Bloomberg Daybreak: January 11, 2022 - Hour 2 (Radio)

set to return to classes tomorrow. I'm Michael Barr More Ahead, I'm John Stashon sports Georgia beat Alabama with a national championship in colle's football, The Knicks one, the Nets and Rangers of both Laws. That's all straight Ahead on Bloomberg.

Gay Break on Bloomberg eleven three, on New York Bloomberg one, Washington, d C, Bloomberg one, O six one, Boston, Bloomberg nine six, San Francisco, Sirius XM one nineteen and around the world Old on Bloomberg Radio dot Com and via The Bloomberg Business. Good Morning, I'm Nathan Hager and I'm fair in Moscow and US DOT index future is on the rise this morning.

If we're coming up to six o one on Wall Street, and we check the markets every fifteen minutes throughout the trading day on bloomberg S and P futures of nineteen points down, features of ninety four Nasdack futures of ninety five ten, your treasury that will change at one point seven six percent, and they yield on the two year point nine one percent, and I'm max screwed oils up one point four percent, Nathan Karen. We begin with today's confirmation hearing for j. Powell to serve a second term

as FED chair. Powell's testimony comes as markets remain volatile, gripped by rising inflation and the prospect of higher interest rates. We get more from Bloomberg Economics correspondent Michael McKee. Powell comes before Congress just when there's something to talk about. Fear the Fed is behind the curve on inflation sent stocks lower on Monday as market interest rates continued to rise.

Representatives will connect the dots trying to get a commitment from Powell the Fed will ratify the market moves by raising rates sooner and faster, and they will ask him about plans for shrinking the Fed's balance sheet. Members will also want to know more about his plans for non monetary policies at the FED. How involved will the Central Bank be in climate change initiatives, in regulating cryptocurrencies, in approving bank mergers? Michael McKee, Bloomberg Daybreak, All right, Michael,

thank you all. Later this week, Lyle Brainerd heads to Capital Hill for her confirmation hearing to serve as vice chair of the FED. And now we're learning that her predecessor, Richard Clarada, is resigning early. Bloomberg Dot Kristner has that story. Clarada will step down from the Board of Governors two weeks before his term is due to expire. Last week, it was revealed he had sold at least a million dollars in shares of a U S stock fund in February.

A few days later, he bought back a similar amount of the same fund on the eve of a major FETE announcement. Clarida has been a member of the board and vice chair since September eighteen. President Biden has non a NATed FED governor. Lyle brainer To succeed Clarida. Her confirmation hearings begin on Thursday in New York. I'm Doug Chrisener Bloomberg Daybreak. Thanks Doug. Meantime, the drum beat for more interest rate hikes from the Fed is getting louder.

For the latest there were joined live by Bloomberg's John Tucker. Good morning John, Good morning Nathan. The latest call for faster heikes comes from former New York Fed president and current Bloomberg opinion columnists Bill Dudley. He says the Central Bank needs to get a lot more hawkish. My best guess is, you know that they they need to do at least four or five rate hikes this year. And it wouldn't strike me at all if we if we get into an every meeting kind of cycle at some point.

Bill Dudley, making the comments in an interview on Bloomberg Surveillance swaps markets already indicating three or four interest rate hikes from the Center back this year, Goldban Sachs and JP Morgan Chase forecasting four options traders also flagging the prospect of eight quarter point rate moves by early four from earlier expectations of around six. You know, York I'm John Tucker, Bloomberg day Break. All right, John, thank you all.

Just a couple of months ago, there was confidence in a faster global recovery, and now that confidence may be fading. Bloomberg's Rnda Young and joins us with details on that. Good morning, Renia, Good morning care. In a new World Economic Forum survey finds just one in six government and business leaders are optimistic on the global economic recovery, and just one intend thinks worldwide economic expansion will pick up speed. The Global Risks reports sites the pandemic, climate change, and

rising social tensions among the biggest concerns. Short term fears include health and social damage from COVID nineteen, while economic and debt related issues are cited as medium term dangerous. I'm rened A Young bloommerk Daybreak, Na, thank you. Now, we turned to the latest on the pandemic and vaccines. Fiser says it is developing a hybrid shot that combines its original vaccine with a formulation that shields against the omicron variants. According to CEO Albert Borla, Findser will approach

US regulators in March for clearance of the shot. Well. Maderna is also working on a shot aimed at the om kron variant. Nathan, we caught up with CEO Stefan boncell. We are moving very aggressively. We're even to be here in a couple of weeks in the cleaning specific violence. CEO Stefan Bon sells as Maderna has more than eighteen billion dollars in vaccine orders so far this year. In Hong Kong, Karen authorities are doubling down on their COVID

zero policy. The city is reimposing some of the strictest limits since the pandemic began. Kindergartens and primary schools will close, and passengers from high risk countries will be banned from passing through Hong Kong's International airport. Meantime, Nathan, we're seeing somewhat of an exodus from Hong Kong if patriots and locals are moving away from this city and increasing numbers. On Bloombergy Daybreak Asia anchor Brian Curtis as that story.

The population decline is running at one point two percent since the end of It's the biggest drop in at least six decades. Policymakers have stepped up their crackdown on civil society and they've brushed aside an uproar over aligning with China's COVID zero strategy. The brain drain is seen in sectors as education, healthcare, and even finance, and critics say it will likely be felt by residents for years

to come. Brian Curtis Sploomberg Daybreak, Brian, thank you. Back here in the US, the nord Stream to pipeline is in focus on Capitol Hill. The Senate is considering plans to impose tough new sanctions on the pipeline that links Russia and Germany. Amy Morris has details from our Bloomberg newsroom in Washington. The Senate could vote for sanctions this week, but some Democrats argue sanctions now could make it more likely Russia will invade Ukraine because it would break the

United States away from Germany. But the Senate vote is moving forward as part of a deal between Senate Majority Leader Chuck Schumer and Senator Ted Cruz of Texas. Crews introduced the sanctions bill while placing a hold on dozens of President Biden's foreign policy nominees. This could clear the way for those nominees to be confirmed in Washington. I maybe Morris Bloomberg daybreak. All right, Amy, thank you about training to the markets. Now. Trading has resumed at the

London Metal Exchange after a five our outage. The world's most important base metals exchange said it had connectivity issues caused by a power outage at a third party data center.

And again, futures are on the rise this morning. And as straight ahead, your latest local headlines plus a check of sports, and this is Bloomberg takes paren six oh seven on Wall Street, Temperatures on the decline where it's seventeen degrees in Central Park and still dealing with a bad tractor trailer crash has northbound Vegan shut down at the hundred seventy nine. Michael Barr is here with more on what's going on in New York and around the world.

Good morning, Michael, Good morning Nathan. Prayers were held last night as sorrow filled the Bronx community after Sunday's fire and choking smoke engulf to high rise apartment complex. The death toll has been lowered to seventeen people killed, including eight children. Firefighters say the blaze was sparked by a faulty space eater, but the deadly smoke traveled throughout the building due to an open door in the hallway. Mayor

Eric Adams closed the door. Close the door that was embedded in my head as a child watching the commercials over and over again. We're going to double down on that message. Mayor Adams says. The flames damaged only a small part of the building, but smoked pour it through the apartment's open door and turned stairwells into death traps. New Jersey Governor Phil Murphy warned the residents of his state that they are already seeing hospital admissions that arrivals

some of the pandemic's worst days. We're in the thick of this latest fight against the omicron tsunami washing across the state. Governor Murphy is concerned it's not even the reported peak of the omicron variant of the coronavirus that health officials have been warning us about. Both the U and ventilator numbers are up significantly and have roughly doubled since Christmas. These are the highest numbers we've seen since May of two thousand and twenty. Governor Murphy says many

New Jersey towns and cities have reintroduced mask mandates. New Jersey transit, set rail and US writers ship has declined following the holiday season and an omicron fuel to coronavirus search. Weekday rail ridership was at about thirty to thirty five percent of pre COVID levels in December, down from about

fifty five percent a month earlier. Chicago public schools are set to reopen for students tomorrow after the teachers union leadership voted to approve a deal with city officials to restart in person classes in the nation's third largest school district. Schools have been closed since January five after Chicago teachers voted to shift back to remote learning, demanding more stringent protections and men to COVID nineteen surge. President Biden travels

to Atlanta today to push voting rights legislation. Biden will travel with the Vice president. North Korea fire do ballistic missile that flew at almost ten times the speed of sound into waters off its eastern coast. South Korea says the missile fell into the sea separating the peninsula from Japan. Global News twenty four hours a day on air and on Bloomberg quick Take, powered by more than twenty seven journalists and analysts. Than a hundred twenty countries. Michael Barr,

this is Bloomberg Nathan. Thanks Michael, almost sixth cent on Wall Street time for the Bloomberg Sports Update with John Stenshower. Next day to the college football season ended in Indianapolis, Alabama and Georgia. They played last month for the SEC Championship. Bama won that one by seventeen points, Georgia one last

night by fifteen. It was close to them that Bama had leads in the third and fourth quarters, but George, after scoring no touchdowns for the first forty three and a half minute, scored four t d s in the last sixteen and a half minutes that included a game ceiling scored in the final minute excedent side hand r Robinson throws to the near side and a second at the twenty one yard line and Kilee Ringo pr a back across that field across the thirty inside of twenty

great scores. The George of Bulldogs lead by two scores with fifty seconds to ESPN Radio had to call the final thirty three to eighteen. Georgia's first national championship. Sons herschel Walker led them in nineteen eighty they lost the title game to Bama four years ago. In overtime, Crimson Tide denied what would have been a seventh title in

the last thirteen years. Nicks finally went in some home game four in a row, with the Garden pulled away from the Spurs second half one one eleven nineties six thirty one points where R. J. Barrett nets in Portland, where without James Harden knee injury, the Blazers without Damian Lillard Portland wanted one fourteen to one oh eight and Brooklyn's now dropped five of the last seven. Rangers beaten by the Kings in l A three to one. The

Dave Gettleman retirement made official. Giants now looking for a new general manager. Of three coaches just got fired Matt Nagge in Chicago, Mike Zimmer in Minnesota, and in a surprise, Brian flora Is in Miami. Dolphins finished the season going eight and one. John Stash where Bloomberg sports Nathan, all right, John, thank you right now. It's in p Futures are up fifteen points, sound features of seventy three. Nast A Futures are hired by eighty four points. Ten your treasury, little

change the yield one point seven five percent. This is Bloomberg Bloomberg eleven three oh weather sunny but cold today behind your twenty Tomorrow partly sunny hid in your forty degrees will be mostly cloudya near forty on Thursday seventeen. Is the current temperature in Central Park Markets. Headlines and breaking news twenty four hours a day at Bloomberg dot com, the Bloomberg Business at and at Bloomberg Quick Take. This

is a Bloomberg Business flash and I'm paren Moscow. European stocks are bouncing back from their biggest decline in six weeks, as treasury yields steady a day before a key US inflation reading and US futures are higher this morning. We checked the markets every fifteen minutes throughout the trading day on Bloomberg. U S and P future is up fifteen points and down futures up seventy four and a stack

futures up seventy six. The decks in Germany's up one attend year treasury up one thirty second he at one point seven five percent yield on the two year point nine zero percent. Nimax screwed oil is of one and a half percent. Of a dollar sixteen at seventy nine dollars thirty nine cents of Barrel comic school, the third of upper cent or six dollars twenty cents at eighteen

o five. Announced the euro one point one three three two against the dollar, British bound one point three six and the end one fifteen point four four and looking at bitcoin and this morning at forty one eight hundred dollars, that's up about two tents of percent and active as a great to buy wind River from TPG Capital for four point three billion dollars in cash. That's a Bloomberg business flash. Now here's Michael Barr with more on what's

going on around the world. Michael, thank you very much. Cameron. Investigators are trying to determine why safety doors failed to close in a New York City high rise when the deadly fire broke out. Failures allowed thick, smoked billow through the tower and kill seventeen people. The Republican National Committee suited the New York City area over a law that will give non citizens the right to vote in local elections, calling it a blatant attack on election integrity. Chicago's students

will be back in the classroom tomorrow. The teachers union and the city reached a deal about the COVID safety protocols that led to in person classes closing January five. Real estate air and convicted murderer Robert Durst has died of cardiac arrest at age seventy eight. Georgia beat Alabama thirty three eighteen to win college football's national championship. In the NBA, the Knicks and Celtics won. The Nets lost in the NHL, the Bruins beat the Capitol seven three,

the Rangers lost. Global news twenty four hours a day on a or and on Bloomberg Quick Take, powered by more than twenty seven hundred journalists and analysts more than a hundred twenty countries. Michael Barr, this is Bloomberg. Nathan all right, Michael, thank you for coming up to six twenty on Wall Street Live from the Bloomberg Interacted Broker Studios. This is Bloomberg at daybreak. We want to get more now on the pandemic as the O macron variant threatens

to overwhelm the US health system. Dr Bati and Sony is with us this morning. Associate U sort of emergency medicine at Johns Hopkins University doctor, It's good to have you with us this morning. As the Washington Post is reporting the number of people in the hospital with COVID nineteen is close to a pandemic record. Where do you see things as far as this O macron wave is going.

Is our health system equipped to handle it? Our health system is equipped to handle because it has to handle it, not because we have unlimited resources, but we will make resources. There's innovations happening around the country UM, deployment of national god and declassed croation of states of emergency, UM employing non medical workers to take on clinical roles, and an expansion of bed capacity of hospitals. So people are rallying. Every health system is trying to be innovative and how

to optimize the performance of our hospitals. And so we will handle it because we have to handle it. And we are seeing evidence, at least in New York City that COVID maybe peaking. We've seen this seven day average of e ER visits dropped sharply since last month when the O macron variant was first identified. Can we be confident that this O macron wave is going to pass as quickly as it's emerged in this country and we

really hope so consistently throughout the pandemic. We've looked at other countries such as the United Kingdom and South Africa who had the waves for us UM. In the South Africa in particular, that wave lasted around thirty days. I think in the United States that's foot complicated by the winter holidays and then the sloo being s traveling also. But yes, UM, you know we don't need to get through this at grace and patients UM, and we shall

also pass UM. We also note that the EER visits have been decreased as individuals are being more comfortable with relying on rapid tests at home UM and avoiding the e off in non emergency cases. All at the same time, A tests have been hard to come by in a plenty of places across this country. How has that complicated

the response to this variant? Well, I mean they needs they are acting blind, right, So without effective testing strategies, you as an individual, I'm sure if you have COVID and do not have COVID, and that's a more likely

to spread COVID to other individuals. UM. There's also nequity with test distribution test being on average twenty dollars per test, means that the poorest of our society, those who perhaps would need them the most due to their living situations and inability to quarantine, do not have access to testing.

We've heard from Fiser's CEO, Albert Borla, saying that his company is or has been working on an omicron specific vaccine and coming up with a hybrid shot that combines the original formulation with something tailored to this new variant.

Do you think that's going to be something that's necessary to get us over this omicron wave, Well, not just the omicron wave, but it may provide better resilience to delta also, And or you are variants, variants continue to evolve, so must have vaccines, and we do this annually anyway with the influenza virus, and that has been a successful strategy to prevent influenza surges. Sounds like you're thinking that we're going to need booster shots indefinitely. Is that what

you're saying? That is what I'm saying. It is likely that this virus will continue to evolve, especially as we do not have vaccine access globally, and so we need to be prepared for future waves and future variants of concern in our last minute here, doctor, there's some talk in parts of the world about starting to discuss thinking

of COVID as endemic rather than a pandemic. Is this the right time to think about that, when we still are dealing with this omicron variant potentially other variants down the line. Absolutely not so in my opinion. And and virus is endemic when it's impact on society is predictable, and the variation and when it occurs if predictable. Also, COVID is not that right now. It is crippling our society. It's crippling our health systems. Weally don't know what else

is virus can throw at us. And I worry that by labeling it endemic means that individuals will become complacent. So this is not the time for complacency. We still need to actively fight the virus. We have the tools, we have, vaccines, masking, testing, social distance saying. I think we'll get this soon, especially as under five population become vaccinated. But right now we just need to get through this way and that it should be our still focus now.

Let's hope we get there soon. Dr Han Sody, thank you, as always for your insights. Dr Baki Han Sody's Associate Professor of Emergency Medicine at the Johns Hopkins University Bloomberg School of Public Health, which is supported by Michael Bloomberg. He's the founder and majority owner of Bloomberg Radio's parent company, Bloomberg Lp. SMP futures up fifteen points, Dow futures and NASTAC futures at the moment, both up seventy seven points.

You're listening to Bloomberg day Berg Bloomberg eleven three oh weather sunny but cold today, only near twenty degrees, partly sunny, upper thirties Tomorrow. We'll get up to near forty on a mostly cloudy Thursday. Right now seventeen degrees in Central Park. Broadcasting live from the Bloomberg Interactive Broker Studio in New York.

Bloomberg Living Free to Washington, d C. Bloomberg to Boston, Bloomberg one O six one to San Francisco, Bloomberg N sixteen to the country, Sirius XM to the one nine ten, and around the globe. The Bloomberg Business and Bloomberg Radio dot Com. This is Bloomberg daybreak. It's six thirty on Wall Street. Good morning. I'm Nathan Hagar and I'm Karen Moscow, and we're just about three hours away from the open of US trading. Time for the five things you need

to notice start your day. Brought to you by Interactive Broker's Trade Crypto for less coin with commissions just twelve to eighteen basis points and no hidden spreads or markups. Learn more at ib k r dot com slash crypto First. US futures are higher ahead of confirmation hearings for J. Powell. The Fed chair plans tels senators at the Central Bank will prevent higher inflation from becoming intrenched. And males is

a Washington policy Analysted Raymond James. J Powell is getting confirmed in his job is to give Republicans a reason to stick with him, to vote for his reconfirmation. If you are J Powell, you're talking about inflation, if you're talking about what you're going to do next and miles of Raymond James spoke with our Washington correspondent Joe Matthew

on Bloomberg sound On. Catch the program weekdays at five pm Eastern on Bloomberg Radio meantime, Karen, the drum beat for more interest rate hikes from the Fed is getting louder. Bloomberg's John Tucker joins US Live at Details John Nathan Schwampson to get the fence target will be eight eight basis points higher by the end of this year, assigned the markets making in three hikes plus the possibility of a fourth. Former New York Fed President Bill Dudley says

the Santo Bank needs to get more hawkish. JP Morrigan and Goldman Sachs are forecasting for rate increases this year, and tomorrow's CPI report could put more pressure on the Fed, with estimates calling for an annual inflation rate north of seven percent in New York. On John Tucker Bloomberg Daybreak, All right, John, thank you. As inflation picks up, confidence in the global economic recovery appears to be fading. The details on that now from Bloomberg's or need a Young.

A World Economic Forum survey finds just one in six government and business leaders are optimistic on the global recovery, and just one in ten things worldwide economic expansion will pick up speed. The Global Risks Report sites the pandemic climate change and rising social tensions among the biggest concerns, and those polls wants to see greater coordination among leaders to try to solve the world's problems. I'm gonna need a young Bloomberg daybreak Rita. Thanks. When it comes to

the pandemic, Fiser's working on a new vaccine. The company's developing a hybrid shot, combining its original vaccine with a formula that chields against the omicron variant. Fiser says that will approach US regulators in March for clearance of the shot. And Nathan on the political front, lawmakers have the North Stream to pipeline in their sites to send a could vote this week to impose new sanctions on the gas pipeline that links Russia and Germany. And that's five things

you need to notice start your day. Brought to you by Interactive Brokers Again, Futures are higher this morning, and straight ahead your latest local headlines plus the check of sports, and this is Bloomberg makes Karen sixty three on Wall Street, seventeen degrees in Central Park, still dealing with a bad tractor trailer crash got the northbound Deacon shut down at a hundred thirty nine Michael Barr is here with more on what's going on in New York and around the world.

Good morning, Michael, Good morning Nathan. Tenants of the Bronx department building where a deadly fire broke out Sunday had complained about the lack of heat, a broken radiator, and a door that did not close properly in the months before the blaze. According to city records, City officials say the fire appeared to have come from a malfunctioning space heater in an apartment, where residents fled without closing the door,

and that sent black smoke throughout the building. New York Mayor Eric Adams this painful moment cantne it to a purposeful moment, as we send the right message of something as simple as closing the door. Mayor Adams says the death soul of the fire has been lowered to seventeen dead. New York's COVID nineteen infections may have reached a peak about a month after the city's first case of the

omicron variant was identified. According to New York City Health Department records, the seven day average of people visiting emergency departments with COVID like illness has dipped significantly in all time burrols since the end of December. Meanwhile, New Jersey health officials say they may have eight thousand COVID related hospitalizations, nearing the state's pandemic peak in the third week of January. Governor Phil Murphy, we're recording more deaths tragically now, more

than at any point in the past year. And remember, remember one year ago, we had only just begun our vaccination efforts. Governor Murphy says. Many towns and cities in New Jersey have reintroduced mask mandates. Chicago students planned to resume classes tomorrow after leaders of the teachers Union accepted a proposal with the district over nineteen COVID nineteen safety protocols. Chicago Mayor Lori langfoot, some will ask whom one and

who lost? No one wins when our students are out of the place where they can learn the best and where they're safest. The deal still requires approval by the union's full membership. North Korea has test fired a second ballistic missile in less than a week. Bloomberg's Had Baxter reports Kim John Un apparently trying to send a clear sign that he meant what he said about having no desire to enter into any kind of nuclear talks with the US. It definitely a ratchets up tensions in the

region itself as well. The missile launch first was reported by Japan's Coast Guard, then confirmed by South Korea's chiefs of Staff. Japan's Prime Minister Fumio Kashta calls the launch is extremely regrettable. Kim has announced his intent to develop

weapons that can evade interception by US technology. In San Francisco, I'm at Baxter, Bloomberg Gay Break Global News twenty four hours a day on air and on Bloomberg Quickdake, powered by more than twenty seven under journalists and analyists more than a d twenty countries. I'm Michael bar This is Bloomberg, Nathan, Michael, Thank you, six thirty six on Wall Street Time for

Bloomberg Sports Update with John Stash all right, Nathan. Four years ago, Georgia lost the National Championship Game to Alabama and overtime, and then last month the Bulldogs perfect season spoiled by the Crimson Tide in the SEC Championship game, and Bama led last night late third quarter. Georgia then went ahead a sixties seven yard run set up the

game's first touchdown. Fourth quarter, Crimson Tide regained the lead, but then it was George's turn second at eighteen eight eighteen to go to clock running band A leading by five showing Blitz Street plays down up. Alabama is offside, so here's a teap throw to the episode. It is call par touchdown play eight, call forty yr TV. Later another TV pass and then a seventy nine yard pick six in the final min at Georgia ben Alabama in

Indianapolis thirty three to eighteen. First national championship for the Bulldogs since nineteen eighty had the guard. Another big game for r. J. Barretty at a thirty two point game last week, also that game winning buzzer beater and thirty one points last night, Nicks beat the Spurs one eleven nineties six. Nets lost in Portland one fourteen to one oh eight Kevin Durant in defeat at twenty eight Kyrie Irving's second game of the season. He played forty minutes,

scored twenty two. Rangers lost in l A to the King three to one. Black Monday in the NFL, three coaches got fired. Matt Naggey in Chicago, Mike Zimmer in Minnesota, and in a surprise Brian Flores in Miami. Joe Judge. He did meet with Giants owner John Mara on the day of the day gentleman retirement was made official. Mayor and the Giants have a gun to search for a new general manager. Don Maynard passed away at eighties six.

Drafted by the Giants, they cut the Maynard went to the Jets, became a Hall of Fame wide receiver John Dash were Bloomberg Sports Nathan all Right, John, Thanks six thirty seven on Wall Street. Time to take a look at stocks, some of the names moving in the pre market. Bloomberg Radio and TV markets correspondent Creedy Goopta joins us as some earnings news from CVS crosses the Bloomberg terminal. Creedy, they absolutely do you have CVS coming out and actually

boosting their EPs guidance. It looks like they have actually beat those estimates. Those shares are they were moving a should they now they are pairing some of those initial games on the headlines now about flat the tickers CVS. But keep an eye on this because it is of course going to be the kickoff of earning season, so you will see a lot of movement when it comes to regular trading. That being said, Nathan, we also have some analyst calls that are moving stocks in a pretty

big way. A m d S top of my list, up two per cent in the pre market. This comes after Key Bank upgrades the chip maker to overweight from sector weight, putting a price target at a hundred and fifty five dollars to share. The last close was a hundred and thirty two dollars. The analyst thing that the company is set to benefit from robust cloud data center growth in two of a quote high teens per centage. That is quite the vote of confidence from Key Bank.

And similar story when it comes to Las Vegas sans LVS up three percent. Remember that yesterday Bank of America had actually downgraded the stock JP Morgan, however, raising it to an overweight from a neutral, announcing a forty eight dollar price target, giving a little bit of a tailwind to the stock in the pre market. And moving on to Intel I n tc S your ticker up one and a half percent in the pre market. The chip

maker hiring Microns. David Zensner asked the fl this is a big part of the big Intel shakeup at the top. And I'm gonna end here with American Airlines up one point four percent. A l is your taker after Morgan Stanley continues to have a bullish view on US airline sector. Expect unquote normal service to resume in two and accelerate in the back half to set up for a stronger year. In also upgrades American Airlines equal weight, all trimming targets

for several other companies. Alright, so a few analyst upgrades there. Do we have any downgrades this morning? We can't have any upgrades without any down grade. Absolutely. New Core is the one that caught my I. N U ease the Taker down one point four percent after the steelmaker was downgraded to underperform from peer perform over at Wolf Research, putting a price target of a hundred and two dollars. The analysts quote most excited about downstream specialty medals names.

But he's quote a trifecta of bad news for steel names. So of course New Court falling under that. N you ease the Taker once again, down one point four percent. Nathan all Right, Bloomberg Radio and TV Markets Correspondent, Creety Gupta with us this morning and taking a look at stocks as a whole. Ahead of the open, futures are moving higher, with SMP futures up seventeen points right now down futures up, NASTAC futures are higher by eighty three points,

and the tenure treasury is up two thirty seconds. The yield one point seven five. Reiterating the breaking news, CVS has upgraded its forecast for adjusted earnings per share uh at a level that beat the average analyst estimate. CVS shares in the pre market are little changed. You're listening to Bloomberg Bloomberg eleven three oh Weather sunny but cold today, the high only near twenty tomorrow, partly sunny on your forty degrees and will be near forty on Thursday and

or mostly cloudy, sky clear right now seventeen degrees. Markets, headlines and breaking news twenty four hours a day at Bloomberg dot Com, for Bloomberg Business at and at Bloomberg Quick Tape. He's a Bloomberg Business lash and I'm Karen Moscow. Future is on the rise. This morning, we got to the first Word Breaking news desk for today's morning call. Here's Bill Maloney, Bill, good boarding and good morning, Karen. That's right. US features are in the green right now,

with doubt features of ninety three point sides game seventeen. Well. The NASDA futures are higher by eight four The US tenure yield at one point seven six percent, Gold is up, for oil is climbing, and bigcoin is little changed. Japan felt point nine percent overnight, while up markets are also in the green, led by one percent gains in France

and Germany. Back in the US on the economic front, at ten o'clock, the Powell's nomination hearing begins, and regarding earnings for Albertson's to report in the pre market and under news Goldman Saxon UBS reiterated their bullish calls on equities and wrapping things up. Alco was because the hold over at Deutsche Bank, and he raised overweight at key Bank.

City Group is bullish on my cow, but downgraded Wind Resorts on evaluation, and IBM was cut to sell over at UBS Live from the first Breaking News stas com Bill Maloney, Karen play Bill, thank you, and here live breaking news over your Bloomberg time, Squawk on your terminal squ 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. An investigation is underway into the Bronx department fire that took

at least seventeen lives, including eight children. The space eater is being blamed for the cause of the fire, but the apartment door did not close, sending thick blck smoke throughout the building. New York Mayor Eric Adams called it a global tragedy because many of the victims are immigrants from Gambia in West Africa. A deal has been reached to get schools open again in Chicago. Students will be back in the classroom tomorrow after teachers walked out January five.

The teachers union and the city reached an agreement over safety precautions around COVID nineteen. Georgia beat Alabama thirty three eight teen to win college football's national championship. In the NBA, the Knicks and Celtics won. The Nets lost in the NHL. The Bruins beat the Capitol seven three, the Rangers lost. Global News twenty four hours a day on air and on Bloomberg Quick To powered by more than seven hundred journalists and analysts more than twenty countries at Michael Barr.

This is Bloomberg. The following commentary is from Bloomberg Opinion. Jobs report makes a March FED rate hike nearly a done deal. I'm Brian Schapatta, A colmis for Bloomberg Opinion. Only a few hurdles remained before it's safer bond traders to assume that the Fed will start raising interest rates in March. The US economy just cleared a big one with the latest report on the labor market. The unemployment rate tumbled a three point nine percent, beating projections for

a dip to four point one percent. Average early earnings jump four point seven percent from a year ago, handily outpacing the median forecast. For traders who are trying to pinpoint the FEDS path, it all boils down to the calendar of economic releases. Next up consumer price index data that's expected to show a seven point one percent increase from a year ago. Two weeks later comes a FED decision.

The central Bank goes to painstaking links to signal to markets that is about to do something meaningful with the three point nine percent shopless rate and inflation that's expected to remain way above target. It stands to reason that the Fed could insert some language into its next statement that would prime markets for a March rate hike. It's the new year and way past time for the Federal

up the narrative. The economy is in an inflationary boom, and it's ready to move interest rates off the zero lower bound. I'm Brian Schapada. For more opinion, please go to Bloomberg dot com, Slash Opinion or opi and go on the Bloomberg terminal. These 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. It is six fifty on Wall Street. Let's turn to news in science and technology now with the Bloomberg and j I T STEM Report, brought to you by New Jersey Institute of Technology, which announced that renounced scholar and educational leader, doctor tek Limb 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 in science, technology, engineering, and math and Hong Kong authorities are doubling down on their controversial

COVID zero policy. It's reimposing some of its strictest limits since the pandemic began. Kindergartens and primary schools will close again. Meanwhile, passengers from what are considered high risk countries are said to be and from transitting through Hong Kong's international airport.

The United States staggered through a steady onslaught of deadly billion dollar weather and climate disasters and an extra hot one, while the nation's greenhouse gas emissions last year jumped six per cent because of surges and coal and long haul trucking. Three different reports released Monday, though not directly connected, paint a picture of a US struggling with global warming and

its efforts to curb it. The World Economic Forum says cybersecurity and space or emerging risks to the global economy, adding to existing challenges posed by climate change and the coronavirus pandemic. The Global Risk Report is usually released ahead of the annual elite winter gathering of CEOs and world leaders in the Swiss ski resort of Davos, but the event has been postponed for a second year in a row because of COVID and that's a Bloomberg n J

I t Stem report. Nathan, thank you, Karen. We're lying from the Bloomberg Interactive Brokers studios where it's six fifty two on Wall Street and it's time now to check what's going on in the c Some of the top stories from our nation's capital include FED Jair J. Powell promising to take on inflation ahead of his Senate reconfirmation hearing, nordstream to sanctions set for a Senate vote as the US and Russia talk, and President Biden in a new push for voting rights as allies fhere he may be

too late. Let's bring in Bloomberg Government reporter Emily Wilkins with us from Washington, d C. On a morning Emily, where a lot of investors eyes will be on the Senate Banking Committee for a FED share Powell's confirmation hearing. Yes, this is going to be a big one today. We're going to expect Powell to really just start off with the with the big elephant in the room, which is inflation.

He's going to say that the Central Bank will prevent higher inflation from becoming in trench obviously we've already seen it for that for a number of months. He's also going to caution that a post pandemic economy might look different than the previous economy that we saw pre pandemic. And you're going to pledge the lawmakers that the Fed will use their tools to the court their economy as well as the strong labor market and really try and

make sure that inflation is able to come back down. Uh. We can express a number of questions some lawmakers not just on inflation, but also on unemployment numbers that have been coming out recently. A number of them, including last Fridays, have fallen below the lamp UH. And it's not just say how will you also have Governor Lao Bernier whose go who is picked by Biden to serve as vice chair.

She's going to come before the committee on Thursday, right, and she's up for vice chair for supervision, the top regulatory position. How much could regulation play into what we hear from the senators today when they question Powell, though, I think that's definitely going to play a part as far as what kind of said to what does the

said thinking about as it goes forward? I mean, these are a number of lawmakers that I think those Democrats and Republicans alike who are very concerned about the inflation numbers that they're seeing, they understand that this is something that Americans are are very much a few, very very

real in a real and tangible way. And so I think that's going to be one of the top of mind concerned, especially concerning to the certain fact that you know, Paula has been had of been fed to the last four years, and this inflationary rise has happened on his watch. And another reason, of course, we're gonna be watching the Senate this week. Votes could be coming on sanctions against nord Stream to the pipeline between Russia and Germany, just as the US and Russia are in the midst of

security talks. I mean, that can really complicate things. Yeah, a lot of Democrats are very concerned about this vote. They say that at this point, the US implying these sanctions really showed the division between the US and some of its European allies like Germany, and law makers say that this is the absolute wrong time to do something like that, as the US currently engaged in negotiations with

Russia over the situation at the Ukraine border. But this vote came about in part because Senators Crews had blocked a number of picks and nominations by President Biden from getting a vote, and as part of a deal cut with Majority leader Chuck Schumer, Schumer agreed to allow a vote on this UM if Crews would go ahead and allow a number of these pass. And so that's ever seen this vote happen today. UM, And there's there's a question on whether you're going to see that that sixteen

votes that that's needed to move forward. That means that ten Democrats are going to have to join Republicans. It would mean that all Republicans would have to vote for this UM. And so that's the sort of numerous dynamics that are playing out today, uh in regards to the vote. But but there's certainly a lot of concerned about what this would mean for the US relationship with Jeremy and Europe at very critical time for these various countries to

be standing unified. Now last minute here, Emily, I'm sure you're gonna be watching this afternoon as President Biden heads to Atlanta to keep up this push for voting rights legislation. Yes, this is coming as the Senate trying to pass again the voting rights build and it is considering a potential change the Senate rules to get them through. Biden is going to be in Atlanta. You're going to see Vice President Kamala Harris come, You're going to see a number

of major civil rights leaders and lawmakers be there. It's going to be a big moment for Biden. But the reality is that there's not really pass forward. To get any of this voting legislation done. Uh. Like I mentioned, it would require a rules change, and at this point Senators Joe Mansion and Sender's Kristin Senema has said that they are opposed to that. Um, it doesn't seem like Republicans are budging on supporting any of these pieces of legislation.

So really it's going to be a moment where Biden is going to be sort of leading it to the messaging calling this an important moment, this is something that's critical to be done. We'll be interested to see if he takes a stance on what should happen with the Senate rules on the filibuster. That might be the big news that comes out of this today. Alright, Bloomberg Government report Emily Wilkins, you know you'll be watching for that

very closely. Thanks for joining us ahead of all that, And a reminder that you can tune back into Bloomberg Radio this morning right around ten am Wall Street time as the Senate Banking Committee begins its confirmation hearing for a second term for J. Powell as Chairman of the Federal Reserve. And you can read much more about all these stories out of Washington, d C. At Bloomberg dot com or on the Bloomberg terminal. Looking ahead to the market,

open futures are moving higher this morning. SMP futures are up seventeen points, DAL futures up eighty four, NASTAC futures are higher by eighty two points. The tenure Treasury is up one thirty second, the yield one point seven five percent. Bloomberg Surveillance is up next. For Karen Moscow. I'm Nathan Hagar, and this is Bloomberg