Immediacy of Headlines Drives Global Trade Shift Away From US

Key Quotes

"The answer is the immediacy of the headlines. This morning, with all that's going on with what we've learned are two cargo ships seized by the US Coast Guard, Cutter Munro and others, in the North Atlantic (think Tom Hanks and that wonderful movie) and also in the Caribbean. The basic idea here is the headlines are everything."

Tom Keene explains that the core value of the Bloomberg terminal, and by extension Bloomberg News, lies in its ability to deliver immediate news. This immediacy is demonstrated by their real-time tracking of cargo ships, which allows clients to see critical information as it happens. Keene emphasizes that headlines are paramount in understanding and reporting on global events.

"We were saved, just to give you a window into the show, by Daniel Curtis, sitting at a desk in London, who spearheaded this off of the Bloomberg terminal functions that track cargo ships worldwide. Right now, if there are 27 tankers off Singapore, we have shipping clients that can actually see those 27 tankers."

Tom Keene illustrates the practical application of Bloomberg's technology by highlighting Daniel Curtis's role in utilizing the terminal's cargo ship tracking functions. This capability allows shipping clients to monitor specific vessels, such as 27 tankers off Singapore, in real-time. Keene uses this example to show how Bloomberg stays ahead of stories through its data and reporting infrastructure.

"It's bewilderment. I think that Europe and European leaders are genuinely struggling to find a vocabulary to respond. As you know, there's a meeting going on right now, the so-called coalition of the willing, to discuss Ukraine and the future of Ukraine and this deal that's been under discussion."

Tom Keene describes a state of confusion among European leaders regarding their response to current geopolitical events. He notes that a significant meeting concerning Ukraine and its future is being overshadowed by discussions about Greenland. Keene suggests that European leaders are finding it difficult to articulate a coherent strategy or vocabulary to address these complex situations.

"If you look at what's happening in the world over the past year, America is withdrawing from the global trade system. But the rest of the world is learning to trade without America. If you see what's happening to trade volumes over the last few quarters, America's share is declining in global trade volumes, but the rest of the world's trade volumes are actually going up."

Ruchir Sharma observes a significant shift in global trade dynamics, where the United States is disengaging from the international trade system. Sharma points out that while America's participation in global trade is decreasing, other nations are adapting and increasing their trade activities amongst themselves. He uses trade volume data to support his assertion that the rest of the world is effectively continuing to trade without relying on the U.S.

"As I travel the world, what I find is that more and more countries are trading with each other. Ruchir Sharma, there, this morning. We're on podcasts, on Apple Music, on Spotify, and YouTube podcasts. A single best idea."

Ruchir Sharma shares his observation from global travels that international trade is increasingly occurring directly between countries, bypassing traditional intermediaries. Sharma's statement, as presented by Tom Keene, suggests a growing trend of bilateral trade relationships. Keene then transitions to mention the availability of their discussion on various podcast platforms.