Bloomberg Daybreak: January 19, 2022 - Hour 2 (Radio)

COVID cases are falling in New Jersey. I'm Michael lar More, Ah, I'm John stash Our in Sports, second Day to Row and Nick's Home Last Minnesota one by two the Islanders one in a studo That's all straight ahead on Bloomberg day Break on Bloomberg Element Trio, New York, Bloomberg nine one, Washington, d C, Bloomberg one O six one, Boston, Bloomberg nine sixties, San Francisco, Sirius x M one nineteen and around the world on Bloomberg Radio dot Com and via the Bloomberg

Business Set. Good morning, I'm Nathan Hagar, and I'm fair in Moscow. You wut dot index. Future is on the rise this morning, rebounding from a sharp sell off overnight, coming up to six oh one on Wall Street, and we check the markets every fifteen minutes throughout the trading day. On bloomberg S and P Future is up twelve points down. Future is up sixty four Nasdack Future is up sixty six the Dacks in Germany's up a third of a percent.

Ten year Treasury down three thirties seconds yield one point eight eight percent. They yield on the two year one point oh five percent. Night Max Screwed oil is up one and a half percent of a dollar thirty one at eighty six dollars seventy four cents of barrel and bitcoin this morning moving lower at forty one thousand, six hundred dollars. Nathan Karen, it is all about the markets this morning. Stock features are rebounding after a sharp drop overnight.

Let's get the very latest live from Bloomberg's John Tucker. Good morning, John, Nathan Nasak. Futures fell as much as one percent overnight. Right now they're up four tens of a percent for in Maastors fed rate hikes are baked into the cakes starting in March, and now there's speculation the Central Bank will deliver more than a quarter percentage point hike at that meeting. More hawkish Fed weighing on stocks, especially Tex shares lately. But AzaC one hundred sank two

point six percent yesterday from its November peak. The Tech heavy index has fallen nine point six percent. Just shy of the correction. Live in New York. I'm John Tucker, Bloomberg debreak, John, thank you. We saw the US sell off spread to Asia overnight. We get the recap from Bloomberg's Juliet Sally and Singapore. Good morning, Juliette, Good morning Karen. The m s CI Asia Pacific Index fell for a

fifth session, as longest losing streaks since March. Japanese equities led the decline as the topics closed lower by almost three percent. Sony shares fell the most since October two thousand and eight after news that its rival Microsoft plans to buy Activision Blizzard for sixty eight point seven billion dollars.

Shares of some other Asian game related stokes climbed amid speculation on further industry m and A. Chinese developers also rose in Hong Kong after the PBOC pledge to use more monetary policy tools to aid the economy and ease credit stress, and bonds in New Zealand and Australia joined the global route in Singapore. Julie at Sally Bloomberg Daybreak. All right, Juliet, thank you. It's a different picture in Europe this morning, where early losses have flipped to gain.

So let's go to London and get the details life from Bloomberg's Max Ramsey. Max. What's the latest, Yes, Nathan, turning more positive as we get through the European session today, the stock six hundred up three tenths of eight percent right now. Yields remain and focus here too. We have the tenure German bun yield turned positive for the first time since today, yielding just no point, not not two percent,

So just in positive territory right now. In terms of the stock six industry groups, it's retail really powering a lot of the games today. The biggest mover to the upside among the industry groups, Reachmore. The biggest step mover in terms of stocks Swiss luxury goods company that with strong third quarter sales. Other companies Barbary Swatch Monclad also doing very well so far. This morning live in London, I'm Max Ramsey putting back day break right Max, thank

you well. Inflation is also a friend and center in Europe. Prices in the UK unexpectedly searched at the fastest pace in thirty years. Consumer prices rose at an annual rate of five point four percent in December. That adds pressure to the Bank of England to raise interest rates again next month. And when it comes to the pandemic in the UK, Karen it looks like COVID restrictions could be lifted soon. Prime Minister Boris Johnson will reportedly announce the

lifting of rules in England today. That's according to the Financial Times, which says work from home guidance and the use of COVID passes are expected to end all back here in the US, Nathan Bank earnings continue to rolland Bank of America and Morgan Stanley reporting results this morning, and we get a preview from Bloomberg Global Finance correspondent

Shnali Bask. Most of the big banks have reported earnings and what it's shown is that trading is following below expectations and the consumer is not jumping back as fast as expected. We'll look for both of those figures today when Morgan Stanley, the biggest stock trading shop on Wall Street, reports earnings at a tough time for equities trading, and Bank of America reports earnings with a consumer and mind Um Schnelly, Bassk Bloomberg Daybreak Sally Thanks. Outside of Wall Street,

airlines are in focus this morning. The roll out of five G wireless in the US is disrupting flight schedules around the world. Bloombergs Ranita Young has the latest Live Good Morning, Ranita, Good morning Nathan. Airlines fear if five G services are too close to airports they could interfere with key safety systems, so they're adjusting their schedules. British Airways has canceled a handful of flights to the US. Dubai's Immorrates is suspending routes to several US cities, including Chicago,

New York, and San Francisco. In Japanese carriers are also dropping routes and will not fly some jets to and from the US. Mainland airlines are concerned about possible interference with navigation equipment that's used during landings. In poor weather, live in New York. I'm Ranita Young Bloomberg Daybreak, Ranita, thank you. At the White House. This week, big tech is in focus. The Biden administration is looking at how to reign in the nation's biggest tech companies to write

partisan legislation. Any Morris says details from our Bloomberg newsroom in Washington. Sources tell Bloomberg News the White House is planning a meeting this week to discuss curbing the dominance

of Apple, Amazon, Alphabet, and Meta. Critics of the tech giants, along with representatives of smaller digital firms, will be there as the White House gauges support for this antitrust measure sponsored by Senators Amy Klobascher and Chuck Grassley, but the big tech companies say that could harm their products that

are popular with consumers. The bill could go before the Senate Judiciary Committee as early as tomorrow in Washington, I maybe more as Bloomberg Daybreak and on Capitol Hill, Senate Democrats have taken up voting rights legislation, but Republicans are expected to block a final vote. Democratic Congresswoman Haley Stephen says it's all about politics and that needs to change. We need seriousness back in the halls of Washington. We need connectivity to the people we represent, the issues that

are important to them, and solution making Politick. Congresswoman Hayley Stephen spoke with our Washington correspondent Joe Matthew on Bloomberg Sound on It airs weekdays at five pm Eastern on Bloomberg Radio, and a rare news conference from President Biden's coming up this afternoon. We'll have that for you live later today on Bloomberg Radio and right now at six oh seven on Wall Street. Were thirty two degrees in Central Parking got an accident of the southbound to Conic

at the Springbrook in Hawthorne. Details coming up in traffic. First Michael Barr with more on what's going on in New York and around the world. Good morning, Michael, Good morning Nathan. In the January six House Committee, they have moved its investigation process to Trump supporters who tried to undo the election. Bloomberg's and Baxter reports it has now

chapointed attorney's Rudy Giuliani, Sidney Powell, and Jenna Ellis. They were the main focus, so the legal teams trying to get the election overturned in Giuliani's case, urging state ledge of slaters to overturn voting results and spreading this information regarding the election results themselves, then leading to the January six insurrection attempt. Committee chair Benny Thompson says, in the efforts to subvert the system, they were in direct contact

with Donald Trump in San Francisco. I'm at Baxter Bloomberg Gabrie, New York's Attorney General, last a judge to order Donald Trump and two of his adult children to testify under oath as part of the state civil probe into the family real estate business. A g Letitia James has investigators have already uncovered a pattern of potential fraudulent asset valuations. A New York City Police officer was wounded in the Bronx last night while apprehending a sixteen year old suspect

with a gun. Police say there was a scuffle over the gun, it went off, and both the officer and the suspect was shot in the leg. Both have non life threatening injuries and were brought to the hospital. Mayor Eric Adams at the hospital commented on a surge of gun violence in the city. One officers shot is one officer too many. One civilians shot is one civilian too many. A city must be safe. That's the promise I'm made,

and that's the promise I'm going to keep. Meanwhile, Mayor Adams admits even he doesn't feel safe on the city subway system. Adams comments come after a woman was pushed to her death in front of a New York City subway train at Times Square over the weekend. The victim, forty year old Michelle Go, did volunteer work for the homeless. Go had ties to the San Francisco area individual was held there for her last night. A statement was read from Gol's family. We hope Michelle will be remembered for

how she lived and not just how she died. She was a beautiful, brilliant, kind and intelligent woman who loved her family and friends, love to travel the world and to help others. The NYPD says the man accused of push and Go is homeless and emotionally disturbed. New Jersey is now seeing a decline in COVID case rates and teenak they're seeing hospitalizations draw Global News twenty four hours

a day on here and on Bloomberg. Quick Take, powered by more than twenty seven hundred journalists, analysts more than a hundred twenty countries. Michael Barr, this is Bloomberg, Nathan. Thanks Michael. Just about six ten on Wall Street time for the Bloomberg Sports Update. Here's John sta At Nathan Good without the guard. Knicks trailed the Timberwolves by twelve and the first half big forty point third quarter led by Heavan four Yays three point shooting, the Knicks went

up by nine. Minnesota then failed by one in the final minute down t als past Towns. Top of the key guess Julius Randol takes the trouble left handed down the laid up off last counted for two Towns puts the Wolves up one ten one oh nine, which twenty nine point three seconds left. Those Radio Fourgnja and Alley Birks miss shots on the next final possession in Minnesota won one twelve to one ten. So two home losses in two days drops the Knicks back under five hundred

four years, going twenty seven points. Julius Randall at twenty one nine rebounds, nine assists, four block shots. Kemba Walker returned after missing nine games with a knee injury. He got hot in the fourth quarter finish with nineteen. It was not a great game for r J. Barrett has seven turnovers. The Islanders won only five of their first

twenty games. They've won five of their last six. They've reached five hundred or fourth three win a Philadelphia to sweep the home and home the Flyers ninth loss in a row. The game went to a shootout. There were seventeen consecutive misses the four Oliver Walstrom in the ninth rounds for the game winner for the Islanders. Rangers back home tonight for Toronto Make It. Savanta Jad won the fan vote to get to play in the All Star Game,

but decided not to play personal reasons. College hoops Duke lost in overtime at Florida State, Iona won in overtime at Monmouth Now fifteen and three losses for Fordham in Manhattan. Raphael the Dad won his second round match at the Australian Open, so did the Yomi Osaka and the women's top seed at Party. John stash Aw Sports n all Right. John, thanks Futures adding to their games now with SMP futures up twelve points. Futures of seventy four nanct futures are

higher by sixty three points. You're listening to Bloomberg Daybreak Bloomberg eleven three oh weather mix of sun and clouds today and a hi in your forty five degrees overnight wintrey mess. Temperatures fall through tomorrow. By Friday will only get up to the low twenties, currently thirty two degrees 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 Tape. He's a Bloomberg business

lash and I'm camerin Moscow and you mustock. Index futures are on the rise this morning, after reversing earlier losses. We checked the markets every fifteen minutes throughout the trading day on Bloomberg Guess and P futures up nine points now Future is up sixty nasday futures up forty six. The decks in Germany's up three tenths of epercent, and your treasury down to thirty seconds. He had one percent they yield in the two year one point oh five

per cent. Nin mex S crude oil is up one point one percent, or ninety seven cents at eighty six dollars forty cents of Barrel Comic School the third of eper cent or six dollars twenty cents. At eighteen eighteen sixty announced the euro one point one three four or five against the dollar British bound one point three six four zero, and the Yettis had won fourteen point five

one bitcoin, moving lower at forty two thousand dollars. Today, we are watching for reports on housing starts and building permits out of a thirty Wall Street Time and Morgan Stanley and Bank of America are among companies schedule to report earnings today. That's a Bloomberg business flash. Now here's Michael Barr with Moore on let's go a lot around

the world. Buchael Karen, thank you very much. The House Committee investigating the US Capitol, Ryan s of Peanut, Rudy Giuliani, and other members of Donald Trump's legal team who filed legal challenges to the twenty twenty election. The list includes Giuliani, Jenna Ellis, and Sydney Poem. Secretary of State Anthony B. Lincoln will meet with his Russian counterpart in Switzerland this week as tensions between the US and rush to escalate

over a possible Russian invasion of Ukraine. Lincoln arrived in Kiev today to meet with President Volodamir z Lensky. In the NBA, the next loss, the Warriors one in the NHL, the Islanders wanting to shootout against the Flyers four three, the Capitol's one, the Bruins lost. Global News twenty four hours a day on here and on Bloomberg quick Take, powered by more than twenty seven under journalists and analysts in more than a hundred twenty countries. Michael bar this

is Bloomberg. Nathan all right, Michael, thank you. At six nineteen on Wall Street Line from the Bloomberg Intractor Broker Studios. This is Bloomberg a daybreak. Let's get an update on the pandemic now as we continue to track the O macron variant and efforts to fight it. Dr Stewart Ray is with us this morning, Vice Chair of Medicine at the Johns Hopkins University School of Medicine. Dr. Good morning.

I'd like to get an update from you on where you think the O macron pandemic is going at this point when we've seen pretty dramatic drops in cases and hospitalizations. Particularly in New York City and other parts of the Northeast over the past here, So yes, good morning. It's looking better in areas that were hit first with this wave. We're still seeing rises in hospitalizations and deaths in many areas, and we probably haven't seen the worst of it in

areas that it arrived later. But I think we're definitely seeing a turn for the better in many areas. What are you looking for when it comes to how this pandemic could play out from here? Are you concerned about future variants? I am. I think that a lot of immunity has been built up through vaccination and through some infections. Obviously, the tremendous costs. We have a couple of thousand people in America dying every day from this fire. So uh,

it's your costly effort. But but we're getting a level of immunity that may prevent uh future big waves of hospitalizations and deaths. We're going to have to see whether the immunity from omicron really translates to broad immunity and whether a new variant might arise from somewhere which is much different. And you know, the possibility is always there that the next one could result in spirit disease. I think the hope that everyone has is that will become

milder if it evolves again. But most people have transmitted the virus before they developed severe disease, so the link between severe disease and transmission probably isn't one we can count on. I wanted to ask you a little bit more about the effect of O. Macron infection on future infection.

We've gotten more studies. I think there was one just yesterday from South Africa that suggested that an O. Macron infection can protect against Delta, which I think we've seen is a much more severe strain compared to O macron. Is that a reason to for some hope that the widespread spread of O. Macron could get us closer to that endemic phase? Yes, I think that it does suggest that we're gonna have less severe disease is in the future, and people who have had the infection or who have

been vaccinated. The challenges that we don't know that the next one will be similar enough, and basically we may be boxing the virus into a corner where it's next evolutionary step might require that it be energetically different enough

that it can evade some of this immunity. It's really something that we're going to have to learn, and unfortunately, we have a bunch of tools available to us, like rapid testing and high quality mass and other things that can help mitigate any variant that might come along, uh

if it spreads. And to that point, we got the rollout of the new free at home testing website from the Postal Service yesterday, and we're also hearing this morning that the White House is going to announce a plan to make four hundred million and ninety five masks available for free at pharmacies. What kind of impact could those

steps have. Well, I'm hoping this gives some people a chance to sort of dip their toe in the water with tools that they might not have used much, or make them more available to people who really were motivated but couldn't access them. It's not enough of these things to really cover the need, but it certainly will give people a chance to try these things and get some comfort with them and prepare for any eventualities that might

come up. We're all hoping that we're seeing the beginning of the end here, but it's still some risk that we'll see more trouble in the future. We're just trying to have tools in hand to manage what comes in our last minute here, doctor, how much longer do you think we're going to need to deploy these tools, these public health measures that many of us, the majority of us, I think, have been trying to put in place over

the last almost two years. Now, Well, I'm hoping that within a few months we're going to have a lot less of this widespread infection and then people can begin really paying attention to local rates. And there are UH susceptibility and the susceptibly people around them, and so I'm hoping that we can begin much more targeted interventions. And endemic phase doesn't mean it won't cause a lot of UH death and illness. It just means that it will

become a more predictable pattern. I'm hoping that we can use these tools to really lower that rate during endemic phase two, low levels of complications for people just quickly. Do you think it could happen this year with what the return to an endemic phase or move to an endemic phase at least, Well, I think it could become more predictublar this year, but then we could have outbreaks. It's like influenza at that point where a new genetic

change could cause disruption. All right, thanks as always, Dr Stewart Ray the Johns Hopkins University School of Medicine with us this morning, Stay with us. Just ahead on Bloomberg Daybreak, We're going to get more on the market, sed bets and airlines, grappling with the five G roll out as we check the five things need to know to start your day. This is Bloomberg and Bloomberg Daybreak is brought to you by Audie. Don't let someone else drive off

in the outie model. You've always wanted to visit a tri state autie dealer to get behind the wheel of yours. Today broadcasting live from the Bloomberg Interactive Broker Studio in New York, Bloomberg Eving Freed to Washington, d C, Bloomberg to Boston, Bloomberg one on six one to San Francisco, Bloomberg SIXT to the country, Sirius XM to one nine, and around the globe the Bloomberg Business app and Bloomberg Radio dot Com. This is Bloomberg Daybreak. It's six thirty

on Wall Street. Good morning. I'm Nathan Hager and I'm Cameron Moscow. I've 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 i v k R charges margin loan rates from zero point seven five percent to one point five nine percent rates subject to change. Learn more at ib k r dot com slash compare Up. First, it's all about the markets this morning. Stock future is falling

sharply overnight, but they're now rebounding. We get the latest to live with the Bloomberg's John Tucker, John, Good Morning, Good morning, Karen Bench. Where treasury yields look points to surge past two percent, traders are petting the Federal Reserve could go for a supersized rate hike in March. Higher yields waging on stocks, especially tech stocks lately, but as that down almost ten percent from its November high, that would be a correction. Now, Investors still wondering if the

sell off has gone too far. Overnight then as a futures fell as much as one percent and now they're up eighteen points. Live in New York on John Tucker Bloomberg Day Break and John. Investors will also be paying close attention to bank earnings. Morgan Stanley and Bank of America report before the opening bell after disappointing trading results yesterday from Goldman Sachs. Looking to the skies now, Nathan, the rollout of five G wireless service in the US

is disrupting airline flight schedules around the world. May get the latest line from Bloomberg's Granda Young. Good Morning, Ready down, Good Morning Care and airlines fear if five G services are too close to airports they could interfere with key safety systems, so they're adjusting schedules. British Airways has canceled

a handful of flights to the US. Dubai Zimmers is suspending routes to several US cities, including Chicago, Newark, and San Francisco, and Japanese carriers are also dropping routes and will not fly some jets to and from the US mainland. Live in New York, I'm Ranita Young, Bloomberg Daybreak, All Nita, thanks the news out of Washington this morning. The Biden administrations exploring ways to rein in the nation's biggest tech companies,

possibly through antitrust legislation. Bloomberg News has learned the White House will meet this week with critics of big tech. A bill in the Senate could limit the dominance of companies like Google, Apple, Amazon, and Meta. And on Capitol Hill, Nathan Senate, Denver. Senate Democrats are poised a hand President Biden another defeat. Lawmakers have taken up voting rights legislation that has very long odds. Republicans are opposed to the measure and expected to block a final vote on it.

And that's the five things you need to know to start your day, Brought to you by Interactive Brokers. Futures this morning moving higher SMP Futures up five points down. Future is up twenty eight, nas Day Future is up twenty eight as well. And straight ahead your latest local headlines plus the check of sports. And this is Bloomberg. All right, Karen, thank you. At six thirty three on

Wall Street. We're thirty three degrees in Central Park now dealing with a couple accidents on the southbound to Conic the tails coming up in traffic first, Michael Barr. What else is going on in New York and around the world. Thank you very much. Nathan, a New York City police officer, was injured in the Bronx last night while apprehending a sixteen year old suspect with a gun. After a scuff hold, the gun went off. Both the officer and the suspect

were shot in the leg and they will recover. Mayor Eric Adams rushed to the hospital to thank police officers for the arrest. Adams called for reforming laws involving gun crimes. Anytime there's a gun involved, we have to look at that in a serious fashion, and now we're not doing that. Meanwhile, Mayor Adams would retain mayoral control of the city's schools for four years in a budget proposal unveiled by Governor

Kathy Huco. If approved by the state legislature, the oversight of city schools would strengthen a partnership between Hocol and Adams in their early days in office. The House Committee investigating the US Capitol ryan s of Peanut, Rudy Giuliani, and other members of Donald Trump's legal team who filed legal challenges to the election. The panel is demanding information

and testimony from Giuliani, Jenna Ellis, and Sidney Powell. The New York Attorney General's Office says its civil investigation has uncovered evidence that Memer President Trump's company used fraudulent or misleading asset valuations to get loans and tax benefits and accord filing last night, Attorney General Letitia James's office said evidence show that the Trump organization routinely misrepresented the value

of its properties and golf clubs in financial statements. Later today, Senate Democrats will try to vote on changing the filibuster rule to pass two voting rights bills. The filibuster change will almost certainly fail, but it's not stopping Senate Majority Leader Chuck Schumer from forcing to vote on something as important as voting rights. It Senate Republicans are going to oppose it. They should not be allowed to sit in their office. They got to come down on the floor

and defend their opposition. Republicans insist there is nothing to fix to spite GOP states passing new voting laws. New Jersey is now seeing a decline in COVID case rates and te neck. They're seeing hospital hospitalizations drop during the holiday season, The Holy Name Hospitals saw waves of sick pay tions and staffing issues. New Yorker's flooded into online sports betting in the first weekend, it was legal to

do so in the state. Official State Draft Kings Fan Duel, Rushed Street Interactive, and Caesar's Sports Book took in one hundred fifty million dollars in wagers since online sports betting operations began in New York January eight. Global News twenty four hours a day on air and on Bloomberg Quick Take Power a Boy more than twenty seven under journalist analysts more than a hundred twenty countries. I'm Michael Barr.

This is Bloomberg. Nathan. Okay, Michael, Thanks six thirty six on Wall Street, time for the Bloomberg Sports Update with John stoesshur all right, Nathan. Next. In Timberwolves at the Garden, Aleck Berks took a three point shot. The ball was in the air as the final buzzers sounded, It missed, and Minnesota on a wild one one twelve to one ten tea. Wolves were up by twelve in the first half.

Knicks then led by nine. Carl Anthony Town's three point play with twenty nine seconds left to him to be the game winner for Minnesota having four led the next with twenties having points. Julius Randall had twenty one Kemba Walker nineteen and his return from knee injury with this homestand has started with two losses in two days. The nixt are fact under five hundred Islanders and Flyers captain home at home in Philly. The game was tied at one and then two and then three at CAZy Kaziks,

tying goal for the Isles with four happenutes left. They went to overtime and then the shootout where neither team can score. Seventeen consecutive misses and that I drowned, it was time for the Islanders. Oliver Walstroma Carter hustals it down the winner in the final of the ninth and the Islanders beat the Flyers by the final score to four to three. King w e pn Isisles have now won five or six to reach five hundred. Flyers have

lost nine in a row. Rangers first home game in over two weeks tonight against Toronto Australian Open second round victories for Raphael, the dal Ash Party Naomi Osaka, all on straight sets. Giants will be gonna set and a round of interviews for their Gentle Manager's job. These being conducted in person on first Yesterday Buffalo assistant to M Joe shown. John's facially were Bloomberg Sports. Nathan, all right, John, thank you. It is six thirty seven on Wall Street.

Time to take a look at stocks and some of the names moving in the pre market now with Bloomberg Radio on TV Markets correspondent Creety gooped up. Creaty. We've been so focused this morning getting ready for bank earnings, but there is still a lot of movement for Activision

after that Microsoft buyout news. There absolutely as you're seeing Activision, of course up three tenths of a percent, no match to what you saw yesterday with of course over rise, but important to keep in mind that Microsoft is coming back with a little bit of gains here M S F T S your ticker, They're up six tenths of a percent this morning, largely hailed as a pretty good move when you look at what the analyst calls are

really helping them step into the gaming world. Activision a TV I, like I said, is the ticker up three tenths of a percent, Nathan, But this morning story is also to your point, going to be about those bank earnings, a lot of them seeing some heavy volume, but actually at right now, which tells you that there's a little bit of a tug of war ahead of some of these numbers. Bank of America is the one that comes to mind. B A. C. S the taker. Those shoes

about flat right now. They were higher in the pre market earlier. You also have Morgan Stanley due to report about up about five tenths of a percent. M S is your ticker, and of course JP Morgan is also flat in the pre market, once again seeing some heavy volume, though this coming after they raised their pay for junior bankers once again. Year. In the last two pay raises, they would have gotten a forty percent raise. Nathan really

regretting not going into bank right now. Ah so sad, Well, we've already gotten some earnings outside of financials just this morning we have it is you know, all the focus is going to be on those banks, but you do have plenty of other earnings outside of banks. To your point, United Health is the one that caught my eye. U n H the ticker up four tenths of a percent after beating analysts estimates for its fourth quarter earnings and

affirmed its two profit outlook. As the US health conglomerates saw broad based growth across this insurance and services businesses. That being said, you also got some analysts action this morning, Cisco Systems c s c O down two percent, getting downgraded to neutral from a by over at Goldman as its stock approaches its price target, saying that the tail winds and the headwinds are now balanced that of course they are preferring Dell in terms of what their new

long term tech pick is. But nevertheless, c s c O down two percent. I'm gonna end here with Netflix and f l X down two tons of a percent after the price hike in the United States and Canada announced last week was larger than expected and applies only a one percent lift to the revenue forecast at according to Key Bank. Nevertheless, down two tons of a percent right then. Now we're looking forward to Netflix earnings later

on this week as well. Bloomberg Radio and TV Markets correspondent Creedy Gupta thank you for the update, and as we take a look at stocks as a whole ahead of the open, future is moving a bit higher after yesterday's losses. Right now, SMP futures are up seven points, now futures up thirty six and NASTACK futures are higher by four one point ten. Your treasury is down to thirty seconds down with the yield one point eight percent. The yield on the two year one point zero five percent.

President Biden gets ready to wrap up year one, will look ahead to his afternoon news conference with Bloomberg Government's Emily Wilkins. Next, this is Bloomberg Bloomberg eleven three oh weather a mix of sun and clouds and highs in the mid forties today, overnight wintry mess temperatures will fall through tomorrow. By Friday will have highs only in the low twenties. Currently thirty three degrees. Markets, headlines and breaking news twenty four hours a day at Bloomberg dot com,

blo Bloomberg Business Out and at Bloomberg Quicktape. He's a Bloomberg Business Flash. Hey, good morning, I'm kared Moscow. Futures are higher this morning, and we go to the first word breaking news. Dask for today's morning call. Here is Bell Maloney, Bill, good ring, and good morning Karen. That's right, US futures are trying to stabilize here at Dow Future is currently hired by eight thirty eight points. Subs gain

eight and a half. Well, then as the futures are higher by fifty the US ten yeal at one point eight eight percent, Gold is up five Oil trading higher, but bitcoin is down by one percent. Japan fell two point eight percent overnight, while European markets are mostly in the green this morning. But note that Britain's inflation rate has jumped to its highest level since back in the US. On the economic Frinday, thirty December, housing starts and building permits.

Regarding earnings, this morning, un h BT estimates Bank for America Q four training Your Revenue x d v A did miss estimates and look for Morgan Stanley to report around seven thirty. In other news, so FI sword pre market after it was granted conditional approval to become a U S bank, and Ford expects to report and eight point two billion dollar gain in the fourth quarter on

its investment in Ribban. Wrapping things up at AM, IWA raised overweight to key Bank, LI Financial cut neutral at JP Morgan and Excellent was raised to sector perform over at RBC Live from the first breaking news discom Bill Maloney Camp all right, Bill, thank you, and yeah, we're watching those Bank of America shares this morning, down more than four percent in early trading, and your live breaking news of your Bloomberg have squalk on your termin I'll

ascue you a w K. That's a Bloomberg business flash. Now here's Michael bar with Moore on what's going on around the world. Michael Karen, thank you very much. Rudy Giuliani and two other lawyers who helped former President Jonald Trump advanced claims of fraud in the election have beens peen up by the House committee investigating the January six riot at the US Capitol. Along with Giuliani, Sydney Powell and Jenna Ellis were part of a legal team that

spearheaded an attempt to overturn the election of results. Airlines around the world are adjusting their schedules and aircraft deployments for flights to the US over fears that a five G rollout by a T and T and varions and near American airports can interfere with key safety systems in the NBA. The next loss the Warriors won in the NHL, the Islanders want in a shootout against the Flyers, four

or three the Capitol's one. The Bruins lost. Global News twenty four hours a day on air and on Bloomberg Quick Take powered by more than twenty seven d journalist and analysts in more than a hundred twenty countries. Michael Vard, this is Bloomberg. Heret all right, Michael, thank you at a six nine on Wall Street, and we turned to

news and science and technology. Now but the Bloomberg n j I T STEM report, it is brought to you buy New Jersey Institute of Technology, which announced that renowned scholar and educational leader Dr Tech Limb will join the university at n j I T S n j I T S ninth President. Learn more at n j I T DOT E d U. Now here's just making news in science, Technology, engineering and math. The European Space Agency has narrowed the candidate list for its next generation of astronauts,

including dozens who have a physical disability. The agency announced last year that it receive more than twenty two applications. The agency says it has reduced the east of fewer than fourteen hundred. In the end, it'll have four to six positions on its astronaut training program. British Prime Minister Boris Johnson reportedly will announced the lifting of COVID restrictions in England today as according to the Financial Times, the paper says that work from home guidance and the use

of COVID passes are expected to end. Meanwhile, the Cabinet is set to consider the role of face masks in public places. And Visor CEO Albert Borla has been awarded the Genesis Prize for his efforts in leading the development of a COVID nineteen vaccine. The one million dollar award as granted each year to a person for their professional achievements,

contributions to humanity and commitment to Jewish values. Borla, the son of Holocaust survivors, plans to donate his prize to projects aimed at preserving the memory of Holocaust victims and as a Bloomberg and J. I. T. S Stem report. Nathan all right, Karen, thank you. We're lying from the Bloomberg Interactive Brokers studios where at six fifty one on Wall Street as we continue to watch earnings headlines from Bank America across the Bloomberg terminal. We're joined now by

Bloomberg Intelligence senior analysts for global investment banks, Alison Williams. Allison, good morning. Is I take a quick look at these earnings. We did get a beat on earnings per share, but it looks like traders this morning our focused on the big miss on trading revenue. Well, it looks to me like they're they're trading did okay, and actually they're fixed income trading outperformed UM what we've seen at some others,

So I think that's a positive. But for for Bank of America, really the most important things, well, the two most important things are UM loan growth and expensive because expensive, because I think those are the things that we were looking for in this quarter. We did see a pickup in loan growth, so that's very good. We're looking for net interest income to improve, as our most investors this year, and so that's important, net interest income coming in a

little bit better. And then on the expense side of things, with which I think is really the story of the season. Earning season UM, they're guiding to expenses that look about similar to this year. So that's a little bit higher than consensus expected UM, but certainly not to the degree that we saw JP Morgan. And as I look at the shares this morning, I think they had dropped as low as four point three percent in early trading. Now giving back some of those losses down about two starting

to climb back up from there. When it comes to expenses and loan growth, Allison, what are you seeing from these numbers? What's the outlook for Bank of America? I think you know that the the outlook is similar to the outlook for economic growth. So in general, they're benefiting from healthy consumers, they're benefiting from healthy businesses. The fact that we are seeing a little bit more borrowing is better.

Um So in general, I think things are coming sort of sort of in line with what investors may have hoped. Um As I said, the big story this earning season has been expenses, and that's because we've already gotten a lot of these you know, clues to the better revenue sides. So we've already seen in the industry data loans improving. We've already um looked to the rates market. We see

that interest rates are expected to go up. Expenses were sort of a big question, and I think you know, for for banks, the expectation is that, you know, or the hope is that they're going to show operating leverage, which means that their revenue growth is going to outpace their expense growth. Bank of America is in a solid position for this because they are getting help from interest rates. They're more interest rate sensitive, which means they benefit more

from that increase. Loan growth is really going to add fuel to that um. And then if they're able to keep expenses a little bit stable. Their expenses were a little bit bloated last year, so it's not you know, the I think earlier that earlier in we might of hope that expenses came down in but but again flat is nowhere near the increase that we're seeing. I suppose the question is, you know, are they able to spend on investments the way that some of these other investment

banks are. Keep in mind that trading and fees are also part of their earnings outlook, but it's a much smaller part. And how are they competing on that front for talent? All Right, Bloomberg Intelligency ranallist Allison Williams will let you get back to watching those headlines cross from Bank of America. The shares now down about one point six percent in early trading, and of course Morgan Stanley will wrap up bank earnings. Their results do out in

a little bit more than a half hour. We're gonna have full coverage for you here throughout the day on Bloomberg Radio. We want to turn out to what's going on in DC, where some of the top stories include President Biden rounding out his first year at office with a formal news conference and Senate Democrats headed toward defeat on voting rights legislation. Let's bring in Bloomberg Government reporter Emily Wilkins in our studios in Washington, d see ahead

of this four pm Wall Street Time news conference. Emily could be a pivotal moment for President Biden. It could be he needs a pivotal moment right now. His ratings are at a low for his presidency. He has faced a lot of struggles within his last year, particularly within the last six months. And Nathan, this is the first press conference formally that Biden has given in about ten months,

so he's very much overdue for one. The goal for Biden today is to try to, as we heard yesterday from White House Press Secretary Jensaki, for him to take a step back and kind of re evaluate the progress of his last year. I mean, certainly he can point to victories such as the bipartisan infrastructure bill that was passed as well as you know, starting the vaccine rollout.

But he's been criticized lately on a number of fronts, including with the pandemic for being caught flat footed for not having the number of tests that Americans needed over the holidays. Um. Only now is his administrations starting to get masks out his plan, the social policy and tax plan, the so called build back Better that seems to be stalled. And today we're going to see the voting rights effort UH in the Senate. UH that is also going to go be going down this week because they don't have

the votes to change Senate rules. Yeah, and this is something that looks like it could be yet another setback for President Biden politically. But there's been some talk, I think in the Senate emily about changing the filibuster rule, maybe making it a talking filibuster for voting rights. Could that go somewhere in our last thirty seconds here? It doesn't look like at Senator Kristen Sinema basically xenate out

anything like that. There's definitely been some discussion. It seems like it seems like a potential option at one point, but Senator Kristen Sinema has said she's not open to it, and and they need all fifty Yeah, alright. Boomberg Government reporter Emily Wilkins with us this morning from Washington, d C. Ahead of that formal news conference to round out President Biden's first year in off. It's scheduled for four pm Wall Street Time from the White House. We will bring

it to you live here on Bloomberg Radio. So we continue to watch. Shares of Bank of America in the pre market there down one point eight percent with a miss on fourth quarter trading revenue, while earnings per shared did come in above Wall Street analyst estimates. And we're gonna hear from Morgan Stanley uh, the last of the big six Wall Street banks to report earnings. Those are due out at seven thirty Wall Street Times, just about

a half hour from now. So keep it right here on Bloomberg Radio for more coverage from Bloomberg Surveillance up next to Tom Keene, Jonathan Farrell, and Lisa Bramway's ahead of that, SMP futures are up ten points, DAL futures up fifty one, and Nastack futures are higher by fifty seven points. For Karen Moscow, I'm Nathan Hager, This is Bloomberg,