Bloomberg Audio Studios, Podcasts, radio news.

Bloomberg Audio Studios, Podcasts, radio news.

This is the Bloomberg Surveillance Podcast. I'm Tom Keene along with Paul Sweeney. Join us each day for insight from the best in economics, finance, investment, and international relations. You can also watch the show live on YouTube. Visit the Bloomberg Podcast channel on YouTube to see the show weekday mornings from seven to ten am Eastern from our global headquarters in New York City. Subscribe to the podcast on Apple, Spotify, or anywhere else you listen, and always I'm Bloomberg Radio, the Bloomberg Terminal, and the Bloomberg Business App. One of the great things I do when I lecture is I talk about critical thinking skills. These are developed mostly by having a greater sense of correlations and interdependencies between different ideas, holding the high.

This is the Bloomberg Surveillance Podcast. I'm Tom Keene along with Paul Sweeney. Join us each day for insight from the best in economics, finance, investment, and international relations. You can also watch the show live on YouTube. Visit the Bloomberg Podcast channel on YouTube to see the show weekday mornings from seven to ten am Eastern from our global headquarters in New York City. Subscribe to the podcast on Apple, Spotify, or anywhere else you listen, and always I'm Bloomberg Radio, the Bloomberg Terminal, and the Bloomberg Business App. One of the great things I do when I lecture is I talk about critical thinking skills. These are developed mostly by having a greater sense of correlations and interdependencies between different ideas, holding the high.

Ground on that from B and HY.

Ground on that from B and HY.

Jeff Reu joins us in studio, usually askanced in London.

Jeff Reu joins us in studio, usually askanced in London.

Jeff thrilled to heavy.

Jeff thrilled to heavy.

In our studios. This morning way too short. We could do an hour which this morning.

In our studios. This morning way too short. We could do an hour which this morning.

Thanks so much.

Thanks so much.

Is the market ahead of the Fed? I've never seen such an ex post.

Is the market ahead of the Fed? I've never seen such an ex post.

X into a jumble?

X into a jumble?

Is this constructive for markets to have this communicative uncertainty.

Is this constructive for markets to have this communicative uncertainty.

Well, what's constructive for markets might not be as constructive for the FED. I think there's a bit of a dissonance there, and the fed's message, whatever it is not too so. So the fed's priority responsibility almost is not to induce panic, and the market should not be going into thinking that it can actually drive the FED in that direction. So I think now that's where we need to draw the fine line tomorrow. But you know, ultimately, if you ask me, is pricing a bit too assertive, a bit too airing on the side of the hard landing, Yes, it is right. So we clearly would be want to be on the side of that for the time being. And the rest of the world is watching right because in the past, if the US, you know, sneezes, the world catches a cold. But looking at how other central backs are behaving right now, I'm not so sure.

Well, what's constructive for markets might not be as constructive for the FED. I think there's a bit of a dissonance there, and the fed's message, whatever it is not too so. So the fed's priority responsibility almost is not to induce panic, and the market should not be going into thinking that it can actually drive the FED in that direction. So I think now that's where we need to draw the fine line tomorrow. But you know, ultimately, if you ask me, is pricing a bit too assertive, a bit too airing on the side of the hard landing, Yes, it is right. So we clearly would be want to be on the side of that for the time being. And the rest of the world is watching right because in the past, if the US, you know, sneezes, the world catches a cold. But looking at how other central backs are behaving right now, I'm not so sure.

Jeffrey.

Jeffrey.

I know that I was in your shoes years ago. I know that your salesforce is running. You are all around the United States and this week talking to clients. What's your number one message?

I know that I was in your shoes years ago. I know that your salesforce is running. You are all around the United States and this week talking to clients. What's your number one message?

So number one message is, well, firstly, you know, from my side of the pond, can a conversation on fiscal happen at some point. You know, it's not like in Europe. You know, the conversations on fiscal are taking place in earnest and in fairness, It's not like you're presenting a good example either. But that is the concern because the US is the reserve asset at the end of the day, and the second side is is so going back to the hard landing conversation, how is the economy actually doing? And how's business investment doing? You know, how is how a household's behaving. I was in a Texas yes, yeah, it was my first time there. Yeah, and as far as I could tell, again just to speak from personal experience, you know that. So clearly a lot going on investment, construction, taking advantage you know, of the states and natural resources in terms of land in it and the light. So you're clearly there, whereas if you look at Europe, you know, if you look at you know the investment intent you're going on there, you just highlighted some pulling of investment or lack of investment you going through, so you can see a bit of a divergence. So that begs the question if there's that much going on in the US right now, wise market pricing and hard landing.

So number one message is, well, firstly, you know, from my side of the pond, can a conversation on fiscal happen at some point. You know, it's not like in Europe. You know, the conversations on fiscal are taking place in earnest and in fairness, It's not like you're presenting a good example either. But that is the concern because the US is the reserve asset at the end of the day, and the second side is is so going back to the hard landing conversation, how is the economy actually doing? And how's business investment doing? You know, how is how a household's behaving. I was in a Texas yes, yeah, it was my first time there. Yeah, and as far as I could tell, again just to speak from personal experience, you know that. So clearly a lot going on investment, construction, taking advantage you know, of the states and natural resources in terms of land in it and the light. So you're clearly there, whereas if you look at Europe, you know, if you look at you know the investment intent you're going on there, you just highlighted some pulling of investment or lack of investment you going through, so you can see a bit of a divergence. So that begs the question if there's that much going on in the US right now, wise market pricing and hard landing.

Okay, it's just I'm going to tear up here. I got Jeffrey you in Texas. Where do you go with that? Jeff You?

Okay, it's just I'm going to tear up here. I got Jeffrey you in Texas. Where do you go with that? Jeff You?

What does it then say about productivity differentials? Trudeau's flat on his back after a disaster in Montreal, Germany's flat.

What does it then say about productivity differentials? Trudeau's flat on his back after a disaster in Montreal, Germany's flat.

On its back, et cetera.

On its back, et cetera.

So I got a labor dynamic, a capital guide dynamic. I got total fact or productivity, whatever you want to call it. But how do you overlay productivity and the confidence to be in the markets?

So I got a labor dynamic, a capital guide dynamic. I got total fact or productivity, whatever you want to call it. But how do you overlay productivity and the confidence to be in the markets?

US?

US?

Productivity a right? So if you just do it simple equation nominal growth or sorry, so potential growth, of which productivity is the key factor, plus demographics plus your inflation target is your terminal rate?

Productivity a right? So if you just do it simple equation nominal growth or sorry, so potential growth, of which productivity is the key factor, plus demographics plus your inflation target is your terminal rate?

Right?

Right?

Just for bog standard Central Bank US productivity warrants justifies us exceptionalism. That's my message.

Just for bog standard Central Bank US productivity warrants justifies us exceptionalism. That's my message.

Okay, So Chair Jones is a stand for if he flies over to your London School of economics, he's got to be sharkins in in the bottom line on productivity, is America is different?

Okay, So Chair Jones is a stand for if he flies over to your London School of economics, he's got to be sharkins in in the bottom line on productivity, is America is different?

Is it just because we don't believe in.

Is it just because we don't believe in.

Austerity with our multi trillion dollar budgets.

Austerity with our multi trillion dollar budgets.

No, because America believes in its people. America has people, has the talent, and continues to attract that. That is the fundamental difference. Yes, there's a bit of a demographic argument there, But how it fosters productivity through innovation, that's that's a lesson you badly need to learn. Look at the Office Budget Responsibilities report based on the baseline scenario right now for UK productivity and this is the power of compounding. Right has UK's debt to GDP ratio in twenty seventy five at two hundred and seventy percent. If you lower the productivity basedline by one percentage point, it goes the six one hundred and fifty percent. If you increase the productivity baseline by one percent and the baselines one and a half so to two and a half, which probably the US is not far from, then you can keep to GDP ratio below one hundred percent. That's what the US has going for.

No, because America believes in its people. America has people, has the talent, and continues to attract that. That is the fundamental difference. Yes, there's a bit of a demographic argument there, But how it fosters productivity through innovation, that's that's a lesson you badly need to learn. Look at the Office Budget Responsibilities report based on the baseline scenario right now for UK productivity and this is the power of compounding. Right has UK's debt to GDP ratio in twenty seventy five at two hundred and seventy percent. If you lower the productivity basedline by one percentage point, it goes the six one hundred and fifty percent. If you increase the productivity baseline by one percent and the baselines one and a half so to two and a half, which probably the US is not far from, then you can keep to GDP ratio below one hundred percent. That's what the US has going for.

It is Stiglit's little g Yeah.

It is Stiglit's little g Yeah.

Stiglan's just screams about growth rate as being the key dynamic.

Stiglan's just screams about growth rate as being the key dynamic.

Jeffrey, what do you tell our good friends in Texas about Europe, Middle East in Africa in terms of opportunities. What do you tell our friends.

Jeffrey, what do you tell our good friends in Texas about Europe, Middle East in Africa in terms of opportunities. What do you tell our friends.

In well Europe right now it's you know, I'm struggling to get my head around your evaluations in the currency and the exchange, in the currency and equity markets. I thought the UCB was hawkish last week, you know, to be honest, and look at all the bad news and in terms of data on the corporate level and an aggregate level, why are you still hawkish? And they can say, well, we don't have a growth mandate, we're different from the FED. Fair enough, right, But then you should take a step back look at drag use report, how he highlighted compesitiveist issues and the like. So you know that's that really is a message that he's trying to hammer home. Can you deal with it? You know, So let's see in terms of the UK finally getting to some kind of political normalcy, I would say, but the budget up ahead again focusing on growth and productivity. Middle East. No, to be honest, now, that over the last few years has been the big change. You know, it's what our clients have been highlighting where the opportunity is. You know, there is a plan there to boost things. Of course, oil price is very much in focus right now, clients are looking for proxies, but medium longer term capital flows and the Middle East clearly as benefiting.

In well Europe right now it's you know, I'm struggling to get my head around your evaluations in the currency and the exchange, in the currency and equity markets. I thought the UCB was hawkish last week, you know, to be honest, and look at all the bad news and in terms of data on the corporate level and an aggregate level, why are you still hawkish? And they can say, well, we don't have a growth mandate, we're different from the FED. Fair enough, right, But then you should take a step back look at drag use report, how he highlighted compesitiveist issues and the like. So you know that's that really is a message that he's trying to hammer home. Can you deal with it? You know, So let's see in terms of the UK finally getting to some kind of political normalcy, I would say, but the budget up ahead again focusing on growth and productivity. Middle East. No, to be honest, now, that over the last few years has been the big change. You know, it's what our clients have been highlighting where the opportunity is. You know, there is a plan there to boost things. Of course, oil price is very much in focus right now, clients are looking for proxies, but medium longer term capital flows and the Middle East clearly as benefiting.

Jeffrey, you are on China, so a lot of.

Jeffrey, you are on China, so a lot of.

Clients asking about President She's comments last week. They will hit the growth target. Let's just look at simple mathematics, right So if you look at the growth data for Q one and Q two and probably Q three below the target on an annualized basis, then Q four has to be strong. We cannot discount that, you know, at this point, I think the one thing China from an asset allocation basis has going for it is investment relative to benchmark is quite low right now. I think at this point, especially commodities market less so oil, but maybe industrial commodities Aussie dollar, you cannot afford to discount the risk of a major boost in Q four. Yes, it's probably a tactical plate rather than structuring the same.

Clients asking about President She's comments last week. They will hit the growth target. Let's just look at simple mathematics, right So if you look at the growth data for Q one and Q two and probably Q three below the target on an annualized basis, then Q four has to be strong. We cannot discount that, you know, at this point, I think the one thing China from an asset allocation basis has going for it is investment relative to benchmark is quite low right now. I think at this point, especially commodities market less so oil, but maybe industrial commodities Aussie dollar, you cannot afford to discount the risk of a major boost in Q four. Yes, it's probably a tactical plate rather than structuring the same.

I can't.

I can't.

I mean, I don't know how the totalized, folks, but I'm in the You can't on this.

I mean, I don't know how the totalized, folks, but I'm in the You can't on this.

When the facts change, She's going to change.

When the facts change, She's going to change.

I mean, I'm sorry, it's the same old story going back and lay they going to have a strategy, But would you suggest that Beijing will capitulate to realities allowing an FDI, allow an investment.

I mean, I'm sorry, it's the same old story going back and lay they going to have a strategy, But would you suggest that Beijing will capitulate to realities allowing an FDI, allow an investment.

So the recent announcement, you know, allowing foreign investment into healthcare into China for example. You know that is a very large market. So you look at the demographics of the premiere. Ever since he's been appointed, has been stressing need for FDI and the like, allowing visa free travel to China for business person, that kind of facilitation. That message is there. But going back to mathematics, capitulation to mathematics, right, especially if you believe in the growth target, you have to realize reality and accelerate everything.

So the recent announcement, you know, allowing foreign investment into healthcare into China for example. You know that is a very large market. So you look at the demographics of the premiere. Ever since he's been appointed, has been stressing need for FDI and the like, allowing visa free travel to China for business person, that kind of facilitation. That message is there. But going back to mathematics, capitulation to mathematics, right, especially if you believe in the growth target, you have to realize reality and accelerate everything.

Jeffrey, you thank you so much for joining us.

Jeffrey, you thank you so much for joining us.

Thank you. It's a pleasure.

Thank you. It's a pleasure.

So he hasn't been here since seventeen eighty four. Now that's a big It goes back to ya.

So he hasn't been here since seventeen eighty four. Now that's a big It goes back to ya.

I know it's number one Wall Street, the best address on global water.

I know it's number one Wall Street, the best address on global water.

Jeffrey, thank you so much.

Jeffrey, thank you so much.

He is with b and wife.

He is with b and wife.

This is what Bloomberg Surveillance is about. Advancing the conversation, the quality of the debate today, an economics finance investment in all The only reason it's here is because Texas is number one in the NCAA Football ratings. Ed, Heyman's having the best September is he's ever go get them log arts and you've got the fight and Texas aggy's coming up here. My father was at A and M so college station will do it to you here in a distance, Ed, you are here within your horrifically busy schedule to explain a shift. What did Julian and Manuel and your team at Evercore is I do to convince you to move to a construct economic outcome for mister Powell.

This is what Bloomberg Surveillance is about. Advancing the conversation, the quality of the debate today, an economics finance investment in all The only reason it's here is because Texas is number one in the NCAA Football ratings. Ed, Heyman's having the best September is he's ever go get them log arts and you've got the fight and Texas aggy's coming up here. My father was at A and M so college station will do it to you here in a distance, Ed, you are here within your horrifically busy schedule to explain a shift. What did Julian and Manuel and your team at Evercore is I do to convince you to move to a construct economic outcome for mister Powell.

Some of data dog as you know. And I'd been lugging around a recession forecast for about a year and my kids were laughing at me. My wife was kidding me about it, and I d I just I couldn't take it. And the fourth quarter's coming up more substantly. Fourth quarters coming up in a couple of weeks, and it's gonna be positive.

Some of data dog as you know. And I'd been lugging around a recession forecast for about a year and my kids were laughing at me. My wife was kidding me about it, and I d I just I couldn't take it. And the fourth quarter's coming up more substantly. Fourth quarters coming up in a couple of weeks, and it's gonna be positive.

Yep.

Yep.

So I have to change my forecast again to push it out. And anecdotal is coming in pretty strong. UH unemployment claims, which is the best government data has been strong.

So I have to change my forecast again to push it out. And anecdotal is coming in pretty strong. UH unemployment claims, which is the best government data has been strong.

UH.

UH.

System's got a lot of liquidity in it, and money's not tight, as you know, yep. And so I decided I should retreat to fight another day.

System's got a lot of liquidity in it, and money's not tight, as you know, yep. And so I decided I should retreat to fight another day.

So if a recession is not in the imminent you know future, what is what should the FED do tomorrow?

So if a recession is not in the imminent you know future, what is what should the FED do tomorrow?

Do you think.

Do you think.

I don't really care right now?

I don't really care right now?

You don't really care?

You don't really care?

Okay?

Okay?

I mean I don't care in the sense that if they don't do fifty, I'll be shocked. Okay, because I've been at this so long, and the FED picks out somebody like Timors to communicate, frankly to me and you, this is not a situation where they're peddling their own view. And Timorus has said over and over the FED is going to do fifty, and if he's if they don't do fifty, go back.

I mean I don't care in the sense that if they don't do fifty, I'll be shocked. Okay, because I've been at this so long, and the FED picks out somebody like Timors to communicate, frankly to me and you, this is not a situation where they're peddling their own view. And Timorus has said over and over the FED is going to do fifty, and if he's if they don't do fifty, go back.

We got to stop. This is very important.

We got to stop. This is very important.

Nick Timro is not standing with the Wall Street Journal and Colby Smith at the FT full disclosure. Colby worked for surveillance for years. We're really proud of what she's done at the T Okay, this is really really important. They've lost control of communication.

Nick Timro is not standing with the Wall Street Journal and Colby Smith at the FT full disclosure. Colby worked for surveillance for years. We're really proud of what she's done at the T Okay, this is really really important. They've lost control of communication.

Now.

Now.

We had Arthur Burns smoke signals from his pipe, we had Greenspran with we're all on the same page, one line, and we're now where we are for everybody nationwide, listening worldwide listening. What's Ed Hyman's best communication model for our central bank?

We had Arthur Burns smoke signals from his pipe, we had Greenspran with we're all on the same page, one line, and we're now where we are for everybody nationwide, listening worldwide listening. What's Ed Hyman's best communication model for our central bank?

Timorous? Nick Tamros, You think they should be doing it through the media.

Timorous? Nick Tamros, You think they should be doing it through the media.

That's the way they do it, they know.

That's the way they do it, they know.

But what do you recommend we do to write my game?

But what do you recommend we do to write my game?

Game?

Game?

Oh?

Oh?

Come on?

Come on?

Should we be more fractious like the Bank of England?

Should we be more fractious like the Bank of England?

We are what we are? The Bank of England first, the of the Buddhist Bank. They would actually try and mislead people.

We are what we are? The Bank of England first, the of the Buddhist Bank. They would actually try and mislead people.

Fair, I will give you you cut and you say you're in these and or Piden and then Volker was close to the vest and then.

Fair, I will give you you cut and you say you're in these and or Piden and then Volker was close to the vest and then.

Green Span came in and introduced the transparency program.

Green Span came in and introduced the transparency program.

Which we have today.

Which we have today.

But you know it's it's going to happen tomorrow, right and twenty five or fifty. It's not a killer one where the other.

But you know it's it's going to happen tomorrow, right and twenty five or fifty. It's not a killer one where the other.

So how do you think about this US economy in the context of the global economy? We've heard about the US exceptionalism. Is that something you buy into is it new or is it it.

So how do you think about this US economy in the context of the global economy? We've heard about the US exceptionalism. Is that something you buy into is it new or is it it.

Is not particularly new? I tend to buy into that story. But there have been plenty of plenty of ink spilled on this that the US really is an exceptional place and compared to Europe, which is not a particularly high bar. Right, and then China, I've almost lost touch with China.

Is not particularly new? I tend to buy into that story. But there have been plenty of plenty of ink spilled on this that the US really is an exceptional place and compared to Europe, which is not a particularly high bar. Right, and then China, I've almost lost touch with China.

Well let me go there in your acclaimed note, folks who protect the copyright of all our guests to get Edheim and Julian Emmanuel's work, go to evercore isid. I'm sorry. The second derivative on China isn't pretty. You've got China M two China Bank loans ugly, ugly ugly. Do you have a faith that Beijing could clear the market, almost in a Hyekian way? They could come in say we got this wrong, straighten it out and rebuild FDI in investment.

Well let me go there in your acclaimed note, folks who protect the copyright of all our guests to get Edheim and Julian Emmanuel's work, go to evercore isid. I'm sorry. The second derivative on China isn't pretty. You've got China M two China Bank loans ugly, ugly ugly. Do you have a faith that Beijing could clear the market, almost in a Hyekian way? They could come in say we got this wrong, straighten it out and rebuild FDI in investment.

Yes, but no, they're not doing it. And so every day in the past, particularly the past two or three months, I thought they might come in any day and clear the boards. And I've waited and waited and waited, and we survey twenty one companies that have sales in China, and that survey is twenty nine on a zero to one hundred. It's been as high as seventy nine. It's been really wrong. And the US sort of a equivalent is forty eight. So I mean twenty nine is really bad.

Yes, but no, they're not doing it. And so every day in the past, particularly the past two or three months, I thought they might come in any day and clear the boards. And I've waited and waited and waited, and we survey twenty one companies that have sales in China, and that survey is twenty nine on a zero to one hundred. It's been as high as seventy nine. It's been really wrong. And the US sort of a equivalent is forty eight. So I mean twenty nine is really bad.

Yet you still see time and time again. Elon Musk, Tim Cook making the pilgrimage to China, because no matter what you say, it's still there.

Yet you still see time and time again. Elon Musk, Tim Cook making the pilgrimage to China, because no matter what you say, it's still there.

It's still big.

It's still big.

The middle class presumably is great. It's all the arguments that we've heard of the last twenty or thirty years are still true. But the government doesn't seem to be open. I guess as.

The middle class presumably is great. It's all the arguments that we've heard of the last twenty or thirty years are still true. But the government doesn't seem to be open. I guess as.

It used to be.

It used to be.

I'm a big China fan, Okay. I'm on the board of the China Institute. I have many friends who are Chinese. I want to encourage US Chinese relations. But I'm at the end of my rope and I'm not sure if I'll ever go back.

I'm a big China fan, Okay. I'm on the board of the China Institute. I have many friends who are Chinese. I want to encourage US Chinese relations. But I'm at the end of my rope and I'm not sure if I'll ever go back.

Wow.

Wow.

And is that simply a reflection of the political environment where all you talk about is tariffs here, tariff's there, and then on the other side of President g you know again, I'm not sure.

And is that simply a reflection of the political environment where all you talk about is tariffs here, tariff's there, and then on the other side of President g you know again, I'm not sure.

I'm not sure they'll make come back.

I'm not sure they'll make come back.

Yeah, okay, uh.

Yeah, okay, uh.

And we got to finish strong here. We got too much going on. The Dow up one hundred points now up eighty eight points. The University of Texas is one of the few schools in the planet that actually make money at sports. Football contributes, basketball contributes, baseball pops six million dollars a year at the University a Texas.

And we got to finish strong here. We got too much going on. The Dow up one hundred points now up eighty eight points. The University of Texas is one of the few schools in the planet that actually make money at sports. Football contributes, basketball contributes, baseball pops six million dollars a year at the University a Texas.

Where is your University of Texas right?

Where is your University of Texas right?

I mean it's it's I've had the privilege of talking to Michael Dell about this, and it just seems like everything's moving in the right direction for the academics, the athletics of the University of Texas.

I mean it's it's I've had the privilege of talking to Michael Dell about this, and it just seems like everything's moving in the right direction for the academics, the athletics of the University of Texas.

What do you see there right now?

What do you see there right now?

It's a great school and he shouldn't uh say the truth and the truth still set you free? Whoa on the tower of the University of Texas. It's just the school that does a great job for kids, and I'm proud to have gone there. Academically, it's really good.

It's a great school and he shouldn't uh say the truth and the truth still set you free? Whoa on the tower of the University of Texas. It's just the school that does a great job for kids, and I'm proud to have gone there. Academically, it's really good.

Yeaports together like you know, the only equivalent I could think of its Michigan.

Yeaports together like you know, the only equivalent I could think of its Michigan.

Where they do you know, there's place and you know.

Where they do you know, there's place and you know.

They had football coaches making one tenth of what ed Hymen's making. That's a problem, but the answer is that they're you know, it's.

They had football coaches making one tenth of what ed Hymen's making. That's a problem, but the answer is that they're you know, it's.

Like a real deal Catholic.

Like a real deal Catholic.

Like Dukes as well. A generous of you to come in again. We wanted to get Julian Emmanuel, but he was so we got.

Like Dukes as well. A generous of you to come in again. We wanted to get Julian Emmanuel, but he was so we got.

You to thank you.

You to thank you.

Edmenqu Si with a view to move away from economic slowdown to someplace new. We will look for the data. A very important interview for all of America within the election and the distraction of domestic debate versus our four in policy future. Jermani Bertecci had a wonderful conversation with the Prime Minister of Iraq, Mohammad Shia al Sudani on the tensions of Iraq Iran in the Middle East.

Edmenqu Si with a view to move away from economic slowdown to someplace new. We will look for the data. A very important interview for all of America within the election and the distraction of domestic debate versus our four in policy future. Jermani Bertecci had a wonderful conversation with the Prime Minister of Iraq, Mohammad Shia al Sudani on the tensions of Iraq Iran in the Middle East.

Let's listen.

Let's listen.

The understanding of this relationship between Iraq and Iran is based on mutual interests and mutual respect. Iran is a neighboring country and we share one four hundred kilometers and that's in our interest to have a close relationship, especially that Iran has been supportive of the political process and our efforts in combating terrorism. Of course, Iraq is the only country in the region that has a special relationship between Iran and the United States, and we try through this positive characteristic to help in bringing opinions closer. And we are interested to have stability in the region away from the access policy. We don't want the tense relationships and the stances of other countries of the world to impact the Iraqi situation. This is our diplomatic effort and movements in terms of our bilateral and regional ties.

The understanding of this relationship between Iraq and Iran is based on mutual interests and mutual respect. Iran is a neighboring country and we share one four hundred kilometers and that's in our interest to have a close relationship, especially that Iran has been supportive of the political process and our efforts in combating terrorism. Of course, Iraq is the only country in the region that has a special relationship between Iran and the United States, and we try through this positive characteristic to help in bringing opinions closer. And we are interested to have stability in the region away from the access policy. We don't want the tense relationships and the stances of other countries of the world to impact the Iraqi situation. This is our diplomatic effort and movements in terms of our bilateral and regional ties.

The Prime Minister of Iraq Mohammad Shia el Saddani there and the distinction always made within the levant and over towards Persia is Shia versus Sunni, and it is unusual to have a Shia Prime Minister of Iraq as in Iran versus a Sunni heritage Jamani Bertecci joins us now from Dubai Jamani. Most people across America this morning are unaware that there's accountable half a million who lost their lives in the Iraq Iranian War of the nineteen eighties. How does Iraq and Iran begin to communicate now?

The Prime Minister of Iraq Mohammad Shia el Saddani there and the distinction always made within the levant and over towards Persia is Shia versus Sunni, and it is unusual to have a Shia Prime Minister of Iraq as in Iran versus a Sunni heritage Jamani Bertecci joins us now from Dubai Jamani. Most people across America this morning are unaware that there's accountable half a million who lost their lives in the Iraq Iranian War of the nineteen eighties. How does Iraq and Iran begin to communicate now?

It's such an interesting perspective that you bring in, and that is true the War of the eighties, very historical war in the region that probably doesn't get a lot of airtime. But the situation today is very different. That you have to remember there are a couple of things that bind Iraq and Iran together. It's starting with religious religious binds. And you've got to think about the two holiest site for Shia Islam. That's Najaf and Kharabala. They both fall in Iraq. So that is always going to be the case, and that's always going to be that religious draw and that religious tie that brings them together. But increasingly what we are seeing, especially in the last couple of years, is they've got politically a lot closer. And I had the opportunity to speak with the Prime Minister of the course of the weekend, and it is worth noting that he does enjoy a parliamenting majority. But the reason he enjoys that parliamenting majority is because he's been given legitimacy by political groups that are closely supported and affiliated to Iran. And so it is very worthy that just in the last couple of years, Iraq has fostered much closer political relationships to Iran. And one of the concerns in the region is that there are several non state actors that are again operating within this so called axis of resistance, that have been carrying on attacks, either US targets or Israeli targets.

It's such an interesting perspective that you bring in, and that is true the War of the eighties, very historical war in the region that probably doesn't get a lot of airtime. But the situation today is very different. That you have to remember there are a couple of things that bind Iraq and Iran together. It's starting with religious religious binds. And you've got to think about the two holiest site for Shia Islam. That's Najaf and Kharabala. They both fall in Iraq. So that is always going to be the case, and that's always going to be that religious draw and that religious tie that brings them together. But increasingly what we are seeing, especially in the last couple of years, is they've got politically a lot closer. And I had the opportunity to speak with the Prime Minister of the course of the weekend, and it is worth noting that he does enjoy a parliamenting majority. But the reason he enjoys that parliamenting majority is because he's been given legitimacy by political groups that are closely supported and affiliated to Iran. And so it is very worthy that just in the last couple of years, Iraq has fostered much closer political relationships to Iran. And one of the concerns in the region is that there are several non state actors that are again operating within this so called axis of resistance, that have been carrying on attacks, either US targets or Israeli targets.

Well, your leadership of the conversation in Dubai, how does Sunni Middle East react to a combined Shia Iran and Iraq? How does Saudi Arabia, How does UAE create the rest out of frankly to the west to Morocco. How do they respond to this combination.

Well, your leadership of the conversation in Dubai, how does Sunni Middle East react to a combined Shia Iran and Iraq? How does Saudi Arabia, How does UAE create the rest out of frankly to the west to Morocco. How do they respond to this combination.

So the impression that I got from speaking to the Prime Minister is that they see themselves as somewhat of a mediator. Now you will remember again this went under the radar, but there was somewhat of a mediation that took place between Saudi Arabia and Iran a couple of years ago. And everyone gave China the credit for hosting the talks between the two countries, but of course one being Signy and one being shira But in reality it was Iraq operating behind the scenes, going in between the two. Now you have to remember there's another link between Iraq and Saudi Arabian that is, of course, they're the second largest oil producer within OPEK. They're a very important member of OPEK. There's a lot of focus obviously within OPAK to support oil prices right now, and so Iraq is pitching itself as a country that can mediate between oil countries and the Gulf and also one that looks to enjoy bilateral security relationships with the US once the full withdrawal of the Coalition forces take.

So the impression that I got from speaking to the Prime Minister is that they see themselves as somewhat of a mediator. Now you will remember again this went under the radar, but there was somewhat of a mediation that took place between Saudi Arabia and Iran a couple of years ago. And everyone gave China the credit for hosting the talks between the two countries, but of course one being Signy and one being shira But in reality it was Iraq operating behind the scenes, going in between the two. Now you have to remember there's another link between Iraq and Saudi Arabian that is, of course, they're the second largest oil producer within OPEK. They're a very important member of OPEK. There's a lot of focus obviously within OPAK to support oil prices right now, and so Iraq is pitching itself as a country that can mediate between oil countries and the Gulf and also one that looks to enjoy bilateral security relationships with the US once the full withdrawal of the Coalition forces take.

Place, and to that end, Dremana. In your interview with the Iraqi PM, he said that US troops are no longer needed following a near defeat of ISIS. What's the latest on that relationship and the troop deployment.

Place, and to that end, Dremana. In your interview with the Iraqi PM, he said that US troops are no longer needed following a near defeat of ISIS. What's the latest on that relationship and the troop deployment.

Yeah, so you have to go back all the way to twenty fourteen. Remember, back then ISIS was a very clear and present danger. At one point, the ISIS forces were thought to have taken over about one third of the land mass in Iraq and Syria. So twenty fourteen was a very different situation, which meant you had the US, alongside a coalition forces from all around the world, deploy troops into Iraq to defeat the threat of ISIS. You Platford to today. It's a decade later, and what the Prime Minister was telling me is ISIS is no longer a threat. It's no longer a threat to the state. Yes, there are few commanders here and there hiding out to use his language in caves or in remote villages, but they don't have any political support, they don't have ISIS incubators, and therefore are much less of a risk. The same way they would look at drug smugglers is how they would view ISIS and the isis risk and therefore, in his eyes, there's less of a justification for US troops and US advisors termain on the grounds now. He suggested that there have been ongoing discussions with the Biden administration and that an announcement would be coming soon, or at least that is his hope. But in their eyes, there's no need anymore to have that arrangement with the US and with the Coalition forces.

Yeah, so you have to go back all the way to twenty fourteen. Remember, back then ISIS was a very clear and present danger. At one point, the ISIS forces were thought to have taken over about one third of the land mass in Iraq and Syria. So twenty fourteen was a very different situation, which meant you had the US, alongside a coalition forces from all around the world, deploy troops into Iraq to defeat the threat of ISIS. You Platford to today. It's a decade later, and what the Prime Minister was telling me is ISIS is no longer a threat. It's no longer a threat to the state. Yes, there are few commanders here and there hiding out to use his language in caves or in remote villages, but they don't have any political support, they don't have ISIS incubators, and therefore are much less of a risk. The same way they would look at drug smugglers is how they would view ISIS and the isis risk and therefore, in his eyes, there's less of a justification for US troops and US advisors termain on the grounds now. He suggested that there have been ongoing discussions with the Biden administration and that an announcement would be coming soon, or at least that is his hope. But in their eyes, there's no need anymore to have that arrangement with the US and with the Coalition forces.

Jamana thank you so much leading her coverage into Middle East horizons on Bloomberg Television in duvide Jamana Vertecci.

Jamana thank you so much leading her coverage into Middle East horizons on Bloomberg Television in duvide Jamana Vertecci.

Daily.

Daily.

Look at the front pages, Alisa Matteo hour, Lisa, what do you have?

Look at the front pages, Alisa Matteo hour, Lisa, what do you have?

Okay, this is Bloomberg Business Week. You have to check this out in the terminal. Came out with its best business school rankings for twenty twenty four twenty twenty five, and they look at the areas like compensation, learning, networking, entrepreneurship. Stanford took the top spot for the sixth year in a row. They scored in four of the five areas they look at. And then you round out the top five. You have Chicago's Booth School, then you have northwesterns Kellogg Dartmouth's Dartmouth's Talk and then Virginia's Darden, So that kind of rounds out the whole top for you.

Okay, this is Bloomberg Business Week. You have to check this out in the terminal. Came out with its best business school rankings for twenty twenty four twenty twenty five, and they look at the areas like compensation, learning, networking, entrepreneurship. Stanford took the top spot for the sixth year in a row. They scored in four of the five areas they look at. And then you round out the top five. You have Chicago's Booth School, then you have northwesterns Kellogg Dartmouth's Dartmouth's Talk and then Virginia's Darden, So that kind of rounds out the whole top for you.

There and each of them different, them different.

There and each of them different, them different.

Yeah, and each of them different. And also what it's interesting too in this list you have to check out it breaks down which industries are hiring and from which schools too. So if you're looking out, they're consulting hiring the most, and that's followed by financial, technology, healthcare and consumer. So that's how they bring it down to.

Yeah, and each of them different. And also what it's interesting too in this list you have to check out it breaks down which industries are hiring and from which schools too. So if you're looking out, they're consulting hiring the most, and that's followed by financial, technology, healthcare and consumer. So that's how they bring it down to.

Over in Europe, I am d is I E s E. Business London Business School in NEBERCONTI. Good morning to those in Italy and see it as well with some monitor their Bloomberg BusinessWeek with that, and you know, it's it's a great It's all it is.

Over in Europe, I am d is I E s E. Business London Business School in NEBERCONTI. Good morning to those in Italy and see it as well with some monitor their Bloomberg BusinessWeek with that, and you know, it's it's a great It's all it is.

It's a great list. I always, you know, seventy seven schools.

It's a great list. I always, you know, seventy seven schools.

And Doukems in number twelve obviously underrated.

And Doukems in number twelve obviously underrated.

The should top ten of course.

The should top ten of course.

I think the big you know, you know, within the competition of this Harvard's number six, which I think would be the surprise within our work. Sloan Carnegie Melligan, Carnie mel I'll get it. Three two one Carnegie, Mellon, m I T nine and ten, Duke twelve, and on we go and there than Carolina? Though is there really you care about?

I think the big you know, you know, within the competition of this Harvard's number six, which I think would be the surprise within our work. Sloan Carnegie Melligan, Carnie mel I'll get it. Three two one Carnegie, Mellon, m I T nine and ten, Duke twelve, and on we go and there than Carolina? Though is there really you care about?

Next?

Next?

What do you go?

What do you go?

All right?

All right?

We're keeping with education. This one I saw an associated press. It stood out to me because it says students are reading fewer books in English class nowadays. So if you remember how many books we used to read, yes, yes, so here's what the teachers are doing. Instead, they're focusing on select packages passages from the books instead of having kids read the entire book. They're given chapter summaries for every novel that they were assigned, so they sometimes go to that. They're playing the audio books. They were assigning fewer books, more quizzes. But they're saying there's a reason behind the mass reason, the reason shorter attention spans. Kids can't sit there and read, and.

We're keeping with education. This one I saw an associated press. It stood out to me because it says students are reading fewer books in English class nowadays. So if you remember how many books we used to read, yes, yes, so here's what the teachers are doing. Instead, they're focusing on select packages passages from the books instead of having kids read the entire book. They're given chapter summaries for every novel that they were assigned, so they sometimes go to that. They're playing the audio books. They were assigning fewer books, more quizzes. But they're saying there's a reason behind the mass reason, the reason shorter attention spans. Kids can't sit there and read, and.

You have to teach them.

You have to teach them.

Yes, the joy of getting to the back end of Tale of Two Cities.

Yes, the joy of getting to the back end of Tale of Two Cities.

Yes, pressure for standardized tests, they say, that's it, it's another way.

Yes, pressure for standardized tests, they say, that's it, it's another way.

Got that email the other day, don't get me?

Got that email the other day, don't get me?

Oh see see.

Oh see see.

And then the sense of short They say that short, firm content is going to prepare them for the digital world, so they need.

And then the sense of short They say that short, firm content is going to prepare them for the digital world, so they need.

But not college.

But not college.

That's the difference. Let's say they get into duke Swing. Who's the duke?

That's the difference. Let's say they get into duke Swing. Who's the duke?

They it's Friday, and they go, okay, this is the reading in this weeekend.

They it's Friday, and they go, okay, this is the reading in this weeekend.

Yeah, boom your eighty.

Yeah, boom your eighty.

P one hundred pages and it's two different courses. You wake up, you try to get through it, and you got to figure out what to do with the second book.

P one hundred pages and it's two different courses. You wake up, you try to get through it, and you got to figure out what to do with the second book.

That's and they're not. I see it every day. I don't. You're upsetting. I gotta get you going.

That's and they're not. I see it every day. I don't. You're upsetting. I gotta get you going.

That's why I do it.

That's why I do it.

This one's day Draft Kings being sued by the MLB Players Union. They're using the names images of their members without their permission. So this is a lawsuit filed in Philadelphia. So Draft Kings also Bet three six five they're also involved. They've been using pictures of these professional players and marketing campaign. The lawyer said that DraftKings and at three six five, they don't have to do that. They could offer the same type of bets and other sports without using the images. But it's you know, Draft Kings has been expanding the offerings. You know, the last month they acquired website Simple Bet. So it just goes to show you kind of like the different changes that are going.

This one's day Draft Kings being sued by the MLB Players Union. They're using the names images of their members without their permission. So this is a lawsuit filed in Philadelphia. So Draft Kings also Bet three six five they're also involved. They've been using pictures of these professional players and marketing campaign. The lawyer said that DraftKings and at three six five, they don't have to do that. They could offer the same type of bets and other sports without using the images. But it's you know, Draft Kings has been expanding the offerings. You know, the last month they acquired website Simple Bet. So it just goes to show you kind of like the different changes that are going.

And then Michael Barr had the story about the sports gaming in New Jersey. All, I mean, this is just we're the early innings of all this sports betting and I don't know where it takes.

And then Michael Barr had the story about the sports gaming in New Jersey. All, I mean, this is just we're the early innings of all this sports betting and I don't know where it takes.

Us quite from.

Us quite from.

And yeah, casinos in New Jersey are down.

And yeah, casinos in New Jersey are down.

Right is you can do it. You can do so much just from your phone sitting on your car.

Right is you can do it. You can do so much just from your phone sitting on your car.

You have to link the ratings success right to Betty.

You have to link the ratings success right to Betty.

Yeah, I think so, Yeah, I think that brings right right.

Yeah, I think so, Yeah, I think that brings right right.

Next, what do you have?

Next, what do you have?

Okay, this is the last thing. A shift in home ownership in the US. More millionaires are choosing to rent instead of buy. They say it's just the lack of suitable homes. The Wall Street Journal they analyze some data, but the millionaires say they'd rather keep their money in cash and the stock market another investment. Since home prices, transaction fees are so high, you have property taxes on the rise, and of course insurance premiums where you have those mega mansions on the cliffs, you know, right by the water. So that's some of the reasons. But one guy said he has a three bedroom apartment luxury Manhattan high rise, nineteen thousand dollars a month. That's what he'd rather do because he can't find a house.

Okay, this is the last thing. A shift in home ownership in the US. More millionaires are choosing to rent instead of buy. They say it's just the lack of suitable homes. The Wall Street Journal they analyze some data, but the millionaires say they'd rather keep their money in cash and the stock market another investment. Since home prices, transaction fees are so high, you have property taxes on the rise, and of course insurance premiums where you have those mega mansions on the cliffs, you know, right by the water. So that's some of the reasons. But one guy said he has a three bedroom apartment luxury Manhattan high rise, nineteen thousand dollars a month. That's what he'd rather do because he can't find a house.

Yeah, absolute sea change, absolute see change going on. I don't know what to make of it other than if people look at it and it doesn't work, if you're not investing it somewhere else, it's a failed strategy if you're just rent and to rent right dead on arrival. But if you're investing as well, you know, everybody's story is different, but you do the math and go from there.

Yeah, absolute sea change, absolute see change going on. I don't know what to make of it other than if people look at it and it doesn't work, if you're not investing it somewhere else, it's a failed strategy if you're just rent and to rent right dead on arrival. But if you're investing as well, you know, everybody's story is different, but you do the math and go from there.

Lisa Mateo, thank you for the newspapers.

Lisa Mateo, thank you for the newspapers.

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This is a Bloomberg Surveillance podcast, bringing you the best in economics, finance, investment, and international relations. You can also watch the show live on YouTube. Visit Bloomberg podcast channel on YouTube to see the show weekday mornings from seven to ten am Eastern from our global headquarters in New York City. Subscribe to the podcast on Apple, Spotify, or anywhere else you listen, and always on Bloomberg Radio, the Bloomberg

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