I AM MARK CRUMPTON. THIS IS BLOOMBERG.
♪
>> WELCOME TO "BLOOMBERG MARKETS." RITIKA:
LET'S GET A QUICK CHECK ON THE MARKETS.
GREEN ON THE SCREEN WHEN IT COMES TO THE S&P 500, A FAST
AND FURIOUS RALLY BACK FROM THE DIP WE SAW YESTERDAY UP 1.6%.
IT IS NOT JUST THE STOCK MARKET CATCHING MY EYE.
YOU ALSO HAVE TO LOOK AT THE TWO YEAR YIELD COME UP 10 BASIS
POINTS, A MASSIVE JUMP OFF OF THE RETAIL SALES DATA THAT CAME
IN STRONGER-THAN-EXPECTED AT THE END OF THE DAY.
THE AMERICAN CONSUMER IS SPENDING BUT TAKE A LOOK AT
THIS, THE DOLLAR WEAKER. THIS IS IMPORTANT, THE
CORRELATION, INVERSE CORRELATION BETWEEN THE DOLLAR
AND STOCK MARKET STILL EXTREME LEHIGH WHICH TELLS YOU WHEN THE
DOLLAR IS WEAKER, THAT IS INCENTIVE OR PEOPLE TO HOP INTO
THE MARKET AND LOOKS LIKE PEOPLE ARE TAKING THAT
OPPORTUNITY. WE SHOULD ALSO MENTION THE
BLOOMBERG COMMODITY INDEX FOOD AND OIL PRICES, EVEN COPPER AND
METAL PRICES ALL HIGHER ON THE DAY.
>> WE DO AN UPDATE VIEWERS ON THE PERFORMANCE OF DOW
COMPONENT BOEING TODAY. MARK CRUMPTON WAS TELLING US
THE STORY. BOEING SHARES SHARES OF CLOSE
TO 6% ON THE HEADLINES ABOUT CHINA EASTERN.
BLACK BOX, BASED ON THIS REPORTING FROM "THE WALL STREET
JOURNAL," THE IMPLICATION IT COULD HAVE
BEEN INTENTIONALLY NOSEDIVED BY THE PILOT.
WE ARE WAITING FOR MORE DETAILS BUT WHEN IT COMES TO LIABILITY
OR RESPONSIBILITY, THE MARKET WATCHING THAT CLOSELY.
ALSO, GOT HEADLINES ON CHINA SOUTHERN.
737 MAX IN CHINA MENTIONING MORE THAN 100 JETS ARE NO
LONGER PART OF THEIR PLANS FOR NOW, CITING SOME DELAYS ON
UNCERTAINTY. A LOT TO WATCH ON BOEING.
WE HAVE UPDATED YOU ON NEWS ABOUT TWITTER.
THIS TIME THE SCOOP FROM BLOOMBERG COLLEAGUES ABOUT THE
COMPANY LOSING THREE MORE SENIOR EMPLOYEES, INCLUDING TWO
VICE PRESIDENTS, AS STAFFERS WAIT FOR ELON MUSK'S
ACQUISITION. ED LUDLOW JOINS US WITH MORE
DETAILS. WHAT CAN YOU TELL US ABOUT
STAFF DEPARTURES? ED: THESE THREE DEPARTURES IN
QUESTION WITH SENIOR MANAGERS, TWO VICE PRESIDENT SET AHEAD OF
DEPARTMENT, SAYS THEY LEFT OF THEIR OWN VOLITION.
THEY WERE NOT FIRED. THEY WERE GIVEN THE OPPORTUNITY
TO SEND A MESSAGE ROUND INTERNALLY EXPLAINING REASONS
FOR LEAVING. THIS IS THE LATEST WAVE OF
RESTRUCTURING. THREE DEPARTURES HOT UP TWO
SENIOR DEPARTURES LAST WEEK. WE ARE HEARING FROM INSIDE IT
IS WAIT AND SEE MODE. THEY ARE TRYING TO GET ON WITH
BUSINESS AS USUAL BUT THE STATE OF THIS BID BY ELON MUSK IS NOT
CLEAR BECAUSE OF ELON MUSK.
HE HAS PUT IT ON "TEMPORARY HOLD " DUE TO CONCERNS OF
PROPORTIONATE USERS ON THE PLATFORM.
HIS ASSESSMENT OF THAT VERSUS WHAT THE COMPANY ARE TELLING
HIM IS TRUE. KRITI: THIS FOLLOWS SOME OTHER LAYOFFS
WITHIN THE COMPANY. CAN YOU SPEAK A LITTLE BIT
ABOUT THAT PART OF THE EQUATION? ED: YES.
LAST WEEK, AT THE END OF LAST WEEK, ONE OF THE SENIOR VICE
PRESIDENT OF THE COMPANY WAS ASKED TO LEAVE BY THE CEO.
HE TWEETED THAT HE WAS DISAPPOINTED.
ELON MUSK HAS BEEN TAKING MEETINGS WITH TWITTER
LEADERSHIP AND DISCUSSING A NUMBER OF THINGS.
THE MAIN ISSUE CONTINUES TO BE BOTS. TWITTER HAS REITERATED IN
PUBLIC STATEMENTS THAT THE NUMBER OF BOTS IS LESS THAN 5%
ALTHOUGH THERE IS A MARGIN OF ERROR.
WHAT WE UNDERSTAND FROM THE CEO IS HE MET WITH ELON MUSK'S
SEVEN DAYS AGO, EXPLAINED THE METHODOLOGY OF HOW THIS IS THE
CASE. THERE ARE TWO THINGS HAPPENING,
DEPARTURES FROM THE COMPANY, LONG-STANDING EXECUTIVES THAT
HAVE BEEN A BIG PART OF TWITTER IN THE LAST YEARS.
AT THE SAME TIME, THE MANAGEMENT ARE TRYING TO GET
THIS DEAL DONE .
TWITTER'S BOARD ADVISED INVESTORS TO VOTE IN FAVOR OF
THE ACQUISITION. KRITI: ED LUDLOW BRINGING US THAT
SCOOP. APPRECIATE IT AS ALWAYS. LET'S LOOK AT ONE OF THE MAJOR
STORES FROM THIS MORNING. EARNINGS FROM WALMART AND HOME
DEPOT INDICATE CONSUMERS ARE STILL SPENDING DESPITE THE
HIGHER PRICES.
KUHN HIM PUNAM JOINS US NOW. WE SEE STRONG RETAIL SALES DATA.
WHAT IS THE PROBLEM HERE? REPORTER: IT IS ONLY INFLATION.
FROM TOPLINE PERSPECTIVE OF SALES THE CONSUMER IS SPENDING.
WE SAW THAT IN THE RETAIL SALES NUMBERS THIS MORNING WITH THE
ESTIMATE. WE ALSO SAW IT IN WALMART AND
HOME DEPOT.
THERE IS NO SIGNS THAT THE CONSUMER IS SLOWING DOWN IN ANY
MEANINGFUL WAY.
HOME DEPOT POSTED AN INCREASE. THAT WAS INTERESTING TO US
BECAUSE WE HAVE BEEN HEARING FROM WAYFAIR AND OTHERS ABOUT
TOUGHER COMPARISONS.
WE MOVE OFF-PEAK PANDEMIC DEMAND BUT THAT WAS NOTHING
CASE AT HOME DEPOT. VERY ENCOURAGING. JON:
LOOKING AT THE REACTION IN WALMART SHARES TODAY AND THE
INFLATION REALITIES THEY ARE DEALING WITH FOR THE BUSINESS,
ARE YOU GETTING A SENSE AS YOU HEAR FROM THESE RETAILERS THAT
THERE ARE CERTAIN PLAYERS THAT MIGHT EASILY PASS ON HIGHER
COSTS. AND OTHERS WHERE THE LOWER
PRICE FOR THE CONSUMER IS A PRIORITY WHERE THEY WILL TRY TO
NAVIGATE THAT? POONAM: WHEN YOU TALK ABOUT INFLATION
PASSING PRICE INCREASES ON, THE
RETAILERS ART ARE GRAPPLING -- SOME OF THEM MAY HAVE A HARDER
TIME . BUT THOSE LIKE NIKE AND ADIDAS
ARE ABLE TO PASS ON PRICE INCREASES BECAUSE THE PURCHASE
IS MORE DISCRETIONARY AND THERE IS MORE DEFINITY THAT THE
CUSTOMER CAN PAY THE EXTRA 4% OR 5%. JON:
HELPFUL BREAKDOWN AS ALWAYS. POONAM GOYAL, OF THE
INTELLIGENCE TEAM. LET'S LOOK AT THE RETAIL
NUMBERS FROM BOTH WALMART AND HOME DEPOT.
JOINING US WITH PERSPECTIVE JOE FELDMAN OF TELSEY ADVISORY
GROUP. LET'S START WITH HOME DEPOT.
WE WERE MAKING A REFERENCE TO IT.
YOU GOT QUESTIONS ABOUT WHAT IS GOING TO HAPPEN TO THE HOUSING
MARKET? WHAT DOES THAT MEAN FOR
MORTGAGES AND YET, THEY ARE SIGNALING THEY EXPECT PLENTY OF
WORK ON HOMES THROUGH THE YEAR. JOE:
THE DEMAND FOR HOME IMPROVEMENT PROJECTS REMAINS HIGH.
ALL THE DATA THAT WE ARE GETTING -- HOUSING ITSELF,
TURNOVER MAY BE SLOWING, BUT 95% OF THE HOMEOWNERS OUT THERE
ARE STAYING PUT. THEY ARE NOT MOVING, NOT
TURNING OVER THE HOME. WHEN THAT IS THE CASE THEY FEEL
THEY ARE LIVING IN THEIR HOMES LONGER, THEY FEEL THE VALUE OF
THE HOME HAS GONE UP. THEY ARE SPENDING MORE ON THE
HOME. WE HAVE SEEN THAT THROUGH THE
YEARS AND EXPECT THAT TO CONTINUE.
THAT IS WHAT HOME DEPOT SAW TODAY AND I THINK WE WILL HEAR
THAT FROM LOWE'S TOMORROW. KRITI: I HAVE TO ASK ABOUT THE
INTERNATIONAL COMPONENT. YOU HAVE STRONG NUMBERS FROM
HOME DEPOT AND WALMART AS WELL ON A RETROACTIVE BASIS, BUT ONE
OF THE BIG CONCERNS FROM WALMART EARNINGS WAS THE IDEA
OF A STRONGER DOLLAR IMPACTING INTERNATIONAL BUILDS.
EVEN ON THE HOME DEPOT FRONT, VOLUME SALES CAME DOWN.
THE MORNING THE MARKET IS BROADLY WARNING ABOUT, DOES IT
HAVE ANY FOOTING WHEN YOU LOOK AT THESE EARNINGS? JOE:
WELL, FROM A DOLLAR PERSPECTIVE YES, IT WILL HAVE IMPACTS.
YOU DEFINITELY SAW THAT AT WALMART.
TO SOME EXTENT AT HOME DEPOT. WHAT WE ARE THINKING IS THE
UNDERLYING CURRENCY SALES OF THOSE BUSINESSES, WHICH IS
ACTUALLY QUITE STRONG, AND WHEN YOU LOOK AT WALMART'S
INTERNATIONAL BUSINESS THEIR SALES IN CHINA, MEXICO, CANADA
WERE ALL UP. IN LOCAL MARKETS, THEY ARE
PERFORMING QUITE WELL. I UNDERSTAND THE TRANSLATION
AND THE ISSUES RELATED TO THAT, BUT I THINK MOST INVESTORS LOOK
AT THE CONSTANT CURRENCY SALES FOR A LOT OF THESE NATIONAL
BUSINESSES. JON: BEFORE WE LET YOU GO, I WONDER
IF THERE WILL BE A POINT WHEN THAT SUPPLY CHAIN SCALE WILL
BENEFIT SOME OF THESE COMPANIES BECAUSE WALMART HAS ONE OF THE
MOST EXTENSIVE SUPPLY CHAIN NETWORKS AROUND THE WORLD.
DEPENDING ON HOW LONG WE ARE DEALING WITH INFLATION,
ASSUMING THE SUPPLY CHAIN HEADACHES GET RESOLVED. JOE:
THAT WAS DEFINITELY SOMETHING THAT FRUSTRATED INVESTORS AND I
THINK YOU ARE SEEING THAT WITH WALMART THIS MORNING WHERE THE
SUPPLY CHAIN -- WE THOUGHT THEY WERE GOING TO BE ABLE TO MANAGE
BETTER. IT SOUNDS LIKE IT WAS TIMING IN
SOME PART OF IT. THE PRICES RISE RAPIDLY,
SURCHARGES FOR FREIGHT HAPPENS, AND BY THE TIME YOU PASS THAT
THROUGH TO THE CONSUMER THERE IS A LACK.
I DO THINK WALMART IS GOING TO BE IN A BETTER POSITION TO
HANDLE THAT BUT WE ARE GOING TO SEE THAT, AND ARE ALREADY
SEEING THAT, FROM RETAILERS. WE WILL HEAR MORE OF THAT FROM
TARGET AND OTHERS TOMORROW. THE SUPPLY CHAINS ARE UNDER
PRESSURE AND THAT IS IMPACTING RETAIL EARNINGS.
EVEN WITH A BETTER SALES WE ARE SEEING BECAUSE OF THE INFLATION
MOVES. KRITI: JOE FELDMAN OF TELSEY ADVISORY
GROUP, WE THANK YOU AS ALWAYS.
COMING UP, WE TALK WITH JASON KENNY, THE PREMIER OF ALBERTA
CANADA. WHY HE IS PITCHING MORE CANADIAN OIL TO THE U.S.
KENNETT SOLVE THE PROBLEM OF SOARING GAS PRICES -- CAN IT
SOLVE THE PROBLEM OF SOARING GAS PRICES? THIS IS BLOOMBERG.
JON: THIS IS BLOOMBERG MARKETS. I AM JON ERLICHMAN WITH KRITI
GUPTA. CANADA PITCHING THE SALE OF
MORE OIL TO THE U.S. THIS WITH SKYROCKETING PRICES
AND DEMAND OUTSTRIPPING SUPPLY. BUT CAN ENOUGH OIL FROM CANADA
BE SUPPLIED TO MAKE A DIFFERENCE? AND WITH THE U.S.
CONSIDER, FOR EXAMPLE, RESTORING KEYSTONE?
JOINING US FOR MORE IS JASON KENNEY, THE PREMIER OF ALBERTA.
THANK YOU FOR JOINING US. YOU WERE WITH US THREE MONTHS
AGO WHEN YOU WERE IN D.C. SENATOR JOE MANCHIN HAS MADE A
TRIP TO ALBERTA TO SEE THE ENERGY OPERATIONS.
THERE IS A DEEP DIALOGUE. LET'S TALK ABOUT THE TANGIBLE
THINGS WHERE WE COULD SEE ACTION.
TODAY, YOU WERE TALKING ABOUT THE AMOUNT OF ADDITIONAL OIL
THAT COULD COME FROM CANADA BY MAKING A FEW TWEAKS TO EXISTING
PIPELINES AND OFFERING OIL THROUGH RAIL SHIPMENTS.
CAN YOU ELABORATE ON WHAT YOU TALKED ABOUT IN THE SENATE?
JASON: RIGHT NOW, WE HAVE ABOUT
300,000 BARRELS A DAY IN THE NORTH AMERICAN PIPELINE SYSTEM.
WE WILL BE FILLING THAT WITH ADDITIONAL PRODUCTION THIS YEAR.
SECONDLY, IF MIDSTREAM COMPANIES GO AHEAD WITH SOME
OPTIMIZATION PROGRAMS ON THEIR PIPELINES, SOME LINE REVERSALS,
THERE IS AN ESTIMATE WE COULD HAVE ABOUT 400,000 MORE BARRELS
A DAY TO THE U.S. REFINERIES. THIRDLY, ONCE THE CURRENT
CAPACITY IS FILLED THE COMPANIES CAN ALWAYS SWING TO
RAIL. FINALLY, BY THE FIRST QUARTER
OF 2024 THE TRANS MOUNTAIN PIPELINE EXPANSION SHOULD BE
OPERATIONAL, TAKING 600,000 BARRELS A DAY FROM EDMONTON TO
VANCOUVER, PUTTING IT ON SMALL TANKERS WHICH WILL OFFLOAD AT
REFINERIES IN WASHINGTON STATE AND CALIFORNIA.
IF YOU ADD THAT UP, IT COULD BE ON THE OUTSIDE AS MUCH AS 1.5
MILLION BARRELS A DAY OVER THE NEXT TWO YEARS.
BUT WE WILL NOT BE ABLE TO PRODUCE THAT MUCH.
MY POINT IS LET'S BE VISIONARY. LET'S HAVE A NORTH AMERICAN
ENERGY ALLIANCE AND GET ANOTHER MAJOR PIPELINE DONE.
WE HAVE THE THIRD MAJOR RESERVES. KRITI:
YOU'RE TALKING ABOUT PIPELINES BUT THE BIDEN ADMINISTRATION IS
AGAINST AND A LOT OF STATE AND LOCAL GOVERNMENTS AS WELL.
NEW YORK VERY VOCAL ABOUT HAVING A CLEANER INFRASTRUCTURE.
HOW ARE YOU GOING TO CONVINCE AMERICAN COUNTERPARTS THAT IS
THE ANSWER? JASON: WHAT I AM HEARING FOR MY
AMERICAN COUNTERPARTS IS THE NUMBER ONE CONCERN OF AMERICANS
IS INFLATION, ESPECIALLY ON ENERGY. THE PRICE OF GAS.
THE PRESIDENT SAID THIS IS A CRISIS HE IS FOCUSED ON AND HE
HAS BEEN PLEADING WITH OPEC, SAUDI ARABIA IN PARTICULAR, TO
PRODUCE AND SHIP MORE. HIS ADMINISTRATION HAS BEEN
TRYING TO LIFT SANCTIONS ON BOTH VENEZUELAN AND IRANIAN OIL
EXPORTS. INSTEAD OF LOOKING TO THE WORST
REGIMES WHO ARE, IN SOME CASES, SWORN ENEMIES OF THE U.S., WHY
NOT TURN TO YOUR CLOSEST FRIEND, NEIGHBOR AND ALLY WHICH
ALREADY SHIPS 62% OF U.S. OIL IMPORTS THAT COMES FROM
ALBERTA, CANADA? JON:
PREMIER, YOU URGED SENATORS TO SAFEGUARD THE LINE 5 PIPELINE.
WHAT HAPPENS NEXT? JASON: THAT IS RIGHT NOW STATE AND
FEDERAL COURT CHALLENGES BETWEEN THE PIPELINE COMPANY,
OUR GOVERNMENT, AND THE GOVERNOR OF MICHIGAN.
THERE IS ALSO NEGOTIATIONS HAPPENING BECAUSE THIS IS IN
VIOLATION OF A 1977 PIPELINE TREATY BETWEEN CANADA AND THE
U.S. MY MESSAGE TODAY IS, I DO NOT
KNOW WHY THE BIDEN ADMINISTRATION IS SITTING ON
THE FENCE NEUTRAL ON THIS ISSUE WHILE PLEADING THAT OPEC SHIP
MORE ENERGY. YOU HAVE A U.S. GOVERNOR TRYING TO SHUT DOWN A
PIPELINE THAT, FOR SIX DECADES, SAFELY DELIVERED OVER HALF A
MILLION BARRELS A DAY OF CANADIAN ENERGY TO THE UPPER
MIDWEST TO REFINERIES IN OHIO, PENNSYLVANIA, DETROIT AIRPORT
THAT SHUT DOWN WITHOUT THE AVIATION FUEL.
THE UPPER MICHIGAN PENINSULA WOULD NOT BE ABLE TO HEAT HOMES
WITHOUT THE PROPANE OFF THAT LINE. WHILE THE U.S.
IS FACING AN ENERGY CRISIS, WISE WITH THE U.S.
GOVERNMENT NOT COME ON-SITE WITH CANADA AND ALBERTA AND
TELL THE GOVERNOR OF MICHIGAN, WORK WITH THEM ON THE NEW,
SAFE, SUBTERRANEAN PIPELINE TO REPLACE THE ONE OPERATING FOR
60 YEARS. JON: WE WILL WATCH TO SEE WHERE THE
CONVERSATION GOES. BEFORE WE LET YOU GO, AS
ALBERTA'S ECONOMY IS REBOUNDING YOUR LEADERSHIP IS ON THE LINE.
WE ARE AWAITING THE RESULTS FOR THE REVIEW FOR YOUR UNITED
CONSERVATIVE PARTY. WHAT DO YOU THINK HAPPENS?
DO YOU THINK YOU WILL WIN THAT? JASON: I AM OPTIMISTIC.
I HAVE BEEN AROUND ALBERTA THE LAST COUPLE OF MONTHS SINCE WE
DROPPED COVID RESTRICTIONS AND I AM GETTING OVERWHELMING
EXPRESSIONS OF SUPPORT. WE TURNED THE CORNER.
COVID WAS DIVISIVE FOR OUR PARTY LIKE MANY COMMUNITIES
AROUND THE WORLD. BUT THE WORST OF THAT WE
BELIEVE IS BEHIND US. ALBERTA IS LEADING CANADA AND
ECONOMIC AND JOB GROWTH. OUR GOVERNMENT HAS CAP 90% OF
OUR ELECTIONS WITH A YEAR TO GO. WE ARE GROWING THE ECONOMY,
CREATING JOBS, GETTING
PIPELINES DONE LIKE LINE 3 AND BUILDING A STRONG OR PROVINCE
THE MAJORITY OF CONSERVATIVES WANT TO MOVE FORWARD TOGETHER
AND NOT GOING INTO THE DITCH OF DIVISION.
I AM OPTIMISTIC ABOUT THE OUTCOME TOMORROW. KRITI:
ALBERTA PREMIER JASON KENNEY, WE THANK YOU AS ALWAYS.
JOINING US FROM WASHINGTON. COMING UP, BLOCKING PAYMENTS.
THE U.S. SET TO SHUT DOWN RUSSIA'S
ABILITY TO PAY BONDHOLDERS. WHAT THAT COULD MEAN FOR
MOSCOW'S ODDS OF A DEFAULT. THIS IS BLOOMBERG.
♪
KRITI: THIS IS "BLOOMBERG WALL STREET
WEEK." I AM KRITI GUPTA WITH JON ERLICHMAN.
THE BIDEN ADMINISTRATION WILL FULLY BLOCK RUSSIA'S ABILITY TO
PAY BONDHOLDERS AFTER THE DEADLINE NEXT WEEK.
IT COULD BRING MOSCOW CLOSER TO THE BRINK OF DEFAULT.
JOINING US IS KRISTINE AQUINO, THANK YOU FOR JOINING US.
LET'S TALK ABOUT WHAT THIS MEANS.
490 MILLION DOLLARS OF PAYMENTS DUE BY THE END OF JUNE.
HOW CLOSE ARE WE GETTING TO A DEFAULT? KRISTINE:
YOU KNOW, FOR A WHILE WE TOOK A STEP BACK FROM THAT BECAUSE
RUSSIA SHOWED ITS ABILITY AND WILLINGNESS TO FINALLY DIG INTO
THOSE DOMESTIC DOLLAR RESERVES AND SERVICE THEIR DEBT AFTER
ATTEMPTING TO PAY THAT IN RUBLES, WHICH WAS NOT IN LINE
WITH THE BOND DOCUMENTS. NOW WE ARE ANOTHER STEP CLOSER
TO DEFAULT BECAUSE OF THIS U.S. MOVE.
WHAT THIS GOES TO SHOW HIS YOU CANNOT TAKE FOR GRANTED HOW
CLOSE RUSSIA CAN GET TO A DEFAULT SITUATION UNTIL WE GET
MORE OF A PERMANENT RESOLUTION TO THE SITUATION.
I THINK WITH THE U.S. IS DOING IS UPPING THE ANTE FOR
RUSSIA AND FORCING THEM TO TRY TO MAKE THOSE PAYMENTS OR MAKE
MORE CONCESSIONS, EITHER WITH REGARDS TO BOND PAYMENTS OR THE
WAR IN GENERAL, UNTIL THEY ARE WILLING TO GIVE THEM A REPRIEVE.
JON: VERY QUICKLY, YOU THINK BACK TO
THAT FIRST FEAR OF A DEFAULT IN THE MARKETS AS WE WERE FIGURING
OUT WHAT THAT WOULD MEAN. WE WERE MAKING SENSE OF IT IN
REAL TIME. NOW THE PEOPLE HAVE HAD TIME TO
THINK ABOUT THIS. WHAT ARE PEOPLE GOING TO BE
WATCHING FOR CLOSELY? KRISTINE: I THINK IT IS GOING TO BE A LOT
OF THAT POTENTIAL POST DEFAULT FALLOUT PARTICULARLY FOR ANY
INVESTORS STILL INVESTED. THE SPECIFIC BONDHOLDERS OF THE
BONDS DUE TWO DAYS AFTER THE DEADLINE EXPIRES.
THEY HAVE BOND REDEMPTIONS UP OR LOAN PAYMENTS DUE.
WE ARE GOING TO WATCH OUT FOR WHETHER BOND INVESTORS GET PAID
OR IF NOT, WHAT THE NEXT STEPS ARE GOING TO BE. KRITI:
KRISTINE AQUINO BREAKING IT DOWN AS ALWAYS.
THANK YOU FOR YOUR TIME. AS I LOOK AT THE MARKETS THE
S&P 500 UP 1.6%, HOVERING YOUR SESSION HIGHS.
THE DOLLAR HOVERING NEAR SESSION LOWS.
THAT VERY MUCH PART OF THE CONVERSATION AND THE TWO-YEAR
YIELD CATCHING MY EYE, 10 BASIS POINTS HIGHER.
FOR JON ERLICHMAN, I AM KRITI GUPTA, THIS IS BLOOMBERG.
♪