WEBVTT - Santos, Powell, and Obesity Drugs 0:00:00.120 --> 0:00:04.360 Bloomberg is now on your dashboard with Apple CarPlay and 0:00:04.360 --> 0:00:08.160 Android Auto. It gives you access to every Bloomberg podcast, 0:00:08.280 --> 0:00:11.560 live audio feeds from Bloomberg Radio, print stories from Bloomberg 0:00:11.640 --> 0:00:14.920 News in audio form, and the latest headlines of the 0:00:14.920 --> 0:00:18.600 click of a button with Bloomberg News. Now it's free 0:00:18.680 --> 0:00:21.439 with the latest version of the Bloomberg Business App. That's 0:00:21.680 --> 0:00:24.400 the Bloomberg Business App. Get it on your phone in 0:00:24.440 --> 0:00:27.760 the Apple App Store or on Google Play. Just download 0:00:27.800 --> 0:00:30.560 the app, connect your phone to your car and get started. 0:00:30.960 --> 0:00:34.400 And it's all presented by our sponsor, Interactive Brokers. 0:00:35.400 --> 0:00:38.600 Welcome to the Bloomberg Markets Podcast. I'm Paul Sweeney. Alongside 0:00:38.640 --> 0:00:39.800 my co host Matt Miller. 0:00:40.200 --> 0:00:44.279 Every business day we bring you interviews from CEOs, market pros, 0:00:44.320 --> 0:00:48.160 and Bloomberg experts, along with essential market moven News. 0:00:48.720 --> 0:00:51.839 I'm the Bloomberg Markets podcast called Apple Podcasts or wherever 0:00:51.960 --> 0:00:54.560 you listen to podcasts, and at Bloomberg dot com Slash 0:00:54.600 --> 0:00:58.760 podcast times for New York get the latest thinking on boys. 0:00:58.800 --> 0:01:02.120 What's been just at work day in the House of Representatives, 0:01:03.440 --> 0:01:05.479 you know, congress Woman, thank you so much for joining 0:01:05.520 --> 0:01:07.480 us here. Can you help put in context what happened 0:01:07.480 --> 0:01:08.479 on the House floor today. 0:01:09.640 --> 0:01:13.040 Yeah, so we got the two thirds vote to remove 0:01:13.160 --> 0:01:18.160 George Santos. We've expelled him, and it was Look, it 0:01:18.200 --> 0:01:20.319 was a solemn day. I mean, he deserved it. He 0:01:20.360 --> 0:01:22.560 deserved to be removed. I voted for the expulsion. But 0:01:22.640 --> 0:01:25.039 the end of the day is it is a sad 0:01:25.680 --> 0:01:29.319 stain on the institution and it was important that we 0:01:29.440 --> 0:01:34.120 had to remove him so his constituents can elect somebody new, 0:01:34.240 --> 0:01:37.280 somebody they can trust and have a relationship with. The 0:01:37.319 --> 0:01:41.280 reality is George Santos had lost the trust of his colleagues, 0:01:41.480 --> 0:01:44.279 his constituents. And the bottom line here is we asked 0:01:44.280 --> 0:01:46.600 the Ethics Committee at the beginning of this year to 0:01:46.680 --> 0:01:51.080 do a thorough investigation, and they had issued thirty eight 0:01:51.120 --> 0:01:56.480 different subpoenas, interviewed forty individual witnesses, They reviewed one hundred 0:01:56.520 --> 0:01:59.559 and seventy thousand pages of documents, and they were able 0:01:59.600 --> 0:02:03.920 to produce use the evidence to the members that warrants 0:02:04.040 --> 0:02:08.799 his expulsion. I mean, he used campaign money on everything 0:02:08.840 --> 0:02:13.720 from luxury items to botox. He even created fictitious loans 0:02:14.240 --> 0:02:19.680 and then he used campaign donors money to reimburse himself 0:02:19.680 --> 0:02:23.799 to those fictitious loans. We even had a colleague, Max Miller, 0:02:23.840 --> 0:02:26.240 one of our colleagues here in Congress, who said that 0:02:26.280 --> 0:02:29.160 he even used his and his mother's credit card to 0:02:29.320 --> 0:02:35.880 make unapproved purchases or donations. And so it is really 0:02:35.960 --> 0:02:39.240 troubling and disturbing that we had this con artist sitting 0:02:39.280 --> 0:02:42.160 in Congress with us, and quite frankly, it's been a 0:02:42.200 --> 0:02:47.040 distraction this entire year. So I'm relieved to see that 0:02:47.120 --> 0:02:49.639 he will no longer be in this institution. And I'm 0:02:49.680 --> 0:02:52.679 hopeful that we will have a special election very soon. 0:02:52.680 --> 0:02:54.120 As you know, the governor does need to call a 0:02:54.120 --> 0:02:57.880 special election within ten days, and the people of the 0:02:57.919 --> 0:03:00.560 third Congressional District in New York, which is a piece 0:03:00.560 --> 0:03:03.600 of Queens and Nassau County, will be able to elect 0:03:03.639 --> 0:03:04.600 someone that they can trust. 0:03:04.919 --> 0:03:08.120 Yeah, Congressman, maybe if you can just elaborate there, tell us, 0:03:08.280 --> 0:03:10.600 you know, what is a special election, How does that 0:03:10.639 --> 0:03:13.600 play out from here? What kind of timeline, who would 0:03:13.720 --> 0:03:16.440 you know elect that kind of a person. Just give 0:03:16.480 --> 0:03:17.760 us a little bit of the lay of the land, 0:03:17.919 --> 0:03:19.480 how we proceed from here. 0:03:20.320 --> 0:03:24.200 But following expulsion, there will be a formal notification to 0:03:24.240 --> 0:03:26.360 the Governor of the State of New York. The governor 0:03:26.360 --> 0:03:29.360 then has ten days to call a set special election, 0:03:30.560 --> 0:03:34.239 and then it would most likely be in February, and 0:03:35.400 --> 0:03:38.400 at that point the people of New York's third district 0:03:38.440 --> 0:03:41.560 will be able to elect someone new and that's how 0:03:41.600 --> 0:03:43.760 the process will play out. So we will that seat 0:03:43.800 --> 0:03:45.920 will be vacant for a couple of months. 0:03:46.760 --> 0:03:51.160 So Congresswoman, will this help or hinder the GOP in 0:03:51.240 --> 0:03:52.240 terms of keeping the House? 0:03:54.520 --> 0:03:56.760 Well, I don't think that we could have based our 0:03:56.800 --> 0:03:58.960 decision on that. We have to do what is right 0:03:59.000 --> 0:04:02.640 in this case to be removed. But what I do 0:04:02.720 --> 0:04:06.240 believe is that the Nasau County organization, led by Chairman 0:04:06.320 --> 0:04:08.400 Joe Cairo, is one of the best in the country, 0:04:08.760 --> 0:04:11.640 and they have flipped because, by the way, not just 0:04:11.640 --> 0:04:13.440 because they're the best in the country, but because the 0:04:13.440 --> 0:04:16.720 Democrats policies in New York are just so ridiculous. Right, 0:04:16.720 --> 0:04:20.839 They've created a crisis, whether it's public safety, migrant crisis, 0:04:21.200 --> 0:04:24.560 the Democrats policies have done that. And because of that 0:04:24.680 --> 0:04:28.719 messaging that Republicans are right they write on policy, they've 0:04:28.720 --> 0:04:31.320 been able to flip not just these congressional seats, but 0:04:31.320 --> 0:04:33.760 they've been able to flip the county executive. You have 0:04:33.800 --> 0:04:36.239 Bruce Blakeman there is doing a great job. You also 0:04:36.320 --> 0:04:40.800 have a Republican district attorney now county legislature. They were 0:04:40.800 --> 0:04:44.280 able to flip all of that because not only are 0:04:44.279 --> 0:04:46.640 they a strong organization, but because the Democrats in New 0:04:46.720 --> 0:04:49.080 York have done such a bad job and are driving 0:04:49.120 --> 0:04:51.359 the city in the state into the ground. So with 0:04:51.520 --> 0:04:55.040 that said, I still believe that Republicans can hold onto 0:04:55.040 --> 0:04:57.760 that seat in a special election. But at the end 0:04:57.800 --> 0:04:59.960 of the day, it's up to the voters. The voters 0:05:00.080 --> 0:05:03.000 get to choose who they want. The bigger challenge for 0:05:03.120 --> 0:05:07.120 Republicans is that our governor is trying to redraw congressional 0:05:07.120 --> 0:05:10.520 maps again. She is trying to tilt the scale once 0:05:10.560 --> 0:05:13.400 again after we had an independent master last year draw 0:05:13.560 --> 0:05:15.760 our maps and we won these four seats. So that 0:05:16.240 --> 0:05:19.360 that corrupt activity that we're seeing from the Democrats trying 0:05:19.360 --> 0:05:22.159 to tilt the scale with and redraw these maps to 0:05:22.160 --> 0:05:25.640 give themselves an advantage is more what jeopardizes the Republican 0:05:25.680 --> 0:05:26.679 majority in Washington. 0:05:27.480 --> 0:05:29.920 Does do you have a candidate that you would like 0:05:30.160 --> 0:05:31.080 to see run. 0:05:32.120 --> 0:05:34.200 I do not have a candidate that is for the 0:05:34.240 --> 0:05:37.800 county organizations to determine. Hopefully they're going to be doing 0:05:37.800 --> 0:05:40.000 their due diligence now, and I know that they will. 0:05:40.000 --> 0:05:42.080 They'll be making sure that they have background checks and 0:05:42.160 --> 0:05:43.040 that they're going. 0:05:42.839 --> 0:05:45.160 Well, well, they don't have the greatest track record, let's 0:05:45.160 --> 0:05:45.440 be honest. 0:05:45.440 --> 0:05:47.360 Well that's why I'm saying. That's exactly what I'm saying. 0:05:47.400 --> 0:05:49.400 We've gotten their word now that they will be doing that, 0:05:50.200 --> 0:05:53.440 and so we could prevent this in the future. But look, 0:05:53.720 --> 0:05:57.919 I think it is it is important for people to 0:05:58.000 --> 0:06:01.280 understand that whether it's a Republican or Democrat, we needed 0:06:01.279 --> 0:06:04.200 to move to do this. The last five expulsions. By 0:06:04.240 --> 0:06:07.800 the way, we're all Democrats in our history. The first 0:06:07.800 --> 0:06:10.040 time a Republican has been expelled from the House of 0:06:10.080 --> 0:06:12.159 Representatives in the history of the United States. 0:06:12.480 --> 0:06:13.279 Equal opportunity. 0:06:13.279 --> 0:06:16.960 I guess so, congress Woman. You did list a whole 0:06:17.000 --> 0:06:20.640 bit of evidence that the Ethics Committee had compiled in 0:06:20.720 --> 0:06:24.360 supporting the expulsion of George Santos, But a lot of 0:06:24.400 --> 0:06:28.200 what the House members who elected to not expel him, 0:06:28.360 --> 0:06:30.320 what they were hung up upon, was that he wasn't 0:06:30.360 --> 0:06:34.920 actually convicted of anything yet. That is But I mean, 0:06:34.960 --> 0:06:37.440 do you think that this potentially could set a dangerous 0:06:37.480 --> 0:06:40.960 president here that if people's you know, skeletons come out 0:06:41.000 --> 0:06:43.800 of the closet and you know, maybe you just don't 0:06:43.839 --> 0:06:46.520 like how somebody's voted, that their seat could be in jeopardy. 0:06:47.920 --> 0:06:50.200 Well, first of all, he will have his day in 0:06:50.360 --> 0:06:54.000 court as it relates to responding to those twenty three 0:06:54.200 --> 0:06:57.760 criminal charges, and that will determine whether he goes to jail, okay, 0:06:57.839 --> 0:07:01.120 But as it relates to remaining in this is we 0:07:01.200 --> 0:07:03.560 referred it to the Ethics Committee and they did their 0:07:04.520 --> 0:07:07.320 they did their investigation where was able to produce the 0:07:07.480 --> 0:07:11.320 evidence that showed that he took from his campaign donations 0:07:11.680 --> 0:07:15.480 and used them for personal gain and enrichment and that 0:07:15.600 --> 0:07:19.200 was just inappropriate and warrants his removal from the institution. 0:07:19.960 --> 0:07:22.240 Congress Woman, as I understand that the Republicans have a 0:07:22.320 --> 0:07:24.600 four seat majority in the House, so that will go 0:07:24.720 --> 0:07:29.880 to three practically, what does that mean for getting legislation through? 0:07:29.920 --> 0:07:33.200 From your perspective, Look, whether it was four or three, 0:07:33.280 --> 0:07:35.640 it was still difficult, right, I mean, it is not 0:07:35.840 --> 0:07:39.680 easy when you have such a slim majority. We're trying to, 0:07:40.280 --> 0:07:42.840 you know, reconcile the differences and see where we can 0:07:42.880 --> 0:07:46.000 find that common ground to move things forward. Despite having 0:07:46.240 --> 0:07:48.280 the slim majority, we've been able to pass a good 0:07:48.360 --> 0:07:51.960 number of these appropriation bills to fund the government. The 0:07:52.000 --> 0:07:53.800 Senate has done zero, by the way, so they have 0:07:53.840 --> 0:07:56.120 a slim majority there too. I think it's by margin 0:07:56.200 --> 0:08:00.559 of one. So it makes governing difficult, which which really 0:08:00.600 --> 0:08:04.480 actually begs for more bipartisanship. I mean, at the end 0:08:04.520 --> 0:08:08.000 of the day, you know, sometimes the extremes try to 0:08:08.800 --> 0:08:13.040 upset the apple card. We see more bipartisanship, more common 0:08:13.120 --> 0:08:16.880 ground and common sense policy moving forward. And so we 0:08:17.440 --> 0:08:20.720 have to work with what we have and we continue 0:08:20.760 --> 0:08:23.080 to push for the things that we believe in, which is, 0:08:23.080 --> 0:08:25.880 we want secure borders, we want to support our law enforcement. 0:08:25.880 --> 0:08:29.880 We want to address this crisis of energy independence. We 0:08:29.920 --> 0:08:33.520 need more energy production, not less, like the president it says. 0:08:33.559 --> 0:08:37.760 And we need to make sure that we are addressing 0:08:37.760 --> 0:08:40.760 our fiscal issues, and that means we need to spend 0:08:40.840 --> 0:08:42.840 less money and be more responsible. And so that's what 0:08:42.840 --> 0:08:44.800 we're going to continue to push with that agenda, and 0:08:44.840 --> 0:08:47.160 we help some Democrats do join us, because those are 0:08:47.200 --> 0:08:49.120 the right things that the American people want to see. 0:08:49.160 --> 0:08:53.240 They want to see you inflation reduced, energy, affordable borders 0:08:53.240 --> 0:08:55.600 being secured, the migroant crisis ending in New York City. 0:08:55.880 --> 0:08:59.520 It would be great if Senator Schumer passes our legislation 0:08:59.600 --> 0:09:01.880 that would do these things, because we've passed them already 0:09:01.880 --> 0:09:02.440 out of the House. 0:09:02.720 --> 0:09:05.200 Right all right, Congresswoman, thank you so much for joining us. 0:09:05.240 --> 0:09:10.040 Really appreciated. Nicole malliotakas Congresswoman Representatives of the US House 0:09:10.080 --> 0:09:11.840 of Representatives representing New York. 0:09:13.120 --> 0:09:16.520 You're listening to the team. Ken's our live program Bloomberg 0:09:16.559 --> 0:09:19.960 Markets weekdays at ten am Eastern on Bloomberg dot Com, 0:09:20.000 --> 0:09:23.160 the iHeartRadio app, and the Bloomberg Business App, or listen 0:09:23.240 --> 0:09:25.360 on demand wherever you get your podcasts. 0:09:27.640 --> 0:09:29.280 Look at the lay of the land on the markets 0:09:29.320 --> 0:09:32.200 as well as Washington, DC news coming from both places. 0:09:32.320 --> 0:09:35.120 Billy Lipshealty covers of markets for US for Bloomberg News. 0:09:35.480 --> 0:09:38.040 And Joe Matthew, the host of all kinds of stuff 0:09:38.040 --> 0:09:40.000 on radio TV. He's our political go to guy down 0:09:40.000 --> 0:09:43.000 and Washington will tie in with that. George Santos News 0:09:43.000 --> 0:09:44.920 coming out of the House of Representatives. Bailey, let's start 0:09:44.920 --> 0:09:46.199 with you. We've had a little bit of a rally 0:09:46.240 --> 0:09:49.600 here in stocks in the last hour. What's pushing that. 0:09:49.720 --> 0:09:52.360 Yeah, market's picking up the two year yield hitting a 0:09:52.400 --> 0:09:55.600 low of four point five seven percent, lowest since mid June. 0:09:55.600 --> 0:09:58.400 This coming is Powell speaks. The big thing, guys, that 0:09:58.520 --> 0:10:01.640 stands out. Powell a couple of a few weeks ago 0:10:01.720 --> 0:10:05.160 said policy is restrictive. Today he's saying it's well into 0:10:05.240 --> 0:10:08.920 restrictive territory. Investors that I've been talking to, reading between 0:10:08.960 --> 0:10:11.000 the lines, taking that a bit more dubvish than he 0:10:11.080 --> 0:10:14.920 has been, so not completely going full of molly, but 0:10:15.080 --> 0:10:18.120 does seem like he's indicating more that maybe we are 0:10:18.160 --> 0:10:21.080 going to see rates peter out and maybe not see 0:10:21.080 --> 0:10:21.480 the master. 0:10:21.640 --> 0:10:23.800 I can't help sometimes but just have to roll my 0:10:23.840 --> 0:10:26.520 eyes as people's like the traders interpretation of the Fed 0:10:26.559 --> 0:10:29.679 speak it's it's mad libs. Well, I we're literally hanging 0:10:29.720 --> 0:10:31.640 on the removal or edition of one word. 0:10:31.720 --> 0:10:33.920 But I will say that Powell has been very clear 0:10:34.080 --> 0:10:37.040 and he's delivered. That's why I think it's interesting that 0:10:37.080 --> 0:10:39.440 the market's right now pricing in five cuts this year, 0:10:39.920 --> 0:10:42.760 when Powell has continued to beat the drum that higher 0:10:42.800 --> 0:10:46.080 for longer is here and they're not considering cuts anytime soon. 0:10:46.440 --> 0:10:48.679 So Joe, We've had an hour here plus to kind 0:10:48.679 --> 0:10:52.960 of digest the news coming out of Washington, DC. Representative 0:10:52.960 --> 0:10:56.120 Santos from New York expelled from the House of Representatives. 0:10:56.720 --> 0:10:58.240 What are you kind of hearing from your sources down 0:10:58.240 --> 0:10:59.920 in DC, you know, in the last hour. 0:10:59.840 --> 0:11:02.400 So well, I find it compelling that a majority of 0:11:02.440 --> 0:11:05.960 Republicans voted to keep him. Yeah, when we spoke earlier, 0:11:05.960 --> 0:11:08.520 I hadn't seen the breakdowns yet, but a majority of 0:11:08.520 --> 0:11:11.800 the Republican conference voted not to expel George Santos. I'm 0:11:11.840 --> 0:11:13.880 not sure what that means for the narrative of this 0:11:13.960 --> 0:11:17.040 is the principled party that did what needed to be done. 0:11:17.320 --> 0:11:21.240 The entire leadership voted to keep him. And look, we 0:11:21.320 --> 0:11:24.600 got through this before a little bit. Lawmakers see a 0:11:24.640 --> 0:11:27.240 precedent being set here. He's not been convicted of anything. 0:11:27.800 --> 0:11:30.800 While the Ethics Committee did recommend this action and the 0:11:30.920 --> 0:11:34.200 chairman himself brought the resolution, he's not been convicted of 0:11:34.200 --> 0:11:37.400 anything technically, and that makes other lawmakers a little uncomfortable 0:11:37.440 --> 0:11:39.640 knowing they could maybe be in the same position someday. 0:11:39.800 --> 0:11:42.520 I mean, we did kid before that. Perhaps George Santos's 0:11:42.559 --> 0:11:44.760 next big appearance could be dancing with the stars, but 0:11:44.840 --> 0:11:49.200 it's very likely that he probably prison is probably the 0:11:49.280 --> 0:11:49.679 next up. 0:11:49.800 --> 0:11:51.600 Who knows that he's got He's got to go through 0:11:51.600 --> 0:11:54.440 his trial here. But there are a lot of folks 0:11:54.520 --> 0:11:58.360 speculating on what corner of the entertainment world might be 0:11:58.360 --> 0:12:00.800 a home in the meantime for George Sands, because look, 0:12:00.840 --> 0:12:03.160 he's not going to go quietly. He's already, by the 0:12:03.200 --> 0:12:05.000 way on his way out, put up a resolution to 0:12:05.240 --> 0:12:08.040 expel Jamal Bowman, and he says he's going to take 0:12:08.080 --> 0:12:10.120 as many other lawmakers down with him as he can. 0:12:10.240 --> 0:12:12.960 So we'll be hearing from George stands Joe. 0:12:13.000 --> 0:12:14.880 I mean, the Republicans in the House only had a 0:12:14.880 --> 0:12:18.520 four seat majority as it was thin as it was 0:12:18.600 --> 0:12:21.320 now it's even thinner. Does that practically day to day 0:12:22.080 --> 0:12:25.720 going to impact their ability to drive their agenda? 0:12:25.920 --> 0:12:26.560 Not going to help? 0:12:27.280 --> 0:12:29.160 To hear Speaker Johnson say, the whole number of the 0:12:29.160 --> 0:12:32.960 House is now four to thirty four. We just, by 0:12:33.040 --> 0:12:35.400 the way, got to four thirty five for the first 0:12:35.400 --> 0:12:38.120 time in quite a while. Last week a Republican won 0:12:38.160 --> 0:12:40.800 a seat in Utah that brought us back to quorum. 0:12:41.120 --> 0:12:42.840 So now that this has happened, we're just kind of 0:12:42.840 --> 0:12:44.600 back to where we were a couple of weeks ago. 0:12:45.280 --> 0:12:48.000 The fact is, I mean, four seats is nothing, and 0:12:48.040 --> 0:12:50.640 this technically doesn't make much of a difference between it's 0:12:50.720 --> 0:12:52.400 really it's barely a majority. 0:12:52.640 --> 0:12:55.240 Just to come back to the mad libs discussion aka 0:12:55.280 --> 0:12:59.000 interpreting Fed speak, Bailey, So you know, we had Vince 0:12:59.000 --> 0:13:02.080 Agnerella on before on our chief macro strategist here at Bloomberg, 0:13:02.120 --> 0:13:04.400 and he was saying to us that what traders were 0:13:04.440 --> 0:13:07.680 also really hanging on to was this word if in 0:13:07.720 --> 0:13:10.960 the Powell statement. So the full sentence, to take the 0:13:11.000 --> 0:13:14.080 full context here is that Powl said we are prepared 0:13:14.120 --> 0:13:18.160 to tighten policy further if it becomes appropriate to do so. 0:13:18.400 --> 0:13:20.320 That another word that your traders getting hut. 0:13:20.240 --> 0:13:23.000 Up on that is one. But I will say it's 0:13:23.040 --> 0:13:26.480 been well kind of expected that the FED is done, 0:13:26.520 --> 0:13:30.240 and we've seen rates implying that. So I think to 0:13:30.280 --> 0:13:32.000 your point and kind of Vince calling it out that 0:13:32.360 --> 0:13:36.680 if we're not a big if, but they're they're. 0:13:36.480 --> 0:13:39.559 Done, condicate the optionality exactly. And that's the big thing. 0:13:39.600 --> 0:13:41.880 And that's what Powell's messaging from the start has been 0:13:42.200 --> 0:13:44.640 is keeping all doors open and not really trying to 0:13:44.720 --> 0:13:46.920 cheer on the market and just calling out right now 0:13:46.960 --> 0:13:51.040 a two year on pace four its largest drop since 0:13:51.200 --> 0:13:53.079 on a weekly basis since mid March. 0:13:53.200 --> 0:13:56.760 So he just remind us, Joe, kind of how the 0:13:56.760 --> 0:13:58.600 next steps are going to work here in terms of 0:13:58.679 --> 0:14:01.640 I guess calling for special election and all that. It 0:14:01.679 --> 0:14:03.080 happens pretty quickly, right. 0:14:02.960 --> 0:14:06.280 Yeah, this is going to be up to Kathy Hokel. 0:14:07.120 --> 0:14:09.960 There will be a special election. She's got if I 0:14:09.960 --> 0:14:12.680 remember correctly here, it's ten days after the ouster to 0:14:12.760 --> 0:14:14.959 announce the election, and then it'll have to be held 0:14:14.960 --> 0:14:17.880 within seventy to eighty days. So we'll go through this, 0:14:17.920 --> 0:14:19.080 but then we have to go through it all over 0:14:19.080 --> 0:14:21.240 again with the real election. And you know Democrats are 0:14:21.280 --> 0:14:23.000 determined to flip this seat. They think they have the 0:14:23.080 --> 0:14:25.960 votes to do it. You know, you're going to see 0:14:25.960 --> 0:14:28.480 a Swazi campaign that could do very well in that area. 0:14:28.840 --> 0:14:30.640 But Kathy Hockle will make the first move here and 0:14:30.640 --> 0:14:32.600 I suspect we'll hear from her in the coming days. 0:14:32.680 --> 0:14:35.280 All right, Very good, Joe Matthew, thanks for joining us here. 0:14:35.280 --> 0:14:38.000 A host of sound on that is one p M. 0:14:38.120 --> 0:14:39.120 Wall Street Time. 0:14:39.680 --> 0:14:40.080 Check it out. 0:14:40.120 --> 0:14:42.640 He'll have the latest reporting on what's happening in historic 0:14:42.720 --> 0:14:45.840 day in Washington, DC. And Billy Lipschutz, he covers all 0:14:45.880 --> 0:14:48.720 the markets for Bloomberg News, doing a little roundtable there 0:14:48.760 --> 0:14:50.360 on a very unique. 0:14:50.200 --> 0:14:53.760 Day here in both the jeh you know, hand in hand. 0:14:53.640 --> 0:14:56.520 Go figure. You're listening to the tape. Catch a live 0:14:56.600 --> 0:15:01.040 program Bloomberg Markets weekdays at ten am Eastern on Bloomberg Radio, 0:15:01.200 --> 0:15:03.920 the tune in app, Bloomberg dot Com, and the Bloomberg 0:15:03.960 --> 0:15:07.040 Business App. You can also listen live on Amazon Alexa 0:15:07.120 --> 0:15:10.440 from our flagship New York station Just Say Alexa, playing 0:15:10.520 --> 0:15:13.119 Bloomberg eleven thirty. 0:15:14.160 --> 0:15:17.360 George Hampton Georges. He's the president and CEO of cure 0:15:17.360 --> 0:15:22.680 Ax Pharmaceuticals. He joined us via zoom. George, your company, 0:15:23.000 --> 0:15:26.600 your cure X Pharmaceuticals. You have I Guess, a prescription 0:15:26.680 --> 0:15:29.240 medicine for overweight and abast patients. What is that and 0:15:29.760 --> 0:15:31.720 how is it playing in this market? 0:15:32.920 --> 0:15:36.560 Sure, we have Contrave. Contreve has been on the market 0:15:36.560 --> 0:15:40.000 in the United States is twenty fifteen. It's very different 0:15:40.000 --> 0:15:42.200 from the other products that you just mentioned. It's not 0:15:42.240 --> 0:15:45.360 a GLP one. It's the only oral non DEA control 0:15:45.480 --> 0:15:51.080 medication approved by the FDA for obese and overweight patients. 0:15:51.480 --> 0:15:54.080 And so it's it's been a pretty exciting year. As 0:15:54.080 --> 0:15:57.000 you mentioned, We've got you surges in our business across 0:15:57.040 --> 0:15:59.760 not just the United States, but across Europe and in 0:16:00.160 --> 0:16:02.520 all forty eight markets that we're currently operating. 0:16:02.760 --> 0:16:05.920 So something Georgia, Paul and I were wondering just as 0:16:05.960 --> 0:16:09.680 you were coming on here, is the obesity crisis in 0:16:09.720 --> 0:16:11.560 America getting any worse? 0:16:11.680 --> 0:16:12.080 Right now? 0:16:12.120 --> 0:16:15.080 Like? Why this year has it been such a breakout 0:16:15.160 --> 0:16:17.600 year for weight loss drugs? And you know, this really 0:16:17.640 --> 0:16:19.680 seemed to be something that was so top of mind 0:16:19.680 --> 0:16:22.520 in the news a couple of years ago. You know, 0:16:22.640 --> 0:16:25.960 is it getting any worse? Is it stabilizing? Like why 0:16:26.000 --> 0:16:28.080 now all this attention on weight loss drugs? 0:16:29.320 --> 0:16:31.320 Well, I think a few things when it was getting 0:16:31.320 --> 0:16:33.280 in a lot of attention a number of years ago, 0:16:33.440 --> 0:16:36.440 and then you know, the pandemic took over as a 0:16:36.520 --> 0:16:39.800 top healthcare news story over the number one epidemic, which. 0:16:39.640 --> 0:16:42.320 Is obesity in the United States. Right And so now. 0:16:42.240 --> 0:16:44.160 We've kind of be able to turn ourselves back to 0:16:44.520 --> 0:16:48.560 you know this this particular situation, obesity is not getting better. 0:16:49.000 --> 0:16:51.280 We are progressing as a society. We have over forty 0:16:51.320 --> 0:16:54.280 three percent of our adult population that's obese, projected to 0:16:54.320 --> 0:16:57.520 be almost fifty percent in the next decade. Our children 0:16:57.560 --> 0:16:59.600 coming behind us are even more obese than we are 0:16:59.800 --> 0:17:02.479 as adults. And so this is we have to intervene. 0:17:03.120 --> 0:17:05.240 And ABC is a you know, kind of a special situation. 0:17:05.440 --> 0:17:08.239 Is it's really the only chronic disease that's reached this 0:17:08.359 --> 0:17:12.399 level without any type of you know, pharmaceutical device or 0:17:12.920 --> 0:17:14.639 service intervention that's that's paid for. 0:17:15.359 --> 0:17:18.720 So but like, hasn't no zempic been in the marketplace 0:17:18.760 --> 0:17:22.080 for a while for and there's been other diabetes pharmaceutical 0:17:22.160 --> 0:17:24.920 solutions in the marketplace. Why are we now saying, hey, 0:17:24.920 --> 0:17:26.840 this can be for weight loss. Wasn't that known for 0:17:26.880 --> 0:17:27.600 a while. 0:17:29.400 --> 0:17:30.800 But I think it was known for a while. Sure, 0:17:30.920 --> 0:17:33.480 you know zepic. Importantly, it doesn't have the indication for 0:17:33.520 --> 0:17:34.000 weight loss. 0:17:34.000 --> 0:17:35.440 It's a sister product, which is. 0:17:35.400 --> 0:17:37.159 The same product at a higher dose, is called wa 0:17:37.200 --> 0:17:41.359 Gobe see commercials for that. Mon Journal from lily Is 0:17:41.359 --> 0:17:45.160 is another another diabete type two diabetes product that will 0:17:45.160 --> 0:17:48.200 also be under zep bound a new name that is 0:17:48.520 --> 0:17:50.680 uh that will be used for for weight loss. But 0:17:50.680 --> 0:17:55.000 they are essentially identical, identical products. We these tools are 0:17:55.000 --> 0:17:57.960 great tools, the g LP ones, you know, with goby 0:17:57.960 --> 0:18:00.000 and and and zep bound they are they're going to 0:18:00.119 --> 0:18:02.879 be great tools that a lot of people will be 0:18:02.920 --> 0:18:05.439 able to lose a significant amount of weight on. And 0:18:05.560 --> 0:18:08.000 they you know, when you get big companies like Novo 0:18:08.240 --> 0:18:10.240 and Lily in the marketplace, they tend to do the 0:18:10.320 --> 0:18:13.439 right thing, right. They tend to bring a great product 0:18:13.440 --> 0:18:16.399 to market and put all the products and services behind 0:18:16.400 --> 0:18:18.600 it to to help help that disease journey. 0:18:18.720 --> 0:18:21.159 So tell us more about what cure Ax offers in 0:18:21.240 --> 0:18:23.639 this space, the drug that you guys have for obesity, 0:18:24.000 --> 0:18:27.720 how somebody can take it, what they should be maybe 0:18:27.760 --> 0:18:30.639 reasonably expecting in terms of the weight loss goals, and 0:18:30.680 --> 0:18:32.920 what the drug can accomplish. 0:18:32.960 --> 0:18:35.960 Sure, so we know the product's been growing, you know, 0:18:36.000 --> 0:18:39.320 significantly over the last decade since it's been launched in 0:18:39.320 --> 0:18:42.640 the United States. We acquired the product in twenty nineteen, 0:18:43.200 --> 0:18:46.080 and we acquired it with a different lens of how 0:18:46.160 --> 0:18:47.880 to grow the product and how to make it available 0:18:47.880 --> 0:18:49.919 to patients. So the first thing we did knowing that 0:18:49.960 --> 0:18:52.280 it was a cash only market, right, so these are 0:18:52.280 --> 0:18:54.800 not covered by private insurance and they're not covered by 0:18:54.840 --> 0:18:56.920 the government yet, although we're I think we're. 0:18:56.720 --> 0:18:58.040 Starting to make some good progress. 0:18:58.840 --> 0:19:02.439 We create a program called Cure Access where any patient 0:19:02.480 --> 0:19:05.920 who's prescribed the product can actually access the product for 0:19:06.160 --> 0:19:07.280 ninety nine dollars and have. 0:19:07.320 --> 0:19:08.520 It shipped directly to their home. 0:19:08.880 --> 0:19:11.800 We put that in place as a bridge to, you know, 0:19:11.840 --> 0:19:14.359 help people start to fight this disease for themselves, until 0:19:14.440 --> 0:19:17.600 such time that that insurance and the government, you know, 0:19:17.640 --> 0:19:21.320 start start covering these products as they as they typically would. 0:19:21.080 --> 0:19:22.280 For all of the chronic diseases. 0:19:22.800 --> 0:19:25.520 We'll do well over five hundred thousand prescriptions this year 0:19:25.600 --> 0:19:28.440 just in the United States, over a million worldwide, and 0:19:28.520 --> 0:19:31.359 as I mentioned, we've got and we've got we're now 0:19:31.359 --> 0:19:33.000 in forty eight countries approved. 0:19:33.000 --> 0:19:34.919 It seems like that could be a huge opportunity for 0:19:35.000 --> 0:19:37.880 you if insurance would cover this kind of a drug. 0:19:37.880 --> 0:19:40.720 I mean, is that something that's likely to happen anytime soon? 0:19:42.119 --> 0:19:44.280 I think so. You know, the tro act, which is 0:19:44.320 --> 0:19:47.080