Markets Price in AI and Geopolitics

Summary

Bloomberg Surveillance – "Markets Price in AI and Geopolitics"

Date: July 10, 2026
Hosts: Tom Keene, Paul Sweeney, Lisa Abramowicz, Annmarie Hordern
Notable Guests: George Noble (Noble Capital Advisors), Neil Dutta (Renaissance Macro), Marques Colston (Champion Fund), Guest from Pelgo

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Episode Overview

This episode of Bloomberg Surveillance dives into the intersection of AI-driven market euphoria, global capital flows, and challenges in both the energy and sports investment landscapes. It also provides candid commentary on the broader macroeconomic climate, U.S. and global market opportunities, regulatory issues, and the profound societal implications of AI’s advance. The episode is rich with seasoned investor wisdom, skepticism about current bubbles, and actionable insights for listeners grappling with a rapidly changing financial world.

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Key Segments and Insights

1. Market Euphoria and the AI Bubble

[02:39–06:02 | George Noble Interview]

• Discussion Summary:
  Tom Keene and Paul Sweeney query veteran investor George Noble on the historic characteristics and risks of market euphoria, referencing John Kenneth Galbraith’s classic work, "A Short History of Financial Euphoria." Noble draws parallels between historical bubbles and the current surge in AI enthusiasm and capital flows.

• Key Insights:

  • Bubbles are driven by unchanging human nature—fear and greed—regardless of the era or asset class.
  • The defining feature of a bubble: “something that changes human behavior...that people do things that they wouldn't do otherwise, whether it's because of FOMO, fear of missing out, or otherwise.” (George Noble, [03:39])
  • Current AI investment flows are extraordinary, with “much worse” bubble dynamics than the dot-com era:
    “Julian Garrett… has made a calculation that this bubble, this malinvestment is 17 times what we saw in the era of dot com.” (George Noble, [05:30])
  • Despite doubts about AI’s near-term ROI, capital continues to flood into the sector, dwarfing previous speculative cycles.

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2. IPOs, SpaceX, and Valuation Mania

[06:19–09:44 | George Noble Interview Continued]

• Discussion Summary:
  Tom Keene points to major IPOs—particularly SpaceX—as emblematic of frothy valuations backed more by narrative than fundamentals.

• Key Insights:

  • Buying companies at extreme valuations (e.g., over 10x revenues, and SpaceX at 120x) is historically disastrous.
  • SpaceX faces a “staggered lockup” share release that may hit retail investors:
    “Grandma's 401k is the exit liquidity for this manipulation.” (George Noble, [08:04])
  • Regulators, according to Noble, tend to act only after damage is done: “The regulators are asleep at the wheel. They only usually jump into action after the car crashes occur.” ([08:04])
  • Musk’s personal brand continues to drive valuations, leading to potentially historic misallocations:
    • “Tesla is probably the biggest misallocation of capital at scale in the history of stock markets. Perhaps only surpassed by SpaceX.” (George Noble, [09:44])

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3. Where Is Value Now? Commodities, Energy, and Global Rotation

[10:43–12:43 | George Noble on Investment Opportunities]

• Discussion Summary:
  Noble pivots to constructive views—thematic focus on energy, commodities, and select global markets.

• Key Insights:

  • Energy is a major concern: “I think we're sleepwalking into the biggest energy dislocation in history.” ([10:52])
  • Gold and energy stocks have “very little downside and potentially a lot of upside.”
    • Specific example: “SSRM as an example, seven times earnings…” ([11:45])
  • Concerns about “picks and shovels” trades around AI: derivative investments (e.g., utilities powering data centers) could falter if the AI trade unravels.

• Memorable Moment:
  “They said, yeah, but what happens if you buy the picks and shovels and there's no gold in them hills?” ([12:03])

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4. Global Markets, Private Credit, and U.S. vs. Overseas

[12:43–14:26 | George Noble on Market Correlations and Private Markets]

• Key Insights:
  • Correlations between global equity markets have increased due to globalization—“Now... the correlations are much higher.”
  • Private credit and private equity expansion reminiscent of past bubbles: “Deja vu all over again as Yogi would say.” ([14:05])
  • On global rotation: The rest of the world’s earnings growth is now competing with the U.S., particularly Japan, Brazil, and China ([14:26]).

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5. The Economy in Focus: GDP, Labor, Housing, and AI Wealth

[19:38–25:43 | Neil Dutta Segment]

• Discussion Summary:
  Macroeconomist Neil Dutta provides a nuanced take on the economy—acknowledging strong headline nominal GDP growth yet noting underlying fragilities and uneven sector performance.

• Key Insights:

  • There’s a “disconnect between the income that's being generated from the labor market and the growth that's being generated out of the economy.” (Neil Dutta, [20:07])
  • Housing and labor markets remain sluggish, offsetting some of the paper gains from the AI-driven equity boom.
  • AI’s boom manifests in “spectacular equipment and software spending,” but most of the economy remains in slow growth mode ([21:38]).
  • Dutta is cautious—cites fading hiring intentions, tough job-finding rates, and a flat housing market.
  • On new Fed leadership and its economic task forces: “It's a sort of who's who of economic policymaking and central banking… an incredibly impressive roster of people. But... these are people that go to Jackson Hole... [and] are ideologically predisposed…” ([24:00])
  • Cautions against expecting rapid policy shifts from the Fed’s new commissions.

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6. Sports, Alternative Assets & The Champion Fund

[29:33–36:08 | Marques Colston Interview]

• Discussion Summary:
  Former NFL star Marques Colston outlines his launch of the Champion Fund, designed to democratize access to the “sports asset class.”

• Key Insights:

  • Champion Fund aims to “make the sports asset class accessible to every investor” ([30:45]).
  • Targeting undervalued and emerging leagues, sports tech, hospitality, and media, with the media rights boom seen as a key value catalyst.
  • Streaming platforms (Amazon, Netflix) will change the media rights landscape, raising all asset values in the value chain ([33:54]).
  • On betting in sports: “It's everywhere…But you see it everywhere, plastered everywhere…The house always wins.” (Marques Colston, [34:41] and [34:58])
  • Insight on legendary QB Drew Brees: "[He] just made the game so easy...If you were able to see the field the same way as he did, he made the game so easy." ([35:26])

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7. The AI Workforce Disruption, U.S.-Asia Tech Race, and Policy

[39:30–45:36 | Pelgo CEO Interview]

• Discussion Summary:
  With tech investment and AI adoption reshaping economies, the show spotlights U.S.-Asia innovation competition, job displacement, and social safety nets.

• Key Insights:

  • America's entrepreneurial environment continues to attract global capital, but opportunity is globalizing, especially in Asia ([40:21]).
  • On AI and jobs: "In the short run, will it be a net destroyer of jobs? I'm in that camp...but in the long term...there's going to be growth." ([41:15])
  • The U.S. lacks robust safety nets for tech-displaced workers: “We don’t have great safety nets for folks...So Pelgo, what we do is...there are resources these folks really need. And if you’re displacing them...there’s things that are owed to them, including outplacement...” ([42:14])
  • U.S. vs. China on AI and technology: The U.S. must support entrepreneurship, compete globally, and understand AI’s epochal significance—comparable to the rise of the internet ([43:54]).
  • On the AI cycle: “We’re probably in the equivalent of 2099. Things are a bit frothy...But 20 years later...almost everything that was promised actually became true. So I think we're in a similar stage of AI development.” ([44:40])

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Noteworthy Quotes & Moments

• On Bubbles:
  “There's really nothing new under the sun...it's fear and greed.” – George Noble ([03:10])

• On AI Hype:
  “Show me the money. Where's the ROI? And I don't see it. And I don't see it coming either.” – George Noble ([03:39])

• On IPO Lockups:
  “Grandma's 401k is the exit liquidity for this manipulation.” – George Noble ([08:04])

• On Commodities:
  “I think we're sleepwalking into the biggest energy dislocation in history.” – George Noble ([10:52])

• On Global Investing:
  “I can lose money just as well between 9:30am and 4:00pm Eastern Time.” – George Noble, on the futility of 24-hour global trading ([13:02])

• On Policy and the Fed:
  “It's a sort of who's who of economic policymaking and central banking.” – Neil Dutta ([24:00])

• On Sports Investment:
  "The biggest value catalyst for...the asset class itself, the athletes, the fans, the coaches, administrators, they create all the value, but get none of the equity in it." – Marques Colston ([30:45])

• On AI & Jobs:
  "Will [AI] be a net destroyer of jobs? I'm in that camp. I do think many, many jobs, many white collar jobs are going to go away." – Pelgo CEO ([41:15])

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Timestamps for Important Segments

| Timestamp | Topic | |-----------|---------------------------------------------------------| | 02:39 | George Noble on Financial Euphoria & AI Bubble | | 06:19 | SpaceX IPO, Valuations, and Regulatory Policy | | 10:43 | Where to Find Value Now—Energy, Gold, Commodities | | 12:43 | Global Markets, Correlations, Private Credit | | 19:38 | Neil Dutta on U.S. Macro & AI-Driven Wealth Effects | | 24:00 | Fed Task Forces and Policy Implications | | 29:33 | Marques Colston on The Champion Fund & Sports Assets | | 33:54 | Sports Media Rights & Streaming Evolution | | 39:30 | AI, Global Innovation, and Workforce Disruption | | 43:54 | U.S.-China Tech Race, Policy, and the Next "Internet" | | 44:40 | Is AI in a 1999 Moment? |

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Tone & Style

The tone is pragmatic with flashes of dry wit, a heavy dose of skeptical expertise (especially from George Noble), and a mix of optimism and realism across the guest interviews. Conversation is fast-paced, punctuated with nostalgia, investor war stories, and real-world warnings about bubbles and policy lags.

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Conclusion

This episode offers a wide-ranging, candid exploration of current financial euphoria (especially in AI), dangers lurking beneath record capital flows, the global shift in economic opportunity, and the human impacts of technological change. Both institutional and retail audiences receive actionable wisdom—seek value beyond the hype, beware ‘new’ paradigms that echo the past, and recognize both the promise and pitfalls globalization and AI bring to markets and society.

Transcript

[Tom Keene]

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[Tom Keene]

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[Paul Sweeney]

I got eight ways to go. I'm going to ask one look back question and then we got to look at the present tense right now because you're fired up out on LinkedIn and Twitter. Everybody needs to read 128 pages. John Kenneth Galbraith lived almost to a Greenspan 100. A Short History of financial euphoria. It's an exquisite jewel. I'll put it out on Twitter and LinkedIn. What's the character of our financial euphoria right now? Ala J.K. gilbraith.

[George Noble]

Tom Great to be here. There's really nothing new under the sun. And that's because human nature doesn't change. The characters change, the names change. But it's fear and greed. We can go back to the South Sea bubble. Dutch Tulip bowl mania. History repeats itself over and over again.

[Tom Keene]

Put AI into that context here because people have been positioning AI other than electricity. There's been nothing more important than AI. How do you think about just this whole concept writ large?

[George Noble]

I'm not bearish on AI per se. I'm sure we're all going to use it. Many of us are using it already. The question is, what's the ROI on the AI? It starts out the way these bubbles all start. There's a kernel of truth that captures the imagination of the individual. Whether it's the South Sea bubble or it's Dutch tulip bulbs or it's dot com, which I've lived through and it starts out as a good idea. But what happens is the price changes immeasurably. And the best definition I've actually heard of a bubble. There are many definitions. The best one I've heard is is something that changes human behavior. That people do things that they wouldn't do otherwise, whether it's because of fomo, fear of missing out or otherwise. And I think that's kind of where we are with AI. I'm happy to change my mind, but show me the money. Where's the roi? And I don't see it. And I don't see it coming either.

[Tom Keene]

It doesn't seem to be deterring capital from flowing to that business. We've seen extraordinary amounts of equity raised. Now we're seeing tech companies and everything. Thought about the bond market. Raising tens of billions of dollars in investment grade bond market. We've got a Korean company listing its adrs today here in the us. I mean that I've been on global Wall street for 30 years. I've never seen this amount of money flow.

[George Noble]

The things you. I read the same sources you do. I file that under my category on X of things you don't see at the bottom. We've seen this movie before with Japanese subtitles Housing subtitles Tech subtitles go back to Dotcom. I actually think this is much worse than Dotcom. Simply because the sums involved are that much greater.

[Paul Sweeney]

This is really important because you know, the fossils sitting around the table. You know we talked about Will Danoff a couple of days ago. Remember being in [e-mail] and all that. What's the distinction right now versus 98, 99 and then what we enjoyed in 01.

[George Noble]

Again, I want to elaborate on the sheer magnitude of this. Julian Garrett of Macro Strategy Partners in the uk, erudite economist of known many years has made a calculation that this bubble, this malinvestment is 17 times, 17 times what we saw in the era of dot com. And what's allied to that, what's really important is the sums involved are so much larger relative to the root to the real economy. The fallout from this could really be much more significant for global Wall Street.

[Paul Sweeney]

On this Friday, a real treat. George Noble with us of course definitive fidelity with Mr. Lynch a few years ago. It is Noble Capital Advisors. He's been on fire out on LinkedIn and Twitter with his criticism of the moment at hand. Paul Sweeney with George Noble again.

[Tom Keene]

Another definitive part in this market was the IPO of a company called SpaceX.

[George Noble]

Oh my, I thought you'd never ask.

[Tom Keene]

What do you make of that? I mean I can't imagine sitting in a Fidelity office conference room and the bankers bring Elon Musk in to make this pitch. I would have loved to have been a fly on the wall. What do you make of that?

[George Noble]

History shows that buying companies at over 10 times revenues usually ends very badly. We all recall Scott McNeely famously in some microsystems. What happens, what do you have to what your return is going to be if you buy some 10x, this is 120 times revenues. And even if you look at the company's projection, I mean they're already borrowing money. Look at the company's projection, they'll be cash flow negative for years to come. And here's the worst part of SpaceX, which I don't want to engage in the captain obvious thinking but the thing everyone should consider, and that is the staggered lockup that we're now the unlock that we're looking at starting from next month when the quarterly earnings come out, you're 20% of the shares come unlocked shortly thereafter and then there's a whole series of unlocks. 7% every 20 or 30 days. By December, 100% of the shares will be freely floating. The point of the important point that investors should understand is even without any change in the fundamentals, when you go from a 5% float to 100% float.

[Paul Sweeney]

George, in the old days when you would take a two hour lunch at lockovers and you used to hold court there off the bar. But in the old days when a company went public, it like took its shares public and maybe they had a little stub that kept private. Now we're unloading 5% of the public. To me it's manipulative. Should regulators step in and get the initial public offering market back to a normal segmentation, 100%.

[George Noble]

It's not a question of what's legal or illegal, it's just not right. Society is not well served by allowing this. Grandma's 401k is the exit liquidity for this manipulation. And I think the regulators are asleep at the wheel. They only usually jump into action after the car crashes occur.

[Paul Sweeney]

Gensler sat in this chair recently and I said to Gary Gensler, I said, okay, you let Bitcoin in, I get it, it's a free market and all that, but what do you say to retail that enjoyed bit dog at 110 and it's now down at 60? SpaceX. Okay, it's back to 150. I'm watching the debt of Space X. To be blunt, it can't find a

[George Noble]

bid allied to that. Tom, I promise you that once it goes under the offering price and the unlock shares come to market, the insiders who are in a tenth of the current price, they're going to hit the bid so fast it's going to make.

[Paul Sweeney]

Well, I got to make some news here to be honest. Fidelity was way out front, Mr. Musk, on this. Would you recommend that Abby Johnson and the team sell their Space X?

[George Noble]

They know the company better than I do. Let's just say if I was handed a portfolio, Philly were to rehire me, I would sell it right away.

[Tom Keene]

Elon Musk, you have to. I'm not sure we've seen anything like this in terms of the value that gets described to Mr. Musk relative to the earnings, relative to the cash flow. We've seen it year for years in Tesla. And you look at the Tesla analysts, the auto analysts all have holds or sells on it for and they've been wrong. And the tech council have all been saying just buy it. It's Elon. It's Elon. It's autonomous robots and all that kind of stuff. Have you seen that in the past? Where one individual can have such an influence on valuation?

[George Noble]

No, I think Tesla is probably the biggest misallocation of capital at scale in the history of stock markets. Perhaps only surpassed by SpaceX. I was one of those wrong analysts. I'm a fossil. I happen to be the auto analyst for Peter Lynch. In 1981 we went to Detroit to visit Chrysler, Ford and GM. So I know of what I speak. Fundamental work does not, has not guided one. In the case of Tesla, I think, however, though he's bitten off more than he can chew. Now everyone's speculating whether or not Space X may merge, take over Tesla. I have no special insight on that. But if I had to gamble, if I had to speculate, nothing ever speculate. I would say it's a reasonable speculation.

[Paul Sweeney]

Let me reintroduce here worldwide, including overseas and across America. George Noble with us for years. Definitive in the business of overseas investment. Fidelity thrilled. He's in our studio today. Controversial to say the least, on the euphoria at hand. Paul Sweeney.

[Tom Keene]

So, George, where do you see opportunity these days? I'm sure you look various markets, various geographies. Where do you see value these days?

[George Noble]

It's a market of stocks. As Peter Jose used to say, don't try to call the market. I think there are outstanding opportunities right now in energy. I'm actually quite concerned about the energy picture. I think we're sleepwalking into the biggest energy dislocation in history. You look at the disparity between the divergence between the financial market for oil and the physical market for oil. We're between a rock and a hard place. The energy stocks, crude has sold off significantly the last few weeks, as have the energy stocks. I think the risk reward is very appealing. There's very little downside and potentially a lot of upside. I like reflation. Generally speaking. Gold stocks, I think are a huge buy right here. SSRM as an example, seven times earnings, not cash flow. Seven times earnings. All right, so gold stocks, energy stocks, other commodity names like some of the copper names, they're all very interesting to me.

[Tom Keene]

Part of this AI story, to the extent people are looking for other ways to buy it other than the chips, has been some of the picks and shovels. One of them has been energy. How are we going to power all these data centers that are being built in everybody's backyard? I mean, are they going to stick little nuclear reactors next to each one? How are we going to do that?

[Paul Sweeney]

It took thermodynamics.

[Tom Keene]

Exactly.

[George Noble]

Well, one thing you shouldn't do is buy oklo, which is one of the biggest frauds out there on the market right now. But that's a whole other story. Oklo, we've been short that for A year. The problem with some of the names you mentioned, some of the utility stocks, if the AI trade comes unstuck, and I believe it will, I think a lot of those derivative plays are going to take on water. Crude's a little different, so slightly different orbit, but a lot of the derivative power plays I think are going to have a big problem. One last joke. It was a great line someone used a few weeks ago on me talking about oh, you know, you got to buy the picks and shovels. They said, yeah, but what happens if you buy the picks and shovels and there's no gold in them hills?

[Paul Sweeney]

George, I got to get two things in here that I think our audience is really interested in. And overseas in the huge ups in some of the challenges. You added Teton as well. Are you correlated on overseas to what the dollar does? Like, do you have to have a weak dollar to make overseas work?

[George Noble]

No, you don't, but it's a very good question. You don't need a weaker dollar. What you need to keep in mind is the economic cycles across different geographies varies enormously and that's what you're trying to anticipate. You need to have somewhat of a top down perspective, not just bottom up when you're investing internationally. However, one thing I will say, the dirty secret they don't tell you anymore. Way back when, when I was a young and in the early 80s of Fidelity, it was much less correlation between the markets. Now given the increasing interlinkage between markets, the correlations are much higher. I like to joke, why do I need to be up at 10 o' clock at night trading the Japanese market, get up at 5am to watch the London market. I can lose money just as well between 9:30am and 4:00pm Eastern Time. And I can get and I can

[Paul Sweeney]

get on that and of course on private credit. I know you've been in the dump known as the St. Regis. The old St. Regis in Beijing was an absolute dump. Folks. I'm sitting there in the 90s listening to CDO Squared stuff in Bankers kitty and the whole thing. Are we doing a redux there on private credit and private equity where there's some shadows to say the least.

[George Noble]

You couldn't have said it better. My father always used to like to say there's two ways of learning things either by precept or by experience. It's much more economical to it by precept. We're all human. We all think this is brand new deja vu all over again as Yogi would say.

[Tom Keene]

So how about just real quick, us versus non US how do you think about that these days? Because there was a flight out of the U.S. when this tariff story started happening.

[George Noble]

Sure, the U.S. we had more than a decade of outperformance largely on the back of the fact that US had much superior earnings growth that was justified, largely led by tech. Okay. But now that we're in this global reflation growth is not as scarce as it was. So the rest of the world, relatively speaking, starts to do the gap closes. And in fact the earnings growth in a lot of the foreign markets exceeds what you see in the US right now in particular. But not all. It's rather heterogeneous group. So I think Japan's interesting. I think selected emerging markets like Brazil and China, but you can't color them all with the same brush.

[Paul Sweeney]

I got to ask one final question and I'm doing this for 92. 9. Good Morning up in Boston. Thrilled that you're with us From Mount Katahdin down to the National Hotel on Block Island. George Noble. There was a girl that was just sort of at Fidelity. She came out of Hobart. William Smith had a name named Johnson. And Fidelity was there when you were there and after you were there. What Abby Johnson has done at Fidelity is a miracle. I mean, are you surprised or shocked at what her leadership has done there? After the turmoil of going from dad

[George Noble]

to daughter, it really has been outstanding. You know, is a wonderful company. I think it was. Garrett Morrison, Saturday Night Live used to say Fidelity been very, very good to me, it's extremely well run company. Ned was fantastic. She's done a fantastic job as well. When I joined Fidelity, you're gonna laugh. Last thing I'll say, they had 8 billion under management. I think only 3 billion in equities. Fidelity, believe it or not, only hired two people a year back in 1981. They came through the 70s, they lost money. Some years they had layoffs and now they're 18 trillion is the final line. I think it comes from Ned Johnson himself or something like never confuse brains with a bull market. So we'll do that.

[Paul Sweeney]

You can leave right now. George Noble, thank you so much. Definitive at Fidelity Overseas. Can't say enough about. Look for him out on LinkedIn alone and on Twitter. His caution of these times of euphoria. Stay with us. More from Bloomberg Surveillance coming up after this.

[Tom Keene]

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[George Noble]

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[Paul Sweeney]

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[Tom Keene]

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[Bloomberg Host]

You're listening to the Bloomberg Surveillance Podcast. Catch us live weekday afternoons from 7 to 10am Eastern. Listen on Apple CarPlay and Android Auto with the Bloomberg Business app or watch us live on YouTube.

[Paul Sweeney]

Join you'll daughter with us. It's been way too long. My economist of the year a few years back all were gloomy. He was optimistic and was wonderfully correct into a sustained high nominal gdp, lower employer unemployment market. Neil daughter, let's start with that. I think we have a set of stimuli. We have buoyant nominal gdp. Can that sustain?

[Neil Dutta]

Well, I mean, thanks for having me on, Tom. You know, I think the main disconnect right now in the economic data as I see it is, you know, as you mentioned, you have very strong nominal GDP growth. You have relatively modest nominal income growth. So, you know, there's a disconnect between the income that's being generated from the labor market and the growth that's being generated out of the economy. And, you know, normally those two things, you know, move more or less on top of each other. So how you think that reconciles over the next, you know, six to 12 months I think will go a long way in kind of informing people about, you know, how you think what the outlook policy would be. Right. But, you know, there's, you know, my own view is that I suspect GDP growth looks a little bit more sluggish. I mean, certainly in real terms there really isn't a whole lot going on in the economy.

[Paul Sweeney]

Right.

[Neil Dutta]

GDP is not is no great shakes for the last couple of quarters. I mean, we're talking about something less than 2%.

[Paul Sweeney]

I mean, I look at this and I look at the two Americans, Axios with a brilliant note. Paul this morning talking about the three worlds of AI, there's all these demarcations. Can you aggregate? Neil Dutta now, when you put together a Friday Note, when Jeff DeGraff calls you up on line two at Run Mag and he says, what the hell is going on? Can you aggregate this economy or are we just subsets of whatever we're doing?

[Neil Dutta]

Jeff is calling me on a Friday. I'm probably not picking up the phone, but yeah, I mean, I think if you're a little bit more cautious on the outlook as I am, I think what you can say is that the economy is uneven. Uneven, okay. You know, you don't really have much growth and structures investment, right. So, you know, that's sort of a proxy for commercial real estate. You don't have much in residential investment. I mean, we're seeing existing home sales kind of bounce along the lows New home sales remain very sluggish. Builders continue to cut back on their starts guidance for the year. Right. So there's not a lot of residential construction going on right now. And then when you look at the consumer, the consumer is resilient. But I'd hardly call it gangbusters. I mean, we're talking about again, you know, something along the order of, you know, the last couple of quarters, around 1 1/2 to 2% real consumption growth. And then on the other hand, on the positive side of the ledger, you have this sort of spectacular AI boom that's driving up equipment and software spending and that's, you know, that probably has a role in other areas of the economy indirectly. Right. I mean it supports a wealth effect for consumers. For example, it supports state government budgets because they get a huge windfall from the, the equity market appreciation. So I think what you can say is that it's an uneven economy. And you know, look, I mean from my perspective, I'm sort of like a housing, I'm very clear about my sort of my own reaction function. Right. I mean I'm a very housing and labor market sensitive person. And generally speaking, I've seen hiring intentions come down this year. Job finding rates get more challenging. You see that across many surveys of consumers. And the housing market remains quite sluggish. So that to me, I guess leaves me a little bit more, in contrast to a few years, I'm more on the cautious side of the ledger.

[Tom Keene]

Neil, we saw just recently Fed Chairman Walsh release his list of leaders of the various task forces that he has set up. Love to get your thoughts on some of his selections.

[Neil Dutta]

Well, I mean it's a sort of who's who of, of economic policymaking and central banking. I mean, in a note to clients today, I kind of mentioned that a Bill Pulte to the DNI situation. This is not, yeah, this is a, this is a, an incredibly impressive roster of people. But it's, and it's credibility, credibility enhancing for the chair himself as he kind of sets out to leave his mark on the institution that he now finds himself leading. I would just say that a lot of these people are a, already on the Fed speed dial. I mean these are people that go to Jackson Hole, for example. The idea that their views aren't well known within the Fed already I think is probably not right. And they're also in many cases ideologically predisposed to some of warsh's long held rates. And, but that also means that it's going to be a bit of a leap to get the rest of the committee to agree. I mean, Raghuram Rajan and Jeremy Stein don't have votes on the fomc.

[Paul Sweeney]

Neil, I need to interrupt because we have to go. Your first note on these task force is incredibly profoundly important. I was absolutely blown away by the quality. And when you look at the Trump appointments across a term and a half, it's radically different than anything we've seen from anywhere by the President. I mean, it is shocking when you see William White, Waghurajan and others on this list. I mean, it's an exquisite set of names on these task force.

[Neil Dutta]

Yes, it's the very serious people, Tom. But you know, I will, I will tell you that when you have a lot of very serious people leading these committees, I almost get like sort of a bit of Simpson Bowles vibes from this. Yeah, serious things. But what really changes in the end? And you know, I think it's maybe it's akin to, you know, him buying time with like maybe a shadow fomc. But as I say, my advice to investors is to keep focusing on the members of the committee that are willing to put right. So that's, that's sort of, that's sort of where I'm at.

[Paul Sweeney]

Neil Daughter, thank you. Thank you. Thank you for that note, folks. Get that note from Ren Mac this morning. It's just exquisite on the new task force that Chairman Warsh has mentioned. Stay with us. More from Bloomberg Surveillance coming up after this.

[Tom Keene]

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[Tom Keene]

Support for the show comes from public.com if you're actively involved in your portfolio, you probably catch yourself repeating the same actions. Buying the dip, manually sweeping idle cash, putting on a hedge on public. You can now create AI agents that handle all these tasks on your behalf. Just describe what you want to do in plain English like if the Vix hits 25, buy a put option on the S&P 500. Or if my cash balance goes above $20,000, move the excess into my direct index. You approve the workflow and your agent handles the risk, monitoring the market, watching for your conditions and executing your strategies exactly. As defined, an investing platform driven by your intent, not just your clicks. You can also get full read and write access to your account via the public API. Go to public.com market and fund your account in five minutes or less. That's public.com market paid for by Public Investing Brokerage Services by Open to the Public Investing Inc. Member FINRA and SIPC Advisory Services by Public Advisors, LLC, SEC registered advisor complete

[Tony Ayo]

disclosures [e-mail] disclosures this is Tony Ayo from the Real Report with Tony Ayo and Uncle Murder. You ever notice how everything keeps going up? Rent's going up, streaming services are going up. Even your favorite burrito spot suddenly thinks salsa should cost extra. But with Boost Mobile, you and your phone bill don't have to play the Will this go up soon? Game because Boost Mobile has an unlimited talk, text and data plan at a price that'll never go up. It's the same price you'll pay for life, meaning you're set to never worry about your bill increasing again for as long as you're on the plan. While the world keeps finding new ways to nickel and dime you, Boost Mobile gives you unlimited wireless at one set price for life. Imagine something in your budget actually staying the same. You'll pay the same for unlimited wireless when you're posting mirror selfies in your 20s and when you're posting mirror selfies in retirement. Some things never change. Switch now for unlimited wireless at a price that'll never go up. Only at boost mobile. After 30 gigabytes, customers may experience slower speeds. Customers will pay $25 a month as long as they remain active on the Boost Unlimited plan.

[Bloomberg Host]

You're listening to the Bloomberg Surveillance Podcast. Catch us live weekday afternoons from 7 to 10am Eastern. Listen on Apple CarPlay and Android Auto with the Bloomberg Business app or watch us live on YouTube.

[Paul Sweeney]

I'll cut to the chase. What if he played for the Giants? The Giants is 11 times bigger than the New Orleans market. Yep, he is the most unsung giant of wide receiver football in the history of the league. There's no one close. I think a Cliff Branch at Oakland who I knew at Boulder years ago. Everybody you know, Marcus Colson joins us now from his New Orleans Saints with all of his accolade over the years and he's kept it going out of Hofster Paul with his philanthropy as well.

[Tom Keene]

Marques Colston joins us here. He's the founder of the Champion Fund. Before we get to your fund, Marques, seventh round out of Hofstra. Yep. Dude, how did you make 10 years in the NFL and then become like the top receiver for the Saints. How did that happen? Talk about a long shot.

[Marques Colston]

Yeah, I mean, it's one of those things where I think the way that I came in, I was never able to get comfortable, never felt like I had job security. And once you get into kind of that mindset, you just keep striving for the next thing. So 10 years later, I was able to leave. Pretty accomplished.

[Tom Keene]

Awesome story, man. Talk to us about the Champion Fund. What is it and what are you trying to accomplish here?

[Marques Colston]

Sure. So the Champion Fund is an interval fund, so it's an SEC registered fund. And the mission and vision here is to make the sports asset class accessible to every investor. Over the last decade or so, we've seen more and more, you know, news and more and more conversation around the sports asset class and how it's growing. But it's typically been institutional investors only. And what we know, me personally, you know, being the product on the field, as a player, transitioning into the investment world, having some owner, ownership and operational experience for about seven years. So I've been able to see this asset class from a bunch of different lenses. And the one thing that you realize is the biggest value catalyst for, for the asset class itself, the athletes, the fans, the coaches, administrators, they create all the value, but get none of the equity in it. So the Champion Fund is really a vehicle that makes that whole asset class accessible to everyone. The response, it's been a really good response. Right now we're out trying to secure those anchor investors, those institutional investors to kind of anchor the fund. But the concept has been really well received. The portfolio companies that we're in right now really love the concept of being able to get to kind of a distribution network of investors that typically they wouldn't have access to. So it's been well received.

[Tom Keene]

Where do you guys see value today? Because I mean, the numbers have just gotten so huge. Like the NFL is not even a billionaires club anymore. It's private equity, it's institutional money, and even the NBA. The value of these franchises, where do you see value in some of these, maybe other areas of sports that are also growing?

[Marques Colston]

I mean, that's, that's where we see the biggest value. We call it the value chain. So. So the fund itself breaks down across five different, what we call sub asset classes. So, so there's the sports teams themselves, which our focus will be typically on those emerging leagues. So think Syria. That's, that's, you know, slightly underrated from a media value perspective. We're looking at sports sports ventures which is growth stage technology companies could be fan engagement tech, could be ticketing technology. We're looking at media and services businesses. We're also looking at real estate hospitality, that could be sports anchored mixed use, that could be stadium development itself. And then we're looking at fund to funds. So you know, established fund managers that have a track record have their own thesis. So we've taken the asset class. We see value in all these different five buckets. And what we really believe is the true catalyst for all of the growth in the valuation is the meteorites.

[Tom Keene]

Yes.

[Marques Colston]

So as meteorites kind of displace and find their way downstream, we see kind of a high tide effect.

[Tom Keene]

So it's interesting. Like one of the leagues that really experienced explosive growth is the wnba and that's been just extraordinary over the last two or three years. They renegotiate their media rights pretty darn quickly here. How do the streaming services fit in here? I mean is that going to be a source of meteorites growth do you think for a lot of these, maybe smaller leagues?

[Marques Colston]

Yeah, I think that's where the displacement is going to come. I think when you look at the linear broadcast networks that have traditionally been in the space, you're starting to see the Amazons and Netflixes of the world start to enter the space in a more meaningful way. Those media rights and those broadcast holders, the rights holders have to go somewhere else.

[Paul Sweeney]

I got three questions. I got to squeeze them in here. How do you react in soccer when they fall down and fake like they're hurt? I want to know the truth. I literally turned it, I played hockey. I literally turned the TV off. What does Marquis Colton do?

[Marques Colston]

It doesn't register for me.

[Paul Sweeney]

Talk about the betting. When you were playing it was Drew Brees is going to throw it at Marquis. Let's bet on it. It wasn't there, was it? Talk to the kids now about betting.

[Marques Colston]

I mean it's, it's, it's prevalent. It's everywhere and it's one of those, those double edged swords. They tell you not to get involved with it but you see it everywhere, plastered everywhere. You know, it's, it's a, it's a touchy, it's a touchy thing. It's, it's, it's going to be in the game.

[Paul Sweeney]

Anybody who's made money at it over long term.

[Marques Colston]

No, the house always wins.

[Paul Sweeney]

I got one final question. We get a huge response to you being on the show. I don't know much about football but I know that Drew Brees threw the ball totally different than anybody else. And like in, almost like in cricket or in baseball, the torque, the spin on the ball, I guess, was like once in a generation, what was like catching that ball 20 yards?

[Marques Colston]

I'd say it was, it was, it was moving a lot faster than you think. But he just made the game so easy. It was just the way he saw the field. If you were able to see the field the same way as he did, he made the game so easy he would throw it away. You could be covered and still be open at the same time.

[Tom Keene]

So what's next here for the fund here? What's next?

[Marques Colston]

It's really just continuing to tell the story, continuing to find those anchor investor partnerships and just continue to get the word out. We feel like we're building something that's unique and special.

[Paul Sweeney]

An email just came in. What do you think of the Lions this year? Are they stacked?

[Neil Dutta]

They're great.

[Marques Colston]

I think this is the year I think you'll see more parity than any other year.

[Paul Sweeney]

Great, Marcus. Thank you so much. Marcus Colton with us of the New Orleans Saints with all of his work, the champion. Stay with us. More from Bloomberg Surveillance coming up after this.

[Tom Keene]

Support for the show comes from public.com if you're actively involved in your portfolio, you probably catch yourself repeating the same actions. Buying the diploma, manually sweeping idle cash, putting on a hedge on public. You can now create AI agents that handle all these tasks on your behalf. Just describe what you want to do in plain English like if the Vix hits 25, buy a put option on the S&P 500 or if my cash balance goes above $20,000, move the excess into my direct index. You approve the workflow and your agent handles the risk, monitoring the market, watching for your conditions and executing your strategies exactly as defined. An investing platform driven by your intent, not just your clicks. You can also get full read and write access to your account via the public API. Go to public.com market and fund your account in five minutes or less. That's public.com market paid for by Public Investing Brokerage Services by Open to the Public Investing Inc. Member FINRA and SIPC advisory services by Public Advisors, LLC. SEC registered advisor. Complete disclosures [e-mail] disclosures this is Tony

[Tony Ayo]

Ayo from the Real Report with Tony Ayo and Uncle Murder. You ever notice how everything keeps going up? Rent's going up, streaming services are going up. Even your favorite burrito spot suddenly thinks salsa should cost extra. But with Boost Mobile, you and your phone bill don't have to play the Will this go Up Soon? Game Because Boost Mobile has an unlimited talk, text and data plan at a price that'll never go up. It's the same price you'll pay for life, meaning you're set to never worry about your bill increasing again for as long as you're on the plan. While the world keeps finding new ways to nickel and dime you, Boost Mobile gives you unlimited wireless at one set price for life. Imagine something in your budget actually staying the same. You'll pay the same for unlimited wireless when you're posting mirror selfies in your 20s, and when you're posting mirror selfies in retirement, some things never change. Switch now for unlimited wireless at a price that'll never go up, only at boost mobile. After 30 gigabytes, customers may experience slower speeds. Customers will pay $25 a month as long as they remain active on the Boost Unlimited plan.

[Paul Sweeney]

Hi, it's Kyle McLaughlin, host of the what Are We Even Doing Podcast. You know, my favorite part of the morning is that first cup of coffee, a small, quiet ritual that sets the rhythm for my day. That's why I appreciate Delonghi. For over 50 years, they've combined Italian craftsmanship and thoughtful design. And as the number one espresso machine brand in the world, they make it effortless. Just a damn fine cup of coffee in your own kitchen. Right now you can save 10% off your purchase at DeLonghi.com with code Kyle@ checkout. After all, if it's not Italian, is it even espresso?

[Bloomberg Host]

You're listening to the Bloomberg Surveillance Podcast. Catch us live weekday afternoons from 7 to 10am Eastern. Listen on Apple CarPlay and Android Auto with the Bloomberg Business app or watch us live on YouTube.

[Paul Sweeney]

Time now with Chaos. Just got an incredible does work with McLaren tells Lando Norris what to do.

Yeah, I wish that were the case, but thank you.

You know, Oscar Piastri is a little off this year. We'll fix that. I'm going to ask one question is Paul's got all sorts of stuff going on. The phrase that we use in America is you came off the boat from Taiwan, landed in North Edison, New Jersey, and have just been absolutely phenomenal in your education and your business development. On this day where we mint billions for a Korean company, so much of where you came from is still foreign to Americans. What right now would you say to Americans about the entrepreneurial spirit of Korea, Taiwan and the rest of the Pacific Rim?

I think it's alive and well. I think what we've built Here in America, in terms of the American dream, still is a beacon for entrepreneurs all over the world. You can see it today raising $29 billion as Paul and I were just talking about that. It's still alive and well, but at the same time that diaspora of opportunity is all over the world. And so that goes for us here in the US as well, is to make sure that we're not passing it by just because we're not familiar with it, just because we don't know too much about that particular country. Opportunity is all around the world, especially how much AI has democratized access to these markets.

[Tom Keene]

Talk to us about AI and how it, how you believe it may impact the workforce. I happen to be in a camp, I hope I'm wrong, that it's going to be a net destroyer of jobs. A lot of folks are telling me you're too short term, Paul. Think longer term. Longer term is tomorrow for me. But how do you think about it, Paul?

[Paul Sweeney]

Can't both things be true? Right. I guess I feel like in the short run, will it be a net destroyer of jobs? I'm in that camp. I do think many, many jobs, many white collar jobs are going to go away. When you think about the automation and we think of not just the state of the art, because oftentimes we look at what's the state of the art, but we forget the velocity of the art and how much it's come, how far it's come in three years, let alone six, nine, ten years in the future. I think short term there's going to be a lot of disruption. Long term, though, when you look at most technologies, I think there's going to be growth.

[Tom Keene]

Yep, that's what, that's what they tell us. Pelgo talk to us about what you guys are doing at Pelgo, your company here.

[Paul Sweeney]

So if you believe that that's true, if you believe that there's going to be folks displaced, you look at kind of the steel industry in America, right? You can say, you can go to those towns and say overall all this kind of the white collarization of the workforce in the US has been a net benefit for the US but you go to the steel belt and you get on in the town square there, you tell them that I don't think you're going to make a lot of friends.

[Tom Keene]

No.

[Paul Sweeney]

And so I think that's going to happen with AI And I think what's happening is that the US like how our society behaves, how our government behaves. We don't have great Safety nets for folks. And so when you get displaced by AI, it's not like Europe, it's not like anywhere else in the world where you have a big safety net, you can figure things out, you can retrain. We don't have that safety net. So pelgo, what we do is we go to the companies and say, hey, there are resources these folks really need. And if you're displacing them or even if they're leaving voluntarily, there's things that are owed to them, including outplacement, including a safety net. And that's actually who pays for our service.

I have Edward Wang's fabulous Chinese book at my coffee table. It's my next book to get to. And I just want you to discuss the threat of China in AI in ev. Volkswagen. Michael Barr telling us about near cold, not collapse, that's too, too strong. But the industrial, broader technological threat of China. Is it legitimate?

It's a hard question to answer. I think when you look at the, the entrepreneurs themselves, I think most folks are there to build a technology because they like the technology and they see opportunity. But AI is such a powerful market making and maybe world making and world shifting technology that governments invariably need to get involved. And when that happens, you know, it's very hard to say.

So let me speak as an American. Their government is playing with a stacked deck and they're crushing a short term on price a la ev. They're flooding the world, units, units, units be damned to price. How do we compete?

It's hard. You have to hold them to task with the international regulations, the framework in which we've built, the international kind of trade order on. With that said, I think if you're the US government, you have to think about how do we support the entrepreneurs, how do we make sure we don't lose in this race. I'm not saying that because I'm this kind of person that thinks there's going to be this AI utopia, but I fundamentally believe that this is going to be as important, if not more important than the Internet. And if we were not the leaders of the Internet over the last 30 years, take a look at what our economy would have become in that timeline. And so there has to be a certain amount of support and ability for us to compete on the world stage.

[Tom Keene]

Where do you think we are right now vis a vis AI? The development, the support, the implementation?

[Paul Sweeney]

Oh, I love that question because I actually think we're probably in the equivalent of 2099. Things are, things feel a bit frothy. People are starting to say, I don't know if this AI thing is going to be real. Think about 99, 2000 people said the same thing in 01. It was the death of the Internet. But yet 20 years later, everything, almost everything that was promised actually became true. So I think we're in a similar stage of AI development.

Are you moving to Texas or Florida?

Oh, I actually was posed that question recently. So we incorporated in Delaware. Should have taken a closer look at Texas. Maybe we will. It's good that there's competition out there, not just in Delaware.

That was very political. Thank you so much. Chief Executive Officer at Palgo. Just outstanding. Don't be a stranger, please. On technology, we need all these conversations we can get.

[Bloomberg Host]

This is the Bloomberg Surveillance Podcast available on Apple, Spotify and anywhere else you get. Your podcasts listen live each weekday 7 to 10am Eastern on Bloomberg.com, the iHeartRadio, Apple TuneIn and the Bloomberg Business App. You can also watch us live Every weekday on YouTube and always on the Bloomberg Terminal.

[Tom Keene]

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[Tony Ayo]

this is Tony Ayo from the Real Report with Tony Ayo and Uncle Murder. You ever notice how everything keeps going up? Rent, streaming, even extra Sosa at your favorite burrito spot. But with Boost Mobile you don't have to play the Willis Go up Soon game. Boost Mobile offers an unlimited talk, text and data plan at a price that'll never go up. It's the same price you'll pay for Life. Switch now for unlimited wireless at a price that'll never go up. Only at boost mobile. After 30 gigabytes, customers may experience slower speeds. Customers will pay $25 a month as long as they remain active on the BO Unlimited plan.