WEBVTT - Oracle Slips, Alphabet Leads Tech Rally, Centene Jumps

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio News.

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<v Speaker 2>The Stock Movers Report, your roundup of companies making moves

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<v Speaker 2>in the stock market, harnessing the power of Bloomberg Data.

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<v Speaker 3>Let's take a look at some of the stocks on

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<v Speaker 3>the move. I'm popsuing you alongside Scarlett Fuh. We're joined

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<v Speaker 3>by Bloomberg's Christina Christine. What are you looking at?

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<v Speaker 1>Well, we got to take a look at Oracle, Paul,

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<v Speaker 1>because that was at the epicenter of last week's very

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<v Speaker 1>turmoil in stocks in general. But yeah, today it's doing

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<v Speaker 1>quite well, so ticker o RCL. Those shares are merely

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<v Speaker 1>two percent at the moment, just keeping along with the

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<v Speaker 1>rally in the rest of the equity complex here. But

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<v Speaker 1>all is not in the clear because looking at the

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<v Speaker 1>credit space for Oracle, their credit default swaps, so this

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<v Speaker 1>is the cost of protecting against the potential default in Oracle.

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<v Speaker 1>That rose to the highest in more than three years.

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<v Speaker 1>So that means that people are still demanding that protection.

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<v Speaker 1>And you know, it really is still all about the

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<v Speaker 1>questions over how are these companies going to fund their aideals?

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<v Speaker 1>And for Oracle specifically, it's credit rating is actually weaker

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<v Speaker 1>than Microsoft or alphabet, and this is why it's becoming

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<v Speaker 1>a bit of a barometer for just risk in the market,

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<v Speaker 1>at least when it comes to all these credit questions.

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<v Speaker 1>And by the way, this last week that costs Larry

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<v Speaker 1>Ellison's net worth to go down one hundred and thirty

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<v Speaker 1>billion dollars, so you know, he's briefly the world's richest

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<v Speaker 1>person in September. But yeah, not anymore.

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<v Speaker 2>Fairly or unfairly.

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<v Speaker 1>The credit market has picked on Oracle as the way

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<v Speaker 1>to perhaps hedge against or maybe even bet against the

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<v Speaker 1>whole aid.

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<v Speaker 3>I think the reason I just looked at the FA

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<v Speaker 3>function on the Bloomberg Remote Financial Analysis, the net debt

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<v Speaker 3>to ebath dosbout four times on a trailing basis, maybe

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<v Speaker 3>three point eight on a forward basis. That's very high

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<v Speaker 3>for techs the standards, it's rare something north of one

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<v Speaker 3>or two. So to be at that level, that's kind

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<v Speaker 3>of what I think, and it stands in contrast to

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<v Speaker 3>the rest of the tech industry that is r exactly.

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<v Speaker 1>Let's talk about yeah alphabet, so that is on a

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<v Speaker 1>positive end of the tech spectrum, of course, leading those

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<v Speaker 1>gains those shares took her goog l up now five

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<v Speaker 1>point nine percent and really leading the rally also hit

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<v Speaker 1>a record high earlier today, and you know, still very

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<v Speaker 1>much coasting off of the rave reviews for its latest

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<v Speaker 1>Gemini AI model. And also remember last week, so the

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<v Speaker 1>Information was reporting that Opening I CEO Sam Amo was

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<v Speaker 1>apparently telling recent colleagues that their progress, or Alphabet's progress

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<v Speaker 1>in the AI space could actually quote create some temporary

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<v Speaker 1>economic headwinds for our company. So Open AI feeling a

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<v Speaker 1>little bit of competition from Alphabet here. And you know,

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<v Speaker 1>very interesting though, because Bloomery Intelligence did some analysis and

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<v Speaker 1>they found that regardless, you know, despite of all these

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<v Speaker 1>pauses for Alphabet the company, their extras returns a year

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<v Speaker 1>to date are still the weakest amost investment grade tech piers.

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<v Speaker 1>But perhaps given the reviews for their new Gemini model,

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<v Speaker 1>dot Com could change the tide a little bit here.

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<v Speaker 3>I think Gemini is basically the only way I really

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<v Speaker 3>deal with AI.

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<v Speaker 1>But it's good because you rely on Google searches and

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<v Speaker 1>it pops up right away and.

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<v Speaker 3>It's very good. But what I do notice is I

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<v Speaker 3>don't click on many links, so the ad model for them,

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<v Speaker 3>I would think would be a risk. But people like

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<v Speaker 3>man Deep seing saying no, it's not it's okay. And

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<v Speaker 3>the stocks at an all time high.

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<v Speaker 1>So tych advertisers, they're not happy about it, I know,

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<v Speaker 1>but I.

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<v Speaker 3>Mean Google stock all time high, so I guess they're

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<v Speaker 3>figuring it out.

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<v Speaker 1>Yeah, are happy at least I'm a Gemini guy. Ok, yeah,

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<v Speaker 1>I can senteen senteen yeah, so took her. A CNC

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<v Speaker 1>Joe chair is also doing all this morning, up more

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<v Speaker 1>than seven percent. And now, so this is a health insurer, right,

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<v Speaker 1>And of course we got that report from Politico saying

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<v Speaker 1>that the White House is apparently expected to propose a

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<v Speaker 1>two year extension of Obamacare subsidies with new limits on eligibility.

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<v Speaker 1>EMMA is now also reporting that President Donald Trump is

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<v Speaker 1>expected to announce a general framework to address healthcare costs

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<v Speaker 1>and spikes in ACA insurance premium scenting of course offering

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<v Speaker 1>healthcare plans under the ACA marketplace, so potentially go use

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<v Speaker 1>for them there.

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<v Speaker 2>The Stockmover's report from Bloomberg Radio. Check back with us

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