Speaker 1: Live from the Bloomberg Interactive Brookers Studios. Is Bloomberg Day
Speaker 1: Right for Tuesday, January three, three Coming up, The shower
Speaker 1: Stocks kickoff the new year with games after a dismal
Speaker 1: I M. F. Lawrence. A third of the world economy
Speaker 1: to be in recession this year. China's Hi Jin Pink
Speaker 1: says tough challenges remain in the country's fight against COVID.
Speaker 1: Tesla delivers fewer vehicles that expected in the fourth quarter.
Speaker 1: The man charged with shooting up a New York subway
Speaker 1: car will be in court. Plus, Brazilian authorities are reopening
Speaker 1: a fraud case against Representative Alex Santos. I'm Michael bar
Speaker 1: More a half. I'm John Statward Sports with Nixon. Next
Speaker 1: one The Bills Bengals game postponed after a Buffalo player
Speaker 1: went into cardiac arrest. That's all straight Ahead on Bloomberg
Speaker 1: Day Break on Bloomberg eleven, TREEO, New York, Bloomberg N one, Washington,
Speaker 1: d C, Bloomberg one oh six one, Boston, Bloomberg nine sixty,
Speaker 1: San Francisco, Sirius x M one nine Team, and around
Speaker 1: the world on Bloomberg Radio dot Com and via the
Speaker 1: Bloomberg Business A good morning. I'm Nathan Hagar and I'm
Speaker 1: Karen Moscow and the West Dock Index futures are on
Speaker 1: the rise this morning. We checked the markets all day
Speaker 1: long here on Bloomberg and SMP futures up thirty six points,
Speaker 1: or nine tens of upper CENTDAL futures up eight tens
Speaker 1: of upper cent or two hundred seventy eight points. And
Speaker 1: now's deck futures are up one point one per cent
Speaker 1: or a hundred nineteen points. Ten year Treasury up one
Speaker 1: in three thirties seconds. You have three point seven four percent.
Speaker 1: They yield on the two year four point three four percent,
Speaker 1: and NIMEX screwed oil is down one point six percent,
Speaker 1: down a dollar twenty five at seventy nine dollars two
Speaker 1: cents a barrel. Nathan, all right, Karen, let's stay with
Speaker 1: these markets as we kick off the new year. Investors
Speaker 1: seem to be glad two is in the rear view Bloomberg.
Speaker 1: Steve Rappaport joins US Live with more. Good morning, Steve,
Speaker 1: Good morning, Nathan and Karen. Wall Street futures point to
Speaker 1: a higher opening as investors cautiously ringing the new trading year.
Speaker 1: They're keeping a close eye on global equities having lost
Speaker 1: key percent in value after sharp swings last year. Then
Speaker 1: there's the dreaded eye word in what to do about it?
Speaker 1: Traders worried the Federal Reserve and other central banks might
Speaker 1: be willing to risk a recession to bring down inflation
Speaker 1: that remains stubbornly high. We'll get a better look at
Speaker 1: the FIDS thinking tomorrow when policymakers released notes from their
Speaker 1: latest meeting. Live in New York Times, Steve rep report
Speaker 1: Bloomberg daybreak. All right, Steve, thank you. I was the
Speaker 1: first day of trading for stocks in London and let's
Speaker 1: get the latest from Bloombergy daybreaking. Europe Banker Stephen Carroll,
Speaker 1: Good morning, Stephen, Good morning, Karen and Nathan. The London
Speaker 1: market joining in that new year rally. Shares in the
Speaker 1: foot one hundred up two point three percent two hours
Speaker 1: into the trading session. The top performers on the British
Speaker 1: market include the food delivery service at Cado, British Airways
Speaker 1: owner I A G, as well as the oil majors
Speaker 1: BP and Shell. We've got a second day of gains
Speaker 1: across other European markets. The stocks six one point eight percent,
Speaker 1: the Carronton Paris and the Jackson Frankfort both at one
Speaker 1: point four percent. Best performing sector travel and leisure shares
Speaker 1: currently up over three percent. Are people planning New Year's
Speaker 1: holidays in London. I'm Stephen Carroll Bloomer, daybreak. Okay, Stephen,
Speaker 1: thanks And while we are watching the markets, were also
Speaker 1: keeping an eye on a serious story in sports this morning.
Speaker 1: A safety for the Buffalo Bills suffered a cardiac arrest
Speaker 1: during last night's game with the Cincinnati Bengals, and John
Speaker 1: stash Hours here live with the details. John and Nathan
Speaker 1: to mar Hamlin, only twenty four years old. He made
Speaker 1: a tackle in the Bill's game against the Bengals and
Speaker 1: then collapse, having gone into cardiac arrest. CPR was administered,
Speaker 1: They restored his heartbeat, and Hamlet this morning is in
Speaker 1: a Cincinnati hospital, said to me, sedated, with his vital
Speaker 1: signs back to normal, but he is listed in critical condition.
Speaker 1: The game was postponed. No word yet on his resumption.
Speaker 1: John Stashward Bloomberg, debreak. All right, John, thank you, and
Speaker 1: of course I'll have more in that story coming up
Speaker 1: in our sports report. But first let's turn to the
Speaker 1: COVID outbreak in China. President Chi Jim Ping says the
Speaker 1: country is moving into a new phase and its COVID
Speaker 1: pivot and his New Year address, President she warn't of
Speaker 1: hard times ahead Chunk with extraordinary efforts, China has revailed
Speaker 1: over unprecedented difficulties and challenges. That has not been an
Speaker 1: easy journey for anyone. We have now entered a new
Speaker 1: phase of COVID response where tough challenges remain. Chinese President
Speaker 1: She's in pain, did not acknowledge recent protests over COVID directly,
Speaker 1: but did say it's only natural for people to have
Speaker 1: different concerns and views on issues. No, President, She's not
Speaker 1: the only one seeing tough times a Headcaren i am
Speaker 1: F Managing Director Kristine and Georgieva's issuing a warning on
Speaker 1: the global economy. She says one third of the world
Speaker 1: will be in recession this year. We expect one third
Speaker 1: of the word economy to be in recession. For most
Speaker 1: of the world economy. This is going to be a toughier,
Speaker 1: tougher than there we leave behind. Why because the three
Speaker 1: big economies US, EU, China are all slowing down simultaneously.
Speaker 1: I'm F Managing director Crystalline and Georgieva spoke on Face
Speaker 1: the Nation from CBS. Catch the program every Sunday on
Speaker 1: Bloomberg Radio. Meantime in Washington, Nathan, a new Congress is
Speaker 1: seated today. That means it's time to select a new
Speaker 1: Speaker of the House, but as Bloomberg's Sad Bacheter reports,
Speaker 1: this is not expected to be a coronation. Kevin McCarthy's
Speaker 1: chances remain in doubt. With the Republicans only holding a
Speaker 1: slender majority in the new House. McCarthy cannot lose more
Speaker 1: than four GOP votes in his bid, and the latest
Speaker 1: talies have more than that not committed to him, and
Speaker 1: two have already said there is nothing that McCarthy can
Speaker 1: do to get their votes. Coming out of meetings held
Speaker 1: over the weekend, predictions of multiple rounds with fierce negotiation
Speaker 1: going on in the interim. McCarthy has been endorsed by
Speaker 1: Donald Trump, which complicates things for the GOP with a
Speaker 1: good number of the party trying to move away from Trump.
Speaker 1: In San Francisco, I'm at Baxter Bloomberg Daybreak. All right,
Speaker 1: and thanks. Turning to corporate news this morning, we're seeing
Speaker 1: more downbeat data from Tesla. The shares are down almost
Speaker 1: three percent in early trading after the company delivered fewer
Speaker 1: vehicles than expected in the fourth quarter. Bloomberg's Doug Krisner
Speaker 1: has the story. Worldwide deliveries total four hundred five thousand,
Speaker 1: two hundred seventy eight, but that miss the average Bloomberg
Speaker 1: estimate by more than fifteen thousand cars. Nonetheless, the quarterly
Speaker 1: figure is a record. CEO Elon Musk had predicted an
Speaker 1: epic end to the year. To clear inventory, Tesla offered
Speaker 1: discounts of seventy five hundred dollars to US consumers who
Speaker 1: took delivery in the final days of December. Well Now
Speaker 1: Tesla is offering incentives in China. Chinese buyers will get
Speaker 1: the equivalent of fourteen hundred fifty dollars on certain models
Speaker 1: if they take delivery by February. In New York on
Speaker 1: Deck Prisoner Bloomberg daybreak, all right, thank you all. One
Speaker 1: of Most's other companies is also in the spotlight this morning.
Speaker 1: According to c NBC, SpaceX is raising seven hundred fifty
Speaker 1: million dollars in new funding that values the company at
Speaker 1: a hundred thirty seven billion dollars. The network says, and
Speaker 1: recent Horowitz will likely leave the new funding futures again
Speaker 1: moving higher. SNP futures up thirty five points or nine
Speaker 1: tenths of upper cent and straight ahead your latest local headlines,
Speaker 1: plus a check of sports and this is Bloomberg. Thankscaring
Speaker 1: six oh seven on Wall streett degrees in Central Parkcot
Speaker 1: showers the vicinity and expecting rain for much of the
Speaker 1: day with highs in the upper fifties and mid fifties
Speaker 1: for lows. Tonight. Michael Barr is here with more on
Speaker 1: what's going on in New York and around the world.
Speaker 1: Good morning, Michael, Good morning Nathan. Prosecutors want a decade's
Speaker 1: long prison sentence for a man who is expected to
Speaker 1: plead guilty to opening fire on the subway car and
Speaker 1: wounding ten riders in New York City. Frank James as
Speaker 1: scheduled to enter a guilty plea today in Brooklyn Federal Court,
Speaker 1: admitting that he was responsible for the April twelfth attack.
Speaker 1: It set off a massive thirty hour man hunt that
Speaker 1: ended when the sixty three year old called the police
Speaker 1: on himself. Brazilian authorities planned to revive an old criminal
Speaker 1: case on fraud charges against George Santos, the Long Island
Speaker 1: representative eluct takes his seat in Congress today. The Prosecutor's
Speaker 1: office and Rio di Janeiro said the case against Santos
Speaker 1: stems from a two thousand eight incident regarding a stolen checkbook.
Speaker 1: Police in Pennsylvania said the man who shot and killed
Speaker 1: the police officer in Brackenridge has been shot and then
Speaker 1: he was then shot by Pittsburgh Police. Aaron Lamott Swan,
Speaker 1: who was twenty eight, was wanted for a parole violation
Speaker 1: and fled from a traffic stop. Alleghanty County Police Superintendent
Speaker 1: Christopher kerns there was a car chase. The suspect crashed
Speaker 1: the car and fled into the woods. The officers quickly
Speaker 1: formed a perimeter. While former the perimeter, the suspect ran
Speaker 1: from the wooded area. While fleeing from the officers, the
Speaker 1: suspect fired at the officers. Christopher Kerns with the Alleghany
Speaker 1: County Police says Chief Justin McIntire, who was killed, was
Speaker 1: the definition of a community officer. A suspect in the
Speaker 1: New Year's Eve machete attack on three New York City
Speaker 1: police officers near Times Square, it's been arrested and charged
Speaker 1: with attempted murder. Police identified him as a nineteen year
Speaker 1: old Trevor Bickford of Wells Main. Retired NYPD Chief of
Speaker 1: Detectives Robert boy says the heavy police presence on New
Speaker 1: Year's Eve is usually a successful deterrent. Of course, this
Speaker 1: is our biggest deployment of the year in New Years. Say,
Speaker 1: we have the most officers out there. We have we
Speaker 1: have all kinds of frozen zones and to find rids.
Speaker 1: It's not unusual at all to have several thousands place
Speaker 1: hops sport and that night, so we haven't had this
Speaker 1: for a while. During the attack, one of the three
Speaker 1: officers shot and moon did the suspect in the shoulder.
Speaker 1: Global News twenty four hours a day on air and
Speaker 1: on Bloomberg Quick Take, powered by more than twenty seven
Speaker 1: hundred journalists and analysts more than one twenty countries. I'm
Speaker 1: Michael Barr and this is Bloomberg Nathan. Okay, Michael, thank
Speaker 1: you six o nine on Wall straight time for the
Speaker 1: Bloomberg Sports Update. Brompt you by try state Outie and
Speaker 1: John stanshours back to us. Nathan. It was to be
Speaker 1: a big game between two of the NFL's best teams,
Speaker 1: but in the first quarter, outcome of the football game
Speaker 1: seems awfully insignificant. Buffalo safety Damar Hamlin made a tackle
Speaker 1: that up for a couple of seconds and then fell backwards.
Speaker 1: It was clear this was not a normal injury. He
Speaker 1: had gone into cardiac arrest rec CPR and oxygen. They
Speaker 1: were able on the field to have his heartbeat restored,
Speaker 1: but Hamlin is now in a Cincinnati hospital listed in
Speaker 1: critical condition. At one point there was talking resumed in
Speaker 1: the game. The NFL later said that was a false report.
Speaker 1: It was an hour and a half before the game
Speaker 1: was officially postponed. Bills flew back to Buffalo. The NFL
Speaker 1: has not said when the game will be resumed. They
Speaker 1: played four bowl games. Pence State pulled away on Utah
Speaker 1: to when the Rose LSU took the Citrus sixty three
Speaker 1: to seven over Purdue. Mississippi State won it's bowl game
Speaker 1: for coach Mike Leach. You recently passed away and an
Speaker 1: amazing Cotton Bowl went for two lane trailed USC by
Speaker 1: fifteen was just over four minutes left to its first league.
Speaker 1: With nine seconds left, two lane one forty six foot
Speaker 1: and five Nick's back at the Guard held Phoenix only
Speaker 1: eleven first quarter points, beat the cold shooting Suns one
Speaker 1: oh two to eighty three. Twelfth straight win for the
Speaker 1: Nets to blow out of San Antonio at Barkley's one
Speaker 1: thirty nine to one oh three and Cleveland's over time,
Speaker 1: what over Chicago, the Cavs Donovan Mitchell scored seventy one
Speaker 1: point most of the NBA SS Kobe Bryant's any one
Speaker 1: point game in two thousand six, a year after Ruptors
Speaker 1: stunt number one rank per Dow, it happened again, this
Speaker 1: time on the road Scarlet Knights sixty four outdoor hockey
Speaker 1: on usually warm New Year's Day in Boston, the Bruins
Speaker 1: beat Pittsburgh to the one they had to sell out
Speaker 1: crowd at ben Way Park. John Stactually Bloomberg Sports Nathan
Speaker 1: all Right, John, thank you, and the Bloomberg Sports Report
Speaker 1: was brought to you by Audie. Don't let someone else
Speaker 1: drive off in the Outie model you've always wanted. Visit
Speaker 1: your local Trice State autie dealer to get behind the
Speaker 1: wheel of yours today, or visit Outie Offers dot com
Speaker 1: for more information. SMP futures right now of thirty two
Speaker 1: points down futures of tune to fifty one NASTAC futures
Speaker 1: are hired by a hundred nine points ten year treasuries
Speaker 1: up one and three thirty seconds. The yield three point
Speaker 1: seven four percent. Yield on the two year right now
Speaker 1: four point three five percent. You're listening to Bloomberg Daybreak
Speaker 1: live from coast to coast, from New York to San Francisco,
Speaker 1: Boston to Washington, d C. Nationwide on Sirius xamp, the
Speaker 1: Bloomberg Business app, and Bloomberg dot Com. This is Bloomberg Daybreak.
Speaker 1: Good morning and happy New Year, Nathan Hagar and we
Speaker 1: want to get more now on the situation in China,
Speaker 1: something we continue to follow very closely. As we kick
Speaker 1: off three, President Shi Jinping is now warning of tough
Speaker 1: times ahead in his country's fight against COVID nineteen. He
Speaker 1: said that in an address to his nation to mark
Speaker 1: the new year. At the same time, we do see
Speaker 1: some signs of optimism, that infections may have peaked in
Speaker 1: some parts of the country, and that the Chinese economy
Speaker 1: may be showing signs that it's starting to get a
Speaker 1: bit of a lift. Let's bring in Bloomberg Chief Asia
Speaker 1: Economics correspondent and occurrent to get more on the unfolding
Speaker 1: situation in China and a good morning, happy New Year
Speaker 1: to you. What does President She's New Year's address tell
Speaker 1: you about the you approach the COVID in China? Are
Speaker 1: we getting a sense now that zero tolerance really is
Speaker 1: now fully a thing of the past. It's telling if
Speaker 1: that China has moved away from over zero is happening
Speaker 1: at a much faster pace than anyone could have anticipated.
Speaker 1: We are seeing, though, however, a bigger economics ship than
Speaker 1: money economists had anticipated when these when the relaxation that
Speaker 1: measures was first announced. So we had some p m
Speaker 1: I data over the weekend showing the hit to the
Speaker 1: manufacturing and service inside in December was bigger than anticipated.
Speaker 1: In particular, services took its biggest hits in every twenty
Speaker 1: when the pandemic was getting on the way, and that
Speaker 1: makes of course, as we know, the hit it's in
Speaker 1: confidence consumer spending and the broader hit to industrial production
Speaker 1: in China. Sore you comments from President Choosing things do
Speaker 1: seem to under underscore the idea that the top of
Speaker 1: the party believes that they can navigate their way out
Speaker 1: of this. Of course, our colleagues are reporting a significant
Speaker 1: impact on public health across China. Put to your point,
Speaker 1: there are there are also some very tentative early signs
Speaker 1: that perhaps the diseased outbreak is peaking in at least
Speaker 1: some major cities at least, so the leadership may be
Speaker 1: signaling that it sees a way to navigate this situation.
Speaker 1: What do economists think about the outlook for China in three?
Speaker 1: Are they starting to reassess their projections given the disappointing
Speaker 1: data we've gotten in recent days. I think the assessments
Speaker 1: are being recessed on an almost daily basis Natan, I mean,
Speaker 1: obviously number one is the public health crisis. China has
Speaker 1: to navigate that. But when you look at the eccom
Speaker 1: excite of it, as you mentioned earlier, we're getting some
Speaker 1: high frequency readings. Now, is that subway usage, for example,
Speaker 1: in some major cities, including Baking, is actually picking up
Speaker 1: And and as you're saying, that's pointing to perhaps greater
Speaker 1: conference among consumers to get out and the bous the
Speaker 1: health experts, it might be pointing to a peak in
Speaker 1: the level of infections. So if and when trying to
Speaker 1: gets through the house side of it, and don't forget
Speaker 1: by the way, they first have to navigate the lunar
Speaker 1: New Year holiday it's coming up here in a couple
Speaker 1: of weeks. Then there is expected to be something of
Speaker 1: a growth dividend for the economy. Consumers get motoring again,
Speaker 1: tourists get spending and traveling both domestically, and of course
Speaker 1: they will go to the rest of the world. Twoe again.
Speaker 1: The real estate it's like they're in China, will get
Speaker 1: a bit of a lift if ippos of all constiens
Speaker 1: to get out about by property. So when you add
Speaker 1: it up, there's expected to be something of a recovery,
Speaker 1: maybe even a sharp recovery and challenge economies from the
Speaker 1: middle of saying this year. But as I mentioned, there
Speaker 1: are other headwinds happening at month as well. Global demand
Speaker 1: for Chinese made goods and pretty weeks gets weighing on
Speaker 1: exporters and I will take a lot, of course to
Speaker 1: turn around the real estate slump, but nonetheless the existing
Speaker 1: covered zero. It's proven to be quite chaotic, but at
Speaker 1: the same time, ultimately it is expected to blend itself
Speaker 1: forward and recovering economy in China. Did you mentioned the
Speaker 1: Chinese New Year, the Lunar New Year, It'll be interesting
Speaker 1: to see what kind of catalysts that could provide in
Speaker 1: terms of what the outlook is going to be for
Speaker 1: China going forward. Even further, what what's the signal that
Speaker 1: you expect to see from the Lunar New Year given
Speaker 1: potential trepidations among the Chinese people about how the COVID
Speaker 1: situation could unfold, Well, exactly makes and I mean Lunar
Speaker 1: New Year is the Christmas for China. Think about it
Speaker 1: that way. So this is a huge migration when everybody
Speaker 1: goes home to see their family. So again you have
Speaker 1: to look at it through the public health lends. Number one.
Speaker 1: A lot of animals are saying it will probably mean
Speaker 1: bigger and faster spread of the disease in rural and
Speaker 1: the regional China. And of course that pressure is the hospitals,
Speaker 1: and that's does exactly lend itself towards boy and consumer confidence.
Speaker 1: But again providing the authorities can navigate that by minimizing
Speaker 1: the health effect. The thinking is that you know, the
Speaker 1: more China starts to simon, don feed and adjust to
Speaker 1: life with COVID, the more it will lend itself to
Speaker 1: a more normalizing economy in terms of work practices we're
Speaker 1: seeing from times at the industrial e thank is getting
Speaker 1: back on speed already. For example, the the Apple, the
Speaker 1: big Apple plant, the iPhone city as it's known, is
Speaker 1: back towards production that people are closely watching for signs
Speaker 1: of recovering and supply chains which just seems to be
Speaker 1: happening at the moment. And as I mentioned to you,
Speaker 1: the more tonic and adjusting with the more we will
Speaker 1: lend itself towards a normalizing consumer and normalizing industrial dates
Speaker 1: and of course that will end itself towards a more
Speaker 1: productive Chinese economy. Yeah, we're still very every We're still
Speaker 1: very early in this stat and I think coming weeks
Speaker 1: and months they're going through offer a lot of clarity
Speaker 1: on absolutely. Thanks for this as always and great to
Speaker 1: have you on with us and the current chief Asia
Speaker 1: Economics correspondent for Bloomberg News. Looking at the offshore you on,
Speaker 1: it is strengthening slightly against the dollar at six point
Speaker 1: nine two three two, and futures are higher on this
Speaker 1: first trading day of twenty three. This is Bloomberg Markets
Speaker 1: headlines and breaking news twenty four hours a day at
Speaker 1: Bloomberg dot Com at Bloomberg Business Outland at Bloomberg Quick Tape.
Speaker 1: Please she's a Bloomberg Business lash and I'm Karen Moscow.
Speaker 1: And this updates brought to you by Innovation Refunds. This
Speaker 1: is your daily reminder from Innovation Refunds to apply for
Speaker 1: a payroll tax refund of your smaller medium sized business
Speaker 1: was impacted by COVID nineteen. Innovation Refunds clients already claimed
Speaker 1: over two billion dollars in payroll tax refunds. Gets started
Speaker 1: at get refunds dot com. And futures are higher this morning.
Speaker 1: We checked the markets all day long year on bloomberg
Speaker 1: s and P futures up thirty two points, up a
Speaker 1: tens of upper cent. Dal Future is up eight tens
Speaker 1: of upper center two hundred fifty six points. At madsday
Speaker 1: futures up one percent for one hundred eight points. The
Speaker 1: decks in Germany's up one at a quarter percent. Ten
Speaker 1: year treasury up one the yeld three point seven five
Speaker 1: percent a yell, then a two year four point three
Speaker 1: five percent. Nine nights screwed oil is down one point
Speaker 1: one percent on ninety one cents at seventy thirty five
Speaker 1: cents in barrel. Comic School is up seven tenths per center.
Speaker 1: Twolve dollars thirty cents at eighteen and thirty eight fifty
Speaker 1: announced the euro one point oh five to five against
Speaker 1: the dollar. British found one point one nine to three,
Speaker 1: and that's a Bloomberg business flash. Now here's Michael Barr
Speaker 1: with more on what's going on around the world. Michael Karen.
Speaker 1: Representative Kevin McCarthy's chances of becoming House Speaker remain endowed
Speaker 1: as Republicans formally take control of the Chamber today. McCarthy
Speaker 1: can't lose more than four GOP votes in his bid
Speaker 1: for speaker. In the NBA, the Knicks, Nets, Warriors, and
Speaker 1: Cavaliers won. Cleveland's Donovan Mitchell scored seventy one points. In hockey,
Speaker 1: the Bruins one Bill's defensive mac Tomar Hamlet is in
Speaker 1: critical condition after he suffered a cardiac arrest on the field.
Speaker 1: Monday nights game has been postponed against the Bengals. Funeral
Speaker 1: services take place today for soccer great Pele and Brazil,
Speaker 1: who died last week at age eighty two. Global News
Speaker 1: twenty four hour was a day on the RAN on
Speaker 1: Bloomberg Quick Take powered by more than twenty seven hundred
Speaker 1: journalist and antalyist more than a D twenty countries. Michael Barr,
Speaker 1: this is Bloomberg, all right, Michael, Thanks at six on
Speaker 1: Wall Street. I'm Nathan Hagar. This is Bloomberg day Break.
Speaker 1: We want to focus now in a couple of Elon
Speaker 1: Musk led companies that aren't Twitter. We're watching shares of
Speaker 1: Tesla this morning. They're down two and two thirds percent
Speaker 1: in early trading after the electric vehicle maker hit a
Speaker 1: new record for deliveries in its latest quarter, but uh
Speaker 1: still short of Wall Street estimates, and space X is
Speaker 1: reportedly entering a new fundraising round that would value the
Speaker 1: rocket company at a hundred thirty seven billion dollars. Let's
Speaker 1: bring in Alex Web for more on these stories. Bloomberg
Speaker 1: Quick Take correspondent and our go to guy for tech
Speaker 1: and in recent weeks all things Elon Musk related. Alex,
Speaker 1: Good morning. Great to have you with us on this
Speaker 1: first trading day of the new year. So a Tesla
Speaker 1: posted a new quarterly delivery record, but not enough to
Speaker 1: meet Wall Street or even I guess Elon us on expectations.
Speaker 1: Did he set the bar too high. Well, it's only
Speaker 1: seems so. They had um you know, the company and
Speaker 1: forecast expanding deliveries by they managed to expand it by
Speaker 1: about the target was the analyst consensus was four one
Speaker 1: thousand vehicles hit four hundred five thousand. That's even with
Speaker 1: some heavy discounting that came in. It speaks to the
Speaker 1: slowness in the automotive industry, and of course especially in
Speaker 1: electric vehicles where the price point tends to be quite
Speaker 1: a bit higher. So is this just a story about
Speaker 1: softening demand overall for automobiles at this point in the
Speaker 1: in the macroeconomic environment, or does this say something about
Speaker 1: Elon Musk's leadership. I mean, it's certainly there is a
Speaker 1: macro story here. The ability to pivot and um you know,
Speaker 1: still remain appealing as a stop to investors is going
Speaker 1: to be a big challenge here and says something about
Speaker 1: his dealership. If you look at the valuation of the Star,
Speaker 1: it has come down from a hundred forty times forward
Speaker 1: earnings multiple down to twenty three times forward earnings in
Speaker 1: the past twelve months, still a massive premium to the
Speaker 1: likes of Ford and g g M, which traded about
Speaker 1: six times their forward earning spokes bog and four times
Speaker 1: forward earnings. You know, so if you look about as
Speaker 1: a metric, it might have a long way to come,
Speaker 1: and Elon Musk has to try and do something to
Speaker 1: to pep it up again. Well, let's talk about this
Speaker 1: report that SpaceX is entering. You knew what is it?
Speaker 1: Seven or fifty million dollar fundraising round? I guess this
Speaker 1: is is from CNBC. Elon Musk had denied of similar
Speaker 1: report from Bloomberg last month. What do you make of
Speaker 1: this latest report. It's certainly looks as though he's unlikely
Speaker 1: to be taking the company public anytime soon, which had
Speaker 1: been something that people had mooted. It's obviously not a
Speaker 1: great time to take any company public right now. It
Speaker 1: does seem to corroborate Bloomberg's reporting. The valuations a little
Speaker 1: below the hundred forty billion dollars Bloomberger reported a month ago. Uh,
Speaker 1: it's the NBC reporting that it's a hundred and thirty
Speaker 1: seven billion dollars. The investors look like to be a
Speaker 1: sort of classic Elon most backers. Danient Horrowitz found a
Speaker 1: fans the choir, people who are generally quite close to
Speaker 1: him and his company's you know, it hasn't eat the capital.
Speaker 1: It's still investing in new projects, even though it is
Speaker 1: able to generate a decent revenue from from the project
Speaker 1: that it already has. This is an expanding company trying
Speaker 1: lots of exciting new things, all right, Alex Webb as
Speaker 1: always great to have young with us. Alex Webb, Bloomberg
Speaker 1: Quick Take correspondent and taking a look at Testla shares
Speaker 1: right now. Uh, they are down two point seven per cent,
Speaker 1: bucking the broader market. Futures are moving higher this morning.
Speaker 1: We've got to look at your top stories, local headlines,
Speaker 1: A fuller check of markets just ahead. First, let's bring
Speaker 1: in Bloomberg meteorologist Rob Carolin for a look at your
Speaker 1: weather forecast. Unsettled weather headed our way as an area
Speaker 1: of low pressure passes west of the region over the
Speaker 1: next twenty four hours. They'll be cloudy today, some rain
Speaker 1: will develop later in the morning. Mile today fifty five
Speaker 1: to sixty scattered showers and during the evening lose Tonight
Speaker 1: fifty or fifty five. Tomorrow looks like another round of
Speaker 1: rain moving through. High will be close to sixty a
Speaker 1: few showers. Thursday fifty to fifty five. I'm Rob Carolyn
Speaker 1: with your three day forecast on Bloomberg eleven three oh
Speaker 1: broadcasting live from the Bloomberg Interactive Broker Studio in New York.
Speaker 1: Bloomberg Eloving Freedom to Washington, d C, Bloomberg ninety nine
Speaker 1: one to Boston, Bloomberg on A six one to San Francisco,
Speaker 1: Bloomberg nine sixty to the country, Sirius XM Chado one
Speaker 1: nine and around the globe the Bloomberg Business app and
Speaker 1: Bloomberg Radio dot com. This is Bloomberg Daybreak coming up
Speaker 1: on six thirty on Wall Street. Good morning, I'm Nathan
Speaker 1: Hagger and I'm Karen Moscow. We're just about three hours
Speaker 1: away from the open of US trading. Time to the
Speaker 1: five things that you need to notice start your day.
Speaker 1: Brought to you by I d k R Investment Advisors
Speaker 1: switched to Interactive Brokers for lowest cost global trading and
Speaker 1: turnkey custody solutions, no ticket charges and no conflicts of
Speaker 1: your interests at I d k R dot com slash
Speaker 1: r i A first, you begin the trading year with
Speaker 1: gains for equities accompanied by on certain market sentiment. Bloomberg
Speaker 1: Rappaport joins us Live with that story, Steve, Good morning,
Speaker 1: Good morning, Karen and Nathan. Futures point to a good
Speaker 1: start for equities after they lost twenty percent in value
Speaker 1: during the tumultuous year. Investors are waiting into with uncertainty,
Speaker 1: but with that comes potential opportunity. I e Q Advisors
Speaker 1: co CEO Alan Zaffron, You should be slowly methodically buying
Speaker 1: into the weakness because inevitably the economy will bottom, the
Speaker 1: FED will pivot, people will look forward to much better
Speaker 1: growth in two thousand twenty four, and once that happens,
Speaker 1: Zaffron predicts, investors will be quote off to the races again.
Speaker 1: Live in New York. I'm Steve Rappaport, Bloomberg Daybreak. Alright, Steve. Thanks.
Speaker 1: Turning overseas, COVID remains front and center in China, President
Speaker 1: Shi Jin Ping says his country is moving into a
Speaker 1: new phase as it continues its COVID pivot. In the
Speaker 1: New Year address, she warned of hard times ahead. With
Speaker 1: extraordinary efforts, China has prevailed over unprecedented difficulties and challenges,
Speaker 1: and it has not been an easy journey for anyone.
Speaker 1: We have now entered a new phase of COVID response,
Speaker 1: where tough challenges remain in Chinese President Hijin Ping did
Speaker 1: not acknowledge recent protests over COVID directly, but he did
Speaker 1: say it's only natural for people who have different concerns
Speaker 1: and views on issues. Well Nathan I am F Managing
Speaker 1: Director Krystalina Georgieva also sees tough times ahead. She expects
Speaker 1: one through to the world to fall into recession this year.
Speaker 1: This is going to be a toughier, tougher than dear
Speaker 1: we leave behind. Why because the three bank economies US, EU,
Speaker 1: China are all flowing down. Hi MF Managing Director Krystallina Georgieva,
Speaker 1: speaking on CBS is Face the Nation Catch the program
Speaker 1: Sunday afternoons on Bloomberg Radio. Well, this will be a
Speaker 1: big day in DC, Karen, A new Congress will be
Speaker 1: seated and a new Speaker of the House selected, though
Speaker 1: the latter is expected to be a showdown. Kevin McCarthy
Speaker 1: was in line to be Speaker, but he can't afford
Speaker 1: to lose more than four Republican votes, and several Republican
Speaker 1: members still have not promised their support. If McCarthy is
Speaker 1: not elected, we could see a multi ballot vote to
Speaker 1: determine the next House speaker, and that hasn't happened since
Speaker 1: nine three. Well, Nathan, futures are higher this morning. SNP
Speaker 1: futures up thirty two points or eight tens of uppercent,
Speaker 1: Own futures up about eight tens of upper cent or
Speaker 1: two hundred fifty six points. And nowasday futures have one
Speaker 1: percent or one hundred eight points. The decks in Germany
Speaker 1: up one point three percent, and the ten year treasury
Speaker 1: is up one the yeld three point seven five percent,
Speaker 1: and they yield on a two year four point three
Speaker 1: five percent. And as the five things you need to
Speaker 1: notice start your day, brought to you by Interactive Brokers,
Speaker 1: your latest local headlines straight ahead. This is Bloomberg Thank
Speaker 1: You Card at six thirty one on Wall Street, and
Speaker 1: Michael Barre is here with what's going on in New
Speaker 1: York and around the world. Good morning, Michael, Good morning Nathan.
Speaker 1: George Santos, the Republican Congressman elect from New York, faces
Speaker 1: new legal trouble after he admitted lying about much of
Speaker 1: his resume. Prosecutors in Brazil now say that they are
Speaker 1: reopening a fraud case against Santos in connection with the
Speaker 1: stolen check used in the country back in two thousand
Speaker 1: and eight. The case was suspended until now because police
Speaker 1: cannot find Santos. A man facing first grade murder charges
Speaker 1: the murders of Ford University of Idaho students, is not
Speaker 1: expected to find extradition at a hearing today. In Pennsylvania,
Speaker 1: Brian Coberger was taken into custody late last week at
Speaker 1: his parents home in the Poconots. Law enforcement sources say
Speaker 1: forensic analysis allegedly linked him to the killings. C. C.
Speaker 1: Moore's an expert on DNA testing. In a very personal
Speaker 1: instimate violet crime like this one, it's virtually impossible not
Speaker 1: to leave your DNA behind. We have such sensitive equipment
Speaker 1: now you could leave behind touch DNA and that could
Speaker 1: be enough to perform this type of analysis, DNA expert
Speaker 1: CC moore. The man accused of shooting up a New
Speaker 1: York City subway in Brooklyn, is scheduled to plead guilty
Speaker 1: to federal terrorism charges. Frank James will appear in federal
Speaker 1: court this afternoon. Prosecutors say during the April twelfth attack,
Speaker 1: James set off smoke bombs before he opened fire on
Speaker 1: a train as it approached the Sunset Park station. At
Speaker 1: least twenty two people were injured after a car crashed
Speaker 1: into a building in Manhattan last night. The incident happened
Speaker 1: at the West two fourth Street in Broadway in wood
Speaker 1: Bar Grill. The Vatican estimated sixty five thousand people filed
Speaker 1: past the body of Pope Benedict yesterday lying in state.
Speaker 1: This Ukrainian mourner was there. Benedict died at a global
Speaker 1: news twenty four hours a day on errand on Bloomberg
Speaker 1: quick Take, powered by more than journalists and analysts more
Speaker 1: than a hundred twenty countries. Michael Barr, This is Bloomberg.
Speaker 1: Nathan all right, Michael, thanks six thirty three on Wall
Speaker 1: Street time for the Bloomberg Sports update, brought to you
Speaker 1: by tri State. Out of here again is John Statshow
Speaker 1: all right, Nathan. Buffalo Bill safety Damar Hamlin is in
Speaker 1: a Cincinnati hospital. He's listed in critical condition. His Bill's
Speaker 1: teammates are now back in Buffalo. It's not known when
Speaker 1: their game with the Bengals will resume. It happened in
Speaker 1: the first quarter at catched by the Bengals Tee Higgins
Speaker 1: and a tackle made by the twenty four year old Hamlin,
Speaker 1: who stood up but then fell backwards. He had gone
Speaker 1: into cardiac ar s CPR was given and his heartbeat
Speaker 1: was restored on the field. It took sixteen minutes before
Speaker 1: Hamlin finally left the field in an ambulance, and it
Speaker 1: was clear that neither team was in any kind of
Speaker 1: a mood to be able to continue playing the game,
Speaker 1: which was a big one of the a sc standing,
Speaker 1: so it was postponed. Season finale. Sunday for the Jets,
Speaker 1: they visit Miami, battle of teams who both lost five straight.
Speaker 1: Dolphins still in it for a playoff, Firth that they
Speaker 1: need help. Miami will again be without it's quarterback to
Speaker 1: a tongue of below A. Jets coach Robert Salis that
Speaker 1: he still has full confidence in his much maligned offensive
Speaker 1: coordinator Mike la Fleur. The playoff bound Giants Sunday visit Philadelphia,
Speaker 1: who needs the win to secure the NFC's one seed
Speaker 1: and the Eagles hope to get there. QB Jalen Herds,
Speaker 1: back from injury, Nix at the Garden to be Phoenix
Speaker 1: one oh two to eighty three for Julius Randall's twenty
Speaker 1: eight points, sixteen remounds in Jalen Brunson, back from the
Speaker 1: hip injury, scored twenty four easy win for the Red
Speaker 1: Hot Nets one thirty nine to one oh three over
Speaker 1: San Antonio. That's now twelve wins in a rows being
Speaker 1: a Red Hot. Cleveland's Donovan Mitchell sports seventy one points
Speaker 1: and overtime win for the Cavs. College hoops Rutgers stunt
Speaker 1: top ranked per Due, just as the Scarlett Knights did
Speaker 1: a year ago. John stash Award Bloomberg Sports Nathan brought
Speaker 1: to buy OUTI don't let someone else drive off in
Speaker 1: the OUTI model. You've always wanted to visit your local
Speaker 1: price state autie dealer to get behind the wheel of
Speaker 1: yours today, or visit outie Offers dot com for more information.
Speaker 1: Six thirty five on Wall Street, Bloomberg Radio is on
Speaker 1: the air from San Francisco to New York, London to
Speaker 1: Hong Kong. Let's check in with our global news team
Speaker 1: for some of the top stories heard on our three
Speaker 1: hundred affiliate radio stations around the world. I'm Steve Podas
Speaker 1: on kN X in Los Angeles. We're talking about fast, casual,
Speaker 1: healthy eatery, sweet green teaming up with fitness and lifestyle
Speaker 1: influencer Melissa Wood Tepperberg. I'm Gina Servetti and for k
Speaker 1: CBS in San Francisco. I'm reporting that Tesla delivered fewer
Speaker 1: vehicles than what Wall Street expected last quarters. I'm Jeff
Speaker 1: Bullinger and on w tv N and Columbus, I'll be
Speaker 1: talking about the new ranking of the airlines and airports
Speaker 1: that were the most on time in two I'm Stephen
Speaker 1: Carol and Bloomberg d a B Radio in London. We've
Speaker 1: been reporting on a fresh rand of rail strikes, putting
Speaker 1: pressure on the UK governments as healthcare unions prepared for
Speaker 1: another rand of walkouts. I made Cory on w w
Speaker 1: J in Detroit. I'm reporting some local shopping malls seemed
Speaker 1: to be weathering the head winds facing other shopping centered
Speaker 1: and those are some of the stories our hundred Bloomberg
Speaker 1: journalists and analysts are working on this morning around the world.
Speaker 1: It's six thirty six on Wall Street. The following commentary
Speaker 1: is from Bloomberg Opinion. The pandemic drinking binge just keeps going.
Speaker 1: I'm Justin Fox, the columnist for Bloomberg Opinion. The arrival
Speaker 1: of COVID nineteen and the societal disruption that accompanied it
Speaker 1: understandably drove a lot of Americans to drink. But even
Speaker 1: his life is returned to normal, the drinking binge has continued.
Speaker 1: As of November, Americans were spending fifteen percent more on beer, wine,
Speaker 1: and liquor, adjusted for inflation than before the pandemic. That's
Speaker 1: not exactly the same as saying we're drinking fifteen percent more,
Speaker 1: but it's probably close. And before the pandemic, per capita
Speaker 1: alcohol consumption had been rising slowly but steadily, also rising
Speaker 1: our alcohol induced deaths, of which there were about twice
Speaker 1: as many in two thousand twenty one as a decade ago,
Speaker 1: and other collateral damage of excessive drinking, not rising federal
Speaker 1: alcohol taxes, which have plummeted in real terms over the
Speaker 1: past half century. Maybe we should change that. I'm justin Fox.
Speaker 1: For more opinion, please go to Bloomberg dot com slash
Speaker 1: Opinion or O P I N. Go on the Bloomberg terminal.
Speaker 1: This has been Bloomberg opinion, and you can hear Bloomberg
Speaker 1: opinion commentaries every weekday at this time, and terminal customers
Speaker 1: can read more at O P I N. Go. No
Speaker 1: commentary here, but Avatar The Way of Water is poised
Speaker 1: to become the top selling movie that was released in
Speaker 1: two It led US and Canadian box offices for a
Speaker 1: third weekend in a row. Walt Disney Productions made one
Speaker 1: point three eight billion dollars worldwide since its release on
Speaker 1: December sixteenth. It's on track to surpass the one point
Speaker 1: for nine billion that Paramounts top gun Maverick raked in
Speaker 1: twenty twenty two. You're listening to Bloomberg Day Break, Markets,
Speaker 1: headlines and breaking news twenty four hours a day at
Speaker 1: Bloomberg dot Com, the Bloomberg Business Out and at Bloomberg Quicktake.
Speaker 1: This is a Bloomberg business lash. And I'm Karen Moscow
Speaker 1: future is on the rise. This morning. We got the
Speaker 1: first word breaking news desk for today's morning call. And
Speaker 1: here's Bill Maloney. Bill, Good morning, Hey, good morning, Karen.
Speaker 1: That's right. US futures are pointing to a higher open
Speaker 1: without futures up fifty six points, SPS game thirty two,
Speaker 1: and Nezic futures rise by one oh seven. The US
Speaker 1: ten year old at three point seven five percent. Gold
Speaker 1: is higher by nine. Oil trading in the red and
Speaker 1: Bitcoin is little changed. Hong Kong rose one overnight, while
Speaker 1: your pre markets are also in the green this morning.
Speaker 1: And back in the US on the economic front at
Speaker 1: night forty five US Global Manufacturing p m I and
Speaker 1: at ten o'clock construction spending in on the new TESTA
Speaker 1: deliveries missed estimates, and Barkleys said this year we'll go
Speaker 1: down as one of the worst for the world economy
Speaker 1: in four decades. Regarding Apple, Fox, cons iPhone City is
Speaker 1: back to about of anticipated peak capacity and wrapping things up,
Speaker 1: Capital One was cut to equate over at Barkley's, Carlos
Speaker 1: Group was cut to market perform at KBW, and Win
Speaker 1: was raised to overweight over at Wells Fargo. Live from
Speaker 1: the first Breaking News Descomb Boo Maloney care all right, Bell,
Speaker 1: thank you to hear live breaking news of your Bloomberg
Speaker 1: type squawk on your termin I'll sue you a w
Speaker 1: K and that's a Bloomberg business flash. Now here's Michael
Speaker 1: Barr with more on what's going on around the world.
Speaker 1: Michael Karen, thank you very much. Republicans take control of
Speaker 1: the House today, but there's uncertainty over who will be speaker.
Speaker 1: Representative Kevin McCarthy can only afford to lose Ford's up votes,
Speaker 1: and more than a dozen Republican lawmakers have not promised
Speaker 1: their support. In the NBA, the Knicks, Nets, Warriors and
Speaker 1: Cavaliers one, Cleveland's Donovan Mitchell scored seventy one points. In
Speaker 1: the NHL the Bruins. One Buffalo defensive back the Marham
Speaker 1: remains in critical condition after the Bills say he suffered
Speaker 1: a cardiac arrest on the field after a tackle. Funeral
Speaker 1: services take place today for soccer great Pele and Brazil
Speaker 1: who died last week. At A two Global News twenty
Speaker 1: four hours a day on air and on Bloomberg Quicktake,
Speaker 1: powered by more than twenty seven hundred journalists and analysts
Speaker 1: more than a hundred twenty countries, Michael Bard, this is
Speaker 1: Bloomberg caeron all right, Michael, thank you at a six
Speaker 1: forty two on Wall Street, and we turned to news
Speaker 1: and science and technology now with a Bloomberg and j
Speaker 1: I T Stem Report, and here's just making news and science, technology,
Speaker 1: engineering and math. According to a study published today, the
Speaker 1: number of young kids who accidentally a marijuana lace treats
Speaker 1: rose sharply over five years as pot became legal in
Speaker 1: more places in the US, more than seven thousand confirmed
Speaker 1: cases of kids younger than six eating marijuana edibles were
Speaker 1: reported the nation's poison control centers between twenty one, climbing
Speaker 1: from about two hundred to more than three thousand per year,
Speaker 1: or nearly a quarter of the children wound up hospitalize,
Speaker 1: some seriously ill. According to a new analysis and the
Speaker 1: Journal Pediatrics and China, Fox Cohn has brought the world's
Speaker 1: largest iPhone plant back to about peak capacity. That suggests
Speaker 1: that Apple's biggest production partner now has enough workers. Despite
Speaker 1: a COVID outbreak and a staff upheaval in November, thousands
Speaker 1: of workers at the facility either left or stage protests
Speaker 1: against extreme COVID restrictions and end of the year discounts
Speaker 1: were not enough for Tesla. Milon must electric car maker
Speaker 1: delivered fewer vehicles than expected. In the last three months.
Speaker 1: Tesla handed over a record four hundred five thousand cars.
Speaker 1: Tesla slash prices in both the US and China, It's
Speaker 1: two biggest markets, and that's the Bloomberg and j I
Speaker 1: t Stem report. Nathan, Yeah, we're going to have more
Speaker 1: on how that less than expected delivery numbers affecting the
Speaker 1: stock in the minutes ahead. First, though, it's coming up
Speaker 1: on sixty four on Wall Street. It's time now to
Speaker 1: check what's going on in DC. Some of the top
Speaker 1: stories in our nation's capital include Kevin McCarthy facing a
Speaker 1: speaker vote showdown as Republicans take over the House, the
Speaker 1: US in talks with South Korea on deterring North Korean
Speaker 1: nuclear weapons, and President Biden capping two years of action
Speaker 1: on the economy with new challenges ahead. Joe Matthew joins
Speaker 1: this this morning for the first trading day of twenty three.
Speaker 1: Bloomberg Wasashington correspondent host of Sound On on Bloomberg Radio. Joe,
Speaker 1: good morning. We know there's gonna be drama for the
Speaker 1: House vote for speaker this afternoon, But is there really
Speaker 1: possibility that Kevin McCarthy's not going to be elected speaker
Speaker 1: by the end of the day. That is a very
Speaker 1: real possibility. Look at really that we talked about going
Speaker 1: into the new year, and you know, people are well,
Speaker 1: we're not sure. Let's see what kind of deals he
Speaker 1: can cut. The numbers haven't changed. In fact, Nathan, it
Speaker 1: looks like they've gotten worse. We were talking about five
Speaker 1: holdouts in the Republican Party. Now it's it's fourteen. It
Speaker 1: appears this vote is at noon today, and there are
Speaker 1: a lot of questions about what happens if this goes
Speaker 1: to his second round. It's been a hundred years, almost
Speaker 1: exactly since that last happened. To suggest that the incoming
Speaker 1: majority does not actually know exactly who the speaker is
Speaker 1: going to be brings high drama to Capitol Hill today
Speaker 1: at high noon. Well, one of the concessions that Kevin
Speaker 1: McCarthy has been trying to make to try to shore
Speaker 1: up that vote, you know, it's it was an important
Speaker 1: development over the weekend as a new rules package was
Speaker 1: released proposed changes this came out Sunday night that would
Speaker 1: give a lot more power to rank and file members.
Speaker 1: And this is a tough situation for Kevin McCarthy. We've
Speaker 1: seen other other things that we knew they were coming,
Speaker 1: like the end of proxy voting for instance, uh increased
Speaker 1: balance at least in the eyes of the speaker to
Speaker 1: be here on the way committees are made up, the
Speaker 1: way bills get to the floor, seventy two hour waiting periods,
Speaker 1: a lot of stuff that's kind of low hanging fruit.
Speaker 1: But what we're talking about here is the ability to
Speaker 1: fire the speaker essentially, uh to vacate the speakership would
Speaker 1: now require half the caucus. It would now be only
Speaker 1: five people. Ironic that five people have been holding out
Speaker 1: against Kevin McCarthy this whole time. Some are suggesting Nathan
Speaker 1: that he might need to crank that down to one
Speaker 1: to win everyone over, that only a single lawmaker would
Speaker 1: have the ability to challenge the Speaker of the House
Speaker 1: and potentially get them fired. Now, if you expand this,
Speaker 1: if you back out a little bit, we all know
Speaker 1: that there's a debt ceiling that needs to be solved
Speaker 1: in the new year. That is going to be a knockdown,
Speaker 1: drag out fight. It's gonna be a fiscal cliff level debate.
Speaker 1: And if Kevin McCarthy becomes speaker under these terms, with
Speaker 1: five or fewer people able to fire him essentially or
Speaker 1: set him up to be fired, it is likely he
Speaker 1: couldn't last his first year as speaker. So the drama
Speaker 1: begins today, but it will not be over no matter
Speaker 1: how it ends. Yeah, I mean it says something as
Speaker 1: well about what the leadership, the ability of this Congress
Speaker 1: to govern is going to look like if not only
Speaker 1: we get a multi ballot speakership vote, but whether Kevin
Speaker 1: McCarthy has this kind of fractious Republican caucus behind him. Well,
Speaker 1: that's that's right, that's the question. This is obviously a
Speaker 1: leader who predicted winning dozens of seats in the midterm elections.
Speaker 1: He predicted a red wave. It did not happen, and
Speaker 1: a lot of folks like Matt Gates, like Lauren Bolbert,
Speaker 1: like Andy Biggs are really upset about it, and they
Speaker 1: don't think that he deserves to have this job. So, yes,
Speaker 1: this is just symbolic of the of the chaos that
Speaker 1: he will likely inherit with that Gavil if he does
Speaker 1: become speaker. And by the way, if if you're a
Speaker 1: betting person, you're probably betting that Kevin McCarthy is going
Speaker 1: to be the speaker. It's still the most likely scenario.
Speaker 1: It's unclear who else might emerge, although some of these
Speaker 1: conservative Republican holdouts are suggesting that today we will learn
Speaker 1: when voting begins at noontime, whether it's in the first
Speaker 1: or second ballot, we will learn of a new name
Speaker 1: that they have coalesced around. I don't know if that's
Speaker 1: actually gonna happen. But we're gonna be listening real closely
Speaker 1: at Wow. Yeah, that'll that'll really be something to watch. Okay,
Speaker 1: we'll be following that for sure, Joe, where does this
Speaker 1: all this leave President Biden? Is he's just sort of
Speaker 1: watching this chaos and wringing his hands a little bit,
Speaker 1: or I mean, what does this mean for his agenda
Speaker 1: for you know, the second half of this first term
Speaker 1: for president. He's just back from St. Croix, he's got
Speaker 1: a tan, he's relaxed. He got pretty much everything he
Speaker 1: was hoping for, I mean, build back better in that
Speaker 1: massive piece of legislation didn't go the way he wanted.
Speaker 1: But but what a list he has coming off the
Speaker 1: next two years. Granted, there is a hope to do more.
Speaker 1: And by the way, he's going to celebrate the start
Speaker 1: of the new year while this in fighting happens in
Speaker 1: the House among Republicans by appearing in Kentucky with Mitch
Speaker 1: McConnell to talk about the infrastructure Plan. Another way of
Speaker 1: answering your question, uh, Nathan, is that if President Biden
Speaker 1: spent the next two years implementing, actually focused on implementing
Speaker 1: and funding everything he got past beginning with the infrastructure
Speaker 1: bill now law, it would likely be a full time job.
Speaker 1: Whether he can get permitting reform, or free pre k
Speaker 1: or free community college some of the other ideas that
Speaker 1: have been blown out there and never made it into
Speaker 1: build back better not likely With a Republican Leadhouse. This
Speaker 1: is gonna be an opportunity for Joe Biden to really
Speaker 1: coalesce around what's already been passed and prepared to announce
Speaker 1: a run for president, which appears to be coming in
Speaker 1: the next couple of months. I was gonna say, just
Speaker 1: talking about the accomplishments over the last two years, it
Speaker 1: almost sounds like the presidential race making the aden ready
Speaker 1: to be off to the races. Yeah, indeed, thanks for
Speaker 1: this as always, an happy New Year to you, Joe.
Speaker 1: It's Joe Matthew Bloomberg, Washington Correspondent, host of Sound on
Speaker 1: which you can hear every weekday afternoon five pm. Wall
Speaker 1: Street Time across Bloomberg Radio. SMP futures right now up
Speaker 1: fifteen points down futures up, and NASTAC futures are higher
Speaker 1: by forty seven points, so giving back some of the
Speaker 1: earlier games. In the pre market session, you're listening to
Speaker 1: Bloomberg Day Break, markets headlines and breaking news twenty four
Speaker 1: hours a day at Bloomberg dot com. The Bloomberg Business
Speaker 1: at Land at Bloomberg Quick Tape is a Bloombern Business Flash.
Speaker 1: And I'm Karen Moscow. And stocks are on the rise
Speaker 1: on this first trading day of the new year. And
Speaker 1: we checked the markets all day long here on Bloomberg
Speaker 1: with SMP futures up sixteen points. We're watching futures of
Speaker 1: course now futures of one forty or four tenths of uppercent,
Speaker 1: and NASDAG futures are up half percent or fifty five points,
Speaker 1: and SMP futures as again up sixteen points, and that
Speaker 1: is four tenths of uppercent. The decks in Germany is
Speaker 1: a three quarters of a percent. Can your treasury is
Speaker 1: up thirty one thirty seconds. The three point seven five
Speaker 1: percent they yield on the two year four point three
Speaker 1: five percent. Nine X Screwed oil is down one point
Speaker 1: four percent, down a dollar twelve and seventy nine dollars
Speaker 1: fourteen cents of barrel co make scold up seven tenths
Speaker 1: percent or twelve dollars thirty cent at eighteen thirty eight
Speaker 1: sixty announced the euro one no five to nine against
Speaker 1: the dollar. British found one point one nine three six
Speaker 1: again one thirty point eight four. I'm looking at bitcoin.
Speaker 1: It's down about two tents of a percent? Is it
Speaker 1: a sixteen thousand, seven twenty dollars? And that's a Bloomberg
Speaker 1: business flash, Nathan. All right, Karen, thanks six fifty six
Speaker 1: on Wall Street. That means we're just a few minutes
Speaker 1: away from Bloomberg surveillance. First, let's bring in Bloomberg's Kaylee lines.
Speaker 1: Take a look at some of the stocks moving in
Speaker 1: this pre market trade, Kaylee, Happy new year. As Karen mentioned,
Speaker 1: the futures are moving higher, including the tech heavy NASTAC futures.
Speaker 1: But Tesla is being left off this morning's bandwagon. Yeah,
Speaker 1: happy new Year, Nathan. Tesla definitely not participating in that
Speaker 1: big tech rally we are seeing elsewhere right now. The
Speaker 1: stock is down about four percent and that was after
Speaker 1: deliveries data was released over the long weekend for the
Speaker 1: fourth quarter. And yes it was a record, Yes it
Speaker 1: was north of four hundred thousand vehicles delivered in that period,
Speaker 1: but that still came up short of Wall Street expectations
Speaker 1: and of the company's own goal to expand deliveries by
Speaker 1: fifty percent, So the fact that that missed, despite the
Speaker 1: fact that the company had been offering heavy incentives and
Speaker 1: discounting in its biggest markets, is really just reinforcing demand
Speaker 1: concerns that already have been percolating and reflected in the
Speaker 1: stock price. In addition to concern around Elon Musk being
Speaker 1: distracted by his Twitter acquisition, and just kind of the
Speaker 1: broader brutal environment for high multiple tech companies given rising
Speaker 1: interest rates, all that together contributed to a really, really
Speaker 1: awful for Test. While the shares were down six over
Speaker 1: the course of last year, worst yearly performance on record,
Speaker 1: and it's not looking like is off to a better start. Yeah. Interesting,
Speaker 1: a lot of those same concerns from last year carrying
Speaker 1: over potentially into three. But it's really interesting looking at
Speaker 1: the pre market trade this morning, some of the worst
Speaker 1: performing stocks are some of the biggest gainers this morning. Yeah,
Speaker 1: maybe a little bit of dip buying here to start
Speaker 1: the new year. A lot of those stocks that were
Speaker 1: also pressured by that higher interest rate story and really
Speaker 1: just the deflating of so many high asset prices we
Speaker 1: saw across the border seeing somewhat of a rebound include
Speaker 1: some of those meme stocks the retail trader favorites, including bed,
Speaker 1: Bath and Beyond, which is up by thirteen percent before
Speaker 1: the bell. At the moment, you're seeing some games for
Speaker 1: the likes of AMC and game Stop as well other
Speaker 1: e V stocks Tesla aside are positive to Lucid Group
Speaker 1: is just one example. It's up about two percent. And
Speaker 1: then crypto stocks also getting a little bit of a lift.
Speaker 1: We know that two was bad for Bitcoin, it was
Speaker 1: down almost as much as Tesla, more than sixty percent.
Speaker 1: But today you're seeing the likes of coin base and
Speaker 1: right Blockchain higher by about two percent in pre market training.
Speaker 1: Only about thirty seconds left here, Kaylee. But we're seeing
Speaker 1: some positive signs potentially out of China. Are you looking
Speaker 1: at some names there? Yeah. The idea that when you
Speaker 1: look at mobility data may signal that we've seen a
Speaker 1: peak in cases in some major cities. So stocks sensitive
Speaker 1: to the China story are gaining in early hours. That
Speaker 1: includes Wind Resorts, which has heavy revenue exposure to Macow
Speaker 1: and the casinos there. In particular. That stock is up
Speaker 1: about three point seven percent, and some of those a
Speaker 1: d r s of big Chinese technology companies like Ali,
Speaker 1: Baba and JD dot com Um are also seeing gains.
Speaker 1: Baba is the ticker here in the US. That stock
Speaker 1: is up about two point nine percent in early hours.
Speaker 1: Bloomberg's Kaylee lines watching those individual movers for US. Kayle,
Speaker 1: thank you once again. SMP futures are higher by fifteen points.
Speaker 1: Staff futures up a hundred thirty four nanstack futures on
Speaker 1: the rise by fifty four points. This is Bloomberg day
Speaker 1: Break on Nathan Hagar along with Karen Moscow, and it's
Speaker 1: six fifty nine on Wall Street. Stay with us. Bloomberg
Speaker 1: surveillance starts right now, my from the financial capital of
Speaker 1: the world, broadcasting across thelo This is w BBR, New York. Bloomberg.
Speaker 1: He living in three O two three could continue to
Speaker 1: be pretty challenging for stocks. Exting comes back in