Speaker 1: Bloomberg Audio Studios, Podcasts, Radio News. Good morning, I'm Nathan
Speaker 1: Hager and I'm Karen Moscow. Here are the stories we're
Speaker 1: following today.
Speaker 2: We begin with politics around the world. A defiant Vladimir
Speaker 2: Putin says Russia will not be stopped from pursuing its goals.
Speaker 2: That's after Putin swept to a record victory in a
Speaker 2: presidential election whose outcome was predetermined. Putin, who is seventy
Speaker 2: one years old and had no credible opponent, spoke after
Speaker 2: results showed him with more than eighty seven percent support
Speaker 2: from voters, and he now gets another six years as president.
Speaker 2: And we get more from Bloomberg's Rosalind Matheson.
Speaker 3: For him, having those two numbers that he can talk about,
Speaker 3: which is the overall win rate for him, but also
Speaker 3: the turnout across Russia is certainly something that he is touting.
Speaker 3: But his speech itself was quite defined again talking to
Speaker 3: those messages he's been saying for a while to people
Speaker 3: inside Russia, the sense that Russia is under siege from
Speaker 3: the outside, fundamentally under attack from the West, and that
Speaker 3: he's the only person who can help Russia stand proudly
Speaker 3: again those words that he said, people want to suppress us.
Speaker 1: They've not succeeded. They won't succeed now.
Speaker 2: Bloomberg's Ros Mathieson says turnout from three days of voting
Speaker 2: was more than seventy four percent. That's the highest since
Speaker 2: Boris Yeltsen became president in nineteen ninety one after the
Speaker 2: collapse of the Soviet Union.
Speaker 1: Now Nathan the latest on the war in the Middle East.
Speaker 1: Israeli Prime Minister Benjamin Nettan Yeah, who is pushing back
Speaker 1: on Senate Majority Leader Chuck Schumer's call for an Israel election,
Speaker 1: And Bloomberg's Ed Baxter has the story.
Speaker 4: Matt Yahoo first says the aid issue to Gaza is
Speaker 4: complicated because when it does get in, Hamas salutes it
Speaker 4: and uses it for its own gain. And on CNN
Speaker 4: he says majority of Israeli support the government anyway.
Speaker 5: I think what he said is totally inappropriate. It's inappropriate
Speaker 5: to goe to a sister democracy and try to replace
Speaker 5: the elected leadership there. That's something that Israel Israeli public
Speaker 5: does on its own, and we're not a banana republic.
Speaker 4: Ntt Yahu also says its forces are trying to be careful,
Speaker 4: but that the move to remove Hamas will continue Ed
Speaker 4: Baxter Bloomberg Radio.
Speaker 2: All right, Ed, thank you. Sticking with geopolitics, Secretary of
Speaker 2: State Anthony Blincoln is warning the disinformation is threatening this
Speaker 2: year's free and fair elections around the world.
Speaker 6: As authoritarian and repressive regimes deploy technologies to undermine democracy
Speaker 6: and human rights.
Speaker 7: We need to.
Speaker 6: Ensure that technology sustains and supports democratic values and norms.
Speaker 2: Speaking in South Korea at the Third Summit for Democracy,
Speaker 2: Secretary Blincoln seid authoritarian governments like China and Russia will
Speaker 2: try to leverage generative AI technologies to meddle in democratic
Speaker 2: elections this year, including in the US and the UK.
Speaker 1: Well another political news Nathan Former President Donald Trump held
Speaker 1: a rally over the weekend in Dayton, Ohio for Republican
Speaker 1: Senate candidate Bernie Moreno. Threatens to impose one hundred percent
Speaker 1: tariffs on Chinese cars made in Mexico if he's elected.
Speaker 1: He went on to see this, now.
Speaker 8: If I don't get elected, it's going to be a
Speaker 8: bloodbath for the whole That's going to be the least
Speaker 8: of it.
Speaker 9: It's going to be a blood bath for the country.
Speaker 10: That'll be the least of it.
Speaker 1: Democrats were quick to s he's on those comments. Former
Speaker 1: House Speaker and Nancy Pelosi reacted on the CNN State
Speaker 1: of the Union, we just have to win this election.
Speaker 1: Because he's even predicting a bloodbath.
Speaker 11: What does that mean He's going to exact a bloodbath.
Speaker 1: There's something wrong here. A Republican Congressman, Mike Turner says
Speaker 1: the former president was not predicting political violence.
Speaker 12: The president's statements concerning bloodbath were about what would happen
Speaker 12: in the auto industry if actually the Chinese manufacturers who
Speaker 12: are coming into Mexicogo were permitted to import into the
Speaker 12: United States.
Speaker 1: Congressman Mike Turner made those comments on EBC's This Week
Speaker 1: Heard Every Sunday on Bloomberg Radio Now.
Speaker 2: Karen Too a Bloomberg News exclusive. Apple is in talks
Speaker 2: to build Google's Gemini artificial intelligence engine into the iPhone.
Speaker 2: Sources say the two companies are in active negotiations to
Speaker 2: let Apple licensed Gemini Google set of generative AI models
Speaker 2: to power some new features coming to iPhone software this year.
Speaker 2: Bloomberg technology reporter Mark German says the deal would shake
Speaker 2: up the artificial intelligence world.
Speaker 11: This would be a blockbuster agreement that has the potential
Speaker 11: to transform this still growing AI industry. Apple has been
Speaker 11: working on several new AI tools and services for iosaighteen
Speaker 11: effects of iPhone software update. Those are going to be
Speaker 11: based on Apple's homegrown AI models that Apple needs a
Speaker 11: partner for generative AI, that is the AI that all
Speaker 11: of us have been talking about for months.
Speaker 2: Bloomberg's Mark German says the deal would expand the two
Speaker 2: company search partnership as well. For years, Google's paid Apple
Speaker 2: billions to make its search engine the default option in
Speaker 2: the Safari web browser on iPhone and other devices. Shares
Speaker 2: of Alphabet are up more than two percent in the
Speaker 2: early trade, while Apple is hired by a half percent.
Speaker 1: Well, we turn to the economy now, Nathan the Fed.
Speaker 1: It leads a busy week for global policy decisions, and
Speaker 1: we get a preview from Bloomberg's Michael McKee.
Speaker 10: It's a big week for central bankers and those who
Speaker 10: invest on them. The Bank of Japan is the main event.
Speaker 10: Its governors have been inching ever closer to raising interest
Speaker 10: rates for the first time since two thousand and seven.
Speaker 10: While they may not go that far this week, they
Speaker 10: could end the purchase of stockytfs for their balance sheet
Speaker 10: or suggest the end of yield curve control as a
Speaker 10: rate strategy. Either could have a major impact on the
Speaker 10: en dollar rate. The Fed isn't going to move rates,
Speaker 10: but investors will be watching to see if US Central
Speaker 10: Bank officials increase their inflation forecasts or decrease the number
Speaker 10: of rate cuts they put into their dot plot. The
Speaker 10: Bank of England is also on hold. Growth has picked
Speaker 10: up an inflation come down some, but markets don't see
Speaker 10: an immediate rate cut on the horizon. Michael McKee, Bloomberg Radio.
Speaker 2: All right, Mike, thanks, We got some new economic data
Speaker 2: out of China. Industrial output and investment grew more strongly
Speaker 2: than at the start of the year. Bloomberg Daybreak Asia
Speaker 2: anchor Brian Curtis has more from Hong Kong.
Speaker 8: Factory output rose seven percent in January and February from
Speaker 8: the same period last year, and that was faster than
Speaker 8: an estimate of five point two percent. Fixed asset investment
Speaker 8: grew four point two percent, also better than forecast. Now,
Speaker 8: those numbers suggest the economy is gaining some traction. On
Speaker 8: the other hand, consumer spending is proving somewhat more elusive.
Speaker 8: Retail sales up five and a half percent, roughly in line.
Speaker 8: Consumer confidence is still weighed down by uncertainties over income
Speaker 8: in Hong Kong. Brian Curtis, Bloomberg Radio.
Speaker 1: All right, Brian, thank you, and it's time now for
Speaker 1: a look at some of the other stories making news
Speaker 1: in New York and around the world. For that, we're
Speaker 1: joined by Bloomberg's Michael Barr. Michael, good morning, Good morning Karen.
Speaker 13: Today the Supreme Court, we'll hear arguments in the National
Speaker 13: Rifle Association versus the Vello. The NRA alleges that the
Speaker 13: New York State Department of Finance Services violated the group's
Speaker 13: right to freedom of speech by urging banks and insurance
Speaker 13: companies to cut ties with the group. The question is
Speaker 13: whether a state government regulator can tell state banks and
Speaker 13: insurance companies not to underwrite insurance contracts for members because
Speaker 13: the risks presented by school shootings and the bad pr
Speaker 13: that it brings. One person is dead, two other people
Speaker 13: are in stable condition after shots were fired in Jacksonville Beach, Florida.
Speaker 13: Jacksonville Beach Mayor Christine Hoffman, this.
Speaker 7: Is player's weekend at Saint Patrick's Day. It's spring break.
Speaker 7: We have a lot going on out here, so the
Speaker 7: fact that we had a couple of bad actors out
Speaker 7: here that really made a dangerous situation for everyone is
Speaker 7: extremely tragic.
Speaker 13: Police say they are looking for multiple suspects after one
Speaker 13: or more of the shooters opened fire in a crowded
Speaker 13: outdoor area. The White House is urging the Senate to
Speaker 13: pass a bill that would force the sale of TikTok.
Speaker 13: The measure passed in the House with support from lawmakers
Speaker 13: and both parties. TikTok is owned by Chinese parent company
Speaker 13: bike Dance. Supporters of the bill say it would protect
Speaker 13: the data of TikTok's more than one hundred and fifty
Speaker 13: million users in the US from Chinese Community Party influence.
Speaker 13: But Democratic Congressman Rocana, who represents Silicon Valley and voted
Speaker 13: against TikTok bill, said concerns about CCP influence are misguided.
Speaker 9: Bike Dance is a Chinese company. It has sixty percent
Speaker 9: international investors, including KKR and General Atlantic. Three of the
Speaker 9: five board members are Americans. They have data that currently
Speaker 9: Oracle is managing in Texas.
Speaker 13: Congressman ConA spoke on ABC's This Week Heard Sundays on Bloomberg.
Speaker 13: The Biden administration is rolling out an executive order to
Speaker 13: strengthen women's health research standards across federal agencies. The National
Speaker 13: Science Foundation and Department of Health and Human Services are
Speaker 13: instructed to research ways to use artificial intelligence toward advancing
Speaker 13: women's health research. It also directs the HHS to expand
Speaker 13: data collection on women's midlife health and mental clause related research.
Speaker 13: Australians will soon be able to enjoy twenty six weeks
Speaker 13: of paid parental leave. Trade Union's president Michelle O'Neil SAIDs
Speaker 13: it's a win win situation.
Speaker 1: If you're able to stop work and receive pay, you're
Speaker 1: more likely to stay connected to your workplace.
Speaker 13: The new deal will be gradually introduced over the next
Speaker 13: three years. Global News twenty four hours a day, whenever
Speaker 13: you want it with Bloomberg News Now. I'm Michael Barr.
Speaker 13: This is Bloomberg.
Speaker 1: Karen, Sorry, Michael, thank you. It's time now for the
Speaker 1: Bloomberg Sports Update, brought to you by Tri State Audi,
Speaker 1: and for that we bring in John stash Hour. John,
Speaker 1: good morning, Good morning. Karen.
Speaker 14: Thrilling finished to the players Championship if any champs. Scottie
Speaker 14: Scheffler went out early, caught fire shot sixty four, got
Speaker 14: to twenty under part to take the leader, then waited
Speaker 14: to see if anyone could catch them. Three golfers went
Speaker 14: to a seventy second hole, one shot behind it in
Speaker 14: a birdie. All three settled for parts, including Wyndham Clark,
Speaker 14: who's pot was seemingly in the hole, and then it
Speaker 14: was in Scheffler, the first ever repeat winner.
Speaker 15: I needed some help obviously going in today if I
Speaker 15: wanted to win the tournament, and I felt like if
Speaker 15: I could go out and shoot a good, good round
Speaker 15: on the front nine, I could put myself in it
Speaker 15: as long as you know, one of them didn't shoot
Speaker 15: you know, four or five hundred on the front as well.
Speaker 15: And so the birdie on nine was huge, and you know,
Speaker 15: I was right right in the tournament the whole back nine.
Speaker 14: Meanwhile, a meeting planned for today is sit down between
Speaker 14: the PGA Tour players board that includes Tiger Woods and
Speaker 14: the Saudi Yassir Al Ramayan, who heads the fund that
Speaker 14: becks the Live Tour. That deal struck several months ago
Speaker 14: between the two tours not yet official. Tennis Carlos alcaraz
Speaker 14: Strait set in Dadil Medvedev won at Indian Wells for
Speaker 14: the second straight year. Igishyontec took the women's finally, and
Speaker 14: CAA tournament field is set defending champion yukon the top
Speaker 14: overall seat. Saint John's didn't make it. The Bubbles shrunk
Speaker 14: as four conference tournaments were won by teams unexpectedly that
Speaker 14: hurt the Red Storm, who then chose not to play
Speaker 14: the consolation in it at the Garden Rangers with the
Speaker 14: Islanders five to two with five different goal scorers. The
Speaker 14: Devil's lost three one at Vegas, Nets lost in overtime
Speaker 14: at San Antonio. The rookie Victor Weimbinyana scored thirty three
Speaker 14: at fifteen rebounds. The Celtics crushed the Wizards. Nick's played
Speaker 14: tonight at Golden State Nicks for two and zero. On
Speaker 14: this road trip, Jalen Brunson has scored forty five and
Speaker 14: forty two points. Yankees lost the Red Sox twelve to six.
Speaker 14: The Sock scored nine runs in the first inning. John
Speaker 14: Stash Edward Bloomberg Sports.
Speaker 2: I want to get you set for a trading week
Speaker 2: that'll be dominated by central bank policy decisions around the world,
Speaker 2: not the least of which coming from the Federal Reserve.
Speaker 2: We're joined now by Lori Calvacina, ahead of US Equity
Speaker 2: Strategy at RBC Capital Markets. Great to speak with you
Speaker 2: as always, Lourie. It's going to be a very busy week,
Speaker 2: but I want to get right first to your latest
Speaker 2: note looking at energy stocks as potential outperformers in this rally.
Speaker 2: Can you get into that a little bit for us?
Speaker 16: Sure, So thanks for having me as always, And look,
Speaker 16: I think there's just a lot going on in the
Speaker 16: energy space right now. Is obviously got some heightened geopolitical
Speaker 16: tensions and the backdrop the ail trices on the move.
Speaker 16: But when I put that aside and just look at
Speaker 16: our work, you know, the thing that's been coming up
Speaker 16: in my meetings there the past week is just there's
Speaker 16: all this worry about the said and inflation being sticky
Speaker 16: out there again, big topic of conversation.
Speaker 11: How do you play that well?
Speaker 16: Energy is one of the sectors that tends to actually
Speaker 16: outperform when ten year yields are rising. So we left
Speaker 16: our overweight on this year. It was somewhat of a
Speaker 16: controversial decision, but we said at the time that we
Speaker 16: really viewed it as an inflation hedge in our portfolio.
Speaker 16: We like the enthusiasm, our analysts, we like the evaluations,
Speaker 16: and so it's interesting to see you're really starting to
Speaker 16: see this sector move all of a sudden, and it's
Speaker 16: really kind of functioning in our portfolio, is the way
Speaker 16: we intend it to the start the year in case
Speaker 16: this inflation risk came back.
Speaker 2: Do you think then that energy could be a leader
Speaker 2: for the rally, that we could see a shift away
Speaker 2: from the megacap tech names that have dominated for the
Speaker 2: last several months.
Speaker 16: So I think you have to look at both sides
Speaker 16: of that trade, and I do think that energy as
Speaker 16: a natural beneficiary if that rotation trade, you know, does
Speaker 16: sort of resume in a sustainable way. And there are
Speaker 16: signs in the data that that rotation trade is really
Speaker 16: trying to get started again, not quite with the same
Speaker 16: kind of power that it had back in November and December,
Speaker 16: but we are seeing, you know, in a lot of
Speaker 16: different quant metrics that we look at, that you're starting
Speaker 16: to see some shift away. And I think energy is
Speaker 16: not really enough on its own to sort of absorb
Speaker 16: all that market cap. So I think there are things
Speaker 16: like small caps, you know, industrials has also been doing
Speaker 16: well of late. Financials is another one to keep an
Speaker 16: eye on. There's a lot of market cap there. But generally,
Speaker 16: I think the market is starting to respond to the
Speaker 16: idea that economic expectations are coming in better than expected
Speaker 16: GDP forecasts up to two point one percent for this year,
Speaker 16: and that really should pull people out of you know,
Speaker 16: kind of more of the defensive secular growth names to
Speaker 16: some extent, and into more cyclical areas of the market.
Speaker 16: Energy would be in that bucket, yeah.
Speaker 2: And that takes us to the policy decision and the
Speaker 2: look ahead to further Federal Reserve policy making for the
Speaker 2: rest of this year. Are you thinking that the Fed
Speaker 2: is going to push back even further on expectations that
Speaker 2: the first rate cut could come even later in the summer.
Speaker 16: So our team is still in the June camp, and
Speaker 16: you know, that has been in line with a lot
Speaker 16: of the messaging that we've seen from the FED with
Speaker 16: for quite some time. So we'll see, of course what
Speaker 16: the commentary shows. You know, I think that the idea
Speaker 16: of kind of March cut, you know that was so
Speaker 16: popular to come into the really sort of mystified me
Speaker 16: where that was coming from but that's obviously kind of undoing.
Speaker 16: That view has been a big focal point for investors
Speaker 16: this year, so our team still thinks they're going to
Speaker 16: move in June. I think, you know, the commentary is
Speaker 16: always of interest to me in terms of just the
Speaker 16: characterization of inflation and the economy. But we'll, you know,
Speaker 16: we'll see how the market reacts. I think there's so
Speaker 16: much anngst that's already been baked in.
Speaker 2: Just to talk a little bit more about that potential
Speaker 2: market reaction, what could the messaging from the FED do
Speaker 2: when it comes to your thinking about large cap versus
Speaker 2: small cap stocks, which, of course small cap is so
Speaker 2: sensitive to what happened in the economic.
Speaker 16: Data now, I think that's important. There are a few
Speaker 16: cross currents for small caps going on now right because
Speaker 16: the hot economy tends to benefit small caps. They do
Speaker 16: tend to be more cyclical and just sort of more
Speaker 16: exposed to those hopes and fears around where the domestic
Speaker 16: economy is headed. But at the same time, small caps
Speaker 16: have really needed rate cuts to kind of get their
Speaker 16: stabilization in versus large cap Historically, we two tend to
Speaker 16: see small caps out perform when the first cuts come
Speaker 16: in and they've pre traded a lot of that back
Speaker 16: in November and December. So I think the cuts are
Speaker 16: the kind of first issue, but I do think the
Speaker 16: economic descriptions matter as well, and so for small caps
Speaker 16: to work, we've really got to see the needle threaded
Speaker 16: where you get the cuts and the economic expectations continue
Speaker 16: to improve.
Speaker 17: This is Bloomberg day Break Today, your morning brief on
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