Bloomberg Daybreak: October 4, 2022 - Hour 2 (Radio)

humanitarian relief center intended for asylum seekers and queens. Plus, North Korea launches a missile test over Japan. Michael Warner. More ahead, I'm John stas shower and sports. A Yankee flirted with a no hither to win at Texas one of Night Football, The forty nine Beat the Round. That's

All's training. Head on Bloomberg day Break on Bloomberg E Live in freon New York, Bloomberg nine one, Washington, d C, Bloomberg one oh six one, Boston, Bloomberg nine sixties and Francisco, Syrius x M one nine Team and around the world Old on Bloomberg Radio dot Com and via the Bloomberg Business Side. He Good morning, I'm Karen Moscow. I'm Nathan Hager. Bloomberg Daybreak is brought to you by SEI. Asset managers don't get results that are off the charts when their

solutions are off the shelf. Learn how SEI is operating platform can turn infrastructure into a competitive advantage at se i C, dot Com, slash Tech and US futures are higher this morning six out what on Wall Street. We check the markets every fifteen minutes throughout the trading day.

On Bloomberg, SMP future is at fifty seven points down, futures up three hundred seventy seven, NAZAC futures up two d and the tenure treasury of fifteen thirty seconds he'll three point five seven per cent and the yield on the two years at four percent. Nathan Karen. This morning's gain in futures follows the best day for US stocks in two months. The S and P five indecks close higher by two point six percent. Week manufacturing data helps for the rally. Some see it as assigned the Fed

could soften its approach to rate hikes. Abe desh Ponde is chief investment officer at Center Stone. The fundamentals as far as the groundwork for a new boat market are there. You just don't have the valuations are quite there yet. And he's certainly don't have the cattlest yet. But I don't see. I don't see that, you know, a huge collapse or a calamity or anything like that. Center Stones Abbi Deshponde believes core inflation has already peaked, hitting a

high point in February. Well. Despite some optimism that the Fed made turn in Devish Nathan, central bank officials continue to bang the drum for more rate hikes. New York Fed President John Williams says tightening still has a significant way to go. He's one of five FED officials speaking at events today Here at Any Research president ed your Denny said the Feds should hike one more time and

then end it's tightening cycle. I'm totally stumped, mystified, surprised that Fed officials don't seem to acknowledge that just focusing on the FED funds rate as part of the monetary tightening cycle is a mistake. When you also have QT two and you have a soaring dollar, these are very restrictive monetary developments. Here at Any Research President Nadia or Danny says the fed's final rate hike should be next month. We'll start star rallying across the globe this morning, Karen.

In Asia, overnight equities posted their biggest daily advanced since March. Let's get the recap from Bloomberg's Juliette Sally in Singapore.

Good morning, Juliette, Good morning, Nathan and Karen. Australia's benchmark jumped as much as three point six percent, the most in more than two years, after the country's central Bank delivered a smaller than expected interest rate hike, while three year bond yields slumped the most since the rb A cut rates heading into the global financial crisis in two thousand and eight. Japanese stock surge, with the benchmark topics

rising around three percent. Liquidity in the region was relatively thin, with China and Hong Kong markets closed for a holiday. In Singapore, Juliette Sally Bloomberg Daybreak A right, Juliette. Thanks. So we're also seeing a rally in Europe this morning. Let's go to London and get the latest from Bloomberg's You and Parts. Good morning You, and good morning Cat

and Athan. European stocks in the green for a third day to day, the benchmark stocks is under touching its biggest gain seeds June, travel, technology and retail companies posting some of the biggest jumps today. A quick look at the grr function on the Bloomberg shows that all twenty sectors are lovely shade of green today, and Credit Sweet also gained this morning, a day after those wild durations in the troubled lenders share price in London. I'm your

parts of Bloomberg day Break. All right you and thank you. Let's stay in the UK now where it is the third day of the Conservative Party's conference. Questions are swirling over whether Prime Minister Liz Trust can rebound from the political crisis created by last week's budget announcement. It's got a Birmingham, England and get the latest from the conference with Bloomberg day Break. You're a banker, Caroline Hepgerg, Good morning, Caroline,

Good morning, Nathan Karen. Some of Liz Trust's top team have been telling Bloomberg that her project is dead in the water already. A humiliating U turn on the top rate of tax from the Chancellor Quasi Quaite has led her own party to question her leadership which puts her

agenda in jeopardy. The Chancellor has promised to bring forwards details of his fiscal plan and the independent watchdogs assessment so that it shortly, but one former cabinet minister who spoke to Bloomberg predicted the Prime Minister would be gone within a year. Now. The question is how the government can afford the tax cuts that it has promised, and will the poorest in society see their wealthfare payments sacrificed in order to balance the books. In Birmingham, I'm Carolan

head caffa Blue Big daybreak. All right, Caroline, thank you. Back here in the US, US China relations are back in focus. Bloomberg News has learned the White House plans to announce new restrictions on Beijing's access to US semiconductor technology. Details now from Bloomberg Jamie Morrison are not a none one newsroom in Washington, members of Congress have been pushing

the White House to tighten controls around semiconductor equipment of China. Now, sources tell Bloomberg News the Commerce Department will roll out a package of rules this week, including formalizing restrictions on technology to produce chips that are designated as fourteen nanometer or better. It will prohibit the sale of tools for logic and memory chip production in China and restrict access to chips used in supercomputing and artificial intelligence in Washington.

I may me more as Bloomberg Daybreak, thank you Amy. As the war in Ukraine rages on, Elon Musk is weighing in. Recent Twitter posts have the test the CEO drawing the wrath of Ukrainians, including President Vladimir's a landscape. Bloomberg's Charlie Pellett explains those post surge Ukraine to seek a negotiated solution to the invasion by Russia and to

seed Crimea for good. Must also launched a Twitter poll asking citizens of occupied areas of eastern Ukraine plus Crimea to decide if they want to live in Russia or Ukraine. The survey comes as Ukraine, Europe and the US denounced President Vladimir Putin's move to annex four regions and declare

them Russian territory in New York. Charlie Pellett Bloomberg Daybreak, Charlie, thank you asked for Elon Musk's company Tesla plunged to the most in four months yesterday after third quarter deliveries missed estimates, and it looks like investor Cathy Wood took that as a buying opportunity. Funds back Woods Ark Investment Management bought more than one shares of Tesla yesterday and marks the firm's first purchase of Tesla since mid June. Tesla shares they are up three point one per cent

this morning, and again futures are higher. Straight ahead your latest local headlines plus a check of sports, and this is Bloomberg. Thank Karen. Six oh seven on Wall Street, still raining, still forty five degrees in Central Park and the westbound l I E is closed at Seaford Oyster Bay Expressway. Wet Roads will do it. Michael barrs Scott More on what's going on in New York and around

the world. Michael, thank you very much. Nathan. New York City is relocating a humanitarian relief center intended for asylum seekers bust up from Texas and southern border states. The proposed Tens City at Orchard Beach and the Bronx has become a magnet for anti immigration protests and for people who are concerned about the migrants. The city plans the house at that facility. New York Mayor Eric Adams says the city is a floring solutions for the incoming asylum seekers.

We are not going to be afraid to try different things to solve these unprecedented um problems that we're facing in the city. Mayor Adams says the migrants will be sent to Randall's Island after concerns about flooding issues in Orchard Beach. North Korea has fired a ballistic missile over Japan for the first time in five years, forcing Japan to issue evacuation notices and suspend trains during the flight of the nuclear capable weapon that could reach the U

s territory of Guam and beyond. The US said it strongly condemned North Korea's dangerous and reckless decision. Cheryl Sandberg, who once sparred with the American Civil Liberties Union, is now one of its biggest manufactors, providing a three million dollar grant to boost its political activities around access to abortion. The gift from the former Meta Platform CEO, which will be announced today, is one of the biggest abortion rights grants ever received by the one two year old nonprofit.

President Biden and First Lady Jill Biden, toured Puerto Rico, ravaged by Hurricane Fiona. The President offered reassurance the federal government will help the U. S. Territory rebuild. We're gonna make sure you get every single dollar promise, and I'm determined to help Puerto Rico bill faster than in the past and stronger and better prepared for the future. Tomorrow. President Biden plans to visit Florida, hit by Hurricane Ian. Florida Governor Around the Santist pushed back when asked about

evacuation measures in Lee County ahead of Ian. County officials have come under question for ordering evacuations too late after Ian storm track made a late turn south for a more direct hit. Stop stop stop. Okay, it's been This has been dealt with. The Lee County has explained what they did, they went through that. Governor de Santists later said the state will, of course look over the evacuations.

Global News twenty four hours a day on airrand on Bloomberg Quick Take power by more than journalists, analysts more than a twenty countries. I'm Michael Barr. This is Bloomberg Naked. Thank you, Michael. Just about six ten on Wall Street, time for the Bloomberg Sports Uthday with John Stow. Thanks

day to the Yankees. First series in Arlington, Texas since Corey Cloomer's no hitter there last season, and almost another Yankee no hitter, Luis Severino would have taken it into the eighth inning, but Aaron Boone took Severino out after ninety four pitchers pitches. Rangers broke up the no hitter, but the Yanks one three to one home runch John Carlos Stanton, Marwin Gonzalez not Aaron judge, He's still at

sixty one. Yanks and Rangers playing a doubleheader today. Mets and Nationals will play two at city Field after last night rain. Now Atlanta off the sweep of the Mets had only four hits lost in Miami, four nothing, but the Braves magic number to win the NL East is still only one, which would mean him met wild Card series this weekend at city Field. Mets hoping that Starling Marte will be able to play. They have missed his bat out the last four weeks with a broken fingers.

Seventy eight year old Hall of Famer Tony LaRusso says this for retirement is final. He was out of managing for a decade and returned to manage the White Soft now stepping down. He had had health issues. Mother Night Football big plays carried the forty niner trows hit card five Dego, Samuel Bike some tackle, forty Tebow thirty five, twenty five twenty bricks tackles. Sister called that fifty seven yard touchdown came after a thirty two yard TV run by Jeff Wilson and before a fifty two yard pick

sixty beat the Rams. Nine Garian's getting ready to fly to London to play Green Base Sunday. They're both three and one QB. Daniel Jones's ankle injury said to be improving. John Stashatward Bloomberg Sports NCO thanks John SMP futures right now are up sixty points down. Futures of four two now. Nastac features are higher by two twenty nine points. The tenure treasury is up fifteen thirty seconds. For ye'll just

shy of three point five percent. You're listening to Bloomberg Day Rain Bloomberg eleven three oh weather, cloudy, occasional showers and rain today, breezy highs only in the upper fifties showers, and tomorrow we'll get into the low sixties, back in the sunshine and low seventies on Thursday. Right now, rain and forty in Central Park Markets, headlines and breaking news twenty four hours a day at Bloomberg dot Com, the Bloomberg Business Atland at Bloomberg Quick Take, He's a Bloomberg

business flash and I'm Karen Moscow. And a rally and global markets is extending into a second day. That's lifting US dock ind Next futures as well as European shares. As investors wags, central banks will have to slow the pace of monetary tightening. We check the markets every fifteen minutes throughout the trading day on Bloomberg s and P futures up sixty three points now features up four four PASDACK futures up two hundred thirty nine. The decks in

Germany is up three point one percent. Can your treasury up sixteen thirty seconds? You have three point five seven percent. They yield them a two years at four percent. NIMEX screwed oil is up nine tenths percent, or seventy eight cents at eighty four dollars forty one cents a barrel. Comics gold up nine tenths per cent or fifteen dollars

forty cents at seventeen seventeen fifty announce. The euro point six against the dollar, British found one point one three six five and the yen one forty four point seven one and bigcoin is up one eight percent at nineteen thousand, nine hundred fifty dollars as of Bloomberg Business Flash. Now here's Michael Barr with more on what's going on around

the world. Muchael Karen, thank you very much. North Korea fire a missile over Japan for the first time in five years, further ratcheting up tensions over Kim joan UN's nuclear program and prompting a rare public safety warning to be issued by Tokyo. The U. S. Supreme Court began its new term the new session welcome newest Justice Katanji Brown Jackson, the first black woman on the bench. During oral arguments, she grilled an attorney challenging the Environmental Protection

Agency's power under the Clean Water Act. In baseball, the Yankees one erin judge still at sixty one home runs with time running out. Red Sox one along with the A's, the Orioles and Giants lost. The Mets and Nationals game postponed Monday night Football Beat the Rams. Global News twenty four hours a day on air and on Bloomberg Quicktake, powered by more than twenty journalists and analysts more than a hundred twenty countries. Michael Barr and this is Bloomberg, Nathan.

Thanks Michael. It's six nineteen on Wall Street Live from the Bloomberg Intractive Broker Studios. This is Bloomberg Day Break. Let's get more on this market now. We're joined by Maria Wademan, senior multi assets strategist at State Street. Great to speak with you, Maria, as we watch futures continue to climb after yesterday's strong start to the fourth quarter. Is this a rally with momentum? Alcolo? What he to

be on on the show? I mean, Bardo marchings, it's ample sells rally when we've had I mean, we're still very very worried about were little progress on inflation. We expect central banks to maintain the hockeys stands um I mean for us, that's definitely really to self. So you're not swayed by some of the data that we've seen come in the weaker than expected manufacturing data that could potentially make the FED thing twice about higher from longer

interest rates. So are you pushing back at that? Yeah, and I think we were in that camp. I mean, I find it quite interesting. So we had about six weeks past Jackson Hole when we had a slightly better data, which was seen as a kind of bad news for full financial market, meaning that we need to do more. And then kind of yesterday there was a day when we've had quite a bit of a weaker data, as you say, and we all kind of all change and we're all going to uh kind of expect central banks

to flow based on couple of days of data. So for us that that's not enough. So what would be enough? What are you looking at that would make you think that the FED might start to pivot? I mean, well, well, quite fortunate as stage we are previous to the high frequent inflation data. We have a measure of daily or daily measure of online inflation, and that measure really showing

us no slow down in any sector bar transportation. So yes, transportation prices are going down as oil prices are going down, but every other sector electronics, home furnishing, apparel, healthcare. All of them continue to seek work quork quite strong, perfect price information. So until that starts to turn down, that's what dearest, So what do you think the fans want

to do? Sorry, go right ahead. And I mean the way we're kind of looking at inflation, why inflation is still strong is still those stories we were all kinds of of the whole market was where taken on last week? Is we talked about still consumers, consumers have coal savings that has not been spent or inaggregate, uh, we still talked about labor markets. So those were kinds of the scenes of last week, and I mean those things have not gone away in a week, so we're still think

that those have kind of underlying points of strength. How long do you think it's going to take the forefeed policy, whether it's higher interest rates or rollback of the balance sheet, is going to have any impact on some of the inflationary pressures that you're seeing. Definitely a while, And it's

quite interesting. I mean, obviously every economist is forecasting inflation going down to to percent, and that's just still a forecast, but it just takes a bit longer and we're beginning to see kind of some science probably and that's what kind of said is pushing against it as a science of inflation, the anchoring from those two percent. So I mean for us, it's uh still very hooky central banks. And even when the pivot for US pivot is stop

raising rates, not clutching rates. So so we uh yeah, we we we still seek a lot a lot more work for central banks to this In terms of that work. What do you see stocks going from here? What kind of levels are you looking at? I mean we're quite kept I mean you've given this outlook, you probably can

guess we're quite skeptical. For equity outlook, we see we still see multiple compression at the first step, so probably maybe going for like a just things like I don't know, ma, the level of like fifteen times when a pen te multiples and uh but what what's even kind of more worrying is that after a multiple compared so far, we haven't seen earnings greater at all. So so far earning girl has been okay. And uh that's what the kind

of the next step. So the longer we kind of postponed, um, the longer central bank continuous rate rights as we expect the move, the harder it is to achieve for uh stot lending, and the harder the earnings will will will will drop. So that's uh quite challenging our look in our opinion only about thirty seconds left here, it sounds like you're defensive as far as your investment strategy. What is that like for your clients? Yeah, I mean it's

very challenging. I mean we were still finding like relative value trade, so we within our preference will like healthcare, We actually like energy stalks. Uh uh So so there are like trying to find areas for for where we can invest more and more constructively. Thanks for this very great having gone with us this morning. Maria Weightman, Senior

multi assets strategist at State Street. Looking at markets this morning, a rally is on with SMP futures up sixty six points, STAFLE futures up four undred fifty and NASDAC futures are

higher by two undred fifty points ten. Your treasury is up seventeen thirty seconds, the yield three point five seven percent yield on the two year right at four point zero, and nime X screwed is moving higher as well, up nine tenths percent, or seventy eight cents at eighty four dollars forty one cents a barrel looking at bitcoin just shy of twenty dollars, a gain of one point nine percent.

You're listening to Bloomberg Daybreak Bloomberg eleven three oh weather, clouds, occasional showers and rain, breezy, cool, highs only in the upper fifties today, shower's line Tomorrow low sixties will be back in the sunshine and low seventies by Thursday. Right now, rain and forty five in Central Park. Broadcasting live from the Bloomberg Interacted Broker Studio in New York. Bloomberg E

living Free. On to Washington, d C. Bloomberg, On to Boston, Bloomberg one six one, to San Francisco Bloomberg and I'm sixty to the country, Sirius XM Toto one nine team and around the globe, the Bloomberg Business at 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 training time for the Five Things so you need to notice start your day all to you by

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 ibkr dot com slash interest rates to learn more. The first US futures on the rise on he also the best day for stocks in two months.

Still there's room to go lower from here. That's according to Wealth Enhancement Group Senior VP Nicole Webb, the market may come down to kind of that thirteen times to fifteen times multiplier, and when we get there, the SMP looks more fairly priced within reason, closer to three thousand and so we do think when you come through that support of thirty, there's there's probably still room below that

to go. The Wealth Enhancement Groups Nicole Webb says the US is likely entering a period of structurally slower growth. The meantime, Karen FED speakers continue the drum beat for higher rates. New York Fed President John Williams says tightening still has a significant way to go. Williams is one of five FED officials speaking at events today. Pre A miser ahead of global rate strategy of TV Securities thinks the Fed won't stop hiking anytime soon. We should be

pricing in a recession. I think the recession is pretty much baked on the cake for next year in the US, and I don't buy the shallow short recession argument. This could be much longer lasting because the Fed is going to be reluctant to start to ease. They're so worried about the nineteen seventies that I think they're going to be late on the way to easing policy, so that Danny is attractive as a risk hedge. A miser with TV Security says rate hikes could continue into next year

well despite the hawk Is rhetoric. Global stocks are railing this morning. The MSCI Asia Pacific Index rose more than two percent overnight, and You're up stock six is currently up two point six. In England, it's the third day of the Conservative Party conference Karen and questions are swirling over the leadership of Prime Minister is Trust. Cabinet members tell us Trust will struggle to enact to keep parts of her economic plan because you're standing in the party

is already so damaged. In corporate news, Nathan Teslas o Elon Muskin raged Ukrainians in a series of Twitter posts in which he said that the country should seek a negotiate a solution to the invasion by Russia and steed crimea. Ukraine's president vladimir's Lenski responded in a post of his own, questioning whether must supported Ukraine or Russia and back in the U s Cairen. Bloomberg News has learned the Biden administration plans to announce new restrictions on China's access to

US chip technology. And that's the five things that you need to notice. Start your day. Brought to you by Interactive Brokers, Hands straight Ahead. We have your latest local headlines, plus a check of sports, and this is Bloomberg. Thanks Scaring. Six three on Wall Street, rain forty five degrees in Central Park. Still got that overturned tractor trailer's got westbound l I E closed at seafort Oyster Bay Expressway. Michael Barr has more on what's going on in New York

and around the world. Good morning, Michael, Good morning Nathan New York City is relocating a humanitarian relief center intended for asylum seekers bust up from Texas and southern borders to ads. The proposed tense city at Orchard Beach and the Bronx has become a magnet for anti immigration protests and for people who are concerned about the migrants. The city plans of the house at that facility. New York Mayor Eric Adams says the city is exploring solutions for

the incoming asylum seekers and that everyone is safe. We're going to provide the public safety. That's my responsibility. My responsibility through the Police Commission and Police Department, all about law enforcement entities is to make sure that the communities will we have any shelter migrants are not that is safe. Mayor Adams says the migrants will be sent to Randall's

Island after concerns about flooding issues and Orchard Beach. North Korea launched an intermediate range ballistic missile over the Japanese territory for the first time in five years. Residents in northern Japan were told to take cover as the missile

flew over and fell into the Pacific Ocean. Japan says North Korea's latest missile launch is reckless and strongly condemns it jap and these government spokesperson hero Kazu Matsuno, through a translator, Dunde nor North Korea's actions, including the repeated ballistic missile launches, are a threat to the peace and security of our country, region, and international community, and it's a serious challenge for our country and the entire international community.

The launch is seen as an escalation in response to military drills between the US and South Korea. President Biden and the First Lady arrived in Puerto Rico. It was hit by Hurricane Fiona. The U s territory was hit by Hurricane Maria five years ago. The President says he wants to make Puerto Rico resilient with sixty million in infrastructure aim and yes, Puerto Rico is a strong place

and Puerto Ricos are strong people. But even so, you have had to bear so much and more than need be and you haven't gotten the help in a timely way. President Biden will visit Florida to survey Ian's damage tomorrow. High stakes January six trial kicked off in d C District Court. Five members of the far right militia group the Oath Keepers, faced decades behind the bars. The defendants

are charged with seditious conspiracy. Global News twenty four hours a day on airand on Bloomberg Quick Take, powered by more than twenty seven hundred journalists anatist more than a hundred twenty countries. I'm Michael Barr. This is Bloomberg, Nathan, Thanks Michael. Just about six thirty six on Wall Street and John sash Hour has the Bloomberg Sports Update. Nathan. It's one of the things you never used to see

in baseball and now see all the time. A manager taking a picture out even when the picture has not allowed a hit. Just the third start for Luis Sevareinos and been injured. The playoffs are around the corner. Savarino was at ninety four pictures through seven and Aaron Boone removed him. The decision that sucks to have to make, um, because he was very efficient to you know, the decision would have been if he was through rate at that point. Um, you know, I didn't really want to go more than

ninety with him today. How's he gonna try and let him finish that seventh tenning? No matter what Rangers broke up the no hit or and the shut out of the eighth inning offrom Miguel Castro's just back from injury. Yanks still wanted Texas three to one. John Carlos standing his thirtieth home run, Aaron Judge did not hit his sixties second. Maybe today doubleheader in Texas met the Nationals to play two at City Field at last night's rain out. The Braves at Champagne ready to go, but lost in

Miami for nothing, their magic numbers still one. The Phillies celebrated they wanted to clinch their first playoffs Firths Andince two thousand and eleventh. The twelve playoff teams are known, matchups still to be determined. Week four ended with the seven sacks and a nine win over the Rams, where they've now beaten seventh straight times in the regular season. All four teams in the NFC West for two and two Jets two and two yet to win at home.

They host Miami Sunday. The Dolphins quarterback will be Teddy Bridgewater to a tongue of Balowa out with his much debated concussion. Tyrod Taylor is in concussion protocol and Daniel Jones as an injured ankle said to be improving, but the Giants Sunday in London against Green Bay may have to start third sprink QB Davis Webb who's never thrown a pass in an NFL game. Johns facially, I want bloombergs towards me. Thanks John sixty seven on Wall Street.

Time to take a look at stock some of the names moving in this rallying pre market with Floomberg, Radio and TV markets correspondent pretty goopda watching the bouncing ball that is Tesla, and not just because of Elon Musk's Twitter feed, right, pretty right, well, a fast and furious rally in futures right now, Um, one that is matched by a carmaker. If you see what I did there, Um and Nathan, just for you, Tesla shares t S thank you. I tried really hard t s. L A

shares are just shy of four percent. Um. What's interesting here is that this isn't just a Tesla move. This is a broader technology move. So you're seeing this across the board here. Um. Remember what one of the big issues with having kind of a sustainable up bear or bull markets. He's waiting in the stock market was that you didn't have technology stocks on your side. So there is a little bit of hope here that perhaps this is a turnaround story that a lot of people are

waiting for it. That being said, with this kind of volatility, is this sustainable is going to be the old question right now? Tesla shares up specifically though t s l A up about like a four percent. Cathy would very vocal about buying the dip on Monday, so that's going to be significant. But remember, Elon Musk is also perhaps catching a little bit of hate on Twitter right now.

I mean as usual that it is Twitter and it is Elon Musk, so keep an eye on the kind of the comments that he makes, especially when it comes to this market. Uh let's stick with the car theme though, because that is something to keep an eye on. Rivy and r I V and is your ticker shares her up almost ten percent on the day. There is session highs right now. Whether that stays throughout the session once

again is anyone's guest. But this comes after they reported a boost in production and reaffirmed its annual goal to build twenty five thousand electric vehicles. Remember, Rivy has been trying to build up their scale, especially within the face of inflation and commodity pressures. So, um, this is a

good step in the right direction. Yeah, interesting to see if that will hold up given the issues with production that Tesla reported just a few days ago, and signs of hope this morning as well for Bed Bath and Beyond investors, Yeah, it's interesting, there's there's a little bit of a story here. B B. B Wise, your ticker

up two point three percent in the pre market. This comes after The Wall Street Journal reported late on Monday that some of their home furnishing retailers bond holders are working with Perella Weinberg Partners ahead of debt talks that they're expect to be held with the company. And we know that Bed Bath and Beyond has been dealing with a liquidity crisis of their own that has include restructuring that has include layoffs, is include store closures, which also

included issuing some of those bonds. So it looks like they're taking one more step in the right direction with Perella Weinberg. Um, and so this is gonna be something you want to keep an eye on. Investors. Pretty sweet on the shares right now, BBB. Why, Like I said, up two point three percent in the pre market. Nathan all Right, Bloomberg Radio and TV Markets correspondent prety Goopta keeping an eye on those individual names for us in early trading, and as we take a look at stocks

as a whole ahead of the Tuesday morning open. The rally is on after yesterday's nice start to the fourth quarter. S ANDP futures are up sixty seven points, build on the games from yesterday. DAL future is up fifty three and NASEAC futures on the rise by two fifty five points. That's a game of two point three percent. Ten. Your treasury is up sixteen thirty seconds, yield three point five seven percent, the yield on the two year right now

four even. This is Bloomberg Bloomberg eleven three oh Weather clouds, occasional showers and rain. Breezy hides in the upper fifties. We'll get into the low sixties and showers and tomorrow sunshine for Thursday and low seventies return right now, rain forty five degrees. 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 fair in Moscow. Future is on the rise.

This morning we get to the First Word Breaking News desk for today's morning call. Here's Bill Maloney, Bill, good morning, Hey, Good morning, Karen. US futures are showing important followed through after yesterday's gains with doubt futures of four hundred forty points. Supes gained sixties six and nastic futures are hired by two hundred and fifty three. The US ten year old at three point five seven percent, Gold is hired by eleven, Oil is climbing and bitcoin is rising by two percent.

Japan rose three percent overnight, while Europa markets are also in the green, led by three percent gains in France and Germany. Back in the US, on the economic front of tennetclock factory orders dooble goods orders and the Jolts job openings. In deal news, South Korea is neighbored to buy posh Mark for S nine share and wrapping things up begging New York. Melin was raised to buy over

at City Group. Gilead raised to overweight rad JP Morgan live on the First Breaking News Descam Bill Maloney Karen, Herry, Phil thank you to hear live breaking news over her Bloomberg tipe. Squawk on your terminal, ask you a w K and that's a Bloomberg business flash. Now here's Michael Barrow with more on what's going on around the world. Michael, Karen, thank you very much. North Korea launched and into media

range ballistic missile over the Japanese territory. Residents in northern Japan were told to take cover as the missile flew over and fell into the Pacific Ocean. Ukrainian President Voladimir Zelinski said that liberating settlements from Russian occupation is now the trend. Is comment comes after the strategic eastern town of Lehman was fully cleared. The town is part of the regions Vladimir Putin annexed following referendums termed illegal by

Ukraine and its allies. In baseball, the Yankees one Aaron Judge still at sixty one home runs with time running out. The Red Sox one, along with the A's, the Orioles and Giants lost the Medicine Nationals game postponed. Monday night football, the forty nine beat the Rams. Global News twenty four hours a day on air and on Bloomberg Quicktake, powered by more than journalists and analysts more than a hundred twenty countries. Michael Barr, this is Bloomberg Kerry. All right,

Michael Barr, thank you. At On Wall Street, we turned to new in Science and Technology now with the Bloomberg n j I T S STAM Report. It's brought to you by New Jersey Institute of Technology, whose n j II unit has joined with pharmaceutical giant Murk to establish the Merk Digital Sciences Studio to support drug discovery and development. More at n j I T DOT E d U. And here's just making news and science, Technology, engineering, and math.

Three scientists jointly one this year's Nobel Prize and Physics for their work on quantum information science that has significant applications, for example, in the field of encryption alan aspect. John Klauser and Anton Zillinger were cited by the Royal Swedish Academy of Sciences for discovering the way that particles known as photons can be linked or entangled with each other

even when they are separated by large distances. Bloomberg News has learned that the voluted Administration will announce new restrictions on China's access to U S semiconductor technology. That's an esclamation of Washington's efforts to stifle Beijing's industrial ambitions. Also her growth in the five fifty billion dollar sector and Facebook parent Meta Platforms is planning to close one of its offices in New York after scaling down its expansion

plans in the city. Sources say that company is exercising its option to terminate its LEASA at two hundred Park App South in Manhattan. Meta has been consolidating its New York workforce building in offices and Hudson Yards and moving ahead with plans for the Farley Building near Penn Station and as a Bloomberg n j I t STEM report. Nathan, Thanks Karen. We're live from the Bloomberg Interactive Broker Studios where it's coming up to six fifty one on Wall Street.

Time out to check with some of it's going on in d C, including those chip technology limits to China that Karen mentioned. Also making news, new details on the Justice Department filter team at maral Lago, President Biden taking action to boost abortion rights on college campuses, and elon musk angering Ukrainians with his tweets about the war against Ukraine. Bloomberg's Joe Matthew is with us now, our Washington correspondent, host of sound On on Bloomberg Radio. Lots to get

to even in the run up to the mid terms. Joe, but let's talk a little bit more about these chip limits that the Biden administration is proposing, because it sounds like this could be a potential further point of contention, point of friction with China. Well, that's exactly right, and it's a follow on to a couple of things. Nathan Karen Moscow was just talking about what happened roughly a

month ago. If you might remember, this was a real knock on shares of Nvidio as as the government put new restrictions specifically on invidios Artificial intelligence chips AI chips that are used to do all kinds of things including developed UH self driving, autonomous driving technology, facial recognition, voice assistance, that type of thing, and we talked about AI. This is gonna be a little bit wider though. The administration is going to roll out a package of rules this week.

As we understand Bloomberg is reporting this UH that will put very specific and codify specific restrictions on the types of chips that can be exported. I don't want to get too wonki here, Nathan, but those designated as fourteen nanometer or better are what will be restricted from China. These are the most complex chips made. By the way, the smaller the number of nanometers, the more advanced the capability. So think about that as like fourteen and below, that's

gonna be essentially impossible for China to access those chips. Well, what's that going to mean for US China relations, particularly as we're getting closer to this all important Communist Party conference that's expected to get hijin Ping into an unprecedented third term. Well you probably know the answer to this. I mean, it's just it's it's a it's feeling more and more like a Cold war. And the reaction that we heard from that first set of of restrictions on

video did get some pushback from China. And by the way, the companies may not love this either. This is gonna stifle growth potentially for chip makers like in video. And I'll tell you what. The stock is higher this morning in pre market trading, but it's already been beat down because of this story. It's down gosh, about seven percent over the last month or so since that announcement was made.

So it gives you a sense of the concern for not just in video, but companies like A M D and other chip makers that that are behind the world's most complex and advanced chips. Interesting to see this develop even further after that Chips and Science bill that has passed earlier this year. I want to talk a little bit more about what's happening at the White House today. Of course, we had President Biden focused on hurricane relief,

but today it sounds like he's focused on boosting abortion rights. Yeah, the President said, following the role ruling, as you remember that he would use obviously, his his ability to impact this story is limited, but if he would use the weight and the power of his office to do whatever he could through the executive branch. And today Bloomberg reports

the President will unveil new guidelines from the Department of Education. Okay, so we're going through education here that would require universities to protect students who who get abortions from discrimination. This follows on similar uh moves by the President, for instance, to to maintain travel rights interstate travel, rights for people, and rights to privacy. This would be the latest one here and they're gonna give six million dollars as well

in grants to expand access to reproductive care. Uh. This is a memo that was distributed by the White House, and we expect that guidance will be made clear soon publicly soon. And this guidance is coming, of course, just about five weeks before a mid term that I would imagine Democrats are hoping we'll be focused at least to some extent on the threat to abortion rights very much so.

I mean, it's gotten to the point now when it depends on what poll you're looking at, and these numbers can be very noisy because it's a very unusual mid term cycle, coming out of COVID, coming out of a very difficult period of time, potentially going into a recession.

We've got inflation, we've got a war. But row that Dobb's ruling is incredibly important, as we saw in a couple of the special elections that followed it, and in the turn in polling that would that would at least soften the blow on Democrats in the House, for instance, and might allow them to preserve the Senate is a massive game changer. And it's one really, Nathan that strategist or have not been able to quantify. It's something that we have to wait till this election to see play out.

All right. And finally, Joe, what's the reaction in Washington to these Twitter polls that Elon Musk put out yesterday about the war in Ukraine and the occupied territories? What getting on with that? It isn't this uh something Elon Musk knows how to get into stories. He essentially tweeted what he saw as his piece plan for Ukraine that would include them giving up Crimea. Then he to your point, he had a poll on whether people who live in the areas that had been UH annexed by Russia if

they rather be Ukrainian or Russian. The the Ukrainian government did not love this, Zelenski himself. President Zelenski tweet which Elon Musk, do you like more? They're not very pleased with this, although he did follow up to say that he supports Ukraine. I don't suspect that any of this went through the State Department donation you're asking, That's not

exactly where I was going on that, Joe. But in terms of I guess getting into the thinking in Washington is Elon Musk trying to pull his weight apart from the the chancery court issue that he's got going on just outside of Washington in Delaware. I mean, what's the thinking in Washington right now? You know it? God who knows? With Elon Musk, these are all great questions. He remember, he put his satellites, his Internet satellites, the Starling system

over Ukraine to help them get internet access. He has. You know, you could argue that he's been trying to help here. But sometimes when Elon Musk is hanging around tweeting at night, things like this happened. Whether he has real motivations here, Uh, you know, ask the folks at Twitter about Okay, read his tweets and we'll get that. I suppose so. And uh we've seen the reaction in Ukraine as well. We just can't repeat it on the radio. If you have the bleep handy, I'll be glad to

tell you what they said. Yeah, sorry, I've gotta dig

that out. Thanks Joe. As always, Bloomberg Washington correspondent Joe Matthew much more to talk about this afternoon, As always on sound on five pm Wall Street Time across Bloomberg Radio, and you can read Lord Bloomberg dot com on the Bloomberg terminal if you're in Washington, d C. Where Bloomberg and one oh five point seven FM HD two SMB futures up sixty one point, staff futures up, wounded sixteen Nastack futures are higher by two hundred thirty nine points.

Bloomberg Surveillance is next, with Tom Keene, Jonathan Farrell, and Lisa Abramowitz for Karen Moscow. I'm Nathan Hager. This is Bloomberg