WEBVTT - Countdown to Big Fed Decision; Tupperware Files for Bankruptcy

0:00:02.480 --> 0:00:07.320
<v Speaker 1>Bloomberg Audio Studios, Podcasts, Radio News.

0:00:10.080 --> 0:00:11.920
<v Speaker 2>Good morning. I'm Nathan Hager.

0:00:11.800 --> 0:00:15.000
<v Speaker 1>And I'm Karen Moscow. Here are the stories we're following today.

0:00:15.120 --> 0:00:18.080
<v Speaker 3>Karin, we are hours away now from the most anticipated

0:00:18.120 --> 0:00:21.800
<v Speaker 3>FED decision in years. After holding borrowing costs at a

0:00:21.880 --> 0:00:24.520
<v Speaker 3>two decade high for more than a year, the Fed

0:00:24.720 --> 0:00:28.680
<v Speaker 3>is widely expected to cut rates at least a quarter point. Today,

0:00:29.160 --> 0:00:31.880
<v Speaker 3>we get a preview from Bloomberg's Michael McKee.

0:00:32.200 --> 0:00:34.720
<v Speaker 4>A FED rate cut would be the first since twenty twenty,

0:00:34.760 --> 0:00:37.479
<v Speaker 4>when the Central Bank took rates to zero during COVID.

0:00:38.000 --> 0:00:41.280
<v Speaker 4>The pandemic snarled supply lines and the government provided extra

0:00:41.360 --> 0:00:45.000
<v Speaker 4>cash to consumers. The combination touched off the highest inflation

0:00:45.159 --> 0:00:48.160
<v Speaker 4>since the nineteen eighties, and the FED took rates back

0:00:48.240 --> 0:00:50.559
<v Speaker 4>up again to their current range of five and a

0:00:50.640 --> 0:00:53.319
<v Speaker 4>quarter to five and a half percent. Hand Lists are

0:00:53.320 --> 0:00:55.560
<v Speaker 4>divided over whether we'll see a half point or a

0:00:55.640 --> 0:00:59.320
<v Speaker 4>quarter point cut today. That will depend on whether policymakers

0:00:59.360 --> 0:01:02.920
<v Speaker 4>see the risks tilted more towards an economic slowdown or

0:01:03.000 --> 0:01:06.920
<v Speaker 4>to reaccelerating inflation. One thing that is certain, more rate

0:01:07.000 --> 0:01:09.759
<v Speaker 4>cuts are to come. The Fed will suggest how many

0:01:09.920 --> 0:01:12.959
<v Speaker 4>with a new dot plot today as well Michael McKee

0:01:12.959 --> 0:01:13.800
<v Speaker 4>Bloomberg Radio.

0:01:14.080 --> 0:01:16.640
<v Speaker 1>All right, Mike, thank you. So will it be twenty

0:01:16.720 --> 0:01:20.480
<v Speaker 1>five or fifty? We asked Laura Raim, chief US economist

0:01:20.560 --> 0:01:25.040
<v Speaker 1>at FS Investments, Robert Teeter, chief investment strategist at Silvercrest

0:01:25.040 --> 0:01:29.640
<v Speaker 1>Asset Management, and Michael Darta, chief economist at Roth Capital Partners.

0:01:30.040 --> 0:01:33.840
<v Speaker 5>I am in the twenty five basis point camp, but

0:01:34.040 --> 0:01:37.560
<v Speaker 5>I cannot recall a FED meeting where things have been

0:01:37.680 --> 0:01:40.280
<v Speaker 5>so up in the air and it is a really

0:01:40.319 --> 0:01:42.800
<v Speaker 5>close call. There are great reasons for them to do

0:01:42.880 --> 0:01:46.160
<v Speaker 5>a larger cut. I also can't remember a FED meeting

0:01:46.480 --> 0:01:49.800
<v Speaker 5>where markets have been so split going into the decision.

0:01:50.280 --> 0:01:52.160
<v Speaker 5>Half the market's going to be surprised either way.

0:01:52.640 --> 0:01:54.480
<v Speaker 6>I don't think there's a whole lot of difference between

0:01:54.520 --> 0:01:56.120
<v Speaker 6>twenty five and fifty basis points.

0:01:56.120 --> 0:01:56.280
<v Speaker 7>Here.

0:01:56.280 --> 0:01:58.880
<v Speaker 6>We're sort of tracking to know maybe sixty percent odds

0:01:58.880 --> 0:02:00.720
<v Speaker 6>of a fifty basis point cut, But it's all in

0:02:00.760 --> 0:02:03.440
<v Speaker 6>the communication as to why they're making that cut. So

0:02:03.600 --> 0:02:05.280
<v Speaker 6>is it tilted more at We've made a lot of

0:02:05.320 --> 0:02:07.600
<v Speaker 6>progress on inflation. I think that's a hard story to

0:02:07.640 --> 0:02:09.200
<v Speaker 6>tell me. You've had three months in a row of

0:02:09.240 --> 0:02:12.200
<v Speaker 6>two point six percent or so on their preferred metric

0:02:12.240 --> 0:02:12.840
<v Speaker 6>of PC eight.

0:02:13.320 --> 0:02:16.880
<v Speaker 8>Markets are thinking that maybe the FED is sending a

0:02:16.880 --> 0:02:20.200
<v Speaker 8>signal here or at least much more open to starting

0:02:20.919 --> 0:02:23.320
<v Speaker 8>with fifty rather than twenty five. And if the view

0:02:23.360 --> 0:02:26.840
<v Speaker 8>of the committee is that they're substantially above neutral, we

0:02:26.919 --> 0:02:30.040
<v Speaker 8>can debate neutral. But the highest estimates of neutral are

0:02:30.040 --> 0:02:32.720
<v Speaker 8>about one hundred bases points below where the FED is,

0:02:33.280 --> 0:02:35.920
<v Speaker 8>and you have markets pricing in a seventy one percent

0:02:35.960 --> 0:02:40.559
<v Speaker 8>probability of fifty starting with twenty five. I think Carrie's

0:02:40.600 --> 0:02:43.120
<v Speaker 8>significant risks for the FED, and that.

0:02:43.200 --> 0:02:47.800
<v Speaker 1>Was Rock Capital Partner chief economist Michael Darta, silvercrisht Asset Managements,

0:02:47.919 --> 0:02:51.639
<v Speaker 1>Robert Teeter, and Laura Ray at FS Investments. Right now,

0:02:51.680 --> 0:02:54.120
<v Speaker 1>markets are pricing and a cut closer to fifty than

0:02:54.160 --> 0:02:55.960
<v Speaker 1>twenty five basis points Karen.

0:02:56.000 --> 0:02:58.800
<v Speaker 3>A couple of Wall Street Titans are weighing in as well.

0:02:58.840 --> 0:03:03.279
<v Speaker 3>Here's JP Morgan, Chase CEO, Jamie Diamond and Bridgewater Associates

0:03:03.280 --> 0:03:04.400
<v Speaker 3>founder Ray DALLYO.

0:03:04.720 --> 0:03:05.640
<v Speaker 2>I mean they're gonna do it.

0:03:05.680 --> 0:03:07.320
<v Speaker 9>You know, A twenty five or fifty basis poicte not

0:03:07.760 --> 0:03:10.760
<v Speaker 9>gonna be earth shattering doesn't mean that much.

0:03:11.000 --> 0:03:11.960
<v Speaker 2>I mean, I think they need to do it.

0:03:12.320 --> 0:03:13.960
<v Speaker 7>You know, I think j Pellow does do a.

0:03:13.919 --> 0:03:16.600
<v Speaker 1>Great job, but it's a minor thing.

0:03:16.760 --> 0:03:19.560
<v Speaker 10>What does that that have to do? FED has to

0:03:19.680 --> 0:03:24.640
<v Speaker 10>keep interest rates high enough to satisfy the creditors that

0:03:24.639 --> 0:03:27.760
<v Speaker 10>they're going to get a real return without having them

0:03:27.800 --> 0:03:30.959
<v Speaker 10>so high that the debtors have the problem. So, now,

0:03:31.000 --> 0:03:33.160
<v Speaker 10>if we're looking at this, whether it's twenty five or

0:03:33.160 --> 0:03:35.920
<v Speaker 10>fifty basis points, twenty five basis points would be the

0:03:36.000 --> 0:03:37.480
<v Speaker 10>right thing to do if you look at the whole

0:03:37.520 --> 0:03:38.360
<v Speaker 10>picture as a whole.

0:03:38.760 --> 0:03:41.760
<v Speaker 3>And that was Bridgewater Associates founder Ray Dallyo and JP

0:03:41.880 --> 0:03:46.040
<v Speaker 3>Morgan Chase CEO Jamie Diamond for full FED coverage. Stick

0:03:46.040 --> 0:03:49.200
<v Speaker 3>with Bloomberg for a special edition of Bloomberg Surveillance. The

0:03:49.240 --> 0:03:52.600
<v Speaker 3>FED decides it's at one thirty this afternoon, Wall Street

0:03:52.640 --> 0:03:55.000
<v Speaker 3>Time on Bloomberg Radio and television.

0:03:55.400 --> 0:03:57.960
<v Speaker 1>Now, Nathan, let's get the latest on the presidential race.

0:03:58.080 --> 0:04:00.800
<v Speaker 1>Both former President Trump and Vice President and Harris are

0:04:00.840 --> 0:04:03.960
<v Speaker 1>back out on the campaign trail after the assassination attempt

0:04:04.040 --> 0:04:07.400
<v Speaker 1>last weekend. Trump is holding a rally on Long Island

0:04:07.480 --> 0:04:10.480
<v Speaker 1>in New York today. Ahead of it, he's promising to

0:04:10.520 --> 0:04:13.040
<v Speaker 1>bring back a tax break that he reigned in as

0:04:13.200 --> 0:04:16.680
<v Speaker 1>president the state and local tax deduction. They got reaction

0:04:16.760 --> 0:04:19.640
<v Speaker 1>from Republican Senator Bell Haggerty, who sits on the Senate

0:04:19.680 --> 0:04:20.520
<v Speaker 1>Banking Committee.

0:04:20.640 --> 0:04:22.599
<v Speaker 11>I haven't had an opportunity to discuss this directly with

0:04:22.640 --> 0:04:24.520
<v Speaker 11>President Trump, but I think this was happening in the

0:04:24.560 --> 0:04:28.120
<v Speaker 11>context of a huge rally that will be underway there

0:04:28.160 --> 0:04:30.440
<v Speaker 11>in New York. I know it's going to be very popular.

0:04:30.160 --> 0:04:30.680
<v Speaker 7>In New York.

0:04:31.360 --> 0:04:33.920
<v Speaker 11>Tax cuts in general in this environment, given the inflation

0:04:34.000 --> 0:04:37.640
<v Speaker 11>that we've all experienced, are very appealing to the American public.

0:04:38.520 --> 0:04:40.960
<v Speaker 1>Senator Haggerty was a guest on Balance of Power on

0:04:41.000 --> 0:04:44.520
<v Speaker 1>Bloomberry TV and Radio, and Trump's twenty seventeen tax law

0:04:44.560 --> 0:04:48.240
<v Speaker 1>limited the popular deduction and high tax states to ten

0:04:48.320 --> 0:04:51.919
<v Speaker 1>thousand dollars. The Committee for a Responsible Federal Budget says

0:04:51.960 --> 0:04:56.000
<v Speaker 1>repealing the salt cap would cost one point two trillion

0:04:56.080 --> 0:04:57.400
<v Speaker 1>dollars over ten years.

0:04:57.520 --> 0:05:00.279
<v Speaker 3>Well Karen Vice President Kamala Harris is proposing a cap

0:05:00.320 --> 0:05:02.919
<v Speaker 3>of her own on the cost of childcare. She says

0:05:02.960 --> 0:05:05.360
<v Speaker 3>no working family should pay more than seven percent of

0:05:05.400 --> 0:05:08.480
<v Speaker 3>their income on raising a child. Harris made the comment

0:05:08.600 --> 0:05:11.200
<v Speaker 3>at an event with the National Association of Black Journalists

0:05:11.240 --> 0:05:14.080
<v Speaker 3>where She also talked about the attempt on Donald Trump's life.

0:05:14.400 --> 0:05:16.039
<v Speaker 4>I checked on and see if he was okay.

0:05:16.320 --> 0:05:17.800
<v Speaker 1>Yeah, And.

0:05:19.120 --> 0:05:21.680
<v Speaker 12>I told him what I have said publicly. There's no

0:05:21.760 --> 0:05:24.920
<v Speaker 12>place for political violence in our country.

0:05:25.400 --> 0:05:28.640
<v Speaker 3>Vice President Harris also alluded to Trump's debate comments about

0:05:28.640 --> 0:05:33.000
<v Speaker 3>Haitian migrants eating pets in Springfield, Ohio, without mentioning Trump directly.

0:05:33.360 --> 0:05:36.440
<v Speaker 3>She said candidates have a responsibility when they're bestowed with

0:05:36.480 --> 0:05:37.680
<v Speaker 3>a big microphone.

0:05:38.200 --> 0:05:40.240
<v Speaker 1>Well, Nathan, let's turn to the Middle East now. And

0:05:40.360 --> 0:05:43.400
<v Speaker 1>pagers used by hundreds of members of the militant group

0:05:43.560 --> 0:05:48.560
<v Speaker 1>Hesblah exploded nearly simultaneously on Tuesday in Lebanon in Syria,

0:05:48.920 --> 0:05:51.920
<v Speaker 1>killing at least nine people, including an eight year old girl,

0:05:52.040 --> 0:05:56.160
<v Speaker 1>and wounding several thousand. Hesbela and the Lebanese government blamed

0:05:56.279 --> 0:05:59.440
<v Speaker 1>Israel for what appeared to be a sophisticated remote attack.

0:05:59.839 --> 0:06:03.440
<v Speaker 1>Israel declined to comment. Bloomberg's Ethan Bronner is in Tel

0:06:03.440 --> 0:06:04.200
<v Speaker 1>Aviv with Moore.

0:06:04.680 --> 0:06:08.520
<v Speaker 9>It looks almost certain that the Israelis, through massade or

0:06:08.520 --> 0:06:12.559
<v Speaker 9>eighty two hundred, one of their major intelligence organizations got

0:06:12.600 --> 0:06:17.520
<v Speaker 9>into the distribution or manufacturing chain of these pagers and

0:06:17.760 --> 0:06:22.159
<v Speaker 9>installed small amounts of explosives in each pager, as well

0:06:22.200 --> 0:06:25.479
<v Speaker 9>as a trigger inside that worked so that once a

0:06:25.520 --> 0:06:30.440
<v Speaker 9>message was sent, the message was the trigger that exploded

0:06:30.440 --> 0:06:31.560
<v Speaker 9>those little devices.

0:06:31.839 --> 0:06:35.760
<v Speaker 1>Bloomberg's Israel bureau chief Ethan Bronner notes that American officials

0:06:35.800 --> 0:06:38.960
<v Speaker 1>said that the US was neither involved nor informed in

0:06:39.040 --> 0:06:40.679
<v Speaker 1>advance of the pagers incident.

0:06:40.960 --> 0:06:44.240
<v Speaker 3>In company news, Karen a legal victory for Google. It's

0:06:44.279 --> 0:06:46.520
<v Speaker 3>won a court fight with the European Union over a

0:06:46.520 --> 0:06:49.680
<v Speaker 3>one point seven billion dollar fine for thwarting competition for

0:06:49.760 --> 0:06:53.000
<v Speaker 3>online ads. Judges at the EU's General Court back to

0:06:53.000 --> 0:06:55.359
<v Speaker 3>the Alphabet Units challenge to a fine doled out in

0:06:55.400 --> 0:06:58.960
<v Speaker 3>twenty nineteen, saying regulators made mistakes in their probe. The

0:06:59.000 --> 0:07:01.520
<v Speaker 3>decision comes a week after the EUS Top Court ruled

0:07:01.520 --> 0:07:04.440
<v Speaker 3>against Google's attempt to avoid a nearly two point seven

0:07:04.600 --> 0:07:08.120
<v Speaker 3>billion dollar anti trust penalty for favoring its own product

0:07:08.120 --> 0:07:10.400
<v Speaker 3>results on search Well.

0:07:10.440 --> 0:07:14.200
<v Speaker 1>An iconic American company has found for bankruptcy. Nathan and

0:07:14.240 --> 0:07:17.840
<v Speaker 1>Bloomberg's John Tucker is here with Moore and John. I'm

0:07:17.880 --> 0:07:20.640
<v Speaker 1>willing to bet that there's one of their products in

0:07:20.760 --> 0:07:22.120
<v Speaker 1>just about everyone's kitchen.

0:07:22.440 --> 0:07:25.160
<v Speaker 13>Here's a hint, Karen put a lid on it. We're

0:07:25.160 --> 0:07:29.239
<v Speaker 13>talking about Tupperware brands. For decades, they dominated the world

0:07:29.240 --> 0:07:32.360
<v Speaker 13>of food storage. Toperware's founder, Earl Tupper this was back

0:07:32.400 --> 0:07:35.040
<v Speaker 13>in nineteen forty six, introduced the plastic products to the

0:07:35.040 --> 0:07:39.600
<v Speaker 13>public and patented their flexible airtight seal. The brand's goods

0:07:39.680 --> 0:07:42.360
<v Speaker 13>later flooded into American homes, largely by the way of

0:07:42.480 --> 0:07:47.520
<v Speaker 13>independent sales Tupperware parties hosted in suburban homes. Tupperware has

0:07:47.560 --> 0:07:51.160
<v Speaker 13>filed for Chapter eleven bankruptcy protection, their listing assets of

0:07:51.240 --> 0:07:53.880
<v Speaker 13>up to one billion dollars and liabilities of up to

0:07:53.960 --> 0:07:56.840
<v Speaker 13>ten billion. The company's going to seek court approval to

0:07:56.880 --> 0:07:59.840
<v Speaker 13>facilitate a sale of the business, and they will continue

0:08:00.040 --> 0:08:03.720
<v Speaker 13>operating during the bankruptcy proceedings. This all follows months of

0:08:03.800 --> 0:08:07.680
<v Speaker 13>negotiations between Tupperware and its lenders over how to manage

0:08:07.720 --> 0:08:10.680
<v Speaker 13>hundreds of millions of dollars and loans. In New York

0:08:10.720 --> 0:08:12.920
<v Speaker 13>on John Tucker, Bloomberg Radio.

0:08:12.800 --> 0:08:14.640
<v Speaker 3>And John It's an end of anier on Wall Street

0:08:14.640 --> 0:08:17.240
<v Speaker 3>as well. Steve Cohen stepping away from the trading floor,

0:08:17.280 --> 0:08:19.920
<v Speaker 3>the billionaire hedge fund founder will remain Point A seventy

0:08:19.920 --> 0:08:22.680
<v Speaker 3>two Asset Management's co chief investment officer, but he's no

0:08:22.760 --> 0:08:25.880
<v Speaker 3>longer investing client capital, the firm says. The sixty eight

0:08:25.960 --> 0:08:28.640
<v Speaker 3>year old is instead focused on driving Point seventy two's

0:08:28.680 --> 0:08:31.800
<v Speaker 3>growth and mentoring and developing talent. Cohen owns the New

0:08:31.880 --> 0:08:34.559
<v Speaker 3>York Mets. He's been one of the most dominant forces

0:08:34.559 --> 0:08:37.360
<v Speaker 3>in hedge funds for more than three decades, building his

0:08:37.440 --> 0:08:39.840
<v Speaker 3>firm into one of the world's biggest. After a costly

0:08:39.880 --> 0:08:45.360
<v Speaker 3>insider trading scandal, time now for.

0:08:45.320 --> 0:08:47.360
<v Speaker 1>A look at some of the other stories making news

0:08:47.360 --> 0:08:49.080
<v Speaker 1>in New York and around the world. And for that

0:08:49.120 --> 0:08:52.360
<v Speaker 1>we're joined by Bloomberg's Michael Barr Michael, good Morning, Good.

0:08:52.120 --> 0:08:56.000
<v Speaker 7>Morning, Karen Sean. Dinny Combs was denied bail and ordered

0:08:56.000 --> 0:08:58.800
<v Speaker 7>maya judge in a federal court in Manhattan to remain

0:08:58.840 --> 0:09:03.440
<v Speaker 7>in prison until his trial on sex trafficking and racketeering charges.

0:09:03.920 --> 0:09:07.840
<v Speaker 7>A newly unsealed federal indictment alleges he engaged in kidnapping,

0:09:07.920 --> 0:09:11.600
<v Speaker 7>forced labor, and more. The fifty four year old music mogul,

0:09:11.720 --> 0:09:16.120
<v Speaker 7>who has pleaded not guilty, was arrested late Monday. Prosecutors

0:09:16.120 --> 0:09:19.560
<v Speaker 7>alleged that Combs used his business empire to force women

0:09:19.600 --> 0:09:24.440
<v Speaker 7>to engage in sexual acts at events. US attorney Damian Williams.

0:09:24.000 --> 0:09:26.800
<v Speaker 14>As alleged when Combs didn't get his way, he was

0:09:26.880 --> 0:09:31.680
<v Speaker 14>violent and he subjected victims of physical, emotional, and verbal

0:09:31.679 --> 0:09:34.840
<v Speaker 14>abuse so that they would participate in the freak offs.

0:09:35.720 --> 0:09:38.480
<v Speaker 7>US attorney Williams says it was there that Combs was

0:09:38.600 --> 0:09:42.000
<v Speaker 7>violent toward the women, including dragging them by the hair.

0:09:42.600 --> 0:09:46.679
<v Speaker 7>After the hearing, defense attorney Marc Agnifilio says his client

0:09:47.040 --> 0:09:49.000
<v Speaker 7>intends to fight the case to the end.

0:09:49.360 --> 0:09:52.480
<v Speaker 3>He's been looking forward to this day. He's been looking

0:09:52.520 --> 0:09:54.960
<v Speaker 3>forward to clearing his name, and he's going to clear

0:09:55.000 --> 0:09:55.319
<v Speaker 3>his name.

0:09:55.720 --> 0:09:59.640
<v Speaker 7>Defense attorney Agnifilio will be back in court today for

0:09:59.720 --> 0:10:02.680
<v Speaker 7>a to get Combs out on bail. The charges come

0:10:02.720 --> 0:10:06.520
<v Speaker 7>after Homeland Security rated Combs's homes in Los Angeles and

0:10:06.640 --> 0:10:11.640
<v Speaker 7>Miami last March. Movie producer Harvey Weinstein, whose alleged sexual

0:10:11.679 --> 0:10:15.200
<v Speaker 7>misconduct helps spark the Me Too movement, will be arraigned

0:10:15.240 --> 0:10:19.160
<v Speaker 7>today on new charges. The arraignment in Manhattan will clear

0:10:19.240 --> 0:10:22.160
<v Speaker 7>up issues that resulted in a New York State appeals

0:10:22.160 --> 0:10:26.280
<v Speaker 7>court overturning Weinstein's original conviction. The appeals court ruled that

0:10:26.360 --> 0:10:30.120
<v Speaker 7>the jury heard evidence that should have been inadmissible because

0:10:30.160 --> 0:10:34.000
<v Speaker 7>it was involved in allegations from other women who never

0:10:34.040 --> 0:10:37.600
<v Speaker 7>brought charges. All but two Republicans in the Senate voted

0:10:37.640 --> 0:10:41.400
<v Speaker 7>to block a bill that would have ensured nationwide access

0:10:41.440 --> 0:10:45.480
<v Speaker 7>to in vitro fertilization. Democrats had brought it back to

0:10:45.520 --> 0:10:50.400
<v Speaker 7>the floor after Republicans previously blocked it from advancing in June.

0:10:50.520 --> 0:10:54.240
<v Speaker 7>After the vote, Democratic Senator Tammy Duckworth of Illinois said

0:10:54.240 --> 0:10:58.320
<v Speaker 7>IVF is now threatened by former President Trump, who appointed

0:10:58.400 --> 0:11:01.560
<v Speaker 7>three of the six Supreme Court justices who voted to

0:11:01.559 --> 0:11:02.840
<v Speaker 7>overturn Roe v. Wade.

0:11:03.240 --> 0:11:06.280
<v Speaker 15>He is the reason that IPF is in danger. He

0:11:06.720 --> 0:11:10.040
<v Speaker 15>is to blame. He and every other Republican who cares

0:11:10.080 --> 0:11:13.000
<v Speaker 15>more about staying good with Trump than about doing good

0:11:13.000 --> 0:11:16.080
<v Speaker 15>for the Americans. They are supposed to be serving global.

0:11:15.760 --> 0:11:18.319
<v Speaker 7>News twenty four hours a day and whenever you wanted

0:11:18.360 --> 0:11:20.760
<v Speaker 7>with the Bloomberg News. Now, I'm Michael Barr. This is

0:11:20.800 --> 0:11:21.640
<v Speaker 7>Bloomberg Cart.

0:11:21.840 --> 0:11:28.319
<v Speaker 1>All right, Michael Barr, thank you time now for the

0:11:28.320 --> 0:11:30.679
<v Speaker 1>Bloomberg Sports Update with John Stashaur.

0:11:30.800 --> 0:11:32.200
<v Speaker 2>John, Good morning, Good morning, Karen.

0:11:32.240 --> 0:11:35.400
<v Speaker 16>Mets and Yankees fans both enjoyed last night their teams

0:11:35.440 --> 0:11:37.839
<v Speaker 16>won both by nine runs, and the teams they wanted

0:11:37.840 --> 0:11:40.720
<v Speaker 16>to see lose did just that for the Mets ten

0:11:40.800 --> 0:11:42.840
<v Speaker 16>to one over Washington at City Field. The Mets scored

0:11:42.920 --> 0:11:45.679
<v Speaker 16>four times in the thirty eight, added home runs by

0:11:45.679 --> 0:11:49.400
<v Speaker 16>Francisco Alvarez and Pete Alonzo. Tyler McGill six innings, allowed

0:11:49.440 --> 0:11:52.199
<v Speaker 16>just two hits nowhere and wrungs. Meanwhile, Atlanta Blue of

0:11:52.320 --> 0:11:54.840
<v Speaker 16>five to one lead, lost six to five at Cincinnati.

0:11:55.120 --> 0:11:59.160
<v Speaker 16>Arizona lost eight to two at Colorado. Wildcard standings now

0:11:59.200 --> 0:12:01.960
<v Speaker 16>have San Diego followed by the Mets and Diamondbacks, who

0:12:02.000 --> 0:12:05.240
<v Speaker 16>are tied. The Brains are now two games behind. Yankees

0:12:05.280 --> 0:12:07.800
<v Speaker 16>won eleven to two at Seattle. Aaron Judge got him

0:12:07.800 --> 0:12:10.360
<v Speaker 16>going before and out was recorded. Judge with a two

0:12:10.440 --> 0:12:13.480
<v Speaker 16>run double. He added a two run single in inning later,

0:12:13.559 --> 0:12:16.040
<v Speaker 16>Austin Wells later with a three run double, and one

0:12:16.160 --> 0:12:19.320
<v Speaker 16>Soto with his fortieth home run two hundredth of his career.

0:12:19.400 --> 0:12:22.520
<v Speaker 16>Luis Hill got his fourteenth win. Marcus Stroman, just moved

0:12:22.559 --> 0:12:24.400
<v Speaker 16>to the bullpen, got the save since he worked the

0:12:24.480 --> 0:12:28.040
<v Speaker 16>last three innings. Slumping Baltimore lost to the Giants ten

0:12:28.120 --> 0:12:30.640
<v Speaker 16>to nothing. The Yanks are four games ahead, their largest

0:12:30.720 --> 0:12:33.439
<v Speaker 16>leads since June seventh, and Judge knows that if the

0:12:33.520 --> 0:12:36.560
<v Speaker 16>Yanks win tonight, they're assured of at least a wild card.

0:12:37.800 --> 0:12:39.959
<v Speaker 17>Well, we'd definitely be excited, you know, especially after the

0:12:40.000 --> 0:12:43.400
<v Speaker 17>season we had last year, missing out in the postseason.

0:12:44.440 --> 0:12:46.560
<v Speaker 17>That's you know what we came into the season to do.

0:12:46.640 --> 0:12:49.360
<v Speaker 17>You know, getting into the postseason gus ourselves an opportunity

0:12:49.360 --> 0:12:51.480
<v Speaker 17>to out there and won a World Series. So I

0:12:51.520 --> 0:12:53.480
<v Speaker 17>thought it'll be step one, but you know, we gotta

0:12:53.480 --> 0:12:54.120
<v Speaker 17>get there first.

0:12:54.240 --> 0:12:57.520
<v Speaker 16>Also, last nine, the Dodgers lost Joeyo tanis forty eighth

0:12:57.559 --> 0:12:59.560
<v Speaker 16>home run as he nears the fifty to fifty club.

0:13:00.080 --> 0:13:01.559
<v Speaker 16>Stay shower, Bloomberg Sports Canada.

0:13:01.640 --> 0:13:08.320
<v Speaker 18>Nathan Coast to coast on Bloomberg Radio, nationwide on Sirius XM,

0:13:08.520 --> 0:13:11.400
<v Speaker 18>and around the world on Bloomberg dot Com and the

0:13:11.440 --> 0:13:14.760
<v Speaker 18>Bloomberg Business app. This is Bloomberg Daybreak.

0:13:14.800 --> 0:13:17.200
<v Speaker 3>Good morning, I'm Nathan Hager. We are hours away for

0:13:17.200 --> 0:13:20.319
<v Speaker 3>one of the most highly anticipated and hotly debated Fed

0:13:20.400 --> 0:13:24.000
<v Speaker 3>policy decisions in years. J Powell and company are widely

0:13:24.040 --> 0:13:26.920
<v Speaker 3>expected to deliver a cut this afternoon, but just how

0:13:26.960 --> 0:13:29.440
<v Speaker 3>big it will be remains an open question.

0:13:30.160 --> 0:13:32.600
<v Speaker 6>A gradual approach is what they're going to pursue.

0:13:32.679 --> 0:13:35.439
<v Speaker 10>Twenty five basis points is going to be dependent would

0:13:35.440 --> 0:13:36.200
<v Speaker 10>be the right thing to do.

0:13:36.240 --> 0:13:38.400
<v Speaker 2>If they don't know fifty tomorrow, I'll be shocked.

0:13:38.679 --> 0:13:41.680
<v Speaker 3>Now tomorrow is today for former New York FED President

0:13:41.720 --> 0:13:44.760
<v Speaker 3>Bill Dudley, Bridgewater founder Ray Dalio, and Ed Heyman of

0:13:44.960 --> 0:13:47.760
<v Speaker 3>Evercors you just heard there, joining us now for more

0:13:47.800 --> 0:13:52.640
<v Speaker 3>on this debate. Veronica Clark, us economist at City Veronica,

0:13:52.760 --> 0:13:54.760
<v Speaker 3>good morning. I think you've been on both sides of

0:13:54.760 --> 0:13:56.559
<v Speaker 3>this debate. We're one of the first out of the

0:13:56.600 --> 0:13:59.440
<v Speaker 3>gate with a fifty basis point call after July jobs.

0:13:59.480 --> 0:14:01.640
<v Speaker 3>Where do you sit now on FED day?

0:14:02.320 --> 0:14:04.400
<v Speaker 12>Yeah, good morning, Thank you for having me. I don't

0:14:04.440 --> 0:14:07.160
<v Speaker 12>think anyone should have, you know, too high of a conviction,

0:14:07.480 --> 0:14:10.400
<v Speaker 12>and what will happen today? Of course, we're repricing essentially

0:14:10.440 --> 0:14:13.600
<v Speaker 12>fifty to fifty chance of a twenty five or fifty. Yeah,

0:14:13.600 --> 0:14:15.880
<v Speaker 12>we were initially expecting that this would be a fifty

0:14:15.880 --> 0:14:18.520
<v Speaker 12>basis point rate cut, and then we saw the CPI

0:14:18.640 --> 0:14:21.240
<v Speaker 12>data last week and there were some stronger elements of that.

0:14:22.000 --> 0:14:24.640
<v Speaker 12>Maybe twenty five is now the path of least resistance

0:14:25.080 --> 0:14:28.360
<v Speaker 12>in terms of an agreement amongst Seed officials, so expecting

0:14:28.360 --> 0:14:30.480
<v Speaker 12>in twenty five today, but I think it will be

0:14:30.520 --> 0:14:33.800
<v Speaker 12>a very duvish decision, keeping all options on the table

0:14:33.840 --> 0:14:36.520
<v Speaker 12>for future meetings, and I do think we are probably

0:14:36.520 --> 0:14:38.640
<v Speaker 12>in store for some big rate cuts down the line.

0:14:38.880 --> 0:14:41.920
<v Speaker 3>What makes you think that, Faronicam, Yeah, it.

0:14:41.960 --> 0:14:44.120
<v Speaker 12>Essentially comes down to what we're seeing in the labor

0:14:44.200 --> 0:14:47.720
<v Speaker 12>market and the said reaction to that labor market data.

0:14:47.800 --> 0:14:50.440
<v Speaker 12>You know, we know already that FED officials see the

0:14:50.480 --> 0:14:54.360
<v Speaker 12>other inflation mandate and employment mandate really imbalance now, and

0:14:54.400 --> 0:14:57.080
<v Speaker 12>the risks are very quickly shifting in favor of that

0:14:57.240 --> 0:15:00.280
<v Speaker 12>employment mandate. We just see hiring pulling back, of course,

0:15:00.320 --> 0:15:02.880
<v Speaker 12>the unemployment rate rising, the pace of job growth flowing.

0:15:03.640 --> 0:15:06.960
<v Speaker 12>We think that will continue in the next two jobs

0:15:06.960 --> 0:15:09.200
<v Speaker 12>reports that we're going to get before the November decision,

0:15:09.840 --> 0:15:11.480
<v Speaker 12>and I think we'll see more weakness and that will

0:15:11.640 --> 0:15:13.840
<v Speaker 12>that will let them, you know, do fifty at that meeting.

0:15:13.880 --> 0:15:16.280
<v Speaker 3>Also, what do you think the market reaction will be

0:15:16.280 --> 0:15:19.000
<v Speaker 3>if the Fed doesn't go big today? With this debate

0:15:19.200 --> 0:15:22.440
<v Speaker 3>roiling for so many days? Now, what's the market talking

0:15:22.440 --> 0:15:24.000
<v Speaker 3>itself into with this debate?

0:15:24.720 --> 0:15:26.840
<v Speaker 12>Yeah, I mean, we we luckily do have you know,

0:15:26.920 --> 0:15:30.200
<v Speaker 12>updated summary of economic projections today. So that's the updated

0:15:30.240 --> 0:15:32.760
<v Speaker 12>dot plots for you know, where FED officials see rates

0:15:32.760 --> 0:15:34.800
<v Speaker 12>at the end of the year. Of course we'll have

0:15:34.840 --> 0:15:36.720
<v Speaker 12>the press conference from Chair Powell and all of that

0:15:36.720 --> 0:15:39.560
<v Speaker 12>will will matter if it's not a fifty basis point

0:15:39.560 --> 0:15:41.680
<v Speaker 12>cut today it's just twenty five. I think there are

0:15:41.760 --> 0:15:44.840
<v Speaker 12>ways that Fed officials can be sufficiently dubbish, you know,

0:15:44.920 --> 0:15:48.680
<v Speaker 12>keep what is priced priced in already because you do risk.

0:15:48.960 --> 0:15:51.080
<v Speaker 12>You know, if you're doing too little, you risk may

0:15:51.080 --> 0:15:54.080
<v Speaker 12>be looking complacent, looking out of touch, looking like you're

0:15:54.080 --> 0:15:56.680
<v Speaker 12>behind the curve and risk assets. I don't think we

0:15:56.840 --> 0:15:59.640
<v Speaker 12>would love that, you know, we would see yields, you know,

0:15:59.760 --> 0:16:03.000
<v Speaker 12>for out moving lower on almost a policy mistake kind

0:16:03.000 --> 0:16:05.520
<v Speaker 12>of pricing. So I do you think Charpala has to

0:16:05.520 --> 0:16:07.840
<v Speaker 12>be sufficiently dubash today. I think they can do that.

0:16:07.920 --> 0:16:10.600
<v Speaker 12>I think they'll show maybe one hundred basis point total

0:16:10.640 --> 0:16:13.360
<v Speaker 12>of kutzper for this year on the dot plot. But

0:16:13.400 --> 0:16:14.440
<v Speaker 12>we'll we'll see what happened.

0:16:14.600 --> 0:16:17.520
<v Speaker 2>This is Bloomberg day Break Today, your morning brief on

0:16:17.600 --> 0:16:21.120
<v Speaker 2>the stories making news from Wall Street to Washington and beyond.

0:16:21.400 --> 0:16:24.160
<v Speaker 1>Look for us on your podcast feed at six am.

0:16:24.240 --> 0:16:27.880
<v Speaker 1>Eastern each morning on Apple, Spotify, and anywhere else you

0:16:27.960 --> 0:16:29.120
<v Speaker 1>get your podcasts.

0:16:29.240 --> 0:16:31.960
<v Speaker 2>You can also listen live each morning starting at five

0:16:32.000 --> 0:16:34.600
<v Speaker 2>am Wall Street Time on Bloomberg eleven three to zero

0:16:34.640 --> 0:16:37.480
<v Speaker 2>in New York, Bloomberg ninety nine to one in Washington,

0:16:37.600 --> 0:16:40.440
<v Speaker 2>Bloomberg one oh six to one in Boston, and Bloomberg

0:16:40.560 --> 0:16:42.240
<v Speaker 2>ninety sixty in San Francisco.

0:16:42.600 --> 0:16:45.760
<v Speaker 1>Our flagship New York station is also available on your

0:16:45.800 --> 0:16:51.240
<v Speaker 1>Amazon Alexa devices. Just say Alexa play Bloomberg eleven thirty plus.

0:16:51.280 --> 0:16:54.680
<v Speaker 2>Listen coast to coast on the Bloomberg Business app, SERIUSXM,

0:16:54.800 --> 0:16:59.080
<v Speaker 2>the iHeartRadio app, and on Bloomberg dot Com. I'm Nathan Hager.

0:16:58.840 --> 0:17:01.960
<v Speaker 1>And I'm Karen Moscow. Join us again tomorrow morning for

0:17:02.120 --> 0:17:04.600
<v Speaker 1>all the news you need to start your day right

0:17:04.640 --> 0:17:07.200
<v Speaker 1>here on Bloomberg Daybreak