Bloomberg Daybreak: May 4, 2022 - Hour 1 (Radio)

was attacked on stage. I'm Michael blar More Ahead, I'm John Stashow. Sports double header sweep for the max eleventh straight win for the Yankees. The Rangers lost Game one of the Penguins and triple overtime. That's all train ahead on Bloomberg day Break on Bloomberg Eleving Free on New York, Bloomberg one, Washington, d C, Bloomberg one oh six one, Boston, Bloomberg nine sixties and Francisco Syrius Exam one nineteen and around the world Bloomberg Radio dot Com and via the

Bloomberg Business app. Good Morning, I'm Nathan Hagar and I'm Karen Moscow and US Dock Index Futures are on the rises morning. We're coming up to six o one on Wall Street, and we check the markets every fifteen minutes throughout the trading day. On Bloomberg, U S and P Future is up eighteen points down futures of one thirty

two and ASDAG future is up thirty nine. Ten year Treasury four thirty seconds held two point nine five percent, and they yield on the two year two point seven eight percent and nine X screwed oil up three point six percent. Nathan Karen, we begin this busy morning with the most widely anticipated FED decision in years. Today's rate hike is just the beginning. According to former I m F Chief economist Kenneth Rogoff, I think the idea that

just to three percent would be enough really unlikely. I think they're going to have to raise interest rates to four or five percent to bring inflation down to two and a half or three percent. Former I m F chief on Mimous Kinneth Rogoff says inflation is now running it more than three times the central banks two percent target. We get more on this afternoons FED decision from Bloomberg's Michael McKee. There may be more questions about how the markets will react to the FED than about what the

FED will do. A half percentage point rate hike is all but certain. The FED will also outline how and when it will begin reducing the size of its balance sheet, but it already put most of those details into the

minutes of their March meeting. Investors have already priced in both outcomes, so any market move likely depends on the FED, particularly Chairman J Powell offering specific future guidance saying perhaps the Central Bank will raise rates by the same amount several times in a row, or Powell delivering a surprise, say, suggesting seventy five bases point hikes could be on the horizon.

Michael McKee Bloomberg Debris. Alright, Mike, thanks. Of course, we will have full coverage and analysis of the FED decision beginning at one pm Wall Street Time on a special edition of Bloomberg Surveillance. On the other big issue in Washington right now, Nathan is your abortion rights, and following news that the Supreme Court may strike down Roe v. Wade, Vice President Kamala Harris is warning that women's rights are under attack. How dare they tell a woman what she

can do? And cannot do with her own body. How dare they? How dare they try to stop her from determining her own future. Vice President Harris spoke at the annual Emily's List conference in Washington. John de la Volpi is director of polling at the Harvard Kennedy School Institute of Politics, and he says the leaked opinion could reshape

the midterm elections. This is likely to be highly motivational for specifically young people who are unsure whether or not they're going to participate, because, um, they can now see in very tangible ways the difference than engagements. Mix and John de la Volpi of Harvard spoke with our Washington correspondent Joe Matthew on Bloomberg Sound on Catch the show weekdays at five pm Eastern on Bloomberg Radio, and we

should not. The Supreme Court has confirmed the leaked opinion so authentic, but says it's not the Justice's final decision. We have another major political story this morning. Karen a candidate backed by former President Donald Trump, has won the Ohio Senate Republican primary. Amy Morris has details from our Bloomberg newsroom in Washington. Venture capitalist j D Vance won the GOP primary in Ohio after trailing in the polls just three weeks ago, and he knew who to thank.

I have absolutely got to thank the President United States, Donald J. Trump. Ladies and gentlemen. Vance had called Trump unfit and noxious in sixteen Now he fully embraces him and his views. Analysts caution against reading too much into the outcome of just one race. Trump's endorsements will be tested in coming weeks with GOP primaries and states including Pennsylvania,

North Carolina, and Georgia. In Washington on maybe Morris Bloomberg daybreak, Amy thank you now the latest on the war in Europe. Russia is shifting direction and its approach to the invasion of Ukraine, and Bloomberg said Master reports this is nearly ten weeks into the war. On whether it's military stalled in many areas, including just marginal games in the East, Russia is now focused on annexation of the areas it

is occupied. The Kremlin is installing occupation governments, ordering locals to use rules for transactions, and in some cases organizing referendums to open the way for full annexation. In public, the Kremlin says their advance will pick up, but for now, this action is necessary. In San Francisco, I'm at Baxter Bloomberg Daybreak, All right, and thanks On Wall Street Today, earnings continue rolling in, and for a look at some stocks on the move following yesterday's reports, you bring in

Bloomberg's John Tucker, Good morning, John, Good morning, Nathan. Lift poised to wipe off more than a quarter of its market valuation after the Ryan Heeling Company second quarter outlook disappointed. Lift down over tent of the pre market planned increase

in driver incentives could weigh on profits. Advanced micro Devices delivering a strong sales forecast for the current quarter, the shipmaker continues to make gains, and computer data centers a m D up six percent in early trading at Starbucks reported US results that topped estimates. Shares are up six percent. Live in New York on John Tucker Bloomberg Daybreak, All right, John, thank you. More news this morning on Elon Musk and Twitter.

Musk reportedly wants to eventually take Twitter public again, and we get the latest line from Bloomberg's Need a Young Good Morning, Renny Down, Good morning Care, and Elon Musk says he's planning to stage an I p O of Twitter as little as three years after buying it. That's according to Dow Jones, which reports Musk is talking with investors, including private equity firms, to help lower his twenty one

billion dollar contribution to the deal. Private equity firms typically take publicly traded companies private to fix them out of the limelight, then within five years they take them public again. Live in New York, I'm gonna need a young Bloomberg day break. All right, we need to thank you programming. No, please join us this morning when we speak live with JP Morgan CEO Jamie Diamond. That conversation is coming up in just about twenty five minutes right here on Bloomberg

Radio and on Bloomberg Television. SMP futures moving higher now about by nineteen points, Staff futures up a hundred forty NASTAC futures up forty two points, the tenure treasury yield two point nine. Straight ahead, your latest local headlines and the check of sports. This is Bloomberg now, six oh seven on Wall Street, Word fifty degrees in Central Park and Michael Bars here with more on what's going on in New York and around the world. Michael, thank you

very much, Nathan. Protests were held in the trying state area over the League Supreme Court draft decision that, if final, would overturn Roe v. Wade. Sonia A. Storio, president of the New York chapiter of the National Organization for Women, says state lawmakers they're legalized abortion several years ago, knowing this day would come. Reproductive rights activists in Governor Puoma,

we worked very hard on that. In we finally passed that after several years of hard work, and we did that in an to spatient of this week document and what is ahead of us? Sonia Surio with now says men need to do their part to support abortion rights. Women do not get pregnant on their own. New York Attorney General, a teacher James, has long been outspoken about defending abortion rights. Now she has publicly disclosed that she

had an abortion herself almost two decades ago. The Democrat told an abortion rights rally that she chose to do so when she was a newly elected New York City Council member. New York Governor Kathy Hokel reacted to the League opinion, this is something that we have fought against

for my entire life. In fact, this is a battle my mother's generation, it's a battle from my generation, my daughter's generation, and it seems like even my three day old grandchild, Sophia's generation, will have to be fighting this same fight, something that we had thought we had put to bed a long time ago, and I refused to go backward. Governor HOCl spoke while announcing Representative Antonio Delgado

will serve as New York's next Lieutenant governor. North Korea has fired a ballistic missile toward the East Sea from pyong Yang. South Korea will inaugurate a new president next week, who is known to be hardline against the North. Analysts say North Korea's military provocations are likely to grow in the near future. Comedian Dave Chappelle was tackled on stage at the Hollywood Bowl in Los Angeles. It happened at Chappelle was just wrapping up his performance. The man was

grabbed and punched by security guards. Global News twenty four hours a day on air and on Bloomberg Quick Tank, powered by more than twenty seven hundred journalists and analysts in more than one twenty countries. I'm Michael Barr and this is Bloomberg, Nathan. Alright, Michael, thank you six o nine on Wall Street. Time for the Bloomberg Sports Update with John Stanshown. Hi Nathan. The Rangers first playoff game with the Garden in five years. It was a long one.

Blue Shirts, quite a strong first period, not so good in the second. They let Pittsburgh take twenty five shots on goal and score three times some Ranger penalties. Late in that period Chris Twyer actually scored shorthanded, but in the Penguins tied the game, scoring with the two man advantage, so it was three to three and it stayed that way for the next sixty seven minutes of hockey until six minutes into the third overtime capping it drifts to

the far quarter with it up the wall. Now back to the point for Melino where shot scos get Evolki plays hero the Flexi pascious circuit and you can slap it on the Broadway marquee. The Penguins take Game one and lead this series. One game did nothing w x t X in Pittsburgh four three the final. That goal came on the penguins eighty third shot of the night.

Rangers and their fans thinking about what happened with three minutes left in regulation, A Ranger goal taken away after the Penguins challenge, and the officials agreed there was goalie interference. Seemed like some evidence that it may have been caused by the Pittsburgh defense mood. But they will rest today and they'll leave after the Garden for Game two tomorrow. The Yankees back in Toronto tonight. They'll be going for

another sweep, a h twelve win in a row. They pulled away last night one nine to one, scoring all nine runs over the last four innings. Aaron Judge got him going. His eight pm were on in the last ten games. Yanks put it away with six in the seventh. The doubleheader sweep for the Mets over Atlanta verse five to four, then three, upping behind Carlos Carrasco NBA Playoffs Boston routed Milwaukee, Memphis feed Golden State, John morand Sport

forty seven points both series. That's high to one down station at wear Bloomberg Sports, Lincoln all right, John, Thanks, looking ahead to the market open, looking ahead to the Fed. We have futures moving higher, with SMP futures up seventeen points down futures up a hundred thirty nan stack futures are highed by thirty seven points. The tenure Treasury is up four thirty seconds, with the yield now two point nine five percent, yield on the two year two point

seven eight percent. Just how hawkish will the Federal Reserve be as we await that may decision. We check in next with Bloomberg e can Nomics correspondent Michael McKee. This is Bloomberg Bloomberg eleven three oh weather. Rain will ender on midday today. It will turn partly sunny with a high ner sixty five this afternoon, low seventies Tomorrow. Showers return Friday, with a high back in the low sixties,

currently fifty and rainy. Markets headlines and breaking news twenty four hours a day at Bloomberg dot Com, the Bloomberg

Business at and at Bloomberg Ricktape. He's a Bloomberg Business Flash and I'm Karen moscow U Stock index futures on the rise this morning as investors raced for the biggest Federal Reserve interest rate hikes since two thousand and a. Wait more clues and to have aggressively the federal tackle inflation We checked the markets every fifteen minutes throughout the training day on bloomberg S and P futures up eighteen points, STAW futures up a hundred thirty three nasday futures up

thirty nine, the ten year treasury up four thirty seconds. He'll two percent. They yield on the two year two point seven eight percent. Nimex fruit oil is at three point six percent of three dollars seventy one cents and a hundred six dollars eight cents of Barrel comic school this it'll change. In eighteen sixty nine, eighty announced the

euro one pot five two six against the dollar. British found one zero the end at one thirty point oh one, and bitcoin is up about three percent at thirty eight thousand, nine hundred dollars because of Bloomberg business flash. Now here's Michael Barr with more on what's going on around the world. Michael Karen, thank you very much. Protests were held across the country over the League's U. S. Supreme Court draft opinion that would throw out Roe v. Wade. In Los Angeles,

a skirmish injured one officer. A new study founds of here COVID nineteen may cause long lasting cognitive impairments, similar to how much brain power seventy year olds typically have lost compared to age fifty. In a couple of game ones. In the NHL playoffs, the Rangers lost in triple over time to the Penguins for three. Rangers goalie Igor Schstergan talk about the tough Laws finished with seventy nine save second n h L record of five. The Capitols beat

the Panthers for two NBA playoffs. The Celtics are tied at a game each after beating the Bucks one six. Warriors lost to the Grizzlies in Game two one oh six, one o one. That series even at a game a piece as well. Baseball Yankees won eleven straight wins now the Mets swept the Double Ledder against the Braves, The Red Sox Nationals won the Orioles eighties, and Giants lost. Global news twenty four hours a day on here and on Bloomberg Quicktake, powered by more than twenty seven hundred

journalist analysts more than a hundred twenty countries. Michael bar this is Bloomberg, Nathan Michael, thank you. It is six nineteen on Wall Street Live from the Bloomberg Interactive Broker Studios. This is Bloomberg Daybreak on a very important Federal Reserve decision day. We are joined live from Washington by Bloomberg Economics correspondent Michael McKee. Mike, good morning. We know we're

in a hiking cycle. We know their laser focused on tackling in flay Shin, And I guess the question for investors is just how hawkish well the FED signal it is? Now? Well, I have to say, it's nice to be back in Washington. March was the last FED meeting that was in person. Now they met uh in March of this year in person, but the press wasn't there this year's. This is the

first time we've been all back together. It's it's interesting because usually I'll come in and I'll say, uh, Nathan, it's not what the Fed is going to do, it's when they say. In this case, it's what j Pale does when he dodges the question on everyone's mind. Okay, how does he present the possibility of moving faster than even fifty basis points? You know he'll get asked about it.

And the markets are almost pricing in seventy five for June and it's kind of a feeling like, well, you've told us you need to get to the neutral rate two and a half to three percent by the end of the year, so what are you waiting for. So it'll be interesting to see how specific he gets in

laying out the future path. That is interesting because we were just speaking moments ago with Tom Porcelli over at OURBC saying that it's not clear at this point, at least to him, what the FED wants to achieve when it comes to getting inflation down to target, or whether target is the goal at this point, and his point was that that the Chairman needs to at least talk

toward market expectations. You're thinking he's not going to go there potentially, Well, I don't think he's going to be specific. He will probably want to leave himself some wiggle room, some openings if the market, uh starts to get too aggressive and then the FED feels like it's locked into something that you know, there may be a change in the economic outlook. We don't know what's gonna happen with the war Beijing today extending hits lockdown, so obviously more

problems from China for supply chains. So the FED doesn't want to be pinned down until it gets much closer to the next meeting, so Power will probably say were everything's on the table, but we're not going to commit to anything yet. What are you expecting in terms of potential changes to the language in the statement? Are you

looking for any major moves? There? Not? Nothing major. They're gonna have to acknowledge that inflation is higher than they expected, and they'll take out the idea that the FED maybe one and done or something like that. They'll have some language in there referring to the idea that the FED will continue interest rate moves. They last time had interest rate sort of catchphrase in there of significant time over the two percent target before the FED would start moving.

Now they're going to have to have something that says we're gonna continue moving because we think that inflation is out of control. They won't say out of control, but we we think inflation is too high and we want to continue attacking it. And it's gonna take some time before we get to the point where it's acceptable. And to your point, Mike, about being back in Washington for the first time since the pandemic, obviously a big change

coming past COVID. What could we hear from the Fed when it comes to how they're thinking about how the economy is changing coming out of COVID. Well, I think Power will re emphasize, as he has uh several times

in recent months, that the economy is very strong. And we got those Jolts numbers yesterday, the job openings numbers, and there's still at a record level of more than eleven million, and that just tells you at this point there's a lot of competition for employees, which means probably pay raises and so uh that adds to the inflationary pressure.

So the Feds going to reassure people the market in the market, and uh, the American people that they don't think there's gonna be a recession, that they think they have scope to move. They're just thirty seconds left here. The question I always ask you around FED decision day. Looking forward to hearing your question to Chairman Powell, what do you want to ask him? Well, I would like

to know how aggressive they could get. I think that the main question from everyone is going to be will you speed up the process by raising rates even faster? They cut rates very quickly, do they raise rates very quickly. Mike McKee, Bloomberg Economics correspondent. Part of our Fed decision day coverage kicks off live one pm Wall Street Time, an hour ahead of the decision, with a special edition of Bloomberg Surveillance coming up on Bloomberg Radio and Television. Again.

That's at one pm Wall Street Time. SMP Future is higher by seventeen points, Staff futures up a hundred twenty one, nasty features up thirty seven ahead of the FED decision. This is Bloomberg Street. Stay with us for a live conversation with Jamie Diamond coming up in just a few minutes, live from the JP Morgan's CEO Summit in London. This is Bloomberg broadcasting live from the Bloomberg Interactive Broker Studio

in New York. Bloomberg Living Freedom to Washington, d C, Bloomberg to Boston, Bloomberg one O six one to San Francisco, Bloomberg Non sixteen to the country, Sirius xm Cho one nine, and around the globe, the Bloomberg Business and Bloomberg Radio dot Com. This is Bloomberg Daybreak six thirty on Wall Street. Good Morning. I'm Nathan Hagar, and I'm Karen Moscow and Bloomberg.

Daybreak is brought to you by Interactive Broker's. Interactive Brokers Charges margin loan race from zero point eight three percent to one point eight three percent rates subject to change. Learn more at ib k R dot com. Slash compare some of the stories we are following. The Federal Reserves expected to raise interest rates fifty basis points today. Barrenberg Chief Economist Holger sch Meeting says, the markets already looking

for what's coming next. The market will listen very closely to anything that could give a point to to what the Fed does in June and what it may be doing there raft which, of course, in these uncertain times we may not get all that much to your guidance. That's what the market will look out for, any guidance on what happens next. And Barrenberg Chief Economist holders Meeting,

speaking to Bloomberg yesterday. Fill coverage of the Fed decision beginning at one pm Wall Street time on Bloomberg Radio and television. Definitely looking forward to that coverage. Karen right now at six thirty one on Wall Street eleven thirty one in London, where the JP Morgan's CEO summit is underway. Bloomberg's Francy Lakwix is sitting down now for conversation with the cel Jamie Diamond. Let's listen, and now this is Bloomberg.

Thank you so much. John. Yes, we're in London and we could not be more pleased, I say, the Royal Weak. We're really delighted. Speak to Jamie Diamond. Thank you so much for taking the time Walster in London to speak to us. So the Fed, the Fed, the Fed today, we're expecting fifty basis points. What happens to inflation? Here? Is this your biggest concern? First? So francaying happy to be here and give a little perspective. We have and this this is contradicting about to say, but both are true,

very strongly US economy. They because consumers in great shape, lots of money spending the money, jobs a plentiful, wages of going up. Though everything is distorted by inflation and all that, but those are good news. And business are in very good shape. And the Fed is going to have to raise rates in reverse Q week and they're gonna, you know, if they can, they're gonna try to slow down the economy enough. Eight percent starts to come down

over time, and I wish him the best. We're a little late, but you remember two years ago we have fifteen percent unemployment and no vaccine. So I think people should take a deep breath, give him a chance. And I think they're gonna move. I think the sooner they move, the better. So yeah, they're gonna be raising race breath. But can they engineer a soft landing or is there a worry of recession? Of course, but none of us will ever know, right, But if I had to, I'm

not a betting man. I just the odds of the following something like, yes, they can engineer soft landing a third of percent chance, probably a third of percent chance. The can engineer a mild recession. Think of we've had mild FED induced recessions before. You know, where inflation goes up one in air for two percent, everything slows down, places coming down, and it's six or nine months, and then there's a chance it's could be much harder than that. And then in the face of all of that, you

have Ukraine, which is a huge global issue. And do you fear the FED, and do you fear a poulsing mistake from the Fed? And what does does to consumers. I'm not I'm not afraid of the FED. I you know, I'll change this subject a little bit. I think America needs very good domestic policy to improve the growth of the economy, which makes the FED job easier. And that is about regular lations and rules and policies and improving

projects and things like that. So you have increased the supply side as opposed to, you know, do something the demand side. So the FEDS job would be easier if we had very rational thought economic policy. What could go wrong? I mean, we talk about, you know, a strong US consume, more strong business. He talked also about storm clouds. What

are those storm crowds? Clouds? What's worst case? Right? I hate the word unprecedented, but there's kind of fiscal and monetary induced unbelievable growth in the U S, which was true around the world, though it's obviously slowing down in Europe. That's abnormal. We've never really quite had that before. We've never had q T before. So you know, you look at QUEI, that's one of the greatest experiments ever done. They're would be writing books for fifty years on it,

and we're gonna have to reverse it. And that's a huge change in the flow of funds over time around bonds and rates and stuff like that. My own view is that Rachel probably will still have to go up from here. Uh. And then you've got Ukraine, which you know, I think is a potent. You know, when you look at Ukraine, obviously the wishful thinking is that we have

a fed and deuced slow down works. The world is fine, Ukraine resolves, but there's a chance that this goes on for years and you completely rattle global energy markets, wheat markets, commodity markets, and you know that, and we need, as you know, the Western world needs to be prepared for that and needs to take every action today to be prepared that that can get really bad tomorrow. And you know it gets really bad tomorrow, you don't have time. So how do you handle that? How? What what's your

plan b if it does go shape? I like the fact that it will deal with it, you know, I mean, it's live. I mean I like that. In my view, the most important thing is American growth and that America and I call this Marshall Plan for Energy, that we do everything we can and this doesn't violate climate change, It doesn't change anything about long term objectives. But we do everything you can to get oil and gas into the hands of Europeans so they don't freeze in the winter,

you know. And again I'm not saying it's going to happen, but you know, you have a couple of problems out there that the national energy stuff is, the global energy is precarious, and if you know, oil goes, that's a huge problem for people. And we should do everything we can today. We need to put moral and gas. We I feel like at the users they could drill mar We get confused about policy and that somehow doing that

as bad for the climate. It's not. You know, we need if you want transitioning gas to replace call and we should approve all the gleen stuff too, even the green stuff takes five years to ten years to approve. In the United States, I mean, Americans need to get us act together and they should have a war room. They should get everyone involved, get all the people and say what do we need to do in a consistent, coherent way. We need to get more gas to LERG terminals.

We can't do that without a gas pipeline, you know. And so we're just not rational anymore. We we we we have misconceived notions about how we can get things done, and so we're trying. But the roll of Europe and this, could Europe see a recession because of the energy prices? Absolutely, you know, our condoms would say that Europe had slowed down to two percent of something. But the problem with

right now the economs would agree with me. We're looking at a static analysis that if stay the way they are, but you and I know for certain things don't stay the way they are. And my view is is a very high chance that oil go higher. It only takes a million to two million barrels off the market a day that can drive prices up thirty or forty dollars,

and so we should prepare for that today. And uh so, but but but I like, I think it's great that the Western world has gotten together and who would have thought problem would get Sweden, Finland, Germany, Switzerland, all of us too. But that working together part we need to make permanent for global security. First of all, just going back to the European econtent, how quickly could we see a recession and how deep could it be? I don't know, I mean, you know, I hate to guess the future.

No one really knows the future. I've never seen any really guess it. Well. But again if you have, if Ukraine gets worse, I would assume that you're gonna go to a recession and may take a couple of quarters. But I would assume that as sanctions working. So are the sanctions trying to deter Russia from continuing the war

and you crying? Or is it just to try and put the Russian Conno there, well sanks, she is not the same as having tamed and airplanes, okay, but they are working to the extent that you know, the Russian GDP is gonna drop by ten or fIF with the current sanctions. Remember there are sanctions and also the export controls and stuff like that. And you know the next round, if you're really stop stops oil and you can really stop oil being delivered you know Europe, I mean Russia,

you can get another ten percent down. So it's a tool in the tool kit. It's not definitive, which definitive is tanks. So you know we're not don't They don't confuse the two, but you know one is a pretty powerful The sanctions are pretty powerful tool. But if you expect this to last for I think you said years, I don't expect it. I said, we should be prepared for it too. I don't know what's going to happen.

But how do you see this ending? And I see if you're if, if you're a president of the US, if you're a president of the Commission, if you're the FED. Right now, you need to game theory and it could go either way. It's like a three way system. So what do you do all three of them? I think it's a mistake to guess at which one will be. It should be all three of them. And I think,

you know, I think basically the Cold Wars back. I think the home world learned something that we always knew that national security is always the most important thing, but it kind of recedes in the background. We're all doing well, but now it's the most important thing. It should be the most important thing for the rest of our lives. So maybe we all learned that that that is a

permanent date of affairs. The Cold War is back. Uh. The Allies have to coalesce, and not just for military purposes, but for global economic, strategic investment purposes, so that we've got a safe world. If and if we don't do that. You know you can. Would you see Ukraine? You can see all around the world you will see forms of chaos. So the impact on the economy, I mean, would you go around a trading floor until the young kids that I have never dealt with inflation that I think it

could be up at five percent shortly? Of course, of course that's you know, things change, And I mean I think you can easily see five percent bonds, the bonds of ald ten. Your bonds are reacted dramatically, and hopefully it won't go a lot. But I don't think it's a disaster. I don't think a slowdown as a disaster. I don't think many. Look when you say a many recession, I feel for the people that hurting that, but it's

not a disaster for the world economy. I think the potential outcomes of Ukraine are And you've got to just separate the two and just remember when you talk about war. We didn't know how bad Vietnam is gonna get. We don't know how long gef Khaistan was gonna last. That Russians, you know how long Gerfcanstin was gonna last, even go war after war after war they were not predictable. You didn't know the World War one was gonna be like that. You didn't know that World War two was gonna start

in September of nine. So I think predicting the outcomes war you've got to be very fair, relaxed. That's markets you know, Uh, that can change just like that. Do you think it will? Are we expecting a big coming? Guessing? I don't know. I mean again, fancying my job in life, I will serve our clients with thicker thin and our country stuff like that. And of course we're always I mean, as a rule of thumb, we're always prepared for bid outcomes,

not because we're predicting them. Because I need to say to the shareholder of the American public, my regulators, you know the UK, that JP Morgan will be safe and sound and help your country and your people if things get bad. And that is our job. Now we'd do with a whole bunch of different things, and we're prepared. You know, we have extraordinary capability and capital, but ernest

power And where's China in this right now? Look? I my view is that China camp possibly like this and they're playing if you look at them to plane a very neutral role. They're not trying to anger the United States. They know that the American Congress may very well, the Congress, not just the President, can come in and put you know, the secondary sanctions. They do three point five trillion dollars of trade with the West, imports, and next points they

do a hundred fifty billion with Russia. Okay. One number is Chris are up about sixteen points, and down Future is up a hundred nine and Aztec Future is up thirty eight. The decks in Germany's not about two tenths of upper cent ten year treasury of five thirty seconds yield two point nine five percent, and they yield on the two year two point seven seven percent. Not In mex Screwed oil is up about four percent, up four dollars four cents and a hundred six dollars forty seven

cents of barrel. Comics School is little changed at eighteen seventy announced the year row one point oh five two four against the dollar. British found one point two five one seven in the ene point nine seven Bitcoin this morning higher up more than three percent at about thirty nine thousand dollars and earnings this morning we heard from CBS Health and raised its outlook for the year as a health giants first quarter profit beat analysts estimates. We're

waiting for more earnings this morning. We're supposed to hear from Maderna and Young Brands, among others. And that's a Bloomberg business flash. Now here's Michael Barr with more. I'm what's going on around the world, Michael Karen, thank you very much. Vice President Kamala Harris spoke forcefully for abortion rights and reaction to the League Supreme Court draft decision

threatening Roe v. Wade and Gallah. Hosted by the pro democratic group Emily's List, Harris said Republican leaders are trying to weaponize the legal system against women. How dare they tell a woman what she can do and cannot do with her own body? How dare they? How dare they try to stop her? I'm determining her own future. Vice President Harris called on voters to elect Democrats who support

legal access to abortion. Meanwhile, Kerry Severino, president of the conservative leaning Judicial Crisis Network, said the Supreme Court should respond to the League by releasing the opinion. Now, we should just put this opinion out at this point, I don't know how much editing the court wants to do anyway, when you have a situation where people are gonna be effectively comparing a red line version of the original and

the result. Severino, speaking to ABC, responded to Chief Justice Roberts saying the League of the draft decision is a betrayal in sports. A couple of game ones in the NHL Playoffs, the Rangers lost in triple over time to the Penguins for three. Rangers goalie Igor shstergan, boy, what a tough loss, finished with seventy nine saves, second to the NHL record of the Capital's beat the Panthers for too. In the NBA Playoffs, the Celtics are tied to the

game each after beating Bucks one. Warriors lost to the Grizzlies and game to that series even at a game of piece. Global News twenty four hours a day on air and all Bloomberg Quicktake, powered by more than twenty seven hundred journalists and analysts, more than a d twenty countries like Obar. This is Bloomberg camera, all right, michaelbar

thank you. At A sixty nine on Wall Street, and we turned to news and science and technology Now with a Bloomberg and j I T STEM Report brought to you by New Jersey Institute of Technology and j i T is dedicated to bolstering support for female and minority students pursuing careers and high paying STEM industries. Learn more at n j I T, dot, E d U and now Here's It's making news and science, technology, engineering and math. And Shanghai, the final exit from a punishing five week

coronavirus lockdown is being delayed. That's because of infections persistently appearing in the community. Meanwhile, in Beijing, residents are being urged not to leave the city unnecessarily and schools will suspend in person classes. Beijing is trying to have with a chaos caused by the Shanghai lockdowns. Airbnb says it sees substantial demand for travel heading into the busy summer

season after more than two years of COVID nineteen restrictions. Airbnb, along with its rival Expedia Group and Booking Holdings, have said they expect this summer to be one of the best the industry has ever seen, and the ocean shipping industry among the world's biggest polluters, as asking a key regulator to overhaul its admissions directives so that all carriers are working off the same rule book as they make the expensive changes needed to cut output of harmful carbons.

With roughly global trade transported by sea, the World Economic Forum says the industry amidst more carbon annually as Germany and the Netherlands combined. And if shipping were a country, it would be the world's sixth biggest greenhouse gas emitter. And that's a Bloomberg and j I t Stem report. Nathan, all right, Karen, thank you. We are live from the Bloomberg Interactive Broker's studios where it's six fifty one on Wall Street. Let's take a look at some of the

names moving in the pre market. Bloomberg Radio and TV Markets correspondent Creaty Gupta is with us on this FED decision morning. But Creating, we got a lot of names moving on earnings this morning, a lot of earnings moves. For sure, Lift is really at the top of the list, down twenty six percent. And this of course comes after they're talking about a weaker than expected outlook and a planned increase in spending on driver incentives that could weigh

on profits. Remember they're dealing with those higher jet higher driving fuel costs as well that they were subsidizing. But still it looks like that increase on spend really rattling investors. We are also waiting for Uber this morning. You b e er those shares down five percent in the pre market, really coming up ahead of what they were expected to report after the bell. They've moved up the earnings to the top of the hour, so we will of course keep you posted on that. The other one you want

to keep an eye on, Nathan, is Airbnb. A b nb is your taker up five percent this morning, coming off of a second quarter revenue. Be substantial travel demand really helping that stock. And speaking of substantial demand, we should talk about Starbucks s b u X as your ticker up six point three percent. They did suspend guidance for a third and fourth quarter due to lack of visibility into Chinese markets, but they said those US results,

they're strong, and they're accelrator accelerating. E sees me those store growth planned all right, Bloomberg Radio and TV Markets correspondent Credi Gupta, as the earnings parade accelerates, Crety, thanks

for that six fifty two on Wall Street. Now we want to check what's happening in d C. Some of the top stories in our nation's capital include Vice President Harris warning the women's rights are under attack after the Supreme Court, Abortion League J D. Vance knocking a win for Trump in the Ohio Senate primary, and President Biden accusing China of trying to meddle with the Competitiveness Bill. For more on all these stories were joined live by

Bloomberg Government reporter Emily Wilkins. Emily, Suddenly, abortion rights has become topic a in Washington, as we certainly heard last night from Vice President Kamala Harris. Oh. Yes, Vice President Harris, she gave this really powerful passion speech um A criticizing Republicans UH and criticizing their role in UH potentially rolling

back Roe v. Wade. I mean, of course, Nathan, this all came about because political leaked a draft opinion UH from Justice Alito basically saying that the Roe v. Wade needed to be overturned in an upcoming decision. Now, the Supreme Court has said that that document is authentic, but has reminded everyone that that's not the final decision at this point. This is a draft from February. We're not

expecting a decision until June. At the same point, Nathan, I mean that's mattered very little, I think to a lot of lawmakers who are expecting to see the end of row anyway, and have kind of used this as as a time sort of launched their launch, launch and upper that we did expect to see come a little

bit later this year. Um. But Harris, you know, really criticized Republicans saying how dare they tell a woman what she can or can't do with their body, and also warning that this particular leaked draft that we saw wouldn't necessarily just stop at impacting abortion, but could also go on to impact other Supreme Court rulings, such as the ones on game marriage at the nineteen ruling that show says couples that have a right to privacy in their

contraceptive choices. Yeah, so obviously this has the potential to galvanize base voters on both sides. What kind of impact could this have on midterm elections that, at least in this primary season are now under way. Well, I think one of the most interesting groups to watch here are suburban woman that's been a group that's played a key role in They've played a key role in eighteen. They are swing voters and their voters that really both parties

have tried to message to and to talk to. And you do have a large majority of women that say abortion should be legal and either all or most cases.

But here's the turk, Nathan. Democrats are going to have to convince these female voters that it's more pressing for them to vote on abortion than it is for them to vote on other issues like inflation, like supply chain uh Biden's approval rating is pretty low right now, and Republicans are planning to attack him, and we saw this kind of play out last year in the Virginia governor's race.

Um certainly at the time we didn't have this this leak draft, but at the time, Texas had just imposed their six week abortion fan and that was something that Democratic nominee really ran on, really talked about, and you saw him lose to his Republican counterpart, who is more focused on issues like the economy and COVID. And so that's gonna be a real messaging challenge for Democrats. There's certainly a lot of people who feel very strongly on

this issue. The question is is that going to be the number one issue that turns them out to the ballot box. It's interesting you bring up the Virginia governor's race. That was one where the Republican who ended up winning sort of kept former President Trump at arm's length. Overnight, we had an Ohio Senate primary where the winner embraced former President Trump. Yeah, it just shows to go that, you know, different states got to have different different techniques.

But yes, venture Capital J D. Dance. If that means sounds familiar, you've probably read or heard of hill Bill theology. He had to come from behind victory for the U. S. Senate seat in Ohio, and this is something where you know, he wasn't necessarily leading in the polls, and then he got the endorsement from former President Trump. UM advances really run as a as a Trump like candidate. He's walked

back by his former criticisms of the President Um. And this was a race where you had, you know, several It was an interesting dynamic because you had a different candidate, uh Josh Vandel, who was backed by a very conservative Republican group called Club for Growth. Usually Club for Growth and Trump are on the same page, but this time they split. Club for Growth put a ton of money behind this other candidate, and he lost to Trump's preferred choice.

And this really kind of shows the grip that Trump continues to have on the Republican Party even after he's left the White House. And we're gonna be watching throughout this month. I think every Tuesday there is a port of campaign in which Trump has an endorsed candidate, and we'll see how they do. Alright. Bloomberg Government reporter Emily

Wilkins keeping on all things politics from Washington. Read more at Bloomberg dot com or on the Bloomberg terminal, and listen to Bloomberg Radio in the nation's capital Bloomberg and one oh five point seven FM HD two. We are watching shares of Maderna this morning, the pharmaceutical maker, the COVID nineteen vaccine maker, out with a big first quarter

revenue beat. The shares are up four and a half percent in the pre market on a FED decision day where we're seeing futures move higher as well S and P futures up sixteen points. Much more to come on Bloomberg Surveillance with Tom Keene, Jonathan Farrell, and Lisa Abramowitz for Karen Moscow I'm Nathan Hagar. This is Bloomberg