Bloomberg Daybreak: January 3, 2023 - Hour 2 (Radio)

car will be in court. Plus, Brazilian authorities are reopening a fraud case against Representative Alex Santos. I'm Michael bar More a half. I'm John Statward Sports with Nixon. Next one The Bills Bengals game postponed after a Buffalo player

went into cardiac arrest. That's all straight Ahead on Bloomberg Day Break on Bloomberg eleven, TREEO, New York, Bloomberg N one, Washington, d C, Bloomberg one oh six one, Boston, Bloomberg nine sixty, San Francisco, Sirius x M one nine Team, and around the world on Bloomberg Radio dot Com and via the Bloomberg Business A good morning. I'm Nathan Hagar and I'm Karen Moscow and the West Dock Index futures are on

the rise this morning. We checked the markets all day long here on Bloomberg and SMP futures up thirty six points, or nine tens of upper CENTDAL futures up eight tens of upper cent or two hundred seventy eight points. And now's deck futures are up one point one per cent or a hundred nineteen points. Ten year Treasury up one in three thirties seconds. You have three point seven four percent.

They yield on the two year four point three four percent, and NIMEX screwed oil is down one point six percent, down a dollar twenty five at seventy nine dollars two cents a barrel. Nathan, all right, Karen, let's stay with these markets as we kick off the new year. Investors seem to be glad two is in the rear view Bloomberg. Steve Rappaport joins US Live with more. Good morning, Steve,

Good morning, Nathan and Karen. Wall Street futures point to a higher opening as investors cautiously ringing the new trading year. They're keeping a close eye on global equities having lost key percent in value after sharp swings last year. Then there's the dreaded eye word in what to do about it? Traders worried the Federal Reserve and other central banks might be willing to risk a recession to bring down inflation

that remains stubbornly high. We'll get a better look at the FIDS thinking tomorrow when policymakers released notes from their latest meeting. Live in New York Times, Steve rep report Bloomberg daybreak. All right, Steve, thank you. I was the first day of trading for stocks in London and let's get the latest from Bloombergy daybreaking. Europe Banker Stephen Carroll, Good morning, Stephen, Good morning, Karen and Nathan. The London

market joining in that new year rally. Shares in the foot one hundred up two point three percent two hours into the trading session. The top performers on the British market include the food delivery service at Cado, British Airways owner I A G, as well as the oil majors BP and Shell. We've got a second day of gains across other European markets. The stocks six one point eight percent, the Carronton Paris and the Jackson Frankfort both at one

point four percent. Best performing sector travel and leisure shares currently up over three percent. Are people planning New Year's holidays in London. I'm Stephen Carroll Bloomer, daybreak. Okay, Stephen, thanks And while we are watching the markets, were also keeping an eye on a serious story in sports this morning. A safety for the Buffalo Bills suffered a cardiac arrest during last night's game with the Cincinnati Bengals, and John stash Hours here live with the details. John and Nathan

to mar Hamlin, only twenty four years old. He made a tackle in the Bill's game against the Bengals and then collapse, having gone into cardiac arrest. CPR was administered, They restored his heartbeat, and Hamlet this morning is in a Cincinnati hospital, said to me, sedated, with his vital signs back to normal, but he is listed in critical condition. The game was postponed. No word yet on his resumption.

John Stashward Bloomberg, debreak. All right, John, thank you, and of course I'll have more in that story coming up in our sports report. But first let's turn to the COVID outbreak in China. President Chi Jim Ping says the country is moving into a new phase and its COVID pivot and his New Year address, President she warn't of hard times ahead Chunk with extraordinary efforts, China has revailed over unprecedented difficulties and challenges. That has not been an

easy journey for anyone. We have now entered a new phase of COVID response where tough challenges remain. Chinese President She's in pain, did not acknowledge recent protests over COVID directly, but did say it's only natural for people to have different concerns and views on issues. No, President, She's not the only one seeing tough times a Headcaren i am F Managing Director Kristine and Georgieva's issuing a warning on the global economy. She says one third of the world

will be in recession this year. We expect one third of the word economy to be in recession. For most of the world economy. This is going to be a toughier, tougher than there we leave behind. Why because the three big economies US, EU, China are all slowing down simultaneously. I'm F Managing director Crystalline and Georgieva spoke on Face the Nation from CBS. Catch the program every Sunday on Bloomberg Radio. Meantime in Washington, Nathan, a new Congress is

seated today. That means it's time to select a new Speaker of the House, but as Bloomberg's Sad Bacheter reports, this is not expected to be a coronation. Kevin McCarthy's chances remain in doubt. With the Republicans only holding a slender majority in the new House. McCarthy cannot lose more than four GOP votes in his bid, and the latest talies have more than that not committed to him, and two have already said there is nothing that McCarthy can

do to get their votes. Coming out of meetings held over the weekend, predictions of multiple rounds with fierce negotiation going on in the interim. McCarthy has been endorsed by Donald Trump, which complicates things for the GOP with a good number of the party trying to move away from Trump. In San Francisco, I'm at Baxter Bloomberg Daybreak. All right, and thanks. Turning to corporate news this morning, we're seeing

more downbeat data from Tesla. The shares are down almost three percent in early trading after the company delivered fewer vehicles than expected in the fourth quarter. Bloomberg's Doug Krisner has the story. Worldwide deliveries total four hundred five thousand, two hundred seventy eight, but that miss the average Bloomberg estimate by more than fifteen thousand cars. Nonetheless, the quarterly figure is a record. CEO Elon Musk had predicted an

epic end to the year. To clear inventory, Tesla offered discounts of seventy five hundred dollars to US consumers who took delivery in the final days of December. Well Now Tesla is offering incentives in China. Chinese buyers will get the equivalent of fourteen hundred fifty dollars on certain models if they take delivery by February. In New York on Deck Prisoner Bloomberg daybreak, all right, thank you all. One of Most's other companies is also in the spotlight this morning.

According to c NBC, SpaceX is raising seven hundred fifty million dollars in new funding that values the company at a hundred thirty seven billion dollars. The network says, and recent Horowitz will likely leave the new funding futures again moving higher. SNP futures up thirty five points or nine tenths of upper cent and straight ahead your latest local headlines,

plus a check of sports and this is Bloomberg. Thankscaring six oh seven on Wall streett degrees in Central Parkcot showers the vicinity and expecting rain for much of the day with highs in the upper fifties and mid fifties for lows. Tonight. Michael Barr is here with more on what's going on in New York and around the world. Good morning, Michael, Good morning Nathan. Prosecutors want a decade's long prison sentence for a man who is expected to plead guilty to opening fire on the subway car and

wounding ten riders in New York City. Frank James as scheduled to enter a guilty plea today in Brooklyn Federal Court, admitting that he was responsible for the April twelfth attack. It set off a massive thirty hour man hunt that ended when the sixty three year old called the police on himself. Brazilian authorities planned to revive an old criminal case on fraud charges against George Santos, the Long Island

representative eluct takes his seat in Congress today. The Prosecutor's office and Rio di Janeiro said the case against Santos stems from a two thousand eight incident regarding a stolen checkbook. Police in Pennsylvania said the man who shot and killed the police officer in Brackenridge has been shot and then he was then shot by Pittsburgh Police. Aaron Lamott Swan, who was twenty eight, was wanted for a parole violation and fled from a traffic stop. Alleghanty County Police Superintendent

Christopher kerns there was a car chase. The suspect crashed the car and fled into the woods. The officers quickly formed a perimeter. While former the perimeter, the suspect ran from the wooded area. While fleeing from the officers, the suspect fired at the officers. Christopher Kerns with the Alleghany County Police says Chief Justin McIntire, who was killed, was

the definition of a community officer. A suspect in the New Year's Eve machete attack on three New York City police officers near Times Square, it's been arrested and charged with attempted murder. Police identified him as a nineteen year old Trevor Bickford of Wells Main. Retired NYPD Chief of Detectives Robert boy says the heavy police presence on New Year's Eve is usually a successful deterrent. Of course, this is our biggest deployment of the year in New Years. Say,

we have the most officers out there. We have we have all kinds of frozen zones and to find rids. It's not unusual at all to have several thousands place hops sport and that night, so we haven't had this for a while. During the attack, one of the three officers shot and moon did the suspect in the shoulder. Global News twenty four hours a day on air and on Bloomberg Quick Take, powered by more than twenty seven hundred journalists and analysts more than one twenty countries. I'm

Michael Barr and this is Bloomberg Nathan. Okay, Michael, thank you six o nine on Wall straight time for the Bloomberg Sports Update. Brompt you by try state Outie and John stanshours back to us. Nathan. It was to be a big game between two of the NFL's best teams, but in the first quarter, outcome of the football game seems awfully insignificant. Buffalo safety Damar Hamlin made a tackle that up for a couple of seconds and then fell backwards. It was clear this was not a normal injury. He

had gone into cardiac arrest rec CPR and oxygen. They were able on the field to have his heartbeat restored, but Hamlin is now in a Cincinnati hospital listed in critical condition. At one point there was talking resumed in the game. The NFL later said that was a false report. It was an hour and a half before the game was officially postponed. Bills flew back to Buffalo. The NFL has not said when the game will be resumed. They

played four bowl games. Pence State pulled away on Utah to when the Rose LSU took the Citrus sixty three to seven over Purdue. Mississippi State won it's bowl game for coach Mike Leach. You recently passed away and an amazing Cotton Bowl went for two lane trailed USC by fifteen was just over four minutes left to its first league. With nine seconds left, two lane one forty six foot and five Nick's back at the Guard held Phoenix only eleven first quarter points, beat the cold shooting Suns one

oh two to eighty three. Twelfth straight win for the Nets to blow out of San Antonio at Barkley's one thirty nine to one oh three and Cleveland's over time, what over Chicago, the Cavs Donovan Mitchell scored seventy one point most of the NBA SS Kobe Bryant's any one point game in two thousand six, a year after Ruptors stunt number one rank per Dow, it happened again, this time on the road Scarlet Knights sixty four outdoor hockey on usually warm New Year's Day in Boston, the Bruins

beat Pittsburgh to the one they had to sell out crowd at ben Way Park. John Stactually Bloomberg Sports Nathan all Right, John, thank you, and the Bloomberg Sports Report was brought to you by Audie. Don't let someone else drive off in the Outie model you've always wanted. Visit your local Trice State autie dealer to get behind the wheel of yours today, or visit Outie Offers dot com

for more information. SMP futures right now of thirty two points down futures of tune to fifty one NASTAC futures are hired by a hundred nine points ten year treasuries up one and three thirty seconds. The yield three point seven four percent. Yield on the two year right now four point three five percent. You're listening to Bloomberg Daybreak live from coast to coast, from New York to San Francisco, Boston to Washington, d C. Nationwide on Sirius xamp, the

Bloomberg Business app, and Bloomberg dot Com. This is Bloomberg Daybreak. Good morning and happy New Year, Nathan Hagar and we want to get more now on the situation in China, something we continue to follow very closely. As we kick off three, President Shi Jinping is now warning of tough times ahead in his country's fight against COVID nineteen. He said that in an address to his nation to mark

the new year. At the same time, we do see some signs of optimism, that infections may have peaked in some parts of the country, and that the Chinese economy may be showing signs that it's starting to get a bit of a lift. Let's bring in Bloomberg Chief Asia Economics correspondent and occurrent to get more on the unfolding situation in China and a good morning, happy New Year to you. What does President She's New Year's address tell

you about the you approach the COVID in China? Are we getting a sense now that zero tolerance really is now fully a thing of the past. It's telling if that China has moved away from over zero is happening at a much faster pace than anyone could have anticipated. We are seeing, though, however, a bigger economics ship than money economists had anticipated when these when the relaxation that

measures was first announced. So we had some p m I data over the weekend showing the hit to the manufacturing and service inside in December was bigger than anticipated. In particular, services took its biggest hits in every twenty when the pandemic was getting on the way, and that makes of course, as we know, the hit it's in confidence consumer spending and the broader hit to industrial production

in China. Sore you comments from President Choosing things do seem to under underscore the idea that the top of the party believes that they can navigate their way out of this. Of course, our colleagues are reporting a significant

impact on public health across China. Put to your point, there are there are also some very tentative early signs that perhaps the diseased outbreak is peaking in at least some major cities at least, so the leadership may be signaling that it sees a way to navigate this situation. What do economists think about the outlook for China in three? Are they starting to reassess their projections given the disappointing

data we've gotten in recent days. I think the assessments are being recessed on an almost daily basis Natan, I mean, obviously number one is the public health crisis. China has to navigate that. But when you look at the eccom excite of it, as you mentioned earlier, we're getting some

high frequency readings. Now, is that subway usage, for example, in some major cities, including Baking, is actually picking up And and as you're saying, that's pointing to perhaps greater conference among consumers to get out and the bous the health experts, it might be pointing to a peak in the level of infections. So if and when trying to gets through the house side of it, and don't forget by the way, they first have to navigate the lunar New Year holiday it's coming up here in a couple

of weeks. Then there is expected to be something of a growth dividend for the economy. Consumers get motoring again, tourists get spending and traveling both domestically, and of course they will go to the rest of the world. Twoe again. The real estate it's like they're in China, will get a bit of a lift if ippos of all constiens to get out about by property. So when you add it up, there's expected to be something of a recovery, maybe even a sharp recovery and challenge economies from the

middle of saying this year. But as I mentioned, there are other headwinds happening at month as well. Global demand for Chinese made goods and pretty weeks gets weighing on exporters and I will take a lot, of course to turn around the real estate slump, but nonetheless the existing covered zero. It's proven to be quite chaotic, but at the same time, ultimately it is expected to blend itself

forward and recovering economy in China. Did you mentioned the Chinese New Year, the Lunar New Year, It'll be interesting to see what kind of catalysts that could provide in terms of what the outlook is going to be for China going forward. Even further, what what's the signal that you expect to see from the Lunar New Year given potential trepidations among the Chinese people about how the COVID situation could unfold, Well, exactly makes and I mean Lunar

New Year is the Christmas for China. Think about it that way. So this is a huge migration when everybody goes home to see their family. So again you have to look at it through the public health lends. Number one. A lot of animals are saying it will probably mean bigger and faster spread of the disease in rural and the regional China. And of course that pressure is the hospitals, and that's does exactly lend itself towards boy and consumer confidence.

But again providing the authorities can navigate that by minimizing the health effect. The thinking is that you know, the more China starts to simon, don feed and adjust to life with COVID, the more it will lend itself to a more normalizing economy in terms of work practices we're seeing from times at the industrial e thank is getting

back on speed already. For example, the the Apple, the big Apple plant, the iPhone city as it's known, is back towards production that people are closely watching for signs of recovering and supply chains which just seems to be happening at the moment. And as I mentioned to you, the more tonic and adjusting with the more we will lend itself towards a normalizing consumer and normalizing industrial dates and of course that will end itself towards a more

productive Chinese economy. Yeah, we're still very every We're still very early in this stat and I think coming weeks and months they're going through offer a lot of clarity on absolutely. Thanks for this as always and great to have you on with us and the current chief Asia Economics correspondent for Bloomberg News. Looking at the offshore you on, it is strengthening slightly against the dollar at six point nine two three two, and futures are higher on this

first trading day of twenty three. This is Bloomberg Markets headlines and breaking news twenty four hours a day at Bloomberg dot Com at Bloomberg Business Outland at Bloomberg Quick Tape. Please she's a Bloomberg Business lash and I'm Karen Moscow. And this updates brought to you by Innovation Refunds. This is your daily reminder from Innovation Refunds to apply for a payroll tax refund of your smaller medium sized business

was impacted by COVID nineteen. Innovation Refunds clients already claimed over two billion dollars in payroll tax refunds. Gets started at get refunds dot com. And futures are higher this morning. We checked the markets all day long year on bloomberg s and P futures up thirty two points, up a tens of upper cent. Dal Future is up eight tens of upper center two hundred fifty six points. At madsday futures up one percent for one hundred eight points. The

decks in Germany's up one at a quarter percent. Ten year treasury up one the yeld three point seven five percent a yell, then a two year four point three five percent. Nine nights screwed oil is down one point one percent on ninety one cents at seventy thirty five cents in barrel. Comic School is up seven tenths per center. Twolve dollars thirty cents at eighteen and thirty eight fifty announced the euro one point oh five to five against the dollar. British found one point one nine to three,

and that's a Bloomberg business flash. Now here's Michael Barr with more on what's going on around the world. Michael Karen. Representative Kevin McCarthy's chances of becoming House Speaker remain endowed as Republicans formally take control of the Chamber today. McCarthy can't lose more than four GOP votes in his bid for speaker. In the NBA, the Knicks, Nets, Warriors, and

Cavaliers won. Cleveland's Donovan Mitchell scored seventy one points. In hockey, the Bruins one Bill's defensive mac Tomar Hamlet is in critical condition after he suffered a cardiac arrest on the field. Monday nights game has been postponed against the Bengals. Funeral services take place today for soccer great Pele and Brazil, who died last week at age eighty two. Global News twenty four hour was a day on the RAN on Bloomberg Quick Take powered by more than twenty seven hundred

journalist and antalyist more than a D twenty countries. Michael Barr, this is Bloomberg, all right, Michael, Thanks at six on Wall Street. I'm Nathan Hagar. This is Bloomberg day Break. We want to focus now in a couple of Elon Musk led companies that aren't Twitter. We're watching shares of

Tesla this morning. They're down two and two thirds percent in early trading after the electric vehicle maker hit a new record for deliveries in its latest quarter, but uh still short of Wall Street estimates, and space X is reportedly entering a new fundraising round that would value the rocket company at a hundred thirty seven billion dollars. Let's bring in Alex Web for more on these stories. Bloomberg Quick Take correspondent and our go to guy for tech

and in recent weeks all things Elon Musk related. Alex, Good morning. Great to have you with us on this first trading day of the new year. So a Tesla posted a new quarterly delivery record, but not enough to meet Wall Street or even I guess Elon us on expectations. Did he set the bar too high. Well, it's only seems so. They had um you know, the company and forecast expanding deliveries by they managed to expand it by about the target was the analyst consensus was four one

thousand vehicles hit four hundred five thousand. That's even with some heavy discounting that came in. It speaks to the slowness in the automotive industry, and of course especially in electric vehicles where the price point tends to be quite a bit higher. So is this just a story about softening demand overall for automobiles at this point in the in the macroeconomic environment, or does this say something about Elon Musk's leadership. I mean, it's certainly there is a

macro story here. The ability to pivot and um you know, still remain appealing as a stop to investors is going to be a big challenge here and says something about his dealership. If you look at the valuation of the Star, it has come down from a hundred forty times forward earnings multiple down to twenty three times forward earnings in the past twelve months, still a massive premium to the likes of Ford and g g M, which traded about six times their forward earning spokes bog and four times

forward earnings. You know, so if you look about as a metric, it might have a long way to come, and Elon Musk has to try and do something to to pep it up again. Well, let's talk about this report that SpaceX is entering. You knew what is it? Seven or fifty million dollar fundraising round? I guess this is is from CNBC. Elon Musk had denied of similar report from Bloomberg last month. What do you make of

this latest report. It's certainly looks as though he's unlikely to be taking the company public anytime soon, which had been something that people had mooted. It's obviously not a great time to take any company public right now. It does seem to corroborate Bloomberg's reporting. The valuations a little below the hundred forty billion dollars Bloomberger reported a month ago. Uh, it's the NBC reporting that it's a hundred and thirty seven billion dollars. The investors look like to be a

sort of classic Elon most backers. Danient Horrowitz found a fans the choir, people who are generally quite close to him and his company's you know, it hasn't eat the capital. It's still investing in new projects, even though it is able to generate a decent revenue from from the project that it already has. This is an expanding company trying lots of exciting new things, all right, Alex Webb as

always great to have young with us. Alex Webb, Bloomberg Quick Take correspondent and taking a look at Testla shares right now. Uh, they are down two point seven per cent, bucking the broader market. Futures are moving higher this morning. We've got to look at your top stories, local headlines, A fuller check of markets just ahead. First, let's bring in Bloomberg meteorologist Rob Carolin for a look at your

weather forecast. Unsettled weather headed our way as an area of low pressure passes west of the region over the next twenty four hours. They'll be cloudy today, some rain will develop later in the morning. Mile today fifty five to sixty scattered showers and during the evening lose Tonight fifty or fifty five. Tomorrow looks like another round of rain moving through. High will be close to sixty a

few showers. Thursday fifty to fifty five. I'm Rob Carolyn with your three day forecast on Bloomberg eleven three oh broadcasting live from the Bloomberg Interactive Broker Studio in New York. Bloomberg Eloving Freedom to Washington, d C, Bloomberg ninety nine one to Boston, Bloomberg on A six one to San Francisco, Bloomberg nine sixty to the country, Sirius XM Chado one nine and around the globe the Bloomberg Business app and Bloomberg Radio dot com. This is Bloomberg Daybreak coming up

on six thirty on Wall Street. Good morning, I'm Nathan Hagger and I'm Karen Moscow. We're just about three hours away from the open of US trading. Time to the five things that you need to notice start your day. Brought to you by I d k R Investment Advisors switched to Interactive Brokers for lowest cost global trading and turnkey custody solutions, no ticket charges and no conflicts of your interests at I d k R dot com slash r i A first, you begin the trading year with

gains for equities accompanied by on certain market sentiment. Bloomberg Rappaport joins us Live with that story, Steve, Good morning, Good morning, Karen and Nathan. Futures point to a good start for equities after they lost twenty percent in value during the tumultuous year. Investors are waiting into with uncertainty,

but with that comes potential opportunity. I e Q Advisors co CEO Alan Zaffron, You should be slowly methodically buying into the weakness because inevitably the economy will bottom, the FED will pivot, people will look forward to much better growth in two thousand twenty four, and once that happens, Zaffron predicts, investors will be quote off to the races again. Live in New York. I'm Steve Rappaport, Bloomberg Daybreak. Alright, Steve. Thanks.

Turning overseas, COVID remains front and center in China, President Shi Jin Ping says his country is moving into a new phase as it continues its COVID pivot. In the New Year address, she warned of hard times ahead. With extraordinary efforts, China has prevailed over unprecedented difficulties and challenges, and it has not been an easy journey for anyone.

We have now entered a new phase of COVID response, where tough challenges remain in Chinese President Hijin Ping did not acknowledge recent protests over COVID directly, but he did say it's only natural for people who have different concerns and views on issues. Well Nathan I am F Managing Director Krystalina Georgieva also sees tough times ahead. She expects one through to the world to fall into recession this year. This is going to be a toughier, tougher than dear

we leave behind. Why because the three bank economies US, EU, China are all flowing down. Hi MF Managing Director Krystallina Georgieva, speaking on CBS is Face the Nation Catch the program Sunday afternoons on Bloomberg Radio. Well, this will be a big day in DC, Karen, A new Congress will be seated and a new Speaker of the House selected, though

the latter is expected to be a showdown. Kevin McCarthy was in line to be Speaker, but he can't afford to lose more than four Republican votes, and several Republican members still have not promised their support. If McCarthy is not elected, we could see a multi ballot vote to determine the next House speaker, and that hasn't happened since

nine three. Well, Nathan, futures are higher this morning. SNP futures up thirty two points or eight tens of uppercent, Own futures up about eight tens of upper cent or two hundred fifty six points. And nowasday futures have one percent or one hundred eight points. The decks in Germany up one point three percent, and the ten year treasury is up one the yeld three point seven five percent, and they yield on a two year four point three

five percent. And as the five things you need to notice start your day, brought to you by Interactive Brokers, your latest local headlines straight ahead. This is Bloomberg Thank You Card at six thirty one on Wall Street, and Michael Barre is here with what's going on in New York and around the world. Good morning, Michael, Good morning Nathan. George Santos, the Republican Congressman elect from New York, faces new legal trouble after he admitted lying about much of

his resume. Prosecutors in Brazil now say that they are reopening a fraud case against Santos in connection with the stolen check used in the country back in two thousand and eight. The case was suspended until now because police cannot find Santos. A man facing first grade murder charges the murders of Ford University of Idaho students, is not expected to find extradition at a hearing today. In Pennsylvania, Brian Coberger was taken into custody late last week at

his parents home in the Poconots. Law enforcement sources say forensic analysis allegedly linked him to the killings. C. C. Moore's an expert on DNA testing. In a very personal instimate violet crime like this one, it's virtually impossible not to leave your DNA behind. We have such sensitive equipment now you could leave behind touch DNA and that could be enough to perform this type of analysis, DNA expert

CC moore. The man accused of shooting up a New York City subway in Brooklyn, is scheduled to plead guilty to federal terrorism charges. Frank James will appear in federal court this afternoon. Prosecutors say during the April twelfth attack, James set off smoke bombs before he opened fire on a train as it approached the Sunset Park station. At least twenty two people were injured after a car crashed

into a building in Manhattan last night. The incident happened at the West two fourth Street in Broadway in wood Bar Grill. The Vatican estimated sixty five thousand people filed past the body of Pope Benedict yesterday lying in state. This Ukrainian mourner was there. Benedict died at a global news twenty four hours a day on errand on Bloomberg quick Take, powered by more than journalists and analysts more than a hundred twenty countries. Michael Barr, This is Bloomberg.

Nathan all right, Michael, thanks six thirty three on Wall Street time for the Bloomberg Sports update, brought to you by tri State. Out of here again is John Statshow all right, Nathan. Buffalo Bill safety Damar Hamlin is in a Cincinnati hospital. He's listed in critical condition. His Bill's teammates are now back in Buffalo. It's not known when

their game with the Bengals will resume. It happened in the first quarter at catched by the Bengals Tee Higgins and a tackle made by the twenty four year old Hamlin, who stood up but then fell backwards. He had gone into cardiac ar s CPR was given and his heartbeat

was restored on the field. It took sixteen minutes before Hamlin finally left the field in an ambulance, and it was clear that neither team was in any kind of a mood to be able to continue playing the game, which was a big one of the a sc standing, so it was postponed. Season finale. Sunday for the Jets, they visit Miami, battle of teams who both lost five straight. Dolphins still in it for a playoff, Firth that they

need help. Miami will again be without it's quarterback to a tongue of below A. Jets coach Robert Salis that he still has full confidence in his much maligned offensive coordinator Mike la Fleur. The playoff bound Giants Sunday visit Philadelphia, who needs the win to secure the NFC's one seed

and the Eagles hope to get there. QB Jalen Herds, back from injury, Nix at the Garden to be Phoenix one oh two to eighty three for Julius Randall's twenty eight points, sixteen remounds in Jalen Brunson, back from the hip injury, scored twenty four easy win for the Red Hot Nets one thirty nine to one oh three over San Antonio. That's now twelve wins in a rows being a Red Hot. Cleveland's Donovan Mitchell sports seventy one points

and overtime win for the Cavs. College hoops Rutgers stunt top ranked per Due, just as the Scarlett Knights did a year ago. John stash Award Bloomberg Sports Nathan brought to buy OUTI don't let someone else drive off in the OUTI model. You've always wanted to visit your local price state autie dealer to get behind the wheel of yours today, or visit outie Offers dot com for more information. Six thirty five on Wall Street, Bloomberg Radio is on the air from San Francisco to New York, London to

Hong Kong. Let's check in with our global news team for some of the top stories heard on our three hundred affiliate radio stations around the world. I'm Steve Podas on kN X in Los Angeles. We're talking about fast, casual, healthy eatery, sweet green teaming up with fitness and lifestyle influencer Melissa Wood Tepperberg. I'm Gina Servetti and for k CBS in San Francisco. I'm reporting that Tesla delivered fewer

vehicles than what Wall Street expected last quarters. I'm Jeff Bullinger and on w tv N and Columbus, I'll be talking about the new ranking of the airlines and airports that were the most on time in two I'm Stephen Carol and Bloomberg d a B Radio in London. We've been reporting on a fresh rand of rail strikes, putting pressure on the UK governments as healthcare unions prepared for another rand of walkouts. I made Cory on w w

J in Detroit. I'm reporting some local shopping malls seemed to be weathering the head winds facing other shopping centered and those are some of the stories our hundred Bloomberg journalists and analysts are working on this morning around the world. It's six thirty six on Wall Street. The following commentary is from Bloomberg Opinion. The pandemic drinking binge just keeps going.

I'm Justin Fox, the columnist for Bloomberg Opinion. The arrival of COVID nineteen and the societal disruption that accompanied it understandably drove a lot of Americans to drink. But even his life is returned to normal, the drinking binge has continued. As of November, Americans were spending fifteen percent more on beer, wine, and liquor, adjusted for inflation than before the pandemic. That's not exactly the same as saying we're drinking fifteen percent more,

but it's probably close. And before the pandemic, per capita alcohol consumption had been rising slowly but steadily, also rising our alcohol induced deaths, of which there were about twice as many in two thousand twenty one as a decade ago, and other collateral damage of excessive drinking, not rising federal alcohol taxes, which have plummeted in real terms over the past half century. Maybe we should change that. 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 you can hear Bloomberg opinion commentaries every weekday at this time, and terminal customers can read more at O P I N. Go. No commentary here, but Avatar The Way of Water is poised to become the top selling movie that was released in two It led US and Canadian box offices for a

third weekend in a row. Walt Disney Productions made one point three eight billion dollars worldwide since its release on December sixteenth. It's on track to surpass the one point for nine billion that Paramounts top gun Maverick raked in twenty twenty two. You're listening to Bloomberg Day Break, Markets, headlines and breaking news twenty four hours a day at Bloomberg dot Com, the Bloomberg Business Out and at Bloomberg Quicktake. This is a Bloomberg business lash. And I'm Karen Moscow

future is on the rise. This morning. We got the first word breaking news desk for today's morning call. And here's Bill Maloney. Bill, Good morning, Hey, good morning, Karen. That's right. US futures are pointing to a higher open without futures up fifty six points, SPS game thirty two, and Nezic futures rise by one oh seven. The US ten year old at three point seven five percent. Gold is higher by nine. Oil trading in the red and

Bitcoin is little changed. Hong Kong rose one overnight, while your pre markets are also in the green this morning. And back in the US on the economic front at night forty five US Global Manufacturing p m I and at ten o'clock construction spending in on the new TESTA deliveries missed estimates, and Barkleys said this year we'll go down as one of the worst for the world economy

in four decades. Regarding Apple, Fox, cons iPhone City is back to about of anticipated peak capacity and wrapping things up, Capital One was cut to equate over at Barkley's, Carlos Group was cut to market perform at KBW, and Win was raised to overweight over at Wells Fargo. Live from the first Breaking News Descomb Boo Maloney care all right, Bell, thank you to hear live breaking news of your Bloomberg type squawk on your termin I'll sue you 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. Republicans take control of the House today, but there's uncertainty over who will be speaker. Representative Kevin McCarthy can only afford to lose Ford's up votes, and more than a dozen Republican lawmakers have not promised their support. In the NBA, the Knicks, Nets, Warriors and

Cavaliers one, Cleveland's Donovan Mitchell scored seventy one points. In the NHL the Bruins. One Buffalo defensive back the Marham remains in critical condition after the Bills say he suffered a cardiac arrest on the field after a tackle. Funeral services take place today for soccer great Pele and Brazil

who died last week. At A two Global News twenty four hours a day on air and on Bloomberg Quicktake, powered by more than twenty seven hundred journalists and analysts more than a hundred twenty countries, Michael Bard, this is Bloomberg caeron all right, Michael, thank you at a six forty two on Wall Street, and we turned to news and science and technology now with a Bloomberg and j I T Stem Report, and here's just making news and science, technology,

engineering and math. According to a study published today, the number of young kids who accidentally a marijuana lace treats rose sharply over five years as pot became legal in more places in the US, more than seven thousand confirmed cases of kids younger than six eating marijuana edibles were reported the nation's poison control centers between twenty one, climbing from about two hundred to more than three thousand per year, or nearly a quarter of the children wound up hospitalize,

some seriously ill. According to a new analysis and the Journal Pediatrics and China, Fox Cohn has brought the world's largest iPhone plant back to about peak capacity. That suggests that Apple's biggest production partner now has enough workers. Despite a COVID outbreak and a staff upheaval in November, thousands of workers at the facility either left or stage protests against extreme COVID restrictions and end of the year discounts were not enough for Tesla. Milon must electric car maker

delivered fewer vehicles than expected. In the last three months. Tesla handed over a record four hundred five thousand cars. Tesla slash prices in both the US and China, It's two biggest markets, and that's the Bloomberg and j I t Stem report. Nathan, Yeah, we're going to have more on how that less than expected delivery numbers affecting the stock in the minutes ahead. First, though, it's coming up on sixty four on Wall Street. It's time now to

check what's going on in DC. Some of the top stories in our nation's capital include Kevin McCarthy facing a speaker vote showdown as Republicans take over the House, the US in talks with South Korea on deterring North Korean nuclear weapons, and President Biden capping two years of action on the economy with new challenges ahead. Joe Matthew joins this this morning for the first trading day of twenty three. Bloomberg Wasashington correspondent host of Sound On on Bloomberg Radio. Joe,

good morning. We know there's gonna be drama for the House vote for speaker this afternoon, But is there really possibility that Kevin McCarthy's not going to be elected speaker by the end of the day. That is a very real possibility. Look at really that we talked about going into the new year, and you know, people are well, we're not sure. Let's see what kind of deals he can cut. The numbers haven't changed. In fact, Nathan, it looks like they've gotten worse. We were talking about five

holdouts in the Republican Party. Now it's it's fourteen. It appears this vote is at noon today, and there are a lot of questions about what happens if this goes to his second round. It's been a hundred years, almost exactly since that last happened. To suggest that the incoming majority does not actually know exactly who the speaker is going to be brings high drama to Capitol Hill today

at high noon. Well, one of the concessions that Kevin McCarthy has been trying to make to try to shore up that vote, you know, it's it was an important development over the weekend as a new rules package was released proposed changes this came out Sunday night that would give a lot more power to rank and file members.

And this is a tough situation for Kevin McCarthy. We've seen other other things that we knew they were coming, like the end of proxy voting for instance, uh increased balance at least in the eyes of the speaker to be here on the way committees are made up, the way bills get to the floor, seventy two hour waiting periods, a lot of stuff that's kind of low hanging fruit. But what we're talking about here is the ability to fire the speaker essentially, uh to vacate the speakership would

now require half the caucus. It would now be only five people. Ironic that five people have been holding out against Kevin McCarthy this whole time. Some are suggesting Nathan that he might need to crank that down to one to win everyone over, that only a single lawmaker would have the ability to challenge the Speaker of the House and potentially get them fired. Now, if you expand this, if you back out a little bit, we all know that there's a debt ceiling that needs to be solved

in the new year. That is going to be a knockdown, drag out fight. It's gonna be a fiscal cliff level debate. And if Kevin McCarthy becomes speaker under these terms, with five or fewer people able to fire him essentially or set him up to be fired, it is likely he couldn't last his first year as speaker. So the drama begins today, but it will not be over no matter

how it ends. Yeah, I mean it says something as well about what the leadership, the ability of this Congress to govern is going to look like if not only we get a multi ballot speakership vote, but whether Kevin McCarthy has this kind of fractious Republican caucus behind him. Well, that's that's right, that's the question. This is obviously a leader who predicted winning dozens of seats in the midterm elections.

He predicted a red wave. It did not happen, and a lot of folks like Matt Gates, like Lauren Bolbert, like Andy Biggs are really upset about it, and they don't think that he deserves to have this job. So, yes, this is just symbolic of the of the chaos that he will likely inherit with that Gavil if he does become speaker. And by the way, if if you're a betting person, you're probably betting that Kevin McCarthy is going to be the speaker. It's still the most likely scenario.

It's unclear who else might emerge, although some of these conservative Republican holdouts are suggesting that today we will learn when voting begins at noontime, whether it's in the first or second ballot, we will learn of a new name that they have coalesced around. I don't know if that's actually gonna happen. But we're gonna be listening real closely at Wow. Yeah, that'll that'll really be something to watch. Okay, we'll be following that for sure, Joe, where does this

all this leave President Biden? Is he's just sort of watching this chaos and wringing his hands a little bit, or I mean, what does this mean for his agenda for you know, the second half of this first term for president. He's just back from St. Croix, he's got a tan, he's relaxed. He got pretty much everything he was hoping for, I mean, build back better in that massive piece of legislation didn't go the way he wanted. But but what a list he has coming off the

next two years. Granted, there is a hope to do more. And by the way, he's going to celebrate the start of the new year while this in fighting happens in the House among Republicans by appearing in Kentucky with Mitch

McConnell to talk about the infrastructure Plan. Another way of answering your question, uh, Nathan, is that if President Biden spent the next two years implementing, actually focused on implementing and funding everything he got past beginning with the infrastructure bill now law, it would likely be a full time job. Whether he can get permitting reform, or free pre k or free community college some of the other ideas that have been blown out there and never made it into

build back better not likely With a Republican Leadhouse. This is gonna be an opportunity for Joe Biden to really coalesce around what's already been passed and prepared to announce a run for president, which appears to be coming in the next couple of months. I was gonna say, just talking about the accomplishments over the last two years, it almost sounds like the presidential race making the aden ready

to be off to the races. Yeah, indeed, thanks for this as always, an happy New Year to you, Joe. It's Joe Matthew Bloomberg, Washington Correspondent, host of Sound on which you can hear every weekday afternoon five pm. Wall Street Time across Bloomberg Radio. SMP futures right now up fifteen points down futures up, and NASTAC futures are higher by forty seven points, so giving back some of the

earlier games. In the pre market session, you're listening to Bloomberg Day Break, markets headlines and breaking news twenty four hours a day at Bloomberg dot com. The Bloomberg Business at Land at Bloomberg Quick Tape is a Bloombern Business Flash. And I'm Karen Moscow. And stocks are on the rise on this first trading day of the new year. And we checked the markets all day long here on Bloomberg

with SMP futures up sixteen points. We're watching futures of course now futures of one forty or four tenths of uppercent, and NASDAG futures are up half percent or fifty five points, and SMP futures as again up sixteen points, and that is four tenths of uppercent. The decks in Germany is a three quarters of a percent. Can your treasury is up thirty one thirty seconds. The three point seven five percent they yield on the two year four point three

five percent. Nine X Screwed oil is down one point four percent, down a dollar twelve and seventy nine dollars fourteen cents of barrel co make scold up seven tenths percent or twelve dollars thirty cent at eighteen thirty eight sixty announced the euro one no five to nine against the dollar. British found one point one nine three six again one thirty point eight four. I'm looking at bitcoin. It's down about two tents of a percent? Is it

a sixteen thousand, seven twenty dollars? And that's a Bloomberg business flash, Nathan. All right, Karen, thanks six fifty six on Wall Street. That means we're just a few minutes away from Bloomberg surveillance. First, let's bring in Bloomberg's Kaylee lines. Take a look at some of the stocks moving in this pre market trade, Kaylee, Happy new year. As Karen mentioned, the futures are moving higher, including the tech heavy NASTAC futures.

But Tesla is being left off this morning's bandwagon. Yeah, happy new Year, Nathan. Tesla definitely not participating in that big tech rally we are seeing elsewhere right now. The stock is down about four percent and that was after deliveries data was released over the long weekend for the

fourth quarter. And yes it was a record, Yes it was north of four hundred thousand vehicles delivered in that period, but that still came up short of Wall Street expectations and of the company's own goal to expand deliveries by fifty percent, So the fact that that missed, despite the fact that the company had been offering heavy incentives and discounting in its biggest markets, is really just reinforcing demand concerns that already have been percolating and reflected in the

stock price. In addition to concern around Elon Musk being distracted by his Twitter acquisition, and just kind of the broader brutal environment for high multiple tech companies given rising interest rates, all that together contributed to a really, really awful for Test. While the shares were down six over the course of last year, worst yearly performance on record, and it's not looking like is off to a better start. Yeah. Interesting, a lot of those same concerns from last year carrying

over potentially into three. But it's really interesting looking at the pre market trade this morning, some of the worst performing stocks are some of the biggest gainers this morning. Yeah, maybe a little bit of dip buying here to start

the new year. A lot of those stocks that were also pressured by that higher interest rate story and really just the deflating of so many high asset prices we saw across the border seeing somewhat of a rebound include some of those meme stocks the retail trader favorites, including bed, Bath and Beyond, which is up by thirteen percent before the bell. At the moment, you're seeing some games for the likes of AMC and game Stop as well other e V stocks Tesla aside are positive to Lucid Group

is just one example. It's up about two percent. And then crypto stocks also getting a little bit of a lift. We know that two was bad for Bitcoin, it was down almost as much as Tesla, more than sixty percent. But today you're seeing the likes of coin base and right Blockchain higher by about two percent in pre market training. Only about thirty seconds left here, Kaylee. But we're seeing some positive signs potentially out of China. Are you looking

at some names there? Yeah. The idea that when you look at mobility data may signal that we've seen a peak in cases in some major cities. So stocks sensitive to the China story are gaining in early hours. That includes Wind Resorts, which has heavy revenue exposure to Macow and the casinos there. In particular. That stock is up about three point seven percent, and some of those a d r s of big Chinese technology companies like Ali, Baba and JD dot com Um are also seeing gains.

Baba is the ticker here in the US. That stock is up about two point nine percent in early hours. Bloomberg's Kaylee lines watching those individual movers for US. Kayle, thank you once again. SMP futures are higher by fifteen points. Staff futures up a hundred thirty four nanstack futures on the rise by fifty four points. This is Bloomberg day Break on Nathan Hagar along with Karen Moscow, and it's

six fifty nine on Wall Street. Stay with us. Bloomberg surveillance starts right now, my from the financial capital of the world, broadcasting across thelo This is w BBR, New York. Bloomberg. He living in three O two three could continue to be pretty challenging for stocks. Exting comes back in