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Speaker 2: Seth Carpenter joins us right now, global head of macro
Speaker 2: research at Margaret Stanley as well. I think I mentioned
Speaker 2: once this morning, Seth that there's a FED meeting. I
Speaker 2: think Ellen Beson, Zetner and others would say, you know,
Speaker 2: at Morgan Stanley they're going to pause or this or that,
Speaker 2: but what's the Morgan Stanley nuance forward when you research
Speaker 2: our Central Bank?
Speaker 3: Yeah, I mean, I think, to be quite fair to
Speaker 3: the set, they're in an extraordinarily difficult situation. If you
Speaker 3: look at the aggregate spending numbers are coming in pretty solid,
Speaker 3: and then you look at the employment numbers and the
Speaker 3: non farm barrels numbers are coming in really really soft,
Speaker 3: and that combination is pretty a historic and so they
Speaker 3: have cut rates several times over the past call it
Speaker 3: six months or so. They're trying to figure out how
Speaker 3: close are they the neutral. They're trying to figure out,
Speaker 3: is the soft labor market the signal or is it
Speaker 3: the noise? Is the strong spending the signal or is
Speaker 3: it the noise? And judging from the commentary across the committee,
Speaker 3: there is not a single view. When I worked at
Speaker 3: the Feed, as you know, Tom, I was there for
Speaker 3: fifteen years, one of my bosses would say the SEC
Speaker 3: are nineteen people that don't agree on the color of
Speaker 3: an orange, and right now they've got every right to
Speaker 3: have a disagreement in terms of the outlooks of the
Speaker 3: economy given the noise, and so I think that's where
Speaker 3: they are. I think they will be pausing this week.
Speaker 3: I think sure Powell will have a very difficult messaging
Speaker 3: job to do at the press conference, both because it's
Speaker 3: a tricky macroeconomic situation and because every single journalist is
Speaker 3: going to be asking him about, you know, the political
Speaker 3: side of things, which I suspect you will want to
Speaker 3: stay far away from.
Speaker 4: So this is like when you roll at Princeton.
Speaker 2: I mean, did you see the pony put in there
Speaker 2: about the color orange? And some people would allude that
Speaker 2: to the President of the United States. I mean, you
Speaker 2: can't get through a meeting at Morgan Stanley without a
Speaker 2: Seth carp illusion upon Seth.
Speaker 5: You know, we think about twenty twenty five and the
Speaker 5: US equity markets performed very very well, but with a
Speaker 5: lot of the performance in the rest of the world
Speaker 5: was superior to that of the US. Here, what's that
Speaker 5: US non US outlook for twenty twenty six in your mind?
Speaker 3: Yeah, no, I think that's that's right. You know, at
Speaker 3: Morgan Stanley Bradley, we're still pretty bullish on the outlook
Speaker 3: in the US, but also globally, we think US equity's
Speaker 3: probably unperformed. And my colleague Mike Wilson, who's our chief
Speaker 3: equity strategist, is really constructive and he's pointed out that
Speaker 3: in times where we don't have a recession, where interest
Speaker 3: rates are looking like they're going to come down a
Speaker 3: little bit, you don't usually have too much in the
Speaker 3: way of multiple compression. And so even though a lot
Speaker 3: of people have commented on how stretched multiples are, the
Speaker 3: macro backdrop, if everything goes according to plan, seems like
Speaker 3: it's favorable. Moreover, part of what's looking stretched to the
Speaker 3: index overall is the top end, the hyperscalers especially, and
Speaker 3: so if we have a broadening of growth in the economy,
Speaker 3: then maybe the rest of the equity market gets to
Speaker 3: catch up a little bit. So in that regard, we're
Speaker 3: pretty pretty constructive. Now again, I said, if everything goes
Speaker 3: according to plan, the assumption was that all of the
Speaker 3: uncertainty about tariffs were in the background, all of the
Speaker 3: uncertainty about geopolitical risk, we're going to start to fade.
Speaker 3: I think that question remains to be answered, judging from
Speaker 3: the news cycle over the past couple of weeks, in.
Speaker 2: The time we got less seth we got to go
Speaker 2: to some breaking news here given the storm and all.
Speaker 2: But doctor Carpenter, your thoughts on what's percolating over the weekend.
Speaker 2: It's less about the Japanese yen and it's more about
Speaker 2: gold at fifty one hundred, the phrase dollar debasement DXY
Speaker 2: and the Bloomberg Dollar Index coming down.
Speaker 4: Is it a new week dollar trend? And what does
Speaker 4: that signal for the nation?
Speaker 3: Yeah, So we have been actually here at Morgan Stanley
Speaker 3: pretty much consistently calling for the dollar to weekend over
Speaker 3: time coming into twenty twenty five. So we'd go back
Speaker 3: a year ago, we were the outliers saying the dollar
Speaker 3: was going to sell off. Everybody else was looking for
Speaker 3: a dollar rally with the prospect of tariff and that
Speaker 3: sort of thing, and so, you know, we were right.
Speaker 3: First half of the year, we got about ten percent
Speaker 3: or so depreciation in the dollar broadly, we were looking
Speaker 3: for a little bit more. It didn't come down quite
Speaker 3: as much as we thought. The US economy held up
Speaker 3: just a little bit more. The Feds sort of pushed
Speaker 3: off just a little bit more. We do think there's
Speaker 3: some fundamental reasons though, why you should see a little
Speaker 3: bit more in the way of a dollar weakening. I
Speaker 3: think the yen cross is just one specific, you know,
Speaker 3: special example, and the sharp moves that we saw at
Speaker 3: the end of last week were notable. But for all,
Speaker 3: we do think there's room for continued correction.
Speaker 2: Let's go Neurder Good, Damian Sasa or with this later.
Speaker 2: But I do think Seth, this is important to mention
Speaker 2: because I take great umbrage about it. I really disagreed
Speaker 2: with the allusions to the Plaza Accord this weekend.
Speaker 4: I just don't see the out of.
Speaker 2: Whack in twenty twenty six that we saw forty years
Speaker 2: ago in the Plaza Accord of the Louver Accord.
Speaker 4: Am I right on that.
Speaker 3: Yeah, I guess I'm sympathetic to your view. We think
Speaker 3: there's some very fundamental market driven reasons for you to
Speaker 3: get a bit more depreciation in the dollar, sort of
Speaker 3: a persistent, consistent, coordinated move because there's a fundamental disconnect
Speaker 3: in the world sort of trading order. I think that's
Speaker 3: a little bit more open to interpretation.
Speaker 5: So one of the things we're dealing with over the
Speaker 5: weekend and certainly here in early trading is the US
Speaker 5: dollar the yen here. What's your thought here as we
Speaker 5: think about currencies here in this January morning.
Speaker 3: Yeah, I mean, so we have thought, especially for the
Speaker 3: dollar yen cross, we have thought that on fundamentals, there
Speaker 3: was room for the end to strengthen against the dollar.
Speaker 3: The sharp moves that we saw again at the end
Speaker 3: of last week were you know, a bit very very
Speaker 3: striking obviously, and they made headlines. Everyone paid attention to it.
Speaker 3: I think directionally, it makes sense to us exactly how
Speaker 3: we get from point A to point B. That's going
Speaker 3: to be the tricky part. I think the Bank of
Speaker 3: Japan right when they're looking at things, they've been more
Speaker 3: comfortable perhaps with gradual moves in the end. So they
Speaker 3: haven't been raising industrates aggressively.
Speaker 4: To revalue the end.
Speaker 3: In that regard, remember after twenty five years of essentially
Speaker 3: stagnant's nominal GP growth that they're building in this cycle
Speaker 3: of reflation, and so softer yen at the margin can
Speaker 3: help them a little bit. But once it goes too far,
Speaker 3: especially if we're to move quickly, then it starts to
Speaker 3: have domestic repercussions in terms of important food and energy.
Speaker 3: So I think the dollar yen is a very special
Speaker 3: case of the dollar situation.
Speaker 4: More broadly, doctor Carpenter, thank you so much.
Speaker 2: Seth Carpenter, Glove ahead of Macro Research, and Morgan Stanley.
Speaker 4: Stay with us.
Speaker 2: More from Bloomberg Surveillance coming up after this.
Speaker 1: You're listening to the Bloomberg Surveillance podcast. Catch us live
Speaker 1: weekday afternoons from seven to ten am Eastern Listen on
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Speaker 2: One of the best best photos in the history of
Speaker 2: the Republican Party is younger Bush George Bush, where a
Speaker 2: kid who couldn't shave. I don't think Patrick behind me
Speaker 2: when he first was photographed with Bush could shave twice
Speaker 2: a week. He has gone out to a sterling career,
Speaker 2: twenty years of public service and he's still holding at
Speaker 2: forty nine years old. Joining us this morning the former
Speaker 2: Chair House Financial Services and all of his duties to
Speaker 2: the Grand Old Party.
Speaker 4: Patrick mckenry Carson, Good morning.
Speaker 6: You have no better introduction.
Speaker 4: Thank you, well, it's good to have you with us.
Speaker 2: How fractured is the GOP this morning, given the events
Speaker 2: of Minneapolis.
Speaker 7: Quite Look, this is a Trump's stance on immigration was
Speaker 7: his greatest political strength, and given what has happened in
Speaker 7: Minneapolis in the last two weeks, it's become a weakness.
Speaker 7: And so there's great concern about the specifics, the loss
Speaker 7: of life in Minneapolis, the care and training that those
Speaker 7: ice officers have for the population, and the overall tactic here.
Speaker 6: But let's step back.
Speaker 7: The concerning Congress is the implementation of the laws. Congress
Speaker 7: needs to step in and actually change the immigration laws.
Speaker 7: I think that's what the Trump administration is trying to
Speaker 7: draw out, and that's what we've seen in this shifting
Speaker 7: debate over the last two weeks.
Speaker 4: In fact, I have the.
Speaker 2: Clearest memory of a real effort to change our immigration laws.
Speaker 2: Were Senator Kennedy and others. The Republicans went down in flames.
Speaker 2: I'm going to say a long fifteen to twenty years ago. Now,
Speaker 2: does the Senate block a rational immigration strategy because so
Speaker 2: many people, including in the Carolinas, say we've got the
Speaker 2: power in the Senate, we're not changing.
Speaker 7: In fact, yes, because both sides think that they have
Speaker 7: a poltical advantage on immigration, and therefore you haven't seen
Speaker 7: a compromise.
Speaker 6: It's a serious problem.
Speaker 7: The Congress over twenty years has attempted immigration reform three
Speaker 7: times in a major way. The last time was during
Speaker 7: the first Trump administration, and we had a bill, two
Speaker 7: bills in fact, that almost made it out of the
Speaker 7: House by very very narrow margins lost on the House floor,
Speaker 7: but that was the last go of it. In fact,
Speaker 7: we have a mess of an immigration policy, and the
Speaker 7: substance of our immigration policy is unpopular with the people.
Speaker 7: Enforcement is very popular with the people if broadly done
Speaker 7: and focus on the criminal element, the most egregious criminal
Speaker 7: element in our society. When you're picking up random people
Speaker 7: and having rough ups with protesters, it becomes far less
Speaker 7: popular and far more questioned by the average voter.
Speaker 5: You know, I think what's surprised some people is a
Speaker 5: lot of people don't care. I just I don't see
Speaker 5: the uproar coming out of Minneapolis. Here. Some people trying
Speaker 5: to equate it to Kent State. I don't sense that
Speaker 5: out there. Is there in the halls of Congress. Is
Speaker 5: there sense that this is a significant issue.
Speaker 7: The questioning of Congress is around the training of ice
Speaker 7: officers and the tactic of going into specific localities for
Speaker 7: major enforcement action.
Speaker 6: The Congress and I think Republicans broadly.
Speaker 7: In fact, Democrats would like the focus to be on
Speaker 7: the criminal gang element and the border.
Speaker 6: Those things are very, very popular.
Speaker 7: But these desktops with average, everyday citizens, that's the stuff
Speaker 7: that gets questioned across society.
Speaker 2: Patrick McKendry with us with his public service to the
Speaker 2: Grand Old Party. He's a contributor to Bloombergers. Thrilled he
Speaker 2: could give us perspective here given the uproar, I got
Speaker 2: eight ways to go here. I'm going to always call
Speaker 2: you a congressman. I got eight ways to go congressman
Speaker 2: in no time. So let me talk about this. You know,
Speaker 2: very publicly you've taken funds of different re election bids
Speaker 2: from the national Rifle Association.
Speaker 4: We have a bedrock.
Speaker 2: Idea in this country of the right to bear arms.
Speaker 2: We have someone dead up in Minneapolis, with or without Again,
Speaker 2: I don't want to get into the debate, folks, but
Speaker 2: tell me how we juxtapose our colonial mythology with the
Speaker 2: idea of what we see in Minneapolis. What is the
Speaker 2: next step beyond in this emotion of a Second Amendment.
Speaker 7: Oh, well, this is where the left has come out
Speaker 7: in defense of Second Amendment rights because the activist here
Speaker 7: was a liberal and had open carry and many Minnesota
Speaker 7: has an open carry law, and so you know, then
Speaker 7: we have some on the rights saying well, because he
Speaker 7: had a weapon, that was justification for the for the
Speaker 7: actions of the ice officers. So both sides have flipped
Speaker 7: on when it comes to Second Amendment rights in this
Speaker 7: exact circumstance, and it tells you help polarizing Donald Trump
Speaker 7: is to the body politic. I don't mean polarizing. I
Speaker 7: mean he is the most influence over every political discussion
Speaker 7: right now. And if Trump's on one side, then the
Speaker 7: Democratic Party must be on the other side. The left
Speaker 7: must hold strong even if he agrees with him on
Speaker 7: certain issues. It's quite an atmosphere we have right now.
Speaker 5: Congressman, we saw many Minnesota CEOs they're seeking de escalation
Speaker 5: after the border police shooting. Is there a role here,
Speaker 5: a meaningful role for corporate America to play a role
Speaker 5: in some of these debates.
Speaker 7: Well over the last ten years when they've done this,
Speaker 7: it's been a huge mistake for them. Then you stay
Speaker 7: out of politics. What you saw with these Minneapolis and
Speaker 7: Minnesota CEOs as they said we need to de escalate,
Speaker 7: They're not getting into the substance of it. They're just saying,
Speaker 7: we want calm in our city and we want peace
Speaker 7: in our city. That is a message not just to
Speaker 7: the President or to ICE or the Border Patrol, but
Speaker 7: to the mayor and the governor. The cooler heads need
Speaker 7: to prevail here. The governor stands to say, well, actually,
Speaker 7: we just need Ice out of our state is an
Speaker 7: absurd one within forced federal immigration laws. But both sides
Speaker 7: should be actually able to come to the table and
Speaker 7: have a rule of law approach here that cools the
Speaker 7: populace and restores order.
Speaker 2: Patrick Mahinry, thank you so much for joining Bloomberg Surveillance,
Speaker 2: and this morning you're forty nine and holding the youngest
Speaker 2: member of Congress just a few.
Speaker 4: Few years ago. Stay with us.
Speaker 2: More from Bloomberg Surveillance coming up after this.
Speaker 1: You're listening to the Bloomberg Surveillance podcast. Catch us Live
Speaker 1: weekday afternoons from seven to ten am Eastern Listen on
Speaker 1: Apple Karplay and Android Otto with the Bloomberg Business app,
Speaker 1: or watch US live on YouTube.
Speaker 2: Bilski finally with a series the Chief Executive Officer and
Speaker 2: CIO Humillis investment strategies. Brian earnings just seem to be
Speaker 2: obscured and I don't buy it for a minute. Does
Speaker 2: double digit earnings mean by the bid ear in the market.
Speaker 4: I think this is thank you so much for having us.
Speaker 8: I think the market is going to be having a
Speaker 8: hard time transitioning from this really momentum multiple driven upside
Speaker 8: that we've for all intentsive purposes seen since the fourth
Speaker 8: quarter of twenty twenty two, when the current bull cycle started.
Speaker 8: Our work shows historically that earnings driven markets are still positive,
Speaker 8: but they're not as positive as multiple driven markets. I
Speaker 8: think that's why this week is such a huge week,
Speaker 8: because we see some of the biggest tech companies come
Speaker 8: out with earnings number one, number two We've had tremendous
Speaker 8: performance and outperformance the last week or two weeks from
Speaker 8: the small MidCap area, which we've been talking about for
Speaker 8: a couple of years. We were pretty early, but at
Speaker 8: the end of the day, we think of broadening out
Speaker 8: of the market to more small midcaps is actually quite
Speaker 8: positive for the longer term breath and positive nature of
Speaker 8: the overall secular bull market that we continue to call for.
Speaker 2: Paul, that's a Nasdaq up eighteen percent one year, SMP
Speaker 2: up thirteen percent one year, down up eleven percent one year.
Speaker 4: I believe that's double digit performance.
Speaker 5: Double digit performance. Brian Thomas has calling out some solid
Speaker 5: returns for US equities. But and you think about twenty
Speaker 5: twenty five, and even to start here at twenty twenty six,
Speaker 5: rest of world, other markets have done a lot better
Speaker 5: outside the US. How do you think about the US
Speaker 5: versus rest of world?
Speaker 4: It's a great question, Paul.
Speaker 8: You know, twenty twenty five was a snapback year, principally
Speaker 8: because I think a lot of political side of things
Speaker 8: in the fear trade leaving the United States. Then you
Speaker 8: also have the currency weakening, and then you've had the
Speaker 8: currency strengthening in other areas. And we do think that
Speaker 8: the value proposition, certainly of Europe and some merging markets
Speaker 8: was an attractive play. And then you talk about our.
Speaker 4: Brethren in Canada with yall.
Speaker 8: Canada had its greatest net out performance on a local
Speaker 8: currency basis since nineteen ninety relative to the US, mostly
Speaker 8: because of gold. But even though gold gets a lot
Speaker 8: of headlines, the banks in Canada really rocked it in
Speaker 8: twenty twenty five, especially considering the reserves that they had
Speaker 8: been quite frankly building over the last several years. So
Speaker 8: I think the Canada trade is going to be tougher
Speaker 8: this year. I think in terms of the other markets,
Speaker 8: I think it's going to be tougher. I think we're
Speaker 8: going to have a little bit more balanced across all markets,
Speaker 8: especially given the fact that now we need to see
Speaker 8: fundamental growth going forward for emerging markets, that going forward
Speaker 8: for Europe, and it's not just going to be all
Speaker 8: about the materials and the energy side.
Speaker 4: And look, Brian, at the makeup here.
Speaker 2: I want you to talk to people in their four
Speaker 2: oh one k you know, like me, it's stumbled into
Speaker 2: decent returns over.
Speaker 4: The last number of years.
Speaker 2: Should they reallocate, should they rebalance or is it just static.
Speaker 4: Keep it the way it is.
Speaker 8: Patients forward, Patients forward has always been our line. We're
Speaker 8: not the we're not the smartest person on this call
Speaker 8: right now, by the way, or on this on this broadcast.
Speaker 4: And I know Michael just entered the room. Yeah, well
Speaker 4: then there you go.
Speaker 8: But at the end of the day, we have a
Speaker 8: report coming out today on our website under our new
Speaker 8: moniker called Belski Briefs, and we talk about the importance
Speaker 8: of remaining longer term invested. If you missed the best
Speaker 8: days in the market, then you try to trade the
Speaker 8: market out. Since nineteen ninety, the average and your return
Speaker 8: is eight point six percent. But when you missed the
Speaker 8: best days of the market, which typically, oh, by the way,
Speaker 8: follow the worst days in the market, your annual compound
Speaker 8: ary growth rate in terms of your portfolio is me
Speaker 8: four point five percent. So just it sounds mundane, but
Speaker 8: be invested.
Speaker 4: But what we think is you.
Speaker 8: Want to broaden out what you're owning Tom in your
Speaker 8: four oh one k Let's call it more value, more
Speaker 8: small MidCap, more dividend growth, not at the expense of
Speaker 8: selling the meg seven. And we still think you need
Speaker 8: to have some exposure in tech, and we're equal weight
Speaker 8: tech in our work. But at the end of the day,
Speaker 8: you want to be invested US stocks. Now is not
Speaker 8: the time to run away based on fear or rhetoric,
Speaker 8: and especially with respect what's going on in terms of politics.
Speaker 5: Ran, how about the bond market here? The two year
Speaker 5: treasure yielding three spots sixty here, that's a nice living
Speaker 5: there for a lot of folks. But should we be
Speaker 5: taking some credit risk above and beyond that?
Speaker 8: You know, we think the bonds still remain an important
Speaker 8: part of anyone's longer term portfolio. I think the bond
Speaker 8: market has really been kind of a forgotten asset. We're
Speaker 8: thinking and talking more about private equity. I like the
Speaker 8: bond market here, especially around this his own and we've
Speaker 8: been talking now for the last two or three years
Speaker 8: that this three p fifty to four fifty range, it's
Speaker 8: a wide range, but that is returning to more normalcy
Speaker 8: that we've seen in markets for the last thirty years.
Speaker 8: And I think that's where we're going and within that range, Paul,
Speaker 8: I really think that's an area where we should own bonds.
Speaker 2: Brian Belski with this with Humillison, of course, You've got
Speaker 2: a Segui here into the reality as.
Speaker 4: Well, Brian. I mean, there's no one we speak to.
Speaker 2: It was more attuned to the ability of Sam Darnold
Speaker 2: to come over his shoulder and pop that puppy down
Speaker 2: forty yards. I mean, you go back to when the
Speaker 2: Vikings lost him to Seattle. You go back to Seattle
Speaker 2: winning twenty six to zero against the Vikings this year.
Speaker 4: Brian Belski on Donald and the Patriots.
Speaker 8: Oh my gosh, well, I'm going through the rosters here
Speaker 8: of the ex Vikings in the Super Bowl, which is
Speaker 8: kind of you know, like so you think about Stefan
Speaker 8: Diggs and the Patriots and Sam Darnold, who obviously in
Speaker 8: Minnesota Sports Radio, which we'll be listening to on the
Speaker 8: on these interweb things www Dot thing. It's gonna be
Speaker 8: crazy in Minnesota sports radio today because you know, we're
Speaker 8: a bunch of massacrests in Minnesota sports. So I'm sure
Speaker 8: that people are going to be mad that Seattle is
Speaker 8: in Super Bowl. I think it's amazing on what Sam
Speaker 8: Darnold's been able to do, and they played a great
Speaker 8: game yesterday.
Speaker 2: They did they moved down the field like nobody Brian Belski,
Speaker 2: thank you so much, and I must really editorialized, folks.
Speaker 2: He has said that great study, classic Good Morning, Capitol Guardian.
Speaker 4: Trust in Los Angeles.
Speaker 2: If you miss the ten top days in the market,
Speaker 2: you don't get a trophy at the end of the day.
Speaker 4: Brian Belski, thank you so much. With you Millist, stay
Speaker 4: with us.
Speaker 2: More from Bloomberg Surveillance coming up after this.
Speaker 1: You're listening to the Bloomberg Surveillance podcast. Catch US Live
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Speaker 1: Applecarplay and Android Otto with the Bloomberg Business app, or
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Speaker 2: Joining US now we mentioned a wonderful snow removal above ground,
Speaker 2: there is beneath the ground well on the bus as well.
Speaker 4: JOHNA.
Speaker 2: Lieber joined us now MTA share and CEO here in
Speaker 2: New York City, Johnald, I remember years ago in Boston
Speaker 2: the snow of the salt the slush drifted down and
Speaker 2: basically shut down the large system of Kenmore Square. Are
Speaker 2: you and your team worried about major breakdowns just because
Speaker 2: of the harshness of this or is it just an
Speaker 2: emergency as usual?
Speaker 9: You know, Tom, It's an interesting point Rob was talking
Speaker 9: about the advances in forecasting. The advantage of that is
Speaker 9: it allows us to do a ton of preparation and
Speaker 9: fifteen thousand MTA workers labored over the weekend and into
Speaker 9: today to make sure we could put on service. And
Speaker 9: we were able to maintain bus and subway and Metro
Speaker 9: North in Long Island Rover commuter service right through the storm,
Speaker 9: with delays, with imperfections, but we were able to operate,
Speaker 9: which is not always the case in the past, and
Speaker 9: that's because of preparation. And you know, our concern now
Speaker 9: is we're operating a full Monday morning commute, which is amazing,
Speaker 9: but you know, the obviously with a risk of thaw
Speaker 9: and icing, that presents new problems. So we're moving on
Speaker 9: and how we manage the impacts of the storm.
Speaker 5: Just as you suggest, Jenernal give us the status of
Speaker 5: the subway and the bus system as it is right
Speaker 5: now and kind of how do you think it might
Speaker 5: play out over the next twenty four hours.
Speaker 9: Well, here at the bottom line is we're operating service
Speaker 9: on all subway lines, on all bus lines. There are
Speaker 9: some delays because partly because we have crews that live
Speaker 9: in New Jersey and they're not able to get in
Speaker 9: because New Jersey Transit is out of business for today.
Speaker 4: Shave there to New Jersey a little.
Speaker 8: Now.
Speaker 4: Listen, everybody's different.
Speaker 9: We were able to survive this storm with I guess
Speaker 9: I said fifteen thousand people doing a ton of work.
Speaker 9: But the bottom line is we're running. We're running every line.
Speaker 9: Metro North is running, you know, five hundred and fifty
Speaker 9: trains today, Long Island Road running seven hundred and fifty trains,
Speaker 9: both of them on kind of robust holiday schedules or
Speaker 9: weekend schedules. Check your if you're listening MTA Commuter, check
Speaker 9: your train time app or your MTA website MTA dot
Speaker 9: info for specifics. But we're running service and we're ready
Speaker 9: to We're ready to keep that going as we go forward.
Speaker 4: In the week.
Speaker 5: Jennal, persistent cold is in the forecast here here from
Speaker 5: Rob Carolyn. Maybe for the week, maybe two weeks of
Speaker 5: well below average temperatures. How does that impact your system?
Speaker 9: Yeah, listen, you know when your ice is a is
Speaker 9: the enemy of good service on rail, right, so you
Speaker 9: have to have run your de icing trains constantly, make
Speaker 9: sure that the switches don't actually freeze up We have
Speaker 9: maintainers literally standing by our major switches, our major interlockings
Speaker 9: to constantly de ice. But we got all the snow
Speaker 9: by running service yesterday right through the system. We got
Speaker 9: the snow off of the third rail. We've been maximizing
Speaker 9: our use of diesel engines on the commuter rails which
Speaker 9: don't depend on the third rail, and we're going to
Speaker 9: keep at it. So those are their new challenges brought
Speaker 9: on by icing, especially for the bus system, which is
Speaker 9: one hundred percent chain that all the wheels are chained.
Speaker 4: But we're going to keep managing through. Can I ask
Speaker 4: one non storm question?
Speaker 2: Sure?
Speaker 4: Yeah. What is so fascinating is you've been very vocal in.
Speaker 2: Your support of our new mayor, and you've also said
Speaker 2: that we need a lot of study of free buses.
Speaker 2: Give us an update on how close we are to
Speaker 2: free bus service of the MTA.
Speaker 9: You know, today is today's really about the muscling through
Speaker 9: the storm, honestly, Sean. But but you know, I'll just
Speaker 9: say this is that they the new mayor, Mam Donnie
Speaker 9: is very pro transit, and I welcome that. I've also
Speaker 9: made clear that, uh, you know, if we're going to
Speaker 9: talk about something as radical and as impactful as making
Speaker 9: a whole section of our system free.
Speaker 4: We need to do a.
Speaker 9: Ton of study and it's not a flip the switch
Speaker 9: type thing. So well, I'm sure that you know the
Speaker 9: governor who is leading uh you know, the with her
Speaker 9: state of the State message, making a lot of investments,
Speaker 9: but also mindful of the We've brought the MT eight
Speaker 9: back to financial stability under Hocal's leadership, and we don't
Speaker 9: want to mess with that. So we'll be moving methodically
Speaker 9: under Governor Hockle on addressing this idea amid the storm.
Speaker 2: Thank you for the conversation. For general, Lieberg is with
Speaker 2: the MTA chair and CEO as Will.
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