WEBVTT - Foreign Companies From Shell to Daimler Abandon Russia 0:00:01.800 --> 0:00:04.440 This is Bloomberg Business Week. I'm Carol Masser and I'm 0:00:04.480 --> 0:00:07.280 Bloomberg Quick Takes Tim Stanovik. We're here every day bringing 0:00:07.320 --> 0:00:09.840 you the latest news from the world to business and finance, 0:00:09.840 --> 0:00:13.640 clus technology, politics, economics, all purtnising the power of Business 0:00:13.680 --> 0:00:17.159 Week reporters and editors, not to mention our journalists and 0:00:17.160 --> 0:00:20.000 analyst in more than one twenty countries. You can download 0:00:20.000 --> 0:00:23.239 Bloomberg Business Week and iTunes, SoundCloud, or Bloomberg dot Com. 0:00:23.400 --> 0:00:25.200 You can also listen to our radio show at two 0:00:25.200 --> 0:00:27.760 pm Eastern Time on the Bloomberg Radio or watch us 0:00:27.760 --> 0:00:32.120 on YouTube. Search Bloomberg clovel News. So among our most 0:00:32.159 --> 0:00:35.519 read on the Bloomberg A mass exodus is underway as 0:00:35.560 --> 0:00:39.040 foreign companies from Shell to Dame Lair, Dame LERK. Excuse me, Tim, 0:00:39.120 --> 0:00:41.839 they are running away from Russia. Yeah. This story by 0:00:41.880 --> 0:00:45.600 Stephanie Baker, edited by Ethan Browner, Senior editor at Bloomberg News. 0:00:45.800 --> 0:00:48.560 Ethan joins us now on the phone from New York City. 0:00:48.600 --> 0:00:50.919 Ethan Carroll mentioned some of the companies the list, though 0:00:50.920 --> 0:00:54.120 it continues to go on. It includes payment processors UH 0:00:54.320 --> 0:00:57.800 credit card companies, for example. In addition to that general motors. 0:00:58.320 --> 0:01:02.400 How would you characterize the way that American and multinational 0:01:02.440 --> 0:01:06.880 companies have exited their Russian businesses in recent days. Well, 0:01:06.920 --> 0:01:09.880 it's been absolutely a rush for the exits, so I mean. 0:01:09.920 --> 0:01:12.640 And it's such a specific sort of reversal of what 0:01:12.760 --> 0:01:15.440 happened thirty years ago when the Yo Silva Union fell 0:01:15.480 --> 0:01:20.000 apart and everybody saw an incredible new market of consumers 0:01:20.080 --> 0:01:24.399 and potential h joint ventures on oil and minerals and 0:01:24.440 --> 0:01:27.920 so forth. So there's a huge numbers amount of companies 0:01:27.920 --> 0:01:30.960 that have gone in over these thirty years, and suddenly, 0:01:31.200 --> 0:01:35.360 between the sanctions and their own anger at what's going 0:01:35.400 --> 0:01:38.600 on and their inability to get around swift and other things, 0:01:39.160 --> 0:01:43.640 they are either shutting down or actually abandoning deals that 0:01:43.720 --> 0:01:46.520 they've had. But not every company, as Stephanie points out 0:01:46.560 --> 0:01:50.360 in her piece, Mackenzie and Company was one that really 0:01:50.400 --> 0:01:53.480 caught my eye. The global managing partner took to LinkedIn 0:01:53.560 --> 0:01:56.280 on Sunday to condemn the Russian invasion of Ukraine and 0:01:56.320 --> 0:01:58.280 declare that the firm will no longer do business with 0:01:58.280 --> 0:02:00.960 any government entity in Russia. But the company is not 0:02:01.080 --> 0:02:04.400 pulling out what's the distinction here? Oh? Yes, of course, 0:02:04.400 --> 0:02:06.680 there's an important distinction, and you're quite right. The story 0:02:06.760 --> 0:02:08.800 does note that there are a bunch of companies that 0:02:08.840 --> 0:02:10.880 are trying to sort of keep their head down, shall 0:02:11.000 --> 0:02:13.880 we say, and mckensey is one of them. Obviously, the 0:02:14.320 --> 0:02:18.799 heads of mckensey rejected that this wasn't sufficient, but internally 0:02:18.840 --> 0:02:21.160 and externally they've gotten a lot of complaints. And you 0:02:21.160 --> 0:02:24.400 know that's true of a bunch of other companies too. Um. 0:02:24.480 --> 0:02:28.560 And some companies are more worried about slowing down or 0:02:28.600 --> 0:02:33.680 stomping in Ukraine obviously legitimately worried about their their staff 0:02:33.720 --> 0:02:35.919 and the safety and so forth, but they haven't necessarily 0:02:35.919 --> 0:02:38.280 said anything about what they're doing in Russia. So you're right. 0:02:38.400 --> 0:02:42.360 It is across the board a range of activities, a 0:02:42.440 --> 0:02:44.880 bunch of pulling out, a bunch of stopping, and a 0:02:44.919 --> 0:02:49.360 bunch are sort of holding and watching. How important is 0:02:49.400 --> 0:02:55.360 the Russian market two global companies? You know, Um, it 0:02:55.480 --> 0:02:58.679 looks like it's less important than say Western Europe and 0:02:58.720 --> 0:03:02.119 North America. Um. You know, if you look at sort 0:03:02.120 --> 0:03:06.880 of consumer companies, they typically Russia typically uh takes up 0:03:06.919 --> 0:03:10.040 maybe two, three, four or five of its market. You know, 0:03:10.040 --> 0:03:13.440 I'm looking at to stay Lauder, General Motors, Harley David's 0:03:13.440 --> 0:03:16.519 and those kinds of things. But you know that's not nothing. 0:03:16.800 --> 0:03:20.720 Those are not that's not nothing. Right, And multiple markets 0:03:20.720 --> 0:03:23.600 add up to little pieces of markets all around the 0:03:23.600 --> 0:03:27.279 globe add up to something. What I do wonder, um 0:03:27.480 --> 0:03:32.960 is that you know, ethan, will we see like fingers crossed, 0:03:32.960 --> 0:03:35.960 that this gets resolved sooner rather than later? Will we 0:03:36.040 --> 0:03:38.640 see them companies say Okay, things have calmed down, We're 0:03:38.640 --> 0:03:42.320 going to go back, Because you know, companies the world 0:03:42.320 --> 0:03:45.200 has a very short memory sometimes, especially when there's money 0:03:45.240 --> 0:03:48.040 at stake. So I'm just curious, what's what's the read 0:03:48.080 --> 0:03:51.560 on this? Look, I think you're right to ask that question. 0:03:51.720 --> 0:03:54.120 We can't know. We can't know how critiquous can end. 0:03:54.160 --> 0:03:56.120 We can't know how it will end, right. I mean, 0:03:56.160 --> 0:03:58.520 if it if it were to end in a way 0:03:58.520 --> 0:04:01.880 that many here we're like with putin no longer in 0:04:01.960 --> 0:04:03.839 power or something like that, that would be a whole 0:04:03.840 --> 0:04:06.640 different game. But if it just sort of a deal 0:04:06.760 --> 0:04:10.600 is struck and horrible things have happened, I think you're 0:04:10.680 --> 0:04:13.880 right to ask the question. I have no greater clarity 0:04:13.880 --> 0:04:17.120 than you on who would stay and who would actually leave, 0:04:17.240 --> 0:04:20.120 But I think we have to see ultimately how much 0:04:20.120 --> 0:04:22.880 of a rogue state Russia is deemed to be when 0:04:22.920 --> 0:04:25.200 this is all over. Yeah, that's that's a certainly an 0:04:25.240 --> 0:04:27.160 important thing to keep in mind, Ethan. And one thing 0:04:27.200 --> 0:04:29.840 I do wonder about is is the consumer side of this. 0:04:30.120 --> 0:04:33.760 Companies that are consumer facing, do they face uproar for 0:04:33.960 --> 0:04:36.080 doing business in Russia on the other side of this, 0:04:36.640 --> 0:04:38.440 if if that is indeed the case, if we do 0:04:38.520 --> 0:04:40.720 play this out, and do we see something like what 0:04:40.760 --> 0:04:44.200 we saw in the nineteen eighties with South Africa and apartheid. Yes, 0:04:44.279 --> 0:04:47.920 that's a very good question and not at all impossible, 0:04:48.200 --> 0:04:51.520 because I think that you know, unlike, uh, let's say, 0:04:51.560 --> 0:04:56.880 the way the Saudi's killed Washington Post columnists and anger 0:04:56.960 --> 0:05:00.120 over that. That's one thing, But the idea that like 0:05:00.240 --> 0:05:02.760 South Africa, Although to be honest, this is even worse 0:05:02.800 --> 0:05:05.360 than South Africa in the sense that it is a 0:05:05.400 --> 0:05:10.080 takeover of another sovereign state. Internally, how people handle their 0:05:10.080 --> 0:05:13.640 own issues, of course, or sources of moral outrage. But 0:05:14.120 --> 0:05:16.960 the idea of sort of been imposing your will on 0:05:17.040 --> 0:05:20.719 another country entirely that the world recognized as a legitimate, 0:05:20.720 --> 0:05:23.960 separate country. In a way, it could be worse. Even 0:05:24.040 --> 0:05:28.839 can we liken it to another country invading the United States? Like, 0:05:28.920 --> 0:05:30.359 how do we need to be looking at this as 0:05:30.400 --> 0:05:33.960 global citizens? That is absolutely how we can, Absolutely how 0:05:34.000 --> 0:05:37.080 we can liken it. There's no doubt in our minds 0:05:37.200 --> 0:05:39.720 and the minds of vast majority of people around the world. 0:05:39.960 --> 0:05:43.760 Ukraine is not a legitimate part of Russia, despite historic 0:05:43.839 --> 0:05:47.880 ties and Russian speaking and so forth. This is absolutely 0:05:48.279 --> 0:05:53.599 an invasion by one country of another, utterly from our perspective, 0:05:54.080 --> 0:05:57.440 without justification. Hey, you than just in the last forty 0:05:57.480 --> 0:05:59.440 seconds that we have with you, what's the next thing 0:05:59.440 --> 0:06:01.440 that we need to keep our eye on? What companies 0:06:01.440 --> 0:06:03.440 do we need to watch? What developments do we need 0:06:03.480 --> 0:06:05.880 to be focused on? You know, I think that some 0:06:06.040 --> 0:06:08.839 of the for example, like the French total energies, some 0:06:08.960 --> 0:06:11.640 of the ones that have done less to see whether 0:06:11.680 --> 0:06:14.000 they start to feel the pressure to do more to 0:06:14.040 --> 0:06:17.080 get out because a bunch of companies, I mean, Shell 0:06:17.200 --> 0:06:21.039 and BT have been very clear and about getting out 0:06:21.080 --> 0:06:25.240 and making their statements unambiguous. But I think there's a 0:06:25.279 --> 0:06:27.599 whole bunch of other things like McKinsey, as you mentioned, 0:06:27.600 --> 0:06:30.320 So I think we have to see if this continues, 0:06:31.279 --> 0:06:33.600 what's going to happen to those companies? Ethan Bron, thank 0:06:33.600 --> 0:06:36.000 you so much for finding some time for us. We 0:06:36.120 --> 0:06:39.000 really appreciate it, Senior Editor, Bloomberg News. A story foreign 0:06:39.040 --> 0:06:41.840 companies from Shell to Daimler abandoning Russia. It's a must read, 0:06:42.200 --> 0:06:45.039 an a most read on the Bloomberg terminal. This is 0:06:45.080 --> 0:06:49.039 Bloomberg Business Week with Carol Masser and Bloomberg Quick Takes 0:06:49.120 --> 0:06:52.880 Tim Stinovic on Bloomberg Radio. As we continue to focus 0:06:52.880 --> 0:06:55.440 on the Russian invasion of Ukraine, let's not forget we're 0:06:55.440 --> 0:06:58.360 still globally fighting a health pandemic as well. Each day 0:06:58.400 --> 0:07:00.400 that goes by, there are still more cases, more deaths, 0:07:01.000 --> 0:07:03.280 as well as solutions. So let's get some thoughts on that. 0:07:03.440 --> 0:07:06.600 Dr Kevin Tracy, as President and Chief executive Officer of 0:07:06.640 --> 0:07:09.440 the fine Stein Institutes for Medical Research at Northwell Health. 0:07:09.480 --> 0:07:11.880 He joins us on the phone from Manhasset, New York. 0:07:11.960 --> 0:07:15.680 Dr Tracy, how are you good? Good afternoon, Good afternoon. 0:07:15.720 --> 0:07:18.360 It certainly feels like you know, I I don't want 0:07:18.360 --> 0:07:20.000 to use the term feel because we have so much 0:07:20.080 --> 0:07:22.480 data and we certainly are looking at the data here, 0:07:22.520 --> 0:07:24.480 but it seems to be like, we are in a 0:07:24.600 --> 0:07:27.520 really good spot with cases declining and governors across the 0:07:27.560 --> 0:07:30.600 country removing their mask mandates. Do you agree that it's 0:07:30.600 --> 0:07:33.760 a good idea to remove mass mandates right now? You know, 0:07:33.920 --> 0:07:37.840 it's two years in two March thirteenth. Two years ago 0:07:38.000 --> 0:07:41.120 was when we really started dealing with this in New York. 0:07:41.440 --> 0:07:44.600 And what we hoped for two years ago was sort 0:07:44.640 --> 0:07:49.840 of a three pronged approach right vaccines, treatments, and containment. 0:07:50.040 --> 0:07:53.120 And I think that with the available, widespread availability and 0:07:53.320 --> 0:07:57.480 use of vaccines, we can start to look towards relaxing 0:07:57.520 --> 0:08:01.320 these other measures. Having said that, and we talked about 0:08:01.360 --> 0:08:03.960 we're still in a pandemic, but things certainly in some 0:08:04.000 --> 0:08:05.600 parts of the world certainly feel like they're getting a 0:08:05.640 --> 0:08:08.240 lot better. We feel it here in the United States. Uh, 0:08:08.280 --> 0:08:12.200 certainly here in New York City. Um. We're also learning 0:08:12.200 --> 0:08:15.080 about new treatments increasingly. And I have to say, on 0:08:15.120 --> 0:08:18.000 our planning call, uh this morning, when our producer mentioned 0:08:18.040 --> 0:08:19.520 you were coming on and you want to talk about 0:08:19.520 --> 0:08:23.280 pepsid um as a as a treatment for COVID, we 0:08:23.280 --> 0:08:30.000 were all like, wait, what, so explain this to us. Sure? So, first, Uh, 0:08:30.080 --> 0:08:33.000 it's important to point out to everyone that we're talking 0:08:33.040 --> 0:08:37.680 now about treatment, not vaccines. Vaccines are the foundation upon 0:08:37.760 --> 0:08:41.960 which everything has to start. Vaccines prevent UH death and 0:08:42.040 --> 0:08:44.360 dying from people who get infected with COVID, and that's 0:08:44.400 --> 0:08:48.520 that's the objective. But for patients who get sick despite 0:08:48.559 --> 0:08:51.960 the vaccine, or patients who are not vaccinated here or 0:08:52.000 --> 0:08:54.680 in other countries, perhaps there still is a need for 0:08:54.720 --> 0:08:59.680 treatments and and treatment of the COVID nineteen syndrome has 0:08:59.720 --> 0:09:01.800 to be has to be thought of in two ways. First, 0:09:01.840 --> 0:09:05.000 you can target the virus directly, and that's where the 0:09:05.720 --> 0:09:09.120 drugs which are called anti virals come in. And second, 0:09:09.200 --> 0:09:13.000 you can target the body's reaction to the virus UH. 0:09:13.000 --> 0:09:17.160 And these would be anti inflammatory molecules, molecules that suppressed 0:09:17.679 --> 0:09:20.920 cytokine storm, which which we've come to learn is really 0:09:20.960 --> 0:09:25.280 the problem. The immune system makes molecules called cytokines that 0:09:25.320 --> 0:09:28.240 actually can kill the patient. And this is where decks 0:09:28.280 --> 0:09:31.880 and mesason became part of the standard of therapy because 0:09:31.920 --> 0:09:35.200 it blocks cytokine storm. But from the early days of 0:09:35.200 --> 0:09:37.280 this pandemic in New York, my colleagues and I have 0:09:37.360 --> 0:09:41.199 been exploring the possibility that promotidine, which is the active 0:09:41.360 --> 0:09:46.480 ingredient in pepsi, also can restrain or suppress cytokine storm 0:09:46.520 --> 0:09:49.200 and may also be useful in some cases of COVID, 0:09:49.520 --> 0:09:54.080 and our our newest data points to that being potentially true. Well, 0:09:54.160 --> 0:09:56.600 Dr Tracy, I'm I'm wondering. You know, we've heard so 0:09:56.679 --> 0:10:02.400 much about drugs in development, specifically for treating treating the virus, 0:10:02.400 --> 0:10:04.640 and I'm I'm wondering why you would need something like 0:10:04.679 --> 0:10:07.920 this if there is you know, a packlovid for example, 0:10:07.960 --> 0:10:11.920 available from Visor. So if there's if if the key 0:10:11.920 --> 0:10:15.120 word is if the drug is available, as you said correctly, So, 0:10:15.240 --> 0:10:17.400 if the drug is available and you have access to 0:10:17.480 --> 0:10:20.600 these anti viral drugs that target the virus, by all 0:10:20.640 --> 0:10:23.560 means those are going to be essential, necessary, and useful. 0:10:24.160 --> 0:10:26.400 There will be places in the world. There will be 0:10:26.440 --> 0:10:28.960 places in the United States where those drugs may not 0:10:29.040 --> 0:10:33.480 be available. And now it's interesting to consider the possibility 0:10:33.520 --> 0:10:36.560 that a drug like promotidine, which has been around for 0:10:36.679 --> 0:10:41.760 decades and is essentially pennies on the dose to manufacture 0:10:41.760 --> 0:10:46.040 and distribute and is very very safe. The question is 0:10:46.120 --> 0:10:49.600 if it's effective in a country where potentially millions of 0:10:49.640 --> 0:10:52.400 people can have the disease. If it helps a small 0:10:52.440 --> 0:10:55.840 percentage of millions of people, you're talking about potentially helping many, 0:10:55.880 --> 0:10:58.200 many people. So we just we don't have all the 0:10:58.240 --> 0:11:01.560 scientific answers yet, but we certainly for those reasons one 0:11:01.640 --> 0:11:04.760 and know alright, we're gonna leave it on that note. Hey, listen, 0:11:04.800 --> 0:11:07.800 thank you so much. Dr Kevin Tracy, President and Chief 0:11:07.800 --> 0:11:11.920 executive Officer at Feinstein Institutes for Medical Research at Northwell Health, 0:11:12.200 --> 0:11:14.600 joining us once again on the phone from Inhascant, New York. 0:11:14.800 --> 0:11:16.360 You know, it's just a reminder, Tim, right, and you 0:11:16.360 --> 0:11:18.080 and I talked about it kind of behind the scenes. 0:11:18.120 --> 0:11:21.839 It's just, you know, the medical community finding different ways 0:11:21.880 --> 0:11:24.520 to treat patients who come down with COVID. Hopefully they've 0:11:24.520 --> 0:11:28.240 gotten vaccinated, because that is a big for many people, 0:11:28.520 --> 0:11:32.000 a big thing that is certainly keeps them alive. But 0:11:32.080 --> 0:11:34.880 there's still treatments being developed well. As many doctors have 0:11:35.080 --> 0:11:37.319 told us over the last couple of years, Carol, one 0:11:37.320 --> 0:11:39.040 of the signs of it moving from a pandemic to 0:11:39.080 --> 0:11:41.160 an endemic is learning how to treat it, learning how 0:11:41.200 --> 0:11:44.080 to live with it, and learning how to get past it. 0:11:44.280 --> 0:11:46.160 And that's one thing that we're doing with these different treatments. 0:11:46.160 --> 0:11:50.280 Now you're listening to Bloomberg Business Week with Carol Messer 0:11:50.520 --> 0:11:54.880 and Bloomberg Quick Takes Tim Stinovic on Bloomberg Radio. As 0:11:54.880 --> 0:11:57.560 the world opens up increasingly follow the latest COVID variant, 0:11:57.600 --> 0:11:59.640 where are a lot of people headed? Turns out it's 0:11:59.720 --> 0:12:04.160 decentraland and what is decentraland is it? It's the metaverse. 0:12:04.280 --> 0:12:06.679 Joining us now to talk all about it is Cecilia 0:12:06.760 --> 0:12:10.000 Donna Stasio, video game reporter for Bloomberg New She's with 0:12:10.080 --> 0:12:13.720 us now in the Bloomberg Interactive Brokers. Check out her story. 0:12:13.960 --> 0:12:15.800 It's going to be featured in the upcoming issue of 0:12:15.840 --> 0:12:18.080 Bloomberg Business Week magazine. You can read it now on 0:12:18.120 --> 0:12:21.200 the Bloomberg and at Bloomberg dot com Slash business Week. 0:12:21.240 --> 0:12:23.920 Also with us is Joel Webber, editor at Bloomberg Business Week. 0:12:24.200 --> 0:12:27.120 He joins us not in the metaverse, but all four 0:12:27.160 --> 0:12:29.319 of us are here together in real life, Joel, why 0:12:29.360 --> 0:12:33.040 are we not in the metaverse? Unless it is the metaverse? 0:12:33.120 --> 0:12:39.000 But don't exactly. I love it that, you know, we're 0:12:39.040 --> 0:12:40.839 all talking about the metaverse and what it's going to 0:12:40.920 --> 0:12:43.800 be and how it's gonna upend tech and fortunes are 0:12:43.800 --> 0:12:45.880 going to be made and companies are gonna be born 0:12:45.920 --> 0:12:49.360 and die on this thing. And the first place that 0:12:49.760 --> 0:12:51.200 we get to see what it looks like? What are 0:12:51.200 --> 0:12:57.120 people doing there? It's sin right kind of so so cecili, 0:12:57.200 --> 0:13:01.040 let's bring you in. Um why why why is it 0:13:01.360 --> 0:13:05.439 that we could have these grand ambitions for the future 0:13:05.480 --> 0:13:08.880 and yet we just end up gaming. Yeah, it's not unusual. 0:13:09.040 --> 0:13:12.400 A lot of new technologies have been ushered in by gambling, 0:13:12.520 --> 0:13:14.680 by you know, nights nanti one, the year that the 0:13:14.679 --> 0:13:17.760 first PCs were introduced. Video poker was already very popular. 0:13:18.200 --> 0:13:21.600 The Internet was in part ushered in by casinos, even 0:13:21.640 --> 0:13:24.679 cryptocurrency bitcoins. Some of the first applications were gambling. And 0:13:24.720 --> 0:13:26.960 now at the what people say is the dawn of 0:13:27.000 --> 0:13:30.640 the metaverse, we have poker. So tell us what the 0:13:30.760 --> 0:13:32.520 central end like if you go there? I mean, do 0:13:32.600 --> 0:13:33.800 I Am I really going to see a picture of 0:13:33.840 --> 0:13:37.040 Jamie Diamond? You can if you'd like, You talked about 0:13:37.040 --> 0:13:39.840 it yesterday where that happened. Um, so tell us about 0:13:39.920 --> 0:13:43.520 you go in. What's the experience. It's a funny experience 0:13:43.520 --> 0:13:46.080 if you're someone who's played video games, because what does 0:13:46.120 --> 0:13:48.760 Sunderland look like? Is a virtual world in the kind 0:13:48.800 --> 0:13:51.720 of virtual world you might see, you know, on a 0:13:51.960 --> 0:13:54.600 random web browser, and like the early to mid two thousand. 0:13:54.600 --> 0:13:56.400 Thank you. I was reading this story earlier today and 0:13:56.400 --> 0:13:58.600 I said to some colleagues sitting next to me, I'm like, what, 0:13:58.960 --> 0:14:01.480 how is this not Second Life all over again? It 0:14:01.600 --> 0:14:03.599 kind of is. And actually, you know, there are a 0:14:03.640 --> 0:14:05.360 lot of things that Second Life does that to Central 0:14:05.400 --> 0:14:08.040 Land can't do. But the Central Lands big pole is 0:14:08.080 --> 0:14:10.040 the fact that it is to Central lines. It runs 0:14:10.080 --> 0:14:14.480 on the Ethereum technology and um they're selling real estate 0:14:14.520 --> 0:14:18.960 for a lot of money, millions of dollars even what 0:14:18.960 --> 0:14:20.960 do you mean? What do you mean they're selling real 0:14:21.080 --> 0:14:23.760 estate so you can buy a plot of land in 0:14:23.800 --> 0:14:27.080 the virtual world like UM does. Central Games has done 0:14:27.120 --> 0:14:30.600 with their ice poker casinos, and you can bring people 0:14:30.640 --> 0:14:33.880 in and do business there, typically using cryptocurrency. Is that 0:14:34.680 --> 0:14:41.720 numbered negotiable? Maybe ask them and find out. So what 0:14:41.760 --> 0:14:44.480 else can you do there other than you know, play 0:14:44.480 --> 0:14:46.840 a little poker? Sure, so intes Central and there are 0:14:46.840 --> 0:14:48.320 a lot of things that you can do. So you 0:14:48.360 --> 0:14:52.720 can tour you know, a Southeby's art gallery, you can 0:14:52.920 --> 0:14:55.920 um come on Paris, Hilton, you're bearing the lead Paras. 0:14:55.960 --> 0:15:00.280 Hlton performed a conference a uh concert there. I think 0:15:00.320 --> 0:15:05.280 Dead Mouse did to the electronic musician. Um. The there's 0:15:05.400 --> 0:15:08.400 like going to be a Barbatos embassy there soon apparently. 0:15:08.480 --> 0:15:10.720 So people are doing all kinds of things, sort of 0:15:10.760 --> 0:15:13.480 speculating on the metaverse into centraland how do you. Let's 0:15:13.520 --> 0:15:15.120 go to poker though and talk a little bit about 0:15:15.160 --> 0:15:17.800 what people are doing. As you mentioned, it has historically 0:15:18.240 --> 0:15:21.440 helped usher in you know, gaming has helped us or 0:15:21.480 --> 0:15:25.160 in new technologies. UM. The legality of this, it's kind 0:15:25.200 --> 0:15:29.000 of like a little bit you know, wishy washy with 0:15:29.040 --> 0:15:31.080 what's what you're allowed to do, what you're not allowed 0:15:31.120 --> 0:15:32.600 to do. I think the timing is really interesting because 0:15:32.600 --> 0:15:36.480 we're talking about sports betting on sort of a wide scale, 0:15:36.480 --> 0:15:38.960 at least through your phones now being available in many 0:15:38.960 --> 0:15:42.080 different states. Are people allowed to just kind of gamble 0:15:42.120 --> 0:15:45.200 with real money in the metaverse? It's really complicated, it's 0:15:45.240 --> 0:15:48.480 gray area. So UM, in order to gamble in US 0:15:48.560 --> 0:15:52.400 states mostly, UM, you will need a gambling license. UM 0:15:52.400 --> 0:15:56.240 in the states that do happen to allow gambling. UM 0:15:56.400 --> 0:15:59.000 ice poker, which is the game we're talking about that 0:15:59.040 --> 0:16:03.600 exists into central and it is great because you're not 0:16:03.720 --> 0:16:07.320 necessarily gambling with chips that you then cash out for money. 0:16:07.520 --> 0:16:10.440 There are a number of different currency systems and digital 0:16:10.480 --> 0:16:13.560 assets that each have varying values that people are kind 0:16:13.600 --> 0:16:16.640 of playing with. In order in order to actually access 0:16:17.160 --> 0:16:20.680 UM the gameplay, you do have to be either you 0:16:20.720 --> 0:16:22.600 have to either buy or be in possession of an 0:16:22.720 --> 0:16:25.560 n f T that sells for you know, five thousand 0:16:25.600 --> 0:16:30.360 and seven thousand dollars or more UM. But gambling experts 0:16:30.360 --> 0:16:34.080 aren't sure whether that qualifies as consideration, which is something 0:16:34.160 --> 0:16:36.600 that someone would put up in order to gamble in 0:16:36.600 --> 0:16:39.520 real life. That's a lot of money. Yeah, it's a 0:16:39.600 --> 0:16:41.120 nice to say. I feel like all of our browser 0:16:41.240 --> 0:16:43.760 for it a little bit so a glimpse of the 0:16:43.760 --> 0:16:47.800 future here tell us is there a greater meaning in 0:16:47.840 --> 0:16:49.840 all of this way? What's your what's you're reading of? 0:16:49.880 --> 0:16:52.760 What what business mean for for the metaverse and and 0:16:52.800 --> 0:16:54.560 the companies that are going to be doing business there. 0:16:54.960 --> 0:16:56.760 That's a great question. I think it's really interesting that 0:16:56.760 --> 0:16:59.400 there's been a lot of speculation on the Metaverse and 0:16:59.440 --> 0:17:02.520 it's proces x UM. Morgan Stanley, for example, said that 0:17:02.520 --> 0:17:05.040 it could be a trillion dollar opportunity in the future. 0:17:05.680 --> 0:17:08.440 But what we're seeing right now is that the metaverse 0:17:08.560 --> 0:17:11.479 is a a lot less populated than top video games 0:17:11.600 --> 0:17:14.040 be you know, looks like maybe an older video game, 0:17:14.080 --> 0:17:16.400 and see one of the big draws there right now 0:17:16.680 --> 0:17:19.399 is doing something that looks a lot like gambling. So 0:17:19.440 --> 0:17:21.679 I think it's to be seen exactly what the staying 0:17:21.760 --> 0:17:24.240 value add is of the metaverse. I do wonder though, 0:17:24.240 --> 0:17:25.720 the way you lay it out in the story is 0:17:25.800 --> 0:17:27.840 I'm starting to kind of get a picture of could 0:17:27.840 --> 0:17:29.760 I I'm not a gambler, but could I spend a 0:17:29.840 --> 0:17:34.639 day where I'm doing a couple of things in the metaverse? Right? Um? Like, 0:17:34.800 --> 0:17:38.640 is that how we kind of a gambler but only 0:17:38.720 --> 0:17:40.879 on Saturdays? And I also do a couple of the 0:17:40.920 --> 0:17:47.280 things like go to the mall Carol's future here we're Carol. 0:17:48.000 --> 0:17:50.440 No just because if I'm from New Jersey, you're saying 0:17:51.640 --> 0:17:54.160 you said that, not me, But right, Like that's how 0:17:54.160 --> 0:17:56.800 I get it, just quickly, Like, right, that's how we 0:17:56.800 --> 0:17:59.960 could maybe spend our future. I would rather personally spend 0:18:00.000 --> 0:18:03.120 a future and select popular video games, but there are 0:18:03.119 --> 0:18:04.840 people out there who I think are getting a lot 0:18:04.880 --> 0:18:07.080 out of the metaverse. I don't know exactly how much 0:18:07.080 --> 0:18:09.160 time they spend in there, but I'm sure they're getting 0:18:09.160 --> 0:18:16.560 what they want. Love it man, Oh my god, shoulder 0:18:16.560 --> 0:18:19.040 paths here we come. Um, Cecilia, thank you so much, 0:18:19.040 --> 0:18:22.360 really appreciate Cecilia. Uh. Donna Stachio. She is video game 0:18:22.359 --> 0:18:26.200 reporter here at Bloomberg News. This is Bloomberg Business Week 0:18:26.400 --> 0:18:30.359 with Carol Masser and Bloomberg Quick Takes Tim Stinovic on 0:18:30.520 --> 0:18:33.399 Bloomberg Radio. All right, we've just got about ten minutes 0:18:33.440 --> 0:18:36.080 left to in today's trading session. As you heard from Charlie, 0:18:36.119 --> 0:18:38.199 we have taken another leg down. We are at our 0:18:38.280 --> 0:18:40.720 loads of this session, so that means down two point 0:18:40.760 --> 0:18:43.320 two of both the Doubt and the nasjack S ANDP 0:18:43.480 --> 0:18:47.080 down two percent. That headline, and you have to wonder Apple, 0:18:47.320 --> 0:18:49.480 which has been bouncing around like lots of other names, 0:18:49.480 --> 0:18:51.919 that looks like it went to session lows today. And 0:18:51.920 --> 0:18:55.879 of course the headlines of Apple, specifically UH saying it 0:18:55.880 --> 0:18:59.040 has paused all products sales in Russia, and that's a 0:18:59.080 --> 0:19:01.800 big player certainly when comes to the NASDAC also the SNP. 0:19:01.920 --> 0:19:04.639 It's about twelve percent of both the NASDAC NASDAQ one hundred, 0:19:04.680 --> 0:19:07.719 about almost seven percent of the S and P five. Well, 0:19:07.800 --> 0:19:10.600 let's get our next guest take on all of volatility 0:19:10.600 --> 0:19:14.160 that we've seen in recent weeks. Laocha, senior investment manager 0:19:14.240 --> 0:19:16.840 for pick t A Asset Management, Ella joins us on 0:19:16.880 --> 0:19:20.760 the phone from London. Ella, how are you hi? I'm 0:19:20.760 --> 0:19:23.439 doing great, thank you and thanks for thanks for having us. Yeah, well, 0:19:23.440 --> 0:19:25.240 thank you for joining us. And on a really important 0:19:25.320 --> 0:19:28.080 day too, we see stocks extending their decline, the NASDAC 0:19:28.160 --> 0:19:30.680 down two percent, the SMP five hundred down two percent, 0:19:30.760 --> 0:19:34.639 to Dow down two point one percent. Um, how do 0:19:34.680 --> 0:19:37.680 you help us make sense of the volatility that we're 0:19:37.720 --> 0:19:40.560 seeing right now? And I wonder to what extent we 0:19:40.560 --> 0:19:44.360 should be thinking about, uh, the effect of the Russia 0:19:44.400 --> 0:19:51.520 invasion on in Ukraine on global markets. Well, the markets 0:19:51.720 --> 0:19:54.240 have been having a bit of a tougher time since 0:19:54.280 --> 0:19:58.600 this year started, and I've been predominantly the cause of 0:19:58.760 --> 0:20:05.160 tighter policy expectations from the Fed, UM and other central facts. 0:20:05.160 --> 0:20:08.600 So things didn't start pretty to begin with. And and 0:20:08.640 --> 0:20:12.600 of course now we've had this uh geopolitical factor thrown 0:20:12.640 --> 0:20:17.200 into the spanner which forces the reassessment on on pretty 0:20:17.280 --> 0:20:20.520 much all vectors. So on the first basis is on 0:20:20.600 --> 0:20:23.880 the growth side, probably more of a risk for Europe 0:20:24.240 --> 0:20:27.960 than the US, more immediate risk, but also on the 0:20:28.000 --> 0:20:31.440 fact that it causes a bit of a supply shock, um, 0:20:31.480 --> 0:20:36.879 you know, with commodity prices already elevated heading higher, so 0:20:37.359 --> 0:20:40.880 again you know, hitting the growth spectrum, but still within 0:20:40.920 --> 0:20:44.720 the backdrop of much higher incasion. So a very tricky 0:20:45.040 --> 0:20:48.520 holisymics probably most of hinto the nineties seventies, which is 0:20:48.560 --> 0:20:51.159 when we last experienced a bit of a you know, 0:20:51.400 --> 0:20:54.040 not a bit, but this type of magnizude of oil 0:20:54.400 --> 0:20:58.040 oil price shocks. Very difficult time, Yes, it is a 0:20:58.040 --> 0:20:59.920 difficult time, and that's something we heard from Congress and 0:21:00.040 --> 0:21:02.360 for Citadel, who has seen his own share of ups 0:21:02.400 --> 0:21:06.879 and downs, built a successful hedge fund UH Citadel Securities 0:21:06.880 --> 0:21:09.000 as well, but saying that, you know, we're in this 0:21:09.119 --> 0:21:11.800 incredible and interesting period of volatility, and we just don't 0:21:11.880 --> 0:21:14.359 quite know yet he caused it a very very volatile 0:21:14.359 --> 0:21:16.639 inflection point, and just don't know whether or not the 0:21:16.720 --> 0:21:19.439 Russians will be satisfied by simply extending their effective borders 0:21:19.440 --> 0:21:22.560 in the Ukraine. That's Ken Griffin talking to David Rubinstein 0:21:23.160 --> 0:21:26.199 for Bloomberg Wealth and Exclusive there. But I guess so 0:21:26.240 --> 0:21:29.159 at this point, there's a lot of ifs out there. So, Ella, 0:21:29.480 --> 0:21:32.520