1 00:00:02,360 --> 00:00:05,720 Speaker 1: By from the Bloomberg Interacted Brooker's Studios. This is Bloomberg 2 00:00:05,800 --> 00:00:09,480 Speaker 1: day Break for Thursday, September fifteen two. Coming up, the 3 00:00:09,480 --> 00:00:12,639 Speaker 1: shower rail and union negotiators reach a deal to a 4 00:00:12,760 --> 00:00:16,959 Speaker 1: vertic strike stabilized as investors await another key can under report. 5 00:00:17,120 --> 00:00:19,640 Speaker 1: Vladimir Putin and Shi Jin ping me for the first 6 00:00:19,640 --> 00:00:22,160 Speaker 1: time since the invasion of Ukraine. And we'll tell you 7 00:00:22,160 --> 00:00:25,000 Speaker 1: which business school is ranked tops in the country. One 8 00:00:25,000 --> 00:00:27,520 Speaker 1: of the women who accused former New York Governor Cuomo 9 00:00:27,600 --> 00:00:31,000 Speaker 1: of sexual harassment is suing him. Plus Ukraine, the senses 10 00:00:31,080 --> 00:00:35,240 Speaker 1: damage liberated cities from Russia's occupation on Michael larn bore 11 00:00:35,320 --> 00:00:39,240 Speaker 1: ahead and corns went for the Yankees and Boston another 12 00:00:39,320 --> 00:00:42,159 Speaker 1: loss for the meth that comes whinis the city fields lea. 13 00:00:42,640 --> 00:00:46,440 Speaker 1: That's all straight ahead on Bloomberg day Break on Bloomberg 14 00:00:46,520 --> 00:00:51,440 Speaker 1: Eleving Trio, New York, Bloomberg one, Washington, d C, Bloomberg 15 00:00:51,440 --> 00:00:55,200 Speaker 1: one oh six one, Boston, Bloomberg nine sixties, San Francisco, 16 00:00:55,560 --> 00:00:58,840 Speaker 1: Syrius x M one nine and around the world on 17 00:00:58,960 --> 00:01:02,360 Speaker 1: Bloomberg Radio. To come and via the Bloomberg Business apt 18 00:01:07,600 --> 00:01:10,600 Speaker 1: And good morning. I'm Karen Moscow I'm Nathan Hagar Bloomberg 19 00:01:10,640 --> 00:01:12,400 Speaker 1: Dave Right, brought to you by B and Y Melon's 20 00:01:12,400 --> 00:01:15,280 Speaker 1: Pershing learned why the world's most sophisticated wealth management and 21 00:01:15,360 --> 00:01:19,040 Speaker 1: institutional firms rely on Pershing to help them improve profitability, 22 00:01:19,080 --> 00:01:23,200 Speaker 1: create efficiency, attract talent, and manage risk at Pershing dot Com. 23 00:01:23,240 --> 00:01:27,360 Speaker 1: And futures this morning are moving higher. We're coming up 24 00:01:27,360 --> 00:01:28,880 Speaker 1: to six o one on Wall Street, and we check 25 00:01:28,880 --> 00:01:31,120 Speaker 1: the markets every fifteen minutes throughout the trading day. On 26 00:01:31,160 --> 00:01:33,720 Speaker 1: bloomberg S and p Future is up six points right now, 27 00:01:34,000 --> 00:01:36,680 Speaker 1: dal Future is of fifty five and nastagg futures they're 28 00:01:36,720 --> 00:01:39,080 Speaker 1: little change. The decks in Germany's up three tenths of 29 00:01:39,120 --> 00:01:42,200 Speaker 1: a percent. Ten year Treasury down nine thirty seconds here 30 00:01:42,280 --> 00:01:45,200 Speaker 1: three point for three percent. Nathan and Karen, we begin 31 00:01:45,280 --> 00:01:47,400 Speaker 1: with breaking news this morning. It looks like a freight 32 00:01:47,480 --> 00:01:50,960 Speaker 1: rail strike will not happen tomorrow. The Labor Department says 33 00:01:51,080 --> 00:01:54,000 Speaker 1: US rail companies and union negotiators have reached a tentative 34 00:01:54,080 --> 00:01:56,960 Speaker 1: deal that could avert a strike that threatened to disrupt 35 00:01:57,040 --> 00:02:01,160 Speaker 1: rail service nationwide. Bloomberg's Amy Morris has the latest developments 36 00:02:01,160 --> 00:02:05,680 Speaker 1: from newsroom in Washington. After more than twenty consecutive hours 37 00:02:05,680 --> 00:02:08,720 Speaker 1: of negotiations. The Department of Labor says they've helped him 38 00:02:08,720 --> 00:02:11,400 Speaker 1: are out in agreement that, in their words, balances the 39 00:02:11,440 --> 00:02:15,040 Speaker 1: needs of workers, businesses, and the economy. President Biden released 40 00:02:15,040 --> 00:02:17,760 Speaker 1: a statement thanking the parties for negotiating in good faith 41 00:02:17,919 --> 00:02:20,359 Speaker 1: and reaching a deal to keep the rail system working 42 00:02:20,360 --> 00:02:22,880 Speaker 1: and avoiding a disruption of the economy that would have 43 00:02:22,919 --> 00:02:26,640 Speaker 1: cost the US two billion dollars a day. Rail workers 44 00:02:26,639 --> 00:02:29,800 Speaker 1: will get better pay and improved working conditions. The companies 45 00:02:29,840 --> 00:02:32,760 Speaker 1: will be able to recruit and retain more rail workers. 46 00:02:32,800 --> 00:02:35,360 Speaker 1: So far, no word from the company's nor the labor 47 00:02:35,440 --> 00:02:38,480 Speaker 1: unions about this deal in Washington. I maybe more as 48 00:02:38,520 --> 00:02:40,799 Speaker 1: Bloomberg Daybreak. All right, Amy, thank you. We'll keep you 49 00:02:40,880 --> 00:02:43,040 Speaker 1: up to date on those details throughout the morning here 50 00:02:43,080 --> 00:02:45,320 Speaker 1: on Bloomberg Radio. But first let's get you a caught 51 00:02:45,400 --> 00:02:48,040 Speaker 1: up on the markets. Equities are stabilizing in the wake 52 00:02:48,120 --> 00:02:51,000 Speaker 1: of Tuesday's sell off. Yesterday's late day rallies on the 53 00:02:51,120 --> 00:02:53,040 Speaker 1: SNP five hundred, it flows up a third of up 54 00:02:53,080 --> 00:02:55,560 Speaker 1: per cent. As for bonds, the US two to thirty 55 00:02:55,600 --> 00:02:58,440 Speaker 1: year curve has reached the most inverted level this century. 56 00:02:58,800 --> 00:03:02,440 Speaker 1: Megan Hornman, as chief investment officer at Verden's Capital. You're 57 00:03:02,440 --> 00:03:04,040 Speaker 1: going to see a lot of this chopping is It's 58 00:03:04,040 --> 00:03:07,360 Speaker 1: just going to be an ugly market over the next week. 59 00:03:07,400 --> 00:03:10,240 Speaker 1: The markets just waiting for that FED report, and then 60 00:03:10,280 --> 00:03:12,560 Speaker 1: even between now and then, we have quite a bit 61 00:03:12,600 --> 00:03:15,360 Speaker 1: of economic data to digests. So I think you're just 62 00:03:15,360 --> 00:03:17,800 Speaker 1: going to see a very sideways choppy market until we 63 00:03:17,880 --> 00:03:19,800 Speaker 1: get a little bit more clarity on exactly what the 64 00:03:19,840 --> 00:03:22,840 Speaker 1: Fed's going to do. And Verden's Capitals Megan Horman says, 65 00:03:22,919 --> 00:03:26,000 Speaker 1: we're all waiting for Wednesday's FED decision. Markets are pricing 66 00:03:26,040 --> 00:03:29,000 Speaker 1: in a seventy five basis point rate hike. Now there's 67 00:03:29,000 --> 00:03:32,080 Speaker 1: a gloomy prediction for requities this morning from Ray Dalio. Karen, 68 00:03:32,120 --> 00:03:35,480 Speaker 1: the billionaire founder of Bridgewater Associate, says stocks could fall 69 00:03:35,520 --> 00:03:38,960 Speaker 1: about that's if the Fed's target rate reaches four and 70 00:03:39,000 --> 00:03:41,680 Speaker 1: a half percent. The comments in a LinkedIn article follow 71 00:03:41,760 --> 00:03:44,880 Speaker 1: this week's hotter than expected inflation data. Nathan. A busy 72 00:03:44,880 --> 00:03:47,320 Speaker 1: week on the economic front continues this morning with the 73 00:03:47,360 --> 00:03:50,480 Speaker 1: release of US retail sales for August. We get a 74 00:03:50,480 --> 00:03:53,440 Speaker 1: preview from Bloomberg's Muscle McKee, as it did with the 75 00:03:53,440 --> 00:03:56,320 Speaker 1: CPI Report. Gasoline will have a major impact on the 76 00:03:56,320 --> 00:03:59,880 Speaker 1: August retail report. Retail sales are reported in dollars, and 77 00:04:00,000 --> 00:04:02,200 Speaker 1: the drop in gas prices will mean a big drop 78 00:04:02,240 --> 00:04:06,040 Speaker 1: in service station sales. The question is whether consumers redirected 79 00:04:06,080 --> 00:04:09,000 Speaker 1: any of their savings to spending on other things. It 80 00:04:09,160 --> 00:04:12,760 Speaker 1: is back to school season, retailers expect a jump in sales. 81 00:04:12,880 --> 00:04:15,800 Speaker 1: Beyond that, the issue is whether Americans continued their switch 82 00:04:15,880 --> 00:04:19,360 Speaker 1: to spending on services, which, with the exception of bars 83 00:04:19,360 --> 00:04:22,840 Speaker 1: and restaurants, aren't included in this number. The retail figures 84 00:04:22,839 --> 00:04:26,480 Speaker 1: aren't adjusted for inflation, so sales will look stronger than 85 00:04:26,520 --> 00:04:30,279 Speaker 1: they actually were. Michael McKee Bloomberg Daybreak. Okay, Mike, thanks, 86 00:04:30,320 --> 00:04:33,320 Speaker 1: let's turn overseason at at geopolitics. Who are Chinese President 87 00:04:33,360 --> 00:04:36,880 Speaker 1: Shi Jinping and Russian President Vladimir Putin our center stage? 88 00:04:37,040 --> 00:04:39,080 Speaker 1: The leaders are taking a new step today in their 89 00:04:39,120 --> 00:04:43,000 Speaker 1: no limits friendship. Bloomberg Daybreak Asia anchor Brian Curtis has 90 00:04:43,040 --> 00:04:46,279 Speaker 1: more from Hong Kong. Putin probably shouldn't expect too much 91 00:04:46,320 --> 00:04:48,800 Speaker 1: at his first meeting with she since the Winter Olympics. 92 00:04:49,080 --> 00:04:52,200 Speaker 1: China was caught off guard when Russia invaded Ukraine, a 93 00:04:52,200 --> 00:04:56,200 Speaker 1: few weeks later, making struggles to offer support while avoiding 94 00:04:56,279 --> 00:05:00,200 Speaker 1: endorsing a clear violation of sovereignty, but China in the 95 00:05:00,200 --> 00:05:03,479 Speaker 1: grips worth it, especially after an empty Polos He visited Taiwan. 96 00:05:03,960 --> 00:05:07,320 Speaker 1: Now China says it fully understands all measures by Russia 97 00:05:07,360 --> 00:05:11,200 Speaker 1: to protect his interest. Beijing has stopped short of military 98 00:05:11,320 --> 00:05:14,239 Speaker 1: support for Russia, but the alliance will continue to serve 99 00:05:14,320 --> 00:05:16,920 Speaker 1: as a check on the West in Hong Kong, Brain, 100 00:05:17,000 --> 00:05:20,159 Speaker 1: Curtis Bloomberg, Debreak, Brian, thank you in the UK today 101 00:05:20,200 --> 00:05:22,600 Speaker 1: and are we really it's all about the Queen. Queen 102 00:05:22,600 --> 00:05:25,280 Speaker 1: Elizabeth's caffin is now in Westminster as she lies in 103 00:05:25,480 --> 00:05:27,800 Speaker 1: state for four days, and we get the latest from 104 00:05:27,839 --> 00:05:30,200 Speaker 1: Bloomberg's You and Parts in London. Good morning You, and 105 00:05:30,360 --> 00:05:32,919 Speaker 1: good morning Nathan and Karen. The British are famous for 106 00:05:33,000 --> 00:05:36,000 Speaker 1: waiting in line, and that is exactly what thousands are 107 00:05:36,040 --> 00:05:38,520 Speaker 1: doing right now as they wait patiently to pay their 108 00:05:38,560 --> 00:05:41,400 Speaker 1: respects to the late Queen Elizabeth, the country's longest ever 109 00:05:41,520 --> 00:05:44,520 Speaker 1: serving monarch, and Majesty's coffin is now lying in state 110 00:05:44,560 --> 00:05:46,920 Speaker 1: at the heart of the Palace of Westminster, where it 111 00:05:46,960 --> 00:05:50,720 Speaker 1: will remain until Monday morning ahead of the funeral. Monas 112 00:05:50,720 --> 00:05:53,040 Speaker 1: are big omitted twenty four hours a day, but with 113 00:05:53,160 --> 00:05:56,719 Speaker 1: hundreds of thousands of people expected, the line currently stretching 114 00:05:56,839 --> 00:06:00,120 Speaker 1: three miles could grow very much longer. In London, an 115 00:06:00,120 --> 00:06:02,520 Speaker 1: Anu spoin Bay Day breaking. All right you and thank you. 116 00:06:02,520 --> 00:06:04,440 Speaker 1: We have some corporate news out of Europe this morning. 117 00:06:04,440 --> 00:06:06,479 Speaker 1: The CEO of Shell will step down at the end 118 00:06:06,520 --> 00:06:08,360 Speaker 1: of the year. Ben van Borden has been at the 119 00:06:08,440 --> 00:06:10,760 Speaker 1: energy giant for almost forty years. He's been CEO for 120 00:06:10,800 --> 00:06:13,040 Speaker 1: the past date. He'll now be replaced by Shell's head 121 00:06:13,040 --> 00:06:16,680 Speaker 1: of Gas and Renewables while Swan. The annual list of 122 00:06:16,760 --> 00:06:19,560 Speaker 1: top business schools in the country by Bloomberg Business Week 123 00:06:19,600 --> 00:06:22,480 Speaker 1: is out, Nathan, and this year Stanford is again number one. 124 00:06:22,800 --> 00:06:26,120 Speaker 1: Its results remain consistent with past years, as its scored 125 00:06:26,200 --> 00:06:30,440 Speaker 1: highest in compensation, networking in entrepreneurship. The University of Chicago's 126 00:06:30,440 --> 00:06:33,359 Speaker 1: Booth School and Harvard Business School time for second place. 127 00:06:33,560 --> 00:06:35,880 Speaker 1: And speaking of Chicago, careen. When it comes to housing, 128 00:06:35,960 --> 00:06:38,760 Speaker 1: that city, along with New York, are the most vulnerable 129 00:06:38,800 --> 00:06:42,159 Speaker 1: to price declines in a potential economic downturn. That's according 130 00:06:42,200 --> 00:06:45,040 Speaker 1: to a report by Real Estate Data Analytics from Adam. 131 00:06:45,080 --> 00:06:47,479 Speaker 1: Of the fifty counties most at risk, nine are in 132 00:06:47,600 --> 00:06:50,719 Speaker 1: and around New York, six are in the Chicago metropolitan area, 133 00:06:51,080 --> 00:06:54,840 Speaker 1: thirteen are spread throughout California. These counties all have high 134 00:06:54,920 --> 00:07:00,640 Speaker 1: levels of unaffordable housing, underwater mortgages, foreclosures, and unemployment. Futures 135 00:07:00,680 --> 00:07:03,120 Speaker 1: of moving a touch higher now with SMP futures up 136 00:07:03,120 --> 00:07:06,000 Speaker 1: six points, staff futures of fifty three, NASTAC futures higher 137 00:07:06,040 --> 00:07:09,039 Speaker 1: by nine points. The tenure treasury is down nine thirty seconds. 138 00:07:09,240 --> 00:07:11,440 Speaker 1: Yield three point four three percent, yield on the two 139 00:07:11,480 --> 00:07:15,240 Speaker 1: year three point eight one percent. Straight ahead, your latest 140 00:07:15,280 --> 00:07:19,080 Speaker 1: local headlines and a check of sports. This is Bloomberg 141 00:07:23,200 --> 00:07:25,160 Speaker 1: and it sounds six o seven on Wall Street where 142 00:07:25,200 --> 00:07:27,520 Speaker 1: it's sixties seven degrees in Central Park. Still doing with 143 00:07:27,560 --> 00:07:29,640 Speaker 1: issues on the North Bend New Jersey Turnpike. Will fill 144 00:07:29,680 --> 00:07:32,160 Speaker 1: you in traffic shortly. First, Michael Bark with what else 145 00:07:32,240 --> 00:07:34,000 Speaker 1: is going on in New York and around the world. 146 00:07:34,040 --> 00:07:36,480 Speaker 1: Good morning, Michael, Good morning. Nathan, a one time any 147 00:07:36,560 --> 00:07:39,480 Speaker 1: to former New York Governor Andrew Cuomo, sued him, saying 148 00:07:39,760 --> 00:07:43,720 Speaker 1: he sexually harassed her and then smeared her reputation after 149 00:07:43,800 --> 00:07:47,680 Speaker 1: she became the second woman to publicly accuse him of misconduct. 150 00:07:48,080 --> 00:07:50,800 Speaker 1: Charlett Bennett's lawsuit, filed in the federal court in New 151 00:07:50,880 --> 00:07:54,040 Speaker 1: York City, repeats many of the allegations she has talked 152 00:07:54,040 --> 00:07:58,400 Speaker 1: about publicly. She said the governor subjected her to unwanted advances, 153 00:07:58,440 --> 00:08:01,480 Speaker 1: including telling her he was lonely and on the hunt 154 00:08:01,720 --> 00:08:05,720 Speaker 1: for a girlfriend. The New York City Commissioner of Immigration 155 00:08:05,760 --> 00:08:08,480 Speaker 1: Affairs says that many of the migrants who are being 156 00:08:08,600 --> 00:08:11,640 Speaker 1: bussed from Texas did not want to go to New York. 157 00:08:11,880 --> 00:08:15,000 Speaker 1: Commissioner Manuel Castro says the city is helping them get 158 00:08:15,040 --> 00:08:18,680 Speaker 1: to other states. Castro to at Fox five, many want 159 00:08:18,720 --> 00:08:21,640 Speaker 1: to go to places like Florida, where the largest community 160 00:08:21,680 --> 00:08:26,160 Speaker 1: of Venezuelans live. A turner flight with about fifty Venezuelan migrants, 161 00:08:26,200 --> 00:08:30,680 Speaker 1: including children, landed on Martha's Vineyard. Yesterday's turner flight was 162 00:08:30,800 --> 00:08:34,360 Speaker 1: arranged by Florida Governor Around de Santence's office, saying they 163 00:08:34,400 --> 00:08:38,680 Speaker 1: sent the immigrants from Texas to sanctuary states as part 164 00:08:38,679 --> 00:08:42,160 Speaker 1: of their relocation program. Officials on the islands say they 165 00:08:42,160 --> 00:08:44,920 Speaker 1: had no prior notice, but as soon as they learned 166 00:08:44,960 --> 00:08:48,800 Speaker 1: what was happening, they rallied. Barbara Rushes with St. Andrew's parents. 167 00:08:49,120 --> 00:08:53,280 Speaker 1: We've received calls from restaurants offering food, stores offering food, 168 00:08:53,440 --> 00:08:57,200 Speaker 1: people offering space, you know, private people showing up saying 169 00:08:57,200 --> 00:08:59,800 Speaker 1: what can I do to help. It's been amazing, Barbara 170 00:09:00,040 --> 00:09:03,439 Speaker 1: rush with St. Andrew's parish. Some state officials in Massachusetts 171 00:09:03,520 --> 00:09:06,760 Speaker 1: have blasted the Santis, calling it a political stunt. A 172 00:09:06,800 --> 00:09:11,360 Speaker 1: Brooklyn mother has been officially charged with drowning her three children, 173 00:09:11,480 --> 00:09:14,000 Speaker 1: who were later found on the beach in Coney Island. 174 00:09:14,240 --> 00:09:17,840 Speaker 1: Aaron Murdy faces several charges, including three accounts of murder. 175 00:09:18,280 --> 00:09:21,480 Speaker 1: President Voladimir Zolensky went outside the capitol of Kiev to 176 00:09:21,559 --> 00:09:25,199 Speaker 1: assess the damage in cities once again in Ukrainian control. 177 00:09:25,720 --> 00:09:29,920 Speaker 1: He says Isiam was left largely devastated, with apartment buildings 178 00:09:29,960 --> 00:09:34,360 Speaker 1: blackened by fire and pock marked by artillery strikes. The 179 00:09:34,440 --> 00:09:38,000 Speaker 1: main thing did not mean here our soldiers here. That 180 00:09:38,200 --> 00:09:43,640 Speaker 1: is very important thing that its supports supports people. I 181 00:09:43,679 --> 00:09:50,400 Speaker 1: see how people meet them, that is, you know who 182 00:09:50,400 --> 00:09:54,840 Speaker 1: are a sensitive moment. Meanwhile, President Zelenski says Russian cruise 183 00:09:54,840 --> 00:09:57,480 Speaker 1: missiles hit a reservoir in his hometown in an apparent 184 00:09:57,480 --> 00:10:00,240 Speaker 1: attempt to flood the City Global News twenty four was 185 00:10:00,280 --> 00:10:03,280 Speaker 1: a day on air and on Bloomberg Quicktake powered by 186 00:10:03,280 --> 00:10:05,560 Speaker 1: more than twenty seven hundred journalist and analysts more than 187 00:10:05,559 --> 00:10:08,280 Speaker 1: a hundred twenty countries. Michael Barr, this is Bloomberg, Nathan, 188 00:10:08,360 --> 00:10:14,920 Speaker 1: Thanks Michael almost six ten on Wall Street Time for 189 00:10:14,960 --> 00:10:17,880 Speaker 1: the Bloomberg Sports Update with John Stashaw. Nathan. So much 190 00:10:17,880 --> 00:10:19,880 Speaker 1: for the Mets being able to take advantage of playing 191 00:10:19,920 --> 00:10:23,520 Speaker 1: inferior opponents. Last eleven games have been against Washington, Pittsburgh 192 00:10:23,559 --> 00:10:25,880 Speaker 1: in Miami the Cubs four, the worst teams in the league. 193 00:10:25,880 --> 00:10:28,920 Speaker 1: In those games, the Mets just four and seven, swept 194 00:10:28,960 --> 00:10:30,760 Speaker 1: at home by the low lea Cubs, and last night 195 00:10:30,800 --> 00:10:33,120 Speaker 1: Chicago led six to nothing in the first didn't David 196 00:10:33,160 --> 00:10:36,000 Speaker 1: Peterson phase six batters got only one out. Cubs went 197 00:10:36,040 --> 00:10:37,959 Speaker 1: on to win six three. Mets still in first place 198 00:10:37,960 --> 00:10:40,600 Speaker 1: only because Atlanta has suddenly lost four out of five. 199 00:10:40,640 --> 00:10:43,000 Speaker 1: Mets lead by a half game. Host the Pirates tonight 200 00:10:43,080 --> 00:10:45,600 Speaker 1: Yankees for the sweep for the mini two games series 201 00:10:45,600 --> 00:10:48,280 Speaker 1: in Boston. No Aeron Judge home runs, but another big 202 00:10:48,400 --> 00:10:50,680 Speaker 1: night for Labor. Torre has had the winning hit Tuesday, 203 00:10:50,720 --> 00:10:53,160 Speaker 1: had three more hits last night, the one in the 204 00:10:53,200 --> 00:10:55,640 Speaker 1: fifth that Ain't snapped the scoreless tie, and when Boston 205 00:10:55,760 --> 00:10:59,920 Speaker 1: capture Connor Wong through the ball wildly three runs scoring, 206 00:11:00,000 --> 00:11:02,599 Speaker 1: including Torres circling the basis the yanksllentce buy at the 207 00:11:02,679 --> 00:11:06,880 Speaker 1: three Donovan Mitchell introduced in Cleveland, traded by Utah. The 208 00:11:06,960 --> 00:11:09,320 Speaker 1: New York native was asked about a trade to the NIXT. 209 00:11:09,520 --> 00:11:11,360 Speaker 1: I thought for sure I was going back home. I'm 210 00:11:11,360 --> 00:11:12,959 Speaker 1: not gonna lie about that. But you know, when I 211 00:11:13,080 --> 00:11:15,480 Speaker 1: found out where I was headed, who I was playing with, 212 00:11:15,559 --> 00:11:17,679 Speaker 1: the group, the team, the coaching staff, I couldn't be 213 00:11:17,760 --> 00:11:19,800 Speaker 1: more happier to be here, to be a part of 214 00:11:19,840 --> 00:11:21,280 Speaker 1: this organization, to be a part of this group, to 215 00:11:21,400 --> 00:11:23,920 Speaker 1: join these phenomenal guysman and add to it, you know. 216 00:11:24,000 --> 00:11:25,680 Speaker 1: And I think that for me is what I'm truly 217 00:11:25,760 --> 00:11:29,160 Speaker 1: excited to. Meanwhile, controversy in the NBA Lebron James critical 218 00:11:29,280 --> 00:11:32,600 Speaker 1: of Commissioner Adam Silver's decisions to suspend Phoenix Suns owner 219 00:11:32,800 --> 00:11:35,719 Speaker 1: Robert Sarver for only one year. Starver was found to 220 00:11:35,760 --> 00:11:39,440 Speaker 1: have conducted racist and misogynistic behavior. Tom Brady, of course, 221 00:11:39,520 --> 00:11:42,800 Speaker 1: changed his mind about retirement. Serena Williams on ABC said 222 00:11:43,360 --> 00:11:46,200 Speaker 1: maybe Brady started a cool trend. Asked if she might 223 00:11:46,240 --> 00:11:49,880 Speaker 1: do likewise. Serena said, you never know. John Stashward Bloomberg 224 00:11:49,920 --> 00:11:52,040 Speaker 1: sports Nathan and does seem to be the trend, just 225 00:11:52,120 --> 00:11:54,720 Speaker 1: saying you never know, Thank you, John S andp Futures 226 00:11:54,760 --> 00:11:57,520 Speaker 1: moving a higher up six point, Staff futures up fifty five. 227 00:11:57,559 --> 00:11:59,760 Speaker 1: Dancetat futures higher by nine points. So take a look 228 00:11:59,800 --> 00:12:03,480 Speaker 1: at the market. Next with Liz Anne Saunders of Charles Schwab. 229 00:12:03,679 --> 00:12:09,200 Speaker 1: This is Bloomberg Bloomberg eleven three oh weather, mostly sunny, 230 00:12:09,240 --> 00:12:11,439 Speaker 1: mid seventies today. We'll get into the upper seventies tomorrow 231 00:12:11,520 --> 00:12:14,720 Speaker 1: at the sunshine probably the mostly sunny low eighties Saturday, 232 00:12:14,960 --> 00:12:17,000 Speaker 1: mid eighties under a mix of sun and clouds on 233 00:12:17,200 --> 00:12:23,280 Speaker 1: Sunday right now sixty seven in Central Park Markets. Headlines 234 00:12:23,360 --> 00:12:26,319 Speaker 1: and breaking news twenty four hours a day at Bloomberg 235 00:12:26,400 --> 00:12:29,720 Speaker 1: dot Com, The Bloomberg Business Attend at Bloomberg Quick Take. 236 00:12:30,000 --> 00:12:39,000 Speaker 1: This is a Bloomberg Business lash and I'm Karen Moscow 237 00:12:39,080 --> 00:12:42,480 Speaker 1: and futures are well, they're higher, They've been showing more 238 00:12:42,600 --> 00:12:45,400 Speaker 1: strength as investor sentiment we have been wavering just a 239 00:12:45,480 --> 00:12:48,000 Speaker 1: bit between hopes and inflation is peak and concern that 240 00:12:48,320 --> 00:12:51,640 Speaker 1: large interest rate hused by the feder reservell hamper economic growth. 241 00:12:52,000 --> 00:12:55,360 Speaker 1: Treasury yields are on the rise, the dollar is steady, 242 00:12:55,440 --> 00:12:57,599 Speaker 1: and we checked the markets every fifteen minutes throughout the 243 00:12:57,640 --> 00:13:00,720 Speaker 1: trading day. From Bloomberges and peef you churers up about 244 00:13:00,760 --> 00:13:03,640 Speaker 1: seven points down, Future is up fifty five. Nasday features 245 00:13:03,720 --> 00:13:06,120 Speaker 1: up twelve the decks in Germany's up three tenths of 246 00:13:06,160 --> 00:13:08,959 Speaker 1: a per cent ten, Your treasury down nine thirty seconds. 247 00:13:09,040 --> 00:13:11,120 Speaker 1: You'll three point four four percent. They yield on the 248 00:13:11,200 --> 00:13:14,320 Speaker 1: two year three point eight one percent. NIAX Screwed oil 249 00:13:14,440 --> 00:13:16,520 Speaker 1: is down seven tenths per cent or sixty cents at 250 00:13:16,520 --> 00:13:19,360 Speaker 1: eighty seven dollars, eighty eight cents of barrel comic school 251 00:13:19,400 --> 00:13:21,640 Speaker 1: down six tenths per center, ten dollars thirty cents at 252 00:13:21,679 --> 00:13:26,400 Speaker 1: six eighty announce the euro point nine zero against the dollar, 253 00:13:26,440 --> 00:13:28,480 Speaker 1: British pound one point one five oh eight and the 254 00:13:28,559 --> 00:13:31,599 Speaker 1: yen one forty three point three eight and Bitcoin this 255 00:13:31,800 --> 00:13:34,320 Speaker 1: morning of one point two percent at twenty thousand, one 256 00:13:34,840 --> 00:13:37,959 Speaker 1: nine dollars as of Bloomberg Business Flow Show. Here's Michael 257 00:13:38,000 --> 00:13:40,160 Speaker 1: Barr with more on what's going on around the world. 258 00:13:40,280 --> 00:13:42,280 Speaker 1: Michael Parin, Thank you very much. It looks like a 259 00:13:42,400 --> 00:13:45,720 Speaker 1: freight rail strike will be averted. The Labor Department says 260 00:13:45,880 --> 00:13:49,840 Speaker 1: US rail companies and union negotiators have reached a tentative agreement. 261 00:13:50,440 --> 00:13:53,360 Speaker 1: Stephens says they have an agreement that balances the needs 262 00:13:53,440 --> 00:13:57,600 Speaker 1: of workers, businesses, and the economy. Strike had been looming 263 00:13:57,679 --> 00:14:00,319 Speaker 1: as soon as tomorrow, which could have cost the U 264 00:14:00,480 --> 00:14:04,200 Speaker 1: S economy as much as two billion dollars a day. 265 00:14:04,800 --> 00:14:07,760 Speaker 1: Mourners continue to file fast casket of Queen Elizabeth at 266 00:14:07,800 --> 00:14:11,080 Speaker 1: Westminster Hall in London. Some people have waited in long 267 00:14:11,200 --> 00:14:14,520 Speaker 1: lines for up to thirty hours. In baseball, the Yankees 268 00:14:14,600 --> 00:14:17,520 Speaker 1: beat the Red Sox five three, the Mets lost, The 269 00:14:17,679 --> 00:14:21,440 Speaker 1: Orioles beat the Nationals six to the A's and Giants. 270 00:14:21,520 --> 00:14:24,440 Speaker 1: One Global News twenty four hours a day on air 271 00:14:24,600 --> 00:14:27,840 Speaker 1: and on Bloomberg Quicktake, powered by more than twenty seven 272 00:14:27,920 --> 00:14:30,600 Speaker 1: hundred journalist and analysts more than a hundred twenty countries. 273 00:14:31,000 --> 00:14:34,000 Speaker 1: Michael Barron, This is Bloomberg. Nathan Okay, Michael. Thanks at 274 00:14:34,040 --> 00:14:37,040 Speaker 1: six nineteen on Wall Street Live from the Bloomberg Interactive 275 00:14:37,080 --> 00:14:40,280 Speaker 1: Broker Studios. This is Bloomberg day Break. Let's get you 276 00:14:40,360 --> 00:14:42,920 Speaker 1: set for the market. Open this morning, liz Anne Saunders 277 00:14:43,000 --> 00:14:46,760 Speaker 1: joins US now chief investment strategist at Charles Schwab. Liz Anne, 278 00:14:46,760 --> 00:14:49,480 Speaker 1: it's great as always to speak with you. We've been focusing, 279 00:14:49,520 --> 00:14:51,480 Speaker 1: of course, this morning on the breaking news of this 280 00:14:51,600 --> 00:14:56,080 Speaker 1: tentative agreement reached between the freight rail operators and the unions. 281 00:14:56,120 --> 00:14:59,240 Speaker 1: Are you looking for any market reaction depending on whether 282 00:14:59,520 --> 00:15:04,120 Speaker 1: this yield does go forward and become a done deal. Well, 283 00:15:04,200 --> 00:15:07,640 Speaker 1: we we know we have a looks like a bit 284 00:15:07,680 --> 00:15:10,080 Speaker 1: of a positive opening. How much that is tied to 285 00:15:10,360 --> 00:15:13,200 Speaker 1: this news, It's hard to say. I think there was 286 00:15:13,200 --> 00:15:16,760 Speaker 1: always hope that there would be some negotiated settlement. I 287 00:15:16,880 --> 00:15:19,280 Speaker 1: think what would have been worse is the market reaction 288 00:15:20,240 --> 00:15:22,120 Speaker 1: where they or not, or if there is not, just 289 00:15:22,320 --> 00:15:27,040 Speaker 1: because of how many goods move over the rail lines, 290 00:15:27,760 --> 00:15:32,720 Speaker 1: between energy and food, agriculture, retail goods. So I think 291 00:15:32,760 --> 00:15:35,320 Speaker 1: this would have been a pretty significant economic hit. So 292 00:15:35,480 --> 00:15:39,160 Speaker 1: fingers crossed, Yeah, certainly that is the case. Is this 293 00:15:39,280 --> 00:15:42,200 Speaker 1: a market that's data dependent? As much as the FED 294 00:15:42,360 --> 00:15:44,480 Speaker 1: says it's data dependent, Is it really all about the 295 00:15:44,520 --> 00:15:46,800 Speaker 1: FED for this market right now? I think this is 296 00:15:46,880 --> 00:15:52,280 Speaker 1: incredibly data driven, macro driven market right now. Uh, and 297 00:15:53,040 --> 00:15:57,120 Speaker 1: very much about the FED. It is quite extraordinary. Given 298 00:15:57,200 --> 00:16:01,840 Speaker 1: that just about every economic data point, even inflation data point, 299 00:16:02,040 --> 00:16:05,840 Speaker 1: has enough leading indicators associate with them, you can get 300 00:16:05,880 --> 00:16:08,560 Speaker 1: a sense whether you're going to see a significant upside 301 00:16:08,640 --> 00:16:12,360 Speaker 1: or a significant downside move. And yes, we saw upside 302 00:16:12,440 --> 00:16:14,960 Speaker 1: to c p I, but it wasn't as extreme I 303 00:16:15,040 --> 00:16:18,440 Speaker 1: think is maybe the market reaction was so um. I 304 00:16:18,520 --> 00:16:21,160 Speaker 1: also think it's the impact of some of the cohorts 305 00:16:21,200 --> 00:16:23,000 Speaker 1: who are in the market on a day to day 306 00:16:23,040 --> 00:16:26,960 Speaker 1: basis driven by algorithms, quant race strategies that are you know, 307 00:16:27,120 --> 00:16:30,280 Speaker 1: keying off very very short term metrics, and I think 308 00:16:30,320 --> 00:16:32,160 Speaker 1: that that can cause some of these day to day 309 00:16:32,200 --> 00:16:34,640 Speaker 1: and even intradace swings to be a bit wilder than 310 00:16:34,720 --> 00:16:37,720 Speaker 1: the data and or fundamentals would suggest. What do you 311 00:16:37,760 --> 00:16:39,520 Speaker 1: think it's going to take to get the market to 312 00:16:39,640 --> 00:16:43,480 Speaker 1: be more focused on fundamentals? What's it going to take 313 00:16:43,560 --> 00:16:47,280 Speaker 1: to shake this focus from what the Fed does. I mean, 314 00:16:47,320 --> 00:16:50,400 Speaker 1: it seems like it's been an overwhelming focus for this 315 00:16:50,560 --> 00:16:53,320 Speaker 1: market for some time. Well near term, I think we 316 00:16:53,400 --> 00:16:55,400 Speaker 1: probably have to get through the September f O m 317 00:16:55,480 --> 00:16:59,200 Speaker 1: C meeting, and as is always the case, the press 318 00:16:59,240 --> 00:17:03,000 Speaker 1: conference will at least as important as the announcement that 319 00:17:03,280 --> 00:17:06,960 Speaker 1: is made to see what Powell might telegraph as we 320 00:17:07,160 --> 00:17:09,600 Speaker 1: head to the November and December meetings. I think that 321 00:17:09,880 --> 00:17:14,240 Speaker 1: was the more important outcome of the slightly hotter cp 322 00:17:14,359 --> 00:17:17,200 Speaker 1: I report. You know, there's there's been a debate is 323 00:17:17,240 --> 00:17:19,000 Speaker 1: it gonna be seventy is it gonna be a hundred? 324 00:17:19,000 --> 00:17:23,480 Speaker 1: And I honestly don't know. However, I think the to me, 325 00:17:23,720 --> 00:17:25,960 Speaker 1: the likely there is more on the seventy end, just 326 00:17:26,040 --> 00:17:27,880 Speaker 1: because I'm not sure at this stage in the game 327 00:17:28,040 --> 00:17:31,159 Speaker 1: Powell wants to be seen as putting forth shock and 328 00:17:31,240 --> 00:17:35,280 Speaker 1: aw kind of policy. I think more likely is keeping 329 00:17:35,720 --> 00:17:38,440 Speaker 1: both November and December firmly on the table and really 330 00:17:38,520 --> 00:17:41,720 Speaker 1: pushing back on this notion that even existed a month 331 00:17:41,800 --> 00:17:44,800 Speaker 1: ago that after a September hike, the Fed might have 332 00:17:44,880 --> 00:17:48,440 Speaker 1: the green light to pause. And I think any any 333 00:17:48,480 --> 00:17:52,960 Speaker 1: green light to pause is probably a story, not a story. 334 00:17:53,480 --> 00:17:56,080 Speaker 1: And then earning season, you know, typically an earning season 335 00:17:56,119 --> 00:17:58,240 Speaker 1: you get little more of a fundamental basis to what 336 00:17:58,400 --> 00:18:00,760 Speaker 1: at least individual stocks are going will have a few 337 00:18:00,760 --> 00:18:03,040 Speaker 1: weeks to wait before that starts. Are you looking for 338 00:18:03,160 --> 00:18:06,600 Speaker 1: further earnings revisions given the hotter than expected inflation we 339 00:18:06,680 --> 00:18:09,680 Speaker 1: saw this week. Now, I think you know, we've seen 340 00:18:09,760 --> 00:18:12,080 Speaker 1: the trend in estimates for the second half of this 341 00:18:12,200 --> 00:18:14,640 Speaker 1: year and into the first half the next year start 342 00:18:14,760 --> 00:18:16,720 Speaker 1: to move down. But I think there's more to go. 343 00:18:16,920 --> 00:18:19,760 Speaker 1: In dollar terms. You still have the consensus at about 344 00:18:19,760 --> 00:18:24,960 Speaker 1: twenty five for US and pearentings in compared to two 345 00:18:25,000 --> 00:18:29,879 Speaker 1: o eight. I wouldn't be surprised if the number drips 346 00:18:29,920 --> 00:18:32,680 Speaker 1: down to something more in line with last year's, if 347 00:18:32,760 --> 00:18:35,920 Speaker 1: not even a bit of a discount to last year. 348 00:18:36,040 --> 00:18:39,159 Speaker 1: So that's still some more room to go on the downside, 349 00:18:39,240 --> 00:18:42,520 Speaker 1: given that we're seeing the demand side weekend at the 350 00:18:42,560 --> 00:18:47,240 Speaker 1: same time labor costs, which is a significant uh wait 351 00:18:47,520 --> 00:18:52,240 Speaker 1: in terms of the revenue um outlook of of SP five. 352 00:18:53,280 --> 00:18:55,880 Speaker 1: If you just do the simple historical math of where 353 00:18:56,119 --> 00:18:59,919 Speaker 1: labor costs are relative to revenues, that suggests profit margins 354 00:19:00,080 --> 00:19:03,040 Speaker 1: more in the twelve to thirteen percent range versus the 355 00:19:03,080 --> 00:19:05,400 Speaker 1: fifteen percent or so that we saw in the last 356 00:19:05,440 --> 00:19:07,800 Speaker 1: couple of quarters. So I think it's both a weaker 357 00:19:07,880 --> 00:19:10,520 Speaker 1: profit story to come as well as a weaker margins 358 00:19:10,880 --> 00:19:13,320 Speaker 1: story to come. All right, As always, good to get 359 00:19:13,359 --> 00:19:15,840 Speaker 1: your thoughts Lizianne, thanks again for being with us this morning. 360 00:19:15,920 --> 00:19:23,040 Speaker 1: Lizzie Saunders, chief investment strategist at Charles Schwab. Futures slightly higher, 361 00:19:23,080 --> 00:19:25,639 Speaker 1: we'll call it. SMP futures up five points right now. 362 00:19:25,760 --> 00:19:28,600 Speaker 1: DAL futures up forty two. NASTAC futures little change to 363 00:19:28,640 --> 00:19:32,280 Speaker 1: the upside, up eight points. The tenure Treasury is down 364 00:19:32,359 --> 00:19:34,840 Speaker 1: nine thirty seconds for a yield of three point four 365 00:19:35,000 --> 00:19:38,000 Speaker 1: four percent yield on the two year three point eight 366 00:19:38,080 --> 00:19:40,880 Speaker 1: two percent. Nim X crew moving a bit lower, down 367 00:19:40,960 --> 00:19:44,080 Speaker 1: seven tenths percent or sixty cents at eighty seven dollars 368 00:19:44,359 --> 00:19:47,560 Speaker 1: eighty eight cents of barrel, and uh comex s Gold 369 00:19:47,760 --> 00:19:50,120 Speaker 1: is down six tenths per center ten dollars twenty cents 370 00:19:50,200 --> 00:19:54,919 Speaker 1: at sixteen ninety eight eighty announce still ahead. We'll get 371 00:19:54,960 --> 00:19:57,879 Speaker 1: you the latest details on this tentative agreement reached that 372 00:19:58,000 --> 00:20:02,280 Speaker 1: could avert a nationwide rail stri as Bloomberg daybreak continues. 373 00:20:02,440 --> 00:20:09,080 Speaker 1: This is Bloomberg, Bloomberg eleven three oh weather, mostly sunny, 374 00:20:09,119 --> 00:20:12,000 Speaker 1: mid seventies today, upper seventies, sunshine to end the week, 375 00:20:12,240 --> 00:20:15,000 Speaker 1: probably the mostly sunny Saturday, low eighties. We'll get into 376 00:20:15,000 --> 00:20:18,159 Speaker 1: the mid eighties. On Sunday right now sixty four in 377 00:20:18,280 --> 00:20:29,520 Speaker 1: Central Park, broadcasting live from the Bloomberg Interactive Broker Studio 378 00:20:29,680 --> 00:20:32,840 Speaker 1: in New York, Bloomberg Living Freedom to Washington, d C, 379 00:20:33,040 --> 00:20:36,879 Speaker 1: Bloomberg On to Boston, Bloomberg one O six one to 380 00:20:37,000 --> 00:20:40,680 Speaker 1: San Francisco, Bloomberg NUN sixteen to the Country Sirius XM 381 00:20:40,800 --> 00:20:44,000 Speaker 1: CHO one nineteen and around the globe, the Bloomberg Business 382 00:20:44,080 --> 00:20:48,120 Speaker 1: apt and Bloomberg Radio dot com. This is Bloomberg Daybreak 383 00:20:53,760 --> 00:20:56,200 Speaker 1: six thirty on Wall Street. Good morning, I'm Nathan Hagar 384 00:20:56,600 --> 00:20:59,359 Speaker 1: and I'm Karen Moscow. We're just about three hours away 385 00:20:59,400 --> 00:21:01,360 Speaker 1: from the open of US trading. Time for the five 386 00:21:01,440 --> 00:21:03,520 Speaker 1: things you need to notice start your day. Brought to 387 00:21:03,600 --> 00:21:07,880 Speaker 1: you by Interactive Brokers. Interactive Brokers charges margin loan rates 388 00:21:07,920 --> 00:21:10,480 Speaker 1: from two point three percent to three point three percent. 389 00:21:10,800 --> 00:21:13,040 Speaker 1: Their clients can also ear an extra income by letting 390 00:21:13,080 --> 00:21:15,880 Speaker 1: their fully paid shares of stock rates subject to change. 391 00:21:16,000 --> 00:21:19,600 Speaker 1: Learn more at I d k R dot com slash compare. First, 392 00:21:19,640 --> 00:21:23,000 Speaker 1: it looks like a freight rail strike will not happen tomorrow. 393 00:21:23,119 --> 00:21:26,240 Speaker 1: The Libor Department says US rail companies and union negotiators 394 00:21:26,320 --> 00:21:28,639 Speaker 1: have reached a tentative deal to avert a strike, and 395 00:21:28,640 --> 00:21:32,440 Speaker 1: Bloomberg Government reporter Jack Fitzpatrick has the latest. The real 396 00:21:32,520 --> 00:21:36,160 Speaker 1: officials had estimated this would cause about two billion dollars 397 00:21:36,320 --> 00:21:40,280 Speaker 1: per day of economic damage that would probably be significantly 398 00:21:40,359 --> 00:21:42,480 Speaker 1: worse than even if there were a government shut down. 399 00:21:42,800 --> 00:21:45,840 Speaker 1: It's a big crisis averted, it seems as long as 400 00:21:45,880 --> 00:21:47,879 Speaker 1: they're not putting the cart before the horse, and this 401 00:21:48,040 --> 00:21:52,440 Speaker 1: tentative agreement becomes a wholehearted agreement, and Bloombery Jack Fitzpatrick 402 00:21:52,560 --> 00:21:55,320 Speaker 1: says the Labor Department believes the agreement balances the needs 403 00:21:55,359 --> 00:21:58,440 Speaker 1: of workers, businesses, and the economy. Now will continue keeping 404 00:21:58,520 --> 00:22:00,320 Speaker 1: up to date on those details caring throughout the morning 405 00:22:00,359 --> 00:22:02,360 Speaker 1: here on Bloomberg Radio. But first let's get you caught 406 00:22:02,440 --> 00:22:05,040 Speaker 1: up on markets. Equities are stabilizing in the wake of 407 00:22:05,119 --> 00:22:08,240 Speaker 1: Tuesday sell off. Right now, SMP futures are little changed. 408 00:22:08,560 --> 00:22:11,640 Speaker 1: Concerns over inflation and the Fed remain front and center. 409 00:22:11,760 --> 00:22:14,240 Speaker 1: Robert Teeter has head of Investment Policy with Silver Crest 410 00:22:14,280 --> 00:22:17,120 Speaker 1: Asset Management. Overall, it really took us back just about 411 00:22:17,160 --> 00:22:18,919 Speaker 1: a week in terms of where the SMP had been, 412 00:22:19,000 --> 00:22:20,280 Speaker 1: and so that says that there was a lot of 413 00:22:20,359 --> 00:22:23,840 Speaker 1: optimism built into that report didn't come through quite as planned, 414 00:22:23,840 --> 00:22:25,800 Speaker 1: but I think the CPI print wasn't quite as bad 415 00:22:26,400 --> 00:22:28,280 Speaker 1: as numbers in isolation would have made it out to 416 00:22:28,320 --> 00:22:30,400 Speaker 1: be really more reversal of the prior week. So again 417 00:22:30,440 --> 00:22:32,680 Speaker 1: this concept of patients and sort of looking through the 418 00:22:32,760 --> 00:22:34,320 Speaker 1: numbers a little bit. Things are going to take some 419 00:22:34,440 --> 00:22:37,040 Speaker 1: time to settle down. Robert Teeter at Silvercrest says markets 420 00:22:37,080 --> 00:22:39,639 Speaker 1: could rebound if we get a few positive inflation readings 421 00:22:39,680 --> 00:22:42,439 Speaker 1: in the coming months. Meantime, Nathan, we're getting a gloomy 422 00:22:42,520 --> 00:22:45,760 Speaker 1: prediction for equitation this morning from billionaire Ray Dalio, the 423 00:22:45,840 --> 00:22:49,280 Speaker 1: founder of Bridgewater Associate, says stocks could fall about twenty 424 00:22:49,400 --> 00:22:52,200 Speaker 1: percent if interest rates increased to about four and a 425 00:22:52,240 --> 00:22:55,480 Speaker 1: half percent. Nalio made the prediction in a LinkedIn article. 426 00:22:55,680 --> 00:22:58,160 Speaker 1: A busy week on the economic front continues today, Karen, 427 00:22:58,240 --> 00:23:00,399 Speaker 1: with the release of monthly retails. Say else, we get 428 00:23:00,400 --> 00:23:02,480 Speaker 1: the numbers this morning at a thirty Wall Street time, 429 00:23:02,520 --> 00:23:06,280 Speaker 1: along with data on Empire manufacturing and weekly jobless claims. Well, 430 00:23:06,320 --> 00:23:09,320 Speaker 1: we turn overseas now, Nathan, and geopolitics is also front 431 00:23:09,400 --> 00:23:12,399 Speaker 1: and center. Chinese President she Jin Ping and Russian President 432 00:23:12,480 --> 00:23:15,360 Speaker 1: Vladimir Putin meet today for the first time since Russia's 433 00:23:15,400 --> 00:23:18,879 Speaker 1: invasion of Ukraine. Beijing has so far stopped short of 434 00:23:18,960 --> 00:23:22,920 Speaker 1: sending military supplies or financial support to aid Russia's invasion. 435 00:23:23,280 --> 00:23:25,280 Speaker 1: And that's the five things that you need to notice 436 00:23:25,320 --> 00:23:29,160 Speaker 1: start your day. Brought to you by Interacted Brokers, Straight Ahead, 437 00:23:29,160 --> 00:23:32,240 Speaker 1: your latest local headlines, plus a check of sports. And 438 00:23:32,520 --> 00:23:40,000 Speaker 1: this is Bloomberg. Thank you. Karen sixty three on Wall Street, 439 00:23:40,040 --> 00:23:42,640 Speaker 1: sixty six degrees in Central Park Gotta crash in northbound 440 00:23:42,680 --> 00:23:45,240 Speaker 1: Cross Island Parkway at the l I E. Details coming 441 00:23:45,280 --> 00:23:47,399 Speaker 1: up in traffic. First, Michael Barr with what else is 442 00:23:47,440 --> 00:23:49,840 Speaker 1: going on in New York and around the world. Good morning, Michael, 443 00:23:49,920 --> 00:23:52,640 Speaker 1: Good morning Nathan, A one time aide former New York 444 00:23:52,840 --> 00:23:56,760 Speaker 1: Governor Andrew Cuomo, sued him saying he sexually a raster 445 00:23:56,800 --> 00:23:59,800 Speaker 1: her and then smeared her reputation after she became the 446 00:24:00,000 --> 00:24:02,680 Speaker 1: sack and a woman to publicly accused him of misconduct. 447 00:24:03,040 --> 00:24:05,919 Speaker 1: Charlotte Bennett's lawsuit, filed in the federal court in New 448 00:24:06,000 --> 00:24:09,000 Speaker 1: York City, repeats many of the allegations she has talked 449 00:24:09,000 --> 00:24:13,000 Speaker 1: about publicly. New York's Attorney General is considering suing one 450 00:24:13,160 --> 00:24:16,840 Speaker 1: of former President Trump's children. According to The New York Times, 451 00:24:16,880 --> 00:24:20,520 Speaker 1: a g Letitia James rejected an offer from Trump's lawyers 452 00:24:20,560 --> 00:24:24,320 Speaker 1: to settle a civil investigation into the family's real estate business. 453 00:24:24,680 --> 00:24:27,600 Speaker 1: It sets the stage for a lawsuit accusing Trump of fraud. 454 00:24:28,280 --> 00:24:33,760 Speaker 1: Ukrainian Presidents Vlodomir Zelensky made a rare foray outside the 455 00:24:33,880 --> 00:24:37,200 Speaker 1: capital to assess the damage in cities once again in 456 00:24:37,320 --> 00:24:41,920 Speaker 1: Ukrainian control. Zelenski says, after almost six months under Russian occupation, 457 00:24:42,240 --> 00:24:47,119 Speaker 1: euseum was left largely devastated. The view is we're shocking, 458 00:24:47,200 --> 00:24:50,840 Speaker 1: but it's not shocked for me because we began to 459 00:24:51,040 --> 00:24:57,200 Speaker 1: see the same pictures from Bucha from the first occupied 460 00:24:57,240 --> 00:25:02,720 Speaker 1: it charactors destroyed buildings, he old people. President Zelinski a 461 00:25:02,840 --> 00:25:06,440 Speaker 1: turner flight with about fifty Venezuelan migrants landing on Martha's 462 00:25:06,520 --> 00:25:09,560 Speaker 1: Vineyard Wednesday. It was arranged by Florida government around the 463 00:25:09,640 --> 00:25:12,920 Speaker 1: Santiss Office, saying they sent the immigrants from Texas to 464 00:25:13,000 --> 00:25:16,680 Speaker 1: Sanctuary States as part of their relocation program. Officials on 465 00:25:16,720 --> 00:25:20,280 Speaker 1: the islands say they had no prior notice. Massachusetts States 466 00:25:20,280 --> 00:25:24,480 Speaker 1: Senator Julian Seys said he understands why the migrants come 467 00:25:24,520 --> 00:25:27,480 Speaker 1: to the US, and then blasted the senters, they're looking 468 00:25:27,560 --> 00:25:30,119 Speaker 1: just for a better life. Um and and and to 469 00:25:30,200 --> 00:25:34,040 Speaker 1: see the gotcha moment. This stunt really used for political 470 00:25:34,080 --> 00:25:38,080 Speaker 1: gain is is pretty disgusting. Massachusetts State Senator Julian Serve. 471 00:25:38,400 --> 00:25:41,520 Speaker 1: Prosecutors in Chicago say singer R. Kelly could receive an 472 00:25:41,520 --> 00:25:44,920 Speaker 1: additional ten to ninety years behind bars after a jury 473 00:25:45,000 --> 00:25:48,760 Speaker 1: convicted him of producing child porn and enticing girls for 474 00:25:48,880 --> 00:25:53,919 Speaker 1: sex outside the courtroom. Kelly's attorney, Jennifer Buing, said prosecutors 475 00:25:54,080 --> 00:25:58,600 Speaker 1: overreached after the documentary Surviving R. Kelly sparked a public outcry. 476 00:25:59,280 --> 00:26:02,119 Speaker 1: The government wanted to um, as I said during my 477 00:26:02,200 --> 00:26:07,200 Speaker 1: closing arguments, be um greedy um. And they charged counts 478 00:26:07,240 --> 00:26:09,720 Speaker 1: they couldn't win and that they shouldn't have. The verdiet 479 00:26:09,760 --> 00:26:12,359 Speaker 1: comes months after a federal judge in New York sentence 480 00:26:12,480 --> 00:26:15,480 Speaker 1: Kelly to thirty years in prison for racketeering and sex trafficking. 481 00:26:15,880 --> 00:26:18,240 Speaker 1: Global News twenty four hours a day on air and 482 00:26:18,400 --> 00:26:22,080 Speaker 1: on Bloomberg Quicktake, powered by more than twenty seven hundred journalists, 483 00:26:22,080 --> 00:26:24,359 Speaker 1: analysts more than a hundred twenty countries' MICHAELA. Barr, this 484 00:26:24,520 --> 00:26:31,480 Speaker 1: is Bloomberg, Nathan, thank you, Michael. Just about six thirty 485 00:26:31,520 --> 00:26:34,160 Speaker 1: six on Wall Street John Stashower as the Bloomberg Sports Update. 486 00:26:34,200 --> 00:26:36,040 Speaker 1: All right, Nathan and the Mets don't win the n 487 00:26:36,160 --> 00:26:38,160 Speaker 1: l e s, they might look back at this recent stretch. 488 00:26:38,359 --> 00:26:41,000 Speaker 1: Unable to take advantage of playing teams. They should be 489 00:26:41,119 --> 00:26:43,240 Speaker 1: able to be swept in a three game series for 490 00:26:43,280 --> 00:26:46,280 Speaker 1: the first time all year, swept at home by the Cubs, 491 00:26:46,320 --> 00:26:48,680 Speaker 1: who outscore the Mets in the three games set fifteen 492 00:26:48,760 --> 00:26:51,280 Speaker 1: to six. It was six three last night. Six nothing 493 00:26:51,359 --> 00:26:53,800 Speaker 1: in the first inning is David Peterson got lit up. 494 00:26:53,840 --> 00:26:56,440 Speaker 1: Mets the lead Atlanta by a half game. Yankees and 495 00:26:56,520 --> 00:26:59,280 Speaker 1: Red Soft scoreless. Fifth inning in Boston, Yanks had two 496 00:26:59,320 --> 00:27:04,680 Speaker 1: on Labored Torres. The plate ibra lines another basit to 497 00:27:04,920 --> 00:27:08,520 Speaker 1: right field, rounding third is Hix. Here comes a flow home. 498 00:27:08,760 --> 00:27:11,520 Speaker 1: It is not in time and they have all the 499 00:27:11,600 --> 00:27:15,480 Speaker 1: bullets thrown. The right field scoring is Judge. All the 500 00:27:15,760 --> 00:27:19,720 Speaker 1: way to third is Glabor. He runs third, coming home. 501 00:27:20,000 --> 00:27:24,040 Speaker 1: The thrower is cutting down on w f ANSA Torres 502 00:27:24,080 --> 00:27:26,680 Speaker 1: circled the bases, and then two more Boston errors later, 503 00:27:26,680 --> 00:27:28,840 Speaker 1: a Yankee running the nine. Yanks beat this up five 504 00:27:28,960 --> 00:27:31,240 Speaker 1: to three, and Esther Cortez sharp and five and he's 505 00:27:31,240 --> 00:27:34,000 Speaker 1: got his tent. When Clark Schmidt followed him through two 506 00:27:34,080 --> 00:27:36,560 Speaker 1: perfect frames of belief. The two teams behind the Yanks 507 00:27:36,640 --> 00:27:39,480 Speaker 1: met Toronto beat Tampa Bay. It's the Blue Jayson Trail 508 00:27:39,520 --> 00:27:41,480 Speaker 1: the Yanks now by six. Career home run number one 509 00:27:41,560 --> 00:27:44,760 Speaker 1: hundred for Vladimir Guerrero gets there at age three. I 510 00:27:44,800 --> 00:27:47,800 Speaker 1: win for the Cardinals, a record set. Adam Wainwright on 511 00:27:47,880 --> 00:27:51,000 Speaker 1: the mount Yadier Molina his catcher for the three hundred 512 00:27:51,040 --> 00:27:53,919 Speaker 1: and twenty fifth time most ever charges in Cheans kick 513 00:27:53,960 --> 00:27:56,760 Speaker 1: off Week two tonight in Kansas City Giants Sundays Carolina 514 00:27:56,760 --> 00:27:59,120 Speaker 1: will see if white out Kadarius Tony gets more play time. 515 00:27:59,480 --> 00:28:01,560 Speaker 1: Last year's top draft pick, only on the field last 516 00:28:01,600 --> 00:28:04,600 Speaker 1: week for seven snaps. Asked about it, Tony said, I 517 00:28:04,680 --> 00:28:07,840 Speaker 1: get paid to play, not coach Jet Sunday visit Cleveland. 518 00:28:07,880 --> 00:28:11,720 Speaker 1: Joe Flacco again at quarterback. Zack Wilson is, however, back practicing. 519 00:28:11,920 --> 00:28:15,000 Speaker 1: John stastually Bloomberg Sports Nathan all Right, John, thank you 520 00:28:15,119 --> 00:28:17,119 Speaker 1: sixty seven on Wall Street Time now to take a 521 00:28:17,160 --> 00:28:18,800 Speaker 1: look at stock, some of the names moving in the 522 00:28:18,920 --> 00:28:22,840 Speaker 1: pre market. Bloomberg TV anchor Markets correspondent Danny Burger is 523 00:28:22,960 --> 00:28:26,119 Speaker 1: with US this morning watching railroad stocks on where of 524 00:28:26,200 --> 00:28:30,200 Speaker 1: that tentative agreement between the unions and the freight rail operators. Danny, 525 00:28:30,240 --> 00:28:33,399 Speaker 1: what are they looking like? Well, we are seeing gains 526 00:28:33,480 --> 00:28:35,760 Speaker 1: pre market. I mean this comes after they were beaten 527 00:28:35,840 --> 00:28:40,080 Speaker 1: up pretty significantly, falling four and one percent on Tuesday 528 00:28:40,120 --> 00:28:42,880 Speaker 1: and Wednesday for a lot of these rail operators. Uh 529 00:28:43,000 --> 00:28:46,040 Speaker 1: so companies like c s X that's getting more than 530 00:28:46,120 --> 00:28:48,920 Speaker 1: two percent, Norfolk Southern more than one and a half percent, 531 00:28:49,320 --> 00:28:53,040 Speaker 1: Union Pacific up almost five percent. And again, you know, 532 00:28:53,160 --> 00:28:56,720 Speaker 1: this is the news coming this morning that the railroads 533 00:28:56,760 --> 00:29:01,440 Speaker 1: and unions have reached a tentative agreement. So again, stock 534 00:29:01,480 --> 00:29:03,720 Speaker 1: price could change depending on what that actually looks like 535 00:29:03,840 --> 00:29:06,920 Speaker 1: the contours of it. But at least now we can 536 00:29:07,040 --> 00:29:10,640 Speaker 1: price we can price out some of the pessimism around 537 00:29:11,120 --> 00:29:14,840 Speaker 1: a potential strike from the US rail unions. Yeah, we'll 538 00:29:14,880 --> 00:29:17,000 Speaker 1: be keeping an eye on those stocks, I'm sure throughout 539 00:29:17,040 --> 00:29:19,120 Speaker 1: the day as we continue to get more details on 540 00:29:19,240 --> 00:29:22,680 Speaker 1: this tentative agreement. In the meantime, Danny, a bullish call 541 00:29:22,880 --> 00:29:26,760 Speaker 1: on some hotel chains, Yeah, exactly. This one's from Barrenberg. 542 00:29:26,800 --> 00:29:28,680 Speaker 1: There there are a couple they've noted here. Um, I 543 00:29:28,680 --> 00:29:31,000 Speaker 1: would just Flag, marry At, Hyatt, and Hilton because these 544 00:29:31,040 --> 00:29:34,920 Speaker 1: ones they've actually upgraded to buy. We've seen immediate reaction 545 00:29:35,040 --> 00:29:38,120 Speaker 1: in the share price Marriott for example, about up one 546 00:29:38,440 --> 00:29:42,240 Speaker 1: and eighth fifth percent. They basically said, look, it doesn't 547 00:29:42,360 --> 00:29:45,360 Speaker 1: the price doesn't reflect the recovery we've seen and Ladging. 548 00:29:45,400 --> 00:29:48,320 Speaker 1: People are going out, they're traveling again, they're going to hotels. 549 00:29:48,360 --> 00:29:51,680 Speaker 1: They write, even if we have a recession into three, 550 00:29:52,480 --> 00:29:55,720 Speaker 1: the price still should be higher. There's no structural risk 551 00:29:55,840 --> 00:29:59,000 Speaker 1: on on things like disruption from Airbnb. So just simply put, 552 00:29:59,080 --> 00:30:02,160 Speaker 1: these are cheap. They're not fairly valued, they say, by 553 00:30:02,240 --> 00:30:05,000 Speaker 1: these stocks. In our last thirty seconds here, Danny, we've 554 00:30:05,040 --> 00:30:07,320 Speaker 1: gotten word that the mega city in China, chang Do, 555 00:30:07,480 --> 00:30:09,760 Speaker 1: is starting to ease its COVID lockdowns. What effect is 556 00:30:09,840 --> 00:30:12,200 Speaker 1: that having on individual names? Yeah, so just some of 557 00:30:12,240 --> 00:30:15,080 Speaker 1: the reopening stocks, I mean these are mostly Chinese stocks 558 00:30:15,240 --> 00:30:18,640 Speaker 1: listed as a d r S in the US. UM China, 559 00:30:18,680 --> 00:30:21,440 Speaker 1: for example, which which operates a lot of those chain 560 00:30:21,960 --> 00:30:25,240 Speaker 1: of fast food fast casual type restaurants, starts up two 561 00:30:25,320 --> 00:30:28,640 Speaker 1: point four percent. Again, this is their China operator of Yum. 562 00:30:28,720 --> 00:30:31,720 Speaker 1: So any of those reopening plays on China doing better 563 00:30:31,800 --> 00:30:33,680 Speaker 1: in the pre market session. All right, thanks for this, 564 00:30:33,720 --> 00:30:36,920 Speaker 1: Bloomberg TV anchor and markets correspondent Danny Burger, keeping an 565 00:30:36,960 --> 00:30:40,160 Speaker 1: eye on early market movers for us this morning. Going 566 00:30:40,200 --> 00:30:42,000 Speaker 1: to pass along this red headline that just crossed the 567 00:30:42,040 --> 00:30:45,040 Speaker 1: Bloomberg terminal out of China. The yuan has weakened to 568 00:30:45,160 --> 00:30:48,080 Speaker 1: seven against the dollar for the first time since July 569 00:30:48,160 --> 00:30:50,960 Speaker 1: of Checking the offshore yuan right now, it's at seven 570 00:30:51,040 --> 00:30:54,719 Speaker 1: point zero one zero eight. As for the stock market, 571 00:30:54,920 --> 00:30:58,960 Speaker 1: futures are turning lower now, led by tech heavy NASDAC 572 00:30:59,040 --> 00:31:03,000 Speaker 1: features down four tense percent or forty four points. SMP 573 00:31:03,160 --> 00:31:06,320 Speaker 1: futures are down eight. DAL future is down forty two, 574 00:31:06,400 --> 00:31:09,480 Speaker 1: and the tenure Treasury is down twelve thirty seconds. Of 575 00:31:09,520 --> 00:31:11,760 Speaker 1: the yield three point four or five percent yield on 576 00:31:11,840 --> 00:31:15,680 Speaker 1: the two year three point eight three per cent. You're 577 00:31:15,760 --> 00:31:23,800 Speaker 1: listening to Bloomberg Daybreak Bloomberg eleven three oh weather mostly sunny, 578 00:31:23,880 --> 00:31:26,640 Speaker 1: mid seventies today upper seventies to end the week, sunny 579 00:31:26,680 --> 00:31:29,560 Speaker 1: and pleasant. We probably the mostly sunny, little warmer Saturday, 580 00:31:29,640 --> 00:31:33,120 Speaker 1: low eighties, mid eighties by Sunday right now sixty six 581 00:31:33,400 --> 00:31:39,680 Speaker 1: in Central Park, Markets headlines and breaking news twenty four 582 00:31:39,760 --> 00:31:42,760 Speaker 1: hours a Day at Bloomberg dot Com and Bloomberg Business 583 00:31:42,800 --> 00:31:46,440 Speaker 1: at and at Bloomberg Quick Tape is a Bloomberg Business 584 00:31:46,560 --> 00:31:55,640 Speaker 1: Last and I'm Karen Moscow. We're watching futures swing between 585 00:31:55,720 --> 00:31:58,400 Speaker 1: gains and losses as they're now moving lower. We go 586 00:31:58,480 --> 00:32:01,000 Speaker 1: to the first word breaking news dash for today's morning call, 587 00:32:01,080 --> 00:32:04,680 Speaker 1: and here's Bill Maloney. Bill, good morning and good morning, Karen. 588 00:32:04,720 --> 00:32:07,160 Speaker 1: That's right. US futures with a recent fade here with 589 00:32:07,280 --> 00:32:09,800 Speaker 1: doubt futures now down fifty seven points, as IF drop 590 00:32:09,960 --> 00:32:13,760 Speaker 1: ten and NASDEK futures declined by fifty the US chen 591 00:32:13,840 --> 00:32:16,800 Speaker 1: yel at three point four five percent, Gold is down eleven, 592 00:32:16,840 --> 00:32:20,280 Speaker 1: Oil trading lower, and Bigcoin is trading higher by one percent. 593 00:32:20,640 --> 00:32:23,400 Speaker 1: Shanghai felt one point two percent overnight, while Europan markets 594 00:32:23,440 --> 00:32:26,080 Speaker 1: are trading mixed this morning. And back in the US 595 00:32:26,120 --> 00:32:29,880 Speaker 1: on the economic Frinday thirty retail sales initial job as claims, 596 00:32:29,920 --> 00:32:33,800 Speaker 1: Empire Manufacturing and Philly fed. In other news, the US 597 00:32:33,880 --> 00:32:36,800 Speaker 1: rail companies and the Union came to a tentative agreement, 598 00:32:37,240 --> 00:32:40,720 Speaker 1: and Disney may merge Hulu and Disney Plus to create 599 00:32:40,800 --> 00:32:44,440 Speaker 1: a single streaming service. Wrapping things up. Netflix was raised 600 00:32:44,440 --> 00:32:47,120 Speaker 1: to outperform at evercore I s I Coles was cut 601 00:32:47,160 --> 00:32:50,720 Speaker 1: to hold Brad Jeffreys live from the first breaking news 602 00:32:50,760 --> 00:32:53,040 Speaker 1: dost gomb Bill Maloney can all right, Bill, thank you 603 00:32:53,080 --> 00:32:55,440 Speaker 1: to here lie breaking news of your Bloomberg type squawk 604 00:32:55,520 --> 00:32:57,800 Speaker 1: on your terminal. Sq you a w U K and 605 00:32:57,840 --> 00:33:01,480 Speaker 1: that's a Bloomberg business flash. Now Here is Michael Barr 606 00:33:01,600 --> 00:33:04,240 Speaker 1: with more on what's going on around the world. Michael Baron, 607 00:33:04,280 --> 00:33:07,160 Speaker 1: thank you very much. President Joe Biden says Attendantive Railway, 608 00:33:07,240 --> 00:33:10,640 Speaker 1: the labor agreement has been reached, diverting a potentially devastating 609 00:33:10,680 --> 00:33:14,520 Speaker 1: strike before the pivotal mid term elections. Bidens and in 610 00:33:14,560 --> 00:33:17,560 Speaker 1: a statement this morning, the tentative deal will keep our 611 00:33:17,640 --> 00:33:21,760 Speaker 1: critical rail system working and avoid disruption of our economy. 612 00:33:22,240 --> 00:33:25,240 Speaker 1: Biden says the rail workers will get better pay, improved 613 00:33:25,280 --> 00:33:28,920 Speaker 1: working conditions, and peace of mind around their healthcare costs. 614 00:33:29,360 --> 00:33:32,600 Speaker 1: In London, the public continues to pay their respects to 615 00:33:32,840 --> 00:33:36,640 Speaker 1: the late Queen Elizabeth as she lies in state in Westminster. 616 00:33:36,840 --> 00:33:40,680 Speaker 1: Home authorities estimate the line to enter the building stretches 617 00:33:40,680 --> 00:33:44,000 Speaker 1: almost three miles. In baseball, the Yankees beat the Red 618 00:33:44,080 --> 00:33:47,280 Speaker 1: Sox five three. The Mets lost. The Orioles beat the 619 00:33:47,360 --> 00:33:51,800 Speaker 1: Nationals six to the A's and Giants won global news 620 00:33:51,880 --> 00:33:55,200 Speaker 1: twenty four hours a day on air and on Bloomberg Quicktake, 621 00:33:55,480 --> 00:33:58,680 Speaker 1: powered by more than journalist and analyst more than a 622 00:33:58,760 --> 00:34:02,880 Speaker 1: hundred twenty countries. Michael Barn, this is Bloomberg, Karon, all right, 623 00:34:02,920 --> 00:34:05,720 Speaker 1: michaelbar thank you well. At six forty nine on Wall Street, 624 00:34:05,760 --> 00:34:08,040 Speaker 1: and we turned to news and science and technology now 625 00:34:08,120 --> 00:34:10,560 Speaker 1: with the Bloomberg and j I T Stem Report, And 626 00:34:10,640 --> 00:34:14,279 Speaker 1: here's what's making news and science, technology, engineering and math. 627 00:34:14,760 --> 00:34:18,040 Speaker 1: Samsung Electronics is shifting away from fossil fuels and aiming 628 00:34:18,080 --> 00:34:21,719 Speaker 1: to entirely power its global operations with clean electricity by 629 00:34:21,760 --> 00:34:24,640 Speaker 1: twenty fifty. This Auth Korea based company is a top 630 00:34:24,680 --> 00:34:28,880 Speaker 1: producer of computer memory, ships and smartphones, and by some estimates, 631 00:34:28,920 --> 00:34:32,160 Speaker 1: the biggest energy consumer among hundreds of global companies that 632 00:34:32,239 --> 00:34:34,719 Speaker 1: have joined the campaign to get a hundred percent of 633 00:34:34,760 --> 00:34:38,320 Speaker 1: their electricity from renewable sources like wind or solar power. 634 00:34:39,000 --> 00:34:42,480 Speaker 1: For its Glitzee, introduction of a redesigned Mustang sports car 635 00:34:42,600 --> 00:34:45,880 Speaker 1: powered by fossil fuels runs counter to the industry narrative 636 00:34:45,960 --> 00:34:49,200 Speaker 1: of ditching gas burning cars to make way for electrified models. 637 00:34:49,600 --> 00:34:52,200 Speaker 1: Ford is betting there's enough life left in the fifty 638 00:34:52,239 --> 00:34:54,480 Speaker 1: eight year old Mustang to help pay for the company's 639 00:34:54,520 --> 00:34:58,520 Speaker 1: electric powered future. Forward is investing fifty billion dollars to 640 00:34:58,560 --> 00:35:04,320 Speaker 1: build two million ev annually by and crypto's most important 641 00:35:04,320 --> 00:35:08,920 Speaker 1: commercial highway, Ethereum, just got repaved. The blockchain Network completed 642 00:35:08,920 --> 00:35:12,200 Speaker 1: the crypto world's biggest and most ambitious software upgrade to date. 643 00:35:12,520 --> 00:35:15,120 Speaker 1: As according to its co founder, the upgrade is called 644 00:35:15,200 --> 00:35:18,359 Speaker 1: the Merge. It replaces power hungry computers that were used 645 00:35:18,360 --> 00:35:21,240 Speaker 1: to order transactions on the network with a more energy 646 00:35:21,360 --> 00:35:23,719 Speaker 1: efficient set up. And that's a Bloomberg and j I 647 00:35:23,800 --> 00:35:26,520 Speaker 1: t Stem report. Nathan, thank you, Karen rely from the 648 00:35:26,520 --> 00:35:29,600 Speaker 1: Bloomberg Interactive broker Studios. Where at six fifty on Wall 649 00:35:29,680 --> 00:35:31,600 Speaker 1: Street Time now to check what's going on in DC. 650 00:35:31,880 --> 00:35:34,120 Speaker 1: Some of the top stories in our nation's capital include 651 00:35:34,120 --> 00:35:37,480 Speaker 1: at tentative deal reached between freight rail companies and unions 652 00:35:37,560 --> 00:35:41,360 Speaker 1: that could avert an asianwide rail strike. Senator Graham's abortion 653 00:35:41,400 --> 00:35:44,799 Speaker 1: bill creating midterm term wall for Republicans, the January six 654 00:35:44,880 --> 00:35:49,480 Speaker 1: Committee receiving secret service text messages and social media firms 655 00:35:49,520 --> 00:35:52,759 Speaker 1: to unveil anti hate actions at the White House. Let's 656 00:35:52,760 --> 00:35:55,759 Speaker 1: bring back Bloomberg Government congressional reporter at Jack Fitzpatrick starting 657 00:35:55,800 --> 00:35:59,000 Speaker 1: a course with the breaking news Jack, crisis on the 658 00:35:59,080 --> 00:36:03,880 Speaker 1: rail's potential tentatively averted. Yeah, it's significant enough so that 659 00:36:04,000 --> 00:36:07,280 Speaker 1: the President has put out a statement. The Labor Secretary, 660 00:36:07,360 --> 00:36:11,160 Speaker 1: Marty Walsh, who was in these conversations between the two parties, Uh, 661 00:36:11,320 --> 00:36:13,759 Speaker 1: it put out a statement this This seems to be 662 00:36:13,960 --> 00:36:17,520 Speaker 1: pretty significant, but they are calling it a tentative agreement 663 00:36:18,239 --> 00:36:22,560 Speaker 1: reached after I believe about thirty hours of negotiations to 664 00:36:22,719 --> 00:36:27,000 Speaker 1: avoid a strike. Uh. The key issue there was not 665 00:36:27,200 --> 00:36:31,080 Speaker 1: really about pay. It was about paid medical leave and 666 00:36:31,640 --> 00:36:36,080 Speaker 1: the lack of flexibility and heads up about when workers 667 00:36:36,160 --> 00:36:40,120 Speaker 1: would be needed. Uh, the issues of people being only 668 00:36:40,160 --> 00:36:43,160 Speaker 1: given ninety minutes to two hours notice that they need 669 00:36:43,239 --> 00:36:45,840 Speaker 1: to be in at work, even sort of in the 670 00:36:45,880 --> 00:36:49,319 Speaker 1: middle of the night or early morning. Uh. That has 671 00:36:49,400 --> 00:36:52,759 Speaker 1: been addressed to some degree as we look for the details. 672 00:36:53,040 --> 00:36:55,640 Speaker 1: You know, the President said, uh, peace of mind around 673 00:36:55,680 --> 00:36:58,520 Speaker 1: their healthcare costs, it's part of this agreement. So it's 674 00:36:58,600 --> 00:37:01,440 Speaker 1: it's a bullet dodged for the Biden administration that did 675 00:37:01,480 --> 00:37:05,319 Speaker 1: not want to see a strike given the possible economic 676 00:37:05,800 --> 00:37:08,880 Speaker 1: uh impact of that and also the fact that it 677 00:37:09,160 --> 00:37:12,720 Speaker 1: would not be positive for the President's relationship with the unions, 678 00:37:13,080 --> 00:37:16,799 Speaker 1: and UH, potentially averting a crisis that's coming less than 679 00:37:16,840 --> 00:37:19,080 Speaker 1: two months before the mid term elections as well. We 680 00:37:19,160 --> 00:37:23,000 Speaker 1: got to talk about the political ramifications, jack Exactly, this 681 00:37:23,239 --> 00:37:25,759 Speaker 1: close to the mid term elections, it would be a 682 00:37:25,880 --> 00:37:29,520 Speaker 1: really really significant negative thing for this strike to happen 683 00:37:30,680 --> 00:37:33,600 Speaker 1: under the president's watch. He's played up his relationship with 684 00:37:33,800 --> 00:37:37,040 Speaker 1: unions in support for unions, UH, and the rail officials 685 00:37:37,080 --> 00:37:40,480 Speaker 1: have said this would have been about a two billion 686 00:37:40,600 --> 00:37:44,320 Speaker 1: dollar per day hit on the economy. So depending on 687 00:37:44,440 --> 00:37:46,759 Speaker 1: how long it goes, it would have been a really 688 00:37:46,880 --> 00:37:51,399 Speaker 1: negative thing. UH. You know it just by comparison, because 689 00:37:51,440 --> 00:37:54,200 Speaker 1: there's a government funding deadline coming up, this would be 690 00:37:54,440 --> 00:37:58,080 Speaker 1: I think significantly worse than a government shutdown. UH, and 691 00:37:58,280 --> 00:38:01,080 Speaker 1: less than two months before the the mid term would 692 00:38:01,120 --> 00:38:04,600 Speaker 1: have been very very negative. So UH, as long as 693 00:38:04,680 --> 00:38:08,560 Speaker 1: the tentative agreement becomes an agreement period, UH, this is 694 00:38:08,719 --> 00:38:11,480 Speaker 1: very good news for the Biden administration and Democrats on 695 00:38:11,520 --> 00:38:14,480 Speaker 1: the campaign trail and coming into a mid term election 696 00:38:14,600 --> 00:38:18,280 Speaker 1: that could potentially hinge on the economy. Jackets really interesting 697 00:38:18,400 --> 00:38:21,359 Speaker 1: this week to see a Senator Lindsey Graham put out 698 00:38:21,440 --> 00:38:27,600 Speaker 1: this abortion bill, uh and potentially open up some differences 699 00:38:27,840 --> 00:38:31,920 Speaker 1: in strategy within the Republican Party. Yes, or just a 700 00:38:32,040 --> 00:38:35,480 Speaker 1: lack of strategy really, you know, Lindsay Graham put out 701 00:38:35,520 --> 00:38:39,160 Speaker 1: this bill that would put forward a ban on abortion 702 00:38:39,320 --> 00:38:44,080 Speaker 1: after fifteen weeks of pregnancy. UM. You know, I think 703 00:38:44,320 --> 00:38:48,120 Speaker 1: the most obvious sign that that was not put out, 704 00:38:48,600 --> 00:38:52,040 Speaker 1: uh with the blessing of everybody in the party heading 705 00:38:52,080 --> 00:38:54,640 Speaker 1: towards the mid terms, was when Mitch McConnell was asked 706 00:38:54,640 --> 00:38:57,120 Speaker 1: about it and said he thinks that that's something that 707 00:38:57,200 --> 00:39:01,320 Speaker 1: should be left to the states. Uh. There is pressure 708 00:39:01,480 --> 00:39:06,080 Speaker 1: on some Republicans from uh, anti abortion groups to take 709 00:39:06,160 --> 00:39:10,160 Speaker 1: this kind of step. He maybe he wasn't just focused 710 00:39:10,200 --> 00:39:13,840 Speaker 1: on moderate voters in swing states, but this is something 711 00:39:13,960 --> 00:39:18,239 Speaker 1: that is a pretty significant inconvenience for Republicans on the 712 00:39:18,320 --> 00:39:21,000 Speaker 1: campaign trail. Right now, let's turn to some of the 713 00:39:21,080 --> 00:39:24,279 Speaker 1: developments around the January six Committee. We've heard that they're 714 00:39:24,280 --> 00:39:26,279 Speaker 1: going to be holding it another meeting at the end 715 00:39:26,320 --> 00:39:29,160 Speaker 1: of this month, and it looks like they may have 716 00:39:29,360 --> 00:39:32,320 Speaker 1: gotten uh some key evidence that they've been asking for 717 00:39:32,640 --> 00:39:35,640 Speaker 1: for just about a month. I think, right, yes, they 718 00:39:35,680 --> 00:39:42,400 Speaker 1: had been seeking text messages among Secret Service personnel. Uh 719 00:39:42,680 --> 00:39:47,640 Speaker 1: that is among a big influx of information they've gotten recently. 720 00:39:47,800 --> 00:39:51,600 Speaker 1: The chair of the committee, Benny Thompson, said, they got 721 00:39:51,880 --> 00:39:56,080 Speaker 1: a combination of text messages, radio traffic, and other things 722 00:39:56,520 --> 00:40:00,400 Speaker 1: that amount to thousands of exhibits, he said from the 723 00:40:00,600 --> 00:40:04,000 Speaker 1: Secret Service. Uh So they have been talking about the 724 00:40:04,040 --> 00:40:08,880 Speaker 1: possibility of a September hearing. That's not set in stone, 725 00:40:09,120 --> 00:40:12,560 Speaker 1: but they seem to certainly have a lot of information 726 00:40:12,719 --> 00:40:16,400 Speaker 1: to sift through from the Secret Services perspective around h 727 00:40:16,560 --> 00:40:20,839 Speaker 1: January six, and I saw some interesting news come down 728 00:40:20,920 --> 00:40:24,680 Speaker 1: from the Capitol Hill news service punch Bowl News that 729 00:40:24,840 --> 00:40:28,480 Speaker 1: the that the January six Committee is no longer wanting 730 00:40:28,520 --> 00:40:32,879 Speaker 1: to cooperate with the Justice Department investigation into January six. 731 00:40:32,920 --> 00:40:35,080 Speaker 1: Do we know anything more about that? Well, that's not 732 00:40:35,280 --> 00:40:38,200 Speaker 1: really a change in their position. They have said that 733 00:40:38,400 --> 00:40:40,840 Speaker 1: they're the news and punch Bowl today is they're not 734 00:40:40,920 --> 00:40:44,279 Speaker 1: going to be cooperating with d o J, at least 735 00:40:44,400 --> 00:40:49,080 Speaker 1: not yet. They had previously said there's some information they 736 00:40:49,160 --> 00:40:54,560 Speaker 1: could share, but there's not some formal relationship of information sharing. 737 00:40:55,360 --> 00:40:58,040 Speaker 1: The report today is that they're they're not cooperating with 738 00:40:58,160 --> 00:41:01,600 Speaker 1: d o J. At this time. Uh, it's not shocking 739 00:41:01,840 --> 00:41:06,640 Speaker 1: to to hear that as uh, the FBI, M D 740 00:41:06,800 --> 00:41:12,520 Speaker 1: o J investigate uh, people involved with January sixth. January 741 00:41:12,600 --> 00:41:15,279 Speaker 1: six and the interaction at the Capitol and also the 742 00:41:15,560 --> 00:41:20,600 Speaker 1: mar Lago search issues of classified documents being taken by 743 00:41:20,680 --> 00:41:24,640 Speaker 1: the former president. That that's going on in a separate 744 00:41:24,719 --> 00:41:29,120 Speaker 1: way from this more political process of understanding everything around 745 00:41:29,160 --> 00:41:31,040 Speaker 1: January six. So it doesn't mean that there's going to 746 00:41:31,120 --> 00:41:35,160 Speaker 1: be absolutely no communication between those two parties, but there's 747 00:41:35,200 --> 00:41:39,680 Speaker 1: not um a collaborative effort there. Okay, just thirty seconds 748 00:41:39,760 --> 00:41:41,720 Speaker 1: left here, Jack, But what's going on with social media 749 00:41:41,800 --> 00:41:45,040 Speaker 1: companies at the White House today? Yes, they're going to 750 00:41:45,560 --> 00:41:47,719 Speaker 1: be at the White House. A number of big names 751 00:41:48,040 --> 00:41:52,000 Speaker 1: You've got uh Meta which of course has Facebook and 752 00:41:53,000 --> 00:41:56,399 Speaker 1: Instagram and other big names in social media that are 753 00:41:56,400 --> 00:41:58,759 Speaker 1: going to have an announcement on what they're doing to 754 00:41:59,200 --> 00:42:03,480 Speaker 1: stop hate speech and related activities. They're going to be 755 00:42:03,600 --> 00:42:07,879 Speaker 1: federal announcements. Is sort of in conjunction with that, Uh, 756 00:42:08,120 --> 00:42:12,160 Speaker 1: clearly a high priority for the Biden administration. Touching on, 757 00:42:12,320 --> 00:42:16,279 Speaker 1: you know, broader context around the white supremacist screed by 758 00:42:16,320 --> 00:42:20,680 Speaker 1: the shooter that killed people in Buffalo. Uh, it plays 759 00:42:20,719 --> 00:42:24,040 Speaker 1: into some broader White House initiatives, but there will be 760 00:42:24,120 --> 00:42:26,600 Speaker 1: some announcements from those companies today at the White House. 761 00:42:26,640 --> 00:42:28,960 Speaker 1: All right, we'll be following that as well. Bloomberg Government 762 00:42:28,960 --> 00:42:31,719 Speaker 1: reporter Jack Fitzpatrick with us from our Bloomberg nine one 763 00:42:31,800 --> 00:42:35,359 Speaker 1: studios in the nation's capital. Read more at Bloomberg dot 764 00:42:35,400 --> 00:42:37,800 Speaker 1: com or on the Bloomberg terminal, and listen to Bloomberg 765 00:42:37,880 --> 00:42:40,759 Speaker 1: Radio in Washington Bloomberg one and one oh five point 766 00:42:40,840 --> 00:42:45,120 Speaker 1: seven FM HD two. Bloomberg Surveillance is next for Karen Moscow. 767 00:42:45,320 --> 00:42:48,520 Speaker 1: I'm Nathan Hagar, and this is Bloomberg