The US and China Spar Over Suspected Balloons

at Islamic extremist. Plus will Manhattan see three pandemic in office work schedules. I'm Michael Blar, more ahead. I've done stas shower and sports than kids as city chiefs one super Bowl met me seven and Phoenix they beat Philadelphia thirty five. Patrick Mahomes named m v P. That's all straight ahead on Bloomberg day Break, The business news you need disturb your day, and just one fifteen minute podcast each pointing on Apples, Spotify, the Bloomberg Business Appen everywhere

you get your podcasts. Good morning, I maybe Morris and I'm career in Moscow. If here are the stories we're following today. The US military has taken out of fourth object in the skies in eight days. The Pentagon hell the briefing last night during the Super Bowl to answer questions about what these objects are and where they're from. General Glenn Van Herk Is, commander of the North American

Aerospace Defense Command. They're similar in size, similar in speeds that go with the wind on these objects that we've seen. As far as specific shapes, we've got to get our hands on those. Connecticut Representative Jim Hims tells NBC's Meet the Press, heard Sundays on Bloomberg Radio that the US is seeing more unidentified objects in our skies because we're looking for them. Most of our sensors and most of

what we were looking for didn't look like balloons. Now, of course we're looking for them, so I think we're probably finding more stuff. Recovery efforts are underway for all four objects, including the suspected spy balloon at the bottom of the Atlantic Ocean. Well, I mean. The war of words continues this morning over the balloon controversy. China says

the US has repeatedly flown balloons over its country. We gain more from Bloomberg's Derek Wallbang, China says US balloons trespassed over ten times since January, So now there's getting to be a bit of a tip for Tatton back

and forth about who's doing what. All of this is sounding very much unlike that detent that we were hearing about out of the G twenty leaders meeting in Bali, where Season Ping and Joe Biden we're talking about and easing of ties and wanting to have senior officials meeting and things, and and this has really gotten in the way of that, and Bloombergs Derek Wallbang says. Media reports at Asia say China is preparing to take down an

unidentified object found flying over its waters. And now we turn to the latest on those two massive earthquakes that struck Turkey and Syria last week. The death toll has climbed in near thirty five thousand people. That has criticism

mounting on Turkey's government. Bloomberg simmendemic in reports from ms Dembul, survivors and opposition policies are saying that the government was just ill equipped and too slow in responding, especially on the first day, missing a critical window of saving more people. And there's all also huge complaints about shoddy construction Bloomberg Simon Demo cans as dozens of contractors are under investigation

for shoddy construction following the earthquake. Three have been arrested. Well, I mean, much more ahead of these developing stories throughout the broadcast, but first we turn our attention to a Super Bowl classic that is an enveloped in controversy. This morning at Bloomberg, John Stashower joins US Live with the details. John, good morning, give me wanning care in the kN City. Chiefs went fifty years without winning or even playing in the Super Bowl. This was their third the last four years,

and their second victory. This one, like the previous one, a come from behind. When Chiefs only had the ball for eight minutes of the first half, They trailed the Eagles by ten, but scored three second half touchdowns that go up by eight. Philadelphia then tied the game k C one and a light field goal, help by a questionable holding penalty again the Eagles. Patrick Mahomes named Super Bowl m v P. Much more coming up in sports,

John stash Were Bloomberg Daybreak. All right, thank you, John, We're gonna have more last night's game coming up in our sports report, but first we turned to markets. Features are mixed following the worst week for stocks since December. Morgan Stanley strategist Mike Wilson says there's more selling ahead. Wilson sees the SMP five ending the year at thirty

nine hundred, down nearly five percent from current levels. He says stocks will fall as earnings estimates come down, before rebounding in the second half well amy A catalyst for stocks this week could come tomorrow, with the release of a key inflation report. FED officials have been warning Wall Street not to get carried away about a quick drop and inflation, and Bloomberg Economics correspondent Michael McKee says tomorrow's

report will luckily prove their point. The CPI report, out Tuesday morning, is forecast to show a big jump in headline inflation during the month, in part because of oil prices. Core expected to be unchanged, but both will be affected by a rewaiting of sectors within the cp I to better reflect what people are actually spending on. The annual inflation rate will go down, but to the FED, the

most recent data matters the most. The other major data point for the week is Wednesday's release on retail sales for January. The forecast is for a big rebound after a December decline. Both numbers likely reinforcing the Fed's argument for more rate hikes. Ahead Michael McKey, Bloomberg Daybreak, Thanks, Mike Eltwear on Wall Street. The boss at Goldman Sachs says he should have slashed jobs sooner. Let's get those details.

Live with Bloomberg. Steve Rappaport, Good morning, Steve, Good morning, Amy and Karen. David Solomon says he should have followed his gut when it comes to job cuts. In a private meeting with hundreds of Goldman's partners, Solomon lamented he was too slow in reducing the workforce as the environment was growing more complicated in the second quarter last year.

That's according to a report in The Financial Times, Goldman Sacks slashed about thirty hundred jobs last month following a larger than expected spike in expenses and plumbing revenue and profit. Live in New York. I'm Steve Rappaport Bloomberg Daybreak. All right, Steve, thank you, and again, futures are little change this morning, at least SMP and down futures Nasdack futures are higher, up a quarter percent or thirty points. The decks in

Germany's up a quarter percent to ten. Your treasury down one thirty second. You have three point seven three percent. They yield on the two year four point five three percent, and NIMEX screwed oil is down one and a third percent. Straight ahead, we have your latest local headlines, plus a check of sports, and this is Bloomberg. Hey degrees in New York, clouds give way to sunshine. Temperatures will stay

mild for February. We're going up to fifty five today with clear skies tonight, down to thirty five, sunshine and breezy tomorrow, going up to fifty tom Now to look at some of the other stories making news in New York and around the world. For that, we're joined by Bloomberg's Michael bar Good morning, Michael, Good morning Amy. A jury today will begin considering whether an Islamic extremist should be sentenced to death for killing eight people on a

New York City bike path. Say fulusip Off was convicted last month in the seventeen attack in which he mowed down bicyclists with a truck. The same jury that found ship Off guilty will now hear from additional witnesses in the trial's penalty phase. The Philippines has accused a Chinese Coastguard ship of hitting a Philippine Coastguard vessel with a military grade laser and temporarily blinding some of its crew

in the disputed South China Sea. The Philippine officials says it's the first time China has used lasers and caused injury to Filipino personnel. Senate Majority Leader Chuck Schumer continued to call on How Speaker Kevin McCarthy to publicly present

the Republican's budget proposal over the debt ceiling battle. Senator Schumer says if he's prepared to hold the country's financial future hostage by refusing to raise the debt ceiling, should be opened about what these Republican demands for the country's budget are. He wants to attach certain spending cuts to do this. Hey, where is your plan, Mr McCarthy, He

says he wants cuts. We asked him which ones. He won't say any Meanwhile, Republican Representative James Kohmer says that Social Security and Medicare will not be among those cuts and slams Democratic leaders for claiming they would be. When you get to the point to where we are now, where we've got to make cuts, it's a lot tougher. We're not going to cut Social Security or Medicare. We've

been very clear about that. It's it's very disappointing that the President and Chuck Schumer would continue to try to scare seniors. Representative Komer and Senator Schumer spoke on ABC S this week, which can be heard Sundays on Bloomberg. New York City is bustling with office workers again, but the end person work week has shrunk to Tuesday, Wednesday,

and Thursday. New data on in person work and analyze by Bloomberg News shows Manhattan workers are spending at least two twelve twelve point four billion less a year due to about fewer days in the office. Global News twenty four hours a day, powered by more than journalists, analysts and over a hundred twenty countries. I'm Michael bar this is Bloomberg Gaming. All right, thank you, Michael Ton now for the sports report brought to you by Try State

OUTI here's Jon stash Our Samy. Three years after Kansas Cy Chiefs won the Super Bowl by coming from behind the second half. They did it again in Phoenix. They trailed Philadelphia by senate a halftime Chiefs couldn't stop the Eagles, who held Casey the only eight minutes of first half possession time. But things changed second half. Patrick Mahomes engineered to seventy five yard ten drives. The second one ended and is scored by Cadarius Tony, who was the Giant's

first round draft pick last year. They traded him to the Chiefs and Tony was hardly done there over in shorter punt and Tony will take it low at the thirty five. Now cuts back to the right. He's got a wall set. If you can get to the edge, they you need to pluck the putter. They do. Tony's at the forty, up the side line. At the thirty, he's at the twenty. Tony put the plot trying to

stay in place down to the five yards. Fredy have to call Super Bowl record sixty five yard return set up another case He touchdown, put him up by eight. Eagles rallied to tie on Jail and Urtz is thir t d run of the game outside of Super Bowl record. He added the game tying two point conversion, but the Chiefs drove My Home shook off his ankle injury for a twenty six yard run. Eagles got called for a costly holding penalty. A k C field goal gave them

the win thirty thirty five. My Home, three days after be named regular season m v P named Super Bowl m v P. Andy Reid beats his former team set after the game, he expects to be back coaching the Chiefs in three Who will be the Jets QB ESPN report of the Jets have reached out to the Packers inquiring about a trade for Aaron Rodgers and longtime Raiders QB Derek Cart could be a free agent as soon as today and he would be eligible to sign right away.

John Stash Edward Bloomberg Sports live from coast to coast, from New York to San Francisco, Auston to Washington, d C. Nationwide on Sirius x Amp of Bloomberg Business app and Bloomberg dot Com. This is Bloomberg Daybreak. Good morning, I'm Abe Morris. In the past eight days, the US military has shot down four unidentified objects in North American airspace, and now China says US balloons are flying illegally or have been flying illegally in China's airspace at least ten

times in the past year. Let's get more on all of this from Bloomberg News Managing editor Derek Wallbang in Singapore. Derek, it is a pleasure to talk to you. Thanks so much for taking the time with us. Oh, thank you so much for having me. Uh, let's just start right away. The response from China ten U S balloons at minimum

in the past year. Tell us about that. That is what they said, Foreign Ministry spokesman and actually told reporters quote, it's nothing rare for U S balloons to illegally enter other countries airspace. Um added added that the US quote needs to reflect upon itself and change it's wrong practice. Uh. This is a sort of response about you know, you're you're mad, You're you're worse, you're doing it to um, you know sort of that that I guess one might

say a playground style back and forth. Um. But it's really clear that the balloons or or whatever is going on is is limiting that day to between the US and China that you saw come out of the G twenty and Bali in November. There had been ideas about a warmer relationship. There had been uh talks about senior level visits from one country to another. A lot of

that has been put on hold. And you're what you're hearing right now is rhetoric that is suggesting going exactly the opposite way, Uh from where where Joe Biden and Hi Jimping were. Uh, we're signaling how do they it passed this at this point? My question is whether the US has been shooting down these objects. If China starts shooting down these objects, does this escalate? Can it get worse? Well? I think one of the things that it highlights to

me is I think I'd say two things here. One is it highlights how much of that detent was built on a sort of fragility, Right the U. S And China fundamental differences, Uh, those didn't necessarily ease And if it takes one weather balloon looking thing carrying whatever it was carrying, crossing over the United States to completely upend that what a fragile piece that had been built. A second thing is I think that there is a bigger awakening I guess I would say across the world to

this sort of what may be surveillance. Right, you're talking about four items shot down over North America. You're talking about a possible balloon like item overt over Latin America. Uh. Taiwan said balloon style incursions are a regular thing. Uh. And then the UK says that that Chinese surveillance balloons may have been spying over Britain as well. So all across there, you're you're having this bigger awareness of what's

going on. And additionally, I think I might I might note any is that the U s policy on this has moved rapidly, and I think a lot of the world's policy has moved rapidly from um a curiosity and wondering what should be done to just decisive action. We're just going to shoot this right down, because you remember that first one that went went over the US, right across quite a lot of territory, quite a lot of days, eventually gets taken out just off the coast of South Carolina.

Numbers two, three, and four went down real fast. You know, I was gonna ask you about that very thing, because they seemed to be comfortable watching it and tracking it while it flew by, and once they got over you know, out into the Atlantic. They were able to take that first one down. But my question now then is is this getting traction because they're being tracked now? Are they

tracking them more closely? There are these balloons of common practice that the rest of us are just now becoming aware of because of that balloon off the coast of South Carolina. Well, I think that's a great question. And the Defense Department told reporters the other day that they've been more closely scrutinizing airspace at the altitudes that these objects had been traversing, and including enhancing radar, which might

explain partly the increase in object detected recently. So it may be in some way that you're finding more things because you're looking for them right, Um, there may be a certain additional awareness. I also think, I mean, surveillance between great powers is not new. There's by efforts that go on all the time. Nobody should be you know, there's no no fainting couches needed for any of that.

But um, I think of this vehicular type of surveillance, I think there's been a large increase in awareness and also think that there's you know, as I mentioned that there's been a large increase in certainty about what to do about it when it comes, as well as uh, you know, reactions that this is perhaps, uh not something that people are willing to put up with. You see, you see threats of sanctions, You see other sorts of

ties that get affected by this. So it's got a little bit of a if you'll forgive the horrible pun. These balloons get down, get shot down, and they make a much bigger splash than just the than just the question of whether or not you take them out. You're listening to Bloomberg Daybreak today, your morning grief on the stories making news from Wall Street to Washington and beyond. Look for us on your podcast feed at six am Eastern each morning, on Apple, Spotify, and anywhere else you

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and on Bloomberg dot Com. I'm Abe Morris and I'm Karen Moscow. Join us again tomorrow morning for all the news you need to start your day right here on Bloomberg Daybreak