Bloomberg Daybreak: March 28, 2022 - Hour 1 (Radio)

but not in a good way. I'm Michael bar More straight Ahead, I'm John Stashdown Swards Kyrie. Everying first home game, the Nets lost wins with the Knicks and Rangers, and the n C Double eight tournament is down to the

final four. That's all straight Ahead on Bloomberg, Gay Break, on Bloomberg eleven, Treeo, New York, Bloomberg one, Washington, d C, Bloomberg one oh six one, Boston, Bloomberg nine six, San Francisco, Sirius x M one nine Team, and around the world on Bloomberg Radio dot Com and via The Bloomberg Business. Good Morning, I'm Nathan Hager and I'm Karen Moscow and

Nasdaq futures are lower to start the week. We are coming up to five oh one on Wall Street and we check the markets every fifteen minutes throughout the trading day on Bloomberg. Right now, NASDACK features are lower, down twenty eight points. SNP futures are a little change, and DAL futures are up to thirty eight. The decks in Germany is at one point six perst cent. The ten year treasury down eight thirty seconds yea two point five zero percent, and they yield on the two year two

point three eight percent. NIMEX screwed oil is down three point eight per cent on four dollars thirty three cents at a hundred nine dollars fifty seven cents a barrel. Nathan, all right, Karen, we'll have more on the markets in a minute. But first, peace talks between Ukraine and Russia resumed this week in Turkey. The meetings come as several Ukrainian cities continue to take heavy fire. We get more

from Bloomberg Managing editor Dan ten Kate. So let's do is out again speaking about what Ukraine would be willing to discuss in these talks. One you know, ready to declare neutrality, abandoned the push to join NATO, vow not to develop nuclear weapons. And you know, the key one is basically saying that they're willing to talk about that Dombus region where Russia really had troops already before the

war started. And this is sort of an acknowledgement from the Ukrainians that, okay, you know, maybe we could move the troops back to the positions where they were pre war. Bloomberg's Dantancate reports that talks resume while heavy explosions were heard in several Ukrainian cities overnight. Local authorities expect civilians to keep plaeing the devastated city of Maropol. And those peace talks, however, Nathan, are being overshadowed by comments made

by President Biden. Some off the cover marks about Russian President Vladimir Putin are garnering serious attention. And here's what the President said Saturday. For God's sake, this man cannot remain Almost immediately, the White House trying to walk back those words over the weekend, and we get more raba, Bloomberg said Baxter. The President says he was not advocating regime change in Russia and that he was just answering a reporter's question earlier in the day. Secretary of State

Anthony Blancott also walked back the original statement. We do not have a strategy of regime change in Russia or anywhere else for that matter. Now, the US Ambassador to NATO, Julianne Smith, says the President had spent all day with refugees, listening to heartbreaking stories. In the moment, I think that was a principled human reaction to the stories that he had heard that day. But French President Amanya mccron is warning against words or actions that could inflame the region.

In San Francisco. I'm at Baxter Bloomberg Daybreak. All right, ed, thank you. Let's turning to President Biden's agenda back home now. The White House releases its budget proposal today. It's expected to detail a minimum tax rates for households worth more than one million dollars. Amy Morris has the details from our Bloomberg mid Washington. The White House calls it the

Millionaire Minimum Income Tax. It's the most aggressive proposal yet by the administration to increase taxation on the wealthiest Americans. If enacted, it will hit both the income and the unrealized capital gains of hundred million dollar households and generate an estimated three hundred sixty billion dollars in new revenue over the next decade. That's more than a third of the White Houses projected trillion dollar cut to deficit spending

over that period. In Washington, I maybe Morris Bloomberg daybreak right, Amy, thank you. The economy is also in focus this week. Friday brings the government's jobs report for March, and we get more from Bloomberg's Viney down judas. US unemployment is poised to fall, with jobless claims the lowisons in the nineteen sixties and job openings at records. The March trade could go as low as three point six or three

point seven percent. According to some forecasters. Unemployments at a record high of fourteen point seven percent in April one, the pandemic struck the record load two point five percent dates back to the nineteen fifties. Also this week, h S M factory data consume we're spending consumer confidence break thanks, Vinny. Fixed income is front and center this morning. Is the steepest global bond route of the modern era shows no

sign of slowing. Ten year treasure yelds of climbed past two and a half percent, Yields on five year notes rose above those on thirty year bonds and inversion for those maturities for the first time since two thousand and six. It's just concern over an economic downturn and perhaps even a recession. Well, Nathan, we're seeing big moves in the Japanese yenn this morning. This after the Bank of Japan offered to buy an unlimited amount of bonds for three

straight days. It's the first time the central bank has made such a move. And checking the yen, it's trading at the weakest level in seven years at a hundred twenty four point six two against the dollar. How many time Karen Covid is threatening economic activity in China again. Shanghai has declared a lockdown to combat a surge in cases.

We get the tales from Bloomberg's Emma O'Brien looking down for four days one part of the city, which does include the financial district in Podong, and then the next four days after that locking down the other side of the city. And during those four day periods they will be mass testing the entire population as part of China's COVID zero strategy, which they are maintaining to really root out and suppress virus cases. And Bloomberg exam O'Brien says

the lockdowns will extend to the roads. Private cars will not be allowed to drive unless necessary, and Nathan that lockdown will hit production for Tesla in China. Bloomberg News has learned the electric car maker is extending a production pause at its Shanghai plant for another four days because of the restrictions. The original plan called forces spending production just one day. I meantime, in southern China, care and investigators have recovered the second black box from last week's

deadly China Eastern plane crash. All one thirty two people on board were killed when the jet nose dived from nearly thirty thousand feet. We get the latest from Bloomberg's Philip Glaman. Investigators in Woodjow here in southern China have a big booster investigations by planning the second black box that gives them information on the movement of the plane in the performance of the engine. And he goes along with the black box that found earlier that records of

what was said in the cockpit. Bloomberg's Philip glam And says the flight data recorder has been sent to Beijing for analysis. Straight ahead, your latest local headlines and a check of sports. This is Bloomberg. It's sound five oh seven on Wall Street. We're twenty four degrees in Central Park. Vehicle fire earlier on eastbound cross Bronx Expressway and your bronxter Parkway. We'll get the details on that for you

in traffic. First, Michael bar is here with what else is going on in New York and around the world. Good morning, Michael, Good morning Nathan. The Cinderella team of the n C Double a man's basketball tournament, we'll still get a hero's welcome. After being illuminated. St. Peter's University lost to North Carolina, the Peacocks made tournament history as the first fifteen seed to reach the Elite eight. Fans back home in Jersey City launched the game, cheering for

how far the team advanced. They had a great season. He really can't say nothing bad about it. Jersey City Mayor Stephen Fullip said on Twitter that after the Peacocks had their historic tournament run, the city would still hold a parade and the Keys to the City ceremony for the team. The January sixth Panel says two ex advisors to former President Donald Trump should be held in contempt of Congress because they are withholding information at the House.

Committee considers central to its investigation of events surrounding last year's attack on the U. S. Capitol. According to a report released by the investigating Committee, former White House Deputy Chief of Staff for Communications Dan Scavino may have had advance morning about the potential for violence. The panel is set to meet tonight to hold on recommending that the House of Representatives holds Comino and Trump's trade advisor Peter

Navarro in contempt. The Academy Emotion, Pictures, Arts and Sciences says it does not condone violence in any form. After fireworks at Sunday Nights OSCARS, minutes before we're accepting his Best Actor award, Will Smith slap presenter Chris Rock on stage after taking offense to a joke about his wife Jada, I love him, g I Jane two. Can't wait to see it all right? And that was that was a nice one. Okay? How about here? Oh Richard? Oh Wow.

Smith later accepted the Best Actor award for King Richard l said to me a few minutes ago. He said, actually, highest moment, be careful. That's when the devil comes for you. It's like a tass. Staine won the Best Actress Award. The movie Coda on Apple won for Best Picture. Global News twenty four hours a day on air and on Bloomberg Quick Take, powered by more than journalists and analysts are more than twenty countries. Michael Barrn, this is Bloomberg. Nathan. Okay, Michael,

thank you. Coming up to five ten on Wall Street time for the Bloomberg Sports up taked morning, John Stan, Good morning Nathan, and the nets thirty six home game of the season, the first for Kyrie Irving. His story well known as refusal to get the vaccine, a hot topic not only in sports but at city hall. Last week the private sector mandate lifted for him, and Kyrie

took the floor in Brooklyn. My presidents out there, which are bigger than the basketball game, you know, which is representing a lot of individuals better out there in similar situation as me. Um And now that I have the playoff, I think you should deal to bit for everybody. I don't take it for granted. What happened tonight. It was his story. I'm great for that I got a chance to be out there with my brothers. The game did not go well. Irving shot just six of twenty two.

The Nets lost to Charlotte one nine, one ten, almost certainly too late for the Knicks playoff hosts, but they are playing better of late. At three and oh roach trip. They held on at Detroit one oh four one oh two. Knicks blew at twenty one point leave, but Alec Berk's the hero down the stretch of big three point shot in at the game saving steel at the Garden. Ranger over Buffalo five for the Coandre Miller Gold too mon attend to overtime. Recent Ranger pick up Frank Patranto scored

two goals eighteen seconds apart in the opening period. Islanders lost to Tampa Bay the Devil's top Montreal in the shootout. The clock did strike midnight for Cinderella. St. Peter has lost My twenty to North Carolina. The Peacocks could be losing their coach now. Shaheen Holloway, widely expected to leave to become the head coach at his alma mater, Seaton Hall.

Carolina is going to its twenty first final four and in New Orleans will play arch rival Duke sixteenth Final four for Kansas and crushed Miami will now take on Villanova. Mets had their aces on a mound. Jacob DeGrand pitched three and as Max Schers are the last six together twelve strikeouts in the met win the Yankees one, even though they're ace. Garrett Cole give up a couple of

home runs. John stash Atward Bloomberg Sports Nathan Okay, John thanks SMP futures down down five point stout futures up to nast at futures are lower by fifty points. The ten your treasury is down down six thirty seconds. The yield at two point four nine percent. Take a look at the markets with a more aggressive Dennis Gartman, former publisher of the Gartment Letter, joins us. Next. This is Bloomberg Bloomberg eleven three oh weather turning partly sunny, breeze

and cold. Today. High is only in the mid thirties. We'll get up to around forty tomorrow with a breeze, increasing clouds Wednesday, with highs in the mid forties. Right now twenty four in central Park markets headlines and breaking news twenty four hours a day at Bloomberg dot Com

and Bloomberg Business Outland. At Bloomberg Quick Tape, He's a Bloomberg Business Flash and I'm Karen Moscow sovereign bonds are tumbling while European stocks are gaining In US Dock Index futures are falling once again as economic risks from inflation and tightening monetary policy hits sentiment. We checked the markets every fifteen minutes throughout the trading day on Bloomberg. Right now, U s and P futures are down eight points down,

futures down fourteen, nasdack futures down sixty one. The DAD and Germany's have one point three percent. Ten year treasury down six thirties seconds. You have two point four nine percent the yield on the two year two point three seven percent. Nimex Screwed oil is down three point eight percent on four dollars twenty eight cents at a hundred nine dollars sixty two cents a barrel. Kovacs gold is down one point four percent, or twenty seven dollars ninety

cents At nineteen thirty one. Ninety announced the euro one point o nine seven four against the dollar British found one point three one two nine, the yen at one twenty four point six six, and bitcoin this morning moving higher up about two percent at forty seven thousand, sixteen dollars. That's a Bloomberg business flash. Now here's Muchael Barr with more on what's going on around the world. Muchael, Good morning,

Good morning. Karen. Ukrainian and a Russian officials announced that they have agreed to a new round of in person peace talks to be held in Turkey. It comes as the White House walks back comments President Biden made about Vladimir Putin, saying this man cannot remain in power. It is the water cooler talk today. During last night's account Me Awards, Will Smith slapped Chris Rock on stage after the comedian made a joke about Smith's wife, Jada Pinkett Smith.

Smith later won the Best Actor, Oscar Jessica Chastain won Best Actress. Coda from the Apple streaming Service won for Best Picture. The final four set of the Man's nc Double A basketball tournament, North Carolina plays Duke Kansas will face Villanova in the NBA. Kyrie Irving played his first home game of the season, but the Nets lost. The Knicks and Celtics won. The Wizards beat the Warriors, NHL Rangers one in ot over the Sabers, the Devil's won

in a shootout over the Canadiens. The Islanders lost. Global News twenty four hours a day on here and on Bloomberg Quick Take, powered by more than journalists analysts in more than a hundred twenty countries. I'm Michael Barr, and this is Bloomberg Nathan. Okay, Michael, thanks for coming up to five twenty on Wall Street Line from the Bloomberg Interactive Brokers Studios. This is Bloomberg Daybreak as we get

the trading weeks started. We're joined by Dennis Startman, former publisher of the Gartment Letter, now Chairman of the University of Akron and Dowmind Investment Committee. Dennis, Good morning. Tension isn't only on the Academy Awards stage onder in Hollywood. We're also seeing lots of tension playing out in the bond market this morning. The global route continues fives and thirties inverted. What is the bond market signaling right now?

The bottom? I'm afraid the bondom market is signal that the set is going to be a little tighter than people had anticipated, that the economy is going to be a little weaker than anticipated, that recession is a possibility. The fact I watched the five year ten year spread, and the fact that you've got five years now at a substantial premium over ten years. The yield curve belly of the of the curve has inverted. It did so

about two weeks ago. It continues to move towards an inversion two is or heading quietly higher, likely to go to an inversion over ten. So the yield curve itself in the major area of the curve, in the middle of the curve is going to an inversion. I think it's delty the stock market. I think it's deletarious to the economy, and I think it tells you that recession is a possibility, so be careful out there. How much of a possibility do you see a recession? I think

within the next year there's the sixties sixties. Probability of recession coming just depends how inverted the yeld curve gets. People want to talk about the fact that the curve has in the past not been the greatest anticipator of recessions. Well, every recession we've had has been and has seen the inn inverted curve. But we've seen in inverted curves and not had recessions. However, when you have an inverted curve in and a spike in crude oil prices, the odds

of recession go up rather dramatically. So I think it's at least in the course of the next twelve months. I think it's very likely possibility. Well, what do you think the FED is going to do? Obviously the market has priced in now two full percentage point hikes by the end of this year. We've heard from analyst at City Group calling for fifty basis point increases at the next four meetings. Do you think the FED will be

that aggressive? I doubt the FED will be that so I doubt that they'll go fifty in the next two I think they'll go fifty, so I shouldn't say certainly, but very probably in the May meeting. I doubt that they'll go fifty in the next meeting after that. But I, having been in the market for forty five years, if I've learned anything about the FED, it's that when they begin to tighten, or when they begin to ease. They moved rates much farther than anybody can possibly anticipate in

either direction. The fact is that the FED has remained far too very for far too long. They will have to remain contractionary for far too long and and take rates far higher than people anticipate. Where will where will the overnight said funds right be a year from now demonstrably higher than it is right now? But are we going to see fifties and fifties and fifties on the next several meetings? I doubt that substantially. I think the FED fears uh imposing recession upon the economy, so it'll

be reticent to move fifty fifty fifty. But will it take great higher over the course of next year and a half or so, There's not a question about that. Do you think the FED can pull off a soft landing with the with the path it it's laid out. No, the FET has been unable to to create soft landings in the past. I think the feds ability to create a soft landing in the future is is marginal at best. The set has heard badly almost every time it has taken an action of major consequence in the in the

course of history. I don't see that there there any smarter now than they were ten years ago, fifteen years ago, thirty years ago, fifty years ago. The federal or badly in all directions, always has and always will. So where do you find hedges in this market? We've heard some talk about large cap stocks being the new inflation heads. Do you think that's a good idea? The only thing I trade for myself and I have some some control University of Akrons endowment, and I've reduced my exposure to

the stock market dramatically. The only areas of the stocks that I own are oil companies and a few large cap high dividend payers that that whose dividends are covered rather dramatically and covered well. So I'm taking an old kur mudgeon's rather substantive portfolio blue chips, high dividend payers. I'm away from tech. I I don't trust tech even slightly, and I don't trust small cap. And one thing that I won't have any interest at all, and it's it's

emerging markets. I'll leave that to other people. As my friend Don Cox once said, the definition of an oranging market is a market from which you cannot emerge in an emergency, and I remained, I think that's one of the great lines of all time. Thanks, as always for your insights, then it's good to have you on with us. Dennis Gartman, former publisher of the Gartment Letter, now Chairman

of the University of Akron Endowment Investment Committee. Futures slightly lower now with SMP futures down seven point, staff futures little change, nest ACK futures lower by fifty nine points. The tenure treasury is now down seven thirty seconds, the yield just shive two and a half percent, yield on the two year two point three seven percent, and nim X crewed right now down three eight percent, down four dollars thirty eight cents at a hundred nine dollars fifty

two cents a barrel. You're listening to Bloomberg Daybreak Bloomberg eleven three oh weather tourney partly sunny, breezy, cold today with highs only in the mid thirties, will be near forty breezy tomorrow, sunshine Wednesday followed by increasing clouds with currently in Central Park. Broadcasting live from the Bloomberg Interacted

Broker Studio in New York. Bloomberg e Living Freedom to Washington, d C. Bloomberg to Boston, Bloomberg one O six one do San Francisco, Bloomberg N sixty to the country, Sirius XM to the one nineteen and around the globe the Bloomberg Business app in Bloomberg Radio dot Com. This is Bloomberg Daybreak. It's five thirty on Wall Street. Good morning. I'm Nathan Hagar and I'm Karin Moscow, and we're just about four hours away from the open of US trading.

Let's catch you have to date in the news. You need to know what this show or Peacetos between Ukraine and Russia resuming Turkey this week, but that's being overshadowed by comments by President Biden over the weekend. He took aim at the leadership of Vladimir Putin. We'll have a different future, of brighter future, rooted democracy. In principle, open right j is the indignitive freedom of possibilities. For God's sake, this man couldnot remain and quote, this man cannot remain

in power. Those words reverberating across Europe this morning. The White House trying to clarify the president's re mark, saying he was not calling for regime changes in Russia. Well, critics say President Biden's comment is a boost for Putin, Karen and we get more on that from Bloomberg International Affairs reporter Mark Champion. The words of what they are, they are a gift to as and Putin, who has been arguing that this is not a war against Ukraine.

It's a award to defend Russia against Western attempts to destroy Russia. So, you know, unfortunately it's a gift to him in propaganda terms. You know, when you have a leader who is now seen as somewhat isolated paranoid in Moscow, it really doesn't help to suggest that that's the kind of thinking that is going on in Washington, whether or not it is the public position. Bloomberg's Mark Champions has both France and the UK are distancing themselves from President

Biden's comments. One White House officials suggests the president's remarks were influenced by stories of suffering he heard from Ukrainian refugees. Nathan Meantime, back in Washington, the White House releases as a budget proposal today is expected to detail a billionaire minimum income tax, which would implement a minimum twenty tax rate for households worth more than one hundred million dollars.

The rate would hit both income and unrealized capital gains, turning into market's care and it's all about fixed income. This morning, the steepest global bond route of the modern era shows no signs of slowing. Ten year treasury yields of climbed past two and a half percent, Yields on five year notes rose above those on thirty year bonds and inversion for those maturities for the first time since two thousand six. And we're seeing big moves in the

Japanese end this morning, Nathan. That's after the bank in Japan offered to buy an unlimited amount of bonds for three straight days. It's the first time the central bank has made such a move. And checking the yen, it's trading at the weakest level in seven years, at one or twenty four point four eight against the dollar, and futures this morning. S and P futures are down five points down, futures are little changed, and NASDACK futures down

about fifty five. Tenure treasury down eight thirty seconds. You have two point five zero per cent straight to had your latest local headlines plus a check of sports. And this is Bloomberg three in Wall Street, twenty four degrees in Central Park in Eastbround Cross. Bronx Expressway is closed now at the Bronx Hire Parkway. Will tell you why in traffic in just a minute. First, Michael Bars here with more of what's going on in New York and

around the world. Michael, thank you very much. Nathan. The January six panels has two x advisors to former President Donald Trump should be held in contempt of Congress because they are withholding it from nation that a House committee considers central to its investigation of events surrounding the attack on the US Capitol. The investigating committee named former White House Deputy Chief of Staff for Communications Dan's Cavino and

former Trade advisor Peter Navarral. The Pennel will meet tonight. The Cinderella team of the n C Double A men's basketball tournament will still get a parade after being eliminated. St. Peter's University lost in North Carolina, the Peacocks made tournament history as the first fifteen seat to reach the Elite eight. Fans back home in Jersey City watched the game, cheering for how far the team advanced. We're gonna come back next season. We're gonna win next season, Jersey City Mayor

Steve Phillips said on Twitter. The city will also hold the Keys to the City ceremony for the team. Pushback from top Capitol Hill lawmakers following the announcement at the Veterans Administration plans to close dozens of v A hospitals and clinics across the country to build new facilities. Senate Majority Leader Chuck Schumers said he's urging to be you to rethink the planned hospital closures. We are gonna fight this proposal tooth and nail. We're gonna put a dagger

through its heart. It is not gonna see the love. And we're here doing it now because we're gonna nip this in the butt. Senator Schumer spoke alongside military heroes in New York. It's a moment that will be talked about in the history of the Academy Awards. Actor Will Smith slapped comedian Chris Rock on Live TV minutes before winning the Best Actor Oscar. Rock had joked that Smith's wife, Jada Pinkett Smith, could be in the next g I. Jane movie, a reference to her very short hair. She

has alopecia disease, which causes here lost. Smith addressed the incident during his acceptance speech for his role in King Richard, Very Like Crazy five and just like they said about Richard Williams, um but love will make you do crazy things. Jessica Chastain won the Oscar for Best Actress. Apple's Coda one Best Picture. Global News twenty four hours a day on air and on Bloomberg Quick Take, powered by more than seven hundred journalists analysts in more than a hundred

twenty countries. Michael Barr, this is Bloomberg Nick. Thank you, Michael all Street. Time for the Bloomberg Sports Update with john stonnshown. Thanks Nathan. The Nets waited about five months for Kyrie Irving to be allowed to play a home game despite being unvaxed. He finally did last night, and they had one of his worst games, shot just six of twenty two. I was played by Charlotte's young point

guard LaMelo Ball has scored thirty three points. The Hornets beat the Nets in Brooklyn one nineteen to one ten Nicks at one point Lee, but held on at Detroit one oh four one oh two Nicks have won six of their last eight. Road games are home tonight for Chicago. Last night at the Garden, the Rangers, in a back and forth game, won five four and overtime over Buffalo DeAndre Miller, the game winner two minutes into hot The

Devil's won in a shootout. The Islanders loss. Yes, the Slipper no longer fits, but St. Peter's will be remembered for perhaps the greatest Cinderella run an n C Double A tournament history. The coach the pet cock in Holloway. No one, no one believed it. But the people are in a locker room and people you know that that's that's a not programmed flow administration know us and and and and may history. You know, they shocked the world.

They you know, you got guys that's going to be remembered for things that take it till their kids and grandkids. Alloway is widely expected. And now leave St. Peter's who become the coach of his alma modern seat All in Philly. St. Peter's lost by twenty to North Carolina, who will now face Duke at the Final four in New Orleans. It'll be the two hundred and fifty eight game between the arch Rivals and the first ever in the m C double as Kansas will play Villanova, Yankees and Mets both one.

Aaron Judge Homer twice so that Francisco Lindoor he hit home runs on both sides of the play. The hottest golfer, Scottie Scheffler won the match play easily. He's won three of his last five tournaments. He's now ranked number one in the world. John Stature with Bloomberg Sports. All Right, John, Thanks, it's five thirty seven on Wall Street. Time for the

Tri State Business Report. Here's Bloomberg's Cory. New York spanishion models and influencers would get greater protection from exploitation by management companies and agencies under a proposed state bill that aims to shake up the industry. The measure was introduced by state Senator Brad Hoyleman Friday. Four South Jersey agencies are among two dozens elected for funding to install electric

vehicle charging stations. Atlantic City's Casino Reinvestment Development Authority, Ocean City, the New Jersey Development Environmental Protection and the Parking Authority of the City of Camden will get the money. Connecticut regulators want to stop a program that incentivizes homeowners and businesses to convert to natural gas as soon as the

end of April. The program began in It's authorized through the end of three state public utility regulatory authorities says it is no longer in the best interests of ratepayers in the state. At your Bloomberg Tries State Business Report, I'm Ed Corey 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 podas Kan on ten ten Wins in New York. We're talking about Wells Fargo offering a new MasterCard that will let customers earn points and miles on their rent payments. I'm Ginas Servettian for w b B. I'm in Chicago. I'm reporting that as US airlines face heated competition for pilots, some of them have shifted recruiting efforts to Australia. I'm

klin He called BlueBag Dab Disovidio in London. With're reporting on the government cutting its stake in nat West below more than a decade since the bailout of the bank. I'm ed Gory im w w J in Detroit. I'm reporting the CEO of First Date Bank will retire next month. Those are some of the stories our twenty seven hundred Bloomberg journalist 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. This editorial was written by the Bloomberg Editorial Board earlier this month. In a bid to ease pressure on global energy supplies, the US open talks with the government of Venezuela's Nicolas Maduro. It was a major reversal since accusing Maduro of stealing the Venezuelan presidential election in twenty eighteen, The US has recognized

opposition leader Won Guido as the country's leader. The US also imposed sanctions and blocked purchases from Venezuela's state owned oil company. Yet there are few signs this maximum pressure campaign who's weakened Maduro's grip on power. In the meantime, the strategic environment has changed dramatically. Re Engaging with Venezuela wouldn't just free upneeded oil supplies, it would also drive

a wedge between it and its chief patron, Russia. The U S should remain clear eyed about the risks, of course, but for now it's worth the gamble. This editorial was written by the Bloomberg Editorial Board. For more Bloomberg opinion, please go to Bloomberg dot com, Slash Opinion or ope I n go on the Bloomberg Terminal. This has been Bloomberg opinion, and you can hear Bloomberg opinion editorials every weekday. At this time, terminal customers can read more at O

P I n go. You're listening to Bloomberg Daybreak Bloomberg eleven three oh weather partly sunny, breezy, highs only in the mid thirties today. We'll get to around forty tomorrow, increasing clouds for Wednesday, with highs in the mid forties currently twenty four degrees in Central Park markets. Headlines and breaking news twenty four hours a day at Bloomberg dot Com, the Bloomberg Business apt and at Bloomberg Quick Tape. He's

a Bloomberg Business Flash and I'm Cameron Moscow. Sovereign bonds are tumbling while European stocks again and US stock index futures are little changed as economic risk from inflation and tightening monetary policy hits sentiment. We check the markets every fifteen minutes throughout the trading day. On Bloomberg, U s and P futures are little change this morning. Down the futures are higher up thirty four nasdack features are down forty two The decks in Germany's up one point six

percent ten. Your treasury down nine thirties seconds yield two point five zero percent. That yield on the two year two point three seven percent. Nine X Screwed oil is down three point eight percent, down four dollars twenty seven cents at a hundred nine dollars sixty three cents of barrel comic skull down one point one in a quarter percent, down at twenty four dollars eighty cents at nineteen thirty

five announce. The Euro is at one point nine eight eight against the dollar, British pound one point three one four zero, the en at one twenty four point to six, and Bitcoin this morning is UH it's moving higher more than two point two percent. It's at forty seven thousand, one hundred thirty dollars. That's a Bloomberg business flash. Now here's Michael bar with more and much going on a

rabble world. Michael Karen, thank you very much. President Joe Biden sought to clarify his call for the removal of the Vladimir Putin Blyden says that he was not seeking regime change after European allies raised concern and critics said that he was further in flaming tension with Russia. At the Academy Awards, actor Will Smith slapped comedian Chris Rock on live TV minutes before winning the Best Actor Oscar Smith took offense after Rock made a joke about Smith's wife,

Jada Pinkett Smith. Jessica Chastain won for Best Actress. Apple's Coda is the first streaming film to win Best Picture. The Final four is set in the men's n C Double A basketball tournament. North Carolina plays do Kansas will face Villanova. In the NBA. Kyrie Irving played his first home game of the season, but the Nets lost the Knicks and Celtics won. The Wizards beat the Warriors in the NHL. The Rangers won in ot over the Sabers. The Devil's wanting to shootout over the Canadian end. The

Islanders lost. Global News twenty four hours a day on air and Bloomberg Quickday, powered by more than twenty seven hundred journalists and analysts in more than twenty countries. I'm Michael Barr, and this is Bloomberg. Nathan. All right, Michael, thank you. It's five forty nine on Wall Street Life from the Bloomberg Interactive Brokers Studios. This is Bloomberg Daybreak. And as Michael mentioned, the White House and President Bidener

in clean up mode after nine words. That came after the end of the President's major speech in Warsaw, Poland, capping off an ally rallying trip to Europe amid the war in Ukraine. Let's get more now from Terry Haynes, founder of Pangea Policy, joining us live this morning. Terry, good morning. For God's sake, this man must not remain in power. It's been two days since the President uttered those words. Are still talking about them. How big a

deal is this? Really? Good morning? Nathan. Uh, you know, I'm sorry to say it's a pretty big deal. Uh it is. Uh it is not something to be taken back. Uh. It is something that uh, you know, loose talk from presidents is never a good idea. UM, and this is the loosest of talk, and it's on a very uh it's on a very consequential matter. Uh, you know, whether regime change or not. Uh. It's not something that can get wiped away uh easily quickly or anything else. I know.

On your air in the last hour, you had somebody saying quite rightly that uh uh that it was you know, something that you know, gave Sucker to U to putin, allowed him to use this for propaganda purposes. Uh. It makes the Ukraine war harder, too, harder to solve, harder to end. Uh. And as the former acting CIA director Mike Morrell said on air yesterday, probably helps drive China and Russia's direction more as well. So you know, it's not just it's not just a gaf Uh. It's policy reversal.

And it comes on top of at least two other wobbles this week. Uh. You know that came out of that and from Biden directly, that put US policy in question. And so it's a big deal. And first and foremost Biden and his team uh have half to tighten up, have to be Unified half to tighten up. It's it's not it's not a good day for this administration, probably the worst. In fact, it's important to distinguish, I think, between loose talk and policy reversal. You're saying it's both things,

at least that's what I heard. But the White House is saying that they haven't changed policy. The regime change is not the policy of the United States. Can the White House do more to clean this up? Well, they're gonna have to do an awful lot more. Uh. They're gonna have to engage with the Russians publicly and privately and uh and frankly, uh, it was already difficult to do that. The White House that said that they weren't

getting calls back at least on the Russian military side. Uh. And in order to in order to end this thing communication and this thing being in the Ukraine War as well as this particularly difficulty, Um, Uh, they're gonna have to engage, you know, very much more. I mean, you know, the you know, our own allies are appalled by, uh, by the President appearing to kind of go out on his own right after a NATO summit. Um, and you know it, you know, whether or not it's a policy reversal. Uh,

you know, and you're quite right. The White House walked this back very quickly, as they should. But whether they're not this as an outright policy reversal, uh, you know, takes a little bit more than just saying you know, um, you know, missteps. Sorry. Uh, it's gonna take some demonstration. But you've got, uh, you know, you have on top of that, a couple of other things that that's happened.

You've got, you know, the situation, whether or not there was a a green light into providing planes in Ukraine or not. Secretary Lincoln said there was a few days later, the President said there wasn't, um, you know, Russian regime change or not. Just in the past week, we have had whether or not Russian sanctions were intended to deter Biden says no, But there's a a litany of administration video and quote saying yes repeatedly. Um. And whether or not the U. S. Troops would be used in or

had been used in Ukraine. So none of these are small matters. And uh, you know, it raises difficult questions for the White House. Uh. And you know, I certainly hope they learned their lesson and UH and then tighten up here drastically because UH, the wobbles in the United States foreign policy only make the goals in Ukraine and

elsewhere much harder to achieve. And we'll be watching to see what, if any fall out there is as negotiations continue today between Ukraine and Russian as we continue to follow the engagement under way with France as president and the Russian president as well. Terry Haynes of Pangea as always good to get your insights. Thank you so much, Karen,

Well Nathan. It is five War on Wall Street time for the Bloomberg Law Report, and we get to the legal stories we are watching this morning from Bloomberg's Jeff Bellinger. The Internal Revenue Service says the last of its remote workers will be brought back to offices in phases starting late next month. Normal in person operations will begin. June twenty five, a federal district court ruled that a challenge by two hospitals over how Medicare calculates reimbursements was properly

dismissed by an administrative appeal board. Mississippi lawmakers agreed on the biggest tax cut in that state's history. The state is on a path to eventually phase out its personal income tax. Bloomberg Law everything you need, all on one legal research platform, including guidance analysis and Bloomberg Market Intelligence. Find out more at Bloomberg Law dot com. Right, Jeff, thank you Now. Another legal story we're watching brings US

to the war in Ukraine. The State Department is formally accused Russian forces of committing war crime times based on a review of available evidence from public and intelligence sources. However, that accusation applies to Russian forces only, not to President Vladimir Putin. For more, in the matter of Bloomberg's during Grasso speaks to Kate mackintosh, executive director of the u

c L, a promise institute for human rights. The US is not a member of the i c C. What's the significance of the U S is formal accusation that Russian forces have committed war crimes in Ukraine. Well, that is a political determination, of course, not a legal determination. That hasn't been an investigation, nothing has come before a court. But declaring that there have been war crimes I think signals the US is commitment to trying to prevent antique

accountability for them. So there is a general obligation on all nations to not just respect, but to ensure respect for the Geneva Conventions, in other words, to take some action to ensure they're upheld. And we might think of

our an analogy with the Genocide Convention for exam. Sort of statement by a political actor a government that genocide is happening is not a legal determination, but it tends to signal that that body is going to take some action or that it considers that something needs to be done in this situation. So I would say it is a stronger position on the US's commitment to try and prevent needs war crimes occurring and also to speak accountability

for them. This accusation applies to Russian forces, but not to Putin himself. If Russia's committing war crimes, and Putin is the president directing those crimes, why don't they also call him a war criminal. Well, it's maybe a little harder to establish based on what's been seen on the ground.

These are all statements that are being made without any proper investigation, but they're being made, I presume in the face of overwhelming evidence of war crimes being committed on the ground time that back to an individual in Moscow like President Putin himself, would require a more involved, tessive evidence to really flesh out that chain of co owned So I would imagine that they feel it might be a little premature to suggest that they have that evidence.

And as Kate McIntosh, executive director of the u c l A Promise Institute for Human Rights, speaking with Bloomberg student Grosso, catch more than interview plus analysis of the latest legal news by listening to the Bloomberg Law Show at ten pm Eastern Time or subscribing to the Bloomberg Law Podcast, and attorneys can find exceptional legal research and business development tools at Bloomberg Law dot com and S and P futures are down about five points this morning.

DAL futures are little changed and NASDAGG futures are down. Fifty ten year treasury down eight thirties seconds. You're two point five zero percent and the yield on the two year at two point three seven percent, and our top stories are straight ahead. This is Bloomberg