>> it is 1:00 p.m. in new york, 7:00 p.m. in -- opec-plus meets on output, crude jumps and leaves energy shares higher as the opec panel recommends a $4000 per peril hike from august. we discuss with ellen wall. plus, we speak with the ceo of a space launch company going public by a spac and will be the pursed -- first publicly traded space company on the nasdaq. later this hour, we speak with the interim ceo about a blockchain on the decision to list on the nasdaq. first, in the market this afternoon, we see the s&p 500 gaining an on the record as a

closes at its level, 4310. at the moment, the u.s. 10 year yield rising but only to 147.64. it did touch 143 yesterday. the bloomberg dollar index is .25%. crude is the one to watch. coming close to the brent price at $75.26 per barrel. let's focus in on oil and get to that opec meeting. joining us now is the atlantic council global energy center senior fellow and also the author of the book saudi inca. talk to us first about this opec-plus meeting. they are going to hike output. is that locked in now, and why don't we see 400,000 barrels moving the price down? ellen: so it is not exactly locked in yet. that is the proposal the joint ministerial monitoring committee is discussing, that they will make at the recommendation to

the larger ministerial meeting that has not even started yet. if the committee does make the recommendation, it is pretty likely that it will go through, and we see oil prices move a little bit. wti was $76 per barrel earlier and we knew this had gone down a little bit, just a tad really. we are over $75 per barrel, and this is a signal to me that washington should start to keep an eye on oil prices because we trend toward $80 per barrel and this could pose issues for them. matt: let me ask first about the wti contract and brent crude, which is trading below $76 per barrel as well. they are almost trading at parity. why do we typically see a premium for brent, and what does it mean when they can close to each other? ellen: brent is a little bit of a different type of oil than wti. there is also this holdover

because, for many years, wti was not able to be exported. it was an american benchmark. now that we have wti exported since the u.s. dropped their export ban, the two have been close together, but with this kind of closeness between the two benchmarks, it tells us that because brent is getting so expensive, people are turning to wti to try to alleviate that. so the price of wti gets closer and closer to brent. matt: should i make anything of it? is it a big deal if crude, wti surpasses the price of brent? ellen: it really means people think the price of oil is going higher. it is not an insignificant thing but has happened before. matt: you talked about $80 at the level of which some concern what surface. how important is it to opec to

keep price gains on the down low , because of course they want to get as much money as they can? ellen: exactly. they want to keep the price of oil -- it is kind of like a goldilocks situation. they do not wanted to get to high, particularly because want tickets higher, you will trigger potentially more american production, although american producers have shown remarkable restraint, but you don't wanted to go to low because -- too low because it threatens the amount of money they can make. it is a delicate process. they want to put more barrels on the market because they can make more money by selling more barrels, even if the price goes a little bit lower. so there is this particular window they would like to stay within and they are treading that right now. there is also this issue of a lack of investment going into oil projects around the world. if prices go higher, people may

be inclined to invest more, thus alleviating a potentially catastrophic lack of oil supply in future years. matt: that is interesting. hobby or block was talking about a structural -- hobby air block was talking about a two-part can structural constraint in that on the one hand you have esg concerns limiting the amount of exploration dollars that can be spent. on the other hand, investors one dividends, they want payouts to increase. do you see that affecting opec as much as we see it in the publicly traded western oil majors? ellen: i do not see that as affecting opec that much, because most of the opec

can decide how much they want to spend in it. there are some opec producers that have contracts with ioc's. that may be somewhat effective, but for big producers like saudi arabia, the uae, iraq, they are unaffected by this esg issue. iraq to some extent because they have tried to contract with some of the ioc's. but they are really i think concerned in a larger sense and also they have been hit too. saudi arabia curbed the amount of capex it spent in order to pay bills and fulfill its dividend commitments. it is not as if they are unaffected by the lack of investment. matt: what kind of discipline are we seeing out from opec-plus? ellen: discipline from opec-plus is pretty good. i think we are at like 115% compliance rate. they are doing well. i think they do recognize they do need to relax the production

quotas to maintain that discipline. so if they do not loose in the lease, they will have less compliance. simply because the prices are too good to give out. matt: generally, the only headwind in the price would be opec-plus raising production at a much higher level than expected. ellen: i think there also other headwinds further out. keep in mind inventories have drawn down recently, but they are still quite high. they are much higher than normal. we kind of have eaten up all of the extra oil we could not store because of the pandemic. now, we are back to where we were pre-pandemic, which is pretty high. matt: helen, thank you very much for your commentary. appreciate your insight on this. ellen wald from the atlantic council global energy council

and the author of saudi inc. let's get to your first word news. mass: nancy pelosi has named wyoming republican congresswoman liz cheney to a panel that will investigate the january 6 ride at the u.s. capitol. congresswoman cheney was one of 10 u.s. members to impeach former president trump for his role in stoking the mob that attacked the capital. the panel will be chaired by homeland security chairman bennie thompson. many republicans are dismissing the panel as an exercise in partisan politics. the world has taken a step toward a major overhaul of its tax system. the organization for economic cooperation and development says 130 nations have endorsed a minimum corporate tax rate along with rules for sharing the spoils from multinational firms like facebook and google. the deal sets the stage for an agreement in principle at the g20 finance meeting next week.

the world health organization once any covid-19 vaccine authorized for emergency use to be recognized by countries as they open up their borders to inoculated travels. the move could challenge western countries to broaden acceptance of two less infective -- less effective chinese vaccines which the u.n. health agency license. both european and north american countries have not. china added nearly 49,000 covid-19 cases today, pushing its total infection count at 30 million. also was reported more than 30,000 new deaths one day after the nation's top court said the government must give monetary help to families of covid victims. india has the second-highest infection count behind the united states. only about 4% of india's population is fully vaccinated. global news, 24 hours a day, on air and on "bloomberg quicktake," powered by more than

2700 journalists and analysts in over 100 20 countries. i am mark crumpton, this is bloomberg. ♪

matt: this is "bloomberg markets," i am matt miller. robinhood settled a record $70

million fine yesterday, and earlier today, the dow jones reported the company would offer up to 35% of its shares in an ipo for individual investors. for more, let's bring in shall only bostick -- should nally bassett. robinhood will file an s-1 today. i guess we are waiting for that. that's any moment now. >> the moment we have all been waiting for for many months, isn't it? what's interesting is this coming the day after a record. on one hand, you can see this as a massive fine, but on the other hand, you can see it as robinhood could probably weather this fine. i think the financial information will be one of the most exciting parts of this filing. how much they diversify, we know they have made a large amount of their money from payments for order flow for example, in some cases have the revenue.

so have they diversified at all? what is their cost base? how much is marketing and how much will go toward legal and compliance and provisioning? matt: i don't have $70 million myself, but i still do not consider it a large fine. what is it, one third or not even when he 5% of their first quarter revenue. it is not really very much money considering the size of their business and the size of the market. nonetheless, it highlights the problems robinhood has had, the site breaks down a lot, they have had very big problems with customer service, there has been a lot of concern about the sophistication of trading they allow retail investors. why would they file their s1 a day after all of these issues are highlighted in settlement?

sonali: robinhood has been itching to go public for some time. even with all of these issues, some of them new and some of them have been boiling for some time now, we see customers largely be loyal to robinhood. interestingly, bloomberg broken the sec was reviewing different operations, particularly crypto trading operations. when we asked a representative of galaxy digital what he thought of that, he was saying anything that brings more people to the industry is a good thing. even in an industry, i have spoken to robinhood investors and if they are concerned of these issues. any say the brand is everything and the brand will help them withstand a lot of this. from big investors through retail investors, that is what they are betting on. this will be an early company to be trying to make so much of its

float available to retail investors. that is just starting among robinhood and its investors, but those for this kind of an offering. matt: i saw the interview you and emily chang did, i thought it was fantastic. i tweeted it outcome i retweeted it, and as an aside, my buddy said he would get me verified on twitter. which means more and more people. sonali: you are not verified? matt: i have only been on twitter for 10 years. sonali, what to expect in terms of the pricing? i know we sell reports there would be 35% of its shares offered to retail traders. what we know about the mechanics of the structure of this ipo? sonali: a few things we know. bloomberg is also standing by to break down these numbers as well. whenever we get them. but who owns robinhood is

interesting. to her, one of the investors i will be watching for his -- robinhood raised a lot of money last year alone and we know close to $12 billion is what it was valued at. in december, reuters said it could be close to $20 billion and according to bloomberg intelligence, we know they could be worth as much as $40 billion in an ipo. we do not at the valuation off of that when it comes to the first ipo filing but what robinhood would be worth day one public markets in what is a hot market. a record hot market with very elevated levels of retail trading. it will be fascinating. matt: thanks very much, sonali, standing by with that coverage. as soon as it crosses the ticker, we will bring you the headlines and news. still ahead, we talk with the ceo of astra, who has just become -- which has just become the first phase launch company

to trade on the nasdaq. his trade -- his plans with competing with elon musk and jeff bezos. this is bloomberg. ♪ is bloomberg. ♪ matt: as we went to break, we got the breaking news that robinhood is filing for its ipo. it just crossed the bloomberg

ticker, looking for a listing on the nasdaq with total revenue of almost $1 billion in 2020, $959 million. let's get over to katie, covering this out of san francisco. what do we know? katie: good to see -- good to be with you. i'm in new york today and excited to see this filing. i was just looking to see who the vc shareholders are, which is always interesting to me because i cover venture-backed deals. looks like dsc global ventures, and ea, and rivet capital are the ones that owned more than 5% of robinhood, which could be significant as you are saying earlier. it could be valued at more than $40 billion that bloomberg intelligence is estimating. i have heard rumors it could be valued more. no one knows, because they had not set the price range. this could be billions of dollars for the venture firms and for the early employees at robinhood. this will be a lot of money for

them. we have been looking forward to this filing for quite some time as we have been reporting. they have wanted to go public but they were waiting on the sec who finally green let them. matt: i do not want to put you -- lit them. matt: i don't want to put you on the spot because i know how difficult it is to be on live tv and read through documents at the same time. i will round up the headlines we see right now across the bloomberg. i think one of the interesting things is robinhood has reported a profit for 2020. it actually earned $7 billion in 2020, on revenue of $959 million, which is not a huge margin but better than the loss you may have imagined for compais young. i'm sure a lot of the companies that you cover, katie, when you are typically on the west coast are posting multimillion dollar if not billion dollar losses. the revenue growth has been extraordinary. 959 million dollars in 2020

versus $278 million in 2019. part of that will be a pandemic aspect, but also, this is a company with incredible growth. does that growth continue, especially with all of the customer service issues that robinhood has had, its website sometimes simply stopping working -- for stops working, which is a problem if you are a client trading a volatile stock, especially a day trader. monthly active users, looking at 17.7 million, and the question is, how much does that number arise? what insight do you have on the continued growth that we can expect to see out of robinhood? is it still as popular as it was during lockdown, especially in the aftermath of the gamestop debacle? chris: sure, yeah. -- katie: sure, yeah. having talked with a lot of sources closer's -- close to robinhood, it is my

understanding they continue to do well despite all of the controversies. the gamestop controversy earlier this year, it led to a lot of people publicly proclaiming they were no longer going to use robinhood, but it also reminded people and informed people about robinhood so they got new users who heard about robinhood for the first time or learned about how easy it was to trade on it. they have had strong revenue growth, as you've seen. the stock market has done well, especially in a lot of tech stocks in the last year. so there has been a greater interest from retail investors and investing -- in investing, so robinhood, which made it easier for your average joe to invest, has benefited. matt: i'm just seeing now there revenue in the most recent quarter was $522 million, compares with revenue in the previous quarter of $331 million. that gives you an idea of the trajectory. i also want to alert our viewers

there is, if you a bloomberg client, there is a tliv blog that you can follow -- so you can follow these things as they cross. i am always curious about takers. when ferreri went public, i wanted them so bad to use the ticker enzo for their famous founder, and they went with race, which is pretty good. robinhood chose hood. i'm not sure if that is what i would have gone with, especially considering the reputational issues. have they managed to shake those reputational issues? is the user interface so good and customer loyalty so strong people are not as bothered as you would believe if you spent a lot of time on wall street bets? katie: i don't know. i think there is a mixed sense

on robinhood. there are a lot of people that drop to robinhood and went to competitors and said they would never trade on robinhood again. but there are also other people who maybe don't really care what its reputation is and find it easy to use and they want to make money on the stock market in options, crypto, robinhood is doing a lot of different type of investing. they feel robinhood is easy to use. i have friends that just recently started investing in the stock markets, and they checked out robinhood and within minutes were able to figure out what to do. so i think the revenue shows that they are continuing to grow. people are using robinhood, despite the negative headlines, despite inquiries from capitol hill, people are using robinhood. matt: i think that is true of many of us, anecdotally, have a lot of friends who previously

never invested, at least not beyond a 401(k), and this year started using robinhood to buy shares and trade options. i am looking at some of the headlines continuing across the s1. robinhood expects to be subject to regulatory proceedings. this is something sonali basak touched on. they also say they are involved in numerous litigation matters. sonali, will this be one of the biggest headwinds investors will have to look at depending on if they -- when they buy shares of robinhood? sonali: it depends. look at the record fine compared to some of the business is growing. some of the numbers are just eyepopping. if you look at their cryptocurrency business, year-over-year, change was almost 2000% higher in revenue. the options business, 230% -- 231% higher for the quarter.

we hundred 22% higher for equities. it is not -- we hundred 22 percent higher for the equities. -- 322% higher for equities. since they launched new products, and you can see this early, exponential growth over the 18 million net-funded accounts. that was a fraction of that two years ago. you can see them diversifying in the new products, really what is helping them. matt: great coverage, thank you so much to both of you. katie roof, normally i think on the west coast coming to new york for this. sonali basak covering wall street as well. we will continue to bring you all of the news behind robinhood filing for an ipo with ticker hood. this is bloomberg markets. i matt miller. ♪ -- i ♪ ♪ am a matt miller.

♪ >> this is bloomberg markets. i want to recap some of the breaking news. robin hood is filing. the underwriters are preserving shares for customers. i assume these are the a shares. this is going to be dual share structure. matt: goldman sachs, barclays are underwriters. it had $7 million profit last year and it expects one and a half billion dollars march 31 loss quarter to march 31 loss. they had almost a billion dollars and they have seen

extraordinary growth. we will continue to bring you that headlines and continue to bring you the developments. robin hood has filed for an ipo on the nasdaq. astra has become the first space launch company traded following a merger. joining us now is chris camp. chris. the first thing i think of is the competition has to be intense. what is it like and how do you deal going up against elon musk and jeff bezos. these are two of the richest men in the world. you are backed by one of the world richest men. >> astra is only the third company that has mistreated the ability to get the space. spacex and brocket lab are the other two. merge in orbit -- androcket lab

are the other two. we are building a very small rocket produced in very large quantity like a car factory in california that will be able to launch and produce a rocket. we are betting on a mass reduction and a scale that is beyond these others that are focused on putting other very large rockets and going to other planets. i think there's a big difference between those two approaches. matt: what is the payload that you are looking at? i think spacex has a maximum payload of 800 -- 830 kilograms. i bolivia -- i believe virgin can deliver. are you looking at a much smaller payload? >> we believe we will be able to

address the entire market for more satellites and the entire market of emerging small satellite companies. if you focus on the small satellites, if you focus on our mission you do not need a bigger rocket. you need many more of them. keeping the rockets malt means we can produce more of them. -- keeping the rockets small means we can produce more of them. matt: if i'm not mistaken, spacex charges, i think, a man dollars for your first 200 kilograms. >> we are charging three and a half today. as we increase our production rate, we will be able to continue to reduce the cost to us down to about half a man dollars -- half $1 million. our cost is only about a

thousand dollars per kilogram which is cheaper. matt: how do you reduce the cost? are the processes automated? are your rockets reusable or recycled? what are you doing to bring that cost down? >> think of it as we are building forts, not ferraris. we don't -- we are building fords, not for aris. we would use the same things you would use in a car factory. rockets are very light and made out of aluminum pleaded -- aluminum. there's no reason why our rocket should cost more than a cessna it weighs the same, made out of the same materials. in many ways, it is much simpler. this vision, the mission drives

to a level of scale where we can produce 300 rockets a year and be very competitive with these larger rockets. matt: i love the ford versus ferreri analogy. i would've thought the demand was for only ferreri sized. do you think there is afford market out there? >> we've already sold 50 lunches under contract and over $3 million worth of lunches. there's over a billion dollars of launch opportunities out there. astra is not stopping. astra is no more a rocket company than amazon is a trucking company. we are building a platform where our cup -- where our customers

and astra will operate the spacecraft that will allow our customers more rapidly to be able to operate new applications on the platform. we are combining a space company with a technology company and we are creating a new space tech category. matt: a lot of the kids don't even remember that amazon was a bookstore originally. thanks very much for joining us. the ceo of astra. the only publicly traded space launch company listed on the nasdaq. we have the robin hood that just came in. it's not traded yet, but we will choose it as our stock of the hour. katie is standing by as well as dave. let me go to you first. what do you know about robin hood now that we didn't know and hour ago? >> we know that it has $81

billion under custody as far as assets. the bulk of that is in equities. 14% of that is held in cryptocurrencies. robin hood has a growing crypto business. bloomberg reported this is one of the reasons we had to wait so long for this filing because the sec had a lot of questions. it's really interesting to see some numbers put to that business. matt: what did you find interesting, dave? i thought it was pretty interesting that they were going with the dual share. >> if you go through the perspectives, there is a potential for three class structure. guess what? if they eventually have them, they would be in the same category as the likes of googles owner out about. they have three classes.

the -- that's how google maintains control of that company. it's the same thing you see at robin hood. they are going on all the stock. the class a, that's what's going to be sold in the initial public offering. the parallels to some of the technology companies, also media companies read another thing is they talked about monthly active users. that's a metric you would expect to see highlights in terms of their results. this robin hood going the same route. they are trying to be part of the bigger technology crowd, you might say. you can see what the trading has done over time. you will hear, you talk about a

55% increase last year. estimated from 2019. another 14% increase this year. clearly, in -- clearly, there are some estimated figures pulled together before this -- before the perspectives came out. we have a better idea with $959 million in the first quarter as opposed to self -- 278 million a couple of numbers -- a couple of years ago. numbers like that pop out. matt: the numbers that pop out to me are the net income and net loss. katie, it's a little bit confusing. only $7 million, but it's better than a stick in the eye. $1.4 billion versus a loss in the same quarter a year ago of a $53 million. are they earning money or losing

a lot of it? >> i was a bit surprised. we know they were very active. bloomberg intelligence has a on that. that compares to about 10% a decade ago. that's an environment where you might have expected robin hood to make some money, but apparently not. >> we should point out that the one and a half billion dollars is an adjustment. it's not really an operating loss in that sense. matt: so not that much cash flow -- cash flowing out. thanks very much. we are going to continue to be all over this robin hood story. right now, i want to get to mark cro --crumpton. >> earlier, the president got an

update on the server-side collapse from local and state officials. before the president arrived, work was halted due to concerns about the stability of this section of the building that is still standing. these 18 people that are confirmed dead and 145 are confirmed missing. coronavirus cases in africa are rising so quickly that the continent will soon face its worst week since the start of the pandemic. more than 200,000 new cases are reported in the past week as the more infectious delta variant continues to spread. health officials say and factions are doubling every week. china's president sounded a defiant tone in a speech marking the 100th anniversary of the country's communist party. she called the countries west to gain a dependence a mission. >> the chinese people whenever

allow any foreign forces to course -- to course -- coerce or enslave us. [applause] >> president spoke in front of a crowd of about 70,000. that's of about 1000. in an unprecedented national security crackdown on the anniversary. the police warned anyone taking part and unauthorized assemblies that they may be arrested and they refused applications for people that for peaceful -- refused applications for peaceful protests citing covid concerns. 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'm mark crumpton. this is bloomberg. ♪

matt: we have been bringing you all the news on the robin hood ipo. we now know they will trade on the nasdaq under h ood. they are putting aside 20% to 30% for their own clients. i want to get back to the crypto story that we cover so often. we welcome frank holmes. hive blockchain technologies ltd where he is the interim ceo and executive chairman. frank, you and i were just talking about sustainable mining. it's been one of the big issues for the crypto world over the

past six months or so. you have taken advantage. you have found some undervalued, low-cost sustainable mining sources as a place where you can get the most for your bitcoin for your dollar. >> a trident years ago and realized it wasn't going to happen. -- i tried years ago and realized it wasn't going to happen. i launched, with other friends, hive blockchain technologies ltd . it was the first. it's going to be the backbone of the block chain internet. we started this, we had an est strategy.

green only. we are in iceland, suite iceland, sweden. we shouldn't be tacked -- we are in iceland -- we are in iceland, sweden. we should not be attacked. meetings with elon musk. everything is moving in a positive direction. i see gold going to china and bitcoin coming to america and robin hood. look at that. big shareholders are also big players in cryptocurrency. matt: it's great that you guys are doing sustainable mining, but isn't appointing -- isn't it important to you? >> the part of that is the theory him that we produce. --ethereum that we produce.

is coming to north america in a big way. the transparency, etc.. i'm very thrilled about seeing this movement that is taking place. matt: you are the biggest publicly traded minor --miner. >> in sweden, you can hedge. we hedge on the seasonality factor. our cost, put it this way. we have 80% gross margins. it's very profitable is -- very profitable business.

our software allows us to take our consumption down to one megawatt and 15 seconds. we can help the local community when they need electricity. we are there as part of a pleat -- as part of a complete ecosystem. we are very much in that cutting-edge of looking at how do we handle this very strong strategy in the crypto mining space? matt: frank, i hope we can get you back on. frank edward holmes of hive blockchain technologies ltd. this is bloomberg. ♪

matt: this is bloomberg markets.

i'm matt miller. all eyes are on the june jobs report due out tomorrow morning. after a couple of disappointing months, let's get an outlook from kathy bostjancic, oxford economics usa. what are you looking for in tomorrow's number such and marked we've had a couple of misses. >> we think it improves and we are looking at an increase on the month. it's a very good, solid report. it south of what chairman powell had said. they are already talking about it. a little bit south of that, but the unemployment rate falls.

part of that is going to be workers returning in the hospitality and leisure. we think that half the jobs created are going to be in that sector and worth mentioning, the seasonal factor showed hiring for education and teachers. matt: what about average hourly earnings? i know that is something investors are watching closely for. what are you expecting? >> we think it will be rather strong. that will push the rate from 2% to 3.8. a year ago, wages were skewed by all kinds of funky things that were happening. wages are affirming.

for different reasons, up some people applaud that. some people get worried. could it lead to higher inflation? matt: it's interesting. some i said this morning on surveillance. we are not talking about the myanmar republic. we are not talking about the 70's and 80's. we are worried about 3% or 4%. >> right. we are nowhere near those environments. we think it's going to be sticky and uncomfortable, not unlike the weather in many parts of the u.s. and many other countries. we do think as we go into 2022, we should see some easing. it's going to depend on the supply we have. if we get some alignments for supply and demand, we should see inflation ease. the key is between now and then x -- expectations need to stay where they are.

officials get worried that officials bash that inflation expectations are rising. matt: thanks very much for your insight. much appreciated. kathy bostjancic of oxford economics usa. we have had a lot going on in terms of breaking news. we are definitely looking forward to the payrolls number today. the grandfather of economic statistics tomorrow morning at 8:30 a.m. i'm matt miller. this is bloomberg. ♪

>> i'm mark crumpton.

a major overhaul of its text system. organization for development says -- tax system. along with rules for sharing the spoils from multi-northern -- multinational firms. the g20 finance ministers meeting next week,. nancy pelosi has named liz cheney to a panel that will investigate the january 6 riot. she was one of the 10 house members who voted to impeach president trump for his role in stoking the mob. many republicans are dismissing the panel as an exercise in partisan politics. a divided u.s. supreme court has placed new limits on the voting rights act. arizona did not violate the law