1
00:00:02,360 --> 00:00:05,519
Speaker 1: Live from the Bloomberg Interactive Brooker Studios. This is Bloomberg

2
00:00:05,600 --> 00:00:09,200
Speaker 1: day Break for Wednesday. A two coming up this hour.

3
00:00:09,440 --> 00:00:12,920
Speaker 1: Shares of Netflix plunge after its first subscriber loss in

4
00:00:13,000 --> 00:00:16,239
Speaker 1: a decade. The port city of Mariopol and Ukraine is

5
00:00:16,280 --> 00:00:19,040
Speaker 1: in jeopardy. Will have the very latest and the Justice

6
00:00:19,079 --> 00:00:21,919
Speaker 1: Department may appeal the Public Transit NAS schooling if the

7
00:00:21,960 --> 00:00:25,079
Speaker 1: Centers for Disease Control says so. A Connecticut state police

8
00:00:25,079 --> 00:00:27,720
Speaker 1: trooper who fired seven gun shots into a car, killing

9
00:00:27,720 --> 00:00:31,160
Speaker 1: a man has been arrested. Plus Shanghai continues to ease

10
00:00:31,240 --> 00:00:34,760
Speaker 1: COVID rules. I'm Michael Barr. More ahead, I've done Stagehower

11
00:00:34,760 --> 00:00:36,960
Speaker 1: in sports. The Mets of the best record in baseball.

12
00:00:37,000 --> 00:00:39,040
Speaker 1: They swept the double letter from the Giants. They Yankees

13
00:00:39,040 --> 00:00:42,840
Speaker 1: want of Detroit. The Rangers shut out Whinnipeg. Bloom That's

14
00:00:42,840 --> 00:00:46,479
Speaker 1: all straight ahead on Bloomberg day Break. On Bloomberg. You

15
00:00:46,560 --> 00:00:50,360
Speaker 1: live in Freo New York, Bloomberg N one, Washington, d C,

16
00:00:50,760 --> 00:00:54,160
Speaker 1: Bloomberg one O six one in Boston, Bloomberg nine fifty

17
00:00:54,240 --> 00:00:58,160
Speaker 1: San Francisco, Sirius x M one nine team, and around

18
00:00:58,200 --> 00:01:00,920
Speaker 1: the world on the Bloomberg Radio dot Com and via

19
00:01:01,000 --> 00:01:08,880
Speaker 1: the Bloomberg Business Set. Good morning, I'm Nathan Hagar and

20
00:01:08,920 --> 00:01:11,920
Speaker 1: I'm Karen Moscow and US stock index futures are little

21
00:01:12,040 --> 00:01:14,000
Speaker 1: change this morning. We are coming up to six o

22
00:01:14,120 --> 00:01:15,920
Speaker 1: one on Wall Street, and we checked the markets every

23
00:01:15,920 --> 00:01:19,520
Speaker 1: fifteen minutes throughout the trading day on Bloomberg. Again, futures

24
00:01:19,560 --> 00:01:21,920
Speaker 1: are a little change. The decks in Germany of one

25
00:01:21,959 --> 00:01:25,240
Speaker 1: point one percent ten Your treasury of fourteen thirty seconds

26
00:01:25,319 --> 00:01:27,720
Speaker 1: yield two point eight eight percent. They yield on the

27
00:01:27,800 --> 00:01:31,240
Speaker 1: two year two point five five percent. Nivex screwed oil

28
00:01:31,480 --> 00:01:33,520
Speaker 1: is up three quarters of a percent of seventy eight

29
00:01:33,520 --> 00:01:35,600
Speaker 1: cents at a hundred three dollars thirty four cents of

30
00:01:35,640 --> 00:01:38,960
Speaker 1: barrel Covecs gold is down four tenths percent, or seven

31
00:01:39,000 --> 00:01:43,280
Speaker 1: dollars fifty cents at nineteen fifty one fifty, announced Nathan Karen.

32
00:01:43,319 --> 00:01:45,800
Speaker 1: We begin this morning with the plunge in Netflix shares.

33
00:01:45,840 --> 00:01:48,640
Speaker 1: They are down more than twenty six percent following the

34
00:01:48,680 --> 00:01:52,240
Speaker 1: company's disappointing earnings. Let's get the latest live from Bloomberg's

35
00:01:52,240 --> 00:01:55,160
Speaker 1: Grnita Young. Good morning, Grenita, Good morning, Nathan. The streaming

36
00:01:55,200 --> 00:01:59,000
Speaker 1: giant unexpectedly lost subscribers for the first time in a decade,

37
00:01:59,240 --> 00:02:01,720
Speaker 1: and it sees another a drop of two million users

38
00:02:01,760 --> 00:02:04,680
Speaker 1: this quarter. So in an effort to improve results, co

39
00:02:04,920 --> 00:02:09,200
Speaker 1: CEO Read Hastings says, Netflix will introduce a cheaper advertising

40
00:02:09,200 --> 00:02:12,040
Speaker 1: supported option for subscribers in the next couple of years.

41
00:02:12,320 --> 00:02:16,200
Speaker 1: I'm a bigger fan of consumer choice and allowing consumers

42
00:02:16,240 --> 00:02:18,640
Speaker 1: who would like to have a lower price and are

43
00:02:18,760 --> 00:02:22,880
Speaker 1: advertising tolerant um get what they want makes a lot

44
00:02:22,919 --> 00:02:26,400
Speaker 1: of sense. Netflix co CEO Read Hastings says the company

45
00:02:26,400 --> 00:02:29,359
Speaker 1: will also start to crack down on people sharing their

46
00:02:29,400 --> 00:02:32,240
Speaker 1: passwords live in New York. I'm gonna need a young

47
00:02:32,280 --> 00:02:34,560
Speaker 1: Bloomberg daybreak, all right, grened to thank you. While we

48
00:02:34,600 --> 00:02:38,760
Speaker 1: are seeing the Netflix results impact other streaming services, shares

49
00:02:38,760 --> 00:02:41,440
Speaker 1: A Disney are down more than four percent, while Roku

50
00:02:41,560 --> 00:02:44,040
Speaker 1: is off by six percent, and one of their stock

51
00:02:44,120 --> 00:02:47,280
Speaker 1: of note that's moving this morning is IBM shares her

52
00:02:47,320 --> 00:02:49,800
Speaker 1: up one and a half percent. Of the company's sales

53
00:02:49,880 --> 00:02:53,519
Speaker 1: toped analysts estimates, and the earnings continue to roll in Karen.

54
00:02:53,560 --> 00:02:58,200
Speaker 1: With sixteen companies in the SMP reporting today, including Tesla,

55
00:02:58,480 --> 00:03:01,119
Speaker 1: Let's get a preview from Bloomberg's on buzby One big

56
00:03:01,160 --> 00:03:03,800
Speaker 1: focus for first quarter earnings at the world's biggest electric

57
00:03:03,840 --> 00:03:07,440
Speaker 1: auto maker, how much the COVID nineteen shutdown to the

58
00:03:07,440 --> 00:03:11,560
Speaker 1: company's Shanghai plant have impacted production. There also of concerned

59
00:03:11,600 --> 00:03:14,000
Speaker 1: the impact of the global computer chip shortage and the

60
00:03:14,040 --> 00:03:18,359
Speaker 1: ongoing supply chain issues that have affected all automakers. But

61
00:03:18,480 --> 00:03:21,680
Speaker 1: Bloomberg consensus calls for adjusted earnings of two dollars twenty

62
00:03:21,720 --> 00:03:25,360
Speaker 1: seven cents of share and revenues of seventeen point nine

63
00:03:25,400 --> 00:03:29,320
Speaker 1: two billion dollars. Tom Busby, Bloomberg Daybreak, All right, Tom,

64
00:03:29,320 --> 00:03:31,720
Speaker 1: thank you all. Turning to the economy now, US ten

65
00:03:31,840 --> 00:03:35,200
Speaker 1: year real yields briefly turned positive this morning for the

66
00:03:35,240 --> 00:03:39,400
Speaker 1: first time since March. Meanwhile, Chicago FED President Charles Evans

67
00:03:39,440 --> 00:03:42,360
Speaker 1: said interest rate will probably rise above the neutral level,

68
00:03:42,640 --> 00:03:45,400
Speaker 1: but how much higher will hange on weather? Inflation cools

69
00:03:45,440 --> 00:03:48,880
Speaker 1: as expected. Probably we are going beyond neutral. I mean

70
00:03:48,920 --> 00:03:52,960
Speaker 1: that's my expectation. When I see that, taking out special factors,

71
00:03:53,000 --> 00:03:54,600
Speaker 1: I'm still left with three to three and a half

72
00:03:54,600 --> 00:03:58,480
Speaker 1: percent inflation. That's not what we want. Chicago FED President

73
00:03:58,560 --> 00:04:00,480
Speaker 1: Charles Evans made the comments, Yes, your day at the

74
00:04:00,480 --> 00:04:02,640
Speaker 1: Economic Club of New York, and we may get a

75
00:04:02,640 --> 00:04:05,119
Speaker 1: clear picture behind the Feds thinking Karen when it would say.

76
00:04:05,360 --> 00:04:08,080
Speaker 1: Regional Economic survey, known as the Beige Book, comes out

77
00:04:08,160 --> 00:04:12,080
Speaker 1: this afternoon. Bloomberg's Michael McKee has a preview. Americans say

78
00:04:12,080 --> 00:04:14,960
Speaker 1: they are discouraged by inflation, but are they pulling back

79
00:04:15,000 --> 00:04:17,640
Speaker 1: on spending an investment. The Beige Book will offer Fed

80
00:04:17,680 --> 00:04:21,120
Speaker 1: officials anecdotal evidence on the impact of rising prices and

81
00:04:21,320 --> 00:04:24,480
Speaker 1: the outlook for the next few months. Activity has been mixed,

82
00:04:24,520 --> 00:04:28,560
Speaker 1: showing some cooling and goods demand that could ease price pressures,

83
00:04:28,600 --> 00:04:31,680
Speaker 1: although there's been a greater appetite for services recently. First

84
00:04:31,720 --> 00:04:34,440
Speaker 1: quarter growth is forecast to slow considerably from the fourth

85
00:04:34,480 --> 00:04:37,560
Speaker 1: quarters sizzling six point nine percent annual rate. It's not

86
00:04:37,640 --> 00:04:40,080
Speaker 1: definitive by any means, but the Beige Book will offer

87
00:04:40,120 --> 00:04:42,240
Speaker 1: some color on whether that's slow down is going to

88
00:04:42,279 --> 00:04:46,839
Speaker 1: be temporary or longer lasting. Michael McKee, Bloomberg Daybreak. All right, Michael,

89
00:04:46,920 --> 00:04:48,360
Speaker 1: thank you. We now want to update you on the

90
00:04:48,440 --> 00:04:51,039
Speaker 1: latest developments in the war. The port city of Mario

91
00:04:51,160 --> 00:04:54,520
Speaker 1: pol in, Ukraine is on the brink. Ukrainian defenders say

92
00:04:54,640 --> 00:04:57,640
Speaker 1: they're surrounded and they're appealing to world leaders for help.

93
00:04:57,839 --> 00:05:02,520
Speaker 1: Bloomberg Samy Morris reports. Ukrainian President voladimir's Alinsky posted a

94
00:05:02,640 --> 00:05:08,719
Speaker 1: video to social media saying that the Russian Army is

95
00:05:08,800 --> 00:05:11,599
Speaker 1: righting itself into world history as the most barbaric and

96
00:05:11,680 --> 00:05:14,520
Speaker 1: in humane army in the world, in part because they're

97
00:05:14,560 --> 00:05:18,920
Speaker 1: blocking efforts to create humanitarian corridors, especially in Mariopol, where

98
00:05:18,920 --> 00:05:21,800
Speaker 1: the commander of one Ukrainian brigade is pleading for help

99
00:05:21,839 --> 00:05:25,440
Speaker 1: from other countries to evacuate civilians from the ports city.

100
00:05:25,720 --> 00:05:28,760
Speaker 1: Russia has given the fighters until two pm in Moscow,

101
00:05:28,880 --> 00:05:32,320
Speaker 1: that's seven am Eastern, to lay down their arms and surrender.

102
00:05:32,720 --> 00:05:36,160
Speaker 1: In Washington, I maybe Morris Bloomberg daybreak, Okay, thank you,

103
00:05:36,160 --> 00:05:39,120
Speaker 1: turning to the pandemic, The Justice Department says it's prepared

104
00:05:39,160 --> 00:05:43,159
Speaker 1: to appeal the mask mandate ruling if necessary. Bloomberg said,

105
00:05:43,160 --> 00:05:45,800
Speaker 1: Baxter has the story. The d o J says it

106
00:05:45,839 --> 00:05:48,960
Speaker 1: will appeal if the CDC decides that the mandate should

107
00:05:48,960 --> 00:05:53,120
Speaker 1: remain in place after May three, when the current one expires. Currently,

108
00:05:53,200 --> 00:05:57,239
Speaker 1: the recommendations remain in place but not mandated. Under the ruling,

109
00:05:57,680 --> 00:06:00,600
Speaker 1: The White House is keeping its mandate in Forest spokeswoman

110
00:06:00,640 --> 00:06:03,719
Speaker 1: Jen Saki says. The administration says it is a smart

111
00:06:03,800 --> 00:06:06,160
Speaker 1: thing to do. We're continuing to encourage people to wear

112
00:06:06,240 --> 00:06:09,320
Speaker 1: masks in public transit. They'll make that decision because it's

113
00:06:09,320 --> 00:06:12,560
Speaker 1: obviously not being implemented at this moment time, but will

114
00:06:12,560 --> 00:06:15,240
Speaker 1: continue to abide by CDC guidance for now. It is

115
00:06:15,279 --> 00:06:19,320
Speaker 1: a personal decision. In San Francisco, I'm at Baxter Bloomberg daybreak,

116
00:06:19,440 --> 00:06:21,440
Speaker 1: all right, and thank you Ellen wall Street. The days

117
00:06:21,480 --> 00:06:24,080
Speaker 1: of free lunch at Goldman Sachs are over, marking the

118
00:06:24,160 --> 00:06:26,160
Speaker 1: end of a pandemic office perk. We get the story

119
00:06:26,200 --> 00:06:30,040
Speaker 1: from Bloomberg's Charlie Pellett. The investment bank says it will

120
00:06:30,120 --> 00:06:34,120
Speaker 1: transition back to paid for meal service for breakfast and

121
00:06:34,279 --> 00:06:37,840
Speaker 1: lunch on April twenty five. Goldman also says it will

122
00:06:37,880 --> 00:06:40,960
Speaker 1: boost the stipend for meals out of hours to thirty

123
00:06:41,000 --> 00:06:44,400
Speaker 1: dollars from twenty five dollars. Wall Street firms have been

124
00:06:44,480 --> 00:06:47,000
Speaker 1: using free food as part of the push to bring

125
00:06:47,080 --> 00:06:50,479
Speaker 1: employees back to their desks during a pandemic that has

126
00:06:50,520 --> 00:06:54,760
Speaker 1: fueled the rise of hybrid schedules and remote work. Goldman

127
00:06:54,839 --> 00:06:57,960
Speaker 1: has been one of the most aggressive financial firms in

128
00:06:58,040 --> 00:07:01,440
Speaker 1: pushing for a return to the office. In New York

129
00:07:01,520 --> 00:07:04,040
Speaker 1: Charlie Pellett Bloomberg day Break. All right, Charlie, thanks and

130
00:07:04,120 --> 00:07:06,640
Speaker 1: sticking with the banking fame. Join us later Tay when

131
00:07:06,760 --> 00:07:10,000
Speaker 1: we speak live with Bank of America's CEO, Brian moynihan.

132
00:07:10,080 --> 00:07:12,320
Speaker 1: That's coming up at noon, Wall Street time on Balance

133
00:07:12,400 --> 00:07:16,120
Speaker 1: of Power on both Bloomberg Radio and Bloomberg Television, Local

134
00:07:16,120 --> 00:07:19,280
Speaker 1: headlines in the check of sports. Next on Bloomberg Daybreak.

135
00:07:22,840 --> 00:07:24,880
Speaker 1: It's now six oh seven on Wall Street. We're forty

136
00:07:24,880 --> 00:07:27,120
Speaker 1: three degrees in Central Park scene, light volume on the

137
00:07:27,120 --> 00:07:29,520
Speaker 1: bridges and tunnels. Will check in with Peter Vancy if

138
00:07:29,560 --> 00:07:32,000
Speaker 1: that's holding up. First, Michael Barr with what else is

139
00:07:32,040 --> 00:07:34,080
Speaker 1: going on in New York and around the world. Good morning, Michael,

140
00:07:34,120 --> 00:07:37,800
Speaker 1: Good morning Nathan. The New Jersey Catholic Diocese of Camden

141
00:07:38,080 --> 00:07:41,440
Speaker 1: has agreed to pay eighties seven point five million dollars

142
00:07:41,440 --> 00:07:45,000
Speaker 1: of several claims involving clergy sex abuse, with about three

143
00:07:45,040 --> 00:07:47,840
Speaker 1: hundred alleged victims. It is one of the largest cash

144
00:07:47,880 --> 00:07:51,440
Speaker 1: settlements involving the Catholic Church in the US. Mark Crawford

145
00:07:51,520 --> 00:07:54,000
Speaker 1: is with the State Chapter of the Survivors Network of

146
00:07:54,000 --> 00:07:58,120
Speaker 1: Those Abused by priests. I'm glad it's come to fruition. UM.

147
00:07:58,160 --> 00:08:02,320
Speaker 1: I hope and believe that lead to some small level

148
00:08:02,360 --> 00:08:07,520
Speaker 1: of closure and hopefully some validation for the victims of

149
00:08:07,600 --> 00:08:12,000
Speaker 1: cludge abuse within the Diocese of Camden, New Jersey. Mark

150
00:08:12,040 --> 00:08:15,080
Speaker 1: Crawford with the Survivors Network says the settlement carries a

151
00:08:15,200 --> 00:08:19,240
Speaker 1: unique agreement, including turning over documents. Connecticut State Police, a

152
00:08:19,360 --> 00:08:22,240
Speaker 1: trooper who fired seven gunshots into a car and killed

153
00:08:22,240 --> 00:08:25,119
Speaker 1: a man in twenty twenty after a high speed chase

154
00:08:25,200 --> 00:08:28,240
Speaker 1: has been arrested in connection with the shooting. Authority. State

155
00:08:28,240 --> 00:08:32,080
Speaker 1: Trooper Brian North turned himself into the State Inspector General

156
00:08:32,200 --> 00:08:36,920
Speaker 1: last evening. North fatally shot Mubarick Solomine in January twenty

157
00:08:37,120 --> 00:08:39,360
Speaker 1: as Solomine sat in the driver's seat of a car

158
00:08:39,400 --> 00:08:42,520
Speaker 1: in West Haven, where the chase ended and police boxed

159
00:08:42,600 --> 00:08:45,800
Speaker 1: in the car. The State Police union says North risked

160
00:08:45,960 --> 00:08:49,040
Speaker 1: his life and it is defending his actions. It looks

161
00:08:49,080 --> 00:08:53,200
Speaker 1: like New York City dorman won't go on strike after all. Yesterday,

162
00:08:53,240 --> 00:08:56,000
Speaker 1: attendative deal was reached to a vert of potential walkout

163
00:08:56,080 --> 00:08:59,480
Speaker 1: a day ahead of the deadline. The agreement reached the

164
00:08:59,600 --> 00:09:03,760
Speaker 1: union and the Realty Advisory Board everts what would have

165
00:09:03,800 --> 00:09:07,240
Speaker 1: been the first strike of residential building service workers in

166
00:09:07,280 --> 00:09:10,360
Speaker 1: New York City in thirty one years. A Chinese health

167
00:09:10,400 --> 00:09:13,920
Speaker 1: official says four million people in Shanghai have been allowed

168
00:09:13,960 --> 00:09:17,199
Speaker 1: to leave their homes as the coronavirus quarantine rules ease.

169
00:09:17,480 --> 00:09:20,240
Speaker 1: That brings the total to almost twelve million people who

170
00:09:20,280 --> 00:09:22,839
Speaker 1: have been allowed to leave their homes as China's largest

171
00:09:22,840 --> 00:09:26,360
Speaker 1: city tries to contain the virus outbreaks. New Jersey's governor

172
00:09:26,400 --> 00:09:29,400
Speaker 1: has some thoughts as the state prepares to legalize recreational

173
00:09:29,440 --> 00:09:32,880
Speaker 1: pot sales. Governor Phil Murphy won't be partaking in pot,

174
00:09:32,960 --> 00:09:35,520
Speaker 1: but he does have a preference. It's never been an

175
00:09:35,559 --> 00:09:38,360
Speaker 1: animating thing for me. If we were legalizing Scotch, I

176
00:09:38,400 --> 00:09:41,280
Speaker 1: would show up with a shopping cart. Governor Murphy says,

177
00:09:41,320 --> 00:09:44,840
Speaker 1: recreational pots sales begin tomorrow. By the way, today's date

178
00:09:44,960 --> 00:09:48,559
Speaker 1: is four twenty. You know Global News twenty four hours

179
00:09:48,559 --> 00:09:51,440
Speaker 1: a day on air and on Bloomberg Quick Take, powered

180
00:09:51,440 --> 00:09:54,120
Speaker 1: by more than twenty seven under journalists and analyists more

181
00:09:54,120 --> 00:09:56,520
Speaker 1: than a hundred twenty countries. Michael Barr and this is

182
00:09:56,520 --> 00:10:04,800
Speaker 1: Bloomberg name some know. Thank you Michael. Almost six ten

183
00:10:04,840 --> 00:10:07,040
Speaker 1: on Wall Street time for the Bloomberg Sports update here

184
00:10:07,120 --> 00:10:09,800
Speaker 1: John all right, Nathan, look now, but the Mets at

185
00:10:09,920 --> 00:10:12,240
Speaker 1: nine and three of the best record. The major things

186
00:10:12,240 --> 00:10:14,560
Speaker 1: a double header sweep with the Giants and City Field.

187
00:10:14,559 --> 00:10:16,599
Speaker 1: I begin with a big comeback Mets field four to

188
00:10:16,679 --> 00:10:19,240
Speaker 1: one time the game, then won it in the tenth inning.

189
00:10:19,720 --> 00:10:23,880
Speaker 1: Two strikes on Lindor Darcia's pitch swing a lot rot

190
00:10:23,920 --> 00:10:26,920
Speaker 1: towards center field, that's gonna get down. That makes it.

191
00:10:27,160 --> 00:10:30,480
Speaker 1: Then roll for the wall the right center, no scores

192
00:10:30,720 --> 00:10:35,760
Speaker 1: pet Francisco Indoor comes through, Mets win it tend five

193
00:10:36,000 --> 00:10:39,200
Speaker 1: poor the final. We should be. Francisco into a rough

194
00:10:39,240 --> 00:10:40,920
Speaker 1: first season in New York, but off to a hot

195
00:10:40,920 --> 00:10:43,040
Speaker 1: start this year. He had two more hits in the nightcap,

196
00:10:43,160 --> 00:10:45,240
Speaker 1: won by the Mets three to one, thanks to match

197
00:10:45,320 --> 00:10:48,080
Speaker 1: sers Or, his first home start. Sers Are flirted with

198
00:10:48,120 --> 00:10:50,320
Speaker 1: a no Hitterer lost it in the sixth that even

199
00:10:50,360 --> 00:10:52,440
Speaker 1: gave up just the one hit Struck Aft ten and

200
00:10:52,520 --> 00:10:55,640
Speaker 1: Seniti Instruser is already three and oh. In Detroit, the

201
00:10:55,720 --> 00:10:59,880
Speaker 1: Garrett Cole struggles continue. These supposed Yankee eights couldn't finish

202
00:10:59,920 --> 00:11:02,160
Speaker 1: the second and then he got only five outs. He

203
00:11:02,240 --> 00:11:05,920
Speaker 1: issued five walks, but Clark Schmidt followed Cole with three

204
00:11:06,000 --> 00:11:08,800
Speaker 1: the third scoreless release six strikeouts, and the Yankees beat

205
00:11:08,840 --> 00:11:11,559
Speaker 1: the Tigers four to two. Fifty win for the Rangers

206
00:11:11,559 --> 00:11:14,120
Speaker 1: three nothing over Winnipeg at the Garden. Ryan Strome scored

207
00:11:14,160 --> 00:11:17,120
Speaker 1: twice and Igors just Thirk And with thirty one saves

208
00:11:17,160 --> 00:11:18,760
Speaker 1: the Rangers of one of their last three games by

209
00:11:18,800 --> 00:11:22,080
Speaker 1: a combined eleven th nothing. First time the Rangers have

210
00:11:22,120 --> 00:11:24,599
Speaker 1: had three strange shutouts since the Eddie Jacobin days in

211
00:11:24,720 --> 00:11:29,040
Speaker 1: nineteen seventy three. NBA playoff wins from Miami, Memphis and

212
00:11:29,160 --> 00:11:31,800
Speaker 1: New Orleans and upset win at Phoenix, Nets and Celtics

213
00:11:31,800 --> 00:11:35,600
Speaker 1: tonight Game two in Boston. Kyrie Irving find fifty thousand

214
00:11:35,600 --> 00:11:38,360
Speaker 1: dollars by the NBA for his middle finger salutes to

215
00:11:38,400 --> 00:11:43,040
Speaker 1: Celtic fans on Sunday. John stash Award Bloomberg Sports, Nathan Okay, John, Thanks.

216
00:11:43,080 --> 00:11:46,720
Speaker 1: Futures turning flat now. S and P futures are little changed.

217
00:11:46,720 --> 00:11:49,800
Speaker 1: Own futures up twenty seven points, Dan stack futures are

218
00:11:49,840 --> 00:11:53,920
Speaker 1: lower by eighteen points ten. Your treasury is up seventeen

219
00:11:54,000 --> 00:11:57,200
Speaker 1: thirty seconds. The yield two point eight seven percent, and

220
00:11:57,280 --> 00:11:59,280
Speaker 1: the yield on the two year right now two point

221
00:11:59,360 --> 00:12:07,600
Speaker 1: five four percent. You're listening to Bloomberg Daybreak. Bloomberg day

222
00:12:07,640 --> 00:12:09,440
Speaker 1: Break brought to you by the Jewish Communal Fund j

223
00:12:09,520 --> 00:12:11,719
Speaker 1: c F. Stoner Advised Fund is the smart choice to

224
00:12:11,760 --> 00:12:14,719
Speaker 1: manage your philanthropy, especially in times of crisis. Make your

225
00:12:14,760 --> 00:12:18,360
Speaker 1: giving impactful. Visit j c F n y dot org,

226
00:12:23,000 --> 00:12:26,400
Speaker 1: markets headlines and breaking news twenty four hours a day

227
00:12:26,480 --> 00:12:29,480
Speaker 1: at Bloomberg dot com, the Bloomberg Business at and at

228
00:12:29,480 --> 00:12:38,880
Speaker 1: Bloomberg Quick Tape. This is a Bloomberg business lash, but

229
00:12:39,000 --> 00:12:42,400
Speaker 1: I'm Karen Moscow. US dock index Future is trimming losses.

230
00:12:42,480 --> 00:12:46,400
Speaker 1: European stocks extending gains is a rally, and treasury signals

231
00:12:46,440 --> 00:12:49,800
Speaker 1: calming nerves over inflation. We checked the markets every fifteen

232
00:12:49,800 --> 00:12:52,000
Speaker 1: minutes to while the trading day on Bloomberg right now

233
00:12:52,120 --> 00:12:54,760
Speaker 1: isn't The futures are a little changed down Future is

234
00:12:54,840 --> 00:12:57,920
Speaker 1: higher up forty two and ASDAG futures they're down eleven.

235
00:12:58,200 --> 00:13:00,640
Speaker 1: The dacks in Germany is at one point two percent,

236
00:13:00,679 --> 00:13:03,199
Speaker 1: the ten year treasury up seventeen thirty seconds. He'll two

237
00:13:03,200 --> 00:13:05,800
Speaker 1: point eight six percent yield on a two year two

238
00:13:05,800 --> 00:13:08,800
Speaker 1: point five four percent. NIMEX screwed oil is up seven

239
00:13:08,800 --> 00:13:11,000
Speaker 1: ten percent or seventy five cents at a hundred three

240
00:13:11,040 --> 00:13:13,559
Speaker 1: dollars thirty one cents, and barrel comics golled down to

241
00:13:13,679 --> 00:13:16,080
Speaker 1: tenths per cent or three dollars ninety cents at nineteen

242
00:13:16,160 --> 00:13:19,160
Speaker 1: fifty five ounce. The euro one point eight six five

243
00:13:19,200 --> 00:13:21,959
Speaker 1: against the dollar, British found one point three zero five zero,

244
00:13:22,080 --> 00:13:24,600
Speaker 1: the yen at one twenty seven point six two, and

245
00:13:24,800 --> 00:13:29,240
Speaker 1: Bitcoin this morning higher at forty one thousand five dollars.

246
00:13:29,520 --> 00:13:32,040
Speaker 1: That's a bloomberg business flash. Now here's Michael Barrow with

247
00:13:32,080 --> 00:13:34,480
Speaker 1: more on what's going on around the world. Michael Karen,

248
00:13:34,520 --> 00:13:36,960
Speaker 1: thank you very much. Russia is pouring more troops into

249
00:13:37,040 --> 00:13:41,080
Speaker 1: Ukrainian cities and towns. The fighting in the east seeks

250
00:13:41,120 --> 00:13:44,120
Speaker 1: to slice the country into and a potentially pivotal battle

251
00:13:44,200 --> 00:13:48,760
Speaker 1: for control of Ukraine's industrial heartland of pole mines and factories.

252
00:13:49,120 --> 00:13:52,840
Speaker 1: Winds kicked up a towering wall of flames in rural

253
00:13:52,960 --> 00:13:56,400
Speaker 1: northern Arizona, tearing through two dozen structures and forcing the

254
00:13:56,440 --> 00:14:00,160
Speaker 1: evacuation of more than seven hundred homes. In MLB, the

255
00:14:00,240 --> 00:14:03,720
Speaker 1: Yankees one, the Mets swept a doubleheader against the Giants.

256
00:14:03,920 --> 00:14:07,080
Speaker 1: The Nationals swept a double header against the Diamondbacks. The

257
00:14:07,120 --> 00:14:09,960
Speaker 1: Red Sox one. The A's beat the Orioles to one,

258
00:14:10,360 --> 00:14:13,240
Speaker 1: but the game was played before the smallest Oakland crowd

259
00:14:13,360 --> 00:14:16,920
Speaker 1: in forty two years, almost thirty seven hundred fifty fans.

260
00:14:17,400 --> 00:14:20,320
Speaker 1: In the NHL, the Rangers and Bruins one. The Islanders

261
00:14:20,360 --> 00:14:23,120
Speaker 1: lost in o t to the Panthers. Three. To Global

262
00:14:23,160 --> 00:14:25,360
Speaker 1: News twenty four hours a day on air and on

263
00:14:25,400 --> 00:14:29,080
Speaker 1: Bloomberg Quicktake, powered by more than twenty seven hundred journalists

264
00:14:29,080 --> 00:14:31,600
Speaker 1: and analyist are more than a hundred twenty countries. Michael

265
00:14:31,600 --> 00:14:34,320
Speaker 1: Barr and this is Bloomberg. N Okay, Michael, thank you

266
00:14:34,320 --> 00:14:37,200
Speaker 1: At six nineteen on Wall Street Live from the Bloomberg

267
00:14:37,240 --> 00:14:41,040
Speaker 1: Interactive Broker Studios. This is Bloomberg Daybreak, and we're very

268
00:14:41,080 --> 00:14:43,440
Speaker 1: pleased to have Joe Quinlan on with us this morning,

269
00:14:43,480 --> 00:14:46,160
Speaker 1: Head of ce I O Market Strategy at Maryland Bank

270
00:14:46,160 --> 00:14:48,800
Speaker 1: of America Private Bank. Joe, it's great to speak with

271
00:14:48,880 --> 00:14:52,240
Speaker 1: you this morning. Obviously, earnings in focus right now with

272
00:14:52,360 --> 00:14:57,320
Speaker 1: the big miss for Netflix, does that have implications for

273
00:14:57,440 --> 00:15:02,080
Speaker 1: the earning season more broadly? It could, Nathan, but remember

274
00:15:02,160 --> 00:15:04,240
Speaker 1: you know the myths from Netflix. I mean it, They'll

275
00:15:04,280 --> 00:15:07,680
Speaker 1: stay at home stocks, they're gonna you know, downside pressure

276
00:15:07,960 --> 00:15:10,320
Speaker 1: because we're now we're looking at reopening, so kind of

277
00:15:10,360 --> 00:15:12,000
Speaker 1: the opposite of the airline. So I mean, I think

278
00:15:12,040 --> 00:15:14,360
Speaker 1: it's it's healthy what we're seeing in terms of earnings,

279
00:15:14,400 --> 00:15:17,240
Speaker 1: good top line growth working through the pricing pressures, and

280
00:15:17,320 --> 00:15:19,880
Speaker 1: the economy is opening up. So the stay at home

281
00:15:20,200 --> 00:15:22,280
Speaker 1: plays that we saw two years ago to work well,

282
00:15:22,560 --> 00:15:25,160
Speaker 1: now we're shifting the growth and composition of us growth

283
00:15:25,160 --> 00:15:29,120
Speaker 1: is shifting and we're going outbound. Of course, the reopening

284
00:15:29,560 --> 00:15:33,880
Speaker 1: has led to these inflation pressures we're seeing and a

285
00:15:34,040 --> 00:15:37,760
Speaker 1: tightening FED. How do your you advising your clients to

286
00:15:38,400 --> 00:15:44,200
Speaker 1: navigate a more restrictive, potentially central bank. Yeah, it's it's

287
00:15:44,240 --> 00:15:46,080
Speaker 1: kind of an education process for a lot of our

288
00:15:46,120 --> 00:15:48,560
Speaker 1: clients because they haven't experienced this type of inflation and

289
00:15:48,880 --> 00:15:51,480
Speaker 1: ever in some cases. But we're looking at more like

290
00:15:51,760 --> 00:15:56,280
Speaker 1: using say equities, pacificals, the dividend players is inflation hedges.

291
00:15:56,320 --> 00:15:59,680
Speaker 1: So we still like kind of that value to energy

292
00:15:59,800 --> 00:16:02,360
Speaker 1: come modities in that space. We're not giving up on that.

293
00:16:02,400 --> 00:16:05,320
Speaker 1: We still think they're rooming to run metals materials, so

294
00:16:05,440 --> 00:16:09,280
Speaker 1: we're really using equities as an inflation hedge and hard assets,

295
00:16:09,320 --> 00:16:11,320
Speaker 1: whether it's real estate as well, fits into that bucket.

296
00:16:11,960 --> 00:16:15,600
Speaker 1: Is that because there's just no other alternative to equities

297
00:16:15,640 --> 00:16:20,800
Speaker 1: in terms of getting a return at this juncture? Because yes, yes,

298
00:16:21,000 --> 00:16:23,400
Speaker 1: Because at this juncture the FED is moving, going to

299
00:16:23,480 --> 00:16:26,120
Speaker 1: have to move very aggressively, not just raising rates, quantity

300
00:16:26,120 --> 00:16:28,760
Speaker 1: of tightening. So from our point of view, there's a

301
00:16:28,800 --> 00:16:30,840
Speaker 1: lot of work to be done by the FED higher

302
00:16:30,880 --> 00:16:34,880
Speaker 1: yield curve, and we suggest inflation has not peaped just yet,

303
00:16:34,920 --> 00:16:36,960
Speaker 1: so there's a lot to work to be done in

304
00:16:36,960 --> 00:16:40,440
Speaker 1: the credit markets that we think augurs for more cyclical

305
00:16:40,480 --> 00:16:43,800
Speaker 1: growth and commodities. How aggressive do you think the Fed

306
00:16:44,040 --> 00:16:47,440
Speaker 1: is gonna go, Joe? We heard from Charles Evans from

307
00:16:47,440 --> 00:16:50,280
Speaker 1: the Chicago FED saying rates might need to go above

308
00:16:50,400 --> 00:16:53,600
Speaker 1: neutral to fight inflation. Do you think they get that aggressive?

309
00:16:54,840 --> 00:16:57,360
Speaker 1: What'll It'll depend on the next couple of months, the readings,

310
00:16:57,360 --> 00:16:59,600
Speaker 1: how type of labor market is, how much way to

311
00:16:59,640 --> 00:17:02,880
Speaker 1: pressure May June and July. Our call from the top

312
00:17:02,920 --> 00:17:05,119
Speaker 1: of the house is fifty basis points and then twenty

313
00:17:05,160 --> 00:17:07,680
Speaker 1: five basis points from there on, So it's a pretty

314
00:17:07,680 --> 00:17:11,200
Speaker 1: aggressive call all things considered. So how worse the terminal rate?

315
00:17:11,240 --> 00:17:13,600
Speaker 1: No one really knows, and that's really you know anything,

316
00:17:13,760 --> 00:17:15,639
Speaker 1: we kind of we haven't thought about this, but the

317
00:17:15,680 --> 00:17:18,120
Speaker 1: supply chain problems aren't over. They're getting worse. In fact,

318
00:17:18,160 --> 00:17:22,440
Speaker 1: from Visa Beach China. So these inflationary pressures, supply related,

319
00:17:22,480 --> 00:17:24,760
Speaker 1: demand related, they're not going away anytime soon. So we

320
00:17:24,800 --> 00:17:27,040
Speaker 1: could see the terminal rate above the rate of inflation

321
00:17:27,119 --> 00:17:30,119
Speaker 1: for sure. That brings to the question about whether a

322
00:17:30,280 --> 00:17:34,240
Speaker 1: tightening FED can bring this economy in for a soft landing.

323
00:17:34,280 --> 00:17:37,280
Speaker 1: What's your outlook for recession given the pressures we're still

324
00:17:37,280 --> 00:17:40,600
Speaker 1: seeing the supply chains well, we see the odds of

325
00:17:40,640 --> 00:17:43,800
Speaker 1: recession rising for twenty three. It's not our call, no

326
00:17:43,840 --> 00:17:45,640
Speaker 1: doubt about it. We're not worried about this year. There's

327
00:17:45,640 --> 00:17:48,359
Speaker 1: a good head of steam with the consumer monetary policy

328
00:17:48,440 --> 00:17:51,159
Speaker 1: works in the lag so these great heights will be

329
00:17:51,240 --> 00:17:54,159
Speaker 1: felt next year. In terms of recessionary risk, it's not

330
00:17:54,200 --> 00:17:56,400
Speaker 1: a foregone conclusion that we have to have a recession

331
00:17:56,440 --> 00:17:58,920
Speaker 1: a slowdown. We're looking for less than two percent growth

332
00:17:58,960 --> 00:18:01,800
Speaker 1: in twenty three. That's being baked into the cake with earnings,

333
00:18:01,800 --> 00:18:04,639
Speaker 1: so it doesn't have to end badly i e. Recession,

334
00:18:04,720 --> 00:18:07,240
Speaker 1: but definitely a slowdown. There's no doubt about that. No,

335
00:18:07,359 --> 00:18:10,560
Speaker 1: we did have real yields briefly turned positive overnight for

336
00:18:10,600 --> 00:18:13,000
Speaker 1: the first time in two years. What's that say about

337
00:18:13,119 --> 00:18:17,720
Speaker 1: inflation expectations and the potential market impact with real yields

338
00:18:17,760 --> 00:18:21,439
Speaker 1: moving higher potentially, Well, there's some parts of the market

339
00:18:21,480 --> 00:18:23,159
Speaker 1: now looking to say, you know, kind of when do

340
00:18:23,200 --> 00:18:25,439
Speaker 1: we move into the fixed income space? I mean, when

341
00:18:25,640 --> 00:18:29,600
Speaker 1: the equity start looking less attractive relatively fixed income. So

342
00:18:29,640 --> 00:18:31,280
Speaker 1: that's something that's I think could be part of the

343
00:18:31,359 --> 00:18:33,560
Speaker 1: narrative for the second half of this year. I don't

344
00:18:33,600 --> 00:18:36,919
Speaker 1: think we're there just yet, but I think the key, Nathan,

345
00:18:37,000 --> 00:18:39,560
Speaker 1: is that we came into this slowdown this year in

346
00:18:39,600 --> 00:18:41,840
Speaker 1: the US at least, not China and Europe with a

347
00:18:41,840 --> 00:18:43,840
Speaker 1: good head of steam led by the consumer, and I

348
00:18:43,840 --> 00:18:46,040
Speaker 1: think that's going to surprise people to the upside in

349
00:18:46,119 --> 00:18:49,240
Speaker 1: terms of overall growth and the overall level of earnings

350
00:18:49,240 --> 00:18:51,760
Speaker 1: and why you want to still stick with equities. About

351
00:18:51,800 --> 00:18:54,760
Speaker 1: thirty seconds left here in terms of equity hedges, Are

352
00:18:54,760 --> 00:18:59,159
Speaker 1: there certain sectors you like particularly, Yeah, we're like the reefs,

353
00:18:59,359 --> 00:19:02,560
Speaker 1: we like the Monty complex, agriculture. You know, some of

354
00:19:02,560 --> 00:19:04,879
Speaker 1: these issues are pretty acute right now, but to me,

355
00:19:04,920 --> 00:19:08,520
Speaker 1: they're secular in terms of the food price pressures. Energy.

356
00:19:08,560 --> 00:19:10,960
Speaker 1: We still like in metals, minerals. You know, when you

357
00:19:11,000 --> 00:19:14,359
Speaker 1: talk about e V solar renewables, very metal intensive. Everyone

358
00:19:14,400 --> 00:19:18,120
Speaker 1: knows that. And to create the supply that it's gonna

359
00:19:18,200 --> 00:19:20,639
Speaker 1: take years, not quarters of six stepts. So we still

360
00:19:20,720 --> 00:19:23,920
Speaker 1: And it's the infrastructure, right, it's the infrastructure around natural gas,

361
00:19:24,000 --> 00:19:27,800
Speaker 1: it's the infrastructure around oil arount mining. That's where I

362
00:19:27,800 --> 00:19:30,639
Speaker 1: think there's gonna be some value in more site earning surprises.

363
00:19:31,200 --> 00:19:33,280
Speaker 1: Thanks for this, Joe, great having on with us this morning.

364
00:19:33,320 --> 00:19:35,920
Speaker 1: Joe Quinlan, head of CEO Market Strategy at Meryl and

365
00:19:35,960 --> 00:19:39,720
Speaker 1: Bank of America Private Bank. Right now, SMP futures are

366
00:19:39,760 --> 00:19:42,200
Speaker 1: little changed, up just one point down, features up thirty

367
00:19:42,240 --> 00:19:45,840
Speaker 1: nine points, NASTACT futures lower still by seventeen points, the

368
00:19:45,880 --> 00:19:49,160
Speaker 1: tenure treasury up eighteen thirty seconds, the yield two point

369
00:19:49,240 --> 00:19:52,120
Speaker 1: eight six on the tenure yield on the two year

370
00:19:52,160 --> 00:19:55,159
Speaker 1: two point five four percent. Just to add more U

371
00:19:55,280 --> 00:19:58,399
Speaker 1: S weapons heavy weapons going to Ukraine, and the Biden

372
00:19:58,400 --> 00:20:02,320
Speaker 1: administration says it may appeal the Mask ruling. Five things

373
00:20:02,359 --> 00:20:08,040
Speaker 1: you need to notice start your day just ahead Bloomberg

374
00:20:08,040 --> 00:20:10,400
Speaker 1: eleven three oh weather, early clouds. Good by to sunshine

375
00:20:10,440 --> 00:20:12,840
Speaker 1: today with behind your sixty degrees more clouds than sun

376
00:20:12,880 --> 00:20:16,199
Speaker 1: Tomorrow near sixty. We'll get up near seventy partly sunny

377
00:20:16,200 --> 00:20:23,080
Speaker 1: by Friday. Currently forty three degrees in Central Park. Broadcasting

378
00:20:23,119 --> 00:20:26,879
Speaker 1: live from the Bloomberg Interactive Broker Studio in New York,

379
00:20:26,960 --> 00:20:30,960
Speaker 1: Bloomberg Elving free to Washington, d C, Bloomberg nine one

380
00:20:31,040 --> 00:20:34,280
Speaker 1: to Boston, Bloomberg one O six one to San Francisco,

381
00:20:34,359 --> 00:20:37,560
Speaker 1: Bloomberg Home sixty to the country, sirius XM to A

382
00:20:37,640 --> 00:20:40,800
Speaker 1: one nine and around the globe, the Bloomberg Business app

383
00:20:40,920 --> 00:20:50,199
Speaker 1: and Bloomberg Radio dot com. This is Bloomberg Daybreak Hit

384
00:20:50,240 --> 00:20:52,480
Speaker 1: six thirty on Wall Street. Good morning, I'm Nathan Hager

385
00:20:52,720 --> 00:20:55,240
Speaker 1: and I'm Karen Moscow. We are just about three hours

386
00:20:55,280 --> 00:20:57,320
Speaker 1: away from the open of US trading. Time to the

387
00:20:57,359 --> 00:20:59,560
Speaker 1: five things you need to notice start your day. Brought

388
00:20:59,640 --> 00:21:02,600
Speaker 1: to you by I b k R Investment Advisers switched

389
00:21:02,600 --> 00:21:05,320
Speaker 1: to interact your brokers for lowest cost global trading and

390
00:21:05,359 --> 00:21:09,119
Speaker 1: turnkey custody solutions, no ticket charges and no conflicts of

391
00:21:09,160 --> 00:21:12,720
Speaker 1: your interests at IBKR dot com. Slash r I, a

392
00:21:12,880 --> 00:21:17,479
Speaker 1: first streaming giant Netflix slumping after yesterday's shocking earnings report.

393
00:21:17,800 --> 00:21:21,200
Speaker 1: Shares are currently down twenties seven percent in early trading,

394
00:21:21,240 --> 00:21:23,440
Speaker 1: we get the latest line from Bloomberg's re need a

395
00:21:23,560 --> 00:21:26,840
Speaker 1: young good morning, Ready to good morning, Karen. Netflix unexpectedly

396
00:21:26,920 --> 00:21:29,879
Speaker 1: lost subscribers for the first time in a decade, and

397
00:21:29,920 --> 00:21:33,080
Speaker 1: the streaming giant seas another drop of two million users

398
00:21:33,119 --> 00:21:36,040
Speaker 1: this quarter. So in an effort to improve results, co

399
00:21:36,280 --> 00:21:40,480
Speaker 1: CEO Read Hastings says Netflix will introduce a cheaper, advertising

400
00:21:40,520 --> 00:21:43,679
Speaker 1: supported option for subscribers in the next couple of years.

401
00:21:43,760 --> 00:21:46,320
Speaker 1: He also says the company will start to crack down

402
00:21:46,359 --> 00:21:49,840
Speaker 1: on people sharing their passwords. Live in New York. I'm

403
00:21:49,840 --> 00:21:52,240
Speaker 1: gonna need a young Bloomberg daybreak. We need to thank

404
00:21:52,240 --> 00:21:55,159
Speaker 1: you in sixteen. More companies in the SMP report earnings today,

405
00:21:55,160 --> 00:21:59,040
Speaker 1: including Tesla, Bloomberg Intelligence analists You're watching how competition and

406
00:21:59,080 --> 00:22:02,720
Speaker 1: global supply disruptions are testing the electric vehicle giants ambitious

407
00:22:02,760 --> 00:22:06,800
Speaker 1: annual delivery goals well. Nathan overseas the key Ukrainian port

408
00:22:06,880 --> 00:22:10,320
Speaker 1: city of Mario Polis in jeopardy as defenders say they're

409
00:22:10,320 --> 00:22:13,800
Speaker 1: outnumbered by Russia. Ukraine is appealing to world leaders for

410
00:22:13,880 --> 00:22:16,240
Speaker 1: help them, and Russia is offensive in the country's southern

411
00:22:16,280 --> 00:22:20,520
Speaker 1: and eastern regions. Democratic Congressman and Ruben Diego of Arizona

412
00:22:20,560 --> 00:22:24,320
Speaker 1: tells Bloomberg's Joe Matthew the US is continuing to supply

413
00:22:24,480 --> 00:22:27,280
Speaker 1: Ukraine with military aid, which should help in their fight

414
00:22:27,440 --> 00:22:30,359
Speaker 1: in the Don Boss region. By US of trying them,

415
00:22:30,520 --> 00:22:34,240
Speaker 1: Jeff and and their own artillery as well as radars

416
00:22:34,240 --> 00:22:36,320
Speaker 1: to actually counter the artillery. Is that in contracts you

417
00:22:36,320 --> 00:22:38,040
Speaker 1: know where it's coming from. Ukraine is going to be

418
00:22:38,080 --> 00:22:40,840
Speaker 1: able to have some levels of the evening of the

419
00:22:40,880 --> 00:22:44,680
Speaker 1: plain field. Democratic Congressman Reuben Diego speaking with Joe and

420
00:22:44,800 --> 00:22:47,879
Speaker 1: Matthew on Bloomberg Sound on Fetch the program weekdays at

421
00:22:47,880 --> 00:22:50,840
Speaker 1: five pm Eastern on Bloomberg Radio. Turning to the economy,

422
00:22:50,880 --> 00:22:53,560
Speaker 1: care in the Federal Reserve releases it's beige book today,

423
00:22:53,640 --> 00:22:56,760
Speaker 1: and Chicago Fed President Charles Evans says interest rates will

424
00:22:56,800 --> 00:23:00,439
Speaker 1: probably rise above the neutral level, depending off depending on

425
00:23:00,600 --> 00:23:04,400
Speaker 1: if inflation cools as expected. Nathan in the nation's capital,

426
00:23:04,400 --> 00:23:07,160
Speaker 1: the Justice Department says it's ready to appeal a ruling

427
00:23:07,200 --> 00:23:10,280
Speaker 1: by a judge who struck down the body administrations in

428
00:23:10,400 --> 00:23:14,280
Speaker 1: nationwide mask mandate on planes, trains and other public transport.

429
00:23:14,440 --> 00:23:17,240
Speaker 1: The Department may appeal if the CDC decides mass should

430
00:23:17,240 --> 00:23:20,400
Speaker 1: remain in place past the current assessment period. And that's

431
00:23:20,400 --> 00:23:22,280
Speaker 1: the five things you need to notice start your day.

432
00:23:22,280 --> 00:23:26,040
Speaker 1: Brought to you by Interactive Brokers, S and P futures

433
00:23:26,040 --> 00:23:29,040
Speaker 1: are little change this morning and straight ahead your latest

434
00:23:29,160 --> 00:23:34,040
Speaker 1: local headlines plus the check of sports. And this is Bloomberg.

435
00:23:38,160 --> 00:23:40,760
Speaker 1: Thanks sixty three on Wall Street, forty three degrees in

436
00:23:40,800 --> 00:23:43,280
Speaker 1: central parking delays building through the Holland Tunnel. We get

437
00:23:43,320 --> 00:23:45,800
Speaker 1: the details and traffic shortly. First Michael Barr with what

438
00:23:45,880 --> 00:23:48,120
Speaker 1: else is going on in New York and around the world.

439
00:23:48,200 --> 00:23:50,520
Speaker 1: Good morning, Michael, Good morning Nathan. It's one of the

440
00:23:50,600 --> 00:23:53,959
Speaker 1: largest cash settlements involving the Catholic Church in the US.

441
00:23:54,400 --> 00:23:57,399
Speaker 1: The Catholic Diocese of Camden, New Jersey has agreed to

442
00:23:57,440 --> 00:24:01,000
Speaker 1: pay eighty seven point five million dollars to settle claims

443
00:24:01,000 --> 00:24:04,879
Speaker 1: involving clergy sex abuse with about three hundred alleged victims.

444
00:24:04,920 --> 00:24:07,840
Speaker 1: Mark Crawford is with the State Chapter of the Survivor's

445
00:24:07,840 --> 00:24:11,240
Speaker 1: Network of Those abused by priests. The victims you know

446
00:24:11,280 --> 00:24:14,119
Speaker 1: who are in their sixties, seventies and eighties, have come forward,

447
00:24:14,359 --> 00:24:20,040
Speaker 1: So these allegations, I know the rant fifties, sixties, seventies,

448
00:24:20,440 --> 00:24:24,520
Speaker 1: you know, throughout several decades. Crawford says he's glad it

449
00:24:24,560 --> 00:24:27,679
Speaker 1: has come to fruition. The Justice Department is threatening to

450
00:24:27,720 --> 00:24:30,800
Speaker 1: take over Rikers Island unless sweeping changers are made At

451
00:24:30,840 --> 00:24:34,080
Speaker 1: the jail facility, sixteen people died there last year, and

452
00:24:34,119 --> 00:24:37,440
Speaker 1: so far three inmates have died this year. Staff shortages

453
00:24:37,480 --> 00:24:40,560
Speaker 1: have also been a big problem. A spokesperson says the

454
00:24:40,640 --> 00:24:45,000
Speaker 1: DC is committed to improving conditions. Connecticut State Police a

455
00:24:45,160 --> 00:24:48,560
Speaker 1: trooper who fired seven gunshots into a car and killed

456
00:24:48,560 --> 00:24:51,160
Speaker 1: a man in twenty twenty after a high speed chase

457
00:24:51,480 --> 00:24:54,520
Speaker 1: has been arrested in connection with the shooting. Authority State

458
00:24:54,600 --> 00:24:58,160
Speaker 1: Trooper Brian North turned himself into the State Inspector General.

459
00:24:58,480 --> 00:25:01,359
Speaker 1: A Chinese health officials says four million more people in

460
00:25:01,440 --> 00:25:04,800
Speaker 1: Shanghai have been allowed to leave their homes as coronavirus

461
00:25:04,880 --> 00:25:09,040
Speaker 1: quarantine rules ease. That brings to almost twelve million people

462
00:25:09,160 --> 00:25:11,760
Speaker 1: who now have been allowed to leave their homes. The

463
00:25:11,800 --> 00:25:15,760
Speaker 1: tunnel fire is ravaging the flag Staff Arizona area. Officials

464
00:25:15,760 --> 00:25:18,760
Speaker 1: say it has consumed more than six thousand acres. Patrese

465
00:25:18,800 --> 00:25:23,080
Speaker 1: Horsemen is chair of the Board of Supervisors for Coconino County.

466
00:25:23,160 --> 00:25:26,040
Speaker 1: The tunnel fire has been fueled by high winds and

467
00:25:26,160 --> 00:25:32,160
Speaker 1: derive conditions, and the county has deployed all available resources.

468
00:25:32,200 --> 00:25:35,399
Speaker 1: We have requested assistance from the State of Arizona and

469
00:25:35,520 --> 00:25:39,280
Speaker 1: the federal government. Patrese Horsemen with the Coconino County says

470
00:25:39,520 --> 00:25:42,680
Speaker 1: thousands have had to flee their homes. Triple A says

471
00:25:42,720 --> 00:25:46,080
Speaker 1: Americans are putting aside their concerns about gas prices, inflation,

472
00:25:46,119 --> 00:25:49,480
Speaker 1: and even the pandemic and hitting the road for Memorial Day.

473
00:25:49,560 --> 00:25:53,080
Speaker 1: Reservations for things like flight's, rental cars, cruises, and hotels

474
00:25:53,080 --> 00:25:56,480
Speaker 1: for the holiday are up one percent over last year.

475
00:25:56,720 --> 00:25:59,440
Speaker 1: The Triple As Ellen Edmund says the data was collected

476
00:25:59,440 --> 00:26:02,240
Speaker 1: before the matter Man date was struck down. Even with

477
00:26:02,320 --> 00:26:06,080
Speaker 1: that still an effect, we were seeing strong reservations. I

478
00:26:06,080 --> 00:26:07,840
Speaker 1: don't know that that will impact it one way or

479
00:26:07,880 --> 00:26:11,280
Speaker 1: the other. The Triple As Ellen Edmonds Global News twenty

480
00:26:11,280 --> 00:26:14,200
Speaker 1: four hours a day on air and on Bloomberg quick Take,

481
00:26:14,240 --> 00:26:17,119
Speaker 1: powered by more than twenty seven hundred journalist and analysts

482
00:26:17,320 --> 00:26:19,480
Speaker 1: in more than a hundred twenty countries. I'm Michael Bard.

483
00:26:19,520 --> 00:26:26,320
Speaker 1: This is Bloomberg NA. Thank you Michael. Coming up to

484
00:26:26,320 --> 00:26:28,360
Speaker 1: six thirty six on Wall Street. Time for the Bloomberg

485
00:26:28,359 --> 00:26:31,479
Speaker 1: Sports update. Here against john Stown Shower even nineteen innings

486
00:26:31,480 --> 00:26:33,800
Speaker 1: of baseball played at City Field and two wins for

487
00:26:33,920 --> 00:26:36,320
Speaker 1: the Mets, who are a major league best nine and three.

488
00:26:36,400 --> 00:26:38,240
Speaker 1: A double utter sweep for the Giants. Mets won the

489
00:26:38,240 --> 00:26:40,800
Speaker 1: opener five to four in ten innings. They had trailed

490
00:26:40,800 --> 00:26:43,520
Speaker 1: four to one Francisco Lindora at the game, tying and

491
00:26:43,680 --> 00:26:46,280
Speaker 1: winning hits. They finished the sweep winning three to one.

492
00:26:46,359 --> 00:26:49,280
Speaker 1: Max Jerzer has been as advertised, he's already three and oh.

493
00:26:49,359 --> 00:26:51,800
Speaker 1: His first met started home was a near no hit

494
00:26:51,880 --> 00:26:53,520
Speaker 1: or he lost it in the sixth inning, but gave

495
00:26:53,600 --> 00:26:56,520
Speaker 1: up just the one hit struck AFT's hand in seven innies.

496
00:26:56,560 --> 00:26:59,359
Speaker 1: As for Garrett Cole, his struggles continue. Though the Yankees

497
00:26:59,440 --> 00:27:01,080
Speaker 1: wanted to try right four to two, it was due

498
00:27:01,080 --> 00:27:04,520
Speaker 1: to their bullpen, especially Clark Schmid. Cole couldn't finish the

499
00:27:04,600 --> 00:27:07,760
Speaker 1: second and then he had five walks and three starts.

500
00:27:07,840 --> 00:27:10,359
Speaker 1: Cole making thirties six million dollars, yet to win as

501
00:27:10,359 --> 00:27:12,920
Speaker 1: the r A is over six. As manager Aaron Boone

502
00:27:13,000 --> 00:27:14,920
Speaker 1: really believe he's Collis for a big gear for us,

503
00:27:15,119 --> 00:27:18,119
Speaker 1: and uh, you know he's gonna, you know, carry us

504
00:27:18,119 --> 00:27:21,680
Speaker 1: for a long stretch. Uh, you know, it just hasn't

505
00:27:21,680 --> 00:27:24,640
Speaker 1: gone his way so far. But um I do feel

506
00:27:24,680 --> 00:27:26,920
Speaker 1: like he's close. He's just gotta, you know, get locked

507
00:27:26,960 --> 00:27:29,280
Speaker 1: in with his rhythm and and they'll take it from there.

508
00:27:29,440 --> 00:27:31,879
Speaker 1: Although the Yanks won, some hitting woes continued. Kyle he

509
00:27:32,000 --> 00:27:35,000
Speaker 1: Gasa Yoka is betting one oh three. Joey Gallo, who

510
00:27:35,000 --> 00:27:37,520
Speaker 1: went over four with four strikeouts, betting one twenty one,

511
00:27:37,560 --> 00:27:40,160
Speaker 1: no rbs. Another set out win for the Rangers. That's

512
00:27:40,200 --> 00:27:42,600
Speaker 1: three in a row first time since nineteen seventy three.

513
00:27:42,680 --> 00:27:45,719
Speaker 1: At the Garden, thirty one staves for Igors. Historican Rangers

514
00:27:45,720 --> 00:27:49,040
Speaker 1: got their fiftieth win, three nothing over Winnipeg. NBA Playoffs,

515
00:27:49,040 --> 00:27:51,479
Speaker 1: Miami got forty five points from Jimmy Butler and went

516
00:27:51,480 --> 00:27:54,960
Speaker 1: out to nothing in Atlanta. Memphis beat Minnesota, New Orleans

517
00:27:55,080 --> 00:27:58,080
Speaker 1: upset Phoenix. Those series both tied a one nets Celtics

518
00:27:58,119 --> 00:28:00,560
Speaker 1: game to tonight in Boston for the one of the

519
00:28:00,560 --> 00:28:04,760
Speaker 1: opener at the Buzzard. John Stashar Bloomberg Sports, All right, John,

520
00:28:04,760 --> 00:28:06,800
Speaker 1: thank you. At six thirty seven on Wall Street time

521
00:28:06,840 --> 00:28:08,280
Speaker 1: to take a look at stock some of the names

522
00:28:08,320 --> 00:28:12,320
Speaker 1: moving in the pre market. Bloomberg Markets correspondent Danny Berger

523
00:28:12,640 --> 00:28:15,760
Speaker 1: is with us this morning. Danny, obviously the big mover

524
00:28:15,960 --> 00:28:21,040
Speaker 1: of the morning continues to be Netflix after those rough earnings.

525
00:28:22,280 --> 00:28:24,560
Speaker 1: I mean, this was a real shocker. Have to say.

526
00:28:24,800 --> 00:28:28,600
Speaker 1: The quote that stood out for me Michael Nathanson Nathanson saying,

527
00:28:28,680 --> 00:28:32,720
Speaker 1: it's just shocking. So they lost about two hundred thousand

528
00:28:32,760 --> 00:28:35,919
Speaker 1: customers in the first quarter, and it is the first time,

529
00:28:36,400 --> 00:28:39,480
Speaker 1: um since two thousand eleven that they lost subscribers. It's

530
00:28:39,520 --> 00:28:42,520
Speaker 1: notable because they've been on this really big upper trajectory

531
00:28:42,600 --> 00:28:46,720
Speaker 1: of continuing to add subscribers quarter after quarter, year after years.

532
00:28:46,760 --> 00:28:50,520
Speaker 1: So this is a pretty big about face into some degree,

533
00:28:50,640 --> 00:28:52,600
Speaker 1: just shows that, you know, we're not all locked up

534
00:28:52,600 --> 00:28:55,040
Speaker 1: in our homes anymore. We're going out, We're doing more

535
00:28:55,080 --> 00:28:58,600
Speaker 1: than just watching Netflix. And are we seeing any uh,

536
00:28:59,040 --> 00:29:04,440
Speaker 1: similar moves playing out with other companies that have streaming exposure,

537
00:29:04,600 --> 00:29:08,680
Speaker 1: think of like Disney or Roku, companies like that. Yeah,

538
00:29:08,800 --> 00:29:11,520
Speaker 1: I mean, certainly this this isn't just confined to Netflix.

539
00:29:11,560 --> 00:29:14,320
Speaker 1: I mean Netflix itself is down about twenty six percent

540
00:29:14,400 --> 00:29:16,720
Speaker 1: pre market you compare that to Disney for example, it's

541
00:29:16,720 --> 00:29:21,240
Speaker 1: down five percent, so not down as drastically. UM. Some

542
00:29:21,320 --> 00:29:23,880
Speaker 1: of the other companies again they're declining, but not as much.

543
00:29:23,920 --> 00:29:26,120
Speaker 1: I think there's perhaps a hope with some of these

544
00:29:26,160 --> 00:29:30,280
Speaker 1: other streaming services UM that they're more diversified. You think

545
00:29:30,320 --> 00:29:33,040
Speaker 1: of a Disney for example, which has more UH than

546
00:29:33,160 --> 00:29:35,920
Speaker 1: just Disney Plus. Of course they've really put their eggs

547
00:29:36,000 --> 00:29:37,880
Speaker 1: in that basket. But you know, you look at a

548
00:29:37,880 --> 00:29:40,800
Speaker 1: Disney for example, they really started out as sort of

549
00:29:40,800 --> 00:29:44,000
Speaker 1: this value stock and then added on this growthy component

550
00:29:44,120 --> 00:29:46,840
Speaker 1: of Disney Plus. Now what Netflix has to do is

551
00:29:46,840 --> 00:29:49,280
Speaker 1: the opposite. They were really growthy stock, and now they

552
00:29:49,280 --> 00:29:51,680
Speaker 1: have to convince the market that they can pivot to

553
00:29:51,720 --> 00:29:54,440
Speaker 1: be a more of a value stock. So it's a

554
00:29:54,480 --> 00:29:56,920
Speaker 1: harder proposition now for Netflix and some of their rivals.

555
00:29:57,200 --> 00:29:59,280
Speaker 1: In our last minute here, Danny, we're starting to see

556
00:29:59,280 --> 00:30:02,280
Speaker 1: the broader mark could move a little bit higher. Now,

557
00:30:02,400 --> 00:30:04,920
Speaker 1: is there a little bit of an expectation that the

558
00:30:05,080 --> 00:30:08,480
Speaker 1: overall earnings picture might not be so bad as the

559
00:30:08,520 --> 00:30:12,040
Speaker 1: Netflix story. Look, we have started to see more earnings

560
00:30:12,120 --> 00:30:14,640
Speaker 1: downgrades than we have in the past. But again and

561
00:30:14,680 --> 00:30:17,080
Speaker 1: again you have people pointing to the fact, yes we

562
00:30:17,120 --> 00:30:19,760
Speaker 1: have how yield the earnings picture would support it. I

563
00:30:19,760 --> 00:30:21,440
Speaker 1: wouldn't be doing my job if I didn't give you

564
00:30:21,440 --> 00:30:23,600
Speaker 1: the other side of that. Banks of America says that

565
00:30:23,640 --> 00:30:27,160
Speaker 1: we are overesting overestimating margins. Q one is as good

566
00:30:27,160 --> 00:30:30,360
Speaker 1: as it gets. So for now people are happy about equities.

567
00:30:30,400 --> 00:30:32,920
Speaker 1: But doesn't last is the big question. And we know

568
00:30:33,000 --> 00:30:35,920
Speaker 1: you'll be watching, of course, because that is your job.

569
00:30:35,960 --> 00:30:38,520
Speaker 1: Bloomberg Markets correspond to Danny Burger again, thanks for being

570
00:30:38,520 --> 00:30:40,520
Speaker 1: with us in this pre market and as we look

571
00:30:40,560 --> 00:30:43,560
Speaker 1: at stocks as a whole ahead of the Wednesday morning open,

572
00:30:43,640 --> 00:30:46,280
Speaker 1: we have SMP futures moving just a bit higher, up

573
00:30:46,280 --> 00:30:48,480
Speaker 1: four points, or about a tenth percent. Down futures are

574
00:30:48,560 --> 00:30:51,000
Speaker 1: higher by sixty nine points. That's again two tenths percent.

575
00:30:51,320 --> 00:30:54,440
Speaker 1: NASAC future is still lower, but little change to the downside,

576
00:30:54,440 --> 00:30:57,480
Speaker 1: down nine points the ten Your treasury is up sixteen

577
00:30:57,520 --> 00:31:00,920
Speaker 1: thirty seconds. YELD two point eight seven percent yield on

578
00:31:01,000 --> 00:31:04,200
Speaker 1: the two year two point five five nim X screwed

579
00:31:04,280 --> 00:31:06,520
Speaker 1: up seven tenths per center, seventy three cents a hundred

580
00:31:06,520 --> 00:31:09,240
Speaker 1: three dollars twenty nine cents of barrel. The latest from

581
00:31:09,280 --> 00:31:12,520
Speaker 1: Washington up next, including the sort of waffling stance on

582
00:31:12,560 --> 00:31:16,560
Speaker 1: the masked man date. Bloomberg Government reporter Emily Wilkins will

583
00:31:16,600 --> 00:31:23,200
Speaker 1: be with us next. This is Bloomberg Bloomberg eleven three

584
00:31:23,200 --> 00:31:25,080
Speaker 1: oh weather clouds your way to sunshine today with a

585
00:31:25,120 --> 00:31:27,440
Speaker 1: hind your sixty. More clouds and sun tomorrow with a

586
00:31:27,520 --> 00:31:29,760
Speaker 1: high in your sixty Once again. We'll be here seventy

587
00:31:29,800 --> 00:31:33,080
Speaker 1: partly sunny by Friday, currently forty three degrees at Central

588
00:31:33,080 --> 00:31:40,200
Speaker 1: Park Markets. Headlines and breaking news twenty four hours a

589
00:31:40,280 --> 00:31:43,240
Speaker 1: day at Bloomberg dot Com, the Bloomberg Business at and

590
00:31:43,440 --> 00:31:53,520
Speaker 1: at Bloomberg Quicktape. He's a Bloomberg Business Flash and I'm

591
00:31:53,560 --> 00:31:57,160
Speaker 1: Karen Moscow. SMP futures are higher this morning. Let's go

592
00:31:57,200 --> 00:31:59,840
Speaker 1: to the first Word breaking news desk for today's morning call.

593
00:32:00,000 --> 00:32:04,000
Speaker 1: And here's Bill Maloney. Bill, good morning, Good morning, Karen.

594
00:32:04,120 --> 00:32:06,840
Speaker 1: Us features somewhat quiet right now with down features up

595
00:32:06,840 --> 00:32:10,520
Speaker 1: seventy six point sesames game four nastic features are down

596
00:32:10,560 --> 00:32:13,440
Speaker 1: by eleven. The US ten ual that two point eight

597
00:32:13,560 --> 00:32:16,600
Speaker 1: seven percent in gold is a little change, Oil trading higher,

598
00:32:16,800 --> 00:32:20,200
Speaker 1: and bitcoin is rising by one point one percent. Shanghai

599
00:32:20,280 --> 00:32:23,120
Speaker 1: dropped one point four percent overnight, while European markets are

600
00:32:23,120 --> 00:32:25,920
Speaker 1: in the green, led by games in France and Germany.

601
00:32:26,000 --> 00:32:28,120
Speaker 1: Back in the US on the economic front, at ten o'clock,

602
00:32:28,160 --> 00:32:31,480
Speaker 1: existing home sales and after the bell. Last night, Netflix

603
00:32:31,520 --> 00:32:34,920
Speaker 1: reported its first subscriber loss in a decade, shares a

604
00:32:35,000 --> 00:32:38,720
Speaker 1: plunging percent pre market regarding earnings, A smart on Co

605
00:32:38,800 --> 00:32:42,200
Speaker 1: America EPs was in line and wrapping things up. Netflix

606
00:32:42,240 --> 00:32:45,040
Speaker 1: was downgraded by at least five firms this morning, and

607
00:32:45,120 --> 00:32:49,320
Speaker 1: Palatiner was raised a sector perform over at RBC Live

608
00:32:49,400 --> 00:32:52,320
Speaker 1: from the first Baking News discom Bill Maloney, Karen Grey, Bill,

609
00:32:52,400 --> 00:32:55,040
Speaker 1: thank you, and here live breaking news over your Bloomberg Times.

610
00:32:55,040 --> 00:32:58,000
Speaker 1: Squawk on your terminal SCU A w K. That's a

611
00:32:58,000 --> 00:33:00,760
Speaker 1: Bloomberg business flash. Now here's Michael Are with more on

612
00:33:00,840 --> 00:33:03,400
Speaker 1: what's going on around the world. Michael, Karen, thank you

613
00:33:03,480 --> 00:33:06,880
Speaker 1: very much. A British judge has formally approved the expedition

614
00:33:06,960 --> 00:33:11,040
Speaker 1: of Julian Assage to the United States, who faced spying charges.

615
00:33:11,400 --> 00:33:14,120
Speaker 1: The case will now go to Britain's Interior Minister for

616
00:33:14,200 --> 00:33:16,920
Speaker 1: a decision. The US wants to try a Sage on

617
00:33:17,120 --> 00:33:21,240
Speaker 1: seventeen charges of espionage and one charge of computer misuse

618
00:33:21,320 --> 00:33:25,800
Speaker 1: related to wiki leaks publication of classified documents. Russia is

619
00:33:25,880 --> 00:33:28,880
Speaker 1: launching an offensive in Ukraine and an attempt to slice

620
00:33:28,920 --> 00:33:32,520
Speaker 1: the country into and isolate part of the Dundas region.

621
00:33:33,160 --> 00:33:37,240
Speaker 1: In MLB, the Yankees one, the Mets swept a doubleheader

622
00:33:37,280 --> 00:33:41,600
Speaker 1: against the Giants. The Nationals swept a doubleheader against the Diamondbacks.

623
00:33:41,600 --> 00:33:44,400
Speaker 1: The Red Sox one, the A's beat the Orioles to one.

624
00:33:44,440 --> 00:33:47,640
Speaker 1: The game was played before the smallest Oakland crowd of

625
00:33:47,720 --> 00:33:50,600
Speaker 1: just more than thirty seven hundred fans in decades. In

626
00:33:50,680 --> 00:33:53,440
Speaker 1: the NHL, the Rangers and Bruins one. The Islanders lost

627
00:33:53,440 --> 00:33:56,360
Speaker 1: in O t to the Panthers. Three. To Global News

628
00:33:56,360 --> 00:33:59,680
Speaker 1: twenty four hours a day on air and on Bloomberg Quicktake,

629
00:34:00,000 --> 00:34:04,240
Speaker 1: powered by more than hundred journalists and analysts more than countries.

630
00:34:04,520 --> 00:34:07,880
Speaker 1: Michael Barn, this is Bloomberg hereon RRY. Michael bar thank you.

631
00:34:08,080 --> 00:34:11,200
Speaker 1: It is a six forty nine on Wall Street. We

632
00:34:11,320 --> 00:34:13,840
Speaker 1: turned to news now in science and technology with the

633
00:34:13,880 --> 00:34:16,400
Speaker 1: Bloomberg and J. I. T. Stam Report, brought to you

634
00:34:16,520 --> 00:34:20,320
Speaker 1: by New Jersey Institute of Technology, Frankie Top fifty national

635
00:34:20,360 --> 00:34:23,440
Speaker 1: public University by US News and World Report, and at

636
00:34:23,480 --> 00:34:26,520
Speaker 1: top ten for best Career placement among public schools by

637
00:34:26,520 --> 00:34:29,480
Speaker 1: the Princeton Review. More at n J I, T, DOT, E,

638
00:34:29,600 --> 00:34:32,719
Speaker 1: d U and now Here's what's making news and science, technology, engineering,

639
00:34:32,760 --> 00:34:35,880
Speaker 1: and math. Health officials say they have detected more cases

640
00:34:35,920 --> 00:34:39,399
Speaker 1: of a mysterious liver disease in children that was first

641
00:34:39,440 --> 00:34:42,480
Speaker 1: identified in Britain, with new infections spreading to Europe. In

642
00:34:42,480 --> 00:34:46,240
Speaker 1: the US last week, British officials reported seventy four cases

643
00:34:46,239 --> 00:34:50,160
Speaker 1: of hepatitis or liver inflammation found in children since January.

644
00:34:50,480 --> 00:34:54,719
Speaker 1: The usual viruses that cause infectious hepatitis we're not seen

645
00:34:54,760 --> 00:34:57,680
Speaker 1: in the cases, and scientists and doctors are considering other

646
00:34:57,800 --> 00:35:01,120
Speaker 1: possible sources. The centers were as these Control and Preventions

647
00:35:01,120 --> 00:35:04,560
Speaker 1: say almost u s children hospitalized for COVID during the

648
00:35:04,560 --> 00:35:08,880
Speaker 1: omicron wave this winter were unvaccinated, though only Crown has

649
00:35:08,920 --> 00:35:12,839
Speaker 1: generally been considered milder than prior variants. Peak intensive care

650
00:35:12,920 --> 00:35:16,080
Speaker 1: unit admission rates for children where one point seven times

651
00:35:16,160 --> 00:35:20,040
Speaker 1: is high during January when omicron reigned than when delta

652
00:35:20,239 --> 00:35:24,480
Speaker 1: peaked in October, and the global smartphone market has had

653
00:35:24,520 --> 00:35:28,000
Speaker 1: its worst drop since the COVID outbreaks. Smartphones shipments fell

654
00:35:28,080 --> 00:35:31,960
Speaker 1: eleven percent in the first quarter. Inflation fears Russia's invasion

655
00:35:32,040 --> 00:35:34,960
Speaker 1: of Ukraine and the Omicron variant are being blamed for

656
00:35:35,000 --> 00:35:38,520
Speaker 1: an unsteady recovery for the sector, and as the Bloomberg

657
00:35:38,600 --> 00:35:42,000
Speaker 1: and j I. T Stem report Nathan, all right, Karen, thanks,

658
00:35:42,080 --> 00:35:45,359
Speaker 1: We're live from the Bloomberg Interactive Brokers studios, where it's

659
00:35:45,360 --> 00:35:48,200
Speaker 1: just about six fifty one on Wall Street. Time now

660
00:35:48,200 --> 00:35:50,000
Speaker 1: to check what's going on in d C. Some of

661
00:35:50,000 --> 00:35:53,080
Speaker 1: the top stories in our nation's capital include President Biden

662
00:35:53,320 --> 00:35:57,360
Speaker 1: wavering on the fight over masks in public transit, President

663
00:35:57,400 --> 00:36:00,239
Speaker 1: promising more artillery to Ukraine after a meeting with al Lines,

664
00:36:00,680 --> 00:36:04,440
Speaker 1: and the President Biden touting infrastructure on a trip to

665
00:36:04,440 --> 00:36:07,520
Speaker 1: New Hampshire. Bloomberg Government reporter Emily Wilkins joins this now

666
00:36:07,560 --> 00:36:10,440
Speaker 1: for more on all these stories. Emily, good morning. Can

667
00:36:10,480 --> 00:36:13,520
Speaker 1: you help us sort out how the Biden administration is

668
00:36:13,680 --> 00:36:17,720
Speaker 1: responding to the federal judges ruling that lifted the masks

669
00:36:17,960 --> 00:36:21,960
Speaker 1: in planes and trains. Yeah, it's a little confusing at

670
00:36:21,960 --> 00:36:24,960
Speaker 1: this point, Nathan, because we saw the Justice Department yesterday

671
00:36:25,200 --> 00:36:28,880
Speaker 1: saying publicly that it stood ready to appeal the ruling

672
00:36:28,960 --> 00:36:31,279
Speaker 1: that was issued on Monday by a trumpet point in

673
00:36:31,320 --> 00:36:34,080
Speaker 1: federal judge in Florida, but they were waiting for the

674
00:36:34,160 --> 00:36:38,120
Speaker 1: CDC's conclusion that the order remained necessary. And then the

675
00:36:38,160 --> 00:36:41,840
Speaker 1: CDC an hour later released its own statement and really

676
00:36:41,920 --> 00:36:44,759
Speaker 1: did not clearly say whether the Health agency wanted the

677
00:36:44,800 --> 00:36:48,480
Speaker 1: Justice Department to even appeal. And there's a risk here, Nathan,

678
00:36:48,719 --> 00:36:52,040
Speaker 1: for the Biden administration. I mean, if they did wind

679
00:36:52,120 --> 00:36:55,480
Speaker 1: up appealing and then they wound up losing, that could

680
00:36:55,760 --> 00:36:58,919
Speaker 1: impact how the CDC could take some basic public health

681
00:36:58,960 --> 00:37:01,720
Speaker 1: precautions this in case we see a surge of cases

682
00:37:01,920 --> 00:37:04,920
Speaker 1: in the fall or in the winter. And so at

683
00:37:04,920 --> 00:37:07,160
Speaker 1: this point, it's not clear that a ruling it is

684
00:37:07,200 --> 00:37:09,480
Speaker 1: going to be appealed. At this point. You kind of

685
00:37:09,480 --> 00:37:12,360
Speaker 1: heard yesterday Biden talk about this message about, you know

686
00:37:12,400 --> 00:37:15,320
Speaker 1: that everyone's got to kind of take responsibility to figure

687
00:37:15,320 --> 00:37:18,120
Speaker 1: out what's best for them. Um, it seems like this

688
00:37:18,200 --> 00:37:20,719
Speaker 1: is something that those though that the CDC is still

689
00:37:20,760 --> 00:37:23,720
Speaker 1: talking about, still considering, so we might say future action

690
00:37:23,760 --> 00:37:26,759
Speaker 1: on it. Uh, it's just good to know that there

691
00:37:26,960 --> 00:37:30,400
Speaker 1: is a risk here should the Biden administration pursue an appeal.

692
00:37:30,840 --> 00:37:32,879
Speaker 1: I guess there's a little bit of confusion as well,

693
00:37:32,920 --> 00:37:36,360
Speaker 1: Emily about the idea of the Centers for Disease Control,

694
00:37:36,400 --> 00:37:40,520
Speaker 1: a health agency making a decision on a legal matters.

695
00:37:41,000 --> 00:37:44,600
Speaker 1: The idea of appealing a case something that you would

696
00:37:44,600 --> 00:37:50,920
Speaker 1: think would be the Justice Department's final decision. Yeah, Nathan, definitely,

697
00:37:50,960 --> 00:37:53,000
Speaker 1: this is something I think a little a few people

698
00:37:53,080 --> 00:37:55,359
Speaker 1: were kind of surprised by the fact that they were

699
00:37:55,400 --> 00:37:58,320
Speaker 1: turning to the CDC on this. But remember, the CDC

700
00:37:58,600 --> 00:38:01,560
Speaker 1: was actually in the process of investigating whether or not

701
00:38:01,640 --> 00:38:05,120
Speaker 1: the mask mandate to continue on public transportation setting, and

702
00:38:05,200 --> 00:38:08,480
Speaker 1: it was supposed to end around April eight teens on Monday,

703
00:38:08,560 --> 00:38:10,520
Speaker 1: and then the CDC said, we're going to extend this

704
00:38:10,560 --> 00:38:13,080
Speaker 1: for fifteen days because we just need more time to

705
00:38:13,160 --> 00:38:15,720
Speaker 1: review it. So it did seem like they were seriously

706
00:38:15,719 --> 00:38:19,920
Speaker 1: considering perhaps ending the order on their own, uh, just

707
00:38:20,000 --> 00:38:23,319
Speaker 1: given how short see the extension was. But they really

708
00:38:23,360 --> 00:38:25,799
Speaker 1: had not yet come to a conclusion on whether or

709
00:38:25,800 --> 00:38:29,760
Speaker 1: not to end that mass mandate. And there's political considerations

710
00:38:29,800 --> 00:38:32,960
Speaker 1: here as well, right, I mean, a lot of Americans,

711
00:38:33,040 --> 00:38:37,880
Speaker 1: a lot of voters are pretty weary about wearing masks,

712
00:38:38,120 --> 00:38:39,960
Speaker 1: and you've got to think that there's a lot of

713
00:38:39,960 --> 00:38:44,400
Speaker 1: pressure in the White House to accommodate that to some extent.

714
00:38:44,480 --> 00:38:50,000
Speaker 1: Particularly this close to a midterm election. Absolutely, Nathan. I mean,

715
00:38:50,000 --> 00:38:53,560
Speaker 1: you saw Biden really coming as president and say that

716
00:38:53,600 --> 00:38:55,160
Speaker 1: he was going to be the one to sort of

717
00:38:55,200 --> 00:38:58,920
Speaker 1: get good country past COVID. You saw, you know, his

718
00:38:59,000 --> 00:39:02,759
Speaker 1: administration have all those early benchmarks getting various percents of

719
00:39:02,760 --> 00:39:07,520
Speaker 1: the population vaccinated, and then Delta came, and then Omicron came,

720
00:39:07,760 --> 00:39:10,640
Speaker 1: and things have really uh, you know, knock on the

721
00:39:10,680 --> 00:39:13,520
Speaker 1: way that Biden initially anticipated they would. You still have

722
00:39:13,600 --> 00:39:17,120
Speaker 1: a large percent, are significant percent rather of the country

723
00:39:17,120 --> 00:39:21,040
Speaker 1: that's unvaccinated, and that's really complicated. Biden's pushed to say

724
00:39:21,120 --> 00:39:23,400
Speaker 1: that this virus is over. I mean, yes, you do

725
00:39:23,480 --> 00:39:25,840
Speaker 1: have people who are wearing of wearing masks, but you

726
00:39:25,880 --> 00:39:28,560
Speaker 1: also have people who are still very concerned. You still

727
00:39:28,600 --> 00:39:31,719
Speaker 1: have parents of kids who are under five who can't

728
00:39:31,760 --> 00:39:34,640
Speaker 1: get them vaccinated, and you still have the millions of

729
00:39:34,640 --> 00:39:37,640
Speaker 1: the mutile compromised individuals. So I think there's really a

730
00:39:37,680 --> 00:39:40,600
Speaker 1: wide range at this point of views on the masks.

731
00:39:40,760 --> 00:39:43,719
Speaker 1: But the Biden administration, they are at least trying to

732
00:39:43,760 --> 00:39:46,759
Speaker 1: show that since they came into office two years ago,

733
00:39:47,080 --> 00:39:50,240
Speaker 1: that they have made progress and the American people should

734
00:39:50,280 --> 00:39:52,399
Speaker 1: trust that they're doing the right thing. All right, let's

735
00:39:52,440 --> 00:39:54,919
Speaker 1: turn to another major issue facing the president. Of course,

736
00:39:55,000 --> 00:39:58,640
Speaker 1: that's the war in Ukraine. We had that virtual meeting

737
00:39:58,719 --> 00:40:01,600
Speaker 1: with allies. What more do we know that came out

738
00:40:01,600 --> 00:40:05,360
Speaker 1: of that. So one thing that we're really starting to

739
00:40:05,560 --> 00:40:09,319
Speaker 1: understand now this sort of the work that needs to

740
00:40:09,320 --> 00:40:12,360
Speaker 1: be done in regards to making sure that Ukraine is

741
00:40:12,440 --> 00:40:14,600
Speaker 1: can be rebuilt when all this is over, that they

742
00:40:14,640 --> 00:40:17,640
Speaker 1: have the finances to do so. And you are seeing

743
00:40:17,640 --> 00:40:22,040
Speaker 1: a coalition of European groups come together and say, yes,

744
00:40:22,160 --> 00:40:25,440
Speaker 1: we do expect to pay UH and really help Ukraine

745
00:40:25,840 --> 00:40:29,120
Speaker 1: UH come back after they have been absolutely shattered by

746
00:40:29,160 --> 00:40:32,600
Speaker 1: the war. UM. The European Commission to all diplomats they're

747
00:40:32,640 --> 00:40:35,560
Speaker 1: working on and UH instruments to focus on the long

748
00:40:35,640 --> 00:40:38,440
Speaker 1: term needs of the country. UH. This is kind of

749
00:40:38,480 --> 00:40:42,279
Speaker 1: coming as their additional discussions about what weapons should be

750
00:40:42,280 --> 00:40:46,799
Speaker 1: provided to Ukraine, what Ukraine needs in terms of humanitarian assistance.

751
00:40:46,840 --> 00:40:49,120
Speaker 1: At this point, I mean, right now, the war is

752
00:40:49,160 --> 00:40:52,200
Speaker 1: not going in Ukraine's favor. UM. In the city of

753
00:40:52,280 --> 00:40:56,480
Speaker 1: mariouopl Ukrainian defenders are really making their last stand at

754
00:40:56,520 --> 00:40:59,600
Speaker 1: the steel plant, and Russia's demanding that they lay down

755
00:40:59,600 --> 00:41:03,520
Speaker 1: there are and surrender. President Vladimir's Lensky is making a

756
00:41:03,680 --> 00:41:07,120
Speaker 1: last pitch for for effort and for help here. But

757
00:41:07,280 --> 00:41:10,400
Speaker 1: you're still seeing that. You know, all all countries like

758
00:41:10,440 --> 00:41:13,880
Speaker 1: the US are willing to provide more all artillery, more weapons.

759
00:41:14,200 --> 00:41:16,799
Speaker 1: They're not willing to send in soldiers, and they're not

760
00:41:16,840 --> 00:41:20,400
Speaker 1: willing to institute a no fly zone last minute here, Emily.

761
00:41:20,440 --> 00:41:23,280
Speaker 1: We know the President was in New Hampshire yesterday touting

762
00:41:23,360 --> 00:41:27,759
Speaker 1: his infrastructure plan. But political headwinds are pretty tough for

763
00:41:27,760 --> 00:41:31,240
Speaker 1: the president right now. They're incredibly tough for the president.

764
00:41:31,360 --> 00:41:34,120
Speaker 1: But at this point we really haven't seen that impact

765
00:41:34,480 --> 00:41:37,400
Speaker 1: his standing within the Democratic Party. It still seems like

766
00:41:37,480 --> 00:41:40,200
Speaker 1: a lot of those who are campaigning want to be

767
00:41:40,320 --> 00:41:43,520
Speaker 1: seen with him. We've seen House members and difficult races

768
00:41:43,560 --> 00:41:46,760
Speaker 1: go ahead and embrace him and in ship to New Hampshire.

769
00:41:46,880 --> 00:41:49,120
Speaker 1: This is going to be a really politically important state

770
00:41:49,160 --> 00:41:52,800
Speaker 1: come November. He's got Senator Maggie Hatton who's running again.

771
00:41:52,960 --> 00:41:56,879
Speaker 1: She's considered one of the more vulnerable Democratic senators could

772
00:41:56,880 --> 00:42:00,000
Speaker 1: potentially lose her seat. You've also got a couple of

773
00:42:00,200 --> 00:42:02,719
Speaker 1: house race up there that's going to be very competitive

774
00:42:02,760 --> 00:42:06,919
Speaker 1: with congressating Chris Pappas and so going up there touting infrastructure.

775
00:42:06,960 --> 00:42:08,719
Speaker 1: I mean, this is kind of sticking to the White

776
00:42:08,760 --> 00:42:11,440
Speaker 1: Houses playbook at this time to really get out there

777
00:42:11,440 --> 00:42:13,640
Speaker 1: and try and tell the American people what they've done,

778
00:42:13,719 --> 00:42:16,760
Speaker 1: what they've passed, and how it's going to benefit them. Um.

779
00:42:16,800 --> 00:42:18,960
Speaker 1: And they need to have that message because some of

780
00:42:19,000 --> 00:42:22,239
Speaker 1: these infrastructure projects that are going that's going to be

781
00:42:22,280 --> 00:42:25,640
Speaker 1: funded by this legislation, they're not going to start for

782
00:42:25,760 --> 00:42:27,640
Speaker 1: us for some time and they're certainly not going to

783
00:42:27,719 --> 00:42:30,319
Speaker 1: be completed for years. So right now the messaging on

784
00:42:30,360 --> 00:42:34,280
Speaker 1: this bill is very important. Bloomberg Government reporter Emily Wilkins

785
00:42:34,320 --> 00:42:37,920
Speaker 1: with us from Washington. Emily, thank you. SFP futures up

786
00:42:37,920 --> 00:42:42,840
Speaker 1: three point, staff futures up sixty four, NANTEX futures down thirteen. Bloomberg.

787
00:42:42,960 --> 00:42:46,640
Speaker 1: Surveillance is next for Karen Moscow. I'm Nathan Hagar, and

788
00:42:46,719 --> 00:42:48,080
Speaker 1: this is Bloomberg