Bloomberg Daybreak: November 1, 2022 - Hour 1 (Radio)

Court in affirmative action at universities and colleges. I'm Michael Barr. More Ahead, I'm John Stave Showard sports much didn't win for the Nets, the Browns upset the Bengals. The World Series got reined out. That's all. Trade ahead on Bloomberg day Break, on Bloomberg Eliving Free on New York, Bloomberg one, Washington, d C, Bloomberg one oh six one, Boston, Bloomberg nine sixty, San Francisco, Sirius x AM one nineteen and around the world on Bloomberg Radio dot Com and by other Bloomberg

Business Good Tuesday morning. I'm Any Morris. I'm Nathan Hagar futures are moving higher this morning. We're coming up to five oh one on Wall Street, and we checked the markets every fifteen minutes during the trading day. On Bloomberg, SMP futures are up twenty eight points down futures up a hundred sixty seven. Nastack futures are higher by a hundred two points. Sen Your Treasury is up fifteen thirty seconds. The yield three point nine eight percent yield on the

two year four point for three percent. NIMEX crude is up one point three percent this morning at eighty seven dollar sixty five cents of barrel Amy Nathan's Dock Center. The first day of November moving higher. If history is any indication, equities may build on October's gains, which saw the SMP five d rise eight percent. Bespoke investment groups as the SMP five hundred has registered an average gain

of eight tenths of a percent in November. Amanda Gotti is chief investment officer at p n C Set Management. We're still playing a little bit of defense. We're leaning US over international, larger over smaller capitalization. We kind of neutralize our growth and value bets here um. But with valuations following six plus multiple points since the beginning of the year, just on the SMP five. You have to

start getting interested um in opportunities at these levels. The n C Asset Managements Amanta Agatti says markets will rally if the FED gives a clear message on when rate hikes will end. Well. It's been a big trading day in Asia, and each Chinese stock surged overnight as speculation grows the government there is making preparations to exit stringent COVID restrictions. The Hang Sang in Hong Kong rows five per cent, while stocks in China gained three point six percent.

And we continue to see historic profit from oil companies. VP this morning reported its second highest quarterly profit on record and announced two and a half billion dollars of share buybacks. Bloomberg's at Steven Sabzinski says it's a banner year for big oil. It's really hard to see anyone who is really losing out on this surgeon prices, and you've seen it across the board over the last week.

You've seen you know, Shell total x on h VP is is joining this larger group not just in Europe, in the United States, but you're also seeing this in you know, Saudi Aramco posted their second best quarterly profit ever. Now, when it comes to Saudi Aramco, Bloomberg's Steven Stepzinski reports the company posted its second highest earnings on record this morning. The results from big oil this quarter are do largely the surging prices at the pump. Yeah, we've also seen

record profits from x On Mobile and Chevron. Of course, amy they amassed more than thirty billion dollars in combined net income last quarter, and that has President Biden calling on Congress to impose higher taxes on oil companies. If they're not reinvesting in production. They don't, they're gonna pay a higher tax on their excess profits and face other restrictions. My team will work with Congress to look at these up these options that are available to us and others.

It's time for these comedies to stop for profit cheering by President Biden's promised to impose higher taxes will be hard to deliver. Democrats have unsuccessfully sought a so called windfall profit tax for more than a decade. Such a proposal would have a hard time passing the Senate and its current makeup. And Nathan Central Banks are also in focus. This morning, the Fed begins it's two day policy meeting. It is expected to hike rates another seventy basis points.

At the same time, Australia's Central Bank has raised interest rates by a quarter percentage point. It looks like the r b A is pivoting away from larger hikes. That's according to Bloomberg's that Garfield Reynolds, it's definitely a pivot for the r b A. The question is whether other central banks are going to be as concerned about the growth side of the mandate as the AVA is signaling

that it is. It's still concerned about inflation. It says more hikes are to come, but reading between the lines, it's concerned about growth mean that it's not wanting to go more than twenty five basis points of time. Bloom Chief Rates correspond and Garfield Reynolds says the cash rate in Australia now stands at two. That's the highest level since In corporate news this morning, Amy we're focused on credit suits again. The Swiss Bank is not for sale.

That's what the firm's chairman Axel Leman is saying, after shares have fallen more than fifty percent this year. He spoke to us in Hong Kong. We're going to you know, to swife again, so we don't have any take over the conscience and at that point we truly believe we want to stay independent. Credit Swiss chairman Excel Layman made the comments in an interview with Bloomberg News. Stay tuned for more of that conversation coming up later this hour. And back here in the US, the airline and travel

recovery continues as the busy holiday season approaches. Dert Delta air pilots have voted to authorize a strike. Let's get the story from Bloomberg's Charlie Pellett. It gives union leaders the authority to call for a work stoppage once they have gone through steps set by federal labor law. The Delta unit of the Airline Pilots Association says about ninety nine percent of pilots who voted approved the proposal. The participation rate among Delta's roughly fifteen thousand pilots was ninety

six percent. While aviators must follow steps set by the Railway Labor Act and can't randomly walk off the job, the strength of the vote represents pilot's view about the lack of progress in negotiations in New York. Charlie Palot Bloomberg Daybreak, Charlie thanks in another note on the airline industry. For the first time since COVID cut air travel, US airline passenger traffic has been running above twenty nineteen levels. Just over fifteen million people went through t s A

security portals in the past seven days. That's about thirty nine thousand more than and On the political front, the midterm elections are set for a week from today, which means a policy change from Twitter. The social media company has frozen some employee access to internal tools used for content moderation and other policy enforcement, curbing the staff's ability

to clamp down on misinformation ahead of the election. Bloomberg News has learned most people who work in Twitter's Trust and Safety organization are currently unable to alter or penalize most accounts that break rules around misleading information, offensive posts, and hate speech futures are higher. This is Bloomberg five oh seven on Wall Street. Let's bring in Michael Barr with more on what else is going on in New York and around the world. Good morning Michael, Good morning Amy.

A salary transparency law. It takes affect today in New York City. It requires most companies in the nation's largest job market to include minimum and maximum salary ranges when they post job openings. The law supporters say it intends to close the pay gap for women and people of color, but critics argue it will do just the opposite. The Supreme Court kicked off hearing arguments over affirmative action at universities.

Conservative groups have sued both Harvard University and the University of North Caroline up claiming that their admissions processes aren't fair to white or Asian applicants. The courts three liberal justices cast a doubt on whether race is the sole indicator and admissions processes. Attorney Patrick Strawbridge represents students for Fair Admissions in the U n C case and says that race should only be used in a broader context

of an application. Racial classifications are wrong. That principle was enshrined in our law at great cost Following the Civil War. Justice Helena Kagan encountered, the race is part of the culture, and the culture is part of the race, isn't it. I mean that's slicing the Boloney awfully since. Meanwhile, conservative justices have been casting doubt on whether the affirmative action programs are needed. A correction officer inside Rikers Island was

injured after being stabbed over a dozen times. The New York City Department of Corrections says it happened yesterday afternoon. The officer is said to be in stable condition at Elmhurst Hospital. Court documents say the mancus of entering the San Francisco home of how speaker Nancy Pelosi wanted to break her kneecaps. Speaker was not home. Police say forty

two year old David pop attacked her husband, Paul Pelosi. Meanwhile, Democratic Congresswoman Debbie Dingle of Michigan discussed the attack on Paul Pelosi and heightened tensions over political rhetoric and violence. She referred to recent Elon Musk tweets on Pelosi. The conspiracy theories are also adding to this and putting kerosene on and people won't read it. So yeah, you know what,

I will go after somebody. I thinks a new owner of Twitter's got some responsibilities too, and was horrified that he would participate in some of this conspiracy theory has no to it, no truth to wit. Congresswoman Dingle spoke on sound On, which airs at five pm on Bloomberg Global News twenty four hours a day on air, and on Bloomberg Quittake, powered by more than hundred journalist and analyists in more than a hundred twenty countries. On Michael

bar this is Bloomberg Gaming. All right, thank you, Michael. It's fun. Ten on Wall Street. Time now for the sports report, brought to you by Try State Audi. Here's John stash Our. All right, Amy, the Brooklyn Nets have become some of them was soap opera, and very often it has to do with Kyrie Irving. Seems as if it's always something with Kyrie. The latest was his posting on social media of a link to an anti Semitic video. It's also the team's early season performance one in five

record worst defense in the NBA. So how much needed win at Barkley's One, sixteen to one on night over Indiana. Kyrie scored points, Kevin Durant had thirty six Milwaukee one again the Bucks are six and oh. The Monday night game an upset win for Cleveland thirty two to thirteen over Cincinnati. The Browns led to nothing in the fourth quarter. NFL trade deadline four o'clock today, Giants could be looking for a wide receiver. Jets white out Elijah Moore has

asked to be traded. No quarterback change for the Jets despite Zack Wilson's three interceptions and the loss of the Patriots. The Jet coach Robert Salad, I've got full confidence insa we all do. Um um. You know, it's not like he hasn't had bad games before and he stepped up and has followed over with good days. So you know, with the way he preps and the way he practices and the questions he asks, we've got faith that will

continue continue to find ways to get better. From Jets to have a tough one Sunday against six and one Buffalo College football Auburn fired coach Brian Harrison, so he didn't finish the second season of a six year contract alone about fifteen million dollars. They're also still playing the previous Coach World Series resumed Tonither in Philadelphia after last

night's rain out. The Phillies have changed their Game three starter out is the x met Noah Synder Guard in his Rangers swore as the Astros are sticking with Lance mccullor's The World Series is tied at one. John stash with Bloomberg Sports in all right, Thank you, John. Futures are higher, SMP futures up by twenty five points, Staal future is a hundred fifty two points higher, and Nasdaq features higher by almost nine two points. Much more ahead

on Bloomberg Day Break. This is Bloomberg. The Bloomberg Sports Report was brought to you by Audie. Don't let someone else drive off in the Audi model you've always wanted. Visit your local try state autie dealer to get behind the wheel of yours today, or visit Autie Offers dot com for more information, markets, headlines and breaking news twenty four hours a day at Bloomberg dot Com, the Bloomberg Business at and at Bloomberg Rictape. He's a Bloomberg Business Flash.

I'm Nathan Hagar. Stocks and futures are rallying. The dollar and treasury yields are falling as investors await the Federal Reserves policy meeting. It kicks off today. We checked the markets every fifteen minutes during the trading day on Bloomberg, SMP futures are up twenty six points down futures up a hundred sixty one. Nastact futures are higher by ninety six points. The tenure treasury is up sixteen thirty seconds. The yield at three point yield on the two year

four point four three percent. NIMEX screwed is higher by eight tenths percent, or seventy two cents at eighty seven dollars. Twenty five cents of barrel comic gold is up a half percent or eight dollars ten cents at six eighty announced. The euro is trading at point nine six against the dollar, British pound one point one eight. The yen is at one seven point six nine. Ten am Wall Street Time, we get jolts job openings in I S M manufacturing data. Nearly fifty companies on the S and P five index

reporternings today. That's a Bloomberg business flatch. Now with more on what's going on around the world, here's Michael bar Good morning, Michael, Good morning, Nathan. The Supreme Court heard arguments in cases challenging the consideration of a student's race and college admissions. The cases involving Harvard and the University of North Carolina could end affirmative action at public end

private schools across the country. Airline passenger traffic in the US has been running above the comparable levels of twenty nineteen. The t s A says it's the first time that's happened since COVID nineteen dramatically cut air travel. They'll try to make up Game three of the World Series in Philadelphia. Last night's Phillies and Astro's game was postponed because of rain.

In the NBA, the Nets won, the Wizards lost. In the NHL, the Capital is lost in a shootout with the Hurricanes three to The Browns beat the Ravens thirteen and Monday Night Football. Global News twenty four hours a day on air and on Bloomberg Quicktake, powered by more than twenty seven hundred journalists and analysts, are more than a hundred twenty countries. I'm Michael Barr, and this is

Bloomberg Gaming. All right, thank you, Michael. It is five twenty on Wall Street where live from the Bloomberg Interactive Broker Studios. This is Bloomberg Daybreak. Now. For months, the White House has been calling on oil companies to invest more in oil production. Bloomberg data show the biggest companies like Exxon, Shell and Chevron are handing a lot of that money over to shareholders and just reinvesting only a

fraction of their windfall. Now, President Biden has announced as planned who raise taxes on oil companies that record those windfall profits without reinvesting the money back into production. We're joined now by the founder of Pangea Policy, Terry Haines. It's gonna help us make sense of it all. Terry, thank you for taking the time with us this morning. First of all, the presidents also gonna need congressional support to do this. Is he going to get it? Good morning, Amy.

Uh No, he's not. Uh this you know, this strikes me politically above all as uh kind of what the soccer fans call an own goal. Uh. You know, the President's may have been talking about this off and on for for a while, but he touts his major legislative achievement this year is being the Inflation Reduction Act, Uh, something with which you know he wasn't so much involved as uh Leader Schumer and Senator Mansion were. And you

know that was the windfall profits taxes. Not only nowhere in that bill, but it was not even discussed at that particular time. Uh So what it seems what it seems like is a situation where uh, you know, they pull out this windfall profits tax narrative whenever they think convenient politically, but they're not actually committed to it at all. And you know, and frankly, I think voters are gonna wonder why so well, not just that, but I'm wondering if it's too little too late. I mean, we are

eyeball deep in the mid term season. Some places are already holding early voting in their district. So is this coming way too little, way too late? Oh? Yeah, absolutely. The you know, the this line might have had some public residents six or more months ago, and if you, as a communications device, allowed it to develop, and you know, you make your case and try to bring the public with you. And that's probably how you bring Congress with you.

But but that's not that's not happening. And the other thing I've mentioned briefly is that, you know, the Biden legislative achievements, whatever else they are, generally have not featured Biden's direct involvement. As I say, the Inflation Reduction Act is much more of a mansion product and president that was told the White House was told by the bipartisan people developing the infrastructure bill frankly, to stay out of negotiations.

I mean that was publicly known at the time. So, um, you've got a White House here who has no persuasive ability to actually bring the Congress along with them, and you know, certainly not going to bring a lame duck Congress of along. And next year's is whether it's a whether it's Republican majorities or a split Congress is not is not a Congress that's going to do anything about

this or react to Biden's proposals at all. Did you get the impression that the President is sort of holding his own party accountable for not doing this sooner because Democrats have been pushing for this for months, well exactly. Uh. You know, one reason I think of it as an own goal is you know, it is I'm not sure the White House understands the optics of this, frankly, And what it looks like is the president blaming his own rational party for not getting uh for not getting something done.

I don't think that's a good look, and it's certainly uh, it certainly undermines the seriousness of what he says he wants, but it undermines the seriousness of Biden and Democrats politically. If they mean, if they're not on all fours and can't get anything done, now I've you know, why why

vote for them to be blunted? But what would this then mean for the other business of government on Congress isn't going to be coming back until after the midterms are over with, But they still have spending bills they have to work on, they have the budget, they have all sorts of other issues that are on their plate.

Is this gonna, I don't know, throw a little smoke up in the air and causes some confusion or cause them to be able to things to to actually grind to an even slower halt when I'm trying to say, yeah, well no, I think you're absolutely right. But the the the last business of this Congress, which will happen, you know, after Thanksgiving into December, is trying to come up with

UH fiscal year three spending bills. UH in English, what that means is that the government will be three months behind on its own fiscal spending for this year, and we'll try to come up with full year spending bills. I never thought they'd be able to do that before the end of the year for a variety of reasons. I mean, they just don't seem ready. There's uh, there's squawking back and forth about whether or not they can

uh add some debt limit, that ceiling language to it. Uh. This was already going to get kicked into uh with temper with another temporary spending bill get kicked into three and the new Congress, and that was even that's even more likely with this windfall profits tax value. All right, Terry Hayes, founder of Panagia Policy, I want to thank you for your perspective on this, and of course we're gonna keep watching it with you, particularly as the mid

terms come right around the corner. SMP futures twenty seven points higher, DALF futures higher by one D sixty five points, now that futures one hundred three points higher. Much more still to come on Bloomberg day Break, Stay with us on this Tuesday morning. This is Bloomberg. Bloomberg Daybreak is brought to you by the New York Community. Trust your name will live on as a champion of the causes you care about four years to come through a charitable

bequest to the New York Community Trust. Learned more at Philanthropist dot NYC. Broadcasting live from the Bloomberg the Interactive Broker Studio in New York, Bloomberg E Living Freedom to Washington, d C, Bloomberg to Boston, Bloomberg one O six one does San Francisco, Bloomberg nine sixty to the country Sirius XM Cho one nineteen and around the globe, the Bloomberg Business app and Bloomberg Radio dot Com. This is Bloomberg Daybreak and it's five thirty on Wall Street. Good morning.

I'm Nathan Hager. Hi'm Amy Morris. Bloomberg day Break is brought to you by s E I imagine your asset management firms, operational infrastructure as a compet of advantage. Let s E I show you how at s E I C dot com slash I M S and 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 at this hour. US Futures are hired to start the week as investors Europe for this week's FED meeting and the October jobs report. The Fed, especially

as front and center. According to Bloomberg macro strategist Vince Signarella, the Fed made pivots sooner than expected. I think that's what the markets are hoping for, some indication that the Fed acknowledges that their work is starting to find its way through to the economy, specifically in housing, as we saw last week pending home sales down over on a month over month basis. That's what the market is hoping for.

Bloomberg's Vince Signerella says markets will respond negatively if the Fed does not forecast easing monetary policy in the near future. Expectations are for the FED to raise rates seventy five basis points tomorrow, followed by fifty in December. Meantime, in Australia, the Central bank hike to interest rates today by just a quarter percentage point sparked bets that the r b A is pivoting away for large types. Well, it has

been a big day in Asia. Any Chinese stocks surged overnight, a speculation grows the government's making preparations to exit COVID restrictions. The Hang Sing in Hong Kong rose five percent, while stocks in China gained three point six percent, and Nathan, we're also seeing historic profits from big oil. Saudi Aramco and BP posted their second highest quarterly earnings this morning.

That's after record profit from Exxon and Chevron. It has President Biden calling on Congress to impose higher taxes on big oil. Rather than increasing our investments in America or giving American consumers of break their excess profits, you're going back to their shareholders and buying back their stocks and the executive pays. I'm going to skyrocket, give me a break. Enough is enough by President Biden's promise to impose higher

taxes will be hard to deliver. Democrats have unsuccessfully sought a windfall profit tax for more than a decade. In corporate news this morning, Amy, we were talking Credit Swiss again. Sherman Axel Layman tells us the Swiss Bank is not for sale if we pick it out where we need to go. And we took some bold and we the very important decisions for the group and it's now really

about looking forward and to execute that plan. Credit Suis chairman Aga Lehman made the comments in an interview with Bloomberg, and you can hear more of that conversation shortly here on Bloomberg day break and had to travel. Note US airline passenger traffic has now passed pre pandemic levels. Just over fifteen million people went through t ESA over the past week, now higher than the same time, and futures

are higher. Amy S and P futures are up thirty points, staff futures up one, nest Act futures higher by a hundred thirteen. Straight ahead your latest local headlines and the check of sports. This is Bloomberg. Thank you, Nathan. It's five thirty three on Wall Street. Let's bring in Michael bar with more on what else is going on in New York and around the world. Good morning Michael, Good morning Amy. A salary transparency law takes effect today in

New York City. It requires most companies to include salary ranges when they post a job opening. Supporters say it's intended to close the pay gap for women and people of color, but critics argue it will do just the opposite. Maria Colla Curcio is CEO of Cindio, a company that makes software to analyze pay equity. As a company, if you have a philosophy of start low, stay low, or pay top dollar to the best negotiator that's going to

very quickly catch up with you. From a pay equity and meeting pay gap perspective, a recent study found women are paid seventy three cents on the dollar compared to men. A deeply divided Supreme Court as art arguments that could end affirmative action policies at universities, Bloomberg said Baxter as the story the Conservative majority suggesting a readiness to abolish the practice. Chief Justice John Roberts, I don't see how

you can say that the program will ever end. Your position is that race matters because it's necessary for diversity, which is necessary for the sort of education you want. It's not going to stop mattering. The affirmative action proponents at North Carolina and Harvard, arguing that the policies and sure diversity. Justice Clarence Thomas said he doesn't even know

what diversity means in this context. In San Francisco, I'm a Baxter Bloomberg day Break, federal prosecutors say the man accused of attacking Paul Pelosi, the husband of House Speaker Nancy Pelosi, told police he wanted to hold the speaker hostage and breaker kneecaps if it depop has been charged with two federal crimes and a state count of attempted murder. Fans wearing fight anti Semitism shirts occupied some court side

seats at the Brooklyn, Indiana game last night. Days after NETS guard Kyrie Irving tweeted out a link to a documentary film that includes anti Jewish tropes. Irving deleted tweet Sunday after a huge outcry, including criticism from NETS owner Joe Sian. 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 Gaming. All right, Thank you, Michael.

It's a thirty five on Wall Street time now for the sports. Were fourth brought to you by Tri State. Audie. Here's John stash Houart. Alright, Amy, thanks Nets and Pacers. We just heard they played a home at home finished up at Barkley's Indiana one the other night, and that was the nets fourth loss in rowan and three of them they allowed at least under twenty five points. At Barkley's. The Nets blew much of a point leave they held on beat. The Pacers won sixteen one on nine, just

a second win of the season. The coach Steve net that was the message after the game. That was a message on film this morning. That was the message in in UH our walkthrough. Um, you know we we had a disastrous defensive game Saturday night, and so the guys responded. Proud of him. Now that effort energy. There were several uh Kevin Uran led the Nets with thirty six points Kyrie Irving as the Nets end of their four game losing streets at the Cleveland Browns, they upset the Bengals

thirty two to thirteen. Nick Chub hundred yards rushing, two touchdowns and Marty Cooper hundred thirty two yards receiving. He scored a TV in the Browns five sacks of Baltimore now his sole possession of first a f C north of The Ravens just acquired linebacker Roquan Smith from Chicago. Smith leads the entire NFL and tackles. We'll see what happens today NFL trade deadline at four o'clock tonight, we're here for the first time from the College Football Playoff Committee.

They will unveil the rankings. This week's a Pepole has Georgia and Tennessee ranked one two, and they meet Saturday in Athens. Michigan State suspending four football players that they're involving in a post game brawl the other night at Michigan, criminal charges could be coming. Phillies and Astro's Game three of the World Series tonight. Last night's rain out means Game five will now be Thursday, and if the series is still untill going, Friday will be an off day.

John Stellar, Bloomberg Sports Team. All right, thank you, John. It's seven on Wall Street time now for the Tri State Business Report. And with that, here is Bloomberg's Denny spell Agree. A judge is blocking Penguin Random Houses more than two billion dollar acquisition of rivals Simon and Schuster. The federal judge agreed with the Justice Department that the merger would love and competition. Penguin Random Houses owner Bertelsman

plans to appeal. Manhattan based Tornado Realty Trust reporting a drop in third quarter profit, but it's still beat estimates by some measures. Connecticut's xbo is spinning off its truck brokerage unit. Today. The Granwich based logistics business is one

of the world's largest freight transporters. The r XO unit being spun off today makes a spot market and matching available trucks with loads and businesses revving at Parsippany, New Jersey based Avis, AVIS budget reporting earnings that beat even the highest estimates, and that's thanks to a travel rebound, especially overseas. Even so, AVIS could be vulnerable now to falling used car prices as it appreciates the value of its fleet with the Triestate Business Report on Denis Pellegrini.

Thank you, Denise. It is 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. UM Courtney Donaho on CAREL Dan Dallas. The airline passenger

traffic has surged past levels. I'm Gina Serretti and for w w BBM in Chicago, I'm reporting that Boing has defeated a pilot's suit for lost wages after the seven thirty seven Max crashes. I'm Jeff Bellinger and on Wy o D in Miami. I'm reporting Florida has been dethroned on the annual list of Best places to retire From U S News and World Report. I'm Stephen Carol and

Bloomberg d AD Digital Radio in London. We've been reporting on VP and dancing, a two point five billion dollars share buy back as it reports more bumper profits and those are some of the stories. Are hundred Bloomberg journalists and analysts are working on this morning around the world. It's nine on Wall Street. The following is an editorial from Bloomberg Opinion. This editorial was written by the Bloomberg

Editorial Board. The migrants known as Dreamers, who were brought to the US as children, have long lived under the threat of deportation. With the mid terms looming, lawmakers may not get another chance to protect them. The DACA program allows these undocumented immigrants to study and work legally in the U S. DACA households paid billions in taxes but still lack clarity about their legal status. An impending court ruling could immediately revoke some enrollees right to work, which

would be devastating for businesses. To the house has already passed a bill that would shield a DACA recipients from deportation and given them a path to citizenship. By partisan effort in the Senate would do much the same. The drama has gone on far too long for the dreamers and the families who live in fear. This editorial was written by the Bloomberg Editorial Board. For more Bloomberg opinion, please go to Bloomberg dot com, slash Opinion or O P I n go on the Bomberg terminal. These has

been Bloomberg Opinion. Bloomberg Opinion editorials can be heard every weekday at this time, and terminal customers can read more at opie I n go. SMP futures up by thirty two points, TOUT futures up on Nasdaq Futures up a hundred one. This is Bloomberg. The Bloomberg Sports Report was brought to you by Audie. Don't let someone else drive

off in the Audi model you've always wanted. Visit your local try state Autie dealer to get behind the wheel of yours today, or visit Autie Offers dot com for more information, markets, headlines and breaking news twenty four hours a day at Bloomberg dot com the Bloomberg Business at and at Bloomberg quick tape. This is a Bloomberg Business Flash. I'm Nathan Hager. This updates brought to you by SEI. Asset managers don't get results that are off the charts

and their solutions are off the shelf. Learned how SEI is up rating platform concern infrastructure into a competitive advantage at se i C, dot com, slash Tech. We check the markets every fifteen minutes during the trading day on Bloomberg, and futures are moving higher. SMP futures up thirty one point DAL futures up a D eighty eight, NASTACT futures

higher by a hundred twenty points ten. Your treasury is up twenty two thirty seconds, the yield three point nine, and nime X screwed is up one point three at eighty seven dollar sixty three cents apparel. That's the Bloomberg Business Flash. Now here's Michael Barr with more on that's going on around the world. Michael, thank you very much. Nathan. The Supreme Court heard arguments involving Harvard and the University of North Carolina that could end the affirmative action process

in college admissions. Former Israeli prem Minister Benjaminett and Yahoo cast his vote into Jerusalem is rarely the voting in their fifth parliamentary election in less than four years. They'll try to make up Game three of the World Series in Philadelphia. It reigned out between the Phillies and Astros. Last Night, Global News twenty four hours a day on air and on Bloomberg Quicktake, powered by more than twenty seven hundred journalists and analysts in more in one twenty countries.

On Michael Barr and this is Bloomberg. All right, thank you, Michael. It's five forty eight on Wall Street. We're now going to bring you our interview with Credit Suis chairman Acte Lehman. Any bargain Huller is hoping to snap up Credit Suite may find themselves getting short shift in Zurich. Lehman spoke exclusively with Bloomberg Yvonne Man, saying that although it's stuck is down yet again, the lender is not open to

take over discussions. He talked about the firm's plans moving forward and now he hopes to ease concerns over stability. All our questions about whether Credits Space is now a takeover target. Would you be open to any kind of takeover offers given some might find your share price got attractive right now? No, Look, we clearly have said this is a fantastic franchise you should not forget has a hunted sixty six years of regacy. You get fantastic businesses too.

Else management business to business if you have asset management. So this is the core of the group and we are going to you know, to slife again, so we don't have any take over discussions. And at that point we truly believe we want to stay independent. Speaking about wealth management, which has always been your historic strength. Um, it seems to be now some investors that are still

quite nervous about the stability of the bank. Many are holding off from bringing in new money business with cress suits until you have your health in order. What happens if those clients don't come back meaningfully before? Look, first of all, yes, there were a lot of rumors about the credits that was spreading the world that was really

I think unfunded. Do you look to our liquidity, the ratious, look to the balance sheet strengths and now even more so as the strengths and the balance sheet and you clearly saw the reaction, which was one of the key objectives of the announcement was that, you know, eighty one spread sedious prints came significantly ly down, so that's a very strong signal of comfort. There was a significant amount

of outflows the first two weeks of October. The firm has said that things are stabilized, but not quite reversed. Are you expecting those outflows to reverse y stable the reverse? It's true the beginning of October, with that social media storm, we had outflows. That has clearly stabilized. We even see some inflows coming, and I would anticipate that we will have further inflows in the weeks and months to come. Things like you're exiting out of businesses where maybe where

profits are coming from. What's the logic in cutting cutting, cutting going forward? Criticism is really the wealth management centric franchise centered around entrepreneurs, wealthy clients and we don't need you know, that type of businesses that has quite isolated from the rest of the group. As you know, we are in the exclusive discussions with Apollo and with Pincross. I'm highly confident that over the next week we will come to agreement. What about for the asset management side,

is there a sale or parts of it? All? These were all rumors. You know, we are the wealth manager and you know asset management goes very well alongside. We need to have and we are a multi specialist asset management, so we don't need to be the biggest globally, but we need to have those capabilities that we need also from a product and product provider perspective for our wealth mentioned clients and for institutional clients. This restructuring is being

funded by a new investor of the Saudies. There are some questions being raised around the Swiss government and allowing this sort of steak just given the saudiest human rights record. How do you address this sort of geopolitical conflicts. First of all, we are very happy that we have an

investors like the Saudi National Bank. It's a private institution and I think you know, this is also a region that is that is growing, sprawling reach, and so we are very happy that we could really secure that type of investment into you know, what they believe is a great franchise. Credit sists in terms of just the year that you've had. Are you joined in January and how has it been for you as a chairman and dealing

with all this. No. Look when I took over, I joined the board of Creditist a year ago, first as the chair of the Risk Committee, and then you know, I took over as the chairman in January. It was quite busy, as you can imagine now twenty two last year was a nightmare year for Credits with the whole banking industry had super results and we had our biggest loss ever five billion, So you can imagine that that

keeps a very very business. We had just too many shortcomings in the past and call it too many crisis as well as they were all popping up. So it was some two very very challenging years for the group. And yeah, but you know, I'm on one hand also excited about the progress that we're making with a new board, the new CEO, the executive board is largely new. I think we refined the strategy. We addressed some of the core issue that criticis was facing since the Grand Financial

Crisis in really reposition in the organization. Making clear here that the Swiss business wealths management, the multi specialist asset management, this is at the court of the franchise is obviously special access to capital market capabilities. I think we figured out where we need to go, and we took some bold and really very important decisions for the group and it's now really about, you know, looking forward and to execute that plan. Credits with Chairman at A Lemon speaking

with Bloomberg Van Man in Hong Kong. You can catch the full interview on Bloomberg dot com and on the Bloomberg terminal. Nathan all Right, Amy, thank you for coming up to five fifty four on Wall Street time for the Bloomberg LAWBREF brought to you by American Arbitration Association. Business disputes are inevitable, resolve faster with the American Arbitration Association, the global leader in alternative dispute resolution for over ninety years.

More at a d R dot org. The Supreme Court's conservative majority has suggested they're ready to abolish the use of race in university admissions during oral arguments in cases challenging affirmative action programs at the Versity of North Carolina and at Harvard College. Opponents of affirmative action are seeking to overturn the courts two thousand three Grutter Versus Bollinger decision that reaffirmed that universities can consider race and admissions

to bolster campus diversity. Justices were divided down ideological lines on the question of affirmative action. From Are Bloomberg's June Grosso speaks to Audrey Anderson, head of the higher education practice at Bassburian SIMS. Coming into this argument, most legal experts thought that affirmative action was on the cutting block. Did anything in the oral arguments indicate otherwise? No, not really.

The only little asterisk I put on that is, you know, there were a lot of questions June about this twenty five year deadline of sorts language in the Grutter case, where Justice O'Connor, who wrote the majority opinion that it was the court's expectant sation that affirmative action would not be necessary in twenty five years, and there were a lot of questions to both sides about what does that mean?

What should we make of that? And at one point Justice Barrett said, well, you know, it's not twenty five years yet. That was a kind of only ray of sunshine I saw if you were a supporter of affirmative action, that maybe she would think about, well, we should let it hang in there for a few more years. Other than that, I didn't hear anything that made me think that will get any decision other than an overruling of Grutter. Are the challengers here sort of swinging for the fences.

Do they want no reference at all to race in the college admissions process. Well, that's where it's interesting. They want college admissions systems to be color blind, not race conscious. I was actually a little bit encouraged, frankly, to hear so many members of the court agreeing that if Rutter's overrule, universities could take into account race if an applicant brought

it up in their essay. I've been very afraid that the next step that students for Fair Admissions and others like them would take would be to say that color blind means color blind, that if somebody talks about race, university really cannot consider it at all. Almost like you'd have to first have a clean team goes through the applications and redact anything that had race in it. And I'm so much sure we won't see that if Grutter's overturned. But you know, the court here was saying, well, no,

it's not going to be that crazy. But what we're saying is not that crazy, everybody. I think that's where they were going with these questions. And that was Audrey Anderson, head of the higher education practice at Bassberry and Simms, speaking with Bloomberg's June Gross Up. You can catch more of that interview, plus analysis of the latest legal news by subscribing to the Bloomberg Law podcast or downloading the

show at Bloomberg dot com. Slash podcasts, and attorneys can find exceptional legal research and business development tools at Bloomberg Law dot com and on the Bloomberg terminal at b Logo. Right now, futures are moving higher as the Fed gets ready to begin it's to day policy decision making meeting. S and p futures are up thirty three points, DAL futures up a hundred ninety eight and NASTAC futures are on the rise by a hundred twenty four points. Tenure

Treasury is up twenty one thirty seconds. The yield three point nine five percent yield on the two year four point four one percent. Nimex screws higher by one point three percent or a dollar eleven at eighty seven dollar sixty four cents of barrel comics gold up eight tenths percent or twelve dollar sixty cents at sixteen fifty three thirty announced and the euro right now is training at point nine nine three zero against the dollar. You're listening to Bloomberg day Break