Speaker 1: Live from the Bloomberg Interacted Berger Studios. This is Bloomberg
Speaker 1: day Break for Wednesday, December seven two. Coming up this hour,
Speaker 1: the people have spoken Democrat Rockfield Warnock. When's the Senate
Speaker 1: runoff race in Georgia? Two of Donald Trump's companies are
Speaker 1: convicted in a criminal tax fraud trial, and Morgan Stanley
Speaker 1: is the latest company to slash jobs. New York Mayor
Speaker 1: Eric Adams welcome's new top appointees in his administration, plus
Speaker 1: an iconic New York City comedy club will close its doors.
Speaker 1: I'm Michael bar More ahead, I'm John Stashower in sports
Speaker 1: to shut out, win for the Devil's, the Islanders lost,
Speaker 1: met and Yankee free agent pictures are moving on. That's
Speaker 1: all's trendy head on Bloomberg day Break on Bloomberg eleven three,
Speaker 1: on New York, Bloomberg one, Washington, d C, Bloomberg one
Speaker 1: oh six one, Boston, Bloomberg nine sixties and Francisco Sirius
Speaker 1: XM one nineteen and around the world Old on Bloomberg
Speaker 1: Radio dot Com and via the Bloomberg Business Ship. Good
Speaker 1: Wednesday morning, I'm Any Morris and I'm Karen Moscow and
Speaker 1: US dot Index futures are lower this morning at six
Speaker 1: oh one on Wall Street. And we check the markets
Speaker 1: all day here at Bloomberg Radio. Right now, S and
Speaker 1: P futures down eight points or two tenths of a percent.
Speaker 1: Down Future is down thirty eight or one tenth of
Speaker 1: a percent, and NASDACK futures down thirty four points or
Speaker 1: three tenths of a percent. The decks in Germany is
Speaker 1: down a third of a percent right now, And attend
Speaker 1: your treasury down one thirty second you have three point
Speaker 1: five three percent. Amy Karen will have more on the
Speaker 1: markets in just a minute. But first, Democrats have one
Speaker 1: control of the Senate after a victory in Georgia's runoff
Speaker 1: election in Combent, Democrat Raphael Warnock defeated Republican challenger Herschel
Speaker 1: Walker fifty one percent to forty eight point six percent.
Speaker 1: Why do you voted, famire? Not that every single day.
Speaker 1: I am going to keep working for you. Walker has
Speaker 1: conceded to war Knock, encouraging his supporters to stay engaged
Speaker 1: in politics. I'm not gonna make any excuses now because
Speaker 1: we put a one hick of a fight and I do.
Speaker 1: That's what That's what we gotta do because this is
Speaker 1: much bigger. This is much bigger than herschel Walker to
Speaker 1: win for war Knock means Democrats have a fifty one
Speaker 1: to forty nine Senate majority. There will be divided government. However, Republicans,
Speaker 1: having narrowly gained House control, belamy with war Knock's decisive victory.
Speaker 1: Georgia Secretary of State Brad Raevensberger defended the integrity of
Speaker 1: this race, calling it honest and fair. You remember, Raethensberger
Speaker 1: was pressured by former President Trump after the election. We
Speaker 1: want everyone to know at your vote counts, it's gonna
Speaker 1: be safe, it's gonna be secure, it's gonna be accurate,
Speaker 1: and we're gonna actually audit this race. Whatever you wist
Speaker 1: of this race, so we can verify the voters. Here's
Speaker 1: what the results were on the machine. Here's what they
Speaker 1: are afterward. Did the hand help audit? Secretary of st
Speaker 1: Raethensberger spoke with our Washington corresponded Joe Matthew, who's on
Speaker 1: the ground in Georgia, catches show sound on weeknights at
Speaker 1: five pm Eastern on Bloomberg Radio. Karen, it was not
Speaker 1: a good day for Donald Trump. He was a prominent
Speaker 1: backer rehearsal Walker and at the same time there's news
Speaker 1: the former president suffered another defeat in court. We get
Speaker 1: the story from Bloomberg's at Baxter. Donald Trump's company has
Speaker 1: been found guilty of engaging in tax fraud for more
Speaker 1: than a decade. This is the first time a Trump
Speaker 1: business has been convicted of criminal conduct. Executives, including Allen Wiselberg,
Speaker 1: convicted of evading taxes on company paid perks, including free
Speaker 1: apartments and luxury cars. The conviction may make it harder
Speaker 1: for the Trump companies to do business. Trump himself was
Speaker 1: not charged in San Francisco. I'm at Baxter Bloomberg Daybreak,
Speaker 1: Great and thanks. Will have more reaction on the political
Speaker 1: news coming up in a few minutes. But first let's
Speaker 1: turn to Wall Street, where the view on the economy
Speaker 1: is yetting gloomy. Now Morgan Stanley is cutting jobs. To
Speaker 1: get the details live at Bloombergy Steve Rappaport, Good morning, Steve,
Speaker 1: Good morning, Karen, and Amy. Morgan Stanley will reduce about
Speaker 1: two percent of its global workforce as the bank braces
Speaker 1: for a possible recession. Sources tell Bloomberg roughly six hundred
Speaker 1: jobs are on the chopping block. CEO James Gorman hinted
Speaker 1: layoffs were coming when the bank reported earnings in October,
Speaker 1: saying they learned some things during COVID about operating more efficiently,
Speaker 1: and that's something the management team is working on for
Speaker 1: the rest of the year. Morgan's move comes as Goldman
Speaker 1: Sacks and Bank of America Warren Dell slow hiring as well.
Speaker 1: Live in New York, I'm Steve Rappaport Bloomberg Daybreak. All right,
Speaker 1: thanks Steven. Goldman Sachs is out with a downbeat view
Speaker 1: on the economy. We spoke with CEO David Solomon at
Speaker 1: Goldman's Financial Services conference. He says smaller bonuses and job
Speaker 1: cuts shouldn't come as a surprise. We always look at
Speaker 1: the environment, and we always sized the firm to the environment.
Speaker 1: If the environment gets tougher, we will obviously make decisions
Speaker 1: to size the footpront of the firm appropriately. That can
Speaker 1: come from slowing down firing, which we've already done considerably
Speaker 1: in the second half of the year um and that
Speaker 1: might also come from pruning in certain areas. Goldman Sachs
Speaker 1: CEO David Solomon spoke with Bloomberg's Channelly Basset, another Well
Speaker 1: Street CEO, is also weighing in on the economy amy
Speaker 1: and its impact on his firm. Bank of America's Brian
Speaker 1: moynahan says there are signs of consumer weakness. Was spending
Speaker 1: starting to slow. The evidence shows it. Yes, the economy
Speaker 1: is being slowed by the higher indust rates, by the
Speaker 1: fact that the inflation is eating up more of a
Speaker 1: person savings. They need to get down under control. That
Speaker 1: means higher interest rates. On the other hand, you've seen
Speaker 1: them slow down, which ought to put less price pressure.
Speaker 1: That means they could slow down. So that's going to
Speaker 1: be a debate. I think we need a few more
Speaker 1: months to see whether it's just a trend or not.
Speaker 1: And Bank of America's Brian moynahan says consumers spending at
Speaker 1: the bank rose five percent in November, and that's a
Speaker 1: lower rate than prior periods. In Asia, China continues to
Speaker 1: relax COVID restrictions. Today brought another round of announcements from
Speaker 1: the government. Bloomberg's John Lou reports from Beijing. New measures
Speaker 1: were announced today that allow people infected with COVID to
Speaker 1: quarantined at home. As a nationwide policy authorities are also
Speaker 1: trying to rein it unnecessary PCR testing by scrapping the
Speaker 1: need to show a negative test result for most public venues.
Speaker 1: Those moves are the latest sign that the government is
Speaker 1: trying to ease its zero tolerance COVID strategy and that
Speaker 1: growing public discontent. The actions also suggest that China's most
Speaker 1: senior leaders are willing to tolerate higher case numbers to
Speaker 1: avoid more social and economic term win in Beijing. On
Speaker 1: John lou bloom Break, Day Break, Great John, Thanks well.
Speaker 1: Back here in the US, we have an ominous forecast
Speaker 1: from an iPhone supplier in Asia. I'm you're out of
Speaker 1: manufacturing expects Apple to further reduced iPhone fourteen production plans.
Speaker 1: It cites weak demand. The Japanese company is a lynch
Speaker 1: pin of the smartphone industry, providing components to Apple, Samsung,
Speaker 1: and many others. Futures this morning are a little bit lower.
Speaker 1: SMP futures down six points, down about two tents of
Speaker 1: upper cent. Straight ahead your latest local headlines plus the
Speaker 1: check of sports. This is Bloomberg. Thank you. Karen. Five
Speaker 1: oh seven on Wall Street, fifty seven degrees now in
Speaker 1: New York with scattered showers for the day. Mild temperatures too.
Speaker 1: We're going up to sixty today. Let's bring in Michael
Speaker 1: Barr with more on what else is going on in
Speaker 1: New York and around the world. Good morning, Michael, Good
Speaker 1: morning Amy. New York Mayor Eric Adams will fill two
Speaker 1: top appointed posts at City Hall with two women from
Speaker 1: inside his administration. Camille Varlac, senior advisor to the Mayor,
Speaker 1: will become Chief of Staff, replace from retiring Frank Corone.
Speaker 1: Gina right now Jeoputy Mayor of Strategic Initiatives will become
Speaker 1: first Deputy Mayor, replacing retiring Lorraine Grillo. Mayor Adams says
Speaker 1: they will have big shoes to fill. Shea Camille all
Speaker 1: continue to tradition a strong women in this administration, especially
Speaker 1: strong women of color. The appointments will be effective January.
Speaker 1: Former Broome County, New York District Attorney Steve Even Cornwell
Speaker 1: has pleaded guilty to grand larceny. Cornwell admitted to stealing
Speaker 1: felony case records of his prior criminal conviction. Current d
Speaker 1: A Michael Cornchack says that Cornwell stole case files and
Speaker 1: county records that documented his conviction, including for d U
Speaker 1: I an assault on an officer. He also went into
Speaker 1: the computer files of the district attorney and altered his
Speaker 1: name and deleted his day of birth from that prior
Speaker 1: criminal conviction. D A. Corn Chack says that Cornwell was
Speaker 1: sentenced to a three year conditional discharge and find five
Speaker 1: thousand dollars. Today, America marks any one years after the
Speaker 1: Pearl Harbor attack. The number of World War Two survivors
Speaker 1: from that day are dwindling. One one year old Lou
Speaker 1: Counter in Grass Valley, California, regrets, due to his age,
Speaker 1: that he will not be able to attend today his
Speaker 1: remembrance events. He was a sailor on board the ill
Speaker 1: fated USS Arizona. I'd love to be there because there's
Speaker 1: only two of us still living there. More than two
Speaker 1: hundred Americans were killed in the surprise Japanese attack, and
Speaker 1: an iconic New York City comedy club is closing up shop,
Speaker 1: Caroline's on Broadway to close its doors after forty years.
Speaker 1: The final day will be on December thirty one. Global
Speaker 1: News twenty four hours a day on air and on
Speaker 1: Bloomberg quick Take, powered by more than twenty seven hundred
Speaker 1: journalists and analysts, and more than one hundred twenty countries.
Speaker 1: Michael Barr and this is Bloomberg Amy. All right, thank you, Michael.
Speaker 1: It's so nine on the Wall Street. Time now for
Speaker 1: the sports report, brought to you by Try stand OUTI.
Speaker 1: Here's John's Tash hour. Okay, Jacob de Graham was not
Speaker 1: the Mets only free agent pitcher Taiwan Walker, All Star
Speaker 1: in one then had a solid season, going twelve and
Speaker 1: five three and a half the r A. Walker not
Speaker 1: only leaving the Mets, he's joining the Phillies, who continue
Speaker 1: to spend, having already added trade turner Javison Tayone leaving
Speaker 1: the Yankees heading to the Cubs. Dione came to New
Speaker 1: York for the history of injuries and illness, but he
Speaker 1: was dependable this fast season, making thirty two starts, led
Speaker 1: the team and wins with fourteen. The Cubs also signed
Speaker 1: Cody Bellinger the two thousand nineteen n l m v
Speaker 1: P with the Dodgers. Yanks have signed free agent reliever
Speaker 1: Tommy Keenley. He was with them before. As for Aaron Judge,
Speaker 1: thank you, gentle. Manager Brian Cashman was on the Yes Network.
Speaker 1: Certainly hopeful, but we're not driving this bus obviously, Mr Judges,
Speaker 1: and um, you know, he put himself in a great
Speaker 1: position clearly with a historic season, and he's had an
Speaker 1: amazing career thus far. And you know one that if
Speaker 1: he continues to take him all the way to Cooper's Town.
Speaker 1: But we want every stop along the way between now
Speaker 1: and and hopefully that final destination to be here in
Speaker 1: the Brocks for us Kashman and Mets. He has to
Speaker 1: wait for, as he says the judge, Domino to fall
Speaker 1: before he knows what to do next. On the ice,
Speaker 1: Devils three Nothings shut out of Chicago defenseman Dougee Hamilton's
Speaker 1: in on all three goals. Islanders lost at home to St.
Speaker 1: Louis seven to four. Locals matt College hoops that Rose
Speaker 1: Hill Fordham beat Wagner and the Lambs are nine and one.
Speaker 1: Double hetter at the Garden, Duke beat Iowa after Illinois
Speaker 1: beat second rank Texas in overtime. Two days off at
Speaker 1: the World Cup after Portugal routed Switzerland six to one
Speaker 1: and Morocco upset Spain on penalty kicks. Quarterfinals Friday and Saturday.
Speaker 1: In guitar forty Niners, quarterback Jimmy Garoppolo may not miss
Speaker 1: the rest of the season, does not need surgery on
Speaker 1: his injured for if he does return, with not being
Speaker 1: until the playoffs. Another TB. Baker Mayfield released by Carolina
Speaker 1: claimed on waivers. Buddy L. A. Vans, John Stashwer Bloomberg Sportsman.
Speaker 1: All right, thank you, John. The Bloomberg Sports Report was
Speaker 1: brought to you by Audie. Don't let someone else drive
Speaker 1: off in the Audi model you've always wanted. Visit your
Speaker 1: local try state Audie dealer to get behind the wheel
Speaker 1: of yours today, or visit Autie Offers dot com for
Speaker 1: more information. Futures are lower s and P down seven
Speaker 1: point STAF futures down twenty three points, NASDAC features down
Speaker 1: thirty two points. Ten year treasury unchanged at three point
Speaker 1: five three percent. They yield a two year yield at
Speaker 1: four point three four percent, and Nimex crude now trading
Speaker 1: at seventy three dollars a bar. A good Wednesday morning
Speaker 1: at six twelve on Wall Strength. This is Bloomberg Daybreak.
Speaker 1: Democrats have one outright control of the Senate after a
Speaker 1: victory in the runoff election in Georgia last night. We're
Speaker 1: joined now by Wendy Schiller, director of the Talfman Center
Speaker 1: for American Politics and Policy at Brown University. Thank you
Speaker 1: so much, Professor Schiller for joining us this morning. We
Speaker 1: got those results much sooner than expected. A lot of
Speaker 1: folks we're saying it could take days before we really
Speaker 1: knew who won this runoff, but no, it only took hours.
Speaker 1: What's that tell you, well, Gorning Amy, I mean, what's
Speaker 1: interesting is that there's sort of a big debate about
Speaker 1: early voting, bail and voting and then day of voting.
Speaker 1: Republicans tend to vote in bigger numbers on day of voting,
Speaker 1: although in some states, uh in the mid terms, they
Speaker 1: get out in person and the early voting stages as well.
Speaker 1: But Democrats wrapped up really big numbers in early voting
Speaker 1: in what in multiple forms, and that means that Republicans
Speaker 1: have to play catch up on election day and get
Speaker 1: all these votes out the door and make sure all
Speaker 1: these people who said they were going to vote get
Speaker 1: out the door. And without a governor's race at the
Speaker 1: top of the ticket and a relatively popular governor in
Speaker 1: Brian Kemp, you know, I think that heart visual Walker,
Speaker 1: and particularly in some of these very red very rural
Speaker 1: Republican counties. He just missed the mark. He lost by
Speaker 1: a copper or percentage points um in terms of his turnout,
Speaker 1: and he didn't get enough of a victory in some
Speaker 1: of those Republican areas to counter or an ex tremendous
Speaker 1: advantage in very highly populous Democratic counties. Still a divided
Speaker 1: government though Republicans have the majority in the House. It's slim,
Speaker 1: but they have it. Democrats also have a majority in
Speaker 1: the Senate, also very slim. So do you expect more gridlock?
Speaker 1: Can they find a way to cooperate? Well, there are
Speaker 1: two big, huge, woming questions. I think what immediate is
Speaker 1: whether the government shuts down, which won't happen. The Democrats,
Speaker 1: you know, are running things in the lame duck session.
Speaker 1: They still have control of the chamber. They'll find a
Speaker 1: way to pass a funding bill. How long that funding
Speaker 1: bill goes for that's the question mark. Then there's the
Speaker 1: debt ceiling and what we don't even though sort of
Speaker 1: I think people who are the Democrats side are watching
Speaker 1: with glee as as McCarthy has challenged with the speakership
Speaker 1: and there's such a majority for the Republicans, they seem
Speaker 1: a little bit in disarray. That's a problem for getting
Speaker 1: the dead ceiling past. I mean, you need functional government.
Speaker 1: You can have polarization, but you need to get some
Speaker 1: of these things actually and you know, passed. So I
Speaker 1: think that's the looming question is will to be enough
Speaker 1: functionality on the Republican side to pass a debt limit
Speaker 1: extension and so that that's a big question mark, and
Speaker 1: whether the Democrats try to do it now because they're worried.
Speaker 1: That may be good for policy, but it will take
Speaker 1: the pressure off the Republicans will stay some control in
Speaker 1: the House after January three. Now, let me ask you
Speaker 1: about something in the Senate, because we have seen in
Speaker 1: the past Senator's mansion and Cinema not really telling the
Speaker 1: Democratic party line all of the time, sometime throwing up
Speaker 1: those speed bumps and keeping some pieces of legislation from
Speaker 1: passing as long as they were able to get their
Speaker 1: their mandates in So my question for you is does
Speaker 1: this little bit breathing room effectively buffer that impact that effect? Um,
Speaker 1: I don't think so. I mean, I think fifty one.
Speaker 1: You know, anything can happen any time in terms of
Speaker 1: the Democrat Party, in terms of the health of Democratic senators.
Speaker 1: We've seen this most recently. Um uh. You know where
Speaker 1: people become ill and then they they're not there for votes,
Speaker 1: and then you're stuck Tamla Harris. You get a little
Speaker 1: breathing room. But I think also politically, you can't afford
Speaker 1: to alien Arizona for the Democrat Party. Uh and West
Speaker 1: Virginia that doesn't vote Democrat in that presidential race. But
Speaker 1: Manchion is still a kind of barometer for the Democrat Party. Uh.
Speaker 1: And it's it's managed to push the party a little
Speaker 1: bit back to the center, which we've seen in two
Speaker 1: probably protected the Democrats that's on the Senate side in particular,
Speaker 1: more than they would have been if they didn't have
Speaker 1: these particular senators pushing them back to the middle. I
Speaker 1: also wonder if this somehow improves Democrats chances in hear
Speaker 1: me out. It just seems as though it may be
Speaker 1: not a blue wave, not a red wave, but pendulum
Speaker 1: swinging away from that Trump effect that we've been seeing
Speaker 1: for the past few years. Amy I said, all depends.
Speaker 1: I've been trying to find do my homework on the
Speaker 1: Republican Nominating Convention rules, because you know, the Democrats are
Speaker 1: not talking about how they're going to structure their primaries.
Speaker 1: You know, are they going to keep proportional representation which
Speaker 1: kept Trump alive In the first part of the of
Speaker 1: the Republican nominating process, they split it up between win
Speaker 1: or take all proportional representation. These things are gonna matter.
Speaker 1: People don't pay much attention, but it certainly matters. You know,
Speaker 1: a more fringe E candidate can stay alive under that circumstance,
Speaker 1: winner take all, they can't really stay alive is easily.
Speaker 1: Are you gonna look for Glenn Young Kin, Ron de Santas,
Speaker 1: Brian Kemp, for example, to lead the party going forward?
Speaker 1: Or or will the wing of the party that loves
Speaker 1: Trump still control that? And I think clearly in two
Speaker 1: Trump was an electoral liability. So the Republicans have to
Speaker 1: decide that. But Democrats talk other pressures. Voting Rights Act,
Speaker 1: for example, John Lewis Voting Rights Act couldn't get it
Speaker 1: done because of the filibuster. Will they get rid of
Speaker 1: the filibuster legislated filibuster meaning will they lower the threshold
Speaker 1: the fifty one votes to get something past? That's legislation
Speaker 1: they've already done up for executive nominations, judicial nominations. Will
Speaker 1: they do it for legislation, but chicularly since we saw
Speaker 1: some states adopt more voter suppression laws. Although Tronaut was
Speaker 1: very high in Georgia. Warnock made a point of that
Speaker 1: in his acceptance each very interesting. Don't ignore voter suppression
Speaker 1: just because we all turned out to vote and overcame
Speaker 1: those obstacles. That's gonna be a big pressure points, particularly
Speaker 1: going into twenty four for the Democrats. And how are
Speaker 1: they going to handle that now that they have a
Speaker 1: little more breathing room what you say, and they're more
Speaker 1: key race um Warnock won anyone in the end, pretty big,
Speaker 1: all right. Wendy Schiller, director of the Talibman Center for
Speaker 1: American Politics and Policy at Brown University. We're gonna have
Speaker 1: more on this with Wendy Schiller later at this hour.
Speaker 1: As MP futures down nine, Death Futures down thirty eight,
Speaker 1: Nasdaq features down at thirty nine. Bloomberg Day Break is
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Speaker 1: j c F n y dot org, Markets headlines and
Speaker 1: breaking news twenty four hours a day at Bloomberg dot com,
Speaker 1: a Bloomberg Business outland at Bloomberg Quick Take this She's
Speaker 1: a Bloomberg Business flash and I'm Karen Moscow. And this
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Speaker 1: y dot org. U stock index futures are dropping this
Speaker 1: morning as week Chinese trade data adds to concerns about
Speaker 1: the health of the global economy. We check the markets
Speaker 1: all day here on Bloomberg radios and p future is
Speaker 1: down about nine points or two tens of upper sent.
Speaker 1: Dow futures down forty one or a ten of upper cent,
Speaker 1: NASA futures down three tens of upper cent or about
Speaker 1: thirty seven points. The decks in Germany's down a third
Speaker 1: of up percent ten Your treasury little change. You'll three
Speaker 1: point five three percent in the yield on the two
Speaker 1: year four point three four percent. That's a Bloomberg Business flash.
Speaker 1: Now here's Michael Barr with more on what's going on
Speaker 1: around the world, Michael Karen, thank you very much. Senator
Speaker 1: Raphael Warnock defeated Republican challenge Herschel Walker in their runoff
Speaker 1: for Georgia's Senate seat, giving Democrats a fifty one forty
Speaker 1: nine edge in the Upper Chamber. Warnock beat Walker with
Speaker 1: fifty one point four percent of the vote. More on
Speaker 1: the Georgia race in a minute. In a sharp reversal,
Speaker 1: China has announced a series of measures rolling back some
Speaker 1: of its most draconian anti COVID nineteen restrictions. The National
Speaker 1: Health Commission announced that COVID nineteen test and a clean
Speaker 1: bill of health displayed on a smartphone app would no
Speaker 1: longer be required in the NHL. The Devil's won, the
Speaker 1: Islanders lost. Global news twenty four hours a day on
Speaker 1: here and on Bloomberg quick Take, powered by more than
Speaker 1: twenty seven hundred journalists an analyst in more than one
Speaker 1: twenty countries. I'm Michael Barr. This is Bloomberg Gaming all right,
Speaker 1: Thank you, Michael. It is on Wall Street. I'm Amy Morris.
Speaker 1: This is Bloomberg Daybreak. Democratic Senator f L. Warneck As
Speaker 1: Unchaeld was just telling you one re election in Georgia,
Speaker 1: defeating challenger Republican herschel Walker. We want to continue our
Speaker 1: conversation about this with Wendy Schiller, the director of the
Speaker 1: Talban Center for American Politics and Policy at Brown University,
Speaker 1: and Wendy. We were talking earlier this morning with Terry
Speaker 1: Haynes of PANGEA Policy, and he believes this could mean
Speaker 1: the end of Donald Trump in the GOP. The task
Speaker 1: for the Republican Party over the past two years has
Speaker 1: been that, you know, how do we get channel we
Speaker 1: how do we get past this particular speed bump. And
Speaker 1: you know that process I think has greatly accelerated since
Speaker 1: the UH, since the mid terms. But between the mid
Speaker 1: term results, Trump's tone deaf announcement and UH, and then
Speaker 1: the whole business about suspending the Constitution, which is UH,
Speaker 1: I really think is beyond the pale for h For
Speaker 1: a great number of the party leaders. They're gonna look
Speaker 1: now to try to make sure he's fenced out. Now
Speaker 1: does he have a point there? Well? I mean, you know,
Speaker 1: the question is do you get you sort of allowed
Speaker 1: Donald Trump or pushed down Trump to fade into the background.
Speaker 1: But what about Trump? Is um? You know that the
Speaker 1: issues that Trump raised and and one on in sixteen
Speaker 1: have not gone away. And we've seen a consistent loyalty
Speaker 1: two Republicans among people who are less than college educated,
Speaker 1: let's say, um or high school educated and consider themselves
Speaker 1: a quote unquote working class that used to be fodder
Speaker 1: for the Democrats. Now it's been consistently uh fodder for
Speaker 1: the Republicans, and they're turning out. And so that's still
Speaker 1: a very big issue for the Democrat Party if they
Speaker 1: want to be competitive in places like Pennsylvania and like
Speaker 1: Arizona and like Georgia, they're not always going to get
Speaker 1: these unique circumstances with with some pretty bad candidates on
Speaker 1: the Republican side. So I think it would be mistake
Speaker 1: for the Democrats to say, well, Trump has gone, so
Speaker 1: then Trump is um has gone. I don't think that's true.
Speaker 1: As I mentioned, there are some other candidates that are
Speaker 1: you know, they're threading the needle with the Republican Party
Speaker 1: and they seem to be better at it right now,
Speaker 1: and they happen to be governors, which of course is
Speaker 1: a good position to be in the Republican Party. So
Speaker 1: that's the issue. Still have margorite Sella Green, You still
Speaker 1: have Matt Gates, you till Louie Gomer. You have a
Speaker 1: lot of people in the House that willy echo those
Speaker 1: same exact messages that Trump does, and they're going to
Speaker 1: see an opportunity to move up in visibility if there's
Speaker 1: a vacuum left by the departure of Trump. To your point,
Speaker 1: it was a red wave in Georgia. You're absolutely right.
Speaker 1: Every Republican candidate in the state of Georgia won their
Speaker 1: race except for that Senate race. So it sounds like
Speaker 1: maybe a repudiation of Trump himself, but not Trump is
Speaker 1: um as you were just saying, Yeah, I mean, I
Speaker 1: think there's a question of rule of law, right, I
Speaker 1: mean what Brad Glassenberger and Brian Kemp stuck to their guns,
Speaker 1: obviously under enormous pressure from lots of sources to sort
Speaker 1: of change literally change the outcome, not count votes, not certify,
Speaker 1: and they stuck to it and they won big. And
Speaker 1: that tells you that within the Republican Party there are
Speaker 1: people who want the Republican policy platform and they want
Speaker 1: rule of law. Same thing with Arizona there, you know,
Speaker 1: Republicans lost, you know, some of those races, trains, General
Speaker 1: still in debate, but nonetheless it's the same messaging, which
Speaker 1: is to say, you know, we want to win. We
Speaker 1: think our policies are right, but we want to win. Uh.
Speaker 1: There a stable electoral system where we accept the outcome
Speaker 1: of elections. And I think if Republicans cleared that, which
Speaker 1: I think they're starting to do across the country, then
Speaker 1: they go back to issue messaging and so Democrats can't
Speaker 1: rely on, you know, the rejection of people who are
Speaker 1: really fall off the ranch to keep winning elections with
Speaker 1: or without Trump. Wendy Schiller, director of the Talman Center
Speaker 1: for American Politics and Policy at Brown University. Always great
Speaker 1: to get your insight. Thank you so much for bringing
Speaker 1: us up to speed on this, and we're going to
Speaker 1: continue to follow this developing story and not really developing.
Speaker 1: It was breaking story out of Georgia that Raphael Warnock
Speaker 1: won re election in that Georgia runoff. Coming up next,
Speaker 1: we'll bring you this morning's top stories, your local headlines,
Speaker 1: and a check on markets. And we're going to check
Speaker 1: the markets now on SMP futures seven points lower, DAL
Speaker 1: futures down thirty five, NASTAC futures down at thirty four.
Speaker 1: Now Let's take a look at to days of Bloomberg
Speaker 1: weather forecast. Clouds and scattered showers for today, Temperatures on
Speaker 1: the mild side, fifty five to sixty. Tonight we start
Speaker 1: to dry things out. It will become partly cloudy. Overnight
Speaker 1: lows a mild forty five to fifty. Even the suburbs
Speaker 1: will probably be around forty. Tomorrow, mixture of clouds and sunshine.
Speaker 1: It's fifty to fifty five, partly mostly cloudy, weather developing
Speaker 1: on Friday, with highest close to forty five. I'm Rob
Speaker 1: Caroline with your three day forecast on Bloomberg eleven three
Speaker 1: oh broadcasting live from the Bloomberg Interactive Broker Studio in
Speaker 1: New York. Bloomberg E Loving Freedom to Washington, d C,
Speaker 1: Bloomberg ninety nine one to Boston, Bloomberg one O six
Speaker 1: one does San Francisco, Bloomberg sixty to the country, Sirius
Speaker 1: xm H had a one nine te and around the globe,
Speaker 1: the Bloomberg Business apt and Bloomberg Radio dot Com. This
Speaker 1: is Bloomberg Daybreak. It's coming up on sixty on Wall Street.
Speaker 1: Good Wednesday morning. I'm Amy Morris and I'm Karen Most yal.
Speaker 1: We are about three hours away from the open of
Speaker 1: US training. It's time for the five things you need
Speaker 1: to notice start your day. Brought to you by Interactive
Speaker 1: Broker's bond marketplace access their vast selection of over one
Speaker 1: million global fixed income securities with no markups, are built
Speaker 1: in spreads and low transparent commissions. Learn more at ib
Speaker 1: k r dot com slash bonds. First incumbent Senator Raphael
Speaker 1: Warnock defeated Republican challenger herschel Walker fifty one point four
Speaker 1: percent to forty eight point six percent in the Georgia
Speaker 1: runoff race, securing outright control of the Senate for Democrats.
Speaker 1: If we have value, we ought to have a voice.
Speaker 1: And the way to have a voice is to have
Speaker 1: a vote to determine the direction of your country and
Speaker 1: your destiny within it. Herschell Walker conceded to Warnock, encouraging
Speaker 1: supporters to stay engaged in the political process. We can't
Speaker 1: blame no one, because I want you to continue to
Speaker 1: believe in this country, believe in our elected of fish,
Speaker 1: and most of all, stay together to win for Warnock.
Speaker 1: Means Democrats have a fifty one to four nine Senate majority,
Speaker 1: with Warnox and decisive victory. Georgia Secretary of State Brad
Speaker 1: Rappensburger defended the integrity of the race. Now, you may
Speaker 1: remember Rapinsburger was pressured by former President Trump afterction. Now,
Speaker 1: not just in Georgia, but all of the country. In Georgia,
Speaker 1: we have honest, fair elections have secured and they run smooth.
Speaker 1: Secretary of State Rappensburger spoke with our Washington correspondent Joe Matthew,
Speaker 1: who's on the ground in Georgia. You can catch his
Speaker 1: show sound on weeknights at five pm Eastern on Bloomberg Radio. Well,
Speaker 1: it's not a great day for Donald Trump. Amy, The
Speaker 1: former president back her Shaw, Walker, and two of his
Speaker 1: companies wore found guilty of engaging in tax fraud for
Speaker 1: over a decade. Trump himself was not charged. Well, Karen,
Speaker 1: let's turn down to Wall Street, where news of job
Speaker 1: cuts signal concerns for the broader economy. Bloomberg Steve Rappaport
Speaker 1: joins us live with the latest. Good morning, Steve, Good
Speaker 1: morning Amy and Karen. It's actually a morning of uncertainty
Speaker 1: at Morgan Stanley, where roughly six hundred employees are expected
Speaker 1: to head to an early exit. Sources tell Bloomberg the
Speaker 1: bank is cutting about two percent of its global workforce.
Speaker 1: Morgan added more than twenty jobs since the pandemic began,
Speaker 1: but with COVID in the rear view mirror for many,
Speaker 1: CEO James Corman says it's time to apply some of
Speaker 1: the lessons learned during the pandemic about operating more efficiently.
Speaker 1: Live in New York Times Steve Rappaport Bloomberg Daybreak, All Right, Steve,
Speaker 1: thanks so. Bank of America's CEO Brian moynahan is also
Speaker 1: weighing in on the economy, saying there's signs of consumer weakness.
Speaker 1: The economy is being slowed by the higher interest rates,
Speaker 1: by the fact that the inflation is eating up more
Speaker 1: of a person savings. They need to get that under control.
Speaker 1: That means higher interest rates. But on the other hand,
Speaker 1: you've seen them slow down, which ought to put less
Speaker 1: price pressure, and Bank of America's Brian moynahan says it's
Speaker 1: unclear at this point if slowed consumers spending will become
Speaker 1: a broader trend. And as the five things say you
Speaker 1: need to know to start your day. Brought to you
Speaker 1: by Interactive Brokers, futures this morning are lower, with SMP
Speaker 1: futures down about eleven points. Straight ahead, You're latest local
Speaker 1: headlines plus the check of sports. This is Bloomberg. It's
Speaker 1: six thirty one on Wall Street. Let's bring in Michael
Speaker 1: barn Now with more on what else is going on
Speaker 1: in New York and around the world. Good morning, Michael,
Speaker 1: Good morning Amy. Funeral services will be held today for
Speaker 1: the Yonkers police sergeant who was killed in a car
Speaker 1: crash last week. Mourners will gather for Frank Gardeno at
Speaker 1: Sacred Heart Church and Yonker's. The fifty three year old
Speaker 1: was killed when police say a teenage driver with a
Speaker 1: justa Learners permit lost control of his BMW and slammed
Speaker 1: head on into Gardeno's police car on Tucahoe Road. New
Speaker 1: York City Mayor Eric Adams is filling the top two
Speaker 1: appointed posts at City Hall after recent retirements. Mayor Adams
Speaker 1: says Camille Varlac, a senior adviser to the Mayor, will
Speaker 1: become Chief of Staff, and Sheena right Now, Deputy Mayor
Speaker 1: of Strategic Initiatives, will become first Deputy Mayor. These are
Speaker 1: huge shoes to fill, but these two ladies in their
Speaker 1: red bottoms. They're going to bring their own pair, They're
Speaker 1: going to bring their own uniqueness, their own flair to
Speaker 1: these jobs. The appointments will be effective in January. A
Speaker 1: gay bar that was the side of the nineteen sixties
Speaker 1: six sip In has been given landmark status by New
Speaker 1: York City. Back then, a demonstration was held at Julius
Speaker 1: near the historic Stonewall in They were protesting the closure
Speaker 1: of other bars in the city for serving people who
Speaker 1: identified as lgbt Q. Andrew Berman is the executive director
Speaker 1: of Village Preservation. Three years before Stonewall, a couple of
Speaker 1: brave individuals got together and said, we're going to challenge
Speaker 1: the rules that basically make gay bars illegal. We're gonna
Speaker 1: sit at a bar. We're gonna say we are gay,
Speaker 1: and we demand to be served to drink. Herman says
Speaker 1: a resulted in a lawsuit that changed the rules and
Speaker 1: helps set in motion the Stonewall riots. After forty years,
Speaker 1: the comedy club Carolines on Broadaway will close its doors.
Speaker 1: Global News twenty four hours a day on air end
Speaker 1: on Bloomberg quicksakee, powered by more than seven hundred journalist analysts.
Speaker 1: More than a hundred twenty countries. I'm Michael bar This
Speaker 1: is Bloomberg Gaming. All right, thank you, Michael, thirty four
Speaker 1: in Wall Street. Time Now for the sports report, brought
Speaker 1: to you by Try State OUTI here's john s dash Our.
Speaker 1: All right, Amy, it'll be a different Mets rotation in
Speaker 1: twenty three. Justin Verlander and Jacob de Gram now Taiwan
Speaker 1: Walker both out. Walker just signed with the Phillies. Still
Speaker 1: not known about Chris Bassett, He's also a free agent.
Speaker 1: At the Winner meetings in San Diego, Mets manager Buck
Speaker 1: show Walter asked for the first time his reaction to
Speaker 1: de Gram's departure to Texas. He's moving a good situation
Speaker 1: and you know, contrary what a lot of people tried
Speaker 1: to you know, it wasn't something that he had pre ordained,
Speaker 1: you know, something that kind of played itself out, and
Speaker 1: it's one of those offers he couldn't afford to pass up,
Speaker 1: and you know, we wish him well. Yankees with a
Speaker 1: free agent signing, bringing back reliever Tommy Kane. Ley's had
Speaker 1: some injuries. Jamison Tyone, who led the Yankees and wins
Speaker 1: last season, just signed with the Cubs. Four year sixty
Speaker 1: eight million. The Cubs also signed Cody Bellinger, who was
Speaker 1: the two thousand nineteen m v P while with the Dodgers.
Speaker 1: Nix and Nets both home tonight, Nicks against Atlanta Net's
Speaker 1: take on Charlotte. The Rangers are in Vegas. Last night,
Speaker 1: Devils shutout Chicago three. Now through the Devil's at forty
Speaker 1: three points, that's the most in the NHL. Islanders got
Speaker 1: a five on deficit to five four, but they lost
Speaker 1: at home to St. Louis seven four. They've dropped three
Speaker 1: of the last four. Tennessee Titans are in first place,
Speaker 1: yet they just fired their general manager, John Robinson. Baker
Speaker 1: Mayfield at least by Carolina claimed on waivers by the Rams.
Speaker 1: Odell Beckham has visited the Giants and Cowboys. Still not
Speaker 1: known where he's going to sign. There are now reports
Speaker 1: that Beckham still hasn't recovered from the thorny cl he
Speaker 1: suffered the Super Bowl while playing for the Rams, and
Speaker 1: he may not be able to play until the playoffs.
Speaker 1: John stash Alan FRO Sports team, all right, thank you, John.
Speaker 1: Futures are lower this morning. SMP futures down nine points,
Speaker 1: DEL futures down thirty nine NASDAC futures down thirty nine points.
Speaker 1: Tenure treasury unchanged at three point five three. The Bloomberg
Speaker 1: Sports Report was brought to you by Audie. Don't let
Speaker 1: someone else drive off in the Audi model you've always wanted.
Speaker 1: Visit your local Tryoutie, try State Audie Dealer to get
Speaker 1: behind the wheel of yours today, or visit Audie Offers
Speaker 1: dot com for more information. It's six thirty five on
Speaker 1: Wall Street. Bloomberg Radio is on the air from San
Speaker 1: Francisco to New York, London to Hong Kong. Let's check
Speaker 1: in with our global news team for some of the
Speaker 1: top stories heard on our three hundred affiliate radio stations
Speaker 1: around the world. I'm Jeff Bullinger and on w TB
Speaker 1: N and Columbus. I'll be talking about how people intend
Speaker 1: to be more generous with their holiday kippy this year.
Speaker 1: I'm Stephen Carol and Bloomberg DAB Radio in London. We've
Speaker 1: been reporting on shares and the pharmaceutical giants GSK and
Speaker 1: SNA be soaring after a US judge rejected evidence in
Speaker 1: a case over the heartburn drugswntime Tom Courtney Donaholl on
Speaker 1: k j H in Houston, millions of millennials moved in
Speaker 1: with their parents this year on Sarring Reds. I'm Cory
Speaker 1: on w w J and Detroit. I'm reporting four dealers
Speaker 1: have agreed to no haggle sal and those are some
Speaker 1: of the stories our Bloomberg journalists and analysts are working
Speaker 1: on this morning. Around the world. It's five thirty or
Speaker 1: six thirty seven on Wall Street. The following is an
Speaker 1: editorial from Bloomberg Opinion. This editorial was written by the
Speaker 1: Bloomberg Editorial Board. Progress can be painfully slow in the
Speaker 1: American constitutional system. That makes it all the more important
Speaker 1: to recognize when the process works as it should. Last week,
Speaker 1: the Senate passed the Bipartisan Respect for Marriage Act, which
Speaker 1: enshrines federal protection for same sex marriages. Should the pill
Speaker 1: pass the House, is expected, President Joe Biden has said
Speaker 1: he'll promptly sign it. This stands as a landmark, as
Speaker 1: recently the US was solidly opposed to gay marriage. Today,
Speaker 1: thanks in large part two decades of hard work and
Speaker 1: political pressure by advocates for marriage equality, lawmakers and both
Speaker 1: parties have fashioned a bargain reflecting an new national consensus.
Speaker 1: That's how the democratic process is supposed to work. This
Speaker 1: editorial was written by the Bloomberg Editorial Board. For more
Speaker 1: Bloomberg opinion, please go to Bloomberg dot com, Slash Opinion
Speaker 1: or O P I n go on the Bloomberg terminal.
Speaker 1: This has been Bloomberg Opinion. Bloomberg Opinion editorials can be
Speaker 1: heard every weekday at this time. Terminal customers can read
Speaker 1: more at op I n go. Futures are lower this morning.
Speaker 1: S and P futures down nine points, DAL futures down
Speaker 1: thirty six, Nasdaq futures down thirty nine points. Ten year
Speaker 1: treasury unchanged, the yield now at three point three percent,
Speaker 1: the two year yield at four point three four percent.
Speaker 1: Niamex crude one percent higher, now fourteen cents higher, trading
Speaker 1: at seventy four dollars thirty nine cents a barrel. Bloomberg
Speaker 1: Opinion just ahead, we can talk with Bloomberg Senior Washington
Speaker 1: corresponded Joe Matthew. He's on the ground in Georgia, where
Speaker 1: Democrats have just won their Senate seat. This is Bloomberg Markets,
Speaker 1: headlines and breaking news twenty four hours a day at
Speaker 1: Bloomberg dot Com, the Bloomberg Business Outland at Bloomberg quick tape.
Speaker 1: This is a Bloomberg business slash and I'm Karen Moscow.
Speaker 1: This update is brought to you by ancient accountants and advisors,
Speaker 1: the right fit tax and accounting firm that you need
Speaker 1: to succeed. Visit us at antiin dot com slash v
Speaker 1: i P to learn more. That's ancient dot com slash
Speaker 1: v i P. Futures are lower this morning. We go
Speaker 1: to the First Word Breaking newsdesk for today's morning call,
Speaker 1: and here's Bill Maloney. Bill, good morning, Good morning, Karen.
Speaker 1: Modest losses in the US futures right now at death
Speaker 1: futures down thirty four points, SUPs drop b and as
Speaker 1: that futures are lower by thirty nine. The US ten
Speaker 1: yeal at three point five three percent, Gold is of three,
Speaker 1: Oil is little changed, and Bitcoin is trading lower by
Speaker 1: one percent. Hong Kong dropped three percent overnight. Note that
Speaker 1: shawny e It's COVID zero strategy well up markets are
Speaker 1: also in the red right now. Back in the US
Speaker 1: on the economic frintday thirty, non farm productivity and after
Speaker 1: the bellas Night told brother, this forecast beat estimates. In
Speaker 1: other news, Apple may cut iPhone four teen production. And
Speaker 1: further because if we demand that's according to a key supplier.
Speaker 1: Marauda Manufacturing also lowses buying back fifteen billion. Wrapping things up,
Speaker 1: Morgan Stanley cut Airbnb two underweek Live from the First
Speaker 1: Breaking News Desk one. Bill Maloney, Karen, all right, Bill,
Speaker 1: thank you a ba to hear live breaking news over here.
Speaker 1: Bloomberg type squalk on your termin I'll scue you a
Speaker 1: w K and that's a Bloomberg business flash. Now here's
Speaker 1: Michael Barrow with more on what's going on around the world.
Speaker 1: Michael Karen, thank you very much. Democrat Raphael war Knock,
Speaker 1: if he did Republican challenge Herschel Walker and Georgia's Senate
Speaker 1: reins his victory will increase the Democrats edge in the
Speaker 1: chamber fiftet nine Warnock the Walker with fifty one point
Speaker 1: four percent of the vote. More on the Georgia race
Speaker 1: in a minute. Two of Donald Trump's companies were found
Speaker 1: guilty of engaging in scheme that allowed executives such as
Speaker 1: former chief financial officer Alan Weisselberg, to evade taxes on
Speaker 1: company paid perks and included free apartments and luxury cars
Speaker 1: for more than a decade in the NHL, the Devil's won,
Speaker 1: the Islanders lost. Global news twenty four hours a day
Speaker 1: on air and on Bloomberg Quicktake, powered by more than
Speaker 1: hundred journalists analysts in more than a hundred twenty countries.
Speaker 1: I'm Michael bar This is Bloomberg, Karen, all right, Michael Berg.
Speaker 1: Thank you. At sixty two on Wall Street, we turned
Speaker 1: to news and science and technology now with the Bloomberg
Speaker 1: and j I T STEM Report. It is brought to
Speaker 1: you buy New Jersey Institute of Technology ben j I
Speaker 1: T offers New Jersey's first undergraduate degree in fintech tech
Speaker 1: driven finance focused What will you make it n j
Speaker 1: I T. Learn more at n j I T dot
Speaker 1: E d U slash Fintech Now. Here's just making news
Speaker 1: and science, technology, engineering, and math. China is retreating from
Speaker 1: the wide ranging COVID zero policy that is blamed for
Speaker 1: damaging the economy. Beijing will now allow some people to
Speaker 1: quarantine at home instead of in centralized camps. It's also
Speaker 1: scrapping virus tests to enter public venues. COVID zero pushed
Speaker 1: down consumer and business confidence. A big transaction in the
Speaker 1: video game industry. Microsoft and Nintendo have a great to
Speaker 1: a ten year deal to bring Call of Duty to
Speaker 1: Nintendo gaming platforms. The agreement is continued on Microsoft closing
Speaker 1: at sixty nine billion dollar acquisition of Activision Blizzard, the
Speaker 1: publisher of the popular shooter game, and Bloomberg News has
Speaker 1: learned Apple as scaled back ambitious self driving plans for
Speaker 1: its future electric vehicle. Sources say it's postponed the car's
Speaker 1: target and launch date by about a year to six.
Speaker 1: The car project of Tighten inside the company has been
Speaker 1: in limbo for the past several months, as Apple executives
Speaker 1: grapple with the reality that it's vision for a fully
Speaker 1: autonomous vehicle without a steering wheel or pedals is not
Speaker 1: feasible with current technology. And that's the Bloomberg and j I. T.
Speaker 1: Stem report. Amy, all right, thank you, Karen. It is
Speaker 1: sixty four on Wall Street and we continue follow the
Speaker 1: news out of Georgia and its impact on Capitol Hill,
Speaker 1: Democrats gaining outright control of the Senate. Rafael Warnock won
Speaker 1: the runoff election in Georgia, defeating Trump back Republican challenger
Speaker 1: herschel Walker fifty one point four percent to forty eight
Speaker 1: point six percent and joining US now Bloomberg senior Washington
Speaker 1: correspondent and host of Sound On. Joe Matthew and Joe
Speaker 1: just want to make it clear you're there, you are
Speaker 1: on the ground in Georgia. I'm curious what did you
Speaker 1: see particularly on election day and and reaction to the
Speaker 1: results overnight, particularly as far as voter engagement, turnout division.
Speaker 1: What are you seeing? Well, that's that's a big question.
Speaker 1: I'll tell you that the the lines died out yesterday
Speaker 1: morning and it looked like a very quiet afternoon, and
Speaker 1: it really reinforced the idea that the early vote was
Speaker 1: a huge part of this, that Raphael Warnock had mobilized
Speaker 1: his voters to get out over the course of two
Speaker 1: weeks to set a record in early voting. That really
Speaker 1: made yesterday apparently a little bit less of an I
Speaker 1: day for him, a very important one though for herschel Walker. Uh.
Speaker 1: At the same time, you know, we say that you
Speaker 1: look at the numbers this morning here, Uh, Raphael Warnock
Speaker 1: beat herschel Walker by thirty seven thousand votes. In the general.
Speaker 1: He beat them by almost a hundred thousand votes this
Speaker 1: time around ninety seven thousand, And it does make you
Speaker 1: think about what took place over the last four weeks
Speaker 1: in terms of the narrative around this campaign and what
Speaker 1: it would have looked like if there was a different
Speaker 1: candidate on the Republican side, and more specifically one not
Speaker 1: picked by Donald Trump. It's still going to be a
Speaker 1: divided government. I'm just looking ahead when everybody has sworn
Speaker 1: in and seated Republicans with the majority in the House.
Speaker 1: Democrats now have a majority in the Senate, and it's
Speaker 1: easy to say that where that just means gridlock. They
Speaker 1: may find a way to cooperate, but is there a
Speaker 1: path forward that they are able to get more things
Speaker 1: done than just the basics? I mean, can They can
Speaker 1: hardly agree on a budget now, So I'm wondering if this. Yeah.
Speaker 1: The thing is, the Senate can do a lot on
Speaker 1: its own aim and we need to remember this is
Speaker 1: the body that handles nominations, this is this is the
Speaker 1: body that approves judges, that confirms nominees for the administration's cabinet.
Speaker 1: That extra seat was really something that Democrats were taking
Speaker 1: seriously here. They don't have to have a power sharing
Speaker 1: agreement now with Republicans. They control the committees and they
Speaker 1: can clear judges and nominees on their own with a
Speaker 1: little bit of breathing room with regard to budgeting, though
Speaker 1: in other legislative issues. Think of how many times last
Speaker 1: year we talked about Joe Mansion almost as often kirston cinema.
Speaker 1: That's gonna be a little bit less the case now.
Speaker 1: Joe Mansion is not exactly going to be the kingmaker
Speaker 1: that he once was. With an extra seat and knowing
Speaker 1: that Kevin McCarthy likely to be Speaker, will have justice
Speaker 1: thin a margin as Nancy Pelosi had in the House,
Speaker 1: you could follow a path of gridlock, but you could
Speaker 1: also see these lawmakers being forced to work together, and
Speaker 1: they're gonna have an opportunity to do that first on
Speaker 1: defense spending. Right now, a sidebar you, is it a
Speaker 1: fate a complete that he is going to be House Speaker.
Speaker 1: That's a great question. He doesn't have the votes now,
Speaker 1: and a lot of folks say, look, maybe Steve Scalise
Speaker 1: could make an interesting move here, come from behind, but
Speaker 1: the fact is you gotta get to eighteen. And at
Speaker 1: the moment he's got at least five Republicans on the
Speaker 1: record who say no, I'm not aware of five Democrats
Speaker 1: who were going to say yes, so this could go
Speaker 1: to multiple rounds. The thing about this is, though, other
Speaker 1: than the aforementioned Steve Scalise who comes up in these conversations,
Speaker 1: there wasn't really a viable candidate running against him. Congressman
Speaker 1: Andy Biggs got thirty votes inside the Republican Caucus when
Speaker 1: this came to had a couple of weeks ago. But
Speaker 1: when it goes to the floor, it's unlikely that someone
Speaker 1: else will be able to stand up against Kevin McCarthy,
Speaker 1: and eventually, with some pain involved, he will likely get
Speaker 1: that gavel. Now I want to change the path just
Speaker 1: for one minute. We had talked about how this is
Speaker 1: another defeat for a Trump supported candidate on the national stage.
Speaker 1: It was not a good day for Donald Trump. Two
Speaker 1: of his companies were found guilty of criminal tax fraud,
Speaker 1: not him, just the companies. But what does that mean
Speaker 1: for the man who was once president and who wants
Speaker 1: to be president again? Yeah, I have to admit I
Speaker 1: don't know what the verdict yesterday was as damaging as
Speaker 1: the outcome of this race. Republicans are angry and they
Speaker 1: are pointing fingers at Donald Trump. Remember Ken Griffin called
Speaker 1: him a three time loser on election day. I guess
Speaker 1: this would make him a four time loser. He hands
Speaker 1: selected herschel Walker right, he endorsed him, He put him
Speaker 1: on the map. This could have been any number of
Speaker 1: candidates in a in a Republican leaning state like Georgia
Speaker 1: to have to go through this is something that Republicans
Speaker 1: are definitely dealing with this morning, and we're hearing we
Speaker 1: heard Terry Haines say it earlier here on Bloomberg Radio. Uh,
Speaker 1: it's it's it's a reckoning moment for Republicans, and many
Speaker 1: of them say it's time to move on. Let's see
Speaker 1: what happens at the beginning of next year when Joe
Speaker 1: Biden likely announces his run for re election and we
Speaker 1: actually have a general underway. I'll be curious to see
Speaker 1: how people feel about Donald Trump at that point. And
Speaker 1: just thirty seconds here, is there anything specific that you're
Speaker 1: going to be watching for on Capitol Hill? That's that's
Speaker 1: your home base. So what are you gonna be watching for? Well, look,
Speaker 1: we've got to fund the government. You know, circle December
Speaker 1: sixteen on your calendar. They still don't have a plan
Speaker 1: on this. Whether we're kicking into the new year in
Speaker 1: a short term cr or come to grips with some
Speaker 1: sort of omnibus budget. You already said it though, Amy,
Speaker 1: there's not a lot of agreement on Capitol Hill when
Speaker 1: it comes to spending, and that may not be any
Speaker 1: different this time, So we could be setting ourselves up
Speaker 1: for a fiscal cliff type of scenario next year. All right,
Speaker 1: thank you so much, Joe for taking the time with
Speaker 1: us this morning. Joe uh Set, Bloomberg Senior Washington correspondent,
Speaker 1: Joe Matthew talking to us from Georgia, host of Bloomberg's
Speaker 1: Sound on which you can hear weekday afternoons at five
Speaker 1: here on Bloomberg Radio. And we are looking at futures now,
Speaker 1: SMP futures down sixteen down, futures down eighty NASDAK futures
Speaker 1: down seventy eight points up. Next on Bloomberg Daybreak, Stocks
Speaker 1: on the move in pre market action, a check of
Speaker 1: the names that are making news and equities that's straight ahead.
Speaker 1: Much more still to come on this Wednesday morning. I'm
Speaker 1: Amy Morris. This is Bloomberg Markets, Headlines and breaking news
Speaker 1: twenty four hours a day at Bloomberg dot Com, the
Speaker 1: Bloomberg Business and at Bloomberg quicktake. This is a Bloombern
Speaker 1: business lash and I'm Karen Moscow and this update is
Speaker 1: brought to you by the Donors Fund, a modern innovative
Speaker 1: donor advised fund for everyone. Open a free account in minutes,
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Speaker 1: two text. Deduction Future is again lower this morning. SMP
Speaker 1: future is down about fifteen points, down a third of uppercent.
Speaker 1: Down Future is down seventy six or a quarter percent,
Speaker 1: and nasdack futures are down more than six tents of
Speaker 1: uppercent down sixty eight points. The decks in Germany's down
Speaker 1: four tenths of upper cent ten. Your treasury down three
Speaker 1: thirty seconds. You have three point five four percent and
Speaker 1: they yield on the two year four point three five percent. Nine. Next,
Speaker 1: Screwed oil is up tenth of upper cent or nine
Speaker 1: cents at seventy four dollars thirty four cents of barrel.
Speaker 1: Come schooled this it will change at sevree sixty announced.
Speaker 1: The euro one point oh four nine three against the dollar.
Speaker 1: British found one point two one five eight and that's
Speaker 1: a Bloomberg Business Flash. Amy, all right, thank you Karen.
Speaker 1: At six fifty six on Wall Street, time to take
Speaker 1: a look at stocks and some of the names that
Speaker 1: are moving in the pre market. For that, we are
Speaker 1: joined by Bloomberg's Kayley Lines. Good morning, Kayley, Good morning Amy.
Speaker 1: There is a monster remover in pre market this morning,
Speaker 1: and that would be Mango d B. This is a
Speaker 1: database software company reported after the belly yesterday, and after
Speaker 1: those results, the stock is up a whopping twenty eight
Speaker 1: percent in early hours. There's kind of two parts to this.
Speaker 1: The first was that the third quarter was solid, revenue
Speaker 1: top estimates and the company actually reported a profit of
Speaker 1: twenty three cents per share. Analysts were expecting a loss
Speaker 1: of seventeen cents, so that was big. But they also
Speaker 1: raised their four year full year forecast, and one analyst
Speaker 1: over at OURBC actually pointing out that a beaten raises
Speaker 1: kind of a rare occurrence in this macro environment, and
Speaker 1: others were really positive about the sequential rebound in the
Speaker 1: enterprise advanced segment. Now, I would point out this stock
Speaker 1: has had a very rough year to this point, down
Speaker 1: seventy two percent in two through yesterday, so that may
Speaker 1: be why we're seeing such an outsize move this morning
Speaker 1: again up about twenty percent, treating j shy of a
Speaker 1: hundred and eighty five dollars to share. One downside mover though,
Speaker 1: to keep an eye on, is Airbnb, and this is
Speaker 1: actually after an analyst down grade over at Morgan Stanley.
Speaker 1: They cut the stock to underweight from equal weight and
Speaker 1: the price target from a hundred and ten dollars down
Speaker 1: to eighty dollars. The shares this morning trading at sixty,
Speaker 1: but that's down nearly four percent in pre market. I'm
Speaker 1: boring and Stanley's reason for this is basically growth concerns.
Speaker 1: They say that data on supply and occupancy speaks to
Speaker 1: slowing listings growth, occupancy headwinds, and lower room night demands.
Speaker 1: So all of that together weighing on the stock this morning. Kaylee,
Speaker 1: let's shift gears. What's going on with China e d rs?
Speaker 1: Why are they down? It's so interesting we got this
Speaker 1: mixed news flow out of China overnight. On the one hand,
Speaker 1: you have a pretty decisive move away from COVID zero
Speaker 1: policy with the easing of a range of restrictions, including
Speaker 1: getting rid of the requirement for infected people to quarantine
Speaker 1: and centralized camps, but that may be leading to concern
Speaker 1: about a spike in cases. Plus, we got weak trade
Speaker 1: data out of China, both exports and imports contracting at
Speaker 1: a steeper pace in November. So that way on stocks
Speaker 1: in Asia, and that is translating right through to the
Speaker 1: A d R s as some of those large Chinese
Speaker 1: companies who are listed here in the US, one example
Speaker 1: being j D dot Com. It right now in pre
Speaker 1: market is down six percent. Ali Baba for its part,
Speaker 1: down about four and a half percent. But I would
Speaker 1: just remind our listeners that j D is up sixty
Speaker 1: percent since the start of November. Ali Baba is up
Speaker 1: about over that time. So it could be that all
Speaker 1: of that good news on reopening that had led the
Speaker 1: stocks to rally over the last day six weeks or
Speaker 1: so means all that good news was already priced in
Speaker 1: and now maybe people are taking a little bit of profit.
Speaker 1: Anything else you're watching, Kaylee, I'd keep an eye on
Speaker 1: big tech today. They're a little bit weaker in pre
Speaker 1: market trading, even though yields aren't substantially higher, So that
Speaker 1: really speaks to a bit of a risk off tone overall.
Speaker 1: You have the likes of Tesla and Apple, other big
Speaker 1: heavyweights in the market. Uh down pretty hard in pre
Speaker 1: market trading. Apple right now Data one alright, Bloomberg's Kaylee Lines.
Speaker 1: Thank you for joining us this morning, Kayley, looking at
Speaker 1: stucks as a whole head of the open. SMP futures
Speaker 1: down fifteen, DAL futures down seventy seven NASDAK futures down
Speaker 1: seventy ten year treasury down three thirty seconds, the yield
Speaker 1: at three point five four percent, the two year yield
Speaker 1: at four point three five This is Bloomberg Day Break.
Speaker 1: I'm Amy Morris alongside Karen Moscow six fifty nine on
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Speaker 1: Inflation is too high, and I will contend that this
Speaker 1: current inflation