1 00:00:02,360 --> 00:00:05,160 Speaker 1: Live from the Bloomberg and Directed Brookers Studios. This is 2 00:00:05,160 --> 00:00:09,480 Speaker 1: Bloomberg Daybreak for Friday, April two. Coming up this hour. 3 00:00:09,760 --> 00:00:12,879 Speaker 1: Apple has a record quarter, but the forecast sends the 4 00:00:12,880 --> 00:00:16,000 Speaker 1: stock lower. Amazon share slide is a company coast a 5 00:00:16,079 --> 00:00:19,880 Speaker 1: loss on higher costs. Elon Musk unloads Tesla shares to 6 00:00:19,920 --> 00:00:22,840 Speaker 1: help pay for his takeover of Twitter, and Russian missiles 7 00:00:22,840 --> 00:00:26,520 Speaker 1: strike Ukraine's capital kievs New York City. De Lay's pain 8 00:00:26,680 --> 00:00:29,280 Speaker 1: rules that are meant to close the gender gap. Plus 9 00:00:29,480 --> 00:00:32,360 Speaker 1: the days of flavored cigarettes and cigars may be numbered. 10 00:00:32,600 --> 00:00:35,360 Speaker 1: I'm Michael barr more a hand. I'm John Dash Hour 11 00:00:35,360 --> 00:00:37,680 Speaker 1: and sports. The Jets and Giants with two top ten 12 00:00:37,800 --> 00:00:41,159 Speaker 1: draft picks. Both went defense, then offfense the Yankees when 13 00:00:41,159 --> 00:00:45,879 Speaker 1: there's sixth in their own that's all trendy. Head on 14 00:00:45,960 --> 00:00:50,080 Speaker 1: Bloomberg Daybreak on Bloomberg Eliving Free on New York, Bloomberg 15 00:00:50,200 --> 00:00:54,200 Speaker 1: nine one, Washington d C, Bloomberg one oh six one, Boston, 16 00:00:54,480 --> 00:00:58,920 Speaker 1: Bloomberg nine sixties and Francisco Sirius XAM one nine Team 17 00:00:59,120 --> 00:01:01,920 Speaker 1: and around the World Old on Bloomberg Radio dot Com 18 00:01:02,000 --> 00:01:08,840 Speaker 1: and via the Bloomberg Business App. Good Friday Morning, I'm 19 00:01:08,920 --> 00:01:12,360 Speaker 1: Nathan Hagar and I'm Karen Moscow. US DOT Index futures 20 00:01:12,400 --> 00:01:14,800 Speaker 1: are lower this morning. We're coming up to five oh 21 00:01:14,800 --> 00:01:16,680 Speaker 1: one on Wall Street, and we check the markets every 22 00:01:16,680 --> 00:01:20,440 Speaker 1: fifteen minutes throughout the trading day. On Bloomberg, SNP futures 23 00:01:20,440 --> 00:01:23,400 Speaker 1: down twenty three points this morning, Down futures downs eighty 24 00:01:23,680 --> 00:01:26,759 Speaker 1: and NASDAD futures down one twelve. The ten year treasury 25 00:01:26,760 --> 00:01:29,480 Speaker 1: down six thirty seconds. He had two point eight four percent, 26 00:01:29,840 --> 00:01:31,880 Speaker 1: and they yield on the two year two point six 27 00:01:31,880 --> 00:01:36,320 Speaker 1: four percent, and NIMEX screwed oil is up eight ten percent. Nathan, Karen, 28 00:01:36,360 --> 00:01:38,880 Speaker 1: we begin this morning with market reaction to the latest 29 00:01:39,000 --> 00:01:42,119 Speaker 1: slew of earnings. Apple shares are down more than two 30 00:01:42,120 --> 00:01:46,080 Speaker 1: percent in early trading, records setting earnings are being overshadowed 31 00:01:46,160 --> 00:01:49,920 Speaker 1: by the iphonemaker's forecast. Apple predicts supply constraints will cost 32 00:01:49,960 --> 00:01:52,880 Speaker 1: four to eight billion dollars in revenue during the current quarter. 33 00:01:53,240 --> 00:01:56,360 Speaker 1: CEO Tim Cook addressed the issue on the company's conference call. 34 00:01:56,880 --> 00:02:00,280 Speaker 1: I want to acknowledge the challenges we're seeing from apply 35 00:02:00,400 --> 00:02:04,400 Speaker 1: chain disruptions driven by both COVID and silicon shortages, to 36 00:02:04,520 --> 00:02:08,440 Speaker 1: the devastation from the war in Ukraine. We are not 37 00:02:08,560 --> 00:02:12,840 Speaker 1: immune to these challenges. Apple CEO Tim Cooke also announced 38 00:02:12,919 --> 00:02:16,600 Speaker 1: ninety billion dollars in new stock buybacks. Well Shares of 39 00:02:16,680 --> 00:02:19,200 Speaker 1: Amazon are down eight and a half percent this morning. 40 00:02:19,280 --> 00:02:22,440 Speaker 1: Nathan the Eight Commerce Giants says it lost money during 41 00:02:22,440 --> 00:02:24,600 Speaker 1: the first quarter and may see another loss in the 42 00:02:24,600 --> 00:02:28,799 Speaker 1: current period. Amazon's clown Services division a w S continue 43 00:02:28,840 --> 00:02:31,959 Speaker 1: to impress, but a hiring and warehouse building binge during 44 00:02:31,960 --> 00:02:35,040 Speaker 1: the pandemic weight on the bottom line. Punham Goyle covers 45 00:02:35,040 --> 00:02:39,360 Speaker 1: Amazon for Bloomberg Intelligence. For a long time, a WS 46 00:02:39,440 --> 00:02:44,600 Speaker 1: has been able to offset the weaker retail business, but 47 00:02:44,800 --> 00:02:48,480 Speaker 1: it's not enough. With growth slowing on the top line 48 00:02:48,919 --> 00:02:53,280 Speaker 1: across the online business ACROST, the rising just too fast 49 00:02:53,520 --> 00:02:57,760 Speaker 1: for them to herb those higher costs. Bloomberg Intelligence analysts 50 00:02:57,760 --> 00:03:00,200 Speaker 1: Punham Goyle says, for the first time ever, US on 51 00:03:00,280 --> 00:03:03,160 Speaker 1: recording back to back quarters of less than ten percent 52 00:03:03,280 --> 00:03:05,799 Speaker 1: revenue growth. Let's check out some other stocks on the 53 00:03:05,840 --> 00:03:08,880 Speaker 1: move this morning. Karen shares of Inteller down three percent. 54 00:03:09,000 --> 00:03:13,000 Speaker 1: The chipmaker gave disappointing sales and profit forecasts, indicating weaker demand, 55 00:03:13,360 --> 00:03:16,720 Speaker 1: and robin Hood shares are down nearly eleven percent. The 56 00:03:16,760 --> 00:03:21,400 Speaker 1: financial upstart says first quarter revenue tumbled. We wrap up 57 00:03:21,400 --> 00:03:23,840 Speaker 1: a busy week for earnings with big oil and focus. 58 00:03:24,000 --> 00:03:26,840 Speaker 1: Nathan x on Mobile reports this morning a preview from 59 00:03:26,840 --> 00:03:31,000 Speaker 1: Bloomberg's Tom Busby. After Russia's invasion of Ukraine sent crude 60 00:03:31,000 --> 00:03:34,200 Speaker 1: prices surging over the past two months along with global demand, 61 00:03:34,480 --> 00:03:37,840 Speaker 1: It's boom times right now for the nation's biggest oil producers, 62 00:03:37,840 --> 00:03:40,680 Speaker 1: and because of that, x on Mobile is expected to 63 00:03:40,720 --> 00:03:44,000 Speaker 1: post its biggest quarterly profit in more than a decade. 64 00:03:44,640 --> 00:03:47,680 Speaker 1: Investors will be looking for guidance on increased crewde production 65 00:03:47,720 --> 00:03:51,080 Speaker 1: and possibly more shared by backs and higher dividends. I'm 66 00:03:51,120 --> 00:03:54,440 Speaker 1: Tom Busby, Bloomberg Daybreak. All right, Tom, thank you. Earning 67 00:03:54,520 --> 00:03:57,280 Speaker 1: so far have not turned around market sentiment. In fact, 68 00:03:57,280 --> 00:03:59,920 Speaker 1: the SMP five enters the final trading day of AP 69 00:04:00,200 --> 00:04:03,600 Speaker 1: on track for the worst month since the pandemic bear market. 70 00:04:03,720 --> 00:04:06,880 Speaker 1: More from Bloomberg's Charlie Pellett. The SMP is showing a 71 00:04:06,960 --> 00:04:11,080 Speaker 1: month to day loss of five point four percent. By comparison, 72 00:04:11,160 --> 00:04:14,320 Speaker 1: this month, Nasdaq is down nine and a half percent, 73 00:04:14,600 --> 00:04:18,320 Speaker 1: while the Dow is down two point two percent. Volatility 74 00:04:18,480 --> 00:04:21,800 Speaker 1: has been eight persistent feature in markets all year, with 75 00:04:21,880 --> 00:04:26,600 Speaker 1: investors on edge over China's struggle to suppress COVID, Russia's 76 00:04:26,600 --> 00:04:30,200 Speaker 1: war in Ukraine, and warries that central bank tightening may 77 00:04:30,279 --> 00:04:34,359 Speaker 1: tip the US economy into a recession. In New York, 78 00:04:34,440 --> 00:04:38,039 Speaker 1: Charlie Pellett Bloomberg Daybreak, Right, turnly, thank you Well. In Asia, 79 00:04:38,080 --> 00:04:41,520 Speaker 1: it's a different story for stocks today. Chinese technology shares 80 00:04:41,680 --> 00:04:44,880 Speaker 1: jumped after new policy promises from the country's top leaders 81 00:04:44,880 --> 00:04:47,880 Speaker 1: to bolster the economy. And Marcus. Let's get the recap 82 00:04:47,880 --> 00:04:51,480 Speaker 1: from Bloomberg's Juliette Sally in Singapore. Good morning, Juliette, Good 83 00:04:51,480 --> 00:04:54,080 Speaker 1: morning Karen. The MCI Asia Pacific Index rose for a 84 00:04:54,160 --> 00:04:56,320 Speaker 1: third time this week, with ten Cent and Ali Barbara 85 00:04:56,360 --> 00:04:58,680 Speaker 1: among the biggest gain is the Hank Sang Take Index, 86 00:04:58,680 --> 00:05:01,760 Speaker 1: sort more than ten percent and rebounding from earlier losses 87 00:05:02,040 --> 00:05:05,200 Speaker 1: as the country bound to support healthy growth of platform companies. 88 00:05:05,440 --> 00:05:08,640 Speaker 1: Shortly before the measures were unveiled, Chinese tex Stalks reversed 89 00:05:08,680 --> 00:05:12,240 Speaker 1: earlier losses, has tried has speculated about a possible relaxation 90 00:05:12,279 --> 00:05:15,760 Speaker 1: of the yearlong regulatory clampdown, and China's You unstrengthened a 91 00:05:15,800 --> 00:05:18,039 Speaker 1: little during the day's trade, but is poised for a 92 00:05:18,080 --> 00:05:21,760 Speaker 1: record monthly drop as the economy suffers from lockdowns resulting 93 00:05:21,760 --> 00:05:25,400 Speaker 1: from the nation's COVID zero policy. In Sydney, Juliette Sally 94 00:05:25,520 --> 00:05:28,800 Speaker 1: Bloomberg Daybreak, Juliet thanks for finding out more details this 95 00:05:28,839 --> 00:05:32,440 Speaker 1: morning on how Elon Musk is financing his Twitter takeover. 96 00:05:32,560 --> 00:05:35,720 Speaker 1: Let's get the latest live from Bloomberg Runita Young, Good morning, Granita, 97 00:05:35,760 --> 00:05:38,880 Speaker 1: Good morning. Nathan wall Street suspected Elon Musk would have 98 00:05:38,920 --> 00:05:41,080 Speaker 1: to sell some stock to cover the twenty one billion 99 00:05:41,120 --> 00:05:44,240 Speaker 1: dollar equity portion of his deal to buy Twitter. Now, 100 00:05:44,279 --> 00:05:47,800 Speaker 1: a filing shows Musk offloaded about four billion dollars worth 101 00:05:47,800 --> 00:05:51,080 Speaker 1: of Tesla stock. Shortly after those filings were made public, 102 00:05:51,240 --> 00:05:55,080 Speaker 1: Musk tweeted that no further Tesla cells were planned. Meantime, 103 00:05:55,120 --> 00:05:58,159 Speaker 1: Bloomberg sources say before the deal was announced, Musk floated 104 00:05:58,160 --> 00:06:01,800 Speaker 1: the idea of cutting jobs at costs at Twitter. On 105 00:06:01,960 --> 00:06:05,560 Speaker 1: calls with bankers. Must also discussed ideas to monetize the 106 00:06:05,560 --> 00:06:09,440 Speaker 1: platform to boost cash flow, including a potential subscription service 107 00:06:09,480 --> 00:06:13,080 Speaker 1: to drive recurring revenue. Live in New York, I'm goned 108 00:06:13,120 --> 00:06:15,320 Speaker 1: a Young Bloomberg Daybreak. All right, we need it, thank you, 109 00:06:15,320 --> 00:06:17,279 Speaker 1: But let's shift years now and get to the latest 110 00:06:17,360 --> 00:06:21,000 Speaker 1: on Ukraine. Russian missile struck Kiev overnight, but the battle 111 00:06:21,040 --> 00:06:24,400 Speaker 1: for don Boss is still Russia's strategic focus. Meantime, here 112 00:06:24,400 --> 00:06:27,640 Speaker 1: in the US, President Biden is asking Congress for thirty 113 00:06:27,680 --> 00:06:30,040 Speaker 1: three billion dollars in aid to Ukraine, but the road 114 00:06:30,080 --> 00:06:33,520 Speaker 1: to approval won't be easy. Bloomberg's said Bacheter has the story. 115 00:06:33,800 --> 00:06:37,040 Speaker 1: The Ukraine part has broad support across Congress, but at 116 00:06:37,120 --> 00:06:40,600 Speaker 1: risks getting snarled in his ask for COVID funding and immigration. 117 00:06:41,240 --> 00:06:44,040 Speaker 1: The Senate could vote on the emergency spending next week, 118 00:06:44,120 --> 00:06:47,600 Speaker 1: but the House will be on recess, so Congress could 119 00:06:47,640 --> 00:06:49,680 Speaker 1: finish by the week of May nine and send it 120 00:06:49,720 --> 00:06:53,360 Speaker 1: to the President. But if Democrats insist on attaching long 121 00:06:53,600 --> 00:06:58,400 Speaker 1: stalled funding for vaccinations and immigration costs, it could be 122 00:06:58,440 --> 00:07:02,479 Speaker 1: delayed indefinitely. Eight. Biden did urge them a crash to 123 00:07:02,480 --> 00:07:06,599 Speaker 1: pass them together in San Francisco. I'm at Baxter Bloomberg Daybreak. 124 00:07:06,640 --> 00:07:09,640 Speaker 1: All right, thanks, SMP futures down down twenty five point, 125 00:07:09,680 --> 00:07:12,480 Speaker 1: staff futures down ninety five, nastack futures lower by a 126 00:07:12,560 --> 00:07:15,360 Speaker 1: hundred twelve, The ten year treasury yield to eight four. 127 00:07:15,640 --> 00:07:18,320 Speaker 1: Straight ahead your latest local headlines in the check of Sports. 128 00:07:18,360 --> 00:07:24,800 Speaker 1: This is Bloomberg at five oh seven on Wall Street 129 00:07:24,800 --> 00:07:26,960 Speaker 1: Ward forty two degrees in Central Park. They're still picking 130 00:07:27,000 --> 00:07:29,880 Speaker 1: up some roadwork overnight on the northbound Merritt Parkway between 131 00:07:29,920 --> 00:07:32,720 Speaker 1: Norwalk and Westport. Just keep an eye on that. Michael 132 00:07:32,720 --> 00:07:34,680 Speaker 1: Barr has more on what's going on in New York 133 00:07:34,720 --> 00:07:38,040 Speaker 1: and around the world. Happy Friday, Michael, Happy Friday to you, Nathan. 134 00:07:38,080 --> 00:07:41,119 Speaker 1: New York City has postponed one of the nation's most 135 00:07:41,200 --> 00:07:44,720 Speaker 1: far reaching requirements for employers to tell job seekers what 136 00:07:44,760 --> 00:07:48,880 Speaker 1: they can make. Such pay transparency laws aren't championed as 137 00:07:48,960 --> 00:07:52,679 Speaker 1: giving applicants, particularly women and people of color, a better 138 00:07:52,760 --> 00:07:55,240 Speaker 1: shot at fair pay. The law was supposed to take 139 00:07:55,280 --> 00:07:58,320 Speaker 1: effect in May, but the City Council voted yesterday to 140 00:07:58,360 --> 00:08:01,960 Speaker 1: delay it for five months after your employers waved red flags. 141 00:08:02,440 --> 00:08:05,600 Speaker 1: The law says employers with four or more workers must 142 00:08:05,640 --> 00:08:09,440 Speaker 1: include a minimum and maximum salary in any job at 143 00:08:09,960 --> 00:08:12,480 Speaker 1: New York State is setting aside more than thirty one 144 00:08:12,560 --> 00:08:16,280 Speaker 1: billion dollars in this year's budget for schools. Governor Kathy 145 00:08:16,280 --> 00:08:18,920 Speaker 1: Oakeles has more than three hundred sixty million dollars in 146 00:08:19,040 --> 00:08:22,440 Speaker 1: this fiscal year will help students and teachers and younkers 147 00:08:22,480 --> 00:08:27,120 Speaker 1: bounce back from the pandemic. They have just signed a budget, 148 00:08:27,640 --> 00:08:33,080 Speaker 1: supported a budget they had the highest investment and education 149 00:08:33,360 --> 00:08:37,800 Speaker 1: in our state's history. Governor hokel says, every penny it 150 00:08:37,920 --> 00:08:40,840 Speaker 1: is worth it. Funeral services are set for today for 151 00:08:40,920 --> 00:08:45,520 Speaker 1: falling FDN wifire fighter Timothy Klein. Klein died Sunday while 152 00:08:45,520 --> 00:08:48,640 Speaker 1: fighting ablaze in Brooklyn. Services will take place for the 153 00:08:48,679 --> 00:08:52,720 Speaker 1: thirty one year old in Bell Harbor. Eight other firefighters 154 00:08:52,720 --> 00:08:54,440 Speaker 1: were hurt in that blaze. A twenty one year old 155 00:08:54,480 --> 00:08:57,600 Speaker 1: man who had autism also died in the fire. In 156 00:08:57,800 --> 00:09:01,200 Speaker 1: the Southwest, thousands of firefighters have continued to slow the 157 00:09:01,240 --> 00:09:06,360 Speaker 1: advance of destructive wildfires, but high winds return today that 158 00:09:06,480 --> 00:09:09,160 Speaker 1: sparked the spread of the blazes a week ago. More 159 00:09:09,200 --> 00:09:11,720 Speaker 1: than a hundred sixty homes have been destroyed in one 160 00:09:11,920 --> 00:09:15,679 Speaker 1: rural county in northeast New Mexico. The FDA wants to 161 00:09:15,720 --> 00:09:20,800 Speaker 1: ban menthol cigarettes and flavored cigars. FDA Commissioner Robert Callips 162 00:09:20,800 --> 00:09:24,320 Speaker 1: says studies that show the minty taste and cooling effects 163 00:09:24,320 --> 00:09:28,880 Speaker 1: of menthol and cigar flavors like strawberry and grape increase 164 00:09:28,920 --> 00:09:31,960 Speaker 1: the appeal for adults and young smokers alike. I really 165 00:09:32,000 --> 00:09:35,120 Speaker 1: want to emphasize this. It's not just UM we want 166 00:09:35,120 --> 00:09:38,640 Speaker 1: to take away mental in cigarettes as we want to 167 00:09:38,760 --> 00:09:44,360 Speaker 1: help people UM stop this uh um smoking which is 168 00:09:44,400 --> 00:09:47,880 Speaker 1: causing so much stealth and disability. FDA Commissioner Callips says 169 00:09:47,920 --> 00:09:50,120 Speaker 1: menthol cigarettes account for more than a third of all 170 00:09:50,200 --> 00:09:53,559 Speaker 1: cigarettes sales in the US. Global News twenty four hours 171 00:09:53,559 --> 00:09:56,200 Speaker 1: a day on air and on Bloomberg Quick Take, powered 172 00:09:56,200 --> 00:09:59,040 Speaker 1: by more than seven hundred journalists and analysts in more 173 00:09:59,080 --> 00:10:01,120 Speaker 1: than a hundred twenty reeves. I'm Michael bar this is 174 00:10:01,120 --> 00:10:07,960 Speaker 1: Bloomberg Nathing. Thank you, Michael. Coming up to five ten 175 00:10:08,040 --> 00:10:10,160 Speaker 1: on ball Street time for the Bloomberg Sports Updated. Morn 176 00:10:10,280 --> 00:10:12,679 Speaker 1: John Sire, Good morning, Nathan. Second year in a row 177 00:10:12,760 --> 00:10:16,120 Speaker 1: the NFL Draft again with Jacksonville. The Jacks took Georgia 178 00:10:16,160 --> 00:10:19,280 Speaker 1: pass rush for Trayvon Walker that allowed Michigan's defensive end 179 00:10:19,320 --> 00:10:22,360 Speaker 1: Aidan Hutchinson to stay home with Detroit. Houston took l 180 00:10:22,520 --> 00:10:25,480 Speaker 1: s U quarterback Derek Stingley, and the Jets, picking fourth, 181 00:10:25,720 --> 00:10:29,719 Speaker 1: took Cincinnati cornerback I'm odd Sauce Gardener. Not once in 182 00:10:29,840 --> 00:10:32,920 Speaker 1: Gardner's college career did he allow the receiver he was 183 00:10:33,000 --> 00:10:35,600 Speaker 1: defending to score a touchdown. The Giants were next. They're 184 00:10:35,679 --> 00:10:38,360 Speaker 1: pick announced not Fight Commissioner Roger Gadell, but by nineteen 185 00:10:38,440 --> 00:10:41,199 Speaker 1: year old New Jersey residence Sam Prince, who has a 186 00:10:41,240 --> 00:10:43,079 Speaker 1: heart and lung condition as part of them make a 187 00:10:43,120 --> 00:10:46,319 Speaker 1: Wish program. With the fifth pick and it's fight to 188 00:10:46,559 --> 00:10:52,600 Speaker 1: NFL Draft, the New York Football Giants select Cavon Tibodel 189 00:10:53,320 --> 00:10:55,680 Speaker 1: Tibido Launch, projected to be the first pick of the draft. 190 00:10:55,679 --> 00:10:58,360 Speaker 1: He should help a Giants pass rush that was virtually 191 00:10:58,400 --> 00:11:01,520 Speaker 1: non existing last season. They're offensive line also struggles. With 192 00:11:01,600 --> 00:11:04,960 Speaker 1: two picks later, the Giants took Alabama tackle Evan Neil 193 00:11:05,040 --> 00:11:08,400 Speaker 1: top ten, ended with another Jets pick, Ohio statewide out 194 00:11:08,440 --> 00:11:11,880 Speaker 1: Garrett Wilson. So Zach Wilson will profasses to Garrett Wilson. 195 00:11:12,440 --> 00:11:14,240 Speaker 1: Rounds two of the two and three of the draft. 196 00:11:14,320 --> 00:11:16,360 Speaker 1: Tonight in Last Days White a home stand for the 197 00:11:16,400 --> 00:11:19,720 Speaker 1: Yankees six games. They won them all ten five over Baltimore, 198 00:11:19,760 --> 00:11:21,679 Speaker 1: three run over for Aaron Judge. Yanks were held by 199 00:11:21,760 --> 00:11:25,199 Speaker 1: five Oriel airs. That's one more than the Yankees have 200 00:11:25,320 --> 00:11:28,079 Speaker 1: had all season. Yanks play tonight in Kansas City NBA 201 00:11:28,120 --> 00:11:31,320 Speaker 1: Playoffs three Game six is all were serious. Clinton wins 202 00:11:31,320 --> 00:11:33,679 Speaker 1: on the road, Philadelphia up by one at half time, 203 00:11:34,120 --> 00:11:37,079 Speaker 1: Sixers one by thirty five in Toronto, Dallas one by 204 00:11:37,080 --> 00:11:39,640 Speaker 1: two in Utah, and Phoenix one in New Orleans. The 205 00:11:39,679 --> 00:11:43,880 Speaker 1: Son's Chris Paul took fourteen shots. He made all four teams. 206 00:11:43,920 --> 00:11:48,840 Speaker 1: John stash Llanto, al right, John, thank you. SFP futures 207 00:11:48,840 --> 00:11:51,079 Speaker 1: sound twenty seven points down at down futures down a 208 00:11:51,120 --> 00:11:54,319 Speaker 1: hundred eight nastack futures down a hundred twenty three points. 209 00:11:54,400 --> 00:11:59,319 Speaker 1: We'll get more on the earnings disappointments from Apple and Amazon. 210 00:11:59,440 --> 00:12:02,720 Speaker 1: Next will be speaking live with Gene Munster, co founder 211 00:12:02,760 --> 00:12:08,839 Speaker 1: of Luke Venture's This is Bloomberg Bloomberg eleven three oh 212 00:12:08,840 --> 00:12:11,760 Speaker 1: weather mostly sunny, breezy, low sixties. Today, will be in 213 00:12:11,800 --> 00:12:15,800 Speaker 1: the low sixties and mainly sunny Tomorrow. Clouds increased Sunday, 214 00:12:15,920 --> 00:12:17,960 Speaker 1: so does the temperature. We'll get up to near seventy 215 00:12:18,120 --> 00:12:23,320 Speaker 1: right now forty two in Central Park Markets, headlines and 216 00:12:23,440 --> 00:12:26,720 Speaker 1: breaking news twenty four hours a day at Bloomberg dot Com, 217 00:12:26,800 --> 00:12:30,360 Speaker 1: the Bloomberg Business Out and at Bloomberg Quick Tape. He's 218 00:12:30,400 --> 00:12:39,400 Speaker 1: a Bloomberg Business Flash and I'm Karen Moscow, US not 219 00:12:39,559 --> 00:12:43,720 Speaker 1: Index futures lower this morning following earnings from Amazon and Apple, 220 00:12:43,840 --> 00:12:45,880 Speaker 1: and we checked the markets every fifteen minutes throughout the 221 00:12:45,880 --> 00:12:48,920 Speaker 1: trading day on Bloomberg. Right now, S and P futures 222 00:12:48,920 --> 00:12:52,160 Speaker 1: are down thirty points down, futures down one, and NASTAG 223 00:12:52,200 --> 00:12:55,760 Speaker 1: futures down one. Four ten year treasury down nine thirty 224 00:12:55,840 --> 00:12:58,600 Speaker 1: seconds two eight five percent. They yield on the two 225 00:12:58,679 --> 00:13:01,360 Speaker 1: year two point six six for cent. And I'm ex screwed. 226 00:13:01,400 --> 00:13:03,360 Speaker 1: Oil is up one and a quarter percent, up a 227 00:13:03,400 --> 00:13:06,080 Speaker 1: dollar thirty one at a hundred six dollars sixty eight 228 00:13:06,240 --> 00:13:08,640 Speaker 1: cents of barrel. That's a Bloomberg business flash. Now here's 229 00:13:08,679 --> 00:13:11,560 Speaker 1: Michael Barr with more on what's going on around the world. Michael, 230 00:13:11,920 --> 00:13:14,320 Speaker 1: thank you very much. Karen, and Russia found it targets 231 00:13:14,360 --> 00:13:17,839 Speaker 1: from practically one end of Ukraine to the other, including Kiev. 232 00:13:18,200 --> 00:13:20,640 Speaker 1: The bombardment of the city took place while the head 233 00:13:20,679 --> 00:13:24,680 Speaker 1: of the United Nations was visiting Ukraine's capitol. Round one 234 00:13:24,720 --> 00:13:26,880 Speaker 1: of the NFL draft is in the books. The first 235 00:13:26,920 --> 00:13:30,959 Speaker 1: five picks were all defensive players. The Jaguars took Trayvon 236 00:13:31,040 --> 00:13:33,960 Speaker 1: Walker with the top pick. The Jets at number four. 237 00:13:34,000 --> 00:13:37,360 Speaker 1: Pick cornerback Ahmad Gardner. The Giants at five took another 238 00:13:37,480 --> 00:13:41,280 Speaker 1: edge Russia Cavan Thibadeaux. In baseball, the Yankees beat the 239 00:13:41,320 --> 00:13:44,480 Speaker 1: Orioles ten five. The Red Sox Nationals lost NHL. The 240 00:13:44,559 --> 00:13:48,000 Speaker 1: Islanders beat the Capitol's five one, the Bruins one. Global 241 00:13:48,040 --> 00:13:50,000 Speaker 1: news twenty four hours a day on air end on 242 00:13:50,040 --> 00:13:52,880 Speaker 1: Bloomberg Quicktake power by more than twenty seven hundred journalists 243 00:13:52,880 --> 00:13:55,480 Speaker 1: analysts in more than a hundred twenty countries. Michael bar 244 00:13:55,600 --> 00:13:58,199 Speaker 1: this is Bloomberg. Nathan all right, Michael, thanks for coming 245 00:13:58,280 --> 00:14:00,319 Speaker 1: up to five nineteen on Wall Street. I from the 246 00:14:00,360 --> 00:14:04,320 Speaker 1: Bloomberg Interactive Broker Studios. This is Bloomberg Daybreak, and we 247 00:14:04,360 --> 00:14:06,840 Speaker 1: are wrapping up a very busy week for tech earnings 248 00:14:06,840 --> 00:14:11,199 Speaker 1: with souring sentiment. This morning. Shares of Apple are down 249 00:14:11,280 --> 00:14:14,080 Speaker 1: about two and a half percent. The iPhone maker reported 250 00:14:14,200 --> 00:14:17,520 Speaker 1: record sales in the latest quarter, but the outlook is 251 00:14:17,520 --> 00:14:22,600 Speaker 1: what's causing concern. And Amazon is plunging by nearly nine percent, 252 00:14:22,720 --> 00:14:28,320 Speaker 1: with spending maybe catching up on that e commerce giants profits. 253 00:14:28,400 --> 00:14:31,200 Speaker 1: Let's get more insights now. Gene Munster is with us 254 00:14:31,240 --> 00:14:35,080 Speaker 1: this morning. Co founder of Loop Ventures. Gene it's good 255 00:14:35,120 --> 00:14:37,320 Speaker 1: to speak with you this morning, and want to start 256 00:14:37,320 --> 00:14:41,120 Speaker 1: with Apple because CEO Tim Cook was pretty explicit in 257 00:14:41,120 --> 00:14:46,120 Speaker 1: the call after the record sales that the drag from 258 00:14:46,240 --> 00:14:50,960 Speaker 1: the supply chain is a big concern for him. Is 259 00:14:51,000 --> 00:14:54,720 Speaker 1: it a concern for you? It's not. I think it 260 00:14:54,840 --> 00:14:58,200 Speaker 1: really hides the bigger picture here, which is the supply 261 00:14:58,360 --> 00:15:01,360 Speaker 1: chain constraint topic has been part of the Apple story 262 00:15:01,400 --> 00:15:04,480 Speaker 1: for the past twenty years. Apple comes out with a 263 00:15:04,520 --> 00:15:07,320 Speaker 1: new product, consumers have to wait two to four months 264 00:15:07,320 --> 00:15:10,280 Speaker 1: to get the new products. What happened a year ago, 265 00:15:10,680 --> 00:15:15,720 Speaker 1: in actually a year ago to the date AP one 266 00:15:16,120 --> 00:15:19,000 Speaker 1: is notable because that was the first quarter that their 267 00:15:19,040 --> 00:15:23,120 Speaker 1: CFO talked about more broader supply constraints. They had never 268 00:15:23,200 --> 00:15:26,080 Speaker 1: mentioned that before. We had a one time mentioned in 269 00:15:26,120 --> 00:15:30,480 Speaker 1: that quarter. Since that time, they've been averaging nine times 270 00:15:30,520 --> 00:15:33,520 Speaker 1: talking about these supply constraints. And the reason why I 271 00:15:33,600 --> 00:15:38,600 Speaker 1: mentioned that is that each time they have proven not 272 00:15:38,680 --> 00:15:41,560 Speaker 1: just over the last four quarters, but the last twenty years, 273 00:15:41,560 --> 00:15:45,560 Speaker 1: that that consumers are willing to wait when Apple products 274 00:15:45,600 --> 00:15:49,840 Speaker 1: aren't available. And so when we get we as investors 275 00:15:49,920 --> 00:15:52,840 Speaker 1: in Apple kind of the broader investor in Apple community 276 00:15:53,120 --> 00:15:56,520 Speaker 1: gets their heads wrapped around the vortex of what does 277 00:15:56,560 --> 00:15:59,360 Speaker 1: it mean with these supply constraints the impact on the quarter. 278 00:15:59,400 --> 00:16:02,440 Speaker 1: This quarter it's a negative seven percent. I think what 279 00:16:02,600 --> 00:16:05,960 Speaker 1: misses the point is that those sales just get pushed 280 00:16:05,960 --> 00:16:11,000 Speaker 1: into subsequent quarters. And uh. The reason, the final piece 281 00:16:11,040 --> 00:16:14,720 Speaker 1: that's most important, and this was a spectacular quarter, The 282 00:16:14,800 --> 00:16:18,160 Speaker 1: piece that's most important around that and evidence that consumers 283 00:16:18,200 --> 00:16:21,280 Speaker 1: are willing to wait is Apple just grew their business 284 00:16:21,320 --> 00:16:24,400 Speaker 1: at nine percent. The street was looking for four percent. 285 00:16:25,080 --> 00:16:27,520 Speaker 1: That was in the face of a fifty three percent 286 00:16:27,680 --> 00:16:30,880 Speaker 1: comp just a staggeringly difficult comp and they still grew 287 00:16:30,920 --> 00:16:34,200 Speaker 1: off that along with shutting down Russia for a month 288 00:16:34,320 --> 00:16:37,240 Speaker 1: and the slowing Macero and I think what that speaks 289 00:16:37,280 --> 00:16:40,400 Speaker 1: to is that all of this handwringing around what's going 290 00:16:40,400 --> 00:16:43,320 Speaker 1: on in the supply chain really misses the bigger point 291 00:16:43,360 --> 00:16:47,400 Speaker 1: that Apple has products that people want. To that point, though, Gene, 292 00:16:47,680 --> 00:16:51,600 Speaker 1: are Apple consumers willing to wait if the products don't 293 00:16:51,600 --> 00:16:56,720 Speaker 1: show big changes in upgrade I'm thinking about iPhone thirteen 294 00:16:56,800 --> 00:16:59,800 Speaker 1: compared to iPhone twelve or even the iPad. The sales 295 00:16:59,840 --> 00:17:05,240 Speaker 1: and been kind of sluggish on some of the newest lines. Well, 296 00:17:05,480 --> 00:17:08,760 Speaker 1: I think that year and year. Consumers do wait and 297 00:17:08,840 --> 00:17:11,960 Speaker 1: part of the reasons that we're just increasingly dependent upon 298 00:17:12,000 --> 00:17:15,399 Speaker 1: these products. Um, and so I think, yes, people do 299 00:17:15,560 --> 00:17:18,360 Speaker 1: wait for him. And I think the results were impressive. 300 00:17:18,400 --> 00:17:21,920 Speaker 1: They grew the US at eighteen percent this quarter and 301 00:17:22,080 --> 00:17:25,360 Speaker 1: these were lights out good numbers. And so I would disagree. 302 00:17:25,400 --> 00:17:27,720 Speaker 1: I think they're doing a great job of growing the products. 303 00:17:28,480 --> 00:17:32,880 Speaker 1: So um, yeah, I think China grew at four percent. 304 00:17:33,800 --> 00:17:38,600 Speaker 1: Tough comp there too. Let's turn to Amazon. The spend 305 00:17:39,080 --> 00:17:44,000 Speaker 1: seems to be a focus for investors. Has the spending 306 00:17:44,200 --> 00:17:49,879 Speaker 1: on personnel warehouses caught up with grove? It has? Well, 307 00:17:49,920 --> 00:17:53,960 Speaker 1: that's the key. They have one point four million workers 308 00:17:53,960 --> 00:17:57,920 Speaker 1: and inflations hate them. That's the vortex at Amazon's facing, 309 00:17:58,000 --> 00:18:00,879 Speaker 1: much more than Apple and other tech companys. And I 310 00:18:00,920 --> 00:18:04,080 Speaker 1: think what you're seeing is slowing growth. Their retail business 311 00:18:04,119 --> 00:18:07,359 Speaker 1: is down three percent this quarter. They had a difficult 312 00:18:07,440 --> 00:18:10,120 Speaker 1: comp They were not able to power through that comp 313 00:18:10,200 --> 00:18:12,440 Speaker 1: This is different than what happened to Apples. I mentioned 314 00:18:12,440 --> 00:18:15,879 Speaker 1: Apple continue to grow uh nicely against the difficult comp 315 00:18:16,320 --> 00:18:18,639 Speaker 1: Amazon did not have that benefit. And so when you 316 00:18:18,680 --> 00:18:22,520 Speaker 1: think about the expense question related to Amazon, you have 317 00:18:22,600 --> 00:18:24,439 Speaker 1: to put it in the context of what's going on 318 00:18:24,520 --> 00:18:27,800 Speaker 1: with their broader business, and so you have this dipping 319 00:18:27,880 --> 00:18:30,800 Speaker 1: retail business. It's likely going to do that dip is 320 00:18:30,840 --> 00:18:34,760 Speaker 1: likely going to accelerate in the June quarter, probably gonna 321 00:18:34,760 --> 00:18:37,840 Speaker 1: be down six percent from down three percent in March. 322 00:18:38,440 --> 00:18:41,359 Speaker 1: And then you have these rising costs, and so you 323 00:18:41,440 --> 00:18:44,400 Speaker 1: have this mix and uh, an Apple's case have felt 324 00:18:44,440 --> 00:18:47,920 Speaker 1: like this actually was really a phenomenal quarter. In Amazon's case, 325 00:18:47,960 --> 00:18:51,439 Speaker 1: I'm more concerned because they are a brominter for broader 326 00:18:51,440 --> 00:18:54,359 Speaker 1: consumer spending. We're starting to see that slow and you 327 00:18:54,440 --> 00:18:57,840 Speaker 1: throw on top of that that cost equation that you mentioned, Nathan, 328 00:18:58,160 --> 00:18:59,920 Speaker 1: and I think you get to a point where this 329 00:19:00,080 --> 00:19:02,080 Speaker 1: stock can be range bound here for the next three 330 00:19:02,119 --> 00:19:04,800 Speaker 1: to six months. In our last thirty seconds here, Gene, 331 00:19:04,840 --> 00:19:09,000 Speaker 1: can Amazon web services make up the difference? Uh? The 332 00:19:09,080 --> 00:19:12,480 Speaker 1: simple answer is no. It's web services are about twelve 333 00:19:12,480 --> 00:19:15,760 Speaker 1: percent of total revenue, and at the end of the day, 334 00:19:15,840 --> 00:19:19,320 Speaker 1: this is still a retail business. And so uh, Amazon 335 00:19:19,480 --> 00:19:22,520 Speaker 1: needs to Essentially, what what has to happen is they 336 00:19:22,560 --> 00:19:26,800 Speaker 1: need to just spend this year resetting growth expectations. And 337 00:19:26,840 --> 00:19:29,160 Speaker 1: I'll leave you with on a on a shining note, 338 00:19:29,160 --> 00:19:32,760 Speaker 1: not only for Amazon, for Broader Tech two thousand twenty 339 00:19:32,800 --> 00:19:34,600 Speaker 1: three is going to be a great year because I 340 00:19:34,640 --> 00:19:37,960 Speaker 1: think that the comps are gonna get easier, and I 341 00:19:37,960 --> 00:19:40,600 Speaker 1: expect these stocks to do well at that period. We'll 342 00:19:40,600 --> 00:19:43,640 Speaker 1: put that on tape, see if it holds up. Gene Monster, Great, 343 00:19:43,680 --> 00:19:45,520 Speaker 1: have you gone with us this morning? Gene Monster, co 344 00:19:45,640 --> 00:19:50,359 Speaker 1: founder of Loop Ventures. As we watch stocks fall to 345 00:19:50,480 --> 00:19:53,720 Speaker 1: wrap up this trading month, SMP futures are down twenty 346 00:19:53,720 --> 00:19:56,800 Speaker 1: five point, staff futures down ninety four, NASTACK futures leading 347 00:19:56,800 --> 00:19:59,400 Speaker 1: the clients down a hundred twenty three points at ten 348 00:19:59,440 --> 00:20:08,119 Speaker 1: your treasure yield two six. This is Bloomberg Bloomberg eleven 349 00:20:08,160 --> 00:20:10,920 Speaker 1: three oh weather mostly sunny, breezy, low sixties today, will 350 00:20:10,920 --> 00:20:13,600 Speaker 1: stay in the sunshine tomorrow with low sixties For Saturday. 351 00:20:13,680 --> 00:20:17,360 Speaker 1: Highs could hit seventy with increasing cloud Sunday. Right now 352 00:20:17,440 --> 00:20:24,360 Speaker 1: forty two in Central Park, broadcasting live from the Bloomberg 353 00:20:24,400 --> 00:20:28,080 Speaker 1: Interactive Broker Studio in New York. Bloomberg E Living Freedom 354 00:20:28,240 --> 00:20:31,400 Speaker 1: to Washington, d C. Bloomberg ninety nine one to Boston, 355 00:20:31,520 --> 00:20:35,359 Speaker 1: Bloomberg what oh six one to San Francisco, Bloomberg sixty 356 00:20:35,480 --> 00:20:38,080 Speaker 1: to the country. Sirius XM Chad A one nine team, 357 00:20:38,200 --> 00:20:41,359 Speaker 1: and around the globe, the Bloomberg Business app and Bloomberg 358 00:20:41,440 --> 00:20:51,040 Speaker 1: Radio dot com. This is Bloomberg Daybreak. It's five thirty 359 00:20:51,040 --> 00:20:53,440 Speaker 1: on Wall Street. Good morning. I'm Nathan Hager and I'm 360 00:20:53,480 --> 00:20:56,399 Speaker 1: Parard Moscow. We're just about four hours away from the 361 00:20:56,440 --> 00:20:58,400 Speaker 1: open of US trading. Let's get you up to date 362 00:20:58,400 --> 00:20:59,920 Speaker 1: on the news you need to know at this hour. 363 00:21:00,160 --> 00:21:02,560 Speaker 1: Apple shares down about two and a half percent in 364 00:21:02,600 --> 00:21:07,000 Speaker 1: early trading despite posting record earnings. In a conference call yesterday, 365 00:21:07,040 --> 00:21:09,200 Speaker 1: the company said it could lose up to eight billion 366 00:21:09,240 --> 00:21:12,119 Speaker 1: dollars in the current quarter due to supply constraints, and 367 00:21:12,200 --> 00:21:14,720 Speaker 1: shares of Amazon are lower as well, caring down nearly 368 00:21:14,800 --> 00:21:17,439 Speaker 1: nine percent. That company announced the lost money in the 369 00:21:17,440 --> 00:21:20,080 Speaker 1: first quarter and could see another loss in this period. 370 00:21:20,320 --> 00:21:23,840 Speaker 1: Bloomberg Intelligence senior e commerce and retail analysts Punum Goyle 371 00:21:23,920 --> 00:21:27,920 Speaker 1: says it's due to rising costs. Aws continues let's pace, 372 00:21:28,000 --> 00:21:31,120 Speaker 1: So that's great to hear on the online business, clearly 373 00:21:31,440 --> 00:21:35,080 Speaker 1: in line with expectations. But the margin week you could 374 00:21:35,080 --> 00:21:37,200 Speaker 1: say that that's surprising, but it's really not. I mean, 375 00:21:37,240 --> 00:21:40,440 Speaker 1: from everything that we've been seeing all year, the supply 376 00:21:40,640 --> 00:21:43,639 Speaker 1: chain crunch is only getting worse, it's not getting better, 377 00:21:43,800 --> 00:21:47,000 Speaker 1: so they are getting hit from higher costs across the board. 378 00:21:47,080 --> 00:21:50,680 Speaker 1: Bloomberg intelligence analyst Punam Coyle says Amazon's cloud service a 379 00:21:50,920 --> 00:21:53,880 Speaker 1: WS has always been able to offset higher retail costs 380 00:21:54,080 --> 00:21:57,680 Speaker 1: until now, well elsewhere. Nathan Shares of Intail down more 381 00:21:57,720 --> 00:22:01,280 Speaker 1: than three percent after second quarter four US raised concerns 382 00:22:01,280 --> 00:22:04,680 Speaker 1: and later today but your results from oil giants Exxon 383 00:22:04,800 --> 00:22:07,560 Speaker 1: and Chevron. Let's turn to Twitter now, Karen, were are 384 00:22:07,640 --> 00:22:10,920 Speaker 1: finding out more about how Elon Musk is financing his takeover, 385 00:22:10,960 --> 00:22:13,320 Speaker 1: and let's get the latest live from Bloomberg. Need a young, 386 00:22:13,359 --> 00:22:16,359 Speaker 1: Good morning, Rnita, Good morning, Nathan. Of filing shows Elon 387 00:22:16,440 --> 00:22:19,840 Speaker 1: Musk offloaded about four billion dollars worth of Tesla stock 388 00:22:19,920 --> 00:22:23,000 Speaker 1: to cover the twenty one billion dollar equity portion of 389 00:22:23,040 --> 00:22:26,160 Speaker 1: his deal to buy Twitter. After those filings were made public, 390 00:22:26,320 --> 00:22:29,960 Speaker 1: he tweeted that no further Tesla sales were planned, Bloomberg 391 00:22:30,040 --> 00:22:32,679 Speaker 1: sources say before the deal was announced, Musk floated the 392 00:22:32,720 --> 00:22:35,440 Speaker 1: idea of cutting jobs and costs at Twitter, you know, 393 00:22:35,480 --> 00:22:38,919 Speaker 1: on calls with bankers. He also discussed ideas to monetize 394 00:22:38,920 --> 00:22:42,680 Speaker 1: the platform to boost cash flow, including a potential subscription 395 00:22:42,720 --> 00:22:46,200 Speaker 1: service to drive recurring revenue. Live in New York. I'm 396 00:22:46,200 --> 00:22:49,320 Speaker 1: rened a young Bloomberg day Break, Nita, thank you. Overseas, 397 00:22:49,320 --> 00:22:52,679 Speaker 1: stocks and China are rebounding. The Hanksang Tech Index searched 398 00:22:52,680 --> 00:22:56,160 Speaker 1: eleven percent and Chinese equities rallied after the country announced 399 00:22:56,160 --> 00:22:59,600 Speaker 1: economic stimulus plans and a commitment to curbing the spread 400 00:22:59,600 --> 00:23:02,440 Speaker 1: of Cove and Ukraine. Karen, Russian missiles poured over the 401 00:23:02,480 --> 00:23:05,080 Speaker 1: capital key of overnight, and Secretary of State Antony B. 402 00:23:05,080 --> 00:23:07,960 Speaker 1: Lincoln says Russia is continuing it's offensive in the Don 403 00:23:08,000 --> 00:23:11,399 Speaker 1: Boss region. There is a ferocious battle taking place right 404 00:23:11,440 --> 00:23:15,240 Speaker 1: now across hundreds of miles in eastern and southern Ukraine, 405 00:23:15,400 --> 00:23:17,520 Speaker 1: and the Russians bring a lot of firepower to that. 406 00:23:18,000 --> 00:23:20,440 Speaker 1: Secretary of State Antony Lincoln says the US and other 407 00:23:20,520 --> 00:23:23,800 Speaker 1: nations continue to arm Ukraine to defend those regions. And 408 00:23:24,000 --> 00:23:27,360 Speaker 1: SMP futures are lower this morning, down thirty one points down, 409 00:23:27,359 --> 00:23:30,080 Speaker 1: Features down a hundred twenty nastack futures down a hundred 410 00:23:30,119 --> 00:23:32,560 Speaker 1: thirty nine. Straight ahead, your latest local headlines, plus a 411 00:23:32,640 --> 00:23:39,040 Speaker 1: check of sports. This is Bloomberg, all right, Karen, thank you. 412 00:23:39,080 --> 00:23:41,479 Speaker 1: It's five thirty three on Wall Street forty two degrees 413 00:23:41,600 --> 00:23:43,520 Speaker 1: in Central Park and we've got an accident on the 414 00:23:43,600 --> 00:23:47,000 Speaker 1: westbound belt Parkway nap Street. Details coming up in traffic. 415 00:23:47,400 --> 00:23:49,439 Speaker 1: Michael Barr has more on what's going on in New 416 00:23:49,520 --> 00:23:52,199 Speaker 1: York and around the world. Good morning, Michael, Good morning Nathan. 417 00:23:52,240 --> 00:23:57,040 Speaker 1: New York City postpone enforcement of salary transparency until November 418 00:23:57,160 --> 00:24:01,200 Speaker 1: after advocates and business leaders clashed on whether pay disclosure 419 00:24:01,240 --> 00:24:03,639 Speaker 1: is the best way to close the persistent gender gap. 420 00:24:04,119 --> 00:24:07,120 Speaker 1: The city Council, who voted for the delay also exempted 421 00:24:07,240 --> 00:24:10,560 Speaker 1: companies from being charged a monetary fine for the first 422 00:24:10,640 --> 00:24:14,680 Speaker 1: violation and limited lawsuits related to the pay information to 423 00:24:14,880 --> 00:24:19,199 Speaker 1: current employees. The approved amendments represent a partial win for 424 00:24:19,240 --> 00:24:22,520 Speaker 1: businesses that had lobbied against the law, which was originally 425 00:24:22,520 --> 00:24:26,120 Speaker 1: sent to take effect by May fifteen. Funeral services take 426 00:24:26,160 --> 00:24:29,520 Speaker 1: place today for falling New York City fire fighter Timothy Kline, 427 00:24:29,920 --> 00:24:33,680 Speaker 1: he died Sunday while battling ablaze in Brooklyn. Services for Klein, 428 00:24:33,760 --> 00:24:36,600 Speaker 1: who was thirty one, take place today in Belle Harbor, 429 00:24:36,880 --> 00:24:39,640 Speaker 1: a twenty one year old man also died in that blaze. 430 00:24:39,920 --> 00:24:43,399 Speaker 1: President Biden confirmed that there are ongoing discussions in his 431 00:24:43,440 --> 00:24:47,720 Speaker 1: administration about reducing student loan debt, though not for proposed 432 00:24:47,720 --> 00:24:51,760 Speaker 1: fifty dollars. White House Press Secretary Jen Psaki says, despite 433 00:24:51,800 --> 00:24:54,840 Speaker 1: these talks, the President remains eager to sign anything that 434 00:24:54,960 --> 00:24:58,080 Speaker 1: comes to his desk from Congress on this issue. Congress 435 00:24:58,080 --> 00:25:00,439 Speaker 1: sends in the bill tomorrow, he could sign it, and 436 00:25:00,560 --> 00:25:03,960 Speaker 1: he would sign it to to give ten thousand dollars 437 00:25:03,960 --> 00:25:06,639 Speaker 1: a student that relief. We've also he has not hesitated. 438 00:25:07,200 --> 00:25:12,160 Speaker 1: President Biden's spokesperson says that the President has not ruled 439 00:25:12,200 --> 00:25:15,159 Speaker 1: out the possibility of executive action to get the ball rolling. 440 00:25:15,560 --> 00:25:18,080 Speaker 1: The FDA says it will be moving ahead with a 441 00:25:18,080 --> 00:25:24,040 Speaker 1: proposed ban on menthol cigarettes and flavored cigars nationwide. FDA 442 00:25:24,080 --> 00:25:27,919 Speaker 1: Commissioner Dr Robert Califf says it could save thousands of lives. 443 00:25:28,240 --> 00:25:30,960 Speaker 1: An estimate show it meant that it menthol is no 444 00:25:31,040 --> 00:25:35,440 Speaker 1: longer an option in combustible tobacco products, up to six 445 00:25:36,240 --> 00:25:39,520 Speaker 1: thousand deaths would be avoided over the course of forty years. 446 00:25:40,040 --> 00:25:42,760 Speaker 1: Dr Califf says menthol cigarettes account for more than a 447 00:25:42,800 --> 00:25:45,960 Speaker 1: third of all cigarettes sales in the US. Global News 448 00:25:45,960 --> 00:25:48,320 Speaker 1: twenty four hours a day on air and on Bloomberg 449 00:25:48,359 --> 00:25:50,840 Speaker 1: Quick Take powered by more than twenty seven hundred journalists 450 00:25:50,840 --> 00:25:53,159 Speaker 1: and analysts in more than a hundred twenty countries. On 451 00:25:53,240 --> 00:26:00,200 Speaker 1: Michael bar this is Bloomberg, Nathan, Thank you, Michael, five 452 00:26:00,280 --> 00:26:02,280 Speaker 1: thirty five on Wall Street. John Stash I was here 453 00:26:02,320 --> 00:26:04,800 Speaker 1: at the Bloomberg Sports Update. All right, Nathan. The draft 454 00:26:04,840 --> 00:26:07,560 Speaker 1: was in Las Vegas, but New York dominated the early 455 00:26:07,600 --> 00:26:10,240 Speaker 1: going with four of the first ten picks. The Jets 456 00:26:10,280 --> 00:26:14,560 Speaker 1: at four took Cincinnati cornerback Sauce Gardner came back at 457 00:26:14,560 --> 00:26:17,240 Speaker 1: ten to select Ohio state wide out Garrett Wilson's to 458 00:26:17,280 --> 00:26:20,720 Speaker 1: the Jets filled two definite needs, as do the Giants, 459 00:26:20,760 --> 00:26:24,320 Speaker 1: taking Oregon. Pass rusher came on Thibodeau at five Alabama 460 00:26:24,359 --> 00:26:27,120 Speaker 1: tackle Evan Neal two picks later. Giants g M. Joe 461 00:26:27,160 --> 00:26:29,840 Speaker 1: Shane then asked about how it all shook out. We 462 00:26:29,960 --> 00:26:34,400 Speaker 1: went to these scenarios a million times than we had 463 00:26:34,440 --> 00:26:36,600 Speaker 1: seven or eight cards, and we just kept switching them 464 00:26:36,600 --> 00:26:38,720 Speaker 1: back and forth based on different scenarios. And this was 465 00:26:38,760 --> 00:26:41,440 Speaker 1: a scenario we went over and if there were two 466 00:26:41,480 --> 00:26:44,240 Speaker 1: tackles on the board in the pass rusher, we're gonna 467 00:26:44,240 --> 00:26:46,000 Speaker 1: go pass rusher, knowing we can get a tackle at 468 00:26:46,040 --> 00:26:49,360 Speaker 1: seven so we were were static when that that scenario 469 00:26:50,240 --> 00:26:53,200 Speaker 1: came up. The first overall was Georgia Edge Russia, Trebon 470 00:26:53,240 --> 00:26:56,480 Speaker 1: walcome to Jacksonville. Only one quarterback taken, Kenny Pickett played 471 00:26:56,480 --> 00:26:59,240 Speaker 1: college football in Pittsburgh. He'll stay there. Drafted by the 472 00:26:59,280 --> 00:27:02,320 Speaker 1: Steelers there a long time TV Ben Roethlisberger just retired. 473 00:27:02,359 --> 00:27:05,119 Speaker 1: Draft continues tonight rounds two and three, and Giants yesterday 474 00:27:05,160 --> 00:27:07,720 Speaker 1: made official that they will not pick up the fifth 475 00:27:07,760 --> 00:27:10,000 Speaker 1: year option on QV Daniel Jones that would have assured 476 00:27:10,080 --> 00:27:13,480 Speaker 1: him twenty two million dollars in twenty three. Giants want 477 00:27:13,480 --> 00:27:15,600 Speaker 1: to first see how Jones does and if he can 478 00:27:15,600 --> 00:27:18,479 Speaker 1: stay healthy this upcoming season. Yankees tonight bring their six 479 00:27:18,560 --> 00:27:20,360 Speaker 1: game win streak and the best record in American League 480 00:27:20,359 --> 00:27:23,720 Speaker 1: to Kansas City. Yanked the Orioles ten to five. Baltimore 481 00:27:23,760 --> 00:27:26,120 Speaker 1: had five airs Aaron judge of the three on Homer 482 00:27:26,160 --> 00:27:28,840 Speaker 1: Nolan Arronado caused the benches to empty and St. Louis 483 00:27:29,080 --> 00:27:31,680 Speaker 1: Wednesday got hit with a one game suspension. NBA Playoffs 484 00:27:31,720 --> 00:27:34,080 Speaker 1: top set Phoenix trailed by ten at the half, but 485 00:27:34,160 --> 00:27:36,480 Speaker 1: one in New Orleans as Chris Paul made all fourteen 486 00:27:36,480 --> 00:27:39,240 Speaker 1: of his shots, Sons win the series four two. Dallas 487 00:27:39,240 --> 00:27:42,800 Speaker 1: wonted series with Utah. Philadelphia did likewise with Toronto, John 488 00:27:42,840 --> 00:27:46,800 Speaker 1: Stash Bloomberg's Right John, Thank you, It's seven on Wall 489 00:27:46,800 --> 00:27:49,520 Speaker 1: Street Time Now for the Tri State Business Report. For 490 00:27:49,560 --> 00:27:52,520 Speaker 1: that we turned to Bloomberg's ed Corey. Home sales in 491 00:27:52,560 --> 00:27:55,640 Speaker 1: the Hampton's sagged in the first quarter, weighed down by 492 00:27:55,640 --> 00:27:58,359 Speaker 1: a lack of listings. There were six hundred and seventy 493 00:27:58,359 --> 00:28:00,359 Speaker 1: one homes for sale in the area at the end 494 00:28:00,400 --> 00:28:03,399 Speaker 1: of March, the fewest on record in the seventeen years 495 00:28:03,440 --> 00:28:06,960 Speaker 1: that appraiser Miller Samuel and brokerage Douglas Eleman Real Estate 496 00:28:07,000 --> 00:28:10,920 Speaker 1: have been tracking data. Inventory was down from the first 497 00:28:11,000 --> 00:28:14,440 Speaker 1: quarter of twenty one. A seventeen room New York City 498 00:28:14,480 --> 00:28:19,160 Speaker 1: mansion formerly owned by Italian designer Johnny Versaci is coming 499 00:28:19,160 --> 00:28:22,639 Speaker 1: on the market for seventy million dollars. Versaci started the 500 00:28:22,720 --> 00:28:26,840 Speaker 1: Versace Fashion House in night bought the town House through 501 00:28:26,840 --> 00:28:31,080 Speaker 1: seven and a half million dollars. In Connecticut's on track 502 00:28:31,160 --> 00:28:34,160 Speaker 1: to become the fifth U S state with comprehensive consumer 503 00:28:34,240 --> 00:28:38,480 Speaker 1: privacy legislation. Both chambers of the General Assembly have approved 504 00:28:38,520 --> 00:28:40,680 Speaker 1: a bill. It would give people the right to opt 505 00:28:40,760 --> 00:28:43,520 Speaker 1: out of the process against sale of their personal data 506 00:28:43,880 --> 00:28:46,840 Speaker 1: and ask that it be deleted. That your Bloomberg trying 507 00:28:46,840 --> 00:28:49,800 Speaker 1: state business report. I'm Ed Corey. Thanks that It's five 508 00:28:50,160 --> 00:28:52,520 Speaker 1: eight on Wall Street. Bloomberg Radio is on the air 509 00:28:52,560 --> 00:28:55,360 Speaker 1: from San Francisco to New York, London to Hong Kong. 510 00:28:55,760 --> 00:28:57,920 Speaker 1: Let's check in with our global news team for some 511 00:28:57,960 --> 00:29:00,080 Speaker 1: of the top stories heard on our three D at 512 00:29:00,080 --> 00:29:06,040 Speaker 1: affiliate radio stations around the world. I'm Steve potaskan k 513 00:29:06,560 --> 00:29:10,040 Speaker 1: X in Los Angeles. We're talking about Netflix cutting jobs 514 00:29:10,120 --> 00:29:13,920 Speaker 1: after its disappointing subscriber growths. I'm John Donnetor telling k 515 00:29:14,040 --> 00:29:17,320 Speaker 1: CDs listeners in San Francisco that Apple expects it and 516 00:29:17,440 --> 00:29:21,920 Speaker 1: bruised by another round of COVID restrictions in China. Orni 517 00:29:22,040 --> 00:29:25,200 Speaker 1: Donahoe on ktr H in Houston, oil heading for its 518 00:29:25,240 --> 00:29:28,960 Speaker 1: fifth monthly game effort, another tumultuous period of trading. I'm 519 00:29:29,000 --> 00:29:32,280 Speaker 1: Jeff Fullinger and on w io D in Miami. I'm 520 00:29:32,320 --> 00:29:36,640 Speaker 1: reporting Frontier Airlines just cutting flights at some Florida airports 521 00:29:36,680 --> 00:29:40,240 Speaker 1: because of congestion. I Made Cory on w w J 522 00:29:40,440 --> 00:29:44,120 Speaker 1: in Detroit. I'm reporting a buyer has emerged. You redeveloped 523 00:29:44,160 --> 00:29:47,400 Speaker 1: the Buick City site in Flynn, and those are some 524 00:29:47,480 --> 00:29:50,760 Speaker 1: of the stories our hundred Bloomberg journalists and analysts are 525 00:29:50,760 --> 00:29:53,720 Speaker 1: working on this morning around the world. It's nine on 526 00:29:53,760 --> 00:29:57,680 Speaker 1: Wall Street. The following is an editorial from Bloomberg Opinion. 527 00:29:57,880 --> 00:30:01,360 Speaker 1: With Brazil's presidential election list and six months away, the 528 00:30:01,400 --> 00:30:05,200 Speaker 1: state of the economy is the country's biggest priority. Unfortunately, 529 00:30:05,400 --> 00:30:09,200 Speaker 1: neither incumbent jay Or Bolsonaro nor his main rival, former 530 00:30:09,240 --> 00:30:12,840 Speaker 1: President Louise and Nacio Lula de Silva, have shown signs 531 00:30:12,880 --> 00:30:16,800 Speaker 1: they intend to prioritize the economic reforms the country needs 532 00:30:16,800 --> 00:30:21,360 Speaker 1: to return to sustainable growth. Brazilians deserve better. With many 533 00:30:21,440 --> 00:30:24,560 Speaker 1: voters still undecided, a third way candidate with a credible 534 00:30:24,640 --> 00:30:28,560 Speaker 1: economic record could conceivably seize the middle ground. After all, 535 00:30:28,680 --> 00:30:32,240 Speaker 1: centrist parties have fared well in recent municipal elections, but 536 00:30:32,360 --> 00:30:35,120 Speaker 1: so far moderates have failed to unite behind a single 537 00:30:35,200 --> 00:30:40,200 Speaker 1: presidential standard bearer. Unless a viable alternative emergence soon, Brazilians 538 00:30:40,200 --> 00:30:43,320 Speaker 1: will be left with a choice between two populists neither 539 00:30:43,400 --> 00:30:46,720 Speaker 1: likely to make the changes needed to unlock Brazil's potential. 540 00:30:47,080 --> 00:30:49,600 Speaker 1: That would be a shame. This editorial was written by 541 00:30:49,600 --> 00:30:53,040 Speaker 1: the Bloomberg Opinion editorial Board. I'm David Shipley. For more 542 00:30:53,080 --> 00:30:56,040 Speaker 1: Bloomberg opinion, please go to Bloomberg dot com, Slash Opinion 543 00:30:56,320 --> 00:30:59,480 Speaker 1: or opian go on the Bloomberg Terminal. This has been 544 00:30:59,520 --> 00:31:03,360 Speaker 1: Bloomberg Opinion and you can hear Bloomberg opinion editorials every weekday. 545 00:31:03,360 --> 00:31:05,480 Speaker 1: At this time, terminal customers can read more at O 546 00:31:05,640 --> 00:31:08,600 Speaker 1: p I nd go SP futures down thirty points now 547 00:31:08,640 --> 00:31:11,800 Speaker 1: Town futures down a hundred nineteen. Nasdaq futures lower by 548 00:31:11,800 --> 00:31:16,280 Speaker 1: a hundred forty points or one percent. You're listening to 549 00:31:16,400 --> 00:31:24,880 Speaker 1: Bloomberg Daybreak Bloomberg eleven three oh weather mostly sunny, breezy, 550 00:31:24,960 --> 00:31:27,720 Speaker 1: low sixties. To wrap up this week, it will be 551 00:31:27,760 --> 00:31:31,680 Speaker 1: mainly sunny, low sixties. Tomorrow, clouds increase Sunday high near 552 00:31:31,800 --> 00:31:38,520 Speaker 1: seventy right now forty two in Central Park markets. Headlines 553 00:31:38,560 --> 00:31:41,560 Speaker 1: and breaking news twenty four hours a day at Bloomberg 554 00:31:41,640 --> 00:31:45,000 Speaker 1: dot Com a Bloomberg Business apt and at Bloomberg Quicktape 555 00:31:45,680 --> 00:31:54,640 Speaker 1: is a Bloomberg Business Flash and I'm Karen Moscow. And 556 00:31:54,840 --> 00:31:58,440 Speaker 1: stocks in Europe are rising as China's pledged to ramp 557 00:31:58,480 --> 00:32:01,840 Speaker 1: up stimulus lifts Optimus Shimen. Strong earnings continue to roll in, 558 00:32:01,920 --> 00:32:04,840 Speaker 1: while US stock index futures are lower following earnings from 559 00:32:04,880 --> 00:32:08,120 Speaker 1: Amazon dot Com and Apple, with Amazon shares down about 560 00:32:08,160 --> 00:32:10,719 Speaker 1: eight points seven percent this morning and Apple down two 561 00:32:10,760 --> 00:32:13,200 Speaker 1: and a half percent. We checked the markets every fifteen 562 00:32:13,200 --> 00:32:17,320 Speaker 1: minutes throughout the trading day. On Bloomberg and NASDAC futures 563 00:32:17,360 --> 00:32:19,720 Speaker 1: are lowered down a hundred to forty three points or 564 00:32:19,840 --> 00:32:23,880 Speaker 1: one point one percent, with technology dragging. SMP futures down 565 00:32:24,120 --> 00:32:26,600 Speaker 1: about thirty two points and DOWN futures down one d 566 00:32:26,680 --> 00:32:29,680 Speaker 1: thirty one. The decks in Germany higher up nine tenths 567 00:32:29,680 --> 00:32:32,320 Speaker 1: of a percent. Ten year Treasury down thirteen thirty seconds, 568 00:32:32,360 --> 00:32:34,360 Speaker 1: yield two point eight seven percent. The yield on the 569 00:32:34,400 --> 00:32:37,240 Speaker 1: two year two point six eight percent. Nine X Screwed 570 00:32:37,280 --> 00:32:38,960 Speaker 1: oil is up when at a third percent of a 571 00:32:39,000 --> 00:32:41,280 Speaker 1: dollar forty one at a hundred six dollars seventy seven 572 00:32:41,360 --> 00:32:43,800 Speaker 1: cents of barrel comics gold is up one point three 573 00:32:43,800 --> 00:32:46,680 Speaker 1: percent or twenty four dollars ninety cents at nineteen sixteen 574 00:32:46,680 --> 00:32:49,560 Speaker 1: twenty announced. The euro one point oh five seven two 575 00:32:49,600 --> 00:32:52,480 Speaker 1: against the dollar, British bound one point two five six five. 576 00:32:52,960 --> 00:32:55,640 Speaker 1: The yen is at one thirty point four five and 577 00:32:56,160 --> 00:32:58,640 Speaker 1: bitcoin this morning and down one point eight percent at 578 00:32:58,640 --> 00:33:01,360 Speaker 1: thirty nine thousand, one hundred ft dollars. That's a Bloomberg 579 00:33:01,360 --> 00:33:03,960 Speaker 1: business flashow here' smuckle bar with Moore on what's going 580 00:33:04,000 --> 00:33:06,640 Speaker 1: on around the world. Michael Karen, thank you very much. 581 00:33:06,680 --> 00:33:09,960 Speaker 1: Hukraine's leader has accused Russia of trying to humiliate the 582 00:33:10,040 --> 00:33:13,680 Speaker 1: United Nations by reigning missiles on Kiev during a visit 583 00:33:13,720 --> 00:33:18,080 Speaker 1: by Secretary General Antonio gu Terrace. One Russian target struck 584 00:33:18,120 --> 00:33:22,280 Speaker 1: a residential high rise and another building. Former Minneapolis police 585 00:33:22,320 --> 00:33:26,440 Speaker 1: officer Derek Chauvin is appealing his conviction for murder George Floyd, 586 00:33:26,640 --> 00:33:30,520 Speaker 1: arguing that jurors were intimidated by protests. Round one of 587 00:33:30,520 --> 00:33:33,000 Speaker 1: the NFL draft is in the books. The first five 588 00:33:33,040 --> 00:33:37,200 Speaker 1: picks were all defensive players. The Jaguars took Trayvon Walker 589 00:33:37,240 --> 00:33:39,680 Speaker 1: with the top pick. The Jets at number four pick 590 00:33:39,840 --> 00:33:43,400 Speaker 1: quarterback a mods Sauce Gardner. And with a nickname like Sauce, 591 00:33:43,440 --> 00:33:46,480 Speaker 1: you know he's good. The Giants have five. It's like 592 00:33:46,560 --> 00:33:52,320 Speaker 1: another edge running Saucy Kavan Thibodeaux. Baseball Yankees beat the 593 00:33:52,320 --> 00:33:55,760 Speaker 1: Orioles ten five. Red Sox Nationals lost NHL, the Islanders 594 00:33:55,800 --> 00:33:58,680 Speaker 1: beat the Capital's five one bruins one Global news twenty 595 00:33:58,720 --> 00:34:01,640 Speaker 1: four hours a day. I'm Michael are Uh and you 596 00:34:01,880 --> 00:34:03,840 Speaker 1: can hear it on Quick Take and powered by more 597 00:34:03,840 --> 00:34:06,640 Speaker 1: than seven hundred journalists analysts more than a hundred twenty 598 00:34:06,680 --> 00:34:10,200 Speaker 1: countries and now here saw us himself. Thank you for 599 00:34:10,239 --> 00:34:12,480 Speaker 1: that much. Appreciate it. It's five forty nine on Wall 600 00:34:12,520 --> 00:34:15,840 Speaker 1: Street Live from the Bloomberg Interactive Broker Studios. This is 601 00:34:15,880 --> 00:34:18,600 Speaker 1: Bloomberg Day Break. Let's take a look at these markets now, 602 00:34:18,680 --> 00:34:21,600 Speaker 1: Jeffrey you is with us this morning. Senior strategists at 603 00:34:21,600 --> 00:34:23,520 Speaker 1: b n Y Melon. Well, you know what they say 604 00:34:23,520 --> 00:34:26,560 Speaker 1: about April, jeff the cruelest month, and it certainly looks 605 00:34:26,600 --> 00:34:29,160 Speaker 1: that way, at least for US stocks. Do you see 606 00:34:29,160 --> 00:34:35,480 Speaker 1: any signs for optimism for risk investors heading into May? Um? So, 607 00:34:35,640 --> 00:34:38,200 Speaker 1: at this point it's balanced. I would say it's all 608 00:34:38,200 --> 00:34:40,520 Speaker 1: going to be quite defensive. And if you look at 609 00:34:40,520 --> 00:34:43,319 Speaker 1: the how yields are performing, still the sets leaving the 610 00:34:43,320 --> 00:34:45,920 Speaker 1: way fifty basis point of highs and really being priced 611 00:34:45,960 --> 00:34:48,600 Speaker 1: in with the chances. More so, as long as as 612 00:34:48,880 --> 00:34:52,000 Speaker 1: we still have uncertainty over the past time, I don't 613 00:34:52,000 --> 00:34:53,359 Speaker 1: think the markets are going to be on the risk 614 00:34:53,400 --> 00:34:55,120 Speaker 1: on note, and that's all top of you the other 615 00:34:55,120 --> 00:34:58,680 Speaker 1: resties such a supply such as the war for example. Obviously, 616 00:34:58,719 --> 00:35:02,080 Speaker 1: though we are seeing risk on at least in European 617 00:35:02,239 --> 00:35:07,239 Speaker 1: markets this morning on the promise of Chinese stimulus. Why 618 00:35:07,320 --> 00:35:11,279 Speaker 1: isn't that necessarily playing out in the US market? Um, So, 619 00:35:11,520 --> 00:35:13,600 Speaker 1: US is more of the closed than economy, and it's 620 00:35:13,640 --> 00:35:16,160 Speaker 1: a trade to GDP ratio is much lower and compared 621 00:35:16,200 --> 00:35:18,400 Speaker 1: to Europe, and the Europe will see a lot more 622 00:35:18,440 --> 00:35:22,440 Speaker 1: demand for cattle kids. For example. Of China ramps up investment, 623 00:35:22,640 --> 00:35:25,640 Speaker 1: I'll just be a bit cautious on whatever China does, right, 624 00:35:25,760 --> 00:35:29,200 Speaker 1: It's kind of a double edged sword, um, because if 625 00:35:29,239 --> 00:35:32,320 Speaker 1: it's incremental investment, if I look at a Bloomberghum headline 626 00:35:32,320 --> 00:35:37,200 Speaker 1: from this morning, um, it's along those lines that may 627 00:35:37,239 --> 00:35:39,839 Speaker 1: not actually be sufficiency do much of the time being. 628 00:35:39,960 --> 00:35:43,040 Speaker 1: But on the other hand, if it's full blown infrastructure investment, 629 00:35:43,080 --> 00:35:45,840 Speaker 1: you know, for example, then you have the risk of 630 00:35:46,280 --> 00:35:50,560 Speaker 1: um exacerbating the current supply issues. So be careful what 631 00:35:50,560 --> 00:35:54,160 Speaker 1: you wish for now. We're seeing obviously a damp and 632 00:35:54,280 --> 00:35:59,000 Speaker 1: sentiment this morning on the earnings, particularly from Apple and Amazon. 633 00:35:59,200 --> 00:36:01,319 Speaker 1: How much for their pressure do you think we could 634 00:36:01,360 --> 00:36:06,320 Speaker 1: see on stocks as the broader earnings picture plays out 635 00:36:06,560 --> 00:36:09,560 Speaker 1: in the weeks to come. Um, it's still going to 636 00:36:09,800 --> 00:36:13,000 Speaker 1: be based on whatever is going to happen, you know, 637 00:36:13,080 --> 00:36:15,279 Speaker 1: on the SAID side, I think that that's going to 638 00:36:15,320 --> 00:36:19,040 Speaker 1: be the predominant driver. So I would pick focus on 639 00:36:19,040 --> 00:36:22,840 Speaker 1: on that. You know, stocks will react to overall financial 640 00:36:22,880 --> 00:36:25,840 Speaker 1: conditions on the said and the dollar wants to some 641 00:36:25,920 --> 00:36:28,080 Speaker 1: of those things that have more clarity than I think 642 00:36:28,120 --> 00:36:31,000 Speaker 1: we will be able to see some better performance of 643 00:36:31,120 --> 00:36:33,719 Speaker 1: at this point. Yet, let's wait for the Fed. Are 644 00:36:33,719 --> 00:36:38,080 Speaker 1: you looking for further rises in treasury yields on the 645 00:36:38,120 --> 00:36:40,799 Speaker 1: Feds moves? Um? So for now, I think we're going 646 00:36:40,840 --> 00:36:43,400 Speaker 1: to be in a high range. But heading into the 647 00:36:43,440 --> 00:36:46,480 Speaker 1: next decision now probably be up with news will be 648 00:36:46,520 --> 00:36:48,719 Speaker 1: a bit more contained and for the time being. But 649 00:36:48,880 --> 00:36:51,440 Speaker 1: net nets, we still think that that the pressure is 650 00:36:51,440 --> 00:36:53,239 Speaker 1: going to be to the upside, and we're seeing that 651 00:36:53,280 --> 00:36:58,160 Speaker 1: in the dollar and the impact of dollar strength on stocks. 652 00:36:58,320 --> 00:37:02,080 Speaker 1: Where could that go? So the impact of the dollars 653 00:37:02,120 --> 00:37:04,680 Speaker 1: stocks you know right now, sorry, the a dollar on 654 00:37:04,400 --> 00:37:06,759 Speaker 1: on stocks there is twofold you know one it does 655 00:37:06,800 --> 00:37:09,799 Speaker 1: reducing the overseas earnings, but not on the second part 656 00:37:09,800 --> 00:37:12,799 Speaker 1: of it um it Actually it does prove in the 657 00:37:12,840 --> 00:37:14,920 Speaker 1: U S purchasing power as well, so for those within 658 00:37:15,000 --> 00:37:18,680 Speaker 1: put costs that exposed overseas, that helps margins. So it's 659 00:37:18,680 --> 00:37:20,680 Speaker 1: a double edged source. But again, as I mentioned earlier, 660 00:37:21,239 --> 00:37:23,440 Speaker 1: the overall senses, the US is a bit more of 661 00:37:23,440 --> 00:37:27,000 Speaker 1: a closed economy. It's not too exposed to international conditions 662 00:37:27,040 --> 00:37:29,080 Speaker 1: and that means deaf X so compared to the Eurozone, 663 00:37:29,080 --> 00:37:31,640 Speaker 1: to said, will be less worried about the currency coming 664 00:37:31,640 --> 00:37:35,239 Speaker 1: out of the major or the major decision from the Fed. 665 00:37:35,280 --> 00:37:38,200 Speaker 1: We're going to get the April jobs report. What's your 666 00:37:38,239 --> 00:37:41,719 Speaker 1: expectation there and what kind of a driver could that 667 00:37:41,760 --> 00:37:45,799 Speaker 1: be for FED policy going past May? Um So we 668 00:37:46,160 --> 00:37:49,160 Speaker 1: don't have a curly on that yet, you know, heading 669 00:37:49,160 --> 00:37:51,480 Speaker 1: into the jobs report that net net. I do think 670 00:37:51,480 --> 00:37:53,480 Speaker 1: it's also important to a focus I know where the 671 00:37:53,480 --> 00:37:56,000 Speaker 1: earnings are, sorry, well, where where average ouity earnings go 672 00:37:56,239 --> 00:37:58,560 Speaker 1: if that continues to rise, not just on absolute basis 673 00:37:58,560 --> 00:38:01,200 Speaker 1: on the reddist basis abut placion levels of the Falk 674 00:38:01,520 --> 00:38:05,359 Speaker 1: today for example, a cycle point four percent as long 675 00:38:05,400 --> 00:38:08,600 Speaker 1: as the gap versus that is now against that's the 676 00:38:08,640 --> 00:38:11,040 Speaker 1: inflation risk of is going to be strong, and the 677 00:38:11,120 --> 00:38:14,080 Speaker 1: risks and to growth will be strong. Of demand will 678 00:38:14,120 --> 00:38:16,680 Speaker 1: be firm, and policy risk and will be to the upside, 679 00:38:16,680 --> 00:38:19,520 Speaker 1: and that will impact the sentiment. Thanks for this, jeff 680 00:38:19,520 --> 00:38:21,520 Speaker 1: great having go on with us this morning. Jeffrey, you 681 00:38:21,760 --> 00:38:25,920 Speaker 1: senior strategist at b n Y Mellen Karen A right, Nathan, 682 00:38:26,000 --> 00:38:29,280 Speaker 1: thank you, and it's five fifty three on Wall Street. 683 00:38:29,360 --> 00:38:32,240 Speaker 1: Time Now for a legal story we're watching this morning. 684 00:38:32,520 --> 00:38:36,160 Speaker 1: It has brought to you by American Arbitration Association. Business 685 00:38:36,160 --> 00:38:40,640 Speaker 1: dis utes are inevitable, resolve faster with the American Arbitration Association, 686 00:38:40,680 --> 00:38:44,880 Speaker 1: the global leader in alternative disviewed resolution for over ninety years. 687 00:38:45,320 --> 00:38:48,719 Speaker 1: More at a d R dot org. A year after 688 00:38:48,760 --> 00:38:53,080 Speaker 1: the sudden collapse of Artigo sent shock waves through global finance, 689 00:38:53,360 --> 00:38:58,200 Speaker 1: Manhattan federal prosecutors arrested and criminally charged the owner, Bill Long, 690 00:38:58,320 --> 00:39:01,000 Speaker 1: and his former top lieutenant, and one of the highest 691 00:39:01,040 --> 00:39:05,160 Speaker 1: profile Wall Street prosecutions in years. Prosecutors said the two 692 00:39:05,200 --> 00:39:08,000 Speaker 1: men had engaged in a criminal scheme to manipulate the 693 00:39:08,040 --> 00:39:11,759 Speaker 1: markets and mislead banks, in a scheme they called staggering 694 00:39:11,760 --> 00:39:14,919 Speaker 1: in his size and brazen in its execution for Moura 695 00:39:14,960 --> 00:39:18,879 Speaker 1: Bloomberg's during Grosso speaks to James Park, a professor had 696 00:39:18,960 --> 00:39:21,760 Speaker 1: u ce l A law school. This is being called 697 00:39:21,760 --> 00:39:26,760 Speaker 1: one of the highest profile white collar prosecutions in recent memory. 698 00:39:27,400 --> 00:39:30,880 Speaker 1: Do you agree with that? And why I agree? Simply 699 00:39:30,960 --> 00:39:36,560 Speaker 1: because of the size of the alleged market manipulation, something 700 00:39:36,960 --> 00:39:39,800 Speaker 1: that I think the extent of which in my mind 701 00:39:40,080 --> 00:39:44,680 Speaker 1: seemed unimaginable until it actually happened. And it's also a 702 00:39:44,800 --> 00:39:50,200 Speaker 1: very ambitious case. In my view, market manipulation is very 703 00:39:50,280 --> 00:39:55,759 Speaker 1: difficult to identify and define, and so the case in 704 00:39:55,800 --> 00:40:00,520 Speaker 1: my view, is forging ahead in new areas and not 705 00:40:00,719 --> 00:40:04,480 Speaker 1: only affect the individual defendants in the case, but it 706 00:40:04,520 --> 00:40:08,040 Speaker 1: can also create law and expectations for the way that 707 00:40:08,200 --> 00:40:11,839 Speaker 1: trading happens on Wall Street. I get what his lying 708 00:40:11,920 --> 00:40:15,239 Speaker 1: to the banks was about, but why is it illegal 709 00:40:15,400 --> 00:40:18,080 Speaker 1: to buy a lot of stock, to buy it at 710 00:40:18,120 --> 00:40:21,080 Speaker 1: different times of the day when what's illegal about that? 711 00:40:21,520 --> 00:40:23,680 Speaker 1: It's a very high standard to meet you and I 712 00:40:23,719 --> 00:40:25,799 Speaker 1: think you've really hit the nail on the head. The 713 00:40:25,880 --> 00:40:30,840 Speaker 1: standard for market manipulation, which was discussed in the criminal 714 00:40:30,920 --> 00:40:33,560 Speaker 1: context about thirty years ago in a case of the 715 00:40:33,600 --> 00:40:37,239 Speaker 1: Second Circuits decided called the Moharan case, basically says the 716 00:40:37,320 --> 00:40:41,760 Speaker 1: sole purpose of the stock purchases has to be manipulation, 717 00:40:42,000 --> 00:40:46,719 Speaker 1: that you are buying the stock prices solely to artificially 718 00:40:46,760 --> 00:40:50,760 Speaker 1: inflate the stock price, and it's really a question of intent. 719 00:40:51,040 --> 00:40:55,000 Speaker 1: Low is the intent of Archegoshong and the other participants 720 00:40:55,080 --> 00:40:58,960 Speaker 1: in the scheme was the sole intend to artificially inflate 721 00:40:59,080 --> 00:41:02,320 Speaker 1: the stock price? And I think that's a very tough 722 00:41:02,480 --> 00:41:06,520 Speaker 1: standard to meet, although I think it's very specific, and 723 00:41:06,600 --> 00:41:09,080 Speaker 1: I think that the key thing the government has going 724 00:41:09,080 --> 00:41:13,560 Speaker 1: for it maybe the sheer size of the transaction and 725 00:41:13,920 --> 00:41:17,520 Speaker 1: what may be a complete lack of any connection to 726 00:41:17,640 --> 00:41:22,800 Speaker 1: any economic fundamentals or you know, analysis that the stock 727 00:41:23,080 --> 00:41:27,040 Speaker 1: was under priced and so further investment was warranted. But 728 00:41:27,200 --> 00:41:30,600 Speaker 1: it is going to be a challenging legal theory to 729 00:41:31,160 --> 00:41:34,560 Speaker 1: win that trial, and also who knows what the second 730 00:41:34,560 --> 00:41:37,120 Speaker 1: Circuit will do if the case goes up on appeal. 731 00:41:37,480 --> 00:41:39,640 Speaker 1: On the other hand, this is an area of law 732 00:41:39,800 --> 00:41:44,040 Speaker 1: that has not been developed all that much, and sometimes 733 00:41:44,400 --> 00:41:48,399 Speaker 1: court will adjust the law to some extent based upon 734 00:41:48,400 --> 00:41:51,880 Speaker 1: a particularly egregious set of fact, and so I would 735 00:41:51,880 --> 00:41:56,600 Speaker 1: not rule out the viability of this legal theory and 736 00:41:56,640 --> 00:41:58,960 Speaker 1: as James Park, a professor at u c l A 737 00:41:59,080 --> 00:42:02,680 Speaker 1: Law Schools, at the Bloomberg Student Garasso. Catch more of 738 00:42:02,719 --> 00:42:06,000 Speaker 1: that interview plus analysis of the latest legal news by 739 00:42:06,000 --> 00:42:09,719 Speaker 1: subscribing to the Bloomberg Law Podcast or downloading the show 740 00:42:09,760 --> 00:42:13,960 Speaker 1: at Bloomberg dot com slash podcast. Attorneys can find exceptional 741 00:42:14,040 --> 00:42:17,479 Speaker 1: legal research and business development tools at Bloomberg Law dot 742 00:42:17,520 --> 00:42:20,560 Speaker 1: com and on the Bloomberg terminal at b Law. Go 743 00:42:21,360 --> 00:42:23,840 Speaker 1: s and P Futures down thirty two points this morning. 744 00:42:23,880 --> 00:42:26,840 Speaker 1: Down Future is down at hundred thirty four NASDAG Futures 745 00:42:26,880 --> 00:42:30,880 Speaker 1: down one dty nine ten. Your treasury down twelve thirty seconds, 746 00:42:30,920 --> 00:42:33,279 Speaker 1: yield two point eight seven percent, and they yield on 747 00:42:33,360 --> 00:42:36,279 Speaker 1: the two year two point six eight percent and nine 748 00:42:36,280 --> 00:42:39,839 Speaker 1: back Screwed oil is up one point three percent. Still 749 00:42:39,880 --> 00:42:41,920 Speaker 1: my heead on Bloomberg day Break and check on the 750 00:42:41,960 --> 00:42:44,440 Speaker 1: business headlines and all the news you need to start 751 00:42:44,480 --> 00:42:46,880 Speaker 1: your day. And this is Bloomberg