1 00:00:01,320 --> 00:00:04,439 Speaker 1: Live from the Bloomberg Interactive Brooker Studios. This is Bloomberg 2 00:00:04,519 --> 00:00:08,039 Speaker 1: day Break for Tuesday, June seven two. Coming up the shower. 3 00:00:08,240 --> 00:00:11,559 Speaker 1: Boris Johnson survives as UK Prime Minister, but the question 4 00:00:11,680 --> 00:00:15,240 Speaker 1: is for how long? Russia bands Dozens, including Janet Yellen 5 00:00:15,320 --> 00:00:18,360 Speaker 1: and Black Rocks CEO Larry Thing keep primaries today in 6 00:00:18,440 --> 00:00:21,759 Speaker 1: seven states, including California and New Jersey, and looks like 7 00:00:21,880 --> 00:00:25,880 Speaker 1: Buyer's remorse won't get Elon Musk out of his Twitter acquisition. 8 00:00:26,000 --> 00:00:28,680 Speaker 1: New York Mayor Eric Adams reacts to new gun laws 9 00:00:28,680 --> 00:00:31,520 Speaker 1: across the state, plus the US lawrens North Korea of 10 00:00:31,560 --> 00:00:34,720 Speaker 1: the strong punishment conducts in nuclear tests. On Michael bar 11 00:00:34,880 --> 00:00:37,400 Speaker 1: More Ahead, I'm John Stash Howard Sports. Then that's one 12 00:00:37,400 --> 00:00:40,200 Speaker 1: in San Diego, Colorado has raised the Stanley Cup Final. 13 00:00:40,240 --> 00:00:44,760 Speaker 1: The Rangers play Game four at Tampa Bay tonight. That's 14 00:00:44,800 --> 00:00:48,800 Speaker 1: all Strady Ahead on Bloomberg day Break on Bloomberg eleven, Freo, 15 00:00:48,920 --> 00:00:53,280 Speaker 1: New York, Bloomberg one, Washington, d C, Bloomberg one oh 16 00:00:53,360 --> 00:00:58,160 Speaker 1: six one, Boston, Bloomberg nine sixties, San Francisco, Sirius XM 17 00:00:58,200 --> 00:01:00,960 Speaker 1: one nine Team and around the World Old on Bloomberg 18 00:01:01,000 --> 00:01:07,840 Speaker 1: Radio and dot car. I'm via the Bloomberg Business and 19 00:01:07,880 --> 00:01:11,200 Speaker 1: good morning. I'm Karen Moscow. I'm Nathan Hagar. Bloomberg Daybreak 20 00:01:11,200 --> 00:01:13,560 Speaker 1: is brought to you by Informatica in the Cloud. Your 21 00:01:13,640 --> 00:01:16,280 Speaker 1: data has the power to do the extraordinary. Managed data 22 00:01:16,319 --> 00:01:19,840 Speaker 1: across any location in the cloud for accurate and actionable insights. 23 00:01:19,920 --> 00:01:24,200 Speaker 1: More at Informatica dot Com and us dock. Index futures 24 00:01:24,240 --> 00:01:26,920 Speaker 1: are lower this morning, six out one on Wall Street 25 00:01:26,920 --> 00:01:29,080 Speaker 1: and we check the markets every fifteen minutes throughout the 26 00:01:29,080 --> 00:01:32,200 Speaker 1: trading day on Bloomberg. Right now, SNP futures are down 27 00:01:32,240 --> 00:01:34,960 Speaker 1: eighteen points down, futures down a hundred thirty eight and 28 00:01:35,040 --> 00:01:38,280 Speaker 1: NASDAG futures down sixty eight. The tenure treasury up six 29 00:01:38,319 --> 00:01:41,120 Speaker 1: thirty seconds, you know, three point one percent, and they 30 00:01:41,200 --> 00:01:44,240 Speaker 1: yield on the two year two point seven one percent. Nathan, 31 00:01:44,280 --> 00:01:46,040 Speaker 1: all right, thanks Karen. We'll have more on the markets 32 00:01:46,080 --> 00:01:47,760 Speaker 1: in just a minute. First we want to bring you 33 00:01:47,800 --> 00:01:50,440 Speaker 1: the latest on the future of Boris Johnson, the UK 34 00:01:50,560 --> 00:01:53,520 Speaker 1: Prime Minister has managed to cling to power. Let's go 35 00:01:53,560 --> 00:01:55,680 Speaker 1: to London and get the very latest with Bloomberg's You 36 00:01:55,760 --> 00:01:57,760 Speaker 1: and Potts. Good morning you, and good morning Nathan and 37 00:01:57,840 --> 00:02:01,040 Speaker 1: Karen win for Boris Johnson in a votes among lawmakers 38 00:02:01,040 --> 00:02:03,400 Speaker 1: in his own Conservative party, the UK Prime Minister has 39 00:02:03,440 --> 00:02:06,600 Speaker 1: secured the numbers to remain as leader, but more than 40 00:02:06,720 --> 00:02:10,040 Speaker 1: forty percent of his colleagues indicated they have no confidence 41 00:02:10,120 --> 00:02:12,520 Speaker 1: in his leadership. That was the worst result than that 42 00:02:12,560 --> 00:02:16,440 Speaker 1: suffered by his predecessor, Theresa May. Under official party rules, 43 00:02:16,440 --> 00:02:19,480 Speaker 1: he cannot now be challenged again for another twelve months, 44 00:02:19,520 --> 00:02:22,560 Speaker 1: but rules can be changed and many expect Leadsia questions 45 00:02:22,600 --> 00:02:24,920 Speaker 1: to continue. In London, I'm you and parts in bag 46 00:02:25,000 --> 00:02:27,000 Speaker 1: day break you and thank you Now. The latest on 47 00:02:27,080 --> 00:02:29,880 Speaker 1: the war Russia has spanned dozens of US officials from 48 00:02:29,960 --> 00:02:32,840 Speaker 1: entering the country. We get details from Bloomberg's Any Morrison 49 00:02:32,880 --> 00:02:37,079 Speaker 1: our newsroom in Washington. Treasury Secretary Janet Yellett and Black 50 00:02:37,160 --> 00:02:39,919 Speaker 1: Rocks Larry Fink are among the sixty one US officials 51 00:02:39,919 --> 00:02:44,079 Speaker 1: and executives indefinitely banned by Russia retaliation for what it 52 00:02:44,200 --> 00:02:48,480 Speaker 1: called constantly expanding sanctions against its citizens. This says Ukraine 53 00:02:48,560 --> 00:02:50,800 Speaker 1: is in talk with the United Nations to craft a 54 00:02:50,800 --> 00:02:53,919 Speaker 1: deal between Turkey and Moscow to restart shipments of grain 55 00:02:54,000 --> 00:02:57,399 Speaker 1: from ports blocked by Russia. Meanwhile, shortly after the UK 56 00:02:57,680 --> 00:03:00,160 Speaker 1: joined the U S and pledging to send longer range 57 00:03:00,200 --> 00:03:03,480 Speaker 1: missiles to Ukraine. Russia's President Putin threatened to strike new 58 00:03:03,480 --> 00:03:06,560 Speaker 1: targets if those weapons are delivered in Washington. I'm Amy 59 00:03:06,560 --> 00:03:09,000 Speaker 1: Moore as Bloomberg Daybreak. All right, Amy, thank you, turning 60 00:03:09,040 --> 00:03:12,799 Speaker 1: to US politics. This is a primary election Super Tuesday. 61 00:03:13,000 --> 00:03:15,760 Speaker 1: Seven states, led by California and New Jersey, are heading 62 00:03:15,760 --> 00:03:18,160 Speaker 1: to the polls for the busiest day of voting before 63 00:03:18,200 --> 00:03:21,840 Speaker 1: the general election in November. Claremont McKenna College political scientist 64 00:03:21,919 --> 00:03:24,360 Speaker 1: Jack Pitney has more on a major theme playing out 65 00:03:24,639 --> 00:03:28,040 Speaker 1: in California, crime and homelessness. If you talk to anybody 66 00:03:28,040 --> 00:03:31,840 Speaker 1: who's recently visited Los Angeles, still be shocked at the 67 00:03:31,880 --> 00:03:36,120 Speaker 1: homeless encampments all over the city. Uh. It's a huge 68 00:03:36,240 --> 00:03:39,640 Speaker 1: humanitarian problem and one that the city government has not 69 00:03:39,800 --> 00:03:43,000 Speaker 1: been able to manage very effectively. Clairemont McKennis Jack Pittney 70 00:03:43,000 --> 00:03:45,720 Speaker 1: says it's affecting the Democratic race for Los Angeles mayor, 71 00:03:45,800 --> 00:03:49,320 Speaker 1: hitting Congresswoman Karen Bass against tough on crime billionaire Rick Caruso. 72 00:03:49,600 --> 00:03:51,840 Speaker 1: It is also feeling the race for Attorney General in 73 00:03:51,880 --> 00:03:55,320 Speaker 1: California to Republicans and a Republican turned independent, are running 74 00:03:55,320 --> 00:03:59,040 Speaker 1: to unseat Democratic incumbent Rob Banta. As for congressional races, 75 00:03:59,080 --> 00:04:03,360 Speaker 1: Republican David Valadeo is facing a tough primary challenge. Valadeo 76 00:04:03,480 --> 00:04:05,400 Speaker 1: was one of the ten House Republicans who voted to 77 00:04:05,440 --> 00:04:08,640 Speaker 1: impeach former President Donald Trump last year. Well the New 78 00:04:08,680 --> 00:04:11,880 Speaker 1: Jersey Nathan Republican contenders are hoping to crack the States 79 00:04:11,920 --> 00:04:15,240 Speaker 1: Blue Wall in today's primary, and Bloomberg's Michael Barr has 80 00:04:15,280 --> 00:04:18,680 Speaker 1: the latest. Today's primary has a field of thirty five 81 00:04:18,800 --> 00:04:22,679 Speaker 1: GOP candidates, many in line with former President Trump. However, 82 00:04:22,760 --> 00:04:25,960 Speaker 1: the governor's seat and the legislature are controlled by Democrats 83 00:04:25,960 --> 00:04:29,159 Speaker 1: and the party holds ten of the twelve congressional seats. 84 00:04:29,400 --> 00:04:31,680 Speaker 1: One race to keep an eye on is New Jersey's 85 00:04:31,720 --> 00:04:35,159 Speaker 1: third District. Jim owner Ian Smith, refused in order to 86 00:04:35,160 --> 00:04:38,719 Speaker 1: close his business during the pandemic, is among three Republicans 87 00:04:38,800 --> 00:04:42,200 Speaker 1: running against Democrat Andy Kim. The third district is a 88 00:04:42,240 --> 00:04:45,600 Speaker 1: politically divided area that voted for Trump by a narrow 89 00:04:45,640 --> 00:04:49,360 Speaker 1: margin in the election In New York. Michael Barr Bloomberg 90 00:04:49,440 --> 00:04:52,800 Speaker 1: Day Brick Michael thank you in Corporate News. Deal or 91 00:04:52,839 --> 00:04:56,080 Speaker 1: No Deal looks like Elon Musk's buyer's remorse won't get 92 00:04:56,200 --> 00:04:58,560 Speaker 1: him out of his acquisition of Twitter. Let's get more 93 00:04:58,560 --> 00:05:00,800 Speaker 1: on that line from Bloomberg trained to on Good Morning Nina, 94 00:05:00,839 --> 00:05:04,080 Speaker 1: Good Morning Nathan. Elon Musk is reviving his argument that 95 00:05:04,160 --> 00:05:07,479 Speaker 1: Twitter has a serious bot problem, and he's threatening to 96 00:05:07,520 --> 00:05:10,240 Speaker 1: walk away from the deal if the social media giant 97 00:05:10,279 --> 00:05:12,960 Speaker 1: does not do more to prove that its users are 98 00:05:13,000 --> 00:05:16,640 Speaker 1: real people. But Bloomberg sources say behind the scenes the 99 00:05:16,680 --> 00:05:19,920 Speaker 1: deal is proceeding. Twitter thinks it's in the best interest 100 00:05:19,960 --> 00:05:23,320 Speaker 1: of all shareholders and wants to close the transaction, and 101 00:05:23,400 --> 00:05:26,480 Speaker 1: it's possible that Twitter could try to sue Musk to 102 00:05:26,600 --> 00:05:29,719 Speaker 1: complete the deal if he tries to walk away. Live 103 00:05:29,760 --> 00:05:32,120 Speaker 1: in New York, I'm goned a young Bloombark day break 104 00:05:32,120 --> 00:05:34,039 Speaker 1: all right, reneed to thank you all. Apple out with 105 00:05:34,320 --> 00:05:38,080 Speaker 1: new software and services at its Worldwide Developers Conference. Fresh 106 00:05:38,160 --> 00:05:42,040 Speaker 1: features include an updated iPhone log screen, multitasking for the iPad, 107 00:05:42,320 --> 00:05:45,359 Speaker 1: and a pay later service that bring Apples into the 108 00:05:45,400 --> 00:05:48,799 Speaker 1: finance industry. We discussed the move with Creative Strategies President 109 00:05:48,839 --> 00:05:52,400 Speaker 1: Carolina Milanessi from the event in California. I think the 110 00:05:52,440 --> 00:05:54,200 Speaker 1: core of it is that is going to be so 111 00:05:54,279 --> 00:05:56,800 Speaker 1: much easier for people that use Apple Pe to just 112 00:05:56,960 --> 00:06:01,120 Speaker 1: use as a default versus using the plethora of other 113 00:06:01,200 --> 00:06:03,919 Speaker 1: options that you have in the market. It's about integration, 114 00:06:04,040 --> 00:06:07,520 Speaker 1: is about taking away every little bit of friction that 115 00:06:07,560 --> 00:06:10,799 Speaker 1: you have in the experience. The Creative Strategies President Carolina 116 00:06:10,839 --> 00:06:14,360 Speaker 1: Milanossi expects Apple's new pain later features to be helpful 117 00:06:14,400 --> 00:06:17,600 Speaker 1: for both small businesses and consumers. Turning to the economy, 118 00:06:17,680 --> 00:06:21,040 Speaker 1: Karen JP Morgan Chase chief economist Bruce Casman says there 119 00:06:21,160 --> 00:06:24,279 Speaker 1: is little chance of recession is imminent. I think what 120 00:06:24,320 --> 00:06:27,120 Speaker 1: we're gonna see is growth continue to be on the 121 00:06:27,160 --> 00:06:31,080 Speaker 1: softer side, but growth continue to show resilience. Uh. We 122 00:06:31,120 --> 00:06:34,080 Speaker 1: don't see a near term recession. Uh. We see a 123 00:06:34,120 --> 00:06:37,240 Speaker 1: global economy which actually does okay in the second half 124 00:06:37,279 --> 00:06:39,240 Speaker 1: of the year, with the u AS slowing and the 125 00:06:39,279 --> 00:06:42,039 Speaker 1: rest of the world doing somewhat better. JP Morgan Chase 126 00:06:42,120 --> 00:06:45,400 Speaker 1: chief economist Bruce Casman's comments differ from those of his boss, 127 00:06:45,480 --> 00:06:48,440 Speaker 1: Jamie Diamond. Last week, Diamond said investors should be ready 128 00:06:48,440 --> 00:06:51,880 Speaker 1: for an economic hurricane, as tighter monetary policy, inflation, and 129 00:06:52,000 --> 00:06:55,800 Speaker 1: Russia's invasion of Ukraine pose ongoing risks and Bloomberg. Day 130 00:06:55,800 --> 00:06:57,760 Speaker 1: Break is brought to you by b n Y Melon 131 00:06:57,839 --> 00:07:01,359 Speaker 1: Pershing's Inside Conference back in person June fifteen through the 132 00:07:01,400 --> 00:07:04,839 Speaker 1: seventeenth at the Gay Lord Resort in Grapevine, Texas. Don't 133 00:07:04,960 --> 00:07:08,159 Speaker 1: visit Register now at Inside dot b n Y Melan 134 00:07:08,440 --> 00:07:12,440 Speaker 1: dot com. Futures are moving lower this morning. SMP Future 135 00:07:12,520 --> 00:07:16,040 Speaker 1: is down about nineteen points. Straight ahead your latest local headlines, 136 00:07:16,120 --> 00:07:23,800 Speaker 1: plus a check of sports, and this is Bloomberg. Thanks Karen. 137 00:07:23,800 --> 00:07:25,680 Speaker 1: At six oh seven on Wall Street where at sixty 138 00:07:25,680 --> 00:07:27,720 Speaker 1: three degrees in Central Park and still dealing with an 139 00:07:27,760 --> 00:07:31,200 Speaker 1: accident on southbound Harlem River Drive at the George Washington Bridge. 140 00:07:31,320 --> 00:07:34,040 Speaker 1: Details coming up in traffic. First, Michael Barr is back 141 00:07:34,120 --> 00:07:35,800 Speaker 1: with more on what's going on in New York and 142 00:07:35,840 --> 00:07:38,080 Speaker 1: around the world. Good morning, Michael, Good morning Nathan. New 143 00:07:38,160 --> 00:07:41,400 Speaker 1: York Governor Kathy Oacal signed new gun reformed legislation into 144 00:07:41,440 --> 00:07:44,160 Speaker 1: law three weeks after ten people were killed in a 145 00:07:44,200 --> 00:07:47,240 Speaker 1: mass shooting at a Buffalo supermarket by a self proclaimed 146 00:07:47,480 --> 00:07:51,600 Speaker 1: white supremacist. The bills will include banning anyone under the 147 00:07:51,640 --> 00:07:54,520 Speaker 1: age of twenty one from buying or possessing a semi 148 00:07:54,520 --> 00:07:58,320 Speaker 1: automatic rifle. As well as expanding current red flag laws. 149 00:07:58,960 --> 00:08:05,400 Speaker 1: It's just Eve's happening. Shots ring out, flags come down, 150 00:08:06,440 --> 00:08:11,880 Speaker 1: and nothing ever changes except here in New York. During 151 00:08:11,880 --> 00:08:15,240 Speaker 1: the signing and Buffalo Governor Hocle says, New York legislators 152 00:08:15,240 --> 00:08:18,040 Speaker 1: made the decision to be leaders when it comes to 153 00:08:18,080 --> 00:08:21,920 Speaker 1: gun reform, rather than followers waiting on Washington, New York 154 00:08:21,960 --> 00:08:24,760 Speaker 1: Mayor Eric Adams praised the new gun laws in the state. 155 00:08:25,200 --> 00:08:27,560 Speaker 1: Adams says, though, that more needs to be done to 156 00:08:27,680 --> 00:08:32,480 Speaker 1: properly prosecute the criminals who commit the crimes, because, he says, criminals, no, 157 00:08:32,720 --> 00:08:36,960 Speaker 1: they won't face proper consequences. No one takes criminal justice 158 00:08:37,360 --> 00:08:41,600 Speaker 1: seriously anymore. These bad guys no longer take them seriously. 159 00:08:42,200 --> 00:08:45,760 Speaker 1: They believe our criminal justice system is a laughing stock. 160 00:08:46,200 --> 00:08:49,440 Speaker 1: Mayor Adams also says they've taken three thousand guns off 161 00:08:49,440 --> 00:08:52,760 Speaker 1: the streets. A bipartisan group of lawmakers in Congress is 162 00:08:52,800 --> 00:08:56,079 Speaker 1: trying to find common ground to pass new gun control legislation. 163 00:08:56,480 --> 00:08:59,800 Speaker 1: Democratic negotiators say a deal could be completed this week. 164 00:09:00,120 --> 00:09:03,720 Speaker 1: Democratic Senator Chris Murphy of Connecticut. Parents are scared, kids 165 00:09:03,760 --> 00:09:07,280 Speaker 1: are scared that they need progress. They need us to 166 00:09:07,320 --> 00:09:12,239 Speaker 1: show that we care about what kids are going through UM, 167 00:09:12,280 --> 00:09:15,480 Speaker 1: and I'm hopeful that we'll get a deal. Senator Murphy says. 168 00:09:15,480 --> 00:09:19,560 Speaker 1: The proposals include enhanced background checks. The former top leader 169 00:09:19,600 --> 00:09:22,280 Speaker 1: of the far right Proud Boys extremist group and other 170 00:09:22,320 --> 00:09:25,920 Speaker 1: members have been charged with seditious conspiracy for what federal 171 00:09:25,960 --> 00:09:30,199 Speaker 1: prosecutors say was a coordinated attack on the US Capitol, 172 00:09:30,600 --> 00:09:33,280 Speaker 1: the US war and North Korea of a strong punishment 173 00:09:33,440 --> 00:09:36,640 Speaker 1: if it conducts a nuclear test. The United Nations watch 174 00:09:36,679 --> 00:09:40,319 Speaker 1: Dog Agency says signs into k Pyong Gang could soon 175 00:09:40,440 --> 00:09:45,200 Speaker 1: set off its first atomic device since Global News twenty 176 00:09:45,200 --> 00:09:48,040 Speaker 1: four hours a day on air and on Bloomberg Quicktake, 177 00:09:48,280 --> 00:09:51,199 Speaker 1: powered by more than twenty seven hundred journalists and analysts 178 00:09:51,280 --> 00:09:54,959 Speaker 1: more than a hundred twenty countries. Michael Bart, this is Bloomberg, Nathan. 179 00:09:55,120 --> 00:10:01,760 Speaker 1: Thank you. Michael six o nine on All Street time 180 00:10:01,760 --> 00:10:04,400 Speaker 1: for the Bloomberg Sports Update with John Sisha. All right, Anton, 181 00:10:04,440 --> 00:10:06,160 Speaker 1: the Mets have the best record of National A. They 182 00:10:06,200 --> 00:10:08,480 Speaker 1: just split a four game series with the Dodgers, who 183 00:10:08,480 --> 00:10:10,800 Speaker 1: have the NLS second best mark, and the Mets are 184 00:10:10,840 --> 00:10:13,120 Speaker 1: now in San Diego and the Padres are the owners 185 00:10:13,160 --> 00:10:15,720 Speaker 1: of the third best record. The Mets took the series 186 00:10:15,720 --> 00:10:18,240 Speaker 1: open the eleven five three runs in the first inning 187 00:10:18,280 --> 00:10:20,720 Speaker 1: four of the ninth, and Wardo Escobar a big night 188 00:10:20,800 --> 00:10:23,480 Speaker 1: four instantly on the home run he drove in six. 189 00:10:23,600 --> 00:10:27,079 Speaker 1: Carlos Carrasco struck at ten improved his seven and one 190 00:10:27,200 --> 00:10:30,599 Speaker 1: Yankees over their major league leading forty win. Tonight at Minnesota, 191 00:10:30,640 --> 00:10:33,120 Speaker 1: they'll face a couple of x Yanks, Garry Sanchez and 192 00:10:33,200 --> 00:10:35,680 Speaker 1: Juale or Sella. Rangers now have two games to one. 193 00:10:36,080 --> 00:10:38,680 Speaker 1: Game four of Tampa Bay Tonight, we know who the 194 00:10:38,720 --> 00:10:41,480 Speaker 1: winner of that series will play with the Stanley Cup. 195 00:10:42,800 --> 00:10:48,080 Speaker 1: Tep talking great bad start. Try look at at and 196 00:10:48,160 --> 00:10:51,160 Speaker 1: it don't have to go home, but you can't stay 197 00:10:51,240 --> 00:10:57,160 Speaker 1: here because this party is over. K s E and 198 00:10:57,240 --> 00:11:00,640 Speaker 1: Denver had to call the ad six five time when 199 00:11:01,200 --> 00:11:03,640 Speaker 1: Edmonton that keapped a four game sweep. It's the first 200 00:11:03,679 --> 00:11:06,560 Speaker 1: time Colorado has reached the Stanley Cup finals since winning 201 00:11:06,559 --> 00:11:09,240 Speaker 1: the Cup in two thousand one. The Bruins fired their coach, 202 00:11:09,280 --> 00:11:12,320 Speaker 1: Bruce Cassidy, he got them to the playoffs sixt eight years. 203 00:11:12,679 --> 00:11:15,400 Speaker 1: Phil Mickelson has not been playing golf, says he needed 204 00:11:15,400 --> 00:11:18,040 Speaker 1: time off, and Micholson made official he is going to 205 00:11:18,080 --> 00:11:20,840 Speaker 1: play the new Saudi Back Live Tour that starts next 206 00:11:20,840 --> 00:11:23,920 Speaker 1: month in London. Michelson said he's hopefully can still also 207 00:11:23,960 --> 00:11:27,200 Speaker 1: play PG eight tour events. He told Sports Illustrated his 208 00:11:27,320 --> 00:11:31,240 Speaker 1: gambling has been reckless and embarrassing that he's been in therapy. 209 00:11:31,679 --> 00:11:33,760 Speaker 1: It was reported he once had forty million dollars in 210 00:11:33,840 --> 00:11:36,520 Speaker 1: fambling losses. Greg Norman runs that Live Towards says Tiger 211 00:11:36,520 --> 00:11:39,079 Speaker 1: Woods was offered a nine figure amount to play, but 212 00:11:39,200 --> 00:11:42,680 Speaker 1: he said no. John stash that were Bloomberg Sports. Thank you, okay, John, 213 00:11:42,679 --> 00:11:45,280 Speaker 1: thank you. Right now, SMP futures are down eighteen points down, 214 00:11:45,360 --> 00:11:50,040 Speaker 1: futures down at eight, NASAC futures down seventy two points, 215 00:11:50,080 --> 00:11:53,720 Speaker 1: sequity futures adding to their declines this morning. We'll get 216 00:11:53,760 --> 00:11:57,880 Speaker 1: insights on this market coming up next with liz Anne Saunders, 217 00:11:58,360 --> 00:12:02,160 Speaker 1: chief investment strategist at Charles Schwab. Stay with us for 218 00:12:02,200 --> 00:12:08,840 Speaker 1: that you're listening to Bloomberg Gay Break. Bloomberg day Break 219 00:12:08,840 --> 00:12:10,959 Speaker 1: is brought to you by Hofstra University's Frank gez R 220 00:12:11,080 --> 00:12:13,640 Speaker 1: School of Business, top ranked online NBA program with a 221 00:12:13,720 --> 00:12:16,760 Speaker 1: real world foundation. Learn more at Hofstra dot e d 222 00:12:16,960 --> 00:12:24,680 Speaker 1: U slash go grad Markets headlines and breaking news twenty 223 00:12:24,679 --> 00:12:27,520 Speaker 1: four hours a day at Bloomberg dot Com, the Bloomberg 224 00:12:27,559 --> 00:12:37,120 Speaker 1: Business Outland, at Bloomberg Victape, He's a Bloomberg Business Flash 225 00:12:37,640 --> 00:12:40,559 Speaker 1: and I'm kared Moscow. European stocks are dropping along with 226 00:12:40,640 --> 00:12:43,480 Speaker 1: US stock index futures as central banks and on tightening 227 00:12:43,520 --> 00:12:46,160 Speaker 1: policy fan growth fears, and we check the markets every 228 00:12:46,160 --> 00:12:49,240 Speaker 1: fifteen minutes throughout the trading day on Bloomberg. Right now, 229 00:12:49,280 --> 00:12:51,719 Speaker 1: U S and P futures are down twenty three points down, 230 00:12:51,760 --> 00:12:55,040 Speaker 1: futures down a hundred seventy four, and NASDACK futures are 231 00:12:55,080 --> 00:12:57,719 Speaker 1: down eighty four. The decks in Germany's down about one 232 00:12:57,760 --> 00:13:00,800 Speaker 1: percent ten. Your treasury up six thirty seconds yield three 233 00:13:00,840 --> 00:13:03,000 Speaker 1: point one percent. They yield on a two year two 234 00:13:03,040 --> 00:13:06,080 Speaker 1: point seven one per cent. Nine max scrude oils down 235 00:13:06,120 --> 00:13:07,920 Speaker 1: to tens per cent or twenty three cents and a 236 00:13:08,000 --> 00:13:11,160 Speaker 1: hundred eighteen dollars twenty seven cents of barrel comes. Gold 237 00:13:11,240 --> 00:13:13,600 Speaker 1: is up three tents per center five dollars at eighteen 238 00:13:13,679 --> 00:13:17,240 Speaker 1: forty eight, the euro one point oh six seven nine 239 00:13:17,240 --> 00:13:19,720 Speaker 1: against the dollar, British pound one point to five one 240 00:13:19,840 --> 00:13:22,560 Speaker 1: four and the ends at one thirty two point six 241 00:13:22,679 --> 00:13:25,240 Speaker 1: nine and look at a bitcoin this morning, down almost 242 00:13:25,240 --> 00:13:29,400 Speaker 1: six percent at twenty nine thousand and five hundred seventy dollars. 243 00:13:29,679 --> 00:13:32,240 Speaker 1: As a Bloomberg Business Flash, now, here's Michael Barr with 244 00:13:32,320 --> 00:13:35,080 Speaker 1: more on what's going on around the world. Michael Karen, 245 00:13:35,120 --> 00:13:38,440 Speaker 1: thank you very much. South Korea and US militaries flew 246 00:13:38,520 --> 00:13:41,960 Speaker 1: twenty fighter jets over waters off South Korea's western coast 247 00:13:41,960 --> 00:13:44,840 Speaker 1: today in a show of forest as a senior US 248 00:13:44,920 --> 00:13:48,400 Speaker 1: official warrant of a forceful response if North Korea goes 249 00:13:48,440 --> 00:13:52,520 Speaker 1: ahead with its first nuclear test explosion. Since sev age 250 00:13:52,520 --> 00:13:55,160 Speaker 1: limits and red flag laws are being discussed in Washington, 251 00:13:55,240 --> 00:13:58,040 Speaker 1: has a bipartisan group of senators looks for ways to 252 00:13:58,040 --> 00:14:00,040 Speaker 1: curb the outbreak of gun violence in the name a 253 00:14:00,559 --> 00:14:05,160 Speaker 1: strengthening background checks. Also on the table. In the NHL playoffs, 254 00:14:05,200 --> 00:14:07,840 Speaker 1: the Avalanche beat the Oilers to advance to the Stanley 255 00:14:07,840 --> 00:14:11,400 Speaker 1: Cup Final. Colorado will either face the Rangers or the Lightning, 256 00:14:11,400 --> 00:14:13,880 Speaker 1: who play game for tonight. In baseball, the Mets and 257 00:14:13,920 --> 00:14:16,800 Speaker 1: Red Sox one Global News twenty four hours a day 258 00:14:16,840 --> 00:14:19,800 Speaker 1: on air and on Bloomberg Quick Take, powered by more 259 00:14:19,880 --> 00:14:24,040 Speaker 1: than seven under journalist and analysts more than countries. Michael 260 00:14:24,040 --> 00:14:27,240 Speaker 1: bar This is Bloomberg, Nathan Michael. Thanks, It is six 261 00:14:27,360 --> 00:14:31,320 Speaker 1: nineteen on Wall Street Live from the Bloomberg Interactive Broker Studios. 262 00:14:31,360 --> 00:14:34,360 Speaker 1: This is Bloomberg Daybreak and we're very pleased to be 263 00:14:34,440 --> 00:14:37,800 Speaker 1: joined this morning by Liz Anne Saunders, chief investment strategist 264 00:14:37,800 --> 00:14:40,160 Speaker 1: at Charles stab as we look to make sense of 265 00:14:40,200 --> 00:14:43,640 Speaker 1: this market. Liz, good morning. We started this week with 266 00:14:43,680 --> 00:14:47,160 Speaker 1: some modest gains, but now we're looking to give those 267 00:14:47,200 --> 00:14:50,600 Speaker 1: back and then some. It seems like the debate over 268 00:14:50,680 --> 00:14:55,000 Speaker 1: whether central banks can pull off tighter policy without triggering 269 00:14:55,000 --> 00:14:57,760 Speaker 1: a recession is back in play. What's your view on 270 00:14:57,800 --> 00:15:01,600 Speaker 1: where things stand now? Well, I think it was in 271 00:15:01,720 --> 00:15:04,160 Speaker 1: play all along. We we had a we had a 272 00:15:04,160 --> 00:15:06,800 Speaker 1: pretty brutal seven weeks span of time, and to see 273 00:15:06,800 --> 00:15:10,400 Speaker 1: a bit of a countertrend or relief rally is to 274 00:15:10,480 --> 00:15:14,080 Speaker 1: be expected. You had gotten to very oversold conditioned sentiment 275 00:15:14,120 --> 00:15:18,040 Speaker 1: had gotten washed out, at least attitudinal measures of sentiment, 276 00:15:18,280 --> 00:15:21,600 Speaker 1: and I think that that established a base for the 277 00:15:21,680 --> 00:15:23,480 Speaker 1: kind of rally that we saw. I don't think it 278 00:15:23,560 --> 00:15:26,560 Speaker 1: was driven by some assumption that either the Fed would 279 00:15:26,600 --> 00:15:28,600 Speaker 1: be able to take their foot off the brake or 280 00:15:28,640 --> 00:15:31,120 Speaker 1: we were in a goldilocks economic scenario. That's just the 281 00:15:31,200 --> 00:15:34,520 Speaker 1: nature of rallies in bear markets. But we're still now 282 00:15:34,640 --> 00:15:38,760 Speaker 1: facing a trillion dollars over the next year of of 283 00:15:38,880 --> 00:15:41,760 Speaker 1: runoff on the balance sheet, and I think the digestion 284 00:15:41,880 --> 00:15:45,440 Speaker 1: of the absence of that liquidity is sort of you know, 285 00:15:45,560 --> 00:15:48,480 Speaker 1: back in front of mine. What do you think the 286 00:15:48,520 --> 00:15:51,920 Speaker 1: impact is going to be as that removal of the 287 00:15:51,960 --> 00:15:54,440 Speaker 1: punch bowl? Yes, you could say it starts to play 288 00:15:54,480 --> 00:15:57,520 Speaker 1: out here. How's that going to affect investors going forward? 289 00:15:58,360 --> 00:16:01,440 Speaker 1: I think this change in a liquidity environment is not 290 00:16:01,560 --> 00:16:04,160 Speaker 1: a purely a prospective thing. It is as it relates 291 00:16:04,200 --> 00:16:06,720 Speaker 1: to the balance sheet. But if you look at broad 292 00:16:06,720 --> 00:16:09,920 Speaker 1: measures of money growth, even though still positive in your 293 00:16:09,920 --> 00:16:12,720 Speaker 1: over year terms, well down relative to where we were 294 00:16:12,760 --> 00:16:16,800 Speaker 1: certainly in and I think that that's been really the 295 00:16:16,880 --> 00:16:20,600 Speaker 1: story of the at least phase one of the bear market, 296 00:16:20,680 --> 00:16:23,880 Speaker 1: I think was the market reflecting this change in the 297 00:16:23,920 --> 00:16:27,560 Speaker 1: liquidity environment, rising interest rates for to your own inflation, 298 00:16:27,600 --> 00:16:29,920 Speaker 1: all the things we live even breathe every day. And 299 00:16:29,960 --> 00:16:32,920 Speaker 1: I think Phase two was a hit to the economy, 300 00:16:32,960 --> 00:16:35,840 Speaker 1: which was certainly reflected in in Q one with a 301 00:16:35,960 --> 00:16:40,520 Speaker 1: negative GDP print. And I think the next phase maybe 302 00:16:40,920 --> 00:16:44,720 Speaker 1: the market digesting what is likely to be a deteriorating 303 00:16:44,760 --> 00:16:48,080 Speaker 1: profit outlook, and that really might be the first time 304 00:16:48,320 --> 00:16:53,600 Speaker 1: really since the pandemic erupted that at least when we 305 00:16:53,600 --> 00:16:56,120 Speaker 1: were coming out, you had that huge surgeon earnings off 306 00:16:56,120 --> 00:16:59,720 Speaker 1: the off the lockdown lows. I think we may now 307 00:16:59,760 --> 00:17:04,560 Speaker 1: for first time this quarter befacing estimates and a bar 308 00:17:04,800 --> 00:17:06,800 Speaker 1: that is set a little bit too high. So I 309 00:17:06,800 --> 00:17:09,280 Speaker 1: think that next phases shift to come. But this changed 310 00:17:09,440 --> 00:17:15,200 Speaker 1: liquidity environment really started last year when we saw that 311 00:17:15,400 --> 00:17:19,520 Speaker 1: significant shift in money supply in courtesy of both the 312 00:17:19,560 --> 00:17:22,199 Speaker 1: fiscal side and now the monetary side. Are you starting 313 00:17:22,200 --> 00:17:26,600 Speaker 1: to see evidence at this point that corporate earnings expectations 314 00:17:26,680 --> 00:17:30,240 Speaker 1: are beginning to deterior right now? Yeah. So, if you 315 00:17:30,400 --> 00:17:33,320 Speaker 1: if you go back the last six quarters or so, 316 00:17:33,600 --> 00:17:37,480 Speaker 1: we we had a pretty consistent trend of estimates when 317 00:17:37,520 --> 00:17:40,840 Speaker 1: they were first printed being on the lower side and 318 00:17:40,880 --> 00:17:43,120 Speaker 1: then getting raised. If you look at the three month 319 00:17:43,200 --> 00:17:46,000 Speaker 1: span of time, the final three months of estimates for 320 00:17:46,040 --> 00:17:50,679 Speaker 1: each quarter, for the most part, those had moved higher, 321 00:17:50,720 --> 00:17:53,639 Speaker 1: but for the first quarter or for the second quarter, 322 00:17:54,160 --> 00:17:57,240 Speaker 1: that has actually been coming down. And longer term estimates 323 00:17:57,320 --> 00:18:00,920 Speaker 1: out two to three years have rolled over as well, 324 00:18:00,960 --> 00:18:04,160 Speaker 1: and I think this coming quarter that we're reporting second quarter, 325 00:18:04,200 --> 00:18:07,439 Speaker 1: of course it won't start until July, maybe the first 326 00:18:08,080 --> 00:18:12,240 Speaker 1: real signal of a change in the profit margin's landscape. 327 00:18:12,359 --> 00:18:16,080 Speaker 1: They they've been surprisingly resilient, albeit down from the peak 328 00:18:16,119 --> 00:18:18,800 Speaker 1: of last year. But you're really stacking up the companies 329 00:18:18,880 --> 00:18:23,119 Speaker 1: that are talking about that margin pressure because of imput 330 00:18:23,160 --> 00:18:26,879 Speaker 1: costs obviously inclusive of labor, but also now weaker demand. 331 00:18:27,480 --> 00:18:29,359 Speaker 1: We only have about a minute left here, Lizianne, but 332 00:18:29,400 --> 00:18:31,639 Speaker 1: I want to get your take on this debate playing 333 00:18:31,640 --> 00:18:35,360 Speaker 1: out between JP Morgan's CEO, Jamie Diamond, and his chief 334 00:18:35,400 --> 00:18:38,840 Speaker 1: economist over at JP Morgan about whether an economic hurricane 335 00:18:39,000 --> 00:18:42,080 Speaker 1: is coming. Bruce Cassman, the chief economist, says he doesn't 336 00:18:42,080 --> 00:18:45,159 Speaker 1: see a recession and what's your what's your view on it? So, 337 00:18:45,240 --> 00:18:48,040 Speaker 1: I think anytime you have a FED shift to tightening mode. 338 00:18:48,080 --> 00:18:50,240 Speaker 1: If you just go back in the history of modern 339 00:18:50,320 --> 00:18:53,719 Speaker 1: day FED last thirteen rate hikes cycles, you've had ten recessions, 340 00:18:53,720 --> 00:18:56,480 Speaker 1: three soft landing. So I think just history suggests the 341 00:18:56,520 --> 00:18:59,920 Speaker 1: needle points a little more toward recession, especially when you 342 00:19:00,040 --> 00:19:01,840 Speaker 1: have a FED that's trying to combat afford to your 343 00:19:01,920 --> 00:19:05,000 Speaker 1: higher inflation and as I mentioned, already weak growth in 344 00:19:05,040 --> 00:19:07,920 Speaker 1: the first quarter, so I think a recession is probably 345 00:19:07,960 --> 00:19:10,960 Speaker 1: more likely. Soft landing is possible, but I think the 346 00:19:11,040 --> 00:19:13,560 Speaker 1: supply side of the economy has to do some of 347 00:19:13,600 --> 00:19:17,080 Speaker 1: the work for the FEDS, so continued loosening up on 348 00:19:17,119 --> 00:19:20,040 Speaker 1: the labor market side as well as supply shortages, I 349 00:19:20,040 --> 00:19:22,240 Speaker 1: think that would be the path. But we're we're in 350 00:19:22,240 --> 00:19:25,520 Speaker 1: a storm. But whether hurricane is a little too bombastic, 351 00:19:26,119 --> 00:19:29,040 Speaker 1: time will tell. Thanks as always, Lizzie, great to get 352 00:19:29,080 --> 00:19:32,560 Speaker 1: your thoughts this morning. Liz Ane Saunders, chief investment strategist 353 00:19:32,640 --> 00:19:36,280 Speaker 1: at Charles Schwab. Right now, SNP futures are lower by 354 00:19:36,359 --> 00:19:38,720 Speaker 1: twenty eight points, a drop of seven tenths percent, their 355 00:19:38,760 --> 00:19:42,320 Speaker 1: Dow futures down a hundred nine Nasdaq futures leading the declines, 356 00:19:42,720 --> 00:19:45,399 Speaker 1: down a hundred twelve points for a drop of nine 357 00:19:45,400 --> 00:19:47,920 Speaker 1: tenths of one percent. The ten year Treasury right now 358 00:19:48,000 --> 00:19:50,560 Speaker 1: up six thirty seconds for a yield of three point 359 00:19:50,640 --> 00:19:53,240 Speaker 1: zero one percent, yield on the two year two point 360 00:19:53,320 --> 00:19:56,320 Speaker 1: seven one percent, and i'm x crude is lower by 361 00:19:56,320 --> 00:19:59,240 Speaker 1: two tenths percent and nineteen cents a hundred eighteen dollars 362 00:19:59,680 --> 00:20:02,800 Speaker 1: one for a Barrel of West Texas Intermediate. You're listening 363 00:20:02,880 --> 00:20:09,840 Speaker 1: to Bloomberg Daybreak Bloomberg eleventh three oh weather partly mostly sunny, 364 00:20:09,920 --> 00:20:12,960 Speaker 1: upper seventies today, showers and storms likely tomorrow with a 365 00:20:13,000 --> 00:20:15,880 Speaker 1: high near eighty. Those showers and storms will end during 366 00:20:15,920 --> 00:20:19,760 Speaker 1: the morning Thursday, currently sixty three degrees in Central Park. 367 00:20:22,200 --> 00:20:26,760 Speaker 1: Broadcasting live from the Bloomberg Interactive Broker Studio in New York. 368 00:20:26,880 --> 00:20:29,960 Speaker 1: Bloomberg E living free on to Washington, d C, Bloomberg 369 00:20:30,040 --> 00:20:33,320 Speaker 1: N one to Boston, Bloomberg one O six one to 370 00:20:33,400 --> 00:20:37,120 Speaker 1: San Francisco, Bloomberg N sixty to the Country, Sirius XM 371 00:20:37,200 --> 00:20:40,480 Speaker 1: Gentle one nine and around the bloom the Bloomberg Business 372 00:20:40,480 --> 00:20:45,600 Speaker 1: app and Bloomberg Radio dot Com. This is Bloomberg Daybreak. 373 00:20:50,240 --> 00:20:52,720 Speaker 1: It's six thirty on Wall Street. Good morning, I'm Nathan 374 00:20:52,760 --> 00:20:55,600 Speaker 1: Hagar and I'm faring most hour, just about three hours 375 00:20:55,600 --> 00:20:57,840 Speaker 1: away from the open of U West Trading. It's time 376 00:20:57,840 --> 00:20:59,760 Speaker 1: for the five things that you need to notice start 377 00:20:59,760 --> 00:21:03,399 Speaker 1: your day. Brought to you by Interactive Broker Simple ib K, 378 00:21:03,560 --> 00:21:06,639 Speaker 1: our Global Trader app. Deposit in your local currency and 379 00:21:06,680 --> 00:21:09,280 Speaker 1: trade stocks in the US, Europe and Asia. Start your 380 00:21:09,280 --> 00:21:13,359 Speaker 1: free trial at ib K r dot com slash Global Trader. First, 381 00:21:13,400 --> 00:21:15,960 Speaker 1: the latest on the future of Boris Johnson. The UK 382 00:21:16,080 --> 00:21:19,440 Speaker 1: Prime Minister has managed to cling to power, surviving a 383 00:21:19,560 --> 00:21:23,000 Speaker 1: confidence vote last night. I'm grateful to colleagues. I'm grateful 384 00:21:23,080 --> 00:21:26,760 Speaker 1: for the support they given me. Boris Johnson's leadership was 385 00:21:26,840 --> 00:21:31,080 Speaker 1: uncertain due to scandals and political challenges. The so called pandemic, 386 00:21:31,160 --> 00:21:34,600 Speaker 1: Party Gate events and Downing Street angered citizens, along with 387 00:21:34,600 --> 00:21:37,920 Speaker 1: a cost of living crisis and tax increase. After the result, 388 00:21:38,080 --> 00:21:40,440 Speaker 1: Johnson said it was time to get back to helping 389 00:21:40,480 --> 00:21:44,600 Speaker 1: people in the UK. We have a conclusion to something 390 00:21:44,600 --> 00:21:47,520 Speaker 1: that's been dragging on for far too long, and we 391 00:21:47,600 --> 00:21:50,280 Speaker 1: have the ability not to unite, deliver and get on 392 00:21:50,640 --> 00:21:52,840 Speaker 1: with the people's priorities. And that is what we're gonna do. 393 00:21:53,000 --> 00:21:55,840 Speaker 1: Boris Johnson received two hundred eleven votes in a confidence 394 00:21:55,880 --> 00:21:58,320 Speaker 1: motion and one hundred forty eight against him. All right, 395 00:21:58,359 --> 00:22:00,440 Speaker 1: let's turn to the war in Ukraine now. Karen Russia 396 00:22:00,480 --> 00:22:03,560 Speaker 1: has banned dozens of US officials from entering the country, 397 00:22:03,720 --> 00:22:06,520 Speaker 1: while Ukraine's looking for ways to restart grain exports from 398 00:22:06,560 --> 00:22:09,640 Speaker 1: ports that have been blocked by Russia's military. Treasury Secretary 399 00:22:09,720 --> 00:22:13,000 Speaker 1: Janet Yellen and Blackrock CEO Larry Fink are among those 400 00:22:13,040 --> 00:22:16,040 Speaker 1: now banned from Russia. Back in the US, Nathan, we're 401 00:22:16,040 --> 00:22:19,840 Speaker 1: watching primary races in New Jersey and California today. Crime 402 00:22:19,920 --> 00:22:22,240 Speaker 1: is the focus and the Los Angeles may oral race 403 00:22:22,320 --> 00:22:25,639 Speaker 1: as well as San Francisco's District attorney recall election, and 404 00:22:25,680 --> 00:22:28,639 Speaker 1: there are some tight house races in New Jersey. There 405 00:22:28,680 --> 00:22:31,359 Speaker 1: were also primar race today in five other states. In 406 00:22:31,400 --> 00:22:34,720 Speaker 1: Corporate News, Karen looks like Elon Musk's buyer's remorse isn't 407 00:22:34,720 --> 00:22:36,919 Speaker 1: going to get him out of his deal to buy Twitter. 408 00:22:37,000 --> 00:22:40,440 Speaker 1: Let's get the latest live from Bloomberg's Ranita Young. Good morning, Ranita, 409 00:22:40,480 --> 00:22:43,439 Speaker 1: Good morning, Nathan. Elon Musk is reviving his argument that 410 00:22:43,520 --> 00:22:46,679 Speaker 1: Twitter has a serious bot problem, and he's threatening to 411 00:22:46,720 --> 00:22:49,200 Speaker 1: walk away from the deal if the social media giant 412 00:22:49,280 --> 00:22:51,560 Speaker 1: does not do more to prove that its users are 413 00:22:51,560 --> 00:22:54,879 Speaker 1: real people. But Bloomberg sources say behind the scenes, the 414 00:22:54,920 --> 00:22:58,200 Speaker 1: deal is proceeding and it's possible that Twitter could try 415 00:22:58,240 --> 00:23:01,200 Speaker 1: to sue Musk to complete a deal if he tries 416 00:23:01,240 --> 00:23:03,840 Speaker 1: to walk away. Live in New York, I'm reneed a 417 00:23:03,920 --> 00:23:06,240 Speaker 1: Young Bloomberg Day Break right. Need to thank us and 418 00:23:06,280 --> 00:23:08,760 Speaker 1: p future is down twenty two points this morning. Down 419 00:23:08,760 --> 00:23:11,879 Speaker 1: future is down on two nasty egg futures down at 420 00:23:12,000 --> 00:23:15,280 Speaker 1: nine two ten. Your treasury up six thirty seconds, yield 421 00:23:15,280 --> 00:23:17,440 Speaker 1: three point one percent, the yield on a two year 422 00:23:17,520 --> 00:23:20,840 Speaker 1: two point seven one percent. Niveag screwed oils down three 423 00:23:20,880 --> 00:23:22,760 Speaker 1: towns per cent or thirty five cents at a hundred 424 00:23:22,800 --> 00:23:25,520 Speaker 1: eighteen dollars thirteen cents of barrel. And that's the five 425 00:23:25,560 --> 00:23:27,680 Speaker 1: things that you need to notice start your day. Brought 426 00:23:27,720 --> 00:23:30,600 Speaker 1: to you by interacted brokers. Try to head your latest 427 00:23:30,640 --> 00:23:34,159 Speaker 1: local headlines, plus a check of sports. And this is Bloomberg. 428 00:23:38,160 --> 00:23:40,280 Speaker 1: Thanks caring. At six thirty three on Wall Street, sixty 429 00:23:40,320 --> 00:23:43,240 Speaker 1: four degrees in Central Park, Big problems on the Brooklyn 430 00:23:43,280 --> 00:23:46,000 Speaker 1: bound upper level of the Arizono Bridge. Couple of lanes 431 00:23:46,040 --> 00:23:48,840 Speaker 1: taken out with an accident. We'll get to the details shortly. 432 00:23:48,880 --> 00:23:51,240 Speaker 1: First Michael Barr with what else is going on in 433 00:23:51,280 --> 00:23:53,520 Speaker 1: New York and around the world. Good morning, Michael, Good 434 00:23:53,520 --> 00:23:56,240 Speaker 1: morning Nathan. New York Governor Kavy Ocal signed new gun 435 00:23:56,280 --> 00:23:59,879 Speaker 1: reformed legislation into law three weeks after ten people were 436 00:24:00,040 --> 00:24:02,399 Speaker 1: killed in a mass shooting in a Buffalo supermarket by 437 00:24:02,400 --> 00:24:06,399 Speaker 1: a self proclaimed white supremacist. The bills will include banning 438 00:24:06,480 --> 00:24:08,920 Speaker 1: anyone under the age of twenty one from buying or 439 00:24:08,960 --> 00:24:12,760 Speaker 1: possessing a semi automatic rifle, as well as expanding current 440 00:24:12,920 --> 00:24:15,879 Speaker 1: red flag laws to keep guns out of the hands 441 00:24:16,000 --> 00:24:19,520 Speaker 1: of dangerous people. No eighteen year old can walk it 442 00:24:19,640 --> 00:24:23,280 Speaker 1: on their birthday and walk out with an at Those 443 00:24:23,359 --> 00:24:27,520 Speaker 1: days are over. Those days are over. You hear that 444 00:24:27,760 --> 00:24:32,040 Speaker 1: those days are over. Governor HOCl New York City Mayor 445 00:24:32,160 --> 00:24:35,080 Speaker 1: Eric Adams, who praised the state's new gun laws as 446 00:24:35,119 --> 00:24:38,240 Speaker 1: his city has seen a rash of gun violence, but 447 00:24:38,400 --> 00:24:42,240 Speaker 1: that police have been working to find those responsible. But 448 00:24:42,320 --> 00:24:45,080 Speaker 1: Adams says that more needs to be done to properly 449 00:24:45,160 --> 00:24:48,040 Speaker 1: prosecute the criminals who commit the crimes. If we do 450 00:24:48,080 --> 00:24:51,199 Speaker 1: the rope to get it to the grand jury, to 451 00:24:51,359 --> 00:24:54,600 Speaker 1: get that indictment, to make the arrest, then the other 452 00:24:54,640 --> 00:24:59,040 Speaker 1: team must do their part the course after prosecute me or, 453 00:24:59,080 --> 00:25:01,480 Speaker 1: Adams says, so far are they've taken about three thousand 454 00:25:01,520 --> 00:25:04,919 Speaker 1: guns off the streets. Age limits and red flag laws 455 00:25:04,960 --> 00:25:08,520 Speaker 1: being discussed in Washington as a bipartisan group of senators 456 00:25:08,680 --> 00:25:11,360 Speaker 1: looks for ways to curb the outbreak of gun violence 457 00:25:11,359 --> 00:25:15,600 Speaker 1: in the nation. Democratic Representative Chris Murphy of Connecticut. My 458 00:25:15,720 --> 00:25:18,639 Speaker 1: goal is to reach an agreement by the end of 459 00:25:18,800 --> 00:25:23,200 Speaker 1: the week. We've got more Revolgans and Democrats sitting together 460 00:25:23,240 --> 00:25:26,760 Speaker 1: than ever before since Sandy Hook. What we're talking about 461 00:25:26,880 --> 00:25:31,280 Speaker 1: is substantial um it will save lives. Representative Murphy says 462 00:25:31,280 --> 00:25:34,639 Speaker 1: strengthening background checks is also on the table. The US 463 00:25:34,720 --> 00:25:37,439 Speaker 1: war North Korea of a strong punishment if it conducts 464 00:25:37,440 --> 00:25:41,160 Speaker 1: a nuclear test, Deputy Secretary of State Wendy Sherman said 465 00:25:41,200 --> 00:25:45,400 Speaker 1: in sold in today's meeting. Whether South Korean counterpart any 466 00:25:45,600 --> 00:25:48,920 Speaker 1: nuclear tests would be in complete violation of UN Security 467 00:25:48,960 --> 00:25:54,199 Speaker 1: Council Resolutions UH, there would be a swift and forceful 468 00:25:54,400 --> 00:25:59,240 Speaker 1: response UH to such a test. Deputy Secretary of State Sherman, 469 00:25:59,280 --> 00:26:02,280 Speaker 1: along with a U and watchdog groups, says Pyong Yang 470 00:26:02,400 --> 00:26:06,520 Speaker 1: could soon set off its first atomic device since seen 471 00:26:06,880 --> 00:26:09,280 Speaker 1: Global Neames twenty four hours a day on air and 472 00:26:09,440 --> 00:26:12,680 Speaker 1: on Bloomberg Quick Take, powered by more than twenty seven 473 00:26:12,720 --> 00:26:15,919 Speaker 1: hundred journalists, analysts, more than a hundred twenty countries. Michael 474 00:26:15,920 --> 00:26:23,119 Speaker 1: Barr and this is Bloomberg nith Thank you, Michael. Almost 475 00:26:23,160 --> 00:26:25,600 Speaker 1: six thirty six on Wall Street. John Sash hours back 476 00:26:25,600 --> 00:26:28,040 Speaker 1: with the Bloomberg Sports Update. All Right, Nathan Mets third 477 00:26:28,080 --> 00:26:30,080 Speaker 1: straight win out West after two in l A. They 478 00:26:30,119 --> 00:26:33,520 Speaker 1: won in San Diego eleven to five. Is Eduardo Escobar 479 00:26:33,640 --> 00:26:36,280 Speaker 1: had a two run single to run triple and a 480 00:26:36,320 --> 00:26:40,080 Speaker 1: two run homer. Carlos carrasco ten strikeouts in seven. He's 481 00:26:40,119 --> 00:26:42,360 Speaker 1: now seven and one in The Mets at thirty eight 482 00:26:42,440 --> 00:26:45,000 Speaker 1: and nineteen, have won two thirds of their games. The 483 00:26:45,080 --> 00:26:48,320 Speaker 1: Yankees have won their last six play tonight at Minnesota, 484 00:26:48,400 --> 00:26:51,359 Speaker 1: Battle of a L Division leaders, the Colorado Avalanche will 485 00:26:51,400 --> 00:26:53,800 Speaker 1: play for the Stanley Cup. They have been dominant in 486 00:26:53,840 --> 00:26:57,080 Speaker 1: the West, twelve wins only two losses. They have finished 487 00:26:57,080 --> 00:27:00,240 Speaker 1: the sweep of Edmonton, winning a wild game four, six 488 00:27:00,320 --> 00:27:02,880 Speaker 1: to five on a goal a minute nineteen into overtime. 489 00:27:02,880 --> 00:27:05,040 Speaker 1: They have scored four times in the third period. This 490 00:27:05,080 --> 00:27:07,560 Speaker 1: will be their first Cup final since they won the 491 00:27:07,600 --> 00:27:11,000 Speaker 1: Cup intan thousand one. They will play either the Rangers 492 00:27:11,160 --> 00:27:13,359 Speaker 1: or the light named Tampa Bay just one game three, 493 00:27:13,440 --> 00:27:16,400 Speaker 1: cutting the Ranger lead to two one, and yesterday Rangers 494 00:27:16,440 --> 00:27:19,920 Speaker 1: coach Gerard Galant was looking ahead at tonight's Game four. 495 00:27:19,960 --> 00:27:21,720 Speaker 1: You gotta get ready for one game at a time, 496 00:27:21,720 --> 00:27:24,120 Speaker 1: as I always say, and you Okamo is a huge 497 00:27:24,119 --> 00:27:25,960 Speaker 1: game for us. We gotta compete and we've got a battle. 498 00:27:26,000 --> 00:27:27,720 Speaker 1: We gotta play a little good here than we did 499 00:27:27,800 --> 00:27:30,399 Speaker 1: last game, but there was a lot of good things, 500 00:27:30,440 --> 00:27:33,120 Speaker 1: and you know, keep playing a game, keep working hard, 501 00:27:33,119 --> 00:27:35,600 Speaker 1: and I think I said it's two two words, three one. 502 00:27:35,640 --> 00:27:37,680 Speaker 1: So let's see where it goes. And the Rangers win 503 00:27:37,800 --> 00:27:39,960 Speaker 1: on the road in the playoffs. There eight and one 504 00:27:39,960 --> 00:27:42,640 Speaker 1: at home, but they're just two and six away from 505 00:27:42,640 --> 00:27:44,960 Speaker 1: the Garden super Bowl champion l A. Rams have locked 506 00:27:45,040 --> 00:27:48,000 Speaker 1: up their star on defense a rework deal with with 507 00:27:48,119 --> 00:27:51,840 Speaker 1: Aaron Donald Whare. He's guaranteed ninety five million dollars over 508 00:27:51,880 --> 00:27:55,040 Speaker 1: the next three years. That's the most for any non quarterback. 509 00:27:55,440 --> 00:27:58,359 Speaker 1: John stash Award Bloomberg Sports Nathan all Right, John, thanks 510 00:27:58,359 --> 00:28:00,560 Speaker 1: sixty seven on Wall Street not to take a look 511 00:28:00,600 --> 00:28:02,959 Speaker 1: at stock some of the names moving in the pre market. 512 00:28:03,000 --> 00:28:06,640 Speaker 1: On this risk Off Tuesday, We're joined by Bloomberg Radio 513 00:28:06,640 --> 00:28:09,720 Speaker 1: on TV Markets correspondent Crety Gupta. You know, Creaman been 514 00:28:09,760 --> 00:28:13,960 Speaker 1: talking a lot this morning about the buyout drama between 515 00:28:14,040 --> 00:28:16,280 Speaker 1: Elon Musk and Twitter. But that's not the only M 516 00:28:16,280 --> 00:28:18,280 Speaker 1: and A story going on this morning. It's not the 517 00:28:18,320 --> 00:28:21,639 Speaker 1: only M and A story who thought things could go uh, 518 00:28:21,680 --> 00:28:24,639 Speaker 1: perhaps swimmingly outside of them in the M and A space. 519 00:28:24,720 --> 00:28:28,080 Speaker 1: Outside of Twitter, there are other companies out there that 520 00:28:28,119 --> 00:28:29,960 Speaker 1: could be bought. And of course that brings me to 521 00:28:30,040 --> 00:28:32,840 Speaker 1: our first stock mover this morning, of course, is Cole's 522 00:28:32,920 --> 00:28:36,560 Speaker 1: k s S is your ticker up twelve percent, the 523 00:28:36,560 --> 00:28:39,840 Speaker 1: company holding exclusive talks with Franchise Group regarding a deal 524 00:28:39,880 --> 00:28:42,560 Speaker 1: that would value the retail chain. I get this eight 525 00:28:42,640 --> 00:28:45,840 Speaker 1: billion dollars. They're going through an exclusivity period to discuss 526 00:28:45,880 --> 00:28:50,240 Speaker 1: Franchise's Group offer to buy Coals for sixty dollars a share. Now, 527 00:28:50,640 --> 00:28:53,160 Speaker 1: I'm glad that you mentioned the Twitter and Tesla deal, Nathan, 528 00:28:53,240 --> 00:28:56,200 Speaker 1: because one of the big issues with that deal is 529 00:28:56,320 --> 00:28:58,600 Speaker 1: when it comes to an investing story and the stock 530 00:28:58,600 --> 00:29:02,000 Speaker 1: price story, is the deal premium that is so far 531 00:29:02,080 --> 00:29:06,360 Speaker 1: away from the offer price of from Elon Musk, and 532 00:29:06,360 --> 00:29:10,840 Speaker 1: Twitter shares just haven't even hit that. Even when exactly 533 00:29:10,960 --> 00:29:14,240 Speaker 1: when Elon Musk was further even closer, was far more 534 00:29:14,320 --> 00:29:16,760 Speaker 1: driven to buy this deal order to buy this company 535 00:29:16,760 --> 00:29:18,800 Speaker 1: and to go through with the deal. That deal premium 536 00:29:18,800 --> 00:29:20,360 Speaker 1: has since widen and widen, and I think we're looking 537 00:29:20,400 --> 00:29:23,480 Speaker 1: at a thirty eight handle on on Twitter shares. It's 538 00:29:23,520 --> 00:29:25,720 Speaker 1: interesting to look at coal shares as well because k 539 00:29:26,040 --> 00:29:29,200 Speaker 1: s S is at twenty at least in the pre 540 00:29:29,280 --> 00:29:31,880 Speaker 1: market here, and that's after a twelve percent game, So 541 00:29:31,920 --> 00:29:34,640 Speaker 1: it'll be interesting to see whether these shares. Remember, this 542 00:29:34,640 --> 00:29:36,360 Speaker 1: is a very normal thing for people to do in 543 00:29:36,400 --> 00:29:38,800 Speaker 1: an M and A deal, find that risk arbitrage and 544 00:29:38,880 --> 00:29:42,520 Speaker 1: get it closer and closer and closer to that offer price. 545 00:29:42,560 --> 00:29:45,000 Speaker 1: So keep an eye on where the shares are, not 546 00:29:45,080 --> 00:29:47,800 Speaker 1: just how much they're moving, because the closer you see 547 00:29:47,800 --> 00:29:50,720 Speaker 1: those shares get to sixty dollars a share, the more 548 00:29:50,760 --> 00:29:52,880 Speaker 1: believability there is in the market that this deal is 549 00:29:52,880 --> 00:29:55,800 Speaker 1: actually going to go through. Another really interesting stuck on 550 00:29:55,840 --> 00:30:01,360 Speaker 1: your list created analysts are giving Peloton another look. It's 551 00:30:01,440 --> 00:30:03,840 Speaker 1: all about management, you know. One of the big pieces 552 00:30:03,840 --> 00:30:05,640 Speaker 1: of career advice I got Nathan was make sure you 553 00:30:05,680 --> 00:30:07,480 Speaker 1: have a very good manager. I'm very lucky to have 554 00:30:07,520 --> 00:30:10,000 Speaker 1: a very good manager. But I think, as are we 555 00:30:10,160 --> 00:30:13,000 Speaker 1: all kissing up. Kissing up to the management are the 556 00:30:13,760 --> 00:30:16,120 Speaker 1: first thing in the morning. But it's the same dynamic 557 00:30:16,120 --> 00:30:18,160 Speaker 1: when it goes to Peloton Chairs Here. P t O 558 00:30:18,320 --> 00:30:20,040 Speaker 1: n is your taker. It's up about six tenths of 559 00:30:20,080 --> 00:30:22,800 Speaker 1: a percent. This comes after the former vice president of 560 00:30:22,920 --> 00:30:25,920 Speaker 1: Amazon Web Services, Liz and I'm gonna butcher this name, 561 00:30:25,960 --> 00:30:28,960 Speaker 1: but cotting Thomas. I want to say, is quote well 562 00:30:29,040 --> 00:30:32,680 Speaker 1: positioned to help Peloton and its next stage of growing subscribers, 563 00:30:32,720 --> 00:30:34,840 Speaker 1: at least as according to City. This is after the 564 00:30:34,880 --> 00:30:39,280 Speaker 1: exercise machine maker appointed her. The Coddington appointed Cottington the 565 00:30:39,320 --> 00:30:42,280 Speaker 1: CFO of Peloton. So they're saying, you know, we believe 566 00:30:42,320 --> 00:30:44,000 Speaker 1: in her, we think that she can help. Of course, 567 00:30:44,000 --> 00:30:46,520 Speaker 1: we know Peloton could use the help given of the 568 00:30:46,560 --> 00:30:49,560 Speaker 1: decline in sales. Yeah, certainly. Bloomberg Radio on TV markets 569 00:30:49,600 --> 00:30:52,520 Speaker 1: correspondent Creedy Gupta taking a look at some of the 570 00:30:52,560 --> 00:30:55,000 Speaker 1: movers in the pre market and taking a look at 571 00:30:55,040 --> 00:30:57,360 Speaker 1: stocks as a whole ahead of this Tuesday morning open. 572 00:30:57,760 --> 00:31:00,680 Speaker 1: They're moving lower with SMP futures down down nineteen point, 573 00:31:00,720 --> 00:31:03,600 Speaker 1: Staff futures down a hundred thirty eight, NASTAC futures down 574 00:31:04,000 --> 00:31:07,240 Speaker 1: eighty three points, and the tenure treasury right now up 575 00:31:07,560 --> 00:31:10,440 Speaker 1: six thirty seconds for yield of three point zero one 576 00:31:10,960 --> 00:31:15,600 Speaker 1: yield on the two year two point seven one. You're 577 00:31:15,680 --> 00:31:24,200 Speaker 1: listening to Bloomberg Daybreak, Bloomber eleven three oh weather sunshine 578 00:31:24,240 --> 00:31:27,160 Speaker 1: up for seventies today, Showers and storms tomorrow with a 579 00:31:27,240 --> 00:31:30,560 Speaker 1: high near eighty degrees. Those storms will end during Thursday morning. 580 00:31:30,560 --> 00:31:33,320 Speaker 1: It will stay near eighty though currently sixty four in 581 00:31:33,320 --> 00:31:40,200 Speaker 1: Central Park Markets. Headlines and breaking news twenty four hours 582 00:31:40,200 --> 00:31:43,480 Speaker 1: a day at Bloomberg dot com, The Bloomberg Business Outland 583 00:31:43,520 --> 00:31:52,680 Speaker 1: at Bloomberg Quicktape. This is a Bloomberg business flash and 584 00:31:52,720 --> 00:31:55,720 Speaker 1: I'm caring Moscow. This update brought to you by Informatica 585 00:31:55,800 --> 00:31:57,720 Speaker 1: and the Cloud. Your data has the power to do 586 00:31:57,760 --> 00:32:01,120 Speaker 1: the extraordinary. Managed data across any location in the cloud 587 00:32:01,120 --> 00:32:05,760 Speaker 1: for accurate and actionable insights. More at Informatica dot com. 588 00:32:05,840 --> 00:32:09,280 Speaker 1: European stocks are falling this morning, along with US stock 589 00:32:09,320 --> 00:32:12,960 Speaker 1: index futures, as central banks set on tidening policy fan 590 00:32:13,120 --> 00:32:15,760 Speaker 1: growth fears. We check the markets every fifteen minutes throughout 591 00:32:15,760 --> 00:32:18,880 Speaker 1: the trading day. On Bloomberg, s and P futures are 592 00:32:18,880 --> 00:32:21,800 Speaker 1: down twenty points down, futures down a hundred forty five 593 00:32:22,200 --> 00:32:24,480 Speaker 1: and as day futures down eighty eight. The decks in 594 00:32:24,520 --> 00:32:27,480 Speaker 1: Germany's down nine tenths of a percent. Ten year treasury 595 00:32:27,480 --> 00:32:29,880 Speaker 1: of five thirty seconds yield three point one percent, the 596 00:32:30,000 --> 00:32:32,320 Speaker 1: yield down the two year two point seven one percent. 597 00:32:32,840 --> 00:32:36,680 Speaker 1: Ni Max screwed oil is little change now down well 598 00:32:36,720 --> 00:32:38,560 Speaker 1: down a tenth of a percent, down ten cents at 599 00:32:38,560 --> 00:32:41,280 Speaker 1: a hundred eighteen dollars, thirty nine cents of barrel comex 600 00:32:41,360 --> 00:32:43,880 Speaker 1: gold up half percent or nine dollars at eighteen fifty 601 00:32:43,880 --> 00:32:47,160 Speaker 1: two seventy an ounce. The Euro one point six eight 602 00:32:47,240 --> 00:32:49,640 Speaker 1: zero against the dollar British found one point to five 603 00:32:49,680 --> 00:32:52,200 Speaker 1: one four and the one thirty two point seven one. 604 00:32:52,560 --> 00:32:55,200 Speaker 1: And we're watching bitcoin down five point eight percent at 605 00:32:55,200 --> 00:32:58,720 Speaker 1: twenty nine thousand, six hundred dollars. That's a bloomberg business flash. 606 00:32:58,720 --> 00:33:00,840 Speaker 1: Now here's Michael Barr with UR on what's going on 607 00:33:00,880 --> 00:33:04,720 Speaker 1: around the world. Michael Karen, thank you very much. Bipartisan 608 00:33:04,760 --> 00:33:09,080 Speaker 1: group of Senators. As new nationwide gun legislation could come 609 00:33:09,120 --> 00:33:11,440 Speaker 1: by the end of the week. It would likely center 610 00:33:11,480 --> 00:33:15,480 Speaker 1: around a proposal that includes enhanced background checks. British Prime 611 00:33:15,480 --> 00:33:18,880 Speaker 1: Minister Boris Johnson survived a no confidence vote, securing enough 612 00:33:18,920 --> 00:33:22,760 Speaker 1: support from his Conservative party to remain in office. Johnson 613 00:33:22,800 --> 00:33:25,840 Speaker 1: faced revelations that he held parties that flouted the COVID 614 00:33:25,880 --> 00:33:29,680 Speaker 1: nineteen restrictions in the NHL playoffs. The Avalanche beat the 615 00:33:29,680 --> 00:33:33,160 Speaker 1: Oilers who advanced with the Stanley Cup Final. Colorado will 616 00:33:33,240 --> 00:33:37,000 Speaker 1: face the Rangers or the Lightning, who play Game four tonight. 617 00:33:37,640 --> 00:33:40,920 Speaker 1: In baseball, The Medicine red Sox one Global News twenty 618 00:33:40,920 --> 00:33:43,960 Speaker 1: four hours a day on air and on Bloomberg Quick Take, 619 00:33:44,240 --> 00:33:47,560 Speaker 1: powered by more than journalist and analysts more than a 620 00:33:47,640 --> 00:33:51,880 Speaker 1: hundred twenty countries. Michael Barr and this is Bloomberg. Karen right, Michael, 621 00:33:51,880 --> 00:33:54,800 Speaker 1: thank you. While it is sixty nine on Wall Street, 622 00:33:54,840 --> 00:33:57,040 Speaker 1: we turned to news in science and technology now with 623 00:33:57,080 --> 00:34:00,440 Speaker 1: a Bloomberg and j I T STEM report to you buy. 624 00:34:00,480 --> 00:34:03,400 Speaker 1: New Jersey Institute of Technology, a ranked top fifty national 625 00:34:03,440 --> 00:34:06,720 Speaker 1: public university by US News and World Report and number 626 00:34:06,800 --> 00:34:10,399 Speaker 1: fourteen in the nation on Money's Best Colleges list. Learn 627 00:34:10,440 --> 00:34:12,320 Speaker 1: more at n j I T DOT E d U. 628 00:34:12,760 --> 00:34:15,520 Speaker 1: You know, here's just making news in science, technology, engineering 629 00:34:15,520 --> 00:34:18,480 Speaker 1: and math. The Treasury Department says five D eighty three 630 00:34:18,520 --> 00:34:21,440 Speaker 1: million dollars in funding will flow a broadband projects to 631 00:34:21,440 --> 00:34:25,320 Speaker 1: connect more than two hundred thousand homes and businesses in Virginia, 632 00:34:25,360 --> 00:34:28,839 Speaker 1: West Virginia, Louisiana, and New Hampshire. The funds are from 633 00:34:28,880 --> 00:34:31,799 Speaker 1: the ten billion dollar portion of the American Rescue Plan. 634 00:34:32,080 --> 00:34:35,839 Speaker 1: Another sixty five billion comes from the bipartisan Infrastructure Law. 635 00:34:36,520 --> 00:34:40,320 Speaker 1: Hong Kong will not tighten coronavirus restrictions before the city's 636 00:34:40,400 --> 00:34:44,840 Speaker 1: July first handover anniversary. That's according to Chief Executive Kerry Lamb. 637 00:34:45,120 --> 00:34:48,319 Speaker 1: There's been speculation that China's President Jis and Paying might 638 00:34:48,360 --> 00:34:51,960 Speaker 1: attend the celebrations. Hong Kong's COVID cases have been rising 639 00:34:52,000 --> 00:34:55,360 Speaker 1: since the city began rolling back social distancing curbs and 640 00:34:55,440 --> 00:34:59,000 Speaker 1: autonom as driving technologies are becoming more common in China 641 00:34:59,280 --> 00:35:02,120 Speaker 1: as self driving developers look to deploy a range of 642 00:35:02,160 --> 00:35:06,080 Speaker 1: systems and their vehicles. Bloomberg any F expects the share 643 00:35:06,120 --> 00:35:08,920 Speaker 1: of sales of passenger vehicles at level to automation in 644 00:35:09,000 --> 00:35:14,000 Speaker 1: China to jump from thirty five percent in twenty Level 645 00:35:14,000 --> 00:35:17,360 Speaker 1: two cars are partially autonomous, but the driver still controls 646 00:35:17,360 --> 00:35:19,759 Speaker 1: the vehicle and as the Bloomberg n j I T 647 00:35:20,040 --> 00:35:22,960 Speaker 1: STEM report. Nathan all right, Karen, thank you. We are 648 00:35:23,040 --> 00:35:25,719 Speaker 1: live from the Bloomberg Interactive Brokers studios, where it's six 649 00:35:25,760 --> 00:35:28,080 Speaker 1: fifty on Wall Street time now to check what's going 650 00:35:28,080 --> 00:35:29,920 Speaker 1: on in BC. Some of the top stories in our 651 00:35:30,000 --> 00:35:33,920 Speaker 1: nation's capital include California and New Jersey. Leading a busy 652 00:35:33,960 --> 00:35:38,120 Speaker 1: primary election day from coast to coast, Republican John Cornyn 653 00:35:38,280 --> 00:35:41,320 Speaker 1: drawing a line on a gun compromise coming out of 654 00:35:41,360 --> 00:35:44,680 Speaker 1: Senate negotiations, and the January six Committee in the House 655 00:35:44,680 --> 00:35:47,759 Speaker 1: facing a high bar as hearings gets set for prime time. 656 00:35:47,920 --> 00:35:50,799 Speaker 1: Let's bring back Bloomberg government reporter Jack Fitzpatrick for a 657 00:35:50,800 --> 00:35:53,920 Speaker 1: look at more on all these stories. Jack, it is 658 00:35:53,960 --> 00:35:58,120 Speaker 1: a very busy primary day, seven states heading to the polls. 659 00:35:58,719 --> 00:36:01,239 Speaker 1: What races should we be keeping an I on? Oh, 660 00:36:01,280 --> 00:36:04,120 Speaker 1: there are a ton of interesting ones. I I think 661 00:36:04,200 --> 00:36:07,680 Speaker 1: one of the ones I'm most interested in in California 662 00:36:07,960 --> 00:36:13,080 Speaker 1: is probably David Valladio, one of only six Republicans in 663 00:36:13,080 --> 00:36:16,239 Speaker 1: the House to vote to impeach Trump. Uh. He does 664 00:36:16,360 --> 00:36:20,200 Speaker 1: face a couple different Republican challengers in his primary, but 665 00:36:20,280 --> 00:36:24,240 Speaker 1: interestingly enough, there hasn't been a really vocal push from 666 00:36:24,920 --> 00:36:27,719 Speaker 1: the former president to take on Valadeo. This is a 667 00:36:27,760 --> 00:36:32,080 Speaker 1: district that really leans toward Democrats, but this moderate Republican 668 00:36:32,120 --> 00:36:34,560 Speaker 1: has managed to win their UH so to see if 669 00:36:34,600 --> 00:36:37,520 Speaker 1: he can thread the needle, and managed to win the 670 00:36:37,520 --> 00:36:41,759 Speaker 1: primary and then also win in the general in a 671 00:36:41,760 --> 00:36:45,640 Speaker 1: tough environment. Obviously a better environment for Republicans this year. Uh. 672 00:36:45,680 --> 00:36:49,160 Speaker 1: That's that's one of certainly one of the the compelling 673 00:36:49,200 --> 00:36:53,439 Speaker 1: ones coming up today. And speaking of Republican challenges, we've 674 00:36:53,440 --> 00:36:56,839 Speaker 1: got a lot of Republicans running in races in New 675 00:36:56,920 --> 00:37:02,120 Speaker 1: Jersey following election last year where Democrats kind of barely 676 00:37:02,239 --> 00:37:05,320 Speaker 1: squeaked by. Yeah, there are a couple of different districts 677 00:37:05,760 --> 00:37:10,000 Speaker 1: where Democrats in New Jersey have one in tough districts. Uh, 678 00:37:10,080 --> 00:37:14,520 Speaker 1: Tom Malanowski and Josh Gottheimer are people to keep an 679 00:37:14,520 --> 00:37:19,920 Speaker 1: eye on. They've Gottheimer has two different Republicans seeking to 680 00:37:20,719 --> 00:37:23,000 Speaker 1: challenge him, So we'll see who wins it. Maybe a 681 00:37:23,040 --> 00:37:25,319 Speaker 1: rematch against the person he beat last time. It could 682 00:37:25,320 --> 00:37:29,080 Speaker 1: be a newcomer, the Marine Corps veteran, Uh. Malanowski is 683 00:37:29,120 --> 00:37:33,360 Speaker 1: going to get a rematch Andy Kim another fairly moderate 684 00:37:33,440 --> 00:37:37,239 Speaker 1: district in South Jersey that was won by a Democrat, 685 00:37:37,680 --> 00:37:41,520 Speaker 1: but again two is looking much better for Republicans than 686 00:37:42,080 --> 00:37:46,320 Speaker 1: was or of course, so there there are a number 687 00:37:46,360 --> 00:37:50,040 Speaker 1: of moderate Democrats uh in in districts that are at 688 00:37:50,120 --> 00:37:53,040 Speaker 1: least partly new after redistricting that could have a real 689 00:37:53,160 --> 00:37:55,840 Speaker 1: challenge as we get toward the general election. What's the 690 00:37:55,880 --> 00:37:59,760 Speaker 1: flavor of some of these Republican primaries that you're watching. 691 00:37:59,760 --> 00:38:05,359 Speaker 1: Are you seeing the quote unquote establishment Republicans doing well 692 00:38:05,360 --> 00:38:07,680 Speaker 1: in some of these races, are or are some of 693 00:38:07,680 --> 00:38:11,839 Speaker 1: the more populous swing of the GOP doing well. I 694 00:38:11,880 --> 00:38:15,720 Speaker 1: think we're at the point where the Trump aligned portion 695 00:38:15,800 --> 00:38:20,160 Speaker 1: of the Republican Party really is the establishment. Now. Uh, 696 00:38:20,200 --> 00:38:25,200 Speaker 1: there are some interesting clashes, you know, if I if 697 00:38:25,239 --> 00:38:29,240 Speaker 1: I look to for example, Young Kim the Republican looking 698 00:38:29,280 --> 00:38:34,000 Speaker 1: for a second term in California, Uh, in it basically 699 00:38:34,000 --> 00:38:37,759 Speaker 1: a swing district, probably leaning toward Democrats in most years. 700 00:38:37,800 --> 00:38:41,239 Speaker 1: She's got a challenger running to her right. Uh that 701 00:38:41,640 --> 00:38:44,319 Speaker 1: Democrats hope wins because it would make it easier for 702 00:38:44,360 --> 00:38:49,040 Speaker 1: the Democrat to unseat that currently Republican held field. So 703 00:38:49,120 --> 00:38:53,280 Speaker 1: there are there are some Republican battles between moderates and 704 00:38:53,280 --> 00:38:56,360 Speaker 1: and more conservative members, but for the most part, you 705 00:38:56,440 --> 00:39:00,480 Speaker 1: don't see a massive number of Republicans who are what 706 00:39:00,520 --> 00:39:03,360 Speaker 1: you'd call anti Trump. That's why Valideo is one of 707 00:39:03,360 --> 00:39:05,719 Speaker 1: the really interesting people to watch because he's one of 708 00:39:05,719 --> 00:39:08,399 Speaker 1: the few who actually voted to impeach him uh and 709 00:39:08,640 --> 00:39:11,560 Speaker 1: is in office and still running all right, so we'll 710 00:39:11,560 --> 00:39:14,280 Speaker 1: be keeping an eye on Primary day throughout the day. 711 00:39:14,360 --> 00:39:18,399 Speaker 1: Let's move on to the gun negotiations still ongoing in 712 00:39:18,440 --> 00:39:22,720 Speaker 1: the Senate. The lead Republican negotiator looks like he's drawing 713 00:39:22,719 --> 00:39:26,440 Speaker 1: a line here, Jack. Well, yeah, John Cornyn from Texas 714 00:39:26,520 --> 00:39:29,240 Speaker 1: has kind of been deputized to be the lead Republican 715 00:39:29,280 --> 00:39:31,799 Speaker 1: negotiator on this. He's drawn a couple of different lines. 716 00:39:31,840 --> 00:39:34,879 Speaker 1: He's talked quite a bit about how he wants this 717 00:39:35,040 --> 00:39:39,240 Speaker 1: to focus on people with a criminal history or mental 718 00:39:39,280 --> 00:39:44,080 Speaker 1: health issues that could justify taking guns away, focus on 719 00:39:44,160 --> 00:39:47,759 Speaker 1: background checks. Uh. There does not seem to be the 720 00:39:47,800 --> 00:39:51,640 Speaker 1: appetite to, for example, raise the age of purchases to 721 00:39:51,760 --> 00:39:55,600 Speaker 1: twenty one, even on semi automatic weapons, which has a 722 00:39:55,719 --> 00:39:57,759 Speaker 1: there's a bill that the House Democrats are planning to 723 00:39:57,800 --> 00:39:59,640 Speaker 1: take up that would do that doesn't seem to have 724 00:39:59,719 --> 00:40:01,920 Speaker 1: much of a chains in the Senate because of that. Uh. 725 00:40:02,040 --> 00:40:05,360 Speaker 1: Cornin has also said that good legislating takes some time, 726 00:40:05,440 --> 00:40:07,799 Speaker 1: so there's a bit of pushback to the idea of 727 00:40:07,840 --> 00:40:11,319 Speaker 1: getting a deal this week. So both process in terms 728 00:40:11,320 --> 00:40:14,600 Speaker 1: of the timing and the scope of the bill. Republicans 729 00:40:14,680 --> 00:40:17,879 Speaker 1: are pushing for some limits. It would be a small bill, 730 00:40:17,960 --> 00:40:19,840 Speaker 1: and it does not sound like a deal is imminent 731 00:40:19,960 --> 00:40:24,280 Speaker 1: right now. And finally, Jack, the House January six Committee 732 00:40:24,320 --> 00:40:28,640 Speaker 1: is getting ready for those prime time public hearings. I 733 00:40:28,680 --> 00:40:31,680 Speaker 1: guess the question now is how much of a spotlight 734 00:40:32,120 --> 00:40:36,120 Speaker 1: well these hearings have given, how fractured the electorate is 735 00:40:36,200 --> 00:40:39,520 Speaker 1: right now? Yeah, it's it's interesting that this hearing, the 736 00:40:39,880 --> 00:40:42,400 Speaker 1: public hearing is going to be Thursday at eight o'clock. 737 00:40:42,520 --> 00:40:45,759 Speaker 1: They really are going for prime time. Uh. And there 738 00:40:45,880 --> 00:40:50,040 Speaker 1: is some concern among Democrats that there's a possibility that 739 00:40:50,080 --> 00:40:54,640 Speaker 1: they lay out their evidence and show how significant uh 740 00:40:54,640 --> 00:40:58,200 Speaker 1: this this was on January six, and show any level 741 00:40:58,200 --> 00:41:01,880 Speaker 1: of organization that may have occurred. But but maybe the 742 00:41:01,920 --> 00:41:05,200 Speaker 1: public is just not totally focused on that. There's so 743 00:41:05,239 --> 00:41:09,680 Speaker 1: many other issues. Uh, the inflation is dominating people's concerns 744 00:41:10,080 --> 00:41:13,360 Speaker 1: of a variety of crises. You've got Ukraine and Russia 745 00:41:13,400 --> 00:41:16,239 Speaker 1: and the news the baby formula shortage. Congress has been 746 00:41:16,320 --> 00:41:18,680 Speaker 1: very busy doing a lot of different things, and it's 747 00:41:18,719 --> 00:41:22,880 Speaker 1: hard to say, uh, necessarily that a look back to 748 00:41:23,040 --> 00:41:28,799 Speaker 1: January six would capture everybody's attention, even if if there's 749 00:41:28,920 --> 00:41:33,320 Speaker 1: very compelling issues brought forth. All Right, Bloomberg government reporter 750 00:41:33,440 --> 00:41:38,000 Speaker 1: Jack Fitzpatrick with us from our Bloomberg studios in Washington, 751 00:41:38,120 --> 00:41:40,279 Speaker 1: d C. You can read much more about all these 752 00:41:40,320 --> 00:41:43,400 Speaker 1: stories on Bloomberg dot com or on the Bloomberg terminal, 753 00:41:43,640 --> 00:41:45,440 Speaker 1: and as a reminder, you can follow all the latest 754 00:41:45,480 --> 00:41:49,719 Speaker 1: on Bloomberg Radio in Washington by tuning into Bloomberg one 755 00:41:50,120 --> 00:41:53,080 Speaker 1: and one oh five point seven FM h D two. 756 00:41:53,719 --> 00:41:57,759 Speaker 1: Focus for markets this morning is on inflation risk and 757 00:41:57,800 --> 00:42:02,200 Speaker 1: the risk of central bank tightening potentially triggering a growth slowdown, 758 00:42:02,239 --> 00:42:04,919 Speaker 1: if not a recession. We've got SMP futures right now 759 00:42:05,200 --> 00:42:08,080 Speaker 1: moving lower by nineteen points, now futures down a hundred 760 00:42:08,120 --> 00:42:12,000 Speaker 1: thirty nine. NAZDAC futures are lower this morning by eighty points. 761 00:42:12,000 --> 00:42:15,319 Speaker 1: That's a drop of six tenths percent. Deeper losses overseas. 762 00:42:15,320 --> 00:42:17,799 Speaker 1: The decks in Germany's down nine tenths percent, the cap 763 00:42:17,880 --> 00:42:20,920 Speaker 1: in Paris down by three quarters of one percent. Tenure 764 00:42:20,920 --> 00:42:23,160 Speaker 1: Treasury is up for thirty seconds for a yield of 765 00:42:23,200 --> 00:42:25,440 Speaker 1: three point zero two percent yield on the two year 766 00:42:25,560 --> 00:42:29,240 Speaker 1: two point seven two percent. NIMEX crude is little change, 767 00:42:29,280 --> 00:42:32,040 Speaker 1: down a penny a hundred eighteen dollars forty nine cents 768 00:42:32,040 --> 00:42:34,920 Speaker 1: for a barrel of West Texas intermediate comes gold is 769 00:42:35,000 --> 00:42:38,000 Speaker 1: higher by six tenths percent ten dollars ten cent gain 770 00:42:38,360 --> 00:42:42,040 Speaker 1: at eighteen fifty three eighty announce Bloomberg Surveillance is next 771 00:42:42,160 --> 00:42:46,480 Speaker 1: with Tom King, Jonathan Faroe, and Lisa Abramowitz for Karen Moscow. 772 00:42:46,760 --> 00:42:49,239 Speaker 1: I'm Nathan Hagar. This is Bloomberg.