1 00:00:02,600 --> 00:00:06,120 Speaker 1: Live from a Bloomberg interactive Brooker Studios is Bloomberg Daybreak 2 00:00:06,160 --> 00:00:09,640 Speaker 1: for Frinday, July one, two, Coming up this hour. The 3 00:00:09,720 --> 00:00:12,760 Speaker 1: stock selloff continues after the worst first half in more 4 00:00:12,800 --> 00:00:15,480 Speaker 1: than fifty years. The fetis in focused as a top 5 00:00:15,480 --> 00:00:19,800 Speaker 1: Republican says the Central Bank needs more transparency. Bitcoin clause 6 00:00:19,840 --> 00:00:22,480 Speaker 1: back losses as the digital currency seeks to rebound for 7 00:00:22,600 --> 00:00:25,920 Speaker 1: Pittsburgh month. Eather police and Newark are investigating a shooting 8 00:00:25,960 --> 00:00:29,000 Speaker 1: that left nine people wounded, plus New York City debuts 9 00:00:29,000 --> 00:00:32,920 Speaker 1: a new DNA gun unit, Catch Criminal. I'm like long ahead, 10 00:00:33,280 --> 00:00:36,680 Speaker 1: I'm Scott Santenberg, Kevin Durant. What's out the latest on 11 00:00:36,800 --> 00:00:39,960 Speaker 1: NBA free agency? And the Yankees fell in Houston. That's 12 00:00:39,960 --> 00:00:45,640 Speaker 1: all coming up in sports, That's all strained ahead on 13 00:00:45,720 --> 00:00:48,680 Speaker 1: Bloomberg day Break on Bloomberg he Livened three on New 14 00:00:48,760 --> 00:00:53,680 Speaker 1: York Bloomberg one, Washington, d C, Bloomberg one oh six one, Boston, 15 00:00:53,760 --> 00:00:58,080 Speaker 1: Bloomberg nine sixties and Francisco syrius x M one nineteen 16 00:00:58,240 --> 00:01:01,160 Speaker 1: and around the world on Bloomberg Radio dot Com and 17 00:01:01,280 --> 00:01:09,480 Speaker 1: via the Bloomberg Business Act. And good Morning. I'm Karen Moscow. 18 00:01:09,720 --> 00:01:12,880 Speaker 1: I'm Nathan Haggard Bloomberg Daybreak brought to you by Informatica. 19 00:01:13,040 --> 00:01:15,040 Speaker 1: In the Cloud, your data has the power to do 20 00:01:15,080 --> 00:01:18,360 Speaker 1: the extraordinary. Managed data across any location in the cloud 21 00:01:18,400 --> 00:01:22,600 Speaker 1: for accurate and actionable insights. More at informattica dot com. 22 00:01:22,640 --> 00:01:25,640 Speaker 1: And futures are lower this morning. It is five oh 23 00:01:25,640 --> 00:01:27,759 Speaker 1: one on Wall Street. We checked the markets every fifteen 24 00:01:27,800 --> 00:01:30,320 Speaker 1: minutes throughout the trading day on Bloomberg Right now, S 25 00:01:30,400 --> 00:01:33,640 Speaker 1: and P futures are down fourteen points now futures down 26 00:01:33,640 --> 00:01:36,440 Speaker 1: one D twenty and NAS day futures down forty seven. 27 00:01:36,680 --> 00:01:38,960 Speaker 1: The docks in Germany is up to tenths of upper 28 00:01:39,000 --> 00:01:41,560 Speaker 1: sent A ten year Treasury up five thirty seconds, yell 29 00:01:41,600 --> 00:01:44,280 Speaker 1: two point nine and the yelled on the two year 30 00:01:44,400 --> 00:01:47,400 Speaker 1: two point nine one percent, and I make screwed oil 31 00:01:47,520 --> 00:01:49,640 Speaker 1: is at one point three percent at a hundred seven 32 00:01:49,720 --> 00:01:53,120 Speaker 1: dollars fourteen cents a barrel Nathan Karen. As we head 33 00:01:53,160 --> 00:01:56,440 Speaker 1: into this second half, another bout of risk aversion is 34 00:01:56,520 --> 00:02:01,240 Speaker 1: rippling across market, sending futures lower long along with treasury yields. 35 00:02:01,280 --> 00:02:05,520 Speaker 1: The SMP five hundred had its worst first half since seventy. 36 00:02:05,640 --> 00:02:09,200 Speaker 1: Is inflation and fears of recession take hold, but Brent Shooty, 37 00:02:09,320 --> 00:02:12,760 Speaker 1: chief investment officer at Northwestern Mutual, has a positive outlook 38 00:02:12,800 --> 00:02:17,679 Speaker 1: for the second half. I think you're already starting to 39 00:02:17,680 --> 00:02:20,520 Speaker 1: see signs of inflation pulling back. The market is already 40 00:02:20,600 --> 00:02:22,440 Speaker 1: showing you that they believe it's going to pull back. 41 00:02:22,520 --> 00:02:24,560 Speaker 1: I think that backdrop will lead to a stronger second 42 00:02:24,600 --> 00:02:26,760 Speaker 1: half for stocks because we won't have to worry about 43 00:02:26,760 --> 00:02:29,960 Speaker 1: the said continuing to hike US so far into a recession. 44 00:02:30,160 --> 00:02:32,160 Speaker 1: Um we certainly could have a recession, but it would 45 00:02:32,200 --> 00:02:34,040 Speaker 1: be very, very mild, and I think the market already 46 00:02:34,040 --> 00:02:36,799 Speaker 1: discounted that. Brend Shooty with Northwestern Mutual thinks the biggest 47 00:02:36,880 --> 00:02:39,320 Speaker 1: risk to markets right now is rising energy prices and 48 00:02:39,320 --> 00:02:42,480 Speaker 1: the war in Ukraine. Well, US features are lower, Nathan, 49 00:02:42,520 --> 00:02:45,080 Speaker 1: It's more of a mixed picture across the pond in Europe. 50 00:02:45,080 --> 00:02:47,520 Speaker 1: And Bloomberg's You and Ponts joins us line from London 51 00:02:47,560 --> 00:02:50,600 Speaker 1: with the latest good Morning You in Good Morning Counter ninthan. 52 00:02:50,680 --> 00:02:54,080 Speaker 1: Plenty of sunshine in London this morning as July gets 53 00:02:54,120 --> 00:02:56,320 Speaker 1: on the way, but a damp starts to the month. 54 00:02:56,480 --> 00:02:59,600 Speaker 1: Equities with your Stock sounded up one tenth of one 55 00:02:59,600 --> 00:03:03,760 Speaker 1: percent on lower than average volumes. Damn, certainly an improvement 56 00:03:03,800 --> 00:03:06,200 Speaker 1: on the powerful storm that was the first six months 57 00:03:06,240 --> 00:03:08,280 Speaker 1: of the year. It was the worst first half of 58 00:03:08,280 --> 00:03:11,400 Speaker 1: the stockie hundred since two thousand and eight, the European 59 00:03:11,400 --> 00:03:15,600 Speaker 1: benchmark shedding seventeen percent of its value between January and June. 60 00:03:15,919 --> 00:03:18,119 Speaker 1: Live in London, I'm you and pots in big day break, 61 00:03:18,400 --> 00:03:21,160 Speaker 1: kind of grace guys in Asia as well. You and 62 00:03:21,240 --> 00:03:24,079 Speaker 1: with the looming economic slowdown driving another bad of risk 63 00:03:24,120 --> 00:03:27,080 Speaker 1: a version there as well. Bloomberg's Juliette Sally joins us 64 00:03:27,080 --> 00:03:30,000 Speaker 1: with more from Singapore. Good morning, Juliet, Good morning Nathan 65 00:03:30,000 --> 00:03:32,839 Speaker 1: and Karen. The MSCI Asia Pacific Index started the new 66 00:03:32,840 --> 00:03:35,960 Speaker 1: trading month quarter and half, where it finished off in 67 00:03:36,000 --> 00:03:38,400 Speaker 1: the red. The gauge fell for a third session, led 68 00:03:38,480 --> 00:03:41,680 Speaker 1: lower by Japan, and tech stocks hit hardest on growth concerns. 69 00:03:41,760 --> 00:03:44,840 Speaker 1: Taiwan's tai x on track to enter a bear market, 70 00:03:44,880 --> 00:03:48,600 Speaker 1: down twenty from its January peak. Stocks in Maitland, China 71 00:03:48,680 --> 00:03:51,680 Speaker 1: meandered between gains and losses, and Hong Kong was closed 72 00:03:51,680 --> 00:03:55,040 Speaker 1: for a holiday. The yen climbed, while commodity linked currencies 73 00:03:55,040 --> 00:03:57,760 Speaker 1: were on the back foot, and India's rupee dropped to 74 00:03:57,920 --> 00:04:02,840 Speaker 1: a record loan in Singapore. Juliette Sally Bloomba daybreak Right, Juliet, 75 00:04:02,880 --> 00:04:05,760 Speaker 1: thank you all. Oil chocked up his first monthly decline 76 00:04:05,760 --> 00:04:08,480 Speaker 1: since November. A lower consumer spending in the US and 77 00:04:08,520 --> 00:04:11,880 Speaker 1: fears of our accession. We're pushing prices down. Prices are 78 00:04:11,960 --> 00:04:14,480 Speaker 1: higher this morning. Nim Ex Screwed Oil up one point 79 00:04:14,480 --> 00:04:16,800 Speaker 1: four percent, up a dollar forty seven and a hundred 80 00:04:16,800 --> 00:04:19,640 Speaker 1: seven dollars cents, and Barrel brand is up one and 81 00:04:19,640 --> 00:04:22,600 Speaker 1: a half percent at a hundred ten dollars sixty eight cents. Well, 82 00:04:22,640 --> 00:04:25,159 Speaker 1: it's like at crypto now, Karen. Fresh off its biggest 83 00:04:25,160 --> 00:04:29,440 Speaker 1: ever monthly declimb, Bitcoin's whip song traders today, Bloomberg's Granita 84 00:04:29,520 --> 00:04:31,960 Speaker 1: Young joins US Live with Mark. Good morning, Granita, Good 85 00:04:31,960 --> 00:04:35,200 Speaker 1: morning Nathan. Bitcoin rallied as much as eleven percent in 86 00:04:35,240 --> 00:04:38,440 Speaker 1: Asia earlier today, It quickly gave up most of those 87 00:04:38,480 --> 00:04:42,720 Speaker 1: gains as global equities took a dive. Bitcoin's wild swings 88 00:04:42,800 --> 00:04:47,040 Speaker 1: underscore the uncertainty looming over cryptos as investors struggled to 89 00:04:47,080 --> 00:04:50,719 Speaker 1: assess how far central banks will go detain inflation. And 90 00:04:50,800 --> 00:04:54,320 Speaker 1: adding to that confusion, major crypto players have been thrown 91 00:04:54,360 --> 00:04:57,680 Speaker 1: into disarray by the market sell off. That's raising the 92 00:04:57,720 --> 00:05:02,000 Speaker 1: prospect of further contagion. Right now, bitcoin is trading around 93 00:05:02,160 --> 00:05:04,960 Speaker 1: twenty thousand. Live in New York. I'm really need a 94 00:05:05,040 --> 00:05:07,120 Speaker 1: young Bloomberg daybreak. All right, we need to thank you. 95 00:05:07,160 --> 00:05:09,360 Speaker 1: We turned to Washington now, where the top Republican on 96 00:05:09,400 --> 00:05:12,440 Speaker 1: the Banking Committee says the economy faces a significant risk 97 00:05:12,480 --> 00:05:15,480 Speaker 1: over session. Pat Toomey points of the Federal Reserve, saying 98 00:05:15,480 --> 00:05:17,919 Speaker 1: the central Bank has taken a position where they're not 99 00:05:18,000 --> 00:05:21,839 Speaker 1: accountable to anyone. We have the situation where the FED 100 00:05:22,560 --> 00:05:25,560 Speaker 1: is basically stonewall in Congress. The regional banks and to 101 00:05:25,680 --> 00:05:28,640 Speaker 1: some some extent, the main FED are taking the position 102 00:05:28,680 --> 00:05:30,600 Speaker 1: that what we do is none of your business. We're 103 00:05:30,600 --> 00:05:33,640 Speaker 1: an independent agency. You can't really look very close down 104 00:05:33,680 --> 00:05:36,960 Speaker 1: what we do. That's outrageous, right, The FED exists as 105 00:05:37,000 --> 00:05:40,080 Speaker 1: a creature of Congress. Senator Pat Toomey said the FED 106 00:05:40,279 --> 00:05:43,880 Speaker 1: must be more transparent and his subject to greater Congressional overside. 107 00:05:43,880 --> 00:05:46,520 Speaker 1: He spoke with David Weston on Bloomberg's Balance of Power. 108 00:05:46,760 --> 00:05:50,000 Speaker 1: Catch the program weekdays at noon on Bloomberg Radio and Television. 109 00:05:50,040 --> 00:05:52,719 Speaker 1: We'll staying in Washington Karen fallout from this week's January 110 00:05:52,760 --> 00:05:55,719 Speaker 1: six committee hearing remains front and center. Coacher Liz Cheney 111 00:05:55,760 --> 00:05:58,640 Speaker 1: says the Secret Service agents involved in the reported incident 112 00:05:58,680 --> 00:06:02,360 Speaker 1: with former President Donald Trum will now testify. Bloomberg said 113 00:06:02,360 --> 00:06:06,120 Speaker 1: Baxter has the story. Cheney says she wants them under oath. 114 00:06:06,200 --> 00:06:09,479 Speaker 1: The committee has spoken to both uh, Mr Ornado and 115 00:06:09,600 --> 00:06:14,560 Speaker 1: Mr Angel. We welcome additional testimony, and says the committee 116 00:06:14,560 --> 00:06:17,919 Speaker 1: will also detail witness intimidation by the White House. The 117 00:06:17,960 --> 00:06:19,640 Speaker 1: way that I would put it is that it gives 118 00:06:19,720 --> 00:06:22,440 Speaker 1: us a real insight into how people around the former 119 00:06:22,520 --> 00:06:26,720 Speaker 1: president are operating and that they can influence the testimony 120 00:06:26,720 --> 00:06:29,400 Speaker 1: of witnesses before the committee. She says, it will draw 121 00:06:29,480 --> 00:06:33,920 Speaker 1: a clear picture. In San Francisco, I'm at Baxter Bloomberg daybreak, right, 122 00:06:33,920 --> 00:06:36,600 Speaker 1: and thank you. Turning to Hong Kong now, where Chinese 123 00:06:36,600 --> 00:06:40,000 Speaker 1: President Ji Jimping is presiding over celebrations marking twenty five 124 00:06:40,040 --> 00:06:43,200 Speaker 1: years since the UK returned Hong Kong to China. Former 125 00:06:43,320 --> 00:06:45,360 Speaker 1: police official John Lee has been sworn in as a 126 00:06:45,440 --> 00:06:49,119 Speaker 1: city's chief executive. Ceremony comes as Hong Kong sees China 127 00:06:49,200 --> 00:06:51,880 Speaker 1: tighten its grip on the city in Ukraine, care and 128 00:06:51,920 --> 00:06:54,880 Speaker 1: Russian missile strikes hit an apartment building and a recreation 129 00:06:55,000 --> 00:06:58,479 Speaker 1: center near Odessa earlier today. Seventeen people were killed. It 130 00:06:58,520 --> 00:07:01,400 Speaker 1: comes after Moscow withdrew four verses from the strategic point 131 00:07:01,400 --> 00:07:05,800 Speaker 1: of Snake Island. Ukrainian President Vladimir Zolinski's welcoming Russia's departure 132 00:07:06,000 --> 00:07:08,280 Speaker 1: Moscow says it was a move to east grain shipments. 133 00:07:08,400 --> 00:07:12,360 Speaker 1: Kiv says Russia was forced out by shelling. Futures moving 134 00:07:12,400 --> 00:07:15,200 Speaker 1: lower this morning, and straight ahead, we have your latest 135 00:07:15,240 --> 00:07:19,560 Speaker 1: local headlines and a check of sports. This is Bloomberg 136 00:07:23,120 --> 00:07:25,200 Speaker 1: and it's now five oh seven on Wall Street where 137 00:07:25,200 --> 00:07:27,600 Speaker 1: it's seventy three degrees in Central Park. You've got a 138 00:07:27,640 --> 00:07:31,320 Speaker 1: closure on the northbound sawmill in the Bronx. Details coming 139 00:07:31,400 --> 00:07:33,960 Speaker 1: up in traffic. First Michael Barb with more on what's 140 00:07:33,960 --> 00:07:36,120 Speaker 1: going on in New York and around the world. Good morning, Michael, 141 00:07:36,120 --> 00:07:38,920 Speaker 1: Good morning Nathan. New York Governor Kathy Oakel said she 142 00:07:39,080 --> 00:07:43,120 Speaker 1: will convene a special session of the legislature today to 143 00:07:43,200 --> 00:07:48,120 Speaker 1: begin considering legislation and shrining abortion access in the state's constitution. 144 00:07:48,440 --> 00:07:51,040 Speaker 1: HOCl says the state will take action to protect its 145 00:07:51,040 --> 00:07:54,360 Speaker 1: people in response to Supreme Court rulings on abortion rights 146 00:07:54,360 --> 00:07:58,000 Speaker 1: and gun safety. It comes as New York lawmakers began 147 00:07:58,040 --> 00:08:01,520 Speaker 1: a special legislative session yesterday with the intent of limiting 148 00:08:01,560 --> 00:08:05,679 Speaker 1: the proliferation of firearms in public after the High Court 149 00:08:05,720 --> 00:08:09,000 Speaker 1: got at the state century old handgun licensing law. New 150 00:08:09,080 --> 00:08:12,000 Speaker 1: rules being rushed through an emergency session of the legislature 151 00:08:12,000 --> 00:08:15,240 Speaker 1: would seek to set new restrictions on where firearms can 152 00:08:15,280 --> 00:08:18,440 Speaker 1: be carried. Police in New Jersey say nine people, including 153 00:08:18,440 --> 00:08:22,000 Speaker 1: a teenager, were wounded last evening in gunfire outside a 154 00:08:22,000 --> 00:08:25,960 Speaker 1: neighborhood grocery shop in Newark. Acting Newark Public Safety Director 155 00:08:26,040 --> 00:08:29,680 Speaker 1: Paul Malav says police are searching for a vehicle believed 156 00:08:29,720 --> 00:08:32,200 Speaker 1: to have been involved in the shooting. We do have 157 00:08:32,320 --> 00:08:35,640 Speaker 1: a vehicle that is of interest at this point. It's 158 00:08:35,640 --> 00:08:38,480 Speaker 1: a white hand of pilot UH stolen out of Geergy 159 00:08:38,520 --> 00:08:41,880 Speaker 1: City and we're following that. Lead public Safety Director Malav 160 00:08:42,000 --> 00:08:45,240 Speaker 1: says all of the victims are expected to survive. New 161 00:08:45,320 --> 00:08:47,920 Speaker 1: York Mayor Eric Adams says the city has launched what 162 00:08:48,000 --> 00:08:51,960 Speaker 1: he calls the country's first ever forensic DNA gun crime unit. 163 00:08:52,440 --> 00:08:55,760 Speaker 1: Adams says the new units with the city medical Examiner's 164 00:08:55,760 --> 00:08:58,280 Speaker 1: office in Manhattan will be made up of twenty four 165 00:08:58,400 --> 00:09:02,959 Speaker 1: full time criminologists who will process evidence. State of the art. 166 00:09:03,679 --> 00:09:08,240 Speaker 1: The unit will accelerate evidence testing from sixty days to 167 00:09:08,400 --> 00:09:11,240 Speaker 1: thirty days. It's going to cut it in half so 168 00:09:11,280 --> 00:09:15,559 Speaker 1: that we can prosecute case faster and get dangerous people 169 00:09:15,640 --> 00:09:19,680 Speaker 1: off our streets. Medical experts say they think COVID could 170 00:09:19,800 --> 00:09:22,560 Speaker 1: come roaring back in the fall. Mayor Adams also says 171 00:09:22,600 --> 00:09:26,720 Speaker 1: New York City announced a new Test to Treat mobile unit. 172 00:09:27,360 --> 00:09:30,520 Speaker 1: It's in a joint federal and city program to improve 173 00:09:30,559 --> 00:09:35,120 Speaker 1: access to the COVID anti viral drug PACKSLOVIT. This new 174 00:09:35,160 --> 00:09:38,640 Speaker 1: public health service will help all New york Is get 175 00:09:38,679 --> 00:09:43,520 Speaker 1: access to life saving treatments. Mayor Adams says the city 176 00:09:43,520 --> 00:09:45,719 Speaker 1: helps to open nearly three dozen mobile units by the 177 00:09:45,800 --> 00:09:48,480 Speaker 1: end of this month. W NBA star Britney Grinder is 178 00:09:48,480 --> 00:09:50,959 Speaker 1: set to go on trial today in a Moscow area court. 179 00:09:51,240 --> 00:09:54,800 Speaker 1: Grinder was arrested on Cannada's possession charges at a Russian airport. 180 00:09:55,120 --> 00:09:57,560 Speaker 1: Global News twenty four hours a day on air and 181 00:09:57,679 --> 00:10:01,480 Speaker 1: on Bloomberg Quicktake, powered by more than twenty seven hundred 182 00:10:01,520 --> 00:10:04,280 Speaker 1: journalists analysts, more than a hundred twenty countries. Michael bar 183 00:10:04,400 --> 00:10:11,560 Speaker 1: this is Bloomberg, Nathan. Thank you, Michael Damn. We're coming 184 00:10:11,600 --> 00:10:13,240 Speaker 1: up to five ten on Wall Street. Time for the 185 00:10:13,240 --> 00:10:17,760 Speaker 1: Bloomberg Sports Update. Here's Scott Seidenberg. Thanks Nathan. The bombshell 186 00:10:17,800 --> 00:10:21,440 Speaker 1: that rocked the NBA world yesterday, Kevin Durant has requested 187 00:10:21,480 --> 00:10:25,200 Speaker 1: a trade away from the Nets. The surprise announcement comes 188 00:10:25,240 --> 00:10:27,840 Speaker 1: just a day after Kyrie Irving announced he was opting 189 00:10:27,880 --> 00:10:30,559 Speaker 1: in it to the final year of his deal. Durant 190 00:10:30,600 --> 00:10:34,160 Speaker 1: has four years remaining on his contract. Meanwhile, the Nicks 191 00:10:34,160 --> 00:10:36,240 Speaker 1: have come to an agreement with free agent point guard 192 00:10:36,320 --> 00:10:38,800 Speaker 1: Jalen Brunson on a four year, one hundred and four 193 00:10:38,880 --> 00:10:42,520 Speaker 1: million dollar deal. Elsewhere, reigning two time m VP Nicola 194 00:10:42,559 --> 00:10:45,080 Speaker 1: Yokis has agreed to a MAX extension with the Nuggets. 195 00:10:45,080 --> 00:10:49,760 Speaker 1: It's the largest deal in NBA history. Also getting max 196 00:10:49,800 --> 00:10:53,120 Speaker 1: extensions Devin Booker with the Son's, John Morant with the Grizzlies, 197 00:10:53,120 --> 00:10:56,840 Speaker 1: and Karl Anthony Towns with the timber Wolves. Baseball, yesterday, 198 00:10:56,840 --> 00:10:59,040 Speaker 1: the Yankees fell to the Astros to one. They'll begin 199 00:10:59,080 --> 00:11:01,719 Speaker 1: a set in Cleveland tonight. The Mets will host the 200 00:11:01,840 --> 00:11:07,760 Speaker 1: Rangers Tennis at Wimbledon, Rafael Nadal, Tech Advance Americans, Coco 201 00:11:07,840 --> 00:11:11,720 Speaker 1: Golf and Jessica Pagoula move on sixth seed Carolina Plaskova 202 00:11:11,880 --> 00:11:16,920 Speaker 1: was upset. I'm Scott Edinburg with Bloomberg Sports, Nathan Scott, 203 00:11:17,520 --> 00:11:20,240 Speaker 1: thanks a lot, getting ready to start off the second 204 00:11:20,240 --> 00:11:24,079 Speaker 1: half of two and futures at least for the moment 205 00:11:24,120 --> 00:11:27,400 Speaker 1: are pointing to even more losses after the worst first 206 00:11:27,440 --> 00:11:31,920 Speaker 1: half for stocks. Yes, we'll say it again since nineteen seventy. 207 00:11:32,040 --> 00:11:35,160 Speaker 1: Right now, SMP futures are down eight points down, futures 208 00:11:35,200 --> 00:11:38,400 Speaker 1: down seventy two. NASTAC futures are lower by twenty four points. 209 00:11:38,400 --> 00:11:41,080 Speaker 1: Different story overseas. The decks in Germany is higher by 210 00:11:41,240 --> 00:11:43,800 Speaker 1: four tenths percent. The CAEC in Paris is up a 211 00:11:43,800 --> 00:11:46,760 Speaker 1: half percent. The tenure treasury back here in the US 212 00:11:47,120 --> 00:11:49,959 Speaker 1: is up for thirty seconds, the yield now at two 213 00:11:50,040 --> 00:11:53,200 Speaker 1: point nine nine percent. We'll look ahead to the second 214 00:11:53,280 --> 00:11:57,320 Speaker 1: half and the risks of inflation and the potential slowdown 215 00:11:57,360 --> 00:12:00,240 Speaker 1: if not a recession. Kit Juke's chief ex Strata just 216 00:12:00,400 --> 00:12:07,600 Speaker 1: at suck Gen joins us. Next. This is Bloomberg Bloomberg 217 00:12:07,640 --> 00:12:10,320 Speaker 1: eleven three oh weather Late day shower thunderstorm possible today 218 00:12:10,400 --> 00:12:12,680 Speaker 1: low nineties, will be in the upper eighties tomorrow, low 219 00:12:12,760 --> 00:12:16,800 Speaker 1: eighties Sunday sunshine, and eighty five for the fourth of July. 220 00:12:17,320 --> 00:12:23,400 Speaker 1: Right now seventy three in Central Park markets, headlines and 221 00:12:23,480 --> 00:12:26,720 Speaker 1: breaking news twenty four hours a day at Bloomberg dot Com, 222 00:12:26,840 --> 00:12:30,400 Speaker 1: the Bloomberg Business at and at Bloomberg Quick Tape. He's 223 00:12:30,400 --> 00:12:39,640 Speaker 1: a Bloomberg Business Flash, then I'm Cameron Moscow. Another bound 224 00:12:39,679 --> 00:12:42,760 Speaker 1: of risk a version rippling across global markets, sending US 225 00:12:42,840 --> 00:12:46,240 Speaker 1: DOT Index futures lower and lifting bonds and an ominous 226 00:12:46,240 --> 00:12:49,480 Speaker 1: start to the second half. The dollar and yen traditional 227 00:12:49,559 --> 00:12:52,160 Speaker 1: havens are climbing. If you checked the markets every fifteen 228 00:12:52,200 --> 00:12:55,439 Speaker 1: minutes throughout the trading day, on Bloomberg, SNP future is 229 00:12:55,480 --> 00:12:58,240 Speaker 1: down about seven points down, futures down fifty six, nast 230 00:12:58,280 --> 00:13:01,120 Speaker 1: day futures down twenty the acts in Germany's up three 231 00:13:01,160 --> 00:13:03,640 Speaker 1: tents of upper cent. Ten year treasury up seven thirty 232 00:13:03,679 --> 00:13:06,160 Speaker 1: seconds yield two point nine eight percent, yield on a 233 00:13:06,240 --> 00:13:09,680 Speaker 1: two year two point nine one percent. NIMEX scrude oil 234 00:13:09,800 --> 00:13:11,720 Speaker 1: up one point eight percent of a dollar eighty eight 235 00:13:11,720 --> 00:13:14,000 Speaker 1: at a hundred seven dollar, sixty four cents of barrel 236 00:13:14,280 --> 00:13:16,640 Speaker 1: commacs gold is down six tenths per cent or eleven 237 00:13:16,679 --> 00:13:20,280 Speaker 1: dollar seventy cents is seventeen nine sixty announced, the Euro 238 00:13:20,400 --> 00:13:22,360 Speaker 1: one point oh four or five seven against the dollar, 239 00:13:22,400 --> 00:13:24,920 Speaker 1: British pound one point two zero nine six, the n 240 00:13:24,960 --> 00:13:28,400 Speaker 1: one thirty five point four five, and Bitcoin this morning 241 00:13:28,480 --> 00:13:31,760 Speaker 1: is higher of four percent at nineteen thousand, five hundred. 242 00:13:32,080 --> 00:13:34,760 Speaker 1: That's a Bloomberg business flash. Now here's Michael Barr with 243 00:13:34,840 --> 00:13:37,400 Speaker 1: Moore on what's going on around the world. Michael, thank 244 00:13:37,400 --> 00:13:40,040 Speaker 1: you very much. Jaren Ukrainian authorities say there was a 245 00:13:40,120 --> 00:13:44,319 Speaker 1: Russian missile attacked to day on residential buildings in a 246 00:13:44,400 --> 00:13:47,600 Speaker 1: coastal town near the port city of Odessa. At least 247 00:13:47,720 --> 00:13:51,439 Speaker 1: seventeen people were killed, including two children. The top Republican 248 00:13:51,480 --> 00:13:54,760 Speaker 1: on the House January six Committee, Congresswoman Liz Cheney, says 249 00:13:54,800 --> 00:13:57,960 Speaker 1: the penel may ask the Justice Department to investigate anyone 250 00:13:57,960 --> 00:14:02,400 Speaker 1: accused of pressuring witnesses. Florida's parental rights and education law 251 00:14:02,440 --> 00:14:05,520 Speaker 1: that critics have dubbed that don't say gay measure begins today. 252 00:14:05,920 --> 00:14:09,760 Speaker 1: It bands teaching on gender identity or sexual orientation in 253 00:14:09,840 --> 00:14:12,599 Speaker 1: grades K through three in the state. In baseball, the 254 00:14:12,640 --> 00:14:15,720 Speaker 1: Yankees lost, along with the A's Global News twenty four 255 00:14:15,720 --> 00:14:19,040 Speaker 1: hours a day on air and on Bloomberg Quicktake, powered 256 00:14:19,080 --> 00:14:21,720 Speaker 1: by more than twenty seven under journalists and analysts more 257 00:14:21,720 --> 00:14:24,760 Speaker 1: than a hundred twenty countries. Michael bar and this is Bloomberg. 258 00:14:24,880 --> 00:14:27,160 Speaker 1: Nathan all right, Michael, thank you. It's five nineteen on 259 00:14:27,200 --> 00:14:30,520 Speaker 1: Wall Street Live from the Bloomberg Interactive Brokers studios. This 260 00:14:30,640 --> 00:14:33,120 Speaker 1: is Bloomberg Daybreak, And as we get ready to kick 261 00:14:33,160 --> 00:14:36,160 Speaker 1: off the second half of two, are very pleased to 262 00:14:36,160 --> 00:14:40,360 Speaker 1: be joined this morning by Kit Jukes, Chief FX Strategists 263 00:14:40,440 --> 00:14:44,000 Speaker 1: Associated General. Although when you look at the screen this morning, Kit, 264 00:14:44,120 --> 00:14:46,320 Speaker 1: it looks like at least US investors are having a 265 00:14:46,360 --> 00:14:48,720 Speaker 1: little bit of trouble closing the books on the first half, 266 00:14:48,760 --> 00:14:51,560 Speaker 1: were pointing two more losses in the futures contracts. How 267 00:14:51,680 --> 00:14:56,119 Speaker 1: much more pricing in of recession risk and inflation concerns 268 00:14:56,320 --> 00:15:00,040 Speaker 1: does this market have to go? Uh? We could, We 269 00:15:00,120 --> 00:15:03,440 Speaker 1: could go a fair distance further. Unfortunately, before we're done. 270 00:15:04,440 --> 00:15:06,120 Speaker 1: One of the things you see at the moment is 271 00:15:06,120 --> 00:15:08,960 Speaker 1: that sentiment has taken a real dive. But I'm not 272 00:15:09,000 --> 00:15:12,400 Speaker 1: sure that the positioning data reflects the same thing. So 273 00:15:13,000 --> 00:15:14,600 Speaker 1: I'm not sure people have got out of all of 274 00:15:14,640 --> 00:15:18,640 Speaker 1: those longer positions that they had in stocks, particularly m 275 00:15:18,760 --> 00:15:21,440 Speaker 1: But you know, equally, I think we've got relatively a 276 00:15:21,480 --> 00:15:24,920 Speaker 1: liquid markets coming through. And you know now that certainly 277 00:15:25,080 --> 00:15:27,560 Speaker 1: your government is all your central bank is selling back 278 00:15:27,640 --> 00:15:30,360 Speaker 1: bonds to the market. We have a lot to absorb 279 00:15:30,480 --> 00:15:31,960 Speaker 1: here to get the place, to get everything for the 280 00:15:32,040 --> 00:15:36,120 Speaker 1: right place. So I'm i'm I'm nervous that July August, 281 00:15:36,240 --> 00:15:39,520 Speaker 1: never the best most liquid months of the era, are 282 00:15:39,520 --> 00:15:42,040 Speaker 1: going to be pretty bumpy all the way through. Not 283 00:15:42,200 --> 00:15:45,440 Speaker 1: that people are surprised by the fact that consumer confidence 284 00:15:45,480 --> 00:15:48,280 Speaker 1: is weak, for example, and that we're all struggling with 285 00:15:48,320 --> 00:15:51,360 Speaker 1: the rising inflation, but just that we just have to 286 00:15:51,400 --> 00:15:54,240 Speaker 1: absorb the selling pressure that that's coming to us. And 287 00:15:54,320 --> 00:15:57,200 Speaker 1: we just got a new inflation data out this morning 288 00:15:57,240 --> 00:16:00,160 Speaker 1: from the Eurozone to some of the highest inflation that 289 00:16:00,640 --> 00:16:04,000 Speaker 1: the nineteen countries that share the euro has seen in 290 00:16:04,040 --> 00:16:07,920 Speaker 1: their history eight point six percent. What's the difficulty for 291 00:16:08,040 --> 00:16:10,920 Speaker 1: Europe compared to the US when it comes to getting 292 00:16:11,080 --> 00:16:16,960 Speaker 1: the reins in on these price pressures. Look, I think 293 00:16:17,480 --> 00:16:19,360 Speaker 1: the problem is going to be faced by everybody in 294 00:16:20,240 --> 00:16:23,080 Speaker 1: more or less the same way that policymakers who have 295 00:16:23,160 --> 00:16:26,680 Speaker 1: had central banks have had a relatively easy ride for 296 00:16:26,720 --> 00:16:29,360 Speaker 1: twenty years in terms of inflation. They couldn't get enough 297 00:16:29,400 --> 00:16:33,160 Speaker 1: of it. Now they're facing this kind of multitude of 298 00:16:33,280 --> 00:16:37,000 Speaker 1: factors driving keeping inflation high. Some of them they can't 299 00:16:37,040 --> 00:16:39,800 Speaker 1: do much about. They can't control the price of gasoline. 300 00:16:40,280 --> 00:16:42,920 Speaker 1: They can't control the price of jet fuel, which which 301 00:16:42,920 --> 00:16:46,200 Speaker 1: we can all see being pushed up by by oil prices, 302 00:16:46,200 --> 00:16:50,680 Speaker 1: but also by by the difficulties getting the rest of 303 00:16:50,720 --> 00:16:53,840 Speaker 1: the of the products produced an apt and sufficient quantities 304 00:16:54,320 --> 00:16:56,160 Speaker 1: um some bits. You know, we're going to see some 305 00:16:56,200 --> 00:17:00,240 Speaker 1: pressure on wages. That's shortage post pandemic of all to 306 00:17:00,280 --> 00:17:02,400 Speaker 1: serving at the bar of people to put your luggage 307 00:17:02,440 --> 00:17:05,360 Speaker 1: into your airplane for you to go on vacation. That's 308 00:17:05,400 --> 00:17:07,159 Speaker 1: going to be around, that's going to get passed on, 309 00:17:07,200 --> 00:17:09,719 Speaker 1: and well, we'll see more of that that will be solved. 310 00:17:09,760 --> 00:17:13,080 Speaker 1: The second kind of problem with weaker growth, higher rates 311 00:17:13,119 --> 00:17:15,399 Speaker 1: will slow the economy down in Europe and in the 312 00:17:15,480 --> 00:17:18,040 Speaker 1: United States. Where we'll have a dilemma is that we're 313 00:17:18,040 --> 00:17:21,680 Speaker 1: seeing softer growth and higher inflation, and the central banks 314 00:17:21,680 --> 00:17:24,600 Speaker 1: are facing really much harder choices and that they're not 315 00:17:24,600 --> 00:17:27,040 Speaker 1: going to have a good time of it UM and 316 00:17:27,160 --> 00:17:31,040 Speaker 1: I suspect though, in this occasion they're going to be resolute. 317 00:17:31,080 --> 00:17:34,160 Speaker 1: So we'll we'll see rate hikes in July from from 318 00:17:34,160 --> 00:17:38,000 Speaker 1: both the European Central Bank and SHIFT for that matter, 319 00:17:38,040 --> 00:17:40,679 Speaker 1: the Bank of England and and the and the Federal 320 00:17:40,680 --> 00:17:46,000 Speaker 1: Reserves that they'll raizor rates into what is clearly calling economy. Now. Yeah, 321 00:17:46,040 --> 00:17:48,679 Speaker 1: I don't think we're hearing much anymore about the idea 322 00:17:48,800 --> 00:17:52,800 Speaker 1: that these inflation pressures are transitory. But what do you 323 00:17:52,840 --> 00:17:55,000 Speaker 1: think it's going to take? How long do you think 324 00:17:55,000 --> 00:17:57,439 Speaker 1: we're going to be dealing with a lot of these 325 00:17:57,600 --> 00:18:01,440 Speaker 1: price pressures that, as you say, are outside of central 326 00:18:01,440 --> 00:18:04,840 Speaker 1: bankers control, things like the supply chain, bottlenecks, the issues 327 00:18:04,880 --> 00:18:08,800 Speaker 1: with energy, with the war in Ukraine still continuing. I 328 00:18:08,840 --> 00:18:10,960 Speaker 1: think those, you know, I think it's grubbing. Some of 329 00:18:10,960 --> 00:18:13,879 Speaker 1: those get easier as as grows slow, So you hit 330 00:18:13,920 --> 00:18:16,960 Speaker 1: the economy hard enough, we do we do stop driving 331 00:18:17,040 --> 00:18:19,480 Speaker 1: or as so much pretty quickly. You know. I don't 332 00:18:19,480 --> 00:18:21,800 Speaker 1: know whether I sit here in Europe and watch massive 333 00:18:21,880 --> 00:18:25,040 Speaker 1: cues of people trying to get into airports which are 334 00:18:25,080 --> 00:18:27,920 Speaker 1: short of UM staff to check people in and to 335 00:18:27,920 --> 00:18:30,480 Speaker 1: get luggage onto planes and stuff. We we might we 336 00:18:30,560 --> 00:18:32,480 Speaker 1: might use a lot of jet fuel to to go 337 00:18:32,520 --> 00:18:34,679 Speaker 1: on vacation this summer because we promised the kids we 338 00:18:34,680 --> 00:18:37,159 Speaker 1: were going. But we might all stay home all the 339 00:18:37,200 --> 00:18:40,000 Speaker 1: way through to Christmas after that, and so you know, 340 00:18:40,040 --> 00:18:42,480 Speaker 1: you could see demand come off by a lot. But 341 00:18:42,480 --> 00:18:45,199 Speaker 1: but yeah, you know, we we if we take Russia 342 00:18:45,240 --> 00:18:46,680 Speaker 1: out of the if we take Russia out of the 343 00:18:46,760 --> 00:18:50,119 Speaker 1: equation on energy supplies to a significant degree, then then 344 00:18:50,160 --> 00:18:53,879 Speaker 1: the reality will be um that uh, it's going to 345 00:18:53,920 --> 00:18:56,359 Speaker 1: take a lot of economic weakness to reduce demand. In fact, 346 00:18:56,359 --> 00:18:59,880 Speaker 1: it's almost impossible to reduce demand by enough to solve 347 00:19:00,040 --> 00:19:04,840 Speaker 1: at and getting uh and getting more jet fuel and 348 00:19:04,880 --> 00:19:08,600 Speaker 1: so on produced. Frankly, we need more investment in the industry, 349 00:19:08,640 --> 00:19:10,600 Speaker 1: and we haven't seen much of that, so those will 350 00:19:10,600 --> 00:19:13,800 Speaker 1: take time. What we'll probably see is that at least 351 00:19:13,880 --> 00:19:16,840 Speaker 1: prices stabilize, come off a little bit, so the year 352 00:19:16,880 --> 00:19:21,480 Speaker 1: over year moves and inflation start improving somewhat, but they're 353 00:19:21,520 --> 00:19:24,479 Speaker 1: almost bound to settle down as a higher than they 354 00:19:24,600 --> 00:19:28,080 Speaker 1: used to be pretty high plateau um sometime in the 355 00:19:28,119 --> 00:19:30,600 Speaker 1: in the early part of next year. They'll steady out 356 00:19:30,640 --> 00:19:32,720 Speaker 1: at the level that's still not what we like. In 357 00:19:32,720 --> 00:19:35,440 Speaker 1: the central banks, I fear will feel that this is 358 00:19:35,480 --> 00:19:38,639 Speaker 1: a battle they have to win and the hammer inflation lower, 359 00:19:38,840 --> 00:19:41,680 Speaker 1: you know, for a fairly long time. Very tough job 360 00:19:41,760 --> 00:19:44,120 Speaker 1: a head for central bankers. Thanks for this kid, great 361 00:19:44,160 --> 00:19:47,920 Speaker 1: getting your thoughts. Kit Jukes, chief ex strategists at SoC 362 00:19:48,480 --> 00:19:54,439 Speaker 1: General SMP futures down six points, more losses potentially in 363 00:19:54,520 --> 00:19:57,320 Speaker 1: store frequity investors in the US now futures down fifty 364 00:19:57,359 --> 00:20:01,920 Speaker 1: seven points. In NASTAC futures on the decline by sixteen points. 365 00:20:01,920 --> 00:20:09,160 Speaker 1: This is Bloomberg Bloomberg eleven three O weather Hot one 366 00:20:09,200 --> 00:20:11,200 Speaker 1: could see a light day shower storm today with highs 367 00:20:11,200 --> 00:20:13,800 Speaker 1: in the low nineties. Some storms possible tomorrow and the 368 00:20:13,840 --> 00:20:17,040 Speaker 1: next day, but we're expecting a sunny and mid eighties 369 00:20:17,160 --> 00:20:26,080 Speaker 1: fourth of July. Right now seventy three degrees broadcasting live 370 00:20:26,240 --> 00:20:30,199 Speaker 1: from the Bloomberg Interactive Broker Studio in New York. Bloomberg 371 00:20:30,200 --> 00:20:33,360 Speaker 1: E Living Freedom to Washington, d C, Bloomberg ninety nine 372 00:20:33,400 --> 00:20:36,920 Speaker 1: one to Boston, Bloomberg one oh six one to San Francisco, 373 00:20:37,000 --> 00:20:40,200 Speaker 1: Bloomberg nine sixty to the Country, Sirius XM to the 374 00:20:40,280 --> 00:20:43,440 Speaker 1: one nineteen and around the Globe, the Bloomberg Business APT 375 00:20:43,560 --> 00:20:53,080 Speaker 1: and Bloomberg Radio dot Com. This is Bloomberg Daybreak. It's 376 00:20:53,080 --> 00:20:55,439 Speaker 1: five thirty on Wall Street. Good morning. I'm Nathan Hager 377 00:20:55,680 --> 00:20:58,680 Speaker 1: and I'm Karen Moscow here just about four hours away 378 00:20:58,720 --> 00:21:00,639 Speaker 1: from the open of US trade. Let's get you have 379 00:21:00,680 --> 00:21:02,080 Speaker 1: to date in the news you need to know at 380 00:21:02,080 --> 00:21:05,280 Speaker 1: this hour and not another bout of risk. Aversion is 381 00:21:05,359 --> 00:21:08,560 Speaker 1: rippling across markets this morning, sending US futures and treasury 382 00:21:08,640 --> 00:21:12,000 Speaker 1: yields and lower the SNP five heads worst first half 383 00:21:12,040 --> 00:21:15,240 Speaker 1: since nineteen seventy as inflation and fears of a recession 384 00:21:15,320 --> 00:21:19,440 Speaker 1: take hold. But Brent Shooty, chief investment officer at Northwestern Mutual, 385 00:21:19,760 --> 00:21:22,480 Speaker 1: has a positive outlook for the second half. I think 386 00:21:22,480 --> 00:21:25,919 Speaker 1: the big risk still is um certainly what's happening in 387 00:21:25,960 --> 00:21:29,080 Speaker 1: Russian Ukraine and energy prices and how long those stay 388 00:21:29,359 --> 00:21:31,680 Speaker 1: where they're at, and are we, you know, typically are 389 00:21:31,680 --> 00:21:33,320 Speaker 1: we going to be in more of an energy shock 390 00:21:33,400 --> 00:21:35,439 Speaker 1: for some period of time. That certainly has how to 391 00:21:35,480 --> 00:21:38,000 Speaker 1: staying power on inflation so far, but I think you're 392 00:21:38,000 --> 00:21:40,919 Speaker 1: starting to see everything else kind of depreciate around it, 393 00:21:40,920 --> 00:21:42,520 Speaker 1: which I think is a good news for inflation. But 394 00:21:42,560 --> 00:21:44,720 Speaker 1: certainly that is still one of the bigger risk that's 395 00:21:44,720 --> 00:21:48,320 Speaker 1: out there. Brent shooting with Northwestern Mutual believes the biggest 396 00:21:48,359 --> 00:21:51,040 Speaker 1: risk to markets right now is rising energy prices and 397 00:21:51,080 --> 00:21:53,920 Speaker 1: the war in Ukraine. Well oils coming off its first 398 00:21:53,960 --> 00:21:57,479 Speaker 1: monthly declined since November this morning, Karen, Lower consumer spending 399 00:21:57,480 --> 00:22:00,119 Speaker 1: in the US and fears of recession did push crude down, 400 00:22:00,160 --> 00:22:03,280 Speaker 1: but checking prices now, nimex cruds higher by one point 401 00:22:03,320 --> 00:22:06,240 Speaker 1: six percent of a dollar sixty seven one oh seven 402 00:22:06,280 --> 00:22:08,600 Speaker 1: forty three for a barrel of West Texas Intermediate, and 403 00:22:08,640 --> 00:22:11,320 Speaker 1: Brent right now is a ten dollars eighty seven cents 404 00:22:11,640 --> 00:22:14,760 Speaker 1: Well Nathan, Fresh off its biggest ever monthly decline, Bitcoin 405 00:22:14,920 --> 00:22:18,040 Speaker 1: is whip sawing traders with wild swings today and Bloomberg's 406 00:22:18,080 --> 00:22:20,439 Speaker 1: RINEDA Young joins US Live with more Good Morning Rania, 407 00:22:20,600 --> 00:22:23,400 Speaker 1: Good morning Care, and bitcoin rallied as much as eleven 408 00:22:23,440 --> 00:22:26,800 Speaker 1: percent in Asia earlier today, it quickly gave up most 409 00:22:26,800 --> 00:22:30,240 Speaker 1: of those games as global equities took a dive. Bitcoin's 410 00:22:30,240 --> 00:22:34,560 Speaker 1: wild swings underscore the uncertainty looming over cryptos as investors 411 00:22:34,560 --> 00:22:37,359 Speaker 1: struggle to assist how far central banks will go to 412 00:22:37,480 --> 00:22:41,320 Speaker 1: tame inflation and adding to that confusion. Major crypto flight 413 00:22:41,400 --> 00:22:45,080 Speaker 1: players have been thrown into disarrayed by the market sell off. 414 00:22:45,119 --> 00:22:48,800 Speaker 1: That's raising the prospect of further contagion. Right now, bitcoin 415 00:22:48,880 --> 00:22:52,400 Speaker 1: is trading around nineteen thousand Live in New York. I'm 416 00:22:52,440 --> 00:22:55,359 Speaker 1: Ranita Young, Bloomberg Daybreak. Okay, Nita, thanks so Starting to 417 00:22:55,400 --> 00:22:57,919 Speaker 1: Washington now, where there's more fallout from this week's January 418 00:22:57,920 --> 00:23:00,720 Speaker 1: six committee hearing. Vice chair List Chain says the Secret 419 00:23:00,800 --> 00:23:03,000 Speaker 1: Service agents who are involved in that reported incident with 420 00:23:03,000 --> 00:23:07,600 Speaker 1: former President Donald Trump will now testify before Congress. Well overseas, Nathan, 421 00:23:07,680 --> 00:23:11,040 Speaker 1: Chinese President she Jimpeng has presided up our celebrations marketing 422 00:23:11,080 --> 00:23:13,720 Speaker 1: twenty five years since the UK returned Hong Kong told 423 00:23:13,800 --> 00:23:16,720 Speaker 1: China former police official John Lee has been sworn in 424 00:23:17,200 --> 00:23:20,440 Speaker 1: as the city's chief executive and Ukraine careen. Russian missile 425 00:23:20,440 --> 00:23:23,240 Speaker 1: strikes sent an apartment building and recreation center near Odessa 426 00:23:23,280 --> 00:23:26,960 Speaker 1: earlier today, killing eighteen people. That comes after Moscow withdrew 427 00:23:27,000 --> 00:23:30,480 Speaker 1: forces from the strategic point of Snake Island. Straight ahead, 428 00:23:30,480 --> 00:23:33,280 Speaker 1: your latest local headlines and a check of sports. This 429 00:23:33,560 --> 00:23:41,000 Speaker 1: is Bloomberg three on Wall Street, where it's seventy three 430 00:23:41,040 --> 00:23:43,520 Speaker 1: degrees in Central Park and still dealing with the closure 431 00:23:43,520 --> 00:23:45,720 Speaker 1: of the northbound sawmill in the Bronx. We get they 432 00:23:45,760 --> 00:23:48,840 Speaker 1: did the details in Traffic First. Michael Barr is here 433 00:23:48,840 --> 00:23:50,480 Speaker 1: with more on what's going on in New York and 434 00:23:50,560 --> 00:23:52,760 Speaker 1: around the world. Michael, thank you very much, Nathan. New 435 00:23:52,840 --> 00:23:55,680 Speaker 1: York Governor Kathy Oakle said she will convene a special 436 00:23:55,720 --> 00:23:59,639 Speaker 1: session of the legislature today to begin considering legislation and 437 00:23:59,680 --> 00:24:03,240 Speaker 1: try in abortion access in the state's constitution. According to 438 00:24:03,280 --> 00:24:06,240 Speaker 1: a statement overnight from HOCOL, the state will take action 439 00:24:06,280 --> 00:24:09,520 Speaker 1: to protect its people in response to Supreme Court rulings 440 00:24:09,520 --> 00:24:13,200 Speaker 1: on abortion rights and gun safety. Hoco went on to 441 00:24:13,240 --> 00:24:15,800 Speaker 1: say recent Supreme Court rulings have threatened the rights of 442 00:24:15,800 --> 00:24:18,280 Speaker 1: New Yorkers to make decisions about their own bodies and 443 00:24:18,359 --> 00:24:21,560 Speaker 1: our right to protect New Yorkers from gun violence. It 444 00:24:21,680 --> 00:24:25,240 Speaker 1: comes as New York lawmakers began a special legislative session 445 00:24:25,320 --> 00:24:29,080 Speaker 1: yesterday with the intent of limiting the proliferation of firearms 446 00:24:29,119 --> 00:24:32,280 Speaker 1: in public. New rules would seek to set new restrictions 447 00:24:32,280 --> 00:24:35,960 Speaker 1: on where firearms can be carried. Authorities in Newark, New Jersey, 448 00:24:36,040 --> 00:24:39,040 Speaker 1: say nine people were shot in the suspected drive by shooting. 449 00:24:39,520 --> 00:24:42,680 Speaker 1: Investigators say they're looking for a white Honda Pilot stolen 450 00:24:42,680 --> 00:24:46,159 Speaker 1: out of nearby Jersey City. New Ork's acting Public Safety 451 00:24:46,160 --> 00:24:51,600 Speaker 1: Director Rule Mala. Five of the shooting victims were able 452 00:24:51,640 --> 00:24:55,320 Speaker 1: to h get themselves to area hospital on their own. 453 00:24:55,359 --> 00:24:57,400 Speaker 1: Out of those five, one of them was a juvenile 454 00:24:57,680 --> 00:25:00,359 Speaker 1: seventeen years old. All of those vict hims are in 455 00:25:00,400 --> 00:25:03,880 Speaker 1: stable condition. Public Safety Director Lave says all of those 456 00:25:03,880 --> 00:25:07,040 Speaker 1: shot and are expected to survive. New York Mayor Eric 457 00:25:07,080 --> 00:25:10,440 Speaker 1: Adams calls that the country's first ever forensic DNA gun 458 00:25:10,480 --> 00:25:13,119 Speaker 1: crime unit as the city remains on edge over a 459 00:25:13,200 --> 00:25:16,280 Speaker 1: number of shootings. Adams spoke at a news conference outside 460 00:25:16,400 --> 00:25:20,200 Speaker 1: Medical Examiner's office in Manhattan. The two point five million 461 00:25:20,240 --> 00:25:26,560 Speaker 1: dollar unit will hire train twenty four forensic scientists dedicated 462 00:25:26,600 --> 00:25:31,400 Speaker 1: to testing and analyzing of evidence from gun crimes throughout 463 00:25:31,440 --> 00:25:34,800 Speaker 1: the five borough Mayor Adams says the unit will accelerate 464 00:25:34,840 --> 00:25:38,400 Speaker 1: evidence testing from sixty days to thirty days. New York 465 00:25:38,440 --> 00:25:42,000 Speaker 1: Governor Kathy Hucles signed a bill extending mayoral control over 466 00:25:42,000 --> 00:25:44,600 Speaker 1: the New York City school system. It's a mensa key 467 00:25:44,600 --> 00:25:47,040 Speaker 1: power for Mayor Adams. Just minutes before he was sent 468 00:25:47,119 --> 00:25:50,119 Speaker 1: to expire, Global News twenty four hours a day on 469 00:25:50,320 --> 00:25:54,560 Speaker 1: air and on Bloomberg Quicktake powered by more than journalists 470 00:25:54,560 --> 00:25:57,040 Speaker 1: and analysts more than a hundred twenty countries. Michael Barr 471 00:25:57,040 --> 00:26:05,440 Speaker 1: and this is Bloomberg, Nathan. Thank you, Michael on Wall Street. 472 00:26:05,480 --> 00:26:08,160 Speaker 1: Time for the Bloomberg Sports Update. Good morning, Scott Seedinberg, 473 00:26:08,440 --> 00:26:12,000 Speaker 1: Good morning, Nathan. As NBA free agency begames, the Nets 474 00:26:12,000 --> 00:26:16,120 Speaker 1: received the news yesterday that Kevin Durant requesting a trade, 475 00:26:16,480 --> 00:26:19,280 Speaker 1: the announcement coming just day after Kyrie Irving announced that 476 00:26:19,359 --> 00:26:22,360 Speaker 1: he was opting in to the final year of his deal. 477 00:26:22,480 --> 00:26:26,640 Speaker 1: Durant does have four years remaining on his contract. Meanwhile, 478 00:26:26,680 --> 00:26:28,640 Speaker 1: the Knicks have come to an agreement with free agent 479 00:26:28,640 --> 00:26:31,159 Speaker 1: point guard Jalen Brunton on a four year, one hundred 480 00:26:31,200 --> 00:26:34,080 Speaker 1: and four million dollar deal. Elsewhere, reigning two time m 481 00:26:34,160 --> 00:26:36,680 Speaker 1: VP Nicola Yokis has agreed to a MAX extension with 482 00:26:36,720 --> 00:26:41,359 Speaker 1: the Nuggets. It's the largest deal in NBA history. Also 483 00:26:41,400 --> 00:26:44,680 Speaker 1: getting max extensions Devin Booker with the Sons, John Rant 484 00:26:44,680 --> 00:26:47,720 Speaker 1: with Grizzlies, and Karl Anthony Towns with the timber Wolves. 485 00:26:48,040 --> 00:26:50,880 Speaker 1: Baseball yesterday, the Yankees felt that the Astros to one 486 00:26:51,000 --> 00:26:52,960 Speaker 1: here was Aaron Boone. You know they've done a good 487 00:26:53,040 --> 00:26:57,000 Speaker 1: job of for the most part, holding us down and um, 488 00:26:57,119 --> 00:27:02,080 Speaker 1: you know that's gonna happen sometimes against UH teams to 489 00:27:02,080 --> 00:27:04,840 Speaker 1: the Yankees beginn set in Cleveland. Tonight, the Mets will 490 00:27:04,840 --> 00:27:09,920 Speaker 1: host the Rangers. Tennis at Wimbledon. Lafe Ladal Egatic Advance 491 00:27:10,200 --> 00:27:13,960 Speaker 1: Americans Cocoa Golf, and Jessica Pagoula move on six seed. 492 00:27:14,080 --> 00:27:18,600 Speaker 1: Carolina Plaskova was upset. I'm Scott Seginburg with Bloomberg Sports. 493 00:27:19,040 --> 00:27:21,359 Speaker 1: Nathan all Right, Scott, thank you. We're coming up to 494 00:27:21,480 --> 00:27:23,560 Speaker 1: five thirty seven on Wall Street. It's time for the 495 00:27:23,600 --> 00:27:28,040 Speaker 1: Tri State Business Report. Here's Bloomberg's Ed Corey. New York 496 00:27:28,080 --> 00:27:31,040 Speaker 1: State has rejected the renewal permit for a power plant 497 00:27:31,359 --> 00:27:35,000 Speaker 1: used by green Ridge Generation Holdings for bitcoin mining. That 498 00:27:35,119 --> 00:27:38,960 Speaker 1: decision comes after months of delays. The Department of Environmental 499 00:27:39,000 --> 00:27:42,840 Speaker 1: Conservation says it denied the application because of statewide limits 500 00:27:42,840 --> 00:27:47,680 Speaker 1: on greenhouse gas emissions. Eleven Madison Park explored raising hourly 501 00:27:47,800 --> 00:27:51,480 Speaker 1: wages by thirty three present in September, but scrapped those 502 00:27:51,520 --> 00:27:54,560 Speaker 1: plans after a negative New York Times review. According to 503 00:27:54,640 --> 00:27:57,879 Speaker 1: Business Insider, the restaurant, which shranked number one on the 504 00:27:57,920 --> 00:28:01,800 Speaker 1: world's Best fifty restaurant list in seventeen planned to announce 505 00:28:01,840 --> 00:28:04,359 Speaker 1: wage and menu price hikes in an op ed piece 506 00:28:04,440 --> 00:28:07,679 Speaker 1: that was never published. New Jersey Governor Phil Murphy has 507 00:28:07,720 --> 00:28:10,720 Speaker 1: signed a fifty one billion dollars spending plan with property 508 00:28:10,840 --> 00:28:14,000 Speaker 1: tax relief in a full pension payment for the second year. 509 00:28:14,119 --> 00:28:17,240 Speaker 1: The budget, which is for the fiscal year starting July one, 510 00:28:17,440 --> 00:28:20,760 Speaker 1: is thirty five recent higher than Murphy's first in eighteen. 511 00:28:21,080 --> 00:28:25,040 Speaker 1: That your Bloomberg Try and State Business report. I'm Ed Corey. 512 00:28:25,320 --> 00:28:29,000 Speaker 1: Thank you, Ed. It's almost on Wall Street. Bloomberg Radio 513 00:28:29,240 --> 00:28:31,520 Speaker 1: is on the air from San Francisco to New York, 514 00:28:31,760 --> 00:28:34,400 Speaker 1: London to Hong Kong. Let's check in with our global 515 00:28:34,440 --> 00:28:36,879 Speaker 1: news team for some of the top stories heard on 516 00:28:36,920 --> 00:28:40,400 Speaker 1: our three hundred a fillion radio stations around the world. 517 00:28:43,960 --> 00:28:46,960 Speaker 1: I'm Steve Podascan on K and X in Los Angeles. 518 00:28:47,040 --> 00:28:51,400 Speaker 1: We're talking about how advertisers are flocking to streaming services, 519 00:28:51,560 --> 00:28:55,720 Speaker 1: has fewer people watch traditional TV. I'm Joan Doniger killing 520 00:28:55,800 --> 00:28:58,000 Speaker 1: k f A D listeners in Omaha. The weather in 521 00:28:58,040 --> 00:29:00,960 Speaker 1: the next few months will determine what a global food 522 00:29:01,000 --> 00:29:04,720 Speaker 1: inflation slows down. I'm Gina Servetti in for w C 523 00:29:04,880 --> 00:29:07,800 Speaker 1: c O in Minneapolis. I'm reporting that here Salon owner 524 00:29:07,880 --> 00:29:10,720 Speaker 1: Regis has sold its Open Salon pro booking app to 525 00:29:11,000 --> 00:29:14,040 Speaker 1: Zenoda at last Mateo. And on w b Z in Boston, 526 00:29:14,160 --> 00:29:16,320 Speaker 1: I'll be reporting on a new trend in the electric 527 00:29:16,360 --> 00:29:19,760 Speaker 1: vehicle market, car flipping. I'm Stephen Carol and Bloomberg d 528 00:29:19,840 --> 00:29:22,600 Speaker 1: a Battal Radio in London. We've been reporting on travel 529 00:29:22,680 --> 00:29:25,160 Speaker 1: chaos that you were of airports dashing hopes for a 530 00:29:25,160 --> 00:29:28,520 Speaker 1: bumper summer season. I'm Ad Cory on w w J 531 00:29:28,640 --> 00:29:32,200 Speaker 1: in Detroit. I'm reporting most US automakers will report second 532 00:29:32,280 --> 00:29:35,600 Speaker 1: quarter sales results today, and those are some of the 533 00:29:35,640 --> 00:29:39,040 Speaker 1: stories that are hundred Bloomberg journalists and analysts are working 534 00:29:39,040 --> 00:29:42,040 Speaker 1: on this morning around the world. It's five thirty nine 535 00:29:42,120 --> 00:29:46,640 Speaker 1: on Wall Street. The following is an editorial from Bloomberg Opinion. 536 00:29:47,120 --> 00:29:52,400 Speaker 1: This sedatorial was written by the Bloomberg Editorial Board. For decades, 537 00:29:52,640 --> 00:29:56,560 Speaker 1: US companies have been making a significant omission in their 538 00:29:56,600 --> 00:30:00,640 Speaker 1: financial statements the full cost of their contribut usians to 539 00:30:00,760 --> 00:30:04,600 Speaker 1: climate change. This matter is not only for the planet's future, 540 00:30:04,640 --> 00:30:09,520 Speaker 1: but also for investors today. It makes some businesses look 541 00:30:09,600 --> 00:30:12,800 Speaker 1: more profitable than they really are, and it prevents others 542 00:30:13,000 --> 00:30:17,040 Speaker 1: from realizing the value of new and greener opportunities. The 543 00:30:17,120 --> 00:30:21,160 Speaker 1: Securities and Exchange Commission wants to address this by requiring 544 00:30:21,240 --> 00:30:26,160 Speaker 1: better disclosure of climate related costs and risks. Its proposal 545 00:30:26,440 --> 00:30:31,280 Speaker 1: is an excellent idea, requiring only minor adjustments. No doubt 546 00:30:31,320 --> 00:30:35,160 Speaker 1: full financial recognition of climate change will be a challenge 547 00:30:35,240 --> 00:30:39,160 Speaker 1: for corporate America creating new winners and losers, But the 548 00:30:39,360 --> 00:30:43,960 Speaker 1: sooner the process gets started, the less disruptive it will be. 549 00:30:44,520 --> 00:30:47,840 Speaker 1: This editorial was written by the Bloomberg Editorial Board. For 550 00:30:47,920 --> 00:30:51,440 Speaker 1: more Bloomberg opinion, please go to Bloomberg dot com, slash 551 00:30:51,440 --> 00:30:55,480 Speaker 1: opinion or ope I end go on the Bloomberg terminal. 552 00:30:55,840 --> 00:30:59,000 Speaker 1: This has been Bloomberg opinion, and you can hear Bloomberg 553 00:30:59,040 --> 00:31:02,360 Speaker 1: opinion editorial every weekday. At this time, terminal customers can 554 00:31:02,440 --> 00:31:05,680 Speaker 1: read more at O P I n GO. Future is 555 00:31:05,720 --> 00:31:09,120 Speaker 1: pointing to more losses as we head into the second half. 556 00:31:09,320 --> 00:31:12,320 Speaker 1: Right now, SMP futures are down ten points, Staff futures 557 00:31:12,360 --> 00:31:16,080 Speaker 1: down eighty three, Nasdaq futures are lower by thirty six points. 558 00:31:16,080 --> 00:31:18,400 Speaker 1: In the tenure, Treasury yield right now two point nine 559 00:31:18,440 --> 00:31:25,040 Speaker 1: eight percent Bloomberg eleven three oh, weather hot, maybe stormy 560 00:31:25,120 --> 00:31:27,800 Speaker 1: later today low nineties, will be in the upper eighties tomorrow, 561 00:31:27,800 --> 00:31:31,800 Speaker 1: low eighties Sunday. Sunshine finally returns for the fourth of July. 562 00:31:31,920 --> 00:31:38,360 Speaker 1: How about that seventy three degrees right now? Markets headlines 563 00:31:38,400 --> 00:31:41,400 Speaker 1: and breaking news twenty four hours a day at Bloomberg 564 00:31:41,440 --> 00:31:44,800 Speaker 1: dot Com, the Bloomberg Business at and at Bloomberg picktape, 565 00:31:45,360 --> 00:31:54,000 Speaker 1: He's a Bloomberg Business flash and I'm fair at Moscow. 566 00:31:54,040 --> 00:31:57,480 Speaker 1: Another bout of risk aversion rippling across global markets, sending 567 00:31:57,520 --> 00:32:00,600 Speaker 1: US dot index futures lower and lifting ballons, and an 568 00:32:00,600 --> 00:32:03,600 Speaker 1: ominous start to the second half of two The ten 569 00:32:03,680 --> 00:32:06,240 Speaker 1: uere U S treasury yields sliding below three percent of 570 00:32:06,320 --> 00:32:09,040 Speaker 1: the lowis in's early June, and we checked the markets 571 00:32:09,080 --> 00:32:12,320 Speaker 1: every fifteen minutes throughout the trading day. On Bloomberg SMP 572 00:32:12,520 --> 00:32:15,640 Speaker 1: future is now down about eight points, down features down 573 00:32:15,680 --> 00:32:18,640 Speaker 1: to sixty seven and as dagg features down to thirty five. 574 00:32:19,320 --> 00:32:23,040 Speaker 1: The decks in Germany is up half percent, the ten 575 00:32:23,120 --> 00:32:25,720 Speaker 1: year treasury up six thirty seconds, yield two point nine 576 00:32:25,800 --> 00:32:28,240 Speaker 1: eight percent, and the yield on the two year two 577 00:32:28,240 --> 00:32:31,280 Speaker 1: point nine one percent. Nim X screwed oil is at 578 00:32:31,280 --> 00:32:33,280 Speaker 1: one point eight percent of a dollar eighty eight at 579 00:32:33,280 --> 00:32:36,080 Speaker 1: a hundred seven dollars sixty four cents of barrel comex 580 00:32:36,160 --> 00:32:39,000 Speaker 1: gold down seven tenths percent or twelve dollars at seventeen 581 00:32:39,600 --> 00:32:42,520 Speaker 1: thirty announced. The euro one point oh four six two 582 00:32:42,560 --> 00:32:45,320 Speaker 1: against the dollar, British bound one point two zero eight too, 583 00:32:45,880 --> 00:32:47,880 Speaker 1: and the ends at one thirty five point five to 584 00:32:48,200 --> 00:32:52,000 Speaker 1: Bitcoin is up three point eight percent at nineteen thousand, 585 00:32:52,240 --> 00:32:55,280 Speaker 1: four hundred fifty dollars. That's a Bloomberg business flash. Now 586 00:32:55,280 --> 00:32:57,560 Speaker 1: here's Michael bar with more on what's going on around 587 00:32:57,560 --> 00:32:59,800 Speaker 1: the world. Michael Karen, thank you very much. At least 588 00:32:59,800 --> 00:33:02,800 Speaker 1: seven and teen people are dead after Ukrainian authorities say 589 00:33:02,880 --> 00:33:06,600 Speaker 1: there was a Russian missile attack on residential buildings in 590 00:33:06,600 --> 00:33:09,400 Speaker 1: a coastal town near the board city of Odessa. Two 591 00:33:09,440 --> 00:33:12,720 Speaker 1: of the dead our children. President Biden is urging the 592 00:33:12,800 --> 00:33:15,479 Speaker 1: US send it to change it's filibuster rules to respond 593 00:33:15,520 --> 00:33:18,960 Speaker 1: to the landmark Supreme Court abortion rights ruling. In response, 594 00:33:19,040 --> 00:33:23,120 Speaker 1: Senate Republican leader Mitch McConnell said the president's statement undermines 595 00:33:23,320 --> 00:33:26,640 Speaker 1: justice and the rule of law. In baseball, the Yankees lost, 596 00:33:26,640 --> 00:33:29,440 Speaker 1: along with the a's Global News twenty four hours a 597 00:33:29,520 --> 00:33:32,600 Speaker 1: day on air and on Bloomberg Quicktake, powered by more 598 00:33:32,640 --> 00:33:35,000 Speaker 1: than twenty seven hundred journalists and analyst more than a 599 00:33:35,080 --> 00:33:38,360 Speaker 1: hundred twenty countries. I'm Michael Barr, and this is Bloomberg. 600 00:33:38,480 --> 00:33:40,680 Speaker 1: Nathan Alright, Michael, thank you for coming up to five 601 00:33:40,760 --> 00:33:43,720 Speaker 1: forty nine on Wall Street Live from the Bloomberg Interactive 602 00:33:43,720 --> 00:33:46,920 Speaker 1: Broker Studios. This is Bloomberg Daybreak, and we want to 603 00:33:46,920 --> 00:33:50,719 Speaker 1: turn to an important event overseas. Hong Kong is marking 604 00:33:50,760 --> 00:33:53,680 Speaker 1: twenty five years since the handover of the former British 605 00:33:53,680 --> 00:33:57,560 Speaker 1: colony back to Chinese rule. President Shi Jinping is promising 606 00:33:57,600 --> 00:34:00,440 Speaker 1: a new era of order will bring a brighter future 607 00:34:00,520 --> 00:34:03,080 Speaker 1: to a city that has been rocked in recent years 608 00:34:03,120 --> 00:34:05,840 Speaker 1: by social unrest and of course the shocks from the pandemic. 609 00:34:06,080 --> 00:34:08,560 Speaker 1: Joining his life from Hong Kong this morning is Bloomberg's 610 00:34:08,719 --> 00:34:12,520 Speaker 1: von Mann with more on She's visit and the future 611 00:34:12,920 --> 00:34:16,400 Speaker 1: of this global financial hub. Yvonne, good morning. It's pretty 612 00:34:16,440 --> 00:34:19,640 Speaker 1: significant just for President she to be in town after 613 00:34:20,320 --> 00:34:23,799 Speaker 1: spending the last nearly three years on the mainland. What 614 00:34:23,960 --> 00:34:27,040 Speaker 1: more did he have to say about his vision for 615 00:34:27,200 --> 00:34:31,040 Speaker 1: Hong Kong. Well, what strucks me the most nating was 616 00:34:31,120 --> 00:34:34,080 Speaker 1: just the positivity that he was projecting in this speech. 617 00:34:34,080 --> 00:34:36,799 Speaker 1: He was very optimistic and as them who tried to 618 00:34:36,880 --> 00:34:39,920 Speaker 1: pivot the city away from what has been a political 619 00:34:39,960 --> 00:34:42,640 Speaker 1: storm in the last few years. You've talked about the 620 00:34:42,640 --> 00:34:45,719 Speaker 1: political descent that has essentially been frush now two years 621 00:34:45,719 --> 00:34:48,120 Speaker 1: of the day that we have seen this natural security 622 00:34:48,160 --> 00:34:51,800 Speaker 1: legislation be imposed. But he talked about moving from chaos 623 00:34:51,800 --> 00:34:54,600 Speaker 1: to governance. Seemed to be kind of a sideswife on 624 00:34:54,760 --> 00:34:59,359 Speaker 1: carry lamb THEFO much consecutive during her tumultuous term and 625 00:34:59,360 --> 00:35:02,480 Speaker 1: what had just said thing that crackdown on the democracy movement, 626 00:35:02,600 --> 00:35:06,560 Speaker 1: saying that after the storm, Hong Kong is reborn from 627 00:35:06,600 --> 00:35:10,319 Speaker 1: the ashes. He focuses more now on prosperity, he says, 628 00:35:10,400 --> 00:35:13,279 Speaker 1: the economy and that hopefully the Hong Kong can move 629 00:35:13,320 --> 00:35:17,040 Speaker 1: away from what has been a very tumultuous time, and 630 00:35:17,080 --> 00:35:21,600 Speaker 1: about this relationship between government and market should be better balanced. 631 00:35:21,760 --> 00:35:23,399 Speaker 1: It seems like it was kind of a warning shot 632 00:35:23,640 --> 00:35:26,160 Speaker 1: to some of the real estate tycoons here that sort 633 00:35:26,200 --> 00:35:28,160 Speaker 1: of kind of have a very tight grip on the 634 00:35:28,160 --> 00:35:30,759 Speaker 1: real estate market here. So certainly there was a lot 635 00:35:30,840 --> 00:35:33,719 Speaker 1: of messages here, but in terms of policies and what 636 00:35:33,880 --> 00:35:36,359 Speaker 1: this means to the future of Hong Kong has an 637 00:35:36,360 --> 00:35:39,560 Speaker 1: international hub. I think most were pretty disappointed that we 638 00:35:39,600 --> 00:35:41,799 Speaker 1: didn't get much on that front, and I wanted to 639 00:35:41,840 --> 00:35:46,160 Speaker 1: ask whether the business community shares that optimism that President 640 00:35:46,280 --> 00:35:49,080 Speaker 1: she is trying to project here. What's the feel among 641 00:35:49,440 --> 00:35:53,000 Speaker 1: global business leaders who have headquarters in Hong Kong still 642 00:35:53,040 --> 00:35:56,400 Speaker 1: about where things stand now with the imposition of this 643 00:35:56,520 --> 00:36:00,520 Speaker 1: national security law. I think when we been speaking to 644 00:36:00,520 --> 00:36:02,960 Speaker 1: a lot of foreign chambers here that seem to be 645 00:36:03,040 --> 00:36:06,800 Speaker 1: cautiously optimistic that now that there is this new administration 646 00:36:07,480 --> 00:36:10,279 Speaker 1: uh that perhaps this is designed for for Hong Kong 647 00:36:10,600 --> 00:36:14,400 Speaker 1: can try to rebuild itself, and they've been try to 648 00:36:14,440 --> 00:36:18,759 Speaker 1: rebuild its competitiveness as a Hong Kong by international pub 649 00:36:18,840 --> 00:36:21,640 Speaker 1: I should say, but the key crucial things for the 650 00:36:21,640 --> 00:36:25,759 Speaker 1: business community still remains not so much national security, but 651 00:36:25,920 --> 00:36:29,799 Speaker 1: more about Hong Kong's COVID zero strategies. We've we've seen 652 00:36:29,840 --> 00:36:32,759 Speaker 1: a lot of foot slopping during Carry Lamb's term. There 653 00:36:32,880 --> 00:36:36,279 Speaker 1: is still no exit plan from the central government nor 654 00:36:36,480 --> 00:36:39,919 Speaker 1: from John Lee's new government as well. And they say 655 00:36:39,960 --> 00:36:43,560 Speaker 1: in order for the financial world to continue, for people 656 00:36:43,600 --> 00:36:46,200 Speaker 1: to be traveling in and out and doing business here. 657 00:36:46,680 --> 00:36:49,600 Speaker 1: That is still essential. So I think for the next 658 00:36:49,640 --> 00:36:53,359 Speaker 1: five years, an Things said, it is critical that during 659 00:36:53,400 --> 00:36:56,560 Speaker 1: this term that John Lee delivers and he talks about 660 00:36:56,560 --> 00:36:59,960 Speaker 1: the uniqueness of Hong Kong and that you know Beijing 661 00:37:00,040 --> 00:37:02,759 Speaker 1: does support that. So what that means when it comes 662 00:37:02,800 --> 00:37:04,600 Speaker 1: to COVID zero strategy that I think it's still the 663 00:37:04,640 --> 00:37:08,360 Speaker 1: main to to TBD at at this point, Nathan. But 664 00:37:08,640 --> 00:37:10,680 Speaker 1: I think in terms of answers on that that is 665 00:37:10,719 --> 00:37:13,600 Speaker 1: to the priority among the disappear. What more do we 666 00:37:13,640 --> 00:37:16,560 Speaker 1: expect from the new Chief Executive of Hong Kong, John Lee. 667 00:37:16,600 --> 00:37:19,080 Speaker 1: Are we expecting that he's going to be much change 668 00:37:19,160 --> 00:37:23,800 Speaker 1: in terms of stance toward Beijing from carry lamb with 669 00:37:24,160 --> 00:37:28,839 Speaker 1: I think was seen as pretty loyal to the Beijing government, right, 670 00:37:29,880 --> 00:37:33,319 Speaker 1: m right. And if you take a look at John Lee, 671 00:37:34,120 --> 00:37:38,000 Speaker 1: he has a career in law enforcements and in security. 672 00:37:38,080 --> 00:37:40,920 Speaker 1: He was the one that oversaw the implementation of his 673 00:37:41,080 --> 00:37:43,560 Speaker 1: National Security law, so there is also this sort of 674 00:37:43,560 --> 00:37:47,920 Speaker 1: perception that national security will remain a top priority under 675 00:37:48,440 --> 00:37:51,880 Speaker 1: his term. But when you hear from other foreign chambers 676 00:37:51,880 --> 00:37:54,360 Speaker 1: saying that when they have met with John Lee, because 677 00:37:54,360 --> 00:37:57,799 Speaker 1: he has no track record with finance, with the economy, 678 00:37:57,920 --> 00:38:01,480 Speaker 1: with with social issues like how evenings for example, that 679 00:38:01,560 --> 00:38:04,439 Speaker 1: perhaps he's more willing to listen. So what we heard 680 00:38:04,520 --> 00:38:06,799 Speaker 1: was that he's a bit more pragmatics and willing to 681 00:38:06,840 --> 00:38:10,359 Speaker 1: listen to the concerns from the foreign business community here. 682 00:38:10,480 --> 00:38:13,640 Speaker 1: So perhaps that's why they still remained hopeful that there 683 00:38:13,680 --> 00:38:16,760 Speaker 1: could be some changes along the way. But then again, 684 00:38:17,000 --> 00:38:19,480 Speaker 1: you know, national security, that still remains something in the 685 00:38:19,520 --> 00:38:22,000 Speaker 1: back burner for now. I think once we do hear 686 00:38:22,000 --> 00:38:25,200 Speaker 1: more clarity on the COVID Heroal Fund, the issues of 687 00:38:25,280 --> 00:38:27,920 Speaker 1: data security the like will start to re emerge again. 688 00:38:28,440 --> 00:38:30,720 Speaker 1: Thanks for this, Von, good having you with us this morning. 689 00:38:30,760 --> 00:38:34,360 Speaker 1: Yvon Man joining us live from Hong Kong on the 690 00:38:35,000 --> 00:38:39,240 Speaker 1: anniversary of the handover from the UK. Karen, sorry, Nathan, 691 00:38:39,280 --> 00:38:41,840 Speaker 1: thank you. It is five three on Wall Street, and 692 00:38:41,880 --> 00:38:44,799 Speaker 1: now for a legal story we're watching this morning. On 693 00:38:44,880 --> 00:38:47,440 Speaker 1: the last day of the term, the Supreme Court cleared 694 00:38:47,440 --> 00:38:50,319 Speaker 1: the way for the Biden administration to end Trump's Remain 695 00:38:50,400 --> 00:38:53,920 Speaker 1: in Mexico policy, which required asylum seekers to stay in 696 00:38:53,960 --> 00:38:57,360 Speaker 1: Mexico while their cases are processed. The Court was divided 697 00:38:57,360 --> 00:39:00,560 Speaker 1: five to four, as Chief Justice John Roberts and US dispread. 698 00:39:00,640 --> 00:39:04,440 Speaker 1: Kavanaugh joined with the three liberal justices and the majority 699 00:39:04,480 --> 00:39:07,280 Speaker 1: for more in the decision. Bloomberg's June Grass So speak 700 00:39:07,320 --> 00:39:09,560 Speaker 1: to Lee on Fresco, a partner at Holland and Night 701 00:39:09,800 --> 00:39:12,600 Speaker 1: and former ahead of the Office of Immigration Litigation at 702 00:39:12,600 --> 00:39:16,640 Speaker 1: the Justice Department. How much of a victory is this 703 00:39:16,840 --> 00:39:21,040 Speaker 1: for the Biden administration. Well, it's an interesting victory in 704 00:39:21,080 --> 00:39:23,760 Speaker 1: the sense that it's a victory that comes with strings 705 00:39:23,800 --> 00:39:26,880 Speaker 1: attached to it. And here's what I mean. So, the 706 00:39:26,920 --> 00:39:31,360 Speaker 1: Biden administration, first of all, gets a nent victory on 707 00:39:31,640 --> 00:39:35,560 Speaker 1: being able to end the remain in Mexico migration Protection 708 00:39:35,600 --> 00:39:41,239 Speaker 1: protocol program because the order of the lower Court enjoining 709 00:39:41,280 --> 00:39:45,200 Speaker 1: the ending of that program is now vacated. So that 710 00:39:45,239 --> 00:39:48,920 Speaker 1: now means that unless the lower Court is willing to 711 00:39:49,040 --> 00:39:52,640 Speaker 1: re enter that order under different circumstances that we can 712 00:39:52,680 --> 00:39:55,879 Speaker 1: discuss in a second, at the moment, the Biden administration 713 00:39:55,960 --> 00:39:59,759 Speaker 1: can end the migrant protection protocols. The reason why I 714 00:40:00,040 --> 00:40:03,200 Speaker 1: a it's a victory with strings attached is number one, 715 00:40:03,520 --> 00:40:07,200 Speaker 1: there may be litigation that changes other things about this 716 00:40:07,239 --> 00:40:10,880 Speaker 1: program that might hurt the immigrants rights community and the 717 00:40:10,880 --> 00:40:14,920 Speaker 1: Biden administration But secondly, now there will be a lot 718 00:40:14,960 --> 00:40:18,320 Speaker 1: of pressure on the Biden administration to expedite the appeal 719 00:40:18,440 --> 00:40:21,960 Speaker 1: to end Title forty two, which is something they may 720 00:40:22,000 --> 00:40:24,440 Speaker 1: not want to do, which, as you may recall, is 721 00:40:24,560 --> 00:40:28,840 Speaker 1: the authority being used to exclude people from entering across 722 00:40:28,880 --> 00:40:31,759 Speaker 1: the southern border because of COVID, where right now the 723 00:40:31,800 --> 00:40:34,839 Speaker 1: numbers are pretty high on terms of people trying to 724 00:40:35,000 --> 00:40:38,120 Speaker 1: enter the southern border. And even of my Chief Justice 725 00:40:38,200 --> 00:40:41,279 Speaker 1: John Roberts, how did he come to the conclusion that 726 00:40:41,480 --> 00:40:45,400 Speaker 1: the Biden administration didn't have to keep the remaining Mexico 727 00:40:45,480 --> 00:40:50,359 Speaker 1: program ongoing. The issue is that the statute says very 728 00:40:50,440 --> 00:40:54,160 Speaker 1: clearly uses the word may, meaning that if you cannot 729 00:40:54,200 --> 00:40:57,799 Speaker 1: detain someone who you encounter at the southern border, you 730 00:40:58,000 --> 00:41:01,520 Speaker 1: may then play east them in this remain in Mexico 731 00:41:01,600 --> 00:41:05,680 Speaker 1: program and move them into Mexico awaiting asylum hearing. It 732 00:41:05,719 --> 00:41:09,000 Speaker 1: doesn't say shall, it doesn't say if there's not the 733 00:41:09,080 --> 00:41:13,280 Speaker 1: tension space, you have to use this remain in Mexico program. 734 00:41:13,560 --> 00:41:17,440 Speaker 1: And so what Justice Robert says in his decision is 735 00:41:17,840 --> 00:41:21,000 Speaker 1: because it says me, you can't read a shill into this. 736 00:41:21,160 --> 00:41:25,160 Speaker 1: There's no way to read that there's a requirement that 737 00:41:25,239 --> 00:41:28,160 Speaker 1: if there's not detention space, you have to do this. 738 00:41:28,680 --> 00:41:31,239 Speaker 1: And as Leon Fresco, a partner at Holland and Knights, 739 00:41:31,280 --> 00:41:34,600 Speaker 1: speaking with Bloomberg stun Grosso. Catch more of that interview, 740 00:41:34,640 --> 00:41:38,040 Speaker 1: plus analysis of the latest legal news, by subscribing to 741 00:41:38,080 --> 00:41:41,320 Speaker 1: the Bloomberg Law Podcast or downloading the show at Bloomberg 742 00:41:41,440 --> 00:41:45,960 Speaker 1: dot com slash podcast. Attorneys can find exceptional legal research 743 00:41:46,000 --> 00:41:49,200 Speaker 1: and business development tools at Bloomberg Law dot com and 744 00:41:49,239 --> 00:41:53,120 Speaker 1: on the Bloomberg terminal at V law. Go and futures 745 00:41:53,200 --> 00:41:56,480 Speaker 1: this morning, while they have been trimming in their declines, 746 00:41:56,640 --> 00:41:59,520 Speaker 1: here s and P futures are now that will change 747 00:41:59,600 --> 00:42:03,359 Speaker 1: now if chears down thirty three and NASDAGG futures are 748 00:42:03,600 --> 00:42:07,520 Speaker 1: down nine. The decks in Germany is up half percent 749 00:42:07,640 --> 00:42:10,440 Speaker 1: and the ten year treasury up eight thirty seconds. They 750 00:42:10,520 --> 00:42:13,080 Speaker 1: yield two point nine eight percent. They yield on the 751 00:42:13,160 --> 00:42:16,600 Speaker 1: two year two point nine one percent. Nine meg screwed 752 00:42:16,640 --> 00:42:19,239 Speaker 1: oil is on the rise, up about two percent now 753 00:42:19,320 --> 00:42:22,080 Speaker 1: up two dollars eleven cents at a hundred seven dollars 754 00:42:22,080 --> 00:42:25,400 Speaker 1: eighty seven cents of barrel, and Comex's gold is down 755 00:42:25,560 --> 00:42:29,480 Speaker 1: seven tenths percent at SEV ten an ounce sets down 756 00:42:29,560 --> 00:42:32,120 Speaker 1: more than twelve dollars the euro one point oh four 757 00:42:32,239 --> 00:42:34,719 Speaker 1: or five nine against the dollar. They end at one 758 00:42:34,760 --> 00:42:39,480 Speaker 1: thirty five point six four and still ahead. On Bloomberg 759 00:42:39,560 --> 00:42:41,960 Speaker 1: day Break, we have a check on the business headlines 760 00:42:42,000 --> 00:42:44,080 Speaker 1: and all the news you need to start your day. 761 00:42:44,600 --> 00:42:46,200 Speaker 1: And this is Bloomberg