1 00:00:02,920 --> 00:00:06,359 Speaker 1: Live from the Bloomberg in director Berger Studios. Is Bloomberg 2 00:00:06,400 --> 00:00:10,239 Speaker 1: day Break for Tuesday, November two, Coming up this hour, 3 00:00:10,480 --> 00:00:13,200 Speaker 1: A majority of G twenty nations are set to condemn 4 00:00:13,320 --> 00:00:17,000 Speaker 1: Russia's war in Ukraine. Democrat Katie Hobbs, when's the governor's 5 00:00:17,079 --> 00:00:20,720 Speaker 1: race in Arizona? Former President Trump prepares to announce another 6 00:00:20,800 --> 00:00:22,840 Speaker 1: run for the White House. And we'll tell you which 7 00:00:22,920 --> 00:00:25,200 Speaker 1: chip company we're in. Buffett is taking a stake in 8 00:00:25,480 --> 00:00:27,800 Speaker 1: New York. Mayor Adams announced as a plan to provide 9 00:00:27,800 --> 00:00:31,120 Speaker 1: housing for the homeless. Plus federal prosecutors say Rudy Giuliani 10 00:00:31,280 --> 00:00:34,400 Speaker 1: but not face criminal charges over Ukraine. I'm Michael blarn 11 00:00:34,479 --> 00:00:38,120 Speaker 1: Moore Ahead, I'm John stash Ourn Sports Washington upset Philadelphia 12 00:00:38,120 --> 00:00:40,159 Speaker 1: and Monday Night Football. I'll win for the Islanders. The 13 00:00:40,240 --> 00:00:45,280 Speaker 1: Nick Snetts are on the road tonight. That's all's trendy 14 00:00:45,280 --> 00:00:48,680 Speaker 1: Ahead on Bloomberg Daybreak on Bloomberg he Living Free on 15 00:00:48,800 --> 00:00:53,080 Speaker 1: New York Bloomberg one, Washington, d C, Bloomberg one of 16 00:00:53,080 --> 00:00:57,600 Speaker 1: Those Six one, Boston Bloomberg nine sixties and Francisco, Syria's 17 00:00:57,760 --> 00:01:01,120 Speaker 1: XAM one nineteen and around the world. The Bloomberg Radio 18 00:01:01,240 --> 00:01:08,080 Speaker 1: Dot com and via the Bloomberg Business. Good morning. I'm 19 00:01:08,160 --> 00:01:11,279 Speaker 1: Nathan Hager and I'm Karen. Moscow and US Dock index 20 00:01:11,319 --> 00:01:13,520 Speaker 1: futures are on the rise this morning. We are coming 21 00:01:13,560 --> 00:01:15,000 Speaker 1: up to five oh one on Wall Street, and we 22 00:01:15,080 --> 00:01:17,640 Speaker 1: checked the markets every fifteen minutes throughout the trading day. 23 00:01:17,760 --> 00:01:20,960 Speaker 1: On Bloomberg. SNP futures of twenty six points, and OW 24 00:01:21,080 --> 00:01:23,720 Speaker 1: futures have one hundred forty and NASDAG futures have one 25 00:01:24,480 --> 00:01:26,960 Speaker 1: one ten year Treasury up ten thirty seconds, you have 26 00:01:27,080 --> 00:01:29,959 Speaker 1: three point eight one percent, Nathan, all right, Karen, we'll 27 00:01:29,959 --> 00:01:31,600 Speaker 1: have more on the markets in a minute. First we 28 00:01:31,640 --> 00:01:34,000 Speaker 1: want to get you the latest from the G twenty summit. 29 00:01:34,040 --> 00:01:36,760 Speaker 1: A majority of nations are set to condemn Russia's war 30 00:01:36,800 --> 00:01:39,720 Speaker 1: in Ukraine. That's according to a draft statement from the 31 00:01:39,760 --> 00:01:42,480 Speaker 1: event that's been seen by Bloomberg News. It represents a 32 00:01:42,560 --> 00:01:46,039 Speaker 1: compromise designed to get as many signatures as possible. We 33 00:01:46,080 --> 00:01:49,280 Speaker 1: spoke with former UK Ambassador to Russia Tony Brenton about 34 00:01:49,280 --> 00:01:53,480 Speaker 1: the statement. It doesn't direct Russia. It criticizes the war, 35 00:01:53,680 --> 00:01:59,080 Speaker 1: but doesn't blame Russia for it. It's implicitly criticizes Western sanctions. 36 00:01:59,080 --> 00:02:00,760 Speaker 1: If you look at the economic bit of it. It's 37 00:02:00,760 --> 00:02:04,160 Speaker 1: all about disruption of supply chains and hitting the global 38 00:02:04,240 --> 00:02:06,560 Speaker 1: energy markets and so on, which war has something to 39 00:02:06,600 --> 00:02:08,840 Speaker 1: do with it. But the real source of that disruption 40 00:02:09,000 --> 00:02:12,280 Speaker 1: is of course Western sanctions, so it stays around various 41 00:02:12,360 --> 00:02:15,679 Speaker 1: delicate points. Former UK Ambassador to Russia Tony Bretton says 42 00:02:15,720 --> 00:02:17,959 Speaker 1: the statement is expertly crafted to get as many G 43 00:02:18,160 --> 00:02:21,720 Speaker 1: twenty leaders signatures as possible, well, Nathan. The agreement comes 44 00:02:21,760 --> 00:02:24,680 Speaker 1: just hours after President Biden sat face to face with 45 00:02:24,760 --> 00:02:27,400 Speaker 1: shej and Ping in an effort to ease tensions between 46 00:02:27,440 --> 00:02:30,800 Speaker 1: the two countries. US Trade Chief Katherine Tye says the 47 00:02:30,800 --> 00:02:33,639 Speaker 1: meeting sends a powerful message. You can see that there 48 00:02:33,720 --> 00:02:37,280 Speaker 1: is a familiarity between them, a comfort between them in 49 00:02:37,360 --> 00:02:40,760 Speaker 1: terms of relating to each other, and I think that 50 00:02:40,760 --> 00:02:43,680 Speaker 1: that's a really powerful signal to the rest of the world. 51 00:02:44,120 --> 00:02:47,399 Speaker 1: US Trade a Chief Katherine Tye says further discussions will 52 00:02:47,400 --> 00:02:51,040 Speaker 1: continue meantime. A former Secretary of State Henry Kissinger is 53 00:02:51,040 --> 00:02:54,400 Speaker 1: praising the talks as a step to ease tensions. I 54 00:02:54,400 --> 00:03:01,160 Speaker 1: would say there at the beginning of a bridge building effort, 55 00:03:01,440 --> 00:03:06,080 Speaker 1: which it's positives so long as we remember that if 56 00:03:06,880 --> 00:03:12,680 Speaker 1: the Bridge doesn't get billed the Principe. It means both 57 00:03:12,720 --> 00:03:16,000 Speaker 1: former Secretary Kissinger and US Trade Representative Time made the 58 00:03:16,040 --> 00:03:20,000 Speaker 1: comments at the Bloomberg New Economy Forum in Singapore. Back 59 00:03:20,000 --> 00:03:22,760 Speaker 1: here in the US, Karen, the focus is on politics 60 00:03:22,800 --> 00:03:26,120 Speaker 1: and another big win for Democrats as Arizona becomes the 61 00:03:26,200 --> 00:03:30,640 Speaker 1: latest battleground to reject a prominent election denier candidate. Amy 62 00:03:30,680 --> 00:03:35,040 Speaker 1: Morris has details from our Bloomberg newsroom in Washington, Democrat 63 00:03:35,120 --> 00:03:39,080 Speaker 1: Katie Hobbs was elected governor of Arizona, defeating Republican Kerry Lake, 64 00:03:39,120 --> 00:03:43,320 Speaker 1: who embraced former President Trump's baseless claims of widespread fraud 65 00:03:43,360 --> 00:03:47,200 Speaker 1: in the election. The race was called with about percent 66 00:03:47,240 --> 00:03:50,000 Speaker 1: of the ballots counted and Hobbs leading Lake fifty point 67 00:03:50,080 --> 00:03:53,720 Speaker 1: four percent to forty nine point six percent, less than 68 00:03:52,960 --> 00:03:56,000 Speaker 1: twenty one votes. It is the latest instance of mid 69 00:03:56,120 --> 00:04:02,520 Speaker 1: term election voters rejecting election deniers in battlegrounds. It's including Michigan, Pennsylvania, Nevada, 70 00:04:02,560 --> 00:04:06,720 Speaker 1: and Wisconsin. In Washington, I'm Aymy Morris Bloomberg Daybreak Right, Amy, 71 00:04:06,720 --> 00:04:09,600 Speaker 1: thank you about Carry Lakes. Loss in Arizona is unlikely 72 00:04:09,680 --> 00:04:13,520 Speaker 1: to stop a quote very big announcement in Florida. Tonight. 73 00:04:13,640 --> 00:04:16,280 Speaker 1: Former President Trump is said to kick office third run 74 00:04:16,360 --> 00:04:18,640 Speaker 1: for the White House at nine pm Wall Street Time. 75 00:04:18,960 --> 00:04:22,920 Speaker 1: That's despite a growing number of Republicans and donors urging 76 00:04:23,000 --> 00:04:26,159 Speaker 1: him to reconsider. Among those the billionaire founder of Citadel 77 00:04:26,240 --> 00:04:31,440 Speaker 1: Ken Griffin. He lost, We lost Georgia because of his 78 00:04:31,520 --> 00:04:34,920 Speaker 1: behavior in the Senate race in that's a second loss. 79 00:04:35,520 --> 00:04:38,240 Speaker 1: And then this year the Republicans lost the Senate because 80 00:04:38,279 --> 00:04:42,679 Speaker 1: the Trump back Canston Senate races were rejected by American voters. 81 00:04:43,000 --> 00:04:46,040 Speaker 1: That's a three time loser. Ken Griffin made those comments 82 00:04:46,080 --> 00:04:49,080 Speaker 1: at the Bloomberg New Economy Forum in Singapore. Here. More 83 00:04:49,120 --> 00:04:51,599 Speaker 1: of the Citadel founders or marks coming up later in 84 00:04:51,640 --> 00:04:54,359 Speaker 1: our program. Turning to the economy, now, Karen, we're getting 85 00:04:54,360 --> 00:04:57,680 Speaker 1: more signs on policy from the Fed. Another central Bank 86 00:04:57,680 --> 00:05:00,800 Speaker 1: officials saying it could start slowing the pay of rate hikes. 87 00:05:01,080 --> 00:05:03,640 Speaker 1: We caught up with FED Vice Chair law Brainerd. I 88 00:05:03,680 --> 00:05:09,320 Speaker 1: think it will probably be appropriate, um uh soon um 89 00:05:09,360 --> 00:05:12,600 Speaker 1: to move to a flower pace of increases. But I 90 00:05:12,600 --> 00:05:16,760 Speaker 1: think what's really important to emphasize we've done a lot, 91 00:05:17,440 --> 00:05:20,679 Speaker 1: but we have additional work to do, both on raising 92 00:05:20,760 --> 00:05:26,360 Speaker 1: rates and sustaining restraint to bring inflation down to two. 93 00:05:27,000 --> 00:05:29,520 Speaker 1: FED Vice chair law Brainer made those comments in an 94 00:05:29,560 --> 00:05:32,560 Speaker 1: interview with Bloomberg News in Washington. The markets are currently 95 00:05:32,600 --> 00:05:36,000 Speaker 1: pricing in a fifty basis point rate hike in December. Well, Nathan, 96 00:05:36,040 --> 00:05:38,400 Speaker 1: the Fed and Wall Street get another inflation report to 97 00:05:38,440 --> 00:05:41,760 Speaker 1: digest this morning. The producer price indix for October comes 98 00:05:41,760 --> 00:05:44,240 Speaker 1: out before the opening bell, and Bloomberg's Michael McKee has 99 00:05:44,240 --> 00:05:47,680 Speaker 1: a preview. There's no direct link between CPI and PPI 100 00:05:47,880 --> 00:05:51,600 Speaker 1: producer prices. There are middlemen in between. Nevertheless, the big 101 00:05:51,680 --> 00:05:55,640 Speaker 1: drop in consumer prices suggests downside risk to PPI as well. 102 00:05:55,760 --> 00:05:58,279 Speaker 1: In particular, economists are looking for a drop in the 103 00:05:58,320 --> 00:06:03,359 Speaker 1: trade services category. Essentially, it reflects wholesaler and retailer margins. 104 00:06:03,680 --> 00:06:07,640 Speaker 1: Huge pandemic demand for goods led to big margin expansions. 105 00:06:08,080 --> 00:06:11,760 Speaker 1: Now the goods demand is coming down, margins should compress. 106 00:06:12,160 --> 00:06:15,560 Speaker 1: Michael McKee, Bloomberg gaybreak alright, Mike, we also get earnings 107 00:06:15,560 --> 00:06:19,040 Speaker 1: today from big retail. Both Walmart and Home Depot report 108 00:06:19,120 --> 00:06:22,479 Speaker 1: before the opening bell. Meantime, Nathan, Chip stocks are getting 109 00:06:22,480 --> 00:06:25,479 Speaker 1: a Liftists Mooring, a news Berkshire Hathaway has taken a 110 00:06:25,560 --> 00:06:29,479 Speaker 1: stake in Taiwan semiconductor manufacturing. We had more from Bloomberg's 111 00:06:29,520 --> 00:06:32,919 Speaker 1: Doug Chrisoner. For a long while, Berkshire chairman Warren Buffett 112 00:06:32,960 --> 00:06:35,720 Speaker 1: shied away from the tech industry. He has spoken about 113 00:06:35,839 --> 00:06:39,280 Speaker 1: not wanting to invest in businesses he didn't fully understand. 114 00:06:39,720 --> 00:06:42,560 Speaker 1: In recent years, though, the stance has changed, and now 115 00:06:42,640 --> 00:06:46,400 Speaker 1: a filing shows Berkshire acquired about sixty million a d 116 00:06:46,560 --> 00:06:49,560 Speaker 1: R S and t SMC in the third quarter. Assuming 117 00:06:49,600 --> 00:06:52,440 Speaker 1: the average quarterly price, the stake would have cost Buffett 118 00:06:52,520 --> 00:06:56,920 Speaker 1: five point one billion dollars. T SMC has overtaken Intel 119 00:06:57,120 --> 00:06:59,839 Speaker 1: in the cutting edge of chip making. It's also emerged 120 00:07:00,000 --> 00:07:02,119 Speaker 1: as a vital player as the U. S and China 121 00:07:02,240 --> 00:07:06,320 Speaker 1: clash over leadership in global technology industries. In New York 122 00:07:06,320 --> 00:07:09,600 Speaker 1: and Dug Prisoner Bloomberg Daybreak. Okay, Doug, thanks SMP futures 123 00:07:09,680 --> 00:07:11,760 Speaker 1: right now are up twenty nine points down. Futures up 124 00:07:11,760 --> 00:07:14,280 Speaker 1: a hundred sixty one Nastack futures are hired by a 125 00:07:14,360 --> 00:07:17,200 Speaker 1: hundred thirty five points. Straight ahead your latest local headlines 126 00:07:17,240 --> 00:07:23,520 Speaker 1: in the check of sports. This is Bloomberg at Sound 127 00:07:23,560 --> 00:07:26,240 Speaker 1: five oh seven on Wall Street. We're thirty six degrees 128 00:07:26,360 --> 00:07:30,440 Speaker 1: in Central Park, dealing with construction southbound New Jersey Turnpike 129 00:07:30,480 --> 00:07:32,960 Speaker 1: truck lanes at exit nine. Details coming up in Traffic. 130 00:07:33,000 --> 00:07:35,160 Speaker 1: First Michael Barr with more on what's going on in 131 00:07:35,200 --> 00:07:37,400 Speaker 1: New York and around the world. Good morning, Michael, Good 132 00:07:37,400 --> 00:07:40,320 Speaker 1: morning Nathan. New York City officials unveiled new plan to 133 00:07:40,360 --> 00:07:43,640 Speaker 1: find homes for the homeless. Mayor Eric Adams says the 134 00:07:43,680 --> 00:07:46,840 Speaker 1: new options include cutting down on red tape and reducing 135 00:07:46,880 --> 00:07:51,000 Speaker 1: requirements for vouchers and other programs. We are changing the 136 00:07:51,040 --> 00:07:55,160 Speaker 1: city FIPPS rental assistance programs so that we can give 137 00:07:55,240 --> 00:07:59,360 Speaker 1: vouchers to more families and make them easier to use. 138 00:08:00,000 --> 00:08:02,880 Speaker 1: We're reducing the number of hours families are required to 139 00:08:02,960 --> 00:08:08,520 Speaker 1: work to become eligible, from thirty to fourteen hours per week. 140 00:08:08,800 --> 00:08:11,120 Speaker 1: Mayor Adams went on to say it doesn't make sense 141 00:08:11,200 --> 00:08:14,120 Speaker 1: for a person making minimum wage to be told they 142 00:08:14,160 --> 00:08:17,880 Speaker 1: made too much money for city assistance. Federal prosecutors in 143 00:08:17,920 --> 00:08:21,400 Speaker 1: Manhattan have declined to file criminal charges against Rudy Giuliani 144 00:08:21,680 --> 00:08:26,320 Speaker 1: over his lobbying activities in Ukraine. Prosecutors had been investigating 145 00:08:26,320 --> 00:08:29,360 Speaker 1: whether the former New York mayor should have registered as 146 00:08:29,400 --> 00:08:32,439 Speaker 1: a foreign agent over his lobbying of the Trump administration 147 00:08:32,720 --> 00:08:37,120 Speaker 1: to house then US Ambassador Marie Ivanovitch from Ukraine. Giuliani 148 00:08:37,160 --> 00:08:41,040 Speaker 1: maintained he had done nothing wrong. Tech entrepreneur Brandon Williams 149 00:08:41,120 --> 00:08:43,640 Speaker 1: has been elected to Congress in a district in central 150 00:08:43,640 --> 00:08:46,560 Speaker 1: New York, becoming the eleventh Republican to win a House 151 00:08:46,679 --> 00:08:49,880 Speaker 1: race this fall. A p finally called it late last night. 152 00:08:50,320 --> 00:08:53,959 Speaker 1: Williams defeated Democrat Francis Kanol in the contest to pick 153 00:08:54,000 --> 00:08:58,680 Speaker 1: a successor to US Representative John Katko, a Republican who 154 00:08:58,720 --> 00:09:02,240 Speaker 1: was retiring from office. Doctors in New Mexico are warning 155 00:09:02,320 --> 00:09:05,600 Speaker 1: of what they are calling the threat of a triple demic. 156 00:09:05,920 --> 00:09:09,320 Speaker 1: Bloomberg's and Baxter reports that is the convergence of the 157 00:09:09,360 --> 00:09:12,720 Speaker 1: flu rs V and COVID at the same time. Dr 158 00:09:12,800 --> 00:09:16,640 Speaker 1: John Peterson, as a pediatric specialist in Albuquerque, not uncommon 159 00:09:16,679 --> 00:09:21,120 Speaker 1: for us to have a very significant respiratory viral season 160 00:09:21,520 --> 00:09:25,480 Speaker 1: for for children. What's different about about this is that 161 00:09:25,559 --> 00:09:29,360 Speaker 1: it's occurring very early. Peterson says. Hospitals nationwide are already 162 00:09:29,360 --> 00:09:32,200 Speaker 1: seeing a large number of cases and infants with rs 163 00:09:32,320 --> 00:09:37,439 Speaker 1: V and fear a very serious season overall. In San Francisco. 164 00:09:37,480 --> 00:09:40,720 Speaker 1: I'm at Baxter Bloomberg Gaybreak, President Joe Biden and Indonesian 165 00:09:40,720 --> 00:09:44,760 Speaker 1: President Joco Widotto will announce a climate finance deal providing 166 00:09:44,800 --> 00:09:48,520 Speaker 1: twenty billion dollars to help Indonesia pivot away from coal power. 167 00:09:48,960 --> 00:09:52,079 Speaker 1: The deal, broken between the U S, Indonesia and Japan, 168 00:09:52,200 --> 00:09:55,199 Speaker 1: came on the sidelines of the G twenty summit in Bali. 169 00:09:55,480 --> 00:09:58,080 Speaker 1: Global News twenty four hours a day on air and 170 00:09:58,240 --> 00:10:01,520 Speaker 1: on Bloomberg Quicktake Power. I'm more than twenty seven hundred 171 00:10:01,559 --> 00:10:03,880 Speaker 1: journalists and analysts are more than a hundred twenty countries. 172 00:10:04,160 --> 00:10:11,120 Speaker 1: Michael Barr, This is Bloomberg, Nathan. Thank you. Michael. Count 173 00:10:11,200 --> 00:10:12,640 Speaker 1: up to five ten on Wall Street Time for the 174 00:10:12,679 --> 00:10:15,280 Speaker 1: Bloomberg Sports Update, brought to you by try State Autie. 175 00:10:15,280 --> 00:10:18,840 Speaker 1: Good Morning, John Stansharna, Morning, Nathan. Fifty years ago, Miami 176 00:10:18,920 --> 00:10:21,480 Speaker 1: Dolphins last NFL team to go an entire season undefeated. 177 00:10:21,480 --> 00:10:24,439 Speaker 1: The two thousand seven Patriots came close until their Super 178 00:10:24,520 --> 00:10:26,920 Speaker 1: Bowl loss with the Giants. Nobody really expected the Eagles 179 00:10:26,960 --> 00:10:29,160 Speaker 1: to go twenty and oh, but last night didn't figure 180 00:10:29,200 --> 00:10:31,160 Speaker 1: to be their first loss and eleven point favorite at 181 00:10:31,160 --> 00:10:33,920 Speaker 1: home where the Washington has got all kinds of issues 182 00:10:33,920 --> 00:10:37,120 Speaker 1: going on with our ownership. The Commanders, though, fell fell 183 00:10:37,160 --> 00:10:39,439 Speaker 1: behind early and then dominated had the ball for more 184 00:10:39,480 --> 00:10:42,800 Speaker 1: than forty minutes for four Philly turnovers, three of the 185 00:10:42,840 --> 00:10:46,320 Speaker 1: fourth quarter, one right at the end. Snapta hurts Lashington 186 00:10:46,360 --> 00:10:50,120 Speaker 1: Briggs three. He steps up, throws underneath, caught my walkeets 187 00:10:50,160 --> 00:10:52,080 Speaker 1: thrown to Smith. He tried to throw it backboards. He's 188 00:10:52,120 --> 00:10:54,079 Speaker 1: hit my kid curl that has picked up like Kacy 189 00:10:54,120 --> 00:10:57,040 Speaker 1: two Hill in the end zone. It's a defensive touchdown 190 00:10:57,040 --> 00:11:01,240 Speaker 1: to end the game. Life ten did not undefeated season 191 00:11:01,320 --> 00:11:04,360 Speaker 1: of the Eagles, b I g to call Washington thirty two, 192 00:11:04,440 --> 00:11:07,000 Speaker 1: Philadelphia twenty one. Commanders are five and five, Eagles are 193 00:11:07,000 --> 00:11:09,080 Speaker 1: eight and one, Giants only one game behind. Giants still 194 00:11:09,120 --> 00:11:12,199 Speaker 1: have two games left with Philly and two with Washington. 195 00:11:12,320 --> 00:11:15,000 Speaker 1: Islanders four to win at Ottawa Isles of one nine 196 00:11:15,040 --> 00:11:16,719 Speaker 1: at the last eleven Devils and won all of their 197 00:11:16,800 --> 00:11:19,520 Speaker 1: last nine. They played tonight in Montreal, started a five 198 00:11:19,559 --> 00:11:21,840 Speaker 1: game road trick for the next first off is Utah, 199 00:11:21,920 --> 00:11:24,240 Speaker 1: the Jazz Surprise and the already ten wins. Most in 200 00:11:24,280 --> 00:11:26,920 Speaker 1: the West Nets still without Gymrie irving their trip to 201 00:11:27,000 --> 00:11:30,080 Speaker 1: Tunes tonight in Sacramento. A pair of twenty one year 202 00:11:30,120 --> 00:11:33,319 Speaker 1: old outfielders named rookies of the Year Seattle's Julio Rodriguez 203 00:11:33,360 --> 00:11:36,240 Speaker 1: and the American League. Atlanta's Michael Harris and the NL 204 00:11:36,280 --> 00:11:39,000 Speaker 1: both showed power and speed. They'll name the managers of 205 00:11:39,040 --> 00:11:41,040 Speaker 1: the Year today. The Mets buck show Walter the favorite 206 00:11:41,040 --> 00:11:43,839 Speaker 1: to win in the NL, the Miami Marlins already with 207 00:11:43,960 --> 00:11:47,079 Speaker 1: a female GM, Kim Ang. They promoted New Jersey native 208 00:11:47,120 --> 00:11:51,080 Speaker 1: Caroline O'Connor to be their team president. John Dashaward Bloomberg 209 00:11:51,120 --> 00:11:54,200 Speaker 1: Sports Nathan, Thank you, John SMP futures now at thirty points, 210 00:11:54,200 --> 00:11:56,959 Speaker 1: SA futures of a hundred sixties seven, NASSEXT futures on 211 00:11:57,000 --> 00:11:59,360 Speaker 1: the rise by a hundred thirty four points. The tenure 212 00:11:59,360 --> 00:12:02,280 Speaker 1: treasuries up eleven thirty seconds for a yield of three 213 00:12:02,280 --> 00:12:08,400 Speaker 1: point at one percent. This is Bloomberg. The Bloomberg Sports 214 00:12:08,440 --> 00:12:10,400 Speaker 1: Report was brought to you by aut etl. Let someone 215 00:12:10,400 --> 00:12:12,760 Speaker 1: else drive off in the Outie model. You've always wanted 216 00:12:12,760 --> 00:12:14,839 Speaker 1: to visit your local tri state outietial and you get 217 00:12:14,840 --> 00:12:17,520 Speaker 1: behind the wheel of yours today, or visit Autie Offers 218 00:12:17,600 --> 00:12:24,200 Speaker 1: dot com for more information, markets, headlines and breaking news 219 00:12:24,320 --> 00:12:26,960 Speaker 1: twenty four hours a day at Bloomberg dot com. The 220 00:12:26,960 --> 00:12:30,480 Speaker 1: Bloomberg Business at and at Bloomberg Quick Tape. He's a 221 00:12:30,520 --> 00:12:39,720 Speaker 1: Bloomberg Business Flash, and I'm Karen Moscow. US DOT Index 222 00:12:39,800 --> 00:12:42,480 Speaker 1: futures are higher this morning. I've been growing confidence that 223 00:12:42,559 --> 00:12:44,920 Speaker 1: the Federal Reserve will be able to slow its rate 224 00:12:45,000 --> 00:12:47,839 Speaker 1: hiking pace. And we check the markets every fifteen minutes 225 00:12:47,840 --> 00:12:50,480 Speaker 1: throughout the trading day on Bloomberg Guess and Key futures 226 00:12:50,520 --> 00:12:52,680 Speaker 1: up thirty two points this morning. DEL futures up a 227 00:12:52,720 --> 00:12:56,120 Speaker 1: hundred eighty three Nasdack futures have one thirty nine the 228 00:12:56,200 --> 00:12:59,160 Speaker 1: decks in Germany, it'll change ten. Your treasury up twelve 229 00:12:59,200 --> 00:13:02,280 Speaker 1: thirty seconds, three point eight zero percent yield on the 230 00:13:02,360 --> 00:13:05,400 Speaker 1: two year four point three five percent nine max Screwed 231 00:13:05,440 --> 00:13:07,079 Speaker 1: oil is down one and a half percent at a 232 00:13:07,160 --> 00:13:09,400 Speaker 1: dollar thirty at eighty four dollars fifty eight cents of 233 00:13:09,440 --> 00:13:11,840 Speaker 1: barrel comic schooled up tenth of a percent, or two 234 00:13:11,880 --> 00:13:14,720 Speaker 1: dollars ten cents at seventeen seventy nine an ounce. The 235 00:13:14,760 --> 00:13:17,120 Speaker 1: euro one point oh four oh nine against the dollar, 236 00:13:17,160 --> 00:13:19,240 Speaker 1: British pound one point one eight four two and the 237 00:13:19,400 --> 00:13:22,319 Speaker 1: end one thirty nine point to four, and Bitcoin is 238 00:13:22,400 --> 00:13:25,360 Speaker 1: up two point four percent at sixteen thousand, seven hundred 239 00:13:25,440 --> 00:13:28,520 Speaker 1: eighty dollars. That's a Bloomberg Business flash show. Here's Michael 240 00:13:28,520 --> 00:13:31,200 Speaker 1: Barr with Moore on what's going on around the world. Michael, 241 00:13:31,200 --> 00:13:34,240 Speaker 1: good Mornay, Good morning, Karen. Former President Donald Trump is 242 00:13:34,280 --> 00:13:36,680 Speaker 1: said to be preparing to launch another campaign for the 243 00:13:36,679 --> 00:13:40,520 Speaker 1: White House with an announcement tonight. Some Republicans urge him 244 00:13:40,559 --> 00:13:44,119 Speaker 1: to delay the announcement, blaming Trump for far rant candidates 245 00:13:44,360 --> 00:13:47,640 Speaker 1: losing in the mid term elections. Democrat Katie Hobbs was 246 00:13:47,679 --> 00:13:52,480 Speaker 1: elected governor of Arizona. Hobbs defeated Republican Kerry Lake, who 247 00:13:52,520 --> 00:13:56,600 Speaker 1: embraced former President Trump's false claims of widespread fraud in 248 00:13:56,640 --> 00:13:59,880 Speaker 1: the twenty election. In the narrow victory. In the NF 249 00:14:00,040 --> 00:14:03,199 Speaker 1: fell undefeated no more. The Eagles lost to the Commanders 250 00:14:03,240 --> 00:14:07,199 Speaker 1: thirty one. In the NBA, the Celtics won seventh straight, 251 00:14:07,240 --> 00:14:11,440 Speaker 1: beating the Thunder one two the Warriors also one. In 252 00:14:11,480 --> 00:14:15,200 Speaker 1: the NHL the Islanders one global news twenty four hours 253 00:14:15,200 --> 00:14:18,400 Speaker 1: a day only ran on Bloomberg Quicktake, powered by more 254 00:14:18,440 --> 00:14:20,840 Speaker 1: than twenty seven hundred journalists and an US more than 255 00:14:21,280 --> 00:14:25,440 Speaker 1: twenty countries. I'm Michael Barren. This is Bloomberg Nathan. All Right, Michael, 256 00:14:25,440 --> 00:14:27,720 Speaker 1: thank you. It's five nineteen on Wall Street Live from 257 00:14:27,760 --> 00:14:31,160 Speaker 1: the Bloomberg Interactive Broker Studios. This is Bloomberg Daybreak, and 258 00:14:31,160 --> 00:14:33,480 Speaker 1: now we're gonna bring you a conversation with Federal Reserve 259 00:14:33,600 --> 00:14:36,880 Speaker 1: Vice Chair Lyle Brainerd. She joined Bloomberg News in Washington 260 00:14:36,960 --> 00:14:39,480 Speaker 1: to discuss her outlook for the economy, the FEDS rate 261 00:14:39,560 --> 00:14:43,280 Speaker 1: hike path, and the crypto market crash. Vice chair Brainard 262 00:14:43,320 --> 00:14:46,480 Speaker 1: spoke with Bloomberg's Washington Verreau chief Peggy Collins. Here's part 263 00:14:46,480 --> 00:14:49,080 Speaker 1: of that conversation now, so so much of what we 264 00:14:49,120 --> 00:14:52,280 Speaker 1: wrote about here Bloomberg during the pandemic and elsewhere I 265 00:14:52,280 --> 00:14:54,880 Speaker 1: know other journalists too, was about people getting back into 266 00:14:54,880 --> 00:14:58,640 Speaker 1: the labor market and getting jobs. Bloomberg Economics actually is 267 00:14:58,680 --> 00:15:02,880 Speaker 1: forecasting percent chance of our recession in the next twelve months. 268 00:15:03,320 --> 00:15:05,760 Speaker 1: What is your forecast for where we end up in 269 00:15:05,840 --> 00:15:08,920 Speaker 1: terms of unemployment by the end of next year. Yeah, 270 00:15:09,040 --> 00:15:13,240 Speaker 1: so I think, um, it's it's very difficult um to 271 00:15:13,560 --> 00:15:18,560 Speaker 1: give firm projections because this is a very unusual labor market. 272 00:15:18,600 --> 00:15:23,520 Speaker 1: So the pandemic lad to UM a lot of departures 273 00:15:23,600 --> 00:15:27,520 Speaker 1: from in person services in particular, and if you look 274 00:15:27,600 --> 00:15:31,120 Speaker 1: at hiring data, you can still see pretty healthy hiring 275 00:15:31,680 --> 00:15:35,560 Speaker 1: UM in some of those in person services where UM 276 00:15:35,880 --> 00:15:40,000 Speaker 1: some businesses are still trying to catch up to levels 277 00:15:40,000 --> 00:15:43,880 Speaker 1: of employment that may be appropriate for UM the kind 278 00:15:43,920 --> 00:15:46,800 Speaker 1: of the run rate that they're seeing UM. But it 279 00:15:46,920 --> 00:15:52,560 Speaker 1: is the case that as rates move further into restrictive territory, 280 00:15:53,080 --> 00:15:57,560 Speaker 1: you know, and financial conditions remain tight, that does exert 281 00:15:57,680 --> 00:16:02,160 Speaker 1: some restraint on demand UM to bring demand into better 282 00:16:02,240 --> 00:16:05,920 Speaker 1: alignment with supply, and so you will see some reallocation. Now, 283 00:16:06,040 --> 00:16:12,560 Speaker 1: vacancies are unusually high relative to unemployment, and that does suggest, 284 00:16:12,640 --> 00:16:14,920 Speaker 1: for the reasons UM that we're just talking about this 285 00:16:15,040 --> 00:16:18,520 Speaker 1: sort of catch up hiring, there are some chance that 286 00:16:18,600 --> 00:16:21,920 Speaker 1: we'll see more of a diminution in those vacancies rather 287 00:16:21,960 --> 00:16:26,000 Speaker 1: than putting as much emphasis on layoffs. But it's likely 288 00:16:26,000 --> 00:16:28,520 Speaker 1: there'll be a combination of both. Do you think the 289 00:16:28,560 --> 00:16:32,560 Speaker 1: downshift is coming? Yeah, so, UM, I think it will 290 00:16:32,600 --> 00:16:38,240 Speaker 1: probably be appropriate UM uh soon UM to move to 291 00:16:38,320 --> 00:16:41,760 Speaker 1: a flower pace of increases. But I think what's really 292 00:16:41,800 --> 00:16:46,160 Speaker 1: important to emphasize we've done a lot, but we have 293 00:16:46,280 --> 00:16:51,000 Speaker 1: additional work to do, both on raising rates and sustaining 294 00:16:51,080 --> 00:16:55,560 Speaker 1: restraint to bring inflation down to two percent over time. 295 00:16:56,160 --> 00:17:00,600 Speaker 1: So you know, we have raised rates very rapidly by 296 00:17:00,640 --> 00:17:04,720 Speaker 1: nearly for based four percentage points over about nine months, 297 00:17:04,760 --> 00:17:07,840 Speaker 1: and we've been reducing the balance sheet and you can 298 00:17:07,880 --> 00:17:11,560 Speaker 1: see that in financial conditions, UM. You can see it 299 00:17:11,680 --> 00:17:15,480 Speaker 1: in inflation expectations which are quite well anchored. UM. You 300 00:17:15,520 --> 00:17:18,119 Speaker 1: can see it in an interest rate sensitive sectors. But 301 00:17:18,160 --> 00:17:21,000 Speaker 1: as we said last meeting, UM, they're likely to be 302 00:17:21,080 --> 00:17:24,199 Speaker 1: lags UM and it's going to take some time for 303 00:17:24,280 --> 00:17:28,720 Speaker 1: that cumulative tightening to to flow through. And so it 304 00:17:28,840 --> 00:17:32,919 Speaker 1: makes sense to move to a more um, a more deliberate, 305 00:17:32,960 --> 00:17:38,600 Speaker 1: and a more data dependent pace as we continue UH 306 00:17:38,640 --> 00:17:43,120 Speaker 1: to make sure that there's restraint that will bring inflation 307 00:17:43,160 --> 00:17:45,280 Speaker 1: down over time. So I want to turn to another 308 00:17:45,359 --> 00:17:48,880 Speaker 1: big story that we've been covering, which is the implosion 309 00:17:49,200 --> 00:17:52,359 Speaker 1: of another firm in the crypto market, ft X and 310 00:17:52,400 --> 00:17:56,400 Speaker 1: Sam Bankman Freed's empire there and in a speech in July, 311 00:17:56,640 --> 00:17:58,720 Speaker 1: you were looking at the crypto market and at that 312 00:17:58,840 --> 00:18:02,000 Speaker 1: time thought that you know, there weren't signs that there 313 00:18:02,000 --> 00:18:05,760 Speaker 1: were so much interconnectivity yet between crypto firms and the 314 00:18:05,840 --> 00:18:09,640 Speaker 1: broader financial market to imply a systemic risk. How has 315 00:18:09,680 --> 00:18:13,280 Speaker 1: your view changed given what's happened in the past week. Yeah, 316 00:18:13,280 --> 00:18:17,440 Speaker 1: so I don't think my view UM has fundamentally changed. 317 00:18:17,520 --> 00:18:22,119 Speaker 1: First of all, you know, it is UM really concerning 318 00:18:22,320 --> 00:18:26,600 Speaker 1: to see that retail investors are really getting hurt by 319 00:18:26,640 --> 00:18:31,520 Speaker 1: these losses UM. And it is also the case UM 320 00:18:31,560 --> 00:18:36,000 Speaker 1: that despite a lot of hype UM. You know, you've 321 00:18:36,040 --> 00:18:39,119 Speaker 1: heard a lot about how decentralized these markets are and 322 00:18:39,160 --> 00:18:42,800 Speaker 1: how innovative and different UM, it turns out, you know, 323 00:18:42,960 --> 00:18:48,280 Speaker 1: they're highly concentrated, highly interconnected UM, and you're just seeing 324 00:18:48,560 --> 00:18:55,040 Speaker 1: UM a domino effect UM failures from one platform or 325 00:18:55,040 --> 00:19:00,480 Speaker 1: one firm spilling over elsewhere, and it reinforces I think UM, 326 00:19:00,560 --> 00:19:06,800 Speaker 1: this need to make sure UM that crypto finance, because 327 00:19:07,080 --> 00:19:10,200 Speaker 1: it is no different than traditional finance in the risks 328 00:19:10,240 --> 00:19:14,240 Speaker 1: that it exposes investors too, needs to be under the 329 00:19:14,359 --> 00:19:18,359 Speaker 1: regulatory perimeter. There need to be strong regulatory guard rails 330 00:19:18,440 --> 00:19:23,600 Speaker 1: that ensure that like risks are subject to like disclosures 331 00:19:23,680 --> 00:19:27,640 Speaker 1: and like regulatory outcomes. And that was Federal Reserve Vice 332 00:19:27,720 --> 00:19:31,879 Speaker 1: chair Lyle Brainerd speaking with Bloomberg's Peggy Collins in Washington. 333 00:19:32,000 --> 00:19:34,520 Speaker 1: You can catch the full interview online at Bloomberg dot 334 00:19:34,520 --> 00:19:38,560 Speaker 1: com or anytime on the Bloomberg terminal. S ANDP futures 335 00:19:38,640 --> 00:19:40,800 Speaker 1: right now are up twenty nine points. Stown futures up 336 00:19:40,800 --> 00:19:43,760 Speaker 1: a hundred fifty seven. NASAC futures are higher by a 337 00:19:43,840 --> 00:19:46,240 Speaker 1: hundred thirty one points. The ten year treasury is up 338 00:19:46,280 --> 00:19:49,840 Speaker 1: eleven thirty seconds, the yield three point eight one percent, 339 00:19:50,040 --> 00:19:52,760 Speaker 1: and the yield on the two year right now four 340 00:19:52,920 --> 00:19:56,120 Speaker 1: point three five per cent. Just had the latest from 341 00:19:56,160 --> 00:19:59,719 Speaker 1: the G twenty summit and a big blow to another 342 00:20:00,000 --> 00:20:03,200 Speaker 1: action denier in the mid terms. It's coming up. I'm 343 00:20:03,200 --> 00:20:09,400 Speaker 1: Bloomberg Day Break Bloomberg eleven three oh weather increasing cloud 344 00:20:09,520 --> 00:20:12,320 Speaker 1: showers developing late today. Highs only in the upper forties. 345 00:20:12,400 --> 00:20:15,879 Speaker 1: Rain ends early tomorrow, low fifties for highs. There'll be sunny, 346 00:20:15,920 --> 00:20:18,840 Speaker 1: breeze and cool for Thursday. Right now thirty six in 347 00:20:18,920 --> 00:20:25,760 Speaker 1: Central Park, broadcasting live from the Bloomberg Interactive Broker Studio 348 00:20:25,840 --> 00:20:29,040 Speaker 1: in New York. Bloomberg E Living Freo to Washington, d C, 349 00:20:29,200 --> 00:20:33,920 Speaker 1: Bloomberg to Boston, Bloomberg one O six one to San Francisco, 350 00:20:34,000 --> 00:20:37,200 Speaker 1: Bloomberg Own sixteen to the country, Sirius XM to the 351 00:20:37,280 --> 00:20:40,600 Speaker 1: one nine and around the globe. The Bloomberg Business and 352 00:20:40,680 --> 00:20:50,360 Speaker 1: Bloomberg Radio dot Com. This is Bloomberg Daybreak and it's 353 00:20:50,680 --> 00:20:53,520 Speaker 1: thirty on Wall Street. Good morning. I'm Karen Moscow and 354 00:20:53,600 --> 00:20:56,600 Speaker 1: I'm Nathan Hagar. Bloomberg Daybreak brought to you by se I. 355 00:20:56,600 --> 00:20:59,959 Speaker 1: Imagine your asset management firms operational infrastructure as a competiti 356 00:21:00,000 --> 00:21:02,800 Speaker 1: the advantage. Let s e I show you how at 357 00:21:02,960 --> 00:21:05,639 Speaker 1: se I C dot com slash I m S and 358 00:21:05,720 --> 00:21:08,080 Speaker 1: we are just about four hours away from the open 359 00:21:08,119 --> 00:21:09,680 Speaker 1: of US training. Let's the idea have to date on 360 00:21:09,720 --> 00:21:11,399 Speaker 1: the news you need to know at this hour. It 361 00:21:11,480 --> 00:21:13,840 Speaker 1: begin with the G twenty summit in Indonesia, where a 362 00:21:13,880 --> 00:21:17,320 Speaker 1: majority of nations are said to condemn Russia's war in Ukraine, 363 00:21:17,640 --> 00:21:21,040 Speaker 1: according to a draft joint statement from the summit that's 364 00:21:21,080 --> 00:21:23,520 Speaker 1: been seen by Bloomberg News. We talked about it with 365 00:21:23,560 --> 00:21:26,840 Speaker 1: former UK Ambassador to Russia Tony Brnton. What I've seen 366 00:21:26,960 --> 00:21:30,520 Speaker 1: is actually rather expertly drafted to scare a dedicate way 367 00:21:30,560 --> 00:21:34,040 Speaker 1: around all sorts of people's obstacles. Um. It doesn't directly 368 00:21:34,040 --> 00:21:37,520 Speaker 1: criticize Russia. It criticizes the war, but not don't blame 369 00:21:37,600 --> 00:21:41,320 Speaker 1: Russia for it. Former UK Ambassador to Russia Tony Brenton 370 00:21:41,400 --> 00:21:44,399 Speaker 1: said the draft represents a compromise designed to get as 371 00:21:44,440 --> 00:21:48,360 Speaker 1: many signatures as possible, and US President Joe Biden announced 372 00:21:48,359 --> 00:21:51,760 Speaker 1: a pact of global infrastructure investments at the summit. Today. 373 00:21:51,960 --> 00:21:55,520 Speaker 1: We're at an inflection point. Investments we make today will 374 00:21:55,560 --> 00:21:59,120 Speaker 1: have far reaching impact on the world for generations to come. 375 00:21:59,320 --> 00:22:02,359 Speaker 1: President By made the comments following yesterday's face to face 376 00:22:02,520 --> 00:22:05,080 Speaker 1: meeting with Chinese leader Shi Jin ping U. S Trade 377 00:22:05,119 --> 00:22:08,080 Speaker 1: Chief Katherine Tye says it was an open discussion designed 378 00:22:08,080 --> 00:22:11,880 Speaker 1: to ease tensions between the nations. He raised with President 379 00:22:11,960 --> 00:22:17,040 Speaker 1: She something that we have raised consistently US concerns about 380 00:22:17,240 --> 00:22:21,879 Speaker 1: the negative economic impacts of China's non market economic policies. 381 00:22:22,160 --> 00:22:24,560 Speaker 1: US Trade Chief Katherine Tye spoke at the Bloomberg New 382 00:22:24,560 --> 00:22:27,879 Speaker 1: Economy Forum in Singapore to Politics at Home Now Nathan 383 00:22:27,920 --> 00:22:31,440 Speaker 1: another blow to former President Trump. Trump ally and election 384 00:22:31,520 --> 00:22:35,480 Speaker 1: denier Carry Lake lost the Arizona governor's race to Democrat 385 00:22:35,600 --> 00:22:38,560 Speaker 1: Katie Hobbs. The former president is making a very big 386 00:22:38,560 --> 00:22:41,160 Speaker 1: announcement at nine pm tonight, likely to be a third 387 00:22:41,200 --> 00:22:44,320 Speaker 1: White House bid. It comes despite many Republicans and donors 388 00:22:44,359 --> 00:22:48,560 Speaker 1: asking him to reconsider, including Citadel founder Ken Griffin. I'd 389 00:22:48,600 --> 00:22:50,879 Speaker 1: like to think that the Republican Party is ready to 390 00:22:50,920 --> 00:22:53,320 Speaker 1: move on from somebody who's been for this party a 391 00:22:53,400 --> 00:22:56,480 Speaker 1: three time loser. Ken Griffin made those comments at the 392 00:22:56,480 --> 00:22:59,280 Speaker 1: Bloomberg New Economy Forum in Singapore, and we'll bring you 393 00:22:59,320 --> 00:23:01,760 Speaker 1: more of our comp station later in our program to 394 00:23:01,800 --> 00:23:04,440 Speaker 1: the Economy Now. Karen FED Vice chair Lle Brainerd tells 395 00:23:04,440 --> 00:23:06,720 Speaker 1: Bloomberg the Central Bank should consider the pace of its 396 00:23:06,800 --> 00:23:10,040 Speaker 1: rate hike path moving forward. We have additional work to 397 00:23:10,119 --> 00:23:15,240 Speaker 1: do both on raising rates and sustaining restraint to bring 398 00:23:15,280 --> 00:23:19,040 Speaker 1: inflation down to two Feddvice chare Laal brainer and the 399 00:23:19,080 --> 00:23:21,560 Speaker 1: Fed will have another inflation report to the jets this morning, 400 00:23:21,560 --> 00:23:24,720 Speaker 1: with October's producer price index due out before the belt 401 00:23:25,000 --> 00:23:28,280 Speaker 1: and futures this morning are on the rise. Straight ahead, 402 00:23:28,320 --> 00:23:31,880 Speaker 1: we have your latest local headlines, plus the check of sports, 403 00:23:32,359 --> 00:23:40,400 Speaker 1: and this is Bloomberg. Thanks On Wall Street thirty six 404 00:23:40,440 --> 00:23:42,640 Speaker 1: degrees in Central Park. Might want to use the car 405 00:23:42,760 --> 00:23:45,000 Speaker 1: lane south end New Jersey Turnpike this morning. We'll tell 406 00:23:45,040 --> 00:23:46,920 Speaker 1: you why. In traffic First, Michael Barr with more on 407 00:23:47,000 --> 00:23:48,920 Speaker 1: what's going on in New York and around the world. Michael, 408 00:23:49,000 --> 00:23:51,280 Speaker 1: thank you very much. Nathan former New York City Mayor 409 00:23:51,320 --> 00:23:55,080 Speaker 1: Rudy Giuliani will not face criminal charges over his interactions 410 00:23:55,359 --> 00:23:59,360 Speaker 1: with Ukrainian figures in the run up to the presidential election. 411 00:23:59,800 --> 00:24:02,359 Speaker 1: The U. S. Attorney's Office in Manhattan said they made 412 00:24:02,359 --> 00:24:06,080 Speaker 1: the decision after reviewing electronic evidence gathered in raids on 413 00:24:06,160 --> 00:24:10,960 Speaker 1: Giuliani's home and law office. In April of one, Giuliani 414 00:24:11,040 --> 00:24:14,000 Speaker 1: tweeted that it was a complete and total of vindication. 415 00:24:14,520 --> 00:24:17,359 Speaker 1: New York City officials unveiled a new plan to find 416 00:24:17,400 --> 00:24:20,320 Speaker 1: homes for the homeless. Mayor Eric Adams says the new 417 00:24:20,359 --> 00:24:23,760 Speaker 1: options include cutting down on the red tape and reducing 418 00:24:23,800 --> 00:24:27,520 Speaker 1: requirements for vounchers and other programs. It just doesn't make 419 00:24:27,640 --> 00:24:30,960 Speaker 1: sense when you think about it. M Opperson making minimum 420 00:24:31,000 --> 00:24:35,000 Speaker 1: wage told they make too much money for city felt 421 00:24:35,119 --> 00:24:38,119 Speaker 1: FEPS minimum wage, which they're saying you make too much money. 422 00:24:38,520 --> 00:24:40,960 Speaker 1: This just doesn't add up. And what it does add 423 00:24:41,040 --> 00:24:44,040 Speaker 1: up to is a crisis, the housing crisis, and we 424 00:24:44,280 --> 00:24:47,320 Speaker 1: changeing it. Mayor Adams says the new plan would in 425 00:24:47,359 --> 00:24:51,800 Speaker 1: some cases skip temporary housing shelters altogether. There has been 426 00:24:51,880 --> 00:24:55,240 Speaker 1: shock and sadness on the campus of the University of Virginia, 427 00:24:55,600 --> 00:24:58,560 Speaker 1: where a student is accused of killing three members of 428 00:24:58,600 --> 00:25:01,639 Speaker 1: the football team. The players are returning from a class 429 00:25:01,640 --> 00:25:05,840 Speaker 1: trip when authorities say Christopher Darnell Jones Jr. Opened fire, 430 00:25:06,040 --> 00:25:10,480 Speaker 1: killing Devin Chandler, Lavelle Davis Jr. And Deshaun Perry. Jones 431 00:25:10,600 --> 00:25:13,440 Speaker 1: is a former member of the football team. Students are 432 00:25:13,480 --> 00:25:16,159 Speaker 1: in morning. This junior says his friends put up a 433 00:25:16,200 --> 00:25:18,639 Speaker 1: memorial for the victims. I think we're all kind of 434 00:25:18,680 --> 00:25:21,120 Speaker 1: coming to terms with what's going on and just trying 435 00:25:21,119 --> 00:25:23,040 Speaker 1: to support each other to the best of our abilities 436 00:25:23,080 --> 00:25:25,919 Speaker 1: at the moment. Jones will face three counts of second 437 00:25:25,920 --> 00:25:28,520 Speaker 1: degree murder and three counts of using a handgun in 438 00:25:28,520 --> 00:25:32,320 Speaker 1: the commission of a felony. US officials say it's the 439 00:25:32,520 --> 00:25:37,240 Speaker 1: largest climate transaction in history. US President Joe Biden and 440 00:25:37,359 --> 00:25:41,920 Speaker 1: Indonesian President Jocobadoto will announce a climate finance deal providing 441 00:25:41,960 --> 00:25:45,560 Speaker 1: twenty billion dollars to help the Southeast Asian country shift 442 00:25:45,600 --> 00:25:49,080 Speaker 1: away from coal power. Global News twenty four hours a 443 00:25:49,160 --> 00:25:52,720 Speaker 1: day on air and on Bloomberg Quicktake, powered by more 444 00:25:52,760 --> 00:25:55,040 Speaker 1: than twenty seven under journalist and analysts, are more than 445 00:25:55,040 --> 00:25:58,160 Speaker 1: a hund twenty countries. Michael Barr and this is Bloomberg An' 446 00:25:58,359 --> 00:26:06,000 Speaker 1: thanks Michael Street. Time for the Bloomberg Sports Sunday brought 447 00:26:06,080 --> 00:26:07,960 Speaker 1: you by tri State out of years John Stat Shout. 448 00:26:08,080 --> 00:26:12,199 Speaker 1: Thanks Nathan. A Monday night upset. Philadelphia was undefeated favored 449 00:26:12,200 --> 00:26:15,840 Speaker 1: by eleven at home against Washington, but the Commanders held 450 00:26:15,840 --> 00:26:19,159 Speaker 1: the ball for more than forty minutes force four Philly turnovers. 451 00:26:19,160 --> 00:26:21,679 Speaker 1: The Eagles had three fumbles in the fourth quarter, and 452 00:26:21,840 --> 00:26:25,119 Speaker 1: Washington won thirty two to one to get to five hundred. 453 00:26:25,160 --> 00:26:28,040 Speaker 1: The Eagles fall to eight and one with beets. The Giants, 454 00:26:28,280 --> 00:26:30,440 Speaker 1: who still have two games left with Philly suddenly only 455 00:26:30,480 --> 00:26:32,960 Speaker 1: one game out of first place. Their coach Brian Babo, 456 00:26:33,119 --> 00:26:36,280 Speaker 1: asked yesterday about the playoffs, you have to focus and 457 00:26:36,320 --> 00:26:39,160 Speaker 1: stay in a moment um because it really doesn't matter 458 00:26:39,200 --> 00:26:43,720 Speaker 1: this there's so much games to be played, and um, 459 00:26:43,800 --> 00:26:46,320 Speaker 1: you know it's it's good to be seven and two, 460 00:26:46,359 --> 00:26:49,800 Speaker 1: but again, it'll home be really quick. Um, when you 461 00:26:49,840 --> 00:26:52,000 Speaker 1: start worrying about the wrong things, they're thinking about the 462 00:26:52,000 --> 00:26:54,560 Speaker 1: wrong things to me in this business by both Giants. 463 00:26:54,680 --> 00:26:57,360 Speaker 1: Very winnable game this Sunday at home against Detroit. Big 464 00:26:57,359 --> 00:26:59,920 Speaker 1: games Sunday for the Jets, coming off the bye, they 465 00:27:00,160 --> 00:27:02,800 Speaker 1: visit New England, who has beating the Jets thirteen straight 466 00:27:02,880 --> 00:27:05,560 Speaker 1: times with the Jets who will help? I mean beating 467 00:27:05,600 --> 00:27:09,240 Speaker 1: Buffalo and then Buffalo losing again yesterday. Jets now suddenly 468 00:27:09,880 --> 00:27:12,280 Speaker 1: just at a first place. Islanders won four to in Ottawa. 469 00:27:12,320 --> 00:27:14,119 Speaker 1: The Devils are in Montreal tonight. They're going for a 470 00:27:14,160 --> 00:27:16,120 Speaker 1: tenth win in a row. That Nick started road trip 471 00:27:16,160 --> 00:27:19,320 Speaker 1: at Utah. The Nets play in Sacramento will The Warriors 472 00:27:19,359 --> 00:27:22,119 Speaker 1: last night blew out San Antonio the Golden State at 473 00:27:22,119 --> 00:27:24,120 Speaker 1: six and six and one at home at Owens seven. 474 00:27:24,160 --> 00:27:26,720 Speaker 1: On the road, Celtics won their seventh row and they're 475 00:27:26,720 --> 00:27:29,320 Speaker 1: now in first place in the East, moving ahead of Milwaukee. 476 00:27:29,520 --> 00:27:32,120 Speaker 1: Caroline O'Connor was working on Wall Street when Derek Jeter 477 00:27:32,200 --> 00:27:34,080 Speaker 1: hired her to work for the Miami and Marlins. Jeter 478 00:27:34,119 --> 00:27:36,680 Speaker 1: has since left the team, but O'Connor was just promoted 479 00:27:36,680 --> 00:27:39,320 Speaker 1: the team president, and Marlins already had baseball's only female 480 00:27:39,359 --> 00:27:42,800 Speaker 1: GM and KIANG rookies of the Year, Seattle's Julio Rodriguez, 481 00:27:42,840 --> 00:27:46,880 Speaker 1: Atlanta's Michael has John Stasheller Bloomberg Sports thank you, John 482 00:27:47,440 --> 00:27:49,560 Speaker 1: seven on Wall Street time for the Tri State Business 483 00:27:49,560 --> 00:27:53,360 Speaker 1: Report with Bloomberg's Joan Doneger. New York City's municipal workforce 484 00:27:53,480 --> 00:27:55,359 Speaker 1: may still be the largest in the nation, but it 485 00:27:55,440 --> 00:27:58,760 Speaker 1: shrank at the fastest rate since the nineteen nineties. Over 486 00:27:58,800 --> 00:28:02,159 Speaker 1: the past two years, thousands of jobs are unfilled. That 487 00:28:02,240 --> 00:28:05,520 Speaker 1: threatens to disrupt an array of critical services. New York 488 00:28:05,560 --> 00:28:08,919 Speaker 1: States Controllers says the city's workforce fell nearly six and 489 00:28:08,920 --> 00:28:13,440 Speaker 1: a half percent from June of losing about nineteen thousand jobs. 490 00:28:13,480 --> 00:28:16,720 Speaker 1: In August, the workforce total two hundred eight one thousand, 491 00:28:16,800 --> 00:28:20,080 Speaker 1: three hundred thirty three people. Energy prices are hitting some 492 00:28:20,119 --> 00:28:23,359 Speaker 1: New Jersey residents so hard they've cut spending on groceries 493 00:28:23,359 --> 00:28:26,520 Speaker 1: and medicine just to pay gas and electric bills. News 494 00:28:26,520 --> 00:28:30,240 Speaker 1: twelve New Jersey reports the Census Bureaus Household Pulse survey 495 00:28:30,320 --> 00:28:32,760 Speaker 1: found a third of those asked having to do that. 496 00:28:32,840 --> 00:28:35,560 Speaker 1: About a quarter were unable to pay part of their bills. 497 00:28:36,000 --> 00:28:38,480 Speaker 1: The Connecticut Department of Public Health is getting a half 498 00:28:38,520 --> 00:28:41,720 Speaker 1: million dollar grant from the Environmental Protection Agency. The money 499 00:28:41,880 --> 00:28:45,520 Speaker 1: will set up air quality monitoring and distressed communities. That's 500 00:28:45,560 --> 00:28:48,920 Speaker 1: the Bloomberg Try State Business Report. I'm Joan Donnager. Thank you, Joan. 501 00:28:49,000 --> 00:28:51,240 Speaker 1: It's five thirty eight on Wall Street. Bloomberg radios on 502 00:28:51,280 --> 00:28:53,400 Speaker 1: the air from San Francisco to New York, London to 503 00:28:53,480 --> 00:28:55,800 Speaker 1: Hong Kong. Let's check in with our global news team 504 00:28:55,840 --> 00:28:57,320 Speaker 1: for some of the top stories heard on our three 505 00:28:57,400 --> 00:29:03,520 Speaker 1: hundred of fillion radio stations around the world. I'm Steve 506 00:29:03,600 --> 00:29:06,680 Speaker 1: polis Go on w f L A Tampa Bay. We're 507 00:29:06,680 --> 00:29:12,080 Speaker 1: talking about fire, mortgage rates, discouraging relocation intentions, um Corney 508 00:29:12,160 --> 00:29:15,600 Speaker 1: Donahoe on w h F and Louisville fed excess putting 509 00:29:15,600 --> 00:29:18,840 Speaker 1: workers in its free unit on furlough at demand slows. 510 00:29:19,240 --> 00:29:22,280 Speaker 1: I'm Jeff Bullinger and on w i O D in Miami, 511 00:29:22,400 --> 00:29:25,120 Speaker 1: I'm reporting on a new ranking of the world's best 512 00:29:25,240 --> 00:29:28,920 Speaker 1: cruise lines. I'm Caroline he called Bloomberg d ab Disturbator 513 00:29:28,960 --> 00:29:31,280 Speaker 1: in London. We've been reporting on the new jobs data 514 00:29:31,400 --> 00:29:34,360 Speaker 1: for the UK showing WAG is growing at their fastest 515 00:29:34,400 --> 00:29:37,560 Speaker 1: pace in over a year. I'm John Donnager telling w 516 00:29:37,560 --> 00:29:40,800 Speaker 1: w J listeners in Detroit. Host Atlantis says it's working 517 00:29:40,840 --> 00:29:44,520 Speaker 1: to provide minority on businesses more opportunity in the shift 518 00:29:44,520 --> 00:29:46,960 Speaker 1: to e v S. I'm kimber leads it on w 519 00:29:47,120 --> 00:29:49,640 Speaker 1: b Z in Boston. I'll be reporting on another tech 520 00:29:49,680 --> 00:29:52,600 Speaker 1: giant flashing job. Those are some of the stories our 521 00:29:52,640 --> 00:29:55,800 Speaker 1: twenty Bloomberg journalists and analysts working on this morning around 522 00:29:55,840 --> 00:29:58,120 Speaker 1: the world. It's five thirty nine on Wall Street. The 523 00:29:58,160 --> 00:30:02,160 Speaker 1: following is an editorial from Bloomberg Opinion. This editorial was 524 00:30:02,200 --> 00:30:06,120 Speaker 1: written by the Bloomberg Editorial Board. Incoming Israeli Prime Minister 525 00:30:06,160 --> 00:30:09,040 Speaker 1: of Benjamin Netanyah, who is forming a government that may 526 00:30:09,080 --> 00:30:11,840 Speaker 1: well be the most radical in his reel's history, having 527 00:30:11,880 --> 00:30:16,160 Speaker 1: alienated other frightening figures during his previous stints in power, D'tigyah, 528 00:30:16,160 --> 00:30:18,440 Speaker 1: who is now dependent on a far right block known 529 00:30:18,440 --> 00:30:22,280 Speaker 1: as religious Scionism, yet indulging that block's most extreme demands 530 00:30:22,280 --> 00:30:27,560 Speaker 1: would be deeply corrosive to Israel's democracy and its international standing. d'Artagnan, 531 00:30:27,640 --> 00:30:29,560 Speaker 1: who needs to limit the sway of fire brands in 532 00:30:29,600 --> 00:30:33,560 Speaker 1: his cabinet and condemn inflammatory and bigoted rhetoric. He should 533 00:30:33,600 --> 00:30:37,000 Speaker 1: also attempt to repair relations with more mainstream conservative parties 534 00:30:37,280 --> 00:30:40,000 Speaker 1: so that he might eventually broaden his coalition and dilute 535 00:30:40,040 --> 00:30:43,160 Speaker 1: Religious Scionism his influence. There is no way to preserve 536 00:30:43,240 --> 00:30:46,720 Speaker 1: Israel's Jewish and democratic character without one day establishing a 537 00:30:46,800 --> 00:30:50,840 Speaker 1: viable Palestinian state. However far off that prospect seems now, 538 00:30:51,200 --> 00:30:53,640 Speaker 1: neither side should be taken steps that drive it even 539 00:30:53,680 --> 00:30:57,800 Speaker 1: farther away. This editorial was written by the Bloomberg Editorial Board. 540 00:30:58,000 --> 00:31:00,640 Speaker 1: For more Bloomberg opinion, please go to Bloomberg dot com, 541 00:31:00,680 --> 00:31:04,200 Speaker 1: slash Opinion or opie I n go on the Bloomberg Terminal. 542 00:31:04,560 --> 00:31:07,640 Speaker 1: This has been Bloomberg opinion, and you can hear Bloomberg 543 00:31:07,720 --> 00:31:11,360 Speaker 1: opinion editorials every weekday at this time. Terminal customers can 544 00:31:11,400 --> 00:31:14,280 Speaker 1: read more at O P I n go, SMP Futures 545 00:31:14,320 --> 00:31:16,280 Speaker 1: up twenty eight points down dead features up a hundred 546 00:31:16,320 --> 00:31:18,520 Speaker 1: thirty seven, nest At features up a hundred thirty three. 547 00:31:18,720 --> 00:31:23,720 Speaker 1: This is Bloomberg. The Bloomberg Sports Report was brought to 548 00:31:23,720 --> 00:31:25,720 Speaker 1: you by Audie. You don't let someone else drive off 549 00:31:25,720 --> 00:31:28,000 Speaker 1: in the Audi model you've always wanted. Visit your local 550 00:31:28,000 --> 00:31:30,360 Speaker 1: Trice state, Autie Deal, get behind the wheel of yours today, 551 00:31:30,840 --> 00:31:37,720 Speaker 1: or visit Outie Offers dot com for more information, markets, 552 00:31:37,840 --> 00:31:40,920 Speaker 1: headlines and breaking news twenty four hours a day at 553 00:31:40,920 --> 00:31:44,320 Speaker 1: Bloomberg dot com, the Bloomberg Business At and at Bloomberg 554 00:31:44,400 --> 00:31:53,640 Speaker 1: Quick Tape. This is a Bloomberg Business Flash, and I'm 555 00:31:53,680 --> 00:31:57,400 Speaker 1: Karen Moscow and Usnock index futures are on the rise 556 00:31:57,520 --> 00:31:59,880 Speaker 1: this morning, and we check the markets every fifteen minutes 557 00:32:00,000 --> 00:32:02,960 Speaker 1: about the trading day. On Bloomberg S and P future 558 00:32:03,000 --> 00:32:05,960 Speaker 1: is up twenty nine points down. Futures have onety two 559 00:32:05,960 --> 00:32:08,240 Speaker 1: and as deck futures have one d thirty eight. The 560 00:32:08,360 --> 00:32:10,760 Speaker 1: decks in Germany's down two tenths of upper sent the 561 00:32:10,760 --> 00:32:13,000 Speaker 1: ten year treasury of eleven thirty seconds, you have three 562 00:32:13,000 --> 00:32:15,040 Speaker 1: point eight one percent. They yield on the two year 563 00:32:15,080 --> 00:32:18,440 Speaker 1: four point three five percent. NIMEX Scrude oil is down 564 00:32:18,480 --> 00:32:20,840 Speaker 1: eight tenths per center seventy one cents at eighty five 565 00:32:20,920 --> 00:32:23,960 Speaker 1: dollars sixteen cents of barrel comexs golled up two tens 566 00:32:24,000 --> 00:32:26,440 Speaker 1: per cent or two dollars eighties cents at seventeen seventy 567 00:32:26,520 --> 00:32:29,680 Speaker 1: nine sixty ounce. The Euro one point oh four three 568 00:32:29,760 --> 00:32:32,520 Speaker 1: three against a dollar, British pound one point s zero, 569 00:32:32,600 --> 00:32:35,240 Speaker 1: the En one thirty nine point two seven, and big 570 00:32:35,280 --> 00:32:39,120 Speaker 1: coins up two point seven percent at sixteen thousand, eight 571 00:32:39,240 --> 00:32:42,400 Speaker 1: hundred dollars. That's a Bloomberg business clash. Now here's Michael 572 00:32:42,400 --> 00:32:44,920 Speaker 1: Barr with Moore on what's going on around the world. Michael, 573 00:32:45,200 --> 00:32:48,200 Speaker 1: thank you. Very much, Karen Tonight, Former President Trump plans 574 00:32:48,200 --> 00:32:51,280 Speaker 1: to announce another run for the White House. Advisors say 575 00:32:51,320 --> 00:32:54,480 Speaker 1: the new campaign will likely be based in South Florida 576 00:32:54,520 --> 00:32:57,880 Speaker 1: instead of Washington, send a majority. Leader. Chuck Schumert eat 577 00:32:57,960 --> 00:33:00,920 Speaker 1: up a boat to start debate this eek on legislation 578 00:33:01,000 --> 00:33:04,800 Speaker 1: protecting same sex marriage. After the bill's sponsors agreed on 579 00:33:04,960 --> 00:33:08,440 Speaker 1: changes intended to draw enough Republican votes to win passage, 580 00:33:08,800 --> 00:33:12,040 Speaker 1: Schumer says the first procedural vote will be tomorrow. In 581 00:33:12,080 --> 00:33:15,400 Speaker 1: the NFL, undefeated no more. The Eagles lost with the 582 00:33:15,400 --> 00:33:18,800 Speaker 1: Commanders thirty two one in the NBA, and the Celtics 583 00:33:18,800 --> 00:33:22,840 Speaker 1: have won seventh straight, beating the Thunder one two. The 584 00:33:22,880 --> 00:33:27,080 Speaker 1: Warriors also one in the NHL. The Islanders one Global 585 00:33:27,120 --> 00:33:29,600 Speaker 1: News twenty four hours a day on air and on 586 00:33:29,680 --> 00:33:33,440 Speaker 1: Bloomberg Quicktake, powered by more than twenty seven hundred journalists 587 00:33:33,440 --> 00:33:36,920 Speaker 1: and analysts more than twenty countries. Michael Barr and this 588 00:33:37,120 --> 00:33:39,640 Speaker 1: is Bloomberg. Nathan. Okay, Michael, thank you. We're coming up 589 00:33:39,680 --> 00:33:42,400 Speaker 1: to five forty nine on Wall Street Live from the 590 00:33:42,400 --> 00:33:46,120 Speaker 1: Bloomberg Interactive Brokers Studios. This is Bloomberg Daybreak, and we're 591 00:33:46,160 --> 00:33:49,640 Speaker 1: joined now by Amanda A Gotti, chief investment officer at 592 00:33:49,680 --> 00:33:52,520 Speaker 1: PNC Financial Services Group. It's great to speak with you 593 00:33:52,600 --> 00:33:55,160 Speaker 1: this morning, Amanda. Thanks for being here, especially on a 594 00:33:55,200 --> 00:33:57,760 Speaker 1: morning where we're seeing a pretty nice lift in the 595 00:33:57,800 --> 00:34:03,480 Speaker 1: futures after yesterday is declined. You buy into this rally, well, 596 00:34:03,520 --> 00:34:05,600 Speaker 1: it's nice to be with you. Thanks for having me. 597 00:34:05,720 --> 00:34:07,600 Speaker 1: I would love to buy into it, but I think 598 00:34:07,640 --> 00:34:10,399 Speaker 1: it's a little bit of false hope because I think 599 00:34:10,400 --> 00:34:13,680 Speaker 1: the market is sort of blindly hanging its hat on 600 00:34:13,880 --> 00:34:17,319 Speaker 1: last week's CPI report. Um, and that you know, the 601 00:34:17,360 --> 00:34:19,919 Speaker 1: Fed is ultimately going to use that data point as 602 00:34:19,920 --> 00:34:21,960 Speaker 1: the point to pivot, and I think it's a little 603 00:34:22,000 --> 00:34:25,200 Speaker 1: bit too soon to claim victory and the war on inflation. Yeah, 604 00:34:25,200 --> 00:34:27,480 Speaker 1: and it's going to set us up for the producer 605 00:34:27,560 --> 00:34:30,560 Speaker 1: Price Index that we're going to get later this morning. 606 00:34:30,560 --> 00:34:34,520 Speaker 1: I know that there's some division between consumer and producer 607 00:34:34,600 --> 00:34:37,840 Speaker 1: prices in terms of how they feed into the inflation picture, 608 00:34:37,920 --> 00:34:40,120 Speaker 1: But do you think what we get from the pp 609 00:34:40,239 --> 00:34:43,239 Speaker 1: I today it could be a similar catalyst to that 610 00:34:43,680 --> 00:34:47,719 Speaker 1: huge rally we saw last week. Well, the expectation is 611 00:34:47,800 --> 00:34:51,600 Speaker 1: not certainly to see as much progress as what the 612 00:34:51,680 --> 00:34:54,719 Speaker 1: CPI report showed is very modest in terms of the 613 00:34:54,760 --> 00:34:58,040 Speaker 1: improvement about a tense of a percentage point on both 614 00:34:58,080 --> 00:35:01,080 Speaker 1: headline and core. So you know, we need to see 615 00:35:01,120 --> 00:35:04,160 Speaker 1: some forward progress. We need to get more data behind 616 00:35:04,320 --> 00:35:06,680 Speaker 1: us that suggests that the FED is starting to gain 617 00:35:06,760 --> 00:35:10,520 Speaker 1: some ground against the inflation backdrop. But I don't think 618 00:35:10,520 --> 00:35:12,480 Speaker 1: that the PPI report is going to be the shot 619 00:35:12,480 --> 00:35:14,880 Speaker 1: in the arm for the market that cp I was 620 00:35:15,040 --> 00:35:17,240 Speaker 1: last week. I mean, I think it's important to note 621 00:35:17,280 --> 00:35:20,279 Speaker 1: that um core p p I is already lower than 622 00:35:20,320 --> 00:35:22,759 Speaker 1: core cp I, but in a case of both, they're 623 00:35:22,800 --> 00:35:25,759 Speaker 1: still just much too high to call off the feed 624 00:35:25,800 --> 00:35:29,280 Speaker 1: at this juncture. So you don't think that the CPI 625 00:35:29,360 --> 00:35:32,440 Speaker 1: that we got last week is going to be enough 626 00:35:32,760 --> 00:35:35,920 Speaker 1: for the FED to think about at least slowing down 627 00:35:36,120 --> 00:35:39,040 Speaker 1: rate hikes. I mean, we got those comments yesterday from 628 00:35:39,040 --> 00:35:42,359 Speaker 1: FED Vice chair Lyle Brainer that it may be appropriate 629 00:35:42,520 --> 00:35:46,960 Speaker 1: to start thinking about slowing rate hikes soon. Well, I'm 630 00:35:47,000 --> 00:35:49,239 Speaker 1: hoping and praying and wishing it. At the top of 631 00:35:49,239 --> 00:35:52,239 Speaker 1: my Christmas wish list is actually have said pause. It's 632 00:35:52,280 --> 00:35:54,520 Speaker 1: not even really a pivot. I mean, my definition of 633 00:35:54,560 --> 00:35:58,760 Speaker 1: a pivot is not slowing the pace of rate hikes, 634 00:35:58,760 --> 00:36:02,800 Speaker 1: but market certainly affecting to slow things down. Here fifty 635 00:36:02,840 --> 00:36:06,000 Speaker 1: basis points in December, another fifty and February and then 636 00:36:06,040 --> 00:36:08,840 Speaker 1: twenty five and I think it's March. And so that 637 00:36:09,040 --> 00:36:12,680 Speaker 1: is definitely an improvement relative to these big outside you 638 00:36:12,719 --> 00:36:15,680 Speaker 1: know basis point back to back rate heights, and so 639 00:36:16,040 --> 00:36:18,560 Speaker 1: that is definitely going to be a bit of a 640 00:36:18,600 --> 00:36:22,239 Speaker 1: calming effect for markets. But the reality is one you 641 00:36:22,280 --> 00:36:25,400 Speaker 1: know data point or one FED meeting versus another is 642 00:36:25,400 --> 00:36:28,200 Speaker 1: not really what matters ultimately for the market. It's where 643 00:36:28,239 --> 00:36:32,160 Speaker 1: the end state for monetary policy lands. And we're heading 644 00:36:32,200 --> 00:36:36,120 Speaker 1: into very very restrictive territory. For Yeah, I was gonna 645 00:36:36,160 --> 00:36:38,960 Speaker 1: say that would be the ultimate Christmas surprise if we 646 00:36:39,080 --> 00:36:42,800 Speaker 1: got a pause next month. I what is your path? 647 00:36:43,200 --> 00:36:45,240 Speaker 1: I think you laid out your path for FED hikes. 648 00:36:45,280 --> 00:36:49,800 Speaker 1: What's it gonna mean for the the trajectory for stocks 649 00:36:49,920 --> 00:36:54,600 Speaker 1: as we head into three thinking about at least a 650 00:36:54,640 --> 00:36:59,759 Speaker 1: little bit of a decline in the punch bowl. Well, 651 00:36:59,800 --> 00:37:02,960 Speaker 1: I certainly think that there's some tougher days ahead of us, 652 00:37:02,960 --> 00:37:06,799 Speaker 1: and that feels a strong statement given how challenging two was. 653 00:37:06,880 --> 00:37:11,520 Speaker 1: But uh, I think based on historical tightening cycles, the 654 00:37:11,680 --> 00:37:14,799 Speaker 1: said never raised rates to four point six percent that's 655 00:37:14,840 --> 00:37:17,040 Speaker 1: sort of the terminal rate based on the current DOP 656 00:37:17,080 --> 00:37:20,640 Speaker 1: plot and not tip us into recession. And based on 657 00:37:20,680 --> 00:37:23,760 Speaker 1: the last said meeting, they're hinting at moving that terminal 658 00:37:23,880 --> 00:37:26,560 Speaker 1: rate even higher. And so I think it's starting to 659 00:37:26,640 --> 00:37:30,640 Speaker 1: become maybe not a probability, but pretty darn close to 660 00:37:30,680 --> 00:37:33,400 Speaker 1: a foregone conclusion that if they go all that way 661 00:37:34,280 --> 00:37:36,960 Speaker 1: from a monetary policy perspective, that it's going to tip 662 00:37:37,040 --> 00:37:40,200 Speaker 1: us into recession. And I think what sort of lagging 663 00:37:40,280 --> 00:37:44,080 Speaker 1: behind that story is the earnings recession. It's really the 664 00:37:44,160 --> 00:37:46,440 Speaker 1: last quarter or so we're starting to talk about the 665 00:37:46,480 --> 00:37:49,920 Speaker 1: concept of an earnings recession coming to fruition. So I 666 00:37:49,960 --> 00:37:52,920 Speaker 1: think there's more downside uh to the market if we 667 00:37:53,000 --> 00:37:55,879 Speaker 1: start to see the bottom, you know, meaningfully fall out 668 00:37:55,880 --> 00:37:59,520 Speaker 1: of earnings, we're not price the recessionary valuation levels, So 669 00:38:00,000 --> 00:38:02,520 Speaker 1: I think there could easily be another ten to fifteen 670 00:38:02,640 --> 00:38:07,160 Speaker 1: percent downside at that at both of those recessionary environments 671 00:38:07,200 --> 00:38:10,160 Speaker 1: come to fruition. In twenty three, got about thirty seconds 672 00:38:10,239 --> 00:38:12,560 Speaker 1: left here, Amanda, wonder if I could get your take 673 00:38:12,719 --> 00:38:15,960 Speaker 1: on the meltdown we're seeing in the crypto market with 674 00:38:16,080 --> 00:38:19,680 Speaker 1: the ft X bankruptcy and whether there's any potential contagion 675 00:38:19,760 --> 00:38:22,600 Speaker 1: risk across the market from that, well, I'd love to 676 00:38:22,600 --> 00:38:26,239 Speaker 1: plead the fifth on that one. Okay, we've gotten a 677 00:38:26,400 --> 00:38:30,040 Speaker 1: lot of questions from clients about what's going on there. 678 00:38:30,040 --> 00:38:32,760 Speaker 1: I mean, I think we need to be very close 679 00:38:32,800 --> 00:38:35,520 Speaker 1: to that story and pay close attention to it, given 680 00:38:36,080 --> 00:38:38,640 Speaker 1: you know, what looks like a lot of fraudulent potential 681 00:38:38,719 --> 00:38:41,960 Speaker 1: activity thereby, I don't think that there's necessarily a contagion 682 00:38:42,080 --> 00:38:45,520 Speaker 1: or still over type of effect, which is still early days. 683 00:38:45,560 --> 00:38:48,160 Speaker 1: I think we're learning more day by day, but for 684 00:38:48,280 --> 00:38:53,320 Speaker 1: now we think it's largely contained. It does definitely dampen, uh, 685 00:38:53,360 --> 00:38:56,120 Speaker 1: the outlook for crypto in general. You know, this is 686 00:38:56,160 --> 00:38:58,840 Speaker 1: a big exchange, and so what is the next shoot 687 00:38:58,880 --> 00:39:01,120 Speaker 1: to dropper? Is there a next shoe to drop? I 688 00:39:01,200 --> 00:39:04,919 Speaker 1: think it really rattles the confidence of crypto investors. Really 689 00:39:04,960 --> 00:39:07,680 Speaker 1: appreciate your perspective, Amanda, Thanks again for coming on with 690 00:39:07,760 --> 00:39:10,680 Speaker 1: us early this Amanda Gotti with us this morning. Chief 691 00:39:10,719 --> 00:39:14,400 Speaker 1: investment Officer at p n C. Karen Nathan. It is 692 00:39:14,440 --> 00:39:16,880 Speaker 1: five fifty four on Walla Street. Time for the Bloomberg 693 00:39:17,000 --> 00:39:21,600 Speaker 1: Law Report, brought to you by American Arbitration Association and 694 00:39:22,719 --> 00:39:26,919 Speaker 1: Sam Bankman free It's crypto exchange plunge into bankruptcy last week. 695 00:39:26,920 --> 00:39:28,799 Speaker 1: We're looking at f t X right now. It took 696 00:39:28,840 --> 00:39:31,279 Speaker 1: a large chunk of the digital assets space down with it. 697 00:39:31,440 --> 00:39:34,840 Speaker 1: And again this is upbrought to you by American Arbitration Association. 698 00:39:35,080 --> 00:39:39,440 Speaker 1: Business disputes are inevitable, resolve faster with the American Arbitration Association, 699 00:39:39,680 --> 00:39:43,200 Speaker 1: the global leader in alternative dispute resolution for over ninety years. 700 00:39:43,239 --> 00:39:45,719 Speaker 1: More at a dr dot org. Now we want to 701 00:39:45,719 --> 00:39:48,560 Speaker 1: talk more about this epic collapse at f t X 702 00:39:48,600 --> 00:39:51,440 Speaker 1: and how it began and what comes next. Bloomberg's Carol 703 00:39:51,520 --> 00:39:55,920 Speaker 1: Masser and Tim Stenovic spoke with investigative reporter Annie Massa. 704 00:39:56,560 --> 00:39:59,000 Speaker 1: The main takeaway is, as we saw on the balance sheet, 705 00:39:59,200 --> 00:40:03,120 Speaker 1: it's littered of these tokens that are effectively you know, 706 00:40:03,480 --> 00:40:06,160 Speaker 1: magic ferry dust, that have no kind of inherent value 707 00:40:06,160 --> 00:40:07,719 Speaker 1: in serum. Is one of that that was tied to 708 00:40:08,080 --> 00:40:10,879 Speaker 1: a kind of protocol that had various promises like all 709 00:40:10,880 --> 00:40:14,360 Speaker 1: of these blockchain protocols did and um, but you know, 710 00:40:14,440 --> 00:40:16,560 Speaker 1: it made up something like on the balance sheet two 711 00:40:16,600 --> 00:40:19,520 Speaker 1: point two billion dollars of ft x's assets that are 712 00:40:19,719 --> 00:40:23,120 Speaker 1: you know, of course effectively worth uh nothing now, so 713 00:40:23,280 --> 00:40:25,279 Speaker 1: that was just one piece and and to get a 714 00:40:25,320 --> 00:40:29,760 Speaker 1: grant from that serum um from serum affiliated entities took nothing. 715 00:40:29,800 --> 00:40:32,040 Speaker 1: But you know, sending a slide deck to on an 716 00:40:32,320 --> 00:40:36,480 Speaker 1: on an encrypted messaging chot um with with zero kind 717 00:40:36,480 --> 00:40:39,160 Speaker 1: of accountability. So I mean, you know, this was a 718 00:40:39,160 --> 00:40:42,600 Speaker 1: man who taking money hand over fist from vcs U 719 00:40:42,760 --> 00:40:45,920 Speaker 1: and institutional investors and uh it's it's kind of a 720 00:40:45,960 --> 00:40:50,680 Speaker 1: sobrain thing. So how does this happen? How does he 721 00:40:50,719 --> 00:40:53,200 Speaker 1: get to do this with a lot of smart people 722 00:40:53,239 --> 00:40:56,360 Speaker 1: giving him money? Was this a case of there weren't 723 00:40:56,520 --> 00:41:00,239 Speaker 1: procedures people in place to keep track what happened? End? 724 00:41:01,040 --> 00:41:03,560 Speaker 1: It's a great question. Um. I think that you have 725 00:41:03,800 --> 00:41:07,479 Speaker 1: to think through what questions were being asked. Because Sam 726 00:41:07,480 --> 00:41:10,400 Speaker 1: bankmin Fried put himself out there. He was at every conference, 727 00:41:10,640 --> 00:41:15,000 Speaker 1: he was on every podcast, he was on Twitter. God knows, 728 00:41:16,160 --> 00:41:19,200 Speaker 1: I don't ask the right but people didn't seem to 729 00:41:19,200 --> 00:41:21,480 Speaker 1: be asking the right questions of what actually he was 730 00:41:21,880 --> 00:41:24,120 Speaker 1: using his money for, where was he really getting it, 731 00:41:24,320 --> 00:41:26,279 Speaker 1: or paying attention to the fact that it was all 732 00:41:26,320 --> 00:41:30,560 Speaker 1: coming from an unregulated um, unregulated basically what some would 733 00:41:30,600 --> 00:41:33,600 Speaker 1: call an unregulated casino in the Bahamas. So that's that's 734 00:41:33,600 --> 00:41:35,560 Speaker 1: as much as we knew, but there's a lot more 735 00:41:35,600 --> 00:41:39,560 Speaker 1: to come, and that's Bloomberg investigative reporter Annie Massa staking 736 00:41:39,600 --> 00:41:43,080 Speaker 1: with the Bloomberg's Carol Masster and Tim Stenovic. Catch more 737 00:41:43,120 --> 00:41:46,000 Speaker 1: of that interview, plus analysis of the latest legal news, 738 00:41:46,040 --> 00:41:49,239 Speaker 1: by subscribing to the Bloomberg Law Podcast or downloading this 739 00:41:49,320 --> 00:41:52,960 Speaker 1: show at Bloomberg dot com slash podcast. Attorneys can find 740 00:41:53,000 --> 00:41:56,439 Speaker 1: exceptional legal research and business development tools at Bloomberg Law 741 00:41:56,520 --> 00:41:59,719 Speaker 1: dot com and now the Bloomberg terminal at g law Go. 742 00:42:00,480 --> 00:42:04,400 Speaker 1: Futures this morning are on the rise. SMP futures up 743 00:42:04,400 --> 00:42:07,520 Speaker 1: almost twenty eight points now futures have one hundred thirty 744 00:42:07,560 --> 00:42:10,439 Speaker 1: five and NASDACK futures have one hundred thirty five as well. 745 00:42:10,480 --> 00:42:13,560 Speaker 1: That's up about one point two percent. The docks in 746 00:42:13,600 --> 00:42:15,879 Speaker 1: Germany's down to tens of a percent, while the cack 747 00:42:15,920 --> 00:42:17,920 Speaker 1: in Paris is up three tents of up percent, and 748 00:42:17,960 --> 00:42:20,319 Speaker 1: the foot see one hundred is little changed. Ten year 749 00:42:20,360 --> 00:42:23,200 Speaker 1: Treasury up thirteen thirty seconds you three point eight zero 750 00:42:23,280 --> 00:42:26,880 Speaker 1: percent yield on the two year four point three four percent. 751 00:42:27,360 --> 00:42:30,279 Speaker 1: NIMEX screwed oil is down one percent or eighty three 752 00:42:30,280 --> 00:42:33,120 Speaker 1: cents and eighty five dollars four cents of barrel comes 753 00:42:33,160 --> 00:42:35,279 Speaker 1: gold up to tens per cent or two dollars ninety 754 00:42:35,360 --> 00:42:38,800 Speaker 1: cents at seventeen seventy nine seventy announced. Still ahead on 755 00:42:38,880 --> 00:42:41,480 Speaker 1: Bloomberg day Break and check on the business headlines and 756 00:42:41,520 --> 00:42:44,319 Speaker 1: all the news you need to start your day. And 757 00:42:44,520 --> 00:42:45,960 Speaker 1: this is Bloomberg