David Weston, Ron Johnson, Tesla discussed on Balance of Power


Stocky race games and head red as treasuries jump traders are anxiously waiting for inflation data later this week for clues on the pace of Federal Reserve rate hikes. The S&P wiped out a rally of as much as 1% as a gloomy forecast from the giant chip maker Nvidia weighed on tech shares. Tesla joined games and electric vehicle firms after the U.S. Senate passed a key tax climate and healthcare bill, Bed Bath & Beyond led shares of mean stocks and others favored by individual investors higher as the home goods retailer gained for a 9th straight session. And The Economist at UBS tells Bloomberg that UBS U.S. focused analysts think the fed will not be as aggressive. They still currently expect the fed to deliver another 50 well, they expect them to slow down and go with the 50 basis point hike, but of course, given a very strong jobs report on Friday, they did flag upside risks to this expectations. S&P 500 is now down to tenths of a percent down 6. The NASDAQ's down a tenth of a percent down 13, and the Dow is little changed. The ten years of 1830 seconds with the yield of 2.76%. West Texas intermediate crude is now up over 1% at 89 98 a barrel. Comex gold is up 7 tenths of a percent at 1803 70 an ounce. The dollar yen, one 34 62. The Euro a dollar O two O one in the British pound dollar 20 83. Just take a look at silver right now up 3.7% of $20, 63 cents per ounce. Tesla, let's take a look at that. Tesla is currently up over 3% while apple is down three tenths of 1%. That is a Bloomberg business flash balanced power continues now with David Weston right here on Bloomberg radio. This is balance of power on Bloomberg television and radio. I'm David Weston. It is Monday, which means of course it is time for the balance of power, midterm 2022 review with our political contributors Jeannie Chan xeno of iona university and Rick Davis of stone court capital. So let's start with the primaries tomorrow and particularly Wisconsin and something I'm looking at. I think we all are. Start in the Senate side, Rick if you would, with Ron Johnson, it was actually a piece in The New York Times saying, why does he still have his job? And then it kind of explained why. Yeah, Ron Johnson up for reelection should be a walk over should be no problem whatsoever for an incumbent like him, but he's kind of made his own problems. He's been a centerpiece of some of the investigations but going on around fake electors in the Senate, having tried to get a fake elector slate to the vice president before the decisions to announce the electors. So he's put himself in a very highly controversial spot. And it looks like the Democrats are coalescing around mandel Brown, who should be a very formidable candidate against him. Yeah, and as Rick said, the lieutenant governor Barnes, he is quite a candidate. He is a young man. He's the first black lieutenant governor of the state. He was inspired by Barack Obama, and to his credit, he consolidated some fairly formidable talent behind him people who were running against him on the democratic side. And so now he has set his sights against Ron Johnson and of course for Democrats. This would be a major state in which they feel that they can pick up a seat. And so this is one they're going to fight hard for. And of course, Wisconsin, perennially, a really important swing state and we can't forget that while Joe Biden won this state, he only won it by I think it was something like 20,000 votes. So it's going to be a hard fought race out there and good for the Democrats that they were able to consolidate behind a really attractive candidate in Barnes. As Jeannie says, Wisconsin could be key to who holds the Senate coming up. It also could be key with a couple of other states with what happens in 2024 in the presidential election because they've got a governor's race out there that could make a difference, right? Yeah, critical state as you point out for electors. And one with Donald Trump says is a very important race for him. Coming off a trifecta win in Arizona last week with the governor Secretary of State and the Senate candidate. He hopes to be able to steal the governor's race. And his candidate is running against a very strong candidate cliff fish from the state who is endorsed by the vice president Mike Pence and so we see a reenactment of the Pence versus Trump primary wars that have been going on in a number of states, especially around important governors races. Well, to boot, I mean, there's a real question about the electoral laws in the state of Wisconsin, which is I recall the incumbent democratic governor has vetoed measures coming out of the legislators, not right, Genie. Yeah, that is. And that's critically important and on the ballot for people in Wisconsin. And of course, cleave fish a stunningly was beating her opponent Michaels by 20% in April. That is now down to within a margin of error one or two points. And of course, this also is my favorite endorsement story of the year besides the two erics because Donald Trump said he was endorsing Michaels and the Milwaukee sentinel journal sentinel said it was because clay Fitch's daughter went to the prom with the son of a judge who he doesn't like out there, so he endorsed Michael. So, you know, there's always excitement there and Trump doing very well in the primaries. It's going to be a battle as Rick mentioned. I guess he's a long memories. So Rick finally turned to this inflation reduction act as they're calling it whatever you think it really does. Is it likely to have any material effect on the midterms? You know, look, anytime you can put almost a $1 trillion into the economy right before an election, you have to assume that that's going to be helpful to the party in power. And I do think it starts to chip away at some of the competency issues that this administration has suffered under a year along. Since the Afghan withdrawal. So maybe they're starting to figure out how to get things done in Washington. And this in a long string of legislative victories with the president may be something that can get him a little boost in turnout. And in many of these races, like the one we're just now talking about in the governor's race in Minnesota, a little bit goes a long way. Yeah, and I don't know anybody who had a more successful quarantine than our president Joe Biden. He comes out of a quarantine yesterday. And he has had this long string of successes that nobody expected. Everything from the packed act helping veterans to the chips act and now to reconciliation provided it passes the house the killing of the number one terrorist, it is a boon for Democrats because they can go home and tell their constituents we made Washington work, even though of course they are facing headwinds. I don't think two or three weeks ago any of us thought they would be in this position today. So this is a good point for the Democrats and you can feel the enthusiasm not to mention the voting Kansas, which got out voters of all stripes in record numbers for that vote to vote down any changes to their abortion law. Rick, I'm curious. You've run more than your fair share of campaigns. I certainly have not. I wonder if sometimes there could be an issue buried in there that didn't understand or be important. And let me pick one out of this inflation reduction act. And that is a cap on insulin. I mean, there are a lot of people who are diabetic or no diabetics in this country. Are there things like that that in an election of introduction, people could pick on that and say, wait a second, my opponent didn't want you to have a cap on the insulin you paid. That's right. I'm particularly interested in this issue because my daughter is a type one juvenile diabetic. And so the price of insulin affects her daily

Coming up next