closing, what might help restart that and
Speaker 1: and increase the capacity for them to UH to do
Speaker 1: to refine oil. It's part of a bit of a
Speaker 1: patchwork approach by the President and Democrats to try to
Speaker 1: have some sort of action regarding oil prices. It's been difficult.
Speaker 1: They've they've stalled a bit on a price gouging measure
Speaker 1: that was supposed to uh sort of focus on gas
Speaker 1: prices and other increasing prices. But it's at LEAs east
Speaker 1: to a sign of activity from the White House, as
Speaker 1: they know they have to be seen taking some sort
Speaker 1: of action and and and I guess hustling at least
Speaker 1: in some way on gas prices. Ye. I can't take
Speaker 1: a holiday with the average right around four sixty a
Speaker 1: gallon according to Triple A as of Wednesday. Jack Fitzpatrick,
Speaker 1: Bloomberg Government. As always, thanks for this, and you can
Speaker 1: read more about all these stories at Bloomberg dot com
Speaker 1: or on the Bloomberg terminal. And a reminder, follow all
Speaker 1: the latest on Bloomberg Radio in Washington, d C. Tuned
Speaker 1: into Bloomberg one oh five point seven FM HD two.
Speaker 1: Futures moving higher on this Friday before the holiday weekend.
Speaker 1: Bloomberg Surveillance is next for Karen Moscow. I'm Nathan Haker,
Speaker 1: and this is Bloomberg