1 00:00:03,440 --> 00:00:07,000 Speaker 1: Live from the Bloomberg Interactive Brooker Studios is Bloomberg day 2 00:00:07,000 --> 00:00:10,520 Speaker 1: Break for Thursday May twelve two. Coming up this hour, 3 00:00:10,800 --> 00:00:14,600 Speaker 1: the Wall Street sell off spreads overseas global team coverage 4 00:00:14,600 --> 00:00:18,400 Speaker 1: straight ahead. Cryptocurrency has resumed declines as bitcoin nears twenty 5 00:00:18,480 --> 00:00:22,400 Speaker 1: five thousand. Investors await another reading on inflation, and Disney 6 00:00:22,440 --> 00:00:25,560 Speaker 1: shares to drop on the company's growth. Altbook. Governor Murphy 7 00:00:25,600 --> 00:00:29,120 Speaker 1: seeks to require New Jersey insurers to cover abortion costs. 8 00:00:29,160 --> 00:00:31,840 Speaker 1: Plus reactions to the US send its vote to block 9 00:00:31,880 --> 00:00:36,160 Speaker 1: abortion rights like along more ahead, I'm John Stashow. In sports, 10 00:00:36,200 --> 00:00:38,560 Speaker 1: the Rangers survived. They beat the Penguins to force the 11 00:00:38,600 --> 00:00:41,239 Speaker 1: game six in Pittsburgh. The Mets lost another win for 12 00:00:41,280 --> 00:00:47,400 Speaker 1: the Yankees. That's all trained ahead on Bloomberg Daybreak on 13 00:00:47,520 --> 00:00:51,640 Speaker 1: Bloomberg eleven three on New York, Bloomberg nine one, Washington, 14 00:00:51,760 --> 00:00:55,360 Speaker 1: d C, Bloomberg one oh six one, Boston, Bloomberg nine 15 00:00:55,400 --> 00:00:59,240 Speaker 1: sixties and Francisco Sirius x M one nine team and 16 00:00:59,320 --> 00:01:02,040 Speaker 1: around the world Old on Bloomberg Radio dot Com and 17 00:01:02,200 --> 00:01:09,080 Speaker 1: via the Bloomberg Business Oppy. Good morning. I'm Nathan Hagar 18 00:01:09,400 --> 00:01:12,240 Speaker 1: and I'm Karen Moscow, and we're watching US dock index 19 00:01:12,280 --> 00:01:16,000 Speaker 1: futures fall this morning extending yesterday is sell off. We're 20 00:01:16,000 --> 00:01:17,640 Speaker 1: coming up to five oh one on Wall Street, and 21 00:01:17,680 --> 00:01:20,120 Speaker 1: we checked the markets every fifteen minutes throughout the trading day. 22 00:01:20,160 --> 00:01:23,520 Speaker 1: On Bloomberg, SNP Future is down about twenty five points down. 23 00:01:23,600 --> 00:01:26,600 Speaker 1: Future is down a hundred forties six, and NASTAG futures 24 00:01:26,600 --> 00:01:29,400 Speaker 1: down a hundred thirty three. The decks in Germany's down 25 00:01:29,400 --> 00:01:33,279 Speaker 1: two point two percent. The tenure treasury of thirty seconds 26 00:01:33,360 --> 00:01:35,600 Speaker 1: yield two point eight three percent, and they yield on 27 00:01:35,640 --> 00:01:38,880 Speaker 1: the two year two point five seven percent, and NIMEX 28 00:01:38,920 --> 00:01:42,360 Speaker 1: screwed oil is down about two and a half percent. Nathan, Yeah, 29 00:01:42,400 --> 00:01:45,839 Speaker 1: we're going to continue watching this inflation fueled sell off. Karen. 30 00:01:45,880 --> 00:01:48,800 Speaker 1: It's got US stocks beginning this session at their lowest 31 00:01:48,920 --> 00:01:52,400 Speaker 1: level since March of last year. The hotter than expected 32 00:01:52,400 --> 00:01:55,440 Speaker 1: print we got on consumer prices yesterday is sparking fears 33 00:01:55,440 --> 00:01:58,440 Speaker 1: that the Federal Reserve may have to unleash even further 34 00:01:58,560 --> 00:02:02,320 Speaker 1: tightening and that it tipped the economy into recession. Michael 35 00:02:02,400 --> 00:02:05,880 Speaker 1: Darta is chief economist and macro strategist at MKM Partners. 36 00:02:06,560 --> 00:02:09,880 Speaker 1: That's still a major problem for this bond market a 37 00:02:09,960 --> 00:02:13,239 Speaker 1: major problem for this Federal reserve, and as we're seeing 38 00:02:13,360 --> 00:02:16,760 Speaker 1: a major problem for the valuations that support the S 39 00:02:16,800 --> 00:02:20,960 Speaker 1: and P five M CAM Partners Michael Darda says the 40 00:02:21,000 --> 00:02:24,600 Speaker 1: Fed missed the boat on inflation. The tech having NASDAC 41 00:02:24,720 --> 00:02:27,440 Speaker 1: humbled more than three percent yesterday. It's now lost more 42 00:02:27,480 --> 00:02:29,760 Speaker 1: than a quarter of its value so far this year. 43 00:02:29,800 --> 00:02:33,919 Speaker 1: Austin Graph is a portfolio manager at Truemark Investments. You're 44 00:02:33,960 --> 00:02:37,560 Speaker 1: seeing a continuation of kind of what we've seen throughout 45 00:02:37,600 --> 00:02:40,320 Speaker 1: the entire year so far, where you're seeing some of 46 00:02:40,360 --> 00:02:43,120 Speaker 1: the high fliers the last few years and the growth 47 00:02:43,200 --> 00:02:48,000 Speaker 1: names training off Truemark Investments. Austin Graph notes Apple is 48 00:02:48,040 --> 00:02:51,040 Speaker 1: down about twenty percent from its recent high. In fact, 49 00:02:51,040 --> 00:02:53,720 Speaker 1: the iPhone maker has now been surpassed by Saudio Ramco 50 00:02:53,840 --> 00:02:57,519 Speaker 1: as the world's most valuable company. Well, Nathan, yesterday sell 51 00:02:57,560 --> 00:03:00,200 Speaker 1: off is spreading overseas and we begin our Globe bull 52 00:03:00,240 --> 00:03:03,520 Speaker 1: team coverage now with the Bloomberg's You and part Live 53 00:03:03,560 --> 00:03:06,240 Speaker 1: in London. Good morning You, and good morning Karen and Nathan. 54 00:03:06,280 --> 00:03:08,880 Speaker 1: Plenty of read on traders bloom blow screens this morning. 55 00:03:09,000 --> 00:03:12,160 Speaker 1: Europe Investors taking fright at that stubborn US inflation. The 56 00:03:12,200 --> 00:03:16,240 Speaker 1: Stoftie hundred down two point one. Mining stocks the worst 57 00:03:16,240 --> 00:03:19,280 Speaker 1: performing sector, down more than four percent, but real estate 58 00:03:19,320 --> 00:03:21,919 Speaker 1: and carmakers also near the bottom of the table. All 59 00:03:22,080 --> 00:03:25,080 Speaker 1: twenty industry groups lower this morning. As to the markets, 60 00:03:25,120 --> 00:03:27,160 Speaker 1: the foot Sea here in London one of the worst performing, 61 00:03:27,280 --> 00:03:29,880 Speaker 1: down two point three percent. Live in London, I'm you 62 00:03:29,960 --> 00:03:31,919 Speaker 1: and parts in Big Daybreak, May you and thanks. We 63 00:03:31,960 --> 00:03:35,160 Speaker 1: saw the same selling pressure overnight in Asia. Let's continue 64 00:03:35,200 --> 00:03:38,800 Speaker 1: our team coverage now. Bloomberg's Juliette Sally joins us from Singapore. 65 00:03:38,840 --> 00:03:41,200 Speaker 1: Good morning, juliet, Good morning, Nathan and Karen. The m 66 00:03:41,320 --> 00:03:44,080 Speaker 1: c I Asia Pacific Index fell to June twenty twenty 67 00:03:44,120 --> 00:03:47,360 Speaker 1: lows is new COVID cases in Shanghai damp and prospects 68 00:03:47,360 --> 00:03:51,080 Speaker 1: for reopening. Investors also appearing to be unimpressed by Premier 69 00:03:51,160 --> 00:03:54,720 Speaker 1: Leese comments urging officials to use fiscal and monetary policies 70 00:03:54,720 --> 00:03:57,880 Speaker 1: to stabilize employment and the economy. Hong Kong shares came 71 00:03:57,960 --> 00:04:00,480 Speaker 1: under pressure as the city and defened dip end its 72 00:04:00,520 --> 00:04:03,960 Speaker 1: currency for the first time since twenty nine. In Singapore. 73 00:04:04,040 --> 00:04:07,200 Speaker 1: Juliette Sale bloom Bag Daybreak Delianne, Thank you, But we're 74 00:04:07,240 --> 00:04:11,040 Speaker 1: also seeing cryptocurrencies continue their sell off. This morning, we 75 00:04:11,080 --> 00:04:13,880 Speaker 1: get the latest on that line from Bloomberg's Randa Young 76 00:04:13,960 --> 00:04:16,560 Speaker 1: in New York and morning Ranida, Good morning Karen. Bitcoin 77 00:04:16,680 --> 00:04:19,960 Speaker 1: is trading at its lowest level since twenty twenty. At 78 00:04:19,960 --> 00:04:23,320 Speaker 1: one point this morning, it touched just over twenty five thousand, 79 00:04:23,640 --> 00:04:26,680 Speaker 1: and right now it's trading at close to twenty eight thousand. 80 00:04:27,000 --> 00:04:29,880 Speaker 1: It's been falling in conjunction with the regular market, but 81 00:04:29,920 --> 00:04:32,920 Speaker 1: the collapse of the terra usd stable coin is triggering 82 00:04:32,960 --> 00:04:36,159 Speaker 1: a flight from many of the large digital tokens, and 83 00:04:36,200 --> 00:04:38,560 Speaker 1: backers of the coin are trying to raise about one 84 00:04:38,560 --> 00:04:41,880 Speaker 1: point five billion dollars to shore up the token. Stable 85 00:04:41,960 --> 00:04:44,880 Speaker 1: Coins are key elements of the crypto market. There were 86 00:04:44,920 --> 00:04:47,320 Speaker 1: traders park funds as they move them in and out 87 00:04:47,360 --> 00:04:50,400 Speaker 1: of other tokens. The total value of all stable coins 88 00:04:50,480 --> 00:04:54,040 Speaker 1: is beyond one hundred billion dollars. Live in New York. 89 00:04:54,120 --> 00:04:57,000 Speaker 1: I'm Nita Young, Bloomberg Day break. All right, Nita, thank you. 90 00:04:57,080 --> 00:04:59,680 Speaker 1: Let's turn to corporate earnings on Wall Street. Now, that's 91 00:04:59,720 --> 00:05:02,880 Speaker 1: what's driving shares of Disney lower down about five percent 92 00:05:03,000 --> 00:05:06,839 Speaker 1: in early trading. The company reported subscriber gains for its 93 00:05:06,839 --> 00:05:12,160 Speaker 1: flagship streaming service. Those beat estimates, but Disney's also tempering 94 00:05:12,200 --> 00:05:14,760 Speaker 1: its outlook for the year. We get the details on 95 00:05:14,800 --> 00:05:18,120 Speaker 1: that from Bloomberg's Charlie Palace. Disney said it will trim 96 00:05:18,200 --> 00:05:21,560 Speaker 1: spending on movies and TV shows. On the conference call, 97 00:05:21,680 --> 00:05:25,120 Speaker 1: CEO Bob Japeck said Disney is lowering its projection for 98 00:05:25,240 --> 00:05:28,919 Speaker 1: overall film and TV spending by one billion dollars to 99 00:05:29,040 --> 00:05:32,560 Speaker 1: thirty two billion this year. Disney did report battled and 100 00:05:32,640 --> 00:05:36,200 Speaker 1: expected growth in its flagship Disney Plus streaming service, while 101 00:05:36,279 --> 00:05:40,560 Speaker 1: saying half of Disney Plus subscribers are adults without kids 102 00:05:41,080 --> 00:05:44,320 Speaker 1: in New York. Charlie Palace to Bloomberg day break. All right, Charlie, 103 00:05:44,400 --> 00:05:46,800 Speaker 1: thank you well. On the economic front, today, we'll get 104 00:05:46,839 --> 00:05:50,080 Speaker 1: another key reading on inflation the producer price and next 105 00:05:50,120 --> 00:05:52,479 Speaker 1: comes out of eight thirty am Wall Street Time, and 106 00:05:52,520 --> 00:05:56,120 Speaker 1: we get a preview from Bloombery Smuchael McKee. Inflation isn't 107 00:05:56,120 --> 00:05:59,040 Speaker 1: going away soon, but it may ease a bit. Producer 108 00:05:59,080 --> 00:06:02,000 Speaker 1: prices are forecast US to have increased more slowly in April, 109 00:06:02,080 --> 00:06:05,039 Speaker 1: following a stronger than expected gain the previous month, while 110 00:06:05,080 --> 00:06:08,840 Speaker 1: food prices continued to accelerate. Oil prices retreated in April. 111 00:06:08,920 --> 00:06:12,880 Speaker 1: Supply chain snarls could worsen amid China's COVID lockdowns, suggesting 112 00:06:12,880 --> 00:06:15,880 Speaker 1: wholesale inflation will be slow to recede. Coming after a 113 00:06:15,960 --> 00:06:18,720 Speaker 1: firm April CPI, the p p I is unlikely to 114 00:06:18,760 --> 00:06:22,080 Speaker 1: add much to market thinking about inflation or the Fed's 115 00:06:22,120 --> 00:06:26,000 Speaker 1: plans for raising rates. Michael McKee, Bloomberg Daybreak. All right, Mike, thanks, 116 00:06:26,000 --> 00:06:28,599 Speaker 1: As the Fed fights inflation, it's adding another member to 117 00:06:28,720 --> 00:06:32,359 Speaker 1: its ranks. The Senate has confirmed a third nominee of 118 00:06:32,360 --> 00:06:36,000 Speaker 1: President Bidence to the FED Board. Makers confirmed economist Philip 119 00:06:36,080 --> 00:06:40,320 Speaker 1: Jefferson as FED governor yesterday Today, Senate Democrats expect to 120 00:06:40,400 --> 00:06:43,800 Speaker 1: vote on Jerome Powell's bid for a second term as 121 00:06:43,880 --> 00:06:46,920 Speaker 1: Federal Reserve chair. And in the markets this morning, Nathan, 122 00:06:46,960 --> 00:06:49,560 Speaker 1: we're seeing the impact of the recent bonds sell off. 123 00:06:49,600 --> 00:06:53,240 Speaker 1: Pimco saw clients pull more than fourteen billion dollars from 124 00:06:53,240 --> 00:06:57,200 Speaker 1: its funds last quarter as investors fled fixed income securities 125 00:06:57,240 --> 00:07:00,240 Speaker 1: amid rising interest rates. Now the sell off an Equis 126 00:07:00,360 --> 00:07:03,640 Speaker 1: continues this morning. Karen with SMP futures down down twenty 127 00:07:03,680 --> 00:07:07,159 Speaker 1: eight points. Stown futures down a hundred seventy six. NASDAC 128 00:07:07,240 --> 00:07:09,440 Speaker 1: futures are lower by a hundred thirty seven points. The 129 00:07:09,480 --> 00:07:13,000 Speaker 1: tenure Treasury is up twenty three thirty seconds. Yield on 130 00:07:13,040 --> 00:07:17,080 Speaker 1: the tenure two point eight to straight ahead local headlines 131 00:07:17,080 --> 00:07:23,440 Speaker 1: in the check of Sports. This is Bloomberg and it's 132 00:07:23,480 --> 00:07:26,000 Speaker 1: now five oh seven on Wall Street. Where's sixty degrees 133 00:07:26,160 --> 00:07:29,480 Speaker 1: in Central Park? So far, so good on the roads. 134 00:07:29,920 --> 00:07:31,920 Speaker 1: I hope I'm not jinxing at. Michael Bars here with 135 00:07:31,960 --> 00:07:33,640 Speaker 1: more on what's going on in New York and around 136 00:07:33,640 --> 00:07:36,160 Speaker 1: the world. Michael, good morning, Good morning, Nathan. New Jersey 137 00:07:36,200 --> 00:07:39,880 Speaker 1: Governor Phil Murphy says he's backing legislation to protect and 138 00:07:39,920 --> 00:07:43,520 Speaker 1: expand abortion access in the state. Murphy says that includes 139 00:07:43,560 --> 00:07:47,960 Speaker 1: a requirement that insurers cover costs of the procedure. Abortion 140 00:07:48,080 --> 00:07:51,480 Speaker 1: is healthcare, and healthcare decisions should be left up to 141 00:07:51,600 --> 00:07:57,280 Speaker 1: the individual. Your body belongs to you. Governor Murphy says 142 00:07:57,320 --> 00:08:00,200 Speaker 1: no one should be criminalized for getting the care they needed. 143 00:08:00,600 --> 00:08:03,400 Speaker 1: It is the latest step taken by Democrats after elite 144 00:08:03,480 --> 00:08:06,760 Speaker 1: opinion indicated the U. S. Supreme Court will owerturn the 145 00:08:06,840 --> 00:08:10,200 Speaker 1: landmark gro v Way decision. The Democratic leadership in the 146 00:08:10,280 --> 00:08:13,520 Speaker 1: US Senate has failed and its attempt to codify abortion 147 00:08:13,600 --> 00:08:16,480 Speaker 1: rights in the law. Bloomberg said Baxter as the story, 148 00:08:16,920 --> 00:08:18,760 Speaker 1: the vote to move the bill to the floor needed 149 00:08:18,840 --> 00:08:22,720 Speaker 1: sixty eyes, it got forty nine. Vice President Kamala Harris 150 00:08:22,720 --> 00:08:25,480 Speaker 1: immediately made it a campaign issue. And let's be clear, 151 00:08:25,520 --> 00:08:29,840 Speaker 1: at the majority of the American people believe in defending 152 00:08:29,920 --> 00:08:33,800 Speaker 1: a woman's right, her choice to decide what happens to 153 00:08:33,920 --> 00:08:37,000 Speaker 1: her own body. The Senate Minority leader, Mitch McConnell, though, 154 00:08:37,040 --> 00:08:40,080 Speaker 1: says he doesn't understand the uproar. Democrats were melting down 155 00:08:40,120 --> 00:08:44,199 Speaker 1: because of the the Supreme Court may may uphold of Mississippi 156 00:08:44,240 --> 00:08:46,920 Speaker 1: law of a limit abortion after fifteen weeks. The final 157 00:08:46,960 --> 00:08:49,760 Speaker 1: Supreme Court opinion and ruling is due most probably in 158 00:08:49,880 --> 00:08:53,240 Speaker 1: June in San Francisco. I'm at Baxter Bloomberg Gay Break. 159 00:08:53,640 --> 00:08:57,280 Speaker 1: Finnish leaders have announced Finland must join NATO without delay 160 00:08:57,520 --> 00:09:01,560 Speaker 1: given Russia's invasion in Ukraine. Burring Sweden is expected to 161 00:09:01,600 --> 00:09:04,880 Speaker 1: decide on joining NATO in the coming days. New York 162 00:09:04,920 --> 00:09:08,160 Speaker 1: City may Or may Eric Adams and the NYPD are 163 00:09:08,200 --> 00:09:11,840 Speaker 1: demanding the federal government revoked the business license of a 164 00:09:11,920 --> 00:09:15,480 Speaker 1: prominent gun manufacturer. They blame for the increase of ghost 165 00:09:15,600 --> 00:09:19,280 Speaker 1: guns in the city. Adams says the company Polymer eighty 166 00:09:19,520 --> 00:09:23,560 Speaker 1: sells untraceable, ready to assemble gun parts online. It comes 167 00:09:23,600 --> 00:09:26,280 Speaker 1: as crime is on the rise in New York. Former 168 00:09:26,280 --> 00:09:29,760 Speaker 1: New York Congressman Joe Crowley says the economic impact of 169 00:09:29,800 --> 00:09:32,240 Speaker 1: the pandemic is partly to blame. I think this is 170 00:09:32,360 --> 00:09:35,680 Speaker 1: all related in many respects to what's happened in terms 171 00:09:35,679 --> 00:09:39,040 Speaker 1: of coming out of this virus, the you know, the 172 00:09:39,080 --> 00:09:41,440 Speaker 1: COVID by TV, the impact that has had on the 173 00:09:41,480 --> 00:09:46,040 Speaker 1: overall economy. Former Democratic Congressman Joe Crowley spoke on Bloomberg's 174 00:09:46,080 --> 00:09:49,280 Speaker 1: balance of power with David weston Global News twenty four 175 00:09:49,320 --> 00:09:52,200 Speaker 1: hours a day on air and on Bloomberg Quittake, powered 176 00:09:52,200 --> 00:09:54,800 Speaker 1: by more than twenty seven hundred journalist antalists more than 177 00:09:55,200 --> 00:09:58,840 Speaker 1: twenty countries. I'm Michael Barr. This is Bloomberg NA. Thanks Michael. 178 00:10:03,640 --> 00:10:05,240 Speaker 1: Come up to five cent on Wall Street. Time for 179 00:10:05,240 --> 00:10:08,520 Speaker 1: the Bloomberg Sports Update. Good morning, John Stesship, Good morning Nathan. 180 00:10:08,559 --> 00:10:10,760 Speaker 1: The Rangers, had they lost last night, would have been 181 00:10:10,760 --> 00:10:13,640 Speaker 1: playing golf today. Instead, they're traveling back to Pittsburgh for 182 00:10:13,720 --> 00:10:16,280 Speaker 1: Game six tomorrow at the Garden. They trailed the Penguins 183 00:10:16,280 --> 00:10:18,839 Speaker 1: to nothing, and then came alive through the house and 184 00:10:18,960 --> 00:10:22,840 Speaker 1: up the right point steps Potter over again, Troup back 185 00:10:22,880 --> 00:10:31,360 Speaker 1: a shutting Stars three two Rangers and three Ranger goals 186 00:10:31,480 --> 00:10:34,679 Speaker 1: in two minutes forty two seconds, But thirteen seconds after 187 00:10:34,720 --> 00:10:37,520 Speaker 1: the Rangers took the lead, the Penguins tied it on 188 00:10:37,600 --> 00:10:40,319 Speaker 1: Jake Gensel's second goal the night seventh of the series, 189 00:10:40,440 --> 00:10:45,440 Speaker 1: so Game five was tied. Called the Pluck down comes 190 00:10:45,480 --> 00:10:51,520 Speaker 1: the Heatler shoot stores pilla Headle gives the rate Ers 191 00:10:51,600 --> 00:10:54,600 Speaker 1: the lead with a power play goal early at period 192 00:10:54,720 --> 00:10:57,280 Speaker 1: three fifteen. At the end, the Rangers won five three, 193 00:10:57,320 --> 00:10:59,559 Speaker 1: but can they went in Pittsburgh where they just lost 194 00:10:59,559 --> 00:11:03,160 Speaker 1: seven four and seven to Will. The Penguins have Sydney Crosby. 195 00:11:03,160 --> 00:11:06,000 Speaker 1: He left last night with an injury. Florida beat Washington, 196 00:11:06,080 --> 00:11:09,479 Speaker 1: Calgary beat Dallas, both go up three two. NBA Milwaukee 197 00:11:09,520 --> 00:11:11,560 Speaker 1: came from fourteen down in the fourth quarter to win 198 00:11:11,640 --> 00:11:15,480 Speaker 1: Game five in Boston. Memphis beat Golden State by thirty nine. 199 00:11:15,679 --> 00:11:18,960 Speaker 1: Bucks and Warriors have the three two series lead at 200 00:11:18,960 --> 00:11:21,600 Speaker 1: the stadium. Another win for the sizzling hot Yankees. They 201 00:11:21,600 --> 00:11:24,319 Speaker 1: made a fifteen of the last seventeen beat Toronto five 202 00:11:24,360 --> 00:11:27,240 Speaker 1: three labor Torres drove in all five MAT's at a 203 00:11:27,320 --> 00:11:30,280 Speaker 1: three nothing first. Didn't lead in Washington Peter Alonzo Homer, 204 00:11:30,280 --> 00:11:32,120 Speaker 1: but the Nationals with five in the bottom of the 205 00:11:32,160 --> 00:11:35,000 Speaker 1: first and three more in the second eight runs off. 206 00:11:35,000 --> 00:11:38,520 Speaker 1: Tyler McGill only got four outs the Nationals wanted eight. 207 00:11:38,600 --> 00:11:42,600 Speaker 1: The three Johns Dash Bloomberg Sports NA Thanks john SMP 208 00:11:42,760 --> 00:11:45,400 Speaker 1: futures down down twenty nine points, South Futures down a 209 00:11:45,480 --> 00:11:48,440 Speaker 1: hundred eighty five. Nance Deck futures down a hundred forty 210 00:11:48,520 --> 00:11:52,240 Speaker 1: three points. Bitcoin lower by three point two percent right 211 00:11:52,240 --> 00:11:55,040 Speaker 1: now about twenty seven thousand, five hundred dollars as the 212 00:11:55,080 --> 00:11:59,640 Speaker 1: sell off continues on renewed worries over inflation. We speak 213 00:11:59,679 --> 00:12:03,960 Speaker 1: next with Drew Maddis, Chief Market Strategistic MetLife. This is 214 00:12:03,960 --> 00:12:10,040 Speaker 1: Bloomberg Bloomberg eleven three oh weather. Partial sunshine today with 215 00:12:10,080 --> 00:12:12,839 Speaker 1: highs in the low seventies. Scattered showers possible tomorrow with 216 00:12:12,880 --> 00:12:16,280 Speaker 1: the high near seventy, and showers continue for Saturday with 217 00:12:16,320 --> 00:12:22,520 Speaker 1: highs in the low seventies. Right now sixty one degrees. Markets, 218 00:12:22,600 --> 00:12:25,679 Speaker 1: headlines and breaking news twenty four hours a day at 219 00:12:25,720 --> 00:12:29,079 Speaker 1: Bloomberg dot Com. The Bloomberg business out and at Bloomberg 220 00:12:29,160 --> 00:12:39,120 Speaker 1: quick takes a Bloomberg business blash and I'm Karen Moscow 221 00:12:39,200 --> 00:12:42,119 Speaker 1: Global stocks and you watch. Stock Index futures are tumbling 222 00:12:42,120 --> 00:12:44,959 Speaker 1: as stubborn inflation in the world's biggest economy adds to 223 00:12:45,040 --> 00:12:48,319 Speaker 1: the case for more aggressive monetary tightening by the Federal Reserve. 224 00:12:48,640 --> 00:12:51,319 Speaker 1: This is after the SMP five hundred dropped yesterday to 225 00:12:51,400 --> 00:12:53,800 Speaker 1: its lowest since March of last year. We checked the 226 00:12:53,800 --> 00:12:56,600 Speaker 1: markets every fifteen minutes throughout the trading day on Bloomberg 227 00:12:56,760 --> 00:12:59,880 Speaker 1: SP futures down twenty nine points down, futures down a 228 00:13:00,040 --> 00:13:03,960 Speaker 1: hundred eighty three NASDAG futures down one two The decks 229 00:13:03,960 --> 00:13:06,440 Speaker 1: in Germany's down two and a half percent. Ten year 230 00:13:06,480 --> 00:13:09,440 Speaker 1: treasury of twenty thirty seconds yeld two point eight four percent. 231 00:13:09,480 --> 00:13:11,960 Speaker 1: They yield them a two year two point five seven percent. 232 00:13:12,440 --> 00:13:15,199 Speaker 1: Nine max screwed oil is down two point one is 233 00:13:15,240 --> 00:13:17,400 Speaker 1: down two point one percent on two dollars twenty three 234 00:13:17,440 --> 00:13:19,600 Speaker 1: cents at a hundred three dollars fifty cents of Barrel 235 00:13:19,840 --> 00:13:22,240 Speaker 1: Comics school down a quarter percent or five dollars at 236 00:13:22,240 --> 00:13:25,439 Speaker 1: eighteen forty eight. Seventy announced the euro one point oh 237 00:13:25,440 --> 00:13:27,959 Speaker 1: four four one against the dollar. British found one point 238 00:13:27,960 --> 00:13:30,839 Speaker 1: to one and the end at one twenty eight point 239 00:13:31,000 --> 00:13:34,240 Speaker 1: seven one. Bitcoin this morning falling down two point nine 240 00:13:34,240 --> 00:13:37,840 Speaker 1: percent at twenty seven thousand and five hundred eighty dollars. 241 00:13:37,840 --> 00:13:40,080 Speaker 1: And today we're looking for our appard on inflation at 242 00:13:40,080 --> 00:13:42,360 Speaker 1: the whole sale level at eight thirty Wall Street Time, 243 00:13:42,600 --> 00:13:45,440 Speaker 1: along with the weekly report on initial jobless claims as 244 00:13:45,480 --> 00:13:48,120 Speaker 1: a Bloomberg Business Flash. Now here's Michael Barr with more 245 00:13:48,160 --> 00:13:50,679 Speaker 1: on les's going on around the world. Uncle, good morning, 246 00:13:50,760 --> 00:13:55,000 Speaker 1: Good morning, Karen. Ukraine's military says Russian forces are continuing 247 00:13:55,000 --> 00:13:58,960 Speaker 1: air strikes on the steel plant in Meryouple. It comes 248 00:13:59,000 --> 00:14:02,240 Speaker 1: in day seventy aid of the ward. Finland's president and 249 00:14:02,320 --> 00:14:06,280 Speaker 1: prime ministers say they're in favor of applying for NATO membership. 250 00:14:06,760 --> 00:14:09,959 Speaker 1: Neighboring Sweden is expected to decide on joining NATO in 251 00:14:10,080 --> 00:14:13,320 Speaker 1: coming days. In the NHL Playoffs, the Rangers stay alive 252 00:14:13,360 --> 00:14:16,400 Speaker 1: after beating the Penguins in Game five. The Capital is 253 00:14:16,440 --> 00:14:18,959 Speaker 1: lost to the Pantherst fall behind in that series three 254 00:14:19,000 --> 00:14:22,160 Speaker 1: games to two. NBA Playoffs, the Celtics lost to the 255 00:14:22,160 --> 00:14:24,800 Speaker 1: Bucks and are now on the brink of elimination. The 256 00:14:24,840 --> 00:14:27,840 Speaker 1: Warriors lost to the Grizzlies. Golden State still leads that 257 00:14:27,880 --> 00:14:31,320 Speaker 1: series three to two. In baseball, the Yankees one, the 258 00:14:31,320 --> 00:14:33,920 Speaker 1: Mets lost to the Nationals, Red Sox and Orioles lost. 259 00:14:33,920 --> 00:14:36,640 Speaker 1: Giants and as one. Global News twenty four hours a 260 00:14:36,720 --> 00:14:39,200 Speaker 1: day on air and on Bloomberg Quick Take, powered by 261 00:14:39,240 --> 00:14:43,200 Speaker 1: more than hundred journalists analysts more than a hundred twenty countries. Hi, 262 00:14:43,280 --> 00:14:46,040 Speaker 1: Michael bar this is Bloomberg Ni. Michael, thank you. It's 263 00:14:46,080 --> 00:14:49,080 Speaker 1: five nineteen on Wall Street Live from the Bloomberg Interactive 264 00:14:49,080 --> 00:14:52,640 Speaker 1: Brokers studios. This is Bloomberg Daybreak as we continue to 265 00:14:52,640 --> 00:14:57,320 Speaker 1: watch the selling on inflation worries. Drew Maddis joins US 266 00:14:57,360 --> 00:15:01,280 Speaker 1: now chief market strategist at MetLife in Estment Management. Drew, 267 00:15:01,320 --> 00:15:03,080 Speaker 1: it's good to speak with you this morning. It sounds 268 00:15:03,160 --> 00:15:05,920 Speaker 1: kind of silly to ask whether this UH sell off 269 00:15:05,960 --> 00:15:09,120 Speaker 1: has further to run, because it seems like market participants 270 00:15:09,120 --> 00:15:12,240 Speaker 1: are heading for the hills here. But I wonder if 271 00:15:12,240 --> 00:15:15,640 Speaker 1: you're looking at any particular indicators to try to gauge 272 00:15:15,640 --> 00:15:19,760 Speaker 1: whether there could be a bottom to this sell off. Well, 273 00:15:20,080 --> 00:15:22,960 Speaker 1: I think it's it's interesting how you describe what's going on, 274 00:15:23,080 --> 00:15:26,360 Speaker 1: because I see it as a sell off because people 275 00:15:26,360 --> 00:15:29,080 Speaker 1: are afraid the Fed's going to try to handle inflation 276 00:15:30,080 --> 00:15:33,720 Speaker 1: like they did in the nineteen seventies. When you when 277 00:15:33,760 --> 00:15:39,640 Speaker 1: you actually see what's happening with things like forward inflation measures, uh, 278 00:15:39,760 --> 00:15:41,840 Speaker 1: it's it's pretty clear that the market thinks the Fed 279 00:15:41,920 --> 00:15:45,440 Speaker 1: can handle inflation. They're just worried that they're going to um. 280 00:15:45,480 --> 00:15:47,600 Speaker 1: And that's not to say that the FED shouldn't try 281 00:15:47,640 --> 00:15:53,000 Speaker 1: to contain inflation, but given that inflation and supply chain driven, uh, 282 00:15:53,040 --> 00:15:54,680 Speaker 1: you know, maybe trying to get it back down to 283 00:15:54,760 --> 00:15:57,920 Speaker 1: two percent or or even substantially below where it currently 284 00:15:58,000 --> 00:16:01,920 Speaker 1: is might not be the appropriate policy. So if you 285 00:16:01,960 --> 00:16:04,920 Speaker 1: say that inflation is supply chain driven, does that imply 286 00:16:05,120 --> 00:16:08,800 Speaker 1: that the Fed might not feel as much pressure as 287 00:16:08,800 --> 00:16:11,400 Speaker 1: the market is putting out there for something like a 288 00:16:11,560 --> 00:16:16,120 Speaker 1: seventy five basis point rate hike sooner than has been telegraphed. 289 00:16:17,520 --> 00:16:19,120 Speaker 1: I think that's right. I think I think one of 290 00:16:19,160 --> 00:16:21,440 Speaker 1: the one of the misconceptions is that, you know, Pal 291 00:16:21,480 --> 00:16:24,640 Speaker 1: has been very hawkish. At the last meeting, he had 292 00:16:24,720 --> 00:16:27,440 Speaker 1: the chance to go seventy five. It wasn't fully priced in, 293 00:16:27,520 --> 00:16:29,320 Speaker 1: but there were there were some people expecting it, and 294 00:16:29,320 --> 00:16:31,840 Speaker 1: it would have been less of a surprise. Uh. And 295 00:16:31,880 --> 00:16:34,360 Speaker 1: he had the chance to start quantitative tightening, you know, 296 00:16:34,400 --> 00:16:37,480 Speaker 1: the next day. Uh, and instead he decided to they 297 00:16:37,480 --> 00:16:40,080 Speaker 1: decided to push that off a month. So, you know, 298 00:16:40,120 --> 00:16:42,560 Speaker 1: I think what's really going on is the FED understands 299 00:16:42,640 --> 00:16:44,600 Speaker 1: part of the inflation problem is not one that can 300 00:16:44,640 --> 00:16:47,560 Speaker 1: be solved. It's the supply chain side of it. Uh. 301 00:16:47,600 --> 00:16:50,040 Speaker 1: There is some of it that's excess demand, and they 302 00:16:50,080 --> 00:16:52,760 Speaker 1: get they're certainly acting on that. But I think the 303 00:16:52,800 --> 00:16:56,320 Speaker 1: market thinks that the FED sees everything is nextcess demand story. Um, 304 00:16:56,400 --> 00:16:58,560 Speaker 1: And I actually think they're misreading the Fed. I think 305 00:16:58,600 --> 00:17:02,480 Speaker 1: palsmen very maybe a little too clever at kind of Um. 306 00:17:02,520 --> 00:17:04,159 Speaker 1: You know what the FED is capable of, and what 307 00:17:04,240 --> 00:17:06,240 Speaker 1: the FED isn't capable of, and what they're going to 308 00:17:06,280 --> 00:17:08,840 Speaker 1: try to achieve. So do you think that the that 309 00:17:08,920 --> 00:17:12,119 Speaker 1: the narrative in the market could shift based on what 310 00:17:12,160 --> 00:17:14,800 Speaker 1: we get from consumer prices later I'm sorry, from producer 311 00:17:14,840 --> 00:17:18,800 Speaker 1: prices later this morning? It could? You know, the CPI 312 00:17:18,880 --> 00:17:21,639 Speaker 1: data yesterday was not helpful to to the idea that 313 00:17:21,680 --> 00:17:23,399 Speaker 1: the FED. That you know is that it could be 314 00:17:23,440 --> 00:17:26,520 Speaker 1: doing the right thing if if we're reading them correctly, um. 315 00:17:26,760 --> 00:17:29,240 Speaker 1: But at the same point we did see inflation begin 316 00:17:29,280 --> 00:17:32,399 Speaker 1: to peek. It's still running very high. But in my mind, 317 00:17:32,440 --> 00:17:35,040 Speaker 1: what the FED is really targeting is their two percent 318 00:17:35,119 --> 00:17:38,760 Speaker 1: target plus whatever percentage of inflation they think is due 319 00:17:38,800 --> 00:17:42,040 Speaker 1: to supply chains, i e. The stuff that they can't control. 320 00:17:42,640 --> 00:17:45,040 Speaker 1: And so in my mind, you know, when you're thinking 321 00:17:45,040 --> 00:17:47,680 Speaker 1: about where the FED will stop, uh, you know, they'll 322 00:17:47,720 --> 00:17:50,199 Speaker 1: stop once they control the inflation that they think they 323 00:17:50,200 --> 00:17:53,120 Speaker 1: can control, and they'll hope that supply chains work themselves 324 00:17:53,119 --> 00:17:57,399 Speaker 1: out over time. So what's your outlook then for whether 325 00:17:57,560 --> 00:18:00,720 Speaker 1: we could be in for a recession later this year 326 00:18:00,760 --> 00:18:03,120 Speaker 1: or next year? And where do you see inflation going 327 00:18:03,160 --> 00:18:06,040 Speaker 1: by the end of this year based on what happens 328 00:18:06,040 --> 00:18:08,199 Speaker 1: with supply chains? Doesn't make it tougher to sort of 329 00:18:08,200 --> 00:18:14,400 Speaker 1: gauge where things go based on supply chain factors. It does, 330 00:18:14,520 --> 00:18:16,080 Speaker 1: and I think that's the reason the market is kind 331 00:18:16,080 --> 00:18:18,040 Speaker 1: of behaving the way it is is it's very difficult 332 00:18:18,040 --> 00:18:20,040 Speaker 1: to to kind of see with it what the endgame is. 333 00:18:20,200 --> 00:18:22,040 Speaker 1: You know, from our point of view, we see inflation 334 00:18:22,119 --> 00:18:25,040 Speaker 1: drifting into the mid fours UM. So it's gonna be elevated, 335 00:18:25,119 --> 00:18:30,159 Speaker 1: but it's not particularly horrible UM. And then on the 336 00:18:30,200 --> 00:18:33,240 Speaker 1: recession question, we don't expect the recession this year. We 337 00:18:33,240 --> 00:18:35,480 Speaker 1: would look for you know, if there's going to be 338 00:18:35,520 --> 00:18:38,720 Speaker 1: a recession, we think it would be you know, margin lead, 339 00:18:38,960 --> 00:18:42,000 Speaker 1: so firms see contracting margins, they're being the cutback on 340 00:18:42,119 --> 00:18:45,480 Speaker 1: employment and investment. Uh. And we think that takes time 341 00:18:45,520 --> 00:18:48,320 Speaker 1: to play out and is more likely a late twenty 342 00:18:48,359 --> 00:18:52,800 Speaker 1: three early scenario, so you know, last thirty seconds. Then, Drew, 343 00:18:52,880 --> 00:18:57,359 Speaker 1: do you see opportunities in this market? Well, I just 344 00:18:57,400 --> 00:19:00,080 Speaker 1: think you you look at what's overdone, so yeah, I 345 00:19:00,119 --> 00:19:03,359 Speaker 1: would say that there probably are opportunities. Um. You know, 346 00:19:03,840 --> 00:19:06,800 Speaker 1: we think yields are heading back down uh to kind 347 00:19:06,800 --> 00:19:09,639 Speaker 1: of the twenty five range UM by the end of 348 00:19:09,640 --> 00:19:11,600 Speaker 1: the year. And I think that's you know, uh for 349 00:19:11,960 --> 00:19:15,240 Speaker 1: an insurance company that that's kind of an opportunity right there. Alright, 350 00:19:15,280 --> 00:19:18,159 Speaker 1: Drew Madis, thanks for this, really appreciated. Drew Madis is 351 00:19:18,240 --> 00:19:22,920 Speaker 1: chief market strategist at MetLife Investment Management. As we continue 352 00:19:22,960 --> 00:19:25,040 Speaker 1: to track the sell off this morning, we have SMP 353 00:19:25,160 --> 00:19:28,400 Speaker 1: futures down down twenty seven points. Down futures are lower 354 00:19:28,400 --> 00:19:31,440 Speaker 1: by a hundred sixty five points, and NASDAC futures leading 355 00:19:31,440 --> 00:19:34,080 Speaker 1: declines right now, down a hundred forty points or one 356 00:19:34,119 --> 00:19:36,960 Speaker 1: point two percent. Right now, the tenure Treasury is up 357 00:19:36,960 --> 00:19:40,000 Speaker 1: twenty three thirty seconds, pushing the yield down just shy 358 00:19:40,080 --> 00:19:42,159 Speaker 1: of two point eight three percent, and the yield on 359 00:19:42,200 --> 00:19:44,040 Speaker 1: the two year right now is a two point five 360 00:19:44,119 --> 00:19:48,480 Speaker 1: seven percent. Looking at commodities, NIMEX CREWD is lower by 361 00:19:48,640 --> 00:19:51,159 Speaker 1: two point one percent right now, down two dollars and 362 00:19:51,320 --> 00:19:54,639 Speaker 1: seventeen cents for a hundred three dollars fifty four cents 363 00:19:54,640 --> 00:19:57,400 Speaker 1: of barrel. Just to add much more on this sell 364 00:19:57,440 --> 00:20:02,080 Speaker 1: off and Disney's outlook not so magical. Top stories of 365 00:20:02,080 --> 00:20:09,040 Speaker 1: the morning straight Ahead on Bloomberg day Break Bloomberg eleven 366 00:20:09,080 --> 00:20:11,800 Speaker 1: three oh weather partly sunny, low seventies today, Scattered showers 367 00:20:11,800 --> 00:20:14,640 Speaker 1: possible tomorrow with a high year seventy degrees, and we're 368 00:20:14,640 --> 00:20:17,800 Speaker 1: looking for low seventies on Saturday with the chance for showers. 369 00:20:17,880 --> 00:20:24,000 Speaker 1: Right now sixty one in Central Park, broadcasting live from 370 00:20:24,000 --> 00:20:27,800 Speaker 1: the Bloomberg Interactive Broker Studio in New York. Bloomberg E 371 00:20:27,880 --> 00:20:31,840 Speaker 1: Living Freedom to Washington, d C. Bloomberg on to Boston, 372 00:20:31,960 --> 00:20:35,760 Speaker 1: Bloomberg one six one to San Francisco, Bloomberg nine sixty 373 00:20:35,920 --> 00:20:39,119 Speaker 1: to the country, Sirius XM channel one nine and around 374 00:20:39,160 --> 00:20:43,119 Speaker 1: the globe the Bloomberg Business and Bloomberg Radio dot Com. 375 00:20:43,119 --> 00:20:51,920 Speaker 1: This is Bloomberg day Break. It's five thirty on Wall Street. 376 00:20:51,920 --> 00:20:54,720 Speaker 1: Good morning. I'm Nathan Hager and I'm Karen Moscow, and 377 00:20:54,760 --> 00:20:57,200 Speaker 1: we're just about four hours away from the open of 378 00:20:57,280 --> 00:20:58,960 Speaker 1: US trading. Let's get you up to date on the 379 00:20:58,960 --> 00:21:01,520 Speaker 1: news you need to know at sour yesterday is hot. 380 00:21:01,560 --> 00:21:06,360 Speaker 1: Inflation reading is sending markets downward. Stocks begin the session 381 00:21:06,400 --> 00:21:09,840 Speaker 1: at their lowest level since March of one. Former New 382 00:21:09,920 --> 00:21:12,760 Speaker 1: York Fan Governor Bill Dudley says Fed here J. Powell 383 00:21:12,880 --> 00:21:16,080 Speaker 1: may have to tighten monetary policy more than he's planning to. 384 00:21:16,480 --> 00:21:18,960 Speaker 1: I think he's four to five or higher. Um, you 385 00:21:18,960 --> 00:21:21,120 Speaker 1: know I was three or four, maybe six months ago, 386 00:21:21,640 --> 00:21:24,359 Speaker 1: from four to five when shocked me. If I'm you know, 387 00:21:24,480 --> 00:21:27,199 Speaker 1: five to six a few months from now. Former New 388 00:21:27,280 --> 00:21:29,800 Speaker 1: York Fed Governor Bell Dudley says the Federal Reserve is 389 00:21:29,840 --> 00:21:33,440 Speaker 1: not forcefully stated how it will lower inflation to two percent. 390 00:21:33,760 --> 00:21:36,119 Speaker 1: We'll get another key inflation reading this morning when the 391 00:21:36,200 --> 00:21:39,159 Speaker 1: Producer Price Index is released. Well, markets in Europe and 392 00:21:39,200 --> 00:21:42,000 Speaker 1: Asia down as well. Karen European stocks are poised for 393 00:21:42,040 --> 00:21:45,760 Speaker 1: their fifth straight week of declines, and crypto assets are tumbling. 394 00:21:45,800 --> 00:21:49,200 Speaker 1: Nathan Bloomberg's Rinita Young joins US Live with more. Good morning, Nina, 395 00:21:49,280 --> 00:21:52,120 Speaker 1: Good morning, Karen. Bitcoin is trading at its lowest level 396 00:21:52,200 --> 00:21:55,800 Speaker 1: since twenty twenty. It touched just over twenty five thousand 397 00:21:55,800 --> 00:21:58,280 Speaker 1: this morning. It is now trading it close to twenty 398 00:21:58,320 --> 00:22:01,840 Speaker 1: eight thousand. It's been falling in conjunction with the regular market, 399 00:22:02,040 --> 00:22:04,960 Speaker 1: but the collapse of the terra usd stable coin is 400 00:22:04,960 --> 00:22:08,040 Speaker 1: triggering a flight from many of the large digital tokens. 401 00:22:08,400 --> 00:22:10,840 Speaker 1: Backers of the coin are trying to raise about one 402 00:22:10,840 --> 00:22:14,280 Speaker 1: point five billion dollars to shore up the token. Staple 403 00:22:14,320 --> 00:22:17,280 Speaker 1: Coins are key elements of the crypto market. There were 404 00:22:17,280 --> 00:22:19,840 Speaker 1: traders park funds as they move in and out of 405 00:22:19,960 --> 00:22:22,800 Speaker 1: other tokens. Live in New York. I'm we need a 406 00:22:22,840 --> 00:22:25,159 Speaker 1: Young Bloomberg daybreak, All right, we need a Thanks to 407 00:22:25,200 --> 00:22:27,919 Speaker 1: corporate earnings now, Disney shares, you're moving lower after the 408 00:22:27,920 --> 00:22:31,400 Speaker 1: company lowered its spending projections for TV and film content. 409 00:22:31,680 --> 00:22:35,960 Speaker 1: Gerber Kawasaki CEO and Disney investor Ross Gerber thanks strong 410 00:22:36,000 --> 00:22:40,080 Speaker 1: subscriber growth in Disney streaming service reflects overall positive signs 411 00:22:40,119 --> 00:22:42,880 Speaker 1: for the company. Disney had very good results for their 412 00:22:43,440 --> 00:22:46,720 Speaker 1: streaming businesses, and much better than we expected because obviously 413 00:22:47,160 --> 00:22:49,800 Speaker 1: we thought they had a tough comparison to the COVID era, 414 00:22:50,240 --> 00:22:53,840 Speaker 1: and you know, quite frankly, all their businesses are starting 415 00:22:53,840 --> 00:22:57,240 Speaker 1: to improve now. Gerber Kawasaki CEO. Ross Gerber spoke with 416 00:22:57,280 --> 00:23:00,160 Speaker 1: Emily Chang on Bloomberg Technology, which you can watch week 417 00:23:00,200 --> 00:23:03,359 Speaker 1: days at five pm Eastern on Bloomberg Television. Well Nathan. 418 00:23:03,400 --> 00:23:06,440 Speaker 1: In the nations capital, the SEC is reportedly probing whether 419 00:23:06,480 --> 00:23:09,399 Speaker 1: Elon Musk broke rules last month when he disclosed a 420 00:23:09,480 --> 00:23:13,520 Speaker 1: large sneak and Twitter. Musk is also facing FTC inquiries 421 00:23:13,520 --> 00:23:16,920 Speaker 1: over taking Twitter private. Also in the nation's capital, care 422 00:23:16,960 --> 00:23:19,920 Speaker 1: in the Senate has confirmed economist Philip Jefferson as FED 423 00:23:19,960 --> 00:23:23,120 Speaker 1: governor and expects to vote today to confirm FED Chair 424 00:23:23,280 --> 00:23:26,400 Speaker 1: Jerome Powell to a second term. And SMP futures are 425 00:23:26,400 --> 00:23:29,800 Speaker 1: down thirty seven points this morning, and straight ahead your 426 00:23:29,880 --> 00:23:34,000 Speaker 1: latest local headlines plus a check of sports. This is 427 00:23:34,040 --> 00:23:40,600 Speaker 1: Bloomberg five thirty three on Wall Street sixty one degrees 428 00:23:40,640 --> 00:23:42,760 Speaker 1: and so far, so good on the roads. Michael Barr 429 00:23:42,760 --> 00:23:44,280 Speaker 1: has more on what's going on in New York and 430 00:23:44,320 --> 00:23:46,439 Speaker 1: around the world. Michael, thank you very much, Nathan. New 431 00:23:46,480 --> 00:23:49,520 Speaker 1: Jersey Governor Phil Murphy is taking additional steps to protect 432 00:23:49,520 --> 00:23:53,959 Speaker 1: abortion rights. Murphy wants his state to make midwives, advanced 433 00:23:54,040 --> 00:23:58,760 Speaker 1: practice nurses, and physicians assistants clear to provide abortions. We 434 00:23:58,800 --> 00:24:02,720 Speaker 1: remained steadfast in our commitment to ensuring that all New 435 00:24:02,800 --> 00:24:09,040 Speaker 1: Jerseyans have access to reproductive healthcare, including abortion, and we 436 00:24:09,080 --> 00:24:12,919 Speaker 1: stand with women across the nation who are facing inevitable 437 00:24:12,960 --> 00:24:17,520 Speaker 1: hardships on the horizon. Governor Murphy also wants end state 438 00:24:17,600 --> 00:24:21,879 Speaker 1: insurance companies to cover abortions. Senate Republicans, along with the 439 00:24:21,880 --> 00:24:24,640 Speaker 1: Democratic Senator Joe Mangin, have blocked to build a turn 440 00:24:24,760 --> 00:24:28,640 Speaker 1: abortion rights into federal law. This as Supreme Court justices 441 00:24:28,680 --> 00:24:31,160 Speaker 1: are set to meet today for the first time since 442 00:24:31,200 --> 00:24:34,159 Speaker 1: a draft opinion that would overturn Roe v. Wade was 443 00:24:34,240 --> 00:24:37,800 Speaker 1: leaked to the media. Finnish leaders have announced Finland must 444 00:24:37,880 --> 00:24:42,480 Speaker 1: join NATO without delay given Russia's invasion of Ukraine. Finland's 445 00:24:42,520 --> 00:24:46,720 Speaker 1: Foreign Minister Peca Havisto addressed the EU Committee on Foreign 446 00:24:46,760 --> 00:24:50,879 Speaker 1: Affairs and Brussels this morning and its representatives must be 447 00:24:50,920 --> 00:24:55,000 Speaker 1: held accountable for the consequencies and effects of the illegal 448 00:24:55,040 --> 00:24:59,840 Speaker 1: war of aggression. Foreign Minister Havisto says a few months 449 00:25:00,000 --> 00:25:03,879 Speaker 1: have changed everything. Meanwhile, Sweden could give its decision on 450 00:25:03,960 --> 00:25:07,720 Speaker 1: joining NATO in a few days. Mandatory evacuations are underway 451 00:25:07,800 --> 00:25:10,920 Speaker 1: in parts of Orange County, southern California, as a wind 452 00:25:11,000 --> 00:25:14,760 Speaker 1: driven wildfire moves through. The so called Coastal Fire is 453 00:25:14,800 --> 00:25:18,080 Speaker 1: newly burned about two hundred acres and destroyed nearly two 454 00:25:18,160 --> 00:25:22,000 Speaker 1: dozen homes since it broke out yesterday afternoon. North Korea 455 00:25:22,080 --> 00:25:26,320 Speaker 1: imposed a nationwide lockdown today to control its first acknowledge 456 00:25:26,359 --> 00:25:30,000 Speaker 1: COVID nineteen outbreak. The country has a poor health care system, 457 00:25:30,000 --> 00:25:32,480 Speaker 1: and its twenty six million people are believed to be 458 00:25:32,640 --> 00:25:36,360 Speaker 1: mostly unvaccinated. Some experts say the North, by its rare 459 00:25:36,400 --> 00:25:40,639 Speaker 1: admission of an outbreak, maybe seeking outside aid. Global News 460 00:25:40,680 --> 00:25:43,200 Speaker 1: twenty four hours a day on air and on Bloomberg 461 00:25:43,240 --> 00:25:46,680 Speaker 1: Quick Take, powered by more than twenty d journalists and analysts, 462 00:25:46,680 --> 00:25:49,320 Speaker 1: are more than a hundred twenty countries. Michael barn This 463 00:25:49,400 --> 00:25:57,720 Speaker 1: is Bloomberg, Nathan, Michael. Thanks on Wall Street, Joint Stashires 464 00:25:57,760 --> 00:26:01,119 Speaker 1: and Bloomberg Sports Update. Thanks Nathan. The range facing elimination, 465 00:26:01,240 --> 00:26:03,960 Speaker 1: trailing the Penguins three games to one, Trailing Game five 466 00:26:04,000 --> 00:26:06,280 Speaker 1: at the Garden, too nothing, but after no goals in 467 00:26:06,400 --> 00:26:09,679 Speaker 1: thirty five minutes, three goals in two minutes and forty 468 00:26:09,680 --> 00:26:13,640 Speaker 1: two seconds Adam pops Alexis Lafronier Jacob Truba, then third 469 00:26:13,680 --> 00:26:15,640 Speaker 1: period of range of power play in the first playoff 470 00:26:15,680 --> 00:26:18,520 Speaker 1: goal for Philip Eagle Rangers with an empty net right 471 00:26:18,560 --> 00:26:20,440 Speaker 1: at the end, they beat the Penguins five to three. 472 00:26:20,440 --> 00:26:22,960 Speaker 1: They still trail the series three to two. The Ranger 473 00:26:23,000 --> 00:26:25,800 Speaker 1: concern is whether they can now win in Pittsburgh Game 474 00:26:25,880 --> 00:26:29,320 Speaker 1: six tomorrow. The Penguins, concerned and injury suffered last night 475 00:26:29,320 --> 00:26:33,720 Speaker 1: to their stars. Sidney Crosby, Florida beat Washington, Calgary beat Dallas, NBA. 476 00:26:33,840 --> 00:26:37,160 Speaker 1: Memphis at one point led Golden State by fifty five. 477 00:26:37,280 --> 00:26:40,879 Speaker 1: The Grizzlies won by thirty nine forty for Jana's son 478 00:26:40,960 --> 00:26:43,520 Speaker 1: to the Compo Milwaukee rally to win. In Boston, the 479 00:26:43,560 --> 00:26:46,720 Speaker 1: Celtics took out the nets in round one nets GM. 480 00:26:46,760 --> 00:26:49,160 Speaker 1: Shawn Marx met the media and Brokelyn the tough about 481 00:26:49,240 --> 00:26:52,320 Speaker 1: how to get better. We have prided ourselves on the 482 00:26:52,359 --> 00:26:55,560 Speaker 1: past with finding players with a chip on his shoulder 483 00:26:55,600 --> 00:26:58,320 Speaker 1: with a resilience to summing a proof. Um, we're gonna 484 00:26:58,320 --> 00:26:59,520 Speaker 1: have to go back to that. We're gonna have to 485 00:26:59,560 --> 00:27:02,480 Speaker 1: go back to looking a little bit more development, looking 486 00:27:02,560 --> 00:27:06,120 Speaker 1: more at finding the right characteristics to play fits here 487 00:27:06,280 --> 00:27:08,680 Speaker 1: and when asked about locking up Kyrie Irving with a 488 00:27:08,760 --> 00:27:11,560 Speaker 1: new long term deal, Mark said he's not committing to that. 489 00:27:11,760 --> 00:27:14,560 Speaker 1: In d C, the Nationale's gut to Tyler McGill beat 490 00:27:14,640 --> 00:27:16,479 Speaker 1: the Mets eight to three, with all the scoring come 491 00:27:16,560 --> 00:27:19,000 Speaker 1: in the first two innings. Mc gill got only four outs, 492 00:27:19,320 --> 00:27:21,560 Speaker 1: game of eight Rouns eight hits the series end of 493 00:27:21,560 --> 00:27:23,880 Speaker 1: this afternoon, the Yankees will visit the White Sox cannight. 494 00:27:23,920 --> 00:27:26,760 Speaker 1: They just beat Toronto five to three. Labor Torres drove 495 00:27:26,800 --> 00:27:28,720 Speaker 1: in all five and Yanks have won fifteen to the 496 00:27:28,880 --> 00:27:32,480 Speaker 1: last seventeen. John stash Award Bloomberg Sports. Maybe all right? John, 497 00:27:32,480 --> 00:27:34,600 Speaker 1: thanks almost thirty seven on Wall Street time for the 498 00:27:34,640 --> 00:27:38,680 Speaker 1: Tri State Business Report. Here's Bloomberg's head Cory. Manhattan apartment 499 00:27:38,760 --> 00:27:41,119 Speaker 1: rents sword in April to a record high for a 500 00:27:41,240 --> 00:27:45,000 Speaker 1: third consecutive month. Signs point to even constantly or rates 501 00:27:45,040 --> 00:27:48,119 Speaker 1: on the horizon. Tenants paid a median of thirty eight 502 00:27:48,280 --> 00:27:51,920 Speaker 1: hundred seventy dollars on new lease's signed last month. That's 503 00:27:52,000 --> 00:27:54,960 Speaker 1: up six point two percent from the previous record set 504 00:27:55,040 --> 00:27:59,240 Speaker 1: in March and thirty nine percent from April one. Lucrative 505 00:27:59,320 --> 00:28:02,480 Speaker 1: tax credit and years of growing demand for streaming content 506 00:28:02,600 --> 00:28:05,080 Speaker 1: have fueled the growth of the film production industry in 507 00:28:05,160 --> 00:28:08,440 Speaker 1: New York. DW. Jones reports the total amount of sound 508 00:28:08,520 --> 00:28:12,680 Speaker 1: stage square footage is increased fourteen percent across New York 509 00:28:12,720 --> 00:28:18,160 Speaker 1: and New Jersey since January. New Jersey transit ridership is recovering. 510 00:28:18,240 --> 00:28:21,880 Speaker 1: Further is COVID restrictions ease and workers increasingly head into 511 00:28:21,960 --> 00:28:25,600 Speaker 1: the office again. Weekday rail ridership is more than fifty 512 00:28:25,680 --> 00:28:28,760 Speaker 1: five percent of pre pandemic levels, up from last amounts 513 00:28:28,920 --> 00:28:33,080 Speaker 1: level of above fifty percent are Bloomberg Trying State Business Report. 514 00:28:33,240 --> 00:28:36,760 Speaker 1: I'm ind Corey. Thanks on Wall Street. Bloomberg Radio is 515 00:28:36,800 --> 00:28:39,040 Speaker 1: on the air from San Francisco to New York, London 516 00:28:39,120 --> 00:28:41,480 Speaker 1: to Hong Kong. Let's check in with our global news 517 00:28:41,520 --> 00:28:43,120 Speaker 1: team for some of the top stories heard on our 518 00:28:43,160 --> 00:28:48,800 Speaker 1: three hundred affiliate radio stations around the world. I'm John 519 00:28:48,880 --> 00:28:52,200 Speaker 1: Tucker for w i NSC New York, reporting and at 520 00:28:52,280 --> 00:28:58,480 Speaker 1: the carpet wretch sorting April to a record high. On KFEH, 521 00:28:58,720 --> 00:29:02,440 Speaker 1: egg prices are sky rocketing, jumping more than in April. 522 00:29:02,680 --> 00:29:06,080 Speaker 1: I'm Genus Servetti in for w BBM in Chicago. I'm 523 00:29:06,160 --> 00:29:09,440 Speaker 1: reporting on new data showing Illinois among states with the 524 00:29:09,520 --> 00:29:13,080 Speaker 1: lowest percentages of equity rich properties in the first quarter. 525 00:29:13,320 --> 00:29:16,080 Speaker 1: And Lisa Mateo and on k M O X and St. Louis, 526 00:29:16,240 --> 00:29:20,239 Speaker 1: I'll be reporting on breakfast getting even more expensive. I'm 527 00:29:20,320 --> 00:29:23,160 Speaker 1: Jeff Bullinger and on w y O D in Miami. 528 00:29:23,280 --> 00:29:28,040 Speaker 1: I'm reporting four Florida metros are considered equity rich. Homeowners 529 00:29:28,120 --> 00:29:31,800 Speaker 1: with mortgages have at least fifty equity. I've had glory 530 00:29:31,920 --> 00:29:35,280 Speaker 1: on w T A M in Cleveland. I'm reporting Lloydstown 531 00:29:35,360 --> 00:29:37,840 Speaker 1: Motors has closed on the sale of a plan to 532 00:29:38,080 --> 00:29:40,680 Speaker 1: Fox Con. Those are some of the stories are twenty 533 00:29:40,720 --> 00:29:43,120 Speaker 1: seven hundred Bloomberg journalists and analysts are working on this 534 00:29:43,240 --> 00:29:45,880 Speaker 1: morning around the world. It's thirty nine on Wall Street. 535 00:29:46,080 --> 00:29:50,240 Speaker 1: The following is an editorial from Bloomberg Opinion. This editorial 536 00:29:50,440 --> 00:29:53,920 Speaker 1: was written by the Bloomberg Editorial Board. With an eye 537 00:29:54,040 --> 00:29:57,800 Speaker 1: on the midterm elections. Republicans have highlighted US surge in 538 00:29:58,040 --> 00:30:01,880 Speaker 1: illegal crossings of the southern border to attack President Joe 539 00:30:01,920 --> 00:30:07,479 Speaker 1: Biden's handling of immigration. Their criticism is not unwarranted. Biden 540 00:30:07,560 --> 00:30:11,360 Speaker 1: has largely failed to implement a coherent border policy. This, 541 00:30:11,560 --> 00:30:14,200 Speaker 1: in turn, is making it harder to create the immigration 542 00:30:14,320 --> 00:30:18,800 Speaker 1: system the country badly needs. Biden should compromise on lifting 543 00:30:18,920 --> 00:30:22,880 Speaker 1: pandemic erab border restrictions and press Congress to commit more 544 00:30:22,960 --> 00:30:28,200 Speaker 1: resources to strengthen border security. After containing the challenges of 545 00:30:28,280 --> 00:30:31,640 Speaker 1: the border, Biden could then begin to forge a bipartisan 546 00:30:31,720 --> 00:30:36,640 Speaker 1: coalition to reform the legal immigration system. A Canadian style 547 00:30:36,720 --> 00:30:41,640 Speaker 1: system that prioritized highly skilled immigrants would encourage economic growth, 548 00:30:41,960 --> 00:30:45,400 Speaker 1: and polls show that it could command public support. But 549 00:30:45,560 --> 00:30:48,440 Speaker 1: for that to become a reality, the US government must 550 00:30:48,600 --> 00:30:53,840 Speaker 1: prove it can contain illegal immigration first. This editorial was 551 00:30:53,920 --> 00:30:57,640 Speaker 1: written by the Bloomberg Editorial Board. For more Bloomberg opinion, 552 00:30:57,720 --> 00:31:00,920 Speaker 1: please go to Bloomberg dot com, slash Indian or O 553 00:31:01,160 --> 00:31:04,720 Speaker 1: P I N go on the Bloomberg terminal. This has 554 00:31:04,800 --> 00:31:08,360 Speaker 1: been Bloomberg Opinion. Listen for Bloomberg opinion editorials every weekday. 555 00:31:08,360 --> 00:31:10,520 Speaker 1: At this time. Terminal customers can read more at OPI 556 00:31:10,800 --> 00:31:13,680 Speaker 1: nd go red headline just across the Bloomberg terminal, Japan's 557 00:31:13,720 --> 00:31:16,640 Speaker 1: Coast Guard says North Korea may have fired a ballistic missile. 558 00:31:16,680 --> 00:31:23,200 Speaker 1: We're following that for you. This is Bloomberg Bloomberg eleven 559 00:31:23,280 --> 00:31:25,360 Speaker 1: three oh weather. Partial sunshine today with highs and the 560 00:31:25,360 --> 00:31:28,920 Speaker 1: low seventies. Scattered showers possible tomorrow with a high near seventy. 561 00:31:29,200 --> 00:31:31,160 Speaker 1: Will be in the low seventies again on Saturday, with 562 00:31:31,200 --> 00:31:33,200 Speaker 1: a chance for showers to start the weekend. Right now 563 00:31:33,320 --> 00:31:40,600 Speaker 1: sixty one degrees. Markets, headlines and breaking news twenty four 564 00:31:40,640 --> 00:31:43,680 Speaker 1: hours a day at Bloomberg dot Com, the Bloomberg Business 565 00:31:43,720 --> 00:31:47,360 Speaker 1: aland at Bloomberg Quick Take. This is a Bloomberg Business 566 00:31:47,400 --> 00:31:56,480 Speaker 1: flash and I'm camerin Moscow. Global stocks and ustock indext 567 00:31:56,520 --> 00:31:59,440 Speaker 1: futures are tumbling as Stubbard inflation in the world's biggest 568 00:31:59,480 --> 00:32:02,520 Speaker 1: economy asked of the case for more aggressive monetary tightening 569 00:32:02,560 --> 00:32:05,040 Speaker 1: by the Fed. We checked the markets every fifteen minutes 570 00:32:05,080 --> 00:32:07,760 Speaker 1: throughout the trading day on Bloomberg s and P futures 571 00:32:08,040 --> 00:32:10,840 Speaker 1: down twenty six points, STATH futures down a hundred sixty six, 572 00:32:10,880 --> 00:32:13,560 Speaker 1: and NASDACK futures down a hundred thirty. The decks. In 573 00:32:13,640 --> 00:32:16,560 Speaker 1: Germany's down to in a quarter percent ten year treasury 574 00:32:16,600 --> 00:32:19,280 Speaker 1: of twenty six thirty seconds yeld two point eight one percent. 575 00:32:19,400 --> 00:32:21,840 Speaker 1: They yield on a two year two point five six percent. 576 00:32:22,360 --> 00:32:24,840 Speaker 1: NIMEX screwed oil is down one point four percent on 577 00:32:24,920 --> 00:32:27,160 Speaker 1: a dollar fifty one at a hundred four dollars nineteen 578 00:32:27,200 --> 00:32:30,040 Speaker 1: cents of arrol COMEXS goal is down to ten percent 579 00:32:30,160 --> 00:32:32,920 Speaker 1: or four dollars ten cents at eighteen forty nine fifty announced. 580 00:32:33,280 --> 00:32:35,960 Speaker 1: The Euro one point oh four three three against the dollar, 581 00:32:36,000 --> 00:32:38,560 Speaker 1: British pound one point one eight three and the end 582 00:32:38,560 --> 00:32:41,360 Speaker 1: at one twenty eight point seven three and Bitcoin lower 583 00:32:41,440 --> 00:32:44,640 Speaker 1: down to it a third percent at twenty seven thousand, 584 00:32:44,720 --> 00:32:47,880 Speaker 1: seven hundred fifty dollars. That's a bloomberg business flash. Now 585 00:32:47,960 --> 00:32:50,240 Speaker 1: here's Michael Barr with more on what's going on around 586 00:32:50,240 --> 00:32:53,000 Speaker 1: the world. Michael Karen, thank you very much. The U. S. 587 00:32:53,040 --> 00:32:55,800 Speaker 1: Supreme Court will gather today for the first time since 588 00:32:55,880 --> 00:32:58,840 Speaker 1: the leak of a majority draft opinion that suggests the 589 00:32:58,880 --> 00:33:01,600 Speaker 1: Court will overturn a rope be Wade. It comes after 590 00:33:01,680 --> 00:33:03,640 Speaker 1: the U. S. Senate failed to pass a measure to 591 00:33:03,760 --> 00:33:08,040 Speaker 1: enshrining abortion rights in federal law. Ukraine's military says Russian 592 00:33:08,120 --> 00:33:11,440 Speaker 1: forces unleashed air strikes on the last pocket of Ukrainian 593 00:33:11,520 --> 00:33:15,880 Speaker 1: resistance in the besieged city of Mariouple. In the NHL Playoffs, 594 00:33:15,920 --> 00:33:18,880 Speaker 1: the Rangers stay alive after beating the Penguins. The Capital's 595 00:33:18,920 --> 00:33:21,120 Speaker 1: lost to the Panthers to fall behind in that series 596 00:33:21,160 --> 00:33:24,480 Speaker 1: three games to two. NBA Playoffs, the Celtics lost to 597 00:33:24,520 --> 00:33:27,360 Speaker 1: the Bucks. There are now on the brink of elimination. 598 00:33:27,880 --> 00:33:30,680 Speaker 1: The Warriors lost to the Grizzlies. Golden States still leads 599 00:33:30,720 --> 00:33:34,120 Speaker 1: that series. Three to baseball, the Yankees one, Mets lost 600 00:33:34,160 --> 00:33:36,760 Speaker 1: to the Nationals, Red Sox and Orioles lost. Giants and 601 00:33:36,800 --> 00:33:39,560 Speaker 1: Day's one Global News twenty four hours a day on 602 00:33:39,680 --> 00:33:42,440 Speaker 1: air and on Bloomberg Quick Tank, powered by more than 603 00:33:42,520 --> 00:33:45,760 Speaker 1: twenty seven hundred journalists analysts more than a hundred twenty countries. 604 00:33:46,120 --> 00:33:48,840 Speaker 1: Michael barn This is Bloomberg. Okay, Michael, thanks, just about 605 00:33:48,840 --> 00:33:51,040 Speaker 1: five forty nine on Wall Street Life from the Bloomberg 606 00:33:51,080 --> 00:33:54,239 Speaker 1: Intractive Broker Studios. This is Bloomberg Daybreak. As we keep 607 00:33:54,240 --> 00:33:57,080 Speaker 1: an eye on Disney shares this morning, they're losing value, 608 00:33:57,280 --> 00:34:00,120 Speaker 1: down more than five percent in the pre market right now. Now, 609 00:34:00,600 --> 00:34:04,840 Speaker 1: the entertainment Colossus came out with better than expected earnings, 610 00:34:04,920 --> 00:34:07,440 Speaker 1: but the outlook seems to be what's weighing on the 611 00:34:07,480 --> 00:34:10,440 Speaker 1: shares this morning. Let's get more insights now, Keith Wronganathan 612 00:34:10,600 --> 00:34:13,839 Speaker 1: is with US now media analyst at Bloomberg Intelligence. Keith, 613 00:34:13,880 --> 00:34:16,160 Speaker 1: it's always good to speak with you, and I know you, 614 00:34:16,360 --> 00:34:18,160 Speaker 1: along with a lot of analysts, were keeping a very 615 00:34:18,200 --> 00:34:21,960 Speaker 1: close eye on the subscriber numbers for Disney. Plus those 616 00:34:22,040 --> 00:34:24,759 Speaker 1: came in better than expected. Shouldn't that be sort of 617 00:34:25,719 --> 00:34:29,239 Speaker 1: balancing things out a little bit? What's your view? Yeah? 618 00:34:29,320 --> 00:34:32,240 Speaker 1: It should. I mean this is this is surprising to me, honestly. 619 00:34:32,880 --> 00:34:35,600 Speaker 1: Good morning, Natan, Thanks for having me so. You know, 620 00:34:35,719 --> 00:34:39,719 Speaker 1: as far as Disney's results yesterday were concerned, I think 621 00:34:39,960 --> 00:34:41,920 Speaker 1: they blew it out of the park. I think this 622 00:34:42,080 --> 00:34:44,280 Speaker 1: was an A plus report guard on on all fronts. 623 00:34:44,320 --> 00:34:46,040 Speaker 1: I mean, the two key metrics that we were looking for, 624 00:34:46,160 --> 00:34:50,560 Speaker 1: obviously was the subscriber number and the park profits, and 625 00:34:50,760 --> 00:34:54,439 Speaker 1: and they outperformed on on both scores. But you really 626 00:34:54,560 --> 00:34:56,480 Speaker 1: have to look at the market right now. I mean, 627 00:34:56,680 --> 00:35:00,680 Speaker 1: if after those numbers they came in seventy spent ahead 628 00:35:00,719 --> 00:35:04,080 Speaker 1: of consensus estimates and there's still five percent down just 629 00:35:04,200 --> 00:35:08,080 Speaker 1: really tells you that the market is just extremely nervous 630 00:35:08,200 --> 00:35:11,120 Speaker 1: about the whole streaming model right now. It is not 631 00:35:11,360 --> 00:35:14,200 Speaker 1: as attractive a model as we were thinking it would be. 632 00:35:14,840 --> 00:35:18,400 Speaker 1: And even the slightest hint of you know, kind of 633 00:35:18,520 --> 00:35:22,400 Speaker 1: the growth in the second half of fiscal um, the 634 00:35:22,480 --> 00:35:28,120 Speaker 1: second half of not being as maybe gang busters as 635 00:35:28,160 --> 00:35:31,680 Speaker 1: analysts have previously expected, that's what's kind of weighing down 636 00:35:31,760 --> 00:35:33,880 Speaker 1: on the stock a little bit. But really, I mean 637 00:35:34,000 --> 00:35:35,520 Speaker 1: that there is I think it's it's a bit of 638 00:35:35,560 --> 00:35:39,800 Speaker 1: an overreaction, honestly. Well, I wonder if the commentary we 639 00:35:39,880 --> 00:35:43,800 Speaker 1: got from Disney yesterday about where they see the streaming 640 00:35:43,880 --> 00:35:48,120 Speaker 1: service going sort of changes your view on the streaming 641 00:35:48,160 --> 00:35:52,759 Speaker 1: market overall. When they're talking about, you know, tempering subscriber growth, 642 00:35:52,880 --> 00:35:56,680 Speaker 1: potentially bringing in more of an ad based Disney plus, 643 00:35:57,200 --> 00:36:01,440 Speaker 1: how does that affect your view on streaming. So I 644 00:36:01,560 --> 00:36:03,640 Speaker 1: think the one thing that you know, people have kind 645 00:36:03,719 --> 00:36:07,560 Speaker 1: of really now understood about the streaming business is, you know, 646 00:36:07,640 --> 00:36:09,680 Speaker 1: first of all, there were questions about what the total 647 00:36:09,719 --> 00:36:11,719 Speaker 1: addressable market was. You know that there was a point 648 00:36:11,760 --> 00:36:13,800 Speaker 1: when we were thinking that maybe it was you know, 649 00:36:13,880 --> 00:36:17,920 Speaker 1: an eight hundred nine hundred million one billion subscribers. But 650 00:36:18,040 --> 00:36:20,840 Speaker 1: when when Netflix reported, they obviously kind of really tempered 651 00:36:20,920 --> 00:36:23,279 Speaker 1: down those expectations. Now Disney, on the other hand, has 652 00:36:23,280 --> 00:36:25,480 Speaker 1: been pretty consistent all along. So they have guided to 653 00:36:25,520 --> 00:36:29,400 Speaker 1: about two hundreds of millions subscribers. Like FIST four. They 654 00:36:29,440 --> 00:36:33,719 Speaker 1: went ahead and reiterated that target yesterday. Um, so you know, 655 00:36:34,320 --> 00:36:37,960 Speaker 1: I think they have a pretty good strategy in place now. 656 00:36:38,040 --> 00:36:40,160 Speaker 1: The second big thing that people are looking for really 657 00:36:40,320 --> 00:36:44,080 Speaker 1: is the profitability metrics. And we know that for for 658 00:36:44,239 --> 00:36:46,160 Speaker 1: you to be successful in the streaming business, you have 659 00:36:46,320 --> 00:36:49,240 Speaker 1: to spend billions and billions and billions of dollars before 660 00:36:49,280 --> 00:36:51,600 Speaker 1: you can even make a single dollar in profit. This 661 00:36:51,760 --> 00:36:55,640 Speaker 1: is a capital intensive business. And again Disney class is 662 00:36:55,719 --> 00:36:57,840 Speaker 1: not making any money right now in terms of profit, 663 00:36:58,360 --> 00:37:01,200 Speaker 1: but they did retreat they are going to do unprofitable 664 00:37:01,280 --> 00:37:04,880 Speaker 1: in Cisco. I just think the market is not that 665 00:37:05,040 --> 00:37:08,319 Speaker 1: patient right now. They are worried about near term profitability, 666 00:37:08,640 --> 00:37:11,200 Speaker 1: and we see this kind of affecting all the story, 667 00:37:11,360 --> 00:37:13,640 Speaker 1: you know, all of the streaming players, and of course 668 00:37:13,680 --> 00:37:16,320 Speaker 1: Disney doesn't seem to be any exception as well. In 669 00:37:16,400 --> 00:37:18,440 Speaker 1: our last minute here, of course they're not. They're not 670 00:37:18,600 --> 00:37:22,280 Speaker 1: just relying on the streaming business, They've got cable properties, 671 00:37:22,280 --> 00:37:24,960 Speaker 1: They've got that parks business, cruise lines. Are they going 672 00:37:25,040 --> 00:37:29,799 Speaker 1: to be sort of leaning on the in person entertainment 673 00:37:29,840 --> 00:37:32,200 Speaker 1: for lack of a better word, at least in the 674 00:37:32,239 --> 00:37:36,719 Speaker 1: short term, to uh, to give investors a little more confidence. Yeah, 675 00:37:36,760 --> 00:37:39,040 Speaker 1: this is where I think Disney such a great company, 676 00:37:39,160 --> 00:37:41,160 Speaker 1: unique company, right. They have that perfect cadge. If you're 677 00:37:41,400 --> 00:37:43,960 Speaker 1: stuck at home, you have the stream the streaming business, 678 00:37:44,000 --> 00:37:45,840 Speaker 1: if you you know, you have the reopening trade with 679 00:37:45,920 --> 00:37:49,719 Speaker 1: the parks, and the parks are really I mean they 680 00:37:49,800 --> 00:37:52,160 Speaker 1: knocked it out of the park. You know, sorry for 681 00:37:52,239 --> 00:37:56,160 Speaker 1: the fun, but um, you know, the parks are jammed 682 00:37:56,239 --> 00:37:58,840 Speaker 1: right now. There is just so much a pent up demand. 683 00:37:59,440 --> 00:38:02,040 Speaker 1: And I think even with his economic overhang and you know, 684 00:38:02,080 --> 00:38:03,840 Speaker 1: with the sessionary theories, I think this time is going 685 00:38:03,880 --> 00:38:05,400 Speaker 1: to be a little bit different. People have just been 686 00:38:05,480 --> 00:38:08,040 Speaker 1: cooped up so long inside their houses. I think they're 687 00:38:08,080 --> 00:38:10,239 Speaker 1: really looking to get out. I don't think it's going 688 00:38:10,320 --> 00:38:12,240 Speaker 1: to weigh on the parts as much as people are fearing. 689 00:38:12,920 --> 00:38:14,759 Speaker 1: Thanks for this, Keith, always great to get your thoughts. 690 00:38:14,880 --> 00:38:18,399 Speaker 1: Keep the wrong enough. The media analyst at Bloomberg Intelligence, 691 00:38:18,640 --> 00:38:21,719 Speaker 1: Karen Alright. Nathan It is three on Wall Street. It's 692 00:38:21,760 --> 00:38:23,800 Speaker 1: time for the Bloomberg Law Report, and we get to 693 00:38:23,880 --> 00:38:26,600 Speaker 1: the legal stories we are watching this morning with Bloomberg's 694 00:38:26,640 --> 00:38:33,680 Speaker 1: Jeff Bellinger n Circuit Delta blow to California's gun control efforts, 695 00:38:33,880 --> 00:38:36,520 Speaker 1: ruling that the state's near total ban on the sale 696 00:38:36,520 --> 00:38:40,160 Speaker 1: of semi automatic rifles to young adults likely violates the 697 00:38:40,239 --> 00:38:43,400 Speaker 1: Second Amendment. New York State will create a state agency 698 00:38:43,560 --> 00:38:48,399 Speaker 1: to supervise the unregulated pharmacy benefit management industry. It's part 699 00:38:48,480 --> 00:38:51,200 Speaker 1: of an effort to keep drug costs slow. The federal 700 00:38:51,320 --> 00:38:54,320 Speaker 1: judge ruled that the Kansas McDonald's may have subjected a 701 00:38:54,400 --> 00:38:59,279 Speaker 1: female department manager to sex based discrimination, harassment, and retaliation. 702 00:38:59,520 --> 00:39:03,480 Speaker 1: The case will go to trial. Bloomberg Law everything you need, 703 00:39:03,800 --> 00:39:08,080 Speaker 1: all on one legal research platform, including guidance analysis and 704 00:39:08,239 --> 00:39:13,959 Speaker 1: Bloomberg Market Intelligence. Find out more at Bloomberg Law dot com. Right, Jeff, 705 00:39:14,000 --> 00:39:16,720 Speaker 1: thank you. Now. Another legal story we're watching. The Sunate 706 00:39:16,840 --> 00:39:19,879 Speaker 1: rushed yesterday into an almost certain a failed vote toward 707 00:39:20,040 --> 00:39:23,640 Speaker 1: enshrining Roe v. Wade abortion access as federal law. If 708 00:39:23,640 --> 00:39:27,000 Speaker 1: the Supreme Court overturns Row as expected, a woman's right 709 00:39:27,040 --> 00:39:29,520 Speaker 1: to an abortion will depend on the state she lives in, 710 00:39:29,880 --> 00:39:32,640 Speaker 1: and many abortion rights activists fear at the end of 711 00:39:32,760 --> 00:39:36,000 Speaker 1: Row is just the beginning for more. Bloomberg student Grosso 712 00:39:36,080 --> 00:39:39,280 Speaker 1: speaks to Mary Ziegler, professor at u C. Davis Law School. 713 00:39:39,640 --> 00:39:42,560 Speaker 1: The next battle ground, Well, there are a few battlegrounds. 714 00:39:42,640 --> 00:39:45,440 Speaker 1: So let's say one of the next battle grounds is 715 00:39:45,560 --> 00:39:49,919 Speaker 1: states trying to stop their residents from traveling across state 716 00:39:50,080 --> 00:39:54,480 Speaker 1: lines to terminate a pregnancy. Can states enforce their laws 717 00:39:54,640 --> 00:39:57,960 Speaker 1: beyond their borders? The answer is, we don't know. So 718 00:39:58,080 --> 00:40:01,320 Speaker 1: the extra territorial applicat of these laws is something that 719 00:40:01,480 --> 00:40:04,280 Speaker 1: hasn't or even really any laws, is something that hasn't 720 00:40:04,360 --> 00:40:06,880 Speaker 1: been dealt with a lot in recent history. We have 721 00:40:07,120 --> 00:40:10,160 Speaker 1: one case that isn't really directly on point from the 722 00:40:10,280 --> 00:40:12,799 Speaker 1: Row era, and then to look back further, you really 723 00:40:12,840 --> 00:40:15,200 Speaker 1: have to go to the days of kind of fugitive 724 00:40:15,239 --> 00:40:18,359 Speaker 1: slave disputes to really get into this kind of interstate war. 725 00:40:18,880 --> 00:40:21,640 Speaker 1: So I don't know, it is the answer. And so 726 00:40:21,760 --> 00:40:24,919 Speaker 1: that's one of the reasons you see blue states anticipating 727 00:40:25,000 --> 00:40:27,400 Speaker 1: these struggles and passing laws like the one in Connecticut, 728 00:40:27,520 --> 00:40:30,440 Speaker 1: essentially saying we're not going to comply with these requests. 729 00:40:30,520 --> 00:40:33,520 Speaker 1: We're going to protect our doctors. But how you know 730 00:40:33,680 --> 00:40:36,359 Speaker 1: those disputes will be resolved. Whether what the Red state 731 00:40:36,400 --> 00:40:39,480 Speaker 1: would be doing would be constitutional is unclear. Which states 732 00:40:39,680 --> 00:40:42,880 Speaker 1: law would apply in those circumstances is unclear. And the 733 00:40:43,000 --> 00:40:44,759 Speaker 1: great irony of it all, of course, is that if 734 00:40:44,840 --> 00:40:48,160 Speaker 1: that's contested, gonna end right back up in the Supreme Court, 735 00:40:48,239 --> 00:40:50,480 Speaker 1: which in this draft is telling us that, you know, 736 00:40:50,640 --> 00:40:52,920 Speaker 1: things are going to become much more peaceful when the 737 00:40:53,000 --> 00:40:55,120 Speaker 1: Court gets out of the abortion business than this goes 738 00:40:55,160 --> 00:40:59,000 Speaker 1: back to the States. Another next battle ground is medication 739 00:40:59,080 --> 00:41:02,759 Speaker 1: abortion or abortion pills, which account for more than half 740 00:41:02,840 --> 00:41:06,200 Speaker 1: of recent abortions according to stats. Is this the most 741 00:41:06,280 --> 00:41:11,000 Speaker 1: workable option in the future for getting an abortion? It 742 00:41:11,320 --> 00:41:16,080 Speaker 1: may well be. Medication abortion obviously isn't applicable throughout pregnancy 743 00:41:16,160 --> 00:41:18,440 Speaker 1: at the moment. The FBA only authorizes it for the 744 00:41:18,520 --> 00:41:22,200 Speaker 1: first ten weeks, but it is becoming the preferred method 745 00:41:22,280 --> 00:41:24,680 Speaker 1: and it is relatively hard to trace. It is something 746 00:41:24,800 --> 00:41:27,360 Speaker 1: that people can get in states who are abortion is 747 00:41:27,640 --> 00:41:32,000 Speaker 1: illegal from organizations like aid Access that operate internationally. But 748 00:41:32,160 --> 00:41:35,200 Speaker 1: I think in a postal world, no abortion method will 749 00:41:35,200 --> 00:41:39,520 Speaker 1: be really free of potential consequences for people seeking it. Unfortunately. 750 00:41:40,000 --> 00:41:45,000 Speaker 1: How would states go about cracking down on medication abortions, Well, 751 00:41:45,280 --> 00:41:47,000 Speaker 1: much in the same way they would crack down on 752 00:41:47,080 --> 00:41:51,000 Speaker 1: other drugs, just by probably selectively prosecuting people they find 753 00:41:51,120 --> 00:41:54,360 Speaker 1: with those drugs. And I think we haven't seen entirely 754 00:41:54,600 --> 00:41:56,800 Speaker 1: how states are going to do this. We're likely to 755 00:41:56,880 --> 00:42:00,560 Speaker 1: see more digital surveillance, were likely to see more bounty programs, 756 00:42:00,640 --> 00:42:04,080 Speaker 1: We're likely to see more selective prosecution. And so I 757 00:42:04,160 --> 00:42:05,839 Speaker 1: think what we've seen so far is just the tip 758 00:42:05,920 --> 00:42:09,160 Speaker 1: of the iceberg. And that's Mary Ziegler, a professor at 759 00:42:09,200 --> 00:42:11,680 Speaker 1: You See Davis Law School, speaking at the Bloomberg's June 760 00:42:11,680 --> 00:42:14,200 Speaker 1: Grass So catching more of that interview, plus analysis of 761 00:42:14,239 --> 00:42:17,040 Speaker 1: the latest legal news by subscribing to the Bloomberg Law 762 00:42:17,120 --> 00:42:20,880 Speaker 1: Podcast or downloading the show at Bloomberg dot com slash podcasts. 763 00:42:21,200 --> 00:42:24,440 Speaker 1: Attorneys can find exceptional legal research and business development tools 764 00:42:24,480 --> 00:42:27,400 Speaker 1: at Bloomberg Law dot com and on the Bloomberg terminal 765 00:42:27,560 --> 00:42:31,560 Speaker 1: at blong Go. Futures following this morning, S and P 766 00:42:31,760 --> 00:42:36,040 Speaker 1: futures down twenty seven points down, Futures down one and 767 00:42:36,160 --> 00:42:40,239 Speaker 1: NASDAG futures down one, dred thirty three and still I 768 00:42:40,320 --> 00:42:42,440 Speaker 1: had on Bloomberg day break and check on the business 769 00:42:42,480 --> 00:42:44,879 Speaker 1: headlines and all the news you need to start your day. 770 00:42:45,160 --> 00:42:46,680 Speaker 1: And this is Bloomberg.