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Speaker 1: Bloomberg Audio Studios, Podcasts, radio News.

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Speaker 2: This is Bloomberg day Break Weekend, our global look at

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Speaker 2: the top stories in the coming week from our day

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Speaker 2: Break anchors all around the world. And ahead on the program,

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Speaker 2: we looked at the EV market and second quarter earnings

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Speaker 2: from Tesla. I'm Tom Busby in New York.

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Speaker 3: the way Asian countries might be gaming, our differences in

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Speaker 3: policy between President Biden and former President Donald Trump.

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Speaker 4: That's all straight ahead on Bloomberg Daybreak Weekend on Bloomberg

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Speaker 2: Good day to you. I'm Tom Busby. We begin today's

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Speaker 2: program with some highly anticipated economic data here in the US.

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Speaker 2: Out this week, an initial look at second quarter GDP

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Speaker 2: on Thursday and PC core inflation data on Friday. How

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Speaker 2: might those numbers impact the feds monetary and interest rate

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Speaker 2: policies moving forward?

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Speaker 5: Well.

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Speaker 2: For more, we turned to Stuart paul, Us, economist with

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Speaker 2: Bloomberg Economics. Now, Stuart, let's start with that economic growth

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Speaker 2: number for the spring's second quarter, A pretty mild GDP

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Speaker 2: number one point three percent in the first quarter. What

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Speaker 2: are you expecting in the spring.

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Speaker 6: We're expecting a very modest uptick. Our base cases for

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Speaker 6: headline GDP growth to register a one point eight percent

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Speaker 6: annualized pace of growth. So we're slightly above the consensus,

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Speaker 6: which is at one point seven percent. And so there's

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Speaker 6: a very modest uptick in headline growth in the second quarter.

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Speaker 6: And the real question is what's behind that acceleration and growth,

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Speaker 6: Because it's not personal spending. We expect personal spending growth

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Speaker 6: to essentially be constant at one and a half percent.

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Speaker 6: What's really driving that headline growth number in the second

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Speaker 6: quarter is an accumulation of inventories. And inventories can rise

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Speaker 6: for two different reasons. Producers can be really optimistic about

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Speaker 6: the growth outlooks, so they start stocking shelves and anticipation

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Speaker 6: of future demand, or they could just misjudge growth accidentally

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Speaker 6: overproduce goods and they find themselves carrying this inventory that

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Speaker 6: they didn't intend to actually produce in the first place.

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Speaker 6: And we think that it's more of the second. We

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Speaker 6: think that it's more a misjudging of the durability of

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Speaker 6: the American consumer in the present. So we think that

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Speaker 6: one of the key fundamental drivers of growth in the

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Speaker 6: second quarter is the sort of accidental accumulation of inventories.

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Speaker 6: And so we're really thinking about growth in the first

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Speaker 6: half of twenty twenty four relative to growth in the

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Speaker 6: second half of twenty twenty three, and the pace of

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Speaker 6: growth when you look second half of twenty twenty three

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Speaker 6: and into the first half of twenty twenty four has

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Speaker 6: basically been cut in half. And a big part of

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Speaker 6: that is the cooling labor market. Consumers are becoming a

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Speaker 6: little bit more prudent, and as a consequence, firms find

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Speaker 6: themselves a little bit over stuffed with inventory. So as

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Speaker 6: we head into the second half of the year, we

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Speaker 6: expect production rolls to slow and we expect growth to

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Speaker 6: cool in the second half as well.

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Speaker 2: Okay, so we see a labor market cooling a little bit.

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Speaker 2: We do see inflation cooling a little bit. But the

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Speaker 2: several months in a row of solid manufacturing data that

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Speaker 2: we have, the factory orders, durable goods orders, that's a

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Speaker 2: false flag.

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Speaker 6: You're saying some of it is because of a backlog

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Speaker 6: in autos, right, the fleet is older, there's still a

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Speaker 6: turnover that needs to take place. There is real underproduction

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Speaker 6: of autos when there was a semiconductor shortage, so there's

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Speaker 6: still a little bit of a catch up there. Auto

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Speaker 6: sales in June will effect a little bit by a

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Speaker 6: cyber attack, so there's still going to be some chunkiness

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Speaker 6: to some of the data. There are still orders of

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Speaker 6: some other transportation goods like aircraft, so there is some

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Speaker 6: larger explanatory variables. They are separate apart from what we

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Speaker 6: would think of as typically affected by monetary policy, typically

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Speaker 6: affected by the business cycle. There are some of these

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Speaker 6: lagging consequences of COVID that are still showing up in

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Speaker 6: the data and making the data a little bit chunky.

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Speaker 2: Oh boy, so will these build ups of inventories, whether

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Speaker 2: it's cars, whether it's clothing, whether it's housing, appliances. Is

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Speaker 2: that a good thing for consumers in the months ahead,

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Speaker 2: I mean they're going to have to clear out these

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Speaker 2: storerooms and warehouses.

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Speaker 6: We think that it can lead to some discounting of

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Speaker 6: consumer durable goods, and consumer durable goods are typically dragging

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Speaker 6: on inflation. We do see just through time, this was

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Speaker 6: true pre COVID as well, that consumer durable goods really

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Speaker 6: dragged on headline inflation. And for the inflation outlook, the

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Speaker 6: thing that's going to matter most is really inflation in

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Speaker 6: some select services categories, things like homeowner's insurance and auto insurance,

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Speaker 6: where the price of autos rose a lot, so the

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Speaker 6: replacement cost of autos rose a lot, and so what

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Speaker 6: you should be paying in insurance premiums is now rising

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Speaker 6: a lot. So there's a little bit of this catch

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Speaker 6: up inflation that's taking place. That's booying inflation separate and

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Speaker 6: apart from the dynamic that's taking place in goods, where

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Speaker 6: we do expect to see some discounting because of that

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Speaker 6: accidental build up in inventories.

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Speaker 2: Well that would be nice to see. Well, let's stay

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Speaker 2: on inflation, because we're going to turn to that PCE

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Speaker 2: price index for June the FEDS preferred measure of inflation.

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Speaker 2: Are we going to continue to see evidence that inflation

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Speaker 2: is cooling? I mean, we're not getting worse, that's right.

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Speaker 6: So CPI inflation and PPI inflation are both pretty good

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Speaker 6: for June. And when we map CPI and producer prices

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Speaker 6: PPI in to that core PCE space so that we

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Speaker 6: can get a good feel of the Fed's preferred measure,

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Speaker 6: we estimate that annual core PCEE inflation is going to

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Speaker 6: register two and a half percent in June. That's down

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Speaker 6: from two point six percent in May. And if we

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Speaker 6: look on a monthly basis, we're expecting to see core

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Speaker 6: inflation of just zero point one percent. Now, that'll give

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Speaker 6: us the third month in a row where the monthly

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Speaker 6: pace of inflation is pretty consistent with the fed's two

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Speaker 6: percent inflation target, and that should give the FED some

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Speaker 6: confidence to cut rates this year. We think starting in

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Speaker 6: September and.

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Speaker 2: Three months in a row is exactly the kind of

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Speaker 2: consistency they were looking for. So we do have a

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Speaker 2: FED meeting later this month at the very end of July.

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Speaker 2: It's the September one that is the focus for everybody,

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Speaker 2: right that By then we will have data on jobs

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Speaker 2: and data of inflation for July and for August. Is

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Speaker 2: that the one where we may really see the holy

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Speaker 2: grail everyone's been waiting for.

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Speaker 6: I think that's right. I think that September is going

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Speaker 6: to be the month where we finally get a cut.

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Speaker 6: I think that the July meeting that's coming up is

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Speaker 6: actually going to be pretty the uneventful. We could get

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Speaker 6: some communications from the FED Chairman at the post meeting

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Speaker 6: press conference that sort of sets this stage for cuts

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Speaker 6: this year. Then all the FED officials go to Jackson

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Speaker 6: Hole for their annual symposium where they discuss a lot

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Speaker 6: of academic papers, and there is typically a pretty well

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Speaker 6: attended speech by the FED Chairman that always serves as

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Speaker 6: an opportunity for communications to set the stage for that

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Speaker 6: September cut that will then follow. And then we get

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Speaker 6: the September meeting, and I think that could be the one.

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Speaker 3: Wow.

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Speaker 2: A lot to look forward to. Second quarter GDP out

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Speaker 2: this Thursday. The PCE price Index for June on Friday

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Speaker 2: are thanks to Stuart paul Us, economist with Bloomberg Economics. Well,

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Speaker 2: next we move to the auto space and ev Giant Tesla.

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Speaker 2: The world's most valuable automaker report second quarter earnings on Tuesday,

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Speaker 2: and for more. We're joined by Steve Mann, Bloomberg Intelligence,

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Speaker 2: Global Autos and Industrials research analysts. So, Steve, it's been

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Speaker 2: kind of a challenging time for most ev makers, sales

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Speaker 2: still growing a lot more slowly, but Tesla, at least

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Speaker 2: on Wall Street, is on our role. What are you

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Speaker 2: expecting to see in Tesla's second quarter earnings on Tuesday.

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Speaker 7: Yeah, their stock has been doing really, really well. You know,

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Speaker 7: a lot of it is related to the robo taxi

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Speaker 7: that they have planning to announced in October. They were

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Speaker 7: originally saying August, now it's in October. But if you

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Speaker 7: look at the underlying business, the auto business, it's still challenging.

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Speaker 7: You know, second quarter sales are down year every year.

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Speaker 7: But we still think their earnings can actually beat consensus

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Speaker 7: by like twenty to twenty five cents, mainly on you know,

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Speaker 7: lower raw material costs on the battery side, as well

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Speaker 7: as you know, cyber truck production is ramping up. They

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Speaker 7: you know, produce eleven thousand in the second quarter, up

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Speaker 7: from thirty five hundred in the first quarter. So overall

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Speaker 7: earnings in the first quarter should be better than what

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Speaker 7: people expect.

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Speaker 2: So Tesla's delivery numbers rising from I would say a

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Speaker 2: pretty tough first quarter when GM and FOD they're not

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Speaker 2: seeing the same kind of dem I mean, can you

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Speaker 2: compare the products or is Tesla that much more desirable

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Speaker 2: the demand for those products so much better?

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Speaker 7: Yeah, well, Tesla does have a cachet in the EV space,

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Speaker 7: but look, I think you know they're going to face challenges.

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Speaker 7: GM and other companies like Stilentis. They're not waiting, they're

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Speaker 7: not holding back. Even though EV sales are slow in

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Speaker 7: the recent quarters, they're still investing a lot of money

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Speaker 7: in introducing new products. You know. For example, GM introduced

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Speaker 7: the new Blazer not too long ago, and then another one,

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Speaker 7: a more affordable one, the Chevrolet Equinox. And you're seeing

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Speaker 7: that across the board. A lot of the automakers are

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Speaker 7: introducing more affordable evs. And that's what I think the

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Speaker 7: industry needs to do, is to cater to the bigger masses,

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Speaker 7: the bigger audience in the auto market by introducing a lower,

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Speaker 7: more affordable EV.

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Speaker 2: Well, nowhere is that more then in China and the

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Speaker 2: EV maker byd on track to overtake Tesla and sales

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Speaker 2: in that country this year, and it's just one of

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Speaker 2: many competitors. Some of their cars going for about thirteen

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Speaker 2: thousand US dollars over there. How is Tesla competing against that?

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Speaker 7: That market is just crazy. I mean, the price war

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Speaker 7: is not only impacting the EV markets, impacting everyone including

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Speaker 7: internal combustion engine vehicle makers like BMW. It's a crazy

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Speaker 7: market over there. Tesla is actually doing fairly well over there.

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Speaker 7: They've actually held back on any price cuts, but they

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Speaker 7: are providing some better financing terms for some consumers. Sales

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Speaker 7: have actually, you know, fallen off a little bit, but

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Speaker 7: overall they're still producing a lot in their factories, shipping

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Speaker 7: them overseas in Europe. But overall, you know, Tesla, I

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Speaker 7: think it will bounce back, you know, once this price

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Speaker 7: for kind of subsides.

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Speaker 2: Now, let me circle back with you on the ROBOTAXI.

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Speaker 2: I mean, we have been hearing about this autonomous cab

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Speaker 2: for six seven years, A delay, delay, delay. We are

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Speaker 2: going to expect to see it August eighth, Now it's October.

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Speaker 2: What do you think? What is the real reason or

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Speaker 2: as Kathy Woods of our management said, he wants to

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Speaker 2: wow us, and it's going to be even better than

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Speaker 2: we expected.

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Speaker 7: Yeah. I mean, if you look at their stock price,

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Speaker 7: we did some of the back of the anvelope calculation.

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Speaker 7: Most of the stock price is valuing Robotaxi and AI.

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Speaker 7: You know, Elon must have talked about robotaxi for a

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Speaker 7: long time, and I think this is an event that's

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Speaker 7: going to be mostly watched to see how they're going

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Speaker 7: to move AI, you know, into the cars. They're going

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Speaker 7: to probably announce or give some updates on the Optimus

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Speaker 7: humanoid robots. It's going to be a huge event for us.

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Speaker 7: You know, Robotaxi is only I think. I think one

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Speaker 7: component of what Elon Musk is trying to do. Rye

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Speaker 7: hailing is probably going to be a small part of

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Speaker 7: that business for them. There's a lot of opportunities for

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Speaker 7: robo taxi. You know, his mantra is really about driving sustainability,

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Speaker 7: lower consumption or lower greenhouse gases. These Tesla vehicles, you know,

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Speaker 7: if you think about it, they're actually battery on wheels,

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Speaker 7: so other than taking the passenger from zero point A

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Speaker 7: to point B on the rye hailing business, you know,

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Speaker 7: I think what Kathy Wood and others are thinking about.

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Speaker 7: Is these cars could be used for distributed power, offsetting

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Speaker 7: peak power in one region to the next.

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Speaker 4: Wow.

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Speaker 2: Well a lot to look forward to Tesla's second quarter

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Speaker 2: earnings after Wall Street's closing bell on Tuesday, Our thanks

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Speaker 2: to Steve Man Bloomberg Intelligence, Global Autos and Industrials research analysts,

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Speaker 2: coming up Bloomberg day Break Weekend. Can France win an

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Speaker 2: Olympic gold in profitability? We look ahead to the twenty

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Speaker 2: twenty four Summer Olympic Games in Paris. I'm Tom Busby

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Speaker 2: and this is Bloomberg. This is Bloomberg day Break Weekend,

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Speaker 2: our global look ahead at the top stories for investors

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Speaker 2: in the coming week. I'm Tom Busby in New York.

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Speaker 2: Up later in our program we'll look at how the

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Speaker 2: US presidential election in November may shape US China relations

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Speaker 2: going forward. But first, the French capital prepares to host

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Speaker 2: the greatest show on Earth. But will it be worth it?

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Speaker 2: The Olympic Games famously expensive, very rarely profitable. Will Paris

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Speaker 2: be able to convert athletic prowess to economic gain? And

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Speaker 2: for more, Let's go to London and bring in Bloomberg

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Speaker 2: Daybreak Europe anchor Caroline hepgar Tom.

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Speaker 1: Much like an Olympic marathon, the road to Paris twenty

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Speaker 1: twenty five four has already been filled with ups and downs.

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Speaker 1: The journey has been punctuated by obstacles, from funding challenges

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Speaker 1: to more recent political uncertainty and local dissatisfaction at the

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Speaker 1: perceived inconveniences that the Games could bring. Central two discussions

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Speaker 1: has been the question about whether Paris's iconic river Senn

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Speaker 1: will be clean enough in time to welcome Olympic swimmers

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Speaker 1: onto its banks. Recently, the Paris mayor and Idalago took

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Speaker 1: a dip in the river herself plus some journalists in

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Speaker 1: a bid to prove its cleanliness. France has earmarked one

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Speaker 1: point four billion euros that's about one and a half

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Speaker 1: billion US dollars for improving the water quality of the river,

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Speaker 1: amid lingering concerns that the overflows from the city's sewage

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Speaker 1: system bring waste water and bacteria into the Seine, making

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Speaker 1: it unswimmable. President Immanue and macar is even committed to

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Speaker 1: a swim in the river at SCE some point, although

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Speaker 1: given the country's current political situation, he may find it

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Speaker 1: difficult to find the time cleaning up the river and

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Speaker 1: reversing a centuries old ban on swimming in It has

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Speaker 1: been a long and complicated project for French authorities, the

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Speaker 1: peculiarities of which I've been discussing with Bloomberg's investigations Reporter

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Speaker 1: gasper seabag.

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Speaker 8: Well, the issue here is that when it rains a lot,

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Speaker 8: the sewage system in Paris overflows and that brings wastewater

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Speaker 8: and bacteria into the Seine, which obviously isn't what you want.

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Speaker 1: No indeed, and the weather has been particularly rainy across Europe,

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Speaker 1: how has it been in Paris lately?

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Speaker 9: It's not being fantastic. I mean, June was pretty horrendous

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Speaker 9: and that obviously translated into the quality of the water

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Speaker 9: not being adequate. For basically most of the days of June.

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Speaker 9: July has been much more positive and we've seen several

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Speaker 9: days in a row being at the right quality standards,

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Speaker 9: and in fact, the Sports Minister Amelie Udia Castella took

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Speaker 9: a dive into the seine to show that it was

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Speaker 9: it was okay for athletes.

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Speaker 7: To go in.

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Speaker 2: So how have they done us.

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Speaker 8: Well?

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Speaker 9: There's a huge variety of efforts that have been deployed

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Speaker 9: in Paris. It's it's taken several years. There's some which

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Speaker 9: really got the spotlight, like creating a huge water bisin

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Speaker 9: in the depth of Paris, which was you know, they

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Speaker 9: they excavated and they created this huge capacity to increase

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Speaker 9: the possibility to store those overflows from the sewage when

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Speaker 9: it rains. That I was talking about. But there were

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Speaker 9: a lot of smaller tasks, some quite For example, they

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Speaker 9: had to go knocking on doors to make sure that

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Speaker 9: households were connected to the sewage system because the reality,

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Speaker 9: the grim reality of all of this is that some

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Speaker 9: were just pumping their toilets directly into the sein. Again

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Speaker 9: not at all what you want to achieve. The result

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Speaker 9: of having athletes a jump into the sin and feeling

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Speaker 9: comfortable about it.

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Speaker 1: So that was Gaspar Sibag speaking to me. But murky

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Speaker 1: rivers aren't the only problem facing the Paris Olympics. Organizers

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Speaker 1: also faced the challenge of extracting lasting value from these games,

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Speaker 1: economic gain being perhaps the most sought after prize ever

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Speaker 1: since the first Olympics was held over a century ago.

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Speaker 1: The Games have been known for dazzling sporting feats, but

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Speaker 1: also dizzying expense, particularly for opening ceremonies. Recently, the ballooning

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Speaker 1: cost of hosting the Games led residents in Austin, in

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Speaker 1: Rome and in Oslo to reject efforts to bring the

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Speaker 1: Olympics to their cities. As a result, the International Olympic

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Speaker 1: Committee is hoping to reign in costs, starting with Paris.

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Speaker 1: Well joining me for a discussion around this and how

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Speaker 1: Paris is trying to do things differently and keep the

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Speaker 1: costs of the Games down is Bloomberg's Hugo Miller.

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Speaker 5: Well. I sat down with Sebco for the Big Take

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Speaker 5: that we wrote on this topic recently, and what he

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Speaker 5: told me was something fascinating was that the architect of

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Speaker 5: the modern Games in Los Angeles in nineteen eighty four

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Speaker 5: said to him the most important thing you do, as

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Speaker 5: he was preparing to run the twenty twelve London Games,

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Speaker 5: was learned to say no. And the trouble is that

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Speaker 5: the Olympics for too long have not been able to

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Speaker 5: say no. In other words, when in doubt, they've added

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Speaker 5: another ceremony, another event, just to kind of make the

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Speaker 5: whole spectacle that much more spectacular, and over the years

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Speaker 5: the Games have got bigger and more bloated. For the

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Speaker 5: better part of three decade.

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Speaker 1: Well, and only one of the games is actually ever

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Speaker 1: managed to be profitable, and that was Los Angeles in

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Speaker 1: nineteen eighty four. How did they manage to do it,

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Speaker 1: even though of course it's quite a long time ago.

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Speaker 5: Indeed, that was the culmination of a bad decade for

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Speaker 5: the Olympic movement. You had in nineteen seventy two, the

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Speaker 5: tragedy of the murder the terrorists murder of eleven Israeli

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Speaker 5: athletes in seventy two, and in Montreal in seventy six,

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Speaker 5: you had a massive cost overruns, which led taxpayers in

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Speaker 5: Montreal to still be paying for the Olympics four decades later.

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Speaker 5: And things got so bad that the citizens of Denver

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Speaker 5: actually said, after being awarded the Games, no thanks, we

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Speaker 5: don't want them. So basically, by the time you got

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Speaker 5: to nineteen eighty you had just two cities bidding for

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Speaker 5: the games, Los Angeles and Tehran. And as we know,

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Speaker 5: the history books tell us, Iran was rapidly overtaken by revolution.

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Speaker 5: So you've had la alone. And what that allowed Peter Uberov,

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Speaker 5: this businessman who was fronting the games, to do is

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Speaker 5: to tell the IOC, you know what I'm going to

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Speaker 5: do these games the way I want to do them,

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Speaker 5: and that means we're going to reuse student dorms for

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Speaker 5: the athletes, We're going to reuse existing stadia like the

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Speaker 5: Coliseum and the Rose Bowl, and we're not going to

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Speaker 5: build for the sake of building. And he was the

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Speaker 5: first and to date, as you say, the only person

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Speaker 5: to deliver the games on profit, on time.

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Speaker 1: Well, what about Paris? What is France doing to rain

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Speaker 1: in the costs and try to bring it home profitably

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Speaker 1: for them?

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Speaker 5: Paris, even cynics would say, Paris so far looks like

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Speaker 5: it's learned the lessons from the past and taking a

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Speaker 5: queue from the IOC, is set to deliver a balanced

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Speaker 5: budget for its games. It's done so by keeping the

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Speaker 5: construction of new infrastructure to a minimum, primarily just to

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Speaker 5: revitalize the northern neighborhood of San Denis in Paris, but

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Speaker 5: really a focus on private sector involvement, to keep the

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Speaker 5: operating budget down to four point seven billion dollars and

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Speaker 5: then to keep the surrounding infrastructure spending to another four

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Speaker 5: and a half billion, which, when you compare it to

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Speaker 5: the boondoggle that was such a in twenty fourteen or Beijing.

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Speaker 5: It's a fraction of those costs.

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Speaker 1: So I feel so expensive. Why do cities? Why do

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Speaker 1: countries keep on bidding or wanting to take part? What

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Speaker 1: do they gain from it?

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Speaker 5: When it comes to democracies, Many of these democracies simply

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Speaker 5: say no, And we had taxpayer revolts in Stockholm, in Boston,

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Speaker 5: in Rome, as we discussed. But I think there is

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Speaker 5: just this irresistible urge, particularly in emerging markets and authoritarian

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Speaker 5: countries that still seek kind of soft power to be

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Speaker 5: gained from host the Games. So that's why you saw

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Speaker 5: Puchin trying to kind of burnish Russia's legacy well after

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Speaker 5: the Cold War is over with the such a Games,

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Speaker 5: and the Chinese Communist Party looking to do it not

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Speaker 5: once but twice with the Summer and Winter Games in Beijing.

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Speaker 5: It seems like there's a certain sort of authoritarian swagger,

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Speaker 5: as we put it, that they feel comes from hosting

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Speaker 5: the Games that the Western democracies don't really feel anymore.

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Speaker 1: Having said that, maybe there are some benefits. For example,

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Speaker 1: if France manages to clean up I know that the

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Speaker 1: main river the send in Paris, for example, I mean

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Speaker 1: that's expensive, but perhaps could be seen as quite.

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Speaker 10: Worthwhile indeed, and to listeners and readers, I have to

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Speaker 10: give a shout out to my colleage Jenny Cha who

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Speaker 10: did in deep job in the same as Paris Mayor

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Speaker 10: and Hidalgo yesterday to experience the send for herself going

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Speaker 10: to every.

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Speaker 1: Length as a Bloomberg report.

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Speaker 5: I like it she did, and I think that that

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Speaker 5: is a sensible legacy that we should collectively sit dwellers

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Speaker 5: aimed for is that London could regenerate part of the

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Speaker 5: east end of the city twelve years ago, that Paris

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Speaker 5: can turn the sin into a swimmable asset. And these

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Speaker 5: are fantastic legacies, and these are what we should be

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Speaker 5: aiming for. What the IOC doesn't want to see anymore,

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Speaker 5: and what I don't think any taxpayer should want to

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Speaker 5: see is instead where you see things like what happened

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Speaker 5: in Rio de Geneiro, where they built all this infrastructure

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Speaker 5: for sports that locals just didn't use and sat there

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Speaker 5: like white elephants within months of the game's ending.

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Speaker 1: Yeah, in London, interestingly, the eastern part of the city

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Speaker 1: that was redeveloped is really being absorbed, has been absorbed

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Speaker 1: into the cattle, which is interesting, which brings me to

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Speaker 1: my last thought about long term economic and development gains.

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Speaker 1: Do those emerge, where have they emerged? Most will they

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Speaker 1: emerge from the Paris Games.

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Speaker 5: I think it remains to be seeing what the parish

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Speaker 5: organizers say is four billion dollars depending on your perspective,

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Speaker 5: as a lot or amount of money when you're talking

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Speaker 5: about public spending on infrastructure. But the aim is to

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Speaker 5: take a more depressed, or at least to put bluntly

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Speaker 5: poorer part of the city that hasn't necessarily benefited from

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Speaker 5: public spending and create things like swimming pool sports facilities

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Speaker 5: for local residents in the northern part of the city.

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Speaker 5: That hopefully will prove to be the case in the

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Speaker 5: years to come. But as we've seen over and over

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Speaker 5: and over again, there is a history of overrun and overspending.

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Speaker 5: But hopeful in Paris is the exception to that unfortunate rule.

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Speaker 1: So that was Hugo Miller and of course not long

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Speaker 1: to go now. Paris begins its Olympics extravaganza with an

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Speaker 1: opening ceremony along a six kilometer route taking in all

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Speaker 1: of the Paris sites we expect, right along the River Sene.

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Speaker 1: On the twenty sixth of July. I'm Caroline Hepger here

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Speaker 1: in London. You can catch us every weekday morning for

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Speaker 1: Bloomberg Daybreak Europe, beginning at six am in London, that's

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Speaker 1: one am, Tom.

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Speaker 2: Thank you, Caroline, And coming up on Bloomberg day Break

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Speaker 2: weekend to look at how the US presidential election may

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Speaker 2: shape relations between US and China. I'm Tom Busby on

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Speaker 2: This is Bloomberg. I'm Tom Busby in New York with

437
00:25:26,080 --> 00:25:28,360
Speaker 2: your global look ahead at the top stories for investors

438
00:25:28,400 --> 00:25:31,000
Speaker 2: in the coming week. How will the US presidential election

439
00:25:31,119 --> 00:25:34,520
Speaker 2: shape the relationship between the US and China? For more,

440
00:25:34,600 --> 00:25:37,879
Speaker 2: Let's go to Bloomberg Daybreak Asia co host Brian Curtis

441
00:25:37,920 --> 00:25:38,639
Speaker 2: in Hong Kong.

442
00:25:38,920 --> 00:25:41,960
Speaker 3: Tom, the twenty twenty four US election will be critical

443
00:25:42,040 --> 00:25:45,240
Speaker 3: in setting the chorus for relations with China and indeed

444
00:25:45,320 --> 00:25:48,720
Speaker 3: all of Asia over the next four years. Broadly speaking,

445
00:25:48,880 --> 00:25:52,360
Speaker 3: both President Joe Biden and former President Donald Trump want

446
00:25:52,400 --> 00:25:55,000
Speaker 3: to be tough on China, and in fact both want

447
00:25:55,040 --> 00:25:58,320
Speaker 3: to step up the pressure and enact even tougher policies,

448
00:25:58,880 --> 00:26:02,800
Speaker 3: but they will take different paths. Biden will be more ideological,

449
00:26:02,960 --> 00:26:07,280
Speaker 3: Trump more transactional. Now, President Biden says the US would

450
00:26:07,320 --> 00:26:11,200
Speaker 3: force fully respond to a Chinese invasion of Taiwan, while

451
00:26:11,240 --> 00:26:14,440
Speaker 3: former President Trump hinted to Bloomberg he'd want to see

452
00:26:14,440 --> 00:26:18,239
Speaker 3: the US get paid for it. Earlier, Bloomberg's Rome var

453
00:26:18,280 --> 00:26:21,160
Speaker 3: Geese weighed in on Trump's comments.

454
00:26:20,840 --> 00:26:24,679
Speaker 11: It's never been a question the United States would protect

455
00:26:24,720 --> 00:26:28,960
Speaker 11: Taiwan against Chinese aggression. But here he is saying what's

456
00:26:28,960 --> 00:26:31,840
Speaker 11: in it for us? And I think that's the common

457
00:26:31,960 --> 00:26:35,400
Speaker 11: thread throughout all of these policies and all of his statements.

458
00:26:35,520 --> 00:26:38,679
Speaker 11: It's I'm not going to take anything for granted, and

459
00:26:38,760 --> 00:26:40,560
Speaker 11: I'm going to see what's best for me and what's

460
00:26:40,560 --> 00:26:41,879
Speaker 11: the best for the United States.

461
00:26:42,040 --> 00:26:45,840
Speaker 3: That's Rome var Geese. We also heard from Bloomberg opinion

462
00:26:45,880 --> 00:26:47,480
Speaker 3: columnists menschene Pai.

463
00:26:47,680 --> 00:26:50,680
Speaker 12: We should not worry very much about what Trump says.

464
00:26:51,200 --> 00:26:54,240
Speaker 12: He keeps saying one thing and then doing another, so

465
00:26:55,080 --> 00:26:59,760
Speaker 12: he's totally unpredictable, and I think most people do not

466
00:27:00,080 --> 00:27:03,359
Speaker 12: eve at the moment in what he says. So the

467
00:27:03,400 --> 00:27:04,960
Speaker 12: market is reacting.

468
00:27:04,880 --> 00:27:08,199
Speaker 3: Rationally well, particularly in an area like that. But I

469
00:27:08,200 --> 00:27:10,879
Speaker 3: think we can believe that he would like to slap

470
00:27:10,920 --> 00:27:13,080
Speaker 3: sixty percent tariffs on China.

471
00:27:13,119 --> 00:27:15,480
Speaker 12: Oh yes, I think so. Trump has this of the

472
00:27:15,680 --> 00:27:19,680
Speaker 12: double sided feature to his policy. On the one hand,

473
00:27:19,720 --> 00:27:22,520
Speaker 12: he's very tough on China in terms of trade, he

474
00:27:22,560 --> 00:27:26,280
Speaker 12: wants to cut China off from the US market. At

475
00:27:26,320 --> 00:27:29,680
Speaker 12: the same time, he does not care that much about

476
00:27:30,040 --> 00:27:36,000
Speaker 12: China's military might, especially where Taiwan is concerned. There are

477
00:27:36,000 --> 00:27:41,400
Speaker 12: inconsistencies in there, because in his heart, Trump really does

478
00:27:41,440 --> 00:27:45,000
Speaker 12: not want to see China strong and powerful, and if

479
00:27:45,040 --> 00:27:47,760
Speaker 12: you see Taiwan to China, then China will become even

480
00:27:47,760 --> 00:27:50,240
Speaker 12: more powerful than it is today. So at the end

481
00:27:50,280 --> 00:27:53,760
Speaker 12: of the day, I think Trump will probably be tougher

482
00:27:54,000 --> 00:27:56,880
Speaker 12: on China where Taiwan is concerned then what.

483
00:27:56,960 --> 00:28:01,240
Speaker 3: He see Bloomberg opinion columnists mention pay for more on this,

484
00:28:01,440 --> 00:28:05,600
Speaker 3: We turn now to Bill Ferries, Bloomberg Senior Editor. So, Bill,

485
00:28:05,640 --> 00:28:08,560
Speaker 3: we wanted to talk a little bit about how countries

486
00:28:08,680 --> 00:28:11,760
Speaker 3: in Asia, and probably more with China, how they might

487
00:28:11,840 --> 00:28:16,479
Speaker 3: be preparing for different outcomes from the US election. We

488
00:28:16,560 --> 00:28:20,680
Speaker 3: sometimes generalize in the differences between the two on policy,

489
00:28:20,760 --> 00:28:25,400
Speaker 3: saying that President Trump really focuses more on trade policy

490
00:28:25,440 --> 00:28:30,119
Speaker 3: and President Biden more on industrial policy. But when looking

491
00:28:30,160 --> 00:28:33,960
Speaker 3: at the differences, how do you think China is seeing it? Well?

492
00:28:34,040 --> 00:28:37,680
Speaker 13: I don't think From China's perspective, they see it as

493
00:28:37,720 --> 00:28:40,800
Speaker 13: a tough election for them either way, regardless of who

494
00:28:40,840 --> 00:28:44,160
Speaker 13: wins in November, there's not a lot of upside for them.

495
00:28:44,280 --> 00:28:47,560
Speaker 13: I mean, as you suggested at the outset, being tough

496
00:28:47,600 --> 00:28:50,400
Speaker 13: on China is one of the very few things that

497
00:28:50,480 --> 00:28:53,840
Speaker 13: has bipartisan support in the United States at this point.

498
00:28:53,920 --> 00:28:56,920
Speaker 13: So you know, China sees that as they'll have to

499
00:28:56,960 --> 00:29:00,520
Speaker 13: take their poison, whether it's a round of new tariffs

500
00:29:00,920 --> 00:29:04,160
Speaker 13: that a President Trump would or says he would enact,

501
00:29:04,480 --> 00:29:07,240
Speaker 13: versus a lot of the trade restrictions. We're already seeing

502
00:29:07,280 --> 00:29:10,000
Speaker 13: the Bided administration ramping up when it comes to high

503
00:29:10,080 --> 00:29:15,760
Speaker 13: technology semiconductor chips and things like that, including support for Taiwan.

504
00:29:15,920 --> 00:29:18,719
Speaker 13: So I think China knows there's still a lot that

505
00:29:18,720 --> 00:29:21,880
Speaker 13: could happen in the next several months before the election,

506
00:29:22,040 --> 00:29:24,400
Speaker 13: and that regardless of who wins, it's going to be

507
00:29:24,400 --> 00:29:26,200
Speaker 13: a bumpy road for them for quite a while.

508
00:29:26,560 --> 00:29:29,440
Speaker 3: Yeah, because if you think about what you highlighted there,

509
00:29:29,440 --> 00:29:32,920
Speaker 3: President Biden using the foreign direct Product rule on chip

510
00:29:32,960 --> 00:29:37,240
Speaker 3: makers doing business in China, that's something that really in

511
00:29:37,280 --> 00:29:40,760
Speaker 3: a sense is almost like the higher tariffs that President

512
00:29:40,800 --> 00:29:42,120
Speaker 3: Trump would put on right.

513
00:29:42,200 --> 00:29:44,320
Speaker 13: You know, it's a real point of leverage that the

514
00:29:44,440 --> 00:29:47,200
Speaker 13: US has with China. Listen, you know, we import a

515
00:29:47,240 --> 00:29:49,400
Speaker 13: lot of goods from China. We found out during the

516
00:29:49,400 --> 00:29:52,640
Speaker 13: pandemic that a lot of the just the basic medical

517
00:29:52,640 --> 00:29:56,000
Speaker 13: goods that we products that we needed to deal with

518
00:29:56,240 --> 00:30:00,239
Speaker 13: the COVID nineteen outbreak were coming in from China. There

519
00:30:00,280 --> 00:30:05,200
Speaker 13: was a lot of reassessment of US vulnerabilities. The access

520
00:30:05,280 --> 00:30:09,280
Speaker 13: to the highest technology gear to make the top line

521
00:30:09,400 --> 00:30:12,600
Speaker 13: chips is something that the US has influence over. It's

522
00:30:12,640 --> 00:30:15,160
Speaker 13: something that China has spent tens of billions of dollars

523
00:30:15,200 --> 00:30:17,960
Speaker 13: trying to recreate and so far hasn't been able to.

524
00:30:18,160 --> 00:30:21,560
Speaker 13: So I think the US, really, regardless of who wins,

525
00:30:21,640 --> 00:30:25,040
Speaker 13: is going to continue to use that leverage over a

526
00:30:25,120 --> 00:30:28,200
Speaker 13: Beijing because it's one real strength that the US has

527
00:30:28,240 --> 00:30:28,760
Speaker 13: at this point.

528
00:30:29,680 --> 00:30:32,280
Speaker 3: Let's talk a little bit about the different approach to

529
00:30:32,400 --> 00:30:35,720
Speaker 3: policy on Taiwan. How do you see the differences there?

530
00:30:36,640 --> 00:30:39,400
Speaker 13: You know, it's fascinating because if you remember back to

531
00:30:39,600 --> 00:30:44,600
Speaker 13: twenty sixteen, when President Trump was first elected, he actually

532
00:30:44,640 --> 00:30:48,080
Speaker 13: took a call from the then Taiwanese president and that

533
00:30:48,240 --> 00:30:51,520
Speaker 13: was seen as a huge breach of diplomatic protocol. It

534
00:30:51,560 --> 00:30:54,959
Speaker 13: never happened again. But you know, I think the latest

535
00:30:55,000 --> 00:30:58,160
Speaker 13: comments we have from the former President Trump in his

536
00:30:58,400 --> 00:31:02,920
Speaker 13: interview with Bloomberg suggests real questions about whether the US

537
00:31:03,000 --> 00:31:07,880
Speaker 13: would come militarily to Taiwan's aid. I think President Trump

538
00:31:07,960 --> 00:31:12,720
Speaker 13: always had a proclivity towards selling weapons to allies or anybody.

539
00:31:12,760 --> 00:31:15,680
Speaker 13: He really talked about that a lot with countries like

540
00:31:15,720 --> 00:31:19,960
Speaker 13: Saudi Arabia and Japan. I think he would be willing

541
00:31:20,000 --> 00:31:23,760
Speaker 13: to continue and even ramp up weapons sales to Taiwan.

542
00:31:24,200 --> 00:31:27,200
Speaker 13: But the idea of sending American troops into harm's way

543
00:31:27,280 --> 00:31:30,560
Speaker 13: if China attacked, that's really been raised into question by

544
00:31:30,600 --> 00:31:33,960
Speaker 13: his latest comments. President Biden, on the other hand, kind

545
00:31:33,960 --> 00:31:37,040
Speaker 13: of broke with decades of a diplomatic protocol in his

546
00:31:37,120 --> 00:31:40,160
Speaker 13: own way when he said that, yes, the US would

547
00:31:40,200 --> 00:31:43,120
Speaker 13: have to come to Taiwan's aid if attacked. So there

548
00:31:43,200 --> 00:31:45,760
Speaker 13: is a big difference there. But I don't think anyone

549
00:31:45,840 --> 00:31:49,160
Speaker 13: really knows how strongly Trump would stick to those doubts

550
00:31:49,240 --> 00:31:51,360
Speaker 13: if he is elected and there was an attack.

551
00:31:52,040 --> 00:31:54,880
Speaker 3: So that really is a good example of the transactional

552
00:31:55,040 --> 00:31:59,080
Speaker 3: versus the ideological differences. President Biden feels very strongly about

553
00:31:59,320 --> 00:32:02,480
Speaker 3: protecting for reasons to go all the way back to

554
00:32:02,520 --> 00:32:06,000
Speaker 3: the Second World War and perhaps even further whereas President

555
00:32:06,000 --> 00:32:09,840
Speaker 3: Trump you know, wants to get paid in the sense

556
00:32:09,880 --> 00:32:14,040
Speaker 3: of offering protections to Taiwan like an insurance policy, he

557
00:32:14,080 --> 00:32:16,440
Speaker 3: believes that as she could pay. If you're a foreign

558
00:32:16,560 --> 00:32:20,000
Speaker 3: leader in Asia, is it easier to deal with a

559
00:32:20,000 --> 00:32:22,960
Speaker 3: transactional person or an ideological person?

560
00:32:23,200 --> 00:32:25,800
Speaker 13: It depends on, like which issues I think you're trying

561
00:32:25,800 --> 00:32:29,840
Speaker 13: to get into. I think the Chinese, you know, a

562
00:32:29,880 --> 00:32:33,320
Speaker 13: lot of foreign leaders will remember Trump as being transactional.

563
00:32:33,520 --> 00:32:37,200
Speaker 13: They will also remember him as being quite unpredictable, and

564
00:32:37,240 --> 00:32:39,320
Speaker 13: so you can try to reach a deal. You can

565
00:32:39,360 --> 00:32:41,600
Speaker 13: think you have a deal, and then a week later

566
00:32:41,680 --> 00:32:44,240
Speaker 13: you can find out that that deal no longer stands.

567
00:32:44,280 --> 00:32:47,320
Speaker 13: So that's something I think people will have memories for.

568
00:32:47,960 --> 00:32:51,200
Speaker 13: On the other hand, if you're facing you know, someone

569
00:32:51,240 --> 00:32:54,840
Speaker 13: like Joe Biden and he's if you don't like the policy,

570
00:32:55,920 --> 00:32:57,960
Speaker 13: you're going to have a much harder time changing that

571
00:32:58,000 --> 00:33:00,480
Speaker 13: policy because I think, you know, Biden has more of

572
00:33:00,520 --> 00:33:03,840
Speaker 13: an ideological focus in terms of you know, when they

573
00:33:03,920 --> 00:33:06,160
Speaker 13: make decisions, they're making them kind of long term, and

574
00:33:06,160 --> 00:33:07,360
Speaker 13: they can be harder to undo.

575
00:33:08,240 --> 00:33:13,400
Speaker 3: Trump is sending a message essentially that you can pay

576
00:33:13,920 --> 00:33:16,120
Speaker 3: to have policy changed. Now we know that there are

577
00:33:16,120 --> 00:33:21,200
Speaker 3: obviously lots of nuances in that for countries that are

578
00:33:21,240 --> 00:33:25,520
Speaker 3: looking at trade and for what might come from President

579
00:33:25,560 --> 00:33:30,840
Speaker 3: Trump versus President Biden. Former President Trump has talked about

580
00:33:31,400 --> 00:33:35,120
Speaker 3: using tariffs even against allies. Do allies in Asia fear that?

581
00:33:35,640 --> 00:33:37,960
Speaker 13: Yeah, I think allies in Asia are concerned. I think

582
00:33:38,000 --> 00:33:41,200
Speaker 13: allies in Europe are concerned, and they all saw some

583
00:33:41,360 --> 00:33:45,680
Speaker 13: of that in the previous administration. Yeah, I think he's

584
00:33:45,800 --> 00:33:49,680
Speaker 13: going to be looking for companies to grant concessions to

585
00:33:49,720 --> 00:33:51,720
Speaker 13: the US. He's going to be looking for companies to

586
00:33:51,760 --> 00:33:55,000
Speaker 13: build factories in the United States. That was something that

587
00:33:55,520 --> 00:33:57,800
Speaker 13: happened in his term. I think it's something that's happened

588
00:33:57,840 --> 00:34:00,680
Speaker 13: in Joe Biden's term as well. You know, you go

589
00:34:00,760 --> 00:34:03,280
Speaker 13: back to twenty twenty one when Biden took office, there

590
00:34:03,320 --> 00:34:05,840
Speaker 13: were a lot of expectations that he would ease some

591
00:34:05,920 --> 00:34:09,319
Speaker 13: of these tariffs on China, and that never happened. He

592
00:34:09,440 --> 00:34:11,839
Speaker 13: kept them in place and then move forward on other

593
00:34:12,200 --> 00:34:16,640
Speaker 13: high technology restrictions. So I think regardless of the country,

594
00:34:16,640 --> 00:34:20,120
Speaker 13: whether you're a close ally or arrival of the United States,

595
00:34:20,960 --> 00:34:23,920
Speaker 13: a President Trump would be very much looking to you

596
00:34:24,200 --> 00:34:29,040
Speaker 13: for transactional diplomacy, looking for deals that, in his mind,

597
00:34:29,040 --> 00:34:30,680
Speaker 13: would help the American consumer.

598
00:34:30,880 --> 00:34:33,440
Speaker 3: Let's talk about a couple of other areas. So if

599
00:34:33,440 --> 00:34:36,000
Speaker 3: we think about President Trump, if he were to win

600
00:34:36,760 --> 00:34:41,160
Speaker 3: with Vladimir Putin and Shijen Ping, who becomes the third wheel.

601
00:34:41,360 --> 00:34:43,799
Speaker 3: I was thinking about it from the standpoint of would

602
00:34:43,840 --> 00:34:47,000
Speaker 3: President Trump be a third wheel with those two because

603
00:34:47,000 --> 00:34:50,799
Speaker 3: they've already declared this very strong relationship. But then I

604
00:34:50,880 --> 00:34:52,719
Speaker 3: was thinking, it's more interesting if you throw the three

605
00:34:52,719 --> 00:34:55,040
Speaker 3: in a hat and say, which are the two that

606
00:34:55,160 --> 00:34:55,960
Speaker 3: get the closest.

607
00:34:56,200 --> 00:34:56,439
Speaker 8: Yeah.

608
00:34:56,440 --> 00:34:59,480
Speaker 13: I mean, you've heard former President Trump saying that if

609
00:34:59,560 --> 00:35:03,319
Speaker 13: he is elected that he will help bring peace to

610
00:35:03,400 --> 00:35:07,760
Speaker 13: the Ukraine conflict even before he takes office, and you've

611
00:35:07,800 --> 00:35:10,759
Speaker 13: seen him draw a, you know, a very harsh line

612
00:35:10,800 --> 00:35:14,080
Speaker 13: on China. You know, he I think he showed a

613
00:35:14,120 --> 00:35:17,279
Speaker 13: lot of comfort in his first term and working with

614
00:35:17,680 --> 00:35:22,040
Speaker 13: leaders like Putin, like she, like the Saudi Crown Prince.

615
00:35:22,920 --> 00:35:26,080
Speaker 13: He does seem to have a proclivity to work with

616
00:35:26,800 --> 00:35:29,920
Speaker 13: these very kind of strong man type leaders who are

617
00:35:29,960 --> 00:35:32,920
Speaker 13: able to make decisions and you know, very quickly in

618
00:35:32,960 --> 00:35:36,160
Speaker 13: their countries because they don't have to deal with some

619
00:35:36,239 --> 00:35:39,399
Speaker 13: of the mess of democracy. He took a harder line

620
00:35:39,440 --> 00:35:41,920
Speaker 13: in many cases against a lot of US allies. So

621
00:35:42,560 --> 00:35:45,120
Speaker 13: you know, whether he would try to strike deals with

622
00:35:45,160 --> 00:35:49,080
Speaker 13: Shi Jinping, I think is a very open question. I mean,

623
00:35:49,080 --> 00:35:52,880
Speaker 13: he started off his administration really trying to work with

624
00:35:52,960 --> 00:35:56,320
Speaker 13: Shi Jinping, but by the end, when the COVID outbreak happened,

625
00:35:56,600 --> 00:36:00,880
Speaker 13: I think the tone changed very quickly. So between those three,

626
00:36:01,040 --> 00:36:06,279
Speaker 13: He's certainly believes that he has influence with people like

627
00:36:06,360 --> 00:36:09,839
Speaker 13: Putin and She, but to the degree he'll be able

628
00:36:09,880 --> 00:36:12,600
Speaker 13: to exercise that would A lot needs to happen for

629
00:36:12,640 --> 00:36:13,800
Speaker 13: that to take place.

630
00:36:14,080 --> 00:36:17,960
Speaker 3: A quick question on the dollar, Former President Trump seems

631
00:36:18,000 --> 00:36:21,200
Speaker 3: to be pining for a weaker dollar, whereas President Biden

632
00:36:21,280 --> 00:36:23,400
Speaker 3: doesn't normally wade into those waters.

633
00:36:23,840 --> 00:36:27,120
Speaker 13: Differences there, Yeah, I mean President Trump in his first

634
00:36:27,200 --> 00:36:29,799
Speaker 13: term was really like someone who, for the first time

635
00:36:29,800 --> 00:36:32,760
Speaker 13: in a generation, talked about the value of a weaker dollar.

636
00:36:33,080 --> 00:36:36,160
Speaker 13: He really saw that as a boon to American exports

637
00:36:37,160 --> 00:36:40,960
Speaker 13: and you know, a way to bolster the economy. Traditionally,

638
00:36:40,960 --> 00:36:43,960
Speaker 13: of course, Treasury secretaries and White Houses have always pushed

639
00:36:44,000 --> 00:36:47,000
Speaker 13: a strong dollar policy. So you know, when you talk

640
00:36:47,080 --> 00:36:51,439
Speaker 13: to economists about the economic policies that President Trump would

641
00:36:51,520 --> 00:36:56,279
Speaker 13: bring about, they see it as very inflationary. He talks about,

642
00:36:56,360 --> 00:37:00,919
Speaker 13: you know, extending his tax cuts, perhaps apps adding more

643
00:37:01,000 --> 00:37:05,840
Speaker 13: tax cuts, but not as much talk on cutting spending side.

644
00:37:06,160 --> 00:37:09,400
Speaker 13: So economists are looking at that as something that would

645
00:37:09,480 --> 00:37:12,760
Speaker 13: have the FED perhaps having to keep rates higher. For Logger,

646
00:37:13,160 --> 00:37:17,280
Speaker 13: that is essentially a stronger dollar policy if the rates

647
00:37:17,320 --> 00:37:19,160
Speaker 13: remain high and the rest of the world is looking

648
00:37:19,160 --> 00:37:21,520
Speaker 13: for cuts. So how he's going to square that circle

649
00:37:21,800 --> 00:37:23,280
Speaker 13: is going to be a difficult one.

650
00:37:23,360 --> 00:37:26,320
Speaker 3: Bill, thanks very much for playing ball with us. Bill Ferries,

651
00:37:26,360 --> 00:37:30,320
Speaker 3: Bloomberg Senior Editor. I'm Brian Curtis in Hong Kong along

652
00:37:30,320 --> 00:37:33,319
Speaker 3: with Doug Krisner. You can catch us every weekday here

653
00:37:33,360 --> 00:37:36,640
Speaker 3: for Bloomberg Daybreak Asia, beginning at eight am in Hong

654
00:37:36,760 --> 00:37:39,200
Speaker 3: Kong and eight pm on Wall Street.

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Speaker 2: Tom thank you, Brian, and that does it for this

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Speaker 2: edition of Bloomberg day Break Weekend. Join us again Monday

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Speaker 2: morning at five am Wall Street time for the latest

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Speaker 2: on markets overseas and the news you need to start

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Speaker 2: your day. I'm Tom Busby. Stay with us top stories

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Speaker 2: and global business headlines coming up right now,