WEBVTT - Bloomberg Daybreak: November 4, 2022 - Hour 2 (Radio) 0:00:01.600 --> 0:00:05.120 Live from the Bloomberg Interacted Burger Studios is Bloomberg day 0:00:05.120 --> 0:00:08.600 Break for a Friday, November four two, Coming up the shower. 0:00:08.920 --> 0:00:12.440 Wall Street braces for the October jobs report. Apple is 0:00:12.440 --> 0:00:15.280 the latest company to put the brakes on hiring. Twitter 0:00:15.360 --> 0:00:17.439 plans job cuts today as it gets hit by a 0:00:17.520 --> 0:00:20.759 class action lawsuit over the firings, and Donald Trump gives 0:00:20.800 --> 0:00:23.440 his strongest signal yet that he plans to run for 0:00:23.520 --> 0:00:27.320 president in the NYPD as the rest of the suspect 0:00:27.360 --> 0:00:29.760 in the rape of a Manhattan jogger, plus New Jersey 0:00:29.800 --> 0:00:33.960 Governor Murphy warns of a credible threat to syntaggues Michael Larer. 0:00:34.080 --> 0:00:36.520 More Ahead, I'm John stash Our on Sports at Kyrie 0:00:36.560 --> 0:00:40.040 Irving suspension followed by an apology of the Astros beat 0:00:40.080 --> 0:00:42.000 the Phillies to take the lead in the world Series. 0:00:44.520 --> 0:00:48.080 That's all Train ahead on Bloomberg day Break on Bloomberg. 0:00:48.120 --> 0:00:51.879 He Living Free on New York Bloomberg one, Washington d 0:00:51.920 --> 0:00:55.920 C Bloomberg one oh six one, Boston Bloomberg nine sixties 0:00:55.960 --> 0:01:00.000 and Francisco Syrius Exam one nineteen and around the World 0:01:00.000 --> 0:01:03.080 Old on Bloomberg Radio dot Com and by other Bloomberg 0:01:03.120 --> 0:01:09.880 business app and good morning. I'm Karen Moscow. I'm Nathan 0:01:09.920 --> 0:01:12.400 Hagar Bloomberg Day Bright brought to you by Cone Residuc 0:01:12.440 --> 0:01:17.160 Advisory Assurance, Tax business strategies, financial intelligence viewpoints, all in 0:01:17.240 --> 0:01:21.120 one place. Visit Cone residuc c suite dashboard, Cone residuc 0:01:21.240 --> 0:01:25.280 dot com, slash c suite and futures are jumping on 0:01:25.319 --> 0:01:27.440 this Friday morning, six so one on Wall Street, and 0:01:27.480 --> 0:01:30.000 we check the markets every fifteen minutes throughout the trading day. 0:01:30.040 --> 0:01:33.119 On bloomberg SMP Future is up twenty three points, dal 0:01:33.240 --> 0:01:36.520 Future is up on seven and NASDAG futures of seventy 0:01:36.560 --> 0:01:39.160 five ten year treasury of three thirty seconds, he had 0:01:39.200 --> 0:01:41.600 four point one three percent and the yield on the 0:01:41.600 --> 0:01:45.080 two year four point seven four percent. Nathan Karen. A 0:01:45.120 --> 0:01:47.760 busy week on the economic calendar wraps up this morning 0:01:47.760 --> 0:01:50.720 with the October Jobs report. Economists forecast the game of 0:01:50.760 --> 0:01:53.760 a hundred ninety five thousand pay rolls with an unemployment 0:01:53.840 --> 0:01:56.360 rate of three point six percent. We get a preview 0:01:56.400 --> 0:01:59.640 from Bloomberg's Michael McKee. Today's jobs figures could have a 0:01:59.680 --> 0:02:02.520 major or impact on markets, but likely only if they 0:02:02.560 --> 0:02:06.360 come in stronger than forecast. The Fed is looking for deceleration, 0:02:06.520 --> 0:02:08.840 and if we get slower job creation and a higher 0:02:08.919 --> 0:02:12.720 unemployment rate, that would be perceived as good news. Fed 0:02:12.760 --> 0:02:16.079 policymakers expect the job less rate to rise, but though 0:02:16.080 --> 0:02:19.160 they've raised the nation's benchmark interest rate by three seventy 0:02:19.200 --> 0:02:22.600 five basis points this year, so far, it hasn't budged 0:02:23.200 --> 0:02:25.960 stronger than forecast numbers would suggest. The Fed has to 0:02:26.040 --> 0:02:29.320 raise rates higher than markets currently expect, and there would 0:02:29.320 --> 0:02:33.200 be a rush to reprice. Still, with three inflation reports 0:02:33.200 --> 0:02:36.120 and another job's number before the Fed meets again, any 0:02:36.160 --> 0:02:39.840 big reaction today may be short lived. Michael McKee, Bloomberg 0:02:39.919 --> 0:02:42.880 Daybreak Mike. Thanks to complete coverage and analysis of the 0:02:42.919 --> 0:02:45.440 job's report at eight thirty am Wall Street time. When 0:02:45.440 --> 0:02:48.080 it arrives an hour later, we will speak live with 0:02:48.160 --> 0:02:52.480 Labor Secretary Marty Wall Sean Bloomberg Radio and Television. Well, Nathan, 0:02:52.480 --> 0:02:55.240 we're seeing more tent companies pull back on hiring. The 0:02:55.320 --> 0:02:58.400 latest evidence of that is at Apple, the iPhone maker 0:02:58.480 --> 0:03:01.720 is hitting pause on most positions outside of research and development. 0:03:01.880 --> 0:03:04.919 Let me get a story from Bloomberg's Charlie Pellett. Sources 0:03:04.919 --> 0:03:07.680 say it's an escalation of an existing plan to reduce 0:03:07.720 --> 0:03:11.680 budgets heading into next year. Apple joins other technology giants 0:03:11.680 --> 0:03:14.960 in tapping the brakes on hiring a response to sluggish 0:03:15.000 --> 0:03:18.639 consumer spending and higher interest rates. The iPhone maker has 0:03:18.720 --> 0:03:21.519 fared better than many tech peers this year, but it's 0:03:21.520 --> 0:03:25.880 still facing an industry wide slowdown for smartphones and computers. 0:03:26.240 --> 0:03:29.400 In a statement, Apple said it does continue to hire, quote, 0:03:29.600 --> 0:03:32.639 but given the current economic environment, we're taking a very 0:03:32.720 --> 0:03:37.040 deliberate approach in some parts of the business. In New York. 0:03:37.160 --> 0:03:40.120 Charlie Pellett Bloomberg day Break, Okay, Charlie, thank you. On 0:03:40.200 --> 0:03:43.280 Twitter plans to start cutting staff today. As we've been reporting, 0:03:43.280 --> 0:03:45.800 the new owner, Elon Musk, plans to eliminate half the 0:03:46.840 --> 0:03:49.360 people who work at the social media platform. Those plan 0:03:49.480 --> 0:03:52.680 layoffs have now prompted a class action lawsuit accusing Twitter 0:03:52.720 --> 0:03:55.680 of violating a federal law that requires at least sixty 0:03:55.760 --> 0:03:59.320 days notice before mass firings. Well, the hiring sweet isn't 0:03:59.360 --> 0:04:02.160 just in the tech sector. Nathan Coca Cola is offering 0:04:02.240 --> 0:04:05.080 voluntary buyouts to some of its staff in North America. 0:04:05.320 --> 0:04:08.320 The bear ridge maker currently employees about six thousand people 0:04:08.320 --> 0:04:11.520 on the continent. Coke is not saying which positions or 0:04:11.560 --> 0:04:14.200 how many will be affected or eliminated. You could call 0:04:14.240 --> 0:04:16.920 this job news of a political kind, Karen. Former President 0:04:16.920 --> 0:04:19.599 Donald Trump is sending his strongest signal yet that he 0:04:19.640 --> 0:04:22.560 plans to run for the White House again in four 0:04:22.839 --> 0:04:26.880 Amy Morris has the details from our Bloomberg newsroom in Washington. 0:04:27.160 --> 0:04:29.520 Trump has teased for months that he plans to make 0:04:29.560 --> 0:04:32.760 another White House run, but during last night's rally in Iowa, 0:04:33.000 --> 0:04:36.200 he all but declared his candidacy. In order to make 0:04:36.240 --> 0:04:42.280 our country successful and safe and glorious, I will very, 0:04:42.440 --> 0:04:46.520 very very probably do it again. His former advisor, Kelly 0:04:46.520 --> 0:04:49.880 and Conway, says she expects Trump to announce soon, likely 0:04:49.920 --> 0:04:52.960 after Tuesday's elections. The rally was billed as an event 0:04:53.040 --> 0:04:57.159 supporting Republican Senator Chuck Grassley and other endorsed candidates. It 0:04:57.240 --> 0:04:59.480 also happens to be the state that holds the first 0:04:59.480 --> 0:05:04.239 presidenti CAUCUSUS. Trump is also scheduled to hold rallies in Pennsylvania, Florida, 0:05:04.360 --> 0:05:08.400 and Ohio in Washington, I'm Amy Morris, Bloomberg Daybreak. All right, Amy, 0:05:08.400 --> 0:05:10.680 thank you all. Turning back to the markets now, stunts 0:05:10.720 --> 0:05:14.160 in Asia rose overnight as Chinese tex shares rebounded more 0:05:14.200 --> 0:05:16.680 than ten percent. Do we get the recap from Bloomberg? 0:05:16.800 --> 0:05:20.040 Juliett Sally and Singapore, Good morning, juliet, Good morning, Nathan 0:05:20.040 --> 0:05:22.280 and Karen. The m c I Asia Pacific Index headed 0:05:22.320 --> 0:05:25.200 for its biggest weekly jump since July, as Chinese assets 0:05:25.279 --> 0:05:28.719 rallied amid investors speculation Beijing may roll back it's COVID 0:05:28.760 --> 0:05:31.760 zero policy. Chinese stocks listed in Hong Kong had their 0:05:31.800 --> 0:05:34.719 best week since twenty eleven. The off show you Un 0:05:34.760 --> 0:05:37.520 jumped more than one percent against the dollar, but Japanese 0:05:37.520 --> 0:05:40.799 ses were a dragon Asia as investors in Tokyo played 0:05:40.800 --> 0:05:45.839 catch up after Thursday's holiday. In Singapore Juliette Sally, Bloomberg Daybreak, 0:05:46.040 --> 0:05:49.000 Juliette Thanks. In Europe, Britain's headed for a deep procession 0:05:49.040 --> 0:05:50.919 that could lead to more than a half million people 0:05:51.000 --> 0:05:53.720 losing their jobs. Some of the Bank of England's message 0:05:53.760 --> 0:05:57.320 yesterday as it raised interest rates by seventy bases points 0:05:57.320 --> 0:06:00.719 to a fourteen year high of three percent. EOE Governor 0:06:00.760 --> 0:06:03.240 Andrew Bailey is defending the rate hike. The fact that 0:06:03.240 --> 0:06:05.800 we've done something to five today. Nobody should read into it. 0:06:05.880 --> 0:06:08.280 That's the new norm. I don't think you know, people 0:06:08.480 --> 0:06:12.560 we should surprised when they see that. Yeah, we're on 0:06:12.560 --> 0:06:14.719 the fete of looking at things through slightly different lenses. 0:06:15.920 --> 0:06:18.200 Bank of England Governor Andrew Bailey made those comments in 0:06:18.240 --> 0:06:21.200 an interview with Bloomberg's franc laquix Well. Back here in 0:06:21.240 --> 0:06:24.840 the US, Nathan New York City's new pay transparency law 0:06:24.960 --> 0:06:28.120 has a blind spot Wall Street bonuses. The new law 0:06:28.160 --> 0:06:30.880 requires local employers to make a best estimate of their 0:06:30.920 --> 0:06:33.920 salary range and job postings. The idea is it will 0:06:33.960 --> 0:06:37.920 give candidates a stronger hand in negotiating compensation, but bonuses 0:06:37.960 --> 0:06:40.280 are exempt from the law even though they make up 0:06:40.279 --> 0:06:42.600 the bulk of Wall Street pay. Okay, let's look at 0:06:42.600 --> 0:06:44.039 some stocks that may be on the move on Wall 0:06:44.080 --> 0:06:46.719 Street today. Karen Shares of Starbucks are now more than 0:06:46.760 --> 0:06:50.680 three percent. In early trading, the company reported sales that 0:06:50.760 --> 0:06:56.080 exceeded expectations. PayPal shares right now are down about seven percent. 0:06:56.440 --> 0:06:59.559 The payment platform trimmed its forecast for annual revenue amid 0:06:59.560 --> 0:07:02.760 a slow down in spending growth, and shares of Block 0:07:02.839 --> 0:07:05.240 are hired by almost fourteen and a half percent. The 0:07:05.279 --> 0:07:09.520 company formerly known as Square, reported revenue above analyst estimates. 0:07:09.840 --> 0:07:12.480 SMP futures are highed by twenty four points. Right now, 0:07:12.560 --> 0:07:15.920 NASDAC futures up seventy eight. Straight ahead your latest local 0:07:15.920 --> 0:07:23.320 headlines and a check of sports. This is Bloomberg. It 0:07:23.360 --> 0:07:25.320 sounds like so seven on Wall Street or a fifty 0:07:25.320 --> 0:07:28.200 three degrees in Central Park. You've got two accidents on 0:07:28.240 --> 0:07:30.520 the westbound Belt park Way that Peter Vandell fill you 0:07:30.520 --> 0:07:33.160 in on shortly. First, Michael Bars here with more on 0:07:33.240 --> 0:07:35.440 what's going on in New York and around the world. Michael, 0:07:35.520 --> 0:07:37.880 thank you very much. Nathan, the NYPD says a man 0:07:38.040 --> 0:07:40.800 with more than a dozen prior arrests has been taken 0:07:40.840 --> 0:07:44.680 into custody for allegedly raping a woman on a jogging 0:07:44.760 --> 0:07:48.600 path along the Hudson River in Manhattan's Lower west Side yesterday. 0:07:48.880 --> 0:07:51.760 The victim was able to flag down another jogger for 0:07:51.880 --> 0:07:55.080 help after the incident. She was bleeding on her arms 0:07:55.400 --> 0:07:58.000 and she was wearing any shoes. Her clothes were kind 0:07:58.040 --> 0:07:59.760 of torn up, but I could tell that they were workout. 0:08:00.920 --> 0:08:04.440 Police say. After the attack, the suspect, Carl Fayner, took 0:08:04.440 --> 0:08:07.320 the victim's wallet and was arrested at a target store 0:08:07.440 --> 0:08:10.960 using the victim's card. The midterm elections will be held 0:08:11.000 --> 0:08:13.880 this Tuesday across the country, with many tight races that 0:08:13.920 --> 0:08:17.800 will decide the balance of power in Congress. Republican Congressman 0:08:17.880 --> 0:08:20.720 Andy Barr of Kentucky people are ready for a big change. 0:08:20.800 --> 0:08:24.160 I anticipate a red tidal wave election, and not just 0:08:24.240 --> 0:08:27.760 here in Kentucky, but around the country in battleground districts 0:08:28.040 --> 0:08:32.040 for the control of the Congress. I anticipate a not 0:08:32.120 --> 0:08:34.679 only the voters will make a change in the majority 0:08:35.360 --> 0:08:37.640 and put Republicans in charge, but it's gonna be a 0:08:37.800 --> 0:08:42.120 big win Congressman bar On Bloomberg's balance of power. The 0:08:42.200 --> 0:08:45.320 race in Pennsylvania is being watched very closely, as Democrat 0:08:45.400 --> 0:08:48.880 John Fetterman and Republican memitaz Or neck and neck. According 0:08:48.920 --> 0:08:53.480 to the latest polls, he could determine control of the U. S. Senate. Meanwhile, 0:08:53.559 --> 0:08:57.280 Oprah Winfrey, who helped make Doctor as a household Dame 0:08:57.320 --> 0:09:00.200 on TV, says she is backing Fetterman in the ace. 0:09:00.800 --> 0:09:04.000 The race for New York's eighteenth congressional district is also 0:09:04.080 --> 0:09:07.760 being watched. Democratic Congressman Pat Ryan is up against new 0:09:07.800 --> 0:09:11.920 York Republican Assemblyman Colin Schmidt. Ryan talked about abortion and 0:09:12.000 --> 0:09:15.720 the Supreme Court overturning Roe v. Wade. Unequivocally, it is 0:09:15.760 --> 0:09:18.040 one of the It's not the only issue, of course, 0:09:18.280 --> 0:09:21.080 but it is one of the most salient issues. That 0:09:21.160 --> 0:09:26.000 people are rightly outraged that fellow Americans fundamental rights and 0:09:26.040 --> 0:09:29.320 freedoms were ripped away. Colin Schmidt, the issues that are 0:09:29.360 --> 0:09:33.200 playing out here are the economy and crime. That is 0:09:33.280 --> 0:09:38.040 the main two issues. They're almost tied in importance to 0:09:38.080 --> 0:09:40.760 the voters when we hear about it. Schmidt and Ryan 0:09:40.840 --> 0:09:43.839 spoke on sound On, which airs at five pm on Bloomberg. 0:09:44.120 --> 0:09:47.440 Governor Phil Murphy says authorities are closely monitoring a credible 0:09:47.440 --> 0:09:51.600 threat to New Jersey synagogues. Murphy says law enforcement officials 0:09:51.640 --> 0:09:54.600 have stepped up patrols. No word on what information officials 0:09:54.600 --> 0:09:57.200 had received. Global News twenty four hours a day on 0:09:57.240 --> 0:10:00.480 airand on Bloomberg Quicktake Power by more than a journalist 0:10:00.520 --> 0:10:02.800 and analyst in more than a d twenty countries. I'm 0:10:02.800 --> 0:10:09.880 Michael Bart. This is Bloomberg. Nathan. Thanks Michael. Going up 0:10:09.960 --> 0:10:12.000 to Sixten on Wall Street. Time for the Bloomberg Sports 0:10:12.040 --> 0:10:14.200 update brought to you by Tri State Outing with John 0:10:14.240 --> 0:10:16.960 Sechel Ran Nathan Another eventful day in the life of 0:10:17.040 --> 0:10:20.000 Kyrie Irving and again and NETS practice, after which Irving 0:10:20.080 --> 0:10:22.160 met the media for the first time since last Saturday. 0:10:22.240 --> 0:10:25.240 He said plenty, but like last Saturday, at no time 0:10:25.240 --> 0:10:28.280 apologized for that posting of the anti Semitic video that 0:10:28.400 --> 0:10:31.679 angered NBA Commissioner Adam Silver and it angered the NETS, 0:10:31.800 --> 0:10:34.800 who suspended Irving for at least five games, they said 0:10:34.880 --> 0:10:38.680 until he satisfies a series of measures. Four hours later, 0:10:38.720 --> 0:10:41.439 there was an apology in an online post, so it's 0:10:41.440 --> 0:10:43.240 not known if Kyrie will play for the next tonight 0:10:43.520 --> 0:10:45.760 in Washington at the World Series. After games there were 0:10:45.800 --> 0:10:48.120 seven nothing and five nothing, which was a no hitter. 0:10:48.679 --> 0:10:51.200 Tight Game five in Philadelphia, the Astro scored on the 0:10:51.280 --> 0:10:53.200 fourth pitch at the top of the first and in 0:10:53.240 --> 0:10:56.760 the Phillies scored on Justin Verlander's second pitch to the bottom. 0:10:56.800 --> 0:10:59.520 A Cloud Swarbler home run won one and the fourth. 0:11:03.800 --> 0:11:06.959 Here's the two too, swinging and a drive down the 0:11:07.040 --> 0:11:10.240 left field line. Warber back, He's on the morning track 0:11:10.600 --> 0:11:16.959 and that is out of air. Jeremy Paenia over and 0:11:17.080 --> 0:11:24.679 out the Astros lead two to one as Paenia shoots 0:11:24.679 --> 0:11:26.800 the ray bow to last. He may have the calf 0:11:26.840 --> 0:11:29.079 ainto the rookie short Step had three hits, drove into 0:11:29.080 --> 0:11:31.679 and the Astros beat the Phillies three too with verland 0:11:31.720 --> 0:11:33.720 Or finally getting the World Series win. He came in 0:11:33.760 --> 0:11:35.640 o Wan six with a six t r A game 0:11:35.760 --> 0:11:38.959 six tomorrow night in Houston, also Philadelphia versus used to 0:11:39.040 --> 0:11:42.640 the NFL. The Eagles stay undefeated and beat the Texans seventeen. 0:11:43.120 --> 0:11:46.360 Bruins beat the Rangers five to two. Islanders and Devils 0:11:46.400 --> 0:11:47.920 both won on the road, and to both won five 0:11:47.960 --> 0:11:51.040 in a row. John stashually, we're Bloomberg Sports, Nath John, 0:11:51.120 --> 0:11:52.920 thank you right now. S and P futures are up 0:11:52.920 --> 0:11:55.160 twenty one point, South futures up a hundred thirty three, 0:11:55.200 --> 0:11:59.240 NESSECT futures up sixty eight points. As we await October payrolls. 0:11:59.720 --> 0:12:02.800 We'll preview the data next with Bloomberg's Michael McKee. This 0:12:03.240 --> 0:12:09.360 is Bloomberg and Bloomberg Sports is brought to you by Audie. 0:12:09.400 --> 0:12:11.559 Don't let someone else drive off in the autie model 0:12:11.600 --> 0:12:14.320 you've always wanted. Visit your local price state autie dealer 0:12:14.400 --> 0:12:16.440 to get behind the wheel of yours today, or visit 0:12:16.480 --> 0:12:23.480 autie Offers dot com for more information, markets, headlines and 0:12:23.559 --> 0:12:26.600 breaking news twenty four hours a day at Bloomberg dot 0:12:26.600 --> 0:12:29.800 Com and Bloomberg Business Out and at Bloomberg Quick Tape. 0:12:30.000 --> 0:12:39.280 This is a Bloomberg Business Flash and I'm Karin Moscow. 0:12:39.320 --> 0:12:40.920 This update is brought to you by B and Why 0:12:40.960 --> 0:12:44.120 Melons b and Why Melons Perishing. Learn why the world's 0:12:44.160 --> 0:12:48.079 most sophisticated wealth management and institutional firms rely on perishing 0:12:48.120 --> 0:12:51.680 to help them improve profitability, create efficiency, attract talent, and 0:12:51.800 --> 0:12:55.880 manage risk at Pershing dot com. But global equities are 0:12:55.960 --> 0:12:59.520 trimming a weekly loss as Chinese shares search I mean 0:12:59.600 --> 0:13:02.360 science authorities are trying harder to ease the impact of 0:13:02.360 --> 0:13:06.120 its COVID zero policy. Treasuries are a little change before 0:13:06.160 --> 0:13:08.800 today's jobs data who checked the markets every fifteen minutes 0:13:08.800 --> 0:13:11.960 throughout the trading day On Bloomberg SMP Future is up 0:13:12.000 --> 0:13:14.400 twenty two points this morning. Down futures have a hundred 0:13:14.400 --> 0:13:17.520 thirty nine nwasdack Future is up sixty eight. The decks 0:13:17.520 --> 0:13:20.600 in Germany's have one point three percent ten. Your treasury 0:13:20.640 --> 0:13:23.160 little change YELD four point one four percent they yield 0:13:23.160 --> 0:13:26.120 on the two year four point seven four percent. Nine 0:13:26.240 --> 0:13:28.440 X screwed oil is up three percent of two dollars 0:13:28.520 --> 0:13:30.920 sixty nine cents at ninety dollars, eighty seven cents of 0:13:31.000 --> 0:13:33.800 barrel comic schooled at one point one percent or eighteen 0:13:33.800 --> 0:13:36.760 dollars ten cents at sixteen forty nine and ounce. The 0:13:36.840 --> 0:13:39.880 euro point nine seven eight zero against the dollar British 0:13:39.880 --> 0:13:42.000 found one point one two to one and the yen 0:13:42.080 --> 0:13:45.040 one forty seven point eight three and been going up 0:13:45.040 --> 0:13:48.160 one point six percent at twenty thousand, five hundred fifty dollars. 0:13:48.400 --> 0:13:51.000 That's a Bloomberg business flash. Now here's Michael Barr with 0:13:51.120 --> 0:13:53.680 more on what's going on around the world. Michael Daren, 0:13:53.720 --> 0:13:56.560 thank you very much. Former President Donald Trump sent the 0:13:56.679 --> 0:13:59.360 strongest signal yet that he plans to run again in 0:13:59.400 --> 0:14:02.880 twe four at a rally in Sioux City, Iowa. Trump 0:14:02.960 --> 0:14:07.840 falsely claimed again that the election was rigged. Chinese President 0:14:07.840 --> 0:14:10.559 Shi jing Ping has called for peace talks over Ukraine 0:14:10.559 --> 0:14:13.520 and warned against the conflict going nuclear in a meeting 0:14:13.559 --> 0:14:16.720 with German Chancellor Olof Schultz. The German leader is in 0:14:16.760 --> 0:14:19.640 Beijing for one day visit. In the NBA. The net 0:14:19.640 --> 0:14:22.600 Sky re Irving has apologized after being suspended for at 0:14:22.680 --> 0:14:26.680 least five games for failing to disavow anti Semitism when 0:14:26.680 --> 0:14:29.360 he was given an opportunity to do so. Asked for 0:14:29.400 --> 0:14:32.320 the games. The Warriors lost, The Astros are a game 0:14:32.360 --> 0:14:34.720 away from winning the World Series. Game five used to 0:14:34.720 --> 0:14:37.720 beat the Phillies three to Thursday Night Football, the Eagles 0:14:37.720 --> 0:14:41.360 down the Texans seventeen. In the NHL, the Bruins beat 0:14:41.360 --> 0:14:43.920 the Rangers three one. The Islanders and Devils won, the 0:14:43.960 --> 0:14:47.160 Capitols lost. Global news twenty four hours a day on 0:14:47.240 --> 0:14:50.560 air and on Bloomberg Quicktake, powered by more than twenty 0:14:50.640 --> 0:14:52.840 seven hundred journalists and analysts, are more than a hundred 0:14:52.880 --> 0:14:56.960 twenty countries. Michael bar this is Bloomberg. Nathan all right, Michael, 0:14:56.960 --> 0:14:58.800 thank you. We're coming up to six twenty on Wall 0:14:58.840 --> 0:15:01.520 Street Live from the Bloomberg Attractive Broker Studios. This is 0:15:01.600 --> 0:15:04.640 Bloomberg day Break on this job's Friday. We are joined 0:15:04.880 --> 0:15:08.160 ahead of the data by Bloomberg Global Economics and Policy 0:15:08.160 --> 0:15:10.640 correspondent Michael McKee. Will be breaking down the numbers for 0:15:10.720 --> 0:15:12.920 us later on eight thirty am Wall Street Time when 0:15:12.920 --> 0:15:15.720 we get them from the Labor Department. But ahead of that, Mike, 0:15:15.800 --> 0:15:18.840 the economists we've been talking to our forecasting a little 0:15:18.840 --> 0:15:22.000 more moderation in the labor market. I just spoke with 0:15:22.280 --> 0:15:24.880 b MOS Jennifer Lee an hour ago, asked her whether 0:15:24.920 --> 0:15:27.040 this print is gonna have an effect on what the 0:15:27.080 --> 0:15:30.360 Fed does next month. Her quick answer was no, But 0:15:30.440 --> 0:15:32.600 the Fed's got to be looking at whether what it's 0:15:32.640 --> 0:15:35.840 doing is starting to have an impact on the labor market. Well, 0:15:35.880 --> 0:15:38.120 I can guess why her answer was no, and that's 0:15:38.120 --> 0:15:40.320 because we have another job's report and a couple more 0:15:40.600 --> 0:15:44.200 consumer price index reports before the next FED meeting, so 0:15:44.640 --> 0:15:48.160 things could change. But uh, that's why I'm saying this 0:15:48.240 --> 0:15:51.520 is uh not as important a jobs report as we 0:15:51.560 --> 0:15:53.920 have seen from some recently, but it is one that 0:15:53.960 --> 0:15:56.760 could have a big effect on the markets because after 0:15:56.880 --> 0:16:01.120 j Powell news conference on Wednesday, where he suggested defense 0:16:01.240 --> 0:16:03.680 terminal rates going to have to be higher, markets are 0:16:03.680 --> 0:16:07.240 struggling to figure out where that terminal rate is. And 0:16:07.280 --> 0:16:10.960 if we get a stronger than expected report today, then 0:16:11.160 --> 0:16:16.280 you could see rather dramatic reactions, shall we say, in 0:16:16.320 --> 0:16:19.840 the bond and stock markets. It may not be long lived, 0:16:19.880 --> 0:16:23.960 but it will be uh. Definitely a negative if we 0:16:24.000 --> 0:16:26.880 get a big number. Are we seeing any signs in 0:16:26.920 --> 0:16:29.440 the data ahead of this report that we could get 0:16:29.440 --> 0:16:33.400 as stronger than expected overall number later on? I mean, 0:16:33.520 --> 0:16:36.640 we just got weekly jobless claims that are, you know, 0:16:36.760 --> 0:16:40.280 still somewhat elevated, but they're trending downward as well, aren't 0:16:40.280 --> 0:16:44.720 they they are. We also got some stronger news in 0:16:44.800 --> 0:16:48.400 the sense from uh the I s M Manufacturing report 0:16:49.000 --> 0:16:51.640 and the ADP report, which what he quite knows how 0:16:51.640 --> 0:16:55.960 to read these days, was also stronger to keep changing it. Yeah, 0:16:56.160 --> 0:17:00.680 the question is does the I s M Services number, 0:17:00.760 --> 0:17:04.040 which saw a contraction in jobs, mean more than any 0:17:04.080 --> 0:17:06.880 of those and uh, what does it all mean? We're 0:17:06.880 --> 0:17:09.439 all waiting to find out. Also, we're looking at the 0:17:09.520 --> 0:17:13.600 unemployment rate. The Fed has forecast it will go up, 0:17:13.640 --> 0:17:16.600 and private sector forecasters are anticipating it going up a 0:17:16.600 --> 0:17:19.280 lot more than the Fed. But it hasn't budged, even 0:17:19.280 --> 0:17:22.280 though the Feds raised rates by three five basis points 0:17:22.280 --> 0:17:25.159 so far this year. So when does that start to happen? 0:17:25.240 --> 0:17:28.080 Our consensus calls for a three point six percent that's 0:17:28.119 --> 0:17:31.040 a tick up from three and a half, but doesn't 0:17:31.040 --> 0:17:34.000 go higher than that or does it still hold? There 0:17:34.000 --> 0:17:36.520 are some economists who think that the labor market is 0:17:36.560 --> 0:17:40.000 tight enough that it could fall. It's pretty interesting, isn't 0:17:40.040 --> 0:17:42.600 it that when we are in this cycle where we've 0:17:42.640 --> 0:17:47.119 seen unprecedented rate hikes four seventy basis point moves in 0:17:47.160 --> 0:17:49.880 a row, that we're still kind of stuck in this 0:17:50.040 --> 0:17:53.000 range on a really low unemployment rate. What are the 0:17:53.040 --> 0:17:56.000 economists that you're talking to telling you about why they 0:17:56.040 --> 0:18:00.160 think that is? Well, it's very hard to discern exactly 0:18:00.200 --> 0:18:01.639 what's going on, but a lot of it has to 0:18:01.640 --> 0:18:03.960 do with the pandemic. Of course, we had a whole 0:18:04.080 --> 0:18:06.960 sea change in the way people think about work, so 0:18:07.040 --> 0:18:09.520 many people now working from home, People moved out of 0:18:09.520 --> 0:18:13.440 the cities, and then a lot of people retired. This 0:18:13.520 --> 0:18:17.840 was happening the Baby boom generation was reaching sixty and 0:18:17.920 --> 0:18:20.359 starting to drop out of the labor force. But then 0:18:20.400 --> 0:18:22.440 a lot of people when they got laid off during 0:18:22.480 --> 0:18:25.639 the pandemic just decided not to come back. Now, there 0:18:25.640 --> 0:18:28.560 are some indications that they are beginning to come back 0:18:28.640 --> 0:18:31.639 because it's more fun to have more money in your pocket. 0:18:32.080 --> 0:18:35.560 But uh, at this point, we're still down in terms 0:18:35.600 --> 0:18:40.359 of participation among older workers and the participation rate for 0:18:40.400 --> 0:18:46.000 prime age workers, which is basically forty nine four is 0:18:46.480 --> 0:18:50.240 uh about where it was before the pandemic. So it's 0:18:50.320 --> 0:18:53.080 people leaving the labor force that have left us with 0:18:53.440 --> 0:18:57.119 fewer workers and left demand high. One reason we're seeing 0:18:57.160 --> 0:18:59.960 the Jolts numbers so high. Yeah, only about thirty second 0:19:00.040 --> 0:19:01.680 is left here. But if we are starting to see 0:19:01.720 --> 0:19:04.159 people come back from the sidelines to some extent, what 0:19:04.200 --> 0:19:06.359 does that mean for the wage pressures that the FETE 0:19:06.400 --> 0:19:09.159 is looking at so closely. Well, that theory they should 0:19:09.160 --> 0:19:12.520 bring those down. More people competing for jobs means that 0:19:12.800 --> 0:19:16.560 the employers need to pay less uh to get somebody, 0:19:16.680 --> 0:19:19.400 and that's what the FET is hoping, not for a collapse. 0:19:19.840 --> 0:19:22.399 They'd like to see incomes rise about three to three 0:19:22.440 --> 0:19:25.439 and a half percent a year, but five percent, six percent, 0:19:25.600 --> 0:19:28.840 that's contributing to inflation. That's not good enough. So let's 0:19:28.840 --> 0:19:32.400 watch those numbers as well. Absolutely, and we definitely will 0:19:32.480 --> 0:19:34.879 do that. Eight thirty am. Wall Street Time in Bloomberg's 0:19:34.880 --> 0:19:39.320 Michael mckeelby back across Bloomberg Radio and Television to break 0:19:39.320 --> 0:19:43.159 down those numbers from October payrolls. Again, the consensus from 0:19:43.200 --> 0:19:46.640 economists we've surveyed calls for a hundred ninety five thousand 0:19:46.720 --> 0:19:50.080 new non farm payrolls added in October, and the unemployment 0:19:50.160 --> 0:19:53.680 rate up just a tick to three point six percent. 0:19:54.280 --> 0:19:57.159 Futures ahead of that moving high er, SMP futures up 0:19:57.160 --> 0:19:59.479 twenty six points down, futures up a hundred seventy one, 0:19:59.480 --> 0:20:02.679 and NaSTA futures are higher by eighty one points. This 0:20:03.520 --> 0:20:09.800 is Bloomberg Bloomberg eleven three oh weather. Mostly sunny, upper 0:20:09.800 --> 0:20:13.280 sixties today, partly cloudy tonight, upper fifties for lows will 0:20:13.280 --> 0:20:16.240 be in the sunshine all weekend long both days with 0:20:16.400 --> 0:20:19.080 highs in the low seventies. Right now fifty three in 0:20:19.160 --> 0:20:25.840 Central Park. Broadcasting live from the Bloomberg Interactive Broker Studio 0:20:25.960 --> 0:20:29.119 in New York. Bloomberg E Living Freedom to Washington, d C, 0:20:29.320 --> 0:20:33.239 Bloomberg nine to Boston, Bloomberg one oh six one does 0:20:33.240 --> 0:20:37.320 San Francisco, Bloomberg sixt to the Country, Sirius XM Chado 0:20:37.400 --> 0:20:40.760 one nineteen and around the globe the Bloomberg business in 0:20:40.800 --> 0:20:50.879 Bloomberg Radio dot Com. This is Bloomberg Daybreak six thirty 0:20:50.880 --> 0:20:53.600 on Wall Street. Good Morning. I'm Nathan Hagar and I'm 0:20:53.640 --> 0:20:56.479 Kared Moscow. We are just about three hours away from 0:20:56.520 --> 0:20:58.480 the Open of US training. It's time for the five 0:20:58.480 --> 0:21:00.720 things that you need to notice dark your day. Brought 0:21:00.800 --> 0:21:04.240 to you by Interactive Brokers ib k R. Event Trader 0:21:04.280 --> 0:21:07.159 offers a new way to trade futures. Use event contracts 0:21:07.160 --> 0:21:09.480 to trade your opinion on yes or no questions and 0:21:09.600 --> 0:21:13.520 key CM future markets. Learn more at event trader dot 0:21:13.560 --> 0:21:17.199 Interactive brokers dot com. Up First, we're going to get 0:21:17.240 --> 0:21:19.639 a sense of how the federal reserves interest rate hikes 0:21:19.680 --> 0:21:22.640 are impacting the labor market. With the October jobs report 0:21:22.920 --> 0:21:25.880 still out at eight thirty Well Street time, ZIP Recruiter 0:21:25.960 --> 0:21:30.120 Chief economist Julia Pollock believes it'll show the jobs market cooling, 0:21:30.200 --> 0:21:32.800 but at a very slow pace. Job gains is still 0:21:32.840 --> 0:21:35.520 around six percent higher than they were before the pandemic 0:21:35.600 --> 0:21:39.080 each month on average. There's still much more broadly spread 0:21:39.119 --> 0:21:43.359 across the economy, across industries overall, and those aggregate numbers, 0:21:43.359 --> 0:21:46.640 this job market still looks strong. ZIP Recruiter Chief economist 0:21:46.720 --> 0:21:50.320 Julia Pollock says industries sensitive to rate hikes could see 0:21:50.359 --> 0:21:53.160 a steep cool down and hiring well. Meanwhile, Karen more 0:21:53.200 --> 0:21:56.359 major companies are pulling back on hiring, Apple is hitting 0:21:56.359 --> 0:21:59.240 pause on most positions outside of research and development, and 0:21:59.320 --> 0:22:02.200 Coca Cola is offering voluntary buyouts to some of its 0:22:02.200 --> 0:22:05.080 staff in North America. Well Over, at Twitter, Nathan new 0:22:05.080 --> 0:22:09.240