WEBVTT - Bloomberg Daybreak: February 9, 2022 - Hour 1 (Radio) 0:00:02.840 --> 0:00:06.039 Live from the Bloomberg Interactive Brooker Studios. This is Bloomberg 0:00:06.120 --> 0:00:10.039 Daybreak for Wednesday, February nine two. Coming up this hour, 0:00:10.280 --> 0:00:13.800 Global stocks rise as the bond sell off eases. Disney 0:00:13.880 --> 0:00:17.360 heads Today's earnings parade on Wall Street. President Biden makes 0:00:17.360 --> 0:00:20.759 another pitch for his economic agenda incentive. Majority leader Chuff 0:00:20.760 --> 0:00:24.079 Schumer endorses a band on stock tradeing in Congress, Governor 0:00:24.120 --> 0:00:27.440 Cormo says New York COVID hospitalizations are down. The Christmas 0:00:27.520 --> 0:00:30.840 lobels Floss protests continued today in the Nmark after last 0:00:30.840 --> 0:00:35.080 week's military food not Michael barn More Ahead, John Dasher 0:00:35.120 --> 0:00:37.560 and sports. The losses continued for the Knicks and net 0:00:37.600 --> 0:00:40.320 the Devil's Wants st John's loss, and finally a gold 0:00:40.320 --> 0:00:45.080 medal for the US at the Olympics. That's all straining 0:00:45.080 --> 0:00:49.080 Ahead on Bloomberg Daybreak on Bloomberg eleven, Freeo New York, 0:00:49.280 --> 0:00:53.920 Bloomberg on Washington, d C, Bloomberg one oh six one, Boston, 0:00:54.200 --> 0:00:58.840 Bloomberg nine sixties and Francisco Syrius XM one nine team 0:00:58.880 --> 0:01:01.800 and around the world on Bloomberg Radio dot Com and 0:01:01.920 --> 0:01:09.360 via The Bloomberg Business and Good Morning, I'm Karen Moscow. 0:01:09.560 --> 0:01:11.959 I'm Nathan Hagar. Bloomberg Day Break brought to you by 0:01:12.080 --> 0:01:16.039 SEI Challenges highlight one's character, partnership and resilience. At SEI, 0:01:16.120 --> 0:01:18.319 they act as one community with their clients. Go to 0:01:18.520 --> 0:01:21.640 se i C dot com, slash banks, and US Future 0:01:21.680 --> 0:01:24.280 is adding to yesterday's games five oh one on Wall Street. 0:01:24.280 --> 0:01:26.840 We checked the markets every fifteen minutes throughout the trading day. 0:01:26.920 --> 0:01:29.880 On Bloomberg, SMP future is up twenty seven points down, 0:01:29.920 --> 0:01:33.199 futures up a hundred seventy nasdack futures up one hundred 0:01:33.280 --> 0:01:35.920 six The decks in Germany's up one point four percent. 0:01:36.240 --> 0:01:38.800 Ten year treasury up twelve thirty seconds, YELD one point 0:01:38.880 --> 0:01:41.200 nine one percent, and they yield on the two year 0:01:41.280 --> 0:01:44.320 one point three one percent. Nathan Well, Karen, The rise 0:01:44.360 --> 0:01:47.560 in stocks comes as the sell often bonds takes a break. 0:01:47.680 --> 0:01:50.880 Ten Your treasury yields are retreating after US stock staged 0:01:50.880 --> 0:01:54.760 a late rallying yesterday's session. Ryan Dietrich, chief market strategist 0:01:54.800 --> 0:01:58.600 at LPL Financial says, it's a resilient market when we're 0:01:58.680 --> 0:02:01.360 carving out of bottom. We had about a ten percent 0:02:01.360 --> 0:02:03.720 crush in the smp here um. You know, we can 0:02:03.800 --> 0:02:06.160 maybe go back down and tested from technical point of view. 0:02:06.160 --> 0:02:08.000 But the truth again is this market just kind of 0:02:08.000 --> 0:02:09.760 seems like it's choppy and wants to kind of just 0:02:09.840 --> 0:02:12.960 bide its time here. It's not necessarily bearish, maybe not 0:02:13.080 --> 0:02:15.200 super bowlish either, but after not the end of the world, 0:02:15.320 --> 0:02:18.640 after the rally we saw last year. LPL Financial Chief 0:02:18.680 --> 0:02:22.359 market Strategist Ryan Dtrich made the comments on Bloomberg Business Week. 0:02:22.440 --> 0:02:26.080 Catch the program weekdays at two pm Eastern on Bloomberg Radio. 0:02:26.400 --> 0:02:28.840 Well over Night, Nathan, we saw stocks in Asia follow 0:02:28.880 --> 0:02:31.760 Well Street higher. We get the recap from Bloomberg's Juliette 0:02:31.800 --> 0:02:35.160 Sally and Singapore. Good Morning, Juliette, Good morning, Karen. Chinese 0:02:35.160 --> 0:02:38.560 stocks advanced in afternoon trading, tracking a rally and regional 0:02:38.720 --> 0:02:41.760 peers and a state backed funds intervention in the previous 0:02:41.760 --> 0:02:44.760 session a laid fears of a further route. The smaller 0:02:44.800 --> 0:02:48.359 tech focused China's index also gained after entering a technical 0:02:48.440 --> 0:02:51.679 bear market in the previous session. Meanwhile, a rebound in 0:02:51.760 --> 0:02:54.840 tech shires such as Ali Baba boosted Hong Kong's market. 0:02:55.000 --> 0:02:57.480 The Hang Sing index up more than two and the 0:02:57.480 --> 0:02:59.720 back of Japan open did not to deviate from its 0:02:59.760 --> 0:03:03.160 path and portly bond purchases holding five even as yields 0:03:03.200 --> 0:03:07.919 rose to six year highs in Singapore. Juliet Sally Bloomberg Daybreak, Okay, Juliet, 0:03:08.000 --> 0:03:10.480 thank you. Earnings continue to be a focus on Wall 0:03:10.520 --> 0:03:13.240 Street this week. Shares of Lift are down more than 0:03:13.280 --> 0:03:16.560 four percent in early trading. Revenue at the company beat estimates, 0:03:16.560 --> 0:03:19.400 but riders fell short in the face of the Omicron variant. 0:03:19.520 --> 0:03:22.400 We get the details from Bloomberg's Charlie Pellett. While Lift 0:03:22.520 --> 0:03:26.119 was benefiting from higher prices because of a shortage of drivers, 0:03:26.160 --> 0:03:30.600 it also reported fewer riders of an expected as Omicron damp. 0:03:30.680 --> 0:03:34.080 Travel revenue rose seventy percent from a year ago. The 0:03:34.120 --> 0:03:37.840 company reported eighteen point seven million active riders in the quarter, 0:03:38.160 --> 0:03:41.880 up from a year earlier, but still short of the 0:03:41.960 --> 0:03:45.560 twenty two point nine million in twenty nine analysts were 0:03:45.560 --> 0:03:50.480 expecting twenty million. In New York. Charlie Pellett Bloomberg Daybreak, Fairly, 0:03:50.520 --> 0:03:52.480 thank you. Another stock we're keeping an eye on this 0:03:52.560 --> 0:03:55.520 morning is Containers Store. Shares her down twenty five percent 0:03:55.600 --> 0:03:58.880 after an earnings forecast that trailed estimates. Even before today's 0:03:58.880 --> 0:04:02.720 slump container story stock was down from its peak in March. 0:04:03.160 --> 0:04:05.840 Coming up today, Karen, we get earnings from fifteen companies 0:04:05.840 --> 0:04:08.960 in the SMP five hundred and Disney headlines the less. 0:04:09.040 --> 0:04:11.800 Let's get a preview from Bloomberg's Tom Busby. The big 0:04:11.840 --> 0:04:14.320 focus for Disney's first quarter earnings today will be on 0:04:14.400 --> 0:04:18.480 subscriber growth at Disney Plus at streaming video service, has 0:04:18.480 --> 0:04:21.600 more people shift to viewing movies and shows online. Forecast 0:04:21.600 --> 0:04:25.159 call for just over a hundred twenty five million subscribers now, 0:04:25.200 --> 0:04:27.719 a sizeable increase thanks to colder winter weather and the 0:04:27.720 --> 0:04:30.560 o macron Berry and keeping many Americans at home last quarter. 0:04:30.720 --> 0:04:33.440 Also of note, it's Theme Parks division, which may have 0:04:33.480 --> 0:04:36.839 seen a return to pre pandemic levels in December. Tom 0:04:36.880 --> 0:04:40.440 Busby Bloomberg Daybreak, Tom, thank you. Let's shift from Wall 0:04:40.440 --> 0:04:44.039 Street to geopolitics now, where the standoff with Russia continues. 0:04:44.120 --> 0:04:46.360 Now the Senator is working on a package of sanctions 0:04:46.440 --> 0:04:49.599 to put some teeth into threats aimed at Russia. Bloomberg's said, 0:04:49.600 --> 0:04:52.640 Master has a story. Whether the Senators can get together 0:04:52.720 --> 0:04:56.880 on this and bipartisan fashion is an open question. Democratic 0:04:56.960 --> 0:05:00.080 Senator Chris Cohn says progress is being made, hopeful, and 0:05:00.200 --> 0:05:02.560 we will see a sanctions bill that has bi partisan 0:05:02.600 --> 0:05:07.240 support introduced this week. But Republican Senator Mitch McConnell, minority leader, 0:05:07.320 --> 0:05:10.599 says it is not the right path. I don't think 0:05:11.000 --> 0:05:14.960 Putin will be deterred by any piece of legislation the 0:05:15.000 --> 0:05:17.800 United States Senate. McConnell says the President has all the 0:05:17.839 --> 0:05:20.520 tools himself to go ahead and slap on sanctions. In 0:05:20.600 --> 0:05:23.880 San Francisco, I'm at Baxter Bloomberg Gay Break, okay, and thanks. 0:05:23.880 --> 0:05:25.720 At the White House, we see a fresh push today 0:05:25.800 --> 0:05:28.880 to promote President Biden's economic agenda. He'll meet with leaders 0:05:28.920 --> 0:05:31.479 of the nation's largest utility companies as part of an 0:05:31.480 --> 0:05:34.720 effort to promote energy and climate measures. Amy Morris has 0:05:34.760 --> 0:05:38.840 details from our Bloomberg newsroom in Washington. This is just 0:05:38.960 --> 0:05:41.880 the latest effort by President Biden to rally support from 0:05:41.920 --> 0:05:46.600 corporate leaders. The attendees, including officials from Excelon Edison International, 0:05:46.880 --> 0:05:50.600 Duke Energy, and American Electric Power, are expected to encourage 0:05:50.640 --> 0:05:54.440 Congress to pass legislation related to climate and energy. The 0:05:54.480 --> 0:05:57.600 group also plans to push for new transmission lines and 0:05:57.680 --> 0:06:01.400 other energy infrastructure, much of which is already included in 0:06:01.480 --> 0:06:05.279 the stalled Build Back Better plan in Washington. I'm Amy Morris, 0:06:05.279 --> 0:06:07.680 Bloomberg Daybreak. All right, Amy, thank you well. There's also 0:06:07.720 --> 0:06:10.400 a movement on another initiative and Congress that push the 0:06:10.440 --> 0:06:13.880 band stock trading by lawmakers appears to be gaining steam, 0:06:13.880 --> 0:06:16.960 making the latest lie from Bloomberg's rand A Young. Good morning, Ranida, 0:06:17.000 --> 0:06:20.479 Good morning, Karen. Senate majority Leader Chuck Schumer is endorsing 0:06:20.560 --> 0:06:23.680 a ban on stock trading by members of Congress. The 0:06:23.760 --> 0:06:26.640 idea is being pushed by both Democrats and Republicans with 0:06:26.720 --> 0:06:30.080 multiple proposals, and now Schumer wants to see the ideas 0:06:30.160 --> 0:06:34.120 merged into one bill. Senate Republican Leader Mitch McConnell, on 0:06:34.160 --> 0:06:36.880 the other hand, says he hasn't given much thought on 0:06:37.000 --> 0:06:40.880 banning securities trading, but adds that he's invested in mutual 0:06:40.920 --> 0:06:45.039 funds rather than individual stocks. How Speaker Nancy Pelosi was 0:06:45.080 --> 0:06:48.160 previously opposed to a band, but last month began to 0:06:48.240 --> 0:06:50.840 consider one. She says, if her members want to band 0:06:50.920 --> 0:06:54.720 stock trading in Congress that she supported. Live in New York, 0:06:54.760 --> 0:06:57.840 I'm Ranita Young, Bloomberg Daybreak. Okay, Ranita, thank you well. 0:06:57.839 --> 0:07:00.320 Stocks moving higher this morning. At the index level, we 0:07:00.360 --> 0:07:02.840 have SMP futures up twenty nine points right now, deal 0:07:02.960 --> 0:07:05.320 future is up a hundred eighty three, NASTACK futures on 0:07:05.360 --> 0:07:08.160 the rise by a hundred sixteen points, The tenure treasury 0:07:08.240 --> 0:07:11.280 is up twelve thirty seconds, the yield now one nine, 0:07:11.920 --> 0:07:14.040 and the yield on the two year one point three one. 0:07:14.720 --> 0:07:17.680 Straight ahead your latest local headlines in the check of sports. 0:07:17.720 --> 0:07:24.880 This is Bloomberg. That's five oh seven on Wall Street 0:07:24.880 --> 0:07:26.760 where thirty degrees in Central Park and we have an 0:07:26.800 --> 0:07:30.000 overturn tractor trailer southbound New Jersey Turnpike by Eggsit ten. 0:07:30.200 --> 0:07:32.600 Details coming up in traffic. First, Michael Barr is here 0:07:32.920 --> 0:07:34.840 with more on what's going on in New York and 0:07:34.920 --> 0:07:37.560 around the world. Can morning, Michael, Good morning Nathan. As 0:07:37.600 --> 0:07:41.120 COVID cases continue to drop across the country, states are 0:07:41.120 --> 0:07:45.800 easing pandemic restrictions, including indoor mask mandates. Today in New 0:07:45.880 --> 0:07:48.840 York's Governor Kathy Hokel is set to drop the state's 0:07:48.880 --> 0:07:53.160 indoor mask mandate. This as infection rates drop across New 0:07:53.200 --> 0:07:55.720 York State and the rest of the country. We've not 0:07:55.840 --> 0:07:59.200 seen these kind of numbers since November eight. Governor Hokel 0:07:59.280 --> 0:08:01.679 is expected to keep the mandate in place for schools 0:08:01.680 --> 0:08:04.680 in the state, at least for now. Robert Lowry with 0:08:04.760 --> 0:08:08.240 the New York State Council of School Superintendence, told w 0:08:08.360 --> 0:08:11.640 ABC that he's pleased that local is at least considering 0:08:11.640 --> 0:08:15.200 a change. She also said, you know, there's some concern 0:08:15.240 --> 0:08:20.480 about what might happen when students on staff are away 0:08:20.520 --> 0:08:25.240 from school for the the February break um, but it's 0:08:25.240 --> 0:08:28.880 but it's encouraging that it's apparent from our conversation at 0:08:28.880 --> 0:08:33.040 the state is looking at um whether and how to 0:08:33.520 --> 0:08:36.840 make a change in match requirements. Robert Lowry, with the 0:08:37.000 --> 0:08:40.680 Council of School Superintendent says the possible change could ease 0:08:40.720 --> 0:08:44.400 some frustration among parents. Senate Minority Leader Mitch McConnell is 0:08:44.400 --> 0:08:47.120 taking aim at the r n C resolution that declared 0:08:47.160 --> 0:08:52.000 the January six Capitol riot legitimate political discourse. The Republican 0:08:52.080 --> 0:08:56.359 leader called it a violent insurrection. McConnell also says censuring 0:08:56.440 --> 0:09:00.280 GOP members Liz Cheney and Adam Kinziger is out the 0:09:00.400 --> 0:09:05.440 rnc's job. Traditionally, the view of the National Party Committee 0:09:05.559 --> 0:09:10.000 is that we support all members of our party, regardless 0:09:10.040 --> 0:09:14.320 of their positions on some issues. McConnell says the purpose 0:09:14.440 --> 0:09:17.840 of the insurrection was to prevent the peaceful transfer power 0:09:18.320 --> 0:09:23.520 after a legitimately certified election. And Amtrak watchdog group says 0:09:23.559 --> 0:09:26.960 New York City's Gateway rail project risks further delays. Am 0:09:27.000 --> 0:09:30.640 Track's Office of Inspector General says the company is challenged 0:09:30.679 --> 0:09:34.880 by a lack of comprehensive plans for the project. Gateway 0:09:34.920 --> 0:09:38.120 project is aimed at alleviating real congestion between New York 0:09:38.160 --> 0:09:41.200 and New Jersey. The second man charged in an alleged 0:09:41.200 --> 0:09:44.680 plot to kidnap Michigan Governor Gretchen Whitmer is expected to 0:09:44.679 --> 0:09:48.000 plead guilty Today. Global News twenty four hours a day 0:09:48.080 --> 0:09:51.480 on air and on Bloomberg Quicktake, powered by more than 0:09:51.559 --> 0:09:54.640 twenty seven journalists and analysts in more than a hundred 0:09:54.640 --> 0:09:58.440 twenty countries. I'm Michael Barren. This is Bloomberg, Nathan. Thanks Michael. 0:10:03.160 --> 0:10:04.839 Come up to five ten on Wall Street time for 0:10:04.840 --> 0:10:08.280 the Bloomberg Sports Update. Good morning John, alrighty morning, Nathan. 0:10:08.280 --> 0:10:10.880 The NBA trade deadline is tomorrow. Will the Knicks and 0:10:10.920 --> 0:10:13.319 Nets making ill Judgson for the last night? Both teams 0:10:13.320 --> 0:10:15.439 beat some help the Knicks in Denver. Were they having 0:10:15.520 --> 0:10:17.840 once in the two thousand six they left. The Nuggets 0:10:17.840 --> 0:10:21.360 scored eighty three points in the first half Denver on 0:10:22.000 --> 0:10:24.120 to one fifteen. The hit five players score at least 0:10:24.160 --> 0:10:26.640 nineteen points. The Knicks have lost ten of the last twelve. 0:10:27.040 --> 0:10:29.520 Doesn't get any easier there. At Golden State tomorrow, the 0:10:29.559 --> 0:10:32.000 Nets have lost all of their last nine. Back home 0:10:32.280 --> 0:10:34.920 from an ohen five roach up, the Celtics led to 0:10:35.080 --> 0:10:38.560 two and one, one to ninety one. That's Boston sixth 0:10:38.679 --> 0:10:40.720 raight win. The Nets did not have the Big three, 0:10:40.800 --> 0:10:43.920 and no Nets starters scored more than six points. Coach 0:10:43.960 --> 0:10:46.520 Steve Nash couldn't really blame the guys. He had to 0:10:46.640 --> 0:10:52.640 use out there and the tramp and blitz and run 0:10:52.679 --> 0:10:56.240 around and and and do things that we haven't done 0:10:56.240 --> 0:10:59.400 a ton of to mix it up and see how 0:10:59.400 --> 0:11:02.559 we did. And and Room fell down in two mets 0:11:02.559 --> 0:11:05.800 in Washington tomorrow, Devil's a seven one route of Montreal St. 0:11:05.840 --> 0:11:08.800 John's fell at home to fifteen Frank Villanova seventy five 0:11:08.880 --> 0:11:12.280 sixty top rank. Auburn lost in overtime at Arkansas. The 0:11:12.320 --> 0:11:16.600 Giants new defensive point there is Don winked Martindale, surprisingly 0:11:16.640 --> 0:11:20.160 fired by Baltimore. He replaces Patrick Graham, who was offered 0:11:20.200 --> 0:11:22.240 to stay but left with the Raiders. Joe Judge going 0:11:22.280 --> 0:11:24.760 back to New England, where he was an assistant before 0:11:24.920 --> 0:11:28.400 his two year stint as Giants had to sixteen years ago, 0:11:28.520 --> 0:11:33.160 Lindsay Jacobellis was ridiculed for celebrating prematurely in her snowboard 0:11:33.200 --> 0:11:35.520 race of the Olympics. Acost her a gold medal Today 0:11:35.559 --> 0:11:38.560 at age thirty six, jacobellas one of gold, the first 0:11:38.559 --> 0:11:42.920 by the US in Beijing. John Stash award Bloomberg Sports. Yeah, 0:11:42.920 --> 0:11:46.600 how ironic. Now we're celebrating gold belatedly, thanks John. SFP 0:11:46.720 --> 0:11:49.280 futures right now thirty points. Staff futures up a hundred 0:11:49.320 --> 0:11:51.960 eighty eight. Nastack futures are higher by a hundred twenty 0:11:51.960 --> 0:11:55.000 three points to ten. Your treasury up eleven thirty seconds, 0:11:55.040 --> 0:11:58.760 the yield one point nine to per cent. We'll check 0:11:58.800 --> 0:12:03.280 in with Bloomberg Market Senator Christine Nikino next on these markets. 0:12:03.600 --> 0:12:09.160 This is Bloomberg Bloomberg eleven three oh weather sunshine low 0:12:09.200 --> 0:12:11.520 forties today will be part of the mostly Sunday tomorrow 0:12:11.600 --> 0:12:14.920 upper forties mix of sun and clouds by Friday upper 0:12:14.960 --> 0:12:22.760 forties to around fifty degrees currently thirty in Central Park markets. 0:12:22.880 --> 0:12:25.920 Headlines and breaking news twenty four hours a day at 0:12:25.960 --> 0:12:29.359 Bloomberg dot Com of Bloomberg Business at Land at Bloomberg 0:12:29.440 --> 0:12:38.559 Quick Tape Free is a Bloomberg Business flash and I'm 0:12:38.600 --> 0:12:41.400 Karen Moscow US not Index futures on the rise and 0:12:41.480 --> 0:12:44.600 a sell off and sovereign bonds pausing, bringing some relief 0:12:44.600 --> 0:12:48.040 for markets whipsode in recent weeks by concerns about tightening 0:12:48.040 --> 0:12:51.320 monetary policy. Check the markets every fifteen minutes throughout the 0:12:51.320 --> 0:12:53.720 trading day on Bloomberg S and P Future is up 0:12:53.720 --> 0:12:56.640 thirty three points down, futures up two hundred eight, nastag 0:12:56.760 --> 0:12:59.880 futures of one forty decks and Germany's of one at 0:13:00.040 --> 0:13:02.600 half percent the ten year treasury at twelve thirty seconds. 0:13:02.600 --> 0:13:05.040 He had one point one percent yield on the two 0:13:05.120 --> 0:13:08.120 year one point three one percent. Nimex screwed oils down 0:13:08.160 --> 0:13:10.640 two tenths percent or sixteen cents at eighty nine dollars 0:13:10.679 --> 0:13:13.240 twenty cents. A barrel comic school that will change at 0:13:13.240 --> 0:13:16.640 eighteen twenty announced the euro on point one four to 0:13:16.880 --> 0:13:19.200 six against the dollar, British found one point three five 0:13:19.280 --> 0:13:22.880 seven seven, the ends at one fifteen point four three 0:13:22.960 --> 0:13:25.680 and Bitcoin this morning moving lower at forty three thousand 0:13:25.720 --> 0:13:28.400 and six hundred dollars. And today we're watching for our 0:13:28.400 --> 0:13:31.400 report on wholesale inventories at at ten o'clock. Wall Street, 0:13:31.400 --> 0:13:34.600 Time and Disney and CBS Health are among companies scheduled 0:13:34.600 --> 0:13:37.800 to report earnings today. That's a Bloomberg business flash. Now 0:13:37.800 --> 0:13:40.160 here's Michael Barr with Moore on what's going on around 0:13:40.160 --> 0:13:43.320 the world. Uncle, good morning, Good morning, Karen. Senate Republican 0:13:43.480 --> 0:13:47.000 leader Mitch McConnell is criticizing the Republican National Committee for 0:13:47.240 --> 0:13:50.840 centuring two House GOP lawmakers, saying it's not the party's 0:13:50.920 --> 0:13:54.839 job to decide whom to support. McConnell also called the 0:13:54.920 --> 0:14:00.400 January sixth Capital Riot of violent insurrection. Menzie Jacobellis captured 0:14:00.440 --> 0:14:03.439 America's first gold medal of the Beijing Olympics in her 0:14:03.559 --> 0:14:07.160 snowboard cross final. The US has a total of seven medals, 0:14:07.160 --> 0:14:11.000 including five silvers. Norway and Sweden er time for gold 0:14:11.040 --> 0:14:15.080 medals at four piece. Russia has the most overall medals 0:14:15.080 --> 0:14:18.000 at ten. In the NBA, the next lost the Celtics 0:14:18.080 --> 0:14:22.760 beat the Nats one one in the NHL. The Devil's won, 0:14:22.800 --> 0:14:25.920 the Bruins and Capitals lost. Global News twenty four hours 0:14:25.920 --> 0:14:28.440 a day on a ran on Bloomberg quick Take, powered 0:14:28.440 --> 0:14:31.560 by more than twenty seven hundred journalists and analysts more 0:14:31.560 --> 0:14:35.640 than a hundred twenty countries. I'm Michael Barr. This is Bloomberg. Nathan. Okay, Michael, 0:14:35.640 --> 0:14:37.880 thank you. It's five nineteen on Wall Street Live from 0:14:37.880 --> 0:14:41.440 the Bloomberg Interactive Brokers studios. This is Bloomberg Daybreak. We're 0:14:41.520 --> 0:14:43.920 very pleased to be joined this morning by Bloomberg Markets 0:14:44.000 --> 0:14:48.920 editor Christina Kino. As we see UH buying across the board. Christine, 0:14:48.960 --> 0:14:53.640 good morning, stocks getting to lift, Bond yields are falling. Now. 0:14:53.680 --> 0:14:55.920 Do you think the bond sell off is kind of 0:14:55.920 --> 0:14:59.000 found a range at this point? Yes, only feels like 0:14:59.440 --> 0:15:02.720 that's ethan at least in the short term. Though, given 0:15:02.720 --> 0:15:04.760 the price of action that we've seen over the last 0:15:04.760 --> 0:15:07.160 couple of weeks, if I were an investor, it would 0:15:07.160 --> 0:15:09.920 be difficult for me to trust this. UM. I don't 0:15:09.920 --> 0:15:12.200 know that we're out of the woods just yet, especially 0:15:12.240 --> 0:15:14.920 with UM the big US CPI data coming tomorrow, but 0:15:14.960 --> 0:15:17.760 certainly for today, it seems like the theme is a 0:15:17.800 --> 0:15:22.120 breather in bond markets. Yeah, especially on the long end, 0:15:22.160 --> 0:15:24.800 getting a big bid this morning for the thirty year. 0:15:24.880 --> 0:15:28.480 What's behind that, do you think? Well, certainly feels a 0:15:28.560 --> 0:15:32.680 bit like a consolidation, if you will, because that part 0:15:32.760 --> 0:15:36.080 of the treasury curve has certainly born the brunt of 0:15:36.160 --> 0:15:38.920 the sell off that we saw over the last couple 0:15:38.920 --> 0:15:41.760 of weeks after we heard from the FEDS hawkish pivot, 0:15:42.160 --> 0:15:45.520 and um other center banks followed through it. Certainly, the 0:15:46.640 --> 0:15:49.680 trade in vogue was short duration. We kept hearing that 0:15:49.840 --> 0:15:52.480 from a lot of investors over the last few weeks. 0:15:52.480 --> 0:15:54.880 And so on a day like today, when everything is 0:15:54.920 --> 0:15:58.479 reversing just a little bit and there's this feeling of consolidation, 0:15:58.880 --> 0:16:02.440 you would expect some of those longer and treasuries and 0:16:02.440 --> 0:16:04.600 and parts of the bond market to be the first 0:16:04.600 --> 0:16:07.600 ones in line for a bit of a rebound, at 0:16:07.640 --> 0:16:10.000 least on a day. But as you mentioned, this could 0:16:10.040 --> 0:16:13.560 be a consolidation for now. Because you allude to the 0:16:13.680 --> 0:16:16.800 CPI data, the inflation print that we're going to get tomorrow. 0:16:16.800 --> 0:16:20.040 From the investors that you're speaking to, what's their expectation 0:16:20.080 --> 0:16:22.640 about the kind of volatility we could see once we 0:16:22.680 --> 0:16:27.280 get hard numbers on the latest account on inflation. Well, 0:16:27.320 --> 0:16:31.240 there's certainly a feeling of investors bracing for any sort 0:16:31.280 --> 0:16:34.400 of risk that could come out there, whether it's a 0:16:34.440 --> 0:16:37.720 bit of a disappointment from that number or um if 0:16:37.760 --> 0:16:41.240 it surprises even more to the upside. And I think 0:16:41.240 --> 0:16:44.840 what we really have seen in bond markets, especially this year, 0:16:45.040 --> 0:16:47.880 is that it's the return of two way risk. You know, 0:16:47.960 --> 0:16:51.040 it doesn't just go one direction anymore, which is what 0:16:51.120 --> 0:16:53.920 we saw over the past decade because center banks just 0:16:54.080 --> 0:16:58.640 keep just kept buying bonds across the globe. But now 0:16:58.880 --> 0:17:02.040 that environment has changed very much, and so we're certainly 0:17:02.240 --> 0:17:05.760 seeing more of this sort of double direction, if you will, 0:17:05.880 --> 0:17:08.760 in in bond yields. And and that's certainly something that's 0:17:08.960 --> 0:17:11.840 you know, as as evidence like today's UM a pullback 0:17:11.880 --> 0:17:14.760 in yields after a couple of days of of climbing. Yeah, 0:17:14.800 --> 0:17:17.159 we've heard quite a bit of commentary about whether the 0:17:17.200 --> 0:17:19.760 tigure could climb as high as two and a half, 0:17:19.800 --> 0:17:23.560 maybe even three percent based on what the FED does. 0:17:24.480 --> 0:17:28.480 What's the expectation on where the FED could go from here, 0:17:28.520 --> 0:17:31.480 particularly with that March meeting coming up next month, and 0:17:31.560 --> 0:17:33.280 so much to talk about whether there's going to be 0:17:33.680 --> 0:17:37.359 not just a quarter percent rate hike, but maybe a 0:17:37.359 --> 0:17:41.120 half percent. Absolutely, I think we're calling that a supersized 0:17:41.200 --> 0:17:44.879 rate hike in March. UM, you know, I think that 0:17:45.000 --> 0:17:47.840 still is very much part of the discussion and certainly 0:17:47.960 --> 0:17:50.800 something that investors are keeping half an eye on. But 0:17:51.040 --> 0:17:53.000 I have to say, just looking at some of the 0:17:53.320 --> 0:17:56.080 market pricing over the last couple of days, it has 0:17:56.119 --> 0:17:58.119 lost a little bit of steam just in terms of 0:17:58.119 --> 0:18:02.520 what's built into traders expectations. And I think that's partly 0:18:02.520 --> 0:18:04.920 why we're seeing a bit of relief for bonds here, 0:18:05.000 --> 0:18:07.640 because you know, as a lot of investors have noted 0:18:07.800 --> 0:18:11.000 the pricing and just the expectation for the Fed and 0:18:11.080 --> 0:18:13.720 Arther Central Banks to really get in on a rate 0:18:13.800 --> 0:18:17.200 hiking cycle that really hit fever pitch, you know, UM 0:18:17.600 --> 0:18:20.920 over the last a few days and weeks of January 0:18:20.960 --> 0:18:24.480 and heading into February. And so now that the markets 0:18:24.480 --> 0:18:27.879 have kind of gotten that into um its system and 0:18:28.240 --> 0:18:30.960 price some of those in, there's really only so much 0:18:31.000 --> 0:18:32.960 you can price, and so now that we're waiting for 0:18:33.000 --> 0:18:35.280 the next input, which could come as soon as tomorrow 0:18:35.359 --> 0:18:37.919 from the inflation data. It makes a lot of sense 0:18:38.000 --> 0:18:40.359 for a bit of a pause there in our last 0:18:40.359 --> 0:18:42.359 minute here, Christine and I guess we're seeing some of 0:18:42.359 --> 0:18:45.600 that relief play out in the stock market as well 0:18:45.640 --> 0:18:48.520 as we get through earning season. It's been really interesting 0:18:48.560 --> 0:18:51.800 though to see how, you know, mrs on earnings have 0:18:51.920 --> 0:18:56.440 just been crushed while beats have gotten really outsized rewards 0:18:56.440 --> 0:18:59.879 in this cycle. Absolutely, Nathan and I think that is 0:19:00.160 --> 0:19:04.639 very much investors really looking at the fundamentals of individual 0:19:04.680 --> 0:19:08.840 companies and seeing can they withstand this environment of less 0:19:08.840 --> 0:19:11.359 support from central banks and in the Federal Reserve and 0:19:11.760 --> 0:19:15.000 rising rates. And there has been such a focus on 0:19:15.520 --> 0:19:21.440 um individual companies fundamentals because the question is can corporates 0:19:21.480 --> 0:19:26.160 really uh standard their own and have their own merits 0:19:26.240 --> 0:19:28.920 and and capitalize on that despite the fact that they're 0:19:28.920 --> 0:19:31.720 not going to be in as supportive of an environment 0:19:31.840 --> 0:19:34.159 as they have been in the past decade. Good to 0:19:34.200 --> 0:19:35.840 have you on with us, Christine, Thanks for being here. 0:19:35.920 --> 0:19:39.920 Christina Keno, Bloomberg Markets Editor with us this morning as 0:19:40.040 --> 0:19:43.920 we watch assets climb pretty much across the board really 0:19:43.960 --> 0:19:46.800 with SMP futures right now up thirty four point Staff 0:19:46.840 --> 0:19:50.800 futures up two hundred sixteen. NASTAC futures are higher by 0:19:50.880 --> 0:19:53.399 a hundred thirty seven points. The tenure treasury is up 0:19:53.440 --> 0:19:57.160 eleven thirty seconds, the yield one point nine the yield 0:19:57.160 --> 0:19:58.960 on the two year one point three two, and the 0:19:59.000 --> 0:20:01.560 thirty year yield right now two point to one percent. 0:20:02.080 --> 0:20:09.200 You're listening to Bloomberg Daybreak Bloomberg eleven three oh weather sunshine, 0:20:09.200 --> 0:20:12.040 low forties today partly the mostly sunny Tomorrow opper forties 0:20:12.080 --> 0:20:14.840 could hit fifty on Friday under mix of sun and clouds. 0:20:14.920 --> 0:20:18.240 Right now, it's thirty under a clear sky in Central Park. 0:20:22.320 --> 0:20:26.840 Broadcasting live from the Bloomberg Interactive Broker Studio in New York. 0:20:26.960 --> 0:20:30.400 Bloomberg E Living free to Washington, d C, Bloomberg ninety 0:20:30.720 --> 0:20:34.280 one to Boston, Bloomberg one O six one to San Francisco, 0:20:34.359 --> 0:20:37.800 Bloomberg N sixteen to the country, Sirius XM CHADO one 0:20:37.840 --> 0:20:40.800 nine team, and around the globe the Bloomberg Business apt 0:20:40.920 --> 0:20:50.680 in Bloomberg Radio dot Com. This is Bloomberg Daybreak. It's 0:20:50.720 --> 0:20:53.240 by thirty on Wall Street. Good morning. I'm Nathan Hagril 0:20:53.480 --> 0:20:56.000 and I'm Kert Moscow, and we're just about four hours 0:20:56.040 --> 0:20:58.080 away from the open of US trading. Let's get you 0:20:58.160 --> 0:20:59.399 have to date of the news. You need to know 0:20:59.440 --> 0:21:01.800 what this our Our global stocks are rising as to 0:21:01.880 --> 0:21:05.080 sell off in bonds hits pause, tending your treasury yields 0:21:05.080 --> 0:21:07.879 are retreating after US stocks staged a late rally and 0:21:08.000 --> 0:21:12.960 yesterday's session again more from a Bloomberg Markets reporter, Christina Kino, 0:21:13.240 --> 0:21:15.480 I think we are starting to see signs of the 0:21:15.520 --> 0:21:19.080 sell off, at least pausing, if not completely stopping. Definitely 0:21:19.119 --> 0:21:21.400 today there's this feel of a bit of a pullback, 0:21:21.440 --> 0:21:24.840 perhaps um heaving ahead of the CBI number in the 0:21:24.960 --> 0:21:28.120 US tomorrow. That's gonna be the next big one probably. 0:21:28.640 --> 0:21:31.960 And Bloomberg's Christina Quino says technology stocks are leading gains 0:21:31.960 --> 0:21:34.639 in Europe and right now SNP futures are up thirty 0:21:34.640 --> 0:21:37.800 three points. Earnings are once again in focus today. Karen 0:21:37.880 --> 0:21:41.399 Disney leads fifteen companies reporting meantime shares of lift Or 0:21:41.440 --> 0:21:44.520 down almost four percent. The company reported fewer writers than 0:21:44.560 --> 0:21:48.000 expected in the fourth quarter as the omicron very curbed travel. 0:21:48.400 --> 0:21:51.200 Now we turn to geopolitics and the latest on Russia. 0:21:51.240 --> 0:21:54.840 That Kremlin continues to deny any intention to invade Ukraine. 0:21:55.040 --> 0:21:58.119 Congress is split on whether to sanction Moscow sent a. 0:21:58.200 --> 0:22:01.520 Republican leader Mitch McConnell is skeptical it would be effective, 0:22:01.600 --> 0:22:05.440 but Democrats, like Virginia Congress Sloman Abigail Spenberger, says it's 0:22:05.440 --> 0:22:09.440 a viable option. We should be ready for any possible contingency. 0:22:09.520 --> 0:22:11.800 We should be ready to punch as hard as we 0:22:11.880 --> 0:22:14.639 can as it relates to sanctions at whatever point in 0:22:14.680 --> 0:22:18.120 time we decide to move in that direction. Virginia congressom 0:22:18.200 --> 0:22:21.600 and Abigail Spenberger spoke with our Washington corresponded Joe Matthew 0:22:21.640 --> 0:22:24.880 on Bloomberg Sound On. Catch the program weekdays at five 0:22:24.880 --> 0:22:28.080 pm Eastern on Bloomberg Radio. The White House. Today, Karen, 0:22:28.160 --> 0:22:31.360 we see a fresh push to promote President Biden's economic agenda. 0:22:31.400 --> 0:22:33.840 He will meet with leaders of the nation's largest utility 0:22:33.880 --> 0:22:36.239