annmarie: a very busy agenda for you.hank you for joining us, jen easterly, director here in america. dealing with cybersecurity and outside threats like russia, iran, north korea and china. kriti: annmarie hordern, thank you. time for the first word news with mark crumpton. mark: health officials are calling on european countries to beef up covid monitoring and bring back curbs to tackle the resurgence of the virus. the world health organization is warning of a challenging autumn and winter and asking governments to promote mask wearing. the number of cases in europe has tripled in the past six weeks, with almost 3 million infections reported last week alone. gasprom is going to restart exports to europe on thursday at reduced capacity. bloomberg learned shipman will resume when maintenance ends but remain below normal after the russian gas giant declared forced is your on some european clients. a final decision needs to be made by the kremlin. president biden is signing an executive order today aimed at punishing countr

annmarie: in january, you were quite critical of the fed.aid at this point, we should bring back paul volcker. john: i think you are seeing the fed move quite aggressively. in my opinion, appropriately. clearly trying to frontload a lot of moves, policy moves to try and deal with inflation. we at goldman sachs are impressed with what they are doing. we expect for them to continue to be aggressive in combating inflation. so far, so good. annmarie: combating inflation means potentially facing a recession. right now, the data shows a potential technical recession in the united states. how to say small business plan for that -- how does a small business plan for that? jessica: where larger corporations may be hiring at a slower pace, those are people that are now able to -- where, given the chance, they will go to a large corporation and build opportunity there. we are looking out --, one of the reasons we are here is able to talk to elected officials, congressional representatives tomorrow during our advocacy day and talk to them about what our

annmarie, good to see you. annmarie: i ordered you bacon.what's so sad, this is where we are with all the history, i looked at the menu, room service, there's no tang. jonathan: i wonder why. tom: i was absolutely shocked. we are going to digress from a truly historic moment. we will continue our coverage from london. we just saw an effect upon sterling. a student of british politics, a student about the markets, he's global head of foreign-exchange analysis at citigroup. good morning. how do you link pound sterling gyrations into the u.k. politics of the moment? >> great to be with you, tom and jon. we think politics matter at this moment. they matter for the british public, they matter for the international community, but they definitely matter for financial markets as well. unfortunately, that uncertainty that will linger over who will be in charge of the british government is yet another negative. but i should stress that the drivers of the sharp depreciation in the pound, 12% or so this year against the dollar, they have not really been

down in d.c., annmarie, thank you.dit suisse is looking for a negative print tomorrow bloomberg economics is looking for a negative print tomorrow. you keep going through the names, pantheon, bank of america, there are a lot of names looking for it. there are some names out there looking for it. tom: i will really look at what the pros are looking at. what we are hearing from pros is esoteric. the inventory build could be the swing either way. jonathan: underlying demand, what does it look like? lisa: how are they going to position this? housing prices, rent is climbing so significantly. people are facing bills that are unaffordable based on their pay. jonathan: brutal. futures up 9% -- futures up .9% on the s&p. jp morgan now seeing a recession in the europe. the new outlooks getting slashed by the minute. jonathan: this equity market bond the day after the fair last-minute. we have rallied ever since. up .8% on the s&p. the nasdaq up by 1.4%, helped out by two names that we can build on in a moment. in the bond marke

annmarie: this is a sequel.ved to the u.k., the big thing was the scottish referendum, then of course it was cameron's referendum, brexit, and now this. and even the context in 2016 for who's going to be the prime minister was really combative. as you say, it's a different situation, the conservatism of the party, not much exactly changes, but who's going to leave that? it's anybody's guess. jonathan: there's going to be a leadership contest, potentially an election, i have no idea when. there will be an election later this year, a series of elections right here in this country. what does this white house need to? what can they do? perhaps that's the most important question ahead of midterms. annmarie: they need to bring inflation down and that's difficult. they are putting all this pressure on the fed to do it. what they do have in their favor and they like to tout is strong growth, low unemployment. all of that potentially could start to diminish and inflation can still be high. gasoline and food prices. tom:

annmarie: this is something that will irk g jinping.re could be a lot of deflection about taiwan because of the pressure xi is under at home. look at the news out of china. there is a district off of wuhan, one million people locked down. they have not moved on from march 2020 and the rest of the world has. it has crippled their economy. individuals coming out of college have limited job prospects. it sets up a lot of tension for the call on thursday. it is happening tomorrow. the other big topic will be tariffs, something -- lisa: how do we dovetail a hard-line message nancy pelosi is trying to send with rolling back tariffs from the trump era? annmarie: we do not know if they will rollback those tariffs. they have been debating it for months. there are a number of factors at play as the president make this decision. they said they will use any tool in the toolbox to bring down inflation. the second is the national security team. you have those in the trade world that say we should not give china an inch. the third is the union, the la

annmarie: he is not getting much love. fact that he is saying no at least ahead of august for a bigger package that would mean tax hikes and provisions to fight climate change does mean that senator mitch mcconnell is likely going to have the republicans sign up which would be a big deal. that is a bill that everyone in washington is coalescing around because it means you can come back china and has 52 billion dollars for the semiconductor industry. when it comes to his own party, what a welcome home from his party from his tough trip to the middle east. he is now seeing his economic policy pushback. jonathan: walk me through what we can expect in the coming weeks and months. annmarie: there was no agreement, especially from oil on a meeting. you do here u.s. official saying in the coming weeks. that points you to august 3 when the next pass -- the next opec-plus meeting will be. when i talked to a top saudi diplomat, they say they need to see the supply and demand dynamic. for saudi arabia, this is a delicate moment. if t

annmarie: great question. the administration wants to enact this, but needs a lot of individuals countries on board with this, opec russia is part of opec plus, and has strategic relationships when it comes to the energy market with the kingdom. they have to get those shippers and insurers involved if they are going to have a price cap. we should know what is happening in the market right now is that russian oil is still leaving russia, just heavily discounted. a lot is going to india, a lot is going to china, a lot is going to the middle east. a lot is going to the port and united arab emirates, into the middle east and being exported out, depending on whether or not it is going into vaseline, diesel, jet fuel. there is the market working in a sense of a price cap, a russian crude is heavily discounted to those buyers. matt: those digital and's are going straight back to europe and the countries that sanctioned russian oil initially. putin is making a ton of money throughout this. back to saudi arabia, back t

annmarie: at the moment, not much. this in the campaign trail, both biden and trump, seeing how this was pulling with the electorates, wanted to talk on china. there is one issue at the moment that this administration, we are waiting for an answer on. whether or not they are going to lift him tariffs from the trump era on china, because some economists think it could -- inflationary concerns. they had stock with a lot of policies trump put in place on china. there is one potential nuance in approach, that is president trump took a unilateral approach win wanting to combat china, while president biden relishes in his multilateral approach. he was at the g7, they discussed china. for the first time, a strategic concept in madrid for that nato document, they called china a systemic challenge. a lot of that is driven by washington. tom: in the blur yesterday, we did not speak to the symbolism of the leadership of japan, south korea and the united states of america meeting at a nato meeting. let me ask a dumb question. is j

annmarie: we still don't know.he end adminstration continues to say they are weighing it, but we have still no clear decision on what they're doing on what would be a smaller amount of trump era tariffs, consumer goods like bicycles, sweaters, etc. because their number one concern is inflation. many on the -- on the economic side say that is your number one concern. this is something you could do. it won't be a lot of pressure, but it could ease some of that pressure. the trades are dusty trade -- the trade ca -- the trade czar and others saying that leaves us with less options in the future. maybe some news on that front soon. . jonathan: thank you. do your point, the tension with speaker pelosi and president xi, that's the oldest in the playbook, isn't it? lisa: how much is this going to benefit versus backfire? mark milley, the chief of the armed forces for the united states, came out to our chinese officials. how much is this aggravating some of the tensions that exist? they are going to be very difficult given

joining us is in murray or dern -- is maria tadeo and annmarie hordern.he fact is there is a war going on. it came home to me how subdued christine lagarde was in addressing war. maria tadeo, as we begin july, what is the distinctive debate about all of the players you know and zelenskyy in kyiv? maria: there are two big things. one is the energy situation. for the germans they worry about the potential,. once you do that you will unleash forces nobody can model or control. the other one is how will this end? they are in a difficult situation because they do not want to pressure the ukrainians. that is what we hear all the time. president zelenskyy is democraticly elected. when will it end and how long will it go on? the ukrainians would rather keep fighting and not concede an inch to russia. tom: what is the end game for president biden who must commit u.s. troops to the finnish border? annmarie: i think he made it clear when he was asked how much longer can americans expect the premium on gasoline would be crucial for this upcoming weekend where you hav

annmarie: it was a surprise.y in the political circles who have been working down here for decades were, off guard that senator schumer, senator manchin , over the past few days, remember said at this moment inflation he couldn't get on board yet with energy provisions, that he was in tax provisions, but they are now able to come together for something that would go through the reconciliation budget process with clean energy and a lot of money going into the climate change space, dealing with medicare provisions and tax hike revisions. so it's not the bill back better dream they had with the rest of the wing of the party coming in, but it is something for the midterm elections. a win for the white house. alix: quickly, can it past? you have got to be in person to vote in some democratic senators have coded. annmarie: that is one logistical issue. people need to be in person to vote but more importantly, kyrsten sinema of arizona, when asked about it, she said she would have to read the text. she's been very wary

[no audio] kriti: it looks like we have lost annmarie hordern.goes back to this question -- where is that production going to come from? no president biden is law -- is lobbying saudi arabia at a time where spare capacity is low. they are already struggling to meet their quotas. what if they were to change their policy right here at home? jon: we also talk about it, but it is worth repeating, the complications of the opec-plus alliance and the relationship between russia and saudi arabia at a time, as we head into the winter, concerns in europe about retaliatory efforts by russia on the energy front. so, having these conversations now in the hopes things get less complicated. kriti: to your point about the price action, it really comes down to, what is the bigger issue? is it inflation or recession? those are contrarian indicators when it comes to what is going to happen next with the oil market. that is why you are seeing those fluctuations above and below $100, at least for brent crude, at a time when some people even talking about $300 a barre

annmarie: we can. certainly so.hey have done well in terms of these higher gas oil prices we have seen their exporting an incredible amount of fossil fuel products. we should note that it is a very young economy and it is why mohammad bin salman has envisioned 2030. he wants to diversify. this is what the saudi's want to talk about outside of the traditional securities for oil. they want to talk about investment and cleaner technologies. they want to make sure they're kingdom is built for the future. because they have a growing, young population and they do see the writing on the wall that at some point the world may be moving away toward fossil fuels even though we are not feeling that now. lisa: how much is president biden working in coordination with olaf scholz of germany, at a time when norstrom one and the resume closure, the question rather reopening is the dominant story and becoming an international security and economic story, not only for europe but the rest of the world? annmarie: demonstration has been

kriti: annmarie hordern on top of all things biden. thank you.k at some of the other top stories with mark crumpton. amanda: --mark: the country is set to hold early elections on september 25 -- italy. the president has his own parliament after mario draghi resigned. the election follows draghi's decision to bow out after losing support from three key allies on wednesday. boris johnson's leadership set to end in september. now he faces the prospect of not being able to sit with conservative mp's. a parliamentary panel is looking at whether johnson lied to lawmakers over the parties held in downing street during the pandemic. if he is found guilty, voters will decide if they still want him as an mp. president biden expects to speak with china's president within the next 10 days. the administration is considering whether to lift tariffs on chinese imports in an attempt to ease inflation. relations between the u.s. and china have gotten worse over beijing's refusal to condemn the russian invasion of ukraine. the u.s. house has passed legislation tha

kriti: annmarie hordern, we thank you for the analysis. he also made comments about the gdp numbers we got that says we are not a nejra session. coming up, earnings from apple and what to expect. that conversation next. this is bloomberg. ♪ kriti: this is bloomberg markets and we just heard from president biden on what he's doing to help americans deal with rising prices. weaker consumer spending is at play here. we're seeing how shoppers are doing after the bell. if you look at amazon waiting, it was 6%. now it is at 3%. the achilles' heel of amazon, what is it? shipping? consumer exposure? >> it's the impact of inflation. it when amazon spoke, they talk about $6 billion in added costs that are hurting profit with $4 billion of them continuing into the second order. inflation is really hurting them. as well as access capacity. -- excess capacity. it will take two or more years for them to be able to get there. we report today after the bell. kriti: and the success of the aws, going to rescue her some of the pain. poonam: the u.s. has been

annmarie hordern, thank you.th us, this is bloomberg. ♪ alix: breaking news for you. -- is halting -- that is about 95 miles northwest of st. petersburg in russia. the flow from there is going to drop 33 million cubic meters a day starting july 27. you are seeing those gas prices rally. a constant reminder that gazprom flows are not reliable, putting upward pressure on gas prices. there was one more part that is needed to repair nord stream one and bring that gas supply to europe but question marks continue. we are about one hour into the trading session in the u.s.. the nasdaq 100 down by 8/10 of 1%. >> a bit of a marginal move when it comes to the benchmark. the s&p 500 down 1/10 of 1% when it was up earlier in the session. not a major conviction that the bulls were hoping for. that underperformance is going to be crucial in the nasdaq because we are going into earnings season and we will circle back on that. even in the crude space, it is not that strong, up only 8/10 of 1%. once again, i think the theme of th

with that update is bloomberg's annmarie hordern. give us the latest.e: today in israel the focus was on israel and making sure the president stood firm. he said that the u.s. has an ironclad commitment to israel's security and for israelis that means making sure they stand with israel in the face of their enemy, iran. the president said there is a deal on the table and the iranians can take it but he will not wait forever. the president doesn't think that being in the jcpoa -- does think that being in the jcpoa would make sure they can control iran's nuclear ambition. you mentioned energy. when the president becomes the first u.s. president to leave israel and fly directly to saudi arabia tomorrow it will be all about energy. there may be not specific setting terms of willingness to discuss energy in the outlook, but it's obvious that the trip is so much due to the fact that the president is dealing with poll after poll, higher inflation, higher gasoline prices, and a country that can really help ease pain in terms of the oil market would be the kingdo

annmarie: the president coming is important for mohammad bin salman in that it legitimizes him. he cannot have the president saying he wants to make his government a pariah. there would be note redeeming quality about the current government that he would not be dealing directly with president biden. this legitimizes him, to a population that is incredibly young here in saudi, and also, very, honestly, they travel to america. many saudi's, hundreds, they all go to the united states to study. it is an important moment for him as he changes a lot, socially, in the kingdom. if the president of the united states there, having a meeting with him. it legitimizes him as a saudi leader, and the president has continuously said he is meeting with the leadership of saudi arabia, so it is a coup for him, not just here, but globally. lisa: this goes to the question we were asking earlier in the week. is the juice worse -- worth the squeeze? is saudi arabia getting recognition from the u.s. president? what do we get in return if we will not hear a statement on oil and gas. it is unclear saudi

we want to go to annmarie hordern for the latest. if you going to go? annmarie: we don't know yet.s she does not talk about foreign travel because of security concerns. we know she will likely stop in singapore, malaysia, japan, but all eyes are on whether she lands in taipei or not, and this was the issue on the call yesterday. we got more details on the china side from their readout, which said that she had said to president biden on the call that those who play with fire, a.k.a. taiwan, get burned. you see a lot of chinese rhetoric coming out against this trip. they do not want speaker pelosi going to taiwan. the question is, what would happen if she does go? we should all note that even though after this call there was some progress, potentially between these two countries, the world's two biggest economies, because they directed their teams to plan an in person summit the first time they would see each other with president biden being president, of course, because he had met xi in the past, there is going to be a lot of tension over the relationship because of taiwan. a lot of

annmarie hordern has the details. we are looking at 20% tariffs on both sides.t are the odds that these actually decreased or completely eliminated? anne-marie: we know the administration has been debating this, and the decision will come from the president on whether to lift those trump era tariffs or not. the divide within the administration is very clear. last month, tecra terry yellen was on the phone -- secretary yellen was on the phone with china's vice premier. they want to reconfigure those tariffs at the same time, the ambassador says these tariffs offer her leverage. that's the word she used. she says any impact on inflation will be marginal. barclays is saying .3% of -- could be shaved off. we are going into the midterm election -- republicans may use lifting those tariffs as a means the call the administration soft on china. on the other hand, the president has said he will do anything in his power to bring down inflation, because that's what the electorate is worried about and that keeps showing up in poll after poll after poll. guy: how targeted co

annmarie: ambition of the campaign trail versus the reality of entering the white house.s is the real politics he's facing on so many fronts. foreign policy changing because of domestic issues at home. whether it is going to the kingdom and asking for a lift on the terrace or asking u.s. producers, asking global producers to pump more oil at the same time, they are trying to bring down the use of fossil fuel. right now what you are bringing up is they will not be able to get through those provisions about fighting climate change and a bill because their own senator in their own party will not go forward with it. senator manchin holds so much power. they need him to get this done and it doesn't look like it's going to happen. jonathan: reality and we say it again, it's at the white house this time. anne-marie holden does not stop. it was wonderful there, tom. just a follow the president through the middle east, a real historical element as well, historical element from this president. tom: this guy has been on the road. bavaria, madrid, saudi. where to next, that's the big

annmarie hordern and washington, d.c.. this is bloomberg. ♪ alix: the nasdaq up by -- 1.5%.tive negative, positive, negative again. it means we are in a technical recession. wall street's vocabulary says we not only hid that, especially with the stock markets. the market dropped. it is unclear what is actually happening. it is clear what the play is though. we have a two year yield dropping once again. very similar chart to what we saw during a recession. take a look at the sector on the market outperforming. two yielding sectors. these two sectors benefiting the market. you don't have tech on your side. you have a little bit of a scare going into earnings. leads me to apple. the revenue story is crucial. you have a lot of tension building for apple. when it comes to the revenue story, they are talking about stores over in china, all over the world -- with target, etc., apple is building up their inventory buildup. they have to offer discounts, they have to offer to iphones instead of one. t-mobile, for example, a deal we are's expected to hear a response to. it can be a --

. >> joining us from jerusalem is annmarie hordern.ot of anticipation of the next few days as to what to expect from president biden. what are the key events of the things we should look for? >> as you heard the president there, there is solution yet to of course the decades long israeli-palestinian conflict. this is something the administration obviously will have discussions about but it's hard at the moment given the fact israel does not have a government. it's in the hands of a caretaker prime minister who will be meeting with others like opposition opposition leader benjamin netanyahu but there's no government yet. the coalition fell apart. he will also be meeting with the head of the palestinian authority but it does feel like this was just a stopover trip because really the pivotal event in the most significant part of the trip will be friday evening local time in saudi arabia, the president will meet with the bin salman and his father, the king and of course that will be all about and ask for oil and it comes as the president w

annmarie: if he was to exit, who would they be dealing with? is a strong population there that leads a little bit more with ties in russia. it is a difficult one for italy. the government, world war ii, they have a strong ally. he was given an award by the -- counsel. and how they are working together to support ukraine. you can already see the potential. energy use, this is going to get very difficult for europe. jon: the number we expected to see, but there they are. 15% cut has been the proposal from the eu commission. kailey: starting to take action on demand. on securing supply wherever they could get it. now the conversation has to become one about the other end of the spectrum to avoid having to ration the gas supply that they can get. jon: for president -- that decision tomorrow. is that a decision for central bank to make right now? tom: tomorrow, what will you listen for in the press conference? jon: it is going to be really difficult. do they have to consent to a new move in september? what happens with north stream one and these gas

annmarie made the point a couple of times.ou have to look at the domestic things in china to see why they are making a bigger flight out of this. there was always going to be attention, but it gets bigger by the day. futures up .9% on the s&p. this is bloomberg. ♪ this is xfinity rewards. our way of showing our appreciation. with rewards of all shapes and sizes. [ cheers ] are we actually going? yes!! and once in a lifetime moments. two tickets to nascar! yes! find rewards like these and so many more in the xfinity app. millions have made the switch from the big three to xfinity mobile. that means millions are saving hundreds a year on their wireless bill. and all of those millions are on the nation's most reliable 5g network, with the carrier rated #1 in customer satisfaction. that's a whole lot of happy campers out there. and it's never too late to join them. get unlimited data with 5g included for just $30 a line per month when you get 4 lines. switch to xfinity mobile today. jonathan: a little bit of economic data coming o

jonathan: annmarie: is it -- jonathan: is it the new volatility? we can ask our next guest. ritika: -- tom: 24.82 as well. income is always in every case outfront. fish interpreter liz is at morgan stanley. what can equity stock market players learn from your world of fixed income? >> what the equity markets need to focus on is what's being priced indoor changing. we are in an extremely independent world where yesterday the fed had an action function that we were spending a lot of time on and that's really where my focus is on, thinking about the income data and what it would mean to central banks. jonathan: shouldn't that reaction function be well-established by now? >> in a normal circumstance it could be more but we are in a world of dramatically different, it's dramatically different. moving from policy to past policy withdrawal and support withdrawal. that's the kind of economic activity that we are seeing now. somewhat unprecedented. take last week for an example. we had hot trends with so-so retail sales on a different trend at the university of michigan data. it's no

annmarie hordern reports from jerusalem. >> president biden will make his inaugural trip to the u.s.president of the u.s. and his first stop is right here in the holy city of jerusalem. don't expect any major breakthroughs when it comes to the united states and the israeli government. they are looking ahead to elections in november. biden and his administrations will be in the hands of the caretaker prime minister. he will also be meeting with the opposition leader and former prime minister benjamin netanyahu. a key focus and a country to watch out for is saudi arabia. there won't be any massive breakthroughs when it comes to dialogue or peace talks with the kingdom, but potentially more saudi airspace being opened to more israeli flights. the president himself will be one of them, the first president to fly from israel to jetta. he will meet king solomon, mohammad bin salman he needs saudi's help to bring gasoline prices down. bloomberg news. tom: we will get plenty more coverage of that trip from anne marie over the next few days. brent trading $100 a barrel, just up 0.7%. coming u

we talked to annmarie hordern about it. the silliness in washington over climate, at the end of the day, it is not funny. jonathan: -- kailey: this is a campaign issue for president biden. instead, he has asked oil producers to pump more fuel because we are seeing high prices at the pump. on the climate front, the messaging is difficult. he would have liked to get something done legislatively, joe manchin said no thank you, so he may announce some executive orders. tom: i was frozen yesterday by the video of a village in greater london, actually burning to the ground. were you surprised by that? jonathan: i was surprised how hot it got, but i will say this, i am not surprised by the consequences. ultimately we don't have the infrastructure to deal with it in the u.k. it is unexpected. the question is whether you should expect more of it in the next few decades. we are guided by the scientist to believe that is the case. tom: i would urge you to become familiar with bloomberg green, trying to bring in the science, mix it in

i'm annmarie hordern, bloomberg news and jerusalem.president joe biden is expected to return with an agreement on energy output that could put relief on energy gas prices. that's a hope in the political narrative that the president is hinging on going into midterms. how likely is more output from the middle east -- middle east going to translate to rises at the pump? the president made the point that we have seen gasoline prices come down. >> i think it's a tough ask. the opec in the broader alliance is obviously concerned about the pickup and demand. that showed in the monthly report this week. they have seen increasing demands for their oil and say, dipping further into that spare capacity that they have at the moment, just exposes them to potentially, further issues down the track, the ability to just react to any sort of disruption. and we haven't actually seen the full effect of sanctions on russian oil to date. so i think it certainly going to be a tough ask, but it's a narrative that we are seeing at the moment, and i do suspect

our annmarie hordern will be speaking throughout the day.ieve the temperatures will be 100 degrees. the heat of the saudi arabia summer. stay with us on wall street week. our guests david d'arco, lori calvasina, and professor summers. also lisa abramowicz. this is bloomberg. ♪ at cdw, we get if your network power goes down, your business goes with it. recording: thanks for calling, we are unexpectedly closed today due to... cdw experts can keep you up and running with an apc smart-ups lithium-ion ups from schneider electric. it offers cloud-enabled remote monitoring and three times the battery life, so you can get the performance and certainty you need to stay open for business. for resiliency at the edge, trust schneider electric and it orchestration by cdw®. people who get it. and it's easier than ever to■ get your projects done right. inside, outside, big or small, angi helps you find the right so for whatever you need done. with angi, you can connect with and see ratings and reviews. just search or scroll to see upf on hundreds of projec

joining us is annmarie hordern.t anything we need to pay attention to and what are we looking out over the next 24 hours? anne-marie: the president said this in his op-ed and repeated it in jerusalem. the fact he is no longer saying he will meet with king salman. he is meeting with saudi leaders. and then today he said saudi leadership. he is not exactly saying the words crown prince mohammad bin salman. but that is what everyone is going to watch. what is the interaction between these two, the president wasn't going to be shaking hands because of covid precautions. he did so in israel so will he sake -- shake mohammad bin salman's hand. when he was campaigning for the office he is about and said and would like to make the kingdom a pariah, the current government as we know every day led by the crown prince that had no redeeming qualities. the second of course is he needs the kingdom now. this about-face is dealing with the fact that he needs foreign policy change because of domestic issues at home. poll after poll,

in jerusalem, i'm annmarie hordern, bloomberg news.up on the program, will manus ever be able to return home? heathrow imposing a cap on daily passenger traffic. this is bloomberg. ♪ manus: it is "daybreak europe." london heathrow is imposing a two-month cap on the daily passenger traffic to contain the flight chaos, a dramatic response to the uk's busiest airport to address struggles with surging demand for travel. leigh-ann gerrans is with dani and i. i came through the airport last night, it was a sea of bags. what is the passenger cap and does everybody have to chip in? who takes the most pain? >> i always do that and it is a way you will not get your bag lost. but no, i want to speak about these numbers. the decision made yesterday was super quick. 100,000 people per day now can pass through heathrow emma that is the cap. this is really to deal with the demand and with how many people are going through the airport because we have been locked down for two years, heavenly? -- haven't we? now the staff shortages are really creating c

annmarie: well i know from the press secretary that the president tested positive for cover 19.s in israel, shaking a lot of hands, then in the kingdom of saudi arabia he was supposed to be in pennsylvania today, but he will be isolating and following cdc guidelines. if we could bring you a little bit more of what the press secretary is saying, he is fully vaccinated, we know that. twice boosted, we know that. we all witnessed that on tv. he is experiencing mild symptoms and has become -- and has begun taking paxlovid. per sisi guidelines, he will be isolating. he talked to white house staff by phone this morning and it will continue white house meetings via zoom. we will keep an, because he is the man who holds the office of the united states, the presidency of the united states. for many, this was always potentially going to be a risk. you do still see people contracting covid, even though you are vaccinated. alix: thanks a lot. we will be sure to follow any hide lines as they cross. again, president biden testing positive for cover 19, experience and mild symptoms, according

in jerusalem, annmarie hordern.ent biden getting relief from oil prices, falling again. back below the $100 mark. despite the facts the 2023 outlook suggests there is no relief from the squeeze of supply. >> you have the stronger dollar, adding on for china is battling surge of covid cases. check out west texas intermediate. extending that the climb in asian trading. money managers have become more bearish? haidi: opec showing no relief from tight supply >>. couple of signs it can get worse. in fact, they believed demand growth is likely to exceed supply, energy agencies might not have seen the worst global energy crunch. buckle your seatbelts, it could be worse. producers are behind on output targets, the biden administration believes there is more room to pump. there is relief however, finally seeing take a look at natural gas as it sees improving supply ahead. haidi: bloomberg subscribers can get that on the terminal. let's get you to vonnie quinn in new york. >> the world health organization is urging steps to h