Global Rally Following Fed Decision, Reddit Set to Debut

Bloomberg Audio Studios, Podcasts, Radio News. 0:00:11.000 --> 0:00:11.559 Good morning. 0:00:11.600 --> 0:00:14.440 I'm Nathan Hager and I'm Karen Moscow. Here are the 0:00:14.480 --> 0:00:15.960 stories we're following today. 0:00:17.200 --> 0:00:20.599 The markets and gold enter the trading day in record territory. 0:00:20.640 --> 0:00:23.520 It's after the Fed signal that remains on track for 0:00:23.640 --> 0:00:27.159 three interest right cuts this year. The recent pickup and 0:00:27.200 --> 0:00:30.800 inflation did not sway FED share j Powell's message that 0:00:30.880 --> 0:00:33.360 it is likely appropriate to lower rates. 0:00:34.000 --> 0:00:36.319 We believe that our policy rate is likely at its 0:00:36.360 --> 0:00:39.760 peak for this tightening cycle, and that if the economy 0:00:39.760 --> 0:00:43.320 evolves broadly as expected, it will likely be appropriate to 0:00:43.400 --> 0:00:47.280 begin dialing back policy restraint at some point this year. 0:00:47.680 --> 0:00:51.000 The economic outlook is uncertain, however, and we remain highly 0:00:51.040 --> 0:00:52.680 attentive to inflation risks. 0:00:53.200 --> 0:00:55.440 Chairman Powell also said it would be appropriate to slow 0:00:55.440 --> 0:00:58.120 the pace at which the FED reduces its bond holdings 0:00:58.280 --> 0:00:59.000 fairly soon. 0:01:00.200 --> 0:01:03.400 Reaction is still pouring into the Fed maintaining its rate 0:01:03.440 --> 0:01:06.160 cutout look. We caught up with former New York Fed 0:01:06.160 --> 0:01:09.520 President and current Bloomberg Opinion columnist Bill Dudley. 0:01:09.760 --> 0:01:12.440 We still think mantary policy is tight. We still think 0:01:12.440 --> 0:01:14.720 we're going to get more confident about getting inflation down 0:01:14.800 --> 0:01:16.679 to two percent, and so we still think we're going 0:01:16.760 --> 0:01:18.680 to cut rates this year time. He's uncertain, and he 0:01:19.040 --> 0:01:20.920 said over and over again, it depends on the data. 0:01:21.480 --> 0:01:24.240 And former New York Fed President Bill Dudley added that 0:01:24.319 --> 0:01:26.840 he thinks the Fed is still committed to getting inflation 0:01:27.000 --> 0:01:28.679 down to two percent, so, Karen. 0:01:28.680 --> 0:01:31.120 While the Fed held steady yesterday, there's been a surprise 0:01:31.200 --> 0:01:34.640 from the Swiss National Bank. It unexpectedly cut rates a 0:01:34.680 --> 0:01:38.480 quarter point to one point five percent. The Frank tumbled 0:01:38.520 --> 0:01:41.520 after the decision, falling more than one percent against the dollar. 0:01:41.840 --> 0:01:43.880 Later this morning, the Bank of England is likely to 0:01:43.959 --> 0:01:47.080 keep its interest rates at a sixteen year high. 0:01:47.120 --> 0:01:49.960 Well staying in Europe. And Nathan job cuts coming to Berkley's. 0:01:50.360 --> 0:01:53.600 Bloomberg News has learned the UK lender is preparing to 0:01:53.600 --> 0:01:57.160 cut several hundred jobs within its investment bank division. The 0:01:57.160 --> 0:01:59.520 move comes as the firm embarks on a year's long 0:01:59.600 --> 0:02:02.560 effort to trim costs and boost profits within the unit. 0:02:02.840 --> 0:02:05.080 And we're looking at the pair of initial public offerings 0:02:05.160 --> 0:02:07.720 this morning, Karen, it was quite the Wall Street debut 0:02:07.840 --> 0:02:11.799 for Esterra Labs. The semiconductor connectivity company, soared more than 0:02:11.880 --> 0:02:14.800 seventy percent on its first day of trading, giving a 0:02:14.840 --> 0:02:17.080 Stera a market value of almost nine and a half 0:02:17.160 --> 0:02:18.040 billion dollars. 0:02:18.440 --> 0:02:21.919 And today, Nathan, another highly anticipated IPO hits the market. 0:02:21.960 --> 0:02:25.280 We get the details from Bloomberg's John Tucker, John and Karen. 0:02:25.560 --> 0:02:29.040 Reddit begins trading after pricing its IPO with thirty four 0:02:29.120 --> 0:02:32.679 dollars a share that's the top of the expected range. 0:02:32.840 --> 0:02:35.000 The offering values to the company at almost six and 0:02:35.040 --> 0:02:38.520 a half billion dollars. That website that hosts millions of 0:02:38.520 --> 0:02:41.959 online forums, is nineteen years old and has a fiercely 0:02:42.080 --> 0:02:45.919 loyal customer base. While its core business is online advertising, 0:02:46.120 --> 0:02:50.240 the real attraction is the ability to train artificial intelligence models. 0:02:50.560 --> 0:02:55.840 Bloomberg intelligence analysts expect big providers like open Ai, Google, Apple, Amazon, 0:02:55.840 --> 0:02:59.040 and Meta to pay for Reddit's data. They expected to 0:02:59.080 --> 0:03:02.600 eventually fetch them multiple closer to ten billion dollars. The 0:03:02.680 --> 0:03:06.920 ticker symbol again RDDT, John Tucker, Bloomberg Radio. 0:03:06.840 --> 0:03:09.480 Looking at some other company news, Karen, The Justice Department 0:03:09.600 --> 0:03:13.160 is planning to file a lawsuit against Apple, perhaps as 0:03:13.160 --> 0:03:16.800 soon as today. More from Bloomberg's Doug Prisner, we're told 0:03:16.840 --> 0:03:20.280 Apple will be accused of violating antitrust laws by blocking 0:03:20.400 --> 0:03:24.000 rivals from accessing hardware and software features on the iPhone. 0:03:24.120 --> 0:03:27.040 The case will mark the third time the dojsuit Apple 0:03:27.240 --> 0:03:30.600 for anti trust violations in the past fourteen years, but 0:03:30.680 --> 0:03:33.120 this case is the first to accuse the company of 0:03:33.200 --> 0:03:37.680 illegally maintaining its dominant position. Apple is also under increased 0:03:37.720 --> 0:03:42.040 scrutiny in Europe over alleged anti competitive behavior. Earlier this month, 0:03:42.080 --> 0:03:44.520 the company was hit with a two billion dollar fine 0:03:44.720 --> 0:03:48.480 for shutting out music streaming rivals from offering cheaper deals 0:03:48.920 --> 0:03:50.840 in New York. I'm Doug Prisoner Bloomberg Radio. 0:03:50.960 --> 0:03:51.720 Okay, Doug. Thanks. 0:03:51.720 --> 0:03:53.560 Looking at shares of Apple and the pre market. They 0:03:53.560 --> 0:03:55.520 are down one percent. 0:03:55.480 --> 0:03:57.920 Well on the flip side, and Nathan shares a Micron 0:03:58.000 --> 0:04:02.280 Technology surging more than sixteen percent. The company delivering a 0:04:02.360 --> 0:04:05.040 strong revenue forecast for the current quarter. We get the 0:04:05.080 --> 0:04:06.880 story from Bloomberg's Charlie Pillett. 0:04:07.240 --> 0:04:10.720 Micron is the largest American maker of computer memory chips, 0:04:10.760 --> 0:04:15.000 and it was boosted by demand for artificial intelligence hardware. 0:04:15.480 --> 0:04:18.800 Micron Technology said fiscal third quarter revenue will be in 0:04:18.839 --> 0:04:21.560 the range of six point four to six point eight 0:04:21.560 --> 0:04:25.559 billion dollars that compares with an average analyssessimate of five 0:04:25.640 --> 0:04:29.280 point nine to nine billion micron and its rivals are 0:04:29.320 --> 0:04:32.279 emerging from one of the worst slumps the memory chip 0:04:32.320 --> 0:04:37.159 industry has suffered, triggered by weak demand for PCs and smartphones. 0:04:37.600 --> 0:04:41.120 In New York, Charlie Pellett, Bloomberg Radio, All right, Charlie, 0:04:41.160 --> 0:04:43.040 thank you. Turning to politics now. 0:04:43.080 --> 0:04:45.640 The text is out on the deal to keep most 0:04:45.680 --> 0:04:48.800 government agencies open through the end of September. We get 0:04:48.839 --> 0:04:51.680 the details from Bloomberg. Steve Podisk in Washington. 0:04:51.839 --> 0:04:54.520 The one point two trillion dollar package is backed by 0:04:54.560 --> 0:04:57.880 President Biden and leaders of both parties, and comes before 0:04:57.920 --> 0:05:01.280 a Saturday deadline for a partial gu government shutdown. It 0:05:01.360 --> 0:05:05.719 expands detention facilities for migrants, imposes a six percent funding 0:05:05.800 --> 0:05:09.040 cut on the State Department and Foreign Aid, and bans 0:05:09.200 --> 0:05:13.560 US embassies from flying LGBTQ Pride flags or other non 0:05:13.800 --> 0:05:18.240 US official flags. The spending bill funds roughly three quarters 0:05:18.240 --> 0:05:21.880 of US agency budgets, including the Departments of Defense and 0:05:21.920 --> 0:05:25.080 Homeland Security, for the remainder of the federal fiscal year. 0:05:25.440 --> 0:05:28.880 Congress approved funding for the other agencies earlier this month. 0:05:29.200 --> 0:05:31.760 In Washington, Steve Podisk Bloomberg Radio. 0:05:32.000 --> 0:05:34.479 All right, Steve, thanks, So he turned to geopolitics now, 0:05:34.480 --> 0:05:37.560 and the US is now pushing for an immediate ceasefire 0:05:37.640 --> 0:05:40.680 in Gaza, tied to the release of hostages held by Hamas. 0:05:41.040 --> 0:05:44.240 Secretary of State Anthony Blincoln says the US is circulating 0:05:44.279 --> 0:05:48.039 a draft resolution at the UN Security Council calling for 0:05:48.120 --> 0:05:51.280 a ceasefire. He made the announcement in Saudi Arabia, where 0:05:51.320 --> 0:05:54.920 State Department spokesman and Veden Patel says he urged Israel 0:05:55.000 --> 0:05:56.159 to exercise caution. 0:05:56.760 --> 0:06:00.680 There should be no full scale military operation and RAFA 0:06:00.760 --> 0:06:05.000 without a credible and executable plan to protect the civilian opera, 0:06:05.279 --> 0:06:06.240 civilian population. 0:06:06.760 --> 0:06:09.480 And Vadam Patanel is at the State Department. Till now, 0:06:09.600 --> 0:06:12.320 the US has used its veto power at the UN 0:06:12.360 --> 0:06:15.680 to block calls for an immediate ceasefire in Gaza. 0:06:15.279 --> 0:06:15.680 Thank Karin. 0:06:15.720 --> 0:06:18.680 Another top Biden administration official is on a surprise trip 0:06:18.720 --> 0:06:22.080 to Ukraine. National Security Advisor Jake Sullivan is in Kiev, 0:06:22.360 --> 0:06:25.440 where he promised the House will approve sixty billion dollars 0:06:25.480 --> 0:06:29.480 installed AID. Here's White House National Security spokesman John Kirby. 0:06:29.240 --> 0:06:31.760 Distrusted the urgent need for the US House of Representatives 0:06:31.800 --> 0:06:35.080 to pass the National Security Supplemental to meet Ukraine's critical 0:06:35.080 --> 0:06:36.760 battlefield and humanitarian needs. 0:06:36.800 --> 0:06:39.640 White House spokesman John Kirby spoke aboard Air Force One. Meanwhile, 0:06:39.680 --> 0:06:42.200 Kiev woke up this morning to its first large scale 0:06:42.240 --> 0:06:44.960 attack from Russia in more than a month. Ukraine says 0:06:45.000 --> 0:06:47.719 it shot down thirty one missiles that Russia fired on 0:06:47.760 --> 0:06:48.599 the capital today. 0:06:48.640 --> 0:06:50.160 Thirteen people were hurt. 0:06:53.680 --> 0:06:55.599 And we turned out to some of the other stories 0:06:55.600 --> 0:06:57.839 making news in New York and around the world, and 0:06:57.880 --> 0:07:00.000 for that we're joined by Bloomberg's and Michael Barr. 0:07:00.040 --> 0:07:01.760 Michael, good Morning, Good morning, Karen. 0:07:01.839 --> 0:07:05.240 In Haiti, arm gangs are launching deadly new attacks in 0:07:05.279 --> 0:07:08.440 the suburbs of Porter of Prince. People under fire are 0:07:08.480 --> 0:07:12.160 pleading for help from Haiti's National Police Force. Meanwhile, a 0:07:12.240 --> 0:07:16.400 Florida State chartered plane from Haiti arrived yesterday at Orlando's 0:07:16.400 --> 0:07:21.440 Sandford International Airport after evacuating about fourteen individuals trapped in 0:07:21.480 --> 0:07:25.880 the country amid the ongoing humanitarian crisis. This man's son 0:07:26.040 --> 0:07:26.600 was rescued. 0:07:26.720 --> 0:07:29.280 It was very stressful. I can happily say was a 0:07:29.840 --> 0:07:33.760 mission accomplished and we're finally reunited with junion, our two 0:07:33.800 --> 0:07:36.400 year old son, that these were turning into weeks, the 0:07:36.440 --> 0:07:37.800 weeks were turning into months. 0:07:38.080 --> 0:07:41.880 Florida Executive Director of Emergency Management Kevin Guthrie. 0:07:42.040 --> 0:07:45.559 You obviously saw tears, you saw laughter, you saw joy. 0:07:46.000 --> 0:07:47.760 I'll tell you there's. 0:07:47.560 --> 0:07:51.240 Nothing more gratifying as name of director than to see that. 0:07:51.720 --> 0:07:55.600 Emergency Management Director Kevin Guthrie says hundreds of Floridians are 0:07:55.640 --> 0:07:59.480 seeking evacuation from the country. A charter bus company that 0:07:59.560 --> 0:08:02.560 transport its migrants from Texas to the New York area 0:08:02.800 --> 0:08:05.760 has agreed to stop doing that for now. It comes 0:08:05.840 --> 0:08:09.160 as a lawsuit is pending against road Runner Charners. The 0:08:09.200 --> 0:08:12.160 New York City Department of Social Services filed a lawsuit 0:08:12.160 --> 0:08:15.960 against Roadrunner and more than a dozen other bus companies. 0:08:16.240 --> 0:08:19.840 According to the suit, the charter bus companies are implementing 0:08:19.880 --> 0:08:23.720 Texas Governor Abbott's bad faith plan to bring migrants to 0:08:23.800 --> 0:08:26.920 New York and should be held liable for the city's 0:08:26.960 --> 0:08:30.920 costs of care. Former President Donald Trump is running out 0:08:30.920 --> 0:08:33.960 of time to at least post a bond to appeal 0:08:34.040 --> 0:08:37.480 as New York civil fraud judgment. By Monday, Trump could 0:08:37.480 --> 0:08:40.640 be forced to surrender some of his properties to help 0:08:40.679 --> 0:08:43.720 pay the four hundred and fifty four million dollars. Trump's 0:08:43.800 --> 0:08:47.640 lawyers have claimed that more than thirty insurance companies rejected 0:08:47.679 --> 0:08:51.760 his bond bids, but New York Attorney General Letitia James 0:08:52.000 --> 0:08:55.560 dismissed their argument that he can't find the money, saying 0:08:55.600 --> 0:08:59.800 there is nothing unusual about even billion dollar judgments being 0:08:59.840 --> 0:09:00.680 for bonded. 0:09:01.200 --> 0:09:04.040 If he does not have funds to pay off the judgment, 0:09:04.600 --> 0:09:09.600 and then we will seek judgment enforcement mechanisms in court, 0:09:10.240 --> 0:09:13.320 and we will ask the judge to seize his assets. 0:09:13.720 --> 0:09:17.000 It's part of last month's ruling accusing Trump and others 0:09:17.200 --> 0:09:20.559 of deceiving banks and insurers by inflating his wealth. And 0:09:20.679 --> 0:09:24.120 October eighth trial date is set in the case of 0:09:24.160 --> 0:09:27.680 a marine veteran charged with manslaughter and the chokehold death 0:09:27.679 --> 0:09:30.560 of a subway writer in New York City. Witnesses say 0:09:30.600 --> 0:09:34.199 Daniel Penny, who was twenty five, was restraining Jordan Neeley 0:09:34.280 --> 0:09:38.199 after Neely was acting erratically on the train. President Joe 0:09:38.200 --> 0:09:40.800 Biden says he is for giving nearly six billion dollars 0:09:40.880 --> 0:09:44.600 in federal student net for almost seventy eight thousand Americans 0:09:44.600 --> 0:09:49.440 working in public service. Biden says. Those helped include teachers, nurses, 0:09:49.480 --> 0:09:52.800 and firefighters. Global news twenty four hours a day and 0:09:53.160 --> 0:09:55.920 whenever you want it with the Bloomberg News. Now, I'm 0:09:55.920 --> 0:09:58.600 Michael Barr, and this is Bloomberg Karen. 0:09:58.760 --> 0:10:05.240 All right, Michael Barr, thank you. It's time now for 0:10:05.240 --> 0:10:08.800 the Bloomberg Sports Update, brought to you by Tri State Outie, 0:10:08.840 --> 0:10:10.280 and we bring in John stash Hour. 0:10:10.360 --> 0:10:10.560 John. 0:10:10.559 --> 0:10:14.080 Good morning, morning, Karen. Get out your brackets. NCAA tournament 0:10:14.080 --> 0:10:18.240 againzine Ernest Today. Games in Pittsburgh, Charlotte, Omahon, Salt Lake City. 0:10:18.280 --> 0:10:19.840 The Wagner Seahawks, who. 0:10:19.679 --> 0:10:21.880 Got their first ever NCAA win the other night, will 0:10:21.880 --> 0:10:24.440 try to be the third ever sixteen seed to beat 0:10:24.440 --> 0:10:26.760 a one. They take it on North Carolina. Saint Peter's 0:10:27.120 --> 0:10:29.360 shopped the world two years ago with a Cinderella run 0:10:29.400 --> 0:10:31.160 to the Elite eighth. The Peacocks are back as a 0:10:31.200 --> 0:10:34.959 fifteen seed. They'll take on Tennessee and Dayton. Colorado took 0:10:34.960 --> 0:10:38.120 out Boise State. Grambling had never before played an nc 0:10:38.240 --> 0:10:40.959 DOUBLEA game. Now moving on with an overtime win over 0:10:41.080 --> 0:10:43.720 Montana State, Celtics r up by twenty one held on 0:10:43.840 --> 0:10:45.720 beat the Bucks in Boston won twenty two to one. 0:10:45.800 --> 0:10:46.120 Nineteen. 0:10:46.160 --> 0:10:49.160 Milwaukee was without the Injurediannis under the company. These are 0:10:49.160 --> 0:10:51.120 the top two teams in the East, but the Celtics 0:10:51.160 --> 0:10:54.800 are eleven games ahead. Warriors beat Memphis. Nicks go for 0:10:54.840 --> 0:10:56.839 a four to zero road trip tonight in Denver. The 0:10:56.920 --> 0:10:59.680 Rangers visit Boston. The Capitol is lost in Toronto. Seven 0:11:00.480 --> 0:11:02.839 in Tampa. Not a bad night for the Yankees. Gihnty 0:11:02.840 --> 0:11:05.760 Carlos Stanton, who comes off such a down season. Two 0:11:05.840 --> 0:11:08.680 run homer in the first inning, grand slam in the second, 0:11:08.679 --> 0:11:11.040 another two run shot on the fourth. The Yankees beat 0:11:11.080 --> 0:11:13.719 the Firates twelve to nothing. Aaron Judge was back in 0:11:13.760 --> 0:11:15.800 the lineup first time in ten days. The Dodgers and 0:11:15.840 --> 0:11:18.640 Padres are back this morning in Seoul. LA won the 0:11:18.640 --> 0:11:21.079 season opener five to two. Shoeotani had a couple of 0:11:21.120 --> 0:11:24.480 hits in his Dodger debut, his new teammate with rookie Betts. 0:11:24.920 --> 0:11:27.480 You know, really just seeing him get work, seeing him 0:11:27.880 --> 0:11:30.800 just do simple things, well what I think, it's simple, 0:11:30.880 --> 0:11:34.560 just better than everybody else's. It's really neat. It's really 0:11:34.600 --> 0:11:36.960 neat to see. But I'm really looking forward to seeing 0:11:37.320 --> 0:11:40.320 all the things that he's gonna accomplish. But I haven't 0:11:40.360 --> 0:11:43.600 really got to really dive in and see some eye 0:11:43.640 --> 0:11:45.400 opening stuff, but I know it's coming really soon. 0:11:45.440 --> 0:11:48.199 And Otani's in the news because his longtime interpreter, who 0:11:48.200 --> 0:11:50.920 we had a very close relationship with, has been fired. 0:11:50.960 --> 0:11:53.400 He's been accused of stealing millions from Otani to pay 0:11:53.440 --> 0:11:56.160 for gambling debts. John Stansheward, Bloomberg Sports. 0:11:56.200 --> 0:11:58.679 Now, let's get more on the FED decision, the latest 0:11:58.760 --> 0:12:02.600 pause from chairman Howe and company. Jennifer Lee is with 0:12:02.679 --> 0:12:07.560 us now, the senior economist at BMO Capital Markets. Boy, Jen, sure, 0:12:07.640 --> 0:12:10.840 sounds like the fed's bias is toward rate cuts. What 0:12:10.840 --> 0:12:14.000 did you make of the messaging from a chairman powelling company? 0:12:14.559 --> 0:12:16.400 Oh, well, good morning and thanks for having me on. 0:12:16.480 --> 0:12:18.760 You know, my first thought was, okay, so you guys 0:12:19.080 --> 0:12:24.400 raised GDP, you lowered unemployment, and you raised your core 0:12:24.480 --> 0:12:28.920 PC this flater forecast, and yet you're still looking for, 0:12:29.240 --> 0:12:31.200 you know, only three rate cuts, which I thought was 0:12:31.240 --> 0:12:33.400 quite interesting and I was confused, you know, but it 0:12:33.440 --> 0:12:36.040 sounds almost like a glory loog situation. You know, the 0:12:36.040 --> 0:12:39.080 soft landing narrative is generally playing out in the in 0:12:39.160 --> 0:12:41.360 their mind. But what was interesting is that I also 0:12:41.400 --> 0:12:43.640 thought that because the fact that he was very cautious 0:12:43.679 --> 0:12:45.840 still and then he said that there was still very 0:12:45.920 --> 0:12:49.079 much two sided risks to this whole thing. So it's 0:12:49.080 --> 0:12:52.959 still you know, patience is definitely still the narrative I 0:12:53.000 --> 0:12:53.640 guess of today. 0:12:54.240 --> 0:12:56.400 I think I hear a little bit of skepticism in 0:12:56.440 --> 0:12:59.160 your tone of the soft landing narrative. 0:12:59.160 --> 0:13:00.120 Am I right to hear that? 0:13:01.000 --> 0:13:01.200 You know? 0:13:01.640 --> 0:13:03.240 I hate to say this, but I mean I would 0:13:03.240 --> 0:13:05.160 love to have that soft landing, But sometimes I wonder 0:13:05.200 --> 0:13:07.600 what are we missing? What could go wrong? And and 0:13:07.640 --> 0:13:09.760 you know, I mean, so the problem is that ifflation 0:13:09.960 --> 0:13:13.640 does remain still sticky. You know, there's a possibility that 0:13:13.640 --> 0:13:17.040 we could see you know, fewer rate cuts than what's 0:13:17.040 --> 0:13:19.960 still priced in right now. I mean, it's still fairly 0:13:20.040 --> 0:13:23.040 early in the in the year, so you know, a 0:13:23.040 --> 0:13:24.880 lot and a lot of things could you know, potentially 0:13:25.240 --> 0:13:27.640 I think, go wrong. So we'll have to stay very 0:13:27.640 --> 0:13:31.000 cautious and nimble is another key word that we use 0:13:31.040 --> 0:13:33.640 these days, and see how things play out. But right now, 0:13:33.640 --> 0:13:36.079 you know, I think we're pretty comfortable with our first 0:13:36.760 --> 0:13:37.960 rate cut call of July. 0:13:38.920 --> 0:13:40.800 In July as a post to June, can you go 0:13:40.840 --> 0:13:44.800 a little bit more into what you're seeing that has 0:13:44.800 --> 0:13:47.880 you thinking that maybe inflation could be a little stickier 0:13:47.880 --> 0:13:51.080 than the Chairman Palace seemed to indicate when he sort 0:13:51.080 --> 0:13:53.319 of shrugged off the hot raids we've had over the 0:13:53.360 --> 0:13:55.000 last couple of months. 0:13:55.280 --> 0:13:57.080 I think we're going to just need like a few 0:13:57.080 --> 0:13:59.360 more and only because you know, we've had two surprise 0:14:00.320 --> 0:14:03.080 inflation reading is one was like super hot in January 0:14:03.080 --> 0:14:05.200 and then we you know, everyone including us thought there 0:14:05.200 --> 0:14:07.600 would be some reversal in February, and we didn't see 0:14:07.600 --> 0:14:10.360 that in both the CPI and the PPI. So this 0:14:10.440 --> 0:14:12.560 is where, you know, this is where we're already keep 0:14:12.559 --> 0:14:14.360 an eye on things, especially on the end the wage 0:14:14.360 --> 0:14:16.800 front as well, even though wage it's had been coming down. 0:14:16.840 --> 0:14:18.800 But you know, the good news is, you know, that's 0:14:18.840 --> 0:14:21.120 it's great for consumers. It's great for workers that they 0:14:21.160 --> 0:14:23.480 have an income, that they have money coming in still 0:14:23.520 --> 0:14:25.480 the help support spending and whether or they're going to 0:14:25.480 --> 0:14:27.840 spend it all, you know that will remain to be seen. 0:14:28.600 --> 0:14:29.680 You know, you don't have to spend it all. It 0:14:29.680 --> 0:14:31.520 can keep it all for a rainy day. But again, 0:14:31.560 --> 0:14:34.920 I think just keeping an eye on the overall molebentim 0:14:34.960 --> 0:14:37.200 of the consumer. You know, we obviously class of sowing 0:14:37.440 --> 0:14:40.560 in retail sales growth over the last over the beginning 0:14:40.560 --> 0:14:42.840 of the year, so see how that plays out. So 0:14:42.960 --> 0:14:44.880 this is what we're kind of keeping eye on, is 0:14:44.920 --> 0:14:47.200 particularly the consumer and the strength of the consumer. 0:14:48.000 --> 0:14:50.360 Does the dot plot support the tone that we heard 0:14:50.360 --> 0:14:52.960 from Chairman Pale. It seemed like more FED voters were 0:14:53.000 --> 0:14:55.800 calling for just two cuts this year and the media 0:14:55.920 --> 0:14:57.640 next year is only three. 0:14:58.600 --> 0:15:01.560 Yeah, so that was kind of interesting. So it's you know, Celtics, 0:15:01.280 --> 0:15:03.800 so more a few more of the officials are are 0:15:03.920 --> 0:15:07.600 also questioning, you know, the number of of of moves, 0:15:07.600 --> 0:15:09.960 but it can also swing the other way. And it's 0:15:10.000 --> 0:15:14.400 interesting because Bill Dudley yesterday afterwards was also sort of 0:15:14.960 --> 0:15:17.320 downplaying the role of the dot plots even though everyone 0:15:17.320 --> 0:15:20.000 always you know, watches out very carefully. But I find 0:15:20.000 --> 0:15:23.120 that FED officials always sorted be very cautious where of 0:15:23.160 --> 0:15:25.280 watching too much into the dots. But you know, that's 0:15:25.280 --> 0:15:27.720 all we have to go by to see what what 0:15:27.800 --> 0:15:30.920 the officials are the committee overall is thinking. But overall, 0:15:30.960 --> 0:15:33.120 you know, the meeting is still for three cuts and 0:15:33.120 --> 0:15:35.280 and you know, I think that's still a fair assessment, 0:15:35.400 --> 0:15:37.120 you know, until until it's not. And I hate it 0:15:37.160 --> 0:15:39.920 sound wishy washy, but that's you know, we're all data dependent, 0:15:40.200 --> 0:15:42.600 We're all you know, we're not going on a meeting 0:15:42.600 --> 0:15:45.400 by meeting basis. We're not calendar dependent, you know, as 0:15:45.440 --> 0:15:48.640 as President Leguard would say, so again, just keep watching 0:15:48.680 --> 0:15:50.720 the data, keep watching wages, and keep watching consumers. 0:15:50.720 --> 0:15:51.040 Setting. 0:15:53.520 --> 0:15:56.600 This is Bloomberg Daybreak Today, your morning brief on the 0:15:56.640 --> 0:16:00.000 stories making news from Wall Street to Washington and beyond. 0:16:00.320 --> 0:16:03.080 Look for us on your podcast feed at six am 0:16:03.160 --> 0:16:06.840 Eastern each morning, on Apple, Spotify, and anywhere else you 0:16:06.880 --> 0:16:08.040 get your podcasts. 0:16:08.200 --> 0:16:10.880 You can also listen live each morning starting at five 0:16:10.920 --> 0:16:13.520 am Wall Street time on Bloomberg eleven three to zero 0:16:13.600 --> 0:16:17.000 in New York, Bloomberg ninety nine one in Washington, Bloomberg 0:16:17.080 --> 0:16:20.080 one oh sixty one in Boston, and Bloomberg ninety sixty 0:16:20.200 --> 0:16:21.160 in San Francisco. 0:16:21.560 --> 0:16:24.680 Our flagship New York station is also available on your 0:16:24.760 --> 0:16:29.840 Amazon Alexa devices. Just say Alexa play Bloomberg eleven thirty. 0:16:29.880 --> 0:16:33.680 Plus listen coast to coast on the Bloomberg Business app. SERIUSXM, 0:16:33.760 --> 0:16:38.000 Theiheartradio app and on Bloomberg dot Com. I'm Nathan Hager. 0:16:37.800 --> 0:16:38.960 And I'm Karen Moscow. 0:16:39.160 --> 0:16:41.920 Join us again tomorrow morning for all the news you 0:16:42.040 --> 0:16:45.280 need to start your day right here on Bloomberg Daybreak