Bloomberg Daybreak: November 14, 2022 - Hour 1 (Radio)

to go before stopping interest rate heights. Sandy Hook Memorial for the twenty six people killed opens to the public, plus the t s A is investigating Howlman got on off Frontier Airlines flight with two box cutters. I'm Michael blar More, I'm John stash Our on Sports eight one Barkley with the Giants to victory over Euston the Nixon

Nets lost to win for the Rangers. That's all Strady Ahead on Bloomberg day Break on Bloomberg eleven Free on New York, Bloomberg N one, Washington, d C, Bloomberg one oh six one, Boston, Bloomberg nine sixties, San Francisco, Syrius x M one nineteen and around the world 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 lower this morning. We're coming up to five o one on Wall Street, and we checked the markets every fifteen minutes throughout the trading day. On Bloomberg. U S and P Future is down about twenty points this morning. Down Future is down a hundred twenty and NASDAG Future is down eighty nine ten. Your treasury, Treasury down thirty seconds, three point eight nine percent. They yield on the two

year four point three eight percent. Nathan, Karen, we begin this morning with a high powered meeting underway between the leaders of the US and China. Discussions have begun between Presidents Joe Biden and Shi Jinping in Bali, Indonesia. They are meeting on the sidelines of the G twenty summit. Bloomberg Stephen Angel is there and has the very latest. They're high stakes. Obviously, is the first face to face meeting since Joe Biden became president between himself and s jn. Ping.

They've met many times before. They've had five conversations over the phone or video ofference since he became president. They've accumulated some sixty seven hours face to face over the years. Of course, as Joe Biden was Vice president under Obama, so they know each other. But there are so many sticking issues as the relationship between China and the United States has in many accounts deteriorated to the point where they've cut off military to military dialogue. They've cut off

some climate change cooperation. Following that controversial visit by the House Speaker Nancy Pelosi to Taiwan Bloomberg, Stephen angle in Bali says the Biden administrations played down expectations for this meeting, casting it as a first step rather than a decisive showdown. Still, Nathan, President Biden says he's coming into this meeting with President She in a strong position after a better than expected mid term election. Democrats have retained control of the Senate.

Afterword that Katherine Cortez Master won re election in Nevada, the Red Way for Republicans did not come to pass. We get more from Bloomberg, said Baxter. There's growing thought that it was voters repudiating extremism and a election deniers. Republican Governor Chris Sanunu on ABC says the party needs to stand up and take notice. There's a sense of extremism that I think a lot of Republicans were painted with, rightfully or not, and senna majority of Leader Truck Schumer.

Many Republican leaders actually encouraged the threats of violence, the violence, the denial of an election. The House is still in the balance, but Democrats pretty much need to run the table to win the House. In San Francisco, I'm at Baxter Bloomberg day break. Thanks to turning to markets now, stocks are coming off their best week since June. Tech

was the big winner following last week's inflation report. The NASTAC one hundred climbed nine point eight percent on Thursday and Friday for its best to day games since two thousand eight. Ryan Dietrich is chief market strategist at the Carson Group. But we are optimistic. We made another major market low in October. Six of the last seventeen bear markets ended in October. M could be another one, and again, expectations are so low that any good news can continue

to push this beach ball higher. The Carson Groups. Ryan Dietrich says the SMP fire is up eleven percent since the end of September. Well. At the same time, Nathan stocks are likely to end next year almost unchanged from their current level. That's according to Morgan Stanley's Michael Wilson, the top rated strategists a volatile path to get to his three year end SNP target. It's about two percent

below where stocks closed on Friday. Wilson expects equities to fall as earnings estimates come down, before rebounding in the second half of next year. Well Many strategist Karen say the key for the markets will be the FED pivoting from its rate hike cycle. However, FED Governor Christopher Waller says there is still a ways to go before they stop raising interest rates. Waller told a conference in Sydney this morning the rates will stay high for a while

until inflation gets closer to the Fed's target. Well. Nathan Goleman Sacks sees a significant decline in inflation next year. The firm expects the core PC measure to decline to two point nine percent by December three. It's currently at five point one percent. Goleman points to saw fitting supply chain problems that peak and a shelter inflation and slower wage growth. All Right, we want to bring you up

to date now on the latest developments involving FTX. Authorities in the Bahamas are investigating whether there was criminal misconduct in the collapse of the crypto exchange. Police and regulators interviewed co founder Sam BigMan Freed on Saturday. They're growing signs f t X customers have little chance of recovering their deposits. The head of rival exchange, Binance cz Jau, says the industry can't leave it to regulators to police wrongdoing.

No one can protect a backlayer. To be very frank, if a guy is very good at lying and very good at just pretending to be well, he's not somebody wants to vital let the law. The law is not going to prevent that. The law can help to reduce that um as the industry players wish would be more vocal about it, which is that very strong standards for the industry finances. C z Jaw was involved in a public feud with Sam Bankman Fried's f t X, a dispute that played out as part of the collapse of

f t X last week. We turn our attention now to Elon Musk, the world's richest man, as he has too much work on his plate. Is currently the CEO of Twitter, Tesla, and SpaceX, plus a few other ventures. Speaking at a business conference running alongside the G twenty, must says the amount that he tortures himself is quote next level. I mean, I'm really working at the absolute most amount that I can work from mordingful nine seven days a week. Um, so there's not something I'd recommend. Frankly,

Um yeah. Moscow took over Twitter earlier this month, has already fired around half the firm staff and into the company's work from home policy. Not to another corporate story this morning, Roche says along awaited experimental drug for Alzheimer's disease failed in a pair of large studies. It is another disappointment in a research field that's been marred with failures. Rose shares right now are down five in Europe and finally, Nathan London has lost its crown as Europe's biggest stock market.

It's now behind Paris as economic growth continued, concerns way on UK assets. Meantime, China's relaxation COVID rules is boosting French luxury shares. Currency movements have also been an advantage for Parish as the pounds week in against the dollar. This year, the euro has spared slightly better, weakening around nine. And straight ahead, we have your latest local headlines plus the check of sports, and this is Bloomberg. Thank you, Karen.

It's five oh seven on Wall Street with thirty nine degrees in Central Park, head only to the upper forties today. We gotta crash northbound New York State through way in your exit ten. Michael Bars here with what else is going on in New York and around the world. Good morning, Michael, Good morning Nathan. The long awaited memorial to the victims of the Sandy Hook Elementary School shooting officially open to the public as today, drawing visitors steadily throughout the day.

The circular memorial pool stood in front of the engraved names of the twenty first graders and six educators killed a short distance from the Connecticut school nearly ten years ago. There was no ceremony, in keeping with New Town tradition of marking anniversaries and other remembrances of the shooting with quiet reflection, just what Jenny Hubbard and other Sandy Hook parents and families were hoping for. When you have a tragedy like Sandy Hook, or any other tragedy that rocks

any community. It's nice to have a place that marks that moment. It will be ten years next month at Jenny's daughter Katherine Hubbard, just six, was killed in the Sandy Hook shooting. Former Vice President Mike Pence is talking about what happened during the January six attack ahead of his new book released. Pence on ABC condemned then President Trump's actions that day, saying he endangered his family and

everyone in the Capitol. He says the President's words were reckless and it was clear he decided to be part of the problem. But I turned to my daughter, who was standing nearby, when I said, it doesn't encouraged to break the law. Takes courage to uphold the law. Mike Pence's new book, entitled So Help Me God, comes out tomorrow. More hospitals are reporting a surge of patients young and old with RSV and the flu, the most and earliest

in years. Connecticut hospitals are considering asking for National Guard help. Dr Ian Michaelo, Connecticut Children's med Center Hartford says that there e r is full with longer wait times. Some people are putting a twin Dammi the younger children. Unfortunately, the sixth of some morning air ways, they can't deal with the secretions as easily as older children, so those tends to be the sicker children. Dr Michaelo says older

patients potentially getting pneumonia is also a concern. There are new concerns about airport security after what happened on the Frontier Airlines plane late last week. The t s A is sending some agents back to training after a man board at a Frontier Airlines flight in northern Kentucky with two box cutters and reportedly threatened to harm other passengers.

Global News twenty four hours a day on air and on Bloomberg Quick Take, powered by more than twenty seven under journalists and analysts more than a hundred twenty countries. Michael Barne, this is Berg NA. Thanks Michael. Almost five ten on Wall Street time for the Bloomberg Sports Update Party. If I try state outing. Good morning, John Stashup, Good Morning.

Eighth of the Day began with a report that during the bye week, the Giants held contract tops with Sa Kwan Barkley, but the two sides are far apart and won't talk again until after the season. Barkley is having a terrific season. Yesterday he was busy, thirty five carries a hundred and fifty two yards of the Giants went to him late in the game, handoff, Barkley runs right again, don't touch down. Giants sick kan Berkley put two yards out.

It's just six rushing touchdown of the season, and the Giants answer Houston with seven of their own with one to come. Fan to call. Barkley now leads the NFL, and Roschi is a big reason why the Giants are seven and two. They meet used to the met like twenty four to sixteen couple of Daniel Jones t D passes.

The defense allowed only one t D and another winnable game for Blew this Sunday at home against Detroit Giantstown's sole possession of second place NFC East as Dallas lost in overtime at Green Bay Packers end of five game, losing three game of the day, maybe the season. In Buffalo, the Bills led Minnesota by seventeen of the second half. The game appeared over, went up four. They stopped the Vikings of the one yard line, but Josh Allen fumbled

a snap. The Vikes recovered for a go ahead touchdown. The Bills still tied the game of Minnesota one thirty three thirty and overtime. The Vikings are eight and one two games at the Garden. First. The next they got outscored by Oklahoma City one forty five to one thirty five. The thundershot sixty three percent Rangers then beat Arizona four to one. Neat's the second straight game with the Staples Center.

They beat the Clippers, but they lost to the Lakers, who were without Lebron James Anthony Davis scored thirty seven. The Lakers won won sixteen one oh three. John Stash Downward, Bloomberg Sports, Okay, John, thank you. SMP futures right now are down seventeen points, sound features down a hundred. NASDAC futures are lower by eighty points. We look at the path ahead for this market. Lori Calvacina, head of US Equity Strategy at RBC Capital Markets, durin US. Next, this

is Bloomberg. Bloomberg Sports was brought to you by Audie. Don't let someone else drive off in the Outie model. You've always wanted visit your local price state. Audie Wheeler kept 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 picktap. This is

a Bloomberg Business flash and I'm Karen Moscow. US dot Index futures are falling while a European benchmark takes higher, Treasury yields advancing. The dollar flipped to a gain after weekend comments from Federal Reserve Governor Christopher Waller that policymakers had a ways to go before ending interest rate hikes. And we checked the markets every fifteen minutes throughout the

trading day. On Bloomberg, SNP futures down at seventeen points this morning down futures down a hundred and nastack future is down seventy eight The decks in Germany's up four tenths of upper cent ten year treasury down seventeen thirty seconds he three point eight seven percent. They yield on the two year four point three six percent. Nimex screwn oil is down one on the dollar, six and eighty

seven dollars ninety cents a barrel. Comex School down six tenths percent or ten dollars ten cents at seventeen fifty nine forty announced the euro one point two nine five against the dollar, British found one point one seven six five and the end one forty point three four. And look at a bitcoin this morning is higher of more than two percent at sixteen thousand, seven hundred dollars. That's a Bloomberg business flash. Now here's Michael Barr with more

on what's going on around the world. Michael cool Big, Good morning, Karen. President Joe Biden is meeting right now with Chinese President Chi Jing pay for their first in person meeting since the US president took office nearly two years ago. Their meeting on the sidelines of the G twenty seven in Indonesia. Both men entered the highly anticipated

meeting with Bolster political standing at home. A bomb in this den Bull's popular tourist district killed at least six people and wounded eighty one, with Turkish officials saying day suspect the terror attack. In the NFL, the Giants one Forts were also winners. In the NBA, the Knicks, Nets

and Warriors lost the Wizards one. In hockey, the Rangers and Bruins One Global News twenty four hours a day on air and on Bloomberg Quicktake Power by more than twenty seven hundred journalists and analyst more than twenty countries. Michael mar this is Bloomberg, Nathan. Thanks Michael. It's five nineteen on Wall Street Live from the Bloomberg Interactive Broker Studios. This is Bloomberg Day Breaking as we get the new trading weeks started. We're joined by Lori Calvacina, head of

US Equity Strategy at RBC Capital Markets. Lori, it's great to speak with you. As always, this week is getting started with this meeting now under way between Presidents Biden and she on the G twenty sidelines. Could this meeting between the world's two biggest economic leaders be a catalyst for markets? Well, thanks for having me as always. You know, I think it depends on what actually ends up coming

out of the meeting. I think right now, all focus is still on the said, We're still digesting a lot of earnings reports and of course Russia Ukraine. UM So, you know, I think that this is an issue that investors are watching, but for now, I think it's probably more of a B story than in a story. Okay, well, let's look at what could be the potential a story. This morning, I got to think that it's the cooler that expected inflation print we got that last week, especially

the rally that it sparked. I wonder what you make of that rally and whether it has legs. So, you know, it's a great question. You know. I think there was a lot that happened last week. It felt like it was one of the busiest weeks we've had from major news events in quite some time. And I think the issue of cooling inflation implications, you know, I think on net it's very good for markets. But at the same time,

I do think this is a complicated story. And one of the things we said in our weekly that came out this morning, and we wrote this even before you know, we saw the news that came out last night on from of the new said commentary. But we said, you know, we we just expect a return of hawkish rhetoric um even if there is more of a more of a

debate between the hawks and the doves. But we think that hawkish rhetoric will serve to keep a little on equity prices and can keep conditions volatile for a while. So I do think that this was a step in the right direction, and the FED narrative and the economic narrative just the idea that we can keep this to a short, shallow, near term recession as opposed to a longer, nastier one that hits later next year. Um, but I

do think we have to contend with the rhetoric. Yeah, we did hear from a FED governor Waller saying that it's too soon to think about stopping rate hikes. I didn't hear him say that it's too soon to talk about slowing rate hikes. What does this inflation print mean for the FEDS rate hiking path in your view? So in in my in my mind, and you know, really thinking about the views of our economists. Um, you know, they did sort of raise their estimate on terminal, but

they also do have a step down baked in. And I think that that is, you know, sort of the light at the end of the tunnel, so to speak, that you know, things are headed in the right direction from an equity market perspective. So I still think it's good news. We heard from Mike Wilson as well from Morgan Stanley. Of course, one of the top rated strategists

on Wall Street. He's saying that he doesn't think stocks are going to really move much in terms of the level into next year, maybe going up a bit before going or going down bit before going back up. What kind of volatility are you looking for in this market into next year? So, you know, I probably agree with Mice on this to some extent. We've got a forty one hundred target bake. Then at the end of next year, we've been assuming we'd end this year around thirty eight hundred.

Of course we're a little bit about that right now. Um, But really, one of the things we found that's remarkable is that the stock market, if you look at SMP five hundred pricing, has been trading in line with two thousand twos trading and bast when you saw January peak, summer low, big October low, you rallied pretty seriercely into Thanksgiving, and then you turned around and gave it all back

and retested the October low the following March. And when I think about the earning stock drop, I think that that is a reasonable way to think about how this path may unfold, simply because we've done some work in terms, just softening EPs expectations for next year, but we still have a lot of work to do to get those right sides, and I think you're not going to do that until March. It's possible for equities to bottom well

in advance of earnings revisions, stopping their downward aisen. In fact, that's usually what happens. But at the same time, we do think investors need certainty on the e to really understand where pees are and to feel comfortable stepping in. So I would say buckle up. I think it's going to be challenging. Yeah, And I know also you've been thinking a lot about what the impact of the mid

term elections is going to be for several weeks. Even into these mid terms, given that we still don't have a firm idea of how the majorities are going to shake out next year, is there more pricing for in terms of politics for this market. So I think there could be. I think that if we end up with a narrow house majority, you know, to be honest, I think that is largely big don at this point, and we thought that equities a lot of that move off the October low was driven by the improvement in the

polling data and the betting market data for Republicans. Republicans a disappoint expectations, So I think that can potentially damp in some of the enthusiasm for the race. I don't know if that's the right way to think about it, but I think that's how people feel at the moment based on my conversations. UM, I think if the House ends up not going to the Republican because I think that's a negative market event, you know. For now, I know one of your competitors I've used outlets is still

projecting that the Republicans will take that narrowly. So you know, I see if downside if that doesn't pan out, But I think the upside based on the election itself is pretty limited, you know, if if the Republicans have that narrow majority. Thanks as always, Lorie, good talking with you this morning. Lorie Calvacina, head of US Equity Strategy at RBC Capital Markets, And right now, futures are pointing to a modestly lower open, with SMP futures right now down

sixteen points, Stown futures down ninety six. Nasdaq futures are lower by seventy nine points. Ten Your Treasuries down seventeen thirty seconds, the yield at three point eight seven percent, a gain of about six basis points yield on the two year four point three six just at shy of four point three seven. You're listening to Bloomberg Daybreak. Bloomberg day Break is brought to you by Peepack Private Wealth Management. Peapack Private Wealth Management knows that the portfolio is more

than a collection of assets. It's a path to your future because at Pepack Private dot Com. And begin your financial legacy today. Broadcasting live from the Bloomberg Interactive Broker Studio in New York, Bloomberg ev In Freedom to Washington, d C, Bloomberg nine one to Boston, Bloomberg one O six one to San Francisco, Bloomberg sixty to the country, Sirius XM to the one nine team, and around the globe the Bloomberg Business apt and Bloomberg Radio dot Com.

This is Bloomberg Daybreak and it's Final thirty on Wall Street. Good morning. I'm Karen Moscow, I'm Nathan Hager. Bloomberg Daybreak RANTO you by Sei built on advanced technologies in fifty years of innovation. Sei for his asset Managers, a comprehensive and flexible operations outsourcing platform. Go to se i C dot com slash managers 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. U S Dock index features are lower this morning as we await details of a high powered meeting between Presidents Joe Biden and she Jin Ping. That two are speaking in Bali, Indonesia the d twenty Summit. President Biden gave us a preview of the talks during a stop in Cambodia. I know I'm coming a strong but I don't need that. I know she didn't can asked for more time and than any other world leader. I know him well, he knows me. Pres we have

very little misunderstanding. We just got to figure out where the red lines are. Where we are one of the most important features, and President Biden's administration is casting the meeting as a first step rather than a decisive showdown. Back here in the US, Karen stocks are coming off their best week since June, but last week's inflation print is unlikely to carry this rally for much longer. That's

according to UBS Senior Vice president Brent To O'Connor. Juana's you need to see a lot of other conditions here before we are believers of this market bottom. Things like we need to see that two year come out in a little bit and legitimate bottoming and things like housing or I s M. And so I'm telling my families to expect to go down from here. Brend O'Connor juana's with UBS as an unsustainable labor markets keeping inflation high well.

Nathan Morgan Samley's Mike Wilson shares that varished sentiment. He says stocks will end next year almost unchanged from their current level. Wilson expects stocks and earnings estimates to fall before rebounding in the second half of three. At the same time, Karen Goldman Sachs forecast a significant drop in inflation next year, firmcy supply chains easing a peak and shelter inflation, and slower wage growth. But that does not mean the Federal Reserve will pivot from its rate hike cycle.

Despike calls along those lines. Fed Governor Christopher Waller says there's still a ways to go before they stop hiking rates. Well, turning to Crypto Now, Nathan. Authorities in the Bahamas are investigating whether there was criminal miscont in the collapse of the crypto Exchange f t X. Police and regulators interviewed co founder Sam Bankman Freed on Saturday. Now, the head of rival exchange Finance cz Jaw, says the industry can't

leave it to regulators to police wrongdoing. There is quite a lot of players in the in our space that try to cut corners to grow quickly, and that actually destroys costumer trust. When they don't trust them, they come, they don't go to them, they actually go to the platform they trust. Finances c z Jaw was involved in a public feud with Sam Bankman Freeds f t X ahead of the firm's rapid collapse. And this is Bloomberg. Thanks on Wall Street, thirty nine degrees in Central Park.

We got accident clean up in Elizabeth Bayway Avenue is closed at Greer Avenue. More coming up in traffic First Michael Barr with more on what's happening in New York and around the world. Michael, thank you very much. Nathan. The long awaited memorial to the victims of the Sandy Hook elementary school shooting in Connecticut officially open to the

public yesterday. There was no Sarah money and, keeping with the new town's tradition of marketing anniversaries and other remembrances of the shooting with quiet reflection, twenty children and six educators were killed ten years ago. Next month, ahead of his new book release, former Vice President Mike Penn, speaking with ABC S David Muir, condemned then President Trump's actions on January six. Pence says, the President's words that day at the rally endangered me and my family and everyone

at the Capitol. Members were barricaded inside the House chamber, and in the middle of it all, you can see that the President has tweeted tom The President tweets Mike Pence didn't have the courage to do what should have been done. It angered me. But I turned to my daughter, who was standing nearby, and I said, it doesn't take courage to break the law, takes courage to uphold the law. I mean, the President's words were reckless. It was clear he decided to be part of the problem. Pence's bucks,

so help me, God comes out tomorrow. A new turning point in the war in Ukraine. Russian forests were driven out of curse On. Now Ukraine is saying it has recaptured another village, this time in the eastern Nunbas region. A man is in custoday after a scare aboard the Frontier Airlines flight at the part at Cincinnati Northern Kentucky International Airport on Friday for Tampa, but diverted to Atlanta, where police arrested a passenger allegedly discovered with a box cutter.

This man was on that flight, saying the passenger began attracting attention even while boarding. He was swearing as he's walking down, and then he had clothes falling out of his bag. He's like dropping shoes throughout the way. Authorities say they found a second box cutter and the passengers carry on. A bomb in his Stan Bull's popular tourist district killed at least six people and wounded eight one, with Turkish officials saying they suspect a terror attack. A

person is in custody. Global News twenty four hours a day on air and on Bloomberg Quick Tank, powered by more than twenty seven hundred journalists and analysts are more than a hundred twenty countries him Michael Barr and this is Bloomberg Nathan. Thanks Michael. Almost five thirty six on Wall Street time for the Bloomberg Sports Update, brought to you by tri State out of your John Stats Show. Thanks nathanother win for the Giants now seven and two.

But this win unlike the others the Giants five times they have rallied on the fourth woar. This time they never trailed against Euston, who has the NFL's worst record. The Giants won twenty four and sixteen couple of Daniel Jones t D passes. S Quon Barkley also scored. He had thirty five carries for a hundred and fifty two yards. But after the game, a lot of attention paid to a report that there were recently contract talks and the two sides were far apart. It is what is happened.

I'm just happy that we able to tell these have conversation. UM. I know how they feel about me. Um, they spoke very high on me. But like I said, we were able to get anything done going to Boue weekend. I agree with Joe just you know, block it up and for for the rest of the season and make sure distract and come out of it. Joe changed the GM. Barky did say he wants to be a giant for like.

Minnesota is eight and one, a wild overtime win at Buffalo Josh Allen and the fourth quarter and the ot had three turnovers, including a fumbled snap at the one yard line that was recovered for a Vikings touchdown. Miami now leads the a f C east of Dolphins blew out Cleveland. Kansas City is an a f C best seven and two with a win over Jacksonville. Fort t d passes for Patrick Mahomes, three for Aaron Rodgers. Green Bay end of the five game losing streak. They beat

Dallas and overtime. They beat their former coach, Mike McCarthy first ever game in Germany won by Tampa Bay over Seattle Indianapolis, his first game for new coach Jets Saturday had never been a coach before the Colts won at Las Vegas, the l A Rams Super Bowl champs a year ago and now three and six after the loss to Arizona last night, the forty Niners rallied past the Chargers two to six teen, no defense by the nixt They lost to Oklahoma City at the Garden one five

to one third five is the thundershot six. Then that's after bidding. The Clippers in l A lost to the Lakers in l A one sixteen to one oh three. The Rangers of the Guarden last night be in Arizona four to one. John stash Award Bloomberg sports Nathan taking John thirty seven on Wall Street Time for the Trent

State Business Report. Here's Bloomberg's Joan Doneager. Blockchain is helping fraud investigators in the City Manhattan d A Alvin Bragg says the office is frozen more than one point three million dollars in cryptocurrency during fraud investigations in the past ten months. Bitcoin Daily says the office is returning the bitcoin to victims. New York had been considered a trailblazer

in terms of pay. New York City's minimum wage first reached fifteen dollars an hour nearly four years ago, but The Time says recently the minimum wages of a number of cities have left New York behind. The richest art season in history is only getting richer after last week's one and a half billion dollar auction of the late Paul Allen's art assets, in which sixty works became the largest single owners. They ill by value. There is follow

up in the next week. Southby's, Christie's and Phillips are all set to auction about two thousand lots, estimated to total a little less than two billion dollars with the Try State Business Report on Joan Donnager. Thanks John eight on Wall Street. Bloomberg Radios on the air from San Francisco to New York, London to Hong Kong. Let's check in with our global news team for some of the top stories heard on our three hundred of fillion radio stations around the world. I'm Steve Polos, Kan K and

X in Los Angeles. We're talking about a mysterious lack of early twentysomethings in the workforce, um Courtney, Donahoan K, Terry H in Houston. Traders Bracing with OPEC and the International Energy Agency out with forecasts this week. I'm Stephen Carol on Bloomberg d A B Digital Radio in London. We've been reporting on Presidents She and Biden meeting face to face at the G twenty and balley. Those are some of the stories our twenty seven hundred Bloomberg journalists

and analysts are working on this morning. It's five thirty nine on Wall Street. The following is an editorial from Bloomberg Opinion. This editorial was written by the Bloomberg Editorial Board. Already the poorest country in the Western Hemisphere, Haiti is on the brink of collapse. Gang warfare and rolling anti government protests have blocked the distribution of food, fuel, and water, and rising crime has forced tens of thousands of Haitians

to flee. At the request of Prime Minister Ariel Henri, the U S and its regional partners have been exploring a possible armed intervention. They should think twice. While Haiti's rich neighbors must do more to help, sending foreign troops risks an even greater disaster. The Biden administration should instead focus on building the capacity of Haitians themselves and provide humanitarian relief directly to agencies with a proven record of

distributing funds effectively. Sustained diplomatic engagement and security assistance, not military, every intervention holds the best chance for success. This editorial was written by the Bloomberg 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. Listen for Bloomberg opinion editorials every weekday at this time. This is Bloomberg. Bloomberg Sports is brought to

you by Autie. You don't let someone else drive off

in the Autie model. You've always wanted to visit your local try state Autie deally get behind the wheel of yours today or visit Outie 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 Quicktake, This is a Bloomberg Business flash and I'm Karen Moscow US dot index futures are following this morning and we checked the markets every fifteen minutes throughout the trading day

on Bloomberg. Right now, S and P futures are down nineteen points, DALN futures down a hundred twenty one and NASDAGG futures down ninety one. The decks in Germany higher up to tens of upper set. The tenure treasury down nineteen thirty seconds. You'l three point eight eight percent yield

on the two year four point three eight percent. NIMEX scrude oil is down nine tenths per center eighty two cents at eighty eight dollars, fifteen cents of barrel comic school down six tenths percent or eleven dollars thirty cents is seventeen fifty eight ten an ounce. The Euro is at one point oh two nine two against the dollar. British found one point one eight and again one forty point six four Bitcoin this morning up two and a half percent at sixteen thousand, seven hundred eighty dollars. Has

a Bloomberg business flash. Now here's Michael Barr with Moore on what's going on around the world. Michael Karen, thank you very much. Joe Biden and shi Jing Ping shook hands today to kick off the first in person meeting between the leaders of the U S and China since the pandemic began, with both calling for reduced tensions between the world's largest economies. The two men met on the

sidelines of the G twenty summit in Bali, Indonesia. Biden also met with Australia Indonesia, Japan, and South Korea leaders the National Transportation Safety Board. They are in Dallas to try to figure out what caused two historic military planes to collide at a weekend air show. Six people were killed in the NFL. The Giants one forty Niners were also winners in the NBA, The Knicks, Nets, and Warriors lost. The Wizards won in hockey, the Rangers and Bruins won.

The Capital's lost. Global news twenty four hours a day on air and on Bloomberg Quick Tank, powered by more than twenty seven hundred journalists and analysts and more than a hundred twenty countries. Michael Barn this is Bloomberg, Nathan. All right, Michael, thanks for coming up to five forty nine on Wall Street Live from the Bloomberg Interactive Brokers studios.

This is Bloomberg day Break. Let's get more now on this bi lat between Presidents Biden and she and the outlook in the nation's capital with Democrats having a much better than expected showing in the mid term elections. Terry Haynes is back with us this morning, founder of Pangia Policy. Terry, it's good to speak with you this morning as we continue to watch headlines come down from this meeting between

Presidents Biden and She. Ahead of it, the President said that he's coming into the meeting from a position of strength after the Democrats, uh stronger than expected showing last week. Do you agree with that? I think, good morning, Nathan. I think that you make your best case uh, domestically and geopolitically internationally, And so President Biden is doing that. I don't think he's Realistically, I don't think he's standing

is much affected. Uh. Now that said, I'll say a point in the President's favor, which is that if he'd gotten absolutely in his party, had gotten absolutely shellacked last Tuesday, Uh, that that would have been a would have given rise to a geopolitical perception uh that he has less clout in his own country. So uh, you know, I'll give him a little bit on that. Yeah, But fundamentally it doesn't matter very much. What are you expecting to come

out of this meeting? The White House set expectations pretty low ahead of it. Are you looking for any deliverables or is this just about sort of easing the existing tensions. I think you said it well, with easing the existing tensions, uh, And I find Interestingly, I find in a large part through Bloomberg reporting too, that that's how the Chinese are

framing it as well. Uh. The President, she said that it really talked about the mutual responsibility of China and the United States and need to find the right direction elevate the relationship, expects that China and the United States will properly handle the relationship. It's an interesting shift of rhetoric from them because during the Communist Party conference, it was much more about China, this China, that China feels, you know, understand our legitimacy, all the rest. So, uh,

that's a bit of a different tone. I don't expect it to move into a much of a different substance, but uh, but the tone shift is interesting and helpful. Frankly, I want to get your take on where things stand, uh in the mid terms. Obviously we haven't quite worked out what the full majorities are going to look like in the House, but Democrats are retaining a majority or at least a voting majority in the Senate. What's that gonna mean for policy making, not just in the lame

Duck but for the next two years generally speaking? You know, and I'm a bit of a doubtlier on this, I think, and largely because of the excitement surrounding the election, But fundamentally it's not gonna look a whole lot different than it does today. You're still gonna have grid luck on

the vast majority of domestic issues. You're going to continue to have UH fiscal stability because there's been this truce between the parties for the last decade to basically on basic government funding, pretty much continue the status quo as is with minor minor adjustments and UH. And you're going to continue to have unanimity on foreign policy, particularly on Chinese issues. So fundamentally, I think it's not going to

look a whole lot different now. The one thing that that I think is ought to be concerning the markets coming forward is that I think there's an elevated risk. I'm not saying it's likely, but I think there's an elevated risk of problems with the debt limit, debt ceiling,

and therefore potential government default. When you've got two fundamental parties where there really wasn't much of a change election, you know, you had UH all twenty eight of the Senate incumbents, one re election of the House one reelection, that sort of thing. Uh, They're gonna be scrabbling for

every little advantage they can. So my concern is that uh kind of the those folks in both parties who are looking to make a differentiation, uh, really kind of elevates the fault potential more than they through the dead ceiling, more than they would have otherwise. Thirty seconds left here, Terry, how much of a leadership fight is either Nancy Pelosi or Kevin McCarthy in for Uh, Well, I think McCarthy is in for a fight. Uh that I've have said that.

You know, there's the problem with factions is that is one Republican put it. I'd love a majority of one because then I am the majority and uh and and you know, can do you know, move things the way I want. But I think there's gonna be a lot of discussion around McCarthy and the Republican leadership team in the wake of what they perceived to be a disappointment. I think this is Pelosi can pretty much do what she wants, all right, Terry Haynes as always good to

get your thoughts. Terry Haynes, Founder of Pangia Policy. Karen Nathan It is five fifty three on Wall Street time for the Bloomberg Law Report. It has brought to you by American Arbitration Association Business. Its views are inevitable, Resolve faster with the American Arbitration Association, the global leader in alternative dispute resolution for over ninety years. More at a e er dot org. Now, let's get to the legal stories we are watching this morning. From Bloomberg's Jeff Bellinger,

Big Laws hiring frenzy is over. Many highly profitable firms have begun cutting junior lawyers, and the pressure on headcounts is likely to grow in the new year. A proposed federal class action accuses Apple of recording users private activity on mobile apps without their consent. A federal court in Northern California dismissed a lawsuit accusing Metal platforms favoring job

applicants on temporary work visas over American citizens. Bloomberg Law everything you need on one legal research platform, guidance analysis, and Bloomberg market Intelligence. Find out more at Bloomberg Law dot com. All right, Jeff, thank you know. Another legal story we're watching the U S Supreme Courts and mixed signals about the fate of a nineteen seventy eight law that gets preferenced in Native America and adopting and fostering

American Indian children. During oral arguments, several members of the Chorus conservative majority question whether parts of the Indian Child Welfare Act could be squared with the equal protection claws and other constitutional provisions. For more in the case, Bloomberg's June Grosso speaks to Ben Kappelman, a partner at Dorsey

and Whitney, tell us about the basic arguments of the challengers. Sure, there are three kind of constitutional principles that the challengers are pointing to for their reasons why they believe EQUA is invalid. One is equal protection um, the constitutional idea that we can't discriminate on the basis of race. Another basis that they point to is they assert that in enacting EQUA, Congress overstepped it's authority to regulate um Native Americans.

And then the third idea is what's called the anti commandeering principle, which is a doctrine that says the federal government um only have so much control over things that happen in state courts, and that state governments participated these arguments went on for three hours, which is long even for the new Supreme Court format. Um, was there a particular area that the justices were concerned about or did it? Was it broad? So there was, and I think from that UM we can see some of the tea leaves

of how this case might turn out. UM. Despite I think a lot of interest in this case because of those equal protection racial classification issues, the Justice has spent most of their time questioning the attorneys on both sides about the scope of Congress's authority to enact statutes involving Native Americans. So, you know, we won't know what the

justices are thinking until we get their opinion. But it's interesting that of that three hours, most of it was not spent on the on the racial issue and more on how broad is Convers's authority in this area. And I spen Kappelman, a partner at Dorsey and Whitney, speaking at the Bloomberg stud in Grosso. 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 Podcast. Attorneys given exceptional legal research and business development tools at Bloomberg law dot com and on the Bloomberg terminal at b law Go. It is currently thirty eight degrees. Partly cloudy skies and futures this morning moving lower, S ANDP futures down sixteen points at our top story straight Ahead, This is Bloomberg