Bloomberg Daybreak: June 30, 2022 - Hour 2 (Radio)

guards today at the U. S. Supreme Court. I'm Michael Blamer. More ahead, and I'm Scott Sadenburg. The Yankees coming off a wing. Get ready for a Houston showdown. Plus it update on Wimbledon. I'll have that more coming up in sports.

That's All's train ahead on Bloomberg Daybreak on Bloomberg Eleiving Free on New York, Bloomberg one, Washington, d C, Bloomberg one oh six one, Boston, Bloomberg nine sixties and Francisco, Syrias x AM one nineteen and around the world on Bloomberg Radio dot Com and via the Bloomberg Business App. Good morning, I'm Nathan Hagart and I'm Karen. Moscow and

US dock in next futures are lower this morning. We're coming up to six oh one on Wall Street, and we checked the markets every fifteen minutes throughout the trading day on Bloomberg and right now, SNP futures are down forty eight points down, futures down three hundred, and NASDAG futures down one hundred eighty eight or one point six percent. The decks in Germany is down two point one percent.

Nine x Scrude oil is moving lower at a hundred nine dollars sixty seven cents of barrel, and the ten year treasury up nine thirty seconds, you know, three point oh five percent, and the yield on the two year two point nine percent. The euro one point oh four three zero against the dollar, Nathan Karen. The drop in futures comes as we prepare for the final trading day of the first half, and what a rough one it

has been for equity investors. The SMP five hundred is on course for its worst first half since the index is down almost for the year. Thomas Kennedy as Chief investment Strategist for Global Wealth Management at JP Morgan securities. The market is trying to get the handoff done between worries about inflation two worries about growth. Um, these are challenges that are presented by the Fed. But really and so we can do that handoff, I think it'll be

very hard for risk free assets to price with less volatility. JP. Morgan Securities chief investment strategist Thomas Kennedy says, in order for investors to be more confident, they need to see inflation go down. Nathan, we're seeing the selling spread overseas. This morning, we had a very latest live at the Bloomberg's You and Potts in London. Good morning You and good morning count and Nathan. A bad end to a

terrible quarter. A sea of read on traders Bloomberg screen this morning, with three hours into the European trading day and the stocks hundred off one point six percent. That extends it's year to day dropped to almost seventeen percent on the final day of the first half of the year. Every single sect allow it today with carmakers, banks and tech stalks getting the worst of it. Live in London, Immuneport back day break you in the story is how

much better in Asia? The m s c I Asia Pacific Index has finished its fourth straight quarter in the red. That's despite positive economic data out of China. The country's factory activity expanded in June. Bloomberg Daybreak Asia anchor Brian Curtis has more from Hong Kong. The official p m I rose to expansion mode with a fifty point to reading,

but short of the fifty point five estimates. That said, the non manufacturing gauge blew away estimates, coming in at fifty four point seven, well above the forecast of fifty and a half. The economy is gradually recovering from COVID restrictions. Still, the recovery is fragile, as President She sticks to his COVID zero strategy in Hong Kong. Brian Curtis Bloomberg Daybreak, Brian,

thank you. Oil heading for its first monthly decline since November as OPEC ministers prepare together to discuss supply policy. Escalating fears over an economic slowdown indended oil this month. As interest rates raw checking prices now nim Ex screwed oils down to tens per cent or twenty one cents at a hundred nine dollars fifty seven cents of barrel Brent is down about two ten percent at a hundred

sixteen dollars six cents. OH. Despite this month's decline care in the recent surgeon, oil has elevated inflation around the world, and FED chair J Palell says controlling prices remains his priority. Our focus is very intensely on setting policy in order to get inflation down to two. That's what we're working on. That's our We understand that that's our primary focus right now. FED Chair J pal made the comments to Bloomberg's Francy

Laquax in a panel discussion at the ECB Forum in Portugal. Well, Nathan, this is the final day of the NATO summit in Spain. At the gathering, allies have labeled Russia the most significant and direct threat to NATO security Bloomberry and Maria Today OH has more from Madrid. They say NATO allies believe that Russia is seeking to re establish spear of influence

and control through cohressions, serversion, aggression and annexation. That is for russ Now on top of this is a line on China which is not as aggressive as not as explicit, but it does say that China is a country that could be a challenge to future security, and Bloomberry's Maria Todeo says NATO also expressed disappointment in China for not

condemning the war in Ukraine. Back in Washington, Careen, the House investigation into the attack at the US Capital is ramping up, as Bloomberg said, backs to reports, the January six Committee has issued another subpoena, this time to former White House Council Pat Sippoloni. This comes after the testimony of Mark Meadows aid at Cassidy Hutchinson that Sippoloni pushed back on Donald Trump's efforts to go to the capital.

Vice Chairless Cheney says that committee has evidence that Mr Cippaloni repeatedly raised legal and other concerns about Trump activities. She says, while the Select Committee appreciates Mr Cippaloni's earlier informal engagement, the committee needs to hear from him on the record, as other former White House counsels have done

in other congressional investigations. In San franc Cisco, I'm at Baxter Bloomberg daybreak, All right, and thank you for heading into a busy travel weekend for the fourth of July holiday, and now the Transportation Department is under new pressure to punish airlines for flight disruptions. Bloombergs Charlie Pillett brings us the details post COVID demand and a labor shortage are

straining travel schedules. US air carriers have struggled to manage demand, with three and a half percent of flights canceled a nearly delayed during the first four months of the year. For months, Senator Bernie Sanders once finds of up to fifty five thousand dollars, while Airlines for America, which represents major carriers, says its members are doing quote everything within their power to ensure reliable flights in New York. Charlie Pellet,

Bloomberg day break. All right, Charlie, thank you. We're also seeing travel disruptions overseas this week. London's Heathrow Airport and the Charle Degall in Paris are reducing flights. Heathrow asked airlines to cut thirty flights in their schedules this morning on concerned peak passenger numbers will exceed the levelly can safely handle. And in France, the Civil Aviation Authority there has ordered a seventeen percent reduction and flights out of

Paris because firefighters are on strike. SMP futures are down fifty one points. That is a drop of one point three percent. Straight ahead your latest local headlines and a check of sports. This is Bloomberg. Man. It's now six oh seven on Wall Street where it's sixty nine degrees in Central Park and delays are building on the George Washington Bridge. There's a broken down tractor trailer on the

upper level. That's not good. Details coming up the traffic First, Michael Barr with what else is going on in New York and around the world. Michael, thank you very much, Nathan. Authorities in New York City are looking for a gunman who murdered a twenty year old woman pushing a baby stroller last evening on the Upper East Side of Manhattan. It happened on Lexington Avenue st. The suspect is described as a male dressed in a hoodies, wet pants, and

baseball cap, all in black. Mayor Accadam says his administration is working hard to combat gun violence, but the city needs help. We're going to find this person, this gift guilty of this horrific crime. We're going to find him and bring him to justice. We didn't need to justice assist him to make sure this innocent person received that justice that we're asking for. Mayor Adams says the victim was shot by the suspect in the head at point blank range. Today is the last day of the U.

S Supreme Court issues opinions. The court will design how much authority the e p A has to regulate emissions from power plants. Another opinion will impact immigration. Also today, Justice Stephen Bryan retires and will formally pass the swords to Catangi Brown Jackson, becoming the first black woman on the High Court. New Jersey lawmakers have passed a record fifty point six billion dollar budget, sending it to Governor

Phil Murphy's desk. The budget is nine percent bigger than last year's and comes after better than expected tax returns and bigger state conference. The death told from the deadliest smuggling case in US history rose to fifty three. The victims were found Monday in the back of a sweltering truck in San Antonio. Four men faced charges R and B. Star R. Kelly was sentenced to thirty years in prison. The fifty five year old singer was convicted of racketeering

and sex trafficking last year. Lozette Martinez and r Kelly, accuser describe how she finally got away. I looked in the mirror and I didn't recognize myself, and I didn't like myself anymore. And I knew that if I didn't get out, neither he was gonna kill me or I was gonna kill myself. Think you got that dark? Was thatte Martinez spoke to ABC. Israel's parliament voted today to dissolve itself and send the country to the polls in November for the fifth time in less than four years.

Yaron Lapide, Israel's foreign minister, will become the country's caretaker prime Minister. Global News twenty four hours a day on air and on Bloomberg Quicktake, powered by more than twenty seven hundred journalists and analysts more than a D twenty country. He's Michael Barr and this is Bloomberg, Nathan. Thank you Michael. And as we come up to six ten on Wall Street, we checked Bloomberg Sports with Scott Seidenberg. Thanks Nathan. The Yankees using the long ball to help bail out Jamison

tayone yesterday and beat the A's five three. Tayone allowed three runs in the top of the first inning, but Aaron Judge quickly got two back with a homer in the bottom of the frame, and then Jean Carlos Stanton put the Yankees on top with a three run blast in the third inning. The Yankees are five and one when Judge and Stanton homer in the same game, including

nine and oh this season. With the wind, the Bombers improved their records at fifty six and twenty, matching the team and the two thousand one Mariners for the best seventies six game start. Yankees will play one game in Houston tonight before heading to Cleveland for a weekend series. Luis Severino will get the start. The Mets meanwhile, lost

a pitchers duel to the Astros to nothing yesterday. Stin Berlander when eight shutout innings allowing just two hits, and Taiwan Walker matched him going seven and a third shutout innings allowing just the four hits. Jason Castro's two run homer off of Drew Smith on the top of the ninth was the difference. The Mets are off tonight. They host the Rangers tomorrow night. At Wimbledon, Novak Djokovic cruised

in straight sets. Three seed Casper Rude was upset by Ugo Umbert, and American John isn'er defeated two time champion Andy Murray the second round exit the earliest exit for Murray at the All England Club. I'm Scott Siedenburg with Bloomberg Sports. Nathan Okay, Scott, thank you. Right now, SNP futures are down forty eight points, the drop of one point three percent. Down futures down one percent or three

hundred nine points. NASDAC futures leading the declines, down a hundred points for a drop of one point six percent as we get set to close the books on the worst first half for U S stocks since Danny Burger, Bloomberg Markets correspondent TV anchor for Bloomberg joins us next on this market. This is Bloomberg Bloomberg eleven three oh weather, sunshine and a high in your ninety today. It's gonna be hot, humid tomorrow with a highr mid eighties for Saturday,

with occasional showers and storms. Right now seventy degrees in Central Park. Markets headlines and breaking news twenty four hours a day at Bloomberg dot Com, The Bloomberg Business at and at Bloomberg Quick Tape. He's a Bloomberg Business lash and I'm Karen Moscow. US Dock index futures are signaling more losses today after central bankers issued warnings on inflation and feel concerned that aggressive policy will end in recession.

If we check the markets every fifteen minutes throughout the trading day on Bloomberg, SNP futures down fifty one points, Dow future is down three d thirty three, and NASDACK futures down one ninety seven. It's down up at one point seven percent. The decks in Germany's down two point four percent. Pen Your treasury up nine thirty seconds, yell three point oh five percent. The yield on the two

year is at two point nine nine percent. Nive excret oil down a tenth of upper cent or thirteen cents at a hundred nine dollars sixty five cents of barrel co makes goal down three tenths percent or five dollars twenty cents at eighteen twelve thirty announced the euro one point oh four to zero against the dollar. British found one point to one to seven, the n at one thirty six point to seven, and Bitcoin this morning down five point four percent at nineteen thousand, one hundred dollars.

That's a Bloomberg business flash. Now here's Michael Barr with more on most going on around the world. Michael Karen, thank you very much. The House committee investigating last year's assault on the US capital says it has peanut former White House Consul Pat Siboloni to appear on July six for a closed door deposition. Sipoloni has emerged in recent weeks as a subject of interest by committee members, who say he was at the center of a number of

events related to the attack. On January six, Israel's parliament has voted to dissolve itself, singing the country to the polls for the fifth time in less than four years. In baseball, the Yankees beat the A's five three. The Mats lost, along with the Nationals, Orioles and Giants. The Red Sox one Global News twenty four hours a day on air and on Bloomberg quick Take, powered by more than twenty seven hundred journalist and analysts, more than a

hundred twenty countries. Hi, Michael Barr, And this is Bloomberg. Nathan. Okay, Michael, thank you. It is six nineteen on Wall Street Live from the Bloomberg Interactive Broker studios. This is Bloomberg Daybreak as we get ready to close the books on a very rough first half for equity investors. Were joined this morning by Bloomberg TV anchor and markets correspondent Danny Burger

with us life from our studios in London. Danny, should we get into the superlatives about just how bad it's been if you're long stocks man, Yeah, it's it's been really bad. Not not a lot of places to take shelter. Um, we're start to the year since nineteen sixty two, which I think is probably the most juicy and depressing superlative. Um. And look, it's not like you could hide out in bonds either, I mean worst, we're on track for the worst year in bonds also, so I mean just all around,

unless you're talking about commodities. Um, just a really bad seart to the year. Yeah, certainly has been. And when you look at futures this morning, as deep in the red as they are right now, you have to wonder where things go as we enter the second half with so much fear in this market around inflation and the risk of a recession. Yeah, exactly, And and you know some of the action we might be seen today. Of course, it is quarter and month end, first half end, so

there certainly is some rebouncing going on. But if everyone's fleeing equities, it does kind of show you that managers are trying to get out of the stock market. So when they report their holdings for going into this quarter, their clients aren't saying, hey, why why are you in stocks when they've just been absolutely pummeled. And I think that's kind of part of the problem, is this question

we ask of whether we've seen capitulation or not. Sentiment is certainly bad enough to suggest that we're at max bearishness, but a lot of folks out there saying we could have further to go. We haven't priced in earnings deterior ratings, so that's another thing that could take equity markets down. Um, And we haven't totally priced in the prospect of a recession. So yeah, things look bad, Um, I guess it could

always be worse. Yeah, And we've heard from one veteran investor who spoke to Bloomberg just this week, saying he could see the SNP five hundred dropping as low as thirty one hundred, where toty hundred handle right now? I mean, what's the sense out there on Wall Street Global, Wall Street as we get into the second half about where things could go from here, what kind of levels we could be seeing. I think it really is divided, um in terms of whether you think there will be a

recession or not. Um. You know, I I kind of come out on this of Look, the FED in some ways wants wealth destructions. The destruction they're not going to step in because the stock market is so bad. So recession or not kind of a feature, not a bug, of what the Fed is trying to do to get um less spending, to have demand in line with supply. Are things like stocks and bonds selling off? So I think just sort of a feature of this inflation combating FED.

It stands to reason that stocks could sell off from here regardless of whether we have a recession or not. Now, if we have a recession, it could sell off more deeply. UM. So that's percolating on Wall Street. But I should say the part of Wall Street, the cell side analysts looking

at individual companies. There's a great story out on Bloomberg this morning basically saying that they haven't changed their estimates for earnings for your end for these individual stocks, and you get these ridiculous numbers expecting stocks to rally some into your end. So there's still some optimism there, how founded.

That is an Yeah, that's interesting to bring into the conversation, Danny, because you've been hearing quite a lot from many analysts about where earnings expectations are right now, thinking that they're so high that they're going to have to come down as we get into the third quarter and the rest of this year. What kind of headwind could that pose for stocks as analysts potentially bring down their expectations for how much companies are going to earn going forward. It's

definitely large. One Goldman Sachs out this week saying that the expectations are unrealistic. We haven't priced in margins. I think this is the real issue because last year we talked about yes, inflation is bad, but companies are still able to charge more. They have pricing power. We're starting to see signs of factor sharating. Margins not as strong.

M r H the specialty furnishing. Furnishing company had an earnings report out late yesterday saying that they're seeing less spending um inflation is finally starting to hit the consumers. That's a totally new prospect. We have to grapple with is do these companies still have pricing power or their margins gonna get eaten away because people are struggling with high prices and they're just not gonna be willing to spend as much. All right, thanks for this, Danny, Always

great having on with us. Danny Burger, our markets correspondent, Bloomberg TV anchor with us this morning from our studios in London. Let's just get a market check here, getting ready for this final day of the second half, and it's a sea of red. We have SMP futures right now down forty nine points, a drop of one point three percent. Dow futures are lower by three d sixteen points, NASDAC futures leading the declines, down a hundred eighty eight points.

That's a drop of one point six percent. Even worse losses in Europeans indexes, with the DACKS and the CAC in Paris both down two point three percent. Ten Your Treasury is up nine thirty seconds, the yield three point zero five percent, and the yield on the two year right now just around three percent. Your list stening to Bloomberg day Break. Bloomberg day Break is brought to you by Hofst University's Frank Gie's Art School of Business, top

ranked online NBA program with a real world foundation. Learn more at Hofstra dot e d U slash go grad. Broadcasting live from the Bloomberg Interacted Broker Studio in New York, Bloomberg E loving free to Washington, d C, Bloomberg nine nine one to Boston, Bloomberg one O six one to San Francisco, Bloomberg nine sixty to the country Sirius XM to A one nine team, and around the globe the Bloomberg Business and Bloomberg Radio dot Com. This is Bloomberg Daybreak,

six thirty on Wall Street. Good morning, I'm Nathan Hager and I'm Karen Moscow. We're just about three hours away from the open of US trading. Time for the five things that you need to notice start your day. Brought to by Interactive Brokers. Interactive Brokers Simple i v K are Global Trader app depositing your local currency and trade stocks in your US, Europe, in Asia. Start your free trial at ibkr dot com slash Global Trader First. US futures are falling as we enter the final trading day

of a rough first half. Victoria Green, chief investment officer at G squared Private Wealth, So, the biggest economic risk now is no longer inflation. I think recession is a bigger risk by now because inflation is quite thin now right. We're halloware We're in a high in place in their environment. People are adjusting their budgets. But recessions was going to turn this market over because people are starting to change

their buying habit. Victoria Green at G squared Private Wealth said the FEDS the soul of focus remains inflation, even if it negatively impacts markets and oils heading for its first monthly declined since November. Karen As OPEC ministers gathered

to discuss supply policy. Escalating fears over an economic slowdown have dented oil this month as interest rates rise, checking prices down, nimex screws down two tenths per center, twenty six cents at a hundred nine dollars fifty two cents of barrel Brent is down two tenths percent at a hundred sixteen dollars six cents. Well, despite this month's decline, Nathan the Surgeon, oil has elevated inflation around the world.

Fetch Yer J. Powell said it remains a top priority for the Central Bank and that Russia's war in Ukraine has made it even harder to bring oil prices down and guide the economy to a soft landing the war in Ukraine, which has added tremendously to inflationary pressures around food and energy commodities and agricultural chemicals and industrial chemicals and things like that, so it's gotten harder. The pathways

have gotten narrower. Fetch Er J. Powell made the comments to Bloomberg's Francy Laqua in a panel discussion at the ECB Forum in Portugal. Well, today marks the final day of the NATO summit in Spain. Karen and allies have labeled Russia the most significant and direct threat to NATO security. Bloomberg's Maria today, Oh has more for Madrid for NATO.

It is back to combat mode, a reality check, as I say, And of course that will also mean from now on taking that two percent defense spending is going to be a big priority. Four Europeans in particular, if they don't want to take security different granted anymore. Bloomberg's today says Russia wasn't the sole focused NATO says China also presents security concerns. And back in Washington, Nathan, the House investigation into the attacks of the US capital continues.

That January six, committee has issued a subpoena at to former White House Council Pat Cipoloni. And that's the five things you need to know to start your day, brought to you by Interactive Brokers. Futures this morning are moving lower. SMP futures down fifty five points. Straight ahead, your latest local headlines and a check of sports. And this is Bloomberg. Thank you. Karen six thirty three on Wall Street where it's seventy degrees in Central Park. Got an accident in Harrison.

He's found route to eighty seven in the exit nine off ramp. Details coming up in traffic. First, Michael Barr with what else is going on in New York and around the world. Good morning, Michael, Good morning, Nathan. The NYPD s as a young woman was fatally shot last night while she push tor infant daughter in a stroller

on Manhattan's Upper east Side. It happened on Lexington Avenue in street MYPD Commissioner Teaching Sewells as the suspect is described as a male dressed in a hoodie, sweatpants, and baseball cap, all in black. Our preliminary investigation revealed the twenty year old victim was pushing in approximately three month old in a baby stroller on East Street when an unknown person approached her and fired a single shot into

her head from a very close range. Along with Commissioners Sewuel, Mayor Eric Adams said during the news conference, more guns in our city means more lives lost. Thirty three hundred guns, we move off our streets that we're not allowed to hurt innocent people. We're going to continue to move forward, but we do need from Washington, from the state, from our criminal justice system. Mayor Adams says the three month

old baby was not hurt. It's a changing of the guard at the Supreme Court as it wraps up a shot term marked by the decision the Roe v. Wade after twenty eight years, just as Stephen Bryer will formally pass the torch to Katangi Brown Jackson. She will officially become the first black woman on the U. S. Supreme Court. The death toll from one of the deadliest human smuggling operations in US history climbed to fifty three, with about a dozen people injured. In San Antonio. The migrants were

found in a spiltering tractor trailer. San Antonio Police Chief William McManus says the tragedy is a true crime against humanity. I don't understand how anyone could be so callous as to allow that to happen and then run from the scene once they found out about. Chief McManus says four men have been charged. A big drug bust in the Bronx was announced yesterday. A multi agency strike team rated

an apartment in the Mount Hope neighborhood. Law enforcement confiscated about two fifty pounds of narcotics, including heroin, cocaine, inventinel and crystal meth worth about twenty four million dollars. Some fourth of July fireworks shows may not go off his plan. Several cities and towns have to reschedule because there is the shortage of workers and fireworks. Global News twenty four hours a day on air and on Bloomberg Quick Take powered by more than journalists, analysts more than a hundred

twenty countries. Michael Barr, this is Bloomberg. Nathan. Alright, Michael, thank you. Just about six thirty six on Wall Street. Time to get the Bloomberg Sports Update. Good morning, Scott Steinberg, Good morning, Nathan Jehan, Carlo Staton, and Aaron Judge bull homering as the Bombers finished off a sweep of the A's five three the Yankees twenty five and one. When Judge and standing Homer in the same game, including nine to know this season, it was Aaron Judge, you know,

we know what's ahead of us. You know, we know it's halfway through the year now and I'm still a long way to go. But you know, everyone's important. You know, I've just been so many years. We look back and you know, we're getting down to n September and it's like we're fighting Clawn. We're half a game out, half a game up, and I think you're starting to realize important. So hey, you know even these you know, we won the series, but this third game and it means a

lot down the road. Yankees will play one game in Houston tonight before heading to Cleveland for a weekend series. Luis Severino will get the start. The Mets meanwhile lost a pitchers duel to the Astros tune up in yesterday, Justin Berlander went eight shutout ennings, allowing just two hits, and Taiwan Walker matched him, going seven and the third shutout innings allowing just the four hits. Jason Castro's two on homer off of Drew Smith on the top of

the night was the difference. The Mets are off tonight they host the Rangers tomorrow night. At Wimbledon, Novak Djokovic cruised in straight sets. Three seed Casper Rude was upset by Ugo Umbert, and American John Isner defeated two time champion Andy Murray the second round exit, the earliest exit

for Murray at the All England Club. I'm Scott Segenberg with Bloomberg Sports Nathan all Right, Scott, thank you sixty seven on Wall Street Time down to take a look at stocks, some of the names moving in the pre market as we get ready for the final day of the first half. We are joined this morning by Bloomberg Radio and TV Markets correspondent Created Gupta create. I gotta

think investors just want to close the books. I mean, you look at the terminal this morning, what's in the green Only one stock, Nathan, And it's interesting here it's PepsiCo, PEPs your taker. It's up only two tents of one percent, So I wouldn't call it a massive move to the upside. But given the context that you are looking at, where you do have futures down over one percent and you have some of these other stocks um down well down

just period, and I think that's pretty significant. I will say, though, there are two stocks that are actually flat this morning, and it's Kellogg and it's Kroger. And if you actually look at the perhaps the thread between all three, it's that their food related companies. So it kind of seems like the new defensive trade we talked a lot about this has been oil, but it's also been food companies, food packaging companies, UM fertilizer, Beanie, So perhaps there is

that thread. But also keep in my Nathan, as you mentioned, people are closing their books. It's the last day of the quarter, it's the last day of the month as well, so there is going to be extremely low volume and it's going to be rebalancing flows. And the bonus on top here, the cherry on top of a really not so great Sunday, is that we are going into the July one weekend here in the States. So there isn't going to be a ton of conviction to hop into

positions when you have those dynamics at play. Yeah, but you gotta think with kind of loss this deep for the futures contracts, creaty, there's more going on here than just repositioning into the third quarter, isn't there? There might be, and you know there there is always the fundamental narrative.

I always like to go with the fund flows first, just to kind of explain it a little bit from that angle, But there is a narrative here that just how much room do we really have our very own Danny Burger pointed out that this is the worst start to the year going all the way back to nineteen sixty two. And if you and can go back to nineteen sixty two for those of who can, yes, who

were alive, I sadly was not. But if you go back in the history books and you look at it, nineteen six or two was such a crucial year because let me nerd out for a second eight and if I can you basically had this massive run up in what was their version of these big tech stocks called the nifty fifty. Was Xerox, it was IBM, it was Disney, these high flying stocks that were lifting the entire benchmark. And then it was followed by what they called then

called the Kennedy slide. So for nine straight months the market just collapsed. There was no real reason that even the head of the Stock exchange said, it's not a liquidity problem, it's not a plumbing problem. They're just kind of repricing from those monumental gains. And the one pivot point was in October nineteen sixty two, which, if someone remembers from their history books, was the Cuban missile crisis. So I wonder how much of this also has the

backdrop of those kind of Cold War esque feelings. And I also wonder how much of the war in Ukraine is weighing on the story. Yeah, history being made in two thanks for this creaty good having you on with a Spoonberg Radio TV Markets correspondent Creedy gooped ahead of the market open this final day of the first half. SMP Futures are down fifty six points, or one and a half percent. Dow futures down three seventy four, Nasdaq futures lower by two hundred ten points. That is a

drop of one point eight percent. This is Bloomberg Bloomberg eleven three oh weather Sunshina high close to ninety today, sunny, hot, humid Tomorrow will end the week with a high mid eighties. Some storms possible as we start the weekend right now, seventy in Central Park Markets, headlines and breaking news twenty four hours a day at Bloomberg dot Com, the Bloomberg Business at and at Bloomberg Quicktake. He's a Bloomberg Business Flash and I'm Karen Moscow. Futures are falling this morning.

We got to the first word breaking news dash for today's morning call. And here's Bill Malow the built Good morning, Dah, Good morning Karen. That's right. US features are under pressure right now at Doubt futures down at three hundred sixty seven points, says if he's dropped fifty five will Nasdaq futures are off by two hundred four He was ten year old at three point oh five percent. Gold is down six Oil is also in the red. And bitcoin

is lowered by five and a half percent. Japan dropped one and a half percent overnight, while europ and markets are also under pressure, led by two point four percent losses in France. Back in the US on the Economic funday thirty pc e n initial jobs claims and at Chicago pm I alf to devel us night. R H cut its revenue forecast shares and out seven percent in the pre market and regarding earnings this morning, look for Constellation Brands and Walgreens three port in the pre market.

In other news, Equinix raised to buy over at Jeffreys and wrapping things up. As the first half comes to a close, the sub five hundred is set for its biggest first half decline since nineteen seventy. Live from the First Breakingers desk Im Bill Maloney, Karen Great, Bill, thank you, and here live breaking news overre of Bloomberg type squawk on your terminal, s q U A w K and that's a Bloomberg business flash. Now here's Michael Barr with more.

I'm what's going on around the world, Michael, Karen, thank you very much. Today a Supreme Court Justice Stephen Bryer's last day and Katangi Brown Jackson's first. She will be sworn in as the first black woman to sit on the nation's High Court. Chinese leader Shi Jingping was welcomed by a crowd of people waving flags in Hong Kong. Today. She is there for the twenty anniversary of Britain's handover of the port city. Hong Kong has undergone two years

of stricter communist control by Beijing. In baseball, the Yankees beat the A's five three. The Mets lost along with the Nationals, Orioles and Giants. The Red Sox one Global News twenty four hours a day on air and on Bloomberg Quicktake, powered by more than twenty seven hundred journalist and analysts more than a hundred twenty countries. Michael Barr

and this is Bloomberg, Karen, Michael Barr, thank you. It is time now nine Wall Street and we turned to news and science and technology with the Bloomberg and j i T Stem Report. It is brought to you by New Jersey Institute of Technology. N j i T is dedicated to bolstering support for female and minorities students pursuing careers and high paying STEM industries learn more at n j I, T, DOT, E, d U and now here's

just making news. In science, Technology, engineering, and math, the US has agreed to pay vaccine partners Fizer and by On Tech three point two billion dollars in a deal for more than a hundred million of their messenger RNA shots against COVID nineteen. The deal is for doses for adults, children and infants and may include some shots that target the omicron variant. Deliveries are planned again as soon as

late summer and continue into the fourth quarter. The new head of the government's road safety agencies said it will intensify efforts to understand the risks posed by automated vehicle technology so we can decide what regulations may be necessary to protect drivers, passengers, and pedestrians. Stephen Cliff, who was confirmed last month as head of the Nation and All Highway Traffic Safety Administration. So the agency is assessing crash

data recently reported by automakers and tech companies. And bitcoin is on track for its worst quarter in more than a decade, has more hawkish central banks and a string of high profile crypto blow ups. Hammer sentiment pent draw down is the biggest cryptocurrency or in the biggest cryptocurrency is the largest since the third quarter of twenty eleven, when bitcoin was still in its infancy. And that's a Bloomberg and j Anti Stem report. Nathan, all right, Karen,

thank you. We're live from the Bloomberg Interactive Broker Studios where it's six fifty on Wall Street. Time now to check what's going on in d C. Some of the top stories in our nation's capital include the January six Committee issuing another subpoena, this time to former White House Council Pat Saboloni, President Biden seeking to boost abortion patient privacy after row. And the history making day at the Supreme Court as Kaitanji Brown Jackson takes her oath to

succeed retiring Justice Stephen Bryan on the Supreme Court. And we've just gotten late breaking news out of Washington. The longest serving Senator, Vermont Democrat Patrick Lahey, broke his hip in a fall last night and he's going to have to have surgery. Like he is the longest serving sitting senator. He announced last year that he will not seek reelection

this fall. Let's get more on some of these stories now. Bloomberg, Government, Congressional reporter Jack Fitzpatrick is with us this morning, and Jack, I want to start off with the latest from the January six committee, because it really does seem like the investigation and the hearings are ramping up in a new and significant way after the testimony we got this week

from a former White House aid Cassidy Hutchinson. Yes, we the latest from the committee that they are subpoena in Pat Saboloni, the former White House Council under then President Trump. He's come up a number of times in these hearings. If you've followed this, you've learned who he is. And Uh, he's become a bit of a central figure because of his warnings that the voter fraud claims did not have legal merit. He came up warning that Trump should not

go to the capital on January six. So they are seeking an interview with him on the record, Uh, not testimony during a hearing, but one of the video interviews. On July six. He had spoken to them informally, but

has refused to cooperate beyond that. Uh. And now that just the number of times his name has come up and he has been a figure is establishing the lack of legal merit for Trump's position throughout all of this has caused the Committee to try to get him to do one of the video interviews that you've you've seen.

They use clips of those two to make their case, so they are subpoenaing him, and clearly that could provide even more evidence to that argument that the Committee is trying to make that Trump's own lawyers were telling him that what he was doing did not have legal merit.

One interesting item from Cassidy Hutchinson's testimony this week about pat Sippoloni was she says that she heard Sippoloni say that they could be charged with every crime imaginable based on the President wanting to go with the rally goers to the capital. Is this where this hearing, where this investigation is going, Jack, the idea that we could see criminal referrals coming out from the Committee to the Justice Department,

that's really a logical conclusion. Um. It would probably seem to be a bit more significantly focused on the broader issue of Trump going forward with these voter fraud claims and telling a number of people to gather on January six, knowing it could be dangerous, uh and and knowing and being told by his own lawyers that the voter fraud

claims did not have legal merits. But yet the the Hutchinson UH, the testimony the other day adds a new wrinkle at at the almost an appendix to that UH with the issue of Trump trying to go to the capitol himself. That has been disputed, and we'll see if there actually is testimony from Secret Service agents who say that he did not try to grab the wheel or

or pushback on some of the details. That's an issue that's come out from Tony Ornado, although they haven't they haven't spoken to the committee yet on the record, so we'll have to see where that goes. But yet that's the the idea of criminal referral seems to be the focus because the committee is very focused on making the case that the President and others knew that what they were doing was illegal and that their arguments were not

rational illegal arguments. Let's turn into some of the developments around abortion rights. After the Supreme Court's decision to overturn Row, we've gotten some new guidance from the Widen administration. What's the new move here, Yeah, the latest move is that HHS issued guidance telling healthcare providers they are not required and may actually legally not be allowed to disclose information related to abortion or other reproductive healthcare. The focus would

be medical records and data from period tracking apps. The concern there among activists is that that kind of information could be subpoenaed by state prosecutors. As everybody tries to figure out the legal issues around whether you can leave states, if state level officials could try to stop you from leaving states to get an abortion. Uh So, the the issue of privacy is something that the White House and the Biden administration broadly is trying to take some steps

on there. And in our last minute here jack we're going to see more history at the Supreme Court right around noon today when the term officially ends. Yes, Katangi Brown Jackson is going to be sworn in as a Supreme Court justice today. Obviously significant not only that she would be the first black woman on the Court, but at a very significant time following the recent ruling on abortion rights. Uh Now, oral arguments don't start until October, so we may not hear from her in a high

profile way other than her being sworn in. There could be emergency petitions, but at least in the context of a historic event that is today at noon and when she will be sworn in. All right, Jack Fitzpatrick, our congressional reporter at Bloomberg Government, thanks for the update from Washington, and you can read more about all these stories on

Bloomberg dot com or on the Bloomberg terminal. And a reminder, you can follow all the latest on Bloomberg Radio in Washington, Bloomberg and one oh five point seven FM h D two. As we get ready for Mark could open. That does pointing to more losses, at least the way the futures contracts are going this morning, we see SMP futures down down fifty points, a drop of one of the third

percent down. Futures are down one point one percent, now down three thirty five points, and NASDAC futures lower by a hundred eighty eight points, that is a drop of one point six percent. The tenure treasury is up nine thirty seconds, the yield three point zero five percent. Yield on the two year right now two point nine eight percent. NIMEX crude is moving lower, down a half percent, down fifty seven cents at a hundred nine dollars eighteen cents

of barrel bitcoin right around nineteen thousand dollars. Bloomberg surveillance is next. Tom Keen, Jonathan Farrow, and Lisa Brahmbo would take you the rest of the way for Karen Moscow. I'm Nathan Hagar. This is Bloomberg.