Bloomberg Daybreak: August 19, 2022 - Hour 2 (Radio)

a Ukrainian nuclear power plants suicide. I'm micloblower more Head, I'm John Stashhower. And sports, The Yankees suffered a one sided loss to the Blue Jays. The Braves beat Jacob de Graham in the meth That's all trendy ahead on Bloomberg Daybreak on Bloomberg eleven, 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 App. Good morning, I'm John Tucker and I'm Karen Moscow and US DOT Index futures are lower this morning. We're coming up to six o one on Wall Street. Let me check the markets every fifteen minutes throughout the trading day. On Bloomberg, Guess and P futures down about thirty five points this morning. DAL future is down two hundred eight and NASDAG futures down one hundred thirty one. The decks in Germany's down seven tenths of per cent ten.

Your Treasury down eleven thirty seconds, yield two point nine two percent. They yield on the two year three point to four percent. COMEXS. Gold is down three tens of percent, down five dollars ten cents at seventeen sixty six ten announced, and Bitcoin is down seven percent at one seven hundred forty dollars. John and Karen Marcus this morning, reacting to mix signals from the Federal Reserve when it comes to

the next move on the interest rates. St. Louis Fed Governor Jim Bollard leaning hawkish, urging his seventy five bases point move in September, while can the city's Esther George, is sounding more cautious. San Francisco's Mary Daly is open to fifty or seventy basis points, and Minneapolis Fed Chief Neil cash Carry says the central Bank remains laser focused on combating inflation. The question right now is can we bring inflation down without triggering a recession? And my answer

that question is I don't know. Neil cash Carry making the comments a day after the release of July's FED minutes, which showed officials waing exactly when to slow the pace of rate hikes well lowering inflation and avoiding a recession as the best case scenario for the Federal Reserve. With prices already read hot, former FED Governor Randy Krosner says the central Bank will be lucky to meet this inflation target.

It's very difficult to know exactly where you are because, as I said, the dataways coming with a leg, and there could be a lot of shocks that that come in. So I'm sure they're not going to get it exactly right. I think if they're going to make a mistake, it's going to be on tightening a little bit too much. And for Murfed Governor Randy Krasner made the comments on Bloomberg's balance of power catch the program weekdays at noon

Eastern on Bloomberg Radio and Television looks. Let's look at the markets overseas now, stocks in Asia falling overnight to post a weekly decline. Shina growth concerns continued away on sentiment, and Bloomberg's Juliet Salay joins us from Singapore with the latest. Good morning, Juliet, Good morning John, and Karena. Jump in Chinese textures and energy stocks helped cap deeper losses on

the regional benchmark index. Nickel stocks in the region rose after Indonesia, the world's biggest producer of the commodity, told Bloomberg it plans to impose attacks on exports this year. Investors now look ahead to the Jackson Whole Symposium and close at a home and likely cut by Chinese lenders to the loan prime rate concerns about China's slowing economy sending the MSCI Asia Pacific Index down for the week. In Singapore, Juliet Sale Bloomberg daybreak. All right, Juliette, thank

you for taking a look at oil now. Prices are slumping this morning. When night make screwed oil down one point six percent on a dollar forty at eighty nine dollars tens. Sense of barrel oil is on track for a weekly loss. With the lingering concerns over an economic slowdown. Crewed has now given up all gains that followed Russia's invasion of Ukraine. The most active stock of the pre market bed Bathroom Beyond the shares down forty two percent.

The move comes after activist investor Ryan Cohen exited. He is the entire stake in the company Cohen pocket at sixty eight million dollars in profits after holding bid Bathroom Beyond sears for seven months. It's setting out to be a repeat of other meme stock moments, with the price draw for retail investors who related to the trade being just as dramatic as its ascent. Taking a look at the labor market now, john a new survey from p w C is painting a bleak picture. It says layoffs

are in the works at half of US companies. Bloomberg Shirley Pillett has that story. Last month, PwC pulled more than seven hundred US executives and board members across a range of industries. Half of respondents said they are reducing headcount or land to and fifty two of implemented hiring freezes, more than four in ten are rescinding job offers, and a similar amount are reducing or eliminating the sign on bonuses that had become common to attract talent in a

tight job market in New York. Charlie Bloombird Daybreak. Nice Charlie, turning to the pandemic. Now we're seeing more signs that corporate America is turning away from prior policies. Days after the CDC shifted its COVID quarantine guides, Amazon reportedly scrapping its COVID leave policy, and Bloomberg's Really the Young Joins is lie with that story. We need a good morning, Good morning John. The two weeks of paid lead for

COVID nineteen cases that Amazon offered employees now gone. Amazon is returning to standard sick leaf policies beginning today, and an internal memo published by Business Insider shows the company is also scrapping contact tracing across much of its network of warehouses. This could affect hundreds of thousands employees at Amazon. It applies to all US employees except for those living in California, New York, Colorado. In Philadelphia, live in New York.

I'm gonna need a young Bloomberg day break. We need to thank you. Ab Earning season is winding down, but we get one more reportive note this morning. Farming machinery maker Dear publishers results shortly. Bloomberg Intelligence says higher production and supply chain easing should support accelerated growth for the company. And right now, Karen, we're looking at uh. Finally, let's

talk politics. The legal trouble circling former President Trump. A judge of the marra Longo FBI search warrant hearing indicating he'll try to unseal at least parts of the search warrant at the heart of the search. Let's get more from Ed Baxter. The judges ordered the d o J back to court next week with suggested redactions. One of the attorneys for media groups seeking the release of the document,

Diana Schulman, says she feels good about the herring. He understands that the public is going to likely be entitled to some parts of this warrants application and it's affidavit. So the next hearing is next Thursday, and it seems most likely scenario is that something will be released in very heavily redacted forum in San Francisco. I'm at Baxter Bloomber daybreak. All right, thanks and ahead of the open on Wall Street and SMP futures thirty six points lower

as now six seven up Wall Street. Let's bring it, Michael barn down to find out what else is going on in New York. Hand around the world, John, thank you very much, Sarah. New York City Mayor Eric Adams says, well, outdoor dining is here to stay. The city will remove abandoned dining sheds. Adam says that abandoned or dangerous outdoor dining structures must be torn down quickly. When a dining shed is no longer in use and it's it's abandoned, it's a safety has it, we have to turn it,

tear it down. It can't be a safe haven for rats, it can't be a safe haven for illegal behavior. It has to be a place to allow people to enjoy dining, Mayor Adams. The United Nations is urging Russia to stand down and not proceed with its mission to carry out

military action at a nuclear power plant in Ukraine. Secretary General Antonio Guterres adjusted any action there would be in his words, suicide posess must be any actions that might make people the safety, your security and the Lucia plants, and if the must not be used the spot with any guilit inferation. UN Secretary General Antonio Guterras repeatedly urged for the plan to be demilitarized. A former top executive of the Trump organization has pleaded guilty to tax evasion.

Alan Weisselberg's guilty plea as part of a larger deal to testify against former President Trump's real estate company. Weiselberg will serve five months in jail and pay nearly two million dollars in taxes, penalties, and interest. The number of migrants apprehended entering the US could hit a record two million this year, and they're least to await processing as Texas Governor Greg Abbott sending bus loads of them to Washington, d C. And New York City. The busload of migrants

is expected soon in the city. Climate change is being considered a factor in the recent return of a brain eating amiba, often found in fresh water sources, that's being linked to the death of a child in eastern Nebraska. It is the second such probable death in the bit of last this summer. With another incident suspected in Missouri. Last month in Nebraska, Douglas County Health Director Dr Lindsay Hughes suggested being mindful of your exposure and freshwater sources.

We are urging the public to simply be aware and to take precautions when they are being exposed to any warm freshwater sources out in public so lakes, streams, ponds. Dr Hughes says, though the illness is rare. Global news twenty four hours a day on air end on Bloomberg Quicktick, powered by more than hundred journalists and analysts more than a y countries. I'm Michael Barr. This is Bloomberg. John, Great Michael, thank you. That's how six ten of Wall Street,

this time with the Bloomberg Sports Update. Good morning John stash Our, Morning John. The Mets and Braves just played nine games in fifteen days. Mets won four or five in New York, Graves one, three or four. In Atlanta. They beat Jacob Graham storing seventh inning for a three to victory that gets them back to three and a half games behind the Mets in the n L East. The Yankee lead a L he's a healthy nine games, but at the stadium the night after that dramatic tenn

and he went over Tampa Bay. Toronto got to New Yank starter Frankie Mantas with a five ron second and in that included the three ro homber by Vladimir Guerrero June to The Blue Jays went on to win nine to two. George Springer had four hits for the Jays. Manzas and three starts with the Yanks has pitched fourteen innings and has allowed fourteen runs. The guy he replaced in the Yankee rotation, Jordan Montgomery, now with St. Louis. He's made three starts to the Cardinals and in seventeen

innings he's given up one run. Speaking of the Cardinals, they beat Colorado thirteen to nothing. They pinch hit and slam for forty two year old Albert Poohle's career home run number six ninety. The big NFL story resolution on how long does Shaun Watson suspension will be. The NFL wanted it longer than the six games originally ruled by an arbitrator. The two side settled on eleven games, a record fine of five million. Watson apologize, but did not

admit they're committing any sexual misconduct. I'm moving on with my career in my life, and I'll continue to stand on my innessis. Just because you know, settlements and things like that happened doesn't mean that a person is is guilty for anything. I feel like person has the opportunity to stend on his innessis and prove that, and we proved that on the legal side, and we're just gonna continue to push forward as an individual, as a person.

Watson's first game of this new team Cleveland, will be week roteam against his old team, Houston Golf and Delaware. Kegan Bradley shot seven under for a one shot Boobird. Thanks John to head of the cast. Show. But on Wall Street this morning, down theaters two hundred eleven points slower and and p Emity futures there down thirty six but ANSAC futures down one hundred thirty five points. You're

listening to Bloomberg Daybreak and Jui Hella Bloomberg Daybreak. We'll get you set up for the training day ahead with Jeffrey Yuugh, senior market strategist at b N wind ballad This is Bloomberg day break, markets, headlines and breaking news twenty four hours a day at Bloomberg dot Com, The Bloomberg Business Outland at Bloomberg Quick Tape, He's a Bloomberg

Business Flash and I'm teren Moscow. You are. Stock Index futures are falling along with treasuries after a chorus of Federal Reserve officials reiterated their resolved to continue right hikes. We checked the markets every fifteen minutes throughout the training day on Bloomberg Guess and p Future is down thirty

four points this morning. Now Future is down two hundred four NASDAG futures and add twenties seven and the decks in Germany's down seven tenths of upper sent the ten Your Treasury down twelve thirty seconds, yield two point nine two percent, the yield on the two year three point to five percent. Nimex Screwed oil is down one of three quarters percent at a dollar fifty eight at eighty eight dollars nine two cents. A barrel comes goll down four tenths per cent or seven dollars ten cents at

seventeen sixty four. Ten announced the Euro one point zero zero six three against the dollar, British found one five five and the yen one thirty six point five nine, and bitcoins down seven point three percent at twenty one thousand, seven hundred dollars. As 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 federal judge has ordered the Justice Department to put forward proposed redactions as a judge committed to making public at least part of the affidavit supporting the search warrant for former President Donald Trump's the state in Florida. The judge dave prosecutors a

week to submit a copy of the affidavit. After being accused by more than two dozen women of a sexual misconduct Cleveland, Brown's quarterback to Shaun Watson will now serve in eleven games suspension and pay a five million dollar fine. In baseball, the Yankees and Mets lost the Red Sox. Orioles A's and Giants also lost the Nationals. One Global News twenty four hours a day on air and on Bloomberg Quick Take, powered by more than twenty seven hundred

journalists and analysts, more than a hundred twenty countries. H'm Michael bar This is Bloomberg. Michael, thank you, coming up on six twenty on Wall Street and we are live from the Bloomberg into Rancor Broker Studios. This is East Bloomberg Daybreak. There are those in the equity markets who believe a string of weak economic data will encourage the fatty into a devilish pivot. Are they right? Let's get you set up for the trading day head now with

b and Y Melon, Senior market strategist Jeffrey. You always a pleasure, jeff, Thanks for being with us our investors foolishly dismissing the risk of a more aggressive federal reserve. UM. I think if you had asked me this question a couple of weeks ago, we would have been a bit concerned.

Then now I think some reality is coming back. Fair has to their credit and it's successfully communicated that the part up ahead is not going to be straightforward to think that the world is undefined again, especially with the supply bottlenecks and inflation that's going to come off from ad best. Inflation is peaking, which in itself is certainly a favorable development, but in terms of getting back to where the good of economy needs to be with inflation.

We're a long long way away from that. Yeah, do we have to derail even the economies? Is that inevitable to control inflation? The US? Absolutely not. You know, the US is in a very good position. Labor markets firm and they consumer confidence is holding. So everything points to reasonably good chance of a soft landing. If by look at where I am right now in the UK um So, the UK rates futures are pricing against higher terminal rates we've had through the Federal Reserve. Now I find that

very very hard to countenance. Uh, the next a hundred basis points. I think, by the something we've done as quickly as possible, the markets after the speak's inflation numbers are pricing in an additional under basis point on top of that, I'm not sure you know how the British consumer will be able to withstand the hit on that scale already. So I think that that's where quite a

bit of adjustment is needed. And the BOV has been a bit more open and saying six quarters of contraction, that's a proper recession, right, that that's going to be needed at the very least to bring down inflation. Yeah, and what is the future for British pounds sterling at this point given all this, So it's quite fascinating that we've had an aggressive surge in pricing for the Bank of England and that Sterling has not benefited from that

at all. So um, it really is a sign of the lack of confidence in the direction of chravel for the UK economy. We saw the very very weak consumer confidence and figures released over nine and next week, and the entire country is going to be braced for the announcement of the new energy the highest cap which is expected to go towards our four thousand, eight hundred pounds.

So um, the these are extremely distressing numbers. So if you believe that Sterling is going to trade based on UK growth expectations rather than inflation expectations and policy expectations, these two have totally detachment from each other than grows, it's going to be very stop. So Sterling in the short gender's going to be under a bit depression. Explite everybody the difference in inflation that the UK is facing as opposed to the inflation that those of us in

the United States are facing. Can you control one and not the other through policy. So for the UK, I would say the energy angle is far more acute. You know, yes, we are facing labor market issues and just general supply issues in general, but as you can understand, in Europe, much greater dependency on natural gas prices. You know, that's

where the pinch point is going to be. I just looked at my own building for example, compared like like this summer, you know versus last Summer've actually used a lot less less gas, significantly less gas, and are might add the prices actually marginally higher, and gas prices or energy cap prices is going to be much much higher from even current levels. So I think that that's where the pain is going to come from. And general price insvation few down the life as well, so probably less

of the labor component compared for the US. If I could pivot back to the U s here. J Powell lost credibility with his Jackson Hall speech last year. I think I'm safe in saying that can he recapture that credibility a week from today? I think it's a bit harsh, and I think you can compare light for light, right, So Jackson the Hall last year, was anyone predicting a

war um. I don't know. Half the year after that probably not right, so nuclearly that the transitor issue despises and then they've lost a lot longer relative to expectations. The one was anticipating China to face these some COVID concerns. So I'm not trying to just by global central bankers in the missing inflation side of they're clearly looking back and they wish some things could have been done differently. But now there is a time to start to set

the record straight and properly guide markets up ahead. And as I mentioned that the program um they're be a general speech guidance from various septumbers. They've lost two or three weeks successfully in a bringing back that expectation um and just giving market to dose of reality. I think that's been quite successful. So I just I guess Chennen Powell just needs to do a bit more of the same. Jeff, always a pleasure appreciated. B and Y Melon Senior's Market strategists.

Every you joining us this morning and ahead of the cash of about Wall Street, we have futures in the red this morning. Down future is two hundred four points lower. That's down six tenths of a percent SMP evening futures down thirty three points right now, down eight tenths of a percent, and then as next futures one D one points lower, a nine tenths of a percent declined. Footsie in London is up just four points right now, relatively unchanged.

As you look at the Sterling one eighteen sixty that is down six tenths of a percent this morning, and you are listening to Bloomberg Daybreak. Just ahead, we'll have a check of your top stories and Bloomberg weather for it today from meteorologist Rob Carolin. Mainly sunny warm in New York City, the Heights emperature ninety tomorrow, partly Sunday, chance of the eight day shower, the Heights amperature topping

out at eight five to ninety degrees. Broadcasting live from the Bloomberg Interactive Broker Studio in New York, Bloomberg E living three on to Washington, d C, Bloomberg to Boston, Bloomberg one O six one to San Francisco, Bloomberg M sixty to the Country, Sirius XM Cho one nine and around the globe. The Bloomberg Business app 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 to the five things that you need to notice start your day. Bro to you buy Interactive Brokers. Interactive Brokers charges margin loan rates from two point three percent to three point three percent. Their clients can also are an extra income by lending their fully paid shares of stock. Rates subject to change. Learn more at ib k r dot com. Slash compare up first. US futures are lower this morning as traders react to

mixed signals from the Fed. It's unclear exactly how big the central banks next move will be on interest rates. St. Louis FED Governor James Bullard wants a seventy five basis point move in September. Kansas Cities Esther George is more cautious.

San Francisco's Mary Daily has open to fifty or seventy five basis points, and Minneapolis Fed Chief Neil cash Carry warrants a recession could be on the horizon as we continue to raise rates, As we continue to raise costs to speak of borrowing across the economy, it should be putting tappling the brakes on the US economy, and that makes it more likely that we would end up in

a reception now. Cash Cary made the comments a day after the release of julys FED minutes, which showed officials wagging actually when to slow the pace of rate hikes. A new p WC survey is painting a bleak picture on the future of the US labor market. The results showed layoffs in the works at about half of US

companies despite a tight labor market. The more than seven hundred US executives and board members polled said the reducing headcount or plan to and over half implemented hiring freezes and taking a look at a major market mover this morning, John Shares a bed Bath and beyond Or down almost forty five percent. It follows news that activist investor Ryan

Cohen exited his entire stake in the company. He pocketed sixty eight million dollars in profits from the sale and to corporate newsdays after the CDC shifted its COVID quarantine guidance, Amazon reportedly removing its COVID leave policy Bloomberg's Really the Young joins us live with more. Good morning, Really, good morning, John. Two weeks of paid leave for COVID nineteen cases that Amazon offered employees now gone. Amazon is returning to standard

sick leaf policies beginning today. An internal memo published by Business Insider shows the companies also scrapping contact tracing across much of its network of warehouses. This affects all US Amazon employees, except for those living in California, New York, Colorado, and Philadelphia. Live in New York. I'm gonna need a Young Bloomberg daybreak, all right, Renia, Thank you? Watching shares

a deer. They're down six and a half percent in early trading at Narratives net income forecast for the full year after reporting earnings this morning, and as the five things you need to notice start your day, brought to you by Interacted Brokers. Thanks Karen STIPs thirty three Old Wall Street. Time to bring in Michael Barnett tell us what else is going out of New York and around

the world. Thank you very much, John. New York City Mayor Eric Adams says the new multi agency enforcement initiative will focus on removing of and and outdoor dining sheds. Adam says, though outdoor dining is here to stay and New York is love dining out, and we need to do it in the right way to make sure that is safe, clean, and respectable to our neighbors and those who live in the communities where we have these structures.

Mayor Adams made the announcement in front of an unused shed in Midtown, before taking a sledge hammer to help bring the structure down. The former chief financial officer of the Trump organization pleaded guilty to not paying taxes on almost two million dollars in compensation in the Manhattan Court. Alan Weisselberg could be called to testify against the organization as early as this fall. Weiselberg will spend five months

at Ranker's prison in exchange for the Plea deal. European intelligence officials say Russia is likely using the Zampareza nuclear power plant in southern Ukraine to shield its troops and equipment, undermining the safety of the plants operations. U N Secretary General Antonio Guterres repeatedly urged for the plant to be demilitarized, potential vantage to be suicide to terror spoke in LVIV. Monkeypox cases continue to climb in the US, now topping

fourteen thousand. The White House Monkeypox Response Team announced an additional one point eight million vaccine doses will be available starting early next week. The head of the World Health Organization's monkeypox response Dr. Rosamund Lewis, said it's not clear why the US has so many cases. There are other countries in the Americas that are also seeing it's deep increases in the number of cases. Part of that maybe, of course, the spread of the virus, so another component maybe,

of course, increasing access to testing. The w H shows. Dr Lewis says the US accounts were about a third of all cases worldwide. Whether permitting the Tri State area could get a light show in the sky tonight, the National Oceanic and Atmospheric Administrations has several eruptions from the Sun Sunday are headed towards Earth with strong geomagnetic storms. In other words, the Northern Lights. Storms are said to have the potential to disrupt the electric power grid, GPS

and satellite operations. Global News twenty four hours a day on air and on Bloomberg quick Take, powered by more than twenty seven hundred journalists, analysts more than a hundred twenty countries. I'm Michael bar this is Bloomberg, John Michael, thank you, and that brings us to six thirties six on the Street Times for the Bloomberg Sports Update. And here's John staff Shower. Yeah, that's lost those first two games in Atlanta. Then add the one to punch on

the mountain. Max Nurs one hit start, but a rare Jacob to Graham lost the Braves a couple of early runs driven in by Dan's by Swanson, Austin Riley, Mark Canna with a game time to run home at fifth inning, but Atlanta scored in the seventh off to Graham and the Brave one three to two. You know, early comes

down to two pitches. Um, the one that's uh Dansby just a bad slider over over the middle, and then the wonder Riley So um, you know that's those are two mistakes I wish I had back, but you know it, Uh, you know, it's frustrating, but that's lead. The Brad is now by three and a half as the Mets start a four game weekend series in Philadelphia tonight. Then it's the Subway series in the Bronx Sarzer and de Gram

will be the Mets starters. The Yankees have not won two games in a Rose since July at the Stadium all Blue Jays of five runs second, and you know Frankie Montas who his first home start with the Yanks did not go well. Blue Jay's one, nine to two. The Lone Yankee writes about the first two Major Day hits for rookie as well. Though Cabrera, Yanks fall three and a half games behind Houston for best records. American Lady,

the Astros one in Chicago one to five. Week to the NFL preseason home games with the Giant Sunday in Cincinnati and the Jets Monday Night versus Atlanta. Tom Brady was not with Tampa Bay all week. Not known when he's gonna return. Bucks coach Todd Boll said, we'll see. It's not known why Brady left the team. A Bull said he's not concerned. We do now know, but Shawn Watson will start playing for Cleveland week thirteen against his

old team, Used and Watch. The suspension for Excellent's conduct was raised when the original six games the way the utually agreed to your levet, John all right, thanks John. It is six thirty seven on Wall Street. Time to take a look at starts some of the names that are moving at the free market this morning. Ever that we're joined by Bloomberg reporter Laura. Right, Laura, let's start off this morning. What do you say, Applied Materials. What's

the story? Well, Time Materials fractionally higher ahead of the bell. This company is the largest maker of machinery used to manufacture semiconductors. The company came out with a bullish forecast that their revenue will be around six point six billion U S dollars in the fiscal fourth quarter. That came in ahead of estimates. Now, their key customers include Samsung, T, S, M, C, Intel, and these results are perhaps a sign that headwinds have

been overplayed. The CEO came out with a statement that even with a softening economy, many customers are still investing to improve their production technology further down the line. Therefore, demand continues to outstrip supply. Semiconductors have now been used in new types of devices, so the industry is less reliant on personal computers and smartphones, and maybe fundamentals do matter.

After all, most actively traded this morning bed Bathroom Beyond. Yeah, this really has become a poster child for meme stocks. We've discussed it in In recent weeks, this stock has lost fort ahead of the bell. This is all because the billionaire Ryan Cohen. We learned this morning in a regulatory filing he pocketed sixty eight million dollars in profit from the sale of his Bed Bathroom Beyond shares, making a fifty six percent gain. That was from an investment

he held for roughly seven months. And this is a sign that retail traders are perhaps late to the trade. Retail traders have been the wants to pump up the company shares in recent weeks, even with a lack of fundamentals, as you say. But that said, Bed bath and Beyond executives have come up with a statement saying they are working expeditiously over the next several weeks with external financial advisors and lenders on strengthening the balance sheet. But perhaps

it's a little too late, alright. Can we wrap up with the pre The Arnings continues this morning with John Vier. Yes, so this is the largest maker of agricultural machinery. The company cut its four year net income outlook, warning of ongoing supply chain issues, high production costs throughout the year UM, so not good news in the stock down around six per cent in pre market trading. Real quote. What is

Marathon Digital do this well? This is linked to Bitcoin, which has seen it is plummeted to a three week glow.

We've seen some big sell off from large positions UM and just within the last hour crypto prices UM sliding this morning in London, around two twenty million dollars worth of positions are and liquidated UM and Hastita came from positions in bitcoin, which is why we think Marathon Digital leaving some Laura thanks a lot appreciated Bloomberg reporter Laura right with us this morning as we look at the futures, the down futures two fifty six points lower, smp emity

futures down forty and the Bloomberg weather for it today from meteorologist Rob Caroline I and the city mainly Sunday warm, high temperature topic out about ninety, partly cloudy tonight, Los A bit seventies, partly Sunday, chance of late day showers tomorrow to ninety. 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 flash and futures are falling this morning. We get at the first Word breaking News dash for today's morning call. Here's Bill Maloney, Bill, good morning and good morning, Karen. That's right. US features are under pressure right now with down features down two seventy five point says if you dropped forty four, while NASDAK features are down by a

hundred and fifty nine. The US ten year old at two point nine three percent, Gold is down eight oil is in the red, and bitcoin is sinking by seven percent. Japan was a little changed overnight, while your markets are also in the red this morning, and back in the US, nothing to report on the economic front after develop US night, Apply Materials gave a bullish forecast and regarding earnings this morning, dear Trimmnet's profit forecast. Shares are sinking eight percent pre

market and foot Locker EPs pad estimates. In other news, Bed Bath and Beyond is plunging a forty percent pre market and wrapping things up, Horseman was raised overweight over a piper Live from the First to Breaking News descom Bill Maloney. Karen, all right, Bill, thank you, and here live breaking news of your Bloomberry type squawk on your terminal s qu A w K. And just since you met me, you mentioned foot Locker. Those shares are up more than twelve and a half percent. Well now they're

up about fifteen percent. They just took a little jump. And as a Bloomberg business flash, now here's Michael Barrow with more on what's going on around the world. Unchael, Karen, thank you very much. A federal magistrate judge is giving the Justice Department one week to propose redactions to the AFFID David, which led to the FBI search of President Trump's home in Mari Lago. US Magistrate Judge Bruce Reinhardt said the Justice Department hadn't met its burden for keeping

the entire documents sealed. The NFL and the Players Association handed down an eleven game suspension to Cleveland Brown's quarterback to Shaun Watson, he was accused by more than two dozen women of sexual misconduct. In baseball, the Yankees and Mets lost the Red Sox, Orioles A's and Giants also lost. The Nationals won Globals twenty four hours a day on air and on Bloomberg Quick Take, powered by more than twenty seven hundred journalist and analysts, are more than one

twenty countries. H Michael Barr and this is Bloomberg, Karen, right, Michael, thank you. It is sixty nine Hot Wall Street. And we turned to news and science and technology now with the Bloomberg and j I T STEM Report, brought to you by New Jersey Institute of Technology n j i T makes industry ready engineers in 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 and science, technology, engineering, and math.

The Spanish city of Seville is installing public fountains, planting trees, and switching to construction materials that reflect heat to mitigate temperatures that have scored Europe this year. Saville became the first city in the world to name and categorize heat waves in the same way the US or Asian nations name hurricanes and typhoons. E V maker Ribvian eliminated the least expensive trim of its R one T electric pickup truck,

effectively raising the price of its entry level model. Demand for the Explorer model was smaller than anticipated in according to the company, eliminating it will help the ev manufacturers streamline decreased delivery times. And Space Sex's Starship has been chosen as the launch vehicle for a Japanese satellite, one of the first publicly disclosed commercial payloads for Elon musk newest rocket. The rocket is designed to be a reusable,

multi purpose vehicle for carrying passengers, cargo, and fuel. It's scheduled to be launched in That's the Bloomberg and J. I. T. Stammer Report. John, thanks current. We are live for the Bloomberg Interranto Broker Studios where it is now six fifty

one on Wall Street. Time to check what's going on at d C and Some of the top stories that were following this morning include the long time Trumps CFO Weislberg pleading guilty to tax fraud and the Trump search affid Davit at Marilaco could be partly unsealed according to a judge. Let's take a deeper dive into these stories this morning with Bloomberg Washington recorder Jack Fitzpatrick, who joins

US now. Jack added another person in Donald Trump's orbit who's headed to jail, the elderly CFO, the Trump organization what Natuh. Yeah, it raises a lot of questions about what next. The next thing to look for is that part of this plea deal is Alan Weisselberg testifying against the Trump organization. Uh. That does raise questions about how this would potentially affect former President Donald Trump specifically. He

has not been uh implicated directly in this. Necessarily we'll see how this branches out, though, because the the CFO testifying against the organization obviously raises the question of who specifically else was responsible for these issues. These are tax issues in which they they had essentially an established record of uh not paying people with money that they had to pay taxes on, but giving cars, housing and that kind of thing to get around paying their taxes. Is

the the allegation and what he pleaded guilty too. So the the part of the plea deal that requires him to testify against the organist zation is a very significant step that raises questions about who else is next, and does it go to the former president as an individual? Does it uh sort of imply that he's kind of taken the fall, at least initially for Donald Trump. Initially

maybe UM, you know, it was an interesting issue. A couple of our colleagues reported that Weiselberg as he saw all of the other UH rising pressure legally around Trump, even in other cases in the mar Lago UH search. Um in Trump is separately pleading the fifth As someone who had criticized people who pleaded the fifth, but he pleaded the fifth, UH did it didn't look like a good situation for Weiselberg, and so he after it, initially insisting that he would not take a plea deal and

would not plead plead guilty, changed his mind. So there's there's broadly pressure rising on people around the former president, and Alan Weiselberg is is one person. But I again, because he's going to be testifying, and it raises so many questions about other people in the organization if he's taking the fall. It really is just in an initial way, there there's another shoe to drop their other people who

I'm sure are feeling pressure. UH. And this, I think, from the perspective of the investigators and the prosecutors only continues this. I was wondering about the financial pressures that are brought upon Donald Trump and the Trump organization. But then you think the more of this that you hear, that could be potentially uh sink the organization or sink anybody else. The number of donations that come in, I

just that's kind of kind of remarkable. Um. Let's move on though, to the search at Marloge at the former president's residents. What's happening on that front with the the affid David So, a federal judge has said he is not inclined to keep that affidavit entirely uh secret and withheld from the public. There are several media organizations trying to get the affidavit and the information that underpins the

search warrant that led to that moral lago search. So the Justice Department has been told they have until next Thursday to propose redactions and say what they think absolutely has to be kept secret because otherwise, the Justice Department has said that this would risk their ongoing investigations and reveal how they're getting information. Uh. If they are very very aggressive with their proposed redactions, there could be a

back and forth, a disagreement with the judge. Ultimately, the judge could make the call and say here's the amount of information we're going to put out, but this is a strong indication Asian that at least something from that affidavit, not the whole thing, but some information will come out publicly. What is the former president saying along with his supporters at this point, Uh wow, he's been very negative about

the search, saying it's unjustified. Um. The affidavit is potentially a little bit of inside baseball because this is the document that that justifies the search warrant itself. I think a lot of his pushback has been on the substance of the issue, but we we still have to see exactly what they found. These are documents that they found that were labeled top secret with the highest level of

top secret s CI clearance. UM. A lot of the debate and and I think Trump's response has been focused on that, and a number of Republican lawmakers even at this point don't seem to know what to make of this. Uh So, the the affidavit and any information from that may shed more light, But trump response has been a bit more broadly, uh defending himself on what what he felt was was declassified. And it's the news media that's requesting this to be uh. The the affidavita to be released. Right. Yes,

this is a debate over the public interest. It's news media organizations, including the Associated Press. Uh So, the issue here is how much should the public know about the justification for the decision decision to search Mara Lago? Alright, the news media are I should say my grammar correct. Bloomberg's Jack Fittspatrick. That's a lot appreciated. You can read more about these stories on Bloomberg dot com or on

the Bloomberg terminal. Reminder, you can follow all the latest Bloomberg Radio in Washington, that's Bloomberg and one oh five point seven FM HD two and ahead of the trading day, we are seeing futures right now this Friday morning lower the DAL futures two hundred seventy six points lower. That's now the eight tense of overs and s andp EMUNI futures down forty four one percent lower right now than AZDAC futures down one fifty seven points. That's a decline

of one point two percent. As far as the Wall Street fear gates still hovering just above twenty a slightly elevated today, and the two year yield at three twenty five, that is of five basis points. On the long end of ten year right now to that also is of five basis points. The the inversion continues a little less pronounced this morning. That's a negative thirty one basis points difference between the two's and the ten year. And I make scrue days down a dollar seventy one of barrel

seventy nine barrel down almost two percent this morning. You're listening to Bloomberg day Break. Just ahead Bloomberg surveillance