Apple Rallies on Historic Buyback; Jobs Report On Tap

Bloomberg Audio Studios, Podcasts, Radio News. 0:00:11.000 --> 0:00:11.559 Good morning. 0:00:11.600 --> 0:00:14.400 I'm Nathan Hager and I'm Karen Moscow. Here are the 0:00:14.440 --> 0:00:15.920 stories we're following today. 0:00:16.040 --> 0:00:17.840 Karen, the lift in futures is getting a lot of 0:00:17.880 --> 0:00:21.599 help this morning from Apple. That stock is rallying six 0:00:21.680 --> 0:00:24.960 percent in early training. The company announced the biggest stock 0:00:25.079 --> 0:00:29.360 buyback in US history, and although Apple's revenue fell more 0:00:29.360 --> 0:00:31.960 than four percent in the quarter, it was better than 0:00:32.040 --> 0:00:35.800 analysts predicted. Mark German covers Apple for Bloomberg News. 0:00:36.280 --> 0:00:38.639 Big picture here is that Apple's doing a little bit 0:00:38.640 --> 0:00:39.400 better than feared. 0:00:39.720 --> 0:00:39.920 Right. 0:00:40.000 --> 0:00:43.280 You still see declines across all of their segments other 0:00:43.320 --> 0:00:45.800 than the mac and services, but a little bit better 0:00:45.840 --> 0:00:48.200 than what we had anticipated, or not what we had anticipated, 0:00:48.200 --> 0:00:52.199 but what had some anticipated in China, certainly a lot 0:00:52.200 --> 0:00:54.480 of optimism around artificial intelligence. 0:00:54.640 --> 0:00:57.320 In Bloomberg's Mark German says Apple predicted a return to 0:00:57.400 --> 0:01:00.920 revenue growth in the current period. As for that stock buyback, 0:01:01.200 --> 0:01:04.040 Apple's board approved an additional one hundred and ten billion 0:01:04.120 --> 0:01:07.640 dollars in share repurchases and also raised its quarterly dividend 0:01:07.680 --> 0:01:09.360 for the twelfth year in a row. 0:01:09.800 --> 0:01:10.280 Well, Nathan. 0:01:10.319 --> 0:01:13.440 In addition to earnings, the economy remains in focus, and 0:01:13.560 --> 0:01:15.800 later this morning we will get that jobs are poored 0:01:15.840 --> 0:01:18.840 for the month of April. Economists are forecasting a gain 0:01:18.880 --> 0:01:20.880 of two hundred and forty one thousand jobs and the 0:01:20.920 --> 0:01:23.440 unemployment rate to hold steady at three point eight percent. 0:01:23.800 --> 0:01:26.240 We get a preview from Bloomberg's Michael McKee. 0:01:26.360 --> 0:01:28.600 One reason the Fed feels that can stay on hold 0:01:28.680 --> 0:01:31.880 is that the labor market remains strong. The question today's 0:01:31.920 --> 0:01:34.640 data may help answer is whether it is too strong. 0:01:35.000 --> 0:01:38.200 Unemployment has remained below four percent for more than two years, 0:01:38.400 --> 0:01:41.119 job growth has averaged over two hundred thousand a month 0:01:41.160 --> 0:01:44.880 for more than three years. Forecasters see no change coming 0:01:44.959 --> 0:01:47.880 in the April figures, so the key question maybe what 0:01:48.000 --> 0:01:52.320 happens with wages. Data earlier this week showed compensation still 0:01:52.400 --> 0:01:56.520 rising at a pace that could trigger higher inflation. Michael McKee, 0:01:56.520 --> 0:01:57.640 Bloomberg Radio. 0:01:57.400 --> 0:01:59.360 All right, Mike, Thanks, and ahead of that job's report, 0:01:59.400 --> 0:02:02.680 bond traders have pulled forward expectations for the Fed's first 0:02:02.720 --> 0:02:05.960 full interest rate cut by a month to November. The 0:02:06.000 --> 0:02:08.960 recalibration comes with the best two day rally for short 0:02:09.040 --> 0:02:12.680 end treasury since January, following the Fed's latest policy meeting 0:02:12.720 --> 0:02:13.440 on Wednesday. 0:02:14.000 --> 0:02:16.480 Well, now, Nathan an update on a possible bidding war 0:02:16.560 --> 0:02:19.400 in the mining industry. Shares of Anglo American are up 0:02:19.400 --> 0:02:22.400 more than three percent, and this follows a Reuter's report 0:02:22.480 --> 0:02:26.239 that Glencore is studying an approach for the miner. Anglo 0:02:26.360 --> 0:02:28.800 last week rejected at thirty nine billion dollar all stock 0:02:28.840 --> 0:02:31.080 proposal from BHP Okay Keren. 0:02:31.080 --> 0:02:33.480 Now, let's get to the latest on the college protests 0:02:33.480 --> 0:02:36.520 across the country. Police have now arrested close to twenty 0:02:36.600 --> 0:02:39.480 two hundred people over the last few weeks. We get 0:02:39.480 --> 0:02:41.480 the latest from Bloomberg Zed Baxter. 0:02:41.919 --> 0:02:44.760 Arrests in every corner of the nation, and President Joe 0:02:44.760 --> 0:02:48.040 Biden directly addressing it, saying two principles at play. 0:02:48.280 --> 0:02:52.000 First is the right to free speech and for people 0:02:52.040 --> 0:02:55.720 to peacefully assemble and make their voices heard. The second 0:02:56.480 --> 0:02:57.480 is the rule of law. 0:02:58.480 --> 0:02:59.760 Both must be upheld. 0:03:00.160 --> 0:03:03.280 He says. The two have to balance, so protest, but 0:03:03.400 --> 0:03:07.520 not be violent or hateful at Baxter Bloomberg Radio all right. 0:03:07.560 --> 0:03:11.160 Ed, thanks, But Columbia University says thirteen the forty four 0:03:11.200 --> 0:03:15.160 people who occupied and barricaded themselves inside Hamilton Hall had 0:03:15.240 --> 0:03:18.720 no affiliation with the Institution. New York City Mayor Eric 0:03:18.800 --> 0:03:21.720 Adams says outsiders are counted for almost a third of 0:03:21.720 --> 0:03:24.040 the one hundred and twelve people arrested in a crackdown 0:03:24.040 --> 0:03:26.320 that occurred at Columbia on Tuesday evening. 0:03:26.520 --> 0:03:30.079 Than Karen with Some universities that are holding graduation ceremonies 0:03:30.120 --> 0:03:33.480 this weekend are trying to keep a lid on potential disruptions. 0:03:33.520 --> 0:03:36.600 The University of Michigan says staff and security officers are 0:03:36.600 --> 0:03:39.960 ready to respond to any incidents. The university says interfering 0:03:40.000 --> 0:03:43.480 with commencement will not be considered a free speech Indiana 0:03:43.600 --> 0:03:49.119 University is designating protest zones outside graduation venues, and Northeastern 0:03:49.240 --> 0:03:53.400 Universities holding its commencement at Fenway Park well Nathan. 0:03:53.440 --> 0:03:55.880 A second week of testimony wraps up today and former 0:03:55.920 --> 0:04:00.360 President Trump's Manhattan hush money trial. The prosecution's star war witness, 0:04:00.400 --> 0:04:03.800 Michael Cohen, still hasn't taken this stand, but the jury 0:04:03.920 --> 0:04:07.800 did hear a secret tape of Trump's former lawyer discussing 0:04:07.800 --> 0:04:11.120 a payment with the former president. It didn't go into details, 0:04:11.160 --> 0:04:13.520 but it was recorded around the time one hundred and 0:04:13.520 --> 0:04:16.800 fifty thousand dollars was paid to former Playboy playmate Karen 0:04:16.880 --> 0:04:17.880 McDougal and Karen. 0:04:17.960 --> 0:04:20.680 Jurors also heard from Keith Davidson. He's the lawyer who 0:04:20.680 --> 0:04:23.960 represented Stormy Daniels when she received one hundred and thirty 0:04:24.000 --> 0:04:27.280 thousand dollars from Michael Cohen. Palm Beach County State Attorney 0:04:27.360 --> 0:04:31.960 Dave Arenberg says there was one bombshell moment in Davidson's testimony. 0:04:32.120 --> 0:04:36.000 There's this very powerful text message that came out in 0:04:36.080 --> 0:04:40.119 trial where Keith Davidson texted, what have we done after 0:04:40.240 --> 0:04:43.400 Trump wins the election, acknowledging that everything they did was 0:04:43.440 --> 0:04:46.359 to help his election, and now it came to fruition 0:04:46.480 --> 0:04:48.160 and now there's buyer's remorse. 0:04:48.320 --> 0:04:50.880 And Palm Beach County State Attorney Dave Arenberg says Trump's 0:04:50.880 --> 0:04:53.240 defense has worked to poke holes in the credibility of 0:04:53.320 --> 0:04:56.159 prosecution witnesses and show the former president was trying to 0:04:56.160 --> 0:04:59.920 protect his reputation and family, not his campaign, by keeping 0:05:00.080 --> 0:05:01.440 the women quiet well. 0:05:01.400 --> 0:05:03.960 Nathan Donald Trump may be spending most days in a 0:05:04.000 --> 0:05:07.200 courtroom in Manhattan, but he's also focusing on winning the 0:05:07.200 --> 0:05:10.440 White House this fall. In Bloomberg's Amy Morris has. 0:05:10.240 --> 0:05:13.440 More, Trump is sharpening his focus on a possible running 0:05:13.440 --> 0:05:16.320 mate by bringing top contenders for the job to an 0:05:16.360 --> 0:05:19.839 exclusive donor retreat in Palm Beach this weekend, along with 0:05:19.960 --> 0:05:23.359 hundreds of deep pocketed GOP backers. Sources tell Bloomberg the 0:05:23.400 --> 0:05:27.880 shortlist includes Ohio Senator jd Vance, North Dakota Governor Doug Burgham, 0:05:28.120 --> 0:05:31.640 Florida Senator Marco Rubio, and South Carolina Senator Tim Scott. 0:05:31.960 --> 0:05:35.559 Trump's campaign says nobody knows when or who Trump might choose, 0:05:35.600 --> 0:05:38.200 and Trump has said he'll make his decision closer to 0:05:38.240 --> 0:05:41.919 the Republican National Convention in July in Washington. Amy Morris, 0:05:41.920 --> 0:05:43.000 Bloomberg Radio. 0:05:42.880 --> 0:05:43.679 All right, Amy, thanks. 0:05:43.720 --> 0:05:46.040 As for President Biden, he's making a move to court 0:05:46.120 --> 0:05:50.040 Latino communities. The Biden administration is extending the Affordable Care 0:05:50.080 --> 0:05:53.080 Act to people covered under the Deferred Action for Childhood 0:05:53.160 --> 0:05:57.039 Arrivals program, known as DACA. That's the program that provides 0:05:57.080 --> 0:05:59.880 work permits and protection from deportation to people who came 0:05:59.880 --> 0:06:02.719 to the US as undocumented children. About one third of 0:06:02.760 --> 0:06:06.960 doctor recipients, known as dreamers, don't have health insurance. The 0:06:07.000 --> 0:06:10.160 administration now expects one hundred thousand people to sign up. 0:06:10.680 --> 0:06:14.240 Well Nathan, another whistleblower who raised safety concerns at Boeing 0:06:14.360 --> 0:06:17.200 has died. Forty five year old Josh Dean was a 0:06:17.240 --> 0:06:22.080 former quality auditor and Boeing supplier Spirit Aerosystems. The Seattle 0:06:22.120 --> 0:06:25.839 Time says Dean was hospitalized at developing breathing problems just 0:06:25.920 --> 0:06:28.719 over two weeks ago. Dean's death follows the passing of 0:06:28.760 --> 0:06:32.800 another Boeing whistleblower, John Barnett, who reportedly died from a 0:06:32.920 --> 0:06:38.920 self inflicted wound in March. Time. Now for a look 0:06:38.920 --> 0:06:40.720 at some of the other stories making news in New 0:06:40.800 --> 0:06:42.800 York and around the world, and for that we're joined 0:06:42.800 --> 0:06:44.120 by Bloomberg's Michael Barr. 0:06:44.240 --> 0:06:46.080 Michael, good morning, Good morning Karen. 0:06:46.160 --> 0:06:49.479 A tanger fire on the Connecticut Highway turn traffic into 0:06:49.520 --> 0:06:52.280 a parking lot for motorists like this truck driver. 0:06:52.640 --> 0:06:55.560 I'm coming from New Haven and you've got stuck out 0:06:55.600 --> 0:06:57.440 here for six hours so far. 0:06:58.000 --> 0:07:01.039 Fortunately no one was heard, but Governor Ned Lamont says 0:07:01.160 --> 0:07:04.000 parts of On ninety five linking New England and New 0:07:04.080 --> 0:07:08.640 York will be closed for days. More from Bloomberg's Charlie Pellett. 0:07:08.839 --> 0:07:12.119 The tanker truck was filled with gasoline. It burst into 0:07:12.120 --> 0:07:15.360 flames in a three vehicle crash on I ninety five 0:07:15.520 --> 0:07:19.920 in Norwalk, closing the East Coast's main north South highway 0:07:20.200 --> 0:07:24.160 and causing major traffic jams. The crash caused damage to 0:07:24.200 --> 0:07:26.760 the bridge above it, which the governor said will need 0:07:26.800 --> 0:07:30.400 to be demolished and replaced. It is reminiscent of last 0:07:30.480 --> 0:07:34.440 year's deadly accident in Philadelphia along I ninety five, when 0:07:34.440 --> 0:07:37.960 a tractor trailer carrying gasoline lost control and caught fire, 0:07:38.320 --> 0:07:41.920 destroying a section of the highway. In New York, Charlie 0:07:41.960 --> 0:07:43.480 Pellett Bloomberg. 0:07:43.040 --> 0:07:47.200 Radio, a home in South River, New Jersey exploded last night, 0:07:47.320 --> 0:07:51.240 leaving at least one person dead. The home was completely destroyed. 0:07:51.520 --> 0:07:54.760 The Middlesex County Prosecutors says the person killed a sixty 0:07:54.760 --> 0:07:57.560 two year old Kevin Gilbert, and the second man was 0:07:57.560 --> 0:08:00.840 taken to the hospital for treatment. Democrats that Governor Katie 0:08:00.840 --> 0:08:04.320 Hobbs has signed the repeal of Arizona's Civil War era 0:08:04.440 --> 0:08:07.880 near total ban abortion. Hobbs hailed it as a proud 0:08:07.960 --> 0:08:12.320 moment for Arizona compared to other states with strict abortion laws. 0:08:12.600 --> 0:08:16.520 Today, we are doing what twenty three governors and fifty. 0:08:16.120 --> 0:08:19.680 Five legislatures refused to do, and I am so proud 0:08:19.800 --> 0:08:21.680 to be the ones that got this job done. 0:08:21.800 --> 0:08:25.040 Arizona still has a law of banning abortions. After fifteen 0:08:25.080 --> 0:08:29.160 weeks on the books, Ukraine's President Vladimir Selensky appealed for 0:08:29.240 --> 0:08:32.120 a weapons package to be delivered by the UK as 0:08:32.160 --> 0:08:35.520 soon as possible. In a meeting with Foreign Secretary David Cameron, 0:08:35.880 --> 0:08:39.360 Zelensky updated Cameron on the war with Russia during a 0:08:39.400 --> 0:08:42.640 meeting in Kiev. President Joe Biden will award the nation's 0:08:42.679 --> 0:08:46.760 highest honor to several people today, the Presidential Medal of Freedom. 0:08:47.240 --> 0:08:51.160 Nineteen individuals will received the award, including Nancy Pelosi, the 0:08:51.200 --> 0:08:54.800 first woman to become House speaker. Global News twenty four 0:08:54.840 --> 0:08:57.760 hours a day and whenever you want it with Bloomberg 0:08:57.800 --> 0:09:01.679 News Now. I'm Michael Barr, and this is Bloomberg Karen Burray. 0:09:01.679 --> 0:09:08.840 Michael Burr, thank you time now for the Bloomberg Sports 0:09:08.920 --> 0:09:10.439 Update with John Stashaur. 0:09:10.559 --> 0:09:12.040 John, Good morning, Good morning, Karen. 0:09:12.080 --> 0:09:14.040 It was only a first round series, but there was 0:09:14.080 --> 0:09:17.200 so much drama between the Knicks and Sixers. It will 0:09:17.200 --> 0:09:20.280 be a memorable one and Knicks fans will remember big 0:09:20.360 --> 0:09:23.800 three pointers down the stretch of Game six in Philly. 0:09:24.080 --> 0:09:26.360 Ball, rebound Heart looks to push a head to te 0:09:26.400 --> 0:09:29.800 Vincenzo one to one with Maxie steps through, kicks it out, 0:09:29.960 --> 0:09:32.600 brunts it again, knocks it down two in a row 0:09:32.679 --> 0:09:35.720 for Jalen Brugs it shot Bocket eight, bucks it up top, 0:09:35.800 --> 0:09:37.840 Heart wide open, three pointer. 0:09:37.800 --> 0:09:39.400 Fires away, knocks it down. 0:09:39.840 --> 0:09:42.319 Joss Hart puts the Nicks up by three waf and 0:09:42.440 --> 0:09:45.960 that Heart three snapped a tie with twenty five seconds left. 0:09:46.040 --> 0:09:47.760 Nicks hit their free throws at the end. They beat 0:09:47.840 --> 0:09:51.280 the Sixers one eighteen one fifteen, won the series four two. 0:09:51.400 --> 0:09:54.320 Jalen Brunson forty one points. He's the first player since 0:09:54.400 --> 0:09:57.839 Michael Jordan thirty five years ago to have three straight 0:09:58.000 --> 0:10:00.679 forty plus point games to close out of series. 0:10:00.720 --> 0:10:01.199 He had help. 0:10:01.280 --> 0:10:04.280 All five Knick starters were in double figures. Dante DiVincenzo 0:10:04.320 --> 0:10:06.839 played the whole game, had his best game with twenty three. 0:10:06.920 --> 0:10:09.600 Joel Embi led the Sixers with thirty nine. After Tyrese 0:10:09.640 --> 0:10:12.760 Maxi's heroics in Game five, when he scored forty six, 0:10:12.800 --> 0:10:14.840 he was quiet for most of Game six. 0:10:14.920 --> 0:10:16.480 Knicks will not take on Indiana. 0:10:16.559 --> 0:10:19.160 The Facers won their game six at home by twenty 0:10:19.280 --> 0:10:21.640 two over Milwaukee, who didn't have Giannis out the Cumpo 0:10:21.720 --> 0:10:24.760 the entire series. Game one at the Garden Monday night, 0:10:24.840 --> 0:10:27.920 the NHL finally announced the Rangers Carolina series will start 0:10:28.200 --> 0:10:30.760 at MSG on Sunday. They haven't yet said the time. 0:10:30.840 --> 0:10:34.319 They'll be at game seven Tomorrow night in Boston. Toronto, 0:10:34.360 --> 0:10:36.920 who won Game five two to one, took Game six 0:10:36.960 --> 0:10:39.160 to two to one. The Bruins goal came with one 0:10:39.240 --> 0:10:41.920 second left, wild comeback win for the match. They won 0:10:42.000 --> 0:10:44.560 seven to six. In our Francisco, Lindor two run hit 0:10:44.679 --> 0:10:47.960 the tops of the tenth and eleventh innings. Both ended 0:10:48.240 --> 0:10:50.880 with Starling Marte throwing out a Cubs runner at the plate. 0:10:50.960 --> 0:10:54.000 Yankees lost in Baltimore seven to two, so the Orioles 0:10:54.040 --> 0:10:55.560 took three to four. They held the Yanks to six 0:10:55.640 --> 0:10:58.480 runs in the series. Nationals lost six to nothing to Texas. 0:10:58.559 --> 0:11:03.080 Giants beat the Red Sox. John Starshawer Bloomberg Sports, Karen Nathan. 0:11:05.240 --> 0:11:09.240 Coast to Coast on Bloomberg Radio, nationwide on Sirius XM, 0:11:09.440 --> 0:11:12.280 and around the world on Bloomberg dot Com and the 0:11:12.360 --> 0:11:16.720 Bloomberg Business app. This is Bloomberg Daybreak Good morning. 0:11:16.720 --> 0:11:20.800 I'm Nathan Hager as we wrap up big tech earnings 0:11:20.880 --> 0:11:23.920 with results from Apple. The iphonemaker did come out with 0:11:24.120 --> 0:11:26.800 better than expected sales and what was already expected to 0:11:26.880 --> 0:11:30.120 be a down quarter, and it's offering the biggest stock 0:11:30.240 --> 0:11:33.000 buy back in US history. That's certainly giving the shares 0:11:33.040 --> 0:11:35.199 a lift this morning for one of these results and 0:11:35.240 --> 0:11:38.400 where Apple goes from here. We're joined by Bloomberg Intelligence 0:11:38.440 --> 0:11:42.319 senior tech analyst Matthew Bloxham. Matt, good morning. So it 0:11:42.520 --> 0:11:45.679 was slight beats for the most part all around, but 0:11:45.800 --> 0:11:48.040 the bar was pretty low for Apple, right. 0:11:48.800 --> 0:11:51.360 Yeah, it was, And I think the story of the 0:11:51.480 --> 0:11:55.679 day and today likely too is China. Yeah, that's been 0:11:55.760 --> 0:11:58.560 in focus for them for quite a few weeks now, 0:11:58.679 --> 0:12:02.920 people seeing potentially quite weak shipment sales for them in 0:12:03.240 --> 0:12:06.760 the first quarter of the calendar year, losing share to Huawei. 0:12:07.559 --> 0:12:10.120 But actually what we saw from China was better than 0:12:10.160 --> 0:12:15.679 expected performance and I think optimistic commentary from Timkok on 0:12:15.720 --> 0:12:18.600 the call, which Alice was struggling to square away. I mean, 0:12:18.720 --> 0:12:21.400 essentially China, which is about eighteen percent of their revenue, 0:12:22.160 --> 0:12:25.959 fell about eight percent in the quarter. The analysts we're 0:12:25.960 --> 0:12:29.320 looking for about eleven percent decline, and Timo was saying 0:12:30.160 --> 0:12:33.560 on the call that actually the iPhone cells were up 0:12:33.679 --> 0:12:37.439 year on year and that actually in terms of preferences, 0:12:37.600 --> 0:12:40.520 it's still doing really well. He said that the iPhone 0:12:40.600 --> 0:12:43.880 fifteen and Promacs take the top two spots in terms 0:12:43.960 --> 0:12:48.559 of preferred smartphones in urban China, and he pointed to 0:12:48.880 --> 0:12:54.320 the increasing shift towards the middle class in the country, implying, 0:12:54.360 --> 0:12:56.240 I think that you know, they're confident that over the 0:12:56.320 --> 0:13:00.439 mid term, the still a strong opportunity for Apple in 0:13:00.520 --> 0:13:01.280 the China market. 0:13:01.679 --> 0:13:03.679 Do you buy the optimism that we're hearing from the 0:13:03.800 --> 0:13:07.160 CEO when it comes to growth in the middle class 0:13:07.480 --> 0:13:10.079 sector in China when we do continue to see so 0:13:10.200 --> 0:13:11.960 many headwinds for the Chinese economy. 0:13:12.840 --> 0:13:16.520 Yeah, I mean, I think it's an issue that's going 0:13:16.600 --> 0:13:20.839 to take some convincing, as you say, given the kind 0:13:20.880 --> 0:13:23.520 of the mixed noises on the economy, but also the 0:13:23.679 --> 0:13:28.160 tensions between China and the US, and the fact that 0:13:28.440 --> 0:13:32.880 the likes of Huawei local smartphone brand and other local 0:13:32.920 --> 0:13:35.320 brands have really been kind of stepping into that void 0:13:35.400 --> 0:13:39.120 and exploiting the opportunity. So I think is by no 0:13:39.320 --> 0:13:43.400 means going to be an easy pathway for Apple in 0:13:43.480 --> 0:13:45.960 that market. But you know, they need to keep innovating 0:13:46.080 --> 0:13:51.400 product and I think whilst Chinese consumers see the cachet 0:13:51.679 --> 0:13:55.040 of the Apple brand as something aspirational that should keep 0:13:55.080 --> 0:13:55.720 them in the mix. 0:13:56.080 --> 0:13:59.559 And obviously the one hundred and ten billion dollars stock 0:13:59.640 --> 0:14:02.959 by announcement is getting so much attention this morning. I 0:14:03.040 --> 0:14:05.360 wonder if you think that's the right move when Apple 0:14:05.559 --> 0:14:08.839 is still trying to get back to this promised growth 0:14:08.880 --> 0:14:12.240 projectory of trajectory of at least single digit growth this period. 0:14:13.240 --> 0:14:17.120 Yeah, I mean, you know, it's about four percent of 0:14:17.240 --> 0:14:19.360 their market caps, so you know, I think, given the 0:14:19.440 --> 0:14:23.040 reality is that Apple isn't an out and outgrowth stook anymore, 0:14:23.400 --> 0:14:26.120 you need to be kind of offering something and obviously 0:14:26.160 --> 0:14:28.600 by doing a buyback rather than obviously they have a dividend, 0:14:28.640 --> 0:14:30.800 but it's very small, it's about a half a percent. 0:14:31.280 --> 0:14:33.840 You'll maybe that you know that actually the buy back 0:14:33.960 --> 0:14:36.560 helps to give earnings growth a little bit of a 0:14:36.640 --> 0:14:39.440 momentum whilst they wait for the kind of the product 0:14:39.520 --> 0:14:42.640 refreshes to kind of help the top line. So yes, 0:14:42.760 --> 0:14:45.240 getting a lot of focusing. The reality is that Apple 0:14:45.360 --> 0:14:47.800 is a huge cash flow generating machine that's still got 0:14:47.840 --> 0:14:51.080 a net cash balance that you know isn't going to 0:14:51.120 --> 0:14:56.040 disappear anytime soon, and that gives some strategic options you know, 0:14:56.120 --> 0:14:58.360 for the future about you know, investing in things like 0:14:58.440 --> 0:15:02.920 AI for example, and possibly looking at bigger acquisitions for 0:15:03.040 --> 0:15:04.880 the down the line that kind of keep them relevant 0:15:05.200 --> 0:15:06.160 in the mid to long term. 0:15:06.560 --> 0:15:08.600 And to your point in our last minute here, Matt, 0:15:09.120 --> 0:15:11.600 there's going to be a lot more attention on the 0:15:12.160 --> 0:15:16.320 product announcement coming out next week and the focus on AI. 0:15:16.760 --> 0:15:19.720 How high is the bar for Tim Cook to really 0:15:19.840 --> 0:15:22.960 come through on this idea of a next big thing 0:15:23.160 --> 0:15:24.480 finally for Apple. 0:15:24.720 --> 0:15:26.320 Yeah, I mean I think it's pretty high that this 0:15:26.440 --> 0:15:28.320 is the stock that's still trading on twenty five times 0:15:28.400 --> 0:15:32.520 forward earnings. So maybe not so much the iPad announcement 0:15:32.600 --> 0:15:36.720 next week, but certainly the June updates on their AI 0:15:37.800 --> 0:15:39.760 roadmap is going to be really important because I think 0:15:39.800 --> 0:15:42.760 that will kind of connect all the way into all 0:15:42.800 --> 0:15:46.640 of their future product pleasesn't including the next iPhone refresh 0:15:46.720 --> 0:15:49.000 in September. So I think they really do need to 0:15:49.040 --> 0:15:51.760 give a convincing view that you know that the GENII 0:15:52.000 --> 0:15:55.960 offering from Apple across its products and services, is going 0:15:56.000 --> 0:15:59.360 to bring more people into the ecosystem, and it's going 0:15:59.400 --> 0:16:03.040 to prompt assisting customers to maybe upgrade Sona, perhaps shift 0:16:03.080 --> 0:16:05.360 to a more expensive device, and you get more momentum 0:16:05.400 --> 0:16:06.040 in the top line. 0:16:06.280 --> 0:16:09.320 This is Bloomberg Daybreak Today, your morning brief on the 0:16:09.400 --> 0:16:12.760 stories making news from Wall Street to Washington and beyond. 0:16:13.080 --> 0:16:15.800 Look for us on your podcast feed at six am 0:16:15.920 --> 0:16:19.520 Eastern each morning, on Apple, Spotify, and anywhere else you 0:16:19.640 --> 0:16:20.640 get your podcasts. 0:16:20.960 --> 0:16:23.600 You can also listen live each morning starting at five 0:16:23.680 --> 0:16:26.280 am Wall Street time on Bloomberg eleven three to zero 0:16:26.360 --> 0:16:29.120 in New York, Bloomberg ninety nine to one in Washington, 0:16:29.280 --> 0:16:33.160 Bloomberg one oh six one in Boston, and Bloomberg ninety sixty. 0:16:32.960 --> 0:16:33.880 In San Francisco. 0:16:34.280 --> 0:16:37.400 Our flagship New York station is also available on your 0:16:37.480 --> 0:16:42.880 Amazon Alexa devices. Just say Alexa play Bloomberg eleven thirty plus. 0:16:42.960 --> 0:16:46.360 Listen coast to coast on the Bloomberg Business app, SERRIUSXM, 0:16:46.520 --> 0:16:49.440 the iHeartRadio app, and on Bloomberg dot Com. 0:16:49.600 --> 0:16:51.680 I'm Nathan Hager and I'm Karen Moscow. 0:16:51.920 --> 0:16:54.600 Join us again tomorrow morning for all the news you 0:16:54.800 --> 0:16:57.960 need to start your day right here on Bloomberg Daybreak