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Twitter, China, And Crypto (Podcast) · Bloomberg Intelligence

0:00
Speaker 1: Welcome to the Bloomberg Markets Podcast. I'm Paul Sweeney, alongside
0:04
Speaker 1: my co host Matt Miller. Every business day we bring
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Speaker 1: you interviews from CEOs, market pros, and Bloomberg experts, along
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Speaker 1: with essential market moving news. Find the Bloomberg Markets Podcast
0:15
Speaker 1: on Apple Podcasts or wherever you listen to podcasts, and
0:18
Speaker 1: at Bloomberg dot com slash podcast. Let's get over to
0:23
Speaker 1: Dan Ives right now web Bush Securities. He's a managing
0:26
Speaker 1: director there and a senior equity analyst and a bowl. Um,
0:31
Speaker 1: I guess Dan, for you, this must be the perfect
0:34
Speaker 1: time to go in and buy right. We had a
0:36
Speaker 1: big drop on Friday, big drop today? Um are, Is
0:41
Speaker 1: there is there ever point at which you're gonna say,
0:43
Speaker 1: you know what? This is over for now and let's
0:47
Speaker 1: make Tesla, Apple, Microsoft all neutrals until m until the
0:52
Speaker 1: crash is over. Yeah. Look, the fundamentals dictated change and
0:58
Speaker 1: shift in terms of cloud, cybersecurity, electric vehicles, spending, like
1:04
Speaker 1: we've done in many names. Then you turn cautious. But
1:07
Speaker 1: it's like me and you have talked about for for years.
1:11
Speaker 1: We're in the first second inning of what I view
1:14
Speaker 1: is the fourth in Dushia revolution. So I don't throw
1:17
Speaker 1: in the towel because of a macro and rates going higher.
1:21
Speaker 1: I view it is just a painful digestion period, but
1:24
Speaker 1: not the end of what I view is tex stocks
1:27
Speaker 1: in the long term movement higher. Dan, Here's what I
1:30
Speaker 1: don't understand. You're seeing to have the sensitivity to rates,
1:34
Speaker 1: have the sensitivity to simply risk off moves. The heavyweights
1:38
Speaker 1: lead the SMP five hundred to records, they also lead
1:40
Speaker 1: the sell off and you can see that um really
1:42
Speaker 1: in any of these red days that we see. But
1:44
Speaker 1: I'm curious if the likes of Apple, Microsoft, Tesla essentially
1:49
Speaker 1: boast this ability to have very strong supply chains that
1:53
Speaker 1: whether a lot of these issues that other companies are having,
1:58
Speaker 1: then where's the problem? Why are these stocks selling off
2:01
Speaker 1: so much? Look, I think you're seeing everyone head for
2:06
Speaker 1: the elevator at the same time, risk off scary headlines,
2:10
Speaker 1: reads moving higher in Fleah, So you're seeing the risk
2:14
Speaker 1: off track all at the same time. And that's why
2:16
Speaker 1: I like text doctors over sohow relative to growth that
2:19
Speaker 1: I've seen the last six years. And you can't paint
2:23
Speaker 1: a Netflix, a Zoom, a Facebook Slash Meta with the
2:28
Speaker 1: same brush as an Apple Microsoft, cybersecurity and cloud and
2:34
Speaker 1: it just speaks like that's why this is the most
2:36
Speaker 1: important earning season probably the last seventy years in terms
2:39
Speaker 1: of proving that the quote unquote massive slowdown off of
2:43
Speaker 1: a cliff is not happening across the board. That's sort
2:47
Speaker 1: of our thesis here in terms as we go through
2:50
Speaker 1: what's really a key week for tech. By the way,
2:52
Speaker 1: you don't cover Twitter that I know of, at least
2:56
Speaker 1: I can't see a rating on Twitter. Um, what are
2:59
Speaker 1: you think about the possibility of Elon must coming in
3:02
Speaker 1: and purchasing this company. Look, we've taught it's a game
3:06
Speaker 1: of highest takes boker, And bottom line is the board
3:10
Speaker 1: was looking at the altar, waiting for a white night,
3:13
Speaker 1: a second bidder. They never came. Then Must details his financing.
3:19
Speaker 1: It's not antics. At that point clock Stock twelve board
3:23
Speaker 1: had to go to negotiation table, and that's why it
3:25
Speaker 1: looks like a deal is going to happen, and it
3:27
Speaker 1: just looked as a public company for dociary. I mean,
3:31
Speaker 1: they ultimately thought that a second bidder would come, and
3:36
Speaker 1: I think in the streetside it's very skeptical at first,
3:40
Speaker 1: but now you know, really like a glad path to
3:42
Speaker 1: get the deal done. Dan, speaking of Twitter, and I
3:46
Speaker 1: know it's not your coverage universe, but stick with me here.
3:49
Speaker 1: One of the questions around Twitter when Jack Dorsey wasn't
3:51
Speaker 1: charged was when he also created Square now known as
3:55
Speaker 1: Block I believe, and one of the concerns from a
3:58
Speaker 1: lot of investors was it would essentially split his attention.
4:01
Speaker 1: He can't give one enough of his leadership, and that's
4:06
Speaker 1: perhaps why he moved from Twitter to Square now known
4:11
Speaker 1: as Block. You do cover Tesla? Is that a risk
4:14
Speaker 1: when it comes to Tesla? I think it's to perceive
4:18
Speaker 1: the risk and and it is a real risk relative
4:21
Speaker 1: to how it does. Must dive and deep end to
4:26
Speaker 1: the pool with Twitter in terms of Issy a chairman,
4:28
Speaker 1: because we we've that would be more of the role.
4:30
Speaker 1: It's not gonna be CEO, who have others that would
4:34
Speaker 1: ultimately as a private company, really try to transform Twitter.
4:39
Speaker 1: But I think it does take attention at a time
4:43
Speaker 1: that we're really going through just such an important time
4:46
Speaker 1: for Tessa in terms of easy the shift among consumers.
4:51
Speaker 1: You have the Giga factory build out in Berlin, Austin,
4:54
Speaker 1: you have some of the issues clearly in China, which
4:57
Speaker 1: is the hearts and longs, the Tesla story. And that's
4:59
Speaker 1: why long perception you have to sell Pestler's shares is
5:03
Speaker 1: why the stock down look as a testa holder. Your
5:06
Speaker 1: dream is not for Musque to buy Twitter. It's a negative.
5:11
Speaker 1: And I think that's why you see that reaction because
5:13
Speaker 1: again the eyes of many you're trading in caviare for
5:18
Speaker 1: a pretzel on Broadway descriptive. Yeah, I'm hungry. I like it.
5:25
Speaker 1: But if he stays chairman, I understand. And you know,
5:27
Speaker 1: we've obviously seen him do a couple of different jobs
5:30
Speaker 1: with much greater success, arguably greater than Jack Dorsey. Right,
5:35
Speaker 1: SpaceX and Twitter at the same time. Dan, great to
5:37
Speaker 1: have you on. Thanks so much for joining us. Dan ives.
5:39
Speaker 1: They are Managing director Senior equity analyst at Wedbush Security,
5:48
Speaker 1: Andy Marsh plug Power, speaking of CEO and president of
5:52
Speaker 1: plug Power. But it's not it doesn't do what you
5:55
Speaker 1: think it does. Andy, I bet you a million people
5:59
Speaker 1: think that you, um, you're all about e V technology,
6:03
Speaker 1: but you're really about hydrogen and fuel cell technology. Right,
6:07
Speaker 1: tell us our outline for us the difference, Well, I
6:11
Speaker 1: think the mayor Hi match great being here. I think
6:14
Speaker 1: The major difference matter is, and I would separate is
6:18
Speaker 1: it's be these and be these run on batteries or
6:22
Speaker 1: as the Corvette as a hybrid unit with batteries and
6:28
Speaker 1: there were, and a fuel cell runs on hydrogen and
6:32
Speaker 1: plug power. With our recent deal with walmart's going to
6:35
Speaker 1: be generating twenty tons of green hydrogen too for them,
6:39
Speaker 1: and a you know, a kilogram is a thousand tons
6:43
Speaker 1: as one ton, and that's about thirty three to one
6:46
Speaker 1: hours of electricity. So we generate hydrogen, we provide the
6:50
Speaker 1: fuel cells which make vehicles run like last mile vehicles
6:54
Speaker 1: and Class eight trucks. Yeah, that's another important difference, right
7:00
Speaker 1: not um, you're not gonna be well, who knows what
7:03
Speaker 1: happens and when Corvette comes out fully electric, but for
7:06
Speaker 1: now you're not powering corvettes. You're powering what fork lifts
7:11
Speaker 1: or trucks that get things, not the eighteen wheelers, but
7:14
Speaker 1: the final destination trucks. Right With our JB with Renault,
7:21
Speaker 1: which is called i DA, we planned it over the
7:24
Speaker 1: next four or five years deploy over a hundred thousand
7:28
Speaker 1: vehicles and they will run on duel cells. They will
7:32
Speaker 1: be powered by fuel cells and batteries will be hybridge,
7:36
Speaker 1: and that vehicle will be will be provided will be
7:39
Speaker 1: powered by green hydrogen, which is generated by plug power.
7:43
Speaker 1: We're building out five hundred tons of capacity here in
7:46
Speaker 1: the United States as well as in Europe with our
7:49
Speaker 1: partner Acciona, which is the largest provider of renewable electricity,
7:54
Speaker 1: which will be used to create green hydrogen. So you
7:59
Speaker 1: mentioned your deal with Smart. I'm curious, who's coming next?
8:04
Speaker 1: Great question. You know, if you look at our chart
8:07
Speaker 1: of customers, it includes people like Amazon, Home Depot and others.
8:12
Speaker 1: I would expect that, like any company, we leverage our
8:16
Speaker 1: present relationships to build out our business with new products,
8:20
Speaker 1: and today I would think they're probably the prime candidates
8:25
Speaker 1: to who comes next? If you have Amazon in Walmart,
8:28
Speaker 1: I mean who else is there that's You've got the
8:31
Speaker 1: whole market tied up? Why? Andy? Why you know the
8:36
Speaker 1: stock has been in one sense beloved a darling the company.
8:41
Speaker 1: I'll say, Um, I remember when Matt Winkler put you
8:44
Speaker 1: guys in an op ed about the importance of what
8:47
Speaker 1: you do. And on the on the other hand, um,
8:51
Speaker 1: it's been a tough run for the stock for shareholders
8:53
Speaker 1: over the last year. You've come down, you know over
8:58
Speaker 1: the from the high year down about half. Why do
9:01
Speaker 1: you think or what's the market getting wrong? Well, I
9:05
Speaker 1: think that one item I think that's really critical matter
9:08
Speaker 1: is that we have a very strong balance sheet. We
9:12
Speaker 1: have over four billion dollars of cash in the bank
9:15
Speaker 1: to build our plan. We won't be going to the market.
9:18
Speaker 1: I think then you take on fat top of that
9:21
Speaker 1: that there's three advantages to hydrogen. One is that the
9:27
Speaker 1: world is committed to producing their CEO two footprint, and
9:31
Speaker 1: the folks of Bloomberg believes hydrogeneral of it. The second
9:35
Speaker 1: item is that you know, we're creating jobs. I've been
9:38
Speaker 1: sitting here with Mackenzie today reviewing the job creation that
9:42
Speaker 1: plug Power and us in the hydrogen industry will will produce.
9:46
Speaker 1: It's going to be significant. And I think the third
9:49
Speaker 1: item is that hydrogen and fuel cells are critical to
9:53
Speaker 1: national security. We're substitute for natural gas. I think that
9:58
Speaker 1: in the market, opportunities are large. You know, we can
10:01
Speaker 1: survive this short term dip in the stock price because
10:06
Speaker 1: the prospects long term are extremely positive and we have
10:10
Speaker 1: the balance sheet to support it. Balance sheet to support it.
10:14
Speaker 1: Talk to us a little bit about your cash, your debt.
10:17
Speaker 1: One of the big I think rescuers maybe for lack
10:20
Speaker 1: of a better term, when it comes to stock prices
10:22
Speaker 1: right now, is the amount of cushion, the amount of
10:24
Speaker 1: liquidity a company has talked to us about yours. Yeah,
10:28
Speaker 1: at the moment, we have over four billion dollars of cash.
10:32
Speaker 1: I foresee no need in the mid term to have
10:37
Speaker 1: to be going to the market at all for cash.
10:39
Speaker 1: And when I talk mid term, I'm talking three to
10:42
Speaker 1: four years, all right, So very interesting set up there. Um.
10:49
Speaker 1: Is hydrogen power fuel cell gonna be used for electric
10:54
Speaker 1: corvettes eventually? Does it go beyond I mean not the
10:56
Speaker 1: corvette specifically, but Andy, you get my meaning, to to
11:00
Speaker 1: go beyond the last mile vehicles that you currently power.
11:04
Speaker 1: Absolutely and I think you know, Plug spend a lot
11:06
Speaker 1: of time looking at Class eight vehicles and just to
11:09
Speaker 1: give you a feel, Walmart has about ten thousand Class
11:14
Speaker 1: eight vehicles. Moving to a hydrogen power Class eight vehicles.
11:18
Speaker 1: We reduced their carbon output by two three tons per
11:23
Speaker 1: year per truck. That's a big number. Is to help
11:26
Speaker 1: them reach their goal of one giga ton per year reduction.
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Speaker 1: So yes, we'll be there, Andy, Thanks so much. For
11:34
Speaker 1: joining US. Andy Marsh there is the CEO and president
11:37
Speaker 1: of Plug Power and UH as we have been discussing.
11:42
Speaker 1: They deal with hydrogen and fuel cell technology. They put,
11:45
Speaker 1: for example, UM the power into lift trucks for Walmart
11:50
Speaker 1: and for Amazon and for a number of other big companies.
11:54
Speaker 1: So UM plug Power. The ticker is p L Eugene
11:58
Speaker 1: right now is trading at twenty one dollars and nineties
12:01
Speaker 1: cents on the NAZ deck. Now let's talk China. I mean,
12:08
Speaker 1: this is the driver between everything we've seen happen today
12:13
Speaker 1: in equity markets, the fallout in commodities with oil down
12:18
Speaker 1: five per cent UM, even the UH fixed income markets.
12:22
Speaker 1: I mean, on Friday we were talking about which economists
12:27
Speaker 1: could predict more rate rises from the Fed, right, I mean,
12:32
Speaker 1: no Mura said fifty basis points now and then seventy
12:34
Speaker 1: seventy five. Everyone else was saying fifty. Um. It was
12:39
Speaker 1: like a contest. And now investors are clamoring to buy
12:42
Speaker 1: ten year debt. I mean, if you think the Fed's
12:45
Speaker 1: gonna raise rates that much, do you want to buy
12:47
Speaker 1: today's paper? Um? I guess you do if you are
12:51
Speaker 1: looking at what's coming out of only if you're freaked
12:54
Speaker 1: out about the possibility that she Jin Ping is gonna
12:58
Speaker 1: stick to his COVID zero Paul to see the economy
13:01
Speaker 1: be damned. Damien sass Hour joins us now from Bloomberg Intelligence.
13:05
Speaker 1: Is that what we're looking at, Damien, Well, look, I
13:07
Speaker 1: mean it's very difficult to kind of think about where
13:09
Speaker 1: US treasury yields are going. I mean, I don't put
13:11
Speaker 1: any stock and where anyone is saying the dollar or
13:14
Speaker 1: treasuries are going to go from here. But look, I
13:15
Speaker 1: mean if you just look at where we are relative
13:17
Speaker 1: only a few months ago, I could not model a
13:20
Speaker 1: scenario in which you're going to get a positive toll
13:21
Speaker 1: to return out of US fixed income. I just couldn't
13:23
Speaker 1: do it. But today, given where yields are, it's definitely
13:26
Speaker 1: a lot more plausible. And so look, if you're looking
13:28
Speaker 1: for safe havens in a world in which there are none,
13:31
Speaker 1: met um U s treasury is the long end of
13:33
Speaker 1: the curve is starting to look a little bit appealing.
13:36
Speaker 1: I'm very curious about the mobility data coming out of China.
13:40
Speaker 1: This is something that I think a lot of uh
13:43
Speaker 1: Chinese strategist or China strategists like yourself, um are are
13:47
Speaker 1: looking at. But what I don't understand is that if
13:51
Speaker 1: you have this mobility data that is really just a
13:54
Speaker 1: function of COVID lockdowns, what is the read through into
13:57
Speaker 1: exports for China, because that seems to be the ripple
14:00
Speaker 1: effect for the rest of the world. Well, I mean
14:02
Speaker 1: that you're hitting right on the screws. I mean, I'm cretty.
14:04
Speaker 1: I mean, if you want to talk about export data,
14:06
Speaker 1: this is the real reason that you want has come off.
14:07
Speaker 1: It's because of the move in the Japanese yen, right,
14:09
Speaker 1: I mean, we saw the Japanese yen has gotten absolutely
14:12
Speaker 1: crushed this month. And what that does is it makes
14:14
Speaker 1: Japanese exports that's that much more attractive relative to Asian
14:17
Speaker 1: peers like South Korea, like China, and certainly our friends
14:20
Speaker 1: in Beijing took stock of this. And look, I mean
14:23
Speaker 1: twenty three big figure move on a dollar u on
14:26
Speaker 1: just this month. I mean that is a very very
14:29
Speaker 1: big move. And this is an economy where they have
14:31
Speaker 1: made it an absolute mandate to keep the volatility of
14:34
Speaker 1: dollar yuan to to a minimum. And look they're they're
14:37
Speaker 1: they're basically repricing it, They're basically rerating it. And look
14:41
Speaker 1: this is nothing new for China watchers, It's nothing new
14:43
Speaker 1: for emergeny market investors. This happens once every what three
14:46
Speaker 1: or five years, and you know, on the back of
14:48
Speaker 1: it you see something like China high yield debt basically
14:51
Speaker 1: lose fifty percent of its value, which we have, or
14:53
Speaker 1: the equity market lose of its value year to date. Look,
14:56
Speaker 1: you have to you have to weather that storm. This
14:58
Speaker 1: is just the way it is when you're investing in
15:00
Speaker 1: and A. But look, if you are looking at the
15:02
Speaker 1: technicals and I hate to look at technicals and and
15:05
Speaker 1: use that as a as as a sort of a
15:06
Speaker 1: written with which to invest, I mean, you look at
15:09
Speaker 1: margin lending, it's it's it's at a very low level.
15:11
Speaker 1: If you look at um, if you look at liquidity levels,
15:14
Speaker 1: you know, I mean they're they're they're they're starting to improve.
15:16
Speaker 1: So you know, you're starting to see you know, some
15:18
Speaker 1: people kind of bottom feeding into Chinese equities. But for me,
15:21
Speaker 1: you know, the risk is just not there. I mean,
15:23
Speaker 1: despite the light investor positioning, I mean, there's just so
15:25
Speaker 1: much risk behind it. And given what's going on here
15:28
Speaker 1: with the A d R listings in the US and
15:29
Speaker 1: the fact that many of then me get you know,
15:31
Speaker 1: pushed out to Hong Kong. It's just not a recipe
15:34
Speaker 1: for success of them. I mean I read in a
15:35
Speaker 1: Bloomberg story a couple of hours ago that in Shanghai
15:41
Speaker 1: workers in hasmat suits fanning out over the weekend to
15:45
Speaker 1: install steal fences around buildings with positive COVID cases. Well,
15:50
Speaker 1: what's the imagery to me is shocking. But my question
15:53
Speaker 1: is how does the PBOC react, you know, how does
15:58
Speaker 1: the um fiscal stimulus piece uh coming sort of balance
16:05
Speaker 1: that on the teeter totter of COVID zero versus economic growth. Well,
16:10
Speaker 1: China has been very successful with the total social financing
16:12
Speaker 1: and injecting fiscal stimulus into the economy and doing it
16:15
Speaker 1: in the right way. But you're absolutely right this economy,
16:17
Speaker 1: I mean, investors have been waiting waiting for Godot I guess,
16:20
Speaker 1: waiting for the PBOC to come in and start cutting
16:22
Speaker 1: rates and for me, you know, what they have not
16:24
Speaker 1: been able to achieve is, you know, to really get
16:27
Speaker 1: in front of the curve, to really show that the
16:28
Speaker 1: monetary support is sufficient to offset the GDP decline. So
16:31
Speaker 1: what are we calling for, as we were calling for
16:34
Speaker 1: last year, We're calling for more triple our cuts. I
16:36
Speaker 1: think we're calling for something on the order of seventy
16:37
Speaker 1: five BIPs of cuts this year. We're also calling for
16:39
Speaker 1: another thirty BIPs of cuts to the medium to lending,
16:42
Speaker 1: the medium term lending facility. This is all good, but
16:45
Speaker 1: certainly it just doesn't look like it's going to be enough.
16:48
Speaker 1: And if you just look at the reserves in China
16:50
Speaker 1: three point one three point two trillion, it's they've got
16:52
Speaker 1: tons of cushion there. One would think that they'd rather
16:56
Speaker 1: not dip into that in order to supplement the economy,
16:58
Speaker 1: that they'd rather you know, in age and monetary easing
17:01
Speaker 1: in order to do it. But look, the verdict is
17:03
Speaker 1: still at right now you've got China U S yield
17:05
Speaker 1: differentials in verted. You should not see that. It's something
17:08
Speaker 1: we rarely see. It's obviously being driven by US treasury
17:11
Speaker 1: yields on one hand, but rest assured you know the
17:14
Speaker 1: dollar you on cross rate follows that. Very few I
17:16
Speaker 1: think that bounces back by the way I do. I
17:19
Speaker 1: absolutely do. I think if if it's right now, basically
17:21
Speaker 1: ideas you can get more buying US tenure treasuries than
17:24
Speaker 1: you can buying ten year debt in China, I think
17:27
Speaker 1: I think that China's hand is being forced here by
17:29
Speaker 1: the market. I think they're going to have to slash
17:30
Speaker 1: rates in order to protect their economy. I mean, look,
17:33
Speaker 1: you know it's a very different economy, right, and so
17:35
Speaker 1: you know it remains to be seen. But if you
17:38
Speaker 1: just look at all the health care signs, you look
17:40
Speaker 1: at the entre offshore are China un basis where at
17:43
Speaker 1: three hundred bits, that's like a two and two and
17:45
Speaker 1: a half standard deviation move or something like that. If
17:47
Speaker 1: you look at one month delta risk reversals on dollar
17:50
Speaker 1: you on, I mean they are screaming of dollar call buying.
17:53
Speaker 1: You know, you've got Cinepeg, You've got PetroChina. You know
17:56
Speaker 1: their big energy exporters all uh purchase protection against the
18:01
Speaker 1: rising dollars. So you know, the concern is there, and
18:03
Speaker 1: I think Beijing is finally getting the getting the hints hopefully, Damien.
18:06
Speaker 1: Thanks so much for joining us, Damian Sassaur. They're from
18:09
Speaker 1: Bloomberg Intelligence. By the way, dropping a pop culture reference.
18:12
Speaker 1: You can't do that with Critty. She's only what have
18:16
Speaker 1: you seen waiting for good? But to class she hasn't
18:21
Speaker 1: seen Armageddon and she hasn't seen waiting for good. Have confused? Confused?
18:27
Speaker 1: Know what you're from Texas? That has nothing to do
18:30
Speaker 1: with it. You know what I've seen top gun and
18:31
Speaker 1: that's all that matters. Point, fair point, Damian, Thanks so
18:35
Speaker 1: much for joining us. We had so much to talk
18:44
Speaker 1: about with Shinali Bastik. I was thinking about you this
18:46
Speaker 1: weekend because well I read your story The Mooch, which
18:50
Speaker 1: I loved, and then the plot can saga continues unbelievable.
18:56
Speaker 1: If you don't know Gabe plotting is the I guess
18:59
Speaker 1: he is considered like genius hedge fund manager who ran
19:03
Speaker 1: Melvin Capital and got destroyed by Wall Street bets and
19:07
Speaker 1: the kind of uh bro vests on Reddit, and now
19:12
Speaker 1: he came out with the He had the gall last
19:15
Speaker 1: week to come out and say, you know what, I'm
19:17
Speaker 1: gonna start charging my investors more. Yeah, is that right? Basically,
19:22
Speaker 1: so he was going to reboot his fund and now
19:24
Speaker 1: he's going back to the drawing board. He apologized. He
19:26
Speaker 1: said he we hear the phrase reboot a lot, but
19:29
Speaker 1: all I was reading was two and twenty. Yeah. Yeah,
19:32
Speaker 1: I mean that's the thing. You can't just reboot by
19:35
Speaker 1: pretending everything else didn't happen in the past. That that is,
19:38
Speaker 1: if I had to draw this down to one line,
19:40
Speaker 1: it's that. And the reason I wanted to kind of
19:42
Speaker 1: draw these stories together is that actually Anthony Scaramucci's firm,
19:46
Speaker 1: Skybridge was an investor in Melvin Capital. So yeah, really
19:50
Speaker 1: that's cool. So yeah, well that's the thing. These companies
19:53
Speaker 1: are very intertwined. And when it comes to Gay plot again,
19:56
Speaker 1: he's the next generation of fund managers, right, it's him,
19:58
Speaker 1: It's stand sometime, it's all of these younger stars that
20:01
Speaker 1: are hitting their first big sets of issues. And if
20:04
Speaker 1: you look at Gay Platkin, he got caught up last
20:07
Speaker 1: year in that Reddit saga in the short squeeze, then
20:10
Speaker 1: this year in the market draw downs, a lot of
20:13
Speaker 1: pain among him and his peers. By the way, I
20:15
Speaker 1: take back the term bro investors. That was not fair.
20:19
Speaker 1: There are a lot of good bros in the world,
20:21
Speaker 1: and I don't mean to to to smear their good
20:26
Speaker 1: name with bets. Well here's the problem. But the mooch
20:33
Speaker 1: fits I mean, right, well, here's the thing. I mean,
20:36
Speaker 1: there's some bros involved, yes, of course, but however, a
20:38
Speaker 1: lot of these are you know, privy fund funds that
20:41
Speaker 1: are privy to big institutional investors that are very unbrolike
20:44
Speaker 1: and in fact don't love the bro behavior. So it
20:48
Speaker 1: is definitely like this idea that you know, I'll even
20:52
Speaker 1: read from our story Sussex Partners selects hedge funds on
20:55
Speaker 1: behalf of clients big institutional investors. He they set told
20:58
Speaker 1: Bloomberg that resetting high watermarks at new higher levels, it
21:02
Speaker 1: ain't gonna cut it right, So you can't just start
21:05
Speaker 1: over here after after some batt It's not hard for
21:08
Speaker 1: me to believe that Scaramucci and Melvin are in bed together.
21:13
Speaker 1: I was shocked that when I first heard, I think
21:16
Speaker 1: a couple of weeks ago, that Assault was going to
21:19
Speaker 1: go down to the Bahamas and hang out with my
21:21
Speaker 1: boy Sam Bankman Freed. These two people don't seem like
21:26
Speaker 1: peas in a pod, right, Anthony Scaramucci, who worked for
21:31
Speaker 1: Donald Trump for eleven days, he was too Trump to
21:35
Speaker 1: stay with the Trump administration. He's getting together the opposite.
21:39
Speaker 1: Actually super genius with this incredible like m I T Havenford, Loss,
21:46
Speaker 1: Sand Bankman Freed and by the way, liberal Biden donor,
21:52
Speaker 1: they's hanging out with the Mouci Yeah, this is interesting.
21:54
Speaker 1: I think that that's you know, because Anthony Scaramucci had
21:57
Speaker 1: spent some time in the Trump White House. There's this
21:59
Speaker 1: concept that he is, you know, trumpy, I guess. But
22:02
Speaker 1: the thing is, now, in addition to setting up this
22:05
Speaker 1: new conference, you know, we know Sam Bank from Freed
22:07
Speaker 1: is a huge Democratic donor and a huge donor to politics.
22:10
Speaker 1: We know that Anthony Scaramucci actually is part of a
22:13
Speaker 1: pack that's actually donating money or contributing money to both
22:17
Speaker 1: Democrats and Republicans. I guess they all they all pay
22:20
Speaker 1: off politicians on both sides of the Aisland. The idea
22:23
Speaker 1: here that they have is to really contribute to especially
22:28
Speaker 1: Democratic politicians who are pro crypto. They think it's going
22:31
Speaker 1: to be a single issue vote into the midterms, into
22:34
Speaker 1: the next set of elections. So you know, yes, they
22:37
Speaker 1: have their pack that's on the side. But in addition
22:39
Speaker 1: to that, this week they were going to have a
22:41
Speaker 1: thousand people. Now it's closer to two thousand people heading
22:44
Speaker 1: down to the Bahamas in order to talk about crypto,
22:48
Speaker 1: pump up the crypto industry and really get more people
22:51
Speaker 1: excited about crypto. As Skybridge. By the way, he told
22:54
Speaker 1: me Anthony told me that Skybridge has really been gaining
22:57
Speaker 1: from cryptocurrencies as some of these other hedge funds don't
23:00
Speaker 1: do as well. They bought bitcoin at they're better than fire?
23:05
Speaker 1: Are you going to fight? What not to fire that already?
23:12
Speaker 1: Are you are not? Going? So my furious because I'm
23:16
Speaker 1: going to milk in next week and so that there's
23:19
Speaker 1: a lot of conferences going on. You've got to wonder
23:21
Speaker 1: how long this goes on for. Remember, people are still
23:23
Speaker 1: worried about COVID. I'm checking to see if I need
23:25
Speaker 1: to good test which people are still worried about COVID investors,
23:29
Speaker 1: anybody that's meeting up in large groups right now? A
23:32
Speaker 1: lot of people are. And by the way, have you
23:33
Speaker 1: guys tried to get an uber in New York? It's
23:35
Speaker 1: like seventy bucks to get forty blocks. So it is,
23:40
Speaker 1: you know, hard to get around because people are meeting
23:42
Speaker 1: in mass and you know, next week it's time to
23:46
Speaker 1: do that little COVID check to see how many people
23:49
Speaker 1: went to these confermes. You're going to milk in. You
23:51
Speaker 1: pretty you just went to this oil conference that I
23:55
Speaker 1: loved you at. What was that did a month ago?
23:56
Speaker 1: Sara week Sarah week. What's your next conference? Uh? TVD
24:01
Speaker 1: the powers that you have not told me. I'll be.
24:04
Speaker 1: But do we not have anyone going to the Bahamas?
24:06
Speaker 1: I don't know. So no, no, But you know, frankly, like,
24:11
Speaker 1: here's the thing, my this is, this is a Twitter
24:14
Speaker 1: People communicate of course through Twitter messages, and so my
24:18
Speaker 1: my Twitter message inbox is chock full of everyone who's
24:21
Speaker 1: in the Bahamas. So I do feel like I'm getting by.
24:24
Speaker 1: I'll go, I'll be not the Tan. You should go.
24:27
Speaker 1: You have a crypto show tomorrow? Yeah, and what when
24:30
Speaker 1: does this conference kick off tomorrow? Oh? So maybe I'll
24:33
Speaker 1: just fly in after your show, my show. Um, if
24:37
Speaker 1: anybody out there is listening with a private jet and
24:39
Speaker 1: you're on your way feeling a little generous, is it?
24:45
Speaker 1: Are we? Are we going to hit a crypto winter here?
24:48
Speaker 1: I mean we're off what we were off another three
24:49
Speaker 1: percent this morning. Now, it's a great question. There's a
24:51
Speaker 1: lot of questions about at the Lunar Project and the
24:54
Speaker 1: buying of cryptocurrencies. There's a lot of questions around what
24:57
Speaker 1: is the next leg, you know, what's going to push
25:00
Speaker 1: crypto actually higher. There was so much adoption last year
25:03
Speaker 1: people are really excited about the Lightning network. We're talking
25:06
Speaker 1: to Jack Maller's later today of strike. That's a big form.
25:10
Speaker 1: You know, if I told you that payments volumes surpassed
25:13
Speaker 1: Visa on the bitcoin network last year, you don't see
25:15
Speaker 1: it in the price today. And so I just you
25:19
Speaker 1: just reminded me about. Um. What I loved about your
25:23
Speaker 1: interview with Scaramucci is he pointed out that he was
25:27
Speaker 1: in a meeting like forever ago in Washington, d C.
25:31
Speaker 1: With somebody from Treasury who was like, we should think
25:35
Speaker 1: about doing the digital dollar, and he was like how
25:37
Speaker 1: and they said, put it on the blockchain and he
25:39
Speaker 1: was like, oh oh, that a wake up call for him.
25:44
Speaker 1: And I thought that was just a brilliant little blurb
25:47
Speaker 1: from that from that story, So I recommend uh you
25:50
Speaker 1: all always read Shnali's reporting. Do you have a newsletter
25:53
Speaker 1: I do every Friday? And how do we subscribe to that?
25:57
Speaker 1: You can subscribe on the terminal and you can also
26:00
Speaker 1: subscribe on my LinkedIn and you can just email me
26:03
Speaker 1: I'll put you on the letter. All right, Very cool,
26:05
Speaker 1: many many options, Very very cool. All right. Snollie Bassett
26:08
Speaker 1: covers Wall Street for US. Thanks for listening to the
26:14
Speaker 1: Bloomberg Markets podcast, you can subscribe and listen to interviews
26:18
Speaker 1: of Apple Podcasts or whatever podcast platform you prefer. I'm
26:22
Speaker 1: Matt Miller. I'm on Twitter at Matt Miller three. Put
26:26
Speaker 1: on fall Sweeney. I'm on Twitter at pt Sweeney Before
26:29
Speaker 1: the podcast. You can always catch us worldwide at Bloomberg
26:32
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