we are finally seeing more green on the screen. some positive news we are getting from some big tech companies as well as consumer companies and it is driving the s&p 500 higher by about .7%. also looking at the nasdaq 100 up more than 1.5% on the day. nvidia among the big semiconductor companies moving up on the day. the stock semiconductor index also taking a shark -- sharp leg higher. new york crude on the heels of saudi arabia signaling weakness

dropping about 4.6%. that push pull between tensions along the red sea versus those output versus demand stories have been sending oil prices on a volatile ride. we will keep a close watch on that throughout the week. and we have a two-year yield here taking a leg lower as well. we are watching a 4.33 handle, after drifting higher for most of last week. i want to look at bitcoin because it has been barreling higher, more than 4.8% higher on the day. you are looking at it surpassing $46,000 now as investors await an s.e.c. potential approval of the first spot bitcoin etf in the u.s. and we are nowhere near the 2021 highs, but we are at levels we have not seen since early 2022. amber: i picture a lot of those people may be donning their croc

s as they cheer that move. crocs are up 20%, after they said they would unexpectedly see stock growth. i have to confess it is a shoe style that has always mystified me. abercrombie continue to ride the 1990's fashion wave, the stock trading at an all-time high. nike is in the spotlight after 27 years, tiger woods is parting ways with the company. they were responsible for some of the most iconic sports marketing together, tiger and nike. tiger announcing this in a tw eet. there was some speculation he would be going on hold. this is a swiss company. but the co-ceo said that is not happening. nevertheless, the stock is still up. sonali: we're going to look now at the economy because economists believe 2024 is

shaping up to be the year of the interest rate cut. earlier, claudia salm told bloomberg she is encouraged by the recent economic data. >> if you think about what the labor market is buffering we have a five percentage point or more increase. this is a strong labor market. you can do this in almost any month and say that does not look so good. granted there were some real signs and things to keep an eye on. we always need to. but this was not a flashing red, we are going over the cliff. the unemployment rate has been under 4% for the longest stretch since the 1960's. amber: let's bring in veronica clark for some perspective. it seems like we are in for this goldilocks scenario where we get rate cuts without the corresponding crush or implosion from the economy that necessitates that. do you think we are looking at

the world through rose colored glasses? veronica: i agree a lot with what claudia song just said. on the surface these are strong. the unemployment rate stayed at 3.7%. this is a healthy labor market. but when you dig under the hood we are definitely seeing signs of things slowing down. you are not seen the large and substantial job losses yet but you are seeing employers have slowed their pace of hiring, we are seeing people remain unemployed, it is taking people longer to find jobs. the kind of things you'd expect to see maybe six months before you get a real accelerated slowing. sonali: it is also not just the idea of a slowdown but the pace of a slowdown. how much harder my the economy land when it comes to the employment picture? veronica: we are definitely seeing those early signs that things are slowing down and the kind of things you would expect to see six months before a recession.

that could be that people are pulling back. companies are looking to cut costs. and you might see that much weaker labor market. we are still expecting to see that in mid-2024. of course we have had this loosening of financial conditions since from the fed. maybe it is enough to delay recession but we are absolutely seeing the recession signs popping up. amber: how about interest rate cuts? if you believe the job market is going to soften, are the cuts happening because they can declare more victory on inflation, or with the cuts be happening because of worries about the economy? veronica: i think it is a bit complicated messaging from the fed we have had in the last month or so. we have had three or four months or so where inflation data has been more favorable. it is providing enough cover to talk about cuts in terms of we want to maintain the same level of restrictiveness but if inflation comes down we don't need nominal policy rates quite as high. but i don't know if that is why

we had the shift in messaging. maybe the fed is looking at labor market data and delinquencies coming up and saying maybe things are slowing down and we need to ease up if we want to avoid a recession. amber: it is not just the federal reserve. this is expected to be the year of cuts from major central banks around the world. do you expect the fed to be an outlier with respect to its cuts or progress alongside with the rest of the world in trying to figure out what is not a 0% rate what is a neutral enough rate to keep the economy from tipping over and keep inflation expectations anchored? veronica: so far the messaging from the fed stood out on the dovish side of things. we heard from the ecb or bank of canada, i closely watched canada also. all of the central banks, we are pretty sure we are not getting any more rate hikes we are not discussing cuts in substantial terms yet. the fed is a bit of an outlier,

especially relative to someone like bank of canada. they will be focused first and foremost on the inflation goal. of course the fed has their dual mandate so they are watching the employment side of and that might make them more worried. sonali: what do you think about wages or the volatility in oil prices? are investors still concerned about every acceleration of inflation? even if you can start to declare some victory, what are you watching for that could signal shocks when you think about the cpi and ppi data later this week? veronica: i think we have had a couple months or maybe even just by luck where we had softer inflation data and we have seen the disinflation in goods prices come down a lot. i don't know if there is a lot more additional disinflation. yes supply chains have corrected in the labor market, while we are seeing signs of cracks, we are seeing wage inflation in the u.s. around 4% to 5%.

as we are getting into the first part of this year and certainly maybe the spring, it would be worried about much lower interest rates and mortgage rates, maybe that re-stimulates housing. then you might not get the disinflation and shelter inflation you have been expecting. so those pressures are definitely still there. amber: we got a read of inflation expectations from the new york fed survey and they came down to around 3%. obviously bringing comfort to those managing these sort of things. how fickle is that? if you are getting bond yields down to 3%, isn't there a big risk we get a re-excel or a? -- get a re-acceleration? veronica: it is better they did not go up, that would make us more worried. but they have been moving more concurrently with realized inflation.

oil prices have come down a lot and that will factor into consumer expectations. what you are seeing when you full up your car at the gas pump. i would not necessarily take that as a sign we are going back to 2% inflation and staying there. that will be dependent on real-world supply and demand pressures. sonali: veronica clark, thank you so much. another busy weekend of economic data had. shipping companies are refuting a report that houthi rebels have made a deal with select shipping lines to the red sea passage. our analyst joins us now. how do you take stock of what is going on in the red sea and the confusion it is causing along these route? lee: it is pretty unlikely a large publicly traded company like maersk are going to

negotiate with the houthi rebels, which are terrorists. there are a lot of bad things that could happen if they were to engage in such a behavior. so we think the report is speculative. it might have been one really small shipowner that was negotiating. the reality is the conflict going on in the red sea and the risk to marine shipping is rerouting shipping and pushing rates up. that has really been a good thing for the liner industry because they were dealing with very depressed rates. and so there is the expectation that losses may not be as great in the first quarter for a lot of these liners. supply demand dynamics really do not favor the shipping industry, at least a container liner industry, through 2025. analysts are not modeling maersk to get into profitable territory until the second half of next year. we think that whatever is going

on in the red sea and the suez canal is short-term in nature. it is really going to be dependent on how quickly the u.s.-led coalition can put the houthi's risk at bay. amber: is there the sense that they will be able to -- you hinted at this, maybe because of these headaches, charged more with respect to freight, and that could help offset any slowdown they see in demand? lee: yeah, it will definitely have a mitigating effect. if you are going around, or avoiding the suez canal, you're going to add anywhere between 10 days and two weeks. that takes up capacity. you have that on top of what is going on in the panama canal, a drought there limiting the number of ships that can go through and how much cargo each ship can carry. what that is doing is absorbing all the excess capacity and keeping rates higher. rates for the liner industry are

up 2% -- up 200% to 300%. that sounds fantastic but they are still down 80% from the peak of the pandemic when the shipping industry was renting cash, which was a really good -- was printing cash, a once in a generation cycle be got to observe. amber: lee klaskow, thank you for always keeping us posted. sonali: coming up we are going to turn to boeing, having its worst day in months after a fuselage panel blew off a plane during an alaska airlines flight. we are going to talk about that next and what comes next. stick with us. this is bloomberg. ♪

amber: this is bloomberg markets. time now for stock of the hour. we are watching shares of boeing, which is set for the biggest intraday drop since october 2022 after a panel blew out of a blend alaska airlines jet mid-flight, causing a temporary grounding of some 737 max jets. our senior analyst george

ferguson is joining us now with some perspective. thankfully there were no fatalities or serious injuries. for investors, they now need to ask what happens next. how far does this spread beyond the fleet of jets in question? how do you think about that question? george: thanks for having me on. when we look at the video of the panel break away, it looked pretty clean. it looked to be right around where typically a spare door may go, an exit door in the airplane. so it feels to us like it was probably a fastener that either it was not fastened correctly or failed. and so i think if you are an investor and you are thinking about what this means for boeing, i think if you had more of a structural problem with the airplane you would be concerned that they would have to go

through a series of faa examinations and perhaps rejiggering the airplane, which would take a considerable amount of time in my interrupt their -- and might interrupt their ability to deliver airplanes this year. but it looks like a manufacturing defect, and in that case a looks like it is an anomaly, a one-off event, and boeing can still deliver as many airplanes as they originally planned. sonali: what is the process moving forward for how boeing looks at what happened? george: the process is going to be led by the national transportation safety board. they and the faa will look at the evidence on the airplane, then look at the existing fleet of 737-9's. once they figure out why they thought it happened, they will try and figure out if it is prevalent in other airplanes in the fleet, then i think they will be ready to sign off on

what the fix is. again, i think our gas is if it is an anomaly, it is something they can have their hands around really within a week or so. there are only 225 or so of those 737-9's in the global fleet right now, most of them in the u.s. being flown by united and by alaska. so it ought to be something they can get their arms around pretty quickly. if it spread to the rotor max fleet, which is another -- the broader max fleet, that would be a much bigger problem if they had to do inspections on those, but right now we don't see that. amber: if you are just an everyday person and you hear about the two deadly crashes they had nearly five years ago, you are now hearing about this issue, there is a lot that needs to be done to instill confidence in, ultimately the flyers and the buyers of these jets. how did they go about answering

whether this is a systemic issue with their suppliers, with their processes? george: i would like to say it is not a systemic issue, but i think it is. i would say the crashes were distinctly different, and they were a function of a change in the systems in the airplane. now that we are sort of past that, these issues lately are more manufacturing issues. a lot of them go back to their supplier, spirit aerosystems. they are less challenging problems now but they are more nagging. we are seeing more of these one-off problems here and there. they had vertical or stabilize him problems. those are nagging manufacturing problems i think boeing and their supplier spirit

aerosystems need to put behind them to give buyers of aircraft confidence and get the flyers of those airplanes confidence. i will tell you boeing has much less of a backlog for the 737 than airbus has for the a320, which is the airplane. one of the silver linings for boeing is if you want an airplane the next five or six years for a narrowbody you have to go to boeing. but they really need to put this behind them to rebuild confidence. sonali: thank you so much for that perspective, george ferguson joining us, bloomberg intelligence senior airline analyst. ♪ tiger woods has been one of nike's top brand sponsors. today he announced he is parting ways. the details on what is next, next. this is bloomberg. ♪

thanks to avalara, we can calculate sales tax automatically. avalarahhhhhh what if tax rates change? ahhhhhh filing sales tax returns? ahhhhhh business license guidance? ahhhhhh -cross-border sales? -ahhhhhh -item classification? -ahhhhhh does it connect with acc...? ahhhhhh ahhhhhh ahhhhhh

sonali: this is bloomberg markets. after 27 years tiger woods says he is parting ways with nike. shares of nike earlier dropped on the day upon the news. woods had announced the news. in 2013, he signed his most recent deal with nike worth $200 million. we are going to discuss this with randall williams. this is a big influence here for nike. what does it mean? randall: we will have to see. when you lose someone, you can equate this to someone like michael jordan or lebron james losing nike. 27 years ago, nike has built up so many iconic advertisements

and apparel. is nike going to stay in golf? are they going to reinvest with other golfers and things like that? amber: are we going to see a new model emerge? there were some -- they struck a partnership with roger federer. randall: i got the same statement you did. they said that they are not going to partner with tiger right now and there have not been any conversations. if something happens that would be a complete surprise to all of us. sonali: we have to leave it there, but keep an eye on it. that is randall williams of bloomberg news. i want to take a look here at the market i want to look at the bitcoin market. it is now barreling past $47,000. five point 8% nearly -- and i'm -- the fees they are planning to

charge clients. we have not yet seen the approval by the s.e.c. but it is expected by january 10, two days from now. amber: it is amazing it is already erased to the bottom and the funds are not even out. it poses a lot of questions about the funds already out there charging more. there was mention of grayscale has higher fees. canada was the first mover, but those have a fee of north of 1%. sonali: we are also seeing normal stocks barrel higher. the s&p 500 near a session high on the day. it's up now almost 1%, more than .8% higher on the day. the tech heavy indices are rising even higher. it is also on the back of a cooling in yields by a little bit. we are just under 4% on the 10 year yield. that is comfortably higher than the mark at the end of last

week. keep an eye on the markets. this is bloomberg. ♪ how am i going to find a doctor when i'm hallucinating? what about zocdoc? so many options. yeah, and dr. xichun even takes your sketchy insurance. xi-chun, xi-chun, xi-chun! you've got more options than you know. book now.

>> and the leap again. live in new york, i am romaine bostick. katie: kicking off with about two hours to we have a rally on our hands. take a look at the s&p 500, up .9 percent. repowering the index. by about 1.7%. it is an interesting week. we have a lot of events coming up later in the week. that is as the bond market rally resumes. currently