Speaker 1: Life from the Bloomberg Interact Dave Burger Studios. Is this
Speaker 1: Bloomberg day Break for Wednesday, December two, Coming up the shower.
Speaker 1: The CEO of Southwest Airlines apologizes as the carrier keeps
Speaker 1: canceling flights. The White House will comply with the Supreme
Speaker 1: Court decision to keep coronavirus border controls in place, and
Speaker 1: China's decision to abandoned its COVID zero policy val has
Speaker 1: other countries considering restricting entry. Residents in Buffalo continue to
Speaker 1: dig out from the Blizzard of the Century. Plus new
Speaker 1: details from the January six panel on Rudy Giuliani. I'm
Speaker 1: Michael Barre Ahead, John Stash Howard sports an amazing knife
Speaker 1: for Luke and Donston's he led Dallas to an overtime
Speaker 1: will over the next the Islanders won the Rangers long.
Speaker 1: That's all straining Ahead on Bloomberg day Break on Bloomberg
Speaker 1: Elving Free on New York, Bloomberg ninety nine one, Washington
Speaker 1: d C Bloomberg one oh six one, Boston, Bloomberg nine
Speaker 1: sixties and Francisco Sirius x M one nineteen and around
Speaker 1: the World Old on Bloomberg Radio dot Com and via
Speaker 1: the Bloomberg Business app. And good morning. I'm John Tucker
Speaker 1: and I'm Karen Moscow. US Dock index futures are now
Speaker 1: on the rise this morning. We check the markets all
Speaker 1: day long year on Bloombergs, and P futures are now
Speaker 1: adding to their gains up eight points or two tens
Speaker 1: of up percent. DAL futures have a quarter percent or
Speaker 1: ninety one points and NASDACK futures showing strength up to
Speaker 1: tens of uppercent or eighteen points. The decks in Germany
Speaker 1: as it will change ten. Your treasury up five thirty seconds,
Speaker 1: you know, three point two percent, and the yield on
Speaker 1: the two year four point three percent. John and Karen,
Speaker 1: we're gonna begin with the latest on Southwest travel problems.
Speaker 1: The CEO of the yourline now issuing a public apology,
Speaker 1: Bob Jordan released a video statement and to Southwest once
Speaker 1: again canceled flights across the country. I want everyone who
Speaker 1: is dealing with the problems we've been facing, whether you
Speaker 1: haven't been able to get to where you need to
Speaker 1: go or you're one of our heroic employees caught up
Speaker 1: been a massive effort to stabilize the airline, to know
Speaker 1: is that we're doing everything we can to return to
Speaker 1: a normal operation. Southwest that you know, Bob Jordan's says
Speaker 1: the airline that is optimistic it's going to be back
Speaker 1: on track before next week. Well, John, Southwest is responsible
Speaker 1: for almost three quarters of flight cancelations in the US,
Speaker 1: and that's drawing ire from government officials. Bloomberry. Steve Rappaport
Speaker 1: joins US Live with the details. Steve, good morning, Good morning,
Speaker 1: Karen and John. Southwest and the White House agree on
Speaker 1: one thing, the mass disruptions are unacceptable. But as the
Speaker 1: airline attempts to catch up, Transportation Secretary Peat Boutagage wonders
Speaker 1: why the competition had a much easier time recovering from
Speaker 1: last week's storm. This weather event affected everybody, and we
Speaker 1: understand that you can't control the weather, but there is
Speaker 1: no satisfying explanation for why all of the other airlines
Speaker 1: are recovering and moving in the right direction while Southwest
Speaker 1: is still as we speak, canceling a majority of their flights.
Speaker 1: Today's travel forecast has more of the same. The flight
Speaker 1: tracking site flight Aware shows Southwest with over cancelations. Live
Speaker 1: New York, I'm Steve Rapp Report Bloomberg Daybreak. All right,
Speaker 1: thanks Steve. Another major story we're following this morning. The
Speaker 1: White House says he is going to comply with and
Speaker 1: enforce the Supreme Court's ruling on Title forty two. Bloomberg's
Speaker 1: ad Baxter has more in this report. Title forty two
Speaker 1: is a Trump era control on border immigration. It was
Speaker 1: due to expire when the challenge went all the way
Speaker 1: to the Supreme Court. The court says it will stay
Speaker 1: in effect while that occasion goes forward, potentially into June.
Speaker 1: So the Biden administration now says it will enforce the rule,
Speaker 1: although it says lifting it is way overdue. The White
Speaker 1: House says it will prepare for eventually being able to
Speaker 1: lift the restrictions and in orderly form, even as it
Speaker 1: continues to enforce them. Now in San Francisco, I'm at
Speaker 1: Baxter Bloomberg Daybreak, All right, and thank you all. Some
Speaker 1: more details this morning on Donald Trump's taxes. Bloomberg News
Speaker 1: has learned that years and the former president's tax returns
Speaker 1: will be released Friday. Key identifying information, such as account numbers,
Speaker 1: will be blacked out. The documents will be the first
Speaker 1: complete look at the former president's tax records for the
Speaker 1: years he was running for office and in the White
Speaker 1: House man turning the markets Now, Hong Kong was the
Speaker 1: performer in Asia overnight. More easing of COVID restrictions self
Speaker 1: fuel a gain of one of the half percent on
Speaker 1: the Hanksang Index. Hong Kong is scrapping Levenza public gatherings
Speaker 1: and no longer requiring proof of vaccination for entry into
Speaker 1: some locations. The Hong Kong's easing follows China's decision to
Speaker 1: abandon its COVID zero policy and reopen its borders John
Speaker 1: and it's now prompting a global response. Countries are considering
Speaker 1: whether to test or restrict travelers from China. Have you
Speaker 1: get more from Bloombergy's island one in Shanghai. Japan was
Speaker 1: the first to say that it's going to require a
Speaker 1: negative COVID tests upon o arrival for mainland Chinese residents,
Speaker 1: but the US is also considering new precautions as well.
Speaker 1: This is based on concern about a new variant emerging
Speaker 1: out of China that ever since the Bision announced that
Speaker 1: is the longer going to quarantine arrivals from January eight,
Speaker 1: and that's also going to start issuing passports again. Bloomberg's
Speaker 1: Island One says, US officials are raising questions about transparency
Speaker 1: of China's data on the spread of the virus, and
Speaker 1: back here in the US, futures are mixed too higher
Speaker 1: right now uh for a down day on Walster yesterday.
Speaker 1: SMP five hundred has fallen more than six percent this month,
Speaker 1: almost twenty percent on the year. In Miller Tabak equity
Speaker 1: strategist Matt Maley says the bear market isn't over yet.
Speaker 1: The biggest problem I think that we face is that
Speaker 1: when whenever the market gets to an extremely overvalued level
Speaker 1: like it did at the end of two thousand twenty
Speaker 1: one this time last year, the bear market always lass
Speaker 1: longer than just a year or so. It's usually last
Speaker 1: eighteen months or even a little bit longer. Miller Tabac
Speaker 1: equity strategist Matt Mayley sees the SMP five hundred going
Speaker 1: down to at least thirty well so far this year,
Speaker 1: John Tesla is the third worst performing stock in the
Speaker 1: SMP five hundred and the tailspin and share shows no
Speaker 1: sign of abating anytime soon. Share has fell more than
Speaker 1: eleven percent yesterday, and we get the story from Bloomberg
Speaker 1: Charlie Pellett. So far this year, the stock is down
Speaker 1: sixty nine percent, and with the latest declines that marks
Speaker 1: their longest losing streak since twenty eighteen. As a report
Speaker 1: of a plan to temporarily halt production at its China
Speaker 1: factory rekindled fears about demand risks, Tesla had its seventh
Speaker 1: straight decline and its steepest one day dropped since April.
Speaker 1: The electric vehicle maker's market valuation has shrunk to roughly
Speaker 1: three D forty five billion dollars, below that of Walmart, JP,
Speaker 1: Morgan Chase and in video in New York Charlie Pellett,
Speaker 1: Bloomberg Day Break, Thanks Charlie. Not as hard hit as
Speaker 1: Tessela an Apple starts the trading day at its lowest
Speaker 1: level since June of one. Apple has fallen almost twenty
Speaker 1: seven percent this year on concerns over iPhone production issues,
Speaker 1: and again futures are higher. This morning, S and P
Speaker 1: Future is up about eight points and straight ahead your
Speaker 1: latest local headlines plus a check of sports, and this
Speaker 1: is Bloomberg. Thanks. Karen six said on Wall Street. We
Speaker 1: have thirty four degrees in Central Park. Let's bring in
Speaker 1: Michael barn Now with more on what else is going
Speaker 1: on in New York and around the world. John, thank
Speaker 1: you very much. Officials in New York say state and
Speaker 1: military police were sent to keep people from driving in
Speaker 1: snow choked Buffalo. The Erie County executive says that police
Speaker 1: being positioned at entrances to Buffalo and at major intersections
Speaker 1: to enforce a ban on driving. Buffalo Mayor Byron Brown,
Speaker 1: we have plowed specifically to get people to medical appointments, chemotherapy,
Speaker 1: uh dialysis. We have done welfare checks for senior citizens
Speaker 1: and families with young children. Buffalo Mayor Brown says more
Speaker 1: than thirty people died in the region. The GOP chairman
Speaker 1: in New York Congressman elect George Santos District is talking
Speaker 1: after the Long Island Republican admitted he lied about his
Speaker 1: personal and professional life during his successful campaign. Run. Chairman
Speaker 1: Joseph Cairo said that he was deeply disappointed and Santos
Speaker 1: may have broken the public trust, but says he will
Speaker 1: carry out the public's will when it comes to tax
Speaker 1: relief and public safety. Even if there's an investigation in
Speaker 1: the House. He would take a two thirds majority in
Speaker 1: the Republican led House to expel Santos from office. Meanwhile,
Speaker 1: a new Congress will take power in January. Representative John
Speaker 1: Katko of New York gave his outlook on what to
Speaker 1: expect from the Congress. Well, I think the extremes on
Speaker 1: both sides. I only know how to vote. Now call
Speaker 1: the vote now, hope yes caucus and they vote over
Speaker 1: the hope you pass it for But I think that
Speaker 1: it's gonna hit natural more give and take with the
Speaker 1: moderate wing of the Democratic Party because we're gonna have
Speaker 1: to get things done. Congressman Kantako spoke with the David
Speaker 1: Weston on Bloomberg's balance of power. We're learning more from
Speaker 1: the transcripts of the January sixth panel. The former president's attorney,
Speaker 1: Rudy Giuliani was in daily content act with Donald Trump
Speaker 1: between November five, twenty twenty, and January fifty one, as
Speaker 1: much as ten times a day. That's according to testimony
Speaker 1: by a former New York Police commissioner, Bernard Carrick. Carrick
Speaker 1: had been police commissioner during former New York Mayor Rudy
Speaker 1: Giuliani's second term. Global News twenty four hours a day
Speaker 1: on air and on Bloomberg Quicktake powered by more than
Speaker 1: twenty seven hundred journalists and analysted more than a hundred
Speaker 1: twenty countries. I'm Michael Barr, and this is Bloomberg, John Michael,
Speaker 1: Thank you guys. Coming up on six ten of Wall
Speaker 1: Street tigned out for the Sports Report being brought you
Speaker 1: by a tri state out of dealers, John Stasher and
Speaker 1: has the update, John Dank Morning, John Nicks went down
Speaker 1: to Dallas. They knew they'd have to deal with mav
Speaker 1: star Luca Donsits. They didn't know. Dons within to night
Speaker 1: with the greatest triple double in NBA history, sixty points,
Speaker 1: twenty one rebounds, tennessis and heroics at the end of
Speaker 1: regulation when he went to the free throw line the
Speaker 1: MAVs down to four seconds left. He us the free
Speaker 1: throw on purpose, got the rebounds, scored the tying basket,
Speaker 1: Dallas one, and overtime one. They had trailed by nine
Speaker 1: with thirty seconds left. Nis were shorthanded due to injuries
Speaker 1: of Jalen Brunson and r. J. Barrett. At the Garden,
Speaker 1: Rangers shut out for the second time. Washington won for
Speaker 1: nothing the Ubs Arena. The Islanders beat Pittsburgh five the one.
Speaker 1: Two goals were both Landers Lee and Matthew Barzel. Marquette
Speaker 1: beat Seaton Hall eight three sixty nine, drops the Pirates
Speaker 1: to oh and three in the Big East. Big game
Speaker 1: for the Giants Sunday against the Colts who are again
Speaker 1: gonna start Nick Foles at quarterback. He just threw three interceptions.
Speaker 1: It's the home finale for Brian Bay Bowls team. We
Speaker 1: worked extremely hard each week to to put a good
Speaker 1: product on the field, and um, you know one of
Speaker 1: the reasons is, you know, for our fan base. Um
Speaker 1: so too. You know, play at home, Um in late December,
Speaker 1: an important game. Um, you know, it's it's important to us.
Speaker 1: I know it's important to them, and we'll do everything
Speaker 1: we can do to be ready to go. Yeah. Game,
Speaker 1: Actually not late December, it's January one the Giant when
Speaker 1: they're in the playoff. J. J. Watt will play two
Speaker 1: more games for Arizona and then retire at age thirty three.
Speaker 1: Three time Defensive Player of the Year while with Uston,
Speaker 1: Wat to lock some day for the Pro Football Hall
Speaker 1: of Fame. John Stash Bloomberg Sport John, all right, thanks
Speaker 1: for lunch on and the Sports Report brought you by Audie.
Speaker 1: Don't let someone else drive off on the Audi model.
Speaker 1: You've always wanted to visit your local try and state
Speaker 1: Audie dealer. Get behind the wheel of years today or
Speaker 1: visit Audie Offers dot com for more information. And as
Speaker 1: we look ahead to the open, up today's trading Dow
Speaker 1: futures right now point to a higher open eighty nine
Speaker 1: points higher right now, that is a three tens of percent.
Speaker 1: The smp Emuni futures eight points higher. They're up to
Speaker 1: tens of percent, and then I sa Emuni futures. They've
Speaker 1: been fluctuating between gains and losses all morning long. Right
Speaker 1: now they're up about nineteen points, arise of about two
Speaker 1: tenths of eight percent, and tend your treasury yield three
Speaker 1: eight two. You're listening to Bloomberg day Break live from
Speaker 1: coast to coast, from New York to San Francisco, Boston
Speaker 1: to Washington, d C. Nationwide on Sirius, example of Bloomberg
Speaker 1: Business app and Bloomberg dot Com. This is Bloomberg Daybreak,
Speaker 1: and good morning. I'm John Tucker. It is the final
Speaker 1: week of a dismal year for markets. Global equities have
Speaker 1: lost about a fifth of their value This is the
Speaker 1: largest decline since two thousand and eight on an annualized
Speaker 1: spasis also an index of global bonds that has slumped
Speaker 1: sixteen percent. So now what We're joined by Linda Distll,
Speaker 1: the Federated Herme's senior vice president and senior equity strategist.
Speaker 1: This morning gets you set up for the trading day
Speaker 1: hand the final trading day of two Hey Linda, thanks
Speaker 1: for me weather US appreciate it. At the end of
Speaker 1: the day, it's all about earnings. Is earnings growth adequately
Speaker 1: priced in? As we start the new year? Uh well, Hi,
Speaker 1: good morning, John, and happy new year to you and
Speaker 1: to all your listeners. Pleasure to be on. That's what's
Speaker 1: gonna make it very interesting next year is what is
Speaker 1: going to happen to earnings. They've been going up steadily
Speaker 1: for years. Here consensus thinks that they'll go up again.
Speaker 1: If if it's I's SMP earnings this year is about
Speaker 1: two dollars per share, then the consenus, which has been
Speaker 1: coming down is at last I checked, two hundred thirty
Speaker 1: four dollars. This is very tricky and very tricky then
Speaker 1: to figure out what next year will be like for
Speaker 1: the market, because we had Federated Hermes actually think to
Speaker 1: thirty four is way too high. We think Earnie's will
Speaker 1: go down maybe ten or twelve percent next year, and
Speaker 1: that is definitely not priced into the markets. So we're
Speaker 1: kind of barished going into the new year. Um So
Speaker 1: do you see selling a hand of forst selling, especially
Speaker 1: given some of the margins well selling has been you know,
Speaker 1: has been increasing here in the back piece of this year. Uh.
Speaker 1: Earlier this month, I think we dine. I think we
Speaker 1: were done like nine percent from fort We were at
Speaker 1: forty not that long ago. Uh, and so we had
Speaker 1: a nice pullback. It's in a short term basis. You
Speaker 1: could still get that Santa Claus rally. Santa Claus could
Speaker 1: still come even if he comes after the new year hits,
Speaker 1: because you've pulled back so much. In fact, the S
Speaker 1: and P for the quarter looks like it's going to
Speaker 1: be the second best quartersince n So basically all kinds
Speaker 1: of cross currents going on, and why we haven't had
Speaker 1: that pick up already for the Santa Cross the rally
Speaker 1: may have something to do with tax loss harvesting, which
Speaker 1: is kind of the silver lining that we're telling our clients,
Speaker 1: you know, might as well. Do it's been horrible year.
Speaker 1: Just as you said on introduction, just about everywhere you
Speaker 1: went to, no place to hide. That can get some
Speaker 1: things out of the way. So maybe then our Santa
Speaker 1: Claster rally comes at the very beginning of the year. Yeah,
Speaker 1: if history is any guide, I'd look at some of
Speaker 1: the data from cf R A there's a pretty good
Speaker 1: chance there will be one. Um. Let me ask you
Speaker 1: about the recession signals. How strong are they at this
Speaker 1: point and what are the imply in terms of how
Speaker 1: long and how deep any recession is going to be.
Speaker 1: Uh Yeah, another another interesting question about next year and
Speaker 1: what will unfold. Definitely, the the leading economic indicators in
Speaker 1: the US, it's one of the very best metrics to
Speaker 1: look at to say what's going to happen with with
Speaker 1: the economy, and they're pointing down. They've been right pretty much.
Speaker 1: You know, every time I recycled over the years, they
Speaker 1: do point to an economic recession. But markets, we have
Speaker 1: to remember our forecasting mechanisms and of CEO believe there's
Speaker 1: a recession coming in. For much of people in our
Speaker 1: business belief there's a recession. So that's why we have
Speaker 1: to start asking ourselves what is priced in and the
Speaker 1: earnings maybe are not priced in yet. Maybe there is
Speaker 1: some downside, but it's not about probably whether there'll be
Speaker 1: a recession, but how difficult will it be. And we
Speaker 1: think it's going to be a mild economic recession, only bad,
Speaker 1: you know if you're the one is losing your job.
Speaker 1: But the job market is so very strong. And I
Speaker 1: think that's something we need to remember into this recession
Speaker 1: is the balance sheets of both businesses and consumers are
Speaker 1: really quite strong. If we're heading into an economic recession,
Speaker 1: that should make it milder, uh for you, for both
Speaker 1: sides of our economy. As a stock market investor, I'm
Speaker 1: worried about the earnings of corporate America. If interest rates
Speaker 1: have been going up steadily, which they have done year well,
Speaker 1: I have to bear in mind that cash on corporate
Speaker 1: balance sheets is really high, and if debt is a
Speaker 1: record highs on corporate balance sheets, their ability to service
Speaker 1: that debt is also near a record high. Because they
Speaker 1: were piling on debt at generational low interest rate. They
Speaker 1: don't care if the interest rates are going up. If
Speaker 1: they have debt that's termed out for basically six to
Speaker 1: eight years, and of the debt and large gap companies
Speaker 1: is fixed, so it should be mild for this reason. Linda,
Speaker 1: thanks all, I appreciate it. You'll be back Linda Distel,
Speaker 1: senior aquity strategist at Federated Hermes, and we'll continue our conversation.
Speaker 1: At just a moment. It is five eighteen of Wall Street.
Speaker 1: Just to hand on Bloomberg Daberg, We're gonna check out
Speaker 1: the markets, bringing the latest news of business, economics and finance.
Speaker 1: I'm John Sucker. You're listening to Boomberg Daybreak, markets headlines
Speaker 1: and breaking news twenty four hours a day at Bloomberg
Speaker 1: dot Com, the Bloomberg Business at and at Bloomberg Victap's
Speaker 1: a Bloomberg Business Flash, and I'm Karen Moscow. Any West
Speaker 1: Dot Index futures are higher this morning as news of
Speaker 1: further moves by China to reopen his economy lifts investors
Speaker 1: sentiment in the final week of a dismal year from markets.
Speaker 1: We checked the markets all day long here on Bloomberg.
Speaker 1: U S and P futures up six points, are about
Speaker 1: two tenths of uppercent. OUR futures up seventy three points,
Speaker 1: or two tenths of uppercent and nastack futures up ten
Speaker 1: points or a tenth of uppercent, and a ten year
Speaker 1: treasury of three thirty seconds. You have three point eight
Speaker 1: two percent, and that's a Bloomberg business flash. Now here's
Speaker 1: Michael Barr with more on what's going on around the world.
Speaker 1: Michael Karen. The Supreme Court is keeping pandemic air limits
Speaker 1: on people seeking asylum in place for now. The courts
Speaker 1: set a February timeline for an arguments in the title
Speaker 1: forty two case. Southwest CEO says he is optimistic the
Speaker 1: airline will be back on track before next week after
Speaker 1: it had to cancel thousands of flights because of the
Speaker 1: winter storm. The Vaticans has retired. Pope Benedict's health is worsening.
Speaker 1: The Vatican says Pope Frances went to see him. In
Speaker 1: the NBA, the next lost in overtime the Celtics Wizards
Speaker 1: and Warriors one. In the NHL, the Islanders won, the
Speaker 1: Capitals beat the Rangers for zip. The Bruins lost in
Speaker 1: the shootout. Global News twenty four hours a day on
Speaker 1: air and on Bloomberg Quick Take, powered by more than
Speaker 1: twenty seven under journalists and analysts, more than a hundred
Speaker 1: twenty countries. Michael Barb, this is Bloomberg. Jump all right, Michael,
Speaker 1: thank you very much. It is now six twenty three
Speaker 1: on Wall Streets. This is Bloomberg Daybreak. Let's continue our
Speaker 1: discussion this morning with Linda Disol Federated Herme's senior vice president,
Speaker 1: senior equity strategists looking at futures right now, they're in
Speaker 1: the green. Linda, can I ask you how close are
Speaker 1: we to a FED pivot and what factors are you
Speaker 1: looking at to make that decision? Uh, we don't think
Speaker 1: we're at all close to a FED pivot. I think
Speaker 1: that's what's one thing that's gonna be very key next
Speaker 1: year is um You know, we all understand that inflation
Speaker 1: has peaked and it's probably gonna come down hard next year.
Speaker 1: But where we had Federated her we disagree with consensus
Speaker 1: is well is it going to fall to? And that
Speaker 1: has everything to do with the FED pivot. It's consensus
Speaker 1: is the core pc I, c p E, whatever you
Speaker 1: wish goes to two percent and change. We're at the
Speaker 1: high threes by year end. We think inflation is going
Speaker 1: to be stubborn and therefore no pivot next year they're
Speaker 1: going to stay stay at a very high rate relative
Speaker 1: to what we've been used to five all year long.
Speaker 1: We're it's going to take us a while to realize
Speaker 1: that and get used to that, and so um, yeah,
Speaker 1: it's I wouldn't I wouldn't count on that for next year,
Speaker 1: which is one reason why we have pretty much a
Speaker 1: flattish year in the market. Next year. You're gonna have
Speaker 1: to really pick your spot and investing next year. Well,
Speaker 1: it leads me to my next question. I'll put you
Speaker 1: on the spot. What do you see at the end
Speaker 1: of the year for the SMP five D next year?
Speaker 1: That's a tough call, and maybe for a race as well,
Speaker 1: with the the tenure yield. Yeah, it is a tough call.
Speaker 1: It's gonna be tough all year to try to figure
Speaker 1: out where the earnings if I if I see earnings
Speaker 1: down ten that is actually is not much compared to average.
Speaker 1: Recessions may be done twenty or even on earnings. The
Speaker 1: ps been priced to earnings. Racier has been hit fairly significantly.
Speaker 1: If I give myself, you know, a high teams multiple,
Speaker 1: I'm looking at four thousand SMP for next year. We
Speaker 1: had thirty nine for this year and for months, and
Speaker 1: looks like we're going to come in close to that.
Speaker 1: That is a flat year pretty much basically. But underneath
Speaker 1: the surface, you're gonna want to look for fat pitches.
Speaker 1: I find bonds have the yields now creeping up again,
Speaker 1: up towards four percent level. Bonds punished as we all
Speaker 1: know very badly. This year could be a very interesting
Speaker 1: year for bonds as we really settle into the notion
Speaker 1: that this is going to last longer than what we
Speaker 1: would all like in terms of the higher rates of inflation,
Speaker 1: slower growth, slower economic earnings, economic growth, earnings growth. You'll
Speaker 1: get some yield on the long end. Stuff front end
Speaker 1: will keep it, keep you in a good yield position,
Speaker 1: and then look for those pockets of value where you're
Speaker 1: really getting some excellent what I like to call fat
Speaker 1: pitches next year. Areas like home builders, banks, medals, and
Speaker 1: energy still looking really really good to us throughout next year,
Speaker 1: but you can have to pick your spot. Yeah, what
Speaker 1: about the commodities, Gold as as a hedge with respect
Speaker 1: to inflation hasn't really performed up to its filling this year.
Speaker 1: But other spaces beyond the equities and bonds, Yeah, beyond equities,
Speaker 1: and I mean the metals in the mining um areas
Speaker 1: in terms of commodities. Gold as an inflation hedge, as
Speaker 1: you suggested, hasn't really worked this year. Um inflation, if
Speaker 1: inflation you believe, inflation is said to come down and
Speaker 1: probably to come down hard, and you really don't need
Speaker 1: to be worrying about that. Where we might worry about
Speaker 1: inflation and where something like God would come into play,
Speaker 1: as if our dollar would come crashing down. And it's
Speaker 1: been extremely strong all years, so it can get a
Speaker 1: bit weaker. But again again just very very patient. Outside
Speaker 1: the US, maybe it's just difficult, and I really want
Speaker 1: to say this to the group, is that China and
Speaker 1: Europe could be uh could go either way next year.
Speaker 1: Linda Alfoice employers are appreciated. Linda Distil federated herm's senior
Speaker 1: vice spread senior equities strategist. Getting is set up for
Speaker 1: the trading day ahead, just to have the morning's top
Speaker 1: stories your local headlines. The first Today's Bloomberg weather for
Speaker 1: our cast is Rob Caroline. It's gonna turn into a
Speaker 1: partly to mostly sunny day with temperatures rising up to
Speaker 1: about forty to forty five and cloudy in issued depart
Speaker 1: the area fairly early on this morning. Were partly clounie
Speaker 1: Tonight loose thirty to thirty five down into the twenties
Speaker 1: stone of the suburbs. It'll be partly to mostly sunny
Speaker 1: tomorrow with highs around forty five, partial sunshine Friday, temperatures
Speaker 1: between forty five and fifty. I'm Rob Carolyn with your
Speaker 1: three day forecast on Bloomberg eleven three oh broadcasting live
Speaker 1: from the Bloomberg Interactive Broker Studio in New York. Bloomberg
Speaker 1: E living three on to Washington, d C. Bloomberg to Boston,
Speaker 1: Bloomberg one O six one to San Francisco, Bloomberg nine
Speaker 1: sixty to the country. Sirius XM had a one nine
Speaker 1: tea and around the globe the Bloomberg Business and Bloomberg
Speaker 1: Radio dot Com. This is Bloomberg Daybreak that's coming up
Speaker 1: on six thirty Ball Street. Good morning, I'm John Tucker
Speaker 1: and I'm Karen Moscow. We're nearly three hours away from
Speaker 1: the open of US trading. Time for the five things
Speaker 1: that you need to notice start your day, brought to
Speaker 1: you by Innovation Refunds. Are you looking for ways to
Speaker 1: grow your business get back the money that you may
Speaker 1: be eligible to receive through the Employee Retention Credit. Sign
Speaker 1: up now before it's too late. See if your business
Speaker 1: qualifies for e r C assistants at get Refunds dot com. First,
Speaker 1: the latest on Southwest travel woe. CEO Bob Jordan is
Speaker 1: now issuing a public apology after the airline canceled thousands
Speaker 1: of flights yet again. Our plan for the next few
Speaker 1: days is to fly a reduced schedule and reposition our
Speaker 1: people and planes, and we're making headway and we're optimistic
Speaker 1: to be back on track before next week. Southwest CEO
Speaker 1: Bob Jordan's says he's doing everything he can to return
Speaker 1: to normal operations, and Southwest is responsible for almost three
Speaker 1: quarters of flight cancelations in the US that is drawing
Speaker 1: the ire of government officials. Now Bloomberg Steve Rancifort shows
Speaker 1: US Live with the latest on that story. Steve, good morning,
Speaker 1: Good morning, John, and Karen. The Department of Transportation in
Speaker 1: a tweet called Southwest woes unacceptable, adding d O T
Speaker 1: will investigate whether the mass cancelations were controllable and if
Speaker 1: Southwest is complying with its customer service plan. That's likely
Speaker 1: little comfort though for tens of thousands of Southwest passengers
Speaker 1: not going anywhere today with more than flights grounded. The
Speaker 1: Biden administration wants to know why rival airlines had a
Speaker 1: much easier time recovering from last week's storm. Live in
Speaker 1: New York. I'm Steve Rappaport, Bloomberg Daybreak. All right, Steve, thanks,
Speaker 1: we'll training to a couple of political notes now. The
Speaker 1: Biden administration says it will comply with and enforced the
Speaker 1: Supreme Court's ruling on Title Fort h Uo, and Bloomberg
Speaker 1: News has learned that years of Donald Trump's tax returns
Speaker 1: will be released Friday by a House committee. It marks
Speaker 1: the first complete look at the former president's tax records
Speaker 1: since he declared his run for the White House. In
Speaker 1: and to markets now, US futures, they're higher right now,
Speaker 1: following it down to Wells fore SMP five hundred is
Speaker 1: full and more than six percent this month and almost
Speaker 1: of the year. In Asia, more easy of COVID restrictions
Speaker 1: help fuel the gain of one and a half percent
Speaker 1: on Hong Kong's Hang Sang Index overnight. Well John is
Speaker 1: Hong Kong and China is COVID restriction. Some countries are
Speaker 1: considering whether to test or restrict travelers from China and
Speaker 1: Hong Kong Chief Executive John Lee says scrapping COVID rules
Speaker 1: was not a rush. Decision is not sudden. They will
Speaker 1: always come a day when we have to make big
Speaker 1: decision about normalization. That effectually what we are doing now.
Speaker 1: Chief Executive John Lee says Hong Kong has prepared for
Speaker 1: the easing of COVID restrictions for months by vaccinating much
Speaker 1: of the population. That's the five things you need to
Speaker 1: know to start your day, brought to you by innovation refunds.
Speaker 1: And again, futures are higher this morning. S and P
Speaker 1: futures they're up six points or about two tens of uppercent.
Speaker 1: Death futures up to tens of upper center seventy eight points,
Speaker 1: and as deck futures they're up about a tenth of
Speaker 1: upper cent. Straight ahead, your latest local headlines plus the
Speaker 1: check of sports and this is Bloomberg. Thanks Wall Street.
Speaker 1: Time to bring in Michael Barr with more of what
Speaker 1: else is going on in New York and around the world. John,
Speaker 1: thank you very much. Sarah. Officials in New York City,
Speaker 1: State and military police were sent to keep people from
Speaker 1: driving and snow choked Buffalo. More than thirty people died
Speaker 1: in the region. Buffalo Mayor Byron Brown was asked about
Speaker 1: reports of looting. There was looting that took place in
Speaker 1: different parts of the city. I call the looters the
Speaker 1: lowest of the low people that shouldn't even be able
Speaker 1: to look themselves in the mirror. They should be ashamed
Speaker 1: of themselves. Mayor Brown says crews are keeping an eye
Speaker 1: on a warmer weather later in the week that could
Speaker 1: bring a thread of flooding as the snow melts. More
Speaker 1: testimony from the January six panel is providing more details
Speaker 1: evolving former New York Mayor Rudy Giuliani. According to testimony
Speaker 1: for Max New York Police Commissioner Bernard Carrick, Giuliani spoke
Speaker 1: to former President Donald Trump as much as ten times
Speaker 1: a day about possible litigation. Kerrick says the conversations took
Speaker 1: place between November five of twenty and January fifteenth. One.
Speaker 1: GOP leaders on Capitol Hill are mostly muted. After the
Speaker 1: latest statement from Congressman elect George Santos, the Long Island
Speaker 1: Republican described what he called embellishing large portions of his
Speaker 1: background during his successful congressional run. Santos spoke on Fox
Speaker 1: News last night with Tulsea Gambert. I made a mistake,
Speaker 1: and I think humans are flawed and we all make mistakes.
Speaker 1: Tulsee Um, I think we can all look at ourselves
Speaker 1: in the mirror and admit that once in life we
Speaker 1: made a mistake. I'm having to admit this in national
Speaker 1: television for the whole country to see. The Republican chairman
Speaker 1: in his district said, Santos may have broken the public's trust,
Speaker 1: but he'll do the public's will when it comes to
Speaker 1: tax relief and public safety. Scientists are transforming pig livers
Speaker 1: to look and act like human ones. It's part of
Speaker 1: a quest to ease the nation's organ shortage. Global News
Speaker 1: twenty four hours a day on air and on Bloomberg
Speaker 1: Quick Take, powered by more than twenty seven hundred journalist
Speaker 1: and analysts more than a d twenty countries. Michael Barr,
Speaker 1: this is Bloomberg Jump Michael, Thank you is now sixty
Speaker 1: four Wolfsbrief and that's signed by the Bloomberg Sports Report,
Speaker 1: being brought to you by your try state Outia. The
Speaker 1: other Good morning, John Sansha Gay morning John the next
Speaker 1: started a Texas swing. In Dallas. Jalen Brontson missed the
Speaker 1: game against his old team injured hip, and then two
Speaker 1: minutes in r J Barrett heard his finger. Quinn Grimes
Speaker 1: pitched head. He scored thirty three Julius Randol at eighteen
Speaker 1: rebounds and then next led by nine with thirty seconds
Speaker 1: to go. They led by two with four seconds left.
Speaker 1: In Luca, Don sage at the free throw long some
Speaker 1: classes at the play class Clarks time most bolstosion Mike
Speaker 1: Green on MSG. So we missed the free throw on purpose,
Speaker 1: got the rebound, tied the game share enough Dallas one
Speaker 1: on one. Amazing night for Don's at sixty points one rebounds.
Speaker 1: Tennis says greatest triple double NBA history. The Garden Rangers
Speaker 1: lost to Washington for nothing. The Caps Darcy Camper stopped
Speaker 1: all thirty two Rangers shots. Last time. The Rangers were
Speaker 1: shut out back in October by the Islanders, who just
Speaker 1: bake Pittsburgh five to one. It's their first two game
Speaker 1: win streak in a month. Is Carlos Korea gonna bring
Speaker 1: a Maddie was gonna be a giant until the red
Speaker 1: flag arose and mis physical and now the Mets are
Speaker 1: concerned about an ankle injury. They reported they want to
Speaker 1: restructure the contract, and there's word Korea not in agreement
Speaker 1: with that, and now other teams said to be looking
Speaker 1: to sign Korea. I'm Stasholler, Bloomberg Sports. John. All right, John,
Speaker 1: thanks very much, and the Sports report brought you by Audie.
Speaker 1: Don't let someone else drive off of the Audi model
Speaker 1: you've always wanted. Visit your local trying state autie dealer
Speaker 1: to get to behind the wheel of viewers today, or
Speaker 1: visit Audie Offers dot com for more information. You're listening
Speaker 1: to Bloomberg Daybreak. Yeah, it's our six thirty fives on
Speaker 1: Wall Street. Bloomberg Radios on the year from San Francisco
Speaker 1: to New York, London to Hong Kong. Let's check in
Speaker 1: now with our global news team some of the top
Speaker 1: stories heard on our three hundred affiliate radio stations around
Speaker 1: the world. I'm Steve Polas Scott k f A D
Speaker 1: in Omaha. We're talking about how the winter blast is
Speaker 1: pushing wheat prices sharply high. I'm Jeff Bellinger and on
Speaker 1: Cogo in San Diego, I'll be talking about Apple stock
Speaker 1: closing at the lowest levels since June of last year.
Speaker 1: I'm Kimberly Adams and on WBC in Boston, I'll be
Speaker 1: reporting on Activision Blizzard video game employees seeking a union
Speaker 1: in Boston. I'm Stephen Carol and Bloomberg d A B
Speaker 1: Radio and London, We've been reporting on the market reaction
Speaker 1: to Hong Kong lifting more of its COVID restrictions. I'm
Speaker 1: Gina Servetti and for w T A M. In Cleveland,
Speaker 1: I'm reporting that power bills are likely to jump even
Speaker 1: higher as wholesale prices surge in parts of the country
Speaker 1: during the worst of a recent brutal cold snap. And
Speaker 1: those are some of these stories there Bloomberg journalists and
Speaker 1: analysts are working on this morning around the world. It
Speaker 1: is now six thirty seven on Wall Street. That is
Speaker 1: time for our daily Bloomberg Real Estate Report. And here
Speaker 1: we're then, is Bloomberg's Denise PALLAGRENI watch for housing demand
Speaker 1: and home prices to bounce back as mortgage rates eventually
Speaker 1: start to trend lower. People who are thinking that the
Speaker 1: world is coming to an end, here, it's not that bad.
Speaker 1: There's a natural floor to how low house prices can
Speaker 1: go because we don't have the same amount of supply
Speaker 1: we had done. Jerry Howard is CEO of the National
Speaker 1: Association of home Builders. There's still a great deal of
Speaker 1: pent up demand. I think that, combined with growth in
Speaker 1: other areas of the economy, they bring us back in two. Howard, though,
Speaker 1: also warns too many regulations are preventing builders from being
Speaker 1: able to build much affordable housing. That's a good example
Speaker 1: of this problem is San Diego were over fifty. That's
Speaker 1: five oh percent of the cost of building a new
Speaker 1: home is in regulatory compliance. That's absolutely ridiculous, and that's
Speaker 1: why San Diego County has housing halves and housing have knots.
Speaker 1: And that's the Bloomberg Real Estate Report. Under these pelegrading
Speaker 1: thanks Denise Solana. The cryptocurrency that was back by falling
Speaker 1: crypto moguls SAM bankmt free tumbling today their concerns that
Speaker 1: large holders may be about to offload the token Slanta,
Speaker 1: dropping as much as twelve percent today. It was trading
Speaker 1: close to nine percent lower this morning in London trading.
Speaker 1: Other tokens so modest declines either that slipped about one
Speaker 1: point three percent. Then you had to Bitcoin right now
Speaker 1: that is down about two tenths of a percent at
Speaker 1: sixteen thousand, six hundred sixty eight dollars for token. There
Speaker 1: you are listening the Bloomberg Tame, break markets, headlines and
Speaker 1: breaking news twenty four hours a day at Bloomberg dot com,
Speaker 1: the Bloomberg Business Out and at Bloomberg Quicktape. This is
Speaker 1: a Bloomberg Business lash. I'm Karen Monsal. Futures are on
Speaker 1: the rise this morning. We go to the First Word
Speaker 1: breaking news desk for today's morning call, and here's Tatiana
Speaker 1: Darry Tatiana, good morning, Good morning, Karen. The futures holding
Speaker 1: to some modest games here, with dog contracts up to
Speaker 1: eighty three points, s andps up seven and NASDAK up twelve.
Speaker 1: The U S tenure yield the lower by about two
Speaker 1: basis points at three spot a two percent. Oil is
Speaker 1: down half a percent, and the dollar is slightly weaker
Speaker 1: for a third session here Elsewhere, European stocks are a
Speaker 1: little changed at this hour, while Asian shares were mixed overnight.
Speaker 1: Back in the US. On the economic front, today, home
Speaker 1: sales at ten and an early trading this morning, we're
Speaker 1: seeing a rebound in Tesla shares after seven days of losses.
Speaker 1: The stock is hired by about three percent in the
Speaker 1: pre market. In the healthcare space, at John's Therapeutics jumps
Speaker 1: as much as after gill Lead agreed to acquire all
Speaker 1: remaining rights to immunotherapy and among cryptocurrencies, Salana dropped as
Speaker 1: much as twelve percent this morning, bringing it's year today
Speaker 1: decline to nine percent this year so far. Lie from
Speaker 1: the First Breaking News Desk. I'm Tatiana Daria Karen Alry Tatianna.
Speaker 1: Thank you and your life breaking news of your Bloomberg
Speaker 1: type squawk on your terminal rescue you a w K,
Speaker 1: that's a Bloomberg business lash. Now here's Michael Barr with
Speaker 1: more on what's going on around the world. Michael Karen
Speaker 1: about Southwest flights have been canceled for today, Monday and Tuesday.
Speaker 1: The airline scrapped more than five thousand flights because of
Speaker 1: the winter storm. President Biden said his administration would comply
Speaker 1: with the Supreme Courts order keeping in place sweeping coronavirus
Speaker 1: border controls under Title forty two. The Vatican says the
Speaker 1: health of retired Pope Benidet has undergone a worsening in
Speaker 1: the last hours, and that doctors are monitoring the nine
Speaker 1: year olds condition. In the NBA, the next loss in
Speaker 1: overtime the Celtics Wizards and Warriors one. In the NHL,
Speaker 1: the Islanders one. The Capitals beat the Rangers for ZIP.
Speaker 1: The Bruins lost in the shootout. Global News twenty four
Speaker 1: hours a day on here and on Bloomberg Quicktake, powered
Speaker 1: by more than twenty seven hundred journalists and analysts more
Speaker 1: than a hundred twenty countries. I'm Michael Bar. This is Bloomberg.
Speaker 1: Karen alright, Michael Bar, thank you. At at six forty
Speaker 1: two on Wall Street, returned to news and science and
Speaker 1: technology now with the Bloomberg and j I t. Stem Report,
Speaker 1: And here's just making news and science, technology, engineering and math.
Speaker 1: China's decision to abandon its COVID zero policy and reopenous
Speaker 1: borders has prompted a global response. Countries are considering whether
Speaker 1: to test or restrict travelers from China. Beijing's policy reversal
Speaker 1: has triggered nationwide COVID outbreaks. Both the US and Japan
Speaker 1: are weighing new restrictions on people arriving from China. Customers
Speaker 1: have failed cryptocurrency exchange f t X IT filed student
Speaker 1: Delaware Bank c Court. They're hoping to be first in
Speaker 1: line to recover some of the billions lost in the
Speaker 1: meltdown of Sam Bankman Freed's digital asset Empire. The suit
Speaker 1: asked to judge to give customers who came in priority
Speaker 1: over other ftx creditors. And here's a Tesla now on
Speaker 1: their longest losing streaks since tween. Elon must Electric carmaker
Speaker 1: fell even for the seventh straight decline. A report of
Speaker 1: a plan to temporarily halt production at Tesla's factory and
Speaker 1: China has led to concerns about falling demand. Tesla is
Speaker 1: now down sixty this year. And that's the Bloomberg n
Speaker 1: j I T STEM report. John, all right, thanks Karen.
Speaker 1: It is now sixty three on Wall Street. Time to
Speaker 1: check what's going on in d c U. Some of
Speaker 1: the top stories on our nation's capital include, Well, Southwest
Speaker 1: Airlines does expect more flight cancelations for at least another
Speaker 1: few days, the government questioning whether airline is complying with
Speaker 1: its customer service plan. President Biden will comply with the
Speaker 1: Supreme Courts Border immigration ruling Donald Trump's tax returns. They
Speaker 1: are sent to be at least tomorrow by a House committee.
Speaker 1: And then you have power cast surging six thousand percent.
Speaker 1: That signals staring us home heating bills that come. Let's
Speaker 1: take a deeper to have into some of these stories
Speaker 1: this morning with Terry Haines. He's the founder of Panji,
Speaker 1: a Policy. Terry, thanks for being with us again this morning.
Speaker 1: Appreciate it. Let's start with Southwest. Have you ever been
Speaker 1: stranded in an airport? You know how bad this could be?
Speaker 1: Where is the U. S. Transportation Department in all of this?
Speaker 1: I'm trying to figure out who owns this, who's responsible? Terry?
Speaker 1: Good morning, John, And uh, the government will do do
Speaker 1: whatever you can to make sure the Southwest is responsible
Speaker 1: for this, but uh, in this case, it's probably Jimmy
Speaker 1: Carter's fault. And uh, I say that because the airlines
Speaker 1: were federally deregulated. Regulation. Terry, did you just say regulation
Speaker 1: is good? No? No? Well yes, I'm regulation is sure?
Speaker 1: Why not? But the you know, and but you know
Speaker 1: this stuff is complicated. Does the secretary Transportation Secretary Botages
Speaker 1: has already decided, you know, according to an interview that
Speaker 1: he had with NBC that this has crossed the line
Speaker 1: from an uncontrollable weather situation to something that is the
Speaker 1: airline's direct responsibility. I think where we come down on
Speaker 1: this is eventually is is it's going to be some
Speaker 1: of both. D O T will investigate, the Congress will investigate.
Speaker 1: I have two issues, one of which is, uh, you know,
Speaker 1: kind of the weather act of God stuff which wouldn't
Speaker 1: even be picked up by a flight compensation regulation, which
Speaker 1: we we haven't had in this country since uh, the
Speaker 1: flight conversation tariff, which we haven't had since UM. The
Speaker 1: other part of it, though is Southwest itself does say
Speaker 1: it was culpable because it's crew scheduling tools, other scheduling
Speaker 1: or have been a problem as well as the the
Speaker 1: airline is set up, which is uh a kind of
Speaker 1: hop scotch configuration which is very different to the kind
Speaker 1: of hub and spoke networks that other airlines have. So
Speaker 1: you know, if consumers, particularly people who had these tickets
Speaker 1: and had these flights, should not look for complete satisfaction,
Speaker 1: I think they are eventually like that. He gets some satisfaction,
Speaker 1: and what the airlines are likely to see is beefing
Speaker 1: up of flight compensation regulations and also pushing on technology
Speaker 1: to make sure that their crews, their pilots, and their
Speaker 1: planes are much better managed than apparently they are today.
Speaker 1: It might also reflect a broader problem with just employment,
Speaker 1: I mean, just cruise not showing up. Oh I think so. Yeah,
Speaker 1: I mean one of the things that you're quite right
Speaker 1: to bring that up. One of the things that steath
Speaker 1: Less said is it is that they were having a
Speaker 1: terrible time with their crew scheduling the crew, but the
Speaker 1: crews themselves weren't showing up. So so that that's going
Speaker 1: to have to be looked at. And again, I don't
Speaker 1: think there's there's gonna be any quicker or easy fixed
Speaker 1: to any of that. And you run into kind of
Speaker 1: management union issues on top of that as well. So, uh,
Speaker 1: this is not an easy situation to fix by any means.
Speaker 1: We had a ruling from the Supreme Court untitled forty two.
Speaker 1: As a result, the administration says it is going to
Speaker 1: comply with the border immigration ruling from the High Court.
Speaker 1: Does Biden now on this, and uh, what kind of
Speaker 1: position does this put the administration in? Well, Uh, the
Speaker 1: the administration does own it to some extent, but at
Speaker 1: the same time, they're they're busily trying to offload their
Speaker 1: ownership onto the Congress by saying, well, you know, Congress
Speaker 1: needs to send us something that's immigration, immigration reform. That's
Speaker 1: fair enough. It's been ten years or more since Congress
Speaker 1: has even tried to seriously address immigration reform. It is
Speaker 1: it is long overdue in the media. But I have
Speaker 1: little confidence that that that, particularly a split Congress, is
Speaker 1: going to be able to do that. They always run
Speaker 1: up against the the run up on the on the rock,
Speaker 1: on the shoal of talking about path to citizenship and
Speaker 1: what they mean and how they should be structured. Uh,
Speaker 1: that's always a huge problem. Uh, the administration is not
Speaker 1: going to be able to provide a lot of leadership
Speaker 1: in this regard or or you know, kind of front
Speaker 1: load whatever the solution is. They don't want to go
Speaker 1: out on that limb. So what's going to happen is that,
Speaker 1: you know, the Supreme Court's decision has some has some
Speaker 1: good practical effect, although it's it's very imperfect because it
Speaker 1: helps manage the border. I'm not defending the policy by
Speaker 1: saying so, I'm just saying there's a practical effect here.
Speaker 1: But the stay is very narrow. The stay that the
Speaker 1: Streme Court put up was really only to address the
Speaker 1: question of whether states could intervene here and insist on
Speaker 1: UH stricter enforcement. So the Supreme Court itself is not
Speaker 1: going to be a cure all for immigration policy or
Speaker 1: Titles forty two policy at all. Eventually, Congress is going
Speaker 1: to have to try to deal with this, and UH,
Speaker 1: you know, anybody that's concerned about the border UH and
Speaker 1: border enforcement, border security and in a rational immigration policy
Speaker 1: in this country. UM, I think it's going to be
Speaker 1: disappointed over the next few months because a new Congress
Speaker 1: fighting over a variety of other things including spending, potentially
Speaker 1: debt ceilings and other things. UM, is not going to
Speaker 1: really be able to deal with that, I think in
Speaker 1: a in a quicker easy way. But I'd look for
Speaker 1: some of those centrists the John Kako on earlier, and
Speaker 1: he's quite right to say some of the centrists will
Speaker 1: be dealing with this too. Terry a pleasure. Thanks, that's
Speaker 1: all we have time for a founder of pange At policy.
Speaker 1: You can read more about these stories on Bloomberg dot
Speaker 1: com or the Bloomberg terminal, and also a reminder you
Speaker 1: can follow all the latest on Bloomberg Radio in Washington.
Speaker 1: That's Bloomberg at one or five point seven. FM h
Speaker 1: D two is Bloomberg Day, Brighten Markets, headlines and breaking
Speaker 1: news twenty four hours a day at Bloomberg dot Com,
Speaker 1: the Bloomberg Business Outland at Bloomberg Quick Take. This is
Speaker 1: a Bloomburn business flash. And I'm Karen Moscow Futures on
Speaker 1: the rise this morning. We check the markets all day
Speaker 1: long here on Bloomberg. But SNP Future is up about
Speaker 1: eleven points or three tens of uppercent. Down Future is
Speaker 1: up three tens of upper cent or a hundred four points,
Speaker 1: and NASTAC futures have two tens of uppercent or twenty
Speaker 1: four points. The decks in Germany is little change ten.
Speaker 1: Your treasury up four thirty seconds. He'll three point two percent,
Speaker 1: the yield of the two year four point three three percent.
Speaker 1: NIMEX screwed oil is down a third of u percent,
Speaker 1: or twenty six cents at seventy nine dollars twenty seven
Speaker 1: cents of barrel comes Gold down seven tenths percent or
Speaker 1: eleven dollars ninety cents at eighteen eleven, twenty announced the
Speaker 1: euro one point six five one against the dollar, British
Speaker 1: pound one point to zero eight six and the n
Speaker 1: one thirty three point eight two and Bitcoin this morning
Speaker 1: down a tenth of a percent at about six seventy dollars.
Speaker 1: And it's a Bloomberg business flash. John, all right, thanks
Speaker 1: a lot, Karen. It is now six fifty six on
Speaker 1: Wall Street. That's time to take a look at stock,
Speaker 1: some of the names that are moving in the pre market.
Speaker 1: And for that we're joined by Bloomberg Radio and TV
Speaker 1: markets correspondent Pretty Gupta. So after a big fall, I guess,
Speaker 1: bargain hunters, what's what's the story with Tesla? Yeah, a
Speaker 1: little bit of dip buying here, and it's interesting because
Speaker 1: there's no real fundamental driver today outside of it's been
Speaker 1: dropping for seven days straight, so it was due for
Speaker 1: a little bit of love. T s l A is
Speaker 1: your taker. They're up about three point four percent in
Speaker 1: the pre market, not too shabby, but I will say
Speaker 1: there was quite a bit of heavy volume. I want
Speaker 1: to say round five five ish, uh a m New
Speaker 1: York time, and which has still kind of kept the
Speaker 1: stock moving. And I think that's a really big story.
Speaker 1: But once again we're talking about the pressures here that
Speaker 1: are on Tesla stock. Yesterday they reported that their Shanghai production,
Speaker 1: for example, this coming from out of Reuter's might take
Speaker 1: a hit as well. Their delivery numbers across e V
Speaker 1: space have really been lower as well. So Tesla facing
Speaker 1: all sorts of pressure right now. But today really does
Speaker 1: feel like a dip buyer story. Joining indication Elon Muski
Speaker 1: is going to focus on his Tesla company and not
Speaker 1: other stuff. Um, there might be. I mean that seems
Speaker 1: to be the hope at least, and you did see
Speaker 1: in the New Years is he like one of his
Speaker 1: resolutions is to like stop being loony. I can't speak
Speaker 1: to that. I don't have access to his diary admittedly,
Speaker 1: but uh, I have to say this kind of Twitter
Speaker 1: saga there is if you're starting to read something. The
Speaker 1: analyst notes the idea here that if Twitter is indeed
Speaker 1: looking for a new CEO, that will kind of return
Speaker 1: Tesla shares back to back to its former glory, if
Speaker 1: you will, If Elon Musk can actually revert his his
Speaker 1: attention back to the company, but that is still a
Speaker 1: process that may take months. So quite a little bit
Speaker 1: of optimism baked into that. Okay, this next stock that
Speaker 1: you're looking at. This is kind dark. It is dark,
Speaker 1: but important. Nonetheless, So we have a Supreme Court decision
Speaker 1: on a law called Title forty two, essentially lets the
Speaker 1: government quickly expel people people who could have been eligible
Speaker 1: for asylum, for example, using the health emergency created by
Speaker 1: the spread of COVID nineteen so um, basically the migrant
Speaker 1: crisis at the southern borders. So you know, you can
Speaker 1: send them back, but first you gotta lock them up
Speaker 1: in theory. And here's where it gets a little bit dark,
Speaker 1: because it is having a very real read through into
Speaker 1: the markets here with prison operators like Course Civic and
Speaker 1: Geo Groups. Says c x W is stocked for Court Civic.
Speaker 1: Those shares are down about two percent in the pre
Speaker 1: market Geo Group as well. Geo down about two percent
Speaker 1: as well. And this comes after the U. S. Supreme
Speaker 1: Court basically said that those pandemic ara border restrictions will
Speaker 1: remain in effect. Now this comes in the context of
Speaker 1: a previous comment that Course Civic had made saying that
Speaker 1: the termination of that law could result in an increase
Speaker 1: in the number of people apprehended into pained by their
Speaker 1: key customer ice. But since that to law is not
Speaker 1: being terminated, it doesn't bode well for the prison system,
Speaker 1: and therefore lower those shares are lower. Okay, I get it. Um,
Speaker 1: no judgments here. SMP futures right now are ten points higher.
Speaker 1: Critty Bloomberg Radio on TV Markets corresponded, Critty Gupta, thanks
Speaker 1: for being with us, and again, SMP futures up ten
Speaker 1: the Dow futures up one four For Karen Boscow, I'm
Speaker 1: John Tucker. This is Bloomberg day Break Live from the
Speaker 1: financial capital of the world, broadcasting across the glow. This
Speaker 1: is WVDR New York Bloomberg. He lived in Frio. We
Speaker 1: flipped two. Good news is good news and bad news
Speaker 1: is bad news. The worst won't happen by the end
Speaker 1: of the year. I have somewhere