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

Loos is Over, I'm Michael blarm or a half. I'm John stash Own Sports. The Mets shut out by the Dodgers, the Yankees swept the double letter from the Angels, the

Celtics one game one of the NBA Final. That's alls Training ahead on Bloomberg day Break on Bloomberg eleven three on New York, Bloomberg one, Washington, d C, Bloomberg one O six one, Boston, Bloomberg nine sixties and Francisco Sirius Exam one nine team and around the world Old Bloomberg Radio dot Com and via The Bloomberg Business and Good Morning, I'm Karen Moscow, Nathan Hagar Bloomberg Daybreak is brought to you by Informatica in the cloud. Your data has the

power to do the extraordinary. Managed data across any location in the cloud for accurate and actionable insights. More at Informatica, dot Com and US futures are lower this morning. It's FABO one on Wall Street and we check the markets every fifteen minutes throughout the trading day. On bloomberg S and P Future is down about eleven points down. The Future is down sixty four. NASDAG Future is down fifty four, and the ten year Treasury is down one thirty second

yield two point nine one percent. They yield on the two year two point six three NIMEX Scrude oil is down eight tenths of a percent. Nathan Well, Karen, We begin this morning with a plea for action from President Biden after a wave of deadly mass shootings across the country. Do something, Just do something, for God's sake, do something. In a primetime address from the Fine House, the President called for a ban on assault weapons and high capacity

magazines and an end to lawsuit protection for gunmakers. He said responsible gun owners shouldn't be worried about their rights going away. Machine guns have been federally regulated for nearly ninety years, and this is still a free country. This isn't about taking you anyone's rights shoile protecting children while

protecting families, while protecting whole communities. As President Biden spoke, the House Judiciary Committee approved a bill that would raise the minimum age to buy semi automatic rifles and band high capacity magazines. That bill is not likely to pass in the Senate. Meantime, Nathan lawmakers in New York have raised the age to buy semi automatic rifles. The New York State Legislature approved increasing the legal age to twenty

one from eighteen. It also passed a package aimed at reducing the likelihood of mass shootings by tightening roles to purchase firearms and other military equipment. Then they bring New Jersey Karen. Governor Phil Murphy says he's optimistic his date will also enact stronger gun laws. New Jersey is one of the strongest gun safety states in America. We've got a lot of past and signed in our four and a half years. Because yet another package of bills that

we think could make our stadium the safer can. We want to get those over the New Jersey Governor Phil Murphy spoke with David Weston on Bloomberg's Balance of Power. You can catch that program at noon Eastern on Bloomberg Radio and Television. In the interest of transparency, we should note that Michael Bloomberg, the founder and majority owner of Bloomberg LP, the parent company of Bloomberg Radio, is a

donor to groups that support gun control. Well, another major story we're following this morning, Nathan, the House panel investigating last year's Capitol Hill insurrection is ready to take its findings public, and Bloomberg's Amy Morris has details from our newsroom in Washington. After nearly a year of investigation, subpoenas, and testimony, the January sixth panel will lay out its findings for the public in a series of hearing starting

next Thursday. Most of their work has been behind closed doors, but now members say the panel will present preview the unseen material documenting what happened on January six and provide a summary of its findings. The first of a series of public hearings is set for eight o'clock Thursday night. It's prime time in the US to give the investigation maximum exposure. In Washington. I'm maybe more as Bloomberg Daybreak. All right, Amy, thank you. Also in Washington this morning,

we get the release of the May jobs report. Economists predict three d twenty thousand non farm payrolls are created last month. Regardless, Andrew Husby, US and Canada economists for Bloomberg Economics, does not think the report will affect Fed policy. You know, early signs that labor demand is cooling, But certainly there's nothing in this report that's going to shape the head off of tightening moves of at least fifty

basis points at the next couple of meeting. Andrew Husby and Bloomberg Economics says, look for that next half point rate hike at the FEDS policy decision coming up June. Well, the feds major focus right now, of course, is curbing inflation, and Black Rock chair and CEO Larry fing is weighing in on the matter. He tells Bloomberg the Fed may not have the tools right now to deal with higher prices.

There's greater recognition that inflation is not transitory. It is probably with us for a number of years, and at the type of inflation that I don't believe the Federal Reserve has the policy or the tools to do much with it right now. And I'm personally not blaming the Federal Reserve for where they where we are right now, but I believe most of the problems we're living with

today are more policy generated and supply generated. When it comes to the economy of black Rock, CEO Larry Fink tells us he thinks demand is just about back to pre COVID levels. All right, let's turn to corporate news now, Karen and the latest from Elon Musk. The test Less CEO has reportedly told executives the electric car maker needs to cut staff by about ten percent. According to Reuters, Musk sent out an email titled pause all hiring worldwide.

The report says Musk has quote a super bad feeling about the economy right now. Testless shares her down three percent in early trading. Well on the flip side, Nathan Walmart is adding employees. That retailer will build four new e commerce warehouses and a push to speed deliveries. The move will create more than four thousand jobs. It also will let Walmart reach of the US population with one

or two days shipping. That's ut from about seventy five percent right now and on the earning stront today Karen. Shares of Lulu Lemon are up more than one percent in early trading. The company reported results that beat estimates. We get the details from Bloomberg's Doug Prisoner. The athletic ware retailer reported comp stores sales rose in the first quarter and net revenue reached one point six billion dollars. Importantly,

Lulu Lemon also raised its full year forecast. The company is expecting sales to reach as much as seven point seven billion in its fiscal year. Lulu Lemon has been accelerating deliveries to get products to stores in time to meet robust demand. Even so, the company says logistics problems that hurt performance since the holiday season haven't yet fully been alleviated. In New York, I'm Doug Prisner, Bloomberg Daybreak. Okay, Doug,

thank you right now. S and P futures are down eleven points, Stown futures down sixty nine, Nasdaq futures are lower by fifty five points. The Tenure Treasury is down one thirty second yield two point nine one, and nim X screwed is down seven tenths percent at a hundred fifteen cents of barrel straight ahead, your latest local headlines,

and a check of sports. This is Bloomberg Sound five oh seven on Wall Street where at sixty four foggy degrees in such a part the deal etting with a tractor trailer fire cleaning that up eastbound route to eighty by eggs at nine. Details coming up in traffic. First Michael Barr with what else is going on in New York and around the world. Happy Friday, Michael, Happy Friday to you, Nathan. New York lawmakers have approved a new entity to help finance much needed renovations at New York

City's public housing developments. The New York City Public Housing Preservation Trust will allow the New York City Housing Authority to borrow money by pooling federal housing vouchers. The money will be used to make urgent repairs to as many as one hundred thousand units, many of them plagued by mole leaks and lead paint, and made critical upgrades to

boilers and elevators. Texas prison officials say a convicted murderer on the run since escaping a prison bus on May twelve has been killed after he killed a family of five and took their truck. Prison spokesman Jason Clark says Gonzala Lopez was shot dead by law enforcement south of San Antonio late last night. Very saddened that the murders happened, but I will tell you that we are breathing a sigh of relief that Lopez will not be able to

hurt anyone else. Prison spokesman Jason Clark says the five killed and their residents included an adult and four miners. After Lopez broke in. Authorities in Tulsa, Oklahoma, say the suspect who killed four people inside a medical building Wednesday was a patient to one of the victims. The victims have been identified as Dr Preston Phillips, Dr Stephanie Houston, Amanda Green, and William Love. The suspect has been identified

as Michael Lewis. Tulsa Police Chief Windoll Franklin said Dr Phillips performed back surgery on Lewis, who was angry about lingering pain. Following the operation. We have also found a letter on this suspect which made it clear that he came in with the intent to kill Dr Phillips and anyone who got in his way. Gee Franklin says the shooter took his own life when officers closed in Britain

continues to mark the Queen's platinum jubilee. Today, a service of Thanksgiving takes place in St. Paul's Cathedral for the Queen's historic seventy years of service. Harry and Megan will be there. However, Prince Andrew will not. He tested positive for COVID, and the Queen, who was ninety six, decided to skip the trip because it will just be too

much for her. Global News twenty four hours a day on air and on Bloomberg Quick Takee, powered by more than journalists and analyst more than a hundred twenty countries. Michael bar this is Bloomberg. Nathan all right, Michael, thank you, oh for count up to five ten on Wall Street. Time for the Bloomberg Sports Update. Good morning, John Sesshire, morning, Nathan starting. Pitching has carried the Yankees to this great start, and it was on display of the Brons and the

doubleheader sweep of the Angels. Up first was Nestor Cortez, arguably the best pitcher of the Major so far. Seven more scoreless innings the Yanks at four solo home runs three came off Sho hey Otani. They won six to one, as Cortes lowered as the r eight to one and a half. And then it was Jamison Tyone's turned coming off eight scoreless innings when he lowed only two hits. Tylon went eight innings again. He had a perfect game going.

In the eighth, Angels broke it up and broke up a scoreless game, but the Yanks came through bottom of the eighth inning the two out, two run game winning pinch hit single for Anthony Rizzo. Yanks won two to one to sweep the twin Bill. Mets started a ten game Southern California road trip. They had only three hits, lost the Dodgers to nothing. That ends the Mets six

game winning three. Game one of the NBA Finals, the Celtics trailed by fifteen, but then had a big fourth quarter take over the shoulder pass Marcus Smart left side three. Good night. What's then say bout Parcus ring? What they say at the seven Sports Tub in Boston. Celtics won that fourth quarter forty to sixteen. That's the most lopsided fourth quarter score in Finals history. They beat Golden State one to one. Oh eight, first team in finals history to come from more than ten down and win by

more than ten. Salley cuple Haus, Colorado shut out Edmonton four nothing to the Ads of a two nothing leading in the West. The Rangers go for a two nothing in the East. Tonight it's at the Garden with the Rangers won seventh straight game two with Tampa Bay Raphael the dal versus alex Arabo. Today Frank Copen Semifinal, John stash Award Bloomberg scorts stat okay John, Thanks Right now, SMP futures are down eleven points, Staff futures down sixty four,

Nasdaq futures down fifty seven points. The tenure Treasury is down one thirty second yield two point nine one per cent. Terry Haynes of Pangaea Policy with US next on the future for gun restrictions on Capitol Hill. This is Bloomberg Bloomberg eleven three oh wather any remaining showers on early It'll turn probably mostly sunny today with highs in the mid seventies, upper seventies Tomorrow low seventies. Sunshine for Sunday. Right now sixty four and foggy in Central Park markets.

Headlines and breaking news twenty four hours a day at Bloomberg dot Com, the Bloomberg Business Outland at Bloomberg Quicktake, He's a Bloomberg Business Flash and I'm Karen Moscow. U Stock Indix futures are falling after a report that Tesla chief executive officer Elon Musk said the electric car maker needs to cut staff amid a gloomy economic outlook. Investors are also waiting key usp rolls data back they'll study for clues on the pace of federal reserve policy tightening.

We checked the markets every fifteen minutes throughout the trading day on Bloomberg S and P Future is down about fourteen points this morning. Down features down seventy nine. Nasdack futures down sixty nine. The decks in Germany's up a third of a percent ten Your Treasury down one thirty second deal two point on one percent. They yield on

the two year two point six three percent. Ni Max screwed oils down eight tenths percent or ninety three cents, and a hundred fifteen dollars ninety four cents of Barrel Comic schol down a quarter percent or four dollars thirty cents at eighteen sixty seven ten announced the euro one point oh seven five zero against the dollar, British pound one point to five seven one, and the ends at one thirty point oh five. Look at a bitcoin this morning, a tenth of a percent at thirty thousand, two hundred

sixty dollars as of Bloomberg Business Flash. Now here's Michael Barr with more on what's going on around the world. Uncle, good morning, Good morning, Karen. President Joe Biden called for a ban on sales of assault weapons and high capacity magazines. Many more innocent American lives must be taken before we say enough enough. Meanwhile, the New York Legislature approved raising the legal age buy semi automatic rifles from eighteen to twenty one. Game one of the NBA Finals, the Celtics

beat the Warriors. After Wednesday's win, the Rangers host Game two of the NHL East Final tonight against the Lightning. In baseball, the Yankees one a double header. The Mets lost, along with the Nationals, Orioles and Giants. Global News twenty four hours a day on air end on Bloomberg Quicktake, powered by more than journalists and analysts more than a d twenty countries. Michael Barrn, this is Bloomberg. Nathan. Okay, Michael. Thanks, It's five nineteen on Wall Street Line from the Bloomberg

Intractive Broker Studios. This is Bloomberg day Break. Let's get more now on President Biden's primetime golf call for new gun regulations following the wave of mass shootings across this country. Terry Haynes joins us this morning, the founder of Pangea Policy. Terry, it's good to speak with you this morning. The debate over what to do about gun violence has become all too familiar. I wonder what if any impact you think of primetime address has on shifting that debate. Good morning, Nathan.

Uh you know one thing I would be looking at, and I'm kind of the impact. One thing I would be looking for is uh not is Twitter response, which of course is not perfect, but we'll give you an indication of the kind of the heat, if not the light. And my quick scan of Twitter this morning on trendings and everything else, news and everything else showed it was barely a blip. It wasn't the top two among the top twenty trending. I think is a bad sign for

the White House. But you know, bottom line, I think I think I'm about something is likely to happen on this UM. And that's despite the president's speech because fundamentally, I think that senators are working in good faith to come up with some common sense reforms that have been long overdue. Frankly, UM, and the ability to do that for many people will will will function politically as an

incumbent protection program. Uh. The the ability to say you've done something uh in in the basic political mind, you know, is a is a good thing. So UH, you know, today I think something is very much likely to happen. But you know, I think the President did not help himself on this last night for a couple of reasons.

One is, it looks like you're leading from behind. UH. Saying you know, we hope something will happen in the Congress makes it look like, UH, what you're doing is uh is engaging in a political exercise from calling for something so you can get credit for it if something happens. And uh, you know, and you know, frankly, going out of your way to uh to criticize the other party is not exactly the best way to get the other

party's cooperation. So you know, I didn't think he did himself any favors, particular after about the first ten or fifteen minutes at that speech. But uh, but I do think something is likelier than not to happen today. As you say, the President has been letting send a negotiations sort of go forward without him. Are you implying that

he should get more directly involved in those discussions. Well, yeah, if he's uh you know, put put bluntly, I mean, if he if he's serious about about doing something, what he ought to be doing is reaching past party, past his own political party. And instead what happened last night was I think too much about uh, you know, his own party's positions and applause lines and and not enough about saying, hey, look, you know we're all going to get together on this stuff, and I'm gonna jump in.

I'm going to do what it takes uh to make this happen. Uh. And you know that last line in particular, wasn't there. Now? I understand you know the the the difficulties here uh politically because President was in exactly this situation uh nine years ago on the background checks uh

legislation sponsored by Senator's mansion. And to me and you know that didn't get the sixty votes necessary frankly, because four votes on the four votes and one party went the opposite away, and four votes and the other party want the opposite way. Uh. You know, some of those people aren't there anymore. But you know, this is not a one party problem. It's not a one party solution. But if you want to get in and get something done, uh, you know, you actually need to do it instead of

just calling on other people to do it. You only have about a minute left here, Terry. You say you're something getting done in the Senate. What does that something look like? Do you think? Um? I think that's something is you know, the people are saying that it's uh, that it's pretty modest, and you know, and of course I think that's true. I think you're looking at the background checks, the age raise, the red flags, all the

kind of obvious stuff and uh. And you know, frankly, I think Washington will do what Washington will do about you know, the mental health basket of issues here has more to do with throwing money at things than than anything else, and Washington certainly proved itself to be good at that. Recently, on a bunch of things, so you know that that'll probably be a default, but you won't

see much more than that. Uh and uh, you know, I wonder frankly whether you know I start I started by saying I think this is a political instinct to get something done. I wonder if that doesn't boomerang on some people though, because you know, because it is so modest compared to the problem. All right, Terry Haynes as always good to get your thoughts. Terry Haynes, founder of Pangia Policy with us this morning. SFP Future is right now down fourteen points. South Future is down one. NASTAC

Futures down seventy four points. Just ahead, state moves on gun safety in New York and New Jersey, and Elon Musk says he has a super bad feeling about the economy. Top stories of the morning just ahead on Bloomberg Day, bright Bloomberg eleven three oh weather partly to mostly sunny later today with the high year seventy five degrees upper seventy sunshine to start the weekend tomorrow. It'll stay sunny,

low seventies for Sunday. Right now sixty four in Central Park, broadcasting live from the Bloomberg interactive broker studio in New York, Bloomberg E Living Free to Washington, d C. Bloomberg to Boston, Bloomberg one O six one to San Francisco, Bloomberg nine sixty to the country, Sirius XM Chadle one nine and around the globe the Bloomberg Business app and Bloomberg Radio dot Com. This is Bloomberg Daybreak. It's my thirty on Wall Street. Good morning. I'm Nathan Hagar and I'm Karen Moscow.

We're just about four hours away from the open of you US trading. Let's get you up to date on the news you need to know at this hour. And we begin with a plea for action from President Biden after a wave of deadly mass shootings across the country, more kids and soldiers killed by guns, for God's sake, how much more? Carnerge A're we willing to accept? And at primetime address from the White House, the President called for a ban on assault weapons and high capacity magazines

and an end to lawsuit protection for gunmakers. He said responsible gun owners should not be worried about their rights going away. In fact, we believe we should be treating responsible gun owners. As an example, of Hower, every gun owner should behave. As President Biden spoke, the House Judiciary Committee approved a bill that would raise the minimum age to buy semi automatic rifles and van high capacity magazines.

That bill is not likely to pass in the Senate. Well, meantime, in New York here and lawmakers, they're raised the legal age to buy send me out of back rifles to from eighteen. They also passed legislation tightening rules to purchase firearms and other military equipment. Well in neighbor New Jersey, Nathan Governor Phil Murphy is optimistic his state will enact stronger gun laws, but says New Jersey cannot do it alone.

We're not an island or of the crime guns that are recovered in New Jersey from honest state, so we need conference to act. New Jersey Governor Phil Murphy spoke to David Weston on Bloomberg's Balance of Power, airing noon Eastern on Bloomberg Radio and Television. Man. In the interest of transparency, we should note that Michael Bloomberg, founder majority owner of Bloomberg LP, the parent company of Bloomberg Radio,

donates to groups that support gun control. One of the major story we're following this morning, Nathan, the House panel investigating last year's Capitol Hill insurrection is ready to take its findings public. The first set of public hearings begins next Thursday. It's set to broadcast in primetime at eight pm. Stay in Washington. Can we get the release this morning of the May jobs report. Economists survey predict three twenty

thousand non farm payrolls are created last month. And corporate news Nathan Elon Musk is reportedly looking to cut jobs at Tesla. According to Reuter's thee wants to cut staff by about ten percent. Musk send out an email titled pause all hiring worldwide. The report said Musk has quote super bad feelings about the economy. On the flip side, Karen, Walmart is adding employees. The retailer will build four new

e commerce warehouses and a push to speed deliveries. The move will create more than four thousand jobs and we'll let Walmart reach of the US population with one or two day shipping. S and p Future is down about fifteen points this morning. Straight ahead, your latest local headlines plus the check of sports, and this is Bloomberg, all right, Karen, thanks sixty three degrees in Central Park at five thirty three on Wall Street. Got an accident on the northbound

New Jersey Turnpike. Looks at the western spurad exit eighteen duty details coming up in traffic. First Michael Barr with what else is going on in New York and around the world. Michael, thank you very much. Nathan. Their New York public housing units full of mold, leaks, lead paint, broken boilers, and busted elevator. Yesterday, New York lawmakers approved a new entity to do something about it in finance

much needed renovations. The New York City Public Housing Preservation Trust will allow the New York City Housing Authority to borrow money by pooling federal housing voutiers. The money will be used to repair as many as a hundred thousand units. Authorities in tell Us, Oklahoma, say the suspect who killed four people inside a medical building Wednesday was a patient to one of the victims. They have been identified as Dr Preston Phillips, Dr Stephanie Yusson, Amanda Green, and William

Love Toulds. The police chief, Wendell Franklin, said Dr Phillips performed back surgery on the suspect. He blamed Dr Phillips for the ongoing pain following the surgery. Chief Franklin says the suspect has been identified as Michael Lewis. Authorities in Texas say a convicted murderer who escaped from a prison bus last month was shot dead by police last night

after being accused of killing five people. Officials say Gonzala Lopez is believed to have killed an adult and four miners after breaking into a Leon County residents Atascosa County. Sheriff of David Soward says law enforcement spot at the pickup truck Lopez is believed to have stolen from the residents. After a brief chase, Lopez accident the truck and was

killed in a shootout with officers. He was in prison for murder, so he's serving a last sentence already, so you know, he didn't want to go after prison obviously, and we knew what kind of person he was and what kind of action he probably was going to take. Sheriff Soward says no officers were injured. Britain continues to celebrate the Queen's jubilee for seventy years on the throne. Today, a service of Thanksgiving takes place in St. Paul's Cathedral. However,

the Queen plans to skip the event. Global News twenty four hours a day on air and on Bloomberg Quicktake, powered by more than journalists and analysts more than a hundred twenty countries. H Michael Barr and this is Bloomberg. Nathan all right, Michael, thank you, Wall Street. Time for the Bloomberg Sports Update with John Steen Shower Acts Day. Then big comeback to start the NBA Finals, Golden State

led Boston by fifteen. Celtics then won the fourth quarter of forty to sixteen, and they still Game one from the Warriors one oh eight. The Celtics made more than half of their three pointers. Steph Curry drained six threes in the first quarter, but only one after that. Samley Cup winous Colorado, who won Game one eight to six to Game two from Edmonton four and update in the asley of the West Finals to nothing Rangers in lightning Game two in the East tonight at the Garden. With

the Rangers have won seven in a row. The Blue Shirts overall have won their last three by a combined seventeen to six at the Stadium. Doubleheaders sway if the Yankees, who teed off on show he O Tani in a game a year ago in the Bronx hit three solo home runs off him, including Aaron Judge's nineteenth of the year, and with Nestor Cortez dominant again, Yanks won the opener over the Angels six to one. The nightcap saw Jamison

tyonn flirt with a perfect game. He lost it and lost the lead in the eighth inning, but the Yanks one two to one thanks to an Anthony Rizzo two out to run pinched single in the eight Mets had only three hits, lost the start of the road trip to the Dodgers to nothing. Tony Gonsolin now six and oh for l a t Betawan waffle and stuff at

his first loss. Ryan Fitzpatrick, who came out of Harvard a quarterback in the NFL for seventeen season for nine different teams, including a stint with the Jets, retired at the age of thirty nine. Franch open the women's final tomorrow will be Poland's Eagles Swayattech, who's won thirty four matches in a row against the eighteen year old American Coco Golf Men's Semi's coming up today with Raphaelo dal Facing, Alex Sarraga, John Stashward Bloomberg Sports. Okay, John, Thanks, It's

five seven on Wall Street. Time for the Tri State Business Report. Here's Bloomberg, Scott Carr, a Staten Island fixture, the eighty year old Nunzio's Pizzeria, and the Prime Corner. A lot slice of East Shore commercial real estate it sits on is on the market for a cool one point nine million. New York Business Journal reports that's inspired waves of panic among the pizza purists who have been going there for decades for their crisp crust pies covered

with generous slabs of mozzarella. They had a little ribbon cutting this week to mark the return of Canada's largest airline, Air Canada, to Hartford's Bradley International Airport. They're restoring daily NonStop service between Connecticut and Toronto's Pearson International. The service had been shut down for two years since the start of the pandemic. The month of May saw drop in office space leasing in Manhattan. That's despite a lot of

workers coming back to the city. Collier says leasing was down eight percent from April, and there's a lot of empty office and retail space available. That's the Bloomberg Tri State Business Report. I'm Scott Carr. Okay, Scott, thank you. It's 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 Potas Scott TenTen Ins in New York. We're talking about an amended merger deal between Spirit and Frontier Airlines, including a breakup fee. I'm Ginas so Ready in for w BBM in Chicago. I'm reporting with at Walmart plans to build four new warehouses to stage deliveries, including one new facility in Juliet. I'm Stephen Carol on DAB Digital Radio

in London. UK markets are closed as it's day two off the Queen's Platinum Jubilee celebrations, but the Monarch won't be attending the main Thanksgiving service at St. Paul's Cathedral. I'm Courtney Tannaho on ktr H in Houston. More than half of small business owners have open positions they felt.

I'm Scott Carr on w w J in Detroit. I'm reporting on Board's being announced expansion into Michigan, and those are some of the stories our twenty hundred Bloomberg journalists and analysts are working on this morning around the world. It's thirty nine on Wall Street. The following is an editorial from Bloomberg Opinion. President Biden recently tightened sanctions on Russia and of the notch, pushing the country closer to

defaulting on its debts. Keeping up this pressure on Russian President Vladimir Putin is justified, but a default wouldn't be the game change or some hope. Russia has been working hard to maintain its stept payments, proving that Putin regards default as a blow to his credibility. Until recently, Russian officials had been able to exploit a sanctions loophole that allowed debt payments to be made, but the US has

since closed this channel. Still well now, right, default would harm Putin standing at home, It wouldn't change his thinking on Ukraine. To end the war, the US and its allies should concentrate, above all on curbing Russian energy exports that remains Russia's main economic vulnerability, and that's where the Alliance should keep its focus. This editorial was written by

the Bloomberg Opinion Editorial Board. I'm David Shipley. For more Bloomberg opinion, please go to Bloomberg dot com, slash Opinion or OPA and go on the Bloomberg Terminal. This has been Bloomberg Opinion. Listen for Bloomberg opinion editorials every weekday. At this time, terminal customers can read more at O P I n GO, SMP futures are down fifteen point. Staff futures down, NASTACK futures lower by seventy eight points as we await the May payrolls report. Jennifer Lee, senior

economists at BEMO Capital work. It's joins us next on jobs. This is Bloomberg Bloomberg eleven three oh Weather turning partly mostly sunny today with a hind your seventy five degrees upper seventies sunshine to start the weekend Tomorrow, low seventies, mostly sunny on Sunday right now sixty three in Central Park markets. Headlines and breaking news twenty four hours a

day at Bloomberg dot Com. The Bloomberg Business apt and at Bloomberg Quicktake, He's a Bloomberg Business Clash and I'm Karen Moscow And this updates brought to you by Informatica and the Cloud your data hash the power to do the extraordinary, managed data across any location in the clown

for accurate and actionable insights. More at Informatica dot com US dock Index futures are falling after a report that Tesla chief executive Elon Musk said the electric car maker needs to cut staff amid a gloomy economic outlook, and investors are also awaiting the Mape Harrels report. At an eight thirty Wall Street time, we checked the markets every fifteen minutes throughout the trading day on Bloomberg. SNP futures down eighteen points this morning down futures down a hundred

downs day futures down eighties six. The decks in Germany is up a third of a percent. The ten year treasury down one thirty second deal two point one one percent, yield on the two year two point six three percent. Nine x Screwed oil is down seven tenths percent or seventy five cents at a hundred sixteen dollars twelve cents of barrel and as of Bloomberg Business Flash. Now, here's Michael Barr with more on what's going on around the world. Michael,

thank you very much, Karen. President Biden, in a primetime address renewe this call for action to stop gun violence in the US, Biden called for a ban on sales of assault weapons. The UK Devnsman Street says Russian forces f game momentum. One hundred days into the invasion into Ukraine, Moscow is pushing to capture the Donbas region. Game one of the NBA Finals, the Celtics beat the Warriors. After Wednesday's when the Rangers host Game two of the NHL

East Final tonight against the Lightning. In baseball, the Yankees won a double header against the Angels. The Mats lost along with the Nationals, Orioles and Giants. Global News twenty four hours a day on air end on Bloomberg Quick Take Power by more than hundred journalists analysts more than a hundred twenty countries. I'm Michael Barr. This is Bloomberg. Nathan. Okay, Michael, thanks for coming up to five forty nine on Wall Street Live from the Bloomberg Interactive Broker Studios. This is

Bloomberg day Break on this Jobs Friday. We are joined this morning by Jennifer Lee, senior economist at BEMO Capital Markets, for look ahead to the May payrolls report DOT in less than three hours time, Jen, good morning. Looking at data on the Bloomberg terminal, looks like there's a pretty good amount of conviction that we're gonna see a slow down from last month's number of four twenty eight thousand non farm payrolls created in April. Is that what you're

looking for? We are on board with that. Good morning. Yeah, we're looking for about a three increase um in the months, and this is following a couple of actually two straight months of four y eight thousand games. This is totally to be expected. I think, I don't there's no way you can continue on with those you know, seven hundred thousand plus games that we saw, you know, last year. It's a momentum starting too slow and this is just

like a natural progression. But obviously continued job games is key to all of this. You know. Just ahead of this report coming out, we got this report from Reuter's that Tesla is looking to freeze hiring and slash jobs by ten percent, while at the same time Walmart is expanding and looking to add about four thousand jobs. Does that point to a broader shift in where job creation

is happening right now? You know what. I've think that's interesting yet because U a certain somebody said that he was feeling super bad about the economy and and so that's why he's wanting he wants to cut the ten percent of his company's jobs. It's interesting because it's also sort of speaks to the word of some of the shortages lie um. You know, in in automation, for example, there's still you know, I mean, almost every sector is

feeling the pain. So you're hearing a lot about companies who are buying more, investing more in automation and robotics and things like that. And that's one area I think that you know, potentially we can see some companies, you know, replacing human beings with with you know, with machines. And this is something that's been happening for years now. But I think the push is now on um and it has been on since the delabor market is so incredibly tight.

But I think at the same time, with growth already starting to slow. You know, this is why this is the big series that you know, jug there's so much job demand out their job opening still you know, over

eleven million for five months in a row. Now, at some point these things are starting to cool and companies going to think either a, you know, demand is starting to slow, maybe we don't need all these people that we've been trying to hire for or be you know, we've been dealing with a shortage already and I think, you know, we've been getting along, so maybe we can just make this work. So again, this is all starting

to become, you know, part of the broader story. Now, as you mentioned, we do have a more than eleven million job opening still out there. Are we still seeing a mismatch when it comes to getting workers plugged in to those jobs. It's still a problem. And that and that, by the way, that I should mention that that Jolt survey was was not great news. Um, even though the number of openings are still super extremely high. I think at the same time that same month, hiring actually fell.

So this is where that mismatch you know is happening. Even though there's still a lot of openings, not a lot, not as much hirings, not as many hirings taking place as we had wanted to to see at this point. Are we starting to see an effect from FED policy? The increase in frustrates and now the online of the balance sheet is that's starting to have some impact on where the labor market is going from here? Um I

think maybe not. Um, Well, it's gonna it's gonna have an impact in terms so again slowing demand, and that will in turn create or or or cause slowy demand for for workers. I think. So it's just almost like what first, first is the demand, and then it's the demand for for workers themselves, And so yes, it's starting

to have that impact. Um. But again I think the shortage itself, it's been so incredibly long that we've been talking about this, and I think this is where employers are going to start saying, maybe we don't need as many people as we thought. Um. And again, because of slory demand, we're probably gonna be starting to slow the hiring pace. And this is where I get the furious. So I again I continue to urge anyone out there who has, you know, multiple job offers, you have to

take one before you know they start to disappear. Only about a minute left here, Jen, What impact, if any, do you think this Job's report will have on FED policy going forward? It seems like they're pretty focused on putting in a half percentage point rate hikes at least for the next couple of meetings here. Yes, I don't think it's going to have a huge I mean unless sort of seeing some hugely negative number. I don't think

it's going to be very impactful for FED policy near term. Um, you know, they've already come out and said, you know, to expect fifty basis points in in in in July as well after the June hike. Now after that, I think I still think that they're going to go ahead faster than expected, or faster than the market initially was expecting, just to get to neutral and Brainardo actually alluded to that yesterday as well. Um, you know, for another fifty fifty and if we don't see how to slow down

in the CPI, possibly another fifty after that. Thanks for this, Jen, great to have you on as always on the Jobs Friday, Jennifer Lee, senior economist at BMO Capital Markets. Karen Well Nathan, a legal story we're watching this morning fifty four on Wall Street, and we look at this story with Amber Herds, a lawyer, saying she will appeal the jury verdict against her.

After a six week trial, a jury sided with Johnny Depp and his defamation lawsuit against her and his ex wife, awarding him ten million dollars in compensatory damages and five million in punitive damages after finding that her to lied about Depth abusing her in a December eighteen op ed piece. The jury also awarded her to two million dollars after finding that she was defamed by one of Depth's lawyers, who accused her of creating a detailed hoax about the abuse.

For more of Bloomberg's June Grosso speaks to Nemma Ramani, the president and co founder of West Coast Trial Lawyers, to what do you attribute Depth success here? Two factors likability and credibility. No question that Johnny Depp was the more likable witness, both inside the court room and in

the courtroom of public opinion. But importantly credibility is the reason Amber heard law she lied about facts that really had nothing to do with the abuse, but for donating seven million dollars and divorced for against se charity when she didn't do so, the jury didn't buy that she pledged it, not donated it. And even when it came to TMZ and the video that she took on her phone that made its way to TMZ, it was leaked

obviously by her or someone working in her direction. So when she lied about these facts, the jurors were free to disregard her testimony entirely, and they chose to do so. Why do you think he lost the UK case where the standard for libel is less than it is here, and yet he won this case. What made the difference? It's very surprising. Standard is higher for a plane us

Here in the United States. We talked about that clear and convincing standard because John, that's the public figure, has to show actual malice, whereas in the UK the burden is on the defendant. The sons approved that the statements were substantially true. That's why a lot of legal commentators, including myself, thought that it was a mistake for him to file directly against her here in the United States

and he would lose again. What turns out this was both an extraordinary reg will come back, but really public relations genius moved by doing so. You know, my twenty years of practice, I've never seen someone come back like this. So or Herd's lawyer says they're going to appeal the case. What do you think the chances are an appeal is an uppeal battle. It will be up to a battle. I don't see any good legal basis for appeal and

rest of the illegal error. And I know they've talked about the UK judgment not coming in and some of the social media presudics, but I don't think the judge of anything wrong. The UK case is obviously different case, different parties are looking a party to that case, different lot of applies, but really have no presidential impact here, the really social media not much the judge can do judge the potentially sequestioned the juror. That rarely, if ever

happens in a civil case. You just don't have the same rights that you do as a criminal defendant. And apparently there's some evidence that was excluded. But what I saw from the judge is the judgestu is a lot of good evidence for Johnny desk so In. The judge called it pretty fairly. You can't appeal a factual decision by a jury, such as credibility issues and those types

of things. And as Nemma Romani, the president and co founder of West Coast Trial Lawyers, speaking at the Bloomberg Stoe Grosso gets 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 can find exceptional legal research and business development tools at Bloomberg Law dot com and on the Bloomberg terminal at v law Go. And again, futures are moving lower

this morning. Nimex screw it is as well and still ahead. On Bloombergy daybreak, I check on the business headlines and all the news you need to start your day, and this is Bloomberg