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

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Speaker 2: This is Bloomberg Business Wait inside from the reporters and

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Speaker 2: editors who bring you America's most trusted business magazine, plus

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Speaker 2: global business, finance and tech news. The Bloomberg Business Week

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Speaker 2: Podcast with Carol Messer and Tim Stenebeck from Bloomberg Radio.

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Speaker 3: Keep on. We are definitely keeping our eye on the

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Speaker 3: ball here at the US Open. I'm also keeping my

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Speaker 3: nose on whatever that is. French fries smell.

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Speaker 4: Interesting? Interesting? You went there? I brought Carol. I brought

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Speaker 4: Carol French fries yesterday. Something you have to know about

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Speaker 4: Carol Masser is she has never met a French fry

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Speaker 4: she didn't love. It's like her secret snack.

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Speaker 3: You can dip them in mayonnaise. That's not about that

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Speaker 3: so yummy.

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Speaker 4: So there were some pretty good fresh French fries yesterday

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Speaker 4: here at the US Open. Brought her some. Hey, we're

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Speaker 4: talking about food, because I love talking about food. You

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Speaker 4: know what's more expensive than it was last year?

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Speaker 3: Honey deuce?

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Speaker 4: Yeah, twenty three bucks each, up from twenty two dollars

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Speaker 4: last year.

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Speaker 3: What's up with that?

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Speaker 4: Melons inflation?

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Speaker 2: Yeah?

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Speaker 3: Okay, okay, so kind of a perfect segue to talk

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Speaker 3: about the Fed's reserve FED reserves preferred measure. I have

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Speaker 3: not had any honey juices, I promise not yet. The

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Speaker 3: Fed's preferred measure of underlying US inflation, which we got

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Speaker 3: earlier this morning. So this was a focal point heading

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Speaker 3: into the Labor Day holiday weekend. It rose at a

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Speaker 3: mile pace, and household spending picked up in July, reinforcing

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Speaker 3: policymakers plan to start cutting interest rates next month. It

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Speaker 3: was interesting we talked earlier right on Bloomberg Intelligence, how

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Speaker 3: this might have felt a little bit like a Goldilock's economy,

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Speaker 3: or more evidence of it. Molly Smith is Bloomberg News

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Speaker 3: Economics editor, and she joins us here on site at

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Speaker 3: the US Open. So good to have you here with us.

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Speaker 3: So amazy to be here.

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Speaker 5: Our annual tradition.

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Speaker 3: I know, and it's a good one. It's a really

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Speaker 3: good one. We're gonna talk tennis in a moment. The report,

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Speaker 3: it feels like it's just all falling into place. How

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Speaker 3: do you see it?

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Speaker 5: So yeah, I mean, this is obviously, of course, what

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Speaker 5: you would want to see if we are going to

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Speaker 5: talk about pyking, a soft landing of the economy. For

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Speaker 5: inflation to be moderating for consumers to keep spending, and

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Speaker 5: that's exactly what the recipe would be. Just some cautionary

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Speaker 5: note though, to keep in mind, is that you know

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Speaker 5: a lot of people were flagging about this report with

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Speaker 5: regards to consumer spending. Is that a lot of it

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Speaker 5: really reflected the rebound in auto sales after the cyber

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Speaker 5: attack in June, and that how disruptive that was for

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Speaker 5: the industry. Outside of that, it was a little bit

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Speaker 5: more mixed. And of course, looking at the income growth

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Speaker 5: measures and the saving rates dropping down not great, not great.

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Speaker 5: That doesn't pode well for consumer spending going forward. And

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Speaker 5: we also got the University of Michigan data later in

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Speaker 5: the morning looking at measures of consumer finances also feeling

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Speaker 5: very stretched there, which could also pose a risk to

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Speaker 5: spending going forward.

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Speaker 4: I know you're focused on the macro, but I got

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Speaker 4: to bring in this headline that we just heard from

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Speaker 4: Amy Morris just crossing the Bloomberg terminal, Goldman Sack set

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Speaker 4: to layoff over thirteen hundred workers. This is according to

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Speaker 4: The Wall Street Journal. They're planning to cut between three

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Speaker 4: to four percent of its workforce. Typically. The Journal's Lauren

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Speaker 4: Thomas right. So Goldman aims to trim between two percent

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Speaker 4: and seven percent of its workforce annually based on various

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Speaker 4: performance factors. When you see a headline like that, as

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Speaker 4: an economics editor, do your spidy senses start to tangle?

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Speaker 5: It all could be going on, I mean, especially because

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Speaker 5: the lay of the word of the land has really

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Speaker 5: been that layoffs are very low. So when you see

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Speaker 5: that this is happening at a company that we all

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Speaker 5: know about, of course you're like, what's going on here?

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Speaker 5: I mean, we do know that Goldman, So the other

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Speaker 5: several of the other banks have been laying off workers

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Speaker 5: recently in different batches. You know that they had got

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Speaker 5: they had over hired a lot, you know, in the

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Speaker 5: past couple of years. So I think a lot of

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Speaker 5: people this seems to be looked at generally is more

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Speaker 5: a moderating of the workforce rather than a wholesale cutting

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Speaker 5: of it. I mean, of course I haven't read the

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Speaker 5: story yet, but that seems to be what a lot

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Speaker 5: of the vibe is by.

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Speaker 1: But more broadly, where we.

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Speaker 5: Have seen more of the struggle in hiring has been

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Speaker 5: in white collar professions. And this has been where you

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Speaker 5: would expect, right now to see more of the layoffs happening.

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Speaker 3: I find it interesting because we've had conversations with Geena

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Speaker 3: Martin Adams about bank earnings in general that that has

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Speaker 3: been a standout. So I feel like, you know, the

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Speaker 3: financial sector has performed, and yet you're still seeing some

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Speaker 3: trimming of the workforce. And as you said, it's not

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Speaker 3: a case that we've heard layoffs in general. We've heard

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Speaker 3: companies maybe not hiring as aggressively, but they haven't been

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Speaker 3: laying off workers. I also feel like you and I

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Speaker 3: keep talking to people who say we're getting now we

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Speaker 3: used to get one or two resumes for a job,

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Speaker 3: Now we're getting forty, like huge jumps. To me, it

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Speaker 3: says there's a shift and people coming out of college

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Speaker 3: having a tough time finding jobs.

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Speaker 5: It is definitely a tough job market to work in

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Speaker 5: right now. And it's so it pains me to say

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Speaker 5: that in a way because when you look at the numbers,

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Speaker 5: it really doesn't feel that way. Where you still have

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Speaker 5: a pace of hiring that's well over one hundred thousand

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Speaker 5: jobs a month, that the unemployment rate, yes has been

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Speaker 5: going up, but still is historically low, that wage gains

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Speaker 5: are still positive it's hard to square that with this

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Speaker 5: is still a tough job market. But I think the

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Speaker 5: way to reconcile it is that what I tell my

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Speaker 5: friends is that it's not a job market where I

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Speaker 5: would quit my job voluntarily if I didn't have something

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Speaker 5: else lined up, you know, just experiencing what it's like,

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Speaker 5: even if you just wanted to like casually spit out

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Speaker 5: your resume and see what other options are out there.

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Speaker 5: The amount of ghosting that is still happening, and how

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Speaker 5: many weeks, months can go by without hearing something. I mean,

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Speaker 5: when we talk to job seekers, this is regularly bring

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Speaker 5: back that it's just been a brutal environment out there.

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Speaker 3: Statistics don't show that at all.

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Speaker 5: And that's what's very frustrating too, that, like I think

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Speaker 5: what I've really learned a lot from my job in

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Speaker 5: like squaring the economic statistics with the real world. When

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Speaker 5: I post about some of these things on LinkedIn and

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Speaker 5: other social media and you see the comments, and I

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Speaker 5: don't feel like I'm being attacked, but I hear like

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Speaker 5: these people are almost like yelling, like the numbers are lying.

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Speaker 5: This is not the real lived experience, Like this is

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Speaker 5: a horrible economy, Like people are feeling like so stretched

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Speaker 5: thin in every which way. And yeah, I can imagine

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Speaker 5: if you are somebody who feels that way and you

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Speaker 5: hear people like us saying, you know, inflation's moderating, like

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Speaker 5: this is Goldilocks, everything's great. It doesn't feel that way.

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Speaker 4: Also, serious political implications ahead of the presidential election. We'll

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Speaker 4: hear the candidates talking even more I think in the

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Speaker 4: coming weeks about the economy. Before we let you go,

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Speaker 4: we're talking tennis. Molly, absolutely, while we're here, you follow

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Speaker 4: this like nobody else. What's been on your radar this year?

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Speaker 4: Who should we be watching? What's shocked you?

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Speaker 3: You're excited about?

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Speaker 5: Oh? I mean last night? Of course, the upset with

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Speaker 5: Alcaraz was just I challenge anybody who had that on

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Speaker 5: their Bengo card.

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Speaker 4: Please tell me.

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Speaker 1: I certainly did not see.

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Speaker 5: That coming, especially from I'll say his name again if

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Speaker 5: you guys hadn't heard it before, Bodic van Essential from

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Speaker 5: the Netherlands. This guy's had a horrible year, was contemplating

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Speaker 5: retiring going into this tournament, and man, I hope this

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Speaker 5: helps him turn it around. You know, he was a

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Speaker 5: top almost twenty player a couple of years ago, so

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Speaker 5: what a win for him, even if his face doesn't

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Speaker 5: show it. He's one of those guys who doesn't really

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Speaker 5: give you a whole lot to work with. But that

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Speaker 5: was fascinating last night. A lot of great Americans in

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Speaker 5: action today. I'm gonna try to see Shelton and Tiafo

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Speaker 5: after this.

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Speaker 4: Who do you think he's gonna win that match?

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Speaker 5: Oh?

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Speaker 6: Man?

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Speaker 5: I mean, I think Ben has a bit more firepower

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Speaker 5: coming into it. But Tiafo has really turned his season

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Speaker 5: around when he got a new coach in the middle

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Speaker 5: of the year, and just love to see that. You know,

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Speaker 5: He's really had a tough time since he was in

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Speaker 5: the semis here a couple of years ago and just

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Speaker 5: has had a bit of a lack luster result since then.

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Speaker 4: That's when he lost to Alcarez.

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Speaker 5: Yes, I mean that was an incredible match and may

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Speaker 5: broke into the top ten then and just has fallen

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Speaker 5: a bit by the wayside since then. But he had

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Speaker 5: a great run up to this tournament, reaching the finals

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Speaker 5: in Cincinnati. This could be really huge for him, so,

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Speaker 5: I I mean, look, you have you love to see

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Speaker 5: any American win though.

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Speaker 3: Right on the women's side of thing, is it all

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Speaker 3: about Cocoa, I.

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Speaker 5: Would say, it's a you know, it's really Sablanca's tournament

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Speaker 5: to lose, and she's gonna be playing later tonight. I think,

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Speaker 5: you know, she's really the big favorite right now. Would

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Speaker 5: not be surprising to see the two of them make

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Speaker 5: another deep run like they did last year. Uh yeah,

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Speaker 5: I mean I hate to see Rebaka to pull out again.

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Speaker 5: This is the number four player in the world and

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Speaker 5: who's really just struggled with her health so much. I mean,

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Speaker 5: this is like what the at least eighth tournament she's

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Speaker 5: pulled out of this year because of some kind of

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Speaker 5: injury or illness, and I just hope that whatever's going

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Speaker 5: on with her gets better because she when she is playing,

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Speaker 5: she is unstoppable. So it's just it's really hard to see.

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Speaker 3: I am just thirty seconds. Is there anybody out there

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Speaker 3: that you see is possibly like another Serena or something.

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Speaker 3: I hate to say that because I feel like there

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Speaker 3: are athletes like that that are you know, once in

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Speaker 3: a generation or something, But I don't know.

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Speaker 1: I mean, it's so much pressure.

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Speaker 5: I mean, of course, like Cooco would be like the

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Speaker 5: obvious candidate to say that right now, just because of

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Speaker 5: her age, and what she's already accomplished. But you know,

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Speaker 5: I love her attitude about it. I think, you know,

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Speaker 5: she still recognizes there's so much improvement to be done

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Speaker 5: and she's taking the steps. And I love her coach too.

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Speaker 5: So Brad Gilbert, do you hear me?

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Speaker 4: Big fan?

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Speaker 1: All right?

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Speaker 3: Good stuff? As always, she's got some fun things on

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Speaker 3: social media. We're gonna talk about that maybe with John

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Speaker 3: Wortheim a little bit later on. So good. This is

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Speaker 3: a tradition and annual tradition, and we always look forward

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Speaker 3: to Molly Heanks find hey you watching Molly Smith economics

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Speaker 3: thateer at Bloomberg News on site with us here at

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Speaker 3: the US Open.

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Speaker 4: Okay, from tennis to the NFL. You recall earlier this week, Carol.

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Speaker 4: NFL voters owners voted to allow private equity firms to

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Speaker 4: buy stakes in their franchises. It's a move expected to

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Speaker 4: attract billions in fresh capital while boosting team valuations that

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Speaker 4: I mean, come on, had already been surging.

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Speaker 3: Yeah, absolutely, private equity is interested folks in another area

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Speaker 3: as well other stuff. In a Bloomberg Business Week story,

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Speaker 3: Bloomberg's Ira Boodway writes about how private equity has set

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Speaker 3: its sites on the thirty billion dollar youth sports industry,

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Speaker 3: which is like whoa here with more in a story.

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Speaker 3: It's also a personal story. Is Bloomberg News Business of

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Speaker 3: Sports reporter Ira Budway. He's back at our Bloomberg Studio,

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Speaker 3: Interactive Broker Studio, back at Bloomberg headquarters.

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Speaker 4: Iira, good to have you with us this afternoon. Can

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Speaker 4: you start with the personal angle? You your personal connection

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Speaker 4: to this story?

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Speaker 7: Yeah, I mean, I don't know what you guys are

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Speaker 7: doing this weekend, but I will be watching my daughter

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Speaker 7: play soccer in a tournament.

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Speaker 4: And that's what I do.

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Speaker 7: With most of my weekends, watch one of my two

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Speaker 7: kids play baseball or soccer, one of the sports they play.

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Speaker 7: So this story kind of springs from my own experience.

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Speaker 7: I was up in Cooperstown this summer watching my twelve

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Speaker 7: year old some play baseball at one of these tournaments

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Speaker 7: that brings in thousands of twelve year olds every summer,

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Speaker 7: and the other tournament down the road, Cooperstown All Star

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Speaker 7: Village just so happens to have been bought recently by

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Speaker 7: David Blitzer and Josh Harris to private equity billionaires who

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Speaker 7: have formed a company with multiple leagues and tournaments and

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Speaker 7: camps that they call unrivaled sports, and they're part of

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Speaker 7: this big wave of new investment and consolidation in the industry.

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Speaker 3: Can I say that? When I first read your headline,

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Speaker 3: I'm like, only because private equity and I think about

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Speaker 3: their ownership of veterinarians and vets. I think about healthcare, like,

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Speaker 3: we've got the stories out there, right of private equity

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Speaker 3: comes in and it doesn't always go so well. So

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Speaker 3: tell us about the impact. What are they doing and

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Speaker 3: are they doing this about you know, juicing returns for

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Speaker 3: investors or that's really not the case here?

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Speaker 7: Yeah, you know, that was kind of what I wanted

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Speaker 7: to know, you know, was this another sort of nursing

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Speaker 7: homes and real estate and all these things that private

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Speaker 7: equity has come in and arguably made things worse for consumers?

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Speaker 7: Is that what we're going to get here? And and

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Speaker 7: in youth sports there's a particular problem already of it

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Speaker 7: being expensive and exclusive and pressurized and not really about

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Speaker 7: sort of the fund and the social emotion, social and

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Speaker 7: emotional learning that you want to get out of it

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Speaker 7: for kids. So that was what I brought to it.

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Speaker 7: I wanted to kind of hear their case for what

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Speaker 7: they plan to do. In the case of Unrivaled, you know,

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Speaker 7: I think it calling it private equity is maybe a

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Speaker 7: little bit unfair because these are investments where they didn't

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Speaker 7: raise a fund and there's no promised exit or return,

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Speaker 7: and they plan to hold them, they say, for a

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Speaker 7: long time. So what they want to do at Unrivaled,

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Speaker 7: with their various assets is expand they base going to

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Speaker 7: bring in capital and talent and make them bigger and better.

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Speaker 7: And instead of maybe a program that serves four hundred kids,

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Speaker 7: they want to make it serve eight hundred kids. So

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Speaker 7: in the case of Cooperstown All Star Village, they bought

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Speaker 7: another sixty six acres next to their site in Onlyonta,

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Speaker 7: New York, and they're going to double it, you know,

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Speaker 7: over time. So that's what they say they're about in

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Speaker 7: this case. But they are also not the only ones

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Speaker 7: getting into the business and private equity, and some of

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Speaker 7: these are your traditional private equity firms that you know

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Speaker 7: need to seek an exit and maximize profit.

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Speaker 4: Hey, let's take a step back here and sort of

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Speaker 4: like help explain to us in the next minute that

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Speaker 4: we have or two minutes we have with you how

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Speaker 4: we got to this place with youth sports. I mean,

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Speaker 4: I thought youth sports a few generations ago were about

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Speaker 4: kicking the ball around, building team building. Maybe you know

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Speaker 4: a dad is one of the coaches on the team,

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Speaker 4: or a mom as a coach on one of the team.

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Speaker 4: When did money become such a big part of it.

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Speaker 7: It's been a few forces working together. I think part

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Speaker 7: of it is just social pressures have taken both the

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Speaker 7: unsupervised sport away. We just don't allow kids to do

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Speaker 7: that kind of thing anymore. And you know, two parents

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Speaker 7: working the dad volunteer coach is also increasingly untenable, and

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Speaker 7: so you've got in their place these travel teams that

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Speaker 7: are professionally coached, and then you have just this desire

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Speaker 7: to get kids scholarships or into elite schools, and so

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Speaker 7: sports have become this sort of less about what you're

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Speaker 7: doing right now and how you're enjoying it, and more

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Speaker 7: about how it helps you get to that brass ring

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Speaker 7: or that next step. And that means that parents are

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Speaker 7: willing to spend on coaching and on equipment and on

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Speaker 7: travel and everything else. And so that has made it

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Speaker 7: a rather than you know, recreation a business.

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Speaker 3: Hey, just real quickly, just got about thirty seconds. My

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Speaker 3: concern is that money, once again is going to make

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Speaker 3: it these kind of opportunities for those who can afford

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Speaker 3: it and then cut out those where sometimes someone who

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Speaker 3: is from a poorer background, to be quite blunt, had

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Speaker 3: an opportunity to rise up courtesy of sports just quickly.

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Speaker 7: Yeah, I mean this is not a good way to

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Speaker 7: develop and identify talent, to use basically wealth as a

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Speaker 7: way to find the kids who get to play. So

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Speaker 7: just in terms of you know, competing, you really want

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Speaker 7: to expand access and not make it more exclusive.

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Speaker 3: Well it's a great read. There's so much fun detail

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Speaker 3: in there, and it's like one of those who knew

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Speaker 3: that this was going on, although it doesn't surprise me.

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Speaker 4: Hey, we're private equity. We'll find a way, Yes, our

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Speaker 4: a good way.

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Speaker 3: Business of Sports reporter at Bloomberg News. Check out his

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Speaker 3: Bloomberg Business Week story at Bloomberg dot com and on

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Speaker 3: Bloomberg Terminal.

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Speaker 2: You're listening to the Bloomberg Business Week podcast. Catch us

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Speaker 2: live weekday afternoons from two to five pm Eastern. Listen

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Speaker 2: on applecar Play and then brout Auto with a Bloomberg

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Speaker 2: Business app or watch US live on YouTube.

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Speaker 3: US Open has always been a place to see and

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Speaker 3: be seen in a big way if you just check

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Speaker 3: out some of those at the court side. And I

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Speaker 3: know when we go to watch matches or over the

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Speaker 3: past years, especially if you do a night match, a

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Speaker 3: really popular one, a big one, the cameras will move

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Speaker 3: around and all of a sudden you're seeing, you know,

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Speaker 3: a celeb.

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Speaker 4: There's always know where the celebs are sitting, don't they.

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Speaker 3: Yeah, and you know how many times they've come on

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Speaker 3: US zero. That's the way it rolls. It's okay, I'm

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Speaker 3: good with that.

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Speaker 4: With that, Hey, we actually know a little bit about

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Speaker 4: this because our own Bloomberg New senior reporter Jillian Tan,

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Speaker 4: who is a fan of tennis, plays tennis. She's back

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Speaker 4: here at the US Open. She wrote about what is

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Speaker 4: the hottest celebrity ticket out there right now? Jillian, good

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Speaker 4: to see you, welcome.

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Speaker 1: Yeah, thanks for having me.

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Speaker 4: Okay, So before we get to who's been here, you know,

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Speaker 4: which include Jessica Biel, Questlow, Alec Baldwin and Moore, how

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Speaker 4: do celebrities get connected with seats here?

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Speaker 1: So I think the whole thing, right, it's a whole

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Speaker 1: thing right now, everyone sort of you know, talks to

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Speaker 1: their own team, speaks to their agents. The agents put

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Speaker 1: an ask into the USTA and there are just so

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Speaker 1: many sponsors here. So if the USTA President box is full,

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Speaker 1: there's like mowatt is that how you pronounce it? Proet

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Speaker 1: It depends depends on if you or America Emira. You've

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Speaker 1: got Polo, Ralph Lauren, but doebal Tequila. Everyone's just scattered

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Speaker 1: around Arthur ash Stadium. So John Rahm, the live golfer,

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Speaker 1: his live golf team is sponsored by this tequila brown

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Speaker 1: so he rocked in on Monday Tuesday. Everyone just sort

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Speaker 1: of you know, calls, makes the ask and then shows

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Speaker 1: up when the sponsors can fit them in.

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Speaker 4: So they're not buying tickets, No, these.

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Speaker 1: Are all free tickets.

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Speaker 4: Come on, so the tickets? Why aren't they paying?

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Speaker 3: What about us? Please?

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Speaker 6: Wait?

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Speaker 3: Has tennis always been so popular among celebrities?

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Speaker 1: So right now you know that the view is that

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Speaker 1: there's like a cultural ape sorry boutman voice challenges. The

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Speaker 1: movie starring Zendaya grossed ninety four million this year, so

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Speaker 1: that's you know, been huge for tennis. But during the pandemic,

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Speaker 1: there was just a huge boost and amateur players, not

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Speaker 1: only in the US but just globally, so that there's

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Speaker 1: just a lot of attention and on the sport luxury

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Speaker 1: brands have started to capitalize on it. You've seen Yanixenner

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Speaker 1: the world number one. He's, you know, an ambassador for Gucci.

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Speaker 1: You've got Alcoraz who unfortunately lost last night. He's an

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Speaker 1: ambassador of Louis Vuitton. So is Naomi Osaka. So a

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Speaker 1: lot of these folks are building their brands outside the

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Speaker 1: court and people are paying attention.

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Speaker 4: It seems like other sports like basketball have really in

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Speaker 4: the past attracted this court side celebrity. Yeah, is it

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Speaker 4: tennis a hoter ticket now?

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Speaker 1: Arguably so, especially because there's only fourteen days here at

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Speaker 1: Arthur ash right, So basketball we're looking to it. There's

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Speaker 1: forty one home games per team. That's so many that

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Speaker 1: you know, celebrities can pop in nix and nets, give

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Speaker 1: jay Z high fives and his Empire state of Mind hit.

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Speaker 1: But no, now the basketball players are the ones that

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Speaker 1: are court side here.

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Speaker 3: Well, you mentioned jay Z, I mean didn't they Also

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Speaker 3: in terms of the USTA leaning on culture, in terms

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Speaker 3: of I think they've got a new theme song and

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Speaker 3: they tell us a little bit about that how they

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Speaker 3: are embracing kind of the celebrity moment.

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Speaker 1: Yeah, so they understand that they can leverage celebrities and

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Speaker 1: sort of the pop culture interest to enhance, you know,

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Speaker 1: the US Open, extend the reach of the tournament. So

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Speaker 1: they actually teamed up with Alicia Keys' musical Hell's Kitchen

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Speaker 1: to like establish a brand new theme song, which I

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Speaker 1: think we're hearing it changes of ends and at other

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Speaker 1: times and on ESPN actually as well.

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Speaker 3: And they play music in between right like when there's

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Speaker 3: breaks in terms of the matches, So there is kind

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Speaker 3: of a fun party atmosphere.

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Speaker 1: Yeah, there's a party atmosphere. The DJs, you know, DJing

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Speaker 1: the tracks and that's leading to you know, unique moments.

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Speaker 1: I think there was a moment in twenty fifteen where

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Speaker 1: Jimmy Fallon and Justin Ti Blake dance to Beyonce's All

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Speaker 1: the Single Ladies, and the USCA team was saying that

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Speaker 1: was the content piece that went the furthest in social media.

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Speaker 3: Well was stun natural.

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Speaker 1: They were just like, you know, all the single.

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Speaker 3: Ladies, Wait, who was that? That was justin Timberland And

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Speaker 3: don't you remember the SNL skit, right, that's the one.

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Speaker 3: We're just timberly dressed up in the Beyonce like leotard.

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Speaker 4: And I do not remember that one really.

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Speaker 3: Yeah, so I don't know Oasis, but you.

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Speaker 4: Don't know that you should go certain that.

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Speaker 3: How do they manage the celebrities, because as you said,

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Speaker 3: it's fourteen days limited seats, there are those matches you know,

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Speaker 3: celebrities want to be at and be seen at. How

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Speaker 3: does the USTA manage that?

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Speaker 1: So interestingly, they were saying opening night and the finals

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Speaker 1: weekend is when it's usually been you know, the most interest,

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Speaker 1: but now it's staggered out throughout the whole fourteen days.

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Speaker 1: They actually have hired an out like they outsource it

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Speaker 1: because it's just gotten too much. But yeah, they outsource it.

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Speaker 3: And they like, you deal with it.

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Speaker 1: Yeah, you you deal with it and then you know

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Speaker 1: from there on. But interestingly, last year was a record,

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Speaker 1: It was more than four hundred celebrities and this year

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Speaker 1: they expect to break that record.

439
00:19:40,400 --> 00:19:42,440
Speaker 4: I mean, how great is this for the USTA's business.

440
00:19:42,760 --> 00:19:45,320
Speaker 1: I mean it's great. It's free publicity, Like, how what

441
00:19:45,440 --> 00:19:46,159
Speaker 1: could they ask more?

442
00:19:46,400 --> 00:19:48,119
Speaker 4: Especially if you have some of these celebs with their

443
00:19:48,119 --> 00:19:50,760
Speaker 4: own TikTok and Instagram accounts posting where they are what

444
00:19:50,760 --> 00:19:52,600
Speaker 4: they're doing. You can only imagine what that does for

445
00:19:52,640 --> 00:19:53,520
Speaker 4: demand for tickets.

446
00:19:53,640 --> 00:19:56,040
Speaker 1: Yeah, or even the USBA posts it themselves right, like

447
00:19:56,119 --> 00:19:59,320
Speaker 1: they can capture you know, Lynn Manuel Maranda like watching

448
00:19:59,359 --> 00:20:00,840
Speaker 1: a point open mouthed like.

449
00:20:01,440 --> 00:20:03,120
Speaker 3: Yeah right, It's like pretty incredible.

450
00:20:03,480 --> 00:20:04,119
Speaker 1: It's like locked in.

451
00:20:04,280 --> 00:20:06,560
Speaker 3: I have found myself like when watching a certain match

452
00:20:06,640 --> 00:20:08,400
Speaker 3: or I think I remember it was like Gail King

453
00:20:08,520 --> 00:20:10,800
Speaker 3: and I don't remember whether it was justin Bieber or something,

454
00:20:10,840 --> 00:20:13,200
Speaker 3: and it's just like kind of cool as you're watching

455
00:20:13,240 --> 00:20:16,760
Speaker 3: in the camera and the camera scans. I am also

456
00:20:16,840 --> 00:20:21,040
Speaker 3: curious about the celebs are really cool, but I'm also

457
00:20:21,119 --> 00:20:25,120
Speaker 3: curious about you know, JP Morgan's been a big sponsor

458
00:20:25,160 --> 00:20:27,480
Speaker 3: for a long time. I mean, the financial world really

459
00:20:27,520 --> 00:20:28,520
Speaker 3: loves this thing too.

460
00:20:28,800 --> 00:20:31,440
Speaker 1: Yeah, so we'll see them, you know, they're here. They're

461
00:20:31,440 --> 00:20:34,679
Speaker 1: here quietly these few weeks, Like some have suites for

462
00:20:34,720 --> 00:20:37,160
Speaker 1: the entire two weeks, but most of them will be here.

463
00:20:39,359 --> 00:20:43,439
Speaker 1: Semi finals next Friday, Women's final on Saturday, which's presented

464
00:20:43,440 --> 00:20:46,359
Speaker 1: by Japenwrgan I believe, yeah, and then Sundays the men's final.

465
00:20:46,720 --> 00:20:49,360
Speaker 4: Okay, so there are some celebrities who are known kind

466
00:20:49,400 --> 00:20:52,760
Speaker 4: of fanatics men still are still. Yeah, he's like I've

467
00:20:52,800 --> 00:20:55,879
Speaker 4: seen I mean i've seen him a like exhibition matches

468
00:20:55,880 --> 00:20:58,480
Speaker 4: that I've gone to and in Manhattan, like you know,

469
00:20:58,680 --> 00:21:01,159
Speaker 4: fifteen years ago and he's in court side. Yeah, like

470
00:21:01,880 --> 00:21:03,240
Speaker 4: to he'll got as much tennis.

471
00:21:03,000 --> 00:21:05,080
Speaker 1: As he's a huge Rapa fan as well, which is

472
00:21:05,200 --> 00:21:07,120
Speaker 1: I guess sad for him because the guy's not here.

473
00:21:07,560 --> 00:21:09,080
Speaker 1: But yeah, he was at Wimbledon this year. I think

474
00:21:09,080 --> 00:21:11,600
Speaker 1: he was a Roland Garros like he's everywhere, He there everywhere.

475
00:21:11,600 --> 00:21:13,760
Speaker 1: And then Anna Wintour is obviously huge tennis fan.

476
00:21:13,880 --> 00:21:16,080
Speaker 3: Well that's who I was thinking of, right, she's always

477
00:21:16,080 --> 00:21:18,880
Speaker 3: and who she's got sitting next to her, who met

478
00:21:18,920 --> 00:21:21,679
Speaker 3: you know, it's just kind of fascinating. It's interesting too,

479
00:21:21,760 --> 00:21:25,320
Speaker 3: and a year where we thought maybe without Serena it

480
00:21:25,359 --> 00:21:27,560
Speaker 3: would be very different. But I was kind of floored

481
00:21:27,560 --> 00:21:28,960
Speaker 3: when we got here, or at least when I got

482
00:21:28,960 --> 00:21:31,640
Speaker 3: here yesterday, like how crowded it was and how much

483
00:21:31,640 --> 00:21:34,840
Speaker 3: excitement there was, and just the matches, even the side matches,

484
00:21:34,880 --> 00:21:37,520
Speaker 3: like people are really exciting. As you said, you know,

485
00:21:37,520 --> 00:21:40,240
Speaker 3: there's some younger players, maybe not all household names, but

486
00:21:40,280 --> 00:21:42,240
Speaker 3: people are really into it, the celebrities as well.

487
00:21:42,320 --> 00:21:43,919
Speaker 1: Yeah, the grounds are really full. There are a ton

488
00:21:43,960 --> 00:21:46,639
Speaker 1: of Americans doing extremely well both on the men's and

489
00:21:46,680 --> 00:21:49,080
Speaker 1: women's side. So you know, this is a great time,

490
00:21:49,240 --> 00:21:50,359
Speaker 1: great time to be at the rside.

491
00:21:50,359 --> 00:21:52,640
Speaker 3: Friend, what's a box go for? Like? So the celebrities

492
00:21:52,640 --> 00:21:54,240
Speaker 3: you are in a box or what are those seats

493
00:21:54,280 --> 00:21:55,000
Speaker 3: that they're getting?

494
00:21:55,280 --> 00:21:56,920
Speaker 1: So the ones they would have to pay? What the

495
00:21:57,400 --> 00:21:59,479
Speaker 1: box is a different thing, but for quot side seats.

496
00:21:59,520 --> 00:22:02,000
Speaker 1: I looked up yes today to buy a comparative seat

497
00:22:02,080 --> 00:22:03,800
Speaker 1: in the lower bowl. I think it was like fifteen

498
00:22:03,840 --> 00:22:06,200
Speaker 1: to seventeen hundred yesterday in the day session and probably

499
00:22:06,200 --> 00:22:07,800
Speaker 1: over two thousand for the night session.

500
00:22:08,040 --> 00:22:10,040
Speaker 4: And this is you know, the first week of the tournaments.

501
00:22:10,160 --> 00:22:13,240
Speaker 4: We're not even talking you know, getting to the finals.

502
00:22:13,080 --> 00:22:15,760
Speaker 1: Which can be ten thousand for like a very very

503
00:22:15,840 --> 00:22:16,560
Speaker 1: quote side seat.

504
00:22:16,800 --> 00:22:19,560
Speaker 4: Oh, it's just unbelievable. And you know, again that money

505
00:22:19,640 --> 00:22:22,119
Speaker 4: not necessarily going to the USTA. This is on the

506
00:22:22,240 --> 00:22:23,200
Speaker 4: this is being resold.

507
00:22:23,280 --> 00:22:25,720
Speaker 1: We had the numbers yesterday will racale numbers, but the

508
00:22:25,840 --> 00:22:28,400
Speaker 1: USA does sell some seats for ten thousand.

509
00:22:29,560 --> 00:22:31,760
Speaker 3: You know, I was thinking about it's funny because we

510
00:22:32,320 --> 00:22:35,480
Speaker 3: realize that demand. That's always how it works, right, It

511
00:22:35,520 --> 00:22:38,720
Speaker 3: always comes down to that. As we said earlier, you know,

512
00:22:38,760 --> 00:22:41,000
Speaker 3: the USTA has got to love like the celebrities and

513
00:22:41,040 --> 00:22:43,399
Speaker 3: whether they're posting and so on and so forth. But

514
00:22:44,040 --> 00:22:47,160
Speaker 3: because they outsourced, like the managing of it, I guess

515
00:22:47,200 --> 00:22:49,000
Speaker 3: they're comfortable to talk about it because I always think

516
00:22:49,000 --> 00:22:51,640
Speaker 3: when there's an event and there's celebrities involved, people are

517
00:22:51,640 --> 00:22:55,080
Speaker 3: like very sketchy, not sketchy, but just delicate and how

518
00:22:55,080 --> 00:22:55,800
Speaker 3: they manage it.

519
00:22:56,040 --> 00:22:57,960
Speaker 1: Yeah, I think this is different because the celebrities are

520
00:22:58,000 --> 00:22:59,840
Speaker 1: here and part of you know, the free ticket is

521
00:22:59,880 --> 00:23:02,920
Speaker 1: the they kind of agree to you know, the TV

522
00:23:03,000 --> 00:23:05,439
Speaker 1: knows where they are, the jump, the jumbo tron literally

523
00:23:05,480 --> 00:23:07,760
Speaker 1: scants them the change of bends and they'll like, you know,

524
00:23:07,880 --> 00:23:09,800
Speaker 1: Tay Diggs, I think was he last night and he

525
00:23:10,160 --> 00:23:13,720
Speaker 1: gave the camera away like you know, it's all quick

526
00:23:13,760 --> 00:23:14,800
Speaker 1: pro quo a little bit.

527
00:23:14,920 --> 00:23:16,040
Speaker 3: Yeah, it is very much.

528
00:23:16,240 --> 00:23:19,240
Speaker 4: I wonder if there are also like celebrities incognito who

529
00:23:19,280 --> 00:23:21,240
Speaker 4: don't want to be seen, They want to come here

530
00:23:21,440 --> 00:23:23,200
Speaker 4: and they just want to watch tennis and not be Bob.

531
00:23:23,280 --> 00:23:26,280
Speaker 1: That would be Leonardo DiCaprio, who always tries to hide.

532
00:23:26,680 --> 00:23:26,880
Speaker 5: Yeah.

533
00:23:26,920 --> 00:23:28,679
Speaker 1: We saw him last year for Yet, which sweet he

534
00:23:28,720 --> 00:23:30,119
Speaker 1: was in, but he was wearing a mask and then

535
00:23:30,119 --> 00:23:31,479
Speaker 1: he eventually took it up.

536
00:23:31,640 --> 00:23:34,639
Speaker 4: I think there's a picture that he's actually I'm like,

537
00:23:34,680 --> 00:23:36,000
Speaker 4: and I was looking at the picture of like, where

538
00:23:36,040 --> 00:23:36,840
Speaker 4: is he in this picture?

539
00:23:37,000 --> 00:23:37,320
Speaker 1: Actually?

540
00:23:37,400 --> 00:23:37,760
Speaker 4: Look at that?

541
00:23:37,800 --> 00:23:39,560
Speaker 1: Do you see that he actually is in this picture?

542
00:23:42,320 --> 00:23:45,480
Speaker 4: Zach Brath? But I don't see Leonardo. Oh there he is. Yeah,

543
00:23:45,560 --> 00:23:46,680
Speaker 4: his hands in front of his face.

544
00:23:46,720 --> 00:23:48,520
Speaker 1: He's a little bit inno.

545
00:23:48,640 --> 00:23:50,720
Speaker 4: Yeah, he just wants to watch him. You know. He

546
00:23:50,720 --> 00:23:52,680
Speaker 4: could do that though not in the Celebt box.

547
00:23:52,520 --> 00:23:54,439
Speaker 1: Right, Yes, he could do it in the stands, and

548
00:23:54,480 --> 00:23:55,640
Speaker 1: then nobody would.

549
00:23:55,440 --> 00:23:59,360
Speaker 4: Know until until you're like the person sitting right next

550
00:23:59,400 --> 00:23:59,760
Speaker 4: to him.

551
00:23:59,680 --> 00:24:01,440
Speaker 3: Until you're like, yeah, you're next to him, and you're like,

552
00:24:01,480 --> 00:24:04,280
Speaker 3: what's going on with that? Jillian Tan, thank you so much.

553
00:24:04,400 --> 00:24:06,000
Speaker 3: Really love it. This is so much fun. She is

554
00:24:06,000 --> 00:24:08,800
Speaker 3: our senior reporter at Bloomberg News. Check out our story

555
00:24:08,840 --> 00:24:11,199
Speaker 3: on the Bloomberg and at Bloomberg dot com. We got

556
00:24:11,240 --> 00:24:13,920
Speaker 3: a headline crossing when it comes to Tesla and it's

557
00:24:14,440 --> 00:24:15,679
Speaker 3: robotaxi plans.

558
00:24:15,760 --> 00:24:18,520
Speaker 4: Yeah, the company aims to unveil it's highly anticipated robotaxi

559
00:24:18,520 --> 00:24:21,760
Speaker 4: at an event at Warner Brothers Discovery's movie studio in

560
00:24:21,800 --> 00:24:24,080
Speaker 4: the Los Angeles area. This is according to people familiar

561
00:24:24,440 --> 00:24:27,240
Speaker 4: with the matter. The EV company targeting and reveal of

562
00:24:27,280 --> 00:24:31,760
Speaker 4: the purpose built Robotaxi on October tenth at the Burbank facility,

563
00:24:31,800 --> 00:24:34,000
Speaker 4: the people said, asking not to be identified because the

564
00:24:34,040 --> 00:24:36,800
Speaker 4: information is private. Remember, Carol, this was supposed to happen

565
00:24:36,840 --> 00:24:38,639
Speaker 4: in August. We broke the news a couple months ago

566
00:24:38,680 --> 00:24:41,200
Speaker 4: that it wasn't happening in August, now happening in October.

567
00:24:41,240 --> 00:24:43,800
Speaker 3: The famous Lot, Batman movies, TV show Friends have all

568
00:24:43,840 --> 00:24:46,359
Speaker 3: been filmed there. So we'll see what Elon Musk brings

569
00:24:46,359 --> 00:24:48,720
Speaker 3: to us. All right, you are listening and watching Bloomberg Radio.

570
00:24:50,359 --> 00:24:54,240
Speaker 2: You're listening to the Bloomberg Business Week podcast. Listen live

571
00:24:54,320 --> 00:24:57,480
Speaker 2: each weekday starting in two pm Eastern on applecar Play

572
00:24:57,560 --> 00:25:00,399
Speaker 2: and Androyd Auto with the Bloomberg Business End. You can

573
00:25:00,440 --> 00:25:03,679
Speaker 2: also listen live on Amazon Alexa from our flagship New

574
00:25:03,760 --> 00:25:12,080
Speaker 2: York station. Just say Alexa play Bloomberg eleven thirty buckle.

575
00:25:12,600 --> 00:25:13,280
Speaker 1: A journal.

576
00:25:14,320 --> 00:25:15,280
Speaker 3: How about you let me drive?

577
00:25:15,520 --> 00:25:16,359
Speaker 2: Oh no, no, no no.

578
00:25:16,520 --> 00:25:18,919
Speaker 3: Who's going to honey?

579
00:25:19,119 --> 00:25:19,399
Speaker 4: Please?

580
00:25:19,560 --> 00:25:22,159
Speaker 1: I'll do the travels elease wait, I.

581
00:25:22,240 --> 00:25:22,800
Speaker 3: Want to drive.

582
00:25:22,800 --> 00:25:27,120
Speaker 7: It's a good question that try.

583
00:25:29,760 --> 00:25:29,800
Speaker 5: This.

584
00:25:30,119 --> 00:25:33,280
Speaker 2: Please the drive to the clothes dot conks me think well,

585
00:25:33,320 --> 00:25:36,160
Speaker 2: brother Don on Bloomberg Radio.

586
00:25:38,280 --> 00:25:40,720
Speaker 3: All right, everybody, we are just about twenty minutes away

587
00:25:40,760 --> 00:25:42,800
Speaker 3: from the closing pal getting ready to wrap up the day,

588
00:25:42,920 --> 00:25:45,640
Speaker 3: the week, the month of August and the first week

589
00:25:45,680 --> 00:25:47,200
Speaker 3: of the US Open and the first week of the

590
00:25:47,359 --> 00:25:50,200
Speaker 3: US Open, which is where we find ourselves. So let's

591
00:25:50,200 --> 00:25:51,840
Speaker 3: get to it, because it's been really fun for us

592
00:25:51,880 --> 00:25:55,359
Speaker 3: to have guests who yeah, can talk about the Bloomberg

593
00:25:55,440 --> 00:25:59,240
Speaker 3: world and treating and investing, but also love tennis.

594
00:25:59,440 --> 00:26:01,280
Speaker 4: And one of the guest is here with us right now.

595
00:26:01,400 --> 00:26:03,600
Speaker 4: David Dits. He joins us each and every year from

596
00:26:03,640 --> 00:26:06,520
Speaker 4: the US Open. He's managing principal and senior investment strategist

597
00:26:06,520 --> 00:26:08,840
Speaker 4: that Pee Pack of private wealth management eleven point five

598
00:26:08,880 --> 00:26:12,280
Speaker 4: billion dollars in assets under management. He took a break

599
00:26:13,040 --> 00:26:14,959
Speaker 4: from Arthur ash Stadium where he was watching.

600
00:26:15,000 --> 00:26:17,720
Speaker 3: He gets the award for the day. He gets the award.

601
00:26:17,880 --> 00:26:20,040
Speaker 4: By the way, no doubt Shelton won. The first set,

602
00:26:20,960 --> 00:26:22,639
Speaker 4: is down two to one.

603
00:26:23,040 --> 00:26:26,280
Speaker 3: Okay, So I have the markets up on my screen

604
00:26:26,320 --> 00:26:27,080
Speaker 3: and Tim.

605
00:26:26,960 --> 00:26:29,720
Speaker 4: As the US That's why I'm using your screen for

606
00:26:29,800 --> 00:26:35,760
Speaker 4: the market. Yeah, David, how are you excellent? So happy

607
00:26:35,800 --> 00:26:37,520
Speaker 4: to be out here and great to be with you guys,

608
00:26:37,640 --> 00:26:39,399
Speaker 4: even though you're missing a little bit of tennis, you're

609
00:26:39,400 --> 00:26:40,000
Speaker 4: happy to be here.

610
00:26:40,160 --> 00:26:44,280
Speaker 6: We saw a wonderful match Coco one down the first set,

611
00:26:44,440 --> 00:26:47,520
Speaker 6: came back to win for three sets. We're big Cocoa fans.

612
00:26:47,560 --> 00:26:50,359
Speaker 6: We're big Ben Shelton fans too, so we'll see how

613
00:26:50,400 --> 00:26:50,879
Speaker 6: that works out.

614
00:26:50,960 --> 00:26:52,800
Speaker 4: What happened with her serve at the end of the match,

615
00:26:53,119 --> 00:26:55,560
Speaker 4: those two double faults in a row in matchpoint, you.

616
00:26:55,600 --> 00:26:57,800
Speaker 6: Know, the other night she had nine double faults and

617
00:26:57,880 --> 00:27:01,000
Speaker 6: her server was really struggling with it with her uh,

618
00:27:01,359 --> 00:27:02,359
Speaker 6: and then she practiced a lot.

619
00:27:02,440 --> 00:27:05,080
Speaker 4: She said after her win. I think she did better today.

620
00:27:05,119 --> 00:27:06,399
Speaker 4: She came to when she had to.

621
00:27:07,280 --> 00:27:09,280
Speaker 3: Yeah, sometimes I have, like I guess, a bad day

622
00:27:09,440 --> 00:27:11,520
Speaker 3: or a bad couple of days. But she but she

623
00:27:11,640 --> 00:27:14,040
Speaker 3: definitely rallied and came back in a big way.

624
00:27:14,160 --> 00:27:16,680
Speaker 6: Her opponent was hitting all out. I've never seen just

625
00:27:17,080 --> 00:27:19,560
Speaker 6: hard shots, so I actually think she was lucky to

626
00:27:19,640 --> 00:27:20,280
Speaker 6: pull out the win.

627
00:27:21,240 --> 00:27:24,280
Speaker 4: What good stuff, Ryan, It's been great tennis here.

628
00:27:24,440 --> 00:27:26,600
Speaker 3: You know, we keep asking everybody, right because it's always

629
00:27:26,640 --> 00:27:29,800
Speaker 3: been for so many years about Serena. What what do

630
00:27:29,920 --> 00:27:33,080
Speaker 3: you think, as you know, obviously every sport has different cycles,

631
00:27:33,160 --> 00:27:35,600
Speaker 3: it evolves. Do players come in, How are you thinking

632
00:27:35,640 --> 00:27:37,440
Speaker 3: about kind of some of the younger, newer players.

633
00:27:37,960 --> 00:27:39,920
Speaker 6: Well, I mean, you know, Coco is only twenty, so

634
00:27:40,160 --> 00:27:44,760
Speaker 6: I mean maybe she's got that the next William's sister, right,

635
00:27:45,760 --> 00:27:48,120
Speaker 6: And of course, you know, I think Ben Shelton's only

636
00:27:48,119 --> 00:27:50,560
Speaker 6: about twenty one years old too. So we've got some

637
00:27:50,720 --> 00:27:52,920
Speaker 6: young and up and coming stars and it just takes

638
00:27:52,960 --> 00:27:56,240
Speaker 6: a couple to reignite the spirit that we saw with

639
00:27:56,359 --> 00:27:59,000
Speaker 6: the Williams here in tennis, of course, with Tiger over

640
00:27:59,119 --> 00:28:00,560
Speaker 6: and golf. So that's what we're hoping for.

641
00:28:00,960 --> 00:28:02,200
Speaker 4: I think it's happening already.

642
00:28:02,440 --> 00:28:04,840
Speaker 3: I really think you're right, you get this better than

643
00:28:04,880 --> 00:28:05,040
Speaker 3: I do.

644
00:28:05,320 --> 00:28:07,080
Speaker 4: It just feels like it, I mean, with this with

645
00:28:07,240 --> 00:28:09,840
Speaker 4: these you know, for men's tennis, the Americans have been

646
00:28:10,320 --> 00:28:12,320
Speaker 4: absent from it for such a long period of time,

647
00:28:12,720 --> 00:28:14,520
Speaker 4: and to have a couple of Americans who are so

648
00:28:14,720 --> 00:28:16,520
Speaker 4: strong right now is big. On the men's side, the

649
00:28:16,560 --> 00:28:18,640
Speaker 4: women's side, I feel like never took a break after

650
00:28:18,800 --> 00:28:20,680
Speaker 4: after Serena. Coco was there.

651
00:28:20,800 --> 00:28:23,320
Speaker 6: Yeah, the men do need to pick up the pace.

652
00:28:23,359 --> 00:28:25,600
Speaker 6: The last time a man won here from the United

653
00:28:25,640 --> 00:28:27,240
Speaker 6: States is twenty one years ago.

654
00:28:27,520 --> 00:28:29,239
Speaker 4: Wow, And so we need to get back on our

655
00:28:29,280 --> 00:28:32,800
Speaker 4: horse honor those days of you know, Michael Chang, Jim Currier,

656
00:28:33,000 --> 00:28:36,520
Speaker 4: Andre Agassi, Pete Sampras. That was an era for a

657
00:28:36,600 --> 00:28:37,000
Speaker 4: while there.

658
00:28:37,040 --> 00:28:39,160
Speaker 6: We won eight out of eleven years, and now we've

659
00:28:39,160 --> 00:28:42,000
Speaker 6: had this dry spell. So let's hope for the some

660
00:28:42,080 --> 00:28:42,840
Speaker 6: of these younger guys.

661
00:28:42,920 --> 00:28:45,960
Speaker 3: Matt can row Connor, I'm going way.

662
00:28:45,920 --> 00:28:50,720
Speaker 4: Back, just saying we talk markets a little bit.

663
00:28:50,920 --> 00:28:54,240
Speaker 3: Let's go back. Yeah, let's let's talk markets. It's interesting,

664
00:28:54,240 --> 00:28:55,920
Speaker 3: it's mellow today. I'm not surprised right ahead of the

665
00:28:56,000 --> 00:29:01,360
Speaker 3: Labor Day holiday. I don't know this market feel okay

666
00:29:01,520 --> 00:29:04,080
Speaker 3: to you. Do you feel like it's going to push lower,

667
00:29:04,200 --> 00:29:07,120
Speaker 3: push higher, or mark time maybe until we get through

668
00:29:07,120 --> 00:29:09,960
Speaker 3: the election or through the first FED meeting.

669
00:29:10,360 --> 00:29:12,840
Speaker 6: Well, I mean, you know, in the beginning of the month,

670
00:29:12,920 --> 00:29:15,120
Speaker 6: of course, we had that three percent sell off, Japan

671
00:29:15,280 --> 00:29:16,240
Speaker 6: fell twelve percent.

672
00:29:16,960 --> 00:29:18,160
Speaker 4: Some people really panic.

673
00:29:18,400 --> 00:29:21,160
Speaker 3: There is a big People were saying, what we need

674
00:29:21,240 --> 00:29:25,480
Speaker 3: emergency rate moves, several of them fifty whatever, seventy five

675
00:29:25,520 --> 00:29:26,280
Speaker 3: bases points.

676
00:29:26,760 --> 00:29:28,120
Speaker 4: People were ready to jump off buildings.

677
00:29:28,200 --> 00:29:31,719
Speaker 6: That was crazy, And now even the Nasdaq may end

678
00:29:31,840 --> 00:29:34,480
Speaker 6: up August in the green, definitely the S and P

679
00:29:34,640 --> 00:29:36,760
Speaker 6: in the Dow. So it's like a whole different end

680
00:29:36,800 --> 00:29:37,400
Speaker 6: of the month here.

681
00:29:37,880 --> 00:29:39,520
Speaker 3: But how do you make sense of that? That's a

682
00:29:39,600 --> 00:29:40,760
Speaker 3: big swinging sentiment.

683
00:29:41,320 --> 00:29:44,080
Speaker 6: Yeah, so you know, I think I think the number

684
00:29:44,120 --> 00:29:49,280
Speaker 6: one thing is basically jerm Pile put his pull in

685
00:29:49,320 --> 00:29:52,640
Speaker 6: the sand, said, mission accomplished on inflation. We're focused on

686
00:29:52,760 --> 00:29:56,720
Speaker 6: the labor market, We're focused on growth. Time is here

687
00:29:57,000 --> 00:29:59,920
Speaker 6: for a rate cut? And I'm looking at it. I'm saying, well,

688
00:30:00,240 --> 00:30:03,720
Speaker 6: you know, okay, we're still have positive job creation. Earning

689
00:30:03,800 --> 00:30:07,080
Speaker 6: should be up as much as fourteen percent next year.

690
00:30:07,440 --> 00:30:09,720
Speaker 6: Interest rates are coming down. You're getting less than four

691
00:30:09,760 --> 00:30:10,240
Speaker 6: percent in.

692
00:30:10,280 --> 00:30:10,800
Speaker 4: The ten year.

693
00:30:11,320 --> 00:30:14,120
Speaker 6: Do we need all the physical stimulus? But the fact

694
00:30:14,160 --> 00:30:16,080
Speaker 6: the matter is every day people like me come to

695
00:30:16,120 --> 00:30:17,800
Speaker 6: the office say what can I get on the ten

696
00:30:17,880 --> 00:30:20,160
Speaker 6: year treasury? What can I get in the market? And

697
00:30:20,360 --> 00:30:22,200
Speaker 6: is that those interests rates to go down? You're going

698
00:30:22,280 --> 00:30:23,920
Speaker 6: to be pushing into the market, and of course you've

699
00:30:23,920 --> 00:30:25,280
Speaker 6: got positive growth with earnings.

700
00:30:25,560 --> 00:30:28,800
Speaker 4: So is that where the trillions of dollars on the

701
00:30:28,880 --> 00:30:31,200
Speaker 4: sidelines in money markets.

702
00:30:30,880 --> 00:30:33,840
Speaker 6: Go well, you know they talk about six billion in

703
00:30:33,960 --> 00:30:37,240
Speaker 6: money market funds that you know, six trillion, six trillion exactly,

704
00:30:37,800 --> 00:30:39,840
Speaker 6: And of course everyone said, what I all.

705
00:30:39,760 --> 00:30:41,920
Speaker 3: Of a sudden dreamed in a big way. Did I

706
00:30:42,000 --> 00:30:44,160
Speaker 3: miss the headline? I know I've had some days off now,

707
00:30:44,280 --> 00:30:44,840
Speaker 3: just kid, it's.

708
00:30:44,720 --> 00:30:45,520
Speaker 4: A fossil situation.

709
00:30:46,200 --> 00:30:49,160
Speaker 6: But seriously, I mean, so people are talking about a

710
00:30:49,200 --> 00:30:51,320
Speaker 6: lot of people have that money in the money markets.

711
00:30:51,360 --> 00:30:54,040
Speaker 6: They're getting five percent. Why take the volatility in all

712
00:30:54,080 --> 00:30:56,400
Speaker 6: the house with the stock and you can get that

713
00:30:56,520 --> 00:30:58,880
Speaker 6: five percent. But now, of course, as interest rates start

714
00:30:58,960 --> 00:31:01,640
Speaker 6: to come down where already say now the two year

715
00:31:01,720 --> 00:31:05,200
Speaker 6: treasury is almost on parody now with the ten year

716
00:31:05,320 --> 00:31:08,360
Speaker 6: under four percent, and so eventually people are going to say, honey,

717
00:31:08,560 --> 00:31:10,320
Speaker 6: I think we have to do something because we can

718
00:31:10,400 --> 00:31:12,400
Speaker 6: no longer get to five percent. Let's get into some

719
00:31:12,480 --> 00:31:15,120
Speaker 6: dividend paying stocks, and I think that could provide a tailwork.

720
00:31:15,240 --> 00:31:17,600
Speaker 6: Having said that that full six troyes will not move

721
00:31:17,640 --> 00:31:19,560
Speaker 6: into stocks, there's a lot of money that will stay

722
00:31:19,560 --> 00:31:20,560
Speaker 6: in money market no matter what.

723
00:31:20,720 --> 00:31:22,480
Speaker 3: Let's talk Let's talk about some stocks that you like.

724
00:31:22,560 --> 00:31:25,120
Speaker 3: Boeing is one. We talked about it a lot, and

725
00:31:25,240 --> 00:31:27,960
Speaker 3: still the woes stocks down almost thirty four percent so

726
00:31:28,040 --> 00:31:29,520
Speaker 3: far this year. I mean, we could go into all

727
00:31:29,560 --> 00:31:34,080
Speaker 3: the problems, but the latest is getting the astronauts, you know,

728
00:31:34,280 --> 00:31:35,920
Speaker 3: back out of the space station.

729
00:31:36,640 --> 00:31:38,040
Speaker 4: They're there till twenty twenty five.

730
00:31:38,280 --> 00:31:40,400
Speaker 3: It was supposed to be. Was it a couple of days?

731
00:31:42,120 --> 00:31:42,880
Speaker 3: Why Boeing.

732
00:31:43,040 --> 00:31:46,720
Speaker 6: Yes, there's a lot of moving pieces here. But you know, basically,

733
00:31:46,840 --> 00:31:50,320
Speaker 6: you've got to doopoly in the world. Practically, between Boeing

734
00:31:50,800 --> 00:31:54,400
Speaker 6: and Airbus, they control practically the whole commercial fleet. And

735
00:31:54,560 --> 00:31:56,080
Speaker 6: one thing we know is going to happen over the

736
00:31:56,160 --> 00:31:59,760
Speaker 6: next twenty thirty years is the demand for aviation services

737
00:32:00,160 --> 00:32:03,280
Speaker 6: is going to outpace GDP. And really, you got that duopoly,

738
00:32:03,400 --> 00:32:05,440
Speaker 6: so you got one or the other. What I keep

739
00:32:05,520 --> 00:32:09,320
Speaker 6: looking at is the orders that Boeing has over five

740
00:32:09,480 --> 00:32:12,680
Speaker 6: hundred billion dollars of orders that show's confidence among the

741
00:32:12,760 --> 00:32:13,480
Speaker 6: world to airlines.

742
00:32:13,600 --> 00:32:16,240
Speaker 3: Is the confidence or those orders have already been placed there?

743
00:32:16,480 --> 00:32:16,640
Speaker 1: You know?

744
00:32:17,040 --> 00:32:20,480
Speaker 3: My understanding is Airbus can't come in the end of

745
00:32:20,480 --> 00:32:23,320
Speaker 3: the day. People can't say I understand that, But I

746
00:32:23,440 --> 00:32:25,800
Speaker 3: wonder about new orders. Is Boeing gonna have some problems

747
00:32:25,840 --> 00:32:26,360
Speaker 3: down the road?

748
00:32:26,960 --> 00:32:28,240
Speaker 4: Well, again, more problems.

749
00:32:28,360 --> 00:32:31,360
Speaker 6: The demand for aviation is there if they just fulfill

750
00:32:31,480 --> 00:32:33,440
Speaker 6: the existing orders or in good shape. And the question

751
00:32:33,520 --> 00:32:36,080
Speaker 6: is where else do you go? Okay, Boeing has had

752
00:32:36,240 --> 00:32:38,560
Speaker 6: safety problems, no question about it. But does that mean

753
00:32:38,600 --> 00:32:41,040
Speaker 6: you go with a lesser light, a lesser name outside

754
00:32:41,120 --> 00:32:45,160
Speaker 6: this country, Like you.

755
00:32:45,160 --> 00:32:48,040
Speaker 4: Don't mean Pardier for example, put but they don't even

756
00:32:48,120 --> 00:32:51,000
Speaker 4: have a plane that matches at seven thirty seven or

757
00:32:51,040 --> 00:32:53,120
Speaker 4: an A three twenty. I mean that that narrow body

758
00:32:53,200 --> 00:32:54,600
Speaker 4: market is dominated by airplay.

759
00:32:54,680 --> 00:32:58,880
Speaker 6: So we've got new management over at Boeing and to

760
00:32:59,000 --> 00:33:01,320
Speaker 6: satisfy the FAA on the safety issues, and you've got

761
00:33:01,400 --> 00:33:03,120
Speaker 6: to get that production up in your good shape.

762
00:33:03,200 --> 00:33:07,440
Speaker 3: Thirty seconds you talk new management Intel, you like news today,

763
00:33:07,560 --> 00:33:10,200
Speaker 3: maybe splitting off its foundry. They're working with their bankers

764
00:33:10,240 --> 00:33:12,120
Speaker 3: to kind of figure out what's next. Maybe it needs

765
00:33:12,200 --> 00:33:14,480
Speaker 3: new management. What do you like about this company? You

766
00:33:14,520 --> 00:33:15,960
Speaker 3: gotta be quick about twenty five seconds?

767
00:33:16,120 --> 00:33:18,520
Speaker 6: Yeah, absolutely, So it's still number one in terms of

768
00:33:18,640 --> 00:33:22,840
Speaker 6: chips for PCs and servers right. Also, it's almost like

769
00:33:22,920 --> 00:33:26,360
Speaker 6: an US institution for national security. We want to bring

770
00:33:26,440 --> 00:33:29,800
Speaker 6: production here. To not support Intel in his time of

771
00:33:29,880 --> 00:33:31,920
Speaker 6: need by the US government would be the wrong thing.

772
00:33:32,480 --> 00:33:35,280
Speaker 6: They're getting serious. The stockers down sixty percent of the date,

773
00:33:35,320 --> 00:33:37,160
Speaker 6: They're down twenty eight percent this month. They're up about

774
00:33:37,240 --> 00:33:40,160
Speaker 6: nine percent today on news that they're getting serious about

775
00:33:40,200 --> 00:33:43,080
Speaker 6: perhaps splitting apart, the company backing off some of the

776
00:33:43,120 --> 00:33:46,880
Speaker 6: capital expenditures, getting back on track, the American government fully

777
00:33:46,920 --> 00:33:47,280
Speaker 6: behind them.

778
00:33:47,320 --> 00:33:48,680
Speaker 3: We got to run. I have a great weekend.

779
00:33:48,800 --> 00:33:49,000
Speaker 6: Thank you.

780
00:33:49,240 --> 00:33:52,800
Speaker 3: David Dee's over at Peapac Private Wealth Management. This is Bloomberg.

781
00:33:53,400 --> 00:33:58,000
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782
00:33:58,200 --> 00:34:01,880
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783
00:34:01,920 --> 00:34:05,360
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784
00:34:05,600 --> 00:34:08,879
Speaker 2: the iHeartRadio app, tune In, and the Bloomberg Business App.

785
00:34:08,960 --> 00:34:11,880
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786
00:34:12,160 --> 00:34:14,120
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