Speaker 1: By from the Bloomberg Interactive Brokers Studios. This is Bloomberg
Speaker 1: day Break for Friday, December nine two. Coming up this hour,
Speaker 1: Wall Street graces for the first of two inflation reports
Speaker 1: before next week's FED meeting. Janet Yellen holds fast to
Speaker 1: her ball that the US will avoid recession of vocal
Speaker 1: Bear doubles down on his parish call for stops and
Speaker 1: Sam Bankman freed miss is a key deadline set by
Speaker 1: US lawmakers. Advocates urge a judge to stop New York
Speaker 1: mayor Adams from forcing homeless people into mental health treatment,
Speaker 1: plus a call for new sanctions on Russia and China.
Speaker 1: Michael bar More, I'm John stash Our. In sports, the
Speaker 1: Mets have resigned Brand and Nemo, and they'll play two
Speaker 1: quarterfinal matches today at the World Come that's all strained
Speaker 1: ahead on Bloomberg day Break on Bloomberg he Live in
Speaker 1: three on New York, Bloomberg one, Washington, d C, Bloomberg
Speaker 1: one oh six one, Boston, Bloomberg nine sixties and Francisco
Speaker 1: Syrius Exam one nine Team and around the world Old
Speaker 1: on Bloomberg Radio dot Com and via the Bloomberg Business.
Speaker 1: Good Friday morning. I'm Amy Morris and Nathan Hagar. Futures
Speaker 1: are picking up some steam this morning at six oh
Speaker 1: one on Wall Street. We checked the markets all day long.
Speaker 1: At Bloomberg SMP futures right now of fifteen points now
Speaker 1: futures up eighty NASTAC futures are higher by sixty one points.
Speaker 1: Tenure Treasury is little changed now. The yield three point
Speaker 1: for eight percent yield on the two year four point
Speaker 1: to seven percent. Nime X screwed is up one percent,
Speaker 1: up seventy one cents at seventy two dollar sixteen cents
Speaker 1: a barrel. Komes Gold is up three tenths per cent
Speaker 1: or five dollar seventy cents at eighteen o seven twenty
Speaker 1: and ounce. The euro one point zero five six two
Speaker 1: against the dollar, and the yen is at one thirty
Speaker 1: six point zero five. Amy, Nathan, we begin with the
Speaker 1: latest on Britney Grinder. A plane carrying the w NBA
Speaker 1: Star has now landed in San Antonio, hours after the
Speaker 1: White House traded a notorious arms dealer for her release.
Speaker 1: Grinder is back on US soil, nearly ten months after
Speaker 1: she was detained in Russia for carrying cannabis oil. Republicans
Speaker 1: are criticizing the prisoner swap, calling Grinder a geopolitical pawn.
Speaker 1: Democratic Congresswoman Sheila Jackson Lee represents Grinder's hometown of Houston, Texas.
Speaker 1: No American should be left without knowing that the full
Speaker 1: power of the United States will be behind them to
Speaker 1: bring them home. Texas Congresswoman Sheila Jackson Li says Grinder's
Speaker 1: release sends a message and puts a renewed spot lot
Speaker 1: on x Marine Paul Whalen, he's still being held in Russia.
Speaker 1: All right, we'll continue following that throughout the morning, Amy,
Speaker 1: But let's turn now to the economy. Wall Street is
Speaker 1: closing out this week with a pair of key economic reports,
Speaker 1: November's Producer Price Index and the University of Michigan Consumer
Speaker 1: Sentiment Index. Bloomberg's Michael McKee has a preview. We're into
Speaker 1: a world of base effects with the November Producer Price Index.
Speaker 1: Because inflation was higher a year ago. The annual rate
Speaker 1: of wholesale inflation can fall even if the monthly rate increases,
Speaker 1: and that's the expectation arise in both headline and core
Speaker 1: inflation for the month, but had dropped to the lowest
Speaker 1: annual headline inflation since May of last year, and had
Speaker 1: dropping the core to the lowest since June. That might
Speaker 1: contribute to an expected rise in the University of Michigan's
Speaker 1: per Literary Consumer Sentiment Index, a small rise but still
Speaker 1: at a depressed level. Investors will be more interested in
Speaker 1: the surveys inflation expectations indexes. Neither one year or five
Speaker 1: year expectations are expected to change as Americans wait for
Speaker 1: proof prices are slowing rather than forecasts. Michael McKee, Bloomberg Daybreak,
Speaker 1: All right, thank you, Mike. Calls for a recession, though,
Speaker 1: are growing. Treasury Secretary Janet Yellen, however, says she still
Speaker 1: anticipates the US economy will avoid one. We get that
Speaker 1: story from Bloomberg's Charlie Pellett. During a visit to Fort Worth, Texas.
Speaker 1: Yellen said, quote, whether or not we can avoid a recession,
Speaker 1: I believe the answer is yes. She highlighted the US
Speaker 1: pay rolls so far have avoided declines. On inflation, she said,
Speaker 1: supply chain bottle knight are clearly beginning to ease, and
Speaker 1: that's helpful. In New York. Charlie Pellett, Bloomberg Daybreak, Okay, Charlie,
Speaker 1: thank you. Still much of Wall Street disagrees with Secretary Yellen,
Speaker 1: including the man who manages one of the biggest pension
Speaker 1: funds in the country. We caught up with Chris Ailman,
Speaker 1: chief investment officer of the California State Teachers Retirement System.
Speaker 1: I feel like a recession has to happen because in
Speaker 1: my lifetime, when the fed raiveses rates this aggressively seventy
Speaker 1: five time and time after again, the economy slows down.
Speaker 1: The inflation is from the supply chain disruptions and the war.
Speaker 1: Maybe inflation slows down on its own. I'd be surprised
Speaker 1: that I think we've got to have a recession. Chris
Speaker 1: Alman oversees about three hundred billion dollars at the California
Speaker 1: State Teachers Retirement System. Despite calls for a recession, some
Speaker 1: of the world's biggest investors predicted stocks will see low
Speaker 1: double digit gains next year. Seventy respondents in a Bloomberg
Speaker 1: survey expect to equities to rise. That compares with n
Speaker 1: forecasting declines. For those seeing gains, the average prediction was
Speaker 1: a ten percent return. As it happens, Amy the SMP
Speaker 1: five hundreds of about ten percent from its October lows,
Speaker 1: but one of the market's most vocal skeptics sees more
Speaker 1: losses ahead. We spoke with Morgan Stanley chief US equity
Speaker 1: strategist Mike Wilson. We don't think that this bear market
Speaker 1: is over yet, mainly because our forecast for next year
Speaker 1: on earnings is materially below the street. Now, I know
Speaker 1: that's becoming a bit of a consensus view, but I
Speaker 1: think our forecasts are even below, uh, you know, kind
Speaker 1: of this new level that people are talking about. Morgan
Speaker 1: Stanley's Mike Wilson says there's still a case for positioning
Speaker 1: in defensive value stocks like utilities, staples, and healthcare, but
Speaker 1: not in industrials, financials, or energy. Let's look at some
Speaker 1: of the stocks on the move this morning. Shares of
Speaker 1: Lulu Lemon down almost seven percent gross margins at the Yogo,
Speaker 1: where a maker came in below estimates. Shares a broad
Speaker 1: Coom up more than three percent. The ship maker gave
Speaker 1: an upbeat sales forecast, indicating that demand remains strong. Shares
Speaker 1: of Docu signed up twelve percent the company boosted its
Speaker 1: revenue guidance for the full year. I think there's some
Speaker 1: new development this morning in the collapse of Crypto Exchange
Speaker 1: f t X, Sam Bankman Freed, the founders missed a
Speaker 1: key Senate deadline. Let's get the latest lie from Bloomberg.
Speaker 1: Steve Rappaport, Good morning, Snoon, Good morning, Nathan, and Amy.
Speaker 1: Bankman Freed had until five pm yesterday to respond to
Speaker 1: a letter requesting he appeared before a Senate Banking committee
Speaker 1: next week. Chairman Shared Brown warning he and ranking member
Speaker 1: Pat Toomey are prepared to issue with subpoena if Bankman
Speaker 1: Freed does not comply. Bankman Freed recently indicated he would
Speaker 1: testify before a House committee. It's unclear why he didn't
Speaker 1: respond to the Senate panel's request. Those spokesman for the
Speaker 1: disgraced FTX founder confirms he hired a defense attorney live
Speaker 1: in New York. I'm Steve Rappaport, Bloomberg Day Break. All right, Steve,
Speaker 1: thank you. Right now. SMP futures are of sixteen points.
Speaker 1: That's again, of four tenths percent down. Futures are hired
Speaker 1: by eighty two NASDAK futures of fifty seven points ten.
Speaker 1: Your treasury is now down to thirty seconds YELD three
Speaker 1: point four nine percent, the yield on the two year
Speaker 1: four point to eight percent. Bitcoins trading two tenths percent.
Speaker 1: Hired around seventeen thousand, two hundred local headlines in the
Speaker 1: Check of Sports. Next to this is Bloomberg six o
Speaker 1: seven on Wall Street, thirty eight degrees in New York.
Speaker 1: A sunny start for your weekend. We're going up to
Speaker 1: forty five today. Let's bring in Michael bar with more
Speaker 1: on what else is going on in New York and
Speaker 1: around the world. Good morning, Michael, Good morning Amy. Advocates
Speaker 1: for people with mental illnesses are urging a federal judge
Speaker 1: to stop New York City Mayor Eric adams plan to
Speaker 1: force people from the streets and into mental health treatment.
Speaker 1: Several organizations, including the New York Lawyers for the Public
Speaker 1: Interest and the National Alliance on Mental Illness of New
Speaker 1: York City, said action was needed to stop large scale
Speaker 1: involuntarily hospitalizations. The lawsuits seeks to remove police officers as
Speaker 1: first responders for those requiring healthcare. When announcing the plan
Speaker 1: on November twenty nine, Adams called it a moral obligation
Speaker 1: to act. The US is preparing new sanctions on Russia
Speaker 1: and China for what it describes as human rights abuses
Speaker 1: by both countries. According to official familiar with the matter,
Speaker 1: the European Union is set to boost the size of
Speaker 1: a fund finance weapons for Ukraine by at least two
Speaker 1: point one billion dollars as early as next week. Congress
Speaker 1: took a historic step to protect marriage equality. The House
Speaker 1: passed by partisan legislation semending federal protections for same sex
Speaker 1: and interracial couples. Senate Majority leader Chuck Schumer says this
Speaker 1: bill is personal for him, as his daughter and her
Speaker 1: wife are expecting their first child. Thanks to the tireless
Speaker 1: advocacy of many many in this room and the dogged
Speaker 1: work by many of my colleagues, my grandchild will live
Speaker 1: in a world that will respect and honor their mother's marriage.
Speaker 1: Republicans against the bill have claimed that it goes against
Speaker 1: religious freedom and this just in there's word that Kristen
Speaker 1: Cinema plans to leave the Democratic Party and will become
Speaker 1: an independent. NASA's artemous Moon mission is headed toward a
Speaker 1: Sunday splashdown in the Pacific, But first the Orion spacecraft
Speaker 1: has to survive at twenty five thousand mile per hour
Speaker 1: five thousand degree re entry Mission Manager Mike Seraphint. On
Speaker 1: entry day, we will realize our Priority one objective, which
Speaker 1: is to um demonstrate the vehicle lunary entry conditions, as
Speaker 1: well as our Priority three objective, which is to retrieve
Speaker 1: the spacecraft NASAs Mike Seraphin and again the breaking news
Speaker 1: Kirsten's Cinema plans to change her party affiliation from Democratic
Speaker 1: too independent. Global news twenty four hours a day on
Speaker 1: air and on Bloomberg Quicktake, powered by more than twenty
Speaker 1: seven undred journalist and analysts more than twenty countries. Michael Barren,
Speaker 1: this is Bloomberg Gaming, all right, Thank you, Michael six
Speaker 1: ten on Wall Street. John now for the sports report,
Speaker 1: brought to you by Charles try State. Audie. Here's John
Speaker 1: sash Our, all right, Amy. The Mets drafted Brandon Nimo
Speaker 1: in the first round back in two thousand and eleven.
Speaker 1: He's developed into a solid center fielder for them, both
Speaker 1: at the play and in the field, and the Mets
Speaker 1: are keeping Nimo an eight year deal for a hundred
Speaker 1: and sixty two million dollars, which means the Mets bay
Speaker 1: rolee likely to be around three hundred and twenty million,
Speaker 1: far and away the most in baseball history. Mets have
Speaker 1: also signed veteran reliever David robertson what a few days
Speaker 1: for Baker Mayfield, once the first pick of the draft.
Speaker 1: The week once started for Carolina, released Monday by the Panthers,
Speaker 1: claimed on waivers Tuesday by the Rams. Mayfield had one
Speaker 1: practice with his new team and then played the entire
Speaker 1: game last night and through a game when he touchdown,
Speaker 1: passed went ten seconds left. The Rams ended a six
Speaker 1: game losing streak seventeen sixteen over the Raiders. The Giants
Speaker 1: are winless in their last three games, and Sunday incomes
Speaker 1: Philadelphia had eleven and one, five and oh on the
Speaker 1: road and led by quarterback Jalen Hurts. Five years ago,
Speaker 1: Hurts led Alabama to the National Championship. Giants coach Brian
Speaker 1: Dable that year was the Obama offensive coordinator. A lot
Speaker 1: of respect for Jalen um tremendous person first and foremost,
Speaker 1: holly competitive, extremely smart, great leader. Was the reason why
Speaker 1: he's probably at the top of the list for m
Speaker 1: v P right now. Jets Sunday visit Buffalo looking for
Speaker 1: a season sweep of the Bills. World Cup quarterfinals, beginning
Speaker 1: this morning with Brazil against Croatia. Later the Netherlands off
Speaker 1: that went over, the U S taking on Argentina. Nix
Speaker 1: Er in Charlotte Tonight will be without Obie Top, but
Speaker 1: he's gonna miss two the three weeks of the knee injury.
Speaker 1: The Nets host at Lanta, the Rangers visit Colorado, and
Speaker 1: the Islanders played the Devils. John stash Award Bloomberg Sports
Speaker 1: Isn't he? I'm dee. Bloomberg Sports Report was brought to
Speaker 1: you by Audie. Don't let someone else drive off in
Speaker 1: the Audi model you've always wanted. Visit your local try
Speaker 1: state Audie dealer to get behind the wheel of yours today,
Speaker 1: or visit Autie Offers dot com for more information. At
Speaker 1: six eleven on Wall Street. Next on Blueberak Bloomberg Daybreak,
Speaker 1: we speak with chief market strategist Macmyliott and Miller tay Back.
Speaker 1: This is Bloomberg six twelve on Wall Street. This is Daybreak.
Speaker 1: Stock throws yesterday as traders shifted their focus to inflation data.
Speaker 1: We are waiting for PPI data this morning. We're gonna
Speaker 1: talk about that and much more. Teeth Market strategist Mac
Speaker 1: Mailie at Miller ta Back Matt, thank you for taking
Speaker 1: the time with us this morning. We're looking for the
Speaker 1: PPI data today, the CPI data next week. What are
Speaker 1: you looking for? Well, it's gonna be very very interesting
Speaker 1: to see how how the market reacts to it. I mean,
Speaker 1: obviously that the PPI number has been less important to
Speaker 1: the market, but that doesn't mean if it's way out
Speaker 1: of whack with expectations that it will be a market
Speaker 1: mover today. But then of course next week with the
Speaker 1: CPI is going to be more important than the following day.
Speaker 1: Of course, we have the FED uh rate announcement and
Speaker 1: more importantly uh Chairman Pal's press conference. But it's interesting
Speaker 1: because this week we've been we've seen a change. You know,
Speaker 1: whether it's something that lasts for a while or not,
Speaker 1: it is going to be very very important. But you know,
Speaker 1: interest rates going down has been a good thing for
Speaker 1: the stock market, but not this week. We saw it
Speaker 1: earlier this week when the people are starting to suddenly
Speaker 1: worry about less concerned about what the FED is gonna
Speaker 1: do and more concerned about what the Fed has done
Speaker 1: and the impact that's had on the economy and if
Speaker 1: the economy is going to fall into recession. Interest rates
Speaker 1: and stocks can fall together, and we saw even yesterday
Speaker 1: just the opposite happened. They actually the bombom bob, you
Speaker 1: reels one up and the stock market one up. So
Speaker 1: we're seeing this this change in the correlation between the two.
Speaker 1: If that becomes, uh, something that's more prevallem, it's gonna
Speaker 1: be very very uh it's gonna be a big, big
Speaker 1: change for the marketplace. So let me ask you. You
Speaker 1: said it's been very important if that would last. What
Speaker 1: are some of the flag posts that you'll be watching
Speaker 1: for in the next few weeks and months to see
Speaker 1: if this does last. Well. The big thing where we
Speaker 1: have to know is is that one of the missing
Speaker 1: I think misconceptions in the marketplace is that you know,
Speaker 1: is you know, if if if as long as it's
Speaker 1: a straights top out, everything's gonna be fine. Well, during
Speaker 1: a bowl market, that's that is the case. The interest rates,
Speaker 1: you know, go up for for a month or two,
Speaker 1: and then the stock market goes down. But as soon
Speaker 1: as interest rates roll over, the market goes right back up.
Speaker 1: That's great. However, in a bear market, especially a bear
Speaker 1: market which includes a recession. Not all bear markets do
Speaker 1: include recession, but most do. The problem is that at
Speaker 1: some point in the middle of that bear market, interest
Speaker 1: rates roll over and everybody changes their focus towards the recession,
Speaker 1: and of course that that means they start worrying about
Speaker 1: the lower earnings and we're starting to see that now.
Speaker 1: So the the you know, the flags will start to
Speaker 1: see is literally, uh, the biggest thing I think is
Speaker 1: gonna be the earnings estimates, of course for two thousand
Speaker 1: twenty three, which have already started to come down. We're
Speaker 1: also gonna watch very very closely to see what happens
Speaker 1: in China because everybody's looking for the you know, the
Speaker 1: reopening in China, but not a very very interesting article
Speaker 1: today on Bloomberg talking about the repercussions and that how
Speaker 1: China may not be able to handle the big rise
Speaker 1: in these COVID rates now that they're changing their restrictions.
Speaker 1: If that's the case, we may not get the big
Speaker 1: bounce back or the big reopening that people are hoping for.
Speaker 1: So I'm gonn going to change as well, and we'll
Speaker 1: be watching it with the chief market strategist, Mac Maylie
Speaker 1: at Miller Tayback. Thank you for your time, Nathan, all right, Amy,
Speaker 1: thank you. It is a six fifteen on Wall Street. Now,
Speaker 1: we want to turn to some breaking news, and we
Speaker 1: just got from Political Playbook. In an interview with that publication,
Speaker 1: Arizona Senator Kirston Cinema, the Democrat, the junior or the
Speaker 1: senior Democrat in Arizona now says that she is changing
Speaker 1: her party affiliation too independent. Let's bringing Gregg value Are
Speaker 1: for more on this breaking news, chief US policy strategist
Speaker 1: at a GF Investments, Greg As, you know Kirsten Cinema
Speaker 1: has an independent streak. Why change your official affiliation to independent? Well,
Speaker 1: she's got a tough primary Nathan coming up in T
Speaker 1: four and she may feel that she couldn't win the
Speaker 1: Democrats primary, so she wants to leave the party now.
Speaker 1: But I gotta tell you this is not a huge deal.
Speaker 1: Because the Democrats have a fifty one majority. It will
Speaker 1: now be tied, I guess, but even even tied Tamala
Speaker 1: Harris breaks all ties, So I don't see what kind
Speaker 1: of cloud she'll get. She'll get a little more cloud,
Speaker 1: but I don't think it's dominant. And it's an interesting move,
Speaker 1: I think, given that Arizona just elected a Democrat for
Speaker 1: governor over carry Lake, Katie Hobbs winning there and uh,
Speaker 1: Mark Kelly still a Democrat in Arizona, the other senator
Speaker 1: from Arizona. Well, you're absolutely right. I think an awful
Speaker 1: lot of Democrats in Arizona are still angry with her
Speaker 1: for her many of her votes that were viewed as
Speaker 1: disloyal to the White House. So she, I think saw
Speaker 1: the handwriting on the wall and decided let's make the
Speaker 1: move now and established myself as an independent. And in
Speaker 1: terms of her rationale behind this, in the interview with Politico,
Speaker 1: she said that she's not going to caucus with Republicans,
Speaker 1: suggesting that she intends to vote the same way, saying, quote,
Speaker 1: nothing will change about my values or my behavior end
Speaker 1: quotes in our last thirty seconds here, Greg, what really
Speaker 1: changes with Kirsten Cinema Uh, leaving the Democratic Party? Not
Speaker 1: a lot. And if she does, I haven't seen the article.
Speaker 1: But if she does caucus with the Democrats, well so
Speaker 1: does Bernie Sanders show does Uh, there's a main senator
Speaker 1: also who caucuses with the Democrats. So it doesn't affect
Speaker 1: what's going on inside the Bellway. It does affect Arizona politics,
Speaker 1: as you say, in the primary, coming up in twenty
Speaker 1: four is if we didn't have enough to think about
Speaker 1: with the presidential rays and Joe Manson the other independent
Speaker 1: streak Democrat facing potential primary challenge as well. But Greg
Speaker 1: as always great to get your thoughts, particularly on this
Speaker 1: breaking news from Political playbook, Arizona Senator Kirston Cinema telling
Speaker 1: Politico she is registering is an independent leaving the Democratic Party.
Speaker 1: Are thanks this morning to Greg Valier, chief US policy
Speaker 1: strategist at a GF Investments. This is Bloomberg Markets headlines
Speaker 1: and breaking news twenty four hours a day at Bloomberg
Speaker 1: dot Com, the Bloomberg Business at and at Bloomberg Quicktape.
Speaker 1: Greece's a Bloomberg Business Clash. I'm Nathan Haker. This updates
Speaker 1: brought to you by Jewish Communal Fund. For fifty years,
Speaker 1: philanthropists at all levels have turned to jcfs, don'tor advised
Speaker 1: funds to streamline their charitable giving. Visit j CF and
Speaker 1: y dot org. Futures are on the rise, Treasuries holding
Speaker 1: steady ahead of US producer prices, one of the key
Speaker 1: final pieces of data before next week's FED decision. We
Speaker 1: checked the markets all day long for you on Bloomberg
Speaker 1: SMP futures are up thirteen points, now futures up seventy
Speaker 1: one and Nastack futures are higher by fifty one points. Ten.
Speaker 1: Your treasuries down to thirty seconds. You're three point four
Speaker 1: eight percent. Diamax screws up six tenths per cent. Forty
Speaker 1: four cents one gets you a barrel of West Texas
Speaker 1: Intermediate comex gold is up three tenths per cent or
Speaker 1: five dollar sixty cents. Eighteen oh seven ten announced the
Speaker 1: euro one point zero five five four against the dollar.
Speaker 1: The end, one point nine eight Bitcoin is hired by
Speaker 1: two tenths percent, trading around seventeen thousand, two hundred. That's
Speaker 1: a Bloomberg business flash. Now here's Michael Barr with a
Speaker 1: look at what else is going on around the world.
Speaker 1: Michael Nathan, thank you very much. We have two breaking stories.
Speaker 1: According to several media sources, Arizona Senator Kursten Cinema plans
Speaker 1: to switch from the Democratic Party to be an independent. Also,
Speaker 1: a plane believed to be carrying w n B A
Speaker 1: Star Brittney Grinder has arrived in San Antonio, Texas after
Speaker 1: a prisoners swap with Russia. Grinder was arrested in February
Speaker 1: for illegally bringing hash oil in Vade cartridges into Russia.
Speaker 1: Thursday Night football, the Rams beat the Raiders. Seventeen sixteen
Speaker 1: FIFA World Cup action resumes today Croatia plays Brazil. The
Speaker 1: Netherlands faces Argentina. Global News twenty four hours a day
Speaker 1: on air and on Bloomberg Quicktake Power by more than
Speaker 1: hundred journalists and analysts more than a hundred twenty countries.
Speaker 1: I'm Michael Barr, and this Bloomberg. Amy all right, thank you, Michael.
Speaker 1: It is six three on Wall Street. I'm Amy Moore.
Speaker 1: As this is Bloomberg Daybreak, brought to you by the
Speaker 1: Donor's Fun Open your free giving accounted minutes and instantly
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Speaker 1: As we await a couple of key economic reports this morning,
Speaker 1: we want to get some insight from chief economic Economist
Speaker 1: rather chief economist Nila Richardson at an EP Research Institute. Neila,
Speaker 1: good morning, Thank you for taking the time with US
Speaker 1: inflation data. The last big piece of the puzzle we've
Speaker 1: been waiting for before the next FED meeting. How much
Speaker 1: is this going to matter today? It matters because any
Speaker 1: information that we see that points in the direction of
Speaker 1: the lower inflation makes the Fitch job easier and it
Speaker 1: does shape some of their communication strategy. But the important
Speaker 1: distinction with the p p I from the cp I
Speaker 1: that will get it later is that it doesn't include
Speaker 1: housing and shelter cart and as we point to Chip
Speaker 1: house Glass speech, housing is a big issue for inflation
Speaker 1: as our wages. So it's missing a key piece. It's helpful,
Speaker 1: but it's not the full picture. So what are you
Speaker 1: going to be watching for instead. Well, obviously I think
Speaker 1: housing is important, but we're not going to see that
Speaker 1: change in real time. It's a very lagged indicator. But
Speaker 1: it's to me about wages. In fact, I can again
Speaker 1: point to house Reach the speech where he said the
Speaker 1: labor market holds the key to inflation, and we saw
Speaker 1: that in the November jobs report. We're still hovering about
Speaker 1: five percent on earnings from year over year, and ADP
Speaker 1: s own data we've seen wages stay elevated and move
Speaker 1: sideways in terms of growth, So wage pressures are still present.
Speaker 1: The labor market is still tight, and wages really arguing
Speaker 1: to be the determined factor in my view of where
Speaker 1: inflation is heading. Nila, this is a hard question, I know,
Speaker 1: But why is this labor market so complex? Why is
Speaker 1: it so complicated? Well, we didn't, you know, mose twenty
Speaker 1: million workers, and we it's been difficult to get many
Speaker 1: of those workers back. This was a people shock, It
Speaker 1: wasn't just an economic shock. People made different decisions, and
Speaker 1: at the household level, those decisions have proved sticky. Some
Speaker 1: people retired early. That FED has tomate two million people
Speaker 1: retired early because of the pandemic, But all kinds of
Speaker 1: other decisions were made, like to live on one income,
Speaker 1: to choose a remote job, to leave a job, to
Speaker 1: quit a part time job, and so those individual decisions
Speaker 1: have complicated the labor market in a very unique way
Speaker 1: because of the source of the shock, which was a
Speaker 1: major global health concern. Only about thirty seconds here. Has
Speaker 1: the labor market cooled off enough yet for the FED?
Speaker 1: I don't think so. I mean, we're still seeing strong
Speaker 1: hiring and consumer facing industries. Those are the ones that
Speaker 1: were hit hardest. Those are in the ones and the
Speaker 1: greatest need. Companies, especially smaller companies that were outpaced by
Speaker 1: the large companies during the recovery, are still trying to
Speaker 1: find qualified talent. Their intensity to hire has not cooled yet,
Speaker 1: so the hiring freezes that we're seeing at larger companies
Speaker 1: are likely to be absorbed that head count by small
Speaker 1: and medium firms who are still booking to hire. Alright, Nila,
Speaker 1: thank you so much for taking the time with us
Speaker 1: this morning. Chief economist Neila Richardson at ADP Research Institute.
Speaker 1: Checking futures now. Futures are higher across the border. S
Speaker 1: and B futures up by fourteen points, at All futures
Speaker 1: higher by seventy points now, Nasdaq futures up fifty three points.
Speaker 1: Ten year Treasury down one thirty second, the yield at
Speaker 1: three point four eight percent. Let's get a look at
Speaker 1: today's Bloomberg weather forecast with Bloomberg Meteorologist Rob Carolyn. Pressure
Speaker 1: covers the northeastern part of the country this morning. That's
Speaker 1: why we'll have sunshine across the Tri State area today.
Speaker 1: Temperature is pretty close to forty five this afternoon. It'll
Speaker 1: be clear for the most part tonight, thirty to thirty
Speaker 1: five in town twenties and the suburbs. Tomorrow, partial sun
Speaker 1: at times size forty forty five, afternoon shower Sunday highs
Speaker 1: forty to forty five. There maybe some wet snow mixing
Speaker 1: in Sunday evening. I'm Rob Caroline with your three day
Speaker 1: forecast on Bloomberg Even three oh broadcasting live from the
Speaker 1: Bloomberg Interactive Broker Studio in New York. Bloomberg e Living
Speaker 1: Freed to Washington, d C. Bloomberg to Boston, Bloomberg What
Speaker 1: all six one does? San Francisco, Bloomberg Homes sixty to
Speaker 1: the country Sirius XM A one nine team, and around
Speaker 1: the globe, the Bloomberg Business and Bloomberg Radio dot Com.
Speaker 1: This is Bloomberg Daybreak. It's coming up on six thirty
Speaker 1: on Wall Street. Good Friday morning. I'm Amy Morris, I'm
Speaker 1: Nathan Hagar. Were nearly three hours away from the open
Speaker 1: of US trading time for the five things you need
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Speaker 1: of First, a plane carrying w NBA star Britney Grinder
Speaker 1: has now landed in San Antonio, hours after the White
Speaker 1: House traded an arms dealer for her release. Grinder's back
Speaker 1: on US soil nearly ten months after her detention in Russia.
Speaker 1: The release puts a renewed spotlight on retired Marine Paul Wheeland,
Speaker 1: who remains imprisoned in Russia. White House Press Secretary Karine
Speaker 1: Jean Pierre says negotiations for his release are ongoing, but
Speaker 1: she says Russia won't budge. We did not want to
Speaker 1: lose the opportunity before us to secure the release of
Speaker 1: one of them, and so that was the choice, one
Speaker 1: or none. Now, the White House says they are still
Speaker 1: working to secure Paul Wheeland's release and to the markets
Speaker 1: now Nathan, where US features are higher ahead of today's
Speaker 1: inflation data that produce surprise index will be one of
Speaker 1: the final readings before next week's SPED decision. We get
Speaker 1: a preview from Bloomberg's vineing Del Judais. November's producer price
Speaker 1: and dex rose eight percent here over a year, the
Speaker 1: smallest increase since June one, money that is still well
Speaker 1: above the federal reserves, overall inflation target. What's going on?
Speaker 1: Bloombrig Economics notes goods prices are moderating as domestic and
Speaker 1: global demand slow and supply chain glazes. The strong dollar
Speaker 1: is also an issue. Next week we get data on
Speaker 1: November consumer prices. Beneat dryl Judai s Bloombergday Break. Okay, Vinny,
Speaker 1: thanks that the spike calls for recession. Some of the
Speaker 1: biggest investors predict stocks will see gains next year. Of
Speaker 1: respondence to a Bloomberg survey, expect equities to rise that
Speaker 1: compares with forecasting declines. However, that's not the view from
Speaker 1: Morgan Stanley Chief investment Officer Mike Wilson. He has turned
Speaker 1: to barish again, saying value stocks are a risk. So
Speaker 1: I don't think there's as much of a distinction between
Speaker 1: value and growth at this stage of the economic cycle,
Speaker 1: unless you're talking about the defensive parts value. Morgan Stanley
Speaker 1: Chief investment Officer Mike Wilson expects the S and P
Speaker 1: five D to resume declines relatively soon and no developments.
Speaker 1: This morning, Amy and the collapse of crypto exchange f
Speaker 1: t X. Sam Bankman freed the founders missed a key
Speaker 1: Senate deadline, and we get the latest live with Bloomberg
Speaker 1: Steve Rappaport, Steve, Good morning, Nathan and Amy. Bankman Freed
Speaker 1: had until five pm yesterday to respond to a letter
Speaker 1: requesting he appeared before a Senate Banking committee next week.
Speaker 1: The chairman and ranking member Pat to me are prepared
Speaker 1: to issue with subpoena if he doesn't comply. Bankman Freed
Speaker 1: recently indicated he would testify before a House committee, though
Speaker 1: it's unclear why he's remaining silent on this one. However,
Speaker 1: he has retained a defense attorney. Live in New York,
Speaker 1: I'm Steve Rappaport, Bloomberg Daybreak. Thank you, Steve. That's the
Speaker 1: five things you need to know to start your day,
Speaker 1: brought to you by Interactive Brokers. Ahead of Producer price data,
Speaker 1: futures moving high, er S ANDP futures up fourteen points,
Speaker 1: Staff futures up seventy six and Naszak futures are on
Speaker 1: the rise this morning by fifty five points. Straight ahead,
Speaker 1: your latest local headlines and a check of sports. This
Speaker 1: is Bloomberg. Thank you. Nathan at six thirty one on
Speaker 1: Wall Street. Let's bring in Michael Barr with more on
Speaker 1: what else is going on in New York and around
Speaker 1: the world. Good morning, Michael, Good morning Amy, and we
Speaker 1: have breaking news. Arizona Senator Kirsten Cinema plans to switch
Speaker 1: from the Democratic Party to become an independent. We spoke
Speaker 1: with Bloomberg's Greg Valley a few moments ago on what
Speaker 1: this means for the Senate. This is not a huge
Speaker 1: deal because the Democrats have a fifty one majority. It
Speaker 1: will now be tied, I guess, but even even tied,
Speaker 1: Kamala Harris breaks all ties, So I don't see what
Speaker 1: kind of cloud she'll get. She'll get a little more cloud,
Speaker 1: but I don't think it's dominant Bloomberg's Greg Valley. There's
Speaker 1: a call for a federal judge to stop a plan
Speaker 1: by New York City Mayor Eric Adams to force people
Speaker 1: from the streets and into mental health treatment. Advocates for
Speaker 1: people with mental illnesses say that the policy dangerously perm
Speaker 1: it's the involuntarily the tension of individuals who seem to
Speaker 1: have a mental illness. The lawsuit seeks to remove police
Speaker 1: officers as first responders for those requiring healthcare. The Department
Speaker 1: of Justice is asking a federal judge to hold former
Speaker 1: President Trump's team in contempt over the Mara Lago case.
Speaker 1: The o J says Trump's office failed to fully comply
Speaker 1: with a may subpoena to return all classified documents in
Speaker 1: his possession. The US is preparing new sanctions on Russia
Speaker 1: and China. It's for human rights abuses by both countries. Again.
Speaker 1: Our top story, Arizona Senator Kristen Cinema plans to switch
Speaker 1: from the Democratic Party to become an independent global news
Speaker 1: twenty four hours a day on air and on Bloomberg Quicktake,
Speaker 1: powered by more than journalists and analysts and more than
Speaker 1: one hundred twenty countries. I'm Michael Barr, and this is
Speaker 1: Bloomberg Amy. All right, thank you, Michael. Six on Wall Street.
Speaker 1: Now for the sports report, brought to you by Try
Speaker 1: State Audi. Here's John stash Our. All right. I mean,
Speaker 1: this is why the Mets fans were so happy when
Speaker 1: Steve Cohen bought the team. Deep pockets. The Mets, already
Speaker 1: with the highest payroll, added to it by keeping free
Speaker 1: agent center fielder Brandon Nemo an eight year contract for
Speaker 1: a hundred and sixty two million dollars, and the Mets
Speaker 1: have also thrown ten million at Veteran leaver David Robertson
Speaker 1: had two stints with the Yankees. Finished last season with
Speaker 1: the Phillies l a Rams Havn, perhaps the worst season
Speaker 1: ever for defending Super Bowl champion. They were looking at
Speaker 1: a seventh straight lost trail the Raiders by thirteen, who
Speaker 1: were under four months left, but Baker Mayfield, two days
Speaker 1: after being acquired by the Rams, led them on too
Speaker 1: long touchdown drives. He threw a game winning TV pass
Speaker 1: with ten seconds left from the Rams one seventeen sixteen
Speaker 1: college hoops heartbreaking loss for Rutgers. Ohio State hit a
Speaker 1: three pointer with a second left beat the Scarlet Knight
Speaker 1: sixty seven sixty six. They'll hand out the Heisman Trophy
Speaker 1: tomorrow in New York. The favorite to win his USC
Speaker 1: quarterback Kayleb Williams Army Navy game tomorrow in Philadelphia. Jason Garrett,
Speaker 1: former Cowboys coach, Giants assistant, now finalist to be the
Speaker 1: new coach at Stanford. The World Cup down of the
Speaker 1: final a with one surprise team that's Morocco, never before
Speaker 1: a quarterfinal, is playing Portugal tomorrow ahead of the much
Speaker 1: anticipated game between France and England. Today it's Brazil against
Speaker 1: Croatia and Argentina takes on the Netherlands. Nicks just beat
Speaker 1: the Hawks. Nets just beat the Hornets tonight they reversed
Speaker 1: the opponents. It's the Knicks in Charlotte and the Nets
Speaker 1: home for Atlanta. John stash Howard Bloomberg Sports. Thank you, John.
Speaker 1: The Bloomberg Sports Report was brought to you by Audie.
Speaker 1: Don't let someone else drive off in the Audi model
Speaker 1: you've always wanted. Visit your local try state autie dealer
Speaker 1: to get behind the wheel of yours today, or a
Speaker 1: visit autie Offers dot com for more information. Futures are higher,
Speaker 1: SMP up fourteen, DAL futures up seventy points, NASDAC features
Speaker 1: up fifty two, and the ten year Treasury down to
Speaker 1: thirty seconds. It's six thirty five on Wall Street. Bloomberg
Speaker 1: Radio is on the air from San Francisco to New York,
Speaker 1: London to Hong Kong. Let's check in with our global
Speaker 1: news team for some of the top stories heard on
Speaker 1: our three hundred affiliate radio stations around the world. I'm
Speaker 1: Steve Podas on K and X in Los Angeles. We're
Speaker 1: talking about Veil Resorts, saying it's on track to be
Speaker 1: fully staffed at all of its ski resorts this coming season.
Speaker 1: Um Corney Donahoe on kat R H in Houston. Amazon
Speaker 1: is launching a TikTok style seed double let shoppers Scholl
Speaker 1: for Merchandise. I'm Gina Servetti and for k CBS in
Speaker 1: San Francisco. I'm reporting that the Federal Trade Commission is
Speaker 1: suing to stop Microsoft from buying Activision Blizzard. I'm Jeff
Speaker 1: Bellinger and on WTVN and Columbus, I'll be talking about
Speaker 1: workers at an Ohio battery plant voting to join the
Speaker 1: United Auto Workers Union. I'm at Corey on w w
Speaker 1: J in Detroit. I'm reporting former Michigan Governor Rick Schneider
Speaker 1: is leading a cyber's purity start up. And those are
Speaker 1: some of these stories are Bloomberg journalists and analysts are
Speaker 1: working on this morning around the world. It's sixty seven
Speaker 1: on Wall Street. The following is an editorial from Bloomberg Opinion.
Speaker 1: This editorial was written by the Bloomberg Editorial Board. Former
Speaker 1: President Donald Trump hasn't managed to criticize comments made by
Speaker 1: his recent private dinner guest, The rapper, formally known as
Speaker 1: Kanye West, who took to a podcast to praise Hitler
Speaker 1: and deny the Holocaust. Trump's other guests that night, the
Speaker 1: white supremacist Nick Quente's, has called for a quote total
Speaker 1: eran victory unquote. It would be tempting to dismiss such
Speaker 1: statements as the usual rantings by the usual crazies, except
Speaker 1: that the host of this file gathering is still the
Speaker 1: odds on favorite to be the Republican nominee for president.
Speaker 1: If Trump can't bring himself to condemn such sentiments, his
Speaker 1: party needs to. Anti Semitism has no place in American politics.
Speaker 1: This editorial was written by the Bloomberg Editorial Board from
Speaker 1: Bloomberg Opinion. Please go to Bloomberg dot com slash opinion
Speaker 1: or O P I N go on the Bloomberg terminal.
Speaker 1: This has been Bloomberg Opinion. Bloomberg Opinion editorials can be
Speaker 1: heard every weekday at this time, and terminal customers can
Speaker 1: read more at opie I n go. Let's take a
Speaker 1: look at some of the stocks on the move this morning.
Speaker 1: Shares of Lulu Lemon down more than seven percent. Gross
Speaker 1: margins at the yoga ware maker came in below estimates.
Speaker 1: Shares a broad Colm up three percent. The ship maker
Speaker 1: gave an upbeat sales forecast, indicating that demand remains strong,
Speaker 1: and shares of Docu Signer up eleven percent. The company
Speaker 1: boosted its revenue guidance for the full year. Meantime, carbon
Speaker 1: stock is taking a hit this morning. Shares of Carbonna
Speaker 1: down four percent, giving up some of yesterday's gains. The
Speaker 1: stock surged nearly thirty percent yesterday after we reported Carbonna
Speaker 1: is consulting with lawyers and bankers about options for managing
Speaker 1: its dead load. Up next, on daybreak, we're gonna look
Speaker 1: at more of the movers in the markets. This is
Speaker 1: Bloomberg Markets headlines and breaking news twenty four hours a
Speaker 1: day at Bloomberg dot com, the Bloomberg Business Out, and
Speaker 1: at Bloomberg Quick Tape. He's a Bloomberg Business Flash. I'm
Speaker 1: Nathan Hager. This update is brought to you by the
Speaker 1: Donors Fund, a modern, innovative donor advised fund for everyone.
Speaker 1: Open a free account in minutes, with no minimums, no
Speaker 1: transaction fees or hidden costs. Visit the Donors Fund dot
Speaker 1: org today and get your two tax deduction. Futures are
Speaker 1: moving higher on a data driven Friday. We're waiting producer
Speaker 1: prices at eight thirty Wall Street time. Head of that,
Speaker 1: SMP futures are up twelve points, staff futures up sixty
Speaker 1: one and nastic futures are higher by forty four points.
Speaker 1: We check the markets all day on Bloomberg. Take your
Speaker 1: treasuries down one thirty second yield three point eight percent,
Speaker 1: yield on the two year four point to eight percent.
Speaker 1: Imex screws up a half percent right now thirty six
Speaker 1: cents at seventy one eighty two cents of barrel. Come
Speaker 1: X gold is up a half percent, up eight doll
Speaker 1: forty announced. The euro one point zero five six zero
Speaker 1: against the dollar the end one three bitcoins hired by
Speaker 1: three tenths percent, trading around seventeen thousand, two hundred. That's
Speaker 1: a Bloomberg business slash. Now here's Michael Barr with more
Speaker 1: on what's going on around the world. Michael Nathan, thank
Speaker 1: you very much. Two breaking stories. Arizona Senator Kristen Cinema
Speaker 1: pass change parties. She registered from Democrat too. Independent plane
Speaker 1: believed to be carrying w n B A Star Britney Grinder,
Speaker 1: arrived in San Antonio, Texas early this morning, Grinders spent
Speaker 1: more than nine months in Russian custody. Your family has
Speaker 1: asked for privacy for Grinder to heal. Thursday night football,
Speaker 1: the Rams beat the Raiders. Seventeen sixteen FIFA World Cup
Speaker 1: action resumes today Croatia plays Brazil, the Netherlands faces Argentina.
Speaker 1: Global News twenty four hours a day on air and
Speaker 1: on Bloomberg Quicktake, powered by more than twenty seven hundred
Speaker 1: journalists and analysts more than a hundred twenty countries. Michael
Speaker 1: Barr and this is Bloomberg, Nathan, Thank you, Michael. It
Speaker 1: is sixty two on Wall Street. Let's turn to news
Speaker 1: and science and technology now. The Bloomberg n j I
Speaker 1: T STEM Report brought to you by New Jersey Institute
Speaker 1: of Technology and j I T offers New Jersey's first
Speaker 1: undergraduate degree in fintech, tech driven finance focused. What will
Speaker 1: you make at n j I T. Learn more at
Speaker 1: n j I T dot E d U slash fintech Now.
Speaker 1: Here's what's making news and science, technology, engineering, and math.
Speaker 1: China faces a daunting task after abruptly giving up on
Speaker 1: COVID zero, The number of infections is expected to soar
Speaker 1: and deaths are predicted to rise over two million. The
Speaker 1: US and Europe had an ebb and flow pattern of
Speaker 1: outbreaks over months and years, but China is likely to
Speaker 1: see a wave of infections in Gulf the country all
Speaker 1: at once. The Federal Trade Commission has sued to block
Speaker 1: microsoft planned sixty nine billion dollar take over a video
Speaker 1: game company, Activision Blizzard. The agency says it could suppress
Speaker 1: competitors to Microsoft's Xbox game console and it's growing games
Speaker 1: subscription business. And a half century after US astronauts brought
Speaker 1: it back from the Moon's surface, a minute piece of
Speaker 1: extraterrestrial rock has finally reached its intended destination, the eastern
Speaker 1: Mediterranean island nation of Cyprus. The one point one grand
Speaker 1: piece of moon rock was on display yesterday and an
Speaker 1: exhibition commemorating the fiftieth anniversary of the last of the
Speaker 1: Apollo lunar landings and the Artemis Mission. Who's Ryan Capsule
Speaker 1: is on its way back to Earth after orbiting the Moon.
Speaker 1: That's the Bloomberg and j I T Stem report. Amy,
Speaker 1: All right, thank you, Nathan. It is six forty three
Speaker 1: on Wall Street time now to check what's going on
Speaker 1: in d C. And some of the top stories in
Speaker 1: our nation's capital include, as we've been telling you this morning,
Speaker 1: Arizona Senator Kristan Cinema has changed parties from Democrat to Independent.
Speaker 1: You've also been hearing us talk about Britney Griner released
Speaker 1: from that Russian labor camp. We're going to get reaction
Speaker 1: to that. President Biden expected to sign their respect for
Speaker 1: marriage at Congress past that yesterday. And then, of course,
Speaker 1: the negotiations are ongoing for the spending bill to fund
Speaker 1: the government days before the deadline to a vertic shutdown.
Speaker 1: It's a lot happening here. On the Friday morning, we
Speaker 1: bring in Bloomberg, senior Washington correspondent and the host of
Speaker 1: Sound On, Joe Matthew. Joe, good morning to you. Good
Speaker 1: morning Amy. All right, thank you Joe for being there.
Speaker 1: What is the impact of Cinema's change of heart. Well,
Speaker 1: my goodness, the impact here. It brings us back couple
Speaker 1: of days. I need to take back some of the
Speaker 1: things I told you when I was in Georgia. Remember
Speaker 1: the whole point here to getting Raphael Warnock reelected was
Speaker 1: to get that extra breathing room. That split in the Senate,
Speaker 1: and it looks like that's gonna be going away as
Speaker 1: soon as it arrives. Uh, Joe Mansion rising. You know,
Speaker 1: we're gonna be back in this fifty fifty split essentially
Speaker 1: with Kirston Cinema now acting as an independent. Now it's
Speaker 1: important here she says that she will not caucus with
Speaker 1: the Democrats, but will also not behave any Differently, it
Speaker 1: appears that she wants to keep her committee assignments, so
Speaker 1: we kind of have another Bernie Sanders here, but he's
Speaker 1: not but still not attending the Democratic luncheons and following
Speaker 1: the Democrat uh sort of mantra here. It's unclear exactly
Speaker 1: what that will mean for counting votes in the Senate.
Speaker 1: But look, we have to be honest about where we're
Speaker 1: coming from here. Kirsten Cinema has been a real thorn
Speaker 1: in the side of a lot of Democrats and her
Speaker 1: reluctance to raise taxes, in her reluctance to end the
Speaker 1: filibuster in the Senate, and that's why a lot of
Speaker 1: the republic a lot of the Democratic agenda of Joe
Speaker 1: Biden's agenda like build back Better never got passed. So
Speaker 1: this may not change as much as the headline might imply,
Speaker 1: is there any indication why she decided to do this now? Well, look,
Speaker 1: if you ask her, she'll tell you about her independent
Speaker 1: spirit and that this is what's right for the people
Speaker 1: of Arizona. But the fact of the matter is she
Speaker 1: is facing a likely primary challenge in Congressman Ruben Diego,
Speaker 1: a Democrat from Arizona to her left, who talked months
Speaker 1: ago on Bloomberg sound On about his plans to challenge her.
Speaker 1: Could really create an issue in the primary. This would
Speaker 1: mean that she would not have a head to head
Speaker 1: challenge in the primary race. But that's not, by the way,
Speaker 1: the reason that she's talking about Paul Plickly, she says,
Speaker 1: she's not even talking about a second term yet. All right,
Speaker 1: let's shift gears now. Britney Grinder landed in Texas this
Speaker 1: morning and then headed straight into medical evaluation. Obviously, there's
Speaker 1: a lot of a mixed emotion about her release. What
Speaker 1: are you hearing, Well, that's true. I mean, the White
Speaker 1: House press briefing yesterday really brought this to the four least.
Speaker 1: This is a really difficult balancing act for the White
Speaker 1: House to try to celebrate the release of an American
Speaker 1: who was, in their eyes wrongfully detained. Well, at the
Speaker 1: same time talking to families of other Americans still detained,
Speaker 1: like Paul Whalen. How come he didn't come home? How
Speaker 1: come he was left behind? Many are asking, you're talking
Speaker 1: about a US marine who has been stuck over there
Speaker 1: since accused of spying. I spoke with a lawyer last evening.
Speaker 1: He was representing another American, Mark Vogel, who was over there,
Speaker 1: a teacher who has been detained there for years. Uh
Speaker 1: And and look, it's it's unclear exactly what went behind
Speaker 1: this swap, So we don't want to act like we
Speaker 1: were in the room for it, but she was swapped
Speaker 1: for a reputed arms dealer, for somebody who is in
Speaker 1: prison for trying to kill Americans. Right this this Victor
Speaker 1: boot is now back in Russia and could well help
Speaker 1: Vladimir Putin acquire arms to use in the war in
Speaker 1: Ukraine that he can't get otherwise. So there were major
Speaker 1: national security implications at the same time as celebrating the
Speaker 1: return of American to come home. This is this is
Speaker 1: a very difficult time emotionally and politically for the White House.
Speaker 1: To see that Grinder's wife up there yesterday was a
Speaker 1: very touching moment to hear from Paul Whalen's family was
Speaker 1: too There's a lot to unpack there, but we've got
Speaker 1: a pivot now to the Respect for Marriage at It
Speaker 1: was just a big day at the White House because
Speaker 1: Congress passed their Respect for Marriage Act. The President's about
Speaker 1: to sign it. That's huge, Well, it was. It was
Speaker 1: a huge day in the House. Is a huge day
Speaker 1: for Nancy Pelosi. She got emotional when she was in
Speaker 1: the Speaker's rostram to deliver the final tally to drop
Speaker 1: the gavel on this and couldn't actually get it out
Speaker 1: at first. It's likely the last major thing that she
Speaker 1: will do as speaker. But look, this is a big deal.
Speaker 1: It's it's something that's approved by more than is supported
Speaker 1: by more than seventy Americans, even as a lot of
Speaker 1: Republicans voted against it on religious grounds. This is now
Speaker 1: the law of the land. It codifies same sex marriage.
Speaker 1: It removes the Defense of Marriage Act and replaces it
Speaker 1: with the Respect for Marriage Act. Alright, we got about
Speaker 1: a minute here, lawmakers still debating spending bills on Capitol
Speaker 1: here are they going to make that December sixteenth deadline?
Speaker 1: Oh my gosh, Well, It depends how you qualify making it.
Speaker 1: I would get ready to start kicking the can, start
Speaker 1: start doing the can can here because it's good to
Speaker 1: be about Christmas time, and it's likely that they will
Speaker 1: push this right up until Christmas Eve. The question is
Speaker 1: is that enough time to get an omnibus budget LA
Speaker 1: real budget and appropriations deal or is it going to
Speaker 1: be a year long continuing resolution which would not go
Speaker 1: very well for the Pentagon, for instance, because you end
Speaker 1: up handcuffing agencies to follow the budget from last year.
Speaker 1: There's a lot of sticking points here. They are not
Speaker 1: agreeing on the top line. But it was encouraging to
Speaker 1: see the National Defense Authorization Act pas US this week.
Speaker 1: At least there is a framework for Pentagon spending that
Speaker 1: also eliminates the COVID vaccine mandate for the military. That's
Speaker 1: a big deal that is expected to pass the Senate,
Speaker 1: and that was a compromise between Democrats and Republicans. That's true, yes,
Speaker 1: and that's why it is expected to pass the Senate
Speaker 1: and the President will really have no choice but to
Speaker 1: sign it. All right, We're going to continue to watch
Speaker 1: that with you. Bloomberg's Joe Matthew, host of Bloomberg sound
Speaker 1: on and senior Washington correspondent for Bloomberg. Thank you very
Speaker 1: much for taking the time with us this morning. There's
Speaker 1: a lot going on on Capitol Hill. You can read
Speaker 1: more about these stories on Bloomberg dot com or on
Speaker 1: the Bloomberg terminal. And a reminder, you can follow all
Speaker 1: of the latest on Bloomberg Radio in Washington. Bloomberg ninety
Speaker 1: nine one and one oh five point seven, f M
Speaker 1: HD two S and P Future thirteen points higher now,
Speaker 1: Dell futures sixty points hire NASDAC futures up fifty the
Speaker 1: ten year treasury unchanged. Much more still to come on
Speaker 1: this Friday morning. Don't go anywhere. This is Bloomberg Markets,
Speaker 1: headlines and breaking news twenty four hours a day at
Speaker 1: Bloomberg dot com, the Bloomberg Business at and at Bloomberg
Speaker 1: Quick Tape Truce. He's a Bloomberg Business lash. I'm Nathan Hagar.
Speaker 1: This update is brought to you by the Donors Fund
Speaker 1: of Modern Innovative donor advised Fund for everyone. Open a
Speaker 1: free account in minutes, with no minimums, no transaction fees
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Speaker 1: and get your twenty two tax deduction futures moving higher
Speaker 1: as we await producer prices in just about an hour
Speaker 1: and a half or so. We checked the markets all
Speaker 1: day long. On bloomberg SMP futures are up fourteen points,
Speaker 1: DAL future is up sixty seven and NASTAC futures are
Speaker 1: higher by fifty four points. Send your treasury little change.
Speaker 1: The yield three point for eight percent, two year yield
Speaker 1: four point to seven percent. Nimex screws up almost a
Speaker 1: half percent at seventy one dollar. Seventy nine cents of
Speaker 1: Verari comic gold is up six tenths percent at eighteen
Speaker 1: twelve sixty announced. The Euro trades at one point zero
Speaker 1: five five six against the dollar again is at one three.
Speaker 1: Bitcoins up by four tenths percent at seventeen thousand, two
Speaker 1: hundred fifty. That's a Bloomberg business flash, Amy Nathan, it
Speaker 1: is six fifty six on Wall three. Time to take
Speaker 1: a look at the stocks and some of the names
Speaker 1: moving in the pre market. For that, we're joined by
Speaker 1: Bloomberg's Tatiana Daria. Tatiana, thank you for taking the time
Speaker 1: with us. What you got uh yeah, I mean good morning.
Speaker 1: So I'm looking at Lulu Lemon here moving in the
Speaker 1: pre market down about a seven percent here and pointing
Speaker 1: to open lower by about twenty dollars are so per share,
Speaker 1: and that has to do with its earnings. It posted
Speaker 1: three quarter earnings last night and a measure of a
Speaker 1: profitability key measure, the gross margin was about a percentage
Speaker 1: point lower than analysts estimated. And this is really indicative
Speaker 1: of the troubles of the whole retail industry as a whole.
Speaker 1: Right as we know, they're working through bloated inventories, and
Speaker 1: for Lulu Lemon itself, those inventories have risen about eighty
Speaker 1: five And second, you know, it's also indicative of the
Speaker 1: challenges for corporate America as a whole as you look
Speaker 1: at increased cost versus perhaps slow and spending for from
Speaker 1: consumers and the effects of the strong dollars. So that
Speaker 1: all played into Lulu Lemus earnings here. Now, the CEO
Speaker 1: said that the company hasn't seen any significant shift in
Speaker 1: spending among their guests. But nonetheless, this adds just to
Speaker 1: the mixed pictures on consumers that we're getting. Yes, we
Speaker 1: know they're still spending, but that's spending is slowing and
Speaker 1: Unfortunately for retail stocks that is not translating into games.
Speaker 1: If you look at that sector, it's still down about
Speaker 1: thirty percent year today. And you're seeing a rally with
Speaker 1: Docu sign too. Yes, we're seeing a thirteen percent rally
Speaker 1: in the pre market here. That also has to do
Speaker 1: with earnings. The company reported a strong a third quarter
Speaker 1: billings and analysts are saying results were boosted by early renewals.
Speaker 1: That has gained the stock also an upgrade here. Um
Speaker 1: and you know and Allo start houting this is a
Speaker 1: good sign that growth is re accelerating at last and
Speaker 1: that this is a good showing for the new CEO.
Speaker 1: Reminder that CEO took over just in October after a
Speaker 1: tumultus period for the stock. It's still down yere today,
Speaker 1: so it's definitely one that can use some good news here.
Speaker 1: And what do you see moving with Netflix? Well, Netflix
Speaker 1: is also up at three percent here in the pre
Speaker 1: market after gaining an upgrade and Cowen also naming it
Speaker 1: a top pick. It looks like the company is gaining
Speaker 1: fans on Wall Street with its you know, the latest
Speaker 1: turnaround plan. As a reminder, they've recently introduced a lower
Speaker 1: priced advertising sponsored subscription tire of six and ninety nine. Uh.
Speaker 1: And this after they've had a couple of difficult earning
Speaker 1: seasons and um that spurts sort of, you know, this
Speaker 1: turnaround plan, and it seems to be working, as chairs
Speaker 1: of gained here in recent months. Uh. And as we
Speaker 1: see and Alyssa are getting more bullish. Uh and they're
Speaker 1: saying that you know, um, next year content will improve
Speaker 1: and global growth self provides a tail wing. Alright. Bloomberg's
Speaker 1: Tatiana Daria, thank you for joining us this morning looking
Speaker 1: at stocks as a whole. Ahead of the open. SNP
Speaker 1: futures are fifteen points higher. DAL futures up by sixty
Speaker 1: eight points, NASDAK futures up fifty six points. The tenure
Speaker 1: Treasury unchanged the yield at three point for eight percent.
Speaker 1: It's sixty nine on Wall Street. Stay with us. Bloomberg
Speaker 1: Surveillance with Jonathan Farrow and Lisa Abramawitz starts right now
Speaker 1: by from the financial capital of the World, broadcasting across
Speaker 1: the globe. This is WVBR, New York, Bloomberg eleven three. Oh.
Speaker 1: We've never seen a recession so anticipated. The first half
Speaker 1: of the year