WEBVTT - Single Best Idea with Tom Keene: Rebecca Patterson and Mishal Husain

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<v Speaker 1>Bloomberg Audio Studios, Podcasts, radio news, single.

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<v Speaker 2>Best idea, and Rebecca Patterson said it best today off camera,

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<v Speaker 2>off microphone. She said, Tom, it's a seven day work week,

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<v Speaker 2>and it's been that way. I can't remember a five

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<v Speaker 2>day work week. I honestly can't remember that far back.

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<v Speaker 2>This weekend was extraordinary. A major shout out to Tyler Kendall,

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<v Speaker 2>to David Gura and Lisa Matteo, among many others at

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<v Speaker 2>Bloomberg that were in Washington and in the Hilton ballroom.

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<v Speaker 2>A most difficult moment, to say the least. We picked

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<v Speaker 2>up the pieces. We did so with Rebecca Patterson of

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<v Speaker 2>formerly with Bridgewater and with best of her trust, now

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<v Speaker 2>brilliantly writing at the console on foreign relations. Here's something

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<v Speaker 2>off the radar. The sovereign wealth funds. All of a sudden,

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<v Speaker 2>if they're cash poor, what will they do? Let's listen.

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<v Speaker 3>I think one of the biggest underappreciated risks right now

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<v Speaker 3>for US financial markets and especially this tech rally, is

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<v Speaker 3>the possibility. I'm not saying it will happen, but there

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<v Speaker 3>is a probability that's not zero, that some of the

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<v Speaker 3>golf sovereign wealth funds, particularly I think Saudi and UAE,

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<v Speaker 3>if this war lasts a little longer, are going to

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<v Speaker 3>need cash. They're going to need it to shore up defenses,

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<v Speaker 3>to shore up damaged infrastructure. And right now the sovereign

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<v Speaker 3>wealth fund cash is largely We're the biggest single recipient

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<v Speaker 3>going to the US, and it's going fairly concentrated to

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<v Speaker 3>technology yep, and through a handful of financial intermediaries. Now

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<v Speaker 3>I'm not saying it'll stop coming, but if that flow

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<v Speaker 3>is cut by a third even it would have a

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<v Speaker 3>material impact on the US. So that is a risk

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<v Speaker 3>I'm watching carefully. Saudi Arabia has a pretty big budget deficit,

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<v Speaker 3>so it's not like they have a ton of cash

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<v Speaker 3>sitting around they can easily tap.

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<v Speaker 2>Revecca Patison just a vignette. I have attended numerous times

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<v Speaker 2>in Abu Dhabi, their Sovereign Wealth Fund, and I can't

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<v Speaker 2>emphasize enough that these are not theoretical fictions in thin air.

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<v Speaker 2>These are real offices with real people with huge cash

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<v Speaker 2>flows coming in and huge wealth working every day on

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<v Speaker 2>investment like any other shop. Norway, I would say Singapore

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<v Speaker 2>and Norway are the iconic sovereign wealth funds, and things

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<v Speaker 2>have changed with this war, particularly as Miss Patterson mentions,

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<v Speaker 2>the Arab sovereign Wealth funds will be something close to watch.

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<v Speaker 2>I'd mentioned Kuwait in there as well. Michelle Hossein of

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<v Speaker 2>The Michelle Hossein Show in London, wonderful podcast for Bloomberg

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<v Speaker 2>and all of her work over the years at the BBC.

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<v Speaker 2>She attended Washington for the dinner and for of course

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<v Speaker 2>this event of the King and Queen coming to Washington

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<v Speaker 2>here with as at war, all sorts of cross currents here.

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<v Speaker 2>Michelle Hussein on this historic moment.

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<v Speaker 4>That evidence that we had on Saturday night of just

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<v Speaker 4>how inflamed the political climate is in the United States.

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<v Speaker 4>That's going to be in everyone's the forefront of everyone's minds.

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<v Speaker 4>The fact that this hugely important state visit comes less

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<v Speaker 4>than forty eight hours after that White House Correspondent's dinner.

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<v Speaker 4>I think, you know, from the British hope and expectation

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<v Speaker 4>will be that the King sort of elevates that situation,

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<v Speaker 4>that there's something about his presence that makes everyone around

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<v Speaker 4>him rise above politics, and that will have been the

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<v Speaker 4>hope for the UK US bond at this particular moment

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<v Speaker 4>in time. Maybe even it's got something to offer the

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<v Speaker 4>United States domestically as well, a reminder that there are

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<v Speaker 4>conversations that happen like above and beyond the political pray.

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<v Speaker 4>So perhaps that's what he brings with him as he

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<v Speaker 4>flies in today.

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<v Speaker 2>Michelle Hossain to look for her podcast, The Michelle Hussein Show,

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<v Speaker 2>Smart direct conversation with a number of thought leaders of

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<v Speaker 2>the world as well. We're on podcasts on Spotify, on

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<v Speaker 2>Apple and YouTube podcasts. It's single best idea