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00:00And right now we are two minutes away from the end of the trading day.
00:03Romain Bostic here with Isabel Lee, taking you through to that closing bell.
00:06It's a global simulcast.
00:08Carol Masser, Tim Senevic may join us.
00:10Welcome to our audiences across all of our Bloomberg platforms, television, radio,
00:13our partnership with YouTube, where we're going to end the week for U.S. equities,
00:18similar to how we started, with a relatively strong yet narrow rally,
00:23nevertheless, in the green across the board for all of the major U.S. indices.
00:26Who would have thought, considering some of the moves that we continue to see throughout the week
00:30when it comes to U.S. treasuries, we keep talking about this new era, a 5% world.
00:34Having said that, we did see treasuries back off.
00:38We also saw, in terms of yields, but also saw oil prices back off.
00:41They're so linked.
00:42You made the point yesterday, Tim.
00:44I think that's something we've got to keep a watch on.
00:45I'm glad you went to oil prices because I was surprised to see that Brent this week
00:51is back to where it started.
00:52I mean, we're only four-tenths of 1% higher over the last five days on Brent at 104.28.
00:58And WTI this week, down more than 8%, Isabel.
01:02Wow.
01:03There's really a confluence of factors here and cross-currents we're seeing.
01:06And the superglue holding everything together, according to George Saravellos of Deutsche Bank,
01:10is growth.
01:11There's simply no other way of explaining the huge rise in yields, equities close to record highs,
01:15and even credits at their tightest in a while now.
01:18So, superglue.
01:18I like that when I read that from George Saravellos.
01:20It gets to this idea, too.
01:22We have the S&P not far from its record high, the NASDAQ indices as well.
01:27So, for all of the concerns right now out there, you still have equity investors continually
01:31to pick and choose and push these indices higher.
01:34But it raises a lot of questions about next week, Carol.
01:37We are going to get that PCE data in the middle of the week, and we're going to get that
01:40job
01:41support at the end of the week.
01:42You seem shocked.
01:43What's going on?
01:43Why are you dressed like that?
01:44You're like Pinky Tuscadero.
01:45What is this?
01:46Would you like some tea?
01:46You have a red scarf on, black leather, head to toe.
01:50Oh, we're going to be landing shortly.
01:51It's like Arthur Fonzarelli's.
01:53Micron earnings next week.
01:54That's a big deal, too.
01:55Micron.
01:56Yes.
01:56Thank you for contributing to the conversation.
01:58You look great.
01:59I'm here for you, Romaine.
02:00We get the closing bells here in New York.
02:02The Dow Jones Industrial Average is going to add almost 500 points on the day, up about
02:06nine-tenths of a percent.
02:08It's going to finish the week in the green by three-tenths of a percent.
02:11The S&P adding about five-tenths of a percent on the day, 1.3 percent on the week.
02:15The NASDAQ, similar story on a daily basis, up about a half a percentage point.
02:20The NASDAQ composite up two percent on the week.
02:22The NASDAQ, 100, up three percent on the week.
02:25The Russell 2000, though, a little bit more of a mixed bag, closing the day relatively
02:29flat, only higher by about a tenth of a percent, and going to finish lower on the week, Carol
02:34Masser, by about six-tenths of a percent.
02:35That's an interesting trade.
02:37All right.
02:37So let's go back, though, as I like to do, to the large caps, the S&P 500, 329 names.
02:43Isabel, higher for the Friday trade, 172 to the downside, two unchanged.
02:48Let's take a look at the IMAP.
02:49It's going to be—
02:50Carol actually does look good, now that they held the shot.
02:52She looks good, Romaine.
02:54Oh, I'm sorry.
02:57Moving on to the IMAP.
02:59It's mostly green on your screen.
03:01You have the tech there, higher by five-tenths of one percent.
03:04And you also have health care there in the green.
03:06I mean, we have just maybe three sectors in the red.
03:09It's really definitely mostly a green day and a green week, to Romaine's point.
03:12Yeah, absolutely.
03:13That's a great screen.
03:14So I—as Tim reminded me, you've got so many gainers to choose from.
03:17So let's go through it.
03:19I'm getting ready for Romaine to criticize me.
03:21I'm sure it's coming.
03:23Akamai, like, I still think about Anurag Rana yesterday and be like,
03:26I had no idea they could do this.
03:27And everybody's all of a sudden starting to talk about this company.
03:31Sixteen percent higher on an intraday basis today.
03:33It did not finish up that high.
03:35All right.
03:36Well, I'm curious.
03:37I mean, not to step on your toes, but I mean, what does it say about how much that faded,
03:41though?
03:41Sixteen percent pretty much out of the gate at the open, closing only up about three percent.
03:46Still a gain.
03:47Yeah.
03:47But obviously, some people, I guess, maybe still a little skeptical.
03:50I don't disagree with you.
03:53I think initially it's like, oh, wow, look what they can do and look at the money.
03:56But time will tell, right?
03:57Let's just remind everybody what happened and what came down after the close yesterday.
04:01The cloud provider inked a seven-year, $11.6 billion deal to provide computing power to
04:06Anthropic.
04:08And let's say the deal should boost Akamai's growth.
04:10And its profitability profile looks attractive, given the contract is entirely focused on CPUs.
04:14There's a lot more involved.
04:15But you're right, longer term.
04:17Let's see how this one continues to trade.
04:19There's the chart, certainly for the day trade, well, well off its highs of the session.
04:25Here's a name we don't talk a lot about, Atlas Energy Solutions, but it kind of caught my
04:28attention.
04:29AESI is the ticker, and this went up more than 13 percent, about 13.5 percent, after it announced
04:36a purchase agreement with Wyoming Machinery Company for about $340 million of balance of
04:42plant equipment for a power generation project.
04:45Companies also separately agreed to a 328-megawatt power deal under an agreement with Caterpillar.
04:50So I just think it's interesting.
04:51There's so much going on in the energy space.
04:53So I wanted to bring that to your attention.
04:55And then I'm going to finish with a little-known company known as Microsoft.
04:59It, too, was higher in today's session, just up about 3.6 percent.
05:04Microsoft merging the consumer and workplace versions of its co-pilot AI assistant into one
05:10product aimed at corporate customers.
05:13This updated software giving users the ability to edit Word or Excel documents within a co-pilot
05:19app or browser tab and include a coding assistance to enable regular users to put together dashboards
05:25or automate tasks.
05:26It's a lot there.
05:26Anyway.
05:27I still won't write my scripts.
05:28What's interesting is the timing kind of coming just after Meta's Muse.
05:34And so I don't know whether that got their attention and maybe they thought maybe it was
05:36To be fair, I haven't tried co-pilot to write the scripts yet, but maybe it could.
05:40TBD.
05:41TBD.
05:41Hey, I want to start with, speaking of AI, I want to start with shares of Meta.
05:45Look at this.
05:46Okay.
05:47Wow.
05:47Meta down 3.3 percent.
05:49That's not, that's just an excuse for me to talk to you about how well Meta has done
05:54in the last month.
05:56Yeah.
05:56This is like a stealth gainer.
05:57You're cheating a little bit.
05:58Okay.
05:59Stealth gainer.
06:00Romaine, I want to take you back to November of 2022.
06:03Oh, please.
06:04That was such a good time.
06:05The Halcyon date.
06:06No, I mean, Romaine, there were some people around here who were leaving Meta for dead.
06:10Yeah.
06:11Because you know why?
06:12Why?
06:12Because it changed its name to Meta and said, we're all going to be living in the Metaverse.
06:16Yeah, I remember that.
06:17With no legs.
06:18Well, guess what?
06:18We're not doing that.
06:19Instead, we're living in a world where everyone's concerned about an AI apocalypse and Meta is
06:23going all in on it.
06:24It's up more than 700 percent since the fall of 2022 when it made that pivot.
06:32It's pretty remarkable to see.
06:33People love Muse.
06:34Yeah.
06:35They're excited about this little Tamagotchi type thing that you're going to be playing
06:40with, I guess.
06:40Yeah.
06:41Well, not me, but I do at some point after the show, we don't have time now.
06:44I do want to show you a chart, a great Meta chart that actually illustrates all the times
06:48people have left them for dead and all the times that stock has roared back.
06:51So yeah, counting out Zuckerberg has, at least so far, been a losing battle.
06:56All right.
06:56Well, let's switch gears and talk a little bit about the Campbell's company.
07:00Okay, that's a pivot.
07:02Oh, yeah.
07:03This is the anti-AI play, I guess.
07:05Down more than 2 percent today.
07:07In fact, it's slid below a May low today to reach levels not seen going back to 1994.
07:14Wow.
07:15More than three decades ago.
07:17Stock is down close to 20 percent so far this month.
07:20It's on pace for its worst month going back to January of the year 2000.
07:23Remember, it's not just Campbell's Soup.
07:25It's Pepperidge Farm.
07:25It's Goldfish.
07:27It's been one of the worst performers among consumer staples, S&P 600 this year.
07:32Earlier this week, it had its debt rating cut at Moody's.
07:35It expects further declines in revenue and operating profit in fiscal 2027 as the company
07:39tries to execute its turnaround plan.
07:42And another one that I know is near and dear to Romaine's heart is Nike.
07:47This one fell today, down by about seven-tenths of 1 percent.
07:51B of A cut its recommendation on the company to underperform from neutral.
07:55The expectation for what they see as a sales turnaround will go into fiscal 2028.
08:01Nike does report Q1 earnings on October 1st.
08:04So we'll hear from that company next week.
08:05Shares down by just about seven-tenths of 1 percent today.
08:07I think of Romaine more as a Crocs guy.
08:09No, no.
08:09I say Romaine's a Nike guy because he, like, flew out to headquarters to do that big interview.
08:13You went to the Olympics, Romaine, to do that big interview?
08:16Still a Crocs guy.
08:16Right?
08:16Brought back three bronze medals.
08:18When we talk about the yield space, we just point out real quickly here, we did get a bit
08:22of a reprieve today.
08:23Some buying pretty much across the curve.
08:25So that puts yields lower.
08:26I do want to point out, though, that the 30-year yield at one point did actually trade
08:30above 5.5 percent.
08:31It looks like it actually did settle that 5.54 and change, if I'm to believe what's on my screen
08:36right now.
08:37And that's the highest level.
08:38First time we've been at that level.
08:39Since 2004.
08:41All right, guys.
08:42Let's get to a cool story that's on the terminal that definitely caught all of our attention.
08:46It kind of hurts me to say this because I'm not a minivan kind of person.
08:50But the boring minivan apparently is getting hot again with a lot of American parents.
08:57Do you ever, have you, do you drive a minivan?
09:01Romaine?
09:01Okay.
09:02Well, I assume this was, look, we picked this story for Tim.
09:04Tim's the one with, like, 12 kids.
09:06So, I mean, we get the idea here.
09:07Tim, I know you have to shuttle those kids around.
09:09And I was looking at this.
09:11Total vehicle sales in America right now on a year-over-year basis declining, except
09:15for that one category.
09:16Of course, minivans up 8 percent.
09:18And people are doing it because of practicality.
09:19I would love a minivan.
09:20It's cheaper than SUV.
09:22Oh, yeah.
09:22Better fuel mileage.
09:23First of all, I grew up in a minivan.
09:25Of course you did.
09:26Oh.
09:27These things are amazing.
09:28You did have an actual house.
09:29Yes.
09:30Sorry.
09:30Yes.
09:30Yes.
09:30To clarify.
09:31Yes.
09:31But they're so practical.
09:35Yeah.
09:35Okay.
09:36It's a box on wheels.
09:38No.
09:39Listen.
09:39It's boring.
09:40If you have two or more kids, I think it's kind of perfect.
09:43We're a station wagon family right now.
09:46But I think our next car will be a minivan.
09:47You're a station wagon.
09:47I didn't know that.
09:48But that does not surprise me at all.
09:50Oh, it shouldn't surprise you at all.
09:50Think about it.
09:51You could put all the gear you need inside of it.
09:54You could probably put skis inside of it if you have bucket seats without actually having
09:58to put them on a roof or in some sort of carrier.
10:00Like, it's kind of perfect.
10:01Isabel, are you a minivan person?
10:03I grew up.
10:04She lives in Williamsburg.
10:06Yes, but I grew up in Asia where minivan is a thing because you stuff your grandmother
10:09there, your mother, your aunt, your neighbor.
10:11It's a multi-generational moving vehicle.
10:14It's the best.
10:15They call it the Swiss Army Knife of family transportation.
10:18Yeah.
10:18Stuff them in there.
10:19Wonderful.
10:20I'm going to let you guys guess.
10:21One of our colleagues has a minivan.
10:23You guys can.
10:24I don't want to.
10:25Not Matt Miller.
10:26I'm not going to.
10:27It's not Matt.
10:27I don't want to give everything away or blow up their spot, but think about, think about
10:32it.
10:32Okay.
10:32One of the blue, one of an anchor, an anchor here has a minivan.
10:35Okay.
10:35Well, we already know who that is.
10:37Who?
10:37Sure.
10:38Sounds like.
10:39I'm just waiting for my kid to go to college so I can have my midlife crisis and finally
10:42get my sports car.
10:43Yeah.
10:44I can't see Romaine.
10:46I mean, there's no way you're ever going to get a minivan.
10:48It's all I mean.
10:48All you guys are the same.
10:49You know why?
10:50Because Romaine doesn't drive.
10:52He's driven around.
10:53Oh, I'm sorry.
10:53That's why.
10:54Subway taker here.
10:55Three dollars.
10:56That's all I can.
10:56Romaine gets driven around.
10:58Two ninety?
10:58Three dollars?
10:59Yeah.
10:59All right.
11:00I believe that's all right.
11:00I'll tell you that happened the last time I was on the subway.
11:02Always good to see you, Isabel.
11:03Still cleaning off my shirt.
11:04And the guy next to you, too.
11:05I am going to a subway in a few minutes.
11:08Now we can actually get on the subway, right?
11:09The meetings may be coming down.
11:11And then, I'm going to go back to the street with us.
11:11I'll have to go back.