Bloomberg Daybreak: December 20, 2022 - Hour 1 (Radio)

the company. Los Angeles jury finds disgraced movie mogul Harvey Weinstein guilty of break plus protesters target a New York councilman for supporting drag Story Hour. I'm Michael laugh More Ahead, I'm John stash Our Sports. The Factors beat the Rams. The Islanders got shot out the Red Hot Necks. So

it's Golden State tonight. That's all's training. Ahead on Bloomberg day Break on Bloomberg eleven, Free on New York, Bloomberg one, Washington, d C, Bloomberg one, O six one, Boston, Bloomberg nine sixties, San Francisco, Sirius x M one nine Team, and around the world. Old on Bloomberg Radio dot Com and via the Bloomberg Business op Good morning. I'm Nathan Hagar and I'm Karen Moscow. Any US dock index futures are a little change this morning. We checked the markets all day

long here on Bloomberg Radio. Right now, SNP futures are again little change. Down futures are as well, and as DAG futures are lower, down a quarter per cent or twenty nine points. That Dacks in Germany's down a third percent. Ten year treasury down twenty thirty seconds, you know, three point six five percent. Nathan here, and we begin this morning overseas with the banka je of Hans sparking big

market moves. This morning. In a hawk is shift bo j Governor Harohico Corona doubled a camp on tenure yields, paving the way for possible policy normalization under a new governor. The yen has strengthened sharply in response, while government bonds are slumping. The Bank of Japan is building the move as a way to enhance monetary easing, but Blue Bay Asset Management portfolio manager Russell Matthew says it could be the start of an exit it from stimulus policy. Do

you think that this is just an isolated move? Absolutely not this is the beginning of normalization. They've been increasingly struggling to hold um uh, you know, the the the the their hard policy mix, the emergency policy mix that that that's now sort of changed and we're on the we're on the pathway to normalization um and the market is going to be pretty volatile as we progress along

that path. Russell Matthews along with others at Blue they have long predicted the b o j's hockey is shift and taking a look at the end right now it is stronger by three and a half percent against the dollar at one thirty two point to four. While Nathan Trading in Asia Pacific overnight was dominated by the bo J news and we get the recount from Bloomberg's Annabel

Rulers in Sydney. What policy makers are now going to allow is the ten year yield to reach point five percent on its trading band that had previously been set the upper limited point to five percent. So a huge change for US yields moving higher. Stocks slumping across the board, particular in these sectors that are more sensitive two rising yields like property tex stalks. Financials though absolutely jumping with the likes of Mitsubishi UFJ. That's a huge lender there

in Japan, rising by the most in six years. Otherwise, the major story markets today is what's happening in China. We are continuing to monitor that COVID outbreak there. We did see the c s I three hundred trading in the red in Sydney. I'm Annabel Druler's Wimbo daybreak. All right, Annabel, thanks,

Let's stay overseas for another story out of Asia. Social media posts in China signal COVID deaths may be much higher than Beijing's official count, and now Beijing is confirming it has changed the method for counting COVID fatalities, narrowing the definition. China reported just five deaths tied to COVID today, but bonn yeelds across the globe are rising this morning, Nathan, thanks to that policy shift from the Bank of Japan. US stock indix futures are a little changed after four days.

A loss is initially propelled by hawkish rhetoric from the FED. Optimism about a policy pivot could finally be waning, but if not, in stocks push higher. Former New York Fan president Bill Dudley says that could lead to more tightening. The market thinks that the Federal blank, what's the unemployer rates starts going up to the market is basically saying that the FIT doesn't mean what it says. That they're saying this to try to talk tough, but when the

going gets difficult, the Fed will fold. I don't believe that. I think Paul's going to do what he says. And former New York Fed governor and Bloomberg opinion columnist Bill Dudley made the comments on Bloomberg Surveillance. Catch the program weekday morning jan Bloomberg Radio and Television, or subscribe to the Daily Bloomberg Surveillance podcast on Apples, Spotify, and anywhere

else you get your podcasts. Let's start to politics now, Karen, because we have some major developments in the US centered on Donald Trump. A House committee has recommended the former president be prosecuted for his role in the January six assault on the US capital. Now. This marks the first ever such referral for a former president after a seventeen month investigation. Democratic Maryland Congressman Jamie Raskin says the former

president would be disqualified from holding office if convicted. The committee has developed significant evidence that President Trump intended to disrupt the peaceful transfer transition of power under our constitution. Marilyn Congressman Jamie Raskin says former President Trump failed in his constitutional duty while turning from politics to crypto Now Nathan, it was a wild day in court for former ft X CEO Sam Bankman Freed, who could now be headed

back to the US sooner than we thought. Bloomberg. Steve Rappaport joins US Live with that story. Stave, good morning, Good morning, Karen, and Nathan. Mixed messages were the order of the day, with Bankman Freed and his attorney not exactly on the same page. SPF said in court he was ready to face the music in the US, but at the same hearing, his local lawyer said he was

unaware of the plan. Later in the day, Jeron Roberts appear to reverse himself, telling reporters Bankman Freed would not fight extradition to the US, where he faces charges of fraud over the sudden collapse of f t X. Last week, Bankman Freed said he planned to fight extradition. Sources tell Bloomberg the change of heart is in part motivated by the expectation that he will be able to get bail here in the US. Live in New York. I'm Steve Rappaport,

Bloomberg Daybreak. All right, Steve, Thanks, And it wouldn't be a day in December if we didn't have more news on Twitter. The latest development has Elon Musk saying the company will now vote on Twitter policy matters and leave it only to Blue members. Bloomberg said Baxter has the story. This coming after fifty seven percent of the respondence to his poll about whether he should step down said yes. Musk does say that this was in response to somebody

who had messaged him earlier in the day. Now there were more than ten million votes saying that he should relinquish his role. Musk also tweeted that nobody wanted his job and that it would be impossible to find a successor, although he didn't directly address whether he was going to step down. In San Francisco, I'm at Baxter Bloomberg Daybreak, Okay, ed, thanks, futures, little change this morning, straight ahead, your latest local headlines in the check of sports. This is Bloomberg and it

is now thirty two degrees in Central Park. We have a look at some of the other stories making news in New York and around the world. Now with bloomberg S Michael bar Good Morning, Michael, Good Morning, Nathan. Los Angeles jurors found disgrace movie mogul Harvey Weinstein guilty of rape and sexual assault of one of the four accusers

he was charged with abusing. Weinstein was found guilty involving a woman who said he appeared uninvited at her hotel room door during a Los Angeles film festival in Weinstein, who was two years into a twenty three year sentence for a rape and sexual assault conviction in New York, to get up to twenty four years in prison in California. When he sentenced. New York Council member Eric Bacher was targeted by a group that calls itself Gaze against Groomer's.

Bacher says, over the weekend they protested outside the Drag Story Hour, in which a person in drag reads children's books to kids at public library. It's a very successful and popular program around the country. Unfortunately, on the Internet there are these very dark and unhinged of memes that really have convinced some of these people that children are being sexually groomed, says. Two of the protesters made it as far as the lobby inside his apartment building after

scrolling anti gay slurs on the sidewalk in front. They were arrested for trespassing. The NYPD says a thirty year old woman is under arrest after police say she broke into actor Robert de Niro's home while he was inside. Police say she was stealing his Christmas gifts. The suspect, Shanie Amlis, has twenty six prior arrests and was known to police so much so they spotted her in the area on Manhattan's Upper east Side and began to follow her,

allegedly trying to break into other homes. A dedication ceremony was held in Central Park for a group of black and Hispanic men who became known as the Central Park Five. An entrance to the park was renamed as the Gate of the Exhonerated in honor of the five men wrongly convicted for attack and a rave in the park. New York Mayor Eric Adams said the location will be a landmark in civil rights history. We should be haveing school

trips to talk about this story. The men were cleared in two thousand two and received a forty one million dollars settlement from the city. Globally is twenty four hours a day on air and on Bloomberg Quick Take, powered by more than twenty seven hundred journalists and analysts more than a hundred twenty countries. Michael Barr and this is Bloomberg. Nathan. All right, Michael, thanks the time of the Bloomberg Sports Utday, brought to you by Tri State Outing. For that, we

bring in John's stash our. Good morning, John, Good morning, Nathan Nixon. Rangers have both won seven in a row. Look to keep the streets going tonight at the Garden. It's the Knicks and the Warriors, always a hot ticket when Golden State comes in. Although no Steph Curry and the Warriors are under five hundred. The Rangers play in Pittsburgh. Islanders were in Colorado, scoreless through sixty five minutes and then only one goal scoring in the shootout. The Ads

won one nothing. Isles got forties six days from Helios Rokin, but they've now lost four of their last five. Rams and Packers figured to be two of the best of the NFC this year. They are certainly not Green Bay and fifteen degree weather one of four to twelve, and the Rams with their tent lost Hie the record for most defeats by defending Super Bowl champions. Short work week for the Jets. They host Jacksonville on Thursday. Of Mike White can play hill be Zack Wilson against the Jaguars

Trevor Lawrence. They were the first two picks of draft. Lawrence has been playing great for Jacksonville. Wilson returned Sunday due to whites injury. He wasn't quite as bad as he was before he got bens, but certainly made some mistakes. His coaches Robert Salah, this kid's gonna be a good quarterback. Um there the the NFL and this this new instant coffee world that we're in just does not want to give people time and uh and so we look at him and he is just nitpicked with it and just

with a fine tooth column. Everything that he does pretty much must win for the Jets Thursday if they hope to make the playoffs and City FI, the Mets introduced their new Japanese import code I singa set Lugo puts out of the Mets bullpen in the past seven years. He has signed with San Diego, Tom Brownie and pitch for Cincinnati for eleven years. Once through, a perfect game has passed away at sixty two, John Stashward, Bloomberg Sports. All right, John, Thanks, Bloomberg Sports is brought to you

by Autie. Don't let someone else drive off in the outye model you've always wanted. Visit your local tri state autie dealer to get behind the wheel of yours today, or visit autie Offers dot com for more information. Expecting sunshine today with hr forty degrees cleared, a partly cloudy to night, up for twenties for overnight lows, and we'll be back near forty in the sunshine tomorrow. Right now in Central Park, it is clear and thirty two degrees.

SMP futures down four points, Staff futures up for and Nasdaq futures are lower by thirty points ten. Your treasury yield right now three point six five percent. Live from coast to coast, from New York to San Francisco, Boston to Washington, d C. Nationwide on Sirius, x amp, the Bloomberg Business App, and Bloomberg dot Com. This is Bloomberg Daybreak.

Good morning. I'm Nathan Hagar. We continue to watch the yen this morning, surging by three point three percent against the dollar one thirty two point five three as markets continue to assess this surprise move by outgoing Bank of Japan Governor Harohiko Coroda to adjust the yield curve control policy for the Central Bank in Japan, doubling the cap on tenure yields from a quarter percent to a half percent. Joining us now with more analysis is Kit Jukes, the

chief Effex strategist associate A general. Kit. It's great to speak with you this morning. What was your reaction to this move and should the market b as surprised as it seems to be. I'm going to go with wow was my reaction? I think to be honest, Um, yeah, I think that we thought they were going to do something like this in April at the end of Mr Coroda's terms, So yeah, four months early, just before Christmas.

Quite markets, it's got to move. Um So yeah, And you know, I think you have to at least, you know, put it in the context that that they've been completely alone really in their in their monetary policy stance through through this crisis or through this year. The widening interest rate differential with the United States. The rise in usc els has seen dolly Yan rise from hundred and ten to a hundred and fifty UM. There's a long way to go about the other way, you know, if you

signal that that's all going to slowly start to unwind. Now,

of course it wasn't all unwind. But but if we look through at the future from here and we say normalization of Japanese policy, you know, the end of the FED hiking cycle, not a million miles away from where we are, you can look at dolly in and think, yeah, it could go down a lot lower than this over the medium longer term, and and yeah, so we're going to do too much on the first day, And the Bank of Japan will will stress the fact that this

is being done for the orderly function of the bond market, which doesn't function in an orderly fashion at all at the moment, and isn't really intended to be an easier tightening in monetary policy. But I'm not sure we'll hear any of that. I wouldn't be surprised if it if it goes further than this. Yeah, as you say, Corona did say that this was about improving bond market functioning.

Not necessarily a policy pivot, but do you see this as a first step toward a policy normalization from the BOJ Not in a quick step, but I see there's a tightening in monetary conditions, and I think that's what matters. I don't think that it's um you know, it's not certainly not, you know, I think if let's bring this way, if I thought that we were going to see this in April, I don't think this means I'm going to see another one in April. I think this is April's

one now, if you like. In terms of a policy mood, so it's not part of a chain. But I think it's the monetary conditions that do matter. You're tightening those and and you're raising interest rate levels that people can earn um. So you know, the sectors of the sectors of the economy that don't like higher interest threads are going to feel it in the same way as they

would here. You know, it's sort of it smells and sounds like you know, like like like a like a red height wood in the United States or the UK, and so i'll call it that in Japan, I think for now it's also a catalyst for me. It's important for the currency market because, um, you know, the Japanese are the biggest holders of foreign assets in the world, and so they hold any enormal number of foreign assets and they've made very done, very well out of them

in this period of yen weakness. It's very hard not to see this as a signal to them hedge that fex risk and if they're heading that effets risk there de facto buying yen and they'll make it get stronger. So you know that that to me is the bit. This smells and sounds and feels and looks like monetary tightening whatever you want to call it. It tightens finale a mount conditions. Um. And it's probably you know, yen

positive for the medium term, not just for today. Does that add further two dollar negative then yeah, it feeds into the whole pattern. I mean, I think again when the last standout puts raises not in policy rates, but but it's it's yield, it's yield target at which it will intervene in the bond market. Um. And the Fed you know, is going to slow in February. We most people expect at twenty five basis point hike and then

we'll see how many of those we get. Very very hard not to see that, as you know, further nail in the coffin of the of this really incredible period of dollars strains, the second biggest or or the biggest dollar rally since the one that ended in February. So we got about thirty seconds left here, Kit, we're staring at one two for the end right now. How much further does the end go down? It came from one ten. I mean I think you know, I think you can

get some one and twenty in six months time. Ways that the end has form of overshooting targets that I put down as forecasts when it has these most this is the fifth one it's done since the mid nineties, and they were all bigger than this. The Christians great to have you on with this, kid, especially after a move like this. Really appreciate your insights, Kid Jukes, Chief

f X strategist associate A general. I imagine we're gonna be keeping it our on the end for some time here right now, stronger against the dollar by just about three point three percent, training at one thirty two point five seven. As for other g ten currencies. The Euro right now at one point zero six to seven against the dollar, British pound one point to one three eight futures little change to lower right now. SMP futures are down seven points, Staff futures down seventeen and NASDAC futures

are lower by thirty nine points. Tenure treasury down twenty one thirty seconds. Yield on the tenure in the US three point six six percent. This is Bloomberg Markets, headlines and breaking news twenty four hours a day at Bloomberg dot Com, the Bloomberg Business and at Bloomberg Quick Take.

This is a Bloomberg Business lash and I'm Karen Moscow Treasury yields rising, Global equities falling after the Bank of Japan emulated as central bank piers with a hankish move that lifted the end to its highest in more than four months and sent domestic bonn yields twenty basis points higher. We check the markets all day long here on Bloomberg. SMP futures there are down five points now down about a tenth of uppercent. Down futures are a little changed.

NASTACK futures down three tenths of upper cent or thirty three points. The decks in Germany's down a half pert down about a quarter percent. I should say ten your treasury down twenty one thirty seconds. Heel three point six six percent. They yield on the two year four point

to seven percent. NI Max Screwed oil is at one point one percent of seventy nine cents at seventy five cents of barrel comic school of one percent or eighteen dollar sixty cents at eighteen sixteen thirty announced the euro one point six to eight against the dollar, British found one point one four one, the yen one thirty two point four seven and bitcoin this morning at one it's

at sixteen thousand, eight hundred dollars. And as a Bloomberg Business flash, now here's Michael bar with Moore on what's going on around the world. Muncale, good morning, Good morning, Karen. A House committee recommended that Donald Trump he prosecuted for his role in the January sixth assault on the US capital, the first ever such referral of a former president. Representative Jamie Raskin said it would disqualify Trump from holding off

as if convicted. The Supreme Court granted a temporary stay on the immigration restriction known as Title forty two. It was expiring tomorrow. The nineteen Republican led States filed an appeal. Monday night football, the Packers beat the Rams twelve in the NHL. The Islanders lost in a shootout to the Avalanche one ZIP. The Capitols and Bruins were winners. Global News twenty four hours a day on air and on Boomberg Quick Tank, powered by more than twenty seven under

journalists and analyst more than a hundred twenty countries. I'm Michael Barr, and this is Bloomberg. Nathan him Michael. Thanks. It's five twenty three on Wall Street. I'm Nathan Hagar. This is Bloomberg Daybreak, and our focus this morning is sharply on the Bank of Japan. But that doesn't mean we're taking our eyes off the Federal Reserve. FED policy and conjecture about future policy have largely shaped the direction of markets over this past week. Now, let's get the

view from a former Central Bank member. Bill Dudley served as president of the New York Fed for nearly a decade. Now, he's a professor at Princeton and a columnist for Bloomberg Opinion. Dudley sat down with Bloomberg's Tom Keene and Lisa Abramowitz on Bloomberg Surveillance to take stock of the Fed's latest

move and what's ahead for the new year. Let's listen in what does the data point of January twelve, the inflation reports signal to the Fed where possibly they will have three data points lined up marking some form of disinflation. All have been very clear that to chief success he needs to see moderation of goods prices, which he is seeing, moderation of services prices excluding housing, which he's not seeing, and more slack in the labor market which he's not seeing.

So the only achieved one of the three goals. So the thing to focus on is what's happening to the services inflation excluding housing that we know housing is going to come down with a lag, And what's happening in the labor market. You know we have you know, less player employment increase. We need to see payeral games of fifty thousand, seventy five a month. We need to see an increase in the employment rate of from to generate and just slack in the layer market. We need to

get inflation down in the services sector bill. I've been confused by the market response after we got the latest FED meeting. There hasn't been a real increase in bond yields, and there is still priced into the market a lower terminal rate than with the FED is saying that they are going to do. How do you understand that? There's two possible explanations. Number one, the market thinks that the

Federal blank, what's the unemployer rate? Starts going up, So the market is basically saying that the Fed doesn't mean what it says. That they're saying this to try to talk tough, but when the going gets difficult, the FED will fold. That's one possible explanation. I don't believe that. I think Paul's gonna do what he says. And number two, they may just have a more benign view about how fast inflation is going to come down. I think the

market is overweighting the improvement and goods price inflation. We knew goods price inflation was going to come down for two reasons. Number one, the switching in the pandemic has reduced the demand for good versus services. And two, we knew that some of these supply chain disruptions we're gonna normally. The fact that used car prices are falling out was no surprise to anybody. At the same time, people point to the fact that credit card receivables are going up,

people are borrowing more. It indicates that cushion is getting used up and there will be a music stoppage at the beginning of the year, that people will stop spending, and perhaps they already are. How do you push back against that and say, no, there is actually more momentum, more item miss and behind that that this fed has to curb. Well, one aspect of goods price in flesh and going down is the oval flesh rates lower, so people's wages go a bit further than they were before.

And you said, you know, the excess savings is coming down, but still there's no about trulli and a half money savings above what you expect the situation to be if we hadn't had those large fiscal transfers. Finally, there's gonna be a lot more income for people caused by indexing. So look at SoCal security eight point seven percent increase coming next month. That's a hundred billion dollar increase in federal spending. All those people are going to go out

and spend that money. That's former New York Fed President Bill Dudley speaking with Lisa Abramo It's and Tom Keane on Bloomberg Surveillance. You can catch more of that interview and conversations just like it on the latest edition of the Bloomberg Surveillance podcast. Subscribe on Apple, Spotify or anywhere else you get your podcast. That this morning's top stories, local headlines just to head first, Today's Bloomberg weather forecast.

High pressure has control the weather. It have contained and moved towards the Tri state area coming in from the west. Will have sunshine today and temperature should be close to forty degrees generally clear. Tonight, the city will drop the thirty It'll fall into the teens in some of the suburbs. Hig pressure is still in control. Tomorrow. We'll have more sunshine, high forty cloudy Thursday, with rain developing the afternoon, a

high close to forty five. I'm Rob Caroline with your three day forecast on Bloomberg eleven three oh broadcasting live from the Bloomberg Interactive Broker Studio in New York Bloomberg Elving three to Washington, d C. Bloomberg one to Boston, Bloomberg one O six one to San Francisco, Bloomberg nine six to the country, Sirius XM to the one nineteen and around the globe the Bloomberg Business at and Bloomberg Radio dot com. This is Bloomberg Daybreak and we're coming

up to five thirty on Wall Street. Good morning. I'm Karen Moscow, I'm Nathan and Hagar. Bloomberg Daybreak is brought to you by Innovation Refunds. Your business may be eligible to receive a payroll tax refund. The application takes around eight minutes eight minutes or less to see if you're small to medium sized business may be eligible for a refund of up to twenty six thousand dollars per employee kept on the payroll during the pandemic. Find out at

get Refunds dot com. And we're nearly four hours away from the open of US trading. Let's get you up to date on the news you need to know. At this hour, we begin to overseas with the Bank of Japan. Governor Harahiku Kuroda shocked markets overnight by adjusting the central banks yield curve control program. Bloomberg Daybreak Asia anchor Brian Curtis has the details. The shocking move sparked a massive jump in the en and a big drop in the nick.

The b o J will now allow Japan's ten year bond yields to rise to about half a percentage point. That's up from the previous upper limit of a quarter percentage point. The central Bank kept its target on the yield unchanged around zero percent, and left it short term interest rate at minus zero point one percent. Bright Curtis, Bloomberg Daybreak. All right, Brian, thank you, and let's look at that jump in the yen. It's right now at one thirty two point four or five against the dollar.

Staying overseas in Asia, Karen's social media posts in China signal at COVID deaths may be much higher than Beijing's official count. Now, China confirms it has changed its method for counting fatalities, narrowing the definition of a COVID death. China reported just five fatalities tied to the virus today. Well back here in the US, Nathan futures are that

will change after four days of loss. Is initially propelled by hawkish fed rhetoric bets on a recession or ramping up A Former New York Fed President Bill Dudley says he expects a downturn to be relatively controlled. I don't expect the recession quite yet, and the COMMUNI still has considerable for momentum. I think the recession, when it finally does occur, will be mild. This is a recession. If it occurs, it's completely induced by the Fed to generate

more slack in the labor market. Former New York Fan governor and Bloomberg opinion columnist Bill Dudley may have the comments on Bloomberg Survey Lance catch the program we Gay Mornings on Bloomberg Radio and Television. In politics, the House committee investigating the January six attack has recommended prosecution for former President Donald Trump, marking the first ever such referral. A decision on whether to prosecute lines with the Department

of Justice. And turning from politics to Krypto Now, Nathan, it was a wild day in court for Sam Bankman Free, the former ft X CEO. Can now we headed back to the US sooner than we thought. We get more from Bloomberg Steve Rappaport, Steve, good Morning, Karen and Nathan. It's never a good sign when the attorney and the defendant are not on the same page. That scenario unfolded in court yesterday when bankman Freed said he was ready to waive his right to fight extradition to the US.

That caught his local lawyer off guard, who said he was not aware of the plan. Jaren Roberts later told reporters bankman Freed would not fight extradition to the U s where he's charged with fraud related to the collapse of f t X Live in New York. I'm Steve Rappaport, Bloomberg Day Break. Okay, Steve, thank you. Futures little changed this morning, and straight ahead, we have your latest local headlines and a check of sports. This is Bloomberg and

One on Wall Street. We've bringing Michael war for a look at what's going on in New York and around the world. Michael, thank you very much. Nathan. Disgraced movie mogul Harvey Weinstein has been convicted of several more sexual

assault charges. Of the seven sexual assault charges Weinstein was on trial for in Los Angeles, the jury convicted him of three, including the rape of a former Italian actress in the jury could not agree on other charges involving other accusers, including one represented by attorney Gloria Allred, who says her client THO is focused on the guilty verdicts that that was justice, so she's thinking of others in

addition to herself. Weinstein faces another twenty or so years in prison for the convictions he's already serving a twenty three years sentence in New York. Drag Story Hour and a New York City council member who supports it are the latest targets of protests. Councilman Eric Bacher says protesters, alvanized by online conspiracy theories, tried to disrupt the weekend reading event at a New York City public library and Chelsea.

They were blocked from entering, but yesterday two protesters made it into the lobby of Bacher's apartment nearby, scrolling anti gay slurs on the sidewalk in front. It's a really disgusting conspiracy theory that people have latched onto, and it's they're they're really taking this way too far, believes, arrested

to protesters for trespassing. Writers on some New York City subway lines may see less service on Mondays and Fridays, and an increase on weekends, according to data from the mt A. The changes come as remote work continues to

keep weekday ridership down. New Jersey lawmakers gave final approval to legislation overhauling rules to get a firearm carry permit after this summer's U. S. Supreme Court ruling expanded gun rights global needs twenty four hours a day on a rand on Bloomberg quick Take powered by more than journalist antalists in more than countries. I'm Michael bar This is Bloomberg Nath. Thanks Michael three on Wall Street time for the Bloomberg Sports update, brought to you by Tri stayed out.

Here's John Stashower. Okay, Nathan Chilly Knight in Green Bay. Packers kept their faint playoff hopes alive. Beat the Rams twelve Aaron Rodgers now one nine straight Monday Nighters. Baker Mayfield, the Rams new quarterback, did better when he hadn't practiced with them. A week after he debuted with a comeback win, Mayfield, through an interception, got sacked five times. The next day is Thursday. Jets and Jaguars that met life for the

Jets just lost to Detroit. A lot of criticism of Jets coach Robert Sala for faulty clock management in the Jets final drive. And I was trying to beat New York on a challenge and that's the one I overthought. It didn't matter. We're not playing for downs at this situation. UM, We're playing for time and UM. And when you look at it all, I definitely probably cost us one more snap, uh in that in that transaction. So I'm uh something that I definitely need to be better. I definitely overthought it.

And uh, I wish I could have that one. But I had the Jets had more time, they could have gained some more yards in their game time fuegal attempt might not have had to be a fifty eight yard A lot of talk also about the end of the Giants win at Washington, Commanders upset about an illegal formation penalty that wiped out a touchdown and a non past interference call on their final play. Giants visit Minnesota Saturday. Philadelphia visits Dallas. Eagles. Quarterback jail And Hurts may not

play as an an injured shoulder. Islanders lost at Colorado one nothing gonna shoot out the Rangers play tonight in Pittsburgh. The Rangers have won seventh straight and so have the Knicks. They hold Golden State today as a national holiday in Argentina as they honor the World Cup champions. John Stasheller Bloomberg Sports Nathan Well deserved day off for Argentina. Thank you, John and Bloomberg Sports. Was brought to you by Audie. Don't let someone else drive off in the Audi model

you've always wanted. Visit your local Price State Auntie dealer to get behind the wheel of yours today, or visit Autie Offers dot com for more information on Wall Street time for the Tri State Business Report. For that we bring in, Bloomberg, said Corey. A planned strike by New York Uber drivers fizzled on Monday, despite a call for

a boycott of the app. The New York Taxi Workers Alliance asked Uber drivers to turn off the app for twenty four hours starting at midnight on Sunday to protest Uber's attempts to block wage increases approved by the Taxi and Limousine Commission. New Jersey businesses would have to give severan's pay to workers and mass layoffs starting next year under legislation that's headed to Governor Phil Murphy for his signature.

State lawmakers passed the bill to put into effect changes that were first enacted in January of two thousand twenty and postponed during the pandemic. Hartford's Planning and Zoning Commission has approved to propose new Connecticut Children's Medical Center tower. It'll face Washington Street and significantly increase the hospital's size. Stanford advocate says it will be eight stories tall and take up one d thousand ware feet. Beat your Bloomberg

dry State business report. I'm ed, Corey alright, ed, thank you. It's five thirty six on Wall Street. The following is an editorial from Bloomberg Opinion. This editorial was written by the Bloomberg Editorial Board. There's no climate security for the world without a protected Amazon, Brazil's President elect louise In Nacio Lula da Silva told a cheering crowd at climate

talks in Egypt last month He's right. Limiting global warming requires saving the planet's largest rainforest, which shriveled under outgoing president Jaire Bolsonato after the previous government's neglect. Lula deserves credit for putting the Amazon back on the agenda, but he has little time to waste. His first priority should be to revive forest oversight agencies, expand protections for indigenous people in lands, and crack down on surging violence in

the Amazon region. That will require Lula to reach beyond his core supporters and persuade a broad cross section of Brazilians to embrace a greener future. Brazil's president elect hopes to halt deforestation in the Amazon. He can't do it alone. This editorial was written by the Bloomberg Editorial Board. For more Bloomberg opinion, please go to Bloomberg dot com, slash Opinion or O P I n go on the Bloomberg terminal. These has been Bloomberg Opinion. Listen for Bloomberg opinion editorials

every weekday. At this time, terminal customers can read more at O P I n go. SMP futures right now down seven points to down, futures down twenty one. NAZAC futures are lower by thirty eight points. Ten year treasury is down twenty one thirty seconds. The old three point six six percent yield on the two year four point

to seven percent. Nim X scrudes higher by one of the third percent up a dollar seventy six nineteen of barrel comex golds up one percent or eighteen fifty It's eighteen sixteen twenty announced and the yen three and a half percent stronger against the dollar at one thirty two

point three three. Will get much more on the Bank of Japan's surprise decision on yield curve control with Bloomberg's Paul Jackson straight Ahead, markets headlines and breaking news twenty four hours a day at Bloomberg dot Com, The Bloomberg Business Outland at Bloomberg Quick Take. This is a Bloomberg business lash and I'm Karen Moscow and treasury yields are rising.

US DOCK Index futures are lower after the Bank of Japan emulated at Central Bank piers with a sudden hawk ish move that lifted the end to a four month peak and raised expectations of further policy tightening. Check the markets all day long here on bloomberg s and P futures. They're down eight points now down to tens of uppercent.

Down futures down a tenth of upper cent or thirty points, and NASDAG futures down four tens per cent or forty three points ten year treasury down twenty two thirty seconds, you'll three point six six percent. They yield on the two year four point to seven percent. Nim Ex screwed oil is I've wanted a third percent of a dollar at seventy six dollars nineteen cents of barrel call makes gold up one percent or eighteen dollar sixty cents at

eighteen sixteen thirty. And now the euro one point six three nine against the dollar, British pound one zero, and the yen one thirty two point three five and bitcoin is at one point at about sixteen thousand, eight hundred dollars. And as a Bloomberg business flash, now here's Michael Barr with Moore on less going on around the world. Michael Karen, thank you very much. The House January six Committee is urging the Justice Department to bring criminal charges against former

President Donald Trump for the violent Capital Riot. The biopartisan panel says Trump and his associates helped him launch a pressure campaign to try to overturn his twenty twenty election loss. A jury in Los Angeles found disgraced film producer Harvey Weinstein guilty of three counts of sexual assault, including rape, Monday Night football. The Packers beat the Rams twenty four twelve in the NHL. The Islanders lost in his shootout to the Avalanche one zip. The Capitals and Bruins were winners.

Global News twenty four hours a day on air and on Bloomberg Quicktake, powered by more than any seven hundred journalist and analysts in more than a hundred twenty countries. Michael barn this is Bloomberg. Nathan Okay, Michael. Thanks, It's forty two on Wall Street. This is Bloomberg day Break. Good morning. I'm Nathan Hagar along with Karen Moscow. Look at some of the other stories making news this morning.

We get more economic data today. The government issues housing data at eight thirty am Wall Street time, and it is expected to be a dose of bad news. Bloomberg's viny Dell Judeace reports the housing market is born the brunt of the federal reserves inflation fight rising interest rates. The average rate and the thirty year fixed mortgages doubled from record lows consider the prior months data. October housing starts declined for the third time in four months. October

building permits also slumped. On Welcome News, as we head into a new year. The heat del Judace Bloomberg Day Break. All right, Vinnie, thank you well, I'm the corporate front this morning, Shares of Credit Suite are declining. Both City and RBC are saying the troubled lender needs to give greater visibility on its planned strategic overhaul for a stock to recover. One City analyst says he has little conviction in the plan based upon limited disclosure and recent company

track records. Still, he has a by rating on Credits, so we is thanks to its valuation and well, RBC welcomes the bank's decisive actions. It does not see a rerating without more details on a plan. Well, Karen, we saw it. Shares of Disney fall yesterday as that stock extends a lengthy cell off that took it to him more than two year. Low slump came after a somewhat disappointing opening weekend for the company's Avatar sequel. It was

one of the most expensive movies in Hollywood history. Disney lowered its guidance for the opening weekend, and the stock is now down forty this year, on track for its biggest annual decline in decades. Right now, Disney's little changed in the pre market. Coming up today, Nathan, Not only am I likely to get a package from FedEx, but they're going to deliver earnings as well. Yeah, we get

a preview of those results from Bloombergy's Dug Prisoner. These results will provide an early look at the peak shipping season. Back in September, FedEx spooked the market and triggered a broad decline when it withdrew its forecast and cited worsening business conditions in multiple regions. Since then, other companies in the shipping industry have warned of weakness due to economic headwinds and waning consumer interest in e commerce after a

pandemic boom. FedEx has already begun furloughing employees and parking planes as part of a multibillion dollar cost cutting plan in New York. I'm Doug Prisoner Bloomberg day Break, and we'll see if we get an earning surprise from FedEx

for the holidays. Thank you for that, Doug. Now let's get to our top story this morning, the surprise from the Bank of Japan on yield curve control policy, doubling the camp on tenure yields were joined now by Paul Jackson, Economics editor for Japan, Korea and Australia for Bloomberg News, Paul, the market saw this as a pretty big surprise, judging by the move in the end this morning. How big a surprise is this historically? For boj this is a

total surprise. Our survey of forty seven economists, a lot of them predicted this one. So this was certainly an out of the blue Christmas surprise for everyone. You saw that markets reacted very strongly across the wide range of assets. Uh,

this was totally unexpected. There's been a lot of local media reports and also reporting from Bloomberg of potential change, to an agreement between the Banka Japan and the government or about a review, and this all pointed towards change happening after Governor Corona steps down in April, that there was going to be changed in December. Lo one had it. What's the thinking among the people that you're talking to about why Governor Corona decided to do this now instead

of waiting for a successor to do it? When you were just speaking with Kit Jukes from Syche generally at this hour, he says that he expected the move in April exactly. I think that was the consensus that would wait until we had a new a new governor in place. So I think there's maybe two things going on here.

I think one is that during this year we've had some very very intense moments of pressure on the p h A s easing framework and up put pressure on yields, and we just kind of in a little pocket where, you know, helped by the FED and other other moves, there was a little less pressure on our markets, on on that yield cap. So when you want to change the settings, you want to do it when there's less pressure on it, so that the things don't go crazy

when you make the change. So I think that's point number one, and point number two is he's kind of corrected helping his successor by opening the door to a potential normalization of policy when the new governor comes in by making this first initial step. But ultimately it's up to the next governor to decide what he or she's

going to do. It's an interesting point, Paul, because the commentary we heard from Governor Corona seemed to downplay the idea that this was a policy shift, at least for now, saying that this move was about, uh, improving the functioning of the bond market. From the people that you're speaking to, are they buying that message? Well, it's kind of central bankers, you know, one oh one giving one hand and take away with the other, give an ob signal and a downsticking.

But at the same time, So rather than frightening markets and saying, hey, look this is a is a is a ray tip were tightening policy? Is that he's saying no, no, this has nothing to do with that. It's about extending the sustainability of our stimulus. By in that way, he gives both options to his successor. But in terms of the market reaction, well, I think it's very clear, Uh, they see in one direction, Hey, this paves the way to timing. Now, what's the potential ripple effect here for

not just global markets, but for global central banks. I mean, it seems as though the drumbeat has been for tighter policy around the world. Is this just the Bank of Japan hopping on the bandwagon here? Could this have some further effect on where policy goes for other central banks around the world. Well, and on this point, I would say that you know the rest of the central banking world, Um, save perhaps the p BOC UH, they've already been racing

to hike rates and to absolutely squash inflation. Now, as you know, Japan is a bit of an outlier. It's been trying to spark inflation for more than a decade, being incredible difficulty creating price growth in Japan, so that take on the need esteem this has always been a bit different from your major banks, So I think it's the b O J moving more in the direction of where everyone else is. So in terms of the policy implications for those other central banks, I don't think they're

that big. But in terms of the policy that the implication is for markets, I think they are big because when you think about it, if you've got one of the biggest central banks in the world keeping yields down close to zero and they're saying, hey, you know what, we'll let him go up to zero point five. Um, okay, those figures don't sound that big compared to when you looking at yields in other countries, But that is, uh,

you know, a big movement. It's a lifting office, the kind of cutting free of the tether on global yields. So this could encourage further upward movement in yields across the world. Thanks Paul Good having on with us. Paul Jackson, economict cedator for Japan Career and Australia for Bloomberg News on the surprise and the b o J on yield curve control. This is Bloomberg Markets headlines and breaking news twenty four hours a day at Bloomberg dot Com of

Bloomberg Business Outland at Bloomberg Quicktake. She's a Bloomberg Business Flash and I'm Karen Moscow. And treasury yields they're rising, US knock Index futures they're little change after the Bank of Japan emulated at Central Bank Piers with a sudden hawk is move that looked at the end to a four month peak. And we checked the markets all day long here on Bloomberg S and P futures down three points now but basically little change. Down futures are also

little change. And now'sdack features down a quarter percent or twenty eight points. The decks in Germany's down a quarter percent ten. Your treasury down thirty seconds, held three point six six percent. They yield on the two year four point to seven percent. Nine max screwed oil is up wanted a third percent of a dollar at seventy six dollars.

Nineteen cents of barrel co mix s goold up one percent or eighteen dollars at eighteen fifteen seventy an ounce, the euro one point six three six against the dollar, British pound one point two one six eight and the end one thirty two point four eight. And looking at bitcoin, it's up one percent. It's aid about sixteen thousand, eight hundred dollars. And that's a Bloomberg Business Flash. Nathan Okay, Karen, thanks. It's five fifty six on Wall Street time for our

daily Bloomberg Lab Brief, exploring legal issues in the news. Today, we look at the White House preparing for an expected surge of migrants at the southern border. It's after the d C. Circuit Court of Appeals refused to extend Title forty two pandemic border restrictions, but Supreme Court Chief Justice John Roberts has stepped in. He has temporarily stopped Title forty two from ending. That says the Supreme Court considers a bid from nineteen Republican states to keep the rules

in place for more. Bloomberg's June Grosso speaks with immigration law expertly on Fresco, a partner at Holland and Night. So the Chief Justice was the one who temporarily blocked the scheduled ending of Title forty two, and it came just hours after the Republican States filed their request. One does that tell you, well, certainly, the Chief Justice is one of the Keith swing votes, and I think he

is one of the most practical votes. That the addition to being a swing vote, I mean he's the one who has to decide because he has the jurisdiction over the DC circuits. The fact that he was willing to basically reward such a sort of very sudden say requests I could have been filed earlier, but that was filed in the nick of time, probably shows some receptiveness to the practical aspects of giving people more time to implement this Title forty two solution rather than just listing it

during the middle of holidays. The Biden administration has been considering policies that would cut down on the number of migrants at the southern border, and one of them mirrors a Trump policy. You now have the Biden administration contemplating reinstating a Trump era band on getting asylum if you

craw the border. This is now being actively considered. It's something the Trump administration that they said if you crossed the border without having tried to get asylum first in one of the countries you've crossed through, So whether if you've crossed through El Savador or hodurist or Guatemala or Mexico or all of those countries, the idea was, you have to apply for asylum in the first location where

you feel safe. That's something that Trump administration did and that was in litigation, so we don't know if it would have survived litigation or not, and that's one of the things the Biden administration is considering. The second one would be that you're not allowed to get asylum if you try it by crossing the US border illegally. Instead, the only way you can get it is by waiting

at the port of entry. Now, in neither of these two cases are you banned from getting withholding of removal that has a much higher set of story burdens, has far less right, so you can still seek across from there either of those two, but asylum would be bammed if either of these two formulations are implements. And and and perhaps both would be and so then that would really for closo pylum and a lot of it in a lot of case. Let's Leon Fresco of Partner at Holland

and Night speaking with Bloomberg's June Grosso. You can catch more of that interview, plus analysis of the latest legal news, by subscribing to the Bloomberg Law podcast or downloading the show at Bloomberg dot com. Slash podcasts, and attorneys can find exceptional legal research and business development tools at Bloomberg Law dot com and on the Bloomberg terminal at b law Go. Right now, SMP futures are down four points, Stown futures of thirteen, nest Act futures down thirty two,

tenure treasury of three point six six per cent. We checked the business headlines and all the news you need to start your day. Our two of Bloomberg Daybreak starts now.