Speaker 1: By from the Bloomberg Interactive Burger Studios. This is Bloomberg
Speaker 1: day Break for Thursday, February third, two. Coming up this hour,
Speaker 1: Nastank futures plunge after disappointing earnings from the parent of Facebook.
Speaker 1: Spotify shares tumble as the company forecast slowing subscriber games.
Speaker 1: On Capitol Hill, hearings began for President Biden's picks for
Speaker 1: the FED and the Bank of England at ECB announced
Speaker 1: policy decisions. President Biden visits New York City today on
Speaker 1: gun violence, Plus, mourners said goodbye to the second NYPD
Speaker 1: officer ambushed last month. Online Blooblomer More Ahead, I'm John
Speaker 1: Stashtown Sports, the Nicks loss at the Garden to Memphis,
Speaker 1: the Nets lost again in Sancramento. The Islanders shout out
Speaker 1: by Seattle. That's all straight ahead on Bloomberg day Break
Speaker 1: on Bloomberg Element Free on New York, Bloomberg Washington, d C,
Speaker 1: Bloomberg one O six one, Boston, Bloomberg nine sixties, San Francisco,
Speaker 1: Sirius x M one nineteen and around the world down
Speaker 1: Bloomberg Radio dot Com and via the Bloomberg Business At
Speaker 1: good Morning, I'm Nathan Hager and I'm Karen. Moscow and
Speaker 1: US Dock Index futures are falling on week Kech earnings.
Speaker 1: We're coming up to six o one on Wall Street,
Speaker 1: and we check the markets every fifteen minutes throughout the
Speaker 1: trading day. On Bloomberg, U S and P Future is
Speaker 1: down fifty points down, futures down one hundred eight at
Speaker 1: Nastack Future is down three hundred twenty six. That's down
Speaker 1: two point two percent. The decks in Germany's down half percent.
Speaker 1: The ten year treasury up one thirty second. He had
Speaker 1: one point seven six percent yield on the two year
Speaker 1: one point one three percent. Nin Max Screwed oils down
Speaker 1: one point six percent on a dollar thirty nine at
Speaker 1: eighty six dollars eighty seven cents a barrel, and Comex
Speaker 1: Gold is down at third of a percent. Nathan, Well,
Speaker 1: this big drop in Nasdaq futures are seeing this morning.
Speaker 1: Karen comes after four straight days of gains, but disappointing
Speaker 1: earnings from Facebook are the catalyst for this morning's declines.
Speaker 1: Shares of the parent company Meta are down twenty percent
Speaker 1: in early training. Ed Ludlow joins us with more from
Speaker 1: our Bloomberg nine sixty news room in San Francisco. This
Speaker 1: was the first quarter in anyone's memory where the core
Speaker 1: product Facebook dot Com or the Facebook app didn't grow
Speaker 1: at all, and executives on the core attributed that to
Speaker 1: competition in the form of TikTok and YouTube, so principally
Speaker 1: in video where they say the attentions of young people
Speaker 1: are being stolen away and that is really impacting growth.
Speaker 1: There was, of course a lot of questions about the metaverse,
Speaker 1: and for the first time we got financials on Facebook
Speaker 1: Reality Labs, the business unit really working on the metaverse
Speaker 1: for four year twenty one. It was a loss of
Speaker 1: ten billion dollars and so that now has become the
Speaker 1: question for Wall Street. Bloomberg Intelligence say that that operating
Speaker 1: loss from Facebook Reality Labs could translate to ten percentage
Speaker 1: points of margin erosion for meta in twenty two. Ed Ludlow,
Speaker 1: Boomberg US, San Francisco, and thank you. Disappointing Facebook results
Speaker 1: are weighing on other social media company and says this
Speaker 1: morning shares a Twitter, Snap and Pinterest or falling Snap
Speaker 1: is down more than fiftcent, but Twitter and Pinterest are
Speaker 1: both lower by more than seven percent. Now We're also
Speaker 1: seeing big losses for Spotify. This morning, Karen, Earnings and
Speaker 1: forecasts from the streaming and podcast service fell short of estimates,
Speaker 1: and that stock is now down more than eight percent.
Speaker 1: Let's get more live with Bloomberg's Rnita Young. Good morning, Rnita,
Speaker 1: Good morning Nathan. After a month of controversy over podcast
Speaker 1: host Joe Rogan, Spotify has a more immediate business problem,
Speaker 1: a slowdown in growth to start the year. Spotify expects
Speaker 1: the end of the first quarter with total users and
Speaker 1: subscribers below forecasts. The company blames it on a strong
Speaker 1: into business for the streamer has boomed during the pandemic,
Speaker 1: but with one thirty five million users added since twenty nineteen,
Speaker 1: now almost half pay for the service. Live in New York,
Speaker 1: I'm Goranita Young, Bloomberg Daybreak. I need to thank you
Speaker 1: up nextually get results from Amazon on The company of
Speaker 1: reports earnings this afternoon, and Bloomberg's Tom Busby has a preview.
Speaker 1: The online retail giant is expected to post record revenue
Speaker 1: for the holiday quarter, despite concerns about slowing growth as
Speaker 1: consumers pulled back on their spending, even though more of
Speaker 1: us were dining out again, traveling shopping in stores again
Speaker 1: last quarter. Look for revenues of one hundred thirty seven
Speaker 1: point eight three billion dollars, thanks in part to continued
Speaker 1: growth and it's Amazon Web Services unit, and because of inflation,
Speaker 1: many analysts expect Amazon to raise the price of a
Speaker 1: Prime membership as a quick boost to revenues. The last
Speaker 1: price hike to one nineteen dollars a year was in
Speaker 1: twenty eighteen. Tom Busby, Bloomberg Daybreak. All right, Tom, thank you.
Speaker 1: Let's turn to Capitol Hill now where it's all about
Speaker 1: the Fed. Today, hearings begin on President Biden's picks for
Speaker 1: the Central Banks Board. Amy Morris has a preview from
Speaker 1: our Bloomberg newsroom in Washington. All three nominees, Philip Jefferson,
Speaker 1: Lisa Cook and Sarah Bloom Raskin, have said they placed
Speaker 1: the high priority on tackling inflation. But that's also a
Speaker 1: politically dangerous notion for the Biden administration, which is pushing
Speaker 1: against accusations that it's spending policies are driving price increases.
Speaker 1: In prepared remarks, the nominees will make it clear there,
Speaker 1: in line with Chairman j Pel look for Republicans on
Speaker 1: the committee to quiz the nominees extensively on their commitment
Speaker 1: to acting aggressively against inflation, even if that hurts employment.
Speaker 1: In Washington, I maybe more as Bloomberg daybreak, Amy, thank
Speaker 1: you Economic data also and focus. This morning, we get
Speaker 1: a reading on jobless claims ahead of tomorrow's employment report,
Speaker 1: and Economist see weekly jobless claims falling again as the
Speaker 1: Omicron variant eases. Bloomberg's viney down. Judais reports jobless claims
Speaker 1: piled up during the worst of the Omicron outbreak. Bloomberg
Speaker 1: Economics anticipates a quick turnaround now as the COVID nineteen
Speaker 1: variants subsides subsides faster than a comparable episode at the
Speaker 1: end of In the Power Report, jobless claims drop for
Speaker 1: the first time in four weeks. They fell to a
Speaker 1: half century low in December. The government issues its monthly
Speaker 1: employment report Friday, and it could be weak the Omicron.
Speaker 1: Bloomberg day Break All right, Vinnie. Thanks. In Europe we
Speaker 1: get a double whammy from central banks this morning is
Speaker 1: both the Bank of England and the European Central Bank
Speaker 1: make policy decisions. Let's go live to London and get
Speaker 1: a preview with bloombergs Max Ramsey, Good morning, Max, morning
Speaker 1: to you, Nathan and Karen. Yes, we'll get that policy
Speaker 1: decision from the BOE in under an hour and just
Speaker 1: over an hour and a half till the ECB, and
Speaker 1: the expectation here is all about divergence. The Bank of
Speaker 1: England is expected to deliver the first back to back
Speaker 1: interest rate hike since two thousand and four and take
Speaker 1: the first steps towards unwinding pandemic stimulus. The ECB there
Speaker 1: has been insisting a rate hike this year is unlikely,
Speaker 1: but they do meet with the backdrop of hot inflation.
Speaker 1: January CPI came in at a surprise five point one
Speaker 1: percent yesterday, blowing past expectations and over double the ECB's target.
Speaker 1: Live in London, Max Ramsey, Bloomberg Daybreak, Max, thank you. Well.
Speaker 1: Back here in the US, tax season getting underway, and
Speaker 1: Bloomberg News has learned the I r S is hiring
Speaker 1: about twelve hundred people to help navigate what could be
Speaker 1: of the most challenging tax filing seasons in years. The
Speaker 1: influx of additional help comes as the I r S
Speaker 1: began this filing season with a backlog of fos to
Speaker 1: ten million unprocessed returns from previous years, and that compares
Speaker 1: to fewer than one million in normal years. Straight to
Speaker 1: had your latest local headlines and this is Bloomberg. Thanks
Speaker 1: scaring at six o seven on Wall Street where in
Speaker 1: Central Park and still dealing with a crash on the
Speaker 1: Gothels Bridge. Ran to the New Jersey Turnpike. Michael barrs
Speaker 1: here with what else is going on in New York
Speaker 1: and around the world. Michael, thank you very much, Nathan.
Speaker 1: President Joe Biden has scheduled to visit New York City
Speaker 1: today to discuss fighting a surge in gun violence and
Speaker 1: cities across the nation. This woman, who lives in Harlem
Speaker 1: is scared of the violence. Her son was shot. It's
Speaker 1: scary when you have a baby sitting in the car
Speaker 1: with its parent and being shot. It's scary when you
Speaker 1: have a mother pushing her chow down the street. So
Speaker 1: far as six NYPD officers have been shot this year alone.
Speaker 1: Officers masked by the thousands on Fifth Avenue for New
Speaker 1: York City second police funeral in less than a week.
Speaker 1: They mourned Officer Wilbert Mora at St. Patrick's Cathedral. More
Speaker 1: and his partner, Jason Rivera, was shot January one, while
Speaker 1: responding to a call about the domestic argument in Harlem.
Speaker 1: It is New Yorkers against the killers, and we will
Speaker 1: not lose. We will protect our city. New York Mayor
Speaker 1: Eric Adams spoke at more as funeral. Even when the
Speaker 1: bullet hits the body of our citizens, the emotional trauma
Speaker 1: continues to rip the anatomy of our city, and the
Speaker 1: pathway never ends. Mayor Adams says, more Of, who was
Speaker 1: twenty seven, joined the NYPD. In October of twenty eighteen.
Speaker 1: Former Alaska Governor Sarah Pale and his due back in
Speaker 1: the New York City courtroom, more than a week after
Speaker 1: her libel trial against The New York Times was postponed
Speaker 1: because she had COVID nineteen. Away from court, Palin, who
Speaker 1: was unvaccinated, caused to stir by dining out in an
Speaker 1: upscale Manhattan restaurant twice just days after her positive status
Speaker 1: was made public. Four people have been arrested in connection
Speaker 1: with the overdose death of wire actor Michael K. Williams
Speaker 1: at his Brooklyn home last September. Damian Williams is the
Speaker 1: u S Attorney for the Southern District of New York. Dendy.
Speaker 1: Opioids like fencinnel and heroin don't care about who you
Speaker 1: are or what you've accomplished. They just feed edition and
Speaker 1: lead a tragedy. U S Attorney Williams says this is
Speaker 1: a public health crisis that has to stop. A new
Speaker 1: winter storm is causing havoc across the US, ultimately affecting
Speaker 1: more than a hundred thirty million Americans. Snow will stretch
Speaker 1: from Texas to the East Coast. Today Global News twenty
Speaker 1: four hours a day on air and on Bloomberg Quick Take,
Speaker 1: powered by more than twenty seven journalists and analysts more
Speaker 1: than a hundred twenty countries. Michael Barr, this is Burke,
Speaker 1: Nathan Okay, Michael, Thanks to six ten on Wall Street.
Speaker 1: Time to the Bloomberg Sports Update with John Sesshown. If
Speaker 1: the Knicks were playing catch up all night at the Garden,
Speaker 1: the only time they led Memphis was und enough and
Speaker 1: the Knicks were down by nineteen cut at to six.
Speaker 1: Grizzlies went back ahead by fifteen. Nick slice that lead
Speaker 1: to five couldn't get closer. Grizzlies one one, one oh
Speaker 1: eight Jaren Jackson twenty six point seven four. The next
Speaker 1: with thirty he made eight three pointers. Knicks said, an
Speaker 1: oh and three road trip, and now they hit the
Speaker 1: road for five more starting Saturday at the Lakers. The
Speaker 1: Nets without the injured Kevin Durant not very good. They
Speaker 1: lost to lowly Sacramento one twelve, one oh one, and
Speaker 1: that's six loss in the road. James Harden thirty seven minutes,
Speaker 1: only four points, never got to the free throw line
Speaker 1: the NHLs. At the All Star Break, the Islanders go
Speaker 1: went off a three offane home loss to Seattle, first
Speaker 1: shutout in cracking history. Well Bill Belichick at some point
Speaker 1: he asked about his text, the one he meant to
Speaker 1: send to Brian Dave all but in Sten said to
Speaker 1: Brian Flores, did Belichick no. Three days before Flora's was
Speaker 1: interviewed with the Giants that they had already decided to
Speaker 1: hire day Ball. It's at the heart of Flora's is
Speaker 1: lost through to the NFL claiming racism and they're hiring practices.
Speaker 1: On CBS this morning, Floras was asked his reaction to
Speaker 1: seeing the text was arranged of emotions. Uh, humiliation, uh, uh, disbelief,
Speaker 1: um uh anger um now worked so hard to get
Speaker 1: to um to where I am from uh in football
Speaker 1: to become a head coach. Laura's his lawyer says others
Speaker 1: may join him in the class actions. John Stashwer Bloomberg Sports, John,
Speaker 1: thank your SMP Futures down down forty eight points, are
Speaker 1: more than one percent out features are down eighty eight points.
Speaker 1: Nastac features leading the declines this morning, down three five
Speaker 1: points or two point two percent. Dragged down by Facebook
Speaker 1: parent meta platforms. Those shares down more than twenty percent
Speaker 1: on an earnings disappointment. We'll discuss it next with Man Deep, Say,
Speaker 1: senior tech analyst at Bloomberg Intelligence. This is Bloomberg Bloomberg
Speaker 1: eleven three O weather. Dense fog this morning, rain this
Speaker 1: afternoon with a high in your forty five degrees. The
Speaker 1: rain will change over to a wintry mess tomorrow. Temperature
Speaker 1: is falling through the day by Saturday, upper twenties for
Speaker 1: highs currently forty four degrees in Central Park. 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 Quick
Speaker 1: tape is a Bloomberg Business lash and I'm far at Moscow.
Speaker 1: Nowsday Future is tumbling this morning is disappointing. Hernings and
Speaker 1: forecasts from technology Bellweathers halts a rally in global stocks,
Speaker 1: the dollars strengthening ahead of great decisions in Europe in
Speaker 1: the UK, and we check the markets every fifteen minutes
Speaker 1: throughout the trading day. On Bloomberg Now's dead futures are
Speaker 1: down threety three points. That's down two point three first
Speaker 1: set as the P futures down fifty three and AS
Speaker 1: and DAL futures are down one d thirteen. The decks
Speaker 1: in Germany's down four tenths of a percent. The ten
Speaker 1: year treasury little change at one point seven seven percent,
Speaker 1: yield on the two year one point one three percent.
Speaker 1: Nine Max screwed oils down one point six percent on
Speaker 1: a dollar thirty eight and eighty six dollars eighty eight
Speaker 1: cents of barrel comex school down four tens percent or
Speaker 1: seven dollars forty cents at eighteen o two ninety announce,
Speaker 1: the euro one point one two seven seven against the dollar,
Speaker 1: British bound one point three five five nine, the ends
Speaker 1: at one fourteen point eight zero, and Bitcoin this morning
Speaker 1: moving lower at thirty six thousand, four hundred dollars, and
Speaker 1: that's a Bloomberg business flash. Now here's Michael Barr with
Speaker 1: more on what's going on around the world. Muchael Karen,
Speaker 1: thank you very much. US special forces have carried out
Speaker 1: what the Pentagon said was a successful counter terrorism raid
Speaker 1: in northwestern Syria. First responders reported civilians had also been killed.
Speaker 1: President Biden ordered three thousand US troops deployed to Eastern
Speaker 1: European NATO allies and Russian neighbors. Concerns continue about a
Speaker 1: post Russian invageon of Ukraine. President Biden visits New York
Speaker 1: City today on gun violence. In the NBA, the Knicks
Speaker 1: and Nets lost, the Celtics and Wizards won. In the NHL,
Speaker 1: the Islanders and Capitals lost. Global News twenty four hours
Speaker 1: a day on air and on Bloomberg Quicktate, powered by
Speaker 1: more than twenty seven hundred journalists and analysts and more
Speaker 1: than one d twenty countries. Michael Barr, this is Bloomberg
Speaker 1: Anham all right, Michael, thanks at six nineteen on Wall
Speaker 1: Street Live from the Bloomberg Interactor Broker Studios. This is
Speaker 1: Bloomberg Daybreak. Because we continue to watch shares of Facebook
Speaker 1: company meta platforms, the parent down more than twenty percent,
Speaker 1: down more than twenty and a half percent now in
Speaker 1: the pre market on disappointing earnings. Set to lose about
Speaker 1: a hundred eighty billion dollars in market value if these
Speaker 1: numbers hold at the open joining US now. Mandeep Singh,
Speaker 1: senior tech analysts for Bloomberg Intelligence, obviously a lot of
Speaker 1: skittishness from investors over the drop in subscribers, the first
Speaker 1: time of investors have seen that in quite some time.
Speaker 1: And the outlook going forward, Man deep, Yeah, Look, I
Speaker 1: mean I think given Facebook scale, I think the deceleration
Speaker 1: would have been okay had they not spooked the investors
Speaker 1: in terms of the overall strategy ships. So they called
Speaker 1: out this big pivot to videos to catch up to
Speaker 1: you know, TikTok and YouTube, and I think the wave
Speaker 1: was communicated is how it probably didn't come across as
Speaker 1: something that they should have you know, noted earlier. And suddenly,
Speaker 1: you know, they come out and say that's their entire focus.
Speaker 1: And along with Metaverse, which is losing ten billion dollars
Speaker 1: a year. I mean, when you look at this company,
Speaker 1: the margin profile has changed completely. Now the core business
Speaker 1: was about operating margins guess what going forward, it will
Speaker 1: be more and that is why you see such a
Speaker 1: strong reaction. I guess with the violence of this move,
Speaker 1: it begs the obvious question, man deep, whether this is overdone? Well,
Speaker 1: so think of it. You know, in terms of top line, Look,
Speaker 1: if Facebook's top line is decelerating, it what it tells
Speaker 1: us is probably the whole social media ad space is
Speaker 1: going down. And it has some connections to the overall
Speaker 1: growth in GDP and economy as well. But and and
Speaker 1: that will bounce back, you know eventually once GDP and
Speaker 1: you know, uh, advertisers start to come back. If the
Speaker 1: engagement and given Facebook scale, you would expect, you know, scales,
Speaker 1: growth will bounce eventually. The problem, as I said, is
Speaker 1: one they have engagement problems, so they are definitely losing
Speaker 1: engagement with the younger demographic. The other is the change
Speaker 1: in business model. So now if they start to pay
Speaker 1: creators for the content they're creating, it's the model is
Speaker 1: very similar to YouTube, and YouTube's gross margins are around
Speaker 1: and right now Facebook's gross margins are eighty percent, so
Speaker 1: that margin differential is huge. And if they're saying they're
Speaker 1: completely pivoting to videos and that's their sole focus. And
Speaker 1: and then you lear that, you know, with the I
Speaker 1: d FA changes, that has heard Facebook's at targeting. So
Speaker 1: there are multiple things that play here, But structurally it
Speaker 1: feels like Facebook isn't the same company anymore that it
Speaker 1: used to be in terms of the margin trofile, Are
Speaker 1: you implying with focus on video that the that the
Speaker 1: Facebook should be focusing somewhere else besides video? It does
Speaker 1: seem like the competition from TikTok has really gotten a
Speaker 1: lot of the attention here. Yes, so it is a
Speaker 1: crowded market and you've got two scale players in the
Speaker 1: form of TikTok and YouTube. Well, uh, we know Facebook
Speaker 1: has the scale thriblliant users across its they may be
Speaker 1: better off focusing on their market place business or e
Speaker 1: commerce business. Yes, they have to fix engagement and they're
Speaker 1: investing a lot in metavers to do that. Nobody knows
Speaker 1: how that bet will play out, but we know it's
Speaker 1: losing ten billion dollars a year in terms of the
Speaker 1: operating loss, and so really right now it's a hope
Speaker 1: based strategy. If you're a Facebook investor, you're just hoping
Speaker 1: that they get it right with meta worse and you know,
Speaker 1: over time it fixes the engagement issues, but beyond that,
Speaker 1: the fundamentals of the business have deteriorated, and the pivot
Speaker 1: to videos isn't gonna help, you know, in terms of
Speaker 1: the margin profile, and they're way behind TikTok and YouTube
Speaker 1: at this point of time. Now, last minute here, Mandy,
Speaker 1: if it seemed like CEO Mark Zuckerberg was really leaning
Speaker 1: in asking investors to bear with them on the hope
Speaker 1: based strategy. Does that aboute more volatility for Facebook in
Speaker 1: the months to come? Well, so, not only Facebook, I
Speaker 1: think the entire higher social media space has been heard
Speaker 1: by the Apple's I d FA changes, and so I
Speaker 1: think Facebook is still in a better position to handle it.
Speaker 1: They have, you know, the resources to redesign their at
Speaker 1: targeting infrastructure, which is what they called that last night.
Speaker 1: The smaller ones like Snap, like Twitter, they I think
Speaker 1: more so Snap and Pinterest they're gonna be hurt more
Speaker 1: because guess what did they have to redesign their algorithms
Speaker 1: and at targeting that that will be a bigger burden
Speaker 1: in terms of operating costs compared to Facebook. Now we're
Speaker 1: certainly seeing the pain in the pre market with metal
Speaker 1: platforms shares now down nearly twenty one percent and a
Speaker 1: Snap shares down sixteen and a half percent. Twitter lower
Speaker 1: by eight percent. Rough morning to be a social media investor.
Speaker 1: Man Deep Sing of Bloomberg Intelligence, thank you for these insights.
Speaker 1: As for the broader market, Yeah, it's lower. SMP futures
Speaker 1: down fifty five. Nest that futures lower by a hundred
Speaker 1: thirty points, Dance that futures down three hundred fifty two.
Speaker 1: Bloomberg eleven three oh weather. Dense fog this morning. It
Speaker 1: will be rainy this afternoon, mid forties. Temperatures will fall
Speaker 1: through the day tomorrow, so the rain changes over into
Speaker 1: wintry mess by Saturday. Mostly sunny, upper twenties currently forty
Speaker 1: four degrees. Markets headlines and breaking news twenty four hours
Speaker 1: a day at Bloomberg dot Com, the Bloomberg Business at
Speaker 1: and at Bloomberg Quick Tape. This is a Bloomberg Business
Speaker 1: lass and I'm Karen Moscow and nasday. Futures are falling
Speaker 1: this morning. We got to the first word breaking news
Speaker 1: dance for today's morning call. And here's Bill Maloney. Bill,
Speaker 1: good morning, and good morning, Karen. That's right, us futures
Speaker 1: are plunging on the heels of those Facebook earnings. Dow
Speaker 1: futures try lead down a hundred and thirty six points
Speaker 1: has to be dropped fifty two. But like you said,
Speaker 1: Nasdick futures under pressure down three nine. The US ten
Speaker 1: yeld at one point seven eight percent, Gold is little change.
Speaker 1: Oil is trading lower, but Bitcoin is under pressure down
Speaker 1: six point two percent. Japan failed one percent overnight, while
Speaker 1: your PM markets are also in the red right now.
Speaker 1: And note that at seven forty five is the ECB
Speaker 1: rate decision back in the US. On the economic frontday
Speaker 1: eight thirty, initial jobs claims at ninety five Composite and
Speaker 1: Services p M, I S and at ten o'clock I S,
Speaker 1: M services, factory orders and durable goods orders. After develous night,
Speaker 1: Facebook gave a weaker than expected revenue forecast shares it
Speaker 1: down twenty one percent pre market, and Qualcom said ship
Speaker 1: shortages hampered efforts to push beyond smartphones. Regarding some of
Speaker 1: the earnings this morning, Mark beat estimates, ELI, Lily beat
Speaker 1: on revenue, and Honeywell miss estimates, trapping things up. Papal
Speaker 1: was cut to hold at easy Bank. C H. Robinson
Speaker 1: raised to buy it stifle and Excelon was cut the
Speaker 1: sector perform over red. RBC Live from the first breaking
Speaker 1: news Dostom, Bill Maloney care Alry Bill, thank you and
Speaker 1: to hear live breaking news over her. Bloomberg Time School
Speaker 1: logo on your terminal s a w U K and
Speaker 1: that's a Bloomberg Business Flash. Now here's Michael Barr with
Speaker 1: more on what's going on around the world. Michael Karen,
Speaker 1: thank you very much. Russia said it was destructive for
Speaker 1: President Biden to move additional troops to Europe and station
Speaker 1: more along NATO's eastern flank as the tension over Ukraine continues. Meanwhile,
Speaker 1: French President mccram will hold a third call with the
Speaker 1: Vladimir Putin in less than a week. Authorities in northern
Speaker 1: California say one person is dead after a mass shooting
Speaker 1: last night on a Greyhound bus in Orville. Suspect was arrested.
Speaker 1: In the NBA, the nixt and Nets lost, the Celtics
Speaker 1: and Wizards won. In the NHL, the Islanders and Capitals lost.
Speaker 1: Global News twenty four hours a day on air and
Speaker 1: on Bloomberg Quicktake, powered by more than twenty seven journalists
Speaker 1: and analysts. More than a hundred twenty countries. I'm Michael Barr.
Speaker 1: This is Bloomberg. The following commentary is from Bloomberg Opinion
Speaker 1: Foreign Affairs. I'm Jonathan Bernstein, the columnist for Bloomberg Opinion.
Speaker 1: In will developments abroad in Iran, for example, become campaign
Speaker 1: issues and effect the outcomes of the elections, Hardly anyone
Speaker 1: will change their vote regardless of what happens with, say,
Speaker 1: the Iran Deal. There's little evidence that international political events,
Speaker 1: even fairly dramatic ones, have much of an influence on
Speaker 1: presidential popularity back home. The one big exception is that
Speaker 1: war is producing US casualties do usually hurt a president's
Speaker 1: popularity over time. That said, candidates do talk about foreign
Speaker 1: affairs during campaigns, and campaign promises can be very important,
Speaker 1: whether they change election outcomes or not. In part, these
Speaker 1: promises come about simply because candidates for federal office want
Speaker 1: to demonstrate competence in these areas. But another reason is
Speaker 1: because some groups within the parties care a lot about
Speaker 1: foreign policy. Winning support from those groups may be important
Speaker 1: for winning nominations, so candidates will try to align their
Speaker 1: policy preferences and priorities with them and talk about those
Speaker 1: issues regardless of what voters think. I'm Jonathan Bernstein. For
Speaker 1: more opinions, please go to Bloomberg dot com slash Opinion
Speaker 1: or O p I n go on the Bloomberg Terminal.
Speaker 1: These has been Bloomberg Opinion and Bloomberg Opinion commentaries can
Speaker 1: be heard every weekday at this time and terminal customers
Speaker 1: can read more at O P I n go six
Speaker 1: fifty on Wall Street. Return to news and science and
Speaker 1: technology now with the Bloomberg and j I T STEM
Speaker 1: Report brought to you buy New Jersey Institute of Technology
Speaker 1: transforming computing professionals into data scientists to meet demanded this
Speaker 1: fast growing field. Learn more at n j I T
Speaker 1: dot E d U slash Data Science Now. Here's just
Speaker 1: making news and science, technology, engineering, and math. A coalition
Speaker 1: of airline industry groups are asking the Biden administration to
Speaker 1: remove COVID testing requirements for fully vaccinated international arrivals into
Speaker 1: the US. The coalition says airline passenger volumes for international
Speaker 1: air travel remained thirty eight percent below levels. Antarctica is
Speaker 1: so called Doomsday glacier nickname because it is huge and
Speaker 1: coming apart, is mostly thwarting an international effort to figure
Speaker 1: out how dangerously vulnerable it is. A large iceberg broke
Speaker 1: off the deteriorating the way it's glacier, and along with
Speaker 1: sea ice, it is blocking to research ships with dozens
Speaker 1: of scientists from examining how fast it's crucial ice shelf
Speaker 1: is falling apart. And there's a sign that Apple is
Speaker 1: finally making progress in the world's fastest growing smartphone market.
Speaker 1: The company had its strongest quarter for iPhone sales in
Speaker 1: India yet. Apple sold two point three million devices in
Speaker 1: the fourth quarter, up thirty four percent from a year earlier.
Speaker 1: And that's a Bloomberg n j I t Stem report.
Speaker 1: Nathan Okay, Karen, Thanks. We're live from the Bloomberg Interactive
Speaker 1: Broker studios where it's six fifty two on Wall Street
Speaker 1: Time Now to check what's going on in d C.
Speaker 1: Some of the top stories in our nation's capital include
Speaker 1: President Biden discussing Russia's true build up with French President McCraw,
Speaker 1: tough questions ahead for the President's federal reserve picks, and
Speaker 1: Democrats getting a reminder of their fragile grip with a
Speaker 1: senator ailing. Also making news, President Biden about to head
Speaker 1: to New York City to try to seize the narrative
Speaker 1: on rising crime, joining us from Washington, Bloomberg government reporter
Speaker 1: Emily Wilkins. So, Emily get a set for this meeting
Speaker 1: today between the President and the new mayor of New
Speaker 1: York City. Yes, so we're going to see Biden headed
Speaker 1: up to New York City, uh, having an event with
Speaker 1: Eric Adams and focusing that eventually on support for the police.
Speaker 1: And this comes after Democrats had this really awful election
Speaker 1: in Yeah, they elected Biden, but Democrats down ballot were
Speaker 1: very much hurt by this perception that they did not
Speaker 1: support the police. And we have seen a recent higher
Speaker 1: ways of crime in numerous cities across the country, including
Speaker 1: a DC including New York and Joe Biden and Eric Adams,
Speaker 1: their messages are going to put out there today is
Speaker 1: that they are supportive of the police. Um As President
Speaker 1: Biden actually said at a campaign event last week on
Speaker 1: Friday that he wanted to have more funding for the police,
Speaker 1: something he's put forward now. Of course, there are progressives
Speaker 1: within the Democratic Party that do want to see reduced
Speaker 1: funding that role funding for officers. UM. So we're going
Speaker 1: to be watching very closely the government funding bill that's
Speaker 1: being worked on by Congress right now, that's got a
Speaker 1: deadline of February, and so we're seeing what sort of
Speaker 1: proposals they have and how it if funding for police
Speaker 1: officers changes. Now interesting to think about the potential for
Speaker 1: another spotlight on a rift within the Democratic Party on
Speaker 1: that issue. But ahead of this trip Emily, we're seeing
Speaker 1: more diplomacy, more troop movements in the crisis over Ukraine. Yes,
Speaker 1: so the US has announced that another two thousand soldiers
Speaker 1: are going to travel from the US to Europe, and
Speaker 1: then another thousand troops that are in Germany are now
Speaker 1: going to be deployed in Romania. Of the White House
Speaker 1: is saying that these moves are temporary. Russia's criticized the decision,
Speaker 1: but it's really come as you know, both sides are
Speaker 1: still waiting trying to see is Putin going to indeed
Speaker 1: what does he go going to do. The US's goal
Speaker 1: here has to put up a very strong, very aggressive front,
Speaker 1: trying to show that you know, if Fressia decides to
Speaker 1: move in Ukraine, they are very serious about having this
Speaker 1: immediate action. Diplomatic channels that you still seeing Biden talking
Speaker 1: with world leaders most recently. On Wednesday night, he spoke
Speaker 1: with French President Macron Uh They both pledged their teams
Speaker 1: would remain in close touch UM and worked together if
Speaker 1: Plutin was to invade Ukraine. Back in Washington, a lot
Speaker 1: of focus this morning on the Federal Reserve, particularly with
Speaker 1: the President's FED governor picks going up for confirmation and
Speaker 1: just about two hours here. Yes, we're expecting a very
Speaker 1: interesting hearing today. Definitely a lot of tough questionings, particularly
Speaker 1: from Republicans on the panel. One of the biggest questions
Speaker 1: they are going to be having for Sarah Bloom Raskin
Speaker 1: is what her idea is about using the FED in
Speaker 1: terms of environment, toll and energy companies UM, and Raskin
Speaker 1: has said that she's not going to be using her
Speaker 1: federal to target energy industry if she is nominated for it.
Speaker 1: That's going to be a main Conservative Republicans that she's
Speaker 1: going to have to address today. With numerous questions. Other
Speaker 1: than that, we're absolutely expecting questions about inflation. That's been
Speaker 1: a huge issue going forward UM, as well as just
Speaker 1: other other items with the economy as the US kind
Speaker 1: of tries to pull out of the position the pandemic
Speaker 1: put the US in and just quickly, Emily, we've seen
Speaker 1: just how fragile the Democratic majority is in the Senate
Speaker 1: with the stroke suffered by one of the Democratic members
Speaker 1: there has it affected the timetable, the calendar for the
Speaker 1: legislative session. So at this point, one of the big
Speaker 1: questions I think is what is going to be happening
Speaker 1: with the Supreme Court pix. That's the one where it's
Speaker 1: felt that all fifty Democratic senators could be needed on that,
Speaker 1: and that's unexpected, uh, to really wrap up for another
Speaker 1: four to six Uh, that's not far to wrap up
Speaker 1: for for a while, Biden. You hasn't even named a nominee.
Speaker 1: And we're hearing that Ben Ray lu Juan, the senator
Speaker 1: who had the stroke, that he could be fully recovered
Speaker 1: in about four to six weeks. Okay, So Bloomberg Government
Speaker 1: Reporter Emily Wilkins will have to leave it there for now.
Speaker 1: Thank you for this from the nation's capital. Karen Nathan.
Speaker 1: It is six f day six on Walling Street, and
Speaker 1: this is Bloomberg Day. Bright February is Black History Month,
Speaker 1: and every day this month we're celebrating significant moments in
Speaker 1: US black history. Now, but your installment for February three.
Speaker 1: Here's Bloomberg's Renny too Young on this day in Black history.
Speaker 1: In eighteen seventy, the fifteenth Amendment of the Constitution of
Speaker 1: the United States was ratified. This guaranteed the right to
Speaker 1: vote regardless of race. It also intended to ensure, with
Speaker 1: the Fourteenth Amendment, the civil rights of former slaves, but
Speaker 1: many black people would not actually be able to practice
Speaker 1: this right to vote, and hild in nineteen sixty five
Speaker 1: Voting Rights Act. It gave African Americans a way to
Speaker 1: get around barriers at the state and local levels that
Speaker 1: had previously prevented them from exercising the right to vote.
Speaker 1: That's today in Black history. I'm gonnit to Young Bloomberg
Speaker 1: radio right, Grinita, thank you again, Nastack. Futures are falling
Speaker 1: down three hundred seventeen points or two point one per cent.
Speaker 1: And we watched the sell off on Bloomberg Surveillance with
Speaker 1: Tom Keene, Jonathan Farrow, and Lisa Ramowitz. It's straight ahead
Speaker 1: for Nathan Hagar, I'm parin Moscow and this is Bloomberg