Bloomberg Daybreak: May 9, 2022 - Hour 1 (Radio)

Borgian rights protections. I'm Michael Barr. More ahead, I'm John stash Hour. In sports, Mets and Yankees with doubleheaders split the NBA playoff wins for Dallas and Philadelphia. The Rangers have Game four in Pittsburgh tonight. That's all s train ahead on Bloomberg Daybreak on Bloomberg E Live in free on New York, Bloomberg one, Washington, d C, Bloomberg one oh six one, Boston, Bloomberg nine sixties, San Francisco, Syrius Exam one nineteen and around the world Old on Bloomberg

Radio dot Com and via the Bloomberg Business app. Good morning. I'm Nathan Hagar and I'm Karen Moscow. US DOT index futures are following this morning, led by technology. Shares were coming up to five o one on Wall Street, and we checked the markets every fifteen minutes throughout the trading day on Bloomberg. Right now, SNP futures are down fifty six points down, futures down three hundred seventy two, NASTAG futures are down two hundred three that's down one point

six percent. Ten year Treasury down thirteen thirty seconds, held three point one seven percent, and the yield on the two year two point seven two percent. Nathan, Well, Karen, it sounds like more of the same as we enter a new trading week. Stock slumping. The dollar is trading at a two year high as the feds aggressive tightening path and China's COVID lockdowns hit the economic outlook. Steve Brown is senior portfolio manager at American Century Investment Management.

The Fed's gonna continue to raise rates till they get the results they want, and I think one the after effects of their rate hikes would be at a slowdown and g d P in the second half the year. In the United States, as well as the reduction and earned myths for many compries within the SMP five hundred American Century. Steve Brown notes the SMP five hundreds coming off it's fifth straight weekly dropped. That is the longest

losing streak since there is heavy selling in Asia. Over night, Nathan Japan's NICK dropped two and a half percent, while stocks in Hong Kong plunge three point eight percent. But at the recap from Bloomberg's Juliette Sally and Singapore Good Morning, Juliet Good Morning Karen, China's on shore you un slid past six spots seven to the dollar for the first time since twenty twenty a mid data showing stagnating imports and the slowest export growth in dollar term since the pandemic.

Premier Li Ka Chung warned about the employment situation as Beijing and Shanghai tight and virus curbs sending stocks low. ERM Australia's dollars slumped against the green back, testing seventy U s sens. Indonesian stocks fell the most since in November twenty twenty as markets reopened after the week long eight holiday. In Singapore, Juliette Sally Bloomberg, debreak All right, Juliet. Thanks.

We now turned to the war in Europe, and as Russia's invasion of Ukraine enters its tenth week, President Vladimir Putin is presiding over his annual display of military might on Moscow's Red Square. Let's get the very latest live with Bloomberg's un Potts. Good Morning Euen, Good morning counter Nathan. Russia's president has justified his war in Ukraine as a battle comparable to the fight against Nazi Germany. Has Putin's

faltering ten weeks old military action rumbles on. He's been speaking at Russia's annual Victory Day celebration on Moscow's Red Square. This year's dislay included eleven thousand troops and weaponry, including tanks, air defense systems, and nuclear missile launches, but this year former leaders were not invited. In London, i'mun Parts Bloomberg,

debreak you and thank you. Back here in the US, the government is adding more sanctions on Russia, including a ban on American accounting and consulting firms, and Bloomberg's and Baxter has that story. The measures also include new export controls on industrial goods lements on three of Russia's pop state controlled TV stations and additional visa restrictions. Now the Accounting part imposes the first sanctions on gas prom Bank,

encompassing twenty seven sanctions. It is a first there because the US was afraid of disrupting oil shipments, but now that the G seven has approved cutting those shipments, it decided to go ahead. In San Francisco, I'm at Baxter Bloomberg Gay break all right ed, thank you. President Biden is also working on his political agenda back home. He's about to make high speed internet more widely available across the United States, even for households that normally can't afford it.

Amy Morris has more from our Bloomberg News room in Washington. It is part of the infrastructure law that passed last year. Twenty internet providers, including A T and T, Comcast, and Verizon, agreed to offer high speed connections at essentially no cost to millions of low income households. Sources tell Bloomberg News. Some companies will drop the prices of existing plans, others will raise their speed. The companies were't offered anything, and

they won't get additional government funding. The government is also launching a website called get Internet dot gov to get more people involved in the program. President Biden will formally announce the plan today in Washington. I maybe more as Bloomberg daybreak. All right, Amy, thank you a while staying in Washington. Now, it looks like the US government had a record tax all this spring. Some of the credit

goes to the surgeon individual stock trading by Americans. According to Treasury Department data, tax collection since the start of the fiscal year at October are running at a record high, up some forty three percent over the same period. That surprised Wall Street and is helping to shrink the budget deficit. Well, tax collections rise, Karen, so is the price of gas. In fact, the average price of regular grade gasoline jumped fifteen cents over the past two weeks to four dollars

thirty eight cents a gallon. Industry analyst Troby Lundberg says that's a dollar thirty eight higher than it was a year ago. Nationwide. The highest average price for regular grade gases in the San Francisco Bay Area at five eighty five per gallon. Well, Nathan, another four or Trump administration official is telling all about the inner workings of the White House. Former Defense Secretary Mark Sper says he prevented dangerous things from happening during his time at the Pentagon,

like attacking Venezuela and blockading Cuba. Sper says President Trump even suggested military action closer to home. The President pulls me aside on at least a couple occasions and suggests that maybe we have the U. S Military shoot missiles into Mexico, shoot missiles into Mexico. For what he would say to go after the cartel's Former Defense Secretary Mark Esper tells CBS is sixty minutes the former president told him, and no one would know the attack came from the US.

Trump responded to Esper's claim in a statement, writing, quote no comment. Listeners in the Washington area can hear sixty minutes every Sunday night at ten on Bloomberg and a programming note across Bloomberg Radio. Join us later this morning on Bloomberg Surveillance when we speak live with Atlanta Fed President Raphael Bostick. That's coming up at eight am Wall Street time on both Bloomberg Radio and Bloomberg Television. Right now, SMP futures are down fifty seven points, drop of one

point four percent. Down. Futures down three to two points. Nasdaq futures leading the declines, down two hundred six points. Straight ahead, your latest local headlines and the check of sports. This is Bloomberg and it's now five oh seven on Wall Street. Were forty seven degrees in Central park dealing with an accident investigation on the westbound Belt Parkway. Will get you to details 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. New York Governor Kathy Hokel has tested positive for COVID nineteen. The governor made the announcement in a tweet yesterday afternoon. Governor Hokel says she is vaccinated and boosted against the virus and is feeling a symptomatic due to the positive test results. You will isolate and work remotely this week. Democrats are working to force a vote to codify abortion rights for women, but experts believe that vote will likely

be blocked and the Court's ruling will stand. Senator Amy Klobuchar of Minnesota says that if the Democrats are unable to successfully pass this legislation. The voters will respond, if we are not successful, then we go to the ballot box. We march straight to the ballot box, and the women of this country and the men who stand with them will vote like they've never voted before. Lawmakers in several states are already beginning to put in place their legislations

restricting abortions. In Arkansas, Governor Asa Hutchinson signed a bill last year that prohibits abortion in all cases except to save the line of the mother. We wanted the reverses wade reversed, and the authority to return to the states, and and so as a matter of principle, that's where it should be. Governor Hutchinson and Senator Clobuchar and spoke on a v c S this week, which can be heard Sundays on Bloomberg. Dangerous gusty winds are expected to

continue across northeast New Mexican code today. That's likely to complicate the fight against wildfires that's threatened thousands of homes in mountainous rural communities. A growing number of parents nationwide faces shortage of baby formula due to supply chain issues and a February recall of three popular brands made by Abbot. Dr A Lock Patel is with Stanford Children's Hospital. For parents out there right now who are struggling to find a formula, one easy thing you can do is try

to switch formulas. See if your child can tolerate that. Dr Purtell spoke to ABC. An earthquake centered northeast of South Carolina's capital city jolted large numbers of state residents awake already say the quake overnight had a luminary three point three magnitude. Global News twenty four hours a day on air and on Bloomberg Quicktake, powered by more than twenty seven hundred journalists and analysts more than a hundred

twenty countries. Michael barn this is Bloomberg, Nathan, thank you, Michael five on on Wall Street time for the Bloomberg Sports up taking, Morney, John Stan Shark, and one in Major Let's play two Yankees and Mets. Due to all the rain at the stadium, Yankees won the opener of Texas to the one on the labor tore his home run leaving off the bottom of the the ninth that went

to right center field Chris Woodward. The Rangers manager said it would not have been a home run in any other ballpark, and he called Yankee Stadium a little league ballpark. Tore As was asked Tob that I like both team play in the symbol park and this INDI nation. Uh. I think I feel good to to hit walk off homer in the little liberal par and I mean happy to the first game tour as the second welko off

head of the season. Yanks denied the swift. They led to nothing with the John Carlos Stanton home run, but Brad Miller two run shot off Michael King in the seventh inning the Rangers one four to two. King took the loss. He came in having not allowed to run in his last thirteen innings. In Philadelphia, the Mets lost three to two. Max Scherzer struck act and but suffered his first Met loss. Is now born and one Chris

asked it then got his fourth win. Mets took to night Caps six to one thanks to Pete Alonzo to run over in the first name three run shot. In the fifth n b A and NHL playoffs, there were a total of six games played. All six were Game four's, and all six won by the home team in all six series are out tied to two. That's after Dallas beat Phoenix in the NBA, Philadelphia Top in Miami, and Stanley Cup WOP wins for Boston, Tampa, Bay St. Louis, and l A. Rangers hoping to be too two with

the Penguins after tonight's Game four in Pittsburgh. The Rangers two losses have been tough ones, one of triple overtime and then Saturday they lost after coming from three goals down to tie the game. John stash Award Bloomberg Sports, All right, John, thank you. S and P futures down down fifty five points to drop of one of the third percent. Own futures down one point one percent or three sixty three points. NASTAC futures are lower by one point six percent to drop of two hundred three points.

The tenure treasury is down thirteen thirty seconds, yield three point one eight percent. Dennis Gartman, former publisher of The Gartman Letter, joins us next on this market. You're listening to Bloomberg Daybreak Bloomberger eleven three oh weather partly mostly sunny, breezy, mid sixties. Today will be sunny and breezy with a high near seventy tomorrow high near seventy in the sunshine on Wednesday as well. Right now forty seven degrees in

Central Park. Markets headlines and breaking news twenty four hours a day at Bloomberg dot Com, the Bloomberg Business Outland at Bloomberg Victape. She's a Bloomberg Business flash and I'm Cameron Moscow. And investors are rushing to the safety of the US dollar about global stock slide ever closer to a bear market as the Federal reserves aggressive tightening path in China's COVID lockdown's worse in the outlook for economic growth. The dollar are extending at two year high, rising against

all of its major peers. And we checked the markets every fifteen minutes throughout the trading day on Bloomberg. Right now isn't P futures are down fifty five points down, futures down three hundred fifty nine. NASDACK futures down one D ninety five. That's down one and a half percent. The decks in Germany's down eight tenths percent. Ten year treasury down fourteen thirty seconds. He'll three point one eight percent. The yield on the two year two point seven two percent.

Not a mex scret oil is down one point two percent on a dollar twenty seven at a hundred eight dollars forty six cents of barrel comex school down nine tenths per cent, or sixteen dollars seventy cents at eighteen sixty six an ounce. The Euro one point oh five one five against the dollar, British bound one point to two nine zero the end at one thirty one point one two and Bitcoin this morning down one percent at

thirty three thousand, six hundred dollars. Today we are watching for a report on wholesale inventories at at ten o'clock Wall Street Time, and Tyson Foods among companies scheduled to report earnings today. 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. Russia commemorated Victory Day with a military parade this morning. Russia's Victory Day marks the

end of World War Two. President Vladimir Putin addressed the parade and Red Square as Ukraine's military warns of a high probability of missile strukes ahead of the expected Senate vote this week on an abortion rights bill. Catholic churches and cities across the country are increasing security. In baseball, the Yankees split a double header with the Rangers. The Mets split a double header with the Phillies. The Orioles won a double header against the Royals. The Red Sox Nationals,

and he has lost the Giants one NHL Playoffs. The Bruins beat the Hurricanes to even the series at two games. Apiece Global News twenty four hours a day on air and on Bloomberg Quick Take, powered by more than twenty seven under journalists an analyist in more than a hundred twenty countries. I'm Michael Barren. This is Bloomberg, Nathan Now. A lot of baseball players got their working yesterday. Thank you, Michael. And we're coming up to five twenty on Wall Street

Life from the Bloomberg Interactive Broker Studios. This is Bloomberg daybreaking with us for the hour this morning, as we kick off a new trading week. Dennis Gartman, chairman of the University of Akron and Dowmint Investment Committee and former publisher of the Gartment Letter. As we watch the bleeding continue on Wall Street this morning. Dennis. I know you've been calling for a bear market for some time now. I wonder if you have any idea or any insights

into when this this slide might stop. Nate and I've been at this for forty five years, and the best that I've learned is this the trend that's in place will continue until it stops. That's the best that I've learned. So to put some number on it, it would be ill advised. I've been bearissed since January. I continue to be bearish of share prices. I think that the this is something that's going on globally, not just domestically here in the United States. Look at the look at your

screens this morning. It's read everywhere. It's read in in Japan, it's read in Europe, it's read here in the early futures markets here and in the United States. It's read

in Canada, it's read in Australia. This is something that's happening around the world, and it's predicated upon the fact that the monetary authorities, especially here in the United States, that have been so expansionary for such a long period of time right now being contractionary and they're going to remain contractionary, trying to fight against the inflationary pressures that they themselves have engendered do their own expansionary policies over

the course of the past near decades. So this is a bear market, and the best that is be less involved, to be less long, trying to be as uh as conservative as one can be. I was lucky enough as the chairman of the University of Akron to get us out of twelve to fifteen percent of our our equities at the end of the last year. Right on the last day of the year last February, I actually moved us out of three percent of our our equities and moved us into three percent gold. And I'm comfortable with

doing that. And in a bear market, as I like to say here, she who loses the league shall be the winner. And that's the that's sadly, that's the attitude that one should have at this point. So, as you say, you've been a participant in this market for some time, obviously you've seen contractionary central banks in the past. What do you make of the violence of this of I'm not sure it's that violent. Yet we're only going down one percent a day, which after the course of a

week he adds up. But it's not as if we're taking out five in the course of one session, so it's not terribly violent. The market will end in in a violent downward movement, will have one day when we'll be down five or six percent, and that will be a that'll be the final selling pressure that will that will end the bear market. But until then, I'm not sure that it's been that terribly violent. The VIX has not been that high yet, it's not been that strong.

It's up in the thirties. I guess we'll get it up into the forties and that that that'll mark the end of the mor of the move. But until then, it's a bear market, and prices are moving from the upper left to the lower right and will continue to do so until they stop. That's that's all I've learned.

What's the biggest culprit behind this steady slide that we have seen in markets The fact that the monetary authorities who have been so expansionary uh as as made evident by the the fact that the Fed's balance sheet had gone from less than a trillion dollars to nine trillion dollars in the course of what seven or eight years that was. That was fuel adding to a bull market all all along the while, and now they're they're taking

that fuel away. It's as if the automobile has been starved for fuel and now it's sputtering to a close. And that's to to make the metaphor complete, that's the easiest way to look at it. The the fuel that had been the sponsor of the bull market is now being taken away and the automobile is running out of gas.

Our last minute of this segment, Dennis, do you think the FED continues on the tightening path that it's laid out here multiple uh fifty basis point hikes or could the financial conditions that we're seeing sort of do some of the work of the Fed for it. Well, the Fed has to stay with this new policy that has put into effect only at this past meeting. It has to stay in that way for about a year or so just to be consistent. So I think that fifty fifty, fifty,

fifty and fifty is almost a given. They have no choice. They have to otherwise they look far too and consists. And so yes, this is the FED is going to remain in a in a tightening monetary policy for quite some period of time going forward. Dennis Gartman, as I say, with us for the hour here, the first hour here on Boomberg daybreaks, we'll be checking back in with the next in the with Dennis in the next half hour.

I want to get your thoughts as well on the outlook for inflation now that the FED is getting more

aggressive on this market. So Dennis Scartman will be back with us later this hour as we kick off this new trading week, and looking at head to the market open more losses look like they are in the offing here with SMP futures now down fifty five points or one point three percent down, futures down three sixty nine, that's a drop of one point one percent, the Nasdaq futures down one point six percent, a drop of one hundred ninety eight points, and the tenure treasury is down

twelve thirty seconds, the yield three point one seven percent, yield on the two year two point seven one percent. More analysis of this market slide and Vladimir Putin's address on Moscow's victory day. All that's straight ahead on Bloomberg Day right Bloomberg eleven three oh weather partly the mostly sunny, breezy mid sixties today. We'll get up to near seventy tomorrow with sunshine and a breeze. It will be sunny with a high near seventy Wednesday as well, currently forty

seven degrees in Central Park. Broadcasting live from the Bloomberg Interactive Broker Studio in New York, Bloomberg Elving Free on to Washington, d C. Bloomberg to Boston, Bloomberg one O six one to San Francisco, Bloomberg nine sixty to the Country Sirius XM to one nineteen and around the globe the Bloomberg Business app in Bloomberg Radio dot Com. This is Bloomberg day Break. It's five thirty on Wall Street.

Good morning. I'm Nathan Hagar and I'm Karen Moscow. We are just about four hours away from the open of US trading. Let's catch you up to date in the news you need to know at this hour. While stocks are lower, as the dollar trades at a two year high to begin the week, the S and P has dropped for five straight weeks, and global stocks continue their downward shread. This all comes as rising interest rates in

China's COVID lockdowns pressure markets. Katrina L's, senior economist with Moody's Analytics, says lockdowns are significantly impacting exports from China and economies across the globe. It is disrupting the pots, it is disrupting manufacturing, it and more broadly, it's really hurting China's economic recovery because consumers and businesses a you know, a force basically back into hibernation, and that's in stock

contrast to the rest of the world. Moody's Analytics senior economist Katrina l says economic prospects for China are dim due to lockdowns. Kind of quick programming. Now we're gonna speak live with Atlanta Fed President Raphael Bostick about the economy this morning. Karen, So, I want to invite our listeners to join us at eight am Wall Street time for that on both Bloomberg Radio and television. Well, turning to Russia now, Nathan, we're President Vladimir Putin is attempting

to justify his invasion of Ukraine. He spoke at the country's annual Victory Day parade in Moscow, started capturing the territories of which so so on a planned basis there was a threat which was totally unacceptable to US. Russia President Vladimir Putin said the invasion as comparable to Russia's fight against Nazi Germany. Back in the US, Karen, President Biden is about to make high speed internet more widely available as a part of his infrastructure law of the

past last year. The President will discuss the plan later today. Mustang in d C. Nathan. The US government is reporting a record tax hall tax collections since it started the fiscal year in October. Or upte p from and former President Trump's former Defense secretary Mark Asper is revealing conversations he had about possible military action against Mexico. As Per says, then President Trump wanted to launch missiles to attack drug cartels.

We would have this private discussion where I'd say, Mr President, you know, I understand the motive, because he was very serious about dealing with drugs in America. I get that, we we all understand. But I had explained to him, we can't do that. It would violate in their national law. The former Defense Secretary Mark Espert tell CBS IS sixty minutes he persuaded President Trump not to take those actions.

Trump issued a statement saying no comment. Listeners in the Washington area can hear sixty minutes every Sunday night at ten on Bloomberg and SMP futures are lower this morning, down sixty three points and down features down four nine, nasdack futures down two two straight to head your local headlines, And this is Bloomberg and it's now five thirty three on Wall Street. Let's check in with Michael Barr with what's going on in New York and around the world. Michael,

thank you very much. Nathan. New York Governor Kathy Oakl has tested positive for COVID nineteen. The governor made the announcement in that sweet yesterday afternoon. Governor Hokel says she is vaccinated and boosted against the virus and is feeling a symptomatic due to the positive test results. You will isolate and work remotely this week. A new CBS News poll shows majority of those surveyed do not want the

Supreme Court to overturn the Roe v. Wade. It comes in the week of elite draft opinion from the High courts majority calling for reverse and Row Democrats are now working to force a vote to qualify abortion rights for women nationwide next week, but experts believe that it will likely be blocked and the Court's ruling will stand. Senate Majority Leader Chuck Schumer of New York says every Senator will have to go on record and vowed keep fighting

not on our watch. Will you take away women's rights? Will you take away the right to choose? Will you dismantle women's rights after fifty years fifty years of president? Senator Schumer says if Republicans vote the bill down, it will backfire. In Arkansas, Governor He's A. Hutchinson signed bill last year that prohibits abortion in all cases except to

save the life of the mother. Hutchinson says he doesn't agree with some of his GOP colleagues calling for a nationwide abortion band, and state's gonna make different determinations of it, but the people are going to express through their representative exactly the direction they want to go, and to me, that makes sense, and I think it makes sense under our constitution. Governor Hutchinson made his comments on ABC's This Week, which can be heard Sundays on Bloomberg. Italy's capital has

banned outdoor picnics. A woman in a Rome park recently tried scaring awful wild boar that was charging her dog. Another woman was recently knocked over by one while taking to throwing her garbage in a street bin. There are about twenty three thousand wild boards that live in and around Rome, often seen eating on garbage. Global News twenty four hours a day on air and on Bloomberg Quick Take, powered by more than hundred journalists and analysts more than

a hundred twenty countries. Michael barn this is Bloomberg, Nathan, Thank you. Michael wall Street. John Stashire has a Bloomberg Sports update. All right, Nathan, Yankees and Mets were both running out twice. Yanks finally took the field doubleheader with Texas, their first game since last Wednesday. They beat the Rangers to the one on a Glabor tore As home run leading off the bottom of the ninth inning. That made a twelve wins in thirteen games and they had a

two not in Leader of the Nightcappa. Texas came back to win four to two. They'll finish the series with a makeup game this afternoon at the stadium. The Mets, with a pair in Philadelphia, lost three to two and then one six to one, with Peter Alonso doing the damage to run Homer, then a three run shots of the Mets win the series. They've yet to lose the series this season. In Seattle's win over Tampa Bay, George Kirby started for the Mariners. He's a top prospect and

in his big league debut six scoreless innings. Kirby grew up in Westchester. NBA playoffs, Dallas beat Phoenix, Philadelphia beat Miami. Both series now tied to two, with the home team winning every game at home teams also one in the NHL Boston, Tampa Bay, St. Louis, and Los Angeles. All four of those first round series are tied at two. Rangers hoping to be too too with the Penguins. After tonight's Game four in Pittsburgh, Igor says dark it will

be back in the Ranger goal. After coach Rod go In pulled him after a shaky first period Saturday exaction of d H game. You know, he's you know, it's a it's a one off for me like that. Stuff happens like that, and again nobody's blaming him. And when the now team was dominant, tored like we said last night, so it's nothing on Egal. There was two lucky goals at first two. The way we're going to the Rangers two losses in the series. They have yet to score

a goal after the second period. Includes the three overtime periods of Game one. Jox Dash were Bloomberg Sports. Thank you, John. It's five thirty seven on Wall Street time for the Tri State Business Report with Bloomberg Scott Carr. Amazon has fired several managers at its New York JFK eight warehouse. That's where workers voted in April to join the upstart

Amazon labor union. The company is not saying how many managers were let go from the Staten Island warehouse, but the New York Times reports it was six, and that they were let go because the union and won the election. Real estate investor Jamestown LP says it'll invest a half billion dollars to redevelop One Time Square, the one d eighteen year old building the site of the New Year's

eve Ball drop. Jamestown says they'll transform the twenty six story building into a modern day visitors center with interactive experiences. A grand opening has been held for the new sixteen million dollar Camden athletic complex on the side of the former Campbell's Field minor league baseball stadium on Camden Waterfront.

They demolished the old Campbell's Field and put in a new turf baseball field, a multi purpose field and eight lane track and clubhouse complete with locker and training rooms. That's the Bloomberg tri State Business Report. I'm Scott Carr. Thank you, Scott. It's 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 John Tucker pretended Wins of New York. I'm reporting New York hospitals are battling in a short je of chemicals used in the imaging tests. I'm Courtney Donahoe on Keral Dan Dallas. Business trips return as executives choose in person over Zoom. I'm Gina Servettian for w BBM in Chicago.

I'm reporting that seven eleven is being sued again in Illinois for collecting customers biometric data. I'm klin Head, Combombay, Dave Disovedo in Lundon, Willie Push Computin's Victory Day parade and speech justifying the ten week conflicts in Ukraine, Finles Matteo and on cam O X and St. Louis. I'll be reporting on a possible saving grace for the airline industry. I'm Scott Carr on w b B R and New York. I'm reporting on Amazon workers unionizing behind a cleaning house

in one of their New York warehouses. And those are some of the stories our twenty hundred Bloomberg journalists and analysts are working on this morning around the world. It's thirty nine on Wall Street. The following is an editorial from Bloomberg Opinion. This editorial was written by the Bloomberg Editorial Board. With inflation skyrocketing, the Federal was herve is taking an aggressive approach to tightening monetary poddlicy given current conditions.

This makes perfect sense. Still, it's worth keeping in mind just how difficult the Fed's task is right now. After the pandemics slammed output in the U S, economy recovered strongly, too strongly, as it turned out, thanks to an unduly powerful fiscal stimulus enacted by Congress. COVID's effects were still complicating economic policy when Russia invaded Ukraine, causing the US and its allies to impose sanctions that disrupted energy and

commodity markets all over again. Than China's initial success in containing the virus gave way to massive new shutdowns, putting yet more stress on global supply chains. Faced with such turbulence, monetary poddlicy can only do so much. Investors would be wise to temper their expectations. This editorial was written by the blue Burgh Editorial Board. For more Bloomberg opinion, please go to Bloomberg dot com, slash opinion or ope I

n go on the Bloomberg terminal. This has been Bloomberg opinion. You can hear Bloomberg opinion editorials every week at this time. Terminal customers can read more at O P I n go. This is Bloomberg Bloomberg eleven three oh weather. Sunshine in the breeze today, highs in your sixty five degrees. We'll get in your seventy tomorrow with a sunny and breezy conditions.

Sunshine high your seventy Wednesday right now forty seven degrees in Central Park markets, headlines and breaking news twenty four hours a day at Bloomberg dot Com, The Bloomberg Business at Land at Bloomberg Quick Tape, this is a Bloomberg business blash and I'm fair. In Moscow, investors rushing to the safety of the US dollar while global stock slide ever closer to a bear market as the federal reserves aggressive tightening path in China's COVID lockdown so worse in

the outlook for economic growth. We checked the markets every fifteen minutes throughout the trading day. On Bloomberg SMP futures down about sixty seven points this morning, Down futures down four hundred forty two and NASDAG futures there down two hundred fifty two. That's down two percent. The decks in Germany's down one point one percent, the ten year treasury down seventeen thirty seconds, heel three point one nine percent, yield on the two year two point seven one percent.

Nimex Screwede oil is down one point nine percent, down two dollars fifteen cents and a hundred seven dollars sixty cents of barrel comes goal down one percent or nineteen dollars thirty cents at eighteen sixty three fifty announced the euro one point oh five to zero against the dollar, British found one point to nine four the end at one thirty one point to three, and Bitcoin this morning is down two point three percent at thirty three thousand,

four hundred forty dollars. That's a Bloomberg business flash. Now here's Michael Barr with more on what's going on around the world. Monk Karen, thank you very much. Russian forest has pushed forward and they were sold on Ukraine, seeking to capture the crucial southern port city of mary Upol. As Moscow celebrated its Victory Day holiday, Russian troops pumbled a steel mill where an estimated two thousand Ukrainian fighters

are making their last stand. Speaking today at a military parade marking the holiday, Russian President Vladimir Putin sought to justify his invasion. In baseball, the Yankees split a double header with the Rangers, The Mets split a double header with the Phillies. The Orioles swept a double header against the Royals, The Red Sox Nationals and he has lost. The Giants won NHL playoffs the Bruins beat the Hurricanes,

the even the series at two games. Apiece Global News twenty four hours a day on air and on Bloomberg Quicktake, powered by more than twenty seven hundred journalists and analysts more than a hundred twenty countries. Michael barn this is Bloomberg, Nathan. All right, Michael. Thanks, It's five forty nine on Wall

Street line from the Bloomberg Intractive Broker Studios. This is Bloomberg Daybreak and Dennis Cartman is back with us now, chairman of the University of acron Endowminant Investment Committee and former publisher of the Garment Letter. Dennis, I know you've been barished onto this market for months now. For those listeners who may have just joined us, do you see this five week slide in stocks having further room to run? Nathan, I'm afraid that it has a great good deal for

the to run to the downside. The fact that they take the FED is taken away the fuel that had supplied most of the bull market for the past several years. The aggressively and I think comregiously and I think wrongly, expansionary monetary policy has been ended, and now we have a FED that is going to air upon the side of tighter monetary policies with it for the near term, probably from quite some period of future. So the fuel has been taken away in the to make the metaphor complete,

the automobile is running out of gasoline. The automobiles running out of fuel. The fuel that had supplied the bull market is being taken away. And again, as I like to say, in a bear market, he or she who loses least shall be the winner. That's the sad reality of against. Everybody loses money in a bear market. Very

few people will to actually be net short. And the best that I can do is the chairman of the University of Akrans Endowment was to reduce our position by twelve to fifteen percent at the end of last year. So we're still gonna be losing money, but we're gonna be losing a lot less than most endowments are going to be losing. So he or she who loses the least in a bear market winner. That's the harsh reality.

What will the more aggressive FED mean for inflation? You say that the FED has been behind the curve when it comes to inflation. Well, the moves that it's projected out there get the Fed back ahead of inflation at some point in the future, and I'm afraid it's probably several years in true. That's that'll that will be the truth. But the fact is they have been expansionary for far

too long. The FED did the right thing in two thousand seven, two thousand and eight, two thousand nine, two thousand ten by being expansionary, but they stayed far too expansionary for far too long a period of time. They are the ones that have engendered inflation that we are now feeling rather outly. And the fact that they are

beginning the process of becoming less expansionary, becoming contractionary. UH. Monetary policy always lags behind or the economy and in the stock market lag behind where the monetary officials actually end up acting, so it shall be a delayed reaction. Eventually they're they're they're less aggressive um policy, their actual mood to being tighter monetary policies will have a deleterious and and and deflationary impact. But that's several years in

the future. The inflation that we're now feeling is the effect of the expansion that has gone on for the previous several years, and it'll be a delayed reaction. So it's going to be some period of time before we see actually a deflationary impact of of a more constrictive and and tighter monetary policy. So don't think inflation is going away anytime soon. It shall be years. It will

It'll be with us for years into the future. So you don't think that the lockdowns in China, the commodity prices moving higher have had as much of an impact or have had any impact compared to the FED. They will have some impact, no question about it. The lockdown in China will have a delatarious impact upon the global economy generally, no question about that. But there'll be a

delayed impact. And the fact that in our markets we live from Tuesday to Tuesday, as I like to say, so it will be a number of tuesdays before we actually see any deflationary implications to be drawn. Inflationary implications are still extant, and the FED is becoming contractionary, doing what it needed to do and to what it should have done several years ago by being less expansionary. So it'll be a while yet before we see any any real impact. The inflation is going to be with us

for a long period of time. I'm afraid to say that. I don't like saying that. I don't feel comfortable saying that, but that's the reality. We have about a minute left here, Dennis, As I say, you've been embarished on this market for some time, and given your forecast that inflation is going to be with us for some time, what needs to change in this market for you to get bullish? A wash out a day when we take prices down three, four or five six percent and one day one fell

swoop and and they throwing up at the hands. When when it's time to buy stocks, you don't want to buy them. And that's the reality right now. People still feel comfortable buying the dip. And until they give up buying the dip until three or four or five percent decline in one day and another washout, I'll have to stay barished. Dennis Gartman as always good to have you with us. Dennis Gartman, the former publisher of the Gartment Letter,

now chairman of the University of Akron Endowment Investment Committee. Karen, all right, Nathan, thank you, and it is five fifty three on Wall Street. Now to a legal story where Following this morning, and light of the unprecedented league of the Supreme Court of draft opinion reversing Roe v. Wade last week, little noticed was an opinion in which the

justices were unanimous. The Court decided that Boston violated the Constitution by refusing to fly a Christian civic groups flag at City Hall while raising the banners of fifty of our organizations for more. Bloomberg student Grosso speaks to First Amendment law expert Timothy Zick, a professor ed Williams and Mary Law School. Justice Brian wrote the majority opinion and said the central question was whether the city had created a public forum for private speech. Can you explain that

for us? Sure? So, when the government opens up a public space, the a plaza or something like that, for private speakers to come in a sort of diversity of views, to let them communicate in that space, then it's opened up essentially a forum for private speakers. And that's distinguished from the government using a space or a property to communicate its own messages. And that's the essential dividing line

in this case. If the government was using the flagpole to send out its own messages, then it would be government speech. And it would be immune from First Amendment concerns. Exactly when the government speaks, it gets to decide what it wants to say, what viewpoint us to express, what message it wants to communicate, which is quite different from

when the government regulates private speakers. It has to sort of obey the opposite rule, which is to say, it cannot discriminate based on what a private speaker wants to say, what viewpoint they want to communicate. It nothing prevents Boston from changing its policies going forward, and the city has said that in the event of a loss at the court, it will probably change its policy. What would a policy change entail that would make this government speech. I think

they have to make it clearer or clear. I guess one would say that this is not a forum for just any comers. Anyone who wants to display a flag. They've got to exercise the kind of control that the court says is missing, the editorial control in their policy. And the court actually points to different flag flying policies from other jurisdictions like San Jose, where they make clear that flagpoles are not intended to serve as a forum

for free expression by the public. And then they live to prove flags that can be flown as an expression of the city's official sentiment. And that's not what the City of Boston was doing, is opening up this space and inviting speakers of all kinds to come in and then shutting the door to just this one particular speaker. I mean, the easiest thing for Boston to do is simply to fly its own city flag on that third

flag pole and be done with it. But if they do want to open that flag up two different flags of you know, non city entities, they're going to have to be much more selective and much clearer about what it is they're trying to communicate to the public. And as Timothy Zake, a professor at William and Mary Law School,

speaking with the Bloomberg Student Grass Show. 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 this morning are a fall laing led by technology shares, S and P Futures down about sixty eight points down, futures down four hundred forty eight and NASDAG futures are down two hundred and sixty that's down more than two percent. The tenure Treasury is down eighteen thirty seconds, the three point one nine percent, and the yield on the two year two point seven

one percent. NIMEX scrude oil is down two percent, down two dollars sixteen cents and a hundred and seven dollars sixty four cents, and barrel comexs gold is down one point one percent, down twenty dollars eighty cents at one thousand, eight hundred sixty two dollars announce and still ahead. On Bloomberg Daybreak, we have a check on the business headlines and all the news you need to start your day. And this is Bloomberg