Bloomberg Daybreak: October 19, 2022 - Hour 2 (Radio)

to announce he's tapping into the strategic oil reserves. The latest polls show New York's governor's race hast tightened, plus Georgia voters turned out in record numbers on the first day of early ballots. I'm Michael Blair. More Ahead, I'm John stash Our and sports. The Yankees beat the Guardians, They start the Alcs tonight in Youth to the Philly

shut Out. The Padres wins with the Devil's Island. That's Alls Trading ahead on Bloomberg day Break on Bloomberg, he Liven three on New York, Bloomberg one, Washington, d C, Bloomberg one oh six one, Boston Bloomberg nine sixties and Francisco Sirius Exam one nineteen and around the world Old on Bloomberg Radio dot Com and via the Bloomberg Business. Good morning. I'm Nathan Hagrin and I'm Karen Moscow in

US stock index futures around the rise this morning. We're coming up to six out one on Wall Street, and we check the markets every fifteen minutes throughout the trading day. On Bloomberg, SMP future is up seventeen points down futures of eighty nastack futures of eighty one. The decks in Germany as of a quarter percent, ten year treasury down

twelve thirty seconds, held four point oh five percent. They yield on the two year four point four seven percent, and the euro point nine eight one eight against the dollar British pound one point one to seven nine. Nathan Karen the SMP five hundreds coming off back to back wins to start the week. The index is up three point eight percent in just two days. However, Max Kentner, chief Multi Assets strategist at HSBC, thinks stocks will remain

under pressure and the FED will not change course. But the point for me is that the FED is really only going to pivot. In my view way, things are going to go horribly wrong, not just wrong, but really and I have to emphasize that horribly wrong, right, So it will not be sufficient. If we see you one to three months off a bit worse than economic data, right, and oh maybe we're going to go into refesssion now, that will not be sufficient. HSBCS Max Kenner says he

would fade this rally in stocks well. The rise in equities this week Nathan has been fueled by a solid starter earning season, and it continued after the bell with Netflix, the streaming leader added it better than expected two point four million customers in the third quarter. Read Hastings is co founder and sherman of Netflix. Well, thank god we're done with shrinking quarters, so a big feeling of we're back to the positivity. We still got f X, so

that's a huge hit. Uh, you know, as we've explained, so that's not going to go away. But other than that, all the stars are lining up very well for us. Netflix chairman Read Hastings says the company expect to add another four and a half million global subscribers this period, despite headwinds from foreign exchange. Looks like at some other stocks on the move following earnings. Karen shares of United

Airlines are up more than seven percent this morning. The airline seas profit well above estimates in the final quarter of the year, and that's being fueled by a rebound in corporate travel and leisure trips. Shares of Adelbi are up more than two percent. The maker of creative design software reiterated its forecasts for the current quarter. That's relieving fearce economic uncertainty would hinder demand. Well up next Nathan, the earnings continue with results from twenty companies of the

S and P five hundred. The biggest name on today's list is Tesla. We get a preview of those numbers from Bloomberg's Jeff Billinger. Shares of the electric car maker have been under pressure ever since the company reported third quarter delivery figures that fell short of forecast. Today's report will get close scrutiny. Investors will look beyond sales, earnings and profit margins. Bullish fourth quarter delivery guidance would be

especially welcome. Bloomberg Intelligence says the plunge in Tesla's stock could make this a good time for the company to initiate eight capital returns without hurting its balance sheet. Jeff Bollinger, Bloomberg Daybreak. Thanks Jeff. Turning to the economy now. Do not look for a pause in rate hikes from the FED. That's according to Minneapolis FED President Neil cash Cary. He says the central bank must continue tightening as inflation remains hot.

If we don't see progress in underlying inflation or chord inflation, I don't see why I would advocate stopping at four and a half for four or seven five or something like that, Minneapolis, said President Neil cash car He says he sees interest rates reaching the mid four's early next year. Stay tuned for more from the FED when we speak live with St. Louis President Jim Bullard. Catch that interview

today at three thirty pm Ball Street Time on Bloomberg Radio. Meantime, Nathan, the FED will hand out a grade on the health of the US economy today with the release of its regional Beije Book, and we get more from Bloomberg's of Any down to You Dice. Today's beach Book, based on anecdotal reports in the FITS twelve district banks, will help

set the stage for November's policy meeting. Bloomberg Economics notes the prior bache book and early September indicated little change, unbalanced the most lackluster, showing you a pandemic recovery but not yet alarming. The next policy session is set for November one and second, and economists anticipated another interest rate hike aimed at containing inflation. Beneat Judas Bloomberg Daybreak, then he thanks for also seeing inflation soar in the UK.

For more on today's red hot price reading, let's go to London and check in with Bloomberg's James Wilcock. Good morning, James, Good morning, Nathan and Karen's soaring inflation. Indeed, price rises hit a four decade high of ten point one percent year on year through September. That's slightly above what economists forecast. It's a call to arms for the Bank of England after the central bank has found itself distracted by chaos

in the UK bond market. September's inflation figure is also used as the baseline to increase state welfare payments and pensions, so that increase puts more pressure on the UK government's fiscal policy. As promise of this, trust tries to bounce the books in London. James Wilcock, Bling Bird Daybreak, James, think so back you're in the US. The Biden administration is making more moves to lower gas price is Later today, the President announces another fifteen million barrels coming out of

the Strategic Petroleum Reserve. But still Bob McNally, founder and president of Rapid and Energy, says it might not be enough going against OPEC plus with the sprs like going into a fight with you know, the guys that with a square guns, right. It's a finite resource. You get to use it once, and I think this is going

to make the coming boom cycle in oil prices even boom. Here, Rapid and Energy President Rob Bob McNally spoke with our Washington correspondent Joe Matthew on Bloomberg Sound on Catch the program weekdays at five pm Eastern on Bloomberg Radio and checking oil prices right now, nine x screwed oil is up one point four percent of a dollar thirteen at eighty three dollars cents of barrel Brent is up nine

ten percent at ninety eight seven cents. Finally, Karen criticism of the Pimco Total Return Bond Fund from the man who created it. We're talking about Bill Gross, who was ousted from Pimco. Gross says many of the funds bearing the name are failing to live up to their mission after suffering heavy losses this year. He says, instead of helping to cush in the market downturn, they've clung to their benchmarks too closely, essentially becoming quasi index tracking strategies.

Futures are gaining some footing here. SMP futures are up sixteen points, STOUT futures up eighty, NASTAC futures are higher by seventy seven points. Straight ahead your latest local headlines and a check of sports. This is Bloomberg. It's six o seven on Wall Street, forty two degrees in Central Parks. Still got that crashed southbound of Jersey Turnpike, Chuck Lan's exit seven. Michael bars here with more on what's going on in New York and around the world. Michael, thank

you very much. Nathan. The midterms of just a few weeks away, and now another race that Democrats once thought was a slam dunk could be in play. In New York. Republican le Zelden is in a statistical dead heat with

Democratic Governor Kathy Hokel. More from Bloomberg's Denise Pello Greeni, Michael it Kind, of all depends on which poll you want to believe at this point, because the new Quinnipiac Pole shows hopelessly narrowing to just four percentage points, her Ken pay noes as this Quinnipiac pole undercounted likely Democratic voters. Former President Trump recently endorsed Zelden, and the Quinnipiac Pole

shows Zelden has a solid lead among independents. The Long Island congressman also has gained in a real clear average of polls, but Hocal still leads by close to ten percentage points in a five thirty eight pole average, and recent Sienna and Marist College poles show her ahead by even more. Michael Bloomberg's De Niece polla Greeni Georgia with several high profile races, has set a record on the

first day of early in person voting. More than a hundred thirty three thousand votes were cast Monday, and eight seven percent increase from the first day of early in person voting in twenty eighteen. Tens intended to provide temporary shelter to migrants, open today in New York City, the first of a series of mad Shift centers to house and influx of Tens of thousands of Central and South Americans.

The new relief center, located on Randall's Island, is intended to house and provide food, water, medical care, and COVID tests. When migrants first arrived in New York. Zach Iskoll is the Emergency Management Commissioner. But people get off the bus report at thirty but very limited amount of time about forty five minutes to the hour where we are figuring out what people's immediate medical leaves are. There will be

a ten pm curfew. Former President Trump is scheduled to sit for a deposition and answer questions under oath from attorneys for E. Gene Carroll, former columnist at L magazine, Carol su Trump for defaming her when he denied her rape claim from the ninet nineties. Global News twenty four hours a day on air and on Bloomberg Quicktake, powered by more than seven hundred journalists analysts more than a hundred twenty countries. I'm MICHAELA bar This is Bloomberg, Nathan.

Thanks Michael six o nine on Wall Street time for the Bloomberg Sports that they brought to you by Tri State Outie. Here's John Stasha Nathan. The Decisive Game five of the A L d S raindown Monday night at the Stadium played yesterday after Dude and decided very early on. The Guardians made a somewhat surprising decision to start Aaron Savali. Yankees had teed off on him twice in the regular season. He faced only five batters, got only one out, gave

up a John Carlos Stanton three run homer. Yanks were on their way to a five to one win over Cleveland. Aaron Judge also homer, and the Yanks decision to starting Esther Cortez on three days rest. That worked well, so the Yanks able to come back to the two games to one deficit. And now it's onto Houston with Aaron Boone's team playing Game one of the ALCS tonight. The challenges we're facing a great team, you know. Uh, as far as the quick turnaround, we'll be fine. I mean,

that's that's baseball. We do that all the time. You know, we'll walk in there with some confidence. Um, we know, we know they're a great team and rested and ready, and um we look forward to the challenge. Three times the Astros have ended the Yankee season two thousand fifteen wild Card game at in the Alcs in both two thousand seventeen and the Yante nineteen. Yanks start Jamison tyone tonight. I'll the Astros justin Verlander, game one of the NLCS

and San Diego. Fewest hits ever in a postseason game. The Philly has had three, but two were solo Homer's padres that only one hit. The Phils want tune up there then now six and one in the postseason. Game two is today. NBA season underway home wins by Boston and Golden State. Nick's open up tonight in Memphis, the Nets home for New Orleans. Devils and Islanders both one at home. New Jersey's first win was four two over Anaheim.

The Aisles beat still winless San Jose by John Stansailor Bloomberg Sports Loop Okay, John, thanks SMP futures right now up sixteen points. Stown futures up a D two Dance dec futures are higher by seventy seven points. Tenure treasury is down thirteen thirty seconds. The yield four point zero six percent held on the two year four point for seven.

NIMEX cruge moving higher as well, up one and a half percent, up a dollar twenty at eighty four oh two of barrel Netflix shares surging in the pre market of thirteen and two thirds per cent on a subscriber gain in the latest quarter. Talk about it next with Bloomberg Quick Take correspondent Alex Web. This is Bloomberg. Bloomberg Sports is brought to you by Autie. Don't let someone else drive off in the outie model you've always wanted.

Visit your local tri state autie dealer to 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 Out and at Bloomberg Quick Take, this is a Bloomberg Business lash and I'm terrot Moscow. This update brought to you by se I. Imagine your asset management firms

operational infrastructure is a competitive advantage. Let see I show you how at se I C dot Com slash I M s U s Dock index futures are rising as investors wake concerns about scorching inflation and a looming recession against a strong start to the earning season. The pound falling after UK inflation roast faster than economists we're looking for.

We checked the markets every fifteen minutes throughout the trading day on bloomberg S and P Future is up fourteen points down Future is up sixty one Nasdack Future is up seventy two. The decks in Germany's up two tenths of a percent. Ten year treasury down thirty and thirty seconds. He had four point oh six percent. They yield on

the two year four point four seven percent. Nine X screwed oil is up one at a quarter percent of a dollar three at eighty three dollars eighty five cents of aarrol COMEXS goal down seven tenths per cent or eleven dollars thirty cents at sixteen forty four fifty announce The euro point nine eight one two against the dollar British found one point one two seven five the end one forty nine point four six and bitcoin is down six tenths of u percent at nineteen thousand, two hundred

fifty dollars. That's a Bloomberg business flash. Now here's Muchael Barr with more on what's going on around the world. Muchael, Thank you very much, Karen, President Biden is opening the oil spiket again. President Biden today will announce another strategic oil reserve release design to help bring down the price of gas. He could release an other fifteen million barrels

of oil. Ukraine's president says recent Russian air strikes destroyed about a third of his country's power facilities, cutting access to electricity and water for many as temperatures drop. In baseball, the Yankees are getting ready to face the Astros. In the a l CS, New York beat the Guardians five one to advance. In Game one of the NLCS to Philly shut out the Padres to zip. In the opening night of the NBA, the Celtics and Warriors one. In hockey,

the Devils and Islanders won, the Bruins lost. 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. I'm Michael Laren. This is Bloomberg, Nathan. Thanks Michael. At six nineteen on Wall Street Live from the Bloomberg Intracted Brokers studios. This is

Bloomberg Daybreak. We continue to watch shares of Netflix this morning, they're up fourteen percent in the pre market after the first subscriber growth number for the streaming giant this year. Let's bring back Bloomberg Quick Take correspondent Alex Web for more on the Netflix earnings. Two point four million news subscribers in the third quarter. Alex, that's not as much as Netflix used to enjoy. Is that a problem, Well, it's not necessarily, it's there'sertainly a lot more than the

market was expecting. The you know, they've been anticipating just a million subscribers, but yeah, you're quite right that a year ago they were adding almost double that, and in the December quarter, which is currently forecast to add four and a half million subs, a year before it had

added close to ten million. But you know, it's partly a function of how big Netflix already is it still it has something like, you know, two million subscribers globally, there are fewer new ones out there to find, and of course, as as as a strings, household budgets get tightened, as less money for the people are willing to spend, and so I guess that sort of leans into the whole for Netflix that providing this sort of lower price

point adds supported tier around six month could potentially bring in some of those squeezed potential subscribers. Yeah, it sort of solves two problems for them that ultimately, if you are entirely dependent on subscribers paying subscribers, your own opportunities for growth are adding more subscribers or charging the subscribers

you have more money. Now, this, they hope will add more subscribers coming in at the lowest tier, and it also might then commence others who are already at the lowest tier that it's worth paying a little bit more not to get ads. But it equally removes the cap on their upside. If you look at a company like Facebook, which is an advertising technology company, they have consistently succeeded in increasing average revenue per user to extended In the US,

it's well above two hundred dollars per user per year. Now, Netflix m i to only need be charging seven dollars for the advertising funded tier, but Hulu makes six dollars an additional six dollars fifty in ADS from each of those users. If you can keep growing that number because you've got a committed audience, Uh, that gives you a good story to tell your investors in terms of what your potential upside is. It's a pretty big sea change though,

for Netflix, isn't it. I Mean, they bragged for years that they weren't going to go with ad support and passwords sharing wasn't going to be an issue as well. Now they're cracking down on that as well. I mean, what other kinds of changes could we see from Netflix to keep this growth story going. I mean, you're right,

is it is a colossal change. Part of the appeal of Netflix for a long time was that, unlike traditional linear TV, certainly in in large parts of the world, there were no ads, and that's what drove Netflix's growth

for a long time. I think investors had sort of thought that they were getting a high growth utility in the sense that everybody who was going to stream TV or stream video would pay for Netflix and that was the base layer, and on top of that you would then add things that attuned your interest at Disney Plus or Discovery or whatever it might be. And what we've started to see is that is not the case. The Netflix is not the default, and then people just add more.

So um, in terms of further changes, look, I think they're concentrating a lot on boosting their presence in geographies where they're underpenetrated. If you look at countries like India, where they have a basic tier which costs about a dollar fifty a month um, that is a because you know, there's a huge amount of crisis sensitivity in that market. If you look at the company's average revenue pe user in Asia, it is still around the ten dollar mark.

Now what that tells you is that they have very few subscribers in India, right because if if the r POO is that high, it means very few people are coming in at the entry level subscription. So there is a huge amount of scope to grow in some of these massive markets. They've just got to find the shows, and actually they will help them do so. It certainly looks as though, at least for the moment, investors like

the story that Netflix is telling. As we're watching the shares in the pre market and they are still moving higher by nearly fourteen percent. Alex Webb as always great to have you on with us once again. Alex Webb, correspondent for Bloomberg Quick Take, whose follows all things tech very closely. For us on our own streaming service, Looking Ahead to the market open this morning. Futures are starting to point a little higher now once again, after two

straight days of solid gains for the SMP. SMP futures are up three tenths percent right now, up eleven points. DAL futures up forty four NANSDAC futures are higher by sixty five points. That's a gain of six tenths percent ten. Your treasury is now down fourteen thirty seconds, yield four point zero six percent yield on the two year four point for eight. And I'm ex scruge moving higher as well, up one point one percent of ninety three cents at

eighty three dollars seventy five cents a barrel. You're listening to Blue Boomberg Daybreak Bloomberg eleven three oh weather, sunny, breezy, mid fifties today, lots of sunshine, Tomorrow, upper fifties. We'll get into the low sixties once again by Friday. Right now forty two in Central Park, broadcasting live from the Bloomberg Interactive Broker's studio in New York. Bloomberg e Living Free on to Washington, d C. Bloomberg on to Boston.

Bloomberg one O six one to San Francisco, Bloomberg N sixty to the country, Sirius XM Chado one nine and around the globe, the Bloomberg Business app and Bloomberg Radio dot com. This is Bloomberg Daybreak six thirty on Wall Street. Good morning, I'm Nathan Hager and I'm Karen Moscow, and we are just about three hours away from the open of US trading. Time for the five things that you need to notice start your day. Brown to you by Interactive Brokers ibk R. Event Trader offers a new way

to trade futures. Use event contracts to trade your opinion on yes or no questions and key CME futures markets. Learn more at event trader dot Interactive Brokers dot com. First, the S and P five has rallied two straight days to start the week. So have we seen a bottom? While the Our Shares chief investment strategist Eva Ato says no, but rallies like this could continue through December. Hard to time the bottom, but I would say we're closer to it than not, and I expect to see the market

and the year higher. We might even see a Christmas rally by then. We'll see the Fed getting inflation under control, and we exped inflation to drop next year. Eva Atos, with the our shares, expects tech and healthcare stocks to bounce back as inflation cools. Now. The rising stocks Karen has been fueled by a solid start to earning season. It continued yesterday with Netflix adding a better than expected

two point four million customers in the third quarter. Gita Ranga nathanvers Netflix for Bloomberg Intelligence, they're finally back to growth, and their guidance right now again pretty much in line. And what's really encouraging to me about that four Q guidance is that they say that they've really not baked in any of those add to your expectations, So there is potentially a lot of upside to that guidance as well. Peter ran And often with Bloomberg Intelligence, says Netflix is

set up for a strong fourth quarter. Other songs on the move this morning include United Airlines shares are up more than five percent, with the airline seeing fourth quarter profit above estimate. Shares of Adobe or up two and a half percent after the creative design software company reiterated his forecast for the current quarter. Still, sticky inflation is dampening sentiment Karen, Minneapolis, said President Neil cash car He says he expects the Central Bank to continue hiking rates

as prices climb. The core services inflation, which is the stickiest of all, keeps climbing, and we keep getting surprise on the upside that core keeps going up and services keeps going up. The problem for me with trying to say, hey, it's time to pause is we're not even sure that we've we've got raids high enough to push services inflation down. Minneapolis President Neil cash car He says he sees interest

rates reaching the mid four's early next year. We hear more from the FED Live St. Louis FED President Jim Buller joins us this afternoon at three thirty pm Wall Street Time on Bloomberg Radio and Nathan. Inflation is also coming in hot in the UK. Consumer prices in Britain rose ten point one percent last month. That was driven by rising food prices. That's the five things that you

need to notice start your day. Brought to you by Interactive Brokers, your latest local headlines straight ahead and this is Bloomberg. Thanks. Hearing six three on Wall Street, forty two degrees in Central Park to crash southbound New Jersey Turnpike. Truck leans continues at exit seven, and Michael Barr is here with more on what's going on in New York and around the world. Michael, thank you very much, Nathan.

New York City officials saying that an emergency center to how some of the migrants being bust in from border states is set to open today. The center will offer temporary shelter intents on Randall's Island. The Humanitarian Belief Center will start taking single adult men this week, with facilities including laundry, meals, and access to international phone calls. Zach Isskell is the Emergency Management Commissioner. There are a lot of people who we are trying to link up with

families and sponsors. There's a lot of people that are trying to get from another location. UM often the easiest way to get out of el passive for examples of busting in New York. You've even had somebody that keeps to New York trying to get the Emergency Management Commissioners. Zach Isiskoll says families with children are to be housed in a hotel. Democratic New York Governor Kathy Hokel's lead narrowed to just four percentage points over Republican Lee Zelden

in the new Quinippi AC University poll. It puts the Long Island congressman within the margin of error in a race where crime has become a dominant issue. Florida Democratic Congresswoman Val Demons faced off against Republican Senator Marco Rubio in their first debate for ruby OC on WPBF. The two sparred over abortion rights. Ruby l defending his support for banning abortion with exceptions. Every bill I've ever sponsored on abortion, every bill I've ever voted for, has exceptions.

Every one of them does, because that's what can pass, and that's what the majority of people support. Security along the border with Mexico was also an issue, Val Demmings. I think we can do that with technology, more boots on the ground, and more people to process those who need to be turned back those who are breaking the law from those who are asylum seekers. Pole show. Rubio has a slight lead over Demmings going into the November elections.

Former President Trump is scheduled to sit for a deposition today as part of a defamation lawsuit brought by a former l magazine writer who claims Trump raped or in the ninety nineties. Trump has been in order to answer questions under oath from attorneys for E Gene Carroll Global News twenty four hours a day on air and on Bloomberg Quick Take, Power to buy more than twenty seven hundred journalists analysts more than a hundred trees. Michael Barne,

This is Bloomberg n Thank you, Michael. On Wall Street. Time for the Bloomberg Sports Update, brought to you by tri State. Out of Here's John tesh Our, Thanks Nathan. Playing a game one day, another than next, another city happens all the time, just not when it's the start of a new playoff series. Monday's rain out Forest Hit.

So the Yankees, having come back to the two games to one deficit in the a l DS, having one game five over Cleveland five to one behind the pitches of Nestor Cortez, home runs by John Carlos Stanton and Aaron Judge. After the game of the celebration, they flew to Houston. They start the Alcs ten I Jamison Talion against Justin Verlander. The Yankees trying to win the pennant and get some revenge on the Astros. Who won the ALCS from them in both two thousand, seventeen and nineteen.

That Phillies keep winning last team into the postseason. They are six and one. They won game one in the NLCS and San Diego two to enough the in the x met Zach Wheeler teaming with two relievers on a one hit shutout the Films that only three. It's so they got solo home runs from Bryce Harper, who's homered in three straight games, and Kyle Schmoreber hit one nearly five hundred feet that Nick's open the season tonight in Memphis.

Nick debut of Jalen Brunson. The Nets off season had Kevin Durant demanding a trade that ended up not happening. K d and the next tonight host, New Orleans First went to the Devil's fourth two of our Anaheimie Islanders beat San Jose five. The two NFL owners met in New York and the Colt Jim er Say weighed in on the league trying to oust him, battled Washington owner Dan Snyder. Unfortunately, I believe that that's the road we probably need to go down, and we just need to

finish the investigation. But it's greatly concerning to meeting, um the things that have occurred there over the last twenty years. Also yesterday I reported shouting match took place between the two most high profile owners, Robert Kraft and Jerry Jones. John Stashward Bloomberg Sports. Oh goodness, thank you, John seven On Wall Street time to take a look at stocks

some of the names moving in the pre market. Bloomberg Radio and t V Markets correspondent Created Gupta is here with the reason why Netflix investors are shouting for joy Oh absolutely and a f LX. What a turnaround story at least for the stock. Shares are up almost fourteen percent in the pre market at this Nathan, it could be its biggest jump if it holds since January of one. That is enormous subscriber growth was like the usual deal for that. Yeah, what it was normal for Netflix to have,

you know, another beat. It's kind of when Amazon kind of came out every quarter quarter after Quarner having a pretty beat. The problem with getting a pluses every quarter is that eventually that has to slow down. You can't continue it exactly. Um. So, nevertheless, Netflix looking like it has propped lowered expectations a little bit and then beat them, which is which is really boosting the shares this morning, Like I said, up fourteen percent in the pre market, um,

and they beat the reestiments for paid subscribers. They're saying that maybe the slowdown is likely over. But it's not just Netflix. Take a look at Disney as well. D I S is your take following in suit up two point eight percent. A lot of the streamers are, are okay you for Roku those shares are also up tune of three point seven percent this morning. You gotta look at Warner Brothers Discoveries well, w b D up almost

two percents. I'll give you one more, Nathan, because you know there's such a plethora of streaming companies out here. Fubo TV, f u b O the streaming company for sports, also up for about three percent this morning. Yeah, all in tandem with Netflix, and I see we have some positive news in the chip sector for a change as well. We absolutely do. LAMB Research is the one I want to kind of use as our poster child for this.

So basically overnight a s m L, which is a Dutch semis equipment maker, came out and said that their sales are going to be better than expected in the fourth quarter. They're saying that's going to be driven by this kind of push for advanced chip making machines. Now, Nathan, I like to think about chips. I think of kind of big tech as your layer number one. Chips kind of magnify the move in big tex. So you're your

companies like Micron, Intel and Video, et cetera. And then there's like another layer, and that other layer is chip making equipment companies. Think of it like the deer for chips essentially um and then that's where Lamb Research comes into handy a s m L as well, so Land Research taking it's que from the Dutch equipment maker and saying, well, maybe work will work for us to l r c X as your ticker up three point four percent this morning. Applied Materials not far behind a m A t is

the ticker. They're up about two point four percent in the pre market, and of course k l A is the one you keep it want to keep an eye on their takers. Interesting because it's actually k l A c uh those shares are up about to shove three percent as well. If you're on the West coast, you might think that's a radio station. Believe that for another time. Bloomberg Radio TV Markets correspondent Cretty Gupta, thanks as always for keeping an eye on what's happening in the pre market.

Stocks as a whole given back some of the gains. Now we have SMP futures back to little changed, up three points, DAL futures up one point, and nastack Future is kind of holding on a bit up twenty three points for a gain of two tenths percent. Ten Your treasuries down fourteen thirty seconds yield four point zero six percent. N I'm ex screwed on the rise of one and a half percent eighty four oh nine of barrel. This is Bloomberg and the Bloomberg Sports Report was brought to

you by Audie. Don't let someone else drive off in the outie 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 Out and at Bloomberg Quick Tape. This is a Bloomberg Business Flash, and I'm camerin Moscow. This updates brought to you by Sei said

managers don't get results that are off the charts. Finer solutions are off the shelf now. Scis operating platform can turn infrastructure into a competitive advantage at s C i C dot Com, slash Tech, N S and P futures have given up their gains once again. They're now little change. We got to the first word breaking news desk for today's morning call. Here's Bill Maloney. Bill, Good morning, Hey, Good morning, Karen. US features are quiet right now. Doubt

futures down eighteen points. S and P s are unchanged right now, and as the futures higher by eleven. The US ten yeld at four point oh six percent, gold is down nineteen oil is in the green, and bitcoin is lower by point seven percent. Hong Kong fell two point four percent overnight, while up markets are also quiet this morning, and back in the US on the economic

Frinday thirty housing starts after the bells night. Netflix Q three subscribers Beat Smiths shares are surging in the free market and regarding earnings this morning, look for Prog and Gamble to report wrapping things up. Booze Allen was cut to Mark reform at Raymond James and Netflix was faced to buy over at deeortgea Bank. Live from the First Breaking News deskcom Doill Maloney, Karen right, Bill, thanks to

hear live breaking news over your Bloombergy types. Flock on your terminal s qu A w K and that's at Bloomberg Business Flash. Now here's Michael Barr with Moore on what's going on around the world. Michael, Karen, thank you very much. Russian strikes on energy utilities have left more Ukrainian villages, towns and parts of two cities without power. The overnight bombings further titan and energy squeeze on Ukraine

that threatens misery for millions in winter. Today, President Biden is expected to authorize the release of fifteen million more barrels of oil from the nation's energy stock supply in an attempt to bring down gas prices. In baseball, the Yankees are getting ready to face the Astros and the a l CS New York Beach Guardians five one to advance in Game one of the NLCS to Philly shut off the Padres to Zip. In the opening night of the NBA, the Celtics and Warriors one. In hockey, the

Devils and Islanders won, the Bruins lost. Globally, it's twenty four hours a day a on air and on Bloomberg Quicktake, powered by more than twenty seven hundred journalists and analysts more than a d twenty countries. I'm Michael Bar and this is Bloomberg. Karen alright, Michael bar thank you at at sixty nine on Wall Street, and we turned to news and science and technology now with a Bloomberg and

j I T STEM report. BRONTI U buy New Jersey Institute of Technology n j I T makes transferring easy feverage your associates degree into a STEMA focused bachelor's Learn more at n j I T DOT E d U slash transfer Now. Here's what's making news and science, technology, engineering and math. Britain's first ever space launch is on track to take place before the end of November, as according to billionaire entrepreneur Richard Branson, whose Virgin Orbit Holdings

will undertake the mission. Required infrastructure is now in place at Spaceport Cornwall in southwest England. Following the arrival of Virgin's launcher one rocket. Apple has launched his first fully redesigned entry level iPad in five years and new Pro models. The latest iPad pro as the M two chip you in recent Mac computers. That product represents the Pro models

first upgrade in a year and a half. The company also introduced a cheaper Apple TV set top box with four K video support, and a new study published in the journal Cell finds that some people really are mosquito magnets. The researchers found that people who are most attractive to mosquitoes produce a lot of certain chemicals on their skin that are tied to smell. Researchers designed and experiment putting

people's sense against each other. They asked volunteers to wear nylon stockings around their forearms to pick up their skin smells. The stockings were put in separate traps at the end of a long tube. Than dozens of mosquitoes were released, and scientists said the mosquitoes would swarm to the most

attractive subjects. That's the Bloomberg n j I t STEM report just piling on the insecurities, aren't you, Karen, Well, my daughter is definitely as I was thinking that boom A right to her, explains a lot for a lot of people. I'm sure thank you for that appreciated. We are live for the Bloomberg Interactive Broker Studios Hour is six fifty one on Wall Street Time to check what's

going on in DC now. Some of the top stories in our nation's capital include President Biden preparing to announce another strategic oil release, potentially with even more to come this winter. Also making news the President vowing to send abortion rights legislation to Congress if Democrats win the mid terms, and Kevin McCarthy suggesting Republicans would resist more aid to Ukraine if they take over the House in November. Let's get more on the mid term picture. Greg Valiare is

with US now, chief US policy strategist at a GF Investments. Greg, let's start off with this announcement we are expecting later this afternoon from the President on trying to get a handle on rising gas prices. Do you think that another strategic oil release will have much impact? Probably not a lot, Nathan, good morning. I do think that politically, of less than a month ago before the election, it makes some sense he wants to show the public that he's doing everything

he can. But in terms of the price. No, I don't think it's going to have a huge impact. Well, it does seem as though the economy inflation are coming back front and center for voters with less than three weeks to go now till the mid term election. What kind of impact could an announcement like this have when it comes to trying to steer the economic message for Democrats.

Maybe a little if the price at the pump does go down a bit, But I think attitudes are pretty much locked in, and we usually when you get towards the end of October and here we are, what's today the nineteen You're starting to get an electorate that has made up its mind, and the big story is that it's all pocketbook issues entirely. To my surprise, abortion is

not in the top three or four issues. Uh. Urban crime is a big issue, that the border with Texas is big, but it really boils down into economic issues inflation, and that's a real weak point for the Democrats. Although it is interesting, of course, to hear the President yesterday saying that if Democrats do win in the mid terms, he would send abortion rights legislation codifying row as His first move if the Democrats do take control is that going to help Democrats to have that kind of message

come out this soon before election day. Maybe it's the margin, but I think it's it's clear to me anyway that it's not going to make it if Biden does propose that, because the House almost certainly is going to flip, and it may flip by a lot. It could be as low as a ten or twelve or fifteen point flip, it could be a twenty or twenty five Seaton flip. I think the Republicans are headed for a very good night on November eight, And I think that any kind

of promise you here on abortion is a hollow promise. Yeah. I think I saw a note from you just the other day that the L word is starting to rear its head Landslide. Give us a little more on that. What has you thinking that we could see a potential red wave in a few weeks. Well, two things. They Number one, a significant shift of Hispanic voters towards the Republicans.

I think Democrats have taken Hispanic voters for granted, and there's going to be I think a move there that could make the difference of three or four or five House seats. The the other big big issue was urban crime. I think it's having an impact in Pennsylvania for Dr Oz and many other races. Urban crime has become the hot button issue, and the Democrats are stuck with his label. That isn't fair. Politics isn't always fair, but this label that they want to defund the police, that's not true.

Biden certainly doesn't want to, most of the Democrats don't, but they're stuck with a label and they can't get rid of it. Now. We have a number of Senate races we're watching. You mentioned the one in Pennsylvania. We just had a debate last night in Florida, Marco Rubio taking on a former police chief in Democrat Val Demmings. In terms of the crime issue, how do you see that chacking out in a race like the one in Florida, which of course is always a battleground politically. Yeah, Florida

is a tough phrase right now for the Democrats. I think that Deming's is not a bad candidate. I watched some of the debate. It was very spirited, but I think she's the underdog. At the surprise will be Rubio only winning by three or four or five points. But I do think you'll win. I want to ask you as well about what kind of changes we could see in terms of policy if Republicans, as you're predicting, do

UH make significant gains next month. We've heard interviews recently with House Republican Leader Kevin McCarthy suggesting that maybe Ukraine wouldn't get as much aid under a Republican controlled Congress. What kind of changes could we see if Republicans do get the majority? Really interesting question. I think there are three big issues. Number One, the Republicans want to resurrect the idea of the tax cuts, which will expire, many of them expire in the middle of this next gig.

They'll want to revive that. I don't think that's going to go very far. I think they also are going to talk about big spending cuts, and if they don't get big spending cuts, they might even threaten a government shutdown. But the third issue, the one that is the most eye opening, is a growing feeling among Trump supporters on the far right and maybe now among a lot of Republicans in the House to not give much more aid to Ukraine, that we have more important needs at home,

that we can't just give them a blank check. If that takes over and we're seeing protests in Western Europe, could we have a situation by spring where maybe Vladimir prutencies a dwindling resolve in the West. That's not out of the question. I mean, just thirty seconds left here we all stard from Marjorie Taylor Green explicitly saying she expects to get more power if Republicans take control. Can we see a resurgent sort of Trump wing of the party.

What Kevin McCarthy has to do, who has appeased the right wing in order to get elected speaker? If he doesn't, Steve Police could come back into the picture, So he'll probably do whatever Marjorie Taylor Green wants because he wants to be speaker. Always good to get your thoughts, Gregg. Thanks for this. Greg Value, a chief US policy strategist

at a GF Investments. Read much more at Bloomberg dot com or on the Bloomberg terminal, and whenever you're in the nation's capital, you can tune in Bloomberg Radio at Bloomberg and one oh five point seven fm h D two futures turning again, got SMP futures Little change down down a point. Dal futures down thirty seven. Nasdaq Future is still holding onto a game, just barely by seven points. Bloomberg surveillance is next for Karen Moscow. I'm Nathan Hager, and this is Bloomberg