Bloomberg Daybreak: August 18, 2022 - Hour 1 (Radio)

Plus the CDC wants to hit the reset button. Michael Blar more ahead, I'm John Stasher and sports dramatic win for the Yankees. They beat the Rays on a tenth then in Grand slamb the Metfill go on to win in Atlanta. That's all train ahead on Bloomberg Daybreak on Bloomberg.

He Living Free 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 on Bloomberg Radio dot Com and via the Bloomberg Business app. Good morning. I'm John Tucker and I'm Karen Moscow. US DOT index futures are a little change, still lower this morning. We are coming up to five o one on Wall Street, and we check the markets every fifteen minutes throughout the

trading day. On Bloomberg SMP futures down about three and a half points down, futures down twenty four and NASDAG futures down seventeen ten. Your treasury up five thirty seconds, held two point eight seven percent, and they yield on the two year three point to seven percent. NI Max screwed oil is up one point three percent at eighty

nine dollars twenty seven cents in barrel. John, Yeah, as you mentioned, Karen, US futures aren't lower this morning, after the first down day for stocks in nearly a week. Still all bennets from the Fed helped boost centiment as traders found some dubbish elements from the central banks. July and meeting Lauren Gilbert's CEO of wealth Wise Financialsts, there's uncertainty,

but still a chance for solid returns. Information technology services we see that as an opportunity because unlike goods that have had the pricing pressures with good prices continue to go up. While you have wage pressure as well in services, you don't have the cost goods issue. Lauren Gilbert with Wealthwise says, technically, in the Gator Show, markets could sustain

a bull run in the months ahead. When it comes to the Fed minutes, John Wall Street focused on central Bank officials discussing the need to eventually dial back the pace of interest rate hikes, Eric Lund, principal economist with the Conference Board, says, the important takeaway is that the Fed will remain data dependent in its approach. We all kind of figured they're going through some more half to dial back the pace of the increases. This matter at

what rate and when. So with the next meeting a little over a month off, we still have quite a bit of data points that are going to be coming out between now and then that we're gonna have to watch. Eric Lund, with a Conference Board says, if inflation continues to fall, the Fed will be well positioned to ease rate hikes, and Karen will also be watching for more economic Today at a thirty Wall Street time, the Labor

Department releases the latest figures on jobless claims. Economists predicted new high for the year, with claims rising to two hundred sixty four thousand. We're also going to get existing home sales for the month of July. The National Association of Realtors releases those figures at ten. While turning overseas now, John Stocks and Asia fell over night as further downgrades

to China's growth outlook sour sentiment. Bloomberg's Juliet Sally joins us from Singapore with the latest Good morning, Juliet, Good morning John and Karen Goldman. Sacks lowered its projection for China's GDP to three percent from three point three percent, citing we couldn't expected July economic data as well as new term energy constraints. Nomura slashed their forecast to two

point eight from three point three percent. The Bloomberg median forecast from economists is now at three point nine percent. Stokes fell in Japan, China, and Hong Kong, and the Aussie was lower for a fourth session after almost forty one thousand jobs were lost in the nation last month, versus expectations of a twenty five thousand job gain in Singapore. Juliet Sally Bloomberg debreaks all right, thanks Julia at tensions

with China remain front and center. The US and Taiwan are sent to store start formal negotiations on a bilateral trade agreement. Let's get more from Bloomberg's head, Baxter. This is the next step in what has become a very heated and very sensitive issue for China. The statement says the two have already started formal negotiations, but the first sit down round will begin an early fall. They say it will cover trade facilitation, regulatory practices and a corruption

standards and deepening agriculture trade, among others. The statement says it will promote innovation and will deepen the relationship in San Francisco. I'm at Baxter Bloomberg debris. All right, and thank you. We turned to corporate news. Now we're news from Apple is front end center at the company is aiming to unveil his new iPhone next month, and Bloomberg's we need a young joins us live with the details.

We need a good morning, Good morning, Karen Bloomberg. Sources say Apple's big reveal of the iPhone fourteen is expected to come on September seven. The flagship product generates more than half of Apple's sales and The update comes at a time when smartphone sales more broadly has started to slump as consumers cope with inflation and a shaky economy.

The launch kicks off a busy fall product season for the tech giant, which will include multiple new Max low end and high end iPads and three Apple Watch models. Live in New York, I'm reneed a young Bloomberg daybreak rened to thanks sticking with corporate news. Walmart, CVNCE, and long Greens all getting hit with a big fine. The pharmacy chains were ordered to pay a total of six fifty million dollars over failure to properly monitor opioid prescriptions

in Ohio. It's the drug industry's latest scent back and litigation over the pain killers. Well on the earnings from John Cisco Systems came out with the results that beat Astamade. Shares areout four and a half percent in early trading after the company gave a bullish fore cash and again more from Bloomberg Sterley Pellet. Cisco is the biggest maker of machines that run the Internet. Had Corporate Computer Networks had said revenue will grow two to four percent in

the fiscal first quarter from a year earlier. Analysts had predicted that sales will be roughly flat from a year ago, when revenue was twelve point nine billion dollars. For fiscal three, the company expects sales to expand as much as six percent. The outlook suggests Cisco can weather a shaky economy and tech spending slowdown, helped by better access to supply in New York. Charlie Pellett Bloomberg Daybreak, All right, thanks Charlotte.

Bed Bath and Beyond another stock on the move this morning. The shares right now on the pre market down over twelve percent as a big investor sours on the stock. Ryan Cohen's r C venture says in a filing that it might sell as much as seven point seven million shares of bed Bath and Beyond our C, the retailer's second largest shareholder after black Rock. Well. On the flip side, John shares of blue Bird Bio are up about eleven percent in early trading. The company's Geen therapy for a

rare blood disorder was cleared by US regulators. Bloobir had said it plans to church two point eight million dollars for the first ever one time treatment and coming up today. More earnings on the docket this morning, Retail in focus once again. We're gonna get results from BJ's, Cole's, and st. Lauter. Right now, del Future is up two points. This is Bloomberg as five o seven on Wall Street. Time to bring in Michael Barr with more with what else is

going on in New York and around the world. John, thank you very much. The war of words continues between New York Mayor Eric Adams and Texas Governor Greg Abbott with the Texas governor is doing it's just so entire American. Mayor Adams says. Four more bus loads of migrants who had crossed the border into Texas arrived in New York City yesterday. Abbott says he has been sending migrants to New York and Washington, d c. To ease pressure on

the state, blaming the Biden administration for the crisis. Mayor Adams said, Governor Abbott using the migrants as political pawns to strike out against democratic run cities. Those buses are leaven in Texas and passing through other states, and of the cities, how about speaking to those mayors across those cities and other governors state. How do we do this together?

Governor Rabbit responded to Adams, calling him a hypocrite. Why he's ever complaining for one moment about these people being busted into a city goes against his own self declaration of being a sanctuary city. Governor Rabbit and Mayor Adams appeared on ABC's Nightline. Donald Trump's CFO is expected to plead guilty today to tax violations in a deal that would require him to testify about business practices at the

former president's company. Alan Weisselberg, is charged with taking more than one point seven million dollars and untaxed compensation from the Trump organization. Rudy Giuliani says he has satisfied his obligation and after facing hours of questioning before a special grand jury in Atlanta. His appearance was part of an investigation into attempts by former President Donald Trump and others

to overturn his twenty twenty election defeat in Georgia. The CDC director is planning a major overhaul of the agency after an internal review acknowledge missteps in its response to the COVID nineteen pandemic. Dr Rochelle Walinski, who ordered the internal review, is calling for a reset. We were operating with a frail public health infrastructure nationally, and we made some pretty public mistakes and we need to own them.

Dr Wilensky says. The agency review found the CDC's COVID guidelines on masks, vaccines, and more have been confusing and overwhelming, echoing public criticism. Global News twenty four hours a day on air and on Bloomberg Quicktake, powered by more than journalists and analysts in more than a hundred twenty countries on Michael Barr and this is Bloomberg, John, Michael, thank you. He is now five cent on Wall Street. That's time to the Bloomberg Sports UPSTATEE and Mart John stashwar Al,

Good morning, John. Mets and Yankees had both lost the last two nights. Both teams last nine had to sit through a rain delay. Both teams gave up seven runs and still one, and both debuted brand new rookie third baseman. For the Mets, it was twenty two year old Brett Beatty. He was their first round draft pick in two thousand and nineteen. He's been tearing it up in the minors and water start his big league career. Hit high in the here to right. Feel pretty deep back. Cosconia have

a track off the walls done. Brett Bety with his first pay Nix swing. It's a whole run off the top of the six team quote high wall in right field. He salutes his parents on his way around third base. This kid is living the dream CBS to Calum that's also got two on runs with Starling Marte. They let Atlanta six to one, nine to five of the ninth thing. They held on beat the Brave nine seven to go

back up by four and a half game. Jacob mgron pictures tonight Yankees in that deep slump called up twenty three year old as Waldo Cabrera. He went over for his first game. Certainly looked like the Yanks are gonna lose yet again. They trailed Tavia Bay for nothing. They caught up home runs by Glaver tore As An Anthony Rizzo, but fell behind again. The Rays led seven to four. In the tenth inning, Josh Donaldson hit in opposite field walk off grand slam and the Yanks won in dramatic

fashion and eight to seven. The Liberty opened up the w NBA playoffs a nine four eighties seven game one win over the defending league champions Chicago Liberty end of the game of the thirteen nothing run upcoming US Open is gonna be dominating at least early on. By Serena Williams's last tournament. Her sister Venus has accepted a wild card spot. She'll be playing two. John Stash Howard Plomberg Spot John all right, John, thanks very much. Ahead of

the CANS show on Wall Street. Futures right now kind of treading water SMP evening, the futures down just point, the DAL futures ten points slower now and the NANSC futures are down nine points. They tend your treasury to two year yield right now. Three. You're listening to Bloomberg Tape right and Bloomberg Weather from meteorologist Rob Carroling for today partlet or mostly sunny, high temperature about eighty five tonight,

clear flows seventy tomorrow, increasing afternoon clouds to ninety degrees. Markets, headlines and breaking news twenty four hours a day at Bloomberg dot Com, the Bloomberg Business at and at Bloomberg Quick Tape. This is a Bloomberg Business lash and I'm Karen Moscow and US Dock Index futures pairing losses in a volatile session after the Federal Reserve signal the Delicate Balancing Act. Now we see inflation busting rate highs continue

despite the weekending economy. We checked the markets every fifteen minutes throughout the trading day on Bloomberg and right now, S and p NASDAC and down futures are all little changed. The decks in Germany is a four tenths of upper cent.

Can your trail asury have three thirty second seal two point eight eight percent yield on a two year three point to eight percent NIMEX screwed oil is I've winted a third percent of a dollar nineteen at eighty nine dollars thirty three cents of barrel comes called up two tenths per cent or three dollars ten cents at seventeen seventy nine eighty announce the euro one point one six three against the dollar, British found one point two zero four and nine and the yen one thirty five point

three one, and bitcoin is up to tens percent at twenty three thousand, four hundred sixty dollars. Today we are watching for the weekly report on initial jobless claims at a day thirty Wall Street Time that at ten is existing home sales and leading indicators, and BJ's Wholesale Club and Coleser among companies scheduled to report earnings today. That's a Bloomberg business flash. Now here's Michael Barr with more on what's going on around the world. Michael, thank you

very much. Karen Accord is expected to decide today whether to make public the full affidavit used to justify the FBI rate at Mari Largo. The Justice Department as objected to the affi David's release, saying it would compromise the investigation. CDC Director Dr Rochelle Wolinski is calling for a reset of the agency after an internal review falls at the CDC's response to the COVID pandemic. She wants the agency to share information faster and in plain, easy to understand language.

In baseball, the Yankees one with a dramatic grand slam against the Raise eight seven and ten innings. The Mets beat the Braves nine seven, the Red Sox and A'SE one. The Nationals, Orioles and Giants lost. Global news twenty four hours a day on air and on Bloomberg quicktake powered by more than twenty seven hundred journalists and analyists more than a hundred twenty countries. Michael Barr, this is Bloomberg, John, Michael, thank you. It is five twenty on one story. We're

line from the Bloomberg Interranto Broker Studios. This is Bloomberg Daybreak. The US and Taiwan will start formal talks on a trade in economic initiative. Let's take a deeper diamond and this this morning with the chief Asia Economics correspondent with Bloomberg News and the current and this something new or is it something that's been in the works for a while. Well, it's been in the works for a while. It's often been held as a kind of a charactery Washington that

they could deep in economic ties with Taiwan. Obviously, Taiwan is very keen to deepen ties. They have been pushing from membership to CPP, had been building out what kind of trade agreements and aligned as they can in the region in recent years. So obviously Taiwan's keen to push it. Washington used it as a kind of a carrot when it comes through the whole of Beijing story. But how

deep and half hour goes. I think will depend on a number of factors, and not least just US and Taiwan driven, but in terms of just howard busts China does respond doing. Their initial response to say has been already been quite rebust and quite aggressive, as you can imagine. Yeah, would this lead to that we're talking about a free trade agreement here between the US and Taiwan. I don't think you would call it a full of free trade agreement.

It might be more of a a trading pact, so to speak, in terms of where they can agree on areas of liberalizing trade and two way flows between both economies. I think certainly it's in Taiwan's interests. They're looking to the west. By there's a lot of commentary at the moment that the semiconductor industry has probably come to see something of a slowdown of a coming months due to

a cooling technology boom. That's a huge part of Taiwan's exports sector, for example, So they're keen to certainly diversify and open their trading books where they can and win new market share there certainly need to come up compared to there on the U S side, it's it's probably been driven more by perhaps political irrational rather than anything else. We noticed by part of an approach of course to the US in the US when it comes to Taiwan policy.

So we will have to see ultimately how fire it does go, because obviously every trade agreement always comes up again some stakeholder in some industry, in some sector who will have to hear how broad reaching and how people will ultimately be How much does taipe aid depend on Beijing for in terms of its economics. Are they trying to reduce that and make up for it with the ties the greater ties to the United States. Yeah, there's a bit of that. So I mean China is I

want the biggest trading parking. And when speak of Closi went there a few weeks ago, China responded by putting effectively kind of an embargo or boycott on imports of certain Taiwanese goods for example, certain fruits for instance. And they also put restrictions on exports from China to Taiwan a certain goods for example, one with fine sands that's

using the electronics industry. So Taiwan can sorry, China can obviously punish Taiwan economically to some extent, it has been a kind of a play card of China over the years when they're falling out with certain trading partners over a politically should they have responded and kind over you know, putting back on trade orders for example in with Australian

recent years and with Philippines and others. So Taiwan is one of those who had one of the facing parents that came out of course of the Autermouth help speaking places with what the Taiwan does want to diversify. It's it's it's economic trading partners. It doesn't look for new markets around the region. There's some talk that it could deepen ties with Japan, for example, Japan is trying to be seen as an ally for Taiwan in the region.

So I think there's no doubt. I wonder what to keep in its economic options and obviously when the potential for a trade negotiation with the US comes that they will certainly jump out that with both House and the backdrop for this news that the trade talks are going to kick off between Taiwan and the United States comes

with the Beijing in serious trouble on the economic front. Right, Yes, you would say that on the headline basis, and there's no doubt all of the sort of real time indicators are going against their going in their own direction for China, and so the real estate sector remains in a slump. House prices and activity continue to go on the wrong direction there. So that's a big economy, about twenty of economy.

Then this week we had a lot of high frequency indicators and reach out of spending and an investment and on the industrial output attention, all of that was weaker than expected. We've also had a big outbreak of COVID nntain this weekend in Hainan Island, the kind of a choplos ort that's raising fears of more lockdown than that kind of cycle ongoing aggressive restrictions. And then of course thrown to the mix the you know the US tensions with the US which don't bode well for animal spirits,

shall we say, able to consue in West China. So it's all adding down a pressure on the economy. We've got a bit of news and in response how this already con respond to look to the extra government spending coming over aboves ahead all right, Chief Asia Economics correspondent, and the current with this this morning and thanks a lot, appreciate it. Just ahead of the cash open on Wall Street.

Down futures they have been fluctuating down right now just a lot of points SMP in many futures unchanged and then ansday features eight points lower. You're listening to Bloomberg Daybreak, just ahead your top headlines. This morning partlet and mostly sunny in New York. Today has near eighty five. Tomorrow morning sun increasing afternue clouds eighty five. The ninety degrees broadcasting live from the Bloomberg Interactive Broker Studio in New York.

Bloomberg E Living Freedom to Washington, d C, Bloomberg ninety nine one to Boston, Bloomberg one six one to San Francisco, Bloomberg n sixty to the country, Sirius XM CHE one nine and around the globe the Bloomberg Business and Bloomberg Radio dot Com. This is Bloomberg Daybreak. It's five thirty on Wall Street. Good morning. I'm John Tucker and I'm Karen Moscow. We're just about four hours away from the open of US trading. Let's get you have to date in the news you need to know at this shower.

US futures are a little change this morning after the first down day for stocks and nearly a wig. Markets are still digesting minutes from the latest FED meeting. Loreen Gilbert's CEO of Wealthwise Financial, says there's uncertainty, but still a chance for solid returns. We do like small cap across the way growth in value because if you do believe that this is a bull market run, then we have the opportunity for small cap to continue to outpace.

Loreen Gilbert with Wealthwise as technical indicators show markets could sustain a bull run in the months ahead. When it comes to the Fed minutes, Wall Street focused on Central Bank officials discussing the need to eventually dial back the pace of interest rate hikes, and traders will be watching for more economic data. Today. At eight thirty Wall Street time, the Labor Department releases the latest figures on jobless claims.

Will also get existing home sales for July at ten and returned to corporate news now John, where news from Apple is front and center. The company is aiming to unveil its new iPhone month and Bloomberg's or need a young joint us live with the details, or need a good morning Good morning, Karen. Bloomberg. Sources say Apple's big reveal of the iPhone fourteen is expected to coma in

September seven. The flagship product generates more than half of Apples sales, and the update comes at a time when smartphone sales more broadly have started to slump as consumers cope with inflation and a shaky economy. The launch kicks off a big, busy fall season for the tech giant, which will include multiple new max low end and high end iPads and three Apple Watch models. Live in New York.

I'm gonna need a young Bloomberg Day breaks re needed thanks, and we're getting more earnings reports today that we'll give us a sense of consumer strength. We're gonna hear from big box retailer BJ's Coles and then st. Lauter. Well, not a geopolitics, John, were Tensions with China remain front end center of the U. S. And Taiwan are sent to start formal negotiations on a bilateral trade agreement. Bloomberg News correspondent Bruce ein Horn says talks are expected to

start this fall. Where these go, I think it's a big question, because, on the one hand, there's really strong bipartisan support for Taiwan and the US Congress. On the other hand, there's really not strong bipartisan support for any sort of trade deals in the US Congress. What comes out of this remains to be seen. And Bloomberry Spruce Einhorn says, a villa in Congress that would upgrade US

relations with Taiwan could further inflame tensions. Futures again are little change this morning, Tenure Treasury up three thirty seconds yea two point eight eight percent, straight ahead, your latest local headlines plus the check of sports, and this is Bloomberg all right, Thanks car five thirty three odd Wall Street. Time to bring in Michael Barr with more on what else is going on to New York hand around the world, John,

thank you very much. There four bus loads of migrants who had crossed the border into Texas arrived in New York City yesterday. Texas Governor Greg Abbott has been sending migrants to New York and Washington, d C. To ease pressure on the state. New York Mayor Eric Adams says Governor Rabbit is using the migrants as political poems. Our team reached out to him when we first discovered what he was doing, and we asked less coordinate because crisis

calls for coordination. Governor Rabbit responded to Adams when the Mayor began complaining about just getting a small trickle of what Texas has to do with all the time, I said him a letter and I invited him to come down to the border and see firsthand the chaos that exists in Texas. Governor Rabbit and Mayor Adams appeared on ABC's Nightline. The head of the CDC acknowledged that her agency made mistakes and its response to COVID. Dr Rochelle

Willinski says it's time for an internal reorganization. She says it's a response to the notion that the agency is too focused on academic work and not nimble enough to respond to fast emerging diseases. We as an agency cannon should move faster with our data, Dr Wilenski. He also says the agency needs to communicate better with the public. Former Trump Organization CFO Alan Weiselberg is expected to plead guilty today in the New York City court room, according

to the New York Times. As part of his plea deal, Weiselberg will admit to all fifteen felonies he's accused of, and may have to testify about his role in the scheme of the Trump organization if he goes to trial. Former President Trump's attorney Rudy Giuliani, testified for six hours before a special Grand jurine Atlanta, Georgia. Prosecutors have told Giuliani that he is a target in their investigation into

potential criminal meddling in the election. Global News twenty four hours a day on air and on Bloomberg Quick Take, powered by more than twenty seven hundred journalists. Now that's more than a D twenty countries. Michael Bard, this is Bloomberg jomp. Michael, thank you, thirty five of Wall straight. That's time for the Bloomberg Sports Update us, John. Thanks John. Only twice in Yankee history had they won a game on an extra inning Grand Slam when they were trailing

by three runs. Jason Giambie did it, So did Babe route End. It happened ten any last night. And the old one, the Donaldson swing hot hit him there in the right toward the line. That ball has gonna fay come. That's a Grand Slam, walk up Grand Slam to win the game, Josh Donaldson powered one down the right pel line into the seats. It's a grand lag and they called Donaldson's eighth career walk off homer, but first since two thousand fifteen. And talk about a much needed eight

to seven win. Yankees scores have been struggling mightily. They trailed seven Bay four nothing, and after rallying the tie, they trailed seven four and the tam Donaldson has been a disappointment this Season's one reason why the Yanks just called up twenty three year old as Waldo Cabrera. He played third base when over four in his debut Donaldson was with the h Yanks also called up Esteban Floria to place then it fields. They have two guys in

the lineup wearing jersey numbers ninety and ninety five. The Mets also just called off a new third baseman at twenty two year old Grett Batty Homeward in Atlanta, the first time he swung the bat in the Major's fifth met the Homewer in his first dat bat. Mets went on to beat the Braves nine to seven, two old runs from starling Marte max Jers, who got the winnings night in two and Jacob the Graham goes tonight as a Mets try to get a split of the series.

The NBA schedule unveil. The next opened up October nineteenth in Memphis. The net will host New Orleans w NBA playoffs the Liberty one Game one from such Potatohn Statue that with Woodenberg School, John Hi, Johns, thanks very much. Five thirty seven Old Wall Street Animies. It's signed for the Try and Say Business Report, and with that is Bloomberg's ed Qurey. New York City has denied every property

damage claim related to Hurricane Ida. It says for over a century, chords have said municipal that day's across the state are not liable for damage from extraordinary and extensive rainfalls. I'd have broke the record for the most rainfall in his single hour in city history. Genesis chief executive officer Michael Morrow is stepping down. The move comes after the crypto brokerage was stung by exposure to bankrupt Hedge Fund, Three Arrows Capital and abroad market downturn. The New York

based companies also eliminating twenty percent of its workforce. Amazon dot Com workers a final the position to hold a Union election at the company warehouse near Albany. The group is affiliated with the upstart Amazon Labor Union. It's asked the National Labor Relations Board for permission to hold a vote at the a LB one facility. According to an n l RB spokesperson, that you Bloomberg trying state business report.

I'm Ed Corey. It's on Wall Street. Bloomberg Radio is on the year from San Francisco to New York, London to Hong Kong. Was check in now with our global news team for some of the top stories heard on our three hundred affiliate radio stations around the world. On ktr H in Houston, and Americans are driving more as gas prices come off record highs l SMITHEO and I'm w b Z in Boston. I'll be reporting on when

you can expect to see a new iPhone. I'm Jeff Collinger and on w tb N in Columbus, I'm reporting that Columbus based Bath and Body Works has cut its profit outlook and announced plans to cut about one thirty jobs. I'm Johan Donagret telling w fl A listeners in Tampa. Bank rate Grates Florida the best date in which to retire. I'm Klin headil Bloomberg dav Digitato in London. We've been reporting on the pressure on Majesty United's owners to sell or stake in the football club. I'm Ed Corey on

w T A M in Cleveland. I'm reporting Northeast Ohio homesield slowdown in July. And it's five thirty nine on Wall Street. The following is an editorial from Bloomberg Opinion. This editorial was written by the Bloomberg Editorial Board. With just a few weeks left, the summer of two has already breached some alarming milestones in the northern Hemisphere. Globally, June and July this year have ranked among the warmest months ever recorded. Unfortunately, such trends are likely to worsen

due to climate change. So how can the world prepare for the hotter summer's ahead. The most important step is to keep up the fight against global warming, including by slashing emissions and boosting investment in green energy and related technologies. Measures to aid the poor should also be a priority. The least affluent tend to suffer the most from extreme heat. One can only hope that this summer's blistering heat will only underscore the urgency to act. The senatorial was written

by the Bloomberg editorial Board. For more Bloomberg opinion, please go to Bloomberg dot Com, Slash Opinion or ope I N go on the Bloomberg Terminal. This has been Bloomberg Opinion and Bloomberg Opinion editor rios can be heard every week day at this time. Terminal customers can read more at O P I M go. And as we look at futures ahead of the cash open on Wall Street, DAL futures right now they're ten points higher SMP imediate futures up to and the domesday futures are six points higher.

This is day break Bloomberg weather for it today from meeting round just Rob Carolin Parley mostly Sunday the high temperature eighty five, tonight clear low seventy and tomorrow morning sun than increasing anthnute clouds hight five to nine. Markets, headlines and breaking news twenty four hours a day at Bloomberg dot Com, the Bloomberg Business at and at Bloomberg Quicktape. This is a Bloomberg Business lash and I'm Karen Moscow

us Dock Index futures pairing their losses. Now little change in a volatile session at the Federal Reserve signaled a delicate balancing act that would see inflation busting rate hikes continue despite a weakening economy. We checked the markets every fifteen minutes throughout the trading day on Bloomberg, and now futures are little changed. To hire, the decks in Germany is up seven tenths of a percent, and the tenure Treasury is up three thirty seconds yield two point eight

eight percent. The yield on the two years at three point to eight percent. Ni Max screwed oil is of one percent or ninety cents at eighty nine dollars. One center barrel collback school of a quarter percent or four

dollars ten cents at seventeen eighty announced. The euro one point one six four against the dollar, British found one point to zero four or four and then one thirty five point three zero, and Bitcoin this morning's higher of four ten percent at twenty three thousand, five hundred 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. A group of media organizations urged the Florida judge to release most of an FBI f of David that helped the Justice Department obtain the search warrant for former President Donald Trump tomorrow logo resort. The d o J says the document must remain sealed to protect the investigation. The US and Taiwan will start formal talks on a trade and economic initiative, following through on a long planned promise to deepen ties. The mid opposition

from China and baseball. The Yankees one with a dramatic Grand Slam against the Raise eight seven and ten innings. The Mets beat the Braves nine seven, the Red Sox and A's one. The Nationals, Orioles and Giants lost. Global News twenty four hours a day on air and on Bloomberg quick Take, powered by more than twenty hundred journalists and analysts more than a hundred twenty countries. Michael bar

this is Bloomberg, John, Michael, thank you. We are lying from the Bloomberg Interrant and Brokers Studios, where it is five forty nine on Wall Street. Apple aiming to hold a launch event September seven to unveil the iPhone fourteen line of products. Let's take a deeper dive this morning. We're joining Live now by Bloomberg Quick Take anchor Alex Swibb. Do I really really need an iPhone fourteen? Well, it

really depends when you go to anybody else. Yeah, I think that you know, this idea that you need to refresh your iPhone every year has long since gone that even every two years is long gone. I've got a three year old iPhone. I'm probably going to do it this year. Now. This is supposed to be a more sizeable upgrade than was the thirteen than was last year's um Usually you would expect that to drive a big

up swell in in sales numbers. There was a great scoop that our colleagues Mark German and Debbie wou had last week which said that actually they expect production numbers to be flat year on year, which clearly then suggests something about, you know, the the economic climate and people's discretionary income in the context of inflation. With the economic climate that we're talking about, with the inflation, do we

know what the pricing is going to be? We don't that you know, likely to be in the order of a thousand dollars, so the for the base price for the top line model. Uh. Sometimes look, the way that Apple tends to really make the margin on this stuff is on the memory, right. They will charge an extra hundred dollars for another sort of hundred and twenty four gigabytes of memory. The chip that actually underpins that memory probably cost them in the order of twenties a huge

gross margin on the memory piece. That is where, you know, if they offer larger memory options, that's probably where we'll start to see the the average price per unit dragged upwards. Does it really actually pay that upfront or is it

part of the package they get with their carrier. Um. A lot of people do just buy the iPhone straight from Apple because sometimes if you sometimes if you unpick the economic it does work out cheaper in the long run just to buy it straight from the store, um, particularly if you've got say it depends on the contract you who obviously in different markets. I personally just buy

it from Apple. I get financing from Apple, which Apple also provides, and that uh, you know, North then financings, so it worked out quite cost effective of the consumer. But that has also been one of the problems in recent years. For the carriers that selling the phones was a nice little earner for them, But because Apple has its own financing, people have started to realize it's more cost effective to go straight to source. Okay, let's talk about the other products. Well, first of all, what is

the iPhone fourteen? Have then I need at this point? And what about the other products as well? As ever with the each new model of iPhone is going to have a slightly better camera and a faster process that the styling is likely to be similar to the to the thirteen with the square edges, um and the few

little bells and whistles. Perhaps we don't yet know about the They're gonna likely eliminate the mini version of the handsets uh and add a model with a six point seven inch screen, which will be the first time Apple launches a non so called pro iPhone with a display of that by did the notch that appears on the front will change shape slightly? Um, there will be a sort of a pill shaped hole, That's what sources are telling Mark German pill shaped hole and a whole punch

sized area for the camera. So that probably is going to have beans has a form factor. The biggest change he remind everybody how important iPhones are to Apple. They are, I mean, very significant part of their business, but not as big as they were before. Historically, it used to be about seventy or two thirds of their revenue fundamentally,

now it's about fifty of their revenue. They've managed to bring that down over the past six seven years as they've not only boosted the share that they get from their services business, which you know that things that the app store, Apple Music, Apple TV plus that's now in almost seven billion dollar business um, but also what they were called the wearables, home and accessory category has doubled in five over the past three years. That is, you'll

watch your your um airplet thing like that. How that's always the pleasure Bloomberg Quick Take anchor Alex Webb. The event launched September seventh. Karen, thank you. It is five at fifty three on Wall Street and returned to a legal story that we're watching this morning. One Texas school district is getting ready for the start of school and a unique way. It's removing forty one books from school library shelves, including titles like The bluest Ie, Gender Queer

and The Bible. There's been a dramatic excalate escalation and books bands and book challenges have more than doubled than a year, reaching the highest number since the American Library Association began keeping count in two thousand one. For more in the issue, Bloomberg's Jon Grosso speaks to debrah calledwell Stone, director of the American Library Association's Office for Intellectual Freedom.

The reasons for challenging books change over the years. Between two thousand and two thousand nine, the Harry Potter series was frequently challenged because of allegedly promoting witchcraft and wizardry.

What do the challenges now mainly focus on? What we've observed since is the majority of books challenged in schools and libraries that's when someone demands that they be removed from the library shelf are books centering the lives and experiences of lgbt q i A persons, and this includes things like picture books that simply depicted a family headed by the same sex couple, ranging two young adult materials dealing with coming of age stories, romance, or nonfiction books

dealing with sex education. The other trend that we're observing, and this is tied to the current campaign around critical race theory is a will effort to remove books reflecting the experience of African Americans or reflecting a perspective on history by African Americans who challenge some of the traditional narratives about racism and US history and their experience of slavery. I think we've reached a kind of consensus here in the United States. Books written for adults and intended for

adult audiences rarely see challenges. It never really becomes an issue. The real dispute is about books that are available to young people. How would you describe the criteria for banning

a book? Is it based mainly on obscenity. That's a framing that we're hearing from these advocacy groups that any book touching on topics dealing with gender identity, sexual orientation, that provide information about changing bodies, human reproduction, sexuality are inherently obscene for minors, which of course is an objection based on particular moral or religious beliefs, and that really should have no place in the decision making about what

books are available to young people in school, and certainly obscenity is the bottom line as far as determining what is not protected by the first Amendment in those terms, but the Court has made it very clear that that's a very narrow category of materials that has no serious value, no educational value. You know, when library professionals, for an educational professionals select books for school students, they're selecting them because they do have an educational value, and particularly for

voluntary reading in the school library. These books may serve the needs of a particular subset of students, and they're not required reading. And as Zebra Caldwell Stone, director the American Library Association's Office for Intellectual Freedom, speaking at Bloomberg Student Grosso. Catch more of that interview, plus analysis of the latest legal news by subscribing to the Bloomberg Law podcast or downloading the show have Bloomberg dont m slash podcasts.

Attorneys can find exceptional legal research and business development tools at Bloomberg Law dot com and on the Bloomberg terminal at b law Go. Futures this morning are starting to add to their gains now, U S and P future is up about five points now, Futures up twenty six, and NASDAG futures of seventeen, so we've been seeing some improvement there. Ten Your Treasury of four thirty seconds yield two point eight eight percent. They yield on the two

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