Bloomberg Daybreak: March 1, 2022 - Hour 1 (Radio)

been too slow in designating hate crimes. Plus Hong Kong scope of nineteen jomody rate is now one of the highest in the world. I'm like the Bloomer more ahead. I'm John stas Shower sports blowout loss for the NAT's, easy win for the Devil's in a marathon bargaining session

to try and end the baseball lockout. That's all straight ahead on Bloomberg day Break on Bloomberg Elementoryo, New York, Bloomberg nine one, Washington, d C. Bloomberg one oh six one, Boston, Bloomberg nine six, San Francisco, Syrius x M one nineteen and around the world long Bloomberg Radio dot Com and via The Bloomberg Business. Good Morning, I'm Nathan Hagar and I'm Karen Moscow and global stocks are retreating this morning.

We are coming up to five oh one on Wall Street, and we checked the markets every fifteen minutes throughout the trading day on Bloomberg. Right now, SMP futures are down twenty five points down, futures down one hundred sixty two, and nasday futures down one hundred sixteen. Ten year treasury up six thirty seconds. He had one point eight zero percent. They yield on the two year one point four zero percent. Nathan, Well, Karen, We'll have more on the markets in a minute, but

we begin this morning. In Ukraine. Russia has escalated shelling overnight in key cities as a large Russian convoy moves slowly toward the capital of Kiev. Amy Morris has the latest from our Bloomberg newsroom. In Washington, senators held a closed door briefing on the Russian invasion of Ukraine last night, where Ukraine's ambassador sent our country needs more military weapons. Republicans Senator Mit Romney says the US can provide some help.

We continue to have the capacity to get armament and and nourishment. Two fighters in Ukraine. That's done not by US directly. Democratic Senator Chris Coon says they're racing now for our humanitarian crisis. Suspect Russia will try and starve the population of Keith. We have to be prepared to provide significant humanitarian relief. New satellite images today show a forty mile long Russian military convoy just north of Kiev.

In Washington, I maybe Morris Bloomberg Daybreak, right, Amy, thank you. As Russia steps up attacks on Ukraine, the fighting could turn even more brutal. That's the concern we're hearing from retired Lieutenant General Ben Hodges, the former commander of US Army Europe. It was two days ago the whole world solve dismissal that slammed into an apartment building, and that

sort of thing is going to increase. UM. I think he will do whatever it takes to number one to decapitate the government uh and number two to avoid the humiliation of his forces being defeated and not able to take Retired Army Lieutenant General Van Honjas spoke with our Washington corresponded Joe matthew on Bloomberg Sound on Catch the

program weekdays at five pm Eastern on Bloomberg Radio. The list of companies abandoning Russia is growing quickly, Karen and the mass exodus is reversing three decades of investment by Western business. Bloomberg. Rinita Young joins US Live with the details. Good morning, Granita, Good morning Nathan. Russia's largest foreign investor, BP led the way with its surprising announcement on Sunday that it would exit its state and state controlled Rosneft.

That move could result in a twenty five billion dollar right off and cut its global oil and gas production by a third. Shell followed yesterday saying it's ending partnerships with state controlled Gas prom citing Russia's quote senseless act of military aggression. And Equinoor, which is Norway's biggest energy company and majority owned by the state, also announced it will start withdrawing from its joint ventures in Russia worth about one point two billion dollars. Live in New York.

I'm rena need a Young Bloomberg daybreak. All right, we need to thank you. A couple of Wall Street Titans are speaking out about the Russia invasion. JP Morgan, CEO Jamie Diamond warrants that disconnecting Russian banks from the swift and messaging system may bring unintended consequences. Sanction says I cannot do busit you. A swift thing says I can't use a communication to do busy with you. I can

still do busy with you. And there are a lot of workadouns in the swift, So they're different tools we're used for different reasons. JP Morgan, CEO Jamie Diamond made the comments at an interview with Bloomberg's at Hammond. Stay tuned for more of that conversation coming up later this hour. We also caught up with Citadel founder Ken Griffin. The billionaire says, this is a very critical time in geo politics.

I think we're at a very, very very volved conflection point that will come down to whether or not the Russians will be satisfied by simply extending their affective borders in the Ukraine, Will they take Kiev, will a position themselves to reach beyond the borders of the Ukraine. The last is terrifying the markets. Citadel founder Ken Griffin made those comments in an upcoming interview on Bloomberg Wealth with

David Rubinstein, the show They've used. March twenty two at nine pm Eastern on Bloomberg Television, Well Nathan, Market volatility remains high as world power step into isolate commodity rich Russia. Let's get the latest on the action live with Bloomberg's John Tucker, John Go Mordan Carra. The risk of markets includes disruptions to supplies of raw materials, which threatened stoke high inflation and hamper growth. We saw a buyer this morning warned that the Ukraine invasion poses a risk to

its outlook. Most pressures may also impact monetary policy. Brett McGonagall as chairman of Capital Link. At the end of the day, what I think is going to happen is this gives some sort of a pause to an overly hawkish sed Deutsche Bank strapper. Just say stocks typically decline about six to eight percent after a geopolitical event before

were retracing those losses in about three weeks. Aside from equities, oil pushing hires investors try to figure out whether a possible release of strategic reserves will have much of an impact and checking prices Right now, Brent crude is up four dollars four cents at one oh two twenty one Live in New York on John Tucker Bloomberg Daybreak. Thanks John. The invasion of Ukraine will take the spotlight tonight and

President Biden State of the Union address. Originally he planned to highlight the improving coronavirus out look and rebrand his domestic policy priorities. The timing of tonight's speech creates a large opportunity for the president. That's according to Barbara Perry, director of Presidential Studies at the Miller Center of Public Affairs, if he sees as this moment, gives a good, solid speech, acknowledges people's pain, points out what he's done well, where

his victories have been. And I think on the Ukrainian business, this could be his ish benign berlin Er moment of John Kennedy is standing at the Berlin Wall in nineteen three. I don't know how to say it in Russian, but ish benign Ukrainian. Barbara Perry was a guest on Bloomberg's Balance of Power. You can catch a special edition of the program tonight with live coverage of the State of the Union starting at a thirty pm Eastern on Bloomberg

Radio and television. Futures lower ahead of the open this morning straight ahead your latest local headlines in the check of sports. This is Bloomberg five oh seven on Wall Street, thirty two degrees in Central Park. Still some lingering roadwork on all three Hudson River crossings. Janelle Crispins got the details on that for you shortly. First, Michael bar is here to tell us what else is going on in New York and around the world. Good morning, Michael, Good

morning Nathan. New York City Mayor Eric Adams said he hopes replacing the nypds Hate Crime Unit head will add a sense of urgency to the issue. I thought we were too slow and designating um investigating something as a particularly hate crime. Mayor Adams says that he wanted a new face and a new vision investigating hate crimes. Earlier this month, the NYPD reassigned in back there, Jessica Correy,

head of the Hate Crime Task Force. The decision followed a number of high profile incidents targeting members of the Asian Americans and Pacific Islanders communities, as well as an overall increase in hate crimes across the city. Meanwhile, they or Adams also talked about the city hoping to lift more COVID mandates and businesses and schools. We are trending

in the right direction. And every morning when I wake up and speak with my doctors of as I stated from the beginning, we want to follow the science, and they they have followed the science. We want to get to. We're at the right level we want to be. We just don't want to move too quickly. Now their children are coming back. Mayor Adams talked with Bloomberge Joe Matthew on balance of power. Hong Kong's COVID nineteen fatality rate

is now one of the highest in the world. There has been a wave of deaths among its under vaccinated elderly population. The city reported one hundred seventeen new COVID deaths today. The Senate last night took up the show of a woman's right to an abortion. The vote to open debate on the Women's Health Protection Act failed. Republicans widely opposed the bill and filibustered it, stopping the measure

from proceeding in the legislative process. Still, Democrats went ahead with a vote to put Republicans on record opposing the measure. Senate majority leader Chuck Schumer of New York says he supports the bill. We must fight to stop these insidious efforts to curtail a woman's right to access safe, legal abortion, and we must assert the federal government's role to protect

this constitutional right. The bill is meant to federally safeguard abortion rights, which faces an uncertain future in the U. S. Supreme Court. 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 hundred twenty countries.

Michael Barren, this is Bloomberg, Nathan, Thanks Michael, five or nine on All Street time for the Bloomberg Sports I Take Morning, John stenshow here, Morning, Nathan Long night for the Nets in Brooklyn, Toronto. Scored forty two points in the first quarter in the route was on. Raptors won one thirty three nineties seven rookie Scottie Barnes scored twenty eight points, made his first eleven shots, and that's still

without Kevin. Randy is expected back soon. They were without Kyrie or every n who hasn't played a home game all season, and their coach, Steve Nash, who was at the arena, even did a pregame presser then had to leave for help and safety protocol. Nets have now lost fourteen of seventeen. Irving did lead them to a victory last weekend in Milwaukee and then spoke about being allowed

to play home games despite being unvaccinated. You know, just remain impatient and just seeing where things end up in this next week or so were the next two weeks, I'm not too sure, but I know as much Pop and uh I just I want to say this is that are very appreciative of all those that are pushing behind the scene to make our world a better play. New York City is going to start allowing unvaccinated fans into there, you know, but it's not known if that'll

mean Irving will be allowed to play. Devil's a seven to two rout of Vancouver for to reach five eighty five seventy three over you match. Still no labor deal, then the baseball lockout, but at least they are trying. The two sides met until two am. They'll be back at eleven this morning. They pushed back the deadline. It was to be last night. Have no deal, then opening

day would be postponed. That deadline is now five o'clock today. Earlier, the big baseball story was Derek Jeter's resignation as CEO of the Miami Marlins an apparent disagreement with his boss over the direction of the franchise. Jeter had a four percent ownership steak, which you will now sell up. John stash Award Bloomberg Sports Okay, John, thank you. SMP futures down down thirty one points down, futures down two eight NASTAC futures down a hundred thirty five points. That's a

drop of nearly one percent. The tenure treasury up seven thirty seconds down, the yield one point eight zero percent, yield on the two year one point four zero percent. And i'm x screwed up three point one percent of three dollars one cent at ninety eight dollars seventy five

cents a herald. Stay with us. You're listening to Bloomberg Daybreak Bloomberg eleven three oh weather, increasing clouds and be high in the mid forties Today, will be near fifty tomorrow with clearing skies and mostly sunny Thursday, but chillier with a high land near forty. Right now thirty two and partly cloudy in Central Park, Markets, headlines and breaking news twenty four hours a day at Bloomberg dot Com, the Bloomberg Business Outland. At Bloomberg Quick Tape, He's a

Bloomberg business clash, but I'm Karin. Moscow socks and Europe are lower along with US dot Index. Futures bonds are gaining as the conflict in Ukraine intensifies amid mounting penalties against Russia. Utilities and travel stars are leading a decline

in the stocks. You're up six hundred as traders assess the effect of sanctions, who check the markets every fifteen minutes throughout the trading day on Bloomberg Right Now Futures, SMP futures down about twenty eight, fool Now futures down one hundred eighty, and nasday futures down one hundred sixteen. The decks in Germany is down to and a third percent ten year treasury of eight thirty seconds, he had one point seven nine percent. They yield on the two

year one point three nine percent. Nine x Screwed oil is up three point two percent of three dollars six cents and ninety eight dollars seventy nine cents of barrel comes called up one percent or nineteen dollars at nineteen nineteen sixty announced the euro one point one one seven six against the dollar, British found one point three four oh three, and again as it won fourteen point eight three bitcoin this morning, moving higher at more than three

and a half percent at forty three thousand, one hundred eighty dollars. That's a Bloomberg business flash. Now here's Michael Barr with more. Let's going on around the world, uncal Good morning, Good morning Karen. A forty mile convoy of Russian tanks and other vehicles is threatening Ukraine's capital, Kiev as an intense shelling attack targeted the country's second largest city. Meanwhile, both sides look to resume talks in the coming days

aimed at stopping the fighting. Major League Baseball as extended it's deadline for reaching a labor deal to today at five pm for salvaging opening days scheduled on March thirty one. Locked out players and team owners engaged in a series of intense negotiations that began yesterday and stretched into early this morning. In the NBA, the Nets lost. In the NHL,

the Devil's and Bruins won. The capitols lost Global Neames twenty four hours a day on air and on Bloomberg Quicktake, powered by more than twenty seven under journalists and analysts more than twenty countries. Michael bar this is Bloomberg Natan. Thanks Michael. It's five nineteen on Wall Street Live from

the Bloomberg Interacted Broker Studios. This is Bloomberg Daybreak, and our executive editor for International Relations, Rosalind Matheson is with us this morning as we continue following the latest developments out of the war in Ukraine. Ro's, good morning. We've seen the dramatic images of the government headquarters in the second largest city, car Cave, being bombarded, and now this word of a forty mile convoy headed toward the capital Kiev.

What's the latest, Well, that's right. What we're seeing is the fighting escalating on the ground, but also shifting perhaps to a new stage from the Russians after six days of fighting and possibly quite a sense of frustration at progress, certainly not anticipating the level of the resistance that they would encounter from the Ukrainian forces who've been fighting with determination around the country, even though they are caused out

class militarily by the Russian military. So what we're seeing is an escalation also in an aerial bombardment. Key cities like Khakiev coming under extensive bombing overnight again and also cities further to the southeast also suffering as well, and that perhaps reflects a sense of the Russians of wanting to escalate to try and get some progress here. And you can do that perhaps more effectively just by picking up that bombardment campaign instead of waiting for troops on

the ground to move forward. Suddenly that large convoy is head towards Kiev, but it's making very slow progress on tricky roads, difficult to rain. Those roads are very narrow, they're also full of potholes, so just the movement is quite difficult and so being slowed down by that alone. So you can see there's definitely a shift in tactics

on the ground as a result. Now you wonder whether the shift in tactics as as a result of the resistance that we're seeing from Ukrainian forces or the impact that the Russian economy is starting to feel now with these sanctions taking hold and near universal, it seems business reaction basically cutting off ties to Russia. It could be

a combination of those things. What's the assessment. Well, certainly, as his economy gets squeezed and that filters down to Russian consumers as well as to the upper echelons of power in Russia, you can imagine that the Russian presently keen to mitigate that and to minimize it as quickly as possible. So that might be a factor in his thinking.

But also the cost of the invasion themselves considerable. He had massed up to two hundred thousand troops and a lot of equipment on the border over a period of months, sustaining that force ahead of invasion on the border, doing some very big drills in places like bi Larus, and now the actual war itself, and so the financial cost to him from that are also rising. They're probably dwarfed by the economic penalties he's facing, but certainly a factor

in his thinking, no doubt. Now pretty startling headline we saw from the Minister of Defense of Russia, Sergei Shoigu, saying that Russia will pursue the Ukraine offensive until all goals are achieved. It sounds as though they've at least feel undeterred or as you mentioned, the shift in tactics there, But what's the implication if we hear from the Russian Defense minister that this bombardment, this escalation of fighting in

Ukraine could continue. Well, the fear is also not just what happens inside Ukraine with that, but also there is that as time goes on and those campaigns continue, do you start to see thing seep outside the Ukrainian border. Of course, there was concern yesterday from Poland that Russia might move very close to the border in Ukraine between Ukraine and Poland and try and block that border off

and the exodus of people. So you're bringing Russian troops and equipment and planes potentially into ever closer proximity to those of NATO countries, and that could risk some kind of incident, misunderstanding or whatever. That essentially then sees NATO troops in direct conflict with Russia. Of course, the Russian present has also put his nuclear arsenal on higher alert,

and that's raising a lot of concern across Europe. So the risk is not just that the conflict escalates for the people of Ukraine and unfortunate consequences of that for civilians. Of course, in city areas, but that this could blow into a broader conflict even that's not currently intended. But only have about thirty seconds left here rise where we've seen the pretty extraordinary support that Ukraine has been receiving,

Germany stepping up its defense spending as well. Is there more that can be sent sent in that the Ukraine could expect in terms of support from the US and allies. Well, there were some reports Ukraine said this morning that they would that countries in Eastern Europe had degree to send

them a bunch of fighter jets. Of course Slovakia Bulgaria amongst the countries that have now denied that because setting sending in fighter jets that have actually originally been made in Russia would have put more aircraft in the in the in the air space there and risk further conflict and catastrophe. So beyond that, they're simply sending in mostly on the ground ums and other weaponry. Thanks for the time, as always, Rosalind Mathieson, our executive editor for International Relations

at Bloomberg News. As we continue monitoring developments in the war in Ukraine and the market reaction. Right now, futures are falling ahead of the open on Wall Street, with SMP futures now down twenty eight points down, futures down a hundred eighty seven, and NAZDAC futures lower by a hundred fourteen points. Just ahead, the Pentagon looks for de escalation plans from Russia and the war whip saws markets. Top stories of the morning. Just ahead on Bloomberg day Break,

Bloomberg eleven three oh weather clouds will increase today. Highs in the mid forties, will be in your fifty tomorrow under clearing sky's chintz of a little bit of rain tomorrow night, but it will turn mostly sunny Thursday, with the hein your forty Right now thirty two in Central Park, broadcasting y from the Bloomberg Interactive Broker Studio in New York, Bloomberg E Living Freedom to Washington, d C, Bloomberg nine one to Boston, Bloomberg What all the six one does?

San Francisco, Bloomberg nine six to the Country, Sirius XM chad A one ninet and around the globe the Bloomberg Business and Bloomberg Radio dot Com. This is Bloomberg Daybreak, and it's five thirty on Wall Street. Good morning, I'm Karen Moscow and I'm Nathan Hager Bloomberg Daybreak. Bront you by SEI visionary asset managers find opportunity where others are challenged. Exploits to drop in potential with SCI's global operating platform.

Find out how at se i C dot com slash I M S. And we're about four hours away from the open of US trading. Let's get you up to date on the news you need to know. At this hour, Moscow has stepped up shelling in Ukraine and Russian troops are on the move. Satellite images show a forty mile long military convoy just north of Kiev. At the same time, the Pentagon is mulling a plan to deal with Russia

if it eventually decides to de escalate, Bloomberg said. Baxter has the story a plan being called a deconfliction mechanism, and spokesman John Kirby says this could happen as Vladimir Putin has met more resistance than he expected. You gotta hand it to the Ukrainians who have been fighting very hard for their country and making an impact and making a dent. Having said that, Kirby says Putin still has more troops available. He hasn't moved all of it into Ukraine,

but he's moved the majority of it. He still has a lot in San Francisco. I'm at Baxter Bloomberg Daybreak. Thank you, Ed. And as the conflict deepens, the list of companies abandoning Moscow is growing. Bloomberg's would need a Young joins us Live with the details. Good morning, Ranita, Good morning Nathan. Russia's largest foreign investor, BP led the way with its surprising announcement on Sunday that it would

exit at stake and state controlled Rosneft. Shell followed yesterday saying it's ending partnerships with state controlled gas Prom and Equanoor, which is Norway's biggest energy company, also announced it will start withdrawing from its joint ventures in Russia worth about one point two billion dollars. Live in New York, I'm Ranita Young, Bloomberg Daybreak, Ranita, thank you. The markets having whipsaw by the war, along with steps to Isola commodity

rich Russia. And let me get the latest on that, Live with the Bloomberg's John Tucker, John Karen. The SMP five had a trimmed to drop yesterday that reached one point six percent, while still launching its second month of declines. The tech heavy NASDAK finished higher yesterday, but it's still down focent from its November record. JP Morgan Chase strategists say the war in Ukraine is dim prospects for aggressive FED rate hikes and that should bolster American stocks, even

as Mark could endure this bout of volatility. Live in New York on John Tucker Bloomberg Daybreak and John, the conflict in Ukraine has energy prices pushing higher, despite whispers of a possible release of strategic oil reserves by the

US and its allies. Checking prices now, nimex screws up three point one percent at ninety eight dollar sixty six cents of barrel Brent up three point six percent a hundred one dollar forty four cents, and the Russian invasion will be a main topic tonight at President Biden State of the Union address. Nathan to an in for live cover to the speech beginning at eight thirty pm Eastern on Bloomberg Radio and Television. Your top local stories straight ahead.

This is Bloomberg, all right. Thanks. Three on Wall Street thirty two degrees in Central Park on a disabled vehicle westbound on the Brockner but the Bronxterver Parkway. Details on that coming up in Traffic First. Michael Bars here with more on what's going on in New York and around the world. Michael Nathan, thank you very much. New York City Mayor Eric Adams said the city's police permit has been too slow and designating and investigating incidents as a

heat crime. During his news briefing, Adam says that he hopes replacing the NYPDS Hate Crime Unit head will add a sense of urgency to the issue. I'm not going to govern the city based on stats. We're going to be clear. If there's a crime, we're going to we put that crime. Mayor Eric Adams also says that he can't make a vaccine exception for the Brooklyn Nets basketball star Kyrie Irving, who is prevented from playing in home games at the Barclays Center because he's not vaccinated. Adams

spoke to Bloomberg's Joe Matthew on balance of power there. Adams, will you revoke the private employer mandate so Kyrie Irving can play at the Barclays Center. That's the question. We hear all all the time. Listen the mandates got us here. We can instantly get Kyrie to play. Just get that sutting off. Mayor Adams also says he plans to announce

lifting the city's public sector vaccine mandates next week. Hong Kong residents empty story shelves and a scramble to prepare for reported lockdown of the city later this month and meant a snowball. In COVID outbreak, Hong Kong's COVID nineteen fatality rate is now the highest in the developed world. California authorities say a man shot and killed his three daughters, their chaperone, and himself during a supervised visit with the

girls at a church in Sacramento. Sacramento County Sheriff spokesman Sergeant Rod Grassman says the shooter was a strange from the children's mother. This is um as far as I can see at this point, a domestic violence related sort of incident. Sergeant Grassman says the victims included three girls,

ages nine, ten, and thirteen. Senator Joe Manchins has he wanted the administration to encourage more domestic energy production the West Virginia Democrats says he was planning weeks of hearings on energy independence, both for the US and to support NATO allies. Global News twenty four hours a day on air and on Bloomberg quick Take, powered by more in that twenty seven hundred journalists and analysts more than a hundred,

twenty countries. I'm Michael Barne, there is Bloomberg. Thank you, Michael. On Wall Street. Time for the Bloomberg Sports Update. Here's Johnston, Thank Nathan. Baseball's opening days scheduled for March thirty one. Will it happen? Where? He still don't know. MLB had said a deadline for last night they have no labor deal, then the lockout and the season would be shortened. They have now extended that deadline to five o'clock today. The two sides were at the bargaining table until two am

and will return at eleven this morning. Commissioner Rob Manfred emerged it around six last night, said we are working at it. MLB put out a statement that read we want to exhaust every possibility to get a deal done. Meanwhile, Derek Jeter is no longer running the Miami Marlins. He resigned after four years as CEO. He will now divest his four percent ownership. Jeter clearly differed with principal owner Bruce Sherman on the direction of the team. The Yankees

have named Hensley Mullins assistant hitting coach. Former Yankee player, Mullins was actually a finalist to be Yankee manager when they hired Aaron boom nets Off. The upset win in Milwaukee began at home at home with the Raptors. It was all Toronto in Brooklyn one thirty three to nineties

seven eight two teams again tonight in Toronto. Fifty two points last night for John Morant in a win for Memphis the Devil's with seven different goal scorers on a seven or two rout of Vancouver four and beat U mass eight five seventy three two oh ms twenty three points, eleven rebounds with the Rams, North Carolina beat Syracuse in overtime. N y C f C, the offending MLS champions, have signed a new player, New York City native named Maximo Carrizo.

He signed what they call a homegrown contract on his fourteenth birthday. He's been playing the team's youth academy since he was none. John Stash Allard Bloomberg Sports Naked. Thanks John thirty seven on Wall Street Time for the tri State Business Report with Bloomberg's head Cory. Luxury fashion brand Ermez International is moving its US headquarters to a building

on Manhattan's Madison Avenue that's being redeveloped. The Paris base designer is taking more than seventy one thousand square feet of offices at five fifty Madison Avenue, the less for all of the space and the towers twenty three through floors. City groups decided to change course on holding Wednesday's Investor Day meeting in person. The decision comes after two members

of senior management tested positive for COVID nineteen. They say a virtual format is the right decision given the current circumstances. They owned. New Jersey based Royal Wine will donate one of its proceeds through March tenth from two of its vodka brands to the aid organization Emergency Ukraine. Also Monday, Total Wine and More of Maryland chained with many New Jersey stores said at yanked Russian products from its shelves.

That your Bloomberg tried State Business Report. I'm ed Corey. Thanks, said 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 Podascan on ten ten Wins in New York. We're talking about a lawsuit in luxury retail as Cartier's sues Tiffany claiming a theft of trade secrets. I'm Gina Servettian for w b D. I'm in Chicago.

I'm reporting that politicians from New York to Illinois to California are calling for public pensions to dump investments tied to Russia. Um Corney Donahoe on ktr H in Houston. United Airlines is continuing to fly through Russian airspace as rivals divert flights. My klint head called pombeg dab digital media a little Portico. Bois Johnson meeting key Eastern European allies as the opposition calls for more to be done to help Ukrainian refugees. Him Ed Corey on w w

J in Detroit. I'm reporting the Energy Department is recognizing Ford for joining its Better Climate Channel, And those are some of the stories our hundred Bloomberg journalists and analysts are working on this morning around the world. It's five thirty nine on Wall Street. The following is an editorial from Bloomberg Opinion. This sedatorial was written by the Bloomberg

Editorial Board board. In response to Russia's invasion of Ukraine, Western leaders have agreed to exclude some of the country's largest banks from Swift, the messaging service that facilitates most money transfers globally. The move will deal Russia a brutal blow, but it could also have long term consequences for international finance. As with any network, the value of Swift depends on the number of banks that use it. Only Iran has

ever been cut off entirely. The example of Russia could prompt others, such as China to turn to alternatives, fragmenting the global payment system and potentially undermining the US dollars dominance. That's why Western leaders and particularly the US, should be wary of ejecting Russia from Swift completely. Their desire for bold action is understandable, but they should take care not to do something they'll later regret. This editorial was written

by the Bloomberg Editorial Board. For more Bloomberg opinion, please go to Bloomberg dot com, Slash Opinion or op I n go on the Bloomberg Terminal. This has been Bloomberg Opinion. Listen for Bloomberg opinion editorials every weekdy at this time terminal customers can read more at ope I n Go Bloomberg eleventh three oh weather. Clouds will increase today with highs in the mid forties, clearing and mild er tomorrow in your fifty degrees mostly sunny, but highs only near

forty by Thursday. Right now mostly cloudy thirty three 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 Quicktape. This is a Bloomberg Business Flash and I'm kerin Moscow. A fresh wave of volatility hitting global markets as the conflict in Ukraine intensifies amid mounting penalties against Russia. Stocks in Europe are falling along with US stock index futures, while bonds gain and oil

pushes sharply higher. We checked the markets every fifteen minutes throughout the trading day on Bloomberg U S and P Future is down thirty points this morning. Down Future is down two hundred ten nasdack Futures down one dred ten. The docks in Germany is down two and a quarter percent ten. Your Treasury up nineteen thirty seconds yield one point seven five percent. They yield on the two year

one point three three percent. NIMEX screwed oil is up three and a quarter percent, up three dollars ten cents at ninety eight dollars eighty two cents of barrel COMEXS Gold is at one point three percent of twenty four dollars seventy cents at nineteen twenty an ounced, the euro one point one one seven nine against the dollar, British found one point three three nine nine, began as at one fourteen point eight seven, and Bitcoin this morning moving

higher at more than four percent at forty three thousand, four hundred twenty dollars. Today, we are watching for reports on constructions, spending and manufacturing at at ten o'clock Wall Street time, and Target is among companies schedule to report earnings today. That's a Bloomberg business flash. Now here's Michael Barr with more I'm less going on around the world.

Michael Darren, thank you very much. Ukraine President Voladimir z Lensky says Russian missiles into the country's second largest city, Kharkiv is open uncovered. Terrorism Interfacts News out of Ukraine report Zelinski declared Russia a terrorist state. President Biden delivers his first State of the Union speech tonight, the President dealing with low approval ratings an installed legislative agenda on top of the Russia invasion. Bloomberg will carry Tonight's address

starting at eight thirty pm Eastern Time. In the NBA, the Nets lost. In the NHL, the Devils and Bruins won, the Capitols lost. Global News twenty four hours a day on here and on Bloomberg Quick Tank, powered by more than twenty seven hundred journalist analyst in more than a hundred twenty countries. Michael Barr and this is Bloomberg, Nathan, Thank you, Michael. It's fine forty nine on Wall Street Live from the Bloomberg Interactive Broker Studios. This is Bloomberg Daybreak,

and we remain fixed on the war in Ukraine. This morning is Russia steps up showing penalties from world leaders and big business are starting to hit Moscow now and over the weekend, Western nations agreed to exclude some of Russia's banks from the Swift messaging system that's used for trillions of dollars of transactions around the world. But that move could have unintended consequences. That's according to JP Morgan

Chase CEO Jamie Diamond. He sat down to discuss the move with Bloomberg's at Hammond in an exclusive interview from JP Morgan's Global High Yield and Leveraged Finance Conference in Miami. Let's listen in now to that conversation with Jamie Diamond and just told to me quickly about Swift and what that means for the global banking industry. If indeed these sanctions doesn't have been proposed to follow the little misinformation today, the government's going to decide, how do you sanction, how

do you swift? How don't want to bore your users? A saint? He says, they cannot do busit your a swift thing says, I can't use a communication to do busy you. I can still do busy with you. And there are a lot of workerounds in the swift. So they're different tools. We're used for different reasons. And you know, the banks are talking to the government. So everyone who stands the issues, not because they're for against any particular thing, war don't doesn't always follow the path you want for

the answer, sanctions always follow the path you want. So then people should be very thoughtful how they go about these things. And the question of workarounds the swift is a very important one because that seems to be a concern that if an alternative system is established and begins to attraction, that can present real risks to this sort

of financial stability of the West. Well, I remember, they could just stop us from doing it by telling us a sanction is very targeted, very specific, very clean, and depending how you apply, you can apply that in moltile ways that you can't get around. There's no work around in that kind of sanctions, nor should there be. You know, I'm an American patriot and we're gonna do with the American government telliss to do. And uh so I think people were I think they're more us with about the

unintended consequences. What countries do you hurt? And what people are going to do work around how you fix that in case you shouldn't remember, the government itself wants to have an open conduit, looks like for energy payments. So there are a whole bunch of issues they got to work through. Before any of they started, there was obviously a lot of questions around the Fed and what they were going to be doing this year to try and

get inflation on the control. You've been public in some comments about when you think they've got it right, where you think they've got it wrong. Taking in everything that's going on at the moment, you think what they've telegraphed it's gonna be enough to get the economy under control. It's really good to step back two years ago because we were here two years ago and then reachly after that we had months after we had a fifteens unemployment,

no vaccine. So I really applaud what the government did to get things back, and it's very easy to second guess and do all that. I hate doing it. I'm about to do it. They probably too much fiscal stimulus and quietated easing, but you're still a very short economy, and you know, I think the Feds are gonna try to meet that story economy of strength I raising race and you know, reversing que not to eliminate, to slow it down, so reduce inflation and all that, and you

know I wish him the best. How many rate races do you think you should see this hearing? I mean, look, people are relying on seven or nine. It could be seven nine, it could be more, could be us. And obviously when people say that feds are gonna be data dependent, of course, can you imagine the fetch saying We're not gonna be data dependent at all. So you know they should be data dependent. The stronger this is, they're more they can raise it and they'll keep all the issues

in mind and hopefully you can upset it. And I do think I don't think all of the inflations temporary, but I do think part of it because the compling, we'll get better over tirement. So they just gotta navigate through that. And I don't think it should promise us what they're gonna do, because they don't know what they're gonna do. Retain that flexibility, to retain flexibility, yes, a lot of figuring on from what's what's happening elsewhere in

the world today. I wonder what your advice is to big cult for customers about how they deal with this what seems to be a new normal in terms of volatility, whether it's induced by the FED, whether it's induced by what's going on a Ukraine or elsewhere. Basically, they've gotta get used to it, you know, we have uh you know, firstial market volatility is not the same thing as the economy, and you know, the economy looks like you would be

pretty strong for a while. Obviously there are things gonna upset that Apple card, you know, mark of volatility, and lest it affects the economy, most of the people don't care. They don't pay that much attention to it. So I think you will inevitably have a lot of market volatility, both from you know, the bipartisan the lack of bi partisanship, you know, the reversal QUI to q T. That's a very complex thing. Rising rates, you know, the markets already kind of high, you know, which makes it so I

think it's kind of a normal state of affairs. I tell mol, I worry about shoving my customer. I want to be for these customers day in and day out. I'll deal with the market volatility like the weather. Well, that's fine. Do worry about monatility because it changes their ability to make clear decisions over time to rise? I need very few do, actually, And I mean I think you know, confidence is not driven because the market volatilities, because this rule of law is the country gonna grow

and stuff like that. So, uh, you know, some people react to market volatility if it starts to affect the economy like capital investment, consumer you know, real consumer commons. Then the federal price slowed down when it's doing it, and you know they don't want to do that. But my view has built the business for the long run. You know, you're gonna have some tough times. That's that's

where we all live with. That was JP Morgan Chase CEO Jamie Diamond, speaking exclusively with Bloomberg's Ed Hammond from JP Morgan's Global High Yield and Leveraged Finance Conference in Miami. You can catch more of their conversation online at Bloomberg dot com. Karen, all right, Nathan, it is five fifty four on Wall Street and this is Bloomberg Daybreak and tonight President Biden delivers his State of the Union address.

Just one year ago, the political climate was starkly different than today, with a focus on domestic policy and recovery from the pandemic. Today it's all about the conflict between Russia and Ukraine. There were promises made, kept and missed, and last year's address from their president and Bloomberg Washington corresponded. Joe Matthew brings us more in this special report. America

is on the move again. On the eve of his hundredth day in office, President Biden made lofty declarations to a joint session of Congress and laid out his vision for his administration. America is ready for a takeoff. In my view, we're working again, dreaming again, discovering again, and leading the world again. The President, however, has faced many hurdles from a pandemic that has lingered long past when he had hoped to a steady and persistent rise in inflation.

While he came into office hoping for bipartisanship, many of the priorities Biden laid out in his first address have not landed. Raised the minimum ways to fifteen dollars, four additional years of public education every person in America. The American Family's Plan will finally provide up to twelve weeks of paid leave and medical leaf. The American Family's Plan, which was later rebranded as Build Back Better, is dead,

leaving those promises unfulfilled. The president also laid out a series of domestic goals that he has not been able to reach, including stricter gun laws, police reform, voting rights reform, and immigration reform. The country who supports this reform and Congress should act. Biden did, however, deliver on some of the promises he made during last year's address, including passing a bipartisan infrastructure bill includes massive investments in fixing roads

and bridges and electric vehicles and broadband. Biden also pledged to remove all US troops from Afghanistan during his first year in office, and while he followed through, the withdrawal was marred by the death of thirteen American service members. That disaster in Afghanistan also saw a rapid return to power of the Taliban and is widely considered a foreign policy fiasco. When it comes to Russia, Ukraine was not even mentioned last year. Instead, Biden focused on election medling.

So I responded directly proportionally to Russia's interference our elections and the cyber attacks on our government, our business Biden will return to the House Chamber more than a year into what has been a very challenging first term. If the proof democracy still works, that our government still works, when we can deliver for our people, still trying to prove that government's bitterly divided can in fact deliver for

the American people in Washington. Joe Matthew, Bloomberg Daybreak. All right, Joe, thank you, and please join Bloomberg's Joe Matthew tonight as he leads our coverage our President Biden's second State of the Union address. And it all starts at eight thirty

Eastern on Bloomberg Radio and Television. And futures this morning, following SMP futures down twenty two points, to OWN futures down one sixty and NASDAG futures down eight one the tenure treasury up twenty thirty seconds, the yield one point seven five percent, and they yield on the two year one point three two percent and still ahead on Bloomberg Daybreak and check on the business headlines and all the news you need to start your day. This is Bloomberg