Automakers Headline Earnings This Week | Bloomberg Businessweek Daily 10/20/2025
Summary
Earnings Season: The podcast highlights a strong start to the earnings season, with about 85% of S&P 500 companies beating profit estimates, fueling market optimism.
Market Rally: Major indices, including the Dow Jones, S&P 500, and NASDAQ, are experiencing significant rallies driven by positive earnings reports and optimism about U.S.-China trade talks.
Apple's Performance: Apple hit a record high, buoyed by an upgrade to 'buy' due to positive iPhone sales trends, contributing significantly to the overall market rally.
Consumer and Labor Market: Despite some concerns about a weakening labor market, consumer spending remains solid, supported by employment and income stability, which is crucial for continued economic growth.
Credit Concerns: Discussions around credit markets reveal some stress, particularly in auto loans, but overall credit conditions remain supported by employment and economic growth.
Private Credit Market: There is growing concern about transparency and risk premiums in the private credit market, with implications for investor confidence and market stability.
Rare Earth and Mining Sector: The rare earth sector is highlighted as a key area of interest, with potential government involvement in U.S. companies to secure critical minerals, reflecting geopolitical and economic strategies.
Technology Dependence: The podcast discusses the risks associated with heavy reliance on major tech companies for cloud services, as demonstrated by recent outages impacting various sectors.
Transcript
"BLOOMBERG BUSINESS WEEK" THAT HELPS GLOBAL LEADERS STAY AHEAD. PLUS GLOBAL BUSINESS, FINANCE AND TECH NEWS AS IT HAPPENS. "BLOOMBERG BUSINESS WEEK" DAILY. CAROL: HE IS BACK. TIM: WE ARE BACK. CAROL: WE ARE BACK. THERE’S A LOT GOING ON. TIM: WHEN I GO ON VACATION I TRY TO IGNORE THE NEWS BUT THIS LAST WEEK WAS PRETTY BONKERS. CAROL: WE HAD SEVERAL SHOWS WHERE WE DIDN’T TAKE ANY BREAKS. IT WAS CRAZY. BUT I FEEL LIKE A MELLOWER MONDAY ALTHOUGH WE ARE GETTING READY FOR A BUNCH OF THINGS SPECIALLY EARNINGS. TIM: ONE IS APPLE HITS A RECORD FOR THE FIRST TIME AND U.S. E-REPORTS MOSTLY BEAT EXPECTATIONS. CAROL: APPLE IS JUST UP 5% THIS YEAR COMPARED TO SOME OF THE OTHERS. TIM: LOOK WHAT IT IS DOING TO THE INDICES. CAROL: WE WILL DIG INTO THAT AND LOOK AT QUARTERLY EARNINGS REPORT AND ZION REPORTING AFTER THE CLOSING BELL WITHIN WE HAVE BEEN TALKING ABOUT TALKING CREDIT CONCERNS, WITH MEGHAN ROBB. SHE WILL COME OUR WAY IN A MOMENT. TIM: U.S.-CHINA TRADE TALKS AND GARY EVANS IS BACK C.E.O. OF UNITED STATES CAROL: OFF THE CHARTS. AND THE MINING AND RARE EARTH AND THAT SECTOR IS ON FIRE. TIM: ALL OF THAT AND MORE. HERE IS ALEXIS. >> WE ARE HOLDING ON TO THE STRONG RALLY WITH THE DOW JONES INDUSTRIAL AVERAGE UP PBY 540 POINTS ON OPTIMISM ABOUT EARNINGS WE ARE IN THE THICK OF IT WITH LOTS OF BIG NAME COMPANIES INCLUDING NETFLIX, COCA-COLA, INTEL. ABOUT 85% IN THE S&P 500 HAVE BEATEN PROFIT ESTIMATEED A HELPING TO FUEL THE RALLY. WE HAVE THE S&P 500 UP BY 78 POINTS AND NASDAQ COMPOSITE RA RALLYING 340 AND RUSSELL 2000 UP NEARLY 2%. INTERESTING TO SEE GOLD CONTINUING TO RALLY AS INVESTORS POOL MONEY INTO THAT. IT IS UP BETTER THAN 2%, NEAR RECORDER STORY AT 4348 THE OUNCE. APPLE HIT ITS FIRST RECORD HIGH AS LOOK CAPITAL UPGRADED IT TO BUY ON MORE POSITIVE E PHONE. UP -- IPHONE AND PARAMOUNT SKY DANCE LOOKING TO SHED JOBS. THEY CAME TOGETHER IN THAT MERGER IN AUGUST. FOR ON DEMAND NEWS 24 HOURS A DAY THAT IS THE BLOOMBERG BEST FLASH. BACK IT CAROL AND TIM. CAROL: ALEXIS MENTIONED AND TECHNICAL IS ABOUT 8.3% OF THE NASDAQ 100 AND MORE THAN 10% OF THE NASDAQ COMPOSITE TO GIVING A 4REU6R9 TO THE. >> $3.9 TRILLION AMONG THE BIGGEST MARKETS. ONCE IT WAS A TINY TRILLION THAT ARE COMPANY. >> WE WILL KEEP AN EYE ON A BUSY WEEK. TESLA, NETFLIX, G.M. THE 58 S&P 500 THAT REPORTED SO FAR THIS WAS COMING INTO TODAY NEARLY 85% BEAT ANALYST S FORECAST AND 14% MISSED. SOME TO COME, INTEL, TESLA, COCA-COLA, THE OUGHT MAKERS ALSO -- THE AUTO MAKERS. TIM: WHAT WE HAVE TO LOOK FORWARD TO IS ROB, YOU HEARD OF ONE MEASURE OF PERFORMANCE FROM CAROL CLOSE TO 85% BEATING FORECASTS. WHAT IS YOUR VIEW ON HOW THEY HAVE DONE WHAT WE HAVE HEARD FROM THEM? >> TIM, CAROL, GREAT TO JOIN YOU AGAIN. IT IS A VERY SOLID START TO EARNINGS SEASON. WE HAVE ONLY HAD THE MAJOR FINANCIALS REPORT. THEY ARE DOING VERY WELL. WE CANNOT EXPECT THAT 20% EARNINGS GROWTH TO CONTINUE. I THINK OVERALL WITH THE FIRST RIGHT-HAND WE ARE SEEING ON AVERAGE 16%, GROWTH WELL AHEAD OF THE 8.5% EXPECTATION COMING IN. WE PROBABLY CANNOT MAINTAIN THERE PACE BUT IT IS A VERY CONSTRUCTIVE EARNINGS SOUTHEASTERN AND WE THINK -- SEASON AND WE THINK WE SHOULD SEE THAT CONTINUE BECAUSE WE HAVE SEEN SOLID CONSUMER DATA AND ACTIVITY DATA SO THIS SHOULD BE A FAIRLY SOLID EARNINGS SEASON. CAROL: CLARIFY. WE CANNOT EXPECT IT TO CONTINUE AT 16% OR WE CAN. >> THE 16% SEEMS RELATIVELY ROBUST BUT WE ARE DOUBLE M ME-QUART ER SEEMS THAT IS A LITTLE WILLING TO GO AHEAD WITH STRONG GROWTH FROM FINANCIALS SO IT STILL APPEARS TO BE A VERY SOLID QUARTER. TIM: SQUARE THIS WITH A WEAKENING CONSUMER OR LABOR MARKET NOT ON AS SOLID FOOTING AS SIX MONTHS AGO. CONCERN ABOUT TARIFFS EATING TO BUDGETS? >> THAT IS SOME WHATEVER WE ARE LOOKING ESPECIALLY THE AIRLINE, WE HEARD STILL VERY SOLID BEHAVIOR FOR CONSUMERS WITH AIRLINE STOCKS, FROM THE FINANCIALS SOLID BEHAVIOR. SO WE ARE LOOKING AT A SOFTER BUT NOT WEAK LABOR MARKET. OER OFFEND IT -- ON THE OTHER HAND PEOPLE ARE STILL EMPLOYED SO THEY CAN SPEND. THEY MAY NOT ACCELERATE THE SPENDING RAMP BUT THEY ARE ABLE TO SPEND AND THAT IS GIVING THE MARKET AND EARNINGS SUPPORT IS YES THERE IS SOME WEAKNESS BUT A LIFT FROM THE FED, STIMULUS FROM THE ONE BIG BEAUTIFUL BILL AND IT SEEMS LIKE IF WE CAN MAKE IT THROUGH THE NEXT QUARTER WHICH WE SEEM TO BE DOING THERE’S ROOM FOR IMPROVEMENT NEXT YEAR. EUCAROL: ET ME GO BACK BECAUSE WE ARE GOING TO TALK MORE ABOUT CR CREDIT. I WANT TO COUNTER YOU BECAUSE ONE STORY WE TALKED ABOUT FRIDAY IS HOW CAR HONEST HAVE GOTTEN AS DELIN DELINQUENCIES. IT DOESN’T. LIKE THERE’S ANY BUDGET PRICED CARS BUT LET ME PUSH BACK BECAUSE YOU SOUND OPTIMISTIC ABOUT THE CONSUMER SPENDING BUT AREN’T THEY AT THE LOWER RUNG OF THE K THEY ARE FEELING STRETCH. ARE THEY NOT IMPORTANT IN TERMS OF EARNINGS? >> THEY ARE IMPORTANT BUT WHAT MATTERS IS THE UPPER PART AND THE UPPER PART OF THE K IS CARRYING CONSUMERS. THE GOOD NEWS OF THE LOWER INCOME CONSUMERS THEY STILL HAVE JOBS SO THEY MAY HAVE STRESS BUT AS LONG AS THEY HAVE JOBS AND INCOMES WE SHOULD MUDDLE THROUGH. THERE IS CERTAINLY A RISK BUT STRESS IN THE AUTO LOAN MARKET DOESN’T TRANSLATE INTO CONTR CONTRACTION. AS LONG AS THEY HAVE JOBS IT IS WORKABLE. CAROL: WE WILL TALK CREDIT BUT I HAVE TO SAY THAT 4% ARE WE SEEING WEAKNESS IN TERMS OF GROWTH OR DOES THIS MAKE IT EASY THAT PEOPLE HAVE ABDUL-JABBAR -- ADJUSTABLE RATES. TIM: WHAT IS THE EFFECT OF THE SHUT DOWN? >> THE LONGEST IS 34 DAYS SO WE ARE A COUPLE WEEKS FROM HITTING THE LONGEST. IT CERTAINLY HAS SOME MODELST EFFECT BUT SOME BENEFITS ARE BEING PAID, WE SAW THE MILITARY GET PAID AT MID MONTH SO WE ARE TALKING BACK SOME OF THE PAIN THROUGH THAT BUT CERTAINLY IT WILL BE IMPORTANT TO GET THROUGH THERE FOR CONFIDENCE AS WE LOOK FORWARD. BUT THE FEDERAL GOVERNMENT SPENDING TENDS TO BE A SMALL PORTION COMPARED TO THE CONSUMER SO UNLESS WE SEE CONSUMER FRUSTRATION THE ECONOMY SHOULD GET THROUGH EVEN IF IT SLOWS A BIT IN THE FOURTH QUARTER AND WE ARE COMING OFF A 3.8 ANNUALIZED RATE OF GROWTH IN THE SECOND QUARTER INTO THE THIRD AND FOURTH WE MAY SEE SOMETHING SLOWER BUT STILL ENOUGH TO SEE SLIGHTLY POSITIVE GROWTH AND GOVERNMENT WILL REOPEN AT SOME POINT AND WE WILL SEE A RECOVERY. CAROL: 25 SECONDS, AI TRADE, THE BIG MAG SEVEN COMING THROUGH. >> IT SEEMS LIKE THERE IS ROOM PARTICULARLY THE INVESTMENT THAT CONTINUES. WE ARE LOOKING FORWARD TO LA HEARING MORE. CAROL: ROB, THANK YOU SO MUCH. WE WILL STAY ON EARNINGS BUT REALLY DIG INTO WHETHER OR NOT WE ARE SEEING ANY CREDIT CONCERNS. WE HAVE A GREAT VOICE ON THAT. TIM: WE WILL BRING IN MEGHAN ROBSON. WE WILL HERE FROM ONE OF THE REGIONAL BANKS BECAUSE OF CREDIT CONCERNS WITH WESTERN ALLIANCE. THE FIRM SAID THEY WERE VICTIMS OF FRAUD ON HONEST ARE FROM STRESSED MORTGAGES? HOW ARE YOU LOOKING AT THAT? >> THERE’S BEEN SEVERAL HEADLINES NOT ONLY IN THE REGIONAL BANK SPACE BUT IN A FEW RECENT BANKRUPTCY FILINGS. FROM OUR PERSPECTIVE WE ARE CONSTRUCTIVE SO WE SEE TEASE AS I HAD KWYO SIN YACHT FACTORS. I THINK CREDIT HAS TWO FORCES SUPPORTING IT. ONE IS SECONDLY CALENDAR. YOU HAVE THE FED CUTTING. OUR VIEW IS WE ARE IN A GROWTH ENVIRONMENT THAT WILL BE OK. WHEN THAT HAPPENS CREDIT SPREADS USUALLY STAY TIGHT. THEN A SECULAR FORCE. WE TALKED ABOUT IT ON IT THE SUPPLY AND DEMAND THE 10-YEAR AT 4% IS STILL RELATIVELY ELEVATED SO RELATIVELY LOW SUPPLY AND YIELD STILL STRONG AND SPREADS NOT WIDENED THAT WERE AND THAT IS WHAT HAS HELD US IN HERE. CAROL: DO YOU FEEL CONFIDENT ABOUT YOUR VIEW? WHY DO WE CUT RATES IF WE ARE FEELING PRETTY GOOD ABOUT THE ECONOMY? >> I THINK POWELL RECOGNIZED HIS DIRECTION WAS CHANGING AND NOT ONLY THE EMPLOYMENT RATE WAS IMPORTANT BUT THE CHANGE IN PAYROLL. WE ARE SLOWING INTO AN ECONOMIC BACK DROP BUT FOR SOME OF THEM BEING MORE BROAD IS THE EARNINGS PICTURE. WE HAVE WILL I HAD KWYO SIN ACCURATE KWRBG FACTORS BUT THEY ARE RELATIVELY SMALL SO U.S. HIGH YIELD SUB PRIME. WHEN YOU SEE WEAKNESS SPREADING IT HAS TO COME FROM A BIGGER SECRETARIOR. THINK OF 2016. CAROL: WHAT ABOUT REAL ESTATE WHICH TAKES ME TO ZION OR WESTERN ALLIANCE. >> IT CAN BE BIFURCATED WITHIN CONSUMER LENDERS MORTGAGE SERVICES IS A SECTOR WE LIKE, WE THINK HAS LORE BUSH -- LOWER EXPOSURE AND YOU HAVE CASH FLOW THAT IS RELATIVELY STABLE. WITH THE REGIONALS WE WILL LESSON A LOT ABOUT PROVISIONS FOR CREDIT LOSSES BUT LOOK AT LAST WEEK BIG SIX, VERY STRONG BEATING SPOKE STATIONS, CAPITAL MARKETS ACTIVITY ROBUST SO YOU HAVE POSITIVE LONG GROWTH. AL ALL THOSE ARE BROUGHTLY POSITIVE. TIM: WHAT ABOUTING ABOUT PICK WITH PRECISE CREDIT AND THE ECONOMY WE ARE IN WE DON’T HAVE THE SAME TRANSPARENCY WHEN CONDITIONS RAISE MONEY IN PROSECUTE -- FROM PRIVATE CREDIT FIRMS. CONCERNED? >> IT IS A CONCERN. A BIG IMPLICATION OF SOME OF THESE IS THEY ARE PRIVATE COMPANIES, INVESTORS ARE STARTING TO GET SKITTISH. WE DON’T HAVE THE INSIGHT INTO FUNDAMENTALS AT MUCH AS WE WOULD LIKE. A CONSEQUENCE COULD BE A HIGHER RISK PREMIUM FOR HIGHER COMPANIES THAT DON’T DISCLOSE AS WEEK AGOLY. YOU HAVE SEEN IN THE EYE YIELD WE HAVE A RISK PREMIUM BETWEEN PRIVATE AND PUBLIC THAT HAS RISEN 20 BASIS POINTS THE LAST FEW WEEKS SO THERE’S A RECOGNITION THERE SHOULD BE A PREMIUM FOR NOT HAVING THE TRANSPARENCY INTO FINANCIALS. CAROL: SOMEBODY APPOINTMENTED THIS OUT TO ME. IF YOU LOOK AT SOME OF THE BIG PRIVATE CREDIT FIRMS THAT PLAY IN THE PRIVATE WORLD LIKE APOLLO DOWN 23%, K.K.R. IS DOWN 18%. I KNOW THERE’S A LOT OF FOLKS THAT PLAY IN THE PRIVATE MARKET WORLD. WHY ARE THEY DOWN IF PRIVATE CREDIT IS SO WOMNDERFUL. >> WE TRACK THE BEST DEVELOPMENT COMPANIES AND BROADLY THEY ARE DOWN ABOUT 20% SINCE JULY. WE THINK A LOT OF THAT IS RELATED TO RATE CUTS SO THEY PAY A DIVIDEND TO SHAREHOLDERS WHICH NOW WILL BE GRADUALLY LOWER AS WE SEE RATE CUTS COME IN. I THINK THESE PRIVATE CREDIT ISSUES ARE LINGERING UNDERNEATH THE SURFACE AND HAVE EXACERBATED THAT. WE EXPECT IT VERSION TO CONTINUE IN THE B. D.C.’S WE HRALIKE OWNING THE CREDIT OVER THE EQUITY. IT HAS PERFORMED. CAROL: I FEEL LIKE I DON’T WANT TO BE EXCLAMATORY OR CHICKEN LITTLE THE SKY IS FALLING BUT THE GREAT FINANCIAL CRISIS WE WENT ALONG AND THEN IT FWAS BAD AND THERE WERE SYSTEMAIC PROBLEMS. I KNOW THERE’S A LOT OF EXPOSURES BUT ANY SIGNS OF CRACKS? >> ONE THINK WE WOULD LOOK IS MORE MATERIAL EARNINGS DROP. TWO WE HAVE TO WATCH THE IMPACT OF THE TECH SECTOR. IF YOU LOOK AT PRIVATE CREDIT THE SECRETARIORS SECTORS THAT HAVE GROWN ARE HIGH TECH. YOU HAVE SOME OF THEM REPLACING SMALLER COMPANIES AND THAT IS TWO THINGS WE ARE WATCHING TO SUGGEST THAT CONTAGION WOULD BE SPREADING BUT WE ARE NOT SEEING IT. CAROL: LAST TIME EARNINGS JUSTIFIED A LOT OF THE AI SPEND AMONG THE HYPER SCALERS. THANKS SO MUCH. TIM: WE HAVE BREAKING NEWS IN THE LAST COUPLE MINUTES E.Q.T. HOLDING TAX WITH CALLER CAPITAL PEOPLE WITH KNOWLEDGE SAID IT HELD EXPLORATORY INCLUDING CALLER CAPITAL AND PANTHEON AS IT LOOKS INTO SECONDARY INVESTING. CAROL: WHEN WE COME BACK ONE WAS A BIG PROBLEM OVER THE WEEKEND, THE OTHER ONE WE’LL TELL YOU. >> IT IS 2:21 ON WALL STREET, STOCKS HIGHER ON OPTIMISM OVER THE TRADE TAX WITH U.S. AND CHINA AND TRADER WAITING FOR EARNINGS REPORTS FROM BIG NAMES INCLUDING PROGRCTOR & GAMBLE, AND DOW INDUSTRIALS UP 536 LED BY APPLE AFTER AN UPGRADE. APPLE UP BURN 4% -- BETTER THAN 3R9S. S&P 500 UP 77.5 AND NASDAQ COMPOSITE UP 339. GOLD UP 2 P2.33%. AMAZON CLOUD COMPUTING SERVICE IS RECOVERING AFTER CONNECTIVITY ISSUES AFFECTING ROBIN HOOD AND TESLA OWNERS INCHED TO VOTE AGAINST THE ELON MUSK TRILLION COMPENSATION PACKAGE. SHAREHOLDERS VOTE NOVEMBER 6. TESLA OUT WITH EARNINGS WEST AFTER THE BELL. THAT IS A BLOOMBERG BUSINESS FLASH. CAROL: I WAS WATCHING NET APPLICATION -- TIM: WHAT WERE YOU WATCHING NET NEXT MONDAY MORNING? CAROL: IT WAS LAST WEEK. POOR KID GETS BLAMED FOR EVERYTHING. YOU HAD ISSUES. TIM: OUR CAMERA IS OFF LINE. HOW ELSE DO I SPY ON MY NEIGHBORS? IT IS NOT WORKING. I DON’T KNOW WHAT TO DO. CAROL: ANYWAY, WE HAVE ALL HAD PROBLEMS AND WE KNOW. IT HAD TO DO WITH AMAZON. TIM: THE LARGEST CLOUD PROVIDER THE COMPANY SAYING ISSUES PLAGUING IT FOR A RANGE OF CUSTOMERS INCLUDING GOVERNMENT AGENCIES, AI COMPANIES. IT IS UP 1.3%. WE HAVE A GREAT VOICE ON THIS. CAROL: LET’S GO TO OUR BUREAU IN SAN FRANCISCO. THE BIG TECH TEAM LEADER. WHAT EXACT HAPPENED AND WHY ARE THERE STILL PROBLEMS? >> WHEN A LARGE CHUNK OF THE INTERNET IS RELYING ON ONE SERVICE THERE ARE ALL OF THESE CASCADING EFFECTS. THEY SAID THERE WAS AN ISSUE WITH A DATA BASE THAT WAS HEADING INCORRECTLY A IT HAD A DOMINO EFFECT. A THIRD OF CLOUD COMPUTING SERVICES ARE ON AMAZON SO WHEN SOMETHING IS FIXED IT TAKES A WHILE FOR THE ERRORS TO RESOLVE. THAT IS SOMETHING THAT PEOPLE WILL STILL FEEL THE FACT FOR A LITTLE WHILE. BUT IT IS FUNNY YOU SAID THE STOCK IS GOING UP. THIS IS WHEN YOU KNOW HOW CRUCIAL AMAZON IS IN OUR WEB STRUCTURE, GOVERNMENT AND SO MUCH ABOUT OUR LIVES. BUT IT IS A SIGN OF POWER. >> ABOUT IS IT A SIGN OF RELIANCE ON ONE, TWO OR THREE COMPANIES THAT SO MANY RELY ON. WE WERE JOKING ABOUT NETFLIX AND THE RING CAMERA BUT GOVERNMENT AGENCIES ARE EXPERIENCING OUTAGES. THERE ARE ISSUES WITH DISPATCHING TAXIS IN SOME CITIES AS A RESULT OF THIS. WHAT DOES IT SAY ABOUT RELIANCE ON SINGLE PIECES OF TECHNOLOGY? >> MY TRAIN TO WORK WAS LATE THIS MORNING. ONLY ONE TRACK IS WORKING. I WAS LIKE IS THIS RELATED TO THE ZONE OUTAGE? I DON’T THINK IT WAS BUT IT IS SUCH A GOOD REMINDER OF HOW THAT CONCENTRATION OF POWER IS A THREAT TO THINGS GETTING DONE AND YOU REMEMBER CROWDSTRIKE WENT OUT LAST YEAR AND PLANES WERE GROUNDED AND SO MANY THINGS STOPPED WORKING. THAT FRS WAS A HUGE COST TO THE ECONOMY WHEN THAT HAPPENED. THERE’S SOMETHING TO BE SAID FOR THE THREAT OF THIS PROBLEM IS PRO PROBABLY A CUE TO THE HACKERS OF THE WORLD THAT THIS IS A VULNERABILITY. THAT IS WHY IT IS SO IMPORTANT FOR THE COMPANIES TO HAVE REALLY FAST RESPONSE, QUICKLY PINPOINTING THE PROBLEM WHEN SOMETHING GOES DOWN. ONE ISSUE THAT MAY BE IN THE FUTURE MORE CODE IS WRITTEN BY AI AND WHEN BIG SERVICES GO DOWN WILL THE ENGINEERS KNOW WHERE THE PROBLEM IS AND IF IT WAS WRITTEN BY A CODE THEY DIDN’T WRITE. WHEN YOU THINK OF RISK TO THESE OUTAGES IN THE FUTURE YOU HAVE TO THINK ABOUT FROM THE VERY BEGINNING WHEN YOU ARE BUILDING THE SYSTEM HOW SAFE IS THE SYSTEM AS MORE SERVICE THE ARE DEPENDING ON IT. CAROL: HAPPY MONDAY, EVERYONE. TIM: YOU HAVE TO STOP REFRESHING IT FROM THE STUDIO COMPUTER. YOU SHOULDN’T BE WITHINING HERE? CAROL: WE DID GET IT ON AND FINISHED BINGEING A CERTAIN SE SERIES. FROM ONE MAG 7 IT ANOTHER APPLE HITTING THEIR FIRST RECORD OF 2025 AFTER IT WITHIN FROM BUY TO HOLD TO SEE POSITIVE IPHONE TRENDS AND THEIR LATEST GENERATION OF IPHONES SELLING WELL. TIM: IT IS THE MOST BASIC MODEL SURGING. OUR MANAGING EDITOR IS WITH US IN THE BLOOMBERG NEWS L.A. BUREAU. THE OPTIMISM WE ARE SEEING WITH THE TRADE WITH APPLE IS GIVING MOMENTUM TO OTHER COMPANIES. CERTAINLY LIFTING THE MAJOR INDEXES. WHAT IS YOUR VIEW OF ANLE HITTING ITS FIRST RECORD. >> WE HAVE KNOWN THE PRO AND PRO MAX WERE A HIT AND THE BASE LEVEL I PHONE IS A HIT. THEY MADE MAJOR CHANGES WITH THE FASTER REFRESH DISPLAY, BETTER CAMERAS, LARGER SCREEN SIZE. THE PRO MODELS FIRST REDESIGN IN A HALF DECADE, GOT THE ORANGE COLOR THAT I LIKE. THE SECOND THING I CONTINUE TO FIND IT FASCINATING, I KNOW I HAVE BEEN IN THIS SPACE FOR A DECADE NOW, FINANCIAL SPACE, A FIRM CAN COME OUT AND WE PREDICT THE STOCK PRICE WILL X, Y, Z THEN THE STOCK GOES UP. F ANYONE CAN SAY THAT. THESE ARE PREDICTIONS, THEY ARE NOT SET IN STONE AND THERE’S NO WAY TO KNOW HOW IT WILL GO ONE WAY OR THE OTHER. WE DON’T KNOW THE DIFFERENT RAMIFICATIONS WITH POLITICAL POLICIES AND WHAT CAN HAPPEN WITH A DROP OF THE DIME SO IT IS A COIN FLIP. THAT IS MY TWO CENTS. TIM: IT IS WORTH REPORTING THAT WHEN MARK REPORTS NEWS IT DOES MOVE APPLE’S STOCK. CAROL: IT WILL COME BACK TO YOU, MARK, BECAUSE WITH THIS CALL NOT EVERYONE IS SURE THAT EARLY MOMENTUM FOR THE IPHONE JUSTIFIED THEIR APPLE. UP OVER 32 TIMES ESTIMATED EARNINGS. YOU ARE NOT A FINANCIAL ANALYST BUT YOUR REPORTING MOVES THE SHARE PRICE. WHEN YOU DO KNOW -- >> THEY USE MY REPORTING TO MAKE THEIR REPORT. TIM: I LIKE IT. CAROL: WHAT DO YOU SAY ABOUT PEOPLE WHO ARE WORRIED ABOUT -- YOU UNDERSTAND WHAT IS COMING US FROM THE COMPANY THERE ARE DRIVERS OUT THERE. >> I THINK I CAN GIVE YOU A PRETTY GOOD IF YOU SHOULD BUY, HOLD OR SELL BUT I WILL TELL YOU THE PRODUCT PIPELINE IS PHENOMENAL. I THINK THE FOLDABLE IPHONE AT THE END OF NEXT YEAR WILL RAISE ASP’S SIGNIFICANTLY. I THINK YOU ARE GOING FROM A MODEL AROUND ,000 YOU WILL SEE PHONES STARTING AT $2,000 FOR APPLE AND I THINK THAT WILL DO WONDERS FOR ASP’S AND OVERALL REVENUE. THEY WILL EXPAND THE OTHER PRODUCT WITH A NEW SLATE OF SMART HOME DEVICES. THEY WILL COMPETE WITH RING, WITH AMAZON, WITH GOOGLE, EAGLE BEE IN THE SMART HOME SPACE WITH IT DISPLAY COMING IN MARCH. THEY WILL COME OUT IN 2027 WITH A ROBOTIC SMART HOME DISPLAY. THIS IS POPULAR NOW AND BECOMING INCREASINGLY POPULAR IN CHINA, TABLE TOP ROBOTS. IF YOU ARE A SMART HOME USER OR ROBOTICS FAN THIS WILL BE FAIRLY COMPELLING. YOU HAVE AN 18 INCH IPAD. YOU HAVE VARIOUS VERSIONS OF SMART GLASSES SO UP SEE A BROAD EXPANSION OF THE HARDWARE LINEUP. YOU HAVE THE NEW SIRI THIS SPRING AND THEN THE END OF NEXT YEAR AND ANOTHER UPDATE THE YEAR AFTER TRYING TO GET CLOSER TO CHAT GPT. WE ARE ON A SOLID PATH IN TERMS OF APPLE. TIM: A $2,000I -- IPHONE WOULD BALK. WITH DO THEY DO SO PEOPLE SPEND IT BUT DON’T REALIZE. >> I THINK THAT HAS BEEN SOLVED WITH INSTALLMENT PLANS AND ON THEIR CREDIT CARD IN THE U.S. AND CARRIERS IN TERMS OF TRADE-IN PROMOTIONS AND PEOPLE UNDERSTAND PRICING IS GOING UP. WITHIN BENEFIT WITH THE TARIFFS IT HAS GIVEN APPLE SOME AIR COVER TO DO PRICE ADJUSTMENTS. SO I THINK THE GENERAL CONSUMER UNDERSTANDS BECAUSE OF TARIFFS AND INFLATION PRICING IS GOING UP SO GIVES THEM SOME AIR COVER AND THEY WHAT ABOUT THE FIRST. WHEN THEY CAME OUT WITH THE ,000I PHONE IN 2007 THEY WERE THE FIRST AND I THINK THE $2,000 WILL BE PRETTY WHATEVER ALSO. CAROL: WE ALWAYS TALK ABOUT SUBJECT TO WINNING ABOUT PHONE AND ARE WE STILL WORRIED? >> AT SOME POINT THE IPHONE WILL BE NOT REPLACED BUT SUCCEEDED. IT IS LIKE EVERYONE TAUGHT THE LAP TAP WOULD DIE BECAUSE OF THE I PAD AND PEOPLE TAUGHT THE APPLE WATCH -- THOUGHT THE WATCH WOULD ANIBALIZE. THE ONLY ONE WAS THE I PHONE KILLED THE I POD. NOTHING KILLED THE MAC. YOU WILL SEE FEWER PEOPLE USE THE LAP TAP BECAUSE THEY HAVE THE IPHONE AND MAYBE FEWER WILL USE THE IPHONE BECAUSE THEY WILL HAVE SMART GLASSES BUT YOU WILL STILL WANT ALL OF THEM. I DON’T BELIEVE THE PHONE IS GOING AWAY. >> I MISS THAT I PAD SHUFFLE, WEREN’T PARENTS GIVING THEM TO THEIR KIDS SO THEY COULD PLAY WITH THEM? MARK, THANKS. APPLE IS $3.9 TRILLION CAPITAL >> IT IS 2:40 ON WALL STREET. WE HAVE STOCKS RALLY BEING DESPITE THE FACT THE GOVERNMENT SHUT DOWN IS INTO ITS FOURTH WEEK. TRADERS ARE OPTIMISTIC ABOUT THE TRADE TALKS BETWEEN U.S. AND CHINA AND EARNINGS FROM NETFLIX, COCA-COLA, TESLA, INTEL. THE DOW JONES INDUSTRIAL AVERAGE EN BETTER THAN 1% OR 528 POINTS. S&P 500 UP 7500. NASDAQ COMPOSITE UP MORE THAN 330. GOLD RALLYING TO A RECORD HIGH 2.5% TO 4360 THE OUNCE AND CRUDE OIL SAT $57.52 THE BARREL. APPLE HITTING THE TPFIRST RECORD AFTER IT FWAS UPDATED FROM BUY TO HOLD TALKING ABOUT STRONG DEMAND FOR THE I PHONE. RARE EARTH HITTING THE SPOT AFTER PRESIDENT TRUMP SIGNED AN AGREEMENT WITH AUSTRALIA. CLEVELAND CLIFFS UP MORE THAN 18% AFTER QUARTERLY, BEAT THE STREET AND THEY DISCOVERED TWO SITES WITH THE POTENTIAL TO PRODUCE RARE EARTH MINERALS. SUBSCRIBE TO BLOOMBERG NEWS NOW WHEREVER YOU GET YOUR PODCAST. CAROL: I APPRECIATE IT, ALEXIS. WE ARE AT BLOOMBERG HEADQUARTERS IN NEW YORK CITY. WE HEARD ALEX SUCCESS RARE EARTH AND STOCKS. IT WILL BE SEEN THAT THEY WILL OUTPERFORM AMONG THE STATES UNITED STATES ANT MONIE AND WITH THE UNITED STATES TACKKING A STOCK. THEY ARE UN NENEARLY 565% WITH 14% OF THE FLOW CHART. TIM: BACK WITH US FOR IS THE CHAIRMAN AND C.E.O. MORE THAN P.6 BILLION MARKET MINING. HE JOINS US FROM THE BLOOMBERG DALLAS BUREAU. WILLIAM BLAIR SAYING THE U.S. GOVERNMENT COULD TAKE A NOTABLE STUCK AS THE -- STAKE. DO YOU SEE THE U.S. TAKING A STAKE IN THE COMPANY? >> IT IS SOMETHING WE DON’T STAY UP AT NIGHT WORRYING ABOUT. WE HAVE BEEN FORTUNE IN THAT THE U.S. GOVERNMENT HAS GIVEN US AN INCREDIBLE CONTRACT. IT WAS THE DEAL WITH THE DEPARTMENT OF DEFENSE. WE WON A $245 SOLE SOURCE SO WE ARE WORKING TO FILL THAT. IT IS I IS INGOTS FOR FUTURE WARS. TIM: CAN YOU FILL THAT WITH THE CAPITAL STRUCTURE? DO YOU NEED MORE MONDAY TO FILL THAT? >> NO, FORTUNATELY WE HAVE RAISED OVER THE LAST MONTHS OR MONTH AND A HALF ABOUT 00 MILLION OF CAPITAL SO WE ARE SITTING ON A LOT OF CASH. WE HAVE NO DEBT. WE HAVE REVENUESES FLASH FLOW AND NET INCOME WHICH IS UNUSUAL FOR A SMALL MINING COMPANY. WE DID ANNOUNCE YESTERDAY OF OUR ATTEMPTED TALKOVER OF A COMPANY IN AUSTRALIA WHICH IS A LARGE ANT E MON KWRFY AND GOLD. THAT ADDS ADDITIONAL VALUE AND WITH OUR RESERVE THE WE WILL BE IN THE TOP FIVE IN THE WORLD WHICH IS BOTH THE AUSTRALIAN GOVERNMENT AND U.S. GOVERNMENT WOULD LOOK TO SEE. CAROL: WHAT KIND OF TONNAGE WOULD THIS BE IN TERMS OF THIS DEAL YOU ARE MAKING. >> YOU UNDERSTAND THAT IT IS JUST A MINER. THEY DO NOT DO THE REFINING. WE HAVE A SMELTER IN THOMP THOMPSONLESS FALLS, MONDAY AND MEXICO. THE ONE IN MONTH IS EXPANDING FIVE TIMES GREATER BY THE TPFIRST OF JANUARY. THE ONE IN MOEXICO WE CAN EXPAND FIVE TO SECTION TIMES SO WE -- SIX TIMES WHEN PACK MAKE PRODUCTS FOR SEVEN OTHER CUSTOMERS. THIS IS USED WITH THE NEW AI TECHNOLOGY WE MEEK FIRE RETARDANT DAVENPORTS FOR -- RETARDANTS AND ELECTRIC CORDS TO KEEP THEM FROM CATCHING FIRE. CAROL: I’M CURIOUS HOW MUCH YOU ARE PAYING CAN YOU SHARE IN TERMS OF THIS COMPANY YOU ARE BUYING? >> SO, WE DID MAKE AN OFFER. WE ALREADY OWN 10% OF THE COMPANY SO THE LAST 30 DAYS WE HAVE BEEN QUIETLY ACQUIRING SHARES, A COMPANY WE HAVE BEEN LOOKING AT FOR NINE OR 10 MONTHS AND WE WANTED TO WAIT. WE OWN 10%, WE ARE REQUIRED BY THE STALIN -- AUSTRALIAN GOVERNMENT TO DO SO. WE WILL GIVE THEM SECIX SHARES FOR EVERY 100. SO IT IS A 400 PLUS MILLION DOLLAR TRANSACTION. CAROL: GOOD TO KNOW. I WANT TO GO BACK TO WHAT TIM ASKED YOU INITIALLY ABOUT WILLIAM BLAIR’S CALL. ARE YOU GUYS TALKING WITH THE U.S. GOVERNMENT ABOUT THEM TAKE A NOTABLE STAKE IN YOUR COMPANY? IS THERE ANYTHING GOING ON RIGHT NOW? >> WELL, OBVIOUSLY THOSE TYPES OF DISCUSSIONS I CAN’T REALLY TALK ABOUT. WE WILL TELL YOU WE HAVE BEEN WORKING WITH THE D.O.D. ON A GRANT. WE ARE HOPEFULLY AT THE FINAL STAGES OF THAT. AND I MENTIONED THE CONTRACT. THE TIMING OF THE TRANSACTION COULDN’T BE BETTER. THE PRIME MINISTER OF AUSTRALIA WAS MEETING WITH PRESIDENT TRUMP TODAY IN THE WHITE HOUSE AND I’M PRETTY CERTAIN THIS DEAL WAS DISCUSSED. ANYWAY, I THINK THAT WHAT WE HAVE TO DO AS AMERICANS IS REALIZE ICON HAS A 100 -- CHINA HAS A 100 YEAR PLAN AND WE ARE NOT PART OF IT AND WE WANT TO BUILD THE RESOURCES AND NOT BE DEPENDENT ON A COUNTRY THAT IS NOT DOING THINGS IN OUR BEST INTEREST. SO IT IS NOT JUST ANT ITCH MICHIGAN OFTEN TPHFRP E AND OTHER THINGS. SO WE ARE TRYING TO STEP IT UP AND WE THINK A COLLABORATION BETWEEN THE UNITED STATES AND AUSTRALIA IS A GREAT WAY TO DO IT. TIM: YOU JUST SAID YOU ARE PRETTY SURE IT WAS DISCUSSED BETWEEN THE TWO LEADERS TODAY. HOW ARE YOU SO SURE IT DISCUSSED. >> GENERAL JACK KING IS ON OUR BOARD. DOES IT HELP ANSWER THE QUESTION? >> IT DOES. CAROL: WAIT. DID THEY CALL YOU TO TALK FURTHER ABOUT THE POSSIBILITY OF THIS? >> NO, NO. IF YOU LOOK AT WHAT THE DISCUSSIONS WERE ABOUT IT IS ABOUT CRITICAL MINERALSED A RARE EARTH -- MINERALS AND RARE EARTH. CAROL: DO YOU WANT THE UNITED STATES TO TALK A POSITION IN YOUR COMPANY? >> NOT NECESSARILY. WHAT -- ACCESS TO CAPITAL IS NOT AN ISSUE. WE WANT TO DO WHAT IS BEST FOR OUR SHAREHOLDER AND THE COUNTRY. RIGHT NOW WE THINK WE CAN ACCOMPLISH THOSE GOMES WITHOUT SHAREHOLDER -- GOMES WITHOUT SHAREHOLDER OWNERSHIP. IF THEY SAY WE WANT AN OWNERSHIP POSITION THAT IS A DIFFERENT STORY. I’M NOT IN A POSITION TO TALK ABOUT THAT AT THIS POINT, BUT YOU CAN SEE THE CLOSE ALIGNMENT BETWEEN THE U.S. AND FEDERAL GOVERNMENT AND IT CONTINUES TO STRENGTHEN. WE TAKE IT THEM -- CAROL: DO YOU WILL LIKE YOU NEED A U.S. INVESTMENT IN THE MINERAL SPACE IF YOU WILL HAVE AN ADVANTAGE OVER THOSE THAT DON’T? >> I’M NOT SURE WHAT THE INVESTMENT DOES AS AN ADVANTAGE. IF YOU NEED CAPITAL THAT IS ONE THING. WE HAVE PLENTY OF ACCESS TO CAPITAL AS YOU NOTED WHEN WE FIRST CAME ON THE AIR. WE HAVE HAD A TREMENDOUS RUN IN OUR STOCK AND IT IS BECAUSE WE HAVE ACCESS AND STARTED MINING OUR FIRST MINING LAST WEEK AND BROUGHT SEVEN TERRIFIC LOADS. WE ARE THE BIG GEST OUTSIDE OF CHINA. CAROL: WE NEVER HAVE ENOUGH TIME WITH YOU. YOUR STOCK IS UP 15% TODAY. THIS IS BLOOMBERG. CAROL: COMING INTO THE LAST HOUR OF TRADING ON THIS MONDAY IN A MOMENT. YOU HAVE STOCKS JUST OFF THE BEST LEVELS. WE HAVE A RALLY UNDERSTOOD WAY UP 1% ON S&P 500 , SAME FOR THE DOW, 1.3% ON THE NASDAQ 100. A LOT OF EXTRA HAS TO DO WITH A FEW BIG TECH NAMES MAYBE ONE IN PARTICULAR. TIM: IS IT A FRUIT COMPANY? CAROL: LIKE AN APPLE? IT IS A MONDAY. CAR CAROL IS BACK. CAROL: YOU WERE AWAY. TIM: YOU ARE NOT QUITE BACK FROM THE WEEKEND. CAROL: IT IS ALMOST 3:00 AND I COULD USE ANOTHER CUP OF COFFEE. >> WE WILL PUT THE ORDER IN. I’M TIM STENOVEC WITH CAROL MASSAR. WE WILL LOOK AT STOCKS ON THE MOVE WITH NORA LINDA. >> TAKE THE APPLE IT IS A RECORD HIGH THE FIRST OF 2025. THIS IS AFTER THE COMPANY SAID ESSENTIALLY THERE WAS DATTA SHOWED IPHONE 17 SERIES FOR THAT I PHONE OUTSOLD THE I PHONE 16 BY 16% OVER THE FIRST 17 DAYS IN THE U.S. AND CHINA. SO THEY ARE UP ABOUT 35%, THAT -- 5%. WE ARE SEEING IT POP INTO THE GREEN CLEARLY. WE SUE LOOP CAPITAL UPGRADING FROM BUY TO HOLD. LOTS OF OPTIMISM RIGHT NOW FOR THIS COMPANY? CAROL: WE HAD A GREAT CONVERSATION WITH MARK ABOUT ALL THINGS APPLE AND I RECOMMEND IF YOU MISSED IT TO CHECK IT OUT. TIM: $3.9 TRILLION. CAROL: IF I WAS MATT MILLER YOU KNOW HE WOULD PROMOTE IT. >> APP IS THE PREPARE AND SHARES DOWN MORE THAN 7%. NOW THEY ARE PARED A BIT 8.3% T THE "NEW YORK POST" REPORTED STATE REGULATORS HAVE REACHED OUT IN A POSSIBLE PRELIMINARY PROBE ON THE COMPANY SO THE STATES ARE DELAWARE, OREGON, COPP ACCORDING TO DAH CONNECTICUT BUT IN EARLIER THEIR DATA COLLECTION PRACTICES WERE BEING EXAMINED. BUT SHARES ARE UP 78% SO FAR THIS YEAR. TIM: ONE STOCK MOVING SINCE BEFORE THE U.S. OPENED THIS MORNING THIS WAS THE FIRST ONE ON MY DAY? >> B. TPHFPLT N.P.QY IF YOU WANT TO LOOK IT UP DOWN ABOUT 9% A LOT OF ACTIVITY IN THE PRE-MARKET AFTER A TRIAL LOSS OVER WORK IN SUDAN AND COULD LEAD TO A COSTLY SETTLEMENT. ANALYSTS SAY THEY DON’T EXPECT A MASSIVE COST BUT THEY ARE FLAGGING IT BUT B.N.P. IS SAYING IT SHOULD BE OVERTURNED BUT AT THE DID ADD IT DOES NOT HAVE ANY PRESSURE TO SETTLEMENT THIS CASE SO WE WILL HAVE TO SEE. IT IS UP 30% SO FAR. CAROL: HELP ME UNDERSTAND. THE MAC CAP IS -- THE MARKET CAP IS JUST SHY OF 81 BILLION BUT COULD THE COST BE 40 BILLION. MAYBE INVESTORS BELIEVE THEY WON’T HAVE TO PAY OUT THAT MUCH. TIM: THAT IS A LOT. CAROL: MORE THAN THE MARKET CAP, RIGHT? >> BIG NUMBERS HERE. TIM: I DON’T EVEN KNOW. CAROL: GOOD STUFF. BLOOMBERG TV MARKETS CORRESPONDENT. CHECK OUT OUR STOCK MOVERS PODCAST OF THE BIGGEST AND LOSERS. IT IS ON ANLE -- ONAPPLE THE TIM: WE HAVE A BROAD BASED RALLY, 416 STOCKS ARE HIGHER, 85 IN THE RED. THE S&P 500 UP MORE THAN 1.1%, NASDAQ COMPETITIVE UP 1.5% AND DOW UP 530%. CAROL: WE GET EARNINGS AFTER THE CLOSING BELL. ZION UP 4.25% AFTER LOSING ABOUT 5% LAST WEEK. WE KNOW UNDER PRESSURE CONCERNS ABOUT CREDIT EXPOSURE AND SO WE KNOW MORE BECAUSE WE HAVE HEARD FROM THE BANK. WE WILL STILL WATCH WHAT THEY HAVE TO SEE. >> LATER WE WILL HEAR FROM BIG AUTO MAKERS ABOUT RECORD E.V. SALES IN SEPTEMBER. WE WILL TALK ABOUT THAT IN A FEW MINUTES. AND IT IS THE COVER OF THE NEW ISSUE OF "BLOOMBERG BUSINESS WEEK." GAFFE -- GAVIN NEWSOM IS HE THE MAN TO TAKE ON TRUMP. JOSH GREEN WILL JOIN US. CAROL: I HAVE A LOT OF QUESTIONS ABOUT THAT STORY AND POLITICS IN TERMS OF WHERE DEMOCRATS ARE AND AS WE GET READY FOR SOME ELECTIONS, GOVERNOR RACES, MAYORAL RACES, A MAYOR RACE IN NEW YORK. TIM: THE CLOSE IS COMING YOUR WAY AND WE CONTINUE ON BLOOMBERG BUSINESS DAILEY.
Automakers Headline Earnings This Week | Bloomberg Businessweek Daily 10/20/2025
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"BLOOMBERG BUSINESS WEEK" THAT HELPS GLOBAL LEADERS STAY AHEAD. PLUS GLOBAL BUSINESS, FINANCE AND TECH NEWS AS IT HAPPENS. "BLOOMBERG BUSINESS WEEK" DAILY. CAROL: HE IS BACK. TIM: WE ARE BACK. CAROL: WE ARE BACK. THERE’S A LOT GOING ON. TIM: WHEN I GO ON VACATION I TRY TO IGNORE THE NEWS BUT THIS LAST WEEK WAS PRETTY BONKERS. CAROL: WE HAD SEVERAL SHOWS WHERE WE DIDN’T TAKE ANY BREAKS. IT WAS CRAZY. BUT I FEEL LIKE A MELLOWER MONDAY ALTHOUGH WE ARE GETTING READY FOR A BUNCH OF THINGS SPECIALLY EARNINGS. TIM: ONE IS APPLE HITS A RECORD FOR THE FIRST TIME AND U.S. E-REPORTS MOSTLY BEAT EXPECTATIONS. CAROL: APPLE IS JUST UP 5% THIS YEAR COMPARED TO SOME OF THE OTHERS. TIM: LOOK WHAT IT IS DOING TO THE INDICES. CAROL: WE WILL DIG INTO THAT AND LOOK AT QUARTERLY EARNINGS REPORT AND ZION REPORTING AFTER THE CLOSING BELL WITHIN WE HAVE BEEN TALKING ABOUT TALKING CREDIT CONCERNS, WITH MEGHAN ROBB. SHE WILL COME OUR WAY IN A MOMENT. TIM: U.S.-CHINA TRADE TALKS AND GARY EVANS IS BACK C.E.O. OF UNITED STATES CAROL: OFF THE CHARTS. AND THE MINING AND RARE EARTH AND THAT SECTOR IS ON FIRE. TIM: ALL OF THAT AND MORE. HERE IS ALEXIS. >> WE ARE HOLDING ON TO THE STRONG RALLY WITH THE DOW JONES INDUSTRIAL AVERAGE UP PBY 540 POINTS ON OPTIMISM ABOUT EARNINGS WE ARE IN THE THICK OF IT WITH LOTS OF BIG NAME COMPANIES INCLUDING NETFLIX, COCA-COLA, INTEL. ABOUT 85% IN THE S&P 500 HAVE BEATEN PROFIT ESTIMATEED A HELPING TO FUEL THE RALLY. WE HAVE THE S&P 500 UP BY 78 POINTS AND NASDAQ COMPOSITE RA RALLYING 340 AND RUSSELL 2000 UP NEARLY 2%. INTERESTING TO SEE GOLD CONTINUING TO RALLY AS INVESTORS POOL MONEY INTO THAT. IT IS UP BETTER THAN 2%, NEAR RECORDER STORY AT 4348 THE OUNCE. APPLE HIT ITS FIRST RECORD HIGH AS LOOK CAPITAL UPGRADED IT TO BUY ON MORE POSITIVE E PHONE. UP -- IPHONE AND PARAMOUNT SKY DANCE LOOKING TO SHED JOBS. THEY CAME TOGETHER IN THAT MERGER IN AUGUST. FOR ON DEMAND NEWS 24 HOURS A DAY THAT IS THE BLOOMBERG BEST FLASH. BACK IT CAROL AND TIM. CAROL: ALEXIS MENTIONED AND TECHNICAL IS ABOUT 8.3% OF THE NASDAQ 100 AND MORE THAN 10% OF THE NASDAQ COMPOSITE TO GIVING A 4REU6R9 TO THE. >> $3.9 TRILLION AMONG THE BIGGEST MARKETS. ONCE IT WAS A TINY TRILLION THAT ARE COMPANY. >> WE WILL KEEP AN EYE ON A BUSY WEEK. TESLA, NETFLIX, G.M. THE 58 S&P 500 THAT REPORTED SO FAR THIS WAS COMING INTO TODAY NEARLY 85% BEAT ANALYST S FORECAST AND 14% MISSED. SOME TO COME, INTEL, TESLA, COCA-COLA, THE OUGHT MAKERS ALSO -- THE AUTO MAKERS. TIM: WHAT WE HAVE TO LOOK FORWARD TO IS ROB, YOU HEARD OF ONE MEASURE OF PERFORMANCE FROM CAROL CLOSE TO 85% BEATING FORECASTS. WHAT IS YOUR VIEW ON HOW THEY HAVE DONE WHAT WE HAVE HEARD FROM THEM? >> TIM, CAROL, GREAT TO JOIN YOU AGAIN. IT IS A VERY SOLID START TO EARNINGS SEASON. WE HAVE ONLY HAD THE MAJOR FINANCIALS REPORT. THEY ARE DOING VERY WELL. WE CANNOT EXPECT THAT 20% EARNINGS GROWTH TO CONTINUE. I THINK OVERALL WITH THE FIRST RIGHT-HAND WE ARE SEEING ON AVERAGE 16%, GROWTH WELL AHEAD OF THE 8.5% EXPECTATION COMING IN. WE PROBABLY CANNOT MAINTAIN THERE PACE BUT IT IS A VERY CONSTRUCTIVE EARNINGS SOUTHEASTERN AND WE THINK -- SEASON AND WE THINK WE SHOULD SEE THAT CONTINUE BECAUSE WE HAVE SEEN SOLID CONSUMER DATA AND ACTIVITY DATA SO THIS SHOULD BE A FAIRLY SOLID EARNINGS SEASON. CAROL: CLARIFY. WE CANNOT EXPECT IT TO CONTINUE AT 16% OR WE CAN. >> THE 16% SEEMS RELATIVELY ROBUST BUT WE ARE DOUBLE M ME-QUART ER SEEMS THAT IS A LITTLE WILLING TO GO AHEAD WITH STRONG GROWTH FROM FINANCIALS SO IT STILL APPEARS TO BE A VERY SOLID QUARTER. TIM: SQUARE THIS WITH A WEAKENING CONSUMER OR LABOR MARKET NOT ON AS SOLID FOOTING AS SIX MONTHS AGO. CONCERN ABOUT TARIFFS EATING TO BUDGETS? >> THAT IS SOME WHATEVER WE ARE LOOKING ESPECIALLY THE AIRLINE, WE HEARD STILL VERY SOLID BEHAVIOR FOR CONSUMERS WITH AIRLINE STOCKS, FROM THE FINANCIALS SOLID BEHAVIOR. SO WE ARE LOOKING AT A SOFTER BUT NOT WEAK LABOR MARKET. OER OFFEND IT -- ON THE OTHER HAND PEOPLE ARE STILL EMPLOYED SO THEY CAN SPEND. THEY MAY NOT ACCELERATE THE SPENDING RAMP BUT THEY ARE ABLE TO SPEND AND THAT IS GIVING THE MARKET AND EARNINGS SUPPORT IS YES THERE IS SOME WEAKNESS BUT A LIFT FROM THE FED, STIMULUS FROM THE ONE BIG BEAUTIFUL BILL AND IT SEEMS LIKE IF WE CAN MAKE IT THROUGH THE NEXT QUARTER WHICH WE SEEM TO BE DOING THERE’S ROOM FOR IMPROVEMENT NEXT YEAR. EUCAROL: ET ME GO BACK BECAUSE WE ARE GOING TO TALK MORE ABOUT CR CREDIT. I WANT TO COUNTER YOU BECAUSE ONE STORY WE TALKED ABOUT FRIDAY IS HOW CAR HONEST HAVE GOTTEN AS DELIN DELINQUENCIES. IT DOESN’T. LIKE THERE’S ANY BUDGET PRICED CARS BUT LET ME PUSH BACK BECAUSE YOU SOUND OPTIMISTIC ABOUT THE CONSUMER SPENDING BUT AREN’T THEY AT THE LOWER RUNG OF THE K THEY ARE FEELING STRETCH. ARE THEY NOT IMPORTANT IN TERMS OF EARNINGS? >> THEY ARE IMPORTANT BUT WHAT MATTERS IS THE UPPER PART AND THE UPPER PART OF THE K IS CARRYING CONSUMERS. THE GOOD NEWS OF THE LOWER INCOME CONSUMERS THEY STILL HAVE JOBS SO THEY MAY HAVE STRESS BUT AS LONG AS THEY HAVE JOBS AND INCOMES WE SHOULD MUDDLE THROUGH. THERE IS CERTAINLY A RISK BUT STRESS IN THE AUTO LOAN MARKET DOESN’T TRANSLATE INTO CONTR CONTRACTION. AS LONG AS THEY HAVE JOBS IT IS WORKABLE. CAROL: WE WILL TALK CREDIT BUT I HAVE TO SAY THAT 4% ARE WE SEEING WEAKNESS IN TERMS OF GROWTH OR DOES THIS MAKE IT EASY THAT PEOPLE HAVE ABDUL-JABBAR -- ADJUSTABLE RATES. TIM: WHAT IS THE EFFECT OF THE SHUT DOWN? >> THE LONGEST IS 34 DAYS SO WE ARE A COUPLE WEEKS FROM HITTING THE LONGEST. IT CERTAINLY HAS SOME MODELST EFFECT BUT SOME BENEFITS ARE BEING PAID, WE SAW THE MILITARY GET PAID AT MID MONTH SO WE ARE TALKING BACK SOME OF THE PAIN THROUGH THAT BUT CERTAINLY IT WILL BE IMPORTANT TO GET THROUGH THERE FOR CONFIDENCE AS WE LOOK FORWARD. BUT THE FEDERAL GOVERNMENT SPENDING TENDS TO BE A SMALL PORTION COMPARED TO THE CONSUMER SO UNLESS WE SEE CONSUMER FRUSTRATION THE ECONOMY SHOULD GET THROUGH EVEN IF IT SLOWS A BIT IN THE FOURTH QUARTER AND WE ARE COMING OFF A 3.8 ANNUALIZED RATE OF GROWTH IN THE SECOND QUARTER INTO THE THIRD AND FOURTH WE MAY SEE SOMETHING SLOWER BUT STILL ENOUGH TO SEE SLIGHTLY POSITIVE GROWTH AND GOVERNMENT WILL REOPEN AT SOME POINT AND WE WILL SEE A RECOVERY. CAROL: 25 SECONDS, AI TRADE, THE BIG MAG SEVEN COMING THROUGH. >> IT SEEMS LIKE THERE IS ROOM PARTICULARLY THE INVESTMENT THAT CONTINUES. WE ARE LOOKING FORWARD TO LA HEARING MORE. CAROL: ROB, THANK YOU SO MUCH. WE WILL STAY ON EARNINGS BUT REALLY DIG INTO WHETHER OR NOT WE ARE SEEING ANY CREDIT CONCERNS. WE HAVE A GREAT VOICE ON THAT. TIM: WE WILL BRING IN MEGHAN ROBSON. WE WILL HERE FROM ONE OF THE REGIONAL BANKS BECAUSE OF CREDIT CONCERNS WITH WESTERN ALLIANCE. THE FIRM SAID THEY WERE VICTIMS OF FRAUD ON HONEST ARE FROM STRESSED MORTGAGES? HOW ARE YOU LOOKING AT THAT? >> THERE’S BEEN SEVERAL HEADLINES NOT ONLY IN THE REGIONAL BANK SPACE BUT IN A FEW RECENT BANKRUPTCY FILINGS. FROM OUR PERSPECTIVE WE ARE CONSTRUCTIVE SO WE SEE TEASE AS I HAD KWYO SIN YACHT FACTORS. I THINK CREDIT HAS TWO FORCES SUPPORTING IT. ONE IS SECONDLY CALENDAR. YOU HAVE THE FED CUTTING. OUR VIEW IS WE ARE IN A GROWTH ENVIRONMENT THAT WILL BE OK. WHEN THAT HAPPENS CREDIT SPREADS USUALLY STAY TIGHT. THEN A SECULAR FORCE. WE TALKED ABOUT IT ON IT THE SUPPLY AND DEMAND THE 10-YEAR AT 4% IS STILL RELATIVELY ELEVATED SO RELATIVELY LOW SUPPLY AND YIELD STILL STRONG AND SPREADS NOT WIDENED THAT WERE AND THAT IS WHAT HAS HELD US IN HERE. CAROL: DO YOU FEEL CONFIDENT ABOUT YOUR VIEW? WHY DO WE CUT RATES IF WE ARE FEELING PRETTY GOOD ABOUT THE ECONOMY? >> I THINK POWELL RECOGNIZED HIS DIRECTION WAS CHANGING AND NOT ONLY THE EMPLOYMENT RATE WAS IMPORTANT BUT THE CHANGE IN PAYROLL. WE ARE SLOWING INTO AN ECONOMIC BACK DROP BUT FOR SOME OF THEM BEING MORE BROAD IS THE EARNINGS PICTURE. WE HAVE WILL I HAD KWYO SIN ACCURATE KWRBG FACTORS BUT THEY ARE RELATIVELY SMALL SO U.S. HIGH YIELD SUB PRIME. WHEN YOU SEE WEAKNESS SPREADING IT HAS TO COME FROM A BIGGER SECRETARIOR. THINK OF 2016. CAROL: WHAT ABOUT REAL ESTATE WHICH TAKES ME TO ZION OR WESTERN ALLIANCE. >> IT CAN BE BIFURCATED WITHIN CONSUMER LENDERS MORTGAGE SERVICES IS A SECTOR WE LIKE, WE THINK HAS LORE BUSH -- LOWER EXPOSURE AND YOU HAVE CASH FLOW THAT IS RELATIVELY STABLE. WITH THE REGIONALS WE WILL LESSON A LOT ABOUT PROVISIONS FOR CREDIT LOSSES BUT LOOK AT LAST WEEK BIG SIX, VERY STRONG BEATING SPOKE STATIONS, CAPITAL MARKETS ACTIVITY ROBUST SO YOU HAVE POSITIVE LONG GROWTH. AL ALL THOSE ARE BROUGHTLY POSITIVE. TIM: WHAT ABOUTING ABOUT PICK WITH PRECISE CREDIT AND THE ECONOMY WE ARE IN WE DON’T HAVE THE SAME TRANSPARENCY WHEN CONDITIONS RAISE MONEY IN PROSECUTE -- FROM PRIVATE CREDIT FIRMS. CONCERNED? >> IT IS A CONCERN. A BIG IMPLICATION OF SOME OF THESE IS THEY ARE PRIVATE COMPANIES, INVESTORS ARE STARTING TO GET SKITTISH. WE DON’T HAVE THE INSIGHT INTO FUNDAMENTALS AT MUCH AS WE WOULD LIKE. A CONSEQUENCE COULD BE A HIGHER RISK PREMIUM FOR HIGHER COMPANIES THAT DON’T DISCLOSE AS WEEK AGOLY. YOU HAVE SEEN IN THE EYE YIELD WE HAVE A RISK PREMIUM BETWEEN PRIVATE AND PUBLIC THAT HAS RISEN 20 BASIS POINTS THE LAST FEW WEEKS SO THERE’S A RECOGNITION THERE SHOULD BE A PREMIUM FOR NOT HAVING THE TRANSPARENCY INTO FINANCIALS. CAROL: SOMEBODY APPOINTMENTED THIS OUT TO ME. IF YOU LOOK AT SOME OF THE BIG PRIVATE CREDIT FIRMS THAT PLAY IN THE PRIVATE WORLD LIKE APOLLO DOWN 23%, K.K.R. IS DOWN 18%. I KNOW THERE’S A LOT OF FOLKS THAT PLAY IN THE PRIVATE MARKET WORLD. WHY ARE THEY DOWN IF PRIVATE CREDIT IS SO WOMNDERFUL. >> WE TRACK THE BEST DEVELOPMENT COMPANIES AND BROADLY THEY ARE DOWN ABOUT 20% SINCE JULY. WE THINK A LOT OF THAT IS RELATED TO RATE CUTS SO THEY PAY A DIVIDEND TO SHAREHOLDERS WHICH NOW WILL BE GRADUALLY LOWER AS WE SEE RATE CUTS COME IN. I THINK THESE PRIVATE CREDIT ISSUES ARE LINGERING UNDERNEATH THE SURFACE AND HAVE EXACERBATED THAT. WE EXPECT IT VERSION TO CONTINUE IN THE B. D.C.’S WE HRALIKE OWNING THE CREDIT OVER THE EQUITY. IT HAS PERFORMED. CAROL: I FEEL LIKE I DON’T WANT TO BE EXCLAMATORY OR CHICKEN LITTLE THE SKY IS FALLING BUT THE GREAT FINANCIAL CRISIS WE WENT ALONG AND THEN IT FWAS BAD AND THERE WERE SYSTEMAIC PROBLEMS. I KNOW THERE’S A LOT OF EXPOSURES BUT ANY SIGNS OF CRACKS? >> ONE THINK WE WOULD LOOK IS MORE MATERIAL EARNINGS DROP. TWO WE HAVE TO WATCH THE IMPACT OF THE TECH SECTOR. IF YOU LOOK AT PRIVATE CREDIT THE SECRETARIORS SECTORS THAT HAVE GROWN ARE HIGH TECH. YOU HAVE SOME OF THEM REPLACING SMALLER COMPANIES AND THAT IS TWO THINGS WE ARE WATCHING TO SUGGEST THAT CONTAGION WOULD BE SPREADING BUT WE ARE NOT SEEING IT. CAROL: LAST TIME EARNINGS JUSTIFIED A LOT OF THE AI SPEND AMONG THE HYPER SCALERS. THANKS SO MUCH. TIM: WE HAVE BREAKING NEWS IN THE LAST COUPLE MINUTES E.Q.T. HOLDING TAX WITH CALLER CAPITAL PEOPLE WITH KNOWLEDGE SAID IT HELD EXPLORATORY INCLUDING CALLER CAPITAL AND PANTHEON AS IT LOOKS INTO SECONDARY INVESTING. CAROL: WHEN WE COME BACK ONE WAS A BIG PROBLEM OVER THE WEEKEND, THE OTHER ONE WE’LL TELL YOU. >> IT IS 2:21 ON WALL STREET, STOCKS HIGHER ON OPTIMISM OVER THE TRADE TAX WITH U.S. AND CHINA AND TRADER WAITING FOR EARNINGS REPORTS FROM BIG NAMES INCLUDING PROGRCTOR & GAMBLE, AND DOW INDUSTRIALS UP 536 LED BY APPLE AFTER AN UPGRADE. APPLE UP BURN 4% -- BETTER THAN 3R9S. S&P 500 UP 77.5 AND NASDAQ COMPOSITE UP 339. GOLD UP 2 P2.33%. AMAZON CLOUD COMPUTING SERVICE IS RECOVERING AFTER CONNECTIVITY ISSUES AFFECTING ROBIN HOOD AND TESLA OWNERS INCHED TO VOTE AGAINST THE ELON MUSK TRILLION COMPENSATION PACKAGE. SHAREHOLDERS VOTE NOVEMBER 6. TESLA OUT WITH EARNINGS WEST AFTER THE BELL. THAT IS A BLOOMBERG BUSINESS FLASH. CAROL: I WAS WATCHING NET APPLICATION -- TIM: WHAT WERE YOU WATCHING NET NEXT MONDAY MORNING? CAROL: IT WAS LAST WEEK. POOR KID GETS BLAMED FOR EVERYTHING. YOU HAD ISSUES. TIM: OUR CAMERA IS OFF LINE. HOW ELSE DO I SPY ON MY NEIGHBORS? IT IS NOT WORKING. I DON’T KNOW WHAT TO DO. CAROL: ANYWAY, WE HAVE ALL HAD PROBLEMS AND WE KNOW. IT HAD TO DO WITH AMAZON. TIM: THE LARGEST CLOUD PROVIDER THE COMPANY SAYING ISSUES PLAGUING IT FOR A RANGE OF CUSTOMERS INCLUDING GOVERNMENT AGENCIES, AI COMPANIES. IT IS UP 1.3%. WE HAVE A GREAT VOICE ON THIS. CAROL: LET’S GO TO OUR BUREAU IN SAN FRANCISCO. THE BIG TECH TEAM LEADER. WHAT EXACT HAPPENED AND WHY ARE THERE STILL PROBLEMS? >> WHEN A LARGE CHUNK OF THE INTERNET IS RELYING ON ONE SERVICE THERE ARE ALL OF THESE CASCADING EFFECTS. THEY SAID THERE WAS AN ISSUE WITH A DATA BASE THAT WAS HEADING INCORRECTLY A IT HAD A DOMINO EFFECT. A THIRD OF CLOUD COMPUTING SERVICES ARE ON AMAZON SO WHEN SOMETHING IS FIXED IT TAKES A WHILE FOR THE ERRORS TO RESOLVE. THAT IS SOMETHING THAT PEOPLE WILL STILL FEEL THE FACT FOR A LITTLE WHILE. BUT IT IS FUNNY YOU SAID THE STOCK IS GOING UP. THIS IS WHEN YOU KNOW HOW CRUCIAL AMAZON IS IN OUR WEB STRUCTURE, GOVERNMENT AND SO MUCH ABOUT OUR LIVES. BUT IT IS A SIGN OF POWER. >> ABOUT IS IT A SIGN OF RELIANCE ON ONE, TWO OR THREE COMPANIES THAT SO MANY RELY ON. WE WERE JOKING ABOUT NETFLIX AND THE RING CAMERA BUT GOVERNMENT AGENCIES ARE EXPERIENCING OUTAGES. THERE ARE ISSUES WITH DISPATCHING TAXIS IN SOME CITIES AS A RESULT OF THIS. WHAT DOES IT SAY ABOUT RELIANCE ON SINGLE PIECES OF TECHNOLOGY? >> MY TRAIN TO WORK WAS LATE THIS MORNING. ONLY ONE TRACK IS WORKING. I WAS LIKE IS THIS RELATED TO THE ZONE OUTAGE? I DON’T THINK IT WAS BUT IT IS SUCH A GOOD REMINDER OF HOW THAT CONCENTRATION OF POWER IS A THREAT TO THINGS GETTING DONE AND YOU REMEMBER CROWDSTRIKE WENT OUT LAST YEAR AND PLANES WERE GROUNDED AND SO MANY THINGS STOPPED WORKING. THAT FRS WAS A HUGE COST TO THE ECONOMY WHEN THAT HAPPENED. THERE’S SOMETHING TO BE SAID FOR THE THREAT OF THIS PROBLEM IS PRO PROBABLY A CUE TO THE HACKERS OF THE WORLD THAT THIS IS A VULNERABILITY. THAT IS WHY IT IS SO IMPORTANT FOR THE COMPANIES TO HAVE REALLY FAST RESPONSE, QUICKLY PINPOINTING THE PROBLEM WHEN SOMETHING GOES DOWN. ONE ISSUE THAT MAY BE IN THE FUTURE MORE CODE IS WRITTEN BY AI AND WHEN BIG SERVICES GO DOWN WILL THE ENGINEERS KNOW WHERE THE PROBLEM IS AND IF IT WAS WRITTEN BY A CODE THEY DIDN’T WRITE. WHEN YOU THINK OF RISK TO THESE OUTAGES IN THE FUTURE YOU HAVE TO THINK ABOUT FROM THE VERY BEGINNING WHEN YOU ARE BUILDING THE SYSTEM HOW SAFE IS THE SYSTEM AS MORE SERVICE THE ARE DEPENDING ON IT. CAROL: HAPPY MONDAY, EVERYONE. TIM: YOU HAVE TO STOP REFRESHING IT FROM THE STUDIO COMPUTER. YOU SHOULDN’T BE WITHINING HERE? CAROL: WE DID GET IT ON AND FINISHED BINGEING A CERTAIN SE SERIES. FROM ONE MAG 7 IT ANOTHER APPLE HITTING THEIR FIRST RECORD OF 2025 AFTER IT WITHIN FROM BUY TO HOLD TO SEE POSITIVE IPHONE TRENDS AND THEIR LATEST GENERATION OF IPHONES SELLING WELL. TIM: IT IS THE MOST BASIC MODEL SURGING. OUR MANAGING EDITOR IS WITH US IN THE BLOOMBERG NEWS L.A. BUREAU. THE OPTIMISM WE ARE SEEING WITH THE TRADE WITH APPLE IS GIVING MOMENTUM TO OTHER COMPANIES. CERTAINLY LIFTING THE MAJOR INDEXES. WHAT IS YOUR VIEW OF ANLE HITTING ITS FIRST RECORD. >> WE HAVE KNOWN THE PRO AND PRO MAX WERE A HIT AND THE BASE LEVEL I PHONE IS A HIT. THEY MADE MAJOR CHANGES WITH THE FASTER REFRESH DISPLAY, BETTER CAMERAS, LARGER SCREEN SIZE. THE PRO MODELS FIRST REDESIGN IN A HALF DECADE, GOT THE ORANGE COLOR THAT I LIKE. THE SECOND THING I CONTINUE TO FIND IT FASCINATING, I KNOW I HAVE BEEN IN THIS SPACE FOR A DECADE NOW, FINANCIAL SPACE, A FIRM CAN COME OUT AND WE PREDICT THE STOCK PRICE WILL X, Y, Z THEN THE STOCK GOES UP. F ANYONE CAN SAY THAT. THESE ARE PREDICTIONS, THEY ARE NOT SET IN STONE AND THERE’S NO WAY TO KNOW HOW IT WILL GO ONE WAY OR THE OTHER. WE DON’T KNOW THE DIFFERENT RAMIFICATIONS WITH POLITICAL POLICIES AND WHAT CAN HAPPEN WITH A DROP OF THE DIME SO IT IS A COIN FLIP. THAT IS MY TWO CENTS. TIM: IT IS WORTH REPORTING THAT WHEN MARK REPORTS NEWS IT DOES MOVE APPLE’S STOCK. CAROL: IT WILL COME BACK TO YOU, MARK, BECAUSE WITH THIS CALL NOT EVERYONE IS SURE THAT EARLY MOMENTUM FOR THE IPHONE JUSTIFIED THEIR APPLE. UP OVER 32 TIMES ESTIMATED EARNINGS. YOU ARE NOT A FINANCIAL ANALYST BUT YOUR REPORTING MOVES THE SHARE PRICE. WHEN YOU DO KNOW -- >> THEY USE MY REPORTING TO MAKE THEIR REPORT. TIM: I LIKE IT. CAROL: WHAT DO YOU SAY ABOUT PEOPLE WHO ARE WORRIED ABOUT -- YOU UNDERSTAND WHAT IS COMING US FROM THE COMPANY THERE ARE DRIVERS OUT THERE. >> I THINK I CAN GIVE YOU A PRETTY GOOD IF YOU SHOULD BUY, HOLD OR SELL BUT I WILL TELL YOU THE PRODUCT PIPELINE IS PHENOMENAL. I THINK THE FOLDABLE IPHONE AT THE END OF NEXT YEAR WILL RAISE ASP’S SIGNIFICANTLY. I THINK YOU ARE GOING FROM A MODEL AROUND ,000 YOU WILL SEE PHONES STARTING AT $2,000 FOR APPLE AND I THINK THAT WILL DO WONDERS FOR ASP’S AND OVERALL REVENUE. THEY WILL EXPAND THE OTHER PRODUCT WITH A NEW SLATE OF SMART HOME DEVICES. THEY WILL COMPETE WITH RING, WITH AMAZON, WITH GOOGLE, EAGLE BEE IN THE SMART HOME SPACE WITH IT DISPLAY COMING IN MARCH. THEY WILL COME OUT IN 2027 WITH A ROBOTIC SMART HOME DISPLAY. THIS IS POPULAR NOW AND BECOMING INCREASINGLY POPULAR IN CHINA, TABLE TOP ROBOTS. IF YOU ARE A SMART HOME USER OR ROBOTICS FAN THIS WILL BE FAIRLY COMPELLING. YOU HAVE AN 18 INCH IPAD. YOU HAVE VARIOUS VERSIONS OF SMART GLASSES SO UP SEE A BROAD EXPANSION OF THE HARDWARE LINEUP. YOU HAVE THE NEW SIRI THIS SPRING AND THEN THE END OF NEXT YEAR AND ANOTHER UPDATE THE YEAR AFTER TRYING TO GET CLOSER TO CHAT GPT. WE ARE ON A SOLID PATH IN TERMS OF APPLE. TIM: A $2,000I -- IPHONE WOULD BALK. WITH DO THEY DO SO PEOPLE SPEND IT BUT DON’T REALIZE. >> I THINK THAT HAS BEEN SOLVED WITH INSTALLMENT PLANS AND ON THEIR CREDIT CARD IN THE U.S. AND CARRIERS IN TERMS OF TRADE-IN PROMOTIONS AND PEOPLE UNDERSTAND PRICING IS GOING UP. WITHIN BENEFIT WITH THE TARIFFS IT HAS GIVEN APPLE SOME AIR COVER TO DO PRICE ADJUSTMENTS. SO I THINK THE GENERAL CONSUMER UNDERSTANDS BECAUSE OF TARIFFS AND INFLATION PRICING IS GOING UP SO GIVES THEM SOME AIR COVER AND THEY WHAT ABOUT THE FIRST. WHEN THEY CAME OUT WITH THE ,000I PHONE IN 2007 THEY WERE THE FIRST AND I THINK THE $2,000 WILL BE PRETTY WHATEVER ALSO. CAROL: WE ALWAYS TALK ABOUT SUBJECT TO WINNING ABOUT PHONE AND ARE WE STILL WORRIED? >> AT SOME POINT THE IPHONE WILL BE NOT REPLACED BUT SUCCEEDED. IT IS LIKE EVERYONE TAUGHT THE LAP TAP WOULD DIE BECAUSE OF THE I PAD AND PEOPLE TAUGHT THE APPLE WATCH -- THOUGHT THE WATCH WOULD ANIBALIZE. THE ONLY ONE WAS THE I PHONE KILLED THE I POD. NOTHING KILLED THE MAC. YOU WILL SEE FEWER PEOPLE USE THE LAP TAP BECAUSE THEY HAVE THE IPHONE AND MAYBE FEWER WILL USE THE IPHONE BECAUSE THEY WILL HAVE SMART GLASSES BUT YOU WILL STILL WANT ALL OF THEM. I DON’T BELIEVE THE PHONE IS GOING AWAY. >> I MISS THAT I PAD SHUFFLE, WEREN’T PARENTS GIVING THEM TO THEIR KIDS SO THEY COULD PLAY WITH THEM? MARK, THANKS. APPLE IS $3.9 TRILLION CAPITAL >> IT IS 2:40 ON WALL STREET. WE HAVE STOCKS RALLY BEING DESPITE THE FACT THE GOVERNMENT SHUT DOWN IS INTO ITS FOURTH WEEK. TRADERS ARE OPTIMISTIC ABOUT THE TRADE TALKS BETWEEN U.S. AND CHINA AND EARNINGS FROM NETFLIX, COCA-COLA, TESLA, INTEL. THE DOW JONES INDUSTRIAL AVERAGE EN BETTER THAN 1% OR 528 POINTS. S&P 500 UP 7500. NASDAQ COMPOSITE UP MORE THAN 330. GOLD RALLYING TO A RECORD HIGH 2.5% TO 4360 THE OUNCE AND CRUDE OIL SAT $57.52 THE BARREL. APPLE HITTING THE TPFIRST RECORD AFTER IT FWAS UPDATED FROM BUY TO HOLD TALKING ABOUT STRONG DEMAND FOR THE I PHONE. RARE EARTH HITTING THE SPOT AFTER PRESIDENT TRUMP SIGNED AN AGREEMENT WITH AUSTRALIA. CLEVELAND CLIFFS UP MORE THAN 18% AFTER QUARTERLY, BEAT THE STREET AND THEY DISCOVERED TWO SITES WITH THE POTENTIAL TO PRODUCE RARE EARTH MINERALS. SUBSCRIBE TO BLOOMBERG NEWS NOW WHEREVER YOU GET YOUR PODCAST. CAROL: I APPRECIATE IT, ALEXIS. WE ARE AT BLOOMBERG HEADQUARTERS IN NEW YORK CITY. WE HEARD ALEX SUCCESS RARE EARTH AND STOCKS. IT WILL BE SEEN THAT THEY WILL OUTPERFORM AMONG THE STATES UNITED STATES ANT MONIE AND WITH THE UNITED STATES TACKKING A STOCK. THEY ARE UN NENEARLY 565% WITH 14% OF THE FLOW CHART. TIM: BACK WITH US FOR IS THE CHAIRMAN AND C.E.O. MORE THAN P.6 BILLION MARKET MINING. HE JOINS US FROM THE BLOOMBERG DALLAS BUREAU. WILLIAM BLAIR SAYING THE U.S. GOVERNMENT COULD TAKE A NOTABLE STUCK AS THE -- STAKE. DO YOU SEE THE U.S. TAKING A STAKE IN THE COMPANY? >> IT IS SOMETHING WE DON’T STAY UP AT NIGHT WORRYING ABOUT. WE HAVE BEEN FORTUNE IN THAT THE U.S. GOVERNMENT HAS GIVEN US AN INCREDIBLE CONTRACT. IT WAS THE DEAL WITH THE DEPARTMENT OF DEFENSE. WE WON A $245 SOLE SOURCE SO WE ARE WORKING TO FILL THAT. IT IS I IS INGOTS FOR FUTURE WARS. TIM: CAN YOU FILL THAT WITH THE CAPITAL STRUCTURE? DO YOU NEED MORE MONDAY TO FILL THAT? >> NO, FORTUNATELY WE HAVE RAISED OVER THE LAST MONTHS OR MONTH AND A HALF ABOUT 00 MILLION OF CAPITAL SO WE ARE SITTING ON A LOT OF CASH. WE HAVE NO DEBT. WE HAVE REVENUESES FLASH FLOW AND NET INCOME WHICH IS UNUSUAL FOR A SMALL MINING COMPANY. WE DID ANNOUNCE YESTERDAY OF OUR ATTEMPTED TALKOVER OF A COMPANY IN AUSTRALIA WHICH IS A LARGE ANT E MON KWRFY AND GOLD. THAT ADDS ADDITIONAL VALUE AND WITH OUR RESERVE THE WE WILL BE IN THE TOP FIVE IN THE WORLD WHICH IS BOTH THE AUSTRALIAN GOVERNMENT AND U.S. GOVERNMENT WOULD LOOK TO SEE. CAROL: WHAT KIND OF TONNAGE WOULD THIS BE IN TERMS OF THIS DEAL YOU ARE MAKING. >> YOU UNDERSTAND THAT IT IS JUST A MINER. THEY DO NOT DO THE REFINING. WE HAVE A SMELTER IN THOMP THOMPSONLESS FALLS, MONDAY AND MEXICO. THE ONE IN MONTH IS EXPANDING FIVE TIMES GREATER BY THE TPFIRST OF JANUARY. THE ONE IN MOEXICO WE CAN EXPAND FIVE TO SECTION TIMES SO WE -- SIX TIMES WHEN PACK MAKE PRODUCTS FOR SEVEN OTHER CUSTOMERS. THIS IS USED WITH THE NEW AI TECHNOLOGY WE MEEK FIRE RETARDANT DAVENPORTS FOR -- RETARDANTS AND ELECTRIC CORDS TO KEEP THEM FROM CATCHING FIRE. CAROL: I’M CURIOUS HOW MUCH YOU ARE PAYING CAN YOU SHARE IN TERMS OF THIS COMPANY YOU ARE BUYING? >> SO, WE DID MAKE AN OFFER. WE ALREADY OWN 10% OF THE COMPANY SO THE LAST 30 DAYS WE HAVE BEEN QUIETLY ACQUIRING SHARES, A COMPANY WE HAVE BEEN LOOKING AT FOR NINE OR 10 MONTHS AND WE WANTED TO WAIT. WE OWN 10%, WE ARE REQUIRED BY THE STALIN -- AUSTRALIAN GOVERNMENT TO DO SO. WE WILL GIVE THEM SECIX SHARES FOR EVERY 100. SO IT IS A 400 PLUS MILLION DOLLAR TRANSACTION. CAROL: GOOD TO KNOW. I WANT TO GO BACK TO WHAT TIM ASKED YOU INITIALLY ABOUT WILLIAM BLAIR’S CALL. ARE YOU GUYS TALKING WITH THE U.S. GOVERNMENT ABOUT THEM TAKE A NOTABLE STAKE IN YOUR COMPANY? IS THERE ANYTHING GOING ON RIGHT NOW? >> WELL, OBVIOUSLY THOSE TYPES OF DISCUSSIONS I CAN’T REALLY TALK ABOUT. WE WILL TELL YOU WE HAVE BEEN WORKING WITH THE D.O.D. ON A GRANT. WE ARE HOPEFULLY AT THE FINAL STAGES OF THAT. AND I MENTIONED THE CONTRACT. THE TIMING OF THE TRANSACTION COULDN’T BE BETTER. THE PRIME MINISTER OF AUSTRALIA WAS MEETING WITH PRESIDENT TRUMP TODAY IN THE WHITE HOUSE AND I’M PRETTY CERTAIN THIS DEAL WAS DISCUSSED. ANYWAY, I THINK THAT WHAT WE HAVE TO DO AS AMERICANS IS REALIZE ICON HAS A 100 -- CHINA HAS A 100 YEAR PLAN AND WE ARE NOT PART OF IT AND WE WANT TO BUILD THE RESOURCES AND NOT BE DEPENDENT ON A COUNTRY THAT IS NOT DOING THINGS IN OUR BEST INTEREST. SO IT IS NOT JUST ANT ITCH MICHIGAN OFTEN TPHFRP E AND OTHER THINGS. SO WE ARE TRYING TO STEP IT UP AND WE THINK A COLLABORATION BETWEEN THE UNITED STATES AND AUSTRALIA IS A GREAT WAY TO DO IT. TIM: YOU JUST SAID YOU ARE PRETTY SURE IT WAS DISCUSSED BETWEEN THE TWO LEADERS TODAY. HOW ARE YOU SO SURE IT DISCUSSED. >> GENERAL JACK KING IS ON OUR BOARD. DOES IT HELP ANSWER THE QUESTION? >> IT DOES. CAROL: WAIT. DID THEY CALL YOU TO TALK FURTHER ABOUT THE POSSIBILITY OF THIS? >> NO, NO. IF YOU LOOK AT WHAT THE DISCUSSIONS WERE ABOUT IT IS ABOUT CRITICAL MINERALSED A RARE EARTH -- MINERALS AND RARE EARTH. CAROL: DO YOU WANT THE UNITED STATES TO TALK A POSITION IN YOUR COMPANY? >> NOT NECESSARILY. WHAT -- ACCESS TO CAPITAL IS NOT AN ISSUE. WE WANT TO DO WHAT IS BEST FOR OUR SHAREHOLDER AND THE COUNTRY. RIGHT NOW WE THINK WE CAN ACCOMPLISH THOSE GOMES WITHOUT SHAREHOLDER -- GOMES WITHOUT SHAREHOLDER OWNERSHIP. IF THEY SAY WE WANT AN OWNERSHIP POSITION THAT IS A DIFFERENT STORY. I’M NOT IN A POSITION TO TALK ABOUT THAT AT THIS POINT, BUT YOU CAN SEE THE CLOSE ALIGNMENT BETWEEN THE U.S. AND FEDERAL GOVERNMENT AND IT CONTINUES TO STRENGTHEN. WE TAKE IT THEM -- CAROL: DO YOU WILL LIKE YOU NEED A U.S. INVESTMENT IN THE MINERAL SPACE IF YOU WILL HAVE AN ADVANTAGE OVER THOSE THAT DON’T? >> I’M NOT SURE WHAT THE INVESTMENT DOES AS AN ADVANTAGE. IF YOU NEED CAPITAL THAT IS ONE THING. WE HAVE PLENTY OF ACCESS TO CAPITAL AS YOU NOTED WHEN WE FIRST CAME ON THE AIR. WE HAVE HAD A TREMENDOUS RUN IN OUR STOCK AND IT IS BECAUSE WE HAVE ACCESS AND STARTED MINING OUR FIRST MINING LAST WEEK AND BROUGHT SEVEN TERRIFIC LOADS. WE ARE THE BIG GEST OUTSIDE OF CHINA. CAROL: WE NEVER HAVE ENOUGH TIME WITH YOU. YOUR STOCK IS UP 15% TODAY. THIS IS BLOOMBERG. CAROL: COMING INTO THE LAST HOUR OF TRADING ON THIS MONDAY IN A MOMENT. YOU HAVE STOCKS JUST OFF THE BEST LEVELS. WE HAVE A RALLY UNDERSTOOD WAY UP 1% ON S&P 500 , SAME FOR THE DOW, 1.3% ON THE NASDAQ 100. A LOT OF EXTRA HAS TO DO WITH A FEW BIG TECH NAMES MAYBE ONE IN PARTICULAR. TIM: IS IT A FRUIT COMPANY? CAROL: LIKE AN APPLE? IT IS A MONDAY. CAR CAROL IS BACK. CAROL: YOU WERE AWAY. TIM: YOU ARE NOT QUITE BACK FROM THE WEEKEND. CAROL: IT IS ALMOST 3:00 AND I COULD USE ANOTHER CUP OF COFFEE. >> WE WILL PUT THE ORDER IN. I’M TIM STENOVEC WITH CAROL MASSAR. WE WILL LOOK AT STOCKS ON THE MOVE WITH NORA LINDA. >> TAKE THE APPLE IT IS A RECORD HIGH THE FIRST OF 2025. THIS IS AFTER THE COMPANY SAID ESSENTIALLY THERE WAS DATTA SHOWED IPHONE 17 SERIES FOR THAT I PHONE OUTSOLD THE I PHONE 16 BY 16% OVER THE FIRST 17 DAYS IN THE U.S. AND CHINA. SO THEY ARE UP ABOUT 35%, THAT -- 5%. WE ARE SEEING IT POP INTO THE GREEN CLEARLY. WE SUE LOOP CAPITAL UPGRADING FROM BUY TO HOLD. LOTS OF OPTIMISM RIGHT NOW FOR THIS COMPANY? CAROL: WE HAD A GREAT CONVERSATION WITH MARK ABOUT ALL THINGS APPLE AND I RECOMMEND IF YOU MISSED IT TO CHECK IT OUT. TIM: $3.9 TRILLION. CAROL: IF I WAS MATT MILLER YOU KNOW HE WOULD PROMOTE IT. >> APP IS THE PREPARE AND SHARES DOWN MORE THAN 7%. NOW THEY ARE PARED A BIT 8.3% T THE "NEW YORK POST" REPORTED STATE REGULATORS HAVE REACHED OUT IN A POSSIBLE PRELIMINARY PROBE ON THE COMPANY SO THE STATES ARE DELAWARE, OREGON, COPP ACCORDING TO DAH CONNECTICUT BUT IN EARLIER THEIR DATA COLLECTION PRACTICES WERE BEING EXAMINED. BUT SHARES ARE UP 78% SO FAR THIS YEAR. TIM: ONE STOCK MOVING SINCE BEFORE THE U.S. OPENED THIS MORNING THIS WAS THE FIRST ONE ON MY DAY? >> B. TPHFPLT N.P.QY IF YOU WANT TO LOOK IT UP DOWN ABOUT 9% A LOT OF ACTIVITY IN THE PRE-MARKET AFTER A TRIAL LOSS OVER WORK IN SUDAN AND COULD LEAD TO A COSTLY SETTLEMENT. ANALYSTS SAY THEY DON’T EXPECT A MASSIVE COST BUT THEY ARE FLAGGING IT BUT B.N.P. IS SAYING IT SHOULD BE OVERTURNED BUT AT THE DID ADD IT DOES NOT HAVE ANY PRESSURE TO SETTLEMENT THIS CASE SO WE WILL HAVE TO SEE. IT IS UP 30% SO FAR. CAROL: HELP ME UNDERSTAND. THE MAC CAP IS -- THE MARKET CAP IS JUST SHY OF 81 BILLION BUT COULD THE COST BE 40 BILLION. MAYBE INVESTORS BELIEVE THEY WON’T HAVE TO PAY OUT THAT MUCH. TIM: THAT IS A LOT. CAROL: MORE THAN THE MARKET CAP, RIGHT? >> BIG NUMBERS HERE. TIM: I DON’T EVEN KNOW. CAROL: GOOD STUFF. BLOOMBERG TV MARKETS CORRESPONDENT. CHECK OUT OUR STOCK MOVERS PODCAST OF THE BIGGEST AND LOSERS. IT IS ON ANLE -- ONAPPLE THE TIM: WE HAVE A BROAD BASED RALLY, 416 STOCKS ARE HIGHER, 85 IN THE RED. THE S&P 500 UP MORE THAN 1.1%, NASDAQ COMPETITIVE UP 1.5% AND DOW UP 530%. CAROL: WE GET EARNINGS AFTER THE CLOSING BELL. ZION UP 4.25% AFTER LOSING ABOUT 5% LAST WEEK. WE KNOW UNDER PRESSURE CONCERNS ABOUT CREDIT EXPOSURE AND SO WE KNOW MORE BECAUSE WE HAVE HEARD FROM THE BANK. WE WILL STILL WATCH WHAT THEY HAVE TO SEE. >> LATER WE WILL HEAR FROM BIG AUTO MAKERS ABOUT RECORD E.V. SALES IN SEPTEMBER. WE WILL TALK ABOUT THAT IN A FEW MINUTES. AND IT IS THE COVER OF THE NEW ISSUE OF "BLOOMBERG BUSINESS WEEK." GAFFE -- GAVIN NEWSOM IS HE THE MAN TO TAKE ON TRUMP. JOSH GREEN WILL JOIN US. CAROL: I HAVE A LOT OF QUESTIONS ABOUT THAT STORY AND POLITICS IN TERMS OF WHERE DEMOCRATS ARE AND AS WE GET READY FOR SOME ELECTIONS, GOVERNOR RACES, MAYORAL RACES, A MAYOR RACE IN NEW YORK. TIM: THE CLOSE IS COMING YOUR WAY AND WE CONTINUE ON BLOOMBERG BUSINESS DAILEY.