Bloomberg Daybreak: August 17, 2022 - Hour 2 (Radio)

New York City schools abandoned, COVID health screenings and PCR test Plus Rudy Julian able to testified today before grand jury and Georgia. I'm Michael blomen More ahead, I'm John Stage and sports. The Yankees slump, continue the Bats again quiet the home loss to Tampa Bay, and the Mets

got shut out in Atlanta. That's all's training. Head on Bloomberg Daybreak on Bloomberg eleven three on New York, Bloomberg one, Washington, d C, Bloomberg one oh six one, Boston, Bloomberg nine sixties and Francisco Syrius Exam one nineteen and around the world down Bloomberg Radio dot Com and via the Bloomberg Business app Good morning, I'm John Tucker and I'm Karen Moscow and US Dock index features are lower this morning.

We are coming up to six o one on Wall Street, and we checked the markets every fifteen minutes throughout the trading day. On Bloomberg Guess and P futures down twenty three points down, futures down a D twenty five and nasdack futures down nat each two. The decks in Germany's down seven tenths of upper cent, the ten year treasury down eighteen thirty seconds, held two point eight six percent, and a yield on the two year three point to eight percent. John, We're gonna have more of the markets

in a moment, but first we begin with politics. Republican Representative Liz Cheney has lost your primary in Wyoming, while former Alaska Governor Sarah Palin staging political comeback, and Bloomberg saymy Morris has details from our newsroom. In Washington, Chaney lost to lawyer Harriet Hagerman, who had been backed by Donald Trump. Chaney voted to impeach Trump and its co chair of the House elect Committee investigating the January sixth insurrection.

She warned her supporters about the future of the Republican Party and the country. If we do not condemn the conspiracies and the lies, if we do not hold those responsible to accounts, we will be excusing this conduct, and it will become a feature of all elections. America will never be the same. In Alaska, party primaries were replaced with open primaries. The top four vote getters in each

race advances to the general election in November. Sarah Palin was among the candidates to advance in the House race. Senator Lisa Murkowski and challenger Kelly Shabaka earned two of the slots in the Senate race. Results are still being tabulated to determine the final two slots. In Washington, I'm maybe Morris Bloomberg daybreak. All right, Amy, thank you, but I'm sticking with politics. President Biden has signed the Inflation

Reduction Act into law. He's handling the landmark bill addressing tax, climate, and health policy. I'm keeping my campaign commitment no one. Let me emphasize, no one earning lesson four hundred thousand dollars a year will pay a penny more in federal tax. President Biden signed the law with no GOP support from both chambers of Congress. Republican Congressman Adrian Smith and Nebraska discussed the bill's impact on the deficit a lady yesterday

on Bloomberg Radio. It's important that the President understand we cannot just continue without making any changes whatsoever, continue in the direction of this spending that I think has been very problematic. The America people expect us to get that under control. Nebraska Republican Congressman Adrian Smith made the comments on Bloomberg's Sound on Catch the Program weekdays at five pm Eastern on Bloomberg Radio and the markets Now Karen,

where the SMP five hunter posted a small game. Yesterday, earnings from Walmart and Home Depot boosted sentiment. Today, We're gonna be watching minutes from the Federal Reserve, which will task bets on a pivot towards slower rate highs and let's get more, from Bloomberg's Michael McKee. After two moves of three quarters percent, the size of the feds next grade increases. In open question, investors may find some clue

is in the minutes of their last meeting. Those minutes likely won't settle the question, but they could indicate what kind of data officials would need to see to favor another unusually large increase, with Chairman J. Powell expected to speak of the Kansas City FEDS Jackson Whole Conference a week from Friday. Any post minutes market move maybe short lived. Michael McKee, Bloomberg, Gabrie, all right, Mike, thank you. All those minutes come around two pm, all street time. But

this morning it's all about the consumer. We get data on US retail sales for July at eight thirty. MasterCard Advisor chief economist Michelle Meyer expects another game. The surveys have shown that consumers are worried. They're trying to plan ahead, They're trying to think about how to navigate this economic environment. But in the interim, they are still outspending. Michelle Meyer

and MasterCard Advisors remains bullish on US spending. Economist predicted gain of just one tenth of a percent for July retail sales. Stay tuned for complete coverage and analysis of the data coming up on Bloomberg Surveillance and when it comes to earnings, Also about retail today, Bloomberg Jeff Ballinger reports Target will deliver its earnings this morning. Target made a strategic decision to rapidly liquidate much of its success inventory.

The second quarter results will indicate whether that was a good move and whether further mark downs are needed. Bloomberg Intelligence as Target may have continued to outpace its peers when it comes to store traffic. The chain has sought to be surgical and raising prices to protect the perception of value and maintain customer loyalty. B I says that may also have weighed on gross margin. Jeff Bullinger, Bloomberg

Day Break, All right, thanks Jeff. At a day after Home Depot beat estimates, were expected to get earnings from home improvement retailer Lows today and those earnings just crossing the Bloomberg. John Lowes reporting second quarter adjusted profit that beat analysts estimates again just crossing the Bloomberg. We turned to commodities now. Oil continues to drop as Trader's way the prospects of a few key geopolitical factors right now, West Texas crewede is higher up half percent or forty

seven cents at eighty seven dollars of barrel plumbers. You need a young joins us live at the story. We need a good morning. Good morning, Karen w. T I future has dropped more than three percent yesterday, closing below eighty seven dollars of barrel. They're also lowered this morning as talks between Iran and the European Union signal progress toward a renewed nuclear deal that could open the door

to crude shipments from the Islamic Republic. A Wanda market analysis says the potential for a deal creates a two way risk for the price of oil, but the primary driver of the current weakness is the threat of a global recession at coronavirus lockdowns in China. Live in New York,

I'm gonna need a Young Bloomberg daybreak thanks. In the UK today, data show inflation accelerating yet again, consumer prices rising by double digits in July at an annual phase of ten point one percent, and Bloomberus Leslie Burden of London says rising food prices now adding to the squeeze on UK consumers. Food is actually the biggest contribute to which means that the poorest households again to be hit the hardest, but it's also broad face recreation culture with

the next biggest contributors. And not worrying for the Bank of England because it indicates that this is going to last longer. Bloomberg's Lizzie Burden says traders are now ramping up bets that the Bank of England will raise rates by fifty basis points at their meeting in September. You're listening to Bloomberg Daybreak, and that brings us to six oh seven on Wall Street and time to find out what else is going on in New York and around

the world. Good morning, Michael Barr, Good morning. John. Rudy Giuliani is scheduled to appear today and the Atlanta Courthouse to testify before a special grand jury and an investigation into possible illegal attempts to influence the twenty one the election in Georgia. The former New York mayor and attorney for former President Donald Trump is the target of the investigation.

Any questioning will take place behind closed doors. Nonprofits and New York City social services say they've been stretched thin trying to account Mandy asylum seekers and migrants who often are bussed in unannounced and in unknown numbers from Texas and Arizona. Catholic Charities executives say they're working with families to provide essentials and more Cardinal Timothy Dolan at Dawns and me. These just aren't cases. These just aren't uh,

these just aren't problems. These just aren't statistics. These are not just refugees and asylum seekers in the plural. These are people with names, Cardinal Dolan as New York City officials estimate around twenty eight hundred migrants have been transported recently into the city from border towns. The New York City Department of Education is relaxing COVID nineteen protocols for students and staff ahead of the start of the new

school year. According to the guidelines, the district will no longer require daily health screenings to enter school buildings, nor will it conduct in school PCR surveillance testing. Iranian officials have confirmed that they have submitted a written response to the latest EU draft to revive the nuclear deal, Bloomberg said. Baxter reports the US is watching closely. Bloomberg sources are saying that it may ask for a couple of adjustments in the pact, to which the US State Department spokesman

that Price says, there is a red line. We are committed. President Biden has made a solemn commitment that Iran will never obtain a nuclear weapon that in its own right is something that UM redounds to our national security, but price as the US will go through the response with hopes of a deal in San Francisco. I'm at Baxter, Bloomberg Day Bright opening statements are scheduled to begin today and the latest federal trial for singer R. Kelly and Chicago.

He is accused of enticing miners for sex, producing child porn, and fixing his two thousand eight state child porn trial at which he was acquitted. Global tams twenty four hours a day on air and on Bloomberg Quicktake, powered by more than seven hundred journalists and analysts more than trees. I'm Michael Barr. This is Bloomberg, John, Michael, thank you, and that brings us to six ten off Wall Street time down for the Bloomberg Sports Update. Here's thanks, John.

Test start to the week for New York baseball. The night after the Yankees and Mets lost games by combined seven team to one, they lost by a combined eight to one, and for the Yankees, the tailspin continues. Eleven losses in the last thirteen games. Going further back, just eleven wins in thirty three games, are short of losing a fifth consecutive series. Aaron Boone's team beat by Tampa Bay three to one. You can't let the frustration get in your way of of you know, preparing and you know,

getting ready to go every night. You know, we've got a few guys that are in a rut. We gotta we gotta prepare and get ready and fight our way out of it. You know, it's part of it. And uh, you know it's no fun when you're going through it. But that's where we are right now. Have scored just one run over the last three games on the Mets and two games in Atlanta only one run, shutout by Charlie Morton and the Braves five to nothing, Atlanta's eighth win in a row since losing four or five to

the Mets at City Field. That Met Division lead over the Braises down to three and a half. The good news of the Mets Max Schers at pitches tonight, Jacob to Graham tomorrow. Good news for the Jet Zach Wilson's knee surgery went well, No additional damage was found. It's still likely that Wilson will miss the season opener, which would meet veteran Joe Flacco would face his old team of Baltimore Ravens and the Giants preseason opener. They're veteran

backup few beat Tyrod Taylor look good. Coach Brian Dabele said, Taylor, we'll get some reps with the first team. He downplayed any significance to that. He insisted Daniel Jones as the starter. The Athletic reports trade tops are again heating up between the Nicks and Utah Jazz for a deal that would bring all star Donovan Mitchell to New York. John stash

Award Bloomberg Sports. John John thanks a lot of hit of the camp show called Wall Street Futures right now in the red, the down futures down one hundred thirty four points, that's the declined about four tensi or per cent SMP IMMNI futures twenty five points slower, and the Nastic futures are down nine points. This is Bloomberg day Break and just ahead on Bloomberg, UK inflation hits double

digits for the first time in forty years. We'll break it down with Marcus Afsworth the Bloomberg Opinion Columness for the UK markets headlines and breaking news twenty four hours a day at Bloomberg dot com, the Bloomberg Business Out and at Bloomberg Quicktape's a Bloomberg Business Flash. And I'm Karen Mostown watching shares the loads this morning. They're on the rise there, up more than three at early trading. The homemt proom in retailer reported second quarter profit that

beat analysts estimates. Still comps sales in the quarter missed. Futures this morning are lower as concerns over the Federal Reserve's aggressive rate high path outweighs robust corporate earnings and Shina's stimulus plants, and we check them mark. It's every fifteen minutes throughout the trading day on Bloomberg. Right now, S and P futures are done about twenty five points and DOWN futures are down one thirty two and NASDEG futures down a hundred. The tenure Treasury is down seventeen

thirty seconds, held two point eight six percent. They yield on the two year three point to nine percent. NIMEX screwed oil is up more than one percent. It's up ninety two cents at eighty seven dollars forty five cents of barrel comes. Gold is down about a tenth of a percent on a dollar thirty as seventeen eighty eight

forty announced. The euro is at one point o one seven seven against the dollar, British found one point two zero nine nine, and the en mon thirty four point h u and looking at it bitcoin, it's down about one percent at twenty three thousand, seven hundred fifty dollars. 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. Wyoming Representative List Cheney, donald Trump's fierce is a Republican adversary in Congress, has been defeated in a GOP primary. She fell tuesday to Harry and Hagaman arrival, backed by the former president, sixty six percent to twe President Joe Biden signed a sweeping tax, climate, and healthcare measure into law. The measure, known as the Inflation Reduction Act, would also cap and lower the price

in medicines for seniors. In baseball, the Yankees and Mets lost, the Red Sox and Orioles won, The Nationals lost, the A's and Giants won. Global News twenty four hours a day on here and on Bloomberg Quick Take, powered by more than twenty seven hundred journalists analysts in more than a hundred twenty countries. How Michael bar this is Bloomberg, Michael, thank you, six twenty out Wall Street. We are lying for the Bloomberg Interact, a broker's studios. This is Bloomberg

day Break. Inflation in the UK accelerated more than expended last month to the highest and forty years. Let's take a deeper dive this morning, joining us, I'm happy to say, Bloomberg opinion columnist Marcus Ashworth. And before we die even into the data, the policy implications, what's the impact of all this on just the the average Joe there in the UK. Well, the average show is is waking up

a bit to the realization we've got double dishc inflation. Um. I think it's shocked funny after sterling money markets and the bond markets more than perhaps the mount on the street. Actually, um, everyone got a bit complacent. We've seen a better than expected US inflation last week and sort of thought somehow

the same would have happened over here. It made you, in fact, next month it's certainly go to because finally we've got petrol or gasting prices falling a long last, but it wasn't where did July and all of food prices and we've got a worse than expected number and it's completely taken markets by surprise, and I think everyone's now expecting instead of twenty five basis points for the Bank of England said to have a ten for the

meetnext but it will be fifty basis points. So we're gonna have to catch up a bit with you guys the fence. You know, it started four months up later in the Bank of England, but you've accelerated, Pastors, and we're we're living as an in your wake. Okay, So rate differentials really do matter, especially with foreign exchange. So what's the impact on sterling? Where does that go and

how does that complicated things. It's not really Sterling that's moved because it just you know, it's being kept up just about by expectations are slightly higher rate hike. Sterling is still just wafting around in the wake of what King Dollar wants to do. A bit like the euro is that it's all about the dollar in FX terms.

The stock market isn't that fast, Dieter big. But the point is is that money markets got this wrong, badly wrong, and had been expecting, for some reason, a much better number. Uh in fact, expecting it to beat expectations, because it was much worse expectations by an extra three tents. And that's called everyone out today. So it's a it's a violent market in a short end money market rates for sure in Okay today. Does this underscore policy errors or one?

I mean, what's what's behind it? Yeah, it's policy is Actually for one time, I'm probably the bank having recently I've been right to call this out. I think the market hasn't taken them as seriously. Perhaps it might have been because the bank aving struct record has been so poor this time around, the Bank having and we're right to forecasts more aggressively perhaps than other people. Their forecast was also wrong, but less wrong than perhaps the markets was.

Um So, yeah, well everyone's a bit of said this array here. I mean it's it's I said it's it's going to be bad for in October, much worse in October. We think it's gonna go up to over because we have this energy price cap lifting. Um So we might get a couple of better numbers next in August and September, but we know for sure it's gonna get worse again in October. But market said policy isn't going to address that, right, Well, I thought, what else can they do. They've left it

too late, and they're gonna have to do something. They're gonna have to get rates up there at one point seven five percent, they're going to get them up to two and a quarter, probably two and three quarters by the end of the year at least, and then by that stage, as I said, the fourth quarter going into the next one next year, the banging is predicting a recession or start of recession, and that's um at the moment.

We're already bumbling around around zero growth anyway, so you know it's going to push the market uh into the economy into recession. And yeah, they'll have to they'll have to be careful how much they start hiking into st rates then, so better get it done now. But it's not a great UH forecast, is it to keep on hiking to try and get rid of inflation, but at the same time pushing economy into into decline. Yeah, you've got where's you say recession looming, possibly double digit and

what's the next locust. No, we had locus. We we've had a drought as a lot of Europe has um. Yeah, it's it's that the travel is is that the UK is no different position really than the US or Europe in certain ways. It's got slightly better economy perhaps fundament clean in Europe. But inflation is certainly pretty perky here. But we've got great balance sheets in corporate and households and and the banks. That's the savings, that's the good news.

But the point is we were tightening fiscal policy up to very recently. We're having this battle for to become the next prime minister. Almost certainly we're going to get a fiscal spend, a spurge, but it's probably will be not enough and certainly too late. Always a pleasure appreciative mark will end on a positive note there, Bloomberg Opinion.

Gollumnus Marcus Ashworth and ahead of the cash open on Wall Street, and well, let me give you a pound quill right here at one, right now, so that's relatively unchanged. That's that's cable compared to the dollar down future is right now one hundred fifty point slower. SMP evening futures they're down twenty seven points right now, and the Nasdaq

futures one hundred eight points lower. And you're listening the Bloomberg day Break and the Bloomberg Weather for it today partial sun, developing, chance of an isolated shower this morning to night clear a loose sixty seven to Mars outlet

partly mostly Sundays. You're topping out in the mid eighties, broadcasting y from the Bloomberg Interactive Broker Studio in New York, Bloomberg E loving freon to Washington, d C, Bloomberg ninety one to Boston, Bloomberg one O six one to San Francisco, Bloomberg sixty to the country Sirius XM Chado one nine t and around the globe the Bloomberg Business and Bloomberg Radio dot Com. This is Bloomberg Daybreak. It's six thirty on Wall Street. Good morning. I'm John Tucker and I'm

Karen Moscow. We are just about three hours away from the open of US trading. It's time for the five things that you need to notice start your day, wrote you by Interactive Brokers. Interactive Brokers Global Analysts helps you find a global investment opportunities to diversify your portfolio and discover undervalued companies that may have greater growth potential. Try i v k our Global Analysts today at ibk R

dot com. Slash g A first Republican representative, as Cheney lost her primary in Wyoming to Harriet Hageman, who was backed by former President Trump. Cheney says Trump still fanning the flames of violence. Our nation is barreling once again towards crisis, lawlessness, and violence. Let's Chaney, who co chairs the House of January six committee, warned stolen election of rhetoric could become normalized if former President Trump is not

held accountable. In Alaska, the former governor Sarah pale in advance to the general election of November for the state's open house seat, and Alanska Senator Lisa Murkowski and Trump Act challenger Kelly Shabaka earned two of the slots in the Senate race, with the results still being tabulated to determine the final two slots. Marcus john where the SNP

five hardard posted a small game yesterday. Today Market shill watch minutes from the Fed do out at around two pm All Street time and July retail sales data which is out at eight thirty, and markets also going to react at earnings today from lows and target lows are just reporting results adjusted earnings per share for the second quarter, beating the average analyst estimate. The commodities now, John Oil's slide continues as traders way the prospects of a few

key geo political factors. Right now, West Texas crewed is higher, up seven tenths per cent or sixty cents at eighty seven dollars fourteen cents a barrel, and bloombars We need young joins us live with that story readied a good morning, Good morning Kareen w t I Future has dropped more than three percent yesterday, closing below eighty seven dollars of barrel, and talks between the Iran and the European Union signal progress toward a renewed nuclear deal that could open the

door to crude shipments from the Islamic Republic. A Wanda market analysis says the potential for a deal creates a two way risk for the price of oil, but the primary driver of the current week this is the threat of a global recession. At coronavirus lockdowns in China, live

in New York. I'm Nita Young Bloomberg Day Break, all right, Rendy to thank you, and we are watching shares of Target AD just reported earning second quarter profit, missing analysts estimates, coming in at thirty nine cents a share analysts who are looking for seventy two cents, and shares falling down about four percent in early trading. Right now. Comp sales looks like they also missed analysts estimates as well. Straight, I had your latest local headlines, plus a check of sports,

and this is Bloomberg. Thanks six three on All Street. Time to bring in Michael Barne. Now I'll tell us what else is going on in New York ended around the world, John, thank you very much. Rudy Giuliani, former President Trump's personal attorney, is scheduled to testified today and the possible criminal activity surrounding those who tried to overturn the twenty Georgia election results. The former New York mayor is now all the target of an investigation my Georgia prosecutors.

Juliani has pushed back on the investigation and has claimed without evidence that Atlanta is a city known for corruption, with New York City officials estimating around twenty hundred asylum seekers and migrants have been bust into the city from border towns along Texas and Arizona. Nonprofits and city social services say they've been stretched then trying to accommodate the newcomers.

Catholic charities say they are working with the families to provide services like scholarships for local schools for families, gift cards for food and other essentials, and more. Cardinal Timothy Dolan. Our perspective is not the political. Our perspective is not how did we get in this mess. Our perspective uh is simply to help them, to reach out to them,

Cardinal Timothy Dolan. Donald Trump's lawyer asked a federal appeals court to block New York's investigation into potentially fraudulent asset valuations at his real estate company. Trump's attorney says the investigation by New York Attorney General Letitia James is a rashing and overreaching Iranian officials confirmed this week that they have submitted their written response to the latest EU draft to revive the nuclear accord. State Department spokesman Dead Price.

We are committed President Biden has made a solemn commitment that Iran will never obtain a nuclear weapon that, in its own right is something that um redounds to our national security. State Department spokesman Ned Price. The Saudi Back Live Golf League would be banned from New Jersey clubs under a bill introduced by two Democratic state Senators Andrew's Wicker and Richard Cody. Live tournament at Donald Trump's Bedminster golf Club last month drew protests from survivors and families

of nine eleven victims. The New York City Department of Education is relaxing COVID nineteen protocols for students and staff ahead of the start of the new school year. According to the guideline, the district will no longer require daily health screenings to enter school buildings, nor will it conduct in school PCR surveillance testing. Global needs twenty four hours a day on here and on Bloomberg Quick Tank, powered by more than twenty seven under journalist and analyist more

than a hundred twenty countries. Michael bar this is Bloomberg, John, Michael, thank you. It's now six thirty six on Wall Street. That's time for the Bloomberg Sports Upday Morning John, Stash Morning John. The Mets went down to Atlanta, flying high, winners of seventeen of their last twenty games. They have come back to earth as the Braves have won twice

by a combined score of eighteen to one. Mets at only three hits off Charlie Morton, who struck at twelve when Atlanta's five nothing win that cuts the Mets Division lead down to three and a half, and another starting pitcher is injured. The Mets just just put Carlos Carrasco on the injured list, Taiwan Walker at the leave last night after just two wings with back spasm. The Mets do have Max Schers who are going on the mount tonight Jacob to Grim tomorrow in those two aces are edule.

The next week faced the Yankees, who lost again Tampa Bay's Randy and Rose Arena and killed the Yanks two years ago in the playoffs. The three one homer first hitting off Nestor Cortez. It's all the Raised got or needed in a three one win as the Yankee bats were again quiet only four hits. Even Aaron Judge is not hitting one for his last four teams is happy

about it um. But you know, having a little bit of a cushion helps, but that cushion can dwindle quick, so we gotta we gotta stay on top of it. And you guys are putting, the working guys are coming up, they're showing up, they're doing their things. So and I'm just about going out there on the field and performance makes have lost six of seven. In those seven games, they scored a totally nine runs. The Jets, says Zach Wilson's the surgery went well and it's possible the Jets

quarterbacks would played the season opener tennis and Cincinnati. Serena Williams lost six four or six love to m A Radicano. She's half Serena's age. She's defending the US Open champs Arena now gets ready to come to New York for the Open. She says it will be the final tournament of her period. John Stashwart, Bloomberg Sports. John, thanks very much.

Seven on wall st Time now to take a look at stocks, some of the names that are moving in the premarket, and for that we're joined by Bloomberg reporter Laura Right and Laura the Parade of earnings continues this morning, more retailers reporting what do you have for us? Yeah, we'll starting with Target. It was a big miss on profit. Adjusted EPs came in at thirty nine cents a share. The estimate was four around seventy two cents a share. Right now, that stock is falling around four percent ahead

of the bell. This is primarily because of markdowns, reductions and prices. Home Appliance is patio, furniture, discretionary items. We know that markdowns of prices hits gross margins. Targets inventory increased thirty in the second quarter from the same period a year ago. The reason why Target they stocked up trying to avoid supply chain congestion, but in the end

they struggled to offload that inventory onto consumers. Okay, after the land of two by fours and stuff blows, Yes, so lows right now up some three in pre market trading.

Loads reported comparable sales for the quarter that missed the average analyst estimate, albeit fractionally, net sales of twenty seven billion dollars, and in a statement, the Home, a sabashing company said despite the continued macro uncertainty, they remain confident of their long term strength for the home improvement market and their ability to take more market share. They reiterated

their full year total sales target between dollars. But really, companies like lows and targets are barometers of how consumers are feeling. So subsequent quarters are crucial. Will we wait for those bathroom renovations or home extensions or will we postpone them because we feel more uncertain about our own incomes? What does Hill International? Where they do? Yeah, so this

is a construction consulting fir um. It's up sixty percent in pre market trading, and this is because it's announced that Global Infrastructure Solutions will commence an all cash tend to offer for two dollars a share that represents a premium of sixty three to the last closing price. Now, this merger advances the buyers objectives of diversification and expansion, and the transaction values Hill at seventy three million u S dollars and the deal is expected to close the

end of this year. Let's finish up fundamental fundamentals, let's go and beyond what's going on there. Yeah, but Wall Street analysts are calling it meme stock frenzy once again, the stock rallying um and it's on track for a sixth day of games. To put that in context, it's it's over around three three week surge and call options are betting the stock to trade above forty dollars by the end of the week. Really, it's that mean stock frenzy,

as you mentioned, knocking its fundamentals. All right, Laura, always a pleasure, You appreciate it, Bloomberg News reporter Laura right, and looking at the overall market right now, down future is one hundred sixty points lower SMB even the futures

now than NANDAK futures one seven points lower. You're listening to Bloomberg day Break and Bloomberg Weather for it today partial sun developing, chance of a shower this morning, high sight clear tonight blow sixty to seventy degrees and Rob Carolin tells us partly the mostly Sunday tomorrow highs in the mid eighties. Markets, headlines and breaking news twenty four hours a day at Bloomberg dot Com, the Bloomberg Business app, and at Bloomberg Quick Tape. This is a Bloomberg Business

Flash and I'm Karen Moscow. It's another busy morning for earnings. We've heard from Target. We've heard from lows and futures are lower. We get to the first and breaking news dance for today's morning call. Here's Bill Maloney. Bill, good morning, and good morning, Karen. That's right. U S features are under pressure right now at down features down a hundred and seventy seven points. STB s drop thirty one one.

NASA futures are down by a hundred and thirteen. The US ten year old at two point eight six percent, Gold is down three, oil is in the green, and bitcoin is down by point nine percent. Japan rose one point two percent overnight, while eup markets are trading in the red this morning and back in the US. On the economic front, eight thirty retail sales and at ten o'clock business inventories. You mentioned those earnings low ZPs beat estimates.

Shares are up three point eight percent pre market, but Target missed its lowest profit estimates, but still predicts a rebound In other New Zealand, Musk says he was joking about buying Manchester United and wrapping things up. Stanley Blackendecker

was cut to hold over heat. Deutsche Bank Live from the first Breaking news descom Bill Maloney, Karen All right, Bill, thank you, and here live breaking news over your Bloomberry Times, Squawk on your terminal squ A w u K, and we're also watching tar It shares their down more than three percent as a Bloomberg Business flashdown. Here's Michael Barr with more on what's going on around the world. Michael, thank you very much. Karen, one of former President Trump's

most vocal Republican opponents, has gone down to defeat. Liz Cheney lost the Republican primary to retain her seat in the House to Harry and Hegeman arrival backed by Trump sixty to Alaska U S Senator Lisa Murkowski and her Trump endorsed Republican rival, Kelly Shavaka, have advanced from Tuesday's primary. Meanwhile, Republican Sarah Palin, the former governor, was among the candidates advancing to the November general election in the race for

Alaska's only House seat. In baseball, the Mets continue to slump. They lost. The Mets also lose the Red Sox and Orioles one. The Nationals lost the A's and Giants won Global News twenty four hours a day on air and on Bloomberg Quicktake, powered by more than twenty seven under journalists and analysts in more than countries. I'm Michael Barr, and this is Bloomberg, Karen Marry, Michael, thank you. At a six forty nine on Wall Straight, we turned to

news and science and technology. Now at the Bloomberg and j I T STEM Report, it has run to you buy New Jersey Institute of Technology n j i T makes industry ready engineers and more than twenty fields. If it's engineering, it's at n j I T. Learn more at n j I T dot E d U and here's just making news in science, technology, engineering and math. Drought in high temperatures exacerbated by climate change have led to record levels of fire activity across Europe. It's burned

an area roughly equivalent to one fifth of Belgium. Wildfires in the EU have consumed over one and a half million acres of land in twenty two, according to the data from the European Forest Fire Information System. Scientists in Australia and the US hope to use stem cells and gene editing technology to bring the Tasmanian tiger back to life. The animal went extinct in nineteen thirties, and it would mark the first ever de extinction event, but some experts

are skeptical. Associate Professor Jeremy Austin from the Australian Center for Agent d NA told The Sydney Morning Harold d extinction is fairy tale science and TESLA is trying to reduce vehicle delivery times as quickly as possible. According to a tweet from CEO Elon Musk in response to another Twitter user, Musk wrote, long wait times are not a good thing. That's a Bloomberg and j I t stemme

report John all right, thanks Karen. We are lyne from the Bloomberg into hanter Broker's studios where it's six fifty one on Wall Street. Time to out to check what's going on in d C. Some of the top stories in our nation's capital include Cheney losing the GOP primary bounty to keep Donald Trump from the White House, Lisa Murkowski advancing in Atlaska despite the former president. Also Sarah Palin moving ahead, and Donald Trump asking appeals courts to

scrap the New York probe of his assets. Bill Gates quietly campaign to save Joe Biden's climate bill. Also, China warning the US against Sailey warships to the Taiwan Straits. Let's take a deeper dive in some of these stories this morning. Bloomberg Radio and TV Washington corresponded, and Marie, we're durn I'm happy to say us with us this morning. So Cheney loses and uh, what's next. Well, it's pretty much all about set in stone right that she was

going to lose. This was a state that President Trump, someone that she has been criticizing since the election. Uh, he carried. So she lost. And now we learned from political this morning that she is going to be starting an organization. We should know she has about seven million left in campaign finances. Um, and she will continue until the end of the year, until term is up, to continue with the Select Committee, the general six Select Committee.

While this was all very obvious, she did in her speech though, you know, she talked about Lincoln, the fact that he when he ran for the House and the Senate he didn't win, but then he one and assail to the highest office. So she kind of put out there in the ether this idea that this is not

going to be the end of her political career. UM. I don't know if you're can answer this, but specifically, is it all about Trump in Wyoming, or were there were specific local issues that voters there had latched onto that maybe she was a little too focused on national events on the former president rather than issues near and

dear locally. Well, I would say if you look at some of these um, and this was quoted in the Wall Street Journalist, University of Wyoming Pole, I think this speaks to what is going on in the tone in Wyoming. So this poll shows that of the likely voters who support Harriet Hageman, which is the one Donald Trump was backing and she won the primary, only six believe that presidential election was legitimate. Of Representative Cheney supporters believed that

it was legitimate. So I think it is fair to say so much of these Wyoming voters it was about Trump. You know, they want to name highways after him, a number of individuals. There's been lots of talk about things like this so less so obviously local old politics is local, but really so much of this was about President Trump, and really she was almost running against him in a way. Yeah. Just another question related to that, UM, the January six committee,

is it diminished now because of these results? Well? I don't actually think so, right, because she's still on it with a number of other individuals, and it's really going to be now about as we've seen from the past panels and these hearings that have been broadcasted in prime time. Uh, really the most shocking things we've heard are from the individuals they brought in. So I think they will still be important based off of the individuals they were able

to come in and testify before Congress. Let's move on to Alaska. So the results there, what do they tell us? So Alaska is interesting because similar to Liz Chena, you had Senator Murkowski who also voted to impeach Trump, but she was able to still win a seat in this primary. And I say a seat because Alaska has uh this different kind of logistics on how they go about their election. So both Senator Lisa Murkowski and also Kelly Shabaka will

both advance the general election race. This is this new format. So basically, if you're in Alaska, you can rank your candidates, so one of your first choices gets bumped out, your vote will still count to who your second choice was. So she's still able to advance and that will also be a very interesting one to watch. More so in the general election, okay, with the open primaries. Also Sarah Palin, how did she do? Yeah, she made a comeback, right.

She's running for this lone house seat. UM that's in a separate primary, also backed by try ump Um. She's one of these four countenants announcing the primary as as well. UM. And again, given this format, she'll likely go through and they'll be ranked. Let me skip ahead now to Donald Trump asking an appeals court to scrap the probe of his assets. This is the probe that's that was launched by Attorney General of New York Letitia James. Yeah, the

investigation he is. He says that she is having against him. She said, this is harassing and overreaching and tainted by the Democrats. It's almost hard to keep up with the number of investigations the former president is under. But what we know now is that he is asking the appeals court to block this investigation into potentially fragient asset value evasions. This is of course into his private Trump world. This

is about his real estate company. Um. But this is a three year old probe, right, so now he's asking for the appeals or to block it. This just going to extend it. Also you know, we saw the real quick that the signing of the climate bill yesterday at the White House. Lurking in the background figuratively was Bill

Gates tell us about that? Yeah, so he apparently made some calls to the Senate Majority Leader Chuck Schumer, who obviously his job is to hold the whole party together to in July to try to get this through, because of course, in July, i mean weeks ago, we never thought we'd see a bill like this because of some of the concerns there was coming from West Virginia Senator

um Joe Manchin. So you know, reading some of this amazing little TikTok we have on the Boomberg terminal, he's talking about how he was almost giving these senators a pep talk um describing what these calls were about, and you know some of them. So much of this was coming as not of course, as we know Bill Gates is a huge climate activist, but also in July, temperatures around America, We're sure it was one of the hottest summers in US history, um, and half the country was

in drought. So you know, I think we probably used that background to really put the emphasis on why some of these climate provisions were important to him and Marie. Always a pleasure. Thanks for amout, Amory Hordern. You can read more about these stories on bloomberg dot com, the Bloomberg Terminal, and reminded you can follow all the latest on Bloomberg Radio in Washington. That's Bloomberg at one oh five point seven FM HD two. Futures are lower after

the latest rount of retail earnings. We've got this morning down futures down one sixty five and smp emity futures down twenty nine and that Antick features down one hundred and twelve points. Still waiting for that retail report this morning from the government. You're listening to Bloomberg Daybreak just to hand surveillance. I'm John Tucker along with Karen Moscow.