WEBVTT - Bloomberg Daybreak: March 14, 2022 - Hour 2 (Radio) 0:00:02.320 --> 0:00:05.680 Live from the Bloomberg Interactive Brooker Studios. This is is Bloomberg 0:00:05.800 --> 0:00:10.320 Daybreak for Monday, March fourteen. Coming up this hour, Russia 0:00:10.400 --> 0:00:14.120 increases its aerial attacks on Western areas closer to Ukraine's 0:00:14.160 --> 0:00:16.320 porter with Poland, the U S And China bull hold 0:00:16.360 --> 0:00:18.720 their first high level in person thomps since the war 0:00:18.840 --> 0:00:22.320 began of the Wall Street Firm, concerts SMP five hundred 0:00:22.320 --> 0:00:24.760 target and the then they started to raise interest rates. 0:00:24.840 --> 0:00:27.319 This week, the NYPD is looking for a suspect and 0:00:27.320 --> 0:00:29.920 fatally attack homeless men who are sleeping in the streets. 0:00:29.920 --> 0:00:32.400 But plus, North Korea made test at I CBM as 0:00:32.400 --> 0:00:35.000 soon as this week. I'm like the bar more, I'm 0:00:35.040 --> 0:00:37.720 John Stage and sports Tom Brady's But Sireman is over. 0:00:37.800 --> 0:00:40.520 He's back with Sampa Bay. The Yankees made the big trade. 0:00:40.560 --> 0:00:45.519 The Nets beat the next That's all strained ahead on 0:00:45.600 --> 0:00:51.080 Bloomberg day Break on Bloomberg eleven, TREEO, New York, Bloomberg one, Washington, 0:00:51.200 --> 0:00:55.040 d C, Bloomberg one oh six one, Boston, Bloomberg nine sixties, 0:00:55.040 --> 0:00:58.720 San Francisco, Sirius x M one nineteen and around the 0:00:58.720 --> 0:01:02.680 world on bloombergero dot com and via the Bloomberg Business App, 0:01:08.000 --> 0:01:10.679 and good morning. I'm Karen Moscow and I'm John Tucker. 0:01:10.680 --> 0:01:14.039 Bloomberg Day Brank being brought to you by Interactive Brokers 0:01:14.080 --> 0:01:17.800 Simple I b k R Global Trader App. Deposit in 0:01:17.800 --> 0:01:21.319 your local currency, trade stocks in the US, Europe and Asia. 0:01:21.600 --> 0:01:23.800 Start your free trial at I v k R dot 0:01:23.800 --> 0:01:27.280 com slash Global Trader and it is six of one 0:01:27.280 --> 0:01:29.319 on Wall Street and we check the markets every fifteen 0:01:29.360 --> 0:01:32.560 minutes throughout the trading day on Bloomberg. Again, futures are 0:01:32.680 --> 0:01:36.040 higher this morning. SMP futures up forty six points in 0:01:36.080 --> 0:01:39.200 down futures up three hundred ninety four. Nasday futures up 0:01:39.240 --> 0:01:43.640 one fift Tenure Treasury down seconds, the yeld two point 0:01:43.880 --> 0:01:46.360 nine percent, and they yield on the two year one 0:01:46.440 --> 0:01:49.280 point eight one percent. Nine Next, screwed oils down five 0:01:49.320 --> 0:01:51.880 point two percent, John, Karen, We're gonna have more on 0:01:51.920 --> 0:01:55.200 the markets in a minute, but first, negotiators from Russia 0:01:55.240 --> 0:01:58.200 and Ukraine are set to hold more talks today after 0:01:58.280 --> 0:02:01.560 a weekend where Moscow increased to serial attacks on western 0:02:01.560 --> 0:02:06.280 areas closer to Ukraine's border with Poland. Meanwhile, US officials 0:02:06.280 --> 0:02:09.240 say Russia has asked China for military assistance for its 0:02:09.240 --> 0:02:12.280 war in Ukraine. Bloomberg, Amy Morris as more from our 0:02:12.400 --> 0:02:16.680 nine one newsroom in Washington. It appears Vladimir Putin has 0:02:16.720 --> 0:02:19.720 faced more setbacks than he expected in the war with Ukraine, 0:02:19.919 --> 0:02:22.760 when US official tells Bloomberg the request for aid from 0:02:22.840 --> 0:02:25.519 China isn't new, but did not say what kind of 0:02:25.560 --> 0:02:29.240 equipment Moscow is asking for. This As Pentagon spokesman John 0:02:29.280 --> 0:02:32.760 Kirby tells ABC S this week, the US continues to 0:02:32.800 --> 0:02:35.720 back Ukraine. We're going to continue to flow security assistance 0:02:35.800 --> 0:02:38.519 to them, the kinds of things we know they most need, 0:02:38.560 --> 0:02:41.040 the kinds of things that they're using so well. We're 0:02:41.040 --> 0:02:43.239 going to continue to help get them, get them into 0:02:43.280 --> 0:02:46.440 their hands. Meanwhile, Russia attacked the military base that acts 0:02:46.440 --> 0:02:49.720 as a hub for cooperation between Ukraine and NATO countries. 0:02:50.080 --> 0:02:52.840 That raises the possibility the Alliance could be drawn into 0:02:52.880 --> 0:02:56.000 the fight in Washington. I maybe more as Bloomberg Daybreak. 0:02:56.080 --> 0:02:57.880 All right, Amy, thank you the U, S and Shina 0:02:57.960 --> 0:03:00.520 a whole. The first high level in per and talks 0:03:00.520 --> 0:03:04.240 since Russia's full invasion of Ukraine began. More from Bloomberg. 0:03:04.320 --> 0:03:07.880 Stephen Angle in Hong Kong. The National Security Advisor Jake 0:03:07.919 --> 0:03:11.680 Sullivan will be meeting face to face with Young. He 0:03:11.840 --> 0:03:15.200 is China's top diplomat. He is a top ranking official 0:03:15.480 --> 0:03:19.080 on the Politburo. So they are raising, um, you know, 0:03:19.120 --> 0:03:22.520 the level of contact because the White House, while stopping 0:03:22.560 --> 0:03:27.640 short of, you know, outright condemning Beijing's neutral stance. Uh, 0:03:27.800 --> 0:03:32.680 They're trying to court Beijing's efforts to you know, wield 0:03:32.720 --> 0:03:37.600 its influence on Moscow to a enforce the sanctions and 0:03:37.720 --> 0:03:42.480 as well, of course, ultimately help persuade Vladimir Putin to 0:03:42.680 --> 0:03:46.520 end his war in Ukraine. Blob Stephen Angle says the 0:03:46.560 --> 0:03:50.600 meeting will take place in Rome. Russian prosecutors reportedly are 0:03:50.680 --> 0:03:54.360 threatening US companies such as McDonald's, Young Brands and IBM 0:03:54.640 --> 0:03:58.120 for criticizing the government there or pulling out of the country. 0:03:58.360 --> 0:04:01.240 According to The Wall Street Journal, assets could be seized 0:04:01.320 --> 0:04:04.400 or corporate leaders could be targeted for arrest. Well John 0:04:04.440 --> 0:04:08.200 Eleons Tief Economic advisor muhammedd Alarian said the economic fallout 0:04:08.240 --> 0:04:11.240 from a Russian president Vladimir Putin's full scale invasion of 0:04:11.360 --> 0:04:15.320 Ukraine is likely to include a further pickup in US inflation. 0:04:15.720 --> 0:04:19.440 There will be a putent inflation component. I estimate that 0:04:19.720 --> 0:04:22.800 at seven point nine percent, we will probably get very 0:04:22.800 --> 0:04:26.640 close or above ten percent before we come down, and 0:04:26.720 --> 0:04:31.480 that difference will be all because of the disruption that 0:04:31.560 --> 0:04:36.480 Putin's war imply for commodity prices, supply chains, and shipments. 0:04:36.760 --> 0:04:39.839 Muhammad Alarian, who is also a Bloomberg contributor, made the 0:04:39.839 --> 0:04:42.640 comments on CBSS Face the Nation, which can be heard 0:04:42.720 --> 0:04:45.920 Sundays on Bloomberg Radio. The inflation is a key reason 0:04:46.000 --> 0:04:49.320 why investors expected the Feeder Reserved to begin raising interest 0:04:49.400 --> 0:04:52.880 rates this week. Let's get more from Bloomberg's Vineydale Judais. 0:04:53.240 --> 0:04:55.880 The fit meets Tuesday and Wednesday in central bankers the 0:04:56.040 --> 0:04:59.640 signalville lift rates after a big cut tenure zero at 0:04:59.640 --> 0:05:03.239 the start of the pandemic in March. Americans are losing 0:05:03.240 --> 0:05:05.240 ground to inflation and that's putting a big dent and 0:05:05.279 --> 0:05:08.720 consumer confidence lows going back to the financial crisis more 0:05:08.760 --> 0:05:12.520 than a decade ago. Data Tuesday. In February, wholesale prices 0:05:12.560 --> 0:05:15.039 could show a year over year gain of ten percent. 0:05:15.560 --> 0:05:19.000 Three Kink reports this week retail sales and industrial production 0:05:19.200 --> 0:05:22.839 good point to moderating economic growth across the US. Bene 0:05:23.200 --> 0:05:25.520 Judae s Bloomberg day Break, Right, Pennie, thank you a 0:05:25.640 --> 0:05:28.799 higher interest rates at commodity crunch and the war has 0:05:28.880 --> 0:05:31.960 one Wall Street firm cutting at stock targets once again. 0:05:32.080 --> 0:05:34.640 We get the latest live from Bloomberg's rayed A Young. 0:05:34.680 --> 0:05:37.200 Good morning, ra Day to good morning Karen. Goldman. Sachs 0:05:37.279 --> 0:05:40.200 strategists are lowering their S and P five hundred target 0:05:40.240 --> 0:05:44.800 for the second time in a month, this time from hundred. 0:05:45.080 --> 0:05:49.040 The index closed at just above forty two hundred on Friday. 0:05:49.120 --> 0:05:52.200 It comes as the global commodity crunch, triggered by Russia's 0:05:52.200 --> 0:05:56.680 invasion of Ukraine, deepened the slump in US stocks last month. 0:05:56.760 --> 0:06:00.240 Goldman cut its initial year in target of fifty weeks 0:06:00.240 --> 0:06:02.880 for the S and P five d Live in New York. 0:06:02.920 --> 0:06:05.960 I'm gonna Young, Bloomberg Daybreak, Thanks for Anita, how you 0:06:06.120 --> 0:06:09.159 sell off overnight in tech stocks in the Asia? Let's 0:06:09.200 --> 0:06:13.520 get the ricam from Bloomberg's Juliet Sally in Singapore. Good morning, Juliet, 0:06:13.640 --> 0:06:15.440 Good morning John and Karen. A plunge of as much 0:06:15.480 --> 0:06:17.440 as eight and a half percent in a gauge of 0:06:17.520 --> 0:06:21.360 Chinese tech firms listed in Hong Kong reverberated around the region, 0:06:21.720 --> 0:06:23.960 leaving the m c I Asia Pacific Index in the 0:06:24.000 --> 0:06:27.400 red for a second session. A COVID lockdown in Shenjen, 0:06:27.480 --> 0:06:30.960 which is a tech hub, added to geopolitical and regulatory 0:06:31.040 --> 0:06:34.760 risks facing the sector. A Bloomberg Intelligence gauge tracking Macau 0:06:34.880 --> 0:06:37.440 gaming and casino stocks slumped as much as nine percent 0:06:37.560 --> 0:06:40.000 to a record low as China place the southern city 0:06:40.040 --> 0:06:43.000 into lockdown and elsewhere. A week again saw the negate 0:06:43.080 --> 0:06:45.359 two to five games six tenths of one percent in 0:06:45.400 --> 0:06:49.560 Tokyo in Singapore. Juliet Sally Bloomberg daybreak Right Julia, thank 0:06:49.600 --> 0:06:52.520 you well. Bitcoin, Ether and dogecoin got a quick boost 0:06:52.560 --> 0:06:55.279 today after Elon Musk tweeted that he owns the digital 0:06:55.320 --> 0:06:58.400 tokens and is not planning to sell Bitcoin, which has 0:06:58.400 --> 0:07:02.000 fallen almost three percent before a Musk's tweet. Right now 0:07:02.440 --> 0:07:05.479 is trading at thirty nine thousand, one hundred seven dollars 0:07:05.520 --> 0:07:09.279 sets up about one point one percent. Future is also higher. 0:07:09.520 --> 0:07:12.240 SNP futures up forty three points down, futures up three 0:07:12.280 --> 0:07:15.480 hundred seventy two, nowsday futures up one hundred ten Straight 0:07:15.480 --> 0:07:18.400 ahead your latest local headlines plus a check of sports 0:07:18.520 --> 0:07:25.200 and missus Bloomberg. All right, thanks Karen wall Street, and 0:07:25.400 --> 0:07:27.760 time to bring in Michael Barr to find out what 0:07:27.800 --> 0:07:30.680 else is going on in New York at around the world, Ton, 0:07:30.760 --> 0:07:32.880 Thank you very much, Sarah. Police say they are searching 0:07:32.920 --> 0:07:35.680 for a man who is believed to have attacked multiple 0:07:35.760 --> 0:07:38.200 people who were sleeping on the streets in New York 0:07:38.200 --> 0:07:41.920 City and Washington, d C, killing two of his victims 0:07:41.960 --> 0:07:45.760 and injuring three others. DC police said they are working 0:07:45.760 --> 0:07:48.679 with the NYPD to find a man who fatally shot 0:07:48.720 --> 0:07:51.559 and stabbed a man in the district and killed another 0:07:51.560 --> 0:07:54.560 man Saturday in New York City. New York Mayor Eric 0:07:54.600 --> 0:07:58.080 Adams as a city task force would focus on finding 0:07:58.080 --> 0:08:01.440 homeless people in the subways and other locations, and urged 0:08:01.480 --> 0:08:04.680 them to take refuge at city owned shelters. We're going 0:08:04.720 --> 0:08:08.920 to take extra steps to encourage individuals to go into 0:08:08.960 --> 0:08:13.920 the shelters for safety reasons as well as the coming 0:08:14.680 --> 0:08:17.920 weather condition. Mayor Adams says this is a clear case 0:08:18.000 --> 0:08:21.120 of how there are too many illegal guns on the streets. 0:08:21.520 --> 0:08:24.080 New York City Police say they have identified the man, 0:08:24.160 --> 0:08:26.800 who they say staff two employees of the Museum of 0:08:26.880 --> 0:08:30.680 Modern Art. Video released by police shows a man identified 0:08:30.720 --> 0:08:34.160 as sixty year old Gary Cabana entering the Museoleum lobby 0:08:34.240 --> 0:08:37.240 through a revolving door, then climbing onto the desk and 0:08:37.320 --> 0:08:41.080 leaping over it before cornering the two employees and stabbing them. 0:08:41.320 --> 0:08:44.960 Authorities say the employees suffered non life threatening injuries. North 0:08:45.040 --> 0:08:48.080 Korea could reportedly launch an i CBM as soon as 0:08:48.160 --> 0:08:51.480 this week. That's according to the Nonhap news agency. It 0:08:51.520 --> 0:08:55.280 would be its most serious provocation in five years. New 0:08:55.360 --> 0:08:58.880 York City Health Commissioner Dave Choshky is talking about the 0:08:58.960 --> 0:09:03.439 mental health from the spread of COVID nineteen. Dr Chotsky 0:09:03.559 --> 0:09:07.040 says that even members of his own families struggled emotionally 0:09:07.200 --> 0:09:10.200 due to the impact from the coronavirus. Many people have 0:09:10.360 --> 0:09:13.880 not actually been asked about, but then when you do, 0:09:14.480 --> 0:09:17.360 there is this opening up that occurs because so many 0:09:17.440 --> 0:09:22.680 people have felt disconnected in some way. Dr Chotsky plans 0:09:22.679 --> 0:09:25.200 on stepping down today. A ceremony will be held to 0:09:25.240 --> 0:09:28.560 mark his last day as New York City's health commissioner. 0:09:29.240 --> 0:09:34.040 Former President Barack Obama has announced that he has COVID nineteen. 0:09:34.400 --> 0:09:37.200 He says, outside of a scratchy throat, he feels fun. 0:09:37.640 --> 0:09:40.480 Oscar winning actor William Hurd has died at age seventy one. 0:09:40.520 --> 0:09:43.839 His films include Broadcast News and The Big Chill. Her 0:09:43.960 --> 0:09:45.880 Son set in a statement that his father died of 0:09:45.960 --> 0:09:49.120 natural causes. Global News twenty four hours a day on 0:09:49.200 --> 0:09:52.600 air and on Bloomberg Quicktake, powered by more than twenty 0:09:52.720 --> 0:09:55.520 seven hundred journalists and analysts more than a hundred twenty countries. 0:09:55.920 --> 0:10:03.080 Michael bar this is Bloomberg, John, Michael, thank you, And 0:10:03.200 --> 0:10:05.440 it's now six or nine of Wall Street. Time for 0:10:05.520 --> 0:10:09.640 the Bloomberg Sports Update. Here's John Stenshower. John, that was quick. 0:10:09.679 --> 0:10:13.600 Tom Brady retired on February first, forty days later changed 0:10:13.600 --> 0:10:15.880 his mind, sending a statement that time will come, but 0:10:16.000 --> 0:10:18.400 it's not now. My place is on the field, not 0:10:18.520 --> 0:10:21.120 in the stands. He's forty four, not as if he 0:10:21.160 --> 0:10:23.440 can't play anymore. Just had a terrific season with Tampa 0:10:23.440 --> 0:10:25.320 Bay and now he'll play a third season with the 0:10:25.360 --> 0:10:28.440 Bucks after twenty in New England. In Tampa, the Yankees 0:10:28.480 --> 0:10:30.560 just held their first official team workout, then made a 0:10:30.559 --> 0:10:34.679 big trade with the Minnesota Twins, sent packing Gary Sanchez, 0:10:34.720 --> 0:10:37.760 the Yanks starting catcher since two thousand seventeen and g 0:10:37.920 --> 0:10:40.600 o Or Shella. They're starting third baseman. The last three seasons, 0:10:40.600 --> 0:10:43.440 the Yanks acquired a new left side of the infield, 0:10:43.559 --> 0:10:47.640 veteran third baseman Jock Donaldson and shortstop Isaiah Kiner for 0:10:47.840 --> 0:10:50.080 left twenty six year old was a good glove winning 0:10:50.360 --> 0:10:53.679 third baseman with Texas and they moved him to shortstop 0:10:53.960 --> 0:10:57.079 last season. The Rangers treated him to the Twins on Saturday, 0:10:57.480 --> 0:11:00.640 and the next day the Twins shipped them to the Nets. 0:11:00.679 --> 0:11:03.160 Beat the next once and one oh seven Kevin Rants 0:11:03.200 --> 0:11:07.440 toward fifty three point. The unvaccinated Kyrie Irving not allowed 0:11:07.440 --> 0:11:09.040 to play home games, but he was at the Parkley 0:11:09.120 --> 0:11:11.880 Center sitting in the stands. That led k D to 0:11:12.000 --> 0:11:15.679 reach out to New York City Mayor Eric Adams. When 0:11:15.720 --> 0:11:19.440 I say, Eric, you gotta you gotta figure something out, man, 0:11:19.520 --> 0:11:23.800 because you know it's looking crazy, especially on national TV, 0:11:24.040 --> 0:11:26.560 and he can come to the game and I play like, 0:11:26.720 --> 0:11:30.240 come on. The mayor has said, since some city workers 0:11:30.240 --> 0:11:32.720 lost their jobs for not getting the vaccine, Irving should 0:11:32.760 --> 0:11:35.199 not get special treatment. Eislanders beat the Ducks for three 0:11:35.280 --> 0:11:37.240 n C double A tournament field and as Rutgers will 0:11:37.240 --> 0:11:40.680 play Notre Dame on Wednesday. Seaton All takes on TCU 0:11:40.760 --> 0:11:44.160 on Friday. John Stash Bloomberg Sports. Yoh, all right, thanks 0:11:44.200 --> 0:11:45.840 John Han. I head that you can't show up at 0:11:45.840 --> 0:11:48.160 Off Wall Street. Futures in the US and the green 0:11:48.240 --> 0:11:53.480 right now down futures threety two points, SMP futures thirty 0:11:53.600 --> 0:11:58.199 nine points higher, ATTIC futures right now ninety three points. 0:11:58.559 --> 0:12:08.280 You're listening to Bloomberg day Break and just ahead on 0:12:08.320 --> 0:12:11.520 Bloomberg day Break and update on the war in Ukraine. 0:12:11.640 --> 0:12:15.160 Some key developments of this morning will do great Bloomberg's 0:12:15.240 --> 0:12:24.040 and the current. This is Bloomberg Markets, headlines and breaking 0:12:24.080 --> 0:12:26.960 news twenty four hours a day at Bloomberg dot Com, 0:12:27.080 --> 0:12:30.600 the Bloomberg Business at and at Bloomberg Quick Tape. He's 0:12:30.640 --> 0:12:40.040 a Bloomberg Business Flash and I'm Karen Moscow. Stocks in 0:12:40.080 --> 0:12:43.320 Europe are climbing, climbing along with you, as stock index futures, 0:12:43.360 --> 0:12:46.199 as negotiators from Russia and Ukraine prepared for a new 0:12:46.280 --> 0:12:49.199 route of talks, a global bond route deepening, with the 0:12:49.280 --> 0:12:51.440 yields in the five and ten year treasury rising to 0:12:51.440 --> 0:12:54.800 their highest. Since you check the markets, every fifteen minutes 0:12:54.840 --> 0:12:56.920 throughout the trading day on Bloomberg, U S and P 0:12:57.120 --> 0:12:59.920 futures up about forty points down, futures up three d 0:13:00.000 --> 0:13:03.200 at six NASDACK futures have ninety seven the decks in 0:13:03.240 --> 0:13:06.080 Germany is up two point eight percent. Pen Your treasury 0:13:06.080 --> 0:13:08.720 down twenty six thirty seconds yield two point eight percent. 0:13:08.800 --> 0:13:11.840 They yield on the two year one point eight one percent. Nine. 0:13:11.880 --> 0:13:14.880 Mex scut oil is down four point eight percent on 0:13:15.000 --> 0:13:17.200 five dollars twenty five cents at a hundred four dollars 0:13:17.240 --> 0:13:19.520 eight cents of barrel. Comex school there is down nine 0:13:19.559 --> 0:13:22.560 tenths percent, or seventeen dollars fifty cents at nineteen sixty 0:13:22.600 --> 0:13:25.640 seven fifty announced. The euro one point o nine seven 0:13:25.720 --> 0:13:28.160 five against the dollar, British pound one point three zero 0:13:28.240 --> 0:13:31.880 four and nine, the yennis at one seventeen point nine four, 0:13:32.160 --> 0:13:35.079 and Bitcoin this morning up about one percent at thirty 0:13:35.160 --> 0:13:38.600 nine thousand, sixty dollars. That's a Bloomberg business flash. Now 0:13:38.640 --> 0:13:40.920 here's Michael Barro with more on what's going on around 0:13:40.920 --> 0:13:44.079 the world. Michael Karen, thank you very much. Russia's military 0:13:44.120 --> 0:13:47.480 forces they're keeping up their campaign to capture Ukraine's capital, 0:13:47.840 --> 0:13:51.040 as residents of other besieged cities hold out hope that 0:13:51.160 --> 0:13:54.439 renewed diplomatic talks might open the way for more civilians 0:13:54.480 --> 0:13:58.280 to evacuate or emergency supplies to reach them. Day after 0:13:58.440 --> 0:14:00.960 expanding the war in Ukraine with an air strike on 0:14:00.960 --> 0:14:04.400 a military base close to the Polish border, Russian forces 0:14:04.440 --> 0:14:08.440 fired artillery on suburbs north and east of Kiev. NFL 0:14:08.520 --> 0:14:12.280 superstar Tom Bradie announced that his short lived retirement is over. 0:14:12.720 --> 0:14:15.199 Brady posted on Instagram that he will return for a 0:14:15.240 --> 0:14:18.560 twenty third season with the Tampa Bay Buccaneers in baseball. 0:14:18.679 --> 0:14:21.800 A big trade for the Yankees. They have acquired former 0:14:21.920 --> 0:14:25.480 a l m v P Josh Donaldson, shortstop Isaiah Kinner 0:14:25.720 --> 0:14:29.160 the left and back up catcher Men Roortveldt from the 0:14:29.200 --> 0:14:33.400 Minnesota Twins for catcher Gary Sanchez and third baseman. Geo 0:14:33.600 --> 0:14:36.560 or Selle. Global News twenty four hours a day on 0:14:36.640 --> 0:14:39.960 air and on Bloomberg Quicktake, powered by more than twenty 0:14:40.000 --> 0:14:43.160 seven journalists and analysts more than a hundred twenty countries, 0:14:43.320 --> 0:14:45.520 and Michael Barr, This is Bloomberg. John all right, Michael, 0:14:45.560 --> 0:14:48.000 thank you very much. Six twenty on Wall Street bird 0:14:48.040 --> 0:14:51.960 life from the Bloomberg intracta Broker Studios. This is Bloomberg 0:14:51.960 --> 0:14:54.840 tape ray. Couple of key developments this morning of the 0:14:54.840 --> 0:14:58.840 war in Ukraine. The U S S Russia saw Chinese 0:14:58.920 --> 0:15:01.960 military aid for the war and an aid. The President 0:15:02.000 --> 0:15:04.480 Band is going to meet with China's top diplomat today. 0:15:04.880 --> 0:15:06.720 Joining us now for the update and the current. The 0:15:06.800 --> 0:15:11.160 chief Asia Economics correspondent for Bloomberg. Hey, um and always 0:15:11.160 --> 0:15:13.400 good to talk to you. Explain to me the relationship 0:15:13.440 --> 0:15:17.000 between Russia and China. Does Russia needs China more than 0:15:17.080 --> 0:15:21.400 China needs Russia. Well, there's both been growing a trade 0:15:21.440 --> 0:15:25.120 relationship in recent years. China of course a big importer 0:15:25.200 --> 0:15:28.600 of energy from Russia, and Russia of course a big 0:15:28.600 --> 0:15:32.440 import reporter of merchandise goods. That trade has led to 0:15:32.520 --> 0:15:36.320 more broader strategic corporation and closed the lines between two countries. 0:15:36.320 --> 0:15:39.320 And indeed, more recent years President she and Petner said 0:15:39.320 --> 0:15:41.680 to have had developed a good report and that's what 0:15:41.760 --> 0:15:44.480 culminated in a few weeks ago at the Winter Olympics, 0:15:44.720 --> 0:15:47.800 this communicate between both countries and that there was no 0:15:47.920 --> 0:15:50.840 limits to their friendship. To help the back dup those 0:15:50.920 --> 0:15:54.480 deepening economic and strategical at the back, dup through the 0:15:54.720 --> 0:15:56.920 bind that China is now in when it comes to 0:15:57.000 --> 0:15:59.640 Russia's invasion all of the Ukraine. On the one hand, 0:15:59.680 --> 0:16:03.440 of course China preaches this added respect sovereignty of nations 0:16:04.840 --> 0:16:07.640 and in relations, but it has yet to condemn this 0:16:07.840 --> 0:16:10.440 invasion at right or even used the word invasion or 0:16:10.480 --> 0:16:12.400 kind of trying to start on both sides a bit. 0:16:12.440 --> 0:16:14.240 So that's why I think most people will be looking 0:16:14.280 --> 0:16:16.120 to the talks and Rome to see if a dood 0:16:16.160 --> 0:16:19.040 lead to any kind of breakthrough in that front. Yeah, 0:16:19.240 --> 0:16:21.880 that's likely to be chief on the agenda with those 0:16:21.920 --> 0:16:24.440 talks in Rome that are a schedule to take place today. 0:16:25.120 --> 0:16:29.160 What's the likelihood you want to gain the the odds 0:16:29.200 --> 0:16:33.760 of China actually delivering aid in the form of military 0:16:33.760 --> 0:16:37.680 equipment to Russia. Well, that indeed, that's news coming out 0:16:37.680 --> 0:16:41.080 of Washington. Obviously I would put the relations in both 0:16:41.080 --> 0:16:43.760 on a whole new level given the contact of the invasion. 0:16:44.000 --> 0:16:46.720 But even before we get to that, as I mentioned earlier, 0:16:46.760 --> 0:16:49.160 we have to see if China is going to double 0:16:49.240 --> 0:16:52.800 down on a talkish language when it comes to Russia. 0:16:53.120 --> 0:16:55.800 As I say, most observati would say that's inconsistent with 0:16:55.960 --> 0:16:57.920 China stands in the parts it kind of tries to 0:16:57.960 --> 0:16:59.960 be seen as a good global citizen, regardless of one 0:17:00.200 --> 0:17:03.440 use of its internal partlity system. So there are question 0:17:03.480 --> 0:17:05.560 marks over chinage downs on that. But then on a 0:17:05.640 --> 0:17:09.879 more micro level, question marks over will China observe the 0:17:10.000 --> 0:17:13.760 sanctions to the letter when it ensures companies aren't funneling 0:17:13.920 --> 0:17:17.040 either good or finance Russia. Most alims would say China 0:17:17.080 --> 0:17:19.359 will want to observe those sanctions, but there's still an 0:17:19.359 --> 0:17:22.000 open question around that. And then of course there's a 0:17:22.080 --> 0:17:24.880 question around what role of China looks to play if 0:17:24.880 --> 0:17:27.320 it does lets play a role as a peace mediator. Again, 0:17:27.320 --> 0:17:29.840 it has said it wants to be an end to 0:17:29.840 --> 0:17:32.080 the conflict and it wants to be peace there, but 0:17:32.240 --> 0:17:35.520 it hasn't put much by way of hasn't put much 0:17:35.520 --> 0:17:37.239 of my way of play proposals on the table as 0:17:37.280 --> 0:17:38.960 to how it goes about that. And now, of course 0:17:39.200 --> 0:17:40.639 we got back to your up in question. If we'll 0:17:40.640 --> 0:17:42.920 get to a point where Russia is China is supplying 0:17:43.000 --> 0:17:45.159 arms to Russia in the conduct of this invasion, that 0:17:45.200 --> 0:17:47.920 would mean of course all better off as China being 0:17:47.960 --> 0:17:52.119 an independent mediator, but as a global citizen or a 0:17:52.280 --> 0:17:55.640 want to be global global citizen, China has a lot 0:17:55.720 --> 0:17:59.000 at stake here. It does have its trade initiatives, Belton 0:18:00.440 --> 0:18:06.320 the initiative with the European countries, Belting Road initiatives. That's 0:18:06.359 --> 0:18:10.600 really at stake here, is it not? Is it at risk? Well, 0:18:10.760 --> 0:18:13.360 the building Road you can argue it's probably lost some focus. 0:18:13.440 --> 0:18:16.800 It is president shooting being signature project, but I think 0:18:16.800 --> 0:18:18.960 it's kind of lost some focus in recent years when 0:18:19.000 --> 0:18:22.080 it comes to China's focus on overseas trade, has been 0:18:22.119 --> 0:18:25.200 growing its trade at its fairly rapid clips throughout the 0:18:25.240 --> 0:18:28.000 pandemic with both Europe and the US, and I think 0:18:28.280 --> 0:18:33.520 what that stake is a lot of the of the 0:18:33.640 --> 0:18:35.400 good will. It might be too strong reward, but China 0:18:35.440 --> 0:18:38.080 has certainly been keen to cozy up or build better 0:18:38.080 --> 0:18:41.520 relations with Europe, for example, build better relations with countries 0:18:41.520 --> 0:18:45.440 and AFCA, build relations with Latin America as relations soured 0:18:45.480 --> 0:18:49.160 with the US, under the feeling that if this global 0:18:49.200 --> 0:18:51.840 alliance such as it is against the Russia's action does 0:18:51.880 --> 0:18:54.320 maintain and does hold up, that will continue to put 0:18:54.359 --> 0:18:58.480 pressure on China and risks perhaps you know, decoupling or 0:18:58.480 --> 0:19:02.280 isolating China from because of the world economy. Now all 0:19:02.320 --> 0:19:05.639 of it is high level. China remains deeply cloke in 0:19:05.840 --> 0:19:08.679 the global economy. It's not going to be isolated in 0:19:08.680 --> 0:19:11.560 a way that Russia can be in the short term, 0:19:11.760 --> 0:19:13.520 but at the very least, I think a lot of 0:19:13.520 --> 0:19:17.159 people would say that Shina being seen to be on 0:19:17.280 --> 0:19:20.480 Russia's side and its conflict is damaging for its glow. 0:19:20.600 --> 0:19:24.280 It's international funding and always a pleasure in occurrent the 0:19:24.320 --> 0:19:27.960 chief Asia economics correspondent for Bloomberg, as we look at 0:19:28.000 --> 0:19:30.879 the markets right now ahead of the opening in on 0:19:31.040 --> 0:19:34.280 Wall Street, down futures right now up three thirty nine points, 0:19:34.520 --> 0:19:37.800 that's a rise of one percent, SMP futures thirty eight 0:19:37.840 --> 0:19:40.119 points higher, that's a nine tenths of a percent, and 0:19:40.280 --> 0:19:43.760 the nasdac emnate futures right now of nine points. That's 0:19:43.760 --> 0:19:47.800 a rise of seven tenths of eight percent. And as 0:19:47.880 --> 0:19:51.240 we look to treasuries right now, the tenure yield two 0:19:51.320 --> 0:19:55.240 point zero nine percent, that's up ten basis points this morning. 0:19:55.560 --> 0:19:58.359 The two year yield at one point eight two percent, 0:19:59.119 --> 0:20:02.400 that is of seven basis points. You're listening to Bloomberg 0:20:02.480 --> 0:20:08.200 Daybreak day Break brought to you by Audie. Don't let 0:20:08.200 --> 0:20:10.159 someone else drive off of the Audie model of you. 0:20:10.280 --> 0:20:13.159 Voways wanted. Visit your try state area Autie Dealer again 0:20:13.200 --> 0:20:16.080 behind the wheel of yours today, or visit Autie aupers 0:20:16.119 --> 0:20:25.040 dot com for reinformation. Broadcasting live from the Bloomberg Interactive 0:20:25.080 --> 0:20:28.119 Broker Studio in New York, Bloomberg E Living free on 0:20:28.320 --> 0:20:32.400 to Washington, d C, Bloomberg one to Boston, Bloomberg one 0:20:32.400 --> 0:20:35.600 O six one to San Francisco, Bloomberg No. Sixt to 0:20:35.680 --> 0:20:39.240 the country, Sirius XM H one nine and around the globe, 0:20:39.320 --> 0:20:42.960 the Bloomberg Business app and Bloomberg Radio dot com. This 0:20:43.280 --> 0:20:51.320 is Bloomberg Daybreak. He has six thirty on Wall Street. 0:20:51.320 --> 0:20:54.359 Good morning, I'm John Tucker and I'm Karen Moscow. We're 0:20:54.400 --> 0:20:57.040 just about three hours away from the open of US trading. 0:20:57.080 --> 0:20:59.000 It's time for the five things you need to notice. 0:20:59.000 --> 0:21:02.960 Start your day. Ron to you by Interactive Brokers. Interactive 0:21:03.000 --> 0:21:06.040 Brokers charges margin loan rates from zero point seven five 0:21:06.480 --> 0:21:09.400 to one point five eight percent great subject to change. 0:21:09.520 --> 0:21:13.359 Learn more at ibkr dot com. Slash compare up First. 0:21:13.400 --> 0:21:15.920 The United States plans to hold its first high level 0:21:15.960 --> 0:21:19.760 in person talks with China since Russia's invasion of Ukraine began. 0:21:20.240 --> 0:21:22.640 It comes as the U says Russia has asked China 0:21:22.720 --> 0:21:26.240 for military equipment to support its invasion. Bloomberg's ad Baxter 0:21:26.440 --> 0:21:29.480 has the story. The U s says nobody should help 0:21:29.520 --> 0:21:33.600 replace Russian losses during the invasion. National Security Advisor Jake 0:21:33.680 --> 0:21:36.480 Sullivan heads to Rome today for high level talks with 0:21:36.680 --> 0:21:41.400 China's top foreign policy official, Young J. Sheer. Meanwhile, Russia 0:21:41.520 --> 0:21:45.360 has shelled a Ukrainian military base ten miles away from 0:21:45.400 --> 0:21:49.200 the border with Poland, and Sullivan says if anything lands 0:21:49.240 --> 0:21:52.840 in Poland, NATO will respond that the United States will 0:21:52.840 --> 0:21:56.639 work with our allies to defend every inch of NATO territory, 0:21:56.800 --> 0:22:01.040 and he used the term full force reaction. In San Francisco, 0:22:01.119 --> 0:22:04.639 I'm at Baxter Bloomberg Daybreak. Thanks said negotiators from Ukraine 0:22:04.640 --> 0:22:07.840 and Russia are sent to speak today. The Ukrainian President 0:22:07.880 --> 0:22:10.800 Vladimir Zelinski hopes it will lead to a meeting between 0:22:10.880 --> 0:22:15.520 himself and Russian President Vladimir Putin. Should then, representatives of 0:22:15.520 --> 0:22:19.000 our countries are holding daily talks via video conference. Our 0:22:19.040 --> 0:22:21.520 delegation has a clear task to do everything to arrange 0:22:21.560 --> 0:22:24.200 the meeting of the presidents. The meeting, I'm sure people 0:22:24.200 --> 0:22:27.200 are waiting for. Vladimir Zelenski says. The path that talks 0:22:27.200 --> 0:22:32.040 with Putin is difficult but necessary. Well John on Wall Street, 0:22:32.119 --> 0:22:34.760 higher interest rates like a mdity crunch, and the war 0:22:34.920 --> 0:22:37.480 has one firm kind of a stock targets. Once again, 0:22:37.520 --> 0:22:40.000