1 00:00:00,080 --> 00:00:06,760 Speaker 1: Bloomberg Audio Studios, Podcasts, radio news. 2 00:00:11,960 --> 00:00:15,560 Speaker 2: This is the Bloomberg Surveillance Podcast. I'm Tom Keene along 3 00:00:15,600 --> 00:00:18,960 Speaker 2: with Paul Sweeney. Join us each day for insight from 4 00:00:18,960 --> 00:00:23,119 Speaker 2: the best in economics, finance, investment, and international relations. You 5 00:00:23,160 --> 00:00:26,520 Speaker 2: can also watch the show live on YouTube. Visit the 6 00:00:26,520 --> 00:00:31,280 Speaker 2: Bloomberg Podcast channel on YouTube to see the show weekday 7 00:00:31,280 --> 00:00:34,320 Speaker 2: mornings from seven to ten am Eastern from our global 8 00:00:34,360 --> 00:00:39,000 Speaker 2: headquarters in New York City. Subscribe to the podcast on Apple, Spotify, 9 00:00:39,360 --> 00:00:42,920 Speaker 2: or anywhere else you listen and always I'm Bloomberg Radio, 10 00:00:43,080 --> 00:00:46,320 Speaker 2: the Bloomberg Terminal, and the Bloomberg Business App. 11 00:00:46,920 --> 00:00:48,040 Speaker 3: Monica Decenso joints. 12 00:00:48,240 --> 00:00:51,360 Speaker 4: She's now head of Global Investment Opportunities at JP Morgan. 13 00:00:51,440 --> 00:00:54,440 Speaker 4: But Monica, you and I we across past years and 14 00:00:54,480 --> 00:00:57,400 Speaker 4: years ago when you were bear Stearns, Raykats, Victor Miller, 15 00:00:57,600 --> 00:01:00,920 Speaker 4: Alan Schwartz, all the great media folks at bear Stearns 16 00:01:00,920 --> 00:01:03,920 Speaker 4: covering the radio TV broadcast is the Tower companies Tom 17 00:01:04,040 --> 00:01:06,240 Speaker 4: at one point Tower those were great now. 18 00:01:06,640 --> 00:01:07,600 Speaker 5: That don't exist anymore. 19 00:01:08,080 --> 00:01:11,000 Speaker 6: So my job, my job was to read those prospectuses 20 00:01:11,040 --> 00:01:13,760 Speaker 6: that I read them from the back to the exactly. 21 00:01:13,800 --> 00:01:16,840 Speaker 6: My question to both of you then is radio just 22 00:01:16,840 --> 00:01:18,319 Speaker 6: in Good morning on Bloomberg Radio? 23 00:01:18,400 --> 00:01:21,640 Speaker 2: Then was it's fourteen times but it's cheap? 24 00:01:21,880 --> 00:01:22,080 Speaker 7: Yep? 25 00:01:22,319 --> 00:01:25,039 Speaker 2: Are we in for that right now? Monica? Are we 26 00:01:25,680 --> 00:01:29,480 Speaker 2: where's our where's the blow up? Right now? That's fourteen 27 00:01:29,520 --> 00:01:30,360 Speaker 2: times even time? 28 00:01:30,720 --> 00:01:34,080 Speaker 1: Yeah, I don't know that I see anything that clearly 29 00:01:34,120 --> 00:01:36,160 Speaker 1: that looks that misvalued. 30 00:01:36,560 --> 00:01:38,000 Speaker 5: What we do see those is you look at the 31 00:01:38,000 --> 00:01:38,479 Speaker 5: broad s. 32 00:01:38,440 --> 00:01:40,720 Speaker 1: And p twenty times and again I think back to 33 00:01:40,760 --> 00:01:44,320 Speaker 1: where we were back in those days, and it does. 34 00:01:44,120 --> 00:01:45,800 Speaker 5: Feel fairly to fully value. 35 00:01:45,840 --> 00:01:47,400 Speaker 1: And so the struggle now, as you see the market 36 00:01:47,400 --> 00:01:49,640 Speaker 1: down of a couple percent, maybe do you jump in 37 00:01:49,640 --> 00:01:49,960 Speaker 1: and buy? 38 00:01:50,120 --> 00:01:52,280 Speaker 5: I think you probably see more volatility. 39 00:01:51,720 --> 00:01:54,200 Speaker 1: Heading into the fall and into elections, and so I 40 00:01:54,360 --> 00:01:56,760 Speaker 1: would use any pullback of three four percent or more 41 00:01:56,800 --> 00:01:59,560 Speaker 1: to start logging in. As you mentioned earlier, I work 42 00:01:59,600 --> 00:02:01,360 Speaker 1: with family all over the world, and most of them, 43 00:02:01,400 --> 00:02:04,040 Speaker 1: unfortunately don't have enough risk on in their portfolios. They're 44 00:02:04,080 --> 00:02:06,040 Speaker 1: still sitting in too much cash, and so I'd love 45 00:02:06,080 --> 00:02:07,760 Speaker 1: to stay. I'm waiting for ten percent down, but I 46 00:02:07,800 --> 00:02:09,280 Speaker 1: don't know that we're going to get that, so three 47 00:02:09,360 --> 00:02:10,600 Speaker 1: or four might be enough to nibble. 48 00:02:10,760 --> 00:02:13,320 Speaker 4: So I mean, you work with ultra high net worth individuals, 49 00:02:13,400 --> 00:02:17,120 Speaker 4: family offices, those types of folks. Yeah, are they participating 50 00:02:17,160 --> 00:02:19,840 Speaker 4: in this magnificent seventh thing over the last twelve eighteen 51 00:02:19,919 --> 00:02:21,960 Speaker 4: months or maybe or. 52 00:02:21,960 --> 00:02:24,840 Speaker 1: Not they're participating, but most don't have as much as 53 00:02:24,840 --> 00:02:26,960 Speaker 1: they would like, because what happened in twenty twenty two is, 54 00:02:26,960 --> 00:02:29,359 Speaker 1: you well know, when texuled off and everything got a 55 00:02:29,360 --> 00:02:31,480 Speaker 1: little scary, many of them moved to cash. They have 56 00:02:31,520 --> 00:02:33,880 Speaker 1: that luxury they're not you know, it's their personal money. 57 00:02:33,960 --> 00:02:36,000 Speaker 1: They don't need to be in markets. And then they 58 00:02:36,000 --> 00:02:38,320 Speaker 1: were hoping for a pullback in twenty three. Most never 59 00:02:38,360 --> 00:02:40,440 Speaker 1: actually got back in as much as they wanted, and 60 00:02:40,480 --> 00:02:43,240 Speaker 1: so now still a bit Offside's too much cash, not 61 00:02:43,400 --> 00:02:45,800 Speaker 1: enough risk for generational wealth that they have that they 62 00:02:45,800 --> 00:02:47,799 Speaker 1: really should be focused on compounding so. 63 00:02:47,800 --> 00:02:48,720 Speaker 2: That generational wealth. 64 00:02:48,760 --> 00:02:52,880 Speaker 4: Again, these ultra high networth individuals that JP Morgan you know, 65 00:02:53,200 --> 00:02:55,200 Speaker 4: deals with so well, are they. 66 00:02:55,120 --> 00:02:57,560 Speaker 3: Still in a sixty forty kind of environment? Are they 67 00:02:57,600 --> 00:03:00,400 Speaker 3: sixty forty but I need to have some alternatives? Are they? 68 00:03:00,480 --> 00:03:02,919 Speaker 4: Or they maybe even more cash than a sixty to 69 00:03:02,919 --> 00:03:04,520 Speaker 4: forty PORTFOLI would suggest. 70 00:03:04,240 --> 00:03:06,880 Speaker 1: Yeah, a couple of big trends right now. Again, still 71 00:03:06,880 --> 00:03:09,080 Speaker 1: too much cash, but that's a function of that fear 72 00:03:09,160 --> 00:03:11,080 Speaker 1: coming out of twenty two and that year when nothing 73 00:03:11,120 --> 00:03:14,520 Speaker 1: works work, bonds down, equities down, that rattles people broadly. 74 00:03:14,760 --> 00:03:16,800 Speaker 1: Larger families we work with tend to have much bigger 75 00:03:16,800 --> 00:03:19,440 Speaker 1: allocations to alternatives to your point, because again, this is 76 00:03:19,440 --> 00:03:20,919 Speaker 1: not money that they're going to need for the next 77 00:03:20,960 --> 00:03:23,040 Speaker 1: five or ten years. And so if you can take 78 00:03:23,040 --> 00:03:25,560 Speaker 1: that illiquidity that generally is going to pay, and we 79 00:03:25,560 --> 00:03:26,880 Speaker 1: hope that you're going to earn more than you'll get 80 00:03:26,880 --> 00:03:29,400 Speaker 1: in public markets. So larger families we work with might 81 00:03:29,400 --> 00:03:32,960 Speaker 1: have upwards of forty forty five percent alternatives. Doesn't make 82 00:03:33,000 --> 00:03:35,800 Speaker 1: sense for you know, a normal retail investor, But when 83 00:03:35,840 --> 00:03:38,000 Speaker 1: you get to that size hundreds of millions of dollars 84 00:03:38,000 --> 00:03:40,240 Speaker 1: that you're investing, you can do that which pays off 85 00:03:40,240 --> 00:03:41,440 Speaker 1: in the long term your company. 86 00:03:41,560 --> 00:03:45,200 Speaker 2: Screenberg would say, you know, don't over diversify. To me, 87 00:03:45,920 --> 00:03:50,040 Speaker 2: one of the diseases right now is massive over diversification 88 00:03:50,600 --> 00:03:56,000 Speaker 2: through passive in ETFs to fancy people with fancy accounts. 89 00:03:56,480 --> 00:03:59,680 Speaker 2: Do they have the courage to be less diversified and 90 00:03:59,720 --> 00:04:02,680 Speaker 2: better on a sector or a bet in a company? 91 00:04:02,680 --> 00:04:03,000 Speaker 7: They do? 92 00:04:03,160 --> 00:04:06,000 Speaker 1: Many you know, have made their wealth in one sector 93 00:04:06,240 --> 00:04:07,960 Speaker 1: or one part of the market, right, it. 94 00:04:07,920 --> 00:04:09,080 Speaker 5: Could be autos, could be tech. 95 00:04:09,120 --> 00:04:11,760 Speaker 1: And so as a result, often they'll have a concentrated 96 00:04:11,760 --> 00:04:14,360 Speaker 1: position in one sector that then argues that you need 97 00:04:14,400 --> 00:04:15,520 Speaker 1: diversification else. 98 00:04:15,440 --> 00:04:16,000 Speaker 2: Away from it. 99 00:04:16,120 --> 00:04:18,080 Speaker 1: Yeah, and so we spend a lot of time helping 100 00:04:18,080 --> 00:04:20,200 Speaker 1: them think about where is your risk again, You're you're 101 00:04:20,200 --> 00:04:22,400 Speaker 1: a tech founder, You're locked up in a stock. 102 00:04:22,680 --> 00:04:24,120 Speaker 5: We've got to have you in bonds. We've got to 103 00:04:24,120 --> 00:04:25,200 Speaker 5: have you outside of the US. 104 00:04:25,240 --> 00:04:28,680 Speaker 1: We have to have you thinking about again, alternatives, infrastructure. 105 00:04:28,960 --> 00:04:30,479 Speaker 1: I don't know who's going to win the election, but 106 00:04:30,520 --> 00:04:32,400 Speaker 1: I'm pretty sure WED to spend more on infrastructure, and 107 00:04:32,400 --> 00:04:34,040 Speaker 1: so there are bets like that that make a lot 108 00:04:34,040 --> 00:04:34,400 Speaker 1: of sense. 109 00:04:34,920 --> 00:04:36,760 Speaker 2: We get another question here because I want to go 110 00:04:36,800 --> 00:04:39,080 Speaker 2: to an entertainment I just want to go to go 111 00:04:39,120 --> 00:04:40,120 Speaker 2: back to rag cats go. 112 00:04:40,400 --> 00:04:41,920 Speaker 3: How about bonds? I mean fixed income? 113 00:04:41,960 --> 00:04:43,880 Speaker 4: I mean you know, you put a client in to 114 00:04:43,960 --> 00:04:46,200 Speaker 4: your treasure and get four and a half percent here, 115 00:04:46,800 --> 00:04:48,760 Speaker 4: what do you guys, How are you guys positioning fixed 116 00:04:48,800 --> 00:04:49,679 Speaker 4: income to your clients? 117 00:04:49,920 --> 00:04:53,039 Speaker 1: Again, it's it's getting people comfortable with that playbook after 118 00:04:53,080 --> 00:04:54,800 Speaker 1: being out of it for a decade. So a couple 119 00:04:54,839 --> 00:04:57,200 Speaker 1: of things you're a US taxpayer, Munis don't have to 120 00:04:57,279 --> 00:04:58,320 Speaker 1: overcomplicate things, right. 121 00:04:58,400 --> 00:04:59,560 Speaker 5: Munis make a ton of sense. 122 00:04:59,480 --> 00:05:01,800 Speaker 1: Especially world where people are worried about what is the 123 00:05:01,839 --> 00:05:04,800 Speaker 1: tax regime going forward and what are my tax rates 124 00:05:04,800 --> 00:05:07,520 Speaker 1: going to be? Also, you know, adding a little bit 125 00:05:07,520 --> 00:05:09,839 Speaker 1: of duration, taking a little bit of risk, bank preferreds 126 00:05:09,880 --> 00:05:12,560 Speaker 1: I still think make a ton of sense. Yeah, like 127 00:05:12,600 --> 00:05:15,880 Speaker 1: that city yesterday came out issued thousand dollars part seven 128 00:05:15,920 --> 00:05:18,280 Speaker 1: percent coupon. If you're a US taxpayer, that's almost a 129 00:05:18,360 --> 00:05:19,320 Speaker 1: nine percent taxic. 130 00:05:19,400 --> 00:05:23,279 Speaker 2: Im mortals buy those or they have started institutions. 131 00:05:23,560 --> 00:05:25,719 Speaker 1: They tend to be more held by institutions. But absolutely 132 00:05:25,760 --> 00:05:26,960 Speaker 1: retail investors commune. 133 00:05:27,160 --> 00:05:31,599 Speaker 2: How do you affect immuni transaction for a family, office, portfolio, 134 00:05:31,600 --> 00:05:33,039 Speaker 2: individual Some. 135 00:05:33,560 --> 00:05:36,440 Speaker 1: Want individuals most Actually again they like to see the 136 00:05:36,440 --> 00:05:38,920 Speaker 1: line on them. I think psychologically for families that makes 137 00:05:38,920 --> 00:05:40,880 Speaker 1: more sense versus a fund where you just don't know 138 00:05:40,880 --> 00:05:41,839 Speaker 1: what's going on under the hood. 139 00:05:42,160 --> 00:05:42,880 Speaker 5: So we'll do a lot of. 140 00:05:42,880 --> 00:05:46,520 Speaker 1: Separately managed accounts SMAs, and then depending on what tenor 141 00:05:46,600 --> 00:05:48,680 Speaker 1: duration they're comfortable with, we build it to cater to 142 00:05:48,720 --> 00:05:48,960 Speaker 1: that use. 143 00:05:49,400 --> 00:05:52,760 Speaker 3: Is ladder communis That's what I do. Very good all 144 00:05:52,839 --> 00:05:55,520 Speaker 3: my maturity. I'm a level for sure. 145 00:05:56,080 --> 00:05:57,800 Speaker 2: To both of you. I talked to Paul about this 146 00:05:57,839 --> 00:06:00,120 Speaker 2: all the time. Monica, let me start with you and 147 00:06:00,200 --> 00:06:04,000 Speaker 2: the turmoil of what you used to follow. Is Disney 148 00:06:04,680 --> 00:06:07,800 Speaker 2: like the mother of all values? Or is it a 149 00:06:07,839 --> 00:06:08,840 Speaker 2: busted blue chip. 150 00:06:09,080 --> 00:06:10,360 Speaker 1: I'm having a flashback to the last time I was 151 00:06:10,360 --> 00:06:11,719 Speaker 1: on you tried to get me to talk about a 152 00:06:11,720 --> 00:06:14,200 Speaker 1: single name and jaf Organis that love that? But I 153 00:06:14,200 --> 00:06:17,040 Speaker 1: don't cover disease closely anymore, so it would be reckless 154 00:06:17,080 --> 00:06:17,960 Speaker 1: for me to a pine. 155 00:06:19,080 --> 00:06:20,839 Speaker 2: Are you long or short? Hollywood? 156 00:06:21,360 --> 00:06:24,000 Speaker 1: At the end of the day, like, people still consume 157 00:06:24,080 --> 00:06:26,080 Speaker 1: media and content, and so how they consume it has 158 00:06:26,160 --> 00:06:28,000 Speaker 1: changed from when you know, Paul and I were doing. 159 00:06:27,800 --> 00:06:29,640 Speaker 5: This many years ago. But people still watch stuff. 160 00:06:29,640 --> 00:06:31,480 Speaker 1: You're on an airplane, everyone's on their ipet, everyone's on 161 00:06:31,520 --> 00:06:33,839 Speaker 1: their phone. It's just pivoting to how they want to 162 00:06:33,839 --> 00:06:36,080 Speaker 1: consume it and the bite size and the length and 163 00:06:36,160 --> 00:06:36,760 Speaker 1: duration all that. 164 00:06:36,839 --> 00:06:38,880 Speaker 5: But great content is great content. 165 00:06:38,920 --> 00:06:40,880 Speaker 1: And so I, you know, personally, still own some of 166 00:06:40,880 --> 00:06:42,880 Speaker 1: those names that I used to work with many years ago, 167 00:06:43,080 --> 00:06:44,720 Speaker 1: and I think they make sense in a portfolio. 168 00:06:45,160 --> 00:06:49,280 Speaker 2: She's in trouble now. Yeah, general consuls over on Parking. 169 00:06:49,360 --> 00:06:54,360 Speaker 5: And yet I mean it's still being built. I did 170 00:06:54,360 --> 00:06:55,080 Speaker 5: a tour last week. 171 00:06:55,080 --> 00:06:58,240 Speaker 2: It was amazing. What was to take away from the tour. 172 00:06:58,320 --> 00:07:00,719 Speaker 1: Take over the tours that buildings really tall, and if 173 00:07:00,760 --> 00:07:02,760 Speaker 1: you're afraid of heights, I don't recommend going up there 174 00:07:02,760 --> 00:07:04,360 Speaker 1: when there's no windows in there, because. 175 00:07:06,640 --> 00:07:08,359 Speaker 2: All I want to know is like at four to 176 00:07:08,360 --> 00:07:10,200 Speaker 2: twenty five park, is there going to be a fancy 177 00:07:10,200 --> 00:07:11,000 Speaker 2: bar at the bottom. 178 00:07:11,120 --> 00:07:14,679 Speaker 1: There's the fancy bar at the top. I'm told, yeah, okay, 179 00:07:14,800 --> 00:07:16,840 Speaker 1: so all right, I mean not yet, but. 180 00:07:18,480 --> 00:07:22,680 Speaker 2: Top of the din exactly to Monica descends a wonderful 181 00:07:22,680 --> 00:07:25,400 Speaker 2: don't be a stranger. This was great, particularly talking about 182 00:07:25,680 --> 00:07:30,120 Speaker 2: the shop to K booth that Alan Schwartz built years ago. 183 00:07:39,440 --> 00:07:42,080 Speaker 2: So much of the heritage of Bloomberg surveillance in Bloomberg 184 00:07:42,120 --> 00:07:45,640 Speaker 2: on the Economy is actually talking to people that has 185 00:07:45,800 --> 00:07:50,520 Speaker 2: stopped and really thought about the moment we're in on 186 00:07:50,560 --> 00:07:53,160 Speaker 2: the high ground of that concept has got to Macunda, 187 00:07:53,720 --> 00:07:57,160 Speaker 2: who is at Two Rivers Group, which barely describes his 188 00:07:57,320 --> 00:08:03,320 Speaker 2: contribution to thinking about leadership at MIT at Harvard a 189 00:08:03,400 --> 00:08:06,800 Speaker 2: Yell lecture now, but particularly his political science at the 190 00:08:06,840 --> 00:08:11,000 Speaker 2: Massachusetts Institute of Technology, a number of years ago. God, 191 00:08:11,120 --> 00:08:13,120 Speaker 2: and thank you so much for joining us. And I 192 00:08:13,240 --> 00:08:16,679 Speaker 2: just want to go back to picking presidents. A book 193 00:08:16,680 --> 00:08:20,280 Speaker 2: you put out two years ago. Nice timing, God, and 194 00:08:20,360 --> 00:08:23,680 Speaker 2: you nailed that, and in it you go right to 195 00:08:23,720 --> 00:08:25,800 Speaker 2: the heart of what I was talking about with David 196 00:08:25,840 --> 00:08:32,120 Speaker 2: Gura Sunday, I guess Harry Truman and the system at 197 00:08:32,120 --> 00:08:34,600 Speaker 2: its best. I was trying, in my inept way to 198 00:08:34,679 --> 00:08:39,000 Speaker 2: explain why nineteen fifty two and off the death of 199 00:08:39,160 --> 00:08:42,640 Speaker 2: FDR and forty five matters. What did they do with 200 00:08:42,800 --> 00:08:46,760 Speaker 2: Harry Truman that we're stumbling on right now? What do 201 00:08:46,840 --> 00:08:48,000 Speaker 2: we learn from that era? 202 00:08:49,000 --> 00:08:51,079 Speaker 8: Well, thank thank you for that introduction. Though one of 203 00:08:51,120 --> 00:08:53,719 Speaker 8: my friends texted me, went out to Biden, said he 204 00:08:53,760 --> 00:08:56,200 Speaker 8: wasn't writing for relaction and said, usually when people say 205 00:08:56,200 --> 00:09:00,040 Speaker 8: they wrote the book on missips of metaphor, and so 206 00:09:00,440 --> 00:09:03,079 Speaker 8: for Truman in ninety forty eight. Let's think this through 207 00:09:03,080 --> 00:09:06,160 Speaker 8: for a second, right, Franklin Roosevelt runs for president in 208 00:09:06,240 --> 00:09:09,600 Speaker 8: nineteen forty four. It's his he's running for his fourth 209 00:09:09,679 --> 00:09:13,640 Speaker 8: term in office. Democratic Party insiders know that he is terribly, 210 00:09:13,920 --> 00:09:17,280 Speaker 8: terribly sick. Everyone who spends time around him can see 211 00:09:17,320 --> 00:09:18,960 Speaker 8: that this is a man who is not wrong for 212 00:09:19,040 --> 00:09:22,040 Speaker 8: this world, but he is Franklin Roosevelt. If he runs, 213 00:09:22,080 --> 00:09:24,319 Speaker 8: he's going to win reelection. Nobody has any real doubts 214 00:09:24,320 --> 00:09:27,319 Speaker 8: about that. And that means that they are really really 215 00:09:27,679 --> 00:09:31,800 Speaker 8: electing his vice president and Henry Wallace, who had considerable virtues. 216 00:09:31,800 --> 00:09:33,120 Speaker 8: I'm not you know, I'm not saying it's all for 217 00:09:33,280 --> 00:09:35,440 Speaker 8: Henry Wallace was a man I'm not just to the left, 218 00:09:35,440 --> 00:09:39,280 Speaker 8: but the far left and Democratic Party leaders looked at 219 00:09:39,360 --> 00:09:42,880 Speaker 8: him and just said, this guy cannot be president of 220 00:09:42,920 --> 00:09:46,360 Speaker 8: the United States. And in particular they said he cannot 221 00:09:46,360 --> 00:09:49,360 Speaker 8: be president in the context where in the post World 222 00:09:49,440 --> 00:09:52,000 Speaker 8: War or ghost War world we're going to be worried 223 00:09:52,000 --> 00:09:55,240 Speaker 8: about the Soviet Union. And so Democratic Party leaders did 224 00:09:55,720 --> 00:09:59,679 Speaker 8: what functioning parties do. They lined up, they created a 225 00:09:59,679 --> 00:10:03,120 Speaker 8: press your campaign to put walls off the off, walls 226 00:10:03,160 --> 00:10:06,000 Speaker 8: off the ticket, and they picked what they decided was 227 00:10:06,080 --> 00:10:08,559 Speaker 8: the best person in the Democratic Party to take his place, 228 00:10:08,760 --> 00:10:10,840 Speaker 8: and in that they got Harry Truman. And Truman was 229 00:10:10,880 --> 00:10:13,960 Speaker 8: they were enormously rewarded by his sort of really so 230 00:10:14,040 --> 00:10:17,760 Speaker 8: quite surprising in some ways success in the presidency. When 231 00:10:17,760 --> 00:10:20,560 Speaker 8: we think about this is what parties are supposed to 232 00:10:20,559 --> 00:10:22,080 Speaker 8: do this, how they function. 233 00:10:22,120 --> 00:10:24,400 Speaker 2: And can I say, Paul Sweeney, it's just could jump 234 00:10:24,440 --> 00:10:27,120 Speaker 2: in here, Paul, But it's just simple jd Vance. You know, 235 00:10:27,200 --> 00:10:28,599 Speaker 2: Harry Truman, what's going on? 236 00:10:29,000 --> 00:10:29,560 Speaker 7: Hey got them? 237 00:10:30,360 --> 00:10:32,680 Speaker 4: Give us your views on what the Democratic Party just 238 00:10:32,720 --> 00:10:35,480 Speaker 4: went through over the last several days with President Biding 239 00:10:36,000 --> 00:10:39,800 Speaker 4: stepping down from the campaign and I guess Vice President 240 00:10:39,840 --> 00:10:41,240 Speaker 4: Harris kind of taking the mantle here. 241 00:10:41,280 --> 00:10:41,840 Speaker 3: What's your take? 242 00:10:43,040 --> 00:10:44,880 Speaker 8: Yeah, So the first and what I said is that 243 00:10:44,960 --> 00:10:47,679 Speaker 8: this is a party functioning the way that they're supposed to, which, 244 00:10:48,400 --> 00:10:50,480 Speaker 8: you know, give them credit. A week ago, I don't 245 00:10:50,480 --> 00:10:52,200 Speaker 8: think any of us would have thought of the Democratic 246 00:10:52,200 --> 00:10:55,600 Speaker 8: Party was dysfunctional. Right that its ability to sort of 247 00:10:55,679 --> 00:10:58,120 Speaker 8: line up and then move this and make this happen 248 00:10:58,160 --> 00:11:00,520 Speaker 8: so seamlessly is not something that I think many of 249 00:11:00,559 --> 00:11:02,400 Speaker 8: us expected, and it's certainly not something that I expected. 250 00:11:02,640 --> 00:11:04,439 Speaker 8: I thought that the transition would happen, but I thought 251 00:11:04,440 --> 00:11:06,760 Speaker 8: it would be longer, more awkward, and much bloodier than 252 00:11:06,800 --> 00:11:11,000 Speaker 8: this second. When you're looking at Vice President Harris itself, 253 00:11:11,160 --> 00:11:14,199 Speaker 8: I just want to think this through, right. She could 254 00:11:14,240 --> 00:11:17,720 Speaker 8: not have found out that she was getting Joe Biden's endorsement, 255 00:11:17,760 --> 00:11:20,880 Speaker 8: that he was stepping down. The earliest she could have 256 00:11:20,920 --> 00:11:24,080 Speaker 8: find out found out was noon on Sunday, right noon 257 00:11:24,080 --> 00:11:26,439 Speaker 8: on Sunday, because the decision wasn't made finally until that morning. 258 00:11:27,280 --> 00:11:30,839 Speaker 8: By noon on Monday, less than twenty four hours later, 259 00:11:31,440 --> 00:11:35,640 Speaker 8: she had secured the endorsement of every single plausible contender 260 00:11:35,679 --> 00:11:39,439 Speaker 8: for the nomination. Widmer and Pritzker were the last two 261 00:11:39,480 --> 00:11:43,120 Speaker 8: to fall, and they both endorsed her Monday morning. To 262 00:11:43,200 --> 00:11:47,320 Speaker 8: do that from a standing start is actually quite remarkable, right. 263 00:11:47,360 --> 00:11:49,640 Speaker 8: It is not something I think many people would have expected. 264 00:11:49,679 --> 00:11:51,400 Speaker 8: It's certainly not something I would have expected. 265 00:11:52,920 --> 00:11:56,040 Speaker 4: How about former President Obama? Are you surprised that we 266 00:11:56,080 --> 00:11:58,160 Speaker 4: have not necessarily heard from him yet? And when do 267 00:11:58,160 --> 00:11:58,720 Speaker 4: you expect no. 268 00:12:00,040 --> 00:12:01,720 Speaker 8: One out of a statement saying, look, I have always 269 00:12:01,720 --> 00:12:03,880 Speaker 8: made a policy of not making these endorsements. He didn't 270 00:12:03,880 --> 00:12:07,640 Speaker 8: do it in twenty with Biden. You Know what I 271 00:12:07,640 --> 00:12:10,920 Speaker 8: would say is it's clear that party insiders know exactly 272 00:12:10,920 --> 00:12:13,320 Speaker 8: what he favors. Right, he has doesn't have to make 273 00:12:13,320 --> 00:12:16,160 Speaker 8: a public statement for everyone in the party leadership to 274 00:12:16,240 --> 00:12:18,280 Speaker 8: know who he thinks should be the next Tommy. Right, 275 00:12:19,559 --> 00:12:23,800 Speaker 8: So the lack of a public statement him and I 276 00:12:23,800 --> 00:12:27,319 Speaker 8: think to some extent him also kind of maybe it's 277 00:12:27,360 --> 00:12:30,040 Speaker 8: a way of sort of showing respect to Joe Biden, 278 00:12:30,080 --> 00:12:32,599 Speaker 8: right when he didn't endorse last time around. Okay, go 279 00:12:32,840 --> 00:12:35,040 Speaker 8: he did. How can he do with this in the. 280 00:12:35,000 --> 00:12:37,640 Speaker 2: Time we've got left? I got your next book for you. 281 00:12:37,760 --> 00:12:40,160 Speaker 2: I know you're doing nothing this summer, but you know 282 00:12:40,240 --> 00:12:41,839 Speaker 2: you can go up to Maine and write it off 283 00:12:41,880 --> 00:12:45,040 Speaker 2: the shores looking out at the Atlantic Ocean. Your next 284 00:12:45,080 --> 00:12:48,080 Speaker 2: book is called Picking Vice Presidents. You've got to be 285 00:12:48,160 --> 00:12:54,000 Speaker 2: kidding me. How does Vice President Harris go about let's 286 00:12:54,080 --> 00:12:57,000 Speaker 2: just say, for the conversation, the derby of an astronaut 287 00:12:57,080 --> 00:13:00,640 Speaker 2: from Arizona, a guy from North Carolina that's on the block, 288 00:13:00,679 --> 00:13:03,800 Speaker 2: plus they need him for a Senate run in North Carolina, 289 00:13:04,280 --> 00:13:08,280 Speaker 2: and a Jewish governor in Pennsylvania. How does well, how 290 00:13:08,320 --> 00:13:11,360 Speaker 2: did how do you prosecute that? Giving your expertise? 291 00:13:12,600 --> 00:13:14,880 Speaker 8: Well, you got to toss in the maybe the leading 292 00:13:14,920 --> 00:13:18,480 Speaker 8: candidate is Ady Basher, the governor of Kentucky. Right, so 293 00:13:19,080 --> 00:13:22,839 Speaker 8: my personal bias is Mark Kelly, because then then Katie 294 00:13:22,880 --> 00:13:25,560 Speaker 8: Hobbs kind of points Scott Kelly, Mark's twin brother to 295 00:13:25,600 --> 00:13:27,280 Speaker 8: the Senate, and I think that would just be the 296 00:13:27,320 --> 00:13:29,360 Speaker 8: funniest the funniest thing that happened in the history of 297 00:13:29,400 --> 00:13:31,560 Speaker 8: American politics, and honestly, we could all use a good laugh. 298 00:13:32,840 --> 00:13:36,800 Speaker 8: But more seriously, the party of the Democratic Party has 299 00:13:37,520 --> 00:13:40,240 Speaker 8: the problem of its principal virtue, which is has got 300 00:13:40,240 --> 00:13:45,640 Speaker 8: a really deep bench. Right Nowher's appeal has strong appeal 301 00:13:45,720 --> 00:13:49,600 Speaker 8: to sort of the working class whites. Kelly brings Arizona 302 00:13:49,679 --> 00:13:53,240 Speaker 8: back into play. Shapiro probably takes Pennsylvania out of play 303 00:13:53,280 --> 00:13:55,600 Speaker 8: and just makes it a solid blue seat. These are 304 00:13:55,679 --> 00:13:58,640 Speaker 8: all all arounds. I suspect it won't be Cooper. Oh, obviously, 305 00:13:58,679 --> 00:14:01,800 Speaker 8: it's been fantastic North Carolina, just because the Democrats are 306 00:14:01,800 --> 00:14:05,280 Speaker 8: going to double down on we are the young face 307 00:14:05,320 --> 00:14:07,480 Speaker 8: of change that Kamala Harris gives them and Cooper, and 308 00:14:07,559 --> 00:14:08,680 Speaker 8: Cooper is his late sixties. 309 00:14:09,080 --> 00:14:11,839 Speaker 2: I got one, I got one minute left, Professor, How 310 00:14:11,880 --> 00:14:15,760 Speaker 2: does President Trump respond to what we've seen the last 311 00:14:15,800 --> 00:14:18,920 Speaker 2: three days and what we will hear from President Biden 312 00:14:19,000 --> 00:14:19,520 Speaker 2: this evening? 313 00:14:20,880 --> 00:14:22,960 Speaker 8: So I got a text from a very very senior 314 00:14:23,000 --> 00:14:27,160 Speaker 8: Republican this morning saying this is a quote I stand corrected. 315 00:14:27,480 --> 00:14:30,440 Speaker 8: I thought she would be a disaster, and this has 316 00:14:30,480 --> 00:14:33,400 Speaker 8: been the best three day rollout she could possibly have had. 317 00:14:34,560 --> 00:14:36,760 Speaker 8: I think he will find a way to respond. I 318 00:14:36,760 --> 00:14:40,240 Speaker 8: would never underestimate Donald Trump's cunning, but his standard attacks 319 00:14:40,280 --> 00:14:43,080 Speaker 8: are really going to run into problems here because by 320 00:14:43,160 --> 00:14:45,480 Speaker 8: running against a black woman, the sort of dog whistle 321 00:14:45,520 --> 00:14:47,880 Speaker 8: politics that he's that he's used to, He's going to 322 00:14:47,920 --> 00:14:49,840 Speaker 8: be really tempted to go over the line. And we've 323 00:14:49,880 --> 00:14:53,280 Speaker 8: already seen a bunch of House Republicans start calling her, 324 00:14:53,440 --> 00:14:55,360 Speaker 8: you know, a DEI candidate. 325 00:14:54,960 --> 00:14:55,400 Speaker 2: Things like that. 326 00:14:55,560 --> 00:14:58,200 Speaker 8: Just to put this in perspective. Six years of Attorney general, 327 00:14:58,240 --> 00:15:00,800 Speaker 8: four years of senator, four years is vice resident. She 328 00:15:00,960 --> 00:15:04,960 Speaker 8: is way more qualified than you know JD. Vans or hey, 329 00:15:05,000 --> 00:15:06,760 Speaker 8: George W. Bush, not that long ago. 330 00:15:07,120 --> 00:15:09,800 Speaker 2: Okay, Professor mcconna, just quickly here, what should the Red 331 00:15:09,840 --> 00:15:13,880 Speaker 2: Sox do with the trade deadline? Should they trade her? Oh? 332 00:15:14,080 --> 00:15:15,320 Speaker 8: You always need starting pitching? 333 00:15:15,960 --> 00:15:18,960 Speaker 2: Okay, Well that's what Paul Sweeney says as well. This 334 00:15:19,040 --> 00:15:21,360 Speaker 2: has been wonderful. Don't be a stranger. Got m Kunda 335 00:15:21,440 --> 00:15:24,360 Speaker 2: definitive folks here. I really can't say enough about his 336 00:15:24,480 --> 00:15:32,240 Speaker 2: book picking Presidents shockingly pression. Can I just say that, 337 00:15:32,360 --> 00:15:34,840 Speaker 2: Dan Eyes, for those of you on Bloomberg Radio, you're 338 00:15:34,920 --> 00:15:37,640 Speaker 2: lucky you can't see this he's the kind of guy 339 00:15:37,720 --> 00:15:40,960 Speaker 2: who takes a Williams Sonoma tablecloth and makes it into. 340 00:15:40,840 --> 00:15:45,480 Speaker 3: A shirt, makes it looks like Lemons, Lemons. 341 00:15:45,480 --> 00:15:48,440 Speaker 4: He's looking sharp as always, Lemons on his shirt, pink pants, 342 00:15:48,480 --> 00:15:49,200 Speaker 4: all that kind of stuff. 343 00:15:49,440 --> 00:15:50,600 Speaker 3: Crazy sneaks. 344 00:15:50,640 --> 00:15:52,520 Speaker 4: I'm not sure what's going on there, Dan Ives, Managing 345 00:15:52,560 --> 00:15:55,240 Speaker 4: Director Senior Equianos at Wedbush Securities stand thanks so much 346 00:15:55,240 --> 00:15:57,080 Speaker 4: for being in studio with us. 347 00:15:57,320 --> 00:15:59,680 Speaker 3: Talk to us about Tesla last night. 348 00:16:00,000 --> 00:16:03,400 Speaker 4: The numbers came in on the boring old automobile business 349 00:16:03,640 --> 00:16:06,120 Speaker 4: weaker than expected, But again he's trying to get folks 350 00:16:06,160 --> 00:16:09,840 Speaker 4: to focus on other issues, whether it's AI, robotaxi whatever. 351 00:16:10,120 --> 00:16:11,400 Speaker 3: What was your takeaway from the court, I. 352 00:16:11,400 --> 00:16:13,480 Speaker 7: Think it's a tail of two cities. If you want 353 00:16:13,520 --> 00:16:16,800 Speaker 7: to focus on margins in terms of the price cuts 354 00:16:16,880 --> 00:16:21,240 Speaker 7: lower asps margins were disappointing, two hundred BIPs lower. That's 355 00:16:21,280 --> 00:16:24,680 Speaker 7: why the stocks down. But I believe that's nazeeing fares 356 00:16:24,720 --> 00:16:28,040 Speaker 7: through the trees. I mean, this is an AI robotics 357 00:16:28,240 --> 00:16:31,760 Speaker 7: and Robotaxi day and now October tenth, that's going to 358 00:16:31,760 --> 00:16:34,200 Speaker 7: be the story going forward. And I think this is 359 00:16:34,280 --> 00:16:37,400 Speaker 7: a theme where as is all plays out in the 360 00:16:37,560 --> 00:16:41,560 Speaker 7: street will start to better understand what's happening at Tessa. 361 00:16:41,960 --> 00:16:43,720 Speaker 7: I we're buyers in the weakness here. 362 00:16:43,840 --> 00:16:46,120 Speaker 2: Do they have a CEO? It's this guy around her 363 00:16:46,120 --> 00:16:48,480 Speaker 2: as a helping Donald Trump and mister Vance. 364 00:16:48,760 --> 00:16:50,280 Speaker 7: Look, I think actually stayed away. 365 00:16:50,520 --> 00:16:52,240 Speaker 2: You're in a conference call. I mean, is he running 366 00:16:52,280 --> 00:16:52,720 Speaker 2: the company? 367 00:16:53,360 --> 00:16:58,200 Speaker 7: I think he is more more from a you know, 368 00:16:58,320 --> 00:17:01,360 Speaker 7: would I'd say pilot on the plane at Tesla today, 369 00:17:01,520 --> 00:17:03,560 Speaker 7: adult in the room then he's probably been in the 370 00:17:03,640 --> 00:17:05,680 Speaker 7: last few years because I think Tom, I think the 371 00:17:05,720 --> 00:17:09,119 Speaker 7: biggest thing is he recognized, must recognize is this is 372 00:17:09,160 --> 00:17:13,200 Speaker 7: a pivotal historical time for the Tesla story in terms 373 00:17:13,240 --> 00:17:17,680 Speaker 7: of robotaxis AI as well as now demands stabilizing in China. 374 00:17:17,760 --> 00:17:20,479 Speaker 7: But also we go back three months ago. The haters 375 00:17:20,520 --> 00:17:22,480 Speaker 7: hate this name. They thought it was one forty going 376 00:17:22,480 --> 00:17:24,960 Speaker 7: to one hundred. Look where the stocks at today. That's 377 00:17:24,960 --> 00:17:27,520 Speaker 7: why I think you always have to just be cognizant 378 00:17:27,560 --> 00:17:30,679 Speaker 7: of that. As many of you know, they hated fifty billion, 379 00:17:30,760 --> 00:17:32,200 Speaker 7: the spies at the trillion. 380 00:17:32,080 --> 00:17:34,320 Speaker 4: Yep, exactly, So Dan, I mean, just looking at the 381 00:17:34,359 --> 00:17:37,679 Speaker 4: stock just year to date, it's really amazing. Story started 382 00:17:37,720 --> 00:17:39,600 Speaker 4: the first four four and a half months, stock down 383 00:17:39,680 --> 00:17:44,480 Speaker 4: fifty percent Since late April, it's rallied seventy five percent, 384 00:17:44,560 --> 00:17:47,760 Speaker 4: so now todate we're pretty much kind of even here 385 00:17:47,840 --> 00:17:48,199 Speaker 4: for the year. 386 00:17:48,320 --> 00:17:49,560 Speaker 3: What does that kind of move tell you? 387 00:17:49,920 --> 00:17:53,320 Speaker 7: I think it shows that Wall Street slowly is now 388 00:17:53,440 --> 00:17:57,240 Speaker 7: starting to understand this is an AI robotics play and 389 00:17:57,440 --> 00:18:00,760 Speaker 7: not a traditional car company, because you'll have six seven 390 00:18:00,920 --> 00:18:04,240 Speaker 7: million vehicles in the road. And I think that leays 391 00:18:04,320 --> 00:18:06,720 Speaker 7: out what will be the next chapter. 392 00:18:06,640 --> 00:18:09,760 Speaker 2: On AI capac spend. What can you take from Google 393 00:18:09,920 --> 00:18:13,600 Speaker 2: last night and bring it forward to next Wednesday and Thursday, 394 00:18:13,720 --> 00:18:14,680 Speaker 2: Microsoft and awfter. 395 00:18:14,760 --> 00:18:17,400 Speaker 7: I think it shows AI revolution. We've talked about nine 396 00:18:17,520 --> 00:18:19,520 Speaker 7: pm in a part that goes to four am. I mean, 397 00:18:19,520 --> 00:18:21,920 Speaker 7: if you look at those CAPBAX numbers, look at that 398 00:18:22,000 --> 00:18:25,560 Speaker 7: Google Cloud. I'm more bullish on alphabet today than it 399 00:18:25,720 --> 00:18:28,879 Speaker 7: was twenty four hours ago. Why because you look at 400 00:18:28,960 --> 00:18:31,359 Speaker 7: Google right now. Google Cloud is on a run rate 401 00:18:31,440 --> 00:18:35,480 Speaker 7: forty to fifty billion cap backs, ramping search and advertising, 402 00:18:35,680 --> 00:18:38,480 Speaker 7: continuing to increase in terms of that rebound that we see. 403 00:18:38,840 --> 00:18:41,440 Speaker 7: And this is a company that has the mojo back. 404 00:18:41,480 --> 00:18:43,920 Speaker 7: They are on the offense and not defensive, and I 405 00:18:44,000 --> 00:18:46,440 Speaker 7: think some of the parts AI adds thirty to four 406 00:18:46,520 --> 00:18:49,840 Speaker 7: hours per share to that to the Google story, it's 407 00:18:49,960 --> 00:18:52,280 Speaker 7: bullish as a read through from Microsoft. 408 00:18:51,960 --> 00:18:54,080 Speaker 2: As a criticles. This came up at dinner last night. 409 00:18:54,119 --> 00:18:58,040 Speaker 2: Do you partition AI into this group of companies that 410 00:18:58,200 --> 00:19:00,600 Speaker 2: group of companies alread you have blend them all into 411 00:19:00,640 --> 00:19:02,680 Speaker 2: a dan Ives continuum. 412 00:19:03,000 --> 00:19:05,680 Speaker 7: No, I think you parse them out in terms of 413 00:19:05,760 --> 00:19:09,240 Speaker 7: the basket. The semi auto you know, in terms of 414 00:19:09,280 --> 00:19:12,240 Speaker 7: the AI play is the software AI play is where 415 00:19:12,240 --> 00:19:15,240 Speaker 7: I view those as the second derivative the cloud star 416 00:19:15,320 --> 00:19:18,800 Speaker 7: wards Google, Amazon, Microsoft, and then as we talked about 417 00:19:18,800 --> 00:19:22,359 Speaker 7: a lot Apple the AI store, I continue to believe 418 00:19:22,440 --> 00:19:25,920 Speaker 7: the AI piece of that Apple is still not being. 419 00:19:25,920 --> 00:19:29,359 Speaker 2: Which has the most predictable cash flow forward, which is 420 00:19:29,440 --> 00:19:33,880 Speaker 2: the conservative bet for conservative listeners and viewers within those 421 00:19:34,000 --> 00:19:35,280 Speaker 2: buckets of AI. 422 00:19:35,160 --> 00:19:38,679 Speaker 7: It's that company in Redmond in the Nadella and Microsoft 423 00:19:38,880 --> 00:19:42,159 Speaker 7: that is right now the best bet in terms of AI. 424 00:19:42,720 --> 00:19:46,440 Speaker 7: In terms of where we see on spending as your copilot, 425 00:19:47,119 --> 00:19:49,560 Speaker 7: it's kind of their world. Everyone else paying rent from 426 00:19:49,640 --> 00:19:53,040 Speaker 7: an AI perspective, Google narrowing the gap, but it just 427 00:19:53,119 --> 00:19:55,240 Speaker 7: goes back to we have a trillion dollars of spend. 428 00:19:55,640 --> 00:19:58,160 Speaker 7: So if you want to sell it on these kind 429 00:19:58,200 --> 00:20:01,479 Speaker 7: of knee jerk reactions. Go ahead, bulls who buy them. 430 00:20:01,920 --> 00:20:05,119 Speaker 4: I mean, you look at Microsoft, It's up only eighteen 431 00:20:05,240 --> 00:20:07,680 Speaker 4: percent year to date. What do you think is not 432 00:20:07,760 --> 00:20:10,240 Speaker 4: I mean, that's excellent performance, kind of in line with 433 00:20:10,359 --> 00:20:12,560 Speaker 4: the market. But is this something that is not being 434 00:20:12,600 --> 00:20:13,760 Speaker 4: fully recognized. 435 00:20:13,359 --> 00:20:13,720 Speaker 2: By the market. 436 00:20:14,160 --> 00:20:16,520 Speaker 7: Well, because I think the investors that have missed it, 437 00:20:16,800 --> 00:20:19,639 Speaker 7: they keep waiting for the shooter drop AI. It's hype, 438 00:20:20,480 --> 00:20:24,080 Speaker 7: the valuation doesn't make sense. They're waiting for some negative 439 00:20:24,160 --> 00:20:28,480 Speaker 7: aha moment. But the reality is that you, as Tom 440 00:20:28,560 --> 00:20:33,040 Speaker 7: talks about cap ax fole the money. You have hundreds 441 00:20:33,080 --> 00:20:37,080 Speaker 7: of billions. Where's that going towards Microsoft? Google? Amazon of 442 00:20:37,160 --> 00:20:38,480 Speaker 7: course godfather of AI and. 443 00:20:38,560 --> 00:20:41,359 Speaker 4: Video and video. I mean again, this stocks up one 444 00:20:41,400 --> 00:20:43,399 Speaker 4: hundred and fifty percent year to date. It seems like 445 00:20:43,480 --> 00:20:45,639 Speaker 4: that's where investors are kind of piling in. 446 00:20:45,720 --> 00:20:48,320 Speaker 3: On the AI trade. They're not thinking about maybe that secondary. 447 00:20:48,680 --> 00:20:52,080 Speaker 7: It goes back to we are fully there in terms 448 00:20:52,119 --> 00:20:55,239 Speaker 7: of Godfather A Gensen Nvidio, and that train is going 449 00:20:55,280 --> 00:21:00,240 Speaker 7: to continue to move full steamat but not focus on second, third, 450 00:21:00,440 --> 00:21:03,840 Speaker 7: fourth derivatives of this AI revolution, And we talk about 451 00:21:03,920 --> 00:21:07,040 Speaker 7: Apple is a huge, gonna be a huge front and 452 00:21:07,119 --> 00:21:10,600 Speaker 7: center is the second third derivative because the consumer AI 453 00:21:10,800 --> 00:21:14,000 Speaker 7: revolution will now go through Cooper Tino, and I think 454 00:21:14,080 --> 00:21:16,399 Speaker 7: more and more investors have started understand that. That's why 455 00:21:16,480 --> 00:21:19,680 Speaker 7: the stock from WWDC the one ninety to two twenty five. 456 00:21:20,359 --> 00:21:24,000 Speaker 2: What do you see in China? I think Archer, he's 457 00:21:24,000 --> 00:21:26,480 Speaker 2: getting killed in China, according to Lewis Vieuten. 458 00:21:27,280 --> 00:21:30,560 Speaker 7: I think, look, I think China continues to be very 459 00:21:30,720 --> 00:21:33,480 Speaker 7: choppy from a spending environment. But the one thing I've 460 00:21:33,560 --> 00:21:37,880 Speaker 7: seen in terms of mid market tesla, if I look 461 00:21:37,880 --> 00:21:40,800 Speaker 7: at iPhones in China, that's actually been a turnaround. 462 00:21:40,920 --> 00:21:42,840 Speaker 4: So I'm not saying just about that because that was 463 00:21:43,080 --> 00:21:46,399 Speaker 4: a real significant fundamental headwind for I think a lot 464 00:21:46,400 --> 00:21:47,000 Speaker 4: of investors. 465 00:21:47,280 --> 00:21:49,960 Speaker 7: Well, I think part of it is that there is 466 00:21:50,080 --> 00:21:53,879 Speaker 7: specific tailwinds that Apple has because you have about one 467 00:21:53,960 --> 00:21:56,040 Speaker 7: hundred million iPhones that are in the window of an 468 00:21:56,080 --> 00:22:00,280 Speaker 7: upgrade opportunity. Definitely cold tech war US China's or to 469 00:22:00,359 --> 00:22:02,960 Speaker 7: beat a bit. But it comes down to like that 470 00:22:03,720 --> 00:22:07,600 Speaker 7: the mid market consumer in China is spending, but where 471 00:22:07,680 --> 00:22:10,320 Speaker 7: they spend you could be like negative for Nike, but 472 00:22:10,520 --> 00:22:14,560 Speaker 7: but Apple, Tessa others to bet on the China Doomsday 473 00:22:14,760 --> 00:22:15,560 Speaker 7: and that's the wrong move. 474 00:22:15,640 --> 00:22:17,840 Speaker 2: Did you get a call from the chief of marketing 475 00:22:17,960 --> 00:22:24,840 Speaker 2: at webbush You now have people out dressing like dan Ives. 476 00:22:25,720 --> 00:22:28,119 Speaker 2: Angeline needs to get a life. I mean, it's a 477 00:22:28,160 --> 00:22:31,320 Speaker 2: great photo over here, and she's she's got the green 478 00:22:31,400 --> 00:22:35,120 Speaker 2: coat thing going with the flower top. Okay, like Ives, 479 00:22:35,440 --> 00:22:37,520 Speaker 2: I mean, this is there's a trend here. 480 00:22:37,840 --> 00:22:40,960 Speaker 7: But just like there's a trend for Keene, you have 481 00:22:41,119 --> 00:22:43,280 Speaker 7: many kids they try to dress like you. But so 482 00:22:43,400 --> 00:22:45,879 Speaker 7: the point it's just I think it's gone from the Keen. 483 00:22:46,480 --> 00:22:48,479 Speaker 7: They're trying to follow the pet No one could ever 484 00:22:48,640 --> 00:22:50,800 Speaker 7: match you. And I think it's just one of those 485 00:22:50,840 --> 00:22:53,360 Speaker 7: things where it's a combo. It's kind of a combo. 486 00:22:54,000 --> 00:22:55,560 Speaker 7: So I think what people are. 487 00:22:56,080 --> 00:22:58,080 Speaker 2: No family talking to you? I mean, can you see 488 00:22:58,119 --> 00:23:02,920 Speaker 2: like a a lab you know. 489 00:23:03,560 --> 00:23:05,480 Speaker 7: And look, I haven't worn to tie since I think 490 00:23:05,560 --> 00:23:06,480 Speaker 7: probably last time. 491 00:23:06,560 --> 00:23:09,399 Speaker 2: You know, Mets when uh, you know they want to 492 00:23:09,880 --> 00:23:11,320 Speaker 2: against the Yankees do the math. 493 00:23:11,600 --> 00:23:13,240 Speaker 7: I'm bullish on Mets, are you? 494 00:23:14,400 --> 00:23:15,520 Speaker 2: I think there's trade Alonzo. 495 00:23:16,359 --> 00:23:19,399 Speaker 7: No, Alonzo's core part of them. Look, I believe we 496 00:23:19,560 --> 00:23:21,360 Speaker 7: will be in the playoffs soon. 497 00:23:21,640 --> 00:23:23,280 Speaker 2: Some of the parts apple right now. 498 00:23:24,359 --> 00:23:26,480 Speaker 7: I mean I think some of the parts you ultimately 499 00:23:26,560 --> 00:23:29,560 Speaker 7: get to a stock that's seventy five two hundred hours higher. 500 00:23:30,320 --> 00:23:33,080 Speaker 7: When I look at Apple three hundred to three point 501 00:23:33,080 --> 00:23:35,560 Speaker 7: fifty is where I kind of view that some of 502 00:23:35,600 --> 00:23:36,800 Speaker 7: the parts as it plays out. 503 00:23:37,000 --> 00:23:39,159 Speaker 2: I wasn't awake until lives walked in it. I mean 504 00:23:39,200 --> 00:23:40,080 Speaker 2: the shirt alone is. 505 00:23:40,080 --> 00:23:40,719 Speaker 7: Waking me up. 506 00:23:40,800 --> 00:23:41,000 Speaker 2: Yep. 507 00:23:41,440 --> 00:23:43,760 Speaker 3: We didn't even get the pen states. 508 00:23:53,000 --> 00:23:55,440 Speaker 2: Do jav look at the front pages a Lisa Manteo 509 00:23:55,680 --> 00:23:58,080 Speaker 2: hour because she's on fire today. Lisa, what do you have? 510 00:23:58,480 --> 00:24:00,280 Speaker 9: All right? A question for you. First, have you ever 511 00:24:00,359 --> 00:24:02,679 Speaker 9: sent your kids off in a flight by themselves? 512 00:24:03,200 --> 00:24:03,960 Speaker 2: You just did it? 513 00:24:04,320 --> 00:24:05,040 Speaker 5: You just did it? 514 00:24:05,160 --> 00:24:07,240 Speaker 9: Okay? How well, what were you nervous? 515 00:24:07,400 --> 00:24:11,240 Speaker 2: How old time? Whole time? Yeah, flight tracker, monitor the 516 00:24:11,280 --> 00:24:14,800 Speaker 2: whole way. God yeah, total total agony. And she was 517 00:24:14,840 --> 00:24:18,560 Speaker 2: not young. I can't imagine people flying ten year olds around. 518 00:24:18,800 --> 00:24:20,440 Speaker 9: Yeah, have you yet young? 519 00:24:20,600 --> 00:24:22,480 Speaker 3: Probably likely I did. 520 00:24:22,520 --> 00:24:24,240 Speaker 9: I sent my son when he was about nine or 521 00:24:24,280 --> 00:24:26,680 Speaker 9: ten to see my mom in Florida, so you know, 522 00:24:26,800 --> 00:24:28,440 Speaker 9: you walk the kid up. You know they let you 523 00:24:28,520 --> 00:24:30,720 Speaker 9: do that. The other parent parent is on the other side. 524 00:24:31,200 --> 00:24:35,200 Speaker 9: But can you imagine these kids, unaccompanied miners stuck with 525 00:24:35,320 --> 00:24:38,200 Speaker 9: the Delta, Oh, mass that's right. So this is the 526 00:24:38,240 --> 00:24:40,959 Speaker 9: big story right now. A lot of parents sounding off 527 00:24:41,000 --> 00:24:44,080 Speaker 9: on social media about it. This from the Washington Post. 528 00:24:44,160 --> 00:24:46,359 Speaker 9: One Georgia man said his kids were stuck at three 529 00:24:46,760 --> 00:24:51,240 Speaker 9: different airports. Parents spent hours on hold with Delta. They 530 00:24:51,280 --> 00:24:54,520 Speaker 9: said the airline didn't ask about their kids individual situations. 531 00:24:54,560 --> 00:24:57,000 Speaker 9: They didn't offer the book flights on other airlines, so 532 00:24:57,080 --> 00:24:59,680 Speaker 9: the parents had to do it. They were searching some airlines. 533 00:24:59,720 --> 00:25:03,439 Speaker 9: Switch to other ones cost about four thousand dollars. They 534 00:25:03,520 --> 00:25:06,080 Speaker 9: took long road trips to go get them. There was 535 00:25:06,119 --> 00:25:08,040 Speaker 9: one parent who said, on Friday, you know where kid 536 00:25:08,160 --> 00:25:11,040 Speaker 9: was in North Carolina, didn't come, not coming back till today, 537 00:25:11,760 --> 00:25:14,320 Speaker 9: So it's it's a little bit crazy. Delta didn't say 538 00:25:14,400 --> 00:25:17,119 Speaker 9: how many unaccompanied children were affected by it, but they 539 00:25:17,200 --> 00:25:21,800 Speaker 9: did say that they apologized for any confusion frustration about 540 00:25:21,800 --> 00:25:24,960 Speaker 9: I can imagine a lot of I still. 541 00:25:24,880 --> 00:25:26,480 Speaker 3: Fully understanding this. 542 00:25:26,640 --> 00:25:30,440 Speaker 9: Problems are specific Georgia because they had the most problems 543 00:25:30,520 --> 00:25:33,639 Speaker 9: with the outed I out of hours. 544 00:25:35,440 --> 00:25:43,640 Speaker 2: It was pilot get all the serious rules, the switch. 545 00:25:43,480 --> 00:25:44,520 Speaker 3: To the other one, exhaustion. 546 00:25:44,720 --> 00:25:48,040 Speaker 9: There were thousand dollars and they took us road trips 547 00:25:48,080 --> 00:25:50,159 Speaker 9: to go so a lot of time. You probably know 548 00:25:50,200 --> 00:25:52,640 Speaker 9: more about this than me. But more families turning Carolina 549 00:25:53,080 --> 00:25:58,720 Speaker 9: for their kids in college decisions. Crazy, it's a little 550 00:25:58,760 --> 00:25:59,240 Speaker 9: bit cost. 551 00:25:59,320 --> 00:26:02,320 Speaker 2: But it's more that they did the Times of London 552 00:26:02,359 --> 00:26:06,399 Speaker 2: in this article yesterday article. But frontly, you didn't do 553 00:26:06,440 --> 00:26:10,080 Speaker 2: the Royal family. They did European colleges. In the UK 554 00:26:10,280 --> 00:26:15,960 Speaker 2: colleges broke because because the UK kids, so they know 555 00:26:16,280 --> 00:26:25,800 Speaker 2: American kidsperate like and payuition even all the serious rules 556 00:26:25,960 --> 00:26:29,080 Speaker 2: up and it's a real trend in Inaust the schools 557 00:26:29,119 --> 00:26:32,560 Speaker 2: I'm dealing with. What else say, it's definitely a lot 558 00:26:32,600 --> 00:26:32,920 Speaker 2: of time. 559 00:26:32,960 --> 00:26:35,399 Speaker 9: You don't know more about this than and they had 560 00:26:35,680 --> 00:26:38,720 Speaker 9: business with this family said basically them a son. 561 00:26:41,520 --> 00:26:42,880 Speaker 2: It's a little bit called they said. 562 00:26:42,880 --> 00:26:47,359 Speaker 9: The reason was is that their Times of London. He 563 00:26:47,400 --> 00:26:49,240 Speaker 9: applied to thirty colleges. 564 00:26:48,960 --> 00:26:52,240 Speaker 2: Front the Royal family. From all they did Europe. 565 00:26:52,400 --> 00:26:54,280 Speaker 9: You just wanted to going to a junior college. But 566 00:26:54,359 --> 00:26:54,960 Speaker 9: they told them. 567 00:26:54,840 --> 00:26:58,600 Speaker 2: About this program given tuition and the u K kids to. 568 00:26:58,680 --> 00:27:04,040 Speaker 9: Find a business school in France a three year program thirteen. 569 00:27:03,720 --> 00:27:08,680 Speaker 2: Thousand tuition, even if it's less, it's way lower. What's 570 00:27:08,960 --> 00:27:13,920 Speaker 2: heated thing and it's the schools. I will say in 571 00:27:15,080 --> 00:27:18,120 Speaker 2: rising part of it against seven yeah. 572 00:27:17,960 --> 00:27:20,159 Speaker 9: Most definitely, and they had business insights. They spoke with 573 00:27:20,240 --> 00:27:22,400 Speaker 9: this family who said basically they have a son going 574 00:27:22,400 --> 00:27:25,399 Speaker 9: in others colleges process a daughter going to college in Spaine, 575 00:27:25,840 --> 00:27:28,280 Speaker 9: and they said the reason was is that their son 576 00:27:28,520 --> 00:27:30,200 Speaker 9: did well in high school, did well in his SAT. 577 00:27:30,720 --> 00:27:34,240 Speaker 9: He applied to thirty colleges, got weight listed and rejected. 578 00:27:34,480 --> 00:27:37,240 Speaker 9: We've been talking about the Almos just going to ast 579 00:27:37,240 --> 00:27:41,119 Speaker 9: today they have s on the state. But there is 580 00:27:41,240 --> 00:27:45,240 Speaker 9: another athletic event in Gay not heard of France. Runner 581 00:27:45,320 --> 00:27:48,000 Speaker 9: setting off three year program Valley. It is the world. 582 00:27:48,800 --> 00:27:50,080 Speaker 2: That's way lower than. 583 00:27:50,119 --> 00:27:53,240 Speaker 9: When seven runners they went in the middle of ringstorm 584 00:27:53,320 --> 00:27:55,400 Speaker 9: late Monday night. It's called the bad Water. 585 00:27:56,520 --> 00:27:57,160 Speaker 2: I will say. 586 00:27:57,280 --> 00:28:02,159 Speaker 9: It's many limits, different countries, ages from nineteen to sixty 587 00:28:02,240 --> 00:28:05,879 Speaker 9: nine doing this, you know, forty eight or it's ridiculous, you. 588 00:28:05,880 --> 00:28:11,440 Speaker 2: Know those pluses and degree right now it's ninety six. 589 00:28:12,920 --> 00:28:17,200 Speaker 2: Come up Tomorroway, just the high Next. 590 00:28:17,840 --> 00:28:20,920 Speaker 9: We've been talking about the Olympics, right Paris takes off today. 591 00:28:21,000 --> 00:28:26,040 Speaker 9: They have soccer no, but there is another athletic event 592 00:28:26,160 --> 00:28:29,040 Speaker 9: underway that you might not have heard of. Runner setting 593 00:28:29,080 --> 00:28:30,439 Speaker 9: off in Death Valley. 594 00:28:30,680 --> 00:28:32,040 Speaker 5: It is the world's. 595 00:28:31,720 --> 00:28:35,720 Speaker 9: Toughest foot race. Okay, ninety seven runners. They went in 596 00:28:35,760 --> 00:28:37,879 Speaker 9: the middle of a rain storm late Monday night. It's 597 00:28:37,960 --> 00:28:42,320 Speaker 9: called the bad Water one thirty five ultra marathon men 598 00:28:42,400 --> 00:28:45,080 Speaker 9: and women, a lot of different countries, ages from nineteen 599 00:28:45,080 --> 00:28:47,960 Speaker 9: to sixty nine doing this, you know, forty eight or 600 00:28:48,120 --> 00:28:51,959 Speaker 9: it's ridiculous day time temperatures one and twenty degrees right now. 601 00:28:52,040 --> 00:28:58,200 Speaker 2: In death Faily ninety six, gosh, come up tomorrow. Thursday 602 00:28:58,920 --> 00:29:04,440 Speaker 2: is the high tweet weekly. It's awesome kids, the. 603 00:29:06,480 --> 00:29:09,160 Speaker 3: Sere proteins sugar. 604 00:29:09,360 --> 00:29:12,960 Speaker 4: But again, you do all your activities very early in 605 00:29:13,000 --> 00:29:16,080 Speaker 4: the morning, okay, and then you know kind of you know, 606 00:29:16,080 --> 00:29:18,280 Speaker 4: if you're not sitting in a water episode. 607 00:29:22,560 --> 00:29:24,640 Speaker 3: But it's it's not opening the summer. They close down 608 00:29:24,640 --> 00:29:26,440 Speaker 3: the summer. So probably like spring. 609 00:29:26,320 --> 00:29:31,800 Speaker 8: Bright, like Marjorie, so a hitter like you, okay, play 610 00:29:31,920 --> 00:29:33,200 Speaker 8: right out. 611 00:29:33,200 --> 00:29:33,680 Speaker 3: They're silly. 612 00:29:34,160 --> 00:29:35,640 Speaker 2: I can see next. 613 00:29:36,920 --> 00:29:39,040 Speaker 9: And I'm sure a lot of those runners had to 614 00:29:39,120 --> 00:29:42,240 Speaker 9: increase their protein intake. But it's not just athletes. A 615 00:29:42,320 --> 00:29:48,040 Speaker 9: lot of people so weekly exactly this study say this 616 00:29:48,280 --> 00:29:52,240 Speaker 9: was in the Fallstreet Journal. People want more protein, less 617 00:29:52,240 --> 00:29:53,560 Speaker 9: sugar in their desserts. 618 00:29:54,120 --> 00:29:57,480 Speaker 3: So no one person who wants less sugar in the resserts. Okay, Well, 619 00:29:57,800 --> 00:29:58,360 Speaker 3: I'm calling. 620 00:29:58,200 --> 00:30:03,560 Speaker 9: Out the Wall Street Journal closure such as I am 621 00:30:03,640 --> 00:30:06,600 Speaker 9: guilty of this. It's all over social media, people using 622 00:30:06,960 --> 00:30:10,800 Speaker 9: cottage cheese in their cookies to make ice cream. I've 623 00:30:10,880 --> 00:30:12,960 Speaker 9: done it, believe me. I'll bring it in for you 624 00:30:13,080 --> 00:30:15,400 Speaker 9: guys one day. Okay, you can have to test it out. 625 00:30:16,000 --> 00:30:18,640 Speaker 9: Greek yogurt in a cheesecake. You know, that's one of 626 00:30:18,720 --> 00:30:21,120 Speaker 9: the things. But here's the business side to it. So 627 00:30:21,160 --> 00:30:23,400 Speaker 9: the Wall Street Journal says food brands are starting to 628 00:30:23,440 --> 00:30:25,680 Speaker 9: pick in, kick in, you know, fair life. It's this 629 00:30:25,760 --> 00:30:28,080 Speaker 9: product sold by Coca Cola. Right, it has more protein, 630 00:30:28,160 --> 00:30:31,040 Speaker 9: less sugar than regular milk. Thirty percent jump in sales 631 00:30:31,080 --> 00:30:33,120 Speaker 9: this year from a year ago because more people are 632 00:30:33,240 --> 00:30:34,640 Speaker 9: using it to mis dessert. 633 00:30:34,880 --> 00:30:35,960 Speaker 3: Seriously, old milk. 634 00:30:36,160 --> 00:30:39,040 Speaker 2: Seriously, it's all in my refrigerator and I just look 635 00:30:39,040 --> 00:30:40,640 Speaker 2: at the stuff when I go are you it is? 636 00:30:40,800 --> 00:30:41,040 Speaker 9: Okay? 637 00:30:41,440 --> 00:30:44,760 Speaker 2: Is almond milk and sowing milk? Is that legitimate? Or 638 00:30:44,840 --> 00:30:47,840 Speaker 2: is that just a spoonful of sugar. It's like Mary Poppins. 639 00:30:49,360 --> 00:30:51,280 Speaker 9: I'm not on the almond milk, soy, I can't do. 640 00:30:51,360 --> 00:30:54,400 Speaker 9: My daughter's allergic. But they're saying the ones almond milk 641 00:30:54,440 --> 00:30:56,600 Speaker 9: does have more protein, or almond milk has some protein 642 00:30:56,640 --> 00:30:57,880 Speaker 9: in it too, which is good. 643 00:30:58,520 --> 00:31:01,200 Speaker 2: It's a says the New York Yankees. Use the sugar 644 00:31:01,320 --> 00:31:02,680 Speaker 2: free Thanks Soliday. 645 00:31:03,400 --> 00:31:05,400 Speaker 9: But if you're lactose intolerant, that's the way to go. 646 00:31:05,720 --> 00:31:05,920 Speaker 5: See. 647 00:31:06,600 --> 00:31:09,920 Speaker 9: But it's the whole idea of protein making you feel 648 00:31:10,000 --> 00:31:13,440 Speaker 9: fuller for longer, increasing your muscle. So that's the whole thing. 649 00:31:13,520 --> 00:31:15,400 Speaker 9: But a lot of companies are starting to do this. 650 00:31:15,880 --> 00:31:18,680 Speaker 9: Dieticians are saying, well, you know the gig yousel up. 651 00:31:18,760 --> 00:31:20,200 Speaker 9: Maybe you know you get a lot of it in 652 00:31:20,240 --> 00:31:20,680 Speaker 9: your meals. 653 00:31:20,760 --> 00:31:24,600 Speaker 3: So mister mateos, you subject to all your crazy thought to. 654 00:31:24,680 --> 00:31:29,000 Speaker 9: My protein cottage cheese, ice cream, Yes, potch. 655 00:31:28,800 --> 00:31:34,040 Speaker 2: Absolutely torture. Lisa Mateo, thank you so much for the newspapers. 656 00:31:34,240 --> 00:31:37,400 Speaker 2: This is the Bloomberg Surveillance Podcast, bringing you the best 657 00:31:37,440 --> 00:31:42,200 Speaker 2: in economics, finance, investment, and international relations. You can also 658 00:31:42,320 --> 00:31:46,280 Speaker 2: watch the show live on YouTube. Visit the Bloomberg Podcast 659 00:31:46,480 --> 00:31:50,480 Speaker 2: channel on YouTube to see the show weekday mornings from 660 00:31:50,560 --> 00:31:53,760 Speaker 2: seven to ten am Eastern from our global headquarters in 661 00:31:53,880 --> 00:31:57,560 Speaker 2: New York City. Subscribe to the podcast on Apple, Spotify 662 00:31:57,920 --> 00:32:01,440 Speaker 2: or anywhere else you listen and always, I'm Bloomberg Radio, 663 00:32:01,680 --> 00:32:04,800 Speaker 2: the Bloomberg Terminal, and the Bloomberg Business app.