1 00:00:01,960 --> 00:00:04,720 Speaker 1: Live from the Bloomberg Interact at Brooker Studios. This is 2 00:00:04,760 --> 00:00:08,800 Speaker 1: Bloomberg day Break for Thursday, October twenty seven two. Coming 3 00:00:08,840 --> 00:00:11,960 Speaker 1: up this hour, shares of Metap plunge on another big 4 00:00:12,000 --> 00:00:15,280 Speaker 1: tech earnings disappointment. Apple and Amazon are up next. Set 5 00:00:15,360 --> 00:00:19,200 Speaker 1: to report this afternoon. Credit Sweet sunveils a massive overhaul. 6 00:00:19,280 --> 00:00:22,079 Speaker 1: We speak to the Bank CEO, and the European Central 7 00:00:22,079 --> 00:00:24,239 Speaker 1: Bank is set to raise rates to the highest level 8 00:00:24,280 --> 00:00:27,320 Speaker 1: in more than a decade. New Jersey Senator Menendez faces 9 00:00:27,320 --> 00:00:31,320 Speaker 1: another federal investigation. Plus President Biden ones Russia any nuclear 10 00:00:31,360 --> 00:00:35,160 Speaker 1: attack but being an incredibly serious mistake. I'm Michael bar More. Ahead, 11 00:00:35,159 --> 00:00:38,000 Speaker 1: I've done Statshowering sports overtime at the Garden, the Nix 12 00:00:38,040 --> 00:00:41,120 Speaker 1: speech Charlotte, the Nets lost in Milwaukee, the Islanders shut 13 00:00:41,120 --> 00:00:46,720 Speaker 1: out the Rangers. That's all's training. Ahead on Bloomberg day 14 00:00:46,720 --> 00:00:50,959 Speaker 1: Break on Bloomberg Elving Free on New York, Bloomberg nine one, 15 00:00:51,080 --> 00:00:55,040 Speaker 1: Washington d C, Bloomberg one oh six one, Boston, Bloomberg 16 00:00:55,120 --> 00:00:59,200 Speaker 1: nine sixties and Francisco Sirius x M one nineteen and 17 00:00:59,280 --> 00:01:02,080 Speaker 1: around the world. Old on Bloomberg Radio dot Com and 18 00:01:02,200 --> 00:01:08,720 Speaker 1: via the Bloomberg Business app. Good morning, I'm Nathan Hagar 19 00:01:09,080 --> 00:01:12,520 Speaker 1: and I'm Karen Moscow. SMP future is little change this morning, 20 00:01:12,520 --> 00:01:14,880 Speaker 1: while Nowsdack future is fall where coming up to six 21 00:01:14,880 --> 00:01:16,640 Speaker 1: oh one on Wall Street. We check the markets every 22 00:01:16,640 --> 00:01:19,840 Speaker 1: fifteen minutes throughout the trading day. On Bloomberg. Right now again, 23 00:01:20,000 --> 00:01:23,360 Speaker 1: SMP futures are a little change down futures have one one, 24 00:01:23,600 --> 00:01:26,440 Speaker 1: while Nastack futures are down fifty one. The decks in 25 00:01:26,480 --> 00:01:29,680 Speaker 1: Germany's down about six tenths of uppercent ten year treasury 26 00:01:29,720 --> 00:01:32,760 Speaker 1: down thirteen thirty seconds, yield four point oh five percent 27 00:01:32,800 --> 00:01:34,679 Speaker 1: in the yield on the two year four point four 28 00:01:34,800 --> 00:01:37,840 Speaker 1: three percent. Nathan, Karen, we begin with another tech earnings 29 00:01:37,840 --> 00:01:41,039 Speaker 1: disappointment to day after Microsoft and Google shares plunge. We're 30 00:01:41,040 --> 00:01:45,200 Speaker 1: watching shares of meta platforms faullent. This morning, the Facebook 31 00:01:45,200 --> 00:01:48,120 Speaker 1: owner gave a revenue forecast on the low end of estimates. 32 00:01:48,280 --> 00:01:50,400 Speaker 1: We get more from Bloomberg, said Ludlow in our nine 33 00:01:50,440 --> 00:01:53,320 Speaker 1: sixty news room in San Francisco. What spooked investors, at 34 00:01:53,360 --> 00:01:56,640 Speaker 1: least in the first instance, was the tepid forecast met 35 00:01:56,720 --> 00:01:59,160 Speaker 1: a gay for sales in the current period. Revenue will 36 00:01:59,200 --> 00:02:02,600 Speaker 1: be between ty and thirty two point five billion dollars 37 00:02:02,760 --> 00:02:06,600 Speaker 1: in the final three months of this year, below street expectations. 38 00:02:06,600 --> 00:02:08,840 Speaker 1: And the story is when we know the softening ad 39 00:02:08,840 --> 00:02:12,120 Speaker 1: market is hurting Meta. We went into this knowing that 40 00:02:12,160 --> 00:02:14,240 Speaker 1: would be the case, but as the cool started and 41 00:02:14,280 --> 00:02:17,720 Speaker 1: went on, it became clear that actually what spooking investors 42 00:02:17,880 --> 00:02:21,679 Speaker 1: is Meta and Zuckerberg's commitment to fuel and fund this 43 00:02:21,840 --> 00:02:25,560 Speaker 1: transition to the metaverse. Zuckerberg said that actually, on a 44 00:02:25,639 --> 00:02:29,120 Speaker 1: year on year basis, Meta reality labs would continue to 45 00:02:29,200 --> 00:02:33,239 Speaker 1: have growing losses above lowth For Bloomberg News in San Francisco, 46 00:02:33,560 --> 00:02:36,640 Speaker 1: great things and big keek Ernie's continue today. We have 47 00:02:36,680 --> 00:02:39,840 Speaker 1: a pair of giants reporting this afternoon, and Bloomberg's Jeff 48 00:02:39,880 --> 00:02:43,400 Speaker 1: Bellinger has more. Apple and Amazon are both scheduled to 49 00:02:43,440 --> 00:02:47,400 Speaker 1: report after the market's closed today. Analysts went Bush Securities 50 00:02:47,480 --> 00:02:50,919 Speaker 1: say higher iPhone prices and an improving supply chain may 51 00:02:50,919 --> 00:02:54,960 Speaker 1: have helped Apple beat revenue forecast. The Ease Securities says 52 00:02:55,120 --> 00:02:59,160 Speaker 1: Amazon likely posted faster revenue growth for online stores and 53 00:02:59,280 --> 00:03:03,280 Speaker 1: third party solers, but both companies face headwinds. Ample is 54 00:03:03,320 --> 00:03:06,120 Speaker 1: dealing with the stronger dollar and weakness in China, and 55 00:03:06,240 --> 00:03:09,560 Speaker 1: a whole hume Second Prime Day event at Amazon suggested 56 00:03:09,639 --> 00:03:13,639 Speaker 1: more spending is going offline. Jeff Belinger Bloom Bird Day 57 00:03:13,639 --> 00:03:17,000 Speaker 1: break alright, Jeff, thanks back to the market now. Futures 58 00:03:17,040 --> 00:03:20,640 Speaker 1: are mixed ahead of those earnings and despite disappointing results 59 00:03:20,639 --> 00:03:23,720 Speaker 1: from Meta. Morgan Stanley's Mike Wilson is a well known 60 00:03:23,840 --> 00:03:27,119 Speaker 1: stock market skeptic who correctly predicted this year's slump. Now 61 00:03:27,160 --> 00:03:29,880 Speaker 1: he thinks the bear market in US equities could conclude 62 00:03:30,000 --> 00:03:32,760 Speaker 1: sooner than any think. Ultimately, the bear market will be over, 63 00:03:32,840 --> 00:03:35,160 Speaker 1: probably some time in the first quarter. Now, all this 64 00:03:35,440 --> 00:03:37,920 Speaker 1: is you know, subject to revision, right, So I want 65 00:03:37,920 --> 00:03:40,080 Speaker 1: to make it perfectly clear. If the market starts to 66 00:03:40,080 --> 00:03:43,240 Speaker 1: trade off again and the SMP breaks down and blows 67 00:03:43,240 --> 00:03:45,840 Speaker 1: through thirty six fifty on the down side, will be 68 00:03:45,840 --> 00:03:48,640 Speaker 1: bears again. Morgan Stanley's Mike Wilson was ranked the number 69 00:03:48,640 --> 00:03:52,960 Speaker 1: one portfolio strategist in the latest Institutional Investor survey. Well 70 00:03:53,000 --> 00:03:55,760 Speaker 1: in Europe, nathan A Bank and turmoil is front and center. 71 00:03:55,800 --> 00:03:58,880 Speaker 1: This morning. Shares our credit suites are down almost eleven 72 00:03:58,880 --> 00:04:02,240 Speaker 1: percent after posting its fourth straight quarterly lost. The Swiss 73 00:04:02,280 --> 00:04:05,000 Speaker 1: Bank is unveiling a massive turnaround plan which includes a 74 00:04:05,000 --> 00:04:07,720 Speaker 1: four billion dollar capital raise, a curve out of its 75 00:04:07,720 --> 00:04:10,560 Speaker 1: investment bank, and thousands of job cuts. It's the most 76 00:04:10,640 --> 00:04:13,760 Speaker 1: urgent attempting yet to repair credit sweezed after huge losses 77 00:04:13,800 --> 00:04:17,560 Speaker 1: and management chaos. We spoke this morning with CEO Alrick Kerner. 78 00:04:17,839 --> 00:04:20,039 Speaker 1: What is the new Credits fiz. You know, it's a 79 00:04:20,120 --> 00:04:25,040 Speaker 1: much simpler, more stable, much more focused bank going forward 80 00:04:25,720 --> 00:04:33,280 Speaker 1: which will deliver sustainably profitable results to our shareholders. Credits Free. 81 00:04:33,279 --> 00:04:35,440 Speaker 1: CEO Alreck Kerner may have a come as in an 82 00:04:35,440 --> 00:04:38,479 Speaker 1: interview with Bloomberg's Francy Lagoise. Stay tuned for more in 83 00:04:38,520 --> 00:04:42,320 Speaker 1: that conversation coming up shortly on Bloomberg daybreak. Staying in Europe, Karen, 84 00:04:42,400 --> 00:04:44,360 Speaker 1: it is a big day for the European Central Bank. 85 00:04:44,400 --> 00:04:46,320 Speaker 1: The e c V is expected to lift its main 86 00:04:46,360 --> 00:04:48,680 Speaker 1: interest straight to the highest level in more than a decade. 87 00:04:48,960 --> 00:04:52,239 Speaker 1: We get a preview from Bloomberg's leand Garns. A seventy 88 00:04:52,279 --> 00:04:55,960 Speaker 1: five basis point hike is a consensus view for today's 89 00:04:56,000 --> 00:04:59,640 Speaker 1: policy decision from the e c B. Anything else would 90 00:04:59,640 --> 00:05:02,920 Speaker 1: be a big surprise, so looking past the recession fears 91 00:05:03,200 --> 00:05:07,280 Speaker 1: to keep a targeting inflation. Less clear though, is whether 92 00:05:07,440 --> 00:05:11,440 Speaker 1: we'll get any indications around a timeline for quantitative tightening 93 00:05:11,800 --> 00:05:15,880 Speaker 1: and something investors are watching closely. Any moves to limit 94 00:05:15,920 --> 00:05:19,599 Speaker 1: the gains banks on making from the ECB's crisis program 95 00:05:19,680 --> 00:05:23,920 Speaker 1: of cheap loans in London. I'm Leanne Geron's Bloomboat Daybreak 96 00:05:24,160 --> 00:05:27,240 Speaker 1: lean thanks Becker. In the US, economic growth isn't focused. 97 00:05:27,240 --> 00:05:30,440 Speaker 1: The government issues data on third quarter GDP this morning 98 00:05:30,720 --> 00:05:33,360 Speaker 1: forecast call for again at two point four percent, and 99 00:05:33,400 --> 00:05:37,039 Speaker 1: Bloomberg's Vinydale Judais has more GDP posted back to back 100 00:05:37,080 --> 00:05:40,440 Speaker 1: losses in the first and second quarters. Bloomberg Economics says 101 00:05:40,480 --> 00:05:43,919 Speaker 1: the third quarters headline rebound may conceal trouble in the 102 00:05:44,040 --> 00:05:48,000 Speaker 1: details such as sales and business inventorys. There are other 103 00:05:48,200 --> 00:05:51,839 Speaker 1: U s data on tap today. Manufacturing data factory owners 104 00:05:51,880 --> 00:05:56,320 Speaker 1: for durable goods may indicate moderation reflecting US inflation fears 105 00:05:56,360 --> 00:05:59,800 Speaker 1: in the US labor market. Bloomberg Economics as weekly jobless 106 00:06:00,200 --> 00:06:04,560 Speaker 1: will probably continue to cover around historic close the Bloomberg 107 00:06:04,600 --> 00:06:07,440 Speaker 1: day Break. Okay, Vinny, thank you. Let's turn to geopolitics 108 00:06:07,440 --> 00:06:10,480 Speaker 1: now and the potential setback for President Biden's economic pressure 109 00:06:10,480 --> 00:06:13,400 Speaker 1: on Russia. The administration is now being forced to rework 110 00:06:13,440 --> 00:06:16,560 Speaker 1: its plans for price caps on Russian oil, Bloomberg said, 111 00:06:16,600 --> 00:06:18,919 Speaker 1: Baxter has the story. It looks like they're going to 112 00:06:19,000 --> 00:06:21,080 Speaker 1: have to scale back their plans and light of the 113 00:06:21,120 --> 00:06:24,960 Speaker 1: volatility in the markets. Instead of strangling the Kremlin's oil 114 00:06:25,040 --> 00:06:28,719 Speaker 1: revenues by imposing a strict lid on prices, US and 115 00:06:28,920 --> 00:06:31,400 Speaker 1: European Union are likely to have to settle for more 116 00:06:31,480 --> 00:06:34,640 Speaker 1: loosely police cap at a higher price than once in vision. 117 00:06:35,160 --> 00:06:37,880 Speaker 1: An earlier iteration of the plan had the cap and 118 00:06:37,880 --> 00:06:40,839 Speaker 1: the range of forty to sixty dollars per barrel, but 119 00:06:40,920 --> 00:06:43,040 Speaker 1: now it looks like it will have to be much higher. 120 00:06:43,440 --> 00:06:47,200 Speaker 1: In San Francisco, I'm at Baxter Bloomberg Daybreak and thanks. Finally, 121 00:06:47,200 --> 00:06:49,880 Speaker 1: the world's richest man is telling Twitter employees he does 122 00:06:49,920 --> 00:06:53,000 Speaker 1: not plan to cut of staff. Bloomberg News has learned 123 00:06:53,000 --> 00:06:56,000 Speaker 1: that Elon Musk denied those numbers and an address to 124 00:06:56,040 --> 00:06:59,440 Speaker 1: workers at the company's San Francisco office. Still, the billionaires 125 00:06:59,440 --> 00:07:01,680 Speaker 1: still expect you to cut some staff when he takes 126 00:07:01,720 --> 00:07:04,479 Speaker 1: over the company. The four billion dollar deal is expected 127 00:07:04,520 --> 00:07:06,800 Speaker 1: to close tomorrow. Yeah. Bloomberg day Break is brought to 128 00:07:06,839 --> 00:07:09,840 Speaker 1: you by Sei, built on advanced technologies and fifty years 129 00:07:09,840 --> 00:07:13,400 Speaker 1: of Innovation. SEI offers asset managers a comprehensive and flexible 130 00:07:13,400 --> 00:07:17,200 Speaker 1: operations outsourcing platform. Go to se i C dot com 131 00:07:17,240 --> 00:07:24,560 Speaker 1: slash managers. This is Bloomberg and it is now six 132 00:07:24,600 --> 00:07:27,000 Speaker 1: oh seven on Wall Street. It's fifty seven degrees in 133 00:07:27,040 --> 00:07:30,000 Speaker 1: Central Park. So got that overturn tractor trailer in Rockaway 134 00:07:30,000 --> 00:07:32,160 Speaker 1: westbound Route eighty. We'll tell you more in traffic First, 135 00:07:32,240 --> 00:07:33,960 Speaker 1: Michael Barr is here with what else is going on 136 00:07:34,000 --> 00:07:36,040 Speaker 1: in New York and around the world. Michael, thank you 137 00:07:36,120 --> 00:07:39,920 Speaker 1: very much. Nathan, New Jersey Democratic Senator Robert Menendez faces 138 00:07:39,960 --> 00:07:43,720 Speaker 1: another federal investigation about five years after a trial on 139 00:07:43,840 --> 00:07:48,160 Speaker 1: federal corruption charges ended in a mistrial. A Menendez advisor 140 00:07:48,240 --> 00:07:51,920 Speaker 1: says Senator Menendez is aware of an investigation, However, he 141 00:07:52,040 --> 00:07:55,720 Speaker 1: does not know the scope of the investigation. The probe 142 00:07:55,760 --> 00:07:59,040 Speaker 1: is being conducted by federal prosecutors in the Southern District 143 00:07:59,040 --> 00:08:03,640 Speaker 1: of New York. President Biden warned Russia's of Vladimir Putin 144 00:08:03,680 --> 00:08:06,200 Speaker 1: that any use of a nuclear weapon would be an 145 00:08:06,280 --> 00:08:10,720 Speaker 1: incredibly serious mistake. It comes as Russia says it carried 146 00:08:10,720 --> 00:08:16,760 Speaker 1: out military exercises simulating a retaliatory nuclear strike. Meanwhile, former 147 00:08:16,880 --> 00:08:21,320 Speaker 1: U s Special Representative for Ukraine negotiations and former ambassador 148 00:08:21,360 --> 00:08:25,520 Speaker 1: to NATO Kurt Volker talked about Russia's claims without evidence 149 00:08:25,720 --> 00:08:29,800 Speaker 1: that Kiev's forces intend to use a so called dirty bomb. 150 00:08:30,040 --> 00:08:32,680 Speaker 1: But what Putin is doing is he is trying to 151 00:08:32,720 --> 00:08:35,960 Speaker 1: get inside the heads of leaders in the West to 152 00:08:36,040 --> 00:08:38,959 Speaker 1: make them feel that this is too dangerous and we 153 00:08:39,040 --> 00:08:42,240 Speaker 1: have to tell the Ukrainians to surrender somehow, give up territory, 154 00:08:42,440 --> 00:08:46,720 Speaker 1: you know, concede to putin something. Former NATO ambassador Kurt 155 00:08:46,760 --> 00:08:50,040 Speaker 1: Volkers spoke on sound on which airs at five pm 156 00:08:50,080 --> 00:08:54,520 Speaker 1: on Bloomberg. Iranian security forces opened fire on protesters in 157 00:08:54,559 --> 00:08:57,240 Speaker 1: the past forty days. Thousands of people have taken to 158 00:08:57,440 --> 00:08:59,959 Speaker 1: the streets to denounce the depth of a twenty two 159 00:09:00,040 --> 00:09:03,439 Speaker 1: year old woman in custody of the country's morality police. 160 00:09:03,920 --> 00:09:07,760 Speaker 1: She was accused of breaking iron strict dress code. State 161 00:09:07,800 --> 00:09:12,120 Speaker 1: Department spokesperson Dant Patel reiterated u S efforts to support 162 00:09:12,160 --> 00:09:15,040 Speaker 1: protesters in more than a hundred cities in Iran. The 163 00:09:15,080 --> 00:09:20,800 Speaker 1: regime's ongowing violent crackdown, pervasive surveillance of citizens and disruption 164 00:09:20,960 --> 00:09:25,160 Speaker 1: of communications are the latest reminder of the Islamic Republic's 165 00:09:25,400 --> 00:09:29,600 Speaker 1: flavorance disregard for the fundamental freedoms and human rights of 166 00:09:29,640 --> 00:09:33,000 Speaker 1: her audience. Spokesman Patel says Iran's leadership is facing a 167 00:09:33,040 --> 00:09:35,719 Speaker 1: problem of its own making. With just weeks until the 168 00:09:35,760 --> 00:09:39,040 Speaker 1: midterm elections, a second woman has come forward claiming that 169 00:09:39,080 --> 00:09:41,960 Speaker 1: she got pregnant and then had an abortion paid for 170 00:09:42,120 --> 00:09:46,600 Speaker 1: by Georgia GOP senate candidate Herschel Walker. Walker addressed Jane 171 00:09:46,640 --> 00:09:50,440 Speaker 1: Doe's allegations during a campaign event, saying he is done 172 00:09:50,440 --> 00:09:54,440 Speaker 1: with his foolishness and denied the allegations. Global News twenty 173 00:09:54,440 --> 00:09:57,360 Speaker 1: four hours a day on air and on Bloomberg Quicktake, 174 00:09:57,600 --> 00:10:00,680 Speaker 1: powered by more than seven under journalists analyst more than 175 00:10:01,120 --> 00:10:04,319 Speaker 1: twenty countries. I'm Michael Barr and this is Bloomberg Nathan, 176 00:10:04,360 --> 00:10:10,959 Speaker 1: Thanks Michael. Almost six ten on All Street Time with 177 00:10:10,960 --> 00:10:13,200 Speaker 1: the Bloomberg Sports Update. Bryant you by tri stayed out. 178 00:10:13,200 --> 00:10:15,360 Speaker 1: He with John Stah all right, Nathan and Knicks back 179 00:10:15,440 --> 00:10:17,840 Speaker 1: this season with pretty much the same roster, with one 180 00:10:18,240 --> 00:10:21,120 Speaker 1: exception the edition of Jalen Brunts in the new Knick 181 00:10:21,200 --> 00:10:24,000 Speaker 1: point guard on display at the guard and twenty seven 182 00:10:24,000 --> 00:10:28,000 Speaker 1: points third seen assists seven rebounds. Knick speech Charlotte one one, 183 00:10:28,080 --> 00:10:29,720 Speaker 1: thirty one and overtime. They're up to a three and 184 00:10:29,760 --> 00:10:32,320 Speaker 1: one start. Worth noting they began last season five and 185 00:10:32,400 --> 00:10:35,160 Speaker 1: one and still ended up with down here missing the playoffs. 186 00:10:35,200 --> 00:10:37,640 Speaker 1: And that's just one in three. Lost in Milwaukee one 187 00:10:37,720 --> 00:10:40,160 Speaker 1: ten to ninety nine. Too much Jannis done to the 188 00:10:40,200 --> 00:10:43,600 Speaker 1: compo forty three points. Kevin Duran had thirty three. Steve 189 00:10:43,679 --> 00:10:46,240 Speaker 1: Nash got objected the first time his coaching career. Lebron 190 00:10:46,360 --> 00:10:48,800 Speaker 1: James had not started the season oh and four since 191 00:10:48,920 --> 00:10:51,800 Speaker 1: his rookie year in Cleveland twenty years ago. The Lakers 192 00:10:51,800 --> 00:10:54,960 Speaker 1: are owing four. They lost in Denver. Rangers started three 193 00:10:54,960 --> 00:10:57,320 Speaker 1: and one. They've lost their last four. They've score only 194 00:10:57,360 --> 00:10:59,880 Speaker 1: five goals over those four games. Shut out at the 195 00:11:00,240 --> 00:11:03,360 Speaker 1: ES Arena by the Islanders. Zelia Surokan, Kyle Palm Mary 196 00:11:03,440 --> 00:11:06,760 Speaker 1: scored twice the Isles one three nothing. Week eight starts 197 00:11:06,800 --> 00:11:09,360 Speaker 1: tonight at Tampa Bay, where Tom Brady the Bucks just 198 00:11:09,520 --> 00:11:12,520 Speaker 1: three and four. They take on Baltimore Giants. Look for 199 00:11:12,600 --> 00:11:15,080 Speaker 1: US seven and one start Sunday in Seattle. A lot 200 00:11:15,160 --> 00:11:18,960 Speaker 1: of reasons for the Giants improvement, but one certainly Daniel Jones, 201 00:11:19,000 --> 00:11:21,079 Speaker 1: having thrown only two in their steps. We're trying to 202 00:11:21,080 --> 00:11:22,920 Speaker 1: make quicker decisions, trying to get the ball out my 203 00:11:22,960 --> 00:11:24,920 Speaker 1: hands as as soon as possible. I don't think that's 204 00:11:24,920 --> 00:11:27,760 Speaker 1: any different from things I've done in the past. I 205 00:11:27,760 --> 00:11:29,920 Speaker 1: think you know, you're you're better at it every week 206 00:11:30,000 --> 00:11:31,840 Speaker 1: and and I'm certainly better at it and I've been 207 00:11:32,440 --> 00:11:34,920 Speaker 1: in the past. So uh, that's the goal for me, 208 00:11:35,040 --> 00:11:37,560 Speaker 1: is that can continue to be quicker and and uh 209 00:11:37,679 --> 00:11:39,240 Speaker 1: make the right decision get the ball in the hand. 210 00:11:39,320 --> 00:11:41,800 Speaker 1: Jones was just named NFC Offensive Player of the Week. 211 00:11:41,880 --> 00:11:44,440 Speaker 1: How Steinbrenner's first comment since the end of the season, 212 00:11:44,480 --> 00:11:46,760 Speaker 1: the Yankees owner said he doesn't see the Yanks not 213 00:11:46,960 --> 00:11:51,640 Speaker 1: keeping manager Aaron Boom John stas Sports Thanks john SMP 214 00:11:51,800 --> 00:11:54,160 Speaker 1: futures up three point, staff features up a hundred nine, 215 00:11:54,200 --> 00:11:58,040 Speaker 1: nastac features lower by forty three points. Meta platform shares 216 00:11:58,080 --> 00:12:01,160 Speaker 1: down almost twenty points. We'll talk about the numbers with 217 00:12:01,280 --> 00:12:07,319 Speaker 1: Alex Webb of Bloomberg. Quick Take. This is Bloomberg and 218 00:12:07,360 --> 00:12:09,480 Speaker 1: the Bloomberg Sports Report was brought to you by Audie. 219 00:12:09,480 --> 00:12:11,600 Speaker 1: Don't let someone else drive off in the autie model. 220 00:12:11,679 --> 00:12:14,040 Speaker 1: You've always wanted to visit your local Tri state autie 221 00:12:14,040 --> 00:12:16,240 Speaker 1: dealer to get behind the wheel of yours today, or 222 00:12:16,320 --> 00:12:23,400 Speaker 1: visit autie Offers dot com for more information, markets, headlines 223 00:12:23,440 --> 00:12:26,400 Speaker 1: and breaking news twenty four hours a day at Bloomberg 224 00:12:26,480 --> 00:12:29,880 Speaker 1: dot com. The Bloomberg Business Outland at Bloomberg Quick Tape 225 00:12:30,559 --> 00:12:39,920 Speaker 1: is a Bloomberg Business Flash and I'm Karen Moscow. NASDACK 226 00:12:40,000 --> 00:12:44,520 Speaker 1: futures lower this morning as Meta Platforms drops almost twenty 227 00:12:44,600 --> 00:12:48,080 Speaker 1: percent in early trading after reporting earnings. NASDAG futures are 228 00:12:48,120 --> 00:12:51,080 Speaker 1: down forty two points s and P futures they're little changed. 229 00:12:51,440 --> 00:12:53,720 Speaker 1: DAL future is up one six and the decks in 230 00:12:53,760 --> 00:12:57,000 Speaker 1: Germany's down seven tenths of a percent. Ten year treasury 231 00:12:57,040 --> 00:12:59,880 Speaker 1: down fourteen thirty seconds, held four point six percent yield 232 00:12:59,920 --> 00:13:01,800 Speaker 1: up a two year four point for a three percent 233 00:13:02,240 --> 00:13:05,040 Speaker 1: Nimex fruit oil is up a tenth of upper sent 234 00:13:05,120 --> 00:13:07,440 Speaker 1: now of eighth cents at eighty seven dollars ninety nine cents, 235 00:13:07,480 --> 00:13:10,200 Speaker 1: and Barrel Kovec called up two tenths per cent or 236 00:13:10,240 --> 00:13:13,080 Speaker 1: three dollars at sixty and sixty six twenty announced and 237 00:13:13,160 --> 00:13:15,680 Speaker 1: the euro is at one point zero zero four three 238 00:13:15,720 --> 00:13:18,520 Speaker 1: against the dollar. That's a Bloomberg Business Flying show. Here's 239 00:13:18,559 --> 00:13:20,920 Speaker 1: Michael Barr with more on what's going on around the world, 240 00:13:20,960 --> 00:13:24,120 Speaker 1: Michael Karen, thank you very much. Russia carried out military 241 00:13:24,160 --> 00:13:29,280 Speaker 1: exercises simulating a retaliatory nuclear strike, as President Joe Biden 242 00:13:29,280 --> 00:13:32,640 Speaker 1: warned Vladimir Putin that any use of a nuclear weapon 243 00:13:32,679 --> 00:13:37,400 Speaker 1: would be an incredibly serious mistake. Secretary of State Anthony 244 00:13:37,440 --> 00:13:41,000 Speaker 1: Blincoln accused China of undermining the decades long status quo 245 00:13:41,520 --> 00:13:44,719 Speaker 1: that has kept both nations from going to war over Taiwan, 246 00:13:45,200 --> 00:13:48,120 Speaker 1: saying Beijing was trying to speed up at seizure of 247 00:13:48,160 --> 00:13:51,480 Speaker 1: the island. A second woman has come forward claiming Georgia 248 00:13:51,600 --> 00:13:55,359 Speaker 1: Senate candidate Herschel Walker paid for her to have an aborship. 249 00:13:55,640 --> 00:13:59,160 Speaker 1: Walker denied the allegations, saying I am done with this foolishness. 250 00:13:59,520 --> 00:14:01,640 Speaker 1: In the end, YEA the next one. In overtime over 251 00:14:01,679 --> 00:14:05,559 Speaker 1: the Hornets on one, the Net's lost in hockey, The 252 00:14:05,600 --> 00:14:09,200 Speaker 1: Islanders blanked Rangers. Three Zip Global News twenty four hours 253 00:14:09,200 --> 00:14:12,559 Speaker 1: a day on air and on Bloomberg Quicktake, powered by 254 00:14:12,600 --> 00:14:16,760 Speaker 1: more than under journalists and lest more than twenty countries. 255 00:14:17,200 --> 00:14:21,080 Speaker 1: Michael Barr and this is Bloomberg. Thanks Michael. Six nineteen 256 00:14:21,160 --> 00:14:24,360 Speaker 1: Now on Wall Street Live from the Bloomberg Interactive Brokers Studios. 257 00:14:24,400 --> 00:14:27,200 Speaker 1: This is Bloomberg Daybreak as we continue to keep our 258 00:14:27,240 --> 00:14:30,880 Speaker 1: focus on meta platforms. The latest big tech company to 259 00:14:30,960 --> 00:14:35,280 Speaker 1: report earnings, and the shares this morning are down nearly twenty. 260 00:14:35,720 --> 00:14:39,800 Speaker 1: It's a disappointing revenue forecast and the prospect for soaring 261 00:14:40,080 --> 00:14:44,760 Speaker 1: costs as the CEO Mark Zuckerberg continues his pivot away 262 00:14:44,760 --> 00:14:48,720 Speaker 1: from Facebook to the metaverse. Let's bring back Bloomberg Quick 263 00:14:48,760 --> 00:14:52,280 Speaker 1: Take correspondent Alex Webb for more on this. And it 264 00:14:52,360 --> 00:14:56,480 Speaker 1: really is a cost story, isn't it. Alex. Yes, we 265 00:14:56,560 --> 00:15:00,000 Speaker 1: knew that the revenue was not was going to decline. 266 00:15:00,040 --> 00:15:03,760 Speaker 1: It actually beat analyst expectations. The shock was really on 267 00:15:03,800 --> 00:15:07,040 Speaker 1: the bottom line, where on most of the profit measures 268 00:15:06,880 --> 00:15:10,960 Speaker 1: itself short of expectations, and that clearly reflects the the 269 00:15:11,040 --> 00:15:15,120 Speaker 1: capital that Facebook is now spending on new products that is, 270 00:15:15,160 --> 00:15:18,520 Speaker 1: of course metaverse hardware and software, but it's also like 271 00:15:18,600 --> 00:15:22,760 Speaker 1: efforts defend off TikTok, which is, you know, tearing into 272 00:15:22,880 --> 00:15:27,600 Speaker 1: its core market of uh online ads, particularly online ads 273 00:15:27,600 --> 00:15:31,200 Speaker 1: that target that lucative eighteen to thirty five year old demographics. 274 00:15:31,720 --> 00:15:35,440 Speaker 1: And we're seeing the difficulty that not just Facebook, but 275 00:15:35,720 --> 00:15:38,800 Speaker 1: a lot of other social media companies are finding now 276 00:15:39,080 --> 00:15:43,160 Speaker 1: getting that ad revenue in this difficult economic environment, and 277 00:15:43,320 --> 00:15:46,720 Speaker 1: that's supposed to be the underpinning for Zuckerberg's plans to 278 00:15:46,840 --> 00:15:50,360 Speaker 1: build out the metaverse. I mean, what's the challenge going forward? 279 00:15:51,560 --> 00:15:56,160 Speaker 1: The challenging basis is using the capital to invest in 280 00:15:56,200 --> 00:15:59,800 Speaker 1: something which he can convince investors is going to the 281 00:16:00,000 --> 00:16:04,200 Speaker 1: live a growth ultimately and then really delivering that growth 282 00:16:05,360 --> 00:16:07,880 Speaker 1: in order for the product to be appealing, and not 283 00:16:08,000 --> 00:16:10,640 Speaker 1: only has to be good technologically, but it needs to 284 00:16:10,680 --> 00:16:12,680 Speaker 1: be a platform. It needs to be a gateway into 285 00:16:12,720 --> 00:16:16,160 Speaker 1: loads of other fun, interesting experiences, and those experiences only 286 00:16:16,200 --> 00:16:19,239 Speaker 1: really come about if you've got a rich uh community 287 00:16:19,280 --> 00:16:23,200 Speaker 1: of developers and companies building products for your platform. That's 288 00:16:23,200 --> 00:16:27,000 Speaker 1: what Apple has um for um iOS, That's what Google 289 00:16:27,040 --> 00:16:30,560 Speaker 1: has for Android, and Apple has been laying the groundwork 290 00:16:30,640 --> 00:16:34,320 Speaker 1: for whatever it's augmented virtual reality product ends up looking 291 00:16:34,360 --> 00:16:37,480 Speaker 1: like for several years, so maybe five or six years, 292 00:16:37,520 --> 00:16:41,040 Speaker 1: where you can do augmented reality things on a fairly 293 00:16:41,120 --> 00:16:44,080 Speaker 1: rudimentary level. You can do augmented reality things with your iPhone. 294 00:16:45,000 --> 00:16:47,760 Speaker 1: The some of those products will then presumably be reported 295 00:16:47,800 --> 00:16:50,880 Speaker 1: into that new product that Apple will envailed, perhaps as 296 00:16:50,920 --> 00:16:54,040 Speaker 1: soon as next years. Facebook doesn't have those millions of developers. 297 00:16:54,360 --> 00:16:57,840 Speaker 1: So even if It's products is blockbuster when you know, 298 00:16:58,120 --> 00:17:03,200 Speaker 1: really matures, unless it has all of those opportunities within 299 00:17:03,240 --> 00:17:05,520 Speaker 1: its platform, it'll struggle to compete. Well, if we do, 300 00:17:05,640 --> 00:17:08,480 Speaker 1: I see Apple and more of a solid footing. Could 301 00:17:08,480 --> 00:17:11,440 Speaker 1: that mode well for the earnings that Apple reports after 302 00:17:11,480 --> 00:17:16,480 Speaker 1: the bell today? I think probably, given the cadence of 303 00:17:16,760 --> 00:17:19,600 Speaker 1: negative news that we've had from earning seasons so far, 304 00:17:19,880 --> 00:17:24,040 Speaker 1: expectations probably not all that high for Apple. We already 305 00:17:24,040 --> 00:17:27,080 Speaker 1: have reporting from our colleagues Mark German and Debbie Woo 306 00:17:27,080 --> 00:17:30,439 Speaker 1: about the number of iPhones they had planned to produce 307 00:17:30,480 --> 00:17:32,480 Speaker 1: in this quarter that they and that some of those 308 00:17:32,480 --> 00:17:34,639 Speaker 1: have maybe been tamped back a little bit already, so 309 00:17:34,880 --> 00:17:37,600 Speaker 1: we have some signals about how well it's going to do. 310 00:17:38,440 --> 00:17:41,120 Speaker 1: You know, Apple has managed to build a pretty resilient 311 00:17:41,200 --> 00:17:44,960 Speaker 1: business by beefing up its services offering that includes things 312 00:17:44,960 --> 00:17:47,920 Speaker 1: like iCloud, the app store, Apple Music, Apple TV, plus 313 00:17:47,920 --> 00:17:50,399 Speaker 1: all those sort of products. And the net effect of 314 00:17:50,400 --> 00:17:53,040 Speaker 1: those is that it blues people more tightly to their iPhones, 315 00:17:53,119 --> 00:17:56,159 Speaker 1: and so it makes it way harder to say, actually, 316 00:17:56,160 --> 00:17:58,080 Speaker 1: I'm going to scrap my iPhone and go to Android 317 00:17:58,080 --> 00:18:02,800 Speaker 1: because you've invested so heavily in ecosystem and that means 318 00:18:02,840 --> 00:18:05,440 Speaker 1: that even in these sort of climates where it can 319 00:18:05,440 --> 00:18:08,919 Speaker 1: be harder to sell the products, Apple manages it to 320 00:18:09,040 --> 00:18:14,320 Speaker 1: kind of do pretty well. So the optimism around Apple 321 00:18:14,400 --> 00:18:19,680 Speaker 1: is perhaps a little bit brighter happening recent weeks. Yeah, 322 00:18:19,760 --> 00:18:21,679 Speaker 1: we heard as well that Apple is going to be 323 00:18:21,760 --> 00:18:24,080 Speaker 1: raising prices on some of those services that so many 324 00:18:24,080 --> 00:18:27,680 Speaker 1: of those customers are glued to. We'll get those official numbers, 325 00:18:27,760 --> 00:18:30,959 Speaker 1: as I say, after the bell later this afternoon. Alex 326 00:18:31,000 --> 00:18:33,720 Speaker 1: Webb of Bloomberg Quicktake. As always, thanks for the double 327 00:18:33,800 --> 00:18:37,760 Speaker 1: duty this morning on Bloomberg Daybreak and once again checking 328 00:18:37,800 --> 00:18:40,399 Speaker 1: shares of meta platforms in the pre market. Karen, they 329 00:18:40,400 --> 00:18:43,479 Speaker 1: are down nineteen and a half percent. Well, Nathan, it 330 00:18:43,560 --> 00:18:46,520 Speaker 1: is on Wall Street and now we're going to bring 331 00:18:46,600 --> 00:18:50,159 Speaker 1: you back to our interview with credits Sweet CEO Ulray Kerner, 332 00:18:50,520 --> 00:18:53,840 Speaker 1: the banks unveiled a plan that includes a multibillion dollar 333 00:18:53,920 --> 00:18:57,280 Speaker 1: capital raised, massive job cuts, had a carve out of 334 00:18:57,320 --> 00:19:00,840 Speaker 1: the investment bag. CEO Ulrich kurr R talked about the 335 00:19:00,840 --> 00:19:03,840 Speaker 1: three year restructuring plan with the Bloomberg's Francy in laqua. 336 00:19:04,800 --> 00:19:06,919 Speaker 1: This is, as you say, a big day. We are 337 00:19:06,960 --> 00:19:08,720 Speaker 1: all there, that we are there, it's a big day 338 00:19:08,760 --> 00:19:12,320 Speaker 1: also for all our people when we're announcing now today 339 00:19:12,840 --> 00:19:15,120 Speaker 1: what is basically new credits with and what is new 340 00:19:15,119 --> 00:19:19,520 Speaker 1: credits wizz You know, it's a much simpler, more stable, 341 00:19:20,119 --> 00:19:25,600 Speaker 1: much more focused bank going forward which will deliver sustainably 342 00:19:26,400 --> 00:19:31,320 Speaker 1: profitable results to our shareholders. And what is very important 343 00:19:31,359 --> 00:19:34,520 Speaker 1: if we'm at here, how we how we came here, 344 00:19:34,560 --> 00:19:37,399 Speaker 1: so to say, we take a very hard look, you know, 345 00:19:37,480 --> 00:19:40,320 Speaker 1: at the needs of our clients and designed everything around 346 00:19:40,359 --> 00:19:42,920 Speaker 1: the needs of our clients. So what was your overarching theme? 347 00:19:42,960 --> 00:19:44,919 Speaker 1: How did you come up with this plan? What was 348 00:19:44,960 --> 00:19:49,200 Speaker 1: your reasoning and getting here? Many different reasons. I think 349 00:19:49,280 --> 00:19:53,040 Speaker 1: the as I said, the bank is slightly too complicated 350 00:19:53,160 --> 00:19:57,080 Speaker 1: it today the bank has parts which are not profitable enough, 351 00:19:57,280 --> 00:20:00,760 Speaker 1: as we all know from the share the perspective, and 352 00:20:00,840 --> 00:20:04,240 Speaker 1: that's why we came up with, you know, the need 353 00:20:04,320 --> 00:20:09,520 Speaker 1: of taking very decisive affections in mainly three different areas. 354 00:20:10,320 --> 00:20:14,159 Speaker 1: The one is radical restructuring off the investment bank. The 355 00:20:14,240 --> 00:20:18,159 Speaker 1: second one is significant reducing costs going forward as you 356 00:20:18,240 --> 00:20:21,159 Speaker 1: have seen, and the third one it is time for 357 00:20:21,240 --> 00:20:23,520 Speaker 1: the five things that you need to notice start your day. 358 00:20:23,560 --> 00:20:27,800 Speaker 1: Brought to you by Interactive Brokers ib Care. Event Trader 359 00:20:27,880 --> 00:20:31,040 Speaker 1: offers a new way to trade futures. Use event contracts 360 00:20:31,080 --> 00:20:33,520 Speaker 1: to trade your opinion on yes or no questions and 361 00:20:33,680 --> 00:20:37,200 Speaker 1: key CME futures markets. Learn more at event trader dot 362 00:20:37,240 --> 00:20:42,520 Speaker 1: Interactive Brokers dot com up first. Shares of Meta Platforms 363 00:20:42,560 --> 00:20:45,960 Speaker 1: are down about nineteen and a half percent in early 364 00:20:46,000 --> 00:20:49,000 Speaker 1: trading after the company gave a disappointing outlook. It also 365 00:20:49,040 --> 00:20:53,320 Speaker 1: revealed ballooning costs to fund its virtual reality project, the Metaverse. 366 00:20:53,640 --> 00:20:57,240 Speaker 1: CEO Mark Zuckerberg pleaded patients on a call with investors, 367 00:20:57,640 --> 00:20:59,359 Speaker 1: I think we're going to resolve each of these things 368 00:20:59,400 --> 00:21:02,199 Speaker 1: over a different parents of time, and I appreciate the 369 00:21:02,200 --> 00:21:04,480 Speaker 1: patients and I think that those were patient and invest 370 00:21:04,520 --> 00:21:07,040 Speaker 1: with us to end up being rewarded. Mark Zuckerberg says 371 00:21:07,080 --> 00:21:09,760 Speaker 1: Meta's long term bets will pay off, but did not 372 00:21:09,920 --> 00:21:12,640 Speaker 1: explain further ill Sticking with big tech, Karen, we get 373 00:21:12,640 --> 00:21:15,679 Speaker 1: two massive earnings reports after the bell today when Apple 374 00:21:15,720 --> 00:21:19,400 Speaker 1: and Amazon report. Looking at Twitter, Bloomberg News has learned 375 00:21:19,440 --> 00:21:22,879 Speaker 1: Testas CEO Elon Moscow, set to take over the company tomorrow, 376 00:21:23,160 --> 00:21:26,320 Speaker 1: told employees. He does not plan to cut seventy of them, 377 00:21:26,400 --> 00:21:29,720 Speaker 1: as previously reported. Bloomberg's at Ludlow has more it didn't 378 00:21:29,800 --> 00:21:34,720 Speaker 1: explicitly rule out layoffs. Generally speaking, Um, he walked in 379 00:21:34,920 --> 00:21:38,159 Speaker 1: the Market Street office carrying a kitchen sinter there, and 380 00:21:38,240 --> 00:21:41,080 Speaker 1: I think that the joke was, this is really happening. 381 00:21:41,320 --> 00:21:44,399 Speaker 1: We should all let that same time, Bloomberg's aid Ludlow 382 00:21:44,440 --> 00:21:46,840 Speaker 1: says Elon Musk will meet with staff tomorrow, when his 383 00:21:46,880 --> 00:21:49,640 Speaker 1: forty four billion dollar deal to buy Twitter is set 384 00:21:49,640 --> 00:21:52,520 Speaker 1: to close. Nathan turning to the markets this morning, US 385 00:21:52,600 --> 00:21:56,440 Speaker 1: futures are mixed as earning season continues. Notorious bear Mike 386 00:21:56,480 --> 00:21:59,280 Speaker 1: Wilson says his team at Morgan Stanley believes the downward 387 00:21:59,280 --> 00:22:02,800 Speaker 1: trend in US equities may include soon. We're still bearish 388 00:22:02,800 --> 00:22:04,720 Speaker 1: in the intermediate term. We don't think the bear markets over, 389 00:22:04,840 --> 00:22:06,520 Speaker 1: but we do think this Tactico rally is going to 390 00:22:06,600 --> 00:22:08,439 Speaker 1: be big enough to try and pivot and trade it. 391 00:22:09,359 --> 00:22:12,640 Speaker 1: Morgan Stanley Chief equity strategist Mike Wilson says that outlook 392 00:22:12,680 --> 00:22:15,840 Speaker 1: could still change. Traders will also be watching economic data today. 393 00:22:16,119 --> 00:22:17,960 Speaker 1: We get are reading on third quarter US g d 394 00:22:18,080 --> 00:22:20,879 Speaker 1: P at eight thirty am well straight time over in Europe, 395 00:22:20,920 --> 00:22:23,480 Speaker 1: Karen banks are in focus, with Credit Suits down twelve 396 00:22:23,520 --> 00:22:26,600 Speaker 1: percent after posting its fourth straight quarterly loss. The bank 397 00:22:26,640 --> 00:22:29,800 Speaker 1: also unveiled a massive turnaround plan that includes a multibillion 398 00:22:29,800 --> 00:22:32,280 Speaker 1: dollar capital raise, a carve out of its investment bank, 399 00:22:32,359 --> 00:22:35,760 Speaker 1: and massive job cuts. CEO Rick Kerner spoke with us 400 00:22:35,800 --> 00:22:38,640 Speaker 1: about the plans. We want to go through the transformation 401 00:22:38,720 --> 00:22:41,639 Speaker 1: of the next three years with a very very strong 402 00:22:41,640 --> 00:22:45,840 Speaker 1: capital base. It will become profited with definitely from twenty 403 00:22:45,920 --> 00:22:49,880 Speaker 1: four onwards. CEO Rick Kerner says Credit Suits does plan 404 00:22:49,960 --> 00:22:54,200 Speaker 1: to be profitable again starting and we are watching earnings 405 00:22:54,240 --> 00:22:57,680 Speaker 1: cross the Bloomberg. Right now, we are hearing from Caterpillar. 406 00:22:57,760 --> 00:23:02,440 Speaker 1: It reported a third quarter profit beat analysts estimates. Southwest 407 00:23:02,520 --> 00:23:06,200 Speaker 1: also reporting its profit, beating analysts estimates as well. In 408 00:23:06,280 --> 00:23:09,600 Speaker 1: the third quarter. MERC also beast beating analysts estimates, and 409 00:23:09,640 --> 00:23:13,600 Speaker 1: it boosted its sales forecast for the fiscal year. Taking 410 00:23:13,600 --> 00:23:16,000 Speaker 1: a look at futures this morning, right now, S and 411 00:23:16,040 --> 00:23:19,160 Speaker 1: P futures are of about three points and now futures 412 00:23:19,160 --> 00:23:22,199 Speaker 1: of one thirty two and NASDAG futures are down forty 413 00:23:22,240 --> 00:23:24,480 Speaker 1: three and that's the five things that you need to 414 00:23:24,520 --> 00:23:27,760 Speaker 1: know to start your day. Brought to you by Interactor 415 00:23:27,840 --> 00:23:31,440 Speaker 1: Brokers and straight Ahead. Your latest local headlines, plus a 416 00:23:31,560 --> 00:23:38,920 Speaker 1: check of sports and this is Bloomberg. Thank you. Karen 417 00:23:38,960 --> 00:23:41,880 Speaker 1: sixe on Wall Street fifty seven degrees in Central Park. 418 00:23:41,960 --> 00:23:45,320 Speaker 1: Still got that overturned tractor trailer westbound eight in Rockaway. 419 00:23:45,400 --> 00:23:47,800 Speaker 1: Michael Barr is still here too. One on what's going 420 00:23:47,800 --> 00:23:49,760 Speaker 1: on in New York and around the world. Good morning, 421 00:23:49,800 --> 00:23:52,840 Speaker 1: like all, Good morning Nathan. Democratic Senator Bob and Ndez 422 00:23:52,920 --> 00:23:56,680 Speaker 1: of New Jersey, who avoided conviction on corruption charges five 423 00:23:56,760 --> 00:24:00,480 Speaker 1: years ago, is reportedly the subject of a new federal instication. 424 00:24:00,840 --> 00:24:05,480 Speaker 1: An adviser for the senator, Michael Suliman, says Senator Menendez 425 00:24:05,560 --> 00:24:07,919 Speaker 1: is aware of an investigation and whever he does not 426 00:24:08,119 --> 00:24:11,399 Speaker 1: know the scope of the investigation. No word on what 427 00:24:11,640 --> 00:24:15,160 Speaker 1: sort of alleged wrong doing was involved. Russia carried out 428 00:24:15,200 --> 00:24:20,200 Speaker 1: military exercises simulating a retaliatory nuclear strike, as President Joe 429 00:24:20,240 --> 00:24:23,160 Speaker 1: Biden warned Vladimir Putin that any use of a nuclear 430 00:24:23,160 --> 00:24:28,640 Speaker 1: weapon would be an incredibly serious mistake. Echoing Biden's warning 431 00:24:28,680 --> 00:24:32,399 Speaker 1: of grave consequences, Secretary of State Anthony Blincoln spoke in 432 00:24:32,440 --> 00:24:35,400 Speaker 1: an interview with Bloomberg. We haven't seen reason to change 433 00:24:35,400 --> 00:24:38,760 Speaker 1: our own nuclear posture, but it's something that we're tracking 434 00:24:38,840 --> 00:24:43,680 Speaker 1: very carefully. And we've also uh communicated directly and very 435 00:24:43,680 --> 00:24:47,680 Speaker 1: clearly to h to the Russians, to President Putin about 436 00:24:47,680 --> 00:24:51,800 Speaker 1: the consequences that would fall from any use of a 437 00:24:51,880 --> 00:24:55,360 Speaker 1: nuclear device. The Pentagon says the US had been notified 438 00:24:55,359 --> 00:24:58,720 Speaker 1: that Russia would conduct the exercise and compliance with arms 439 00:24:58,720 --> 00:25:02,080 Speaker 1: control obligations. New York City is expected to make a 440 00:25:02,160 --> 00:25:05,879 Speaker 1: historic appointment this morning. Laura Keimeno will be the first 441 00:25:05,960 --> 00:25:09,359 Speaker 1: woman f d n Y commissioner. Kevanaugh, who was the 442 00:25:09,400 --> 00:25:13,280 Speaker 1: second in command, has been acting commissioners since Daniel nigros 443 00:25:13,359 --> 00:25:16,840 Speaker 1: retirement in February. New York City will slash the number 444 00:25:16,880 --> 00:25:20,640 Speaker 1: of middle schools that rely on competitive admission criteria known 445 00:25:20,680 --> 00:25:24,800 Speaker 1: as screens, by nearly seventy in the coming academic year, 446 00:25:25,119 --> 00:25:28,760 Speaker 1: and increased the use of lotteries. According to the New 447 00:25:28,840 --> 00:25:31,720 Speaker 1: York City Department of Education, the number of screened middle 448 00:25:31,760 --> 00:25:37,160 Speaker 1: schools will decrease to fifty nine from one. School Chancellor 449 00:25:37,240 --> 00:25:41,040 Speaker 1: David Banks called it a simpler and favor process. This 450 00:25:41,240 --> 00:25:44,479 Speaker 1: is all alive. That's the response from the US Senate 451 00:25:44,560 --> 00:25:48,200 Speaker 1: candidate Herschel Walker to a second accusation from a former 452 00:25:48,240 --> 00:25:51,600 Speaker 1: girlfriend who says Walker paid for her to get an abortion. 453 00:25:51,960 --> 00:25:54,719 Speaker 1: Walker appearing at the campaign stop and Dillard George had 454 00:25:54,760 --> 00:25:58,119 Speaker 1: dismissed the matter as nothing more than a stunt brought 455 00:25:58,160 --> 00:26:01,879 Speaker 1: on by his political opponents. They got crushed at the debate. 456 00:26:02,560 --> 00:26:05,760 Speaker 1: Now the Democrats are doing say whatever they can. The 457 00:26:05,760 --> 00:26:08,640 Speaker 1: wind is five, wind is the seen. But I'll then 458 00:26:08,640 --> 00:26:11,000 Speaker 1: to know they don't know Hershel Walker Walker at and 459 00:26:11,080 --> 00:26:14,240 Speaker 1: I'm done with this foolishness. Global News twenty four hours 460 00:26:14,240 --> 00:26:17,080 Speaker 1: a day on air and on Bloomberg Quick Take, powered 461 00:26:17,080 --> 00:26:19,560 Speaker 1: by more than twenty seven hundred journalists analysts more than 462 00:26:19,560 --> 00:26:22,400 Speaker 1: a hundred twenty countries. Michael Barr, this is Bloomberg. Nathan, 463 00:26:22,520 --> 00:26:29,240 Speaker 1: Thanks Michael. Six thirty six on Wall Street Time with 464 00:26:29,240 --> 00:26:31,359 Speaker 1: the Bloomberg Sports Undate, brought to you by Try stayed 465 00:26:31,359 --> 00:26:33,520 Speaker 1: out here with John stash Our. All right, Nathan Nixt 466 00:26:33,520 --> 00:26:36,399 Speaker 1: who began their seasonal and overtime loss, had themselves an 467 00:26:36,400 --> 00:26:39,159 Speaker 1: overtime win at the Guard against Charlotte Knicks, led by 468 00:26:39,200 --> 00:26:41,440 Speaker 1: twelve and then trailed by five and just over two 469 00:26:41,440 --> 00:26:44,040 Speaker 1: minutes left. Janlon Brunson big three point and o t 470 00:26:44,160 --> 00:26:46,600 Speaker 1: and the Nicks one one thirty four, one thirty one. 471 00:26:46,640 --> 00:26:49,160 Speaker 1: Big night for Brunts in the new point guard scored 472 00:26:49,240 --> 00:26:52,400 Speaker 1: twenty seventy at thirteen assists, seven REBA. When we're not 473 00:26:52,400 --> 00:26:55,320 Speaker 1: playing our best and when we give up leads, how 474 00:26:55,359 --> 00:26:58,440 Speaker 1: can we respond? And those are signs of good teams 475 00:26:58,440 --> 00:27:00,000 Speaker 1: that we can do it consistently. I think we're gonna 476 00:27:00,000 --> 00:27:02,360 Speaker 1: pren our southen position where you can be the best 477 00:27:02,359 --> 00:27:05,120 Speaker 1: team we can be. But um, this is a good 478 00:27:05,119 --> 00:27:07,080 Speaker 1: step for us. We definitely gotta continue a better but 479 00:27:07,080 --> 00:27:09,000 Speaker 1: this is this is a good step after three home wins. 480 00:27:09,000 --> 00:27:11,800 Speaker 1: It'll be tougher for the next tomorrow in Milwaukee, Bucks 481 00:27:11,840 --> 00:27:13,720 Speaker 1: or three. You know, they just beat the Nets one 482 00:27:13,800 --> 00:27:15,840 Speaker 1: ten to ninety nine. Nets had a big second quarter. 483 00:27:15,880 --> 00:27:18,399 Speaker 1: They were up twelve with a half man outscored second 484 00:27:18,440 --> 00:27:21,680 Speaker 1: half sixty seven to forty four. The second half is 485 00:27:21,680 --> 00:27:24,080 Speaker 1: where Jana sent At the compos scored thirty four of 486 00:27:24,160 --> 00:27:27,400 Speaker 1: his forty three points. The U bas Arena Islanders shut 487 00:27:27,400 --> 00:27:29,879 Speaker 1: out the slumping Rangers three nothing, forty one saves for 488 00:27:29,960 --> 00:27:33,520 Speaker 1: Ilias Sirokan. Kyle Palmary scored twice. Rangers have scored only 489 00:27:33,600 --> 00:27:37,000 Speaker 1: five goals in their last four games. NFL Tonight, Baltimore 490 00:27:37,040 --> 00:27:40,120 Speaker 1: at slumping Tampa Bay Bucks just three and four. Tom 491 00:27:40,119 --> 00:27:43,000 Speaker 1: Brady hasn't had erected like that since forty years ago. 492 00:27:43,119 --> 00:27:45,440 Speaker 1: In New England's baking of the Patriots, They've visited the 493 00:27:45,520 --> 00:27:48,680 Speaker 1: Jets Sunday. The Pats have won the last twelve meetings 494 00:27:48,720 --> 00:27:52,080 Speaker 1: and Mac Jones will reportedly be their starting QB despite 495 00:27:52,080 --> 00:27:54,879 Speaker 1: getting bench the other night, the Giants Sunday in Seattle, 496 00:27:55,240 --> 00:27:58,520 Speaker 1: Giants has had two starting offensive linemen suffered knee injuries, 497 00:27:58,520 --> 00:28:01,480 Speaker 1: but Nick Gates has been act Evadi how sins Week 498 00:28:01,560 --> 00:28:04,840 Speaker 1: two last season when Gates suffered a gruesome leg injury 499 00:28:04,880 --> 00:28:09,160 Speaker 1: that needed seven surgery. But I'm stay Actually were Bloomberg Sports, 500 00:28:09,240 --> 00:28:11,640 Speaker 1: Thanks John sixty seven on Wall Street Time to take 501 00:28:11,640 --> 00:28:13,280 Speaker 1: a look at stock some of the names moving in 502 00:28:13,280 --> 00:28:16,240 Speaker 1: the pre market, Bloomberg radio and TV markets corresponding creating 503 00:28:16,280 --> 00:28:19,840 Speaker 1: gout is watching earnings crossed the Bloomberg just this morning. 504 00:28:19,840 --> 00:28:24,240 Speaker 1: But Meta Platforms is still overshadowing everything Creating. Oh absolutely, 505 00:28:24,280 --> 00:28:26,800 Speaker 1: it is taking the cake in terms of simply the 506 00:28:26,920 --> 00:28:30,200 Speaker 1: the story to know. Meta Platforms M E. T. A 507 00:28:30,200 --> 00:28:32,800 Speaker 1: is your taker formally known as Facebook. We should add 508 00:28:33,000 --> 00:28:36,000 Speaker 1: down about twenty in the pre market. But it's interesting 509 00:28:36,000 --> 00:28:37,639 Speaker 1: because there's a little bit of a ripple effect here, 510 00:28:37,680 --> 00:28:39,680 Speaker 1: and I'm no surprise they did say they're dealing with 511 00:28:39,720 --> 00:28:41,480 Speaker 1: a lot of the issues that you heard in Alphabet 512 00:28:41,480 --> 00:28:44,480 Speaker 1: and Microsoft's earnings as well, inflation, higher costs as well, 513 00:28:44,680 --> 00:28:47,640 Speaker 1: but they really emphasize this idea about just how much 514 00:28:47,680 --> 00:28:50,800 Speaker 1: they're investing on the metaverse and just how much that's 515 00:28:50,840 --> 00:28:52,960 Speaker 1: going to cost and eat into their bottom line. But 516 00:28:53,600 --> 00:28:55,880 Speaker 1: Mark Zuckerberg coming out and saying, you know what, guys 517 00:28:56,000 --> 00:28:58,600 Speaker 1: stick with us, have faith in the long term process, 518 00:28:58,760 --> 00:29:01,680 Speaker 1: trying to reassure investors it's not really working out for 519 00:29:01,720 --> 00:29:04,040 Speaker 1: the shares this morning. And remember shares were already down 520 00:29:04,280 --> 00:29:08,800 Speaker 1: about this year now and down another in the pre market, 521 00:29:08,880 --> 00:29:11,920 Speaker 1: so that's going to be significant. But what's also interesting 522 00:29:12,000 --> 00:29:15,160 Speaker 1: is as he talked about these kind of skyrocketing costs, 523 00:29:15,200 --> 00:29:18,640 Speaker 1: these investments into the metaverse, there's another company that benefited 524 00:29:18,760 --> 00:29:20,680 Speaker 1: off of that, and that is in Video n v 525 00:29:20,880 --> 00:29:23,560 Speaker 1: D A your taker up two point nine percent. Now 526 00:29:23,600 --> 00:29:26,000 Speaker 1: we know a lot of these type of chip companies, 527 00:29:26,040 --> 00:29:29,040 Speaker 1: and Video specifically have been trying to branch out and 528 00:29:29,080 --> 00:29:33,240 Speaker 1: diversify a little bit, and Video specifically also makes chips 529 00:29:33,240 --> 00:29:36,880 Speaker 1: for data warehouses, data warehouses that one day could power 530 00:29:37,040 --> 00:29:39,600 Speaker 1: the metaverse. So the idea here being that if Facebook 531 00:29:39,960 --> 00:29:43,640 Speaker 1: UH or Meta now known as Meta actually invests more 532 00:29:43,720 --> 00:29:47,360 Speaker 1: and more in their kind of metaverse technology, and the 533 00:29:47,440 --> 00:29:50,800 Speaker 1: underlying servers and video actually benefits because they get that 534 00:29:50,840 --> 00:29:54,880 Speaker 1: business from Facebook. So kind of a little interesting domino effect. Well, 535 00:29:54,960 --> 00:29:57,080 Speaker 1: let's talk about some of these earnings that just crossed 536 00:29:57,120 --> 00:30:00,000 Speaker 1: a few beats this morning, creating a few beats this more. 537 00:30:00,000 --> 00:30:01,840 Speaker 1: And I'm gonna start with Southwest here because some good 538 00:30:01,920 --> 00:30:04,480 Speaker 1: numbers coming out of there, up about four percent in 539 00:30:04,600 --> 00:30:07,240 Speaker 1: the pre market. The tickers l u V now they 540 00:30:07,240 --> 00:30:09,160 Speaker 1: did come out and they said they're actually seeing a 541 00:30:09,280 --> 00:30:13,400 Speaker 1: passenger revenue come out about five point six billion dollars UH. 542 00:30:13,440 --> 00:30:15,680 Speaker 1: The estimate was five point six six, so about in line, 543 00:30:15,680 --> 00:30:17,440 Speaker 1: which is good news for a lot of these airlines 544 00:30:17,440 --> 00:30:20,960 Speaker 1: that are perhaps looking at a consumer that is less 545 00:30:21,040 --> 00:30:25,120 Speaker 1: willing to spend perhaps. Nevertheless, it is boosting those shares. 546 00:30:25,160 --> 00:30:26,880 Speaker 1: You also have Mark by the way, m r K 547 00:30:27,160 --> 00:30:29,840 Speaker 1: is your ticker, another beat for them, up about six 548 00:30:29,840 --> 00:30:33,360 Speaker 1: tenths of one percent. And what's great about this company 549 00:30:33,440 --> 00:30:36,680 Speaker 1: is that they not only beat their estimates, they boosted 550 00:30:36,760 --> 00:30:39,440 Speaker 1: their full year sales forecast. That is not something you 551 00:30:39,520 --> 00:30:43,040 Speaker 1: hear very often going into Like I said, what's expected 552 00:30:43,080 --> 00:30:46,920 Speaker 1: to be a leaner Christmas, a leaner holiday season. Nevertheless, 553 00:30:47,040 --> 00:30:49,680 Speaker 1: Mark really benefiting, I should say very quickly, honeywell as well, 554 00:30:49,880 --> 00:30:53,000 Speaker 1: h o N spiking about seven percent in the pre market. 555 00:30:53,040 --> 00:30:55,800 Speaker 1: All right, Bloomberg Radio and TV Markets corresponding. Crety cooked 556 00:30:55,800 --> 00:30:57,680 Speaker 1: out with us this morning. As we continue to watch 557 00:30:57,680 --> 00:30:59,760 Speaker 1: the market as a whole ahead of the open, futures 558 00:30:59,760 --> 00:31:03,320 Speaker 1: are mixed. SMP futures little change to the downside now 559 00:31:03,440 --> 00:31:06,640 Speaker 1: Doubt futures are still higher, up a hundred forty five points, 560 00:31:06,720 --> 00:31:11,000 Speaker 1: NASTAG futures still on the decline. They are down sixty 561 00:31:11,040 --> 00:31:14,880 Speaker 1: five points, and the tenure treasury now down fifteen thirty seconds, 562 00:31:14,920 --> 00:31:19,560 Speaker 1: the yield four point zero six percent. This is Bloomberg. 563 00:31:22,640 --> 00:31:24,880 Speaker 1: Bloomberg Sports was brought to you by Audie. Don't let 564 00:31:24,880 --> 00:31:27,400 Speaker 1: someone else drive off in the Audi model you've always wanted. 565 00:31:27,480 --> 00:31:29,720 Speaker 1: Visit your local price State Audie dealer to get behind 566 00:31:29,760 --> 00:31:32,160 Speaker 1: the wheel of yours today, or visit Audie Offers dot 567 00:31:32,240 --> 00:31:39,800 Speaker 1: com for more information. Markets headlines and breaking news twenty 568 00:31:39,840 --> 00:31:42,720 Speaker 1: four hours a day at Bloomberg dot Com, the Bloomberg 569 00:31:42,720 --> 00:31:46,320 Speaker 1: Business at and at Bloomberg Quicktape. This he's a Bloomberg 570 00:31:46,360 --> 00:31:55,680 Speaker 1: Business lash. It's another busy morning for corporate earnings. SMP 571 00:31:55,880 --> 00:31:59,320 Speaker 1: futures are that will change, while NASDAG futures are falling. 572 00:31:59,400 --> 00:32:02,240 Speaker 1: Let's go to the Sword breaking newsdesk for today's morning call, 573 00:32:02,320 --> 00:32:05,640 Speaker 1: and here's Bill Maloney. Bill, good morning, Good morning, Karen 574 00:32:05,760 --> 00:32:08,840 Speaker 1: u s features are mixed amid the plunge in Facebook 575 00:32:08,880 --> 00:32:11,360 Speaker 1: this morning. If you just currently hired by a hundred 576 00:32:11,360 --> 00:32:13,719 Speaker 1: and fifty six points, smps are a little change, like 577 00:32:13,760 --> 00:32:17,000 Speaker 1: you said, and NASDA futures are lower by sixties seven. 578 00:32:17,320 --> 00:32:19,840 Speaker 1: The US ten year old at four point eight percent, 579 00:32:19,920 --> 00:32:22,080 Speaker 1: Gold is down three, oil is trading in the green, 580 00:32:22,360 --> 00:32:25,640 Speaker 1: and Bitcoin is lower by one percent. Hong Kong rose 581 00:32:25,640 --> 00:32:28,480 Speaker 1: point seven percent overnight, while RPM markets are trading mostly 582 00:32:28,640 --> 00:32:30,880 Speaker 1: lower this morning and back in the US on the 583 00:32:30,880 --> 00:32:34,040 Speaker 1: economic Frinday thirty g d P initial jobs claims and 584 00:32:34,120 --> 00:32:37,320 Speaker 1: durable goods orders. After about US night, Facebook did reports 585 00:32:37,280 --> 00:32:39,680 Speaker 1: she has it down twenty percent in the pre market, 586 00:32:39,880 --> 00:32:42,800 Speaker 1: and Ford trimmed its outlook regarding some of the earnings 587 00:32:42,800 --> 00:32:45,800 Speaker 1: this morning, merket boosted its fiskey your just DPS forecast, 588 00:32:45,880 --> 00:32:49,400 Speaker 1: and Caterpillar beat estimates and other news people familiar said 589 00:32:49,400 --> 00:32:51,760 Speaker 1: that Elon must told Twitter staff he doesn't plan to 590 00:32:51,760 --> 00:32:55,320 Speaker 1: cut seventy five of jobs and wrapping things up, Ferrari 591 00:32:55,480 --> 00:32:58,640 Speaker 1: was raised to buy HSBC Facebook cut to Eco Weight 592 00:32:58,880 --> 00:33:01,720 Speaker 1: and Morgan Stanley Live from the First to breaking news, 593 00:33:01,760 --> 00:33:04,120 Speaker 1: descam boo maloney care all right, Bill, thank you, and 594 00:33:04,200 --> 00:33:06,800 Speaker 1: to hear like breaking news over your Bloomberg type squawk 595 00:33:06,840 --> 00:33:09,720 Speaker 1: on your terminal SKU you a wuk, that's a Bloomberg 596 00:33:09,720 --> 00:33:12,120 Speaker 1: business flash. Now here's Michael Barr with more on what's 597 00:33:12,120 --> 00:33:14,760 Speaker 1: going on around the world. Michael Karen, thank you very much. 598 00:33:14,840 --> 00:33:19,320 Speaker 1: Russian President Vladimir Putin personally oversaw Moscow's first major nuclear 599 00:33:19,440 --> 00:33:23,760 Speaker 1: drills since he invaded Ukraine, simulating a massive nuclear strike. 600 00:33:24,320 --> 00:33:27,480 Speaker 1: Western allies warned Russia could use such an event as 601 00:33:27,480 --> 00:33:31,000 Speaker 1: a false flag to blame Ukraine for an attack that 602 00:33:31,160 --> 00:33:35,440 Speaker 1: Moscow carries out itself. The International Energy Agency says it 603 00:33:35,560 --> 00:33:41,000 Speaker 1: believes global emissions will peak. In the group's annual World 604 00:33:41,120 --> 00:33:45,120 Speaker 1: Energy Outlook report finds that the global energy crisis, triggered 605 00:33:45,160 --> 00:33:48,600 Speaker 1: by Russia's invasion of Ukraine and the ensuing increase in 606 00:33:48,640 --> 00:33:53,520 Speaker 1: fuel prices are propelling investment in renewable energy in the NBA. 607 00:33:53,720 --> 00:33:56,400 Speaker 1: The next one in overtime over the Hornets one four 608 00:33:56,560 --> 00:34:00,400 Speaker 1: one the Nets lost in hockey. The Island is Blank, 609 00:34:00,520 --> 00:34:04,640 Speaker 1: Rangers three Zip Thursday Night Football to Night, The Ravens 610 00:34:04,680 --> 00:34:07,680 Speaker 1: take on the Buccaneers. Global News twenty four hours a 611 00:34:07,760 --> 00:34:10,759 Speaker 1: day on air and on Bloomberg Quick Take, powered by 612 00:34:10,800 --> 00:34:14,720 Speaker 1: more than seven hundred journalist and analysts more than twenty countries. 613 00:34:15,160 --> 00:34:18,399 Speaker 1: Michael Blair and this is Bloomberg keron Ry, Michael Berg. 614 00:34:18,480 --> 00:34:21,239 Speaker 1: Thank you on Wall Street, and we turned to news 615 00:34:21,239 --> 00:34:23,800 Speaker 1: and science and technology now with the Bloomberg n j 616 00:34:24,000 --> 00:34:26,840 Speaker 1: I T. Stemmer Report, brought to you by New Jersey 617 00:34:26,880 --> 00:34:31,239 Speaker 1: Institute of Technology, ranked a top one hundred national university 618 00:34:31,280 --> 00:34:34,160 Speaker 1: by US News and World Report and ever fourteen in 619 00:34:34,200 --> 00:34:37,239 Speaker 1: the nation on Money's Best Colleges List. Learn more at 620 00:34:37,360 --> 00:34:39,640 Speaker 1: n j I T dot E d U and here's 621 00:34:39,640 --> 00:34:43,000 Speaker 1: just making news in science, Technology, engineering, and math. The 622 00:34:43,040 --> 00:34:48,360 Speaker 1: World Meteorological Organization says three main greenhouse gasses hit record 623 00:34:48,440 --> 00:34:51,040 Speaker 1: high levels in the atmosphere last year. The U N 624 00:34:51,080 --> 00:34:54,000 Speaker 1: Weather Agency said of the three main types of heat 625 00:34:54,120 --> 00:34:58,920 Speaker 1: trapping greenhouse gases, carbon dioxide, methane, and nitrous oxide. The 626 00:34:58,920 --> 00:35:02,600 Speaker 1: biggest jump from twenty twenty one was in methane. It 627 00:35:02,640 --> 00:35:05,319 Speaker 1: says methanes concentrations in the air came in with the 628 00:35:05,320 --> 00:35:09,279 Speaker 1: biggest year on year increase since regular measurements began four 629 00:35:09,360 --> 00:35:13,560 Speaker 1: decades ago. Tesla faces a US criminal investigation into its 630 00:35:13,600 --> 00:35:16,600 Speaker 1: self driving system. Bloomberg News has learned that the Justice 631 00:35:16,640 --> 00:35:20,360 Speaker 1: Department is investigating whether the company made misleading claims about 632 00:35:20,360 --> 00:35:24,160 Speaker 1: Tesla's cars ability to drive themselves. Neither the government nor 633 00:35:24,239 --> 00:35:28,000 Speaker 1: Tesla are commenting. And nearly four hundred school districts across 634 00:35:28,000 --> 00:35:31,200 Speaker 1: the country are receiving roughly one billion dollars in grants 635 00:35:31,440 --> 00:35:34,800 Speaker 1: to purchase about two thousand, five hundred clean school buses 636 00:35:34,880 --> 00:35:37,839 Speaker 1: under a new federal program. The Budden Administration is making 637 00:35:37,880 --> 00:35:40,360 Speaker 1: the grants available as part of a wider effort to 638 00:35:40,400 --> 00:35:44,239 Speaker 1: accelerate the transition to zero emission vehicles and reduce air 639 00:35:44,280 --> 00:35:47,680 Speaker 1: pollution near schools and communities. And that's the Bloomberg and 640 00:35:47,800 --> 00:35:50,960 Speaker 1: j I T Stem Report. Nathan, Thanks Karen. We're live 641 00:35:51,000 --> 00:35:53,920 Speaker 1: from the Bloomberg Interactive Brokers Studios or at six fifty 642 00:35:53,960 --> 00:35:56,120 Speaker 1: one on Wall Street Time Now to check what's going 643 00:35:56,160 --> 00:35:58,120 Speaker 1: on in d C. Some of the top stories in 644 00:35:58,120 --> 00:36:01,600 Speaker 1: our nation's capital include the Biden administration reworking its plan 645 00:36:01,719 --> 00:36:05,320 Speaker 1: to cap Russian oil prices. House Republicans launching a probe 646 00:36:05,320 --> 00:36:09,239 Speaker 1: into President Biden's oil reserve releases, the President honing his 647 00:36:09,320 --> 00:36:12,160 Speaker 1: economic message in the waning days of the mid term campaign, 648 00:36:12,440 --> 00:36:15,799 Speaker 1: and Treasury Secretary Yelling playing a more political role with 649 00:36:15,840 --> 00:36:19,640 Speaker 1: a visit to battleground Ohio. Let's bring in Bloomberg Government 650 00:36:19,640 --> 00:36:22,759 Speaker 1: Congressional reporter Jack Fitzpatrick to get more on some of 651 00:36:22,800 --> 00:36:26,239 Speaker 1: these stories, including some really important work by our economic team. 652 00:36:26,320 --> 00:36:30,120 Speaker 1: Jack on the Biden administration now being forced to rework 653 00:36:30,320 --> 00:36:34,200 Speaker 1: it's a plan on a Russian oil price cap. Yeah, 654 00:36:34,239 --> 00:36:37,040 Speaker 1: this is uh not a great sign for the White 655 00:36:37,080 --> 00:36:41,200 Speaker 1: Houses ambitions for that cap. They're they're essentially scaling back 656 00:36:41,239 --> 00:36:44,880 Speaker 1: what they have talked about. Uh. They originally talked about 657 00:36:44,880 --> 00:36:49,680 Speaker 1: a forty to sixty dollar preparal UH price on Russian oil. 658 00:36:50,080 --> 00:36:52,840 Speaker 1: Are report or colleagues are reporting this is going to 659 00:36:53,040 --> 00:36:56,520 Speaker 1: end up being somewhere in the upper range of that UH. 660 00:36:56,520 --> 00:36:58,719 Speaker 1: And they were trying to see how many countries they 661 00:36:58,760 --> 00:37:01,439 Speaker 1: could get involved in this UH, and as of now 662 00:37:01,520 --> 00:37:06,480 Speaker 1: it's looking like it's the Group of seven nations plus Australia, 663 00:37:06,840 --> 00:37:10,080 Speaker 1: and our collegs are reporting that South Korea has also 664 00:37:10,480 --> 00:37:14,160 Speaker 1: privately said that it's it's going to comply UH, and 665 00:37:14,200 --> 00:37:17,520 Speaker 1: that there is an attempt to see if New Zealand 666 00:37:17,520 --> 00:37:19,640 Speaker 1: and Norway could get on board. But it's going to 667 00:37:19,719 --> 00:37:23,560 Speaker 1: be a smaller group of countries UH. That makes the 668 00:37:23,680 --> 00:37:27,799 Speaker 1: Russian threat that they will refuse to sell to the 669 00:37:27,800 --> 00:37:32,520 Speaker 1: country's involved more legitimate. UM. So it's sort of a 670 00:37:33,320 --> 00:37:37,759 Speaker 1: reduction of the US's expectations on how much this can 671 00:37:37,800 --> 00:37:41,000 Speaker 1: do after Russia has continued to make money off of 672 00:37:41,040 --> 00:37:44,759 Speaker 1: oil sales and and essentially continue to fund its war 673 00:37:44,880 --> 00:37:48,040 Speaker 1: in Ukraine. Of course, this is coming after the OPEC 674 00:37:48,120 --> 00:37:51,320 Speaker 1: plus nations came in with that two million barrel a 675 00:37:51,400 --> 00:37:55,840 Speaker 1: day oil production target cut announcement, and I guess signs 676 00:37:55,880 --> 00:37:59,840 Speaker 1: that perhaps Saudi Arabia, the leading OPEC nation, still have 677 00:38:00,080 --> 00:38:03,040 Speaker 1: a lot of sway in this global oan market. Yeah, 678 00:38:03,160 --> 00:38:07,160 Speaker 1: that was a significant factor in UH sort of tamping 679 00:38:07,200 --> 00:38:11,160 Speaker 1: down the the US's expectations for how much good could 680 00:38:11,160 --> 00:38:15,000 Speaker 1: be done with this. A lot of frustration from American 681 00:38:15,160 --> 00:38:18,719 Speaker 1: officials in both parties with the Opeque Nations and with 682 00:38:18,719 --> 00:38:23,839 Speaker 1: Saudi Arabia, especially as you see uh President Biden sort 683 00:38:23,880 --> 00:38:28,480 Speaker 1: of maintaining the relationship there. Uh, you know there there 684 00:38:28,560 --> 00:38:32,120 Speaker 1: was quite a bit of frustration with Saudi Arabia, which 685 00:38:32,160 --> 00:38:35,719 Speaker 1: is that that that plays into this and was the 686 00:38:35,719 --> 00:38:41,799 Speaker 1: Opeque plus uh cut in production, Uh definitely undermined this 687 00:38:41,920 --> 00:38:46,040 Speaker 1: attempt to to I guess hold Russia's feet to the fire. 688 00:38:46,680 --> 00:38:49,200 Speaker 1: And on top of this, Jack this word this morning 689 00:38:49,239 --> 00:38:52,520 Speaker 1: that Republicans on the House Oversight Committee are going to 690 00:38:52,560 --> 00:38:56,239 Speaker 1: start an investigation into the strategic oil reserve releases that 691 00:38:56,560 --> 00:38:58,960 Speaker 1: President Biden has been doing for the last couple of months. Here, 692 00:38:58,960 --> 00:39:01,719 Speaker 1: what's going on with that? Yes, they have sent a 693 00:39:01,840 --> 00:39:06,040 Speaker 1: letter the Republicans on the House Oversight Committee seeking documents 694 00:39:06,320 --> 00:39:11,040 Speaker 1: relating to the decisions to release oil from the Strategic 695 00:39:11,080 --> 00:39:15,320 Speaker 1: Petroleum Reserve. And this is something that Republicans had criticized, 696 00:39:15,440 --> 00:39:20,800 Speaker 1: saying that those releases seemed to be politically motivated, especially 697 00:39:20,840 --> 00:39:23,000 Speaker 1: the ones that have occurred in the lead up to 698 00:39:23,040 --> 00:39:26,440 Speaker 1: the mid terms, as it obviously benefits Democrats and the 699 00:39:26,440 --> 00:39:30,600 Speaker 1: party in power to see gas prices go down. But 700 00:39:30,960 --> 00:39:34,560 Speaker 1: in addition to just being opposed to that. This, this 701 00:39:34,719 --> 00:39:38,840 Speaker 1: move by the Oversight Committee Republicans kind of previews the 702 00:39:38,960 --> 00:39:43,560 Speaker 1: ways that Republicans would act if they win the House 703 00:39:43,680 --> 00:39:46,440 Speaker 1: and or Senate. Is going to be a significant amount 704 00:39:46,440 --> 00:39:52,319 Speaker 1: of focus on oversight and investigations of the Biden administration. Uh. 705 00:39:52,480 --> 00:39:56,040 Speaker 1: And so this is you know, almost I guess a 706 00:39:56,120 --> 00:40:01,000 Speaker 1: move from a House Republican majority before it's a majority already. Uh, 707 00:40:01,120 --> 00:40:03,960 Speaker 1: this will clearly be uh, sort of an issue on 708 00:40:04,040 --> 00:40:07,360 Speaker 1: the campaign trail already. But if they do take the majority, 709 00:40:07,840 --> 00:40:10,399 Speaker 1: this will be something they'll they'll be focusing on in 710 00:40:10,400 --> 00:40:13,560 Speaker 1: in trying to rein in the Biden administration. And with 711 00:40:13,600 --> 00:40:16,720 Speaker 1: all this in the backdrop, Jack, we have President Biden 712 00:40:16,800 --> 00:40:20,360 Speaker 1: going back on the campaign trail to end this week. 713 00:40:20,600 --> 00:40:24,080 Speaker 1: What's he going to be focused on? Uh, He's definitely 714 00:40:24,080 --> 00:40:28,399 Speaker 1: gonna be focused on the economy. Today this afternoon, he's 715 00:40:28,440 --> 00:40:31,759 Speaker 1: going to Syracuse, New York. He's talking about an investment 716 00:40:32,120 --> 00:40:37,640 Speaker 1: by Micron UH, a microchip manufacturer that is a pretty 717 00:40:37,680 --> 00:40:42,200 Speaker 1: significant focus for Democrats after the Chips Act that was passed. 718 00:40:42,640 --> 00:40:46,080 Speaker 1: He's also going to be headed to Philadelphia on Friday. 719 00:40:46,640 --> 00:40:50,120 Speaker 1: So there's a very clear sort of federal investment and 720 00:40:50,480 --> 00:40:54,720 Speaker 1: jobs message that he is he is pushing in certain states. 721 00:40:54,719 --> 00:40:59,080 Speaker 1: There's certain places he's not going so much, Arizona, for example, 722 00:40:59,600 --> 00:41:01,960 Speaker 1: but you see him going to New York State and 723 00:41:02,000 --> 00:41:05,520 Speaker 1: then again another trip to Pennsylvania, where he's been a 724 00:41:05,600 --> 00:41:08,879 Speaker 1: number of times recently. And in just a thirty seconds here, Jack, 725 00:41:08,920 --> 00:41:10,920 Speaker 1: I guess I'll focus on the economy. May be part 726 00:41:10,920 --> 00:41:13,720 Speaker 1: of the reason why we've got Treasury Secretary Janet Yellen 727 00:41:13,840 --> 00:41:17,239 Speaker 1: hitting the campaign trail in Ohio today right going to 728 00:41:17,360 --> 00:41:21,760 Speaker 1: northeast Ohio. She's gonna be talking in Cleveland about rust 729 00:41:21,760 --> 00:41:27,120 Speaker 1: belt issues and investments, gonna raise production of parts that 730 00:41:27,160 --> 00:41:31,480 Speaker 1: go into electric vehicles there. It's interesting to see a 731 00:41:31,480 --> 00:41:35,439 Speaker 1: Biden administration official, uh, sort of making a play where 732 00:41:35,520 --> 00:41:38,560 Speaker 1: Tim Ryan is involved in the Senate race there he's 733 00:41:38,719 --> 00:41:42,200 Speaker 1: sort of distanced himself from National Democratic figures, but that 734 00:41:42,360 --> 00:41:45,520 Speaker 1: very much is also his message on the quote unquote 735 00:41:45,520 --> 00:41:49,400 Speaker 1: battery belt. So that's a that's another high profile push 736 00:41:49,440 --> 00:41:52,640 Speaker 1: from the Biden administration. Now. Also interesting to see someone 737 00:41:52,640 --> 00:41:54,600 Speaker 1: who you think of more as a steeped in the 738 00:41:54,640 --> 00:41:59,560 Speaker 1: economy rather than potentially a political speaker going out and 739 00:41:59,640 --> 00:42:01,359 Speaker 1: hitting the stump. But we'll leave it there. For now. 740 00:42:01,440 --> 00:42:04,799 Speaker 1: Jack Fitzpatrick of Bloomberg Government, as always, thanks for the 741 00:42:04,880 --> 00:42:08,160 Speaker 1: update from Washington, and you can read more at Bloomberg 742 00:42:08,200 --> 00:42:10,960 Speaker 1: dot com or on the Bloomberg terminal. Listen for updates 743 00:42:11,000 --> 00:42:13,680 Speaker 1: on all those appearances today on Bloomberg Radio in Washington 744 00:42:13,719 --> 00:42:18,400 Speaker 1: Bloomberg and one oh five point seven FM h D two, 745 00:42:18,520 --> 00:42:22,160 Speaker 1: and tune into Bloomberg Daybreak tomorrow. We're gonna wrap up 746 00:42:22,239 --> 00:42:25,160 Speaker 1: tech earnings and get reaction to the results after the 747 00:42:25,160 --> 00:42:28,600 Speaker 1: belt today from Apple and Amazon. Gene Munster, the co 748 00:42:28,719 --> 00:42:31,719 Speaker 1: founder of Loup Ventures, will join us tomorrow morning to 749 00:42:31,960 --> 00:42:36,160 Speaker 1: recap big tech. Looking ahead to the market open this morning, 750 00:42:36,320 --> 00:42:38,879 Speaker 1: futures are now mixed. S and P futures little change 751 00:42:38,920 --> 00:42:41,440 Speaker 1: to lower down futures up a hundred forty two, Nasdaq 752 00:42:41,520 --> 00:42:45,520 Speaker 1: futures down seventy points. For Karen Moscow. I'm Nathan Hager, 753 00:42:45,640 --> 00:42:47,600 Speaker 1: and this is Bloomberg