Bloomberg Daybreak: December 7, 2022 - Hour 2 (Radio)

is the latest company to slash jobs. New York Mayor Eric Adams welcome's new top appointees in his administration, plus an iconic New York City comedy club will close its doors. I'm Michael bar More ahead, I'm John Stashower in sports to shut out, win for the Devil's, the Islanders lost,

met and Yankee free agent pictures are moving on. That's all's trendy head on Bloomberg day Break on Bloomberg eleven three, on New York, Bloomberg one, Washington, d C, Bloomberg one oh six one, Boston, Bloomberg nine sixties and Francisco Sirius XM one nineteen and around the world Old on Bloomberg Radio dot Com and via the Bloomberg Business Ship. Good Wednesday morning, I'm Any Morris and I'm Karen Moscow and US dot Index futures are lower this morning at six

oh one on Wall Street. And we check the markets all day here at Bloomberg Radio. Right now, S and P futures down eight points or two tenths of a percent. Down Future is down thirty eight or one tenth of a percent, and NASDACK futures down thirty four points or three tenths of a percent. The decks in Germany is down a third of a percent right now, And attend your treasury down one thirty second you have three point five three percent. Amy Karen will have more on the

markets in just a minute. But first, Democrats have one control of the Senate after a victory in Georgia's runoff election in Combent, Democrat Raphael Warnock defeated Republican challenger Herschel Walker fifty one percent to forty eight point six percent. Why do you voted, famire? Not that every single day. I am going to keep working for you. Walker has conceded to war Knock, encouraging his supporters to stay engaged

in politics. I'm not gonna make any excuses now because we put a one hick of a fight and I do. That's what That's what we gotta do because this is much bigger. This is much bigger than herschel Walker to win for war Knock means Democrats have a fifty one to forty nine Senate majority. There will be divided government. However, Republicans, having narrowly gained House control, belamy with war Knock's decisive victory. Georgia Secretary of State Brad Raevensberger defended the integrity of

this race, calling it honest and fair. You remember, Raethensberger was pressured by former President Trump after the election. We want everyone to know at your vote counts, it's gonna be safe, it's gonna be secure, it's gonna be accurate, and we're gonna actually audit this race. Whatever you wist of this race, so we can verify the voters. Here's what the results were on the machine. Here's what they

are afterward. Did the hand help audit? Secretary of st Raethensberger spoke with our Washington corresponded Joe Matthew, who's on the ground in Georgia, catches show sound on weeknights at five pm Eastern on Bloomberg Radio. Karen, it was not a good day for Donald Trump. He was a prominent backer rehearsal Walker and at the same time there's news the former president suffered another defeat in court. We get

the story from Bloomberg's at Baxter. Donald Trump's company has been found guilty of engaging in tax fraud for more than a decade. This is the first time a Trump business has been convicted of criminal conduct. Executives, including Allen Wiselberg, convicted of evading taxes on company paid perks, including free apartments and luxury cars. The conviction may make it harder for the Trump companies to do business. Trump himself was not charged in San Francisco. I'm at Baxter Bloomberg Daybreak,

Great and thanks. Will have more reaction on the political news coming up in a few minutes. But first let's turn to Wall Street, where the view on the economy is yetting gloomy. Now Morgan Stanley is cutting jobs. To get the details live at Bloombergy Steve Rappaport, Good morning, Steve, Good morning, Karen, and Amy. Morgan Stanley will reduce about two percent of its global workforce as the bank braces for a possible recession. Sources tell Bloomberg roughly six hundred

jobs are on the chopping block. CEO James Gorman hinted layoffs were coming when the bank reported earnings in October, saying they learned some things during COVID about operating more efficiently, and that's something the management team is working on for the rest of the year. Morgan's move comes as Goldman Sacks and Bank of America Warren Dell slow hiring as well. Live in New York, I'm Steve Rappaport Bloomberg Daybreak. All right, thanks Steven. Goldman Sachs is out with a downbeat view

on the economy. We spoke with CEO David Solomon at Goldman's Financial Services conference. He says smaller bonuses and job cuts shouldn't come as a surprise. We always look at the environment, and we always sized the firm to the environment. If the environment gets tougher, we will obviously make decisions to size the footpront of the firm appropriately. That can come from slowing down firing, which we've already done considerably in the second half of the year um and that

might also come from pruning in certain areas. Goldman Sachs CEO David Solomon spoke with Bloomberg's Channelly Basset, another Well Street CEO, is also weighing in on the economy amy and its impact on his firm. Bank of America's Brian moynahan says there are signs of consumer weakness. Was spending starting to slow. The evidence shows it. Yes, the economy is being slowed by the higher indust rates, by the fact that the inflation is eating up more of a

person savings. They need to get down under control. That means higher interest rates. On the other hand, you've seen them slow down, which ought to put less price pressure. That means they could slow down. So that's going to be a debate. I think we need a few more months to see whether it's just a trend or not. And Bank of America's Brian moynahan says consumers spending at the bank rose five percent in November, and that's a lower rate than prior periods. In Asia, China continues to

relax COVID restrictions. Today brought another round of announcements from the government. Bloomberg's John Lou reports from Beijing. New measures were announced today that allow people infected with COVID to quarantined at home. As a nationwide policy authorities are also trying to rein it unnecessary PCR testing by scrapping the need to show a negative test result for most public venues.

Those moves are the latest sign that the government is trying to ease its zero tolerance COVID strategy and that growing public discontent. The actions also suggest that China's most senior leaders are willing to tolerate higher case numbers to avoid more social and economic term win in Beijing. On John lou bloom Break, Day Break, Great John, Thanks well. Back here in the US, we have an ominous forecast

from an iPhone supplier in Asia. I'm you're out of manufacturing expects Apple to further reduced iPhone fourteen production plans. It cites weak demand. The Japanese company is a lynch pin of the smartphone industry, providing components to Apple, Samsung, and many others. Futures this morning are a little bit lower. SMP futures down six points, down about two tents of upper cent. Straight ahead your latest local headlines plus the

check of sports. This is Bloomberg. Thank you. Karen. Five oh seven on Wall Street, fifty seven degrees now in New York with scattered showers for the day. Mild temperatures too. We're going up to sixty today. Let's bring in Michael Barr with more on what else is going on in New York and around the world. Good morning, Michael, Good morning Amy. New York Mayor Eric Adams will fill two top appointed posts at City Hall with two women from

inside his administration. Camille Varlac, senior advisor to the Mayor, will become Chief of Staff, replace from retiring Frank Corone. Gina right now Jeoputy Mayor of Strategic Initiatives will become first Deputy Mayor, replacing retiring Lorraine Grillo. Mayor Adams says they will have big shoes to fill. Shea Camille all continue to tradition a strong women in this administration, especially strong women of color. The appointments will be effective January.

Former Broome County, New York District Attorney Steve Even Cornwell has pleaded guilty to grand larceny. Cornwell admitted to stealing felony case records of his prior criminal conviction. Current d A Michael Cornchack says that Cornwell stole case files and county records that documented his conviction, including for d U I an assault on an officer. He also went into the computer files of the district attorney and altered his name and deleted his day of birth from that prior

criminal conviction. D A. Corn Chack says that Cornwell was sentenced to a three year conditional discharge and find five thousand dollars. Today, America marks any one years after the Pearl Harbor attack. The number of World War Two survivors from that day are dwindling. One one year old Lou Counter in Grass Valley, California, regrets, due to his age, that he will not be able to attend today his remembrance events. He was a sailor on board the ill

fated USS Arizona. I'd love to be there because there's only two of us still living there. More than two hundred Americans were killed in the surprise Japanese attack, and an iconic New York City comedy club is closing up shop, Caroline's on Broadway to close its doors after forty years.

The final day will be on December thirty 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, and more than one hundred twenty countries. Michael Barr and this is Bloomberg Amy. All right, thank you, Michael. It's so nine on the Wall Street. Time now for the sports report, brought to you by Try stand OUTI.

Here's John's Tash hour. Okay, Jacob de Graham was not the Mets only free agent pitcher Taiwan Walker, All Star in one then had a solid season, going twelve and five three and a half the r A. Walker not only leaving the Mets, he's joining the Phillies, who continue to spend, having already added trade turner Javison Tayone leaving the Yankees heading to the Cubs. Dione came to New York for the history of injuries and illness, but he was dependable this fast season, making thirty two starts, led

the team and wins with fourteen. The Cubs also signed Cody Bellinger the two thousand nineteen n l m v P with the Dodgers. Yanks have signed free agent reliever Tommy Keenley. He was with them before. As for Aaron Judge, thank you, gentle. Manager Brian Cashman was on the Yes Network. Certainly hopeful, but we're not driving this bus obviously, Mr Judges, and um, you know, he put himself in a great position clearly with a historic season, and he's had an

amazing career thus far. And you know one that if he continues to take him all the way to Cooper's Town. But we want every stop along the way between now and and hopefully that final destination to be here in the Brocks for us Kashman and Mets. He has to wait for, as he says the judge, Domino to fall before he knows what to do next. On the ice, Devils three Nothings shut out of Chicago defenseman Dougee Hamilton's in on all three goals. Islanders lost at home to St.

Louis seven to four. Locals matt College hoops that Rose Hill Fordham beat Wagner and the Lambs are nine and one. Double hetter at the Garden, Duke beat Iowa after Illinois beat second rank Texas in overtime. Two days off at the World Cup after Portugal routed Switzerland six to one and Morocco upset Spain on penalty kicks. Quarterfinals Friday and Saturday.

In guitar forty Niners, quarterback Jimmy Garoppolo may not miss the rest of the season, does not need surgery on his injured for if he does return, with not being until the playoffs. Another TB. Baker Mayfield released by Carolina claimed on waivers. Buddy L. A. Vans, John Stashwer Bloomberg Sportsman. All right, thank you, John. The Bloomberg Sports Report was brought to you by Audie. Don't let someone else drive

off in the Audi model you've always wanted. Visit your local try state Audie dealer to get behind the wheel of yours today, or visit Autie Offers dot com for more information. Futures are lower s and P down seven point STAF futures down twenty three points, NASDAC features down thirty two points. Ten year treasury unchanged at three point five three percent. They yield a two year yield at four point three four percent, and Nimex crude now trading

at seventy three dollars a bar. A good Wednesday morning at six twelve on Wall Strength. This is Bloomberg Daybreak. Democrats have one outright control of the Senate after a victory in the runoff election in Georgia last night. We're joined now by Wendy Schiller, director of the Talfman Center for American Politics and Policy at Brown University. Thank you so much, Professor Schiller for joining us this morning. We

got those results much sooner than expected. A lot of folks we're saying it could take days before we really knew who won this runoff, but no, it only took hours. What's that tell you, well, Gorning Amy, I mean, what's interesting is that there's sort of a big debate about early voting, bail and voting and then day of voting. Republicans tend to vote in bigger numbers on day of voting, although in some states, uh in the mid terms, they get out in person and the early voting stages as well.

But Democrats wrapped up really big numbers in early voting in what in multiple forms, and that means that Republicans have to play catch up on election day and get all these votes out the door and make sure all these people who said they were going to vote get out the door. And without a governor's race at the top of the ticket and a relatively popular governor in Brian Kemp, you know, I think that heart visual Walker, and particularly in some of these very red very rural

Republican counties. He just missed the mark. He lost by a copper or percentage points um in terms of his turnout, and he didn't get enough of a victory in some of those Republican areas to counter or an ex tremendous advantage in very highly populous Democratic counties. Still a divided government though Republicans have the majority in the House. It's slim, but they have it. Democrats also have a majority in the Senate, also very slim. So do you expect more gridlock?

Can they find a way to cooperate? Well, there are two big, huge, woming questions. I think what immediate is whether the government shuts down, which won't happen. The Democrats, you know, are running things in the lame duck session. They still have control of the chamber. They'll find a way to pass a funding bill. How long that funding

bill goes for that's the question mark. Then there's the debt ceiling and what we don't even though sort of I think people who are the Democrats side are watching with glee as as McCarthy has challenged with the speakership and there's such a majority for the Republicans, they seem a little bit in disarray. That's a problem for getting the dead ceiling past. I mean, you need functional government. You can have polarization, but you need to get some

of these things actually and you know, passed. So I think that's the looming question is will to be enough functionality on the Republican side to pass a debt limit extension and so that that's a big question mark, and whether the Democrats try to do it now because they're worried. That may be good for policy, but it will take the pressure off the Republicans will stay some control in

the House after January three. Now, let me ask you about something in the Senate, because we have seen in the past Senator's mansion and Cinema not really telling the Democratic party line all of the time, sometime throwing up those speed bumps and keeping some pieces of legislation from passing as long as they were able to get their their mandates in So my question for you is does this little bit breathing room effectively buffer that impact that effect? Um,

I don't think so. I mean, I think fifty one. You know, anything can happen any time in terms of the Democrat Party, in terms of the health of Democratic senators. We've seen this most recently. Um uh. You know where people become ill and then they they're not there for votes, and then you're stuck Tamla Harris. You get a little breathing room. But I think also politically, you can't afford to alien Arizona for the Democrat Party. Uh and West

Virginia that doesn't vote Democrat in that presidential race. But Manchion is still a kind of barometer for the Democrat Party. Uh. And it's it's managed to push the party a little bit back to the center, which we've seen in two probably protected the Democrats that's on the Senate side in particular, more than they would have been if they didn't have these particular senators pushing them back to the middle. I also wonder if this somehow improves Democrats chances in hear

me out. It just seems as though it may be not a blue wave, not a red wave, but pendulum swinging away from that Trump effect that we've been seeing for the past few years. Amy I said, all depends. I've been trying to find do my homework on the Republican Nominating Convention rules, because you know, the Democrats are not talking about how they're going to structure their primaries.

You know, are they going to keep proportional representation which kept Trump alive In the first part of the of the Republican nominating process, they split it up between win or take all proportional representation. These things are gonna matter. People don't pay much attention, but it certainly matters. You know, a more fringe E candidate can stay alive under that circumstance, winner take all, they can't really stay alive is easily.

Are you gonna look for Glenn Young Kin, Ron de Santas, Brian Kemp, for example, to lead the party going forward? Or or will the wing of the party that loves Trump still control that? And I think clearly in two Trump was an electoral liability. So the Republicans have to decide that. But Democrats talk other pressures. Voting Rights Act, for example, John Lewis Voting Rights Act couldn't get it

done because of the filibuster. Will they get rid of the filibuster legislated filibuster meaning will they lower the threshold the fifty one votes to get something past? That's legislation they've already done up for executive nominations, judicial nominations. Will they do it for legislation, but chicularly since we saw some states adopt more voter suppression laws. Although Tronaut was very high in Georgia. Warnock made a point of that

in his acceptance each very interesting. Don't ignore voter suppression just because we all turned out to vote and overcame those obstacles. That's gonna be a big pressure points, particularly going into twenty four for the Democrats. And how are they going to handle that now that they have a little more breathing room what you say, and they're more key race um Warnock won anyone in the end, pretty big, all right. Wendy Schiller, director of the Talibman Center for

American Politics and Policy at Brown University. We're gonna have more on this with Wendy Schiller later at this hour. As MP futures down nine, Death Futures down thirty eight, Nasdaq features down at thirty nine. Bloomberg Day Break is brought to you by the Jewish Communal Fund. For fifty years, philanthropists at all levels have turned to j c F

donor advised funds to streamline their charitable giving. Is that j c F n y dot org, Markets headlines and breaking news twenty four hours a day at Bloomberg dot com, a Bloomberg Business outland at Bloomberg Quick Take this She's a Bloomberg Business flash and I'm Karen Moscow. And this update brought to you by the Jewish Communal Fund. For fifty years, JCFS donor advice funds have been helping families create charitable legacies. Start now and open at j c F fund before year end. Visit j c F n

y dot org. U stock index futures are dropping this morning as week Chinese trade data adds to concerns about the health of the global economy. We check the markets all day here on Bloomberg radios and p future is down about nine points or two tens of upper sent. Dow futures down forty one or a ten of upper cent, NASA futures down three tens of upper cent or about thirty seven points. The decks in Germany's down a third

of up percent ten Your treasury little change. You'll three point five three percent in the yield on the two year four point three four percent. 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. Senator Raphael Warnock defeated Republican challenge Herschel Walker in their runoff for Georgia's Senate seat, giving Democrats a fifty one forty nine edge in the Upper Chamber. Warnock beat Walker with

fifty one point four percent of the vote. More on the Georgia race in a minute. In a sharp reversal, China has announced a series of measures rolling back some of its most draconian anti COVID nineteen restrictions. The National Health Commission announced that COVID nineteen test and a clean bill of health displayed on a smartphone app would no longer be required in the NHL. The Devil's won, the

Islanders lost. Global news twenty four hours a day on here and on Bloomberg quick Take, powered by more than twenty seven hundred journalists an analyst in more than one twenty countries. I'm Michael Barr. This is Bloomberg Gaming all right, Thank you, Michael. It is on Wall Street. I'm Amy Morris. This is Bloomberg Daybreak. Democratic Senator f L. Warneck As Unchaeld was just telling you one re election in Georgia,

defeating challenger Republican herschel Walker. We want to continue our conversation about this with Wendy Schiller, the director of the Talban Center for American Politics and Policy at Brown University, and Wendy. We were talking earlier this morning with Terry Haynes of PANGEA Policy, and he believes this could mean the end of Donald Trump in the GOP. The task for the Republican Party over the past two years has been that, you know, how do we get channel we

how do we get past this particular speed bump. And you know that process I think has greatly accelerated since the UH, since the mid terms. But between the mid term results, Trump's tone deaf announcement and UH, and then the whole business about suspending the Constitution, which is UH, I really think is beyond the pale for h For a great number of the party leaders. They're gonna look now to try to make sure he's fenced out. Now

does he have a point there? Well? I mean, you know, the question is do you get you sort of allowed Donald Trump or pushed down Trump to fade into the background. But what about Trump? Is um? You know that the issues that Trump raised and and one on in sixteen have not gone away. And we've seen a consistent loyalty two Republicans among people who are less than college educated, let's say, um or high school educated and consider themselves a quote unquote working class that used to be fodder

for the Democrats. Now it's been consistently uh fodder for the Republicans, and they're turning out. And so that's still a very big issue for the Democrat Party if they want to be competitive in places like Pennsylvania and like Arizona and like Georgia, they're not always going to get these unique circumstances with with some pretty bad candidates on the Republican side. So I think it would be mistake for the Democrats to say, well, Trump has gone, so

then Trump is um has gone. I don't think that's true. As I mentioned, there are some other candidates that are you know, they're threading the needle with the Republican Party and they seem to be better at it right now, and they happen to be governors, which of course is a good position to be in the Republican Party. So that's the issue. Still have margorite Sella Green, You still

have Matt Gates, you till Louie Gomer. You have a lot of people in the House that willy echo those same exact messages that Trump does, and they're going to see an opportunity to move up in visibility if there's a vacuum left by the departure of Trump. To your point, it was a red wave in Georgia. You're absolutely right. Every Republican candidate in the state of Georgia won their

race except for that Senate race. So it sounds like maybe a repudiation of Trump himself, but not Trump is um as you were just saying, Yeah, I mean, I think there's a question of rule of law, right, I mean what Brad Glassenberger and Brian Kemp stuck to their guns, obviously under enormous pressure from lots of sources to sort of change literally change the outcome, not count votes, not certify,

and they stuck to it and they won big. And that tells you that within the Republican Party there are people who want the Republican policy platform and they want rule of law. Same thing with Arizona there, you know, Republicans lost, you know, some of those races, trains, General still in debate, but nonetheless it's the same messaging, which is to say, you know, we want to win. We think our policies are right, but we want to win. Uh. There a stable electoral system where we accept the outcome

of elections. And I think if Republicans cleared that, which I think they're starting to do across the country, then they go back to issue messaging and so Democrats can't rely on, you know, the rejection of people who are really fall off the ranch to keep winning elections with or without Trump. Wendy Schiller, director of the Talman Center for American Politics and Policy at Brown University. Always great

to get your insight. Thank you so much for bringing us up to speed on this, and we're going to continue to follow this developing story and not really developing. It was breaking story out of Georgia that Raphael Warnock won re election in that Georgia runoff. Coming up next, we'll bring you this morning's top stories, your local headlines,

and a check on markets. And we're going to check the markets now on SMP futures seven points lower, DAL futures down thirty five, NASTAC futures down at thirty four. Now Let's take a look at to days of Bloomberg weather forecast. Clouds and scattered showers for today, Temperatures on the mild side, fifty five to sixty. Tonight we start to dry things out. It will become partly cloudy. Overnight lows a mild forty five to fifty. Even the suburbs

will probably be around forty. Tomorrow, mixture of clouds and sunshine. It's fifty to fifty five, partly mostly cloudy, weather developing on Friday, with highest close to forty five. I'm Rob Caroline with your three day forecast on Bloomberg eleven three oh broadcasting live from the Bloomberg Interactive Broker Studio in

New York. Bloomberg E Loving Freedom to Washington, d C, Bloomberg ninety nine one to Boston, Bloomberg one O six one does San Francisco, Bloomberg sixty to the country, Sirius xm H had a one nine te and around the globe, the Bloomberg Business apt and Bloomberg Radio dot Com. This is Bloomberg Daybreak. It's coming up on sixty on Wall Street. Good Wednesday morning. I'm Amy Morris and I'm Karen Most yal. We are about three hours away from the open of

US training. It's time for the five things you need to notice start your day. Brought to you by Interactive Broker's bond marketplace access their vast selection of over one million global fixed income securities with no markups, are built in spreads and low transparent commissions. Learn more at ib

k r dot com slash bonds. First incumbent Senator Raphael Warnock defeated Republican challenger herschel Walker fifty one point four percent to forty eight point six percent in the Georgia runoff race, securing outright control of the Senate for Democrats. If we have value, we ought to have a voice. And the way to have a voice is to have a vote to determine the direction of your country and your destiny within it. Herschell Walker conceded to Warnock, encouraging

supporters to stay engaged in the political process. We can't blame no one, because I want you to continue to believe in this country, believe in our elected of fish, and most of all, stay together to win for Warnock. Means Democrats have a fifty one to four nine Senate majority, with Warnox and decisive victory. Georgia Secretary of State Brad Rappensburger defended the integrity of the race. Now, you may remember Rapinsburger was pressured by former President Trump afterction. Now,

not just in Georgia, but all of the country. In Georgia, we have honest, fair elections have secured and they run smooth. Secretary of State Rappensburger spoke with our Washington correspondent Joe Matthew, who's on the ground in Georgia. You can catch his show sound on weeknights at five pm Eastern on Bloomberg Radio. Well, it's not a great day for Donald Trump. Amy, The former president back her Shaw, Walker, and two of his companies wore found guilty of engaging in tax fraud for

over a decade. Trump himself was not charged. Well, Karen, let's turn down to Wall Street, where news of job cuts signal concerns for the broader economy. Bloomberg Steve Rappaport joins us live with the latest. Good morning, Steve, Good morning Amy and Karen. It's actually a morning of uncertainty at Morgan Stanley, where roughly six hundred employees are expected to head to an early exit. Sources tell Bloomberg the bank is cutting about two percent of its global workforce.

Morgan added more than twenty jobs since the pandemic began, but with COVID in the rear view mirror for many, CEO James Corman says it's time to apply some of the lessons learned during the pandemic about operating more efficiently. Live in New York Times Steve Rappaport Bloomberg Daybreak, All Right, Steve, thanks so. Bank of America's CEO Brian moynahan is also weighing in on the economy, saying there's signs of consumer weakness.

The economy is being slowed by the higher interest rates, by the fact that the inflation is eating up more of a person savings. They need to get that under control. That means higher interest rates. But on the other hand, you've seen them slow down, which ought to put less price pressure, and Bank of America's Brian moynahan says it's unclear at this point if slowed consumers spending will become a broader trend. And as the five things say you

need to know to start your day. Brought to you by Interactive Brokers, futures this morning are lower, with SMP futures down about eleven points. Straight ahead, You're latest local headlines plus the check of sports. This is Bloomberg. It's six thirty one on Wall Street. Let's bring in Michael barn Now with more on what else is going on in New York and around the world. Good morning, Michael,

Good morning Amy. Funeral services will be held today for the Yonkers police sergeant who was killed in a car crash last week. Mourners will gather for Frank Gardeno at Sacred Heart Church and Yonker's. The fifty three year old was killed when police say a teenage driver with a justa Learners permit lost control of his BMW and slammed head on into Gardeno's police car on Tucahoe Road. New York City Mayor Eric Adams is filling the top two

appointed posts at City Hall after recent retirements. Mayor Adams says Camille Varlac, a senior adviser to the Mayor, will become Chief of Staff, and Sheena right Now, Deputy Mayor of Strategic Initiatives, will become first Deputy Mayor. These are huge shoes to fill, but these two ladies in their red bottoms. They're going to bring their own pair, They're going to bring their own uniqueness, their own flair to

these jobs. The appointments will be effective in January. A gay bar that was the side of the nineteen sixties six sip In has been given landmark status by New York City. Back then, a demonstration was held at Julius near the historic Stonewall in They were protesting the closure of other bars in the city for serving people who identified as lgbt Q. Andrew Berman is the executive director

of Village Preservation. Three years before Stonewall, a couple of brave individuals got together and said, we're going to challenge the rules that basically make gay bars illegal. We're gonna sit at a bar. We're gonna say we are gay, and we demand to be served to drink. Herman says a resulted in a lawsuit that changed the rules and helps set in motion the Stonewall riots. After forty years, the comedy club Carolines on Broadaway will close its doors.

Global News twenty four hours a day on air end on Bloomberg quicksakee, powered by more than seven hundred journalist analysts. More than a hundred twenty countries. I'm Michael bar This is Bloomberg Gaming. All right, thank you, Michael, thirty four in Wall Street. Time Now for the sports report, brought to you by Try State OUTI here's john s dash Our. All right, Amy, it'll be a different Mets rotation in twenty three. Justin Verlander and Jacob de Gram now Taiwan

Walker both out. Walker just signed with the Phillies. Still not known about Chris Bassett, He's also a free agent. At the Winner meetings in San Diego, Mets manager Buck show Walter asked for the first time his reaction to

de Gram's departure to Texas. He's moving a good situation and you know, contrary what a lot of people tried to you know, it wasn't something that he had pre ordained, you know, something that kind of played itself out, and it's one of those offers he couldn't afford to pass up, and you know, we wish him well. Yankees with a free agent signing, bringing back reliever Tommy Kane. Ley's had some injuries. Jamison Tyone, who led the Yankees and wins

last season, just signed with the Cubs. Four year sixty eight million. The Cubs also signed Cody Bellinger, who was the two thousand nineteen m v P while with the Dodgers. Nix and Nets both home tonight, Nicks against Atlanta Net's take on Charlotte. The Rangers are in Vegas. Last night, Devils shutout Chicago three. Now through the Devil's at forty three points, that's the most in the NHL. Islanders got a five on deficit to five four, but they lost

at home to St. Louis seven four. They've dropped three of the last four. Tennessee Titans are in first place, yet they just fired their general manager, John Robinson. Baker Mayfield at least by Carolina claimed on waivers by the Rams. Odell Beckham has visited the Giants and Cowboys. Still not

known where he's going to sign. There are now reports that Beckham still hasn't recovered from the thorny cl he suffered the Super Bowl while playing for the Rams, and he may not be able to play until the playoffs. John stash Alan FRO Sports team, all right, thank you, John. Futures are lower this morning. SMP futures down nine points, DEL futures down thirty nine NASDAC futures down thirty nine points. Tenure treasury unchanged at three point five three. The Bloomberg

Sports Report was brought to you by Audie. Don't let someone else drive off in the Audi model you've always wanted. Visit your local Tryoutie, try State Audie Dealer to get behind the wheel of yours today, or visit Audie Offers dot com for more information. It's six thirty five 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 Jeff Bullinger and on w TB N and Columbus. I'll be talking about how people intend to be more generous with their holiday kippy this year. I'm Stephen Carol and Bloomberg DAB Radio in London. We've been reporting on shares and the pharmaceutical giants GSK and SNA be soaring after a US judge rejected evidence in a case over the heartburn drugswntime Tom Courtney Donaholl on k j H in Houston, millions of millennials moved in

with their parents this year on Sarring Reds. I'm Cory on w w J and Detroit. I'm reporting four dealers have agreed to no haggle sal and those are some of the stories our Bloomberg journalists and analysts are working on this morning. Around the world. It's five thirty or six thirty seven on Wall Street. The following is an editorial from Bloomberg Opinion. This editorial was written by the Bloomberg Editorial Board. Progress can be painfully slow in the

American constitutional system. That makes it all the more important to recognize when the process works as it should. Last week, the Senate passed the Bipartisan Respect for Marriage Act, which enshrines federal protection for same sex marriages. Should the pill pass the House, is expected, President Joe Biden has said he'll promptly sign it. This stands as a landmark, as

recently the US was solidly opposed to gay marriage. Today, thanks in large part two decades of hard work and political pressure by advocates for marriage equality, lawmakers and both parties have fashioned a bargain reflecting an new national consensus. That's how the democratic process is supposed to work. 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. Bloomberg Opinion editorials can be heard every weekday at this time. Terminal customers can read more at op I n go. Futures are lower this morning. S and P futures down nine points, DAL futures down thirty six, Nasdaq futures down thirty nine points. Ten year treasury unchanged, the yield now at three point three percent, the two year yield at four point three four percent. Niamex crude one percent higher, now fourteen cents higher, trading

at seventy four dollars thirty nine cents a barrel. Bloomberg Opinion just ahead, we can talk with Bloomberg Senior Washington corresponded Joe Matthew. He's on the ground in Georgia, where Democrats have just won their Senate seat. This is Bloomberg Markets, headlines and breaking news twenty four hours a day at Bloomberg dot Com, the Bloomberg Business Outland at Bloomberg quick tape. This is a Bloomberg business slash and I'm Karen Moscow.

This update is brought to you by ancient accountants and advisors, the right fit tax and accounting firm that you need to succeed. Visit us at antiin dot com slash v i P to learn more. That's ancient dot com slash v i P. Futures are lower this morning. We go to the First Word Breaking newsdesk for today's morning call, and here's Bill Maloney. Bill, good morning, Good morning, Karen. Modest losses in the US futures right now at death futures down thirty four points, SUPs drop b and as

that futures are lower by thirty nine. The US ten yeal at three point five three percent, Gold is of three, Oil is little changed, and Bitcoin is trading lower by one percent. Hong Kong dropped three percent overnight. Note that shawny e It's COVID zero strategy well up markets are also in the red right now. Back in the US on the economic frintday thirty, non farm productivity and after the bellas Night told brother, this forecast beat estimates. In

other news, Apple may cut iPhone four teen production. And further because if we demand that's according to a key supplier. Marauda Manufacturing also lowses buying back fifteen billion. Wrapping things up, Morgan Stanley cut Airbnb two underweek Live from the First Breaking News Desk one. Bill Maloney, Karen, all right, Bill, thank you a ba to hear live breaking news over here. Bloomberg type squalk on your termin I'll scue you a

w K and that's a Bloomberg business flash. Now here's Michael Barrow with more on what's going on around the world. Michael Karen, thank you very much. Democrat Raphael war Knock, if he did Republican challenge Herschel Walker and Georgia's Senate reins his victory will increase the Democrats edge in the chamber fiftet nine Warnock the Walker with fifty one point four percent of the vote. More on the Georgia race

in a minute. Two of Donald Trump's companies were found guilty of engaging in scheme that allowed executives such as former chief financial officer Alan Weisselberg, to evade taxes on company paid perks and included free apartments and luxury cars for more than a decade in the NHL, the Devil's won, the Islanders lost. Global news twenty four hours a day on air and on Bloomberg Quicktake, powered by more than hundred journalists analysts in more than a hundred twenty countries.

I'm Michael bar This is Bloomberg, Karen, all right, Michael Berg. Thank you. At sixty two on Wall Street, we turned to news and science and technology now with the Bloomberg and j I T STEM Report. It is brought to you buy New Jersey Institute of Technology ben j I T offers New Jersey's first undergraduate degree in fintech tech driven finance focused What will you make it n j I T. Learn more at n j I T dot E d U slash Fintech Now. Here's just making news

and science, technology, engineering, and math. China is retreating from the wide ranging COVID zero policy that is blamed for damaging the economy. Beijing will now allow some people to quarantine at home instead of in centralized camps. It's also scrapping virus tests to enter public venues. COVID zero pushed down consumer and business confidence. A big transaction in the video game industry. Microsoft and Nintendo have a great to a ten year deal to bring Call of Duty to

Nintendo gaming platforms. The agreement is continued on Microsoft closing at sixty nine billion dollar acquisition of Activision Blizzard, the publisher of the popular shooter game, and Bloomberg News has learned Apple as scaled back ambitious self driving plans for its future electric vehicle. Sources say it's postponed the car's target and launch date by about a year to six.

The car project of Tighten inside the company has been in limbo for the past several months, as Apple executives grapple with the reality that it's vision for a fully autonomous vehicle without a steering wheel or pedals is not feasible with current technology. And that's the Bloomberg and j I. T. Stem report. Amy, all right, thank you, Karen. It is sixty four on Wall Street and we continue follow the news out of Georgia and its impact on Capitol Hill,

Democrats gaining outright control of the Senate. Rafael Warnock won the runoff election in Georgia, defeating Trump back Republican challenger herschel Walker fifty one point four percent to forty eight point six percent and joining US now Bloomberg senior Washington correspondent and host of Sound On. Joe Matthew and Joe just want to make it clear you're there, you are

on the ground in Georgia. I'm curious what did you see particularly on election day and and reaction to the results overnight, particularly as far as voter engagement, turnout division. What are you seeing? Well, that's that's a big question.

I'll tell you that the the lines died out yesterday morning and it looked like a very quiet afternoon, and it really reinforced the idea that the early vote was a huge part of this, that Raphael Warnock had mobilized his voters to get out over the course of two weeks to set a record in early voting. That really made yesterday apparently a little bit less of an I

day for him, a very important one though for herschel Walker. Uh. At the same time, you know, we say that you look at the numbers this morning here, Uh, Raphael Warnock beat herschel Walker by thirty seven thousand votes. In the general.

He beat them by almost a hundred thousand votes this time around ninety seven thousand, And it does make you think about what took place over the last four weeks in terms of the narrative around this campaign and what it would have looked like if there was a different candidate on the Republican side, and more specifically one not picked by Donald Trump. It's still going to be a

divided government. I'm just looking ahead when everybody has sworn in and seated Republicans with the majority in the House. Democrats now have a majority in the Senate, and it's easy to say that where that just means gridlock. They may find a way to cooperate, but is there a path forward that they are able to get more things done than just the basics? I mean, can They can hardly agree on a budget now, So I'm wondering if this. Yeah.

The thing is, the Senate can do a lot on its own aim and we need to remember this is the body that handles nominations, this is this is the body that approves judges, that confirms nominees for the administration's cabinet. That extra seat was really something that Democrats were taking seriously here. They don't have to have a power sharing

agreement now with Republicans. They control the committees and they can clear judges and nominees on their own with a little bit of breathing room with regard to budgeting, though in other legislative issues. Think of how many times last year we talked about Joe Mansion almost as often kirston cinema. That's gonna be a little bit less the case now. Joe Mansion is not exactly going to be the kingmaker

that he once was. With an extra seat and knowing that Kevin McCarthy likely to be Speaker, will have justice thin a margin as Nancy Pelosi had in the House, you could follow a path of gridlock, but you could also see these lawmakers being forced to work together, and they're gonna have an opportunity to do that first on defense spending. Right now, a sidebar you, is it a fate a complete that he is going to be House Speaker.

That's a great question. He doesn't have the votes now, and a lot of folks say, look, maybe Steve Scalise could make an interesting move here, come from behind, but the fact is you gotta get to eighteen. And at the moment he's got at least five Republicans on the record who say no, I'm not aware of five Democrats who were going to say yes, so this could go to multiple rounds. The thing about this is, though, other than the aforementioned Steve Scalise who comes up in these conversations,

there wasn't really a viable candidate running against him. Congressman Andy Biggs got thirty votes inside the Republican Caucus when this came to had a couple of weeks ago. But when it goes to the floor, it's unlikely that someone else will be able to stand up against Kevin McCarthy, and eventually, with some pain involved, he will likely get that gavel. Now I want to change the path just

for one minute. We had talked about how this is another defeat for a Trump supported candidate on the national stage. It was not a good day for Donald Trump. Two of his companies were found guilty of criminal tax fraud, not him, just the companies. But what does that mean for the man who was once president and who wants to be president again? Yeah, I have to admit I don't know what the verdict yesterday was as damaging as the outcome of this race. Republicans are angry and they

are pointing fingers at Donald Trump. Remember Ken Griffin called him a three time loser on election day. I guess this would make him a four time loser. He hands selected herschel Walker right, he endorsed him, He put him on the map. This could have been any number of candidates in a in a Republican leaning state like Georgia to have to go through this is something that Republicans are definitely dealing with this morning, and we're hearing we

heard Terry Haines say it earlier here on Bloomberg Radio. Uh, it's it's it's a reckoning moment for Republicans, and many of them say it's time to move on. Let's see what happens at the beginning of next year when Joe Biden likely announces his run for re election and we actually have a general underway. I'll be curious to see how people feel about Donald Trump at that point. And just thirty seconds here, is there anything specific that you're

going to be watching for on Capitol Hill? That's that's your home base. So what are you gonna be watching for? Well, look, we've got to fund the government. You know, circle December sixteen on your calendar. They still don't have a plan on this. Whether we're kicking into the new year in a short term cr or come to grips with some

sort of omnibus budget. You already said it though, Amy, there's not a lot of agreement on Capitol Hill when it comes to spending, and that may not be any different this time, So we could be setting ourselves up for a fiscal cliff type of scenario next year. All right, thank you so much, Joe for taking the time with

us this morning. Joe uh Set, Bloomberg Senior Washington correspondent, Joe Matthew talking to us from Georgia, host of Bloomberg's Sound on which you can hear weekday afternoons at five here on Bloomberg Radio. And we are looking at futures now, SMP futures down sixteen down, futures down eighty NASDAK futures down seventy eight points up. Next on Bloomberg Daybreak, Stocks on the move in pre market action, a check of the names that are making news and equities that's straight ahead.

Much more still to come on this Wednesday morning. I'm Amy Morris. This is Bloomberg Markets, Headlines and breaking news twenty four hours a day at Bloomberg dot Com, the Bloomberg Business and at Bloomberg quicktake. This is a Bloombern business lash and I'm Karen Moscow and this update is brought to you by the Donors Fund, a modern innovative donor advised fund for everyone. Open a free account in minutes,

with no minimums, no transaction fees or hidden costs. Visit the Donors Fund dot org today and get your twenty two text. Deduction Future is again lower this morning. SMP future is down about fifteen points, down a third of uppercent. Down Future is down seventy six or a quarter percent, and nasdack futures are down more than six tents of uppercent down sixty eight points. The decks in Germany's down four tenths of upper cent ten. Your treasury down three

thirty seconds. You have three point five four percent and they yield on the two year four point three five percent. Nine. Next, Screwed oil is up tenth of upper cent or nine cents at seventy four dollars thirty four cents of barrel. Come schooled this it will change at sevree sixty announced. The euro one point oh four nine three against the dollar. British found one point two one five eight and that's a Bloomberg Business Flash. Amy, all right, thank you Karen.

At six fifty six on Wall Street, time to take a look at stocks and some of the names that are moving in the pre market. For that, we are joined by Bloomberg's Kayley Lines. Good morning, Kayley, Good morning Amy. There is a monster remover in pre market this morning, and that would be Mango d B. This is a database software company reported after the belly yesterday, and after those results, the stock is up a whopping twenty eight percent in early hours. There's kind of two parts to this.

The first was that the third quarter was solid, revenue top estimates and the company actually reported a profit of twenty three cents per share. Analysts were expecting a loss of seventeen cents, so that was big. But they also raised their four year full year forecast, and one analyst over at OURBC actually pointing out that a beaten raises kind of a rare occurrence in this macro environment, and others were really positive about the sequential rebound in the

enterprise advanced segment. Now, I would point out this stock has had a very rough year to this point, down seventy two percent in two through yesterday, so that may be why we're seeing such an outsize move this morning again up about twenty percent, treating j shy of a hundred and eighty five dollars to share. One downside mover though, to keep an eye on, is Airbnb, and this is actually after an analyst down grade over at Morgan Stanley.

They cut the stock to underweight from equal weight and the price target from a hundred and ten dollars down to eighty dollars. The shares this morning trading at sixty, but that's down nearly four percent in pre market. I'm boring and Stanley's reason for this is basically growth concerns. They say that data on supply and occupancy speaks to slowing listings growth, occupancy headwinds, and lower room night demands. So all of that together weighing on the stock this morning. Kaylee,

let's shift gears. What's going on with China e d rs? Why are they down? It's so interesting we got this mixed news flow out of China overnight. On the one hand, you have a pretty decisive move away from COVID zero policy with the easing of a range of restrictions, including getting rid of the requirement for infected people to quarantine and centralized camps, but that may be leading to concern

about a spike in cases. Plus, we got weak trade data out of China, both exports and imports contracting at a steeper pace in November. So that way on stocks in Asia, and that is translating right through to the A d R s as some of those large Chinese companies who are listed here in the US, one example being j D dot Com. It right now in pre market is down six percent. Ali Baba for its part, down about four and a half percent. But I would just remind our listeners that j D is up sixty

percent since the start of November. Ali Baba is up about over that time. So it could be that all of that good news on reopening that had led the stocks to rally over the last day six weeks or so means all that good news was already priced in and now maybe people are taking a little bit of profit. Anything else you're watching, Kaylee, I'd keep an eye on

big tech today. They're a little bit weaker in pre market trading, even though yields aren't substantially higher, So that really speaks to a bit of a risk off tone overall. You have the likes of Tesla and Apple, other big heavyweights in the market. Uh down pretty hard in pre market trading. Apple right now Data one alright, Bloomberg's Kaylee Lines. Thank you for joining us this morning, Kayley, looking at

stucks as a whole head of the open. SMP futures down fifteen, DAL futures down seventy seven NASDAK futures down seventy ten year treasury down three thirty seconds, the yield at three point five four percent, the two year yield at four point three five This is Bloomberg Day Break. I'm Amy Morris alongside Karen Moscow six fifty nine on

Wall Street. Stay with us Bloomberg Surveillance with Tom King, Jonathan Barrow, and Lisa Abrama with stock By from the financial capital of the World, broadcasting across the globe the is w VR, New York, Bloomberg e living three oh. Inflation is too high, and I will contend that this current inflation