Bloomberg Daybreak: December 23, 2022 - Hour 2 (Radio)

thirty seconds, he'll three point seven zero percent. They yield

on the two year four point to eight percent. Nine max Screwed oil is up two point four percent of a dollar eighty three at seventy nine dollars thirty two cents of barrel comex gold up six tens percent or ten dollar sixty cents at eighteen oh five ninety announced the euro one point oh six one two against the dollar, British found one point two zero six seven the ends a one thirty two point seven three, and Bitcoin is up a third of a percent at about sixteen thousand,

eight hundred fifty dollars and that's of Bloomberg Business Flash, Nathan Karen, thank you to six fifty six on Wall Street. Bloomberg surveillances straight ahead. First, let's look under these games we're seeing in the futures contract. Some of the pre market movers were joined now by Bloomberg Equities reporters Sagreka, Jason Ghani, Sagrica. Good morning, got to start with Tesla. Are investors buying now that Elon Musk says he's stunned selling?

Good morning, Nathan, and thank you for having me. That's right. Elon Musk is back in focus this morning as you sat first time. It's with Tesla, which is dating a premarket shading. It's about it's up about a descent at the moment after Musk said he isn't planning to say any motions in the company for two years. Just to

put that into context. Musk has sold about forty billion dollars of stock this year, mainly to find his takeover of Twitter and after being one of the out performers in the post COVID stalking about recovery, Tessa shares a dan about sixty four pc this year. UM investors just this week have raised concerns that the Twitter takeover could distract Musk from Tesla at a time when the demand

for electric vehicles is already slowing. So it will also be interesting to see if Mask keeps his word this time, as he has said previously that he would stop selling shares, but then he just went on to sell more. Yeah, it was interesting as well, to say, a pretty big move in one of the favorites this year for retail traders, AMC Entertainment. They came out with that plan to convert preferred equity and the shares dropped a pretty significantly yesterday.

How's AMC doing this morning? That's right, it's it's down about seven percent again this morning. Um so, as you said, MC which of course operates the world's largest movies see at the chain. So it looks like it's set for another day of declines after it proposed yesterday that it would convert preferred equity units into common shares. The main UH motive for that is to avoid becoming a penny stock, and the company is seeking a special share hole they're

needing to vote on the board proposals. Now, the show has had tumbled about two yesterday at one point, but it is. Uh. It's worthy of noting that they did pare a lot of that at the time they closed, so it could go either way today. So you're watching

another name that's moving on earnings this morning. You're making me hungry Sagrica with this report on Mission Produce, the avocado supplier absolutely always um, you know, breakfast hab which is called to us as all those things, and Mission Produce isn't moving yet this morning, but it did slump about thirteen percent after the closing bell yesterday when the company reported disappointing results for the fourth quarter, and it has also forecast little pricing in the first quarter on

a sequential basis. However, in a bright spot, it did say that the industry is expecting volumes to be higher in the next quarter, primarily due to expectations for a larger Mexican harvest. All right, So, Jyson Ghani, Bloomberg Equities reporter, thanks for this. Really appreciate you having having you on with us this morning. Looking ahead to the market, open futures are moving higher, SMP futures of five points, staff futures up seventy one, and NASAC features are on the

rise right now. By thirteen points ten. Your treasuries down seven thirty seconds, yield three point seven per cent. This is Bloomberg Daybreak. I'm Nathan Hagar along with Karen Moscow. Bloomberg Surveillance starts right now by from the financial capital of the world, broadcasting across the globe. This is w BBR, New York, Bloomberg. He Living Foe. This is the most expected,

most anticipated procession ever. Markets headlines and breaking news twenty four hours a day at Bloomberg dot Com, the Bloomberg Business at and at Bloomberg Quick Tape. He's a Bloomberg Business Lange and I'm Karen Moscow. And futures around the rise this morning. Let's go to the first word breaking news dance for today's morning call. And here's Bill Maloney. Bill, good morning, Hey, Good morning, Karen. A modest bounce in

the futures. Fuys today sell UF with dout futures up eighty two points, supes gained seven and nastic futures rise by two. The US ten year old at three point seven percent, Gold is hired by five, Oil is in the green, and bitcoin is trading little change. Japan fell one overnight, while up markets are quiet. This morning, and back in the US on the economic Frinday at thirty pc to flatter and durable goods orders and at ten o'clock Michigan sentiment and new home sales. You know the news.

Elon musk vow to stop selling Tesla shares for the next two years, and Facebook agreeds to pay seven twenty five million over the Cambridge Analytical Analytica scandal. Wrapping things up, Charlotte was upgraded to equate Rrett Wells Fargo Live from the first breaking news discon fill Maloney care fret bill. Thanks to dear live breaking news. O your Bloomberg types, squawk on your terminal SCU a w K and that's a Bloomberg business flash. Now here's Michael Barr with more

on what's going on around the world. Michael Karen, thank you very much. Frigid air making its way east across the US, with several states issuing blizzard warnings, metrologists warning the conditions could create bomb cyclone conditions and spots whether it's also caused widespread travel disruptions. The Senate passed one point seven trillion dollars spending bill yesterday in an effort to stop a government shutdown. The bill now heads to the House, where it is expected to pass. In the NFL,

the Jets lost to the Jaguars. In the NHL, the Islanders beat the Rangers five three the Bruins one. In the NBA, the Wizards lost. Global News twenty four hours a day on air and on Bloomberg Quicktake, powered by more than twenty seven hundred journalist analysts in more than a hundred twenty countries. I'm Michael, This is Bloomberg. Karen,

all right, Michael Bart, thank you. At six forty two on Wall Street, we turned to news and science and technology now with the Bloomberg and j I T stem Reboard, and here's what's making news and science, technology, engineering, and math. Bion Tech has begun human trials on a vaccine for malaria. It's a fresh test for the messenger RNA technology that powered the most successful immunizations against COVID nineteen. The first

patient was dosed two days ago. In the phase one study will enroll sixty patients and use three different doses for a single vaccine candidate. According to bion Tech CEO Wahwei has secured an extension to a patent licensing deal with Nokia, suggesting the Chinese company continues to lead in networking technology. The announcement indicates appetite for access to Wahwei's

next generation telecom patents remains strong. That's in spite of US accusations the Chinese giant poses a threat to national security and in massive final stage trials under way at ELI, Lilly and a side researchers planned to test brain plaque removing drugs on thousands of healthy adults. Now the hope is to stave off cognitive decline before it begins, or at least delay it. And it's an ethic drug makers are testing in hopes of stopping Alzheimer's before it starts.

That's really one to watch, Nathan Heger, that's the Yeah, it's a bloomberg nj I t STEM report that could be a remarkable breakthrough if it goes through. It's something that I know that the Alzheimer's patients have been waiting for for years. Thank you for this, Karen. We're coming up too on Wall Street and it's time now to check what's going on in DC. Hardly a sleepy December

in the nation's capital. The January sixth Committee just dropped its final report, and it blasts former President Donald Trump for the capital assault. Also making news a giant funding bill passing the U. S. Senate Ukraine aid and election fix. No new COVID funds though in this legislation, and President Biden targeting Russian mercenaries the latest round of sanctions over the war in Ukraine bloom for government. Reporter Emily Wilkins is taking some time away from pouring through the January

six report to give us an idea of what's in it. Emily, good morning. I guess the big takeaway is that for this committee, blame for the insurrection comes down to one man, Donald Trump. Yeah, that's been the committee's feeds us all along. And now the Committee is saying that they need to Congress brother needs to move to make sure that Trump cannot be president again, that the others involved with the January six insurrection also cannot hold any sort of government

office or military office. Um. This comes uh as the report basically summarizes a lot of what we saw the Committee already discussed in their last several hearings, but we have gotten a couple of new details, such as the fact that the Trump campaign tried to contact nearly two hundred state legislatures to get support for state level action on overturning election results. That includes lawmakers and the key

states of Pennsylvania and Michigan. UM. So, really just the report is just sort of capping off a lot of what we've already heard and seen from the committee. Um just in terms of really the solidifying that recommendation that Trump not be allowed to hold public elected office. Again, what do you expect happens now? Emily, This committee has been meeting holding hearings for more than a year and a half. Now it's come out with its final report.

But as you know, the committee is going to be disbanded in the next couple of weeks here when the new Congress comes in. The ball is really really now in the Justice Department's court. They've also been looking into and investigating, uh, what's what happened with the insurrection as well as Trump's attempts to overturn the election. Remember they hired that special counsel to try and make it a little less politicized as well. Uh, And so we're going to just be wait waiting for them to see what

their results are. We know that investigation is underway that they're seeking documents and a lot of what we are seen in this January six Committee report that's going to be going towards the Justice Department and towards their investigation. So the fact that we have all these transcripts out now, all these text message that the Committee has really released their trope of data. A lot of that is going to go now toward the Justice departments that own investigation.

What about the recommendations that are coming out of this report from the Bloomberg reporting on the terminal, there's a lot of detail, a lot of summarizing of what happened during the insurrection, But when it comes to what comes next from what this committee is recommending, it seems as though it's a little bit vague, a little bit, a little bit thin when it comes to what the committee

wants to see. Well, for a certain part, with the committee, they're limited in what they can do, right, I mean, they're not able to pass legislation, they're not able to

actually bring charges against someone. What the committee, and what you've really heard from lawmakers who sat on it from the beginning have said is that they really want to make sure that they are doing a thorough investigation into what happened there see themselves as writing sort of like a comphensive, drafted history of exactly what happened in the lead up to January six and on January six, and

that's what they really reframed their efforts. As there was debate among the committee as to whether do any sort of criminal referral to what to refer they wound up with four charges more we're discussed, um So, I think we're sort of seeing the limits of the of the committee's power right now and exactly what they're going to do going forward, because you're right, Nathan, I mean they're going to disband and Republicans are are you know, if anything,

they're going to set up a committee to investigate the January six Committee, but we're not going to see a lot of these investigative efforts next Congress. Kind of about a minute or so left here, Emily and I guess the final act of this Congress is to pass a massive spending bill. It got a bipartisan vote in the Senate last night. What are we expecting out of the House. It's all just a matter of process now, Nathan. We are expecting the House to pass that of course Democrats

have the votes. We saw a couple of Republicans as well being supportive of the week long extension to get us to this point. Um, we are. We do know that this isn't going to get the same level of bipartisan support that it got over in the Senate. Republicans have been really strongly whipping against this bill. Um, including the House Minority Leader Kevin McCarthy, who's said to become speaker next year but has a handful of Republican colleagues

who are saying, you know, we're not too sure. We're concerned about spending, So this will be it's a chance for Kevin McCarthy to try to show his members that he is serious about cutting spending. But at the same point, there's every indication that this bill is going to pass. The only reason that has it yet is because there's a whole network of processes of procedures that have to go on and they just weren't able to get those done by Thursday, and so that's why we're coming back today.

But the House is very much expected to pass this one point seven trillion government funding bill. Yeah, I'm sure they want to do it in a hurry. Before the temperatures get really really cold and a big winter storm heads. Washington's very worried about. Yeah, I would imagine so. Emily Wilkins of Bloomberg Government, as always, thanks for keeping us up to speed on what's happening in the nation's capital. Hope you and yours have a very happy holiday, and

we'll talk again in the new year. Bloomberg Government's Emily Wilkins with us this morning. Read more at Bloomberg dot com or on the Bloomberg terminal, where you can find a link to the January six report as well, and follow all the latest on Bloomberg Radio in Washington Bloomberg and one oh five point seven FM HD two SFP futures are highered now by seven points staff futures of eighty three NASDAC futures on the rise by twenty six

points ten. Your treasuries down eight thirty seconds, yield three point seven zero percent, and the yield on the two year right now four point to eight per cent. Check bitcoin, it's up three tenths per cent, six fifty. This is Bloomberg Markets, headlines and breaking news twenty four hours a day at Bloomberg dot com. Bl Bloomberg Business at and at Bloomberg Quick Tape, She's a Bloomburn Business Flash and I'm Karen Moscow. US Dock Index futures are a higher

ahead of inflation data do out later this morning. We checked the markets all day long here on Bloomberg, with SNP futures up twelve points or three tens of uppercent. Dow and Nastack future is both also up three tens of uppercent, but down features up a hundred fifteen points and Nastack features up thirty six. The decks in Germany's up about four tens of a percent. Ten year treasury down nine thirty seconds. He'll three point seven one percent.

They yield on the two year four point to nine percent. Nimex screwed oil is up one point eight percent of a dollar thirty five at seventy eight dollars eighty six cents of barrel called MIxS gold up six tens percent or eleven dollars fifty cents, and eighteen o six eighty announced the Euro one point six two five against the dollar,

British pound one point two zero eight seven. They had one thirty two point six seven and bitcoins up three tens of percent at about sixteen thousand, eight hundred fifty dollars. Investors will be focused on the core PC to fla eater today. It's a key inflation measure track by the Fed. Saturday Wall Street Town, along with personal income and spending in direble goods, orders on new home sales, and consumer sentiment arount of ten and that's a Bloomberg business flash.

Now here's Michael Barr with Moore on what's going on around the world. Michael, Karen, thank you very much. A Winders storm has caused thousands of flight cancelations amid one of the most treacherous holiday travel seasons in the nation that has ever been in decades. The House committee investigating the January sixth attack on the U. S. Capitol delivered a scathing report, and its released yesterday. I blame one man, former President Donald Trump, for inciting violence to try and

hold onto power. The Senate passed one point seven trillion dollars spending bill in an effort to stop a government shutdown. In the NFL, it looks like New York's Gang Green suffered from jet jag. The Jets lost to the Jaguars nine three. The NHL, the Islanders beat the Rangers, the Bruins one NBA of the Wizard's loss. Global news twenty four hours a day on air, end on Bloomberg Quick Take, powered by more than twenty seven journalists and analysts more

than a hundred twenty countries. Michael Barr, this is Bloomberg, Nathan, Thank you, Michael. We're coming up to six twenty four on Wall Street. I'm Nathan Hagar. This is Bloomberg Daybreak. And later today, the House takes its final action of the year, one point seven trillion dollars spending bill that

includes billions at eight to Ukraine. The Senate passed it on a bipartisan vote last night, a day after Ukrainian President Voladivir Zelenski came to Washington addressing Congress in his first trip outside his war torn country since the Russian invasion began. And for more on what the speech meant to lawmakers, Bloomberg's Joe Matthew spoke with former Ambassador to Poland Daniel Freed, that speech brought home to a lot of members of Congress that this is a real war

and the Ukrainians are fighting back. Zelenski symbolizes their resistance, and those kind of human moments make a difference. I remember when luck Lewenza spoke to Congress in uh they increased US assists for Poland right at the beginning of its transformation. Now communism has already gone when Valencia is here,

and the fighting is still raging in Ukraine. But speeches like this by leaders who symbolize resistance, or Winston Churchill coming to Washington right after Pearl Harbor, so those are fair comparisons. In Yeah, well, I think I think it's fair. This is a big war. Plutins started a major land war in Europe. We haven't seen this in Europe since nine and it's a war of conquest. So you bet

it's a big deal. And American interests are at stake there at stake now in Ukraine, the same way we had interests at stake in Europe during World War Two, and for the same reason. By the way, the one sentence is it's not an American interest to have dictators trampling other countries in Europe. It's not in the American interest. Rose Republicans were in the chamber for the speech. We know that there were several of them, not applauding or

or standing for the ovations. Ambassador, what's your thought on that? What would be your message to them? Well, what would Ronald Reagan say? He'd be applauding a fighter for freedom. He believed in in those fighting for freedom. He didn't believe in caving to dictators. And I do understand the calls for a good accounting of the money that we've been spending on behalf of the Ukrainians, and I think

the Biden administration is ready to answer those questions. But for some it's not what Some Republicans of minority, thank goodness, I think it's not in the American interest, or a few are even on Putin side, which is simply revolting. Do you believe that money has been spent wisely? I think so, and I think that Ukraine's resistance has been made possible by the weapons that the Americans have sent.

That we have sent. That's a good investment. You're investing in freedom and investing in showing a dictator that's Vladim imputinent that he's not gonna win, and Americans should consider. Suppose the Ukrainians win, that's a big deal. And that's former Ambassador to Poland. Daniel Freed speaking with Joe Matthew on Bloomberg Sound On. You can catch the show weeknights at five pm Wall Street Time on Bloomberg Radio, or you can download the show listen to it any time

wherever you get your podcast. We have your top stories of the morning, local headlines of the check of markets. Next, first, the holiday weekend weather forecast rain Taper's office and scattered showers that will be windy today. Temperatures will drop from

the fifties into the thirties. We have a wind advisory in effect of the Tri State area through ten pm, partially clearing breeze the overnight, the windside down a bit those overnight ten to fifteen Tomorrow partly the mostly sunny at times it's breezy, cold heghty twenty five, clear, breezy

Christmas Eve, and sunny Christmas Day to thirty. I'm Rob Caroline with your three day forecast on Bloomberg eleven three oh broadcasting live from the Bloomberg Interactive Broker's studio in New York, Bloomberg eving for you to Washington, d C, Bloomberg nine one to Boston Bloomberg one O six one to San Francisco, Bloomberg Non sixteen to the country, Sirius XM Cho one nineteen and around the globe, the Bloomberg Business app and Bloomberg Radio dot Com. This is Bloomberg Daybreak,

coming up to six thirty on Wall Street. Good morning, I'm Nathan Hagar and I'm Karen Moscow. We are just about three hours away from the open of US trading. It's time for the five things you need to notice start your day, Brought to you by Innovation Refunds. Your business may be eligible to us 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 I'd get refunds. Dot Com First. US futures are higher after stocks snapped at three day winning streaking yesterday. Tech stocks in particular are on course for their worst

December since the dot com bubble burst. Now Moura's head of process at Strategies, Matthew Rowe, believes there'll be one trade in particular that will cause investors some pain next year. I think it's growth stocks. I mean I think when you look at you know, with interest rates in zero, the present value of anything is equal to what it will be in the future, um as a discounting function. When you start to take rates up, especially for nonprofitable companies,

that gets pretty ugly from a fundamental perspective. Matthew Rowe with no Morris says the broader take downturn is a sign of a market shrend that could continue into and investors will have some more economic data to the jest Karen, But for the holiday weekend, we get the latest greeting on consumer spending at eight thirty Wall Street time. Then

attend the University of Michigan Consumer Sentiment Index. Alright, And meanwhile, and Shina Nathan, we're learning this morning nearly thirty seven million people may have been infective at COVID nineteen on a single day this week, according to estimates from the government's top health authority, making the country's outbreak by far the world's largest. Comes on the heels of a complete

reversal in the country strict COVID zero policy. Turning to Tesla now after offloading a massive sum of shares this year. The CEO, Elon Musk, says he will not be selling shares for a while. Bloomberg Steve Rappaport joins US Live, Steve, Good Morning, Nathan and Karen. Shares of Tesla climbed as much as three and a half percent in pre market trading after Elon Musk said he's done offloading for now.

I'm not selling any stock for I don't know. Quote a minimum eighteens and twenty four months, so you can count on me. Like most no stock sales will probably out of twenty five or something. Musk has made such declarations before, only to sell more stock. Much of the forty billion dollars of shares he sold this year were to fund his acquisition of Twitter Live in New York.

I'm Steve Rappaport, Bloomberg Daybreak, Steve, thank you at turning to Crypto now and the latest on ft X and Sam bankmun Free The Exchange is former CEO has released in a massive bail package after making his first U S Court appearance yesterday. And in politics, the House committee investigating the January six attack on the Capitol has released its final report, casting blame on former President Donald Trump, specifically for inciting violence to try to hold on to power.

And that's the five things that you need to notice start your day. Brought to you by Innovation Refunds. And again, futures are high er SNP futures, they're up a quarter percent or nine points this morning. Down futures up three ten percent or a hundred one points, NASTACK futures up twenty five points or two tents of a percent. And this is Bloomberg al right here, and thank you to six thirty one on Wall Street Time now to check what's going on in New York and around the world.

We're gonna be shivering very soon. Here's Michael Barr. Good morning, Michael, Good morning Nathan. A nasty winter storm has cost thousands of light cancelations, including here in the Tri State area. Bloomberg meteorologist Rob Caroline has more. Michael, powerful winter storm continues to develop over the eastern Great Lakes this morning.

This system is going to be driving a cold front through much of the eastern part of the country this morning, where we're seeing temperatures in the fifties and sixties out ahead of the front. Generally in the teens across the Ohio River Valley behind the front, and then it's in the single digits below zero across the western Ohio River Valley. All this are now going to work its way into the southeastern United States day, the mid Atlantic States, and

the Northeast. It's also going to set up some very potent lake effects snows outside of Buffalo today, they could see anywhere from one to three ft of snowfall from today through Christmas Day. And it's also going to be a companied by winds that are gonna be gusting in times over sixty miles an hour. This is gonna be one of the coldest Christmas Is for the century United States, probably since coldest Christmas in the Northeast since at least Michael,

Thank you Rob. A trip on a Staten Island ferry turned out to be anything but a normal ride. Last night. We received the nine one one call reporting a fire in the engine room of one of the Staten Island ferries. Frankly, but the f d n MIA says more than eight hundred passengers had to be evacuated. The Senate passed at one point seven trillion dollars spending bill in an effort

to stop a government shutdown. Democratic Senator Patrick Leahy. Most of what's in here has been put together by priors of fashion funding things that we all say we agree with. Republican Senator Richard Shelby. This bill, we know what it is. We know it's ombimus, we know it's not perfect. Uh, but it's got a lot of stuff in it, a lot of good stuff. The bill includes a forty billion

dollar aid for disaster relief. Global News twenty four hours a day on air and on Bloomberg quick Take, powered by more than undred journalists analysts more than a d twenty countries. Michael Barr, this is Bloomberg. Nathan, alright, thanks almost six thirty four in Wall Street time for the Bloomberg Sports Update with John Stash. Thanks Nathan. Hard to believe now, but the Jets not that long ago. We're flirting with the idea of winning the a f C East.

They're in last place now. Their season's pretty much gone down, the two four straight losses, just two wins in the last eight games. Again last night in the Jets home finale, pretty good effort by the defense, allowing Jackson Go to score only one touchdown, but virtually no offense. Just Jets got an early field goal only because of the Jaguars fumble, and they didn't score after that first half. They had three first down sixty six yards. Zack Wilson threw another

interception late third quarter. Wilson got benched again. The crowd loved that, this time in favor of the undrafted former Winnipeg Blue bomber Chris Traveler, who had some good moments for the Jets in the preseason. He outplayed Wilson. He ran for fifty four yards and just over a quarter with the Jaguars made it three straight wins, five wins

in their last seven games. They won in the rain nineteen to three, and Wilson was asked about losing his job again offensively, and you know, I'm trying to figure it out, trying to help get the guys going. I'm trying to, you know, get myself in a little bit of rhythm and and you know, we had nothing there, and so you know, you can't blame Hi in that situation.

You know, he put Chris out there, and he's obviously great with his legs in his arm and he was able to give us a little bit of sparks Ninian's Way. Tomorrow at Minnesota, the Giants win and they get two of three teams to lose between Seattle, Detroit and Washington.

The Giants Clint to play up at the Garden Rangers with Theologers five to three goal to Assister Barkley Goodrow Capocco Store to go ahead go with under three minutes left home games with the Knicks, and next tonight Nick's Welcome in Chicago and the Nets to look to keep their win Street going against the wa talks to actually were Boomberg's brought to you buy out He don't let

someone else drive off in the autie model. You've always wanted to visit your local try seat Outie Dealer to get behind the wheel of yours today, or visit outie Offers dot com for more information. It's six thirty five on Wall Street. The following is an editorial from Bloomberg Opinion.

This editorial was written by the Bloomberg Editorial Board. As the demise of the ft X crypto empire unfolds, lawmakers and regulators are grappling with a question, what, if anything, should they try to do to civilize a market so rife with abuse. Some might be tempted to sit back and hope the crypto market will simply burn out, putting an end to the whole bizarre episode, but that would

be wishful thinking. Officials need to act on the lessons of fiascos from the collapse of the terrorist stable coin to f t X, to ensure that renewed speculation never threatens the broader financial system. Clear rules would provide authorities with the framework they need to crack down on bad actors, a category into which ft X would have fallen. A few regulatory fixes should prevent crypto from becoming a systemic threat.

This editorial was written by the Bloomberg Editorial Board. For more Bloomberg opinion, please go to Bloomberg dot com, slash opinion or opi and go on the Bloomberg terminal. This has been Bloomberg opinion, and you can hear Bloomberg opinion editorials every weekday at this time. Terminal customers can read more at op I end go. It's six thirty six on Wall Street. Bloomberg Radio is on the air from

San Francisco to New York, London to Hong Kong. Let's check in with our global news team for some of the top stories heard on our three hundred affiliate radio stations around the world. Um Grin, He's done, Hoan Kathabe and Omaha. The extreme calls is endangering crops, livestock and rail lines from the latest blow to the food supply. I'm Jeff Goveringer and on WTV and in Columbus, I'll be updating the business and financial and to the big Winter's roar. I'm Karin Head Film bloom Bag Dad Radio.

In London. We are reporting on bord of force workers on strike as we await news on newstrike dates from the nurses Union. I'm Steve Poto, Scott k and X in Los Angeles. We're talking about the golden age of television getting a little tarnished as streaming services cut costs.

I'm a Tory on w w J and Detroit. I'm reporting the city has awarded recreational marijuana linenses the thirty Greek companies and though are some of the stories that are twenty hundred Bloomberg journalists and analysts are working on this morning around the world. Right now, Futures are moving higher, though trimming some of the gains on the session. Right now, SMP futures are up seven points. That's a gain of two tenths per cent. Down futures are hired by eighty nine.

NASTAC futures on the rise by twenty three points. The futures have been as high as four tenths percent higher. So, as I said, giving back some of the gains right now, send your treasuries down eight thirty seconds, yield three point seven zero percent, and the yield on the two year

right now four point to eight percent. Straight ahead, will head to the nation's capital where they're pouring through the January sixth report and getting ready to pass a giant spending bill before lawmakers try to beat their way ahead of a storm. This is Bloomberg Live from the Bloomberg Interactive Brooker Studios. This is Bloomberg Day Break for Friday, December twenty two. Coming up this hour. Kids look for gains ahead of the holidays and made concerns over fed tightening.

In January six committee releases a skating report with blame focusing on former President Trump, Sam Bankman freed released on a massive bail payment, and starring COVID cases threatened China's economy, people taking planes trains and automobiles are hoping a window storm does not play Grinch with holiday travel plans, plus a fire on a New York ferry. I'm Michael bar More Ahead, I'm Don Stashower. The Jets losing street, continue to struggling offense and a home loss to Jacksonville. The

Rangers beat the Islander. That's all trended ahead on Bloomberg Daybreak on Bloomberg eleven Free on New York, Bloomberg one, Washington, d C, Bloomberg one oh six one, Boston, Bloomberg nine sixties and Francisco Syrius x M one nineteen and around the world on Bloomberg Radio dot com and via the Bloomberg Business App. Good morning, I'm Nathan Hagar and I'm

Karen Moscow. Ust Index futures on the rise this morning, and we checked the markets all day long here on Bloomberg SMP future is up fourteen points or a third of u percent down. Futures up about the same, or a hundred twenty seven points. And as that futures have four tenths per cent or forty six points. The decks in Germany's have four tenths of upper cent. Ten year Treasury down six thirty seconds. You have three point seven zero percent and they yield on the two year is

at four point to seven percent. Nathan, alright, so we're on the rise this morning, Karen, but Stuck snapped a three day wind streak yesterday. The latest strong economic data seemed to validate the case of the Federal Reserve can continue tightening monetary policy, and that's set a downbeat tone. Tech stocks in particular are on course for their worst December since the burst of the dot com bubble. Namera's head of process at Strategies, Matthew Roe, says, it's the

son of a broader market trend. We're sort of getting off of that addiction to zero interest rate free ride on risk, and that's why I think is going to be the year of credit, because most investors haven't had to contemplate rising implied in actual default rates, you know,

eroding credit markets, widening credit spreads. So it's gonna be an interesting education and path for investors in Matthew Rowe with Numeri says growth stocks will be the big pain trade in three and Nathan, investors get more data to digest today, just ahead of the holiday weekend, Bloomberg's If Any Deal, Judace has a preview. In October, consumer spending adjusted for inflation posted the largest increase since the start of the year. Today's report could tell a different stories.

Inflation chips away at household finances. Preliminary data show November retail sales dropped by the most in nearly a year. Also on today's data agenda, new home sales, then Heat del Judace, Bloomberg Daybreak, right any thank you, and we'll get one more notable data point at ten am Wall Street time at the University of Michigan Consumer Sentiment Index. That report has proven to be a market mover in

recent months. Right Let's gender markets moves in Asia Now, Karen, We saw weakness across several markets ahead of the weekend, and Bloomberg's and Curtis has more. Asian equities tracked lower after a slump in US technology stocks. Strong US economic data strengthened the case for the Fed to continue raising interest rates. The Hank Sank Tech index led the falls, but weakness was also seen in Japan, Australia, and South Korea. Elsewhere. Oil headed for a big weekly gain. Has China shift

away from COVID zero bolster the outlook for demand. Brian Curtis, Bloomberg Daybreak, Right, Brian. Thanks. Meanwhile, in China, we're learning this morning nearly thirty seven million people may have been infected with COVID nineteen on a single day this week, according to estimates from the government's top health authority, making the country's outbreak by far the world's largest. It comes in the heels of a complete reversal in the country

straight COVID zero policy. All right, let's turn back to this country caring. A major note in politics of the House committee investigating the January sixth attack on the US capital, they've released their final report on the insurrection, and it cast the blame on former President Donald Trump, specifically for citing violence to try to hold onto power. The fourteen page reports detales the Trump effort to pressure state officials

and the Justice Department to overturn the election. The committee also recommends that Congress establish a mechanism that would formally bar Trump and others identified in the report from holding any government or military office under the fourteenth Amendment. But he turned to Tesla now Nathan after offloading a massive sum of Tesla shares this year CEO Elon Musk says he won't be selling shares for a while. On Bloomberry, Steve rapp Report joins US Live with that story. Steve,

good morning, Good morning, Karen, and Nathan. Musk sold almost forty million dollars of Tesla shares already, mostly to fund his purchase of Twitter, and now he's ready to take a break. I'm not selling any stock for I don't know, quote a minimum eighteens and twenty four months, so you can count on me. Like most now, stock sales will probably on twenty five or something. Musk's declaration was in response to a question from longtime investor Ross Gerber, who

challenged the CEO's leadership of the elector vehicle maker. Shareholders seemed pleased with the announcement, with Tesla stock rising as much as three and a half percent in pre market trading Live in New York. I'm Steve Rappaport, Bloomberg Daybreak. All right, Steve, thanks, so let's get the latest on ft X and Sam Bankman freed. The collapse Crypto Exchanges former CEO was released on a massive bail package after

he made his first U S court appearance yesterday. The package includes a two hundred fifty million dollar personal were cognizant sponds secured by his parents home in California. One federal prosecutor calls this one of the largest pre trial bonds in US history. Sam Bankman free faces fraud charges over the collapse of f t X. His next court appearance isn't too far away, now scheduled for January three,

well as the ft X sanga plays out, Nathan. SEC chair Gary Gensler is saying the agency's patients is wearing thin for digital asset exchanges and other firms that sir gets regulations. We get more from Bloomberg stud Kristner. In an interview yesterday, SEC Chair Gary Gensler said the agency's patients is wearing thin for digital asset exchanges and their firms that sure gets regulations. Gensler said the runway is getting shorter to start following rules and register with the agency.

He also said the casinos in this Wild West are non compliant intermediaries. Gensler also declined to identify firms facing scrutiny or common on where the probe of ft X may go next. In New York, I'm Doug prisoner Bloomberg daybreak, All right, Doug, thank you, and oils headed for a substantial weekly gain as Russia says it may cut crude production in response to the G seven price cap on

its exports. Taking a look at the price now, Nimex crude is moving higher by one cent of a dollar forty three at seventy eight dollars ninety two cents of barrel SMP futures are higher by sixteen points. And straight ahead your latest local headlines and a check of sports. This is Bloomberg. That sounds six though seven on Wall Street. Fifty five degrees in New York. But it's not going to stay mild for long. We expect temperatures to sink like a stone this afternoon, and Michael Barr is here

to help us get ready for it. Michael, thank you very much, Nathan. Two hundred million Americans are expected to be affected by this massive winter storm rolling across the country. Here in the Try State area, temperatures are forecast. Like you said, the plummet around thirty degrees and hours freezing any rain already on the roads. Strong winds, snow, and flooding are also part of the storm. This woman lives in Lyndenhurst, New York, where she says there was flooding

from heavy rain just last week. I do get nervous as far as losing power and just trying to manage what we're gonna do, as far as eating and just making sure we have a heat on. Hundreds of flights have already been canceled or delayed in the Tri state area. Meanwhile, President Biden worn Americans to take the storm seriously. It goes from Oklahoma all the way to Wyoming, and Wyoming to Maine, and it's several consequence. So I encourage everyone, everyone,

please local warning. The President says. It's not like a snow day when you were a kid. This is serious stuff. Hundreds of New York City commuter has had to be evacuated from a Staten Island ferry after a fire broke out on board last evening. Officials say there were no major injuries, but at least five people are being treated for smoke inhalation. Officials say workers quickly detected the fire, activated a high tech suppression system, and sealed the flames

behind air tight doors. F d n Y Deputy T. Frank Lee praised the crew members for their response. This is the way the system is supposed to happen. When fire just supposed to notify the coast guard, and then you're supposed to make sure that you seal it and get the people out of the way. So everybody acted the way that the way I would expect them to. The f D n MS Frank Leeves has passengers filed downstairs and evacuated onto other ferries which had race to help.

A Connecticut judge denied Info Wars host Alex Jones's motion seeking a new trial and the overturning of a jury verdict requiring him to pay hundreds of millions of dollars to families of victims of the Sandy Hook Elementary School shootings. For years, Jones described the twenty twelve shootings in Newtown as a hoax. Global News twenty four hours a day on air and on Bloomberg Quick Take, powered by more than twenty seven hundred journalists and analysts and more than

one twenty countries. I'm Michael Barr, and this is Bloomberg. Nathan. Thanks Michael six o nine on Wall Street time for the Bloomberg Sports Update with John Show. All right, Nathan didn't seem as if this was possible, But things have

gone from bad the worst for the Jets. Young quarterback Zack Wilson lost his job to Mike White, got it back when White got hurt, lost his job again last night, got bench late third quarter, and the fans who braved the weather went wild when Wilson was removed in favor of Chris Traveler. Wilson was the second pick of the draft s. Traveler is the former Winnipeg Blue Bomber who wasn't drafted at all. Jacksonville one in the rain at MetLife Night, team to three, and both teams were now

seven and eight. For the Jaguars are red hot that they win their last two games, they're going to the playoffs. The Jets fading fast. They've lost four in a rows six of the last eight. Their season, which was going so well earlier, will almost certainly ended a couple of weeks, and then the Jets will have to decide what to do with Wilson. Giants way Tomorrow in Minnesota, Philadelphia brings its thirteen and one record into Dallas and Gardner Minshew

will quarterback the Eagles to the injured Jalen Hurts. Lamar. Jackson's gonna miss a third straight game for Baltimore at the Garden, Rangers and Islanders goes back at the ark point for tro check for Panarin at the circle, back up top for Fox. Straight away Fox drives to the far circle. Fox still with it, passes the Savantage that quickly pay four play Rankers and Islanders longer to call.

They were also tight at two and then three, and that's when Capo Caacko scored with under three minutes left. The Rangers won five to three. They held the Islanders only eighteen shots, and the Rangers have won eight of their last nine, while the Island There's have lost five of six, nicks of one eight of nine. They host Chicago tonight. The Nets go for an eighth win in a row home game with first place in Milwak. John S, Bloomberg Sports, Nathan Okay, John Thanks, and Bloomberg Sports was

brought to you by Audie. Don't let someone else drive off in the Audi model. You've always wanted to visit your local Tri state autie dealer to get behind the wheel of yours today, or visit autie Offers dot com for more information. Futures may taking a leg higher this morning We've got SMP futures up fourteen points, staff futures up a hundred twenty nine, NASTAC futures are higher by forty eight points. That's a gain of four tenth percent across the board for the futures in disease ten. Your

treasuries down six thirty seconds. You'ld three point seven zero percent. The yield on the two year right now four point to eight percent long bond, the thirty year yield three point seven six Live from coast to coast, from New York to San Francisco, Boston to Washington, d C. Nationwide on sirius x them the Bloomberg Business Happened Bloomberg dot Com.

This is Bloomberg Daybreak. Good morning, I'm Nathan Hager, and we are joined this morning by Sam Stovall, chief investment strategist at cfr A Research, as we limp our way to the end of two and look ahead to twenty three. Sam, good morning, Really looking forward to getting your perspective on what we've seen in two with the SNP on track for a twenty percent decline this year as the Fed fights inflation. It seems as though fighting the Fed has been a losing game. What do you make of the

action that we've seen in this year gone by? Well, good morning, Nathan. Uh. Certainly it is one of the ten worst performing years going back to So if there is any kind of consolation, historically when we have had a negative year, it's been positive the year after, rising on average of four and only in the three year Mega meltdown of two thousand through two thousand and two

did we have back to back negative years. So you know, if there is some sort of a consolation, it is that possibly we end up with a positive return in tree. Do you think that's a possibility given the messaging that we've heard, not just from the FED but central banks around the world, particularly with the move from the Bank of Japan just this week, that higher for longer is going to be the story in the well, that certainly

is the worry, um. And also the worry is that because so many strategists are saying that three will be a tale of two halves, where the first half is the challenging one where a bottom will likely be put into place, and that we then have a recovery in the second half, one has to worry. Well, either we don't get any kind of a real meaningful decline and that the October twelfth low was the low for this market, or we end up slipping into a multi year mega

meltdown bear market. I'm going to stick with the tail of two halves. I believe that the FED will stop raising rates by the end of the first quarter of twenty three, and history tells us that the FED starts to cut interest rates about eight and a half months after the last week hike, so that would point to December as a possible beginning of an easy move. There's still a lot of unknowns h heading into that forecast, though,

is that there. We've still got a war in Ukraine, We've got this COVID situation in China where we're just hearing from the Chinese government that as many as thirty seven million people in one day could have been infected with this dramatic shift from COVID zero to a something of an attempt reopening that's causing the virus to explode. What about some of those exogenous factors that are out of the Fed's control, Well, those are certainly items that

investors have to be concerned with. We've had almost a year's worth of UH prontation in Ukraine UM so possibly would actually bring some sort of resolution um, ceasefire, etcetera, which I think would be very supportive at least of European equities. Also, maybe we find that China is more willing to import vaccines from the US, which would be

helpful to their situation as well. Wall Street has constantly climbed a wall of worry, and these have been with us for a while, so I think that that likely has already been factored in the share prices and forecasts. How about the earnings back drop going forward? Here, we got strong earnings this week from sort of consumer facing names like FedEx and Nike, disappointing results from some of those tech names like Micron Technologies. What does that tell

us about the earnings picture heading into the first quarter. Well, it's offering a glimmer of hope in an otherwise dismal environment because now expectations are that we will be flipping into an earnings recession with the fourth quarter of this year being down two point eight percent, followed by negative year on year changes in three for the first two quarters uh and then starting to see a comeback in the second half with a more than ten percent advance

expected for so, I think that historically we've found that earnings recessions have been coincident with the beginning of economic recessions. Uh so, we might find that the economic recession overlaps the earnings one from possibly the fourth quarter of this

year into the half first half of next year. Only about thirty seconds left here, Sam, as you know, the portfolio hasn't been a winner this year, couldn't make a comeback in twenty three and what would that look like if it if it does well, That's an interesting question because certainly the sixty is something that investors have had

to worry about. But traditionally, go back over the last fifty years, we have found that the next year after a decline in a portfolio, we have seen the market up or the portfolio up by a little more than rising in price almost of the time. I think the real problem is what will equities be doing, because in most of those cases what was dragged down of the portfolio was for equity side side. Thanks for this as always, hope you have a happy holiday and a prosperous new year.

For sure. Sam Stovall's chief investment strategist at c F r A prosperous this morning. At least in the futures contracts. We have gains modest gains across the board. This is from