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Good morning, I'm Nathan Hager and I'm Karen Moscow. Here are the stories we're following today.
Well, Karen, it was the earnings report investors we're bracing for an Nvidia delivered, pushing back on the idea that the AI industry is in a bubble. Nvidia shares are up five percent in early trading. Companies results topped analyst estimates, with revenue rising sixty two percent to fifty seven billion dollars, and more importantly, the chip giant delivered a strong revenue forecast, expecting sales of about sixty five billion in the January quarter.
Matt Bryson covers Nvidia for web Bush Securities.
I think they hit the buyside expectations exactly. So what we've been hearing beforehand, fifty seven billion on the top line and then guy for mid sixties is kind of what people wanted and they deliver.
That's o Wedbusch Securities analyst Matt Bryce. And it has been quite a run for in Vidia. Sales will be up more than tenfold from where they were in the same period just three years ago, and.
The future looks even rosier. Nathan and video CEO Jensen Wong says, the Blackwell ship sales are off.
The charts and video GPUs in the cloud are sold out. We got plenty of Blackwells to sell you. We have lots of Blackwells coming, We're making a lot of Blackwells, and we have a bunch of Vara Rubens coming and so business is very very strong. But we've planned our supply chain incredibly well.
And that was in video CEO Jensen Wong speaking of Bloomberg's at a Ludlow. For the full conversation, head over to the Bloomberg Podcast channel on YouTube.
Well Investors are finally going to get details Karen on the September jobs report that was delayed because of the longest government shut down in history. We get a preview from Bloomberg's Michael McKee.
The data are back and we're starting with a sort of but not really important set September payrolls. If the numbers had been released as scheduled on October third, they would have played a big role in the Fed's October rate decision. Instead, two months late, they're essentially out of date. They will get scrutiny, However, it may be the last full set of jobs numbers we get before the next FED meeting on December tenth. While today's release may not
carry the same weight, at least it's something. Michael McKee, Bloomberg Radio.
All right, Michael, thank you all. The Bureau of Labor Statistics will not publish on October employment report. Instead, it will incorporate those payrolls figures into the November jobs reports, set to be published after the Federal Reserve's final meeting of the year in December.
Well, the Federal Reserve has published its minutes from its latest policy meeting from October, Karen, and they show policymakers were divided. Many say it would likely be appropriate to keep interest right study for the rest of the year. Stuart Paul covers the FED for Bloomberg News.
So folks are basically looking out at the Bureau of Laborsitiytistics and saying, what would have been a bad jobs report is not going to be available for the FED to make its decisions. So there's going to be one fewer data prints encouraging a rate cut. Now we're seeing as early as October many committee members were ready to take that December cut off. The table.
Now, Stuart's Paul of Bloomberg News says the odds of that December rate cut stand at about thirty percent.
Now, Nathan, let's go to the latest on the Jeffrey Epstein files. President Trump has signed the bill to compel the Justice Department to release its documents on the late disgraced financier. House Minority Leader HAKEM. Jeffries is chalking it up as a victory.
It's a big victory for the survivors, a big victory transparency, and big victory for the American people.
House Minority Leader HOCKEYM. Jeffrey spoke on Capitol Hill. The signing comes after the President spent months trying to block the measure before making a dramatic about face last week. The new law requires the Justice Department to release all its files from the Epstein investigation, but it's launched a new probe and to his ties to prominent Democrats, Senate Majority Leader John Thune says that could complicate matters.
I trust the judgment of the Justice Department to ensure that whatever files they release protect the victims clearly, and I think there are other items, perhaps materials that were acquired through grand jury trials that perhaps they will have to make some decisions.
About Senate Majority leader John Thune. The law gives DOJ thirty days to release the files, including investigations, flight logs, travel records, immunity deals, internal communications, and records related to Epstein's death in prison.
And there's more fallout from the Epstein matter, Karen. Former Treasury Secretary Larry Summers is leaving his role as an instructor at Harvard while the university investigates his ties to Epstein. Former Harvard President will also go on leave from his role as director of the most of Our Ramani Center
for Business and Government at the Harvard Kennedy School. Summers is retreating from his public commitments, including his role as a paid contributor to Bloomberg Television, and he's leaving the board of the artificial intelligence company open Ai.
Well.
Tomorrow, Nathan, President Trump will meet with someone he's repeatedly slammed as a communist. The President will host New York City Mayor elect zorun Mam Donnie at the White House. Mam Donnie won the election this month on a progressive platform that includes freezing rents, universal childcare, city owned grocery stores and higher taxes on corporations and the wealthy. The mayor elects says that's the message he'll bring to the President.
I want to just speak plainly to the President about what it means to actually stand up for New Yorkers and the way in which New Yorkers are struggling to afford this city and frankly, cost of living is something that I heard time and time again from New Yorkers about why they voted for Donald Trump.
Mayor elect zonororun Mam Donnie appeared on the cable news network MS now. President Trump has threatened to pull federal funds for New York now that Mom Donnie has been elected. The city received almost ten billion dollars from Washington this fiscal year and his time and 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 or Michael good Morning, Good.
Morning, Karen. Senior US military officials, including Army Secretary Daniel Driscoll, are now in Kiev to try to restart peace talks. A US plan presented to Ukraine includes reducing its military Russia keeping all the land it has taken and the militarized zone. There are no plans for Russian officials to meet with Driscoll. Federal agents have now arrested more than two hundred and fifty people during an immigration crackdown in Charlotte,
North Carolina. The push for arrests also expanded to areas around Raleigh. Meanwhile, the Trump administration's plan crackdown in New Orleans could start as early as December first. Neil Ranu, the attorney with the Southern Poverty Law Center, noted that has caused fear among Hispanic families.
I think the deeper impacts here, too are the emotional, psychological, and just the distrust that children are going to develop of sort of participating productively in a community.
Attorney Neil Uranu says Jefferson Parish Public schools has one of the largest Hispanic student populations in the area. A thirty three year old Brooklyn woman was sentenced to up to nine years in prison and a crash that killed a mother and two of her young children. Euremi pleaded guilty demandslaughter for the March crash. Authority say Euremi was speeding when she ran a red light and hit the family in a crosswalk in Midwood. Uremi spoke in court before being sentenced.
I think about the victims every day, and data goes by andrad think.
About the company. Audio courtesy of ABC seven. The Justice Departs been told a federal judge that the final indictment against former FBI director James Comy was never shown to the full grand jury. One of the lead prosecutors attributed the situation to a paperwork hearer. The news came during a hearing Wednesday where Comy's lawyers asked to judge to throw out the charges that he lied to Congress on
the grounds that the government is being vindictive. Global News twenty four hours a day and whenever you want it with Bloomberg News Now. Hi, Michael Barrn, This is Bloomberg Karen.
Thanks Michael.
Time now for our Bloomberg Sports update, and for that we bring in John stash Houerd.
Thanks Karen Keple of hot NBA team. The Houston Rockets won in Cleveland. They've won five games in a row, and so have the Toronto Raptors. After a winning Philadelphia, Oklahoma City beat Sacramento, the thunder defended NBA Champs and off to a fifteen and one start. Top ranked teams met in college basketball, fourth ranked Arizona beat third ranked yukon seventy one sixty seven. The knee injury suffered to
Falcons quarterback Michael Pennix Junior is season ending. Joe Burrow I have the toast surgery after week two, but he may play Sunday for the Bengals. That to Bloomberg Sports Update.
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Good morning, I'm Nathan Hagar. Don't call it a bubble. That could be the takeaway message from Nvidia after its surprisingly strong revenue forecast. CEO Jensen Wong says his company is in a strong position to deliver with its most advanced AI chaps.
We've done a good job planning for a very very strong year, and we've done a good job planning for Arah Rubin. So sales are off to charts and video GPUs and the cloud is sold out. But we've got a bunch of Blackwells to sell.
That was in Vidia CEO Jensen Wong in an exclusive interview with Bloomberg Tech host ed Ludlow following the earnings this morning after we're joined by Bloomberg Radio and TV host Kritty Gupta. So these numbers are I popping once again, fifty seven billion dollars in revenue in the previous quarter, projection of sixty five billion in sales next quarter. How significant is this at a time when so many investors have been questioning all the spending around artificial intelligence.
Critty, Well, this is a massive deal because what's essentially happened with these Nvidia earnings is Nvidia has quite literally put their money where their mouth is. And that was the concern that you saw earlier in the week, where so much of the tech jitters, we're driving this global equity sell off. You saw it in the Asian session, you saw it in the European session, and certainly you saw in the US session where the likes of Nvidia
and Nvidia itself actually driving the index lower. This idea that everyone was investing in everybody else and maybe these big promises and this big guidance would ultimately not be delivered on. Jens Enawong really put a stop to that kind of commentary in terms of yesterday's earnings report. That being said, take a listen to what he's actually saying. Because the earnings of the demand backlog, I say, is a significant beat. So the revenue numbers are very strong.
But concern here though, is that because the demand backlog is so large, at what point is in Vidia going to be able to actually deliver on that, given that they already have delays on their Blackwell chip and their Reuben chip as well. But the idea of the fact that some of this demand is basically unsatiable though, that was a message that was really reinforced yesterday.
So where does this put the ball in terms of the ball being in someone's court? Is it on the suppliers for these Blackwell chips to keep the supply chain humming.
A little bit?
It is?
It's also on in video though, because you'll remember a couple of quarters ago, I was even a couple of years ago, Jensen Wong had really made this big push to say, well, our main clients right now are the Hyperscalers. There are the Microsofts, they are the Amazons, they're the Googles and Alphabets of the world that are investing so much of the extra cash. We're talking about trillions of dollars of cash that they have on their balance sheets
into this new technology. So you had about sixty percent at one point of their revenue of Nvidia's revenue coming from Microsoft, coming from Amazon, coming from alphabet who are just looking to build out those data centers and therefore build out these use these tips to do that. What Jensen Wong has wanted to do, though, is diversify that base, and that's where the sales to China are really really important.
The argument here is that well, sixty percent of your revenue or more than that, shouldn't just come from a handful of players. There's a lot of risk in that. What happens if Microsoft says, well, we're having a bad quarter, maybe we don't want those chips. It's a very unlikely scenario.
But there is that question of broadening out. And now the trade seems to be not just about the hyperscalers, but how do the smaller companies, the next level technologies, the healthcare manufacturers, the medical equipment makers, even some of the kind of equipment makers for say tractors, for example, among other things, using those chips, using that AI technology. At the end of the day, and that's what Jensen
Wong is ultimately trying to do. It's not just about getting more and more chips and getting more and more orders. It's getting about more chips from more people and getting demand from different parts of the market, broadening out the demand and therefore justifying the broadening out of the rally you're seeing in the stock.
Market in our last thirty seconds. It's got to get investors attention. When Jensen Wong says that his projections include zero revenue from China.
And this is a really interesting piece because we know that the White House has been urging Congress to say, loosen those restrictions. Congress really actually trying to tighten it, saying that we don't want to talk about talk about selling our really high technology to China, to the Middle East, to other places around the world. The White House trying
to seek those curbs. At the end of the day, Jensen Wong saying, look, that zero percent number on the Blackwell chips is actually a massive safety measure, and if you do get the green light, that can only add to the blockbuster numbers that already exist.
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