Speaker 1: Markets, headlines and breaking news twenty four hours a day
Speaker 1: at Bloomberg dot Com, The Bloomberg Business at and at
Speaker 1: Bloomberg Quick Take. This is a Bloomberg Business lash and
Speaker 1: I'm Karen Moscow. And futures this morning are following. SMP
Speaker 1: Future is down one point one percent, down forty four points.
Speaker 1: NOWN futures down one point one percent or three hundred
Speaker 1: sixty seven points at Nasdack futures down three quarters of
Speaker 1: a percent, or eighty seven points this morning. And we
Speaker 1: check the markets all day long here on Bloomberg Radio.
Speaker 1: The decks in Germany's down eight tens of upper cent.
Speaker 1: The tenure Treasury down twelve thirty seconds l three point
Speaker 1: four nine percent. They yield on the two year four
Speaker 1: point to five percent. Nine neck Screwed oil is down
Speaker 1: one percent on a dollar thirty nine at seventy four
Speaker 1: dollar seventy two cents a barrel. Comics gold up a
Speaker 1: quarter percent or four dollar sixty cents at seventeen fifty announced.
Speaker 1: The euro one point oh six three three against the dollar,
Speaker 1: British found one point one eight nine. The end is
Speaker 1: at one thirty seven point oh four and Bitcoin is
Speaker 1: down two at about seventeen thousand dollars, and that's a
Speaker 1: Bloomberg business flash. Nathan. All right, Karen, thank you. It
Speaker 1: is six fifty six on Wall Street. Bloomberg Surveillance is
Speaker 1: up next, but first we take a look at some
Speaker 1: of the names moving in the pre market. Bloomberg Radio
Speaker 1: and TV Markets correspondent Credy Gupta is with us now, Crety,
Speaker 1: I don't know what your most active security screen looks like,
Speaker 1: but I'm not seeing a whole lot of green out
Speaker 1: there this morning. Now. A lot of pain across the board,
Speaker 1: and I would argue it's almost worse because there's some
Speaker 1: real pain in those big tech names. Surprise, surprise, and
Speaker 1: now remember very big sustainable kind of turnaround that we're
Speaker 1: looking for in the stock more or even the Santa Rally.
Speaker 1: You want your games to be pretty big, and that
Speaker 1: includes a lot of the big tech names. Of course,
Speaker 1: we are not seeing that this morning. Let me give
Speaker 1: you an example. Your Amazon shares a m z N.
Speaker 1: This morning, it is dropping by about seven tenths of
Speaker 1: one percent. Now with the good news here is that
Speaker 1: it was much much lower, was down almost two percent
Speaker 1: earlier in the session. Some of those losses are getting paired,
Speaker 1: But this comes after JP Morgan cut its price target
Speaker 1: on the stock to a hundred and thirty dollars from
Speaker 1: a hundred and forty five, primarily due to the AWS
Speaker 1: revenue their cloud business, basically saying that that revenue is decelerating.
Speaker 1: They're also expecting margin compression and challenging macro conditions. Sound familiar,
Speaker 1: we've kind of before quite a bit, but look, they're
Speaker 1: talking their price, talking about a hundred and thirty dollars
Speaker 1: on the stock and right now it's trading about eighty seven.
Speaker 1: So they are still bullish, just not as bullish as
Speaker 1: they used to be. Although it's interesting Creedy. We're seeing
Speaker 1: one other tech names start to move higher on a
Speaker 1: change in an analyst recommendation. Sort of a fundamental story
Speaker 1: for meta platforms and really being rewarded in the stock market.
Speaker 1: M E t A is your ticker up about two
Speaker 1: point one percent in the pre market. Show's trading around
Speaker 1: one eighteen sixty four This morning. JP Morgan raising the
Speaker 1: recommendation on the stock once again. JP Morgan moving markets
Speaker 1: this morning, king the recommendation on the stock to overweight
Speaker 1: from neutral. Uh. Their reasoning is increased cost discipline and
Speaker 1: a more favorable revenue outlook. Now this is really important
Speaker 1: because one of the issues that Metal Platforms has had
Speaker 1: and really when punished for from the stock, has been
Speaker 1: this idea that the metaverse and the investment that's going
Speaker 1: to take to really not just rebrand, but to really
Speaker 1: actively invest in that business model. It's going to take
Speaker 1: a lot, and they don't actually have that kind of money,
Speaker 1: uh to to really spend, given that they are still
Speaker 1: working on essentially their social media business. But what's that
Speaker 1: the facebooks, the Instagram. Um. Nevertheless, they are saying that, look,
Speaker 1: they can make this work, and that is a good thing,
Speaker 1: especially in this environment. So meta, like I said, really
Speaker 1: getting rewarded. And remember it's in the backdrop of features
Speaker 1: down one point one percent, so this is an extra
Speaker 1: boost to see it higher by two. And just quickly, Creedy,
Speaker 1: what's going on with land Vin? That's like right up
Speaker 1: top of the biggest gamers this morning. I'm so glad
Speaker 1: you said it, and I didn't have to because I
Speaker 1: google the French pronunciation. I was like, I can't say
Speaker 1: that like that that I'm just not even but A
Speaker 1: L A n V is your taker and actually just
Speaker 1: went public yesterday now this is really important. The shares
Speaker 1: are up forty six percent, seeing a lot of autility there.
Speaker 1: Yesterday the best stock bounces as much as fifty two
Speaker 1: hundred and so really keep an eye on these shares.
Speaker 1: MALC Bloomberg Grady on TV Markets correspondent Creaty Good Down
Speaker 1: Future is moving lower. SMP futures down forty four down
Speaker 1: futures down three sixty eight. Nanastack futures are lower by
Speaker 1: ninety points this morning. This is Bloomberg Daybreak. I'm Nathan
Speaker 1: Hagar along with Karen Moscow. It is six fifty nine
Speaker 1: on Wall Street. Bloomberg Surveillance with Jonathan Farrell and Elisa
Speaker 1: Abramowitz starts right now by from the financial capital of
Speaker 1: the world, broadcasting across the globe. This is w b
Speaker 1: b R, New York, Bloomberg. He living three old infrenational,
Speaker 1: but there these EUSt markets headlines and breaking news twenty
Speaker 1: four hours a day at Bloomberg dot Com, the Bloomberg
Speaker 1: Business apt and at Bloomberg Quick Tape three. He's a
Speaker 1: bloom Burn Business Lash and I'm Camrad Moscow. And futures
Speaker 1: are following this morning, but they are off the loads
Speaker 1: of this session. We get to the first word, breaking
Speaker 1: news dance for today's morning call, and here's Tatiana Darier. Tatiana,
Speaker 1: good morning, Good morning, Karen. Like you said, it's still
Speaker 1: a risk off on Wall Street with down SMP features
Speaker 1: down one percent, while NAS jack is lower by six tents.
Speaker 1: The tenor Treasury yield is higher by five basis points
Speaker 1: to three spot for this morning. Oil is down to
Speaker 1: and Bitcoin also under pressure, hovering just above seventeen thousand.
Speaker 1: Else Where, European stocks are lower at this hour, while
Speaker 1: Asian stocks were mixed overnight. Back in the US. On
Speaker 1: the economic front, today, we have SMP Global p M
Speaker 1: s AT in early trading this morning. Meta is up
Speaker 1: two percent after an upgrade from JP Morgan siting increased
Speaker 1: cost discipline and a better revenue outlook, and Adobe is
Speaker 1: up four after earning speat estimates last night. Also in
Speaker 1: deal news, private equity firm at An International agreed to
Speaker 1: buy max Our Technology for four billion dollars. And wrapping
Speaker 1: things up here, Delta Airlines and American Air both upgraded.
Speaker 1: At Goldman Live from the First and Breaking news desk,
Speaker 1: I'm Tatianataria, Karen, Tatiana, thank you, and here live breaking
Speaker 1: news of your bloombergy cap squawk on your terminal scue.
Speaker 1: You a w u K and that's a Bloomberg business flash.
Speaker 1: Now here's Amy Morrish with Moore on what's going on
Speaker 1: around the world. Amy, all right, thank you, Kieren. Ukrainian
Speaker 1: authorities have reported explosions in at least three cities, saying
Speaker 1: Russia has launched a major missile attack on energy facilities
Speaker 1: and to infrastructure. One Ukrainian Air Force spokesman says Russia
Speaker 1: has now fired more than sixty missiles. The annual number
Speaker 1: of new Parkinson's disease cases in the US is likely
Speaker 1: fifty percent higher than estimated. A new study predicts the
Speaker 1: number of Americans diagnosed with Parkinson's will reach ninety thousand
Speaker 1: this year. And sports, the Caps, Ruins and Devils lose,
Speaker 1: the Rangers win. The World Cup final between Argentina and
Speaker 1: France is set for Sunday. Global News twenty four hours
Speaker 1: a day on airand on Bloomberg Quick Take, powered by
Speaker 1: more than twenty journalists and analysts in more than one
Speaker 1: hundred twenty countries. On Amy Moore, is this is Bloomberg art? Right? Yeah?
Speaker 1: Looking forward to back game? Maybe alright? Thank you at
Speaker 1: A sixty two on Wall Street, and we turned to
Speaker 1: news and science and technology Now with a Bloomberg n
Speaker 1: j I T Stemmer Report, and it's brought to you
Speaker 1: buy New Jersey Institute of Technology n j a i
Speaker 1: T offers New Jersey's first undergraduate degree in fintech tech
Speaker 1: driven finance focused. What will you make at n j
Speaker 1: I T. Learn more at nj I T dot E
Speaker 1: d U slash fintech Now. Here's just making news and science, technology, engineering,
Speaker 1: and math. Fusion power plants are possible on the electricity
Speaker 1: grid within the next decade, which could supply a limitless
Speaker 1: amount of carbon free power, according to former U S
Speaker 1: Energy Secretary Ernest Monies. The comments come after scientists in
Speaker 1: California managed for the first time to generate more energy
Speaker 1: from a fusion reaction than they needed to treat grit.
Speaker 1: The UK has begun talks on a scientific cooperation deal
Speaker 1: with Japan it hopes to sign in May. The UK
Speaker 1: Science and Technology Minister said as the country remains blocked
Speaker 1: from Horizon, the EU S key research funding program post
Speaker 1: breaks it and trade groups representing Meta and Alphabet say
Speaker 1: they asked the Supreme Court to overturn a Texas law
Speaker 1: that would sharply restrict the editorial discretion of social media companies.
Speaker 1: The appeal contends the law violates the First Amendment by
Speaker 1: forcing social media companies to disseminate what they see as
Speaker 1: harmful speech and putting platforms at risk of being overrun
Speaker 1: by spam and bullying. And that's the Bloomberg n j
Speaker 1: I t STEM report, Nathan. That could be a case
Speaker 1: to watch for sure. Thank you, Karen, and we're coming
Speaker 1: up to sixty four on Wall Street. Now it's time
Speaker 1: to check what's going on in d See. Some of
Speaker 1: the top stories in our nation's capital include the Pentagon
Speaker 1: revving up Ukraine weapons aid as Russian missile barrages continue,
Speaker 1: the Senate passing a one week spending bill to avert
Speaker 1: a Saturday shut down. President Biden is saying he will
Speaker 1: visit Africa to extend US influence on the continent, and
Speaker 1: a big vote of confidence for the president from Democratic
Speaker 1: congressional leadership. Let's bring in Bloomberg government reporter Emily Wilkins
Speaker 1: for more on some of these stories. Emily, good morning.
Speaker 1: It seems as though the bombardments from Russia on Ukraine's
Speaker 1: energy infrastructure aren't letting up, and now we are seeing
Speaker 1: movement from the Pentagon to really ramp up defenses. Yes, Nathan,
Speaker 1: I mean remember that Biden has said that the US
Speaker 1: is going to continue to supply Ukraine with weapons to
Speaker 1: fight brush up for as long as it takes. There
Speaker 1: is still a high level of bipartisan support in Washington
Speaker 1: to continue supporting Ukraine. We expect to see that continue
Speaker 1: into the next Congress, even with some shifts and leadership.
Speaker 1: But part of the equation here is, of course, just
Speaker 1: simply the supply side of things. We've heard so much
Speaker 1: about supply chain demands and back blogs, and that is
Speaker 1: something that still affects the defense industry. And so you're
Speaker 1: seeing the Pentagon really look at its procurement process and
Speaker 1: how it's making its acquisition offers. And they're actually Bloomberg
Speaker 1: reporting that the Pentagon is finding ways to sort of
Speaker 1: do some shortcuts to standard contracting procedures just to make
Speaker 1: sure that the US weapons supply still remains strong, UH,
Speaker 1: even as they continue to supply Ukraine with the more
Speaker 1: weapons they need. Clearly, this this fight is continuing on
Speaker 1: in Ukraine. UH, that there's not a foreseeable end date
Speaker 1: at this point, um. And it's just you know, very notable,
Speaker 1: um that to make sure that both Ukraine and the
Speaker 1: US are having its defense needs met a the Pentagon
Speaker 1: is now doing things like having some parts delivered via
Speaker 1: contracts before the contracts terms and prices are really finalized.
Speaker 1: And this is just being done in in the light
Speaker 1: of the fact that this contract, the conflict of Ukraine
Speaker 1: might last for some time, but but the US wants
Speaker 1: to continue to be there and be supportive of Ukraine.
Speaker 1: And of course, as you know, Emily, defense spending every
Speaker 1: year is a major part of the negotiations, the debate
Speaker 1: that goes on in Washington over full year spending for
Speaker 1: the federal government. And now it looks like officially lawmakers
Speaker 1: are giving themselves just a little bit more time to
Speaker 1: iron out their differences here. Yeah, this initial temporary spending
Speaker 1: bill was going to end today, but we're not going
Speaker 1: to have a shutdown. The House and the Senate have
Speaker 1: both passed a temporary stop gap that will lead us
Speaker 1: to December twenty three, getting a little coast closed to Christmas. There,
Speaker 1: the lawmakers say that they have come up with an agreement.
Speaker 1: We are expecting to learn more details this weekend and
Speaker 1: see it voted on next week. So there is still
Speaker 1: potential that we are going to be seen the government
Speaker 1: fully funded just in time for Christmas Eve? Is there
Speaker 1: going to be full funding? I mean, there was some
Speaker 1: of that debate, particularly on the Republican side, that they
Speaker 1: want an even longer stop gaps so that they can
Speaker 1: take control of Congress at least in the House and
Speaker 1: put forward their own full year spending bill. Is that
Speaker 1: still part of the debate. There are certainly Republicans who
Speaker 1: want to see that happen. And let's be clear, in
Speaker 1: the House, you have Republican leader Kevin McCarthy who has said,
Speaker 1: you know that he does not support that this this
Speaker 1: year long spending bill. He's whipping against it. He's urging
Speaker 1: his colleagues to vote, know many of them are. But
Speaker 1: it's a completely different story over in the Senate, where
Speaker 1: Mitch McConnell has said that he has a deadline of
Speaker 1: passing this funding package by next Thursday, and so he's
Speaker 1: basically leaving the door open, and a number of lawmakers,
Speaker 1: Democrats and Republicans alike, who work very closely on this
Speaker 1: package say that they want to get it done. I mean,
Speaker 1: for certain folks like Richard Shelby, Republican Senator. He's retiring
Speaker 1: and the you know, appropriations funding the government. It's been
Speaker 1: a lot of his work in Congress and he wants
Speaker 1: to leave with a mission complete on his end. Now,
Speaker 1: last minute here, Emily, of course, we know that President
Speaker 1: Biden is planning on formally announcing a decision on re
Speaker 1: election after the holidays. It looks like he's getting even
Speaker 1: more support ahead of that decision. Yeah, you had a
Speaker 1: number of lawmakers come out and say that they will
Speaker 1: continue to support Biden. He got two very big endorsements
Speaker 1: in his corner, how Speaker Nancy Pelosi and Senate Majority
Speaker 1: Leader Chuck Schumer. Of course, Pelosi will be stepping down
Speaker 1: as Speaker next year and stepping down from Democratic leadership,
Speaker 1: but she's still a very strong voice within the Democratic Party.
Speaker 1: Is certainly an incredibly prolific fundraiser. That's always important when
Speaker 1: it comes to politics. Um and both of them have
Speaker 1: said recently that they would support Biden, that he did,
Speaker 1: They think he's done an excellent job, and that they
Speaker 1: hope that he does run for reelection. It's about thirty
Speaker 1: seconds left here, Emily is there's still that the same
Speaker 1: level of support from the younger generation that Pelosi is
Speaker 1: moving aside to bring forward either. Definitely are some younger
Speaker 1: lawmakers who have said that they think that Biden has
Speaker 1: done a good job and should continue to run. You
Speaker 1: have other lawmakers who have spoken up and said, you
Speaker 1: know that they think that it is time for a
Speaker 1: younger person or Democrats to look at potential other candidates.
Speaker 1: I think at this point a lot of them have
Speaker 1: been able to serve decline being on the record just
Speaker 1: because it's still a hypothetical. At this point, Biden has
Speaker 1: not yet formally announced for even though he has alluded
Speaker 1: to multiple times that he will continue to run and
Speaker 1: that he plans to campaign for a second term. I'm
Speaker 1: sure're gonna be a door stopping on Capitol Hill to
Speaker 1: get some of those younger lawmakers on the record. Thank you, Emily,
Speaker 1: as always, Bloomberg Government Congressional reporter Emily Wilkins with us
Speaker 1: from the nation's capital. Read more at Bloomberg dot com,
Speaker 1: ra on the Bloomberg terminal, Listen to Bloomberg Radio in Washington.
Speaker 1: Bloomberg Thank you, nine one and one oh five point
Speaker 1: seven F M H D two futures moving lower. This
Speaker 1: is Bloomberg Markets, headlines and breaking news twenty four hours
Speaker 1: a day at Bloomberg dot Com, the Bloomberg Business at
Speaker 1: and at Bloomberg Ritake. She's a Bloomburn Business Flash and
Speaker 1: I'm Karen Moscow. This update is brought to you by
Speaker 1: the Jewish Communal Fund j c F. Donor advised fund
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Speaker 1: dot org. And US stock index futures are falling this morning,
Speaker 1: with SNP futures down forty three points or one point
Speaker 1: one percent, Dow futures down one percent or three forty
Speaker 1: six points, and NASDAC futures down eight tens of a
Speaker 1: percent or ninety one points. At ten year Treasury down
Speaker 1: thirteen thirty seconds. He on three point four nine percent
Speaker 1: and as a Bloomberg Business Flash. Now, here's Amy Morris
Speaker 1: with Moore on what's going on around the world. Amy,
Speaker 1: thank you, Karen. The White House is encouraging Americans to
Speaker 1: get their updated COVID nineteen vaccine to prevent the spread
Speaker 1: of the virus. Over the winter. White House COVID nineteen
Speaker 1: Response Coordinator Dr jah says COVID cases and hospitalizations are
Speaker 1: are on the rise across the country. Confidential data of
Speaker 1: about a hundred twelve thousand taxpayers inadvertently published by the
Speaker 1: i R S over the summer was mistakenly published again
Speaker 1: in late November, including names in contact information and sports,
Speaker 1: the Caps, the Bruins, the Devils, I'll lose, Rangers win
Speaker 1: the World Cup final between Argentina and Brandt. Set for
Speaker 1: Sunday Global News twenty four hours a day on errand
Speaker 1: on Bloomberg Quick Take, powered by more than twenty seven
Speaker 1: hundred journalists and analysts and more than one hundred twenty countries.
Speaker 1: I'm anymore as this is Bloomberg, Nathan, Thanks Amy. It's
Speaker 1: six twenty three on Wall Street. I'm Nathan Hagar. This
Speaker 1: is Bloomberg Daybreak. Let's move to commodities now. It's been
Speaker 1: a tumultuous year for the asset class, marked by surging prices,
Speaker 1: tied in parts of the war in Ukraine, and set
Speaker 1: to be another banner year. That's the view from Jeff Curry,
Speaker 1: head of Commodities Research at Goldman Sachs. He expects commodities
Speaker 1: in fact, to be the best performing asset class next year.
Speaker 1: Curry sat down with Bloomberg's Alex Steel and Guy Johnson
Speaker 1: to explain, let's listen in, Yeah, is a pretty awesomely
Speaker 1: bold call. Um, where are we in the cycle that
Speaker 1: leads you to such bullishness? Old call? Let's remember oils
Speaker 1: treating with a fifty ball, So is not even a
Speaker 1: one standard deviation. Let's just you know, I remember we
Speaker 1: just did twelve bucks to the downside last week and
Speaker 1: rebounded six and down another two today. So um, And
Speaker 1: if I think, you know, when we look at go
Speaker 1: back to our call for a supercycle back in October,
Speaker 1: you haveent returns, you know, so far we're headed towards
Speaker 1: somewhere around twenty three percent returns and in two So
Speaker 1: this is a continuation of the strong returns that we've
Speaker 1: been seen over the last several years. I think the
Speaker 1: bottom line, when we think about what a supercycle really is,
Speaker 1: it's not this big upward trend in prices that we
Speaker 1: have envisioned in our heads. It's a sequence of spikes.
Speaker 1: And because commodity prices perform and eken make function, they
Speaker 1: have to rebalance supply demand bring them back in a line.
Speaker 1: When they get out of line like they did at
Speaker 1: the end of one and the early part of this year. Well,
Speaker 1: market to rebalanced right now today. Why because China is
Speaker 1: being locked down, So demand came back down on top
Speaker 1: of supply. Prices class back down. But we have not
Speaker 1: been investing in supply. Supply is stagnant. So I have
Speaker 1: to just simply ask what happens when China, the largest
Speaker 1: commodity consumer in the world, the largest oil importer in
Speaker 1: the world, begins to rebound significantly in the first part
Speaker 1: of next year. It's going to tighten all of these
Speaker 1: markets tremendously and put a lot of upward pressure on prices.
Speaker 1: And I think the key point is, you know, you
Speaker 1: basically have the largest you know, commodity consumer in the
Speaker 1: world essentially hibernating over the course of the last year,
Speaker 1: and that's been hiding a lot of this under investment.
Speaker 1: So really the core point here under investment, we demand today,
Speaker 1: but we see sequential growth in three it begins to
Speaker 1: tighten these markets. One last point, inventorres have been exhausted, Jeff,
Speaker 1: Let's talk about that China China narrative. We are seeing
Speaker 1: a huge one eight they are reopening, but what comes
Speaker 1: with that is likely to be a huge pickup in cases,
Speaker 1: We're starting to see data being crunched on that and
Speaker 1: the numbers look pretty bad. How should we be thinking
Speaker 1: about the China reopening therefore? Isn't going to be similar
Speaker 1: to the one that we experienced. I stop start, stop, starts,
Speaker 1: and kind of how does that work? How does that
Speaker 1: impact the commodity price? Um? I think oil is it
Speaker 1: a testament to it. It's gonna be a really rough,
Speaker 1: bumpy start at the very beginning. But when so oil
Speaker 1: is doing like this, you know each week big violent
Speaker 1: moves because you know you're gonna have your fits and start,
Speaker 1: stops and stops. But when you take markets like oil
Speaker 1: equities are copper, they're more forward looking. They're looking into
Speaker 1: March April of next year. As a result, they don't
Speaker 1: have that same kind of noise. And that's Jeff Curry,
Speaker 1: ahead of Commodities Research at Goldman Acts, speaking with Bloomberg's
Speaker 1: Alex Steel and Guy Johnson. You can catch more of
Speaker 1: that conversation on Bloomberg dot com and on the Bloomberg
Speaker 1: terminal this morning. Concern about rising interest rates and the
Speaker 1: outlook for policy is putting pressure on energy commodities. Looking
Speaker 1: at NIMEX, crude West Texas Intermediate is down two point
Speaker 1: one percent or a dollar fifty nine, trading at seventy
Speaker 1: four fifty two barrel Brant. The international benchmark is down
Speaker 1: two point one percent as well, down to dollar seventy
Speaker 1: four training at seventy nine seven Future is moving lower
Speaker 1: as well. SMP futures down forty three points down, futures
Speaker 1: down three fifty two, and Nasdaq futures are lower by
Speaker 1: ninety two points ten. Your treasury yield three point four
Speaker 1: nine percent. We'll check your top stories, local headlines, and
Speaker 1: a full check of markets straight ahead. First look at
Speaker 1: your Bloomberg weekend weather forecast. Low pressure developing south of
Speaker 1: the region responsible for the rainy, breezy weather today, are
Speaker 1: gonna reach forty five to fifty this afternoon. The rain ends,
Speaker 1: the showers during the evening actually starts the year later tonight.
Speaker 1: Loose near thirty five I pressure has headed our way
Speaker 1: for the upcoming weekend. We're partly to mostly sending breezy
Speaker 1: Tomorrow forty sunshine, Sunday highswee thirty five to forty um
Speaker 1: Rob Carolyn with your three day forecast on Bloomberg eleven
Speaker 1: three oh broadcasting live from the Bloomberg Interactive Broker Studio
Speaker 1: in New York, Bloomberg E Living Free on to Washington,
Speaker 1: d C, Bloomberg N one to Boston, Bloomberg one O
Speaker 1: six one to San Francisco, Bloomberg No. Sixty to the Country,
Speaker 1: Serrius XM to the one nine team, and around the
Speaker 1: globe the Bloomberg Business and Bloomberg Radio dot Com. This
Speaker 1: is Bloomberg Daybreak. It's coming up on six thirty on
Speaker 1: Wall Street. Good morning, I'm Nathan Hager and I'm Karen Moscow.
Speaker 1: We are just about three hours away from the open
Speaker 1: of US training. It's time for the five things that
Speaker 1: you need to notice start your day. Brought to you
Speaker 1: by I d k R Investment Advisers switched to Interactive
Speaker 1: Brokers for lowest cost global trading and turnkey custody solutions,
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Speaker 1: US stock index futures are lower as concerns linger over
Speaker 1: Central Bank tightening. Only home builders, healthcare, and oil and
Speaker 1: gas companies posting gains in yesterday's session, and the energy
Speaker 1: sector could be poised for more outsized returns in the
Speaker 1: coming year. That's the view from Goldman Sachs had a
Speaker 1: commodity research Jeff Curry returns one. You know, so far
Speaker 1: we're headed towards somewhere around twenty three returns in INO.
Speaker 1: So this is a continuation of the strong returns that
Speaker 1: we've been seen over the last several years. Jeff Curry
Speaker 1: with Goldman Sachs believes commodity is could be the best
Speaker 1: performing asset class next year. Last for global stocks, Karen,
Speaker 1: they're headed for a weekly slide as the Fed, Bank
Speaker 1: of England and European Central Bank dash hopes for more
Speaker 1: debbish policy. Megan Green, Global Chief econom Mr Crowle Institute says,
Speaker 1: despite the hawkis rhtoric inflation could prove sticky. I think
Speaker 1: the Fed is really considered that it will be stickier
Speaker 1: than the market seemed to be pricing in and I
Speaker 1: think that's reasonable. The big question is why the Fed
Speaker 1: didn't think that three months ago with their previous economic projections,
Speaker 1: And the Fed doesn't really clarify that. Megan Green with
Speaker 1: Croll Institute made the comments on Bloomberg's Balance of Power
Speaker 1: with David Weston. You can catch the show weekdays at
Speaker 1: noon Eastern on Bloomberg Radio and Television. Well Attorney to
Speaker 1: Politics Down Nathan how Speaker Nancy Pelosi, and send a
Speaker 1: Majority Leader Chuck Schumer are saying President Biden should run
Speaker 1: for re election in four to support pushes back against
Speaker 1: some Democrats, urging the party to elevate a younger generation
Speaker 1: of leaders. Staying in d C, Karen, Congress is working
Speaker 1: on two bills that would limit or ban the use
Speaker 1: of TikTok. Florida Senator Marco Rubio's vill would totally ban
Speaker 1: the social media app. He's concerned about China's access to
Speaker 1: users private information. We Attorney to Twitter Now, Nathan Elon
Speaker 1: Musk is making moves again to regulate content on the
Speaker 1: platform Twitter, suspending the accounts of several journalists and Bloomberg.
Speaker 1: Steve Rapp Report joins US Live at that story. Steve,
Speaker 1: good Morning, Good morning, Karen, and Nathan Elon Musk suspended
Speaker 1: reporters from several outlets for posting real time locations of
Speaker 1: his private jet. Though tracking planes is available through public
Speaker 1: flight data, Musk says the accounts violated Twitter's policy on doxing,
Speaker 1: term used for exposing private information about someone with the
Speaker 1: intent to subject them to harassment. Musk tweeted reporters received
Speaker 1: the seven daytime out, adding some time away from Twitter
Speaker 1: is good for the soul. Live in New York, I'm
Speaker 1: Sneeve Rapp report Bloomberg Daybreak. Okay, Steve, thank you. That's
Speaker 1: the five things you need to know to start your day.
Speaker 1: Brought to you by Interactive Brokers S ANDP. Futures are
Speaker 1: down forty two points. Staff futures down three two. Straight
Speaker 1: ahead your latest local headlines in the check of sports.
Speaker 1: This is Bloomberg sixty one on Wall Street. Amy Morris
Speaker 1: is back with us for what's going on in New
Speaker 1: York and around the world. Good morning, Amy, Good morning Nathan.
Speaker 1: Connecticut is reporting its first pediatric death of this flu season.
Speaker 1: Health officials say a child under the age of nine
Speaker 1: has passed away in New Haven County. Officials are urging
Speaker 1: everyone over the age of six months old to get
Speaker 1: a flu shot as soon as possible. This as health
Speaker 1: officials are also worried about a COVID surge emerging in
Speaker 1: New York City. Epidemiologist Eric Figel Dang tells ABC masking
Speaker 1: is really just part of it. Masking is only one
Speaker 1: elements of the total strategy to mitigate against COVID. There's
Speaker 1: also testing, which the White House has just announced, UM
Speaker 1: free testing, UM Kids snailed to every address in America.
Speaker 1: Cases and hospitalizations are on the rise. After Thanksgiving gatherings,
Speaker 1: the Senate passed to funding bill to keep federal government
Speaker 1: operating for another week. Senate Majority Leader Chuck Schumer says
Speaker 1: this gives lawmakers a little more time to pass a
Speaker 1: year long spending bill before they leave for that holiday
Speaker 1: break next week. Hopefully we'll finish the job. Passing a
Speaker 1: package will keep the government fully funded into next fall.
Speaker 1: The new deadline is December. A woman from Edison, New Jersey,
Speaker 1: is among four people charged with providing financial assistance to
Speaker 1: Islamic State. Seema Raman is charged with providing material support
Speaker 1: to a foreign terrorist organization. Authorities say she and three
Speaker 1: others used cryptocurrency, go fund me and PayPal to raise
Speaker 1: what they call blood money. Legislation prompted by Gabby Petito's
Speaker 1: murder is waiting for President Biden signature. Now. Parents of
Speaker 1: the New York native are backing the help Find the
Speaker 1: Missing Act, which requires information on missing people to be
Speaker 1: entered in the FBI's internal database and then shared with
Speaker 1: the Department of Justices public database. Under state law in
Speaker 1: New York is already required to share information on the missing.
Speaker 1: New Jersey and Connecticut are not Global News twenty four
Speaker 1: hours a day on air and on Bloomberg Quick Take,
Speaker 1: powered by more than twenty seven journalists and analysts in
Speaker 1: more than one d twenty countries. I'm Amy Moore, as
Speaker 1: this is Bloomberg, Nathan, Thank you Amy, almost on Wall
Speaker 1: Street time for the Bloomberg Sports Update, brought to you
Speaker 1: by Tri State. Out of your thanks, Dave had so
Speaker 1: many teams have been shelling out so much money, and
Speaker 1: the Yankees did commit three hundred and sixty million dollars,
Speaker 1: but they already had Aaron Judge. The Yanks had not
Speaker 1: added any one of real significance, and now they had
Speaker 1: Carlos Reddon's e r A. And each of the past
Speaker 1: two seasons was under three thirty year old left he
Speaker 1: come to the Yanks for a six year, one hundred
Speaker 1: and sixty two million dollar deal. Raddon, once the fourth
Speaker 1: overall pick of the draft back in two thousand fourteen
Speaker 1: by the White Sox met this past season with the Giants,
Speaker 1: he could be facing them in his Yankee debut. That's
Speaker 1: for the Yanks open season against Nixon. Rangers of both
Speaker 1: now won five games in a row. The Knicks bring
Speaker 1: that streak into a game tonight in Chicago, where they
Speaker 1: won in overtime just two nights ago. Rangers just beat
Speaker 1: Toronto three one at the Garden. In three of the
Speaker 1: five wins in the Street, Rangers allowed only one goal.
Speaker 1: As for the Devil's, they went a span of over
Speaker 1: seven weeks, losing on three times. They've now dropped four
Speaker 1: games in the past week, beaten by Philadelphia two to one.
Speaker 1: Even the Devil's outshot the Flyers forty nine four. Rock Purty,
Speaker 1: the NFL's only undefeated quarterback, last player taking to the draft,
Speaker 1: He's gone from third string to first In his first
Speaker 1: ever road game victory at Seattle. That's the nine or
Speaker 1: seventh win a row in that streak. They're allowing only
Speaker 1: eleven points of game. San Francisco clinches the NFC West.
Speaker 1: The Seahawks slump continues. That helps the Giants and their
Speaker 1: quest to make the playoffs. There's an NFL tripleheader. Tomorrow
Speaker 1: Sunday the Jets home for Red Hot Detroit, and then
Speaker 1: Sunday night the Giants a big game at Washington's Dashower.
Speaker 1: Bloomberg Sports Nathan bry to Jui out he don't let
Speaker 1: someone else drive off in the Auti bottel. You've always
Speaker 1: wanted to visit your local price, Get outi Dealer to
Speaker 1: get behind the wheel of yours today, or visit autie
Speaker 1: Offers dot com for more information on Wall Street. Bloomberg
Speaker 1: Radio is on the air from San Francisco to New York,
Speaker 1: London to Hong Kong. Let's check in with our global
Speaker 1: news team for some of the top stories heard on
Speaker 1: our three hundred affiliate radio stations around the world. I'm
Speaker 1: Steve Hotas kN K and X in Los Angeles. We're
Speaker 1: talking about the impact of California slashing incentives for homeowners
Speaker 1: and businesses to install rooftop solar Um horney Donahowan Ker
Speaker 1: l D and Dallas mortgage rates dropping for a fifth
Speaker 1: straight week to six point three one percent. I'm Gina
Speaker 1: Servetti and for w b b M in Chicago. I'm
Speaker 1: talking about some McDonald's investors saying the company did not
Speaker 1: get nearly enough money from its former CEO when he
Speaker 1: agreed to return money to settle claims he was sexually
Speaker 1: involved with subordinates. I'm Caroline Head Film bloomke d A
Speaker 1: B Radium in London. We've been reporting on Gloomy UK
Speaker 1: confidence figures, the worst one in fifty years as inflation fights.
Speaker 1: I'm Ed Corey on w T A M in Cleveland.
Speaker 1: I'm reporting a former Macy store in Sheffield Township is
Speaker 1: becoming a facility for acorn stair loops. And those are
Speaker 1: some of the stories. Are hundred Bomberg journalists and analysts
Speaker 1: are working on this morning around the world. It's coming
Speaker 1: up to six thirty seven on Wall Street. The following
Speaker 1: is an editorial from Bloomberg Opinion. This editorial was written
Speaker 1: by the Bloomberg Editorial Board. For all the acrimony surrounding immigration,
Speaker 1: Americans generally support two goals, giving undocumented immigrants brought to
Speaker 1: the US as children a pathway to legal status and
Speaker 1: securing the border. With only days left in the current Congress,
Speaker 1: lawmakers have an opportunity to deliver a breakthrough on both priorities.
Speaker 1: A proposal by Senators Tom Tillis and Kirsen cinema would
Speaker 1: provide a path to citizenship for some two million undocumented
Speaker 1: immigrants known as dreamers, who have lived in the US
Speaker 1: for much of their lives. It would also extend a
Speaker 1: rule that allows for the expedited removal of border crossers
Speaker 1: for at least a year. The framework produces solid winds
Speaker 1: for each party at the same time. Neither side gets
Speaker 1: everything at wants. That's the sign of a good compromise,
Speaker 1: and Congress should get it done. This editorial was written
Speaker 1: by the Bloomberg editor Oral Board. For more Bloomberg opinion,
Speaker 1: please go to Bloomberg dot com, slash Opinion or O
Speaker 1: P I N go on the Bloomberg terminal. This has
Speaker 1: been Bloomberg Opinion Man. You can hear Bloomberg opinion editorials
Speaker 1: every weekday at this time. Terminal customers can read more
Speaker 1: at O P I n go. Looking ahead to the
Speaker 1: market open, it's looking like losses. SMP futures down forty
Speaker 1: three points, Dow futures are lower by three at fifty five,
Speaker 1: and NASTACK futures on the decline by eighty three points.
Speaker 1: Now the ten year Treasury is down thirteen thirty seconds
Speaker 1: yield three point four nine percent yield on the two
Speaker 1: year four point to four percent six thirty eight on
Speaker 1: Wall Street. Up Next time Daybreak, we head to the
Speaker 1: nation's capital, efforts to race weapons to Ukraine, and a
Speaker 1: big vote of confidence for President Biden from Congressional leadership.
Speaker 1: Bloomberg Government's Emily Wilkins joins us next live from the
Speaker 1: Bloomberg Interactive Burger Studios. This is Bloomberg day Break for
Speaker 1: a Friday, December sixty two. Coming up, the Shower, Uncertainty
Speaker 1: in markets, over fed, tightening concerns. Democratic leaders back up.
Speaker 1: Biden run in, a crackdown on TikTok, gains steam in Congress,
Speaker 1: and Twitter suspends some accounts covering elon Musk. I'm Any Morris.
Speaker 1: New York City is cracking down on unlicensed cannabis products,
Speaker 1: while the state is prohibiting pet stores from selling cats
Speaker 1: and DOFs. I'm John Stan Shower Sports. The Yankees have
Speaker 1: signed free agent picture Carlos Raddon, the Rangers, one of
Speaker 1: the Devil's Lost, the Forts one in Seattle. That's all
Speaker 1: s train ahead on Bloomberg Daybreak 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, San Francisco, Sirius
Speaker 1: x M one nine team, and around the world on
Speaker 1: Bloomberg Radio dot com and via the Bloomberg Business App.
Speaker 1: Good morning, I'm Nathan Hagar and I'm Karen Moscow and
Speaker 1: futures this morning are following. We checked the markets all
Speaker 1: day long here on Bloomberg Radio. S and P futures
Speaker 1: are down one at a third percent, down fifty three
Speaker 1: points down, features down what at a quarter percent or
Speaker 1: four hundred twenty points and NASDACK futures down one percent
Speaker 1: or a hundred eighteen points. The decks in Germany's down
Speaker 1: one point two percent, Tenure treasury down thirteen and thirty
Speaker 1: seconds held three point four nine percent, and they yield
Speaker 1: on the two year four point to five percent. Nine
Speaker 1: x screwed oil is down too and a half percent. Nathan, Yeah.
Speaker 1: The selling Karen comes on concern over Central bank tightening.
Speaker 1: The SNP slid two and a half percent yesterday. Only
Speaker 1: home builders, healthcare, and oil and gas companies posted at gains,
Speaker 1: and the commodity space could be set up for more
Speaker 1: gains in the new year. That's the view of Goldman Sachs,
Speaker 1: Head of Commodity Research Jeff Curry. What happens when China,
Speaker 1: the largest commodity consumer in the world, the largest oil
Speaker 1: imporder in the world, begins to rebound significantly in the
Speaker 1: first part of next year. It's going to tighten all
Speaker 1: of these markets tremendously and put a lot of upward
Speaker 1: pressure on prices. Jeff Curry with Goldman Sachs thinks commodities
Speaker 1: will be the best performing asset class in well global stocks. Meantime,
Speaker 1: nathan are headed for a weekly slide as the Fed,
Speaker 1: Bank of England and European Central Bank dash hopes for
Speaker 1: more devish policy. Megan Green, Global chief economist at Crael Institute,
Speaker 1: says central banks and markets seem to be working against
Speaker 1: each other. The Fed is effectively saying we're really serious
Speaker 1: guys to the markets, and the markets keep trying to
Speaker 1: call their bluff. I think both hoping that inflation will
Speaker 1: come down faster, but also expecting a recession at some
Speaker 1: point in the middle of the year and questioning how
Speaker 1: strong the Fed's resolve really is to continue keeping policy type.
Speaker 1: Megan Grain with Cruel Institute made the comments on Bloomberg's
Speaker 1: Balance of Power with David weston Catch the Show Weekdays,
Speaker 1: a new and Eastern on Bloomberg Radio and Television and
Speaker 1: Asia Overnight Careen. Market sentiment was risk off as well
Speaker 1: in reaction to the week's central bank moves. Bloomberg Daybreak
Speaker 1: Asia anchor Brian Curtis has the details from Hong Kong.
Speaker 1: Asian and stocks traded mixed to lower as investors wrestled
Speaker 1: with Hawckey Central Banks. Shares in Hong Kong and mainland
Speaker 1: China reversed early losses, while US futures were relatively stable.
Speaker 1: The threat of US delisting ease for about two hundred
Speaker 1: companies from Hong Kong and China and that aided sentiment,
Speaker 1: and China pledge to implement new measures for the property sector.
Speaker 1: Brian Curtis, Bloomberg Radio, Brian Thanks. Turning to politics now,
Speaker 1: top Democrats and Congress are backing Joe Biden in twenty
Speaker 1: four how Speaker Nancy Pelosi and Said a Majority leader
Speaker 1: Chunk Schumer both tell CNN that President Biden should run
Speaker 1: for re election, even as some Democrats urged the party
Speaker 1: to elevate a younger generation of leaders. Is a person
Speaker 1: with a great vision for our country. He's been involved
Speaker 1: for a long time, so his great knowledge of the
Speaker 1: issues and the challenges we face. In an interview on CNN,
Speaker 1: Pelosi said Biden has been a great president, and Schumer
Speaker 1: added heat support Biden all the way. Staying in DC, Karen,
Speaker 1: Congress appears to be getting impatient with security concerns over
Speaker 1: China's influence on TikTok. Bloomberg said, Baxter has that story.
Speaker 1: Congress is working on two bills that would limit or
Speaker 1: ban the use of TikTok in the US. The first
Speaker 1: is the one that passed the Senate this week, banning
Speaker 1: the use of the platform on government owned mobile phones.
Speaker 1: Housepeaker Nancy Pelosi says she doesn't know if the House
Speaker 1: can get to it this session. The second is Marco
Speaker 1: Rubio's bill that would totally ban the website. Rubio says
Speaker 1: he is very concerned about China's control and access to
Speaker 1: users private information. The move to do something is definitely
Speaker 1: picked up steam in San Francisco. I'm at Baxter Bloomberg daybreak,
Speaker 1: al right, and thanks. Turning to Twitter now, Elon Musk
Speaker 1: is making moves again to regulate content on the platform.
Speaker 1: Twitter is an now suspending the accounts of several journalists
Speaker 1: and Bloomberg. Steve Rappaport joins US Live. But that story Steve,
Speaker 1: good morning, Good morning, Karen and Nathan. People in the
Speaker 1: news business made the news when Twitter blocked the counts
Speaker 1: of reporters from The New York Times, The Washington Post
Speaker 1: and other outlets. Elon Musk says they were denied access
Speaker 1: for tracking private jets, including his must describe sharing that
Speaker 1: information as basically assassination coordinates, even though his jet can
Speaker 1: be tracked by using publicly available flight data. The Twitter
Speaker 1: boss then conducted a poll asking users when he should
Speaker 1: reinstate those accounts who disclosed his exact location, the majority
Speaker 1: voting to remove the bands immediately, Live in New York.
Speaker 1: I'm Steve Rappaport, Bloomberg Daybreak. Okay, Steve, thanks. We have
Speaker 1: more news. When from Elon Musk's other company, Tesla, A
Speaker 1: day after he sold more shares, Tesla announced it's ramping
Speaker 1: up SUV production at its Austin, Texas factory. We get
Speaker 1: that story from Bloomberg's Charlie Pellett. It's a sign that
Speaker 1: the electric carmaker is making up for lost time. At
Speaker 1: the money losing plant. Tesla shared the new production number
Speaker 1: in a tweet. The milestone comes a week after Bloomberg
Speaker 1: News report of the CEO Elon Musk, had asked the
Speaker 1: head of the company's China division to get the Austin
Speaker 1: factory up to speed. Extrapolated out over a year, that
Speaker 1: production rate would get Tesla to about one hundred fifty
Speaker 1: six and vehicles, which is still short of the annual
Speaker 1: target of two hundred fifty thousand, but the company promoted
Speaker 1: in its third quarter letter to shareholders in New York.
Speaker 1: Charlie Pellett Bloomberg Day Break Right, Charlie Thanks and more.
Speaker 1: News out of the Bahamas on disgraced ft X founder
Speaker 1: Sam Bank been freed after a judge denied a request
Speaker 1: for bail. The former CEO made a new bail application
Speaker 1: before the Bahamas Supreme Court. That's according to Reuter's. Local
Speaker 1: media reports say the bail application is said to be
Speaker 1: heard in mid January. SMP futures are down forty nine
Speaker 1: points this morning. Down futures down three D eight seven,
Speaker 1: NASDAG futures down one eight and the euro one point
Speaker 1: oh six to seven against the dollar. Bitcoin this morning
Speaker 1: is down to in a quarter percent as seventeen thousand dollars.
Speaker 1: Straight ahead, we have your latest local headlines, plus a
Speaker 1: check of sports, and this is Bloomberg. Thanks Caring at
Speaker 1: six oh seven on Wall Street. Rain continuing forty four
Speaker 1: degrees in Central Park are only going up to near
Speaker 1: fifty today and we're not going to see this rain
Speaker 1: go away until later on this evening as we get
Speaker 1: down to the mid thirties. Amy Morris has more on
Speaker 1: what's going on in New York and around the world. Amy,
Speaker 1: Good morning, Good morning, Nathan. New York City is cracking
Speaker 1: down on illegal unlicensed cannabis products. Authorities have seized more
Speaker 1: than one hundred thousand items worth more than four million
Speaker 1: dollars in an effort to clear the way for licensed
Speaker 1: vendors as the state tries to legalize and tax the
Speaker 1: marijuana market. COVID cases, hospitalizations, and deaths are all on
Speaker 1: the rise following Thanksgiving gatherings. Epidemiologist Eric figel Ding says
Speaker 1: that the biggest jump is in New York City. New
Speaker 1: York City is seeing the fastest surge of cases. They're
Speaker 1: not just high transmission, but they're all uh they're also
Speaker 1: at high community levels. And waste water surging. Also in
Speaker 1: New York City. Dr figel Ding tells ABC that you
Speaker 1: should wear a mask on public transit or whenever you're
Speaker 1: out in public. The Senate has passed a one week
Speaker 1: government funding bill intended to avert a Saturday shutdown. Senate
Speaker 1: Majority Leader Chuck Schumer says the extension will let lawmakers
Speaker 1: finished negotiations for next year's spending drama. No gridlock, no
Speaker 1: government shutdown this week. It's a win for the American people.
Speaker 1: The bill gives negotiators until December twenty three to hash
Speaker 1: out agreements on the roughly one point seven trillion dollars
Speaker 1: of fiscal three spending. The state of New York is
Speaker 1: banning pet stores from selling dogs, cats, and rabbits. Pet
Speaker 1: stores fought against this bill. They argue it would effectively
Speaker 1: put them out of business. The New York Times reports
Speaker 1: the aim is to stop the so called puppy mill pipeline.
Speaker 1: The band takes effect at the end of as the
Speaker 1: U s Africa Leader Summit comes to a closed, Secretary
Speaker 1: of State Day blink and reaffirmed the US commitment to
Speaker 1: providing aid for African nations impacted by famine and conflict.
Speaker 1: Much of this assistance has gone to African countries, which
Speaker 1: have been disproportionately impacted by the drivers of hunger, COVID
Speaker 1: climate and conflicts, and by President Putin's war in Ukraine,
Speaker 1: which has made a serious crisis much worse. Lincoln says
Speaker 1: the United States has provided more than eleven billion dollars
Speaker 1: in the past year to address global hunger and improved nutrition.
Speaker 1: Global News twenty four hours a day on Aaron Don
Speaker 1: Bloomberg Quicktake, powered by more than twenties seven hundred journalists
Speaker 1: and analysts in more than one twenty countries. I'm Amy Morris.
Speaker 1: This is Bloomberg, Nathan. Thanks Amy six O nine on
Speaker 1: Wall Street time for the Bloomberg Sports updap Ronto by
Speaker 1: tries stayed out. He here's John stash Our. All right,
Speaker 1: thanks Nathan. The Yankees have now checked off the first
Speaker 1: two items on their off season to do list. Number one,
Speaker 1: keep Aaron Judge. Number two was at a quality starting pitcher,
Speaker 1: and they've now done that with the initiative. Carlos Raddon,
Speaker 1: thirty year old left. He gets a six year deal
Speaker 1: for a hundred and sixty two million. He's been an
Speaker 1: All Star twice the last two seasons, first with the
Speaker 1: White Sox and then this passion with the Giants. His
Speaker 1: e r A was under three. Next on the Yankee
Speaker 1: shopping list could be an outfielder. As the Garden Rangers
Speaker 1: scored once in each period, the two by Jimmy VC.
Speaker 1: They made it five wins in a row, three one
Speaker 1: over Toronto and New York. The Devil's got an early
Speaker 1: go from Jack used his sixteens, but Philadelphia got forty
Speaker 1: eight saves from Carter Hart. The Flyers won two to one,
Speaker 1: and that's the Devil's fourth loss in a row. The Knicks,
Speaker 1: who won Wednesday in Chicago when overtime play there again tonight.
Speaker 1: Nick won their last five. The Nets are winners of
Speaker 1: four straight, eight of nine, and they're in Toronto. Steph
Speaker 1: Curry won't play for Golden State in Philadelphia. He's going
Speaker 1: to miss a few weeks with an injured shoulder, and
Speaker 1: the defending NBA champs are under five hundred with Curry
Speaker 1: now they're gonna be without him. Forty Niners. Meanwhile, stay
Speaker 1: red hot their seventh win in a row in Seattle,
Speaker 1: comes laugh throws down the sideline wide off at George
Speaker 1: Kettle Turty twenty cuts it side head, cuts it side again,
Speaker 1: cuts down, said fred Our second of two touchdown hook
Speaker 1: ups between the rookie brock Park Purdy, who continues to
Speaker 1: win with George kill the Niners. They've clinched the NFC
Speaker 1: West Seahawks mean, well, I've lost four out of last five.
Speaker 1: That helps the Giants. They're in contention with Seattle for
Speaker 1: the last two NFC playoff spots. Also battling this Washington
Speaker 1: of the Giants visit on Sunday night. There are three
Speaker 1: NFL games tomorrow. Johns actually were Bloomberg Sports, Nathan, I
Speaker 1: take it there was a touchdown and saying yes, that's call. Yeah, indeed,
Speaker 1: thank you, John, and the Bloomberg Sports Report was brought
Speaker 1: to you by Audie. Don't let someone else drive off
Speaker 1: in the Audi model. You've always wanted to visit your
Speaker 1: local try state Audie Dealer to get behind the wheel
Speaker 1: of yours today, or visit Audie Offers dot com for
Speaker 1: more information. Risk gussets are getting tackled this morning. SMP
Speaker 1: futures are down forty four point stout futures down three
Speaker 1: un at sixty seven NASTAC futures on the decline by
Speaker 1: ninety three points. Good morning, Live from coast to coast,
Speaker 1: from New York to San Francisco, Boston to Washington, d C.
Speaker 1: Nationwide on sirius a SIMP, the Bloomberg Business app, and
Speaker 1: Bloomberg dot Com. This is Bloomberg Daybreak six twelve on
Speaker 1: Wall Street. Good morning on, Nathan Hagar, Let's get you
Speaker 1: right back to the market action this morning, definite risk off.
Speaker 1: We're joined now by Michael Houston, the chief market analyst
Speaker 1: at CMC Markets. Michael, it's great to speak with you,
Speaker 1: and it feels as though this market is coming to
Speaker 1: grips with the idea that when central banks say that
Speaker 1: rates are going to stay higher for longer they meet it.
Speaker 1: Is that the right read? Well, I think it's certainly
Speaker 1: the read that Christine Lagarde would like the markets to
Speaker 1: take away from what the ECB intends to do next year.
Speaker 1: I'm not so sure they believe Chair Pal so much.
Speaker 1: And for me, this is really a data story. Nathan Um.
Speaker 1: I think the ECB comes across as more credible simply
Speaker 1: because there is no clear delineation between the data that's
Speaker 1: coming out of the Eurozone and the Central Bank's outlook.
Speaker 1: When it comes to rates, whereas in the US the
Speaker 1: FED is much more ahead of the curve. CPI has
Speaker 1: been coming down consistently since June, so the markets can
Speaker 1: focus on a data point and extrapolate from that whether
Speaker 1: or not they think power is being serious. They can't
Speaker 1: really do that with Christine Legarde because there's no clear
Speaker 1: evidence that inflation in the Eurozone has peaked, even though
Speaker 1: I think it probably has. So do you think then
Speaker 1: that Chairman Powell, with his rhetoric, is trying to talk
Speaker 1: this market down and that the summary of economic projections
Speaker 1: that the FED has put forward is more of a
Speaker 1: rhetorical device than an actual the thought of where the
Speaker 1: FED thinks that the economy is actually going to go?
Speaker 1: Is that what you're saying? Yeah, No, that is exactly
Speaker 1: what I'm saying. I think he's finding it very difficult
Speaker 1: to communicate to the markets the FED is serious about
Speaker 1: tackling inflation, because the market is looking at the numbers
Speaker 1: and thinking the FED is going to pivot sometime next year.
Speaker 1: I don't think the FED are going to pivot next year,
Speaker 1: and simply on the basis of the fact that if
Speaker 1: you look at the inflation numbers, they are trending lower.
Speaker 1: I think the market is slowly coming to a realization
Speaker 1: that it's going to be much more difficult to do
Speaker 1: that in Europe and the UK. And I think in
Speaker 1: a way Christine Legard has actually done power a little
Speaker 1: bit of a favor because ultimately, I think when you
Speaker 1: actually look at the data in the euro Area, it's
Speaker 1: much harder to make the argument that inflation has topped out.
Speaker 1: It is easier to make the argument that inflation has
Speaker 1: topped out in the US. It's really about how quickly
Speaker 1: it comes down and how high rights are, like, how
Speaker 1: how high rates are likely to stay. And in the
Speaker 1: ECB forecasts, they don't project that inflation is going to
Speaker 1: fall back to two much before five. I mean, that
Speaker 1: is quite sobering. So what does that mean for risk
Speaker 1: assets heading into three? Does this make the US more
Speaker 1: investable than Europe? What's your view on the no. I mean,
Speaker 1: I think in terms of the overall trends, it's going
Speaker 1: to make it much more difficult for US markets to
Speaker 1: break out of the down trend that they've been in
Speaker 1: for quite some time. Also, yesterday's US economic data or
Speaker 1: some great the US is heading for a slowdown. The
Speaker 1: bigger question is whether or not the FED can deliver
Speaker 1: a soft landing, and I'm not sure we're really going
Speaker 1: to know that until such times as we get the
Speaker 1: first set of earnings that come out from the US
Speaker 1: in the middle of January. I think JP Morgan on
Speaker 1: January could give us a fairly decent insight into the
Speaker 1: health of the U s consumer. Those week retail sales
Speaker 1: numbers yesterday weren't a good look weak industrial production that
Speaker 1: those weak fairly Fed surveys EMPO manufacturing service also are
Speaker 1: pointing to a significant softening in the US economy. If
Speaker 1: you then extrapolate that across to US stocks that's export markets,
Speaker 1: namely Europe and China, then you've got to prepare yourself
Speaker 1: for the potential for some earnings downgrades, which markets aren't
Speaker 1: necessarily pricing quite yet. So in our last minute here, Michael,
Speaker 1: what sectors are you looking for to make their way
Speaker 1: through a potential slow down or even as many market
Speaker 1: analysts see it as the potentiality for a recession next year. Well,
Speaker 1: I'm looking to basically rotate back into cash. I think
Speaker 1: it's going to be a very difficult first quarter first
Speaker 1: half of next year, and I think you could potentially
Speaker 1: see a bit of a rebound in the second half.
Speaker 1: So for me, I'm very much buy on the dips,
Speaker 1: put money into cash simply because yields now are much
Speaker 1: more attractive. If you look at the US tenure, you
Speaker 1: know that's still around about three and a half a cent,
Speaker 1: And if you actually look at what yields are doing now,
Speaker 1: particularly in the US, the fairly stable compared to what's
Speaker 1: happening in Europe. So for me, I'm looking looking to
Speaker 1: buy dips more than anything else and sitting on cash
Speaker 1: for the first two to three months of next year.
Speaker 1: A defensive view this morning for Michael Houston, Chief Market
Speaker 1: Analysts CMC Mike Markets, Michael, always great to get your thoughts.
Speaker 1: Thanks for this. SMP futures right now down forty three point,
Speaker 1: Staff futures down three D fifty two and Nastack futures
Speaker 1: are lower by ninety points. Dacks in Germany down nine
Speaker 1: tenths percent, the cat in Paris is lower by one
Speaker 1: of the third percent ten Your treasuries down twelve thirty seconds,
Speaker 1: you'll three point for nine percent, Nimex crew down two
Speaker 1: point three percent at seventy thirty five of barrel, the
Speaker 1: euro one point zero six three three against the dollar,
Speaker 1: Bitcoin down two and a quarter percent around seventeen thousand.
Speaker 1: This is Bloomberg