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Speaker 1: Welcome to the Bloomberg Surveillance Podcast. I'm Tom Keane, along

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Speaker 1: with Jonathan Ferrell and Lisa A. Brawmowitz Jailey. We bring

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Speaker 1: you insight from the best and economics, finance, investment, and

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Speaker 1: international relations. Find Bloomberg Surveillance on Apple podcast, SoundCloud, Bloomberg

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Speaker 1: dot Com, and of course, on the Bloomberg Terminal. Kenny

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Speaker 1: Kaminski joined US now Chief Research. Trying to just to

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Speaker 1: alpha simplex. Kenny, you much more than that. You guys

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Speaker 1: have had a massive year. Kenny, can you walk me

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Speaker 1: through what's worked this year and what hasn't worked this week? Yes,

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Speaker 1: that's a good question. I mean, in the first part

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Speaker 1: of the year, the narrative was inflation, so we were

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Speaker 1: very much seeing long signals and commodities short signals in

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Speaker 1: fixed income for the first time since. But later in

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Speaker 1: the year this narrative has changed. It's been a draft

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Speaker 1: between the recession fear versus rising rates and the impact

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Speaker 1: of the relative strength of the dollar. So the dollar

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Speaker 1: trade has probably been the biggest mover since this summer,

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Speaker 1: and this short bond trade continues to be the focus

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Speaker 1: of many of the technical community. Of those of us

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Speaker 1: who follow momentum signals Katherine Kaminski. Into the weekend, everyone

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Speaker 1: is going to read on turtle trading, John Henry and

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Speaker 1: Alpha Simplex. You are up plus this year using trend

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Speaker 1: based studies, explained to our audience what you didn't do

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Speaker 1: to generate a return larger than the triple leverage dollar

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Speaker 1: cash fund. So trend strategies are really about following what

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Speaker 1: the market is doing, not what the market should do.

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Speaker 1: And I think that's where we're in a very good

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Speaker 1: position because frankly, nobody knows what the market is or

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Speaker 1: should do going forward, given the complexity of the new

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Speaker 1: macro environment that we're in. So I think in that sense,

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Speaker 1: it's really been difficult to make a call on some

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Speaker 1: thing that most investors have never lived through and then

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Speaker 1: a different macro environment than most of us really have

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Speaker 1: sort of been used to. I mean, look at the

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Speaker 1: correlations today is a perfect example. Today we have stocks down,

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Speaker 1: bonds down, dollar up again, and that's a very strange

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Speaker 1: cross asset theme, but it's the prevailing theme in this

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Speaker 1: type of environment. Katie, can you find any kind of

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Speaker 1: theme when it comes to the optimism and stocks? Perversely,

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Speaker 1: from this idea that the Fed is going to back

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Speaker 1: away and then the pessimism on the tech in the

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Speaker 1: tech universe after some of these earnings. That's a good

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Speaker 1: question because like earnings coming in, it's just another data

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Speaker 1: point that people have to absorb to try and understand

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Speaker 1: this narrative, and we look at what's been happening now.

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Speaker 1: Obviously duration exposure is something that a lot of tech

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Speaker 1: UH investors are thinking about, but also the fact that

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Speaker 1: you're really seeing that divergence across sectors, across economies across

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Speaker 1: the world. So we're really seeing even though there's key

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Speaker 1: macro themes, these macro changes are really eating winners and

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Speaker 1: losers in this particular environment. So it's making it a

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Speaker 1: very interesting environment to be a tactical trader or someone

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Speaker 1: that's looking for sort of deviations from the meme. It's

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Speaker 1: not just a stocks always go up by your sixty

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Speaker 1: forty environment this year, which means that there's opportunities for

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Speaker 1: those who are a little more tactical. Ketty, you've been

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Speaker 1: tremendous this year. Congratulations to you. In the same m

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Speaker 1: A Alpha simplex, David Coston Goulden Sex joins us this swarning. David,

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Speaker 1: can you explain to me, how your world has changed

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Speaker 1: from when I studied three to four percent FX adjustment

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Speaker 1: on equities and all of a sudden we're doing dollar

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Speaker 1: adjustment of six percent, eight percent. The CFO of Apple

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Speaker 1: said near ten percent yesterday. How does your world change

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Speaker 1: with strong dollar? Well, the way the world changes from

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Speaker 1: a fundamental point here in the United States is that

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Speaker 1: of the revenues of US companies are actually generated domestically.

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Speaker 1: Uh So, therefore the sensitivity of companies from a corporate

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Speaker 1: point of view is largely going to be focused in

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Speaker 1: the technology sector. We're almost sixty of their sales were overseas,

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Speaker 1: So from that point of view, Tom, the translation back

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Speaker 1: is really going to be focused in certain areas as

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Speaker 1: opposed to broadly across the market. When you look at

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Speaker 1: the sales of healthcare companies, utilities, and the telecom companies,

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Speaker 1: even financials largely domestic in nature, and therefore it's less

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Speaker 1: sensitive than maybe is widely perceived. But it is definitely

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Speaker 1: a concern and a focus on some of the global

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Speaker 1: multinationals tech in particular. It's David, let's talk about by backs.

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Speaker 1: This came from market inside of yesterday. I listened to

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Speaker 1: these numbers meant to spent forty five billion on buy

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Speaker 1: backs last year, paying about three thirty share on average

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Speaker 1: Meta yesterday close with a ninety seven handle. David Kustim,

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Speaker 1: what on earth is going to happen with corporate bipacks

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Speaker 1: in the year to come? And just walk us through

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Speaker 1: because I know you and the team at Goldman do

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Speaker 1: so much work on this. The importance of bi backs

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Speaker 1: as a feature of demand in this secuity market. So,

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Speaker 1: Jonathan critic point is the fact that over the last

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Speaker 1: ten years, every year the single biggest source of demand

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Speaker 1: for u S shares has been corporate repurchases. So question

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Speaker 1: here is this year there will be up around five

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Speaker 1: versus a year ago, and our forecast next years they'll

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Speaker 1: probably decline by about ten percent, So tem percent less

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Speaker 1: buy backs in three than this year. That's assuming a

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Speaker 1: soft landing, Jonathan. If you had a recession scenario, that's

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Speaker 1: probably down. That is again a very significant development in

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Speaker 1: the certain terms of the confidence the ceo s have

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Speaker 1: in the outlook for business activity in the in the

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Speaker 1: coming year. That does drive some of their decisions on

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Speaker 1: their capital spending. I've spoken some boards this week as

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Speaker 1: they think about their uses of cash in the coming

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Speaker 1: twelve months. The idea of how important capital spending is

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Speaker 1: relative to research and development dollars. How do they think

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Speaker 1: about the prioritization of merger acquisition spending. But buy backs

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Speaker 1: has been the default use of cash for a lot

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Speaker 1: of companies and that is likely to be receiving as

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Speaker 1: we look into coundar three, and that again has been

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Speaker 1: the single biggest support function for equity prices in the

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Speaker 1: UH in the last ten years. David, just to sort

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Speaker 1: of underline this point, how much do you expect this

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Speaker 1: to pull back in terms of how much stocks can

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Speaker 1: gain just simply because this massive buyer will not be there. Well,

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Speaker 1: it's a it's a it's a big issue. We think

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Speaker 1: about the flow of funds if you want to think

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Speaker 1: about it in that context, Leasa, the idea of um

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Speaker 1: pension funds as counter cyclical buyers would be one area

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Speaker 1: of source of demand, partially off setting some of the

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Speaker 1: we will pulling back on the on the buyer backs,

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Speaker 1: but it is u it's off tough to basically replace

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Speaker 1: that when when looking at companies spending around three point

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Speaker 1: one trillion dollars, that's the cash spending of SPI companies

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Speaker 1: three point one trillion UH this year, probably flat in

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Speaker 1: terms of overall spending for next year and UH and

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Speaker 1: the corporate buybacks roughly a trillion dollars this year and

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Speaker 1: that's likely to be down probably called in the next year.

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Speaker 1: There's really not another source of demand for shares that

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Speaker 1: is going to replace the bid, if you will, from

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Speaker 1: the corporate side, David. One thing that Goldman Sax has

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Speaker 1: been out front on is that you don't think that

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Speaker 1: there has been full earnings capitulation in terms of what

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Speaker 1: we can expect going forward. What do you think the

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Speaker 1: trier will be. Just sort of throw the kitchen sink

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Speaker 1: at the issue and really see the downgrades to outlook

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Speaker 1: that you would like to see, to see a bottom well,

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Speaker 1: just to be clear, at least, it's not like I'd

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Speaker 1: like to see them, and what do we expect to happen.

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Speaker 1: I think the point you made is an excellent one.

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Speaker 1: In the following keep the following kind of numbers in mind.

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Speaker 1: Coming in the first quarter of the expectation was about

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Speaker 1: plus five percent year over your earnings growth came in

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Speaker 1: plus twelve. Second quarter expectation plus six came in plus ten.

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Speaker 1: The setup coming in for the current quarter was basically

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Speaker 1: plus three expectation. You have your growth earnings plus three percent,

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Speaker 1: they're basically somewhere between one and two percent, so there's

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Speaker 1: actually know a negative or surprise relative to expectations. That's

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Speaker 1: right now what's happened. Then looking forward in the fourth quarter,

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Speaker 1: expectations kind of at this time before the earning season

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Speaker 1: begin was plus seven. Now it's looking at plus five.

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Speaker 1: So the idea of this cut cut cuts are death

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Speaker 1: by a thousand cuts. That's essentially what's happening as you

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Speaker 1: look into the fourth quarter, and then more importantly and

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Speaker 1: you look into calendar three are expectations Right now, we're

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Speaker 1: basically plus three percent earn his growth, So basically a

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Speaker 1: modest growth nominal dollars helps sales. Higher inflation bad for margins,

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Speaker 1: so you basically have very modest level of profits. That's

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Speaker 1: assuming uh soft landing and basically economy continues to grow,

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Speaker 1: although a below trend pace. On the other hand, if

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Speaker 1: you have a recession, which more and more and more

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Speaker 1: of the portfolio managers with whom I speak have that view,

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Speaker 1: then basically you'd have earnings probably down eleven percent. So

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Speaker 1: that's your starting point at least to the point is

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Speaker 1: that currently expectations in next year is probably plus seven.

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Speaker 1: So think in terms of the magnitude of diminution in

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Speaker 1: terms of the huts probably coming from plus seven down

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Speaker 1: to potentially as as low as as minus eleven percent,

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Speaker 1: and that historically has been the case coming into a

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Speaker 1: recession sort of the period of six months ahead of recessions,

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Speaker 1: earns usually get cut by a round ten percent. So

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Speaker 1: a lot of focus has been the impact of higher

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Speaker 1: dom made reference earlier the dollar, the impact of higher inflation.

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Speaker 1: What does this do? Could companies support their margins? The

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Speaker 1: answer is there's downward pressure. The source of the negative

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Speaker 1: surprises this quarter has been, in fact weaker margins than

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Speaker 1: was anticipated. David Coaston and Colman David one of the

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Speaker 1: best just contensed to catch up. These seven enjoy the weekend.

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Speaker 1: David Coaston of comt Sex. The Michigan statistics are particularly

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Speaker 1: availue if you're waited to the Midwest, as Lindsay Piggs

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Speaker 1: is out of Northwestern uh and of course with stephle

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Speaker 1: and she's their chief economiscence joins us in studio today,

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Speaker 1: which is an honor from the Midwest. What's the Midwest

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Speaker 1: economy like compared to people on the East Coast working

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Speaker 1: in three zip codes. What do we get wrong in

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Speaker 1: our silly focus on Manhattan. I think we're missing the

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Speaker 1: compounding level of pain that we're seeing across the country.

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Speaker 1: We are seeing small businesses, we are seeing consumers very

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Speaker 1: much under pressure as a result of rising costs. We're

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Speaker 1: seeing businesses struggle to stay afloat. They're facing rising rental costs,

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Speaker 1: rising parts costs. Uh. It's very difficult environment, and sometimes

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Speaker 1: we do focus just on the microcosm of some of

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Speaker 1: these major cities that may be faring slightly better, but

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Speaker 1: the rest of the country is still under an extreme amount.

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Speaker 1: To rip up the script right now, we're gonna get

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Speaker 1: dr PS in trouble with their general Council. Is stifle

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Speaker 1: right now, let's go political. There's an election coming up

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Speaker 1: in a couple of weeks. I just mentioned food inflation

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Speaker 1: of eleven point two percent. Does that sustain as John

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Speaker 1: Farrell talks about German inflation sustaining well, I think right

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Speaker 1: now the risk to inflation in the US is certainly

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Speaker 1: to the upside. The idea that we're going to see

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Speaker 1: this welcome downward trajectory as the FED hasted to access

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Speaker 1: on double digit food inflation. You know, in my next year,

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Speaker 1: absolutely I think carrying into I think this could absolutely

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Speaker 1: be event as well, that we're continuing to see these

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Speaker 1: contagion effects in the agriculture market, in the energy sector,

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Speaker 1: and this is going to make it very difficult for

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Speaker 1: the FED to get inflation back down to their two

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Speaker 1: percent target. And remember, even when we look at the

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Speaker 1: Bloomberg estimates, of course the past several years, the market

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Speaker 1: is consistently underestimating the level of inflation by anywhere from

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Speaker 1: fifty to a hundred and fifty basis points. And so

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Speaker 1: this is an ongoing theme well, although some people would

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Speaker 1: argue that we're also underestimating on the flip side how

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Speaker 1: quickly it could come down, and that we are seeing

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Speaker 1: things like used cars, We're seeing housing prices start to

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Speaker 1: stabilize or even in certain places come down. We're starting

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Speaker 1: to see this feeling that perhaps we're not going to

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Speaker 1: get that acceleration in some of the main components that

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Speaker 1: have driving this. What do you say to them that

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Speaker 1: perhaps they're missing the forest for the trees With respect

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Speaker 1: to some of the other price pressures coming from wages

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Speaker 1: in other areas well. We are seeing demand destruction in

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Speaker 1: some areas, which I do think will translate into slower

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Speaker 1: cost pressures in some sectors. But at this point, when

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Speaker 1: we're still talking about an unemployment rate at a five

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Speaker 1: decade low, contributing to that upward pressure on wages, coupled

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Speaker 1: with the idea that it's not just a demand side

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Speaker 1: inflation equation, it's also a supply side inflation equation, and

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Speaker 1: they are the FED has very little control over these factors.

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Speaker 1: So I've been watching spending figures and consumers are still spending.

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Speaker 1: We saw that GDP print yesterday and that's surprised to

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Speaker 1: the upside consumer consumption. How much is this being driven

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Speaker 1: by borrowed money by credit cards. We're seeing debt on

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Speaker 1: credit cards climbed to the highest levels that they've been

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Speaker 1: going back to two nine. This is kind of a

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Speaker 1: perilous time to be accelerating leverage now. Well, to your point,

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Speaker 1: consumers are still spending, but it is very clearly that

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Speaker 1: second derivative decline, meaning a slower pace of still positive expenditures.

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Speaker 1: We're talking about sub two percent consumption levels. That's far

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Speaker 1: from impressive, but we're also seeing very temporary factors helping

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Speaker 1: support the consumer. We did see lower prices at the pump.

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Speaker 1: Over the past couple of months, we have seen consumers

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Speaker 1: turn to credit cards, and while I'm certainly not advocating

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Speaker 1: that consumers take on new amounts of debt, we do

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Speaker 1: have quite a bit of wiggle room for consumers to

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Speaker 1: expand their balance sheet. We are starting from a relatively

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Speaker 1: healthy standpoint when we look at debt relative to disposable

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Speaker 1: personal income, that's in a multidecade low. So we do

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Speaker 1: have additional room to continue to supplement these lower levels

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Speaker 1: of spending for another month to maybe longer, at which

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Speaker 1: point many are optimistic there will be additional fiscal stimulus

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Speaker 1: coming down the pipeline to help those in a position

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Speaker 1: of unemployment or in a position of hardship. Next week

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Speaker 1: November two, Wednesday. Can't believe is November next week? Ridiculous? Anyway?

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Speaker 1: Federals of Matsink, Champ and Pound in the news conference,

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Speaker 1: given everything you've just said, and given the hopes of

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Speaker 1: dreams if they stepped down that I keep hearing about,

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Speaker 1: we all keep hearing about over the last week, how

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Speaker 1: does he navigate that conversation? Given everything you've just said.

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Speaker 1: I think he says at some point it will be

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Speaker 1: appropriate to slow the pace of rate increases and assess

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Speaker 1: the earlier impact of policy decisions. Were not at that

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Speaker 1: point yet, but at some point that will be appropriate.

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Speaker 1: That will give the committee enough wiggle room to continue

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Speaker 1: at a more aggressive pace. And we do expect the

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Speaker 1: Fed to maintain this aggressive pace into the end of

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Speaker 1: the year and even revise higher their forecast for rates

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Speaker 1: and inflation. But it also gives them enough wiggle room

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Speaker 1: on the other side that should inflation surprise to the downside,

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Speaker 1: they could begin to look at a more benign fifty

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Speaker 1: basis point increased steps scored five years. You had the

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Speaker 1: honor of Robert Gordon Economics at Northwestern. That book he

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Speaker 1: wrote a number of years ago on the collapse of

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Speaker 1: economic growth in America was gloomy, gloomy, gloomy? Is he

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Speaker 1: onto something here? Or can technology save the American economy?

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Speaker 1: At five years, it's going to be a big question

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Speaker 1: mark about productivity. Productivity has been languishing in this country

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Speaker 1: for the better part of the past decade and about

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Speaker 1: half a percent. So when we look at the growth

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Speaker 1: prospects of the U S economy sons of return of productivity.

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Speaker 1: I think the long run potential is below two percent,

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Speaker 1: probably around one point eight percent. So without that influx

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Speaker 1: of productivity, without that boost, I do think it's a

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Speaker 1: more dismal long term potential for the U. S economy.

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Speaker 1: Still positive, but certainly not robust. And thence we're going

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Speaker 1: to leave it. That fantastic to catch out with you,

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Speaker 1: this is a joy. He is out of Punaho and

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Speaker 1: the Esteem polly Side program at Williams College. He did

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Speaker 1: something with the internet company years ago called America Online,

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Speaker 1: and then he was supposed to leave the cushy life.

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Speaker 1: Steve Case chose not to do that, and more than

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Speaker 1: anyone I know and technology, he has gone out and said,

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Speaker 1: from c to Shining Sea, how do we do tech?

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Speaker 1: The Rise of the Rest is a second effort at

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Speaker 1: this It is a short, terse book. I can't say

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Speaker 1: enough about it. Rated by the Ft and their Beauty

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Speaker 1: List this year. Steve Case joins us now on what's

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Speaker 1: going on in Pittsburgh, What's going on in Detroit? Steve,

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Speaker 1: you begin the book with Shinola in Detroit, Michigan. I

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Speaker 1: get Austin, I get Nashville, I get Fargo. Okay, why

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Speaker 1: is Detroit the Rise of the rest Well, the whole

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Speaker 1: book is around dozens of city, but I start off

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Speaker 1: with Detroit because it's such an amazing story. A hundred

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Speaker 1: years ago, Detroit was sort of the Silicon Valley of

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Speaker 1: at this time when the car was the technology of

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Speaker 1: the day. Everybody wanted to be part of the car revolution.

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Speaker 1: People moved to Detroit to be part of that. It

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Speaker 1: was going gangbusters for for several decades and then lost

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Speaker 1: about half its population. And then the year before we

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Speaker 1: came with our Rise rest Bus, the city of Detroit

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Speaker 1: w and bankrupt. So it was the top city that

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Speaker 1: it was really struggling, and now it's really fighting its

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Speaker 1: way back. You mentioned sin all the way back. We

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Speaker 1: also go back to another company called stock X. Now

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Speaker 1: either those companies existed ten years ago. Both of them

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Speaker 1: now have more than a thousand employees in Detroit and

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Speaker 1: are creating a new sense of possibility in Detroit. And

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Speaker 1: that's really the story all across the country, which why

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Speaker 1: I decided to write the book, to tell the stories

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Speaker 1: of these entrepreneurs building companies and these cities that are

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Speaker 1: being renewed because of the work of new companies. Is

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Speaker 1: big tech helping an investment in Sioux Falls, Well, there's

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Speaker 1: been there has been more of a back clash, as

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Speaker 1: you know, against the big tech that does create some

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Speaker 1: opportunities for some entrepreneurs. Even frankly, this difficult economy, you've

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Speaker 1: already seen some big companies cut back on some of

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Speaker 1: their initiatives that were kind of long term growth initiatives.

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Speaker 1: That creates an opening for for entrepreneurs. And so I

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Speaker 1: believe the next five or ten years really could be great. Uh,

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Speaker 1: we just need to focus on entrepreneurs everywhere, not just

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Speaker 1: in a few places. And for the last decade, seventy

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Speaker 1: of venture capital has gone just three states California, New York,

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Speaker 1: and Massachusetts. Sevent to the other forty seven states are

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Speaker 1: fighting over twenty five percent. The whole idea of Rise

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Speaker 1: the Rest is to back those entrepreneurs. These they're gonna

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Speaker 1: be very successful investments as well as having a very

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Speaker 1: powerful impact in terms of creating jobs and economic vitality

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Speaker 1: in these in these communities, many of which have felt

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Speaker 1: left out and left behind by this last wave of innovation.

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Speaker 1: What about the next couple of years. Considering that there

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Speaker 1: was a lot of ample venture capital available over the

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Speaker 1: past five years. Going forward, a lot less is available,

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Speaker 1: a lot of people are pulling back. There isn't the

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Speaker 1: same kind of free money being thrown in terms of

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Speaker 1: I p O s and a lot less acceptance to

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Speaker 1: high salute and tech ideas. What do you think that

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Speaker 1: will do to the pace of development. Well, might make

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Speaker 1: a little more difficult in Silicon Value, but it actually

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Speaker 1: likely will help in terms of the Rise of the Rest.

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Speaker 1: And some of that is because it's always been more

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Speaker 1: difficult for the entrepreneurs in these rising cities to get

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Speaker 1: venture capital. Valuations have tended to be lower, the entrepreneurs

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Speaker 1: have tended to be scrappy or more bootstrapping, more capital efficient.

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Speaker 1: So this change in the market where some of the

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Speaker 1: high flyers in places like Silicon Values in a big reset,

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Speaker 1: we're not seeing the same kind of reset in these

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Speaker 1: Rides of the rest cities. So I think that that

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Speaker 1: bodes well if we continue continue to make sure venture

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Speaker 1: capital is is everywhere. One great statistic in the book

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Speaker 1: is over the last decade, four hundred new regional venture

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Speaker 1: capital firms have started up in these Rise of the

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Speaker 1: Rest city So that really boded well for this next

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Speaker 1: chapter I can't let you go without having some comment

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Speaker 1: on Twitter going private and Elon Musk being at the

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Speaker 1: helm of this. What's your view in how the view

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Speaker 1: into entrepreneurs changes as it really becomes the mouthpiece, particularly

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Speaker 1: even in a private way, the mouthpiece for individuals and

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Speaker 1: politicians alike. I'm a big fan of Twitter, was one

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Speaker 1: of the early early users, and certainly think Elon is

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Speaker 1: one of the most creative entrepreneurs we've we've we've seen

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Speaker 1: in this in this era, So I don't want to

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Speaker 1: bet against him. I think he does have some challenges,

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Speaker 1: a little bit like the dog that caught the car,

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Speaker 1: and it's a little bit now what I know he

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Speaker 1: wants to make some moves around making it more of

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Speaker 1: a town square, but I think you need to be

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Speaker 1: careful in terms of making sure he does and lose users,

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Speaker 1: doesn't lose advertisers, doesn't trigger more more regulations. So really,

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Speaker 1: the first day of a new day for Twitter, I

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Speaker 1: hope it. I hope it goes well. Steve, what should

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Speaker 1: big tech do with a ten years strategic plan? The

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Speaker 1: massive cash build up selected companies with massive share buy back,

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Speaker 1: They literally, it seems, don't have the imagination of what

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Speaker 1: to do with the profit? Where should they be ten

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Speaker 1: years from now. Well, obviously that some of these companies

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Speaker 1: have had enormous success over the last decade, as you've said,

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Speaker 1: and that gives them a lot of flexibility. But I

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Speaker 1: think the market is sank thing with with with Facebook.

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Speaker 1: While you need to lean in the future, you need

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Speaker 1: to invest in things like the metaverse, you need to

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Speaker 1: do it in a in a balanced way. I think

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Speaker 1: you'll see more of that, more of the pressure from

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Speaker 1: Wall Street around companies in terms of their investment strategies.

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Speaker 1: And they said earlier that actually creates an opportunity for

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Speaker 1: entrepreneurs who can be disruptive. And it's been hard to

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Speaker 1: disrupt at tech in the last decade, and make it

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Speaker 1: easier in the coming years and quickly, Lisa, here there's

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Speaker 1: the fall of selected places, like the struggles of Chicago

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Speaker 1: and San Francisco right as you get sort of this

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Speaker 1: diversification of sources of entrepreneurship. San Francisco in particular very

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Speaker 1: much front and focus is just crossing. Paul Pelosi, the

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Speaker 1: husband of Nancy Pelosi house speaker, was violently assaulted early

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Speaker 1: on Friday. Early today following a break in at the

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Speaker 1: couple of San Francisco Home. This just coming out, Steve,

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Speaker 1: do you think that San Francisco can recover from the exodus,

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Speaker 1: the work from home trend, some of the feeling that

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Speaker 1: it's been having for a while that it might be

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Speaker 1: very much on the downtrend. Well, san Francisco still a

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Speaker 1: great city. Silicon Valley is still a great place. It

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Speaker 1: will still be the leader of the pack when we

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Speaker 1: talk about the rise of rest. We're not predicting that

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Speaker 1: decline of Silicon Valley were just the rise of other

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Speaker 1: other cities. But I do think you're starting to see

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Speaker 1: a dispersion of talent that people felt they had to

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Speaker 1: be in Silicon Valley now feel a flexibility in other places.

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Speaker 1: Venture capitalists that are only investing in Silicon Valley now

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Speaker 1: are investing other places. And that's why I wrote this

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Speaker 1: book to inspire the next generation of launchburg and the

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Speaker 1: investors to back them in city like Baltimore, Detroit, Minneapolis, Denver, Nashville,

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Speaker 1: all over the country that are really emerging as great

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Speaker 1: startup phubs. Folks, I'm not going to mince words. Bloomberg

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Speaker 1: Surveillance is about this nation. It's not just about new

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Speaker 1: York City and maybe San Francisco, and named some other

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Speaker 1: things that nobody has done more nick coast to coast

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Speaker 1: than Steve case on expansion of this nation and innovation

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Speaker 1: and technology. Tune in forty pages The Rise of the

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Speaker 1: Rest Steve case Uh with an update on his work

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Speaker 1: of the last decade. This is the Bloomberg Surveillance Podcast.

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Speaker 1: Thanks for listening. Join us live weekdays from seven to

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Speaker 1: ten a m. Eastern on Bloomberg Radio and on Bloomberg

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Speaker 1: Television each day from six to nine am for insight

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00:22:46,359 --> 00:22:50,480
Speaker 1: from the best in economics, finance, investment, and international relations.

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Speaker 1: And subscribe to the Surveillance Podcast on Apple podcast, SoundCloud,

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Speaker 1: Bloomberg dot com, and of course on the terminal. I'm

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Speaker 1: Tom Key than This is Bloomer