ritika: let's talk about the dollar.ou continue to see with this in the yen and it seems the consensus will be the trend that it continues with the euro dropping. in the last 48 hours alone, we have seen perhaps some speculation about what will break the strength of the dollar period former colleague -- dollar. a former colleague of your sink perhaps there is some vulnerability in the greenback. -- a former colleague of yours saying perhaps there is some vulnerability in the greenback. cameron: there is like elation at the fed will run out of steam. the fed is projecting steady rate hikes through until next year. the market is pricing the end of the cycle in about nine months, and then a reversal not long thereafter. i think we can say given how quick and aggressively have been moving rates, the turnaround will probably come in fairly short order and will be a wily coyote moment and it will jump off the cliff, hang there for a minute, and then drop. once the fed gets the perception that is going on, whether it is inflati

i am ritika gupta.his is bloomberg. ♪ >> the key metric right now that tells you households aren't really that worried about recession? saving rate is low. if people were worried about their income prospect, they wouldn't be spending so much out of their income. jonathan: chief economist dreyfus and mello. tom: acceleration, it is not the number, it is how rapidly we are getting there. we talked target. we know that he teaches at columbia as well. the chloe ankle strap sandal is usually's $17. you can go in for a kid and buy it at $13 59 san. if they lowered that puppy to $11.99, will they sustain the traffic that you say is required? >> tom, what we have here is the consumer reposition very quickly. these markdowns taking place are critical. target is doing that now. the consumer shift is faster than they expected in terms of the consumer going up, buying suitcases instead of swimsuits. that has been under pressure, too. markdowns will occur in the market this quarter. back-to-school should be pretty g

ritika: keeping you up to date with news from around the world, i'm ritika gupta.resident biden has reiterated that a u.s. recession is not am inevitable. he spoke to reporters after a conversation with larry summers. summers says this is a significant chance that you boulevard itself battling stagflation. in china, the coronavirus infection is spreading to the south coast. it has triggered testing and a lockdown of some neighborhoods. the european union's 27 members will formally grant ukraine candidacy status later this week, a highly symbolic step on the path to becoming an eu member. they will discuss the membership bid this week. guggenheim will formally merge with polstar on thursday. the transaction will raise at least $850 million in gross proceeds. elon musk says there are few unresolved matters regarding his acquisition of twitter. he told john micklethwait there is the question of whether the debt portion of the deal comes together, and then whether shareholders vote in favor. musk is still awaiting a resolution on the matter of how many bots are on the

i am ritika gupta.lon musk told news editor it is not a necessity but recession is more like --. part of the academic -- part of the economic forum indo han. the move will require congressional signoff. u.s. gas prices have now reached $4.19 a gallon. just short of a record set last week. russia warns two americans captured while fighting for ukraine to face the death penalty. vladimir putin tells abc they were not likely to be protected by the geneva convention as prisoners of war. in the ukraine -- in the u.k., the biggest rail strike underway. 40,000 workers are working out -- some 40,000 workers are walking out today. kellogg split into three independent companies. north american serial at plant bait -- plant-based foods facility. more than $11 billion in sales. global news, 24 hours a day, on air and on bloomberg quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. i am ritika gupta. this is bloomberg. ♪ if you wake up thinking about the market and want to make

i am ritika gupta.resident biden will meet in saudi arabia with the crown prince. he once promised to punish them over the human rights abuses. this will be a trip to isolate russia and lower gasoline prices. hong kong's outgoing leader carrie lam says quarantine has weekend the country. she pointed to the fact hong kong is still requiring one-week week quarantine for incoming travelers. >> everything is relative. when people are opening up and hong kong is imposing the seven day quarantine, that weakens our position as a national city. ritika: [indiscernible] hong kong residents will now have to show a negative covid test to enter the city's bars and nightclubs starting thursday through the end of the month. this as the city is seeing an increasing number of infections driven by transmission at entertainment facilities that recently reopened. it was more than one year since she was detained at the case is under investigation. we will do everything possible to help her and her family. global news 24 hou

i am ritika gupta.his is bloomberg. ♪ >> there is nothing inevitable about recession. tom: president of the united states. a lot of vetting out there, do you think it is tangible that larry summers could find a warm spot in the biden administration? lisa: that would be controversial. someone saying that -- is highly necessary? try selling that to people. tom: public announcements -- a public announcement, it is the kailey leinz lines of contribution, we will be taking contributions as kailey leinz moved to brooklyn. right now, joe mathieu's does not know -- joe mathieu does not know where brooklyn is. he joins us now. lawrence summers has done a lot of public service, they love him and hit him. is that the name bandied about to reinvigorate the president's administration? joe: that would be something. i don't know if larry summers is looking for a job like that. we have to look closely at what the president said. if we kept playing the tape, he went on to say after the not inevitable remark that i think

i'm ritika gupta. nato leaders are preparing to boost the alliances defenses in the face of russian aggression in europe. they want to establish a new force model which would put 300,000 troops on high alert. president biden says that u.s. will set up a permanent headquarters in poland. nato leaders are meeting in madrid. the u.k. has imposed sanctions on russia's richest person. he is worth more than $37 billion. pressure is building more on european central banks to raise rates for the first time in more than a decade. inflation in spain has unexpectedly rose to a record of 10%. it dashed hopes that inflation in spain had peaked. a former white house insider portrayed violence. she says she was told the president tried to grab the steering wheel of his limousine after the secret service refused to drive him to the capitol on january 6. global news 24 hours a day, on-air, and on bloomberg quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. i'm ritika gupta. this i

i'm ritika gupta.a has withdrawn troops from a strategically important island in the backseat. ukraine says russians were forced to leave because of missile and artillery strikes. the fallout helps with grain exports from ukraine. a big week to revive the nuclear deal between iran and world powers. that is according to the union diplomat mediating a discussion. the semi official news agency of iran says the u.s. did not show enough flexibility and a guarantee of economic gains from new agreement. the economy shows signs of improving, though gains were less than expected. the nonmanufacturing index which measures construction applied to the highest level in more than a year. airlines delaying a shareholder vote on emergent -- merger. they need more talks for this. they are saying the frontier is -- >> are fighting for a bigger, stronger business. while there is risk on the horizon of recession or whatever that is, the business will recover. it has been in a difficult period over the course of the pandem

i'm ritika gupta.anet yellen says she got it wrong last year on inflation. she made the admission in an interview with cnn, saying elevated inflation would not pose a continuing problem. now she is saying she did not fully understand the circumstances. the federal reserve is about to deploy a second tool to curb interest rates. it will begin shrinking the balance sheet. they say it should cool price pressures by tightening financial conditions. the u.s. is ramping up military support to ukraine. president biden says he will give the ukrainians advanced rocket systems that will allow them more precision in attacking russian targets. the weapons will let ukrainians hit targets as far as 50 miles away. the city of shanghai reported its was coronavirus cases in three. this came in a day where residents celebrated the end to mandatory lockdowns at home through the city. delta airlines is back to where it used to be. second quarter revenue will be fully restored to 2019. capacity expected to be 83%, just 1%

ritika: keeping you up to date with news from around the world, with the first word, i'm ritika gupta. saudi arabia signaling confidence and demand for oil. the kingdom has raised prices more than excited for asian customers. oil has rallied almost 60% this year. rebounding demand co. it sounded -- demand coincided with a rebounding market after ukraine. members of prime minister boris johnson's conservative party have forced a confidence vote today that follows a series of scandals. opponents will need a majority of lawmakers to force johnson from office. uncertainty over his future comes as britain has faced soaring energy bills and the highest inflation in four decades. beijing is taking another step towards returning to normal. the city is rolling back coronavirus restrictions after the clearing the latest outbreak was under control. public transport will resume in most parts of the city. restaurants will resume dine in service and movie theaters will reopen with limited capacity. north korea has set a record for the most rocket launches in a single year under kim jong-un. eight s

i'm ritika gupta.kraine is one step looser to becoming a member of the european union. bloomberg has learned the european commission recommended it to candidate status with conditions they will have to meet on the rule of law, justice, and anticorruption. there is no fast track path to speed up the process. -- since world war ii and helped push the number fleeing their homes globally to the highest annual level since the united nations began keeping track. the u.n. says the number of people displaced around the world reached 100 million, and the war in ukraine displaced 8 million people so far. the world trade organization has reached a deal -- manufacturing of covid-19 vaccines. the head of the wto previously said she wanted to end the morally unacceptable in equity to access to covid-19. this delivers a blow to vaccine manufacturers. hong kong's outgoing leader is urging residents to avoid banquets and other large gatherings emerged -- emid -- amid a resurgence of covid-19. it has the highest level i

i am ritika gupta. this is bloomberg. ♪ >> the frontloading of interest rate increases is a good idea because what you would like to do is nip inflation in the bud before it gets entrenched in the economy. get inflation back down towards 2%. jonathan: jim bullard at an event in the past week. the next stop, july 27. july 13, cpi, on the 14th, earnings from jp morgan. futures positive .4%. the nasdaq 100 up 64 points. yields higher by 3.182% on the 10-year. wti, $108.17, up .5%. tom: down to 114 on brent crude. the vix does not play. 28 point 21 -- 28.21. we always adjusted good conversation with javier blas of bloomberg opinion but that barely describes his impact on the hydrocarbons worldwide. javier, i get out the old saudi chart and adjust for inflation. we are getting back to the sustained higher prices we saw inflation-adjusted in the 1970's and 1980's. how important is the sustained price of being above $100 a barrel for a long time? javier: it is very important. sometimes we focus on the peak pri

i am ritika gupta.t is being called the biggest breakthrough in u.s. gun safety in three decades. the senate voted 65-33 for bipartisan legislation for background checks, secure schools and fight gun violence. the senate passed the bill hours after the supreme court issued a landmark ruling the could mean more guns on the street. federal reserve chair jerome powell -- commitment to curbing inflation. he wrapped up two days of testimony on capitol hill by warning the fed is far from its inflation target. she said she supports raising interest rates by 75 basis points next month. in the u.k., prime minister boris johnson -- the conservative party lost a key parliament seat in southwest england. it is first time i constituency has not voted conservative. the liberal democrats won the seat. bloomberg has learned beijing has asked foreign business chambers to advise the economy. the chamber responded with one overriding message. hackers have stolen $100 million in a cryptocurrency attack. harmony said it is

ritika: keeping you up-to-date with news from around the world, with the first word, i'm ritika gupta. the price of oil is falling following a pair of reports that saudi arabia has indicated it is ready to pump more crude due to increasing sanctions. president biden is likely to visit saudi arabia this month. that could lead to an increase in saudi oil production. soaring gas prices are hurting the president politically. sheryl sandberg helped turn facebook from a startup into a multibillion-dollar advertising powerhouse. sandberg is stepping down as chief operating officer of meta platforms after 14 years. she served as the highest profile face of the company next to ceo mark zuckerberg, but was criticized for the company's failure to rein in large-scale misinformation and privacy breaches. russia says it is ready to settle claims on bonds that were judged to have breached their terms after reaching an interest rate payment. in is an attempt to ensure a payout worth potential he billions of dollars. failure to pay occurred on credit default russia blames foreign counterparties for th

i'm ritika gupta.his is bloomberg. ♪ >> what is true in the united states is true in every country. trickle down economics does not work. our close friends who share our values, we can make sure we are not left vulnerable with unexpected shops while generating economic opportunity for people in our region. jonathan: president biden at the summit of the americas in new york city this morning. equity futures look like this going into the ecb and onto u.s. cpi tomorrow. futures positive, yields going nowhere at 0.2% and euro-dollar unchanged, going nowhere into this decision later. 1.0 719. tom: you can call it resilience is welcome at the pulling back, watching foreign-exchange genetics off a press conference we will see this morning -- afternoon. from amsterdam, jeff fitzpatrick joins is in washington. to those of you in america, it is still light -- it is lite. joining us as the ecb discovers heritage, maria, this is not t heir ecb. this is christine lagarde's ecb. how is it different than early days?

i'm ritika gupta. this is bloomberg. ♪ ♪ what if you were a global bank who wanted to supercharge your audit system? so you tap ibm to un-silo your data. and start crunching a year's worth of transactions against thousands of compliance controls with the help of ai. now you're making smarter decisions faster. operating costs are lower. and everyone from your auditors to your bankers feels like a million bucks. let's create smarter ways of putting your data to work. ibm. let's create >> we are very focused on reducing prices for the american consumers. knowing we are going into it and are in the beginning and the united states higher demand, he wants to see what we can do to reduce the price, even 82 $.50. told the president if he can get $.50 off per consumers the summer, they would welcome that. most of the countrywide. jonathan: the senior advisor for energy security in the u.s. speaking to annmarie hordern early. with tom keene and lisa abramowicz, i'm jonathan ferro. the nasdaq 100 down by 1.6% as

i'm ritika gupta.his is bloomberg. >> after 12 years in government, the tories have left the economy and -- tom: emotion in the house of commons. you wonder if we will see it in america as well. the gentleman from scotland speaking. they have really been going at it in a much greater level than i have seen in recent times. here is the prime minister. >> the government has the fiscal firepower to deal with it, mr. speaker, and that is a benefit to the whole of the united kingdom, including scotland, as we have seen throughout the pandemic. it is a matter of fact that taxes are higher in scotland, as well. lisa, very quickly, the backdrop is a simple commit $8.66 u.s. a gallon in london. lisa: it is a lot more there and it is creating tension around the world as people bubble over and see their incomes going down on a very real basis. tom: we will move it from the emotion from the house of commons to the reality of careful academics and to study at the international energy agency. tim gould leads economi

i am ritika gupta.his is bloomberg. ♪ at fidelity, your dedicated advisor will help you create a comprehensive wealth plan for your full financial picture. with the right balance of risk and reward. so you can enjoy more of...this. this is the planning effect. >> the 75 basis point move was bold. he wants to signal to not letting inflation expectations get entrenched in corporations and pricing, and i think we have to do everything we can to get the supply chain open. jonathan: that was congressman french hill. good morning. equities higher, no correlation at 1% on the s&p 500. on the nasdaq 100, a bike 1.2%. joining us now is heather boucher, the member of the white house council of economic advisers. you guys have taken this seriously. the washington post is out with a story this morning on a range of issues. one of them is imposing price controls and banning exports of u.s. energy, i would like to know first, how seriously we should be taking that this morning. heather: as the president made clear ov

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i'm ritika gupta. this is bloomberg. ♪ >> the fed has shown it is going to have to be very data dependent over data it is not necessarily have a great deal of control over. the fed is somewhat captive to the incoming inflation data that matters a lot. than the growth outlook is. also very uncertain. jonathan: their chief cross asset strategist at morgan stanley, andrew sheets there. good morning. alongside lisa abramowicz, i am jonathan ferro with damian sassower. yields higher about a couple basis points, 1.2162 -- 3.2162. it has a 3 handle now. the euro-dollar negative about one third of 1%. this story just crossing from the washington post -- the second paragraph, biden officials taking a second look at whether the federal government can send rebate cards out to millions of american drivers to help them pay at gas stations. lisa: but the second or third line is also fascinating, that in the past, they have rejected this idea because of a shortage in chips needed to make that card. just highlighting

i'm ritika gupta. this is bloomberg. ♪ at fidelity, your dedicated advisor will help you create a comprehensive wealth plan for your full financial picture. with the right balance of risk and reward. so you can enjoy more of...this. this is the planning effect. >> they dropped a critical sentence indicating they are not certain they can do this soft landing. that is an indication they think they are running the risk of a recession. jonathan: that landing strip for a soft landing just gets a whole lot narrower over the last few months. that was jeff lacker. from new york city this morning, good morning. here is the price action. we are down more than 2% on the s&p 500. we take away yesterday's rally pretty quickly. in the bond market, up 17 basis points. 180 on a 10 year bund. i want to think about where we have been, the recent high on a 10 year, tom. that high in the last week or so, 349.65. just a couple of days ago. tom: i'm locked onto your yields , 3.35%. the two-year to breakout higher would be a

. ♪ ritika: keep you up-to-date with news from around the world, and ritika gupta.eaders of germany, france, and italy are in kyiv today for talks with volodymyr zelenskyy. they travel together by overnight train in a show of solidarity for zelenskyy and his government. the trip comes ahead of an expected recommendation from the european commission that ukraine be granted candidacy to join the eu. nato members are looking for germany -- to germany for cues about how to boost the alliance's defenses against russia. germany has been identifying units that can be deployed to lithuania and placing key equipment ahead of time. the house committee investigating the january 6 insurrection at the u.s. capitol will focus today on the pressure donald trump put on vice president mike pence to block congressional -- the panel will hear that trump was repeatedly warned his plans were illegal. the hearing may include testimony from trump aide's that when trump learned those invading the capital were calling for pence's lynching, that he "deserved it, anthony fauci has tested posi

ritika: welcome. i'm ritika gupta with your first word news. president biden will urge congress to pass gun-control legislation in a primetime address from the white house tonight. the president's address came one day after a gunman killed four people at a medical office in oklahoma. and a week after a teenager killed 19 children and two teachers at an elementary school in texas. meanwhile, on capitol hill a bipartisan group of lawmakers is negotiating a possible agreement following that string of high-profile shootings. for than two thirds of the world's population probably has significant levels of covid antibodies. that is according to the world health organization. that means they have either been infected or vaccinated. most studies say people who have both been affected by covid and vaccinated have the best protection against severe outcome. a system of showers and thunderstorms across mexico's yucatan peninsula and the western caribbean sea continues to edge toward the becoming the atlantic's first storm of the 2020 who hurricane season

i am ritika gupta.. ♪ >> i think you've got to be moderate about what we know about this inflation process. i fear that it is going to get worse. we may get to 9% at this rate. tom: 9% inflation. are you ready for that in the united states of america? maybe we will see chat on that in euro this week. we welcome all of you on radio and television. lisa, it coin cannot find a bid. down to lowe's at under 24,000. lisa: we didn't get to a good quote this morning. tom: i am asking for a friend, lisa. [laughter] lisa: i think it is fascinating to see the froth taken out of the market, that warren buffett quote, when the tide rolls back. tom: they came to me and said, do you want to do the crypto show? my people told him, that would probably not be a good idea. kailey leinz doing a crypto show, how big are the wakes this week? kailey: tuesday, 1:00 p.m. matt miller have been joking -- and i have been joking for weeks, bitcoin has become terribly unexciting. tom: so much for the afterglow. we will get the after

i am ritika gupta. this is bloomberg. ♪ don't like surprises?ibrates ] proactive notifications from fidelity keep you tuned in all day long. so when something happens that could affect your portfolio, you can act quickly. that's decision tech, only from fidelity. today's challenges require real insights, to get to tomorrow's opportunities. ( ♪♪ ) what can we expect in the coming year? this has been a record- shattering year for m&a. five trillion dollars in deal value. and we're still very bullish on the deal market for 2022. in this kind of climate, what are you advising clients to focus on? we really think companies need to elevate their risk management processes and also scenario planning. what's your outlook, kim, for the 2022 labor market? organizations really do need to take a pivot on their lens of their people and talent from a cost center to make that a value creation center. for key insights into what matters today and what lies ahead for business, this is real time business with ey. close the fed caught up with market pricing on rate

ritika: keeping up-to-date with news from around the world. treasury secretary janet yellen says she got it wrong last year on laois and. she made the announcement in an interview with cnn. she predicted lester that elevated in asian would not pose a continuing problem and now she says she did not understand the circumstances. the fed is about to employ higher interest rates. it's 8.9 trillion balance sheets, they don't know how that will be? the u.s. is ramping up military support to ukraine. president biden says he will give the ukrainian an advance rocket system that will allow them more precision attacking russian targets. they will allow ukraine to hit targets 50 miles away but ukraine promised not to attack targets in russia. shanghai reported his fewest coronavirus cases in months as residents celebrated an end to mandatory isolation. there is a peak of 27,000 per day in april. there was a police rate at cws group. -- read. it had to do with allegations that cws made unsupported claims about investments. global news, 24 hours a day and

i'm ritika gupta. this is bloomberg area -- this is bloomberg. >> runaway inflation at the gas pump and the grocery counter has meant the lead indicator for recession of the last six recessions in the united states, if the united states is not currently in recession, these food costs, these energy costs, falling income, we will be in a recession within the next six months. jonathan: this crude market and a whole lot more in this economy. equity futures are positive by 0.4%. about a minute away from adp data. crude, $114.59, down about 0.6%. we want to go through things piece by piece. we had a report from "the ft," suggesting the saudis may be ready to boost more. moments ago, this headline. opec+ to discuss adding 600,000 barrels a day to the oil market in july, according to delegates. this proposal against a scheduled 430,000 a day increase. tom: i blend in again to bloomberg commodity index, which is up nicely this morning. not quite to the middle of april new highs, but those indices blended oil an

ritika gupta.hina has made the biggest shift yet in its covid zero policy. quarantine times for inbound travelers have been reduced from 14 days to seven after beijing and shanghai said they had no new local infections for the first time in february. european central bank president christine lagarde is promising to be nimble. she has plans for a quarter-point increase in interest rates but said policymakers are ready to step up action if needed. and runaway food inflation may be tamed at least temporarily. the fed pushed up the price -- it pushed up the price from everything from red to chicken wings. optimism that key producers. 46 people were found dead in a semi trailer, apparently victims of heatstroke. another 16 were taken to hospital. authorities suspect they were migrants. smugglers sometimes use commercial trucks to bring over migrants. in the u.k., the prime minister's bill to override the brexit deal survived a challenge in parliament, but members of his own party. it now goes to the nex

ritika: keeping you up to date with news from around the world, i'm ritika gupta.key's president will meet with president biden to push for the purpose -- purchase of new airplanes. erdogan is open to capitalize on a positive atmosphere. ties had grown cold after buying russian defense systems. pressure is on central banks to raise rates for the first time in a decade. inflation in spain has risen to a record 10%. it dashed hopes that inflation in spain had peaked. the life of clarence thomas has declined the request for her to testify. her lawyers say there is no sufficient basis for her to appear in front of the panel. disney has given a vote of confidence to ceo bob chapek, extending his contract for another three years. he has spearheaded disney into a streaming powerhouse. they are getting closer to taking over the number one streamer netflix. global news 24 hours a day, on-air, and on bloomberg quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. i'm ritika gupta. this is bloomberg. today's challenges require real insights

i am ritika gupta.his is bloomberg. ♪ >> what worries me, you are not going to like this, the month print will be worse. i think those who boldly said inflation is coming down may have to change their mind. tom: mohamed l area and -- el-erian, talking about the past forward on an inflation report. joe mathieu returns after a discussion in the last hour of the january 6 hearings we saw last night. joe, i want to take the chairman of the hearings, thompson of mississippi, and take it to the inflation report. we are hugely skewed, the three zip codes in new york, two zip codes in washington. mr. thompson of bolton, mississippi, west of jackson, mississippi, is looking at rents will up and up, $600 a month, outrageous. explain for our fancy audience, the outrage of your washington over inflation moving from what appears to be a very low price, and up substantially. >> imagine coming from a town of roughly 500 people as he described last night, the impact that would have on the community here. the present is

. ♪ ritika: coming up, this is bloomberg.nt biden says he is doing everything he can to wring down inflation. he spoke to importers today at a climate change event at the white house. >> every letter available to me to bring down prices for the american people. our nations are working together to stabilize global energy markets, including coordinating the largest release of a global reserve in history. ritika: the president added the nation should build on the success of the recent global meeting pledge. covid vaccines for children ages five and under from pfizer and dharna have been given green light from -- moderna have been given the green light. the biden administration says the vaccines for the youngest of kids are expected to be rolled out as early as june 21. world wrestling entertainment says its chief executive officer will step back from his duties whilst supporting his allegations of misconduct, another executive in a statement that says he will pledge his full cooperation and accept the findings and outcome of the

. ♪ ritter -- ritika: coming, kay bailey hutchinson joins "balance of power."omberg. ♪ ritika: keeping you up-to-date with news from around the world, this is the first word. the goal is to limit a key source of revenue for vladimir putin for his war in ukraine. the potential mechanism would work by imposing restrictions on insurance and shipping. the covid zero policy appears to have an outbreak under control. restrictions in shanghai and beijing continue to be lifted. frontier airlines urging those in favor of the fund to this thursday. last friday, it's in its offer is better than jetblue's cash offer, decisively superior. global news 24 hours a day on air and on bloomberg quicktake, powered by more than 2,700 journalists and analysts in over 120 countries. i'm ritika gupta. this is bloomberg. kailey: let's get more on frontier's pursuit of spirit. joining us now is the frontier airlines ceo in the new york studio. you want to buy the company and be the one who wins. i am wondering what kind of feedback you have gotten from spirit shareholders and how confid

i am ritika gupta.is is bloomberg. ♪ >> i think you could say figuratively and lingered ugly, they are out of gas. you cannot -- the way the gas taxes leveraged in the u.s., it is not at the top level. priority one is to make sure we unleash america's potential, as far as the ability to produce more oil and gas. tom: the republican from virginia, eric cantor. speaking to bloomberg in london. right now, i am going to focus on energy. that is a point at the moment, futures up 23. vix, 29.11. brent crude, down to $112 per barrel. west texas media, 110. you read the washington post, lukewarm on the microeconomics price. of an $.18 tax on a gallon of gas. what is the plan to get oil back to $80 a barrel? >> good morning. thank you for having me. since the late fall, when putin had his troops around ukraine and the invasion followed by his -- global sanctions, the price of gasoline at the pump for americans has gone up about two dollars, diesel, more than that. what we are looking at is this historic increase

. ♪ ritika: keeping you up-to-date on the news.ed chair jerome powell calls his commitment to curbing inflation unconditional. he wrapped up two days on testimony on capitol hill by warning that fed is far from its inflation target. meanwhile fed governor michelle bomer and says she supports raising interest rates by 70. five points again next month. it is being called the biggest breakthrough in u.s. gun safety in decades. the senate voted to approve bipartisan legislation that will improve background checks, secure schools, and gives states money to fight gun violence. the house is expected to pass the measure. the senate passed the bill hours after the supreme court issued a ruling that could mean more guns on the streets at big cities. in the u.k., prime minister boris johnson has suffered a major election absent. his party lost key seats in england. the liberal democrats won one new seat. shares of twitter are higher in premarket trade. twitter sent further user data this week to elon musk, who wants to buy the company. it inc

i am ritika gupta.this is bloomberg. ♪ >> certainly, there is a risk. i would not agree it is the biggest risk to the economy. the bigger mistake would be to fail to restore price stability. jonathan: reaffirming what you have heard so many times, na much more forceful way, from chairman powell of the federal reserve. president lagarde together with president bailey, a brilliant panel. futures, negative one point 4% on the s&p 500 great on the nasdaq 100, negative two. euro-dollar, negative .5%. we are close to those levels, 183.60. real dollar strength. tom: -- said there is no respite for the global economy. jonathan: love to dr. carson's. tom: we are waiting for the president of the united states in madrid, we are going to see how that goes under the 8:30 moment, michael mckee with us. i am going to rip up the script and go to what we heard from chairman powell once ago, this goes back to the wonderful neil sauce at credit suisse years ago. neil sauce would pound the table on asymmetric outcomes, the

ritika: johnson engines to get back to helping people with the cost-of-living.the target three weeks ago. coronavirus restrictions -- the big speculation that might return to celebration. tourists in japan may be sent home if they don't follow the rules to wear masks. japan is set to allow package stores in 30 2020. apple's most significant overhaul to its macbook air. apple showcased the macbook air. global news, 24 hours a day, on air and on bloomberg quicktake, powered by more than 2700 journalists and analysts in over 120 countries. i am ritika gupta. this is bloomberg. ♪ >> there is no real reason to be worried about a recession. the other thing is part of the reason we are getting slowing is high inflation. the combination of high inflation and tight labor markets is starting to change the inflation process which overtime is not good for the sustainability of the expansion. jonathan: bruce katzman there with j.p. morgan. .8% the s&p 500, nasdaq is down --. are we in for a slowdown? the outlook for the second time in three weeks, that stock is down 9%. if y

. ♪ ritika: it is time for the bloomberg business flash. i'm ritika gupta.hares of target are falling. the discount retailer cut its profit outlook for the second time in three weeks. target is trying to ease a surge in inventory. operating profit will amount to about 2% of sales in the current quarter. that is below the 5.3 percent target estimated three weeks ago. citigroup will hire about 3000 employees for its institutional business in asia. staff will work in investment, corporate, and commercial banking. the bulk of them will work in hong kong and singapore. there will also be new hires in china and india. guy: thank you very much. european markets are about to close. the dax and cac, both down. details to follow. the close is next. this is bloomberg. ♪ guy: we are done for the day. europe wrapping up. mixed session. quantities at one end, retail at the other end. that is affecting the lay of the land. the dax is down by .7%. london is only down .1%. a flatter session for the london market. energy certainly a factor there. let's take a look at the sess

i'm ritika gupta. this is bloomberg. ♪ ritika: it is time for the bloomberg business flash. ritika gupta. bed, bath & beyond has replaced its ceo. a boardmember will be the interim ceo. the decision was made moments before bed, bath & beyond released another lackluster report. consumer spending in the u.s. expanded in the first quarter. spending on goods and services rose 1.8% compared to a 3.1 percent pace in the last estimates. that suggests the economy was on a weaker footing than previously thought. bloomberg has learned that crypto hedge three arrows capital sorted into liquidation in the british virgin islands. this week -- the crypto broker issued -- a $675 million loan. a consulting firm plans asset sales, including holdings in crypto. that is your latest business flash. alix: i think this goes to the heart of the issue when it comes to crypto. contagion effect. we know there is not enough space for all of these guys to exist, but it is who lends to whom, who is going to get paid, and how that affects their payment models and the systemic risk we need to be paying at

i'm ritika gupta. the u.s. will provide ukraine with an advanced missile defense system called nasa ams. it's the same system the u.s. uses to protect the airspace around the white house and the capital. russia has defaulted on its currency sovereign debt. the grace period on about $100 million of interest payments due may 27 expired sunday. the default is mostly symbolic for now. analysts say that the plan by some g-7 nations to ban new gold imports from russia is largely symbolic because the industry has already taken its own steps. a new poll suggests a majority of americans disapprove of the u.s. supreme court's decision overturning the constitutional right to an abortion. 59% oppose the ruling including 67% of women. 70% of republicans support the supreme court action. 83% of democrats disapprove. global news 24 hours a day on air and on bloomberg quicktake powered by more than 2700 journalists and analysts in over 120 countries. i'm ritika gupta. this is bloomberg. ♪ >> it's going to be very impo

i'm ritika gupta. this is bloomberg. alix: thank you.nternational raised $25 billion, the second-biggest private equity fund and record. the buyout firm, majority owned by partners, took less than six months to raise the commitment. sonali basak joins us now along with david must've her and james brussel bank, managing partners at admin international. >> thank you so much and thank you both for joining us. i'm curious to start with david here on valuation. you have raised all of this money, but how much of an opportunity is there now to spend it when the market is so volatile? david: one, thank you for having us. on a day like today in a sea of red, it amplifies potential opportunities that we will see. it has been a benign environment over the last couple years. a really attractive exit environment, but as the market is becoming a lot tougher and cash is more important, that really helps private equity firms and private investors like ourselves. we are excited about the potential prospects of some of the dislocations happening now and w

i am ritika gupta. alyx: those pictures are unreal.ss to watch is what is happening with gold. you tend to want to invest in gold as an inflation hedge but you could make the argument that is not how it has been working. >> traditionally gold has been an attractive inflation hedge. this time around it has not worked. does that have to do with what is happening in crypto markets. that is a new entrance we have not seen in previous cycles. is that just because it is non-yielding? or is there something more fundamental going on with our love affair with gold? alyx: joining us now for his perspective is clive t. johnson, founder and ceo of gold producer b2gold. he is attending a mining convention in toronto. let's start broadly with the gold eyes. i covered gold in the early 2010s and 2009 when gold was expected to get to $2000. gold should have definitely been over that. why are we not there yet? antoine: -- clive: it is a good question. the kind of inflation levels we are seeing, massive load around the world and the world governments, e

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i'm ritika gupta. this is bloomberg. ♪ >> by suspending the $.18 federal gas tax in the next 90 days, we can bring down the price of gas and give families just a little bit of relief. i call on the company's to pass this along every penny of this $.18 reduction to the consumers. this is no time now for profiteering. tom: the president over his left shoulder for those on radio, the billboard $.18 per gallon. wow, what a tepid response in the washington post this morning. steny hoyer of maryland. futures up 27. dow futures up 146. the vix impresses me. it doesn't impress lisa abramowicz. talking about week sterling. 122 on pound sterling. lisa: this is the issue. as we see $.18 behind biden's children. how much is this an international issue that in germany is being dealt with so profoundly differently. we go from europe to washington, d.c.. as you await your interview with the lithuanian president, we hear about germany preparing to ration gas supplies to start rationing who can use energy and when if t

i'm ritika gupta. the european central bank will end asset purchases july 1 and begin raising interest rates for the first time in 11 years. the ecb boosted its inflation forecast this year from 5.1% to 6.8%, lowers its growth restriction this year and next. the house has packets -- passed a package of gun legislation to raise the aid for made to purchase semiautomatic rifles 18 to 21. that will be set aside from whatever happens in the senate. house democrats are taking their investigation into the january 6 riots to prime time. tonight televised hearing will include testimony from a police officer injured that day and a documentary filmmaker who capture the event. jack ma's ant group says it has no plan to revive the ipo that was scuppered almost two years ago. it was reported that regulators have established a team to look at them. target rate its quarterly dividend by 20%. a full percentage point above walmart yield. this comes after target lower their profit outlook for the second time in a month.

ritika: keeping you up to date with news from around the world, with the first word, i'm ritika guptaal oil supply will struggle to meet rising demand next year, which means consumers will continue to face tight fuel markets, according to the international energy agency in its first assessment of 20 don't three. they say a resurgence chinese, he will bolster consumption, while sanctions on russia will cut will output. european energy consumers are bracing for even higher prices due to possible disruptions to supply from russia and the u.s. gas flows have reduced from nord stream by 20%. a fire at a u.s. lng terminal also threatened prices. a tweet by an influential hedge fund that has been liquidating crypto holdings as prices have plummeted is creating new apprehension in the industry. the former credit suisse group trader tweeted, "fully committed to working this out without fighting." there has been no further comment. heavy rain and rapid snow melt at yellowstone national park triggered flooding that tore up bridges and damaged nearby homes. the raging waters may force roadways to

. ♪ ritika: this is bloomberg markets. i'm rate go to.quincy crosby, the prudential chief market strategist. this is bloomberg. ritika: keeping you up-to-date with news from around the world, here is the first word during the u.s. is ramping up military support to ukraine. president biden says he will give the ukrainians advanced rocket systems and weapons that will allow them more precision. the weapons will light ukraine hit targets as far as 15 miles away. the u.s. says ukraine has agreed not to use the weapons to attack targets inside russia. in the u.k. consumers are being urged to race for inflation getting worse before it gets better. the british retail consortium said fresh food prices are rising at their fastest pace in a decade. fresh food rose 5.2 percent in the year ending in may. the eu is preparing to impose its partial ban on the country's oil. an option may not turn out well for moscow. malice spoke with maria tadeo. >> lots of emphasis to increasing supplies to china, but what we are seeing, and especially in the situatio

this is bloomberg. >> i'm ritika gupta.blicans and democrats in congress are signaling there is little support for president biden's call to suspend the federal gasoline tax. it is seen as a symbolic move by a president running out of options to ease prices at the pump. he blames much of the increase on russia's invasion of ukraine. germany has triggered the second stage of its emergency plan as russia cuts back supplies. that has european gas prices rising. berlin will tighten monitoring of the gas market and reactivate some coal-fired plants. there could be further capex in russian gas. rescue and relief teams are struggling to reach survivors and deadly earthquake that hit the remote southeastern region of afghanistan. the taliban has urged international aid agencies to help. u.s. prosecutors say british socialite ghislaine maxwell should spend 30 to 55 years in prison for engaging in a sex trafficking scheme with the late jeffrey epstein. prosecutors called her a sophisticated predator. bloomberg has learned that tesla

ritika: keeping you up-to-date with news from around the world, i medical group to -- i am ritika groupedrmer president trump know about the attack on the u.s. capitol? that is a question facing a house committee as it sets out today to focus on the insurrection. trump claims the 2020 election was a stolen. he says he was told that it was not true by people in his own government and family. the panel says there is a family emergency with the witness, so he will not testify today. and jumping to a travel record after easing of restrictions. 100 and four cases reported today, the second straight day the figure has hit three figures. health officials say the recent increase is still within expectations. and officials in recent months have told a u.s. counterparts that taiwan is not in international waters. the u.s. and allies say much of this trait constitutes -- and they routinely have navigation exercises there. global news, 24 hours a day, on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in over 120 countries. this is bloomberg. kriti: bitcoin plung

i'm ritika gupta. is trying to draw a line under the controversy threatening his leadership. the scale of the mutiny suggests his days may be numbered. johnson survived a confidence vote by members of his own conservative party. still, more than 40% of toy mps voted against him. johnson said it is time to get back to helping people. russia has, with its own sanctions it has banned one u.s. official and executive from entering the country. among them janet yellen and larry fink. moscow says it is retaliating for what he calls constantly-expanding sanctions. hong kong will not tighten coronavirus restrictions before the cities handover anniversary. that is according to carrie lam. there has been speculation that xi jinping might attend the celebration. hong kong's covid cases have been rising since the city began rolling back social distancing rules. global news 24 hours a day, on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in over 120 countries. i'm ritika gupta