Bloomberg Audio Studios, podcasts, radio news. Good morning, I'm Nathan Hager and I'm Karen Moscow. Here are the stories we're following today, Karen.
Markets are bracing for results from Nvidia. They come out after the closing bill this afternoon. Stocks are trading near all time highs ahead of those earnings. At Yard Denny of yr Denny Research says there is still plenty of money on the sidelines that will be put to work.
The market has demonstrated not only that it's a bullmarket, but it's it's a very superchargabull market. I think what's supercharging that is there's still a tremendous amount of liquidity in the financial system.
You know.
The increase in indust rates encouraged a lot of people to pile into money market mutual funds. So we have a record six trillion dollars in money market mutual funds and two and a half trillion of that is retail and is the FED lowers into streets that money. Some of that money will pour into the stock market.
Investor ed Yard Denny remains one of the biggest bulls on Wall Street well as.
For Nvidia, Nathan, the results could have a huge impact not only on that stock, but the overall market. The options market implies a move of nearly ten percent in either direction. The day after, we get an earnings preview from Bloomberg's Tom Busby.
Wall Street expecting Nvidia to report blowout results for its latest quarter on blockbuster sales of its AI chips and the big focus its outlook. Some are expecting revenue growth rising as much as seventy percent for the current quarter, and despite sufficient demand for its current chip lineup, investors will want to hear the latest on the delayed rollout of its upcoming Blackwell chips. Consensus calls for revenue of twenty eight point eighty six billion on adjusted earning some
sixty five cents a share. Tom Busby, Bloomberg Radio, All.
Right, Tom, thanks, and ahead of those results, shares of Nvidia are up half percent. After we get the results, joined Bloomberg Technology for a half hour in vidias special highlighted by an exclusive interview with CEO Jensen Wong. That's at six thirty pm Wall Street time on Bloomberg Radio and television.
Will we be keeping an eye on shares of a Bank of America, Karen, they're a little change to the downside in early trading, but Warren Buffett is continuing to unload his stake in the US's second biggest bank. Buffett's Berkshire Hathaway sold an additional nine hundred eighty two million dollars in Bank of America. The conglomerate has trimmed its steak by almost thirteen percent since mid July, generating five
point four billion dollars. Berkshire still remains the bank's biggest stockholder, with almost nine hundred four million shares worth thirty five point nine billion dollars.
Well, Nathan, there's job cuts at Apple. Bloomberg News has learned the iPhone maker took the rare step of cutting about one hundred positions in its digital services group. The layoffs included some engineering roles, and the biggest cuts were at the team responsible for the Apple Books app and Apple Bookstore. There were also layoffs and other services teams, including the one that runs Apple News Karen.
Job cuts maybe on the way at HSBC. Bloomberg News has learned Europe's biggest lender is considering plans that would remove layers of middle management. Sources say incoming CEO George Elle Hedriy's looking at moves similar to rival City Group and Standard Chartered. Bloomberg's Adam Haig has more from Sydney.
This is the first sign of what we're seeing from the new CEO and really wanting to make his mark early on in terms of the cost control. So what we know at this point is that it's likely to affect middle management roles, so that could include country head type roles in some of its global network. But there's still uncertainty as to how this plays out, and of course these plans are potentially subject to change of course as well.
Bloomberg's Adam Haig says the discussions are the latest sign the banks looking to rein in costs as rate cuts threaten the margins of global lenders like HSBC.
Well. Another news this morning, Nathan SpaceX is once again delaying the first ever private spacewalk, this time because of weather after Tuesday's initial launch was scrubbed for a helium lake. SpaceX says it's standing down from liftoff opportunities today and tomorrow because of an unfavorable forecast in the spacecraft's splash down area off the coast of Florida. SpaceX says teams will continue to monitor weather for better conditions if it
gets off the ground. Polaris Dawn is in for a fifteen to twenty minute spacewalk by two of the four private astronauts on board.
Back on Earth, Karen. The US Special Council investigating Donald Trump for election interference is pressing ahead. Bloomberg's Nancy Lyons has the latest.
Special Council Jack Smith is not giving up on his prosecution of Donald Trump, even though he faced a setback this summer before the Supreme Court. He's filed an updated indictment following the court's rolling that Trump was at least partially immune from prosecution related to his official access president.
The new indictment removes allegations related to Trump's communications with government officials at the Department of Justice during his presidency, but it keeps intact the same four charges against Trump, which include accusations of conspiring to overturn election results in Washington. Nancy Lyons Bloomberg Radio, all.
Right, Nancy, thank you. Now, let's get to the latest on geopolitics. White House National Security Advisor Jake Sullivan is meeting for a second day with Chinese Foreign Minister Wang Yi in the outskirts of Beijing. Bloomberg Staldesus is in Hong Kong and says the two leaders have a full played.
The US obviously feels very strongly about China's involvements in backing of Russian forces fighting the war in Ukraine. You've also have a lot of concerns over semiconductors and tariffs and other punitive measures that the US and its allies have taken on a lot of Chinese projects. Just this week we had Canada US ally implements some new tariffs on Chinese evs. That's certainly on the agenda. And then you also have a lot of concerns around military actions
within the South China Sea. That's something that likely the US is going to be bringing up here also any issues to robbing Taiwan, which of course China claims as its own territory even though it operates independently. So we're really just running the gamut.
In Bloemerrige dal and diesis or Port, Sullivan is hoping to make clear to the Foreign Minister that he is not speaking for the next administration and speaking.
Of whatever the next administration may be. Karen Vice President Kamala Harris and her running mate Tim Walls are getting back on the campaign trail today, kicking off a two day bus tour through the battleground state of Georgia. While there, Harris will give her first interview since becoming a candidate. She has agreed to appear on CNN tomorrow night. Republican running mate jd Vance was on the campaign trail in Michigan, and he criticized Harris's convention speech.
I think our tone is ridiculous. In our speech, they are extremely serious consequences to voting for Donald Trump.
I don't think that's persuasive to most Americans, and warning them about voting for the wrong person is just I think it's ridicul The Republicans JD Vance and Donald Trump have been pressuring Harris to do more unscripted events. Tomorrow Night's interview with Harris and Tim Walls will air on CNN at nine pm tomorrow. Wall Street Time, and it's.
Time now for a look at some of the other stories making news in New York and around the world. And for that we're joined by Bloomberg's Michael Barr.
Michael, Good Morning, Good morning, Karen. A horrifying story after a couple in their fifties was kidnapped and assaulted while house hunting in Danberry, Connecticut. Authorities say their Lamborghini was intentionally rear ended by a van. Six men said to be from Florida attacked the couple and forced them into the van. Witness alerted police and pursue the van until it crashed, leading to the couple's rescue. All six suspects
were caught. Sergeant Stephen Castravinci is with the Danberry Police.
We've did a lot of background work on them, but this time it doesn't seem.
They have any connections to the northeast. Are all Miami, Florida guys.
All six face multiple charges, including assault and kidnapping. Ukrainian President Vladimir Lenski will present a plan to force Russia to hold its invasion of his country to President Joe Biden just weeks before the US holds November elections. Selensky says that he wants to discuss the blueprint with Biden during his trip to the United Nations General Assembly meeting in New York in September. Zelenski also says he will present it to presidential candidates Kamala Harris and Donald Trump.
Personal injury attorney Tom Girardi, who gained notoriety when his wife Erica appeared on the Real Housewives of Beverly Hills, has been found guilty of embezzling fifteen million dollars from his clients. The prominent Los Angeles attorney was a key figure in helping secure a settlement that later became the storyline to the movie Erin Brockovich. US attorney Martine Strata is insatiable appetite for money.
Is it led him to court?
And what led to the verdict today? Kimberly Archie, who once worked as a legal consultant for Girardi's firm, spoke after the verdict.
I actually believe at one point that Tom Girardi was a decent human being, that he was a hero. You know what they say about meeting your heroes, right, I'm going to disappoint you.
Girardi sentencing is set for December sixth. We're learning. Police in Nassau County made their first arrest under a new local law matning face masks and the announcement yesterday. Officers responded to reports of a suspicious person on a street near the Levittown and Hicksfield town line. Sunday night. Authority say eighteen year old Westland Omar Ramirez Castile was wearing black clothing and a black ski mask that covered most of his face and displayed other suspicious behavior. Police said
that Ramirez Castile was carrying a fourteen inch knife. He was arrested without incident. Global News twenty four hours a day and whenever you want it with the Bloomberg News. Now. I'm Michael Barr, and this is Bloomberg Karen ray Bar.
Thank you.
Time now for the Bloomberg Sports Update with John stash Hour.
John, good morning, Good morning Caaren. The Mets road trip continuing that Arizona, another hot team like San Diego, who the Mets just split with. Mets took the opener eight to three. Pete Alonso two run homers, second and he Mets then put it away with six in the fifth, tenth win for Shawn and Iya took a shutout to the seventh and he struck out eleven. Atlanta one at Minnesota remained three games ahead of the Mets. The Yankee
lead Ali's trimmed to a game. Baltimore beat the Dodgers after The Yankees lost in Washington four to two, shutout until the eighth didn't fail to score against the NAT's Patrick Corbin, who came in three and twelve. Garrett Cole serves up a couple of solo home runs and the Yanks committed four errors.
Here's aaron, Judge, you can't do that if we expect to win ball games. You know, we had a chance to at the end a couple of chances last Suings had come back and maybe won it. And I stinkd that went out, but you know, couldn't come away with it. But I think we had a don't know if it was three or four hours on the on the night, but anytime something like that happens, let's till the win a ball game.
Judge came up eight. Dinny with the basisload of No. One out hit into a double play Red Soaps mae Toronto six to three. Kansas City won six to one at Cleveland. The surprising Royals have won ten in the last thirteen. They'd moved into a tie for first Al Central. The Guardians have been in first almost all season.
Primetime.
At the US Open, Carlos Alcoraz in what figured to be an easy one in Australia's Lee two. A qualifier had only played in one Grand Slam match ever, and yet he took the second set. Alcoraz did win in four. An outer court match between Daniel Evans and Karin catching Off, Evans won in five sets. All five took more than an hour. The match took a US Open record five hours and thirty five minutes. The Giants cut Isaiah Hodgkins.
He played a big role a couple of years ago, had over one hundred receiving yards in the playoff win at Minnesota. Another whiteout. Kadarius Tony cut by the Chiefs. Giants gave up on Tony the year after they drafted him the first round. He did have some big plays in Kansas City Super Bowl win. Johns Stashedward Bloomberg Sports Care.
Nathan, all right, John, thank you all for your listening to us in Boston. Our new home is starting September third, will be ninety two nine FM. That's the day right after Labor Day. Bloomberg Radio moving to ninety two nine FM in Boston, Coast to coast.
On Bloomberg Radio, nationwide on Sirius XM, and around the world on Bloomberg dot Com and the Bloomberg Business app.
This is Bloomberg Daybreak. Good morning, I'm Nathan Hager. The earnings that investors have been waiting for weeks are now hours away. In Vidia opens its second quarter books after today's closing bell with another high bar to clear to show the AI spending. Boom still has momentum, joining us ahead of Nvidia. This morning, Bloomberg TV and radio anchor Kritty Gupta Critty, good morning. It seems like investors have gotten used to blowout earnings quarter after quarter for Nvidia.
So how high is the bar this time and what will the reaction be if Nvidia doesn't meet it.
Well, it's a blessing and a curse to be a plus student. And I think that's the big issue here with Nvidia, because to your point, it has been a win after win, But this is I think the first time we're actually seeing more nerves than I've seen in the last couple of quarters around it. And let me just put this into some perspective here in terms of some of the numbers that they are expecting when it
comes to estimates for the second quarter. The revenue estimate right now is about just I have twenty nine billion dollars for the second quarter, so that's the number that they have to beat. With the third quarter of kind of forward guidance being at about thirty just ty have thirty two billions. Those are the numbers that Nvidia has
to beat from a revenue perspective. Anything short of that would signals some sort of slow down in the a underlying AI demand, not just from kind of the broad tech space, but a lot of it coming from the hyperscalers. So you're what they're calling kind of the big tech companies Amazon, Microsoft, Alphabet, the ones that have been trying to really invest in a really big way in AI while also getting their own in house operations up to
par when it comes to AI. So it's kind of been a little bit of a liquidity transfer basic the richest companies in the States and arguably in the world spending in a really big way to Nvidia, to the point that makes Nvidia's bottom line over fifty percent of it coming from just a handful of those MAGS seven names. So that's kind of I think the bar or I think what's at stake here when it comes to these earnings today.
So we do have a lot of companies doing a lot more in house development of these kinds of chips that in Nvidia up to this point has been the only game in town providing could we see more color from Nvidia on whether it's concerned at all about losing some market share.
So this was one of the concerns going into after the last quarter, which was this idea of diversification. Because so much of their money, or so much of their customer base comes from really just a handful of big names, the questionnaire is how do they make it a bigger thing?
For example, is AI something that just kind of the nerdiest of the nerdy can really use, or is this something that can see broader adoption in other sectors, in infrastructure, in renewables, in industrials, even in things like medical equipment. And that was the case that Jensen Wong was trying to make in the last quarter, was that this is just the beginning. This is just tech getting on board of AI. The applications go much farther when it comes
to the near term picture. To answer your question, Nathan, specifically, for today, a lot of investors are going to be looking for the update on the Blackwell chip and The way to think about some of the chips that Nvidia puts out when it comes to gaming or data centers is I would compare it to the likes of kind of getting a new iPhone from Apple, and that they have this design cycle, this innovation cycle where they're releasing a new version every year, every two years that is
cutting edge, etc. The problem is Blackwell, which is their latest product, is expected to have some delays. So one of the pieces of commentary that a lot of folks are going to be sensitive to what did the delays look like? Doesn't impact future product projects and does the signal kind of this capacity constraint or any sort of supply chain constraint when it comes to getting the AI delivered to some of their customers.
Just thirty seconds left, we're going to be getting some more commentary from Nvidia CEO Jensen Wong on a Bloomberg Technology special this evening. If you were at Ludlow this evening, what would you be asking Jensen Wong.
Well, knowing ed Ludlow, I bet his verse be on montization, what that pricing looks like, because that's going to be the game changer here. They've developed the technology they've marketed the technology. How much money can you make on the technology? I bet that would be a top of live bread.
This is Bloomberg day Break Today, your morning brief on the story's making news from Wall Street to Washington and beyond.
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I'm Karen Moscow. Join us again tomorrow morning for all the news you need to start your day, right here on Bloomberg Daybreak