Bloomberg Daybreak: May 10, 2022 - Hour 1 (Radio)

to deliver a speech on combatic inflation. Connecticut's governor signs a budget with hundreds of millions and tax cuts, plus demand hunt where murder suspected and Alabama corrections officer is over. I'm Mikey Blarer. More ahead, I'm John Stashed in sports Nightmare night for the Rangers. They lost Game four in Pittsburgh seven to two. The Yankees top Texas one to Nuppie. That's all s trading ahead on Bloomberg Daybreak on Bloomberg.

He live in Free on New York Bloomberg one, Washington, d C, Bloomberg one oh six one, Boston, Bloomberg nine sixties and Francisco Sirius x M one nine team and around the world Old on Bloomberg Radio Dot Carmen via The Bloomberg Business. Hey, good morning, I'm Nathan Hager and I'm Karen Moscow. US DOT index futures on the rise this morning. We're coming up to five o one on Wall Street, and we check the markets every fifteen minutes

throughout the trading day. On Bloomberg. Right now, SNP futures are up forty two points. Dal future is up three hundred and NASDACK futures up one hundred ninety four or one point six percent. Ten year treasury of three thirty seconds the three point zero two percent, and the yield on the two year two point six zero percent. Nathan Well, Karen. This rise in futures follows the lowest close for US stocks in thirteen months. Hardest hit continues to be the

tech heavy NASDAC. That index slid another four point three percent. The NASTAC one hundred has erased three point four trillion dollars since the start of April. Aaron Kennon is CEO at Clear Harbor Asset Management. You know, we're continuing to see a dramatic sort of leakage of liquidity from the capital market system, as the Fed uh titans policy and as the fiscal weavers very much close off, and inflation

is a huge concern clear heartbreas said Managements. Aaron Kennon says tomorrow's inflation report, the consumer price index will be important for market sentiment. Well before we get that data, Nathan, we're seeing heart evidence of price pressures at the gas pump. The average retail price of gasoline has hit her record four dollars and thirty seven cents per gallon. President Biden will have more to say about his effort to combat

rising prices and his speech today. We get a preview from Amy Morris in our Bloomberry one newsroom in Washington. President Biden is expected to detail the differences between his plan and a GOP proposal by Florida Senator Rick Scott that would raise taxes while allowing Social Security and Medicare to expire. Consumer prices rose in March at the fastest pace since nine one, and of Americans increasingly pessimistic about their finances despite strong job growth. It's the biggest worry

for voters ahead of the November midterms. A CNN poll out last week found eight in ten Americans don't believe the government is doing enough to fight inflation. In Washington, I maybe Morris Bloomberg Daybreak, Amy, thank you and President Biden will deliver that speech around eleven thirty am Wall Street Time. Catch it right here on Bloomberg Radio. I meantime caring. The Federal Reserve is warning of deteriorating liquidity conditions across key financial markets. We get the details from

Bloomberg's Charlie Hellett. In its semi annual report, the FED sites rising risks from the war in Ukraine, monetary tightening and high inflation. The FED said, according to some measures, market liquidity has declined since late one in the markets for recently issued US cash treasury securities and for equity

index futures. FED Governor Lyle Brainerd said the war has sparked large price movements and margin calls in commodities markets, and highlights of potential channel through which large financial institutions could be ex bosed to contagion in New York. Charlie Pellett, bloom Road Daybreak. All right, Charlie, thank you. We'll have more from the FED later this morning when we speak

live with Cleveland Fed President Lauretta Mester. That's coming up at eleven am Wall Street Time on Bloomberg Radio and television. We are seeing some stabilization in the Marcus this morning, Nathan, and let's start with a look at Europe, where Bloomberg's You and Pots is standing by Live in London. Good morning you, and good morning Kardon Nathan. You have being stocks back in the green today, the stops under trading up one percentage point. That's as dip buyers emerged from

the ruins of Monday's brutal route. Still plenty of concerns about inflation and economic growth, though, but nineteen out of twenty industry groups higher on Europe stocks the hundred today, with banks, carmakers, and chemicals companies near the top of the table. Live in London, I'm you in Pots. Make date right, okay, you and thanks. We did see selling in Asia overnight. Stocks fell there for a seventh straight session, but did pair earlier losses. Let's get the recap from

Bloomberg's Juliette Sally in Singapore. Good morning, Juliet, Good morning nath and Karen. The losses on the m c I Asia Pacific Index mirrord the longest losing streaks since March twenty twenty, Stokes remaining at July twenty twenty lows. Hong Kong Tech shares took a dive on growth concerns, and

as the city resumed trade after a long weekend. Mainland Chinese has rebounded, but black Rock abandoned its bullish stance on China, now recommending a neutral stance on Chinese stocks and bonds as the country's response to the pandemic takes its home in Singapore. Juliet Sale Bloomberg Daybreak, Juliet thank you. Bitcoin trading higher this morning after briefly falling below the thirty thousand level. The recent plunge has taken a digital token to levels last seen in the middle of last year.

Like Nova grass Is, founder and CEO of Galaxy Digital, I still think thirty thousand should hold, right, We'll see if twelve thousand holds of the NASDAC and we bounce in the next few days, then I think you'll see bitcoin thirty thirty thousand hold. If the NASDAC falls and we head towards eleven thousand, you know there's a shot that thirty thousand goes. Digital founder Mike Novgrad says trading will be volatile for at least the next few quarters.

In checking bitcoin right now, it's at seven. Turning to the war in Europe now Karen. President Biden plans to meet with Italian Prime Minister Mario Dronki today as aid to Ukraine moves forward on a couple of fronts. Bloomberg's at Baxter has the story. Congressional Democrats have drafted an aid package worth almost forty billion dollars and plan on voting this week without attaching COVID pandemic funding. This tops

the president's ask of thirty three billion. Biden meanwhile signed a World War two era provision sending money to Ukraine across to the fight is not cheap, but aggression is even more. This provision was enacted in one to help Europe fight off Hitler. Congress could act as early as today. In San Francisco, I'm at Baxter, Bloomberg daybreak, al right, thank you, S and P. Futures right now up forty two points down, futures up three hundred two nastact futures

higher by a hundred ninety two points. The tenure treasury is up four thirty seconds. Yield three point zero one percent on the tenure note. Yield on the two year two point six zero per cent. Straight ahead, your latest local headlines plus a check of sports. This is Bloomberg kicks out five oh seven on Wall Street where at fifty three degrees in Central Park. Already seeing a couple accidents northbound FDR Drive, one at ninety six another and

a hundred sixte more coming up in traffic. First Michael Barr with more on what's going on in New York and around the world. Good morning, Michael, Good morning Nathan. Connecticut tax payers will see six hundred million dollars in tax relief following the signing of the fifth school year three budget by Democratic Governor Ned Lamont. The law extends a gas tax holiday and gild tax credit, as well as increasing a property tax credit. Lamont described it as

the largest tax cut in state history. Voters in Newark, New Jersey, are choosing a mayor today. Incumbent ros Baraco will face a challenge from Sheila Montage. The Alabama corrections employee who was on the run with an escaped inmate, is now dead. Authorities in Indiana say Vicky White shot herself as U S Marshals closed in. Officers ran the vehicle Vicky White and Casey White Ryan, which then crashed. Alabama Sheriff Rick Singleton says that Casey White is never

getting out again. We got a bangers man off the street today. He is never going to see the lot of day again. And uh, you know, that's a good thing for not just our community, but that's a good thing for this country. Sheriff Singleton says this has ended a very stressful week and a half. New York's Attorney general says her state will safeguard the right to abortion

if the Supreme Court overturns Roe v. Wade. Latitia James says about thirty thousand women just from Pennsylvania and Ohio alone could come to New York seeking reproductive care, so a fund will be established that James says will help those winn James also cast out on why anti abortion activists support bans on abortion. What they should do is expand the childcare tax credit. What they should do is

expand universal school lunch. What they should do is provide more funding for education and childcare and daycare and prenatal care, and the list goes on and on. If you truly care about children, A. G. Latitia James. Andy Warhol's shot Sage Blue Maryland has sold for a hundred million dollars that makes the iconic portrait of actress Marilyn Monroe the most expensive artwork by a U S artist ever sold at auction. Christie's Auction House in New York held the sale.

Alex Rotter, as chairman of Christie's twenty and twenty one Century Art Department, century Um Works of Art, American Works of Art. It's the highest price ever paid, close to two hundred million dollars. Uh, let it sink in. It's quite something. Rodder with Christie said. An unknown buyer made the purchase. Global News twenty four hours a day on air and on Bloomberg Quit take Power by more than seven hundred journalists analysts more than twenty countries. Michael Barr,

this is Bloomberg, Nathan. Thanks Michael. Almost five ten on Wall Street. Time for the Bloomberg Sports up. Take morning. Johns Sesshire, Good morning, Nathan. The Rangers in Pittsburgh with hopes of winning Game four to tie the series at two. Instead, the Penguins, without five goal onslaught of the second period. They scored goals twenty four seconds apart, and later scored goals thirty five seconds apart. They won seven to two, leave the series three one game fives tomorrow with the

Garden Rangers. Coach Gerard Gallant has already said igor sh Turkin will be in the Ranger goal A little surprising considering how poorly Shisterkin played in the two games in Pittsburgh and three periods he gave up ten goals. Alex Gorgy have relieved him in both games and three periods he allowed two goals, But Gallant said last night just Turkin is the best goalie in the NHL. Colorado won in Nashville to complete a series sweep. Florida beat Washington,

and overtime Calgary beat Dallas. Those series are tied at to the Islanders. Wired coach Barry Trots NBA playoffs Boston rally to win in Milwaukee, Golden State beat Memphis. Far as crowd at the State and there was a Yankee mattenee makeup of a rain out. Those that were there saw near no hit or Nest Cortez lost it with one out the eighth inning, kind of like fifth going into six. I kept, uh looking at the scoreboard, Uh, I see where my pitchcont was and stuff like that.

So and it was in a good spot and and you know noticed that I didn't get up a hit, so uh you know it was. It was special when he scored the game's only run, bottom of the eighth riven in a double by Anthony Rizzo. They top Texas Onondon up, and they've won thirteen to their last fifteen. The Giants tried to trade quarterback James Bradbury. Instead, they released one of their best players. They had to for

salary camp reasons. John Dash went ballooon birth sports, Nathan, Thank you, john S andp futures right now at forty five point. Staff futures up three to twenty three. Nastack futures up two hundred four points, bit a relief after the five weeks slide for US stocks. We'll talk about this market next with Daniel Morris of BNP Party by Asset Management. This is Bloomberg Blomber eleven three oh weather, sunny, breezy, upper sixties. Today will be mostly sunny with a high

near seventy Tomorrow, sunshine mid seventies by Thursday. Right now fifty three degrees in Central Park. Markets, headlines and breaking news twenty four hours a day at Bloomberg dot Com. The Bloomberg Business attend at Bloomberg Quick tape is a Bloomberg business flash and I'm Karen Moscow and US DOT index futures are rallying this morning along with European shares

as DIF buyers emerged following yesterday sell off. Sentiment does remain fragile over concerns about inflation and economic growth, and we checked the markets every fifteen minutes throughout the trading day on Bloomberg. SNP futures up forty six points this morning, Down futures up three twenty four NASDACK futures up to two hundred four or one point seven percent. The decks in Germany's up one point seven percent. Ten. Your treasury up to thirty seconds, he had three point two percent.

They yield on a two year two point six zero percent nin Max Screwed oil is down three tents percent or thirty one cents at a hundred two dollars seventy four cents of barrel comex school there is up a quarter percent or four dollars fifty cents at eighteen sixty three. Ten announce the euro one point oh five six nine against the dollar and again one thirty point to four. 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. Ukraining and officials say Russia is pounding away at Ukraine's vital southern part of Odessa. Meanwhile, President Biden says he's worried that a Russian president Putin doesn't have a way out right now of his war in Ukraine. NBA Playoffs, the Celtics beat the Bucks to even their series of two games apiece. The Warriors beat the Grizzlies. However,

Warriors coach Steve Kerr tested positive for COVID. In the NHL playoffs, the Rangers lost to the Penguins fall behind three games to one. Capitals lost to the Panthers. In baseball the Yankees Orioles Giants. And He's all One Global News twenty four hours a day on air and on Bloomberg Quick Take, powered by more than journalists antilists more than a hundred twenty countries. Michael Barn, This is Bloomberg. Na. Okay, Michael, thank you. It's five nineteen on Wall Street Live from

the Bloomberg Interactive Broker Studios. This is Bloomberg daybreak and Daniel Morris is with a snout, chief market strategist at BNP Party Bough Asset Management. As we look at green on the screen for a change this morning, Daniel, good morning. Are you buying this dept? Good morning. We haven't changed our allocations recently. Generally, we're still slightly underweight on equities, a little bit cautious. We see too many things that could get worse as opposed to getting better in the

air term. Well, let's dive into some of those things. I mean, inflation has got to be front and center. Is that front and center for you? Well, I think what was quite curious about what happened with this last journey season. As you've justus looked at the figures objectively, they were pretty good. Growth was was good, surprises were positive, Guidance was was average. But in this environment that's actually

not so bad either. But in contrast what we had in the first quarter when earning this came in market started rebound, we really didn't see that this time. So I think that signals kind of the really fundamental shifting sentiment, which is, as you point out, link to inflation and really primarily linked to what the central banks are going to do what the FET is going to do in

response to that inflation. So we're focused on the risk from rates, particularly the risk of growth stocks from rising real yields, and we think that particular phenomenon has not played out yet. Are you seeing signs of peak inflation? Well, it should on a headline basis be peaky now, But that's not particularly comforting because what we're really worried about is certainly but the central banks are worried about, you know, is core inflation. And it's if you look, for example,

at core rates in the US versus say the Eurozone. Uh, this is where you see a real distinction in kind of the analine neck on mcdynamics right now. Headline inflation because the bottlenecks because of energy is high pretty much everywhere, but cor inflation is much higher in the US, you know, driven at this point, I would argue, at least partly by the physical stimulus that we had. Of course, there's just fundamentally too much demand right now relative to the

productive capacity of the U S economy. That's pressure in wages that's going to worry the central bank, and that's why you're expecting a much higher and more rapid increase in rates in the US than you see in the europhone do you think that the FEDS front loading of rates is going to have an impact on where inflation goes from here? Well, I mean that's remains the key unknown, both for for US as investors and for the FED. Is the central bank? I mean really that the bed

in now? Is that the tightening that they have planned, And of course we're still relatively speaking and fairly accommodative monetary policy. We're just trying to get back to neutral for a start. That with the rollover of a lot of these honestly transit or effects be it from energy, being from supply chain bottlenecks, that reduces some of the pressure.

And then with the increase in rates, hopefully you start to see the wage gains moderate, because you just can't have five to six per year and your wage grains when you want to have a two percent inflation target. So if between now and say the autumn, you start to see that moderate, then we're going to be okay.

But that's going to be watching more than anything else, those wage figures, and if they don't come down enough, then there's going to be the concern the market est price and yet for their hikes beyond what we already have been. As we do see rates begin to go up, Daniel, what is that going to mean for tech stocks? We've seen that sector in particular get hit pretty hard as the market tries to digest what the rate environment is going to mean in the next few months. Yeah, well, easy, come,

easy go. If you look back at where pees were prior to the pandemic around you know, two times we peeked at about thirty one times, and you know, anyone at the time, hopefully it wasn't trying to say, oh that's okay, that's rational. It's different this time. So now with the sell off, really just back to where we were pre pandemic, and that made me enough, you know, whether we naturally get peased honestly cheap levels that would

certainly be far lower from here. You know, we got to remember, if you're at fair valuations now for tech, which you know is in and of itself a question, but you still should have much stronger earnings growth in growth stocks kind of by definition, and're gonna have in other parts of the market, and that really should, you know, play out enough over time that you you still anticipate a positive return. It's just whether or not you want to be clever. If you will and anticipate for their

faults and valuations, you know that is possible. I mean, real yields are now back to about zero percent for ten year, which is a big move. That's what's driven the falling valuations on growth stocks. But you could see another fifty basis point right. So, like I said, this hasn't played itself out completely yet. In our last thirty seconds here, Daniel, what do you make of the surge

we're seeing in European stocks this morning? Don't? Doesn't You're still face a lot of headwinds from the war Ukraine and the sensitivity to commodity prices. Absolutely, and you know, we had kind of the bounce back a couple of weeks ago, which we were skeptical about. We'd be skeptical about this one because if we look at the horizon from here, yeah, again we just see further headwinds because because of the conflict. If you look at our ins provisions,

they've actually been relatively robust. We don't really believe those numbers and they have the thing to keep in mind, you know, if in your the euro Zone, you get the same type of rage fresh as you're having in the US. You know the phenomenon of expectations for rising policy rates that's going to translate to Europe and we're seeing now in the US with that denst Equities, Thanks Daniel, good having you on with us this morning. Daniel Morris,

chief market strategist at BNP Party BA Asset Management. Right now, SMP futures are higher by forty two point, Staff futures up two, Nasdaq futures up one nineties six points. Just ahead, more on this volatile market and President Biden putting a focus on inflation. To stories of the morning just ahead on Bloomberg day Break. Bloomberg day Break brought to you

by the New York Community Trust. Your name will live on as a champion of the causes you care about for years to come through a charitable bequest to the New York Community Trust. To learn more at Philanthropist dot NYC. Broadcasting live from the Bloomberg Interactive Broker Studio in New York.

Bloomberg E Living Freedom to Washington, d C, Bloomberg to Boston, Bloomberg one O six one to San Francisco, Bloomberg M sixteen to the country, Sirius XM to the one nineteen and around the globe, the Bloomberg Business and Bloomberg Radio dot Com. This is Bloomberg Daybreak. It's five thirty on Wall Street. Good morning. I'm Nathan Hager 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 on the news.

You need to know what this show. US futures are higher a day after stocks closed at their lowest level in over a year. Then ast XL four point three percent yesterday and has erased over three trillion dollars since the start of April. Dan I've, senior equity analysts at wed Bush Securities, believes the Tech heavy index is adjusting as we move past the pandemic. Long term, it's healthy, it's painful in the near term. You got to separate the work from home commerce profit list tact that's down

se versus RAB views more than high quality stalwarts. Where we continue in terms of cloud software cyber security exposed names, Dan I've said. Wedbush Security says there could be more pain ahead for TAC despite a strong long term outlook well overall, Karen, investor sentiment does remain fragile. With inflation running hot. The FED is warning of deteriorating liquidity conditions

across several markets. For more on the central bank, stay tuned for an interview with Cleveland FED President Loretta Mester that's coming up live at eleven am Wall Street Time on Bloomberg Radio and television. Well, Nathan, the pain at the pump continues. The average retail price of gasoline hit a record high this morning, four dollars and thirty seven cents a gallon. President Biden will discuss plans to curb

rising prices later this morning. Tune into Bloomberg Radio at eleven thirty Wall Street time to hear the president's full speech. Well Overseascaren, European stocks are higher, while the open was sharply lower. For Asia markets, Mainland Chinese shares rebounded, but black Rock and abandoned It's bullish China call amid COVID lockdowns.

Shares in Hong Kong, Japan, and South Korea all slumped, and Nathan, as the dollar halts its three day rally this morning, Bitcoin is rebounding after it fell below thirty thousand dollars. Billionaire crypto investor Michael nova Grass remains bullish on the token, but warrants a more volatility while the short term you know outlook is painful and it's and it's gonna be like I said, volia with the rest of assets as the FED adjusts from free money to

normalized conditions. I really do still see this as a very exciting asset class. Flexi Digital founder Michael Novergrat says bitcoin could dip further if the NASDAC continues to slide. In Bitcoin currently trading at thirty one four hundred dollars, and turning to the war in Ukraine, Karen Congress has drafted an aid package worth close to forty billion dollars. At the same time, President Biden has signed a measure making it easier for Washington to send weapons and supplies

to Ukraine. The war is now in its tenth week. SMP Future is up forty two points. Straight ahead your latest local headlines plus a check of sports. This is s Bloomberg. It's now five thirty three on Wall Street, fifty three degrees in Central Park. Still dealing with two northbound accidents on the FDR Drive gets in the details kind of con traffic. Michael Barr is here first with more on what's going on in New York and around

the world. Michael Nathan, thank you very much. Connecticut Governor at the Mont calls it the largest tax cut in state history. Connecticut tacks figures will see six hundred million dollars in tax relief following Lamont's signing of the law on the fiscal year. The law extends a gas tax holiday and child tax credit. It also increases a property

tax credit from two hundred to three hundred dollars. Attorney General Letitia James has New York state will safeguard the right to abortion if the Supreme Court moves to overturn Roe v. Wade. James says that women in state will be protected. New York obviously is a compassionate state, a state that cares about others in a state that recognize recognizes that if one individual um is not free, than

all of us are not free. A g. James also says about thirty women just from Pennsylvania and Ohio could come to New York seeking reproductive care, so a fund will be established that James says will help women from out of state authorities say a former Alabama jail official has died and the murder suspect she is accused of helping to escape has been apprehended. In Evansville, Indiana, the two fugitives were on the run for more than a week.

They were called after US marshals pursued their vehicle and then crashed into it. Officials say Casey White surrendered and Vicky White shot herself. She died from her injuries. Lauderdale, Alabama County Sheriff Rick Singleton on Casey White, he wore a fan, hand cuff and cackles while he's in there, so he wants to see me for l like you said, Well right, so be it. He's not getting out this jail. Ye Sheriff Singleton says they got a dangerous man off

the street. South Korea's new president has used his inauguration speech to push for a solution with North Korea. Un Sukyo plans to help transform the North's economy if it genuinely begins a complete denuclearization. Ferdinand Marcos Junior one a landslide victory and the Philippines presidential election. It brings his family back to power in Manila, thirty six years after

his dictator father fled the country. Global news twenty four hours a day on air and on Bloomberg Quick Take, powered by more than twenty seven hundred journalist and analysts more than a hundred twenty countries. I'm like bar, this is Bloomberg, Nathan. Thanks Michael on Wall Street. Time for the Bloomberg Sports Update. Here's John Stans shown Nathan. What's happened to the Rangers after a fifty two win regular season.

They played the Penguins three times in a two week span late in the year, and they won all three. But they've lost three or four in the playoffs. And it was seven to two last night the Penguins with seven different goal scores. They scored five times in the second period twice, they scored twice in a span of less than a minute. Rangers are a young team. Coach jar Gerard Gallant was asked if that's the reason for

the postseason struggled. They wouldn't use the word in experience, I've used the word not committed to play in the right way, you know, I mean we played the right way in uh in New York. There's nobody can want to get way play the right way to night. And it's not from the inexperienced guy either. I mean, they're

they're part of our group. But tonight you've seen a lot of a lot of stuff fed played by a lot of people or Sister In the regular season, a looted an average of just over two goals per game. He played three areas in Pittsburgh, gave up ten goals, and yet Gillan says he's sticking with Sisterkin for Game five tomorrow with the Garden. When lou La Morello ran the Devil's he had a history of making coaching changes. He now runs the Islanders, and he just fired Berry.

Trots who want to Stanley Cup and Washington had playoffs success with the Isles, They missed the playoffs. This past season. NBA Golden State played without its coach, Steve Kurt tested positive. Mike Brown just named the new coach in Sacramento. He coached the Warriors to a win over Memphis. Boston won in Milwaukee. Yankee bats for quiet, but Nestor Cortez with nasty was five outsome and no hitter. Yanks finally broke up a scoreless game eighth inning. They meet Texas one

to nothing. The Giants, for salary cap reasons, forced to release cornerback James Bradberry past two seasons, he was one of their best players. John Stashward Bloomberg Sports Nathan. Thanks John. It's seven on Wall Street time for the Tri State Business Report. Here's Bloomberg's head Corey. New York State is having pressure on meat companies, already facing heat in Washington for elevated prices. Tyson Food says it received his subpoena in April from the New York Attorney General's Bureau of

Consumer Frauds and Protection. It was seeking information regarding sales prices and production costs of beef, pork, and chicken products. A seat in a blue Origin New Shepherd space capsule was auctioned for eight million dollars last night. The high bidder Ken Griffin, founder of hedge fund Citadel. You will donate the spot to a New York City school teacher. Monday's event at Manhattan's Javits Center raised a total of one D twenty six million dollars for the Robin Hood Foundation.

Well the New Jersey Seafood Festival in bel Mar's coming back for the first time in a couple of years after a long COVID hiatus. Celebrating its thirty fifth anniversary. The festival takes place from Friday May twenty through Sunday May twenty second. That your Bloomberg Trying State Business Report. I'm Ed Corey. Thanks that it's 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 of Philly at radio stations around the world. I'm Corney's Anahoe on Carol Dan Dallas, fuel costs soaring into summer looks such as Squeeze consumers him Gina Servetti in for w BBM in Chicago. I'm reporting the Kraft Hynes is taking steps to make it sketch up models, more eco friendly files Matteo and I'm w b Z in Boston. I'll be reporting on a big break up

in the dating app world. I'm Stephen Carol and Bloomberg d a B Digital Radio in London. We're reporting on Prince Charles standing in for the Queen at the State opening of Parliament. Speech laying out the government's legislative agenda as Boris Johnson hopes to reboot his premiership. I'm bed Corey on w T A M. In Cleveland. I'm reporting the Cavaliers finished fifteenth in the ranking of the Consco. Taking a family of four to a basketball game. Come on.

Those are some of the stories our twenty sevendred Bloomberg journalists and analysts working on this morning around the world. It's thirty nine on Wall Street. The following is an editorial from Bloomberg Opinion present By wants to make it easier for Russian scientists, engineers, and tech workers to move to the US by temporarily suspending the need for a sponsoring employer. It's a smart and long overdue move. Even before the war in Ukraine, Russia was short at least

five hundred thousand tech workers. The invasion has led to further brain drain. By accelerating departures from Russia, Washington would a road President Putin's ability to fight abroad and undermine his repressive machinery at home. Helping Russians with coveted skills to resettle would also benefit the U. S economy, which in the past has gained from similar efforts. Professional migration is a powerful tool that makes the most of US

soft power in time. Similar policies are worth considering for other troublesome governments left vulnerable from brain drains. Human capital, after all, is the hardest to replace. 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 opia and go on the Bloomberg terminal. This has been Bloomberg Opinion. Listen for Bloomberg opinion editorials

every weekday. At this time, terminal customers can read more at op i n Go. Futures moving higher On this Tuesday morning, you're listening to Bloomberg Daybreak Bloomberg eleven three oh weather sunny, breezy, upper sixties today, will be near seventy and mostly sunny tomorrow, mid seventies by Thursday, currently fifty three degrees under a clear sky in cent Blopart markets headlines and breaking news twenty four hours a day at Bloomberg dot Com, the Bloomberg Business atand at Bloomberg

Quick Tape. This is a Bloomberg business Flash and I'm Cameron Moscow. You want to knock. Index futures are rallying this morning along with European shares as dip buyers emerge following yesterday's sell off. We checked the markets every fifteen minutes throughout the trading day. On Bloomberg, U S and P futures forty one points down. Futures have two hundred seventy nine at ASDAG futures have one hundred ninety nine.

The decks in Germany's have one point six percent. The ten year treasury up five thirty seconds three point oh one percent. The yelled on the two year two point

five nine percent. NIMEX screwed oil is down nine ten percent, or ninety four cents at a hundred two dollars fifteen cents of barrel comics called up a tenth of a percent or two dollars thirty cents at eighteen sixty ninety announce the Euro one point oh five five six against the dollar, British pound one point two three to six the end at one thirty point one seven, and Bitcoin this morning is higher at thirty one thousand, five hundred

twenty five dollars. That's a Bloomberg Business Flash. Now here's Michael Barrow with more on what's going on around the world. Michael Karen, thank you very much. President Joe Biden signed into law measure designed to make it easier for the US to send weapons and supplies to Ukraine as the country continues to fight all for the Russian invasion that began in February. For the first time in more than sixty years, Queen Elizabeth will not attend the opening of Parliament.

In the NBA Playoffs, the Celtics beat the Bucks to even their series of two games apiece. The Warriors beat the Grizzlies. Warriors coach Steve Hurt tested positive for COVID. In the NHL Playoffs, the Rangers lost to the Penguins to fall behind three games to one. The Capital's lost

to the Panthers. Baseball the Yankees Orioles Giants, and as all one Global News twenty four hours a day on air and on Bloomberg Quick Take, powered by more than twenty seven hundred journalist and analysts more than twenty countries. Michael Barr, this is Bloomberg. Nathan Okay, Michael, thanks for coming up to five forty nine on Wall Street Life from the Bloomberg Interactive Brokers Studios. This is Bloomberg Daybreak

with a focus on inflation this morning. That's where President Biden's attention will be as he prepares to give a speech later today on arguably his most politically difficult issue just about six months before the mid terms. Lemberg Washington corresponded, Joe Matthew is with us this morning, host of Sound

on Here on Bloomberg Radio. Joe, good morning. We knew that the President was going to be delivering this speech later this morning, but it is very tough to overstate the difficulties that the president faces when it comes to getting voters minds on where he plans to take inflation, what he plans to do about it. Well, that's for sure, and it's not a new topic, of course for this

White House. Nathan. It's got to the point where it doesn't really matter what topic the President is discussing, from the war in Ukraine to any domestic issue, it's typically through the guys through the prism of inflation. And we got a bit of a preview of this speech last week.

As you might remember, the President was talking about deficit reduction, touting his administration's efforts in that area as a tool to lower inflation, and he took time to contrast his administration's approach to the economy with what he calls the ultra Maga agenda. Interesting to hear him make that pivot last week, that that refers to the economic proposals put forth by Republican Senator Rick Scott is kind of an

alternative in this midterm cycle. Here the White House that says, the President will call out Republican plans again, and we expect a more deliberate cataloging of you know what the administration has already done to fight inflation over the past

nine months or so. Remembering this goes back, uh quite some time before the war in Ukraine, releasing oil from the strategic reserve, pushing ports on the West coast to work seven the president, though, it's also going to call on Congress, Nathan, and this is where you're gonna say deja vu, to do more with proposals to lower prescription drug prices, extend the child tax credit, move to more

renewable energy sources. These were all components of the Build Back Better plan, of course, that never got through Congress. It sounds like we're gonna be hearing about them again today. And those are components show that Republicans would argue might be adding even further fuel to inflation on the fiscal side. That's right, and the White House antimately disagrees with that. They see this as an effort to lower inflation, whereas

Republicans say it's the very opposite. And this is why things got so bogged down at the end of last year. And you know, Nathan, now that we're in the throes of of primary season, the job gets a lot more difficult. Case in point, the Ukraine funding that the President had requested, asking for thirty three billion dollars. Democrats are now basically dropping the idea of attaching COVID response funding to that bill, and the President had to make that clear. It was

something he was recommending. But it's gonna bog this down, it might keep it from passing, so to make sure it gets done, it looks like this will be a clean bill. That's how difficult it is to move legislation in Congress this season. Do we have a sense, Joe about how voters feel about the Republican plan to tackle inflation? We know where sentiment lies in terms of how they feel about prices right now, but in terms of the plans, do we have any idea where voters stand on where

the Republicans are, where the Democrats are. It's a little bit difficult to say on this. I mean, we have seen polling, uh that makes it clear that a vast majority of Americans actually do not believe the government is doing enough to fight inflation. When it comes to to Rick Scott's plant specifically difficult to tell. I mean, this is a proposal from someone who is not actually a

leader of the Senate. But it's interesting that it's getting the attention of this White House because the White House says it will raise taxes on seventy five million Americans and will sunset or at least offered a sunset programs like Social Security, Medicare, social programs that will need to be re upped every five years. This is something that

the President has spoken passionately about. He even raised his voice talking about the outrage here for people who have been, you know, contributing to Social Security for the balance of their lives. So the White House season opportunity here to your point six months ago, to start drawing the distinctions, and frankly, Nathan, if you talk to political analysts, that may be a bit late for that. And we'll be

hearing the president's speech live. It's set for around a eleven thirty a m. Wall Street Time will have it for a here on Bloomberg Radio. Bloomberg Washington correspondent Joe Matthew with us ahead of that this morning. Joe, thank you, Karen Nathan. It is five three on Wall Street Time for the Bloomberg Law Report. Let's get to the legal stories we're watching this morning from Bloomberg. Jeff Billinger hipartisan bill passed by the Senate would provide security to family

members of Supreme Court justices. The measure was passed after protests over abortion rights were staged outside the homes of some justices. Activision Lizard asked the court in Los Angeles to toss out a lawsuit in which the State of California accuses the GameMaker of discrimination and sexual harassment against female employees. Connecticut taxpayers will get six hundred billion dollars in tax relief for the twenty three fiscal year under

a budget signed by Governor Ned Lamont. Bloomberg Law Everything you need, all on one legal research platform, including Guidance Analysis and Bloomberg mark at Intelligence. Find out more at Bloomberg law dot com. All right, Jeff, thank you. Now, another legal story we're watching now that the Supreme Court appears to be willing to revisit and likely reverse presidential cases like Roe v. Wade, Texas Governor Greg Abbott is

proposing challenging another precedent. Abbott says Texas will resurrect a forty year old Supreme Court case Plyler v. Do that established the right of all students to a public education, whether they are here legally or not. For more, Bloomberg student Grosso speak to Leon Fresco, a partner at Holland and Night, tell us about Plyler versus Dough, which has been on the books for forty years. Flyler was a very close decision. It wasn't a slam dunk by any means.

And what the court ultimately did and this was sort of a very difficult decision in terms of precedents that would be re examined, as they said, well, first of all, we're not going to declare a fundamental rights to it a occasion, because then you sort of engender that they are all these losses then about funding and kids in certain places not getting as much funding as kids in other places. So they didn't want to go down that run, and so instead they said, this is an equal protection violation,

but there's no scrutiny that needs to be given. This has to go under the rational basis test because the government is allowed to discriminate between people with immigration status and people without. But we can see no rational basis whatsoever for excluding children who don't have legal status from the school. That's too cool. It doesn't solve anything about the parents motivations to come here, and so there's no

tie to it. And so the question is given how close the case of decision that was back then, and given a at least idea now that's out there that the courts may start looking at past president the state of Texas is saying, well, why don't we take a run at this issue, given that we believe we could find at least five, maybe six justices to say that there is a rational basis to say that kids without status shouldn't be going to public school as opposed to

kids with status. So I'm wondering how Taxis would go about this, because it's not like the Biden administration is telling them to do this. So they can't do the Biden administration, this is a Supreme Court decision. They can't to the Supreme Court. How would they even get this before the court? Well, what has to happen is the Texas State legislature would actually have to pass the law that would again it would be at the beginning and

unconstitutional laws. But they have to pass on unconstitutional laws that band undocumented students from being able to go to school. Or maybe they might pass the law that charges undocumented students full tuition in order to go to schools. Then that would create a situation where if it's challenge, the

kids go to school. But if it's challenge, then it would go all the way to the Supreme Court to decide whether that law can prevail or Now and as Leon Fresco, our partner at Holland and Nights, speaking with Bloomberg's doing grass So catch more of that interview plus analysis of the latest legal news by subscribing to the Bloomberg Law Podcast or downloading this show at Bloomberg dot

com slash podcast. Attorneys can find exceptional legal research and business development tools at Bloomberg law dot com and on the Bloomberg terminal at b Law Go and futures this morning on the rise. S and P futures have thirty points down. Futures have two hundred seven. NAS day futures have one hundred sixty 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