Bloomberg Daybreak: August 1, 2022 - Hour 2 (Radio)

of the month. Last month, SMP five d gamed nine point two percent and we checked the markets every fifteen minutes throughout the trading day on Bloomberg S and P futures again lower down nine points down, futures down twenty eight. NASDAG futures down thirty one. The decks in Germany's up four tenths of upper cent ten. Your treasury down to thirty seconds, you know, two point six five percent yield

on the two year two point nine zero percent. Nine vex herd oil is down one point nine percent on a dollar eighty two and ninety six dollars eighty cents of Earl comic schooled at half percent or eight dollars forty tents seventy announced the euro one point two five seven against the dollar, British pound one point two to five six and the yen at one thirty two point oh one. And looking at bitcoin, it's down two point at twenty three thousand, two hundred ninety dollars. That's a

Bloomberg business flashdown. Here's Michael Barrow with Moore on what's going on around the world. Michael Karen, thank you very much. No public events are on president by schedule today. He remains in isolation following his rebound with COVID nineteen after treatment with the anti viral drug pax almit. Bill Russell, who was the cornerstone of the Boston Celtics basketball dynasty in the nineteen fifties and sixties, has died. He was eight.

And Rick Stenson took home four million dollars from winning the controversial live golf Bedminster Invitational. Saudi Arabian funded league has drawn criticism. Tickets that former President Trump's Bedminster course we're being sold for as little as a dollar among light crowds. In baseball, the Yankees lost to the Royals,

the Mets won the sixth rate beating the Marlins. The Red Sox down the Brewers, the Cardinals shut out the Nationals, five Zip, the Red Sox beat the oriole or the Reds Brother beat the Orioles, The White Sox beat the A's, the Giants down the Cubs. Global News twenty four hours a day on air and on Bloomberg Quickdake, powered by more than seven journalists and analysts more than a hundred twenty countries. Michael bar This is Bloomberg, Nathan, Thanks Michael.

At six nineteen on Wall Street Live from the Bloomberg Interactive Brokers studios. This is Bloomberg Daybreak and Jeffrey You is with US now senior strategist for e m EA Markets at b n Y Melon. As we get ready to kick off this new trading month following one of the best months for stocks in about a year and a half, at least in the US. Jeff, good morning. Where do you see the momentum for US risk assets?

As we get this new month started well to be Franca was still somewhat hesitant about chasing risk appetite at this point in some sudden view which may be not

as prevalent as it may feel. A cross market and the fed stuff, you know, calling it a day, and you know, just moving towards a comfortable level, maybe slightly above neutral um to be frank, thinking that that's a bit of wishful thinking on the part of markets right now inflation expectations and not really being anchored yet, and not just for the FED, but globally, more needs to be done on tightening, So I think that could derail some of the sentiment coming through. So we're still relatively

cautious and heading into the new trading month. Can you be a little bit specific on where you think the FED is going to go in terms of the tightening um.

So overall, if we really want to talk about said moving towards a rescriptive and then the prior pricing you know, close to four percent, and even if I'm higher for example, that is absolutely necessary, but we're not seeing that, to be frank notes throughout the year um it really you know, has been a case and they're trying to touch those levels and before the data start to derail the process.

If I look at the one year one year in the US, so we've got to three point nine in the June, but now it's some collapsed to about two point seven. The market seems very hesitant, and that's where the rude awakening and may becomes so that four percent in the golden level perhaps still needs to be touched again. What data are you going to be looking at in the weeks to come as you further navigate this forecast? What what's what's got your eye? Well, the first thing

this week complearly is going to be pay rolls. You know, there's always the headline. Pay rolls numbers are a bit noisy. So it's more about the average maale earnings those figures and you know, any other indication of the labor market tightness. Uh So, you know that's where I wouldn't say it's going to change market expectations, but you know, any major surprise you know coming through saying well abut five percent and average early earnings on an annualized basis above point

five percent, you know, a sequential level. You know, these are numbers which will make the market things again because some momentum we need to say much. Even though the GDP numbers may suggest otherwise that the US economy is in relatively better shape and it compared to the to the world, um, it's far less exposed to say, energy supply shocks and the use of the Russia, Ukraine. Also in all of that put together, it means there is greater upside risk of the US economy and that's something

that markets need to take in mind now. And it's interesting just this morning looking at the markets are seeing this sort of divergence between European risk assets and US futures, some pretty decent gains for European stocks. What's behind that?

So now that is there's somewhat protecting them. They're given how the p m I numbers are not just a before Europe and that if you look at the Czech Republic for from Poland for example, that these are countries which are heavily integrated into the Eurozone supply chain and

then manufacturing pm MY numbers are just absolutely collapsing. Right. So, um, I think the evaluations are coming through, you know, euro at these levels and social well above parity now but still maybe creating a bit of a possibility and tail wind. Um So the broader risk environment that is I'm playing a role. Um. But ultimately if you expect the worst may be over, then gently people and maybe putting money

back to work. The ECB probably will have a narrow window of tightening compared to the FED, especially if gas supplies are going to be disrupted at the winter months and into next year. But in the net net, global risk appetite every reason to remain cautious. The FED there's still the main stumbling block. But also you know China growth it still stops start obvious, still have the war to contend with, so a lot of issues out there which need to be resolved in our last thirty seconds here, Jeff,

we're the bulk of earning season here. What's your read on where earnings go from here? Um, I think go earnings now you're starting to see, you knows some divergence between on a global basis of those which are exposed to the global cycle and those you know which are not. And again this is where the US really is in better shape. But compared to Europe all the cixical names, if we look at where the flows are going, Um, these are the current these are the sectors, and these

are the economies which are underperforming. So this is where the divergence will continue to from. You could argue that if there's more flow application going to the US and that's tightening financial conditions and by the dollar, it helps equity markets that it's all going to make life difficult for the rest of the bulb. Great to have you with us again, jeff Thanks for this, Jeffrey, you senior strategist E M. E A at b N Y Melon. Right now, SMP futures are down eight points, Stown futures

down twenty nine sword ANASTACK futures. As we mentioned European stocks moving higher. We have the decks in Germany up almost four tenths per cent, to CAC in Paris is higher by three tenths per cent. Ten your treasury little change the yield two point six four on the tenure note and the yield on the two year right now two point eight nine per cent. You're listening to Bloomberg

Daybreak Bloomberg eleven three oh weather. These morning showers a give way to clouds and the high near eighty today, afternoon shower thundershower possible tomorrow with a high back near ninety, sunny near ninety for Wednesday. Right now sixty nine in Central Park, live from the Bloomberg Interactive Brooker Studios. This is Bloomberg day Break for a Monday, August one coming up this shour. Traders begin a new month with a slew of earnings in focus. One FED president said there's

a long way to go to hit two percent. Inflation, concerned in China grows amid worse than expected economic data, and Senator Joe Manchin makes his pitch in favor of the climate tax. Film speeding cameras in New York City togain operating two seven starting today Blossom. The death toll

rises from last week's flooding in Kentucky. I'm Michael larn four a half, I'm John Stafshower and fourth sixth raight win for the Mets, the Yankees blost to the ninth inning and widespread reaction to the passing of NBA legend and Bill Russell. That's all straight ahead on Bloomberg day

Break on Bloomberg. He liveing free on New York Bloomberg one, Washington, d C Bloomberg one oh six one, Boston Bloomberg nine sixties and Francisco syrius XM one nineteen and around the world on Bloomberg Radio dot Com and via the Bloomberg Business A good morning, I'm Nathan Hagar and I'm Karen Moscow and US DO index futures are lower this morning. We are coming up to six one on Wall Street, and we check the markets every fifteen minutes throughout the

trading day. On Bloomberg SMP futures down about nine points, DWAL future is down twenty six and NASDAG futures down twenty eight. The decks in Germany is up a third of upper set ten. Your treasury down to thirty seconds. Heal two point six five percent. They yield on the two year two point eight nine percent. Di mack screwed oil is down one point eight percent on a dollar seventy five and ninety six dollars eighty seven a cent of barrel, and bitcoin this morning down two percent at

three twenty dollars. Nathan no Well fuadtures are on the back foot of it this morning, Karen, as we kick off a new trading month, looking ahead to Friday's jobs report. Than the debate continues on the health of the US economy. Regent Atlantic Capital Chief investment Officer Andy Kapern says, the

environment's uncertain, but still sticking with value. You should continue to stick with what has worked for you so far this year, and that is precisely sticking with value, which is heaving on energy and heavy on materials and industrials. The underlying price of those commodities, they're fundamentally undersupplied. Andy Kapern with Regent Atlantic Capital says focusing on value and

quality can still generate returns in a volatile market. Well over the weekend, Nathan, we've got more comments on FED policy. Minneapolis Fed President Neil cash Cary said he's not worried about whether the US is in a technical recession. He says,

a central bank is focused squarely on inflation. We're gonna do everything we can to try to avoid a recession, but we are committed to bringing inflation down and we're going to do what we need to do, and we are a long way away from achieving an economy that is back at two percent inflation, and that's where we need to get to. Neil cash Cary said he does not see evidence of a US wage price spiral. He made the comments on CBSS Face the Nation heard Sundays

on Bloomberg Radio. Well, stocks are coming off a banner month, Karen, but that trend may not continue, according to too high profile analysts. Let's get more in this live report from Bloomberg's John Tucker. John Nathan earnings results are holding up better than feared. Of the fifty percent of the S and P five companies that have reported, more than half

have beaten estimates. Still, Goldman Sack strategist David Constance says the rate of earning speeds is trailing the average pace that's been set in the last five quarters and Morgan Standards. Mike Wilson says the rebounding stocks is likely to be short lived as estimates are cut further in the economy heads into contraction and a note this morning, Wilson also says the bomb market he's assuming the Fed is gonna get inflation under control, which is good for fixed income,

but not stocks. Live in New York on John Tucker Bloomberg Daybreak. All right, John, thank you. Another big week on Wall Street with economic data and earning is set to be the main drivers. Once again, we get more from Bloomberg's Turley Pillett. While investors keep an eye on the economic data, including a Job's report, they're also focused on what corporations are saying about the second half. Solita Marceli is chief investment officer for the America's at UBS

Global Wealth Management. This earning season. We heard a lot of talk of recession, but we haven't seen any indication and the results Lots of earnings this week across a broad swath of industries. Amongst some of the names A M D, Airbnb, Caterpillar, Lift, Uber, Marriott, Occidental, Petroleum, Starbucks, and Young Brands in New York Charlie Pellett Bloombird Day Break, OK, Charlie, thank you. US shail drillers are expected to post accord profits this week, and after a decade of Steve losses,

it looks like shale is finally blossoming. Bloomberg's Rnita Young joins US Live with that. Good morning, Rinita, Good morning Nathan. Estimates compiled by Bloomberg show the top twenty eight publicly traded US independent oil producers generated twenty five point five billion dollars in free cash flow in the second quarter. That's about a quarter of what they lost over the

past decade. Fracking revolutionized global energy markets by enabling American drillers to harvest shield resources that had previously been untouchable. The US went from a declining crew producer to the world's dominant oil and gas source, but at an astronomical cost. The twenty eight companies lost about one fifteen billion dollars in the decade leading up to the COVID nineteen pandemic.

Live in New York. I'm reneeding young, Bloomberg day Break, all right, reneed to thank you about turning over seas Now. HSBC shares are at five point nine percent in London after the bank turned in a strong earning support. It beat profit estimates, vound to restore quarterly dividends and fed it off a call to split up. HSBC. CFO You and Stevenson spoke to Bloomberg from Hong Kong. Rising rights

is certainly beneficial to us. Interesting gum was up t Q two on Q two, revenues were up twelve for st overall, we also kept cost flat, so we had an enormous amount of operating leverage. We also had a one off tax benefit too, so we're very pleased with these results. Chief financial Officer You and Stevenson says HSBC is paying close attention to its China real estate ex pilot said the eurobe now Karen, where the economic focus this week is on the Bank of England. Bloomberg Daybreak,

europpost Stephen Carroll joins us from London with details. Good morning, Stephen, Good morning Nathan and Karen. The Bank of England was the first of the major central banks to high rates after the pandemic, but now it's playing catch up. Governor Andrew Bailey has promised to act forcefully to tackle inflation that's running at a forty year high in the UK. Markets now see a seventy chance of a fifty basis point hike on Thursday. That would be the largest by

the bank in twenty seven years. This as it's warning that inflation cut it eleven percent this year. Live in London, I'm Stephen Carroll Bloomberg. Daybreak, Stephen, Thank you Back here in the US, we're focused on politics, Bloomberg said. Baxter has the story. Senator Mansion says, it all just makes sense. We've taken three point five troy and of spending down to four dred million of investing without raising any taxes whatsoever. And he says he doesn't know now what all the

dramas about. I didn't know if we could get a deal. I did not know if we could come to an agreement, So why would I put people through this all this draw And he's also making a public pitch to get Senator Kirsten's cinema on board. The vote expected this week in San Francisco. I'm at Baxter Bloomberg, Gay Break alright, thanks, SMP futures down five point, staff features down ten, danste futures down eighteen straight ahead, your latest local headlines plus

a check of sports. This is Bloomberg six oh seven on Wall Street where at sixty nine degrees with the rain continuing in Central Park westbound seventy eight is closed in Warren Township between eggs. It's thirty six and thirty three. Details coming up in traffic first, Michael Barr with what else is going on for your ride? Michael, thank you very much. Nathan smile. You're on traffic camera. Starting today, about two thousand speed cameras begin running twenty four hours

a day every day across New York City. If you're caught speeding by the camera, you'll get a fifty dollar fine in the mail. However, experts say it usually when out result with points on your license. Kentucky Governor Andy but Sheer says housing, water, and cell phones service are among the priorities the state is focused on bringing back to people who have lost everything and last week's deadly

flooding in eastern Kentucky are confirmed. Count of Kentuckians we've lost is now reached twenty eight and we expect that there will be more and that that number will grow. Governor but Sheer. There are stepped up efforts to slow the spread of the monkey pox virus in the US despite rising case numbers and limited vaccines applies. There are now more than five thousand confirmed cases of monkeypox across

the US. Officials state cases are concentrated among men who have had sex with other men, but because monkey pox is spread by skin to skin contact, Dr Alack Patel says anyone could catch it. Individuals were in an at risk community, will have come in contact with others who have symptoms of monkey pox. Are encouraged to go get a vaccine, but right now we're seeing long lines in order to get the vaccine. Dr Patel spoke to ABC. It comes as the New York City Health Department declared

monkeypox of public health emergency over the weekend. President Biden remains in isolation following his rebound with COVID nineteen after treatment with an anti viral drug. Dr Darien Sutton says, Pat Slovitt is still preventing severe disease and depths even

when there's a rebound case. Given that what we've seen and what we don't know in this pandemic and how this virus can change, especially in the setting of the omicron variant, I'd recommend that within the ten to even fourteen days of your diagnosis of COVID nineteen, you continue to wear that well fitting mass around others to decrease your risk of transmission. Dr Sutton spoke to ABC. We've

lost some greats. NBA legend Bill Russell has died at eighty eight, more in Sports Ahead, star Treck, actress Nachelle Nichols, who broke ground for blacks playing Lieutenant or Hera, has died at age eighty nine. And Pat Carroll, the voice of Ursula in the Disney classic The Little Mermaid, has noted at age. Global News twenty four hours a day on air and on Bloomberg Quicktake powered by more than journalist sinantalist more than twenty countries. Michael Barr and this

is Bloomberg name, all right, thank you, Michael. Just about six cent on Wall Street this time for the Bloomberg Sports Update with John and Nathan. Indeed, NBA legend Bill Russell dying peacefully yesterday in his whole at the age of eighty eight. You could argue where Russell ranks among the greatest players NBA history. He certainly in the conversation from a defensive standpoint, he may well have been the best.

As a rebounder. He averaged twenty three rebounds a game he once had fifty one and what is not up for debate because it was the greatest winner in NBA history. Russell won eleven championships with the Celtics, eight in a row. In the last two. He not only played, he was the head coach. He played in ten game sevens. He won all ten during his career and after Russell often a voice against racial and social injustice. Billy Jene King yesterday called him a once in a generation activist athlete.

Barack Obama statement yesterday read as tall as Russell stood, his legacy as a player in person rises higher. At stadium,

Yankees trail the Royals for nothing. That led six for after d J will Mayhu two run Homer and Anthony Rizzo three run Schapa with one out in the ninth, the three run homer by Kansas City Salvador Perez v. Clay Holmes, who had not given up a homer all year in the Royals at the Yanks eight to six in Miami season I nineteen hits for them, at three, eight for Jeff McNeil, Marc Kenna, Francisco Lindor a nine

to three route. So after a two game sweep of the Yankees, a three game sweep of the Marlins, the Mets manager A Buck show Walt, how hard it is to win three games in a row on the road and Swain Ballpark in the Major League. That's suppressives. Our guys came out without the top of the intensity you need to facing a Lopez. Uh, that's you know, he face you good pitching here from speaking, a good pitcher

in the Metro. Now in Washington with Max Sherz are on the mount tonight facing his old team, and then tomorrow the season debut of Jacob Grim John Stashal War Bloomberg Sports Nathan all Right, John, thank you. SMP future is now down eight point. Stout futures down twenty six. Nastack futures are lower by thirty one points. Ten your treasuries down fourth thirty seconds, the yield two point six six.

This is Bloomberg Bloomberg eleven three oh weather morning showers to give away to mostly cloudy skies today and ahn your eighty degrees will be back near ninety tomorrow with an afternoon shower thundershower possible sunny near ninety for Wednesday. Right now sixty nine in Central Park, broadcasting live from

the Bloomberg Interactive Broker Studio in New York. Bloomberg E living free to Washington, d C, Bloomberg ninety nine one to Boston, Bloomberg one O six one to San Francisco, Bloomberg n sixty to the Country Sirius XM H one nine tea, and around the globe to Bloomberg Business app and Bloomberg Radio dot Com. This is Bloomberg Daybreak six

thirty on Wall Street. Good morning, I'm Nathan Hagar and I'm Karen Moscow, and we are just about three hours away from the open of you West trading time for the five things that you need to know to start your day on See you by Interactive Brokers. Interactive Brokers Global Analysts helps you find new global investment opportunities today. Versify your portfolio and discover undervalued companies that may have

greater growth potential. Try i v k our Global Analysts today at i v k R dot com slash g A first. US future is lower this morning as we kick off a new month. Looking ahead to Friday's job support tobate continues on the health of the US economy. Regent Atlantic Capital Chief investment officer Andy Kappern says there are still returns to be had, focusing on companies that are good at generating free cash flow and have the

financial discipline to be able to deliver on it. But seven of the market that stands up the best here is divid impairs, and Andy Kapern with Region Atlantic Capital says he's not only sticking with quality stocks, but also value. Over the weekend, Karen we got more comments on FED policy.

Minneapolis President Neil cash Car. He said he's not worried about whether the US is in a technical recession, but we are committed to bringing inflation down and we're going to do what we need to do, and we're a long way away from achieving an economy that is back at two percent inflation. Neil cash Carry was a guest on CBS says the nation heard Sundays on Bloomberg Radio Meantime, Nathan, Two notable equity strategists say recession fears may camp further

gains in stocks and more. In this live report from Bloomberg's John Tucker, John and Karen You Know note two clients. This morning, Morgan Stanley's Mike Wilson warns the US economy could be headed for recession. He says risk reward is poor after the recent rally, and strategist of Goldman Sacks, including David Costan, say the rate of earnings beats is trailing the sixty two percent of average pace that was

set in the last five quarters. They suggest that stocks are not out of the woods yet, after posting their strongest months since November of twenty Live in New York, I'm John Tucker, Bloomberg Daybreak. Thanks John turning the big oil now looks like shale could be blossoming again after a decade of steep losses. Bloomberg's We Need Young joins us live with that. Good morning, Na, Good morning Nathan. Several shale companies are set to report earnings this week.

Estimates compiled by Bloomberg Show, the top twenty eight publicly traded US independent oil producers generated twenty five point five billion dollars in free cash flow in the second quarter. Compare that to the last ten to fifteen years, when the companies lost about fifteen billion dollars leading up to the COVID nineteen pandemic. Live in New York. I'm gonna need a young Bloomberg day break. All right, we need to thank you. That's the five things that you need

to notice start your day. Brought to you by Interactive Brokers. And again, futures are moving lower this morning, and as straight ahead your latest local headlines plus the check of sports, and this is Bloomberg. Thanks Scaring six thirty free on Wall Street. Rain in sixty nine degrees in Central Park. Still got the closure in Warren Township westbound seventy eight between exits thirty six and thirty three. Details coming up in traffic. First, Michael Barr with what else is going

on in New York and around the world. Michael, good morning, Good morning, Nathan drivers, slow your role. In New York City. About two thousand speed cameras are now operating twenty four hours a day, seven days a week across the city and he want to run up speeding by the camera, can expect a fifty dollar ticket in the mail. Until now, the cameras were only running between six am and ten pm. However, experts say more than half of traffic depths happen overnight.

Rescue crews continued to dig through piles of debris from deadly flooding last week in Kentucky. At least twenty eight people are now dead. Kentucky Governor Andy Basher warns they expect to find more bodies in the weeks ahead. Every day, every week, every month, and every year it takes to rebuild. We are committed to the people of eastern Kentucky. Governor Basher says search dogs are being used. No public events on President Biden's schedule today. He remains in isolation following

his rebound with COVID nineteen. After treatment with an anti viral drug. Medical experts say pax Lovit is still preventing severe disease and depths even when there's a rebound case. Dr Derry and Sutton. The theory is that dead Merston replicates and causes re down symptoms, as we saw over the weekend. As reported by the case of the President. Sometimes it doesn't involve symptoms at all. Sometimes it's just

simply a positive test, which is what we saw. Dr Sutton spoke to ABC in Washington today and judge can hand down the longest prison term so far. In the January six Capitol riot case, prosecutor said Guy Reffit of Texas carried a gun on his waist while confronting police had the Capitol. His own son testified against him. Prosecutors

are seeking fifteen years in prison. The very lucky winner of Friday's Meganillion's drawing as yet to claim the one point thirty four billion dollar prize, the third largest jackpot in US history. The winning tickets sold at a speedway gas station in Illinois, near Chicago. Once the winner does come forward, financial expert Carter Codfield recommends saving some of the cash for tax payments. On average, of people that win the lattery are broke within the threes of five years.

Se of people are broke with the three D five years, and those people say, if the life is actually worse at the one in the latter reach. Financial expert Carter Goldfield Global News twenty four hours a day on air and on Bloomberg Quick Take powered by more than hundred journalists and analysts more than a hundred twenty countries. Michael Barr, this is Bloomberg, Nathan, Thank you, Michael. Almost six thirty six. On Wall Street, John stash Our has the Bloomberg Sports

Update Nights. Nathan Bill Russell, of course, NBA legend, Boston sports Icon. He passed away yesterday at the age of eighty eight. Russell arrived in Boston in ninety six immediately began leading the Celtics to NBA championships. By the time he was finished, he had more championship rings than fingers.

Don't wear them on eleven and all. This came after two n C Double A Championships at the University of San Francisco, where he once won fifty five games in a row, also to California high school state titles and an Olympic gold medal. In arguably the greatest winner in team sports history. But as NBA Commissioner Adam Silver said, Russell stood for something more than sports. He was a

tireless activist against racial and social injustice. At the stadium, Yankees trail the Royals for nothing, then led six to four e j the Mayo who to run homer? Anthony Rizzo a three run shot is twenty five. Kansas City got a run in the eightheity no. Rob Marinaccio had been unhitable against. And then with one out in the ninth, Schwing had a drive to center field and that ball is gonna be carrying and it is out of here. Home run Salvador Perez. He puts the Royals in the

lead in the top of the night. How about that we run homer case csp. They called the homer the first that Clay Holmes had allowed this season. The Yanks had been six and up against the Royals K six. Yankees host Seattle tonight. The Mets are in Washington. Max Jerser goes tonight and Jacob to Graham tomorrow. Mets have won six and row beat the Marlins nine to three for the nineteen hit attacked. The remain three games ahead of Atlanta on the PG eight Tour. Second straight win

for Tony Finelle in Detroit. He's at under par in New Jersey to Live Tour winner and rixtensive Bloomberg Sports Thank you John six thirty seven on Wall Street. Time to take a look at stocks, some of the names moving in the pre market and apparently the box office with Bloomberg Radio and TV markets correspondent Crety GOOFDA based on what's on your early morning list. Good morning Creaty, Good morning Nathan. Let's start off with the question, have you seen the DC League of super Pets? I don't

know what the DC League of super Pets is? You know, I didn't either until I looked at Warner Brothers Discovery stock w b D of one percent. Don't worry, it all comes full circle. It wasn't a random question. This is a movie. It's an animated family film from Warner Brothers. It did top a weaker North American box office this weekend, twenty three million dollars in its opening weekend across four thousand domestic cinemas. This is huge for Warner Brothers. Is

this looks like it got quite a bit. And of course, as we know, we've talked about this a MC a lot when they have a big movie release, for example Spider Man No Way Home and you saw AMC stock rally. It's a similar story here with Warner Brothers at Discovery. So nevertheless, del you b D is one of your pre market movers up here up about one percent this morning, Nathan. Alright, so it's a movie, I guess, is what we're from that all right? So what else is high flying this morning?

High flying? What a clever, clever word play. Boeing is the one we're gonna look at next. But b A is your ticker. The shares are up at this four percent and the climbing. So some good news, you know, it's usually not something you see from Boeing shares that they have been under quite a lot of pressure lately. Two bits of good news here. The first part they have averted for a few days at least in August first strike by twenty five hundred machinists that would have

crippled it's St. Louis area fighter jet plans. Use regulars had to prove the plan to inspect and repair these tiny structural flaws in Bowing seven seven dreamliners. That's the second part of the good news. That's a major milestone towards resuming deliveries that really haven't gone anywhere since late So bonus number one is that August first strike it

looks like it is delayed. And the bonus number two is that those U s regulators did approve the plans to inspect a little bit of regulatory help from there as well. Nevertheless, be a is your Taker up about four percent this morning, and also keep in mind that those deliveries are really important when it comes to bowing kind of building back up their backlog. Remember, they've had a lot of tensions with this kind of covid era, so to have those shares higher is once again a

very big deal. Nathan, I'm gonna end here with some crypto as we all love to talk about it. You do have a Bitcoin dropping under pressure once again, probably in line with on the risk sentiment you're seeing in stocks that are you commodities as well, but as taking with it down. Some of these crypto stocks ride blockchain, for example, the minor r IoT down three point seven. He also had the likes of coin based c o I n is Your Taker down one percent, Nathan, that's

something you're seeing across the crypto complex this morning. All right, Bloomberg Radio and TV Markets correspondent pretty gooped up with us as we get ready to kick off a new trading month, or watching futures move a touch lower. We have SMP futures right now down eight points down, Futures down, that's the will changed. Nasdaq futures down thirty points to

drop about a quarter of one percent. Ten. Your treasury is down to thirty seconds, the yield two point six five and the yield on the two year right now two point eight nine percent. You're listening to Bloomberg Daybreak Bloomberg eleventh three Weather. We're expecting mostly cloudy afternoon with a high near eighty, but we'll be back near nine tomorrow with a risk crafting new showers, thundershowers, sunny near ninety for Wednesday. Right now sixty nine in Central Park markets.

Headlines and breaking news twenty four hours a day at Bloomberg dot Com, the Bloomberg Business and at Bloomberg Quicktake. This is a Bloomberg Business lash. Hey, good morning, I'm kared Moscow futures are lower this morning. We go to the first word breaking news, dask for today's morning and call, and here's Tatiana darry A, Tatiana, good morning, Good morning, Karen.

Like you said, Futures in the red today, with Dove futures off by twenty eight points, their SMPS down nine and nas Jack down thirty three days tenure yield up about a basis point to two spot sixty six percent, Oil is down to and Bitcoin is lower for a second session. On the economic front, today, the final reading for S and P Global Manufacturing p m A and

July's I SAM Manufacturing at ten in early trading. Warner Brothers up one percent after its new movies Super Pets, topped the box office this weekend, and Boeing is up three after regulators approved some tweaks to its seven eighties seven Dreamliner and the company managed to avoid a strike. Today. Regarding earnings, diagnostics provider Perking Elmer boosted as guidance beating

estimates and wrapping things up. Target was raised to overweight at Wells Fargo, and the startup price was boosted at Jeffreys Live from the First Breaking News Desk. I'm Tatiana Daria Karen alright, Danna, thank you, and here live breaking news over a Bloomberg catch squawk on your terminal squ a w K and that's a Bloomberg business flash. Now here's Michael Barr with more on what's going on around

the world. Michael, Karen, thank you very much. How Speaker Nancy Pelosi is in Singapore, kicking off er Asian tour, has questions swirled over a possible stop in Taiwan that has fueled tension with Beijing. Foreign Ministry spokespersons said Pelosi will call on Singapore's President and Prime Minister. Bill Russell, who was the cornerstone of the Boston Celtics basketball dynasty in the nineteen fifties and sixties, has died. He was eight and Rick Senson won the controversial Saudi Back Lived

Golf's Bedminster Invitational at former President Trump's golf course. In baseball, the Yankees lost to the Royals eight six. The Mets won their sixth right, beating the Marlins nine three. The Red Sox down the Brewers. The Cardinals shut out the Nationals five zip. The Reds beat the Orioles, the White Sox beat the A's, the Giants on the Cups. Global News twenty four hours a day on air and on Bloomberg Quick Tank, powered by more than seven under journalist

and analysts more than twenty countries. I'm Michael bar this is Bloomberg Careing. Alright, Michael, thank you. At A sixty nine on Wall Street returned to news and Science and Technology Now with the Bloomberg n j I T STEM Report. It is brought to you by New Jersey Institute of Technology, ranked top fifty national public university by US News and World Report, and top ten in the nation for engineering by Money dot Com. Learn more at n j I T dot E d U and Here's just making news

in science, Technology, engineering and math. Tesla has signed new long term deals with two of its existing Chinese battery materials suppliers, the latest move by automakers to secure supplies amid intensifying competition. The deals are for chemical cocktails that are key to storing energy and lithium ion batteries. And Indonesia has tasked its state telecom conglomerate pt Telecom with creating a metaverse to promote local firms that compete with

foreign services. It launched Medanesia, a virtual world meant to help Southeast Asia's the largest economy, adapted the fast changing online landscape. It's the nation's the latest effort to take

back control of the Internet from Google and Facebook. And remnants of a massive Chinese rocket fell back to Earth over the Indian Ocean on Saturday, leading US space officials to again criticize China's lack of information sharing about its boosters reentering the atmosphere, and as the Bloomberg and j I t Stem report Nathan, all right, Karen, thank you. We are live from the Bloomberg Interactive Broker Studios, where

it's six fifty on Wall Street and ounce. Time to check what's going on in d C. Where Democratic Senator Joe Manchin made the rounds on every Sunday political show to pitch his tax and energy deal with Majority leader Chuck Schumer. If I had a chance to fix the energy policy of the United States of America and I didn't do it, shame on me. If I had the chance to reduce the amount of inflation in people in West Virginia and across the country or enduring right now,

shame on me. That was Senator Mansion on CBSS Face the Nation, But a Wharton School analysis suggests the bill would have little impact on inflation. Mentioned tells Fox News Sunday, he respectfully disagrees. We paid down three hundred billion dollars of taxes and to debt reduction. Okay, three hundred We've never done that. In twenty five years. We basically have taken two billion dollars in savings that reduced the drug prices for Americans across the board, and asked whether Democrat

Kirsten Cinemas on board. Mansion told ABC's This Week, she has an awful lot in this piece of legislation, the way it's been designed, as far as the reduction of Medicare, letting Medicare go ahead and negotiate for lower drug prices, She's very involved in that. Also making news, roadblocks in the Senate over a bill that would expand benefits for war veterans exposed to toxic burn pits. Republicans pulled their

support over what they say is a budgetary gimmick. Comedian John Stewart advocated for the bill on NBC's Meet the Press. The bill that Ted Cruise voted yes had the exact same funding provisions as the bill he voted no. It's the exact same bill. None of this makes any sense. Meet the Press this Week, Fox News Sunday, and Face the Nation can all be heard every Sunday right here on Bloomberg Radio. And now we're joined by Bloomberg Government

reporter Emily Wilkins. After Senator Mansion made the rounds on the Show's Emily what's next for the Inflation Reduction bill? So I think what everyone is now all eyes are on Kirsten Sema and Manson's comments really hit home the fact that she has not yet decided. Her office said that she's still looking at the bill, that she's not going to be able to make any sort of call on what she will or will not support until this week at the earliest. And this could really mean, I mean,

this is the thing, Nathan. I mean, we've all talked about, you know, President Joe Mansion moved about that, but really in this Senate, it's anyone who could wind up sinking a piece of legislation. And certainly we could see Kristen's completely and democratic hopes of getting anything in this package done. If she decides that she's not going to be able to vote for it and there's not able to compromise, well, what's the indication on where Senator Cinema could land on this?

Where has she stood when it comes to the kinds of tax provisions that are in this bill, the closing of loopholes, right, So, I mean that's sort of always been her big concern, and that's where we saw that she had concerns previously. There's that carried the interest tax break. It does tend to benefit hedge funds a lot of Wall Street folks, and in the past she has been opposed to closing that loophole. Um and so that's something

that is currently in the bill. It's something that Mansion has said that he wants in the bill because it does help raise revenue UM And we don't yet know where Senator Cinema stands on this. Mansion uh noted on the TV shows the Sunday that there are lot of things in this bill that would help out her and help out her constituents, I particularly when you look at Medicare,

when you look at lowering drug pricing UM. But at this point, I think it really just is a giant question mark exactly how she's going to come down on this. Are there question marks as well, Emily about whether every provision that's in this bill is going to stand muster with the Senate Parliamentary and that everything is going to be able to pass with just fifty votes from the Democrats. There are definitely, I mean, with the parliamentary and you

never quite know. I think for this one, there were certainly some provisions that raise a lot of question marks, and you know, people are like, well, I'm not sure that that's actually going to go through. I'm thinking of some of the immigration provisions they initially tried. But I think this time around, a lot of the stuff that

they're proposing it does have that clear budgetary impact. Um. It was a lot of this stuff was kind of clearing hurdles the last time around that we were looking at a major spending package, and so I think there's

a lot of confidences that stuff will go through. But of course, you know, things it written differently on the parliamentarian does have the final say, and speaking of things getting written differently, I guess that's part of what happened with this burn pit bill that looked like it was going to sail through the Senate now has run into some issues. Can you tell us more about that. Yeah, So there are two kinds of different things going on

with this bill. Number one, there are some Republicans who are concerned about the language um because it does create an additional four hundred billion dollars in discretionary spending that's not related to veterans, and Republicans say they have a problem with that. That's in Nathan eighty four senators total.

So a number of Republicans voted for this bill just a couple of weeks ago, and then a number of senators changed their mind, not because of anything within the bill specifically, but because um Democrats announced that they were moving forward with their reconciliation plan, and that's certainly something Republicans did not want to see happening. At one point, Senator Mitch McConnell was leveraging his this republic plicant support of the Chips Bill, and it was very interesting timing.

You saw, you know, McConnell back off say, okay, Republicans will help Democrats with Chips because it doesn't seem like you're going to get a reconciliation package. The Chips Bill passes the Senate, and then just a few hours later, Schumer and Anson are like, actually, we do have a deal on reconciliation. And then so this vote took place shortly after Sure says he's gonna be bringing it back

to the floor. We're going to see an amendment being offered to address some of that of four hundred billion in discretionaries spending, and the bill is expecting to pass this week when it comes back to the floor. You've actually had a group of veterans that have camped out on the Senate steps, failing to stay there in protests until this bill addressing burn pits passes just thirty seconds left. Emily,

I know you're watching Speaker Pelosi's trip through Asia. Do we have any further indication on whether she is planning to go to Taiwan? So we did report last week that Speaker Pelosi was planning to go to Taiwan. We've now seen similar are reporting from a number of other outlets saying that she's planned on going there, But at this point her trip of Tenerary does not include any specific mention of Taiwan. Of course, the Speaker has emphasized that she does not talk about trips before she goes

on them because of security and safety concerns. Certainly those concerns must be heightened for something like Taiwan, where there has where Beijing has promised a strong and immediate retribution should she go. Thanks, Emily, always good to have you with us. Bloomberg Government reporter Emily Wilkins with us from the nation's capital. SMP Future is now down nine points down futures down twenty four Nasdaq futures lower by twenty

seven points. Bloomberg Surveillance is next, with Tom Keene, Jonathan Farrell, and Lisa Abramowitz for Karen Moscow. I'm Nathan Hagar, and this is Bloomberg