1 00:00:01,000 --> 00:00:04,279 Speaker 1: By from the Bloomberg Interactive Brooker Studios. This is Bloomberg 2 00:00:04,360 --> 00:00:08,080 Speaker 1: day Break for Monday May two. Coming up this hour, 3 00:00:08,360 --> 00:00:11,560 Speaker 1: stock futures rise. Following the longest losing streak for the 4 00:00:11,720 --> 00:00:15,120 Speaker 1: SMP five hundred in decades, President Biden said the US 5 00:00:15,200 --> 00:00:19,040 Speaker 1: would intervene to defend Taiwan from China or baby formula 6 00:00:19,200 --> 00:00:22,080 Speaker 1: arrives in the US, and Broadcom isn't talk to buy 7 00:00:22,200 --> 00:00:25,520 Speaker 1: a top cloud computing company. New York City police continued 8 00:00:25,560 --> 00:00:28,240 Speaker 1: to search for the gunman in a deadly random subway shooting. 9 00:00:28,280 --> 00:00:31,000 Speaker 1: Plus Ukraine says up to one hundred of their soldiers 10 00:00:31,120 --> 00:00:35,120 Speaker 1: die every day. I'm Michael blarn More ahead, I'm Scotts Edinburgh, 11 00:00:35,200 --> 00:00:38,280 Speaker 1: Yankee swept in a doubleheader, the Mets pickup win, and 12 00:00:38,400 --> 00:00:41,720 Speaker 1: the Rangers defend the hallmarks of that More coming up 13 00:00:41,760 --> 00:00:47,360 Speaker 1: in sports. That's all Trading ahead on Bloomberg Daybreak on 14 00:00:47,520 --> 00:00:51,960 Speaker 1: Bloomberg eleven three on New York, Bloomberg one, Washington d C, 15 00:00:52,440 --> 00:00:56,000 Speaker 1: Bloomberg one oh six one, Boston, Bloomberg nine sixties and 16 00:00:56,120 --> 00:00:59,920 Speaker 1: Francisco Sirius x M one nineteen and around the world 17 00:01:00,000 --> 00:01:03,040 Speaker 1: Old on Bloomberg Radio dot Com and via the Bloomberg 18 00:01:03,120 --> 00:01:09,840 Speaker 1: Business App. Good morning. I'm John Tucker and I'm Karen 19 00:01:09,920 --> 00:01:12,960 Speaker 1: Moscow US dock indext futures on the rise this morning. 20 00:01:13,000 --> 00:01:14,680 Speaker 1: We're coming up to six o one on Moll Street, 21 00:01:14,680 --> 00:01:16,880 Speaker 1: and we checked the markets every fifteen minutes throughout the 22 00:01:16,920 --> 00:01:20,319 Speaker 1: trading day. On Bloomberg. SNP future is up twenty three 23 00:01:20,360 --> 00:01:23,600 Speaker 1: points and down futures of a hundred seventy nasday futures 24 00:01:23,600 --> 00:01:26,680 Speaker 1: of fifty three The decks in Germany's up half percent, 25 00:01:27,000 --> 00:01:29,640 Speaker 1: ten year treasury down eleven thirty seconds held two point 26 00:01:29,840 --> 00:01:31,880 Speaker 1: two percent, and they yield on the two year two 27 00:01:31,959 --> 00:01:35,160 Speaker 1: point six zero percent, and NIMEX screwed oil is at 28 00:01:35,240 --> 00:01:38,360 Speaker 1: one point two percent. John and Karen. The rise in 29 00:01:38,440 --> 00:01:40,720 Speaker 1: futures comes after the S and P five hunder touch 30 00:01:40,840 --> 00:01:44,200 Speaker 1: bear market territory on Friday and closed lower for a 31 00:01:44,440 --> 00:01:48,280 Speaker 1: seventh straight week. According to Basbook Investment Group, it's just 32 00:01:48,440 --> 00:01:52,960 Speaker 1: the SNPs fourth Street of seven or more weekly losses 33 00:01:53,120 --> 00:01:56,400 Speaker 1: in the post World War two era. Alan Zaffron is 34 00:01:56,400 --> 00:01:59,320 Speaker 1: founding partner and co CEO at I e Q Capital. 35 00:01:59,520 --> 00:02:03,280 Speaker 1: Benthan is terrible enough, so we're we're ready for a 36 00:02:03,400 --> 00:02:06,760 Speaker 1: bear market rally, but it's still probably a bear market 37 00:02:06,880 --> 00:02:09,679 Speaker 1: rally until such time as there's evidence the economy is 38 00:02:09,800 --> 00:02:12,480 Speaker 1: very close to a bottom. Alexanfred of i e Q 39 00:02:12,720 --> 00:02:15,160 Speaker 1: Capital is not alone in thinking stocks will head lower. 40 00:02:15,360 --> 00:02:18,959 Speaker 1: According to the latest Bloomberg end my pulse Pole participantsy 41 00:02:19,080 --> 00:02:22,839 Speaker 1: the S and P five hunder falling another ten percent. Well. John. 42 00:02:22,880 --> 00:02:25,000 Speaker 1: While many traders see the U S economy headed for 43 00:02:25,080 --> 00:02:28,240 Speaker 1: a recession, the President of the United States isn't so sure. 44 00:02:28,400 --> 00:02:31,320 Speaker 1: He answered the question at a press conference in Tokyo overnight. 45 00:02:31,600 --> 00:02:36,480 Speaker 1: In your view, he's a recession in the United States inevitable? No, 46 00:02:38,200 --> 00:02:40,680 Speaker 1: why not? Our GDPs are going to grow faster than 47 00:02:40,840 --> 00:02:44,200 Speaker 1: China's for the first time in forty years. How does 48 00:02:44,240 --> 00:02:47,079 Speaker 1: that mean we don't have problems? We do. We have 49 00:02:47,200 --> 00:02:49,639 Speaker 1: problems with the rest of the world has, but less 50 00:02:49,639 --> 00:02:51,880 Speaker 1: consequential than the rest of the world has been because 51 00:02:51,960 --> 00:02:54,799 Speaker 1: of our internal growth from STrenD and at the same 52 00:02:54,880 --> 00:02:58,120 Speaker 1: press briefing in Tokyo, President Biden made headlines who announced 53 00:02:58,160 --> 00:03:01,000 Speaker 1: if the U S would defend Taiwan for much China attack, 54 00:03:01,440 --> 00:03:04,800 Speaker 1: are you willing to get involved militarily to defend Taiwan 55 00:03:04,919 --> 00:03:11,800 Speaker 1: if it comes to that, you are made? President Biden 56 00:03:11,840 --> 00:03:14,880 Speaker 1: also announced that a dozen Indo Pacific countries will join 57 00:03:14,960 --> 00:03:18,160 Speaker 1: the US and a sweeping economic initiative designed to counter 58 00:03:18,360 --> 00:03:21,440 Speaker 1: China's influence in the region. And earlier in his trip, 59 00:03:21,639 --> 00:03:23,880 Speaker 1: during the stop at South Korea on Sunday, the President 60 00:03:23,919 --> 00:03:27,560 Speaker 1: also address the growing concern over monkey pox cases around 61 00:03:27,600 --> 00:03:30,720 Speaker 1: the world. Concern in the sense that I were to 62 00:03:30,760 --> 00:03:35,280 Speaker 1: spread this conquen That's all they told me. President says 63 00:03:35,320 --> 00:03:39,280 Speaker 1: they're speaking to advisors about monkey pots. The President's National 64 00:03:39,400 --> 00:03:43,000 Speaker 1: Security advisor, Jake Sullivan, says the US has a relevant 65 00:03:43,120 --> 00:03:47,600 Speaker 1: vaccine reader to be deployed to treat the disease if needed. Well. 66 00:03:47,720 --> 00:03:50,960 Speaker 1: The US monitors the monkey pok situation. John it is 67 00:03:51,040 --> 00:03:53,600 Speaker 1: getting some relief this morning on the battle against the 68 00:03:53,680 --> 00:03:57,160 Speaker 1: baby formula shortage. We get the latest life from Bloomberg's 69 00:03:57,160 --> 00:03:59,920 Speaker 1: Renida Young. Good morning, Nida, Good morning Caaron a play. 70 00:04:00,000 --> 00:04:02,760 Speaker 1: A load of more than seventy thousand pounds of baby 71 00:04:02,840 --> 00:04:06,920 Speaker 1: formula arrived in the US on Sunday. It's called Operations 72 00:04:06,960 --> 00:04:11,920 Speaker 1: Fly Formula, an emergency program to alleviate the national shortage 73 00:04:11,960 --> 00:04:15,360 Speaker 1: that's left some parents scrambling to feed their children. President 74 00:04:15,360 --> 00:04:18,960 Speaker 1: Biden's top economic advisors says more formula will start arriving 75 00:04:19,040 --> 00:04:21,760 Speaker 1: in stores as early as this week, and last week 76 00:04:21,839 --> 00:04:25,600 Speaker 1: the President invoked emergency powers under the Defense Production Act 77 00:04:25,960 --> 00:04:30,400 Speaker 1: to spur domestic manufacturing of baby formula. Live in New York, 78 00:04:30,480 --> 00:04:33,520 Speaker 1: I'm Reneda Young Bloomberg Day bring reneed to thanks. After 79 00:04:33,640 --> 00:04:36,560 Speaker 1: a two year hiatus because of the pandemic, The annual 80 00:04:36,600 --> 00:04:40,520 Speaker 1: World Economic Forum in Davos, Switzerland is back, but without 81 00:04:40,560 --> 00:04:43,040 Speaker 1: the hype of years past. Our Tom Keene is covering 82 00:04:43,080 --> 00:04:46,640 Speaker 1: the event for both Bloomberg Radio and television. This will 83 00:04:46,680 --> 00:04:49,880 Speaker 1: be a different Davos, There's no question about it. I 84 00:04:49,960 --> 00:04:53,080 Speaker 1: think the major thing is the change of calendar, not 85 00:04:53,360 --> 00:04:56,720 Speaker 1: January but May and much more. It will be compressed 86 00:04:56,760 --> 00:05:00,279 Speaker 1: pretty much from four days down to three days. Revel 87 00:05:00,320 --> 00:05:04,039 Speaker 1: schedules seem to be so tight for so many people attending. 88 00:05:04,200 --> 00:05:07,480 Speaker 1: The war is absolutely front and center, There's no question 89 00:05:07,880 --> 00:05:10,479 Speaker 1: about that. There will be some other themes, some ideas 90 00:05:10,520 --> 00:05:14,600 Speaker 1: of risks as well, but the overarching theme besides the 91 00:05:14,680 --> 00:05:18,360 Speaker 1: wars my colleague Paul Sweeney mentioned is the idea here 92 00:05:18,880 --> 00:05:21,760 Speaker 1: of what do we do about inflation? And that will 93 00:05:21,880 --> 00:05:25,800 Speaker 1: transcend the dialogue all the way all the way through 94 00:05:25,920 --> 00:05:29,400 Speaker 1: this UH three days in Davos. Thanks Tom. Bloomberg's Tom 95 00:05:29,480 --> 00:05:32,839 Speaker 1: came reporting from Davos beginning this morning along with Lisa Brambo. 96 00:05:32,880 --> 00:05:35,640 Speaker 1: It's on Bloomberg Surveillance and say two for that that's 97 00:05:35,640 --> 00:05:38,680 Speaker 1: going to get at seven am Wall Street time. Christine 98 00:05:38,760 --> 00:05:41,680 Speaker 1: Leguard is one official who will be and Davos this week, John, 99 00:05:41,720 --> 00:05:44,640 Speaker 1: But ahead of her appearance, the European Central Bank president 100 00:05:44,760 --> 00:05:48,200 Speaker 1: is making some critical comments about cryptocurrencies because more from 101 00:05:48,200 --> 00:05:51,360 Speaker 1: Bloomberg's Maria TODAYO in Brussels, she gave an interview to 102 00:05:51,360 --> 00:05:53,799 Speaker 1: a Dutch television She said that this thing is trash, 103 00:05:54,120 --> 00:05:57,920 Speaker 1: it carries no value, and it's an investment vehicle for 104 00:05:58,040 --> 00:06:00,839 Speaker 1: some to get very rich, but for other naive people 105 00:06:01,080 --> 00:06:04,120 Speaker 1: to lose potentially a lot of money. But of course 106 00:06:04,360 --> 00:06:07,359 Speaker 1: you know this is a central banker. Bitcoin, crypto everything 107 00:06:07,400 --> 00:06:11,080 Speaker 1: around and we know essentially tries to defy central bankers. 108 00:06:11,160 --> 00:06:13,080 Speaker 1: So of course what the central banker was ahead of 109 00:06:13,080 --> 00:06:15,440 Speaker 1: these piquant to say that it's trash and she doesn't 110 00:06:15,440 --> 00:06:17,960 Speaker 1: believe in it. And Bloomberg's Maria Today Osa and so 111 00:06:18,120 --> 00:06:21,560 Speaker 1: far Leguard's comments are not impacting cryptos and checking Bitcoin 112 00:06:21,760 --> 00:06:25,880 Speaker 1: right now, it is higher up one percent at thirty thousand, 113 00:06:26,040 --> 00:06:29,240 Speaker 1: four thirty dollars, and we're seeing shares a vm Ware 114 00:06:29,400 --> 00:06:33,239 Speaker 1: up in early trading the cloud computing company and talks 115 00:06:33,279 --> 00:06:36,680 Speaker 1: to be bought by Broadcom. Details on that from Bloomberg's 116 00:06:36,720 --> 00:06:41,599 Speaker 1: Doug Krisner. Vm Ware, based in Palo Alto, makes virtualization software. 117 00:06:41,680 --> 00:06:44,000 Speaker 1: It allows a small number of servers to do more 118 00:06:44,200 --> 00:06:47,880 Speaker 1: by enabling each to handle more than one program. Broadcom 119 00:06:48,080 --> 00:06:51,120 Speaker 1: is a Singapore based giant in the semiconductor industry. A 120 00:06:51,240 --> 00:06:55,320 Speaker 1: deal would help it diversified beyond computer chips. Vm Ware 121 00:06:55,400 --> 00:06:58,040 Speaker 1: has a market cap of around forty billion dollars so 122 00:06:58,240 --> 00:07:01,880 Speaker 1: far this year. It shares her down in New York. 123 00:07:01,920 --> 00:07:04,960 Speaker 1: I'd prisoner Bloomberg Daybreak and Bloomberg Daybreak being drunt you 124 00:07:05,040 --> 00:07:07,880 Speaker 1: by B and wide Melon's pershing Inside Conference back in 125 00:07:07,960 --> 00:07:11,240 Speaker 1: person June fifteenth through the seventeen at the Gaylord Resort 126 00:07:11,280 --> 00:07:14,240 Speaker 1: in Grapely in Texas. Don't miss it. Register now at 127 00:07:14,360 --> 00:07:18,440 Speaker 1: Inside dot b and y Melon dot com. This is 128 00:07:18,480 --> 00:07:25,320 Speaker 1: Bloomberg as Sex seven on Wall Street time to bring 129 00:07:25,400 --> 00:07:27,560 Speaker 1: in Michael Barr to find out what else is going 130 00:07:27,600 --> 00:07:30,440 Speaker 1: on in New York end around the world. John, Thank 131 00:07:30,440 --> 00:07:33,600 Speaker 1: you very much, An unidentified gunman as shouting killed another 132 00:07:33,640 --> 00:07:37,280 Speaker 1: passenger on a moving New York City subway train. Police 133 00:07:37,320 --> 00:07:40,040 Speaker 1: officials say it appears to have been an unprovoked attack, 134 00:07:40,240 --> 00:07:43,080 Speaker 1: and the victim, a forty eight year old man, died 135 00:07:43,200 --> 00:07:46,840 Speaker 1: at a hospital in YPD Chief of Department Kenneth Corey. 136 00:07:47,240 --> 00:07:50,760 Speaker 1: At this time, there are no arrests. The suspect is 137 00:07:50,800 --> 00:07:53,840 Speaker 1: described as a dark skinned male who is heavy set 138 00:07:54,040 --> 00:07:56,880 Speaker 1: with a beard. Police say the shooting took place yesterday 139 00:07:57,040 --> 00:08:00,440 Speaker 1: on a Q train traveling over the Manhattan Bridge at 140 00:08:00,480 --> 00:08:03,720 Speaker 1: around eleven forty a m. That's the time of day 141 00:08:03,840 --> 00:08:06,720 Speaker 1: when subway cars are often filled with families, tourists and 142 00:08:06,760 --> 00:08:11,320 Speaker 1: people had it to brunch. Meanwhile, the victim was a 143 00:08:11,480 --> 00:08:16,680 Speaker 1: member of Solomon Solomon the Sacks, and we understand that 144 00:08:16,880 --> 00:08:21,520 Speaker 1: the chairman of the company said that it was a 145 00:08:21,680 --> 00:08:26,400 Speaker 1: disaster what happened, and he was beloved the victim. Japanese 146 00:08:26,400 --> 00:08:30,560 Speaker 1: Prime Minister Fumio Kashita told President Joe Biden that Russia's 147 00:08:30,560 --> 00:08:35,280 Speaker 1: aggression cannot be tolerated. The two leaders met in Tokyo 148 00:08:35,400 --> 00:08:40,800 Speaker 1: to discuss regional security and economic cooperation. Speaking through a translator, 149 00:08:40,840 --> 00:08:57,079 Speaker 1: Prime Minister Kashita Prime Minister Kashida's comments come as the 150 00:08:57,200 --> 00:08:59,960 Speaker 1: United Nations agencies said the war in Ukraine as display 151 00:09:00,000 --> 00:09:02,000 Speaker 1: it's more than a hundred million people from their homes. 152 00:09:02,559 --> 00:09:05,000 Speaker 1: Ukraine's president says up to a hundred of its soldiers 153 00:09:05,200 --> 00:09:08,679 Speaker 1: die every day in battle. Republican Congresswoman Liz Cheney of 154 00:09:08,720 --> 00:09:11,839 Speaker 1: Wyoming was one of five individuals last night to receive 155 00:09:11,920 --> 00:09:15,760 Speaker 1: the two John F. Kennedy Profile and Courage Award. In 156 00:09:15,800 --> 00:09:19,480 Speaker 1: their livestream of acceptance speech, Cheney, who serves on the 157 00:09:19,520 --> 00:09:24,240 Speaker 1: Special Committee investigating the January sixth Capital Ryot, spoke about 158 00:09:24,280 --> 00:09:27,319 Speaker 1: the continuous threat to democracy. We face a threat we 159 00:09:27,400 --> 00:09:32,480 Speaker 1: have never faced before, a former president attempting to unravel 160 00:09:32,679 --> 00:09:37,160 Speaker 1: our constitutional republic. The award was also handed to Ukrainian 161 00:09:37,200 --> 00:09:40,719 Speaker 1: President of Volodimir's Lensky and three US officials defending the 162 00:09:40,800 --> 00:09:45,160 Speaker 1: integrity of the twenty presidential election. Global News twenty more 163 00:09:45,240 --> 00:09:47,679 Speaker 1: hours a day on air and on Bloomberg Quick Take, 164 00:09:47,760 --> 00:09:50,959 Speaker 1: powered by more than twenty seven hundred journalists and analysts 165 00:09:51,080 --> 00:09:53,400 Speaker 1: more than a hundred twenty countries. I'm Michael Barr, and 166 00:09:53,480 --> 00:10:00,360 Speaker 1: this is Bloomberg John Michael, thank you. He s sixtent 167 00:10:00,440 --> 00:10:02,839 Speaker 1: on the Roll Street Time with the Bloomberg Sports Update. 168 00:10:02,920 --> 00:10:06,400 Speaker 1: Here's Scott Sidenberg. Good morning, John egor Shist. Durkin made 169 00:10:06,440 --> 00:10:08,600 Speaker 1: forty three saves me because I Ben and Ja had 170 00:10:08,600 --> 00:10:10,679 Speaker 1: a goal and an assist as the Rangers beat the 171 00:10:10,760 --> 00:10:13,959 Speaker 1: Hurricanes three one at the Garden yesterday. Chris Critter and 172 00:10:14,040 --> 00:10:16,520 Speaker 1: Tyler Mott also scored as the Blue Shirts the fand 173 00:10:16,600 --> 00:10:19,559 Speaker 1: home ice now trail two games to one. Here's head 174 00:10:19,600 --> 00:10:22,679 Speaker 1: coach Gerard Glent a power play goal. That's how you 175 00:10:22,760 --> 00:10:24,319 Speaker 1: went hockey game, the tight game. So it was a 176 00:10:24,320 --> 00:10:27,679 Speaker 1: battle type battle again tonight. They obviously ego ego with 177 00:10:27,760 --> 00:10:29,839 Speaker 1: an outstanding fust and that was the key. It was 178 00:10:29,920 --> 00:10:32,640 Speaker 1: just the second win for the Blue Shirts over Carolina 179 00:10:32,720 --> 00:10:36,480 Speaker 1: in their last ten meetings. Game fourth the Garden Tomorrow 180 00:10:36,600 --> 00:10:39,160 Speaker 1: night baseball, the Yankees dropped both games of a double 181 00:10:39,240 --> 00:10:42,000 Speaker 1: header to the White Sox three one in Game one 182 00:10:42,120 --> 00:10:45,959 Speaker 1: and a five nothing shutout loss in game two. The 183 00:10:46,040 --> 00:10:49,120 Speaker 1: Mets meanwhile blank the Rockies to nothing. Taywan Walker through 184 00:10:49,200 --> 00:10:53,160 Speaker 1: seven scoreless innings. NBA Playoffs, the Warriors taken commanding three 185 00:10:53,200 --> 00:10:55,040 Speaker 1: oh series lead over the Mavericks with a one on 186 00:10:55,200 --> 00:10:58,640 Speaker 1: nine one win. Golf was an exciting finish at the 187 00:10:58,679 --> 00:11:02,280 Speaker 1: PG eight Championship up yesterday, and Justin Thomas is walking 188 00:11:02,320 --> 00:11:05,760 Speaker 1: around for the quick tap and he's got it. A 189 00:11:05,960 --> 00:11:10,600 Speaker 1: two time major winner of the PGA Championship, Justin Thomas 190 00:11:11,120 --> 00:11:14,600 Speaker 1: is your hundred port p G A champion here at 191 00:11:14,640 --> 00:11:18,760 Speaker 1: Southern Hills and Culf, Oklahoma. The call is heard right 192 00:11:18,800 --> 00:11:22,880 Speaker 1: here on Bloomberg Radio. Justin Thomas winning his second one 193 00:11:23,040 --> 00:11:27,840 Speaker 1: or Maker Trophy, outlasting Wills Allatorus in a three whole playoff. 194 00:11:28,280 --> 00:11:32,000 Speaker 1: I'm Scots murdered with Bloomberg Sports. All right, Scott, thanks 195 00:11:32,120 --> 00:11:34,960 Speaker 1: very much, and hand they can show about Wall Street 196 00:11:35,000 --> 00:11:37,880 Speaker 1: futures in the green right now, the down features they 197 00:11:37,920 --> 00:11:40,400 Speaker 1: are up two hundred six points, that's up seven tenths 198 00:11:40,480 --> 00:11:44,480 Speaker 1: of a percent. SMP even in futures twenty seven points higher, 199 00:11:44,559 --> 00:11:47,400 Speaker 1: up seven tenths of a percent. After the Broader Index 200 00:11:48,000 --> 00:11:51,679 Speaker 1: de skirted the definition of a bearer market on Friday, 201 00:11:52,120 --> 00:11:55,720 Speaker 1: NASDAC features sixties six points higher, that is up six 202 00:11:55,800 --> 00:11:59,160 Speaker 1: tenths of a percent. Right now, Dan, your treasury to 203 00:11:59,679 --> 00:12:02,400 Speaker 1: two of the yield up three basis points. You're listening 204 00:12:02,520 --> 00:12:09,960 Speaker 1: to Bloomberg tapering still ahead of Bloomberg. What is next 205 00:12:10,040 --> 00:12:12,760 Speaker 1: for the markets? Well, I ask Patrick Armstrong, he's the 206 00:12:12,840 --> 00:12:16,480 Speaker 1: chief investment officer of luring me, well, does he see 207 00:12:16,600 --> 00:12:23,319 Speaker 1: signs of a bottoming? This is Bloomberg Markets, headlines and 208 00:12:23,480 --> 00:12:26,720 Speaker 1: breaking news twenty four hours a day at Bloomberg dot Com, 209 00:12:26,880 --> 00:12:30,400 Speaker 1: the Bloomberg Business Outland at Bloomberg Quick Tape. This is 210 00:12:30,440 --> 00:12:39,280 Speaker 1: a Bloomberg business lash, and I'm parent Moscow's donks in 211 00:12:39,360 --> 00:12:42,800 Speaker 1: the UN advancing after President Joe Biden said Schina tariffs 212 00:12:42,800 --> 00:12:46,400 Speaker 1: imposed by the Trump administration we're under consideration. The dollar 213 00:12:46,520 --> 00:12:49,400 Speaker 1: and treasuries are retreating, and we checked the markets every 214 00:12:49,440 --> 00:12:52,120 Speaker 1: fifteen minutes throughout the trading day on Bloomberg, U s 215 00:12:52,160 --> 00:12:54,480 Speaker 1: and P futures up twenty seven points this morning, Dow 216 00:12:54,600 --> 00:12:58,240 Speaker 1: futures up two eleven and NAZDAC future is up sixty four. 217 00:12:58,400 --> 00:13:01,360 Speaker 1: The decks in Germany's up six to puns of uppercent ten. 218 00:13:01,440 --> 00:13:04,040 Speaker 1: Your treasury down ten thirty seconds, yield two point eight 219 00:13:04,120 --> 00:13:06,240 Speaker 1: one percent. That yield on a two year two point 220 00:13:06,280 --> 00:13:09,240 Speaker 1: six zero percent. Nin mex scrude oil is up one 221 00:13:09,280 --> 00:13:11,240 Speaker 1: point one percent of a dollar twenty three and a 222 00:13:11,320 --> 00:13:14,360 Speaker 1: hundred eleven dollars fifty one cents of barrel Comics gold 223 00:13:14,400 --> 00:13:16,679 Speaker 1: up one point one percent or twenty dollars at eighteen 224 00:13:16,800 --> 00:13:19,719 Speaker 1: sixty eight forty announce, the Euro one point oh six 225 00:13:19,800 --> 00:13:22,199 Speaker 1: seven three against the dollar, British pound one point to 226 00:13:22,360 --> 00:13:25,120 Speaker 1: five seven five, the yen is at one twenty seven 227 00:13:25,240 --> 00:13:28,559 Speaker 1: point four three, and Bitcoin this morning of almost two 228 00:13:28,600 --> 00:13:31,800 Speaker 1: percent at thirty thousand, five hundred dollars. That's a Bloomberg 229 00:13:31,880 --> 00:13:34,360 Speaker 1: business flash. Now here's Michael Barr with more on what's 230 00:13:34,400 --> 00:13:37,520 Speaker 1: going on around the world. Muchaele Karen, thank you very much. 231 00:13:37,600 --> 00:13:41,199 Speaker 1: President Joe Biden says the US would intervene militarily of 232 00:13:41,320 --> 00:13:45,199 Speaker 1: China where to invade Taiwan. Speaking in Tokyo, President Biden 233 00:13:45,240 --> 00:13:49,160 Speaker 1: says such a move would dislocate the entire region. White 234 00:13:49,200 --> 00:13:52,000 Speaker 1: House officials later said that Biden simply meant the US 235 00:13:52,360 --> 00:13:56,280 Speaker 1: would provide military equipment to Taiwan, not send troops to 236 00:13:56,360 --> 00:14:00,320 Speaker 1: defend the island of China attacks. CE seventeen mill terry 237 00:14:00,360 --> 00:14:04,520 Speaker 1: cargo playing carrying about seventy eight thousand pounds of specialized 238 00:14:04,600 --> 00:14:08,760 Speaker 1: baby formula from overseas, landed in Indiana yesterday to help 239 00:14:08,800 --> 00:14:11,920 Speaker 1: ease the shortage In the NHL playoffs. The Rangers beat 240 00:14:11,920 --> 00:14:14,760 Speaker 1: the Hurricanes three one. Carolina still leads the series two 241 00:14:14,840 --> 00:14:18,079 Speaker 1: games to one. In the NBA Playoffs, the Warriors beat 242 00:14:18,120 --> 00:14:20,680 Speaker 1: the Mavericks to lead the Western Conference Finals three games 243 00:14:20,760 --> 00:14:23,600 Speaker 1: to zip. In baseball, the Yankees lost the double header 244 00:14:23,640 --> 00:14:27,040 Speaker 1: to the White Sox, the Mets, Red Sox Orioles Nationals 245 00:14:27,120 --> 00:14:30,160 Speaker 1: won the Giants, and A's lost. Global News twenty four 246 00:14:30,200 --> 00:14:33,240 Speaker 1: hours a day on air and on Bloomberg Quick Tank, 247 00:14:33,560 --> 00:14:36,520 Speaker 1: powered by more than twenty seven hundred journalists and analysts 248 00:14:36,600 --> 00:14:40,200 Speaker 1: more than a hundred twenty countries. Michael Barr, this is Bloomberg, John, Michael, 249 00:14:40,240 --> 00:14:42,480 Speaker 1: thank you. He is coming up on six twenty on 250 00:14:42,640 --> 00:14:45,960 Speaker 1: Wall Street. We are lying for the Bloomberg Interactive Broker Studios. 251 00:14:46,520 --> 00:14:49,800 Speaker 1: This is Bloomberg day Break O. US equity futures is 252 00:14:49,920 --> 00:14:52,920 Speaker 1: Karen mentioned are higher this morning after the SMP five 253 00:14:53,000 --> 00:14:56,280 Speaker 1: how to drop for a seventh straight week. So what's 254 00:14:56,320 --> 00:15:00,560 Speaker 1: the next for investors joining US now? Patrick Armstrong, investment 255 00:15:00,640 --> 00:15:04,360 Speaker 1: officer at Plurimi Wealth. Patrick, do you see signs of 256 00:15:04,520 --> 00:15:08,720 Speaker 1: bottoming in the markets? I think you can make a 257 00:15:08,800 --> 00:15:11,920 Speaker 1: case that markets will be bottoming around this level, assuming 258 00:15:11,960 --> 00:15:15,640 Speaker 1: the United States doesn't fall into a recession. So surprisingly, 259 00:15:15,880 --> 00:15:19,560 Speaker 1: when we entered two thousand twenty two UM, unless we're 260 00:15:19,560 --> 00:15:22,320 Speaker 1: expecting two hundred and twenty earnings per share for the 261 00:15:22,440 --> 00:15:26,200 Speaker 1: SMP fived. Those earnings estimates have actually been increased this 262 00:15:26,320 --> 00:15:28,360 Speaker 1: year to two d and twenty seven is what analysts 263 00:15:28,360 --> 00:15:30,960 Speaker 1: they're expecting right now. So the whole sell offs being 264 00:15:31,080 --> 00:15:34,280 Speaker 1: driven by multiple contraction, which makes perfect sense given that 265 00:15:34,400 --> 00:15:37,240 Speaker 1: liquidity is getting withdrawn from the system. Ten year yields 266 00:15:37,320 --> 00:15:40,360 Speaker 1: have shot up UM close to three percent. I think 267 00:15:40,400 --> 00:15:42,920 Speaker 1: they're going to continue to move higher. But as long 268 00:15:43,000 --> 00:15:45,240 Speaker 1: as you don't see a real earnings recession, and I 269 00:15:45,280 --> 00:15:48,160 Speaker 1: don't think that happens unless you have an economic recession. 270 00:15:48,520 --> 00:15:50,360 Speaker 1: It will come down to what Powell wants to do. 271 00:15:50,520 --> 00:15:53,040 Speaker 1: He's got fifty basis points hiking in June and July. 272 00:15:53,760 --> 00:15:56,240 Speaker 1: If he assesses the lay of the land and starts 273 00:15:56,320 --> 00:16:01,080 Speaker 1: to ease and accepts higher inflation rather than provoking a recession, 274 00:16:01,560 --> 00:16:03,960 Speaker 1: I could see around these levels being a bottom for 275 00:16:04,000 --> 00:16:08,160 Speaker 1: the SMP. With the PE multiple of somewhere around nineteen 276 00:16:08,240 --> 00:16:12,400 Speaker 1: for the SMP five hundred, is that worth investing? Is 277 00:16:12,480 --> 00:16:15,040 Speaker 1: it a cheap at this point? Well, I wouldn't call 278 00:16:15,080 --> 00:16:17,920 Speaker 1: it cheap, so on a forward basis, it's seventeen pe 279 00:16:18,120 --> 00:16:21,080 Speaker 1: on a trailing basis nineteen and a half UM. Those 280 00:16:21,160 --> 00:16:26,280 Speaker 1: are pretty normal PE s, so they're not elevated anymore, 281 00:16:26,400 --> 00:16:28,280 Speaker 1: but they're they're not cheap. I wouldn't call it cheap. 282 00:16:28,680 --> 00:16:31,280 Speaker 1: On a price to sales basis. The SMP five hundreds 283 00:16:31,320 --> 00:16:34,200 Speaker 1: at two point four times, and that's still very elevated. 284 00:16:34,240 --> 00:16:37,640 Speaker 1: A typical price to sales multiple is one point six times. 285 00:16:37,680 --> 00:16:40,640 Speaker 1: So UM on an earnings basis you could say fair valued. 286 00:16:40,720 --> 00:16:42,640 Speaker 1: On a price to sales basis, you can still say 287 00:16:42,720 --> 00:16:47,320 Speaker 1: thirty overvalued. It'll come down to what profit margin UM 288 00:16:47,400 --> 00:16:49,880 Speaker 1: companies are able to generate. So if we do go 289 00:16:49,960 --> 00:16:53,560 Speaker 1: into an environment where basically companies have their margins squeezed, 290 00:16:53,920 --> 00:16:56,480 Speaker 1: which is totally plausible when you look at producer prices 291 00:16:56,560 --> 00:17:00,760 Speaker 1: running much higher UM inflationary backdrop than can tumor prices 292 00:17:00,800 --> 00:17:03,960 Speaker 1: are that basically implies that companies will be getting squeezed, 293 00:17:04,280 --> 00:17:06,439 Speaker 1: you should see a lower price to margin and probably 294 00:17:06,520 --> 00:17:09,720 Speaker 1: significantly lower price to sales. Are growth stocks off the 295 00:17:09,800 --> 00:17:13,879 Speaker 1: table for you? I don't like the most extreme growth 296 00:17:13,920 --> 00:17:16,480 Speaker 1: stocks UM, the stocks that don't have earnings yet and 297 00:17:16,520 --> 00:17:18,959 Speaker 1: have business models where they're hoping to get earnings over 298 00:17:19,000 --> 00:17:21,680 Speaker 1: the next decade. This isn't the environment you want to 299 00:17:21,760 --> 00:17:25,240 Speaker 1: be chasing those kind of disruptors and hoping uh that 300 00:17:25,400 --> 00:17:28,120 Speaker 1: eventually they'll grow their way into the multiples they trade at. 301 00:17:28,240 --> 00:17:30,960 Speaker 1: That makes a lot of sense when liquidity is abundant, 302 00:17:31,000 --> 00:17:33,760 Speaker 1: when interest rates are zero, and we're in an environment 303 00:17:33,800 --> 00:17:36,960 Speaker 1: where quantitative tightening is beginning next month. We think ten 304 00:17:37,000 --> 00:17:39,600 Speaker 1: your yields are moving well above three percent for the 305 00:17:39,640 --> 00:17:42,560 Speaker 1: remainder of this year. So I prefer value stocks that 306 00:17:42,640 --> 00:17:45,080 Speaker 1: are producing cash flow today, and the companies that don't 307 00:17:45,119 --> 00:17:46,879 Speaker 1: have earnings, I think the market is going to continue 308 00:17:46,880 --> 00:17:48,879 Speaker 1: to punish them. Does it feel like we've done a 309 00:17:49,000 --> 00:17:52,439 Speaker 1: round trip? We're back to levels that we saw before 310 00:17:52,520 --> 00:17:56,760 Speaker 1: the start of the pandemic. UM well on some of 311 00:17:56,840 --> 00:17:59,840 Speaker 1: the most growth stocks. Yeah, they fall in You're back 312 00:17:59,840 --> 00:18:03,560 Speaker 1: to levels you were um during the pandemic. I actually 313 00:18:03,600 --> 00:18:06,120 Speaker 1: think they have further to fall because there's still billions 314 00:18:06,119 --> 00:18:08,400 Speaker 1: in market cap that just don't even have a path 315 00:18:08,520 --> 00:18:11,119 Speaker 1: to profitability. In my opinion, so UM a lot of 316 00:18:11,160 --> 00:18:13,240 Speaker 1: the new I p o s, even having their perspectives, 317 00:18:13,320 --> 00:18:15,879 Speaker 1: we don't have a path to profitability. But when interest 318 00:18:15,920 --> 00:18:19,240 Speaker 1: rates for zero, investors still flopped into them. So I 319 00:18:19,320 --> 00:18:22,520 Speaker 1: think it's an environment very similar to Q four two 320 00:18:22,560 --> 00:18:25,960 Speaker 1: thousand and one, where the growth stocks still sold off, 321 00:18:26,240 --> 00:18:28,640 Speaker 1: but the companies that were producing cash flow the market 322 00:18:28,680 --> 00:18:31,240 Speaker 1: started to rotate into them. And I do think there's 323 00:18:31,240 --> 00:18:33,080 Speaker 1: a lot of good companies out there right now that 324 00:18:33,160 --> 00:18:37,119 Speaker 1: are trading at ten to even eight times earnings. We 325 00:18:37,200 --> 00:18:41,040 Speaker 1: bought Mosaic on Friday, which is owns potash reserves which 326 00:18:41,080 --> 00:18:43,439 Speaker 1: is used in fertilizer. It's trading at eight times earnings. 327 00:18:43,480 --> 00:18:44,920 Speaker 1: And I think you're going to have a very strong 328 00:18:45,000 --> 00:18:49,840 Speaker 1: backdrop with agricultural commodity prices where they are gauge. For me, 329 00:18:50,160 --> 00:18:55,560 Speaker 1: you're the risk of recession at this point. So it's plausible. 330 00:18:55,640 --> 00:18:57,960 Speaker 1: It's not my base case. In the United States, it's 331 00:18:58,000 --> 00:19:01,400 Speaker 1: going to come down to Powell. Um if he blinks 332 00:19:01,800 --> 00:19:04,280 Speaker 1: and he's got to make a policy mistake, He's got 333 00:19:04,320 --> 00:19:06,640 Speaker 1: to decide I'm going to create a recession or I'm 334 00:19:06,680 --> 00:19:09,560 Speaker 1: going to let inflation stay well above my two percent target. 335 00:19:10,040 --> 00:19:12,960 Speaker 1: I actually think he's going to go for the second 336 00:19:13,000 --> 00:19:16,480 Speaker 1: option and probably let inflation stay high. Um as long 337 00:19:16,560 --> 00:19:18,840 Speaker 1: as it is showing signs that it has platoon and 338 00:19:18,960 --> 00:19:21,800 Speaker 1: coming down towards two percent. I don't think he'll need 339 00:19:21,880 --> 00:19:23,600 Speaker 1: to do the final kick to get it down to 340 00:19:23,680 --> 00:19:26,600 Speaker 1: two percent, and that should allow the US to avoid 341 00:19:26,920 --> 00:19:30,240 Speaker 1: a recession, but the consequences will be inflation much higher 342 00:19:30,280 --> 00:19:34,040 Speaker 1: than the target. Patrick A pleasure appreciated. Patrick Armstrong, chief 343 00:19:34,080 --> 00:19:38,679 Speaker 1: Investment Officer at Plurimi Wealth with us this morning at 344 00:19:38,720 --> 00:19:40,880 Speaker 1: ahead of the open hob Wall Street, we have DOWN 345 00:19:40,960 --> 00:19:44,640 Speaker 1: futures of one eighty nine points at sub six tenths 346 00:19:44,680 --> 00:19:48,400 Speaker 1: of a percent, SMB futures twenty four points higher, that's 347 00:19:48,440 --> 00:19:51,320 Speaker 1: of six tenths of a percent. At the NAZENT futures 348 00:19:51,359 --> 00:19:54,560 Speaker 1: of fifty five points, that's up half a percent right now, 349 00:19:54,720 --> 00:19:58,560 Speaker 1: ten year yield at to eight one three basis points higher. 350 00:19:59,320 --> 00:20:07,600 Speaker 1: You're listening, it's a Bloomberg day break and the Bloomberg 351 00:20:07,680 --> 00:20:11,080 Speaker 1: Weather from meteorologist Rob Caroline partly Sunday is gonna be 352 00:20:11,119 --> 00:20:13,520 Speaker 1: cooler today and Lea's s gume with the heights Empert. 353 00:20:13,560 --> 00:20:17,560 Speaker 1: You're topping out at seventy degrees mostly cloudy tonight blows 354 00:20:18,000 --> 00:20:25,080 Speaker 1: fifty five to sixty Broadcasting live from the Bloomberg Interactive 355 00:20:25,119 --> 00:20:28,960 Speaker 1: Broker Studio in New York, Bloomberg E Living Freedom to Washington, 356 00:20:29,040 --> 00:20:33,160 Speaker 1: d C. Bloomberg to Boston, Bloomberg one O six one 357 00:20:33,280 --> 00:20:37,120 Speaker 1: to San Francisco, Bloomberg N sixty to the country, Sirius XM, 358 00:20:37,240 --> 00:20:40,040 Speaker 1: tod A one nine and around the globe the Bloomberg 359 00:20:40,080 --> 00:20:44,000 Speaker 1: Business app and Bloomberg Radio dot com. This is Bloomberg 360 00:20:44,119 --> 00:20:52,680 Speaker 1: Daybreak six thirty on Wall Street. Good morning, I'm John 361 00:20:52,720 --> 00:20:55,480 Speaker 1: Tucker and I'm Karen Moscow. We are just about three 362 00:20:55,520 --> 00:20:57,840 Speaker 1: hours away from the open of US trading time for 363 00:20:57,920 --> 00:21:00,200 Speaker 1: the five phase you need to notice start your day. 364 00:21:00,280 --> 00:21:04,560 Speaker 1: Brought to you by Interactive Brokers. Interactive Brokers charges marchin 365 00:21:04,640 --> 00:21:07,199 Speaker 1: loan rates from one point three to two point three 366 00:21:07,280 --> 00:21:09,920 Speaker 1: three percent, rates subject to change. Learn more at i 367 00:21:10,040 --> 00:21:14,400 Speaker 1: VKR dot com. Slash Compare First futures are up amid 368 00:21:14,520 --> 00:21:17,280 Speaker 1: expectations traders will help lift the S and P five 369 00:21:17,359 --> 00:21:21,160 Speaker 1: hundred after a touched bear market Territory Friday. Despite talks 370 00:21:21,240 --> 00:21:24,800 Speaker 1: of a US recession, Credit Sweet CEO Thomas Gonstein said 371 00:21:25,119 --> 00:21:28,720 Speaker 1: he doesn't see what happening. People are somewhat insecured in 372 00:21:29,000 --> 00:21:32,200 Speaker 1: risk off mode. But our house, he was still, is 373 00:21:32,320 --> 00:21:34,600 Speaker 1: that there won't be a recession neither. It is here 374 00:21:34,680 --> 00:21:36,920 Speaker 1: no next year, there will be slow down. Credit see 375 00:21:36,960 --> 00:21:40,240 Speaker 1: CEO Thomas Gonstein was speaking in Davos with the Bloomberg's 376 00:21:40,240 --> 00:21:43,600 Speaker 1: Francine Laqua. The annual Davos World Economic Forum is back 377 00:21:43,680 --> 00:21:47,000 Speaker 1: this year. Tune into Bloomberg Radio and Television for full 378 00:21:47,080 --> 00:21:51,040 Speaker 1: coverage This week overseas, President Biden indicated China terence imposed 379 00:21:51,080 --> 00:21:54,879 Speaker 1: by the Trump administration or under consideration. He also declared 380 00:21:54,920 --> 00:21:58,480 Speaker 1: the U. S Military would intervene should China attack Taiwan, 381 00:21:58,960 --> 00:22:01,040 Speaker 1: but White House official later a state of the U. 382 00:22:01,160 --> 00:22:04,960 Speaker 1: S would provide military equipment to the island, not sent troops. 383 00:22:05,280 --> 00:22:08,919 Speaker 1: President Biden also announcing that a dozen Into Pacific countries 384 00:22:08,960 --> 00:22:12,080 Speaker 1: will join the US and an economic initiative designed to 385 00:22:12,200 --> 00:22:15,679 Speaker 1: counter China's influence in the region. Well John Before boarding 386 00:22:15,720 --> 00:22:18,600 Speaker 1: Air Force One in South Korea yesterday, the President addressed 387 00:22:18,640 --> 00:22:23,320 Speaker 1: the growing monkey pox outbreak. Well, heaven't told me the 388 00:22:23,520 --> 00:22:26,439 Speaker 1: level of exposure yet, but it is something that everybody 389 00:22:26,480 --> 00:22:29,680 Speaker 1: should be concerned about. We're working on a hard figure 390 00:22:29,720 --> 00:22:32,720 Speaker 1: out what we do. And President Biden says he spoke 391 00:22:32,760 --> 00:22:35,879 Speaker 1: to advisors about the monkey pox vires. Well, the US 392 00:22:36,000 --> 00:22:39,760 Speaker 1: monitors monkey pox. It's getting relief on the battle against 393 00:22:39,800 --> 00:22:42,879 Speaker 1: the baby formula shortage and Bloomberg's We Need a Young 394 00:22:43,000 --> 00:22:45,280 Speaker 1: joins us live with more we need a good morning, 395 00:22:45,320 --> 00:22:48,480 Speaker 1: Good Morning John. A plainload of more than seventy thousand 396 00:22:48,560 --> 00:22:51,840 Speaker 1: pounds of baby formula arrived in the US on Sunday. 397 00:22:52,200 --> 00:22:56,359 Speaker 1: It's called Operation Fly Formula, an emergency program program to 398 00:22:56,480 --> 00:22:59,960 Speaker 1: alleviate a national shortage that's left thumb parents scrambling to 399 00:23:00,119 --> 00:23:03,880 Speaker 1: feed their children. President Biden's top economic advisors says more 400 00:23:04,000 --> 00:23:06,640 Speaker 1: formula will arrive in stores as early as this week. 401 00:23:07,200 --> 00:23:11,040 Speaker 1: Last week, the President invoked emergency powers to spur domestic 402 00:23:11,160 --> 00:23:15,000 Speaker 1: manufacturing of baby formula. Live in New York, I'm reneed 403 00:23:15,080 --> 00:23:17,320 Speaker 1: a young Bloomberg debris right, we need to thank you, 404 00:23:17,400 --> 00:23:19,639 Speaker 1: and turning back to equity, shares a vm Ware are 405 00:23:19,720 --> 00:23:22,800 Speaker 1: up a nine percent in early trading. The cloud computing 406 00:23:22,840 --> 00:23:26,040 Speaker 1: company is in talks to be bought by Broncom. Futures 407 00:23:26,160 --> 00:23:28,800 Speaker 1: are moving higher. Not to find things you need to notice. 408 00:23:28,840 --> 00:23:32,119 Speaker 1: Start your day, Bronty, you by interactive brokers trying to 409 00:23:32,160 --> 00:23:38,600 Speaker 1: hand your latest local headlines and this is Bloomberg. Thanks 410 00:23:38,680 --> 00:23:41,840 Speaker 1: Karen wall Street. Time to bring in Michael Barr to 411 00:23:41,920 --> 00:23:44,240 Speaker 1: tell us what else is going on in New York 412 00:23:44,320 --> 00:23:47,119 Speaker 1: and around the world. John, thank you very much. The 413 00:23:47,200 --> 00:23:49,320 Speaker 1: search is on for a gunman who shot a man 414 00:23:49,600 --> 00:23:53,680 Speaker 1: on a subway train in Manhattan Sunday morning. The suspect fled. 415 00:23:54,040 --> 00:23:57,040 Speaker 1: The forty eight year old victim died later at a hospital. 416 00:23:57,440 --> 00:24:00,440 Speaker 1: In YPD, Chief of Department Kenneth core He says the 417 00:24:00,520 --> 00:24:04,600 Speaker 1: victim was shot in the chest. According to witnesses, the 418 00:24:04,720 --> 00:24:07,600 Speaker 1: suspect was walking back and forth in the same train 419 00:24:07,680 --> 00:24:11,800 Speaker 1: car and without provocation, pulled out a gun and fired 420 00:24:11,840 --> 00:24:14,560 Speaker 1: it at the victim at close range. In my p 421 00:24:14,680 --> 00:24:18,000 Speaker 1: D Chief of Department Kenneth Corey says there was apparently 422 00:24:18,080 --> 00:24:22,400 Speaker 1: no prior contact between the victim and the suspect. Meanwhile, 423 00:24:22,440 --> 00:24:25,239 Speaker 1: the chief executive of Goldman Sachs says the forty eight 424 00:24:25,320 --> 00:24:28,280 Speaker 1: year old man shot and killed was an employee of 425 00:24:28,359 --> 00:24:32,560 Speaker 1: the firm. David Solomon says Daniel Enriquez was a beloved 426 00:24:32,640 --> 00:24:35,520 Speaker 1: member of the company for nine years. Solomon says the 427 00:24:35,600 --> 00:24:39,240 Speaker 1: firm was devastated by this senseless tragedy. In our deepest 428 00:24:39,280 --> 00:24:43,320 Speaker 1: sympathies are with Dan's family. At this difficult time, Russia 429 00:24:43,560 --> 00:24:47,400 Speaker 1: is intensifying its attacks in eastern Ukraine, as President Voladimir 430 00:24:47,480 --> 00:24:50,920 Speaker 1: Zelenski calls for even more powerful weapons. To count of 431 00:24:50,960 --> 00:24:54,200 Speaker 1: the Russian invasion, so Lenski says between fifty two d 432 00:24:54,400 --> 00:24:58,920 Speaker 1: Ukrainian soldiers die every day on the battlefield. Meanwhile, the 433 00:24:59,000 --> 00:25:02,639 Speaker 1: threat of possible new clear attacks continues from President Putin. 434 00:25:03,080 --> 00:25:06,720 Speaker 1: Former Chairman of the Joint Chiefs, Admiral Mike Mullen says, well, 435 00:25:06,880 --> 00:25:10,440 Speaker 1: he doesn't believe Putin will actually use nuclear weapons. It's 436 00:25:10,440 --> 00:25:13,360 Speaker 1: a possible action they have to consider. It's very difficult 437 00:25:13,400 --> 00:25:16,040 Speaker 1: to know what Putin is thinking in any particular time. 438 00:25:16,160 --> 00:25:18,960 Speaker 1: He's obviously spoken to this. I think we need to 439 00:25:19,119 --> 00:25:21,960 Speaker 1: make sure that we consider it. Former Chairman of the 440 00:25:22,040 --> 00:25:24,600 Speaker 1: Joint Chiefs Mullen spoke on a d c S this week, 441 00:25:24,680 --> 00:25:28,359 Speaker 1: which can be heard Sundays on Bloomberg. Basque requirements and 442 00:25:28,480 --> 00:25:31,160 Speaker 1: advisories are back in cities with the rise in COVID 443 00:25:31,240 --> 00:25:35,720 Speaker 1: nineteen cases. Philadelphia is one of them. Starting today face coverings, 444 00:25:35,960 --> 00:25:40,520 Speaker 1: there will be mandatory indoors and on school buses. Today 445 00:25:40,640 --> 00:25:42,400 Speaker 1: was supposed to be the day that the COVID era 446 00:25:42,520 --> 00:25:45,520 Speaker 1: Border Policy Title forty two was set to end, but 447 00:25:45,600 --> 00:25:48,840 Speaker 1: the federal judge in Louisiana blocked the Biden administration from 448 00:25:49,000 --> 00:25:56,560 Speaker 1: ending it. However, that is not stopping a steady stream 449 00:25:56,640 --> 00:25:59,520 Speaker 1: of migrants to arrive trying to get into the US. 450 00:26:00,000 --> 00:26:03,320 Speaker 1: Families with young children arrived over the weekend in Yuma, Arizona. 451 00:26:03,640 --> 00:26:06,680 Speaker 1: Beijing as extended orders for workers and students to stay 452 00:26:06,760 --> 00:26:10,040 Speaker 1: home and ordered additional mass testing as cases of COVID 453 00:26:10,160 --> 00:26:13,199 Speaker 1: nineteen again arise in the City. Global News twenty four 454 00:26:13,240 --> 00:26:16,040 Speaker 1: hours a day on air and on Bloomberg Quicktake, powered 455 00:26:16,080 --> 00:26:18,399 Speaker 1: by more than twenty seven hundred journalists and analysts more 456 00:26:18,440 --> 00:26:21,800 Speaker 1: than twenty countries. Michael mar this is Bloomberg, John, Michael, 457 00:26:21,840 --> 00:26:29,159 Speaker 1: thank you, and six thirty six on Walls Tree. That 458 00:26:29,520 --> 00:26:32,679 Speaker 1: is tied. But the Bloomberg Sports Update, here's Scott Sidenberg. 459 00:26:33,040 --> 00:26:36,119 Speaker 1: Thanks John. The Rangers desperately needed a win yesterday to 460 00:26:36,200 --> 00:26:39,000 Speaker 1: avoid falling down three games to none against the Hurricanes. 461 00:26:39,359 --> 00:26:42,080 Speaker 1: He Gorcius Darcy was up for the task, stopping forty 462 00:26:42,200 --> 00:26:45,320 Speaker 1: three shots as the Blue Shirts defeated the King's three 463 00:26:45,520 --> 00:26:49,200 Speaker 1: to one game four at the Garden. Tomorrow night, else where, 464 00:26:49,240 --> 00:26:51,000 Speaker 1: the Lightning take a three games to then lead over 465 00:26:51,040 --> 00:26:53,639 Speaker 1: the Panthers with a five one win. Edmonton goes up 466 00:26:53,680 --> 00:26:56,000 Speaker 1: two games to one over the Flames with a four 467 00:26:56,200 --> 00:26:59,960 Speaker 1: one victory Baseball rolled the Shapman surrendered a tie breaking 468 00:27:00,040 --> 00:27:01,720 Speaker 1: home run to A. J. Pollock in the top of 469 00:27:01,760 --> 00:27:04,000 Speaker 1: the ninth inning as the Yankees dropped Game one of 470 00:27:04,080 --> 00:27:06,160 Speaker 1: a double header to the White Sox three to one. 471 00:27:06,560 --> 00:27:09,320 Speaker 1: They would also lose Game two, being shut out five 472 00:27:09,440 --> 00:27:14,399 Speaker 1: nothing despite Louis Sabrina going seven scoreless innings, the Yankees 473 00:27:14,440 --> 00:27:17,240 Speaker 1: losing two straight but just the second time this season 474 00:27:17,359 --> 00:27:20,560 Speaker 1: that Mets meanwhile blank the Rockies to nothing, Taywan Walker 475 00:27:20,640 --> 00:27:24,840 Speaker 1: throwing seven scoreless innings. NBA Playoffs, the Warriors take a 476 00:27:24,880 --> 00:27:26,920 Speaker 1: three oh series lead over the Mavericks with a one 477 00:27:26,960 --> 00:27:31,040 Speaker 1: on nine in Dallas. Game four of the Eastern Conference 478 00:27:31,080 --> 00:27:34,840 Speaker 1: Finals tonight in Boston, Miami leads two games to one. Golf. 479 00:27:34,920 --> 00:27:38,879 Speaker 1: What an exciting finish at the PGA Championship yesterday and 480 00:27:39,080 --> 00:27:42,000 Speaker 1: Justin Thomas is walking around for the quick tap and 481 00:27:42,119 --> 00:27:45,840 Speaker 1: he's got it. A two time major winner at the 482 00:27:45,920 --> 00:27:51,040 Speaker 1: PGA Championship. Justin Thomas, He's your hundred four p G 483 00:27:51,240 --> 00:27:55,639 Speaker 1: A champion. Hear at Southern Hillford called Fall Oklahoma. The 484 00:27:55,760 --> 00:27:59,080 Speaker 1: call has heard right here on Bloomberg Radio. Justin Thomas 485 00:27:59,200 --> 00:28:03,960 Speaker 1: winning his second water Or Maker Trophy outlasting William Salaturus 486 00:28:04,080 --> 00:28:10,119 Speaker 1: in a three whole playoff. I'm Scott Bloomberg Sports. All right, Scott, 487 00:28:10,160 --> 00:28:14,200 Speaker 1: thanks very much. It is now sixty seven on Wall 488 00:28:14,320 --> 00:28:16,960 Speaker 1: Street and it is time down to take a look 489 00:28:17,000 --> 00:28:18,680 Speaker 1: at some of the stocks on the move, some of 490 00:28:18,720 --> 00:28:20,280 Speaker 1: the names that are moving in the pre market. And 491 00:28:20,400 --> 00:28:23,800 Speaker 1: for that we're joined by Bloomberg Radio and TV Markets 492 00:28:23,840 --> 00:28:29,320 Speaker 1: Correspondent Critic Group to let me guess steal news. Steal news? 493 00:28:29,440 --> 00:28:32,280 Speaker 1: What a great guess. Really on top of things here, 494 00:28:32,600 --> 00:28:35,720 Speaker 1: somebody's making money. Someone is. It's not me, But you 495 00:28:35,800 --> 00:28:39,200 Speaker 1: know that's a different conversation. Um, what's interesting here is 496 00:28:39,480 --> 00:28:41,480 Speaker 1: the players. We've talked a lot about this, about the 497 00:28:41,560 --> 00:28:44,640 Speaker 1: extreme amounts of cash that are on a lot of 498 00:28:44,680 --> 00:28:47,880 Speaker 1: balance sheets in corporate America, specifically in the tech sector. 499 00:28:47,960 --> 00:28:50,480 Speaker 1: So why not hop into that m and a boom. Well, 500 00:28:50,520 --> 00:28:52,800 Speaker 1: here's one example that that is. In fact, what's happening 501 00:28:52,840 --> 00:28:56,000 Speaker 1: really deploying some of that cash in this inflationary environment. 502 00:28:56,040 --> 00:28:57,800 Speaker 1: I mean, John, a five year old could tell you 503 00:28:57,920 --> 00:29:00,200 Speaker 1: that if you're if you're not spending five dollars to day, 504 00:29:01,040 --> 00:29:02,840 Speaker 1: it's gonna be worth less tomorrow. It's better to spend 505 00:29:02,880 --> 00:29:04,160 Speaker 1: it today. And it kind of seems like that's the 506 00:29:04,240 --> 00:29:06,800 Speaker 1: tone a lot of these companies are taking. Which brings 507 00:29:06,880 --> 00:29:10,200 Speaker 1: me to the deal of the morning, Broadcoms. It's said 508 00:29:10,240 --> 00:29:12,040 Speaker 1: to be in talks to buy VM. Where this is 509 00:29:12,080 --> 00:29:16,320 Speaker 1: a cloud company backed by the billionaire Michael Dell. Broadcom 510 00:29:16,440 --> 00:29:18,160 Speaker 1: we know it as one of the chip makers in 511 00:29:18,200 --> 00:29:21,320 Speaker 1: the Apple supply chain. Uh this morning, let me walk 512 00:29:21,360 --> 00:29:24,000 Speaker 1: you through the stock price action Broadcom a v g 513 00:29:24,160 --> 00:29:27,280 Speaker 1: O is your ticker down four point three p VM 514 00:29:27,360 --> 00:29:31,280 Speaker 1: where though climbing over in the pre market. And now, 515 00:29:31,280 --> 00:29:33,680 Speaker 1: of course we don't have any confirmation from either parties 516 00:29:33,720 --> 00:29:35,680 Speaker 1: about whether or not this is in fact going through. 517 00:29:35,720 --> 00:29:39,840 Speaker 1: This is according to people familiar with the matter bloomberg Scoop. 518 00:29:39,920 --> 00:29:42,400 Speaker 1: I might add, but this is important as we talk 519 00:29:42,440 --> 00:29:45,680 Speaker 1: about what could be the biggest ever acquisition of a 520 00:29:45,800 --> 00:29:49,719 Speaker 1: technology company. Essentially, this would give Broadcom a unique insight 521 00:29:49,880 --> 00:29:52,800 Speaker 1: into just a very different part of the technology of 522 00:29:52,840 --> 00:29:55,040 Speaker 1: the software space. And we know cloud companies are very 523 00:29:55,120 --> 00:29:58,040 Speaker 1: hot right now, just given a lot of these companies 524 00:29:58,640 --> 00:30:01,719 Speaker 1: haven't switched to cloud infrastructure yet, they've kind of started 525 00:30:01,760 --> 00:30:04,600 Speaker 1: doing that post pandemic and really amping that up in 526 00:30:04,680 --> 00:30:07,760 Speaker 1: this era of needing more cybersecurity and things like that. 527 00:30:07,840 --> 00:30:10,480 Speaker 1: So that's where cloud companies really come in handy. So 528 00:30:10,920 --> 00:30:15,560 Speaker 1: investment bankers can salivate at least at this particular time 529 00:30:15,760 --> 00:30:19,000 Speaker 1: for this particular industry because more is on the way, 530 00:30:19,080 --> 00:30:22,120 Speaker 1: I suspect well potentially, and I mean you do start 531 00:30:22,160 --> 00:30:24,040 Speaker 1: to see a little bit of reaction to some of 532 00:30:24,080 --> 00:30:26,400 Speaker 1: the other cloud companies as well. If you look at Oracle, 533 00:30:26,480 --> 00:30:29,920 Speaker 1: for example, which has a major market share when it 534 00:30:30,000 --> 00:30:32,720 Speaker 1: comes to cloud computing, it is up five tenths of 535 00:30:32,800 --> 00:30:35,240 Speaker 1: one per cent. Splunk is another one that you want 536 00:30:35,240 --> 00:30:37,960 Speaker 1: to keep your eye on. Sp l K is your 537 00:30:38,080 --> 00:30:40,720 Speaker 1: taker and it is up just shrive three percent. So 538 00:30:40,840 --> 00:30:42,880 Speaker 1: once again you are seeing a lot of this deal 539 00:30:42,920 --> 00:30:46,000 Speaker 1: activity throughout the day. Service Now is another one, and 540 00:30:46,200 --> 00:30:49,200 Speaker 1: ow used the taker up one point two percent. And 541 00:30:49,320 --> 00:30:52,160 Speaker 1: lastly I'll leave you with c h KP. That's Checkpoint 542 00:30:52,200 --> 00:30:56,720 Speaker 1: Software Technologies up one so cloud technologies there about this morning, 543 00:30:56,800 --> 00:31:00,120 Speaker 1: I found this stat TAKEO takeovers of tech company is 544 00:31:00,600 --> 00:31:04,560 Speaker 1: a forty six percent this year. That's globally. That's interesting. 545 00:31:05,760 --> 00:31:08,520 Speaker 1: Pretty thank you very much. Bloomberg Radio on TV Markets 546 00:31:08,560 --> 00:31:11,800 Speaker 1: correspondent Pretty Gupta and a head of the Open on 547 00:31:11,880 --> 00:31:15,160 Speaker 1: Wall Street SMP futures right now thirty four points higher. 548 00:31:15,600 --> 00:31:22,120 Speaker 1: You are listening the Bloomberg day Break and the Bloomberg 549 00:31:22,160 --> 00:31:26,440 Speaker 1: Weather from meteorologist Rob Caroline Partley sunny gotta be cooler 550 00:31:26,520 --> 00:31:28,800 Speaker 1: today and lesbian but the heights app that you're topping 551 00:31:28,840 --> 00:31:33,280 Speaker 1: out degrees most Looke comedy Tonight Lows Fife behind the 552 00:31:33,400 --> 00:31:40,360 Speaker 1: sixty markets headlines and breaking news twenty four hours a 553 00:31:40,480 --> 00:31:43,480 Speaker 1: day at Bloomberg dot Com, the Bloomberg Business apt and 554 00:31:43,640 --> 00:31:53,320 Speaker 1: at Bloomberg Quick Tape. He's a Bloomberg Business Flash and 555 00:31:53,440 --> 00:31:56,280 Speaker 1: I'm Karen Moscow. Futures are gaining this morning, we get 556 00:31:56,280 --> 00:31:58,800 Speaker 1: to the first word breaking news dance for today's morning call. 557 00:31:58,920 --> 00:32:02,680 Speaker 1: Here's Bill Maloney LL good morning and good morning, Karen. 558 00:32:02,760 --> 00:32:04,680 Speaker 1: That's right. US teachers are in the green right now 559 00:32:04,720 --> 00:32:07,160 Speaker 1: with DOWN futures up two hundred and sixty points SAPs 560 00:32:07,200 --> 00:32:09,960 Speaker 1: game thirty four one. That's that futures rise by eight 561 00:32:10,160 --> 00:32:12,960 Speaker 1: five the US ten year old that two point two 562 00:32:13,040 --> 00:32:16,120 Speaker 1: percent gold is of fifteen. Oil is also climbing, and 563 00:32:16,240 --> 00:32:19,520 Speaker 1: bitcoin is rising by one point nine percent. Japan gain 564 00:32:19,600 --> 00:32:22,000 Speaker 1: one percent overnight, while up of markets are trading mostly 565 00:32:22,120 --> 00:32:24,280 Speaker 1: higher this morning and back in the US on the 566 00:32:24,360 --> 00:32:28,360 Speaker 1: economic Frontday thirty, Chicago fed in dean news, Brock coms 567 00:32:28,360 --> 00:32:30,719 Speaker 1: and talks to buy vm Ware. Vm Ware shares are 568 00:32:30,800 --> 00:32:33,640 Speaker 1: up twenty one percent pre market, and another news JP 569 00:32:33,800 --> 00:32:36,640 Speaker 1: Morgan boosted its guidance for fiscal year and net interest 570 00:32:36,720 --> 00:32:40,760 Speaker 1: income X markets forecast. Wrapping things up, HP Inc. Was 571 00:32:40,840 --> 00:32:43,640 Speaker 1: cut to neutral. Over at the City Group Live on 572 00:32:43,760 --> 00:32:46,680 Speaker 1: the First Breaking News Desk. I'm Bill Maloney, Karen, all right, Bil, 573 00:32:46,680 --> 00:32:48,640 Speaker 1: thank you to here live breaking economic news. O your 574 00:32:48,720 --> 00:32:51,800 Speaker 1: Bloomberg type squawk on your terminal SCU A w u K. 575 00:32:51,960 --> 00:32:54,480 Speaker 1: That's a Bloomberg business flash. Now here's Michael Barrow with 576 00:32:54,600 --> 00:32:57,360 Speaker 1: more on what's going on around the world. Michael, Karen, 577 00:32:57,400 --> 00:32:59,840 Speaker 1: thank you very much. President Joe Biden said the US 578 00:33:00,120 --> 00:33:04,080 Speaker 1: military would intervene to defend Taiwan in any attack from 579 00:33:04,160 --> 00:33:08,280 Speaker 1: China in Tokyo. Biden said such a move would dislocate 580 00:33:08,400 --> 00:33:10,640 Speaker 1: the entire region and be an action similar to what 581 00:33:10,760 --> 00:33:14,120 Speaker 1: Russia has done in Ukraine. White House officials later said 582 00:33:14,160 --> 00:33:17,920 Speaker 1: that Biden simply meant the US would provide military equipment 583 00:33:17,960 --> 00:33:20,560 Speaker 1: to Taiwan, not send troops to defend the island of 584 00:33:20,680 --> 00:33:26,480 Speaker 1: China attacks. A military plane carrying enough specialty infant formula 585 00:33:26,560 --> 00:33:29,360 Speaker 1: for more than a half a million baby bottles arrived 586 00:33:29,480 --> 00:33:33,520 Speaker 1: yesterday in Indianapolis. It's the first of several flights expected 587 00:33:33,600 --> 00:33:37,040 Speaker 1: from Europe aimed at relieving a formula shortage. In the 588 00:33:37,160 --> 00:33:40,880 Speaker 1: NHL playoff, Rangeers beat the Hurricanes and the NBA Playoffs, 589 00:33:40,920 --> 00:33:43,760 Speaker 1: the Warriors beat the Mavericks in baseball, the Yankees lost 590 00:33:43,840 --> 00:33:46,600 Speaker 1: a double header to the White Sox, the Met's Red Sox, 591 00:33:46,640 --> 00:33:49,840 Speaker 1: Orioles and Nationals won the Giants, and A's lost. Global 592 00:33:49,880 --> 00:33:52,560 Speaker 1: News twenty four hours a day on air and on 593 00:33:52,720 --> 00:33:56,720 Speaker 1: Bloomberg Quicktake, powered by more than twenty seven hundred journalists 594 00:33:56,760 --> 00:33:59,480 Speaker 1: and analysts and more than one hundred twenty countries on 595 00:33:59,560 --> 00:34:03,560 Speaker 1: Michael Ar, this is Bloomberg. John, all right, thank you, Michael, 596 00:34:03,920 --> 00:34:08,040 Speaker 1: and we are live from the Bloomberg Interactive Broker Studios 597 00:34:08,360 --> 00:34:11,919 Speaker 1: where it is now sixty nine on Wall Street Time 598 00:34:11,960 --> 00:34:13,800 Speaker 1: to check what's going on in d C. Set of 599 00:34:13,840 --> 00:34:17,000 Speaker 1: the top stories that are a nation's capital include President 600 00:34:17,080 --> 00:34:19,720 Speaker 1: Biden says the U. S Military, as Michael mentioned, would 601 00:34:19,840 --> 00:34:23,680 Speaker 1: intervene to defend Taiwan in any attack from China, a 602 00:34:23,760 --> 00:34:27,239 Speaker 1: statement condemned by Beijing later walked back by White House 603 00:34:27,280 --> 00:34:31,040 Speaker 1: officials and President Vines saying he'll discuss terrence on Chinese 604 00:34:31,080 --> 00:34:33,960 Speaker 1: imports with the Treasury Secretary upon his return from his 605 00:34:34,080 --> 00:34:38,120 Speaker 1: Asia trip. President Biden seeking to share reassure Americans that 606 00:34:38,239 --> 00:34:42,920 Speaker 1: the current monkey pox outbreak unlikely to cause a pandemic 607 00:34:43,160 --> 00:34:46,279 Speaker 1: on the scale of COVID nineteen, and also a high 608 00:34:46,360 --> 00:34:50,760 Speaker 1: stakes Republican primary in Georgia tomorrow. Let's take a deeper 609 00:34:50,840 --> 00:34:54,080 Speaker 1: dive into some of these stories this morning. We're lucky 610 00:34:54,200 --> 00:34:58,879 Speaker 1: to have unscripted Greg Valier, the chief US policy strategist 611 00:34:59,280 --> 00:35:02,520 Speaker 1: at a G Investments. Hopefully we won't have to worry 612 00:35:02,560 --> 00:35:06,120 Speaker 1: about you speaking off the cuff and angering China, Greg, 613 00:35:06,560 --> 00:35:09,560 Speaker 1: but it gives you an indication of some of the 614 00:35:09,640 --> 00:35:13,040 Speaker 1: things that the President and his advisors are up against 615 00:35:13,560 --> 00:35:17,719 Speaker 1: when you are asked questions complicated, the questions about the 616 00:35:18,000 --> 00:35:22,719 Speaker 1: US policy. Well, this is once again the story of 617 00:35:23,160 --> 00:35:27,560 Speaker 1: Joe Biden going off script. Is his advisors cringe when 618 00:35:27,640 --> 00:35:30,800 Speaker 1: he does it. And here we are again saying something 619 00:35:30,920 --> 00:35:35,440 Speaker 1: that previously, earlier this year, the White House said is 620 00:35:35,520 --> 00:35:40,920 Speaker 1: not accurate, that we have abandoned our strategic ambiguity. But 621 00:35:41,200 --> 00:35:44,960 Speaker 1: here we have Joe Biden. I think disrupting what was 622 00:35:45,040 --> 00:35:49,640 Speaker 1: looking like a pretty good trade meeting, trade trip to Europe, 623 00:35:49,840 --> 00:35:53,440 Speaker 1: good relations with South Korea, and now everything has been 624 00:35:53,560 --> 00:35:58,440 Speaker 1: discombobulated by the comments team made last night. UM and 625 00:35:58,800 --> 00:36:01,120 Speaker 1: Uh it's not the first time that this has happened. 626 00:36:01,239 --> 00:36:04,680 Speaker 1: What kind of message does it send more broadly to uh, 627 00:36:04,920 --> 00:36:09,399 Speaker 1: to his constituents and his opponents. Two things I say. 628 00:36:09,520 --> 00:36:13,359 Speaker 1: Number One, like Donald Trump, he doesn't listen to his advisors. 629 00:36:13,600 --> 00:36:16,759 Speaker 1: I mean, every Democrats seemed to think that Trump was 630 00:36:16,880 --> 00:36:19,600 Speaker 1: oblivious to his advisors. But it's looking like Joe Biden 631 00:36:20,360 --> 00:36:23,279 Speaker 1: is the same. Number Two, he's very stubborn. He's been 632 00:36:23,320 --> 00:36:26,600 Speaker 1: told time and time again not to use this phrase. 633 00:36:26,960 --> 00:36:29,880 Speaker 1: He chose to use it. Either he didn't remember or 634 00:36:30,360 --> 00:36:33,399 Speaker 1: he just is very Again, he's very stubborn. But it's 635 00:36:33,440 --> 00:36:36,440 Speaker 1: not a good signal. Person of Biden says he's going 636 00:36:36,480 --> 00:36:40,799 Speaker 1: to discuss tariffs Chinese imports with that Janet yelling upon 637 00:36:41,040 --> 00:36:44,719 Speaker 1: his return. They're walking back some of the things that 638 00:36:44,880 --> 00:36:48,520 Speaker 1: were that the Trump administration did. Uh. And it seems 639 00:36:48,520 --> 00:36:50,279 Speaker 1: to be good news, at least for the markets, right. 640 00:36:51,840 --> 00:36:55,279 Speaker 1: I think it's a it's a pretty good signal. I 641 00:36:55,480 --> 00:36:58,880 Speaker 1: think that Uh, there are some things to be reasonably 642 00:36:59,160 --> 00:37:02,879 Speaker 1: positive about. The budget deficits coming down, The unemployment rate 643 00:37:03,000 --> 00:37:06,000 Speaker 1: is really low, the economy is not in recession. There 644 00:37:06,040 --> 00:37:09,480 Speaker 1: are still some decent stories out there. But you know, 645 00:37:09,600 --> 00:37:13,879 Speaker 1: barring some sudden reversal, I do think the Republicans will 646 00:37:13,960 --> 00:37:17,839 Speaker 1: gain the House and maybe even gain the Senate. Uh. 647 00:37:17,960 --> 00:37:21,279 Speaker 1: And at this point, well, let's let's talk about the elections. UM. 648 00:37:21,680 --> 00:37:24,920 Speaker 1: Some of the takeaways from the primaries that we just had. 649 00:37:25,000 --> 00:37:27,960 Speaker 1: What was the big message for you? I think the 650 00:37:28,040 --> 00:37:30,520 Speaker 1: big messages it is still all about Trump. And all 651 00:37:30,560 --> 00:37:33,439 Speaker 1: of these races is some he won, some a lot, 652 00:37:33,840 --> 00:37:37,320 Speaker 1: some extremists one, some extremists lost. But in all of 653 00:37:37,360 --> 00:37:41,880 Speaker 1: these elections, Biden's Trump was still a big factor. And 654 00:37:42,000 --> 00:37:45,200 Speaker 1: now we get a really big race tomorrow night in Georgia, 655 00:37:45,600 --> 00:37:48,120 Speaker 1: a race in which I think Donald Trump is going 656 00:37:48,200 --> 00:37:51,240 Speaker 1: to get smoked. I think he's going to lose badly. 657 00:37:51,760 --> 00:37:57,040 Speaker 1: This is Brian Camp the incumbent, and David Purdue. Uh. 658 00:37:58,280 --> 00:38:00,920 Speaker 1: We'll explain for us the differences between the two, but 659 00:38:00,960 --> 00:38:05,120 Speaker 1: they're pretty significant. Yeah, they're both conservative Republicans. But one 660 00:38:05,200 --> 00:38:09,760 Speaker 1: of them, of course, Kemp the governor, didn't support Donald 661 00:38:09,800 --> 00:38:14,160 Speaker 1: Trump's ridiculous claims that he won Georgia. So Trump has 662 00:38:14,239 --> 00:38:18,560 Speaker 1: a vendetta and he wants to see Kemp lose. Unfortunately 663 00:38:18,640 --> 00:38:23,279 Speaker 1: for Trump, Kemp is ahead by points, maybe even more so. 664 00:38:23,640 --> 00:38:28,040 Speaker 1: I think the the Trump favorite, uh fell about the 665 00:38:28,160 --> 00:38:31,040 Speaker 1: name of Perdue, is going to lose badly. This will 666 00:38:31,080 --> 00:38:34,680 Speaker 1: be the first sign that Trump is not infallible, that 667 00:38:34,800 --> 00:38:38,160 Speaker 1: he can lose some of these races where he nominates 668 00:38:38,239 --> 00:38:42,200 Speaker 1: someone he's convinced is going to win. And uh Democrats 669 00:38:42,239 --> 00:38:45,520 Speaker 1: Stacy Abrahams, She's unopposed in the gubernatorial primary on the 670 00:38:45,960 --> 00:38:50,200 Speaker 1: On the Democratic side, there's also the Warnock Senate seat 671 00:38:50,320 --> 00:38:54,000 Speaker 1: that is that how vulnerable is it? And herschel Walker, 672 00:38:54,040 --> 00:38:58,640 Speaker 1: I should mention, is his opponent. Yeah, it's an interesting race, 673 00:38:58,760 --> 00:39:02,920 Speaker 1: but I'm not sure that Walker. Yeah, yeah, I'm not 674 00:39:03,040 --> 00:39:05,440 Speaker 1: sure herschel Walker is going to win. That race is 675 00:39:05,440 --> 00:39:09,920 Speaker 1: going to be close. But I think Walker has some baggage. 676 00:39:11,840 --> 00:39:14,360 Speaker 1: What what is his baggage? I mean, he does have 677 00:39:14,440 --> 00:39:17,359 Speaker 1: a close relationship with Donald Trump, we know that. I'm 678 00:39:17,400 --> 00:39:22,360 Speaker 1: not sure or not. No, I would say there's some 679 00:39:22,480 --> 00:39:26,800 Speaker 1: personal things, some accusations about his personal life, and I 680 00:39:26,920 --> 00:39:30,680 Speaker 1: think that might be a factor as well. I think 681 00:39:30,719 --> 00:39:35,959 Speaker 1: Warnock could be a surprise and could get reelected. Let's 682 00:39:36,000 --> 00:39:38,520 Speaker 1: finish up if I could, Greg, there seems to be 683 00:39:38,800 --> 00:39:42,440 Speaker 1: some glimmer of hope at least between Ukraine and Russia. 684 00:39:42,760 --> 00:39:45,880 Speaker 1: Can you tell us more about that, a glimmer of 685 00:39:45,960 --> 00:39:49,160 Speaker 1: hope to this extent, I think Zelinsky knows there's going 686 00:39:49,239 --> 00:39:52,200 Speaker 1: to have to be negotiations. I mean, the losses have 687 00:39:52,320 --> 00:39:58,240 Speaker 1: been staggering on both sides. Maybe Russian soldiers killed another 688 00:39:58,360 --> 00:40:02,239 Speaker 1: fifty or sixty thousand caps or are wounded. The Ukrainians 689 00:40:02,320 --> 00:40:06,120 Speaker 1: are losing truce several hundred a week. They can't sustain 690 00:40:06,239 --> 00:40:10,480 Speaker 1: this indefinitely. And I do think that Zelinsky hinting over 691 00:40:10,520 --> 00:40:14,520 Speaker 1: the weekend that negotiations are coming is encouraging. You've got 692 00:40:14,640 --> 00:40:16,920 Speaker 1: to get Putin on board, but you like to have 693 00:40:17,120 --> 00:40:20,400 Speaker 1: to concede that Putin has won most of his objectives 694 00:40:20,520 --> 00:40:22,600 Speaker 1: in the East, so he knows he's not going to 695 00:40:22,680 --> 00:40:25,479 Speaker 1: get the key. That's not gonna happen. So I see 696 00:40:25,800 --> 00:40:28,360 Speaker 1: a sign or two that maybe by the middle of 697 00:40:28,440 --> 00:40:31,240 Speaker 1: the summer we could be getting closer to a truce. 698 00:40:31,800 --> 00:40:34,120 Speaker 1: Greg always a pleasure of Greg value, the chief US 699 00:40:34,200 --> 00:40:37,640 Speaker 1: policy strategist at a GF investments. You can read more 700 00:40:37,680 --> 00:40:40,400 Speaker 1: about these stories on Bloomberg dot com or the Bloomberg terminal, 701 00:40:40,760 --> 00:40:43,000 Speaker 1: and you can follow all the latest on Bloomberg Radio 702 00:40:43,200 --> 00:40:47,400 Speaker 1: in Washington Bloomberg and one oh five point seven FM 703 00:40:47,880 --> 00:40:51,520 Speaker 1: HD two Harry Tom thank you. At six fifties six 704 00:40:51,600 --> 00:40:53,520 Speaker 1: on Wall Street, we turned to news and science and 705 00:40:53,600 --> 00:40:56,960 Speaker 1: technology now with the Bloomberg and J. I. T. Stammer Report. 706 00:40:57,120 --> 00:41:00,160 Speaker 1: Run to you buy New Jersey Institute of Technology, one 707 00:41:00,160 --> 00:41:03,520 Speaker 1: of the nation's leading polytechnic universities in a top military 708 00:41:03,600 --> 00:41:06,200 Speaker 1: friendly school. Learn more at n j I T dot 709 00:41:06,239 --> 00:41:08,919 Speaker 1: E d U slash Veterans And now here's what's making 710 00:41:08,960 --> 00:41:12,239 Speaker 1: news and science, technology, engineering and math well. As you've 711 00:41:12,280 --> 00:41:15,160 Speaker 1: been reporting, A planeload of more than seventy thousand pounds 712 00:41:15,200 --> 00:41:17,839 Speaker 1: of baby furmula have arrived in the US an Air 713 00:41:17,920 --> 00:41:20,759 Speaker 1: Force jet fluid from Germany to Indianapolis as the start 714 00:41:20,800 --> 00:41:24,040 Speaker 1: of an emergency program to alleviate a national shortage that 715 00:41:24,120 --> 00:41:27,760 Speaker 1: has left some parents scrounging to feed their children. Global 716 00:41:27,880 --> 00:41:31,320 Speaker 1: power grids are about to face their biggest test in decades, 717 00:41:31,600 --> 00:41:36,600 Speaker 1: war drought, production shortages, historically low inventories, and pandemic backlash. 718 00:41:37,000 --> 00:41:39,680 Speaker 1: Energy markets across the planet have been put through the 719 00:41:39,800 --> 00:41:42,400 Speaker 1: ringer over the past year, but somehow things are on 720 00:41:42,560 --> 00:41:45,160 Speaker 1: track to get even worse. Blame the heat. Summer in 721 00:41:45,280 --> 00:41:47,960 Speaker 1: much of the northern Hemisphere is a typical peak for 722 00:41:48,040 --> 00:41:50,920 Speaker 1: electricity use. This year, it's going to be sweltering as 723 00:41:50,960 --> 00:41:53,680 Speaker 1: climate change tightens its grip. It's already so hard in 724 00:41:53,800 --> 00:41:57,000 Speaker 1: parts of South Asia that the air temperatures are blistering 725 00:41:57,160 --> 00:42:00,720 Speaker 1: enough to cook a ross salmon. Scientists are predict scorching 726 00:42:00,800 --> 00:42:04,120 Speaker 1: months ahead for the US and Amazon dot Com, stuck 727 00:42:04,200 --> 00:42:07,160 Speaker 1: with too much warehouse capacity now that the surgeon pandemic 728 00:42:07,239 --> 00:42:10,160 Speaker 1: era shopping is faded, is looking to sublet at least 729 00:42:10,239 --> 00:42:13,399 Speaker 1: ten million square feet of space and con vacate even 730 00:42:13,480 --> 00:42:17,240 Speaker 1: more by ending leases with landlords. Sources say the excess 731 00:42:17,280 --> 00:42:21,319 Speaker 1: capacity includes warehouses in New York, New Jersey, southern California, 732 00:42:21,440 --> 00:42:24,080 Speaker 1: and Atlanta and s the Bloomberg and j I t 733 00:42:24,360 --> 00:42:27,440 Speaker 1: STEM report and again futures on the rise this morning, 734 00:42:27,600 --> 00:42:32,000 Speaker 1: SMP futures forty four points, DOW futures of three hundred thirty, 735 00:42:32,080 --> 00:42:34,880 Speaker 1: and NASDACK futures have a hundred seventeen. So they've been 736 00:42:34,920 --> 00:42:38,960 Speaker 1: adding to their games this morning and Bloomberg Surveillance with 737 00:42:39,239 --> 00:42:41,919 Speaker 1: Tom Keene and Lisa of Brabo. Waits will be Live 738 00:42:42,040 --> 00:42:45,280 Speaker 1: and Davos this morning for John Tucker. I'm Karen Moscow 739 00:42:45,440 --> 00:42:46,920 Speaker 1: and this is Bloomberg