Israel Widens Gaza Offensive; Spotify Cuts Jobs; Bitcoin Hits $41,000
On today's podcast:
1) Israel’s military is expanding its operations across the Gaza Strip, with the expectation of a ground invasion of southern Gaza looming and warnings to many of the territory’s 2.2 million residents to evacuate again.
2) Spotify shares rise after the company said it will reduce headcount by about 17%. It's at least the third time this year the streaming service has cut jobs.
3) Bitcoin tops $41,000 as the largest digital asset extends a 2023 rebound on expectations of interest-rate cuts and the prospect of greater demand from the exchange-traded funds sector.
FULL TRANSCRIPT:
Good morning. I'm Nathan Hager and I'm Karen Moscow. Here are the stories we're following today. We bring you the latest developments out of the Middle East. A US Navy ship has responded to a flurry of drone and missile strikes against commercial ships in the Red Sea. At the same time, Israel's military is expanding its operations now across the Gaza Strip. We get the latest from Bloomberg News Israel Bureau chief Ethan Brauner in Tel Aviv. We're expecting a ground operation this week. I imagine in han yunis As, the main city in the south there, that they believe this is after all, where yaj Sinoar, the head of Hamas, where he's from, and they think that both he and Muhammad, they've the military chief of Hamas, are underground in tunnels there. So they have started asking people who have either or living there or who've moved there from the north to move yet again, causing a lot of displacement and concern and fear. And I think it is going to be a difficult week. Bloomberg's Ethan Broner says Israel has struck about two hundred targets, including weapons storage facilities and a school in northern Gaza, where it says Hamas was operating. Meanwhile, Nathan Defense Secretary Lloyd Austin is sending a warning to Israel about using too much for sun civilian populations in Gaza. We get that part of the story from Bloomberg's Ed Baxter. The caution comes as Israeli soldiers move with great force to the south. Secretary Austin is urging extreme caution. If you drive them into the arms of the enemy, you replace a technical victory with a strategic defeat. So I have repeatedly made clear to Israel's leaders that protecting Palestin and civilians in Gaza is both a moral responsibility and a strategic imperative. Austin has drawn criticism from Republican Senator Lindsey Graham, who calls him naive, saying strategic failure is letting Hamas stand. Ed Baxter Bloomberg Radio, Okay, and thank you. The administrations ramping up pressure on Congress over aid to Ukraine. White House Budget Director SHLANDA. Young says the US will run out of funds to assist Ukraine by the end of this year unless Congress acts Republican Senator James Lankford says he thinks the deal can get done by then with the funds tied to border security. We're going to do this all together. That's been the agreement that again from the White House originally and asked for all these things to be together. We have agreed to do all these things to be able together. We can get this done by the end of the year. Senator Lankford was on ABC's This Week, which you can hear every Sunday on Bloomberg Radio. The White House is seeking more than sixty one billion dollars in Ukraine eight as part of one hundred and five billion dollar emergency package that also includes funds for Israel, Pacific allies and border security. Well, we turned to Wall Street Now Nathan An optimism over FED rate cuts next year has several markets on the move. This morning we had the latest of the Bloomberg's John Tucker, John and Karen Traders are still digesting FED share Jerome Palell's comments on Friday. This is part of what he had to say. We are prepared to Titan policy further if it becomes appropriate to do so. Well. Powell also said monetary policies well into restrictive territory, and in the selective hearing of investors, that's the narrative. Wall Street latched onto the S and B five hundred continued It's March higher. Friday, treasure yields tumbled, and as we start the new trading week, gold earlier shot past a previous all time high, Bitcoin back above the forty one thousand level to the Hygha sins April of twenty twenty two. The everything rally will need some data to back it up. The latest reading on job openings or jolts. That's due tomorrow, and the jobs report is out on Friday. I'm John Tucker, Bloomberg Radio. All right, John, Thanks. You've also got deals to start the week, including one in the air. Alaska air Group has agreed to buy rival Hawaiian Airlines. More on that from Bloomberg's Doug Grisner. Alaska will pay roughly a billion dollars for shares in Hawaiian holdings and take on about nine hundred million dollars in Hawaiian debt. Hawaiian has been hurt by the slow return of tours in between Asia and Hawaii after the pandemic. The carrier has also struggled as Southwest Airlines ramped up in the Hawaii to US market. Alaska Air's proposal may be tested. The Biden administration stance on mergers has already thwarted one airline deal, Jet Blue Airways cash takeover of Spirit Airlines. That lawsuit is nearing a close in New York. I'm Doug Prisner, Bloomberg Radio. Okay, Doug, thanks, and shares of Alaska air Group are down more than nine percent in early trading, and we have a deal this morning. In the drug industry, Nathan Roach Holding has agreed to pay as much as three point one billion dollars for Karmath Therapeutics. The company is developing a new type of weight loss treatment that sparked a pharma industry gold rush. Karmot's drugs are still in early stages of development, but the deal could lead to a competitor to the likes of a Govi and Eli. Llloy's zepp Bound analysts estimate the weight loss market could reach one hundred billion dollars by the end of the decade. Shares of Roach You're up more than two percent overseas, and shares of Spotify are up more than two percent as well. In Earth Trading, Karen that company is cutting headcount by about seventeen percent. The job cuts will effect about fifteen hundred people. It is at least the third time this year Spotify has reduced headcount. Spotify is on pace to add more than one hundred million users this year, It's biggest year yet. The company also reported a rare profit last quarter. Now, Nathan, let's get an update from the COMP twenty eight climate summit in Dubai. Bill Gates was once the world's richest man, and now he's devoted a large chunk of his fortune to fighting climate change. We asked the Microsoft co founder if he thinks the world can meet the global warming targets from the twenty fifteen Paris Agreement. No, we won't hit hit the aspirational targets. Well, you can do the math on one point five and even two point zero. Isn't that likely? And still Bill Gay says he's still optimistic the world can avoid becoming three degrees celsius warmer than the pre industrial era. And you can hear more of our conversation with Bill Gates coming up shortly on the program Time Now for a look at some of the other stories making news around the world. For that, we're joined by Bloomberg's Amy Moore is seeing good morning, Good morning, Kiera. The US Supreme Court will your arguments today in the bankruptcy deal for oxyconton maker Purdue Pharma. ABC News spoke to attorney at Niger, an attorney for some of the plaintiffs who helped negotiate that settlement. In a way, this case is about deterrens. It's about holding corporate leaders and owners accountable for their business decisions. The six billion dollar deal gives Purdue Pharma's owners the Sackler Family immunity, protecting them from lawsuits. A leading national health expert says the US should experience a more typical flu and virus season this winter. We're probably looking at a more typical winter pathogen season what we've seen in past years. Speaking on CBS's Face the Nation, former FDA Commissioners doctor Scott Gottlieb says the level of RSV and flu cases is abating, but he is still encouraging everyone to get vaccinated. The Centers for Disease Control and Prevention says about a third of Americans or not getting enough sleep nurse Susan Harris, a sleep expert, says sleep controls everything in our lives, and without it, we struggle. It's essentially another pandemic that we are experiencing. She says sleep is the most underestimated and underutilized health aight in modern society. US Air Forces divers have discovered wreckage and remains of crew members from a US Air Force Osprey aircraft that crashed last week off southwestern Japan. Sources say five bodies in the bulk of the wreckage were located underwater. The Osprey plunged into the sea off the island of Yakashima on Wednesday. Eight people were on board. The latest class of Kennedy Center Honorees were inducted last night, including comedian Billy Crystal, soprano Renee Fleming, singer, songwriter, producer and member of the Begs Berry Gibb rapper, singer and actress Queen Latifah, and singer Dion Warwick. President Biden says the performing arts reflect who we are as Americans and as human beings. That's especially true for more than two hundred Kennedy Center honorees over the past forty six years have helped shape how we see ourselves, how we see each other, and how we see our world. The gala event took place last night, hosted by previous honor Ey Gloria Stefan. The show will air on Wednesday, December twenty seventh on CBS Global News twenty four hours a day and whenever you want it with Bloomberg News Now. I'm Amy Morris and this is Bloomberg Karen. All right, Amy, thank you what we do bring you news throughout the day. As Amy said right here on Bloomberg Radio, but also, as she said, you can get the latest news on demand whenever you want it. So the question is how do you do it? While you subscribe to Bloomberg News Now, and then you can get the latest headlines right at the click of a button. Get informed on your schedule. You can listen and subscribe to Bloomberg News Now on the Bloomberg Business app, Bloomberg dot com, plus Apple, Spotify, and pretty much anywhere else you get your podcasts. So it's time now for the Bloomberg Sports Update. For that, we bring in John stash out gun Karen. Before the NFL kicked off controversy in college football the last year that the playoff is only four teams. Next year it's going to twelve, so the last time this is likely to happen, a team goes undefeated in a Power five conference and doesn't get invited. It happened to Florida State, who went thirteen to zero in the ACC also beat two SEC teams LSU and Florida. A week ago, the Seminoles were ranked in the top four. Alabama was only eighth, but the Crimson Tide had the upset of Georgia in the SEC championship game, and Bama is off to the Rose Bowl to play Michigan on New Year's Day. That's the first semi final. Washington will play Texas and the Sugar Bowl in the other two teams who've never been in the playoff before. It came down to Bama and Florida State, and the committee went with the Crimson Tide and the Seminoles will settle for the Orange Ball, which is not a playoff bowl. The big NFL game was in Philadelphia, a rematch of last year's NFC Championship. This time the forty nine ers wanted easily forty two to nineteen. They scored two touchdowns at each of the last three quarters. Deebo Samuel into the end zone three times. Brock forty through fourteen he passes. The Niners are nine and three, the Eagles are ten and two. The Patriots are two and ten. Shut out at home for the second time this year. They went to Bailey Zappi as their quarterback. That didn't work. Pat's loss of the Chargers six to nothing. Fourth strad loss for the Commander is beaten at home by Miami forty five to fifteen. The Bruin beat Columbus three to one. Scottie Scheffler won the World Hero Golf in the Bahamas at twenty under park John Stashaewa. Bloomberg Sports from coast to coast, from New York to San Francisco, Boston to Washington, DC, nationwide on Syrias exam the Bloomberg Business app in Bloomberg dot Com. This is Bloomberg Daybreak. Good morning. I'm Nathan Hager. Let's get to the latest from the Middle East. Now, where Israel is mourning residents of southern Gaza to evacuate. A new ground invasion of that part of the Palestinian held enclave is expected and soon at the same time, the US Navy is responding to drone and missile attacks against commercial ships operating in the Red Sea. For the very latest, we are joined now by Bloomberg's Oliver Crook, who has been following this war since the October seventh Hamas attack in southern Israel. Ali, good morning. What is the latest that we're hearing from the Gaza strip and beyond. That's right, Nathan, so we have you know, after this truce expired on Friday, you had seven day pause in the fighting. It has really taken a hold once again, and not in any sort of less significant phase. And now we have a new phase, as it's being described by the Israelis, which is really a focus on the southern part of Gaza. We remember that the first part of the operation was that ground defensive after pummeling of the northern part of Gaza. That appears to now be expanding to the south and that is seemingly going to focus around the city of Communists, where the Israelis say that the Hamas leadership has entrenched themselves. They're inside the tunnels, is what they're saying. They're asking people to evacuate to go to. Now what they've set up our safe zones, no target zones, they say, and again they have said that they are doing this with a caution to civilian life and that they have learned some lessons from the North on effectiveness and this sort of thing. But we also need to think about how densely populated now. Of course, the south of Gaza is after all of the evacuations in the north, and that was the whole effort for the last eight weeks, was getting people out of the north into the south, and now the operation will move down that way. And now the question is with this idea that Israel has set up some kind of safe zones and the word we got yesterday from a White House National Security spokesman John Kirby that the Israel has even posted maps online where people can go. Are those locations as safe as Israel is indicating? I mean, that's the big question right now. This is yeah, this is a permanent question throughout this What I think has changed now when we enter into this new phase of the war and yet another phase is the international scrutiny is even more intense. Perhaps it is not as headline grabbing the war as it was in the very beginning, but there's certainly a lot of pressure on Israel now, and particularly from its historic allies. We've heard comments over the weekend from Emmanuel Macon, who has taken a sort of slightly more measured approach on the Israel issue, saying that basically aiming the aim of eliminating Hamas will require a decade of war, and so that Israel's objectives need to be clarified. But we heard it from Kamala Harris. We're saying that too many Palestinians have died Blinken in his third trip to Israel. You know, the tone has shifted and shifted and shifted, saying that really, again, there needs to be fewer people dying as this operation goes on. So you are seeing a shift in that. So perhaps that pressure will have to make that a top priority for the Israelis now. I guess, I would imagine it would be a little too soon to say whether that shift in rhetoric is actually leading to a shift in tactics when it comes to how Israel carries out this war in the days and weeks to come, and tries more, I guess, plainly to show the international community that it is doing what it can to limit civilian casualties. Yeah, yeah, I mean I think you certainly will get that. You got it from just now from the IDEFA spokesman's coming out and again emphasizing the civilian side of it. But again we heard from the chief of staff from the Israeli Defense Forces over the weekend and we were asked. They were being asked basically, what does this thing in the south look like? What does this operation look like? And they would say it will be as thorough in the south at as it has been in the north. And again everyone is going to be paying attention to the casualty numbers, the figure of dead. We understand that that figure is now at fifteen thousand, five hundred people that have been killed in Gaza since the beginning of this war. Eighty percent of the two point two million people have been displaced. I mean, these are just huge figures. The Israeli say that five thousand are Hamas fighters that are now dead. And again, now the operation is going through the tunnels and dealing with all of these things. But again we are on day fifty nine of this day sixty is coming up tomorrow, and there's not really an end in sight, and in the meantime, we mentioned that the US has been responding to attempted attacks and in some cases I guess successful attacks as well. On commercial shipping in the Red Sea, I mean, there are two potential questions there. What is the risk that this escalates into a wider war and what's the risk to shipping to supply lines globally. It's something that really the market is also very intensely, you know, focused on with all of these sort of spillover effects. And as we know, the United States has been intercepting missiles over the Red Sea over the last few weeks, coming from Yemen all the way up the Red Seas is a huge distance across, and is it a top priority to mitigate all that the Saudis that are on the border with Yemen, you know, some we understand that they've been firing into their airspace and all of these are sort of the potential conflict points. However, again we see all of the same risks we've seen for the last few weeks and months, which is Hezbollah in the north of Israel. Again, there's still some attacks there, but nothing that really stands out as a dramatic escalation. But these are all the things that the market certainly will be playing close attention to. In the United States has its significant naval fleet out there to deter exactly this kind of behavior. Absolutely, And as you mentioned, this week will mark two months since the October verse seventh attack. This Thursday will be that two month mark. Raises the question about how much longer this conflict can go on and whether Israel needs to spell out more clearly what its objectives are, what dismantling and destroying Hamas will mean. This is exactly the point, what does that mean. We know that the aim is to dismantle Hamas. The question is again with an insidiousness of an ideology which is not just composed of a very sort of neat selection of human beings that once they're gone, it's gone. This is the problem and this is the problem that the Israelis have and this is where again the support of the international community will be tested as this war continues to rumble on. And the other issue you have is obviously you have the situation in Gaza, but when you look at the West Bank, they after the cease fire, where you had the hostages released and you have a many Palestinian prisoners released. You saw a lot of Hamas flags running in the West Bank because they're seeing this. Hamas to a degree is standing up for the Palestinian cause. It is bringing results, it is bringing people back home. And again this only complicates this matter, which again it's very hard to be very optimistic about this, but there needs to be some kind of political or diplomatic breakthrough for there to be a durable solution to this conflict that has plagued the reason for many, many, many decades. All right, Bloomberg's Oliver Crook joining us this morning, who's been part of our team covering this conflict between Israel and Hamas since the October seventh attack. And Oliver with us this morning. Thanks again for being with us. And now we want to bring you our conversation with Bill Gates, the co founder of Microsoft, who is one of the many dignitaries at the COP twenty eight climate summit in Dubai. Gates says the world probably will not meet the goal from the twenty fifteen Paris Agreement of limiting the rising global temperatures to one and a half degrees celsius, but that doesn't mean he isn't optimistic about the fight against climate change. Bill Gates praised the COP Summit for making progress on tackling global warming despite geopolitical tensions. Gates spoke with Bloomberg's Farancy Laquai from Dubai discussing COP twenty eight, the warming Planet, and how he measures success against climate change. Let's go to part of that discussion. Climate change. Overall, it's a challenge to the world. Hydrocarbons have been very cheap. Our economy is built around in coal, gas oil, and so we have to make this change. The progression of inventing new approaches, green approaches, and then implementing them and over time scaling them and getting them so cheap what I call zero green premium. You first have to have risk capital. Then you have to have bigger amounts capital, eventually, as they say, trillions of dollars to get every country to replace it's steel plants at cement plants and so depending on the emissions area. Some of these things like steel and cement were at the very early stage. Some like electric cars, at least at the high end the green premium you could says zero, not for for low cost cars where you park on the street. But you so all these things and the faster we go, the less temperature increase. We'll see. But do you think we're going fast enough to actually hit the targets that were set out in the Paris Agreement? No, we won't hit hit no to aspirational targets. Well, you can do the math on one point five and even two point zero. Isn't that likely? Now? Fortunately, if you stay below three, a lot of the ill effects that people have heard about don't happen unless you really are irresponsible and let it get up to the higher range. Where do you see the role of fossil fuels going forward, Well, we have to outcompete fossil fuels. Now. To do that properly, they you know, they shouldn't get subsidies, and in fact a carbon tax over time should be put on so that the new you know, say the electric car or the plane that use hydrogen, the fact it doesn't emit carbon, you're helping it get adoption. Those companies have skills, you know, if you want to sequester carbon or you know nuclear wayt or there's a lot of skills if you want to make biofuels. You know, some of those companies will take the capital and skills they have you know, so I wouldn't you know, say okay, I wish they weren't there. You know, people still, you know, there's no country that can say, okay, we have zero emissions. Uh. You know, people want to drive to work. You know. In fact, the excess supply when Russia cut off its supply in the world was sort of glad that was available. And so yes, oil and gas needs to be out competed, and those companies need to join the effort. I know you look at a lot of technologies and a lot of innovation, but is there one thing that you've been most excited about. If we can get either nuclear fission or fusion to be safe and broadly accepted and very economic because it's not whether dependent, it would be very complementary to the large amount of solar and wind that we're putting into our electric system. And so I'm biased. I'm a huge investor in both fission and fusion and hoping that it comes in time. This is Bloomberg Daybreak Today. Hey, your morning brief on the stories making news from Wall Street to Washington and beyond. Look for us on your podcast feed at six am Eastern each morning on Apple, Spotify, and anywhere else you get your podcasts. You can also listen live each morning starting at five am Wall Street Time on Bloomberg eleven three to zero in New York, Bloomberg ninety nine to one in Washington, Bloomberg one oh six to one in Boston, and Bloomberg ninety sixty in San Francisco. Our flagship New York station is also available on your Amazon Alexa devices. Just say Alexa Play Bloomberg eleven thirty plus. Listen coast to coast on the Bloomberg Business app, seriusxmb iHeartRadio app, and on Bloomberg dot Com. I'm Nathan Hager and I'm Karen Moscow. Join us again tomorrow morning for all the news you need to start your day right here on Bloomberg Daybreak
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Good morning. 0:00:03.080 --> 0:00:05.920 I'm Nathan Hager and I'm Karen Moscow. Here are the 0:00:05.960 --> 0:00:07.440 stories we're following today. 0:00:07.920 --> 0:00:10.200 We bring you the latest developments out of the Middle East. 0:00:10.200 --> 0:00:12.720 A US Navy ship has responded to a flurry of 0:00:12.840 --> 0:00:16.120 drone and missile strikes against commercial ships in the Red Sea. 0:00:16.600 --> 0:00:20.280 At the same time, Israel's military is expanding its operations 0:00:20.320 --> 0:00:21.640 now across. 0:00:21.200 --> 0:00:22.200 The Gaza Strip. 0:00:22.239 --> 0:00:24.880 We get the latest from Bloomberg News Israel Bureau chief 0:00:24.960 --> 0:00:26.320 Ethan Brauner in Tel Aviv. 0:00:26.760 --> 0:00:30.840 We're expecting a ground operation this week. I imagine in 0:00:31.200 --> 0:00:33.680 han yunis As, the main city in the south there, 0:00:33.800 --> 0:00:38.080 that they believe this is after all, where yaj Sinoar, 0:00:38.159 --> 0:00:41.519 the head of Hamas, where he's from, and they think 0:00:41.600 --> 0:00:45.199 that both he and Muhammad, they've the military chief of Hamas, 0:00:45.240 --> 0:00:50.800 are underground in tunnels there. So they have started asking 0:00:51.200 --> 0:00:54.520 people who have either or living there or who've moved 0:00:54.520 --> 0:00:57.720 there from the north to move yet again, causing a 0:00:57.720 --> 0:01:01.280 lot of displacement and concern and fear. And I think 0:01:01.320 --> 0:01:03.640 it is going to be a difficult week. 0:01:03.760 --> 0:01:07.360 Bloomberg's Ethan Broner says Israel has struck about two hundred targets, 0:01:07.440 --> 0:01:11.000 including weapons storage facilities and a school in northern Gaza, 0:01:11.040 --> 0:01:12.880 where it says Hamas was operating. 0:01:13.319 --> 0:01:16.640 Meanwhile, Nathan Defense Secretary Lloyd Austin is sending a warning 0:01:16.680 --> 0:01:20.440 to Israel about using too much for sun civilian populations 0:01:20.480 --> 0:01:22.760 in Gaza. We get that part of the story from 0:01:22.800 --> 0:01:24.040 Bloomberg's Ed Baxter. 0:01:24.520 --> 0:01:27.680 The caution comes as Israeli soldiers move with great force 0:01:27.720 --> 0:01:31.480 to the south. Secretary Austin is urging extreme caution. 0:01:31.840 --> 0:01:33.960 If you drive them into the arms of the enemy, 0:01:34.000 --> 0:01:37.280 you replace a technical victory with a strategic defeat. So 0:01:37.360 --> 0:01:41.399 I have repeatedly made clear to Israel's leaders that protecting 0:01:41.520 --> 0:01:45.600 Palestin and civilians in Gaza is both a moral responsibility 0:01:46.200 --> 0:01:48.080 and a strategic imperative. 0:01:48.280 --> 0:01:51.720 Austin has drawn criticism from Republican Senator Lindsey Graham, who 0:01:51.720 --> 0:01:56.280 calls him naive, saying strategic failure is letting Hamas stand. 0:01:57.120 --> 0:01:58.760 Ed Baxter Bloomberg Radio. 0:01:58.640 --> 0:02:02.040 Okay, and thank you. The administrations ramping up pressure on 0:02:02.120 --> 0:02:05.720 Congress over aid to Ukraine. White House Budget Director SHLANDA. 0:02:05.760 --> 0:02:07.760 Young says the US will run out of funds to 0:02:07.840 --> 0:02:11.160 assist Ukraine by the end of this year unless Congress 0:02:11.200 --> 0:02:14.560 acts Republican Senator James Lankford says he thinks the deal 0:02:14.600 --> 0:02:16.880 can get done by then with the funds tied to 0:02:16.919 --> 0:02:17.800 border security. 0:02:17.919 --> 0:02:19.160 We're going to do this all together. 0:02:19.200 --> 0:02:21.639 That's been the agreement that again from the White House 0:02:21.639 --> 0:02:23.600 originally and asked for all these things to be together. 0:02:23.720 --> 0:02:25.359 We have agreed to do all these things to. 0:02:25.280 --> 0:02:25.880 Be able together. 0:02:26.000 --> 0:02:27.720 We can get this done by the end. 0:02:27.639 --> 0:02:28.040 Of the year. 0:02:28.240 --> 0:02:30.640 Senator Lankford was on ABC's This Week, which you can 0:02:30.680 --> 0:02:33.120 hear every Sunday on Bloomberg Radio. The White House is 0:02:33.120 --> 0:02:35.960 seeking more than sixty one billion dollars in Ukraine eight 0:02:35.960 --> 0:02:38.560 as part of one hundred and five billion dollar emergency 0:02:38.560 --> 0:02:41.960 package that also includes funds for Israel, Pacific allies and 0:02:42.080 --> 0:02:42.960 border security. 0:02:43.360 --> 0:02:46.119 Well, we turned to Wall Street Now Nathan An optimism 0:02:46.160 --> 0:02:49.240 over FED rate cuts next year has several markets on 0:02:49.280 --> 0:02:51.239 the move. This morning we had the latest of the 0:02:51.240 --> 0:02:53.200 Bloomberg's John Tucker, John. 0:02:53.200 --> 0:02:56.600 And Karen Traders are still digesting FED share Jerome Palell's 0:02:56.600 --> 0:02:59.280 comments on Friday. This is part of what he had 0:02:59.320 --> 0:02:59.680 to say. 0:03:00.120 --> 0:03:02.320 We are prepared to Titan policy further if it becomes 0:03:02.360 --> 0:03:03.240 appropriate to do so. 0:03:03.520 --> 0:03:03.680 Well. 0:03:03.720 --> 0:03:08.200 Powell also said monetary policies well into restrictive territory, and 0:03:08.320 --> 0:03:11.480 in the selective hearing of investors, that's the narrative. Wall 0:03:11.480 --> 0:03:14.560 Street latched onto the S and B five hundred continued 0:03:14.600 --> 0:03:18.000 It's March higher. Friday, treasure yields tumbled, and as we 0:03:18.040 --> 0:03:21.120 start the new trading week, gold earlier shot past a 0:03:21.240 --> 0:03:25.480 previous all time high, Bitcoin back above the forty one 0:03:25.480 --> 0:03:28.960 thousand level to the Hygha sins April of twenty twenty two. 0:03:29.600 --> 0:03:32.440 The everything rally will need some data to back it up. 0:03:32.560 --> 0:03:36.080 The latest reading on job openings or jolts. That's due tomorrow, 0:03:36.320 --> 0:03:39.480 and the jobs report is out on Friday. I'm John Tucker, 0:03:39.480 --> 0:03:40.360 Bloomberg Radio. 0:03:40.520 --> 0:03:42.840 All right, John, Thanks. You've also got deals to start 0:03:42.840 --> 0:03:46.120 the week, including one in the air. Alaska air Group 0:03:46.120 --> 0:03:48.840 has agreed to buy rival Hawaiian Airlines. More on that 0:03:48.840 --> 0:03:50.200 from Bloomberg's Doug Grisner. 0:03:50.400 --> 0:03:53.040 Alaska will pay roughly a billion dollars for shares in 0:03:53.080 --> 0:03:56.200 Hawaiian holdings and take on about nine hundred million dollars 0:03:56.280 --> 0:03:59.080 in Hawaiian debt. Hawaiian has been hurt by the slow 0:03:59.120 --> 0:04:02.640 return of tours in between Asia and Hawaii after the pandemic. 0:04:02.960 --> 0:04:06.400 The carrier has also struggled as Southwest Airlines ramped up 0:04:06.440 --> 0:04:09.800 in the Hawaii to US market. Alaska Air's proposal may 0:04:09.840 --> 0:04:13.600 be tested. The Biden administration stance on mergers has already 0:04:13.720 --> 0:04:17.640 thwarted one airline deal, Jet Blue Airways cash takeover of 0:04:17.720 --> 0:04:21.840 Spirit Airlines. That lawsuit is nearing a close in New York. 0:04:21.839 --> 0:04:23.280 I'm Doug Prisner, Bloomberg Radio. 0:04:23.360 --> 0:04:25.600 Okay, Doug, thanks, and shares of Alaska air Group are 0:04:25.600 --> 0:04:28.120 down more than nine percent in early trading, and. 0:04:28.080 --> 0:04:30.120 We have a deal this morning. In the drug industry, 0:04:30.240 --> 0:04:32.479 Nathan Roach Holding has agreed to pay as much as 0:04:32.520 --> 0:04:36.240 three point one billion dollars for Karmath Therapeutics. The company 0:04:36.279 --> 0:04:39.000 is developing a new type of weight loss treatment that 0:04:39.120 --> 0:04:42.360 sparked a pharma industry gold rush. Karmot's drugs are still 0:04:42.400 --> 0:04:45.000 in early stages of development, but the deal could lead 0:04:45.040 --> 0:04:46.320 to a competitor. 0:04:45.760 --> 0:04:48.520 To the likes of a Govi and Eli. Llloy's zepp Bound. 0:04:48.560 --> 0:04:51.440 Analysts estimate the weight loss market could reach one hundred 0:04:51.440 --> 0:04:53.960 billion dollars by the end of the decade. Shares of 0:04:54.040 --> 0:04:57.080 Roach You're up more than two percent overseas. 0:04:56.640 --> 0:04:59.040 And shares of Spotify are up more than two percent 0:04:59.120 --> 0:05:02.240 as well. In Earth Trading, Karen that company is cutting 0:05:02.279 --> 0:05:05.760 headcount by about seventeen percent. The job cuts will effect 0:05:05.760 --> 0:05:08.000 about fifteen hundred people. It is at least the third 0:05:08.000 --> 0:05:12.240 time this year Spotify has reduced headcount. Spotify is on 0:05:12.320 --> 0:05:14.560 pace to add more than one hundred million users this year, 0:05:14.600 --> 0:05:17.360 It's biggest year yet. The company also reported a rare 0:05:17.400 --> 0:05:18.440 profit last quarter. 0:05:18.880 --> 0:05:20.919 Now, Nathan, let's get an update from the COMP twenty 0:05:20.920 --> 0:05:23.880 eight climate summit in Dubai. Bill Gates was once the 0:05:23.880 --> 0:05:26.640 world's richest man, and now he's devoted a large chunk 0:05:26.680 --> 0:05:29.599 of his fortune to fighting climate change. We asked the 0:05:29.640 --> 0:05:32.200 Microsoft co founder if he thinks the world can meet 0:05:32.240 --> 0:05:35.600 the global warming targets from the twenty fifteen Paris Agreement. 0:05:35.960 --> 0:05:40.240 No, we won't hit hit the aspirational targets. Well, you 0:05:40.279 --> 0:05:42.920 can do the math on one point five. 0:05:44.240 --> 0:05:48.159 And even two point zero. Isn't that likely? 0:05:48.560 --> 0:05:51.080 And still Bill Gay says he's still optimistic the world 0:05:51.120 --> 0:05:54.000 can avoid becoming three degrees celsius warmer than the pre 0:05:54.080 --> 0:05:56.400 industrial era. And you can hear more of our conversation 0:05:56.480 --> 0:06:03.520 with Bill Gates coming up shortly on the program Time 0:06:03.600 --> 0:06:05.360 Now for a look at some of the other stories 0:06:05.400 --> 0:06:07.359 making news around the world. For that, we're joined by 0:06:07.400 --> 0:06:09.719 Bloomberg's Amy Moore is seeing good morning. 0:06:09.800 --> 0:06:10.640 Good morning, Kiera. 0:06:10.720 --> 0:06:13.359 The US Supreme Court will your arguments today in the 0:06:13.400 --> 0:06:17.440 bankruptcy deal for oxyconton maker Purdue Pharma. ABC News spoke 0:06:17.520 --> 0:06:19.960 to attorney at Niger, an attorney for some of the 0:06:20.000 --> 0:06:22.279 plaintiffs who helped negotiate that settlement. 0:06:22.400 --> 0:06:24.240 In a way, this case is about deterrens. 0:06:24.360 --> 0:06:28.680 It's about holding corporate leaders and owners accountable for their 0:06:28.720 --> 0:06:29.720 business decisions. 0:06:30.080 --> 0:06:33.080 The six billion dollar deal gives Purdue Pharma's owners the 0:06:33.120 --> 0:06:36.960 Sackler Family immunity, protecting them from lawsuits. A leading national 0:06:36.960 --> 0:06:39.800 health expert says the US should experience a more typical 0:06:39.839 --> 0:06:41.479 flu and virus season this winter. 0:06:41.839 --> 0:06:44.520 We're probably looking at a more typical winter pathogen season 0:06:44.640 --> 0:06:46.200 what we've seen in past years. 0:06:46.680 --> 0:06:50.320 Speaking on CBS's Face the Nation, former FDA Commissioners doctor 0:06:50.320 --> 0:06:53.280 Scott Gottlieb says the level of RSV and flu cases 0:06:53.400 --> 0:06:56.240 is abating, but he is still encouraging everyone to get vaccinated. 0:06:56.560 --> 0:06:59.000 The Centers for Disease Control and Prevention says about a 0:06:59.040 --> 0:07:02.960 third of Americans or not getting enough sleep nurse Susan Harris, 0:07:02.960 --> 0:07:06.360 a sleep expert, says sleep controls everything in our lives, 0:07:06.360 --> 0:07:07.560 and without it, we struggle. 0:07:07.680 --> 0:07:10.560 It's essentially another pandemic that we are experiencing. 0:07:10.640 --> 0:07:14.040 She says sleep is the most underestimated and underutilized health 0:07:14.040 --> 0:07:17.680 aight in modern society. US Air Forces divers have discovered 0:07:17.720 --> 0:07:20.000 wreckage and remains of crew members from a US Air 0:07:20.040 --> 0:07:24.000 Force Osprey aircraft that crashed last week off southwestern Japan. 0:07:24.400 --> 0:07:26.800 Sources say five bodies in the bulk of the wreckage 0:07:26.800 --> 0:07:29.960 were located underwater. The Osprey plunged into the sea off 0:07:30.040 --> 0:07:31.880 the island of Yakashima on Wednesday. 0:07:31.960 --> 0:07:33.200 Eight people were on board. 0:07:33.680 --> 0:07:37.080 The latest class of Kennedy Center Honorees were inducted last night, 0:07:37.120 --> 0:07:42.000 including comedian Billy Crystal, soprano Renee Fleming, singer, songwriter, producer 0:07:42.000 --> 0:07:44.920 and member of the Begs Berry Gibb rapper, singer and 0:07:45.000 --> 0:07:49.000 actress Queen Latifah, and singer Dion Warwick. President Biden says 0:07:49.000 --> 0:07:51.960 the performing arts reflect who we are as Americans and 0:07:52.000 --> 0:07:52.760 as human beings. 0:07:52.800 --> 0:07:56.240 That's especially true for more than two hundred Kennedy Center 0:07:56.280 --> 0:07:59.960 honorees over the past forty six years have helped shape 0:08:00.240 --> 0:08:03.800 how we see ourselves, how we see each other, and 0:08:04.440 --> 0:08:05.680 how we see our world. 0:08:05.880 --> 0:08:08.880 The gala event took place last night, hosted by previous 0:08:08.880 --> 0:08:12.080 honor Ey Gloria Stefan. The show will air on Wednesday, 0:08:12.080 --> 0:08:15.440 December twenty seventh on CBS Global News twenty four hours 0:08:15.440 --> 0:08:17.720 a day and whenever you want it with Bloomberg News Now. 0:08:17.960 --> 0:08:20.040 I'm Amy Morris and this is Bloomberg Karen. 0:08:20.120 --> 0:08:22.040 All right, Amy, thank you what we do bring you 0:08:22.120 --> 0:08:25.120 news throughout the day. As Amy said right here on 0:08:25.200 --> 0:08:28.080 Bloomberg Radio, but also, as she said, you can get 0:08:28.080 --> 0:08:31.320 the latest news on demand whenever you want it. So 0:08:31.360 --> 0:08:32.880 the question is how do you do it? While you 0:08:32.920 --> 0:08:36.080 subscribe to Bloomberg News Now, and then you can get 0:08:36.120 --> 0:08:38.600 the latest headlines right at the click of a button. 0:08:38.760 --> 0:08:42.000 Get informed on your schedule. You can listen and subscribe 0:08:42.040 --> 0:08:45.679 to Bloomberg News Now on the Bloomberg Business app, Bloomberg 0:08:45.760 --> 0:08:49.720 dot com, plus Apple, Spotify, and pretty much anywhere else 0:08:49.760 --> 0:08:56.760 you get your podcasts. So it's time now for the 0:08:56.800 --> 0:08:59.800 Bloomberg Sports Update. For that, we bring in John stash 0:08:59.800 --> 0:09:01.560 out gun Karen. 0:09:01.600 --> 0:09:05.079 Before the NFL kicked off controversy in college football the 0:09:05.160 --> 0:09:07.840 last year that the playoff is only four teams. Next 0:09:07.880 --> 0:09:10.120 year it's going to twelve, so the last time this 0:09:10.240 --> 0:09:13.040 is likely to happen, a team goes undefeated in a 0:09:13.080 --> 0:09:16.240 Power five conference and doesn't get invited. It happened to 0:09:16.280 --> 0:09:19.160 Florida State, who went thirteen to zero in the ACC 0:09:19.400 --> 0:09:24.000 also beat two SEC teams LSU and Florida. A week ago, 0:09:24.080 --> 0:09:27.200 the Seminoles were ranked in the top four. Alabama was 0:09:27.240 --> 0:09:29.319 only eighth, but the Crimson Tide had the upset of 0:09:29.360 --> 0:09:32.680 Georgia in the SEC championship game, and Bama is off 0:09:32.679 --> 0:09:35.559 to the Rose Bowl to play Michigan on New Year's Day. 0:09:35.640 --> 0:09:38.360 That's the first semi final. Washington will play Texas and 0:09:38.400 --> 0:09:41.080 the Sugar Bowl in the other two teams who've never 0:09:41.120 --> 0:09:43.200 been in the playoff before. It came down to Bama 0:09:43.240 --> 0:09:46.040 and Florida State, and the committee went with the Crimson 0:09:46.120 --> 0:09:49.200 Tide and the Seminoles will settle for the Orange Ball, 0:09:49.240 --> 0:09:52.400 which is not a playoff bowl. The big NFL game 0:09:52.440 --> 0:09:54.960 was in Philadelphia, a rematch of last year's NFC Championship. 0:09:55.000 --> 0:09:57.320 This time the forty nine ers wanted easily forty two 0:09:57.400 --> 0:09:59.520 to nineteen. They scored two touchdowns at each of the 0:09:59.559 --> 0:10:03.000 last three quarters. Deebo Samuel into the end zone three times. 0:10:03.000 --> 0:10:05.679 Brock forty through fourteen he passes. The Niners are nine 0:10:05.679 --> 0:10:09.040 and three, the Eagles are ten and two. The Patriots 0:10:09.040 --> 0:10:10.920 are two and ten. Shut out at home for the 0:10:10.960 --> 0:10:13.520 second time this year. They went to Bailey Zappi as 0:10:13.559 --> 0:10:17.120 their quarterback. That didn't work. Pat's loss of the Chargers 0:10:17.160 --> 0:10:19.560 six to nothing. Fourth strad loss for the Commander is 0:10:19.559 --> 0:10:22.480 beaten at home by Miami forty five to fifteen. The 0:10:22.480 --> 0:10:25.640 Bruin beat Columbus three to one. Scottie Scheffler won the 0:10:25.840 --> 0:10:28.800 World Hero Golf in the Bahamas at twenty under park 0:10:29.240 --> 0:10:30.000 John Stashaewa. 0:10:30.040 --> 0:10:32.320 Bloomberg Sports. 0:10:34.000 --> 0:10:37.000 From coast to coast, from New York to San Francisco, 0:10:37.320 --> 0:10:41.920 Boston to Washington, DC, nationwide on Syrias exam the Bloomberg 0:10:42.000 --> 0:10:46.160 Business app in Bloomberg dot Com. This is Bloomberg Daybreak. 0:10:47.400 --> 0:10:50.040 Good morning. I'm Nathan Hager. Let's get to the latest 0:10:50.040 --> 0:10:50.880 from the Middle East. 0:10:50.920 --> 0:10:54.760 Now, where Israel is mourning residents of southern Gaza to evacuate. 0:10:54.840 --> 0:10:58.439 A new ground invasion of that part of the Palestinian 0:10:58.480 --> 0:11:01.600 held enclave is expected and soon at the same time, 0:11:01.640 --> 0:11:05.280 the US Navy is responding to drone and missile attacks 0:11:05.360 --> 0:11:08.960 against commercial ships operating in the Red Sea. For the 0:11:09.120 --> 0:11:12.000 very latest, we are joined now by Bloomberg's Oliver Crook, 0:11:12.000 --> 0:11:15.360 who has been following this war since the October seventh 0:11:15.360 --> 0:11:18.760 Hamas attack in southern Israel. Ali, good morning. What is 0:11:18.800 --> 0:11:21.320 the latest that we're hearing from the Gaza strip and beyond. 0:11:21.840 --> 0:11:23.880 That's right, Nathan, so we have you know, after this 0:11:24.080 --> 0:11:26.520 truce expired on Friday, you had seven day pause in 0:11:26.559 --> 0:11:29.240 the fighting. It has really taken a hold once again, 0:11:29.280 --> 0:11:31.840 and not in any sort of less significant phase. And 0:11:31.880 --> 0:11:33.840 now we have a new phase, as it's being described 0:11:33.840 --> 0:11:36.280 by the Israelis, which is really a focus on the 0:11:36.280 --> 0:11:38.560 southern part of Gaza. We remember that the first part 0:11:38.559 --> 0:11:41.360 of the operation was that ground defensive after pummeling of 0:11:41.400 --> 0:11:43.760 the northern part of Gaza. That appears to now be 0:11:43.840 --> 0:11:46.440 expanding to the south and that is seemingly going to 0:11:46.440 --> 0:11:49.600 focus around the city of Communists, where the Israelis say 0:11:49.600 --> 0:11:52.920 that the Hamas leadership has entrenched themselves. They're inside the tunnels, 0:11:53.000 --> 0:11:55.840 is what they're saying. They're asking people to evacuate to 0:11:55.920 --> 0:11:58.480 go to. Now what they've set up our safe zones, 0:11:58.559 --> 0:12:01.880 no target zones, they say, and again they have said 0:12:01.880 --> 0:12:04.000 that they are doing this with a caution to civilian 0:12:04.000 --> 0:12:05.800 life and that they have learned some lessons from the 0:12:05.840 --> 0:12:08.320 North on effectiveness and this sort of thing. But we 0:12:08.320 --> 0:12:11.040 also need to think about how densely populated now. Of course, 0:12:11.080 --> 0:12:14.000 the south of Gaza is after all of the evacuations 0:12:14.000 --> 0:12:15.560 in the north, and that was the whole effort for 0:12:15.600 --> 0:12:17.400 the last eight weeks, was getting people out of the 0:12:17.440 --> 0:12:19.800 north into the south, and now the operation will move 0:12:19.840 --> 0:12:20.360 down that way. 0:12:20.600 --> 0:12:24.080 And now the question is with this idea that Israel 0:12:24.120 --> 0:12:26.280 has set up some kind of safe zones and the 0:12:26.280 --> 0:12:29.200 word we got yesterday from a White House National Security 0:12:29.200 --> 0:12:33.240 spokesman John Kirby that the Israel has even posted maps 0:12:33.320 --> 0:12:38.840 online where people can go. Are those locations as safe 0:12:39.240 --> 0:12:42.120 as Israel is indicating? I mean, that's the big question 0:12:42.280 --> 0:12:42.800 right now. 0:12:42.800 --> 0:12:45.160 This is yeah, this is a permanent question throughout this 0:12:45.280 --> 0:12:47.560 What I think has changed now when we enter into 0:12:47.600 --> 0:12:49.920 this new phase of the war and yet another phase 0:12:50.000 --> 0:12:53.600 is the international scrutiny is even more intense. Perhaps it 0:12:53.640 --> 0:12:55.680 is not as headline grabbing the war as it was 0:12:55.720 --> 0:12:57.920 in the very beginning, but there's certainly a lot of 0:12:57.960 --> 0:13:01.920 pressure on Israel now, and particularly from its historic allies. 0:13:01.960 --> 0:13:04.880 We've heard comments over the weekend from Emmanuel Macon, who 0:13:04.920 --> 0:13:07.720 has taken a sort of slightly more measured approach on 0:13:07.800 --> 0:13:11.120 the Israel issue, saying that basically aiming the aim of 0:13:11.200 --> 0:13:14.640 eliminating Hamas will require a decade of war, and so 0:13:14.679 --> 0:13:16.920 that Israel's objectives need to be clarified. But we heard 0:13:16.960 --> 0:13:19.439 it from Kamala Harris. We're saying that too many Palestinians 0:13:19.440 --> 0:13:22.600 have died Blinken in his third trip to Israel. You know, 0:13:22.720 --> 0:13:26.000 the tone has shifted and shifted and shifted, saying that really, again, 0:13:26.080 --> 0:13:28.559 there needs to be fewer people dying as this operation 0:13:28.679 --> 0:13:30.480 goes on. So you are seeing a shift in that. 0:13:30.720 --> 0:13:33.400 So perhaps that pressure will have to make that a 0:13:33.440 --> 0:13:35.319 top priority for the Israelis now. 0:13:35.360 --> 0:13:37.120 I guess, I would imagine it would be a little 0:13:37.120 --> 0:13:39.480 too soon to say whether that shift in rhetoric is 0:13:39.520 --> 0:13:42.600 actually leading to a shift in tactics when it comes 0:13:42.600 --> 0:13:45.319 to how Israel carries out this war in the days 0:13:45.320 --> 0:13:51.640 and weeks to come, and tries more, I guess, plainly 0:13:51.880 --> 0:13:55.040 to show the international community that it is doing what 0:13:55.120 --> 0:13:58.319 it can to limit civilian casualties. 0:13:58.520 --> 0:14:00.240 Yeah, yeah, I mean I think you certainly will get that. 0:14:00.240 --> 0:14:02.800 You got it from just now from the IDEFA spokesman's 0:14:02.800 --> 0:14:05.400 coming out and again emphasizing the civilian side of it. 0:14:05.440 --> 0:14:07.040 But again we heard from the chief of staff from 0:14:07.040 --> 0:14:10.400 the Israeli Defense Forces over the weekend and we were asked. 0:14:10.440 --> 0:14:12.720 They were being asked basically, what does this thing in 0:14:12.760 --> 0:14:15.040 the south look like? What does this operation look like? 0:14:15.080 --> 0:14:16.680 And they would say it will be as thorough in 0:14:16.720 --> 0:14:20.040 the south at as it has been in the north. 0:14:20.080 --> 0:14:22.000 And again everyone is going to be paying attention to 0:14:22.040 --> 0:14:24.840 the casualty numbers, the figure of dead. We understand that 0:14:24.840 --> 0:14:27.560 that figure is now at fifteen thousand, five hundred people 0:14:27.560 --> 0:14:29.600 that have been killed in Gaza since the beginning of 0:14:29.640 --> 0:14:32.280 this war. Eighty percent of the two point two million 0:14:32.280 --> 0:14:35.000 people have been displaced. I mean, these are just huge figures. 0:14:35.080 --> 0:14:38.080 The Israeli say that five thousand are Hamas fighters that 0:14:38.120 --> 0:14:40.680 are now dead. And again, now the operation is going 0:14:40.720 --> 0:14:42.600 through the tunnels and dealing with all of these things. 0:14:42.640 --> 0:14:44.600 But again we are on day fifty nine of this 0:14:44.720 --> 0:14:47.640 day sixty is coming up tomorrow, and there's not really 0:14:47.680 --> 0:14:48.520 an end in sight. 0:14:48.920 --> 0:14:51.280 And in the meantime, we mentioned that the US has 0:14:51.280 --> 0:14:55.200 been responding to attempted attacks and in some cases I 0:14:55.200 --> 0:14:58.280 guess successful attacks as well. On commercial shipping in the 0:14:58.320 --> 0:15:01.440 Red Sea, I mean, there are two potential questions there. 0:15:01.720 --> 0:15:05.040 What is the risk that this escalates into a wider 0:15:05.080 --> 0:15:09.640 war and what's the risk to shipping to supply lines globally. 0:15:09.920 --> 0:15:12.640 It's something that really the market is also very intensely, 0:15:13.000 --> 0:15:15.160 you know, focused on with all of these sort of 0:15:15.160 --> 0:15:17.600 spillover effects. And as we know, the United States has 0:15:17.600 --> 0:15:20.200 been intercepting missiles over the Red Sea over the last 0:15:20.200 --> 0:15:22.120 few weeks, coming from Yemen all the way up the 0:15:22.160 --> 0:15:25.200 Red Seas is a huge distance across, and is it 0:15:25.280 --> 0:15:28.800 a top priority to mitigate all that the Saudis that 0:15:28.840 --> 0:15:30.960 are on the border with Yemen, you know, some we 0:15:31.040 --> 0:15:33.720 understand that they've been firing into their airspace and all 0:15:33.760 --> 0:15:36.160 of these are sort of the potential conflict points. However, 0:15:36.720 --> 0:15:38.840 again we see all of the same risks we've seen 0:15:38.880 --> 0:15:41.120 for the last few weeks and months, which is Hezbollah 0:15:41.200 --> 0:15:43.640 in the north of Israel. Again, there's still some attacks there, 0:15:43.640 --> 0:15:47.080 but nothing that really stands out as a dramatic escalation. 0:15:47.480 --> 0:15:49.120 But these are all the things that the market certainly 0:15:49.120 --> 0:15:51.080 will be playing close attention to. In the United States 0:15:51.080 --> 0:15:54.480 has its significant naval fleet out there to deter exactly 0:15:54.560 --> 0:15:55.400 this kind of behavior. 0:15:55.680 --> 0:15:58.680 Absolutely, And as you mentioned, this week will mark two 0:15:58.720 --> 0:16:02.600 months since the October verse seventh attack. This Thursday will 0:16:02.600 --> 0:16:06.240 be that two month mark. Raises the question about how 0:16:06.320 --> 0:16:10.280 much longer this conflict can go on and whether Israel 0:16:10.760 --> 0:16:15.600 needs to spell out more clearly what its objectives are, 0:16:15.840 --> 0:16:18.600 what dismantling and destroying Hamas will mean. 0:16:19.040 --> 0:16:21.280 This is exactly the point, what does that mean. We 0:16:21.360 --> 0:16:24.400 know that the aim is to dismantle Hamas. The question 0:16:24.560 --> 0:16:27.760 is again with an insidiousness of an ideology which is 0:16:27.760 --> 0:16:30.520 not just composed of a very sort of neat selection 0:16:30.600 --> 0:16:33.280 of human beings that once they're gone, it's gone. This 0:16:33.320 --> 0:16:34.880 is the problem and this is the problem that the 0:16:34.960 --> 0:16:37.560 Israelis have and this is where again the support of 0:16:37.560 --> 0:16:40.800 the international community will be tested as this war continues 0:16:40.840 --> 0:16:43.560 to rumble on. And the other issue you have is 0:16:43.600 --> 0:16:45.400 obviously you have the situation in Gaza, but when you 0:16:45.400 --> 0:16:47.720 look at the West Bank, they after the cease fire, 0:16:47.720 --> 0:16:49.960 where you had the hostages released and you have a 0:16:50.040 --> 0:16:54.000 many Palestinian prisoners released. You saw a lot of Hamas 0:16:54.040 --> 0:16:56.600 flags running in the West Bank because they're seeing this. 0:16:56.800 --> 0:16:59.920 Hamas to a degree is standing up for the Palestinian cause. 0:17:00.040 --> 0:17:02.360 It is bringing results, it is bringing people back home. 0:17:02.520 --> 0:17:05.520 And again this only complicates this matter, which again it's 0:17:05.600 --> 0:17:07.760 very hard to be very optimistic about this, but there 0:17:07.760 --> 0:17:10.920 needs to be some kind of political or diplomatic breakthrough 0:17:10.920 --> 0:17:13.120 for there to be a durable solution to this conflict 0:17:13.200 --> 0:17:15.640 that has plagued the reason for many, many, many decades. 0:17:16.040 --> 0:17:19.040 All right, Bloomberg's Oliver Crook joining us this morning, who's 0:17:19.080 --> 0:17:22.400 been part of our team covering this conflict between Israel 0:17:22.440 --> 0:17:27.200 and Hamas since the October seventh attack. And Oliver with 0:17:27.280 --> 0:17:29.800 us this morning. Thanks again for being with us. And 0:17:29.840 --> 0:17:34.120 now we want to bring you our conversation with Bill Gates, 0:17:34.280 --> 0:17:37.639 the co founder of Microsoft, who is one of the 0:17:37.640 --> 0:17:42.520 many dignitaries at the COP twenty eight climate summit in Dubai. 0:17:42.880 --> 0:17:47.200 Gates says the world probably will not meet the goal 0:17:47.280 --> 0:17:50.840 from the twenty fifteen Paris Agreement of limiting the rising 0:17:50.840 --> 0:17:54.080 global temperatures to one and a half degrees celsius, but 0:17:54.160 --> 0:17:57.520 that doesn't mean he isn't optimistic about the fight against 0:17:57.520 --> 0:18:00.840 climate change. Bill Gates praised the COP Summit for making 0:18:00.920 --> 0:18:06.280 progress on tackling global warming despite geopolitical tensions. Gates spoke 0:18:06.320 --> 0:18:10.120 with Bloomberg's Farancy Laquai from Dubai discussing COP twenty eight, 0:18:10.160 --> 0:18:15.600 the warming Planet, and how he measures success against climate change. 0:18:15.680 --> 0:18:17.600 Let's go to part of that discussion. 0:18:18.240 --> 0:18:23.240 Climate change. Overall, it's a challenge to the world. Hydrocarbons 0:18:23.240 --> 0:18:28.800 have been very cheap. Our economy is built around in coal, 0:18:29.520 --> 0:18:34.240 gas oil, and so we have to make this change. 0:18:34.840 --> 0:18:40.680 The progression of inventing new approaches, green approaches, and then 0:18:40.920 --> 0:18:44.720 implementing them and over time scaling them and getting them 0:18:44.760 --> 0:18:47.720 so cheap what I call zero green premium. 0:18:48.880 --> 0:18:50.680 You first have to have risk capital. 0:18:51.160 --> 0:18:55.240 Then you have to have bigger amounts capital, eventually, as 0:18:55.280 --> 0:18:59.040 they say, trillions of dollars to get every country to 0:18:59.119 --> 0:19:03.600 replace it's steel plants at cement plants and so depending 0:19:03.640 --> 0:19:07.639 on the emissions area. Some of these things like steel 0:19:07.720 --> 0:19:10.119 and cement were at the very early stage. 0:19:10.160 --> 0:19:11.960 Some like electric cars, at. 0:19:11.920 --> 0:19:16.360 Least at the high end the green premium you could 0:19:16.400 --> 0:19:19.359 says zero, not for for low cost cars where you 0:19:19.400 --> 0:19:23.760 park on the street. But you so all these things 0:19:25.119 --> 0:19:30.320 and the faster we go, the less temperature increase. 0:19:30.359 --> 0:19:30.919 We'll see. 0:19:31.000 --> 0:19:33.359 But do you think we're going fast enough to actually 0:19:33.600 --> 0:19:35.960 hit the targets that were set out in the Paris Agreement? 0:19:36.080 --> 0:19:40.800 No, we won't hit hit no to aspirational targets. Well, 0:19:40.840 --> 0:19:45.680 you can do the math on one point five and 0:19:46.080 --> 0:19:49.879 even two point zero. Isn't that likely? 0:19:50.000 --> 0:19:50.200 Now? 0:19:50.280 --> 0:19:54.199 Fortunately, if you stay below three, a lot of the 0:19:54.200 --> 0:19:57.800 ill effects that people have heard about don't happen unless 0:19:57.840 --> 0:20:00.240 you really are irresponsible. 0:19:59.480 --> 0:20:02.320 And let it get up to the higher range. 0:20:02.600 --> 0:20:07.240 Where do you see the role of fossil fuels going forward, Well. 0:20:07.119 --> 0:20:08.920 We have to outcompete fossil fuels. 0:20:09.160 --> 0:20:09.520 Now. 0:20:10.080 --> 0:20:14.000 To do that properly, they you know, they shouldn't get subsidies, 0:20:14.040 --> 0:20:18.040 and in fact a carbon tax over time should be 0:20:18.080 --> 0:20:20.760 put on so that the new you know, say the 0:20:20.840 --> 0:20:25.800 electric car or the plane that use hydrogen, the fact 0:20:25.880 --> 0:20:31.680 it doesn't emit carbon, you're helping it get adoption. Those 0:20:31.760 --> 0:20:34.520 companies have skills, you know, if you want to sequester 0:20:34.640 --> 0:20:38.800 carbon or you know nuclear wayt or there's a lot 0:20:38.840 --> 0:20:43.320 of skills if you want to make biofuels. You know, 0:20:43.400 --> 0:20:46.479 some of those companies will take the capital and skills 0:20:46.520 --> 0:20:50.720 they have you know, so I wouldn't you know, say okay, 0:20:50.720 --> 0:20:54.560 I wish they weren't there. You know, people still, you know, 0:20:54.560 --> 0:20:58.200 there's no country that can say, okay, we have zero emissions. 0:20:58.600 --> 0:20:58.719 Uh. 0:20:59.400 --> 0:21:01.119 You know, people want to drive to work. 0:21:01.440 --> 0:21:01.639 You know. 0:21:01.680 --> 0:21:06.480 In fact, the excess supply when Russia cut off its 0:21:06.480 --> 0:21:11.080 supply in the world was sort of glad. 0:21:09.280 --> 0:21:11.520 That was available. 0:21:11.560 --> 0:21:16.000 And so yes, oil and gas needs to be out competed, 0:21:16.359 --> 0:21:20.480 and those companies need to join the effort. 0:21:20.960 --> 0:21:22.800 I know you look at a lot of technologies and 0:21:22.840 --> 0:21:24.720 a lot of innovation, but is there one thing that 0:21:24.760 --> 0:21:26.359 you've been most excited about. 0:21:26.640 --> 0:21:31.119 If we can get either nuclear fission or fusion to 0:21:31.240 --> 0:21:37.840 be safe and broadly accepted and very economic because it's 0:21:37.880 --> 0:21:41.600 not whether dependent, it would be very complementary to the 0:21:41.720 --> 0:21:45.240 large amount of solar and wind that we're putting into 0:21:45.240 --> 0:21:46.360 our electric system. 0:21:46.400 --> 0:21:48.520 And so I'm biased. 0:21:48.520 --> 0:21:52.280 I'm a huge investor in both fission and fusion and 0:21:52.520 --> 0:21:55.560 hoping that it comes in time. 0:21:58.440 --> 0:22:01.359 This is Bloomberg Daybreak Today. 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