Speaker 1: Bloomberg Audio Studios, podcasts, radio news.
Speaker 2: A single best idea on a huge day for technology.
Speaker 2: Thank you Caroline Hyde for coming in with Bloomberg Technology
Speaker 2: and providing wisdom on this open AI Microsoft thing. I
Speaker 2: don't pretend to get it, but it's really like it's
Speaker 2: almost like a sea change day for AI. We saw
Speaker 2: that with a Microsoft lift, Apple going above for trillion
Speaker 2: as well in marketcap, but really really interesting that sort
Speaker 2: of overwhelmed the newsflow through the day. Robert Kaplan with us,
Speaker 2: a former president of the Dallas Fatties, back at GOLDBN
Speaker 2: Sachs as vice chairman. Robert Kaplan, of course, on tomorrow's meeting, I.
Speaker 3: Don't know they're going to be surprises. They're going to
Speaker 3: cut tomorrow, they're going to announce. I would guess they're
Speaker 3: going to end quantitative tightening. Those aren't surprises. I think
Speaker 3: the only possible surprise is I think J Powell, I believe,
Speaker 3: should leave the door open to cutting in December. The
Speaker 3: markets are pricing into they're going to cut in December,
Speaker 3: but he's going to want to leave some optionality just
Speaker 3: in case they're getting closer to neutral. Inflation is still
Speaker 3: running seventy five hundred basis points above target, so it
Speaker 3: might be taken some as a little bit more independent,
Speaker 3: wanting optionality, although I don't think they should be surprised
Speaker 3: by that.
Speaker 2: Robert Capln, the former president of a Dallas Fed, we
Speaker 2: had a brilliant, extended discussion about what we're going to
Speaker 2: do with the people left behind by AI. It was
Speaker 2: truly one of our conversations of the year. Our conversation
Speaker 2: in the last three years with Edward yard Denny has
Speaker 2: been simple. When everyone was gloomy. Yard Denny said, corporations
Speaker 2: will adapt, they will adjust, and he looked for higher
Speaker 2: prices in shares of American companies. He nailed this bullmarket
Speaker 2: and your Denny of your Denny research, the bull market continues.
Speaker 1: I think the bullmarket continues here. We've still got some
Speaker 1: good news ahead. Some of it's been discounted, of course,
Speaker 1: but the Fed is expected to lower the Fed funds
Speaker 1: rate two more times this year, so that would get
Speaker 1: us down to three point five percent. By the way,
Speaker 1: I don't think the economy really needs it, so a
Speaker 1: lot of this stimulus is probably going to feed the bullmarket.
Speaker 1: And I'm looking for the S and P five hundred
Speaker 1: to get to seven thousand by the end of the
Speaker 1: year or by the end of the week. I mean
Speaker 1: things are moving pretty quickly here, and then seventy seven
Speaker 1: hundred by the end of next year.
Speaker 2: Your Denny there, of your Denny research, and please to
Speaker 2: inform you that Max, the dog who sleeps on the
Speaker 2: couch behind Ed, never woke up throughout the entire interview.
Speaker 2: We hope you're awake, of course. On a podcast, it's
Speaker 2: on an Apple and Spotify and a YouTube podcasts a
Speaker 2: single best idea