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Speaker 1: News when you want it with Bloomberg News. Now, I'm

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Speaker 1: Doug Prisner, and we begin with a stock market where

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Speaker 1: it was another day of heavy selling and software shares

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Speaker 1: given worries over the impact of AI. A new version

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Speaker 1: of anthropics most powerful AI model can carry out financial research.

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Speaker 1: It's also designed to be better at a range of

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Speaker 1: other work related functions, and that would include making spreadsheets

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Speaker 1: and presentations as well as software development. Today, the S

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Speaker 1: and P five hundred software and services sub index fell

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Speaker 1: by more than four and a half percent after the bell.

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Speaker 1: Amazon's first quarter outlook was below consensus, and the company

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Speaker 1: said it intends to spend two hundred billion dollars this

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Speaker 1: year on data centers, chips and other equipment. Now the

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Speaker 1: market is suspecting that Amazon's massive bet on AI will

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Speaker 1: take longer to pay off than anticipated. Here is Bloomberg

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Speaker 1: analyst Punam Gooyel.

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Speaker 2: They need to invest ry. We know that Amazon has

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Speaker 2: to continue to invest in cloud services. It needs to

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Speaker 2: invest in it. So there's a lot of ketchup that

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Speaker 2: needs to be done here. I think the long run

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Speaker 2: narrative here is still good. The underlying results were solid

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Speaker 2: across BOTHS and retail that.

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Speaker 1: Is Bloomberg analyst Punam Gouyel. Shares in Amazon were down

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Speaker 1: ten percent in late US trading. At the same time,

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Speaker 1: there was a sell off today in bitcoin. It tumbled

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Speaker 1: below sixty four thousand as an unwinding of leveraged vets deepened.

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Speaker 1: Bitcoin lost more than twelve percent during New York trading,

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Speaker 1: and Nobel Laureate Paul Krugman says bitcoin is facing a

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Speaker 1: real crisis of faith.

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Speaker 3: A lot of people sold bitcoin as being the next gold,

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Speaker 3: and it turns out that in the face of doubts

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Speaker 3: about stability, doubts about politics, the next goal turns out

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Speaker 3: to be gold, not Bitcoin. I think it's a big

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Speaker 3: wake up for people that, you know, maybe this isn't

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Speaker 3: actually going to be an enduring asset.

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Speaker 1: That is Nobel Laureate Paul Krugman, speaking on Bloomberg Business

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Speaker 1: Week Daily. Bitcoin has wiped out all of its gain

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Speaker 1: since President Trump's election set off a speculative rush into cryptocurrencies. Now,

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Speaker 1: Bitcoin's plunge has rocked the digital asset complex, and few

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Speaker 1: companies are more exposed than the bitcoin treasury company Strategy Inc.

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Speaker 1: Today after the bell the company confirmed a net loss

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Speaker 1: of twelve point four billion dollars for the fourth quarter.

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Speaker 1: Shares and Strategy Inc. Were done by more than two

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Speaker 1: percent in late US trading, but these shares have lost

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Speaker 1: forty five percent of their value so far this year.

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Speaker 1: The treaty limiting US and Russian deployment of the most

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Speaker 1: dangerous nuclear weapons lapsed overnight, and President Trump is renewing

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Speaker 1: calls for a stronger pact instead of extending the current agreement,

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Speaker 1: known as the New Start Treaty. Here is former Republican

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Speaker 1: Congressman Patrick McHenry.

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Speaker 4: I think we haven't addressed nuclear disarmament in over a

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Speaker 4: generation here in the United States. I think it's worthwhile endeavor.

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Speaker 4: I think the complexity of this administration's foreign policy is

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Speaker 4: not well understood by the market. Everything is are connected, Russia,

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Speaker 4: the Middle of East, China, Russia, Ukraine, Middle East, China, Canada,

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Speaker 4: all the trade conversations, all the foreign policy and Department

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Speaker 4: of War actions, They're all connected.

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Speaker 1: That's Patrick McHenry, former Republican congressman and Bloomberg News contributor. Meantime,

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Speaker 1: the US and Russia have agreed to restart high level

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Speaker 1: military contacts they were suspended shortly after the invasion of Ukraine. Today,

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Speaker 1: US Treasury Secretary Scott Besson testified before the Senate Banking

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Speaker 1: Committee on Financial Oversight, and during the hearing, Democratic Senator

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Speaker 1: Elizabeth Warren asked Bessont about the possibility of the Trump

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Speaker 1: administration bringing a lawsuit against FED chair nominique Kevin Walsh

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Speaker 1: if he does not lower interest rates now. Warren's question

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Speaker 1: referenced reports over the weekend that Trump joked that he

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Speaker 1: would sue Warsh if he did not get interest rates down.

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Speaker 1: Here is the exchange between Warren and bessentt that that

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Speaker 1: is up to the president. Can you commit that you

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Speaker 1: will I'm sorry, Can you commit that you.

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Speaker 5: Will not hold the whole happy suit if you top

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Speaker 5: interest rate?

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Speaker 3: Can youminally investigating the president?

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Speaker 1: Also that all repeat sator.

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Speaker 2: Will he said he had If this was a joke,

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Speaker 2: why not just say so it was.

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Speaker 1: It was a joke, and he made a joke about.

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Speaker 2: You, sinner.

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Speaker 1: Warren got a lot of laught now. Besen went on

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Speaker 1: to say that Warsh is highly qualified to be FED cheer.

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Speaker 1: In Tucson, Arizona, the search continues for Nancy Guthrie, who

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Speaker 1: vanished from her home five days ago. She is the

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Speaker 1: mother of Savannah Guthrie, Today's show co anchor. Yesterday, Savannah

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Speaker 1: made an emotional appeal to her mother's apparent kidnapper, and

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Speaker 1: today Savannah's brother, Cameron made an appeal of his own.

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Speaker 5: This is Cameron Guthrie. I'm speaking for the Guthrie family.

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Speaker 5: Whoever is out there holding our mother. We want to

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Speaker 5: hear from you. We haven't heard anything directly. We need

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Speaker 5: you to reach out and we need a way to

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Speaker 5: communicate with you so we can move forward. But first

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Speaker 5: we have to know that you have our mom. We

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Speaker 5: want to talk to you, and we are waiting for contact.

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Speaker 1: That is Cameron Guthrie. Now, authorities have not identified any

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Speaker 1: suspects or persons of interest. However, test show blood found

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Speaker 1: on Guthrie's front porch matched her DNA and that is

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Speaker 1: news when you want it with Bloomberg News. Now, I'm

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Speaker 1: Doug Prisoner, and this is Bloomberg