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Speaker 1: Life from the Bloomberg Interact Dave Burger Studios. Is this

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Speaker 1: Bloomberg day Break for Wednesday, December two, Coming up the shower.

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Speaker 1: The CEO of Southwest Airlines apologizes as the carrier keeps

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Speaker 1: canceling flights. The White House will comply with the Supreme

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Speaker 1: Court decision to keep coronavirus border controls in place, and

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Speaker 1: China's decision to abandoned its COVID zero policy val has

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Speaker 1: other countries considering restricting entry. Residents in Buffalo continue to

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Speaker 1: dig out from the Blizzard of the Century. Plus new

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Speaker 1: details from the January six panel on Rudy Giuliani. I'm

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Speaker 1: Michael Barre Ahead, John Stash Howard sports an amazing knife

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Speaker 1: for Luke and Donston's he led Dallas to an overtime

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Speaker 1: will over the next the Islanders won the Rangers long.

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Speaker 1: That's all straining Ahead on Bloomberg day Break on Bloomberg

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Speaker 1: Elving Free on New York, Bloomberg ninety nine one, Washington

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Speaker 1: d C Bloomberg one oh six one, Boston, Bloomberg nine

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Speaker 1: sixties and Francisco Sirius x M one nineteen and around

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Speaker 1: the World Old on Bloomberg Radio dot Com and via

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Speaker 1: the Bloomberg Business app. And good morning. I'm John Tucker

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Speaker 1: and I'm Karen Moscow. US Dock index futures are now

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Speaker 1: on the rise this morning. We check the markets all

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Speaker 1: day long year on Bloombergs, and P futures are now

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Speaker 1: adding to their gains up eight points or two tens

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Speaker 1: of up percent. DAL futures have a quarter percent or

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Speaker 1: ninety one points and NASDACK futures showing strength up to

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Speaker 1: tens of uppercent or eighteen points. The decks in Germany

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Speaker 1: as it will change ten. Your treasury up five thirty seconds,

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Speaker 1: you know, three point two percent, and the yield on

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Speaker 1: the two year four point three percent. John and Karen,

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Speaker 1: we're gonna begin with the latest on Southwest travel problems.

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Speaker 1: The CEO of the yourline now issuing a public apology,

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Speaker 1: Bob Jordan released a video statement and to Southwest once

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Speaker 1: again canceled flights across the country. I want everyone who

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Speaker 1: is dealing with the problems we've been facing, whether you

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Speaker 1: haven't been able to get to where you need to

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Speaker 1: go or you're one of our heroic employees caught up

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Speaker 1: been a massive effort to stabilize the airline, to know

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Speaker 1: is that we're doing everything we can to return to

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Speaker 1: a normal operation. Southwest that you know, Bob Jordan's says

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Speaker 1: the airline that is optimistic it's going to be back

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Speaker 1: on track before next week. Well, John, Southwest is responsible

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Speaker 1: for almost three quarters of flight cancelations in the US,

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Speaker 1: and that's drawing ire from government officials. Bloomberry. Steve Rappaport

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Speaker 1: joins US Live with the details. Steve, good morning, Good morning,

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Speaker 1: Karen and John. Southwest and the White House agree on

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Speaker 1: one thing, the mass disruptions are unacceptable. But as the

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Speaker 1: airline attempts to catch up, Transportation Secretary Peat Boutagage wonders

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Speaker 1: why the competition had a much easier time recovering from

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Speaker 1: last week's storm. This weather event affected everybody, and we

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Speaker 1: understand that you can't control the weather, but there is

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Speaker 1: no satisfying explanation for why all of the other airlines

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Speaker 1: are recovering and moving in the right direction while Southwest

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Speaker 1: is still as we speak, canceling a majority of their flights.

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Speaker 1: Today's travel forecast has more of the same. The flight

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Speaker 1: tracking site flight Aware shows Southwest with over cancelations. Live

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Speaker 1: New York, I'm Steve Rapp Report Bloomberg Daybreak. All right,

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Speaker 1: thanks Steve. Another major story we're following this morning. The

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Speaker 1: White House says he is going to comply with and

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Speaker 1: enforce the Supreme Court's ruling on Title forty two. Bloomberg's

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Speaker 1: ad Baxter has more in this report. Title forty two

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Speaker 1: is a Trump era control on border immigration. It was

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Speaker 1: due to expire when the challenge went all the way

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Speaker 1: to the Supreme Court. The court says it will stay

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Speaker 1: in effect while that occasion goes forward, potentially into June.

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Speaker 1: So the Biden administration now says it will enforce the rule,

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Speaker 1: although it says lifting it is way overdue. The White

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Speaker 1: House says it will prepare for eventually being able to

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Speaker 1: lift the restrictions and in orderly form, even as it

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Speaker 1: continues to enforce them. Now in San Francisco, I'm at

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Speaker 1: Baxter Bloomberg Daybreak, All right, and thank you all. Some

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Speaker 1: more details this morning on Donald Trump's taxes. Bloomberg News

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Speaker 1: has learned that years and the former president's tax returns

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Speaker 1: will be released Friday. Key identifying information, such as account numbers,

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Speaker 1: will be blacked out. The documents will be the first

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Speaker 1: complete look at the former president's tax records for the

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Speaker 1: years he was running for office and in the White

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Speaker 1: House man turning the markets Now, Hong Kong was the

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Speaker 1: performer in Asia overnight. More easing of COVID restrictions self

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Speaker 1: fuel a gain of one of the half percent on

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Speaker 1: the Hanksang Index. Hong Kong is scrapping Levenza public gatherings

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Speaker 1: and no longer requiring proof of vaccination for entry into

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Speaker 1: some locations. The Hong Kong's easing follows China's decision to

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Speaker 1: abandon its COVID zero policy and reopen its borders John

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Speaker 1: and it's now prompting a global response. Countries are considering

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Speaker 1: whether to test or restrict travelers from China. Have you

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Speaker 1: get more from Bloombergy's island one in Shanghai. Japan was

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Speaker 1: the first to say that it's going to require a

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Speaker 1: negative COVID tests upon o arrival for mainland Chinese residents,

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Speaker 1: but the US is also considering new precautions as well.

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Speaker 1: This is based on concern about a new variant emerging

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Speaker 1: out of China that ever since the Bision announced that

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Speaker 1: is the longer going to quarantine arrivals from January eight,

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Speaker 1: and that's also going to start issuing passports again. Bloomberg's

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Speaker 1: Island One says, US officials are raising questions about transparency

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Speaker 1: of China's data on the spread of the virus, and

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Speaker 1: back here in the US, futures are mixed too higher

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Speaker 1: right now uh for a down day on Walster yesterday.

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Speaker 1: SMP five hundred has fallen more than six percent this month,

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Speaker 1: almost twenty percent on the year. In Miller Tabak equity

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Speaker 1: strategist Matt Maley says the bear market isn't over yet.

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Speaker 1: The biggest problem I think that we face is that

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Speaker 1: when whenever the market gets to an extremely overvalued level

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Speaker 1: like it did at the end of two thousand twenty

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Speaker 1: one this time last year, the bear market always lass

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Speaker 1: longer than just a year or so. It's usually last

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Speaker 1: eighteen months or even a little bit longer. Miller Tabac

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Speaker 1: equity strategist Matt Mayley sees the SMP five hundred going

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Speaker 1: down to at least thirty well so far this year,

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Speaker 1: John Tesla is the third worst performing stock in the

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Speaker 1: SMP five hundred and the tailspin and share shows no

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Speaker 1: sign of abating anytime soon. Share has fell more than

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Speaker 1: eleven percent yesterday, and we get the story from Bloomberg

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Speaker 1: Charlie Pellett. So far this year, the stock is down

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Speaker 1: sixty nine percent, and with the latest declines that marks

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Speaker 1: their longest losing streak since twenty eighteen. As a report

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Speaker 1: of a plan to temporarily halt production at its China

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Speaker 1: factory rekindled fears about demand risks, Tesla had its seventh

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Speaker 1: straight decline and its steepest one day dropped since April.

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Speaker 1: The electric vehicle maker's market valuation has shrunk to roughly

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Speaker 1: three D forty five billion dollars, below that of Walmart, JP,

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Speaker 1: Morgan Chase and in video in New York Charlie Pellett,

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Speaker 1: Bloomberg Day Break, Thanks Charlie. Not as hard hit as

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Speaker 1: Tessela an Apple starts the trading day at its lowest

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Speaker 1: level since June of one. Apple has fallen almost twenty

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Speaker 1: seven percent this year on concerns over iPhone production issues,

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Speaker 1: and again futures are higher. This morning, S and P

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Speaker 1: Future is up about eight points and straight ahead your

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Speaker 1: latest local headlines plus a check of sports, and this

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Speaker 1: is Bloomberg. Thanks. Karen six said on Wall Street. We

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Speaker 1: have thirty four degrees in Central Park. Let's bring in

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Speaker 1: Michael barn Now with more on what else is going

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Speaker 1: on in New York and around the world. John, thank

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Speaker 1: you very much. Officials in New York say state and

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Speaker 1: military police were sent to keep people from driving in

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Speaker 1: snow choked Buffalo. The Erie County executive says that police

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Speaker 1: being positioned at entrances to Buffalo and at major intersections

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Speaker 1: to enforce a ban on driving. Buffalo Mayor Byron Brown,

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Speaker 1: we have plowed specifically to get people to medical appointments, chemotherapy,

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Speaker 1: uh dialysis. We have done welfare checks for senior citizens

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Speaker 1: and families with young children. Buffalo Mayor Brown says more

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Speaker 1: than thirty people died in the region. The GOP chairman

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Speaker 1: in New York Congressman elect George Santos District is talking

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Speaker 1: after the Long Island Republican admitted he lied about his

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Speaker 1: personal and professional life during his successful campaign. Run. Chairman

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Speaker 1: Joseph Cairo said that he was deeply disappointed and Santos

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Speaker 1: may have broken the public trust, but says he will

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Speaker 1: carry out the public's will when it comes to tax

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Speaker 1: relief and public safety. Even if there's an investigation in

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Speaker 1: the House. He would take a two thirds majority in

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Speaker 1: the Republican led House to expel Santos from office. Meanwhile,

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Speaker 1: a new Congress will take power in January. Representative John

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Speaker 1: Katko of New York gave his outlook on what to

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Speaker 1: expect from the Congress. Well, I think the extremes on

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Speaker 1: both sides. I only know how to vote. Now call

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Speaker 1: the vote now, hope yes caucus and they vote over

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Speaker 1: the hope you pass it for But I think that

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Speaker 1: it's gonna hit natural more give and take with the

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Speaker 1: moderate wing of the Democratic Party because we're gonna have

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Speaker 1: to get things done. Congressman Kantako spoke with the David

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Speaker 1: Weston on Bloomberg's balance of power. We're learning more from

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Speaker 1: the transcripts of the January sixth panel. The former president's attorney,

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Speaker 1: Rudy Giuliani was in daily content act with Donald Trump

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Speaker 1: between November five, twenty twenty, and January fifty one, as

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Speaker 1: much as ten times a day. That's according to testimony

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Speaker 1: by a former New York Police commissioner, Bernard Carrick. Carrick

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Speaker 1: had been police commissioner during former New York Mayor Rudy

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Speaker 1: Giuliani's second term. Global News twenty four hours a day

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Speaker 1: on air and on Bloomberg Quicktake powered by more than

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Speaker 1: twenty seven hundred journalists and analysted more than a hundred

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Speaker 1: twenty countries. I'm Michael Barr, and this is Bloomberg, John Michael,

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Speaker 1: Thank you guys. Coming up on six ten of Wall

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Speaker 1: Street tigned out for the Sports Report being brought you

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Speaker 1: by a tri state out of dealers, John Stasher and

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Speaker 1: has the update, John Dank Morning, John Nicks went down

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Speaker 1: to Dallas. They knew they'd have to deal with mav

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Speaker 1: star Luca Donsits. They didn't know. Dons within to night

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Speaker 1: with the greatest triple double in NBA history, sixty points,

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Speaker 1: twenty one rebounds, tennessis and heroics at the end of

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Speaker 1: regulation when he went to the free throw line the

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Speaker 1: MAVs down to four seconds left. He us the free

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Speaker 1: throw on purpose, got the rebounds, scored the tying basket,

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Speaker 1: Dallas one, and overtime one. They had trailed by nine

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Speaker 1: with thirty seconds left. Nis were shorthanded due to injuries

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Speaker 1: of Jalen Brunson and r. J. Barrett. At the Garden,

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Speaker 1: Rangers shut out for the second time. Washington won for

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Speaker 1: nothing the Ubs Arena. The Islanders beat Pittsburgh five the one.

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Speaker 1: Two goals were both Landers Lee and Matthew Barzel. Marquette

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Speaker 1: beat Seaton Hall eight three sixty nine, drops the Pirates

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Speaker 1: to oh and three in the Big East. Big game

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Speaker 1: for the Giants Sunday against the Colts who are again

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Speaker 1: gonna start Nick Foles at quarterback. He just threw three interceptions.

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Speaker 1: It's the home finale for Brian Bay Bowls team. We

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Speaker 1: worked extremely hard each week to to put a good

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Speaker 1: product on the field, and um, you know one of

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Speaker 1: the reasons is, you know, for our fan base. Um

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Speaker 1: so too. You know, play at home, Um in late December,

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Speaker 1: an important game. Um, you know, it's it's important to us.

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Speaker 1: I know it's important to them, and we'll do everything

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Speaker 1: we can do to be ready to go. Yeah. Game,

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Speaker 1: Actually not late December, it's January one the Giant when

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Speaker 1: they're in the playoff. J. J. Watt will play two

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Speaker 1: more games for Arizona and then retire at age thirty three.

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Speaker 1: Three time Defensive Player of the Year while with Uston,

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Speaker 1: Wat to lock some day for the Pro Football Hall

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Speaker 1: of Fame. John Stash Bloomberg Sport John, all right, thanks

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Speaker 1: for lunch on and the Sports Report brought you by Audie.

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Speaker 1: we look ahead to the open, up today's trading Dow

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Speaker 1: futures right now point to a higher open eighty nine

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Speaker 1: points higher right now, that is a three tens of percent.

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Speaker 1: The smp Emuni futures eight points higher. They're up to

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Speaker 1: tens of percent, and then I sa Emuni futures. They've

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Speaker 1: been fluctuating between gains and losses all morning long. Right

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Speaker 1: now they're up about nineteen points, arise of about two

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Speaker 1: tenths of eight percent, and tend your treasury yield three

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Speaker 1: eight two. You're listening to Bloomberg day Break live from

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Speaker 1: coast to coast, from New York to San Francisco, Boston

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Speaker 1: to Washington, d C. Nationwide on Sirius, example of Bloomberg

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Speaker 1: Business app and Bloomberg dot Com. This is Bloomberg Daybreak,

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Speaker 1: and good morning. I'm John Tucker. It is the final

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Speaker 1: week of a dismal year for markets. Global equities have

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Speaker 1: lost about a fifth of their value This is the

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Speaker 1: largest decline since two thousand and eight on an annualized

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Speaker 1: spasis also an index of global bonds that has slumped

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Speaker 1: sixteen percent. So now what We're joined by Linda Distll,

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Speaker 1: the Federated Herme's senior vice president and senior equity strategist.

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Speaker 1: This morning gets you set up for the trading day

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Speaker 1: hand the final trading day of two Hey Linda, thanks

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Speaker 1: for me weather US appreciate it. At the end of

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Speaker 1: the day, it's all about earnings. Is earnings growth adequately

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Speaker 1: priced in? As we start the new year? Uh well, Hi,

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Speaker 1: good morning, John, and happy new year to you and

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Speaker 1: to all your listeners. Pleasure to be on. That's what's

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Speaker 1: gonna make it very interesting next year is what is

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Speaker 1: going to happen to earnings. They've been going up steadily

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Speaker 1: for years. Here consensus thinks that they'll go up again.

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Speaker 1: If if it's I's SMP earnings this year is about

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Speaker 1: two dollars per share, then the consenus, which has been

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Speaker 1: coming down is at last I checked, two hundred thirty

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Speaker 1: four dollars. This is very tricky and very tricky then

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Speaker 1: to figure out what next year will be like for

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Speaker 1: the market, because we had Federated Hermes actually think to

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Speaker 1: thirty four is way too high. We think Earnie's will

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Speaker 1: go down maybe ten or twelve percent next year, and

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Speaker 1: that is definitely not priced into the markets. So we're

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Speaker 1: kind of barished going into the new year. Um So

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Speaker 1: do you see selling a hand of forst selling, especially

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Speaker 1: given some of the margins well selling has been you know,

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Speaker 1: has been increasing here in the back piece of this year. Uh.

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Speaker 1: Earlier this month, I think we dine. I think we

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Speaker 1: were done like nine percent from fort We were at

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Speaker 1: forty not that long ago. Uh, and so we had

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Speaker 1: a nice pullback. It's in a short term basis. You

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Speaker 1: could still get that Santa Claus rally. Santa Claus could

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Speaker 1: still come even if he comes after the new year hits,

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Speaker 1: because you've pulled back so much. In fact, the S

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Speaker 1: and P for the quarter looks like it's going to

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Speaker 1: be the second best quartersince n So basically all kinds

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Speaker 1: of cross currents going on, and why we haven't had

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Speaker 1: that pick up already for the Santa Cross the rally

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Speaker 1: may have something to do with tax loss harvesting, which

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Speaker 1: is kind of the silver lining that we're telling our clients,

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Speaker 1: you know, might as well. Do it's been horrible year.

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Speaker 1: Just as you said on introduction, just about everywhere you

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Speaker 1: went to, no place to hide. That can get some

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Speaker 1: things out of the way. So maybe then our Santa

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Speaker 1: Claster rally comes at the very beginning of the year. Yeah,

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Speaker 1: if history is any guide, I'd look at some of

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Speaker 1: the data from cf R A there's a pretty good

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Speaker 1: chance there will be one. Um. Let me ask you

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Speaker 1: about the recession signals. How strong are they at this

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Speaker 1: point and what are the imply in terms of how

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Speaker 1: long and how deep any recession is going to be.

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Speaker 1: Uh Yeah, another another interesting question about next year and

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Speaker 1: what will unfold. Definitely, the the leading economic indicators in

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Speaker 1: the US, it's one of the very best metrics to

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Speaker 1: look at to say what's going to happen with with

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Speaker 1: the economy, and they're pointing down. They've been right pretty much.

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Speaker 1: You know, every time I recycled over the years, they

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Speaker 1: do point to an economic recession. But markets, we have

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Speaker 1: to remember our forecasting mechanisms and of CEO believe there's

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Speaker 1: a recession coming in. For much of people in our

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Speaker 1: business belief there's a recession. So that's why we have

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Speaker 1: to start asking ourselves what is priced in and the

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Speaker 1: earnings maybe are not priced in yet. Maybe there is

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Speaker 1: some downside, but it's not about probably whether there'll be

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Speaker 1: a recession, but how difficult will it be. And we

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Speaker 1: think it's going to be a mild economic recession, only bad,

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Speaker 1: you know if you're the one is losing your job.

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Speaker 1: But the job market is so very strong. And I

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Speaker 1: think that's something we need to remember into this recession

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Speaker 1: is the balance sheets of both businesses and consumers are

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Speaker 1: really quite strong. If we're heading into an economic recession,

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Speaker 1: that should make it milder, uh for you, for both

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Speaker 1: sides of our economy. As a stock market investor, I'm

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Speaker 1: worried about the earnings of corporate America. If interest rates

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Speaker 1: have been going up steadily, which they have done year well,

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Speaker 1: I have to bear in mind that cash on corporate

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Speaker 1: balance sheets is really high, and if debt is a

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Speaker 1: record highs on corporate balance sheets, their ability to service

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Speaker 1: that debt is also near a record high. Because they

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Speaker 1: were piling on debt at generational low interest rate. They

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Speaker 1: don't care if the interest rates are going up. If

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Speaker 1: they have debt that's termed out for basically six to

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Speaker 1: eight years, and of the debt and large gap companies

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Speaker 1: is fixed, so it should be mild for this reason. Linda,

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Speaker 1: thanks all, I appreciate it. You'll be back Linda Distel,

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Speaker 1: senior aquity strategist at Federated Hermes, and we'll continue our conversation.

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Speaker 1: At just a moment. It is five eighteen of Wall Street.

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Speaker 1: Just to hand on Bloomberg Daberg, We're gonna check out

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Speaker 1: the markets, bringing the latest news of business, economics and finance.

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Speaker 1: I'm John Sucker. You're listening to Boomberg Daybreak, markets headlines

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Speaker 1: and breaking news twenty four hours a day at Bloomberg

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Speaker 1: dot Com, the Bloomberg Business at and at Bloomberg Victap's

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Speaker 1: a Bloomberg Business Flash, and I'm Karen Moscow. Any West

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Speaker 1: Dot Index futures are higher this morning as news of

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Speaker 1: further moves by China to reopen his economy lifts investors

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Speaker 1: sentiment in the final week of a dismal year from markets.

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Speaker 1: We checked the markets all day long here on Bloomberg.

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Speaker 1: U S and P futures up six points, are about

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Speaker 1: two tenths of uppercent. OUR futures up seventy three points,

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Speaker 1: or two tenths of uppercent and nastack futures up ten

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Speaker 1: points or a tenth of uppercent, and a ten year

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Speaker 1: treasury of three thirty seconds. You have three point eight

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Speaker 1: two percent, and that's a Bloomberg business flash. Now here's

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Speaker 1: Michael Barr with more on what's going on around the world.

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Speaker 1: Michael Karen. The Supreme Court is keeping pandemic air limits

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Speaker 1: on people seeking asylum in place for now. The courts

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Speaker 1: set a February timeline for an arguments in the title

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Speaker 1: forty two case. Southwest CEO says he is optimistic the

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Speaker 1: airline will be back on track before next week after

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Speaker 1: it had to cancel thousands of flights because of the

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Speaker 1: winter storm. The Vaticans has retired. Pope Benedict's health is worsening.

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Speaker 1: The Vatican says Pope Frances went to see him. In

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Speaker 1: the NBA, the next lost in overtime the Celtics Wizards

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Speaker 1: and Warriors one. In the NHL, the Islanders won, the

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Speaker 1: Capitals beat the Rangers for zip. The Bruins lost in

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Speaker 1: the shootout. Global News twenty four hours a day on

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Speaker 1: air and on Bloomberg Quick Take, powered by more than

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Speaker 1: twenty seven under journalists and analysts, more than a hundred

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Speaker 1: twenty countries. Michael Barb, this is Bloomberg. Jump all right, Michael,

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Speaker 1: thank you very much. It is now six twenty three

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Speaker 1: on Wall Streets. This is Bloomberg Daybreak. Let's continue our

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Speaker 1: discussion this morning with Linda Disol Federated Herme's senior vice president,

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Speaker 1: senior equity strategists looking at futures right now, they're in

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Speaker 1: the green. Linda, can I ask you how close are

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Speaker 1: we to a FED pivot and what factors are you

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Speaker 1: looking at to make that decision? Uh, we don't think

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Speaker 1: we're at all close to a FED pivot. I think

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Speaker 1: that's what's one thing that's gonna be very key next

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Speaker 1: year is um You know, we all understand that inflation

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Speaker 1: has peaked and it's probably gonna come down hard next year.

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Speaker 1: But where we had Federated her we disagree with consensus

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Speaker 1: is well is it going to fall to? And that

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Speaker 1: has everything to do with the FED pivot. It's consensus

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Speaker 1: is the core pc I, c p E, whatever you

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Speaker 1: wish goes to two percent and change. We're at the

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Speaker 1: high threes by year end. We think inflation is going

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Speaker 1: to be stubborn and therefore no pivot next year they're

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Speaker 1: going to stay stay at a very high rate relative

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Speaker 1: to what we've been used to five all year long.

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Speaker 1: We're it's going to take us a while to realize

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Speaker 1: that and get used to that, and so um, yeah,

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Speaker 1: it's I wouldn't I wouldn't count on that for next year,

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Speaker 1: which is one reason why we have pretty much a

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Speaker 1: flattish year in the market. Next year. You're gonna have

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Speaker 1: to really pick your spot and investing next year. Well,

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Speaker 1: it leads me to my next question. I'll put you

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Speaker 1: on the spot. What do you see at the end

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Speaker 1: of the year for the SMP five D next year?

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Speaker 1: That's a tough call, and maybe for a race as well,

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Speaker 1: with the the tenure yield. Yeah, it is a tough call.

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Speaker 1: It's gonna be tough all year to try to figure

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Speaker 1: out where the earnings if I if I see earnings

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Speaker 1: down ten that is actually is not much compared to average.

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Speaker 1: Recessions may be done twenty or even on earnings. The

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Speaker 1: ps been priced to earnings. Racier has been hit fairly significantly.

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Speaker 1: If I give myself, you know, a high teams multiple,

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Speaker 1: I'm looking at four thousand SMP for next year. We

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Speaker 1: had thirty nine for this year and for months, and

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Speaker 1: looks like we're going to come in close to that.

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Speaker 1: That is a flat year pretty much basically. But underneath

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Speaker 1: the surface, you're gonna want to look for fat pitches.

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Speaker 1: I find bonds have the yields now creeping up again,

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Speaker 1: up towards four percent level. Bonds punished as we all

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Speaker 1: know very badly. This year could be a very interesting

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Speaker 1: year for bonds as we really settle into the notion

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Speaker 1: that this is going to last longer than what we

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Speaker 1: would all like in terms of the higher rates of inflation,

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Speaker 1: slower growth, slower economic earnings, economic growth, earnings growth. You'll

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Speaker 1: get some yield on the long end. Stuff front end

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Speaker 1: will keep it, keep you in a good yield position,

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Speaker 1: and then look for those pockets of value where you're

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Speaker 1: really getting some excellent what I like to call fat

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Speaker 1: pitches next year. Areas like home builders, banks, medals, and

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Speaker 1: energy still looking really really good to us throughout next year,

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Speaker 1: but you can have to pick your spot. Yeah, what

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Speaker 1: about the commodities, Gold as as a hedge with respect

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Speaker 1: to inflation hasn't really performed up to its filling this year.

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Speaker 1: But other spaces beyond the equities and bonds, Yeah, beyond equities,

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Speaker 1: and I mean the metals in the mining um areas

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Speaker 1: in terms of commodities. Gold as an inflation hedge, as

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Speaker 1: you suggested, hasn't really worked this year. Um inflation, if

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Speaker 1: inflation you believe, inflation is said to come down and

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Speaker 1: probably to come down hard, and you really don't need

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Speaker 1: to be worrying about that. Where we might worry about

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Speaker 1: inflation and where something like God would come into play,

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Speaker 1: as if our dollar would come crashing down. And it's

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Speaker 1: been extremely strong all years, so it can get a

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Speaker 1: bit weaker. But again again just very very patient. Outside

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Speaker 1: the US, maybe it's just difficult, and I really want

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Speaker 1: to say this to the group, is that China and

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Speaker 1: Europe could be uh could go either way next year.

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Speaker 1: Linda Alfoice employers are appreciated. Linda Distil federated herm's senior

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Speaker 1: vice spread senior equities strategist. Getting is set up for

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Speaker 1: the trading day ahead, just to have the morning's top

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Speaker 1: stories your local headlines. The first Today's Bloomberg weather for

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Speaker 1: our cast is Rob Caroline. It's gonna turn into a

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Speaker 1: partly to mostly sunny day with temperatures rising up to

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Speaker 1: about forty to forty five and cloudy in issued depart

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Speaker 1: the area fairly early on this morning. Were partly clounie

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Speaker 1: Tonight loose thirty to thirty five down into the twenties

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Speaker 1: stone of the suburbs. It'll be partly to mostly sunny

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Speaker 1: tomorrow with highs around forty five, partial sunshine Friday, temperatures

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Speaker 1: between forty five and fifty. I'm Rob Carolyn with your

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Speaker 1: three day forecast on Bloomberg eleven three oh broadcasting live

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Speaker 1: from the Bloomberg Interactive Broker Studio in New York. Bloomberg

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00:24:32,320 --> 00:24:36,400
Speaker 1: E living three on to Washington, d C. Bloomberg to Boston,

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00:24:36,480 --> 00:24:39,920
Speaker 1: Bloomberg one O six one to San Francisco, Bloomberg nine

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00:24:40,000 --> 00:24:42,840
Speaker 1: sixty to the country. Sirius XM had a one nine

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00:24:42,840 --> 00:24:46,359
Speaker 1: tea and around the globe the Bloomberg Business and Bloomberg

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00:24:46,440 --> 00:24:55,840
Speaker 1: Radio dot Com. This is Bloomberg Daybreak that's coming up

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00:24:55,880 --> 00:24:58,439
Speaker 1: on six thirty Ball Street. Good morning, I'm John Tucker

436
00:24:58,760 --> 00:25:01,480
Speaker 1: and I'm Karen Moscow. We're nearly three hours away from

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00:25:01,520 --> 00:25:03,560
Speaker 1: the open of US trading. Time for the five things

438
00:25:03,560 --> 00:25:05,560
Speaker 1: that you need to notice start your day, brought to

439
00:25:05,640 --> 00:25:08,720
Speaker 1: you by Innovation Refunds. Are you looking for ways to

440
00:25:08,760 --> 00:25:11,399
Speaker 1: grow your business get back the money that you may

441
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Speaker 1: be eligible to receive through the Employee Retention Credit. Sign

442
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Speaker 1: up now before it's too late. See if your business

443
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Speaker 1: qualifies for e r C assistants at get Refunds dot com. First,

444
00:25:22,280 --> 00:25:25,560
Speaker 1: the latest on Southwest travel woe. CEO Bob Jordan is

445
00:25:25,600 --> 00:25:29,440
Speaker 1: now issuing a public apology after the airline canceled thousands

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00:25:29,440 --> 00:25:31,960
Speaker 1: of flights yet again. Our plan for the next few

447
00:25:32,000 --> 00:25:35,400
Speaker 1: days is to fly a reduced schedule and reposition our

448
00:25:35,400 --> 00:25:38,960
Speaker 1: people and planes, and we're making headway and we're optimistic

449
00:25:39,000 --> 00:25:42,680
Speaker 1: to be back on track before next week. Southwest CEO

450
00:25:42,720 --> 00:25:45,440
Speaker 1: Bob Jordan's says he's doing everything he can to return

451
00:25:45,480 --> 00:25:49,120
Speaker 1: to normal operations, and Southwest is responsible for almost three

452
00:25:49,160 --> 00:25:52,199
Speaker 1: quarters of flight cancelations in the US that is drawing

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00:25:52,280 --> 00:25:56,200
Speaker 1: the ire of government officials. Now Bloomberg Steve Rancifort shows

454
00:25:56,280 --> 00:25:59,080
Speaker 1: US Live with the latest on that story. Steve, good morning,

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00:25:59,119 --> 00:26:01,919
Speaker 1: Good morning, John, and Karen. The Department of Transportation in

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00:26:01,960 --> 00:26:05,399
Speaker 1: a tweet called Southwest woes unacceptable, adding d O T

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00:26:05,520 --> 00:26:08,920
Speaker 1: will investigate whether the mass cancelations were controllable and if

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00:26:08,920 --> 00:26:12,480
Speaker 1: Southwest is complying with its customer service plan. That's likely

459
00:26:12,520 --> 00:26:15,359
Speaker 1: little comfort though for tens of thousands of Southwest passengers

460
00:26:15,400 --> 00:26:19,080
Speaker 1: not going anywhere today with more than flights grounded. The

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00:26:19,080 --> 00:26:21,800
Speaker 1: Biden administration wants to know why rival airlines had a

462
00:26:21,920 --> 00:26:24,760
Speaker 1: much easier time recovering from last week's storm. Live in

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00:26:24,800 --> 00:26:28,119
Speaker 1: New York. I'm Steve Rappaport, Bloomberg Daybreak. All right, Steve, thanks,

464
00:26:28,119 --> 00:26:30,639
Speaker 1: we'll training to a couple of political notes now. The

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00:26:30,680 --> 00:26:33,840
Speaker 1: Biden administration says it will comply with and enforced the

466
00:26:33,920 --> 00:26:36,840
Speaker 1: Supreme Court's ruling on Title Fort h Uo, and Bloomberg

467
00:26:36,880 --> 00:26:39,440
Speaker 1: News has learned that years of Donald Trump's tax returns

468
00:26:39,680 --> 00:26:42,639
Speaker 1: will be released Friday by a House committee. It marks

469
00:26:42,680 --> 00:26:45,280
Speaker 1: the first complete look at the former president's tax records

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00:26:45,280 --> 00:26:47,159
Speaker 1: since he declared his run for the White House. In

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00:26:48,320 --> 00:26:51,040
Speaker 1: and to markets now, US futures, they're higher right now,

472
00:26:51,080 --> 00:26:53,760
Speaker 1: following it down to Wells fore SMP five hundred is

473
00:26:53,800 --> 00:26:56,760
Speaker 1: full and more than six percent this month and almost

474
00:26:57,640 --> 00:27:01,560
Speaker 1: of the year. In Asia, more easy of COVID restrictions

475
00:27:01,560 --> 00:27:03,439
Speaker 1: help fuel the gain of one and a half percent

476
00:27:03,560 --> 00:27:07,280
Speaker 1: on Hong Kong's Hang Sang Index overnight. Well John is

477
00:27:07,320 --> 00:27:10,240
Speaker 1: Hong Kong and China is COVID restriction. Some countries are

478
00:27:10,240 --> 00:27:13,199
Speaker 1: considering whether to test or restrict travelers from China and

479
00:27:13,240 --> 00:27:16,720
Speaker 1: Hong Kong Chief Executive John Lee says scrapping COVID rules

480
00:27:16,840 --> 00:27:21,120
Speaker 1: was not a rush. Decision is not sudden. They will

481
00:27:21,160 --> 00:27:24,160
Speaker 1: always come a day when we have to make big

482
00:27:24,200 --> 00:27:29,080
Speaker 1: decision about normalization. That effectually what we are doing now.

483
00:27:29,359 --> 00:27:32,159
Speaker 1: Chief Executive John Lee says Hong Kong has prepared for

484
00:27:32,200 --> 00:27:36,080
Speaker 1: the easing of COVID restrictions for months by vaccinating much

485
00:27:36,080 --> 00:27:38,560
Speaker 1: of the population. That's the five things you need to

486
00:27:38,600 --> 00:27:42,359
Speaker 1: know to start your day, brought to you by innovation refunds.

487
00:27:42,400 --> 00:27:44,920
Speaker 1: And again, futures are higher this morning. S and P

488
00:27:45,160 --> 00:27:48,200
Speaker 1: futures they're up six points or about two tens of uppercent.

489
00:27:48,320 --> 00:27:51,399
Speaker 1: Death futures up to tens of upper center seventy eight points,

490
00:27:51,440 --> 00:27:53,879
Speaker 1: and as deck futures they're up about a tenth of

491
00:27:53,960 --> 00:27:56,639
Speaker 1: upper cent. Straight ahead, your latest local headlines plus the

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00:27:56,720 --> 00:28:05,560
Speaker 1: check of sports and this is Bloomberg. Thanks Wall Street.

493
00:28:05,560 --> 00:28:07,520
Speaker 1: Time to bring in Michael Barr with more of what

494
00:28:07,640 --> 00:28:11,160
Speaker 1: else is going on in New York and around the world. John,

495
00:28:11,200 --> 00:28:13,400
Speaker 1: thank you very much. Sarah. Officials in New York City,

496
00:28:13,520 --> 00:28:16,080
Speaker 1: State and military police were sent to keep people from

497
00:28:16,200 --> 00:28:19,760
Speaker 1: driving and snow choked Buffalo. More than thirty people died

498
00:28:19,840 --> 00:28:23,000
Speaker 1: in the region. Buffalo Mayor Byron Brown was asked about

499
00:28:23,040 --> 00:28:25,960
Speaker 1: reports of looting. There was looting that took place in

500
00:28:26,080 --> 00:28:29,280
Speaker 1: different parts of the city. I call the looters the

501
00:28:29,359 --> 00:28:32,600
Speaker 1: lowest of the low people that shouldn't even be able

502
00:28:32,640 --> 00:28:35,520
Speaker 1: to look themselves in the mirror. They should be ashamed

503
00:28:35,560 --> 00:28:38,480
Speaker 1: of themselves. Mayor Brown says crews are keeping an eye

504
00:28:38,560 --> 00:28:41,000
Speaker 1: on a warmer weather later in the week that could

505
00:28:41,040 --> 00:28:43,800
Speaker 1: bring a thread of flooding as the snow melts. More

506
00:28:43,880 --> 00:28:47,800
Speaker 1: testimony from the January six panel is providing more details

507
00:28:48,080 --> 00:28:52,120
Speaker 1: evolving former New York Mayor Rudy Giuliani. According to testimony

508
00:28:52,160 --> 00:28:55,840
Speaker 1: for Max New York Police Commissioner Bernard Carrick, Giuliani spoke

509
00:28:55,880 --> 00:28:58,560
Speaker 1: to former President Donald Trump as much as ten times

510
00:28:58,560 --> 00:29:03,000
Speaker 1: a day about possible litigation. Kerrick says the conversations took

511
00:29:03,000 --> 00:29:08,080
Speaker 1: place between November five of twenty and January fifteenth. One.

512
00:29:08,520 --> 00:29:12,160
Speaker 1: GOP leaders on Capitol Hill are mostly muted. After the

513
00:29:12,240 --> 00:29:16,240
Speaker 1: latest statement from Congressman elect George Santos, the Long Island

514
00:29:16,280 --> 00:29:20,640
Speaker 1: Republican described what he called embellishing large portions of his

515
00:29:20,760 --> 00:29:25,320
Speaker 1: background during his successful congressional run. Santos spoke on Fox

516
00:29:25,360 --> 00:29:28,440
Speaker 1: News last night with Tulsea Gambert. I made a mistake,

517
00:29:28,640 --> 00:29:31,360
Speaker 1: and I think humans are flawed and we all make mistakes.

518
00:29:31,400 --> 00:29:33,840
Speaker 1: Tulsee Um, I think we can all look at ourselves

519
00:29:33,880 --> 00:29:35,440
Speaker 1: in the mirror and admit that once in life we

520
00:29:35,520 --> 00:29:37,880
Speaker 1: made a mistake. I'm having to admit this in national

521
00:29:37,920 --> 00:29:40,840
Speaker 1: television for the whole country to see. The Republican chairman

522
00:29:40,880 --> 00:29:44,320
Speaker 1: in his district said, Santos may have broken the public's trust,

523
00:29:44,760 --> 00:29:46,959
Speaker 1: but he'll do the public's will when it comes to

524
00:29:47,000 --> 00:29:51,200
Speaker 1: tax relief and public safety. Scientists are transforming pig livers

525
00:29:51,240 --> 00:29:53,520
Speaker 1: to look and act like human ones. It's part of

526
00:29:53,520 --> 00:29:56,520
Speaker 1: a quest to ease the nation's organ shortage. Global News

527
00:29:56,560 --> 00:29:58,720
Speaker 1: twenty four hours a day on air and on Bloomberg

528
00:29:58,800 --> 00:30:01,640
Speaker 1: Quick Take, powered by more than twenty seven hundred journalist

529
00:30:01,600 --> 00:30:04,320
Speaker 1: and analysts more than a d twenty countries. Michael Barr,

530
00:30:04,400 --> 00:30:08,640
Speaker 1: this is Bloomberg Jump Michael, Thank you is now sixty

531
00:30:08,760 --> 00:30:12,320
Speaker 1: four Wolfsbrief and that's signed by the Bloomberg Sports Report,

532
00:30:12,360 --> 00:30:14,360
Speaker 1: being brought to you by your try state Outia. The

533
00:30:14,400 --> 00:30:17,320
Speaker 1: other Good morning, John Sansha Gay morning John the next

534
00:30:17,360 --> 00:30:20,480
Speaker 1: started a Texas swing. In Dallas. Jalen Brontson missed the

535
00:30:20,520 --> 00:30:22,560
Speaker 1: game against his old team injured hip, and then two

536
00:30:22,560 --> 00:30:25,080
Speaker 1: minutes in r J Barrett heard his finger. Quinn Grimes

537
00:30:25,400 --> 00:30:28,840
Speaker 1: pitched head. He scored thirty three Julius Randol at eighteen

538
00:30:28,840 --> 00:30:32,560
Speaker 1: rebounds and then next led by nine with thirty seconds

539
00:30:32,600 --> 00:30:35,280
Speaker 1: to go. They led by two with four seconds left.

540
00:30:35,280 --> 00:30:48,440
Speaker 1: In Luca, Don sage at the free throw long some

541
00:30:48,680 --> 00:30:57,040
Speaker 1: classes at the play class Clarks time most bolstosion Mike

542
00:30:57,040 --> 00:30:59,640
Speaker 1: Green on MSG. So we missed the free throw on purpose,

543
00:30:59,760 --> 00:31:02,680
Speaker 1: got the rebound, tied the game share enough Dallas one

544
00:31:02,800 --> 00:31:08,400
Speaker 1: on one. Amazing night for Don's at sixty points one rebounds.

545
00:31:08,400 --> 00:31:11,720
Speaker 1: Tennis says greatest triple double NBA history. The Garden Rangers

546
00:31:11,760 --> 00:31:14,200
Speaker 1: lost to Washington for nothing. The Caps Darcy Camper stopped

547
00:31:14,200 --> 00:31:16,560
Speaker 1: all thirty two Rangers shots. Last time. The Rangers were

548
00:31:16,600 --> 00:31:19,280
Speaker 1: shut out back in October by the Islanders, who just

549
00:31:19,320 --> 00:31:21,480
Speaker 1: bake Pittsburgh five to one. It's their first two game

550
00:31:21,480 --> 00:31:24,280
Speaker 1: win streak in a month. Is Carlos Korea gonna bring

551
00:31:24,280 --> 00:31:26,600
Speaker 1: a Maddie was gonna be a giant until the red

552
00:31:26,600 --> 00:31:28,840
Speaker 1: flag arose and mis physical and now the Mets are

553
00:31:28,840 --> 00:31:31,440
Speaker 1: concerned about an ankle injury. They reported they want to

554
00:31:31,560 --> 00:31:35,800
Speaker 1: restructure the contract, and there's word Korea not in agreement

555
00:31:35,880 --> 00:31:38,200
Speaker 1: with that, and now other teams said to be looking

556
00:31:38,200 --> 00:31:41,840
Speaker 1: to sign Korea. I'm Stasholler, Bloomberg Sports. John. All right, John,

557
00:31:41,880 --> 00:31:45,120
Speaker 1: thanks very much, and the Sports report brought you by Audie.

558
00:31:45,200 --> 00:31:47,400
Speaker 1: Don't let someone else drive off of the Audi model

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00:31:47,440 --> 00:31:50,720
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Speaker 1: visit Audie Offers dot com for more information. You're listening

562
00:31:58,160 --> 00:32:02,960
Speaker 1: to Bloomberg Daybreak. Yeah, it's our six thirty fives on

563
00:32:03,000 --> 00:32:06,080
Speaker 1: Wall Street. Bloomberg Radios on the year from San Francisco

564
00:32:06,120 --> 00:32:08,480
Speaker 1: to New York, London to Hong Kong. Let's check in

565
00:32:08,520 --> 00:32:10,720
Speaker 1: now with our global news team some of the top

566
00:32:10,760 --> 00:32:14,600
Speaker 1: stories heard on our three hundred affiliate radio stations around

567
00:32:14,640 --> 00:32:20,320
Speaker 1: the world. I'm Steve Polas Scott k f A D

568
00:32:20,480 --> 00:32:23,760
Speaker 1: in Omaha. We're talking about how the winter blast is

569
00:32:23,840 --> 00:32:28,080
Speaker 1: pushing wheat prices sharply high. I'm Jeff Bellinger and on

570
00:32:28,240 --> 00:32:31,600
Speaker 1: Cogo in San Diego, I'll be talking about Apple stock

571
00:32:31,720 --> 00:32:34,720
Speaker 1: closing at the lowest levels since June of last year.

572
00:32:35,160 --> 00:32:37,640
Speaker 1: I'm Kimberly Adams and on WBC in Boston, I'll be

573
00:32:37,680 --> 00:32:41,720
Speaker 1: reporting on Activision Blizzard video game employees seeking a union

574
00:32:41,800 --> 00:32:44,600
Speaker 1: in Boston. I'm Stephen Carol and Bloomberg d A B

575
00:32:44,760 --> 00:32:47,480
Speaker 1: Radio and London, We've been reporting on the market reaction

576
00:32:47,560 --> 00:32:51,440
Speaker 1: to Hong Kong lifting more of its COVID restrictions. I'm

577
00:32:51,480 --> 00:32:54,200
Speaker 1: Gina Servetti and for w T A M. In Cleveland,

578
00:32:54,240 --> 00:32:56,960
Speaker 1: I'm reporting that power bills are likely to jump even

579
00:32:57,040 --> 00:33:00,920
Speaker 1: higher as wholesale prices surge in parts of the country

580
00:33:01,040 --> 00:33:05,120
Speaker 1: during the worst of a recent brutal cold snap. And

581
00:33:05,240 --> 00:33:08,800
Speaker 1: those are some of these stories there Bloomberg journalists and

582
00:33:08,840 --> 00:33:12,320
Speaker 1: analysts are working on this morning around the world. It

583
00:33:12,720 --> 00:33:15,120
Speaker 1: is now six thirty seven on Wall Street. That is

584
00:33:15,160 --> 00:33:18,680
Speaker 1: time for our daily Bloomberg Real Estate Report. And here

585
00:33:18,720 --> 00:33:22,200
Speaker 1: we're then, is Bloomberg's Denise PALLAGRENI watch for housing demand

586
00:33:22,480 --> 00:33:26,200
Speaker 1: and home prices to bounce back as mortgage rates eventually

587
00:33:26,320 --> 00:33:29,920
Speaker 1: start to trend lower. People who are thinking that the

588
00:33:29,960 --> 00:33:32,760
Speaker 1: world is coming to an end, here, it's not that bad.

589
00:33:32,800 --> 00:33:36,440
Speaker 1: There's a natural floor to how low house prices can

590
00:33:36,480 --> 00:33:38,680
Speaker 1: go because we don't have the same amount of supply

591
00:33:38,800 --> 00:33:41,719
Speaker 1: we had done. Jerry Howard is CEO of the National

592
00:33:41,760 --> 00:33:44,640
Speaker 1: Association of home Builders. There's still a great deal of

593
00:33:44,640 --> 00:33:48,040
Speaker 1: pent up demand. I think that, combined with growth in

594
00:33:48,120 --> 00:33:51,880
Speaker 1: other areas of the economy, they bring us back in two. Howard, though,

595
00:33:51,960 --> 00:33:56,000
Speaker 1: also warns too many regulations are preventing builders from being

596
00:33:56,040 --> 00:33:59,120
Speaker 1: able to build much affordable housing. That's a good example

597
00:33:59,160 --> 00:34:02,800
Speaker 1: of this problem is San Diego were over fifty. That's

598
00:34:02,840 --> 00:34:05,720
Speaker 1: five oh percent of the cost of building a new

599
00:34:05,760 --> 00:34:10,719
Speaker 1: home is in regulatory compliance. That's absolutely ridiculous, and that's

600
00:34:10,719 --> 00:34:14,360
Speaker 1: why San Diego County has housing halves and housing have knots.

601
00:34:14,560 --> 00:34:17,440
Speaker 1: And that's the Bloomberg Real Estate Report. Under these pelegrading

602
00:34:17,840 --> 00:34:21,600
Speaker 1: thanks Denise Solana. The cryptocurrency that was back by falling

603
00:34:21,640 --> 00:34:25,480
Speaker 1: crypto moguls SAM bankmt free tumbling today their concerns that

604
00:34:25,640 --> 00:34:29,680
Speaker 1: large holders may be about to offload the token Slanta,

605
00:34:29,760 --> 00:34:33,440
Speaker 1: dropping as much as twelve percent today. It was trading

606
00:34:33,800 --> 00:34:37,000
Speaker 1: close to nine percent lower this morning in London trading.

607
00:34:37,239 --> 00:34:40,759
Speaker 1: Other tokens so modest declines either that slipped about one

608
00:34:40,800 --> 00:34:44,439
Speaker 1: point three percent. Then you had to Bitcoin right now

609
00:34:44,560 --> 00:34:48,000
Speaker 1: that is down about two tenths of a percent at

610
00:34:48,080 --> 00:34:51,760
Speaker 1: sixteen thousand, six hundred sixty eight dollars for token. There

611
00:34:52,320 --> 00:35:03,600
Speaker 1: you are listening the Bloomberg Tame, break markets, headlines and

612
00:35:03,719 --> 00:35:07,080
Speaker 1: breaking news twenty four hours a day at Bloomberg dot com,

613
00:35:07,080 --> 00:35:10,640
Speaker 1: the Bloomberg Business Out and at Bloomberg Quicktape. This is

614
00:35:10,680 --> 00:35:20,440
Speaker 1: a Bloomberg Business lash. I'm Karen Monsal. Futures are on

615
00:35:20,520 --> 00:35:22,560
Speaker 1: the rise this morning. We go to the First Word

616
00:35:22,600 --> 00:35:25,440
Speaker 1: breaking news desk for today's morning call, and here's Tatiana

617
00:35:25,520 --> 00:35:30,360
Speaker 1: Darry Tatiana, good morning, Good morning, Karen. The futures holding

618
00:35:30,400 --> 00:35:33,040
Speaker 1: to some modest games here, with dog contracts up to

619
00:35:33,080 --> 00:35:37,400
Speaker 1: eighty three points, s andps up seven and NASDAK up twelve.

620
00:35:37,640 --> 00:35:39,759
Speaker 1: The U S tenure yield the lower by about two

621
00:35:39,800 --> 00:35:42,960
Speaker 1: basis points at three spot a two percent. Oil is

622
00:35:43,000 --> 00:35:45,760
Speaker 1: down half a percent, and the dollar is slightly weaker

623
00:35:45,840 --> 00:35:49,160
Speaker 1: for a third session here Elsewhere, European stocks are a

624
00:35:49,200 --> 00:35:52,680
Speaker 1: little changed at this hour, while Asian shares were mixed overnight.

625
00:35:53,000 --> 00:35:55,520
Speaker 1: Back in the US. On the economic front, today, home

626
00:35:55,560 --> 00:35:59,040
Speaker 1: sales at ten and an early trading this morning, we're

627
00:35:59,080 --> 00:36:02,400
Speaker 1: seeing a rebound in Tesla shares after seven days of losses.

628
00:36:02,680 --> 00:36:05,000
Speaker 1: The stock is hired by about three percent in the

629
00:36:05,000 --> 00:36:08,560
Speaker 1: pre market. In the healthcare space, at John's Therapeutics jumps

630
00:36:08,560 --> 00:36:12,520
Speaker 1: as much as after gill Lead agreed to acquire all

631
00:36:12,560 --> 00:36:17,440
Speaker 1: remaining rights to immunotherapy and among cryptocurrencies, Salana dropped as

632
00:36:17,520 --> 00:36:20,720
Speaker 1: much as twelve percent this morning, bringing it's year today

633
00:36:20,760 --> 00:36:25,080
Speaker 1: decline to nine percent this year so far. Lie from

634
00:36:25,080 --> 00:36:29,040
Speaker 1: the First Breaking News Desk. I'm Tatiana Daria Karen Alry Tatianna.

635
00:36:29,160 --> 00:36:31,560
Speaker 1: Thank you and your life breaking news of your Bloomberg

636
00:36:31,600 --> 00:36:34,759
Speaker 1: type squawk on your terminal rescue you a w K,

637
00:36:34,880 --> 00:36:37,279
Speaker 1: that's a Bloomberg business lash. Now here's Michael Barr with

638
00:36:37,360 --> 00:36:39,840
Speaker 1: more on what's going on around the world. Michael Karen

639
00:36:39,880 --> 00:36:44,400
Speaker 1: about Southwest flights have been canceled for today, Monday and Tuesday.

640
00:36:44,400 --> 00:36:47,080
Speaker 1: The airline scrapped more than five thousand flights because of

641
00:36:47,120 --> 00:36:50,960
Speaker 1: the winter storm. President Biden said his administration would comply

642
00:36:51,120 --> 00:36:54,600
Speaker 1: with the Supreme Courts order keeping in place sweeping coronavirus

643
00:36:54,719 --> 00:36:58,440
Speaker 1: border controls under Title forty two. The Vatican says the

644
00:36:58,480 --> 00:37:01,680
Speaker 1: health of retired Pope Benidet has undergone a worsening in

645
00:37:01,719 --> 00:37:04,719
Speaker 1: the last hours, and that doctors are monitoring the nine

646
00:37:05,120 --> 00:37:07,880
Speaker 1: year olds condition. In the NBA, the next loss in

647
00:37:07,960 --> 00:37:11,600
Speaker 1: overtime the Celtics Wizards and Warriors one. In the NHL,

648
00:37:11,680 --> 00:37:14,680
Speaker 1: the Islanders one. The Capitals beat the Rangers for ZIP.

649
00:37:14,920 --> 00:37:18,000
Speaker 1: The Bruins lost in the shootout. Global News twenty four

650
00:37:18,000 --> 00:37:21,040
Speaker 1: hours a day on here and on Bloomberg Quicktake, powered

651
00:37:21,040 --> 00:37:23,520
Speaker 1: by more than twenty seven hundred journalists and analysts more

652
00:37:23,520 --> 00:37:26,480
Speaker 1: than a hundred twenty countries. I'm Michael Bar. This is Bloomberg.

653
00:37:26,520 --> 00:37:29,000
Speaker 1: Karen alright, Michael Bar, thank you. At at six forty

654
00:37:29,000 --> 00:37:31,120
Speaker 1: two on Wall Street, returned to news and science and

655
00:37:31,120 --> 00:37:34,280
Speaker 1: technology now with the Bloomberg and j I t. Stem Report,

656
00:37:34,360 --> 00:37:37,439
Speaker 1: And here's just making news and science, technology, engineering and math.

657
00:37:37,960 --> 00:37:41,240
Speaker 1: China's decision to abandon its COVID zero policy and reopenous

658
00:37:41,360 --> 00:37:45,279
Speaker 1: borders has prompted a global response. Countries are considering whether

659
00:37:45,320 --> 00:37:49,120
Speaker 1: to test or restrict travelers from China. Beijing's policy reversal

660
00:37:49,160 --> 00:37:52,480
Speaker 1: has triggered nationwide COVID outbreaks. Both the US and Japan

661
00:37:52,520 --> 00:37:56,440
Speaker 1: are weighing new restrictions on people arriving from China. Customers

662
00:37:56,480 --> 00:37:59,360
Speaker 1: have failed cryptocurrency exchange f t X IT filed student

663
00:37:59,360 --> 00:38:01,799
Speaker 1: Delaware Bank c Court. They're hoping to be first in

664
00:38:01,880 --> 00:38:04,160
Speaker 1: line to recover some of the billions lost in the

665
00:38:04,200 --> 00:38:08,240
Speaker 1: meltdown of Sam Bankman Freed's digital asset Empire. The suit

666
00:38:08,280 --> 00:38:10,680
Speaker 1: asked to judge to give customers who came in priority

667
00:38:10,760 --> 00:38:14,320
Speaker 1: over other ftx creditors. And here's a Tesla now on

668
00:38:14,360 --> 00:38:18,960
Speaker 1: their longest losing streaks since tween. Elon must Electric carmaker

669
00:38:19,040 --> 00:38:22,080
Speaker 1: fell even for the seventh straight decline. A report of

670
00:38:22,120 --> 00:38:24,840
Speaker 1: a plan to temporarily halt production at Tesla's factory and

671
00:38:24,960 --> 00:38:28,560
Speaker 1: China has led to concerns about falling demand. Tesla is

672
00:38:28,600 --> 00:38:32,279
Speaker 1: now down sixty this year. And that's the Bloomberg n

673
00:38:32,360 --> 00:38:35,160
Speaker 1: j I T STEM report. John, all right, thanks Karen.

674
00:38:35,239 --> 00:38:37,279
Speaker 1: It is now sixty three on Wall Street. Time to

675
00:38:37,360 --> 00:38:39,920
Speaker 1: check what's going on in d c U. Some of

676
00:38:39,960 --> 00:38:43,040
Speaker 1: the top stories on our nation's capital include, Well, Southwest

677
00:38:43,120 --> 00:38:46,440
Speaker 1: Airlines does expect more flight cancelations for at least another

678
00:38:46,680 --> 00:38:50,759
Speaker 1: few days, the government questioning whether airline is complying with

679
00:38:50,880 --> 00:38:54,719
Speaker 1: its customer service plan. President Biden will comply with the

680
00:38:54,719 --> 00:38:59,200
Speaker 1: Supreme Courts Border immigration ruling Donald Trump's tax returns. They

681
00:38:59,200 --> 00:39:02,160
Speaker 1: are sent to be at least tomorrow by a House committee.

682
00:39:02,560 --> 00:39:06,360
Speaker 1: And then you have power cast surging six thousand percent.

683
00:39:06,960 --> 00:39:10,359
Speaker 1: That signals staring us home heating bills that come. Let's

684
00:39:10,400 --> 00:39:12,240
Speaker 1: take a deeper to have into some of these stories

685
00:39:12,360 --> 00:39:15,600
Speaker 1: this morning with Terry Haines. He's the founder of Panji,

686
00:39:15,680 --> 00:39:18,439
Speaker 1: a Policy. Terry, thanks for being with us again this morning.

687
00:39:18,520 --> 00:39:22,080
Speaker 1: Appreciate it. Let's start with Southwest. Have you ever been

688
00:39:22,080 --> 00:39:24,960
Speaker 1: stranded in an airport? You know how bad this could be?

689
00:39:25,320 --> 00:39:29,759
Speaker 1: Where is the U. S. Transportation Department in all of this?

690
00:39:30,200 --> 00:39:33,560
Speaker 1: I'm trying to figure out who owns this, who's responsible? Terry?

691
00:39:35,360 --> 00:39:39,520
Speaker 1: Good morning, John, And uh, the government will do do

692
00:39:39,560 --> 00:39:42,120
Speaker 1: whatever you can to make sure the Southwest is responsible

693
00:39:42,160 --> 00:39:46,680
Speaker 1: for this, but uh, in this case, it's probably Jimmy

694
00:39:46,760 --> 00:39:50,880
Speaker 1: Carter's fault. And uh, I say that because the airlines

695
00:39:51,200 --> 00:39:56,839
Speaker 1: were federally deregulated. Regulation. Terry, did you just say regulation

696
00:39:57,000 --> 00:40:00,920
Speaker 1: is good? No? No? Well yes, I'm regulation is sure?

697
00:40:01,000 --> 00:40:04,200
Speaker 1: Why not? But the you know, and but you know

698
00:40:04,360 --> 00:40:08,240
Speaker 1: this stuff is complicated. Does the secretary Transportation Secretary Botages

699
00:40:08,960 --> 00:40:13,920
Speaker 1: has already decided, you know, according to an interview that

700
00:40:13,920 --> 00:40:16,719
Speaker 1: he had with NBC that this has crossed the line

701
00:40:16,760 --> 00:40:20,520
Speaker 1: from an uncontrollable weather situation to something that is the

702
00:40:20,520 --> 00:40:24,160
Speaker 1: airline's direct responsibility. I think where we come down on

703
00:40:24,200 --> 00:40:27,840
Speaker 1: this is eventually is is it's going to be some

704
00:40:28,000 --> 00:40:32,680
Speaker 1: of both. D O T will investigate, the Congress will investigate.

705
00:40:33,040 --> 00:40:36,400
Speaker 1: I have two issues, one of which is, uh, you know,

706
00:40:36,480 --> 00:40:39,480
Speaker 1: kind of the weather act of God stuff which wouldn't

707
00:40:39,520 --> 00:40:43,000
Speaker 1: even be picked up by a flight compensation regulation, which

708
00:40:43,040 --> 00:40:45,960
Speaker 1: we we haven't had in this country since uh, the

709
00:40:46,200 --> 00:40:50,000
Speaker 1: flight conversation tariff, which we haven't had since UM. The

710
00:40:50,040 --> 00:40:52,960
Speaker 1: other part of it, though is Southwest itself does say

711
00:40:53,000 --> 00:40:57,360
Speaker 1: it was culpable because it's crew scheduling tools, other scheduling

712
00:40:57,920 --> 00:41:00,160
Speaker 1: or have been a problem as well as the the

713
00:41:00,200 --> 00:41:02,920
Speaker 1: airline is set up, which is uh a kind of

714
00:41:02,960 --> 00:41:05,640
Speaker 1: hop scotch configuration which is very different to the kind

715
00:41:05,640 --> 00:41:09,320
Speaker 1: of hub and spoke networks that other airlines have. So

716
00:41:09,800 --> 00:41:15,240
Speaker 1: you know, if consumers, particularly people who had these tickets

717
00:41:15,239 --> 00:41:19,359
Speaker 1: and had these flights, should not look for complete satisfaction,

718
00:41:19,800 --> 00:41:22,480
Speaker 1: I think they are eventually like that. He gets some satisfaction,

719
00:41:22,520 --> 00:41:25,280
Speaker 1: and what the airlines are likely to see is beefing

720
00:41:25,320 --> 00:41:30,640
Speaker 1: up of flight compensation regulations and also pushing on technology

721
00:41:30,719 --> 00:41:33,319
Speaker 1: to make sure that their crews, their pilots, and their

722
00:41:33,320 --> 00:41:37,080
Speaker 1: planes are much better managed than apparently they are today.

723
00:41:37,120 --> 00:41:40,040
Speaker 1: It might also reflect a broader problem with just employment,

724
00:41:40,080 --> 00:41:43,839
Speaker 1: I mean, just cruise not showing up. Oh I think so. Yeah,

725
00:41:43,880 --> 00:41:45,799
Speaker 1: I mean one of the things that you're quite right

726
00:41:45,840 --> 00:41:48,280
Speaker 1: to bring that up. One of the things that steath

727
00:41:48,360 --> 00:41:50,160
Speaker 1: Less said is it is that they were having a

728
00:41:50,239 --> 00:41:53,680
Speaker 1: terrible time with their crew scheduling the crew, but the

729
00:41:53,760 --> 00:41:57,080
Speaker 1: crews themselves weren't showing up. So so that that's going

730
00:41:57,120 --> 00:41:59,000
Speaker 1: to have to be looked at. And again, I don't

731
00:41:59,000 --> 00:42:02,240
Speaker 1: think there's there's gonna be any quicker or easy fixed

732
00:42:02,239 --> 00:42:04,680
Speaker 1: to any of that. And you run into kind of

733
00:42:04,760 --> 00:42:08,560
Speaker 1: management union issues on top of that as well. So, uh,

734
00:42:08,680 --> 00:42:11,960
Speaker 1: this is not an easy situation to fix by any means.

735
00:42:12,600 --> 00:42:16,759
Speaker 1: We had a ruling from the Supreme Court untitled forty two.

736
00:42:17,080 --> 00:42:19,880
Speaker 1: As a result, the administration says it is going to

737
00:42:20,080 --> 00:42:24,480
Speaker 1: comply with the border immigration ruling from the High Court.

738
00:42:24,920 --> 00:42:28,160
Speaker 1: Does Biden now on this, and uh, what kind of

739
00:42:28,160 --> 00:42:32,319
Speaker 1: position does this put the administration in? Well, Uh, the

740
00:42:32,320 --> 00:42:34,680
Speaker 1: the administration does own it to some extent, but at

741
00:42:34,680 --> 00:42:38,399
Speaker 1: the same time, they're they're busily trying to offload their

742
00:42:38,440 --> 00:42:41,560
Speaker 1: ownership onto the Congress by saying, well, you know, Congress

743
00:42:41,560 --> 00:42:45,600
Speaker 1: needs to send us something that's immigration, immigration reform. That's

744
00:42:45,640 --> 00:42:49,719
Speaker 1: fair enough. It's been ten years or more since Congress

745
00:42:49,760 --> 00:42:54,200
Speaker 1: has even tried to seriously address immigration reform. It is

746
00:42:54,760 --> 00:42:58,200
Speaker 1: it is long overdue in the media. But I have

747
00:43:00,000 --> 00:43:03,000
Speaker 1: little confidence that that that, particularly a split Congress, is

748
00:43:03,040 --> 00:43:05,239
Speaker 1: going to be able to do that. They always run

749
00:43:05,320 --> 00:43:08,799
Speaker 1: up against the the run up on the on the rock,

750
00:43:08,880 --> 00:43:12,719
Speaker 1: on the shoal of talking about path to citizenship and

751
00:43:12,760 --> 00:43:15,839
Speaker 1: what they mean and how they should be structured. Uh,

752
00:43:15,880 --> 00:43:19,360
Speaker 1: that's always a huge problem. Uh, the administration is not

753
00:43:19,440 --> 00:43:21,719
Speaker 1: going to be able to provide a lot of leadership

754
00:43:21,760 --> 00:43:24,920
Speaker 1: in this regard or or you know, kind of front

755
00:43:24,920 --> 00:43:27,239
Speaker 1: load whatever the solution is. They don't want to go

756
00:43:27,280 --> 00:43:30,480
Speaker 1: out on that limb. So what's going to happen is that,

757
00:43:30,680 --> 00:43:33,840
Speaker 1: you know, the Supreme Court's decision has some has some

758
00:43:33,960 --> 00:43:37,840
Speaker 1: good practical effect, although it's it's very imperfect because it

759
00:43:37,880 --> 00:43:40,880
Speaker 1: helps manage the border. I'm not defending the policy by

760
00:43:40,920 --> 00:43:43,160
Speaker 1: saying so, I'm just saying there's a practical effect here.

761
00:43:43,719 --> 00:43:45,680
Speaker 1: But the stay is very narrow. The stay that the

762
00:43:45,719 --> 00:43:49,719
Speaker 1: Streme Court put up was really only to address the

763
00:43:49,800 --> 00:43:53,239
Speaker 1: question of whether states could intervene here and insist on

764
00:43:53,840 --> 00:43:58,480
Speaker 1: UH stricter enforcement. So the Supreme Court itself is not

765
00:43:58,560 --> 00:44:02,000
Speaker 1: going to be a cure all for immigration policy or

766
00:44:02,040 --> 00:44:05,799
Speaker 1: Titles forty two policy at all. Eventually, Congress is going

767
00:44:05,840 --> 00:44:08,520
Speaker 1: to have to try to deal with this, and UH,

768
00:44:08,680 --> 00:44:12,239
Speaker 1: you know, anybody that's concerned about the border UH and

769
00:44:12,520 --> 00:44:18,280
Speaker 1: border enforcement, border security and in a rational immigration policy

770
00:44:18,320 --> 00:44:20,120
Speaker 1: in this country. UM, I think it's going to be

771
00:44:20,120 --> 00:44:23,520
Speaker 1: disappointed over the next few months because a new Congress

772
00:44:23,560 --> 00:44:26,600
Speaker 1: fighting over a variety of other things including spending, potentially

773
00:44:26,640 --> 00:44:29,239
Speaker 1: debt ceilings and other things. UM, is not going to

774
00:44:29,320 --> 00:44:31,200
Speaker 1: really be able to deal with that, I think in

775
00:44:31,239 --> 00:44:33,840
Speaker 1: a in a quicker easy way. But I'd look for

776
00:44:33,880 --> 00:44:36,480
Speaker 1: some of those centrists the John Kako on earlier, and

777
00:44:36,480 --> 00:44:38,799
Speaker 1: he's quite right to say some of the centrists will

778
00:44:38,840 --> 00:44:41,399
Speaker 1: be dealing with this too. Terry a pleasure. Thanks, that's

779
00:44:41,400 --> 00:44:43,960
Speaker 1: all we have time for a founder of pange At policy.

780
00:44:44,280 --> 00:44:46,319
Speaker 1: You can read more about these stories on Bloomberg dot

781
00:44:46,360 --> 00:44:49,360
Speaker 1: com or the Bloomberg terminal, and also a reminder you

782
00:44:49,400 --> 00:44:52,200
Speaker 1: can follow all the latest on Bloomberg Radio in Washington.

783
00:44:52,680 --> 00:44:56,719
Speaker 1: That's Bloomberg at one or five point seven. FM h

784
00:44:56,880 --> 00:45:03,920
Speaker 1: D two is Bloomberg Day, Brighten Markets, headlines and breaking

785
00:45:03,960 --> 00:45:06,839
Speaker 1: news twenty four hours a day at Bloomberg dot Com,

786
00:45:06,960 --> 00:45:10,520
Speaker 1: the Bloomberg Business Outland at Bloomberg Quick Take. This is

787
00:45:10,520 --> 00:45:19,600
Speaker 1: a Bloomburn business flash. And I'm Karen Moscow Futures on

788
00:45:19,640 --> 00:45:21,640
Speaker 1: the rise this morning. We check the markets all day

789
00:45:21,680 --> 00:45:24,120
Speaker 1: long here on Bloomberg. But SNP Future is up about

790
00:45:24,120 --> 00:45:26,719
Speaker 1: eleven points or three tens of uppercent. Down Future is

791
00:45:26,760 --> 00:45:29,080
Speaker 1: up three tens of upper cent or a hundred four points,

792
00:45:29,400 --> 00:45:32,360
Speaker 1: and NASTAC futures have two tens of uppercent or twenty

793
00:45:32,400 --> 00:45:35,520
Speaker 1: four points. The decks in Germany is little change ten.

794
00:45:35,600 --> 00:45:38,960
Speaker 1: Your treasury up four thirty seconds. He'll three point two percent,

795
00:45:39,040 --> 00:45:41,440
Speaker 1: the yield of the two year four point three three percent.

796
00:45:41,840 --> 00:45:43,839
Speaker 1: NIMEX screwed oil is down a third of u percent,

797
00:45:43,920 --> 00:45:46,120
Speaker 1: or twenty six cents at seventy nine dollars twenty seven

798
00:45:46,160 --> 00:45:48,920
Speaker 1: cents of barrel comes Gold down seven tenths percent or

799
00:45:48,920 --> 00:45:52,080
Speaker 1: eleven dollars ninety cents at eighteen eleven, twenty announced the

800
00:45:52,120 --> 00:45:55,000
Speaker 1: euro one point six five one against the dollar, British

801
00:45:55,040 --> 00:45:57,360
Speaker 1: pound one point to zero eight six and the n

802
00:45:57,440 --> 00:46:00,439
Speaker 1: one thirty three point eight two and Bitcoin this morning

803
00:46:00,440 --> 00:46:04,480
Speaker 1: down a tenth of a percent at about six seventy dollars.

804
00:46:04,480 --> 00:46:07,359
Speaker 1: And it's a Bloomberg business flash. John, all right, thanks

805
00:46:07,400 --> 00:46:10,360
Speaker 1: a lot, Karen. It is now six fifty six on

806
00:46:10,440 --> 00:46:12,719
Speaker 1: Wall Street. That's time to take a look at stock,

807
00:46:12,840 --> 00:46:14,600
Speaker 1: some of the names that are moving in the pre market.

808
00:46:14,640 --> 00:46:16,879
Speaker 1: And for that we're joined by Bloomberg Radio and TV

809
00:46:16,960 --> 00:46:22,280
Speaker 1: markets correspondent Pretty Gupta. So after a big fall, I guess,

810
00:46:22,320 --> 00:46:25,560
Speaker 1: bargain hunters, what's what's the story with Tesla? Yeah, a

811
00:46:25,600 --> 00:46:27,680
Speaker 1: little bit of dip buying here, and it's interesting because

812
00:46:27,680 --> 00:46:31,200
Speaker 1: there's no real fundamental driver today outside of it's been

813
00:46:31,280 --> 00:46:33,640
Speaker 1: dropping for seven days straight, so it was due for

814
00:46:33,680 --> 00:46:35,799
Speaker 1: a little bit of love. T s l A is

815
00:46:35,920 --> 00:46:38,719
Speaker 1: your taker. They're up about three point four percent in

816
00:46:38,760 --> 00:46:41,239
Speaker 1: the pre market, not too shabby, but I will say

817
00:46:41,239 --> 00:46:42,920
Speaker 1: there was quite a bit of heavy volume. I want

818
00:46:42,960 --> 00:46:46,319
Speaker 1: to say round five five ish, uh a m New

819
00:46:46,400 --> 00:46:48,719
Speaker 1: York time, and which has still kind of kept the

820
00:46:48,719 --> 00:46:50,760
Speaker 1: stock moving. And I think that's a really big story.

821
00:46:50,840 --> 00:46:53,040
Speaker 1: But once again we're talking about the pressures here that

822
00:46:53,080 --> 00:46:57,120
Speaker 1: are on Tesla stock. Yesterday they reported that their Shanghai production,

823
00:46:57,120 --> 00:46:59,879
Speaker 1: for example, this coming from out of Reuter's might take

824
00:46:59,880 --> 00:47:03,000
Speaker 1: a hit as well. Their delivery numbers across e V

825
00:47:03,160 --> 00:47:07,200
Speaker 1: space have really been lower as well. So Tesla facing

826
00:47:07,280 --> 00:47:09,759
Speaker 1: all sorts of pressure right now. But today really does

827
00:47:09,800 --> 00:47:12,800
Speaker 1: feel like a dip buyer story. Joining indication Elon Muski

828
00:47:12,920 --> 00:47:16,719
Speaker 1: is going to focus on his Tesla company and not

829
00:47:16,880 --> 00:47:20,600
Speaker 1: other stuff. Um, there might be. I mean that seems

830
00:47:20,600 --> 00:47:22,279
Speaker 1: to be the hope at least, and you did see

831
00:47:22,880 --> 00:47:24,960
Speaker 1: in the New Years is he like one of his

832
00:47:25,120 --> 00:47:30,080
Speaker 1: resolutions is to like stop being loony. I can't speak

833
00:47:30,120 --> 00:47:32,400
Speaker 1: to that. I don't have access to his diary admittedly,

834
00:47:32,560 --> 00:47:34,840
Speaker 1: but uh, I have to say this kind of Twitter

835
00:47:34,920 --> 00:47:36,840
Speaker 1: saga there is if you're starting to read something. The

836
00:47:36,840 --> 00:47:39,320
Speaker 1: analyst notes the idea here that if Twitter is indeed

837
00:47:39,320 --> 00:47:41,960
Speaker 1: looking for a new CEO, that will kind of return

838
00:47:42,200 --> 00:47:46,000
Speaker 1: Tesla shares back to back to its former glory, if

839
00:47:46,040 --> 00:47:49,080
Speaker 1: you will, If Elon Musk can actually revert his his

840
00:47:49,160 --> 00:47:51,759
Speaker 1: attention back to the company, but that is still a

841
00:47:51,880 --> 00:47:55,360
Speaker 1: process that may take months. So quite a little bit

842
00:47:55,360 --> 00:47:58,719
Speaker 1: of optimism baked into that. Okay, this next stock that

843
00:47:58,760 --> 00:48:01,600
Speaker 1: you're looking at. This is kind dark. It is dark,

844
00:48:01,920 --> 00:48:06,000
Speaker 1: but important. Nonetheless, So we have a Supreme Court decision

845
00:48:06,440 --> 00:48:09,799
Speaker 1: on a law called Title forty two, essentially lets the

846
00:48:09,840 --> 00:48:13,600
Speaker 1: government quickly expel people people who could have been eligible

847
00:48:13,640 --> 00:48:17,000
Speaker 1: for asylum, for example, using the health emergency created by

848
00:48:17,040 --> 00:48:20,120
Speaker 1: the spread of COVID nineteen so um, basically the migrant

849
00:48:20,200 --> 00:48:23,920
Speaker 1: crisis at the southern borders. So you know, you can

850
00:48:24,200 --> 00:48:26,160
Speaker 1: send them back, but first you gotta lock them up

851
00:48:26,680 --> 00:48:29,160
Speaker 1: in theory. And here's where it gets a little bit dark,

852
00:48:29,239 --> 00:48:31,359
Speaker 1: because it is having a very real read through into

853
00:48:31,360 --> 00:48:34,960
Speaker 1: the markets here with prison operators like Course Civic and

854
00:48:35,000 --> 00:48:39,000
Speaker 1: Geo Groups. Says c x W is stocked for Court Civic.

855
00:48:39,200 --> 00:48:41,400
Speaker 1: Those shares are down about two percent in the pre

856
00:48:41,520 --> 00:48:44,440
Speaker 1: market Geo Group as well. Geo down about two percent

857
00:48:44,640 --> 00:48:46,720
Speaker 1: as well. And this comes after the U. S. Supreme

858
00:48:46,760 --> 00:48:49,919
Speaker 1: Court basically said that those pandemic ara border restrictions will

859
00:48:49,920 --> 00:48:52,520
Speaker 1: remain in effect. Now this comes in the context of

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00:48:52,680 --> 00:48:54,920
Speaker 1: a previous comment that Course Civic had made saying that

861
00:48:54,960 --> 00:48:58,120
Speaker 1: the termination of that law could result in an increase

862
00:48:58,160 --> 00:49:01,120
Speaker 1: in the number of people apprehended into pained by their

863
00:49:01,200 --> 00:49:04,440
Speaker 1: key customer ice. But since that to law is not

864
00:49:04,520 --> 00:49:07,400
Speaker 1: being terminated, it doesn't bode well for the prison system,

865
00:49:07,400 --> 00:49:11,960
Speaker 1: and therefore lower those shares are lower. Okay, I get it. Um,

866
00:49:11,960 --> 00:49:16,400
Speaker 1: no judgments here. SMP futures right now are ten points higher.

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00:49:16,440 --> 00:49:20,360
Speaker 1: Critty Bloomberg Radio on TV Markets corresponded, Critty Gupta, thanks

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00:49:20,360 --> 00:49:23,480
Speaker 1: for being with us, and again, SMP futures up ten

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00:49:24,080 --> 00:49:27,839
Speaker 1: the Dow futures up one four For Karen Boscow, I'm

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00:49:27,920 --> 00:49:31,239
Speaker 1: John Tucker. This is Bloomberg day Break Live from the

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00:49:31,320 --> 00:49:35,000
Speaker 1: financial capital of the world, broadcasting across the glow. This

872
00:49:35,280 --> 00:49:44,719
Speaker 1: is WVDR New York Bloomberg. He lived in Frio. We

873
00:49:44,880 --> 00:49:47,200
Speaker 1: flipped two. Good news is good news and bad news

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00:49:47,320 --> 00:49:49,279
Speaker 1: is bad news. The worst won't happen by the end

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00:49:49,320 --> 00:49:50,160
Speaker 1: of the year. I have somewhere