doing much better than europe. is difference is that europe testing a high from 2015. the u.s. if we are seeing an both sides, i think european market is a place to see ketchup. we could finally see some how performance from these areas. scarlet: another day of gains from u.s. equity indexes. the s&p, 0.2%. than what we would normally see given that it will be a holiday shortened traded we -- trading week. new two-weekral highs. some of the smaller companies, best buy,'s blanche, trading at -- best buy, splunk, trading at

their highest levels over the past year. scarlet: mark had a last-minute first. about 1.9%. no clear reason on why it got this pop at the end of trading but we will continue to look into it. let's look at what our reporters are monitoring. abigail: i was watching those record highs and the very small gains. the reason we are doing it again today is to see how it is working. seriesed we would see a of all-time highs back in october. the rally this year and then in the spring and summer, a battle between the bulls and the bears making it more constructive. buyers were the getting more conviction, more confidence.

old we are above those record highs. , the rfi, a slight lower high. the rsi go8, we saw as high as 86. if it rise to above 74, it would support what this chart suggests. also seeing small moves higher today are small caps. the russell 2000 at one point point half a percentage but we did see it trickle lower through the day. for small-week high caps. this comes after a day like yesterday when we saw the russell up 2%. e russell 2000 since all the

way back in 2017. some on wall street are saying we could see this continue. it really has been a rough decade or so for small caps when it comes to relative performance. the white line is your manufacturing pmi. they move closely in tandem. all the way to the right, that white line in early september. one of the market strategists said that new 52 week highs for small caps is very encouraging. of --s really a good sign sign as we head into 2020. taylor: i am taking a look at this global rally. technology continues to lead the way. the technology sector is up 42%. neck and neck between industrials and the communication services sector. since we are continuing to make

firmly number two, neck and neck. the rally has been risk on and a lot of these cyclical sectors continue to out perform. about 25% or so. still, tech leading the way. romaine: thanks to taylor and everyone else on the markets team. news with us, bloomberg cross esther porter luke kawa -- cross assets reporter, luke kawa. we are not time, necessarily seeing people gravitate toward that low-volume trade, are we? you are seeing a lot of people continue to short volatility. the offset and retail.

as you look at the shares outstanding. a lot of those continue to ramp higher. if you think about future petition paying so that short. acrosss absolutely none asset classes the weather is fx, oil, standard deviation. under their one year average, -- it is as if the volatility -- scarlet: i want to update everyone on america. it might be the part -- on merck. it just surpassed its record ith on october 31 and once passed that, it was kind of off to the races. it seems like these arbitrary levels matter a lot in the melt

up type of environments. when we have these incremental moves higher, how much more do technicals drive gains? matt: the most important thing isut technicals is that it momentum driven. we do have to be a little bit careful. they are getting very overbought. micro devices last week, the rsi overbought on a daily since 1996. micron is starting to rollover a little bit. last december by any stretch of the imagination, but i think it would be much more healthy if the market would come back in. they might be able to

pick them up a little bit cheaper and, honestly, i think it will be good for the market for a rally into next year. scarlet: we want to update you on some earnings. it comes from a tech company. the software company fox reporting an adjusted loss of one cent per share -- expected loss of one cent per share. revenue for the quarter, $177 million when analysts were looking for $174 million. that is a beat on the top line. we are paying more attention to retail earnings, of course. box was one of the darlings of that big ipo class in 2015-16. when you get earnings like this, you give people a little bit

encouragement. we did get earnings today from best buy and they were much higher expectations. we also got earnings from other retailers like dix and chicos. upy seem to be holding relatively strongly, or at least better than expected. do you think that narrative that the consumer has to shoulder this economy, do you think that is going to materialize and the results on a lot of these companies? matt: it looks like it is going to happen, and it had better because if it doesn't come have problems. earning growth youth -- earning growth this year will basically be flat if not negative. next year's number estimates are for improvement but not major improvement. there have been a few crocks along the way.

recently, consumer confidence numbers, consumer debt numbers. if they are borrowing less, they will spend less. right now, things look pretty good for the consumer. we will have to see a change in the employment situation. right now, certainly a positive situation. my only concern is that we are getting a little too enthusiastic, too complacent. joe: one data point that we got today that was looking pretty good, new home sales. of course, housing stocks have been one of the star performers for basically a year now. is that something that can persist in this current go tooment or did that far, too fast? matt: it looked like it had been getting that way. you look at the home thinguction etf, that basically outperformed everything.

it got stuck in the sideways range. that helped it work off some of this overbought condition on the technical basis. now that we see interest rates coming down from their recent highs, and therefore mortgage rates are coming down, that bodes well for the group. they are trying to break out of that sideways range. tot will be very helpful home depot. home depot will not be staying on very long if that continues. scarlet: the best-performing etf this year is nail, three times shares, so it is clearly leveraged. up 203%. our thanks to luke kawa, bloomberg news cross asset reporter, and of course met --

course matt naly. that does it for the closing bell. up next, we will be talking about bonuses because wall street traders cannot expect to see big bumps their bonus checks. this is bloomberg. ♪

scarlet: live from bloomberg world headquarters in new york, i am scarlet fu. caroline hyde is on leave. romaine: here is a snapshot of how u.s. stocks closed. acord highs, hopes that partial trade deal is right

around the corner. u.s. stocks close at record and the dollar rallies. plus, a mixed bag. u.s. consumer confidence unexpectedly falls very fourth grade month while earning -- fourth straight month while earnings from key retailers like best buy are heralding earnings. "friends" is popular again but should tech bulls be celebrating like it is 1998? scarlet: best buy ended the day as the best performer in the s&p 500. for more, we welcome up and comer analyst ryan nagel and bloomberg opinion's sarah halzack. best buy's numbers, people were impressed. was this enough to wash away the stain of the previous quarters were the company warned of the looming effects of tariffs? matt: i think so.

to, like you are alluding the holiday season is basically upon us. this is a very good harbinger of how that company should perform and really, retail broadly in the holiday season. joe: sarah, when you look at best buy, what stands out? sarah: one thing that jumped out was the really strong comparable sales in the appliance division. a lot of retailers have started to go after that market share. jcpenney ultimately had to pull out of it. best buy is succeeding in that category and smartphone replacement cycles slowing down.

it really speaks well to how they are diversifying and storing their business. romaine: when you look at the retail space in general, we sort , the shiftingnt retail landscape, but with best buy, what is the future? is it just going to be the services business? will it be some kind of hybrid between services and me buying a tv? brian: i think the future of best buy, it has a will built out in well-functioning online operation but the company's stores are very valuable. they are adding more fulfillment and shipping options for consumers. one of these is by online, pick up in store. in new york, they will be testing curbside pickup.

it is a model that basically leverages the power of historic stores to operate online. scarlet: in addition to curbside pickup, they are offering alternate pickup locations. cvs stores. how important is this creativity around curbside pickup? i think, as consumers, a lot of people expect to be able to order something online and go to the store and pick it up. i think it is really important because it allows people to reach customers in places where they don't necessarily have a best buy store close by. if you have a cvs around the corner, maybe you are more likely to place an order with them if you can pick it up there. focusing on same-day delivery. going back to the appliance category, people are not buying a new dishwasher for fun, they are buying it because there dishwasher broke. faster fulfillment

options, i think that is a good way to unlock growth in the services space. joe: it seems like a fair number are figuring this out. could we be getting to the point where this is a significant former ability for amazon, that it doesn't have the physical on the ground presence that some of its rivals do? great i think that is a point. amazon bought whole foods. that was a big move into physical retail on the part of amazon. i followed retail for a while and i think the dynamic has been interesting. and a lot of these retailers were hesitant to make big investments in online retail. like bestve companies buy, they are figuring out, how

to we, historically, compete against the online only .ompanies like amazon best buy is doing a phenomenal job with this. expandingt has been to services as well as health care products. when it comes to health care services, this is really not best buy's area of expertise. it is a lot more complicated than, say, a flatscreen television. you pointed out that the most important customer is not the consumer it is the government. right. this is a key test for best buy. they said they hope to serve 5 million seniors by that point in terms of providing them with technology that allows them to stay in their homes longer. this is a very different business than selling a 4k tv in

the store. doctors intermediaries, , so i think this is a new competency for best buy to learn but i think there are questions that remain about how much they will be able to lean into this new posturing, new identity, of also being a health care space. romaine: we will leave it there. andk you to sarah halzack brian nagel. vm ware earnings crossing the wire. bothpears they did eat on the top and bottom line. four q revenue beats the estimate of 4.21. the estimate was for $1.42. the shares up after hours. joe: coming up, leaked bonuses. why even the best traders may

not see a big bump in their checks at the end of the year. this is bloomberg. ♪

joe: activity across trading desks is slowing as we approach the thanksgiving holiday, giving everyone plenty of time to think about the most important thing in the world, which is there bonuses. some of the hottest trading professionals will see smaller bonuses this year. equity traders are set fair the worst. story, or with the bloomberg finance reporter. even if you had a good year, it is probably not that good? >> as we discussed, flat is the

new up. markets have generally been dragged down. when that happens, everything generally gets dragged down. in the most demand, your quants, even they are not seeing a big jump in their bonus pool. you can look at it that they are not getting appreciated enough for you could look at it that they are doing better than others. scarlet: if they are not happy, they could go to silicon valley. sridhar: wall street, silicon valley, there is always that push and pull. it is generally good to be a quant. romaine: i thought the interesting thing about this survey, the equity traders, they are getting nothing. investment banking, 1.8%. private wealth management, 0.5%. type firms,boutique

a bit of a pay bump. sridhar: it is down slightly but i don't know how much you can look at it and say that it speaks to a broader trend. a lot are devoting resources and infrastructure to build private wealth offerings. over time, you will see that group be in a lot of demand. uprlet: wealth management is half of 1%. are there any parts of the financial market where people will see meaningful increases? sridhar: meaningful, i don't know. low single digits. even there, the dynamic, think of the part of the market that mona -- that has the most qualifications, the credit market. pothave seen the bonus decrease year after year. romaine: our thanks to

bloomberg's sri. going from the incredible shrinking bonuses to the incredible shrinking shrinks. traders will need a shrink to get the bonus check but apparently not a big one. for all these years you have been getting martinis, i guess they are too big. it is supposed to be a certain temperature. now, bars are serving these smaller -- i guess they are like two ounces. i don't know, you are a big drinker. scarlet: are they the same glasses? martini glass is iconic. you think about sex and the city, they would have to redo the whole show. when they remake it. romaine: joe, ura big drinker. -- you are a big drinker. joe: as soon as i saw this, i

thought, they are shrinking martinis, romaine bostick, hardest hit. andine: i am all for proper -- proper serving of a drink. are -- if they are changing. if they are charging the same amount. romaine: one bar said they dropped the price to five bucks. they are a lot smaller. it is almost like taking a shot. joe: pass the savings on. romaine: he is going to go on an mmt rant during the commercial. scarlet: the glass has to look full. coming up, what is happening now with tech stocks? it looks and feels a lot like it did in the late 1990's, what does that mean for investors? this is bloomberg. ♪

u.s. senators are promising to work fast to punish turkey over a russian air defense system. secretary of state mike pompeo was asked about turkey's actions. >> it is concerning. i don't want to get in front of what the president may or may not do. we have made clear to the turkish government our desire to see them move away from putting into full opposition -- full s-400ionalization of the

weapon system. mark: they are looking into proposals to sanction the country for the weapon system and actions in syria. the supreme court indicated today that it will use its private conference in mid-december to take up president trump's bid to block a grand jury of new york subpoena for his tax returns. is separately filing subpoena -- filing an appeal for a subpoena from a house committee. abania has declared tomorrow day of mourning after a powerful 6.4 magnitude earthquake rocked the country today. confirmed0 people was dead, hundreds more injured, according to authorities, who

say many collapsed buildings may still contain people trapped inside. dozens have been extracted from the ruins so far. the united nations is sending experts to the country to help with relief efforts. canadian prime minister justin trudeau scored a victory with a devastating end to a real strike. reluctance -- the strike -- the reluctance to end a strike won him praise from the union. farmers pressure from and industries reliant on the rail giant. the increasingly prolabor stand under his leadership. global news 24 hours a day on air and at tictoc on twitter, powered by more than 2700 journalists and analysts in over 120 countries. i am mark crumpton, this is bloomberg. scarlet: we have earnings out of

dell right now. dell reported third-quarter adjusted eps beat the analyst estimate, 135. let's bring it bloomberg's ed ludlow. desktops, laptops, and software to business really saving the day for dell. the one stop shop strategy really working. it is the third consecutive quarter beating expectations. that was adjusted revenue in the quarter of 22.9 billion. growth in those units and offset it declines in the data center and software business. double digit, majority interest in software maker vmware. alreadyike cisco and hp big pain in this quarter.

-- i want to talk about the debt sure as well. 2016, a record tech deal at the time. dell has really paid down a lot of debt, $18 billion in debt. they say they are on track to pay down more than five dollars in gross debt in this fiscal year. -- $5 billion in gross debt this fiscal year. bloomberg intelligence rating this morning that a sale of a unit could expedite the process of deleveraging throughout the rest of this fiscal year. we will be looking for that on the earnings call as well. take a look's at the parallels between 1998 and 2019.

there could be some lessons to be learned from the past. for more, let's welcome our bloomberg opinion columnist who joins us from washington. he wrote an interesting column today looking at a lot of the parallels with what was going on in the late 1990's. in 1988, we had three fed rate cuts like we had this time around in 2019. just like 1998, there were a lot of people question whether we needed those cuts. >> i think that cuts to the art of it. this longou had economic spansion but in that year you had concerns that the expansion was waning. if you look at their dual mandate, which is price stability and maximum employment, and neither year is it obvious that those cuts were necessary. lowployment was low today,

in 1998. inflation was low and stable this year as it was in 1988. as we know by the benefit of hindsight, those fears in 1998 were not well-founded because the economy ended up taking off from there. , i guess, is another need parallel that you identify in your column, and that is the impeachment going on. president trump now, clinton then. is that just kind of an interesting nugget for historical piles -- historical parallels? or is that something from an investor perspective that is important to ponder and think about? nir: i think it is both. if there is a lesson, in general, as far as i can tell from just looking at history, markets don't really care about

politics and less the politics affect the markets directly. have aly, trade wars political component, economic component, and you can see where the market does not like them. the markets don't really care. i often see people surprised at the markets have not reacted to what has been happening in the impeachment inquiry so far. 1998, 1999, they did not care then. they are unlikely to care now. i think the messages to tune it out. some of the markets might not care about impeachment and the political goings-on in washington they do care about is the performance of stock. we have been talking about dell earnings. we have a tech-fueled stock market rally now. if an investor were to supposedly be responsible and have a balanced portfolio,

during 1998 and now, they would have missed out on a lot? nir: what is interesting, when you look at the two periods, you can see a 60-40 portfolio would have lost to the nasdaq at this point by roughly about the same as it has from 2014 to now, which is when the modern equivalent of the tech frenzy from then, which i would characterize as the fang stocks. so far, investors are of two minds. they are obviously sorry they outed it those who stayed -- from here, a lot of investors are not thinking enough about what happened in 1998. the nasdaq took off, almost doubled in value between 1998 and march 2000. that cost a lot of people to get off the sidelines, chased the

market, and make bad decisions. i think too few people are really thinking art about that. kaissar ofstuff, nir bloomberg opinion with the interesting parallels. coming up, unrest continues to sweep across latin america. we will head to bogota for the latest on the embattled region. this is bloomberg. ♪

romaine: time for a look at what stories are trending across the bloomberg universe. terminal users are reading about the green vault museum which was

robbed by burglars. the priceless items are uninsured. the state finance industry says that carrying no insurance is standard practice because the premiums typically are more than the value in the long term. former papa john's chairman john schnatter calling out the new chief for having no experience. he took a jab at the food quality, saying he has eaten 40 pizzas in 30 days and that it is not the same pizza. takeid he is not trying to the chain over at this time but he cryptically suggested if you times to stay tuned. bowl for the 2020 super one for a record $1.56 million. fox has sold all of the spots, including one for president trump's reelection campaign. the ads tend to sell out around christmas or even later, in

january. you can find the stories on your terminal, at bloomberg.com, and at tictoc on twitter. joe: colombia is the latest latin american nation to face unrest in recent weeks. antigovernment protests reaching their six day in bogota where one protester has died after being hit by a police projectile. former chilean president and united nations high commissioner is saying shets is putting a coalition together to examine police abuse in the country. damage, look at the etc., but i will wait until my team will, and give a full report so we can really do what we need to do, do the report but mainly do recommendations.

joe: for more, let's bring in bloomberg's columbia bureau chief, who joins us from bogota. thank you for joining us. obviously, we have seen several breaking outests in latin american countries. what are the main causes of what we are seeing in columbia and how does it bear resemblance to what we are seeing elsewhere? >> we are seeing protesters come with long lists of grievances. of socialom murders leaders, we also have, as we were saying, students have been protested heavy-handed this from antiriot police. we also have protests on education, on tax reform, labor reform.

and protesters are saying are feeling emboldened from what is happening in other countries like sheila and ecuador -- like hile, and ecuador, they are feeling emboldened to march in the streets and say, we are not happy. scarlet: what is president ivan duque doing in response? >> since the protest started coming announced a series of national dialogues where he is going to meet with different leaders of the protests, different business leaders, and try and set all of those requests and address them. he gave a deadline of march. he started very fast today. with unionr meeting

leaders and student leaders coming announced some changes to the tax bill that is currently being discussed in congress. he said that he is going to give a tax break. poorest 20% of the population, they are going to get a rebate on their value-added tax. those are things that he is already starting to show, we are responding and this is what we want to do. romaine: can you give a sense of how organized the protests are? is this being led by one group, is there a leader, or is this an amalgamation of different people? >> there are student leaders, union leaders, there are a lot of people, it is not just one person, but we are seeing that they come together in what they are calling a group. they did meet with president

duque today. from that meeting is where the president came out and said, we will make these changes. scarlet: our columbia bureau chief, thank you so much. let's switch gears and move on to smart charts with abigail doolittle. this week, you're breaking down the record highs for u.s. equities. hard to ignore those record highs. the melt up everyone is talking about. frank, senior equity trader, thank you for joining us. pretty extraordinary that we are on this run of record highs. it is not really good news or bad news. there is not really any bad news right now to derail it. do you see this continuing to the end of the year? frank: i do. only about 1% slowdown.

it in theet's now put context of your s&p 500 chart. this is actually not your s&p 500 chart. we can take a look at your small-cap chart in this terminal here though. actually, i think we are going to be looking at this chart here. here -- this long wall there we go. so, obviously making new highs. we have not had confirmation of new highs within component himself. fourth attempt at a breakout over the past year and a half. previous ones have failed. common trait has been lack of new highs. thean contrast that with best times the market has had over the last number of years. in newference, explosion

highs. the thing to remember, it was not all in once. whats lagging a little bit happens now, when we have about 8%, about 40 names on the s&p 500 within 3%. 30% of the s&p. that is pretty interesting. it will be interesting to see if that happens in a lagging form. a bullhat be a sign of market? this: you look at consolidation period, looks similar in terms of managing, volatility. it a littlee into bit more. abigail: may 2020 will be full

of new highs. people have been watching small-cap more recently with the russell back above 1600. here, you are looking at it through the iw m. the top of 2011, up, but not as good compared to the s&p 500. we see the relative weakness reflected in the chart below. they lost nine months, 10 .onths, each one started about two months in, the s&p has outperformed. that will continue through the early part of 2020. abigail: it sounds as though if we do have those new highs, 2020 could be about relatively good performance for the s&p 500 but

maybe great performance for the russell and iwm. from new york, this is bloomberg. ♪

romaine: now to asia ahead. a slew of headlines coming out of hong kong from the city's leader carrie lam, responding to voters delivering a stunning rebuke to beijing. alibaba debut on the hong kong stock exchange. let's bring in shery ahn with more. let's start with carrie lam's response to the election? shery: basically, she did not concede anything despite the fact that her opponent won a landslide victory. thatnly thing she said was she is going to stick to that september plan, basically more dialogue. according to the police,

protesters have already rejected that, saying that it would not be independent. over the last few days, the protests have been a little quieter in the wake of the election, but does anyone expect that to continue? we have continued to see the standoff at hong kong polytechnic university. the demonstrators had to the district and chant save the students. since we are not seeing any concessions from the hong kong government, some fear that this could get worse. one person saying that basically what carrie lam is doing is telling hong kong that messages don't work. scarlet: alibaba made its trading debut in hong kong.

what does this mean going forward? a lot regarding the stability and hong kong. this is a political move for alibaba to do this. shery: it was a huge celebration in hong kong, as you can see. analysts we spoke to saying that we will probably not see huge repercussions on the capital market as of yet when it comes to alibaba's ipo listing. we have seen the stock surge 8%. which meansr 9988, long-term prosperity in china. scarlet: for more on these stories, don't miss daybreak australia and daybreak asia starting at 6:00 p.m. eastern time. tomorrow, eu lawmakers will vote to confirm the new eu commission. joe: gdp for the third quarter out tomorrow morning. romaine: earnings season coming

to a close. lululemon set to report tomorrow. "bloomberg technology" is next in the u.s. this is bloomberg. ♪

taylor: i am taylor riggs in san francisco, in for emily chang, and this is "bloomberg technology." strong debut. shares of alibaba begin trading in hong kong, ending the trading day more than 6% above the list price. bookkeeping with scrutiny. and we hear from viagogo