Yellen Wraps China Talks; Israel Preps Future Operations; Total Eclipse

Bloomberg Audio Studios, podcasts, radio news. 0:00:10.039 --> 0:00:10.600 Good morning. 0:00:10.640 --> 0:00:13.160 I'm Nathan Hager and I'm John Tucker. Here are these 0:00:13.160 --> 0:00:14.440 stories we're following today. 0:00:14.520 --> 0:00:14.680 Man. 0:00:14.680 --> 0:00:16.560 We'll have more on the markets John in just a minute, 0:00:16.560 --> 0:00:20.480 but we begin with US China relations. Treasury Secretary Janet 0:00:20.560 --> 0:00:23.440 Yellen has just wrapped up four days of talks in China. 0:00:23.880 --> 0:00:26.720 For much of her trip, Yellen's been busy scolding China 0:00:26.760 --> 0:00:30.760 about what Washington views as excessive investment in manufacturing to 0:00:30.800 --> 0:00:34.120 make up for a troubled property sector and weak domestic demand. 0:00:34.400 --> 0:00:37.400 But at a news conference this morning, Yellen said relations 0:00:37.479 --> 0:00:39.479 between the US and China are improving. 0:00:40.320 --> 0:00:44.519 It's undeniable that the US China relationship is on a 0:00:44.600 --> 0:00:48.080 stronger footing today than this time last year. 0:00:48.320 --> 0:00:52.120 Still, Secretary Yellen warren the US would sanction China's banks 0:00:52.159 --> 0:00:55.760 and exporters if they help Russia in the war against Ukraine. 0:00:55.960 --> 0:01:01.280 I reinforced that any banks that facilitate signific and transactions 0:01:01.720 --> 0:01:06.560 to channel military or dual use goods to Russia's defense 0:01:06.720 --> 0:01:12.680 industrial base expose themselves to the risk of US sanctions. 0:01:12.280 --> 0:01:15.479 And Treasury Secretary Janet Yellen announced new talks will get 0:01:15.520 --> 0:01:18.440 underway next week with a meeting between two US China 0:01:18.480 --> 0:01:20.399 working groups in Washington. 0:01:20.160 --> 0:01:23.760 And sticking with geopolitics, Crude oil is declining as we 0:01:23.800 --> 0:01:26.399 start a new trading week. It's off a five month 0:01:26.480 --> 0:01:29.760 high after Israel said it would remove some troops from Gaza. 0:01:30.240 --> 0:01:33.080 Israel did say the forces would recuperate and prepare for 0:01:33.240 --> 0:01:38.000 future operations, including an offensive. Von Rafa checking oil right now, 0:01:38.120 --> 0:01:41.440 brand the international benchmark down sixty nine cents of barrel, 0:01:41.480 --> 0:01:44.160 still above ninety ninety forty eight a barrel. 0:01:44.480 --> 0:01:47.320 And John is Israel apparently regroups in Gaza. One of 0:01:47.360 --> 0:01:50.440 President Biden's key allies in the Senate says the US 0:01:50.480 --> 0:01:53.080 should not let up when it comes to weapons support. 0:01:53.440 --> 0:01:56.280 Democratic Senator Chris Coons of Delaware made the case to 0:01:56.360 --> 0:01:58.240 Fox New Sunday host Martha McCallum. 0:01:58.680 --> 0:02:02.120 It's important that we cantinue to show strong support for 0:02:02.200 --> 0:02:05.480 the defense of Israel, that we continue to support the 0:02:05.560 --> 0:02:09.679 Iron Dome and other ballistic missile defenses that we've jointly developed, 0:02:10.000 --> 0:02:13.000 and that we make it clear we will defend Israel 0:02:13.320 --> 0:02:17.280 against any Iranian proxy attack or any direct asculiar One. 0:02:17.400 --> 0:02:20.240 And Delaware Senator Chris coon said he disagrees with House 0:02:20.280 --> 0:02:23.240 Democrats who have called for withholding weapons transfers until an 0:02:23.240 --> 0:02:26.720 investigation is complete into the air strike that killed seven 0:02:26.800 --> 0:02:28.280 World Central Kitchen. 0:02:27.960 --> 0:02:29.359 Aid workers in Gaza. 0:02:29.760 --> 0:02:32.120 And back here in the US, the day of the 0:02:32.160 --> 0:02:35.600 total eclipse of the sun is finally here, and Bloomberg's 0:02:35.600 --> 0:02:38.480 ad Backster reports it certainly caught the nation's attention. 0:02:39.040 --> 0:02:41.800 The several minutes of daytime darkness will follow a path 0:02:41.919 --> 0:02:45.079 up through Mexico, the US and in the Canada, depending 0:02:45.080 --> 0:02:47.560 on where you are, three to four minutes for some 0:02:47.680 --> 0:02:51.359 an economic bonanza. One of those places the northeast of 0:02:51.400 --> 0:02:54.480 the US. New York Governor Kathy Hochel says, along with 0:02:54.520 --> 0:02:55.959 all the glory, though, we are. 0:02:55.800 --> 0:02:59.560 Warning everyone the roads can only handle so much and 0:02:59.680 --> 0:03:03.840 works expecting a high high volume of traffic before and 0:03:03.919 --> 0:03:05.000 after the event. 0:03:04.880 --> 0:03:07.839 And of course the perfunctory warning by now don't look 0:03:07.880 --> 0:03:12.400 at the sun without the correct protection. ED Baxter, Bloomberg Radio. 0:03:12.560 --> 0:03:14.919 I guess it always bears repeating, Thank you, Ed. Now 0:03:14.960 --> 0:03:17.840 we turn to the markets and the economy. Investors are 0:03:17.880 --> 0:03:21.160 preparing for a busy week that includes infleetion data and 0:03:21.200 --> 0:03:24.359 the start of the first quarter earning season. Last Friday's 0:03:24.400 --> 0:03:28.399 jobs numbers exceeded expectations for a fifth straight month, reinforcing 0:03:28.400 --> 0:03:31.359 the Fed's view of being patient about easing interest rates. 0:03:31.639 --> 0:03:34.360 Here's Richmond FED President Thomas Barkin. 0:03:34.760 --> 0:03:37.520 When the economy is as strong as it is, it's 0:03:37.560 --> 0:03:40.000 hard to feel urgency on taking rates down. Are you 0:03:40.040 --> 0:03:43.120 going to see a dramatic weakening in the economy as 0:03:43.120 --> 0:03:45.800 I've suggested the demand pestmits might see, or are you 0:03:45.840 --> 0:03:48.880 going to see strength three hundred fifty three thousand jobs 0:03:48.920 --> 0:03:51.280 a month like we apparently saw last month. 0:03:51.520 --> 0:03:54.760 Richmond FED chief Thomas Barkin's patient stance on rate cuts 0:03:54.840 --> 0:03:57.839 was echoed by several more FED officials last week. 0:03:57.720 --> 0:04:01.360 And former Treasury Secretary Lanry Summers says the surgeon March 0:04:01.400 --> 0:04:04.880 payrolls illustrates that the FED is well. Often it's an 0:04:05.040 --> 0:04:08.520 estimate of where the neutral interest rate is. He's cautioning 0:04:08.600 --> 0:04:11.000 against any move to lower rates in June. 0:04:12.480 --> 0:04:14.880 Saying we don't need to know what the neutral rate 0:04:15.080 --> 0:04:18.359 is is like saying you should drive your car on 0:04:18.600 --> 0:04:24.200 feel without looking at the speedometer. It is just a mistake. 0:04:25.240 --> 0:04:32.040 There's no way to judge what policy is without knowing 0:04:32.440 --> 0:04:35.680 what would be a neutral policy. 0:04:35.960 --> 0:04:39.080 Former Transity Secretary Larry Summers, adding that the right thing 0:04:39.080 --> 0:04:42.640 to do is quote stick where we are for considerably longer. 0:04:43.120 --> 0:04:45.839 Here his full conversation with David Weston on the Bloomberg 0:04:45.839 --> 0:04:49.760 Wall Street podcast that's available on Apple, Spotify and anywhere 0:04:49.760 --> 0:04:51.640 else you get your podcasts. 0:04:51.200 --> 0:04:53.560 And definitely got to listen to the Wall Street Week podcast. 0:04:53.640 --> 0:04:57.000 John Turning into company news, earning season kicks off this 0:04:57.120 --> 0:05:01.640 week with financials, we get a pre you from Bloomberg's Charlie. 0:05:01.440 --> 0:05:06.120 Pellett Friday, It's JP Morgan, Chase City Group, and Wells Fargo. 0:05:06.160 --> 0:05:10.320 The reports come as US stocks trade near records Monamaha 0:05:10.400 --> 0:05:13.719 jan Is, senior investment strategist at Edward Jones. 0:05:13.839 --> 0:05:18.120 Broadly, our call on market leadership broadening beyond large cap 0:05:18.160 --> 0:05:21.680 technology here in the US is driven by the fundamentals 0:05:21.720 --> 0:05:24.719 around earnings growth we think will broaden this year beyond 0:05:24.880 --> 0:05:27.840 just the large cap technology or growth parts of the market. 0:05:27.920 --> 0:05:31.240 Also this week, we hear from Delta Airlines, Fast and 0:05:31.279 --> 0:05:36.680 All and Constellation Brands in New York Charlie Pellett Bloomberg Radio. 0:05:36.720 --> 0:05:39.479 All right, thanks Charlie, and turning overseas to Asia to 0:05:39.560 --> 0:05:45.040 our exclusive conversation with HSBC CEO Noel Quinn. Quinn's hosting 0:05:45.080 --> 0:05:48.760 the bank's three day inaugural Global Investments Summit in Hong Kong. 0:05:49.320 --> 0:05:52.720 Despite a slowdown and continued economic concern in China, Quinn 0:05:52.760 --> 0:05:56.360 tells Bloomberg that he sees opportunity in the mainland and 0:05:56.440 --> 0:05:57.400 the broader region. 0:05:57.839 --> 0:06:00.320 We've got a really strong wealth management business here in 0:06:00.360 --> 0:06:03.840 Hong Kong. I want an equally strong wealth management capability 0:06:04.400 --> 0:06:08.159 in mainland China, in Singapore, for US here and in India. 0:06:08.200 --> 0:06:11.280 And what I really want is a platform of four 0:06:11.320 --> 0:06:14.479 strong pillars of wealth management and in wealth management, I 0:06:14.520 --> 0:06:19.440 include insurance, asset management, private banking, and therefore our acquisitions 0:06:19.440 --> 0:06:23.560 are being tended to be acquiring products or distribution capability 0:06:23.760 --> 0:06:24.719 in those markets. 0:06:25.160 --> 0:06:28.919 HSBC CEO Nol Quinn also tells Bloomberg the bank continues 0:06:28.960 --> 0:06:32.760 to perform extremely well across several areas as it readies 0:06:32.800 --> 0:06:40.000 to report first quarter earnings later this month, and that 0:06:40.040 --> 0:06:42.520 brings us to five oh seven on Wall Street. Time 0:06:42.600 --> 0:06:44.080 down for a look at some of the other stories 0:06:44.120 --> 0:06:47.320 making news in New York and around the world. We 0:06:47.360 --> 0:06:49.640 say good morning to Bloomberg's Michael barn. 0:06:49.800 --> 0:06:52.919 Good morning, John A. Scare a board at Southwest Airlines 0:06:53.040 --> 0:06:56.320 jet taking off from Denver. Part of the engine cover 0:06:56.440 --> 0:07:00.560 ripped off. Southwest flight thirty six ninety five. Euston bound 0:07:00.640 --> 0:07:02.680 flight with one hundred and forty three people on board, 0:07:02.760 --> 0:07:05.520 was forced to make an emergency landing yesterday. It was 0:07:05.560 --> 0:07:09.800 diverted back to Denver International Airport just after takeoff. Pilot 0:07:09.840 --> 0:07:11.440 Steve Ganyard spoke to ABC. 0:07:12.040 --> 0:07:14.960 These lightweight aluminum coverings that you see are essentially like 0:07:15.000 --> 0:07:17.880 the hood of your car. They allow mechanics to open 0:07:17.960 --> 0:07:20.520 up the area around the engine itself for it, to 0:07:20.600 --> 0:07:22.240 inspect it and to do maintenance on it. 0:07:22.680 --> 0:07:26.760 The FAA is investigating the incident. President Joe Biden's alternative 0:07:26.760 --> 0:07:29.840 student debt relief plan could forgive loans for as many 0:07:29.840 --> 0:07:33.400 as twenty six million Americans. The far reaching initiative will 0:07:33.560 --> 0:07:36.640 likely be tested by the same challenges in his original 0:07:36.680 --> 0:07:40.320 program struck down by the Supreme Court. The measures would 0:07:40.320 --> 0:07:44.520 apply to borrowers who meet certain criteria, including people whose 0:07:44.760 --> 0:07:49.000 debt exceeds their original principal amount and those who qualify 0:07:49.080 --> 0:07:53.040 for federal programs but have not been enrolled. Former President 0:07:53.080 --> 0:07:57.360 Donald Trump says he will finally announce today when he 0:07:57.560 --> 0:08:01.160 will announce on abortions and win they should be banned. 0:08:01.800 --> 0:08:05.280 The announcement comes as Republican led states have ushered in 0:08:05.360 --> 0:08:09.120 a wave of new restrictions following the Supreme Court's decision 0:08:09.160 --> 0:08:12.760 to overturn Roe v. Wade in twenty twenty two. Meanwhile, 0:08:12.840 --> 0:08:17.200 campaign filings indicate former President Trump is still far behind 0:08:17.280 --> 0:08:20.600 President Biden in overall fundraising, but Trump got a big 0:08:20.640 --> 0:08:23.440 boost over the weekend at a Palm Beach fundraiser. A 0:08:23.560 --> 0:08:27.040 campaign official says a group of ultra wealthy donors helped 0:08:27.080 --> 0:08:30.880 Trump rake in a whopping fifty million dollars from this event. 0:08:31.760 --> 0:08:34.880 New York Democratic Senator Chuck Schumer says he has sent 0:08:34.920 --> 0:08:37.720 a letter to the heads of Capitol I and Discover 0:08:38.120 --> 0:08:41.000 with questions about a proposed merger that would create the 0:08:41.000 --> 0:08:45.320 country's largest credit card company. Senator Schumer Warren the merger 0:08:45.360 --> 0:08:49.520 could reduce competition and mean higher interest rates and bigger 0:08:49.559 --> 0:08:52.760 fees for tens of millions of credit card customers. 0:08:52.960 --> 0:08:57.120 This would be the largest credit card merger on record, 0:08:58.559 --> 0:09:03.680 and usually when there's consolidation, the consumer pays the price. 0:09:04.120 --> 0:09:07.640 Senator Schumer says lawmakers want to know about the potential 0:09:07.720 --> 0:09:11.080 increase in fees and what it means for the marketplace. 0:09:11.640 --> 0:09:14.920 Global news twenty four hours a day and whenever you 0:09:15.000 --> 0:09:17.760 want it with the Bloomberg News. Now, I'm Michael Barr, 0:09:17.800 --> 0:09:19.760 and this is Bloomberg. John. 0:09:19.800 --> 0:09:25.480 All right, Michael, thank you, and time down for the 0:09:25.520 --> 0:09:29.400 Bloomberg Sports Update. Damn for that. Good morning, John Steshower. 0:09:28.960 --> 0:09:32.120 Good morning, Johnson. Stunning news from college basketball. Just as 0:09:32.240 --> 0:09:34.360 Yukon and Purdue gets set to play for the national 0:09:34.400 --> 0:09:37.440 championship tonight in Phoenix, John Calipari is said to be 0:09:37.480 --> 0:09:40.520 finalizing a deal to leave his job as the coach 0:09:40.559 --> 0:09:44.200 at Kentucky to take over at Arkansas. Calipari is sixty five. 0:09:44.240 --> 0:09:46.280 He's in the Hall of Fame. He's been at Kentucky 0:09:46.320 --> 0:09:49.120 since two thousand and nine, built up powerhouse there, although 0:09:49.400 --> 0:09:51.800 they haven't had nearly that much success in recent years. 0:09:51.840 --> 0:09:53.840 His team just lost in the NCAA's first round at 0:09:53.920 --> 0:09:56.959 Arkansas Hill replays Eric Musselman, who just left to take 0:09:57.000 --> 0:09:59.920 over at usc Calipari has said to be close with John. 0:10:00.040 --> 0:10:04.040 I'm Tyson, a billionaire Arkansas booster and women's basketball Caitlyn 0:10:04.120 --> 0:10:07.120 Clark was the season's top player, but South Carolina was 0:10:07.120 --> 0:10:09.040 always the best team. In the game, Cocks capped a 0:10:09.160 --> 0:10:11.959 thirty eight no season beating. Clark and I won the 0:10:12.000 --> 0:10:14.480 championship game in Cleveland, eighty seven to seventy five. In 0:10:14.520 --> 0:10:18.439 the final game of Clark's brilliant career. She scored thirty points. 0:10:19.040 --> 0:10:20.960 Yeah, I'm sad we lost this game, but I'm also 0:10:21.000 --> 0:10:23.160 so proud of myself. I'm so proud of my teammates. 0:10:23.160 --> 0:10:26.040 I'm so proud of this program. There's a lot to 0:10:26.080 --> 0:10:28.959 be proud of. But you know, there's gonna be tears. 0:10:29.040 --> 0:10:30.640 It is sad that this is all over and this 0:10:30.679 --> 0:10:32.600 is the last time I'm gonna put on an Iowa Jerseys. 0:10:32.600 --> 0:10:35.400 Next stap the WNBA for her. Sunday wins for the 0:10:35.440 --> 0:10:38.720 Mets Yankees, Nickson rangers the Mets three one at Cincinnati. 0:10:38.800 --> 0:10:40.800 Sham and I and four relievers team on a three hitter. 0:10:40.840 --> 0:10:43.800 The Yankees wrote at John Carlos Stanton thirty eight Grand 0:10:43.800 --> 0:10:45.800 Slam to an eight three win at the Stadium over Toronto. 0:10:45.880 --> 0:10:48.800 Yanks are now eight and two. Nixon Milwaukee trailed by 0:10:48.800 --> 0:10:50.960 eleven and a half time, came back beat the Bucks one 0:10:51.080 --> 0:10:53.360 twenty two to one. On nine Jalen Brunson scored forty 0:10:53.360 --> 0:10:56.360 three Rangers at the Garden a four goal third period 0:10:56.360 --> 0:10:58.400 of five to two win over Montreal. With four games 0:10:58.440 --> 0:11:00.719 to go, Rangers have a three point leaders to try 0:11:00.720 --> 0:11:03.760 to finish with the NHL's best regular season record. Devil's 0:11:03.760 --> 0:11:05.840 lost in Nashville three too. The Nets lost at home 0:11:05.880 --> 0:11:09.200 to Sacramento by thirty cel Thiks meat Portland. The Warriors 0:11:09.240 --> 0:11:11.679 beat the Jazz, The Wizards lost. The Capital's lost in 0:11:11.720 --> 0:11:14.959 overtime to Ottawa. Nationals and Giants both won. The Red 0:11:14.960 --> 0:11:17.199 Sox beat the Angels twelve to two. They went seven 0:11:17.240 --> 0:11:20.200 to three on their season opening road trip. John stasheh 0:11:20.200 --> 0:11:21.840 Wear Bloomberg Sports, Johnny. 0:11:21.480 --> 0:11:24.319 All right, thanks a lot, John, And futures indicate a 0:11:24.400 --> 0:11:27.520 higher lower open on Wall Street down Futures down twenty six, 0:11:27.720 --> 0:11:32.199 SMP Mini futures six points lower, the nansdeck futures down fourteen. 0:11:34.920 --> 0:11:38.960 Coast to coast on Bloomberg Radio, nationwide on Sirius XM, 0:11:39.160 --> 0:11:42.040 and around the world on Bloomberg dot Com and the 0:11:42.080 --> 0:11:47.320 Bloomberg Business app. This is Bloomberg Daybreak. Good morning up, 0:11:47.400 --> 0:11:48.000 Nathan Hager. 0:11:48.000 --> 0:11:51.160 We are seeing some modest losses in equity futures this 0:11:51.240 --> 0:11:53.720 morning at the start of a very busy week, including 0:11:53.760 --> 0:11:57.600 more inflation data, the start of first quarter earning season, 0:11:58.120 --> 0:12:01.000 and a rate decision from the European Central Bank this week. 0:12:01.120 --> 0:12:03.160 Let's get you set for the trading week ahead. We 0:12:03.160 --> 0:12:05.720 are joined by Dennis Gartman, the chairman of the University 0:12:05.760 --> 0:12:09.400 of Akron Indowment Investment Committee and the former publisher of 0:12:09.440 --> 0:12:13.120 the Gartman Letter. Dennis, it seems like we just keep 0:12:13.200 --> 0:12:15.719 pushing back bets on what the Fed is going to 0:12:15.800 --> 0:12:19.800 do with interest rates this year, particularly after last Fridays 0:12:19.880 --> 0:12:23.280 once again hot jobs report. Where do you see this 0:12:23.440 --> 0:12:24.120 market going? 0:12:25.440 --> 0:12:28.319 I have been modestly bearished, let's call it neutral to 0:12:28.400 --> 0:12:30.600 slightly bearish of stocks for quite some period of time, 0:12:30.679 --> 0:12:33.840 being surprised by the strength that we've seen in the 0:12:33.840 --> 0:12:37.400 equities market. For a while, I thought it was almost 0:12:37.400 --> 0:12:41.080 comically laughable that it was a month ago that the 0:12:41.240 --> 0:12:44.320 consensus was we'd have four to five cuts in the 0:12:44.320 --> 0:12:46.880 overnight SAD funds rate. Now we're down to one or 0:12:46.920 --> 0:12:49.440 two cuts in the overnight said funds rate. I think 0:12:49.480 --> 0:12:52.120 soon we'll be down to zero to one cut in 0:12:52.160 --> 0:12:54.120 the overnight said funds rate by the end of the year. 0:12:54.559 --> 0:12:58.960 Time shall tell, But stocks have I think acted a 0:12:59.000 --> 0:13:01.000 bit heavy in the course of the past three or 0:13:01.000 --> 0:13:04.240 four or five days. The decline that we saw on 0:13:04.320 --> 0:13:09.199 Thursday was I think rather deleterious to the technical reformations 0:13:09.200 --> 0:13:13.360 on the charts. So I have been call it quietly 0:13:13.400 --> 0:13:16.520 bearish of stocks for a while. I've been overtly and 0:13:16.600 --> 0:13:19.520 manifestly bullets of the gold market, which has made the 0:13:19.600 --> 0:13:23.480 new highs and has acted demonstrably stronger. So I've been 0:13:23.520 --> 0:13:25.560 buried of stocks and bullish of gold. And for the 0:13:25.600 --> 0:13:30.160 past several weeks that's actually been a winning for operation No. 0:13:30.200 --> 0:13:33.280 God to say being bullish on gold certainly has been 0:13:33.280 --> 0:13:35.400 a winning bet for the last couple of weeks. Here 0:13:35.480 --> 0:13:38.319 may how do you explain this run that we've seen 0:13:38.559 --> 0:13:41.400 in gold. I mean, it's been trading in record territory. 0:13:42.000 --> 0:13:44.360 It is in the record territories. It's made new new 0:13:44.440 --> 0:13:49.080 highs this morning. And I blame, for lack of a 0:13:49.080 --> 0:13:52.280 better term, I blame the strength upon on golden to 0:13:52.440 --> 0:13:54.360 a central bank buying. We've seen a lot of central 0:13:54.360 --> 0:13:57.840 bank buying, especially by the Chinese, excuse me, over the 0:13:57.880 --> 0:14:00.720 course of the past several months, and that's begun to 0:14:00.760 --> 0:14:03.880 take its toll. The public is now becoming a little 0:14:03.920 --> 0:14:07.480 bit involved in the market, not dramatically, so it was 0:14:07.520 --> 0:14:09.640 a little disconcerting to me to see the public of 0:14:09.679 --> 0:14:13.079 buying a gold at costco, in buying bars at costco. 0:14:13.160 --> 0:14:16.680 That's usually a sign when the public's in that we've 0:14:16.720 --> 0:14:19.040 run as far as we're going to take any market, 0:14:19.440 --> 0:14:21.040 But I think we've still got a little ways to go. 0:14:21.080 --> 0:14:24.560 It's been central bank buying thus far, and expectations that 0:14:24.760 --> 0:14:28.040 inflation has not been beaten back, that inflationary pressures are 0:14:28.080 --> 0:14:31.880 still extant, and we saw that with the jobs report 0:14:31.920 --> 0:14:35.480 on Friday and the increase in non farm payrolls and 0:14:35.960 --> 0:14:41.480 the rather substance of strength in the earnings. So it's 0:14:41.520 --> 0:14:45.520 been the central bank buying, and I think it has 0:14:45.560 --> 0:14:46.160 far more to go. 0:14:47.720 --> 0:14:50.800 Dennis, We've also been seeing a pretty strong run in 0:14:50.840 --> 0:14:54.520 the oil market as well. How much does geopolitics play 0:14:54.560 --> 0:14:56.400 into the market outlook? 0:14:56.400 --> 0:14:57.600 And we got about a minute left. 0:14:58.040 --> 0:14:59.760 First of all, I've been very bullish of gold or 0:15:00.120 --> 0:15:02.800 of crude oil until about it three or four days ago, 0:15:03.200 --> 0:15:05.720 when the term structure began to change. Normally, in a 0:15:06.080 --> 0:15:09.520 bull market in crude oil on up days and down days, 0:15:09.520 --> 0:15:11.640 the front month gains upon the second third, fourth, and 0:15:11.640 --> 0:15:15.360 fifth contracts. Going back, the vaquidation widens, and what we've 0:15:15.400 --> 0:15:18.800 seen is the market has gone higher, the vaquidation has 0:15:18.840 --> 0:15:23.640 begun to narrow, which I think is disconcerting. So I 0:15:23.760 --> 0:15:26.680 was quite bullish of crude oil and now I'm neutral 0:15:26.720 --> 0:15:29.160 to slightly barish of crude oil. We'll see how the 0:15:29.200 --> 0:15:32.000 term structure functions. But it's been a geopolitical circumstance that 0:15:32.040 --> 0:15:34.480 has driven crude oil prices up, and I think a 0:15:35.040 --> 0:15:37.440 lessening of problems in the Middle East will put crude 0:15:37.440 --> 0:15:40.560 oil prices back down. So I have been bullish on crude. 0:15:40.680 --> 0:15:44.360 Now I'm bearished modestly, so not dramatically so because of 0:15:44.360 --> 0:15:46.360 the change in the term structure, which has always been 0:15:46.360 --> 0:15:48.880 a leading indicator in the crude oil market. 0:15:49.120 --> 0:15:52.760 All right, well, we'll see where commodities and risk assets 0:15:52.800 --> 0:15:54.920 go as we make our way through this week. Thank 0:15:55.000 --> 0:15:57.640 you Dennis, as always a Dennis Gartman there with us 0:15:57.680 --> 0:15:59.920 this morning, the chairman of the University of Akron and 0:16:00.040 --> 0:16:03.360 down An Investment Committee and the former publisher of the 0:16:03.400 --> 0:16:07.560 Gartman Letter. 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