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

This time it's VP New York City, along with California, to have declared the state of emergency because of monkeypox cases, lost its primary day in five states. I'm Michael Larer. More Ahead, I'm John Stash, Aaron Sports another errand Judge home running. The Yankees win seventh straight win for the Mets.

Jacob de Graham pitches tonight. That's all straight Ahead on Bloomberg day Break on Bloomberg Elving Free on New York, Bloomberg one, Washington, d C, Bloomberg one oh six one, Boston, Bloomberg nine sixties, San Francisco, Syrius x M one nineteen and around the world on Bloomberg Radio dot Com and via the Bloomberg Business Actor. Good morning, I'm Nathan Hagar, and I'm Karen mall scalo in US South Index futures

are lower this morning. We are coming up to six oh one on Wall Street, and we checked the markets every fifteen minutes throughout the trading day. On Bloomberg, U S and P Future is down thirty points now futures down one fifty nine and as day futures down one seven. Ten year Treasury is up eight thirty seconds, held two point five four percent, and they yield on the two

year two point eight five percent. And NIMEX screwed oil is down about a ten s of upper cent or seventy four cents and ninety three dollar seventeen cents of barrel. Nathan Karen will have more on markets in just a minute. First, a major announcement from the White House. President Biden says the US drone strike in Afghanistan killed one of the planners of the nine eleven attacks, Ammon al Zawahi, was

the leader of al Qaida. No matter how long it takes, no matter where you hide, if you are a threat to our people, the United States will find in you and take you out. Senior Administration official tells us the drone strike had been planned for weeks and there were no civilian casualties. Well, Nathan. The strike comes about a year after the fall of Kabbal to the Taliban and

the US military's hasty withdrawal from Afghanistan. Lester Munson, principle at the government relations firm BGR Group, says it's important to look at the attack from that context. What else is happening in Afghanistan? One are the other consequences of our withdrawal. This is one event. It may be a very significant one, but we do need to kind of put it in the constellation of all of the other

information that we have. Lester Munson with BGR Groups spoke with our Washington correspondent Joe Matthew on Bloomberg Sound On. Catch the program weekdays at five pm Eastern on Bloomberg Radio. Another major story we're following at this hour care in US House speaker Nancy Pelosi expected in Taiwan this morning, defying Chinese threats of military action over the visit. We get more from Bloomberg's Bruce Einhorn in Hong Kong. She has a long history going back to you know, the

early days of her career as a China Hawk. She has a long record supporting human rights issues are related to China. She's met with the Dali Lama, She's met with Joshua Wang, the pro democracy activists from Hong Kong. She's met with ethnic wagers from Shinjian. So this is just in keeping with the long history of Nancy Pelosi's position when it comes to highlighting human rights issues democracy

issues related to China. Broomberg's Bruce sin Horn says Pelosi's trip would make her the highest ranking American politician to visit Taiwan in twenty five years. Well, Nathan, the escalating tension between the US and China is impacting Marcus Sis morning, US futures are lower, and Asian stocks fell overnight. We get the recount from Bloomberg's Juliet Sally in Singapore. Good Morning, Juliet,

Good morning Karen. China cs I three extended it's July losses and is now down around nine percent from its

June peak, moving closer towards the correction. Taiwanese stocks also came under pressure, while the Taiwan dollar fell to a May twenty low against the green bag, investors flock to save haven's With the yen rising against the dollar, for a fifth session, its longest winning streaks since April one, and Australian Vaughn's rose, while the Aussie dropped as the r VA became slightly less hawkish while still delivering another fifty basis point hike In Singapore. Juliet Sally Bloomberg daybreak.

All right, Juliet, thank you. In Europe this morning, shares a VP or up about three percent. The Oil Giants second quarter adjusted net income was the highest since two thousand and eight. We get more from Bloomberg Intelligence senior energy analyst Will Hares. This is a very big beat from BP and two Q eight and a half billion in adjusted earnings. This is roughly more than two billion

than the Street CONTENTUS had estimated. A big driver here has been there the oil trading division, which is not broken out by VP. The company cited they had exceptional oil trading returns, capturing value from some of that historic volatility we have seen well Hairs with Bloomberg Intelligence says BP also increased its dividend and accelerated share by backs well.

Nathan Beck. Here in the U shares A pinterest are surging up more than eighteen percent, as after Elliott Investment Management confirmed as Steak is the company's top shareholder, and we get the story from Bloomberg's Charlie Pellett. Elliott says it approves of the company's leadership. Sales at Pinterest increase nine percent to six hundred sixty five point nine million

dollars in the second quarter. Pinterests that have had four hundred thirty three million monthly active users at the end of the period on June, about the same as in the previous quarter, but a five percent decline from a year earlier. In New York, Charlie Pellett Bloomberg tabreak. All right, Charlie, thanks, and the earnings continue today with more than forty companies reporting Uber Technologies reports. This afternoon, we get a preview

from Bloomberg's Tom Busby. Investors will focus on two things from the second quarter results out today. Signs of how a shortage of drivers may have impacted its ride hailing business and how much it's food delivery unit Uber Eats may have suffered from rising food costs. Bloomberg and Census calls for revenue of seven point three nine billion dollars at a loss of twenty five cents per share total losses forecast to be around four hundred nine million dollars.

Tom Busby Bloomberg Daybreak, Tom, thank you. Another corporate news this morning. The legal moves are heating up in Twitter's case against Elon Musk. We get the latest line from Bloomberg's I Need a young Good Morning Radio, Good Morning, Karen. Twitter is probing the social circle of the Elon Musk lawyers are making far reaching legal requests about his forty four billion dollar deal to take Twitter private. That's according

to legal documents obtained by The Washington Post. Not twitters legal team asked for information about Silicon Valley elite investors, including David Sacks and Bark Andresen, and since some of the heavy hitters have not been named publicly in the deal, it suggests just how far Twitter is willing to go to four C Elon Musk to honor the deal. Twitter is also probing Morgan Stanley, Bank of America and other

banks that committed to backing the acquisition. Live in New York, I'm gonna need a young, Bloomberg Daybreak, Thanks for Nita SMP. Futures now or down thirty two points down. Futures down a hundred seventy Nasdaq futures lower by a hundred thirty two points, that is a drop of one percent. Tenure Treasury is up seven thirty seconds to the yield two point five four percent. Straight ahead, your latest local headlines

and a check of sports. This is Bloomberg six oh seven on Wall Street, seventy one degrees in Central Park northbound. Root thirty five is closed at the Victory Circle in South Amboy for an accident. Details coming up in traffic. First Michael Barr with what else is going on in New York and around the world. Michael, thank you very much, Nathan. New York City has declared a state of emergency as monkeypox cases continued to rise. A reporter asked Mayor Eric

Adams if the city has quote dropped the ball. On its response, Adam says it has done the best it could with the tools it had. We will receive it less than we deserved. In vaccines, we advocated we utilize our direct communication with the White House. Get more. About a quarter of all monkeypox cases in the United States are in New York City. An estimated one hundred fifty thousand New Yorkers are at risk of monkeypox exposure. California has declared a state of emergency to deal with the

outbreak of monkey box. More in this live report from Bloomberg's John Tucker John Michael. Governor Gavin Newsom mayde declaration to bolster the state's vaccine efforts. It makes California the second state in three days to take a step. Nearly eight hundred cases have been reported in that state. He says he'll continue to work with a feller government to secure more vaccines, raise awareness about reducing risk, and stand

with the LGBT community fighting stigmatization. The move comes after a similar declaration in New York State Saturday and in San Francisco Thursday. John Tucker, Bloomberg Daybreak, John, Thank you, sir. It is primary day in five states and Arizona. Voters are choosing between candidates who say they wouldn't have certified the results of the twenty campaign and those who argue it's time to move on. Of the closely watched contests

include races for Michigan's governor and Missouri's senator. Voters into Kansas will be the first to design on abortion rights since the U. S. Supreme Court revoked Roe v. Wade. Washington State also holds primaries. The Ukrainian troops have made in roads into the Russian defenses and used US supplied rocket launchers just trying bridges and military infrastructure in the South. Moscow is diverting its forces from the Dundas region to

counter the new threat. Global News twenty four hours a day on air and on Bloomberg Quicktake, powered by more than twenty seven hundred journalists and analysts or more than one hundred twenty countries. I'm Michael Blart, this Bloomberg Nathan. Thank you Michael six o nine on Wall Street time

for the Bloomberg Sports Update. Here s thanks, Nathan. Has been such a great baseball season New York through four months, and both teams began offus with victories, the Yankee seven to two, the Mets seven to three in Asha Kid. They spetched their winning streak to seven the night after nineteen hits thirteen more for by Brandon Nimo, home runs for Pete Alonso and Francisco and door Toback Max Scherzer, who beat his old team and proved his seven and two.

Mets fans have dreamt about the one two points of Scherzer and Jacob to Graham the night after Sherzer on the mound, It's de Graham tonight, making his long anticipated season debuts. Excited. Um, you know, like you said, it's been a long time. Um, you know, this has been a pretty slow process of coming back. So um, excited to be out there. Uh, nerves haven't really said in yet, but you know, I'm sure Tuesday, I'll be pretty nervous. And uh, I'm feeling it's gonna feel like my debut. Meanwhile,

at the stadium, familiar script for the Yankees. Four home runs. Anthony Rizzo three run home over before the Mariners recorded and out his twenty six and one aning later sharing off Aaron Judge is forty three. Jose Trevino added two solo shots. Domingo Herman got his first win. He may be losing his spot on the rotation. Because the Yankees before today's trade deadline acquired Rankey Montas from Oakland also got leader Luke Rovino. They required another reliever, Scott E.

Frost from the Cubs. The arbitrator hired to rule on de Shaun Watson game a six games suspension for his sexualness conduct with the fuss, but under terms of the labor deal, the NFL, who wanted a longer suspension can appeal basically to themselves, and then can add more games, which would lead to a lawsuit by the unions, though the Watson stories likely not over. Yeah, johns Dash Bloomberg

sports all right, John, thank you. SMP futures down down thirty one point, Style futures down a hundred sixty nine. Nastack futures are lower by a hundred twenty eight points. The Jackson Germany down eight tenths per cent. Cap in Paris down six tenths percent. Tenure Treasury is up six thirty seconds. The yield two point five five percent yield

on the two year two point eight five percent. Nime X crew down nine tenths per cent, or eighty six cents at ninety three dollars three cents of barrel with Geo political risk taking the four this morning. We speak next with Liz Anne Saunders, chief investment strategist at Charles Schwab.

This is Bloomberg Bloomberg eleven three oh weather, sunshine, maybe a shower thundershower going up to near ninety today and tomorrow when it will be sunny, sunny, hot, humid for Thursday highs then your five right now seventy one in Central Park markets, headlines and breaking news twenty four hours a day at Bloomberg dot Com, Bloomberg Business Out, and

at Bloomberg Quicktape. Chris is a Bloomberg Business Flash and I'm Karen Moscow socks and US stock index futures are falling him at escalating US China tension over Taiwan and deepening Rory's about a global economic slowdown driving investors into the safety of government balls. We checked the markets every fifteen minutes throughout the trading day on Bloomberg Guess and p futures down thirty five points down, features down a hundred ninety six and nastack futures down one thirty nine.

The Dacks in Germany is down about one percent. Ten year treasury of ten thirty seconds, he'll two point five three percent. That yell downe a two year two point eight four percent. Nine Max Screwed oil is down one point two percent on a dollar eleven at ninety two dollars seventy eight cents of barrel comic schooled up three tenth percent or four dollars ninety cents. A seventeen ninety two sixty announced the euro one point two three six against the dollar. British found one point to two oh

nine and again one thirty point nine zero. I'm looking at bitcoin this morning, down one and a half percent at twenty two thousand and seven hundred seventy five dollars. Today we are watching for the jolts and jobs report at a ten o'clock Wall Street time, and that's a Bloomberg business flash. Now here's Michael Barr with more on what's going on around in the world. Michael Karen, thank

you very much. President Jill Biden has announced that al kind of leader I'm in als Wharre has been killed in a U. S drone strike and cobble during an evening address. Biden is hailing the operation as delivering justice while expressing hope that it brings one more measure of closure. It's a family are the victims of the nine eleven attacks.

How Speaker Nancy Pelosi is expected to land in Taiwan today and defiance of Chinese threats, The trip would make Pelosi the highest ranking American politician to visit the island in twenty five years in baseball. The Yankees beat the Mariners seven two, the Mets beat the national seven three.

The Red Sox and Orioles were also winners. The Giants lost to the Dodgers eight to Global News twenty four hours a day on air and on Bloomberg Quicktake, powered by more than twenty seven under journalist and analysts and more than a hundred twenty countries. I'm Michael bar This is Bloomberg. Nathan all right, Michael, thank you. It's six nineteen on Wall Street Live from the Bloomberg Interactive Broker Studios. This is a Bloomberg Daybreak on a risk off morning.

We are joined by liz Anne Saunders, chief investment strategist at Charles Schwab. Liz An, it's really nice to have you back on the show with us. I'm really curious what you make of this market reaction, where it does seem as though geopolitical risk is getting the attention of investors this morning. It is the extent you point to one particular thing for a pre open move in the market.

There's obviously always lots of forces, and I think the markets strength suggests that there might be um some investors looking for excuses to take some profits. So some of it has to do with just the nature of this rally and and now having I think a reason to trim and that's somewhat typical in these bear market rallies. Okay, so do you see further momentum then for the bear market rally beyond what's happening this morning. I think we have the strong likelihood that we continue to see some

of these rallies. We've had several of them since the bear market began. This one has had some improvement in breath statistics, but you still have a very anemic percent of stocks that have moved to new highs, and you would expect to see a bit more of a burst there. Typically, I think the market has largely priced in the tighter financial conditions environment, maybe even the slowing in economic growth.

But what I don't think the market is yet priceton is what is likely coming in terms of weakening employment backdrop and a weaker earnings and profit margin backdrop, which hasn't shown up in earnest in second quarter, but I think we'll start to be reflected in estimates looking at the rest of the year. Interesting that sort of leads us to what we could get from the jobs report coming out this Friday. What are your expectations there? Do you think we'll start to see some signs of weakness

in the labor market. So expectation is is in the two hundred and fifty or so range, and that's down from the high three hundreds from last month, so that

would continue to market deceleration. And I think the the sort of innards of the job's report will be increasingly important, everything from hours worked, the differential between the payroll survey and the household survey that was dark last month when we saw the better unexpected payrolls but negative household and the two out of the last three months for the household survey from which the unemployment rate is calculated were negative.

And the only reason why the unemployment rate didn't go up is because we saw a week or labor force participation rates. So I think it's beyond just the headlines of how many jobs were created, what is the unemployment rate, but the inner workings of what's going on in the labor market, And of course preceding that on Thursday will be claims, and unemployment claims are now up by a percentage amount from the trough that is well beyond the

average for recessions historically. So yes, labor market that is important, but you got to go beyond the headlines. Now, we got further signs of economic slowdown just this week from the I s M Manufacturing Index. Is the FEDS starting to get the reduction in economic activity that it's looking for from aggressive policy? Yes, But as as Powell and many other Fed speakers have said, in terms of the actual inflation data, whether it's PC, whether it's cp I,

they want to see a series of lower readings. So yeah, the leading indicators, including what was embedded in the I s M data that came out yesterday with the big drop and prices paid the big drop, and supplier deliveries. I put a chart out on Twitter today of shipping rates from Shanghai to Los Angeles. All suggests we're going to start to see an easing and inflation. But given their emphasis on series, um, I don't think that this

is a one time deal. Where as soon as you see the peak is in on on headline CPI or any other measure, that they're going to feel the ability to kind of take their foot off the break. And I think that may be what the market might be having a bit wrong. Is this assumption that we're going to sooner rather than later get a FED pivot, get some sort of FED put um. I think that may be a bit too optimistic an assumption. Only about thirty

seconds left here, Liz. And just to bring it back to g O politics, if we do have these rising tensions between the US and China, does that have implications for a global slowdown? Um? I think it has more implications for just the sentiment environment, which has been pretty touchy anyway, Things like your policy uncertainty index probably moves back higher. So I think it just adds to the mix, even if it's not an immediate direct impact on the

global economy. Thanks so much, Lizien, again, great having you with us this morning. Liz Ane Saunders, chief investment strategist at Charles Schwab. Right now, SMP futures are lower by thirty three points, down futures down eight, and NASDAC futures down a hundred thirty five points. The tenure Treasury is up nine thirty seconds now with the yield two point

five three percent. The yield on the two year two point eight five NIME ex scrudes down one percent or ninety seven cents ninety two dollars two cents a barrel, just to head more on the market reaction to speaker Pelosi's Asia trip, and Twitter goes that elon Musk's Inner Circle.

Five Things you need to notice start your day on Bloomberg day Break Bloomberg eleven three oh weather sunshine, maybe a shower of thundershower today with a high near ninety degrees, mostly sunny, near ninety Tomorrow, sunny, hot, humid Thursday with a high then near nine right now seventy one in Central Park. Broadcasting live from the Bloomberg Interactive Broker Studio

in New York. Bloomberg Living Free to Washington, d C, Bloomberg N one to Boston, Bloomberg one oh six one to San Francisco, Bloomberg N sixty to the country, Sirius XM Cho one nine and around the globe the Bloomberg business in Bloomberg Radio dot Com. This is Bloomberg Daybreak, six thirty on Wall Street. Good morning, I'm Nathan Hager and I'm Karen Moscow. We are just about three hours away from the open of US trading. Time for the five things that you need to notice start your day.

Brought to you by Interactive Brokers. Interactive Brokers Global Analysts helps you find you global investment opportunities. To diversify your portfolio and discover undervalued companies that may have greater growth potential. Try ivy Care Global Analyst today at ib care dot com slash g a up first. President Biden addressed the nation last night, saying a US drown strike in Afghanistan killed Al Kinda leader i'm An al Zawari, one of

the planners of the nine eleven attacks. The President thanked experts and operatives who brought justice to al Zawari is thanks to their extraordinary persistence of skill that this operation was success. They made its all safer. And President Biden said he authorized this strike and that there were no civilian casualties. And we're also closely following. Nancy Pelosi is expected to visit to Taiwan this morning care and China is threatening military action over it, but the House Speaker

should make the trip safely. That's according to US National Security Council spokesperson John Kirby. We have indications that the Chinese might take some actions in a military way to protest a trip by the Speaker. What I wanted to make clear today was that we are going to make sure that if the Speaker decides to go to Taiwan,

she can do so safely. John Kirby with the National Security Council spoke with our Washington correspondent Joe Matthew and the escalating tensions between the US and China are affecting markets. Futures are lower, Asian stocks fell overnight. Anthon turning to corporate news now, legal moves are heating up in Twitter's case against Elon Musk and Bloombergh, Ddy Young joints US Live with the latest Good Morning Ready to Good Morning Care,

and Twitter is probing the social circle of Elon Musk. Literally, lawyers are making far reaching legal requests about his forty four billion dollar deal to take Twitter private. That's according to legal documents obtained by The Washington Post. Twitter's legal team asked for information about Silicon Valley investors, including David Sas and Mark Entreeson, and since some of the heavy hitters have not been named in the deal publicly, it suggests just how far Twitter is willing to go to

force Elon us to honor the deal. Twitter is also probing Morgan Stanley, Bank of America and other banks that committed to backing the acquisition. Live in New York, I'm renned a young Bloomberg daybreak, thanks Anina. More than forty companies report earnings today, including Uber and Starbucks. Pinterests who shares are surging nearly twenty despite results that missed estimates. Elliott Investment Management confirmed its steak as the company's top shareholder.

And Nathan, we just heard from Caterpillar at second quarter revenue just missing analysts estimates cessify. Things you need to notice start your day. Brought to you by interacted brokers, local News, straight Ahead, Thank you, Caring six thirty three on Wall Street where it's seventy two degrees in Central Park got an accident on the northbound Garden State Parkway. Eggs at one thirty five will tell you more in traffic shortly First, Michael Barr has what else is going

on in New York and around the world. Michael, thank you very much, Nathan. New York City Mayor Eric Adams defended his city's response to monkey pox. Adams declared a state of emergency over the buyer US When asked whether the city quote dropped the ball in its response, Adam says, the city is simultaneously dealing with multiple issues. We're moving together of still getting people vaccinated for COVID and still

dealing with the monkey pocks that's coming in. Meanwhile, California, as governor, has declared a state of emergency to combat the monkey pocks. I'll break more in this live report from Bloomberg's John Tucker John Michael. Nearly eight hundred cases of monkey pox have been reported in California. People getting six so far have mainly been men who have sex with men, though health officials note that the virus can

infect anyone. California joins Illinois and New York and announcing the emergency was should bolster vaccination status change means emergency medical services personnel canal administer monkey pox shots, similar to the authorization recently enacted for pharmacists line to New York. I'm John Tucker, Bloomberg Daybreak. Thank you very much. John.

It is primary election day today in five states. In Kansas, abortion is on the outot, the voters deciding whether residents should continue to have the right to an abortion under the state constitution. Pro choice, canvass or Jackie Clapper, whatever your views are on what do you believe restrictions or no restrictions or whatever. It's just women should be able to make that choice for themselves. However, this man supports amending the Constitution taking away the right to an abortion.

This isn't about abortion. It is about how do we want decisions made by a board of liberal judges with no input from the citizens of the state of Kansas. Michigan, Arizona, Missouri, and Washington State also hold primaries. New Jersey Governor Phil Murphy says the Jersey City councilwoman displayed unacceptable behavior when she struck a bicyclist with her car and left the scene. Murphy stopped short of calling for her resignation, as some

have demanded. Traffic cam video of the July nineteenth incident shows a car driven by councilwoman Amy de Guise striking food delivery man Andrew Bly as he rode through a red light. Black suffered cuts in an ankle injury. Capital rioter Guy Refford was sentenced to spend more than seven years behind bars, the longest sentence yet. In the January sixth case, Reford was convicted for obstructing Congress, among other crimes.

Global Name was twenty four hours a day on air and all Bloomberg Quick Take, powered by more than twenty seven hundred journalists and analysts in more than a hundred twenty countries. I'm Michael bar this is Bloomberg Naved. Thank you, Michael. Almost sixty six on Wall Street. John stash Hour has the Bloomberg Sports Update. All right, Nathan, A lot of

happy Mets fans. Seven game winnings, drink and Jacob de Graham on the Mount Tonight Mets in Washington led four to three, put the game away six eight two old. Here's a drive in here, teth to left center. This one stock flats. If my go and it's gone up center field. A free run homer to the opposite fail hit five Francisco a door. It's just eight home run of the year. He is now a privitive seven three room CBS to call seven three of the final Max

schers who got the way. Patrick Corbin took the loss, his fifteenth loss of the season, and now it's de gram baseball's best picture, but so often injured. His first Met start in more than a year, Juan Soto homeward officers or in what may have been his last game with the Nationals. Trade deadline six o'clock. Yankee busy the day before, they acquired three pitchers. A starter Frankie Mantas

comes from Oakland with the leiver Blue Blue Trevino. They also added the leaver Scott Ecross from the Cubs, and then the Yanks pete Seattle seven to two at the State of second. Three run homers many days for Anthony Rizzo came first inning his twenty six and inning later. Two run shot for Aaron Judge continues his tourrid pace. His forty three homer ten in the last eleven games. Two solo shots for Jose Trevino. The Astros trying to

catch the Yankees. They lost. The Red Sox usedon acquired catcher Christian Vascus from Boston and first base from trade Mancini from Baltimore. The NBA is investigating whether the Knicks tampered and they're signing a free agent Jayal and Bronson. Greg Norman runs the New Live Tour. He told Fox News they offered Tiger what's about seven fifty million dollars. He said, no, John should I wear bloom Bird Sports. Nathan all right, John, thank you to six thirty seven

on Wall Street. Time to take a look at stocks, some of the names moving in the pre market with Bloomberg Radio and TV markets correspondent Pretty Gupta looking under the hood of the geopolitical risk that has markets focused this morning cretty well. Of course everyone's talking about Nancy Pelosi and the visits to Taiwan. She is due to land there. I believe in a couple of hours. There is a little bit of a stock right through here.

Now you do a futures lowers. A lot of this is coming from geopolitical tensions, and once again, Nathan just feels like deja vu from the trade war. Honestly, right underneath the hood, you're also seeing a lot of this concentrated in the same names that were affected by the trade ward. Take a look at some of these Chinese A d rs. For example, Ali Baba b A b A shares around three point four percent in the pre markets.

The similar story when you look at the likes of bide You for example b I d You as your taker, also down three percent. But really at the core of the shoe when it comes to Taiwan is semiconductors, it's chips production, and specifically when you have the United States

that has recently packed two major acts within Congress. The first is a fifty two billion dollar grant for a lot of these chip companies to start production within the United States and then a fifty two billion over five years by the way, which is still a very very small part of the industry. And then you have also these other um kind of order from the U S. Commerce space thing that Intel and the likes they can't actually expand their fab capacity over in China, so that

of course is a double whammy. First, stocks like Intel for example, i n tcs R ticker down one point three and Intel really just having a bad day, Nathan, because on top of that they also got cut to negative by SNP and downgraded to sell over at DZ Bank. So there's a lot happening with the chip space at them. Yeah, it's a multi varied uh US China tension story here. But we're also getting earnings just this morning, and wonder if that will sort of bring the focus back to

the economic slowdown story. You know, it's like socks just won't get a break. Well, there Caterpillar is the one that you want to keep your eye on. Of course, we look at the stock as a global proxy, as global bell Weather, especially when it comes to Chinese demand.

By the way, I would separate it from the Nancy Pelosi story, but this really is a story of of investing, of growth, and specifically the property slowed down in the United States, c A excuse me, in China and c A T is your ticker down about four tenths of one per cent. And if you look at some of these numbers, Nathan, the revenue came in well, I want I don't want to say it was a massive miss,

but it was a miss. At the end of the day, the second quarter revenue fourteen point to five billion relative to fourteen point three seven billion. They are citing favorable price realization to higher sales volume. But that's pretty much it. I'm gonna quickly hit Pinterest here named bear with me. P I n s as your taker. Up about eighteen percent in the pre market and massive resilient result. Elliott Activists management also saying that they're now the largest shareholder

of Pinterest shares. It seems to be helping, that's for sure. Thanks creedy as always. Bloomberg Radio and TV Markets correspondent Credy gooped stocks as a whole moving lower as we watch how speaker Nancy Pelosi is playing this morning. SMP futures down thirty two points, Stown futures down, Nanasect futures are lower by ten. Your treasury yield right now two point five four per cent. You're listening to Bloomberg Day right, Bloomberg eleven three oh weather, sunshine today, maybe a shower

of thundershower going up to your ninety mostly sunny. You're ninety tomorrow, mid nineties sunny, hot, humid for Thursday right now seventy two in Central Park Markets, headlines and breaking news twenty four hours a day at Bloomberg dot Com Blo Bloomberg Business Out and at Bloomberg Quick Take, He's a Bloomberg business lash and I'm Cameron Moscow and futures are following this morning, we go to the first word breaking news dash for today's morning call. Here's Bill Maloney, Bill,

good morning, Hey, good morning, Karen. That's right. US futures are in the red right now. Debt futures down two two points, has to be dropped thirty two. Well, Nastic futures are off by one three, the US ten year old at two point five four percent, gold is up three, oil is down, and bitcoin trading lower by one point five percent. Hong Kong dropped two point four percent overnight, while EUROPN markets are in the red, led by losses

in Italy. Back in the US, on the economic front, at ten o'clock, the Jolt's job openings and after the bellas Night Pinchers reported shaws are up n in the pre market. Regarding some of the earnings this morning, Caterpillar was mixed and Leric cut its fiscally your net sales forecast. On the geopolitical front, FLOSI is expected to land in tai pay Atten twenty and a deal news this just hit TV Bank to buy Cowen for thirty nine dollars

per share. Wrapping things up, Intel is because the cell over at easy Bank live from the first breaking news Tascomb, Bill Maloney, Karen, all right, Bill, thank you. Yeah, we're watching. Shares account up eight point four percent right now in the early trade and your live braaking news of your Bloomberg type squawk on your terminal. Ask you a w K that's in Bloomberg Business Flash. Now here's Michael Barr with more on what's going on around the world. Michael Karen,

thank you very much. President Biden says that a US air strike killed al Qaida leader i'm In Alswaehira in the drone strike. The White House says that the al Qaida leader was essentially provided safe harbor in downtown Cowbol by senior leaders of the Televan network. How Speaker Nancy Pelosi continues through Asia trip and appeers she will make a controversial stop in Taiwan. China warns that it would never sit idly by if Pelosi goes through with his

visit to Taiwan, which China claims as its own. In baseball, the Yankees beat the Mariners seven to the Mets beat the National seventh three. The Red Sox and Orioles were also winners. The Giants lost to the Dodgers. A too global news twenty four hours a day on here and on Bloomberg Quicktake, powered by more than twenty seven hundred journalists and analysts more than a hundred twenty countries, by

Michael Barr, and this is Bloomberg. Cameron, all right, Michael, thank you at A sixty nine on Wall Street, and we turned to news and science and technology now at the Bloomberg n j I T STEM Report. It is brought to you by New Jersey Institute of Technology, ranked top fifty national public university by US News and World Report and top ten in the nation for engineering by money dot Com. Learn more at n j I T dot E d U now Here's just making news and science, technology, engineering,

and math. President Biden is set to name top officials from the Federal Emergency Management Agency and the Centers for Disease Control and Prevention to serve as the White House coordinators to combat the growing Monkey Pok's outbreak. The White House said Biden will announce later today that he has tapped Robert Fenton as the White House Coordinator. Dr Dmitri Descalacus of the CDC will be named his deputy. A group of top scientists claim experts are ignoring the worst

possible climate change catastrophic scenarios. Eleven scientists from around the world. They're calling the United Nations Intergovernmental Panel on Climate Change to do a special science report on catastrophic climate change to bring into focus how much is at stake in a worst case scenario and their perspective piece and the proceedings of the National Academy of Sciences. They raised the idea of human extinction and worldwide societal collapse, calling it

a dangerously under explored topic. Last week's fifty two billion dollar aid package for US chipmakers included a significant provision. Companies that received the funding have to promise not to increase their production of advanced chips in China. The curbial hit companies such as Intel and Taiwan Semiconductor. That's a Bloomberg j I t Stem report, Nathan, Thank you, Karen.

We are live from the Bloomberg Interactive Broker's studios where it's just about six fifty one on Wall Street Time now to check what's going on in d C. Some of the top stories in our nation's capital include President Biden hailing a drone strike that killed an architect of nine eleven, Speaker Pelosi poise to visit Taiwan as China threatens military action, and Cinemas silent on Mansions deal keeps everyone in Washington guessing let's bring back Bloomberg. Washington correspondent

Joe Matthew hosted Bloomberg Radio Sound on Joe. The big news last night from President Biden. I'm an Olswahi, the leader of all Kainda is off the terrorist battlefield. Yeah, big moment, in a big win for the administration that argued for this idea of over the horizon missions like we saw here drone strikes essentially attacks from outside of

the country in terms of counter terrorism. There were a lot of doubts following our withdrawal from Afghanistan that these would work, and of course we had a real botched attempt at one of them about a year ago, when ten civilians were killed after we dropped a drone strike on what we thought was a terrorist moving through Afghanistan. And this particular case, we're not only talking about one of the architects of not eleven, but even the USS coal bombing h a year earlier, and someone who had

been sought for years and years. Joe Biden managed to stand up in front of the nation last night from the Blue Room balcony, isolating with COVID, his rebound case of COVID, to announce the kill. It's considered a big win for the White House and for the US. Frankly, how was the US able to pull off this win, given that, as you say, there are no longer boots on the ground and every it's a great question. Look, we could have received information from someone on the ground.

There could be covert operations there, obviously we don't know about, or they wouldn't be covert. But as far as we understand, we do not have uh. The intelligence community does not have a presence on the ground. And of course we know that there are no military boots on the ground. It's entirely possible this came from high above. We've got satellites over that country, we've got drones over that country, and we know that they were pursuing this individual. They

found him in a safe house, uh. And they even constructed a model of the house Nathan and presented it to the president last month in July. That's when he green lit this operation, and only days later, when he stepped out onto the balcony, the drone strike hit him. It seems as this as if this triumphant moment for the US is being overshadowed by the tensions between the US and China, with Speaker Pelosi expected within hours to visit Taiwan. Where are we going here in terms of

the U S China relationship. Joe Well, the White House says, we're not going anywhere. Nothing's changed. That was the refrain from John Kirby yesterday in the briefing room and in an interview with Bloomberg News. No change to our stand on the One China policy. And there is precedent, as he made clear, for this trip, having seen Speakers of the House. God, it's been a while since New Gingwich went, but we've seen Codell's, these congressional delegations that travel UH

to Taiwan repeatedly. This is this is nothing new. The timing, though, is curious, as of course President she seeks a third term, and there does seem to be this feel in China that the US is backing away from the One China policy with a trip like this. Look, the White House did not confirm that she's going. These are still technically reports, even though we are expecting her to touch down. Questions

about what will happen when she gets there. She'll have a military escort, but unclear exactly how visible UH this trip will be, how visible her activities will be, Particularly if she's going to be touching down here shortly, we might have to wait until after the fact to see images. Nathan.

But even if the speaker word to back down, I mean, it's it would be a difficult proposition at this point for her to call off this trip, given that she's signaled at least that this is happening, right, I mean, she's got bipartisan support for making this trip. I think that's true. In fact, the Republicans, until just a couple of days ago, were the ones saying, go ahead, it's an ally, what's the problem. It was the White House

that was concerned. Of course, the President said publicly that the U. S. Military had issues, had concerns about her going, didn't want it to go right now, and that's why we knew there was a little bit of friction here. We have to remember this trip was actually scheduled originally back in April, and Nathan nobody was talking about it.

This was not a major controversy. Granted, she didn't get as close as she is right now, but when Nancy Pelosi came down with COVID, that's why they postponed the trip. It's only since, uh, the last couple of weeks of talk and rhetoric that this has become such a controversy in our last minute here, Joe, what's going on with the UH Inflation Reduction Act? The Joe Mansion Chuck Schumer

to check it. Tell you, well, first of all, we don't know where Kirsten Cinema is, and I think you were wise to point out her name in the outset of this conversation. I don't know how many more days we can go on without knowing here, but I guess you know Cinema is probably waiting for the bird bath to finish the Senate Parliamentary and is still scrubbing the text of this bill to make sure that it all

qualifies for what we call a reconciliation bill. It's got to be a budget related matter, and so Republicans are trying to kick out portions of this, much like they did with Build Back Better beginning with the Prescription Drug Plan UH that was set to lower prices, allowing the government to negotiate lower prices with pharmaceutical companies. Is that a budget matter? It's going to depend on how exactly

the parliamentarian looks at this. Joe Mansion and Chuck Schumer say they were very careful in writing the language so this would pass the test well, while we're waiting for me for Cinema to come down on this, I mean, what kind of incoming is she getting. I mean, she's got to be getting lobbied on all sides to go

one way or the other. Right, absolutely, not just lobbyists trying to pull her in one direction or the other, not just her colleagues in the Senate from both sides of the aisle who feel comfortable reaching out, but also media. You know, when senators come back today, they're gonna be core reporters will be crawling the halls looking for her. And it's probably, uh, at some point here in the next week gonna have to emerge where exactly Kirston Cinema is.

But she does have an opportunity to say, look, I haven't seen the bill. I'm waiting for the parliamentarian to rule. I'll let you know when I have a chance to read the seven dred and twenty five pages. And that could take the rest of this week. But we'll see what you get. As you joined the press corps and hound Kirston Cinema today, Joe and Washington appreciate that. Joe Matthew are Washington correspondent, host of sound on catch at weekdays five pm Eastern on Bloomberg Radio and get more

on all these stories. Bloomberg dot Com and the Bloomberg Terminal. SMP future is now down thirty two points. Stown futures down two sixteen. MAZDAC futures are lower by a hundred twenty five points. The tenure Treasury is up five thirty seconds, yield two point five five percent. Yield on the two year right now two point eight five percent. Looking at commodities, dimex crewed is down six tenths per cent, or fifty seven cents two A barrel comes gold up about a

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