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Markets, Melvin Capital, And Satellites (Podcast) · Bloomberg Intelligence

0:00
Speaker 1: Welcome to the Bloomberg Markets Podcast. I'm Paul Sweeney. Alongside
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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. Well, the earnings we've
0:23
Speaker 1: gotten so far this week from the big retailers have
0:25
Speaker 1: really put pressure on the broader equity markets, really bringing
0:28
Speaker 1: to the four inflation and what it means for consumers
0:32
Speaker 1: and consumers spending. Um, It's raising questions about stagflation, about recession,
0:38
Speaker 1: and then question for a lot of folks is how
0:39
Speaker 1: do equities perform in that type of environment. Let's bring
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Speaker 1: in our favorite strategist, Gina Martin Adams, chief equity strategists
0:46
Speaker 1: for Bloomberg Intelligence. Gina, would you take away from the
0:50
Speaker 1: earnings this week we saw from the retailers, more importantly,
0:54
Speaker 1: the markets response to those earnings. Yeah, first of all,
0:57
Speaker 1: thanks for calling me your favorite strategist. All that absolutely
1:01
Speaker 1: through today. Nonetheless, you know what have we learned as
1:05
Speaker 1: a lot of more of the same, except for the
1:08
Speaker 1: market is finally paying attention, and I think the market
1:10
Speaker 1: is finally paying attention because the companies have gotten to
1:12
Speaker 1: the point where the margin pressures are so severe they
1:18
Speaker 1: have a really hard time forecasting where things are headed
1:21
Speaker 1: into the second quarter, and they took down expectations materially.
1:25
Speaker 1: So more of the same was really We know that
1:28
Speaker 1: this group has been contending with increasing amounts of margin pressure,
1:32
Speaker 1: but it's just been broadening and deepening over the course
1:35
Speaker 1: of the last several quarters. It just got a lot
1:37
Speaker 1: worse in the first quarter and is now anticipated to
1:40
Speaker 1: continue to get worse in the second quarter every other season.
1:44
Speaker 1: And you know, they may have missed expectations that generally
1:47
Speaker 1: guided us to anticipate things to get maybe slightly better,
1:50
Speaker 1: and that's the big difference this time around. So we
1:53
Speaker 1: did see a massive capitulation moment on the retail trade
1:57
Speaker 1: over the course of just twenty four maybe closer to
2:00
Speaker 1: eight hours, considering it kind of started with Walmart two
2:02
Speaker 1: days ago. You know, I think the other thing that
2:05
Speaker 1: you take away from this is um the market clearly
2:09
Speaker 1: had of been and anticipating that there were areas to
2:11
Speaker 1: hide yesterday, and some of those areas to hide were
2:15
Speaker 1: in the more defensive quote unquote defensive sectors like consumer staples,
2:20
Speaker 1: and then finally realized as of yesterday, that's not necessarily
2:23
Speaker 1: a great place to hide when really, uh, when inflation
2:28
Speaker 1: and inventory cycle or your predominant drivers of weakness in
2:32
Speaker 1: the earning stream. Gina, you've done so much smart work
2:37
Speaker 1: on margins, and they always like to ask you about
2:39
Speaker 1: margins every time you come on. UM, so you're probably
2:42
Speaker 1: getting tired of this, but so we are no creed.
2:45
Speaker 1: I never get tired of talking about markins. This is
2:47
Speaker 1: my personal obsession and has been for more than a
2:49
Speaker 1: year or so. I'm so glad you did. Because Andrea
2:53
Speaker 1: Felst dead one of our Bloomberg opinion writers. She covers
2:56
Speaker 1: consumer goods. Um. She wrote this really interesting column last
2:59
Speaker 1: night about Target and Walmart being victims of their own
3:02
Speaker 1: success and that they've essentially secured their supply chain so
3:05
Speaker 1: well and they were able to pass on the cost
3:08
Speaker 1: of the consumers. But just any sign of weakness, the
3:10
Speaker 1: stocks really got punished, but essentially it made them victims
3:14
Speaker 1: of their own success. So I have to ask you here,
3:16
Speaker 1: where does the margin conversation even fall? Because a drop
3:20
Speaker 1: and Target just seems extreme. Yeah, it does, except I
3:25
Speaker 1: think investors have been hanging onto this, right, so I
3:28
Speaker 1: would agree it does seem extreme relative to the size
3:31
Speaker 1: of the revision. Um. That said, remember how much these
3:36
Speaker 1: stocks were areas of strength for much of the last
3:40
Speaker 1: two years, right, And I think that that perspective is
3:42
Speaker 1: really important to just consider. Is these were pandemic place.
3:46
Speaker 1: We knew that consumers weren't going to go out to restaurants,
3:49
Speaker 1: maybe weren't going to fly as much, weren't going to
3:51
Speaker 1: travel and you know, uh, stay at hotels. But but
3:55
Speaker 1: we also knew that they would still buy their everyday
4:00
Speaker 1: items at Target and Walmart, probably even start to buy
4:03
Speaker 1: more durable goods items because they could have those items
4:06
Speaker 1: delivered to their homes as they were staying home. And
4:09
Speaker 1: the result is that this group developed quite a bit
4:12
Speaker 1: of premium and concentration and holdings, and that's been unwind
4:18
Speaker 1: largely over the course of the last um couple of days.
4:21
Speaker 1: It had started to unwind over the last year or so,
4:24
Speaker 1: but we really saw that unwind over the last couple
4:26
Speaker 1: of days. We're close now to seeing these stocks trade
4:30
Speaker 1: in line with the overall index. When you go about
4:33
Speaker 1: all the way back to the beginning of the pandemic
4:35
Speaker 1: to date, so hopefully we've seen a lot of the
4:38
Speaker 1: unwind occur. Now the question going forward is, Okay, how
4:42
Speaker 1: do they perform relative to the rest of the market. Well,
4:45
Speaker 1: the reality is these are goods oriented companies. Goods oriented
4:48
Speaker 1: companies at this stage in the cycle are most likely
4:52
Speaker 1: going to underperform because they're more sensitive to interest rates.
4:55
Speaker 1: They had their time to shine, and now we probably
4:58
Speaker 1: need to move on to more services. Are into companies
5:00
Speaker 1: in the consumer space to lead, and that certainly is
5:04
Speaker 1: reflected in a lot of our work. Margins are one
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Speaker 1: of the triggers that we follow really closely to watch
5:10
Speaker 1: that rotation interest rate through the other trigger typically, Gina,
5:14
Speaker 1: just quickly, here, um valuation, where is this market? I
5:17
Speaker 1: know you're in your team do a lot of work
5:18
Speaker 1: on valuation for those that are looking to say, at
5:21
Speaker 1: least I've got an attractive valuation for this market. Are
5:24
Speaker 1: we there yet? We're getting really close, and I think
5:27
Speaker 1: for the majority of stocks in the market are now
5:29
Speaker 1: trading it relatively attractive valuations. We still are deflating. Uh.
5:34
Speaker 1: You know, a couple of pandemic related bubbles in tech
5:38
Speaker 1: and some of the consumer names certainly, which is going
5:40
Speaker 1: to in our view way on the market. But if
5:43
Speaker 1: you look at an equalated S and P five and
5:46
Speaker 1: you kind of, you know, get rid of a lot
5:47
Speaker 1: of that market cap, uh, concentrated risk. You're looking at
5:51
Speaker 1: a market that's trading under fifteen times forward earnings, and
5:54
Speaker 1: we think the market to accurately price where the bond
5:57
Speaker 1: market is right now should be trading somewhere between fourteen
6:01
Speaker 1: and fourteen and a half times. So you're getting really close, um,
6:05
Speaker 1: you know, within certainly within a stone's thrill of what
6:08
Speaker 1: we would say are are pretty fair value valuations. All right, Gina,
6:13
Speaker 1: thank you so much for taking a time, really appreciate
6:14
Speaker 1: getting your thoughts, particularly as we, you know, continue to
6:18
Speaker 1: deal with this selloff in this market so far in
6:20
Speaker 1: two looking for perspective. Gina Martin Adam's chief equity strategist
6:25
Speaker 1: for Bloomberg Intelligence. She's been doing us a long time.
6:28
Speaker 1: She was a chief strategist there at Wells farg A
6:30
Speaker 1: for a while before we lured her over to Bloomberg
6:32
Speaker 1: Intelligence some number of years ago. Right now, let's go
6:40
Speaker 1: to Schnali Basset. She covers all things Wall Street for
6:43
Speaker 1: Bloomberg News. She joins us here in on our Bloomberg
6:45
Speaker 1: Interactive Brokers Studio and SI big story out today. I
6:49
Speaker 1: think you know one of the big stories on global
6:51
Speaker 1: Wall Street is it's tough in the hedge fund business.
6:55
Speaker 1: They have not escaped the carners that we've seen in
6:57
Speaker 1: the credit markets, in the equity markets, and big name
7:00
Speaker 1: is closing stores. Tell us the story. Yeah, so this
7:03
Speaker 1: is really a holdover from the game stop era. If
7:06
Speaker 1: you all remember the short squeeze that we saw early
7:09
Speaker 1: last year that really hurt Gabe Plotkins Melvin Capital, remember
7:13
Speaker 1: that fifty decline. He recovered from a little bit last year,
7:18
Speaker 1: still ending the year lower, but not as low as
7:20
Speaker 1: it could have been, and there were a lot of
7:22
Speaker 1: big names that came to his rescue, think Ken Griffin,
7:25
Speaker 1: Steve Cullen and others we have heard as well. But
7:28
Speaker 1: this year the sell off really accelerated and in the
7:31
Speaker 1: first four months of the year, his hedge fund lost
7:34
Speaker 1: twenty three percent. Bloomberg's ham A Palmer broke last night
7:37
Speaker 1: that he wrote a letter to investors saying that he
7:39
Speaker 1: would be returning money to investors they would soon be
7:42
Speaker 1: stopping management fees and you are seeing an unwind of
7:44
Speaker 1: his positions. So what happens next? Does he does he
7:49
Speaker 1: have further ambitions? What do you do when your hedge
7:51
Speaker 1: fund closes? That's been a big question lately. You know,
7:55
Speaker 1: he wrote the letter last night, so it's too soon
7:58
Speaker 1: to say what he's gonna do next. But a lot
8:00
Speaker 1: of hedgeman managers see a second act, you know, one
8:03
Speaker 1: very prominent one that we talked about a lot given
8:06
Speaker 1: the crypto excitement. I guess as Mike novograts, everyone remembers
8:11
Speaker 1: he had to shut his macro fund. Uh. Steve Cohen
8:14
Speaker 1: saw second act himself. A lot of people do see
8:16
Speaker 1: second acts in the money management industries. Some people go
8:18
Speaker 1: around family offices, some people just decided to do something
8:21
Speaker 1: else at large. But remember, he did have a great
8:25
Speaker 1: track record before the last two years. He had a
8:27
Speaker 1: very good track record actually, and so his investors who
8:31
Speaker 1: have stuck with him despite you know, some concerns about
8:34
Speaker 1: his restructuring plans, do believe that he has done a
8:37
Speaker 1: great job prior to this route. Is it should we
8:40
Speaker 1: be expecting other situations like this where some hedge funds
8:45
Speaker 1: shut down, because boy, it was just been a brutal,
8:48
Speaker 1: brutal start to the year, and maybe they don't see
8:51
Speaker 1: any opportunity to get above that high watermark and start
8:54
Speaker 1: generating those performance returns. I think that's such an important
8:57
Speaker 1: question because it's not just the carnage or see in
9:00
Speaker 1: the public stock market. You're also seeing a few other headwinds.
9:04
Speaker 1: Private market valuations are starting to get hurt as well.
9:08
Speaker 1: Tiger Global is a ten pound gorilla in that room.
9:11
Speaker 1: Remember they were really a force in Silicon Valley. They
9:15
Speaker 1: put the biggest venture capital firms on notice. They have
9:17
Speaker 1: really had a lot of pain in their public market
9:19
Speaker 1: portfolio this year, and they you know, do they see
9:22
Speaker 1: more pain in that private market portfolio as well? Um
9:26
Speaker 1: do other people close their doors? Big question the cost
9:29
Speaker 1: of leverages going up. You can't just easily borrow money
9:31
Speaker 1: to to put on easy trades. And honestly, hedge fund
9:35
Speaker 1: leverage has been at record levels as well as retail leverage,
9:39
Speaker 1: and that unwind is going to be showing in the
9:42
Speaker 1: stock market more so, really a gain here to mitigate
9:45
Speaker 1: losses this year, to keep your doors open longer. I'm
9:49
Speaker 1: a loudly you mentioned Tiger Capital for audience for our
9:51
Speaker 1: worldwide audience, I should say this is a hedge fund
9:53
Speaker 1: and the Tiger Cubs, of course, that are known for
9:56
Speaker 1: their tech investments, and that's why you've seen extra extra
9:59
Speaker 1: pain in some of those companies. Very quickly, Shannali, I
10:03
Speaker 1: have to ask about the retail story. We talked. That's
10:06
Speaker 1: how we started this conversation. Does the retail bid come
10:09
Speaker 1: back very quickly? It's so interesting because you see f
10:11
Speaker 1: t X getting into stock trading and there's still excitement
10:14
Speaker 1: around it, and you know, influencers are talking about it.
10:16
Speaker 1: But the question is can they get in as much
10:19
Speaker 1: as they were before. It's not creating that additional bit
10:21
Speaker 1: in the market, and you're seeing that very plainly. All right,
10:24
Speaker 1: we appreciate it. Shannale Bassett covers All Things Wall Street,
10:27
Speaker 1: got the Wall Street beat down for Bloomberg News talking
10:31
Speaker 1: about Melvin Capital shutting down, winding down, and you know
10:35
Speaker 1: it's a big, big fund. It was it about eight
10:37
Speaker 1: billion dollars um and so a big issue. Mr Plotkin
10:41
Speaker 1: a former player at Stevie Cohen's firm as well. So
10:45
Speaker 1: interesting the note there. I'm gonna get right to our
10:50
Speaker 1: next guest, David Coudla. No stranger here, he's a founder,
10:54
Speaker 1: CEO and c i O of Main State Capital Management. David,
10:56
Speaker 1: thanks for taking a few minutes here. You know, we've
10:59
Speaker 1: been kind of frame mean, the investment environment is kind
11:03
Speaker 1: of no place to hide unless you happen to be
11:05
Speaker 1: in commodities, I mean fixed and come down double digits
11:07
Speaker 1: total return SMP near bear market levels. How are you
11:13
Speaker 1: as you step away and maybe you know, communicate with
11:15
Speaker 1: your clients? What's your message these days? Good morning, Paul. Yeah,
11:21
Speaker 1: we uh, we just did a webinar for our clients
11:27
Speaker 1: this week and talked exactly about that. And we're at
11:30
Speaker 1: Mainstake Capital Management. We're taxo asset allocators. So uh, an
11:35
Speaker 1: environment like this is where we can um actually allocate
11:43
Speaker 1: among alternative strategies, allocate among commodities, actually short bonds versus
11:51
Speaker 1: being long bonds. If we look at a typical portfolio
11:55
Speaker 1: this year, uh, if that's in or the plastic classic portfolio,
12:02
Speaker 1: if that's in the SMP five, in the NASDAC composite,
12:10
Speaker 1: in the US Aggregate Bond Index, that portfolio is down.
12:17
Speaker 1: Through active management. Going to these other areas, you can
12:21
Speaker 1: be down a lot less this year, a lot less
12:25
Speaker 1: this year. We're looking at SMP fire down well now
12:28
Speaker 1: only two tents of one percent. It was done as
12:30
Speaker 1: much as one and a half percent earlier. What do
12:33
Speaker 1: you make of this kind of volatility, Well, there's so
12:39
Speaker 1: much fear of where inflation goes from here in the
12:43
Speaker 1: coming months and how the Fed responds to that. The
12:48
Speaker 1: you know, we we have you know, we've seen the
12:53
Speaker 1: year of year inflation come down a bit in the
12:55
Speaker 1: last read, but we don't know if peak inflation is
12:58
Speaker 1: behind us. Uh, there's other external factors. But it's just
13:03
Speaker 1: a concern that the Fed will continue and and jpal
13:08
Speaker 1: said that right, he said that, Uh, they will do
13:12
Speaker 1: what it takes. Uh, the inverse of what Mario Drow
13:16
Speaker 1: said back in two thousand and twelve in terms of
13:19
Speaker 1: moving the other way and easy monetary policy. Ja Pale
13:23
Speaker 1: said he's going to tighten as far as he needs
13:26
Speaker 1: to to bring inflation down. And that's just put a
13:29
Speaker 1: lot of fear, anxiety, indigestion into the markets. And so
13:33
Speaker 1: we're seeing this extreme volatility day to day on the
13:36
Speaker 1: upside and the downside. What we saw on what we
13:39
Speaker 1: saw yesterday, what we saw in May five on the downside,
13:43
Speaker 1: extreme days. So David give us a sense of valuation. Here,
13:48
Speaker 1: a lot of folks as they try to and I
13:50
Speaker 1: think foolishly, try to catch the you know, call the
13:53
Speaker 1: bottom of the market. They might look at maybe evaluation
13:55
Speaker 1: as a metric here is this market get attractive from
14:01
Speaker 1: evaluation perspective? Or historically does your data show there's more
14:05
Speaker 1: to go? Um. Evaluation has never been a good measure,
14:11
Speaker 1: either on the upside of the downside. Uh. You know,
14:14
Speaker 1: typically what happens, and I like to say it is
14:17
Speaker 1: there's some maybe an external effect at an external event
14:21
Speaker 1: or something that starts to selling or something that starts
14:25
Speaker 1: to buying, and people look around and say, boy, look
14:27
Speaker 1: at valuation. Stocks are very attractive, and the buying begets
14:32
Speaker 1: more buying. Or when valuations are high, investors look around
14:36
Speaker 1: and say, well, look how high valuations are, and the
14:39
Speaker 1: selling begets selling. But you know, one thing we know
14:43
Speaker 1: for sure is is when rates are very low, as
14:47
Speaker 1: they have been for the past decade, we can support
14:51
Speaker 1: a higher valuation. Now rates are going higher and it's
14:55
Speaker 1: going to be harder to support those valuations. Uh, we've had, Tina,
14:59
Speaker 1: there is no alternative. Bond yields are up now and
15:03
Speaker 1: actually getting more attractive um. So so you know, we'll
15:07
Speaker 1: have an environment where we won't be able to or
15:10
Speaker 1: we probably won't be able to support the valuations that
15:14
Speaker 1: that we've had over these past years. So evaluations aren't
15:18
Speaker 1: the roadmap that perhaps other investors think it is. What
15:22
Speaker 1: do you look at margins. It's right now, right now, Critty,
15:29
Speaker 1: It's all about inflation. Right now. It is all about inflation.
15:33
Speaker 1: That was a message to our clients in our webinars
15:35
Speaker 1: this week. It's all about inflation. Uh. We you know,
15:40
Speaker 1: we saw what the retailers did to the markets, and
15:42
Speaker 1: that's a function of how inflation is impacting their bottom line.
15:47
Speaker 1: But as far as the macro impact on the markets,
15:52
Speaker 1: it's it's about, um does inflation come to? How much
15:56
Speaker 1: does inflation come down on zone? The thought was durable
15:59
Speaker 1: goods inflation would would be coming down already as the
16:03
Speaker 1: labor force and the supply chains. Heell, we're yet to
16:06
Speaker 1: see a lot of that. We're seeing a little bit
16:09
Speaker 1: of it. You know, if you look at some of
16:10
Speaker 1: the data, um, you know, if this continues, we saw
16:13
Speaker 1: housing starts uh lower than expected. Existing home sales are
16:18
Speaker 1: off um. In fact, existing home sales the lowest level
16:22
Speaker 1: in two years because mortgage rates have climbed so high.
16:26
Speaker 1: We're off a little bit this week, but still up
16:29
Speaker 1: around five and a half percent. Jobless claims higher than expected,
16:32
Speaker 1: so we're seeing a little bit of this come through,
16:35
Speaker 1: but it's it's really about where we go with inflation
16:39
Speaker 1: and can the FED back off on this aggressive monetary
16:44
Speaker 1: tightening schedule that they've they've has been suggested ahead of us.
16:48
Speaker 1: All right, David, good stuff. We always appreciate getting your perspective.
16:51
Speaker 1: David could founder CEO and CEO of Mainstay Capital Management
16:55
Speaker 1: and also notably he's a founder and sponsor of Engage,
16:57
Speaker 1: world's largest student stock pitch competition end conference that's hosted
17:01
Speaker 1: at the University of Michigan. So that's really a good
17:03
Speaker 1: opportunity for students to get a sense of what it's
17:06
Speaker 1: like to invest in these markets. And UH, David's a
17:09
Speaker 1: big supporter that appreciate that. I want to switch gears here,
17:17
Speaker 1: but it's kind of in line with what we just
17:19
Speaker 1: heard from President Biden welcoming the leaders of Finland and
17:22
Speaker 1: Sweden as they UH. Europe continues to deal with the
17:26
Speaker 1: war in Ukraine. Peter Plats or Sea of Spire spires
17:29
Speaker 1: a space the cloud analytics company that owns and operates
17:32
Speaker 1: the largest multipurpose constellation of satellite Peter, thanks so much
17:36
Speaker 1: for joining us here. I wonder if you could give
17:38
Speaker 1: us a sense of your company, what it does and
17:40
Speaker 1: and kind of how perhaps your customers are using satellites
17:44
Speaker 1: as they think about navigating around the ground war in
17:48
Speaker 1: the Ukraine. Absolutely, there are two elements respired data and
17:52
Speaker 1: analytics is helping customers. You know. One element is understanding
17:56
Speaker 1: the global supply chain, you know, where are products going? Uh,
18:00
Speaker 1: looking at how that has changed. You know, we've seen
18:03
Speaker 1: quite a bit of change in the in the Russian
18:05
Speaker 1: oil has been going, especially as as pipelines, consumption you know,
18:09
Speaker 1: might be decreased. You know, we see tankers going, you know,
18:12
Speaker 1: more to with Asia than to us in the traditional
18:14
Speaker 1: country that it has been going. We also have a
18:17
Speaker 1: good insight for our customers that are concerned with food
18:20
Speaker 1: supplies and countries. You know, Ukraine has been has been
18:23
Speaker 1: a bretty big supplier off of grains and other food
18:26
Speaker 1: elements and we've seen that decreased dramatically. And the second
18:30
Speaker 1: element where our data is relevant is an understanding you know,
18:34
Speaker 1: radio frequency emissions like GPS jamming on the ground and
18:38
Speaker 1: helping national and international security efforts. International security efforts Russia
18:44
Speaker 1: and Ukraine aren't the only tensions. Russia and China also
18:48
Speaker 1: uh and evolving relationship I think is the best way
18:51
Speaker 1: to put it. Is Spires Intelligence able to offer any
18:54
Speaker 1: insights there to the extent that I can talk about it. Yes,
18:59
Speaker 1: you know, the power off of satellite constellation is that
19:02
Speaker 1: it provides an objective, neutral and correct few from the
19:07
Speaker 1: ultimate highest vantage points space. Uh SPIRE owns and operates
19:12
Speaker 1: one of the largest constellations, the fourth largest on the planet.
19:15
Speaker 1: We on and operate the largest commercial r f G
19:18
Speaker 1: A location constellation with forty satellites UM and as such
19:22
Speaker 1: we do cover all of the regions you mentioned and
19:25
Speaker 1: indeed the rest of the globe about a hundred times
19:27
Speaker 1: a day, and that gives us a very objective few
19:32
Speaker 1: with data and analytics that can help support activities and
19:35
Speaker 1: understanding of what is happening, including access denied areas. Is
19:40
Speaker 1: there any evidence that you're seeing from your satellite imagery
19:42
Speaker 1: that Western ships are are maybe not visiting Russian ports
19:46
Speaker 1: that you know some of these uh I guess sanctions
19:50
Speaker 1: are in fact happening on the ground on the high seas. Absolutely, Um,
19:55
Speaker 1: there is absolutely you know, recently we looked at the data.
19:57
Speaker 1: There are no U. S flag ship so in any
20:00
Speaker 1: of the Russian ports for example. So yes, we do
20:03
Speaker 1: exactly see the impact of that, and even more so,
20:06
Speaker 1: we can detect and identify and alert where certain ships
20:11
Speaker 1: or certain flag carriers might be trying to circumvent certain sanctions,
20:16
Speaker 1: circumvent certain sanctions. I mean, this is probably we were
20:19
Speaker 1: talking about how the schemes are like Cold War esque
20:21
Speaker 1: almost it definitely feels feels cold War asked, So I
20:25
Speaker 1: have to ask is salite technology actually effective in the
20:28
Speaker 1: fog of war? That is the power of the type
20:32
Speaker 1: of technology that we are using, which is radio frequency based,
20:35
Speaker 1: because radio frequencies to the sorry to play the pun,
20:38
Speaker 1: you know, goes right through fog. Um. It is independent
20:41
Speaker 1: of sunlight, it is independent of the weather, and it
20:45
Speaker 1: listens to what is happening. Um. I come from Vienna.
20:48
Speaker 1: So just as in the Cold War you had to
20:50
Speaker 1: listen for footsteps around the corners of the of the
20:52
Speaker 1: hot streets of Vienna, um our satellites are capable of
20:57
Speaker 1: picking up information even when there is no sunlight and
21:00
Speaker 1: bad weather stuff, really fascinating stuff. Peter, really appreciate you
21:06
Speaker 1: taking the time. Peter Platzer, CEO of Spire. It's a
21:09
Speaker 1: publicly traded company on the New York Stock Exchange sp
21:12
Speaker 1: i R. Thanks for listening to the Bloomberg Markets podcast.
21:18
Speaker 1: You can subscribe and listen to interviews with Apple Podcasts
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Speaker 1: or whatever podcast platform you prefer. I'm Matt Miller. I'm
21:25
Speaker 1: on Twitter at Matt Miller three. Put on fall Sweeney
21:29
Speaker 1: I'm on Twitter at pt Sweeney before the podcast. You
21:31
Speaker 1: can always catch us worldwide at Bloomberg Radio