1 00:00:02,040 --> 00:00:05,400 Speaker 1: My from the Bloomberg Interactive Brooker Studios. This is Bloomberg 2 00:00:05,480 --> 00:00:09,680 Speaker 1: day Break for Wednesday, June twenty two. Coming up this hour. 3 00:00:09,960 --> 00:00:13,440 Speaker 1: Stocks failed to build on yesterday's rally as recession fears 4 00:00:13,480 --> 00:00:17,840 Speaker 1: resurface on Wall Street. Investors brace for congressional testimony from J. Powell. 5 00:00:18,239 --> 00:00:21,880 Speaker 1: UK inflation surges to a forty year high, and Senators 6 00:00:21,880 --> 00:00:25,200 Speaker 1: reach agreement on a bipartisan gun violence fill. Look for 7 00:00:25,280 --> 00:00:28,720 Speaker 1: rent increases in New York City. Plus, Trump backed Katie 8 00:00:28,720 --> 00:00:32,040 Speaker 1: Britt beats Maga moll Brooks in the Alabama Senate primary. 9 00:00:32,520 --> 00:00:35,680 Speaker 1: Michael barn We're ahead. I'm John stashdown Ford's home runs 10 00:00:35,720 --> 00:00:37,559 Speaker 1: did in the Yankees and a loss at Sampa Bay 11 00:00:37,560 --> 00:00:40,200 Speaker 1: lock studded laws with the medicine euston. The Stanley Cup 12 00:00:40,240 --> 00:00:46,600 Speaker 1: Final continues tonight. That's All's train ahead on Bloomberg day 13 00:00:46,600 --> 00:00:50,839 Speaker 1: Break on Bloomberg eleven three, on New York, Bloomberg nine one, 14 00:00:50,960 --> 00:00:54,880 Speaker 1: Washington d C, Bloomberg one oh six one, Boston, Bloomberg 15 00:00:55,000 --> 00:00:59,080 Speaker 1: nine sixties and Francisco Sirius x M one nineteen and 16 00:00:59,160 --> 00:01:02,240 Speaker 1: around the world on Bloomberg Radio dot com and via 17 00:01:02,320 --> 00:01:09,760 Speaker 1: the Bloomberg Business app. Good morning, I'm Nathan Hager and 18 00:01:09,800 --> 00:01:13,760 Speaker 1: I'm Karen Moscow, and it is currently five out one 19 00:01:13,800 --> 00:01:17,000 Speaker 1: on Wall Street and futures are lower this morning. We 20 00:01:17,120 --> 00:01:19,520 Speaker 1: check the markets every fifteen minutes throughout the trading day. 21 00:01:19,880 --> 00:01:23,160 Speaker 1: On bloomberg SMP futures are down sixty one points down, 22 00:01:23,160 --> 00:01:25,800 Speaker 1: futures down four hundred twenty six and NASDAG futures down. 23 00:01:25,840 --> 00:01:29,640 Speaker 1: Two ten year Treasury up thirteen thirty seconds. You on 24 00:01:29,720 --> 00:01:31,920 Speaker 1: three point to two percent and the yelled on the 25 00:01:32,000 --> 00:01:34,800 Speaker 1: two year three point one four percent, Nathan, Karen. The 26 00:01:34,800 --> 00:01:38,880 Speaker 1: main event today is congressional testimony on the economy from J. Powell. 27 00:01:38,959 --> 00:01:41,559 Speaker 1: Later this morning, the Fed Chairman appears before the Senate 28 00:01:41,600 --> 00:01:44,959 Speaker 1: Banking Committee. We get a preview from Bloomberg's Michael McKee. 29 00:01:45,280 --> 00:01:48,160 Speaker 1: Politics always plays a role in the Fed Chairman's appearances, 30 00:01:48,240 --> 00:01:50,360 Speaker 1: and there will no doubt be efforts to pin the 31 00:01:50,360 --> 00:01:54,240 Speaker 1: blame for inflation on someone. That's a topic Powell will duck. 32 00:01:54,640 --> 00:01:57,320 Speaker 1: He'll also try to avoid expressing an opinion on various 33 00:01:57,320 --> 00:02:01,120 Speaker 1: fiscal responses to inflation now under consider ration on Capitol Hill, 34 00:02:01,360 --> 00:02:04,559 Speaker 1: such as a gas tax suspension. The real key question 35 00:02:04,600 --> 00:02:07,160 Speaker 1: for the Chairman is how high and how fast? The 36 00:02:07,160 --> 00:02:10,640 Speaker 1: FED needs to raise interest rates. The latest FED forecast 37 00:02:10,760 --> 00:02:12,960 Speaker 1: is to just under four percent by the end of 38 00:02:13,000 --> 00:02:15,840 Speaker 1: the year, just over it in two thousand twenty three, 39 00:02:16,320 --> 00:02:18,639 Speaker 1: but there has been pushback from investors in analysts who 40 00:02:18,680 --> 00:02:21,079 Speaker 1: say the central Bank may have to go much higher 41 00:02:21,080 --> 00:02:25,000 Speaker 1: than that. Paul's answer may have a major impact on trading. 42 00:02:25,160 --> 00:02:27,680 Speaker 1: Michael McKee, Bloomberg Daybreak. All right, Mike, thanks, and you 43 00:02:27,680 --> 00:02:30,680 Speaker 1: can catch full coverage of FED Chairman Powell's testimonies starting 44 00:02:30,680 --> 00:02:35,840 Speaker 1: around am Wall Street time on Bloomberg Radio and television. Well, Nathan, 45 00:02:35,840 --> 00:02:38,160 Speaker 1: as investors away a word from Powell. There are more 46 00:02:38,240 --> 00:02:41,080 Speaker 1: cons this morning for the Fan again more aggressive. Richmond 47 00:02:41,080 --> 00:02:44,120 Speaker 1: Fan president Thomas Barkin wants to raise interest rates as 48 00:02:44,160 --> 00:02:47,000 Speaker 1: fast as possible, as long as it doesn't cause undue 49 00:02:47,040 --> 00:02:50,000 Speaker 1: harm to market through the economy. We're in a situation 50 00:02:50,040 --> 00:02:54,400 Speaker 1: where inflation is high, it's broad based, it's persistent, and 51 00:02:54,480 --> 00:02:57,040 Speaker 1: rates are still well below normal. And so I think 52 00:02:57,160 --> 00:03:00,720 Speaker 1: the spirit is you want to get back to where 53 00:03:00,760 --> 00:03:03,240 Speaker 1: you want to go as fast as you can without 54 00:03:03,240 --> 00:03:06,480 Speaker 1: breaking anything. And Richmond Fed President Thomas bark And also 55 00:03:06,520 --> 00:03:09,280 Speaker 1: says he does not expect the economy to swiftly return 56 00:03:09,360 --> 00:03:13,079 Speaker 1: to pre pandemic patterns, a more aggressive fed, weaker demand 57 00:03:13,120 --> 00:03:15,880 Speaker 1: for goods, and supply shocks are leading the way for 58 00:03:16,000 --> 00:03:19,040 Speaker 1: more recession fears. Let's get more on that live from 59 00:03:19,080 --> 00:03:22,040 Speaker 1: Bloomberg's Real Need a Young, Good Morning, Good Morning Nathan. 60 00:03:22,280 --> 00:03:24,960 Speaker 1: City Group says there's a fifty percent chance of the 61 00:03:25,000 --> 00:03:28,640 Speaker 1: world economy falling into a recession. As a result, the 62 00:03:28,680 --> 00:03:32,200 Speaker 1: Bank now sees the global economy growing three percent this 63 00:03:32,280 --> 00:03:36,560 Speaker 1: year and two point eight percent in Economists at City 64 00:03:36,560 --> 00:03:39,520 Speaker 1: Groups say if a recession did occur, it's likely to 65 00:03:39,560 --> 00:03:44,120 Speaker 1: be quote garden variety, in which unemployment rises several percentage 66 00:03:44,120 --> 00:03:48,280 Speaker 1: points and output experiences a couple of week quarters Live 67 00:03:48,320 --> 00:03:50,800 Speaker 1: in New York, I'm ren need a Young Bloomberg day break, 68 00:03:50,840 --> 00:03:52,880 Speaker 1: all right, we need to thank you well. Inflation is 69 00:03:52,920 --> 00:03:56,280 Speaker 1: also a major concern overseas. Today's reading in the UK 70 00:03:56,400 --> 00:03:59,880 Speaker 1: as prices jumping to a new four decade high the 71 00:04:00,000 --> 00:04:02,960 Speaker 1: get the latest live with Bloomberg's EU and pots in London, 72 00:04:03,000 --> 00:04:06,200 Speaker 1: Good Morning You and good morning cardena than UK inflation 73 00:04:06,280 --> 00:04:09,360 Speaker 1: in the etomy ticking up to nine point one. The 74 00:04:09,400 --> 00:04:12,080 Speaker 1: reading reflects broad increases in the cost of everything from 75 00:04:12,160 --> 00:04:15,640 Speaker 1: fuel and electricity to food and beverages. There are also 76 00:04:15,760 --> 00:04:18,799 Speaker 1: more signs of growing price pressures at the wholesale level, 77 00:04:18,960 --> 00:04:22,000 Speaker 1: with raw material costs increasing by the most on records. 78 00:04:22,160 --> 00:04:24,640 Speaker 1: The Bank of England says CPI good hits eleven per 79 00:04:24,640 --> 00:04:27,920 Speaker 1: cents later this year in London, I'm your parts Bloomboo daybreak, 80 00:04:28,000 --> 00:04:30,080 Speaker 1: all right you and thank you. Recession fears, the news 81 00:04:30,160 --> 00:04:32,320 Speaker 1: of the Biden administration is prepared to step up its 82 00:04:32,360 --> 00:04:35,520 Speaker 1: fight against gas prices. Has oil on the decline once again. 83 00:04:35,839 --> 00:04:38,600 Speaker 1: Right now NIMEX screwed is down four point seven per cent, 84 00:04:38,680 --> 00:04:41,159 Speaker 1: or five dollars fourteen cents at a hundred four dollars 85 00:04:41,240 --> 00:04:44,120 Speaker 1: thirty nine cents of barrel. This morning, President Biden is 86 00:04:44,160 --> 00:04:48,080 Speaker 1: asking Congress to enact a gas tax holiday. Bloomberg said, 87 00:04:48,120 --> 00:04:51,240 Speaker 1: Baxter has the story. The President is trying to cool 88 00:04:51,360 --> 00:04:53,839 Speaker 1: the soaring pump prices as we head under the summer 89 00:04:53,920 --> 00:04:56,960 Speaker 1: travel season. It is not clear to this point the 90 00:04:57,040 --> 00:05:01,160 Speaker 1: time frame. Mr Biden says it will not hurt infrastructure. 91 00:05:01,680 --> 00:05:03,600 Speaker 1: Is it going to, in fact make it difficult to 92 00:05:03,720 --> 00:05:06,440 Speaker 1: maintain our roads? The answer is we have plenty of 93 00:05:06,800 --> 00:05:10,040 Speaker 1: capacity to do that. Biden also says in the long run, 94 00:05:10,160 --> 00:05:13,520 Speaker 1: there is plenty of oil to drill nine thousand oil 95 00:05:13,640 --> 00:05:17,560 Speaker 1: fields in San Francisco. I'm at Baxter Bloomberg daybreak, Great 96 00:05:17,600 --> 00:05:20,040 Speaker 1: and thank you. Also in Washington, the Senator has voted 97 00:05:20,080 --> 00:05:22,680 Speaker 1: to advance and by partisan gun safety bill, and a 98 00:05:22,800 --> 00:05:26,159 Speaker 1: vote on final passage is expected later this week. Backer 99 00:05:26,200 --> 00:05:28,280 Speaker 1: has called the measure of the biggest breakthrough on the 100 00:05:28,440 --> 00:05:32,520 Speaker 1: issue in decades. Is designed to improve background checks, secure schools, 101 00:05:32,800 --> 00:05:36,600 Speaker 1: and giving states federal funds to combat gun violence. Isaac 102 00:05:36,640 --> 00:05:39,800 Speaker 1: balt Tanski as director of Policy research at bt i G. 103 00:05:40,360 --> 00:05:42,760 Speaker 1: But as we've learned time and time again, the motivator 104 00:05:42,880 --> 00:05:46,680 Speaker 1: for lawmakers is so often the calendar and the jet 105 00:05:46,800 --> 00:05:49,640 Speaker 1: fumes are also in play here because they're trying to 106 00:05:49,760 --> 00:05:52,680 Speaker 1: leave town for two weeks at the end of this week, 107 00:05:52,880 --> 00:05:56,839 Speaker 1: and that is an undeniable motivator, especially for these lawmakers 108 00:05:57,160 --> 00:05:59,600 Speaker 1: who are running for re election. Bt i G is 109 00:05:59,640 --> 00:06:03,000 Speaker 1: Isaac balt Hanski spoke with their Washington correspondent Joe Matthew 110 00:06:03,040 --> 00:06:05,840 Speaker 1: on Bloomberg Sound on Catch the Program weekdays at five 111 00:06:05,880 --> 00:06:09,400 Speaker 1: pm Eastern on Bloomberg radiomcaring the latest round of hearings 112 00:06:09,440 --> 00:06:11,880 Speaker 1: into the January six attack at the US Capital. He's 113 00:06:11,920 --> 00:06:14,800 Speaker 1: in the books testimony yesterday focused on state and local 114 00:06:14,880 --> 00:06:18,120 Speaker 1: officials and the pressure they faced from former President Donald Trump, 115 00:06:18,200 --> 00:06:21,760 Speaker 1: who overturn the election. Committee Democrat Adam Schiff says the 116 00:06:21,839 --> 00:06:25,599 Speaker 1: system held but barely. Anyone who got in the way 117 00:06:25,800 --> 00:06:29,200 Speaker 1: of Donald Trump's continued hold on power after he lost 118 00:06:29,279 --> 00:06:32,839 Speaker 1: the election was the subject of a dangerous and escalating 119 00:06:33,240 --> 00:06:37,080 Speaker 1: campaign of pressure. Congressman Schiff and other committee members heard 120 00:06:37,120 --> 00:06:40,120 Speaker 1: from Georgia's Secretary of State Brad Raefensburger, who says he 121 00:06:40,279 --> 00:06:44,000 Speaker 1: faced a campaign of intimidation, including threats to his wife, 122 00:06:44,279 --> 00:06:46,560 Speaker 1: and then some people broke into my daughter in laws 123 00:06:47,080 --> 00:06:50,520 Speaker 1: home and h I sent has passed, and she's a 124 00:06:50,600 --> 00:06:54,240 Speaker 1: widow and has two kids, and so we're very concerted 125 00:06:54,279 --> 00:06:57,520 Speaker 1: about her safety. Also, Secretary of State Raffensberger says he 126 00:06:57,600 --> 00:07:00,599 Speaker 1: followed every rabbit hole to make sure George's number were accurate, 127 00:07:00,680 --> 00:07:03,760 Speaker 1: but he says the former president came up short. Right now, 128 00:07:03,920 --> 00:07:06,720 Speaker 1: SMP futures are lower by sixty three point, Staff futures 129 00:07:06,760 --> 00:07:10,320 Speaker 1: down four hundred thirty Nasdaq futures down two hundred seventeen points. 130 00:07:10,400 --> 00:07:13,600 Speaker 1: The tenure treasury is up fourteen thirty seconds. The yield 131 00:07:13,760 --> 00:07:17,120 Speaker 1: three point to two straight ahead, your latest local headlines 132 00:07:17,160 --> 00:07:23,720 Speaker 1: and the check of sports. This is Bloomberg, five oh 133 00:07:23,800 --> 00:07:26,720 Speaker 1: seven on Wall Street, sixty six degrees in Central Park 134 00:07:26,760 --> 00:07:29,760 Speaker 1: of the North Boundary Jersey Turnpike. Truck lanes are closed 135 00:07:29,920 --> 00:07:33,160 Speaker 1: the whole length with overnight road work continuing. More coming 136 00:07:33,240 --> 00:07:35,400 Speaker 1: up in traffic. First Michael Barr with more on what's 137 00:07:35,440 --> 00:07:37,640 Speaker 1: going on in New York and around the world. Good morning, Michael, 138 00:07:37,720 --> 00:07:40,400 Speaker 1: Good morning, Nathan. Rent is going up in New York City. 139 00:07:40,600 --> 00:07:43,920 Speaker 1: Last night, the Rent Guidelines Board voted to increase one 140 00:07:44,040 --> 00:07:47,280 Speaker 1: year and two year leases. On the five four vote, 141 00:07:47,320 --> 00:07:50,040 Speaker 1: the board decided to raise the rent for rent stabilized 142 00:07:50,080 --> 00:07:53,680 Speaker 1: departments to three for one year leases. It will go 143 00:07:53,840 --> 00:07:57,120 Speaker 1: up to five percent for two year leases. New York 144 00:07:57,160 --> 00:07:59,760 Speaker 1: City Mayor Eric Adams said the board's decision will be 145 00:07:59,840 --> 00:08:02,120 Speaker 1: a burden to tenants at a difficul old time. The 146 00:08:02,240 --> 00:08:05,840 Speaker 1: mayor also acknowledged that small landlords are at risk of 147 00:08:05,880 --> 00:08:09,720 Speaker 1: bankruptcy because of years of no increases at all. Katie 148 00:08:09,800 --> 00:08:13,280 Speaker 1: Britt has won the Republican runoff against Representative Moe Brooks 149 00:08:13,640 --> 00:08:18,400 Speaker 1: for retiring Alabama Senator Richard Shelby's seat. Britt, Shelby's former 150 00:08:18,480 --> 00:08:22,880 Speaker 1: chief of staff gained ground after Brooks lost Donald Trump's endorsement. 151 00:08:22,920 --> 00:08:27,680 Speaker 1: In March. Britt got while Brooks received The head of 152 00:08:27,760 --> 00:08:30,360 Speaker 1: the Texas Department of Public Safety is now calling the 153 00:08:30,440 --> 00:08:34,240 Speaker 1: law enforcement response to the massacre at the rob Elementary 154 00:08:34,360 --> 00:08:39,000 Speaker 1: School and abject failure. Testifying at a Texas Senate hearing, 155 00:08:39,280 --> 00:08:43,800 Speaker 1: Colonel Steve mccrawl says that there were enough police officers 156 00:08:43,880 --> 00:08:46,680 Speaker 1: on hand that could have stopped the gunman quickly after 157 00:08:46,800 --> 00:08:50,280 Speaker 1: he entered the building. Yet, police officers armed with rifles 158 00:08:50,320 --> 00:08:53,400 Speaker 1: stood and waited in a school hallway for nearly an 159 00:08:53,440 --> 00:08:56,600 Speaker 1: hour while the gunman carried out the massacre, killing nineteen 160 00:08:56,679 --> 00:09:00,599 Speaker 1: elementary students and two teachers. Not enough trainings done in 161 00:09:00,679 --> 00:09:04,559 Speaker 1: the situation, playing simple because of bad decision and terrible decisions. 162 00:09:04,640 --> 00:09:07,280 Speaker 1: Terrible decisions were made by the unseen commander and should 163 00:09:07,280 --> 00:09:10,839 Speaker 1: have never happened. Playing the simple, Colonel Cross laid out 164 00:09:11,040 --> 00:09:15,120 Speaker 1: multiple times police failed to engage sooner. Three minutes into 165 00:09:15,240 --> 00:09:18,079 Speaker 1: the attack. A jury in California signed it with a 166 00:09:18,120 --> 00:09:21,640 Speaker 1: woman who filed a sex abuse lawsuit against comedian Bill Cosby. 167 00:09:22,000 --> 00:09:25,560 Speaker 1: Jurors found Cosby sexually abused that then sixteen year old 168 00:09:25,600 --> 00:09:28,679 Speaker 1: girl at the Playboy mansion. In nineteen seventy five, the 169 00:09:28,840 --> 00:09:31,880 Speaker 1: jury awarded Judy Huff, now sixty four, a half a 170 00:09:31,920 --> 00:09:35,840 Speaker 1: million dollars. Gloria Allread is one of Huff's attorneys. Today, 171 00:09:35,920 --> 00:09:41,160 Speaker 1: our client Judy Huff one real change because she fought 172 00:09:41,240 --> 00:09:45,880 Speaker 1: Bill Cosby one step at a time for over seven 173 00:09:45,960 --> 00:09:48,920 Speaker 1: and a half years. Attorney Gloria all Read Cosby has 174 00:09:48,920 --> 00:09:52,079 Speaker 1: denied the allegations. Global News twenty four hours a day 175 00:09:52,240 --> 00:09:54,760 Speaker 1: on air and on Bloomberg Quick Tank, powered by more 176 00:09:54,840 --> 00:09:57,440 Speaker 1: than twenty seven hun journalist and analyst in more than 177 00:09:57,440 --> 00:10:00,720 Speaker 1: a hundred twenty countries. Michael Barren, this is Bloomberg, Nathan. 178 00:10:00,800 --> 00:10:07,800 Speaker 1: Thank you, Michael. Coming up to five ten on Wall Street. 179 00:10:07,800 --> 00:10:10,680 Speaker 1: Time for the Bloomberg Sports Update Morning, John Stessch After Morning, 180 00:10:10,760 --> 00:10:13,560 Speaker 1: Athan Esther. Cortez has been a revelation for the Yankees. 181 00:10:13,640 --> 00:10:15,560 Speaker 1: Eight of his first nine starts he didn't allow more 182 00:10:15,600 --> 00:10:17,720 Speaker 1: than two runs, but he has come back to earth 183 00:10:17,800 --> 00:10:20,080 Speaker 1: of it. At Tampa Bay, Cortes served up two whole 184 00:10:20,120 --> 00:10:24,160 Speaker 1: runs first inning, Paradis two innings later about this second 185 00:10:24,200 --> 00:10:26,760 Speaker 1: of the game and not wanting Cortez to face Paradis 186 00:10:26,800 --> 00:10:29,720 Speaker 1: the third time, he was removed in the fifth inning 187 00:10:29,800 --> 00:10:32,840 Speaker 1: and this was Clark Schmidt's first pick. Here is Paradies 188 00:10:32,880 --> 00:10:35,000 Speaker 1: already with two homers and says one way up into 189 00:10:35,000 --> 00:10:36,559 Speaker 1: the air and the lift, but did he get another? 190 00:10:36,760 --> 00:10:42,160 Speaker 1: Gon tell Us back back to the wall number three 191 00:10:42,480 --> 00:10:47,079 Speaker 1: Tonight Paradies and the race of a five two league 192 00:10:47,120 --> 00:10:49,600 Speaker 1: and won the game five four rays Radio called cortez 193 00:10:49,679 --> 00:10:51,559 Speaker 1: is e r A has gone from one point three 194 00:10:51,600 --> 00:10:54,760 Speaker 1: a month ago to two point Mets started Trevor Williams 195 00:10:54,840 --> 00:10:56,880 Speaker 1: and Houston he would not be in the rotation if 196 00:10:56,920 --> 00:10:58,720 Speaker 1: not for the next yus or injury, and Williams felt 197 00:10:58,760 --> 00:11:01,360 Speaker 1: the one and four astro's at three home runs. They 198 00:11:01,360 --> 00:11:05,320 Speaker 1: wanted to Toronto's Austin Matthews and scored sixty gold named 199 00:11:05,440 --> 00:11:08,040 Speaker 1: n h L M V P Gorsches. Durkin was third. 200 00:11:08,200 --> 00:11:11,760 Speaker 1: He did, as expected, win the Vesana Trophy, third Ranger 201 00:11:11,800 --> 00:11:14,439 Speaker 1: goalie to ever win that awards. Stanley Cup Finald's tonight 202 00:11:14,559 --> 00:11:18,160 Speaker 1: in Tampa, Colorado. Leads two games one while Brooks Kepta 203 00:11:18,640 --> 00:11:21,120 Speaker 1: not having a good year. He has won four majors. 204 00:11:21,200 --> 00:11:23,559 Speaker 1: He's a big name and now Kepta the latest of 205 00:11:23,640 --> 00:11:26,480 Speaker 1: Bolt the PGA Tour for the new Live Tour. Keptr 206 00:11:26,559 --> 00:11:29,160 Speaker 1: said just last week he hadn't given the live tour 207 00:11:29,360 --> 00:11:33,199 Speaker 1: much thought. Rob Gronkowski, having retired once before, now doing 208 00:11:33,200 --> 00:11:35,160 Speaker 1: it again. Played nine years in New England, came out 209 00:11:35,200 --> 00:11:37,240 Speaker 1: of retirement to play two more with Tom Brady at 210 00:11:37,280 --> 00:11:40,959 Speaker 1: Tampa Bay. Together they won four Super Bowls. Bron certain 211 00:11:41,440 --> 00:11:43,720 Speaker 1: to someday go into the Crow Football Hall of Fame. 212 00:11:44,080 --> 00:11:48,040 Speaker 1: John Stashward, Bloomberg Sports Nathan and potentially certain to retire. 213 00:11:48,440 --> 00:11:51,600 Speaker 1: Thank you, John SMP futures down sixty three point, Staff 214 00:11:51,600 --> 00:11:54,120 Speaker 1: futures down for a thirty nine, NASTAC futures down two 215 00:11:54,240 --> 00:11:58,040 Speaker 1: hundred twenty two points, NIMEX crew down four point six percent, 216 00:11:58,160 --> 00:12:01,400 Speaker 1: down five oh five at a hundred four dollars forty 217 00:12:01,480 --> 00:12:04,160 Speaker 1: seven cents for a barrel, West Texas Intermediate. This is 218 00:12:04,240 --> 00:12:10,480 Speaker 1: Bloomberg Bloomberg eleven three oh Weather mostly cloudy, scattered showers, 219 00:12:10,559 --> 00:12:14,600 Speaker 1: especially along Long Island in Connecticut. Lost seventies today turned 220 00:12:14,600 --> 00:12:18,120 Speaker 1: probably mostly cloudy, upper seventies Tomorrow, low eighties Friday right 221 00:12:18,160 --> 00:12:23,760 Speaker 1: now sixty six in Central Park Markets. Headlines and breaking 222 00:12:23,840 --> 00:12:26,680 Speaker 1: news twenty four hours a day at Bloomberg dot Com, 223 00:12:26,840 --> 00:12:29,920 Speaker 1: the Bloomberg Business apt and at Bloomberg Quick Take. This 224 00:12:30,360 --> 00:12:39,400 Speaker 1: is a Bloomberg business lash when I'm camerin Moscow. Stocks 225 00:12:39,440 --> 00:12:42,840 Speaker 1: in Europe falling along with US stock index, futures and commodities, 226 00:12:42,880 --> 00:12:46,160 Speaker 1: and made ever louder warnings that the FEDS monetary tightening 227 00:12:46,240 --> 00:12:48,880 Speaker 1: may lead to an economic downturn, which at the markets 228 00:12:48,920 --> 00:12:52,080 Speaker 1: every fifteen minutes throughout the trading day on Bloomberg. Right now, 229 00:12:52,120 --> 00:12:54,880 Speaker 1: we SNP futures are down sixty one points down, futures 230 00:12:54,920 --> 00:12:58,200 Speaker 1: down four hundred seventeen and NASDAG futures down two hundred nine. 231 00:12:58,520 --> 00:13:01,679 Speaker 1: The decks in Germany's down you point one percent ten 232 00:13:01,760 --> 00:13:04,360 Speaker 1: your treasury of fifteen thirty seconds here three point to 233 00:13:04,480 --> 00:13:06,760 Speaker 1: one percent, the yield in the two year three point 234 00:13:06,840 --> 00:13:10,240 Speaker 1: one three percent. NIMEX screwed oil is down four point 235 00:13:10,320 --> 00:13:13,079 Speaker 1: six percent on five dollars seven cents at a hundred 236 00:13:13,160 --> 00:13:15,920 Speaker 1: four dollars forty four cents of barrel co mix school 237 00:13:15,960 --> 00:13:18,520 Speaker 1: down six tenths percent or eleven dollars twenty cents at 238 00:13:18,559 --> 00:13:21,640 Speaker 1: eighteen twenty seven sixty an ounce. The euro one point 239 00:13:21,679 --> 00:13:24,080 Speaker 1: oh five one five against the dollar, British bound one 240 00:13:24,120 --> 00:13:26,880 Speaker 1: point to to to seven and the ends at one 241 00:13:26,960 --> 00:13:30,319 Speaker 1: thirty six point to two. And watching bitcoin this morning 242 00:13:30,400 --> 00:13:33,319 Speaker 1: down two point eight percent at twenty thousand, two hundred 243 00:13:33,400 --> 00:13:36,520 Speaker 1: fifty dollars. That's a Bloomberg Business flash. Now here's Michael 244 00:13:36,559 --> 00:13:39,120 Speaker 1: Barr with more on what's going on around the world. Muncle, 245 00:13:39,160 --> 00:13:42,040 Speaker 1: Good morning, Good morning, Karen. President Joe Biden will call 246 00:13:42,120 --> 00:13:45,079 Speaker 1: on Congress to enact a gasoline tax holiday as he 247 00:13:45,120 --> 00:13:49,000 Speaker 1: looks to cool soaring pump prices in the summer. According 248 00:13:49,160 --> 00:13:51,720 Speaker 1: to a person familiar with the plan, Biden will make 249 00:13:51,760 --> 00:13:54,480 Speaker 1: a statement today calling on Congress to enact the pause. 250 00:13:55,040 --> 00:13:58,040 Speaker 1: Senate bargainers have reached an agreement on a bipartisan gun 251 00:13:58,200 --> 00:14:02,000 Speaker 1: violence built would make gun background checks tougher for the 252 00:14:02,120 --> 00:14:06,160 Speaker 1: youngest buyers and bolsters spending for school safety and mental 253 00:14:06,200 --> 00:14:09,959 Speaker 1: health programs. In baseball, the Yankees and Mets lost the 254 00:14:10,040 --> 00:14:12,720 Speaker 1: Red Sox one. The Nationals beat the Orioles three zip. 255 00:14:13,120 --> 00:14:16,120 Speaker 1: The Giants won the A's lost. Global News twenty four 256 00:14:16,200 --> 00:14:18,800 Speaker 1: hours a day on air and on Bloomberg Quick Take, 257 00:14:19,000 --> 00:14:21,840 Speaker 1: powered by more than journalist and analysts more than a 258 00:14:21,920 --> 00:14:25,120 Speaker 1: hundred twenty countries. I'm Michael Barr, and this is Bloomberg. Nick. 259 00:14:25,200 --> 00:14:27,120 Speaker 1: All right, Michael, thank you. It's five nineteen on Wall 260 00:14:27,160 --> 00:14:30,320 Speaker 1: Street Live from the Bloomberg Interactive Brokers Studios. This is 261 00:14:30,400 --> 00:14:32,600 Speaker 1: Bloomberg day Break. Let's get more now and all these 262 00:14:32,680 --> 00:14:36,080 Speaker 1: developments in Washington that Michael bar just reported on. Terry 263 00:14:36,160 --> 00:14:39,520 Speaker 1: Haynes joins us this morning, the founder of Pangea Policy. Terry, 264 00:14:39,600 --> 00:14:41,520 Speaker 1: it's good to speak with you. And we just got 265 00:14:41,640 --> 00:14:44,280 Speaker 1: word from the White House moments ago that President Biden 266 00:14:44,400 --> 00:14:47,040 Speaker 1: is going to call for a three month suspension to 267 00:14:47,280 --> 00:14:51,680 Speaker 1: the federal gas and diesel tax. First off, is it's 268 00:14:51,720 --> 00:14:55,120 Speaker 1: something that's going to pass muster in Congress? And is 269 00:14:55,160 --> 00:14:57,760 Speaker 1: it something that's actually going to have an impact on 270 00:14:58,000 --> 00:15:02,160 Speaker 1: what we've paid at the pump? Good morning, Nathan. A 271 00:15:02,280 --> 00:15:05,120 Speaker 1: couple of things on that. One. I think the basic 272 00:15:05,280 --> 00:15:11,160 Speaker 1: politics of the Biden proposal, UH, make certain that it's 273 00:15:11,200 --> 00:15:16,200 Speaker 1: probably not going to pass. Uh. The three months gas 274 00:15:16,320 --> 00:15:20,680 Speaker 1: tax moratorium, if I may, is UH is designed to 275 00:15:20,800 --> 00:15:23,240 Speaker 1: get it is designed to get everybody through, you know, 276 00:15:23,400 --> 00:15:26,760 Speaker 1: until just before the election. So therefore Republicans probably won't 277 00:15:26,800 --> 00:15:30,000 Speaker 1: react to it positively. Uh. Secondly, you know, I think 278 00:15:30,000 --> 00:15:31,960 Speaker 1: it's a drop in the bucket for the public. Uh. 279 00:15:32,080 --> 00:15:37,000 Speaker 1: There's a deep senator deep and entrenched cynicism about um 280 00:15:37,440 --> 00:15:41,400 Speaker 1: about the steps that the White House wants to take 281 00:15:42,280 --> 00:15:45,920 Speaker 1: on inflation overall, and you know, eighteen cents out of 282 00:15:46,040 --> 00:15:49,680 Speaker 1: a out of a five dollar per gallon trip to 283 00:15:49,720 --> 00:15:53,960 Speaker 1: the pump, UH isn't gonna make anybody warmer and fuzzier 284 00:15:54,680 --> 00:15:57,200 Speaker 1: towards Biden or the Democrats. And frankly is gonna make 285 00:15:57,280 --> 00:15:59,920 Speaker 1: much of a difference at the pump generally. I'll be 286 00:16:00,280 --> 00:16:02,960 Speaker 1: back and forth about whether anybody even sees the eighteen 287 00:16:03,040 --> 00:16:07,560 Speaker 1: cents to economists and UH experts and uh oil. But 288 00:16:08,480 --> 00:16:10,960 Speaker 1: you know, I think this is you know, very much 289 00:16:11,000 --> 00:16:14,160 Speaker 1: a drop in the bucket at best, UH and something 290 00:16:14,240 --> 00:16:16,720 Speaker 1: that is very unlikely to happen on its own. I 291 00:16:16,800 --> 00:16:20,680 Speaker 1: think there's a likelihood that you see a some version 292 00:16:20,800 --> 00:16:22,920 Speaker 1: of what used to be called the Build Back Better 293 00:16:23,080 --> 00:16:27,080 Speaker 1: Bill that includes uh, some prescription drug relief and cent 294 00:16:27,120 --> 00:16:29,400 Speaker 1: a variety of you know, maybe some tax rises all 295 00:16:29,440 --> 00:16:32,480 Speaker 1: the rest. I've been for a while at non consensus 296 00:16:33,240 --> 00:16:36,480 Speaker 1: that something like that happens. It wouldn't be beyond the 297 00:16:37,040 --> 00:16:41,320 Speaker 1: belief to have something on gas tax eventually in there 298 00:16:41,360 --> 00:16:44,560 Speaker 1: as part of a package of inflation fighting measures. UH. 299 00:16:44,800 --> 00:16:47,320 Speaker 1: So if you see it, it will be part of 300 00:16:47,360 --> 00:16:50,040 Speaker 1: that package, and that will probably happen by the end 301 00:16:50,080 --> 00:16:52,600 Speaker 1: of July or it won't happen at all. We also 302 00:16:52,760 --> 00:16:56,360 Speaker 1: got progress in the Senate on a gun safety bill. 303 00:16:56,480 --> 00:17:01,440 Speaker 1: We've seen that advance. Uh, what's your feel on where 304 00:17:01,560 --> 00:17:03,360 Speaker 1: that's going to go from here? Are we're gonna see 305 00:17:03,400 --> 00:17:08,080 Speaker 1: a vote to pass that before the July fourth break? Oh? 306 00:17:08,160 --> 00:17:10,359 Speaker 1: I think so. You know, you and I talked about 307 00:17:10,440 --> 00:17:13,920 Speaker 1: this on June the third, and I had it as 308 00:17:13,960 --> 00:17:18,760 Speaker 1: a non consensus six that that pretty much what's happening 309 00:17:18,960 --> 00:17:23,280 Speaker 1: is six likely to happen. I'd raised that to seventy. 310 00:17:23,800 --> 00:17:27,080 Speaker 1: Now I think it's it gets certainly much more likely. 311 00:17:27,520 --> 00:17:31,240 Speaker 1: And you've got uh, yeah, you had a pretty comfortable 312 00:17:31,280 --> 00:17:34,440 Speaker 1: margin yesterday and a procedural vote. Uh, you know, well 313 00:17:34,520 --> 00:17:39,600 Speaker 1: over sixty voted to advance the legislation. Doesn't it doesn't 314 00:17:39,640 --> 00:17:42,280 Speaker 1: mean they're in favor of every bit of it, but 315 00:17:42,560 --> 00:17:44,800 Speaker 1: that was an important vote to to be able to 316 00:17:44,920 --> 00:17:48,080 Speaker 1: have the Senate debate it. Um. I do think something 317 00:17:48,200 --> 00:17:52,000 Speaker 1: like this happens. You've got some very common sense, uh, 318 00:17:52,359 --> 00:17:55,920 Speaker 1: background check improvements, you've got some very common sense red 319 00:17:56,000 --> 00:17:59,440 Speaker 1: flag improvements, and of course you've got Washington doing with 320 00:17:59,560 --> 00:18:01,919 Speaker 1: Washington and does best, which is splashing around a lot 321 00:18:02,000 --> 00:18:04,639 Speaker 1: of money on things that I I don't mean to 322 00:18:04,720 --> 00:18:07,159 Speaker 1: sound too cynical on that. The money certainly needs to 323 00:18:07,240 --> 00:18:09,439 Speaker 1: be splashed in a lot of ways, but that's uh 324 00:18:10,080 --> 00:18:14,080 Speaker 1: these days increasingly how Washington deals with things, splashing money 325 00:18:14,119 --> 00:18:17,720 Speaker 1: at it. So uh, you know, you've got all those things. 326 00:18:18,200 --> 00:18:21,879 Speaker 1: They're very hard to argue against, and uh so I 327 00:18:22,240 --> 00:18:26,240 Speaker 1: look for something positive to happen here. Uh it is 328 00:18:26,359 --> 00:18:30,119 Speaker 1: for the political terms. It is both an incumbent protection 329 00:18:30,280 --> 00:18:33,960 Speaker 1: program in the sense that incumbents want to have something 330 00:18:34,080 --> 00:18:37,520 Speaker 1: substantial done on guns before the November election, and a 331 00:18:37,680 --> 00:18:40,359 Speaker 1: testament to what I always to tell people, which is 332 00:18:40,400 --> 00:18:42,919 Speaker 1: that you've got the centrists in both parties. I mean 333 00:18:43,200 --> 00:18:47,320 Speaker 1: this political environment, the centrist in both political parties, combined 334 00:18:47,400 --> 00:18:50,600 Speaker 1: with the president frankly staying out of it by request 335 00:18:50,680 --> 00:18:53,800 Speaker 1: of those centrists. In order to get something done. Uh, 336 00:18:54,160 --> 00:18:57,280 Speaker 1: you know, something will happen. And that's pretty much where 337 00:18:57,320 --> 00:19:01,080 Speaker 1: we are today. As always, Terry Haynes with us this morning, 338 00:19:01,160 --> 00:19:05,000 Speaker 1: founder of Pangea Policy, some insights on all the developments 339 00:19:05,040 --> 00:19:07,640 Speaker 1: happening in the nation's capital, including this word we got 340 00:19:07,760 --> 00:19:11,120 Speaker 1: from the White House just this morning that President Biden 341 00:19:11,240 --> 00:19:13,840 Speaker 1: is going to be calling for a three month suspension 342 00:19:14,240 --> 00:19:18,080 Speaker 1: to the federal gas taxes. We see nationwide average gas 343 00:19:18,200 --> 00:19:22,320 Speaker 1: prices close to five dollars a gallon. Plus progress on 344 00:19:23,359 --> 00:19:28,160 Speaker 1: gun safety legislation, with the Senate advancing a compromise bill 345 00:19:28,240 --> 00:19:30,640 Speaker 1: on that front. Terry, as always, thanks for your insights. 346 00:19:30,880 --> 00:19:33,800 Speaker 1: Looking ahead to the market, open futures are moving lower 347 00:19:33,840 --> 00:19:36,800 Speaker 1: ahead of Chairman Powell's testimony on Capitol Hill today. All 348 00:19:36,840 --> 00:19:39,880 Speaker 1: right now, SMP futures are down fifty seven points, DAL 349 00:19:40,000 --> 00:19:43,399 Speaker 1: futures down three nine. Nasdaq futures are lower by a 350 00:19:43,480 --> 00:19:46,399 Speaker 1: hundred ninety seven points. The tenure Treasury is up fifteen 351 00:19:46,480 --> 00:19:49,840 Speaker 1: thirty seconds, the yield three point to one per cent. 352 00:19:50,400 --> 00:19:54,080 Speaker 1: Just ahead on Bloomberg day Break, Chairman Powell perhaps for 353 00:19:54,280 --> 00:19:57,800 Speaker 1: two days of testimony on Capitol Hill, and now City 354 00:19:57,840 --> 00:20:02,800 Speaker 1: Group joining the calls for higher risk for a global recession. 355 00:20:03,040 --> 00:20:09,520 Speaker 1: This is Bloomberg Bloomberg eleven three oh weather. Mostly cloudy, 356 00:20:09,560 --> 00:20:12,720 Speaker 1: scattered showers, especially across Long Island in Connecticut today with 357 00:20:12,800 --> 00:20:15,400 Speaker 1: highs and the low seventies will be near eighty tomorrow, 358 00:20:15,600 --> 00:20:18,639 Speaker 1: turning partly to mostly cloudy, low eightiest Friday. Right now 359 00:20:18,800 --> 00:20:28,159 Speaker 1: sixty six degrees. Broadcasting live from the Bloomberg Interactive broker 360 00:20:28,320 --> 00:20:31,720 Speaker 1: studio in New York. Bloomberg E Living Free to Washington, 361 00:20:31,800 --> 00:20:35,640 Speaker 1: d C, Bloomberg on to Boston, Bloomberg one O six 362 00:20:35,720 --> 00:20:39,440 Speaker 1: one to San Francisco, Bloomberg sixty to the country, Sirius 363 00:20:39,600 --> 00:20:42,159 Speaker 1: XM Chado one nine te and around the globe the 364 00:20:42,240 --> 00:20:47,240 Speaker 1: Bloomberg Business and Bloomberg Radio dot Com. This is Bloomberg Daybreak. 365 00:20:53,240 --> 00:20:55,680 Speaker 1: It's five thirty on Wall Street. Good morning. I'm Nathan 366 00:20:55,760 --> 00:20:58,720 Speaker 1: Hagar and I'm Karen Moscow. We are just about four 367 00:20:58,840 --> 00:21:01,240 Speaker 1: hours away from the in the US trading. Let's get 368 00:21:01,320 --> 00:21:02,600 Speaker 1: you have to date on the news you need to 369 00:21:02,640 --> 00:21:04,719 Speaker 1: know at this hour. We begin with the Federal Reserve 370 00:21:05,119 --> 00:21:07,800 Speaker 1: as share J. Powell prepares to appear before the Senate 371 00:21:07,840 --> 00:21:11,280 Speaker 1: Banking Committee this morning. Powell's expected to feel questions about 372 00:21:11,320 --> 00:21:13,840 Speaker 1: how high and fast he needs to raise interest rates 373 00:21:13,920 --> 00:21:16,840 Speaker 1: to slow inflation. At the same time, there are calls 374 00:21:16,920 --> 00:21:19,840 Speaker 1: for the Central Bank to be more aggressive. Richmond Fed 375 00:21:19,920 --> 00:21:23,440 Speaker 1: President Thomas Barkin wants to raise rates as fast as possible, 376 00:21:23,560 --> 00:21:26,800 Speaker 1: but avoid causing undue harm to market thor the economy. 377 00:21:27,080 --> 00:21:28,840 Speaker 1: I think you have to be flexible to what happens 378 00:21:28,920 --> 00:21:31,280 Speaker 1: the faster inflation comes down, the less you're gonna have 379 00:21:31,320 --> 00:21:34,800 Speaker 1: to do in terms of restrictive montery policy. But the 380 00:21:34,880 --> 00:21:38,080 Speaker 1: more difficult the external forces are, the more you'll have 381 00:21:38,200 --> 00:21:41,800 Speaker 1: to do. Richmond FED President Thomas Barkin says he supported 382 00:21:41,800 --> 00:21:44,679 Speaker 1: the decision to raise rates seventy five basis points earlier 383 00:21:44,760 --> 00:21:47,439 Speaker 1: this month. You can catch full coverage of FED Chairman 384 00:21:47,560 --> 00:21:51,680 Speaker 1: Powell Senate testimony today around am Wall Street time on 385 00:21:51,800 --> 00:21:54,480 Speaker 1: Bloomberg Radio and television. Well ahead of that, Karen, a 386 00:21:54,520 --> 00:21:57,640 Speaker 1: more aggressive FED, Weaker demand and supply shocks are leading 387 00:21:57,680 --> 00:22:00,520 Speaker 1: the way for more recession fears. Blue bergs we need 388 00:22:00,600 --> 00:22:02,760 Speaker 1: a young joins us Live with more on that Good morning, 389 00:22:03,200 --> 00:22:06,240 Speaker 1: Good Morning, Nathan. City Groups says there's a fifty percent 390 00:22:06,440 --> 00:22:09,840 Speaker 1: chance of the world economy falling into a recession. As 391 00:22:09,880 --> 00:22:12,959 Speaker 1: a result, the Bank now sees the global economy growing 392 00:22:13,119 --> 00:22:18,120 Speaker 1: three percent this year and two point eight percent economy sets. 393 00:22:18,160 --> 00:22:21,280 Speaker 1: City Groups say if a recession did occur, it's likely 394 00:22:21,320 --> 00:22:25,520 Speaker 1: to be quote garden variety in which unemployment rises several 395 00:22:25,600 --> 00:22:29,600 Speaker 1: percentage points and output experiences a couple of week quarters 396 00:22:30,200 --> 00:22:32,440 Speaker 1: live in New York. I'm gonna need a young Bloomberg 397 00:22:32,520 --> 00:22:35,280 Speaker 1: daybreak all right, Reneed to thank you recession fears and news. 398 00:22:35,359 --> 00:22:38,080 Speaker 1: President Biden is calling for a gas tax holiday as 399 00:22:38,119 --> 00:22:41,760 Speaker 1: oil declining once again. Later today, President bought in Molask 400 00:22:41,840 --> 00:22:45,040 Speaker 1: Congress to enact in gasoline tax holiday for three months 401 00:22:45,320 --> 00:22:48,080 Speaker 1: and checking prices now nine ex screwde oil is down 402 00:22:48,160 --> 00:22:50,720 Speaker 1: four point seven percent on five dollars nineteen cents and 403 00:22:50,760 --> 00:22:53,240 Speaker 1: a hundred four dollars thirty two cents of barrel Brent 404 00:22:53,440 --> 00:22:55,119 Speaker 1: is down more than four percent, as well as a 405 00:22:55,200 --> 00:22:58,240 Speaker 1: hundred nine dollars one cents. Also in Washington, Karen, the 406 00:22:58,320 --> 00:23:00,840 Speaker 1: Senate has voted to advance of bypartisan gun safety bill. 407 00:23:00,880 --> 00:23:04,719 Speaker 1: A vote on final passages expected later this week. Isaac Boltanski, 408 00:23:04,800 --> 00:23:07,720 Speaker 1: Managing director of Policy Research at bt i G, says 409 00:23:07,800 --> 00:23:09,760 Speaker 1: there are a couple key points in the bill. The 410 00:23:09,880 --> 00:23:13,280 Speaker 1: one is the boyfriend louphole and the other is very important. 411 00:23:13,400 --> 00:23:16,600 Speaker 1: It's how are they going to structure federal grants to 412 00:23:16,800 --> 00:23:21,080 Speaker 1: states in relation to h state level the imposition of 413 00:23:21,119 --> 00:23:24,480 Speaker 1: state level red flag walls. Bt i G. Isaac Boltanski 414 00:23:24,520 --> 00:23:27,600 Speaker 1: spoke with our Washington correspondent Joe Matthew on Bloomberg sound 415 00:23:27,720 --> 00:23:30,240 Speaker 1: on Catch the Show weekdays at five pm Eastern on 416 00:23:30,480 --> 00:23:39,200 Speaker 1: Bloomberg Radio. This is Bloomberg Daybreak and it's now five 417 00:23:39,320 --> 00:23:41,720 Speaker 1: thirty three on Wall Street. We're sixty six degrees in 418 00:23:41,880 --> 00:23:44,399 Speaker 1: Central Park. Got an accident on the eastbound Jackie Robinson 419 00:23:44,520 --> 00:23:46,960 Speaker 1: Parkway at Cypress Hill Street. More on that coming up 420 00:23:47,000 --> 00:23:49,159 Speaker 1: in traffic First Michael Barr with more on what's going 421 00:23:49,200 --> 00:23:51,280 Speaker 1: on in New York and around the world. Michael, thank 422 00:23:51,280 --> 00:23:53,119 Speaker 1: you very much. Nathan. It's going to cost more to 423 00:23:53,240 --> 00:23:56,400 Speaker 1: live in New York City. Last night, the Rent Guidelines 424 00:23:56,440 --> 00:23:59,200 Speaker 1: Board voted to increased rents for those who live in 425 00:23:59,320 --> 00:24:02,960 Speaker 1: rent stables departments by a five four margin. The Rent 426 00:24:03,040 --> 00:24:06,320 Speaker 1: Board gave the green light to a three point increase 427 00:24:06,400 --> 00:24:09,960 Speaker 1: on one year leases. For two year leases, it will 428 00:24:10,000 --> 00:24:13,800 Speaker 1: be a five percent increase. The January six Committees hearing 429 00:24:13,880 --> 00:24:18,160 Speaker 1: focused on election officials in Arizona and Georgia. Former President 430 00:24:18,200 --> 00:24:21,440 Speaker 1: Trump and his allies are accused of pressuring those officials 431 00:24:21,680 --> 00:24:25,679 Speaker 1: to overturn the results of the election. To Georgia, election 432 00:24:25,760 --> 00:24:30,200 Speaker 1: workers Ruby Freeman and her daughter testified yesterday. Investigators say 433 00:24:30,440 --> 00:24:34,040 Speaker 1: they were falsely accused of election tampering by Trump and 434 00:24:34,200 --> 00:24:38,000 Speaker 1: Rudy Giuliani. The President of the United States is supposed 435 00:24:38,080 --> 00:24:44,960 Speaker 1: to represent every American not to target one, but he 436 00:24:45,160 --> 00:24:48,800 Speaker 1: targeted me. Freeman's daughters says there were a lot of 437 00:24:48,840 --> 00:24:52,600 Speaker 1: people wishing death on her. Katie Britt won the Republican 438 00:24:52,680 --> 00:24:55,840 Speaker 1: nomination for Senate in Alabama, defeating six term Congressman Moe 439 00:24:55,920 --> 00:24:59,840 Speaker 1: Brooks and the primary runoff, former President Trump endorsed and 440 00:25:00,119 --> 00:25:04,160 Speaker 1: then unendorsed Brooks, who had run under the banner Maga mob. 441 00:25:04,800 --> 00:25:07,920 Speaker 1: Trump eventually endorsed Britt, who received forty five percent, while 442 00:25:07,920 --> 00:25:12,200 Speaker 1: brook Scott d C. Mayor Muriel Bowser has won the 443 00:25:12,240 --> 00:25:14,920 Speaker 1: Democratic primary, putting her on track for a third term 444 00:25:14,960 --> 00:25:17,960 Speaker 1: to leave the nation's capital. Bowser received fifty percent of 445 00:25:18,000 --> 00:25:21,119 Speaker 1: the vote compared to second place Robert White. At thirty 446 00:25:22,400 --> 00:25:26,320 Speaker 1: civil trial juror's rule that Bill Cosby sexually abdused a 447 00:25:26,359 --> 00:25:30,040 Speaker 1: sixteen year old girl at the Playboy Mansion in the 448 00:25:30,119 --> 00:25:33,240 Speaker 1: Los Angeles County jury delivered the verdict in favor of 449 00:25:33,359 --> 00:25:36,760 Speaker 1: Judy Huff, now sixty four, and awarded her five hundred 450 00:25:36,800 --> 00:25:40,600 Speaker 1: thousand dollars. Nathan Goldberg is one of Huff's attorneys. It 451 00:25:40,760 --> 00:25:42,760 Speaker 1: proves that you know you can run, but you can't 452 00:25:42,800 --> 00:25:45,960 Speaker 1: hide that, no matter what he did so many years ago, 453 00:25:46,119 --> 00:25:48,080 Speaker 1: thinking that you know he could just get away with it. 454 00:25:48,760 --> 00:25:51,480 Speaker 1: We brought him here to this court to have justice 455 00:25:52,200 --> 00:25:56,760 Speaker 1: and we won. Cosby has repeatedly denied Huff's allegations. Global 456 00:25:56,800 --> 00:25:58,879 Speaker 1: News twenty four hours a day on air and on 457 00:25:58,960 --> 00:26:01,800 Speaker 1: Bloomberg Quick Take Howard by more than twenty seven under 458 00:26:01,840 --> 00:26:04,640 Speaker 1: journalists and analysts in more than a hundred twenty countries. 459 00:26:04,680 --> 00:26:07,000 Speaker 1: I'm Michael bar This is Bloomberg Naked. Thank you, Michael. 460 00:26:12,480 --> 00:26:14,680 Speaker 1: On Wall Street, time for the Bloomberg Sports Update with 461 00:26:14,840 --> 00:26:17,280 Speaker 1: John stash Our right faith in. The Tampa Bay Rays 462 00:26:17,400 --> 00:26:19,520 Speaker 1: made a trade just for the season started. They sent 463 00:26:19,640 --> 00:26:23,040 Speaker 1: Austin Meadows to Detroit for East Sank Parades. Yank, He's 464 00:26:23,080 --> 00:26:25,080 Speaker 1: probably happy to hear about that trade, Meadows with someone 465 00:26:25,119 --> 00:26:27,800 Speaker 1: of a Yankee killer. But last night Parades hit three 466 00:26:27,880 --> 00:26:30,520 Speaker 1: home run solo shots in the first and third innings 467 00:26:30,520 --> 00:26:32,680 Speaker 1: off Nestor Cortez and then a two one blast and 468 00:26:32,720 --> 00:26:35,919 Speaker 1: the fifth first pitch served up by reliever Clark Schmidt. 469 00:26:35,920 --> 00:26:38,560 Speaker 1: Paradis had one more at fat got hit by a pitch, 470 00:26:38,680 --> 00:26:41,000 Speaker 1: raised beat the Yanks five to four. Mets lost in 471 00:26:41,040 --> 00:26:44,280 Speaker 1: Houston eight to two. Jose Altuve homer for the Astros. 472 00:26:44,320 --> 00:26:46,800 Speaker 1: So did Jordan Alvarez is nineteenth. The year three one 473 00:26:46,920 --> 00:26:51,000 Speaker 1: double for Kyle Tucker Stanley Cuff final resumes tonight in Tampa, Colorado, 474 00:26:51,080 --> 00:26:54,040 Speaker 1: leads to one. They handed out postseason awards last night, 475 00:26:54,160 --> 00:26:56,639 Speaker 1: the m v P to Toronto's Austin Matthews after a 476 00:26:56,720 --> 00:27:00,480 Speaker 1: sixty gold season. Rangers goaliegor says Turkin was a finalist 477 00:27:00,520 --> 00:27:03,080 Speaker 1: for the Hard Trophy. He did win the Vezzana for 478 00:27:03,240 --> 00:27:05,119 Speaker 1: Best goal. He led the league with the goals against 479 00:27:05,440 --> 00:27:08,800 Speaker 1: just over to only previous Ranger winners Mike Richter and 480 00:27:09,040 --> 00:27:12,119 Speaker 1: John Van Peasbrook a settlement between the Shawn Watson and 481 00:27:12,280 --> 00:27:17,160 Speaker 1: twenty of the twenty four plaintiffs suing Watson for sexual misconduct. 482 00:27:17,200 --> 00:27:20,320 Speaker 1: Watson has denied any wrongdoing. He's now with the Cleveland Browns. 483 00:27:20,600 --> 00:27:24,280 Speaker 1: He is awaiting discipline from the NFL. Rob Gronkowski said 484 00:27:24,280 --> 00:27:26,720 Speaker 1: in a statement he walks away with his head held high. 485 00:27:26,840 --> 00:27:30,600 Speaker 1: This is Gronk's second retirement announcement. That's one more than 486 00:27:30,680 --> 00:27:34,159 Speaker 1: his long time teammate before still active, Tom Brady. Together 487 00:27:34,640 --> 00:27:36,480 Speaker 1: they won four Super Bowls, three with New England and 488 00:27:36,600 --> 00:27:39,440 Speaker 1: one in Tampa Brooks. Keepka said last week he had 489 00:27:39,520 --> 00:27:43,000 Speaker 1: hardly heard of the New Live Tour. Now he's joining it. 490 00:27:43,359 --> 00:27:45,679 Speaker 1: A winner of four majors, although he struggled this year. 491 00:27:45,720 --> 00:27:48,560 Speaker 1: Keepki becomes the latest big name. Golford of Bolt the 492 00:27:48,720 --> 00:27:51,840 Speaker 1: p g A Ton Statue Want Bloomberg Sports Nay? Thanks 493 00:27:51,960 --> 00:27:54,600 Speaker 1: John seven on Wall Street Time for the Tri State 494 00:27:54,680 --> 00:27:57,480 Speaker 1: Business Report. Here s Bloomberg's head Cory. The owners and 495 00:27:57,600 --> 00:28:00,399 Speaker 1: operators of all forty one Broadway theater is in New 496 00:28:00,480 --> 00:28:04,080 Speaker 1: York City have agreed to adopt an optional masking policy 497 00:28:04,160 --> 00:28:06,639 Speaker 1: for the month of July. The new policy ends a 498 00:28:06,720 --> 00:28:10,040 Speaker 1: near year long policy of requiring masks and theaters at 499 00:28:10,080 --> 00:28:13,120 Speaker 1: all times, but it stopped short of a complete removal 500 00:28:13,200 --> 00:28:16,919 Speaker 1: of the mandate. New Jersey, Illinois, and Inland California had 501 00:28:16,960 --> 00:28:20,119 Speaker 1: the highest concentrations of the housing markets that faced the 502 00:28:20,160 --> 00:28:23,800 Speaker 1: most risk of declining markets in the first quarter of two. 503 00:28:24,200 --> 00:28:27,119 Speaker 1: Report says the biggest clusters of vulnerable markets are in 504 00:28:27,200 --> 00:28:30,760 Speaker 1: the New York City and Chicago areas. The New Jersey 505 00:28:30,840 --> 00:28:34,080 Speaker 1: Assembly has passed legislation that would ease the burden of 506 00:28:34,160 --> 00:28:38,120 Speaker 1: tax increases on small businesses. Now, business leaders want to 507 00:28:38,120 --> 00:28:40,760 Speaker 1: build a past the state Senate. The State Business and 508 00:28:40,840 --> 00:28:45,040 Speaker 1: Industry Association tells The Star Ledger businesses are confronting about 509 00:28:45,080 --> 00:28:48,960 Speaker 1: two hundred fifty million dollars and added taxes this fiscal year. 510 00:28:49,440 --> 00:28:52,920 Speaker 1: And your Bloomberg Try State Business Report. I did Corey, 511 00:28:53,120 --> 00:28:55,040 Speaker 1: thank you at It's five thirty eight on Wall Street. 512 00:28:55,040 --> 00:28:57,520 Speaker 1: Bloomberg Radio is on the air from San Francisco to 513 00:28:57,600 --> 00:28:59,880 Speaker 1: New York, London to Hong Kong. Let's check in with 514 00:29:00,000 --> 00:29:02,000 Speaker 1: our global news team for some of the top stories 515 00:29:02,040 --> 00:29:05,440 Speaker 1: heard on our three hundred Aphilia radio stations around the world. 516 00:29:07,880 --> 00:29:11,040 Speaker 1: I'm Steve potas content and Wins in New York. We're 517 00:29:11,080 --> 00:29:14,720 Speaker 1: talking about how some vacant Wall Street office spaces are 518 00:29:14,800 --> 00:29:18,880 Speaker 1: being converted into places to live. M Corney Donahoe on 519 00:29:19,040 --> 00:29:22,160 Speaker 1: ktr H in Houston. Target is calling the July fourth 520 00:29:22,240 --> 00:29:26,080 Speaker 1: weekend a big test for consumer demand, and Lisa Matteo 521 00:29:26,200 --> 00:29:28,600 Speaker 1: and on km OX and St. Louis, I'll be reporting 522 00:29:28,640 --> 00:29:30,560 Speaker 1: on why the fourth of July holiday will be a 523 00:29:30,640 --> 00:29:34,680 Speaker 1: big test for consumers. I'm Gina Servetti in for Double 524 00:29:34,880 --> 00:29:38,600 Speaker 1: BBM in Chicago. I'm reporting that Boeimes at CEO says 525 00:29:38,680 --> 00:29:42,240 Speaker 1: air travel demand appears to be sustainable, but Dave Calhoun 526 00:29:42,320 --> 00:29:45,000 Speaker 1: offered a bleak view of the supply problems hitting the 527 00:29:45,080 --> 00:29:48,760 Speaker 1: aviation industry. I'm ad Cory on w A t AM 528 00:29:48,800 --> 00:29:52,240 Speaker 1: in Cleveland. I'm reporting Walgreen Cower's announced the new alliance 529 00:29:52,280 --> 00:29:55,600 Speaker 1: with Buckeye Health Plan. Those are some of the stories 530 00:29:55,680 --> 00:29:58,680 Speaker 1: our twenty seven hundred Bloomberg journalists and analysts are working 531 00:29:58,720 --> 00:30:00,960 Speaker 1: on this morning around the world. It's five thirty nine 532 00:30:01,000 --> 00:30:04,920 Speaker 1: on Wall Street. The following is an editorial from Bloomberg Opinion. 533 00:30:05,200 --> 00:30:08,480 Speaker 1: In agreeing to visit Saudi Arabia next month, President Joe 534 00:30:08,520 --> 00:30:10,800 Speaker 1: Biden has stepped back from his vow to treat the 535 00:30:10,840 --> 00:30:14,440 Speaker 1: country as a pariah. Critics have blasted him for overlooking 536 00:30:14,520 --> 00:30:19,080 Speaker 1: Saudi human rights violations. Even so, Biden's trip conserve a 537 00:30:19,200 --> 00:30:22,480 Speaker 1: valuable purpose. Healthy U s Saudi ties are critical to 538 00:30:22,560 --> 00:30:24,480 Speaker 1: call me in a volatile part of the world and 539 00:30:24,640 --> 00:30:28,480 Speaker 1: stabilizing global energy markets. When he meets with Crown Prince 540 00:30:28,560 --> 00:30:32,320 Speaker 1: Mohammed Bin Salomon, Biden should make clear that improved relations 541 00:30:32,440 --> 00:30:37,080 Speaker 1: require both nations to respect each other's core interests. For example, 542 00:30:37,280 --> 00:30:40,400 Speaker 1: if the US is to reaffirm its commitment to Saudi security, 543 00:30:40,600 --> 00:30:43,920 Speaker 1: then Saudi leaders must pull back from their flirtation with 544 00:30:44,040 --> 00:30:47,840 Speaker 1: the Russians and Chinese Biden's trip should be seen not 545 00:30:48,040 --> 00:30:51,440 Speaker 1: as a concession, but as an investment in a relationship 546 00:30:51,520 --> 00:30:54,600 Speaker 1: that both states need to work. If Biden can restore 547 00:30:54,680 --> 00:30:57,600 Speaker 1: that freight understanding, his visit will have been worth it. 548 00:30:58,000 --> 00:31:00,120 Speaker 1: This editorial was written by the Bloomberg Opinion in the 549 00:31:00,200 --> 00:31:03,800 Speaker 1: editorial Board. I'm David Shipley. For more Bloomberg opinion, please 550 00:31:03,840 --> 00:31:06,600 Speaker 1: go to Bloomberg dot com, Slash Opinion or Opian. Go 551 00:31:07,000 --> 00:31:10,320 Speaker 1: on the Bloomberg terminal. This has been Bloomberg opinion and 552 00:31:10,480 --> 00:31:13,720 Speaker 1: you can hear Bloomberg opinion editorials every weekday at this time. 553 00:31:13,840 --> 00:31:17,560 Speaker 1: Terminal customers can read more at opie I n go. 554 00:31:18,000 --> 00:31:25,120 Speaker 1: This is Bloomberg Bloomberg eleven three oh weather. Scattered showers, 555 00:31:25,240 --> 00:31:28,239 Speaker 1: especially across Long Island in Connecticut, otherwise mostly cloudy, low 556 00:31:28,360 --> 00:31:31,600 Speaker 1: seventies today, will turn partably mostly cloudy tomorrow, upper seventies, 557 00:31:31,880 --> 00:31:37,640 Speaker 1: low eighties Friday. Right now sixty six in Central Park Markets. 558 00:31:37,760 --> 00:31:40,800 Speaker 1: Headlines and breaking news twenty four hours a day at 559 00:31:40,840 --> 00:31:44,760 Speaker 1: Bloomberg dot Com, the Bloomberg Business Outland at Bloomberg Quick Take. 560 00:31:45,040 --> 00:31:54,360 Speaker 1: This is a Bloomberg business clash and I'm Karen Moscow. 561 00:31:54,520 --> 00:31:57,320 Speaker 1: And stocks in Europe are falling along with US stock index, 562 00:31:57,400 --> 00:32:00,160 Speaker 1: futures and commodities, and at ever louder warnings at the 563 00:32:00,200 --> 00:32:03,600 Speaker 1: Federal Reserve monetary tightening may lead to an economic downturn. 564 00:32:03,960 --> 00:32:06,320 Speaker 1: We check the markets every fifteen minutes throughout the trading 565 00:32:06,400 --> 00:32:08,880 Speaker 1: day on Bloomberg s and P future is down fifty 566 00:32:08,920 --> 00:32:12,240 Speaker 1: eight points now, futures down four hundred and NASDAG futures 567 00:32:12,280 --> 00:32:15,040 Speaker 1: down two hundred one. The decks in Germany's down two 568 00:32:15,120 --> 00:32:18,360 Speaker 1: point one percent, the ten year treasury up seventeen thirty seconds. 569 00:32:18,440 --> 00:32:21,120 Speaker 1: You have three point zero percent yield on the two 570 00:32:21,200 --> 00:32:24,480 Speaker 1: year three point one zero percent. NIMEX screwed oil is 571 00:32:24,520 --> 00:32:27,040 Speaker 1: down about five percent on five dollars twenty two cents, 572 00:32:27,080 --> 00:32:29,680 Speaker 1: and a hundred four dollars thirty cents of barrel comex 573 00:32:29,720 --> 00:32:32,160 Speaker 1: s goold is down half percent or nine dollars forty cents. 574 00:32:32,160 --> 00:32:35,200 Speaker 1: In eighteen twenty nine, fifty announced the euro one point 575 00:32:35,240 --> 00:32:37,640 Speaker 1: oh five on three against the dollar, British found one 576 00:32:37,680 --> 00:32:39,760 Speaker 1: point to two to six and the yen one thirty 577 00:32:39,800 --> 00:32:42,840 Speaker 1: five point eight six and bitcoin this morning down two 578 00:32:42,920 --> 00:32:46,320 Speaker 1: percent at twenty thousand, four hundred twenty dollars. And that's 579 00:32:46,360 --> 00:32:48,920 Speaker 1: a Bloomberg business flash now here's Michael Barr with more 580 00:32:49,000 --> 00:32:51,560 Speaker 1: on what's going on around the world. Michael Karen, thank 581 00:32:51,560 --> 00:32:54,440 Speaker 1: you very much. The Senate voted on gun legislation last 582 00:32:54,560 --> 00:32:58,120 Speaker 1: night after weeks of negotiations. The biopartisan deal had ten 583 00:32:58,200 --> 00:33:01,840 Speaker 1: Republican senators on board. Some of the provisions include tougher 584 00:33:01,960 --> 00:33:06,480 Speaker 1: background checks for firearms buyers under twenty one. An earthquake 585 00:33:06,520 --> 00:33:10,240 Speaker 1: and Afghanistan has killed at least nine twenty people. The 586 00:33:10,320 --> 00:33:13,560 Speaker 1: magnitude six point one earthquake struck in the remote parts 587 00:33:13,680 --> 00:33:18,480 Speaker 1: of eastern Afghanistan, with officials saying hundreds were injured. In baseball, 588 00:33:18,560 --> 00:33:21,720 Speaker 1: the Yankees and Mets lost the Red Sox one. The 589 00:33:21,840 --> 00:33:24,800 Speaker 1: Nationals beat the Orioles three zip. The Giants won the 590 00:33:24,880 --> 00:33:27,880 Speaker 1: A's lost. Global news twenty more hours a day on 591 00:33:28,160 --> 00:33:31,520 Speaker 1: air and on Bloomberg Quicktake, powered by more than twenty 592 00:33:31,560 --> 00:33:34,480 Speaker 1: seven d journalists and analyists more than a hundred twenty countries. 593 00:33:34,640 --> 00:33:37,800 Speaker 1: I'm Michael Barn. This is Bloomberg. Nathan all right, Michael, 594 00:33:37,840 --> 00:33:39,480 Speaker 1: thank you. We're coming up to five forty nine on 595 00:33:39,520 --> 00:33:42,680 Speaker 1: Wall Street Line from the Bloomberg Interactive Brokers Studios. This 596 00:33:43,080 --> 00:33:46,440 Speaker 1: is Bloomberg Daybreak, and investors eyes will be on Capitol 597 00:33:46,520 --> 00:33:49,200 Speaker 1: Hill later this morning, as Federal Reserve Chairman Jerome Powell 598 00:33:49,280 --> 00:33:53,240 Speaker 1: begins two days of testimony on monetary policy, markets will 599 00:33:53,280 --> 00:33:56,160 Speaker 1: be looking for clues on what the Fed plans to 600 00:33:56,280 --> 00:33:59,560 Speaker 1: do to rain in forty year inflation. Ahead of that, 601 00:33:59,600 --> 00:34:02,800 Speaker 1: we're joined by David Rosenberg, Founder, chief economist and strategist 602 00:34:02,880 --> 00:34:05,920 Speaker 1: at Rosenberg Research. David, good morning, It's always great to 603 00:34:05,920 --> 00:34:08,040 Speaker 1: speak with you, and we just heard from the White 604 00:34:08,080 --> 00:34:11,160 Speaker 1: House this morning that President Biden is going to be 605 00:34:11,400 --> 00:34:15,279 Speaker 1: making a call to try to rain in inflation in 606 00:34:15,520 --> 00:34:18,800 Speaker 1: gas prices by calling for a three month suspension of 607 00:34:18,840 --> 00:34:21,040 Speaker 1: the federal gas tax. Do you see that having any 608 00:34:21,120 --> 00:34:25,160 Speaker 1: kind of impact if Congress goes along with it. Well, look, 609 00:34:25,800 --> 00:34:29,920 Speaker 1: if it does happen, we're talking about eighteen cents for 610 00:34:30,040 --> 00:34:33,799 Speaker 1: a short period of time, So it's nothing more than 611 00:34:33,840 --> 00:34:37,480 Speaker 1: a gimmick, um politically motivated to show that the White 612 00:34:37,520 --> 00:34:41,040 Speaker 1: House is trying to do something about inflation. But I mean, 613 00:34:41,080 --> 00:34:44,280 Speaker 1: I say, come on, eighteen cents. That takes gasoline prices 614 00:34:44,320 --> 00:34:46,640 Speaker 1: back to where they were three weeks ago and would 615 00:34:46,640 --> 00:34:49,560 Speaker 1: still leave them up more than fifty percent year of 616 00:34:49,600 --> 00:34:53,759 Speaker 1: the year. So it's really, um a nothing more than 617 00:34:53,840 --> 00:34:58,600 Speaker 1: a very small move to make it seem as though 618 00:34:58,960 --> 00:35:01,920 Speaker 1: the White House is doing something and the economic impact 619 00:35:02,760 --> 00:35:07,360 Speaker 1: is going to be in phantismal. Interesting though, that the 620 00:35:07,440 --> 00:35:10,480 Speaker 1: President up to now has said that in order to 621 00:35:10,719 --> 00:35:14,600 Speaker 1: get a handle on inflation, the Federal Reserve needs room 622 00:35:14,920 --> 00:35:18,320 Speaker 1: to work, to have its independence to make the decisions 623 00:35:18,400 --> 00:35:20,279 Speaker 1: that it's going to make. We are going to hear 624 00:35:20,320 --> 00:35:24,000 Speaker 1: from Chairman Powell later this morning. He's been talking about 625 00:35:24,160 --> 00:35:27,120 Speaker 1: a couple of seventy five basis point moves. Are you 626 00:35:27,200 --> 00:35:29,879 Speaker 1: expecting that we're going to get any more clarity from 627 00:35:30,000 --> 00:35:34,160 Speaker 1: Chairman Powell today when he goes before the Senate Banking Committee? Well, 628 00:35:34,200 --> 00:35:36,360 Speaker 1: how much more clarity can we possibly get that we 629 00:35:36,400 --> 00:35:41,280 Speaker 1: didn't get exactly a week ago at his press conference 630 00:35:41,560 --> 00:35:45,160 Speaker 1: following the Effluenc meeting. So a week has gone by, 631 00:35:46,040 --> 00:35:49,719 Speaker 1: what really has changed all that much? And what he 632 00:35:49,880 --> 00:35:52,839 Speaker 1: continued to stress over and over again was the FED 633 00:35:53,239 --> 00:35:57,080 Speaker 1: primary focus on headline inflation. Uh, back in the day 634 00:35:57,200 --> 00:35:59,400 Speaker 1: used to be that core inflation was really the driving 635 00:35:59,440 --> 00:36:02,120 Speaker 1: force for the Fed. UM, but now they think they 636 00:36:02,160 --> 00:36:05,840 Speaker 1: can somehow control food and energy prices. UM. So I 637 00:36:05,880 --> 00:36:07,600 Speaker 1: would say that he's going to continue to beat the 638 00:36:07,680 --> 00:36:12,480 Speaker 1: drum of the necessity again from a political standpoint for 639 00:36:13,200 --> 00:36:16,799 Speaker 1: the lower middle class being hit by headline inflation. Uh 640 00:36:17,000 --> 00:36:20,560 Speaker 1: that um, it's uh damn, the torpedoes full steam ahead. 641 00:36:20,600 --> 00:36:22,399 Speaker 1: That the FED is going to continue to raise interest 642 00:36:22,480 --> 00:36:25,520 Speaker 1: rates here until something breaks. So do you think that 643 00:36:25,640 --> 00:36:28,680 Speaker 1: Chairman Palace swayed by the likes of Richmond fred President 644 00:36:28,760 --> 00:36:30,839 Speaker 1: Thomas Barkin, who just came out and said the FED 645 00:36:30,920 --> 00:36:34,239 Speaker 1: should go as aggressively as it can, as fast as 646 00:36:34,320 --> 00:36:36,759 Speaker 1: it can, as long as it doesn't do damage to 647 00:36:36,760 --> 00:36:40,560 Speaker 1: the economy. Well, I don't know, is that I could 648 00:36:40,600 --> 00:36:44,000 Speaker 1: flip the question around, is it Powell gonna follow a 649 00:36:44,080 --> 00:36:48,560 Speaker 1: Barkin or is Barkin following Powell? Or basically maybe outside 650 00:36:48,560 --> 00:36:52,560 Speaker 1: of esther George and that was a surprise descent from 651 00:36:52,760 --> 00:36:55,680 Speaker 1: a traditional hawk. I think most people at the FED 652 00:36:55,719 --> 00:36:57,919 Speaker 1: are thinking fifty or seventy five. A lot are still 653 00:36:57,960 --> 00:37:00,600 Speaker 1: tilted towards seventy five basis point. They know full well 654 00:37:00,719 --> 00:37:02,600 Speaker 1: that we're in a bear market and equities the FED 655 00:37:02,760 --> 00:37:05,279 Speaker 1: is never tightened policy into this sort of a bear 656 00:37:05,360 --> 00:37:08,440 Speaker 1: market before. But like I said, they believe their mandate 657 00:37:08,520 --> 00:37:12,319 Speaker 1: now is headline inflation. It's over eight percent, and they're 658 00:37:12,320 --> 00:37:15,160 Speaker 1: going to continue to tighten policy and probably will hope 659 00:37:15,640 --> 00:37:18,319 Speaker 1: that we don't fall into recession. But look, we've had 660 00:37:18,760 --> 00:37:22,239 Speaker 1: fourteen FED tightening cycle since nineteen fifty eleven of them 661 00:37:22,320 --> 00:37:26,200 Speaker 1: most of them unintended lemit economy and recession. So when 662 00:37:26,239 --> 00:37:28,240 Speaker 1: you're taking a look right now with the stock market 663 00:37:28,320 --> 00:37:30,399 Speaker 1: is telling you, the stock market is telling you both 664 00:37:30,480 --> 00:37:33,720 Speaker 1: the headline and all the cyclical components beneath the veneer, 665 00:37:34,320 --> 00:37:36,080 Speaker 1: is that a recession is staring us in the face. 666 00:37:36,440 --> 00:37:38,799 Speaker 1: So but my sense is that that's if the Fed 667 00:37:39,360 --> 00:37:42,680 Speaker 1: is determined to get this sort of inflation principally not 668 00:37:42,960 --> 00:37:47,239 Speaker 1: exclusively principally supply induced. They want to get inflation back 669 00:37:47,280 --> 00:37:49,680 Speaker 1: down towards two percent, you will only achieve it in 670 00:37:49,760 --> 00:37:53,200 Speaker 1: this sort of environment by generating a contraction and accurate demand. 671 00:37:53,360 --> 00:37:55,760 Speaker 1: The GDP is accurate demand, and it means a recession 672 00:37:56,440 --> 00:37:59,319 Speaker 1: is coming sooner rather than later. That's your call then, 673 00:37:59,360 --> 00:38:01,239 Speaker 1: that we're going to see a recession, perhaps as soon 674 00:38:01,280 --> 00:38:04,640 Speaker 1: as this year. I think it's probably steering us in 675 00:38:04,719 --> 00:38:07,000 Speaker 1: the face. I don't know why people think it's next 676 00:38:07,080 --> 00:38:10,920 Speaker 1: year's story. The stock market tends to lead by roughly 677 00:38:11,000 --> 00:38:13,719 Speaker 1: six months. Attorney points not once have we entered into 678 00:38:13,760 --> 00:38:15,719 Speaker 1: a bear market where the lead time was twelve months. 679 00:38:15,760 --> 00:38:18,719 Speaker 1: It's never happened before. So yeah, I think that it's 680 00:38:19,120 --> 00:38:21,239 Speaker 1: most likely starting in the second half of the year, 681 00:38:21,280 --> 00:38:23,759 Speaker 1: And it could have already started when you consider we 682 00:38:23,880 --> 00:38:26,919 Speaker 1: had negative one five Q one real GDP. Of course, 683 00:38:26,960 --> 00:38:29,400 Speaker 1: all the economists say, oh, we'll just ignore inventories and 684 00:38:29,480 --> 00:38:32,360 Speaker 1: exports as if they don't matter. And Atlanta fat is 685 00:38:32,400 --> 00:38:35,800 Speaker 1: down to zero for Q two. So I think that 686 00:38:35,920 --> 00:38:39,160 Speaker 1: we're uh, you know, we the k the de k 687 00:38:39,600 --> 00:38:44,399 Speaker 1: in the numbers are clearly evident that we're heading into 688 00:38:44,560 --> 00:38:47,680 Speaker 1: a contraction in real GDP. I think it will come 689 00:38:47,719 --> 00:38:50,600 Speaker 1: more forcefully in the second half of the year. Uh. 690 00:38:50,680 --> 00:38:52,680 Speaker 1: And the leading indicators are telling you that. I mean, 691 00:38:52,760 --> 00:38:54,680 Speaker 1: how often in the past have we had three months 692 00:38:54,719 --> 00:38:57,440 Speaker 1: in a row of negative readings and the conference boards 693 00:38:57,520 --> 00:39:00,640 Speaker 1: leading economic indicator, nobody talks about this, down three months 694 00:39:00,640 --> 00:39:03,080 Speaker 1: in a row and down four the five past months, 695 00:39:03,160 --> 00:39:06,000 Speaker 1: and all people are focused on his inflation inflations. By 696 00:39:06,000 --> 00:39:08,719 Speaker 1: the way, he does kill heal g DT on its own, 697 00:39:08,800 --> 00:39:11,400 Speaker 1: but nobody talks about these things that basically the conference 698 00:39:11,400 --> 00:39:13,719 Speaker 1: sports meeting indicators telling you, by the way that the 699 00:39:13,760 --> 00:39:17,600 Speaker 1: odds of recession are nine if you live with the 700 00:39:17,680 --> 00:39:20,880 Speaker 1: historical record. Thanks for this, David, good having you on 701 00:39:21,000 --> 00:39:24,840 Speaker 1: with a David Rosenberg of Rosenberg Research, Karen Nathan. It 702 00:39:24,960 --> 00:39:26,759 Speaker 1: is five fifty four on Wall Street. Now to a 703 00:39:26,840 --> 00:39:29,800 Speaker 1: legal story we're watching. The Supreme Court will issue opinions 704 00:39:29,840 --> 00:39:32,880 Speaker 1: again on Thursday, with only thirteen cases left to decide 705 00:39:32,920 --> 00:39:35,880 Speaker 1: before the summer recess. The most highly anticipated is a 706 00:39:35,960 --> 00:39:38,840 Speaker 1: decision on Mississippi's ban on abortions, which could mean the 707 00:39:39,000 --> 00:39:42,000 Speaker 1: end of Roe v. Wade, according to a Elite draft opinion. 708 00:39:42,239 --> 00:39:45,320 Speaker 1: President Biden has said he is considering executive actions to 709 00:39:45,400 --> 00:39:48,440 Speaker 1: protect abortion rights for more Bloomberg's doing grossos Vic. To 710 00:39:48,480 --> 00:39:52,120 Speaker 1: Mary Ziegler, professor at u C. Davis Law School, there's 711 00:39:52,160 --> 00:39:55,759 Speaker 1: also a suggestion of using federal funds to help pay 712 00:39:56,000 --> 00:40:00,360 Speaker 1: travel and lodging costs for poor women who are crossing 713 00:40:00,440 --> 00:40:04,600 Speaker 1: state lines to get an abortion, assuming that states allow 714 00:40:05,239 --> 00:40:08,799 Speaker 1: people to travel out of state for abortion without effectively 715 00:40:08,840 --> 00:40:12,760 Speaker 1: shutting down abortion providers. Assuming that happens, then it would 716 00:40:12,800 --> 00:40:16,239 Speaker 1: be important for people have the ability to pay right. 717 00:40:16,360 --> 00:40:19,400 Speaker 1: There will again probably be legal challenges, primarily based on 718 00:40:19,480 --> 00:40:22,279 Speaker 1: the High Amendment, so some people will say the High 719 00:40:22,320 --> 00:40:25,320 Speaker 1: amendment is narrow, it's just about Medicaid reimbursement for abortion. 720 00:40:25,400 --> 00:40:27,719 Speaker 1: Others will point to language and the affordable character the 721 00:40:27,800 --> 00:40:31,200 Speaker 1: heighamanman essentially saying, you know, differing the cost of abortion 722 00:40:31,360 --> 00:40:34,400 Speaker 1: is kind amount to pay for abortion, and that various 723 00:40:34,440 --> 00:40:37,080 Speaker 1: aspects of federal law make that impossible. Again, I don't 724 00:40:37,120 --> 00:40:39,480 Speaker 1: know how that kind of federal challenge will go, but 725 00:40:39,600 --> 00:40:42,200 Speaker 1: we would again expect to see litigation about that. We've 726 00:40:42,280 --> 00:40:45,800 Speaker 1: talked before about abortion pills and how that may be 727 00:40:45,960 --> 00:40:50,040 Speaker 1: the new frontier for abortion. Right now, the FDA requires 728 00:40:50,120 --> 00:40:53,840 Speaker 1: any pharmacy that distributes a drug to obtain a special license. 729 00:40:54,080 --> 00:40:56,480 Speaker 1: So another proposal is just to make it easier to 730 00:40:56,640 --> 00:41:00,520 Speaker 1: obtain abortion pills. Is that an easy fix? I'm that's 731 00:41:00,560 --> 00:41:03,719 Speaker 1: certainly an easier fixed. It won't obviously address all of 732 00:41:03,760 --> 00:41:06,160 Speaker 1: the kinds of things that we see Red States planning 733 00:41:06,239 --> 00:41:08,880 Speaker 1: to do in the aftermath of Rugby Wad being overturned. 734 00:41:09,160 --> 00:41:11,920 Speaker 1: But I think for many supporters of abortion rights, the 735 00:41:12,040 --> 00:41:16,800 Speaker 1: additional restrictions on access to abortion medication are not warranted 736 00:41:16,880 --> 00:41:20,440 Speaker 1: based on existing evidence, and they do make abortion medication 737 00:41:20,560 --> 00:41:24,120 Speaker 1: harder to get. I think, obviously in states that will 738 00:41:24,120 --> 00:41:27,320 Speaker 1: seek to criminalize abortion medication. That's only a piece of 739 00:41:27,360 --> 00:41:29,880 Speaker 1: a bigger picture, but I think it's certainly something that 740 00:41:29,960 --> 00:41:32,759 Speaker 1: abortion rights supporters will see it to be overdue. The 741 00:41:32,880 --> 00:41:37,120 Speaker 1: states that want to criminalize abortion pills, how do you 742 00:41:37,160 --> 00:41:39,759 Speaker 1: think they'll go about that? More likely, what we're going 743 00:41:39,880 --> 00:41:42,600 Speaker 1: to see um is some combination of kind of bounty 744 00:41:42,680 --> 00:41:46,120 Speaker 1: schemes like we've seen with Texas spate, or states incentivized 745 00:41:46,160 --> 00:41:50,000 Speaker 1: people or potentially even require people to report when they 746 00:41:50,040 --> 00:41:52,839 Speaker 1: have evidence of an abortion taking place, or we're likely 747 00:41:52,880 --> 00:41:56,360 Speaker 1: to see lots of cyber surveillance. There are lots of 748 00:41:56,440 --> 00:42:00,200 Speaker 1: ways that government can access your online data, whether that's 749 00:42:00,280 --> 00:42:03,799 Speaker 1: someone who's searched on Google for abortion, or someone's cell 750 00:42:03,840 --> 00:42:07,600 Speaker 1: phone location data if they've traveled for an abortion period, 751 00:42:07,680 --> 00:42:10,399 Speaker 1: tracker apps, and so on, which is why you've seen 752 00:42:10,640 --> 00:42:15,439 Speaker 1: some proposals from Democrats to focus on digital privacy, because 753 00:42:15,520 --> 00:42:19,160 Speaker 1: of course digital privacy concerns would affect those speaking abortions, 754 00:42:19,239 --> 00:42:21,640 Speaker 1: but potentially many others as well as states are trying 755 00:42:21,680 --> 00:42:24,680 Speaker 1: to figure out who's having abortions. They may be surveying 756 00:42:24,760 --> 00:42:28,319 Speaker 1: people of reproductive age or even just people who are 757 00:42:28,400 --> 00:42:31,480 Speaker 1: researching abortion, and that's very Ziggler professor at You See 758 00:42:31,520 --> 00:42:34,120 Speaker 1: David's Law school speaking at Bloomberg Student Grass So catch 759 00:42:34,160 --> 00:42:36,520 Speaker 1: more of that interview, plus analysis of the latest legal 760 00:42:36,640 --> 00:42:39,920 Speaker 1: news my subscribing to the Bloomberg Law Podcast or downloading 761 00:42:39,960 --> 00:42:43,279 Speaker 1: this show at Bloomberg dot com slash podcast, and our 762 00:42:43,320 --> 00:42:46,560 Speaker 1: top stories are straight ahead as Bloomberg day Break continues. 763 00:42:46,800 --> 00:42:48,080 Speaker 1: This is Bloomberg