1 00:00:02,400 --> 00:00:05,880 Speaker 1: Live from the Bloomberg Interactive Brooker Studios. This is Bloomberg 2 00:00:05,960 --> 00:00:10,680 Speaker 1: Daybreak for Thursday, November two. Coming up this shower investors 3 00:00:10,720 --> 00:00:14,200 Speaker 1: price for this morning's inflation report, The Justice Department looks 4 00:00:14,200 --> 00:00:17,599 Speaker 1: into the turmoil surrounding the crypto exchange f t X. 5 00:00:17,880 --> 00:00:21,000 Speaker 1: Control of the Senate comes down to three states, and 6 00:00:21,120 --> 00:00:24,960 Speaker 1: Elon must tells Twitter workers to prepare for difficult times ahead. 7 00:00:25,239 --> 00:00:28,480 Speaker 1: Hurricane Nicole as at the east coast of Florida. Plus 8 00:00:28,520 --> 00:00:31,160 Speaker 1: the U says about a hundred thousand Russian soldiers have 9 00:00:31,240 --> 00:00:34,240 Speaker 1: been killed in Ukraine. I'm Michael Barr more a half. 10 00:00:34,280 --> 00:00:36,880 Speaker 1: I'm on Stash Shower and Sports than Nets. After naming 11 00:00:36,920 --> 00:00:40,520 Speaker 1: shop Vader Permanent coach blew out, the next local hockey 12 00:00:40,560 --> 00:00:44,800 Speaker 1: teams all played tonight. That's all straight Ahead on Bloomberg 13 00:00:44,880 --> 00:00:50,000 Speaker 1: Daybreak on Bloomberg Eliving, Freeo, New York, Bloomberg one, Washington, 14 00:00:50,120 --> 00:00:53,640 Speaker 1: d C, Bloomberg one oh six one, Boston, Bloomberg nine, 15 00:00:53,760 --> 00:00:58,240 Speaker 1: San Francisco, Sirius x M one nineteen and around the 16 00:00:58,280 --> 00:01:01,640 Speaker 1: world on Bloomberg Radio Dot Come and via the Bloomberg 17 00:01:01,680 --> 00:01:10,160 Speaker 1: Business at Good Morning. I'm Nathan Hagar and I'm Karen Moscow, 18 00:01:10,280 --> 00:01:12,600 Speaker 1: US not Getnecks future is on the rise this morning. 19 00:01:12,600 --> 00:01:14,400 Speaker 1: We're coming up to six oh one on Well Street, 20 00:01:14,400 --> 00:01:16,480 Speaker 1: and we check the markets every fifteen minutes throughout the 21 00:01:16,520 --> 00:01:20,279 Speaker 1: trading day. On bloomberg SMP futures up, Abody points, Stout 22 00:01:20,319 --> 00:01:23,520 Speaker 1: futures at forty two, Nastack futures at thirty two, and 23 00:01:23,560 --> 00:01:26,240 Speaker 1: a ten year treasury down four thirty seconds. He held 24 00:01:26,280 --> 00:01:28,759 Speaker 1: four point one zero percent. They yield on the two 25 00:01:28,840 --> 00:01:32,160 Speaker 1: year four point six one per cent. Nathan Karen us 26 00:01:32,240 --> 00:01:36,240 Speaker 1: futures are gaining after yesterday's sell off. Several factors contributed 27 00:01:36,280 --> 00:01:39,680 Speaker 1: to the losses, including weak earnings from Disney, a crypto meltdown, 28 00:01:40,080 --> 00:01:43,080 Speaker 1: and Republicans failing to sweep the mid terms. Jimmy Lee, 29 00:01:43,120 --> 00:01:46,560 Speaker 1: as CEO at Wealth Consulting Group, the selloff that we're 30 00:01:46,560 --> 00:01:49,280 Speaker 1: getting from the mid terms I think creates more opportunity. 31 00:01:49,520 --> 00:01:51,160 Speaker 1: I mean, the bottom line is we're gonna get gridlock 32 00:01:51,240 --> 00:01:53,120 Speaker 1: for another couple of years, which is what we knew 33 00:01:53,160 --> 00:01:56,360 Speaker 1: was going to happen anyways, and so I don't think 34 00:01:56,360 --> 00:02:00,400 Speaker 1: it changes a ton of different things in terms of, 35 00:02:01,080 --> 00:02:03,560 Speaker 1: you know, what legislation would have been or wouldn't have 36 00:02:03,560 --> 00:02:05,320 Speaker 1: been over the next two years, and I think the 37 00:02:05,360 --> 00:02:08,320 Speaker 1: focus will be then on the presidential election. Wealth consulting groups. 38 00:02:08,360 --> 00:02:10,880 Speaker 1: Jimmy Lee says he's still optimistic the Fed delivers a 39 00:02:11,000 --> 00:02:15,400 Speaker 1: soft landing for the economy. Meantime, Nathan cryptocurrencies are bouncing 40 00:02:15,400 --> 00:02:18,320 Speaker 1: back a bit this morning. Right now, Bitcoin is up 41 00:02:18,480 --> 00:02:21,959 Speaker 1: more than three percent at sixteen thousand, two hundred sixty dollars. 42 00:02:22,160 --> 00:02:24,840 Speaker 1: The digital currency hit the lowest levels in two years 43 00:02:24,880 --> 00:02:27,440 Speaker 1: after Binance walked away from its plan takeover of f 44 00:02:27,560 --> 00:02:30,880 Speaker 1: t x dot Com. Now the Justice Department is investigating 45 00:02:30,919 --> 00:02:34,520 Speaker 1: turmoil at ft X. Bloomberg's Doug Krisner has the story 46 00:02:35,040 --> 00:02:38,079 Speaker 1: a liquidity crisis has pushed f t X to the brink. 47 00:02:38,240 --> 00:02:41,680 Speaker 1: The firm's founder and CEO, Sam Bankman Freed told investors 48 00:02:41,840 --> 00:02:44,519 Speaker 1: without a cash injection, the company would need to file 49 00:02:44,560 --> 00:02:47,920 Speaker 1: for bankruptcy. Our sources say he said the short follows 50 00:02:48,000 --> 00:02:51,120 Speaker 1: up to eight billion dollars and f t X needs 51 00:02:51,120 --> 00:02:54,320 Speaker 1: four billion to remain solvent. And now we're told officials 52 00:02:54,320 --> 00:02:56,480 Speaker 1: from the d o J are working with attorneys at 53 00:02:56,480 --> 00:03:01,240 Speaker 1: the SEC in investigating. Regulators are already investigating whether ft 54 00:03:01,480 --> 00:03:04,799 Speaker 1: X mishandled customer funds, and they're looking into the firm's 55 00:03:04,840 --> 00:03:08,840 Speaker 1: relationships with other parts of bank Man Freed's crypto empire 56 00:03:09,240 --> 00:03:12,120 Speaker 1: in New York. I'm Doug Prisoner Bloomberg Daybreak. All right, Doug. Thanks. 57 00:03:12,160 --> 00:03:14,840 Speaker 1: Investors and officials are calling for tighter regulation of the 58 00:03:14,840 --> 00:03:18,040 Speaker 1: crypto markets, especially after this recent meltdown. We caught up 59 00:03:18,040 --> 00:03:21,520 Speaker 1: with the Commissioner of the Commodity Futures Trading Commission, Caroline Fam, 60 00:03:21,760 --> 00:03:24,000 Speaker 1: and many people are saying, is this a Lehman moment? 61 00:03:24,000 --> 00:03:26,440 Speaker 1: Are we looking at two thousand and eight? And frankly, 62 00:03:26,480 --> 00:03:28,200 Speaker 1: that was one of the things that happened after two 63 00:03:28,200 --> 00:03:31,320 Speaker 1: thousand and eight was that through strong regulation and through 64 00:03:31,360 --> 00:03:34,720 Speaker 1: strong risk management, firms had to rebuild that kind of trust. 65 00:03:34,800 --> 00:03:36,840 Speaker 1: And so I think that's something that the crypto sector 66 00:03:36,920 --> 00:03:37,960 Speaker 1: is going to have to look at. It's going to 67 00:03:38,000 --> 00:03:40,280 Speaker 1: have to figure out how to tackle that. CFTC Commissioner 68 00:03:40,360 --> 00:03:42,800 Speaker 1: Caroline Fam says there needs to be strong standards to 69 00:03:42,800 --> 00:03:46,200 Speaker 1: prevent crypto contagion hitting the broader financial system. Well, the 70 00:03:46,280 --> 00:03:48,440 Speaker 1: drama at ft X could drive bit going down to 71 00:03:48,520 --> 00:03:51,640 Speaker 1: thirteen thousand dollars nathan As. According to strategists at JP 72 00:03:51,760 --> 00:03:54,840 Speaker 1: Morgan Chase, they say the entire crypto market faces a 73 00:03:54,920 --> 00:03:58,800 Speaker 1: cascade of margin calls and weeks of deleveraging up next year, 74 00:03:58,840 --> 00:04:03,000 Speaker 1: and attention this morning turns to inflation. The widely anticipated 75 00:04:03,000 --> 00:04:05,640 Speaker 1: Consumer Price in next for October comes out at eight 76 00:04:05,680 --> 00:04:08,120 Speaker 1: thirty a m. Wall Street Time. Let's get a preview 77 00:04:08,120 --> 00:04:11,440 Speaker 1: from Bloomberg's Michael McKee. The inflation battle isn't going to 78 00:04:11,480 --> 00:04:14,000 Speaker 1: be one quickly, but the Fed is looking for little 79 00:04:14,080 --> 00:04:17,719 Speaker 1: victories today. Supply chains are normalizing and the increase in 80 00:04:17,800 --> 00:04:22,039 Speaker 1: goods prices has been leveling off. Apparel prices, used cars, 81 00:04:22,240 --> 00:04:27,200 Speaker 1: some construction materials should see relatively smaller moves. Services is 82 00:04:27,240 --> 00:04:30,760 Speaker 1: the real question a statistical quirk, and the fading pandemic 83 00:04:30,800 --> 00:04:34,480 Speaker 1: should mean big drops for healthcare costs, but it takes 84 00:04:34,480 --> 00:04:37,080 Speaker 1: time for rent and home prices to fade. In the CPI, 85 00:04:37,400 --> 00:04:40,360 Speaker 1: they will continue to increase and keep the core elevated. 86 00:04:40,760 --> 00:04:43,760 Speaker 1: As for the headline figures, we know gasoline and food 87 00:04:43,800 --> 00:04:46,159 Speaker 1: have gone up, so Wall Street and the Fed will 88 00:04:46,240 --> 00:04:50,640 Speaker 1: largely discount those. Michael McKee, Bloomberg Daybreak. All right, Michael, 89 00:04:50,680 --> 00:04:52,800 Speaker 1: thank you. The fan will be paying close attention to 90 00:04:52,839 --> 00:04:56,359 Speaker 1: that inflation report. But Minneapolis Spent President Neil Cash Cary 91 00:04:56,480 --> 00:04:59,960 Speaker 1: says calls for a pivot and policy right now are misplayed. 92 00:05:00,440 --> 00:05:03,640 Speaker 1: We are a long, long, long way away from that 93 00:05:03,839 --> 00:05:06,240 Speaker 1: right now, so that's why any talk of a pivot 94 00:05:06,320 --> 00:05:09,680 Speaker 1: is entirely premature right now. Minneapolis Fed President Neil cash 95 00:05:09,720 --> 00:05:13,200 Speaker 1: Gary says a central bank remains a laser focused on inflation. 96 00:05:13,360 --> 00:05:15,720 Speaker 1: All right, let's pivot to politics now. Karen get the 97 00:05:15,800 --> 00:05:18,400 Speaker 1: latest on the mid terms. Control the Senate now boils 98 00:05:18,400 --> 00:05:22,359 Speaker 1: down to three races in Georgia, Nevada, and Arizona. This 99 00:05:22,600 --> 00:05:25,240 Speaker 1: as President Biden claims the best mid term performance for 100 00:05:25,240 --> 00:05:28,680 Speaker 1: an incumbent president's party in twenty years. Amy Morris has 101 00:05:28,680 --> 00:05:32,359 Speaker 1: details from our Bloomberg newsroom in Washington. Democrats had a 102 00:05:32,400 --> 00:05:36,040 Speaker 1: stronger night than expected, but Republicans are poised to control 103 00:05:36,120 --> 00:05:39,280 Speaker 1: the House. The President acknowledged that voters made it clear 104 00:05:39,360 --> 00:05:43,839 Speaker 1: their concerns about inflation and crime, issues on which Republicans campaigned, 105 00:05:44,040 --> 00:05:46,920 Speaker 1: but he says young people voted in record numbers with 106 00:05:47,040 --> 00:05:50,240 Speaker 1: additional concerns, and they found a clear and unmistakable message 107 00:05:50,240 --> 00:05:53,880 Speaker 1: if they want to preserve our democracy and protect the 108 00:05:53,960 --> 00:05:57,159 Speaker 1: right to choose, Republicans have won two hundred six House seats. 109 00:05:57,200 --> 00:06:00,320 Speaker 1: Democrats hold one eighty three, and it could take days 110 00:06:00,360 --> 00:06:02,839 Speaker 1: to know the balance of power as dozens of close 111 00:06:02,920 --> 00:06:05,680 Speaker 1: races are still being counted. Some could wind up and 112 00:06:05,760 --> 00:06:09,520 Speaker 1: recounts runoffs, or in court. In Washington, I'm Aymy Moore 113 00:06:09,560 --> 00:06:11,880 Speaker 1: as Bloomberg Daybreak, All right, Amy, thank you. When it 114 00:06:11,880 --> 00:06:14,680 Speaker 1: comes to geo politics, US China relations are back on 115 00:06:14,720 --> 00:06:17,400 Speaker 1: the front burner. President Biden said he will aim to 116 00:06:17,400 --> 00:06:20,160 Speaker 1: avoid any concessions to President Shi Jin Ping when they 117 00:06:20,160 --> 00:06:22,920 Speaker 1: meet at the G twenty and Bloomberg said Baxter has 118 00:06:22,960 --> 00:06:25,520 Speaker 1: the story. At his news conference, Biden was asked by 119 00:06:25,520 --> 00:06:28,839 Speaker 1: Bloomberg's Jenny Leonard about his trip to Asia and what 120 00:06:29,000 --> 00:06:32,640 Speaker 1: his stamps will be regarding Taiwan. Taiwan doctrine has not 121 00:06:32,839 --> 00:06:36,799 Speaker 1: changed at all from the very beginning, the very beginning, 122 00:06:36,880 --> 00:06:39,760 Speaker 1: So I'm sure we'll discuss Taiwan. I'm sure we'll discuss 123 00:06:39,800 --> 00:06:43,359 Speaker 1: a number of other issues, including fair trade. Biden repeated 124 00:06:43,440 --> 00:06:48,040 Speaker 1: he wants competition, not conflict. In San Francisco, I'm at 125 00:06:48,080 --> 00:06:51,280 Speaker 1: Baxter Bloomberg Daybreak, and thanks and incorporate news this morning. 126 00:06:51,320 --> 00:06:54,039 Speaker 1: It is all about Twitter again. Elon Musk has emailed 127 00:06:54,080 --> 00:06:56,200 Speaker 1: the company's staff for the first time, telling them to 128 00:06:56,240 --> 00:06:59,960 Speaker 1: prepare for quote difficult times ahead. According to the email 129 00:07:00,040 --> 00:07:02,800 Speaker 1: reviewed by Bloomberg News, Musk says remote work will no 130 00:07:02,880 --> 00:07:05,600 Speaker 1: longer be allowed. Employees will be expected to be in 131 00:07:05,680 --> 00:07:09,520 Speaker 1: the office at least forty hours per week. SMP futures 132 00:07:09,520 --> 00:07:12,040 Speaker 1: are higher now by eight point. Stout futures up forty two. 133 00:07:12,120 --> 00:07:15,400 Speaker 1: Nastack futures a gain of forty points. Straight ahead, your 134 00:07:15,440 --> 00:07:18,840 Speaker 1: latest local headlines and a check of sports. This is 135 00:07:18,880 --> 00:07:25,320 Speaker 1: Bloomberg man. It's now six oh seven on Wall Street 136 00:07:25,320 --> 00:07:27,640 Speaker 1: where at forty degrees in Central parkheaded to the low 137 00:07:27,720 --> 00:07:30,680 Speaker 1: sixties today, still dealing with a crash westbound Jackie Robinson 138 00:07:30,720 --> 00:07:33,400 Speaker 1: Parkway at Metropolitan Avenue. Michael Barr is here with what 139 00:07:33,440 --> 00:07:35,520 Speaker 1: else is going on in New York and around the world. Michael, 140 00:07:35,560 --> 00:07:37,800 Speaker 1: thank you very much. Nathan. It is a rare November 141 00:07:37,920 --> 00:07:42,360 Speaker 1: hurricane for Florida. Hurricane the Coal arrived overnight, slamming Florida's 142 00:07:42,360 --> 00:07:45,520 Speaker 1: East coast with heavy rain and wind gusts topping seventy 143 00:07:45,520 --> 00:07:50,160 Speaker 1: five miles per hour. Homeowners describe their backyards disappearing as 144 00:07:50,360 --> 00:07:54,480 Speaker 1: massive waves lashed the Dayton of Beach area, already battered 145 00:07:54,520 --> 00:07:57,720 Speaker 1: by Hurricane E and six weeks ago, Florida's Governor Rond 146 00:07:57,720 --> 00:08:01,480 Speaker 1: de Santis. There is a lot of acturated ground, and 147 00:08:01,560 --> 00:08:04,120 Speaker 1: that means the trees that normally wouldn't go over in 148 00:08:04,160 --> 00:08:08,040 Speaker 1: a storm like this will likely go over because the 149 00:08:08,120 --> 00:08:12,280 Speaker 1: ground is so wet and saturated. Nicole Now a tropical 150 00:08:12,320 --> 00:08:15,480 Speaker 1: storm has knocked out power to about fifty five people. 151 00:08:15,960 --> 00:08:19,120 Speaker 1: Jury deliberations start today in New York in a civil 152 00:08:19,200 --> 00:08:23,400 Speaker 1: case against filmmaker Paul Haggis is accused of publicist Hailey 153 00:08:23,480 --> 00:08:27,640 Speaker 1: Briest says in she reluctantly agreed to a drink at 154 00:08:27,640 --> 00:08:31,840 Speaker 1: the screenwriter's apartment, then was subjected to unbalcom kisses, forced 155 00:08:31,840 --> 00:08:36,600 Speaker 1: to perform oral sex, and raped as she repeatedly refused. 156 00:08:36,920 --> 00:08:41,000 Speaker 1: Briest's lawyers say that this is a horror film by 157 00:08:41,040 --> 00:08:45,480 Speaker 1: Paul Haggis. Haggis says it was a consensual encounter. General 158 00:08:45,520 --> 00:08:48,320 Speaker 1: Mark Milly, the chairman of the US Joint Chiefs of Staff, 159 00:08:48,400 --> 00:08:51,360 Speaker 1: says that more than one hundred thousand Russians and probably 160 00:08:51,400 --> 00:08:54,599 Speaker 1: forty thousand Ukrainian civilians have been killed or wounded in 161 00:08:54,640 --> 00:08:58,040 Speaker 1: the war. Meanwhile, Russia ordered its troops to withdraw from 162 00:08:58,040 --> 00:09:01,880 Speaker 1: the southern Ukrainian city of Curson after Kievs troops pressed 163 00:09:01,920 --> 00:09:05,760 Speaker 1: forward with a counter offensive. Retired Colonel Jeff mcconslin says 164 00:09:05,880 --> 00:09:09,200 Speaker 1: withdrawal as a major embarrassment to Vladimir Putin. There have 165 00:09:09,240 --> 00:09:12,000 Speaker 1: been reports for an extent period of time the Russian 166 00:09:12,000 --> 00:09:15,520 Speaker 1: military leadership has urged Putin to allow them to withdraw 167 00:09:15,600 --> 00:09:19,559 Speaker 1: in order to avoid a potential military disaster. Intelligence reports 168 00:09:19,600 --> 00:09:22,880 Speaker 1: suggest that Putin has forbidden them to do so, and 169 00:09:23,000 --> 00:09:25,319 Speaker 1: rather order them to defend the city at all costs. 170 00:09:25,840 --> 00:09:29,600 Speaker 1: Retired Colonel mcconslin spoke to CBS at the UN Climate 171 00:09:29,640 --> 00:09:32,319 Speaker 1: Summon in Egypt. The UK's new Prime Minister, Rishi soon 172 00:09:32,360 --> 00:09:34,960 Speaker 1: Act says that the war in Ukraine has shown the 173 00:09:34,960 --> 00:09:38,559 Speaker 1: West that they must turn to new forms of energy Putins, 174 00:09:38,559 --> 00:09:41,880 Speaker 1: a born war in Ukraine and rising energy prices across 175 00:09:41,920 --> 00:09:45,400 Speaker 1: the world are not a reason to go slow on 176 00:09:45,520 --> 00:09:48,760 Speaker 1: climate change. Prime Minister soon Next comments come as President 177 00:09:48,800 --> 00:09:51,760 Speaker 1: Biden will head the cop Global He was twenty four 178 00:09:51,800 --> 00:09:54,600 Speaker 1: hours a day on air and on Bloomberg Quicktake, powered 179 00:09:54,600 --> 00:09:57,520 Speaker 1: by more than twenty seven hundred journalists analysts in more 180 00:09:57,559 --> 00:09:59,959 Speaker 1: than a hundred twenty countries. Michael mar this is bloom 181 00:10:00,559 --> 00:10:07,120 Speaker 1: Thanks Michael almost sixth ten on Wall Street, time for 182 00:10:07,120 --> 00:10:09,160 Speaker 1: the Bloomberg Sports Update, brought to you by try stayed 183 00:10:09,160 --> 00:10:11,320 Speaker 1: out here. Here's John stan Shower. All right, Nathan. After 184 00:10:11,360 --> 00:10:14,000 Speaker 1: the departure of Steve Nash as Nets coach to stop 185 00:10:14,080 --> 00:10:16,559 Speaker 1: assistant Jacque Vaughn took over on an interim base, but 186 00:10:16,679 --> 00:10:18,520 Speaker 1: the team has played well since then on the Nets 187 00:10:18,679 --> 00:10:22,320 Speaker 1: have removed the interim tag. They have signed Vaughan through 188 00:10:22,400 --> 00:10:24,920 Speaker 1: next season. The Nets general manager John marks there's a 189 00:10:25,000 --> 00:10:28,160 Speaker 1: number of factors, you know why j V was the 190 00:10:28,240 --> 00:10:30,440 Speaker 1: right fit. I mean, obviously I've known JV for a 191 00:10:30,440 --> 00:10:32,600 Speaker 1: long time and all of us have. And then he's 192 00:10:32,600 --> 00:10:34,240 Speaker 1: been a part of this culture. He's been a part 193 00:10:34,280 --> 00:10:38,480 Speaker 1: of what we've been building here over the years. UM. 194 00:10:38,520 --> 00:10:40,800 Speaker 1: And we look at the person he is, we look 195 00:10:40,840 --> 00:10:44,319 Speaker 1: at his connection with players. UM. I obviously look at 196 00:10:44,320 --> 00:10:47,080 Speaker 1: what's happened over the last sort of four games and 197 00:10:47,160 --> 00:10:49,200 Speaker 1: make it five because after the announcement came an easy 198 00:10:49,240 --> 00:10:50,760 Speaker 1: win for the Nets in their first meeting of the 199 00:10:50,800 --> 00:10:53,719 Speaker 1: season with the nixt blowout in Brookelyn one twelve to 200 00:10:53,800 --> 00:10:57,280 Speaker 1: eighty five. Kevin Durant twenty nine points, twelve rebounds, twelve. 201 00:10:57,360 --> 00:11:00,480 Speaker 1: That's this stef Curry now healthy, twenty three points in 202 00:11:00,559 --> 00:11:03,800 Speaker 1: twenty three minutes. Julius Randall eleven next with Nick shot. 203 00:11:05,160 --> 00:11:07,800 Speaker 1: They're now five and six the Nets or five and seven. 204 00:11:07,800 --> 00:11:11,079 Speaker 1: Milwaukee is ten and one, double overtime win at Oklahoma 205 00:11:11,160 --> 00:11:13,040 Speaker 1: City and a night where the Bucks didn't use you 206 00:11:13,160 --> 00:11:15,079 Speaker 1: on his son to the compo you talk ten and 207 00:11:15,240 --> 00:11:17,559 Speaker 1: three where the win over Atlanta. The feeling was the 208 00:11:17,640 --> 00:11:20,120 Speaker 1: Jazz we're gonna tank this season. They traded away the 209 00:11:20,320 --> 00:11:22,800 Speaker 1: two best players. Lakers are just two and nine, even 210 00:11:22,840 --> 00:11:24,880 Speaker 1: with Lebron, James still pointed at a high level. They 211 00:11:24,880 --> 00:11:27,280 Speaker 1: lost to the Clippers and Lebron left the game with 212 00:11:27,360 --> 00:11:29,520 Speaker 1: a broin injury. Rangers looked at end a three game 213 00:11:29,559 --> 00:11:32,079 Speaker 1: losing streak that included a home loss to the Red Wings. 214 00:11:32,080 --> 00:11:35,760 Speaker 1: They visit Detroit tonight, the Islanders host Arizona and the 215 00:11:35,800 --> 00:11:38,199 Speaker 1: Devil's host Ottawa. The Devils are going for an eighth 216 00:11:38,240 --> 00:11:40,439 Speaker 1: win in a row. Aaron Judge won the Hank Garon 217 00:11:40,520 --> 00:11:44,000 Speaker 1: Awards for the American League's top offensive player. Judge should 218 00:11:44,000 --> 00:11:47,560 Speaker 1: add the m v P next week. John Stashward Bloomberg Sports, Nathan, 219 00:11:47,760 --> 00:11:51,480 Speaker 1: thank you John. Right now, SNP futures are moving higher 220 00:11:51,840 --> 00:11:54,760 Speaker 1: by nine points South futures of fifty two Nestact futures 221 00:11:54,760 --> 00:11:58,280 Speaker 1: of forty five points October consumer prices add at eight 222 00:11:58,360 --> 00:12:01,600 Speaker 1: thirty Wall Street time. We preview the data for the 223 00:12:01,679 --> 00:12:07,560 Speaker 1: data dependent fed Next with Bloomberg's Michael McKee and Bloomberg 224 00:12:07,600 --> 00:12:09,480 Speaker 1: Sports was brought to you by Audie. Don't let someone 225 00:12:09,520 --> 00:12:11,720 Speaker 1: else drive off in the Autie model you've always wanted. 226 00:12:11,800 --> 00:12:14,040 Speaker 1: Visit your local price state Audie Dealer to get behind 227 00:12:14,080 --> 00:12:16,640 Speaker 1: the wheel of yours today, or visit Audie Offers dot 228 00:12:16,679 --> 00:12:24,440 Speaker 1: com for more information, markets, headlines and breaking news twenty 229 00:12:24,440 --> 00:12:26,679 Speaker 1: four hours a day. At Bloomberg dot com for the the 230 00:12:26,760 --> 00:12:30,199 Speaker 1: Bloomberg Business apt and at Bloomberg Quick Tape. This is 231 00:12:30,200 --> 00:12:39,800 Speaker 1: a Bloomberg Business Flash and I'm Karen Moscow. This update 232 00:12:39,840 --> 00:12:41,800 Speaker 1: is brought to you by B and Y Millon's Perishing 233 00:12:41,880 --> 00:12:44,920 Speaker 1: Learned why the world's most sophisticated wealth management and institutional 234 00:12:44,960 --> 00:12:48,840 Speaker 1: firms rely on Perishing to help them improve profitability, create efficiency, 235 00:12:49,120 --> 00:12:53,000 Speaker 1: attract talent and manage risk. At Pershing dot com, US 236 00:12:53,080 --> 00:12:56,079 Speaker 1: dot Index futures on the rise this morning. Treasuries are 237 00:12:56,120 --> 00:12:59,920 Speaker 1: slipping as investors remain on edge before a report showing 238 00:13:00,360 --> 00:13:03,720 Speaker 1: that could show inflation and the world's largest economy moderated 239 00:13:03,760 --> 00:13:06,520 Speaker 1: for a fourth consecutive month. And we checked the markets 240 00:13:06,559 --> 00:13:09,320 Speaker 1: every fifteen minutes throughout the trading day on Bloomberg Guess 241 00:13:09,360 --> 00:13:11,360 Speaker 1: and p Future is up ten points this morning. Down 242 00:13:11,400 --> 00:13:14,240 Speaker 1: Future is up fifty four nasdack futures up forty six. 243 00:13:14,559 --> 00:13:17,400 Speaker 1: The decks in Germany little change. Ten year treasury down 244 00:13:17,440 --> 00:13:20,320 Speaker 1: four thirty seconds. He had four point one percent yield 245 00:13:20,320 --> 00:13:23,000 Speaker 1: on the two year four point six one percent. Nine 246 00:13:23,000 --> 00:13:25,319 Speaker 1: mex screwed oil is down about nine tenths percent, or 247 00:13:25,360 --> 00:13:27,520 Speaker 1: seventy three cents and eighty five dollars ten cents of 248 00:13:27,559 --> 00:13:30,360 Speaker 1: barrel comexs go down at quarter percent or four dollars 249 00:13:30,360 --> 00:13:33,520 Speaker 1: at seventeen o nine seventy ounce. The euro point nine 250 00:13:33,600 --> 00:13:36,040 Speaker 1: nine four three against the dollar British found one point 251 00:13:36,040 --> 00:13:38,360 Speaker 1: one three eight eight and the yen one forty six 252 00:13:38,400 --> 00:13:41,800 Speaker 1: point four six. And bitcoin is up almost three percent 253 00:13:41,880 --> 00:13:46,040 Speaker 1: at sixteen thousand, eighty dollars. That's a Bloomberg Business flash. 254 00:13:46,040 --> 00:13:48,200 Speaker 1: Now here's Michael Barr with more on what's going on 255 00:13:48,240 --> 00:13:51,000 Speaker 1: around the world. Michael, thank you very much. Karen. Hurricane 256 00:13:51,080 --> 00:13:54,920 Speaker 1: Nicole made landfall early this morning along Florida's east coast, 257 00:13:55,120 --> 00:13:58,760 Speaker 1: just south of Vero Beach Nicole. Now a tropical storm 258 00:13:58,800 --> 00:14:01,440 Speaker 1: battered a large area of the storm we restate with 259 00:14:01,480 --> 00:14:06,600 Speaker 1: strong winds, dangerous storm surges, and heavy rain. President Biden 260 00:14:06,679 --> 00:14:09,959 Speaker 1: says that he expects an official call early next year 261 00:14:10,520 --> 00:14:12,960 Speaker 1: on whether he will seek re election for another four 262 00:14:13,040 --> 00:14:16,680 Speaker 1: year term. Meanwhile, the struggle for control of the U. S. 263 00:14:16,679 --> 00:14:21,360 Speaker 1: Senate boils down to three uncalled races Georgia, Nevada, and Arizona, 264 00:14:21,600 --> 00:14:24,520 Speaker 1: with each party needing to win two of those states 265 00:14:24,560 --> 00:14:27,640 Speaker 1: to secure a majority in the NBA. The nets rolled 266 00:14:27,680 --> 00:14:30,520 Speaker 1: over the next one twelve eighty five, the Celtics one 267 00:14:30,680 --> 00:14:34,400 Speaker 1: in hockey. The Capital's Lost Week ten begins in the NFL. Tonight, 268 00:14:34,440 --> 00:14:37,480 Speaker 1: the Falcons play at the Panthers. Global News twenty four 269 00:14:37,520 --> 00:14:41,040 Speaker 1: hours a day on air and on Bloomberg Quickdake, powered 270 00:14:41,080 --> 00:14:43,680 Speaker 1: by more than twenty seven hundred journalists and analysts more 271 00:14:43,680 --> 00:14:46,280 Speaker 1: than a hundred twenty countries. Michael Barn this is Bloomberg. 272 00:14:46,360 --> 00:14:48,280 Speaker 1: Nathan all right, Michael, thanks for coming up to six 273 00:14:48,360 --> 00:14:52,080 Speaker 1: twenty on Wall Street Live from the Bloomberg Interacted Brokers Studios. 274 00:14:52,120 --> 00:14:54,560 Speaker 1: This is Bloomberg Daybreak, and we're coming up to the 275 00:14:54,640 --> 00:14:58,240 Speaker 1: release of October consumer prices in just about two hours 276 00:14:58,240 --> 00:15:00,880 Speaker 1: and ten minutes time. Out of that, we're joined by 277 00:15:00,880 --> 00:15:05,080 Speaker 1: Bloomberg's Global Economics and Policy correspondent Michael mckeel be breaking 278 00:15:05,080 --> 00:15:08,600 Speaker 1: down those numbers once they hit your Bloomberg terminal. Mike, 279 00:15:08,600 --> 00:15:11,920 Speaker 1: good morning. Looking at the consensus from economists we've surveyed, 280 00:15:11,960 --> 00:15:14,400 Speaker 1: it's gonna be another bump up in the month over 281 00:15:14,480 --> 00:15:17,360 Speaker 1: month number and a tick down for year over year. 282 00:15:17,400 --> 00:15:21,480 Speaker 1: It seems like inflation is taking a good long while 283 00:15:21,600 --> 00:15:24,720 Speaker 1: to get back under control, and it's going to and 284 00:15:24,800 --> 00:15:27,880 Speaker 1: that was expected by the Fed. Uh, it is an 285 00:15:27,920 --> 00:15:31,640 Speaker 1: unusual time. Inflation went up faster than it normally does. 286 00:15:31,920 --> 00:15:34,440 Speaker 1: And I don't know what you called normal anymore since 287 00:15:34,480 --> 00:15:38,440 Speaker 1: it's so low for so long. But the Fed is 288 00:15:38,480 --> 00:15:41,360 Speaker 1: expecting it to be a long term process, which is 289 00:15:41,400 --> 00:15:44,080 Speaker 1: why J. Powell and company have said regularly they're going 290 00:15:44,120 --> 00:15:47,720 Speaker 1: to raise the FED funds right to a restrictive level 291 00:15:47,720 --> 00:15:49,960 Speaker 1: and leave it there for a long time, perhaps a year, 292 00:15:50,480 --> 00:15:54,600 Speaker 1: to try to bring down inflation. Uh. The numbers you 293 00:15:54,720 --> 00:15:58,080 Speaker 1: referenced were the headline, though, and the Fed is not 294 00:15:58,120 --> 00:16:00,600 Speaker 1: really looking at that because the reason it will tick 295 00:16:00,720 --> 00:16:05,120 Speaker 1: up as energy and possibly food and on a month 296 00:16:05,200 --> 00:16:07,560 Speaker 1: to month basis, and and there's nothing that FED can 297 00:16:07,600 --> 00:16:09,800 Speaker 1: do about that. They'll be looking at the core and 298 00:16:09,840 --> 00:16:12,520 Speaker 1: they they've kind of got the opposite situation there where 299 00:16:12,800 --> 00:16:14,480 Speaker 1: it may come in a bit lower on a month 300 00:16:14,520 --> 00:16:16,560 Speaker 1: over month basis, a bit higher on a year over 301 00:16:16,640 --> 00:16:19,000 Speaker 1: year basis, but the point would be more on the 302 00:16:19,040 --> 00:16:22,320 Speaker 1: month to month uh the year over years obviously influenced 303 00:16:22,320 --> 00:16:25,280 Speaker 1: by what happened twelve months ago. Whereas if you start 304 00:16:25,320 --> 00:16:28,560 Speaker 1: to get a sequential decline for a few months in 305 00:16:28,600 --> 00:16:31,320 Speaker 1: the core, then it might suggest that the FED is 306 00:16:31,360 --> 00:16:34,480 Speaker 1: starting to win the battle. But this would be the 307 00:16:34,520 --> 00:16:38,360 Speaker 1: first decline in a couple of months, So if it happens, 308 00:16:38,400 --> 00:16:42,720 Speaker 1: it's only the start, right, And that raises the question 309 00:16:42,880 --> 00:16:47,200 Speaker 1: still about whether the FED starts to slow down on 310 00:16:47,320 --> 00:16:50,040 Speaker 1: interest rate hikes. You mentioned the FED is said that 311 00:16:50,160 --> 00:16:53,680 Speaker 1: it is going to get the terminal rate higher, maybe 312 00:16:53,800 --> 00:16:57,240 Speaker 1: around five or a little bit above five per cent. 313 00:16:57,600 --> 00:17:00,720 Speaker 1: Could we see signs in the core that make the 314 00:17:00,720 --> 00:17:04,439 Speaker 1: case for the FED to think about looking and seeing 315 00:17:04,440 --> 00:17:08,320 Speaker 1: whether the rate hikes have started to have an effect. Well, 316 00:17:08,359 --> 00:17:11,200 Speaker 1: the the thing you want to do is take things 317 00:17:11,240 --> 00:17:13,840 Speaker 1: apart and look at take the take the report apart 318 00:17:13,880 --> 00:17:17,600 Speaker 1: and look at specific categories that might be impacted. We 319 00:17:17,680 --> 00:17:20,600 Speaker 1: know real estate has been hit hard, and real estate 320 00:17:20,800 --> 00:17:23,000 Speaker 1: is an important sector of the economy. It's a third 321 00:17:23,040 --> 00:17:25,199 Speaker 1: of the cp I. It's it's not as big a 322 00:17:25,280 --> 00:17:28,680 Speaker 1: waiting in the pc which is the Fed's target indicator. 323 00:17:29,080 --> 00:17:33,520 Speaker 1: But the FED will want to see if things that 324 00:17:33,640 --> 00:17:37,280 Speaker 1: are influenced by the cost of borrowing have started to 325 00:17:37,720 --> 00:17:42,600 Speaker 1: slow the rate of price increases in those areas. Uh. 326 00:17:42,640 --> 00:17:45,200 Speaker 1: That's that's kind of what they'll be looking for out 327 00:17:45,200 --> 00:17:48,119 Speaker 1: of this report. They have another report before the next meeting. 328 00:17:48,640 --> 00:17:52,200 Speaker 1: They've got the PC index before this meeting, another jobs 329 00:17:52,200 --> 00:17:56,080 Speaker 1: report before this next meeting. So this won't be decisive, 330 00:17:56,160 --> 00:17:58,240 Speaker 1: but it will set the tone in the markets for 331 00:17:59,080 --> 00:18:02,240 Speaker 1: the conversation stions the FED will have over the next 332 00:18:03,200 --> 00:18:05,600 Speaker 1: five six weeks. Yeah, I think you alluded it to 333 00:18:05,720 --> 00:18:08,520 Speaker 1: it somewhat there. I think something else that they're looking 334 00:18:08,640 --> 00:18:12,000 Speaker 1: for is whether we're gonna start to see services inflation 335 00:18:12,119 --> 00:18:18,040 Speaker 1: follow goods lower. That's the question, does services inflation start 336 00:18:18,119 --> 00:18:23,880 Speaker 1: to slow down? Uh? The housing prices UH goes into 337 00:18:23,920 --> 00:18:27,840 Speaker 1: the core um parts of that our services, and that's 338 00:18:28,359 --> 00:18:31,800 Speaker 1: gonna be something to watch UH goods prices have started 339 00:18:31,840 --> 00:18:35,560 Speaker 1: to decline because supply chains have started to normalize, but 340 00:18:35,640 --> 00:18:40,720 Speaker 1: service prices increases have increased, have accelerated in the last 341 00:18:41,200 --> 00:18:44,320 Speaker 1: six months or so. And that's the concern. Is the 342 00:18:44,400 --> 00:18:48,520 Speaker 1: problem for services that they can't find workers, and therefore 343 00:18:49,040 --> 00:18:50,920 Speaker 1: UH they've got to pay up for workers and raise 344 00:18:51,000 --> 00:18:54,840 Speaker 1: their prices to come compensate for that. That's the question 345 00:18:54,880 --> 00:18:58,000 Speaker 1: out there on the services side, and we'll start to 346 00:18:58,000 --> 00:19:00,640 Speaker 1: get a picture of it today, but it's gonna take 347 00:19:00,680 --> 00:19:03,320 Speaker 1: some time for that to level off as well. And 348 00:19:03,359 --> 00:19:05,840 Speaker 1: in our last thirty seconds here, we've heard the FED 349 00:19:05,920 --> 00:19:11,479 Speaker 1: also say that there more likely to go higher on 350 00:19:11,880 --> 00:19:15,680 Speaker 1: rates than than trying to pull back and get into 351 00:19:15,800 --> 00:19:19,040 Speaker 1: a soft landing territory. What could this cp I print 352 00:19:19,119 --> 00:19:23,879 Speaker 1: mean for the more aggressive rate hikes. Probably means more 353 00:19:24,119 --> 00:19:27,080 Speaker 1: for the markets than for the Fed, because they do 354 00:19:27,119 --> 00:19:29,119 Speaker 1: have a number of indicators, as they suggested, that are 355 00:19:29,160 --> 00:19:32,959 Speaker 1: yet to come. UH. Their view at this point seems 356 00:19:33,000 --> 00:19:36,000 Speaker 1: to be that they want to slow down the pace 357 00:19:36,080 --> 00:19:40,399 Speaker 1: of increases, not cut back UH rates, but slow down 358 00:19:40,440 --> 00:19:43,320 Speaker 1: the pace of increases so that they can react more 359 00:19:43,400 --> 00:19:48,119 Speaker 1: quickly if we start to see recessionary signs and so 360 00:19:49,040 --> 00:19:52,480 Speaker 1: unless we get a really outsized number, probably fifty stays 361 00:19:52,520 --> 00:19:56,000 Speaker 1: the basis case. Okay, Mike, thanks as always. Bloomberg's Michael 362 00:19:56,040 --> 00:19:58,919 Speaker 1: McKee can be breaking down October CPI for us and 363 00:19:59,520 --> 00:20:02,000 Speaker 1: just a little more than two hours eight thirty am 364 00:20:02,080 --> 00:20:08,440 Speaker 1: Wall Street Time. This is Bloomberg Bloomberg day Breaks, brought 365 00:20:08,440 --> 00:20:10,840 Speaker 1: to you by Jewish Communal Fund. For fifty years, philanthropists 366 00:20:10,840 --> 00:20:12,560 Speaker 1: at all levels have turned to j c F Stone 367 00:20:12,560 --> 00:20:15,960 Speaker 1: Advice Funds to streamline their charitable giving. Visit j c 368 00:20:16,200 --> 00:20:24,719 Speaker 1: F and Y dot org. Broadcasting live from the Bloomberg 369 00:20:24,800 --> 00:20:29,280 Speaker 1: Interactive Broker Studio in New York, Bloomberg Living Free to Washington, 370 00:20:29,359 --> 00:20:32,720 Speaker 1: d C, Bloomberg ninety nine one to Boston, Bloomberg one 371 00:20:32,760 --> 00:20:35,879 Speaker 1: O six one to San Francisco, Bloomberg nine sixty to 372 00:20:35,960 --> 00:20:39,600 Speaker 1: the country, Sirius XM chto one nineteen and around the globe, 373 00:20:39,640 --> 00:20:43,280 Speaker 1: the Bloomberg Business app and Bloomberg Radio dot Com. This 374 00:20:43,600 --> 00:20:51,639 Speaker 1: is Bloomberg day Break and it's six thirty on Wall Street. 375 00:20:51,640 --> 00:20:54,720 Speaker 1: Good morning. I'm Nathan Hagar and I'm Karen Moscow, and 376 00:20:54,760 --> 00:20:56,800 Speaker 1: we're just about three hours away from the open of 377 00:20:56,880 --> 00:20:58,800 Speaker 1: US trading time. Of the five things that you need 378 00:20:58,840 --> 00:21:02,000 Speaker 1: to notice. Start your day out to you by Interactive Brokers. 379 00:21:02,040 --> 00:21:04,520 Speaker 1: Interactive Broker's clients are an interest of up to three 380 00:21:04,560 --> 00:21:08,320 Speaker 1: point three three on the idle cash and their brokerage accounts. 381 00:21:08,480 --> 00:21:11,000 Speaker 1: Visit i vk are dot com slash interest rates to 382 00:21:11,080 --> 00:21:14,360 Speaker 1: learn more. First, US future is steady this morning after 383 00:21:14,480 --> 00:21:17,840 Speaker 1: yesterday sell off today, wey gear up for October's inflation report. 384 00:21:18,040 --> 00:21:21,600 Speaker 1: Phil Palumbo with Palumbo Wealth Management says, as prices run hot, 385 00:21:21,800 --> 00:21:24,399 Speaker 1: we're still waiting for a market bottom. When will the 386 00:21:24,440 --> 00:21:26,720 Speaker 1: bottom be put in? The Keith answer to that question 387 00:21:26,800 --> 00:21:29,960 Speaker 1: is going to be when the Fed pivots. So inflation 388 00:21:30,000 --> 00:21:31,639 Speaker 1: continues to be a problem, which means if Fed not 389 00:21:31,680 --> 00:21:33,639 Speaker 1: ready to pivot, which means the bottom is not in. 390 00:21:34,080 --> 00:21:37,600 Speaker 1: Philip Palumbo with Palumbo Wealth says investors should not focus 391 00:21:37,680 --> 00:21:41,320 Speaker 1: on when inflation has peaked, but should consider where it settles. Well. 392 00:21:41,359 --> 00:21:42,960 Speaker 1: The Fed is going to be paying close attention to 393 00:21:43,000 --> 00:21:46,320 Speaker 1: that CPI report Karen at eight three am Wall Street Time, 394 00:21:46,400 --> 00:21:49,520 Speaker 1: But Minneapolis Fed President Neil cash Cary says, no matter 395 00:21:49,560 --> 00:21:52,000 Speaker 1: how it shakes out, it is premature to consider a 396 00:21:52,000 --> 00:21:55,639 Speaker 1: pivot in policy. Financial markets seem to believe that inflation 397 00:21:55,720 --> 00:21:58,840 Speaker 1: should fall back down towards our two percent target over 398 00:21:58,880 --> 00:22:01,359 Speaker 1: the next couple of years. I hope they're right. I 399 00:22:01,440 --> 00:22:02,879 Speaker 1: know that we're gonna do what we need to do 400 00:22:02,920 --> 00:22:06,240 Speaker 1: to bring inflation back down. Minneapolis President Neil cash Cary 401 00:22:06,280 --> 00:22:09,360 Speaker 1: says the Fed's goal is still to achieve a soft landing. Well. 402 00:22:09,400 --> 00:22:12,000 Speaker 1: Turning to crypto Now Nathan, Bitcoin hit a two year 403 00:22:12,160 --> 00:22:15,399 Speaker 1: low after Binance walked away from its takeover of ft 404 00:22:15,640 --> 00:22:18,920 Speaker 1: x dot com. JP Morgan strategists say that drama could 405 00:22:19,000 --> 00:22:22,359 Speaker 1: drive bitcoin down to thirteen thousand dollars. Nick Carter with 406 00:22:22,440 --> 00:22:24,840 Speaker 1: Castle Island Ventures tells us the collapse of f t 407 00:22:25,080 --> 00:22:28,600 Speaker 1: X shatters industry confidence. Is really one of the most 408 00:22:28,600 --> 00:22:31,720 Speaker 1: shocking exchange collapses in the history of the industry. One 409 00:22:31,720 --> 00:22:33,440 Speaker 1: of the worst days in the history of the industry. 410 00:22:33,640 --> 00:22:36,520 Speaker 1: We're bracing ourselves for the real fallout. Yesterday it was 411 00:22:36,600 --> 00:22:38,560 Speaker 1: kind of the red wedding, but today is we're taking 412 00:22:38,600 --> 00:22:42,080 Speaker 1: on the bodies. Nick Carter with Castle Island Ventures speculates 413 00:22:42,080 --> 00:22:44,480 Speaker 1: that f t X founder Sam Bankman Freed could face 414 00:22:44,520 --> 00:22:47,640 Speaker 1: criminal liability. Still, it is unclear if there was any 415 00:22:47,640 --> 00:22:50,960 Speaker 1: wrongdoing by Bankman Freed. Well, the Justice departments looking now 416 00:22:51,000 --> 00:22:53,720 Speaker 1: into the term will surrounding f t X Karen Commodity 417 00:22:53,760 --> 00:22:58,080 Speaker 1: Futures Trading Commission Chief Caroline Fam tells Bloomberg tighter regulation 418 00:22:58,320 --> 00:23:02,040 Speaker 1: is needed in crypto, strong global standards to make sure 419 00:23:02,080 --> 00:23:05,000 Speaker 1: that there are no gaps in the international regulatory framework 420 00:23:05,080 --> 00:23:08,240 Speaker 1: where you can see risks like this bread CFTC Commissioner 421 00:23:08,280 --> 00:23:11,560 Speaker 1: Caroline Fam says the cryptosector must consider strong regulation to 422 00:23:11,640 --> 00:23:15,159 Speaker 1: rebuild trust and in politics this morning, Nathan, President Biden 423 00:23:15,240 --> 00:23:17,800 Speaker 1: is claiming the best mid term performance for an incumbent 424 00:23:17,840 --> 00:23:21,800 Speaker 1: president in twenty years, but still control of the Senate 425 00:23:21,840 --> 00:23:24,480 Speaker 1: remains up for grabs. The President says his planned right 426 00:23:24,480 --> 00:23:27,800 Speaker 1: now is to seek re election in four That's the 427 00:23:27,840 --> 00:23:29,680 Speaker 1: five things that you need to know to start your day. 428 00:23:29,680 --> 00:23:34,520 Speaker 1: Brought to you by Interactive Brokers, and this is Bloomberg. 429 00:23:38,000 --> 00:23:40,639 Speaker 1: Thank you. Carrying at sixty on Wall Street, fortygrees in 430 00:23:40,680 --> 00:23:43,000 Speaker 1: Central Park headed to the low sixties today we gotta 431 00:23:43,040 --> 00:23:45,959 Speaker 1: crash on the westbound Grand Central Parkway at Jewel Avenue 432 00:23:45,960 --> 00:23:48,600 Speaker 1: in Queens. Michael bars here with what else is going 433 00:23:48,640 --> 00:23:51,240 Speaker 1: on in New York and around the world. Good morning, Michael, 434 00:23:51,320 --> 00:23:54,920 Speaker 1: Good morning Nathan. Hurricane Nicole made landfall along the East 435 00:23:54,960 --> 00:23:58,280 Speaker 1: coast of Florida this morning. The rare November hurricane had 436 00:23:58,320 --> 00:24:01,040 Speaker 1: already led officials to shut down on airports and theme 437 00:24:01,119 --> 00:24:05,400 Speaker 1: parks and ordered evacuations that included former President Donald Trump 438 00:24:05,400 --> 00:24:10,040 Speaker 1: Samara Lago Club. Florida's governor around the sentis the windfield 439 00:24:10,040 --> 00:24:12,520 Speaker 1: from the storm's very large, and we expect impacts the 440 00:24:12,600 --> 00:24:16,880 Speaker 1: stretch far beyond the center track, including tropical storm force 441 00:24:16,920 --> 00:24:20,920 Speaker 1: winds as far near north as Jacksonville. Governor de Sentists 442 00:24:20,960 --> 00:24:24,280 Speaker 1: warned that Nicole's storm surge could further aroad many beaches 443 00:24:24,359 --> 00:24:27,880 Speaker 1: hit by Hurricane Ian in September. Nicole now a tropical 444 00:24:27,960 --> 00:24:31,160 Speaker 1: storm is forecast ahead into Georgia and the Carolinas later. 445 00:24:31,800 --> 00:24:34,240 Speaker 1: The Chairman of the Joint Chiefs of Staff, Mark Milly, 446 00:24:34,359 --> 00:24:37,480 Speaker 1: says well over one hundred thousand Russian soldiers and as 447 00:24:37,480 --> 00:24:40,320 Speaker 1: many as forty thousand Ukrainian civilians have been killed are 448 00:24:40,320 --> 00:24:44,359 Speaker 1: wounded in the war. Meanwhile, Russia has announced the retreat 449 00:24:44,400 --> 00:24:47,840 Speaker 1: from Curson, a regional capital in southern Ukraine that it 450 00:24:47,960 --> 00:24:51,560 Speaker 1: seized early in the war. Retired Colonel Jeff McCaslin says 451 00:24:51,600 --> 00:24:53,480 Speaker 1: that a pull out from the city would be a 452 00:24:53,520 --> 00:24:56,520 Speaker 1: major setback from Moscow, a Russian with raw would not 453 00:24:56,560 --> 00:24:59,720 Speaker 1: only be a major embarrassment to Mr. Putin, but also 454 00:25:00,240 --> 00:25:03,120 Speaker 1: Ukraine to win back territory in the Zapparitia region as 455 00:25:03,119 --> 00:25:07,400 Speaker 1: well as southern Ukraine. This will position Keiva his forces 456 00:25:07,680 --> 00:25:10,440 Speaker 1: to seek to recover all of Crimea, which it lost 457 00:25:10,440 --> 00:25:13,760 Speaker 1: in two thousand and fourteen, as well as allowing them 458 00:25:13,800 --> 00:25:17,120 Speaker 1: to stop the flow of fresh water into Crimea. Retire 459 00:25:17,200 --> 00:25:20,680 Speaker 1: Colonel mcconslin's old CBS. There have been reports that the 460 00:25:20,760 --> 00:25:23,919 Speaker 1: Russian military leadership had urged Putin to allow them to 461 00:25:23,960 --> 00:25:27,639 Speaker 1: withdraw in order to avoid a potential military disaster, but 462 00:25:27,720 --> 00:25:30,440 Speaker 1: Putting said no. Now that w n B A star 463 00:25:30,560 --> 00:25:33,480 Speaker 1: Britney Grinder has been moved to a Russian penal colony 464 00:25:33,520 --> 00:25:36,400 Speaker 1: to serve out her nine years sentence, President Biden gave 465 00:25:36,440 --> 00:25:39,680 Speaker 1: an update on the case. Biden says that he hopes 466 00:25:39,760 --> 00:25:43,240 Speaker 1: now with the U s midterms over with Moscow will 467 00:25:43,240 --> 00:25:46,080 Speaker 1: be willing to talk more seriously about a prisoner swamp. 468 00:25:46,440 --> 00:25:50,960 Speaker 1: We've had a number of discussions so far, and uh, 469 00:25:51,000 --> 00:25:54,520 Speaker 1: I'm hopeful that now that our election is over, there's 470 00:25:54,520 --> 00:25:58,600 Speaker 1: a willingness to h to negotiate more specifically with US. 471 00:25:59,080 --> 00:26:02,600 Speaker 1: Grinder is serving her sentence for drug possession. Global News 472 00:26:02,600 --> 00:26:05,160 Speaker 1: twenty four hours a day on air and on Bloomberg 473 00:26:05,240 --> 00:26:07,840 Speaker 1: Quick Take, powered by more than twenty seven after journalist 474 00:26:07,840 --> 00:26:11,520 Speaker 1: analysts more than twenty countries. Michael Barr, this is Bloomberg Natan, 475 00:26:11,640 --> 00:26:18,280 Speaker 1: Thank you, Michael, coming up to six thirty six on 476 00:26:18,280 --> 00:26:20,200 Speaker 1: Wall Street time for the Bloomberg Sports Up. They brought 477 00:26:20,200 --> 00:26:21,879 Speaker 1: to you by Try state Out. He here in his 478 00:26:22,119 --> 00:26:25,240 Speaker 1: John Stanshew, all right, Nathan blowout ed Barkley's. The Nets 479 00:26:25,320 --> 00:26:26,879 Speaker 1: jumped in front of the Knicks right off to that 480 00:26:27,040 --> 00:26:29,680 Speaker 1: never let up Finals one, twelve to eighty five, with 481 00:26:29,800 --> 00:26:32,320 Speaker 1: Kevin Durant scoring twenty nine points. He had a triple double. 482 00:26:32,400 --> 00:26:34,800 Speaker 1: The Net's held the nixt to thirty two percent shooting 483 00:26:34,800 --> 00:26:37,960 Speaker 1: there three and one. Since the Kyrie Irving suspension, they're 484 00:26:38,000 --> 00:26:41,320 Speaker 1: playing well. Since Jacques Vaughn replaced Steve Nash as the coach, 485 00:26:41,400 --> 00:26:44,480 Speaker 1: the Nets are rewarded Vaughan. He's no longer the interim coach. 486 00:26:44,520 --> 00:26:47,200 Speaker 1: He's been a loyal Net seven years and assistant. Vaughn 487 00:26:47,320 --> 00:26:49,119 Speaker 1: was also the interim head coach at the end of 488 00:26:49,400 --> 00:26:52,320 Speaker 1: twenty Right after Nash left came the reports the Nets 489 00:26:52,320 --> 00:26:55,120 Speaker 1: wanted to hire em a Udoka, who the Celtics had 490 00:26:55,200 --> 00:26:58,520 Speaker 1: suspended for relationship with the team employee. The Nets, already 491 00:26:58,600 --> 00:27:02,919 Speaker 1: dealing with the Kyrie Sad criticized heavily for considering hiring Udoka. 492 00:27:03,000 --> 00:27:05,560 Speaker 1: Clearly we had second thoughts. Giants back to the bye, 493 00:27:05,560 --> 00:27:08,800 Speaker 1: hosting Houston Sunday at Brian Dabols presser, and multiple questions 494 00:27:08,800 --> 00:27:12,280 Speaker 1: about the hand injury suffered by safety's Davier McKinney had 495 00:27:12,280 --> 00:27:15,000 Speaker 1: happened at an a TV accident in Cabo. It's a 496 00:27:15,520 --> 00:27:19,120 Speaker 1: matter again. I feel bad for us. I feel bad 497 00:27:19,160 --> 00:27:24,000 Speaker 1: for him. Um, showing not something you want to see. UM. 498 00:27:24,280 --> 00:27:26,119 Speaker 1: I feel bad for the kid in particular, I mean 499 00:27:26,240 --> 00:27:29,520 Speaker 1: got injured, and I feel bad for us. You know, 500 00:27:29,520 --> 00:27:31,200 Speaker 1: we lost a good player for a few weeks. The 501 00:27:31,280 --> 00:27:34,040 Speaker 1: quarterbacks may not play Sunday Buffaloes Josh Allen as an 502 00:27:34,040 --> 00:27:37,480 Speaker 1: injured elbow. The Ram's Matthew Stafford is in concussion protocol. 503 00:27:37,720 --> 00:27:40,680 Speaker 1: John stash Awer Bloomberg Sports, Nathan all Right, John, Thanks 504 00:27:40,720 --> 00:27:43,280 Speaker 1: sixty seven on Wall Street. Let's get more now on 505 00:27:43,359 --> 00:27:47,040 Speaker 1: the crypto crisis with Sam Bankman Freed the one time 506 00:27:47,200 --> 00:27:50,760 Speaker 1: wonder Kind, warning that the crypto exchange she founded f 507 00:27:50,880 --> 00:27:53,760 Speaker 1: t X could face bankrupts if he doesn't get a 508 00:27:54,160 --> 00:27:56,920 Speaker 1: get enough funds to cover a shortfall of as much 509 00:27:56,920 --> 00:28:00,800 Speaker 1: as eight billion dollars. That's after arrival by Finance backed 510 00:28:00,800 --> 00:28:03,359 Speaker 1: away from a deal to come to f t X 511 00:28:03,480 --> 00:28:07,680 Speaker 1: is rescue. Bloomberg Global Financial correspondent Shanali bask is back 512 00:28:07,680 --> 00:28:11,000 Speaker 1: with us. You've been watching this saga very closely, Shanali, 513 00:28:11,080 --> 00:28:14,800 Speaker 1: get us up to speed. So yes, if he doesn't 514 00:28:14,880 --> 00:28:17,520 Speaker 1: raise the money, remember Finance had walked out of a 515 00:28:17,560 --> 00:28:20,480 Speaker 1: potential deal to acquire f t X assets outside of 516 00:28:20,480 --> 00:28:23,240 Speaker 1: the United States. If he doesn't raise money, which it 517 00:28:23,240 --> 00:28:26,720 Speaker 1: looks very unlikely at this point, he will have to 518 00:28:26,800 --> 00:28:29,760 Speaker 1: file for bankruptcy for f t X outside of the 519 00:28:29,880 --> 00:28:32,080 Speaker 1: United States. And there's a question about what happens to 520 00:28:32,119 --> 00:28:35,000 Speaker 1: f t X u S, which is the entity that's 521 00:28:35,080 --> 00:28:38,920 Speaker 1: inside of the United States, And all of that leads 522 00:28:38,920 --> 00:28:42,360 Speaker 1: to much broader questions about what happens to the funds themselves. 523 00:28:42,680 --> 00:28:47,880 Speaker 1: Will customers be made whole? Ever, remember we are going 524 00:28:47,920 --> 00:28:51,320 Speaker 1: through a series of bankruptcy processes now and f t 525 00:28:51,600 --> 00:28:54,840 Speaker 1: X is largely based in the Bahamas, so any potential 526 00:28:54,880 --> 00:28:58,200 Speaker 1: bankruptcy proceeding would be very difficult. And you know, I 527 00:28:58,240 --> 00:29:00,400 Speaker 1: know for the last twenty four hours after and been 528 00:29:00,400 --> 00:29:03,520 Speaker 1: talking to both folks in crypto, folks adventure and folks 529 00:29:03,560 --> 00:29:08,800 Speaker 1: and restructuring because it's a very complicated web of money 530 00:29:08,920 --> 00:29:12,960 Speaker 1: to try to track down for all the people involved. Yeah, 531 00:29:13,000 --> 00:29:16,040 Speaker 1: and we saw a bitcoin drop below sixteen thousand after 532 00:29:16,120 --> 00:29:19,120 Speaker 1: Binance made that surprise announcement backing away from the ft 533 00:29:19,320 --> 00:29:23,360 Speaker 1: X biot interesting though, to watch Bitcoin back above sixteen 534 00:29:23,400 --> 00:29:26,200 Speaker 1: thousand this morning. What do you make of the market 535 00:29:26,320 --> 00:29:29,120 Speaker 1: moves in crypto right now? You know, it's interesting to 536 00:29:29,120 --> 00:29:34,040 Speaker 1: see bitcoins still stay above fifteen thousand dollars, so you 537 00:29:34,080 --> 00:29:36,600 Speaker 1: do have to still think, okay, wait a minute, this 538 00:29:36,680 --> 00:29:39,680 Speaker 1: is in a full crash of the current cryptocurrency, but 539 00:29:39,720 --> 00:29:42,800 Speaker 1: there is something else that's happening that is another sign 540 00:29:42,800 --> 00:29:45,200 Speaker 1: of stress in the market. And you've seen over the 541 00:29:45,280 --> 00:29:49,680 Speaker 1: last twenty four hours a little bit of a decoupling 542 00:29:49,760 --> 00:29:52,840 Speaker 1: here and Tether, which is one of the biggest stable coins, 543 00:29:52,920 --> 00:29:57,640 Speaker 1: breaking its peg briefly briefly now remember when the lunar 544 00:29:57,720 --> 00:30:00,640 Speaker 1: collapse happened. That's also what the worry of was about 545 00:30:00,760 --> 00:30:04,760 Speaker 1: stable coins, and stable coins have a more immediate link 546 00:30:04,800 --> 00:30:07,880 Speaker 1: to the US dollar, so people are really, this is 547 00:30:07,920 --> 00:30:09,440 Speaker 1: all those This all goes to say, people are just 548 00:30:09,440 --> 00:30:14,120 Speaker 1: watching for contagion and seeing where the crypto worries can 549 00:30:14,160 --> 00:30:16,880 Speaker 1: start to ripple into the broader financial system if at all. 550 00:30:17,160 --> 00:30:19,360 Speaker 1: Just about thirty seconds left here we've been reporting the 551 00:30:19,400 --> 00:30:22,640 Speaker 1: Justice Department is now getting involved looking into this. Is 552 00:30:22,680 --> 00:30:25,240 Speaker 1: there a risk of criminal liability for Sam Bateman Freed? 553 00:30:26,040 --> 00:30:30,360 Speaker 1: It's early, but the Destice prominent is certainly taking a 554 00:30:30,360 --> 00:30:32,480 Speaker 1: look at how they've used the funds and whether these 555 00:30:32,560 --> 00:30:36,320 Speaker 1: funds have been used at customer funds I've been used 556 00:30:36,360 --> 00:30:39,080 Speaker 1: for the purposes. Thanks jan Ali good having on with 557 00:30:39,160 --> 00:30:42,920 Speaker 1: us once again. Bloomberg Global Financial correspondent Shinali bassk As 558 00:30:42,960 --> 00:30:46,600 Speaker 1: we continue to watch the crypto space and the saga 559 00:30:46,720 --> 00:30:50,400 Speaker 1: surrounding f t X. Right now, Bitcoin, after dropping below 560 00:30:50,480 --> 00:30:54,240 Speaker 1: sixteen thousand, is back above that sixteen thousand, handled now 561 00:30:54,320 --> 00:30:59,040 Speaker 1: at sixteen thousand, four hundred seventeen dollars. Broader market pointing 562 00:30:59,040 --> 00:31:01,239 Speaker 1: to games as well. All the S ANDP futures are 563 00:31:01,280 --> 00:31:04,480 Speaker 1: up by thirteen points right now, down futures of sixty eight, 564 00:31:04,920 --> 00:31:08,320 Speaker 1: NASTAC futures are higher by sixty six points. Tend your 565 00:31:08,320 --> 00:31:11,120 Speaker 1: treasuries down three thirty seconds the old four point zero 566 00:31:11,200 --> 00:31:13,920 Speaker 1: nine percent yield on the two year four point six 567 00:31:14,120 --> 00:31:22,000 Speaker 1: zero per cent. You're listening to Bloomberg day Break and 568 00:31:22,000 --> 00:31:24,520 Speaker 1: Bloomberg Sports was brought to you by Autie. Don't let 569 00:31:24,600 --> 00:31:27,200 Speaker 1: someone else drive off in the autie model you've always wanted. 570 00:31:27,280 --> 00:31:29,520 Speaker 1: Visit your local tri state autie dealer to get behind 571 00:31:29,560 --> 00:31:32,080 Speaker 1: the wheel of yours today, or visit Outie Offers dot 572 00:31:32,120 --> 00:31:40,840 Speaker 1: com for more information, markets, headlines and breaking news twenty 573 00:31:40,880 --> 00:31:43,720 Speaker 1: four hours a day at Bloomberg dot com, the Bloomberg 574 00:31:43,760 --> 00:31:53,720 Speaker 1: Business at and at Bloomberg Quicktap's a Bloomberg Business lash 575 00:31:54,200 --> 00:31:57,120 Speaker 1: and I'm Karen Moscow future is on the rise this morning. 576 00:31:57,200 --> 00:31:59,160 Speaker 1: Let's go to the first word breaking news dance for 577 00:31:59,200 --> 00:32:02,680 Speaker 1: today's morning. All in here, Tatiana, Darry Tatiana, Good morning, 578 00:32:02,800 --> 00:32:05,880 Speaker 1: Good morning, Karen. Like you said, Features higher this morning 579 00:32:05,880 --> 00:32:08,960 Speaker 1: after that steep sell off yesterday without features up eighty 580 00:32:09,000 --> 00:32:11,640 Speaker 1: five point s and ps of fifteen and nas jack 581 00:32:11,720 --> 00:32:15,680 Speaker 1: up sixty nine. Treasuries, however, are heading in the opposite direction, 582 00:32:15,760 --> 00:32:18,520 Speaker 1: with the tenure yield up one basis point to four 583 00:32:18,600 --> 00:32:21,400 Speaker 1: spot oh nine percent. The dollar is stronger for a 584 00:32:21,440 --> 00:32:24,560 Speaker 1: second day, while bitcoin is up four but still trading 585 00:32:24,600 --> 00:32:28,280 Speaker 1: below the key seventeen thousand handle on the economic front today, 586 00:32:28,320 --> 00:32:31,680 Speaker 1: all eyes on CPI at eight thirty this morning. In 587 00:32:31,840 --> 00:32:34,960 Speaker 1: early trading, we're seeing Gribban shares up seven percent after 588 00:32:35,080 --> 00:32:39,200 Speaker 1: reiterating guidance, beyond Meat up one after its numbers, and 589 00:32:39,240 --> 00:32:42,600 Speaker 1: in other moves, crypto exposed stocks are rebounding after some 590 00:32:42,640 --> 00:32:45,880 Speaker 1: heavy losses. Coin based robbing hood up to percent, while 591 00:32:45,960 --> 00:32:49,880 Speaker 1: micro Strategy up five and wrapping things up here, Aultrea 592 00:32:50,040 --> 00:32:53,280 Speaker 1: was downgraded to sell at ubs Live from the First 593 00:32:53,360 --> 00:32:57,400 Speaker 1: Breaking News desk. I'm Tatiana, Daria, Karen very Tatiana, thank you, 594 00:32:57,440 --> 00:32:59,959 Speaker 1: and here lie breaking news of your Bloomberg type squad 595 00:33:00,160 --> 00:33:02,600 Speaker 1: on your terminal s q U a w K. That's 596 00:33:02,600 --> 00:33:05,280 Speaker 1: a Bloomberg business flash. Now here's Michael bar with more 597 00:33:05,360 --> 00:33:07,840 Speaker 1: on what's going on around the world. Karen, thank you 598 00:33:07,920 --> 00:33:10,720 Speaker 1: very much. Urcane the coal made landfall around three a 599 00:33:11,160 --> 00:33:14,440 Speaker 1: m near Vero Beach, Florida. It has since been downgraded 600 00:33:14,440 --> 00:33:17,840 Speaker 1: to a tropical storm with winds gusting to seventy miles 601 00:33:17,840 --> 00:33:20,800 Speaker 1: per hour. About fifty five thousand people are without power. 602 00:33:21,200 --> 00:33:23,880 Speaker 1: Two days after the mid term elections, control of the 603 00:33:23,960 --> 00:33:27,840 Speaker 1: House and Senate are still unknown. A razor thin race 604 00:33:27,960 --> 00:33:31,400 Speaker 1: is unfolding in Colorado. Fewer than one hundred votes separate 605 00:33:31,480 --> 00:33:36,320 Speaker 1: Republican Congresswoman Lauren Bobert and Democrat Adam Frisch in what 606 00:33:36,440 --> 00:33:39,840 Speaker 1: could be a major upset for Republicans. In New York, 607 00:33:39,880 --> 00:33:43,800 Speaker 1: a big win for the GOP Mike Lawler beating Congressman 608 00:33:43,880 --> 00:33:47,880 Speaker 1: Sean Patrick Maloney, the chairman of the Democratic Congressional Campaign 609 00:33:47,880 --> 00:33:51,280 Speaker 1: Committee NBA. The Nets rolled over the Knicks one eighty five. 610 00:33:51,360 --> 00:33:54,520 Speaker 1: The Celtics won in hockey. The Capitol's Lost. Global News 611 00:33:54,520 --> 00:33:57,760 Speaker 1: twenty four hours a day on air and on Bloomberg Quicktake, 612 00:33:58,080 --> 00:34:01,120 Speaker 1: powered by more than twenty seven your journalist and analysts 613 00:34:01,120 --> 00:34:05,120 Speaker 1: more than twenty countries. Michael Bar, this is Bloomberg. Caeron Ry. 614 00:34:05,160 --> 00:34:07,840 Speaker 1: Michael bar Thank you sixty nine on Wall Street. Let's 615 00:34:07,840 --> 00:34:10,120 Speaker 1: turn to news and science and technology now with a 616 00:34:10,160 --> 00:34:13,080 Speaker 1: Bloomberg and j I T STEM Report brought to you. 617 00:34:13,160 --> 00:34:15,640 Speaker 1: Buy New Jersey Institute of Technology as one of the 618 00:34:15,719 --> 00:34:19,640 Speaker 1: nation's of leading polytechnic universities and a top military friendly school, 619 00:34:20,000 --> 00:34:23,600 Speaker 1: and j I T supports America's service members and their families. 620 00:34:23,840 --> 00:34:25,520 Speaker 1: Learn more at n j I T dot E d 621 00:34:25,680 --> 00:34:30,080 Speaker 1: U slash veterans and now here's just making news and science, technology, engineering, 622 00:34:30,120 --> 00:34:33,640 Speaker 1: and math. A Northrop Grumm and capsule has delivered several 623 00:34:33,640 --> 00:34:36,880 Speaker 1: tons of supplies to the International Space Station despite a 624 00:34:37,000 --> 00:34:40,600 Speaker 1: jammed solar panel. The shipment arrived two days after launching 625 00:34:40,600 --> 00:34:43,520 Speaker 1: from Virginia. Only one of the cargo ships two round 626 00:34:43,560 --> 00:34:47,399 Speaker 1: solar panels open. Following liftoff, flight controllers tried in Vain 627 00:34:47,440 --> 00:34:49,879 Speaker 1: to open the stuck panel, but managed to draw enough 628 00:34:49,920 --> 00:34:53,560 Speaker 1: power for the flight with just one. The European Union 629 00:34:53,600 --> 00:34:56,560 Speaker 1: plans to outline proposed natural gas price controls at a 630 00:34:56,560 --> 00:34:59,880 Speaker 1: meeting tomorrow. The unprecedented energy crisis is threatening to pu 631 00:35:00,200 --> 00:35:03,240 Speaker 1: the twenty seven nation block into recession. Still, the idea 632 00:35:03,239 --> 00:35:07,000 Speaker 1: of price controls on gas has divided EU members and 633 00:35:07,040 --> 00:35:10,600 Speaker 1: it was the largest single owner art auction in history. 634 00:35:10,760 --> 00:35:14,080 Speaker 1: Christie's presided over the sale of just sixty artworks for 635 00:35:14,160 --> 00:35:17,480 Speaker 1: an unprecedented one and a half billion dollars. They came 636 00:35:17,520 --> 00:35:20,640 Speaker 1: from the collection of the late Microsoft co founder Paul Allen. 637 00:35:20,920 --> 00:35:23,719 Speaker 1: Proceeds from the sale we'll go to philanthropy and as 638 00:35:23,719 --> 00:35:27,240 Speaker 1: a Bloomberg n j I t STEM report. Nathan, Thanks Karen, 639 00:35:27,239 --> 00:35:29,719 Speaker 1: We're live from the Bloomberg Interactive Broker Studios or at 640 00:35:29,760 --> 00:35:32,000 Speaker 1: six fifty on Wall Street Time Now to check what's 641 00:35:32,000 --> 00:35:34,080 Speaker 1: going on in d C. Some of the top stories 642 00:35:34,120 --> 00:35:37,280 Speaker 1: in our nation's capital include President Biden hailing a strong 643 00:35:37,440 --> 00:35:40,399 Speaker 1: election night for Democrats in a mid term victory, lab 644 00:35:40,719 --> 00:35:42,839 Speaker 1: control of the Senate now down to who wins two 645 00:35:42,840 --> 00:35:46,240 Speaker 1: of the last three races, and the GOP leaning toward 646 00:35:46,440 --> 00:35:50,480 Speaker 1: de Santis over Trump in four Let's bring in Bloomberg 647 00:35:50,520 --> 00:35:54,040 Speaker 1: Government congressional reporter Jack Fitzpatrick for more on some of 648 00:35:54,040 --> 00:35:56,600 Speaker 1: these stories. Jack, I'm sure you, along with a lot 649 00:35:56,640 --> 00:35:59,840 Speaker 1: of the rest of us, saw President Biden's comments following 650 00:36:00,239 --> 00:36:02,920 Speaker 1: the mid term election results. That sounds like the message 651 00:36:02,920 --> 00:36:07,160 Speaker 1: he received from voters is stay the course. Yeah. I mean, overall, 652 00:36:07,200 --> 00:36:11,040 Speaker 1: it's been pretty good news for Democrats given the expectations 653 00:36:11,080 --> 00:36:14,560 Speaker 1: of the first mid term being really, really tough for 654 00:36:14,600 --> 00:36:18,520 Speaker 1: the president's party. Uh. You know, it does still look 655 00:36:18,560 --> 00:36:21,400 Speaker 1: like the House is likely to go Republicans way, but 656 00:36:21,480 --> 00:36:25,440 Speaker 1: probably by a very narrow margin. Uh. And considering Democrats 657 00:36:25,440 --> 00:36:28,520 Speaker 1: still have a chance that holding on to the Senate, 658 00:36:28,560 --> 00:36:31,239 Speaker 1: even if it's a Senate with the Vice president being 659 00:36:31,239 --> 00:36:35,560 Speaker 1: the tiebreaker, that's kind of a win. Or at least 660 00:36:35,840 --> 00:36:40,799 Speaker 1: avoiding catastrophe for Democrats. So some of the policy takeaways 661 00:36:40,800 --> 00:36:44,960 Speaker 1: are gonna be the the Yeah, voters uh may not 662 00:36:45,040 --> 00:36:49,160 Speaker 1: be happy about inflation, but they like low unemployment. That 663 00:36:49,239 --> 00:36:52,480 Speaker 1: the economy may not have been quite the weakness that 664 00:36:52,520 --> 00:36:56,320 Speaker 1: Republicans thought it was for Democrats. That abortion access was 665 00:36:56,400 --> 00:37:00,319 Speaker 1: a huge motivator. Uh. And that overall Democrats may not 666 00:37:00,400 --> 00:37:02,920 Speaker 1: have gotten an A plus but have gotten more or 667 00:37:03,000 --> 00:37:05,719 Speaker 1: less a passing grade from a lot of voters. Now, 668 00:37:05,800 --> 00:37:08,400 Speaker 1: let's look at where the control or the fight for 669 00:37:08,440 --> 00:37:11,120 Speaker 1: control of Congress stands at this point. I guess it's 670 00:37:11,120 --> 00:37:15,319 Speaker 1: still too soon to call definitively whether either party has 671 00:37:15,600 --> 00:37:21,520 Speaker 1: control of either chamber of Congress at this point. Yes, technically, uh, 672 00:37:21,560 --> 00:37:25,080 Speaker 1: we we can't exactly call the House. Uh. There have 673 00:37:25,280 --> 00:37:29,880 Speaker 1: been about two hundred seven seats in the House called 674 00:37:29,920 --> 00:37:32,880 Speaker 1: for Republicans. You know, it's just just looking at the 675 00:37:32,920 --> 00:37:37,360 Speaker 1: competitive races, this has always appeared to lean pretty strongly 676 00:37:37,480 --> 00:37:39,880 Speaker 1: their way. But a number of those competitive races have 677 00:37:39,960 --> 00:37:43,120 Speaker 1: been called for Democrats. So again it looks like they're 678 00:37:43,120 --> 00:37:47,919 Speaker 1: probably on track for a narrow majority on the Republican side. 679 00:37:47,960 --> 00:37:50,960 Speaker 1: But we're we're still waiting for a lot of results, 680 00:37:51,040 --> 00:37:53,439 Speaker 1: especially in the West that we're kind of starting later. 681 00:37:53,440 --> 00:37:56,680 Speaker 1: And then of course the Senate. If either party can 682 00:37:56,719 --> 00:38:02,200 Speaker 1: win Nevada and Arizona, they would they would take the Senate. 683 00:38:02,520 --> 00:38:05,160 Speaker 1: But if those are split, then we're going to be 684 00:38:05,160 --> 00:38:08,680 Speaker 1: looking to that Georgia runoff in December a little bit 685 00:38:08,680 --> 00:38:11,880 Speaker 1: of deja vu as as Georgia runoffs just happened to 686 00:38:12,360 --> 00:38:16,920 Speaker 1: uh frequently can determined control of the Senate these last 687 00:38:16,920 --> 00:38:20,560 Speaker 1: two cycles. So it's it's going to be very close. Uh. 688 00:38:20,640 --> 00:38:25,080 Speaker 1: It looks like both chambers will have extremely narrow majorities 689 00:38:25,080 --> 00:38:28,520 Speaker 1: for whoever controls each one, uh, and that that probably 690 00:38:28,560 --> 00:38:30,520 Speaker 1: means governing is going to be pretty tough for the 691 00:38:30,560 --> 00:38:34,520 Speaker 1: next two years. Do narrow majorities mean a tough fight 692 00:38:34,760 --> 00:38:38,360 Speaker 1: for leadership as we look to see what the actual 693 00:38:38,520 --> 00:38:44,480 Speaker 1: makeup of the next Congress itself? Yeah, it it raises 694 00:38:44,520 --> 00:38:47,799 Speaker 1: a lot of questions, especially in the House, uh, for 695 00:38:47,880 --> 00:38:53,000 Speaker 1: both parties. You know, Nancy Pelosi had it sort of 696 00:38:53,080 --> 00:38:57,480 Speaker 1: left open the option that after looking at the results 697 00:38:57,480 --> 00:39:00,120 Speaker 1: of this election, she would decide what her future or 698 00:39:00,120 --> 00:39:02,960 Speaker 1: would be. There was a sort of a simmering expectation 699 00:39:03,400 --> 00:39:07,640 Speaker 1: that if Democrats lose, especially if they lose big that 700 00:39:07,719 --> 00:39:11,400 Speaker 1: she would step down. Um, you know this is this 701 00:39:11,480 --> 00:39:14,200 Speaker 1: is fairly good news for Democrats. It seems to to 702 00:39:14,719 --> 00:39:16,520 Speaker 1: sort of toss up in the air exactly what's going 703 00:39:16,600 --> 00:39:19,000 Speaker 1: to happen with their leadership. And it's not good news 704 00:39:19,080 --> 00:39:22,600 Speaker 1: for Kevin McCarthy because if he only has a handful 705 00:39:22,640 --> 00:39:26,840 Speaker 1: of votes beyond the ten vote majority in the House, 706 00:39:27,120 --> 00:39:30,160 Speaker 1: it could get tricky in terms of lining up the 707 00:39:30,200 --> 00:39:33,920 Speaker 1: votes to elect him speaker. Do conservative groups come to 708 00:39:34,000 --> 00:39:37,360 Speaker 1: him asking for concessions ahead of time in exchange for 709 00:39:37,400 --> 00:39:40,520 Speaker 1: their votes. Narrow majorities are always difficult, and it's not 710 00:39:40,600 --> 00:39:43,440 Speaker 1: even just the bills that they're voting in all, it's 711 00:39:43,480 --> 00:39:47,680 Speaker 1: it's the leadership election as well. It's interesting to you 712 00:39:47,800 --> 00:39:51,040 Speaker 1: see the idea that we could have a more emboldened 713 00:39:51,080 --> 00:39:54,960 Speaker 1: populist wing of the Republican Party in Congress when the 714 00:39:55,000 --> 00:39:58,920 Speaker 1: election results for more populist candidates who are backed by 715 00:39:58,960 --> 00:40:03,280 Speaker 1: former President m uh didn't really go so well this cycle, 716 00:40:03,320 --> 00:40:08,040 Speaker 1: and thinking about looking ahead to the four race, it's 717 00:40:08,080 --> 00:40:11,560 Speaker 1: looking like Republicans are starting to feel a little bit 718 00:40:11,600 --> 00:40:15,839 Speaker 1: cooler on the former president. Yeah, there's it's a bit 719 00:40:15,880 --> 00:40:20,799 Speaker 1: counterintuitive that on one hand, a smaller caucus is by 720 00:40:20,840 --> 00:40:24,400 Speaker 1: definition a bit more of an extreme caucus because you 721 00:40:24,440 --> 00:40:29,160 Speaker 1: haven't elected as many moderates from swing states, swing district. Uh. 722 00:40:29,360 --> 00:40:33,120 Speaker 1: It also can embolden a group like the Freedom Caucus 723 00:40:33,120 --> 00:40:36,759 Speaker 1: on the Republican side. If it's easy for one caucus 724 00:40:36,800 --> 00:40:39,400 Speaker 1: to say, hey, we can take away the majority. There 725 00:40:39,400 --> 00:40:41,239 Speaker 1: are enough of us so that we won't have two 726 00:40:41,640 --> 00:40:46,520 Speaker 1: eighteen votes without our votes. Uh. That that increases the 727 00:40:46,680 --> 00:40:51,160 Speaker 1: possibility of certain factions really throwing their weight around within 728 00:40:51,200 --> 00:40:54,799 Speaker 1: the Republican caucus if it's a very narrow majority. But yeah, 729 00:40:54,840 --> 00:40:58,239 Speaker 1: one of the takeaways is that the Trump wing of 730 00:40:58,280 --> 00:41:01,680 Speaker 1: the party did not do very well. There's some frustration 731 00:41:02,440 --> 00:41:06,160 Speaker 1: with the with Trump's endorsement of moment Oz in Pennsylvania. 732 00:41:06,239 --> 00:41:08,680 Speaker 1: We'll see what happens with Blake Masters in Arizona that 733 00:41:08,719 --> 00:41:12,719 Speaker 1: has not been called um. But again, you know, if 734 00:41:12,760 --> 00:41:16,040 Speaker 1: this shifts the attention to someone like Ron de Santis 735 00:41:16,200 --> 00:41:19,560 Speaker 1: that's not necessarily a moderate, it could be a shift 736 00:41:19,640 --> 00:41:24,160 Speaker 1: and sort of a competing group, competing factions on the 737 00:41:24,200 --> 00:41:27,280 Speaker 1: conservative side. Even if the party turns away from Trump, 738 00:41:27,520 --> 00:41:32,080 Speaker 1: it's not exactly great news necessarily for the most moderate Republicans. 739 00:41:32,280 --> 00:41:34,040 Speaker 1: So in the last thirty seconds here. What are you 740 00:41:34,040 --> 00:41:37,120 Speaker 1: gonna be watching for as we set our attention to 741 00:41:37,239 --> 00:41:40,680 Speaker 1: the race. You heard from the President yesterday saying he's 742 00:41:41,080 --> 00:41:43,560 Speaker 1: looking to see whether trumpet de Santis sort of duke 743 00:41:43,600 --> 00:41:48,240 Speaker 1: it out. Yeah, I want to see, especially if Trump 744 00:41:48,320 --> 00:41:51,600 Speaker 1: sticks to his announcement that he was gonna he was 745 00:41:51,600 --> 00:41:55,600 Speaker 1: going to have an announcement next Tuesday about his future. 746 00:41:55,680 --> 00:41:58,600 Speaker 1: It seemed like he was going to announce his presidential 747 00:41:58,680 --> 00:42:01,279 Speaker 1: run and he was gearing up for in expectation that 748 00:42:01,320 --> 00:42:04,440 Speaker 1: Republicans would do well. The question of if he sticks 749 00:42:04,440 --> 00:42:07,840 Speaker 1: to that schedule after a pretty disappointing mid term for 750 00:42:07,880 --> 00:42:12,600 Speaker 1: Republicans would tell us something about the Trump de Santis 751 00:42:12,719 --> 00:42:17,480 Speaker 1: dynamic heading towards Thanks Jack, as always Bloomberg Government Congressional 752 00:42:17,480 --> 00:42:20,520 Speaker 1: reporter Jack Fitzpatrick, and you can read more about these 753 00:42:20,560 --> 00:42:23,560 Speaker 1: stories on Bloomberg dot com or on the Bloomberg terminal. 754 00:42:23,600 --> 00:42:26,560 Speaker 1: Listen to Bloomberg Radio when you're in Washington. Just tune 755 00:42:26,600 --> 00:42:30,919 Speaker 1: into Bloomberg and one oh five point seven FM HD two. 756 00:42:31,280 --> 00:42:35,040 Speaker 1: Futures moving higher as we await October inflation data. SMP 757 00:42:35,160 --> 00:42:38,440 Speaker 1: futures up eleven points, Staff futures of fifty nine Nastack Futures, 758 00:42:38,480 --> 00:42:41,800 Speaker 1: hired by fifty eight Points. Bloomberg Surveillance is next, with 759 00:42:41,920 --> 00:42:44,839 Speaker 1: Tom Keene, Jonathan Farrell, and Lisa Bramwitz back in New 760 00:42:44,920 --> 00:42:48,640 Speaker 1: York for Karen Moscow. I'm Nathan Hagar. This is Bloomberg