Bloomberg Daybreak: October 11, 2022 - Hour 2 (Radio)

The woman has been arrested in the fatal attack on a man on a Bronx busts a feisty debate between the two Senate candidates in Ohio. I'm Michael lar More Ahead, I'm John Stashnoward Sports that Chiefs Rallied the top the Raiders. The Yankees begin their playoff series with Cleveland and its

opening night for the Rangers. That's all s Trady Haad on Bloomberg Daybreak on Bloomberg eleven, Free on New York, Bloomberg nine one, Washington, d C, Bloomberg one oh six one, Boston, Bloomberg nine sixties and Francisco Sirius x M one nine team and around the World. Old on Bloomberg Radio dot Com and via the Bloomberg Business. Good morning, I'm Nathan Hagar and I'm Farren Moscow and US dot index futures are lower this morning. We are coming up to six

oh one on Wall Street. Let me check the markets every fifteen minutes throughout the trading day on Bloomberg. Right now, S and P futures are down thirty six points down, features down two hundred fifty four and as dack futures down one hundred seven and the ten year treasury is down eighteen thirty seconds. You three point nine five percent, and they yield on the two year four point three two percent. Nathan here in this morning's driving futures follows

four straight losing sessions on Wall Street. This morning, yields on two year treasuries are trading at their highest level since two thousand seven. Ten year yields are flirting with four percent, and the thirty years surge two it's highest since Jordans Cohn is chief investment officer at a c M Funds. A lot of these areas of the market and the fixed income market are really getting colder. Sold

here come down quite a bit. Are much higher than we've seen in years, and so I think as soon as the market gets a spense that inflation is peaking um and and ten year yields start to stabilize more, you know, I think there could be a lot of good buying opportunities. But for us, no, we're not going to put the part the horse. Jordan Cannad, a CM fund, says the mood remains fragile ahead of Thursday's inflation data. Well as for equities, Nathan, perhaps the hardest hit sector

and the recent sell off has been ship stocks. In fact, more than two hundred forty billion dollars in market value has been wiped out since the White House and posts curbs on China's access to semiconductor technology. They get more from Bloomberry's Charlie Pellet. The industry sold off globally after fresh US curbs on China's access to American technology added to a disappointing start to the earning season, stoking concern

that the industry's downturn is far from over. The Philadelphia Stock Exchange Semiconductor Index fell three and a half percent, closing at its lowest level since November of the index has dropped nearly ten percent over the past three trading days and is now down more than forty so far this year. In New York, Charlie Pellett Bloomberg, debrit Al Right, Charlie, thank you. In the chip sell off continued overnight, leading stocks lower in Asia. Let's get that recap from Bloomberg's

Juliette Sally in Singapore. Good morning, Juliette, Good morning, Nathan and Karen. Some of the biggest losses were in chip related equities in Japan, South Korea, and Taiwan, where traders returned from holidays to join the global sell off in semiconductor shares. Taiwan's tie X traded at November twenty twenty lows well. T SMC shares fell as much as eight and a half percent, the most on record to July

twenty twenty lows. The yend traded within sight of the original level that spurred Japanese authorities to defend the currency in September, and the one slid as warri mounts at Beijing will uphold its COVID zero policy well after the Chinese Communist Party Congress this month. In Singapore, Juliette Sally Bloomberg Daybreak Right, Juliet, thanks for all in Europe. This morning, the Bank of England has been forced to expand its emergency measures. That's in response to chaos in the bond market.

And we go to London and get the latest from Bloomberg's un Pass. Good morning U, Good morning Karen Nathan. It's the second time this week the UK Central Bank has moved to calm the bond market. This morning, the banking and expanded the scope of its guilt purchases to include inflation linked debts in an effort to avert what it called a fire sale. The intervention comes after a severe set off on Monday that saw UK inflation yields surging by the most on record. In London, Immune part

splombog daybreak, All you and thank you. The risk of a global recession is now rising thanks to higher rates. That's according to both the head of the International Monetary Fund and World Bank President David Malpass. There's the risk and the real danger of a world recession next year. The advanced economies are are slowing in Europe. The debt levels for the developing countries are getting more and more burdensome.

The rise in interest rates puts added weight on it, and inflation is still a major problem for for everyone, but especially if of the poor. Of those comments from World Bank President David Malpass are being echoed by JP Morgan's CEO, Jamie Diamond. He says serious headwinds are likely to push the U S and global economies into recession

by the middle of next year. Meantime, Nathan, the Fed keeps banging the drum for higher rates still Vice chare Lyle Brainer that lays out a case for caution as a central bank works to curb inflation in light of elevated global economic and financial uncertainty. Moving forward deliberately and in a data dependent manner will enable us to learn how economic activity, employment, and inflation are adjusting to the cumulative tightening in order to inform our assessment of the

path of the policy rate. Fed Vice chare Lyle Brainer made the comments yesterday at a meeting of a National Association for Business Economics in Chicago. Well, despite that, caution care and it's too early for a FED policy pivot. That's according to strategistic Goldman Sachs, who say the economic outlook is not bad enough yet and rates markets remain too volatile. Economists predict the FED is on track to deliver its fourth straight seventy five basis point hike at

next month's meeting. Now, Nathan, let's go to the latest on the war in Ukraine. Russia has launched even more strikes in the country, just a day after the most intense barrages since the early days of the invasion. President Biden will speak with group of seven leaders this morning. He's pledging to impose more costs on the Kremlin and

to keep providing support to Kiev. John Herbs is a former US Ambassador to Ukraine and now Senior director of the Atlantic Council's Eurasia Center, who's objective is not to take a bit of territory Ukraine's east. It is objective today is to take political control of Ukraine. As objective tomorrow, once he has Ukraine in his pocket is to go after other states, including Allen NATO Allas. So he is coming for our NATO Allas. We are abound to defend

with American troops. Former Ambassador to Ukraine John herb spoke with our Washington correspondent Joe Matthew on Bloomberg Sound on Catch the program weekdays at five pm Eastern on Bloomberg Radio and SMP futures right now are down thirty seven points.

Now Future is down two seventy nastack features are lowered by a hundred twelve points, The tenure Treasury is down sixteen thirty seconds down, the heel three point nine four percent, yield on the two year four point three two percent, and nime x scrude is down too and two thirds percent at eighty eight dollars seventy one cents a barrel.

Local headlines in the check off Sports. Next, this is Bloomberg six oh seven on Wall Street fifty three degrees in Central Park got an accent with the Williamsburg Bridge into the city. Details coming up in traffic. First Michael Barr with what else is going on in New York and around the world. Good morning, Michael, Good morning Nathan.

A woman was arrested yesterday, And the fatal stabbing of a man during an argument aboard and mt A bus and the Bronx Lamont Barkley, who was fifty five, is the eighth person to be killed in the transit system this year. The NYPDS has Barkley gone into a verbal dispute with a man and a woman believed to be boyfriend and girlfriend on a bus Sunday night. Authorities say the argument escalated and the man stabbed Barkley multiple times in the stuff. The detectives say forty two year old

Ebony Jackson was arrested in connection to the stabbing. The man is still on the loose. It was a feisty debate in Ohio last night between the two Senate candidates. Democratic Congressman Tim Ryan and Republican j D. Vans were on Next Our Media. President Trump endorsed Vans. He talks about wanting to support a stronger border. He talks about wanting to be bipartisan and get things Donald. Tim, You've been in Congress for twenty years, and the border problem

has got worse and worse and worse. Ryan on his opponent, JD. Vance, raised money for the legal Defense Fund of the insurrectionists. This is the kind of extremism, j D that we wholly reject. You have video post, don't even try to. The race could determine which party controls the US Senate. A pro Russia hacker group that has targeted several government websites has taken responsibility for coordinated attacks targeting dozens of

US airports, including LaGuardia. John Holtquist, head of in Religence Analysis that cybersecurity firm Mandy And, says kill net has been targeting mainly US government websites and other systems globally. Previously, they've carried out attacks all over Europe. They carried had attacks in Japan. Even so, it's sort of a global problem, but you know, a lot of it is. A lot of it is tied to the war in Ukraine. John old Quist with Mandy And told ABC no flights were

disrupted as a result of the attacks. The Supreme Court will here arguments today over at California animal cruelty law that could raise the cost of bacon and other pork products nationwide. Involves a California law that says pork sold in the state needs to be from pigs treated humanely. A majority of unionized railroad workers voted to reject the tentative labor agreement brokeren in Park last month by President

Joe Biden. 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 Barr and this is Bloomberg Nathan. Thanks Michael. Almost six cent on Wall Street. Time for the Bloomberg Sports Update with John Stashell. All Right, the Mets postseason over and now the Yankees postseason, but gets going. Game one with Cleveland tonight will be Garrett Cole versus the Guardians

cal Quantrille. Eighteen years ago. His father, Paul was a Yankee reliever, served up the David Ortiz game winning omer in Game four the Alcs that began that Red Sox come back from three nothing down. Aaron Boone met the media yesterday. I was asked if the crowd will be like it was when Aaron Judge was chasing Roger Marrick's Yankee Stadium in the playoffs. It's gonna be pretty raucous.

I would imagine tomorrow night, a lot of energy in the building, a lot of anticipation, certainly when Aaron's up, because it's Aaron Judge and and what he can do. But no, I don't think it will be necessarily similar to you know, when he was sixties sixty one and stuff like that. I think it's gonna be the playoffs. Three other division series just that Intra Division Phillies and Braves in Atlanta, Mariners and Astros in Houston. Thirty nine

year old Justin Verlanders starts for the Astros. Out a brilliant regular season, Padres and Dodgers in l A. The Dodgers won the season series with San Diego fifteen to four. The Mets offseason underway. There are a lot of decisions to be made. The Mets could have as many as ten free agents and the list will include Jacob de Graham, Edmund Diaz, and Brandon Nimo. Well. Last saw the Rangers.

They were losing to Tampa Bay and the Stanley Cupconference final Rangers in lightning tonight at the Guard in the beginning new season wild Monday Night at a Calf Week five Raiders led in Kansas City seventeen nothing back to in the Chiefs. Patrick Mahomes and Travis Kelsey hooked up for four touchdowns. Raiders scored what looked like the game time TV. With four and a half minutes left, they went for two. It failed. Chiefs held on to win

thirty at twenty one. John Stashower Bloomberg Sports, Lincoln Okay, John thanks SMP Futures moving lower now down thirty five points, about one percent down. Futures sound sixty one, net futures lower by a hundred seven points ten. Your treasury now down eighteen thirty seconds, the up to three point nine. This is Bloomberg Bloomberg eleven three O. Weather sunshine today

with a high near seventy degrees mostly Sunday. Tomorrow year seventy showers, chance for a thundershower Thursday back near seventy though right now fifty three in Central Park markets, headlines and breaking news twenty four hours a day at Bloomberg dot Com, the Bloomberg Business Append at Bloomberg Quick Tape. He's a Bloomberg Business flash and I'm kared. Moscow stocks are falling, pressured by rising treasury yields and signs that company earnings are set to disappoint, a gauge of the

dollar climbing to the highest this month. And we checked the markets every fifteen minutes throughout the trading day. On Bloomberg SMP future is down thirty six points, down, features down two hundred sixty six and nowsday futures down one hundred six. The decks in Germany's down one point. Can

your Treasury down sixteen thirty seconds. He had three point nine four per cent yield on the two year four point three too percent nine Max Screwed oil is down two and a half percent, down two dollars thirty cents at eighty eight dollars eighty four cents of barrel call Max schal down a third of per cent, or six dollars ten cents a sixty and sixty nine twenty announced the euro point nine six nine seven against a dollar British found one point one zero three seven and a

yet five point seven three. And looking at bitcoin, it's down nine tenths of a percent at nineteen thousand dollars. And that's a bloomberg business flash. Now here's Michael Barr with more unless going on around the world. Michael Karen, thank you very much. Today and marks four weeks until the critical November mid term elections, which will decide which party controls Congress. US Senate candidates in Ohio held their first debate last night. The U Supreme Court could hear

arguments in a high stakes case today involving pork. The nation's twenty billion dollar pork industry is asking the justices to strike down California's Prompt twelve that would ban the sale of all work that comes from pigs raised in spaces that aren't large enough for them to turn around it. In football, the Chiefs meet the Raiders thirty nine in baseball, Game one of the a LDS begins tonight. For the Yankees, they played the Guardians. The NHL season begins tonight. The

Rangers take on the Lightning. 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, thank you. It his six nineteen on Wall Street. Live from the Bloomberg Interactive Brokers studios. This is Bloomberg Daybreak, and we continue to follow developments out

of Ukraine. Russia has launched fresh strikes today in southern and eastern parts of Ukraine, the so called annex territory, a day after a major barrage, one of the biggest barrages since the war began in cities to the north, including the capital Kiev. Joining us now is Bloomberg News Senior reporter for intern National Affairs, Mark Champion. As we continue to follow these developments, Mark, what more can you

tell us about what's happening today. Well, it's a continuation on a lesser scale of what happened yesterday, which, as you said, was a massive series of strength in cities all across the country. UM. We haven't seen that since literally the first day of the war, when you know a huge number of missiles we used to take out airports around Ukraine. UM. But it's you know what was interesting yesterday, are you know appalling? Also yesterday was that it was very very clear that the targets were a

civilians and be civilian infrastructure, power infrastructure in particular. UM. And you know this was all in retaliation for a Ukrainian attack or you know, alleged Ukrainian attack. They haven't actually claimed responsibility on the bridge that Britain built after annexing Crime in two thousand and fourteen in order to connect it to the Russian mainland. Now we're hearing reports as well from Russia that they're planning to continue with

these infrastructure attacks. When we're thinking about energy and uh, civilian infrastructure. What does that say about where this war could go? Are these concerns that the Russia might lash out as Vladimi reputing is sort of painted into a corner. Are they starting to pan out here? Well, it is certainly an escalation, uh. And it is you know, an attempt.

Nationalist critics of the conduct of the war in Russia have have long argued that in their kind of you know, discourse, Russia to take off the gloves UM and really attack UM Ukrainian infrastructure and cities, UM, to bring the country to a halt uh and make it difficult both to pursue the war but also for people to live their life, so that they will essentially knuckle under and put pressure on the government to um and the war. That policy has been tried by countries before, or war to etcetera.

Hasn't had a lot of success in the past, and it seems rather unlikely that it will again, which is why one way in which Western military analysts and the West are looking at this is to say, but it's really an expression of desperation on the Russian side because they have not found a response to Ukraine's gains on the battlefield. So this is the way that they have to respond. Now, whether that will lead to further escalation,

UM is clear. But obviously Russia is a power with large stock piles of different kinds of weapons of mass destruction, including nuclear, so that that possibility is out there. And to that point, Ukrainian President Voladimir Zelinski has been calling for even more military support from the US and allies, including air defense systems. We're getting ready for this G seven meeting that's going to be happening later this morning. What's the possibility that we could see even more military

support from the allies coming out of this meeting. Well, certainly in terms of air defense. Uh, this that seems to be very you know, on the cards. Biden has said that he will send more air defense to Ukraine. UM and that is probably something that you know, most European countries can also get behind, um to the extending have air defense systems you know the kind that uh,

Ukraine needs to spare so that they can send them. UM. Well, I think we're likely to see that the Germans have sent mobile systems before, which were used during the Ukrainian offensive UM and you know on in areas such as tanks, and that the Germans have been reticent. So that is uh, that's a given really, Um, you know, at the G seven itself, it seems lightly we'll we won't see any sort of signs of cracks, um you know emerging in

in terms of support for Ukraine. Um you know, put in a clearly calculating that over the longer term, the medium term, he can start to drive wedges between different UH parts of the alliance that is supporting Ukraine. But that's not likely to be instant. All right, Mark as always good to get your analysis as we continue to watch these developments unfold in Ukraine. Mark Champions, Senior reporter for international Affairs for Bloomberg News. Looking ahead to the

market open, the sell off continues. SMP futures are down thirty three points right now, DAL futures are down TT four and NAZZAK futures are lower by nine nine points ten. Your treasuries down sixteen thirty seconds, the yield three point nine four percent, nim X screwed lower by two point four percent now to rating at eighty eight dollars nine cents of air. All this is Bloomberg Bloomberg eleven three

oh weather sunny, some apache fog possible overnight. We'll get up to near seventy degrees today, mostly sunny, the high year seventy again Tomorrow high near seventy Thursday with showers,

maybe a thundershower possible right now fifty three degrees. Broadcasting live from the Bloomberg Interacted Broker's studio in New York, Bloomberg E Living free to Washington, d C. Bloomberg to Boston, Bloomberg one oh six one, to San Francisco, Bloomberg sixty to the Country Sirius XM Chadle one nineteen and around the globe to Bloomberg Business APT and Bloomberg Radio dot Com.

This is Bloomberg Daybreak six thirty on Wall Street. Good morning, I'm Nathan Hagar and I'm Karen Moscow, and we're just about three hours away from the open of US trading. Time to the five things that you need to notice. Start your Dave Ronty. You buy interactive brokers. Interactive brokers clients are an interest of up to two point five eight percent on the idle cash and their brokerage accounts.

That's just one of the many reasons clients use interactive brokers to trade stocks, options, futures, currencies, bonds, funds, crypto and more. Visit I pk R dot com slash interest rates to learn more. First, US futures are lower yet again. Earnings and inflation data will be key this week. Some analysts expect a significant earnings drop, but they may not

come to pass if inflation eases. According to Bloomberg Intelligence Chief equity strategist Gina Martin Adams, the reality of the earning stream is an inflation has been a big pain point for earnings. Revenues have been growing, but margins have been contracting amid the rising input cost pressure, even though companies have been able to pass on some price increases, so we might be somewhat surprised by the degree to which to drop an inflation can actually soothe some of

those margin pressures. Gina Martin Adams of the Bloomberg Intelligence says she expects well to earnings confusion to continue into the next quarter. Karen Chip stocks have lost more than tutor at forty billion dollars in global market value in the recent sell off after the White House and post

curbs on China's access to semiconductor technology. Meantime, even the heads of the International Monetary Fund and World Bank weren't of rising risks of a global recession, and JP Morgan CEO Jamie Diamond is joining in saying serious headwinds could push the U S and global economies into recession by the middle of next year. Now the FEDS still raising rates, but Vice chair Lyle Brainerd's echoing concerns from Diamond, noting

global tightening could spill back into the US. We're starting to see the effect on some sectors, but it's going to take some time for that cumulative tightening to transmit throughout the economy and for inflation to come down. FED Vice chair Lyle Brainerd made the comments yesterday at a meeting of the National Association for Business Economics. But out of the war in Ukraine, Nathan, where Russia's ramping up attacks.

Now G seven leaders are holding an emergency meeting to discuss continued it poor to Ukraine and Bloomberg's and Baxter has more. The White House, in a statement says the other aim will be to hold Russian President Vladimir Putin accountable for Russia's aggression. Ukraine's President Vladimir's Lenski will participate at the top of the meeting. The group has already openly condemned the Russian missile attacks, but we'll discuss whether more military support will be forthcoming, as well as any

potential economic sanctions on Vladimir Putin and Russia. In San Francisco, I'm at Baxter Bloomberg Day Break. Iran. Thanks, that's the five things that you need to notice start your day. Brought to you by Interactive Brokers. This is Bloomberg. Thanks. Karen on Wall Street fifty two degrees in Central Park on an accident southbound western spur of the New Jersey Turnpike, Exit fifteen w Details coming up in traffic. First, Michael Barr with what else is going on in New York

and around the world. Good morning, Michael, Good morning Nathan. With the less than a month to go until the mid term elections, in Ohio, Democratic Representative Tim Ryan squared off with the Trump back Republican candidate JD. Vance and I Feist. He sent a debate last night. Ryan, speaking on Next to Our Media about Vance. Donald Trump said to J. D Vance, all you do is kiss my host to get my support. Vans responded, You're gonna take lectures on dignity and self respect from a guy caught

on video kissing up the Chuck Schumer. Both candidates are polling close and a race that could determine which party controls the US Senate. A woman was arrested yesterday and Sunday's fatal stabbing of a man during an argument aboard and MT A bus in the Bronx. Detectives say forty two year old Ebony Jackson was arrested in connection to the stabbing. Police a Jackson's apparent boyfriend allegedly stabbed Lamont Barkley,

who was fifty five. It is the eighth person to be killed in the transit system this year, and the third within ten days. The man is still on the loose. At least fourteen airports around the US, including La Guardia, reported their internal communications and advertising systems were hit by hackers believed to be Russian based. The group known as

kill net claim responsibility for the attack. John holt Quist, head of the intelligence analysis that cybersecurity firm mandi It, says it was the denial of service attack on the airport websites. It's essentially superficial. It doesn't necessarily mean that any back end resources are being affected, or data is being lost or anything. Execulent operations that have been affected in any way. John holt Quist with Mandy and told

ABC no flights were affected. James Brennan, the San Antonio officer that fatally shot an unarmed teenager who was eating inside of his car at a McDonald's parking lot, has been fired. A new petition calls for Russian runners to be banned from the New York City Marathon. A group of Ukrainian runners have started a petition to keep Russian

or Belarusian competitors competitions from from this year's race. The petition states that if those runners are allowed to compete, organizers will be normalizing diabolical lax by MUSCO and its allies. The New York City Marathon is set for Sunday, November six. Global News twenty four hours a day on the airrand on Bloomberg quick Take, powered by more than twenty seven hundre journalist and analysts in more than a hundred twenty countries.

And I'm like Labar, this is Bloomberg Nather thanks Michael's almost six thirty six on Wall Street. John stash Our has the Bloomberg Sports on tight all right, Nathan, the Yankees in Cleveland meeting in the postseason for the six times since nine seven. Yanks have won three of the five, including the two games sweeping a wild card series a couple of years ago. Yanks went five and one with the Guardians in the regular season with Cleveland, just won

a wild card series with Tampa Bay. Will they allowed one run in twenty four and names the Guardians start cal Quandrills Stadium. Aaron Boone starts his eight. Because it's Garrett Cole, and because he came here and signed a huge contract, and you know, the long term and the ace of this staff, the New York Yankee staff, you know, nothing will ever be necessarily good enough. Um, but I think he's had a very strong year, Cole said a New Yankee records just break out of the season. The

big Yankee concerned with Cleveland. Jose Ramirez, he had a hundred and twenty six RBIs only Iron Judge had more in the America League. Had the Mets won one more game, they have one of the division. They'd be hosting the Phillies today and they went fourteen and five against them. Instead, the Phillies are in Atlanta. Phil's got hot after they fired Joe Girardi, promoted Rob Thompson. They've now given Thompson the job full time. They football in Kansas City. Las

Vegas led seventeen to Uthing. Patrick Mahomes brought the Chiefs fact pour touchdown passes all the Travis Kelsey Chiefs won thirty to twenty nine. Casey's four and one, Vegas one and four, all four losses by few of these seven points. When the Giants were looking for a coach in twenty nineteen, they were interested in Matt Rule. Instead, was hired by Carolina Panthers just fired him. They dropped a buck on

a new NHL season tonight. Through a couple of games overseas, but the first game in North America is that the Garden Rangers in care for that John Spars were Bloomberg's works. Okay, thanks John sixty seven On Wall Street. Time to take a look at stock, some of the names moving in the pre market. Bloomberg Radio and TV Markets correspondent Krety Gupta joins us at the start of another down session, especially creating in the chip sectors. Still under serious pressure

this morning. Yeah, the pain doesn't stop here. And and this is interesting because remember, of course China was closed yesterday, so a lot of the Chinese chip companies are now catching up to what you saw over the weekend, essentially President Biden saying that he's going to restrict further some of the export technology from the United States to China that is crucial in making some of those chips that then again kind of circle back and become the thing

that goes into washing machines, cars, iPhones, etcetera. You name it. So nevertheless, t SMC is the one that's kind of leading the drop here, and you can really wantitor the drop in the A d R s For the US traders, t sm as your taker, down three point four percent in the pre market. But over in China, if you have can look at the actual shares. Jake dropped the most in twenty eight years and actually did end up hitting a limit down on on a on A exchange

to have a seven percent limits. So that's how much volatility is baked into it. And Nathan, the ripple effects that you're starting to see some of the American chip companies is crucial. Take a look at Video n v d A down one point six percent in the pre market. Remember that's the heavyweight right next to Apple shares and as you start to see the pain the chip sector, you do start to see it ripple across into the

bigger tech names as well. So Apple shares, for example, down about eight tents of one percent, a a p L there, and alongside Advanced micro Devices a m D down one point three percent, Intel not far behind I NTC down seven tents of one percent, and sticking with tech, I see you're taking note of a company that actually did pretty well during the pandemic, but things kind of have to change now, right Absolutely, you have to take a look at us some of these analyst upgrades and

down grades that are moving some of these stocks. Assume is the one that caught my eye this morning. Z M is your taker, down three and a half percent after Morgan Stanley cut their recommendation on the stock to

equal weight from overweight. The reasoning is that the company's online business needs to normalize post COVID for the firm to unlock quote tremendous value in its enterprise platforms and basically saying that actually what you need is just that second leg of growth that you, um perhaps you didn't get from the pandemic, and that's really what they're not seeing at the moment, and uh, I guess on a similar theme roadblocks as well. Right, r b LX is

your ticker. Barkley is actually initiating coverage here and this is interesting, they said, with an underweight rating, so not exactly the vote of confidencing. The gaming platforms daily users are fairly saturated and growth is decelerating postcode. So once again, kind of this growth story that was really taking off from those two years and now it's kind of come full circle. R b LX is the ticker down about

four percent in the pre market. Nathan, Well, somebody's got to tell my kid that's always spends time on his roadblocks. Thanks as always, pretty good to have you with us, Pretty goop. Dar Blueberg Radio on TV. Markets correspondent looking at stocks as a whole, moving lower broadly at the index level for sure, with SMP futures down thirty points, at OWN futures down two and NASDAC futures are lower

by ninety points ten. Your treasuries down sixteen thirty seconds, yield three point nine and the yield on the two year four point three one per cent. You're listening to Bloomberg Daybreak Bloomberg eleven three oh weather, sunny high in your seventy today, Sampatchee Fogg possible tonight, but it will be sunny again tomorrow with the high near seventy showers, maybe a thundershower Thursday at the high back near seventy

degrees fifty two. Right now, Markets, headlines and breaking news twenty four hours a day at Bloomberg dot Com, the Bloomberg Business at and at Bloomberg Quick Tape. He's a Bloomberg Business Flash and I'm kared Moscow and futures are lower. This morning, we get to the first Word Breaking news desk for today's morning call, and here's Bill Maloney. Bill, good morning, Hey, good morning, Karen. That's right. US features

are under pressure right now. Down futures down two point says as dropped thirty and NASDAK futures declined by eighty nine. The US a ten yel at three point nine four percent, gold is down six, oil is sinking, and bitcoin is lower by point nine percent. Japan dropped two point six percent overnight, while up markets are also in the red this morning, and back in the US, nothing to report

on the economic front. In the chip space, Taiwan Semi tumbled the most sins going public since and Morgan Stanley one that restrictions around super computing pose additional risks for firms like Intel, n A. M D an other news. Goodman Sax cautions against hawk Is to fit pivot bets and Cathy would but more Adobe shares. Wrapping things up, lu Lemon was raised to overweight over Red Piper. Live from the first breaking news descon Bill Maloney care right, Bill,

thank you to hear live breaking news over her. Bloomberg Time, Squawk on your terminal, SCU you a w K and that's a Bloomberg business flash. Now here's Michael Barr with more on what's going on around the world. Michael Karen, thank you very much. US officials are condemning the barrage of Russian missiles that struck several cities across Ukraine yesterday, one of Moscow's largest attacks in months. President Biden will meet virtually later today with members of the G seven.

A senior administration official says, the group of world leaders are expected to discuss ways to aid Ukraine and continue punishing Russia. In football, the Chiefs beat the Raiders thirty nine in baseball game one of the A l DS begins tonight. For the Yankees, they play the Guardians. The NHL season begins tonight. The Rangers take on the Lightning.

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. Michael Barron, this is Bloomberg. Karen, all right, Michael, thank you. It is Otwalls Street, and we turned to news and science and technology now with the Bloomberg and j I T STEM Report. It is brought to you by New Jersey Institute of Technolo Leogy. N j I T makes

industry ready engineers and more than twenty fields. If it's engineering, it's at n j I T. What will you make it? N j I T. Learn more at n j I T DOT E d U. And here's just making news and science, technology, engineering, and math. Chip related stocks in Japan, South Korea, and Taiwan slumped, contributing to a wipeout of more than two hundred forty billion dollars from the sector's global market value. It all comes after the Biden administration

and post curbs on China's access to semiconductor technology. Amazon says it will invest almost a billion dollars to add thousands of more electric vans, long haul trucks, and cargo

bikes to its delivery network in Europe. The investment would grow the number of electric delivery vans the company has in Europe from roughly three thousand to ten thousand by and The Financial Stability Board says countries should apply the same level of regulation to crypto assets and their intermediaries as they due to equivalent functions and finance if they are sufficiently governed the sector. The FSB is set to present its recommendations to G twenty finance ministers and central

bank governors this week. And as a Bloomberg and j I. T Stem report, Davin, thank you, Karen. We're live from the Bloomberg Interactive Brokers studios where it's six fifty on Wall Street Time now to check what's going on in d C, where some of the top stories include President and Biden pledging air defenses to Ukraine and condemning Russia's quote utter brutality, a key senator urging a freeze on Saudi arms sales over it's stilt to Russia, and a clash in Ohio, Vance and Ryan debate in a race

that could decide control of the Senate. We're joined now by Joe Matthew, host of Bloomberg Sound On, in our Washington correspondent here on Bloomberg Radio. Joe, we've been talking

about it all morning, last couple of days. Of course, the war in Ukraine seems to be intensifying, and now we're getting ready for a very important meeting in just a couple hours here between President Biden and the rest of the G seven leaders, that's right, and President Zelenski himself, who will address this group as they're just getting together to meet, remembering when he addressed a joint session of Congress the store of Urgency that was created after being

not not alone in a room, but will virtually in a room with lawmakers, that that has this a similar impact with world leaders when they hear him. He has an incredibly convincing tone, and following the images Nathan that we've seen in the last twenty four hours, he's got a big ask to make. Yeah. That asked, of course, that the President Zelenski has been pushing for for the last couple of days is air defenses. What are the chances we get something like that that kind of move

uh from this G seven conversation. I don't know if it's gonna come specifically from this meeting. And the President Biden has a couple of things to consider today, beginning with maintaining an alliance, maintaining this unity that has really been pretty incredible over the last eight months, considering some of the challenges in terms of energy and some of the other issues that that we've heard from our European allies.

But look are we are already providing air defenses. The question is what kind and and Zelenski, the Ukrainian millet terry wants longer range missiles that the incursion that we saw, this barrage of missiles, and by the way, there was another way of this early this morning, following the more than eighty missiles that were launched over the weekend from Russia on more than a dozen cities across Ukraine. It's

been it's been an overwhelming barrage from Vladimir Putin. They want to be able to knock down these long range missiles before they are a threat to Ukraine. Remembering that refrain from Vladimir z Lensky said help us close the skies. Close the skies were the three words that he brought to Congress when he spoke to the Joint Session. That's gonna still be the message today. And it's not just

missile defense. They still want fighter jets, Nathan. And if you go back a couple of months to that debate over providing MiG twenty nine, those Russian made fighter jets that Poland flies, they were willing to send him across the border, but they had to go through Germany on the way, and there was a lot of confusion about whether that was in our best interest, whether that would that would indicate some sort of escalation that would result

in it directed a conflict between US and Russian forces. That's still being brought up over and over again. Mixed and tanks, that's what he really wants, and I'm not sure he's ever going to get those from the U. S. Well, what are you hearing and seeing in terms of cohesion among the allies, particularly when we've see this kind of barrage from Russia, this ramp up escalation of the fighting. It seems that in the past we've seen this pattern

that it's brought the Allies even closer together. Is that still the case here? You're right, and I think that will be the case. I mean to see the images, Nathan, the massive crater in a in a child's playground, uh in Kiev, the direct assault on apartment buildings and neighborhoods. This is civilian infrastructure, and it changes the narrative a bit here in a way that kind of emboldens the

West to try to continue to support Ukraine. If you ask Joe Biden himself, his mess w has been consistent as long as it takes keeping everyone else on board has been a little bit more of of an issue. And that goes for right here in the US as well.

As we hear now from some Republicans like Josh Holly sort of questioning the level of commitment that we have, and even Donald Trump over the weekend at his two rallies, he brought this up and said that the US must pursue peace talks now, which is not something that the administration believes. Even just today Sergei lavlof, the Foreign minister in Russia saying that, hey, we'd love to sit down if the United States asks us to. And a lot

of folks see that as the possible trap. Nathan, Well, even as a europe might be staying together, we've seen Saudi Arabia move closer to Russia, particularly after that OPEC plus announcement of a two billion dollar barrel production cut. Now there's this talk about taking even more action on against Saudi Arabian capitol. Yeah, this is coming from Robert Menendez.

He's the chair of the Senate Foreign Relations Committee. We'll see where this goes, but he is calling for a freeze, essentially on our relationship with Saudi Arabia, particularly when it comes to providing military support. Uh A Democrat here, of course, they look, the Senate is not in session right now, and it's I don't know how much more is going to come from this than messaging. But he does suggest, as many have, that the Saudis are helping to underwrite

Russia's war by by maintaining the price of oil. This is not something that the administration wanted. It was a bit of an egg on face moment for the Biden administration last week, and Democrats think we should stop talking with Saudi Arabia, at least stop sending them weapons. The fact of the matter is, though this has been a key ally for the United States for a long time, and as we consider our situation with oil supplies and security in the Middle East, that may not be changing

anytime soon. In our last minute here, Joe, are four weeks away from a mid term election. We had a pretty heated debate in Ohio last night in a very important Senate race. Yeah, that's for sure. J d Vance Uh and Tim Ryan, Congressman Tim Ryan. This is for the Senate sea being vacated by Rob Portman. It was a real throw down here. A lot of times we see these debates that it's either full of messaging or it's full of nothing. This was a very substantive debate

with two politicians who were really very well prepared. If you want to have a sense of what the real issues are in this campaign, realizing that they can change a bit from state to state, but on a national level, watch that debate you will be totally plugged into what the issues are now. It went from abortion rights to inflation. Of course, these are the two major issues we hear about so much, but also January six, our relationship with China.

J D Vance's relationship with Donald Trump. They they went for it last night and Tim Ryan had a couple of singers, and it'll be certainly one of the many races to watch as we get closer to that midterm elections and the fight for control of Congress. As always, Joe Matthew, great to have you on with us this morning, before you come back on sound on much later this after noon five pm, and every weekday afternoon at that time right here on Bloomberg Radio. Read more at Bloomberg

dot com or on the Bloomberg terminal. Follow all the latest on Bloomberg Radio in Washington. Bloomberg ninety nine one and one oh five point seven FM, HD two SMP futures right now are down twenty five point Staff futures down a hundred seventy five, nastack futures down seventy four points, so pairing some of the earlier losses on this session.

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