WEBVTT - Bloomberg Daybreak: January 11, 2022 - Hour 2 (Radio) 0:00:02.640 --> 0:00:05.360 Live from the Bloomberg Interact at Brooker Studios. This is 0:00:05.400 --> 0:00:09.520 Bloomberg day Break for Tuesday, January eleven two. Coming up 0:00:09.560 --> 0:00:12.959 this hour. J Powell heads to Capitol Hill for confirmation 0:00:13.000 --> 0:00:15.920 hearings by Shair. Richard Clarena leaves his post at the FED. 0:00:15.960 --> 0:00:19.000 Early Fiser announced his plans for a hybrid vaccine to 0:00:19.040 --> 0:00:22.000 combat the omicron variant, and the Senate targets the North 0:00:22.040 --> 0:00:26.119 Stream to pipeline with sanctions. Details and questions emerge about 0:00:26.120 --> 0:00:29.800 Sunday's deadly Bronx fire. Plus Chicago Public school students are 0:00:29.840 --> 0:00:33.240 set to return to classes tomorrow. I'm Michael Barr More Ahead, 0:00:33.680 --> 0:00:36.960 I'm John Stashon sports Georgia beat Alabama with a national 0:00:37.040 --> 0:00:39.800 championship in colle's football, The Knicks one, the Nets and 0:00:39.920 --> 0:00:46.280 Rangers of both Laws. That's all straight Ahead on Bloomberg. 0:00:46.320 --> 0:00:51.480 Gay Break on Bloomberg eleven three, on New York Bloomberg one, Washington, 0:00:51.600 --> 0:00:55.480 d C, Bloomberg one, O six one, Boston, Bloomberg nine six, 0:00:55.720 --> 0:00:59.920 San Francisco, Sirius XM one nineteen and around the world 0:01:00.000 --> 0:01:03.880 Old on Bloomberg Radio dot Com and via The Bloomberg Business. 0:01:07.440 --> 0:01:10.280 Good Morning, I'm Nathan Hager and I'm fair in Moscow 0:01:10.319 --> 0:01:13.280 and US DOT index future is on the rise this morning. 0:01:13.360 --> 0:01:15.199 If we're coming up to six o one on Wall Street, 0:01:15.200 --> 0:01:17.240 and we check the markets every fifteen minutes throughout the 0:01:17.240 --> 0:01:20.360 trading day on bloomberg S and P futures of nineteen 0:01:20.400 --> 0:01:23.520 points down, features of ninety four Nasdack futures of ninety 0:01:23.560 --> 0:01:26.360 five ten, your treasury that will change at one point 0:01:26.360 --> 0:01:28.800 seven six percent, and they yield on the two year 0:01:29.000 --> 0:01:32.120 point nine one percent, and I'm max screwed oils up 0:01:32.160 --> 0:01:35.360 one point four percent, Nathan Karen. We begin with today's 0:01:35.360 --> 0:01:38.399 confirmation hearing for j. Powell to serve a second term 0:01:38.400 --> 0:01:42.120 as FED chair. Powell's testimony comes as markets remain volatile, 0:01:42.160 --> 0:01:45.759 gripped by rising inflation and the prospect of higher interest rates. 0:01:45.959 --> 0:01:49.360 We get more from Bloomberg Economics correspondent Michael McKee. Powell 0:01:49.400 --> 0:01:52.080 comes before Congress just when there's something to talk about. 0:01:52.320 --> 0:01:54.600 Fear the Fed is behind the curve on inflation sent 0:01:54.760 --> 0:01:58.040 stocks lower on Monday as market interest rates continued to rise. 0:01:58.400 --> 0:02:01.280 Representatives will connect the dots trying to get a commitment 0:02:01.320 --> 0:02:04.040 from Powell the Fed will ratify the market moves by 0:02:04.120 --> 0:02:07.400 raising rates sooner and faster, and they will ask him 0:02:07.440 --> 0:02:10.639 about plans for shrinking the Fed's balance sheet. Members will 0:02:10.680 --> 0:02:12.959 also want to know more about his plans for non 0:02:13.040 --> 0:02:16.320 monetary policies at the FED. How involved will the Central 0:02:16.320 --> 0:02:20.800 Bank be in climate change initiatives, in regulating cryptocurrencies, in 0:02:20.840 --> 0:02:24.680 approving bank mergers? Michael McKee, Bloomberg Daybreak, All right, Michael, 0:02:24.720 --> 0:02:26.919 thank you all. Later this week, Lyle Brainerd heads to 0:02:27.000 --> 0:02:30.480 Capital Hill for her confirmation hearing to serve as vice 0:02:30.560 --> 0:02:33.120 chair of the FED. And now we're learning that her predecessor, 0:02:33.200 --> 0:02:36.959 Richard Clarada, is resigning early. Bloomberg Dot Kristner has that story. 0:02:37.120 --> 0:02:39.440 Clarada will step down from the Board of Governors two 0:02:39.480 --> 0:02:42.560 weeks before his term is due to expire. Last week, 0:02:42.600 --> 0:02:44.840 it was revealed he had sold at least a million 0:02:44.840 --> 0:02:48.280 dollars in shares of a U S stock fund in February. 0:02:48.320 --> 0:02:50.840 A few days later, he bought back a similar amount 0:02:50.840 --> 0:02:53.240 of the same fund on the eve of a major 0:02:53.280 --> 0:02:56.040 FETE announcement. Clarida has been a member of the board 0:02:56.080 --> 0:02:59.960 and vice chair since September eighteen. President Biden has non 0:03:00.000 --> 0:03:03.400 a NATed FED governor. Lyle brainer To succeed Clarida. Her 0:03:03.480 --> 0:03:06.679 confirmation hearings begin on Thursday in New York. I'm Doug 0:03:06.720 --> 0:03:10.120 Chrisener Bloomberg Daybreak. Thanks Doug. Meantime, the drum beat for 0:03:10.200 --> 0:03:12.680 more interest rate hikes from the Fed is getting louder. 0:03:12.720 --> 0:03:15.360 For the latest there were joined live by Bloomberg's John Tucker. 0:03:15.360 --> 0:03:17.919 Good morning John, Good morning Nathan. The latest call for 0:03:17.919 --> 0:03:20.920 faster heikes comes from former New York Fed president and 0:03:21.040 --> 0:03:24.680 current Bloomberg opinion columnists Bill Dudley. He says the Central 0:03:24.680 --> 0:03:27.800 Bank needs to get a lot more hawkish. My best 0:03:27.800 --> 0:03:29.920 guess is, you know that they they need to do 0:03:29.960 --> 0:03:31.880 at least four or five rate hikes this year. And 0:03:32.080 --> 0:03:34.160 it wouldn't strike me at all if we if we 0:03:34.160 --> 0:03:36.600 get into an every meeting kind of cycle at some point. 0:03:36.720 --> 0:03:39.360 Bill Dudley, making the comments in an interview on Bloomberg 0:03:39.360 --> 0:03:43.480 Surveillance swaps markets already indicating three or four interest rate 0:03:43.560 --> 0:03:46.080 hikes from the Center back this year, Goldban Sachs and 0:03:46.160 --> 0:03:50.120 JP Morgan Chase forecasting four options traders also flagging the 0:03:50.160 --> 0:03:54.000 prospect of eight quarter point rate moves by early four 0:03:54.720 --> 0:03:58.160 from earlier expectations of around six. You know, York I'm 0:03:58.240 --> 0:04:01.120 John Tucker, Bloomberg day Break. All right, John, thank you all. 0:04:01.200 --> 0:04:03.280 Just a couple of months ago, there was confidence in 0:04:03.320 --> 0:04:06.800 a faster global recovery, and now that confidence may be fading. 0:04:06.840 --> 0:04:09.280 Bloomberg's Rnda Young and joins us with details on that. 0:04:09.360 --> 0:04:11.840 Good morning, Renia, Good morning care. In a new World 0:04:11.880 --> 0:04:15.240 Economic Forum survey finds just one in six government and 0:04:15.360 --> 0:04:19.440 business leaders are optimistic on the global economic recovery, and 0:04:19.520 --> 0:04:23.440 just one intend thinks worldwide economic expansion will pick up speed. 0:04:23.760 --> 0:04:27.400 The Global Risks reports sites the pandemic, climate change, and 0:04:27.520 --> 0:04:31.200 rising social tensions among the biggest concerns. Short term fears 0:04:31.200 --> 0:04:34.760 include health and social damage from COVID nineteen, while economic 0:04:34.839 --> 0:04:37.960 and debt related issues are cited as medium term dangerous. 0:04:38.400 --> 0:04:41.640 I'm rened A Young bloommerk Daybreak, Na, thank you. Now, 0:04:41.680 --> 0:04:44.320 we turned to the latest on the pandemic and vaccines. 0:04:44.680 --> 0:04:47.760 Fiser says it is developing a hybrid shot that combines 0:04:47.800 --> 0:04:50.640 its original vaccine with a formulation that shields against the 0:04:50.640 --> 0:04:54.360 omicron variants. According to CEO Albert Borla, Findser will approach 0:04:54.400 --> 0:04:57.520 US regulators in March for clearance of the shot. Well. 0:04:57.560 --> 0:04:59.680 Maderna is also working on a shot aimed at the 0:04:59.720 --> 0:05:03.320 om kron variant. Nathan, we caught up with CEO Stefan boncell. 0:05:03.760 --> 0:05:06.080 We are moving very aggressively. We're even to be here 0:05:06.160 --> 0:05:11.320 in a couple of weeks in the cleaning specific violence. 0:05:12.240 --> 0:05:15.000 CEO Stefan Bon sells as Maderna has more than eighteen 0:05:15.000 --> 0:05:17.800 billion dollars in vaccine orders so far this year. In 0:05:17.920 --> 0:05:20.560 Hong Kong, Karen authorities are doubling down on their COVID 0:05:20.680 --> 0:05:23.640 zero policy. The city is reimposing some of the strictest 0:05:23.680 --> 0:05:27.839 limits since the pandemic began. Kindergartens and primary schools will close, 0:05:28.200 --> 0:05:30.760 and passengers from high risk countries will be banned from 0:05:30.800 --> 0:05:34.559 passing through Hong Kong's International airport. Meantime, Nathan, we're seeing 0:05:34.560 --> 0:05:37.200 somewhat of an exodus from Hong Kong if patriots and 0:05:37.200 --> 0:05:39.960 locals are moving away from this city and increasing numbers. 0:05:40.000 --> 0:05:43.000 On Bloombergy Daybreak Asia anchor Brian Curtis as that story. 0:05:43.279 --> 0:05:46.240 The population decline is running at one point two percent 0:05:46.360 --> 0:05:49.280 since the end of It's the biggest drop in at 0:05:49.320 --> 0:05:53.279 least six decades. Policymakers have stepped up their crackdown on 0:05:53.360 --> 0:05:56.680 civil society and they've brushed aside an uproar over aligning 0:05:56.680 --> 0:06:00.200 with China's COVID zero strategy. The brain drain is seen 0:06:00.279 --> 0:06:04.719 in sectors as education, healthcare, and even finance, and critics 0:06:04.720 --> 0:06:07.320 say it will likely be felt by residents for years 0:06:07.360 --> 0:06:10.800 to come. Brian Curtis Sploomberg Daybreak, Brian, thank you. Back 0:06:10.839 --> 0:06:13.040 here in the US, the nord Stream to pipeline is 0:06:13.080 --> 0:06:16.120 in focus on Capitol Hill. The Senate is considering plans 0:06:16.160 --> 0:06:18.880 to impose tough new sanctions on the pipeline that links 0:06:18.920 --> 0:06:22.040 Russia and Germany. Amy Morris has details from our Bloomberg 0:06:22.800 --> 0:06:26.479 newsroom in Washington. The Senate could vote for sanctions this week, 0:06:26.560 --> 0:06:30.159 but some Democrats argue sanctions now could make it more 0:06:30.240 --> 0:06:33.080 likely Russia will invade Ukraine because it would break the 0:06:33.160 --> 0:06:36.159 United States away from Germany. But the Senate vote is 0:06:36.200 --> 0:06:39.080 moving forward as part of a deal between Senate Majority 0:06:39.120 --> 0:06:42.360 Leader Chuck Schumer and Senator Ted Cruz of Texas. Crews 0:06:42.440 --> 0:06:45.919 introduced the sanctions bill while placing a hold on dozens 0:06:45.920 --> 0:06:49.560 of President Biden's foreign policy nominees. This could clear the 0:06:49.560 --> 0:06:52.520 way for those nominees to be confirmed in Washington. I 0:06:52.640 --> 0:06:55.200 maybe Morris Bloomberg daybreak. All right, Amy, thank you about 0:06:55.240 --> 0:06:57.880 training to the markets. Now. Trading has resumed at the 0:06:57.960 --> 0:07:01.560 London Metal Exchange after a five our outage. The world's 0:07:01.560 --> 0:07:05.080 most important base metals exchange said it had connectivity issues 0:07:05.200 --> 0:07:08.640 caused by a power outage at a third party data center. 0:07:09.040 --> 0:07:12.720 And again, futures are on the rise this morning. And 0:07:12.840 --> 0:07:16.400 as straight ahead, your latest local headlines plus a check 0:07:16.440 --> 0:07:24.240 of sports, and this is Bloomberg takes paren six oh 0:07:24.280 --> 0:07:27.120 seven on Wall Street, Temperatures on the decline where it's 0:07:27.160 --> 0:07:29.640 seventeen degrees in Central Park and still dealing with a 0:07:29.680 --> 0:07:32.560 bad tractor trailer crash has northbound Vegan shut down at 0:07:32.600 --> 0:07:35.160 the hundred seventy nine. Michael Barr is here with more 0:07:35.200 --> 0:07:37.160 on what's going on in New York and around the world. 0:07:37.200 --> 0:07:40.320 Good morning, Michael, Good morning Nathan. Prayers were held last 0:07:40.440 --> 0:07:44.280 night as sorrow filled the Bronx community after Sunday's fire 0:07:44.440 --> 0:07:48.480 and choking smoke engulf to high rise apartment complex. The 0:07:48.520 --> 0:07:51.360 death toll has been lowered to seventeen people killed, including 0:07:51.400 --> 0:07:54.320 eight children. Firefighters say the blaze was sparked by a 0:07:54.320 --> 0:07:57.880 faulty space eater, but the deadly smoke traveled throughout the 0:07:57.920 --> 0:08:01.240 building due to an open door in the hallway. Mayor 0:08:01.400 --> 0:08:05.480 Eric Adams closed the door. Close the door that was 0:08:05.520 --> 0:08:08.600 embedded in my head as a child watching the commercials 0:08:08.600 --> 0:08:11.520 over and over again. We're going to double down on 0:08:11.680 --> 0:08:15.160 that message. Mayor Adams says. The flames damaged only a 0:08:15.200 --> 0:08:17.400 small part of the building, but smoked pour it through 0:08:17.400 --> 0:08:20.840 the apartment's open door and turned stairwells into death traps. 0:08:21.200 --> 0:08:23.880 New Jersey Governor Phil Murphy warned the residents of his 0:08:23.960 --> 0:08:27.880 state that they are already seeing hospital admissions that arrivals 0:08:27.920 --> 0:08:30.680 some of the pandemic's worst days. We're in the thick 0:08:30.720 --> 0:08:34.959 of this latest fight against the omicron tsunami washing across 0:08:35.000 --> 0:08:37.760 the state. Governor Murphy is concerned it's not even the 0:08:37.800 --> 0:08:40.840 reported peak of the omicron variant of the coronavirus that 0:08:40.920 --> 0:08:43.800 health officials have been warning us about. Both the U 0:08:43.920 --> 0:08:47.400 and ventilator numbers are up significantly and have roughly doubled 0:08:47.760 --> 0:08:50.880 since Christmas. These are the highest numbers we've seen since 0:08:50.880 --> 0:08:53.560 May of two thousand and twenty. Governor Murphy says many 0:08:53.600 --> 0:08:58.280 New Jersey towns and cities have reintroduced mask mandates. New 0:08:58.320 --> 0:09:01.480 Jersey transit, set rail and US writers ship has declined 0:09:01.720 --> 0:09:05.240 following the holiday season and an omicron fuel to coronavirus search. 0:09:05.880 --> 0:09:09.360 Weekday rail ridership was at about thirty to thirty five 0:09:09.360 --> 0:09:12.600 percent of pre COVID levels in December, down from about 0:09:12.720 --> 0:09:16.000 fifty five percent a month earlier. Chicago public schools are 0:09:16.040 --> 0:09:18.760 set to reopen for students tomorrow after the teachers union 0:09:18.840 --> 0:09:22.000 leadership voted to approve a deal with city officials to 0:09:22.040 --> 0:09:25.560 restart in person classes in the nation's third largest school district. 0:09:25.960 --> 0:09:29.440 Schools have been closed since January five after Chicago teachers 0:09:29.679 --> 0:09:32.600 voted to shift back to remote learning, demanding more stringent 0:09:32.600 --> 0:09:36.400 protections and men to COVID nineteen surge. President Biden travels 0:09:36.400 --> 0:09:40.000 to Atlanta today to push voting rights legislation. Biden will 0:09:40.040 --> 0:09:43.199 travel with the Vice president. North Korea fire do ballistic 0:09:43.200 --> 0:09:46.280 missile that flew at almost ten times the speed of 0:09:46.320 --> 0:09:49.640 sound into waters off its eastern coast. South Korea says 0:09:49.640 --> 0:09:52.880 the missile fell into the sea separating the peninsula from Japan. 0:09:53.280 --> 0:09:55.600 Global News twenty four hours a day on air and 0:09:55.720 --> 0:09:58.640 on Bloomberg quick Take, powered by more than twenty seven 0:09:59.040 --> 0:10:02.040 journalists and analysts. Than a hundred twenty countries. Michael Barr, 0:10:02.120 --> 0:10:09.199 this is Bloomberg Nathan. Thanks Michael, almost sixth cent on 0:10:09.240 --> 0:10:11.880 Wall Street time for the Bloomberg Sports Update with John Stenshower. 0:10:12.000 --> 0:10:15.120 Next day to the college football season ended in Indianapolis, 0:10:15.200 --> 0:10:18.600 Alabama and Georgia. They played last month for the SEC Championship. 0:10:18.640 --> 0:10:21.920 Bama won that one by seventeen points, Georgia one last 0:10:22.040 --> 0:10:24.440 night by fifteen. It was close to them that Bama 0:10:24.480 --> 0:10:27.360 had leads in the third and fourth quarters, but George, 0:10:27.400 --> 0:10:30.680 after scoring no touchdowns for the first forty three and 0:10:30.679 --> 0:10:32.719 a half minute, scored four t d s in the 0:10:32.800 --> 0:10:35.600 last sixteen and a half minutes that included a game 0:10:35.640 --> 0:10:39.400 ceiling scored in the final minute excedent side hand r 0:10:39.480 --> 0:10:43.400 Robinson throws to the near side and a second at 0:10:43.480 --> 0:10:46.559 the twenty one yard line and Kilee Ringo pr a 0:10:46.640 --> 0:10:50.600 back across that field across the thirty inside of twenty 0:10:51.040 --> 0:10:58.640 great scores. The George of Bulldogs lead by two scores 0:10:59.080 --> 0:11:02.920 with fifty seconds to ESPN Radio had to call the 0:11:02.960 --> 0:11:06.280 final thirty three to eighteen. Georgia's first national championship. Sons 0:11:06.280 --> 0:11:09.040 herschel Walker led them in nineteen eighty they lost the 0:11:09.080 --> 0:11:11.920 title game to Bama four years ago. In overtime, Crimson 0:11:12.000 --> 0:11:14.199 Tide denied what would have been a seventh title in 0:11:14.240 --> 0:11:17.120 the last thirteen years. Nicks finally went in some home 0:11:17.160 --> 0:11:18.880 game four in a row, with the Garden pulled away 0:11:18.880 --> 0:11:21.400 from the Spurs second half one one eleven nineties six 0:11:21.440 --> 0:11:24.319 thirty one points where R. J. Barrett nets in Portland, 0:11:24.320 --> 0:11:27.280 where without James Harden knee injury, the Blazers without Damian 0:11:27.360 --> 0:11:30.160 Lillard Portland wanted one fourteen to one oh eight and 0:11:30.200 --> 0:11:33.040 Brooklyn's now dropped five of the last seven. Rangers beaten 0:11:33.040 --> 0:11:34.920 by the Kings in l A three to one. The 0:11:35.000 --> 0:11:38.120 Dave Gettleman retirement made official. Giants now looking for a 0:11:38.160 --> 0:11:41.280 new general manager. Of three coaches just got fired Matt 0:11:41.360 --> 0:11:44.360 Nagge in Chicago, Mike Zimmer in Minnesota, and in a surprise, 0:11:44.440 --> 0:11:47.920 Brian flora Is in Miami. Dolphins finished the season going 0:11:47.960 --> 0:11:51.680 eight and one. John Stash where Bloomberg sports Nathan, all right, John, 0:11:51.720 --> 0:11:53.440 thank you right now. It's in p Futures are up 0:11:53.480 --> 0:11:56.320 fifteen points, sound features of seventy three. Nast A Futures 0:11:56.320 --> 0:11:59.160 are hired by eighty four points. Ten your treasury, little 0:11:59.240 --> 0:12:03.280 change the yield one point seven five percent. This is 0:12:03.320 --> 0:12:09.880 Bloomberg Bloomberg eleven three oh weather sunny but cold today 0:12:09.920 --> 0:12:13.120 behind your twenty Tomorrow partly sunny hid in your forty 0:12:13.160 --> 0:12:16.800 degrees will be mostly cloudya near forty on Thursday seventeen. 0:12:17.520 --> 0:12:23.440 Is the current temperature in Central Park Markets. Headlines and 0:12:23.559 --> 0:12:26.840 breaking news twenty four hours a day at Bloomberg dot com, 0:12:26.960 --> 0:12:30.040 the Bloomberg Business at and at Bloomberg Quick Take. This 0:12:30.440 --> 0:12:39.400 is a Bloomberg Business flash and I'm paren Moscow. European 0:12:39.480 --> 0:12:42.400 stocks are bouncing back from their biggest decline in six weeks, 0:12:42.440 --> 0:12:44.920 as treasury yields steady a day before a key US 0:12:44.960 --> 0:12:47.840 inflation reading and US futures are higher this morning. We 0:12:47.920 --> 0:12:50.280 checked the markets every fifteen minutes throughout the trading day 0:12:50.679 --> 0:12:52.959 on Bloomberg. U S and P future is up fifteen 0:12:52.960 --> 0:12:55.240 points and down futures up seventy four and a stack 0:12:55.320 --> 0:12:58.760 futures up seventy six. The decks in Germany's up one 0:12:58.920 --> 0:13:01.200 attend year treasury up one thirty second he at one 0:13:01.200 --> 0:13:04.160 point seven five percent yield on the two year point 0:13:04.240 --> 0:13:07.240 nine zero percent. Nimax screwed oil is of one and 0:13:07.280 --> 0:13:09.600 a half percent. Of a dollar sixteen at seventy nine 0:13:09.600 --> 0:13:12.319 dollars thirty nine cents of Barrel comic school, the third 0:13:12.320 --> 0:13:14.680 of upper cent or six dollars twenty cents at eighteen 0:13:14.679 --> 0:13:17.360 o five. Announced the euro one point one three three 0:13:17.360 --> 0:13:19.959 two against the dollar, British bound one point three six 0:13:20.320 --> 0:13:22.680 and the end one fifteen point four four and looking 0:13:22.720 --> 0:13:26.840 at bitcoin and this morning at forty one eight hundred dollars, 0:13:26.840 --> 0:13:29.840 that's up about two tents of percent and active as 0:13:29.840 --> 0:13:32.400 a great to buy wind River from TPG Capital for 0:13:32.440 --> 0:13:35.520 four point three billion dollars in cash. That's a Bloomberg 0:13:35.520 --> 0:13:38.000 business flash. Now here's Michael Barr with more on what's 0:13:38.040 --> 0:13:40.920 going on around the world. Michael, thank you very much. Cameron. 0:13:40.960 --> 0:13:44.080 Investigators are trying to determine why safety doors failed to 0:13:44.160 --> 0:13:46.360 close in a New York City high rise when the 0:13:46.400 --> 0:13:50.480 deadly fire broke out. Failures allowed thick, smoked billow through 0:13:50.520 --> 0:13:54.200 the tower and kill seventeen people. The Republican National Committee 0:13:54.200 --> 0:13:57.120 suited the New York City area over a law that 0:13:57.240 --> 0:14:01.079 will give non citizens the right to vote in local elections, 0:14:01.360 --> 0:14:06.320 calling it a blatant attack on election integrity. Chicago's students 0:14:06.440 --> 0:14:09.720 will be back in the classroom tomorrow. The teachers union 0:14:09.760 --> 0:14:11.959 and the city reached a deal about the COVID safety 0:14:11.960 --> 0:14:16.440 protocols that led to in person classes closing January five. 0:14:16.840 --> 0:14:20.080 Real estate air and convicted murderer Robert Durst has died 0:14:20.120 --> 0:14:23.560 of cardiac arrest at age seventy eight. Georgia beat Alabama 0:14:23.600 --> 0:14:27.600 thirty three eighteen to win college football's national championship. In 0:14:27.640 --> 0:14:30.240 the NBA, the Knicks and Celtics won. The Nets lost 0:14:30.600 --> 0:14:33.120 in the NHL, the Bruins beat the Capitol seven three, 0:14:33.160 --> 0:14:36.240 the Rangers lost. Global news twenty four hours a day 0:14:36.280 --> 0:14:39.000 on a or and on Bloomberg Quick Take, powered by 0:14:39.040 --> 0:14:41.720 more than twenty seven hundred journalists and analysts more than 0:14:41.720 --> 0:14:44.840 a hundred twenty countries. Michael Barr, this is Bloomberg. Nathan 0:14:44.880 --> 0:14:46.560 all right, Michael, thank you for coming up to six 0:14:46.640 --> 0:14:49.800 twenty on Wall Street Live from the Bloomberg Interacted Broker Studios. 0:14:49.840 --> 0:14:51.920 This is Bloomberg at daybreak. We want to get more 0:14:51.960 --> 0:14:54.840 now on the pandemic as the O macron variant threatens 0:14:54.920 --> 0:14:58.280 to overwhelm the US health system. Dr Bati and Sony 0:14:58.400 --> 0:15:00.880 is with us this morning. Associate U sort of emergency 0:15:00.920 --> 0:15:04.120 medicine at Johns Hopkins University doctor, It's good to have 0:15:04.160 --> 0:15:06.760 you with us this morning. As the Washington Post is 0:15:06.840 --> 0:15:09.680 reporting the number of people in the hospital with COVID 0:15:09.760 --> 0:15:13.200 nineteen is close to a pandemic record. Where do you 0:15:13.240 --> 0:15:16.720 see things as far as this O macron wave is going. 0:15:17.080 --> 0:15:20.800 Is our health system equipped to handle it? Our health 0:15:20.880 --> 0:15:23.960 system is equipped to handle because it has to handle it, 0:15:24.200 --> 0:15:29.160 not because we have unlimited resources, but we will make resources. 0:15:29.200 --> 0:15:32.880 There's innovations happening around the country UM, deployment of national 0:15:32.920 --> 0:15:37.360 god and declassed croation of states of emergency, UM employing 0:15:37.560 --> 0:15:41.040 non medical workers to take on clinical roles, and an 0:15:41.040 --> 0:15:44.840 expansion of bed capacity of hospitals. So people are rallying. 0:15:45.400 --> 0:15:48.360 Every health system is trying to be innovative and how 0:15:48.400 --> 0:15:51.880 to optimize the performance of our hospitals. And so we 0:15:51.920 --> 0:15:55.400 will handle it because we have to handle it. And 0:15:55.440 --> 0:15:57.960 we are seeing evidence, at least in New York City 0:15:57.960 --> 0:16:00.960 that COVID maybe peaking. We've seen this seven day average 0:16:00.960 --> 0:16:05.080 of e ER visits dropped sharply since last month when 0:16:05.200 --> 0:16:09.120 the O macron variant was first identified. Can we be 0:16:09.200 --> 0:16:12.440 confident that this O macron wave is going to pass 0:16:12.480 --> 0:16:16.960 as quickly as it's emerged in this country and we 0:16:17.080 --> 0:16:20.080 really hope so consistently throughout the pandemic. We've looked at 0:16:20.080 --> 0:16:23.520 other countries such as the United Kingdom and South Africa 0:16:23.560 --> 0:16:25.960 who had the waves for us UM. In the South 0:16:25.960 --> 0:16:29.920 Africa in particular, that wave lasted around thirty days. I 0:16:30.000 --> 0:16:33.000 think in the United States that's foot complicated by the 0:16:33.000 --> 0:16:36.040 winter holidays and then the sloo being s traveling also. 0:16:36.520 --> 0:16:38.440 But yes, UM, you know we don't need to get 0:16:38.480 --> 0:16:41.960 through this at grace and patients UM, and we shall 0:16:42.040 --> 0:16:45.320 also pass UM. We also note that the EER visits 0:16:45.360 --> 0:16:48.240 have been decreased as individuals are being more comfortable with 0:16:48.400 --> 0:16:51.880 relying on rapid tests at home UM and avoiding the 0:16:51.920 --> 0:16:55.480 e off in non emergency cases. All at the same time, 0:16:55.640 --> 0:16:57.800 A tests have been hard to come by in a 0:16:57.880 --> 0:17:01.680 plenty of places across this country. How has that complicated 0:17:01.680 --> 0:17:05.360 the response to this variant? Well, I mean they needs 0:17:05.440 --> 0:17:08.840 they are acting blind, right, So without effective testing strategies, 0:17:09.359 --> 0:17:11.960 you as an individual, I'm sure if you have COVID 0:17:11.960 --> 0:17:14.119 and do not have COVID, and that's a more likely 0:17:14.160 --> 0:17:18.560 to spread COVID to other individuals. UM. There's also nequity 0:17:18.640 --> 0:17:22.720 with test distribution test being on average twenty dollars per test, 0:17:23.160 --> 0:17:25.919 means that the poorest of our society, those who perhaps 0:17:25.960 --> 0:17:28.800 would need them the most due to their living situations 0:17:28.840 --> 0:17:32.560 and inability to quarantine, do not have access to testing. 0:17:33.960 --> 0:17:36.919 We've heard from Fiser's CEO, Albert Borla, saying that his 0:17:37.040 --> 0:17:41.160 company is or has been working on an omicron specific 0:17:41.320 --> 0:17:45.120 vaccine and coming up with a hybrid shot that combines 0:17:45.200 --> 0:17:48.840 the original formulation with something tailored to this new variant. 0:17:48.880 --> 0:17:51.080 Do you think that's going to be something that's necessary 0:17:51.119 --> 0:17:54.600 to get us over this omicron wave, Well, not just 0:17:54.720 --> 0:17:58.080 the omicron wave, but it may provide better resilience to 0:17:58.359 --> 0:18:02.840 delta also, And or you are variants, variants continue to evolve, 0:18:03.280 --> 0:18:06.640 so must have vaccines, and we do this annually anyway 0:18:06.720 --> 0:18:09.639 with the influenza virus, and that has been a successful 0:18:09.680 --> 0:18:13.840 strategy to prevent influenza surges. Sounds like you're thinking that 0:18:13.840 --> 0:18:16.200 we're going to need booster shots indefinitely. Is that what 0:18:16.240 --> 0:18:19.520 you're saying? That is what I'm saying. It is likely 0:18:19.560 --> 0:18:22.959 that this virus will continue to evolve, especially as we 0:18:23.000 --> 0:18:26.320 do not have vaccine access globally, and so we need 0:18:26.400 --> 0:18:29.080 to be prepared for future waves and future variants of 0:18:29.200 --> 0:18:32.480 concern in our last minute here, doctor, there's some talk 0:18:32.880 --> 0:18:36.880 in parts of the world about starting to discuss thinking 0:18:37.040 --> 0:18:42.080 of COVID as endemic rather than a pandemic. Is this 0:18:42.240 --> 0:18:44.760 the right time to think about that, when we still 0:18:44.960 --> 0:18:48.880 are dealing with this omicron variant potentially other variants down 0:18:48.920 --> 0:18:53.479 the line. Absolutely not so in my opinion. And and 0:18:53.800 --> 0:18:57.800 virus is endemic when it's impact on society is predictable, 0:18:58.160 --> 0:19:02.600 and the variation and when it occurs if predictable. Also, 0:19:03.119 --> 0:19:06.200 COVID is not that right now. It is crippling our society. 0:19:06.240 --> 0:19:09.440 It's crippling our health systems. Weally don't know what else 0:19:09.440 --> 0:19:11.920 is virus can throw at us. And I worry that 0:19:12.000 --> 0:19:16.760 by labeling it endemic means that individuals will become complacent. 0:19:17.280 --> 0:19:20.479 So this is not the time for complacency. We still 0:19:20.480 --> 0:19:23.480 need to actively fight the virus. We have the tools, 0:19:23.560 --> 0:19:27.520 we have, vaccines, masking, testing, social distance saying. I think 0:19:27.520 --> 0:19:32.440 we'll get this soon, especially as under five population become vaccinated. 0:19:33.160 --> 0:19:35.119 But right now we just need to get through this 0:19:35.280 --> 0:19:37.840 way and that it should be our still focus now. 0:19:37.920 --> 0:19:40.720 Let's hope we get there soon. Dr Han Sody, thank you, 0:19:40.840 --> 0:19:43.800 as always for your insights. Dr Baki Han Sody's Associate 0:19:43.840 --> 0:19:47.640 Professor of Emergency Medicine at the Johns Hopkins University Bloomberg 0:19:47.800 --> 0:19:51.240 School of Public Health, which is supported by Michael Bloomberg. 0:19:51.280 --> 0:19:54.520 He's the founder and majority owner of Bloomberg Radio's parent company, 0:19:54.840 --> 0:19:58.879 Bloomberg Lp. SMP futures up fifteen points, Dow futures and 0:19:59.000 --> 0:20:02.240 NASTAC futures at the moment, both up seventy seven points. 0:20:02.320 --> 0:20:08.639 You're listening to Bloomberg day Berg Bloomberg eleven three oh 0:20:08.640 --> 0:20:12.200 weather sunny but cold today, only near twenty degrees, partly sunny, 0:20:12.280 --> 0:20:15.000 upper thirties Tomorrow. We'll get up to near forty on 0:20:15.080 --> 0:20:19.080 a mostly cloudy Thursday. Right now seventeen degrees in Central Park. 0:20:22.119 --> 0:20:26.640 Broadcasting live from the Bloomberg Interactive Broker Studio in New York. 0:20:26.760 --> 0:20:31.400 Bloomberg Living Free to Washington, d C. Bloomberg to Boston, 0:20:31.520 --> 0:20:34.760 Bloomberg one O six one to San Francisco, Bloomberg N 0:20:35.000 --> 0:20:38.080 sixteen to the country, Sirius XM to the one nine ten, 0:20:38.200 --> 0:20:41.720 and around the globe. The Bloomberg Business and Bloomberg Radio 0:20:41.840 --> 0:20:50.960 dot Com. This is Bloomberg daybreak. It's six thirty on 0:20:51.000 --> 0:20:54.280 Wall Street. Good morning. I'm Nathan Hagar and I'm Karen Moscow, 0:20:54.359 --> 0:20:57.200 and we're just about three hours away from the open 0:20:57.240 --> 0:21:00.360 of US trading. Time for the five things you need 0:21:00.440 --> 0:21:03.720 to notice start your day. Brought to you by Interactive 0:21:03.760 --> 0:21:06.960 Broker's Trade Crypto for less coin with commissions just twelve 0:21:07.000 --> 0:21:10.320 to eighteen basis points and no hidden spreads or markups. 0:21:10.560 --> 0:21:14.240 Learn more at ib k r dot com slash crypto First. 0:21:14.359 --> 0:21:18.240 US futures are higher ahead of confirmation hearings for J. Powell. 0:21:18.480 --> 0:21:21.200 The Fed chair plans tels senators at the Central Bank 0:21:21.240 --> 0:21:24.800 will prevent higher inflation from becoming intrenched. And males is 0:21:24.840 --> 0:21:28.680 a Washington policy Analysted Raymond James. J Powell is getting 0:21:28.720 --> 0:21:32.480 confirmed in his job is to give Republicans a reason 0:21:32.600 --> 0:21:36.320 to stick with him, to vote for his reconfirmation. If 0:21:36.359 --> 0:21:39.360 you are J Powell, you're talking about inflation, if you're 0:21:39.359 --> 0:21:42.120 talking about what you're going to do next and miles 0:21:42.160 --> 0:21:45.080 of Raymond James spoke with our Washington correspondent Joe Matthew 0:21:45.080 --> 0:21:48.160 on Bloomberg sound On. Catch the program weekdays at five 0:21:48.200 --> 0:21:51.640 pm Eastern on Bloomberg Radio meantime, Karen, the drum beat 0:21:51.640 --> 0:21:54.240 for more interest rate hikes from the Fed is getting louder. 0:21:54.240 --> 0:21:57.639 Bloomberg's John Tucker joins US Live at Details John Nathan 0:21:57.680 --> 0:22:00.200 Schwampson to get the fence target will be eight eight 0:22:00.200 --> 0:22:02.880 basis points higher by the end of this year, assigned 0:22:02.920 --> 0:22:05.879 the markets making in three hikes plus the possibility of 0:22:05.880 --> 0:22:09.040 a fourth. Former New York Fed President Bill Dudley says 0:22:09.040 --> 0:22:12.119 the Santo Bank needs to get more hawkish. JP Morrigan 0:22:12.160 --> 0:22:15.640 and Goldman Sachs are forecasting for rate increases this year, 0:22:16.000 --> 0:22:18.960 and tomorrow's CPI report could put more pressure on the Fed, 0:22:19.200 --> 0:22:22.199 with estimates calling for an annual inflation rate north of 0:22:22.320 --> 0:22:25.680 seven percent in New York. On John Tucker Bloomberg Daybreak, 0:22:25.760 --> 0:22:28.520 All right, John, thank you. As inflation picks up, confidence 0:22:28.560 --> 0:22:31.199 in the global economic recovery appears to be fading. The 0:22:31.240 --> 0:22:33.720 details on that now from Bloomberg's or need a Young. 0:22:33.920 --> 0:22:36.960 A World Economic Forum survey finds just one in six 0:22:37.000 --> 0:22:40.640