scarlett: welcome to bloomberg markets. inflation has eased for a fourth straight month. how does the chamber report markets? s&p 500 is higher because it had been priced in following the wholesale price report. stocks initially declined but are now up half of 1% with the nasdaq to thank for it in large part. nasdaq mixed at the moment but it is keeping pace with the broader market. little change in bond yields right now but at the broader end of the curve the yields are going down.

the dollar, drifting lower by 2/10 of 1%. let's get you some mid-day movers on the equity side. we are starting with alphabet, shares sliding after the report came out that the department of justice is considering a breakup of google after the landmark court ruling found that they monopolized online search markets. stocks fell in the decline extended into the cash session. another big mover, kellen nova up after mars announced a deal to buy the company for 36 billion dollars, bringing together two major food companies in what has been described as the biggest deal of the year. the price represents a 33% premium over there closing price, the last day before the talks were initially reported. outside of individual company names, the big headliner is the u.s. cpi report. here's david kelly from j.p. morgan earlier today with his

take on the latest read on inflation. >> i think it is good news. in the actual transaction market of the economy where people are bidding and asking in terms of prices, inflation is disappearing. overall it confirms the idea that inflation is heading down. scarlet: to continue the discussion, let's bring in kelsey barra, from j.p. morgan in management. good to speak with you. give us your overall lead on inflation, the picture following the cpi release and the ppi release. >> in general the inflation genie is back in the bottle and i feel like that is really the key message i would want to get across. i think about where inflation is still above trend, it is concentrated to two primary categories, shelter and auto insurance. outside of that, there actually

isn't much inflation. things have really returned back to normal. for example, if you look at core cpi excluding shelter, month over month it has been negative for three months in a row, so this is the inflation report that the fed is looking for. essentially it removes the tail risk of inflation re-accelerating and allows the fed to have quite a lot of flexibility as it leads to responding to downside risks around growth in labor markets. scarlet: taking a step back to understand how we got here, disinflation involved over the past year. it was good spaced, now it is services-based. is that how it is supposed to unfold? kelsey: it makes sense that that is how it unfolded, low hanging fruit was the goods inflation. the tougher inflation to take down has been the services. so, i think the fed should feel

more confident with the inflation we received over the last three months than the inflation of the last three months of 2023. because it is more broad-based this inflation than it was back then. scarlet: you mention shelter and auto insurance, the sticky parts in terms of categories is still showing elevated pricing. what would lower rates from the fed do for those categories? kelsey: the things driving those categories, auto insurance -- it's both essentially lagged. if you look at where they are right now, it is telling you about where the markets were 12 months ago. so, it's not really particularly helpful from a forward-looking perspective, which is why i think the fed should be comfortable starting the easing cycle despite the fact that those, those categories year-over-year are still elevated. scarlet: have they run their course? if it is a lagging indicator, do they have room to go up? kelsey: they have room to come

down at this point. they are starting to decelerate with more room to move lower. shelter has come down 300 basis points year-over-year. that could probably still normalize. not calling for anything materially weaker than what we had pre-covid, but rental rates are back to where they were pre-covid in terms of rent growth, 4% to 5%. that's the type of numbers we should probably be seeing over time as the data involves. scarlet: let's get your take on portfolios. soft landing is the most likely outcome. how are you positioning for that and hedging, protecting against that possibility? kelsey: right now the market has two things to contend with. one, the risk of acceleration and inflation, that's the one where we have definitely been able to bring the probability significantly down and it supports a soft landing narrative. the risk on the other hand is that we see more weakness in the

labor market, that determines not just the start of the cutting cycle, but also if it will be more aggressive going forward. so, the things i'm really watching going forward, retail sales tomorrow, claims tomorrow, the earnings from walmart, these are the indications we are looking for to determine if we are still in a soft landing or if it is something more difficult. how my adjusting portfolios? one thing i find attractive is the hedge against the risk that the landing is harder, curb steepeners. you have seen it steepen as the fed approached the start of the easing cycle. the tens curve is still inverted. scarlet: though very briefly on inverted. kelsey: very briefly. we should start to see that fully this invert. aggressive steepening tends to happen when the labor market is beginning and when you have

those more aggressive rate cuts. scarlet: last week's global market meltdown turned bonds into a hedge against assets. prices were rising and it pushed yields lower. is this a regime change where we go back to a inverse relationship between stocks and bonds or is this temporary? kelsey: i think we are returning to the more traditional correlations between bonds and equity, fixed income has proven this month to be a good hedge your risk assets. the reason the correlations are shifting back towards diversification working in your portfolio between bonds and equities is because inflation has come back to a more normal range. so if you look at the rolling correlations and plot them against inflation, once core cpi falls below 3%, that's when it turns right way again. scarlet: basically inflation needs to cooperate for this

portfolio to make sense. kelsey: exactly. scarlet: we have been in higher for longer mode since 2022, investors comfortable sitting in cash collecting fast fields. it would be a big psychological shift for investors to shift course and add to duration. do you see them doing this in a meaningful way? kelsey: we are encouraging them to do so. we don't want people to be complacent with their money and cash at 5%. that is a temporary rate and you are faced with a reinvestment risk if you do that. it feels good in the moment, but the environment can shift quickly. we are starting to see a demand for duration picking up and you are seeing a not only in treasuries but also when you look at credit. for example, this week has been a blockbuster week for supply and it has been met by a lot of demand. i think we are seeing that

demand for high-quality fixed income across the board right now. scarlet: really appreciate you joining us today, kelsey, from jp morgan investment management. coming up, we are going to look closer at the move by mars to purchase tell anova. the largest food deal since kraft heinz. we will discuss all of it next. you can see that kellanova is up. this is bloomberg. ♪

>> we are faced with a challenging u.s. environment, just like any other consumer facing company. >> we have pressure on consumers overall. >> more than anything we are

seeing lower income consumers stressed. >> consumers are making choices in the everyday basket. >> the u.s. economy is stronger and the consumer will come back as the economy continues to strengthen. scarlet: those are c-suite executives speaking to bloomberg about the pressures of a slowing economy. against that backdrop is mars purchasing snack brand kellanova , bringing together two companies, said to be the biggest deal of the year. joining us with more is jennifer, our senior analyst for retail staples and packaged food. jennifer, is this defensive or offense of on the part of mars? jennifer: it's a combination about. defensively, mars, the part of the portfolio that isn't snacking is heavily reliant on coco, a commodity where prices have been very high and will

continue to be high for some time. adding diversity on the snacking side is a defensive mood -- move. this will also allow them defensively to it -- offensively to expand into areas of great opportunity. it's the combination that helps the deal to make sense. scarlet: tell us more about that. how does buying kellanova increase the reach of mars into new markets, markets where they have very little exposure at the moment. perhaps not depth. jennifer: kellanova had very strong performance results in the last couple of quarters driven especially in latin america, an area that has been particularly strong, where mars has a slightly weaker market share. the momentum from tell anova -- kellanova in latin america is where there could be great synergy for mars. it's worth mentioning kellanova

has distribution in africa, so there might be opportunity to broaden distribution there. scarlet: good point, especially with mars contending with cocoa prices. will this trigger more consolidation? jennifer: when we look at this deal, there are a couple of things. we see it will help mars with worker share. we don't think that there will be a lot of pushback in looking at the deal on the ftc because the portfolios are so diverse. but it does look like it checks a lot of boxes for both companies. scarlet: we talked about the defensive end offense of nature of the deal for mars. who are the likely buyers and who are the likely targets across the food industry right now as we look at possible knock on effects from the deal going through? jennifer: so right now there is a lot of effort to consolidate

into what are considered higher growth areas in the industry. snacking is an area where the consumer has held up and they continue to spend and everyone is pursuing those opportunities there. companies have been moving into snacking more heavily over the last couple of years. hershey, traditionally more chocolate, has some salty snack sales. in terms of opportunity for future m&a, there are companies where there are areas where there is weakness and an opportunity to solidify operations, through acquisition, meaning companies like potentially beyond meat, it's in the alternative protein space but has been struggling. that is a category where consumers have not been as robust. other areas, anything driven by convenience, you know, that is something that we heard kraft heinz talk a lot about. consumers are looking for

solutions. you know, companies are on the hunt for things to shore up portfolios to meet consumer needs. scarlet: spending on other companies and other brands is traditional, there is also spending on innovation. do you see any of these companies spending on innovation in a way that will payoff and increase roi? jennifer: most of these companies are increasing innovation spend this year. might not be exponentially but right now consumers are hard to tempt into purchases. innovation is one way you can get consumers excited and reengaged. they are increasing marketing spend. one of the big issues for these companies this year is to increase volume sold. they have lost the ability to really raise prices, so if they want to sustain topline growth, it has to come from higher volume being sold. the combination of innovation, marketing, and promotion, that

is what they are investing in to achieve those results. scarlet: as they wait for the following volumes to turn around. jennifer, really appreciate you joining us, giving us your perspective on what is to come in the food industry. coming up, more m&a developments as cannabis company tilray brands grows the deal for a new portfolio. we will be speaking with their president and ceo, erwin simon, next. where ya headed? susan: where am i headed?

am i just gonna take what the markets gives me? no. i can do some research. ya know, that's backed by j.p. morgan's leading strategists like us. when you want to invest with more confidence... the answer is j.p. morgan wealth management ♪♪ more smiles per hour at the ultimate caribbean playground. visit beaches.com or call 1-800-beaches

scarlet: this is "bloomberg markets," i'm scarlet fu. quite a bit of buzz around tilray today as it branches out from cannabis into beverages, purchasing four cap -- craft beer brands from molson coors. this is a move that further

diversifies their portfolio following last year's acquisition of eight brands from anheuser-busch. i'm pleased to say that here now is there ceo and president, erwin simon, along with open interest cohosts, matt miller. irwin, why these brands? how do they move the needle on your long-term diversification plan? irwin: nice to see you. we started as a cannabis company, the largest in canada in recreational medical. looking for legalization to happen in the u.s. and not seeing it happen, i knew we had to diversify. one other fun area, one other adjacency was the spirits and beer industry. 2020, i wired sweetwater brewery, they had a brand called 420, we all know what that means . it was doing 2.5 billion cases. with this acquisition we will be

doing over one million barrels. why beer? i saw that category declining and i saw the opportunity within craft beer to make it fun and unique again. i saw that there was not a lot of innovation around beer. with tilray's beverages we have come out with 50, 75 new products over the last year, gaining months of distribution. now we are the fifth largest craft room were in the u.s. i think that as you think about millennials, think about gen z, how do we get them to drink beer? one day if cannabis does legalize in the u.s., hey, thc infused beer is something that will be exciting. matt: i think there are some issues around thc infused drinks, difficult to dose. there are a lot of people in this country who have quit drinking beer because they can legally use cannabis, for

example, here in new york. i think 26 states allow for legal use. why can you not operate in those states that have legal cannabis dealers? irwin: great question. because we are nasdaq traded, we cannot partake or sell cannabis products within the u.s. let me tell you, i'm watching the election pretty closely and i think both candidates have come out to talk about legalization. you know, when biden and harris were elected four years ago i didn't think i would be standing here today talking about rescheduling or legalization. something has to happen into your point, 27 states are legal recreational, 35 states is legal from a medical standpoint. 75% of the country has cannabis legalized in their state, but it isn't from a federal standpoint. if that happens in terms of

rescheduling, and it is crazy out there that it is scheduled as cocaine. i think something is going to happen. tilray is ready to go. we are ready to go with infused drinks. matt: that scheduling looks like it is about to change. it has been recommended to change. and we have the safe banking act written and ready to go. it is tilray taking part in any kind of push for congress, for the senate, in order to pass the safe banking act and allow, you know, the financial side, the back office of weed sales in the u.s.? irwin: listen, we have been a part of it for a long time and today is -- we are one of the largest cannabis growers in the world with over 5 million square feet in canada in two major

facilities in europe. recently saw what happened with germany regarding medical cannabis. so, yes. our politicians have got to listen to what consumers and voters want. you know that we pay about $150 million in excise tax in canada, $1 billion probably paid in excise tax? if you take it 10 times there are probably 10 billion in tax dollars being missed because cannabis is not legalized from a federal standpoint. so, ultimately something will and got to happen, allowing us to sell medical cannabis, if that is what ultimately legalizes it here. you know, that is what citizens want. scarlet: sounds like matt was asking you how much you spent on lobbying. matt? [laughter] irwin: and you know i'm not going to answer that. [laughter] scarlet: we'll scour your

financial releases. over the past three years, tilray has expanded into beverages and alcohol in a big way. from 5% to 25%, shared revenue went from 12% to 39%. distribution is the third leg with wellness mixed in. what do you want to break down to look like in the next few years? irwin: when i come back and say that we gained protections, a few years ago when i thought that legalization could happen in the u.s. i thought we could ultimately be a 3 billion, for billion dollar business, but i want tilray to be a lifestyle company. beverages, wellness foods and other wellness products. a lot will change depending legalization. if it doesn't happen, tilray is well situated to grow in the u.s. regarding our beverage business. we are not just beer. we are spirits and energy drinks.

i think something will happen. and i'm excited -- we didn't touch on europe. regarding rescheduling in germany, largest country in europe, from a medical standpoint, medical state -- medical cannabis is for sale in 20 different countries throughout the world it in germany every doctor today can write a prescription for cannabis and through a drugstore you can obtain payment. we have a major grow facility in portugal and in germany to supply that. so, if cannabis was rescheduled in the u.s., with our grow facilities in canada, we think we could ultimately sell medical candidate this -- cannabis within the u.s. scarlet: is federal legalization in evitable in four years? -- inevitable in four years? irwin: ultimately i think you will get announcements from

either candidate running for president. i absolutely would not be standing here four years ago after the last election not talking about it. scarlet: got to leave it there. irwin simon tilray of tilray. ♪ ( ♪♪ ) so morgan stanley is partnering with the women's tennis association to remove them. ( ♪♪ ) because this game is for everyone. ( ♪♪ ) when you automate sales tax with avalara, you don't have to worry about things like changing tax rates or filing returns. avalarahhh ahhh

nd of paper in there avalarahhh and i had 20 grand of gold, a paper ain't going to make me any money. so i just bought it because it's my insurance policy. if you'd like to learn more about why physical gold should be an important part of your portfolio, pick up the phone and call to receive the complete guide to buying gold, which will provide you with important, never seen before facts you should know about making gold purchases u.s. money reserve is one of the most dependable gold distributors in america.

scarlet: welcome to "bloomberg markets." let's get a quick check on where things stand in the markets. stocks and bonds are higher on the long end of the yield curve, though they have paired advances in equities with the nasdaq lower. big tech is still kind of the wobbly part of equities. we have higher bond prices on the long answer with lower yields in the 10 year at 3.821 percent, the dollar falling to the lowest since march. as for equity movers midday, we

are looking at progressive. shares are gaining and reporting strong growth and margin performance in the latest report, reporting the premiums earned in july were $6 billion in shares were up 85% in the past year. we are also looking at cardinal health, up after posting that a earnings beat revenues and raised $60 billion, raising their 2025 profit outlook. now, when we go back to the big picture, the economy, we spoke with [indiscernible] and he said that things are looking up for the fed in the markets. >> when you look at the dual mandate, pc inflation is below the 2024 forecast in the other side of the mandate is what everyone is watching more closely with the labor market holding softness on track for the september 18 fomc meeting. scarlet: jennifer lee joins us

now. we got the kind of inflation report that didn't do much to change the market wager on what the fed is going to do next, a likely rate cut. are you comfortable with what the market is pricing in? jennifer: good afternoon, thanks for having me on the show, and i'm going to date myself right now, one of the first lines that came into my head when i saw the numbers this morning was a platinum blonde, standing in the dark, at the beginning there is a woman who asks are you sitting comfortably and we will begin. i feel like fed chair powell is probably very comfortable what he has seen, like the fourth straight cpi report in the world that has been encouraging, putting him in the rest of the fed in a comfortable position to start cutting rates in september. you know, this is what has been called for for some time now and i'm anxious to see what he's going to say is the projection later this month with hopeful confirmation that the rate cut will be coming in september.

scarlet: i'm always up for a music reference, no matter the era. [laughter] the upcoming labor market data that will be critical in determining the speed and size of rate cuts, which specific data points will you be paying the most attention to, it will jay powell be paying attention to? jobless claims, non-foreign payroll, the unemployment rate? jennifer: i'm going to point to the unemployment rate that has shown very little movement, concerning over the last year. we saw that rate tick higher, 4.3%. the headline report will also be of interest, you know, just given that it is always undergoing revision and i'm curious to see if we will see a bounce back from what we saw, 100 14,000. i think that the jobless rate it self and earnings will be top of mind for the federal reserve, if they had to pin it to just a

couple of's. the entire report will always be watched and parsed carefully for how weak the labor market is becoming and how resuming it, we will have to see. scarlet: i'm sure he will include the totality of data when he speaks. i want to get your take on the latest data when it comes to mortgages. this is a weekly release and what was surprising was how much it rebounded. surprising that refinancing jumped 34% to its highest in two years. we know that the 10 year yield dropped, but the fed hasn't even cut rates. what does that tell you, that there is that much pent-up demand? jennifer: anticipation over what is to come. people getting in before the cuts, we had to take those weekly numbers with a grain of salt because there can be so much volatility. week to week it could be related to the weather as well.

overall, i think that with, with what we are seeing so far in terms of slower economic growth totality, it has pointed to slower economic momentum, easing inflation, cooler job demand, paving the way for the fed to comfortably start cutting rates and it isn't coming a moment too soon. they have been waiting a while and have been accused of being behind the curve ball, but in general is a reasonable time making sure that inflation is coming back down to target with labor demand cooling. we are all waiting for that cut. scarlet: you mentioned slowing momentum. i'm looking at the calendar for data releases for the rest of the week and the other big one tomorrow is retail sales for the month of july. they surprised on the downside the previous month because of that cyber attack on auto dealers. to what extent will it show a catch up from car buyers as a

result? jennifer: we will probably see some catch up as factors like that give a rebound over the coming months. it is more looking not just at the headline, but staying away from the headline with the volatility going into it. it's looking at what consumers were spending on discretionary items, giving them the idea of how comfortable consumers are in terms of continuing to spend in their own economic situation. i would be looking to spend more on recreational goods and services, something they have been doing that points to confidence in the u.s. consumer that they will continue to spend and that they are comfortable with their job situation. in terms of dying out, i love that one, decline is weaker with weaker numbers coming in. it's upsetting but overall if

you are spending on recreational items like vehicles and goods in-service is, i think it gives us a lot more confidence going forward. scarlet: we started with the fed, i want to end with the fed to, in retrospect what was the freak out over the rate cut that was priced in? i wonder how easy it is for it to flare up again. jennifer: i was wondering that myself. i was looking at the markets and going -- what did i miss? we had a combination of factors. a couple of tech companies announcing big layoffs, missing results. the bank of japan and the rate hike should not have been too much of a shock. it came as a shock with the subsequent rebound, and interestingly i'm thinking that perhaps when the fed chair was sounding more dovish at the last fomc meeting, maybe it freaked

out people because they were thinking what does he know that we don't? this is waiting for, for him to sound more confident that he will cut rates. always a bit surprised that markets had that bit of overreaction. it has been markets as well in the summertime, anything could happen to cause markets to flare up or down again. scarlet: jennifer lee, thank you so much. "bloomberg markets"bloomberg markets coming up on," shares of ubs are up on the latest earnings report. the ceo told bloomberg that they are gaining market share in the u.s. we have highlights from that conversation. this is bloomberg. ♪

olukai sandals capture the feeling of stepping barefoot into wet sand. the perfect balance of instant comfort and lasting support. say aloha to olukai. anywhere comfort. anywhere aloha.

(♪♪) i was the last athlete out on the floor and i still had a full round to go, and everything in me was saying, “just stop.” i kept plugging through until i got time capped. because i didn't quit and i just kept trying as hard as i could, it's actually one of my fondest memories of all the games. i want others to feel that their worth is based on their efforts and their willingness to put themselves out there. our effort is the only thing

we can control.

scarlet: this is "bloomberg markets." stock of the hour is ubs, shares higher in zurich, trading at 5%, beating estimates last quarter with higher-than-expected profit thanks to investment banking revenue, making progress in the integration of credit suisse, doubling down on returning to shareholders in a buyback. >> for the markets and for many investors, what happened early on this month has been a wake-up call. looking at the magnitude of the movements. people should be careful around proper diversification and being

thoughtful about the way you invest money. in that sense, the fact that we have made back everything within one or two weeks cannot be, cannot bt -- taken as a temporary issue, in my point of view. one has to think that that is a sign of elements of fragility in the system. >> does it get easier with a fed cut or does it get more complicated? heading towards the election. >> with central bank cuts, it depends on how and why they cut. so of course there is now capacity probably to accommodate cuts based on lower inflation. also willing to watch exactly what the underlying economic drivers are. to the extent that the fed is forced to cut more aggressively because of economic downturns,

that would not be good for the markets. we need to watch why rates would come down and how they could come down. we see room for a foreseeable future. going as far as the market wants. this far as the market wants the fed to go. the market has been used to seeing central banks stepping in in the previous cycles. it's quite clear that the central banks are focused on inflation. they don't have so much capacity to go as far as the markets. scarlet: that was the ubs ceos speaking with francine lacqua.

victoria's secret, gaining as a poached a ceo to help in turnaround efforts. victoria's secret has been struggling for years thanks to falling demand and increasing competition. mary ross gilbert has more on this. it is clear that investors like the news, the stock is up 13%. what can you tell us about what she has accomplished? >> thank you for that question. with savage xfinity, she was there for over a year. we don't really have insight on how much revenues have grown. it's a small business. the beauty business is much larger. from what we could find on the monterey business, savage x

fenty, that's very small, under 100 billion in revenues, but she was at the helm of the anthropology brand under urban outfitters. when she was there it was under 1.6 billion and has worked at american eagle outfitters, she was responsible for -- she was an executive and not the home. tremendous experience. the largest in monterey with a 20% market share. has been making great progress on their turnaround and now we can get it back to growth. scarlet: when we talking about ceo's coming in and turning it around, abercrombie & fitch is setting the round for how to refresh tired 90's brands. what will you look for in terms of seeing if she can do that.

she needs to do what she did at fenty, but at scale. scarlet: mary: she has attics -- mary: she has that experience, that is why they brought her in. what we will see is, first of all, it is a woman focused business and it is nice to see someone come in like hillary zuber. martin waters, the ceo who is exiting, he has done a great job resetting the brand. it's a highly inclusive brand. whereas it wasn't before. the business probably peaked around 2015 to 2018. that it lost market share, 10%. it had been over 30% in 2015 and now it is closer to 20% but it seems to be stabilizing. given the earnings around

consensus and preliminary figures, we are seeing improvement there. i think she will be able to take it to the next level interest or growth to the brand, we have seen revenues declining. and of course, the fashion show is back. we will have a new fashion show. that had been on hiatus. it had been more of a documentary style. it's very exciting. thinking about it, victoria's secret has 76 million followers on instagram savage x fenty. if you look at the -- if you look at the savage x fenty brand, they have 5 million, giving you a difference in terms of magnitude. scarlet: in terms of price points and looking at images of the savage x fenty website, if you take a ordinary brand brawl

from rihanna, it's on sale, two for $29 here, victoria's secret is $15 or $16. how will she make that transition from something high-end to something mass-market? mary: it's interesting, victoria's secret itself is brand, and as you look at the dream brought, the body by doria, those price points are probably more aligned. and again they will have promotions, but when you look at that, it really is more of a premium orientation. they did acquire the value oriented brand dormi at victoria's secret, digitally native with tremendous technology. the technology is something they will be able to take and

accelerate in terms of transformation and bringing subscription services to the victoria's secret brand, trying on at home. something that is in test mode right now and expected to be rolled out. that is where the opportunity lies with different brands in the marketplace. victoria's secret will bring in clothing lines and bathing suits. it will be like different brands that they have there. you can look online and see them. there is the marketplace opportunity that goes further. when you think about how sizable the brand is, internationally it's in the double digits. scarlet: on instagram it was 75 million and something that she can focus on. mary ross gilbert, thank.

-- thank you. coming up, the world's largest steel producer worried about a potential crisis that could be bigger than the 2008 housing bubble. this is bloomberg. ♪

matt: -- scarlet: the world's biggest steel producer, sending shockwaves across the globe. the chairman warning that the deeper industry downturn is coming for the metal with conditions in china proving to be in his words longer, colder, and more difficult than expected. she described it as a harsh winter. richard burke is here. was this surprising to hear such franked comments in a frank

description? richard: i think the market kind of expected, given what we have seen over the past year or so, we had seen exports from china go up markedly then it had in the past. so, i think the market may not have been that surprised. what may have been surprising was the frankness of the comments. absolutely. especially from a company owned by the central government how do you read that, what's different about it this time? there probably is not a stimulus where the government could come in and stimulate the property sector. the chinese policy has changed to moving towards infrastructure and away from the property sector. what has happened is, in the past, 2008, 2009, 2016, they

watched a huge project stimulate the property sector. what happens is now we have access to property and buildings , landowners buying land to finance the local chinese governments. local chinese governments don't have money. that is the big difference. scarlet: in terms of ramifications, how are you thinking about this? u.s. steel still trying to get the merger approved. you talked about rising exports. how should u.s. steel brace itself? richard: u.s. steel is one of the most protected markets in the world, but that said we have

indirect consequences. we have heard steelmakers complain lately about exports from mexico coming into the country. it's a trade agreement. why would that be the problem? the problem is, it's not mexican steel. it's important from -- imported from vietnam and has been directed. china has basically shipped the steel to vietnam. now we have that. the u.s. is probably one of the most protected markets with implications flowing through. the impact is with europe, likely the most susceptible with imports coming up. scarlet: they've been

highlighting those challenges by reporting their earnings. richard, thank you. i'm scarlet fu and that does it for "bloomberg markets." what about zocdoc? so many options. yeah, and dr. xichun even takes your sketchy insurance. xi-chun, xi-chun, xi-chun! you've got more options than you know. book now. ryan t. writes, "moving is stressful. can you help me take one thing off of my to do list?” ugh, moving's the worst. with xfinity, you can transfer your internet in just a few taps. just a few easy moves. did somebody say “easy moves”? ♪ ♪ oh no. no, i was talking about moving your internet. this will move the internet. ♪ ♪ ooh, ooh. -let's keep it professional. professional dancers! -ok! stay connected during your move with the best in home wifi. easily transfer your services in the xfinity app. bring on the good stuff. when people come, they say they've tried lots of diets, nothing's worked or they've lost the same 10, 20, 50 pounds

over and over again. they need a real solution. i've always fought with 5-10 pounds all the time. eating all these different things and nothing's ever working. i've done the diets, all the diets. before golo, i was barely eating but the weight wasn't going anywhere. the secret to losing weight and keeping it off is managing insulin and glucose. golo takes a systematic approach to eating that focuses on optimizing insulin levels. we tackle the cause of weight gain, not just the symptom. when you have good metabolic health, weight loss is easy. i always thought it would be so difficult to lose weight, but with golo, it wasn't. the weight just fell off. i have people come up to me all the time and ask me, "does it really work?" and all i have to say is, "here i am. it works." my advice for everyone is to go with golo. it will release your fat and it will release you.

>> from the world of politics of the world of business, this is "balance of power."

live from washington, d.c. >> inflation easing for a fourth month, for both campaigns can find grist in the cpi. welcome to the fastest show in politics as the economy crosses over. the data hit today, kailey leinz, as candidates begin to roll out economic plans. kailey: donald trump will be in asheville, north carolina, followed two days later by vice president harris, who will also be in north carolina talking about the economy, not to mention that she will appear in maryland alongside president biden in their first joint campaign appearance where they focus on the efforts of the administration to lower costs for the american people and they are planning to talk about inflation. joe: which has been kind of a losing issue for the biden campaign