Bloomberg Daybreak: August 3, 2022 - Hour 1 (Radio)

lackluster forecast. The Senate has passed the burn Pit Bill after an outcry from Vetteran's Plus the January six missing text case widens. I'm Michael Barner. More ahead, I'm John stash Our in sports, more trains to the Mets and Yankees they both lost their games, and Dodgers broadcasting legend

Vince Gully has passed away. That's all. Strad Ahead on Bloomberg day Break on Bloomberg eleven three on New York, Bloomberg on Washington, d C, Bloomberg one oh six one, Boston, Bloomberg nine sixties and Francisco Syrius XM one nineteen and around the world on Bloomberg deal dot com and via the Bloomberg Business add Good morning, I'm Nathan Hagard and I'm Karen mouscal at US DOT Index futures are higher

this morning. We are coming up to five o one on Wall Street, and we checked the markets every fifteen minutes throughout the trading day on bloomberg S and P futures up about eight points down, futures up eighty four. Nasdack futures are a little changed, and a ten year treasury little change yield two point seven four percent. They yield on the two year three point oh six percent. The euro one point eight against the dollar, and bitcoin is at one point two percent to twenty three thousand,

three hundred dollars. Nathan well Karen investors will be keeping an eye on what's happening in Taiwan. Nancy Pelosi's visit is making major waves. The House Speaker is pledging continued US support for the island despite new threats from China. Now more than ever, America's solidarity with Tom Taiwan is crucial, and that is the message we are bringing here today. Speaking at a meeting with Taiwanese President sighing when Speaker Pelosi talked about the recently past bill to boost American

made semiconductors the CHIPS Bill. All of these members were instrumental in passing that important legislation, which we think offers great greater opportunity for US Taiwan economic cooperation. Speaker Pelosi is the highest ranking elected US official to visit Taiwan

in a quarter century. China is responding with new military drills surrounding the island and fresh trade curbs on fish, fruit and sand for construction Well, Nathan, The timing of how Speaker Pelosi's trip is being questioned by some, including

Douglas Lute, a former US Ambassador to NATO. I'm not sure exactly what benefit we're getting from the trip, and it comes to the comes to a sensitive time, just as the three senior Executive Branch officials have regained contact with their Chinese counterparts have begun to discuss the ram aifications of the war in Ukraine. So it sort of sets us back, I think, from some momentum that's been

established in the last several weeks. And former US Ambassador to NATO Douglas Lewt spoke with our Washington correspondent Joe Matthew on Bloomberg Sound on Catch the Program weekdays at five PM Easter on Bloomberg Radio. Another major political story we're following this morning. Karen involves some key primary races across the country, and we get the results from Amy

Morris in our Bloomberg newsroom in Washington. We begin in Michigan, where Trump back Republican commentator Tutor Dixon faces Democratic comment Gretchen Whitmer and the race for governor in November. Dixon won the nomination with of the vote. Three House Republicans who voted to impeach Donald Trump, Michigan's Peter Meyer and Washington's Jamie Herrera Butler and Dan new House all lost

their primaries to Trump endorsed candidates. In Missouri, Republican Eric Schmidt won the nomination with nearly forty six percent of the vote, derailing former Governor Eric Gryden's political comeback. In Arizona, Blake Masters won the GOP primary with seven percent of the vote, and he'll face incumbent Senator Mark Kelly in November. In Kansas, fifty nine percent of voters rejected a proposal

to outlaw abortion. In Washington, I maybe Morris Bloomberg daybreak, All right, Amy, thank you well, a little more on that abortion vote. Out of Kansas, fifty of voters chose to maintain abortion rights in the state. Turn Out in Kansas far exceeded other contests in recent years, totally nearly twice as many ballots as in twenty eighteens primary election. Let's turn back to markets now, Karen. They are stabilizing this morning after yesterday's declines fueled by anxiety over US

China relations and hawkish comments from the Fed. In fact, four FED officials pushed back at the idea that the central bank may pivot away from tightening. They say there is no sign inflation is easing. Here's Cleveland's Lorettamester. You don't talk about recession per se, it's are we growing below or above trend? And you know my forecast for this year is that will be growing below trend. But that's necessary in order to get price increases inflation under control.

Cleveland's or At Semester helped trigger a surgeon treasury yields yesterday. St. Louis Fed President James Bullard says the FED is up to the task of tackling inflation. So modern central banks, I will try to convince you have more credibility than their counterparts in the nineteen seventies. Because of this, it seems like the FED and the ECB may be able to disinflate in an orderly manner and we'll get a

relatively soft landing. St. Louis FED President Jim Bull had reiterated the Central Bank should probably increase its benchmark rates to as high as four percent by the end of the year. Nathan several stocks in the move this morning. Shares have Advanced micro Devices down five and a half percent. That's after the ship maker gave a lukewarm sales four cast.

The story from Bloomberg Shirley Pillett. It indicates that market share gains against Intel will not make up for a decline in PC demand, and he said revenue in the period will be about six point seven billion dollars. That compares with an average annalists estimate of six point eight

one billion. Under CEO les So Sue am D have been taking market share from Intel and benefiting from demand for its new powerful server chips, but the outlook shows that the company is not insulated from the slowing PC industry, which is still the biggest market for its products. In

New York, Charlie Pellett, Bloombird, debreak. Alright, Charlie. Thanks. Let's take an look at some other stocks in the spotlight this morning, Live with Bloomberg's John Tucker, Hey John, and the arab NB shares slumping in the pre market, down over seven percent, Nathan the company missing estimates on bookings shares a match plunging this morning, the parent company of dating apps like Tender, giving a forecast for revenue of the current quarter that falls short of estimates, growth being

slowed by the fallout from COVID nineteen. PayPal shares there are up ten percent pre market after saying activist investor Elliott Investment Management now one of the largest shareholders, and that cost cutting will save nine million this year. And Robert hood market shares little changed. They announced they're eliminating almost a quarter of their workforce. Live in New York. I'm John Tucker, Bloomberg, Debreak, Tom, thank you. Oil also

and focus this morning. Traders waiting to see whe they're OPEC will heat at US call to increase oil supplies. The OPEC plus coalition meeting virtually today, and a Bloomberg survey suggests the alliance is more likely to keep output steady in September. Straight ahead, your latest local headlines, plus a check of sports. This is Bloomberg, Thanks Haring. It's five oh seven on Wall Street. We're seventy four degrees in Central Park. Pretty decent start on the roads. Will

fill you in on that in traffic shortly. First, Michael Barr is here with what's going on in New York and around the world. Good morning, Michael, Good morning Nathan. The Senate passed the Packed Act aimed at helping veterans who have been exposed to toxic burn pits. The bill passed and an eight six to eleven vote, overcoming Republican

claims it contains loopholes that would allow indiscriminate spending. Senate Democratic Leader Chuck Schumer spoke after the bill passed finally, at long last, America lived up to its ideals by saying, to our veterans who have been exposed to toxic chemicals from burn pitts, we have your back. Senator Schumer says

the bill will help thousands of sick US veterans. New York Congresswoman Carol and Maloney said she didn't believe that President Joe Biden would run for re election in Maloney is the latest Democratic official to question whether their party's leader will seek a second term. The comments came during a New York One debate last evening among candidates vine for the Democratic primary nomination in New York's twelfth congressional district.

Because of redistricting, Maloney is running against fellow New York House heavyweight Gerald Nadler and lawyer Saras Ptel. The Defense Department electronically wiped the phones of some former top officials who served under then President Donald Trump. Bloomberg's d Baxter reports, and the Department of Defense is confirming that a d o J investigation of the missing January six tax is now confirmed that, along with accidentally deleting some texts, some

phones were purposefully wiped after January six. Government lawyers made that admission in court filings tied to the Freedom of Information Act lawsuit, and the Oversight Group is urging Attorney General Merritt Garland to investigate DODS actions in allowing the destruction of records potentially relevant to a significant matter of national attention and historical importance. In San Francisco, I'm at

Baxter Bloomberg Daybreak. The State Department of War an American citizens traveling overseas of possible retaliation by Al Qaina and its supporters after the organization's leader was killed in a US drone strike. Global News twenty four hours a day on air and on Bloomberg Quicktake, powered by more than seven hundred journalists and analysts in more than a hundred twenty countries. I'm Michael Barr, and this is Bloomberg, Nathan. Thank you, Michael five O nine on Wall Street time

for the Bloomberg Sports Update. Good morning, John Stanh, Good morning, Nathan. Vince Scully has passed away. The New York native began calling Brooklyn Dodgers game shortly after he graduated from Fordham, and he kept the job for sixty seven years. The owner of that soothing voice with an unparalleled ability to tell stories while calling the game, Vince Scully was a true broadcasting legend. Was ninety four Mets and Yankees both lost Mets and Washington five to one and their seven

game win. Stream of Mets fans happy to see Jacob Agraham on the mound. Five solid at things. He allowed just one run in his season debut. Yankees battled back from deficits a couple of times, but in the end lost in Seattle at the Stadium eight to six. Yankees made a couple more trades before the deadline. They found a Joey Gallo taker and the Dodgers. Gallow was a complete bust in his time in Pinstripes, betting just one fifty nine. The Dodgers gave the Yanks of top pitching

prospect Clayton Beater in return. Yankees then made a more surprising move because George Montgomery has been a solid starting pitcher for them, but they did just acquire another starter and Frankie Montes, so they ship Montgomery to St. Louis for an outfielders Yankees GM and cashman Harrison Vader is you know, one of the elite center field UH defenders in the game, UM and so he provides a lot of lanes for us, I think for our manager when

he's when he's health in. Vader currently has a foot injury. He's a New York native, went to high school at Horace Mann and the Bronx. Matt's acquired two players yesterday outfielder Darren Rof. They sent J. D. Davis to the Giants for him Mets also picked up reliever Michael Gibbons from the Cubs. Of course, the big trade yesterday with Juan Soto going from Washington to Same Diego. John Skashwar

Bloomberg Sports. Okay, John, thank you. Right now. SMP futures are up eleven points, Staff futures up a hundred nine, Nastack futures are higher by twenty three points, the tenure treasury is up three thirty seconds, the yield two point seven three percent, yield on the two year three point zero six percent, and nimex crew down one point two percent or dollar fifteen six of barrel. Ahead of the OPEC plus meeting. You're listening to Bloomberg Daybreak. Bloomberg Daybreak

brought to you by Peepack Private Wealth Management. Peapack Private Wealth Management knows that a portfolio is more than a collection of assets. It's a path to your future. Visit Peapack Private dot com and begin your financial legacy today, Markets, headlines and breaking news twenty four hours a day at Bloomberg dot Com, at the Bloomberg Business at and at

Bloomberg Quick Tape. This is a Bloomberg Business Flash and I'm Cara in Moscow stocks are studying as some of investor anxiety over tense US China ties eases, while treasury yields and are fluctuating a bit after a slide is sparked by hawkish Federal Reserve comments. We checked the markets over fifteen minutes throughout the trading day on Bloomberg Right now, S and P futures are up nineteen points down, futures up on two NASDACK futures up sixty the decks in

Germany's up three tenths of upper set ten. Your treasury little change a two point seven four percent They yield on the two year three point six percent NIMEX Scrude oil is down one point one percent on ninety seven cents at ninety three dollars forty six cents of barrel. Comic School is down four tenths per cent or seven

dollars fifty cents. A seventeen eighty two ten announced the euro one point o one nine zero against the dollar, British found one point two one eight seven, the yen at one thirty three point one four and Bitcoin of one and a half percent at twenty three thousand, three hundred sixty dollars Today, We're watching for reports on durable goods orders and factory orders at at ten o'clock Wall Street, Time, CBS and Maderna are among the company's scheduled to report

earnings today. That's a Bloomberg Business Flash. Now here's Michael Barr with Moore on what's going on around the world. Buckle, Good morning, Good morning, Karen. Kansas voters refused to change the state constitution to declare there is no right to an abortion on a fifty nine to forty one percent vote. The state Supreme Court decision in twenty nine that grantede state constitutional abortion rights remains intact. Hall of Fame broadcaster

Vin Scully has died. Scully with those beautiful delcent tones, broadcast baseball games for the Dodgers for sixties seven years. Vin Scully was nine four asked for the games. The Yankees lost to the Mariners eight six, The Mets lost to the Nationals five one, the Orioles and Red Sox one, the A's and Giants lost. Global news twenty four hours a day on here and on Bloomberg quick Take, powered by more than twenty seven hundred journalists and analysts. More

than a hundred twenty countries. Michael Barr, and this is Bloomberg Naken. All right, Michael, thank you. It is five nineteen on Wall Street Live from the Bloomberg Interactive Broker Studios. This is Bloomberg Daybreak as we continue to follow House Speaker Nancy Pelosi's trip through Asia, getting ready to leave Taiwan.

Now a controversial visit given the tensions between the U S and China at the moment, and the current is with us this morning, Chief Asia Economics correspondent for Bloomberg News joining us Li from Hong Kong, and good morning. We've heard all the threats from China. We've seen the military drills that are about to begin in the next day or so. What is the lasting impact or is there a lasting impact from how Speaker Nancy Pelosi's trip to Taiwan. Well, the impact will start to become clear

over queen days and perhaps once she leaves. Like you mentioned, there have already been some hints or some signs of a trade embargo on some Taiwanese goods. So, for example, fruits that China imports in Taiwan are now banned. China, of course, is existly saying it linked to speaker closest with it, but that's obviously the intention of it. There there are other restrictions on two way trades come into place. For example, China will not export fine SAMs to Taiwan.

So there's some measures happening on the economical and trade tye of things. Now. Of course, I want to move forward to the next three days of military drills and exercises that we really ring the island of Taiwan and go beyond what happened back in the last strange crisis, which is back in They're going to have to monitor how that happened. There's already been destruction to supply chains.

The of course TI want strade. It's so crucial an artery for global trade, and there's already our colleagues reporting from shipping companies and the like having to make the versions. China put out a warning to airlines today that they're going to have to avoid dangerous owns around Taiwan. There's get notification where they should not fly and airlines are just in accordingly. For example Pacific, the Hong Kong Airline here have to stock up on it on its fuel

to to make its trips. So these are near term tangible response that are happening here and now. Of course, as for what it douilds for the broader spectrum of the US and ENNE relations will take longer fume clear, But you have to feel at early it's not exactly going to be positive for those relations either. Yeah, there was some expectations, some groundwork laid for presidents need to speak with President Biden from the US and the next upcoming weeks, if not months. How does this visit by

Pelosi potentially complicate that? Well, it raises all manner of questions. Can these two governments under one hand, reached the brink of a crisis that we apparently are with seeing today and yet on the other hand go ahead of a sort of a parallel stream of talks where the two leaders do plan to meet at some point overcoming months. I mean, it would have to assume it is a

negative for those for those prospects. Nonetheless, we'll have to see what kind of language competed a Beating and Washington overcoming days. Once this trip wraps up, we've already had the four minutes of wine. Whine need talking to me

about how to cupples the complete force. We know that China has been eating very hopeish language, and indeed so much in fact that some with Don medicines are said to be disappointed by the steps that China has taken today will be under pressure to continue with their hopeage approaching this. But we'll have to see whether or not it can be the to you to a point of where two leaders believe that they have the face that they can leave again without of course either side being

seen as have a lost out listed. And of course this is coming just a few months before Chinese President Hi Jin Ping stands for a third term at the Party congress later this year. How does his response to what's happening in Taiwan feed into that, Yes, if this is where politics really does come into it, because there was a UNIL money analysts about this trip that regardless President she would have to be seen to respond strongly. He he would have to be seen to send hope.

Should know you as over this. But you know, despite all the language in the run up to the visit, speaker cloths who went ahead with it, And there is is now kind of sub thread coming out of China that we reported on that people used the social media and the lier disappointed that the China response has been robust enough, and there are some prominent accusis in the

former editor of Global Time Stay back to newspaper. He's expressing it agrieved to deployment in terms of what has happened, But of course we haven't yet seen the full response. Like I said earlier, we're now really into military end of this response, and over the next three days, China's like they're going to ring that island and they're going to let off their live rounds and conduct their exercises in on scale much bigger than what happened to you

that ninety nine crisis. So, as I said, due to the kind of substory clean China, that the response so far has been somewhat muted, we could argue we have yet stiful response and we will do overcoming days. Yeah, potentially heading into an even more tense weekend. Thanks for this end of course, we'll continue following developments and occurring with us. This morning, Chief Asia Economics correspondent for Bloomberg

News with us from Hong Kong. Right now, SMP futures are up eighteen points now, futures up a hundred forty two. Nastack futures higher by fifty nine points. Tend your treasury up one thirty second deal two point seven four percent, and I'm ex screwed down almost one percent. Ninety three All, there's fifty two cents of barrel. You're listening to. Bloomberg Daybreak, Bloomberg eleven three oh weather, lots of sunshine today, a

high in your ninety degrees. The heat advisory kicks in and tomorrow last till Friday hides both days near right now seventy four in Central Park, broadcasting live from the Bloomberg Interactive Broker Studio in New York, Bloomberg Living freed to Washington, d C. Bloomberg nine to Boston, Bloomberg one O six one does San Francisco, Bloomberg sixty to the country, Sirius XM chto one nineteen 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 Nathan Hagar and I'm Karen Moscow. We are just about four hours away from the open of US trading. Let's get you up to date in the news you need to know at this hour, we begin overseas with investors keeping an eye on what's happening in Taiwan, Housepiger and Nancy Pelosi is planting a continued to US commitment to the island. Despite new threats from China, America's determination to preserve democrats.

The here in Taiwan and around the world remains iron clad. Houspiger and Nancy Pelosi was speaking at a meeting with Taiwan's president. China is responding to Pelosi's visit with new military drills and fresh trade curbs. Or also following key primary races across the country, Karen Tutor Dixon, backed by Donald Trump, won of the vote for the Republican nomination in Michigan's governor's race. He will face Democratic incumbent Gretchen Whitmer.

In the fall, three House Republicans who voted to impeach the former president lost primaries to Trump endorsed candidates in Michigan and Washington State, Republican Eric Schmidt secured nearly forty of the vote from Missouri's open Senate seat, derailing former Governor Eric Brighten's and in Arizona, Blake Masters will face incumbent Senator Mark Kelly after winning the GOP primary with

thirty seven per cent of the vote. All turning to markets now, Nathan, they're stabilizing after yesterday's declines fueled by geopolitical tensions and hawkish comments from the FED. Four officials pushed back against the narrative that the FED may pivot away from tightening. Cleveland President Loretta Mester says officials are not necessarily talking about a recession, but an outlook for growth.

My forecast for this year is that will be growing below trend, but that's necessary in order to get price increases inflation under control. The comments from Cleveland FED President Loretta Mester helped trigger a surgeon treasury yields yesterday. Incorporate news this morning. Shares of Advanced micro Devices are down about five per cent after the company gave a lukewarm sales forecast. Other stocks are in the spotlight this morning as well, and Bloomberg's John Tucker joins US Live with

some of those. Good Morning, John, and Nathan. Among the most active, Airbnb, issuing a weaker than expected to outlook overshadowing otherwise strong results. Shares down over seven percent. Covid putting a vamper on dating still dating apparent, hatch projecting week revenue for the third quarter. PayPal Holdings confirming that Elliott Management took a state hit in the company and also announced a cost cutting plan and shares a robin

Hood Markets little change. The app based brokerage dismissed seven people. That's about pent of their staff live in New York. I'm John Tucker Bloomberg, debreak. All right, John, Thanks, And futures are higher S and P futures have about eighteen points down. Futures have one thirty four nast day futures of fifty nine straight ahead, your latest local headlines plus

the check of sports. And this is Bloomberg. Thanks. Hearing three on Wall Street, seventy three degrees in Central Park, starting to see volume build on the westbound l I E. We'll get to the details in traffic first. Michael Barr with what else is going on in New York and

around the world. Michael, thank you very much. Nathan, Kansas voters have sent a resounding message about their desire to protect abortion rights by rejecting a measure that would have allowed the Republican and controlled legislature to right and abortion restrictions or banned the procedure out right. The vote in the red state was the first test of voters feelings

about abortion since the Supreme Court overturned Roe v. Wade. Meanwhile, President Biden today will sign a second executive order intended to improve access to abortion services. The order will direct the Secretary of Health and Human Services to consider actions to help patients travel outside their states for abortions using funds from Medicaid. The Senate last night passed the Packed Act, aimed at helping veterans who have been exposed to toxic

burn pits. Senate Democratic lead to Chuck Schumer credited veterans who protested for days outside the Capitol for helping to get the bill passed. They were there as a beacon to all of America. They said, you're not We're not gonna let you forget us. We're not gonna let you walk all over us. Comedian John Stewart also campaigned for the Toxic burn pits bill. Senator Schumer says it passed

in an eight six to eleven vote. High ranking New York Democratic congresswoman speculates on whether President Biden will run for office again. President Biden was a major topic in a debate leading up to the Democratic primary for New York's twelfth district. When asked if Biden should run again, Representative Caroline Maloney told New York's one moderators, I don't

believe he's running for re election. Districting maps pitting Maloney against other Democratic veterans against Representative Jerry Nadler coo early to say doesn't serve the purpose of Democratic Party to to deal with that until after the mid terms. Maloney and Natler face off August. The Defense Department electronically wipe the phones of some former top officials who served under then President Donald Trump, including the leting text messages related

to last year's attack on the US Capitol. Global News twenty four hours a day on airand on Bloomberg Quick Take Power got more than twenty seven under journalist and analysts more than twenty countries. How Michael bar this is Bloomberg, Nathan, thank you, Michael. On Wall Street, we get the Bloomberg Sports Update with John Stasha. All right, Nathan Vince Scully,

the legendary Dodgers announcer, has passed away. Imagine having the same job for sixty seven years and imagine witnessing so much baseball history from Brooklyn winning the nineteen fifty five World Series of the ball going through Bill Buckner's legs at Chase Stadium. Here was Scully on a night in Atlanta four for the country in the world, A black man is getting a standing ovation in the Deep South for breaking a record of an all time big bottle. And it is a great moment for all of it,

and particularly for Henry and Scully. Was ninety four Jacob to Graham on the man for the match, first time in more than a year in Washington. Pitch five innings, allowed just one run, three hit, struck out six. Nothing's changed. The Mets struggled to score for him, just a Francisco lindoor home run. Stephen Nouga sec replaced the Graham gave up back to back Homer's Washington end of the met seven game winnings big five to one. On the day of the Nationals traded their twenty three year old star

Juan Soto to San Diego. The mess traded j. D. Davis to the Giants for outfielder Darren Rough. The Yankees traded Jordan Montgomery to St. Louis for outfielder Harrison Bader, a New York native, is currently out with a foot injury. The Yanks also sent the unproductive Joey Gallo to the Dodgers at the Stadium. Yankees still behind for nothing. Later six three, they tied the game, but a pinch hit home run by Seattle Sam Haggarty seventh I mean the

Mariners one eighth to six in defeat. Yanks got home runs from Jose Hvino, Anthony Rizzo, and Josh Donaldson. The NFL took away the Miami Dolphins first round draft pick next year for tampering with trying to hire Sean Payton and the choir Tom Brady, Tom Stashward, Bloomberg Sports Nathan Thanks John seven on Wall Street Time for the Tri State Business Report with Bloomberg's head Cory Attorney General to Teacher James has issued an investor alert for New Yorkers

affected by the cryptocurrency crash. It's part of its own going investigative work. The O a G is interested in hearing from New York investors who are unable to access their investments or who have been deceived about cryptocurrency. The Board of New York and New Jersey has announced new terraffs on Tuesday related to empty containers and export volume and its battle to decrease container congestion. Both loaded and empty containers that are considered long dwelling will be subjected

to a quarterly container imbalanced fee. Three Long Island hospitals are among the top performing medical centers. The US Centers for Medicare and Medicaid Services gave its highest rating to north Well Health Huntington's Hospital, Catholic Health St. Francis Hospital and Heart Center in Rosslyn, and n y U langgn Health Hospitals. That your Bloomberg Trying State Business Report. I'm Ed Corey, alright and thank you, five thirty eight on Wall Street. Bloomberg Radio is on the air from San

Francisco to New York, London to Hong Kong. Let's check in with our global news team for some of the top stories heard on our three hundred affiliate radio stations around the world. I'm Steve Potaskan on ten Chen Wins in New York. We're talking about the National Retail Federation that that there won't be a recession this year. Um Corney Donahollan ktr H in Houston, Shell is handing out bonuses to employees as earning search to record high. I'm

Gina Servetti in for w BBM in Chicago. I'm reporting that grub Hub's parent has had to record an impairment charge on its u S food delivery business, saying orders slowed in the year's first half. I'm Stephen Carl on d AB Digital Radio in London. We've been speaking to Lord Peter Hayne about the UK government banning Bain and Company from bidding for public contracts. It Cory on w b a M in Cleveland. I'm reporting ge Lighting will

close to Ohio lightbulb Player. And those are some of the stories our twenty seven under Bloomberg journalists and analyst are working on this morning around the world. 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. Like Osama bin Laden his predecessor as leader of al Qaeda, i'man al Zawahiri had the blood of

thousands on his hands. In addition to helping plot the September eleventh terrorist attacks, Zawahery played a role in the two thousand five London transit bombings and the bombings of two US embassies in nineteen ninety eight. His demise, announced by the White House on Monday, was a feat of patient, effective intelligence work. US spies tracked the long sought terrorists to Afghanistan earlier this year, then spent months observing him.

The information they gathered allowed an American drone to target him this past weekend, killing him on the balcony of his house. Few terrorists of Zawahiri's generation were responsible for more bloodshed. For now, it's enough to say that justice has been served. This editorial was written by the Bloomberg editorial Board. For more Bloomberg opinion, please go to Bloomberg dot com, slash opinion or O P I n go

on the Bloomberg terminal. This has been Bloomberg opinion, and you can hear Bloomberg opinion editorials every weekday at this time. Terminal customers can read more at O P I n go. You're listening to Bloomberg Daybreak Bloomberg eleven three oh weather sunny near ninety today, heat advisory and effect tomorrow into Friday.

Both days near nine five hot, humid for the rest of the week right now seventy four in Central Park Markets, headlines and breaking news twenty four hours a day at Bloomberg dot Com, the Bloomberg Business Out, and at Bloomberg Quick Jape. This is a Bloomberg Business Flash and I'm Karen. Moscow stocks are studying as some of the investor anxiety over tense US China ties eases, while treasury yields are fluctuating after a slide sparked by hawkish Federal Reserve comments.

We checked the markets every fifteen minutes throughout the trading day on Bloomberg s and P futures up sixteen points down futures have a hundred twenty five NASDAG futures of fifty one The decks in Germany's up to tenth se percent. Ten year treasury down one thirty second yield two point seven five percent. The yield on a two year three point oh six percent. Nimex screwed oil is down one percent on ninety three cents at ninety three dollars forty

eight cents a barrel. Comex School down half percent or eight dollars ten cents at seventeen eighty one. Sixty announced the euro one point eight five against the dollar British found one point two one six eight and the yen one thirty three point one six and bitcoin this morning of one point four percent at twenty three thousand, three hundred fifty dollars. That's a Bloomberg business flash. Now here's Michael Barr with more on what's going on around the world.

Michael Karen, thank you very much. A major victory four abortion rights advocates. Voters in Kansas overwhelmingly rejected an amendment it would have eliminated the constitutional right to an abortion and placed the issue in the hands of state lawmakers. President Joe Biden to day will sign a second executive order intended to improve access to abortion services, more than five weeks after the U. S. Supreme Court allowed states to largely put them off limits. A sad day in

Baseball Hall of Fame broadcaster Vince Scully has Dined. Scully broadcast games for the Dodgers for sixties seven years. Vince Scully was ninety four. As for the games, the Yankees lost to the Mariners eight six, the Mets lost to the Nationals five one, the Orioles and Red Sox one, the A's 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 analysts and more

than a hundred twenty countries. Michael Barr and this is Bloomberg. Nathan, okay, Michael, thank you. It's five forty nine on Wall Street Live from the Bloomberg Interactive Brokers Studios. This is Bloomberg Daybreak on a morning where geopolitics and electoral politics are front and center. It's a very appropriate that we have Wendy Schiller with us this morning, director the Tobman Center for

American Politics and Policy at Brown University. Wendy, it's always great to speak with you, particularly now when investors are trying to wrap their heads around what House Speaker Nancy Pelosi's visit to Taiwan means for US China relations. How do you see it now that this trip is pretty close to wrapping up. Good morning, Nathan um. I think Pelosi was trying to do two things at once. One was to showcase the power of the Congress per se and her role as speaker, and a particularly the area

of trade. As we know, you know, the House has to originated all taxing revenue bills, Texas spending bills. And you know, if we're gonna do anything big on trade or things are gonna have to get to Congress dealing with China on trade, then the House is a very important pitch stop for that legislation. And I think she was reminding not only China but the world that that is the fact, and so that Congress has to be recognized. Second, is a break with Biden really just showing that the

Democrat Party has independence from the Biden administration. I mean, she did this on purpose, and she's a very strategic political leader, she has been her whole career. Uh, And this was to say, look, even if you don't like Biden, there are things that a Democratic Congress could try to do that will be in contrast to the Biden administration. And that's one of the reasons why you want to

still keep us in office. Well, why would Speaker Pelosi want to exhibit this kind of break with President Biden? What's what? What's the upside? Well, the upside is that when you are you know, the junior poll is not that bad. So the Democrats right now, I mean, the Republicans are a little bit ahead, depending on whose poll you look at. But the Democrats need something. Uh. You know, gas prices are slowly dropping, or the price of oil,

you know, for Bow right now is dropping. We don't know how that will be in November, but right now most of the primaries are over, and now the general election essentially begins as soon as Congress goes home. Uh. And so that is something where you have to grab onto anything you can do. And one of those things you can do is to say we know how to run the country. We're not just good domestically. If you don't like what we do domestically, we will pressure the

Biden administration to be stronger against China internationally. And so, for those members that might be asked about this in particular districts, making point to this visit as a sign that the Congressional Democrats will stand up to Biden when they need to. Well, let's turn to the primaries that we've just gone through in five states. Last night, it looks as though, was for the most part, a pretty good night if you were a Republican candidate backed by

former President Trump. Yeah, it was an excellent night for Donald Trump, particularly in Michigan and Arizona, and I think it's got to be extremely worrisome for the Democrats in the Senate race in Arizona, Mark Kelly is running for re election, and you know, not only had most of the Trump people win, but you had the turnout was higher. And now some of those reasons as that the primary was more contested, but Republican enthusiasm in Arizona seems to

be very high. And you're you're putting an office multiple people who are running for all of us not in office yet, who deny the legitimacy and that and that there's a lot of contestation in Arizona, as we know, in terms of recounting the vote, and that's got to

be a great concern to the Democrats. So I think progressives want to celebrate the victory in Kansas on abortion, but when you really look at sort of the map as it's it may lay out for twenty four, you're seeing strong warning signs, I think in Arizona and in Michigan. Even though Gregen Widmer has saw the proval readings and she's doing well, the Republicans nominated somebody who could turn out to be a very attractive candidate to people in

Michigan in a bad year for Democrats. So for the most part, do you think that the Republicans, who sort of share the former president's view that the election was stolen could have a pretty good chance against the Democratic candidates in the November election. I do think that they can get elected, yes, And I think it may not be because of their stance on the election. That's the

that's the question mark for Trump. He you know, he had a good night, But is this really in the general election going to be about Trump and restoring Trump or um, you know, denying election or is it going to be about inflation and guest prices and voters just wanting to change and not wanting to elect incumbents. And I think that's going to be how to read those t v's, uh, which all observers are gonna have to

figure that out. But I think that's the warning signs are structural in terms of accepting elections and even the results of the two mid terms. In Arizona, for example, uh, and in Missouri, Greens was rejected. He was sort of an unattractive personal candidate, but Eric Fitz not really all that different in terms of policy. And in Kansas, for example,

Chris Koback is back. People remember him. He was on the voting Certification Commission that Trump established after one so in team, so you know, Kansas is sending mixed signals to Thanks Wendy, great having on with us this morning. Wendy Schiller, director of the Topman Center for American Politics and Policy at Brown University, Karen, Sorry, Nathan, thank you at it's five and fifty four or on Wall Street.

Now to a legal story we're watching this morning. Best Selling author Stephen King testified for the government yesterday and an antitrust trial to stop Penguin and Random Houses proposed two billion dollar acquisition of Simon and Schuster, his own publisher. The Justice Department is suing to block the largest US book publisher from buying the fourth largest, contending the merger

with sword competition hurt authors and ultimately readers. King testified that the five biggest publishers have largely squeezed out independent shops, making it harder for fledgling authors to make it into print. For more of Bloomberg's June Grosso speaks to Jennifer Ree, Bloomberg Intelligence senior litigation analyst. The government says this merger

would affect the book publishing industry detrimentally. House sold. You know, it's a very interesting argument because it is a bit different than a typical antitrust argument made to try to block a merger. So what they say here is that there will be an impact on labor, in other words,

authors of anticipated top selling books. So these are the authors that come along you expect the book to be really big, and these publishers are bidding for the rights to that book, and you know, they bid against each other and the price goes up and the authors are paid more. So they're saying that that kind of head to head competition boost these authors pay, you know, and spurs the publishers to give better editorial and marketing services

to get those book rights. They aren't arguing that people like me or like you that go out and buy a book are actually going to pay more for a book. That's a more traditional antitrust theory. This theory is about labor and what it's called as a monopsony theory too few buyers rather than too few sellers. This is an industry that's already undergone consolidation. Penguin Random House that name shows consolidation, right, you know, I think that's one of

the most important points here. In particular, the Department of Justice has said, you know, they really want to broaden out the kinds of deals that they challenge and broaden out the antitrust approach to mergers, and one of the things they want to think about more are just industries that have trended toward consolidation. That as you see a trend toward consolidation, you kind of want to nip it in the bud before it gets too far and too

consolidated under your nose. And you're exactly right. This is an industry that's had loads of consolidation in the last couple of years. And not only that, this top five companies that the DJ is talking about have been accused of colluding in the past, and that's another theory the DJ will have. Hey, the fewer you have, the more likely it is that they can collude in the future. Now, this has been described as a key test for the

Biden administrations pushed to expand antitrust enforcement. Do you see it that way? You know, I do, because this concept that we're going to look at the merger's impact on labor is barely untested and new in court to rest the entire theory of harm just on that theory and go to court with it is fairly new and untested, So we'll see how they can prove that and how the district court judge views that, and it could lay the groundwork for future challenges to mergers that are based

on the impact on labor. So it is very new in that way, and I think also with respect to what you just talked about, that it's an effort to sort of stem the tide of consolidation in an industry

that's been trending in that direction. And as Jennifer Ree, Bloomberg Intelligence senior litigation analysts, speaking with Bloomberg juon Grass So catch more of that interview plus analysis of the latest legal news by subscribing to the Bloomberg Law podcast or downloading the show at Bloomberg dot com slash podcast Attorneys. You can find exceptional legal research and business development tools at Bloomberg Law dot com and on the Bloomberg terminal

at blong Go. And it's headline with how speaker Nancy Pelosi is playing leaving Taiwan this after her historic visit where she pledged the US would not abandon Taiwan, and this is Bloomberg