1 00:00:01,400 --> 00:00:04,120 Speaker 1: Welcome to the Bloomberg Markets Podcast. I'm Paul Sweeney. Along 2 00:00:04,120 --> 00:00:06,240 Speaker 1: with my co host of Bonnie Quinn. Every business day 3 00:00:06,240 --> 00:00:10,400 Speaker 1: we bring you interviews from CEOs, market pros, and Bloomberg experts, 4 00:00:10,440 --> 00:00:13,600 Speaker 1: along with essential market moving news. Find the Bloomberg Markets 5 00:00:13,600 --> 00:00:17,000 Speaker 1: Podcast on Apple Podcasts or wherever you listen to podcasts, 6 00:00:17,000 --> 00:00:20,560 Speaker 1: and on Bloomberg dot com. As well. As President elected 7 00:00:20,640 --> 00:00:23,319 Speaker 1: by then prepares to take the office, much of the 8 00:00:23,320 --> 00:00:26,960 Speaker 1: focus will be on his economic plan. Taking a preview 9 00:00:27,000 --> 00:00:29,280 Speaker 1: what we might see, we welcome Gene Sperling. He's a 10 00:00:29,320 --> 00:00:33,159 Speaker 1: former director of the National Economic Council under president's Clinton 11 00:00:33,240 --> 00:00:37,400 Speaker 1: and Obama. He is now president of Sparling Economic Strategies 12 00:00:37,400 --> 00:00:40,000 Speaker 1: based in Santa Monica, California. Gene, thanks so much for 13 00:00:40,080 --> 00:00:42,960 Speaker 1: joining us here. A lot to unpack here as it 14 00:00:43,000 --> 00:00:46,360 Speaker 1: relates to the President elect and his first one days, 15 00:00:46,400 --> 00:00:49,600 Speaker 1: maybe even first ten days, maybe even today in terms 16 00:00:49,680 --> 00:00:53,159 Speaker 1: of his actions from an economic perspective. What do you 17 00:00:53,280 --> 00:00:59,160 Speaker 1: think he and his administration need to get done quickly? Well, 18 00:00:59,200 --> 00:01:02,440 Speaker 1: I think they've made it smart decision in that they 19 00:01:02,440 --> 00:01:07,160 Speaker 1: are bifurcating their uh call it a hundred day plan 20 00:01:07,600 --> 00:01:12,360 Speaker 1: or uh economics start, which is to first focus on 21 00:01:13,000 --> 00:01:16,800 Speaker 1: the economic relief needed for the crisis. So that means 22 00:01:16,840 --> 00:01:21,360 Speaker 1: both getting huge amounts up to four hundred billion dollars 23 00:01:21,400 --> 00:01:24,280 Speaker 1: to ensure that we are able as a country to 24 00:01:24,440 --> 00:01:28,840 Speaker 1: truly deal with the COVID crisis, and that includes the 25 00:01:28,959 --> 00:01:33,600 Speaker 1: vaccine distribution, all of the testing, all of the things 26 00:01:33,640 --> 00:01:38,399 Speaker 1: that we've been so weak and weaker than other nations in. 27 00:01:38,640 --> 00:01:42,560 Speaker 1: And then also the funding that would go to UH 28 00:01:42,760 --> 00:01:44,840 Speaker 1: people who are hurting, people who are at risk of 29 00:01:44,920 --> 00:01:50,320 Speaker 1: losing being evicted. Obviously, you know, more general support, but 30 00:01:50,400 --> 00:01:53,080 Speaker 1: really for people who need it in the taking the 31 00:01:53,160 --> 00:01:56,200 Speaker 1: checks up to two thousands. But they're saying, let's do 32 00:01:56,240 --> 00:02:00,000 Speaker 1: that first. Let's do that relief package first, let's get 33 00:02:00,160 --> 00:02:05,200 Speaker 1: that done. Let's not hold up UH that for more complex, 34 00:02:05,280 --> 00:02:08,919 Speaker 1: longer term issues. So you'll see them move quickly, and 35 00:02:09,320 --> 00:02:11,640 Speaker 1: they're going to try to make it bipartisan. They're going 36 00:02:11,680 --> 00:02:14,760 Speaker 1: to try to do what's called regular order, working with 37 00:02:15,120 --> 00:02:18,600 Speaker 1: Republicans do something with sixty votes. But they know and 38 00:02:18,880 --> 00:02:21,640 Speaker 1: that they in their back pocket they have the ability 39 00:02:22,000 --> 00:02:25,760 Speaker 1: through a process called reconciliation, to pass this with just 40 00:02:26,000 --> 00:02:29,839 Speaker 1: fifty Democratic votes. That won't be their goal, but that's 41 00:02:29,880 --> 00:02:33,760 Speaker 1: a backup plan to make sure they get this part 42 00:02:33,880 --> 00:02:37,720 Speaker 1: done fast while people are hurting. Economy needs that. Then 43 00:02:37,760 --> 00:02:40,799 Speaker 1: they say, let's come back and do the build better 44 00:02:40,880 --> 00:02:47,160 Speaker 1: jobs plan, the infrastructure, the green uh climate jobs, the manufacturing, 45 00:02:47,280 --> 00:02:52,240 Speaker 1: the enhancing care caregiving jobs across the country. They know 46 00:02:52,400 --> 00:02:54,760 Speaker 1: that's going to take longer, it's gonna be a little 47 00:02:54,800 --> 00:02:59,200 Speaker 1: more complex. Uh. So they're saying that's our that's that's 48 00:02:59,200 --> 00:03:02,240 Speaker 1: phase two. And I think that both are important. One 49 00:03:02,320 --> 00:03:05,520 Speaker 1: is about relief and emergency, the others about more long 50 00:03:05,600 --> 00:03:09,160 Speaker 1: term recovery, about speeding the speed in which we get 51 00:03:09,200 --> 00:03:12,799 Speaker 1: back to long term Uh, I mean we get back 52 00:03:12,840 --> 00:03:16,760 Speaker 1: to full employment. Remember, uh we're still down nine and 53 00:03:16,760 --> 00:03:20,800 Speaker 1: a half million jobs since the start of COVID, So 54 00:03:21,320 --> 00:03:24,520 Speaker 1: we're still in a deep hole with a lot of 55 00:03:24,639 --> 00:03:28,680 Speaker 1: risk still out there for this recovery. And at this 56 00:03:28,760 --> 00:03:31,800 Speaker 1: point we have former President George W. Bush and his 57 00:03:31,919 --> 00:03:34,920 Speaker 1: wife Laura arriving on the platform. Do you know I 58 00:03:34,920 --> 00:03:39,080 Speaker 1: want to ask you who will Joe Biden and team 59 00:03:39,280 --> 00:03:41,680 Speaker 1: be targeting in terms of trying to get some of 60 00:03:42,360 --> 00:03:44,640 Speaker 1: you know, what they want done. I mean, for example, 61 00:03:44,680 --> 00:03:47,520 Speaker 1: at one point nine trillion dollars stimulus, there's very few 62 00:03:47,520 --> 00:03:49,920 Speaker 1: people who actually believe that it will be the full 63 00:03:50,000 --> 00:03:52,600 Speaker 1: one point nine trillion dollars. But to get up as 64 00:03:52,680 --> 00:03:54,960 Speaker 1: much as possible, who are the power brokers they need 65 00:03:55,000 --> 00:04:00,160 Speaker 1: to to be to be targeting well, I think the 66 00:04:00,600 --> 00:04:04,000 Speaker 1: I think in the end of the day, the most 67 00:04:04,040 --> 00:04:08,080 Speaker 1: important thing is can they keep all of the Democrats together, 68 00:04:08,160 --> 00:04:12,040 Speaker 1: because again, if they have fifty votes they get to 69 00:04:12,160 --> 00:04:15,320 Speaker 1: use for a budget matters which are kind of the 70 00:04:15,720 --> 00:04:19,800 Speaker 1: major kind of spending issues. You can do it with reconciliation. 71 00:04:20,080 --> 00:04:22,920 Speaker 1: So it would be the Democrats that might be holdouts. 72 00:04:23,800 --> 00:04:26,360 Speaker 1: I think, you know, you'd want to make sure that 73 00:04:26,400 --> 00:04:29,000 Speaker 1: the that the ones who are seen as the more 74 00:04:29,560 --> 00:04:32,640 Speaker 1: moderate Democrats. You know, I think people will be looking 75 00:04:32,680 --> 00:04:37,760 Speaker 1: a lot at Joe Mansion from West Virginia, UH, Senator 76 00:04:37,839 --> 00:04:42,360 Speaker 1: Cinema from Arizona Center, Tester from Montana. They're gonna want 77 00:04:42,400 --> 00:04:46,279 Speaker 1: to say, where can what in this package can we 78 00:04:46,400 --> 00:04:51,400 Speaker 1: get agreement on? That goes all the way from the 79 00:04:51,440 --> 00:04:55,919 Speaker 1: most progressive members like Bernie Sanders to the more conservative 80 00:04:55,960 --> 00:04:59,279 Speaker 1: members of the Democratic Party like Joe Manson. But I 81 00:04:59,320 --> 00:05:01,880 Speaker 1: think when they start, they're going to start with the 82 00:05:02,000 --> 00:05:04,760 Speaker 1: view that a lot of Republicans are not are going 83 00:05:04,800 --> 00:05:08,320 Speaker 1: to want to support the major money for vaccine distribution. 84 00:05:08,680 --> 00:05:13,479 Speaker 1: You've had several Republicans support the taking the checks to 85 00:05:13,560 --> 00:05:16,520 Speaker 1: two thousand dollars. It's gonna be hard for lots of 86 00:05:16,560 --> 00:05:20,120 Speaker 1: people to vote against extending long term unemployment. So I 87 00:05:20,160 --> 00:05:23,359 Speaker 1: think they're going to start with a fairly broad view, 88 00:05:23,720 --> 00:05:28,640 Speaker 1: looking for where the Republicans, uh, you know, can support them. 89 00:05:29,480 --> 00:05:34,120 Speaker 1: The biding can show he's doing bipartisan economic legislation, but 90 00:05:34,200 --> 00:05:37,359 Speaker 1: in the end of the day, they know that ultimate 91 00:05:37,560 --> 00:05:42,160 Speaker 1: backup card is having all fifty Democrats on board, and 92 00:05:42,200 --> 00:05:45,279 Speaker 1: so yes, I think they'll be looking for where their 93 00:05:45,360 --> 00:05:51,040 Speaker 1: most progressive and most moderate members can find common ground. So, Gene, 94 00:05:51,480 --> 00:05:55,560 Speaker 1: it's fairly clear that this pandemic and the economic disruption 95 00:05:55,640 --> 00:06:00,520 Speaker 1: has just exposed yet again, income, inequality, wealth, any quality 96 00:06:00,720 --> 00:06:03,880 Speaker 1: in this country. And his president, like Biden, thinks about 97 00:06:04,040 --> 00:06:08,680 Speaker 1: his economic plan is fiscal stimulus, plans plural. How do 98 00:06:08,720 --> 00:06:10,880 Speaker 1: you think what's the best way to go about addressing 99 00:06:10,920 --> 00:06:14,600 Speaker 1: some of these issues? Well, you know, you're absolutely right. 100 00:06:14,640 --> 00:06:17,360 Speaker 1: I mean, I think it is fair to say that, 101 00:06:18,000 --> 00:06:23,800 Speaker 1: um that the pandemic, rather than create economic and racial disparities, 102 00:06:23,839 --> 00:06:27,719 Speaker 1: has just exposed and accelerated them. And I think that 103 00:06:27,839 --> 00:06:32,440 Speaker 1: will be very much on his mind and will impact 104 00:06:32,480 --> 00:06:36,080 Speaker 1: his policies. And remember during the campaign he talked about 105 00:06:36,120 --> 00:06:39,960 Speaker 1: the k recovery or recovery that might have an okay 106 00:06:40,080 --> 00:06:43,440 Speaker 1: GDP number, but when you looked beneath it, you would 107 00:06:43,480 --> 00:06:46,920 Speaker 1: find people who are more fortunate Like myself. We've been 108 00:06:46,960 --> 00:06:50,400 Speaker 1: able to continue to work and work from home doing well. 109 00:06:50,480 --> 00:06:53,640 Speaker 1: And you've heard Leo Brainerd at the Federal Reserve estimate 110 00:06:54,120 --> 00:06:59,359 Speaker 1: that for lower income workers or those who can't just 111 00:06:59,480 --> 00:07:05,440 Speaker 1: work from the unemployment rate is close to near depression levels. 112 00:07:05,520 --> 00:07:08,160 Speaker 1: So I think he's going to be looking at that 113 00:07:08,360 --> 00:07:13,440 Speaker 1: very closely. So Number one, you've got to prevent downward falls. Uh. 114 00:07:13,480 --> 00:07:16,200 Speaker 1: You know, recessions are tough, but if you lose your home, 115 00:07:16,280 --> 00:07:19,440 Speaker 1: if you're evicted, if you don't have food on the table, 116 00:07:19,480 --> 00:07:22,680 Speaker 1: I mean, that's that's offensive to our values. That causes 117 00:07:23,120 --> 00:07:27,920 Speaker 1: long term unemployment that many people don't recover from. So 118 00:07:28,040 --> 00:07:30,120 Speaker 1: I think he's gonna you know, I think these policies 119 00:07:30,160 --> 00:07:32,480 Speaker 1: will be very targeted to that, and I think when 120 00:07:32,480 --> 00:07:35,480 Speaker 1: you see him do his jobs plan, there will be 121 00:07:35,560 --> 00:07:38,800 Speaker 1: a lot of focus on making sure, you know, not 122 00:07:38,840 --> 00:07:42,440 Speaker 1: just putting dollars out and hoping people, you know, not 123 00:07:42,480 --> 00:07:44,600 Speaker 1: worrying about who gets hired, but doing it in a 124 00:07:44,640 --> 00:07:49,120 Speaker 1: way that is ensuring you're improving uh, not just homeownership, 125 00:07:49,200 --> 00:07:52,480 Speaker 1: but closing that racial homeownership gap, which is a way 126 00:07:52,480 --> 00:07:56,040 Speaker 1: of closing the racial wealth gap, making sure when you 127 00:07:56,040 --> 00:07:59,160 Speaker 1: you know, most presidents often have just an infrastructure plan 128 00:07:59,800 --> 00:08:03,080 Speaker 1: by I didn't build back better plan includes caregiving jobs 129 00:08:03,120 --> 00:08:05,800 Speaker 1: those tend to be and health workers those tend to 130 00:08:05,840 --> 00:08:10,000 Speaker 1: be often helping more women, helping more more women of color. 131 00:08:10,440 --> 00:08:13,280 Speaker 1: That's very important to him. Gene, who is the next 132 00:08:13,320 --> 00:08:20,720 Speaker 1: federal reserved chair? And uh, you know, you know, uh, 133 00:08:20,760 --> 00:08:23,040 Speaker 1: that's gonna you know that that's going to be the 134 00:08:23,360 --> 00:08:26,800 Speaker 1: you know, one of the fun parlor games among economic 135 00:08:26,880 --> 00:08:30,880 Speaker 1: nerds across the globe. Uh. And I don't want to. 136 00:08:31,520 --> 00:08:34,040 Speaker 1: I guess I have too many friends who were probably 137 00:08:36,720 --> 00:08:40,800 Speaker 1: soon Uh you know, I really I really don't know. 138 00:08:40,840 --> 00:08:45,040 Speaker 1: And I'm gonna I've worked enough with Joe Biden to 139 00:08:45,160 --> 00:08:47,600 Speaker 1: not want to totally second, you know, try to front 140 00:08:47,679 --> 00:08:50,920 Speaker 1: run his choices. I think that I think there's no 141 00:08:51,000 --> 00:08:55,840 Speaker 1: question that the fact that they won Georgia, uh and 142 00:08:55,920 --> 00:09:00,000 Speaker 1: that they do control the Senate does give him more 143 00:09:00,120 --> 00:09:04,760 Speaker 1: discretion to think about picking somebody knew, somebody who might 144 00:09:04,800 --> 00:09:07,959 Speaker 1: be more his own person. But I'm guessing that even 145 00:09:08,000 --> 00:09:11,480 Speaker 1: within the Buying administration, as they're scrambling to get their 146 00:09:11,520 --> 00:09:15,160 Speaker 1: cabinet in and chosen and confirmed, I would bet that 147 00:09:15,160 --> 00:09:20,280 Speaker 1: that decision has not been made. Gen thirty seconds. What's 148 00:09:20,320 --> 00:09:23,280 Speaker 1: the greatest risk to this economy? Here? Markets equit, markets 149 00:09:23,320 --> 00:09:25,640 Speaker 1: hitting all time highs. But what's the risk out there? 150 00:09:27,080 --> 00:09:30,560 Speaker 1: You know, doing too little, doing too little under uh, 151 00:09:32,200 --> 00:09:35,160 Speaker 1: you know, underestimating you know that would end up being 152 00:09:35,160 --> 00:09:37,520 Speaker 1: the problem. Before that, you you can only get one 153 00:09:37,559 --> 00:09:41,040 Speaker 1: bite at the apple, things get worse. Uh. You can 154 00:09:41,040 --> 00:09:45,960 Speaker 1: imagine a new strain that's that's resistant to the new vaccine. 155 00:09:46,040 --> 00:09:50,360 Speaker 1: When I came inven to be any C director, we 156 00:09:50,360 --> 00:09:52,720 Speaker 1: were looking at a strong economic year, and then you 157 00:09:52,760 --> 00:09:55,560 Speaker 1: had the NW clear meltdown in Japan, you had the 158 00:09:55,720 --> 00:09:59,920 Speaker 1: you had the Arab Spring. Things happen, and I think 159 00:10:00,120 --> 00:10:03,720 Speaker 1: that's why what you heard from yelling is the risks 160 00:10:03,760 --> 00:10:07,600 Speaker 1: of going small are much greater than the risk of 161 00:10:07,720 --> 00:10:10,600 Speaker 1: going big. And I think that is going to define 162 00:10:10,600 --> 00:10:14,600 Speaker 1: what you see from this president economically in his first year. 163 00:10:14,840 --> 00:10:17,840 Speaker 1: Gene Sperling, thank you so much for joining us today. 164 00:10:17,960 --> 00:10:21,920 Speaker 1: On everything that we know so far, and the parlor 165 00:10:22,000 --> 00:10:26,640 Speaker 1: games in Washington, d C among economic circles. And you 166 00:10:26,679 --> 00:10:31,000 Speaker 1: know who might actually be filling out the different roles 167 00:10:31,040 --> 00:10:33,760 Speaker 1: in d C over the coming couple of years. Jean Sparling, 168 00:10:33,760 --> 00:10:36,840 Speaker 1: former director of the National Economic Council under Presidents Clinton 169 00:10:36,960 --> 00:10:42,480 Speaker 1: and Obama and president of Sparreling Economic Strategies, joining us there. So, Paul, 170 00:10:42,520 --> 00:10:45,240 Speaker 1: it is an auspicious day. It always is only coming, 171 00:10:45,400 --> 00:10:48,400 Speaker 1: obviously once every four years, and today we're going to 172 00:10:48,440 --> 00:10:52,000 Speaker 1: see President elect Joe Biden and Vice President let Kamala 173 00:10:52,000 --> 00:10:55,600 Speaker 1: Harris sworn in. Yeah, it's gonna be a very unique day, 174 00:10:55,960 --> 00:10:58,640 Speaker 1: unique inauguration, Vanni, with what we're doing with in terms 175 00:10:58,679 --> 00:11:00,800 Speaker 1: of the pandemic and what in a couple of weeks ago, 176 00:11:00,800 --> 00:11:03,680 Speaker 1: but a day of celebration, nonetheless. So let's hand it 177 00:11:03,679 --> 00:11:06,080 Speaker 1: over now to our colleague David Weston, who's going to 178 00:11:06,080 --> 00:11:08,839 Speaker 1: continue for the next three hours with Balance of Power 179 00:11:12,080 --> 00:11:15,240 Speaker 1: Inauguration Day in our nation's capital. Stay tuned for live 180 00:11:15,360 --> 00:11:17,760 Speaker 1: coverage of the inauguration of Joe Biden on a special 181 00:11:17,920 --> 00:11:20,560 Speaker 1: edition of Bloomberg's Balance of Power with David Weston. Our 182 00:11:20,600 --> 00:11:23,319 Speaker 1: Wall Wall coverage starts at eleven a m. Wall Street 183 00:11:23,360 --> 00:11:26,720 Speaker 1: Time on Bloomberg Radio and Television. Let's get a preview 184 00:11:27,080 --> 00:11:31,040 Speaker 1: of what we might experience later today as inauguration takes place. 185 00:11:31,040 --> 00:11:36,200 Speaker 1: We welcome Jennie shan Zano, Bloomberg Politics contributor, author of 186 00:11:36,240 --> 00:11:41,200 Speaker 1: American Democracy in Crisis, also professor Political Science at Iona College. Professor. 187 00:11:41,280 --> 00:11:42,840 Speaker 1: Thanks so much for joining us, Jennie. What do you 188 00:11:42,880 --> 00:11:46,640 Speaker 1: think we're going to hear from soon to be President 189 00:11:46,800 --> 00:11:51,040 Speaker 1: Biden in his inaugural address? You know, what I'm expecting 190 00:11:51,080 --> 00:11:54,880 Speaker 1: to hear is a theme of bipartisanship. This is somebody 191 00:11:54,920 --> 00:11:57,040 Speaker 1: who has been in the Senate for much of his 192 00:11:57,120 --> 00:12:00,400 Speaker 1: adult life. He understands that in order to get all 193 00:12:00,440 --> 00:12:02,720 Speaker 1: of the bills he wants to get passed and addressed 194 00:12:02,760 --> 00:12:05,439 Speaker 1: all of the challenges we're facing, he's going to need 195 00:12:05,480 --> 00:12:08,040 Speaker 1: to work across the aisle. So I expect we're going 196 00:12:08,080 --> 00:12:11,640 Speaker 1: to hear about bipartisanship or reach across the aisle. A 197 00:12:11,760 --> 00:12:14,600 Speaker 1: call for unity that seems to be the buzzword of 198 00:12:14,640 --> 00:12:18,559 Speaker 1: the day. Um. You know, so we've had historic inaugural 199 00:12:18,640 --> 00:12:21,840 Speaker 1: addresses obviously in the past, but I do think that 200 00:12:21,920 --> 00:12:23,839 Speaker 1: it's going to be a stark contrast to what we 201 00:12:23,920 --> 00:12:27,760 Speaker 1: heard in sixteen with the infamous carnage speech. I think 202 00:12:27,760 --> 00:12:31,840 Speaker 1: Biden's tony is going to be completely different from its predecessor, Genie. 203 00:12:31,880 --> 00:12:35,680 Speaker 1: How does Kamala Harris's role manifest She has an opportunity 204 00:12:35,800 --> 00:12:39,599 Speaker 1: right now that previous vice presidents haven't had. How will 205 00:12:39,600 --> 00:12:43,920 Speaker 1: her and Biden define this new role. It's gonna be 206 00:12:43,960 --> 00:12:47,320 Speaker 1: so fascinating because, of course, Kamala Harris a historic pick. 207 00:12:47,440 --> 00:12:51,000 Speaker 1: She's the first woman, she is the first African American 208 00:12:51,080 --> 00:12:56,040 Speaker 1: Indian descent. Of course, also she is likely to be 209 00:12:56,080 --> 00:13:01,800 Speaker 1: the leading candidate for the presidency in we widely expect 210 00:13:01,840 --> 00:13:04,760 Speaker 1: that Joe Biden, given his age at seventy eight, is 211 00:13:04,840 --> 00:13:07,840 Speaker 1: not going to be running again. Um. If that is 212 00:13:07,880 --> 00:13:11,240 Speaker 1: the case, then Kamala Harris is going to be not 213 00:13:11,320 --> 00:13:14,480 Speaker 1: just serving as vice president and helping the president through 214 00:13:14,840 --> 00:13:18,600 Speaker 1: all of these challenges we're facing, but also herself gearing 215 00:13:18,679 --> 00:13:22,240 Speaker 1: up for a run. And that is going to, I 216 00:13:22,240 --> 00:13:25,000 Speaker 1: think be fascinating. And I know you're both probably shocked 217 00:13:25,040 --> 00:13:30,040 Speaker 1: that I'm talking about today, but if we recall Donald Trump, 218 00:13:30,080 --> 00:13:32,520 Speaker 1: I think it was vunny the day of his inauguration 219 00:13:32,559 --> 00:13:34,880 Speaker 1: or the day after he announced he was running in 220 00:13:36,080 --> 00:13:39,679 Speaker 1: so you know, it is really uh, you know, time 221 00:13:39,720 --> 00:13:42,360 Speaker 1: to gear up for four and Kamala Harris is going 222 00:13:42,400 --> 00:13:46,280 Speaker 1: to be a leading contender obviously for that position. So, Jenny, 223 00:13:46,360 --> 00:13:49,720 Speaker 1: the first one days of any president's term tend to 224 00:13:49,720 --> 00:13:52,840 Speaker 1: be very, very busy where they have a lot of 225 00:13:52,960 --> 00:13:55,520 Speaker 1: they try to get a lot of work done. What 226 00:13:55,559 --> 00:13:58,760 Speaker 1: do you think this president can't get done in the 227 00:13:58,760 --> 00:14:02,280 Speaker 1: first one days. It's been fascinating. He's been talking about 228 00:14:02,360 --> 00:14:05,080 Speaker 1: not just the one hundred day marker, which we're so 229 00:14:05,200 --> 00:14:07,560 Speaker 1: used to in the U s. Sort of this historic day, 230 00:14:07,600 --> 00:14:11,120 Speaker 1: a hundred days, he's been talking about ten days. And 231 00:14:11,160 --> 00:14:14,600 Speaker 1: what we expect is he is immediately as early as today, 232 00:14:14,960 --> 00:14:19,000 Speaker 1: going to be sending to Congress a massive immigration bill 233 00:14:19,480 --> 00:14:22,520 Speaker 1: um that I think is going to be a sweeping 234 00:14:22,600 --> 00:14:27,600 Speaker 1: proposal to provide citizenship for eleven million undocumented people living 235 00:14:27,600 --> 00:14:30,960 Speaker 1: in the United States. We also expect in the first day, 236 00:14:31,040 --> 00:14:33,880 Speaker 1: just this afternoon, he's going to sign a series of 237 00:14:33,920 --> 00:14:37,800 Speaker 1: executive orders dealing with everything from the environment and climate again, 238 00:14:37,840 --> 00:14:41,200 Speaker 1: to immigration, to the public health crisis COVID, and to 239 00:14:41,360 --> 00:14:44,240 Speaker 1: racial justice. So he has a lot on his plate, 240 00:14:44,360 --> 00:14:46,680 Speaker 1: not just in the first hundred days, but in the 241 00:14:46,760 --> 00:14:49,480 Speaker 1: first day, because he's expected to be in the Oval 242 00:14:49,520 --> 00:14:54,000 Speaker 1: Office working as early as this afternoon. President Hump earlier 243 00:14:54,040 --> 00:14:57,240 Speaker 1: this morning made some remarks to reporters and also obviously 244 00:14:57,360 --> 00:15:01,240 Speaker 1: made some remarks on the podium before he left Joint 245 00:15:01,240 --> 00:15:04,120 Speaker 1: Bass Andrews. He said we will be back, and he 246 00:15:04,160 --> 00:15:05,880 Speaker 1: had told reporters hopefully it's not going to be a 247 00:15:05,920 --> 00:15:08,680 Speaker 1: long goodbye. I'm curious as to what you think President 248 00:15:08,680 --> 00:15:11,480 Speaker 1: Trump will try to do next, particularly given that among 249 00:15:11,480 --> 00:15:15,920 Speaker 1: the pardons where Steve Bonna, we were expecting some that 250 00:15:15,960 --> 00:15:18,080 Speaker 1: we didn't get, and then we did get the Steve 251 00:15:18,080 --> 00:15:20,880 Speaker 1: Bonn on one. What was the significance of the significance 252 00:15:20,920 --> 00:15:24,000 Speaker 1: in my mind, is that exactly tied to this we 253 00:15:24,080 --> 00:15:27,400 Speaker 1: will be back statement that he made. I think the president, 254 00:15:28,160 --> 00:15:32,320 Speaker 1: the President Trump expects that he or members of his family, 255 00:15:32,480 --> 00:15:34,880 Speaker 1: his daughter, his daughter in law, and his son, all 256 00:15:34,920 --> 00:15:37,680 Speaker 1: looking at potential races in Florida and the South part 257 00:15:37,680 --> 00:15:40,680 Speaker 1: of the United States, may rely on somebody like as 258 00:15:40,760 --> 00:15:43,880 Speaker 1: Steve Bannon to be an advisor for potential runs for 259 00:15:43,920 --> 00:15:47,360 Speaker 1: Congress and potentially if a President Trump, former President Trump 260 00:15:47,440 --> 00:15:50,280 Speaker 1: decides to run again. So I think you're absolutely right. 261 00:15:50,560 --> 00:15:52,920 Speaker 1: I was also struck by his remarks in terms of 262 00:15:52,920 --> 00:15:55,960 Speaker 1: how he took credit for what is going to happen 263 00:15:56,000 --> 00:15:59,040 Speaker 1: in the Biden administration, saying that he laid the foundation 264 00:15:59,400 --> 00:16:01,760 Speaker 1: for what ever good they're able to achieve with a 265 00:16:01,760 --> 00:16:03,920 Speaker 1: lot of luck. So it was sort of the first 266 00:16:03,960 --> 00:16:07,720 Speaker 1: time I've heard somebody take credit prior to his successor 267 00:16:07,880 --> 00:16:11,680 Speaker 1: entering office. So I thought that was fascinating as well. Jennie, Realistically, 268 00:16:11,880 --> 00:16:14,920 Speaker 1: what do you think um soon to be President Biden 269 00:16:15,000 --> 00:16:18,120 Speaker 1: can get done legislatively? He has obviously a long track 270 00:16:18,160 --> 00:16:25,480 Speaker 1: record in Congress, bipartisan historical record. Can he bring reluctant 271 00:16:25,520 --> 00:16:28,640 Speaker 1: Republicans and maybe some Democrats over to his side to 272 00:16:28,720 --> 00:16:32,920 Speaker 1: get meaningful legislation done. He's going to have to do that, 273 00:16:33,000 --> 00:16:35,840 Speaker 1: And I want to be optimistic on this day of 274 00:16:35,880 --> 00:16:39,040 Speaker 1: sort of celebration and say yes he can. As you mentioned, 275 00:16:39,040 --> 00:16:41,600 Speaker 1: he's perfectly situated to do that given his history in 276 00:16:41,640 --> 00:16:44,560 Speaker 1: the Senate and of reaching across the aisle. I'm not 277 00:16:44,640 --> 00:16:46,320 Speaker 1: so sure he's going to be able to get the 278 00:16:46,360 --> 00:16:48,880 Speaker 1: bills that he wants passed in the way he wants. 279 00:16:48,920 --> 00:16:52,240 Speaker 1: For instance, this almost two trillion dollar stimulus bill we're 280 00:16:52,320 --> 00:16:57,400 Speaker 1: already hearing yesterday, during the confirmation, hearings pushback from Republicans 281 00:16:57,400 --> 00:17:00,560 Speaker 1: on things like the fifteen dollar minimum wage, on the 282 00:17:00,720 --> 00:17:05,240 Speaker 1: fourteen hundred dollars called by Marco Rubio also contender for 283 00:17:05,240 --> 00:17:07,879 Speaker 1: a more piecemeal approach, So there is going to be 284 00:17:07,960 --> 00:17:11,000 Speaker 1: pushed back from Republicans, and I suspect in the case 285 00:17:11,040 --> 00:17:15,479 Speaker 1: of COVID immigration and the other bills infrastructure that he 286 00:17:15,560 --> 00:17:19,520 Speaker 1: wants to get past, these are going to be watered down, 287 00:17:19,600 --> 00:17:21,560 Speaker 1: if you will. I don't think we'll get at one 288 00:17:21,640 --> 00:17:23,800 Speaker 1: point nine trillion dollar. I think we're going to be 289 00:17:23,840 --> 00:17:26,000 Speaker 1: closer to a one trillion dollar bill at the end. 290 00:17:26,359 --> 00:17:29,000 Speaker 1: It's going to be a negotiation for sure, because he 291 00:17:29,040 --> 00:17:32,720 Speaker 1: needs not just the moderate Republicans, he needs to also 292 00:17:32,840 --> 00:17:34,960 Speaker 1: maintain the Democrats. And I would say one thing to 293 00:17:35,000 --> 00:17:38,560 Speaker 1: watch for Democrats or Republicans who leave their party. Genie. 294 00:17:38,720 --> 00:17:41,480 Speaker 1: Thank you. Genie will be contributing throughout the day, so 295 00:17:41,560 --> 00:17:44,560 Speaker 1: do continue to listen and watch a Genie. Sean Zano 296 00:17:44,640 --> 00:17:48,359 Speaker 1: Bloomberg politics contributor, professor at Iona College and author of 297 00:17:48,560 --> 00:17:54,560 Speaker 1: a new book, American Democracy in Crisis. This is Bloomberg. Well, 298 00:17:54,600 --> 00:17:57,560 Speaker 1: we're just seeing continued gains here for you as equities 299 00:17:57,560 --> 00:18:00,840 Speaker 1: with an ASDAG up one point seven recent now more 300 00:18:00,840 --> 00:18:02,919 Speaker 1: than one percent on the ten year yield at one 301 00:18:02,960 --> 00:18:06,320 Speaker 1: oh ninety eight. Let's bring in Bloomberg process that reporter 302 00:18:06,480 --> 00:18:08,720 Speaker 1: Sarah Ponsa to give us an idea of what markets 303 00:18:08,720 --> 00:18:11,920 Speaker 1: are really concentrating on today. Would seem that the dollar 304 00:18:12,000 --> 00:18:14,760 Speaker 1: index is a little bit weaker relative to, for example, 305 00:18:14,800 --> 00:18:17,639 Speaker 1: the Canadian dollar. But other than that, it's all about equity, Sarah. 306 00:18:17,920 --> 00:18:19,879 Speaker 1: It is all about equities today, and we see the 307 00:18:19,920 --> 00:18:22,320 Speaker 1: NAZAC at record highs, we see the SMP five hundred 308 00:18:22,359 --> 00:18:24,480 Speaker 1: at record highs. We also see the Russell two thousand 309 00:18:24,480 --> 00:18:27,280 Speaker 1: at record highs. So from small caps to large caps, 310 00:18:27,320 --> 00:18:30,239 Speaker 1: but really asserting itself in the markets today is the 311 00:18:30,280 --> 00:18:33,359 Speaker 1: Fame trade once again, this after Netflix was the first 312 00:18:33,400 --> 00:18:36,160 Speaker 1: of the group to report earnings yesterday after the bell 313 00:18:36,560 --> 00:18:39,840 Speaker 1: and really just performing. You could say, we saw a 314 00:18:39,880 --> 00:18:42,679 Speaker 1: net new subscribers coming at eight point five one million 315 00:18:42,760 --> 00:18:45,600 Speaker 1: that not only beat Netflix his own forecast, but it 316 00:18:45,680 --> 00:18:48,320 Speaker 1: also beat the expectations from analysts on Wall Street of 317 00:18:48,400 --> 00:18:51,080 Speaker 1: six point six million. On top of that, they finally 318 00:18:51,119 --> 00:18:53,600 Speaker 1: passed two hundred million subscriber mark. At the same time, 319 00:18:53,640 --> 00:18:56,120 Speaker 1: they said cash flow will now allow it to stop 320 00:18:56,119 --> 00:18:59,680 Speaker 1: relying on debt to fuel growth. So we see Netflix 321 00:18:59,720 --> 00:19:03,639 Speaker 1: this morning up almost fifteent, trading out a new record high, 322 00:19:03,840 --> 00:19:06,720 Speaker 1: and you see the other fang names just trading in tandem. 323 00:19:06,760 --> 00:19:09,680 Speaker 1: You look at your best performers on a points basis, 324 00:19:09,720 --> 00:19:12,160 Speaker 1: at least in the SMP five dred as we speak, 325 00:19:12,240 --> 00:19:15,480 Speaker 1: that's Apple, Microsoft, Amazon, each up at least two and 326 00:19:15,520 --> 00:19:18,960 Speaker 1: a half percent this morning. Yeah, it's just extraordinary story 327 00:19:19,040 --> 00:19:20,960 Speaker 1: last night with Netflix. I think the other big thing, 328 00:19:21,280 --> 00:19:23,840 Speaker 1: Sarah as the company said that you know they're gonna 329 00:19:23,840 --> 00:19:26,720 Speaker 1: be free cash flow positive pretty quickly, I think a 330 00:19:26,720 --> 00:19:29,320 Speaker 1: little bit faster than the street expected. So kind of 331 00:19:29,320 --> 00:19:32,280 Speaker 1: showing how that company is really matured and really kind 332 00:19:32,280 --> 00:19:35,200 Speaker 1: of grown into its its growth story. Oh surely, and 333 00:19:35,359 --> 00:19:37,480 Speaker 1: coming into this earning season, A big question for the 334 00:19:37,520 --> 00:19:41,119 Speaker 1: likes of Netflix, maybe Amazon. You think of other large 335 00:19:41,160 --> 00:19:46,560 Speaker 1: technology companies that benefited all of and even benefited from 336 00:19:46,600 --> 00:19:49,160 Speaker 1: the rollout of of COVID nineteen and the play out 337 00:19:49,359 --> 00:19:51,840 Speaker 1: and people forced to stay at home and work from home. 338 00:19:52,119 --> 00:19:54,800 Speaker 1: The question really has been, we know that business was 339 00:19:54,880 --> 00:19:58,840 Speaker 1: pulled forwards for them. We know that many people bought 340 00:19:58,960 --> 00:20:01,199 Speaker 1: Netflix of scripture because they were stuck at home with 341 00:20:01,280 --> 00:20:03,879 Speaker 1: nothing else to watch, and and they needed to. We 342 00:20:03,920 --> 00:20:06,800 Speaker 1: know that happened. Another question is what comes next for 343 00:20:06,880 --> 00:20:09,560 Speaker 1: these businesses. And there's been this push and pull when 344 00:20:09,560 --> 00:20:13,200 Speaker 1: we hear investors talk about this rotation not just from 345 00:20:13,280 --> 00:20:17,679 Speaker 1: from growth to value, but from defensives to cyclicals, and 346 00:20:17,800 --> 00:20:20,280 Speaker 1: the idea that we might see this shift into the 347 00:20:20,320 --> 00:20:23,080 Speaker 1: reopening play from the stay at home trade. But it 348 00:20:23,200 --> 00:20:26,560 Speaker 1: makes you think when you see these companies continue to 349 00:20:26,640 --> 00:20:30,560 Speaker 1: deliver uh growth companies, And this is also an argument 350 00:20:30,640 --> 00:20:32,960 Speaker 1: that's made. It's it's not as if they are going 351 00:20:33,040 --> 00:20:36,160 Speaker 1: to just drift off it and everyone's gonna stop talking 352 00:20:36,200 --> 00:20:38,240 Speaker 1: about them, and they're no longer going to be strong 353 00:20:38,280 --> 00:20:40,560 Speaker 1: companies like you pointed out Netflix now going to be 354 00:20:40,600 --> 00:20:43,879 Speaker 1: cash flow positive. I mean, these are strong companies and 355 00:20:43,960 --> 00:20:47,159 Speaker 1: it makes you wonder if we can see this reopening trade. 356 00:20:47,200 --> 00:20:51,280 Speaker 1: Small caps continue to run, but in tandem with big 357 00:20:51,359 --> 00:20:55,440 Speaker 1: tech and and streaming companies like Netflix that did very 358 00:20:55,480 --> 00:20:59,840 Speaker 1: well in How much is the market reacting to John 359 00:20:59,840 --> 00:21:02,399 Speaker 1: at Yellen's testimony. Obviously she is going to be the 360 00:21:02,440 --> 00:21:05,159 Speaker 1: next to insury secretary. It's you know, almost without a 361 00:21:05,200 --> 00:21:07,360 Speaker 1: doubt that she'll be voted in by sort of all 362 00:21:07,640 --> 00:21:12,760 Speaker 1: sides of Congress um and therefore, you know, will try 363 00:21:12,800 --> 00:21:15,880 Speaker 1: to implement a lot of what Joe Biden has been annunciating, 364 00:21:15,880 --> 00:21:18,160 Speaker 1: the one point nine trillion dollars in stimulus and so on. 365 00:21:18,240 --> 00:21:21,320 Speaker 1: How much is today's trade off the back about not 366 00:21:21,440 --> 00:21:24,040 Speaker 1: too much. I mean, we've known that Janet Yellen was 367 00:21:24,080 --> 00:21:26,960 Speaker 1: going to be Treasury Secretary for quite a while. Now, 368 00:21:27,040 --> 00:21:30,200 Speaker 1: she's also a known entity on Wall Street. The expectation 369 00:21:30,320 --> 00:21:32,880 Speaker 1: is that there really shouldn't be too many surprises here. 370 00:21:33,240 --> 00:21:35,160 Speaker 1: She has been touting the one point nine trillion dollar 371 00:21:35,200 --> 00:21:37,359 Speaker 1: stimulus package. On the back of that, we have seen 372 00:21:37,640 --> 00:21:41,359 Speaker 1: inflation expectations pick up tad Currently I'm looking at tenure 373 00:21:41,400 --> 00:21:44,399 Speaker 1: break even inflation expectations holding around two point one to 374 00:21:45,000 --> 00:21:48,480 Speaker 1: per center. So now there were some surprises yesterday. Max 375 00:21:48,560 --> 00:21:51,439 Speaker 1: Gochman over Pacific Life Fund Advisors actually reached out to 376 00:21:51,440 --> 00:21:54,560 Speaker 1: me to say that what was surprising within her testimony 377 00:21:54,920 --> 00:22:00,280 Speaker 1: was her discussion of tax hikes, saying that it's going 378 00:22:00,320 --> 00:22:02,680 Speaker 1: to come immediately, but possibly we could see a change 379 00:22:02,720 --> 00:22:04,960 Speaker 1: to the tax code as part of the infrastructure plan. 380 00:22:05,320 --> 00:22:07,320 Speaker 1: So that maybe did take some infestors off guard, But 381 00:22:07,359 --> 00:22:11,080 Speaker 1: I wouldn't say necessarily that the testimony that we are 382 00:22:11,080 --> 00:22:14,520 Speaker 1: seeing from Janet Yellen is affecting stock prices, or the 383 00:22:14,560 --> 00:22:17,399 Speaker 1: bond market or the dollar today for instance. I mean, 384 00:22:17,560 --> 00:22:19,600 Speaker 1: she's a known entity on Wall Street and we've known 385 00:22:19,680 --> 00:22:21,680 Speaker 1: for quite a while now that she was the nominee 386 00:22:21,720 --> 00:22:25,720 Speaker 1: as well. Fiscal stimulus sarah um, you know, one point 387 00:22:25,880 --> 00:22:30,360 Speaker 1: nine trillion plan proposed. Hearing some pushback that it's not 388 00:22:30,480 --> 00:22:32,800 Speaker 1: all going to get past. What do you think the 389 00:22:32,840 --> 00:22:37,280 Speaker 1: market's kind of discounting here about this next round of stimulus? Right, So, 390 00:22:37,320 --> 00:22:39,160 Speaker 1: there has been some pushback the idea that we might 391 00:22:39,160 --> 00:22:42,240 Speaker 1: not see it all get past or all get past immediately. 392 00:22:42,400 --> 00:22:47,160 Speaker 1: But we haven't seen any negative reaction to this pushback 393 00:22:47,560 --> 00:22:51,359 Speaker 1: whatsoever in markets. I mean, you see benchmarks today trading 394 00:22:51,400 --> 00:22:54,560 Speaker 1: at record highs. You see the tenure not really moving 395 00:22:54,600 --> 00:22:57,240 Speaker 1: all that much, but still holding above one percent and 396 00:22:57,280 --> 00:22:59,760 Speaker 1: well above one percent now at one point nine percent 397 00:23:00,400 --> 00:23:03,800 Speaker 1: and holding. So we're not seeing much reaction in the markets. 398 00:23:03,840 --> 00:23:06,240 Speaker 1: And we've heard it many times, the idea that the 399 00:23:06,280 --> 00:23:09,480 Speaker 1: market is forward looking and the expectation, it seems is 400 00:23:09,480 --> 00:23:12,640 Speaker 1: that even if if it's not done immediately, it will 401 00:23:12,680 --> 00:23:15,639 Speaker 1: get done eventually, and the market, no matter what is 402 00:23:15,680 --> 00:23:18,200 Speaker 1: just looking ahead and saying we've got trillions of dollars 403 00:23:18,200 --> 00:23:21,639 Speaker 1: worth of fiscal stimulus coming down the pipeline. Uh, and 404 00:23:22,160 --> 00:23:26,680 Speaker 1: clearly the markets like that. Sarah Ponzac, thank you so much. 405 00:23:26,760 --> 00:23:31,359 Speaker 1: We appreciate that. Sarah Ponzack, cross asset reporter for Bloomberg News, 406 00:23:31,680 --> 00:23:34,080 Speaker 1: giving us the thoughts on the markets again, Vanni. Uh, 407 00:23:34,200 --> 00:23:38,320 Speaker 1: equity markets hitting all time highs here on this bullish 408 00:23:38,359 --> 00:23:41,320 Speaker 1: outlook I think for the economy in the near intermediate term, 409 00:23:41,440 --> 00:23:45,080 Speaker 1: given stimulus and given low interest rates. Yeah, absolutely. I 410 00:23:45,080 --> 00:23:47,479 Speaker 1: mean it's the same narrative that we've been listening to 411 00:23:47,640 --> 00:23:50,080 Speaker 1: right as long as we've known. You know that the 412 00:23:50,200 --> 00:23:54,760 Speaker 1: election results were pretty accepted, you know, and maybe not 413 00:23:54,800 --> 00:23:58,880 Speaker 1: by everybody, but that that that none of the court proceedings, 414 00:23:58,880 --> 00:24:04,320 Speaker 1: for example, was going to exceed in the stock market. 415 00:24:04,400 --> 00:24:06,760 Speaker 1: Let's see where the action is under the hood, and 416 00:24:06,760 --> 00:24:09,639 Speaker 1: we do that with when we're stocks editor Dave Wilson, Dave, 417 00:24:09,720 --> 00:24:11,919 Speaker 1: what are you looking at today? Well, there's plenty of 418 00:24:11,920 --> 00:24:15,520 Speaker 1: the same in Netflix, a perfect example. You know, you 419 00:24:15,640 --> 00:24:18,960 Speaker 1: go back and look at the stock performance after past 420 00:24:18,960 --> 00:24:21,639 Speaker 1: and earning these reports, and you see it was down 421 00:24:21,800 --> 00:24:24,199 Speaker 1: in seven of the past eight quarters. So it's a 422 00:24:24,280 --> 00:24:28,399 Speaker 1: real contrast to what we're seeing today with the percent 423 00:24:28,560 --> 00:24:32,640 Speaker 1: plus gain that Greg Jarrett mentioned. You know, the other 424 00:24:32,720 --> 00:24:34,679 Speaker 1: side of the coin is what's going on with the 425 00:24:34,720 --> 00:24:38,919 Speaker 1: financial companies. You know, in general, the fourth quarter results 426 00:24:39,000 --> 00:24:41,920 Speaker 1: just haven't been well received. I mean, sure, you've got 427 00:24:41,960 --> 00:24:45,119 Speaker 1: Morgan Stanley shares higher in the wake of their results. 428 00:24:45,160 --> 00:24:48,560 Speaker 1: They're only up one percent, though, and the two worst 429 00:24:48,560 --> 00:24:51,639 Speaker 1: performers in the S and P five hundred are companies 430 00:24:51,880 --> 00:24:55,399 Speaker 1: that also reported fourth quarter results today, Bank of New 431 00:24:55,480 --> 00:24:58,920 Speaker 1: York Malwine, which is down six percent, and US Bank 432 00:24:58,960 --> 00:25:02,560 Speaker 1: Corps down four point four percent. So, you know, and 433 00:25:02,560 --> 00:25:05,800 Speaker 1: that's consistent with what we saw on Friday. Uh, the 434 00:25:05,840 --> 00:25:09,320 Speaker 1: reaction to the figures out of City Group and JP, 435 00:25:09,480 --> 00:25:12,720 Speaker 1: Morgan Chase and Wells Fargo. You know, you put that 436 00:25:12,840 --> 00:25:16,000 Speaker 1: all together, and you know, it kind of shows you 437 00:25:16,080 --> 00:25:18,800 Speaker 1: that is as good as the results might be, if 438 00:25:18,800 --> 00:25:22,240 Speaker 1: you look at them relative to analysts estimates, they're really 439 00:25:22,280 --> 00:25:25,159 Speaker 1: not going over all that well in terms of the 440 00:25:25,240 --> 00:25:28,280 Speaker 1: market reactions. So that's going to be something to watch 441 00:25:28,760 --> 00:25:31,199 Speaker 1: as we go through. You know, is it going to 442 00:25:31,240 --> 00:25:34,880 Speaker 1: be more of a Netflix kind of a response to results, 443 00:25:35,000 --> 00:25:36,399 Speaker 1: or is it going to be more in line with 444 00:25:36,440 --> 00:25:39,680 Speaker 1: what we're seeing with the banks. Beyond that day, does 445 00:25:39,720 --> 00:25:42,800 Speaker 1: a monumental shift happening in Washington, d C. And in 446 00:25:42,840 --> 00:25:45,760 Speaker 1: the country today in terms of leadership and what that 447 00:25:45,800 --> 00:25:48,760 Speaker 1: means for policy going forward. But today is the day 448 00:25:48,760 --> 00:25:52,920 Speaker 1: for pumping circumstances. So what is volume like, Well, you 449 00:25:53,040 --> 00:25:56,560 Speaker 1: look at what's going on. Just check out the first 450 00:25:56,680 --> 00:26:01,119 Speaker 1: half hour of trading in stocks listed on either of 451 00:26:01,160 --> 00:26:04,680 Speaker 1: the New York Stock Exchange or NASDAK. We saw about 452 00:26:04,720 --> 00:26:09,280 Speaker 1: two point six billion shares change hands. And just to 453 00:26:09,440 --> 00:26:13,560 Speaker 1: provide some context to that, you go back and look 454 00:26:13,600 --> 00:26:16,800 Speaker 1: at yesterday, just you know, for a point of reference, 455 00:26:17,359 --> 00:26:19,520 Speaker 1: and it's actually just a little bit above what we 456 00:26:19,560 --> 00:26:23,760 Speaker 1: saw a week ago. So you know it trading carries 457 00:26:23,800 --> 00:26:27,200 Speaker 1: on basically, and with the earnings reports coming out and 458 00:26:27,200 --> 00:26:29,800 Speaker 1: and all the rest. I mean, it's not exactly a surprise. 459 00:26:30,680 --> 00:26:33,400 Speaker 1: One interesting name, guys, I thought was really interesting today 460 00:26:33,440 --> 00:26:35,879 Speaker 1: Ali Baba. The stock is up five percent and I 461 00:26:35,920 --> 00:26:39,399 Speaker 1: guess jack Ma is alive and well, and that's a 462 00:26:39,600 --> 00:26:43,040 Speaker 1: I guess a reprieve for shareholders in this company. Dave, Well, 463 00:26:43,040 --> 00:26:45,600 Speaker 1: it is because it's the first time he's really common 464 00:26:45,720 --> 00:26:48,400 Speaker 1: seen in public in about three months. You know, ever, 465 00:26:48,480 --> 00:26:52,800 Speaker 1: since China's government started clamping down on him, you know, 466 00:26:52,880 --> 00:26:55,960 Speaker 1: in the wake of UH you know and Financial, the 467 00:26:56,200 --> 00:27:00,199 Speaker 1: UH consumer finance company in which Ali Baba as a 468 00:27:00,200 --> 00:27:02,879 Speaker 1: controlling stake you know, and planned to go public or 469 00:27:02,880 --> 00:27:06,680 Speaker 1: with him in the biggest UH initial public offering ever worldwide, 470 00:27:06,760 --> 00:27:10,199 Speaker 1: and Chinese government didn't let that happen. And since you know, 471 00:27:10,560 --> 00:27:12,919 Speaker 1: Jack Ma is kind of keeping a low profile, may 472 00:27:13,000 --> 00:27:15,800 Speaker 1: it was real concern about, you know, well where is he? 473 00:27:16,080 --> 00:27:20,159 Speaker 1: And he showed up in a live stream video for 474 00:27:20,200 --> 00:27:23,760 Speaker 1: this event that he sponsors honoring rural teachers, so at 475 00:27:23,800 --> 00:27:27,280 Speaker 1: least people have some reassurance that he's still around. And 476 00:27:27,320 --> 00:27:29,680 Speaker 1: then from there it's a matter of, you know, what 477 00:27:29,760 --> 00:27:33,080 Speaker 1: does Uh ali Baba look like going forward, which is 478 00:27:33,119 --> 00:27:35,480 Speaker 1: a you know, a much bigger question, you know, given 479 00:27:35,720 --> 00:27:38,640 Speaker 1: UH you know, the the back and forth in terms 480 00:27:38,680 --> 00:27:41,679 Speaker 1: of how companies are being perceived. I mean, Ali Baba 481 00:27:41,720 --> 00:27:44,480 Speaker 1: kind of dodged a bullet last week because there was 482 00:27:44,560 --> 00:27:48,560 Speaker 1: talk UH that the company might uh be kind of 483 00:27:48,600 --> 00:27:52,200 Speaker 1: taken off the list of potential investments for for US 484 00:27:52,280 --> 00:27:56,760 Speaker 1: investors with a blacklist, but that didn't happen. So you know, 485 00:27:56,800 --> 00:27:58,840 Speaker 1: Ali Baba has got the all clear for the moment, 486 00:27:58,880 --> 00:28:01,400 Speaker 1: and having Jack Mob being seen in public a sort 487 00:28:01,440 --> 00:28:04,560 Speaker 1: of goes along with that. We're expecting a minimum of 488 00:28:04,640 --> 00:28:07,520 Speaker 1: fifteen executive order is likely to be signed in the 489 00:28:07,520 --> 00:28:11,000 Speaker 1: five o'clock hour or thereabouts, things like, you know, reversing 490 00:28:11,000 --> 00:28:14,080 Speaker 1: the US withdrawal from the Harris Climate Accord and the 491 00:28:14,200 --> 00:28:18,200 Speaker 1: w h O. Also, though, things like revoking apartment for 492 00:28:18,240 --> 00:28:21,480 Speaker 1: the Keystone Xcel pipeline DAVI or any stocks moving on 493 00:28:21,800 --> 00:28:24,480 Speaker 1: the idea that we're going to be reversing some of 494 00:28:24,520 --> 00:28:26,879 Speaker 1: what Donald Trump had put in place. Well, I'm not 495 00:28:27,040 --> 00:28:29,679 Speaker 1: seeing a whole lot of reaction a TC Energy, and 496 00:28:29,720 --> 00:28:33,919 Speaker 1: that's the Canadian company that owns Transcanta pipelines, and they 497 00:28:33,920 --> 00:28:37,800 Speaker 1: would be directly affected by that order, assuming it's coming 498 00:28:37,840 --> 00:28:41,280 Speaker 1: on Keystone xl UH shares are only down half for 499 00:28:41,400 --> 00:28:43,800 Speaker 1: percent in US training though, and they've kind of been, 500 00:28:44,040 --> 00:28:45,800 Speaker 1: you know, a little changed the last couple of days. 501 00:28:45,920 --> 00:28:48,880 Speaker 1: Is the prospect of this executive order has come up. 502 00:28:48,920 --> 00:28:52,640 Speaker 1: I suppose you could argue that, yeah, it's something that 503 00:28:52,720 --> 00:28:56,680 Speaker 1: people have been anticipating because you know, President elect Biden 504 00:28:56,760 --> 00:29:01,000 Speaker 1: had pledged to revoke the permit it, so now it's 505 00:29:01,040 --> 00:29:03,680 Speaker 1: just a matter of following through. Uh So, you know 506 00:29:03,720 --> 00:29:06,680 Speaker 1: we'll see how things unfold from here. You know what's 507 00:29:06,720 --> 00:29:09,480 Speaker 1: interesting today stock that kind of called my eye hitting 508 00:29:09,520 --> 00:29:12,760 Speaker 1: a fifty two week high. General Motors. The stock is 509 00:29:12,800 --> 00:29:15,560 Speaker 1: a fifty seven percent on a trailing twelve month basis 510 00:29:17,000 --> 00:29:19,480 Speaker 1: on a year to date basis, and Bloomberg has got 511 00:29:19,520 --> 00:29:22,240 Speaker 1: a nice article on the terminal today about how Mary 512 00:29:22,280 --> 00:29:25,720 Speaker 1: barrat maybe getting some of that tesla Um kind of 513 00:29:25,800 --> 00:29:28,800 Speaker 1: halo effective as they move into electric vehicles on autonomous 514 00:29:28,840 --> 00:29:32,280 Speaker 1: vehicles uh GM. Heck of a move. Yeah, it's all 515 00:29:32,280 --> 00:29:36,080 Speaker 1: about this unit called Cruise. I mean, GM has a 516 00:29:36,080 --> 00:29:39,160 Speaker 1: majority steak. You know, yesterday we found out there was 517 00:29:39,200 --> 00:29:43,600 Speaker 1: a two billion dollar round of fundraising with Microsoft leading 518 00:29:43,640 --> 00:29:47,200 Speaker 1: the way along with GM. It's certainly uh gets your attention. 519 00:29:47,280 --> 00:29:51,440 Speaker 1: And the story you noted, Paul Um highlights. You know, 520 00:29:51,520 --> 00:29:55,440 Speaker 1: so the back and forth on Twitter between uh GM 521 00:29:55,480 --> 00:30:00,440 Speaker 1: CEO Mary Barr and Microsoft CEO Sacha Adela about this deal, 522 00:30:00,680 --> 00:30:02,800 Speaker 1: so you know, to kind of have the in premeter 523 00:30:02,960 --> 00:30:05,800 Speaker 1: of Microsoft down your business. Yeah, I mean that definitely 524 00:30:05,800 --> 00:30:08,200 Speaker 1: gets people's attention. You know, it's interesting. You know we've 525 00:30:08,240 --> 00:30:11,920 Speaker 1: always talked about that. You know, when are the big 526 00:30:11,960 --> 00:30:15,200 Speaker 1: global automakers going to make the move into electrical vehicles, 527 00:30:15,240 --> 00:30:18,040 Speaker 1: if for no other reason than to get some of 528 00:30:18,080 --> 00:30:21,520 Speaker 1: the valuation bump that maybe they could from someone like 529 00:30:21,560 --> 00:30:24,120 Speaker 1: you know, like that Tesla enjoys for so long, and 530 00:30:24,160 --> 00:30:25,640 Speaker 1: maybe we're starting to see a little bit of movement 531 00:30:25,680 --> 00:30:28,800 Speaker 1: there on some of these companies. Dave Wilson, thanks so 532 00:30:28,840 --> 00:30:31,400 Speaker 1: much for joining us Bloomberg Stock centeror we appreciate that. 533 00:30:31,840 --> 00:30:35,120 Speaker 1: Looking at the market again, a relatively good day here 534 00:30:35,120 --> 00:30:37,800 Speaker 1: as we start the trading. We have the SMP up 535 00:30:37,800 --> 00:30:40,840 Speaker 1: about just under one percent here, so we'll certainly keep 536 00:30:40,880 --> 00:30:44,080 Speaker 1: an eye on that, and we'll have more inauguration coverage 537 00:30:44,320 --> 00:30:48,240 Speaker 1: coming up in just moments. Thanks for listening to Bloomberg 538 00:30:48,240 --> 00:30:51,640 Speaker 1: Markets podcast. You can subscribe and listen to interviews at 539 00:30:51,680 --> 00:30:56,000 Speaker 1: Apple Podcasts or whatever podcast platform you prefer. I'm Bonnie Quinn. 540 00:30:56,200 --> 00:30:58,880 Speaker 1: I'm on Twitter at Bonnie Quinn, and I'm Paul Sweeney. 541 00:30:58,880 --> 00:31:01,520 Speaker 1: I'm on Twitter at pt Sweeney. Before the podcast, you 542 00:31:01,520 --> 00:31:07,280 Speaker 1: can always catch us worldwide at Bloomberg Radio m H