When you ask somebody who is not from california what californias biggest industry is, they will often guess technology. Thats incorrect. They will say, its probably entertainment because they are thinking of hollywood. That is incorrect as well. The answer is just south of here. Its agriculture. Just south of Silicon Valley, you will find artichokes and lettuce and Strawberry Fields forever. Plenty wants to bring agriculture into cities with robotic farms inside perfectly controlled and with amazingly high yields. Nate story is the cofounder. Thanks for being with us. Your vertical farms are shipping to 32 stores . You will build a new one in los angeles . Thats right. We are building a farm down there to ship to hundreds. How big can these farms get . When i talk about those fields that are just south of me sometimes i can smell the garlic and onions here in Silicon Valley. We are talk about miles upon miles. You are talking about a building. Can you scale to reach demand . You know,
Look particularly at the nasdaq, its up 16 year to date but the wait is what you have to think about. Facebook, apple, amazon, microsoft google are up 13 year to date. So youre seeing overweight in terms of really big companies. Any meaningful downward movement along them is going to result in broader index. Im not optimistic particularly nasdaq because i think its overinflated liquidation there is it too glib to say if vaccine hopes are met with real positive data that technology suffers from a whithering stayathome narrative, or is that too simplistic . Yeah, its a little simplistic, mostly because of the factors that are contributing to the tech growth are multivariant you have this issue of the low Interest Rate environment which is drawing a lot of yield, but you also have the fact that people staying at home use Digital Services more. You look at the streams services and the semiconductor and tip companies which are underlines and inputs on the digitization thats happening thats
President trump talking about trade gave us an insight into the u. S. And china in terms of negotiations. A lot of focus is on what is happening in hong kong with heightened tensions playing their part in a selloff. The u. S. 10 year yield is at 1. 1010. Eurodollar at coming up, we speak to a bank chief executive a little bit later on. Lets get straight to bloomberg first word news here in london. 3g capital is said to have submitted a bid for an elevator business. That comes as a surprise with 3g having made a name for itself buying food giants. They understand the elevator unit could fetch more than 15 billion euros. They are still debating a minority or majority stake. Hong kong has announced a suspension of all schools in the city. This as the security chief warns of unthinkable consequences if violence continues. Early commuters packed on to the first trains amidst calls to impede rushhour traffic. The International Energy agency says Global Oil Demand will likely plateau around t
The Halftime Report started right now. Welcome. Good to have you this thursday jim lav leventhal, the brothers najarian, we have a big show first we want to get to Steve Liesman who has just sat down at the table with what the fed may do in the weeks ahead. Yeah, scott i think the story has to do with that a pause is coming and the question becomes when its coming i think theres an oddson bet that the fed is likely to cut in october. But its a massive cut and if they cut in october, is the market thinking about that the fact that there would be some kind of pause and powell has signaled this several times publicly hes talked about the 1998 cutting regime three times this will be the third time. I will tell you, the comment yesterday from charlie evans, a guy who has been massively in favor of rate cuts, he said i dont push any cuts the rest of the year match that from tweets of others, too. And kaplan said said im agnostic about additional rate cuts and there was a speech by powell, ev
London and various european capitals on whether or not Boris Johnsons deal will fly. The lira trading lower by around a percent today. I suspect that has to do more with Interest Rates than what is potentially happening in syria. Vonnie hsbc looking to cut 10,000 jobs, dropping its french Retail Business entirely. The interim ceo looking to potentially take the reins on a permanent basis. Banks begin reporting next week. We are with mike mayo, wells fargo managing director and head of u. S. Largecap research. Not a huge amount, but still, 10,000 jobs is very substantial. Does hsbc need to rethink its strategy and potentially become a china vanke once more . Mike i think all banks globally need to rethink their strategies. A response to slow revenue growth, what do you need to do to control the bottom line . Control expenses. One way you do that is with technology. Benefit of technology at banks is in the nontechnology space, and that comes down to headcount. Youre seeing that other ban