1 00:00:01,360 --> 00:00:04,120 Speaker 1: Welcome to the Bloomberg Markets Podcast. I'm Paul Sweeney, along 2 00:00:04,120 --> 00:00:06,200 Speaker 1: with my co host of Bonnie Quinn. Every business day 3 00:00:06,240 --> 00:00:10,360 Speaker 1: we bring you interviews from ceo, market pros, and Bloomberg experts, 4 00:00:10,400 --> 00:00:13,600 Speaker 1: along with essential market moving news. Find the Bloomberg Markets 5 00:00:13,600 --> 00:00:17,000 Speaker 1: Podcast on Apple Podcasts or wherever you listen to podcasts, 6 00:00:17,000 --> 00:00:21,000 Speaker 1: and on Bloomberg dot com. Well, yesterday was a busy 7 00:00:21,079 --> 00:00:22,680 Speaker 1: day in Washington, to say the least, but it was 8 00:00:22,720 --> 00:00:27,120 Speaker 1: also a busy day for social media platforms. Twitter suspended 9 00:00:27,160 --> 00:00:31,240 Speaker 1: President Trump's Twitter feed for twelve hours, required deletion of 10 00:00:31,240 --> 00:00:35,120 Speaker 1: the offending tweets, and then threatened a band. Facebook suspended 11 00:00:35,120 --> 00:00:37,600 Speaker 1: the President's ability to post for twenty four hours, but 12 00:00:37,720 --> 00:00:39,839 Speaker 1: said nothing about a permanent band. To get the latest 13 00:00:40,240 --> 00:00:43,760 Speaker 1: on how the social media platforms are reacting to yesterday's news, 14 00:00:43,760 --> 00:00:47,040 Speaker 1: we welcome to Jim Anderson, CEO of Social Flow. Jim, 15 00:00:47,080 --> 00:00:49,839 Speaker 1: thanks so much for joining us here. So, you know, 16 00:00:49,880 --> 00:00:53,280 Speaker 1: it's some pretty dramatic moves there by Facebook and Twitter. 17 00:00:53,320 --> 00:00:56,200 Speaker 1: What do you make of it? Yeah, Paul, it is 18 00:00:56,280 --> 00:00:59,480 Speaker 1: dramatic moves. I mean, in many ways we're unprecedented territory. 19 00:00:59,720 --> 00:01:02,800 Speaker 1: I will say that a suspension is not yet a band. 20 00:01:02,960 --> 00:01:06,200 Speaker 1: But there there's an air of inevitability to this that 21 00:01:06,240 --> 00:01:08,800 Speaker 1: I haven't seen before, where you know, you've got a 22 00:01:08,840 --> 00:01:12,160 Speaker 1: situation where the president was inciting violence. You know that 23 00:01:12,160 --> 00:01:14,280 Speaker 1: that will be much discussed whether that was his intent 24 00:01:14,440 --> 00:01:16,800 Speaker 1: or not, but certainly that was the outcome. And the 25 00:01:16,920 --> 00:01:20,400 Speaker 1: social media platforms have always taken sort of refuge saying, hey, 26 00:01:20,440 --> 00:01:23,080 Speaker 1: we we are not in a position to suppress the 27 00:01:23,200 --> 00:01:26,840 Speaker 1: voice of a duly elected president. But now they you 28 00:01:26,880 --> 00:01:29,520 Speaker 1: saw Twitter sort of move from one policy to another, 29 00:01:29,520 --> 00:01:31,840 Speaker 1: say well, the threat of violence now has caused us 30 00:01:31,880 --> 00:01:33,480 Speaker 1: to use this in a different light, and that's what 31 00:01:33,600 --> 00:01:36,480 Speaker 1: led to the suspension. And so the real question in 32 00:01:36,520 --> 00:01:39,280 Speaker 1: my mind is, you know, President Trump needs to sort 33 00:01:39,280 --> 00:01:41,600 Speaker 1: of back down, and because Twitter said if you continue 34 00:01:41,640 --> 00:01:43,720 Speaker 1: to do this, we may ban your account permanently. And 35 00:01:43,760 --> 00:01:45,759 Speaker 1: when have we ever known President Sumps to back down 36 00:01:45,800 --> 00:01:50,160 Speaker 1: from something? Yeah, I mean, is this something that is 37 00:01:50,200 --> 00:01:53,920 Speaker 1: happening because he is the outgoing president at this point, 38 00:01:54,000 --> 00:01:58,360 Speaker 1: so there is less at stake. Yeah, Bonny, without a doubt. 39 00:01:58,400 --> 00:02:01,360 Speaker 1: I mean, he's got what thirteen twelve states left in office. 40 00:02:01,480 --> 00:02:04,400 Speaker 1: And it's interesting, you know, outgoing presidents, or we'll call 41 00:02:04,440 --> 00:02:07,280 Speaker 1: them former presidents traditionally in the United States have had 42 00:02:07,320 --> 00:02:10,320 Speaker 1: sort of irrelevance. I mean, I don't mean that pejoratively. 43 00:02:10,520 --> 00:02:12,320 Speaker 1: You know, that's sort of the nature. You retire, you 44 00:02:12,360 --> 00:02:16,119 Speaker 1: become an elder statesman, You sort of after a while, 45 00:02:16,200 --> 00:02:18,560 Speaker 1: write a book, you open a library, and that's about 46 00:02:18,639 --> 00:02:20,840 Speaker 1: what you hear from former presidents. And I don't think 47 00:02:20,880 --> 00:02:23,880 Speaker 1: anybody expects that from President Trump. You know, he's even 48 00:02:24,080 --> 00:02:26,519 Speaker 1: you know, already teased the idea that he may run again. 49 00:02:26,600 --> 00:02:29,320 Speaker 1: So he may be a former president and a future candidate, 50 00:02:29,639 --> 00:02:32,760 Speaker 1: but once he is no longer president, and we're clearly 51 00:02:32,840 --> 00:02:35,280 Speaker 1: coming up on the point where he is no longer president, 52 00:02:35,680 --> 00:02:37,760 Speaker 1: you know, he's very clearly going to be treated with 53 00:02:37,800 --> 00:02:39,560 Speaker 1: a different set of rules. And I think Twitter more 54 00:02:39,560 --> 00:02:42,080 Speaker 1: specifically has been quite quite a bit more aggressive than 55 00:02:42,120 --> 00:02:44,880 Speaker 1: Facebook and saying, look, we may just stand your entire account. 56 00:02:45,680 --> 00:02:48,160 Speaker 1: So you know, I have a lot of folks on Twitter, 57 00:02:48,240 --> 00:02:51,440 Speaker 1: on social media have been calling for Facebook and Twitter 58 00:02:51,840 --> 00:02:55,840 Speaker 1: too permanently, been President Trump. And even Kara Swisher, one 59 00:02:55,880 --> 00:02:57,520 Speaker 1: of the more of the New York Times, one of 60 00:02:57,520 --> 00:03:01,040 Speaker 1: the more influential tech observers over the last couple of decades, 61 00:03:01,240 --> 00:03:06,080 Speaker 1: has done the same here. What are the expectations post 62 00:03:06,280 --> 00:03:09,600 Speaker 1: January twenty one or more of these social platforms might 63 00:03:09,680 --> 00:03:12,520 Speaker 1: just in fact ben President Trump. Yeah, I think so. 64 00:03:12,680 --> 00:03:14,040 Speaker 1: The first thing we need to do is we need 65 00:03:14,080 --> 00:03:16,880 Speaker 1: to separate Twitter from Facebook. They are obviously two different companies. 66 00:03:16,919 --> 00:03:18,799 Speaker 1: We tend to talk about them to theay what Twitter doing, 67 00:03:18,800 --> 00:03:21,560 Speaker 1: What's Facebook doing? But but remember, you know, Facebook is 68 00:03:21,680 --> 00:03:23,960 Speaker 1: you know, sort of twenty times larger or so than 69 00:03:24,000 --> 00:03:27,160 Speaker 1: Twitter in terms of market cap. I just checked this morning. Um, 70 00:03:27,240 --> 00:03:29,399 Speaker 1: and Facebook has got a lot more to fear from 71 00:03:29,400 --> 00:03:32,560 Speaker 1: regulation and antitrust and those kinds of things than than 72 00:03:32,600 --> 00:03:35,640 Speaker 1: Twitter does, just sort of simply from from the size 73 00:03:35,680 --> 00:03:38,720 Speaker 1: and scale of their operation. You know, they're both private companies, 74 00:03:38,720 --> 00:03:40,360 Speaker 1: and there's a case to be made that they can, 75 00:03:40,520 --> 00:03:42,880 Speaker 1: you know, sort of choose to operate the platforms in 76 00:03:42,960 --> 00:03:45,760 Speaker 1: whatever manner they see fit because it's private, you know, 77 00:03:45,760 --> 00:03:48,720 Speaker 1: it's a private platform and private speech. Um, but I 78 00:03:48,720 --> 00:03:51,920 Speaker 1: think Twitter is definitely being more aggressive. You know, President 79 00:03:51,920 --> 00:03:54,560 Speaker 1: Trump has eighty nine million followers on Twitter. But to 80 00:03:54,640 --> 00:03:57,440 Speaker 1: the degree he's ever had a social media superpower, it's 81 00:03:57,480 --> 00:04:00,400 Speaker 1: not his ability to tweet. It's a need to get 82 00:04:00,400 --> 00:04:02,800 Speaker 1: the media to cover what he tweets, and so if 83 00:04:02,800 --> 00:04:05,760 Speaker 1: you take that megaphone away from him, which Twitter may 84 00:04:05,880 --> 00:04:08,400 Speaker 1: very well do, um, he's going to have a really 85 00:04:08,600 --> 00:04:11,840 Speaker 1: deep hill decline. Certainly, he's got many supporters. Seventy plus 86 00:04:11,880 --> 00:04:14,080 Speaker 1: million people voted for him. It's not that he will 87 00:04:14,120 --> 00:04:17,120 Speaker 1: become you know, irrelevant, but but you know, losing that 88 00:04:17,160 --> 00:04:20,640 Speaker 1: Twitter megaphone would be a very significant load to him. 89 00:04:20,880 --> 00:04:23,600 Speaker 1: Facebook similarly, he's got a large audience there, but he's 90 00:04:23,640 --> 00:04:26,200 Speaker 1: not nearly as prolific on Facebook, and that doesn't seem 91 00:04:26,200 --> 00:04:28,120 Speaker 1: to be able to drive the media narrative nearly as 92 00:04:28,200 --> 00:04:30,080 Speaker 1: much as what he's tweeted has been able to do. 93 00:04:30,960 --> 00:04:35,279 Speaker 1: What happens under a Biden presidency is Twitter as used? 94 00:04:35,800 --> 00:04:39,440 Speaker 1: Do people still gather there too, you know, incite each 95 00:04:39,440 --> 00:04:43,159 Speaker 1: other if you like. Well, the Twitter certainly will be used, 96 00:04:43,200 --> 00:04:47,880 Speaker 1: and people do and probably still will incite on on 97 00:04:47,880 --> 00:04:49,920 Speaker 1: on Twitter and do other things what you won't see 98 00:04:49,920 --> 00:04:53,040 Speaker 1: as President Biden, of course tweeting like President front then, right, 99 00:04:53,040 --> 00:04:56,960 Speaker 1: I mean it's just a completely different, uh personality. President 100 00:04:57,040 --> 00:05:00,640 Speaker 1: He will be a user of social media, I'm quite certain, 101 00:05:01,160 --> 00:05:02,880 Speaker 1: or at least his staff will, but but in a 102 00:05:03,000 --> 00:05:06,000 Speaker 1: much less provocative way. Right, It's different kind of politicians. 103 00:05:06,000 --> 00:05:09,280 Speaker 1: So I don't suspect that we will be having many 104 00:05:09,360 --> 00:05:12,919 Speaker 1: conversations about what President Biden tweeted this morning like we 105 00:05:13,000 --> 00:05:16,080 Speaker 1: have with President Trump. And so it's it's just it's 106 00:05:16,120 --> 00:05:18,600 Speaker 1: sort of going to be a much more normal or 107 00:05:18,720 --> 00:05:21,440 Speaker 1: traditional lot. I guess i'll call it view of the 108 00:05:21,480 --> 00:05:25,360 Speaker 1: presidency and how they conduct, you know, briefings of the public. 109 00:05:26,680 --> 00:05:30,239 Speaker 1: All right, Jim, thank you so much. Jim Anderson's always 110 00:05:30,240 --> 00:05:32,640 Speaker 1: a pleasure to speak with you. Jim Anderson's CEO of 111 00:05:32,760 --> 00:05:36,360 Speaker 1: a Social Flow and of course Bloomberg Media and other 112 00:05:36,400 --> 00:05:41,800 Speaker 1: parts of Bloomberg works with Social Flow. That's just a disclaimer, Yeah, Paul, 113 00:05:41,880 --> 00:05:46,839 Speaker 1: I mean I've been pretty you know, ignorant of Twitter 114 00:05:46,920 --> 00:05:48,839 Speaker 1: over the last few days. I haven't really wanted to 115 00:05:48,839 --> 00:05:50,520 Speaker 1: see the back and forth. I mean some of them 116 00:05:50,520 --> 00:05:54,080 Speaker 1: are pretty graphic and and pretty nasty. Yeah, it really was. 117 00:05:54,120 --> 00:05:56,839 Speaker 1: And there is a call for regulation, but you bounce 118 00:05:56,880 --> 00:06:00,120 Speaker 1: that against the censorship issues, uh, And that's kind d 119 00:06:00,160 --> 00:06:02,120 Speaker 1: of the challenge out there in the marketplace and for 120 00:06:02,160 --> 00:06:06,560 Speaker 1: the regulators as well. Well. This week, among other things, 121 00:06:06,560 --> 00:06:10,680 Speaker 1: we had Impossible Foods deciding to cut the prices on 122 00:06:10,880 --> 00:06:14,960 Speaker 1: their foe meat or fake meat products by fift percent. 123 00:06:15,400 --> 00:06:19,279 Speaker 1: Of course, so Impossible makes burger is essentially from a 124 00:06:19,320 --> 00:06:23,279 Speaker 1: magic ingredient that is essentially modified yeast. Time to bring 125 00:06:23,320 --> 00:06:26,320 Speaker 1: in Dennis Woodside, president of Impossible Foods, and Dennis, thank 126 00:06:26,360 --> 00:06:28,080 Speaker 1: you so much for joining. It's been a busy day. 127 00:06:28,120 --> 00:06:31,320 Speaker 1: I know that we just had news breaking that you 128 00:06:31,360 --> 00:06:36,120 Speaker 1: now have an interim CFO as your previous gentleman went 129 00:06:36,279 --> 00:06:38,760 Speaker 1: to app Harvest to head up a harvests. So I'm 130 00:06:38,760 --> 00:06:40,760 Speaker 1: sure it's been a very busy few days for you. 131 00:06:40,839 --> 00:06:43,800 Speaker 1: But talk to us about why you decided to reduce 132 00:06:43,839 --> 00:06:46,160 Speaker 1: the price of your products by fiftcent at a time 133 00:06:46,160 --> 00:06:50,080 Speaker 1: when it must be difficult to do that. Yeah, thanks 134 00:06:50,080 --> 00:06:52,680 Speaker 1: for having me. So the price reduction is part of 135 00:06:52,680 --> 00:06:57,279 Speaker 1: an ongoing strategy to get down ultimately to the price 136 00:06:57,400 --> 00:07:02,160 Speaker 1: of of ground beef. So you have you have at 137 00:07:02,160 --> 00:07:05,039 Speaker 1: the very high end products like wandboo beef and like 138 00:07:05,120 --> 00:07:08,560 Speaker 1: nine bucks a pound. We're currently priced with this reduction, 139 00:07:08,680 --> 00:07:11,160 Speaker 1: closer to what you would pay for grass fed. But 140 00:07:11,240 --> 00:07:13,880 Speaker 1: ultimately we need to compete with the mass of the market, 141 00:07:13,920 --> 00:07:17,400 Speaker 1: which is which is buying what's called ground beef, and 142 00:07:17,480 --> 00:07:20,080 Speaker 1: that's even lower than where we are now. Uh, so 143 00:07:20,320 --> 00:07:23,560 Speaker 1: you you should expect continuing price reductions from us over 144 00:07:23,640 --> 00:07:25,880 Speaker 1: time as we get scale, and we can pass the 145 00:07:25,880 --> 00:07:29,360 Speaker 1: benefits of that that scale onto our restaurant partners and 146 00:07:29,480 --> 00:07:33,920 Speaker 1: onto consumers ultimately. Uh, Dennis, what's the elasticity there on 147 00:07:34,120 --> 00:07:36,360 Speaker 1: the price cuts for you? It seems in this market 148 00:07:36,400 --> 00:07:40,560 Speaker 1: that you've had pretty strong unit sales, perhaps strong enough 149 00:07:40,600 --> 00:07:42,200 Speaker 1: that you don't need to cut prices. Give us a 150 00:07:42,200 --> 00:07:46,000 Speaker 1: sense of how that dynamiccause working for you, guys. Yeah, yeah, 151 00:07:46,040 --> 00:07:49,080 Speaker 1: you know the market isn't The elasticity is incredibly high. 152 00:07:49,160 --> 00:07:54,680 Speaker 1: The vast, vast majority of of consumers purchase beef in 153 00:07:54,760 --> 00:07:57,840 Speaker 1: the three to six dollar range, and we're we're just 154 00:07:57,920 --> 00:08:01,600 Speaker 1: outside that now. Uh. We expect, as I said, to 155 00:08:01,640 --> 00:08:03,800 Speaker 1: get down there over time as we continue to scale 156 00:08:03,800 --> 00:08:07,960 Speaker 1: our production. Uh. If you think about the economies of scale, 157 00:08:08,080 --> 00:08:10,920 Speaker 1: you know, you you build a plan or you stand 158 00:08:10,960 --> 00:08:14,040 Speaker 1: up a supply chain. The more you put through that plant, 159 00:08:14,080 --> 00:08:16,120 Speaker 1: the more lines you can run, the more ships you 160 00:08:16,120 --> 00:08:18,600 Speaker 1: can run. Uh. You know, your fixed costs are just 161 00:08:18,680 --> 00:08:22,360 Speaker 1: amortized over over a larger revenue base. And and so 162 00:08:22,400 --> 00:08:25,440 Speaker 1: we've been able to as our as our productionist scale, 163 00:08:25,440 --> 00:08:28,040 Speaker 1: as our volume scale, We've been able to get those 164 00:08:28,040 --> 00:08:30,800 Speaker 1: economies over the last year. But we don't see that stopping. 165 00:08:30,840 --> 00:08:33,880 Speaker 1: We just see our footwork continue to continue to expand 166 00:08:34,600 --> 00:08:38,800 Speaker 1: and continue to pass that benefit onto onto our partners 167 00:08:38,800 --> 00:08:41,719 Speaker 1: and consumers. Now, you said just at the end of 168 00:08:41,800 --> 00:08:43,400 Speaker 1: last year that you're going to be doubling your R 169 00:08:43,440 --> 00:08:45,959 Speaker 1: and D team over the next twelve months. Important to 170 00:08:46,000 --> 00:08:48,439 Speaker 1: get into the Chinese market as well, to grow your 171 00:08:48,480 --> 00:08:51,360 Speaker 1: base and also keep competitors at bay, like beyond meat 172 00:08:51,480 --> 00:08:55,000 Speaker 1: and you know meat makers and other countries in the world. 173 00:08:55,240 --> 00:08:58,440 Speaker 1: You've also had seven fundraising rounds. Where are you in 174 00:08:58,520 --> 00:09:03,800 Speaker 1: terms of capital needs? We're we're actually quite quite good 175 00:09:03,880 --> 00:09:07,520 Speaker 1: right now. We raised a couple hundred million uh in 176 00:09:07,520 --> 00:09:11,120 Speaker 1: in May time frame, and then several million prior to 177 00:09:11,160 --> 00:09:14,320 Speaker 1: that um. But look, you know, the market that we're 178 00:09:14,320 --> 00:09:16,959 Speaker 1: going after is enormous. Our our mission is to replace 179 00:09:17,480 --> 00:09:20,840 Speaker 1: all animal based protein products and that is a literally 180 00:09:20,960 --> 00:09:25,800 Speaker 1: a one trillion pound market roughly four to over four 181 00:09:25,920 --> 00:09:29,320 Speaker 1: trillion dollars globally, and and we're competing now in a 182 00:09:29,400 --> 00:09:31,960 Speaker 1: relatively small part of it, which is primarily ground beef. 183 00:09:32,000 --> 00:09:35,680 Speaker 1: We have a sausage product as well, but primarily ground beef. 184 00:09:35,720 --> 00:09:39,240 Speaker 1: But we see opportunity in many other meat products. Um 185 00:09:39,320 --> 00:09:42,160 Speaker 1: and you know it's not it's not a surprise that uh, 186 00:09:42,280 --> 00:09:46,040 Speaker 1: ground steak, chicken, fish, all these are interesting to us 187 00:09:46,040 --> 00:09:49,880 Speaker 1: over time. For us to be competitive in those those markets, 188 00:09:49,920 --> 00:09:52,440 Speaker 1: we need to invest in R and D and create 189 00:09:52,480 --> 00:09:55,000 Speaker 1: the same kind of wow product that we did when 190 00:09:55,080 --> 00:09:58,280 Speaker 1: we launched The Impossible Burgher. Dennis talked to us about 191 00:09:58,320 --> 00:10:02,520 Speaker 1: kind of your distribution directed tumor versus restaurants. Where are 192 00:10:02,520 --> 00:10:04,600 Speaker 1: you now? You know, where do you want to be? 193 00:10:04,760 --> 00:10:07,000 Speaker 1: Where's the real growth? Talk us about, you know, kind 194 00:10:07,000 --> 00:10:11,440 Speaker 1: of your revenue story. Yeah, we're in over thirty thousand 195 00:10:11,920 --> 00:10:15,840 Speaker 1: restaurants in the US. We're in over seventeen thousand retail 196 00:10:15,880 --> 00:10:18,360 Speaker 1: doors and and that's up from like two hundred a 197 00:10:18,440 --> 00:10:20,640 Speaker 1: year ago. So we made a big move into retail 198 00:10:20,679 --> 00:10:22,600 Speaker 1: over the last year. But at the same time, we 199 00:10:22,600 --> 00:10:25,120 Speaker 1: have a limited products that we have to retail products 200 00:10:25,160 --> 00:10:27,920 Speaker 1: now most if you if you look at beef products, 201 00:10:28,240 --> 00:10:31,120 Speaker 1: you know, anybody's selling beefs to to a to a 202 00:10:31,160 --> 00:10:34,480 Speaker 1: retailer probably has ten to fifteen different skews. And we're 203 00:10:34,480 --> 00:10:37,880 Speaker 1: in the process of building a much broader portfolio to 204 00:10:37,920 --> 00:10:40,800 Speaker 1: go to to expand that retail presence. So it's still 205 00:10:41,120 --> 00:10:43,800 Speaker 1: even though we're we've we've got good presences, still pretty 206 00:10:43,840 --> 00:10:47,600 Speaker 1: early days. There's well over three thousand restaurants in the US, 207 00:10:48,000 --> 00:10:49,679 Speaker 1: and that's just the U S which is less than 208 00:10:49,720 --> 00:10:53,040 Speaker 1: fiftent of all beef consumption. So it's very early days 209 00:10:53,080 --> 00:10:55,559 Speaker 1: for the industry. You know, most of our consumers are 210 00:10:55,600 --> 00:10:59,480 Speaker 1: are the vast majority, like of them are uh meat eaters. 211 00:10:59,760 --> 00:11:03,360 Speaker 1: Uh and and they're shifting a small portion today of 212 00:11:03,440 --> 00:11:08,760 Speaker 1: their meat um meat meat eating into plant based Over time, 213 00:11:08,800 --> 00:11:10,920 Speaker 1: that share is just going to grow and grow as 214 00:11:10,920 --> 00:11:13,679 Speaker 1: they see the benefits, the health benefits as well as 215 00:11:14,040 --> 00:11:16,640 Speaker 1: the environmental benefits of moving to a plant more of 216 00:11:16,679 --> 00:11:20,120 Speaker 1: a plant based meat UH diet Dennis and announcing this 217 00:11:20,360 --> 00:11:24,520 Speaker 1: price reduction, Yours Books person said that now the lowest 218 00:11:24,520 --> 00:11:26,760 Speaker 1: price for your burger product is six dollars and eight 219 00:11:26,880 --> 00:11:29,680 Speaker 1: cents per pound. How much of that is pure profit 220 00:11:29,720 --> 00:11:35,120 Speaker 1: and much of what people are buying is basically, you know, 221 00:11:35,800 --> 00:11:41,280 Speaker 1: helped by private equity funding. Uh So the economic unit 222 00:11:41,320 --> 00:11:44,720 Speaker 1: economics of the business are quite good actually, and it's 223 00:11:44,720 --> 00:11:46,440 Speaker 1: not the kind of the case where this is you know, 224 00:11:46,440 --> 00:11:49,120 Speaker 1: we're selling at a loss. Um and like I said, 225 00:11:49,240 --> 00:11:53,000 Speaker 1: at the the the growth of the business has has 226 00:11:53,080 --> 00:11:56,320 Speaker 1: enabled us to get the scale uh in order to 227 00:11:56,520 --> 00:11:59,600 Speaker 1: in order to sell product at a at a reasonable margin, 228 00:11:59,760 --> 00:12:01,760 Speaker 1: but also reduced our prices. And you think about the 229 00:12:02,200 --> 00:12:04,240 Speaker 1: you know, the inputs that we we have to the 230 00:12:04,280 --> 00:12:08,600 Speaker 1: product are our plants, and those plants are much lower 231 00:12:08,640 --> 00:12:12,520 Speaker 1: cost than than the animal because you don't have the 232 00:12:13,160 --> 00:12:16,600 Speaker 1: all of the um labor that goes into rating cows, 233 00:12:16,600 --> 00:12:18,440 Speaker 1: you don't have the transportation and so forth. So the 234 00:12:18,559 --> 00:12:21,920 Speaker 1: unit economics are actually quite good, especially as you start 235 00:12:21,960 --> 00:12:23,959 Speaker 1: to get the scale. Hey, Dennis, thanks so much for 236 00:12:24,000 --> 00:12:27,600 Speaker 1: joining us. Really appreciate the update. Dennis Woodside, president of 237 00:12:27,760 --> 00:12:33,200 Speaker 1: Impossible Foods, based in Menlo Park, California, continuing to grow 238 00:12:33,240 --> 00:12:39,280 Speaker 1: that plant based food business. Well, there are many questions 239 00:12:39,320 --> 00:12:41,600 Speaker 1: that will need to be answered about what occurred in Washington, 240 00:12:41,679 --> 00:12:46,480 Speaker 1: d C. Yesterday. Chief among them is security or lack 241 00:12:46,600 --> 00:12:50,080 Speaker 1: thereof that allowed the whole event to take place to 242 00:12:50,200 --> 00:12:52,200 Speaker 1: the scale at which it did, and we can maybe 243 00:12:52,200 --> 00:12:54,199 Speaker 1: begin to start answering some of the asking some of 244 00:12:54,240 --> 00:12:57,040 Speaker 1: those questions right now at Jordan Strauss, Managing director of 245 00:12:57,080 --> 00:13:00,439 Speaker 1: Business Intelligence and Operations for Cruell, which is a vision 246 00:13:00,480 --> 00:13:03,400 Speaker 1: of Duff and Phelps based in Philadelphia, Jordan. Thanks so 247 00:13:03,480 --> 00:13:06,640 Speaker 1: much for joining us here. The images we saw of 248 00:13:07,679 --> 00:13:10,280 Speaker 1: the inability of the Capitol Police and the and the 249 00:13:10,400 --> 00:13:14,080 Speaker 1: d C Police UH to secure the Capital grounds, and 250 00:13:14,080 --> 00:13:16,160 Speaker 1: in fact it seemed at times some of the videos 251 00:13:16,200 --> 00:13:18,880 Speaker 1: suggest that they were letting them in and not even 252 00:13:18,920 --> 00:13:22,760 Speaker 1: trying to stop the folks that were coming into the Capitol. 253 00:13:23,120 --> 00:13:25,840 Speaker 1: What do you make of all that? Thanks Paul and 254 00:13:26,040 --> 00:13:28,200 Speaker 1: happy to be here. Look what we saw yesterday was 255 00:13:28,240 --> 00:13:31,679 Speaker 1: one of the darkest days in American history. This was predictable, 256 00:13:31,800 --> 00:13:34,520 Speaker 1: it was preventable, and it represents an almost total lack 257 00:13:34,640 --> 00:13:38,160 Speaker 1: of preparation. We should expect to see investigations about this 258 00:13:38,600 --> 00:13:43,120 Speaker 1: for probably generations to come, and changes in the near future. 259 00:13:43,160 --> 00:13:44,800 Speaker 1: I will tell you talking to our clients all over 260 00:13:44,840 --> 00:13:47,839 Speaker 1: the world about contingency planning in the last twenty four hours. 261 00:13:47,920 --> 00:13:49,800 Speaker 1: The big takeaway here is that there just didn't seem 262 00:13:49,800 --> 00:13:52,439 Speaker 1: to be any well what it's changed. Who's protecting the 263 00:13:52,480 --> 00:13:58,640 Speaker 1: capital today? So, Nnie, the Capitol Police are a very small, 264 00:13:58,679 --> 00:14:01,680 Speaker 1: but very elite unit that's a little bit unusual in 265 00:14:01,679 --> 00:14:04,760 Speaker 1: the American law enforcement inventory. Like the Supreme Court Police. 266 00:14:04,800 --> 00:14:07,760 Speaker 1: They're one of the only two law enforcement organizations that 267 00:14:07,840 --> 00:14:10,720 Speaker 1: don't that aren't part of the executive branch. They work 268 00:14:10,840 --> 00:14:14,160 Speaker 1: for the Congress. So in order to get extra help, 269 00:14:14,280 --> 00:14:17,719 Speaker 1: in order to plus up, they need to get additional 270 00:14:17,760 --> 00:14:22,440 Speaker 1: resources from executive branch agencies. So another branch of the government. Similarly, 271 00:14:22,520 --> 00:14:26,000 Speaker 1: the Metropolitan Police Department in Washington doesn't really have jurisdiction 272 00:14:26,000 --> 00:14:27,840 Speaker 1: on the capital grounds because it's it's part of the 273 00:14:27,880 --> 00:14:32,760 Speaker 1: federal the federal sovereign. So what's so frustrating about this? 274 00:14:33,160 --> 00:14:35,360 Speaker 1: And this was work I used to do along with 275 00:14:35,520 --> 00:14:39,480 Speaker 1: many many others in government that we do now for clients. 276 00:14:40,000 --> 00:14:42,920 Speaker 1: You know, the capital is a space that's very easy 277 00:14:43,000 --> 00:14:45,480 Speaker 1: to protect in the sense that we do it at 278 00:14:45,560 --> 00:14:47,720 Speaker 1: least every year for the State of the Union. And 279 00:14:47,760 --> 00:14:51,680 Speaker 1: there are these very complex, very well thought out plans 280 00:14:51,720 --> 00:14:54,240 Speaker 1: that the Federal Interagency puts together towards things that are 281 00:14:54,240 --> 00:14:57,720 Speaker 1: called national Security Special Events and s s s the 282 00:14:57,800 --> 00:15:01,240 Speaker 1: highest tier of of of the stick security events, so 283 00:15:01,320 --> 00:15:04,720 Speaker 1: things like the UN General Assembly, a presidential inauguration, the 284 00:15:04,760 --> 00:15:07,880 Speaker 1: State of the Union, sometimes the Super Bowl. Right, there's 285 00:15:07,920 --> 00:15:11,240 Speaker 1: a plan on the book that gets revisited every time 286 00:15:11,240 --> 00:15:13,280 Speaker 1: there's a new one. And I know that there's been 287 00:15:13,320 --> 00:15:16,520 Speaker 1: expensive planning going on for President of like Biden's inauguration 288 00:15:16,600 --> 00:15:18,760 Speaker 1: for at least the last couple of weeks. This is 289 00:15:18,800 --> 00:15:21,760 Speaker 1: something we should be good at, we should be well 290 00:15:21,760 --> 00:15:24,720 Speaker 1: practiced at, and we should be able to do in layers. 291 00:15:24,920 --> 00:15:28,440 Speaker 1: And given the threat environment that existed, the known threat 292 00:15:28,520 --> 00:15:32,320 Speaker 1: environment that existed going into yesterday, the fact that that 293 00:15:32,480 --> 00:15:34,760 Speaker 1: didn't happen is just beyond a belief. Jordan, Can I 294 00:15:34,800 --> 00:15:38,280 Speaker 1: just jump in and ask who gives that command? Because 295 00:15:38,360 --> 00:15:40,200 Speaker 1: right now we just learned the Chad Wolf is no 296 00:15:40,280 --> 00:15:42,640 Speaker 1: longer in position. He has resigned. He was the acting 297 00:15:42,880 --> 00:15:47,160 Speaker 1: Homeland Security director. Who who gives the orders and who 298 00:15:47,320 --> 00:15:50,280 Speaker 1: who will do it now in his absence? Sure, Vonny, 299 00:15:50,320 --> 00:15:53,200 Speaker 1: that that's a great question. So for things like national 300 00:15:53,240 --> 00:15:56,400 Speaker 1: security special events, which this was not, the Department of 301 00:15:56,400 --> 00:15:59,760 Speaker 1: Homeland Security through the Secret Service, is the lead coordinating agency. 302 00:16:00,320 --> 00:16:04,160 Speaker 1: So you know, for a planned, coordinated deployment of people, 303 00:16:04,360 --> 00:16:06,640 Speaker 1: like for the inauguration, it's usually going to be the 304 00:16:06,680 --> 00:16:09,480 Speaker 1: Secret Service coordinating a lot of local law enforcement in 305 00:16:09,480 --> 00:16:13,120 Speaker 1: the district Maryland, Virginia area, uh, and the entire sort 306 00:16:13,120 --> 00:16:16,560 Speaker 1: of arsenal a federal law enforcement I understand that the 307 00:16:16,640 --> 00:16:19,800 Speaker 1: FBI and the hostage rescue team got there relatively quickly 308 00:16:20,200 --> 00:16:23,520 Speaker 1: that the Metropolitan Police Department around the perimeters of the 309 00:16:23,520 --> 00:16:25,320 Speaker 1: capital is able to use what's called an iMac and 310 00:16:25,400 --> 00:16:29,680 Speaker 1: Emergency Management Assistance Compact to get two hundred troops from Virginia. 311 00:16:29,760 --> 00:16:32,360 Speaker 1: As to who does this now, there has to be 312 00:16:32,840 --> 00:16:36,560 Speaker 1: a cognisant official, be it the Attorney General, the FBI director, 313 00:16:36,960 --> 00:16:39,640 Speaker 1: the Secret Service director, or others that agrees to send 314 00:16:40,000 --> 00:16:42,800 Speaker 1: their people in, or a National Guard deployment, which, although 315 00:16:42,800 --> 00:16:45,000 Speaker 1: it was delayed for reasons which I suspect, will be 316 00:16:45,000 --> 00:16:48,160 Speaker 1: investigated and will become clear uh in the coming weeks. 317 00:16:48,720 --> 00:16:52,720 Speaker 1: UM work closely with again the very elite but clearly 318 00:16:52,840 --> 00:16:56,080 Speaker 1: overmatched and overwhelmed officer and Capital police in a situation 319 00:16:56,120 --> 00:16:58,480 Speaker 1: like this, Jordan, what do you say to the argument 320 00:16:58,520 --> 00:17:04,160 Speaker 1: that perhaps a the less forceful defense of the Capitol 321 00:17:04,240 --> 00:17:08,600 Speaker 1: yesterday resulted in relatively fewer casualties than there might have 322 00:17:08,760 --> 00:17:11,240 Speaker 1: been had they taken a much stronger stance than in 323 00:17:11,359 --> 00:17:14,520 Speaker 1: fact it was. You know, I think there are four fatalities, 324 00:17:14,520 --> 00:17:16,040 Speaker 1: but it could have been so much worse. Is that 325 00:17:16,080 --> 00:17:20,560 Speaker 1: a reasonable argument to make? I don't understand why the 326 00:17:20,600 --> 00:17:23,640 Speaker 1: capital was not locked down? Uh? You know, a forceful 327 00:17:23,720 --> 00:17:27,320 Speaker 1: response doesn't have to look like shooting people. It doesn't 328 00:17:27,359 --> 00:17:29,760 Speaker 1: have to look like mass arrests. If you think about 329 00:17:29,760 --> 00:17:31,560 Speaker 1: these sorts of things in advance, it might look like 330 00:17:32,119 --> 00:17:35,280 Speaker 1: just making sure that the Capitol building is well secured, 331 00:17:35,400 --> 00:17:37,159 Speaker 1: and it should be well secured, because there were a 332 00:17:37,240 --> 00:17:39,960 Speaker 1: ton of upgrades after the September eleventh attacks, after the 333 00:17:39,960 --> 00:17:43,760 Speaker 1: first Capitol Hill shooting, uh, and after the tragic shooting 334 00:17:43,880 --> 00:17:47,600 Speaker 1: representatives police at a softball game making it harder to 335 00:17:47,640 --> 00:17:51,480 Speaker 1: penetrate and then pushing layers of security out. It's not 336 00:17:51,560 --> 00:17:54,760 Speaker 1: clear why those layers of security failed and why they 337 00:17:54,760 --> 00:17:58,959 Speaker 1: weren't stop leading into the capital. Yeah. I mean, we're 338 00:17:58,960 --> 00:18:00,800 Speaker 1: gonna have to fill some of these open positions, or 339 00:18:00,800 --> 00:18:04,399 Speaker 1: at least designate somebody to take on their responsibilities for 340 00:18:04,440 --> 00:18:07,000 Speaker 1: the next two weeks. Jordan's thank you so much for 341 00:18:07,000 --> 00:18:10,000 Speaker 1: giving us those explanations. It is very important to understand 342 00:18:10,040 --> 00:18:12,720 Speaker 1: the ins and outs of what actually happens. Jordan, of course, 343 00:18:13,880 --> 00:18:16,720 Speaker 1: managing director at a crull, former White House and a 344 00:18:16,800 --> 00:18:19,000 Speaker 1: Sea official and director of Preparedness in response for the 345 00:18:19,040 --> 00:18:21,359 Speaker 1: National Security Division of the U s d O j 346 00:18:21,720 --> 00:18:24,600 Speaker 1: and Jordan's strouss in Philly which also is you know, 347 00:18:24,880 --> 00:18:27,879 Speaker 1: very very divided right now Philadelphia, Pennsylvania, I should say, 348 00:18:27,920 --> 00:18:32,080 Speaker 1: with the final hurdle in counting electoral College votes last evening, 349 00:18:32,600 --> 00:18:34,960 Speaker 1: I do want to mention as well that the incoming 350 00:18:35,400 --> 00:18:38,000 Speaker 1: majority leader, Chuck Schumer has now called for the removal 351 00:18:38,160 --> 00:18:43,639 Speaker 1: of President Trump. Well, it is time to look cross 352 00:18:43,680 --> 00:18:46,560 Speaker 1: asset because as the NASTAG rises above at two percent, 353 00:18:46,640 --> 00:18:49,120 Speaker 1: we also have the tenure yield almost at one point 354 00:18:49,200 --> 00:18:52,119 Speaker 1: zero eight percent, we have a muted VIX and a 355 00:18:52,160 --> 00:18:54,760 Speaker 1: Donar index that's again approaching in ninety. It is time 356 00:18:54,760 --> 00:18:58,520 Speaker 1: to bring in Sarah Ponzac Crocess, that reporter here at Bloomberg. Sarah, 357 00:18:58,560 --> 00:19:01,119 Speaker 1: what catches your eye most day as an expression of 358 00:19:01,119 --> 00:19:03,919 Speaker 1: what's been happening in the country overnight, Well, it really 359 00:19:04,119 --> 00:19:07,840 Speaker 1: is remarkable, and it feels like you're in two different worlds. 360 00:19:08,040 --> 00:19:11,320 Speaker 1: Yesterday with the images of what we were seeing on 361 00:19:11,400 --> 00:19:14,080 Speaker 1: Capitol Hill, and then you look at what was happening 362 00:19:14,080 --> 00:19:16,399 Speaker 1: in markets before four pm, and yes, we saw some 363 00:19:16,440 --> 00:19:20,000 Speaker 1: pairing of gains in equity markets, but nothing too remarkable. 364 00:19:20,160 --> 00:19:22,080 Speaker 1: We didn't even see a loss of more than one 365 00:19:22,119 --> 00:19:25,479 Speaker 1: percent in to day. And it can seem cold, and 366 00:19:25,560 --> 00:19:27,840 Speaker 1: this is also almost an extension of what we've been 367 00:19:27,880 --> 00:19:31,160 Speaker 1: talking about for almost a year now with the real 368 00:19:31,200 --> 00:19:35,199 Speaker 1: economy with COVID nineteen and the stark differential when it 369 00:19:35,240 --> 00:19:39,080 Speaker 1: comes to financial markets. But when you speak with investors 370 00:19:39,119 --> 00:19:42,440 Speaker 1: on why we see this disconnect, why we're not seeing 371 00:19:43,600 --> 00:19:48,040 Speaker 1: these images really affecting investors moods is Peter Bookvar, he's 372 00:19:48,040 --> 00:19:50,280 Speaker 1: over ablicely advisory. I'll read you what he said this morning, 373 00:19:50,280 --> 00:19:52,840 Speaker 1: and he said it very plainly. He said, there should 374 00:19:52,840 --> 00:19:54,960 Speaker 1: be no mystery as to why the markets didn't care 375 00:19:54,960 --> 00:19:58,600 Speaker 1: about what happened in the capitol yesterday. However disturbing, disgraceful, 376 00:19:58,600 --> 00:20:00,639 Speaker 1: and embarrassing it was. It's because it is no bearing 377 00:20:00,680 --> 00:20:03,359 Speaker 1: on the direction of the economy, earnings, an in trace 378 00:20:03,600 --> 00:20:05,840 Speaker 1: interest rates. It's that simple. And like you mentioned, you 379 00:20:05,840 --> 00:20:09,240 Speaker 1: look at the tenure this morning, just continuing it's climb higher. 380 00:20:09,359 --> 00:20:12,240 Speaker 1: The tenure yield this morning is still up another more 381 00:20:12,240 --> 00:20:15,760 Speaker 1: than four basis points. Yeah, we're seeing the yield curve steping. 382 00:20:15,760 --> 00:20:17,960 Speaker 1: Easy point out, Sarah, and that's caused a couple of 383 00:20:17,960 --> 00:20:22,040 Speaker 1: strategists want a Glomo Sax and dud and Um Jonathan 384 00:20:22,040 --> 00:20:26,119 Speaker 1: Golubt credit Swiss to kind of upgrade their view of 385 00:20:26,280 --> 00:20:30,120 Speaker 1: the big banks right, and Jonathan Golove's view. He also 386 00:20:30,240 --> 00:20:32,720 Speaker 1: upgraded his view and his year in target for the 387 00:20:32,840 --> 00:20:36,080 Speaker 1: SMP five hundred from forty two hundred. And it was 388 00:20:36,119 --> 00:20:39,000 Speaker 1: an interesting take because he has been talking about how 389 00:20:39,040 --> 00:20:43,560 Speaker 1: this rotation from growth to value was possibly over. That 390 00:20:43,640 --> 00:20:46,439 Speaker 1: we had seen value out performance on a couple of 391 00:20:46,480 --> 00:20:49,000 Speaker 1: solid days, that those being the days in which we 392 00:20:49,119 --> 00:20:52,240 Speaker 1: got positive vaccine news when Janet Yellen was nominated to 393 00:20:52,280 --> 00:20:56,879 Speaker 1: be Treasury secretary. Whoever, today he's overweighting cyclical assets. Like 394 00:20:56,920 --> 00:21:00,040 Speaker 1: you mentioned, we see financials flying higher yet again and 395 00:21:00,160 --> 00:21:03,000 Speaker 1: today up more than two percent. But we do see 396 00:21:03,040 --> 00:21:06,879 Speaker 1: this interesting change today because you don't see this clear 397 00:21:06,960 --> 00:21:11,879 Speaker 1: cut cyclical defensive tilt. Yes, we do see defensive equities 398 00:21:12,160 --> 00:21:15,120 Speaker 1: under performing utilities pretty much flat on the day's staples, 399 00:21:15,119 --> 00:21:18,520 Speaker 1: your second worst performing sector, however, still higher at the 400 00:21:18,560 --> 00:21:20,880 Speaker 1: top of the pack, though you have tech and consumer 401 00:21:20,920 --> 00:21:24,560 Speaker 1: discretionary mixed in with financials. So after seeing tech under 402 00:21:24,560 --> 00:21:28,480 Speaker 1: performance yesterday, there are many reasons floated, especially with that 403 00:21:28,560 --> 00:21:30,960 Speaker 1: we want to call it a blue ripple. The expectations 404 00:21:31,000 --> 00:21:34,000 Speaker 1: from that, whether that be the possibility of higher capital 405 00:21:34,040 --> 00:21:37,000 Speaker 1: gains and corporate taxes, not that that's expected because the 406 00:21:37,000 --> 00:21:39,760 Speaker 1: Democrats did take the Senate by such a such a slim, 407 00:21:39,840 --> 00:21:43,600 Speaker 1: narrow margin, but also just the expectations for higher rates 408 00:21:43,800 --> 00:21:46,080 Speaker 1: since low rates have been such a boon for growth docks. 409 00:21:46,119 --> 00:21:47,960 Speaker 1: But today we see tech coming back in a pretty 410 00:21:47,960 --> 00:21:49,879 Speaker 1: big way. The NASDAC up more than two percent as 411 00:21:49,920 --> 00:21:53,240 Speaker 1: we speak. Yeah, and we also have plenty of movement 412 00:21:53,440 --> 00:21:57,720 Speaker 1: in credit markets. We have data coming in constantly showing improvement, 413 00:21:58,359 --> 00:22:00,439 Speaker 1: not so much payroll of data, though, we still have 414 00:22:00,640 --> 00:22:03,399 Speaker 1: you know, more than seven hundred thousand people making first 415 00:22:03,440 --> 00:22:07,359 Speaker 1: time claims. Sarah right, it's a reality check. And yes, 416 00:22:07,560 --> 00:22:11,360 Speaker 1: we did see initial jobless claims decline from a week earlier, 417 00:22:11,400 --> 00:22:14,800 Speaker 1: but that's still a very large number, seven hundred eight 418 00:22:15,000 --> 00:22:18,800 Speaker 1: seven thousand, it's it's extremely large. We saw a negative 419 00:22:18,840 --> 00:22:21,560 Speaker 1: ADP print tomorrow. Of course, we will get that non 420 00:22:21,600 --> 00:22:24,560 Speaker 1: Farm Perils report the first Friday of the new year, 421 00:22:24,640 --> 00:22:27,080 Speaker 1: the first payrolls report of the new year. At some 422 00:22:27,200 --> 00:22:31,520 Speaker 1: of those estimates have been downgraded brought lower after that 423 00:22:31,600 --> 00:22:34,679 Speaker 1: a DP print that we did get, but this also 424 00:22:35,000 --> 00:22:38,760 Speaker 1: is expected. Right now, we're seeing rising COVID cases. At 425 00:22:38,840 --> 00:22:41,320 Speaker 1: least now we have seen a stimulus package past and 426 00:22:41,320 --> 00:22:44,280 Speaker 1: and the expectation is for more stimulus down the pipeline 427 00:22:45,160 --> 00:22:48,359 Speaker 1: by a matter of one trillion in total. Possibly. But 428 00:22:48,720 --> 00:22:52,119 Speaker 1: where we stand now is this was expected. The data 429 00:22:52,160 --> 00:22:54,440 Speaker 1: is expected to get worse. It's going to be hard 430 00:22:54,480 --> 00:22:56,959 Speaker 1: to watch. But again, I know we've discussed it so 431 00:22:56,960 --> 00:22:59,440 Speaker 1: many times and we hear it again and again from investors. 432 00:22:59,440 --> 00:23:02,360 Speaker 1: And shotage is that the market is forward looking. It's 433 00:23:02,400 --> 00:23:04,920 Speaker 1: looking past this, and it's looking at a time when 434 00:23:05,080 --> 00:23:08,679 Speaker 1: the vaccine rollout really gets going, and the vaccine is 435 00:23:09,080 --> 00:23:11,760 Speaker 1: a majority deployed, and you have a very high savings right, 436 00:23:11,800 --> 00:23:13,160 Speaker 1: and all of a sudden, you have all this pent 437 00:23:13,240 --> 00:23:17,200 Speaker 1: up demand that starts being filtered through the economy. Yeah, 438 00:23:17,320 --> 00:23:19,720 Speaker 1: you wonder when you know, we see some of this, uh, 439 00:23:20,119 --> 00:23:23,800 Speaker 1: you know, economic data, whether it's the job's claims or 440 00:23:24,000 --> 00:23:27,840 Speaker 1: consumer spending start to cause some economists maybe to read 441 00:23:27,920 --> 00:23:31,440 Speaker 1: look at some other economic forecast, I know, the bloombrick economics. 442 00:23:31,440 --> 00:23:34,840 Speaker 1: Folks are looking for a slight contraction uh in the 443 00:23:34,920 --> 00:23:37,800 Speaker 1: first quarter. Um, I won there's any building concern about 444 00:23:37,920 --> 00:23:40,359 Speaker 1: downside risk? Is some of these economic forecasts well as 445 00:23:40,400 --> 00:23:42,840 Speaker 1: of right now, an aggregate, I would say, looking through 446 00:23:42,920 --> 00:23:46,240 Speaker 1: research notes, this morning from multiple different cell side research 447 00:23:46,240 --> 00:23:50,399 Speaker 1: shops and and reading notes from economists, they're not really 448 00:23:50,800 --> 00:23:52,399 Speaker 1: so focused. I mean, of course they put out their 449 00:23:52,400 --> 00:23:55,560 Speaker 1: forecasts for a near term economic data, but when they 450 00:23:55,560 --> 00:23:58,359 Speaker 1: look at GDP forecast for the year, everyone's revising their 451 00:23:58,400 --> 00:24:01,800 Speaker 1: GDP forecast higher. That due to the expectations of more 452 00:24:01,800 --> 00:24:04,639 Speaker 1: physical stimulus, more stimulus checks coming down the pipeline in 453 00:24:04,680 --> 00:24:06,800 Speaker 1: addition to the six D it will likely add up 454 00:24:06,840 --> 00:24:09,520 Speaker 1: to two thousand. Now that's the expectation and what that 455 00:24:09,560 --> 00:24:11,600 Speaker 1: means for growth, what that means for savings, and what 456 00:24:11,640 --> 00:24:13,600 Speaker 1: that means for the deployment of capital down the road 457 00:24:13,880 --> 00:24:16,600 Speaker 1: and spending. So right now, if you look at aggregate 458 00:24:16,640 --> 00:24:19,000 Speaker 1: for the year of one, and that's what markets are 459 00:24:19,040 --> 00:24:22,720 Speaker 1: looking at two, we're seeing growth expectations just revised higher 460 00:24:22,720 --> 00:24:25,879 Speaker 1: and higher. Yeah, it's really interesting here I'm looking at 461 00:24:25,920 --> 00:24:29,040 Speaker 1: the real GDP forecast on the economic forecast three point 462 00:24:29,119 --> 00:24:33,560 Speaker 1: nine percent one. Uh So, that's interesting how the economists 463 00:24:33,560 --> 00:24:36,440 Speaker 1: are still looking for growth. Hey, Sarah, thanks so much 464 00:24:36,720 --> 00:24:39,880 Speaker 1: for joining us. We appreciate that. As always, Sarah Pons 465 00:24:39,920 --> 00:24:43,520 Speaker 1: that cross asset reporter for Bloomberg News. As the markets Fannie, 466 00:24:43,840 --> 00:24:45,960 Speaker 1: despite everything we see in the world. They continue to 467 00:24:46,000 --> 00:24:48,200 Speaker 1: move higher, don't they. Yeah. I mean, as I say, 468 00:24:48,280 --> 00:24:50,120 Speaker 1: you can have all the political chaos that you want, 469 00:24:50,119 --> 00:24:52,000 Speaker 1: but if you have leadership, or at least the promise 470 00:24:52,040 --> 00:24:54,760 Speaker 1: of leaderships, there isn't that much to worry about for 471 00:24:54,800 --> 00:24:57,600 Speaker 1: the market. Son in a sense, if there's more stimulus coming, 472 00:24:57,640 --> 00:24:59,639 Speaker 1: which is the general consensus, if it's going to be 473 00:24:59,680 --> 00:25:02,800 Speaker 1: a buy Harris administration, then you know, at least in 474 00:25:02,840 --> 00:25:04,959 Speaker 1: the short term, that should be good for markets and 475 00:25:05,119 --> 00:25:07,520 Speaker 1: corporate America. Absolutely, and I think that's kind of what 476 00:25:07,560 --> 00:25:09,880 Speaker 1: we're seeing in the markets and what we've seen really 477 00:25:10,200 --> 00:25:14,680 Speaker 1: since O's marchalows. Thanks for listening to Boomberg Markets podcast. 478 00:25:14,840 --> 00:25:18,240 Speaker 1: You can subscribe and listen to interviews at Apple Podcasts 479 00:25:18,359 --> 00:25:21,880 Speaker 1: or whatever podcast platform you prefer. I'm Bonnie Quinn. I'm 480 00:25:21,920 --> 00:25:24,560 Speaker 1: on Twitter at Bonnie Quinn, and I'm Paul Sweeney. I'm 481 00:25:24,560 --> 00:25:27,200 Speaker 1: on Twitter at pt Sweeney. Before the podcast, you can 482 00:25:27,240 --> 00:25:29,480 Speaker 1: always catch us worldwide at Bloomberg Radio.