1 00:00:00,120 --> 00:00:02,720 Speaker 1: Hello, add lots listeners. I'm Stephen Carroll, the host of 2 00:00:02,720 --> 00:00:05,840 Speaker 1: Bloomberg's Here's Why podcast, where we break down a key 3 00:00:05,880 --> 00:00:09,000 Speaker 1: story in the news. We borrow Joe for our latest episode, 4 00:00:09,000 --> 00:00:10,520 Speaker 1: so we thought we'd share it with you. If you 5 00:00:10,640 --> 00:00:12,680 Speaker 1: like what you hear, you could subscribe to Here's Why 6 00:00:12,720 --> 00:00:21,120 Speaker 1: wherever you usually get your podcasts. Enjoy Bloomberg Audio Studios, podcasts, 7 00:00:21,360 --> 00:00:26,280 Speaker 1: radio news. I haven't seen yet a sense of Okay, 8 00:00:26,280 --> 00:00:28,680 Speaker 1: where's my safe haven? Where do I go and park myself? 9 00:00:28,760 --> 00:00:31,280 Speaker 1: The US is benefiting right now from kind of the 10 00:00:31,320 --> 00:00:33,200 Speaker 1: safe haven trade at the moment. If you can find 11 00:00:33,240 --> 00:00:34,680 Speaker 1: me a safe haven in this market, I'd be the 12 00:00:34,680 --> 00:00:36,480 Speaker 1: first one to sign up for that. We do see 13 00:00:36,479 --> 00:00:39,600 Speaker 1: some of the safe havens seems doesn't perform as good 14 00:00:39,600 --> 00:00:42,320 Speaker 1: as we expect it. For example, go and silver, Japanese 15 00:00:42,360 --> 00:00:46,320 Speaker 1: here and the bones. In times of trouble, investors often 16 00:00:46,360 --> 00:00:50,040 Speaker 1: look for safer ground. During previous crises, that's meant to 17 00:00:50,120 --> 00:00:53,840 Speaker 1: rush into assets like US treasuries, the dollar, the Swiss 18 00:00:53,840 --> 00:00:58,200 Speaker 1: franc or gold. But the turmoil caused by President Trump's 19 00:00:58,240 --> 00:01:03,200 Speaker 1: trade taras last year the traditional safe haven trades as 20 00:01:03,280 --> 00:01:06,760 Speaker 1: investor has turned away from US assets and the latest 21 00:01:06,760 --> 00:01:10,400 Speaker 1: conflict in the Middle East has seen another shift. Here's 22 00:01:10,440 --> 00:01:14,320 Speaker 1: why the Iran war is prompting a safe haven rethink. 23 00:01:17,080 --> 00:01:20,280 Speaker 1: Joe Eisenthal House to Bloomberg's Odd Lots podcast joins us 24 00:01:20,280 --> 00:01:22,720 Speaker 1: now for more. Joe, great to talk to you. Can 25 00:01:22,760 --> 00:01:25,039 Speaker 1: you help us understand first of all the background here? 26 00:01:25,040 --> 00:01:28,560 Speaker 1: What makes a good safe haven asset? Why are treasuries 27 00:01:28,640 --> 00:01:31,200 Speaker 1: or the Swiss frank or gold considered a place to 28 00:01:31,280 --> 00:01:32,839 Speaker 1: shelter from market turmoil. 29 00:01:33,400 --> 00:01:36,960 Speaker 2: The thing that investors are always looking for is some 30 00:01:37,040 --> 00:01:42,600 Speaker 2: sort of asset that is not strictly correlated to growth 31 00:01:42,760 --> 00:01:45,080 Speaker 2: or to risk asset. So what is a risk asset 32 00:01:45,200 --> 00:01:48,320 Speaker 2: or risk asset is an asset that goes up when 33 00:01:48,360 --> 00:01:52,880 Speaker 2: things are going well. So stock market classic risk asset. 34 00:01:53,240 --> 00:01:55,920 Speaker 2: You're feeling optimistic, you think the world is going to 35 00:01:55,960 --> 00:01:59,640 Speaker 2: be good all things equal, you want to buy more stocks, 36 00:02:00,200 --> 00:02:02,920 Speaker 2: gas st is. Then you have other assets that are 37 00:02:02,960 --> 00:02:06,120 Speaker 2: characterized as safe havens, and so there's something about their 38 00:02:06,160 --> 00:02:09,200 Speaker 2: properties in which you expect to be paid back, you 39 00:02:09,280 --> 00:02:13,120 Speaker 2: expect to hold their value even if things aren't going great. 40 00:02:13,200 --> 00:02:16,520 Speaker 2: So gold obviously a classic one. People have been using 41 00:02:16,560 --> 00:02:19,720 Speaker 2: it for money for thousands of years and so by 42 00:02:19,760 --> 00:02:23,600 Speaker 2: and large you expect them. It'll still have monetary possibilities 43 00:02:23,600 --> 00:02:26,440 Speaker 2: in a thousand years. The performance of gold is not 44 00:02:26,680 --> 00:02:31,440 Speaker 2: contingent on things going particularly well in the economy. Treasuries 45 00:02:31,480 --> 00:02:34,600 Speaker 2: are another example. The US is you know, maybe it's 46 00:02:34,639 --> 00:02:36,760 Speaker 2: changed a little bit, but by a large stable and 47 00:02:36,880 --> 00:02:42,320 Speaker 2: the coupon payments are simply contingent on legally required payments 48 00:02:42,320 --> 00:02:45,880 Speaker 2: from the US government, and so again those payments will 49 00:02:45,919 --> 00:02:49,480 Speaker 2: happen regardless of whether the economy is strong or bad 50 00:02:49,680 --> 00:02:52,639 Speaker 2: or whatever it is. So that has safe haven properties 51 00:02:52,639 --> 00:02:56,040 Speaker 2: all around the world. Generally speaking, the US has had 52 00:02:56,120 --> 00:03:00,160 Speaker 2: very little inflation over the years, certainly relative to many countries, 53 00:03:00,320 --> 00:03:03,760 Speaker 2: and so therefore the dollar holds its value relatively well. 54 00:03:03,800 --> 00:03:07,280 Speaker 2: It's accepted almost everywhere, and so it is safe haven property. 55 00:03:07,400 --> 00:03:11,280 Speaker 2: So basically, what people gravitate to in times of stress, 56 00:03:11,320 --> 00:03:14,280 Speaker 2: and it's a little different are assets that are not 57 00:03:14,440 --> 00:03:17,359 Speaker 2: correlated to the business cycle, that can perform and hold 58 00:03:17,400 --> 00:03:19,680 Speaker 2: their value even if things aren't going well. 59 00:03:20,080 --> 00:03:23,040 Speaker 1: So what was different than during the tariff turmoil of 60 00:03:23,120 --> 00:03:25,639 Speaker 1: last year because some of these traditional safe havens seemed 61 00:03:25,720 --> 00:03:26,720 Speaker 1: a bit less attractive. 62 00:03:27,400 --> 00:03:29,720 Speaker 2: Yeah, So I think the way to think about it 63 00:03:29,760 --> 00:03:33,200 Speaker 2: is that you know, safe havenness is something that kicks 64 00:03:33,200 --> 00:03:36,800 Speaker 2: in at specific times. And so let's go back to 65 00:03:36,880 --> 00:03:41,280 Speaker 2: the tariffs. Did it create a true crisis? Crisis is 66 00:03:41,360 --> 00:03:44,400 Speaker 2: in like a run on the banks, et cetera. No, 67 00:03:44,680 --> 00:03:47,920 Speaker 2: not really. There was a lot of anxiety and so forth. 68 00:03:48,000 --> 00:03:51,320 Speaker 2: But the net effect of tariffs where for many people 69 00:03:51,360 --> 00:03:54,880 Speaker 2: around the world, the US looked like a less attractive 70 00:03:54,880 --> 00:03:57,360 Speaker 2: place to invest. It would be more costly to do 71 00:03:57,760 --> 00:04:00,480 Speaker 2: business here, and so forth, and so well, in this 72 00:04:00,800 --> 00:04:03,440 Speaker 2: environment you saw the dollar weakening. 73 00:04:03,600 --> 00:04:03,720 Speaker 1: Right. 74 00:04:04,400 --> 00:04:06,520 Speaker 2: This really did not have much to do with its 75 00:04:06,560 --> 00:04:10,320 Speaker 2: safe haven properties per se. It was just the dollar 76 00:04:10,440 --> 00:04:14,560 Speaker 2: being another currency, and investors around the world look and say, okay, 77 00:04:15,120 --> 00:04:18,160 Speaker 2: this is not great for economic management. I don't really 78 00:04:18,240 --> 00:04:20,719 Speaker 2: want to put more assets on the ground in the 79 00:04:20,800 --> 00:04:23,880 Speaker 2: US because importing goods in the factories and so for 80 00:04:23,920 --> 00:04:26,560 Speaker 2: it'll be more expensive, and so then they sell dollars. 81 00:04:26,839 --> 00:04:29,359 Speaker 2: Now you fast forward to the war in Iran, and 82 00:04:29,400 --> 00:04:33,000 Speaker 2: this is very different. The dimensions of the currency are 83 00:04:33,000 --> 00:04:36,839 Speaker 2: not about broader conditions. This is there is a war 84 00:04:36,920 --> 00:04:39,200 Speaker 2: going on. We do not know how long this war 85 00:04:39,279 --> 00:04:42,320 Speaker 2: is going to go on. War spiral out of control, 86 00:04:42,480 --> 00:04:44,440 Speaker 2: even if they're meant to be contained. This is a 87 00:04:44,560 --> 00:04:49,480 Speaker 2: historical fact. In that environment, people are not thinking about 88 00:04:49,760 --> 00:04:52,239 Speaker 2: is the US a good place to invest right now? 89 00:04:52,560 --> 00:04:55,919 Speaker 2: They're thinking, I am scared. I want to have my 90 00:04:56,040 --> 00:04:59,200 Speaker 2: money and something that is likely to roughly retain its 91 00:04:59,279 --> 00:05:02,080 Speaker 2: value for a year and now five years from now, 92 00:05:02,080 --> 00:05:05,480 Speaker 2: et cetera. And by that measure, the dollar is a 93 00:05:05,600 --> 00:05:10,200 Speaker 2: relatively attractive option. So at times, these what we call 94 00:05:10,360 --> 00:05:14,120 Speaker 2: save haven assets performed differently. In twenty twenty five, the 95 00:05:14,200 --> 00:05:16,840 Speaker 2: dollar performed like an investment asset. Oh, I don't really 96 00:05:16,880 --> 00:05:18,880 Speaker 2: want to hold it so much, because the US is 97 00:05:18,920 --> 00:05:22,480 Speaker 2: a less attractive environment. Today the dollar looks good. It's 98 00:05:22,480 --> 00:05:24,880 Speaker 2: a safe haven asset, not because the US is a 99 00:05:24,920 --> 00:05:28,760 Speaker 2: great place to invest per se, but because those properties, 100 00:05:29,000 --> 00:05:31,000 Speaker 2: those safe haven properties have kicked in. 101 00:05:31,520 --> 00:05:35,279 Speaker 1: So how does that work then in this moment for treasuries. 102 00:05:34,760 --> 00:05:40,279 Speaker 2: Yeah, another great question. What makes treasuries a safe haven? Obviously, 103 00:05:40,520 --> 00:05:43,640 Speaker 2: it's the fact that the US is very credit worthy, 104 00:05:43,760 --> 00:05:47,000 Speaker 2: that the US borrows in its own currency, so therefore 105 00:05:47,040 --> 00:05:50,000 Speaker 2: there is no prospect of the treasury like running out 106 00:05:50,040 --> 00:05:52,080 Speaker 2: of money. It can always print it and so forth. 107 00:05:52,400 --> 00:05:56,440 Speaker 2: And so what gives treasuries a safe haven property is 108 00:05:56,480 --> 00:06:00,880 Speaker 2: the fact that that payment is guaranteed by the US government. Now, 109 00:06:01,000 --> 00:06:06,080 Speaker 2: another factor in the pricing of treasuries is inflation. And 110 00:06:06,160 --> 00:06:08,720 Speaker 2: so if you have, like I say, you know treasury 111 00:06:08,760 --> 00:06:11,160 Speaker 2: that it pays a four percent coupon, you get a 112 00:06:11,200 --> 00:06:14,640 Speaker 2: four percent yield every year. But inflation, let's say it 113 00:06:14,680 --> 00:06:18,120 Speaker 2: goes to six percent, that is a money losing investment, right, 114 00:06:18,200 --> 00:06:21,039 Speaker 2: The real value of that treasury, that coupon payment is 115 00:06:21,080 --> 00:06:23,000 Speaker 2: not keeping up with inflation, so you don't on to 116 00:06:23,000 --> 00:06:25,640 Speaker 2: hold it. With the war, people are worried about inflation. 117 00:06:25,839 --> 00:06:29,000 Speaker 2: I mean, obviously we've seen oil prices spike. Wars are 118 00:06:29,040 --> 00:06:32,599 Speaker 2: costly just from a sort of budgetary standpoint, They require 119 00:06:32,600 --> 00:06:37,520 Speaker 2: more fiscal expenditure, They put strains on resources of all sorts. 120 00:06:37,800 --> 00:06:40,919 Speaker 2: We may have to massively ramp up missile production, that 121 00:06:41,080 --> 00:06:45,000 Speaker 2: puts strains on the real economy. All of these things 122 00:06:45,080 --> 00:06:48,120 Speaker 2: taken to be per se inflationary. So then you look 123 00:06:48,160 --> 00:06:50,719 Speaker 2: and you're like, if you're an investor, someone's selling you 124 00:06:50,760 --> 00:06:53,560 Speaker 2: a treasury, You're thinking, you know what, I want to 125 00:06:53,640 --> 00:06:56,760 Speaker 2: hire yield to compensate for this inflation. So it's the 126 00:06:56,839 --> 00:07:00,040 Speaker 2: type of thing once again where the same ass but 127 00:07:00,320 --> 00:07:04,840 Speaker 2: in a different environment. The safe haven properties aren't kicking 128 00:07:04,880 --> 00:07:07,800 Speaker 2: in for that moment. Now, I do think it's worth 129 00:07:07,880 --> 00:07:10,960 Speaker 2: noting that, like you can watch, say like the VIX 130 00:07:11,080 --> 00:07:14,440 Speaker 2: for example, a measure of financial conditions and sort of 131 00:07:14,440 --> 00:07:17,720 Speaker 2: a pure measure of how anxious people are feeling. If 132 00:07:17,720 --> 00:07:21,160 Speaker 2: you get a major VIX spike, there is a good 133 00:07:21,320 --> 00:07:24,080 Speaker 2: chance that people will buy treasuries. And so what I'm 134 00:07:24,120 --> 00:07:27,920 Speaker 2: saying is I mentioned all the concerns with treasuries. However, 135 00:07:28,440 --> 00:07:31,320 Speaker 2: maybe that's a price people are willing to pay just 136 00:07:31,400 --> 00:07:33,920 Speaker 2: for that security, and so there's a push pull here. 137 00:07:34,600 --> 00:07:37,920 Speaker 2: I like the fact that the payment is guaranteed. I 138 00:07:38,040 --> 00:07:40,160 Speaker 2: don't like the fact that the payment is going to 139 00:07:40,240 --> 00:07:44,160 Speaker 2: keep up with inflation. If things are really breaking down, 140 00:07:44,720 --> 00:07:47,080 Speaker 2: you might say, you know what, I'm willing to take 141 00:07:47,120 --> 00:07:50,200 Speaker 2: a price loss. I'm willing to accept a coupon payment 142 00:07:50,240 --> 00:07:53,200 Speaker 2: that is less than inflation because the fact that I 143 00:07:53,240 --> 00:07:55,440 Speaker 2: get paid anything at all, and the fact that I 144 00:07:55,480 --> 00:07:57,640 Speaker 2: will get my principle back at the end of the term, 145 00:07:57,680 --> 00:08:00,440 Speaker 2: whether it's a ten year treasury, is worth so much 146 00:08:00,560 --> 00:08:03,880 Speaker 2: to me in this period of extreme anxiety that I 147 00:08:03,920 --> 00:08:06,600 Speaker 2: will use a treasury as a safe haven, even if 148 00:08:06,600 --> 00:08:09,920 Speaker 2: it's a money losing investment. An analogy that I like 149 00:08:09,960 --> 00:08:12,320 Speaker 2: to make is a safe deposit box. You pay the 150 00:08:12,360 --> 00:08:14,920 Speaker 2: bank for the right to hold something in a safe 151 00:08:14,920 --> 00:08:18,160 Speaker 2: deposit box. De facto, that means that a safe deposit 152 00:08:18,240 --> 00:08:21,840 Speaker 2: box has a negative yield, and yet it is often 153 00:08:21,920 --> 00:08:24,520 Speaker 2: part of someone's safe haven portfolio. I'm going to put 154 00:08:24,520 --> 00:08:27,760 Speaker 2: my values balls in there, despite the fact that it 155 00:08:27,880 --> 00:08:31,360 Speaker 2: costs me a little bit of money every year, because 156 00:08:31,480 --> 00:08:33,400 Speaker 2: the fact that I will be able to take them 157 00:08:33,400 --> 00:08:35,280 Speaker 2: out one day is worth quite a bit of peace 158 00:08:35,320 --> 00:08:35,680 Speaker 2: of mind. 159 00:08:36,440 --> 00:08:39,520 Speaker 1: Can you then explain to us what happened with gold, 160 00:08:39,559 --> 00:08:41,120 Speaker 1: because if we look at a gold chart for the 161 00:08:41,120 --> 00:08:43,600 Speaker 1: past few years, and we've talked about at length, you 162 00:08:43,640 --> 00:08:47,600 Speaker 1: know number go up to absolutely quote our hike sekbox 163 00:08:47,840 --> 00:08:49,920 Speaker 1: and it's book of our crypto. But this time around, 164 00:08:49,960 --> 00:08:52,560 Speaker 1: we haven't seen the same rally in gold during the 165 00:08:52,600 --> 00:08:53,240 Speaker 1: Iran war. 166 00:08:53,320 --> 00:08:55,679 Speaker 2: Why so, first of all, as you said, gold has 167 00:08:55,760 --> 00:08:58,640 Speaker 2: rallied a lot over the last several years, and it's 168 00:08:58,800 --> 00:09:03,240 Speaker 2: rally during a period of I would say, sustained high inflation. 169 00:09:03,760 --> 00:09:06,240 Speaker 2: The rate of inflation has come down, but inflation all 170 00:09:06,240 --> 00:09:09,400 Speaker 2: around the world is still fairly high. People are worried 171 00:09:09,440 --> 00:09:14,040 Speaker 2: about the you know, paper currencies holding their valume. It's 172 00:09:14,080 --> 00:09:18,359 Speaker 2: gone up during a period of geopolitical attention, obviously multiple 173 00:09:18,400 --> 00:09:22,040 Speaker 2: wars around the world since twenty twenty two, and so 174 00:09:22,200 --> 00:09:26,040 Speaker 2: once again, you know, there's this anxiety about like sovereignty 175 00:09:26,080 --> 00:09:29,080 Speaker 2: and some pretty fundamental questions, and so this is the 176 00:09:29,160 --> 00:09:32,880 Speaker 2: type of environment in which people want to reach for 177 00:09:33,000 --> 00:09:36,200 Speaker 2: an asset that once again, it transcends time, it transcends space, 178 00:09:36,800 --> 00:09:39,680 Speaker 2: it transcends nation states, and so forth. It's a form 179 00:09:39,720 --> 00:09:42,720 Speaker 2: of money that's kind of understood everywhere in the world 180 00:09:42,760 --> 00:09:45,559 Speaker 2: and throughout history. So the last several years have been 181 00:09:45,559 --> 00:09:48,480 Speaker 2: a really good environment for people wanting to have some 182 00:09:48,640 --> 00:09:52,360 Speaker 2: allocations that people want to hold a dollar alternative. If 183 00:09:52,360 --> 00:09:55,760 Speaker 2: you think back to twenty twenty two, Russia got sanctioned 184 00:09:55,760 --> 00:09:58,000 Speaker 2: and lost access to a lot of the dollars that 185 00:09:58,080 --> 00:10:00,200 Speaker 2: it had, and I think people around the world world, 186 00:10:00,240 --> 00:10:01,560 Speaker 2: we're looking at that and you're like, you know what, 187 00:10:01,559 --> 00:10:03,720 Speaker 2: maybe I want to hold fewer dollars because this could 188 00:10:03,720 --> 00:10:05,559 Speaker 2: happen to me too one day, and so I want 189 00:10:05,600 --> 00:10:08,640 Speaker 2: to hold gold in a vault. Now we get the 190 00:10:08,679 --> 00:10:12,040 Speaker 2: war and gold hasn't done as well. I think there's 191 00:10:12,080 --> 00:10:15,360 Speaker 2: probably a couple of factors you know. Something that happens 192 00:10:15,400 --> 00:10:19,000 Speaker 2: in an extreme spike, and this is a little bit counterintuitive, 193 00:10:19,360 --> 00:10:22,400 Speaker 2: is when you have real fear, dollars suddenly become more 194 00:10:22,440 --> 00:10:25,560 Speaker 2: interesting to you because you start thinking, I have a 195 00:10:25,600 --> 00:10:28,319 Speaker 2: rent bill to pay, I have a Bloomberg bill to pay, 196 00:10:28,360 --> 00:10:30,079 Speaker 2: I have to pay for my terminal, I have to 197 00:10:30,120 --> 00:10:32,760 Speaker 2: pay for the lights, I have to like pay for everything. 198 00:10:33,240 --> 00:10:35,200 Speaker 2: You want to just survive to the next month, and 199 00:10:35,240 --> 00:10:37,600 Speaker 2: the way you survive to the next month is making 200 00:10:37,600 --> 00:10:40,120 Speaker 2: sure that your bills are paid. Can't pay your bills 201 00:10:40,160 --> 00:10:42,280 Speaker 2: in gold, and so you think to yourself, Okay, there's 202 00:10:42,280 --> 00:10:45,920 Speaker 2: big liquidations happening. I do want to hold gold long term, 203 00:10:46,040 --> 00:10:47,720 Speaker 2: but in the short term I need to come up 204 00:10:47,760 --> 00:10:51,320 Speaker 2: with some dollars. And so gold, having done extremely well 205 00:10:51,320 --> 00:10:53,600 Speaker 2: over the last few years, it may be something that 206 00:10:53,640 --> 00:10:56,840 Speaker 2: you sell in this environment. There's another drawback to gold, 207 00:10:56,920 --> 00:11:00,240 Speaker 2: which is that it's costly to move right having it's 208 00:11:00,280 --> 00:11:03,600 Speaker 2: heavy on like say bitcoin, or on like say the dollar, 209 00:11:04,000 --> 00:11:06,080 Speaker 2: you can't just withdraw it anywhere in the world. If 210 00:11:06,120 --> 00:11:09,760 Speaker 2: you have your gold in a vault in Switzerland and 211 00:11:09,800 --> 00:11:12,679 Speaker 2: you move to Singapore, that gold is not available to 212 00:11:12,720 --> 00:11:14,400 Speaker 2: you at a moment's notice. And so you have to 213 00:11:14,480 --> 00:11:16,360 Speaker 2: think about how are you going to get it there? 214 00:11:16,480 --> 00:11:18,880 Speaker 2: Or if things really go bad, how do you get 215 00:11:18,920 --> 00:11:20,920 Speaker 2: your gold out of that vault. These are questions that 216 00:11:20,960 --> 00:11:23,720 Speaker 2: gold investors actually have to think about sometimes. And I 217 00:11:23,760 --> 00:11:26,960 Speaker 2: do wonder, given the closure of the strait of hor 218 00:11:27,040 --> 00:11:30,120 Speaker 2: Moves and give it the fact that we don't know 219 00:11:30,160 --> 00:11:33,000 Speaker 2: how wide the war is going to spend, maybe there 220 00:11:33,080 --> 00:11:36,480 Speaker 2: is a little bit of cost to holding something in 221 00:11:36,559 --> 00:11:39,440 Speaker 2: which the ability to physically move it to where you 222 00:11:39,480 --> 00:11:42,840 Speaker 2: are is part of its appeal. And so perhaps at 223 00:11:42,880 --> 00:11:46,480 Speaker 2: the margins this is a negative factor in gold, which 224 00:11:46,520 --> 00:11:48,760 Speaker 2: is here is a type of money that has to 225 00:11:48,800 --> 00:11:51,439 Speaker 2: be physically moved at a time when physical movement is 226 00:11:51,520 --> 00:11:52,120 Speaker 2: under stress. 227 00:11:52,559 --> 00:11:54,920 Speaker 1: Joe, fascinating stuff. Thanks so much for joining us, Joe 228 00:11:54,960 --> 00:11:59,800 Speaker 1: Wisenthal Houst of Bloomberg's Odd Lots podcast. For more explanations 229 00:11:59,840 --> 00:12:02,600 Speaker 1: like this from our team of three thousand journalists and 230 00:12:02,720 --> 00:12:06,400 Speaker 1: analysts around the world, go to bloomberg dot com slash Explainers. 231 00:12:07,880 --> 00:12:10,839 Speaker 1: I'm Stephen Carol. This is Here's why. I'll be back 232 00:12:10,920 --> 00:12:12,920 Speaker 1: next week with more. Thanks for listening.