his concerns after the shelling of the largest nuclear power plant in europe. ukraine claims russia is responsible. speaking in vienna today, he offered to meet russian and ukrainian representatives in a bid to dow down the safety risks involved. >> it's important to say all the safety systems of the six reactors were not affected at all and there that has been no leak of radioactive materials. no release of radioactive material. mark: we are going to the white house where president biden will be discussing today's jobs report. president biden: i want to thank barbara, lonnie stephenson, president of the uaw, what of my close buddies for a long time. earlier this week in my state of

the union address, i said there was something happening in america, starting with the stork economic recovery we are seeing right now. today, we learned in february, our economy created 678,000 new jobs. 678,000 new jobs. over the course of my presidency, our economy has now created 7.4 million jobs. more jobs created in a 13-month period than any other time before in history. we have learned in february, unemployment fell to 3.8 percent, from 6.4% today i took office and beginning in 2021. it is the fastest decline in the on appointment rate in recorded history, because of all of you. before the american rescue plan past, the congressional budget office didn't project our unemployment rate to hit 3.8% at any time over the entire decade. americans are back to work.

yes, family budgets are still tight, but a lot of americans are getting paychecks this year, more than last year, and restoring the dignity of work so they can show up to work with some pride. job gains in february were broad-based across sectors from construction to retail to manufacturing to leisure and hospitality. the decline in the unemployment rate was broad-based as well. the fact that the on employment rate among workers without high school degrees fell to 4.3%, the lowest on recorder -- since we have been keeping records. 4.3%. it's amazing. workers weekly earnings rose in february. the people in working-class sectors like transportation, warehousing saw some of the strongest we changed. this is what it looks like to grow an economy, from the bottom up in the middle out. because of the progress we have made in fighting covid,

americans can now not only get back to work but go to the office, safely fill our great downtown cities again, getting more commerce. 75% of adult americans are fully vaccinated. hospitalizations are down by 77%. most americans can remove their mass, return to work, and move forward safely. today's news is a welcome reminder that we are coming back stronger as a country and as a people. we have been through two of the hardest years this nation has ever faced. the pandemic has been punishing, as many of you know, some of you may know from a personal standpoint. maybe you lost someone in this process. you got up this morning and looked at an empty chair. it's been punishing. but we are coming back. so many families are struggling to make ends meet because of inflation. i understand our top priority must be getting prices under control. our economy roared back faster

than most predicted, but the pandemic meant that businesses had a hard time hiring enough workers to keep up production in the factories. the pandemic also disrupted the global supply chains. when factories close, it takes longer to make goods and get them to the warehouse, to the store, and prices go up. take a look at cars. last year, there were not enough semiconductors to make the automobiles people wanted to buy. they had a lot more money in their savings accounts and paychecks but they were not able to go out and spend on leisure because of covid. so what happened? they decided to purchase products, everything from homes to automobiles to hard products. the price of automobiles for example went way up. more people seeking them, if you are being made. we have a choice. the way to fight inflation is to

drive down wages and make americans for, or have a better plan, to fight inflation, lower costs, not your wages. >> you have been listening to the president, mr. biden, speaking on this u.s. jobs day. i am taylor riggs. i want to bring in jon erlichman from canada. the big focus in the u.s., as we think about the president has said of that big jobs data this morning, highlighting broad-based recovery across sectors, talking a lot about the drop in the on appointment rate, broad-based, even for those without high school diplomas. he is touting the lowest on record for that. 4.3%. let's digest this as we move to next week. they federal reserve decision, cpi data also coming in the next week or so. we are doing that with lindsay

piegza, steeple economist. as we tie in the big numbers we got this morning, what the president is saying, digesting what this means for the inflationary numbers this morning. do the numbers show that we are falling further behind when we think about a federal reserve that is still in qe? dr. piegza: in part, yes. this was certainly a strong number, well above expectations. when we look at earlier revisions, this supports the fed's thesis that the u.s. economy continues on a solid trajectory, at least from an employment standpoint. when we look at the fed's decision to presumably raise rates next month, it is in line with assad labor market. arguably we have seen so many months of positive job creation that the fed could have begun to raise rates earlier. but if we move away from the employment side and look at the wage side of the equation,

consumers are still well behind what we see in terms of inflation. the president said wages are still growing, yes, but consumers are in some ways being left behind, even with a 5% wage gain, against the backdrop of 7% inflation. that is leaving the consumer on increasingly fragile footing. we also heard the president talked about creating millions of jobs. much of that was re-creating millions of jobs, as we lost 22 million during the pandemic. we still remain millions below that precrisis level. in some ways, yes, we are seeing robust improvement, but it's also a reminder that we need to see further improvement going forward before we can talk about getting back to precrisis levels of activity. jon: one of the early conversation points within this jobs report, you talked about wage growth, but at a slower rate. the idea of what is behind that. can you talk to us what you are seeing on some of the influences

on that? dr. piegza: it's interesting because wages were well under expectation this month. they came in flat. part of that may be a temporary reflection of the impact of the latest omicron variant. people calling in sick to work, going to work part-time or working fewer hours. this may have depressed average take-homes last month. we also saw broad-based gains, as the president pointed out. large increase in employment at the lower end of the income scale, may have also pulled down average hourly warnings. but one month does not make a trend. when we look at the trajectory of wages, it is still very much elevated, still talking about over 5% gains year-over-year. again, against the backdrop of inflation which remains well above that 5% wage increase, continues to put pressure on individuals and households. taylor: let's talk about the cpi numbers we are getting next

week. how do you think about if inflation is broadening, and the peak of that, is it a seven or eight handle? dr. piegza: the fed is convinced that we are at or near peak levels of inflation. the next month or two will not necessarily change the trajectory of adjusting policy. going forward into the second half of the year, this is where the fed anticipates some relief to come into play in the form of that second derivative decline or slower pace of positive price pressures. as we look out to the second half of the year, if we don't see that relief, i do think the fed will have to at least reevaluate their pathway for policy. keep in mind that not all inflation is equal. the fed raising rates will certainly alleviate pressures on the demand side, but if much of the pressures that we continue to feel are from the supply side, supply chain disruption, oil shock as a result of what we

are seeing overseas, the fed increasing the cost of capital will do very little if anything to alleviate prices in these circumstances. except it will serve to undermine the pace of the recovery. so, the fed has a very difficult balancing act to engage in as we continue to see the recovery unfold. jon: quickly on that point about oil, is there a current level? we have seen these astonishing levels. is there a certain level that you are watching that will change the storyline of the global recovery? dr. piegza: i think we are there. when you talk about the consumer, heating, utility, gasoline counting for an ever-growing portion of the home balance sheet. oil over $100 a barrel, this is already compounding downward pressure on the consumer. gasoline prices are a lagging indicator of the energy market. we expect further backup in prices, maybe four dollars per

gallon on a national average. this will severely undermine the consumer's ability to maintain even these modest levels of consumption in the near term. taylor: i appreciate it, lindsay piegza, stifel financial economist. coming up, a rare united front. congress is divided on almost every issue, but you hinted at this, jon. a ban on russian energy imports is gaining, even from some republicans and joe manchin. this is bloomberg. ♪ ♪

taylor: this is bloomberg markets. i'm taylor riggs. time for stock of the hour. travel stocks getting hit today. united dropping about 9%. kriti gupta joins us for the details. you have to wonder if this is from rising oil prices that we have seen. kriti: we should talk about how much people are hedging against them, the companies investing the most. that means air travel is very exposed, especially when it comes to jet fuel. airlines are one of the key hedgers against jet fuel, but in

the past year before hitting $100 a barrel, there was no need to because you didn't see that acceleration. now you see some of these guys in trouble. united and american taking it on the chin. united does not had fuel at all, so when it pays for fuel, it is paying the spot price, $115 a barrel. same for american. no hedging to the end of 2021. jon: it is one thing if you are taking a march trip from new york to miami, another thing if you are getting on a plane and trying to navigate changing flight routes right now, ultimately what cost that means and what the consumer is willing to pay. this was supposed to be a huge recovery period for the airlines. do we know what the impact will be so far? kriti: we cannot quantify it because how much of the flight schedule, flightpath going to come back? how much of that is derailed?

also keep in mind when we are talking about the stocks of these companies in particular, airlines, cruise lines, these travel stocks are the most volatile. if you are expecting volatility in the first quarter of 2022, which was the consensus, it is pretty normal to play that volatility in the stock market. it is a legacy of some of the covid-19 onslaught. jon: helpful context as we look at those prices of what is happening with oil and airlines. let's stay on that commodities theme. this has been a pretty historic week when you think about what's been happening, the russian invasion of ukraine, but just with commodity prices generally speaking, the bloomberg commodity index gives you a great gauge of all things commodities, rallying 10% this week, whether we are talking about wheat, aluminum, coal. i am sure you have seen the

chart, bank of america talking about not seeing this kind of start to a year since 1915. taylor: i will bring you size and scope as well, our bloomberg commodity spot index, on track to have the best week ever since the 1960's. you highlighted how broad-based this is. even on the hill in congress, you are here members of congress talk about food inflation. that means they are hearing from their constituents. you have a food price index from the u.n. at record highs. you mentioned how we feel that from the consumer level not only with food but at the pump as well. you are really starting to get this more bipartisan support from banning russian oil. joe manchin, some of the latest to come out and say let's stop it now. nancy pelosi earlier this week coming out in favor of it. jon: one of the challenges for

the white house -- and we talked about it at the start of the program -- what you are paying at the pump. if you were to have a situation that goes along with that bipartisan support, what would that mean to gasoline prices that are already at extreme levels? that will be one of the challenges going forward. and what is the path? bipartisan support for what? we don't allow the oil from russia today? does it come with a condition of more u.s. production? we will be watching it all. coming up, the u.n., saying world food prices are hitting a record high in february. we will get some insight on how it is affecting the restaurant industry. gabe stullman, ceo of happy cooking hospitality, will provide some context for us. this is bloomberg. ♪ erg. ♪

jon: this is bloomberg markets.

i'm jon erlichman. alongside taylor riggs. in addition to the latest jobs report we are also getting data on food. according to the united nations, world prices climbing to all-time highs last month, the rise led by increases in vegetable oil, dairy prices, cereals, meat prices. sugar prices were down. when we think about the price data, especially for a hard hit restaurant sector, we want to get more perspective. joining us now is gabe stullman, ceo of happy cooking hospitality. it is nice to see you. you have been speaking for many months about the challenges of the industry. your hopes on more government support. now, i guess this other wrinkle, higher prices. what are you watching closely right now? gabe: thank you very much for having me on, giving this topic

the voice that it needs. i am watching the same things that we've been dealing with all along. our costs continue to rise. they been rising since the beginning of the pandemic and i don't think our industry is alone. we are in dire need of some more support. the cost of our goods are going through the roof. the cost of insurance is up astronomically. dry goods, paper. and the cost of labor. restaurant employment at this moment is still down nearly one million jobs from the beginning of the pandemic. our industry used to be one of america's largest employers. we still have a long road ahead of us to recover. the best way to help us recover, whatever government can do, is replenish the restaurant revitalization fund. jon: short of getting -- taylor: what percentage of your input because are you able to pass on to the consumer? gabe: what percentage of my

input cost? i don't follow the question. taylor: when you are getting rising input costs, can you pass that onto the consumer, can you raise your prices? gabe: certain restaurants can, some cannot. if you are doing a superhigh and four-star tasting menu, the demographic may be more accepting of a $300 menu going up to $350. if you are running a mom and pop and you have to increase the price of your stake from $30 to $40, there may not be acceptance for that. that goes back to the issue that one third of the restaurant that applied received it, and two thirds didn't. it creates this unequal situation. those people that received subsidies have the opportunity to sustain a higher food cost and they don't need to pass it on to the consumer. they can keep the cost of their steak at $30 because they have

been given support. those of us that have not -- all four of my applications have not been funded. there are over 2000 restaurants that are not funded. as my cosco up, i need to raise my costs. we create this issue, will my diners except the increased cost, and how do i set up when my next-door neighbor can sell products for less than me. it goes just -- it goes beyond just the price of goods. we have a tight labor competition. if there is one cook available, and i can offer $23 an hour, and my neighbor can offer $28 because they got subsidies, they are able to get the employees from me, they can keep lower prices on their menus, which will attract more diners. it is a massive ripple effect. when it was originally funded,

senator schumer said this was a down payment. it was always known that our industry needed more. what i want our senators and representatives and the president to understand is that when you put money into specifically restaurants, how large the ripple effect, domino effect is. when i get $10, it is going not only to my waiters, bartenders, cooks, bartenders, it goes to my distributor who brings me my meat, fish. and then there money goes to the farmer. it helps me pay for the mechanic who fixes my fridge. hvac repair. it is a massive ripple effect. jon: we have to leave it there. thank you so much for your time, gabe stullman. e, gabe stullman.

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mark: keeping you up with news from around the world, here is the first word.

i am mark crumpton. ukrainian officials say russian forces have occupied the largest nuclear power plant in europe following a fire. officials say russian shelling caused the blaze at a training complex at the plant. the blaze was extinguished. there were no casualties reported. many businesses in the united states and many allied nations in europe and asia have been cutting off commercial ties with russia as governments look to punish the country for vladimir putin's invasion of ukraine. the u.s. labor secretary tells bloomberg he expects that to continue. >> i think a lot of countries and companies are doing what they need to do. i think as the conflict continues to move forward, there will be a lot more companies in america, not just america, around the world, will be taking steps like this against russia. mark: sec