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Speaker 1: Welcome to the Bloomberg Markets Podcast. I'm Paul Sweeney alongside

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Speaker 1: my co host Matt Miller. Every business day we bring

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Speaker 1: you interviews from CEOs, market pros, and Bloomberg experts, along

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Speaker 1: with essential market moving news. Find the Bloomberg Markets Podcast

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Speaker 1: on Apple Podcasts or wherever you listen to podcasts, and

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Speaker 1: at Bloomberg dot com slash podcast. Well, the money machine

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Speaker 1: that is better known as the NFL did it again.

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Speaker 1: They sat down with their broadcast quote unquote partners, negotiated

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Speaker 1: new deals beginning a couple of years, and they're going

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Speaker 1: all the way to the bank, and that includes going

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Speaker 1: digital in a big way with a Thursday Night package.

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Speaker 1: Let's break it all down. We can do that with

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Speaker 1: Neil Pilson. He's a founder and president of Pilson Communications,

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Speaker 1: former president of CBS Sports. Neil, thanks so much for

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Speaker 1: joining us here. Let's start with the Amazon aspect to

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Speaker 1: this deal. Boy, it's the first time where you get

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Speaker 1: a big digital player stepping up and getting a notable package,

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Speaker 1: in this case Thursday Night game. What do you make

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Speaker 1: of that? Well, I'm not surprised. Uh. The other networks,

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Speaker 1: the broadcast networks didn't want it. They didn't have much

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Speaker 1: interest in Thursday Night. It was expensive, the schedule wasn't

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Speaker 1: that good. They didn't need it as long as they

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Speaker 1: retained their Sunday afternoon, Sunday Night, and Monday night schedules. Uh. Frankly, Uh,

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Speaker 1: the NFL didn't have interest from from those guys. So

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Speaker 1: the digital components understandable, Uh, predictable. But I think, frankly,

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Speaker 1: the big story you missed. The big story is the

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Speaker 1: broadcast networks and ESPN reaffirmed their permanence uh in broadcast

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Speaker 1: sports for the next eleven years. I think everybody was predicting,

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Speaker 1: you know, the demise of the networks, the end of

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Speaker 1: living your television. Uh, the networks are going to go away. Uh. No,

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Speaker 1: the networks are here too, here for the next eleven years. Uh.

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Speaker 1: That's the important story. I think the fact that Thursday

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Speaker 1: Night went to digital is is predictable. Uh. It represents

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Speaker 1: about I think thirteen of the total financial pie. But

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Speaker 1: the fact is that on just about every major sport

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Speaker 1: where uh there was broadcast television and digital television side

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Speaker 1: by side, digital never got over five. So uh, you know,

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Speaker 1: one day, yes, we probably will all be in the

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Speaker 1: digital format. But right now, the broadcast networks I think

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Speaker 1: got to be very pleased with their packages, Neil, I

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Speaker 1: mean to that to your point, cable systems must be

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Speaker 1: so happy about this, because I can't think of any

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Speaker 1: other reason I would stay with an the top box

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Speaker 1: other than being able to get network sports. I mean,

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Speaker 1: is that the only big Isn't that a huge big

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Speaker 1: draw for cable? Sure, it is very important to them.

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Speaker 1: The cable folks have to be very pleased with the

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Speaker 1: outcome of the NFL negotiations, no question about it. But

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Speaker 1: even more pleased are the television station and the television networks,

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Speaker 1: the broadcasters, because I don't think the NFL is going

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Speaker 1: to be the only UH network to continue with broadcast

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Speaker 1: television with its major major events. I can't see the

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Speaker 1: NBA moving away. UH. The NHL just made a long

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Speaker 1: term deal with ESPN, which is more UH in the

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Speaker 1: broadcaster mode. UH. They're actually a hybrid because they have

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Speaker 1: SPN plus, but ESPN is regarded as one of the

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Speaker 1: traditional broadcasters. UH. Then you have Major League Baseball, which

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Speaker 1: basically has long term agreements with with the with the broadcasters. UH.

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Speaker 1: So it's a it's a statement. The Olympics are long

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Speaker 1: term with the broadcasters. I'm running through in my mind.

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Speaker 1: The n c A A tournament is long term with

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Speaker 1: CBS and Turner. My point is that those in the

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Speaker 1: media who predicted the end of linear television, they were wrong.

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Speaker 1: There it's continuing. Uh, it's going to have to share

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Speaker 1: the spectrum and share audience with digital, but linear television

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Speaker 1: for the foreseeable future. And I think we're talking now

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Speaker 1: about the next ten years is going to be a force.

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Speaker 1: It's it's it's real. It's uh, it's not going away. Hey, Neil,

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Speaker 1: I want to talk about the economics of some of

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Speaker 1: these rights deals. It's just downs me here. Every time

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Speaker 1: they come up from renewal, the fee seemed to double.

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Speaker 1: And I remember your former boss, Mel Karmers and at

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Speaker 1: CBS when they when CBS got its package back that

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Speaker 1: it had lost years ago. He famously said that an

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Speaker 1: investor conference, when asked about the profitability, we will make

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Speaker 1: a dollar is what he said, basically implying that's a

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Speaker 1: break even business. And obviously they look at sports playing

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Speaker 1: it a little further. Okay, I was there when we

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Speaker 1: lost the NFL yes with Larry Tish back in four uh,

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Speaker 1: and I predicted to Larry that CBS would lose more

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Speaker 1: money without the NFL then they might lose with the NFL.

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Speaker 1: He didn't believe me. Well, it happened, and four years later,

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Speaker 1: CBS came crawling back to the NFL saying basically, give

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Speaker 1: us any package, name your price. We've got to get

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Speaker 1: back with professional football. And they did. Uh. NBC went

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Speaker 1: through the same discussion because NBC had a slightly stronger network.

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Speaker 1: They lasted eight years without the NFL, then they came

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Speaker 1: crawling back. So, uh, it's not the issue of whether

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Speaker 1: you make any money or lose any money. The issue

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Speaker 1: is will you lose more money if you lose the NFL.

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Speaker 1: And the answer to that is yes. And that explains

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Speaker 1: the current deal. Is the is the NFL completely dominant?

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Speaker 1: I mean we have Neil international listeners who maybe you

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Speaker 1: don't understand the importance of football, you know, American football

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Speaker 1: in America. The word is completely and I think you

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Speaker 1: used it. Yes, it is the dominant. Uh. You know,

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Speaker 1: you look at the NFL ratings on a given weekend,

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Speaker 1: if you include the pregame shows and and Thursday Friday said, Thursday, Saturday, Thursday, Sunday, Monday,

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Speaker 1: the NFL is getting seventy or eighty rating points every weekend,

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Speaker 1: and no other entertainment property or sports property comes close

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Speaker 1: to that. Uh. And it's and it's steady, it's it's

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Speaker 1: almost it is guaranteed just about. So it is totally

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Speaker 1: unique property, unique to the USA. But you know, you

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Speaker 1: look at World Cup ratings around the world. You look

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Speaker 1: at the the ratings that the Premier League gets, the

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Speaker 1: importance of European soccer, Well, this is our premier League

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Speaker 1: by a larger margin than in Europe because there's so

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Speaker 1: much more competition here. We have so many more professional

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Speaker 1: and college sports programming in the US compared to any

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Speaker 1: other country in the world. And the fact is the

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Speaker 1: NFL is the dominant by far. Is anything important property

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Speaker 1: entertainment property as well? Is anything? Uh do you see

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Speaker 1: any big growth anywhere? I mean, I'm living over here,

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Speaker 1: so I watch, you know, Formula one religiously. Everybody watches

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Speaker 1: Premier League, but it doesn't seem to have picked up

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Speaker 1: in the US. Is there anything that you see as

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Speaker 1: a shooting star as a big growth in terms of

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Speaker 1: sports properties? Well? Uh, first of all, is the major

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Speaker 1: properties occupy a tremendous amount of attention so it's very

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Speaker 1: hard to kind of grow into that stature. But frankly, uh,

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Speaker 1: international soccer is growing in the US, it is doing better.

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Speaker 1: International soccer gets much better ratings nationally than MLS. Uh.

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Speaker 1: That's not widely known, but MLS has very strong local interest,

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Speaker 1: but so far they have not cracked the national ratings. Uh.

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Speaker 1: Very well. Um, there, No, I don't. I don't see

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Speaker 1: any any new sport or any sport that currently exists

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Speaker 1: growing to the point where it is comparable to not

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Speaker 1: just NFL, but comparable to college football, which frankly is

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Speaker 1: the second highest rated programming. And then we have nine

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Speaker 1: or ten other other sports. You know, we have NASCAR,

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Speaker 1: we have the we have Major League Baseball, we have hockey,

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Speaker 1: we have the NBA, we have college basketball, we have

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Speaker 1: tennis and golf. No other network, no other country has

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Speaker 1: that level of major sports that takes up so much

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Speaker 1: audience it almost prevents a new sport from from growing

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Speaker 1: that quickly. It's true, It's true. I mean, Paul, you know,

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Speaker 1: soccer is everything here and there really isn't a second

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Speaker 1: run people watch another sport the way they do in

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Speaker 1: the US. Yeah, Hey, Neil, thanks so much for joining us.

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Speaker 1: I really appreciate it. Neil Pilson, founder and president of

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Speaker 1: Pilson Communications. We had the diplomats from the US and

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Speaker 1: China UH beginning a set of meetings yesterday in Alaska,

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Speaker 1: and apparently things did not get off on the right foot.

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Speaker 1: Let's see what that means for UH future discussions and

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Speaker 1: relations between the US and China. There's absolutely nobody better

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Speaker 1: that we like to talk to and we talk China

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Speaker 1: than Leland Miller. He's the CEO of the China based

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Speaker 1: book International. Leland, what should we take away from kind

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Speaker 1: of what we saw yesterday? A little bit unusual about

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Speaker 1: how you know, aggressive the rhetoric was on both sides. Yeah,

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Speaker 1: I've got a real kick out of all the reporting

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Speaker 1: from this because you know, the the reporting says that

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Speaker 1: that this broke down into acrimony and that there was

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Speaker 1: a tense exchange. You know, you know, look, both sides

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Speaker 1: got exactly what they wanted out of this event. Now

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Speaker 1: you know, there was never a chance of a reset.

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Speaker 1: There was never desired by at least the Biden side,

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Speaker 1: to really to move on the issues. Um, this is

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Speaker 1: this is the way that tract you dialogues are typically done.

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Speaker 1: So if if for anyone who hasn't participated in them.

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Speaker 1: You know, you have the US on one side and

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Speaker 1: they sort of look sternly across the table is saying,

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Speaker 1: we are America. We love democracy, we love our allies,

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Speaker 1: we love the rules based order. We are America. And

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Speaker 1: then on the other side of the table, you've got

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Speaker 1: the Chinese who's also have stern expressions, and they say,

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Speaker 1: you know, we are China. We are strong, we also

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Speaker 1: love democracy, we also love the rules based order, but

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Speaker 1: not your rules. We are strong by the way you

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Speaker 1: are weak. You know, we are China. And and this

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Speaker 1: is how these things work on a regular basis. Now

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Speaker 1: they don't have to have open, you know, sharp tones,

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Speaker 1: but this is sort of the back and forth they'll

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Speaker 1: be playing out for domestic audience on each side. So

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Speaker 1: the fact that this didn't accomplish anything or was there

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Speaker 1: was a lot of sort of loud pushback, that is

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Speaker 1: exactly what should have been expected from this. There was

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Speaker 1: never going to be a real accomplishment coming from this

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Speaker 1: meeting other than the two sides coming at each other saying, Okay,

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Speaker 1: we're tough and we're not going to give in. The

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Speaker 1: one accomplishment I thought they could achieve, and maybe they

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Speaker 1: still will. Is a meeting between Biden and hijin Ping,

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Speaker 1: or at least that was teased as a possibility on April.

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Speaker 1: Do you think it will happen. At some point, it

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Speaker 1: will happen. I don't. I don't see why the Biden

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Speaker 1: team would want it sooner. But you know, look on

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Speaker 1: on the one side, these are these are the two

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Speaker 1: most powerful nations in the world. The two leaders getting

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Speaker 1: together makes some sense. It's simply how you know, what's

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Speaker 1: the timing on this? If it does happen, I don't

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Speaker 1: expect anything really to come of it, other than at

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Speaker 1: some point in the first year. I do expect that

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Speaker 1: they're going to reopen a consolate or two. They're gonna

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Speaker 1: let some journalists back into China, perhaps some some some

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Speaker 1: goodwill gestures, But there's no desire right now on the

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Speaker 1: U S side to make serious concessions or to get

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Speaker 1: They don't really need anything from from from Beijing, so

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Speaker 1: there's no real desire for this for this to be

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Speaker 1: a priority right now. The big priority for Biden is

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Speaker 1: to not look weak on China so that his administration doesn't,

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Speaker 1: you know, encounter problems in Congress dealing with its other priorities.

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Speaker 1: So whether or not she in And and Biden meet

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Speaker 1: in the near future, which I wouldn't expect, but who knows.

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Speaker 1: I don't expect anything real to come of it anytime soon.

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Speaker 1: So Leland, what is the China policy or what will

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Speaker 1: be the China policy? What should be the China policy?

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Speaker 1: Do you think of the Biden administration um again towards China. Well,

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Speaker 1: what they're what they're saying now, and it's it's other

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Speaker 1: than you know, we're reviewing everything, is that we're going

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Speaker 1: to keep most elements of the Trump tough on China

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Speaker 1: policy in place, but we're going to adapt it over

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Speaker 1: time to our mindset, which is we need to but

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Speaker 1: more priority on consensus and bringing in allies, etcetera. Now,

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Speaker 1: the problem with that is it's a process, not a strategy.

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Speaker 1: So yes, it makes a lot of sense to do that,

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Speaker 1: But then where do you go with this? And they

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Speaker 1: don't know yet, And I think that there's some big

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Speaker 1: questions coming up with Taiwan, how we're gonna have how

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Speaker 1: the United States is gonna handle handle uh relations with Taiwan,

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Speaker 1: and and and certainly the tech company is a big

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Speaker 1: one UH. And then of course the Shinjong situation is

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Speaker 1: hang over everything because China is hosting the Olympics next

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Speaker 1: year and so there will be a lot of pressure

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Speaker 1: to back out of that. So a lot of big

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Speaker 1: decisions are coming out out of you know, to come

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Speaker 1: out in future months. But they don't have a set

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Speaker 1: policy on this yet right now. The messages we're dealing

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Speaker 1: with COVID, We're getting to that later, Leland. I've watched

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Speaker 1: the car industry and a couple of things necessary to

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Speaker 1: build a good ev rare earths and chips are seemingly

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Speaker 1: controlled by China, or at least you know, a large

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Speaker 1: portion of that industry is will we move it back

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Speaker 1: to the US or will we make a deal? Has

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Speaker 1: that get worked out? Yeah? I think to two issues

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Speaker 1: with semi god ducts, and look, there is nothing more

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Speaker 1: important than semiconductors and the semiconductor discussion right now. But

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Speaker 1: I think two issues are being conflated. And the first

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Speaker 1: is we've got a global semiconductor shortage, and that's due

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Speaker 1: to a lot of dynamics. There are supply dynamics, UH,

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Speaker 1: supply chain dynamics breaking down in COVID. There's some bad

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Speaker 1: decisions by companies like car companies on the demand side

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Speaker 1: not to order more. You've got some US China trade

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Speaker 1: stuff that's interfering. So you've got you've got a global

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Speaker 1: semi conductor shortage and that's gonna hit GDP and that's

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Speaker 1: hurting companies, and so there's just sort of a panic

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Speaker 1: coming out from from from different industries to do something

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Speaker 1: about it. Separate from that is you at the you know,

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Speaker 1: is US China competition at the very top of the

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Speaker 1: food chain, which is you know, uh seven animetor chip

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Speaker 1: fourteen animeter, chips seven five three going onto two in

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Speaker 1: the future, and right now there's only there are very

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Speaker 1: few companies that can produce is. Essentially Taiwan semi Conductor

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Speaker 1: is the company producing this, and the US is ring

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Speaker 1: fencing their production from going to China. So there's a

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Speaker 1: big debate, you know, are we too reliant on Taiwan

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Speaker 1: semi conductor? Should the US have other alternatives? Yes, this

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Speaker 1: is very important to discuss, but it's totally different from

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Speaker 1: the global semiconductor shortage that we're seeing right now across

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Speaker 1: this affecting markets in GDP. But people in industry right

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Speaker 1: now see subsidy dollars, and they're like, well, well let's

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Speaker 1: just talk about panic and and everything's anti China, so

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Speaker 1: let's let's get some more money findistry. The strategy is

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Speaker 1: not craft out in a way where it looks like

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Speaker 1: this thing is being done in a in a way

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Speaker 1: to really craft out an intelligence strategy on advanced chip manufacturing. Leland,

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Speaker 1: thanks so much for joining us. Really appreciate your insight.

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Speaker 1: Always fun talking to you as well. Leland Miller, CEO

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Speaker 1: of the China Beige Book International. All right, so Paul

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Speaker 1: was just talking about FedEx. They had surging package volumes

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Speaker 1: and price gains. Those two things offset increased labor costs.

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Speaker 1: But you know, for the economy, increased labor costs are

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Speaker 1: good too. Let's bring in UM right now, Christina Hooper,

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Speaker 1: she's the chief global market strategist for Investo. Christina, is this,

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Speaker 1: you know, one of the telltale signs of an economy

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Speaker 1: that is booming? Well, certainly it is, and that's what

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Speaker 1: we should be expecting. We are saying, UM, what is

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Speaker 1: likely to be a very robust and inclusive economic recovery

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Speaker 1: in and this is just part of of that kind

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Speaker 1: of of robust recovery. And when you say inclusive, explain that,

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Speaker 1: because that's definitely a buzzword these days. Is it really

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Speaker 1: going to Are we going to see women come back

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Speaker 1: in the labor force? Are we going to see people

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Speaker 1: of color come back in the labor force and get

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Speaker 1: pay raises? Well, I certainly think we're going to see

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Speaker 1: a more re entering the labor force. So when I

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Speaker 1: say inclusive, I'm thinking specifically about this being um, what

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Speaker 1: I would term a job full recovery recovery as opposed

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Speaker 1: to a job less recovery, which is what we saw

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Speaker 1: for a number of years following the global financial crisis.

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Speaker 1: I think this is going to be different because we

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Speaker 1: have more fiscal stimulus UM that that has been provided,

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Speaker 1: and because of the nature of this recovery. This is

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Speaker 1: not a confidence game. We're not trying to rebuild confidence.

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Speaker 1: We're not going to have a slow recovery. This is

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Speaker 1: a situation where, um, once we get enough vaccines in people, UM,

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Speaker 1: we are going to get closer to her immunity, and

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Speaker 1: it's going to be off to the racist. It's going

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Speaker 1: to be much more like a switch turning on. Christina,

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Speaker 1: what did you make of FED chairman Pale and his

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Speaker 1: comments earlier this week, he seemed to suggest that the

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Speaker 1: FED is still lower for longer. What did you take away?

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Speaker 1: So my takeaway is that he the Fed really means

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Speaker 1: what it says in terms of the policy framework changing,

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Speaker 1: and that they're really abandoning this concept of preemptive tightening.

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Speaker 1: That's really really important because that means they are going

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Speaker 1: to let this economy run because and if they do

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Speaker 1: see some kind of increase in inflation this year, they're

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Speaker 1: going to be most uh most predisposed to treat it

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Speaker 1: as transitory and sit on their hands. So this is

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Speaker 1: this is very exciting. It's a big departure from the past,

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Speaker 1: and so I think it's a positive for the economy. Now.

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Speaker 1: Of course, it can be a double edged sword for

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Speaker 1: markets because markets are worrying about a rise in inflation,

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Speaker 1: and of course that's causing or one of the reasons

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Speaker 1: why we're seeing that rise in in treasury yields. But

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Speaker 1: markets are only worried about a rising inflation, or mainly

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Speaker 1: worried about rising inflation because they think that will move

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Speaker 1: the FED to raise rates, thus killing the recovery. Right,

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Speaker 1: So if you take the FED at its word, that

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Speaker 1: they're gonna let the economy run hot because they believe

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Speaker 1: it's only transitory. Then you can assume that they're not

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Speaker 1: going to raise rates even if we see it, right,

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Speaker 1: That's part of it. This is almost a chicken and

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Speaker 1: egg conversation, right because uh, fear of inflation does have

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Speaker 1: an impact on the ten year yields, and so there

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Speaker 1: are concerns that if the Fed is not willing to

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Speaker 1: control uh the yield curve further out, that that is

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Speaker 1: going to present problems in and of itself, even if

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Speaker 1: it keeps the said funds right where it is. So

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Speaker 1: that can be a bit problematic, especially for the stock market, right,

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Speaker 1: And that's what we're seeing on days like today and

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Speaker 1: what we saw yesterday. All right, Christina, So given what

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Speaker 1: we have with this backdrop, will we heard from Chairman

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Speaker 1: Powell the expectations on inflation? Um, how are you you

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Speaker 1: guys at invest go where are you looking for opportunities

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Speaker 1: right now? So? First of all, Um, it is still

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Speaker 1: an environment that favors risk assets, especially if you have

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Speaker 1: a longer time horizon. But even if you have a

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Speaker 1: shorter time horizon, this year, I think we are going

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Speaker 1: to see stocks outperform other asset classes, but they're going

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Speaker 1: to do that with significantly more volatility. That's just the

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Speaker 1: nature of this recovery. We made huge gains in the

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Speaker 1: last year. Uh, and now we're going to be coming

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Speaker 1: up against a few headwinds. I think it's more a

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Speaker 1: matter of digestion, that that at each new level that

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Speaker 1: we hit with the ten year yield, that there is

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Speaker 1: going to be a period of digestion. But I still

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Speaker 1: think that this is going to be a positive year

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Speaker 1: for stocks. Uh. We're likely to see cyclicals the more

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Speaker 1: value side of the stock market outperformed growth this year,

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Speaker 1: but that doesn't mean to abandon growth. I think you

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Speaker 1: still want exposure there. And again, Uh, this is going

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Speaker 1: to be a year that underscores the importance of diversification.

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Speaker 1: To really smooth out that volatility, we need to have

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Speaker 1: exposure to a variety of asset classes. Are you, I

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Speaker 1: mean this conversation is focused on US assets, I guess,

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Speaker 1: but European stocks have also done well, and UM analysts

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Speaker 1: like European stocks, but we don't have vaccines getting into

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Speaker 1: arms the same way. Is that going to be a problem. Well,

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Speaker 1: I certainly think that's going to slow down the timeline

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Speaker 1: for an economic recovery in Europe. Also, the effect of

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Speaker 1: noss of of the vaccines being used in Europe may

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Speaker 1: play a role as well. Um, But if you're a

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Speaker 1: long term investor, that's not really that important. The timeline

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Speaker 1: can shift a little bit, can be delayed a little bit. Um,

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Speaker 1: it's more about valuations, uh, it's more about longer term

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Speaker 1: prospect and so I would say this is an environment

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Speaker 1: where valuations look very attractive in Europe, but they also

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Speaker 1: look attractive in Asia, especially Asia e m uh. And

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Speaker 1: so so that's an area as well to be looking at. Christina,

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Speaker 1: thank you so much for joining us. We always appreciate

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Speaker 1: getting your views on the markets on a global scale.

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Speaker 1: Christina Hooper, Chief Global Market Strategies for Investo. They have

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Speaker 1: one point three trillion with a T and assets under management.

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Speaker 1: They're located in a plant. Let's talk a little bit

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Speaker 1: more about vaccines right now. This is not just because

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Speaker 1: I'm angry or bitter that, Um, the place I live

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Speaker 1: is so slow. Well, you know what think the word

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Speaker 1: inefficient is a great word to use when talking about

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Speaker 1: Germany's vaccine delivery, and the same can be true can

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Speaker 1: be said. I should say about um other European countries.

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Speaker 1: Terres Raphael joins us to talk about why even Switzerland

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Speaker 1: has really dropped the ball compared with the efficiency of

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Speaker 1: states like West Virginia, um Terres. Normally we think of

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Speaker 1: Germanic people as super efficient. I guess that's just not true. Well,

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Speaker 1: in this case it seems not to be. And that's um,

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Speaker 1: you know, was for me the most surprising finding when

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Speaker 1: I began to question whether the problem was really all

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Speaker 1: about supply, because right the narrative has been that, um,

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Speaker 1: the countries that produced the vaccines and manufacturers, they're fine

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Speaker 1: and vaccinating their people, um. But um. But but other

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Speaker 1: places are starved to supply and therefore can't roll out

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Speaker 1: the vaccine. But when you drill down a little bit deeper,

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Speaker 1: it's not just the supply issue. Obvious, the supplies hugely important,

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Speaker 1: but some of the most vanted health care systems in

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Speaker 1: the world UH fall down on delivery. And that's for

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Speaker 1: a number of reasons. But one of the big ones

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Speaker 1: I found was a lack of basic electronic health records,

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Speaker 1: which you know, the World Health Organization has been pushing

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Speaker 1: for a long time, and only about half of developed

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Speaker 1: countries have it. But the places that have really good

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Speaker 1: digitized systems which enable them to get the message out UH,

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Speaker 1: to to have an efficient booking system to track who's

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Speaker 1: been vaccinated, those were places that were able to vaccine

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Speaker 1: at a higher rate. And there were other factors as well,

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Speaker 1: such as whether they were able to use kind of

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Speaker 1: traditional UM pathways for delivering healthcare, such as in the

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Speaker 1: UK with the National Health Service or in Israel with

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Speaker 1: the health maintenance organizations tryas. One of the issues that

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Speaker 1: we're finding here in the United States is reluctance from

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Speaker 1: some people sizeable percentage of population to get vaccines US

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Speaker 1: sometimes labeled as anti vaxers. Is that a big issue

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Speaker 1: across Europe? Is a very country to country. What are

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Speaker 1: they finding It definitely varies from country to country. So

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Speaker 1: in the UK UM we've found a really strong, robust

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Speaker 1: uptake of the vaccine. Now it's trailing off just a

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Speaker 1: little bit as they get down through the age group,

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Speaker 1: so they're now looking at vaccinating UH the under fifties

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Speaker 1: and UH just this week we're hearing that some people

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Speaker 1: are not making their appointments. Younger people are feeling not

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Speaker 1: quite as vulnerable to the virus and and may not

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Speaker 1: be as eager for the vaccine. UH. France has had

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Speaker 1: a much bigger problem. And you know that's that's a

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Speaker 1: longstanding issue UM in France, and and it's when the

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Speaker 1: government has just been really poor at trying to counter

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Speaker 1: and is now trying to make up lost ground. But

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Speaker 1: you know, again, if you were to rank the problems

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Speaker 1: of vaccination rollout, you put supply first, but then you

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00:25:51,840 --> 00:25:55,639
Speaker 1: put delivery systems and then maybe you put vaccine hesitancy

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Speaker 1: or anti vaxers at the very bottom. Why doesn't somebody

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00:25:58,760 --> 00:26:02,359
Speaker 1: in charge here just say send them out. When we

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00:26:02,400 --> 00:26:09,640
Speaker 1: get the supplies into all uh, you know, drug stores, pharmacies, vets,

433
00:26:10,000 --> 00:26:13,920
Speaker 1: nail salons, why not just get them everywhere? Yeah, I mean,

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00:26:13,960 --> 00:26:17,000
Speaker 1: that's an interesting question. And every country has is doing

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00:26:17,080 --> 00:26:20,280
Speaker 1: it differently, and in many countries, you know, Germany with

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00:26:20,359 --> 00:26:23,439
Speaker 1: the lender, Switzerland with the cantons, America with the states.

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00:26:23,440 --> 00:26:25,560
Speaker 1: In the US, for example, the federal government has done

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00:26:25,560 --> 00:26:28,679
Speaker 1: a really good job of sending out supply to the

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00:26:28,720 --> 00:26:30,639
Speaker 1: different states, but then it's left it up to the

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00:26:30,680 --> 00:26:33,520
Speaker 1: states and the localities to decide what to do, and

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00:26:33,520 --> 00:26:38,040
Speaker 1: they have adopted a whole mishmash of UH. Different systems.

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00:26:38,080 --> 00:26:40,080
Speaker 1: So you know, someone was telling me that in a

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00:26:40,160 --> 00:26:43,200
Speaker 1: suburb of Chicago there are three or four different websites

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00:26:43,600 --> 00:26:46,720
Speaker 1: to register for the vaccine, and sometimes you couldn't get

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00:26:46,720 --> 00:26:49,240
Speaker 1: an appointment or you'd have to try different websites. They

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00:26:49,240 --> 00:26:52,639
Speaker 1: all use different systems. Uh. You have some towns that

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00:26:52,680 --> 00:26:56,000
Speaker 1: are vaccinating out of town commuters, but not the elderly

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00:26:56,040 --> 00:26:59,200
Speaker 1: who live in the town. So there's you know, this

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00:26:59,280 --> 00:27:03,720
Speaker 1: is a huge logistical operation, and for health care systems

450
00:27:03,720 --> 00:27:07,199
Speaker 1: and local authorities that aren't good at logistics or have

451
00:27:07,320 --> 00:27:11,879
Speaker 1: never confronted something on this scale, they're falling down treas.

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00:27:11,920 --> 00:27:14,560
Speaker 1: You know, before the pandemic, we used to talk to

453
00:27:14,600 --> 00:27:17,119
Speaker 1: you almost on a daily basis about Brexit and you

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00:27:17,160 --> 00:27:20,280
Speaker 1: would help us, uh improve our understanding of what's going on.

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00:27:20,359 --> 00:27:23,359
Speaker 1: There is the pace of role well in the UK

456
00:27:23,960 --> 00:27:27,520
Speaker 1: versus the EU being seen in the UK has a

457
00:27:27,640 --> 00:27:32,800
Speaker 1: referendum on Brexit. Hey, we've made the right decision. Yeah,

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00:27:32,880 --> 00:27:36,159
Speaker 1: I don't think there's any doubt that it has, you know,

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00:27:36,320 --> 00:27:40,480
Speaker 1: reinforced Boris Johnson's message that Britain can do it better alone.

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00:27:40,520 --> 00:27:43,520
Speaker 1: Now that may not be the case at all, because

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00:27:43,600 --> 00:27:47,160
Speaker 1: the UK could have approved the vaccines on its own

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00:27:47,200 --> 00:27:49,320
Speaker 1: without the EU, it could have ordered its own supply.

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00:27:49,560 --> 00:27:52,240
Speaker 1: But the reality is UM that that that that's the

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00:27:52,440 --> 00:27:54,960
Speaker 1: that's where the the optics are. It does show you

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00:27:55,000 --> 00:27:59,000
Speaker 1: the difference right between how Brits operate and how Europeans operate.

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00:27:59,040 --> 00:28:02,480
Speaker 1: Europeans prefer to take a heck of a long time

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00:28:02,560 --> 00:28:06,600
Speaker 1: doing things. They like to have tons of bureaucracy that

468
00:28:06,640 --> 00:28:10,000
Speaker 1: makes it almost impossible to act, whereas Bridge just get

469
00:28:10,040 --> 00:28:12,560
Speaker 1: down to it and solve the problem. Well, the thing

470
00:28:12,640 --> 00:28:14,919
Speaker 1: they did right here is the government realized that they

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00:28:14,920 --> 00:28:17,199
Speaker 1: had to take it out of government and they put

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00:28:17,240 --> 00:28:22,000
Speaker 1: a private sector venture capitalist with a uh, you know,

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00:28:22,080 --> 00:28:25,320
Speaker 1: pharmacy of a bio background, in charge of a task

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00:28:25,320 --> 00:28:29,200
Speaker 1: force who identified the vaccines, did the deals with the companies,

475
00:28:29,440 --> 00:28:32,040
Speaker 1: and they recognize that that the rollout had to be

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00:28:32,119 --> 00:28:34,439
Speaker 1: through the NHS, which is very good at this It

477
00:28:34,520 --> 00:28:37,320
Speaker 1: has the electronic health records and they get the military

478
00:28:37,359 --> 00:28:39,720
Speaker 1: involved and that just work. Now, if you know, we

479
00:28:39,840 --> 00:28:42,200
Speaker 1: go back and talk to the PPE crisis or the

480
00:28:42,240 --> 00:28:45,080
Speaker 1: handling of the pandemic up to this point, it's really

481
00:28:45,080 --> 00:28:49,160
Speaker 1: a different story, isn't it. But when it comes to UM,

482
00:28:49,240 --> 00:28:51,800
Speaker 1: you know, being able to innovate on this. You know,

483
00:28:52,600 --> 00:28:56,000
Speaker 1: on this particular front, Britain was just way out ahead,

484
00:28:56,400 --> 00:28:59,800
Speaker 1: and you know they deserve to be taking the credit

485
00:28:59,880 --> 00:29:02,480
Speaker 1: that they're very happily, you know, happily eating up right now.

486
00:29:03,760 --> 00:29:07,400
Speaker 1: Terres is the expected expectation of things are going to

487
00:29:07,480 --> 00:29:09,840
Speaker 1: improve here and over what time frame? I mean, are

488
00:29:09,840 --> 00:29:13,080
Speaker 1: there are things improving across the EU in terms of

489
00:29:13,080 --> 00:29:17,080
Speaker 1: getting shots and arms? Yeah, I don't think that the

490
00:29:17,360 --> 00:29:22,680
Speaker 1: big supply crisis is is you know, is that um,

491
00:29:22,720 --> 00:29:24,479
Speaker 1: you know, is that damning for the EU right now?

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00:29:24,520 --> 00:29:26,160
Speaker 1: I think that you're going to see a lot more

493
00:29:26,240 --> 00:29:29,880
Speaker 1: supply coming in and that the target um I think

494
00:29:29,880 --> 00:29:33,600
Speaker 1: of the adult population by the end of July. I mean,

495
00:29:33,600 --> 00:29:38,440
Speaker 1: that's that's that's pretty much achievable. So um, you know,

496
00:29:38,480 --> 00:29:40,400
Speaker 1: I think we are going to see things getting a

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00:29:40,440 --> 00:29:42,680
Speaker 1: lot better. And of course we also have, um, the

498
00:29:42,720 --> 00:29:45,840
Speaker 1: seasonal effect on our side, but there's no question that

499
00:29:45,880 --> 00:29:48,560
Speaker 1: Britain will be way out ahead and that that's going

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00:29:48,560 --> 00:29:51,680
Speaker 1: to affect travel and all sorts of other things in

501
00:29:51,720 --> 00:29:55,120
Speaker 1: addition to you know, the political um knock on effects

502
00:29:55,200 --> 00:29:58,560
Speaker 1: that you just mentioned, and the US is is ramping

503
00:29:58,640 --> 00:30:01,160
Speaker 1: up quite rapidly as well, not because it's got great

504
00:30:01,160 --> 00:30:03,960
Speaker 1: delivery systems, although some states like West Virginia that I

505
00:30:03,960 --> 00:30:08,760
Speaker 1: wrote about do, but because it's got tremendous manufacturing um

506
00:30:08,920 --> 00:30:11,680
Speaker 1: power when it comes to, you know, producing these vaccines.

507
00:30:12,480 --> 00:30:14,840
Speaker 1: Hey Trades, thanks so much for joining us. We love

508
00:30:15,200 --> 00:30:17,560
Speaker 1: chatting with you. A great column here today, you know,

509
00:30:17,600 --> 00:30:20,960
Speaker 1: kind of comparing a couple of places you wouldn't necessarily compare, uh,

510
00:30:21,240 --> 00:30:24,600
Speaker 1: Switzerland and West Virginia as it relates to the vaccine rollout, well,

511
00:30:24,600 --> 00:30:27,200
Speaker 1: because Berland is so rich, right, and for those who

512
00:30:27,200 --> 00:30:29,840
Speaker 1: don't live in the US, West Virginia is a very

513
00:30:29,880 --> 00:30:33,800
Speaker 1: poor state. So it's um the contrast is amazing, Yeah,

514
00:30:33,920 --> 00:30:36,600
Speaker 1: it is. And again we'll have to keep a track

515
00:30:36,760 --> 00:30:40,320
Speaker 1: of how that's developing. In your red headline. Crossing the

516
00:30:40,360 --> 00:30:43,480
Speaker 1: Bloomberg terminal, the CDC says schools can allow three feet

517
00:30:43,600 --> 00:30:47,440
Speaker 1: of distance in classroom, down from six ft, so hopefully

518
00:30:47,480 --> 00:30:51,400
Speaker 1: that will accelerate the reopening of schools across the US.

519
00:30:51,480 --> 00:30:55,960
Speaker 1: Point thanks for listening to the Bloomberg Markets podcast. You

520
00:30:56,040 --> 00:30:59,320
Speaker 1: can subscribe and listen to interviews with Apple Podcasts or

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00:30:59,600 --> 00:31:03,240
Speaker 1: whatever podcast platform you prefer. I'm Matt Miller. I'm on

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00:31:03,360 --> 00:31:07,400
Speaker 1: Twitter at Matt Miller venty three on Fall Sweeney. I'm

523
00:31:07,400 --> 00:31:10,040
Speaker 1: on Twitter at pt Sweeney Before the podcast. You can

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00:31:10,080 --> 00:31:12,320
Speaker 1: always catch us worldwide at Bloomberg Radio