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Speaker 1: Bloomberg Audio Studios, Podcasts, radio News.

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Speaker 2: Good morning, I'm Nathan Hager and I'm Karen Moscow. Here

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Speaker 2: are the stories we're following today.

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Speaker 3: Karen, we begin with the latest on the wildfires in

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Speaker 3: Los Angeles. The death toll is now up to at

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Speaker 3: least twenty four and more than twelve thousand buildings have

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Speaker 3: been turned to ash in the Pacific Palisades and Delta

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Speaker 3: Dina regions. Over the weekend, firefighters got a brief break

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Speaker 3: from the punishing Santa Ana wins that have spread these

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Speaker 3: flames across nearly thirty eight thousand acres, but another round

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Speaker 3: of wind gusts is in the forecast this week. Here's

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Speaker 3: Los Angeles County Fire Chief Robert Luna.

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Speaker 4: The fires may be closer to being over.

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Speaker 5: You hear that from our fire chiefs if it goes

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Speaker 5: that way, But we do have this pending weather event.

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Speaker 6: We are not going to de escalate the number of.

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Speaker 3: People that we have out ree Fire Chief Robert Luna.

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Speaker 3: The National Weather Service has issued its most severe alert,

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Speaker 3: a particularly Dangerous situation warning from Malibu, the San Fernando Valley,

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Speaker 3: and much of Ventura County. More than seven point seven

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Speaker 3: million people in southern California are facing critical fire weather

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Speaker 3: conditions today.

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Speaker 2: Well, Nathan, this disaster is on track to be the

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Speaker 2: costliest in US history. ACU Weather has raised its estimate

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Speaker 2: for total economic losses to between two hundred and fifty

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Speaker 2: and two hundred and seventy five billion dollars. FEMA Administrator

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Speaker 2: Deana Criswell says things will need to change when it

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Speaker 2: comes to rebuilding.

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Speaker 7: We have a lot of science and technology out there

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Speaker 7: that shows ways that we can make these homes stronger

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Speaker 7: and more resistant against these fires. That's really where we

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Speaker 7: need to focus our efforts as we move into the

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Speaker 7: rebuilding phase.

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Speaker 2: And as FEMA's Dan Chriswell, who appeared on CBS's Face

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Speaker 2: the Nation, California Governor Gavin Newsom has issued in executive

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Speaker 2: order suspending some environmental and regulatory hurdles to speed up

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Speaker 2: the rebuilding process. He and other local officials have faced

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Speaker 2: heavy criticism for their response, but newsommetals NBC's Meet the

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Speaker 2: Press they're up to the challenge.

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Speaker 4: We have fourteen thousand people work in the line right now.

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Speaker 4: We double the nation on guard. We have sixteen hundred

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Speaker 4: and eighty they're helping on logistic side. I was just

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Speaker 4: with folks from Mexico. Seventy three folks will be relieving

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Speaker 4: some of our hand crews. We've got nine states that

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Speaker 4: are now providing under this EMACS system support. So we've

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Speaker 4: got the resources.

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Speaker 2: And you can hear meet the press and face the

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Speaker 2: nation every Sunday on Bloomberg Radio.

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Speaker 3: It's turned out of politics Karen. Justin Trudeau says Canada

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Speaker 3: is ready to respond with counter tariffs if the US

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Speaker 3: imposes tariffs on Canadian products. The outgoing Canadian Prime minister

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Speaker 3: said his government is not looking for a trade fight,

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Speaker 3: but we'll have to retaliate if the US tariffs Canadian products.

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Speaker 8: We are the number one export partner of about thirty

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Speaker 8: five different US states, and anything that thickens the border

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Speaker 8: between US ends up costing American citizens and American jobs.

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Speaker 8: That's not what President Trump got elected to do. I

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Speaker 8: know he got elected to try and make life easier

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Speaker 8: for all Americans, to support American workers. These are things

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Speaker 8: that are going to hurt them.

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Speaker 3: Justin Trudeau those comments on MSNBC. Canada buys more US

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Speaker 3: made goods than many other country.

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Speaker 2: Meanwhile, Nathan Jamie Diamond is speaking out about tariffs in

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Speaker 2: an interview with CBS News Sunday morning that JP Morgan

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Speaker 2: CEO says they can help the US.

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Speaker 9: To me Tariff's early way. Every tool properly used that

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Speaker 9: can help get some posicians resolved, unfair competition, NAS security issues.

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Speaker 9: Like any tool, if it's misused, you can do damage too, And.

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Speaker 2: JP Morgan Chase CEO Jamie Diamond says he has not

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Speaker 2: spoken with President elect Donald Trump about tariffs Well Karen.

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Speaker 3: President elect Trump's cabinet choices will begin facing Senate confirmation

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Speaker 3: hearings this week. On Thursday, Treasury Secretary nominee Scott Bessett

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Speaker 3: answers questions we get more from Bloomberg's Doug Prisner.

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Speaker 10: Bessett is founder and leader of the macro hedge fund

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Speaker 10: Key Square Group. If he's confirmed, Bessant will immediately resign,

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Speaker 10: and a document released by the Office of Government Ethics

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Speaker 10: indicates Key Square would be wound down at the end

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Speaker 10: of March. Bessid will also divest underlying assets to avoid

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Speaker 10: conflicts of interest. He's disclosed assets worth at least five

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Speaker 10: hundred and twenty one million dollars. Some of Besson's potential

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Speaker 10: conflicts will take longer to resolve he's invested at the

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Speaker 10: least a quarter million dollars in three funds that allow

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Speaker 10: him to withdraw no more than twenty five percent of

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Speaker 10: its holdings each quarter.

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Speaker 11: In New York.

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Speaker 10: I'm Doug Prisner, Bloomberg Radio.

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Speaker 2: All right, Doug, thank you well. Vice President de Like

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Speaker 2: jd Vance is dialing back on his running mates, promised

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Speaker 2: to part in. All protesters involved in the US capital

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Speaker 2: riot on January sixth, twenty twenty one.

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Speaker 12: If you committed violence on that day, obviously you shouldn't

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Speaker 12: be pardoned. And there's a little bit of a gray

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Speaker 12: area there, but we're very much committed to seeing the

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Speaker 12: equal administration of law. And there are a lot of people,

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Speaker 12: we think in the wake of January the sixth, who

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Speaker 12: were prosecuted unfairly. We need to rectify that.

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Speaker 2: And Vice President de Like vancevan the comments on Fox

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Speaker 2: News Sunday. You can catch the program Sunday afternoons on

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Speaker 2: Bloomberg Radio. Ok.

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Speaker 3: And you're gonna have to wait a little longer so

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Speaker 3: the rest of us actually for the next space launch.

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Speaker 3: Jeff Bezos's Blue o And has delayed the inaugural takeoff

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Speaker 3: of its new flagship rocket to deal with an unspecified

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Speaker 3: issue on the vehicle. The company says it is reviewing

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Speaker 3: opportunities for the next launch attempt for the new Glen Rocket.

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Speaker 13: The Jeff Bezos backed.

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Speaker 3: Firm is trying to mount a challenge to Elon Musk's

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Speaker 3: industry leading SpaceX.

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Speaker 2: Well, we do have a milestone for one of Elon

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Speaker 2: Musk's other businesses. Nathan Tesla has overtaken Audi and Go

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Speaker 2: global car sales for the first time. Howdy sold one

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Speaker 2: point sixty seven million vehicles in twenty twenty four, down

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Speaker 2: twelve percent from a year earlier. Tesla delivered almost one

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Speaker 2: point eight million vehicles last year.

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Speaker 3: Train of Markets now Karen futures are lower following Friday's

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Speaker 3: job related selloff on Wall Street. The drop came after

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Speaker 3: the economy in December added the most jobs since March

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Speaker 3: and the unemployment rate unexpectedly fell. Cameron Dawson is chief

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Speaker 3: investment officer at new Edge Wealth.

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Speaker 11: It is that question of is good news good news

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Speaker 11: or is good news bad news. We think at the

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Speaker 11: end of the day, strong jobs are over all good

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Speaker 11: for the equity market, but we have to take a

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Speaker 11: hit to the valuation first to digest these higher yields.

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Speaker 11: If we continue to see this labor market hold in

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Speaker 11: better than expected.

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Speaker 3: New Edge Wealth's Cam Dawson notes the S and P

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Speaker 3: five hundreds one and a half percent drop on Friday

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Speaker 3: wiped out the indexes advance for the year.

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Speaker 2: Well, Nathan, let's turn to the economy now, and a

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Speaker 2: former Federal Reserve Vice chair, Randall Quarrels, believes the Fed's

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Speaker 2: independence is not going to be threatened by president like

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Speaker 2: Donald Trump, and Karrels spoke with Bloomberg's Steven Engel.

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Speaker 14: Structurally, the FED can't really be affected by the president's

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Speaker 14: bully pulpit. And you know, the people who are appointed

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Speaker 14: of the FED generally have fairly thicked skins. So while

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Speaker 14: there's certainly political pressure, there's not really political levers that

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Speaker 14: someone can pull to affect their independence.

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Speaker 2: And Randall Quarrels was a Trump appointee to the FED.

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Speaker 2: He served as vice chair of Supervision until twenty twenty one.

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Speaker 2: Time now for look at some of the other stories

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Speaker 2: making news in New York and around the world, and

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Speaker 2: for that we're joined by Bloomberg's John Tucker.

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Speaker 15: John good morning, Good morning, Karen House. Republicans from New York,

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Speaker 15: New Jersey and California, unhappy with a cap on state

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Speaker 15: and local tax deductions, say talks on the issue with

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Speaker 15: Donald Trump over the weekend were positive. Let's find out

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Speaker 15: more this morning from Bloomberg's Jeff Bellinger.

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Speaker 13: Representative Nick Lolatta of New York said in an interview,

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Speaker 13: Trump is willing to engage in a solution. Representative Nicole Meliatakis,

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Speaker 13: another New Yorker who attended the gathering of about sixteen

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Speaker 13: House Republicans with Trump at his Mari A Lago resort

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Speaker 13: in Florida, posted on x that the meeting was productive.

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Speaker 13: Significant expansion of the salt deduction cap is already emerging

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Speaker 13: as a potential demand by some Republicans in return for

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Speaker 13: their support of any larger text related package. Jeff Bullinger,

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Speaker 13: Bloomberg Radio.

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Speaker 15: Hospitals across the country dealing with a wave of respiratory illnesses.

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Speaker 15: The CDC says at least thirty five states are seeing

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Speaker 15: high levels of flu covid RSV, even the common cold.

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Speaker 15: So far this season, the flu alona sent more than

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Speaker 15: sixty three thousand people to the hospital and crowns at

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Speaker 15: least twenty seven hundred deaths, including eleven children. President Biden

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Speaker 15: delivers a foreign policy speech today the State Department White

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Speaker 15: House Press Secretary Karean John Pierre.

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Speaker 2: He has some thoughts on the future, not just of

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Speaker 2: the country, but how this country moves forward as a leader.

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Speaker 15: This is one of several appearances the President has been

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Speaker 15: making as he prepares to leave office. January twentieth, a

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Speaker 15: Top eight and President like Donald Trump's incoming administration signals

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Speaker 15: the Ukraine will be asked to lower the conscription age

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Speaker 15: to strengthen its battlefield position. Michael Walls, a former Army

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Speaker 15: Green Beret whom Trump tapped as his White House National

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Speaker 15: Security advisor, suggested the expanded draft age would help Ukraine

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Speaker 15: overcome a shortage of troops. Right now, the draft age

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Speaker 15: is twenty five global news twenty four hours a day,

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Speaker 15: whenever you want it. We have Bloomberg News.

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Speaker 2: Now.

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Speaker 15: I'm John Tucker, and they see he's Bloomberg. Karen.

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Speaker 2: All right, John Tucker, thank you time now for the

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Speaker 2: Bloomberg Sports out Day, brought to you by Tri State Outie.

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Speaker 2: Here's John stash Hour, John, Good morning, Good.

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Speaker 5: Morning, Karen. Last time there was an NFL playoff victory

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Speaker 5: by Washington was nineteen years ago. The team had a

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Speaker 5: different owner, they had a different name and their current

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Speaker 5: quarterback was five years old or rookie qube Jadeen Daniels,

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Speaker 5: who led the Commanders to twelve regular season wins, eight

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Speaker 5: more than they had a year ago, led them down

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Speaker 5: the field in the final minute of Tampa Bay, and

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Speaker 5: they kicked a field goal on the final play from

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Speaker 5: thirty seven to send Washington to the final Eightue.

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Speaker 16: The Washington come, Tony Calme, I have seen it all NBC.

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Speaker 5: The Call Commanders won a back and forth game with

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Speaker 5: the Bucks twenty three twenty. They'll not play Saturday night

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Speaker 5: in Detroit the first two games of the day. Liked

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Speaker 5: the games this past Saturday, one easily by the home

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Speaker 5: team Buffalo be Denver thirty one to seven. The Bills

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Speaker 5: are nine to zero home. They'll be home Sunday night

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Speaker 5: against Baltimore. Philadelphia down Green Bay twenty two to ten.

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Speaker 5: The Eagles await the winner of tonight's game. Vikings and

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Speaker 5: Rams moved from Los Angeles to Phoenix. To no one's surprise,

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Speaker 5: Mike Rabel and they had the new coach of the

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Speaker 5: New England Patriots. He was a Pats linebacker for eight years,

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Speaker 5: coach the Titans for six replaces Gered Mayo, who got

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Speaker 5: just one season after Bill Belichick coached the Pats for

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Speaker 5: twenty four at the guard. In an offensive explosion by

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Speaker 5: the Knicks, they shot fifty eight percent, beating Milwaukee won

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Speaker 5: forty to one, Zho six, Jalen Brunson forty four points.

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Speaker 5: He had twenty three in the first quarter. The Nets

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Speaker 5: lost a heartbreaker at Utah. Jass scored with two seconds

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Speaker 5: left in overtime and won by a point. The Celtics

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Speaker 5: beating New Orleans by a point in Melbourne. They're playing

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Speaker 5: now opening around the Australian Open, and ten time champion

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Speaker 5: Novak Djokovic lost the first set to nineteen year old

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Speaker 5: American Nisshesh Basavaretti. They're now tied one set, all straight

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Speaker 5: set wins for Carlos Alcarez and top seed Onick Center,

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Speaker 5: as well as Coco Gone, John Starshaw or Bloomberg Sports,

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Speaker 5: Can Ivern and Nathan.

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Speaker 1: Coast to Coast on Bloomberg Radio nationwide on Sirius XM,

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Speaker 1: and around the world on Bloomberg dot Com and the

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Speaker 1: Bloomberg Business app. This is Bloomberg Daybreak.

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Speaker 3: Good morning. I'm Nathan Hager as the wildfires continue to

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Speaker 3: rage in southern California. Firefighters could struggle to catch a

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Speaker 3: break from the winds that have spread the flames across

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Speaker 3: an area more than two and a half times the

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Speaker 3: size of Manhattan. Los Angeles County Fire Chief Anthony Moroney

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Speaker 3: says dangerous conditions are in the forecast for much of

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Speaker 3: this week.

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Speaker 6: Next predicted red flag ends on Wednesday, so please rest

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Speaker 6: assured that first thing Thursday, we will start talking about

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Speaker 6: repopulation and evacuation order and warning areas.

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Speaker 3: And this morning we were joined by Bloomberg News senior

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Speaker 3: editor Bill Ferries. Bill, good morning, I know you've been

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Speaker 3: following this situation as closely as anybody. I guess the

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Speaker 3: firefighters got a little bit of a break from the

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Speaker 3: winds over the weekend, but it's not lasting long.

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Speaker 17: Good morning, Good morning, Nathan. That's right. Firefighters started to

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Speaker 17: make some progress over the weekend. That Palisades fire is

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Speaker 17: about thirteen percent contained as of Sunday evening. In La

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Speaker 17: they Eton fire twenty seven percent contained. But as you

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Speaker 17: were suggesting there, the conditions don't look good in the

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Speaker 17: days ahead. National Weather Service has its most severe alert

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Speaker 17: out there for places like Malibu, San Fernando Valley parts

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Speaker 17: of Ventura County. They're warning about what they called explosive

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Speaker 17: fire growth potential beginning late Monday and carrying on through Wednesday.

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Speaker 17: So I think people who are out there are going

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Speaker 17: to continue to be glued to those fire tracking apps.

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Speaker 17: Seven and a half million people or so are facing

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Speaker 17: this critical fire weather condition and they could have additional

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Speaker 17: evacuations and movements. The fires have already burned forty thousand acres.

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Speaker 17: More than one hundred thousand people have been had to

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Speaker 17: leave their home so far, So looks like a rough

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Speaker 17: start to the week, really beginning in the afternoon or

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Speaker 17: evening on Monday in southern California.

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Speaker 3: Just to talk about the scope of this disaster, forty

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Speaker 3: thousand structures destroyed just puts a tip to the iceberg

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Speaker 3: of the kind of damage, the kind of economic loss

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Speaker 3: that we could see from this.

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Speaker 17: Yeah, the area that's been burned, I mean it's already

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Speaker 17: a larger area than cities like San Francisco or Pittsburgh,

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Speaker 17: Boston or Miami. So that's just the area that's been burned.

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Speaker 17: ACU weather Ink, which looks at, you know, disasters and

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Speaker 17: the costs, they've put out an estimate of two hundred

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Speaker 17: and fifty to two hundred and seventy five billion dollars

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Speaker 17: in total costs that includes the damage and rebuilding and

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Speaker 17: lost wages and things like that.

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Speaker 10: But that is up.

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Speaker 17: It's almost double their previous estimate of fifty to one

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Speaker 17: hundred and fifty billion just a few days ago.

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Speaker 3: What does this mean for the insurance industry? How can

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Speaker 3: Southern California rebuild from this kind of disaster? I mean

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Speaker 3: is are we going to have to face the question

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Speaker 3: about whether it's Southern California is ensurable.

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Speaker 17: It's gonna be It's gonna be just a brutal blow

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Speaker 17: to the insurance industry. And remember, you know, broadly is

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Speaker 17: an industry. It comes after a series of major hurricanes

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Speaker 17: that hit the southeast United States last year. That's going

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Speaker 17: to be a real question going forward. What happens to

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Speaker 17: those rates? Does it make living in Southern California even

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Speaker 17: more costly going forward? And how many years will it

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Speaker 17: take to rebuild? Remember LA's hosting, you know, they're hosting

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Speaker 17: the Olympics in just a few years. Typically these kind

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Speaker 17: of disasters that it could take a decade or more

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Speaker 17: to fully recover from this kind of a natural disaster event.

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Speaker 3: And to see the response that we've seen so far

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Speaker 3: and the questions that have been raised about how this

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Speaker 3: even started, what can be done to prevent this kind

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Speaker 3: of thing from happening. I mean, we've seen some pretty

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Speaker 3: withering criticism for some of the local leaders in that region.

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Speaker 3: Got about a minute left.

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Speaker 17: Yeah, Mayor Karen Bass coming under a heavy fire for

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Speaker 17: her budget cuts that hit the fire department. In the end,

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Speaker 17: I think the fire department got more money this year

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Speaker 17: than last year, but there's a lot of deferred maintenance.

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Speaker 17: You hear union fire union leader saying that, Listen, there's

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Speaker 17: a lot of trucks that are still waiting for repairs

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Speaker 17: that could be out there doing some fighting. Of Course,

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Speaker 17: like everything, it's getting heavily politicized. But right now, the

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Speaker 17: focus is really what might be coming in the next

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Speaker 17: seventy two hours for southern California and whether they can

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Speaker 17: get past and whether firefighters can kind of get a

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Speaker 17: stronger grip and get more of this under control.

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