WEBVTT - Bloomberg Daybreak: March 3, 2022 - Hour 2 (Radio) 0:00:02.960 --> 0:00:06.320 Live from the Bloomberg Interactive Brooker's Studios. This is Bloomberg 0:00:06.400 --> 0:00:10.680 Daybreak for Thursday, March three. Coming up this hour, Russia 0:00:10.760 --> 0:00:13.960 presses ahead in Ukraine as the war enters its second week. 0:00:14.160 --> 0:00:17.119 Boyle continues, It's March higher, hitting the highest level since 0:00:17.160 --> 0:00:19.919 two thousand eight. J Pali stands pad on plans for 0:00:19.920 --> 0:00:22.640 a rate hike this month and the January six. Panels 0:00:22.680 --> 0:00:26.080 says evidence suggests crimes committed by Donald Trump. New York 0:00:26.160 --> 0:00:29.320 school chancellor says he wants to stop the exodus of students. 0:00:29.320 --> 0:00:32.280 Plus Supreme Court nominee Brown Jackson is making the rounds 0:00:32.320 --> 0:00:35.520 on Capitol Hill. On Michael Blarm, We're ahead of John 0:00:35.560 --> 0:00:38.600 Stay Sharon Sports, the Nick Lawston Philadelphia, The Rangers beat 0:00:38.680 --> 0:00:41.600 the Blues College who wins for St? John's, Seaton Hall 0:00:41.640 --> 0:00:46.840 and Rutger. That's all straight ahead on Bloomberg day Break 0:00:47.040 --> 0:00:51.920 on Bloomberg Elementary on New York, Bloomberg one, Washington, d C, 0:00:52.280 --> 0:00:56.680 Bloomberg one oh six one, Boston, Bloomberg nine sixties, San Francisco, 0:00:57.000 --> 0:00:59.960 Sirius x M one nine Team and around the world 0:01:00.000 --> 0:01:03.200 Old on Bloomberg Radio dot Com and via the Bloomberg 0:01:03.240 --> 0:01:11.279 Business good morning. I'm Karen Moscow. I'm Nathan Hagar. Bloomberg Daybreak, 0:01:11.280 --> 0:01:13.880 brought to you by Interactive Brokers Global Analysts, helps you 0:01:13.920 --> 0:01:17.200 find new global investment opportunities. To diversify your portfolio and 0:01:17.240 --> 0:01:20.520 discover undervalued companies that may have greater growth potential. Try 0:01:20.560 --> 0:01:23.280 I b k R Global Analysts today at I b 0:01:23.440 --> 0:01:26.640 k R dot Com. Slash, g A and US futures 0:01:26.640 --> 0:01:29.120 are lower this morning six o one on Wall Street. 0:01:29.160 --> 0:01:31.680 We checked the markets every fifteen minutes throughout the trading day. 0:01:31.760 --> 0:01:34.760 On Bloomberg, SNP future is down ten points down, futures 0:01:34.800 --> 0:01:37.440 down forty eight, NASTAG futures down fifty eight, and the 0:01:37.480 --> 0:01:40.000 tenure treasury up six thirty seconds. The yeld one point 0:01:40.040 --> 0:01:42.840 eight five percent, yield on the two year one point 0:01:42.880 --> 0:01:46.080 for eight percent. NIMEX screwed oil is up two point 0:01:46.120 --> 0:01:48.720 four percent at a hundred thirteen dollars twenty eight cents 0:01:48.760 --> 0:01:51.040 a barrel. Nathan Karen will have more on the markets 0:01:51.080 --> 0:01:53.120 in a minute, but first, the war in Ukraine is 0:01:53.240 --> 0:01:56.280 entering its second week. Russian forces are pressing ahead with 0:01:56.360 --> 0:01:59.680 their offensive, firing missiles at the capital of Kiev. Moscow's 0:01:59.720 --> 0:02:02.320 also stepped up a campaign to take cities in the south. 0:02:02.680 --> 0:02:05.960 Ukraine's President Vladimir Zolinsky says Russian troops will be met 0:02:06.000 --> 0:02:11.440 with force wherever they go. They will be destroyed. They 0:02:11.440 --> 0:02:14.480 will not have common they will not have food, they 0:02:14.520 --> 0:02:18.280 will not have one quiet moment. The occupied receive only 0:02:18.320 --> 0:02:24.160 one thing for the Ukrainian resistance. Fifth President Vladimir Zelinski 0:02:24.240 --> 0:02:26.760 is telling Russian troops to go home. Ukraine is set 0:02:26.800 --> 0:02:29.960 for a second round of talks with Moscow today. Meantime, 0:02:30.040 --> 0:02:33.360 Nathan the United Nations is ramping up its rhetoric on Russia. 0:02:33.480 --> 0:02:36.840 The U n Secretary General is demanding Moscow removed troops 0:02:36.880 --> 0:02:40.359 from Ukraine, and Bloomberry's Ed Bachelor has the story. An 0:02:40.360 --> 0:02:45.040 overwhelming majority of the General Assembly back Russian condemnation forty 0:02:45.120 --> 0:02:49.079 one four five against thirty five Abstained. Secretary General Antonio 0:02:49.120 --> 0:02:54.480 Guterres says the world demands peace. People in Ukraine desperately 0:02:55.040 --> 0:03:02.000 needed peaces, and people demanded this as representatives from Ukraine 0:03:02.000 --> 0:03:04.840 and Russia are headed to the Belarus Poland border today 0:03:04.880 --> 0:03:07.600 for a second round of talks, and Secretary of State 0:03:07.639 --> 0:03:10.360 Anthony blink And has headed to Europe for talks with NATO. 0:03:10.400 --> 0:03:14.120 Allies in San Francisco. I'm at Bachelor Bloomberg daybreak. Okay 0:03:14.160 --> 0:03:16.840 and thank you. Russian finances are feeling more pain this morning. 0:03:16.840 --> 0:03:19.000 The country's credit rating has been cut to junk by 0:03:19.040 --> 0:03:21.960 both Moodies and Fitch Ratings. Both worn that sanctions can 0:03:22.040 --> 0:03:25.680 undermine Russia's capability and willingness to service debt. Well. Nathan 0:03:25.680 --> 0:03:29.080 Oil continues, It's march higher this morning, hitting levels we 0:03:29.160 --> 0:03:31.959 haven't seen in fourteen years. We get the latest lie 0:03:31.960 --> 0:03:35.760 from Bloomberg's John Tucker, John Karen. Buyers continue to shun 0:03:35.840 --> 0:03:39.360 Russian crude and traders are betting the prices will keep rising. 0:03:39.800 --> 0:03:43.400 Don't expect any help from OPEC plus. After thirteen minute meeting, 0:03:43.480 --> 0:03:46.760 they stuck to just a mild increase in production and 0:03:46.760 --> 0:03:49.600 don't expect help from US shell producers. They say labor 0:03:49.600 --> 0:03:53.800 and material shortages are hurting their production. It's not just oil, 0:03:53.920 --> 0:03:58.200 commodities rising across the board. Bloomberg's gage of raw materials 0:03:58.560 --> 0:04:01.480 is closing in on the biggest weekly gain in sixty years, 0:04:01.840 --> 0:04:06.040 Aluminum hit a record, and wheat prices extended their meteoric rally. 0:04:06.440 --> 0:04:10.360 These commodities are not subject as sanctions, but surging freight 0:04:10.440 --> 0:04:14.160 and insurance costs are keeping buyers away. Live in New York. 0:04:14.200 --> 0:04:17.440 I'm John Tucker, Bloomberg Daybreak. Okay, John, thank you. Despite 0:04:17.480 --> 0:04:20.279 risks from Russia's invasion of Ukraine, J Powell is making 0:04:20.320 --> 0:04:23.080 the fight against inflation his top priority. The FED chair 0:04:23.120 --> 0:04:26.080 testified before ours panel yesterday, saying he supports a rate 0:04:26.160 --> 0:04:28.279 hike later this month. I do think it will be 0:04:28.279 --> 0:04:31.159 appropriate to raise our target ranch for their fellow funds 0:04:31.240 --> 0:04:33.279 rate at the March meeting in a couple of weeks, 0:04:33.560 --> 0:04:35.760 and I'm inclined to propose and support a twenty five 0:04:35.800 --> 0:04:38.840 basis point rate hike. And to the extent inflation comes 0:04:38.839 --> 0:04:42.080 in higher or is more persistently high than that, then 0:04:42.200 --> 0:04:45.760 we would be prepared to move more aggressively by by 0:04:45.960 --> 0:04:47.960 raising the fellow funds rate by more than twenty five 0:04:48.000 --> 0:04:51.840 basis point. FED Chair J. Powell testifies before Congress again today, 0:04:51.880 --> 0:04:54.560 this time to the Senate Banking Committee, Well, Nathan. The 0:04:54.560 --> 0:04:57.279 next major event for J. Powell and the Fed is 0:04:57.320 --> 0:05:00.680 Friday's jobs report of the past year. Rapid wage growth 0:05:00.680 --> 0:05:03.400 has left business as scrambling to keep up, and it 0:05:03.440 --> 0:05:05.960 looks like that trend will continue Bloomber's rind to Young 0:05:06.040 --> 0:05:08.600 joins us now at the details. Good morning Renda, Good 0:05:08.600 --> 0:05:11.799 morning Karen. The February jobs report is expected to show 0:05:11.839 --> 0:05:15.160 average hourly earnings rose a half a percent last month, 0:05:15.440 --> 0:05:18.800 pushing year over year games close to six percent, and 0:05:18.839 --> 0:05:23.200 if you exclude two pandemic distorted prints in the annual 0:05:23.279 --> 0:05:27.599 increase would be the strongest in data going back fifteen years. 0:05:27.600 --> 0:05:30.600 Some slowing is expected, but wage growth is poised to 0:05:30.680 --> 0:05:34.560 remain exceptionally strong this year. High labor costs are yet 0:05:34.600 --> 0:05:37.280 another factor the Fed will have to contend with as 0:05:37.320 --> 0:05:40.520 it works to cool the hottest inflation in a generation. 0:05:41.200 --> 0:05:44.719 In New York, I'm renneda young Bloomberg daybreak, Rina. Thanks. 0:05:44.800 --> 0:05:47.360 Turning to politics now, we have new developments involving the 0:05:47.440 --> 0:05:51.279 January six attack on the Capitol. The Congressional committee investigating 0:05:51.320 --> 0:05:54.240 the incident says it may have evidence former President Trump 0:05:54.279 --> 0:05:57.440 was part of a criminal conspiracy. Amy Morris reports from 0:05:57.440 --> 0:06:01.479 our Bloomberg newsroom in Washington. The committee says Trump advisor 0:06:01.560 --> 0:06:05.440 John Eastman's emails device President Mike Pence's lawyer show evidence 0:06:05.440 --> 0:06:08.800 of obstruction of an official proceeding, a felony that carries 0:06:08.839 --> 0:06:11.640 a maximum of twenty years in prison, and the emails, 0:06:11.640 --> 0:06:14.279 he blames Pence for the riot and says, quote, I 0:06:14.279 --> 0:06:17.760 implore you to consider one more relatively minor violation of 0:06:17.800 --> 0:06:20.880 the Electoral count Act and adjourned for ten days and 0:06:20.920 --> 0:06:23.680 a court filing. The committee says Eastman knew what he 0:06:23.720 --> 0:06:26.440 was proposing would violate the law, but pushed the Vice 0:06:26.480 --> 0:06:29.719 President to do it anyway. In Washington, I'm Amy Morris, 0:06:29.720 --> 0:06:32.359 Bloomberg Daybreak, Amy, thank you. Let's turn back to the 0:06:32.400 --> 0:06:35.320 markets now. As some corporate items of note this morning 0:06:35.320 --> 0:06:38.680 shares a Snowflaker plunging their down more than after the 0:06:38.720 --> 0:06:42.200 software company projected a slowing sales growth. It's expected to 0:06:42.240 --> 0:06:45.680 fall from a previous triple digit percentage pace, and Tesla 0:06:45.760 --> 0:06:48.080 is back in the news. Karen CEO Elon Musk is 0:06:48.160 --> 0:06:50.679 challenging the United Auto Workers union to hold a vote 0:06:50.720 --> 0:06:54.200 at its California factory. Musk says Tesla will do nothing 0:06:54.240 --> 0:06:57.799 to stop union organizers. The challenge comes after President Biden 0:06:57.839 --> 0:07:00.919 again failed to mention Tesla while promoting elect vehicles in 0:07:01.000 --> 0:07:03.039 his State of the Union address. The White House is 0:07:03.080 --> 0:07:06.680 a big supporter of labor unions SSP futures down down 0:07:06.720 --> 0:07:09.680 eight points, STAPH futures down thirty nine, NASTAC futures lower 0:07:09.720 --> 0:07:12.640 by forty nine points. The Tanger Treasury is up five 0:07:12.720 --> 0:07:15.960 thirty seconds. The yield one point eight five. Straight ahead, 0:07:15.960 --> 0:07:18.440 your latest local headlines and a check of sports. This 0:07:18.880 --> 0:07:25.080 is Bloomberg now six o seven on Wall Street. Showers 0:07:25.080 --> 0:07:27.600 forty three degrees in Central Park northbound, Route one and 0:07:27.720 --> 0:07:30.680 nine closed in Elizabeth Details coming up in traffic. First 0:07:30.720 --> 0:07:32.440 Michael Barr with more on what's going on in New 0:07:32.520 --> 0:07:35.120 York and around the world. Good morning, Michael, Good morning Nathan. 0:07:35.160 --> 0:07:37.720 People in New York are coming together to show support 0:07:37.760 --> 0:07:41.440 for Ukraine as the Russian invasion continues. Hundreds of people 0:07:41.480 --> 0:07:44.360 gathered at St. George, Ukrainian Catholic Church in the East 0:07:44.480 --> 0:07:48.080 Village last night to sing and pray. The church has 0:07:48.160 --> 0:07:51.440 become a focal point for the humanitarian effort by raising 0:07:51.480 --> 0:07:55.840 funds for everything from food and clothing to medical supplies. 0:07:56.160 --> 0:08:04.040 Among the worshippers. New York Governor Kathy hokeleba we stand. 0:08:07.920 --> 0:08:10.600 New York City has the large is Ukrainian population in 0:08:10.640 --> 0:08:14.280 the US. President Biden's picked to replace Supreme Court Justice 0:08:14.400 --> 0:08:17.920 Stephen Bryer is making the rounds on Capitol Hill. Judge 0:08:18.000 --> 0:08:22.760 Kaitanji Brown Jackson met with lawmakers her confirmation hearings could 0:08:22.800 --> 0:08:26.400 begin soon. Japanese scientists say the omicron strain of COVID 0:08:26.480 --> 0:08:30.880 nineteen is at least more lethal than seasonal flu. Countries 0:08:30.920 --> 0:08:34.960 around the world have been relaxing mask mandates and testing requirements, 0:08:35.520 --> 0:08:39.199 visibly annoyed Florida government. Around the Santis admonished a group 0:08:39.240 --> 0:08:42.680 of students for wearing face masks at an indoor news 0:08:42.679 --> 0:08:46.560 conference that happened before he spoke about cybersecurity and education 0:08:46.880 --> 0:08:54.559 at the University of South Florida in Tampak and we 0:08:54.600 --> 0:08:57.920 got a spot this code of theater. Want to wear fine, 0:08:58.000 --> 0:09:00.720 but this is this is ridiculous. Some of the students 0:09:00.720 --> 0:09:03.840 took their masks off before Governor de Santists took the podium. 0:09:04.120 --> 0:09:06.720 New Jersey Governor Phil Murphy received some good news about 0:09:06.720 --> 0:09:10.199 the state a credit rating upgrade. The story from Bloomberg's 0:09:10.240 --> 0:09:15.200 Charlie Pellett. Moody's Investors Service raised New Jersey's credit rating, 0:09:15.280 --> 0:09:18.680 giving the state its first upgrade since two thousand five 0:09:19.160 --> 0:09:23.640 after years of pension under funding and benefit increases. An 0:09:23.720 --> 0:09:27.079 upgrade can lead to reduce borrowing costs for states, as 0:09:27.160 --> 0:09:31.000 bond investors are willing to accept lower yields from issuers 0:09:31.280 --> 0:09:35.680 considered less likely to default. In New York, Charlie Pellett 0:09:35.720 --> 0:09:39.440 Bloomberg PayBreak, New York City Schools Chancellor David Banks pledged 0:09:39.480 --> 0:09:42.240 to bring a new normal to the U S's largest 0:09:42.360 --> 0:09:45.520 school system. The outline a plan to reverse an exodus 0:09:45.520 --> 0:09:49.680 of students by improving digital learning, reducing bureaucracy, and expanding 0:09:49.720 --> 0:09:52.600 gifted programs. Global News twenty four hours a day on 0:09:52.679 --> 0:09:55.360 air and on Bloomberg Quick Take, powered by more than 0:09:55.440 --> 0:09:57.839 twenty seven hundred journalist and analysts more than a hundred 0:09:57.840 --> 0:10:06.280 twenty countries. Michael Barr, This is Bloomberg. Thanks Michael. Coming 0:10:06.360 --> 0:10:07.800 up to six ten on Wall Street. Time for the 0:10:07.800 --> 0:10:10.920 Bloomberg Sports Update with John Stenshower. All right, Nathan, familiar 0:10:11.000 --> 0:10:13.320 script for the next good start, not a good finished. 0:10:13.280 --> 0:10:16.839 Another loss, now sixteen losses in the last nineteen games. 0:10:16.840 --> 0:10:19.560 In Philadelphia, Nicks tin trail into the third quarter, but 0:10:19.600 --> 0:10:21.880 the Sixers pulled away one to one oh eight and 0:10:21.880 --> 0:10:24.240 they sweep to home at home. Joe l MB twenty 0:10:24.320 --> 0:10:27.120 seven points. He took thirteen free throws. That's down from 0:10:27.120 --> 0:10:29.720 the twenty seven that he took in Sunday's game at 0:10:29.720 --> 0:10:32.320 the Garden. James Harden and his home debut in Philly 0:10:32.400 --> 0:10:34.920 twenty six points and near triple double. R J. Barrett 0:10:34.920 --> 0:10:37.560 of the Knicks with thirty A, Julius Randon at twenty 0:10:37.559 --> 0:10:40.920 four but Alec Perks and even four together shot three 0:10:41.000 --> 0:10:44.800 of nineteen nets. Home tonight from Miami, Kevin Durant makes 0:10:44.840 --> 0:10:46.719 his return from the knee injury that's kept out for 0:10:46.800 --> 0:10:48.760 more than six weeks. The East leading heat last night 0:10:48.760 --> 0:10:51.600 in Milwaukee. Led by fourteen with six minutes to go, 0:10:52.080 --> 0:10:54.720 the Bucks rallied to win by one. At the Garden, 0:10:54.800 --> 0:10:57.320 Rangers led St. Louis to nothing and then trailed three 0:10:57.360 --> 0:10:59.920 two and the third two off on here Harris Hawk 0:11:00.120 --> 0:11:02.480 towards that girl throw a little too deep and he 0:11:02.559 --> 0:11:06.400 puts it on call stop right off six store. Patrick 0:11:06.600 --> 0:11:12.400 Nevereth from the point bite set it off barbershop. Patrick Nevereth. 0:11:12.480 --> 0:11:14.920 That's tied the game at three. Piana. They called Chris 0:11:14.960 --> 0:11:17.400 Crider would have a power play goals thirty fifth goal 0:11:17.480 --> 0:11:20.240 the season. The Rangers beat the Blues five to three, 0:11:20.240 --> 0:11:22.719 Big forty eight point second half for St. John's The 0:11:22.800 --> 0:11:25.520 Red Storm beat Zavi eight one sixty six. Also the 0:11:25.520 --> 0:11:29.000 Big East, Seaton Hall down Georgetown seventy three to sixty eight. 0:11:29.040 --> 0:11:31.360 The joyas r o N eighteen in the Big East. 0:11:31.360 --> 0:11:34.440 And yet the school says it is committed to its coach, 0:11:34.480 --> 0:11:37.200 who happens to be the greatest player in school history. 0:11:37.200 --> 0:11:39.640 Patrick Ewing Rutgers helped at TENNC double a hope for 0:11:39.679 --> 0:11:42.480 the win at Indiana, the Giants shed some payroll, they 0:11:42.480 --> 0:11:45.320 cut running back DeVante Booker and tight end Kyle Rudeau, 0:11:45.600 --> 0:11:49.400 John Stash Howard, Bloomberg Sports, Nathan John thanks SMP futures 0:11:49.440 --> 0:11:51.600 down down eight and a half point, staff futures down 0:11:51.640 --> 0:11:54.440 forty seven, NASTAC futures lower by forty six points, and 0:11:54.480 --> 0:11:57.760 the ten year treasury is up six thirty seconds, the 0:11:57.880 --> 0:12:01.720 yield one point eight percent. You're listening to Bloomberg Gay 0:12:01.720 --> 0:12:09.840 Brael coming up to six twelve on Wall Street. Bloomberg 0:12:09.880 --> 0:12:12.320 Daybreak is brought to you by Audie. Don't let someone 0:12:12.360 --> 0:12:14.760 else drive off in the Audi model You've always wanted. 0:12:14.840 --> 0:12:16.880 Visit a tri state Audie dealer to get behind the 0:12:16.880 --> 0:12:24.560 wheel of yours. Today, Markets headlines and breaking news twenty 0:12:24.559 --> 0:12:27.439 four hours a day at Bloomberg dot Com, the Bloomberg 0:12:27.440 --> 0:12:31.000 Business Outland at Bloomberg Quick Tape. This is a Bloomberg 0:12:31.080 --> 0:12:40.560 Business lash. Hi, good morning, I'm Karen. Moscow futures are 0:12:40.840 --> 0:12:44.720 little change to lower this morning. European stocks are lower 0:12:44.760 --> 0:12:47.319 as the war in Ukraine enters its second week, and 0:12:47.480 --> 0:12:50.640 investors way the impact of surging commodity prices on inflation 0:12:50.679 --> 0:12:53.559 and economic growth. Check the markets every fifteen minutes throughout 0:12:53.600 --> 0:12:56.360 the trading day. On Bloomberg s and P futures. They're 0:12:56.400 --> 0:12:58.880 down about four points right now. Dow futures are little 0:12:58.960 --> 0:13:01.800 change now today. Future is down thirty six. The decks 0:13:01.800 --> 0:13:04.000 in Germany is down eight tenths of upper cent ten. 0:13:04.080 --> 0:13:06.600 Your treasury up six thirty seconds. He had one point 0:13:06.600 --> 0:13:08.640 eight five percent. The yield on the two year one 0:13:08.640 --> 0:13:11.600 point for nine percent. Nine neck Screwed oil is up 0:13:11.600 --> 0:13:14.160 two point seven percent, up two dollars ninety eight cents 0:13:14.160 --> 0:13:16.600 at a hundred thirteen dollars fifty five cents of barrel. 0:13:16.840 --> 0:13:19.240 Comic School is up seven tenths per cent, or fourteen 0:13:19.280 --> 0:13:22.280 dollars at nineteen thirty six thirty an ounce. The Euro 0:13:22.400 --> 0:13:25.240 one point one zero eight zero against the dollar. British 0:13:25.240 --> 0:13:27.880 found one point three three seven five, the yen is 0:13:27.920 --> 0:13:30.960 at one fifteen point seven five and Bitcoin this morning 0:13:31.000 --> 0:13:33.600 moving lower down more than when a quarter percent at 0:13:33.640 --> 0:13:36.440 forty three thousand, five hundred dollars. Today we do get 0:13:36.480 --> 0:13:38.679 the weekly report on initial jobless claims at an eight 0:13:38.720 --> 0:13:41.960 thirty Wall Street time at tennis factory orders and durable 0:13:41.960 --> 0:13:44.840 goods orders, as well as a look at service industries. 0:13:45.080 --> 0:13:47.560 That's a Bloomberg business flash. Now here's Michael Barrow with 0:13:47.640 --> 0:13:50.440 more on what's going on around the world. Uncle Clarin, 0:13:50.480 --> 0:13:53.520 thank you very much. The UN Refugee Agency says one 0:13:53.559 --> 0:13:56.880 million people have fled Ukraine since Russian invaded the country 0:13:56.960 --> 0:14:00.200 a week ago. Meanwhile, Russia fired missiles at Key Eve 0:14:00.280 --> 0:14:03.160 overnight and stepped up their campaign to take cities in 0:14:03.240 --> 0:14:07.200 the coastal south in the reversal. Russian and Belarusian athletes 0:14:07.320 --> 0:14:11.000 have been banned from the Paralympics for their country's roles 0:14:11.040 --> 0:14:14.840 in the war in Ukraine. The International Paralympic Committee announced 0:14:14.880 --> 0:14:18.040 the about face less than twenty four hours after saying 0:14:18.360 --> 0:14:20.960 it would allow Russian and bellersi and athletes to compete 0:14:20.960 --> 0:14:23.800 when the game's open tomorrow in the NBA, the Knicks 0:14:23.880 --> 0:14:27.040 lost in the NHL, The Rangers won. Global News twenty 0:14:27.040 --> 0:14:29.760 four hours a day on air and on Bloomberg Quick Take, 0:14:30.000 --> 0:14:32.960 powered by more than twenty seven under journalists and analysts 0:14:33.160 --> 0:14:36.280 in more than one twenty countries. Michael barn This is Bloomberg. 0:14:37.560 --> 0:14:41.240 This is the Big Take, the best of Bloomberg's in depth, 0:14:41.320 --> 0:14:44.240 original reporting from around the globe. We're running on a 0:14:44.320 --> 0:14:47.560 financial system that's running on old technology. We're seeing host 0:14:47.600 --> 0:14:51.320 places which fresh recortize what unfolds in mid terms. We 0:14:51.360 --> 0:14:54.320 will no doubt see again in the next presidential election. 0:14:54.520 --> 0:14:59.360 The Big Take on Bloomberg Radio coming up to six 0:15:00.040 --> 0:15:02.600 Street Line from the Bloomberg Interactive Broker Studios. This is 0:15:02.640 --> 0:15:04.880 Bloomberg Daybreak, and our big take this morning is on 0:15:04.920 --> 0:15:08.800 the financial war against Russia. The US and its allies 0:15:08.840 --> 0:15:13.359 are going after the country's wealthiest businessmen with punishing sanctions 0:15:13.520 --> 0:15:16.320 over the invasion of Ukraine. Could it spell the end 0:15:16.480 --> 0:15:19.320 of Vladimir Putin's decades in power, the end of the 0:15:19.440 --> 0:15:23.200 oligarch era in Russia? Here with more on the Big 0:15:23.280 --> 0:15:26.520 Take is the reporter who wrote it Bloomberg. Stephanie Baker 0:15:27.000 --> 0:15:28.960 is with us this morning, Stephanie, good to have you 0:15:29.080 --> 0:15:30.920 with us. We heard the President in the State of 0:15:30.960 --> 0:15:34.000 the Union with a big applause line saying they're going 0:15:34.040 --> 0:15:37.400 after the luxury apartments, the yachts of the oligarchs, and 0:15:37.840 --> 0:15:40.360 just this morning France said that it sees the yacht 0:15:40.400 --> 0:15:44.680 owned by Rosneft CEO igor Secheon isn't having an impact, 0:15:46.440 --> 0:15:49.920 it is UM and you know, time will tell if 0:15:50.000 --> 0:15:52.640 they really follow through on some of this big talk 0:15:52.840 --> 0:15:56.600 and sees more assets. But as you said, UM, the 0:15:56.840 --> 0:16:00.360 French have seized eager Sechon Uh. This the the head 0:16:00.440 --> 0:16:03.200 of Rosneft his yacht UM. And I think this is 0:16:03.320 --> 0:16:08.040 just the beginning UH. And this will inflict pain uh 0:16:08.160 --> 0:16:11.560 and have a huge impact on you know, wealthy Russians 0:16:11.600 --> 0:16:15.360 who have gotten used to UM, you know, keeping their yachts, 0:16:15.560 --> 0:16:18.640 having their mansions in the South of France, their London 0:16:18.840 --> 0:16:22.920 Mayfair town houses and their New York pent houses. UM. 0:16:23.080 --> 0:16:25.040 I think it will have an effect, and it already 0:16:25.280 --> 0:16:29.320 is as we've seen from UM, even wealthy Russians who 0:16:29.360 --> 0:16:32.640 have not been sanctioned moving to dump their assets, like 0:16:32.840 --> 0:16:36.680 Roman Abramovich with Chelsea putting it up for sale as 0:16:36.760 --> 0:16:41.720 he did yesterday you mentioned the lineup of French yachts 0:16:41.760 --> 0:16:45.080 along the Riviera owned by Russians. It sort of speaks 0:16:45.160 --> 0:16:50.440 to the entrenchment of Russian money in the European economy. 0:16:50.600 --> 0:16:54.080 Has that been what's kind of held the US and 0:16:54.400 --> 0:16:56.840 the European Union back in the past when it comes 0:16:56.920 --> 0:17:02.080 to punishing Russia over some of its many UH infractions 0:17:02.120 --> 0:17:07.840 in the past, like poisoning opponents of Vladimir Putin annexing Crimea. 0:17:10.040 --> 0:17:12.960 You know, sure there there there there were plenty of 0:17:13.040 --> 0:17:16.240 warning signs and alarm bells going off, you know, from 0:17:16.280 --> 0:17:19.679 the poisoning of Alexander Litvinenko to the poisoning of Sergey 0:17:19.720 --> 0:17:23.840 screep Paul in the annexation of Crimea. And in each 0:17:23.920 --> 0:17:27.960 case there were actions taken that in retrospect look pretty 0:17:28.000 --> 0:17:31.440 feeble compared to what we're seeing now. UH. You know, 0:17:31.600 --> 0:17:36.040 this time, this is an unprecedented coordinated round of sanctions. 0:17:36.200 --> 0:17:39.159 Some you know, the EU has moved much more aggressively 0:17:39.320 --> 0:17:43.240 than say the UK. UM. The US has talked about 0:17:43.560 --> 0:17:49.879 UM further UH targeting of individuals UM so that the 0:17:50.040 --> 0:17:54.840 idea behind it is to starve UH Putin's regime from 0:17:54.920 --> 0:18:00.199 the funds to finance this war, but short of an 0:18:00.240 --> 0:18:03.720 embargo on Russian oil and gas, it will it will 0:18:03.800 --> 0:18:05.840 have an effect, but a limited effect. That he still 0:18:05.920 --> 0:18:09.359 has a means of financing this war through um oil 0:18:09.400 --> 0:18:11.879 and gas sales to the West. There has been some 0:18:12.160 --> 0:18:15.800 talk lately about the idea of that business leaders in 0:18:16.000 --> 0:18:20.000 Russia are there because Putin has put them there. In 0:18:20.240 --> 0:18:23.719 terms of the sanctions we're seeing so far against oligarchs, 0:18:23.800 --> 0:18:27.640 how much impact how much influence do these billionaires really 0:18:27.760 --> 0:18:31.720 have on Putin as far as we can tell, Well, 0:18:31.760 --> 0:18:35.200 you know, in the ninety nineties, UM, the oligarchs really 0:18:35.560 --> 0:18:39.639 did control the Kremlin, and when Putin came to power, 0:18:40.200 --> 0:18:44.680 he kind of turned it upside down and uh, you 0:18:44.760 --> 0:18:49.120 know changed the game and put and in some respects 0:18:49.200 --> 0:18:54.399 he um demanded fealty and loyalty from those oligarchs, and 0:18:54.480 --> 0:18:58.040 if they did not comply, he hit back. So I 0:18:58.080 --> 0:19:01.760 think the balance of power had has indeed changed. That 0:19:01.920 --> 0:19:05.000 does not mean that sanctioning the oligarchs will not have 0:19:05.119 --> 0:19:10.520 an effect, because the amount of losses from these sanctions 0:19:10.800 --> 0:19:14.960 is just staggering. Um. The country and most of the 0:19:15.000 --> 0:19:19.000 big businesses have been bankrupt as a result of these 0:19:19.240 --> 0:19:23.120 and you know this will take time to filter through. Um, 0:19:23.520 --> 0:19:28.480 but indeed, having the entire elite class lose so much 0:19:28.560 --> 0:19:32.199 wealth overnight is bound to have an impact on Putin. 0:19:32.520 --> 0:19:35.200 How this all plays out is too difficult to tell 0:19:35.400 --> 0:19:38.200 right now. Um, but indeed I think it The idea 0:19:38.400 --> 0:19:40.840 is to isolate and starve him of funds to make 0:19:40.880 --> 0:19:43.720 it more costly for him to wage this war. Bloomberg 0:19:43.800 --> 0:19:46.399 Stephanie Baker with the Big Take this morning on the 0:19:46.480 --> 0:19:49.520 potential end of the Oligarch era in Russia. You can 0:19:49.600 --> 0:19:53.200 read much more Bloomberg dot Com, Slash Big Take or 0:19:53.359 --> 0:19:57.879 and I Big Take go on the Bloomberg terminal. Future 0:19:57.960 --> 0:20:00.720 is moving lower. Stay with us. You're listening to Bloomberg 0:20:00.800 --> 0:20:10.879 day Break Bloomberg eleven three oh weather rain ending this morning, clearing, breezy, 0:20:10.920 --> 0:20:13.879 low forties. Today, will be in the upper thirties, mostly sunny, 0:20:13.920 --> 0:20:18.119 Tomorrow mostly cloudy mid forties by Saturday. Right now forty 0:20:18.160 --> 0:20:25.240 and Central Park broadcasting live from the Bloomberg Interactive Broker 0:20:25.359 --> 0:20:28.760 Studio in New York. Bloomberg E Living freed on to Washington, 0:20:28.880 --> 0:20:32.919 d C. Bloomberg to Boston, Bloomberg one O six one 0:20:33.080 --> 0:20:36.920 to San Francisco, Bloomberg sixt to the country, Sirius XM 0:20:37.000 --> 0:20:39.240 to the one nine team, and around the globe, the 0:20:39.320 --> 0:20:43.159 Bloomberg Business APT and Bloomberg Radio dot com. This is 0:20:43.200 --> 0:20:51.959 Bloomberg Daybreak six thirty on Wall Street. Good morning, I'm 0:20:52.040 --> 0:20:55.160 Nathan Hagar and I'm Faren Mosta. We're about three hours 0:20:55.240 --> 0:20:57.359 away from the open of US trading. It's time for 0:20:57.440 --> 0:20:59.520 the five things you need to know to start your day. 0:20:59.560 --> 0:21:02.800 Bronti you buy interactive brokers trade crypto for less coin 0:21:02.840 --> 0:21:05.240 with commissions just twelve to eighteen basis points and no 0:21:05.359 --> 0:21:08.080 hidden spreads or markups. Learn more at ib k R 0:21:08.200 --> 0:21:11.240 dot com slash cryptow First, the war in Ukraine is 0:21:11.359 --> 0:21:14.560 entering a second week. Russian forces are pressing ahead, firing 0:21:14.640 --> 0:21:18.000 missiles at the capital city of Kiev. They're also stepping 0:21:18.040 --> 0:21:20.920 up campaigns it takes cities in the south. Ukraine's President 0:21:21.000 --> 0:21:24.119 Vladimir z Lenski says Russian troops are being met with force. 0:21:24.880 --> 0:21:28.520 I don't see our army is doing everything to fully 0:21:28.600 --> 0:21:32.280 break the enemy. Nearly nine thousand Russians have been killed 0:21:32.560 --> 0:21:36.080 in one week. President vladimir's Lenski is telling Russian troops 0:21:36.160 --> 0:21:38.480 to go home and Karen, we're seeing this war continue 0:21:38.520 --> 0:21:41.000 to have a massive impact on commodities. Let's get the 0:21:41.080 --> 0:21:44.040 latest on that line from Bloomberg's John Tucker. John Nathan 0:21:44.080 --> 0:21:46.879 Bloomberg's gage of raw materials is closing in on the 0:21:46.880 --> 0:21:50.600 biggest weekly game in sixty years, as banks, importers, and 0:21:50.680 --> 0:21:55.160 shippers all steer clear of Russian exports. Frank cruzz Sword 0:21:55.240 --> 0:21:59.159 near one dollars of barrel illuminum hit a record at 0:21:59.200 --> 0:22:01.880 wheat rallied at the highest level since two thousand and eight. 0:22:02.280 --> 0:22:05.440 The decision by OPEC plus to leave out plans of 0:22:05.520 --> 0:22:08.320 their output plans on change adds to the risk that 0:22:08.400 --> 0:22:11.960 inflation will slow the global economy. Even before the invasion, 0:22:12.160 --> 0:22:15.320 US retail gasoline was at its highest level since two 0:22:15.400 --> 0:22:18.560 thousand fourteen. Live in New York. I'm John Tucker, Bloomberg 0:22:18.640 --> 0:22:21.000 Day break. All right, John, thank you for speaking of inflation. 0:22:21.160 --> 0:22:23.800 J Powell addresses that topic today and another round of 0:22:23.840 --> 0:22:26.960 congressional testimony. The fat share is making the fight against 0:22:27.040 --> 0:22:30.040 prices his top priority, saying he supports a rate high 0:22:30.160 --> 0:22:32.600 later this month. Well next to the Fedcaren is Tomorrow's 0:22:32.680 --> 0:22:36.119 jobs report. Rapid wage growth has left businesses scrambling to 0:22:36.240 --> 0:22:38.320 keep up, and it looks like that trend will continue. 0:22:38.520 --> 0:22:40.680 Bloomberg's you need a young joins us with the details 0:22:40.720 --> 0:22:44.560 on that. Nina, Good morning. The February jobs report is 0:22:44.560 --> 0:22:47.520 expected to show average hourly earnings rose a half a 0:22:47.600 --> 0:22:50.960 percent last month, pushing year over year gains close to 0:22:51.080 --> 0:22:54.639 six percent, and if you exclude two pandemic distorted prints 0:22:54.640 --> 0:22:58.520 in the annual increase would be the strongest in data 0:22:58.600 --> 0:23:02.600 going back fifteen years. Some slowing is expected, but wage 0:23:02.640 --> 0:23:06.399 growth is poised to remain exceptionally strong this year. In 0:23:06.520 --> 0:23:09.159 New York, I'm we need a young Bloomberg debris all right, 0:23:09.200 --> 0:23:11.480 reay to thank you. And in politics this morning, the 0:23:11.600 --> 0:23:15.680 January six Congressional panel says evidence suggests crimes were committed 0:23:15.720 --> 0:23:18.800 by former President Trump. The panel says emails from Trump 0:23:18.840 --> 0:23:22.119