Bloomberg Daybreak: March 8, 2022 - Hour 1 (Radio)

and executive order regulating cryptocurrency. I'm Michael Clark. More ahead, I'm John stas Shower and sports a big night for Julius Randolly Live the next The Victory and Sacramento the Islanders lost to Colorado. That's all straight Ahead on Bloomberg day Break on Bloomberg Element Treo, New York, Bloomberg Washington, d C, Bloomberg one oh six one, Boston, Bloomberg nine six, San Francisco, Sirius x M one nineteen and around the world Old on Bloomberg Radio dot Com and via The

Bloomberg Business. Good Morning, I'm Nathan Hagar, and I'm Karen. Moscow. US Dock Index futures are higher after the biggest one day loss for stock since We're coming up to five oh one on Wall Street, and we check the markets every fifteen minutes throughout the trading day. On Bloomberg SMP futures of about sixteen points down, futures up seventy two.

Nasday future is up twenty seven. The decks in Germany is at one point four percent, the ten year treasury down nineteen thirty seconds, held one point eight four percent, and a yield on the two year one point five nine percent, and Nimex screwed oil is up two point four percent. Nathan, all right, Karen, we'll have more on the markets in a minute, but first, the latest on the war in Ukraine. Russia is now threatening to cut off natural gas supplies to Europe through the North Stream

one pipeline. That's in response to sanctions from the US, Europe and their allies. Russian President Vladimir Putin says the war will continue until all his demands are met. Ukrainian President Vladimir Zlinsky says it's not that simple. This is another ultimatum and we are not prepared for ultimatums. What needs to be done is for President Putting to stop talking, start the dialog. Instead of living in the informational bubble without oxygen, I think that's where he is. Ukrainian President

Zelinski spoke to ABC News. Russia and Ukraine say they will talk again today about establishing humanitarian corridors for civilians fleeing the fighting. The first three rounds of negotiations haven't made much progress. Meantime, on Capitol Hill, Nathan lawmakers are working to ramp up pressure on Moscow. They have come up with a plan to ban imports of Russian oil into the US, and Amy Morris has details from our

Bloomberg ninety one newsroom in Washington. Biden administration officials have been working out what the economic repercussions might be for US consumers. The agreement would also give President Biden the power to boost tariffs on other imports from Russia and Belarus. It would seek a suspension of Russia's participation of the World Trade Organization. The White House has been noncommittal. White House Press Secretary Jen Psaki says no decision has been

made yet. The best thing we can do is reduced our dependence on fossil fuels and foreign oil so that we're not worried about gas prices going up because of the whims of a foreign dictator. The House of Representatives could vote on the proposal as Junes tomorrow in Washington. I maybe more as Bloomberg daybreak. All right, Amy, thanks, and once again we are seeing major market moves tied to the war in Ukraine. Let's get the very latest from Bloomberg's John Tucker Live in New York, John Nathan.

Disruption to energy markets and broader uncertainty sent the down jones A dustrial leverage down two point four percent in Monday's session, hundred lost nearly three percent, the NAZAC up pummeled down three point six percent. Well. This morning, stocks and Europe rallying along with US futures after we reported that the European Union is considering joint bond sales to help counter the fallout for the war. Our sources say the bond sale for POS may be presented as soon

as next week. On another front, the London Metal Exchange halted trading in its nickel market after an unprecedented price bike left brokers struggling to pay margin calls live to New York on John Tucker Bloomberg. Tay Preak, all right, John, thank you all. Oil prices are searching again this morning. If penalties hit Russian crew, there's likely no way to replace that production. That's according to OPEC Secretary General Mohammed Barkindo.

How do we survive this crisis? There is no capacity in the world At the moment, the country place seven million barrels of exports. OPAK Secretary General Mohammed Barkindo describes Russia's war against Ukraine as a humanitarian tragedy. Checking prices right now, nim ex screwed oil is up to and a third percent. Is that a hundred twenty three cents of barrel? Brent is up two and a half percent

at a hundred twenty six dollars twenty seven cents. And we've seen gas prices surge over the past two weeks as well, Karen, and that is causing pain at the pump. But drivers say the would be willing to pay even more if it would end the war in Ukraine. Let's get the details now from Bloomberg's Lisa Mateo. Gas prices are soaring, but many drivers are saying will pay more at the pump. That's according to a Quinnipiac poll, which found seventy one percent of Americans would support banning Russian

oil even if it leads to higher gas prices. The national average for gas has reached four dollars and seventeen cents a gallon, according to Triple A. That tops the nationwide monthly record of four dollars and ten cents set back in two thousand and eight. In New York, I'm Lisa Mateo Bloomberg Daybreak, Lisa, thank you. As war rages in Ukraine, top US intelligence officials are coming out with

their annual threat assessment. The Office of the Director of National Intelligences a grim on global outlook thanks to Russia and China. Bloomberg's Nia Young joins US Live with the details. Good morning Redina, Good morning Karen. The threat assessment says China is developing one of the greatest nuclear weapons forces in history, while Russia will exploit every opportunity d to

undermine the US and its allies. The nation's top intelligence chiefs will testify about their report before the House Committee today. The assessment is used by Congress as a baseline to make critical decisions advanced legislation and craft budgets. But since it was written before Russia invaded Ukraine, lawmakers will likely press intelligence chiefs for the most current assessments. During today's hearing live in New York, I'm Renita Young Bloomberg Daybreak. Okay, Nita,

thank you. Know. When it comes to the assessment for markets, it's all about the fallout from the war and the future of FED policy. The Fed meets one week from today and Morgan Stanley CEO James Gorman says the Central Bank should still start rate hikes despite the war in Ukraine. Speaking in Sydney, Gorman said the Fed needs to contain prices but also be careful not to tip the economy

into recession. And corporate news, Nathan Apple is holding its first product unveiling of two the event, cake Stoff was expected to be its biggest year ever in terms of new devices. The company is poised to announce its first low cost iPhone sc with five G capabilities, a new iPad Air and updated match with Apple made ships. And finally, Karen Warren Buffett's back among the five richest people in the world. Has Fortune's risen more than seven percent this

year thanks to a rally in Berkshire. Hathaway shares straight ahead the latest local headlines and the check of sports. This is Bloomberg and it's now five oh seven on Wall Street where forty one degrees in Central Parks. Seeing a lot of problems on mass transit this morning with down power cables from all the winds yesterday. The tails are not come up in traffic. First Michael Art with more on what's going on in New York had around

the world the morning Michael, Good Morning, Nathan. New York City is preparing for the possibility of a cyber attack by Russia. The city's chief Technology Officer, Matthew Fraser says it could happen. We see the rights pop up periodically, though specifically associated to this heightened sense. We've seen an uptick um, but we're not aware of any campaign that's explicitly targeting the city itself. Back Officer Fraser says New York is on ultra high alert following US imposed sanctions

against Russia for its ongoing invasion of Ukraine. The fear as Russia will try to retaliate The NYPDS Deputy Commissioner John Miller weiget that we're in a heightened threat um and we have been gearing up for that heightened threat to come along from our normal high alert to ultra high alert, and that's where we are. The NMPDS Miller says it's best to be ready just in case a

homegrown terrorist strikes. President Joe Biden is expected to sign an executive order on cryptocurrency this week that will mark the first step toward regulating how digital currency is traded. The move comes as administration officials have raised concern in recent weeks about Russia's use of cryptocurrency to evade the impact of crushing scions. Tens of thousands of customers are without power in New York and New Jersey after a

line of severe storms swept through the northeast. This man in Cedar Grove, New Jersey, spent the night at a neighbor's house after a free fell alongside his home, cut off his power and blocked his front door. Start rain heard, then all of a sudden is sounding train went through and the wind was howled and then to the house. He says. They're waiting to see whether they can safely return to their house today. Jerry's selection begins today and the trial of four men who were accused of conspiring

to kidnap Michigan Governor Gretchen Whitmer. The government says the men were upset about Whitmer's COVID nineteen restrictions, but defense lawyers claimed the four were groomed and cajoled by federal agents and informants. The CDC raised it's COVID nineteen travel advisory for Hong Kong by one step to level four, or very high, as the city's death rate is now

the highest in the world. Global News twenty four hours a day on air and on Bloomberg Quicktake, powered by more than twenty seven under journalist and analysts more than a hundred twenty countries. At Michael bar This is Bloomer. Thank you, Michael. Almost five ten on Wall Street, Time for the Bloomberg Sports Updated. Morty John Sans Sharon, Good morning, Nathan Biggas reason the Knicks so much better last season

and this one. Julius Randall was so much better last season, But last night Randall as good as he has ever been. A career high forties six points. He made eight three Parners of the Knicks turned the table. Somebody blown leaves lately. This time they made the comeback from sixteen down and they won in Sacramento one one to one fifteen. The Knicks had their first two game winning streak in nearly two months. Joel mb scored forty three in Philadelphias, winning

over Chicago. San Antonio beat the Lakers. Greg Popovich ties Don Nelson's record for most totoon victories. The Islanders welcomed in the NHL's best team. Colorado moved thirty games over five hundred, scored four goals in a span of less than four and a half minutes in the third period, and then held on with the Isles. Five four March

Madness championship came at the Southern Conference Tournament. One time all drive all the way in his layoup Is foot quit four point three seconds left, David Jean Battis drives goes up three ft on the way and the call on their field. Chattanooga beat Ferman sixty four sixty three and over time. The Calvin Ridley's story not all that surprise in considering the growth of sports betting, now legal in many states, so accessible with the touch of a phone.

Ridley the Falcon Star wide receiver admitted to making bets on NFL games, including bets on his team to win, although they were games he was not playing in. Regardless hit with a suspension of at least all of two, it will cost really eleven million dollars. John stash Award Bloomberg Sports, Nathan Okay, John, thanks SMP Future is now up six points, Staff Futures up one point, Nasty Futures up four after yesterday's sell off, the tenure Treasury down

seventeen thirty seconds, the yield one three percent. You're listening to Bloomberg DeBerg Blumber eleven three oh Weather sunny continued breezy today with HIGs and the upper forties. Lights. Now tomorrow morning turning over into light rain. We'll have highs in the upper thirties, back in your fifty and partly sunny by Thursday. Right now forty one degrees. Markets headlines and breaking news twenty four hours a day at Bloomberg

dot Com, the Bloomberg Business Outland at Bloomberg Quicktake. He's a Bloomberg Business Flash and I'm Cameron Moscow. Stocks in Europe are rallying along with US stock index futures after we reported that the European Union is considering joint bond sales to help counter the fallout from Russia's invasion of Ukraine. Bonds are dropping, the euros strengthening. We checked the markets every fifteen minutes throughout the trading day on bloomberg S

and P futures up about ten points and down. Future is up twenty six now as to futures up ten. The decks in Germany is up six tents of upper cent. The ten year treasury down seventeen thirty seconds. He had one eight three per cent, the yield on the two year one point five nine percent. Nine x Scrude oil is up one point nine percent, up two dollars twenty five cents at a hundred twenty one dollar, sixty five

cents of barrel. Comics gold up seven tenths percent or thirteen dollars at two thousand and nine dollars and ounce. The euro one point eight three against the dollar, British found one point three one three zero, the ends at one fifteen point five eight and Bitcoin this morning moving higher, up more than two and a half percent at thirty eight thousand, eight hundred fifty dollars. That's a Bloomberg business flash. Now here's Michael Barr with more on what's going on

around the world. Michael, good morning, Good morning, Karen A. Russia's top energy official threatened to cut off natural gas flows from the nord Stream one pipeline, escalates economic tensions with Europe as the war in Ukraine continues. Russia and Ukraine have said they will continue to hold talks on the potential ceasefire, although a third round of discussions for

douce little progress. US drivers are now paying more for gas than at any other time in history as demand surges and the war in Ukraine threatens global oil supplies. According to Triple A, the average pump prices in the US are now more than four dollars seventeen cents per gallant. In the NBA, the nixt one, the Warriors lost in the NHL, the Islanders lost, the Bruins lost to O

t to the King's Three. To Global News twenty four hours a day on air and on Bloomberg Quicktake, powered by more than twenty seven hundred journalist and analyst more than a hundred twenty countries. Michael bar this is Bloomberg Nathan, Okay, Michael. Thanks, It's five nineteen on Wall Street line from the Bloomberg Interactive Broker Studios. This is Bloomberg Daybreak and as we

continue following developments in the war in Ukraine. Were joined by Julie Norman, now Professor and lecture on Politics and International Relations at University College London. Here we are Professor into day thirteen of this war and Russia's President Vladimir Putin says it will continue until all his demands are met. What does this tell you about how much longer this war could grind on? Well, good morning, Nathan. The length of this war is really uncertain, and we've known that

from the beginning. Putin is continuing to demand that Ukraine recognizes his annexation of Primea and also some of the Eastern regions. He's still wanting Ukraine to commit to neutrality and to pledge not to join NATO. So as we know, these were some of his demands before the escalation and before the invasion as well, and they seem to be what he is still pushing for. There have been talks

going on. The Ukrainian and Russian officials have met three times already, with more talks planned, but right now I think most of the emphasis will just be on trying to get some kind of cease fires for some of these humanitarian corridors and some of these bigger questions are still going to be outstanding for quite a while. And we just heard from the head of the Refugee Agency at the United Nations that the number of people fleeing the war in Ukraine is now top two million. Is

Europe able to handle this refugee influx? Well, what we've seen so far is actually a very strong welcoming from Europe as much as they can. Uh. That's from both a civilian perspective, so people showing up at the borders offering rooms in their houses, offering food, clothing, uh and also from you countries to try and facilitate visas and temporary status and whatnot. But with that said, this is

a very large number of people. It's a continually rising number of people, and I think the European countries, including the UK and as well as non European countries like the US, will really need to be focusing more on how to support a lot of refugees of families who are fleeing because this is however long the actual military conflict goes on, the impact on civilians and people who have been forced to flee in particular is going to be even more long lasting, and we need to start

focusing efforts there. Are we seeing any signs that the Ukraine resistance is wearing down Russia's military and whether that could have any impact on how much longer this will last. Well, the resistance has obviously been much stronger than I think

many predicted. Um With that said, you know, Russia I think has been obviously installed in many ways, but has also so far been focusing on I would say, you know, trying to largely focusing on targeting infrastructure, on kind of cutting off energy, and these kinds of things are going

to have a very severe impact on civilians. We've already seen some cities where now tens, if not hundreds of thousands of people are cut off from water, from heat, They're going to be running out of food, and so even though it's not the same as say like, uh, you know, and if your attack on a city or something like that, we are going to see the civilian pressures increasing with this kind of siege kind of operations,

and those are things that it's UH. It's hard for a resistance movement to to push back when it's those kinds of grievances that people are starting to feel, And that's the kind of squeeze that might put the pressure onto UH to try and try and change the dynamics. What kind of pressure could Russia feel from the moves we're seeing out of the White House and on Capitol Hill, we're hearing that Congress is getting closer to an agreement

on banning Russian oil imports in this country. Yeah, so we heard yesterday that Congressional leaders from both parties seem to be moving towards this, but I would emphasize that it's definitely not confirmed yet, and there's definitely difference among allies and how to move forward on the energy related sanctions. In particular, for the US, it's not quite as costly.

Are imports of crude in particular are quite low um as opposed to Europe, where you know, about a third, if not more, of some of their gas and oral imports come from Russia. So one thing that the Biden administration has been very clean on from the beginning is not wanting to divide allies. I think they're going to be cautious and how they do that, and also recognizing that not only will that inflate gas prices even further at home, but we'll also have some other knock on effects.

It'll push roush Usher closer to China, it could prompt Russia to cut off all gass and oil to Europe, and it also kind of forces the US and allies to look to other sources for that. I will supply, including Venezuela and other actors where they've already had sanctions before. So I would say there's a lot of political good will and I think for the right reasons, but there's a lot of moving parts around that that will need to be considered. So great to get your insights as always,

thanks for being with us this morning. Julie Norman, Professor and lecture on Politics and International Relations at University College London. Futures in the US have been fluctuating this morning. Right now they're pointing just a little bit lower with SMP futures little change to the downside right now, down futures down thirty two points. NAZDAC futures are lower now by

twenty three points. That's to drop a two tenths of one percent after yesterday sell off ten Your treasuries down sixteen thirty seconds down the yield one point eight three percent, yield on the two year one point five eight and NIMEX crude right now is up two point one percent of two dollars fifty four cents a hundred ninety three cents of barrel as the surge in crude continues. This is Bloomberg Bloomberg eleven three oh weather sunny, breezy, upper

forties today, light snow developing Tomorrow. Ending is light rain, late highs in the upper thirties. We'll be back near fifty by Thursday. Right now forty one in Central Park, broadcasting live from the Bloomberg Interactive Broker Studio in New York. Bloomberg eleving three to Washington, d C. Bloomberg on to Boston, Bloomberg one O six one to San Francisco, Bloomberg N sixteen to the country, sirius xm Cho one nine and around the globe the Bloomberg Business at and Bloomberg Radio

dot Com. This is Bloomberg Daybreak. It's five thirty on Wall Street. Good morning. I'm Nathan Hagar, and I'm Karen, Moscow. We're just about four hours away from the open of US trading. Let's get you up to date in the news you need to know at this hour. Beginning in Ukraine, Moscow is now threatening to cut off natural gas supplies to Europe. That's after a third round of talks between Russia and Ukraine failed to make progress. Bloomberg's At Baxter

has the latest. Russia says it has heard nothing from Ukraine that would make a change direction, and Ukraine's President Volatimer Zolensky, and an exclusive ABC interview, says Russia just wants to make threats and issue ultimatums and then talking about Vladimir Putin through a translator not the time, like instead of living in the informational bubble without oxygen. I

think that's why he is. And u S Secretary of State Anthony B. Lincoln has again rejected the play for a no fly zo and saying it could lead to widening the war in San Francisco, I'm at Baxter Bloomberg Daybreak. All right, ed, thanks, you also have developments on Russia. Out of Capitol Hill, Congress has announced the outline of a bill to bar imports of Russian oil to the US. The House can vote on the proposal as soon as

tomorrow Mall Street, Nathan. US futures are higher after yesterday's sell off, and we get the latest on the markets live with Bloomberg's John Tucker. John Karen. Sentiment has improved on the heels of our report that the European Union is considering joint bond sales to help counter the fallout from Russia's invasion. The possibility of further Central Banks stimulus is lifting risk appetite, and yesterday's session stocks were pummeled,

with a Nastac tumbling over three and a half percent. Meantime, the London Metal Exchange suspended trading in nickel after a short squeeze drove the metals priced to more than double Live in New York. I'm John Tucker, Bloomberg Daybreak. Okay, John, Thanks, there's more pain at the pump this morning. US drivers are now paying the most ever for gas. Average prices have hit four dollar seventeen cents a gallon. Triple A says that's the highest level in records going back more

than twenty years. Well as we're rageous in Ukraine. Nathan top us Intelligence officials are out with their annual threat assessment. It's a grim global outlook thanks to Russia and Shina. Bloombergs raid To Young joins US Live with the details. Good morning, Nida, Good morning Karen. The threat assessment says China is developing one of the greatest nuke lear weapons forces in history, while Russia will exploit every opportunity to

undermine the US and its allies. The nation's top intelligence chiefs will testify about their report before the House Committee today, but since it was written before Russian invaded Ukraine, lawmakers will likely press them for a more current assessment. Live in New York, I'm Ranita Young, Bloomberg Daybreak, al right, RITI to thank you. SMP Future is higher, up seven points, DAL Future is up thirteen, Nasday Futures up three and I'm straight ahead your latest local headlines plus the check

of sports. And this is Bloomberg. All right, Karen, Thanks Hi. Thirty three on Wall Street, forty one degrees in Central Park and New Jersey. Transit services suspended on the Morriss exist Gladstone branch thanks to the storms, while the workarounds coming up. In traffic. First, Michael Bars here with more on what's going on in New York and around the world. Michael, thank you very much. Nathan. Officials say Russian cyber attacks

against the US are a reality. The United States could be targeted it and retaliation for the sanctions levied against Russia for its invasion of Ukraine major cities like New York City, or beefing up security. Senator Kristen Gillebrand of New York says the level of risk is very high. Russia's military attack on Ukraine's cities and buildings have happened in conjunction with cyber attacks waged on Ukraine's critical infrastructure, from its banks to departments of government, and there's no

guarantee that those attacks will be limited to Ukraine. Senator Kristen Gillebrand. New York City Deputy Police Commissioner John Miller says the city is on ultra high alert. President Joe Biden plans to sign an executive order on cryptocurrency this week and a step toward regulating how digital currency is traded. Administration officials are concerned about Russia's use of cryptocurrency to evade the impact of crushing sanctions in response to its

invasion of Ukraine. The sanctions have sent the Ruble to historic lows. A bill is designed for designated for lynching as a federal e clock crime is headed to President Joe Biden's desk for his signature. The Senate passed the Emmett Till Anti Lynching Act Senate Majority Leader Chuck Schumer. After more than two hundred failed attempts to outlaw lynching, Congress is finally succeeding in taking the long overdue action

by passing the Emmett Till Anti Lynching Act. Senator Schumer says the bill is named after fourteen year old Emmett Till, who was lynched in Mississippi in nineteen In a victory for Democrats, the Supreme Court has turned away efforts from Republicans in North Carolina and Pennsylvania to block state court ordered congressional districting plans. The justices are allowing maps elected by each state Supreme Court to be in effect for

the twenty twenty two elections. 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. This is Bloomberg Nathan. Thanks Michael on Wall Street. Time for the Bloomberg Sports Update.

Here's John Stash Thanks Nathan. Knicks off the win Sunday in l A over the Clippers that ended the seven game losing Stig moved North, fell behind, and then last year's all star led them Backs can take their first lead to the game with a three. Granda lets it fly. It hits for the right wing and the Knicks swats down twenty have come back. They lead. It's Sacramento Randall at the left wing steps out great pointster got it. Julius Randall with thirty five points. He has matched his

season high. Nicks n have the calls. Knicks beat the King's one thirty one one fifteen. They scored forty four points to the third quarter. In Randolph, who was so good last year not nearly as good this season, finished with a career high forty six points. R J. Barrett had a twenty nine and Manuel Quickly had twenty seven. U B s areena wild third period, Colorado scored four goals in the span of just over four minutes, led

five to one. The Islanders rally, but the league lending Avalanche held on to wins five four Ols have lost five of the last seven. The Seahawks of Wagner College, with a win tonight in Smithfield, Rhode Island over Bryant College, will win the Northeast Conference Tournament in advance to the n C Double as Manhattan plays writer at the Matt Turney Atlantic City of the a c C Tournament pickings

tonight at the Barkley Center. Jets owner Woody Johnson now wants to buy Chelsea FC of the English Premier League, currently owned by a Russian oligard. Price tag said to me about two and a half billion dollars. If it's Tuesday, it must be time to cancel. Another week of the baseball regular season. Happen a week ago, and it will happen again tonight if there's no lockout ending lads, John

Stall and Bloomberg sport so optimistic. Thank you John seven on Wall Street time for the Tri State Business Report. Here's Bloomberg, said Cory. New Jersey Governor Phil Murphy says the state's considering action against dozens of Russian linked Luke oil gas stations. Last week, he signed a proclamation directing state agencies to review their authority is to spend licenses of Russia owned businesses or firms that directly invest in

firms tied to Russia or Belarus. Rents in New York rose thirty three percent between January twenty one in January two. That's according to the online listing side Apartment List. The increases about double the national rate and the highest increase among the one hundred biggest American cities tracked by the site New York City Subways. There's still only a little more than a half full two years after the pandemic,

rock the finances the biggest US transportation network. In an interview with Bloomberg, the head of the m t A says he's now preparing for a future in which millions of writers just don't return that your Bloomberg Try State Business Report. I'm Ed Corey. Thanks at five thirty eight on Wall Street. Bloomberg Radio is on the air from San Francisco to New York, London to Hong Kong. Let's check in with our global news team for some of the top stories heard on our three hundred affiliate radio

stations around the world. I'm Steve Polas had Ted ted Wins in New York. We're talking about how the flow of lattes on Wall Street reflects their work. Turn to the offers boost on the financial district. Um Corney's anaho on Keral Dan Dallas airlines are facing a dilemma over raising fares as fuel jumps. I'm Caroline Head called Bloomberg Dave Digital Radio in London. Wom reporting on UK petrol and diesel prices hitting a record as the war in Ukraine offense markets. I'm in Corey on w w J

and Detroit. I'm Repoarding and development team wants to convert an old picture body plant into apartments, retail and more. Those are some of the stories our twenty seven 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. Across the US, state and local officials have been putting forth high profile

plans to accept taxes in bitcoin. Meanwhile, the mayors of two major American cities have taken their salaries in cryptocurrencies. One can't help but appreciate the irony of officials rushing to embrace crypto A movement originally aimed at obviating the need for central authorities to be fair. The hype surrounding

blockchain technology isn't entirely unjustified. Properly regulated digital currencies could potentially make the financial system more resilient, but the state and local initiatives that issues seem mostly concerned with generating publicity and latching onto the current crypto frenzy. That said, there's nothing wrong with a bit of experimentation if it doesn't harm anyone and might induce some innovation. Just don't mistake it for the legitimization of a technology that still

has a long way to go. This editorial was written by the Bloomberg Opinion Editorial Board. I'm David Shipley. For more Bloomberg opinion, please go to Bloomberg dot com, slash opinion or opion go on the Bloomberg terminal. This has been Bloomberg opinion. You can hear Bloomberg opinion editorials every weekday at this time. Terminal customers can read more at op i end go and terminal customers may have seen these red headlines cross the Bloomberg a couple of moments ago.

Shell says it will stop all spot purchases of Russian crude oil and begin a phased withdrawal from Russian pipeline gas. And l n G Shall bought a cargo of Russian urals oil at a record discount last week. In a statement, Shell CEO is apologizing. Futures mixed. Now you're listening to Bloomberg day Break Bloomberg eleven three o weather sunny, breezy, upper forties today, light snow tomorrow morning, ending his light rain late tomorrow, upper thirties. We'll be back near fifty

and partly sunny by Thursday. Right now forty one 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 Flash and I'm Cameron Moscow. This update brought to you by s CI with an operating platform designed to support all major asset classes, diverse diges and investment vehicles. Sci is redefining wealth management. Learn more at sci c dot com.

Slash I m S. Stocks in Europe are rallying along with US stock index futures every after we reported that the European Union is considering joint bond sales to help counter the fallout from Russia's invasion of Ukraine. Bonds are dropping, the euro strengthening. We checked the markets every fifteen minutes throughout the trading day on Bloomberg SMP futures up fifteen points down, futures up seventy six. Nast day future is up twenty eight The decks in Germany's up about six

tenths of upper cent ten. Your treasury down twenty thirty seconds. You had one point eight four percent. They yield on the two year one point five nine percent. Nine meg Screwed oil is up two point nine percent of three dollars forty one cents at a hundred twenty two dollars. Eighty one cents of barrel comes called up eight tens per cent, or fifteen dollars eighty cents at eleven seventy announced. The euro one point zero eight eight two against the dollar.

British found one point three one to five. The ends at one fifteen point six zero. Bitcoin is higher, up a most three percent at thirty eight thousand, nine hundred dollars. That's a Bloomberg bus and slash. Now Here's Michael Barr with more on what's going on around the world. Michael Karen, thank you very much. As the Russian invasion continues, Ukrainian President Volodimir Zelinski hopes Russia will honor a ceasefire meant to establish a humanitarian corridor rather than break it again.

Over one and a half million people have already fled the country. Ukraine is demanding NATO imposed a no fly zone to prevent further civilian deaths, though President Biden opposes this, saying it risks direct conflict between NATO and Russia. According to Triple A, the average gas prices in the US at the pump are now more than four dollars seventeen cents per gallant. The record prices come as man surges and the war in Ukraine threatens global oil supplies. In

the NBA, the Knicks one, the Warriors lost. In the NHL, the Islanders lost, the Bruins lost to o t to the King's Three too Global twenty four hours a day on air and on Bloomberg Quicktake, powered by more than twenty seven hundred journalists and analysts more than twenty countries. Michael Barr, this is Bloomberg. Nathan Okay, Michael. Thanks, It's five forty nine on Wall Street Live from the Bloomberg

Interactive Broker studios. This is Bloomberg Daybreak. Let's get more now on the potential economic impact of the ongoing war in Ukraine. Jennifer Lee is with us now, senior economist at BEMO Capital Markets. Jennifer, it's always good to speak with you. And as we heard from Michael Barr, yes, gas prices are to record in this country. We're also seeing huge surges and other commodities like of course crude oil and the major spike in nickel wheat. So many

other assets are surging in price right now. What is the potential economic impact of all these major gains in prices? Well, good morning, Um, you know, I think they the impact is clearly going to be negative for for the US economy. Um. The good thing is that I will put up the positive respect is at least the US is coming from

a position of strength right now. So instead of you know, for example, we're gonna have percent growth that were we were expecting this year, we're probably going to look at slower growth. Still growth nonetheless, but clearly the impact of

inflation is going to have that damping impact overall. But as as but I will also point out that consumers we're gonna are going to be leaning on more of their savings, so at least they have that cushion um, which is uh, which is one piece of good news I think for this When you see gas prices moving this high, how does that affect other sectors of American spending power. Well, first, it's going to hit obviously, maybe the the the choice or the willingness to to drive.

You know, you can start seeing some pullback on that and decisions on you know, do I need to go to the store, or maybe I can get an extra few things while I'm there to save myself the trip um. But of course there's like it's it's not just gasoline as well, it's it's all the under energy that are used for business by businesses um. So you can you can probably potentially see some pullback on business spending, on on on capital spending, perhaps just because energy bills are

rising so quickly. I guess the question is going to be how long this can be sustained for? If this is going to be only another couple of weeks or whatever, And I don't know how the answer to that that would you know? Then then the longer term UM impact I think would be minimal, but for certainly on the short term, you know, even see a lot more choppiness in terms of decision making, in terms of spending as well. Do you think we're headed into stagflation in this country? Oh?

That that lovely words? So I remember some people we're already talking about stagflation, but for for totally different reasons, and I definitely shrug that one off. Now. I think, you know, it's it's a little bit more humbling now, but I think it is a possibility, something that would

certainly not dismiss. Maybe that is possible, I think for Europe for sure, um as a stronger possibility as it should say, But again the US is coming from stronger um basis of strength as well, so I think it is less likely but not unlikely, if I could be so vague, Okay, how does this all affect the FED and the path for interest rates? Does? Does the FED

need to act right now? I think right now they still need to and and that first meeting is coming to surround the corners just next week, so we still continue to look for basis points next week and uh, that's your power. Last week was extremely clear. I don't

think I've ever heard any central banker that clear. You know, when he was saying that you know that that he is going to be voting for a basis point rate hike, he said that he would not be adverse to fifty basis points at um at another meeting or meetings, And I thought it was interesting that you use the plural for meeting um. So I think that FED will continue to move forward again. Our base case scenario is still

for five basis points. So I've moved this year, but I think they're going to move a lot more cautiously. It's not a guarantee for sure. They're going to keep watching the data, watching markets to see, you know, how how quickly they should and how firmly they should move ahead. But interesting thing is that, you know, if um inslation, you know, could potentially break put the brakes on on economic growth a little bit at least um that might actually do part of the job's defense job for it.

Thank you as always, Jennifer. Good to have you with us. Jennifer Lee as senior economist at BEMO Capital Markets. Karen Hery, Nathan thank you at five fifty three on Wall Street. Time for our Bloomberg Law report. Let's get to the legal stories we're watching this morning from Bloomberg's Jeff Bellinger. In a decision that could affect thousands of defendants, the Supreme Court curbed mandatory minimum sentences and federal gun cases.

The High Court sided with the defense, and a dispute over what it means to commit crimes on different occasions. The e p A will look into whether a silicone chemical used in toys, autocare, and laundry products should be restricted in some way because of potential risk. The City of Los Angeles is suing Monsanto, charging that the company is responsible for widespread contamination of waterways. 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. All right, Jeff, thank you. Now. Another legal story we're watching brings us to the Supreme Court. It's refused to reinstate Bill Cosby's conviction for sexual assault, rejecting an appeal by prosecutors in Pennsylvania without comment that justice is left intact, or ruling that the state renegged

on an agreement not to prosecute Cosby. The eight four year old is released from prison last year after serving almost three years of a three to ten years sentence for more in the case. During Grosso speaks to Bloomberg News, Supreme Court reporter Great Store. What was the basis for

the appeal to the Supreme Court. Well, the Pennsylvania's Supreme Court throughout Cosby's conviction and what the court said was back when the first district attorney to look at the case decided not to prosecute, he put out a press release and according to the Pennsylvania Supreme Court, made a promise that Cosby wouldn't be prosecuted. Then in a civil suit, Cousby relied on that decision, according to the Pennsylvania Supreme Court,

and testified in that civil suit and incriminated himself. And then a different district attorney came along and said, I am going to prosecute and I'm going to use that civil testimony in the prosecution. So that's why the conviction was thrown out in the first place. And Pennsylvania prosecutors went to the U. S. Supreme Court saying that the Pennsylvania court had misunderstood the Fifth Amendment and the right against self incrimination, and that Cosby's reliance on this alleged

promise was not reasonable. This is a very fact specific case based on the very odd facts here. So that's not the kind of case that the Supreme Court would normally take. Yeah, and that maybe why the Supreme Court that I not to take up the case. They may well have agreed with that assessment. From the standpoint of the prosecutors. They said, the legal question here was that the Pennsylvania Court did not require Bill Cosby to show that his reliance on the statements of the district attorney

was reasonable, And they say that's a legal air. The courts should have required a showing that that caused me acted reasonably. But we don't know what was said by the district attorney to cause these lawyers beyond the press release. Certainly what caused these lawyers argue, what the Pennsylvania's Supreme Court found was that it wasn't just the press release that he was relying on. That there was evidence that there was indeed an agreement that he wouldn't be prosecuted.

And the motivation they say for that agreement was that the district attorney has decided that it would be better to let the civil case go forward rather than hold the possibility of prosecution over Causby's head and thus keep them from being able to tell to fy in that civil case. And that's Bloomberg News Supreme Court reporter Greg

Store speaking with June Grosso. Catch more of that 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. Again, Futures are on the rise this morning, with SNP future is up eighteen points down, futures up a hundred, nasday futures up thirty three, the ten year treasury down eighteen thirty seconds, the yield one point eight three percent, and the yield on the two year one point five nine per cent, and still ahead. On Bloomberg Day Break, a check on the business headlines and all the news you need to start your day. This is Bloomberg