this is bloomberg. shery: still ahead, the fed remains on course to deliver more hikes in its ongoing fight against inflation. up next, investors are divided over asian equities as they way up inflation risks and china is gradually easing covert restrictions. this is bloomberg -- china is gradually easing covid restrictions. this is bloomberg. ♪ >> attitudes are more balanced today. when there's euphoria, when there's optimism, when there's greed, when there's risk tolerance and so with, that's a very difficult climate for the value investor to find bargains, and now the prospective returns on many asset classes are higher than they were just a little while ago and again, a much bigger climate for the bargain hunter. shery: howard marks speaking exclusively on "bloomberg surveillance." we are seeing negative downside pressure when it comes to markets. the s&p 500 lost ground in today's session. the nasdaq 500 also underperforming. we have concerns about the fed tightening, very strong manufacturing ac

this is bloomberg. kriti: i am jon erlichman. welcome to "bloomberg markets." and i am created group debt. -- kriti: and i am kriti gupta. we now have green on the screen up 5/10 of 1%. the question is, are the fundamentals the ones driving the market? the 10 year yield is where you see recession fears a stronger. in the face of a slowing economy you dive into the u.s. bond market. yields are down 12% but a reversal of what we have seen the last few days. let's look at the dollar index. as the yields come down the greenback does as well. down 3/10 of 1% and we should mention the oil story. that is really a recession story. growth fears driving the commodity market lower. jon: that factors in to the stock at this hour. because there has not been willingness on the part of investors to move into any sector it is feeling company specific at this hour, whether you have a standout stock like moderna up 6.5%, or docusign going through a management shakeup. coming back to what you are talking about, you are seeing noticeable weakness in those highflying energy stocks.

this is bloomberg. shery: still hate fresh coronavirus outbreak has a shed light on koreans' attitude towards the lgbtq+ community. we will be looking into that with human rights watch a little later. but first, the ecb is set to announce an end to large-scale asset purchases. nomura tells us how that may affect foreign exchange rate. >> the new projections percy annual production -- they foresee annual projection 2.5 percent in 2022 for it is projected to decline in 2023, and higher than in the march projections. this means that headline inflation at the end of the production horizon is jaded to be slightly above our target. >> what worries me jon, and you are not going to like this because it is looking forward, june month-on-month rent will be worse than the may month-on-month print. those who boldly said inflation has beat and is coming down may have to change their minds. haidi: bloomberg opinion columnist mohamed el-erian, and ecb president christine lagarde there on inflation expectations. euro t

this is bloomberg. shery: still ahead, china's growth policies are feeling to spur property demand. we look at how they are stoking fears later this hour. at first, look at the bank of japan's options as speculators ramp up chances for a tweak to its monetary policy with our next guest. this is bloomberg. ♪ >> ongoing rate increases will be appropriate to expeditious progress towards higher rates. we know we have restrictive policy that is where we're at. the economy is strong and well positioned to handle tighter monetary policy. >> if interest rates go too high, too fast, it could drive us into recession? >> certainly a possibility. the other risk is that we will not be able to restore price stability and will allow high inflation to get entrenched. price stability is really the bedrock of the economy. we must restore price stability, and we will. the public should believe that we will get inflation down to 2% over time. we are strongly, strongly committed to restoring price stability. we do underst

yvonne: 20 more in the next hour, bloomberg markets: asia. this is bloomberg. ♪ vo: when times get dark, we can't see the help that's all around us. let 2-1-1 be your guiding light. for help with food, health care, and other resources. operator: 2-1-1, how can i help you? vo: call 211 or visit 211.org 2-1-1 get connected. get help.

this is bloomberg. ♪ rishaad: er back with bloomberg markets. we are just checking the disney/headlines, starting with the most recognized companies in the u.s. indicating that they will cover out-of-state travel and care for abortions, talking about the likes of disney, meta. saying they will help employees with travel to another state to access legal abortions and other procedures the moves have prompted threats from conservative states against some of those companies. the bank of india has been courting large investment houses to become top shareholders in an effort to improve its market value -- ubs has. with the aim of getting them to increase their stakes. and toshiba is exited to appoint representatives from two of its most vocal activist shareholders it's board and do so at its annual meeting on tuesday. it is seen as a step forward in governance, it may also deepen divides in the boardroom, with some directors or brazilian appointment. toshiba is weighing bids to possibly privatize or form business alliances. yvonne: it will be a big we

the bloomberg dollar index was seeing a bit of weakness. that is helping to boost the aussie dollar. that is typical proxy for risk in the asian session. we hear from the vice fed chair dousing cold water she saying there's a lot more work to do when it comes to getting the inflation target and it very hard to see a case for pausing the actions when it comes to hiking at least in the next few months. shery: the reason we focus on much on the fed pausing is all of the recession fears we keep hearing about. even today, the goldman president warning of tougher times ahead saying this is among the most if not the most complex dynamic the environment has ever seen in his career. jamie dimon, we heard a pessimistic tone from him -- preparing for hurricane. let's talk about this recession fears. the fed battle with inflation as well. this is the top focus across markets. for more analysis, let's bring in our global economics and policy editor kathleen hays. what is your take on the message that brainerd is trying to send? >> the message brainerd i

this is bloomberg. shery: still ahead, we will speak to the queensland treasurer and minister for trade and investment cameron dick on his efforts to drive investment across the state later this hour. next hear why victoria greene of g squared private wealth thinks the fed will continue to hike rates even after peak inflation, and what that means for equities. this is bloomberg. ♪ >> i think we now understand better, how little we understand about inflation. [laughter] honestly, this was unpredicted. >> i think the forces that have been released as a result of the pandemic, as a result of this massive geopolitical shock we are facing now. >> if we see a greater persistence of inflation, there will act more forcefully. >> the path back to 2% inflation while still retaining and sustaining a strong labor market, we believe we can do that. >> as the uncertainty will clear, on various accounts, we will have to certainly be less gradual. >> it is quite clear that as we respond to this shock, we want to have

this is bloomberg. yvonne: still ahead on bloomberg markets: asia, the imd world competitiveness ranking places singapore as number one in the aipac region. the director joins us later on this hour. rishaad: a rise in the offshore you on. -- offshore yuan. that is on the way next. ♪ rishaad: this is bloomberg markets. let's have a look at what the week in stores holding for us. we already have the china loan prime rate come out. unchanged. looking at jay powell, he is going to be out there. he will be doing his semiannual testimony to congress. we will have you look at that. every little word will be analyzed for any nuance. the boj minutes. looking further ahead, eu leaders meeting on thursday over ukraine and rate decisions out of indonesia as well. who have that to look forward to. taking a look at what we can expect out of jakarta. taking a look at what the cost of borrowing is. 3.5% were interest rates are expected to stand. vonnie: it's bring in -- yvonne: let's bring in the manager of affect st

this is bloomberg. ♪ ♪ >> just checking on those guarantees. 3.2 on the dollar. we see the continued appreciation for the greenback. inflation also showing here. the real gdp is 8.3%. >> let's discuss more about the philippines economic outlook. the cemetery is currently chair of the philippine competition commission. the antitrust agency. take you for joining us. just given the inflation story out of the philippines right now, i have to wonder how you see this impact to consumption and overall growth in the country. >> inflation is very much important. we are expecting growth at the beginning of the year. many things have happened since then. >> what measures are you going to be undergoing under this market administration to try to tame inflation? what can you see on the monetary front? >> the goal is to wrap up the economic recovery. we need to make sure that we have access to the food supply in particular. we will attempt to clampdown on exports and domestic markets. that is one with many domesti

this is bloomberg. ♪ kriti: this is bloomberg markets. after making many public statements, elon musk rot more clarity to the tesla staffing situation. he said staff would be reduced by 3.5%. >> years from now, i hope our count be higher as well as salaries. in the next few months, the salary workforce which is only 3.5% reduction. kriti: that was elon musk and among his other comments, he's making recession calls saying recession may be inevitable. the former treasury says multiple things. he says the u.s. has been too much on the fiscal response to the pandemic which is an argument many have had. in hindsight, the fed waited way too long to control inflation will stop he said president trump would run again if the election were in six months. there is a lot coming up from the qatar economic forum. the s&p 500 is up 2.4% stuff that rebound rally is back. the tsx is up about4 1/10 of 1%. it's a muted action when you look at the bond yields in the dollar strength continues to be a conversation as does some of the rising commodity prices. h

emily: this is bloomberg technology. a landmark ruling by a deeply divided supreme court opens the door for more people to carry guns in public. this as the country is grappling with the rise in gun violence and companies are trying to get workers back to the office. plus, she was suspended from google for voicing concerns about an ai bought he says as a person. an interview with the interview -- engineer. why does he think computer have feelings and why does it matter? an in-depth conversation, coming up. continued concerns about the power of big tech. i'm joined by the ceo of proton who's in washington right now fighting for antitrust reform. i want to get a look at the markets. investors looking to attack as fears of a refresh -- recession grow. >> this momentum. we are up in three of the last four sessions. look at the nasdaq 100. there tech heavy index. not all tech created equal. weakness in semiconductors. the story on the day was so much fed speak. fed powell on capitol hill giving his view of the world, the outl

this is bloomberg. ♪ kriti: this is "bloomberg markets." i am creepy good data -- i am kriti group to what's jon erlichman. let's bring in the president of -- >> that is the interesting thing. the u.s. and other countries like canada are trying to be aggressive with rate hikes. others like the ecb and boj are trying to take things as slowly as possible. the bank of japan has been praying for inflation since 2012. they are finally getting it so they do not want to pour water on the fire. the question is, how far can the dollar-? as far as -- dollar-yen go? there are still more to the topside. jon: all eyes are on the ecb as we await commentary. what do you think happens in the currency market? >> it is one of the more interesting meetings. there is a wide range of opinions from lagarde's blog post all the way to some people thinking they hike 50 tomorrow, which seems unlikely to me. i am on the doveish side. their hiking into an energy shot like the bank of england. we have 135 basis points price did and there are four more meetings after to

this is bloomberg. ♪ dani: welcome back to "bloomberg daybreak: europe." it is cpi day and part of what we are grappling with, and the numbers today might help go towards this narrative of whether inflation has peaked or not. there was a moment where we saw things like the dollar peeking, breakeven speaking, that seemed to indicate the worst was over. however, u.s. breakeven inflation estimates started to turn higher. that is the chart i'm looking at from two to 10 year. the three year just breaking above three spot 10. that is just as the u.s. curve moves above 3%. if you are one of those people who around here thought inflation had peaked, you were wrong. the inflationary picture is still with us. the ecb yesterday reminding -- revising their inflation forecast saying the average for this year may be around 7%. cpi numbers might also indicate services as well as consumers shift their spending habits. let's get to the top news items of today with your first word news, it is juliette saly in singapore. >> u.s. lawmakers investigating last year's riot at th

this is bloomberg. ♪ dani: welcome back to "bloomberg daybreak: europe." jp morgan's jamie dimon once a investors to prepare for an economic hurricane ahead. he says that it is right down the road, brace yourself. manus: it is a more dire warning compared to his previous comments. a couple weeks ago, there were storm clouds hanging over. on the other hand, he remains positive on the economy and markets. we have to patch it -- take down the hatchet. where you think diamond, the king of wall street is on a dramatic tip? >> the article, we expect it will be transitory inflation -- were basically now we are seeing that battle with hiking rates and a slowing of the global economy. in that sense, what we are seeing is banishment from growth. if that is the target, 3.5%, i think it can be more given or inflation is. -- given where inflation is. dani: does it then make sense that storm clouds are on the horizon? does that factor in right now? saed: i do not think so. i think you have to look at two things. we are looking carefully at the impact, the lockdown in ch

this is bloomberg. ♪ romaine: this is "bloomberg markets." i am romaine bostick alongside jon erlichman. i lot of talk about the fed raising rates and potentially pausing in the hiking cycle. bill dudley says that is not going to happen. the fed has to keep raising interest rates to curb inflation and he dismisses speculation the fed could hold its fire in september. he spoke with bloomberg earlier. bill: labor market's the tightest it has ever been. you can see that from the unfilled jobs related to those unemployed. in february 2020, it was 1.2 to 1. the fed needs to loosen it up or inflation will be above 2%. the problem is that in the past it has been difficult to push the unemployment rate up meaningfully without precipitating a hard landing. that is what the fed is going to try to do, but extremely difficult. they have not been as forthcoming in their forecast as they need to be. if you look at their last summary of projections, the inflation occurred almost immaculately. inflation was the 2% target and it begs the question of what caus

this is bloomberg. shery. shery: still ahead, apple workers have voted to join a union, as workers across the tax base come together to demand fair pay and labor rates. a discussion on that later. but first, hear why then and there maitre from bny mellon has been turning more defensive, end where he sees opportunities in china. this is bloomberg. >> inflation is happening everywhere now. moreover inflation is from demand, and we have tools to deal with demand. our tools are blunt, but they are the right tools to deal with broad, good demand. our intent is to bring inflation down to 2%. inflation back down to 2%. it is unconditional, our commitment is. that path has gotten more and more challenging thanks to the effects on oil prices and food prices. people do expect inflation to come down to levels that are consistent with our price stability mandate. without that, we will not have a sustained period of maximum employment. paul: that is fed chair jerome powell testifying in congress. our next guest says his st

this is bloomberg. haidi: still ahead, why are be see capital markets thinks a rate hike on tuesday is a done deal. the only question is how far the central bank will move. but next, julie biel gives a look ahead when it comes to friday's u.s. cpi print and whether these price pressures have yet to peak. this is bloomberg. ♪ shery: u.s. futures not doing much at the open right now. this of course after a choppy session. s&p 500 pricing only .3%. let's discuss the latest with our next guest who says we could see a meaningful destruction of margins for retailers. with us now is julie biel, senior research analyst at kayne anderson rudnick. it is always good to have you with us. tell us a little about why do you see this demand destruction. is it supply, the excess inventories we could see in the next few months, or just because inflationary pressures are now continuing to really pressure these companies? julie: what i worry is it is actually both and we can the consumer. so you are starting to see inven

this is bloomberg. >> welcome to "bloomberg markets." romaine: we are going to check on the markets right now. a down day here, despite the rally we saw yesterday. we continue to see this whipsaw back and forth as people try to assess not only the economic tea leaves but a lot of the commentary that we continue to hear out of so many executives, whether it is jamie dimon at jp morgan, or a goldman sachs and now elon musk at tesla. the s&p 500 down 1.5%. crude oil setting up for what will be a weekly gain. a massive move in the two year yield, higher by 18 basis points. a shortened holiday week here in the united states. the vix elevated on this day, right back to 25. jon: if we take a closer look at stocks, those same themes at work. when it comes to the market, because of that rally in oil prices, you have names like chevron trading higher within the dow. good conversation with the ceo on bloomberg television today. higher oil prices are things that airlines are grappling with. yes, their demand story, and we saw that from american airl

this is bloomberg. >> and will have a major impact. an impact on gdp and recession. it is a narrow path and we cannot discuss the possibility of a soft landing. haidi: that is the ceo. the income generation will be one of the best weapons for traders. we have chris with riverfront investment groups. you say it move over tina, and make room for patty. >> that is my lame attempt at coming up with an acronym for the paradigm. a lot of people know that tina stands for there is no alternative. in a world of easing financial conditions, over a loose monetary policy which is the world from 2009 two the end of 2021, he wanted to own growth oriented securities rate particularly stocks. interest rates are below the rate of inflation and there was an alternative to taking risks on the duration curve. we will do era now. what i say piety, what that stands for is pay attention to the yield. we are in a different era. on certain macroeconomic background -- an uncertain economic background. have positive inflation-adj

this is bloomberg. ♪ tom: welcome back. after consecutive losses, the yen rebounds against the dollar after officials sounded the alarm. here is more on the moves in that space. what do you make of the news out of japan? >> i think the key driving factor has been this differential between treasuries and spreads. we know about yield curve dynamics. we are going to see those u.s. yields remain relatively elevated. the japanese authorities are swinging. i think they're trying to slow the move rather than reversing it particularly. alix: what would it take to reverse it? we will live in a world of big deal differentials, prickly for the boj as we have rate hikes in the u.s. and europe? jeremy: i think in a sense that was the underlying message from the ecb, it needs the boj as an outlier in terms of broader global monetary policy. suggesting they are going to try and rest this verbally is a challenge. i think ultimately that will be the case that we have to get into a scenario where the boj may need to co

this is bloomberg. hi, i'm denise. i've lost over 22 pounds with golo in six months and i've kept it off for over a year. i was skeptical about golo in the beginning because i've tried so many different types of diet products before. i've tried detox, i've tried teas, i've tried all different types of pills, so i was skeptical about anything working because it never did. but look what golo has done. look what it has done. i'm in a size 4 pair of pants. go golo. (soft music) >> you are watching daybreak australia. former treasury secretary larry summers says the u.s. will need to see employment at 5% for the next few years to curb inflation. and he says the fed will need to make more difficult choices to rein in prices and should consider abandoning forward guidance as a policy tool. president joe biden says u.s. recession is avoidable. >> i was talking to larry summers this morning. there is nothing inevitable about a recession. paul: chinese regulators executives -- after a second fatal accident at the oil giant this

this is bloomberg. ♪ dani: welcome back to bloomberg daybreak: europe. bloomberg's commodity spot index hit a fresh record high. the gauge track rices for 23 raw materials last pete -- rises for 23 raw materials last in april. this time, it for -- is all about oil. let's bring in bloomberg's energy commodity editor in singapore. gravity does not apply in this index. >> that's right. we saw a very large gain on monday. we saw gains in u.s. natural gas. those have been the immediate things in the last day or two. oil is the big factor of the moment. goldman sachs came out with the forecast talking about 140 in the third quarter. chinese demand coming back, as -- also the increasing european a sanctions on russia. when we talk about the chinese demand story, it is not just oil. it is metals. we were coming back strongly on all of the stimulus china has been talking about for the last couple of months. they're going to deploy this as the lockdowns have come off. also industrial metals like copper and aluminumand food of course. we have a whole bunch of facto

this is bloomberg. ♪ -- global news, 24 hours a day, on air and on bloomberg quicktake, powered by 2700 journalists and analysts in more than 120 countries. su: -- shery: more than 20 heads of government are expected to be in los angeles. they are approaching the event with a mix of skepticism and interest at a time when china is expanding its influence in the region. let's bring in the vice president at the council of the america joining us from a l.a.. always good to have you with us. you said recently that each summit has become progressively less ambitious. with that state for the biden administration? >> there's a lot at stake, frankly, but their trajectory has been downward since the first summit was hosted in miami by the united states in 1994. i was there, i will tell you held i was. the comparison between them and now is starch. in 1994 we were coming out of the cold war, democracy was coming to latin america and was being entrenched in the world was building into blocks, europe, the western hemisphere in asia. there was a strategic component. but that has seemed to break down

this is bloomberg. ♪ guy: germany and talks to bailout the energy giant. that's to stem broader fallout from russia's vast deliveries to germany. more on this story. how much trouble is it in. how devastating is this balance sheet result? >> both estimate it's costing them about 30 million a day. that is a lot of money to come up out of the blue. they've already talked the government to see how they are getting help? guy: where is it in terms of being able to put some of those costs off? >> germany still has to save their emergency plans but they have not allowed companies to pass the costs down yet so that's why they are taking such a big hit. any of the ledges -- providers in germany are not allowed to put these costs down yet. -- pass these costs down by alix: how does this further exacerbate the problem? >> most people of priced in the fact the pipeline is going under maintenance. nord stream 2 one. i think the biggest problem is that nord stream 2 one comes back. that's european officials are wor

this is bloomberg. good morning. ♪ ritika: president biden wants congress to do something about soaring gasoline prices. bloomberg has learned he will call on lawmakers today to enact a gasoline tax holiday. average gas prices in the u.s., around five dollars a gallon. federal taxes make up a little more than $.18 of that. it is not clear how long the president wants to cause the tax. in the u.k., inflation risen to a new high. prices rose 9.1% in may from a year ago, there were broad increases in the cost of everything from fuel to food and beverages. there were more fines in inflationary pressures building at the wholesale level. china bowing more policies to boost the company's covid battered economy. the economy will speed up the sale of local government bonds. cabinet urging banks to increase leading for -- lending for infrastructure products -- projects. the senate has voted on a measure called the biggest breakthrough in a decade, designed to approve background checks securing funds to combat n

this is bloomberg. ♪ pres. biden: make no mistake. this decision is the culmination of a deliberate effort over decades to upset the balance of our law. it is the realization of extreme ideology and a tragic error by the supreme court in my view. tom: the nation galvanized. no other way to put it. lisa abramowicz and tom keene. jon ferro preparing for another property. i want to say congratulates to david shipley and tim o'brien, with the leadership of noah felt he of harvard, bloomberg was informed about the raging debates around our supreme court. owning the high ground of on all of this is gregory's store. to say he is bloomberg supreme court reporter barely describes his authority. i want to drive the story forward. last week sandra lancaster versus illinois, adam martin versus klein warded, new york versus new jersey. i do not know what that is about. what are the orders and why did they merit -- and why they matter this morning? gregory: we will get a whole bunch at 9:30 today. this is the brain court saint we will take up that

this is bloomberg. ♪ emily: welcome back to the bloomberg summit in san francisco where we are live. summer is here, but will all of our travel plans come out without a hitch. i am joined by the expedia ceo, peter kern. thank you for flying here from seattle. there were a ton of flight cancellations over memorial day weekend, jet fuel prices, pilot shortages, hotels struggling to get enough staff. how will this affect our summer travel plans? we have been dying to travel. peter: clearly everyone is going to travel somehow. i think there will be disruptions. we are seeing it in europe and the u.s., the shortage of staff create a problem. we would love to see hotels open to full capacity. in the meantime i think people are finding options wherever they go, sometimes vacation rentals, sometimes hotels, they are planning flights domestically if they can't find them internationally. we are seeing just about everything going up. i think it will be a busy time either way. emily: delta just cut capacity for e

this is bloomberg. haidi: hong kong's outgoing chief executive, carrie lam, say hotel quarantines have hurt the city's status as a financial hub. she also conceded that her government could have prevented more covid deaths with a stronger vaccination drive. in an interview with bloomberg's stephen engle, however, carrie lam refused to apologize. >> if you look at the past two years, before the first wave hit us for a period, hong kong was ranked the world's number one in terms of normalcy. that is when other countries and places were imposing the stay-at-home permits and lockdowns and closed the airport and so on. we were, by and large, operating normally. but since the fifth wave harris, and it hit us really hard in terms of the number of deaths -- >> we went from 1000 deaths to 9300. >> we were cautious. at sometime because of the transmissibility of omicron and the madness of this virus, other places were opening up. by comparison -- i am a person who believes in relativity, everything is relative. w

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this is bloomberg. shery. shery: coming up next, wells fargo securities sees a mild recession for the u.s. in may 23 is the base case. hear how that is reshaping their investment strategy, next. this is bloomberg. ♪ >> i think shallow. i think the duration is still very much in question. i say shallow because, you don't have a de-leveraging cycle on top of a recession. that is very different from how we entered the financial crisis. yvonne: morgan stanley's chief u.s. economist there. that's in anna han, equity strategist at wells fargo securities, to talk about the massive selloff in the u.s. session. . seems like recession talks are getting louder. the likes of value stocks, reversing when it comes to industrial commodities, the supercycle fainting. are we nearing the end of this information trade? anna: i would not say goodbye forever, but i think we are starting to rank out the cyclicality in our portfolios. we really pushed to the reopening trade. but when we expect to have our base case as a rec

this is bloomberg. ♪ kriti: this is "bloomberg markets." all eyes on the federal reserve at the top of the hour a truly historical moment. must get to michael mckee who was in washington right now. a historic moment here. what could possibly go wrong in the market is pricing and 75 basis points? michael: if the market got a 50 basis point movement, it might have been exploited because it has been telegraphed for days. if you went higher, there would be a bit of a spike. if they did 75, it suggests with a dot plot they will move up the pace of rate increases going forward. people will basically have seen what the price should be. it will not be a big question. the question that might go wrong for the chairman is why you changed your views on how fasting should go? how concerned are you about the big inflation jump we saw last week? kriti: how does chairman powell navigate this and that he has to reassure the market the economy is not heading for recession while showing them the fed is taking this seriously? what kind of precedent does the se

this is bloomberg. ♪ anna: welcome back to this special edition of "bloomberg markets." public holiday of course course for juneteenth over in the united states, so kailey leinz and matt are off today. let's get a quick check on these markets, and european equity markets are up by 2/10 of 1%. u.s. futures are pointing a little bit higher. some of the same buoyancy listing the stoxx 600. a bit of underperformance in the paris market as a result of the parliamentary election in france. natural gas prices on the move higher, geopolitics listing the former. those are both in focus with bitcoin also managing to get back about 20,000 after losing 15% of its value during saturday. a volatile weekend, of course, for bitcoin. let's get to the positive conversation now, and oil will be steadying after plunging on friday. remind us what has led to such a big move in oil prices. are we factoring in more tightening from the fed, what that might do to u.s. growth, is that what has been weighing on sentiment for oil

we have joe matthews, washington correspondent and host on bloomberg radio. bring us up-to-date on the demonstration or the gathering of there. what are you seeing? joe: the crowd was a little bigger after the ruling was awe saw lines of people streaming to capitol hill and the supreme court behind me but those who remain are very vocal. there were signs i couldn't read on the air, this being a family program, there are also chants that are familiar, "no justice, no peace." we have heard music and songs being sung. there have been both pro-choice and pro-life activists who have gathered, hundreds and even thousands at various points of the day. and of course, that brings up the issue of security. capitol police are between the supreme court and the u.s. capitol. we know that the justices are being protected at their homes as well. last week the president signed into law legislation that gives justices' families the opportunity to enter the same protection if the marshal of the supreme court suggests it and that is what we have seen, since the attempts on just

this is bloomberg. the frontloading of interest rate increases is a good idea in this situation. what you would like to do is nip inflation in the bud before it gets entrenched in the economy. get inflation back down towards 2%. >> early term inflation expectations have drifted up. they do drift up when we have high inflation. the longer runs are remaining fairly anchored and anchored around our average 2% inflation target. they have inched up, but not in the way you would expect them to do if you were using the anger. we have really gotten behind. shery: fed presidents mary daly and james ford speaking over the weekend. we will hear from central bankers including jay powell and christine lagarde at the ecb form starting tuesday in portugal. g7 meeting continues in germany followed by a nato summit in madrid where the group will lay out their joint position on china for the first time. this is ahead of the hong kong 25th anniversary of its return to chinese rule on friday. president xi jinping is expect

this is bloomberg. ♪ manus: this is "bloomberg daybreak: europe." the rally in oil prices is fizzled. we have a report that opec members are exploring the idea of exempting russia from its production. the move could open the door for other producers. we look to one about reporters. there has been so much politicking going on, what do we make of this? what is the risk that russia would step out of this agreement? >> when you look at the report that broke this news, we might see a signal later this week. whether they agree to the exemption, there is also another question that that is not 100% clear. if it does fell apart, it could lead to other countries doing the same thing. saudi arabia could boost output and other countries may be willing to step in. there's also a question on if they are able to increase outlook. even with a modest increase the agreed to. there are a lot of questions. dani: with this meeting, even if they want to increase production, those demands are still on their radar. >> that chinese, zero kobe policy is something they are lo

this is bloomberg. ♪ how will your business adapt to change? you could hire an office full of peyton mannings. what's up, peyton? good morning, peyton. hold for peyton. they'd huddle.... welcome to the peytonverse. such a visionary. game plan... you go. no, you go! and call audibles... double our investment in omaha! omaha! omaha! omaha! or you could use workday. omaha. the finance, hr and planning system used by over half of the fortune 500. for a be-agile-like-an-mvp world. workday. for a changing world. >> inflation is undesirably high and is projected to stay that way for some time to come. in july, we intend to raise our rates for the first time in 11 years. jonathan: the first thing i read this morning. that was president lagarde, calling challenges for monetary policy in a rapidly changing world. this is bloomberg surveillance with tom keene, lisa abramowicz, and jonathan ferro. muted price action on euro-dollar. the bond market yield is a little higher. tom: i am going to focus on brent crude, six dollars away from west texas intermedia

mark: i'm crumpton with bloomberg news -- i'm mark crumpton with bloomberg news. the eu executive arm is expected to recommend next week that ukraine be granted candidate status, a key step on the long pass to e.u. membership. a recommendation which needs to be approved by eu commissioners would come with conditions linked to the rule of law and anticorruption legislation. the head of the international atomic energy agency says iran has a very small window of opportunity to restore its landmark 2015 nuclear agreement with world powers. iran has cornered at -- has ordered international monitors to remove surveillance cameras to account for stockpiles of nuclear fuel. iaea director general rough ale narayana grossi called that order deplorable and said iran is risking a fatal blow to hopes of reviving the nuclear record. sri lanka's president is trying to avoid further disruption to electricity supplies amid ongoing antigovernment protests across the island nation. a plummeting currency and lack of supplies has mired sri lanka in the worst economic crisis in its mod

this is bloomberg. ♪ haidi: u.s. officials are said to be working to arrange another call between joe biden and xi jinping is tensions remain high over ukraine and taiwan. let's bring in chief north asia correspondent stephen engle in hong kong. as the call going to happen, and when? -- is the call going to happen, and when? stephen: president biden ward you jinping there would be consequences if he supports vladimir putin's war in ukraine. then, tensions, u.s. officials warning that the chinese have been warning them in private conversations that the taiwan strait is not international waters. the u.s. practices freedom of navigation in the south china sea and through the taiwan straits. that is a potential sticking point. human rights is an issue. lots to discuss. these two gentlemen have not talked since march 18. this is what u.s. ambassador to china nicholas berg overnight had to say about the urgency, if you will, or prospect of a conversation between biden and xi. we want stability in the relationsh

>> this is "bloomberg daybreak: europe." i am tom mackenzie alongside dani burger in london and these are the stories that set your agenda. dani: --super easy monetary policy, hitting the end again. wall street crushed. driving the s&p 500 to its lowest level since session fears return. ecb president lagarde is set to tell -- protect borrowing costs. tom, i'm back in what feels like a very dramatic market. slamming risk assets. tom: and historic week for the -- an historic week. the fed had a basis hike. dani: that will be interesting. tom: the yen in focus for us on the back of that decision. whether or not corona spells out any adjustment to the trading and for the 10 year bond over in japan, when it comes to that press conference, 7:30 u.k. time . the japanese yen weaker by one point 3%. when it comes to euro-dollar, this sort of caught fire yesterday on the back of the news that madam lagarde -- details around this anti-fragmentation tool that she says will be used if there is a sharp spike in the weaker nations. a bit m

this is bloomberg. paul? paul: still to come, our guest joins us as we assess the fallout between the tussle between china and the u.s.. investors brace for more pain after the shock u.s. inflation number. this is bloomberg. ♪ >> we see inflation continuing to rake havoc. >> certainly the drivers of inflation. >> broadening and deepening out. >> everyone knows inflation is going sticky. >> inflation will be stickier at a much higher level. >> more clarity from the fed is what is needed for the equity markets. >> there is more work to do. >> more work to do in the coming weeks and months. >> rates will go significantly higher. >> above 3.5%. >> between 50 and 75 basis points. >> can the fed pause in september? we know the answer is no. >> i don't think anybody thinks we are going to get out of this without interest rates being significantly higher than they are right now. paul: some of our guests reacting to the blowout u.s. inflation. the fed and some of the most influential central banks will have to confr

bloomberg has learned the u.s. is set to escalate a claim that mexico violated a free-trade agreement. a direct outcome if it could lead to the u.s. imposing tariffs on mexican imports, and could increase tensions between the two countries. wall street's biggest banks are set to return tens of dollars to investors. they all passed the federal reserve's annual tests of their ability to withstand market turmoil. banks such as jp morgan, morgan stanley and goldman sachs, could handle a severe recession. in the u.k., consumer confidence dropped to a record low this month. rising prices, a squeeze on incomes and disruptions from strikes took a toll on the national mood. its measure of sentiment fell to 41 in june, the lowest reading in the 48-your survey. global news, 24 hours a day, on air and on bloomberg quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. i am rich cowen group top. this is bloomberg. -- i am ritika gupta. this is bloomberg. ♪ >> it is unconditional, our commitm

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i'm vonnie quinn, this is bloomberg. yvonne: still ahead on bloomberg markets: asia, we take a look at how china's demand for ev batteries is dealing with men -- fueling lithium markets. rishaad: cmc things another 75 basis point interest rate hike may not happen. calvin long -- kelvin long joining us to discuss that strategy. this is bloomberg. ♪ yvonne: you continue to see equities altering when it comes to this stock rally. we are getting into the quarter end, the dollar is softer and yields are mixed, but picking up which led to the selloff which led to this rally taking a pause. i can't talk today. rishaad: it happens. [laughter] let's bring in kelvin wong, thank you for joining us, you are at reckoning on not a 75 basis point hike coming out of it then in july. -- out of the fed in july. saying this is down to the bullwhip effect, and that would mean essentially that a lot of consumers will not be able to take steps back because inventories are so overstocked that we could have a period of disinflation, is that y

tokyo time on the bloomberg -- on bloomberg television. let's get a quick check of the latest is this flash headlines. they will introduce the first electric car in the country in 2026. it also reports that ev's will account for 20% of south korea's automobile market by 2026 and up to 40% by 2030. renault will maintain its alliance with nissan to support the process and strengthen ties with china. sources say -- broadcast rights to cricket got nearly $6 billion on the first day. -- disney and sony are the leading contenders. they are battling for a five-year contract for one of the world's most popular sporting events. bidding resumes on monday. tencent bought a .72% stake in a walmart owned retailer last year. 264 million dollars. that is based on flipkart's latest evaluation. authorities notified -- this financial year. shery: we are now getting the latest members when it comes to shanghai, adding 37 local covid-19 cases for june 12. we are watching the covid case and infection numbers in china very closely as we have seen shanghai now l

this is bloomberg. haidi: hong kong's outgoing chief executive carrie lam says hotel and teens have heard the city's status as a financial habit, and she says the government could have prevented elderly covid deaths with a stronger vaccination drive. however, she refused to apologize. >> if you look at the past two years, before the fifth wave hit us, for a period, hong kong was ranked the world's number one in terms of normalcy. that is when other countries and places were imposing the stay-at-home permits and lockdowns and closed their airports and so on. we were, by and large normally. but since the fifth wave hit us, and it hit us very hard, particularly in terms of the number of deaths -- >> we went from 300 to 9300 deaths. >> we had to be extremely cautious. at the same time, because of the trust visibility of omicron and the mildness of this virus while other places were opening up. by comparison -- i am a person who believes in relativity. everything is relative. when people are opening up in ho

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this is bloomberg. haidi: chinese president xi jinping arrives in hong kong on thursday, his first visit in five years in the first time he has left the mainland in nearly 900 days, amid the strict covid zero policy. chief north asia correspondent stephen engle is covering the visit. so what will stand out, halfway through china's commitment to one country, two systems? stephen: i will be wondering what his tone will be. we heard vonnie talk about his comments in wuhan, where he essentially said the economy could be the victim of a prolonged covid zero strategy, and will that apply to hong kong? will hong kong continue to be shackled to the covid zero policies of china, or will hong kong be allowed to chart its own course as an international financial center, as places like singapore, dubai, new york, london, chief competitors of the international stage for financial services which are completely opened up. in hong kong there has been clamoring for the relaxation of quarantines. china cut their quaranti

i'm vonnie quinn, this is bloomberg. shery: helsinki and budapest are being targeted with the push into europe. we speak exclusively about the airport hospitality group expansion plans in our generation x series. this is bloomberg. ♪ avon: the airport hospitality premium group open new lounges in frankfurt, helsinki and edinburgh as it looks to make the most of its uptake and travel with a push into europe. the group has me and assist in places like hong kong where it already has an established presence. i'm bringing in the director of development in one of the second-generation striving the firm through this pandemic. he speaks to us exclusively through generation x. obviously the world of emerging post-covid, i'm wondering how are you seeing the travel industry recover now? what are you most excited about at this point? >> good morning, first of all, good morning from dubai. certainly, i definitely do see that the industry is going through a very turbulent time because of covid-19. before in the past, two years ago,

this is bloomberg. ♪ kriti: this is "bloomberg markets." we discussing level inflation. u.s. farmers battling floods, heat in a bid to replenish food supplies. let's dig in with jen. thank you for joining us. there are challenges for farmers now. it is not easy to grow food. can you walk us through those issues? jen: you touched on a couple of important ones. we have seen the weather be a big issue this spring. parts of the u.s. growing areas are dealing with flooding, excess moisture. others are dealing with heat and drought. every bushel matters this year. supplies out of russia and ukraine are in certain. there has been a lot of challenges in terms of getting that crop in the ground. also prices. things like fertilizer are expensive for farmers. they are in a big squeeze. kriti: that context so crucial. thank you as always. we will bring back in ertharin cousin who has experienced in this kind of story. united states is a massive exporter of grain. why is it not that simple to simply plant more, grow more, export more and solve this food