Bloomberg Daybreak: January 10, 2022 - Hour 2 (Radio)

worst flyers in New York City modern history. Plus tributes come in for comedian Bob Saget. I'm Michael Blower. More Ahead, I'm John Stage Sharon Sports, the Jets and Giants lost as the NFL regular season ended, the Raiders, Steelers and forty Niners grabbed the last playoff spot. That's all straight

ahead on Bloomberg day Break on Bloomberg. You live in FREEO New York, Bloomberg one, Washington, d C, Bloomberg one, O six one, Boston, Bloomberg nine sixties, San Francisco, Sirius x M one nineteen and around the world lown Bloomberg Radio dot Com and via The Bloomberg Business Kay Good Morning on John Tucker and I'm Karen Moscow and US

futures are little change this morning. It is coming up to six oh one on Wall Street, and we check the markets every fifteen minutes throughout the trading day on Bloomberg. Right now SNP futures that will change so are to OW futures. Nowsday futures are moving lower, down about thirty one point The decks in Germany's down about two tens of upper cent. The ten year treasury down three thirty seconds.

He had one point seven seven percent. They yield on the two year point eight six percent and nine x screwed oils. It will change at seventy eight dollars eighty seven cents of barrel Bitcoin at forty one seven eight dollars, John and Karen. Fed policy remains front and center. Last week's Fed minutes, sam the US jobs report. We're market moving events. Now we have a big call on the future of the interest rates. Let's get the latest from Bloomberg's.

Britney the Young, Good morning, Ritnita, Good morning John Goldman. Sex expects the FED to raise interest rates four times this year and begin the balance sheet runoff process. In July, the firm had previously expected the balance sheet run off to start in December, and it's all due to a stronger labor market and hawkish signs from those December minutes. FED officials have been signaling a quicker move to tighten policy, and Goldman says that could lead to faster policy normalization

than we've seen before. I'm Reneda young Blue birth daybreak right rened to thank you well. Inflation also remains in focus, and veteran investor Mark Mobias says traders are under pricing the risks. He tells us that the recent spike and treasury yields has room to run. I think they can

go much much higher. They've got to equal what we're seeing with inflation at the end of the day, because people are not going to be buying treasuries if they see that they only getting two or three percent, but inflation is seven, eight, nine, ten percent, So at the end of the day, those rates have to go off and those comments are Mark mobi has come after hawkish minutes from the FEZ December meeting underscore the case for faster right hikes and speaking of inflation, it's the main

event of this week's economic calendar. Here with more is Bloomberg's Vineydale Judais. The Labor Department issues the consumer Price Index on Wednesday, and the data could put more pressure on the Federal Reserve the race interest rates as soon as March. Bloomberg Economics as December CPI will register a seven percent year over your increase as COVID nineteen related supply short to just persist, fielding a worst inflation since

the nineteen eighties. This week's data on December producer prices and import prices will probably offer a similar narrative. Benea Dell, Judais Bloomberg day Break, any thank you at Economic forecasts are also falling prey to the omicron variant. The new COVID strain is now posing a new test of growth, and Bloomberg said Baxter has the story. It is posing something on which employers have no control. Absentee ism because

of illness, people calling in sick. What started as a holiday flight cancelation has now become a reality in factories, grocery stores, and hoards, again testing supply chains top to bottom. The widespread absentee is um is already constraining output, and several economists have downgraded their first quarter forecasts, how bad, how long it may take several weeks to assess. In San Francisco, I'm at Baxter Bloomberg Gay Break, Thanks said

on Capitol Hill. Democrats are pushing for another round of virus aid, how speaker Nancy Pelosis is they could add

relief aid to package to government funding legislation. Now, the administration has not made a formal request for more funding, but it is clear from the opportunity that is there and the again the challenge that is there from the resilience of this virus, speaker Pelosi making the comments on Face the Nation from CBS heard Sundays on Bloomberg Radio, Well John interesting data on vaccines coming out of Asia

this morning. Singapore saw the fewest deaths among those of Maderna's vaccine and the most acts among those we Signofact Shot. Nearly virus deaths recorded in the city state last year were among unvaccinated individuals. Geopolitics also in focus this morning, Karen Is meetings between the US and Russia get underway. Bloomberg News has learned the White House and US allies may impose export restrictions on Moscow if Vladimir Putin seizes

more of Ukraine. They're discussing limits on sensitive technology and electronics. And today in Geneva, senior American and Russian officials begin talks aimed at easing tensions over Ukraine. Here, Secretary of State Anthony B. Lincoln, I don't think we're gonna see any any breakthroughs in the coming In the coming week, we're gonna be able to put things on the table. The Russians will do the same, both directly with US at NATO at the osse UH, and we'll see if

their grounds for for moving forward. Secretary of State Anthony B. Lincoln making the comments on CNN's State of the Union. We'll turning to the markets now. John, we have a bullish call from Julian Emmanuel the ever cores I s I strategists, as the S and P five hundred is likely to end the year at fifty one hundred as the pandemic becomes an endemic by mid year. That's about

eight increase from current levels, Manuel says. Manuel says is also possible his downside target is just south of thirty six hundred at the pandemic is prolonged, or there's a hangover from spending and debt and meantime earning season kicks off in earnest on Wall Street this week with Moore. Here's Bloomberg's Charlie Pellett. Banks will be front and center with reports Friday from JP Morgan, Chase City Group, and Wells Fargo. They come as investors debate the strength of

the economy and the federal reserves next policy moves. Seem as Shaw's chief strategist at Principal Global Investors, when we think about actually good to think about it. We were also good to think about earnings and the outlook that we have for twenty two still a very solid recovery, slimmery, strong economic environment. Among some of the other names scheduled to report this week Delta, Albertson's, Infosis and KB Home

in New York. Charlie Polic Bloomburn day break. All right, thanks Charlie, and ahead of the cash up on Wall Street futures little change to this point. They've been fluctuating. DAL futures right now two points higher, SMB many futures are down five points, and the ISAC futures forty seven points lower. This is daybreak, and it's now six or seven on Wall Street. Let's bring in Michael Barr to find out what else is going on in New York and around the world. John, thank you very much, sir.

At least nineteen people were killed in New York City yesterday in the high rise apartment. Fire officials say the fire and the Bronx also injured dozens of other people. New York Mayor Eric Adams, it is a very significant moment to have just a unification about city during this time of tragedy, Mayor Eric Adams. As investigators say, the cause of the blaze was a malfunctioning space eater in

and a apartment on the third floor. New York City Fire Commissioner Daniel nine Grow tells us many people are fighting for their lives because of smoke inhalation. The door to that apartment. Unfortunately, when the residents left was left open, it did not close by itself. The smoke spread throughout the building. Thus the tremendous loss of life and other people fighting for their lives right now in hospitals all over the Bronx. Commissioner nine Grows says nine of the

deaths were children. Republican Representative Jim Jordan of Ohio one of former President Donald Trump's closest allies in Congress, has rejected a request for an interview by the House panel investigating the January sixth Capital riot. In a letter to the committee chairman, Jordan says the American people are tired

of Democrats NonStop investigations and partisan witch hunts. Republican Senator Ron Johnson said that he'll seek a third term in two Johnson, the stoutch supporter of former President Donald Trump,

opposes COVID nineteen vaccination and mask mandates. Johnson is a top target for Democrats after he narrowly won his seat in both twenty and sixteen in the key battle ground state, New York, Democratic Congresswoman Alexandria Ocassio Cortes has tested positive for COVID nineteen, according to her office, Ocassio Cortez, who was fully vaccinated and has had a booster shot, his experiencing symptoms and recovering at home. Tributes are pouring in

for comedian Bob Saget. He played father Danny Tanner on the sitcom Full House. It's Mr Carr? What is Mr? Car Say? You're right? He doesn't say anything. Sage was found dead yesterday in is Orlando, Florida hotel room Bob Saget, who was on a stand up tour with sixty five Global News twenty four hours a day on air end on Bloomberg Quick Take, powered by more journalists and analysts more than a hundred twenty countries. I'm Michael Barne. This

is Bloomberg. John. All right, Michael, thank you is coming up on the sixth ten on Wall Street time down for the Bloomberg Sports upthing, and that he thanks John. The NFL regular season is over, thankfully for the Jets and Giants. They both went four and thirteen. The Jets, like last week, were at least in their game, trailed the Bills by only three midway through the fourth quarter, but Buffalo went on to win twenty seven to ten. The Jets will go to next season unsure how good

a quarterback they have. Rookie Zack Wilson yesterday completed only seven passes. The Jets will have the fourth and tenth picks of the draft, of the Giants will have the fifth and seventh picks. They will clearly be looking to improve an offense. So in up the Giants and a third and nine Yesterday ran a quarterback sneak rather than risk of turnover. They lost to Washington two to seven. They lost in their last six games only once scored

more than ten points. The departure of g M. Dave Getleman could come today regular season and the last night in Las Vegas. The Chargers came from fifteen down in the last five minutes to force overtime, but the Raiders kicked a field goal on the final play to win thirty five thirty two. Had the game ended the tie, both teams would have made the playoffs. Instead, only the Raiders do. They'll play Cincinnati. The Chargers are out. The Steelers are in. They were helped by Indianapolis is stunning

loss at Jacksonville. Pittsburgh now headed to Kansas City, New England will play Buffalo and the NFC it's Philadelphia, Tampa Bay the forty Niners in Dallas. Arizona goes to play the l A Rams over time in Brooklyn. The next first home win since mid December beat the Spurs nineteen a win for the Warriors play Thompson back Plane first time in two and a half years. A judge in

Australia reinstated Novak Djokovic's visa. As of now he can play the upcoming Australian Open and Historic Hired by the Yankees, Rachel Balkovic will manage their Class A Model League team in Tampa. First female to hold such a job. John Stash Award Bloomberg Sports John Alright, thanks John, ahead of the cash open Wall Street. Little change with the futures right now at THEALN futures down to the yes of the futures fine points slower now, I don't like futures.

They're fifty points lower. This is Bloomberg Daybreak being brown to by Audie. Don't let someone else drive off of the Audi model you've always wanted. Visit a try State autie dealer to get behind the wheel of yours. Today markets headlines and breaking news twenty four hours a day at Bloomberg dot Com, The Bloomberg Business at and at Bloomberg Quick Tape is a Bloomberg business lash and I'm Karen Moscow s and P Futures that will change this morning,

so are to own future as well. Now stack futures are falling down about forty two and the ten ure treasuries down three thirties seconds. You had one point seven seven per cent. Fiser are paying as much as one point three five billion dollars to partner with Cambridge based Beam Therapeutics on developing drugs for rare genetic diseases using base editing, and no one's in minor green to buy Apria on a deal with an equity value of almost one and a half billion dollars. We are coming up

to six eighteen on Wall Street. It is time for your daily Bloomberg a crypto update him at the Latest and Crypto News. Here's Bloomberg's rened a young Rendita Karen. Right now, Bitcoin is trading lower around forty two thousand, as Golden and Sachs predicts the Federal Reserve wal raise

interest rates four times this year. That's more than the previous forecast of three hikes, but it's more than rates weighing on Bitcoin this morning, coin Desk points out the asset is approaching its so called death cross, where it's fifty day moving average drops below its two d day moving average. That's a bearish indicator, but the last time that happened in June, it was followed by a fresh

bull run. Meantime, Congressional candidates are selling non fungible tokens to help finance their campaigns in the mid term elections. Democrats Trina Karani, an engineer who's running for a House seat in California, and Republican Blake Masters, who's buying for a Senate seat in Arizona, are offering n f T s as incentives for donors. And that's your Bloomberg Crypto update. I'm renting young Bloomberg Daybreak. Karen, all right, we need to thank you. And that's a Bloomberg business flash. Now

here's Michael Barr with Moore. I'm what's going on around the world. Michael, Karen, thank you very much. In New York, of l functioning space eaters sparked fire that filled a high rise Bronx department building with thick smoke Sunday morning, killing at least nineteen people, including nine children and Australian judges reinstated at tennis star Novak Djokovic's visa, which was

canceled last week because he is unvaccinated. In the final week of the regular NFL season, the Giants lost to Washington. The Jets lost forty are in the playoffs after beating the Rams, the Patriots lost to the Dolphins but still advanced. The Steelers are in the postseason after beating the Ravens in the NBA. The Nets, Wizards, and Warriors won Global News twenty four hours a day on air and on Bloomberg Quicktake, powered by more than journalists and analysts more

than one twenty countries. I'm Michael Barr, and this is Bloomberg. John. All right, Michael, thank you. It is now six twenty on Wall Street. We're live from the Bloomberg Interactive Broker Studios. This is Bloomberg Daybreak. Good morning, I'm John Tucker. Inflation had rates front and center for the markets this week, much as they have been for the past month. Goldman Sachs raising its forecast for rate hikes after last week's FED minutes and the US jobs report. And coming up

this week we get fresh data on inflation. Economist predict the consumer Price Index will show annual inflation coming in at seven percent. Let's get more of the outlook for prices and rates now from Mark Mobius, the veteran investor and founder of Mobius Capital Partners, sat down last night for an interview with Bloomberg's Josef Yosef Gammel al Dean, and let's hear what he had to say. If you consider the fact that the money supply in America went up by over here, you have to expect prices to

go up by that much. The good news, of course, is that technology pushes prices down, but the reality is that in fact those seven percent numbers are probably underestimating what is coming down the pike. So we can expect higher higher prices, but of course higher wages because you can see unemployment is down and people will be getting more money. So you're gonna see a balancing of these two forces as we go forward. How high can rates go and look at thirty are kind of busted through

the two percent mark as well. I think they can go much much higher. They've got to equal what we're seeing with inflation at the end of the day, because people are not going to be buying treasuries if they see that they're only getting two or three percent, but inflation is seven eight nine percent, so at the end

of the day, those rates have to go up. Okay, well, with higher rates, the traditional thinking would be the you know, tech would underperform, which is why we've seen quite a bit of bolatility in the NAZAC for example, but as few training sessions and then you know, have that broader rotation. Are you subscribing to the broader rotation? Well, I think what's happening is that those tech companies that have not been making money, they're going to be in deep trouble.

Those stops are gonna go down in price. But companies that having a very good return on capital, paying dividends, have a good profit increase. Those companies that are going to be outstanding, they're gonna be outperforming. So there's going to be a strong differentiation in the market, if you will. Mark When you look at the China story, there are some major risks that have kept quite a bit of foreign capital away, especially out of the United States and Europe.

Run me through your thinking on the China opportunity set at the moment. Well, my feeling is that the crackdown, so called crackdown by the Chinese is regulators has been a good thing because there's no question there was a little bit of a wild West atmosphere in the Chinese market for quite some time. I mean, you can look at what these property companies were doing. They were not only in property. They were all over the map, buying

football stadiums, etcetera, etcetera. So there had to be some kind of the crackdown and regulatory emphasis on part of the Chinese government. And I think what they're doing is a good thing from a long term point of view. Of course, from a short term point of view, it hits the index because you get the big boys like Ali Baba ten Cent coming down dramatically, and of course that affects the Chinese Index, and by the way, it also affects the Emerging Markets Index, which is down because

of China. But at the end of the day, we're very interested in keeping our watch on China, particularly in the medium and small cap area. Just I believe with a more level playing field, the medium cap companies in particular will do much better than they have done before. And that's veteran investor Mark Moby is speaking with Bloomberg's Yosuf Gamal l D. And you can catch more at that conversation on the Bloomberg terminal and online at Bloomberg

dot com. Ahead of the cash open on Wall Street for this Monday morning, the futures they've been fluctuating back and forth all morning long right now, the down futures they're unchanged and s and B E many futures are a six points lower, and then as their futures are sixty points lower. Overseas cyclical stocks you have like energy banks tied to the economic expansion, among the biggest gainers

on the stocks. Your up six hundred. It's the offsetting declines in tech firms and some of the real estate. The treasury yields right now they are extending their climbs. The ten year yield one seventy six, the two year yield right now, the US at point eight six percent, and your sitting the Bloomberg Degree. The Bloomberg Weather from

meteorologist Rob Caroline. Sunshine, breezy, colder today, the high thirty that's the night part of the cloudy, some snow showers possible, breezy, turning a lot colder after Budnes the low temperature fifteen broadcasting live from the Bloomberg Interacted Broker Studio in New York. Bloomberg Living Freedom to Washington, d C. Bloomberg on to Boston, Bloomberg one O six one to San Francisco, Bloomberg N

sixteen to the country. Sirius XM CHADO one nineteen and around the globe, the Bloomberg Business APT and Bloomberg Radio dot Com. This is Bloomberg Daybreak at six thirty on Wall Street. Good barning. I'm John Tucker and I'm Parent Moscow. We are just about three hours away from the open of US trading. Let's get you up to date in the news you need to know at this hour. US futures are extending their losses now to begin the week. In the SNP five dred is down one point nine

percent so far this year. That's the worst starts in to tech heavy NASDAC one hundred is down four and a half percent. It all comes as traders anticipate higher interest rates and Goldman Sax is ramping up its forecast on that front. Bloomberg's re need a young joins US now with more Karen Goldman SAX expects the Fed to raise interest rates four times this year and begin the balance sheet runoff process in July. That's moved up from

a previous forecast of December. It's all because of a stronger labor market and hawk is signs from the Central Bank's latest meeting. Goldman says the Fed is set to normalized policy faster than we've ever seen before. I'm rened a young Bloomberg Daybreak, thanks for reneed a. Treasury yields they continue to climb with a ten year benchmark moving

closer to two. Garfield Reynolds covers rates for Bloomberg News insing can come in this quarta and if it does bust through that with the same it could go significantly higher before anybody calls the Holt because there's a little bit too much complacency out there about just how how Bloomberg's Garfield Reynolds is this week's reports on inflation CPI on Wednesday and pp I on Thursday will be key for the bond market. Well. John Geo Politics is also

and focuses wearing. Ahead of meetings between the US and Russia, Bloomberg News has learned the White House in US allies may impose export restrictions on Moscow if lavemrar Putin seizes

more of Ukraine. To get the latest from Bloomberg's Marietta Today, Oe so far, you know, some of the lines that we've gotten here is pretty much the same kind of mood music that was heard for weeks now, kind of saying, you know, the United States, there's two ways here, one in which Russia de escalates and we go for a diplomatic solution. If there's no diplomatic solution to the Ukraine tension, then we could see immediate and huge, massive repercussions on

the Russian economy. And of course Russia still playing this very tough saying we're not going into talks to conceive and Bloomberg's Maria today, oh says talks are ongoing in Geneva. They'll be followed by NATO meetings in Brussels later this week. S and P futures are a little change to lower down three points down futures that will change nasdack futures down forty four. The decks in Germany's down three tenths of a percent, ten, Your treasury down three thirties seconds.

You had one point seven seven percent. They yield on the two year point eight six percent. And nim X screwed oil is down three tenths of u percent. Straight to had your latest local headlines plus a check of sports, and this is Bloomberg. Thanks Karen sixty three on Wall Street, and let's bring in Michael barn out to tell us what else is going on in New York and around the world. John, thank you very much. New York Mayor Eric Adams says it's one of the worst fires in

modern city history. Nine of them are children up babies that we lost, and we're all filling this and we're going to be here for his community. The blaze that broke out at a high rise apartment building and the bronx also injured dozens. New York Governor Kathy Hocle we are indeed a city and shock to see it in the mother's eyes as I held her who lost her

entire family. New York Fire Commissioner Daniel Ninegro The marshals have determined through physical evidence and through firsthand accounts by the residents that this fire started in a bedroom in affordable Electric Heater Commissioner nine Gros says the blaze began in a third floor apartment and smoke quickly spread. Representative Alexandria O Cassio Cortez of New York has nested positive

for COVID nineteen. According to her office. Of Cassio Cortez, who was fully vaccinated and has had a booster shot, is experiencing symptoms and recovering at home. Bob Sagett, the actor comedian known for his role in Full House and host of America's Funniest Home Videos, died while on a stand up tour. Detectives who found Saget's body in an Orlando, Florida hotel room say there were no signs of foul play or drug use in the case. Bob Saget was thanks,

but it took too long. Fat complained about the distribution of one billion female dollars in pandemic ravage New York City. Standing alongside Mayor Eric Adams, Senate Majority Leader Chuck Schumer says that the FEMA money now being delivered to the Big Apple to help hospitals was approved two years ago, long before the Omicron variant arrived. We are saying, Tom, no more delays. When the city applies for relief money

from oh Macron. We can't wait another two years. Senator Schumer says the money will pay for a lot of COVID expenses. Ohio Representative Jim Jordan indicated that he won't voluntarily testified to the House committee investigating the insurrection at the US Capitol, writing the inquiry is unfair minded and objective.

Jordan is one of former President Donald Trump's congressional ally eyes, and as publicly acknowledged talking on the phone with Trump on January six, as rioters stormed the Capitol Global News twenty four hours a day on a rand on Bloomberg Quicktake powered by more than twenty seven hundred journalist and analysts more than a hundred twenty countries. I'm Michael Barr. This is Bloomberg. John all right, Michael, thank you. Is now six thirty six on Wall Street, and that's time

for the Bloomberg Sports Update. This John Stanhowar alright jaw was season ending losses. The Jets and Giants both finished four and thirteen, so they get high draft picks. The Jets also owned Seattle's pick and the Giants have Chicago, so the two New York teams together owned four the top ten picks. Both teams need plenty of help. The Giants need a ton of help on offense. They lost to Washington twenty two to seven. Antonio Gibson ran for

a hundred forty six yards. Giants only had hundred seventy seven total, only ten first downs. Jake from did throw a touchdown pass but also had a fumble two interceptions, one of those returned for a score. Giants lost their last six, all by double digits, and now general manager Dave Gentleman seems certain to leave his four year record nineteen and forty six. Not known if coach Joe Judge keeps his job. Jets lost in Buffalo twenty seven to ten.

The playoffs begin Saturday with Las Vegas at Cincinnati. The Raiders beat the Chargers last night thirty five thirty two on a field goal on the last play of overtime of tie would have meant both teams got in. Instead, the Charges are out, the Steelers are in. They'll play at Kansas City. New England goes to Buffalo. The NFC has Philadelphia, Tampa Bay, forty Niners in Dallas, and Arizona at the l A Ram's. Alabama looks to make it

seven national championships in the last thirteen years. The Crypston type beat Georgia last month in the SEC championship game. They'll play again tonight in Indianapolis. Georgia actually a slight favorite. Its last title came in eighty overtime in Brooklyn. Nets beat Spurs one nineteen a judge in Australia reinstated Novak Djokovic's visa. As of now he's free to play the upcoming Australian Open but the government can still take further

action against it. Johns to actually where Bloombird Sports. John? All right, John, thanks very much. It is coming up on six thirty eight on Wall Street and it's time to take a look at stocks some of the names that are moving in this pre market this morning, and for that we're joined by Bloomberg Radio and TV Markets correspondent created group to create Happy Monday to you. Let's let's be optimistic and start with some of the stocks

that are moving higher this morning of the pre market. Yeah, well, good morning, John, Happy Monday to you as well. Yeah, let's start with the big ones. Bio Marin is the one that's coming up at the top of my list here. B m r N is your taker. Up three point three percent in the pre market after the biotech firm announced positive result for its hemophilia treatment trial on Sunday. This is a biotech company which, as all biotech company, feeds up pretty binary re sponse positive news mes positive

moves for the stock as well. Moving on to Warner Media and Viacom CDs. They are considering a sale of the c W network, according to the Los Angeles Business Journal, but they were also raised to a buy at Deutsche Bank a price target of forty three dollars of Viacom shares rising in the pre market. B I a c s R taker. They're up to the tune of three percent. I'm gonna move on to Micron Technology. M use your taker up one point one percent. Initiated at a bye

by New Street Research. The price target was announced at a hundred and thirty five dollars a share. Right now, the shares are hovering around nine dollars, so you can see how that's a pretty bullish catalyst for Micron Technology. MU once again is a taker. And speaking of the big tech companies, I want to move on to security software company z Scaler v S. Is your taker up one point three percent? You be saying plenty of growth lovers to pull and upgrading the company to a buy

from a neutral. All right, those are the stocks that are higher in the pre market. I bet you also have some of those that are moving lower. We've we've had a couple. We like to look at them as well. Um, we're in particular we have to we have toward journalists at the end of the day, well, we'll talking about those tech companies. Morgan Stanley upgrading its entire sector view on U S I T services too attractive from inline with growth, expecting to remain at high levels for foreseeable futures.

That being said, Cognizant was not part of that. Getting a drop lower in the prices CTS H and your Taker down one point seven percent, really citing a shortage of skilled talent for the broader I T sector. John Alright Cretty Group to appreciate it. Bloomberg Radio and TV Markets correspondent Critty Group to looking at the stocks as a whole handle they cashow up on on Wall Street. Right now, we have the SMP futures they are lowered

down eight points, done about two tens of percent. We've been in and out of losses, gains and losses this morning. Down futures they're down twenty one points. There's not a lot of movement there. And then say futures they are down sixty one points. That's down four tenths of a percent. We can also switch to fixed income right now tenure yield that he is higher one seventies six and the two year yield at point eight six percent. Volatility index

haven't paid a lot of tension that lately. Right now the vix at twenty point zero six, that's a slightly elevated. At this point, you're listening the Bloomberg Daybreak at a Bloomberg Weather forward Today mostly sunny, breeze and colder the heights aperture thirty Now tonight things really changed partly cloudy. Could see some snow showers this evening. It'll be breezy,

a lot colder after midnight. The low champerature fifteen 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 lash and I'm Karen Moscow and SMP futures are lower at the moment we go to the first word breaking news dash for today's morning call. Here's Dell Maloney, Bill, good morning, and good morning, Karen.

Modest losses in the futures right now at death futures down eighteen points, sub dropped seven NASDAK futures are lower by fifty five. The US A ten yel at one point seven seven percent, Gold is up five, oil is trading lower, and Bitcoin is down by one point seven percent. Hong Kong rose one point six percent overnight, while up of markets are posting modest losses this morning. Back in

the US. On the economic front, at ten o'clock November, whostale inventories and also regarding earnings this morning, Lulu Lemon now sees Q four EPs and revenue at the low end of the range. Shares it down eight percent in the pre market. In deal news, Owens and Minor to buy Apria for thirty seven fifty per share in cash, and in other news, Goldman Sachs now expects the FED

to raise rates four times this year. Wrapping things Updale Technologies was raised out perform ed Bernstein, Adidas and Nike both cut to hold at HSBC, and Toll Brothers was cut to sector perform at RBC Live. From the first to breaking news, discomb build lonely care right Bill, thank you to hear live Rickey News. Overa Bloomberg type squawk on your terminal scue you a w K 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. At least nineteen people were killed in New York City Sunday, and a high rise apartment fire in the Bronx investigators CML functioning space eaters sparked a blaze. Bob Saget's fullhouse family is reacting to the news of his death. John Stamos says he is broken. Saggot night in his Orlando, Florida hotel room at six. In the final week of the regular NFL season, the Giants lost

to Washington. The Jets lost the forty nine are in the playoffs after beating the Rams. The Patriots lost to the Dolphins, but still advanced. The Ravens lost to the Steelers. Round one playoff games Raiders and Bengals, Patriots and Bills, Eagles and Box Forty, Niners and Cowboys, Steelers and Chiefs,

Cardinals and Rams, Packers and Titans get byes. In the NBA, the Nets, Wizards and Warriors one and Australian judges reinstated tennis starting of Djokovic's visa, which was canceled last week because he is Unvaccinated Global News twenty four hours a day on air and on Bloomberg Quick Take, powered by more journalist and analysts more than a hundred twenty countries. I'm Michael Barr. This is Bloomberg. The following commentary is

from Bloomberg Opinion. Bigger child tax credits can pay dividends for the US. I'm Justin Fox, a columnist for Bloomberg Opinion. Not many people expected that the pandemic would bring a big decline in poverty in the US, But thanks to lots of government aid, that's what seems to have happened, at least if you go by a Census Bureau measure that factors in assistance programs and unavoidable expenses not reflected

in the official poverty rate. The percentage of Americans below this supplemental poverty measure poverty line felt to a record loan nine percent in two thousand twenty and is projected to have dropped further last year. Poverty has fallen most for children, due in part to a hundred billion dollar expansion of the child tax credit that expires this month. Keeping some of that in place could pay dividends, as keeping kids out of poverty makes them more likely to

succeed as adults. I'm justin Fox. For more opinion, please go to Bloomberg dot com slash Opinion or O P I n go on the Bloomberg terminal. This has been Bloomberg Opinion and Bloomberg Opinion commentaries can be heard every weekday at this time and terminal customers can read more at O P I n go. And it is six

fifty on Wall Street. Returned to news and science and technology now with the Bloomberg and J I T. Stemmer Ford Bronti U buy New Jersey Institute of Technology, which announced the renowned scholar and educational leader, Dr tech Lim will join the university as n j I T s ninth President. Learn more at n j I T dot e du. Now here's just making news and science, technology,

engineering and math. Shipping companies and software developers are experimenting with self driving trucks, has a way to solve a driver's shortage worsened by the pandemic. J. B. Hunt, Huber's Freight Division and FedEx are among the operators testing automated big rigs, as a lack of drivers has caused ports to back up and intensify the supply chain squeeze gripping

the economy. While self driving trucks are still years from winning regulatory approval, pioneers of the technology see it as a long term solution to an increasingly intractable labor problem. The new CEO of Ferrari is trying to put the iconic Italian automaker on track for electrification. Benndetto Vigna is revamping the company's organizational structure and hiring managers with the

technology background. Ferrari has been slow to embrace batteries. Its first fully electric car is not scheduled to debut until and the parent of Facebook is going bigger in Texas. Meta Platforms has least half of what will be the biggest skyscraper in the city of Austin. The company has two thousand employees in Austin and is seeking to hire four hundred more. Both Samsung and Tesla have recently announced

plans to expand in the area. And that's the Bloomberg and j I t Stem Report, John or Nice Karen, and we are live from the Bloomberg into Ranta Broker Studios where it is now six fifty two on Wall Street.

That means it's time to check what's going on in d C. Some of the top stories in our nation's capital this morning include talks between the US and Russia taking center stage in Europe this week, the House Speaker Nancy Pelosi floating the idea of another round of coronavirus relief aid as state and local tax deductions are likely playing a major role in the mid term elections. Let's take a deeper dive out of these stories this morning

with Bloomberg Government reporter Emily Wilkins. Happy Monday to you, am. Let's start with the US considering restrictions on Russia to try and keep a lid on Vladimir Putin. What are the restrictions we're talking about here, So at this point we're looking for potential export controls on Russia, just curbing sensitive technology, curbing electronics. And this would all be if

President Putin decides to move more on Ukraine. No decisions have been made quite of yet, uh, And we're going to be, of course, looking very closely at the talks that happens this week for what goes forward. There has also been a bit of a suggestion that the Biden administration might try and offer a parent instead of a stick, trying to come to some sort of agreement with Russia

about how Western military is expanding in the area. Definitely don't want to go against NATO on that, but trying to see if there is some way to find middle ground. Now it is the US, to be clear, going to negotiate scaling back deployments from troops. So one thing that the US wants to make sure in the area that they are sort of like keeping up with their allies,

that they aren't necessarily uh moving from the area. I mean, definitely the US is will be looking for Putin to pull back some of the troops that he's in mass at Ukraine's border in recent months. Um, that's something that has been a huge concern. Definitely something the US has been keeping a very close eye on. Given that build up. There were some US experts who believe that if Putin was going to strike in Ukraine, that would happen in early two And here we are, Okay, let's move on

to our our next story. Possibly more virus aid in Washington at least the House speakers talking about it, is anybody else well, Speaker Policy said there is an opportunity

and yes. The Washington Post reported last week that you've got a number of senators bipartisan, both Democrats and Republicans, who are talking about potentially giving another boost and aid to businesses that are being hurt by the continuance of the O Macron variant, who are struggling to defined workers, to maintain workers, who just are struggling a little bit as so many people get hit with the current variant.

And that's been the number that was floated out there was was pretty low if you look at some of the other stimulus were nowhere in the trillions, were not in the hundred billions or at the round like of sixty sixties seventy billion dollars. But nothing is clear at this point. Pelosi pointed out that the White House hasn't

sent a request for funding. That's normally how these things originate, and what could potentially happen here is, remember, Congress will has this temporary funding of the government that will go until mid February. Congress will then need to send that funding further. If the White House does put a request for more funding for O Macron, it seems like the door is open for a bipartisan agreement maybe to be

added to that much larger spending bill. Yeah, nearer, and dear to our hearts those of us that live in high tax states. The salt cap um right now, Well, let's be clear. It was Republicans who imposed the cap on the salt deductions on your taxes. And it may be the Democrats in the mid terms who get get blamed for part of that, but it was Republicans who impose it, and then it was Democrats who benefited from it.

You saw that law, tax law with the cap go into effect in seventeen and then the mid terms huge blue wave. Democrats picked up a lot of seats, including in New York and New Jersey, and a number of members who won they ran on saying they would repeal the salt cap. And so now you've gotten to the point where you're seeing a number of them up for this their up for reelection. It's going to be a difficult year for Democrats. It always is for the party

that's empowered the White House. And instead of being able to go home and show their constituents, hey, we were able to do something with the salt cap, that's all gotten hold up now because there is so much disagreement right now, particularly from Senator Joe Mansion and Senator Kirsten Cinema on Joe Biden's social spending and tax plan of

which the salt cap was a part of. So there's are of a big question about what, if anything, will happen with that, if there might be some other way for it to move, if there's some momentum that's potentially

left for that economic plan that Biden put forward. I think there are a lot of questions, but one thing we really do know looking at the map is that if they don't wind up getting something done on the salt cap, that's going to make a lot of these members all the more vulnerable and then all the more likely that Democrats will lose control of the House this November. Emily,

always a pleasure, Thanks very much. I appreciated Bloomberg Government reporter Emily Wilkins, and you can read more about these stories on Bloomberg dot com or on the Bloomberg terminal. Also a reminder, you can follow all the latest on Bloomberg Radio in Washington Bloomberg N one and one oh

five point seven FM h D two. Yeah, as we look at futures ahead of the cashop with on Wall Street and S and P futures, they're down five points right now, down about a tenth of a percent, the Dansing futures forty eight points lower, and UH the down futures. Right now, they are unchanged and flat. You're listening to Bloomberg day Break for Karen Mosca. I'm John Tucker.