sonali: it is tuesday, february 13. here are the top stories we are following. inflation stays hot. consumer prices rose more than expected to start the year, jumping the most in eight months. surging yields. rate cut expectations move further into the air and interest rates are rising across the yield curve. airbnb and lyft are among companies reporting after the belt for the closer i on the u.s. consumer spending across the economy. ♪

i'm sonali basak. welcome to "bloomberg markets." we are looking at a lot of red on the screen after the hot cpi print. s&p 500 down more than 1.4% on the day. nasdaq 100 taking a bigger hit, down 1.6% on the day so far. the russell 2000 taking a brunt of the pain, down nearly 3.5%. we have seen the rally in the small and mid-caps come back up to the and the last year with the expected cooling of the yields. we are seeing the pain back in the small and mid-cap sector. two-year yield of a stunning 11 basis points after that cpi print, up to nearly 460. 458 on the day so far. to talk about that cpi print and the latest small business optimism report. when we look at the cpi print

you are watching traders recalibrate. how quickly are they recalibrating expectations of rate cuts this year? liz: the cpi data did not go as people thought. it's much hotter and a lot of categories, especially services. that has people pushing back that they have seen the first fed cut coming in july instead of june. we thought were -- we thought march maybe. it is four quarter-point cuts this year, slightly less than that at one point. there is a re-think that maybe the fed will ease but they cannot go as fast. it is what chairman powell and officials have been saying. we have to be patient. small business optimism is fading. the fed has a dual mandate and they said it's getting more balanced. they would like a soft landing. small business optimism is fading. that is a sign that the economy

is wavering a little bit. the report said they were less concerned about inflation but maybe after today's report that may change. it was a big concern. the fed is looking at all prongs. how main street is doing, how wall street is doing, etc. sonali: you think about that money that ported to bonds. how hurtful does a day like this field with the selloff we are seeing? liz: it's funny. david kelly was on and i thought he nailed it. he thinks bonds are good for income. we have yields we have not had in a while. people need to maybe think they will not get capital gains like bond investors before 2020 used to. it may be a bumpy road. if you are bullish and you like yield, today is case in point. if you are long you will feel some pain for a while.

it is not a great feeling. sonali: liz mccormick, thank you for your time. you have your eyes on the bond market so closely. joining us now is anastasia amoroso, icapital chief investment strategist. on top of the bond selloff we are seeing how closely tied are the two at this point in time? how sensitive are stocks, particularly the tech heavy stocks? anastasia: things are closely tied. coming into today i think when someone asked the biggest risk out there, it was a hotter than expected cpi report. as you pointed out we now had to punt on rate cuts further into the year. clearly given the extent of the rally we have seen in tech stocks, the rates higher for longer environment, that derails a bit of the narrative. that is what the markets have been pricing in, that we have a

fed easing bias. we have rates cuts -- rate cuts coming. that prompt of the markets. now that we have to give some of that back i'm not super used -- surprised to see the get back in stocks today. sonali: does this create buying opportunities or d remain more cautious that inflation can take a bite out of the apple here? anastasia: there -- it's a bit of a losing cpi report -- bruising cpi report and things the fed will not like about this and do a double take at. if you look at the shelter inflation, it is annual lysing over 6%. -- annualizing over 6%. super court is also running north of 6%. the fed will look at that closely and say maybe it is too early to declare victory, especially on the services inflation. if that is the case that warrants caution in the markets.

against that, the other thing i like as a positive development, there seems to be a sense of economic enthusiasm creeping in. if you look at the data and take stock of the data we have so far this month, we have the largest pop and the university of michigan can tumors confidence -- consumer confidence since 2005. we have an uptick in new orders of manufacturing indices over and above 50 for the first time in a while. china seems to be coming around as well. you take all that together and we can point to the economic environment that is quite robust and then economy that can function with 5% plus rates. i think offsetting the hotter cpi print is the economic resilience. to answer your question, what does this mean for stocks? the economic strength does give the stocks of resilience. if we have a bit of a pullback here it is when i think

investors can buy. sonali: it is worth asking. how much trouble is ahead for some of the consumer focused stocks? a number of earnings or coming up -- are coming out but the numbers are backwards looking. how willing are they this year to spend more money on travel, entertainment, any type of consumer good out there when their credit cards are maxed out frankly? anastasia: yeah. definitely a big story going into earnings in the next couple weeks. the underlying story is one of divergence. i think if you look at the consumers in aggregate you can paint a strong picture. you have jobs. you were getting paid more for those jobs and the overall household net worth is at a record high level. as you point out, underneath the surface there is some divergence. the top income cohort is certainly having a different experience than a bottom income cohort.

that is what i think we will hear for some of those retail earnings. i will say in addition to having a job there is a strong wealth effect right now. the fact that stocks have regained their record highs, the bonds have done better, a lot of portfolios have done better. the wealth effect is offsetting perhaps some of the negativity elsewhere. sonali: you think about negativity and concerning information was the nfib small business report. theyh have traditionally been huge hiring engines in america. do you have concerns about the future of the job market and spending moving forward there? anastasia: small business and unprofitable businesses that are reliant on leverage or funds of elsewhere, those are definitely sectors to watch. if i think about the small business loan rate and what a

small business has to pay, that is extremely high and has been for quite some time. this is why we have seen an uptick to the tune of 2020 levels in bankruptcies, especially for smaller companies and some that are vc backed. i think that is the part of the economy that will struggle if the fed continues to keep rates at 5.5%. the reason why i am not broadly concerned about the economy is because while pockets of small and small caps and pockets of industries likely energy are highly reliant -- like clean energy are suffering with the cost burn, the u.s. consumer only has something like 5% of mortgage exposure that is floating. that is what has given us this resilience to function with these higher rates. sonali: stick with us. we will dive into those sectors with you.

before that, look at what is moving markets with abigail doolittle. what are you watching when it comes to what is moving today? abigail: one sector is coca-cola. the stock had been up 1.6%. now just up a little bit. this is investors digging into the nuance. it was a clean quarter. organic sales growth of 12%. that was the key to the 2% sales beat. it did float to the bottom line. $.49 was in line. some investors saying the 10% higher price to mix is the key to the year. some analysts saying that guide should be achievable. the ceo is saying he expects inflation to moderate a little bit this year and they will be able to bring them into not have to offset higher commodity prices. i was looking for some commentary on the effective some of those diet drugs. not hearing so much about that right now. sonali: i'm interested to talk about the earnings reports we will see.

lyft for example. cooper get -- uber getting a lot of excitement. abigail: they are two different companies even though they are doing the same thing in terms of the market share, for the market of riding. uber, 71% of the market is what they have. they reported their first profitable year. for lyft, expectations are muted. looking for seven cents on $2.1 billion. can they grow their part of the market share to greater than 29% or what it is now? the vicki is no food delivery. they don't have international. i started using uber but the other company has better pricing. maybe i will support them in the future. sonali: another earnings story. marriott. travel was supposed to be a big deal this year. abigail: marriott did do well in the fourth quarter. north american demand was good.

international was very good but it did not flow through all the numbers. there was a 2% sales miss. the pace of the growth, while demand was good, the revenge travel we were talking about, leisure travel we talked about a couple of years ago, it's entering a new phase. the company is saying they expect rev par to grow 3% to 5%. that really tells the story. plus, the stock near record highs today. today is its worst day since september of 2022. sonali: you have to wonder if revenge spending turns into revenge saving. airbnb trading near its 52 week high as it reports earnings after the bell today. we have a preview that. stick with us. this is bloomberg. ♪

sonali: airbnb will report the latest earnings today after the bell. expectations are for another quarter of slowing revenue growth. investors will focus on demand outlook and how the company plans to integrate ai and third-party offerings into its app. here to preview the report is mandeep singh. we were talking about expectations for travel for the year. prevent spending might be slowing down. how much of an issue might that be for airbnb? mandeep: the main concern for a company like airbnb is there addressable market. this is a company that focuses on vacation rentals and alternative accommodations.

now they are doing 100 million nights per quarter. if you look at the overall travel time, i think investors will want to know are there other categories they could add. whether does airline bookings or some other type of bookings. all the other ota's, booking over expedia, they do everything. that drives engagement. we will not take five trips a year because you are used to a certain number of travel trips. that still stays. that is where they're still concerned. sonali: how costly would that be for airbnb to expand in that manner when there isn't a spectator in the pressure on the revenue growth? mandeep: what they have shown is they can keep ramping up the supply. think of how many listings airbnb has on its platform. 6 million listings. a lot more than the overall number of hotel listings. supply side is pretty strong and they have the brand.

the one thing with airbnb is they don't have to spend a town on sales and marketing like the other ota's have to. the brand helps. they can take any market. can the integrate seamlessly in a way they can maintain that profitability which is at the core of why investors like airbnb? sonali: it rose 60% last year. how sensitive is the stock to the on exec dictations tonight? mandeep: there is a lot of sensitivity. the topline growth. airbnb was growing topline. now we are talking about low teens. if they cannot accelerate that, that is where concern comes into play. whether they can grow that 100 million room nights to 200 million in the next five years. that is dependent on the growth rates. the topline growth is a lot of importance in the earnings tonight. sonali: mandeep singh, you have a busy night ahead of you.

we welcome back anastasia amoroso. talking about the markets and buying opportunities. we were talking about the opportunity to buy the dip. what about taking profits at this point? are there areas you would look to sell given how far we have come in the markets today? anastasia: it's a good point that this is certainly a good opportunity to take some trading profits. if you look at some of the artificial intelligence names, looking at semiconductors, software, there's a lot of things in the tech basket that have a relative strength indicator over and above 70. that argues for some consolidation and profit-taking. for a lot of investors the concern is deploying cash, deploying capital and waiting for the dip. we have seen a surge in retail buying. a surge in call option activities

. if you look at the money market accounts globally there are trillions of dollars of cash that have to find its way back into the equity market. yes, if you're a trader you can take some profits but for most investors they have to get to the right strategic allocation and equities. sonali: let's talk about the harder hit sectors. there was a lot of excitement about the broadening of the depth of this market outside of the large-cap stocks. you see on a day like today that index being hard hit. when you see inflation being so fickle like this do you find opportunity in the small and mid-caps still? anastasia: yes, definitely. obviously, the thesis has maybe changed. a lot expected the broadening of the market because we will have rate cut sooner or later. now we have to push that out. it makes sense some of the small

caps are under pressure and it is back to cash. i suspect as the year progresses and the gap between inflation that may be does not fall in a straight trajectory but still following -- falling, that will start to wind out, what causes the fed to cut rates. the time to be buying into the catchup traits is not the fed announces that they will cut rates. it is in moments like this. i certainly think we should use the weakness over any sort of weeks or months to add to the laggard trades. sonali: let's talk about the popular trades. some of them and selloffs are holding up better than others. nvidia up more than 40% of the year. down more than 1.5% today. arm up 30% nearly yesterday. down 15% or more today.

how do you think about the volatility in the names that are really riding the ai boom? anastasia: there is a lot of volatility of his five beta names -- these high beta names. i think you want to stick with the winners. the trading view might be different. you want to stick with the winners. artificial intelligence was not just a 2023 theme. it is a multiyear if not the whole decade theme. the year progresses and i think we will see more artificial intelligence products and services that come to market. enterprises can touch and use ai more and more in their daily lives. that certainly supports the thesis. there is this arms race, no pun intended but an arms race to invest in artificial intelligence capabilities. some of the largest hyper scalars are investing in expanding their ai data centers.

if that is the case, that bodes well for demand for semiconductor chips. i don't think that is going away. fundamentally, despite this technical overbought condition, fundamentally the artificial intelligence trend is strong. i want to be buying those names on the pullback. sonali: speaking of pullbacks, every name today in the k bank index is down in the day. there's been controversy about how to think about regional banks and the financial system. do you find opportunities that continuously gets beaten down? -- in a sector that gets beaten down? anastasia: this is part of the cyclicals trade. if we get to a rate cutting scenario, if the inflation prints do turnaround and start showing positive news again, i think regional banks and banks in particular will be a great

catch of trade. in the meantime people will stick with what they know, which is who has low leverage, who has cash on the balance sheets and where is the secular growth. the first thing people are going to buy is the artificial intelligence trend. as the year goes on and we get closer to those rate cuts i do think whether it is regional banks were commercial real estate is something people want to look at as a contrarian trade. sonali: we will talk about commercial real estate on the show. our thanks to anastasia amoroso, icapital chief investment strategist. we look at the companies making the most on social media. social climbers. stay with us. this is bloomberg. ♪

sonali: it is time for social climbers. a look at the stocks making waves on social media. paramount is cutting 800 jobs. this comes days after the company's coverage of the super bowl set a record for the most-watched program in u.s. television history. the channel is trying to boost profits at a time when viewers are cutting the court. carl icahn is disclosing a nearly 10% stake in jetblue, calling the stock undervalued. he's the third largest shareholder and also in talks with management for a board representation.

the first line could build a bear workshop. the manufacturer squishmallows is launching a fight against the company. at issue is a new toy from build a bear that squishmallow says looks like its owns egg shaped cushion stuffers. you can follow the buzz.

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>> we have been talking about every bank being down on the day and part of that is the real estate market. we will take a look at the pressures facing the property market. abigail doolittle has more. abigail: this is what triggered the selloff and brought back a positive -- possible crisis. a strong word. some sort of crisis for regional banks and commercial banks, commercial real estate. they hold about 80% of those

loans. money centered banks, 20%. over the last year, the big banks are higher. these regional banks are lower. as for the specific pressures we are facing relative to the regional banks in the commercial real estate area, values are depressed especially for areas like office and some retail. low occupancy, rising rates. about $1.5 trillion is due by the end of 2025 and regional banks hold about 80% of that. the question is will the loans go bad. there are other sources of funding. there is probably more room for the market but for the regional banks, certainly tough. >> for more on challenges facing the property market is ran eliasaf, northwind group founding and managing partner, a private equity firm with about $3 billion in assets. we were talking about this idea

that there is some ability for private capital to step into the fray. give us a sense of how you are scouring the landscape. how much of it can you and your rivals start to pick up? ran: a significant amount but definitely not at the level that is needed. in difficult times commercial banks provide the majority of financing needed for real estate. private lenders like northwind group, we tend to be more expensive. 2% to 3% more expensive typically. 2023 and 2024 have been record years for private lenders providing loans for projects who need additional capital and time to get across the finish line. a lot of the stress started in office but we are also seeing it on multi family deals that were done in the last five to seven years at very low cap rates and with very low interest rate loans.

many of them do not make sense right now for the equity but also for the debt. >> i am curious about your thoughts on multi family in particular. we are watching inflation start to bite once again with shelter costs being the great brunt of what we are seeing. as a lender, someone who is investing in the space, how much pressure is there upward on shelter costs and can americans expect to be spending more given the market dynamics? ran: affordability of housing is a huge issue that needs to be taken care of. cities like new york are definitely underserved. when we look at the pipeline of what is needed, new york city will have to add by 2030 over 200,000 units. with the current pipeline, it is nowhere near that amount. >> please go ahead. >> talking about multi family

specifically, the biggest plan for banks has been apartment. there it is even an bigger issue because rets are capped, expenses are up. the net operating income of these assets are declining. that is why it is a huge pain on the banks balance sheets. in other parts of the country values are simply not holding. >> there is a big issue among investors and the market at large where people think about the issues in real estate and they say just look at commercial real estate. that is where the problems are. do not worry about the property sector. when you start to fold them up on the issues you are seeing with multi family and other residential housing, what are people missing? ran: it is a basic analysis of value. if infrastrate's are 4% to 5% --

interest rates are 4% to 5%, much higher than three years ago and the rents are not up at the same pace, the values went down. geography by china graffiti, how much did they go down and in certain areas of the country we are seeing they went down to a level where the equities have bared. some need refinancing and not all of them will be able to get it. >> youth about the rise in yields we have seen -- you think about the rise in yields we have seen and the expectation for a rate cut environment this year, how much of a problem is this for the housing market, the mortgage market mother lending market to larger properties as well? ran: it is a big problem. a lot of owners, developers and lenders were hoping that rates would go down faster. this would help the valuations and the cap rates. it does not seem to be going that direction.

it seems like we will be in a higher interest rate environment for longer than predicted. the conditions for multi family lenders and banks are significant. this year is the year of reckoning where a lot of these loans will be due and losses will be reported on some balance sheets of the banks. >> when you think about the pains the regional banking system is facing there is a lot of dispute that perhaps investors have thrown the baby out with the bathwater, that perhaps the issues are more isolated. do you see it that way or do you see more pain? ran: we love them, we think they are a great team. we are hoping they will see it through this challenge in a strong way. it is isolated. not all banks are created the same. looking at the balance sheets of banks, you really need to look at what leverage loans, what coverage we are giving and who are the ultimate sponsors

because at the end of the day, it is very value dependent. stronger balance sheets will be able to support the assets, put some cash in and see it through to the other side. a lot of problems reside with the smaller equity indicators that do not have the capacity to support their assets now. in those cases we see them returning the keys. also, vesely -- obviously big portfolios of office and we have seen large groups return keys. that has been more isolated case-by-case. >> we were talking about the ability of product capital to step in. what is your estimate on how many loans will simply fall into distress and not be able to find a home? ran: it is hard to estimate but there are billions of loans that will be in distress. by the end of 2025 there is over $1 trillion of loans coming

through. we are talking billions. in certain banks it is a very concentrated risk. >> ran eliasaf we thank you for your time and look under the hood of the complicated markets. we will take a look at the broader markets with abigail doolittle. abigail: we are looking in all the major indexes down more than 1%. the russell 2000, a significant decline, down 3.4%. arm, all of this on the hot cpi print and the fear that the fed will not be cutting until july. the expectation had been march. the liquidity concerns, valuation concerns. arm had at been a double since it retorted earnings -- reported earnings. a reserved gain. a sign of the times. let's take a look at what is happening for yields. on the hot cpi print, this chart tells the story. the two year yield up 11 points,

close to 460. maybe heading higher from here. in terms of what this could mean for the s&p 500, typically we would look at a terminal chart that we looked at yesterday. to check out the progress of the s&p 500. last august there was a little diamond top that was taken out. the diamond top has morphed into this other broadening formation. take a look at this. we have a gap down that tells you that today's sellers are taking off guard, likely to drop down to the bottom of this range. rsi is going down. we could be entering a period of risk off. speaking of risk off, let's take a look at boeing. we have the stock adding to the losses on the year and this on the news that their deliveries fell by tone 9% -- 29% in january. a lot of the pressure from the 737 max under pressure. >> former president trump is pitching a 60% tariff on all chinese imports.

we will discuss that next in today's wall street week. stick with us. this is bloomberg.

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>> we welcome the president on the council of foreign relations. let's start with europe. it is much in the news right now as we see congress contending with possible further extension of aid to ukraine. we have a former president who looks like he is running again saying he might invite putin to invade a country.

give us your sense of what might be at stake in terms of foreign in november. >> there is likely to be continuity on some issues. president trump is presumed to be more isolationist and less invested in managing the alliances that we have around the world. that we can spank the united states with its capacity to get things done -- that weakens the united states with its capacity to get things done. we will not stand by as another country tries to take territory by force. that has been a core rule since the end of the second world war. david: there is a geopolitical risk potentially for europe. what about in your neck of the woods like trade? what is the risk there economically for europe? michael: we each have our comparative advantage. the u.s. innovates.

europe regulates. they have not recovered as well. now they face prospects of increased tariffs. president trump has talked about tripling the tariff from 3.5% to 10%. that will affect economies that are more dependent on trade than we are including europe. more pressure on them to raise their defense spending particularly if we are not at the table contributing what needs to be done for ukraine and for nato. potentially further pressure from russia. the europeans face a whole series of economic challenges because of the changes in geopolitics. david: you mentioned tariffs on china. we had former president trump say he would raise it as high a 60% on china which would might effectively cut off trade with china. michael: the tariffs have reduced imports from china as a percentage of our overall imports. chinese companies have moved to

other countries, vietnam, malaysia, mexico and trade exports from those countries to the united states have increased by the same amount. we are not necessarily seeing the job creation here that president trump hoped to see from the increase in tariffs. we have not seen much job creation because of the tariffs and the retail torrey tariffs that other countries impose on us. david: apart from the job issue, what about u.s. growth? what is the best rate policy to help the u.s. grow? michael: the news is that the u.s. is not overly dependent on trade compared to europe and parts of asia. our exports are 10%, 12% of our gdp. trade and imports, 25%. no huge impact on growth one way or the other but it does have an impact on the cost of living and inflation. when the cost of imports goes up here and those imports that

people with lower level incomes are dependent on, they spend a high percentage of their income on imports must suddenly it is mike pence of four cloves -- suddenly it is more expensive for clothes. david: i know you are focused on the council on foreign relations and what is going on in israel with hamas and gaza. there might be some hope for some sort of relationship with the u.s., israel and saudi arabia that the prince is interested in trying to do something with israel. is there an upside? president trump did have a record with there cords. michael: the abraham accords represented a significant shift and some very positive movement. the question is whether saudi arabia will join. they are well on the way to normalizing relations with israel prior to october 7 and there looks like there is a possibility if the underlying

issues around the palestinian questions can be addressed as well. david: one of the big issues is continuity, stability in relationships. give us your assessment of how president biden has done in terms of allies around the world and adversaries so they know where we stand. sometimes there are advantages to not knowing exactly where that is. richard nixon said there was a 10% chance that he was crazy. michael: the difference is the degree to which president biden has invested in relationships. we have seen it with the strengthening of nato, australia and the u.k., korea, japan and the united states. those are very important partnerships both for security and for economic stability. president trump puts less emphasis on the management of alliances and partnerships. we saw his recent comments about

nato over the weekend. that will create a lot of stress around the system. if there is value in looking like you might be volatile in your response, then he will bring the volatility to the table where i think president biden tried very hard for where we stand and what we want to do. david: how are we doing with relations with the global south? michael: the world is much more complicated than it used to be. the cold war was quite simple, two parties, bipolar. the post-cold war was also quite simple. it was a u.s. moment and everybody was moving toward a market democracy around the world. that is over too. this is a much more complicated world where countries will. be multi-aligned. they will work with us on some issues and work with china and russia on others. david: you havese to the oval office. for the next president, whoever it is, what is the number one issue in terms of foreign

affairs? michael: to be strong on foreign affairs you also have to be strong at home. investing in the u.s. economy and having a strong economy. strong economy, alliances, strong military, those seem to be the core principles of a good u.s. position in the world. david: really a treat to have you with us. that is michael froman from the council on foreign relations. tomorrow we will talk to stephen meyer. on friday we will address those big numbers on cpi with larry summers and what is going on with inflation. that is friday at 6:00 p.m. eastern time. this is bloomberg. this is bloomberg.

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schools and canceling hundreds of flights. we are joined by josh. walk us through the rest of the day and whether it will create any issues for people. josh: new york city has already got three inches of snow. they could get three more. the storm is a really wet one. it is really slushy out there. sonali: how does it make a difference for commuters? will there be things clogging up the system? josh: the storm has caused delays on the l train. for the most part things are running as they are supposed to. no major delays except for the airports. we have hundreds of delays at area airports like new york, jfk and logan. lots of stranded travelers. sonali: it feels like it was 50 degrees just days ago and now we are sitting in a massive snowstorm. how disruptive is this really

and our people really prepared for this kind of weather at this point in the season? josh: it looks like so far it is starting to be more of wet socks, play with your kids in the snow kind of situation. sonali: everyone should leave early today. josh: maybe a little early. leave early every day. no, it is not a shut down the city, snow piled up situation. sonali: where else in the region will be getting a lot of snow? josh: parts of pennsylvania have already gotten six inches, eight inches and some areas, one foot. other parts of the region are getting a lot more snow. there is a sharp disparity between parts of areas that are getting dumped on and areas that are getting smaller amounts of wet, rain and snow like us. sonali: what does the afternoon commute look like getting home at this point? will you be facing troubles into tomorrow? we were talking about the snowstorm like it was going to end the day for everybody. josh: having an accident can

snarl things but it is looking like everything is running pretty well except for the airports. people should be getting home as smoothly as they normally do. sonali: thank you. we will keep an eye on the storm. let's hope that it stays this calm. let's hope you get to play with your kids today. we will look at some stocks hitting highs and lows. lpl financial hitting a 52-week high after the firm announced that it will buy the wealth management company atria wealth solutions. the car rental company avis hitting a low after revenue that fell short of expectations. a look at the broader markets. the s&p 500 down more than 1%. the nasdaq 100 feeling the same pain. yields still on a chair after the inflation report this morning. we are looking at a two year above the level of 460.

a 12 basis point jump higher in the two year yield. almost 13 basis point on the day, the highest levels we have seen since mid-december with the 10 year yield also jumping almost 10 basis points on the day at a 427 handle. remember the rate cut slowly slipping away. we have earnings after the bell as well. we are looking at airbnb, lyft and others. we have the highest flyers falling on the day. the semiconductor index on the second day of decline, down more than 1%. it is in synchrony with what we are seeing with the rest of the ndc's. every stock still in the red on the day. we are watching yields not only fly higher across the curve but the yield curve evermore inverted a little on the day. we are keeping an eye on some movers this morning as well. we have mariette down on the day

and jetblue facing activist pressures. we have that coming out in the market as things get choppy. let's keep an eye on the markets throughout the day. a red day on the screen. coming up, we have bloomberg technology with aroline hyde and ed ludlow. stick with us.

>> from the heart over innovation, money and power collide in silicon valley, this is bloomberg technology with caroline hyde and ed ludlow. >> this is bloomberg technology. >> we will discuss the implications of