let's take a look at the markets with ed ludlow. meta with lackluster results, everything from -- focusing on profit numbers. ed: down almost 14% and it is the forecast for revenue in the current period between 32 .5 billion dollars-$30 billion, cap it is what we are calling it. it is the themes we thought. a slowdown in the global ad market, and meta reality labs, revenue coming in at $285 million, the estimate was $406 million. if the future is the metaverse, they aren't buying vr headsets and the loss in that unit, $.7 billion -- 3.7 billion dollars. things looking painful but there is a commitment from meta to keep investing on the transition to the metaverse. nasdaq 100 with its biggest drop in two weeks, snapping the longest winning run in six weeks. the last 24 hours change the psychology in the market. the 10 year yield, you think this would be supportive for technology shares. not so. then there is alphabet, microsoft, down by the biggest amount since march 2020 when the pandemic hit. then there is twitter. where would you l

i want to bring in ed ludlow and the president of global advisors, which is advising investors on theisks of the russia-ukraine war. ed, what did elon musk say and why now? ed: in a tweet response, he said that he was following the advice of a ukrainian diplomat, a ukrainian envoy who used profane language and basically said elon musk should take a hike. musk said in his tweet, that we are just following his recommendation. that led to wide media coverage answer justin's elon musk might pull funding support or operational support for starling in the country. -- star lake -- starlink in the country. the pentagon says they are engaged with start a space link -- with starlink, but elon musk says it is an issue of costs in that country. emily: how crucial is starlink to ukrainian defenses? dj: crucial. when you think about how they have integrated western military gear into their operations, communications is essential. one thing ukrainians have done much better than the russians is actually coordinate their defense and offense across a very, very long line of contact. so, this is essenti

first, let's get straight to the markets with bloomberg's ed ludlow. we made it. happy friday. ed: it was a happy friday in the markets. in a week where there was a lot of anxiety. results from snap, a really precipitous plunge. tesla missing top line for the first time since the third quarter of last year. fed speak. fed speak. fed speak. lots of anxiety. yields pushing higher. and we really rallied hard on friday across the s&p 500 and tech in particular. the nasdaq 100 in-line with that performance. semiconductors really outperforming five straight days of gains. we are going to dig into that later in the show. let's dig into how the week looks. the s&p 500, the nasdaq 100, these were the best weeks since june. there was weakness. chinese tech stocks not performing well, we see that in the golden dragon index. all told, we are still bracing. next week is pivotal for big tech. you're hearing a lot about the stronger dollar and weakness in the ad market. and now we are hearing a lot of jitters around elon musk. it twitter was the story of the week. it's always the story of the

let's get right to it with ed ludlow who has been following musk, tesla and spacex for years. joins us now outside twitter headquarters live in san francisco. day one under musk. what happened? ed: not as much as we had hoped. we know the deal closed last night, equity investors were informed. i am hearing a lot of the work we have reported is ongoing. there tesla engineering staff inside tweeter being pared up with twitter engineering staff. they are basically having meetings to review the source code behind the twitter platform. that is what is happening minute by minute. you would have seen the tweet from musk about the content moderation. the conversation seems to be moving quickly from how the deal happened to what does the future of twitter as a platform look like? content moderation and the support of freedom of expression is fast becoming what we want to talk about. emily: we know last night he fired a few key top executives. ned siegel, the cfo. members of the legal team. we saw people walking out of twitter with boxes. are those people getting fired? ed: on the execu

ed ludlow has the details. what happened? eep into a 29-hour journey to the international space station. the crew commander becomes the third native american woman to space, so a landmark in that respect. she is a member of one of the round valley indian tribes in california. there was also a russian cosmonaut on board, the first time spacex is carrying a russian cosmonaut from u.s. soil to the iss. we talk this week about some of the controversy tweets as the ceo of spacex made about the war in ukraine and his belief in negotiating a settlement with russia. it will take 29 hours to get there. talk with me in the next show. we will see if they made it safely. it is a routine operation for spacex the fifth crew mission, the eighth or ninth human-crewed mission. emily: how does this fit into the broader mission and other things spacex is working on? ed: what it is doing is ramping up to go beyond the international space station to go to the moon, but that relies on a different rocket, artemis, which is behind schedule. we don't

ed ludlow has been looking look deeper. what do we know?ay, there was no news about the deal at all, massively for me because i had not slept in four days, look at the disclosure, elon has come back to twitter for the original offer, in the four sessions that followed the stock trickle lower again. they have concerns about the financing of the deal and how likely it is to happen, we continue to look at this spread. this is the gap between the $54.20 per share offer and the current share price. has noticeably come down in recent ship -- sessions. the court has suspended, pulled the trial until october 20, telling the two sides that they need to close the deal by 5 p.m. october 28. if not they will head to trial in november, in the broader context of market the interest -- the interesting stuff to watch is tesla. they have had their worst week since march of 2020. it is not the idea that elon musk has to sell tesla shares to find that some of the chair buying of twitter, there is this risk that you will be desk he will be distracted running a

bloomberg's ed ludlow has the movers. ed, just last could not close the door. ed: they say it is the hope that kills you. we are down three times 1% on the s&p 500, just flat. -- three tenths of 1% on the s&p 500, just flat. we are bracing for a cpi print on thursday, or inflation data for the month of september. that will give us an indication of how much further the fed will go with raising rates and how much more pain this market can take. continuing to see selling in some conductor stocks, which have suffered amid tensions between u.s. and china, but also concerns about slow down, the end use cases for those some conductors. yields pulled back this wednesday. intel has been an interesting story. a bloomberg scoop, you see the pain it has suffered over the last six sessions. it rose slightly on wednesday. intel will lay off thousands of people, as soon as this month we could get an announcement, in areas like sales and marketing, where according to sources they will reduce headcount by 20%. they have earnings on october 27. that is what we are paying close a

our ed ludlow here to break it down. ed: you said it right. absolutely punished. amazon is gettingabsolutely punished. its forecast for revenue significantly below what the street was looking for. to $148 billion. $140 millionthis street was looking for 155 billion dollars, but also the operating income is weak, and that is putting it mildly. we have been saying all day that companies this earnings season either live or die by their outlook for what is to come in the final three months of this year. compared to others, this is very weak. apple down by 1.3% in after-hours, paring some of its earlier losses. but it was the iphone sales that came in weaker than expected, along with services. overall, a beat on revenue and eps in the quarter but there are currency headwinds. if you look at powershares qqq, down 4% in after-hours is a big mover this etf that tracks the s&p 500. we expect ripples in friday's session to be felt more broadly. meta, the story of the day this thursday, its biggest drop since february of this year. the stock closing at its lowest level since

a news analysis with the details, ed ludlow, explain. this is space with -- this is with people who have negotiated this kind of deal before. in every scenario, even if the deal is reached, the vulnerability is that there will be a human component. this is a business that was built in china. even if you separate off the u.s. asset so to speak, it is going to be somebody in china who is fixing any issue. i have been transparent, there are personnel in china who have access to public information from the platform even if not private. the range of concerns are worrying and even if they do reach a deal, such as the control of the administration that even if they cannot hold tiktok to any responsibility, they can pull the plug on any deal. emily: how does tiktok handle u.s. user data? ed: all user data is siphon through the united states through servers that are owned by oracle and hosted in the united states. the data is housed here and processed u.s. users. the vulnerability and the concern is what if something goes wrong? who is the actual

we turn to ed ludlow for more with a very special guest. : i am delighted to be joined by the ceo of mobileye amnon shashua. you have gotten your company into millions of additional vehicles before the end of the year. amnon: that is already booked. our plan is to view the spectrum for full autonomous driving as a spectrum of solutions. we started with a basic solution which is our silicon connected to cameras along the car and parking cameras. all this is being used for an eyes on, hands-free driving. and then for modular expansion by adding active sensors to create eyes off solutions. for example, you start with the camera at the front facing camera and you can have eyes off autonomy on highways. you can add imaging radar and condensed traffic. you get a robo taxi. it creates a spectrum of solutions and we have already been shipping the system, 50,000 cars already, with the system. ed: how critical is china to the growth story for your business? do you see the business growing with pace in china, which is a really important global auto mar

jon: thank you so much, ed ludlow and thanks to mandeep singh.per, this morgan stanley team is looking to money managers to possibly find a home for this debt. things have changed a lot since april. the bloomberg team did reach out to morgan stanley but has yet to hear back. kriti: stocks not reacting well. we continue to see session lowe's. they are down about 2.3% on a two day basis. a lot of pain in the stock market, tesla shares up .7%. the will keep you apprised of all the developments. stick with us. this is bloomberg. ♪ >> the most crucial moment in the trading day, this is a bloomberg markets: the was with caroline hyde, romaine bostick, and taylor riggs. caroline: waking up to the desk kicking you off to the close, normal day. taylor: we are now hearing that elon musk and twitter, that resolution contingent on gti

let's bring in bloomberg's ed ludlow he is on location at the companies had quarters -- headquarters. you are on the ground, what is the latest? ed: we have seen people leaving twitter headquarters with boxes. we are trying to verify if layoffs have started. to what degree layoffs have started. as you guys know, on thursday night, most of the top ranks of twitter c-suite left the company including the ceo and ned siegel, the cfo for the last five years. musk quickly installed himself as ceo, we believe on a temporary basis at least. what have heard from sources in the last 30 minutes or so, is there is an all hands meeting called for next wednesday. not everyone within went -- twitter receive the invitation. there are teams that have not received it. we are led to believe from a internal memo, that there would be an all hands this friday, no word yet on what time that might be or if indeed it would go ahead. there is a meeting set for next wednesday the curiosity, that not everyone within the company has received the invite. jon: obviously know that this is elon musk's business we do

ed ludlow has been watching all day. ed: it a wild ride.he hot print from september reinforced the idea that the fed will remain aggressive with its rate hike paths. the market stayed sanguine when we look at volatility data like the cboe. the vix index, the market didn't seem to panic, surging back on the nasdaq 100. on the s&p 500, swings of more than 5%. 6% at one point. at one point, down by 3%. let's get technical. look at this bloomberg terminal chart. it was interesting. technical levels did seem to play a key role. the benchmark s&p 500 at one point was down back below 50% below its post-pandemic rally. that 3500 level. that seems to have triggered program buying. in other words, the algorithms kicked into rebound the market. emily: let's dig into tech and how tech fayard. it has been absolutely dreadful. ed:ed: a few weeks, rates have been pushing higher. the philadelphia semiconductor's, you name it. they have underperformed the broader market. in this case, the s&p 500 as the benchmark for u.s. equities. you know the story, highe

ed ludlow and the whole newsroom really following the musk twitter saga. ve been talking to some folks at twitter. how has this been going down on the inside? ed: when news broke that elon musk had sent twitter a letter saying he would proceed with the original terms, in number of very wide range of twitter staff were in a three hour long quarterly strategic planning meeting and apparently the first 15 minutes, the ceo of twitter was delivering some opening remarks and pretty much for the entire duration, not a single word was said about the news that was breaking around these employees. there was no official comment. we later in a memo that was shared to bloomberg news or shared with the bloomberg news, once it was already in the public domain, employees were informed of what was going on. it's a very tough time right now if you are a twitter employee. especially if you are working on the product. you don't know where you stand. emily: remind us what musk has said about his vision for the platform. we know he's concerned about bots and spam. he said he wou

ed ludlow breaking that news. walk us through the significance of this. ed: these are the accounts twitter employees check based on stock compensation. the check for status and a notice was placed on those accounts monday. essentially it told them they had been frozen. the ability to trade. there was a quiet period in place anyway, but the company is anticipating this deal. twitter shares pushing higher. it is a sign to the market twitter is proceeding as expected to work to close this deal. the deadline installed by the delaware chancellery judge is 5:00 p.m. on the 28th. but there have been confusing signs from both parties, commentary about what the intentions of both sides are. these accounts are frozen and staff were notified monday. what was interesting is that was technically a day off for twitter employees when that happened. kriti: you say it is in anticipation of a potential deal but are there any other interpretations of what this could mean? or is this set? ed: it says, this allows schwab to perform final reconciliation of employee accounts pri

ed ludlow is here to break it down. ed: you said it, amazon is getting published for -- is getting absolutely punished. is forecast for revenue significantly below what the street was looking for. $143 billion to $148 billion. the outlook for operating income is weak, and that is putting it mildly. we have been saying all day that companies in there's earnings season will live our die by their outlook for what is to come in the final three months of this year. compared to others, this is very weak. apple down by 1.3% in after-hours, paring some of their earlier losses. but it was the iphone sales that came in weaker than expected, along with services. a v done revenue in the quarter, but as he talk about the currency headwinds, look at the invesco etf that tracks this. down by 1.4% in after hours, that is a big move for the etf that tracks the sp 100 -- 500 so closely. we are looking at friday where we expect more ripples more broadly. meta, the story of the day this thursday, its biggest drop since february of this year

ed ludlow with the top stories. it or not there was news in the last 24 hours that had nothing to do with elon musk. it was focused on jobs. amazon cut by half percent. they're adding 150,000 workers for the holiday period, the same as they added in 2021, temporary workers to handle the demand. it's a sign that demand is there. general electric cutting hundreds of jobs, according to sources, in its manufacturing unit that is responsible for making wind turbines for wind energy. because that demand is gone. and peloton, we have been seeking about during the show. i find amazon interesting, we are braced for payroll date on -- payroll data on the jobs market in the u.s.. it's a vote in confidence in consumer demand, amazon is bringing the same reinforcement for the holidays as it did in 2021, even at a time where sales sailors and merchants on the platform are worried, bracing for a slowdown in consumer spending inflation and perhaps some pull forward that spending. you can see the details of what amazon is doing behin

ed ludlow, san francisco.ow more about the mega cap tech stocks hitting the market so hard? you can get around above the stories in today's addition of dayb on your terminal. you can customize your settings so you only get news on the assets you care about. this is bloomberg. ♪ >> there are measures the eu has been taking to mitigate the crisis are consumers and businesses and released an emergency proposal to avoid excessively high gas prices in case of disruption that you market -- in the eu market. haidi: let's take a look at how european futures are opening up at the moment. this is what we are seeing for euro stoxx 50 futures, pretty negative at the moment. msci europe, looking pretty flat. we saw a drop for the ecb, potentially less hawkish, but traders are paring bets on longer-term rate hikes. we are seeing dax futures trading in germany about .7% lower. the broader trend was seeing the rate sensitive textures -- t ech shares trimming those declines. it will be interesting to see how tech reacts gi

i want to take a look at the markets with ed ludlow. walk us through this halloween day. ed: spooky times in the market. clear drag on the market this monday, giving up the gains we saw in friday's rally after apple's stronger-than-expected mixed bag of earnings. we see yields push higher. as we are around 50% of the way through this earnings season, technology is a underperformer. october has not been great for. technology. look at this chart, this is the second worst month for the nasdaq 100 relative to the s&p 500 going back to 2008. technology is clearly falling behind as other parts of the market take off. we know these were about the impact of higher rates discounting, the value of future profits. the concern around a slowdown in global growth on the consumer side and of the spending side. it has an interesting move, airbnb dropping by more than it has in a month. meta closing in the lowest level since 2017. a crash on the instagram app. meme stocks, volatility in memestocks this monday. there is a name not on that board, for the first time that you have nluded twitt

ed ludlow with the top stories. lieve it or not there was news in the last one he for hours that had nothing to do with elon musk. it was focused on jobs. amazon cut by half percent. they're adding 150,000 workers for the holiday period, the same as in 2021, to handle the demand. what is interesting is it is a sign demand is there. general electric cutting jobs according to sources in its manufacturing unit, responsible for creating wind turbines, because the demand is gone. peloton, we have been seeking about during the show. i find amazon interesting, we are braced for payroll date on friday, there are mixed signals about what the dobbs -- jobs market is like in the u.s. it's a vote in confidence in consumer demand, amazon is bringing the same reinforcement for the holidays as it did in 2021, even at a time where sales emergence on the platform are worried that they are bracing for slowdown in consumer spending due to inflation and this many earlier in the year. you see details of what amazon is doing behind me. be

ed ludlow, you can break down the biggest news. ed: for the golden dragon index, closing at its lowest since 2013. the market trying to passover and what it means from a policy perspective. it was interesting because traders had turned defensive and what is a key week for earnings. the nasdaq 100 trading at highest level after a second consecutive day despite yields continuing to creep higher. but in the background, this introduces a new story. come into the bloomberg terminal and look at this chart. overnight, in hong kong, you look at the drop on the hang seng and be firmly, chinese technology establishing itself as the laggard. that's the relative performance of the hang seng index versus its peers in the united states. 50% year-to-date drop is underperformance to put it mildly. a lot going on in the new cycle -- apple responding to a stronger dollar, continuing to raise prices. tesla, and interesting story, cutting prices in china which had a broader impact, specifically for those with business in china because it started to rai

let's bring in ed ludlow to talk us through this breaking news. us through what we understand based on this development. ed: elon musk walked into twitter's san francisco offices on wednesday and spent the afternoon meeting with employees. many questions were put to him. one was on the report originally from the washington post that he would lay off 75% of staff. sources tell us that he denied that he would be laying off 75% of twitters workforce and that he didn't know where that number came from. a lot of twitter insiders telling me and my colleagues that he didn't explicitly rule out layoffs generally speaking. so it adds to what we know is to be an all hands meeting this friday where elon musk will meet with the company staff and to question from them. you may have seen the video. he walked into the market street office carrying a kitchen sink earlier. the joke that was intended based on his tweet was, this is really happening. he's inside twitter hq ahead of the deal closing and we should let that sink in. yvonne: let it sink in. i like what

our own ed ludlow, thank you so much. david kirkpatrick, you are going to stick with us and talk about the next story as well. coming up come the supreme court will weigh in on social media companies and what they are and are not responsible for when it comes to real-world consequences of content on their platform. this is bloomberg. ♪ 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 projects. and when you book and pay throug you're covered by our happiness it's easy to make your home an a check out angi.com today. angi... and done. emily: a big challenge for social media companies coming to court. the u.s. supreme court taking up two cases on whether social media companies can be sued for hosting and recommending terrorist content. it's a big test of an old law, section 230. to break it down with bloomberg's cour

let's get the details from ed ludlow. >> it's a court filing, a letter from twitter's attorneys to the's dated october 6. that's important because october 6 was the date that the judge suspended the trial that was due to take place in delaware and said that both sides have until october 20 at 5:00 p.m. to close the deal. what twitter says in this letter to the judge is elon musk is currently being investigated by federal authorities. they don't list which federal authority but part of their complaint is that they want the team to hand over correspondence between elon musk, his team and the federal authorities. what they are saying is the elon musk team is using a series of mechanisms to say that these documents or correspondence between those parties are outside of the scope. of what is permissible for them to hand over. it's an interesting development because as it stands, we think we are working toward tober 28 for a deadline for the deal to close. >> there are historic as well as ongoing investigations for elon musk. whether you talk about the sec or the ftc. another has been some c

shery: we were going through the numbers with ed ludlow earlier and he was telling us how excited heith raymond on netflix. i do not get into it, i like rings of power on amazon. i have been addicted to house of dragons. that takes me to the whole streaming wars idea. how well netflix doing right now? bob: they are doing very well. the competition has gotten stronger because other people are spending tons of money to create very impressive content. netflix does have his finger on the pulse of a number of people's desires and interests in terms of content. again, it is going to be a peaks and valleys to some degree based on how good the latest hits they have are. they have a couple of big series that continue to draw in people, stranger things, cobra kai happens to be a show that my family and i like. shery: i could not get through it! [laughter] bob: everybody has different tastes and netflix is leveraging the ability is being able to recognize a people are watching out what things we can recommend to them based on that and keep them connected and watching the station and programs. t

joining us now is tom orlik and ed ludlow. tom, you have built your career studying china. your initial take on this shakeup? tom: a couple of big takeaways from the lineup we saw emerging the end of the 20th congress. the first is it is clear we are entering a period of a man world in china. any man who could get anyone who could be considered an independent voice or a successor to xi jinping is missing from top leadership. the second big takeaway is the exit of the economics professionals. chang, yang, ching -- all the names considered to be economics professionals, probe market reformers -- pro-market reformers, all these names missing from the list of people who will form the next central committee. the assumption is that they will be stepping down from frontline leadership. there are -- those two points together, considered by single man rule and the exit of economics professionals has been driving selloff in the markets. kriti: and, it is not just chinese adrs we are seeing pain in, we are seeing it in some of the electric vehicle makers as well. china is the are in o

that is ed ludlow and emily. thank you. haidi: let us get back to australia, it is the day after the budget was delivered and the australian treasurer is seeking to ensure that his budget does not add too much to demand and drive rates even higher. the country faces mounting debt and deficits in the years ahead. paul allen joins us live. what are the -- we know so much about this before it was released. what is the biggest take away for you? >> inflation was a theme that got return to again and again. -- returned to again and again. context in terms of debt, i will give you this in u.s. dollars. the debt is expected to surpass $180 billion in 2023 -- $580 billion in 2023. that is a big round number. by the time we get to that point inflation will mean that the interest bill on that debt alone is going to be 1.2% of gdp. inflation is underpinning many of the decisions that were taken in this budget. the treasurer said the worst thing that the government could do at the moment is contribute to that inflation. how to ease cost

ed ludlow is here with the biggest moves. : back to back gains for the nasdaq, but the first back-to-back gain for tech stocks in two weeks. we have come into this with high anxiety looking ahead to earnings season. broadly, tech underperformed. yields creeped higher. a story we want to get to straightaway is that of apple. information reporting, according to people familiar with the matter, apple has cut production of the iphone 14, which impacted shares but apple accounts for a waiting perspective for 7% of the s&p 500. it had a jittery effect. the s&p 500 pared some losses, but you can see on the screen, a pretty stark drop. bloomberg reported some difficulty apple has had in managing supplies when it comes to the level of production for the iphone. we are in the thick of earnings season. netflix reporting almost double what it expected in terms of subscriber growth. shares higher by 14%. other names, disney, roku also pushing higher. my favorite show was the tv series remake of resident evil. make of that what you will. wh

want to bring in ed ludlow. hing of been reading about is what does twitter look like under mosque? ed -- under musk. ed: interesting what twitter did and did not say in the statement last night, they said we are committed to closing a deal. he said his offer was conditional on a stay of legal proceedings. i haven't heard from anywhere whether twitter will stay in those proceedings. as it stands technically we're headed to the october 17 trial data. this a lot of unknowns here. guy: why would twitter not drop the legal proceedings and therefore we end up in a catch-22 scenario here. they don't want to drop them because they are worried about what he might do and he's not going to do the deal because he doesn't want the legal shenanigans to go on. who breaks the circle? ed: the equity markets indicate this deal will close looking at twitter's jump yesterday, that's an equity market vote of confidence. the credit and debt market there's more uncertainty because he also said his offer is pending the proceeds of that

the cfo of alphabet was speaking with ed ludlow earlier. she said in terms of youtube, i would say the largest driver of the deceleration was a further pullback in spend from some advertisers that was across brand and direct response. talk to us about whether or not this will be there for we read into meta. you were saying about the impact from snap, the worries about marketing budgets getting smaller. is there anywhere in terms of reinvestment, doubling down on youtube shorts that you want to see to prove that youtube is where you have to be for eyeballs. guest: you have to stay the course on strategy, the macro economic conditions at this moment are what they are. google has the best product, they are diversifying, their innovating, the youtube store product is interesting, tiktok has acceleration, that is what youtube is trying to do to what tiktok is trying to do. i watched ibm earnings last week, the strength of the enterprise on the other side of google, the cloud business, i think that investment will be even more critical. coming ou

sonali: ed ludlow, thank you very much.e on the latest twitter events and what it could mean for merger arbitrage is julian camacho, accelerate arbitrage portfolio manager. we have been talking about the biden administration's concerns here, national security reviews, potentially. that includes for a deal like twitter. i'm wondering, for a portfolio manager, folks have been tossed around all year in this deal. there are some who have cap some real conviction. david einhorn making it his biggest long of the year. how do you feel about the prospects of this deal getting done anytime soon? francisco: -- julian: happy friday. thanks for having me. the twitter deal has been volatile. if it was not one thing, it was another. you had the drama with the lawsuit and that seems to be coming down, and there is the financing, and tesla stock, and now there is noise with respect to cvs -- the committee on foreign investment in the united states. that government agency regulates foreign investment, and i will note musk is not a foreign i

ed ludlow is here on what to watch. ed: where you even start?p and what we have seen about this widespread softness in the ad market, quickly look at alphabet. does the softness we see in those social media platforms translate to search? google has given it to support, right? there is this idea when we came out of the pandemic we saw googling of things to do. we are being selective as consumers on how we spend our money. then there is the youtube wildcard. but all of the above, right? stronger dollar, how is that man is -- how is that manifesting itself? i was surprised to see tesla take a $250 million hit to profit on that strong dollar. from there i guess after that jessica -- [speaking french] guy: in terms of the international story, let's talk about that for a moment. the link that joins everything together. how different is the u.s. story for these tech companies from the rest of the world right now? ed: i just sent the producers a chart. i'm hoping they can pull it up. earnings expectations have come down, but the decline in global equiti

annabelle: at the -- paul: ed ludlow and emily graffeo there. let's take a quick look at what is happening at fx markets at the moment. the kiwi and the aussie fairly stable but take a look at the yen, hovering below that 150 mark against the greenback. traders again on the other for the possibility of intervention. not a lot of change either to the british pound against the greenback right now. we are watching very closely what is going on in the u.k. as a number of tory mp's are in open revolt against the prime minister. shery: the u.k. prime has fired a home secretary for what has been described as a national security breach. wendi morton and her deputy have resigned. for more, let's bring in john authers. the prime --can the prime ministers arrive this? >> i would be surprised if she can last the week at this point. to give you an idea of how much confusion there is over this, both statements made just now are currently being denied. the whips say they did hand in their verbal resignation but they are going to carry on. she is saying she was

it has a preview on those earnings and what to expect with bloomberg's ed ludlow. and also a senior rfa senior industry analyst. we got grim earnings from some of the other major tech names. alphabet, microsoft, and meta as well. but apple has a fundamentally different distance model. will they be this exception? >> apple is no magician. they are not immune to macro factors. i don't necessarily hope any investor is hoping apple saves the day, but that being said, tear point, apple is definitely a different beast and some of these other companies, and i think at the very least, it will accompany a number that will beat their numbers. they don't explicitly guide, but they are going to give some allocative insight out there. but this is a consumer arena where we think it is definitely softening. apple, given what they felt here, they will hold up better than others, and when you look at the other side of things, they have by far the best brand, but they are actually falling. they are holding onto those larger -- margins better than others. >> by comparison, there is a

let's bring in ed ludlow who has been tracking the story. the specifics are elon musk had a conversation with all the big bankers about getting to the finish line. ed: correct. according to bloomberg sources, elon musk held a video conference with the bankers. the intention, according to musk, is this deal closes by friday. 5 p.m. eastern time on october 28 was the deadline imposed by the delaware judge when she issued a stay of proceedings because musk had reverted back to the original $54.20 a share offer. it is another sign we are moving forward. we use twitter stock as an indication of wall street sentiment that this deal gets done. there's a lot going on this week. we are hoping we get some resolution on this sooner rather than later. kriti: $13 billion of financing on the line. i want to ask about the stock movements because we are still looking for $54 20 cents. you've seen it come off the 53 handle, trading just shy of that level. what are we waiting for from a stock perspective? ed: you read into this one of two ways. the stock at $5

the best person i know to talk about this is ed ludlow. >> let us start with meta. investors really soured. below expectations. we went into this knowing what the story is, softness in the ad market and it is causing executives on the earnings call to speak on that. her budgets have been reined in. what investors are not liking here is a zuckerberg and meta's commitment to spending in this transition to the metaverse. they said that we should expect deeper losses in the meta reality labs unit and through 2023 they will start to moderate the pace of spending and become more focused on headcount reduction and more efficiency and optics. that is what investors wanted to hear right now, signals that they would cut costs sooner rather than later. that is not what is coming from meta executives. haidi: is the twitter and must finally sinking in? >> will it happen? whether it sinks in for me ever, elon musk did walk into twitter headquarters carrying a sink as he tweeted twitter insiders tell me is let it sink in, i will own twitter. bloomberg has reported equity investors

ed ludlow is here. a monster drop in snap shares. : slowest revenue growth on record, they dangled a $500 million share buyback, which i don't think anyone cares about. look behind me, there is literally a giant wall that says -25% after hours. the reason that is dramatic is because it is a stock already down 80% year to date. it will be fascinating to see the broader ramifications of friday's market when we look across the technology sector. specifically, the company citing an active pullback from advertisers. other headwinds including what they call platform policy changes, referring to apple ios add tracking changes. in terms of broader markets thursday, another day of yields up, tech stocks lower. the nasdaq one up 1.6%. it fell, raising their gain, ultimately closing .5% but faring better than the broader s&p 500. we continue to see the push hired in the yields. we continue to hear fed speak. thursday, philadelphia fed chief parker says he expects policymakers to raise rates beyond 4% and hold them elevated well into next year. b

ed ludlow joins us now. what supply issues are they dealing with? aditionally there is a mad sprint at the end of the quarter where cars come out of the factory and you have to move them. right now there are four factories on three continents and they have tried to regionalized how they handle that. the net result, in those final weeks of the quarter, the cars were ordered, the customers wanted them, they were just in transit. you cannot book a vehicle as delivered until a customer receives it. it is still a record-breaking quarter for tesla. really strong performance relative to a year ago, the prior quarter. guy: so there is no demand issue here? ed: analysts seem to be taking tesla at face value, that this was an issue of logistics. elon musk took to twitter to reinforce the idea that they want to get away from a situation where they are caught at the end of the quarter having a mad scramble. he talked about wanting to have more intra quarter deliveries, also flagging the idea that export costs were high. there is a data point, the production numb

ed ludlow, david kirkpatrick.oming up come the supreme court will weigh in on social media companies and what they are and are not responsible for when it comes to real-world consequences of content on their platform. this is bloomberg. ♪ emily: a big challenge for social media companies, the u.s. supreme court taking up two cases on whether social media companies can be sued for recommending certain content. it's a big test of an old law, section 230. talk to us about how you expect this to play out in court, whether it something that could divide the court on ideological lines. >> there are certain reasons to think it could. this section 230 which is involving the google case, the law that generally provides social media companies -- that has come under fire from conservatives and at the supreme court, the one justice is clarence thomas who is one of the most conservative justices. he has expressed the concern that it gives social -- social media companies too much latitude. emily: section 230 is the communicati

ed ludlow joins us now from san francisco. what are you looking for? ross the fab five, those five biggest tech names by revenue, we are looking at eps to decline 22% year on year. you can see in my shoulders, you can see how tense i am. you look at the nasdaq 100, the best run of gains in a month, but there is anxiety in the market. if you look further afield, this quarter is expecting a big drop in profit. but the market sees recovery into 2023, which is why earnings calls become important. all it takes is for some nervousness, and there is a shock to the system, particularly around those ad- exposed companies. because snap gave us a bit of a shock to the system. that chart tells the story, a big drop in profits to come. scarlet: tense and anxious, and looks similar to confident. i don't buy that. i'm so glad you bring up snap. to what extent can we extrapolate snap's results to the biggest players like meta? ed: i think it was hard from snap's earnings was how transitory those issues work, specifically to snap, right? they talked with granularity abo