Speaker 1: Live from the Bloomberg Interacted Brooker Studios. This is Bloomberg
Speaker 1: Daybreak for Friday, September two two. Coming up this hour,
Speaker 1: global bond slump into a bear market investors brace for
Speaker 1: the August Johns Report. President Biden takes a McDonald Trump
Speaker 1: and his supporters in a primetime speech, and we'll tell
Speaker 1: you which shipmaker is bucking the trend with a strong forecast.
Speaker 1: A former New York police officer receives the longest sentence
Speaker 1: yet in the January sixth Capital Riot Plus. The CDC
Speaker 1: signs off on new COVID booster Shops. I'm Michael bar
Speaker 1: what we're ahead. I'm John Stashoward Sports, the Mets, me
Speaker 1: at the Dodgers, the Yankee for Get a Big Series
Speaker 1: tonight at Tampa Bay, and Serena Williams Place tonight at
Speaker 1: the US Open. That's all's training. Head on Bloomberg day
Speaker 1: Break on Bloomberg eleven, Free on New York, Bloomberg one, Washington,
Speaker 1: d C, Bloomberg one oh six one, Boston, Bloomberg nine sixties,
Speaker 1: San Francisco, Syrius x M one nine Team and around
Speaker 1: the world Old on Bloomberg Radio dot Com. The Bloomberg
Speaker 1: business shop. Good Friday morning. I'm Any Morris and I'm
Speaker 1: Karen Moscow and US dot indext Futures are little change
Speaker 1: this morning. We are coming after six one on Wall Street,
Speaker 1: and we check the markets every fifteen minutes throughout the
Speaker 1: trading day on Bloomberg and again, futures little change. The
Speaker 1: decks in Germany's up one and a half percent, a
Speaker 1: ten year treasury down two thirty seconds, the yield at
Speaker 1: three point to six percent, and they yield on the
Speaker 1: two year three point five zero percent. Now I'm ex
Speaker 1: screwed oil up two point two percent, up a dollar
Speaker 1: ninety four and eighty eight dollars fifty five cents a barrel, Amy, Karen.
Speaker 1: We begin some with some stability in the equity markets
Speaker 1: this morning. We close out the trading week. The SMP
Speaker 1: five hundred and Dow Jones Industrial Average both snapped four
Speaker 1: day losing streaks yesterday. Still, we are in a traditionally
Speaker 1: tough period for stocks. The SNP has average declines of
Speaker 1: six and seven tenths of percent for August and September
Speaker 1: over the past twenty five years. Liz Young is head
Speaker 1: of investment Strategy. It's so far going into the end
Speaker 1: of August, and now we've started September. Next week, everybody
Speaker 1: sort of comes back into the fold, and that's when
Speaker 1: I would expect volatility to pick back up again. We're
Speaker 1: certainly not out of the woods. I don't think that
Speaker 1: we're going to get out of a trading range for
Speaker 1: a while and until we at least hear that installation
Speaker 1: has cooled so far, Liz Young puts the odds at
Speaker 1: recession next year. Meantime, any global bonds have slumped into
Speaker 1: their first bear market in a generation. The Bloomberg Global
Speaker 1: Aggregate Total Return Index of government and investment grade corporate
Speaker 1: bonds has fallen more than twenty percent from its peak
Speaker 1: last year. My officials from the US to Europe have
Speaker 1: hammered home the importance of higher interest rates, building on
Speaker 1: the hawkish message from Fed Chier J. Powell at the
Speaker 1: Jackson Hole Symposium last week. The direction of today's bond
Speaker 1: and equity markets may be determined in about two and
Speaker 1: a half hour. That is, when we get the US
Speaker 1: jobs report for August. Economists forecast a gain of two
Speaker 1: thousand jobs. We get a preview now from Bloomberg's Michael McKean.
Speaker 1: The jobs data are something of a one way bet
Speaker 1: for Wall Street. If the number is surprisingly high, as
Speaker 1: it was last month, it probably locks in a FED
Speaker 1: rate hike of seventy five basis points at the next meeting.
Speaker 1: A weaker than expected report won't necessarily guarantee only a
Speaker 1: fifty basis point move. A big increase in consumer prices.
Speaker 1: Data yet to come could change views. After financial conditions
Speaker 1: loosened in August, payrolls may give a little more clarity
Speaker 1: on how much impact the FEDS tightening has already had
Speaker 1: watched the changes in the unemployment and participation rates and
Speaker 1: in the number of people who lost their jobs during
Speaker 1: the month. Michael McKee Bloomberg Daybreak. All right, Thank you, Mike,
Speaker 1: and please stick with Bloomberg Radio and Television all morning
Speaker 1: for full coverage of the August jobs report. Then joined
Speaker 1: us at five Wall Street Time. We'll speak live with
Speaker 1: Labor Secretary Marty Walsh. Well investors, look for US slowdown
Speaker 1: in jobs. Any inflation is still friend and center for
Speaker 1: the Fed. Atlanta FED President Raphael Bostake says the US
Speaker 1: Central Banks campaign to cool inflation is still not complete.
Speaker 1: He told students at Georgia Tech. The current piece of
Speaker 1: inflation was a long way from the feds two percent goal.
Speaker 1: Another major story we're following this morning, President Biden taking
Speaker 1: aim at Donald Trump and so called Maga Republicans. Last
Speaker 1: night and a prime time address, the President urged Americans
Speaker 1: to reject any Trump backed candidate in the November midterm elections.
Speaker 1: Too much of what's happening in our country today is
Speaker 1: not normal. Donald Trump and the magor Republicans represented extremism
Speaker 1: that threatens the very foundations of our republic. As President
Speaker 1: Biden takes aim at Donald Trump's ideology, House Minority Leader
Speaker 1: Kevin McCarthy is calling on Biden to apologize for invoking
Speaker 1: fascism when describing the former president and the past two years,
Speaker 1: Joe Biden has launched an assault on the soul of America.
Speaker 1: McCarthy made his remarks before President Biden's speech, so once
Speaker 1: the potential impact from President Biden's primetime speech amy while politics.
Speaker 1: Bloomberg Politics contributor Rick Davis says the President is trying
Speaker 1: to create a wedge between mainstream Republicans and those who
Speaker 1: embrace the make America Great Again ideology. This kind of,
Speaker 1: you know, sort of setting up the wedge, you know, independence.
Speaker 1: Don't be drawn into that Republican party. These are run
Speaker 1: by MAGA and what he's trying to do is compably
Speaker 1: go that pent he got in the general election two
Speaker 1: years ago, and he needs that to show up on
Speaker 1: the midterms and Bloombery Politics contributor Rick Davis said President
Speaker 1: Biden traditionally tends to avoid wedge politics, as seen by
Speaker 1: his bipartisan legislative accomplishments over the past few months. So
Speaker 1: let's turn now from politics to corporate America, where we
Speaker 1: have a couple of changes in the c suite. Starbucks
Speaker 1: has named wreck At Ben Keyser chief executive Laxman Narrasman
Speaker 1: to be its next CEO. Narrasman is a veteran of
Speaker 1: the consumer industry and joins Starbucks next month. Longtime leader
Speaker 1: Howard Schultz will stay in charge and Narirasment will fully
Speaker 1: take over next to April. Meantime, Amy Shell has shortlisted
Speaker 1: candidates to succeed CEO Ben Van Burden. He's preparing to
Speaker 1: step down in twenty three after almost a decade at
Speaker 1: the oil giant. Writer says. Candidates include wild Swan, the
Speaker 1: company's head of integrated Gas and Renewables, as well as
Speaker 1: Hybrid Vigavino, the head of downstream refining operations. Now, let's
Speaker 1: check out some stocks on the move this morning. Shares
Speaker 1: of Broadcom are up more than two percent. The chip
Speaker 1: maker gave us strong sales forecast for the current quarter.
Speaker 1: The outlook suggests Broadcom is sidestepping a broader decline in
Speaker 1: chip demand, at least for now. Other suppliers, including a Video,
Speaker 1: Intel and Micron Technology have predicted a steep sales slow down,
Speaker 1: and share to Lulu Lemon are up almost ten percent,
Speaker 1: the maker of athletic attire, raising its full year outlook.
Speaker 1: The company seeks to double its sales by six by
Speaker 1: selling more goods to men and expanding Lulu Lemon's footprint abroad.
Speaker 1: Straight ahead, we have your latest local headlines, plus a
Speaker 1: check of sports, and this is Bloomberg. Thank you. Karen
Speaker 1: At six o seven on Wall Street. Let's bring in
Speaker 1: Michael bar to find out what else is going on
Speaker 1: in New York and around the world. Good morning, Michael,
Speaker 1: Good morning Amy. Breaking news of brutal accident over night
Speaker 1: on the Palisades Parkway. Police say a passenger van crashed
Speaker 1: and killed four people and injured eight others. It is
Speaker 1: still closed between exits two and one. More details coming
Speaker 1: up in our next traffic report. A stiff sentence was
Speaker 1: handed down for a former New York City police officer
Speaker 1: convicted of brutally assaulting a Capitol Police officer during the
Speaker 1: January sixth attack. Thomas Webster faces ten years in prison.
Speaker 1: It is the law youngest prison sentenced to date for
Speaker 1: January sixth defendant. Lawyers for the Justice Department and former
Speaker 1: President Trump faced off in a Florida courtroom over whether
Speaker 1: there should be a special master assigned to review top
Speaker 1: secret documents the FBI c s last month at Trump's
Speaker 1: Mara Lago estate. The judge did not issue an immediate ruling.
Speaker 1: You and inspectors have brave the cross fire of Ukraine
Speaker 1: and Russian forces to get inside Europe's largest nuclear plant.
Speaker 1: The long away to visit to the Russian occupied facility
Speaker 1: comes as one of its reactors was shut down temporarily
Speaker 1: due to the fighting. Raphael Grocy is leading the International
Speaker 1: Atomic Energy Agency team inspecting the plant. I have just
Speaker 1: competed a first tour of the key areas that we
Speaker 1: wanted to see. In his first approach to the whole facility,
Speaker 1: the I a e A s. Raphael Grocy COVID booster
Speaker 1: shots that target the most common new variants of the
Speaker 1: virus should become available in the US with in days.
Speaker 1: The Centers for Disease Control and Prevention signed off on
Speaker 1: the rollouts of updated vaccines. Dr David AGAs these are
Speaker 1: the first time there's been a change to the COVID
Speaker 1: nineteen vaccines since they were launched in December of and
Speaker 1: the hope is this booster, which includes the B A
Speaker 1: four and B A five spike protein as well as
Speaker 1: the original ul Hunt spike protein, will cause a broader
Speaker 1: immune response to enable protection from the current variants in
Speaker 1: the United States as well as future variants. Dr Agis
Speaker 1: spoke to CBS. The boosters will be made by Fizer
Speaker 1: and rival Molderna. A man was arrested in Argentina after
Speaker 1: pointing a gun a Vice President Christina Fernandez de Kirchner
Speaker 1: as she greeted supporters outside of residents in Buenos Sure's
Speaker 1: Global News twenty four hours a day on air and
Speaker 1: on Bloomberg Quicktake, powered by more than twenty seven hundred
Speaker 1: journalists and analysts more than a hundred twenty countries. Michael
Speaker 1: barn This is Bloomberg Gaming. All right, Thank you Michael
Speaker 1: at six ten on Wall Street. Time Now for the
Speaker 1: sports update. Here's John thanks to Amy. A trade of
Speaker 1: Donovan Mitchell to the Knicks made perfect sense. Utah Jazz,
Speaker 1: we're looking to deal their star guard. Knicks need a
Speaker 1: big time player. Mitchell's and New Yorker. His father worked
Speaker 1: many years for the Mets. Two teams did a lot
Speaker 1: of talk Amy. When the Jazz traded Mitchell. He went
Speaker 1: to Cleveland. The Calves gave up Colin Sexton Larry Marketing
Speaker 1: in three first round draft picks. Surprising moved by the Giants,
Speaker 1: they released linebacker Blake Martinez. He had a terrific twenty season,
Speaker 1: was expected to return from last year's torn a c
Speaker 1: L and not known who takes his spot now in
Speaker 1: the Giants line up. Good news for the Mets, not
Speaker 1: only their comfort behind five to three win over the
Speaker 1: MLB leading Dodgers to win the series. The Mets next
Speaker 1: sixteen games twenty one of their next twenty four all
Speaker 1: against sub five hundred teams that should help them hold
Speaker 1: off Atlanta in the NL East to bracedill just three
Speaker 1: games behind. They shut out Colorado three nothing for Atlanta
Speaker 1: rookie Spencer Strider eight scoreless citings, allowed just two hits,
Speaker 1: no walks, and he struck out sixteen. A month ago,
Speaker 1: the Yankees had a fifteen and a half game lead
Speaker 1: on Tampa Bay. That lead is now six. They get
Speaker 1: swept this weekend. It's down to three to Mingo Herman
Speaker 1: on the mountain tonight, facing the race for the third
Speaker 1: night this week. It is Serena Williams Night at the
Speaker 1: US Open. Serena Knight tonight takes on a'll just Tom
Speaker 1: Jonovitch from Croatia. She's ranked and she'll be the latest
Speaker 1: to try to have to deal with that large pro
Speaker 1: Serena Kroud. Serena and Billy Venus Williams were at arthursh
Speaker 1: Stadium last night. They lost their first round doubles match
Speaker 1: and then Raphael Nadal won his match in four sets.
Speaker 1: John Station were Bloomberg Sports Amy, all right, thank you, John.
Speaker 1: Let's check the markets now S and P futures down
Speaker 1: one and a quarter, DAL futures up five points, NASDAK
Speaker 1: futures down nineteen and a half. The tenure treasury little changed,
Speaker 1: the yield at three point to five percent. The two
Speaker 1: year yield now at three and a half percent, much
Speaker 1: more still to come. On this Friday morning on Bloomberg Daybreak,
Speaker 1: Stay with us. You are listening to Bloomberg Radio. This
Speaker 1: is bloom Bloomberg eleven three oh weather. Abundant sunshine today
Speaker 1: going up to eighty degrees eighty five for Saturday. On Sunday,
Speaker 1: sunshine at chantive afternoon showers going up to ninety. It'll
Speaker 1: be eighty degrees with clouds on Labor Day. Markets, headlines
Speaker 1: and breaking news twenty four hours a day at Bloomberg
Speaker 1: dot Com, at the Bloomberg Business Outland. At Bloomberg Quick Tape.
Speaker 1: This is a Bloomberg Business blash and I'm Karen Moscow
Speaker 1: stocks mixed and global bonds slumping into their first bear
Speaker 1: market in a generation, ahead of key US jobs dated
Speaker 1: at cold stir expectations of another sharp Feder Reserve interest
Speaker 1: rate hike. We checked the markets every fifteen minutes throughout
Speaker 1: the trading day on Bloomberg and futures this morning they're
Speaker 1: a little change. NASDAG future is lower down about nineteen.
Speaker 1: The decks in Germany's at one point four per cent ten,
Speaker 1: Your treasury down one thirty second Hell three point to
Speaker 1: five percent. The yield on the two year three point
Speaker 1: four nine percent. Nine nights Screwed oil is jumping up
Speaker 1: two point four percent of two dollars six cents at
Speaker 1: eighty eight dollars sixty five cents a barrel. Comic school
Speaker 1: a half percent or eight dollars forty cents at seventeen
Speaker 1: seventeen eighty announced. The euro is at one point zero
Speaker 1: zero one zero against the dollar in British found one
Speaker 1: point one five seven six and again one forty point
Speaker 1: three too. Looking at Big Coin, it's up four ten
Speaker 1: percent at twenty thousand, one hundred fifty dollars. That's a
Speaker 1: Bloomberg business flash. Now here's Michael Barr with more on
Speaker 1: what's going on around the world. Michael Karen, thank you
Speaker 1: very much. President Joe Biden stepped up attacks on former
Speaker 1: President Trump and GOP lawmakers during his prime time speech.
Speaker 1: Biden ac hughes Trump and his supporters of endangering US democracy.
Speaker 1: As I stand here tonight, quality and democracy are under assault.
Speaker 1: We do ourselves no favor to pretend otherwise. The US
Speaker 1: called arounds response to the latest effort to revive that's
Speaker 1: only fifteen nuclear accord, not constructive, raising questions about whether
Speaker 1: the two signs can reach deal that would free more
Speaker 1: oil for global markets. At the US Open, Serena and
Speaker 1: Venus Williams were eliminated after losing their doubles match. Serena
Speaker 1: Williams will play tonight in the third round of singles.
Speaker 1: In baseball, the Met's Red Sox and Orioles one the
Speaker 1: Nationals beat the A seven five Global News twenty four
Speaker 1: hours a day on air and on Bloomberg Quicktake, powered
Speaker 1: by more than hundred journalists n antalists more than a
Speaker 1: hundred twenty countries. I'm Michael Barr. This is Bloomberg Ammy.
Speaker 1: All right, Thank you, Michael. It is six nineteen on
Speaker 1: Wall Street. We are live from the Bloomberg Interactive Broker
Speaker 1: studios right here on Bloomberg Daybreak. Joining us now Bloomberg
Speaker 1: in a National Economics and Policy editor Michael McKee. We're
Speaker 1: talking about the jobs report that is due out in
Speaker 1: just about two hours. Mike, thanks so much for taking
Speaker 1: the time with us this morning. Give us an idea
Speaker 1: of how much is writing on this report. Well, it's
Speaker 1: kind of a mixed picture in a sense, because if
Speaker 1: we get a very strong report and remember in July,
Speaker 1: the forecast was for two fifty thousand. We got five
Speaker 1: hundred and eighty two. If we got anything like that,
Speaker 1: then the Fed is probably gonna be locked into a
Speaker 1: seventy five basis point move because they'll feel that the
Speaker 1: labor market is still so tight that it will be
Speaker 1: harder to bring down inflation. But if we get anything
Speaker 1: like the consensus now, which is two thousand, then it
Speaker 1: probably moves to the CPI report on the as the
Speaker 1: deciding factor whether the Fed wants to go fifty or
Speaker 1: seventy five. So that I I gotta ask that to
Speaker 1: find that balance, right, to find that happy medium between them.
Speaker 1: Does that mean that when we see a higher unemployment number,
Speaker 1: maybe that's not such a terrible thing, like there's a
Speaker 1: glimmer of sunshine in there. Yeah, it's the old depends
Speaker 1: on where you sit question, because if you are one
Speaker 1: of those unemployed, then it's a terrible thing. But in aggregate,
Speaker 1: for the FED, they expect unemployment to rise some because,
Speaker 1: first of all, they think the unemployment rate is below
Speaker 1: the normal natural rate of unemployment, so the labor market
Speaker 1: is unusually tight, and also because they're trying to slow demand,
Speaker 1: which would mean that companies are producing less and need
Speaker 1: fewer workers. It's just a question of how high unemployment
Speaker 1: goes and how quickly, and whether that pushes us into
Speaker 1: a recession or not. When it comes to the FED,
Speaker 1: which number would be more significant than the jobless rates?
Speaker 1: Are the earnings? Well, they're connected, and the lower the
Speaker 1: jobless rate goes, the more you expect wages to go
Speaker 1: up because people are able to Companies have to bid
Speaker 1: for workers at this point, and we've seen that still
Speaker 1: happening since the end of the pandemic. The question is
Speaker 1: does it stay about where it is The last couple
Speaker 1: of months have been relatively flat, or does it start
Speaker 1: to rise again if they're trying to find more workers
Speaker 1: and can't do so. If if it's started to come down,
Speaker 1: the FED is gonna feel better about wage is because
Speaker 1: they will feel like that's less of a contribution to
Speaker 1: inflation going forward. So let's talk about the labor market.
Speaker 1: The FED share describing it as imbalanced. People seem to
Speaker 1: be waiting on the sidelines, not really jumping in, but
Speaker 1: the jobs are evidently out there. So when do we
Speaker 1: see things start to loosen up there? That's a really
Speaker 1: good question. We don't really know. The Jolts Report, which
Speaker 1: is a report of the data on how many job
Speaker 1: openings there are, came out earlier this week eleven point
Speaker 1: two million, and that was an increase. So in theory,
Speaker 1: it's not getting any looser out there. But there is
Speaker 1: a suspicion that a lot of those jobs aren't real.
Speaker 1: That jobs were posted at post pandemic and companies just
Speaker 1: haven't taken them down, or they haven't taken down ads
Speaker 1: for jobs that now they don't think they're gonna fill.
Speaker 1: So it isn't really clear how many jobs are out there,
Speaker 1: but you've got to figure there even if you cut
Speaker 1: that in half, that's about as many people as are unemployed.
Speaker 1: So there's still a lot of work out there that
Speaker 1: isn't being filled, and that's why people aren't yet ready
Speaker 1: to write off the labor market. Okay, So bottom line, Mike,
Speaker 1: what are you looking for in today's report? Well, you know,
Speaker 1: this is one of the harder ones to estimate because
Speaker 1: of the uncertainty about it. I wouldn't be surprised if
Speaker 1: both if either we had something close to the consensus
Speaker 1: or if we got another upside surprise. None of the
Speaker 1: ancillary indicators of labor market strengthened jobs show any kind
Speaker 1: of decline except for the new A d P number,
Speaker 1: But it's a new number. They completely revamped their methodology,
Speaker 1: so we don't really have a track record for that.
Speaker 1: But everything else kind of told us that things are
Speaker 1: about the same as they were last month. Very briefly,
Speaker 1: thirty seconds you mentioned the September CPI report. Are you
Speaker 1: looking ahead to that? What are you looking for? Well,
Speaker 1: we are looking for a little bit of a moderation
Speaker 1: because energy race has kept going down. So if that's
Speaker 1: the case, the Fed will feel a little better about it.
Speaker 1: But you gotta watch that core rate to see if
Speaker 1: underlying inflation pressures start to fall. If that's the case,
Speaker 1: then the folks at C Street in Washington are gonna
Speaker 1: feel a lot better. Okay, we're gonna watch it right
Speaker 1: along with you. Bloomberg International Economics and Policy Editor Michael McKee,
Speaker 1: thank you for taking the time with us on this
Speaker 1: Friday morning. We do appreciate it. As we await those numbers.
Speaker 1: We are waiting for that job's report to be released
Speaker 1: at eight thirty this morning, and of course we'll bring
Speaker 1: it all to you live right here on Bloomberg Radio
Speaker 1: checking the futures. S and P futures down three and
Speaker 1: three quarters points, DAL futures down nine, NASDAC futures down
Speaker 1: a thirty three. The ten year treasury little changed with
Speaker 1: a yield at three point to six percent. The two
Speaker 1: year yield now at three and a half percent, still ahead.
Speaker 1: On Bloomberg Daybreak, we'll take a closer look at the markets.
Speaker 1: We'll also bring you more news and business, economics and finance.
Speaker 1: Stay with us on this Friday morning. This is Bloomberg
Speaker 1: Bloomberg eleven three oh weather abundance, sunshine today to start
Speaker 1: your weekend, going up to eighty degrees eighty five tomorrow
Speaker 1: ninety on Sunday, could see some clouds on Labor Day
Speaker 1: eighty degrees. Broadcasting live from the Bloomberg Interactive Broker Studio
Speaker 1: in New York, Bloomberg E living free to Washington, d C.
Speaker 1: Bloomberg to Boston, Bloomberg one O six one does San Francisco,
Speaker 1: Bloomberg N sixty to the country, Sirius XM Channel one
Speaker 1: nine and around the globe the Bloomberg Business and Bloomberg
Speaker 1: Radio dot Com. This is Bloomberg Daybreak. It's six thirty
Speaker 1: on Wall Street. Good Friday morning. I'm Any Morris and
Speaker 1: I'm Cameron Moscow are just about three hours away from
Speaker 1: the open of US training. It's time to the five
Speaker 1: things that you need to notice? Aren't your day? Brought
Speaker 1: to you by Interactive Brokers. Investment Advisors switched to Interactive
Speaker 1: Brokers for lowest cost global trading and turnkey custody solutions,
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Speaker 1: I p k R dot com slash r i A first.
Speaker 1: We're seeing stability and equity markets to close the trading week,
Speaker 1: the S and P and Dow both snapping four day
Speaker 1: losing streaks yesterday. Still, August and September are traditionally tough
Speaker 1: months for investors. Mir A Pandit is Global market strategist
Speaker 1: with JP Morgan Asset Management. We need to be really
Speaker 1: careful about how we're looking at stocks and very much
Speaker 1: looking at the bottoms up basis, being selective about earnings,
Speaker 1: being selective about valuations. There are still areas of froth
Speaker 1: in the market that we need to to see come down,
Speaker 1: but a lot of that has taken place already, so
Speaker 1: I do think we don't want to be overly defensive
Speaker 1: or overly cautious JP Morgan's mirror Pandit says investors should
Speaker 1: be focusing on high quality companies. Meantime, global bonds have
Speaker 1: lumped into their first bear market in a generation. The
Speaker 1: Bloomberg Global Aggregate Total Return Index of government and investment
Speaker 1: grade corporate bonds has fallen more than from its peak.
Speaker 1: On the direction of today's bond and equity session, amy
Speaker 1: may be determined by the August jobs report. We get
Speaker 1: that reading at eight thirty Wall Street Time. Nila Richardson
Speaker 1: is a DPS Chief economist. I'm looking at two hundred
Speaker 1: and ninety thousand jobs. The key numbers to watch within
Speaker 1: that report is the wage gains, because that's what's important
Speaker 1: to the Fed and whether or not the tightness of
Speaker 1: the labor market is actually leading to a wage price
Speaker 1: spiral that the Fed has to take Hey. DP Stila
Speaker 1: Richardson says she still expects a strong report. Please stick
Speaker 1: with Bloomberg Radio and Television all morning for full coverage
Speaker 1: of the August Job's Report, and join us at Wall
Speaker 1: Street Time when we speak live with Labor Secretary Marty Walsh.
Speaker 1: Let's start to politics in a primetime TV address last night,
Speaker 1: President Biden urged Americans to reject candidates to buy Donald
Speaker 1: Trump and so called mega Republicans in the November midterms,
Speaker 1: and those who deny the election results. They're working right
Speaker 1: now as I speak, and state after state to give
Speaker 1: power to decide elections in America to partisans and cronies,
Speaker 1: and powering election to niers undermine democracy itself. President Biden
Speaker 1: said that the majority of Republicans are not so called
Speaker 1: extreme mega Republicans. And as the five things you need
Speaker 1: to notice start your day, brought to you by Interactive Brokers,
Speaker 1: Straight Ahead, your latest local headlines, plus the check of sports,
Speaker 1: and this is Bloomberg. Thank you, Karen. Six thirty three
Speaker 1: on Wall Street. Now we bring in Michael bar to
Speaker 1: tell us what else is going on in New York
Speaker 1: and around the world. Good morning Michael, Good morning Amy.
Speaker 1: A brutal accident over night on the Palisades Parkway. Police
Speaker 1: say a passenger van crashed and it killed four people
Speaker 1: and it injured eight others. More details coming up, and
Speaker 1: now our next traffic report. A disgraced former New York
Speaker 1: City police officer says he wishes he had never gone
Speaker 1: to the capital on January six, a court gave Thomas
Speaker 1: Webster the longest prison sentence yet for the attack. Webster
Speaker 1: will spend the next ten years in prison, three years
Speaker 1: longer than the most severe punishment had given any of
Speaker 1: the January six Capital rioters. Webster sobbing and court says
Speaker 1: that he was overwhelmed and frustrated by the false stolen
Speaker 1: election claims. Lawyers for the Justice Department and Donald Trump
Speaker 1: faced off in a Florida court room over the former
Speaker 1: president's request for a special master assigned to review top
Speaker 1: secret documents the FBI sees from his Mara Lago estate.
Speaker 1: The judge did not issue an immediate ruling. A U
Speaker 1: and inspection team has arrived at Ukraine's nuclear power plant
Speaker 1: that is occupied by Russian troops. The team from the
Speaker 1: International Atomic Energy Agency reached the site amid fighting between
Speaker 1: Russian and Ukrainian forces that prompted the shutdown of a reactor.
Speaker 1: I A e H. Chief Rafael grow see. Of course
Speaker 1: there's a lot more to do. My team is staying
Speaker 1: in old and more importantly and most important, if we
Speaker 1: are establishing a continuing presence by the from the I E.
Speaker 1: Here I A e h G Framtio Grocy, the c
Speaker 1: d C endorsed updated COVID nineteen boosters. The tweet shots
Speaker 1: made by Fiser and Royal Milderner offer Americans a chance
Speaker 1: to get the most up to date protection. Dr A.
Speaker 1: Lock Patel, We're not going to eradicate COVID nineteen, but
Speaker 1: we have to do what we can to hedge our
Speaker 1: behavior against any potential infections. False surgeon also long COVID
Speaker 1: and all these other complications. Dr lock Patel spoke to ABC.
Speaker 1: The pandemic has taken a toll on public education, and
Speaker 1: new federal study shows declines in the reading and math
Speaker 1: scores of nine year olds compared to Dr Peggy Carr
Speaker 1: with the U S Departmanent of Education says access to
Speaker 1: instructors could be part of the problem. Lower income students
Speaker 1: and students who are already struggling academic gleason, they were
Speaker 1: less likely to say they had access to teachers. This
Speaker 1: is not good. Dr Peggy Carr says the average math
Speaker 1: score fell seven points while the average reading score fell
Speaker 1: five points. To level's last scene two decades ago. Global
Speaker 1: News twenty four hours a day on air and on
Speaker 1: Bloomberg Quick Take powered by more than twenty seven hundred journalists,
Speaker 1: analysts more than a hundred twenty countries. I'm Michael Barr.
Speaker 1: This is Bloomberg Gaming. All right, Thank you, Michael on
Speaker 1: Wall Street. Time now for the Bloomberg Sports update. Here's
Speaker 1: John stash Our. All right, Amy, When Nicks fans see
Speaker 1: their team played Cleveland and they watched Donovan Mitchell planes
Speaker 1: for the Calves, They're gonna wonder why he's not wearing
Speaker 1: a Nick's uniform instead. Mitchell's New York native wanted to
Speaker 1: come home, and they clearly wanted to acquire him, but
Speaker 1: they kept feeling Utah was asking for too much in return,
Speaker 1: and now he's off for the Calves. The Jazz instead
Speaker 1: taking the Cleveland offer of Colin Sexton Lauri marketing first
Speaker 1: round draft picks in seven and twenty nine. The Giants
Speaker 1: have released linebacker and Blake Mark ten Is at City Field,
Speaker 1: Mets facing Clayton Kershaw, just off the injured list. They
Speaker 1: trailed at Dodgers three to one, but they got to
Speaker 1: the l A bullpen two runs in the sixth and
Speaker 1: seventh innings of five three win for Chris Bassett's twelfth victory,
Speaker 1: and the Mets take two of three from the Dodgers,
Speaker 1: whose record is ninety and forty and Mets her home
Speaker 1: tonight for Washington, and that's her MLB's worst team. Mets
Speaker 1: play sixteen games in a row now versus sub five
Speaker 1: hundred teams. Atlanta is still three games behind. Praise rookie
Speaker 1: Spencer Strider shutout Colorado in eight inc allowed only two
Speaker 1: hits and he struck out sixteen. Miserable month of August
Speaker 1: finally over for the Yankees. They went ten and eighteen
Speaker 1: worse once in n and there a l East lead
Speaker 1: down to six over Tampa Bay, and they visit the
Speaker 1: Raids this weekend. The US Open rapid on the dawn,
Speaker 1: one in four sets. At one point, the Dala's racket
Speaker 1: hit his nose on his follow through. The nose got bloody.
Speaker 1: Nadal felt dizzy, said later that had never happened to
Speaker 1: him before. Venus and Serena Williams lost their doubles match
Speaker 1: in Serena's back at arthur As Stadium tonight to take
Speaker 1: on Ala Tom Janovitch. Serena looks to reach the fourth round.
Speaker 1: And here's Swan song tournament John Star. That were bloombird sports,
Speaker 1: all right, Thank you, John. It is six thirty seven
Speaker 1: on Wall Street. Time to take a look at those
Speaker 1: stocks and some of the names that are moving in
Speaker 1: the pre market. For that, we are joined by Bloomberg
Speaker 1: Radio NTV Markets correspondent Creedy Gupta Creedy, Happy Friday morning
Speaker 1: to you, Happy Friday. What's interesting here is that even
Speaker 1: on Friday, when we're talking all about jobs, pay rolls,
Speaker 1: those earnings results are still moving stocks on a micro basis.
Speaker 1: Take a look at Lulu Lemon for example. L U
Speaker 1: l U is the ticker here. Here's are up a
Speaker 1: whopping nine point seven percent in the pre market. This
Speaker 1: comes after they did, of course report those results showing
Speaker 1: a lot of strength in the brand. Remember we've talked
Speaker 1: a lot about retailers and the inventory build up that
Speaker 1: you're seeing like the Walmart, Target, Bed Bath and beyond
Speaker 1: even Nordstrom and Macy's. But it seems to be that
Speaker 1: if you are a higher income shopper, which a lot
Speaker 1: of Lulu's demographic really is, then you are not only
Speaker 1: shopping till you drop, you are actually able to hold
Speaker 1: up some of these companies bottom lines. That seems to
Speaker 1: be the story here with Lulu Lemon is showing the
Speaker 1: idea here that their brand value really carry some weight,
Speaker 1: analysts actually raising their price target on the stock across
Speaker 1: the board. They did flag some of those higher inventory issues.
Speaker 1: They are not completely immune from that retail story. But
Speaker 1: what's interesting here is that Lulu Lemon is actively looking
Speaker 1: to build their brand, looking to expand their footprint, not
Speaker 1: just in terms of expanding the footprint overseas, but also
Speaker 1: in terms of targeting more sales when it comes to men.
Speaker 1: So that's going to be a crucial story. Amy, Alright,
Speaker 1: what else do you have going on? You have Maderna
Speaker 1: to Maderna is a big mover. It is a massive mover.
Speaker 1: M r n A is your ticker. It's up at
Speaker 1: eight tenths of one percent. And you know, we thought
Speaker 1: that the COVID story perhaps although it kind of remains
Speaker 1: in the background, we didn't think it would have this
Speaker 1: much of an impact on perhaps some of the very
Speaker 1: famous vaccine names here. Maderna m r n A up
Speaker 1: at eight tenths of one percent. On the idea that
Speaker 1: the omencron boosters, Well, they're finally hitting those U S stores,
Speaker 1: so you can actually now go to a Dwayne read
Speaker 1: a CBS Walgreens and or you know, the natural clinics
Speaker 1: and actually get your omicron Brewster. That is good news
Speaker 1: for the likes of Maderna and also for Fiser and
Speaker 1: bion Tech as well. Really, any company who has started
Speaker 1: to really make a lot of their user base or
Speaker 1: a lot of their revenue base, excuse me, towards some
Speaker 1: of these vaccines. Of course, Fiser far more exposed to this,
Speaker 1: but nevertheless less it is moving shares this morning. The
Speaker 1: other name I wanted to bring to your attension because
Speaker 1: I feel like we have to check this all the
Speaker 1: time now is Bed Bath and Beyond b b B.
Speaker 1: Why is your taker? It is down six percent on
Speaker 1: a day. I should add that the broader market is
Speaker 1: actually kind of taking just marginally higher. Of course, like
Speaker 1: I said, all waiting for the payrolls report, does that
Speaker 1: retail base that has perhaps lost a fan favorite and
Speaker 1: in Bed Bath and Beyond, And it is interesting because
Speaker 1: it kind of seems like even without that turnaround plan,
Speaker 1: they're still not currying any favor. Those shares sound about
Speaker 1: six percent? All right? Thank you so much. Bloomberg Radio
Speaker 1: and TV Markets Correspondence, Crety Gupta always bringing us up
Speaker 1: to speed, really appreciate you taking the time with us
Speaker 1: looking at stocks as a whole ahead of the open.
Speaker 1: SNP futures down four and a half points down, futures
Speaker 1: down seventeen, NASTACK futures down thirty eight. The ten year
Speaker 1: treasury little changed, the yield at three point to six percent,
Speaker 1: the two year yield now at three and a half
Speaker 1: per cent. Much more still to come. On Bloomberg Daybreak.
Speaker 1: This is Bloomberg Bloomberg eleven three oh weather going up
Speaker 1: to eighty degrees with abundant sunshine today to start your weekend,
Speaker 1: mostly Sunday tomorrow going up to eighty five, maybe some
Speaker 1: afternoon showers tomorrow going up to ninety eighty degrees on
Speaker 1: Labor Day, Markets, headlines and breaking news twenty four hours
Speaker 1: a day at Bloomberg dot Com, The Bloomberg Business at
Speaker 1: and at Bloomberg Quicktake, This is a Bloomberg Business flash
Speaker 1: and I'm Karen Moscow, and futures have turned lower this morning.
Speaker 1: We hear to the first word breaking news desk for
Speaker 1: today's morning call. Here's Bill Aloney build good morning, and
Speaker 1: good morning, Karen. Modest losses in the U S futures
Speaker 1: right now at down futures down twenty eight points, sysame
Speaker 1: drop six and nastic futures are down by forty one.
Speaker 1: The US ten year old at three point to six percent,
Speaker 1: Gold is up eight oil is climbing, and bitcoin is
Speaker 1: trading little changed. Japan was also a little changed overnight,
Speaker 1: while your pre markets are in the green this morning
Speaker 1: and back in the US on the economic front, at
Speaker 1: eight thirty the jobs data and at ten o'clock factory
Speaker 1: orders and durable goods orders. After develous night, Lulu Lemon
Speaker 1: boosted It's full Your Outlook shares are up nine percent
Speaker 1: pre market and Broadcom sales forecast. Also feed estimates in
Speaker 1: On the news, Bertshire Hathaway trimmed at stake in b
Speaker 1: y D even further and wrapping things up in videost
Speaker 1: neutral over at Diowa. Dal Ink was put to neutral
Speaker 1: over at JP. Morgan Live from the first to breaking
Speaker 1: news Dostcam, Bill Maloney, Karen, all right, Bill, thank you
Speaker 1: to hear live breaking news over your Bloomberg type squawk
Speaker 1: on your terminal squ a w K and that's a
Speaker 1: Bloomberg business flash. Now here's Michael Barrow with more on
Speaker 1: what's going on in the world. Michael Karen, thank you
Speaker 1: very much holding back a little. President Joe Biden's sounding
Speaker 1: an alarm about what he views as extremist threats to
Speaker 1: the nation's democracy from former President Trump and mega Republicans.
Speaker 1: They don't understand what every patriotic American knows. You can't
Speaker 1: love your country only when you win. In a primetime
Speaker 1: speech last night, Biden framed the November elections as part
Speaker 1: of an ongoing battle for the soul of the nation.
Speaker 1: A man was arrested after pointing a gun at Argentina's
Speaker 1: vice president and Buenos Aires. The man pulled the trigger,
Speaker 1: but the gun did not fire. In tennis, Serena and
Speaker 1: Venus Williams were eliminated after losing their doubles match in
Speaker 1: round one at the US Open last night. Serena Williams
Speaker 1: will play tonight in the third round of singles. In baseball,
Speaker 1: the Mets, Red Sox and Orioles one the Nationals bet
Speaker 1: the A seven five Global News twenty four hours a
Speaker 1: day on air and on Bloomberg Quicktake, powered by more
Speaker 1: than twenty seven hundred journalists, analysts, more than a D
Speaker 1: twenty trees. Michael bar this is Bloomberg. Cameron all right,
Speaker 1: Michael bar thank you at A sixty nine on Wall Street,
Speaker 1: and we turned to news and science and technology now
Speaker 1: at the Bloomberg and j I T Stem Report. It
Speaker 1: has brought to you by New Jersey Institute of Technology
Speaker 1: and j I T is dedicated to bolstering support for
Speaker 1: female and minority students pursuing careers and high paying STEM industries.
Speaker 1: Learn more at n j I T dot E d U.
Speaker 1: And here's just Mega news and Science, Technology, Engineering, and Math.
Speaker 1: COVID booster Shaw said Target the most common new variants
Speaker 1: should become available in the US within days, as after
Speaker 1: the CDC signed off on the rollout of the updated vaccines.
Speaker 1: Maderna makes one of the shots and the other comes
Speaker 1: from Fiser and bi on Tech. Now, so we'll try
Speaker 1: again tomorrow to launch its new Moon rocket on a
Speaker 1: test flight after engine trouble halted the first countdown this week.
Speaker 1: The three two foot rocket, the most powerful ever built
Speaker 1: by NASA, remains on its pad at Kennedy Space Center
Speaker 1: with an empty crew capsule on top. The Space Launch
Speaker 1: System rocket will attempt to send the capsule around the
Speaker 1: Moon and back. No one will be on board, just
Speaker 1: three test dummies. If successful, it'll be the first capsule
Speaker 1: to fly to the Moon since NASA's Apollo program fifty
Speaker 1: years ago. And the U. S. Army is taking delivery
Speaker 1: of a first batch of high tech combat goggles made
Speaker 1: by Microsoft. Microsoft's Integrated Visual Augmentation System is expected to
Speaker 1: provide a heads up display for US ground force is
Speaker 1: similar to those for fighter pilots. The system will let
Speaker 1: commanders project information onto a visor in front of a
Speaker 1: soldier's face and wing include features such as night vision.
Speaker 1: That's a Bloomberg and j I T Stem report. Amy.
Speaker 1: All right, thank you, Karen, and we're live from the
Speaker 1: Bloomberg Interactive Broker Studios where it is six fifty one
Speaker 1: on Wall Street. Tom Now to check what's going on
Speaker 1: in DC. Some of the top stories in our nation's
Speaker 1: capital include President Biden's primetime speech taking aim at Donald
Speaker 1: Trump and matter Republicans. Also, the January sixth Committee is
Speaker 1: still working and now they want to interview former House
Speaker 1: Speaker New Gingrich. And the US is calling Irron's response
Speaker 1: to nuclear talks not constructive. For more on these stories,
Speaker 1: we turned to Bloomberg government reporter Jack Fitzpatrick. Jack, thanks
Speaker 1: so much for joining us. Let's get back to that speech.
Speaker 1: Your takeaway from President biden speech last night. Yeah, I
Speaker 1: thought it was very notable that President Biden almost immediately
Speaker 1: mentioned Donald Trump by name. That's something he had not
Speaker 1: been doing very much recently. But he made it clear
Speaker 1: that Trump is the central figure that he is fighting
Speaker 1: against in what he called the Maga Republicans uh and
Speaker 1: and threats of political violence referring back to January sixth
Speaker 1: and uh and the tendency of Trump and some people
Speaker 1: around him to not accept the election loss. In so
Speaker 1: that was very significant, and also just the fact that
Speaker 1: this was a primetime address and it was made very
Speaker 1: clear that this is a key campaign message heading towards
Speaker 1: the mid terms by the President. A lot of talk
Speaker 1: about the state of the economy, a lot of talk
Speaker 1: about the handful of legislative victories that Democrats gotten Congress lately,
Speaker 1: but the President does not want voters to forget about
Speaker 1: January six and the legal issues around former President Trump,
Speaker 1: and that's a significant thing for him over the next
Speaker 1: two months. President Biden also went to some lengths to
Speaker 1: differentiate between mainstream Republicans and Maga Republicans, and it seemed
Speaker 1: almost like he was trying to widen the tent, even
Speaker 1: if it's just to get past the mid terms maybe
Speaker 1: for two election cycles. Is he trying to get maybe
Speaker 1: mainstream Republicans into the Democratic tent for a little while.
Speaker 1: There's definitely a certain kind of voter he's going for here,
Speaker 1: And it's not just a message directed at his Democratic supporters.
Speaker 1: This is an attempt to persuade what might be a
Speaker 1: narrow slice of people. It might be more about independence.
Speaker 1: Uh it might even be in some cases moderate Democrats
Speaker 1: as much as moderate Republicans. But this is the kind
Speaker 1: of thing you you could imagine being effective among some moderate,
Speaker 1: potentially persuadable, suburban voters who don't like some of the
Speaker 1: extreme rhetoric and and do care about the the idea
Speaker 1: of protecting the functioning of democracy. Uh So it is
Speaker 1: an attempt to win over some people. How many people
Speaker 1: are persuadable It may be a limited number, but it's
Speaker 1: clearly a significant focus for the president. Let's shift gears
Speaker 1: now to what's going on on Capitol Hill. The House
Speaker 1: committee investigating the January six insurrection. They're now looking to
Speaker 1: hear from Newt Gingrich. He was a former House speaker.
Speaker 1: What are they looking for at this point. You know,
Speaker 1: the letter to Gingrich seemed to cast a pretty wide net.
Speaker 1: But the specific part of this that stands out is
Speaker 1: that it mentions advertising efforts that Gingrich put out there.
Speaker 1: He put out advertise Eisman's public broadcast advertisements urging people
Speaker 1: to get in contact with their lawmakers and call for
Speaker 1: them to UH to push for electors that would support
Speaker 1: former President Trump. UH. It does also say that he
Speaker 1: appears to have been involved with the Trump's efforts around
Speaker 1: even after January six, So it seems they've got a
Speaker 1: fairly wide scope. But at least we know specifically part
Speaker 1: of it is advertising efforts around UH, the attempts to
Speaker 1: UH to overturn the results of the presidential election. Do
Speaker 1: we have any information yet about a response from the
Speaker 1: gang Rich camp or how how far this could go,
Speaker 1: when he might appear anything like that. Not yet. They
Speaker 1: asked for him to voluntarily participate in an interview the
Speaker 1: week of September nineteen, so we'll see if he responds
Speaker 1: to that. This is not a subpoena, it's a just
Speaker 1: a request. Um. They have subpoena some people in the
Speaker 1: past that I believe is a possibility here, but it's
Speaker 1: not something they've threatened with Gingrich. So the next step
Speaker 1: would just be to see if he chooses to participate,
Speaker 1: and and if he does not, we'll we'll see exactly
Speaker 1: how hard the committee wants to push for him to
Speaker 1: to participate in an interview. I wonder how unusual it
Speaker 1: is to be calling a former House speaker before the
Speaker 1: January six insurrect Well, it is an insurrection committee. That's
Speaker 1: unusual anyway. But I'm just wondering about the historical implications here. Yeah,
Speaker 1: you know, it's the whole thing is an unusual set
Speaker 1: of circumstances. This conversation came up around the possibility of
Speaker 1: former Vice President Mike Pence participating. That would be unusual
Speaker 1: and pretend Pence even raised that as, uh maybe a
Speaker 1: reason not to participate. Ging Rich, It's been a long
Speaker 1: time since he was speaker. He really, in this instance
Speaker 1: was more of a political activist type with ties to Trump.
Speaker 1: Uh So, I don't think it would be shattering precedents necessarily,
Speaker 1: but it does speak to the way this investigation has
Speaker 1: seeped through so many, uh so many parts of American
Speaker 1: politics and and has brought in so many characters in
Speaker 1: American politics, and let's go on to foreign policy. Now,
Speaker 1: some questions about whether Iran and the US can reach
Speaker 1: a deal to revive the nuclear record. Only got about
Speaker 1: a minute here, Jack, But what's the hang up now
Speaker 1: with those talks. The US hasn't said exactly what the
Speaker 1: hang up is, but they said that the last response
Speaker 1: from Iran was not constructive. Uh. Keep in mind, there
Speaker 1: there had been some progress made. Uh. The US said
Speaker 1: they're going to respond to the European Union about this. Uh.
Speaker 1: This is all in light of you know, the French
Speaker 1: president Emmanuel Macron said recently he hopes there's a deal
Speaker 1: in the next few days. So there is some optimism.
Speaker 1: But the latest from the US's side is that they
Speaker 1: were not impressed and it was not a constructive response, uh,
Speaker 1: in the last series of communication from Iran. Alright, Bloomberg
Speaker 1: Government reporter Jack Fitzpatrick, thank you very much. Always a
Speaker 1: pleasure to pick your brain and find out what's going
Speaker 1: on in the Washington area. Thanks for taking the time
Speaker 1: with us. And you can read more about all of
Speaker 1: these stories on Bloomberg dot com or on the Bloomberg terminal.
Speaker 1: And as a reminder, you can follow all of the latest.
Speaker 1: We have it for you on Bloomberg Radio in Washington
Speaker 1: on Bloomberg ninety one and one oh five point seven
Speaker 1: FM h D two. Checking the markets now. SMP futures
Speaker 1: down three and a quarter points, STAL futures down eleven,
Speaker 1: NASDAC futures down thirty three and a half. The ten
Speaker 1: year Treasury unchanged the yield at three point to five percent.
Speaker 1: Bloomberg Surveillance is next, along with Karen Moscow. I'm Amy Morris,
Speaker 1: and this is Bloomberg