>> i feel great because i feel post-financial crisis we have been in a lala land. >> what has been winning has continued to win and that has been a great environment. >> although valuations are high they could go higher.

stocks are increasingly priced for perfection. >> it is difficult of think of not owning u.s. equity risk. >> the momentum factor is strong right now. >> this is "bloomberg surveillance" with jonathan ferro, lisa abramowicz, and annmarie hordern. jonathan: this is torture for equity market bears. every single our bob michele of jp morgan, i feel great. he was bearish a year ago. this is a big change. lisa: now the bearishness is not being bullish enough. we see upgrade after upgrade on wall street as everyone reassesses what the pivot from the fed means. jonathan: oppenheimer raising the s&p 500 year end target to 5500. i think that might be john stall office. you talk to him about upgrading the target and here we are. lisa: he said i'm going to revise things. there's not much upside from here to get there. as we heard, it did not take long before we could get to 5400

by the end of this week. jonathan: they get lined coming from boeing. let's get going up on the screen. boeings dave calhoun announces his intent to step down as the ceo. the stocks is higher in the premarket 2.5%. the boeing ceo announcing his attention to step down as ceo. lisa: everyone is wondering what took so long. everyone was wondering why he was still there. the idea this is a cultural problem that is not yet seen bottom and a question of who comes in and what is the cleaning house effort they will do? annmarie: this is taking place as the board is doing a listening tour, going around the country, talking to airline executives. we also note the chairman of the board is resigning and will leave the board in may. there are a number of people who

will be moving at the top level. jonathan: the ceo saying he has been considering the transition for some time. the ceo referred to alaska airlines flight as a watershed moment. i've never the conversations we had immediately after this. we were on air talking about how long it would take for this to get back in the sky. some analysts were talking weeks. then brooke sutherland came on of bloomberg opinion and she was the first to say there is a cultural issue that runs a lot deeper than a one-off issue. these are the changes that i think brooke was pointing towards. lisa: and she was talking about how institutionally they have seen that manifest with a greater manifestation since the pandemic. a lot of questions remain. who replaces these officials, how they change the culture, have they identified all the problems? remember documents missing the federal arguments were looking for.

he raises the question of how to get to a place we can grow again and not just put out fires. jonathan: 70 different headlines. hard to know where to start and to finish. the ceo boeing issuing a message to employees announcing his intent to step down as ceo. dave calhoun will have this clear -- this year as his last year and ultimately the alaska airlines flight was a moment for the companies. a host of changes around this including the new chair. lisa: we are looking at the new chair. previously of qualcomm, which is interesting. also announcing stephanie pope was named to commercial airplane ceo. curious how this indicates their effort and transformation. this will be key as we look up more details. jonathan: we must still respond to the alaska air accident with humility. the message comes from dave

calhoun. must include a commitment to safety and quality. that stock is up 2%. equity futures shaping up as follows on the s&p. we are down abound .3%. yields higher by four or five basis points at 4.2414. this hour we would catching up with jim bianco of bianco research. the global vp and neil dutta he had to this week's inflation data. we begin with the top story coming off the back of a record-setting rally. jim bianco saying "the fed cannot randomly pick someday and cut rates. if they do in the market thinks is not serious about inflation, sell bonds. fit dovishness only works of the things inflation is not a problem. right now it is unsure." jim joins us now.

are you unsure? jim: i am. if you look at the markets we have the everything rally but one thing has not been rallying and that is the bond market. it has been meandering unchanged. the fed wants to cut rates, it looks at the data, sees stronger data, higher inflation expectations competencies the fed upgrading its inflation and economic growth forecast and it is wondering is this a good idea for the fed to be cutting rates. if they are not careful they could be coming rates. and if the bond market is thinking they're unserious about inflation we could wind up with higher yields, not just lower yields. jim: when the fed stopped raising rates -- 90 days later we were over 5% before it started to believe the inflation numbers were coming down. jonathan: use said disinflation

was transitory. you came out very early on and said it. i wonder what you saw that led you to believe so? jim: you are right looking at the data. i was living in headline cpi and it bottomed june 2023 at 3%. if you look the data going forward from here, the march data should be strong. he will probably not be below 2% in the fall -- then you will get there. short of that you will not be below 3%. housing data was to appear that everyone thought. wage data was stickier than everyone thought. oil and energy prices was also not really declining to the extreme everybody wants. that is still the case as we move forward. lisa: when will it be something the bond market wakes up to?

right now it is not been material selloff and bonds have handled this well. jim: they have handled this well over the last couple of weeks. i have said it has been unsure. the 10 year yield started the year at 3.80%. the other issue in the bond market is everybody is bullish. bloomberg had a story that we are back in the curve steepening trade. everybody is losing money but don't worry. it will be a good trade. that is what the bond market is dealing with, a lot of bullishness with data not supporting it. it will take time, and if the data comes in stronger-than-expected and the data stays hired than expected, the bond market will turn towards higher yields. lisa: this is something we were talking about with sonal and she said she still likes duration.

there is so much liquidity in the system and the ball of money is going into every risk asset as well as bonds. how do you argue that that will not persist? jim: it is going to persist until the wall of money ends and the biggest driver of that wall of money has been central bank policy. i know they are doing qt but they are also having my repo facility rolloff in milwaukee. that is money getting pushed into the financial system getting more liquidity. that is within a couple of weeks to a month with ending and i think the liquidity system and the bond market is going to start to turn lower. the wall of money is going towards where it is treated the best. we have seen 1.5 trillion dollars doing to money market funds. why shouldn't they? they are the highest point in the yield curve.

that forward thinker tom keene will now quadruple the cash fund and he is the right idea. jonathan: he had his european tour last week celebrating. jim bianco of bianco research. three cap breaking news, dave calhoun, the boeing ceo announcing his intent to step down. brooke sutherland from bloomberg opinion joins us. you pointed to this almost immediately after the alaska air incident. you said there might be cultural issues that need to be addressed and you have alluded that there needs to be a change of the top of the company. are you surprised? brooke: i am not because change does start from the top and i think it has been striking the degree to which boeing has been reluctant to talk about this is a deep-rooted cultural problem and i think you need someone to come in to look at everything with fresh eyes. dave calhoun has been on the board since 2009. he has been there a long time

and this is a company that is desperately in need of rush perspectives. who should they get to bring in that fresh perspective? there'll be a lot of eyes directed towards larry culp given the turnaround he is been able to orchestrate at ge. i do not know if you would be interested in this because he is a great job in edd -- because he has a great job at ge. that is the type of person you need to get in there and focus on manufacturing that is the heart of what boeing does. they got off course as far as i am concerned and you need somebody to produce airplanes that do not have any defects. jonathan: how do you meet that with the need for industry knowledge? i am looking at the change for commercial knowledge. stephanie pope has been named. what you make of that transition? brooke: that is another one where it was not tenable to keep the management in place running

the commercial airplanes division because that is a lot of the problems were from. you are seeing as boeing try to take accountability for the fact that there does need to be sweeping changes. it goes further into the ranks of management, i think he needs somebody with a lot of aerospace expertise. this is not a job where you bring in someone from the auto industry and the health care industry. you need somebody who knows aerospace and understands airplane manufacturing and how to get the job done. lisa: why did this take so long to have the ceo step down at a time when this company was coming under spiraling allegations and a lot of questions around the culture? brooke: there was a reluctance to throw more chaos into the situation, which i can understand. there's a lot of scrutiny on boeing and a lot it needs to figure out and a management

trade does add more variability to the process. i think it goes back to what i am talking about. i'm think this company grappled how serious of a situation it is in. even on the earnings call they were talking about it as a potential pausing production ramps for the 737 and i do not think that is the right attitude. the ceo was talking about the cash flow target boeing has. they are not backing off the $10 billion long-term target and enter not think that is the right mentality. i think we are finally seeing a moment where they're going to terms with the serious of the situation. annmarie: will this ease any concerns the faa has? brooke: i think the faa will have to have been apprised of what is happening there looking for someone who will pay

attention to all of the manufacturing detail. i think boeing would be in close talks with the regulator in terms of what the man looks like and you want to bring somebody in who has that aerospace expertise. i do not think the faa will be happy with a surprise output with no expertise in the industry. jonathan: the investigations are ongoing. this is a difficult question to give a direct answer to. renumeration for dave calhoun, how will this be managed as he heads to the exit given ali's investigations are ongoing and we have no idea where they will land. brooke: i do not know the exact answer to that. it'll be interesting to see once we get the proxy filings, to see what that looks like. dennis muilenburg also stepped down. there is a history here for how this good spanish without executive. jonathan: appreciate your time this morning for reaction to this. brooke sutherland of bloomberg.

up next, u.s. automakers facing tough competition in china. >> china three years ago import export on vehicles was zero. last year was about 5 million -- it is really quite amazing. jonathan: that conversation is up next. ♪

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>> what you have seen from china is three years ago import export on vehicles was zero. last year it was about $5 million. they become a big player on the global stage quickly. it is quite amazing. if you are xi trying to drive the economy, you are pushing the auto industry. they have a real position to drive forward the industry. jonathan: u.s. automakers aiming to regain footing in china as consumers increasingly opt for domestic brands. gm seeing a shift as sales outpacing china for the first time since 2009. joining us as a bubble vice president of buick and gmc at gm. we have to begin in china. i want to talk about what is happening there. are things picking up as we kicked off 2024?

duncan: china remains a critical market. it is 50% bigger than the u.s. market. gm has enjoyed great success over long time and buick has been the leading brand. we are still building half a billion vehicles there. the situation has changed. domestic brands have become stronger and buick has become strong. people are moving towards hybrids and eb's. -- and ev's. lisa: a difficult is it to compete and make a profit? duncan: the price sensitivity is great. there about 250 brands on sale in china. about 50 in the u.s.. the competitive situation is difficult.

however buick remain strong. we have the great lineup we sell in the united states, introducing ev's and hybrid electric vehicles. we feel one place to compete going forward. lisa: when you talk about here i wonder if that is a challenge because the electric vehicle demand has not been as great. there was a report that buick inventory levels have been higher than other types of cars even within gm. you think that is a reflection of the lack of appetite for electric vehicles in the u.s.? duncan: we are not selling electric vehicles with the buick brand in the u.s. yet. we have launched two brand-new vehicles. by the middle of this year we will have what we expect to be the freshest portfolio of any brand in the industry and the customers are responding to it. it is a new design i would janet logo. last year with the fastest

mainstream brand in the industry. up 65%. of 15% on a year-to-date basis. people are responding to the new buick products and design language in great fashion. annmarie: when you look at the china strategy and lisa's point about this price war, if you will go after the luxury market you have to cut some of the lower end peoples you are selling? duncan: what we have in china is a large portfolio of vehicles. ev's already in the market, and the traditional combustion engine vehicles. where we have been strong in leading the market is in the minivan space. this is a different minivan than the u.s.. a the various vehicle. it continues to be a leader in that space. this smart -- there is a lot more to come when you look at product development.

annmarie: when you look at the appetite for bigger cars -- is there an appetite in china for bigger cars? that is why he came out with the hummer ev. duncan: our electric strategy started in truck form. now we have introduced it in the sub format. every month the sales are better than the last month as our production continues to rise. it is an outstanding vehicle. the ev is ramping up and not slowing down. it is the world's first super truck it does basically everything you could want it to. in china we are about to embark an export program in china with gmc as well. in the next month we will be importing gmc's. we are well-established in the

middle east for nearly 100 years and we be going to australia. gmc's strength continues to grow and is an outstanding brand with outstanding success. the introduction of electric vehicles will help us begin this program. jonathan: doesn't make life difficult 12 of your biggest markets have different consumer preferences? is that tough? duncan: you have to manage that. jonathan: how do you manage that? duncan: i was speaking with mary barra last week and we were talking about gm moving into hybrids. how quickly can you get a factories to do that. the beauty of general motors is to produce on sale around the world -- once you have that technology developed it is not super easy to then transfer into another product, but once the technology develops, that is

something you can do -- if the market is wanting hybrids will pivot to that. jonathan: to see that as where the market is currently? duncan: i think it will be part of the development. we still maintain in all ev future and a zero emission strategy. i think hybrids will be part of that journey together. jonathan: i am interested in the zero emissions. when i hear about the electric ev hummer, how on earth is that good for the environment? i've seen the size of those things. how is that good for the environment? jonathan: they are nowhere near as big -- duncan: they are nowhere near as big as you think. i bought one. it is the best vehicle you can buy. super easy to drive around town.

a turning circle the size of a small car. it has air suspension so it glides along the potholes of this great city and the roof comes off making it a convertible vehicle. 0-60 in three seconds. if you are on the highway it drives hands-free. zero tailpipe emissions. jonathan: to make the thing? zero tailpipe emissions, but to make it electric hummer, are we saying that is good for the environment? duncan: we are very responsible in the sourcing of the materials that go into the batteries that create the technology that goes into those. we are very responsible on the holistic nature of that battery development. jonathan: i have seen them, they are big. duncan aldred.

i'm not sure how that works around manhattan but that is quite a pitch. lisa: i wonder how you get a parking spot. if people double park is a problem for the buses going through. jonathan: that has been an issue? driving your hummer around manhattan. coming up next, neil dutta. from new york city, this is bloomberg. ♪

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jonathan: stocks off by .3% on the s&p. you know when they take up the roads? six avenue right now, third and park. on and on and on. annmarie: they should just have a sign outside of manhattan saying "perpetual under construction." jonathan: that is what it feels like. you will say it. is the weather. i understand. the s&p down .3%. annmarie: that kind of morning. jonathan: i am prone new york -- i am pro-new york.

annmarie: i am a native new yorker. self-deprecation is part of it. we all know there should be a big sign that says "bump" before manhattan, "potholes beware." we are fully aware. you should just go underground and then you will not feel it. jonathan: good point. drifting higher up three basis points, up two basis points on the two-year. given how much we paid taxes, you would think the ride would be smoother. all of the above. let's finish on foreign-exchange. finding out moments ago a series of leadership changes. dave calhoun is set to step down at the end of the year.

he is retiring effective today. the changes come after a series of mishaps and investigations including a midair blowout earlier this year. the fact the stock is up speaks volumes. lisa: what brooke sutherland said was telling. they did not understand the scope of how serious this was at the outset. maybe this is the beginning of the recognition. this is massive for them. jonathan: these are the cultural issues brooke sutherland was talking about. annmarie: look at the documents congress was after. they cannot find these documents attached to some of the issues they were trying to remedy. what is interesting is he is stepping down at the end of the year. that says they do not have a successor ready to go.

lisa: do you believe they cannot find the documents? jonathan: it speaks to the way the company has been managed, not in a good way. >> we do not understand the scope of the problem. there has been no good news. that has been no way of sunshine. jonathan: every time we cover the company, it has been more bad news, every single time. the stock is up something like 3%. maybe that was the first piece of good news. apple, google, meta in the antitrust lawsuit. on the others of the ocean, a full investigation into whether the tech giants complying with the act. google under fire for monopolizing search engine usage. meta subscription fees in the crosshairs. they are facing fines of up to 20% of global revenue.

the experts both saying maybe what we are hearing this morning in the immediate term could be bigger than what we heard last week from the doj. >> i had the wrong interpretation of the story when it came out which was another suit. there is a bigger question of how much this is the utilities asian -- utilitization of regulators saying we want to have more control. lisa: he also made the point they could be facing these fees eminently. when it comes to the doj, that will take months or years. europe could be cracking down and getting up to 10% of global revenue in fines.

jonathan: it is not just a fines but the behavioral changes pushed through soon. we were looking for a new phone in september. he threw some cold water on that earlier today. annmarie: what next for their phone? can they compete with samsung given they are behind on the ai front? jonathan: more fedspeak on deck today. wallace speaks wednesday. markets kicking off a shortened week set to end with personal income and spending data. core pce will come on friday when the market is closed and hopefully no one comes in this room and says "special friday morning program." it is not that important. everyone will be away. they will pick that up monday.

annmarie: we already know what it is because jay powell leaked it, so we can carry on. jonathan: dear management, we do not need a show because you told us the number. don't worry, there will not be a show. we love doing shows for you. we really do. the fed will cut sometime this year. with the market on track for the fifth consecutive month of gains, neil dutto. the risk is the january and february inflation data reflect it higher. is more on alert for downside surprises to growth then upside surprises to inflation. neil joins us for more. i remember last year you sent a

message and said the labor is no longer a reason to be hawkish. it was not just that the labor market was weakening or deteriorating. even with labor market strength and economic growth, that was no longer a reason to be hawkish. walk us through how you are thinking about the economy with that in mind. neil: sure, thanks for having me on. compensation growth equals inflation plus productivity. we know compensation growth is moderating. there is a lot of focus on wages. benefits are slowing more rapidly than wages and salaries. in theory, workers bargain over their entire compensation package. quits are below where they were before the pandemic. it suggests broad measures of compensation growth will be in the vicinity of 3% by the end of the first quarter.

if you have 3% compensation growth and we know what activity is normalizing around 1.5%, where is the inflation coming from? if composition is 3%, productivity is around 1.5%, you are at the fed's underlying objective of 2%. there is focus on producer prices. as i mentioned last time, lisa is very focused on chocolate prices. there is limited pass-through from those things into core consumer prices. i think the normalization of labor market conditions will take pressure off of services which are running well above what they normally run above with respect to the crisis. jonathan: one take we heard last week repeatedly was the fed was embracing the supply-side narrative. briefly describe that more broadly and help me understand how you set monetary policy when

it is the supply-side doing all the work. neil: well, i mean, i think first it is important to understand why the supply-side looks better. i think that is primarily a function of normalization data following the pandemic. this time last year, labor productivity growth was deeply negative. now, it is normalizing. that essentially raises the speed limit for the economy. if you have stronger economic growth, you can have stronger in cleveland and economic growth without pushing inflation higher -- unemployment and economic growth without pushing inflation higher. that is why it is important. productivity is up. that gives the fed more space to ease modestly if inflation is slowing more quickly. annmarie: i'm having a hard time

for a number of reasons. it is hard to find people who can pose a negative case. but there is one to be made with the data coming in hotter than expected in certain areas. you talk about the fact wage inflation seems to be nowhere. the new york fed has a new measure of wage inflation out this morning saying it is currently running at 5% looking for the sticky. other measures showing inflation is re-accelerating. how do you dismiss those things out of turn and retain faith in the disinflation story? neil: you have to go to first principles. i don't like saying look at this indicator, it is up. looking at the wage number is one thing. people argue over their entire compensation. to me, that is a red herring to distract from the best measure of compensation growth which is the employment cost index.

there is minimal pass-through from those into core consumer prices. i mentioned first principles. where is the acceleration? where is this showing up in earnings calls? costco is talking about holding the line on prices. walmart is talking about bringing the rollback back. if households expect inflation to basically be -- the expectations have been coming down the last few months, it would suggest the inflation upside surprises will be fleeting. i would also point out inflation data has been generally on the weaker side of the consensus overseas. interesting.

it would support the idea the fed is putting a lot of currency into, i think rightly, that is seasonal and why the numbers look worse in january and february. annmarie: do you say there is more weakness under the hood and challenges to certain businesses that do not have the pricing power that would suggest the fed was justified cutting now? neil: to me, the strength of the economy is a reason to expect a ceiling on how many cuts the fed can deliver. it is not a reason for the fed to cut at all. part of this is we are all very used to the fed cutting a lot work not at all because primarily they are cutting aggressively to stop a recession from getting hold or they are too late and that is why you are in a recession and they have to cut a lot.

i'm talking about a recalibration of policy. it is difficult to see the fed cutting six or seven times because the economy is strong. but if inflation is falling, they can at least adjust policy a little bit to reset the economy. this is not outright easing, it is simply taking policy from significantly restrictive to a little less restrictive. that is all. this is not a wholesale change. that is what people are getting confused by. this is not a wholesale change in policy. it is simply a recalibration of monetary conditions. jonathan: i want to know how bullish the reaction function of the fed is. people run away with the idea it is super bullish. i wonder how close we were to have a different conversation if it shifted from three cuts to two. do you think the conversation would have been very different after the fed meeting wednesday? neil: not really. what would have happened?

my sense is markets probably would have sold off a little bit. certainly, the expectation going into the meeting was we were gravitating. the risk was for two cuts instead of three. maybe if they penciled in two, the markets would have sold off a little bit. you would have seen modest tightening of financial conditions. but chair powell would have come out and struck the same dovish tone and markets would have reacted. i don't know. the big story is they are cutting. they are just not cutting as aggressively. the strength of the economy puts a ceiling under how many cuts they can do. jonathan: great to catch up. got to do it again soon. neil dutta with the latest on the economy and the federal reserve. annmarie: aggressively bullish but in a good way. he has gotten it right. this is the debate. is there more disinflation than people realize?

if so, is the fed cutting a touch to be neutral? people do not want to take them at their word. jonathan: equities on the s&p negative by .3%. . your bloomberg brief. >> former president donald trump faces a deadline today to post a bond to cover a $500 million civil fraud judgment against him. otherwise, new york state can start the process of seizing his assets including real estate in manhattan. trump will be in court today after being accused of falsifying business records to disguise hush money payments before the 2016 election. janet yellen is set to visit china next month for meetings with senior leaders according to politico. it follows meetings in beijing last july which resulted in the formation of a working group with china promising discussions

on matters involving economic and financial policy. goldman sachs says the s&p could hit 6000 this year. strategists are sticking with the year-end target of 5200 but have a scenario in which tech mega caps could lead the index up another 15%. the s&p is up almost 10% this year and closed friday above 5230. that has left many strategists' forecasts in the dust. jonathan: thank you. next, the boeing ceo stepping down. >> we caused the problem and we understand that. we have additional quality controls at boeing and our supplier. jonathan: that conversation next. ♪

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jonathan: stockholm the s&p down .25%. yields up a couple basis points on the 10-year. a quiet start that picks up as the week progresses. the boeing ceo stepping down. >> we caused the problem. we understand that. we implemented additional controls at boeing and our supplier. we want to focus on reducing the risks. jonathan: boeing announcing ceo dave calhoun will step down at the end of the year after a string of mishaps and investigations at the playmaker. in a letter to employees, he says the eyes of the world are on us and i know we will come through a better company.

let's get straight into this one. the names will change. how will the leadership change? >> i think they need to get themselves a very good ceo from a manufacturing and engineering base and not so much a financial base. it remains to be seen who they find. i think that is the next big order for boeing. jonathan: brooke sutherland alluded to perhaps they did not realize how big this would turn out to be. what do you think the defining moment was in the last few months? when did they realize they needed big changes? >> to me, the defining moment was more a death of 1000 cuts. all the little problems coming through the manufacturing process, especially at spirit aerosystems with airplanes not created correctly. i don't think it was any big

event but just the constancy of the problems coming out. annmarie: as they search for another chief executive office, how much of a liability is that there is not a multipronged industry with many players? there is a duopoly, one in europe and the u.s.. >> is definitely a challenge -- there is definitely a challenge. i do not think there is a wide talent base. suppliers are potentially fertile ground for another ceo. especially as you get into engine manufacturers, there may be some talent down there they can find. that business is a super tight tolerance business, heavy engineering business. i think that is what they need for the next ceo. i think you will see it inside the supply chain as well. maybe even outside but it has to come from a strong manufacturing, someone with a strong manufacturing and engineering background. annmarie: what do you think this

means for how quickly they can reach a deal with spirit a ero? >> it is interesting because they said calhoun will finish out the year which seems like a long time to do the transition. i feel like they need to build confidence now and get on the road to fixing the company now. i would hope this does not mean spirit is pushed off until next year sometime. i would think it is well underway and would continue to get that closed as soon as possible. i think the road to success go through that acquisition, the road to successfully stabilizing and improving quality goes through spirit. i think they cannot wait on it. annmarie: what do you make of the fact they have been doing meetings without calhoun? >> when i heard that, i thought

that was a clear sign that their most important customers were very concerned and wanted to meet with the board. without calhoun there, that was a clear sign they were probably pushing to get a change at the top of boeing. they need a confidence builder. they need an operator. i think the ceo saw that and brought it to the board. >> given the fact you think this person needs to be an engineer mind, do you think this is right for a split in the job? someone focused on financials and someone else focused on the engineering and safety of the planes? >> i am sorry. i did not catch it. say it again. alix: do you think this is -- lisa: do you think this is a moment where there could be a split at the top? >> every organization has their top engineering officer, top safety officer. boeing is no different so they already have that inside the structure. i do not see a split so much.

i think the ceo of boeing needs to be someone who has had a strong amount of experience in quality manufacturing and with good engineering at the core of the business that they ran. i still think it needs to be inculcated all the way at the top and you cannot split those job goals up. you need someone that thinks that way. jonathan: appreciate it, george ferguson. that stock is up close to 4%. the defining moment, think the meeting, no ceo. annmarie: we talked about it last week, notably missing was going to be ceo calhoun. lisa: he is not there, are the airline she is going to be complaining about him and how he is running boeing?

and recall and i wonder about the talent pool of people who can come from outside with fresh eyes. if you do not have a real competitor, how do you get that talent? that is a real issue. this is one of the challenges having the fresh ideas and the gut check that comes with a robust competitive environment. lisa: maybe someone from airbus they can send to boeing? jonathan: i'm not sure they want to lose anyone at this point. tomorrow, the coverage continues. looking forward to the conversation with all four of them. very interesting here. he has been bullish 2023. he says 2024, reverse goldilocks negative for risk. i would say you have 75% of the story. the problem is he got the market piece wrong. we will talk about that

tomorrow. annmarie: he is backtracking and saying this is something that could continue. we have heard there is a wall of money that keeps going into asset classes far beyond rationality. jonathan: constructive on the equity market and pretty much everything else. annmarie: the wall of money. jonathan: what was that? [laughter] annmarie: lake firepower into the market. ♪ >> the reigning is open champion cruises to the round of 16 with a dominant display. from 4-2 down in the opening set, the american took the last 10 games of the match to close out the victory 6-0 in the second. do not forget, tennis channel's live daily coverage starts at 11:00 a.m. eastern. ♪

>> very good morning. i am manus cranny in for jonathan ferro. we have the chips under attack, lower this morning. the nasdaq under pressure. we will discuss the chips issue. the countdown to the open kicks in right now. announcer: everything you need to get set for the start of u.s. trading. this is "bloomberg: the open" with jonathan ferro. ♪ manus: coming up, stocks take a breather after the best week of 2024. the boeing ceo steps down with fallout over safety issues.