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Speaker 1: Global business news twenty four hours a day at Bloomberg

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Speaker 1: This is a Bloomberg Business flag from Bloomberg World Handquarters.

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Speaker 1: I'm Charlie Pellett's stocks are holding onto the gains in

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Speaker 1: inching higher after a number of companies announced deals after

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Speaker 1: the Labor Day holiday. Energy companies making the biggest gains

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Speaker 1: as investors hope for a deal that could limit oil

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Speaker 1: production and send prices and company profits higher. Right now,

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Speaker 1: West Texas Intermedia crewed up one percent, advancing forty three

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Speaker 1: cents of arrel forty eighty seven right now on West

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Speaker 1: Texas Intermedia crued. Brent Crew down six tenths of one percent,

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Speaker 1: Gold rallying twenty seven dollars announced to thirteen fifty, up

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Speaker 1: by two percent, and the tenure of eighteen thirty seconds

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Speaker 1: at yield one point five four percent, SMP five hundred,

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Speaker 1: indecks up three to eighty three, a gain of one

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Speaker 1: tenth of one percent down, Industrials up twenty four a

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Speaker 1: gain of one tenth of one percent ends and to

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Speaker 1: stack up by three tents of one percent. I'm Charlie Pellot,

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Speaker 1: and that's a Bloomberg Business Flash. You're listening to Taking

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Speaker 1: Stock with pim Box on Bloomberg Radio. The shares of

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Speaker 1: Spectra Energy are higher by nearly fifteen percent today after

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Speaker 1: Canada's Enbridge says that it is buying the Houston based

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Speaker 1: company for a twenty eight billion dollar price tech it's

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Speaker 1: going to create the largest energy pipeline and storage company

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Speaker 1: in North America. Here to tell us more, Tim Low,

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Speaker 1: energy reporter for Bloomberg News. Tim, thanks very much for

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Speaker 1: coming in. Tell us Why does Canada's Enbridge want this deal? Sure, well,

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Speaker 1: thanks for having me. The primary reason is, you know,

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Speaker 1: coming out of this energy downturn that we've been undergoing

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Speaker 1: a lot of the pipeline companies, the midstream sector. Uh,

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Speaker 1: there's a sense that there's security and being bigger and

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Speaker 1: being faster, being you know, stronger should there be another downturn,

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Speaker 1: and this is a play at that. Uh. It would

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Speaker 1: you know, the biggest ever by by a Canadian company

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Speaker 1: in another country. So they're really sitting their sites pretty

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Speaker 1: high with this one. So Tim is part of this

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Speaker 1: that given uh expense, given all the regulator hurdles you

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Speaker 1: have to jump through, and then most famously Keystone Excel

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Speaker 1: being blocked that it's just hey, why try to buy buy,

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Speaker 1: especially if you're already big to snap up the existing

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Speaker 1: ones as fast as you can. Absolutely, it kind of

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Speaker 1: sort of like the old adage, you know, you don't

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Speaker 1: appreciate what you have until crisis hits. There's a it's

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Speaker 1: getting harder and harder to to build these pipelines, these huge,

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Speaker 1: massive infrastructure projects that can span half a continent, um

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Speaker 1: through whether it's environmentalist sentiment trying to prevent the projects

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Speaker 1: from being built, uh, regulatory hurdles. So um, there's sort

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Speaker 1: of a maybe a new appreciation for the pipelines that

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Speaker 1: already exist and as you said, easier to buy than

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Speaker 1: to build, Easier to buy than to build. Indeed, is

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Speaker 1: there any regulatory issue that we need to be mindful of. Well,

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Speaker 1: it'll have to go through all the usual regulatory um hurdles, um,

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Speaker 1: you know, shareholder votes. But the sentiment that I've kind

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Speaker 1: of talking to investors and analysts today is pretty bullish

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Speaker 1: on this. I think it makes sense, Uh, it'll be

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Speaker 1: good for shareholders, and there doesn't seem to be a

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Speaker 1: whole lot of concern. I just love what the Spectra's

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Speaker 1: CEO said, will be the FedEx of the pipeline business.

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Speaker 1: We ship, we pick up, we store product absolutely. And

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Speaker 1: what he might have added to that is you know

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Speaker 1: where exactly And that's part of the point, which is everywhere.

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Speaker 1: UH and Bridge obviously is a huge player in Canada.

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Speaker 1: Specter has been putting a lot of resources into assets

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Speaker 1: along the Mexican border. UH and they have, you know,

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Speaker 1: some of the premier pipelines in the US. So this

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Speaker 1: will really create a company. Some are calling it what

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Speaker 1: could be, you know, the first super major UH pipeline company.

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Speaker 1: It's one of the reasons why they're doing this deal

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Speaker 1: because over the summer, the Canadian High Court next a

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Speaker 1: project that approval for end Bridge to build a pipeline

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Speaker 1: to the west coast of Canada to export their oil.

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Speaker 1: Some people think that might have something to do with it. UH.

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Speaker 1: And again it plays into the sort of theory that

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Speaker 1: it's getting easier just to you know, cobble together assets

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Speaker 1: rather than try to build new ones. Um. Tim, just

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Speaker 1: a quick comment if you would, on a story that

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Speaker 1: was brought to my attension but mostly today, but you've

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Speaker 1: already written your team started written about it last week

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Speaker 1: about a North Dakota pipeline involves four states, it's facing protest,

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Speaker 1: it's potentially it may not be blocked, but I guess

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Speaker 1: it just for our listeners who may not be following that. Again,

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Speaker 1: it just kind of illustrating why this is so important

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Speaker 1: to buy existing pipelines. Absolutely. In fact, there were arrests

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Speaker 1: made last week at some of the protests. It's the

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Speaker 1: code of access pipeline. UH spearheaded from Energy Transfer, which

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Speaker 1: is a company that you know, tried to follow a

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Speaker 1: similar playbook when they tried to purchase Williams Company last year.

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Speaker 1: That deal inevitably fell through, um and UM. But yeah,

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Speaker 1: so the sort of the environmental movement is more organized

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Speaker 1: than in the past. They're able to Keystone was a

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Speaker 1: prime example. And what did UH Trans Canada end up

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Speaker 1: doing after the Keystone didn't come through earlier this year,

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Speaker 1: they went out and they bought Columbia Pipeline Group, So

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Speaker 1: similar playbook. All right, well, Tim, well, thank you so

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Speaker 1: very much as you as a story develops, will look

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Speaker 1: forward to having you back on taking stock. Thank you

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Speaker 1: so much. Energy reporter for Bloomberg News. Now let's get

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Speaker 1: to Mark n Catt, Government reporter for Bloomberg News in Columbus,

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Speaker 1: Ohio today, Donald Trump, Hillary Clinton getting ready to go

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Speaker 1: to battle in the battleground states. Two months now left

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Speaker 1: before the election. This is Clutch time mark welcome back. So, uh,

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Speaker 1: where what are you seeing today? Who are you talking to? Well,

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Speaker 1: we're kind of following up the Labor Day unofficial kickoff

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Speaker 1: of the final sprint to the election. Obviously we have

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Speaker 1: a much longer campaign cycle, but you know, traditionally a

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Speaker 1: lot of people start paying attention after the summer vacations

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Speaker 1: and are over in school starts after Labor Day, and

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Speaker 1: we're sort of following what states the campaigns are targeting. Um. Today,

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Speaker 1: Donald Trump is in the battleground states of Virginia and

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Speaker 1: North Carolina. Hillary Clinton is in Florida. But yesterday all

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Speaker 1: four principles on both sides were in Ohio, maybe the

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Speaker 1: key battleground states and former as in Bill Clinton was

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Speaker 1: also in Ohio yesterday sort of for Labor Day events.

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Speaker 1: And what we're seeing is sort of the map really

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Speaker 1: sort of focused on the key states are going to

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Speaker 1: really decide this election, and in the case of Donald Trump,

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Speaker 1: particularly in the industrial Midwest states like Ohio and Pennsylvania,

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Speaker 1: that he really needs to win if he's gonna get

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Speaker 1: electoral votes needed to win the presidency. Mark, there are

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Speaker 1: what sixty four days to go before the election, in

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Speaker 1: just seventeen days before the first early voting begins. What

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Speaker 1: kind of organization does Donald Trump and Hillary Clinton have,

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Speaker 1: let's say, in Florida right now. Well, we're seeing stories emerged,

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Speaker 1: including one that my colleagues at Bloomberg Politics put out

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Speaker 1: the last week, that suggests Donald Trump is far behind

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Speaker 1: Hillary Clinton in terms of the so called ground game.

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Speaker 1: This is the get out to vote machinery, registering voters

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Speaker 1: and getting your supporters to the polls, including getting folks

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Speaker 1: to vote early to bank those votes. And the reporting

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Speaker 1: we're seeing on the ground is that, you know, Hillary

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Speaker 1: Clinton has a pretty robust campaign organization and state like

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Speaker 1: Florida and also in Ohio where I'm based, in some

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Speaker 1: cases just sort of uh taking and expanding the ground

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Speaker 1: game operation that Barack Obama ran in two thousand and

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Speaker 1: eight and two thousand twelve in those states, and Trump

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Speaker 1: is behind trying to sort of gear up uh ground

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Speaker 1: game operations in these states, in part because Trump is

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Speaker 1: sort of outsourced the ground game activity that a campaign

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Speaker 1: usually coordinates or or uh participates into the Republican National

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Speaker 1: Committee or the Republican parties in these states. And that

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Speaker 1: just means it was a late start and also fewer

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Speaker 1: resources that are being devoted to the ground game, Mark,

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Speaker 1: can you tell? Um? And then as you look at

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Speaker 1: the battleground states and what Hillary Clinton is doing now,

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Speaker 1: she was sort of pulling back and raising a lot

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Speaker 1: of money. Now she's going to come out swinging again.

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Speaker 1: Are are she being asked much about the latest FBI

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Speaker 1: memo on her email us? Just this is it only

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Speaker 1: you know, political junkies and reporters who are so interested

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Speaker 1: in this is voting public to get a sense that

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Speaker 1: they are paying attention to this, we'll see. I mean,

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Speaker 1: I think you're right, there's there's a there's a sense

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Speaker 1: that a lot of this has already baked in that

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Speaker 1: you know, the people who are paying attention have already

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Speaker 1: accounted for this. Either they care or they don't care

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Speaker 1: about the email scandals involving Hillary Clinton and also the

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Speaker 1: questions about her involvement with the Clinton Foundation and her

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Speaker 1: time as Secretary of State. But like I said before,

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Speaker 1: we were sort of the phase of the campaign now

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Speaker 1: where you know, people who haven't been paying attention and

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Speaker 1: not unlike political junkies you know, living and breathing this campaign,

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Speaker 1: are really sort of looking and tuning in for the

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Speaker 1: first time. UM. And we'll see, if you know, how

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Speaker 1: much way those particular issues have on them. And I

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Speaker 1: think a lot is going to be determined, frankly by

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Speaker 1: the debates this cycle. Um. A lot of voters already

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Speaker 1: know Hillary Clinton and Donald Trump, and to the extent

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Speaker 1: that they haven't paid attention, I think the debates will

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Speaker 1: will help crystallize for them, you know, one way or

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Speaker 1: the other, how they feel about the issues that are

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Speaker 1: important or help them decide the race, including you know,

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Speaker 1: their views about the email situation with Hillary Clinton and

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Speaker 1: as well as the use of the Clinton Foundation. Just

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Speaker 1: quickly market third parties, whether it be libertarian or Green Party,

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Speaker 1: Are they going to have an effect on the election results?

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Speaker 1: They could, And they're sort of a parlor game going

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Speaker 1: on right now to determine sort of who do they hurt?

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Speaker 1: If if you sort of start from the premise that

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Speaker 1: you know, it's unlikely a third party candidate could win

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Speaker 1: an election, you know, where does the votes go or

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Speaker 1: come from? Uh? If if it will goes to a

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Speaker 1: Green Party or libertarian, does it pull votes from Hillary Clinton,

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Speaker 1: for example, or help Donald Trump? UM and and we're

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Speaker 1: starting to see, you know, analysis, even at the state

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Speaker 1: level and in these battleground states about you know what

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Speaker 1: impact the third party vote can have. Thanks very much

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Speaker 1: for joining us. Mark and Nutt is a government reporter

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Speaker 1: for Bloomberg News. He's joining us from the battle ground

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Speaker 1: state of Ohio. He's in Columbus. He can be followed

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Speaker 1: on Twitter at m niquette. You're listening to taking Stock.

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Speaker 1: I'm pim Fox, my co host Kathleen Hayes, and this

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Speaker 1: is Bloomberg. Yeah,